10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 FORM 10-Q

☒    Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended September 30, 2022

 OR

☐    Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the transition period from                   to                 

Commission File Number 001-34582

NORTHWEST BANCSHARES, INC.

(Exact name of registrant as specified in its charter)

Maryland				27-0950358
(State or other jurisdiction of incorporation or organization)				(I.R.S. Employer Identification No.)
3 Easton Oval	Suite 500	Columbus	Ohio	43219
(Address of Principal Executive Offices)				(Zip Code)

(814) 726-2140

(Registrant’s telephone number, including area code)

Not applicable

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).Yes ☐ No ☒

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading symbol(s)	Name of each exchange on which registered
Common Stock, 0.01 Par Value	NWBI	NASDAQ Stock Market, LLC

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

    ☒    Large accelerated filer    ☐    Accelerated filer

    ☐    Non-accelerated filer     ☐    Smaller reporting company

            ☐    Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

    Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date:

Common Stock ($0.01 par value), 126,988,367 shares outstanding as of October 31, 2022.

NORTHWEST BANCSHARES, INC.

Table of Contents

PART I	FINANCIAL INFORMATION
Item 1.	Financial Statements
	Consolidated Statements of Financial Condition at September 30, 2022 and December 31, 2021 (Unaudited)	1
	Consolidated Statements of Income for the quarter and nine months ended September 30, 2022 and 2021 (Unaudited)	2
	Consolidated Statements of Comprehensive Income for the quarter and nine months ended September 30, 2022 and 2021 (Unaudited)	3
	Consolidated Statements of Changes in Shareholders’ Equity for the quarter and nine months ended September 30, 2022 and 2021 (Unaudited)	4
	Consolidated Statements of Cash Flows for the nine months ended September 30, 2022 and 2021 (Unaudited)	6
	Notes to Consolidated Financial Statements (Unaudited)	8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	43
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	58
Item 4.	Controls and Procedures	59
PART II	OTHER INFORMATION
Item 1.	Legal Proceedings	59
Item 1A.	Risk Factors	59
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	60
Item 3.	Defaults Upon Senior Securities	60
Item 4.	Mine Safety Disclosures	60
Item 5.	Other Information	60
Item 6.	Exhibits	61
	Signature	62

Item 1.        FINANCIAL STATEMENTS

NORTHWEST BANCSHARES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Unaudited)

(in thousands, except share data)

	September 30, 2022		December 31, 2021
Assets
Cash and cash equivalents	$	118,549	1,279,259
Marketable securities available-for-sale (amortized cost of $1,466,883 and $1,565,002, respectively)	1,251,791		1,548,592
Marketable securities held-to-maturity (fair value of $771,238 and $751,513, respectively)	899,411		768,154
Total cash and cash equivalents and marketable securities	2,269,751		3,596,005
Loans held-for-sale	15,834		25,056
Loans held for investment	10,725,691		9,991,336
Allowance for credit losses	(109,819)		(102,241)
Loans receivable, net	10,631,706		9,914,151
FHLB stock, at cost	19,281		14,184
Accrued interest receivable	29,536		25,599
Real estate owned, net	450		873
Premises and equipment, net	146,173		156,524
Bank-owned life insurance	255,015		256,213
Goodwill	380,997		380,997
Other intangible assets, net	9,491		12,836
Other assets	210,744		144,126
Total assets	$	13,953,144	14,501,508
Liabilities and shareholders’ equity
Liabilities:
Noninterest-bearing demand deposits	$	3,094,120	3,099,526
Interest-bearing demand deposits	2,812,730		2,940,442
Money market deposit accounts	2,577,013		2,629,882
Savings deposits	2,327,419		2,303,760
Time deposits	1,067,110		1,327,555
Total deposits	11,878,392		12,301,165
Borrowed funds	150,036		139,093
Subordinated debt	113,753		123,575
Junior subordinated debentures	129,249		129,054
Advances by borrowers for taxes and insurance	29,647		44,582
Accrued interest payable	831		1,804
Other liabilities	191,450		178,664
Total liabilities	12,493,358		12,917,937
Shareholders’ equity:
Preferred stock, $0.01 par value: 50,000,000 authorized, no shares issued	—		—
Common stock, $0.01 par value: 500,000,000 shares authorized, 126,921,989 and 126,612,183 shares issued and outstanding, respectively	1,269		1,266
Additional paid-in capital	1,017,189		1,010,405
Retained earnings	632,476		609,529
Accumulated other comprehensive loss	(191,148)		(37,629)
Total shareholders’ equity	1,459,786		1,583,571
Total liabilities and shareholders’ equity	$	13,953,144	14,501,508

See accompanying notes to unaudited Consolidated Financial Statements.

1

NORTHWEST BANCSHARES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME (Unaudited)

(in thousands, except share data) 

	Quarter ended September 30,			Nine months ended September 30,
	2022		2021	2022	2021
Interest income:
Loans receivable	$	106,943	97,475	290,691	295,048
Mortgage-backed securities	8,683		5,840	22,201	15,720
Taxable investment securities	838		649	2,230	1,976
Tax-free investment securities	709		628	2,066	1,797
FHLB stock dividends	148		71	311	325
Interest-earning deposits	1,295		352	3,446	727
Total interest income	118,616		105,015	320,945	315,593
Interest expense:
Deposits	3,157		4,540	10,249	14,827
Borrowed funds	2,710		2,056	7,059	6,160
Total interest expense	5,867		6,596	17,308	20,987
Net interest income	112,749		98,419	303,637	294,606
Provision for credit losses	7,689		(4,354)	8,837	(9,974)
Net interest income after provision for credit losses	105,060		102,773	294,800	304,580
Noninterest income:
Loss on sale of investments	(2)		(46)	(7)	(172)
Service charges and fees	14,323		13,199	41,063	38,337
Trust and other financial services income	6,650		7,182	21,123	21,101
Insurance commission income	—		44	—	3,633
Gain on real estate owned, net	290		247	552	371
Income from bank-owned life insurance	1,475		1,332	5,466	4,707
Mortgage banking income	766		3,941	4,388	13,772
Gain on sale of insurance business	—		—	—	25,327
Other operating income	3,301		3,287	10,406	8,771
Total noninterest income	26,803		29,186	82,991	115,847
Noninterest expense:
Compensation and employee benefits	46,711		49,063	141,701	145,196
Premises and occupancy costs	7,171		7,745	22,248	23,969
Office operations	3,229		4,143	9,774	10,625
Collections expense	322		411	1,245	1,330
Processing expenses	13,416		13,517	38,911	42,124
Marketing expenses	2,147		2,102	6,322	6,183
Federal deposit insurance premiums	1,200		1,184	3,459	3,844
Professional services	3,363		4,295	9,269	13,108
Amortization of intangible assets	1,047		1,321	3,345	4,348
Real estate owned expense	61		94	170	254
Merger, asset disposition and restructuring expense	—		—	1,374	641
Other expenses	3,906		2,227	11,506	7,003
Total noninterest expense	82,573		86,102	249,324	258,625
Income before income taxes	49,290		45,857	128,467	161,802
Federal and state income taxes expense	11,986		10,794	29,450	37,535
Net income	$	37,304	35,063	99,017	124,267
Basic earnings per share	$	0.29	0.28	0.78	0.98
Diluted earnings per share	$	0.29	0.27	0.78	0.97

See accompanying notes to unaudited Consolidated Financial Statements.

2

NORTHWEST BANCSHARES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited)

(in thousands)

	Quarter ended September 30,			Nine months ended September 30,
	2022		2021	2022	2021
Net income	$	37,304	35,063	99,017	124,267
Other comprehensive income net of tax:
Net unrealized holding losses on marketable securities:
Unrealized holding losses, net of tax of $14,705, $2,076, $45,555, and $6,812, respectively	(48,387)		(6,455)	(153,124)	(19,554)
Reclassification adjustment for gains included in net income, net of tax of $0, $24, $0, and $89, respectively	—		(69)	(2)	(280)
Net unrealized holding losses on marketable securities	(48,387)		(6,524)	(153,126)	(19,834)
Defined benefit plan:
Actuarial reclassification adjustments for prior period service costs and actuarial (gains)/losses included in net income, net of tax of $50, ($128), $151, and ($386), respectively	(131)		333	(393)	1,000
Other comprehensive loss	(48,518)		(6,191)	(153,519)	(18,834)
Total comprehensive income/(loss)	$	(11,214)	28,872	(54,502)	105,433

See accompanying notes to unaudited Consolidated Financial Statements.

3

NORTHWEST BANCSHARES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY (Unaudited)

(in thousands, expect share data) 

				Additional paid-in capital	Retained earnings	Accumulated other comprehensive loss	Total shareholders’ equity
	Common stock
Quarter ended September 30, 2022	Shares	Amount
Beginning balance at June 30, 2022	126,881,766	$	1,269	1,015,349	620,551	(142,630)	1,494,539
Comprehensive income:
Net income	—	—		—	37,304	—	37,304
Other comprehensive loss, net of tax of $14,755	—	—		—	—	(48,518)	(48,518)
Total comprehensive income/(loss)	—	—		—	37,304	(48,518)	(11,214)
Exercise of stock options	73,472	—		897	—	—	897
Stock-based compensation expense	—	—		944	—	—	944
Stock-based compensation forfeited	(33,249)	—		(1)	—	—	(1)
Dividends paid ($0.20 per share)	—	—		—	(25,379)	—	(25,379)
Ending balance at September 30, 2022	126,921,989	$	1,269	1,017,189	632,476	(191,148)	1,459,786

				Additional paid-in capital	Retained earnings	Accumulated other comprehensive loss	Total shareholders’ equity
	Common stock
Quarter ended September 30, 2021	Shares	Amount
Beginning balance at June 30, 2021	127,907,885	$	1,279	1,025,174	595,100	(46,192)	1,575,361
Comprehensive income:
Net income	—	—		—	35,063	—	35,063
Other comprehensive loss, net of tax of $1,972	—	—		—	—	(6,191)	(6,191)
Total comprehensive income/(loss)	—	—		—	35,063	(6,191)	28,872
Exercise of stock options	57,142	—		688	—	—	688
Stock-based compensation expense	1,139	—		1,046	—	—	1,046
Share repurchases	(1,425,120)	(14)		(18,809)	—	—	(18,823)
Stock-based compensation forfeited	(19,702)	—		—	—	—	—
Dividends paid ($0.20 per share)	—	—		—	(25,376)	—	(25,376)
Ending balance at September 30, 2021	126,521,344	$	1,265	1,008,099	604,787	(52,383)	1,561,768

See accompanying notes to unaudited Consolidated Financial Statements.

4

NORTHWEST BANCSHARES, INC.

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY (Unaudited)

(in thousands, expect share data)

				Additional paid-in capital	Retained earnings	Accumulated other comprehensive loss	Total shareholders’ equity
	Common stock
Nine months ended September 30, 2022	Shares	Amount
Beginning balance at December 31, 2021	126,612,183	$	1,266	1,010,405	609,529	(37,629)	1,583,571
Comprehensive income:
Net income	—	—		—	99,017	—	99,017
Other comprehensive loss, net of tax of $45,706	—	—		—	—	(153,519)	(153,519)
Total comprehensive income/(loss)	—	—		—	99,017	(153,519)	(54,502)
Exercise of stock options	314,880	2		3,719	—	—	3,721
Stock-based compensation expense	75,377	2		3,065	—	—	3,067
Stock-based compensation forfeited	(80,451)	(1)		—	—	—	(1)
Dividends paid ($0.60 per share)	—	—		—	(76,070)	—	(76,070)
Ending balance at September 30, 2022	126,921,989	$	1,269	1,017,189	632,476	(191,148)	1,459,786

				Additional paid-in capital	Retained earnings	Accumulated other comprehensive loss	Total shareholders’ equity
	Common stock
Nine months ended September 30, 2021	Shares	Amount
Beginning balance at December 31, 2020	127,019,452	$	1,270	1,015,502	555,480	(33,549)	1,538,703
Comprehensive income:
Net income	—	—		—	124,267	—	124,267
Other comprehensive loss, net of tax of $6,515	—	—		—	—	(18,834)	(18,834)
Total comprehensive income/(loss)	—	—		—	124,267	(18,834)	105,433
Exercise of stock options	1,043,487	10		12,711	—	—	12,721
Stock-based compensation expense	323,824	3		3,722	—	—	3,725
Share repurchases	(1,813,132)	(18)		(23,836)	—	—	(23,854)
Stock-based compensation forfeited	(52,287)	—		—	—	—	—
Dividends paid ($0.59 per share)	—	—		—	(74,960)	—	(74,960)
Ending balance at September 30, 2021	126,521,344	$	1,265	1,008,099	604,787	(52,383)	1,561,768

See accompanying notes to unaudited Consolidated Financial Statements.

5

NORTHWEST BANCSHARES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

(in thousands)

	Nine months ended September 30,
	2022		2021
Operating activities:
Net income	$	99,017	124,267
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses	8,837		(9,974)
Net gain on sale of assets	(858)		(970)
Mortgage banking activity	(3,308)		(17,321)
Gain on sale of insurance business	—		(25,327)
Net depreciation, amortization and accretion	3,874		(271)
(Increase)/decrease in other assets	(31,790)		19,248
Increase/(decrease) in other liabilities	11,270		(10,545)
Net amortization on marketable securities	3,849		5,830
Noncash compensation expense related to stock benefit plans	3,066		3,725
Noncash write-down of real estate owned	44		173
Deferred income tax expense	1,928		1,889
Origination of loans held-for-sale	(317,117)		(605,947)
Proceeds from sale of loans held-for-sale	331,268		652,770
Net cash provided by operating activities	110,080		137,547
Investing activities:
Purchase of marketable securities held-to-maturity	(212,892)		(479,165)
Purchase of marketable securities available-for-sale	(102,178)		(619,987)
Proceeds from maturities and principal reductions of marketable securities held-to-maturity	80,765		38,974
Proceeds from maturities and principal reductions of marketable securities available-for-sale	197,310		341,121
Proceeds from sale of marketable securities available-for-sale	—		62,127
Proceeds from bank-owned life insurance	4,753		3,984
Loan originations	(3,464,471)		(3,063,998)
Loan purchases	(371,121)		—
Proceeds from loan maturities and principal reductions	3,110,264		3,413,907
Net (redemptions)/proceeds of FHLB stock	(5,097)		7,181
Proceeds from sale of real estate owned	1,469		2,440
Proceeds from sale of real estate owned for investment	229		229
Purchases of premises and equipment, net	(613)		(3,728)
Proceeds from the sale of insurance business	—		28,238
Net cash used in investing activities	(761,582)		(268,677)

6

NORTHWEST BANCSHARES, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (continued)

(in thousands) 

	Nine months ended September 30,
	2022		2021
Financing activities:
Net (decrease)/increase in deposits	$	(422,773)	622,980
Repayments of long-term borrowings	(10,094)		(22,105)
Net increase/(decrease) in short-term borrowings	10,943		(11,165)
Increase in advances by borrowers for taxes and insurance	(14,935)		(18,279)
Cash dividends paid on common stock	(76,070)		(74,960)
Purchase of common stock for retirement	—		(23,854)
Proceeds from stock options exercised	3,721		12,721
Net cash (used in)/provided by financing activities	(509,208)		485,338
Net (decrease)/increase in cash and cash equivalents	$	(1,160,710)	354,208
Cash and cash equivalents at beginning of period	$	1,279,259	736,277
Net (decrease)/increase in cash and cash equivalents	(1,160,710)		354,208
Cash and cash equivalents at end of period	$	118,549	1,090,485
Cash paid during the period for:
Interest on deposits and borrowings (including interest credited to deposit accounts of $9,812 and $14,631, respectively)	$	18,281	22,452
Income taxes	21,851		28,961
Non-cash activities:
Loan foreclosures and repossessions	$	3,423	3,848
Sale of real estate owned financed by the Company	175		54

See accompanying notes to unaudited Consolidated Financial Statements.

7

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

(1)    Basis of Presentation and Informational Disclosures

Northwest Bancshares, Inc. (the “Company” or “NWBI”), a Maryland corporation headquartered in Columbus, Ohio, is a bank holding company regulated by the Board of Governors of the Federal Reserve System (“FRB”). The primary activity of the Company is the ownership of all of the issued and outstanding common stock of Northwest Bank, a Pennsylvania-chartered savings bank (“Northwest”). Northwest is regulated by the Federal Deposit Insurance Corporation (“FDIC”) and the Pennsylvania Department of Banking. Northwest operates 150 community-banking offices throughout Pennsylvania, Western New York, Eastern Ohio, and Indiana.

The accompanying unaudited Consolidated Financial Statements include the accounts of the Company and its subsidiary, Northwest, and Northwest’s subsidiaries Northwest Capital Group, Inc., Great Northwest Corporation, and MutualFirst Interest Company, Inc. The unaudited Consolidated Financial Statements have been prepared in accordance with United States generally accepted accounting principles for interim financial information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information or footnotes required for complete annual financial statements. In the opinion of management, all adjustments necessary for the fair presentation of the Company’s financial position and results of operations have been included. The Consolidated Financial Statements have been prepared using the accounting policies described in the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 updated, as required, for any new pronouncements or changes.

Certain items previously reported have been reclassified to conform to the current year’s reporting format.

    The results of operations for the quarter ended September 30, 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2022, or any other period.

Allowance for Credit Losses and Provision for Credit Losses Update

During the nine months ended September 30, 2022, the Bank implemented a new model to calculate the allowance for credit losses on our vehicle loan portfolio. Additionally, as part of the process, we re-assessed our loan segmentation and loans that were previously included in our consumer loan portfolio were moved into our vehicle loan portfolio. The change in segmentation was driven by underlying collateral types, and the loans continue to share similar risk characteristics.

The allowance for credit losses within the vehicle loan portfolio is calculated using a non-discounted cash flow model developed by an external third-party. Monthly probabilities of default and prepayments are estimated for each loan, along with estimates of exposure at default and loss given default. The model utilizes loan, borrower, and collateral characteristics, and macroeconomic data as inputs.

    Stock-Based Compensation

On May 18, 2022, the Company awarded employees 150,027 restricted stock units (“RSUs”) with a weighted average discounted grant date fair value of $11.00. The RSUs vest over a three-year period with the first vesting occurring one year from the grant date. The Company awarded directors 41,206 restricted stock awards (“RSAs”) with a grant date fair value of $12.55 which fully vest one-year from the grant date. Also, the Company awarded employees 150,027 performance share units (“PSUs”) with a discounted grant date fair value of $10.26. The number of PSUs earned will be based on attainment of certain performance criteria over a three-year period, with the actual number of shares issuable ranging between 0% and 150% of the number of PSUs granted. The PSUs have a three-year cliff vesting, from the date of grant, and any PSUs earned will be issued after the vesting period. Stock-based compensation expense of $944,000 and $1.0 million for the quarters ended September 30, 2022 and 2021, respectively, and $3.1 million and $3.7 million for the nine months ended September 30, 2022 and 2021, respectively, was recognized in compensation expense relating to our stock benefit plans. At September 30, 2022, there was compensation expense of $1.0 million to be recognized for awarded but unvested stock options, $6.0 million for unvested restricted common shares, $1.2 million to be recognized for awarded but unvested RSUs, $300,000 to be recognized for awarded but unvested RSAs, and $1.2 million to be recognized for awarded but unvested PSUs.

8

 Income Taxes-Uncertain Tax Positions

Accounting standards prescribe a comprehensive model for how a company should recognize, measure, present and disclose in its financial statements uncertain tax positions that the company has taken or expects to take on a tax return. A tax benefit from an uncertain position may be recognized only if it is “more likely than not” that the position is sustainable, based on its technical merits. The tax benefit of a qualifying position is the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement with a taxing authority having full knowledge of all relevant information. We had a $241,000 liability for unrecognized tax benefits as of both September 30, 2022 and December 31, 2021.

     We recognize interest accrued related to: (1) unrecognized tax benefits in other expenses and (2) refund claims in other operating income. We recognize penalties (if any) in other expenses. We are subject to audit by the Internal Revenue Service and any state in which we conduct business for the tax periods ended December 31, 2021, 2020, 2019 and 2018.

(2)    Marketable Securities

The following table shows the portfolio of marketable securities available-for-sale at September 30, 2022 (in thousands):

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S government and agencies:
Due after one year through five years	$	20,000	—	(1,921)	18,079
Due after ten years	54,213		—	(10,367)	43,846
Debt issued by government-sponsored enterprises:
Due after one year through five years	993		—	(53)	940
Due after five years through ten years	45,890		—	(7,739)	38,151
Municipal securities:
Due within one year	509		—	(2)	507
Due after one year through five years	618		—	(15)	603
Due after five years through ten years	33,945		8	(3,272)	30,681
Due after ten years	92,791		—	(18,406)	74,385
Corporate debt issues:
Due after five years through ten years	13,551		—	(411)	13,140
Residential mortgage-backed securities:
Fixed rate pass-through	233,394		14	(34,557)	198,851
Variable rate pass-through	9,341		25	(117)	9,249
Fixed rate agency CMOs	932,668		1	(137,752)	794,917
Variable rate agency CMOs	28,970		45	(573)	28,442
Total residential mortgage-backed securities	1,204,373		85	(172,999)	1,031,459
Total marketable securities available-for-sale	$	1,466,883	93	(215,185)	1,251,791

9

The following table shows the portfolio of marketable securities available-for-sale at December 31, 2021 (in thousands):

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S. government and agencies:
Due after one year through five years	$	20,000	—	(68)	19,932
Due after ten years	57,681		—	(1,722)	55,959
Debt issued by government-sponsored enterprises:
Due within one year	177		—	—	177
Due after one year through five years	991		73	—	1,064
Due after five years through ten years	46,411		1	(1,568)	44,844
Municipal securities:
Due within one year	946		13	—	959
Due after one year through five years	1,261		22	(3)	1,280
Due after five years through ten years	23,692		661	(146)	24,207
Due after ten years	99,558		2,884	(187)	102,255
Residential mortgage-backed securities:
Fixed rate pass-through	265,604		2,389	(2,525)	265,468
Variable rate pass-through	11,306		294	(9)	11,591
Fixed rate agency CMOs	997,680		2,284	(18,965)	980,999
Variable rate agency CMOs	39,695		224	(62)	39,857
Total residential mortgage-backed securities	1,314,285		5,191	(21,561)	1,297,915
Total marketable securities available-for-sale	$	1,565,002	8,845	(25,255)	1,548,592

     
    The following table shows the portfolio of marketable securities held-to-maturity at September 30, 2022 (in thousands):

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S. government and agencies:
Due after one year through five years	$	16,478	—	(1,739)	14,739
Due after five years through ten years	107,976		—	(20,352)	87,624
Residential mortgage-backed securities:
Fixed rate pass-through	167,016		—	(26,701)	140,315
Variable rate pass-through	574		—	(7)	567
Fixed rate agency CMOs	606,808		—	(79,373)	527,435
Variable rate agency CMOs	559		1	(2)	558
Total residential mortgage-backed securities	774,957		1	(106,083)	668,875
Total marketable securities held-to-maturity	$	899,411	1	(128,174)	771,238

10

The following table shows the portfolio of marketable securities held-to-maturity at December 31, 2021 (in thousands): 

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S. government and agencies:
Due after one year through five years	$	16,478	—	(206)	16,272
Due after five years through ten years	107,973		—	(4,613)	103,360
Residential mortgage-backed securities:
Fixed rate pass-through	183,092		58	(2,161)	180,989
Variable rate pass-through	667		24	—	691
Fixed rate agency CMOs	459,345		251	(10,011)	449,585
Variable rate agency CMOs	599		17	—	616
Total residential mortgage-backed securities	643,703		350	(12,172)	631,881
Total marketable securities held-to-maturity	$	768,154	350	(16,991)	751,513

The following table shows the contractual maturity of our residential mortgage-backed securities available-for-sale at September 30, 2022 (in thousands):

	Amortized cost		Fair value
Residential mortgage-backed securities:
Due within one year	$	254	252
Due after one year through five years	49,435		46,268
Due after five years through ten years	155,960		137,226
Due after ten years	998,724		847,713
Total residential mortgage-backed securities	$	1,204,373	1,031,459

The following table shows the contractual maturity of our residential mortgage-backed securities held-to-maturity at September 30, 2022 (in thousands):

	Amortized cost		Fair value
Residential mortgage-backed securities:
Due after one year through five years	$	20,705	17,551
Due after five years through ten years	168,546		141,707
Due after ten years	585,706		509,617
Total residential mortgage-backed securities	$	774,957	668,875

The following table shows the fair value of and gross unrealized losses on marketable securities, for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position at September 30, 2022 (in thousands):

	Less than 12 months			12 months or more		Total
	Fair  value		Unrealized loss	Fair  value	Unrealized loss	Fair  value	Unrealized loss
U.S. government-sponsored enterprises	$	19,905	(1,989)	183,474	(40,182)	203,379	(42,171)
Municipal securities	87,699		(14,160)	17,671	(7,535)	105,370	(21,695)
Corporate debt issues	13,140		(411)	—	—	13,140	(411)
Residential mortgage-backed securities - agency	624,780		(61,296)	1,069,396	(217,786)	1,694,176	(279,082)
Total	$	745,524	(77,856)	1,270,541	(265,503)	2,016,065	(343,359)

11

The following table shows the fair value of and gross unrealized losses on marketable securities, for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position at December 31, 2021 (in thousands):

	Less than 12 months			12 months or more		Total
	Fair  value		Unrealized loss	Fair  value	Unrealized loss	Fair  value	Unrealized loss
U.S. government-sponsored enterprises	$	132,782	(3,504)	106,160	(4,673)	238,942	(8,177)
Municipal securities	25,118		(336)	—	—	25,118	(336)
Residential mortgage-backed securities - agency	1,428,582		(26,516)	184,389	(7,217)	1,612,971	(33,733)
Total	$	1,586,482	(30,356)	290,549	(11,890)	1,877,031	(42,246)

The Company does not believe that the available-for-sale debt securities that were in an unrealized loss position as of September 30, 2022, which were comprised of 664 individual securities, represents a credit loss impairment. All of these securities were issued by U.S. government agencies, U.S. government-sponsored enterprises, local municipalities, or represent corporate debt. The securities issued by the U.S. government agencies or U.S. government-sponsored enterprises are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies and have a long history of no credit losses. The corporate debt issues and securities issued by local municipalities were all highly rated by major rating agencies and have no history of credit losses. The unrealized losses were primarily attributable to changes in the interest rate environment and not due to the credit quality of these investment securities. The Company does not have the intent to sell these investment securities and it is likely that we will not be required to sell these securities before their anticipated recovery, which may be at maturity.

All of the Company’s held-to-maturity debt securities are issued by U.S. government agencies or U.S. government-sponsored enterprises. These securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies and have a long history of no credit losses. Therefore, the Company did not record an allowance for credit losses for these securities as of September 30, 2022.

The following table presents the credit quality of our held-to-maturity securities, based on the latest information available as of September 30, 2022 (in thousands). The credit ratings are sourced from nationally recognized rating agencies, which include Moody’s and S&P, or when credit ratings cannot be sourced from the agencies, they are presented based on asset type. All of our held-to-maturity securities were current in their payment of principal and interest as of September 30, 2022.

	AA+		Total
Held-to-maturity securities (at amortized cost):
Debt issued by the U.S. government-sponsored enterprises	$	124,454	124,454
Residential mortgage-backed securities	774,957		774,957
Total marketable securities held-to-maturity	$	899,411	899,411

12

(3)    Loans Receivable

    The following table shows a summary of our loans receivable at amortized cost basis at September 30, 2022 and December 31, 2021 (in thousands): 

	September 30, 2022				December 31, 2021
	Originated (1)		Acquired (2)	Total	Originated (1)	Acquired (2)	Total
Personal Banking:
Residential mortgage loans (3)	$	3,225,348	176,550	3,401,898	2,783,459	211,161	2,994,620
Home equity loans	1,110,401		174,588	1,284,989	1,107,202	212,729	1,319,931
Vehicle loans	1,907,210		99,987	2,007,197	1,384,246	99,985	1,484,231
Consumer loans	100,831		8,210	109,041	307,961	46,556	354,517
Total Personal Banking	6,343,790		459,335	6,803,125	5,582,868	570,431	6,153,299
Commercial Banking:
Commercial real estate loans	2,101,684		327,222	2,428,906	2,202,027	423,454	2,625,481
Commercial real estate loans - owner occupied	344,504		39,420	383,924	321,253	68,750	390,003
Commercial loans	1,072,857		52,713	1,125,570	765,877	81,732	847,609
Total Commercial Banking	3,519,045		419,355	3,938,400	3,289,157	573,936	3,863,093
Total loans receivable, gross	9,862,835		878,690	10,741,525	8,872,025	1,144,367	10,016,392
Allowance for credit losses	(97,738)		(12,081)	(109,819)	(86,750)	(15,491)	(102,241)
Total loans receivable, net (4)	$	9,765,097	866,609	10,631,706	8,785,275	1,128,876	9,914,151

(1) Includes originated and purchased loan pools purchased in an asset acquisition.

(2) Includes loans subject to purchase accounting in a business combination.

(3)     Includes fair value of $15.8 million and $25.1 million of loans held-for-sale at September 30, 2022 and December 31, 2021, respectively.

(4)    Includes $74.3 million and $62.8 million of net unearned income, unamortized premiums and discounts and deferred fees and costs at September 30, 2022 and December 31, 2021, respectively.

During the nine months ended September 30, 2022, the Company purchased a total of $182.8 million small business equipment finance loan pools and a total of $188.3 million one- to four-family jumbo mortgage loan pools.

13

    The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the quarter ended September 30, 2022 (in thousands):

	Balance as of September 30, 2022		Current period provision	Charge-offs	Recoveries	Balance as of June 30, 2022
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	17,967	1,646	(166)	329	16,158
Home equity loans	5,448		341	(535)	410	5,232
Vehicle loans	17,004		1,576	(936)	626	15,738
Consumer loans	825		1,170	(1,405)	281	779
Total Personal Banking	41,244		4,733	(3,042)	1,646	37,907
Commercial Banking:
Commercial real estate loans	49,649		5,117	(1,329)	6,220	39,641
Commercial real estate loans - owner occupied	4,087		(34)	—	26	4,095
Commercial loans	14,839		(2,127)	(243)	497	16,712
Total Commercial Banking	68,575		2,956	(1,572)	6,743	60,448
Total	$	109,819	7,689	(4,614)	8,389	98,355
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	4	(2)	—	—	6
Home equity loans	74		10	—	—	64
Total Personal Banking	78		8	—	—	70
Commercial Banking:
Commercial real estate loans	5,382		1,919	—	—	3,463
Commercial real estate loans - owner occupied	287		(41)	—	—	328
Commercial loans	5,288		1,699	—	—	3,589
Total Commercial Banking	10,957		3,577	—	—	7,380
Total off-balance sheet exposure	$	11,035	3,585	—	—	7,450

14

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the quarter ended September 30, 2021 (in thousands):

	Balance as of September 30, 2021		Current period provision	Charge-offs	Recoveries	Balance as of June 30, 2021
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	7,987	1,939	(1,263)	64	7,247
Home equity loans	6,293		291	(1,474)	237	7,239
Vehicle loans	12,457		82	(1,112)	599	12,888
Consumer loans	3,074		949	(1,036)	360	2,801
Total Personal Banking	29,811		3,261	(4,885)	1,260	30,175
Commercial Banking:
Commercial real estate loans	58,451		(5,103)	(1,581)	555	64,580
Commercial real estate loans - owner occupied	3,246		(1,487)	—	4	4,729
Commercial loans	18,259		(1,025)	(412)	1,850	17,846
Total Commercial Banking	79,956		(7,615)	(1,993)	2,409	87,155
Total	$	109,767	(4,354)	(6,878)	3,669	117,330
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	2	—	—	—	2
Home equity loans	40		(2)	—	—	42
Total Personal Banking	42		(2)	—	—	44
Commercial Banking:
Commercial real estate loans	2,647		715	—	—	1,932
Commercial real estate loans - owner occupied	140		(41)	—	—	181
Commercial loans	1,333		101	—	—	1,232
Total Commercial Banking	4,120		775	—	—	3,345
Total off-balance sheet exposure	$	4,162	773	—	—	3,389

15

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the nine months ended September 30, 2022 (in thousands):

	Balance as of September 30, 2022		Current period provision	Charge-offs	Recoveries	Balance as of December 31, 2021
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	17,967	11,331	(1,487)	750	7,373
Home equity loans	5,448		127	(1,237)	1,258	5,300
Vehicle loans	17,004		2,159	(2,517)	1,879	15,483
Consumer loans	825		479	(3,459)	921	2,884
Total Personal Banking	41,244		14,096	(8,700)	4,808	31,040
Commercial Banking:
Commercial real estate loans	49,649		(6,465)	(6,745)	8,718	54,141
Commercial real estate loans - owner occupied	4,087		167	—	37	3,883
Commercial loans	14,839		1,039	(1,253)	1,876	13,177
Total Commercial Banking	68,575		(5,259)	(7,998)	10,631	71,201
Total	$	109,819	8,837	(16,698)	15,439	102,241
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	4	2	—	—	2
Home equity loans	74		35	—	—	39
Total Personal Banking	78		37	—	—	41
Commercial Banking:
Commercial real estate loans	5,382		4,501	—	—	881
Commercial real estate loans - owner occupied	287		145	—	—	142
Commercial loans	5,288		3,894	—	—	1,394
Total Commercial Banking	10,957		8,540	—	—	2,417
Total off-balance sheet exposure	$	11,035	8,577	—	—	2,458

16

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the nine months ended September 30, 2021 (in thousands):

	Balance as of September 30, 2021		Current period provision	Charge-offs	Recoveries	Balance as of December 31, 2020
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	7,987	3,269	(2,888)	340	7,266
Home equity loans	6,293		1,892	(2,081)	490	5,992
Vehicle loans	12,457		(341)	(4,017)	1,990	14,825
Consumer loans	3,074		2,291	(3,135)	1,047	2,871
Total Personal Banking	29,811		7,111	(12,121)	3,867	30,954
Commercial Banking:
Commercial real estate loans	58,451		(12,859)	(9,281)	1,210	79,381
Commercial real estate loans - owner occupied	3,246		(6,391)	(890)	9	10,518
Commercial loans	18,259		2,165	(1,627)	4,147	13,574
Total Commercial Banking	79,956		(17,085)	(11,798)	5,366	103,473
Total	$	109,767	(9,974)	(23,919)	9,233	134,427
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	2	—	—	—	2
Home equity loans	40		5	—	—	35
Total Personal Banking	42		5	—	—	37
Commercial Banking:
Commercial real estate loans	2,647		(802)	—	—	3,449
Commercial real estate loans - owner occupied	140		(186)	—	—	326
Commercial loans	1,333		(1,218)	—	—	2,551
Total Commercial Banking	4,120		(2,206)	—	—	6,326
Total off-balance sheet exposure	$	4,162	(2,201)	—	—	6,363

17

    The following table provides information related to the loan portfolio by portfolio segment and by class of financing receivable at September 30, 2022 (in thousands):

	Total loans receivable		Allowance for credit losses	Nonaccrual loans (1)	Loans 90 days past due and accruing	TDRs	Allowance related to TDRs	Additional commitments to customers with loans classified as TDRs
Personal Banking:
Residential mortgage loans	$	3,401,898	17,967	7,816	—	6,040	1,032	—
Home equity loans	1,284,989		5,448	3,685	—	1,584	657	—
Vehicle loans	2,007,197		17,004	3,235	—	—	—	—
Consumer loans	109,041		825	166	357	—	—	—
Total Personal Banking	6,803,125		41,244	14,902	357	7,624	1,689	—
Commercial Banking:
Commercial real estate loans	2,428,906		49,649	65,298	—	37,993	678	10
Commercial real estate loans - owner occupied	383,924		4,087	619	—	96	18	—
Commercial loans	1,125,570		14,839	2,808	—	1,037	157	400
Total Commercial Banking	3,938,400		68,575	68,725	—	39,126	853	410
Total	$	10,741,525	109,819	83,627	357	46,750	2,542	410

(1)Includes $30.4 million of nonaccrual TDRs.

    The following table provides information related to the loan portfolio by portfolio segment and by class of financing receivable at December 31, 2021 (in thousands): 

	Total loans receivable		Allowance for credit losses	Nonaccrual loans (1)	Loans 90 days past due and accruing	TDRs	Allowance related to TDRs	Additional commitments to customers with loans classified as TDRs
Personal Banking:
Residential mortgage loans	$	2,994,620	7,373	10,402	—	6,749	1,442	—
Home equity loans	1,319,931		5,300	5,758	—	1,781	718	—
Vehicle loans	1,484,231		15,483	3,263	—	—	—	—
Consumer loans	354,517		2,884	675	331	—	—	—
Total Personal Banking	6,153,299		31,040	20,098	331	8,530	2,160	—
Commercial Banking:
Commercial real estate loans	2,625,481		54,141	129,666	—	17,025	2,024	400
Commercial real estate loans - owner occupied	390,003		3,883	1,233	—	159	24	—
Commercial loans	847,609		13,177	7,474	—	4,574	609	60
Total Commercial Banking	3,863,093		71,201	138,373	—	21,758	2,657	460
Total	$	10,016,392	102,241	158,471	331	30,288	4,817	460

(1)Includes $17.2 million of nonaccrual TDRs.

18

We present the amortized cost of our loans on nonaccrual status including such loans with no allowance. The following table presents the amortized cost of our loans on nonaccrual status as of the beginning and end of the period ended September 30, 2022 (in thousands):                                                         

			September 30, 2022
	Nonaccrual loans at January 1, 2022		Nonaccrual loans with an allowance	Nonaccrual loans with no allowance	Total nonaccrual loans at the end of the period	Loans 90 days past due and accruing
Personal Banking:
Residential mortgage loans	$	10,402	7,816	—	7,816	—
Home equity loans	5,758		3,489	196	3,685	—
Vehicle loans	3,263		1,891	1,344	3,235	—
Consumer loans	675		166	—	166	357
Total Personal Banking	20,098		13,362	1,540	14,902	357
Commercial Banking:
Commercial real estate loans	129,666		27,690	37,608	65,298	—
Commercial real estate loans - owner occupied	1,233		619	—	619	—
Commercial loans	7,474		2,030	778	2,808	—
Total Commercial Banking	138,373		30,339	38,386	68,725	—
Total	$	158,471	43,701	39,926	83,627	357

During the three and nine months ended September 30, 2022, we recognized $197,000 and $487,000 of interest income on nonaccrual and troubled debt restructuring loans.

The following table presents the amortized cost of our loans on nonaccrual status as of the year ended December 31, 2021 (in thousands): 

			December 31, 2021
	Nonaccrual loans at January 1, 2021		Nonaccrual loans with an allowance	Nonaccrual loans with no allowance	Total nonaccrual loans at the end of the period	Loans 90 days past due and accruing
Personal Banking:
Residential mortgage loans	$	15,924	10,402	—	10,402	—
Home equity loans	9,123		5,551	207	5,758	—
Vehicle loans	5,533		3,251	12	3,263	—
Consumer loans	1,031		674	1	675	331
Total Personal Banking	31,611		19,878	220	20,098	331
Commercial Banking:
Commercial real estate loans	44,092		65,529	64,137	129,666	—
Commercial real estate loans - owner occupied	3,642		1,233	—	1,233	—
Commercial loans	23,487		3,941	3,533	7,474	—
Total Commercial Banking	71,221		70,703	67,670	138,373	—
Total	$	102,832	90,581	67,890	158,471	331

During the year ended December 31, 2021, we recognized $803,000 of interest income on nonaccrual and troubled debt restructuring loans.

19

The following table presents the amortized cost basis of collateral-dependent loans by class of loans as of September 30, 2022 (in thousands):

	Real estate		Equipment	Total
Personal Banking:
Residential mortgage loans	$	572	—	572
Home equity loans	99		—	99
Total Personal Banking	671		—	671
Commercial Banking:
Commercial real estate loans	63,834		—	63,834
Commercial loans	432		1,122	1,554
Total Commercial Banking	64,266		1,122	65,388
Total	$	64,937	1,122	66,059

The following table presents the amortized cost basis of collateral-dependent loans by class of loans as of December 31, 2021 (in thousands):

	Real estate		Equipment	Total
Personal Banking:
Residential mortgage loans	$	580	—	580
Home equity loans	99		—	99
Total Personal Banking	679		—	679
Commercial Banking:
Commercial real estate loans	119,825		1,705	121,530
Commercial loans	3,973		1,926	5,899
Total Commercial Banking	123,798		3,631	127,429
Total	$	124,477	3,631	128,108

20

    Our loan portfolios include loans that have been modified in a TDR, where concessions have been granted to borrowers who have experienced financial difficulties. These concessions typically result from our loss mitigation activities and could include: extending the note’s maturity date, permitting interest only payments, reducing the interest rate to a rate lower than current market rates for new debt with similar risk, reducing the principal payment, principal forbearance or other actions. These concessions are applicable to all loan segments and classes. Certain TDRs are classified as nonperforming at the time of restructuring and may be returned to performing status after considering the borrower’s sustained repayment performance for a period of at least six months.

When we modify loans in a TDR, we evaluate any possible impairment similar to other impaired loans based on the present value of expected future cash flows, discounted at the contractual interest rate of the original loan agreement, the loan’s observable market price or the current fair value of the collateral, less selling costs, for collateral dependent loans. If we determine that the value of the modified loan is less than the recorded investment in the loan (net of previous charge-offs, deferred loan fees or costs and unamortized premiums or discounts), impairment is recognized through an allowance estimate or a charge-off to the allowance. In periods subsequent to modification, we evaluate all TDRs, including those that have payment defaults, for possible impairment in accordance with ASC 310-10. As a result, loans modified in a TDR may have the financial effect of increasing the specific allowance associated with the loan.

Loans modified in a TDR are closely monitored for delinquency as an early indicator of possible future default. If loans modified in a TDR subsequently default, we evaluate the loan for possible further impairment. The allowance may be increased, adjustments may be made in the allocation of the allowance, partial charge-offs may be taken to further write-down the carrying value of the loan, or the loan may be charged-off completely.

In March 2020 and August 2020, joint statements were issued by federal and state regulatory agencies, after consultation with the FASB, to clarify that short-term loan modifications are not TDRs if made on a good-faith basis in response to COVID-19 to borrowers who were current prior to any relief. Under this guidance, six months is provided as an example of short-term, and current is defined as less than 30 days past due at the time the modification program is implemented. The guidance also provides that these modified loans generally will not be classified as nonaccrual during the term of the modification. For borrowers who are 30 days or more past due when enrolling in a loan modification program related to the COVID-19 pandemic, we evaluate the loan modifications under our existing TDR framework, and where such a loan modification would result in a concession to a borrower experiencing financial difficulty, the loan will be accounted for as a TDR and will generally not accrue interest. This TDR relief under the CARES Act was extended by the Consolidated Appropriations Act, 2021 (“CAA”), signed into law on December 27, 2020. Under the CAA, such relief will continue until the earlier of 60 days after the date the COVID-19 national emergency comes to an end or January 1, 2022. Certain loan modifications made during the prior year were done in accordance with Section 4013 of the CARES Act and the Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus. Accordingly, these loans were not categorized as TDRs.

21

The following tables provide a roll forward of troubled debt restructurings for the periods indicated (dollars in thousands):

	For the quarter ended September 30,
	2022			2021
	Number of contracts	Amount		Number of contracts	Amount
Beginning TDR balance:	128	$	54,237	158	$	27,431
New TDRs	6	221		3	345
Re-modified TDRs	4	977		3	4,490
Net paydowns	—	(810)		—	(4,702)
Charge-offs:
Home equity loans	—	—		1	(29)
Commercial real estate loans	—	—		2	(53)
Commercial real estate loans - owner occupied	—	—		1	(105)
Commercial loans	—	—		5	(139)
Paid-off loans:
Residential mortgage loans	1	(35)		5	(307)
Home equity loans	1	(11)		4	(122)
Commercial real estate loans	1	(3,349)		4	(287)
Commercial real estate loans - owner occupied	1	(44)		—	—
Commercial loans	3	(3,459)		—	—
Ending TDR balance:	127	$	46,750	139	$	26,522
Accruing TDRs		$	16,344		$	13,664
Nonaccrual TDRs		30,406			12,858

	For the nine months ended September 30,
	2022			2021
	Number of contracts	Amount		Number of contracts	Amount
Beginning TDR balance:	134	$	30,288	170	$	32,135
New TDRs	8	25,626		5	2,608
Re-modified TDRs	10	1,178		8	5,701
Net paydowns	—	(1,609)		—	(8,713)
Charge-offs:
Residential mortgage loans	1	(3)		—	—
Home equity loans	—	—		1	(29)
Commercial real estate loans	—	—		2	(53)
Commercial real estate loans - owner occupied	—	—		1	(105)
Commercial loans	—	—		5	(139)
Paid-off loans:
Residential mortgage loans	2	(236)		9	(1,033)
Home equity loans	3	(88)		5	(133)
Commercial real estate loans	4	(3,718)		9	(2,973)
Commercial real estate loans - owner occupied	1	(44)		1	(47)
Commercial loans	4	(3,466)		3	(697)
Ending TDR balance:	127	$	46,750	139	$	26,522
Accruing TDRs		$	16,344		$	13,664
Nonaccrual TDRs		30,406			12,858

22

    The following tables provide information related to TDRs (including re-modified TDRs) by portfolio segment and by class of financing receivable during the periods indicated (in thousands):

	For the quarter ended September 30, 2022					For the nine months ended September 30, 2022
	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance
Personal Banking:
Residential mortgage loans	2	$	147	144	15	2	$	147	144	15
Home equity loans	5	160		154	23	5	160		154	23
Total Personal Banking	7	307		298	38	7	307		298	38
Commercial Banking:
Commercial real estate loans	1	610		609	89	5	34,295		26,212	102
Commercial loans	2	332		291	20	6	3,856		294	20
Total Commercial Banking	3	942		900	109	11	38,151		26,506	122
Total	10	$	1,249	1,198	147	18	$	38,458	26,804	160

	For the quarter ended September 30, 2021					For the nine months ended September 30, 2021
	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance
Personal Banking:
Residential mortgage loans	—	$	—	—	—	1	$	125	115	16
Home equity loans	2	153		36	17	3	156		36	17
Total Personal Banking	2	153		36	17	4	281		151	33
Commercial Banking:
Commercial real estate loans	3	4,840		4,490	65	6	6,723		5,586	207
Commercial loans	1	330		309	—	3	2,726		2,572	—
Total Commercial Banking	4	5,170		4,799	65	9	9,449		8,158	207
Total	6	$	5,323	4,835	82	13	$	9,730	8,309	240

23

The following table provides information as of September 30, 2022 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the quarter ended September 30, 2022 (in thousands):

		Type of modification
	Number of contracts	Maturity date	Total
Personal Banking:
Residential mortgage loans	2	144	144
Home equity loans	5	154	154
Total Personal Banking	7	298	298
Commercial Banking:
Commercial real estate loans	1	609	609
Commercial loans	2	291	291
Total Commercial Banking	3	900	900
Total	10	1,198	1,198

The following table provides information as of September 30, 2021 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the quarter ended September 30, 2021 (in thousands):

		Type of modification
	Number of contracts	Rate		Payment	Maturity date	Total
Personal Banking:
Home equity loans	2	$	—	30	6	36
Total Personal Banking	2	—		30	6	36
Commercial Banking:
Commercial real estate loans	3	378		—	4,112	4,490
Commercial loans	1	—		—	309	309
Total Commercial Banking	4	378		—	4,421	4,799
Total	6	$	378	30	4,427	4,835

The following table provides information as of September 30, 2022 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the nine months ended September 30, 2022 (in thousands):

		Type of modification
	Number of contracts	Rate		Maturity date	Total
Personal Banking:
Residential mortgage loans	2	$	—	144	144
Home equity loans	5	—		154	154
Total Personal Banking	7	—		298	298
Commercial Banking:
Commercial real estate loans	5	4,166		22,046	26,212
Commercial loans	6	—		294	294
Total Commercial Banking	11	4,166		22,340	26,506
Total	18	$	4,166	22,638	26,804

24

The following table provides information as of September 30, 2021 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the nine months ended September 30, 2021 (in thousands):

		Type of modification
	Number of contracts	Rate		Payment	Maturity date	Other	Total
Personal Banking:
Residential mortgage loans	1	$	115	—	—	—	115
Home equity loans	3	—		30	6	—	36
Total Personal Banking	4	115		30	6	—	151
Commercial Banking:
Commercial real estate loans	6	378		—	5,136	72	5,586
Commercial loans	3	—		—	2,572	—	2,572
Total Commercial Banking	9	378		—	7,708	72	8,158
Total	13	$	493	30	7,714	72	8,309

No TDRs modified within the previous twelve months of September 30, 2022 subsequently defaulted.

The following table provides information related to troubled debt restructurings modified within the previous twelve months of September 30, 2021 that subsequently defaulted:

	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance
Commercial Banking:
Commercial real estate loans	3	$	4,167	3,951	2
Total Commercial Banking	3	4,167		3,951	2
Total	3	$	4,167	3,951	2

    The following table provides information related to the amortized cost basis of loan payment delinquencies at September 30, 2022 (in thousands):

	30-59 days delinquent		60-89 days delinquent	90 days or greater delinquent	Total delinquency	Current	Total loans receivable	90 days or greater delinquent and accruing
Personal Banking:
Residential mortgage loans	$	1,052	4,320	5,544	10,916	3,390,982	3,401,898	—
Home equity loans	3,278		1,227	1,779	6,284	1,278,705	1,284,989	—
Vehicle loans	6,086		2,322	1,935	10,343	1,996,854	2,007,197	—
Consumer loans	460		341	453	1,254	107,787	109,041	357
Total Personal Banking	10,876		8,210	9,711	28,797	6,774,328	6,803,125	357
Commercial Banking:
Commercial real estate loans	929		1,648	8,558	11,135	2,417,771	2,428,906	—
Commercial real estate loans - owner occupied	403		93	263	759	383,165	383,924	—
Commercial loans	2,582		808	638	4,028	1,121,542	1,125,570	—
Total Commercial Banking	3,914		2,549	9,459	15,922	3,922,478	3,938,400	—
Total loans	$	14,790	10,759	19,170	44,719	10,696,806	10,741,525	357

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The following table provides information related to the amortized cost basis of loan payment delinquencies at December 31, 2021 (in thousands):

	30-59 days delinquent		60-89 days delinquent	90 days or greater delinquent	Total delinquency	Current	Total loans receivable	90 days or greater delinquent and accruing
Personal Banking:
Residential mortgage loans	$	20,567	5,433	7,641	33,641	2,960,979	2,994,620	—
Home equity loans	3,153		949	4,262	8,364	1,311,567	1,319,931	—
Vehicle loans	5,331		1,487	1,635	8,453	1,475,778	1,484,231	—
Consumer loans	1,205		519	765	2,489	352,028	354,517	331
Total Personal Banking	30,256		8,388	14,303	52,947	6,100,352	6,153,299	331
Commercial Banking:
Commercial real estate loans	16,938		699	23,489	41,126	2,584,355	2,625,481	—
Commercial real estate loans - owner occupied	127		70	574	771	389,232	390,003	—
Commercial loans	193		727	1,105	2,025	845,584	847,609	—
Total Commercial Banking	17,258		1,496	25,168	43,922	3,819,171	3,863,093	—
Total originated loans	$	47,514	9,884	39,471	96,869	9,919,523	10,016,392	331

Credit Quality Indicators: For Commercial Banking we categorize loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. We analyze loans individually by classifying the loans by credit risk. Credit relationships greater than or equal to $1.0 million classified as special mention or substandard are reviewed quarterly for deterioration or improvement to determine if the loan is appropriately classified. We use the following definitions for risk ratings other than pass:

Special Mention — Loans designated as special mention have specific, well-defined risk issues, which create a high level of uncertainty regarding the long-term viability of the business. Loans in this class are considered to have high-risk characteristics. A special mention loan exhibits material negative financial trends due to company-specific or systemic conditions. If these potential weaknesses are not mitigated, they threaten the borrower’s capacity to meet its debt obligations. Special mention loans still demonstrate sufficient financial flexibility to react to and positively address the root cause of the adverse financial trends without significant deviations from their current business strategy. Their potential weaknesses deserve our close attention and warrant enhanced monitoring.

Substandard — Loans classified as substandard are inadequately protected by the current net worth and payment capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected.

Doubtful — Loans classified as doubtful have all the weaknesses inherent in those classified as substandard. In addition, those weaknesses make collection or liquidation in full highly questionable and improbable. A loan classified as doubtful exhibits discernible loss potential, but a complete loss seems very unlikely. The possibility of a loss on a doubtful loan is high, but because of certain important and reasonably specific pending factors that may strengthen the loan, its classification as an estimated loss is deferred until a more exact status can be determined.

Loss — Loans classified as loss are considered uncollectible and of such value that the continuance as a loan is not warranted. A loss classification does not mean that the loan has no recovery or salvage value; instead, it means that it is not practical or desirable to defer writing off all or a portion of a basically worthless loan even though partial recovery may be possible in the future.

For Personal Banking loans a pass risk rating is maintained until they are greater than 90 days past due, and risk rating reclassification is based primarily on past due status of the loan. The risk rating categories can generally be described by the following groupings:

Pass — Loans classified as pass are homogeneous loans that are less than 90 days past due from the required payment date at month-end.

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Substandard — Loans classified as substandard are homogeneous loans that are greater than 90 days past due from the required payment date at month-end, loans classified as TDRs or homogenous retail loans that are greater than 180 days past due from the required payment date at month-end that has been written down to the value of underlying collateral, less costs to sell.

Doubtful — Loans classified as doubtful are homogeneous loans that are greater than 180 days past due from the required payment date at month-end and not written down to the value of underlying collateral. These loans are generally charged-off in the month in which the 180 day period elapses.

The following table presents the amortized cost basis of our loan portfolio by year of origination and credit quality indicator for each portfolio segment as of September 30, 2022 (in thousands):

	YTD September 30, 2022		2021	2020	2019	2018	Prior	Revolving loans	Revolving loans converted to term loans	Total loans receivable
Personal Banking:
Residential mortgage loans
Pass	$	496,721	841,725	557,403	271,096	136,426	1,084,797	—	—	3,388,168
Substandard	—		224	310	351	709	12,136	—	—	13,730
Total residential mortgage loans	496,721		841,949	557,713	271,447	137,135	1,096,933	—	—	3,401,898
Home equity loans
Pass	99,288		132,418	180,140	115,548	52,827	214,833	443,136	41,778	1,279,968
Substandard	—		47	26	62	382	3,075	579	850	5,021
Total home equity loans	99,288		132,465	180,166	115,610	53,209	217,908	443,715	42,628	1,284,989
Vehicle loans
Pass	791,768		670,925	254,957	156,151	82,807	47,352	—	—	2,003,960
Substandard	214		969	503	656	541	354	—	—	3,237
Total vehicle loans	791,982		671,894	255,460	156,807	83,348	47,706	—	—	2,007,197
Consumer loans
Pass	14,944		11,232	5,066	4,313	3,002	5,631	63,134	1,196	108,518
Substandard	—		8	6	4	5	52	405	43	523
Total consumer loans	14,944		11,240	5,072	4,317	3,007	5,683	63,539	1,239	109,041
Total Personal Banking	1,402,935		1,657,548	998,411	548,181	276,699	1,368,230	507,254	43,867	6,803,125
Business Banking:
Commercial real estate loans
Pass	238,090		353,748	395,986	255,223	214,146	740,333	26,992	7,447	2,231,965
Special mention	—		787	1,350	20,784	1,015	7,244	111	15	31,306
Substandard	—		95	7,066	26,833	42,783	87,511	489	858	165,635
Total commercial real estate loans	238,090		354,630	404,402	302,840	257,944	835,088	27,592	8,320	2,428,906
Commercial real estate loans - owner occupied
Pass	53,373		62,701	18,001	51,376	46,512	121,462	2,703	1,555	357,683
Special mention	—		—	—	—	1,673	501	1,204	—	3,378
Substandard	—		—	—	5,379	2,509	13,002	59	1,914	22,863
Total commercial real estate loans - owner occupied	53,373		62,701	18,001	56,755	50,694	134,965	3,966	3,469	383,924
Commercial loans
Pass	451,388		102,258	58,114	50,237	18,805	60,839	349,086	4,103	1,094,830
Special mention	144		209	275	1,282	193	—	1,901	—	4,004
Substandard	540		291	1,088	2,338	1,825	1,356	12,791	6,507	26,736
Total commercial loans	452,072		102,758	59,477	53,857	20,823	62,195	363,778	10,610	1,125,570
Total Business Banking	743,535		520,089	481,880	413,452	329,461	1,032,248	395,336	22,399	3,938,400
Total loans	$	2,146,470	2,177,637	1,480,291	961,633	606,160	2,400,478	902,590	66,266	10,741,525

    During the nine months ended September 30, 2022, $13.4 million of revolving loans were converted to term loans.

27

The following table presents the amortized cost basis of our loan portfolio by year of origination and credit quality indicator for each portfolio segment as of December 31, 2021 (in thousands): 

	2021		2020	2019	2018	2017	Prior	Revolving loans	Revolving loans converted to term loans	Total loans receivable
Personal Banking:
Residential mortgage loans
Pass	$	644,862	602,429	304,275	156,639	171,240	1,098,635	—	—	2,978,080
Substandard	138		489	377	538	882	14,116	—	—	16,540
Total residential mortgage loans	645,000		602,918	304,652	157,177	172,122	1,112,751	—	—	2,994,620
Home equity loans
Pass	150,847		210,224	138,661	65,011	61,692	209,959	435,660	40,766	1,312,820
Substandard	—		—	441	60	455	3,820	1,275	1,060	7,111
Total home equity loans	150,847		210,224	139,102	65,071	62,147	213,779	436,935	41,826	1,319,931
Vehicle loans
Pass	801,084		292,804	205,653	119,304	34,546	27,576	—	—	1,480,967
Substandard	387		365	1,141	745	379	247	—	—	3,264
Total vehicle loans	801,471		293,169	206,794	120,049	34,925	27,823	—	—	1,484,231
Consumer loans
Pass	117,856		81,266	47,195	20,595	9,794	12,202	63,025	1,578	353,511
Substandard	213		161	105	64	26	50	357	30	1,006
Total consumer loans	118,069		81,427	47,300	20,659	9,820	12,252	63,382	1,608	354,517
Total Personal Banking	1,715,387		1,187,738	697,848	362,956	279,014	1,366,605	500,317	43,434	6,153,299
Business Banking:
Commercial real estate loans
Pass	306,689		433,219	335,541	263,524	221,450	683,537	26,288	10,179	2,280,427
Special mention	803		1,808	52,513	3,296	1,394	8,529	729	23	69,095
Substandard	—		34,153	44,712	46,045	56,077	89,311	492	5,169	275,959
Total commercial real estate loans	307,492		469,180	432,766	312,865	278,921	781,377	27,509	15,371	2,625,481
Commercial real estate - owner occupied
Pass	69,084		19,452	51,997	60,824	57,676	94,687	2,822	2,707	359,249
Special mention	—		—	—	769	1,959	1,444	856	—	5,028
Substandard	—		—	3,575	2,887	7,840	10,602	—	822	25,726
Total commercial real estate - owner occupied loans	69,084		19,452	55,572	64,480	67,475	106,733	3,678	3,529	390,003
Commercial loans
Pass	224,367		110,171	73,276	27,668	20,748	76,987	262,805	12,301	808,323
Special mention	197		661	812	1,195	50	581	2,234	—	5,730
Substandard	329		4,767	5,102	4,437	1,529	2,116	6,667	8,609	33,556
Total commercial loans	224,893		115,599	79,190	33,300	22,327	79,684	271,706	20,910	847,609
Total Business Banking	601,469		604,231	567,528	410,645	368,723	967,794	302,893	39,810	3,863,093
Total loans	$	2,316,856	1,791,969	1,265,376	773,601	647,737	2,334,399	803,210	83,244	10,016,392

    During the year ended December 31, 2021, $27.3 million of revolving loans were converted to term loans.

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(4)    Goodwill and Other Intangible Assets

The following table provides information for intangible assets subject to amortization at the dates indicated (in thousands):

	September 30, 2022		December 31, 2021
Amortizable intangible assets:
Core deposit intangibles - gross	$	74,899	74,899
Less: accumulated amortization	(65,446)		(62,158)
Core deposit intangibles - net	$	9,453	12,741
Customer and Contract intangible assets - gross	$	12,775	12,775
Customer list intangible assets disposed of due to sale of insurance business	—		(1,547)
Less: accumulated amortization	(12,737)		(11,133)
Customer and Contract intangible assets - net	38		95
Total intangible assets - net	$	9,491	12,836

The following table shows the actual aggregate amortization expense for the quarters and nine months ended September 30, 2022 and 2021, as well as the estimated aggregate amortization expense, based upon current levels of intangible assets, for the current fiscal year and each of the five succeeding fiscal years (in thousands):

For the quarter ended September 30, 2022	$	1,047
For the quarter ended September 30, 2021	1,321
For the nine months ended September 30, 2022	3,345
For the nine months ended September 30, 2021	4,348
For the year ending December 31, 2022	4,277
For the year ending December 31, 2023	3,270
For the year ending December 31, 2024	2,452
For the year ending December 31, 2025	1,662
For the year ending December 31, 2026	871
For the year ending December 31, 2027	304

    The following table provides information for the changes in the carrying amount of goodwill (in thousands):

	Total
Balance at December 31, 2020	$	382,279
Purchase accounting adjustment	77
Goodwill disposed of due to sale of insurance business	(1,359)
Balance at December 31, 2021	380,997
Balance at September 30, 2022	$	380,997

We performed our annual goodwill impairment test as of June 30, 2022 in accordance with ASC 350 and concluded that goodwill was not impaired. As of September 30, 2022, there were no events or changes in circumstances that would cause us to update that goodwill impairment test and we have concluded there is no impairment of goodwill.

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(5)    Borrowed Funds

    (a)    Borrowings

Borrowed funds at September 30, 2022 and December 31, 2021 are presented in the following table:

	September 30, 2022				December 31, 2021
	Amount		Average rate		Amount		Average rate
Note payable to the FHLB of Pittsburgh, due within one year	$	11,900	3.11	%	$	—	—	%
Collateralized borrowings, due within one year	98,315		0.18	%	139,093		0.19	%
Collateral received, due within one year	39,821		3.08	%	—		—
Total borrowed funds	$	150,036			$	139,093

Borrowings from the Federal Home Loan Bank (“FHLB”) of Pittsburgh, if any, are secured by our residential first mortgage and other qualifying loans. Certain of these borrowings are subject to restrictions or penalties in the event of prepayment.

    The revolving line of credit with the FHLB of Pittsburgh carries a commitment of $250.0 million. The rate is adjusted daily by the FHLB of Pittsburgh, and any borrowings on this line may be repaid at any time without penalty. At September 30, 2022 and December 31, 2021, the balance of the revolving line of credit was $11.9 million and $0, respectively.

At September 30, 2022 and December 31, 2021, collateralized borrowings due within one year were $98.3 million and $139.1 million, respectively. These borrowings are collateralized by cash or various securities held in safekeeping by the FHLB.

At September 30, 2022 and December 31, 2021, collateral received was $39.8 million and $0, respectively. This represents collateral posted to us from our derivative counterparties.

On September 9, 2020, the Company issued $125.0 million of 4.00% fixed-to-floating rate subordinated notes with a maturity date of September 15, 2030. The subordinated notes, which qualify as Tier 2 capital, bear interest at an annual rate of 4.00%, payable semi-annually in arrears commencing on March 15, 2021, and a floating rate of interest equivalent to the 3-month Secured Overnight Financing Rate (“SOFR”) plus 3.89% payable quarterly in arrears commencing on December 15, 2025. The subordinated debt issuance costs of approximately $1.8 million are being amortized over five years on a straight-line basis into interest expense. At September 30, 2022 and December 31, 2021, subordinated debentures, net of issuance costs, were $113.8 million and $123.6 million, respectively.

(b)    Trust Preferred Securities

The Company has seven statutory business trusts: Northwest Bancorp Capital Trust III, a Delaware statutory business trust, Northwest Bancorp Statutory Trust IV, a Connecticut statutory business trust, LNB Trust II, a Delaware statutory business trust, Union National Capital Trust I (“UNCT I”), a Delaware statutory business trust, Union National Capital Trust II (“UNCT II”), a Delaware statutory business trust, MFBC Statutory Trust I, a Delaware statutory trust, and Universal Preferred Trust, a Delaware statutory trust (the “Trusts”). The Trusts exist solely to issue preferred securities to third parties for cash, issue common securities to the Company in exchange for capitalization of the Trusts, invest the proceeds from the sale of trust securities in an equivalent amount of debentures of the Company, and engage in other activities that are incidental to those previously listed. 

The Trusts have invested the proceeds of the offerings in junior subordinated deferrable interest debentures issued by the Company. The structure of these debentures mirrors the structure of the trust-preferred securities. These subordinated debentures are the sole assets of the Trusts. As the shareholders of the trust preferred securities are the primary beneficiaries of the Trusts, the Trusts are not consolidated in our financial statements.

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The following table sets forth a summary of the cumulative trust preferred securities and the junior subordinated debt held by the Trust as of the date listed.

	Maturity date	Interest rate	Capital debt securities		September 30, 2022		December 31, 2021
Northwest Bancorp Capital Trust III	December 30, 2035	3-month LIBOR plus 1.38%	$	50,000	$	51,547	51,547
Northwest Bancorp Statutory Trust IV	December 15, 2035	3-month LIBOR plus 1.38%	50,000		51,547		51,547
LNB Trust II	June 15, 2037	3-month LIBOR plus 1.48%	7,875		8,119		8,119
UNCT I (1)	January 23, 2034	3-month LIBOR plus 2.85%	8,000		7,968		7,950
UNCT II (1)	November 23, 2034	3-month LIBOR plus 2.00%	3,000		2,762		2,741
MFBC Statutory Trust I (1)	September 15, 2035	3-month LIBOR plus 1.70%	5,000		3,658		3,580
Universal Preferred Trust (1)	October 7, 2035	3-month LIBOR plus 1.69%	5,000		3,648		3,570
					$	129,249	129,054

(1) Net of discounts due to the fair value adjustment made at the time of acquisition.

Cash distributions on the trust securities are made on a quarterly basis to the extent interest on the debentures is received by the Trusts. We have the right to defer payment of interest on the subordinated debentures at any time, or from time-to-time, for periods not exceeding five years. If interest payments on the subordinated debentures are deferred, the distributions on the trust securities also are deferred. To date there have been no interest deferrals. Interest on the subordinated debentures and distributions on the trust securities is cumulative. Our obligation constitutes a full, irrevocable, and unconditional guarantee on a subordinated basis of the obligations of the trust under the preferred securities.

The Trusts must redeem the preferred securities when the debentures are paid at maturity or upon an earlier redemption of the debentures to the extent the debentures are redeemed. All or part of the debentures may be redeemed at any time. Also, the debentures may be redeemed at any time if existing laws or regulations, or the interpretation or application of these laws or regulations, change causing:

•the interest on the debentures to no longer be deductible by the Company for federal income tax purposes;

•the trusts to become subject to federal income tax or to certain other taxes or governmental charges;

•the trusts to register as an investment company; or

•the preferred securities to no longer qualify as Tier I capital. 

We may, at any time, dissolve any of the Trusts and distribute the debentures to the trust security holders, subject to receipt of any required regulatory approvals.

(6)    Guarantees

We issue standby letters of credit in the normal course of business. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Standby letters of credit generally are contingent upon the failure of the customer to perform according to the terms of the underlying contract with the third party. We are required to perform under a standby letter of credit when drawn upon by the guaranteed third party in the case of nonperformance by our customer. The credit risk associated with standby letters of credit is essentially the same as that involved in extending loans to customers and is subject to normal loan underwriting procedures. Collateral may be obtained based on management’s credit assessment of the customer. At September 30, 2022, the maximum potential amount of future payments we could be required to make under these non-recourse standby letters of credit was $47.8 million, of which $37.6 million is fully collateralized. At September 30, 2022, we had a liability which represents deferred income of $710,000 related to the standby letters of credit.

In addition, we maintain a $5.0 million credit limit with a correspondent bank for private label credit card facilities for certain existing commercial clients of the Bank, of which $727,000 of the credit limit was allocated to credit cards that have been issued. These issued credit cards had an outstanding balance of $62,000 at September 30, 2022. The clients of the Bank are responsible for repaying any balances due on these credit cards directly to the correspondent bank; however, if the customer fails to repay their balance, the Bank could be required to satisfy the obligation to the correspondent bank and initiate collection from our customer as part of the existing credit facility of that customer.

(7)    Earnings Per Share

     Basic earnings per common share (“EPS”) is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding for the period, without considering any dilutive items. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company.

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The following table sets forth the computation of basic and diluted EPS (in thousands, except share data and per share amounts): 

	Quarter ended September 30,			Nine months ended September 30,
	2022		2021	2022	2021
Net income	$	37,304	35,063	99,017	124,267
Less: Dividends and undistributed earnings allocated to participating securities	166		237	441	841
Net income available to common shareholders	$	37,138	34,826	98,576	123,426
Weighted average common shares outstanding	126,320,706		126,111,774	126,082,217	126,333,290
Add: Participating shares outstanding	565,729		856,206	565,729	856,206
Total weighted average common shares and dilutive potential shares	126,886,435		126,967,980	126,647,946	127,189,496
Basic earnings per share	$	0.29	0.28	0.78	0.98
Diluted earnings per share	$	0.29	0.27	0.78	0.97

(8)    Pension and Other Post-Retirement Benefits

The following table sets forth the net periodic costs for the defined benefit pension plans and post-retirement healthcare plans for the periods indicated (in thousands):

	Quarter ended September 30,
	Pension benefits			Other post-retirement benefits
	2022		2021	2022	2021
Service cost	$	2,599	2,860	—	—
Interest cost	1,671		1,517	10	4
Expected return on plan assets	(3,864)		(3,464)	—	—
Amortization of prior service cost	(564)		(580)	—	—
Amortization of the net loss	381		1,038	2	3
Net periodic cost	$	223	1,371	12	7

	Nine months ended September 30,
	Pension benefits			Other post-retirement benefits
	2022		2021	2022	2021
Service cost	$	7,797	8,580	—	—
Interest cost	5,013		4,552	30	13
Expected return on plan assets	(11,592)		(10,394)	—	—
Amortization of prior service cost	(1,692)		(1,741)	—	—
Amortization of the net loss	1,143		3,117	6	10
Net periodic cost	$	669	4,114	36	23

    We anticipate making a contribution to our defined benefit pension plan between $0 and $2.0 million during the year ending December 31, 2022.

(9)    Disclosures About Fair Value of Financial Instruments

    We are required to disclose fair value information about financial instruments whether or not recognized in the Consolidated Statement of Financial Condition. Fair value information of certain financial instruments and all nonfinancial instruments is not required to be disclosed. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company.

    Financial assets and liabilities recognized or disclosed at fair value on a recurring basis and certain financial assets and liabilities on a non-recurring basis are accounted for using a three-level hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. This hierarchy gives the highest priority to quoted prices with readily available independent data in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable market

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inputs (Level 3). When various inputs for measurement fall within different levels of the fair value hierarchy, the lowest level input that has a significant impact on fair value measurement is used.

    Financial assets and liabilities are categorized based upon the following characteristics or inputs to the valuation techniques:

•    Level 1 - Financial assets and liabilities for which inputs are observable and are obtained from reliable quoted prices for identical assets or liabilities in actively traded markets. This is the most reliable fair value measurement and includes, for example, active exchange-traded equity securities.

•    Level 2 - Financial assets and liabilities for which values are based on quoted prices in markets that are not active or for which values are based on similar assets or liabilities that are actively traded. Level 2 also includes pricing models in which the inputs are corroborated by market data, for example, matrix pricing.

•     Level 3 - Financial assets and liabilities for which values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. Level 3 inputs include the following:

◦Quotes from brokers or other external sources that are not considered binding;

◦Quotes from brokers or other external sources where it cannot be determined that market participants would in fact transact for the asset or liability at the quoted price; and

◦Quotes and other information from brokers or other external sources where the inputs are not deemed observable.

    We are responsible for the valuation process and as part of this process may use data from outside sources in establishing fair value. We perform due diligence to understand the inputs used or how the data was calculated or derived. We also corroborate the reasonableness of external inputs in the valuation process.

    The carrying amounts reported in the Consolidated Statement of Financial Condition approximate fair value for the following financial instruments: cash and cash equivalents, marketable securities available-for-sale, residential mortgage loans held-for-sale, accrued interest receivable, interest rate lock commitments, forward commitments, interest rate swaps, savings and checking deposits, foreign exchange swaps, risk participation agreements, and accrued interest payable.

Marketable Securities

Where available, market values are based on quoted market prices, dealer quotes, and prices obtained from independent pricing services.

Debt Securities — available-for-sale - Generally, debt securities are valued using pricing for similar securities, recently executed transactions and other pricing models utilizing observable inputs. The valuation for most debt securities is classified as Level 2. Securities within Level 2 include corporate bonds, municipal bonds, mortgage-backed securities and U.S. government obligations. Certain debt securities which were AAA rated at purchase do not have an active market and as such we have used an alternative method to determine the fair value of these securities. The fair value has been determined using a discounted cash flow model using market assumptions, which generally include cash flow, collateral and other market assumptions. As such, securities which otherwise would have been classified as Level 2 securities if an active market for those assets or similar assets existed are included herein as Level 3 assets.

Debt Securities — held-to-maturity - The fair value of debt securities held-to-maturity is determined in the same manner as debt securities available-for-sale.

Loans Receivable

    Loans with comparable characteristics including collateral and re-pricing structures are segregated for valuation purposes. Each loan pool is separately valued utilizing a discounted cash flow analysis. Projected monthly cash flows are discounted to present value using a market rate for comparable loans, which is not considered an exit price. Characteristics of comparable loans include remaining term, coupon interest, and estimated prepayment speeds. Delinquent loans are separately evaluated given the impact delinquency has on the projected future cash flow of the loan including the approximate discount or market rate, which is not considered an exit price.

Loans Held-for-Sale

    The estimated fair value of loans held-for-sale is based on market bids obtained from potential buyers.

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FHLB Stock

Due to the restrictions placed on transferability of FHLB stock, it is not practical to determine the fair value. FHLB stock is recorded at cost.

Deposit Liabilities

    The estimated fair value of deposits with no stated maturity, which includes demand deposits, money market, and other savings accounts, is the amount payable on demand. Although market premiums paid for depository institutions reflect an additional value for these low-cost deposits, adjusting fair value for any value expected to be derived from retaining those deposits for a future period of time or from the benefit that results from the ability to fund interest-earning assets with these deposit liabilities is prohibited. The fair value estimates of deposit liabilities do not include the benefit that results from the low-cost funding provided by these deposits compared to the cost of borrowing funds in the market. Fair values for time deposits are estimated using a discounted cash flow calculation that applies contractual cost currently being offered in the existing portfolio to current market rates being offered locally for deposits of similar remaining maturities. The valuation adjustment for the portfolio consists of the present value of the difference of these two cash flows, discounted at the assumed market rate of the corresponding maturity.

Borrowed Funds

Fixed rate advances are valued by comparing their contractual cost to the prevailing market cost. The carrying amount of repurchase agreements approximates their fair value.

Subordinated Debentures

The fair value of our subordinated debentures is calculated using the discounted cash flows at rates observable for other similarly traded liabilities.

Junior Subordinated Debentures

The fair value of junior subordinated debentures is calculated using the discounted cash flows at the prevailing rate of interest.

Interest Rate Lock Commitments and Forward Commitments

The fair value of interest rate lock commitments is based on the value of underlying loans held-for-sale which is based on quoted prices for similar loans in the secondary market. This value is then adjusted based on the probability of the loan closing (i.e., the “pull-through” amount, a significant unobservable input). The fair value of forward sale commitments is based on quoted prices from the secondary market based on the settlement date of the contracts.

Interest Rate and Foreign Exchange Swap Agreements and Risk Participation Agreements

    The fair value of interest rate swaps is based upon the present value of the expected future cash flows using the LIBOR swap curve, the basis for the underlying interest rate. To price interest rate swaps, cash flows are first projected for each payment date using the fixed rate for the fixed side of the swap and the forward rates for the floating side of the swap. These swap cash flows are then discounted to time zero using LIBOR zero-coupon interest rates. The sum of the present value of both legs is the fair market value of the interest rate swap. These valuations have been derived from our third party vendor’s proprietary models rather than actual market quotations. The proprietary models are based upon financial principles and assumptions that we believe to be reasonable. The fair value of the foreign exchange swap is derived from proprietary models rather than actual market quotations. The proprietary models are based upon financial principles and assumptions we believe to be reasonable. Risk participation agreements are entered into when Northwest purchases a portion of a commercial loan that has an interest rate swap. Northwest assumes credit risk on its portion of the interest rate swap should the borrower fail to pay as agreed. The value of risk participation agreements is determined based on the value of the swap after considering the credit quality, probability of default, and loss given default of the borrower.

Off-Balance Sheet Financial Instruments

These financial instruments generally are not sold or traded, and estimated fair values are not readily available. However, the fair value of commitments to extend credit and standby letters of credit is estimated using the fees currently charged to enter into similar agreements. Commitments to extend credit are generally short-term in nature and, if drawn upon, are issued under current market terms. At September 30, 2022 and December 31, 2021, there was no significant unrealized appreciation or depreciation on these financial instruments.

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The following table sets forth the carrying amount and estimated fair value of our financial instruments included in the Consolidated Statement of Financial Condition at September 30, 2022 (in thousands): 

	Carrying amount		Estimated fair value	Level 1	Level 2	Level 3
Financial assets:
Cash and cash equivalents	$	118,549	118,549	118,549	—	—
Securities available-for-sale	1,251,791		1,251,791	—	1,251,791	—
Securities held-to-maturity	899,411		771,238	—	771,238	—
Loans receivable, net	10,615,872		9,639,188	—	—	9,639,188
Residential mortgage loans held-for-sale	15,834		15,834	—	—	15,834
Accrued interest receivable	29,536		29,536	29,536	—	—
Interest rate lock commitments	1,063		1,063	—	—	1,063
Foreign exchange swaps	38		38	—	38	—
Interest rate swaps not designated as hedging instruments	50,295		50,295	—	50,295	—
FHLB stock	19,281		19,281	—	—	—
Total financial assets	$	13,001,670	11,896,813	148,085	2,073,362	9,656,085
Financial liabilities:
Savings and checking deposits	$	10,811,282	10,811,282	10,811,282	—	—
Time deposits	1,067,110		1,069,395	—	—	1,069,395
Borrowed funds	150,036		149,914	149,914	—	—
Subordinated debt	113,753		103,312	—	103,312	—
Junior subordinated debentures	129,249		117,475	—	—	117,475
Forward commitments	139		139	—	139	—
Foreign exchange swaps	9		9	—	9	—
Interest rate swaps not designated as hedging instruments	50,295		50,295	—	50,295	—
Risk participation agreements	25		25	—	25	—
Accrued interest payable	831		831	831	—	—
Total financial liabilities	$	12,322,729	12,302,677	10,962,027	153,780	1,186,870

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The following table sets forth the carrying amount and estimated fair value of our financial instruments included in the Consolidated Statement of Financial Condition at December 31, 2021 (in thousands): 

	Carrying amount		Estimated fair value	Level 1	Level 2	Level 3
Financial assets:
Cash and cash equivalents	$	1,279,259	1,279,259	1,279,259	—	—
Securities available-for-sale	1,548,592		1,548,592	—	1,548,592	—
Securities held-to-maturity	768,154		751,513	—	751,513	—
Loans receivable, net	9,889,095		9,648,825	—	—	9,648,825
Residential mortgage loans held-for-sale	25,056		25,056	—	—	25,056
Accrued interest receivable	25,599		25,599	25,599	—	—
Interest rate lock commitments	1,684		1,684	—	—	1,684
Forward commitments	371		371	—	371	—
Interest rate swaps not designated as hedging instruments	31,254		31,254	—	31,254	—
FHLB stock	14,184		14,184	—	—	—
Total financial assets	$	13,583,248	13,326,337	1,304,858	2,331,730	9,675,565
Financial liabilities:
Savings and checking accounts	$	10,973,610	10,973,610	10,973,610	—	—
Time deposits	1,327,555		1,339,308	—	—	1,339,308
Borrowed funds	139,093		139,093	139,093	—	—
Subordinated debt	123,575		129,138	—	129,138	—
Junior subordinated debentures	129,054		120,083	—	—	120,083
Foreign exchange swaps	341		341	—	341	—
Interest rate swaps not designated as hedging instruments	31,357		31,357	—	31,357	—
Risk participation agreements	60		60	—	60	—
Accrued interest payable	1,804		1,804	1,804	—	—
Total financial liabilities	$	12,726,449	12,734,794	11,114,507	160,896	1,459,391

Fair value estimates are made at a point-in-time, based on relevant market data and information about the instrument. The methods and assumptions detailed above were used in estimating the fair value of financial instruments at both September 30, 2022 and December 31, 2021.

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    The following table represents assets and liabilities measured at fair value on a recurring basis at September 30, 2022 (in thousands): 

	Level 1		Level 2	Level 3	Total assets  at fair value
Debt securities:
U.S. government and agencies	$	—	61,925	—	61,925
Government-sponsored enterprises	—		39,091	—	39,091
States and political subdivisions	—		106,176	—	106,176
Corporate	—		13,140	—	13,140
Total debt securities	—		220,332	—	220,332
Residential mortgage-backed securities:
GNMA	—		12,768	—	12,768
FNMA	—		119,202	—	119,202
FHLMC	—		76,124	—	76,124
Non-agency	—		6	—	6
Collateralized mortgage obligations:
GNMA	—		379,420	—	379,420
FNMA	—		194,850	—	194,850
FHLMC	—		249,089	—	249,089
Total mortgage-backed securities	—		1,031,459	—	1,031,459
Interest rate lock commitments	—		—	1,063	1,063
Foreign exchange swaps	—		38	—	38
Interest rate swaps not designated as hedging instruments	—		50,295	—	50,295
Total assets	$	—	1,302,124	1,063	1,303,187
Interest rate swaps not designated as hedging instruments	—		50,295	—	50,295
Foreign exchange swaps	—		9	—	9
Forward commitments	—		139	—	139
Risk participation agreements	—		25	—	25
Total liabilities	$	—	50,468	—	50,468

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    The following table represents assets and liabilities measured at fair value on a recurring basis at December 31, 2021 (in thousands):

	Level 1		Level 2	Level 3	Total assets  at fair value
Debt securities:
U.S. government and agencies	$	—	75,891	—	75,891
Government-sponsored enterprises	—		46,085	—	46,085
States and political subdivisions	—		128,701	—	128,701
Total debt securities	—		250,677	—	250,677
Residential mortgage-backed securities:
GNMA	—		16,510	—	16,510
FNMA	—		160,063	—	160,063
FHLMC	—		100,055	—	100,055
Non-agency	—		431	—	431
Collateralized mortgage obligations:
GNMA	—		492,328	—	492,328
FNMA	—		269,060	—	269,060
FHLMC	—		259,468	—	259,468
Total mortgage-backed securities	—		1,297,915	—	1,297,915
Interest rate lock commitments	—		—	1,684	1,684
Forward commitments	—		371	—	371
Interest rate swaps not designated as hedging instruments	—		31,254	—	31,254
Total assets	$	—	1,580,217	1,684	1,581,901
Foreign exchange swaps	$	—	341	—	341
Interest rate swaps not designated as hedging instruments	—		31,357	—	31,357
Risk participation agreements	—		60	—	60
Total liabilities	$	—	31,758	—	31,758

    The following table presents the changes in Level 3 assets and liabilities measured at fair value on a recurring basis (in thousands):

	For the quarter ended September 30,			Nine months ended September 30, 2022
	2022		2021	2022	2021
Beginning balance	$	1,520	3,608	1,684	6,465
Interest rate lock commitments:
Net activity	(457)		(471)	(621)	(3,328)
Ending balance	$	1,063	3,137	1,063	3,137

Certain assets and liabilities are measured at fair value on a nonrecurring basis after initial recognition such as loans held-for-sale, loans individually assessed, real estate owned, and mortgage servicing rights.

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    The following table represents the fair market measurement for only those nonrecurring assets that had a fair market value below the carrying amount as of September 30, 2022 (in thousands):

	Level 1		Level 2	Level 3	Total assets  at fair value
Loans individually assessed	$	—	—	21,173	21,173
Mortgage servicing rights	—		—	82	82
Real estate owned, net	—		—	450	450
Total assets	$	—	—	21,705	21,705

    The following table represents the fair market measurement for only those nonrecurring assets that had a fair market value below the carrying amount as of December 31, 2021 (in thousands): 

	Level 1		Level 2	Level 3	Total assets  at fair value
Loans individually assessed	$	—	—	46,968	46,968
Mortgage servicing rights	—		—	380	380
Real estate owned, net	—		—	873	873
Total assets	$	—	—	48,221	48,221

    Individually Assessed Loans - A loan is considered to be individually assessed as described in Note 1(f) of the Notes to the Consolidated Financial Statements in Item 8 of Part II of our 2021 Annual Report on Form 10-K. We classify loans individually assessed as nonrecurring Level 3.

    Real Estate Owned - Real estate owned is comprised of property acquired through foreclosure or voluntarily conveyed by borrowers. These assets are recorded on the date acquired at the lower of the related loan balance or fair value, less estimated disposition costs, with the fair value being determined by appraisal. Subsequently, foreclosed assets are valued at the lower of the amount recorded at acquisition date or fair value, less estimated disposition costs. We classify real estate owned as nonrecurring Level 3. 

The following table presents additional quantitative information about assets measured at fair value on a recurring and nonrecurring basis and for which we have utilized Level 3 inputs to determine fair value at September 30, 2022 (in thousands): 

	Fair value		Valuation techniques	Significant unobservable inputs	Range  (weighted average)
Loans individually assessed	$	21,173	Appraisal value (1)	Estimated cost to sell	10.0%
			Discounted cash flow	Discount rate	6.47% to 14.56% (8.28%)
Mortgage servicing rights	82		Discounted cash flow	Annual service cost	$85
				Prepayment rate	7.0% to 15.1% (9.5%)
				Expected life (months)	56.7 to 101.7 (75.7)
				Option adjusted spread	650 basis points
				Forward yield curve	2.56% to 4.16%
Real estate owned, net	450		Appraisal value (1)	Estimated cost to sell	10.0%
Loans held for sale	15,834		Quoted prices for similar loans in active markets adjusted by an expected pull-through rate	Estimated pull-through rate	100.0%

(1)Fair value is generally determined through independent appraisals of the underlying collateral, which may include Level 3 inputs that are not identifiable, or by using the discounted cash flow method if the loan is not collateral dependent.

(10)    Derivative Financial Instruments

    We are a party to derivative financial instruments in the normal course of business to manage our own exposure to fluctuations in interest rates and to meet the needs of our customers. The primary derivatives that we use are interest rate swaps and caps and foreign exchange contracts, which are entered into with counterparties that meet established credit standards. We believe that the credit risk inherent in all of our derivative contracts is minimal based on our credit standards and the netting and collateral provisions of the interest rate swap agreements.

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Derivatives Not Designated as Hedging Instruments

    We act as an interest rate or foreign exchange swap counterparty for certain commercial borrowers in the normal course of servicing our customers, which are accounted for at fair value. We manage our exposure to such interest rate or foreign exchange swaps by entering into corresponding and offsetting interest rate swaps with third parties that mirror the terms of the swaps we have with the commercial borrowers. These positions (referred to as “customer swaps”) directly offset each other, and our exposure is the fair value of the derivatives due to changes in credit risk of our commercial borrowers and third parties. Customer swaps are recorded within other assets or other liabilities on the consolidated statement of financial condition at their estimated fair value. Changes to the fair value of assets and liabilities arising from these derivatives are included, net, in other operating income in the Consolidated Statement of Income.

    We enter into interest rate lock commitments for residential mortgage loans which commit us to lend funds to a potential borrower at a specific interest rate within a specified period of time. Interest rate lock commitments that relate to the origination of mortgage loans that will be held-for-sale are considered derivative financial instruments under applicable accounting guidance. Interest rate lock commitments on loans held-for-sale are carried at fair value in other assets on the consolidated statement of financial condition. Northwest sells loans to the secondary market on a mandatory or best efforts basis. The loans sold on a mandatory basis commit us to deliver a specific principal amount of mortgage loans to an investor at a specified price, by a specified date, or the commitment must be paired off. These forward commitments entered into on a mandatory delivery basis meet the definition of a derivative financial instrument. All closed loans to be sold on a mandatory delivery basis are classified as held-for-sale on the Consolidated Statement of Financial Condition. Changes to the fair value of the interest rate lock commitments and the forward commitments are recorded in mortgage banking income in the Consolidated Statements of Income.

    We enter into risk participation agreements with financial institution counterparties for interest rate swaps related to loans in which we are a participant. The risk participation agreements provide credit protection to the financial institution should the borrower fail to perform on its interest rate derivative contract with the financial institution.

The following table presents information regarding our derivative financial instruments for the periods indicated (in thousands):

	Asset derivatives			Liability derivatives
	Notional amount		Fair value	Notional amount	Fair value
At September 30, 2022
Derivatives not designated as hedging instruments:
Interest rate swap agreements	$	659,480	50,295	659,480	50,295
Foreign exchange swap agreements	1,218		38	959	9
Interest rate lock commitments	38,880		1,063	—	—
Forward commitments	—		—	5,578	139
Risk participation agreements	—		—	114,796	25
Total Derivatives	$	699,578	51,396	780,813	50,468
At December 31, 2021
Derivatives not designated as hedging instruments:
Interest rate swap agreements	$	644,997	31,254	644,997	31,357
Foreign exchange swap agreements	—		—	17,124	341
Interest rate lock commitments	67,473		1,684	—	—
Forward commitments	14,484		371	—	—
Risk participation agreements	—		—	93,135	60
Total derivatives	$	726,954	33,309	755,256	31,758

The following table presents income or expense recognized on derivatives for the periods indicated (in thousands):

	For the quarter ended September 30,			For the nine months ended September 30,
	2022		2021	2022	2021
Non-hedging swap derivatives:
Increase in other income	$	93	590	207	1,087
Increase in mortgage banking income	809		345	1,131	3,915

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(11)    Legal Proceedings

We establish accruals for legal proceedings when information related to the loss contingencies represented by those matters indicates both that a loss is probable and that the amount of loss can be reasonably estimated. As of September 30, 2022, we do not anticipate that the aggregate ultimate liability arising out of any pending or threatened legal proceedings will be material to our Consolidated Financial Statements. Any such accruals are adjusted thereafter as appropriate to reflect changes in circumstances. Due to the inherent subjectivity of assessments and unpredictability of outcomes of legal proceedings, any amounts accrued may not represent the ultimate loss to us from legal proceedings.

    During the year ended December 31, 2018, Northwest and our subsidiary, The Bert Company (doing business as Northwest Insurance Services) (“NWIS”), were involved in a lawsuit against, among others, First National Bank of Pennsylvania (“FNB”) and their insurance subsidiary, First National Insurance Agency, LLC (“FNIA”). All counterclaims against Northwest were discontinued and, in December 2018, a verdict was rendered in favor of NWIS on several of its claims. Post-trial proceedings have continued throughout the current year and, due to the inherent uncertainties with respect to these proceedings, we have not accrued any awards associated with this verdict within our Consolidated Financial Statements as of September 30, 2022.

(12)    Changes in Accumulated Other Comprehensive Income

The following tables show the changes in accumulated other comprehensive income by component for the periods indicated (in thousands): 

	For the quarter ended September 30, 2022
	Unrealized  losses  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of June 30, 2022	$	(117,056)	(25,574)	(142,630)
Other comprehensive loss before reclassification adjustments (1)	(48,387)		—	(48,387)
Amounts reclassified from accumulated other comprehensive income (2)	—		(131)	(131)
Net other comprehensive loss	(48,387)		(131)	(48,518)
Balance as of September 30, 2022	$	(165,443)	(25,705)	(191,148)

	For the quarter ended September 30, 2021
	Unrealized  gains/(losses)  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of June 30, 2021	$	3,533	(49,725)	(46,192)
Other comprehensive loss before reclassification adjustments (3)	(6,455)		—	(6,455)
Amounts reclassified from accumulated other comprehensive income (4) (5)	(69)		333	264
Net other comprehensive income	(6,524)		333	(6,191)
Balance as of September 30, 2021	$	(2,991)	(49,392)	(52,383)

(1)Consists of unrealized holding losses, net of tax of $14,705.

(2)Consists of realized gains, net of tax of $50.

(3)Consists of unrealized holding losses, net of tax $2,076.

(4)Consists of realized gains, net of tax $24.

(5)Consists of realized losses, net of tax of ($128).

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	For the nine months ended September 30, 2022
	Unrealized  losses  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of December 31, 2021	$	(12,317)	(25,312)	(37,629)
Other comprehensive loss before reclassification adjustments (1)	(153,124)		—	(153,124)
Amounts reclassified from accumulated other comprehensive income (2) (3)	(2)		(393)	(395)
Net other comprehensive loss	(153,126)		(393)	(153,519)
Balance as of September 30, 2022	$	(165,443)	(25,705)	(191,148)

	For the nine months ended September 30, 2021
	Unrealized  gains/(losses)  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of December 31, 2020	$	16,843	(50,392)	(33,549)
Other comprehensive loss before reclassification adjustments (4)	(19,554)		—	(19,554)
Amounts reclassified from accumulated other comprehensive income (5) (6)	(280)		1,000	720
Net other comprehensive income/(loss)	(19,834)		1,000	(18,834)
Balance as of September 30, 2021	$	(2,991)	(49,392)	(52,383)

(1)Consists of unrealized holding losses, net of tax of $45,555.

(2)Consists of realized gains, net of tax of $0.

(3)Consists of realized gains, net of tax of $151.

(4)Consists of unrealized holding losses, net of tax $6,812.

(5)Consists of realized gains, net of tax $89.

(6)Consists of realized losses, net of tax of $(386).

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Item 2.    MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Forward-Looking Statements

In addition to historical information, this document may contain certain forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, as they reflect management’s analysis only as of the date of this report. We have no obligation to revise or update these forward-looking statements to reflect events or circumstances that arise after the date of this report.

Important factors that might cause such a difference include, but are not limited to:

•    inflation and changes in the interest rate environment that reduce our margins, our loan origination, or the fair value of financial instruments;     

•    the disruption to local, regional, national and global economic activity caused by infectious disease outbreaks, including the outbreak of coronavirus (COVID-19) and the significant impact that such outbreak has had and may continue to have on our growth, operations and earnings;

•changes in asset quality, including increases in default rates on loans and higher levels of nonperforming loans and loan charge-offs generally, and specifically resulting from the economic dislocation caused by the COVID-19 pandemic;

•changes in laws or government regulations or policies affecting financial institutions, including changes in regulatory fees and capital requirements;

•changes in federal, state, or local tax laws and tax rates;

•     general economic conditions, either nationally or in our market areas, that are different than expected;

•    adverse changes in the securities and credit markets;

•    cyber-security concerns, including an interruption or breach in the security of our website or other information systems;

•     technological changes that may be more difficult or expensive than expected;

•     the ability of third-party providers to perform their obligations to us;

•     competition among depository and other financial institutions, including with respect to service charges and fees;

•     our ability to enter new markets successfully and capitalize on growth opportunities;

•     our ability to manage our internal growth and our ability to successfully integrate acquired entities, businesses or branch offices;

•     changes in consumer spending, borrowing and savings habits;

•     our ability to continue to increase and manage our commercial and personal loans;

•    possible impairments of securities held by us, including those issued by government entities and government sponsored enterprises;

•    the impact of the economy on our loan portfolio (including cash flow and collateral values), investment portfolio, customers and capital market activities;

•     our ability to receive regulatory approvals for proposed transactions or new lines of business;

•     the effects of any federal government shutdown;

•     changes in the financial performance and/or condition of our borrowers;

•    the effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Securities and Exchange Commission, the Public Company Accounting Oversight Board, the Financial Accounting Standards Board (“FASB”) and other accounting standard setters;

•    changes in the level and direction of loan delinquencies and write-offs and changes in estimates of the adequacy of the allowance for credit losses;

•    our ability to access cost-effective funding;

•    the effect of global or national war, conflict, or terrorism;

•    our ability to manage market risk, credit risk and operational risk;

•    our ability to retain key employees; and

•    our compensation expense associated with equity allocated or awards to our employees.

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Overview of Critical Accounting Policies Involving Estimates

Please refer to Note 1 of the Notes to Consolidated Financial Statements in Item 8 of Part II of our 2021 Annual Report on Form 10-K.

Recently Issued Accounting Standards

    The following accounting standard updates issued by the FASB have not yet been adopted.

    In March 2020, the FASB issued Accounting Standards Update (“ASU”) No. 2020-04, “Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” This ASU provides temporary optional guidance on contract modifications and hedge accounting to ease the financial reporting burdens of the expected market transition from LIBOR and other interbank offered rates to alternative reference rates. The guidance provides expedients and exceptions for applying GAAP to transactions affected by reference rate reform if certain criteria are met. The amendments primarily include contract modifications and hedge accounting, as well as providing a one-time election for the sale or transfer of debt securities classified as held-to-maturity. This guidance is effective as of March 12, 2020 through December 31, 2022. In January 2021, the FASB issued ASU No. 2021-01, “Reference Rate Reform.” This ASU provides amendments, which are elective, and apply to all entities that have derivative instruments that use an interest rate for margining, discounting or contract price alignment of certain derivative instruments that are modified as a result of the reference rate reform. We established a cross-functional working group to manage the LIBOR transition. A transition plan was created to identify and modify the Company’s loan and other financial instrument contracts that are impacted by LIBOR transition. The Company chose the Secured Overnight Financing Rate (“SOFR”) as its alternative replacement for LIBOR on both back-to-back swaps and variable rate loans. We have not offered LIBOR for any new contracts since December 31, 2021. We are continuing to evaluate the amendments on our financial statements, with no material impacts expected, and execute on our transition plan.

In March 2022, the FASB issued ASU No. 2022-02, “Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosure.” This ASU eliminates the accounting guidance for troubled debt restructurings, while enhancing disclosure requirements for certain loan modifications when a borrower is experiencing financial difficulty. This ASU also requires the disclosure of current period gross write-offs by year for origination for financing receivables. This guidance is effective for annual periods beginning after December 15, 2022, including interim periods within those years, with early adoption permitted. This ASU is applied prospectively to modifications and write-offs beginning on the first day of the fiscal year of adoption. An entity may elect to adopt a modified retrospective transition method on the recognition and measurement of the TDR guidance. We are currently in the process of evaluating the ASU and determining the impact on our financial statements.

Comparison of Financial Condition

Total assets at September 30, 2022 were $13.953 billion, a decrease of $548.4 million, or 3.8%, from $14.502 billion at December 31, 2021. This decrease in assets was due to decreases in total cash and cash equivalents and marketable securities, partially offset by an increase in loans receivable, as described in further detail below.

Total cash and cash equivalents decreased by $1.161 billion, or 90.7%, to $118.5 million at September 30, 2022 from $1.279 billion at December 31, 2021. This decrease was driven by organic loan growth and deposit outflow, described in further detail below, as well as the purchase of three small business equipment finance loan pools totaling $182.8 million and two one-to four-family jumbo mortgage loan packages totaling $188.3 million during the nine months ended September 30, 2022.

Total marketable securities decreased by $165.5 million, or 7.1%, to $2.151 billion at September 30, 2022 from $2.317 billion at December 31, 2021. This decrease was driven primarily by the rising interest rate environment which negatively impacted the fair market value of our available-for-sale portfolio. Additionally, the maturity and monthly cash flow of marketable securities was redeployed into higher interest-earning loan products.

Total loans receivable increased by $725.1 million, or 7.2%, to $10.742 billion at September 30, 2022, from $10.016 billion at December 31, 2021. This increase was due to organic loan growth as well as the purchases of small business equipment finance and one-to- four-family jumbo mortgage loan pools during the year. Our personal loan portfolio increased by $649.8 million, or 10.6%, to $6.803 billion at September 30, 2022, from $6.153 billion at December 31, 2021. Continued growth in our consumer indirect auto loans and fewer sales of residential mortgages into the secondary market contributed to the increase in total loans receivable.

     Total deposits decreased by $422.8 million, or 3.4%, to $11.878 billion at September 30, 2022 from $12.301 billion at December 31, 2021. This decrease was primarily due to decreases in time and demand deposit accounts of $393.6 million, or 5.3%. We believe these decreases were primarily the result of customer spending activity returning to pre-pandemic levels at a time when inflationary pressures have caused higher prices and government stimulus programs have ended.

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Total shareholders’ equity at September 30, 2022 was $1.460 billion, or $11.50 per share, a decrease of $123.8 million, or 7.8%, from $1.584 billion, or $12.51 per share, at December 31, 2021. This decrease was primarily the result of an increase in accumulated other comprehensive loss of $153.5 million due to an increase in unrealized losses in the available-for-sale investment portfolio as a result of rising interest rates. These decreases were partially offset by year-to-date earnings of $99.0 million, net of $76.1 million of cash dividend payments.

Regulatory Capital

    Financial institutions and their holding companies are subject to various regulatory capital requirements. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by the regulators that, if undertaken, could have a direct, material effect on a company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, financial institutions must meet specific capital guidelines that involve quantitative measures of its assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting guidelines. Capital amounts and classifications are also subject to qualitative judgments made by the regulators about components, risk-weighting and other factors.

    Applicable rules limit an organization’s capital distributions and certain discretionary bonus payments if the organization does not hold a “capital conservation buffer” consisting of 2.5% of Total, Tier 1 and Common Equity Tier 1 (“CET1”) capital to risk-weighted assets in addition to the amount necessary to meet its minimum risk-based capital requirements.

    Quantitative measures, established by regulation to ensure capital adequacy, require financial institutions to maintain minimum amounts and ratios (set forth in the table below) of Total, CET1 and Tier 1 capital (as defined in the regulations) to risk-weighted assets (as defined), and of Tier 1 capital to average assets (as defined). Capital requirements are presented in the tables below (in thousands).

	At September 30, 2022
	Actual				Minimum capital requirements (1)				Well capitalized requirements
	Amount		Ratio		Amount		Ratio		Amount		Ratio
Total capital (to risk weighted assets)
Northwest Bancshares, Inc.	$	1,722,817	16.290	%	$	1,110,459	10.500	%	$	1,057,580	10.000	%
Northwest Bank	1,518,737		14.373	%	1,109,455		10.500	%	1,056,624		10.000	%
Tier 1 capital (to risk weighted assets)
Northwest Bancshares, Inc.	1,506,056		14.241	%	898,943		8.500	%	846,064		8.000	%
Northwest Bank	1,415,729		13.399	%	898,130		8.500	%	845,299		8.000	%
CET1 capital (to risk weighted assets)
Northwest Bancshares, Inc.	1,380,796		13.056	%	740,306		7.000	%	687,427		6.500	%
Northwest Bank	1,415,729		13.399	%	739,636		7.000	%	686,805		6.500	%
Tier 1 capital (leverage) (to average assets)
Northwest Bancshares, Inc.	1,506,056		11.019	%	546,713		4.000	%	683,391		5.000	%
Northwest Bank	1,415,729		10.348	%	547,270		4.000	%	684,087		5.000	%

(1) Amounts and ratios include the capital conservation buffer of 2.5%, which does not apply to Tier 1 capital to average assets (leverage ratio).

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	At December 31, 2021
	Actual				Minimum capital requirements (1)				Well capitalized requirements
	Amount		Ratio		Amount		Ratio		Amount		Ratio
Total capital (to risk weighted assets)
Northwest Bancshares, Inc.	$	1,682,487	17.056	%	$	1,035,786	10.500	%	$	986,463	10.000	%
Northwest Bank	1,551,084		15.738	%	1,034,819		10.500	%	985,542		10.000	%
Tier I capital (to risk weighted assets)
Northwest Bancshares, Inc.	1,475,190		14.954	%	838,494		8.500	%	789,170		8.000	%
Northwest Bank	1,467,362		14.889	%	837,711		8.500	%	788,434		8.000	%
CET1 capital (to risk weighted assets)
Northwest Bancshares, Inc.	1,350,125		13.687	%	690,524		7.000	%	641,201		6.500	%
Northwest Bank	1,467,362		14.889	%	689,879		7.000	%	640,602		6.500	%
Tier I capital (leverage) (to average assets)
Northwest Bancshares, Inc.	1,475,190		10.349	%	570,160		4.000	%	712,699		5.000	%
Northwest Bank	1,467,362		10.296	%	570,047		4.000	%	712,558		5.000	%

(1) Amounts and ratios include the capital conservation buffer of 2.5%, which does not apply to Tier 1 capital to average assets (leverage ratio).

Liquidity

We are required to maintain a sufficient level of liquid assets, as determined by management and reviewed for adequacy by the FDIC and the Pennsylvania Department of Banking and Securities during their regular examinations. Northwest monitors its liquidity position primarily using the ratio of unencumbered available-for-sale liquid assets as a percentage of deposits and borrowings (“liquidity ratio”). Northwest Bank’s liquidity ratio at September 30, 2022 was 9.74%. We adjust liquidity levels in order to meet funding needs for deposit outflows, payment of real estate taxes and insurance on mortgage loan escrow accounts, repayment of borrowings and loan commitments. At September 30, 2022, Northwest had $3.502 billion of additional borrowing capacity available with the FHLB, including $250.0 million on an overnight line of credit which had a balance of $11.9 million at September 30, 2022, as well as $98.9 million of borrowing capacity available with the Federal Reserve Bank and $105.0 million with two correspondent banks.

Dividends

We paid $25.4 million in cash dividends during the quarters ended September 30, 2022 and 2021. The common stock dividend payout ratio (dividends declared per share divided by net income per diluted share) was 69.0% and 74.1% for the quarters ended September 30, 2022 and September 30, 2021, respectively, on dividends of $0.20 per share. On October 24, 2022, the Board of Directors declared a cash dividend of $0.20 per share payable on November 14, 2022 to shareholders of record as of November 3, 2022. This represents the 112th consecutive quarter we have paid a cash dividend.

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Nonperforming Assets

The following table sets forth information with respect to nonperforming assets. Nonaccrual loans are those loans on which the accrual of interest has ceased. Generally, when a loan is 90 days past due, we fully reverse all accrued interest thereon and cease to accrue interest thereafter. Exceptions are made for loans that have contractually matured, are in the process of being modified to extend the maturity date and are otherwise current as to principal and interest, and well-secured loans that are in the process of collection. Loans may also be placed on nonaccrual before they reach 90 days past due if conditions exist that call into question our ability to collect all contractual interest. Other nonperforming assets represent property acquired through foreclosure or repossession. Foreclosed property is carried at the lower of its fair value less estimated costs to sell or the principal balance of the related loan.

	September 30, 2022			December 31, 2021
	(in thousands)
Loans 90 days or more past due:
Residential mortgage loans	$	5,544		7,641
Home equity loans	1,779			4,262
Vehicle loans	1,935			1,635
Other consumer loans	453			765
Commercial real estate loans	8,558			23,489
Commercial real estate - owner occupied	263			574
Commercial loans	638			1,105
Total loans 90 days or more past due	$	19,170		39,471
Total real estate owned (REO)	$	450		873
Total loans 90 days or more past due and REO	19,620			40,344
Total loans 90 days or more past due to net loans receivable	0.18		%	0.40	%
Total loans 90 days or more past due and REO to total assets	0.14		%	0.28	%
Nonperforming assets:
Nonaccrual loans - loans 90 days or more past due	$	18,813		39,140
Nonaccrual loans - loans less than 90 days past due	64,814			119,331
Loans 90 days or more past due still accruing	357			331
Total nonperforming loans	83,984			158,802
Total nonperforming assets	$	84,434		159,675
Total nonaccrual loans to total loans	0.78		%	1.59	%
Nonaccrual TDR loans (1)	$	30,406		17,216
Accruing TDR loans	16,344			13,072
Total TDR loans	$	46,750		30,288

(1)Included in nonaccrual loans above.

Allowance for Credit Losses

We adopted CECL on January 1, 2020, as further described in Note 1(f) of the Notes to the Consolidated Financial Statements in Item 8 of Part II of our 2021 Annual Report on Form 10-K. Our Board of Directors has adopted an “Allowance for Credit Losses” policy designed to provide management with a systematic methodology for determining and documenting the allowance for credit losses each reporting period. This methodology was developed to provide a consistent process to ensure that the allowance for credit losses is in conformity with GAAP, our policies and procedures and other supervisory and regulatory guidelines.

On an ongoing basis, the Credit Administration department, as well as loan officers, branch managers and department heads, review and monitor the loan portfolio for problem loans. This portfolio monitoring includes a review of the monthly delinquency reports as well as historical comparisons and trend analysis. Personal and small business commercial loans are classified primarily by delinquency status. In addition, a meeting is held every quarter with each region to monitor the performance and status of commercial loans on an internal watch list. On an on-going basis, the loan officer, in conjunction with a portfolio manager, grades or classifies problem commercial loans or potential problem commercial loans based upon their knowledge of the lending relationship and other information previously accumulated. This rating is also reviewed independently by our Loan Review department on a periodic basis. Our loan grading system for problem commercial loans is consistent with industry regulatory guidelines which classifies loans as “substandard”, “doubtful” or “loss.” Loans that do not expose us to risk sufficient to warrant classification in one of the previous categories, but which possess some weaknesses, are designated as “special mention”. A “substandard” loan is any loan that is 90 days or more contractually delinquent or is inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans classified as “doubtful” have all the weaknesses inherent in those classified as “substandard” with the added characteristic that the weaknesses present make collection or liquidation in full, on the basis of currently existing facts,

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conditions or values, highly questionable and improbable. Loans classified as “loss” have all the weakness inherent in those classified as “doubtful” and are considered uncollectible.

Credit relationships that have been classified as substandard or doubtful and are greater than or equal to $1.0 million are reviewed by the Credit Administration department to determine if they no longer continue to demonstrate similar risk characteristics to their loan pool. If a loan no longer demonstrates similar risk characteristics to their loan pool they are removed from the pool and an individual assessment will be performed.

If it is determined that a loan needs to be individually assessed, the Credit Administration department determines the proper measure of fair value for each loan based on one of three methods: (1) the present value of expected future cash flows discounted at the loan’s effective interest rate; (2) the loan’s observable market price; or (3) the fair value of the collateral if the loan is collateral dependent, less costs of sale or disposal. If the measurement of the fair value of the loan is more or less than the amortized cost basis of the loan, the Credit Administration department adjusts the specific allowance associated with that individual loan accordingly.

If a substandard or doubtful loan is not individually assessed, it is grouped with other loans that possess common characteristics for credit losses and analysis. For the purpose of calculating reserves, we have grouped our loans into seven segments: residential mortgage loans, home equity loans, vehicle loans, consumer loans, commercial real estate loans, commercial real estate loans - owner occupied and commercial loans. The allowance for credit losses is measured using a combination of statistical models and qualitative assessments. We use a twenty four month forecasting period and revert to historical average loss rates thereafter. Reversion to average loss rates takes place over twelve months. Historical average loss rates are calculated using historical data beginning in October 2009 through the current period.

The credit losses for individually assessed loans along with the estimated loss for each homogeneous pool are consolidated into one summary document. This summary schedule along with the support documentation used to establish this schedule is presented to management’s Allowance for Credit Loss Committee (“ACL Committee”) monthly. The ACL Committee reviews and approves the processes and ACL documentation presented. Based on this review and discussion, the appropriate amount of ACL is estimated and any adjustments to reconcile the actual ACL with this estimate are determined. The ACL Committee also considers if any changes to the methodology are needed. In addition to the ACL Committee’s review and approval, a review is performed by the Risk Management Committee of the Board of Directors on a quarterly basis and annually by internal audit.

In addition to the reviews by management’s ACL Committee and the Board of Directors’ Risk Management Committee, regulators from either the FDIC and/or the Pennsylvania Department of Banking and Securities perform an extensive review on at least an annual basis for the adequacy of the ACL and its conformity with regulatory guidelines and pronouncements. Any recommendations or enhancements from these independent parties are considered by management and the ACL Committee and implemented accordingly.

We acknowledge that this is a dynamic process and consists of factors, many of which are external and out of our control, that can change frequently, rapidly and substantially. The adequacy of the ACL is based upon estimates using all the information previously discussed as well as current and known circumstances and events. There is no assurance that actual portfolio losses will not be substantially different than those that were estimated.

     We utilize a structured methodology each period when analyzing the adequacy of the allowance for credit losses and the related provision for credit losses, which the ACL Committee assesses regularly for appropriateness. As part of the analysis as of September 30, 2022, we considered the most recent economic conditions and forecasts available which incorporated the impact of material recent economic events. In addition, we considered the overall trends in asset quality, reserves on individually assessed loans, historical loss rates and collateral valuations. The ACL increased by $7.6 million, or 7.4%, to $109.8 million, or 1.02% of total loans at September 30, 2022 from $102.2 million, or 1.02% of total loans, at December 31, 2021. Total classified loans decreased $125.4 million, or 34.5%, to $237.7 million at September 30, 2022 from $363.2 million at December 31, 2021. This decrease was primarily due to the upgrade and payoff of loans in our commercial real estate portfolio during the current year.

We also consider how the levels of nonaccrual loans and historical charge-offs have influenced the required amount of allowance for credit losses. Nonaccrual loans of $83.6 million, or 0.78% of total loans receivable at September 30, 2022, decreased by $74.8 million, or 47.2%, from $158.5 million, or 1.59% of total loans receivable at December 31, 2021. This decrease was primarily related to upgrades to loans within our commercial real estate portfolio. We experienced an annualized net recovery during the quarter ended September 30, 2022 of 0.14%, as a percentage of average loans, compared to a total net charge-off 0.20% as a percentage of average loans for the year ended December 31, 2021. The net recovery was primarily from the recovery of a previously charged-off commercial real estate loan.

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Comparison of Operating Results for the Quarters Ended September 30, 2022 and 2021

Net income for the quarter ended September 30, 2022 was $37.3 million, or $0.29 per diluted share, an increase of $2.2 million, or 6.4%, from net income of $35.1 million, or $0.27 per diluted share, for the quarter ended September 30, 2021. The increase in net income primarily resulted from a $14.3 million, or 14.6%, increase in net interest income, as well as a decrease in noninterest expense of $3.5 million, or 4.1%. These increases were partially offset by an increase in the provision for credit losses of $12.0 million, or 276.6%, a decrease in noninterest income of $2.4 million, or 8.2%, and a $1.2 million, or 11.0%, increase in income tax expense. Net income for the quarter ended September 30, 2022 represents annualized returns on average equity and average assets of 9.84% and 1.05%, respectively, compared to 8.86% and 0.97% for the same quarter last year. A further discussion of notable changes follows.

Interest Income

    Total interest income increased $13.6 million, or 13.0%, to $118.6 million for the quarter ended September 30, 2022 from $105.0 million for the quarter ended September 30, 2021. This increase was due to an increase in the average yield earned on interest-earning assets to 3.58% for the quarter ended September 30, 2022 from 3.13% for the quarter ended September 30, 2021 due to the rising interest rate environment, as well as the change in our interest-earning asset mix. This was partially offset by a decline in the average balance of interest-earning assets of $177.9 million, or 1.3%, to $13.156 billion for the quarter ended September 30, 2022 from $13.334 billion for the quarter ended September 30, 2021, driven by a decrease in other interest-earning deposits.

    Interest income on loans receivable increased by $9.5 million, or 9.7%, to $106.9 million for the quarter ended September 30, 2022 compared to $97.5 million for the quarter ended September 30, 2021. This increase in interest income was due to increases in both the average yield and average balance on loans receivable. The average yield increased to 4.05% for the quarter ended September 30, 2022, from 3.79% from the quarter ended September 30, 2021, due to the increase in market interest rates. The average balance of loans receivable increased by $254.6 million, or 2.5%, to $10.481 billion for the quarter ended September 30, 2022 from $10.226 billion for the quarter ended September 30, 2021 due to organic loan growth as well as the purchases of three small business equipment finance loan pools totaling $182.8 million and two one-to four-family jumbo mortgage loan packages totaling $188.3 million during the nine months ended September 30, 2022.

    Interest income on mortgage-backed securities increased by $2.8 million, or 48.7%, to $8.7 million for the quarter ended September 30, 2022 compared to $5.8 million for the quarter ended September 30, 2021. This increase was driven by an increase in the average yield on mortgage-backed securities to 1.72% for the quarter ended September 30, 2022 from 1.27% for the quarter ended September 30, 2021 due to the purchase of mortgage-backed securities with yields higher than the existing portfolio. Additionally, the average balance of mortgage-backed securities increased $186.8 million, or 10.2%, to $2.020 billion for the quarter ended September 30, 2022 from $1.833 billion for the quarter ended September 30, 2021. This increase in average balance was primarily a result of additional purchases as we deployed interest-earning deposits into higher yielding investments.

    Interest income on investment securities increased by $270,000, or 21.1%, for the quarter ended September 30, 2022 to $1.5 million from $1.3 million for the quarter ended September 30, 2021. This increase was due to an increase in the average balance of investment securities by $40.1 million, or 11.5%, to $388.8 million for the quarter ended September 30, 2022 from $348.6 million for the quarter ended September 30, 2021. The average yield on investment securities increased to 1.59% for the quarter ended September 30, 2022 from 1.47% for the quarter ended September 30, 2021.

    Dividends on FHLB stock increased by $77,000, or 108.5%, to $148,000 for the quarter ended September 30, 2022 from $71,000 for the quarter ended September 30, 2021. This increase was due to the average yield increasing to 4.19% for the quarter ended September 30, 2022 from 1.31% for the quarter ended September 30, 2021 due to increases in market interest rates. This was partially offset by a decrease in the average balance of FHLB stock of $7.6 million, or 35.1%, to $14.0 million for the quarter ended September 30, 2022 from $21.6 million for the quarter ended September 30, 2021. Required FHLB stock holdings fluctuate with, among other things, the utilization of our borrowing capacity as well as capital requirements established by the FHLB.

    Interest income on interest-earning deposits increased by $943,000 to $1.3 million for the quarter ended September 30, 2022 from $352,000 for the quarter ended September 30, 2021. This increase was driven by an increase in the average yield on interest-earning deposits to 2.00% for the quarter ended September 30, 2022 from 0.15% for the quarter ended September 30, 2021, due to the Federal Reserve Board raising targeted short-term interest rates. The average balance of interest-earning deposits decreased by $651.9 million, or 72.0%, to $253.2 million for the quarter ended September 30, 2022 from $905.1 million for the quarter ended September 30, 2021 as the Bank has deployed these funds into higher yielding loans and investments.

Interest Expense

Interest expense decreased by $729,000, or 11.1%, to $5.9 million for the quarter ended September 30, 2022 from $6.6 million for the quarter ended September 30, 2021. This decrease in interest expense was primarily due to the decrease in the average

49

balance of interest-bearing deposits of $287.8 million, or 3.0%, to $9.246 billion for the quarter ended September 30, 2022 from $9.534 billion for the quarter ended September 30, 2021. Additionally, there was a decline in the average cost of interest-bearing liabilities, which decreased to 0.25% for the quarter ended September 30, 2022 from 0.27% for the quarter ended September 30, 2021. This decrease resulted from the overall change in the mix of deposit accounts as customers move from fixed-rate time deposits to more liquid deposit accounts. In addition, despite a rising interest rate environment, we have been able to keep our cost of deposits stable.

Net Interest Income

Net interest income increased by $14.3 million, or 14.6%, to $112.7 million for the quarter ended September 30, 2022 from $98.4 million for the quarter ended September 30, 2021. This increase is attributable to the factors discussed above. Additionally, our interest rate spread increased to 3.33% for the quarter ended September 30, 2022 from 2.86% for the quarter ended September 30, 2021, and our net interest margin increased to 3.40% for the quarter ended September 30, 2022 from 2.95% for the quarter ended September 30, 2021, primarily due to rising interest-earning asset yields in response to recent increases in market interest rates.

Provision for Credit Losses

    The provision for credit losses increased by $12.0 million, or 276.6%, to a current period provision expense of $7.7 million for the quarter ended September 30, 2022 from a negative provision of $4.4 million the quarter ended September 30, 2021. The current period provision was driven by loan portfolio growth during the current year as well as a deterioration in the economic forecasts utilized in our allowance for credit loss models. The credit to the provision in the prior year was driven by improvements in the economic forecasts compared to the uncertainty that existed in 2020 to the industries impacted by COVID-19.

    In determining the amount of the current period provision, we considered current and forecasted economic conditions, including but not limited to unemployment levels, expected economic growth, bankruptcy filings, and changes in real estate values and the impact of these factors on the quality of our loan portfolio and historical loss experience. We analyze the allowance for credit losses as described in the section entitled “Allowance for Credit Losses.” The provision that is recorded is sufficient, in our judgment, to bring this reserve to a level that reflects the current expected lifetime losses in our loan portfolio relative to loan mix, a reasonable and supportable economic forecast period, and historical loss experience at September 30, 2022.

Noninterest Income

Noninterest income decreased by $2.4 million, or 8.2%, to $26.8 million for the quarter ended September 30, 2022 from $29.2 million for the quarter ended September 30, 2021. This decrease was primarily due to a decline in our mortgage banking income of $3.2 million, or 80.6%, to $766,000 for the quarter ended September 30, 2022 from $3.9 million for the quarter ended September 30, 2021. This decrease reflects the impact of less favorable pricing in the secondary market, due primarily to the volatile interest rate environment, as well as decreased mortgage volumes. Partially offsetting this decrease was an increase in service charges and fees of $1.1 million, or 8.5%, to $14.3 million for the quarter ended September 30, 2022 compared to $13.2 million for the quarter ended September 30, 2021, as customer activity increased in 2022 after COVID-19 restricted behavior in the prior year.

Noninterest Expense

Noninterest expense decreased by $3.5 million, or 4.1%, to $82.6 million for the quarter ended September 30, 2022 from $86.1 million for the quarter ended September 30, 2021. Almost all expense categories decreased as the Company continues to focus on controlling costs and improving efficiency. Compensation and employee benefits decreased $2.4 million, or 4.8%, to $46.7 million for the quarter ended September 30, 2022 from $49.1 million for the quarter ended September 30, 2021, driven primarily by the branch consolidations completed in April 2022. Professional services decreased $932,000, or 21.7%, to $3.4 million for the quarter ended September 30, 2022 from $4.3 million for the quarter ended September 30, 2021 due to the use of third-party consulting services during the prior year. Offsetting these decreases was an increase in other expenses of $1.7 million, or 75.4%, to $3.9 million for the quarter ended September 30, 2022 from $2.2 million for the quarter ended September 30, 2021 due to an increase in our unfunded loan loss reserve associated with the origination of loans with current off balance sheet exposure.

Income Taxes

The provision for income taxes increased by $1.2 million, or 11.0%, to $12.0 million for the quarter ended September 30, 2022 from $10.8 million for the quarter ended September 30, 2021. This increase in income taxes was due to an increase in income before taxes in the current year. We anticipate our effective tax rate to be between 22.0% and 24.0% for the year ending December 31, 2022.

50

Comparison of Operating Results for the Nine Months Ended September 30, 2022 and 2021

Net income for the nine months ended September 30, 2022 was $99.0 million, or $0.78 per diluted share, a decrease of $25.3 million, or 20.3%, from $124.3 million, or $0.97 per diluted share, for the nine months ended September 30, 2021. The decrease in net income resulted primarily from a decrease in noninterest income of $32.9 million, or 28.4%, as well as an increase in the provision for credit losses of $18.8 million, or 188.6%. These unfavorable fluctuations were partially offset by a $9.3 million, or 3.6%, decrease in noninterest expense, a $9.0 million, or 3.1%, increase in net interest income, and a decrease in income tax expense of $8.1 million, or 21.5%. Net income for the nine months ended September 30, 2022 represents annualized returns on average equity and average assets of 8.61% and 0.93%, respectively, compared to 10.67% and 1.17% for the nine months ended September 30, 2021. A further discussion of notable changes follows.

Interest Income

    Total interest income increased by $5.4 million, or 1.7%, to $320.9 million for the nine months ended September 30, 2022 from $315.6 million for the nine months ended September 30, 2021. This increase is the result of increases in the average yield earned on interest-earning assets as well as the average balance of interest-earning assets, and specifically the change in our interest-earning asset mix. The average yield earned on interest-earning assets increased to 3.23% for the nine months ended September 30, 2022 from 3.20% for the nine months ended September 30, 2021 due to the recent rising interest rate environment. The average balance of interest-earning assets increased by $143.0 million, or 1.1%, to $13.301 billion for the nine months ended September 30, 2022 from $13.158 billion for the nine months ended September 30, 2021 primarily driven by growth in the mortgage-backed securities portfolio which offset the decreases in the average balance of loans receivable.

Interest income on loans receivable decreased by $4.4 million, or 1.5%, to $290.7 million for the nine months ended September 30, 2022 from $295.0 million for the nine months ended September 30, 2021. This decrease is attributed to a decrease in the average balance of loans receivable by $127.7 million, or 1.2%, to $10.182 billion for the nine months ended September 30, 2022 from $10.309 billion for the nine months ended September 30, 2021 due primarily to PPP loan forgiveness and the payoff of several classified commercial real estate loan relationships. The average yield remained consistent at 3.82% for the nine months ended September 30, 2022 and September 30, 2021.

    Interest income on mortgage-backed securities increased by $6.5 million, or 41.2%, to $22.2 million for the nine months ended September 30, 2022 from $15.7 million for the nine months ended September 30, 2021. This increase is attributed to increases in both the average balance and the average yield of mortgage-backed securities. The average balance increased $332.9 million, or 20.3%, to $1.973 billion for the nine months ended September 30, 2022 from $1.640 billion for the nine months ended September 30, 2021. This increase was primarily a result of additional purchases as we deployed interest-earning deposits into higher yielding investments. Additionally, the average yield on mortgage-backed securities increased to 1.50% for the nine months ended September 30, 2022 from 1.28% for the nine months ended September 30, 2021 due to the purchase of fixed-rate mortgage-backed securities with yields higher than the existing portfolio.

Interest income on investment securities increased by $523,000, or 13.9%, to $4.3 million for the nine months ended September 30, 2022 from $3.8 million for the nine months ended September 30, 2021. This increase is primarily attributable to an increase in the average balance of investment securities by $31.7 million, or 9.1%, to $379.9 million for the nine months ended September 30, 2022 from $348.2 million for the nine months ended September 30, 2021. Additionally, the average yield on investment securities increased to 1.51% for the nine months ended September 30, 2022 from 1.44% for the nine months ended September 30, 2021.

Dividends on FHLB stock decreased by $14,000, or 4.3%, to $311,000 for the nine months ended September 30, 2022 from $325,000 for the nine months ended September 30, 2021. This decrease was due to an $8.4 million, or 37.9%, decrease in the average balance of FHLB stock to $13.8 million for the nine months ended September 30, 2022 from $22.2 million for the nine months ended September 30, 2021. Required FHLB stock holdings fluctuate with, among other things, the utilization of our borrowing capacity as well as capital requirements established by the FHLB. Partially offsetting the decrease in the balance was an increase in the average yield on FHLB stock to 3.02% for the nine months ended September 30, 2022 from 1.95% for the nine months ended September 30, 2021 as the FHLB of Pittsburgh increased dividend rates on required stock holdings in relation to higher market interest rates.

Interest income on interest-earning deposits increased by $2.7 million to $3.4 million for the nine months ended September 30, 2022 from $727,000 for the nine months ended September 30, 2021. This increase is attributable to an increase in the average yield on interest-earning deposits to 0.60% for the nine months ended September 30, 2022 from 0.11% for the nine months ended September 30, 2021, as a result of increases in the targeted federal funds rate by the Federal Reserve. This was partially offset by a decrease in the average balance of interest-earning deposits by $85.5 million, or 10.2%, to $753.5 million for the nine months ended September 30, 2022 from $839.0 million for the nine months ended September 30, 2021 as we deployed funds into higher yielding investments.

51

Interest Expense

Interest expense decreased by $3.7 million, or 17.5%, to $17.3 million for the nine months ended September 30, 2022 from $21.0 million for the nine months ended September 30, 2021. This decrease in interest expense was driven by decreases in both the average cost and the average balance of interest-bearing liabilities. The average cost of interest-bearing liabilities decreased to 0.25% for the nine months ended September 30, 2022 from 0.30% for the nine months ended September 30, 2021. This decrease resulted from decreases in the interest rate paid on deposits as well as the change in deposit mix as customers chose to move funds from fixed-rate time deposits to more liquid deposit accounts. Despite a rising interest rate environment, we have been able to keep our cost of deposits stable. Additionally, the yield on time deposits has continued to decrease, from 0.87% for the nine months ended September 30, 2021 to 0.60% for the nine months ended September 30, 2022, as time deposits with higher rates matured and rolled into lower rate deposit products. This decrease in time deposits has contributed largely to a decrease in the average balance of interest-bearing liabilities of $50.1 million, or 0.5%, to $9.425 billion for the nine months ended September 30, 2022 from $9.475 billion for the nine months ended September 30, 2021.

Net Interest Income

Net interest income increased by $9.0 million, or 3.1%, to $303.6 million for the nine months ended September 30, 2022 from $294.6 million for the nine months ended September 30, 2021. This increase is attributable to the factors discussed above. Our interest rate spread and net interest margin both increased over the course of the year. Our interest rate spread increased to 2.98% for the nine months ended September 30, 2022 from 2.91% for the nine months ended September 30, 2021 and our net interest margin increased to 3.05% for the nine months ended September 30, 2022 from 2.99% for the nine months ended September 30, 2021. These increases were driven largely by increasing interest rates and a change in balance sheet mix.

Provision for Credit Losses

    The provision for credit losses increased by $18.8 million, or 188.6%, to a current period provision expense of $8.8 million for the nine months ended September 30, 2022 from a negative provision of $10.0 million for the nine months ended September 30, 2021. The current period provision was driven primarily by growth within our loan portfolio as well as a deterioration in the most recent economic forecasts. The negative provision in the prior year was driven by the improvements in the economic forecasts compared to the uncertainty that existed in 2020 for industries impacted by COVID-19

Annualized net charge-offs to average loans decreased to 0.02% for the nine months ended September 30, 2022 from 0.19% for the nine months ended September 30, 2021. Additionally, classified assets declined by $146.6 million, or 38.1%, to $237.7 million, or 2.21% of loans outstanding at September 30, 2022 from $384.4 million, or 3.77% of loans outstanding at September 30, 2021.

In determining the amount of the current period provision, we considered current economic conditions, including but not limited to unemployment levels, bankruptcy filings, and changes in real estate values and the impact of these factors on the quality of our loan portfolio and historical loss experience. We analyze the allowance for credit losses as described in the section entitled “Allowance for Credit Losses.” The provision that is recorded is sufficient, in our judgment, to bring this reserve to a level that reflects the current expected lifetime losses in our loan portfolio relative to loan mix, a reasonable and supportable economic forecast period and historical loss experience at September 30, 2022.

Noninterest Income

Noninterest income decreased by $32.9 million, or 28.4%, to $83.0 million for the nine months ended September 30, 2022 from $115.8 million for the nine months ended September 30, 2021. This decrease was primarily driven by the sale of our insurance business on April 30, 2021, resulting in a $25.3 million pre-tax gain during the prior nine month period. This insurance business sale in the prior year also resulted in a decrease in insurance commission income of $3.6 million from the nine months ended September 30, 2021. In addition, mortgage banking income decreased by $9.4 million, or 68.1%, due to the impact of less favorable secondary market pricing, as well as decreased mortgage volumes. Partially offsetting these decreases was a $2.7 million, or 7.1%, increase in service charges and fees to $41.1 million for the nine months ended September 30, 2022 from $38.3 million for the nine months ended September 30, 2021 due to increased customer activity in 2022 after COVID-19 restricted behavior in the prior year. In addition, other operating income increased $1.6 million, or 18.6%, to $10.4 million for the nine months ended September 30, 2022 from $8.8 million for the nine months ended September 30, 2021 due to an increase in swap fee income as well as a gain of approximately $1.0 million from the sale of branch buildings associated with the previously announced consolidation of 20 branch office facilities.

52

Noninterest Expense

Noninterest expense decreased by $9.3 million, or 3.6%, to $249.3 million for the nine months ended September 30, 2022, from $258.6 million for the nine months ended September 30, 2021. Spread across almost all expense categories, this decrease was driven by a $3.8 million, or 29.3%, decrease in professional service expense to $9.3 million for the nine months ended September 30, 2022 from $13.1 million for the nine months ended September 30, 2021 due to the utilization of third-party experts to recruit talent, provide consulting services, and to assist with our digital strategy rollout during the prior year. Compensation and employee benefits expense decreased $3.5 million, or 2.4%, to $141.7 million for the nine months ended September 30, 2022 from $145.2 million for the nine months ended September 30, 2021 despite recognizing approximately $1.4 million of additional expense related to the acceleration of compensation and stock benefits upon the passing of our former Chief Executive Officer. This decrease in compensation and benefits as well as the $1.7 million, or 7.2%, decrease in premises and occupancy costs are due primarily to branch consolidations completed over the past two years. Processing expenses decreased $3.2 million, or 7.6%, to $38.9 million for the nine months ended September 30, 2022 from $42.1 million for the nine months ended September 30, 2021 due to the prior year investment in technology and infrastructure. Partially offsetting these decreases, was a $4.5 million, or 64.3%, increase in other expenses due to an increase in the reserve for unfunded commitments resulting from the origination of loans with current off balance sheet exposure.

Income Taxes

The provision for income taxes decreased by $8.1 million, or 21.5%, to $29.5 million for the nine months ended September 30, 2022 from $37.5 million for the nine months ended September 30, 2021. This decrease was primarily due to the decrease in income before tax of $33.3 million, or 20.6%. We anticipate our effective tax rate to be between 22.0% and 24.0% for the year ending December 31, 2022.

53

Average Balance Sheet

(in thousands)

    The following table sets forth certain information relating to the Company’s average balance sheet and reflects the average yield on interest-earning assets and average cost of interest-bearing liabilities for the periods indicated. Such yields and costs are derived by dividing income or expense by the average balance of assets or liabilities, respectively, for the periods presented. Average balances are calculated using daily averages. 

	Quarter ended September 30,
	2022					2021
	Average balance		Interest	Avg. yield/ cost (h)		Average balance		Interest	Avg. yield/ cost (h)
Assets
Interest-earning assets:
Residential mortgage loans	$	3,331,173	29,414	3.53	%	$	2,959,794	25,398	3.43	%
Home equity loans	1,274,918		13,658	4.25	%	1,356,131		11,993	3.51	%
Consumer loans	1,981,754		17,256	3.45	%	1,728,563		16,220	3.72	%
Commercial real estate loans	2,842,597		34,158	4.70	%	3,205,839		35,305	4.31	%
Commercial loans	1,050,124		12,978	4.84	%	975,603		9,096	3.65	%
Loans receivable (a) (b) (d) (includes FTE adjustments of $521 and $537, respectively)	10,480,566		107,464	4.07	%	10,225,930		98,012	3.80	%
Mortgage-backed securities (c)	2,019,715		8,683	1.72	%	1,832,876		5,840	1.27	%
Investment securities (c) (d) (includes FTE adjustments of $215 and $189, respectively)	388,755		1,762	1.81	%	348,619		1,466	1.68	%
FHLB stock, at cost	14,028		148	4.19	%	21,607		71	1.31	%
Other interest-earning deposits	253,192		1,295	2.00	%	905,130		352	0.15	%
Total interest-earning assets (includes FTE adjustments of $736 and $726, respectively)	13,156,256		119,352	3.60	%	13,334,162		105,741	3.15	%
Noninterest-earning assets (e)	896,663					1,074,122
Total assets	$	14,052,919				$	14,408,284
Liabilities and shareholders’ equity
Interest-bearing liabilities:
Savings deposits	$	2,350,248	594	0.10	%	$	2,271,365	603	0.11	%
Interest-bearing demand deposits	2,794,338		360	0.05	%	2,890,905		414	0.06	%
Money market deposit accounts	2,620,850		692	0.10	%	2,565,159		637	0.10	%
Time deposits	1,110,906		1,511	0.54	%	1,423,041		2,886	0.80	%
Borrowed funds (f)	127,073		239	0.75	%	131,199		154	0.47	%
Subordinated debentures	113,695		1,149	4.04	%	123,513		1,277	4.10	%
Junior subordinated debentures	129,207		1,322	4.00	%	128,946		625	1.90	%
Total interest-bearing liabilities	9,246,317		5,867	0.25	%	9,534,128		6,596	0.27	%
Noninterest-bearing demand deposits (g)	3,093,490					3,058,819
Noninterest-bearing liabilities	209,486					244,402
Total liabilities	12,549,293					12,837,349
Shareholders’ equity	1,503,626					1,570,935
Total liabilities and shareholders’ equity	$	14,052,919				$	14,408,284
Net interest income/Interest rate spread			113,485	3.35	%			99,145	2.87	%
Net interest-earning assets/Net interest margin	$	3,909,939		3.42	%	$	3,800,034		2.97	%
Ratio of interest-earning assets to interest- bearing liabilities	1.42X					1.40X

(a)Average gross loans includes loans held as available-for-sale and loans placed on nonaccrual status.

(b)Interest income includes accretion/amortization of deferred loan fees/expenses, which were not material.

(c)Average balances do not include the effect of unrealized gains or losses on securities held as available-for-sale.

(d)Interest income on tax-free investment securities and tax-free loans are presented on a fully taxable equivalent (“FTE”) basis.

(e)Average balances include the effect of unrealized gains or losses on securities held as available-for-sale.

(f)Average balances include FHLB borrowings and collateralized borrowings.

(g)Average cost of total deposits was 0.11% and 0.15%, respectively.

(h)Annualized. Shown on a FTE basis. The FTE basis adjusts for the tax benefit of income on certain tax exempt loans and investments using the federal statutory rate applicable to each period presented. We believe this measure to be the preferred industry measurement of net interest income and provides relevant comparison between taxable and non-taxable amounts. GAAP basis yields were: loans — 4.05% and 3.79%, respectively; investment securities — 1.59% and 1.47%, respectively; interest-earning assets — 3.58% and 3.13%, respectively. GAAP basis net interest rate spreads were 3.33% and 2.86%, respectively; and GAAP basis net interest margins were 3.40% and 2.95%, respectively.

54

Rate/Volume Analysis

(in thousands)

The following table represents the extent to which changes in interest rates and changes in the volume of interest-earning assets and interest-bearing liabilities have affected interest income and interest expense during the periods indicated. Information is provided in each category with respect to (i) changes attributable to changes in volume (changes in volume multiplied by prior rate), (ii) changes attributable to changes in rate (changes in rate multiplied by prior volume), and (iii) net change. Changes that cannot be attributed to either rate or volume have been allocated to both rate and volume.

	For the quarter ended September 30, 2022 vs. 2021
	Increase/(decrease) due to			Total  increase/(decrease)
	Rate		Volume
Interest-earning assets:
Loans receivable	$	6,908	2,544	9,452
Mortgage-backed securities	2,061		782	2,843
Investment securities	116		180	296
FHLB stock, at cost	155		(78)	77
Other interest-earning deposits	4,188		(3,245)	943
Total interest-earning assets	13,428		183	13,611
Interest-bearing liabilities:
Savings deposits	(56)		47	(9)
Interest-bearing demand deposits	(65)		11	(54)
Money market deposit accounts	31		24	55
Time deposits	(934)		(441)	(1,375)
Borrowed funds	92		(7)	85
Subordinated debt	(19)		(109)	(128)
Junior subordinated debentures	693		4	697
Total interest-bearing liabilities	(258)		(471)	(729)
Net change in net interest income	$	13,686	654	14,340

55

Average Balance Sheet

(in thousands)

    The following table sets forth certain information relating to the Company’s average balance sheet and reflects the average yield on interest-earning assets and average cost of interest-bearing liabilities for the periods indicated. Such yields and costs are derived by dividing income or expense by the average balance of assets or liabilities, respectively, for the periods presented. Average balances are calculated using daily averages.

	Nine months ended September 30,
	2022					2021
	Average balance		Interest	Avg. yield/ cost (h)		Average balance		Interest	Avg. yield/ cost (h)
Assets
Interest-earning assets:
Residential mortgage loans	$	3,162,758	82,282	3.47	%	$	2,967,248	77,373	3.48	%
Home equity loans	1,282,045		37,443	3.90	%	1,389,367		37,039	3.55	%
Consumer loans	1,887,843		47,588	3.37	%	1,594,834		45,341	3.79	%
Commercial real estate loans	2,918,940		95,813	4.33	%	3,258,785		107,124	4.32	%
Commercial loans	929,942		28,981	4.11	%	1,099,010		29,640	3.54	%
Loans receivable (a) (b) (d) (includes FTE adjustments of $1,416 and $1,468, respectively)	10,181,528		292,107	3.84	%	10,309,244		296,517	3.83	%
Mortgage-backed securities (c)	1,972,694		22,201	1.50	%	1,639,749		15,720	1.28	%
Investment securities (c) (d) (includes FTE adjustments of $627 and $540, respectively)	379,850		4,923	1.73	%	348,193		4,313	1.65	%
FHLB stock, at cost	13,776		311	3.02	%	22,174		325	1.95	%
Other interest-earning deposits	753,482		3,447	0.60	%	838,997		727	0.11	%
Total interest-earning assets (includes FTE adjustments of $2,043 and $2,008, respectively)	13,301,330		322,989	3.25	%	13,158,357		317,602	3.22	%
Noninterest-earning assets (e)	941,947					1,094,117
Total assets	$	14,243,277				$	14,252,474
Liabilities and shareholders’ equity
Interest-bearing liabilities:
Savings deposits	$	2,348,944	1,758	0.10	%	$	2,215,553	1,818	0.11	%
Interest-bearing demand deposits	2,842,071		1,008	0.05	%	2,838,822		1,250	0.06	%
Money market deposit accounts	2,647,301		2,067	0.10	%	2,533,676		1,914	0.10	%
Time deposits	1,207,444		5,416	0.60	%	1,499,583		9,845	0.87	%
Borrowed funds (f)	131,368		563	0.57	%	135,369		458	0.45	%
Subordinated debentures	118,919		3,603	4.04	%	123,438		3,799	4.10	%
Junior subordinated debentures	129,142		2,893	2.95	%	128,882		1,903	1.94	%
Total interest-bearing liabilities	9,425,189		17,308	0.25	%	9,475,323		20,987	0.30	%
Noninterest-bearing demand deposits (g)	3,081,640					2,967,672
Noninterest-bearing liabilities	199,742					252,587
Total liabilities	12,706,571					12,695,582
Shareholders’ equity	1,536,706					1,556,892
Total liabilities and shareholders’ equity	$	14,243,277				$	14,252,474
Net interest income/Interest rate spread			305,681	3.00	%			296,615	2.92	%
Net interest-earning assets/Net interest margin	$	3,876,141		3.07	%	$	3,683,034		3.01	%
Ratio of interest-earning assets to interest-bearing liabilities	1.41X					1.39X

(a)Average gross loans includes loans held as available-for-sale and loans placed on nonaccrual status.

(b)Interest income includes accretion/amortization of deferred loan fees/expenses, which were not material.

(c)Average balances do not include the effect of unrealized gains or losses on securities held as available-for-sale.

(d)Interest income on tax-free investment securities and tax-free loans are presented on a fully taxable equivalent (“FTE”) basis.

(e)Average balances include the effect of unrealized gains or losses on securities held as available-for-sale.

(f)Average balances include FHLB borrowings and collateralized borrowings.

(g)Average cost of total deposits was 0.11% and 0.16%, respectively.

(h)Annualized. Shown on a FTE basis. The FTE basis adjusts for the tax benefit of income on certain tax exempt loans and investments using the federal statutory rate applicable to each period presented. We believe this measure to be the preferred industry measurement of net interest income and provides relevant comparison between taxable and non-taxable amounts. GAAP basis yields were: loans — 3.82% and 3.82%, respectively; investment securities — 1.51% and 1.44%, respectively; interest-earning assets — 3.23% and 3.20%, respectively. GAAP basis net interest rate spreads were 2.98% and 2.91%, respectively; and GAAP basis net interest margins were 3.05% and 2.99%, respectively.

56

Rate/Volume Analysis

(in thousands)

The following table represents the extent to which changes in interest rates and changes in the volume of interest-earning assets and interest-bearing liabilities have affected interest income and interest expense during the periods indicated. Information is provided in each category with respect to (i) changes attributable to changes in volume (changes in volume multiplied by prior rate), (ii) changes attributable to changes in rate (changes in rate multiplied by prior volume), and (iii) net change. Changes that cannot be attributed to either rate or volume have been allocated to both rate and volume.

	For the nine months ended September 30, 2022 vs. 2021
	Increase/(decrease) due to			Total increase/(decrease)
	Rate		Volume
Interest-earning assets:
Loans receivable	$	449	(4,859)	(4,410)
Mortgage-backed securities	2,713		3,768	6,481
Investment securities	204		406	610
FHLB stock, at cost	178		(192)	(14)
Other interest-earning deposits	3,094		(374)	2,720
Total interest-earning assets	6,638		(1,251)	5,387
Interest-bearing liabilities:
Savings deposits	(165)		105	(60)
Interest-bearing demand deposits	(267)		25	(242)
Money market deposit accounts	28		125	153
Time deposits	(3,032)		(1,397)	(4,429)
Borrowed funds	125		(20)	105
Subordinated debt	(57)		(139)	(196)
Junior subordinated debentures	990		—	990
Total interest-bearing liabilities	(2,378)		(1,301)	(3,679)
Net change in net interest income	$	9,016	50	9,066

57

Item 3.        QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

As the holding company for a savings bank, one of our primary market risks is interest rate risk. Interest rate risk is the sensitivity of net interest income to variations in interest rates over a specified time period. The sensitivity results from differences in the time periods in which interest rate sensitive assets and liabilities mature or re-price. We attempt to control interest rate risk by matching, within acceptable limits, the re-pricing periods of assets and liabilities. We have attempted to limit our exposure to interest sensitivity by increasing core deposits, enticing customers to extend certificates of deposit maturities, borrowing funds with fixed-rates and longer maturities and by shortening the maturities of our assets by emphasizing the origination of more short-term fixed rate loans and adjustable rate loans. We also have the ability to sell a portion of the long-term, fixed-rate mortgage loans that we originate. In addition, we purchase shorter term or adjustable-rate investment securities and mortgage-backed securities.

We have an Asset/Liability Committee consisting of members of management which meets monthly to review market interest rates, economic conditions, the pricing of interest-earning assets and interest-bearing liabilities and the balance sheet structure. On a quarterly basis, this Committee also reviews the interest rate risk position and cash flow projections.

The Board of Directors has a Risk Management Committee which meets quarterly and reviews interest rate risk and trends, our interest sensitivity position, the liquidity position and the market risk inherent in the investment portfolio.

In an effort to assess interest rate risk and market risk, we utilize a simulation model to determine the effect of immediate incremental increases and decreases in interest rates on net income and the market value of equity. Certain assumptions are made regarding loan prepayments and decay rates of savings and interest-bearing demand accounts. Because it is difficult to accurately project the market reaction of depositors and borrowers, the effect of actual changes in interest rates on these assumptions may differ from simulated results. We have established the following guidelines for assessing interest rate risk:

Net interest income simulation. Given a parallel shift of 100 basis points (“bps”), 200 bps and 300 bps in interest rates, the estimated net income may not decrease by more than 5%, 10% and 15%, respectively, within a one-year period.

     Net income simulation. Given a parallel shift of 100 bps, 200 bps and 300 bps in interest rates, the estimated net income may not decrease by more than 10%, 20% and 30%, respectively, within a one-year period.

Market value of equity simulation. The market value of equity is the present value of assets and liabilities. Given a parallel shift of 100 bps, 200 bps and 300 bps in interest rates, the market value of equity may not decrease by more than 15%, 30% and 35%, respectively, from the computed economic value at current interest rate levels.

The following table illustrates the simulated impact of a 100 bps, 200 bps or 300 bps upward or a 100 bps, 200 bps or 300 bps downward movement in interest rates on net income, return on average equity, earnings per share and market value of equity. This analysis was prepared assuming that interest-earning asset and interest-bearing liability levels at September 30, 2022 remain constant. The impact of the rate movements was computed by simulating the effect of an immediate and sustained shift in interest rates over a twelve-month period from September 30, 2022 levels.

	Increase									Decrease
Parallel shift in interest rates over the next 12 months	100 bps			200 bps			300 bps			100 bps			200 bps			300 bps
Projected percentage increase/(decrease) in net interest income	(0.4		%)	(0.9		%)	(1.6		%)	(6.4		%)	(13.4		%)	(21.0		%)
Projected percentage increase/(decrease) in net income	(0.7		%)	(1.7		%)	(2.9		%)	(13.9		%)	(29.2		%)	(45.8		%)
Projected increase/(decrease) in return on average equity	(0.6		%)	(1.6		%)	(2.8		%)	(13.2		%)	(28.0		%)	(44.4		%)
Projected increase/(decrease) in earnings per share	$	(0.01)		$	(0.03)		$	(0.04)		$	(0.19)		$	(0.39)		$	(0.61)
Projected percentage increase/(decrease) in market value of equity	(7.6		%)	(15.2		%)	(24.7		%)	1.7		%	5.2		%	8.0		%

    The figures included in the table above represent projections that were computed based upon certain assumptions including prepayment rates and decay rates. These assumptions are inherently uncertain and, as a result, cannot precisely predict the impact of changes in interest rates. Actual results may differ significantly due to timing, magnitude and frequency of interest rate changes and changes in market conditions, and actions that may be taken by management in response to interest rate changes.

58

Item 4.        CONTROLS AND PROCEDURES

Under the supervision of and with the participation of management, including the Principal Executive Officer and Principal Financial Officer, we evaluated the effectiveness of the design and operation of the Company’s disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act) as of the end of the period covered by this quarterly report (the “Evaluation Date”). Based upon that evaluation, the Principal Executive Officer and Principal Financial Officer concluded that, as of the Evaluation Date, these disclosure controls and procedures were effective.

There were no changes in the internal controls over financial reporting during the period covered by this report or in other factors that have materially affected, or are reasonably likely to materially affect the internal controls over financial reporting.

PART II.    OTHER INFORMATION

Item 1.        LEGAL PROCEEDINGS

We are subject to a number of asserted and unasserted claims encountered in the normal course of business. We believe that any additional liability, other than that which has already been accrued, that may result from such potential litigation will not have a material adverse effect on the financial statements. However, we cannot presently determine whether or not any claims against us will have a material adverse effect on our results of operations in any future reporting period. Refer to Note 11.

Item 1A.    RISK FACTORS

    Except as previously disclosed, there have been no material updates or additions to the risk factors previously disclosed in our Annual Report on Form 10-K for the fiscal year ended December 31, 2021 as filed with the Securities and Exchange Commission. Additional risks not presently known to us, or that we currently deem immaterial, may also adversely affect our business, financial condition or results of operations.

59

Item 2.        UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

a)       Not applicable.

b)       Not applicable.

c)    On December 13, 2012, the Board of Directors approved a program that authorizes the repurchase of approximately 5,000,000 shares of common stock. This program does not have an expiration date. During the quarter ended September 30, 2022, there were no shares of common stock repurchased and there are a maximum of 2,261,130 remaining shares that can be purchased under the current repurchase program.

Item 3.        DEFAULTS UPON SENIOR SECURITIES

Not applicable.

Item 4.        MINE SAFETY DISCLOSURES

Not applicable.

Item 5.        OTHER INFORMATION

Not applicable.

60

Item 6.        EXHIBITS

10.1	Employment Agreement by and between Northwest Bank, Northwest Bancshares, Inc. and Louis J. Torchio, dated August 17, 2022.
10.2	Employment Agreement by and between Northwest Bank, Northwest Bancshares, Inc. and William W. Harvey Jr., dated August 17, 2022.
31.1	Certification of the Chief Executive Officer pursuant to Rule 13a-15 or 15d-15 of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
31.2	Certification of the Chief Operating Officer and Chief Financial Officer pursuant to Rule 13a-15 or 15d-15 of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
32.1	Certification of the Chief Executive Officer and Chief Operating Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.

101.INS	The instance document does not appear in the interactive data file because its XBRL tags are embedded within the inline XBRL 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.
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document.
104	The cover page of this Quarterly Report on Form 10-Q, formatted in inline XBRL.

61

Signature

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed by the undersigned thereunto duly authorized.

NORTHWEST BANCSHARES, INC.
(Registrant)
Date:	November 4, 2022	By:	/s/ Louis J. Torchio
			Louis J. Torchio
			President and Chief Executive Officer
			(Duly Authorized Officer)
Date:	November 4, 2022	By:	/s/ Jeffrey J. Maddigan
			Jeffrey J. Maddigan
			Executive Vice President, Finance, Accounting and Corporate Treasurer
			(Principal Accounting Officer)

62

EX-31.1

Exhibit 31.1

Certification

I, Louis J. Torchio, certify that:

1. I have reviewed this quarterly report on Form 10-Q of Northwest Bancshares, Inc.;

2. Based on my knowledge, this report does not contain any untrue statements 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 disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) 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 the 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 registrant’s 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.

November 4, 2022	/s/ Louis J. Torchio
Date	Louis J. Torchio
	President and Chief Executive Officer

EX-31.2

Exhibit 31.2

Certification

I, William W. Harvey, Jr., certify that:

1. I have reviewed this quarterly report on Form 10-Q of Northwest Bancshares, Inc.;

2. Based on my knowledge, this report does not contain any untrue statements 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 disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) 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 the 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 registrant’s 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.

November 4, 2022	/s/ William W. Harvey, Jr.
Date	William W. Harvey, Jr.
	Senior Executive Vice President, Chief Operating Officer and Chief Financial Officer

EX-32.1

Exhibit 32.1

Certification by the Chief Executive Officer and Chief Financial Officer

The undersigned officers of Northwest Bancshares, Inc. (the “Company”) hereby certify that, to the best of their knowledge:

1. The Company’s quarterly report on Form 10-Q for the period ended September 30, 2022 (the “Report”) fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934, and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

November 4, 2022	/s/ Louis J. Torchio
Date	Louis J. Torchio
	President and Chief Executive Officer
November 4, 2022	/s/ William W. Harvey, Jr.
Date	William W. Harvey, Jr.
	Senior Executive Vice President, Chief Operating Officer and Chief Financial Officer

The purpose of this statement is solely to comply with Title 18, Chapter 63, Section 1350 of the United States Code, as amended by Section 906 of the Sarbanes-Oxley Act of 2002.

A signed original of this written statement required by Section 906 has been provided to Northwest Bancshares, Inc. and will be retained by Northwest Bancshares, Inc. and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Cover - shares	9 Months Ended
	Sep. 30, 2022	Oct. 31, 2022
Cover [Abstract]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2022
Document Transition Report	false
Entity File Number	001-34582
Entity Registrant Name	NORTHWEST BANCSHARES, INC.
Entity Incorporation, State or Country Code	MD
Entity Tax Identification Number	27-0950358
Entity Address, Address Line One	3 Easton Oval
Entity Address, Address Line Two	Suite 500
Entity Address, City or Town	Columbus
Entity Address, State or Province	OH
Entity Address, Postal Zip Code	43219
City Area Code	814
Local Phone Number	726-2140
Entity Shell Company	false
Title of 12(b) Security	Common Stock, 0.01 Par Value
Trading Symbol	NWBI
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Common Stock, Shares Outstanding		126,988,367
Entity Central Index Key	0001471265
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q3

XML

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Assets
Cash and cash equivalents	$ 118,549	$ 1,279,259
Marketable securities available-for-sale (amortized cost of $1,466,883 and $1,565,002, respectively)	1,251,791	1,548,592
Marketable securities held-to-maturity (fair value of $771,238 and $751,513, respectively)	899,411	768,154
Total cash and cash equivalents and marketable securities	2,269,751	3,596,005
Loans held-for-sale	15,834	25,056
Loans held for investment	10,725,691	9,991,336
Allowance for credit losses	(109,819)	(102,241)
Loans receivable, net	10,631,706	9,914,151
FHLB stock, at cost	19,281	14,184
Accrued interest receivable	29,536	25,599
Real estate owned, net	450	873
Premises and equipment, net	146,173	156,524
Bank-owned life insurance	255,015	256,213
Goodwill	380,997	380,997
Other intangible assets, net	9,491	12,836
Other assets	210,744	144,126
Total assets	13,953,144	14,501,508
Liabilities:
Noninterest-bearing demand deposits	3,094,120	3,099,526
Interest-bearing demand deposits	2,812,730	2,940,442
Money market deposit accounts	2,577,013	2,629,882
Savings deposits	2,327,419	2,303,760
Time deposits	1,067,110	1,327,555
Total deposits	11,878,392	12,301,165
Borrowed funds	150,036	139,093
Subordinated debt	113,753	123,575
Junior subordinated debentures	129,249	129,054
Advances by borrowers for taxes and insurance	29,647	44,582
Accrued interest payable	831	1,804
Other liabilities	191,450	178,664
Total liabilities	12,493,358	12,917,937
Shareholders’ equity:
Preferred stock, $0.01 par value: 50,000,000 authorized, no shares issued	0	0
Common stock, $0.01 par value: 500,000,000 shares authorized, 126,921,989 and 126,612,183 shares issued and outstanding, respectively	1,269	1,266
Additional paid-in capital	1,017,189	1,010,405
Retained earnings	632,476	609,529
Accumulated other comprehensive loss	(191,148)	(37,629)
Total shareholders’ equity	1,459,786	1,583,571
Total liabilities and shareholders’ equity	$ 13,953,144	$ 14,501,508

XML

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Marketable securities available-for-sale, amortized cost	$ 1,466,883	$ 1,565,002
Securities held-to-maturity	$ 771,238	$ 751,513
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	50,000,000	50,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	500,000,000	500,000,000
Common stock, shares issued (in shares)	126,921,989	126,612,183
Common stock, shares outstanding (in shares)	126,921,989	126,612,183

XML

CONSOLIDATED STATEMENTS OF INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Interest income:
Loans receivable	$ 106,943	$ 97,475	$ 290,691	$ 295,048
Mortgage-backed securities	8,683	5,840	22,201	15,720
Taxable investment securities	838	649	2,230	1,976
Tax-free investment securities	709	628	2,066	1,797
FHLB stock dividends	148	71	311	325
Interest-earning deposits	1,295	352	3,446	727
Total interest income	118,616	105,015	320,945	315,593
Interest expense:
Deposits	3,157	4,540	10,249	14,827
Borrowed funds	2,710	2,056	7,059	6,160
Interest expense	5,867	6,596	17,308	20,987
Net interest income	112,749	98,419	303,637	294,606
Provision for credit losses	7,689	(4,354)	8,837	(9,974)
Net interest income after provision for credit losses	105,060	102,773	294,800	304,580
Noninterest income:
Loss on sale of investments	(2)	(46)	(7)	(172)
Service charges and fees	14,323	13,199	41,063	38,337
Trust and other financial services income	6,650	7,182	21,123	21,101
Insurance commission income	0	44	0	3,633
Gain on real estate owned, net	290	247	552	371
Income from bank-owned life insurance	1,475	1,332	5,466	4,707
Mortgage banking income	766	3,941	4,388	13,772
Gain on sale of insurance business	0	0	0	25,327
Other operating income	3,301	3,287	10,406	8,771
Total noninterest income	26,803	29,186	82,991	115,847
Noninterest expense:
Compensation and employee benefits	46,711	49,063	141,701	145,196
Premises and occupancy costs	7,171	7,745	22,248	23,969
Office operations	3,229	4,143	9,774	10,625
Collections expense	322	411	1,245	1,330
Processing expenses	13,416	13,517	38,911	42,124
Marketing expenses	2,147	2,102	6,322	6,183
Federal deposit insurance premiums	1,200	1,184	3,459	3,844
Professional services	3,363	4,295	9,269	13,108
Amortization of intangible assets	1,047	1,321	3,345	4,348
Real estate owned expense	61	94	170	254
Merger, asset disposition and restructuring expense	0	0	1,374	641
Other expenses	3,906	2,227	11,506	7,003
Total noninterest expense	82,573	86,102	249,324	258,625
Income before income taxes	49,290	45,857	128,467	161,802
Federal and state income taxes expense	11,986	10,794	29,450	37,535
Net income	$ 37,304	$ 35,063	$ 99,017	$ 124,267
Basic earnings per share (in dollars per share)	$ 0.29	$ 0.28	$ 0.78	$ 0.98
Diluted earnings per share (in dollars per share)	$ 0.29	$ 0.27	$ 0.78	$ 0.97

XML

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Statement of Comprehensive Income [Abstract]
Net income	$ 37,304	$ 35,063	$ 99,017	$ 124,267
Net unrealized holding losses on marketable securities:
Unrealized holding losses, net of tax of $14,705, $2,076, $45,555, and $6,812, respectively	(48,387)	(6,455)	(153,124)	(19,554)
Reclassification adjustment for gains included in net income, net of tax of $0, $24, $0, and $89, respectively	0	(69)	(2)	(280)
Net unrealized holding losses on marketable securities	(48,387)	(6,524)	(153,126)	(19,834)
Defined benefit plan:
Actuarial reclassification adjustments for prior period service costs and actuarial (gains)/losses included in net income, net of tax of $50, $(128), $151, and $(386), respectively	(131)	333	(393)	1,000
Other comprehensive loss	(48,518)	(6,191)	(153,519)	(18,834)
Total comprehensive income/(loss)	$ (11,214)	$ 28,872	$ (54,502)	$ 105,433

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CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Statement of Comprehensive Income [Abstract]
Unrealized holding gains (losses), tax	$ 14,705	$ 2,076	$ 45,555	$ 6,812
Reclassification adjustment for gains included in net income, tax	0	24	0	89
Actuarial reclassification adjustments for costs and actuarial (gains)/losses included in net income, tax	$ 50	$ (128)	$ 151	$ (386)

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CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands	Total	Common stock	Additional paid-in capital	Retained earnings	Accumulated other comprehensive loss
Beginning balance (in shares) at Dec. 31, 2020		127,019,452
Beginning balance at Dec. 31, 2020	$ 1,538,703	$ 1,270	$ 1,015,502	$ 555,480	$ (33,549)
Comprehensive income:
Net income	124,267			124,267
Net other comprehensive income	(18,834)				(18,834)
Total comprehensive income/(loss)	105,433			124,267	(18,834)
Exercise of stock options (in shares)		1,043,487
Exercise of stock options	12,721	$ 10	12,711
Stock-based compensation expense (in shares)		323,824
Stock-based compensation expense	3,725	$ 3	3,722
Share repurchases (in shares)		(1,813,132)
Share repurchases	(23,854)	$ (18)	(23,836)
Stock-based compensation forfeited (in shares)		(52,287)
Dividends paid	(74,960)			(74,960)
Ending balance (in shares) at Sep. 30, 2021		126,521,344
Ending balance at Sep. 30, 2021	1,561,768	$ 1,265	1,008,099	604,787	(52,383)
Beginning balance (in shares) at Jun. 30, 2021		127,907,885
Beginning balance at Jun. 30, 2021	1,575,361	$ 1,279	1,025,174	595,100	(46,192)
Comprehensive income:
Net income	35,063			35,063
Net other comprehensive income	(6,191)				(6,191)
Total comprehensive income/(loss)	28,872			35,063	(6,191)
Exercise of stock options (in shares)		57,142
Exercise of stock options	688		688
Stock-based compensation expense (in shares)		1,139
Stock-based compensation expense	1,046		1,046
Share repurchases (in shares)		(1,425,120)
Share repurchases	(18,823)	$ (14)	(18,809)
Stock-based compensation forfeited (in shares)		(19,702)
Dividends paid	(25,376)			(25,376)
Ending balance (in shares) at Sep. 30, 2021		126,521,344
Ending balance at Sep. 30, 2021	1,561,768	$ 1,265	1,008,099	604,787	(52,383)
Beginning balance (in shares) at Dec. 31, 2021		126,612,183
Beginning balance at Dec. 31, 2021	1,583,571	$ 1,266	1,010,405	609,529	(37,629)
Comprehensive income:
Net income	99,017			99,017
Net other comprehensive income	(153,519)				(153,519)
Total comprehensive income/(loss)	(54,502)			99,017	(153,519)
Exercise of stock options (in shares)		314,880
Exercise of stock options	3,721	$ 2	3,719
Stock-based compensation expense (in shares)		75,377
Stock-based compensation expense	3,067	$ 2	3,065
Stock-based compensation forfeited (in shares)		(80,451)
Stock-based compensation forfeited	(1)	$ (1)
Dividends paid	(76,070)			(76,070)
Ending balance (in shares) at Sep. 30, 2022		126,921,989
Ending balance at Sep. 30, 2022	1,459,786	$ 1,269	1,017,189	632,476	(191,148)
Beginning balance (in shares) at Jun. 30, 2022		126,881,766
Beginning balance at Jun. 30, 2022	1,494,539	$ 1,269	1,015,349	620,551	(142,630)
Comprehensive income:
Net income	37,304			37,304
Net other comprehensive income	(48,518)				(48,518)
Total comprehensive income/(loss)	(11,214)			37,304	(48,518)
Exercise of stock options (in shares)		73,472
Exercise of stock options	897		897
Stock-based compensation expense	944		944
Stock-based compensation forfeited (in shares)		(33,249)
Stock-based compensation forfeited	(1)		(1)
Dividends paid	(25,379)			(25,379)
Ending balance (in shares) at Sep. 30, 2022		126,921,989
Ending balance at Sep. 30, 2022	$ 1,459,786	$ 1,269	$ 1,017,189	$ 632,476	$ (191,148)

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CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (Unaudited) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Statement of Stockholders' Equity [Abstract]
Other comprehensive income (loss), tax	$ 14,755	$ (1,972)	$ 45,706	$ (6,515)
Dividends paid, per share (in dollars per share)	$ 0.20	$ 0.20	$ 0.60	$ 0.59

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CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Operating activities:
Net income	$ 99,017	$ 124,267
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses	8,837	(9,974)
Net gain on sale of assets	(858)	(970)
Mortgage banking activity	(3,308)	(17,321)
Gain on sale of insurance business	0	(25,327)
Net depreciation, amortization and accretion	3,874	(271)
(Increase)/decrease in other assets	(31,790)	19,248
Increase/(decrease) in other liabilities	11,270	(10,545)
Net amortization on marketable securities	3,849	5,830
Noncash compensation expense related to stock benefit plans	3,066	3,725
Noncash write-down of real estate owned	44	173
Deferred income tax expense	1,928	1,889
Origination of loans held-for-sale	(317,117)	(605,947)
Proceeds from sale of loans held-for-sale	331,268	652,770
Net cash provided by operating activities	110,080	137,547
Investing activities:
Purchase of marketable securities held-to-maturity	(212,892)	(479,165)
Purchase of marketable securities available-for-sale	(102,178)	(619,987)
Proceeds from maturities and principal reductions of marketable securities held-to-maturity	80,765	38,974
Proceeds from maturities and principal reductions of marketable securities available-for-sale	197,310	341,121
Proceeds from sale of marketable securities available-for-sale	0	62,127
Proceeds from bank-owned life insurance	4,753	3,984
Loan originations	(3,464,471)	(3,063,998)
Loan purchases	(371,121)	0
Proceeds from loan maturities and principal reductions	3,110,264	3,413,907
Net (redemptions)/proceeds of FHLB stock	(5,097)	7,181
Proceeds from sale of real estate owned	1,469	2,440
Proceeds from sale of real estate owned for investment	229	229
Purchases of premises and equipment, net	(613)	(3,728)
Proceeds from the sale of insurance business	0	28,238
Net cash used in investing activities	(761,582)	(268,677)
Financing activities:
Net (decrease)/increase in deposits	(422,773)	622,980
Repayments of long-term borrowings	(10,094)	(22,105)
Net increase/(decrease) in short-term borrowings	10,943	(11,165)
Increase in advances by borrowers for taxes and insurance	(14,935)	(18,279)
Cash dividends paid on common stock	(76,070)	(74,960)
Purchase of common stock for retirement	0	(23,854)
Proceeds from stock options exercised	3,721	12,721
Net cash (used in)/provided by financing activities	(509,208)	485,338
Net (decrease)/increase in cash and cash equivalents	(1,160,710)	354,208
Cash and cash equivalents at beginning of period	1,279,259	736,277
Cash and cash equivalents at end of period	118,549	1,090,485
Cash paid during the period for:
Interest on deposits and borrowings (including interest credited to deposit accounts of $9,812 and $14,631, respectively)	18,281	22,452
Income taxes	21,851	28,961
Non-cash activities:
Loan foreclosures and repossessions	3,423	3,848
Sale of real estate owned financed by the Company	$ 175	$ 54

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CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (Parenthetical) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021
Statement of Cash Flows [Abstract]
Interest on deposits and borrowings, interest credited to deposit accounts	$ 9,812	$ 14,631

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Basis of Presentation and Informational Disclosures

9 Months Ended

Sep. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation and Informational Disclosures

Basis of Presentation and Informational Disclosures

Northwest Bancshares, Inc. (the “Company” or “NWBI”), a Maryland corporation headquartered in Columbus, Ohio, is a bank holding company regulated by the Board of Governors of the Federal Reserve System (“FRB”). The primary activity of the Company is the ownership of all of the issued and outstanding common stock of Northwest Bank, a Pennsylvania-chartered savings bank (“Northwest”). Northwest is regulated by the Federal Deposit Insurance Corporation (“FDIC”) and the Pennsylvania Department of Banking. Northwest operates 150 community-banking offices throughout Pennsylvania, Western New York, Eastern Ohio, and Indiana.

The accompanying unaudited Consolidated Financial Statements include the accounts of the Company and its subsidiary, Northwest, and Northwest’s subsidiaries Northwest Capital Group, Inc., Great Northwest Corporation, and MutualFirst Interest Company, Inc. The unaudited Consolidated Financial Statements have been prepared in accordance with United States generally accepted accounting principles for interim financial information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information or footnotes required for complete annual financial statements. In the opinion of management, all adjustments necessary for the fair presentation of the Company’s financial position and results of operations have been included. The Consolidated Financial Statements have been prepared using the accounting policies described in the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 updated, as required, for any new pronouncements or changes.

Certain items previously reported have been reclassified to conform to the current year’s reporting format.

    The results of operations for the quarter ended September 30, 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2022, or any other period.

Allowance for Credit Losses and Provision for Credit Losses Update

During the nine months ended September 30, 2022, the Bank implemented a new model to calculate the allowance for credit losses on our vehicle loan portfolio. Additionally, as part of the process, we re-assessed our loan segmentation and loans that were previously included in our consumer loan portfolio were moved into our vehicle loan portfolio. The change in segmentation was driven by underlying collateral types, and the loans continue to share similar risk characteristics.

The allowance for credit losses within the vehicle loan portfolio is calculated using a non-discounted cash flow model developed by an external third-party. Monthly probabilities of default and prepayments are estimated for each loan, along with estimates of exposure at default and loss given default. The model utilizes loan, borrower, and collateral characteristics, and macroeconomic data as inputs.

    Stock-Based Compensation

On May 18, 2022, the Company awarded employees 150,027 restricted stock units (“RSUs”) with a weighted average discounted grant date fair value of $11.00. The RSUs vest over a three-year period with the first vesting occurring one year from the grant date. The Company awarded directors 41,206 restricted stock awards (“RSAs”) with a grant date fair value of $12.55 which fully vest one-year from the grant date. Also, the Company awarded employees 150,027 performance share units (“PSUs”) with a discounted grant date fair value of $10.26. The number of PSUs earned will be based on attainment of certain performance criteria over a three-year period, with the actual number of shares issuable ranging between 0% and 150% of the number of PSUs granted. The PSUs have a three-year cliff vesting, from the date of grant, and any PSUs earned will be issued after the vesting period. Stock-based compensation expense of $944,000 and $1.0 million for the quarters ended September 30, 2022 and 2021, respectively, and $3.1 million and $3.7 million for the nine months ended September 30, 2022 and 2021, respectively, was recognized in compensation expense relating to our stock benefit plans. At September 30, 2022, there was compensation expense of $1.0 million to be recognized for awarded but unvested stock options, $6.0 million for unvested restricted common shares, $1.2 million to be recognized for awarded but unvested RSUs, $300,000 to be recognized for awarded but unvested RSAs, and $1.2 million to be recognized for awarded but unvested PSUs.

 Income Taxes-Uncertain Tax Positions

Accounting standards prescribe a comprehensive model for how a company should recognize, measure, present and disclose in its financial statements uncertain tax positions that the company has taken or expects to take on a tax return. A tax benefit from an uncertain position may be recognized only if it is “more likely than not” that the position is sustainable, based on its technical merits. The tax benefit of a qualifying position is the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement with a taxing authority having full knowledge of all relevant information. We had a $241,000 liability for unrecognized tax benefits as of both September 30, 2022 and December 31, 2021.

     We recognize interest accrued related to: (1) unrecognized tax benefits in other expenses and (2) refund claims in other operating income. We recognize penalties (if any) in other expenses. We are subject to audit by the Internal Revenue Service and any state in which we conduct business for the tax periods ended December 31, 2021, 2020, 2019 and 2018.

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Marketable Securities

9 Months Ended

Sep. 30, 2022

Investments, Debt and Equity Securities [Abstract]

Marketable Securities

Marketable Securities

The following table shows the portfolio of marketable securities available-for-sale at September 30, 2022 (in thousands):

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S government and agencies:
Due after one year through five years	$	20,000	—	(1,921)	18,079
Due after ten years	54,213		—	(10,367)	43,846
Debt issued by government-sponsored enterprises:
Due after one year through five years	993		—	(53)	940
Due after five years through ten years	45,890		—	(7,739)	38,151
Municipal securities:
Due within one year	509		—	(2)	507
Due after one year through five years	618		—	(15)	603
Due after five years through ten years	33,945		8	(3,272)	30,681
Due after ten years	92,791		—	(18,406)	74,385
Corporate debt issues:
Due after five years through ten years	13,551		—	(411)	13,140
Residential mortgage-backed securities:
Fixed rate pass-through	233,394		14	(34,557)	198,851
Variable rate pass-through	9,341		25	(117)	9,249
Fixed rate agency CMOs	932,668		1	(137,752)	794,917
Variable rate agency CMOs	28,970		45	(573)	28,442
Total residential mortgage-backed securities	1,204,373		85	(172,999)	1,031,459
Total marketable securities available-for-sale	$	1,466,883	93	(215,185)	1,251,791

The following table shows the portfolio of marketable securities available-for-sale at December 31, 2021 (in thousands):

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S. government and agencies:
Due after one year through five years	$	20,000	—	(68)	19,932
Due after ten years	57,681		—	(1,722)	55,959
Debt issued by government-sponsored enterprises:
Due within one year	177		—	—	177
Due after one year through five years	991		73	—	1,064
Due after five years through ten years	46,411		1	(1,568)	44,844
Municipal securities:
Due within one year	946		13	—	959
Due after one year through five years	1,261		22	(3)	1,280
Due after five years through ten years	23,692		661	(146)	24,207
Due after ten years	99,558		2,884	(187)	102,255
Residential mortgage-backed securities:
Fixed rate pass-through	265,604		2,389	(2,525)	265,468
Variable rate pass-through	11,306		294	(9)	11,591
Fixed rate agency CMOs	997,680		2,284	(18,965)	980,999
Variable rate agency CMOs	39,695		224	(62)	39,857
Total residential mortgage-backed securities	1,314,285		5,191	(21,561)	1,297,915
Total marketable securities available-for-sale	$	1,565,002	8,845	(25,255)	1,548,592

     
    The following table shows the portfolio of marketable securities held-to-maturity at September 30, 2022 (in thousands):

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S. government and agencies:
Due after one year through five years	$	16,478	—	(1,739)	14,739
Due after five years through ten years	107,976		—	(20,352)	87,624
Residential mortgage-backed securities:
Fixed rate pass-through	167,016		—	(26,701)	140,315
Variable rate pass-through	574		—	(7)	567
Fixed rate agency CMOs	606,808		—	(79,373)	527,435
Variable rate agency CMOs	559		1	(2)	558
Total residential mortgage-backed securities	774,957		1	(106,083)	668,875
Total marketable securities held-to-maturity	$	899,411	1	(128,174)	771,238

The following table shows the portfolio of marketable securities held-to-maturity at December 31, 2021 (in thousands): 

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S. government and agencies:
Due after one year through five years	$	16,478	—	(206)	16,272
Due after five years through ten years	107,973		—	(4,613)	103,360
Residential mortgage-backed securities:
Fixed rate pass-through	183,092		58	(2,161)	180,989
Variable rate pass-through	667		24	—	691
Fixed rate agency CMOs	459,345		251	(10,011)	449,585
Variable rate agency CMOs	599		17	—	616
Total residential mortgage-backed securities	643,703		350	(12,172)	631,881
Total marketable securities held-to-maturity	$	768,154	350	(16,991)	751,513

The following table shows the contractual maturity of our residential mortgage-backed securities available-for-sale at September 30, 2022 (in thousands):

	Amortized cost		Fair value
Residential mortgage-backed securities:
Due within one year	$	254	252
Due after one year through five years	49,435		46,268
Due after five years through ten years	155,960		137,226
Due after ten years	998,724		847,713
Total residential mortgage-backed securities	$	1,204,373	1,031,459

The following table shows the contractual maturity of our residential mortgage-backed securities held-to-maturity at September 30, 2022 (in thousands):

	Amortized cost		Fair value
Residential mortgage-backed securities:
Due after one year through five years	$	20,705	17,551
Due after five years through ten years	168,546		141,707
Due after ten years	585,706		509,617
Total residential mortgage-backed securities	$	774,957	668,875

The following table shows the fair value of and gross unrealized losses on marketable securities, for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position at September 30, 2022 (in thousands):

	Less than 12 months			12 months or more		Total
	Fair  value		Unrealized loss	Fair  value	Unrealized loss	Fair  value	Unrealized loss
U.S. government-sponsored enterprises	$	19,905	(1,989)	183,474	(40,182)	203,379	(42,171)
Municipal securities	87,699		(14,160)	17,671	(7,535)	105,370	(21,695)
Corporate debt issues	13,140		(411)	—	—	13,140	(411)
Residential mortgage-backed securities - agency	624,780		(61,296)	1,069,396	(217,786)	1,694,176	(279,082)
Total	$	745,524	(77,856)	1,270,541	(265,503)	2,016,065	(343,359)

The following table shows the fair value of and gross unrealized losses on marketable securities, for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position at December 31, 2021 (in thousands):

	Less than 12 months			12 months or more		Total
	Fair  value		Unrealized loss	Fair  value	Unrealized loss	Fair  value	Unrealized loss
U.S. government-sponsored enterprises	$	132,782	(3,504)	106,160	(4,673)	238,942	(8,177)
Municipal securities	25,118		(336)	—	—	25,118	(336)
Residential mortgage-backed securities - agency	1,428,582		(26,516)	184,389	(7,217)	1,612,971	(33,733)
Total	$	1,586,482	(30,356)	290,549	(11,890)	1,877,031	(42,246)

The Company does not believe that the available-for-sale debt securities that were in an unrealized loss position as of September 30, 2022, which were comprised of 664 individual securities, represents a credit loss impairment. All of these securities were issued by U.S. government agencies, U.S. government-sponsored enterprises, local municipalities, or represent corporate debt. The securities issued by the U.S. government agencies or U.S. government-sponsored enterprises are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies and have a long history of no credit losses. The corporate debt issues and securities issued by local municipalities were all highly rated by major rating agencies and have no history of credit losses. The unrealized losses were primarily attributable to changes in the interest rate environment and not due to the credit quality of these investment securities. The Company does not have the intent to sell these investment securities and it is likely that we will not be required to sell these securities before their anticipated recovery, which may be at maturity.

All of the Company’s held-to-maturity debt securities are issued by U.S. government agencies or U.S. government-sponsored enterprises. These securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major rating agencies and have a long history of no credit losses. Therefore, the Company did not record an allowance for credit losses for these securities as of September 30, 2022.

The following table presents the credit quality of our held-to-maturity securities, based on the latest information available as of September 30, 2022 (in thousands). The credit ratings are sourced from nationally recognized rating agencies, which include Moody’s and S&P, or when credit ratings cannot be sourced from the agencies, they are presented based on asset type. All of our held-to-maturity securities were current in their payment of principal and interest as of September 30, 2022.

	AA+		Total
Held-to-maturity securities (at amortized cost):
Debt issued by the U.S. government-sponsored enterprises	$	124,454	124,454
Residential mortgage-backed securities	774,957		774,957
Total marketable securities held-to-maturity	$	899,411	899,411

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Loans Receivable

9 Months Ended

Sep. 30, 2022

Receivables [Abstract]

Loans Receivable

Loans Receivable

    The following table shows a summary of our loans receivable at amortized cost basis at September 30, 2022 and December 31, 2021 (in thousands): 

	September 30, 2022				December 31, 2021
	Originated (1)		Acquired (2)	Total	Originated (1)	Acquired (2)	Total
Personal Banking:
Residential mortgage loans (3)	$	3,225,348	176,550	3,401,898	2,783,459	211,161	2,994,620
Home equity loans	1,110,401		174,588	1,284,989	1,107,202	212,729	1,319,931
Vehicle loans	1,907,210		99,987	2,007,197	1,384,246	99,985	1,484,231
Consumer loans	100,831		8,210	109,041	307,961	46,556	354,517
Total Personal Banking	6,343,790		459,335	6,803,125	5,582,868	570,431	6,153,299
Commercial Banking:
Commercial real estate loans	2,101,684		327,222	2,428,906	2,202,027	423,454	2,625,481
Commercial real estate loans - owner occupied	344,504		39,420	383,924	321,253	68,750	390,003
Commercial loans	1,072,857		52,713	1,125,570	765,877	81,732	847,609
Total Commercial Banking	3,519,045		419,355	3,938,400	3,289,157	573,936	3,863,093
Total loans receivable, gross	9,862,835		878,690	10,741,525	8,872,025	1,144,367	10,016,392
Allowance for credit losses	(97,738)		(12,081)	(109,819)	(86,750)	(15,491)	(102,241)
Total loans receivable, net (4)	$	9,765,097	866,609	10,631,706	8,785,275	1,128,876	9,914,151

(1) Includes originated and purchased loan pools purchased in an asset acquisition.

(2) Includes loans subject to purchase accounting in a business combination.

(3)     Includes fair value of $15.8 million and $25.1 million of loans held-for-sale at September 30, 2022 and December 31, 2021, respectively.

(4)    Includes $74.3 million and $62.8 million of net unearned income, unamortized premiums and discounts and deferred fees and costs at September 30, 2022 and December 31, 2021, respectively.

During the nine months ended September 30, 2022, the Company purchased a total of $182.8 million small business equipment finance loan pools and a total of $188.3 million one- to four-family jumbo mortgage loan pools.

    The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the quarter ended September 30, 2022 (in thousands):

	Balance as of September 30, 2022		Current period provision	Charge-offs	Recoveries	Balance as of June 30, 2022
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	17,967	1,646	(166)	329	16,158
Home equity loans	5,448		341	(535)	410	5,232
Vehicle loans	17,004		1,576	(936)	626	15,738
Consumer loans	825		1,170	(1,405)	281	779
Total Personal Banking	41,244		4,733	(3,042)	1,646	37,907
Commercial Banking:
Commercial real estate loans	49,649		5,117	(1,329)	6,220	39,641
Commercial real estate loans - owner occupied	4,087		(34)	—	26	4,095
Commercial loans	14,839		(2,127)	(243)	497	16,712
Total Commercial Banking	68,575		2,956	(1,572)	6,743	60,448
Total	$	109,819	7,689	(4,614)	8,389	98,355
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	4	(2)	—	—	6
Home equity loans	74		10	—	—	64
Total Personal Banking	78		8	—	—	70
Commercial Banking:
Commercial real estate loans	5,382		1,919	—	—	3,463
Commercial real estate loans - owner occupied	287		(41)	—	—	328
Commercial loans	5,288		1,699	—	—	3,589
Total Commercial Banking	10,957		3,577	—	—	7,380
Total off-balance sheet exposure	$	11,035	3,585	—	—	7,450

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the quarter ended September 30, 2021 (in thousands):

	Balance as of September 30, 2021		Current period provision	Charge-offs	Recoveries	Balance as of June 30, 2021
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	7,987	1,939	(1,263)	64	7,247
Home equity loans	6,293		291	(1,474)	237	7,239
Vehicle loans	12,457		82	(1,112)	599	12,888
Consumer loans	3,074		949	(1,036)	360	2,801
Total Personal Banking	29,811		3,261	(4,885)	1,260	30,175
Commercial Banking:
Commercial real estate loans	58,451		(5,103)	(1,581)	555	64,580
Commercial real estate loans - owner occupied	3,246		(1,487)	—	4	4,729
Commercial loans	18,259		(1,025)	(412)	1,850	17,846
Total Commercial Banking	79,956		(7,615)	(1,993)	2,409	87,155
Total	$	109,767	(4,354)	(6,878)	3,669	117,330
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	2	—	—	—	2
Home equity loans	40		(2)	—	—	42
Total Personal Banking	42		(2)	—	—	44
Commercial Banking:
Commercial real estate loans	2,647		715	—	—	1,932
Commercial real estate loans - owner occupied	140		(41)	—	—	181
Commercial loans	1,333		101	—	—	1,232
Total Commercial Banking	4,120		775	—	—	3,345
Total off-balance sheet exposure	$	4,162	773	—	—	3,389

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the nine months ended September 30, 2022 (in thousands):

	Balance as of September 30, 2022		Current period provision	Charge-offs	Recoveries	Balance as of December 31, 2021
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	17,967	11,331	(1,487)	750	7,373
Home equity loans	5,448		127	(1,237)	1,258	5,300
Vehicle loans	17,004		2,159	(2,517)	1,879	15,483
Consumer loans	825		479	(3,459)	921	2,884
Total Personal Banking	41,244		14,096	(8,700)	4,808	31,040
Commercial Banking:
Commercial real estate loans	49,649		(6,465)	(6,745)	8,718	54,141
Commercial real estate loans - owner occupied	4,087		167	—	37	3,883
Commercial loans	14,839		1,039	(1,253)	1,876	13,177
Total Commercial Banking	68,575		(5,259)	(7,998)	10,631	71,201
Total	$	109,819	8,837	(16,698)	15,439	102,241
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	4	2	—	—	2
Home equity loans	74		35	—	—	39
Total Personal Banking	78		37	—	—	41
Commercial Banking:
Commercial real estate loans	5,382		4,501	—	—	881
Commercial real estate loans - owner occupied	287		145	—	—	142
Commercial loans	5,288		3,894	—	—	1,394
Total Commercial Banking	10,957		8,540	—	—	2,417
Total off-balance sheet exposure	$	11,035	8,577	—	—	2,458

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the nine months ended September 30, 2021 (in thousands):

	Balance as of September 30, 2021		Current period provision	Charge-offs	Recoveries	Balance as of December 31, 2020
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	7,987	3,269	(2,888)	340	7,266
Home equity loans	6,293		1,892	(2,081)	490	5,992
Vehicle loans	12,457		(341)	(4,017)	1,990	14,825
Consumer loans	3,074		2,291	(3,135)	1,047	2,871
Total Personal Banking	29,811		7,111	(12,121)	3,867	30,954
Commercial Banking:
Commercial real estate loans	58,451		(12,859)	(9,281)	1,210	79,381
Commercial real estate loans - owner occupied	3,246		(6,391)	(890)	9	10,518
Commercial loans	18,259		2,165	(1,627)	4,147	13,574
Total Commercial Banking	79,956		(17,085)	(11,798)	5,366	103,473
Total	$	109,767	(9,974)	(23,919)	9,233	134,427
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	2	—	—	—	2
Home equity loans	40		5	—	—	35
Total Personal Banking	42		5	—	—	37
Commercial Banking:
Commercial real estate loans	2,647		(802)	—	—	3,449
Commercial real estate loans - owner occupied	140		(186)	—	—	326
Commercial loans	1,333		(1,218)	—	—	2,551
Total Commercial Banking	4,120		(2,206)	—	—	6,326
Total off-balance sheet exposure	$	4,162	(2,201)	—	—	6,363

    The following table provides information related to the loan portfolio by portfolio segment and by class of financing receivable at September 30, 2022 (in thousands):

	Total loans receivable		Allowance for credit losses	Nonaccrual loans (1)	Loans 90 days past due and accruing	TDRs	Allowance related to TDRs	Additional commitments to customers with loans classified as TDRs
Personal Banking:
Residential mortgage loans	$	3,401,898	17,967	7,816	—	6,040	1,032	—
Home equity loans	1,284,989		5,448	3,685	—	1,584	657	—
Vehicle loans	2,007,197		17,004	3,235	—	—	—	—
Consumer loans	109,041		825	166	357	—	—	—
Total Personal Banking	6,803,125		41,244	14,902	357	7,624	1,689	—
Commercial Banking:
Commercial real estate loans	2,428,906		49,649	65,298	—	37,993	678	10
Commercial real estate loans - owner occupied	383,924		4,087	619	—	96	18	—
Commercial loans	1,125,570		14,839	2,808	—	1,037	157	400
Total Commercial Banking	3,938,400		68,575	68,725	—	39,126	853	410
Total	$	10,741,525	109,819	83,627	357	46,750	2,542	410

(1)Includes $30.4 million of nonaccrual TDRs.

    The following table provides information related to the loan portfolio by portfolio segment and by class of financing receivable at December 31, 2021 (in thousands): 

	Total loans receivable		Allowance for credit losses	Nonaccrual loans (1)	Loans 90 days past due and accruing	TDRs	Allowance related to TDRs	Additional commitments to customers with loans classified as TDRs
Personal Banking:
Residential mortgage loans	$	2,994,620	7,373	10,402	—	6,749	1,442	—
Home equity loans	1,319,931		5,300	5,758	—	1,781	718	—
Vehicle loans	1,484,231		15,483	3,263	—	—	—	—
Consumer loans	354,517		2,884	675	331	—	—	—
Total Personal Banking	6,153,299		31,040	20,098	331	8,530	2,160	—
Commercial Banking:
Commercial real estate loans	2,625,481		54,141	129,666	—	17,025	2,024	400
Commercial real estate loans - owner occupied	390,003		3,883	1,233	—	159	24	—
Commercial loans	847,609		13,177	7,474	—	4,574	609	60
Total Commercial Banking	3,863,093		71,201	138,373	—	21,758	2,657	460
Total	$	10,016,392	102,241	158,471	331	30,288	4,817	460

(1)Includes $17.2 million of nonaccrual TDRs.

We present the amortized cost of our loans on nonaccrual status including such loans with no allowance. The following table presents the amortized cost of our loans on nonaccrual status as of the beginning and end of the period ended September 30, 2022 (in thousands):                                                         

			September 30, 2022
	Nonaccrual loans at January 1, 2022		Nonaccrual loans with an allowance	Nonaccrual loans with no allowance	Total nonaccrual loans at the end of the period	Loans 90 days past due and accruing
Personal Banking:
Residential mortgage loans	$	10,402	7,816	—	7,816	—
Home equity loans	5,758		3,489	196	3,685	—
Vehicle loans	3,263		1,891	1,344	3,235	—
Consumer loans	675		166	—	166	357
Total Personal Banking	20,098		13,362	1,540	14,902	357
Commercial Banking:
Commercial real estate loans	129,666		27,690	37,608	65,298	—
Commercial real estate loans - owner occupied	1,233		619	—	619	—
Commercial loans	7,474		2,030	778	2,808	—
Total Commercial Banking	138,373		30,339	38,386	68,725	—
Total	$	158,471	43,701	39,926	83,627	357

During the three and nine months ended September 30, 2022, we recognized $197,000 and $487,000 of interest income on nonaccrual and troubled debt restructuring loans.

The following table presents the amortized cost of our loans on nonaccrual status as of the year ended December 31, 2021 (in thousands): 

			December 31, 2021
	Nonaccrual loans at January 1, 2021		Nonaccrual loans with an allowance	Nonaccrual loans with no allowance	Total nonaccrual loans at the end of the period	Loans 90 days past due and accruing
Personal Banking:
Residential mortgage loans	$	15,924	10,402	—	10,402	—
Home equity loans	9,123		5,551	207	5,758	—
Vehicle loans	5,533		3,251	12	3,263	—
Consumer loans	1,031		674	1	675	331
Total Personal Banking	31,611		19,878	220	20,098	331
Commercial Banking:
Commercial real estate loans	44,092		65,529	64,137	129,666	—
Commercial real estate loans - owner occupied	3,642		1,233	—	1,233	—
Commercial loans	23,487		3,941	3,533	7,474	—
Total Commercial Banking	71,221		70,703	67,670	138,373	—
Total	$	102,832	90,581	67,890	158,471	331

During the year ended December 31, 2021, we recognized $803,000 of interest income on nonaccrual and troubled debt restructuring loans.

The following table presents the amortized cost basis of collateral-dependent loans by class of loans as of September 30, 2022 (in thousands):

	Real estate		Equipment	Total
Personal Banking:
Residential mortgage loans	$	572	—	572
Home equity loans	99		—	99
Total Personal Banking	671		—	671
Commercial Banking:
Commercial real estate loans	63,834		—	63,834
Commercial loans	432		1,122	1,554
Total Commercial Banking	64,266		1,122	65,388
Total	$	64,937	1,122	66,059

The following table presents the amortized cost basis of collateral-dependent loans by class of loans as of December 31, 2021 (in thousands):

	Real estate		Equipment	Total
Personal Banking:
Residential mortgage loans	$	580	—	580
Home equity loans	99		—	99
Total Personal Banking	679		—	679
Commercial Banking:
Commercial real estate loans	119,825		1,705	121,530
Commercial loans	3,973		1,926	5,899
Total Commercial Banking	123,798		3,631	127,429
Total	$	124,477	3,631	128,108

    Our loan portfolios include loans that have been modified in a TDR, where concessions have been granted to borrowers who have experienced financial difficulties. These concessions typically result from our loss mitigation activities and could include: extending the note’s maturity date, permitting interest only payments, reducing the interest rate to a rate lower than current market rates for new debt with similar risk, reducing the principal payment, principal forbearance or other actions. These concessions are applicable to all loan segments and classes. Certain TDRs are classified as nonperforming at the time of restructuring and may be returned to performing status after considering the borrower’s sustained repayment performance for a period of at least six months.

When we modify loans in a TDR, we evaluate any possible impairment similar to other impaired loans based on the present value of expected future cash flows, discounted at the contractual interest rate of the original loan agreement, the loan’s observable market price or the current fair value of the collateral, less selling costs, for collateral dependent loans. If we determine that the value of the modified loan is less than the recorded investment in the loan (net of previous charge-offs, deferred loan fees or costs and unamortized premiums or discounts), impairment is recognized through an allowance estimate or a charge-off to the allowance. In periods subsequent to modification, we evaluate all TDRs, including those that have payment defaults, for possible impairment in accordance with ASC 310-10. As a result, loans modified in a TDR may have the financial effect of increasing the specific allowance associated with the loan.

Loans modified in a TDR are closely monitored for delinquency as an early indicator of possible future default. If loans modified in a TDR subsequently default, we evaluate the loan for possible further impairment. The allowance may be increased, adjustments may be made in the allocation of the allowance, partial charge-offs may be taken to further write-down the carrying value of the loan, or the loan may be charged-off completely.

In March 2020 and August 2020, joint statements were issued by federal and state regulatory agencies, after consultation with the FASB, to clarify that short-term loan modifications are not TDRs if made on a good-faith basis in response to COVID-19 to borrowers who were current prior to any relief. Under this guidance, six months is provided as an example of short-term, and current is defined as less than 30 days past due at the time the modification program is implemented. The guidance also provides that these modified loans generally will not be classified as nonaccrual during the term of the modification. For borrowers who are 30 days or more past due when enrolling in a loan modification program related to the COVID-19 pandemic, we evaluate the loan modifications under our existing TDR framework, and where such a loan modification would result in a concession to a borrower experiencing financial difficulty, the loan will be accounted for as a TDR and will generally not accrue interest. This TDR relief under the CARES Act was extended by the Consolidated Appropriations Act, 2021 (“CAA”), signed into law on December 27, 2020. Under the CAA, such relief will continue until the earlier of 60 days after the date the COVID-19 national emergency comes to an end or January 1, 2022. Certain loan modifications made during the prior year were done in accordance with Section 4013 of the CARES Act and the Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus. Accordingly, these loans were not categorized as TDRs.

The following tables provide a roll forward of troubled debt restructurings for the periods indicated (dollars in thousands):

	For the quarter ended September 30,
	2022			2021
	Number of contracts	Amount		Number of contracts	Amount
Beginning TDR balance:	128	$	54,237	158	$	27,431
New TDRs	6	221		3	345
Re-modified TDRs	4	977		3	4,490
Net paydowns	—	(810)		—	(4,702)
Charge-offs:
Home equity loans	—	—		1	(29)
Commercial real estate loans	—	—		2	(53)
Commercial real estate loans - owner occupied	—	—		1	(105)
Commercial loans	—	—		5	(139)
Paid-off loans:
Residential mortgage loans	1	(35)		5	(307)
Home equity loans	1	(11)		4	(122)
Commercial real estate loans	1	(3,349)		4	(287)
Commercial real estate loans - owner occupied	1	(44)		—	—
Commercial loans	3	(3,459)		—	—
Ending TDR balance:	127	$	46,750	139	$	26,522
Accruing TDRs		$	16,344		$	13,664
Nonaccrual TDRs		30,406			12,858

	For the nine months ended September 30,
	2022			2021
	Number of contracts	Amount		Number of contracts	Amount
Beginning TDR balance:	134	$	30,288	170	$	32,135
New TDRs	8	25,626		5	2,608
Re-modified TDRs	10	1,178		8	5,701
Net paydowns	—	(1,609)		—	(8,713)
Charge-offs:
Residential mortgage loans	1	(3)		—	—
Home equity loans	—	—		1	(29)
Commercial real estate loans	—	—		2	(53)
Commercial real estate loans - owner occupied	—	—		1	(105)
Commercial loans	—	—		5	(139)
Paid-off loans:
Residential mortgage loans	2	(236)		9	(1,033)
Home equity loans	3	(88)		5	(133)
Commercial real estate loans	4	(3,718)		9	(2,973)
Commercial real estate loans - owner occupied	1	(44)		1	(47)
Commercial loans	4	(3,466)		3	(697)
Ending TDR balance:	127	$	46,750	139	$	26,522
Accruing TDRs		$	16,344		$	13,664
Nonaccrual TDRs		30,406			12,858

    The following tables provide information related to TDRs (including re-modified TDRs) by portfolio segment and by class of financing receivable during the periods indicated (in thousands):

	For the quarter ended September 30, 2022					For the nine months ended September 30, 2022
	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance
Personal Banking:
Residential mortgage loans	2	$	147	144	15	2	$	147	144	15
Home equity loans	5	160		154	23	5	160		154	23
Total Personal Banking	7	307		298	38	7	307		298	38
Commercial Banking:
Commercial real estate loans	1	610		609	89	5	34,295		26,212	102
Commercial loans	2	332		291	20	6	3,856		294	20
Total Commercial Banking	3	942		900	109	11	38,151		26,506	122
Total	10	$	1,249	1,198	147	18	$	38,458	26,804	160

	For the quarter ended September 30, 2021					For the nine months ended September 30, 2021
	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance
Personal Banking:
Residential mortgage loans	—	$	—	—	—	1	$	125	115	16
Home equity loans	2	153		36	17	3	156		36	17
Total Personal Banking	2	153		36	17	4	281		151	33
Commercial Banking:
Commercial real estate loans	3	4,840		4,490	65	6	6,723		5,586	207
Commercial loans	1	330		309	—	3	2,726		2,572	—
Total Commercial Banking	4	5,170		4,799	65	9	9,449		8,158	207
Total	6	$	5,323	4,835	82	13	$	9,730	8,309	240

The following table provides information as of September 30, 2022 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the quarter ended September 30, 2022 (in thousands):

		Type of modification
	Number of contracts	Maturity date	Total
Personal Banking:
Residential mortgage loans	2	144	144
Home equity loans	5	154	154
Total Personal Banking	7	298	298
Commercial Banking:
Commercial real estate loans	1	609	609
Commercial loans	2	291	291
Total Commercial Banking	3	900	900
Total	10	1,198	1,198

The following table provides information as of September 30, 2021 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the quarter ended September 30, 2021 (in thousands):

		Type of modification
	Number of contracts	Rate		Payment	Maturity date	Total
Personal Banking:
Home equity loans	2	$	—	30	6	36
Total Personal Banking	2	—		30	6	36
Commercial Banking:
Commercial real estate loans	3	378		—	4,112	4,490
Commercial loans	1	—		—	309	309
Total Commercial Banking	4	378		—	4,421	4,799
Total	6	$	378	30	4,427	4,835

The following table provides information as of September 30, 2022 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the nine months ended September 30, 2022 (in thousands):

		Type of modification
	Number of contracts	Rate		Maturity date	Total
Personal Banking:
Residential mortgage loans	2	$	—	144	144
Home equity loans	5	—		154	154
Total Personal Banking	7	—		298	298
Commercial Banking:
Commercial real estate loans	5	4,166		22,046	26,212
Commercial loans	6	—		294	294
Total Commercial Banking	11	4,166		22,340	26,506
Total	18	$	4,166	22,638	26,804

The following table provides information as of September 30, 2021 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the nine months ended September 30, 2021 (in thousands):

		Type of modification
	Number of contracts	Rate		Payment	Maturity date	Other	Total
Personal Banking:
Residential mortgage loans	1	$	115	—	—	—	115
Home equity loans	3	—		30	6	—	36
Total Personal Banking	4	115		30	6	—	151
Commercial Banking:
Commercial real estate loans	6	378		—	5,136	72	5,586
Commercial loans	3	—		—	2,572	—	2,572
Total Commercial Banking	9	378		—	7,708	72	8,158
Total	13	$	493	30	7,714	72	8,309

No TDRs modified within the previous twelve months of September 30, 2022 subsequently defaulted.

The following table provides information related to troubled debt restructurings modified within the previous twelve months of September 30, 2021 that subsequently defaulted:

	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance
Commercial Banking:
Commercial real estate loans	3	$	4,167	3,951	2
Total Commercial Banking	3	4,167		3,951	2
Total	3	$	4,167	3,951	2

    The following table provides information related to the amortized cost basis of loan payment delinquencies at September 30, 2022 (in thousands):

	30-59 days delinquent		60-89 days delinquent	90 days or greater delinquent	Total delinquency	Current	Total loans receivable	90 days or greater delinquent and accruing
Personal Banking:
Residential mortgage loans	$	1,052	4,320	5,544	10,916	3,390,982	3,401,898	—
Home equity loans	3,278		1,227	1,779	6,284	1,278,705	1,284,989	—
Vehicle loans	6,086		2,322	1,935	10,343	1,996,854	2,007,197	—
Consumer loans	460		341	453	1,254	107,787	109,041	357
Total Personal Banking	10,876		8,210	9,711	28,797	6,774,328	6,803,125	357
Commercial Banking:
Commercial real estate loans	929		1,648	8,558	11,135	2,417,771	2,428,906	—
Commercial real estate loans - owner occupied	403		93	263	759	383,165	383,924	—
Commercial loans	2,582		808	638	4,028	1,121,542	1,125,570	—
Total Commercial Banking	3,914		2,549	9,459	15,922	3,922,478	3,938,400	—
Total loans	$	14,790	10,759	19,170	44,719	10,696,806	10,741,525	357

The following table provides information related to the amortized cost basis of loan payment delinquencies at December 31, 2021 (in thousands):

	30-59 days delinquent		60-89 days delinquent	90 days or greater delinquent	Total delinquency	Current	Total loans receivable	90 days or greater delinquent and accruing
Personal Banking:
Residential mortgage loans	$	20,567	5,433	7,641	33,641	2,960,979	2,994,620	—
Home equity loans	3,153		949	4,262	8,364	1,311,567	1,319,931	—
Vehicle loans	5,331		1,487	1,635	8,453	1,475,778	1,484,231	—
Consumer loans	1,205		519	765	2,489	352,028	354,517	331
Total Personal Banking	30,256		8,388	14,303	52,947	6,100,352	6,153,299	331
Commercial Banking:
Commercial real estate loans	16,938		699	23,489	41,126	2,584,355	2,625,481	—
Commercial real estate loans - owner occupied	127		70	574	771	389,232	390,003	—
Commercial loans	193		727	1,105	2,025	845,584	847,609	—
Total Commercial Banking	17,258		1,496	25,168	43,922	3,819,171	3,863,093	—
Total originated loans	$	47,514	9,884	39,471	96,869	9,919,523	10,016,392	331

Credit Quality Indicators: For Commercial Banking we categorize loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. We analyze loans individually by classifying the loans by credit risk. Credit relationships greater than or equal to $1.0 million classified as special mention or substandard are reviewed quarterly for deterioration or improvement to determine if the loan is appropriately classified. We use the following definitions for risk ratings other than pass:

Special Mention — Loans designated as special mention have specific, well-defined risk issues, which create a high level of uncertainty regarding the long-term viability of the business. Loans in this class are considered to have high-risk characteristics. A special mention loan exhibits material negative financial trends due to company-specific or systemic conditions. If these potential weaknesses are not mitigated, they threaten the borrower’s capacity to meet its debt obligations. Special mention loans still demonstrate sufficient financial flexibility to react to and positively address the root cause of the adverse financial trends without significant deviations from their current business strategy. Their potential weaknesses deserve our close attention and warrant enhanced monitoring.

Substandard — Loans classified as substandard are inadequately protected by the current net worth and payment capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected.

Doubtful — Loans classified as doubtful have all the weaknesses inherent in those classified as substandard. In addition, those weaknesses make collection or liquidation in full highly questionable and improbable. A loan classified as doubtful exhibits discernible loss potential, but a complete loss seems very unlikely. The possibility of a loss on a doubtful loan is high, but because of certain important and reasonably specific pending factors that may strengthen the loan, its classification as an estimated loss is deferred until a more exact status can be determined.

Loss — Loans classified as loss are considered uncollectible and of such value that the continuance as a loan is not warranted. A loss classification does not mean that the loan has no recovery or salvage value; instead, it means that it is not practical or desirable to defer writing off all or a portion of a basically worthless loan even though partial recovery may be possible in the future.

For Personal Banking loans a pass risk rating is maintained until they are greater than 90 days past due, and risk rating reclassification is based primarily on past due status of the loan. The risk rating categories can generally be described by the following groupings:

Pass — Loans classified as pass are homogeneous loans that are less than 90 days past due from the required payment date at month-end.

Substandard — Loans classified as substandard are homogeneous loans that are greater than 90 days past due from the required payment date at month-end, loans classified as TDRs or homogenous retail loans that are greater than 180 days past due from the required payment date at month-end that has been written down to the value of underlying collateral, less costs to sell.

Doubtful — Loans classified as doubtful are homogeneous loans that are greater than 180 days past due from the required payment date at month-end and not written down to the value of underlying collateral. These loans are generally charged-off in the month in which the 180 day period elapses.

The following table presents the amortized cost basis of our loan portfolio by year of origination and credit quality indicator for each portfolio segment as of September 30, 2022 (in thousands):

	YTD September 30, 2022		2021	2020	2019	2018	Prior	Revolving loans	Revolving loans converted to term loans	Total loans receivable
Personal Banking:
Residential mortgage loans
Pass	$	496,721	841,725	557,403	271,096	136,426	1,084,797	—	—	3,388,168
Substandard	—		224	310	351	709	12,136	—	—	13,730
Total residential mortgage loans	496,721		841,949	557,713	271,447	137,135	1,096,933	—	—	3,401,898
Home equity loans
Pass	99,288		132,418	180,140	115,548	52,827	214,833	443,136	41,778	1,279,968
Substandard	—		47	26	62	382	3,075	579	850	5,021
Total home equity loans	99,288		132,465	180,166	115,610	53,209	217,908	443,715	42,628	1,284,989
Vehicle loans
Pass	791,768		670,925	254,957	156,151	82,807	47,352	—	—	2,003,960
Substandard	214		969	503	656	541	354	—	—	3,237
Total vehicle loans	791,982		671,894	255,460	156,807	83,348	47,706	—	—	2,007,197
Consumer loans
Pass	14,944		11,232	5,066	4,313	3,002	5,631	63,134	1,196	108,518
Substandard	—		8	6	4	5	52	405	43	523
Total consumer loans	14,944		11,240	5,072	4,317	3,007	5,683	63,539	1,239	109,041
Total Personal Banking	1,402,935		1,657,548	998,411	548,181	276,699	1,368,230	507,254	43,867	6,803,125
Business Banking:
Commercial real estate loans
Pass	238,090		353,748	395,986	255,223	214,146	740,333	26,992	7,447	2,231,965
Special mention	—		787	1,350	20,784	1,015	7,244	111	15	31,306
Substandard	—		95	7,066	26,833	42,783	87,511	489	858	165,635
Total commercial real estate loans	238,090		354,630	404,402	302,840	257,944	835,088	27,592	8,320	2,428,906
Commercial real estate loans - owner occupied
Pass	53,373		62,701	18,001	51,376	46,512	121,462	2,703	1,555	357,683
Special mention	—		—	—	—	1,673	501	1,204	—	3,378
Substandard	—		—	—	5,379	2,509	13,002	59	1,914	22,863
Total commercial real estate loans - owner occupied	53,373		62,701	18,001	56,755	50,694	134,965	3,966	3,469	383,924
Commercial loans
Pass	451,388		102,258	58,114	50,237	18,805	60,839	349,086	4,103	1,094,830
Special mention	144		209	275	1,282	193	—	1,901	—	4,004
Substandard	540		291	1,088	2,338	1,825	1,356	12,791	6,507	26,736
Total commercial loans	452,072		102,758	59,477	53,857	20,823	62,195	363,778	10,610	1,125,570
Total Business Banking	743,535		520,089	481,880	413,452	329,461	1,032,248	395,336	22,399	3,938,400
Total loans	$	2,146,470	2,177,637	1,480,291	961,633	606,160	2,400,478	902,590	66,266	10,741,525

    During the nine months ended September 30, 2022, $13.4 million of revolving loans were converted to term loans.

The following table presents the amortized cost basis of our loan portfolio by year of origination and credit quality indicator for each portfolio segment as of December 31, 2021 (in thousands): 

	2021		2020	2019	2018	2017	Prior	Revolving loans	Revolving loans converted to term loans	Total loans receivable
Personal Banking:
Residential mortgage loans
Pass	$	644,862	602,429	304,275	156,639	171,240	1,098,635	—	—	2,978,080
Substandard	138		489	377	538	882	14,116	—	—	16,540
Total residential mortgage loans	645,000		602,918	304,652	157,177	172,122	1,112,751	—	—	2,994,620
Home equity loans
Pass	150,847		210,224	138,661	65,011	61,692	209,959	435,660	40,766	1,312,820
Substandard	—		—	441	60	455	3,820	1,275	1,060	7,111
Total home equity loans	150,847		210,224	139,102	65,071	62,147	213,779	436,935	41,826	1,319,931
Vehicle loans
Pass	801,084		292,804	205,653	119,304	34,546	27,576	—	—	1,480,967
Substandard	387		365	1,141	745	379	247	—	—	3,264
Total vehicle loans	801,471		293,169	206,794	120,049	34,925	27,823	—	—	1,484,231
Consumer loans
Pass	117,856		81,266	47,195	20,595	9,794	12,202	63,025	1,578	353,511
Substandard	213		161	105	64	26	50	357	30	1,006
Total consumer loans	118,069		81,427	47,300	20,659	9,820	12,252	63,382	1,608	354,517
Total Personal Banking	1,715,387		1,187,738	697,848	362,956	279,014	1,366,605	500,317	43,434	6,153,299
Business Banking:
Commercial real estate loans
Pass	306,689		433,219	335,541	263,524	221,450	683,537	26,288	10,179	2,280,427
Special mention	803		1,808	52,513	3,296	1,394	8,529	729	23	69,095
Substandard	—		34,153	44,712	46,045	56,077	89,311	492	5,169	275,959
Total commercial real estate loans	307,492		469,180	432,766	312,865	278,921	781,377	27,509	15,371	2,625,481
Commercial real estate - owner occupied
Pass	69,084		19,452	51,997	60,824	57,676	94,687	2,822	2,707	359,249
Special mention	—		—	—	769	1,959	1,444	856	—	5,028
Substandard	—		—	3,575	2,887	7,840	10,602	—	822	25,726
Total commercial real estate - owner occupied loans	69,084		19,452	55,572	64,480	67,475	106,733	3,678	3,529	390,003
Commercial loans
Pass	224,367		110,171	73,276	27,668	20,748	76,987	262,805	12,301	808,323
Special mention	197		661	812	1,195	50	581	2,234	—	5,730
Substandard	329		4,767	5,102	4,437	1,529	2,116	6,667	8,609	33,556
Total commercial loans	224,893		115,599	79,190	33,300	22,327	79,684	271,706	20,910	847,609
Total Business Banking	601,469		604,231	567,528	410,645	368,723	967,794	302,893	39,810	3,863,093
Total loans	$	2,316,856	1,791,969	1,265,376	773,601	647,737	2,334,399	803,210	83,244	10,016,392

    During the year ended December 31, 2021, $27.3 million of revolving loans were converted to term loans.

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Goodwill and Other Intangible Assets

9 Months Ended

Sep. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

The following table provides information for intangible assets subject to amortization at the dates indicated (in thousands):

	September 30, 2022		December 31, 2021
Amortizable intangible assets:
Core deposit intangibles - gross	$	74,899	74,899
Less: accumulated amortization	(65,446)		(62,158)
Core deposit intangibles - net	$	9,453	12,741
Customer and Contract intangible assets - gross	$	12,775	12,775
Customer list intangible assets disposed of due to sale of insurance business	—		(1,547)
Less: accumulated amortization	(12,737)		(11,133)
Customer and Contract intangible assets - net	38		95
Total intangible assets - net	$	9,491	12,836

The following table shows the actual aggregate amortization expense for the quarters and nine months ended September 30, 2022 and 2021, as well as the estimated aggregate amortization expense, based upon current levels of intangible assets, for the current fiscal year and each of the five succeeding fiscal years (in thousands):

For the quarter ended September 30, 2022	$	1,047
For the quarter ended September 30, 2021	1,321
For the nine months ended September 30, 2022	3,345
For the nine months ended September 30, 2021	4,348
For the year ending December 31, 2022	4,277
For the year ending December 31, 2023	3,270
For the year ending December 31, 2024	2,452
For the year ending December 31, 2025	1,662
For the year ending December 31, 2026	871
For the year ending December 31, 2027	304

    The following table provides information for the changes in the carrying amount of goodwill (in thousands):

	Total
Balance at December 31, 2020	$	382,279
Purchase accounting adjustment	77
Goodwill disposed of due to sale of insurance business	(1,359)
Balance at December 31, 2021	380,997
Balance at September 30, 2022	$	380,997

We performed our annual goodwill impairment test as of June 30, 2022 in accordance with ASC 350 and concluded that goodwill was not impaired. As of September 30, 2022, there were no events or changes in circumstances that would cause us to update that goodwill impairment test and we have concluded there is no impairment of goodwill.

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Borrowed Funds

9 Months Ended

Sep. 30, 2022

Debt Disclosure [Abstract]

Borrowed Funds

Borrowed Funds

    (a)    Borrowings

Borrowed funds at September 30, 2022 and December 31, 2021 are presented in the following table:

	September 30, 2022				December 31, 2021
	Amount		Average rate		Amount		Average rate
Note payable to the FHLB of Pittsburgh, due within one year	$	11,900	3.11	%	$	—	—	%
Collateralized borrowings, due within one year	98,315		0.18	%	139,093		0.19	%
Collateral received, due within one year	39,821		3.08	%	—		—
Total borrowed funds	$	150,036			$	139,093

Borrowings from the Federal Home Loan Bank (“FHLB”) of Pittsburgh, if any, are secured by our residential first mortgage and other qualifying loans. Certain of these borrowings are subject to restrictions or penalties in the event of prepayment.

    The revolving line of credit with the FHLB of Pittsburgh carries a commitment of $250.0 million. The rate is adjusted daily by the FHLB of Pittsburgh, and any borrowings on this line may be repaid at any time without penalty. At September 30, 2022 and December 31, 2021, the balance of the revolving line of credit was $11.9 million and $0, respectively.

At September 30, 2022 and December 31, 2021, collateralized borrowings due within one year were $98.3 million and $139.1 million, respectively. These borrowings are collateralized by cash or various securities held in safekeeping by the FHLB.

At September 30, 2022 and December 31, 2021, collateral received was $39.8 million and $0, respectively. This represents collateral posted to us from our derivative counterparties.

On September 9, 2020, the Company issued $125.0 million of 4.00% fixed-to-floating rate subordinated notes with a maturity date of September 15, 2030. The subordinated notes, which qualify as Tier 2 capital, bear interest at an annual rate of 4.00%, payable semi-annually in arrears commencing on March 15, 2021, and a floating rate of interest equivalent to the 3-month Secured Overnight Financing Rate (“SOFR”) plus 3.89% payable quarterly in arrears commencing on December 15, 2025. The subordinated debt issuance costs of approximately $1.8 million are being amortized over five years on a straight-line basis into interest expense. At September 30, 2022 and December 31, 2021, subordinated debentures, net of issuance costs, were $113.8 million and $123.6 million, respectively.

(b)    Trust Preferred Securities

The Company has seven statutory business trusts: Northwest Bancorp Capital Trust III, a Delaware statutory business trust, Northwest Bancorp Statutory Trust IV, a Connecticut statutory business trust, LNB Trust II, a Delaware statutory business trust, Union National Capital Trust I (“UNCT I”), a Delaware statutory business trust, Union National Capital Trust II (“UNCT II”), a Delaware statutory business trust, MFBC Statutory Trust I, a Delaware statutory trust, and Universal Preferred Trust, a Delaware statutory trust (the “Trusts”). The Trusts exist solely to issue preferred securities to third parties for cash, issue common securities to the Company in exchange for capitalization of the Trusts, invest the proceeds from the sale of trust securities in an equivalent amount of debentures of the Company, and engage in other activities that are incidental to those previously listed. 

The Trusts have invested the proceeds of the offerings in junior subordinated deferrable interest debentures issued by the Company. The structure of these debentures mirrors the structure of the trust-preferred securities. These subordinated debentures are the sole assets of the Trusts. As the shareholders of the trust preferred securities are the primary beneficiaries of the Trusts, the Trusts are not consolidated in our financial statements.

The following table sets forth a summary of the cumulative trust preferred securities and the junior subordinated debt held by the Trust as of the date listed.

	Maturity date	Interest rate	Capital debt securities		September 30, 2022		December 31, 2021
Northwest Bancorp Capital Trust III	December 30, 2035	3-month LIBOR plus 1.38%	$	50,000	$	51,547	51,547
Northwest Bancorp Statutory Trust IV	December 15, 2035	3-month LIBOR plus 1.38%	50,000		51,547		51,547
LNB Trust II	June 15, 2037	3-month LIBOR plus 1.48%	7,875		8,119		8,119
UNCT I (1)	January 23, 2034	3-month LIBOR plus 2.85%	8,000		7,968		7,950
UNCT II (1)	November 23, 2034	3-month LIBOR plus 2.00%	3,000		2,762		2,741
MFBC Statutory Trust I (1)	September 15, 2035	3-month LIBOR plus 1.70%	5,000		3,658		3,580
Universal Preferred Trust (1)	October 7, 2035	3-month LIBOR plus 1.69%	5,000		3,648		3,570
					$	129,249	129,054

(1) Net of discounts due to the fair value adjustment made at the time of acquisition.

Cash distributions on the trust securities are made on a quarterly basis to the extent interest on the debentures is received by the Trusts. We have the right to defer payment of interest on the subordinated debentures at any time, or from time-to-time, for periods not exceeding five years. If interest payments on the subordinated debentures are deferred, the distributions on the trust securities also are deferred. To date there have been no interest deferrals. Interest on the subordinated debentures and distributions on the trust securities is cumulative. Our obligation constitutes a full, irrevocable, and unconditional guarantee on a subordinated basis of the obligations of the trust under the preferred securities.

The Trusts must redeem the preferred securities when the debentures are paid at maturity or upon an earlier redemption of the debentures to the extent the debentures are redeemed. All or part of the debentures may be redeemed at any time. Also, the debentures may be redeemed at any time if existing laws or regulations, or the interpretation or application of these laws or regulations, change causing:

•the interest on the debentures to no longer be deductible by the Company for federal income tax purposes;

•the trusts to become subject to federal income tax or to certain other taxes or governmental charges;

•the trusts to register as an investment company; or

•the preferred securities to no longer qualify as Tier I capital. 

We may, at any time, dissolve any of the Trusts and distribute the debentures to the trust security holders, subject to receipt of any required regulatory approvals.

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Guarantees

9 Months Ended

Sep. 30, 2022

Guarantees [Abstract]

Guarantees

Guarantees

We issue standby letters of credit in the normal course of business. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Standby letters of credit generally are contingent upon the failure of the customer to perform according to the terms of the underlying contract with the third party. We are required to perform under a standby letter of credit when drawn upon by the guaranteed third party in the case of nonperformance by our customer. The credit risk associated with standby letters of credit is essentially the same as that involved in extending loans to customers and is subject to normal loan underwriting procedures. Collateral may be obtained based on management’s credit assessment of the customer. At September 30, 2022, the maximum potential amount of future payments we could be required to make under these non-recourse standby letters of credit was $47.8 million, of which $37.6 million is fully collateralized. At September 30, 2022, we had a liability which represents deferred income of $710,000 related to the standby letters of credit.

In addition, we maintain a $5.0 million credit limit with a correspondent bank for private label credit card facilities for certain existing commercial clients of the Bank, of which $727,000 of the credit limit was allocated to credit cards that have been issued. These issued credit cards had an outstanding balance of $62,000 at September 30, 2022. The clients of the Bank are responsible for repaying any balances due on these credit cards directly to the correspondent bank; however, if the customer fails to repay their balance, the Bank could be required to satisfy the obligation to the correspondent bank and initiate collection from our customer as part of the existing credit facility of that customer.

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Earnings Per Share

9 Months Ended

Sep. 30, 2022

Earnings Per Share [Abstract]

Earnings Per Share

Earnings Per Share     Basic earnings per common share (“EPS”) is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding for the period, without considering any dilutive items. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the Company.

The following table sets forth the computation of basic and diluted EPS (in thousands, except share data and per share amounts): 

	Quarter ended September 30,			Nine months ended September 30,
	2022		2021	2022	2021
Net income	$	37,304	35,063	99,017	124,267
Less: Dividends and undistributed earnings allocated to participating securities	166		237	441	841
Net income available to common shareholders	$	37,138	34,826	98,576	123,426
Weighted average common shares outstanding	126,320,706		126,111,774	126,082,217	126,333,290
Add: Participating shares outstanding	565,729		856,206	565,729	856,206
Total weighted average common shares and dilutive potential shares	126,886,435		126,967,980	126,647,946	127,189,496
Basic earnings per share	$	0.29	0.28	0.78	0.98
Diluted earnings per share	$	0.29	0.27	0.78	0.97

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Pension and Other Post-Retirement Benefits

9 Months Ended

Sep. 30, 2022

Retirement Benefits [Abstract]

Pension and Other Post-Retirement Benefits

Pension and Other Post-Retirement Benefits

The following table sets forth the net periodic costs for the defined benefit pension plans and post-retirement healthcare plans for the periods indicated (in thousands):

	Quarter ended September 30,
	Pension benefits			Other post-retirement benefits
	2022		2021	2022	2021
Service cost	$	2,599	2,860	—	—
Interest cost	1,671		1,517	10	4
Expected return on plan assets	(3,864)		(3,464)	—	—
Amortization of prior service cost	(564)		(580)	—	—
Amortization of the net loss	381		1,038	2	3
Net periodic cost	$	223	1,371	12	7

	Nine months ended September 30,
	Pension benefits			Other post-retirement benefits
	2022		2021	2022	2021
Service cost	$	7,797	8,580	—	—
Interest cost	5,013		4,552	30	13
Expected return on plan assets	(11,592)		(10,394)	—	—
Amortization of prior service cost	(1,692)		(1,741)	—	—
Amortization of the net loss	1,143		3,117	6	10
Net periodic cost	$	669	4,114	36	23

    We anticipate making a contribution to our defined benefit pension plan between $0 and $2.0 million during the year ending December 31, 2022.

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Disclosures About Fair Value of Financial Instruments

9 Months Ended

Sep. 30, 2022

Fair Value Disclosures [Abstract]

Disclosures About Fair Value of Financial Instruments

Disclosures About Fair Value of Financial Instruments

    We are required to disclose fair value information about financial instruments whether or not recognized in the Consolidated Statement of Financial Condition. Fair value information of certain financial instruments and all nonfinancial instruments is not required to be disclosed. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company.

    Financial assets and liabilities recognized or disclosed at fair value on a recurring basis and certain financial assets and liabilities on a non-recurring basis are accounted for using a three-level hierarchy of valuation techniques based on whether the inputs to those valuation techniques are observable or unobservable. This hierarchy gives the highest priority to quoted prices with readily available independent data in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable market

inputs (Level 3). When various inputs for measurement fall within different levels of the fair value hierarchy, the lowest level input that has a significant impact on fair value measurement is used.

    Financial assets and liabilities are categorized based upon the following characteristics or inputs to the valuation techniques:

•    Level 1 - Financial assets and liabilities for which inputs are observable and are obtained from reliable quoted prices for identical assets or liabilities in actively traded markets. This is the most reliable fair value measurement and includes, for example, active exchange-traded equity securities.

•    Level 2 - Financial assets and liabilities for which values are based on quoted prices in markets that are not active or for which values are based on similar assets or liabilities that are actively traded. Level 2 also includes pricing models in which the inputs are corroborated by market data, for example, matrix pricing.

•     Level 3 - Financial assets and liabilities for which values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. Level 3 inputs include the following:

◦Quotes from brokers or other external sources that are not considered binding;

◦Quotes from brokers or other external sources where it cannot be determined that market participants would in fact transact for the asset or liability at the quoted price; and

◦Quotes and other information from brokers or other external sources where the inputs are not deemed observable.

    We are responsible for the valuation process and as part of this process may use data from outside sources in establishing fair value. We perform due diligence to understand the inputs used or how the data was calculated or derived. We also corroborate the reasonableness of external inputs in the valuation process.

    The carrying amounts reported in the Consolidated Statement of Financial Condition approximate fair value for the following financial instruments: cash and cash equivalents, marketable securities available-for-sale, residential mortgage loans held-for-sale, accrued interest receivable, interest rate lock commitments, forward commitments, interest rate swaps, savings and checking deposits, foreign exchange swaps, risk participation agreements, and accrued interest payable.

Marketable Securities

Where available, market values are based on quoted market prices, dealer quotes, and prices obtained from independent pricing services.

Debt Securities — available-for-sale - Generally, debt securities are valued using pricing for similar securities, recently executed transactions and other pricing models utilizing observable inputs. The valuation for most debt securities is classified as Level 2. Securities within Level 2 include corporate bonds, municipal bonds, mortgage-backed securities and U.S. government obligations. Certain debt securities which were AAA rated at purchase do not have an active market and as such we have used an alternative method to determine the fair value of these securities. The fair value has been determined using a discounted cash flow model using market assumptions, which generally include cash flow, collateral and other market assumptions. As such, securities which otherwise would have been classified as Level 2 securities if an active market for those assets or similar assets existed are included herein as Level 3 assets.

Debt Securities — held-to-maturity - The fair value of debt securities held-to-maturity is determined in the same manner as debt securities available-for-sale.

Loans Receivable

    Loans with comparable characteristics including collateral and re-pricing structures are segregated for valuation purposes. Each loan pool is separately valued utilizing a discounted cash flow analysis. Projected monthly cash flows are discounted to present value using a market rate for comparable loans, which is not considered an exit price. Characteristics of comparable loans include remaining term, coupon interest, and estimated prepayment speeds. Delinquent loans are separately evaluated given the impact delinquency has on the projected future cash flow of the loan including the approximate discount or market rate, which is not considered an exit price.

Loans Held-for-Sale

    The estimated fair value of loans held-for-sale is based on market bids obtained from potential buyers.

FHLB Stock

Due to the restrictions placed on transferability of FHLB stock, it is not practical to determine the fair value. FHLB stock is recorded at cost.

Deposit Liabilities

    The estimated fair value of deposits with no stated maturity, which includes demand deposits, money market, and other savings accounts, is the amount payable on demand. Although market premiums paid for depository institutions reflect an additional value for these low-cost deposits, adjusting fair value for any value expected to be derived from retaining those deposits for a future period of time or from the benefit that results from the ability to fund interest-earning assets with these deposit liabilities is prohibited. The fair value estimates of deposit liabilities do not include the benefit that results from the low-cost funding provided by these deposits compared to the cost of borrowing funds in the market. Fair values for time deposits are estimated using a discounted cash flow calculation that applies contractual cost currently being offered in the existing portfolio to current market rates being offered locally for deposits of similar remaining maturities. The valuation adjustment for the portfolio consists of the present value of the difference of these two cash flows, discounted at the assumed market rate of the corresponding maturity.

Borrowed Funds

Fixed rate advances are valued by comparing their contractual cost to the prevailing market cost. The carrying amount of repurchase agreements approximates their fair value.

Subordinated Debentures

The fair value of our subordinated debentures is calculated using the discounted cash flows at rates observable for other similarly traded liabilities.

Junior Subordinated Debentures

The fair value of junior subordinated debentures is calculated using the discounted cash flows at the prevailing rate of interest.

Interest Rate Lock Commitments and Forward Commitments

The fair value of interest rate lock commitments is based on the value of underlying loans held-for-sale which is based on quoted prices for similar loans in the secondary market. This value is then adjusted based on the probability of the loan closing (i.e., the “pull-through” amount, a significant unobservable input). The fair value of forward sale commitments is based on quoted prices from the secondary market based on the settlement date of the contracts.

Interest Rate and Foreign Exchange Swap Agreements and Risk Participation Agreements

    The fair value of interest rate swaps is based upon the present value of the expected future cash flows using the LIBOR swap curve, the basis for the underlying interest rate. To price interest rate swaps, cash flows are first projected for each payment date using the fixed rate for the fixed side of the swap and the forward rates for the floating side of the swap. These swap cash flows are then discounted to time zero using LIBOR zero-coupon interest rates. The sum of the present value of both legs is the fair market value of the interest rate swap. These valuations have been derived from our third party vendor’s proprietary models rather than actual market quotations. The proprietary models are based upon financial principles and assumptions that we believe to be reasonable. The fair value of the foreign exchange swap is derived from proprietary models rather than actual market quotations. The proprietary models are based upon financial principles and assumptions we believe to be reasonable. Risk participation agreements are entered into when Northwest purchases a portion of a commercial loan that has an interest rate swap. Northwest assumes credit risk on its portion of the interest rate swap should the borrower fail to pay as agreed. The value of risk participation agreements is determined based on the value of the swap after considering the credit quality, probability of default, and loss given default of the borrower.

Off-Balance Sheet Financial Instruments

These financial instruments generally are not sold or traded, and estimated fair values are not readily available. However, the fair value of commitments to extend credit and standby letters of credit is estimated using the fees currently charged to enter into similar agreements. Commitments to extend credit are generally short-term in nature and, if drawn upon, are issued under current market terms. At September 30, 2022 and December 31, 2021, there was no significant unrealized appreciation or depreciation on these financial instruments.

The following table sets forth the carrying amount and estimated fair value of our financial instruments included in the Consolidated Statement of Financial Condition at September 30, 2022 (in thousands): 

	Carrying amount		Estimated fair value	Level 1	Level 2	Level 3
Financial assets:
Cash and cash equivalents	$	118,549	118,549	118,549	—	—
Securities available-for-sale	1,251,791		1,251,791	—	1,251,791	—
Securities held-to-maturity	899,411		771,238	—	771,238	—
Loans receivable, net	10,615,872		9,639,188	—	—	9,639,188
Residential mortgage loans held-for-sale	15,834		15,834	—	—	15,834
Accrued interest receivable	29,536		29,536	29,536	—	—
Interest rate lock commitments	1,063		1,063	—	—	1,063
Foreign exchange swaps	38		38	—	38	—
Interest rate swaps not designated as hedging instruments	50,295		50,295	—	50,295	—
FHLB stock	19,281		19,281	—	—	—
Total financial assets	$	13,001,670	11,896,813	148,085	2,073,362	9,656,085
Financial liabilities:
Savings and checking deposits	$	10,811,282	10,811,282	10,811,282	—	—
Time deposits	1,067,110		1,069,395	—	—	1,069,395
Borrowed funds	150,036		149,914	149,914	—	—
Subordinated debt	113,753		103,312	—	103,312	—
Junior subordinated debentures	129,249		117,475	—	—	117,475
Forward commitments	139		139	—	139	—
Foreign exchange swaps	9		9	—	9	—
Interest rate swaps not designated as hedging instruments	50,295		50,295	—	50,295	—
Risk participation agreements	25		25	—	25	—
Accrued interest payable	831		831	831	—	—
Total financial liabilities	$	12,322,729	12,302,677	10,962,027	153,780	1,186,870

The following table sets forth the carrying amount and estimated fair value of our financial instruments included in the Consolidated Statement of Financial Condition at December 31, 2021 (in thousands): 

	Carrying amount		Estimated fair value	Level 1	Level 2	Level 3
Financial assets:
Cash and cash equivalents	$	1,279,259	1,279,259	1,279,259	—	—
Securities available-for-sale	1,548,592		1,548,592	—	1,548,592	—
Securities held-to-maturity	768,154		751,513	—	751,513	—
Loans receivable, net	9,889,095		9,648,825	—	—	9,648,825
Residential mortgage loans held-for-sale	25,056		25,056	—	—	25,056
Accrued interest receivable	25,599		25,599	25,599	—	—
Interest rate lock commitments	1,684		1,684	—	—	1,684
Forward commitments	371		371	—	371	—
Interest rate swaps not designated as hedging instruments	31,254		31,254	—	31,254	—
FHLB stock	14,184		14,184	—	—	—
Total financial assets	$	13,583,248	13,326,337	1,304,858	2,331,730	9,675,565
Financial liabilities:
Savings and checking accounts	$	10,973,610	10,973,610	10,973,610	—	—
Time deposits	1,327,555		1,339,308	—	—	1,339,308
Borrowed funds	139,093		139,093	139,093	—	—
Subordinated debt	123,575		129,138	—	129,138	—
Junior subordinated debentures	129,054		120,083	—	—	120,083
Foreign exchange swaps	341		341	—	341	—
Interest rate swaps not designated as hedging instruments	31,357		31,357	—	31,357	—
Risk participation agreements	60		60	—	60	—
Accrued interest payable	1,804		1,804	1,804	—	—
Total financial liabilities	$	12,726,449	12,734,794	11,114,507	160,896	1,459,391

Fair value estimates are made at a point-in-time, based on relevant market data and information about the instrument. The methods and assumptions detailed above were used in estimating the fair value of financial instruments at both September 30, 2022 and December 31, 2021.

    The following table represents assets and liabilities measured at fair value on a recurring basis at September 30, 2022 (in thousands): 

	Level 1		Level 2	Level 3	Total assets  at fair value
Debt securities:
U.S. government and agencies	$	—	61,925	—	61,925
Government-sponsored enterprises	—		39,091	—	39,091
States and political subdivisions	—		106,176	—	106,176
Corporate	—		13,140	—	13,140
Total debt securities	—		220,332	—	220,332
Residential mortgage-backed securities:
GNMA	—		12,768	—	12,768
FNMA	—		119,202	—	119,202
FHLMC	—		76,124	—	76,124
Non-agency	—		6	—	6
Collateralized mortgage obligations:
GNMA	—		379,420	—	379,420
FNMA	—		194,850	—	194,850
FHLMC	—		249,089	—	249,089
Total mortgage-backed securities	—		1,031,459	—	1,031,459
Interest rate lock commitments	—		—	1,063	1,063
Foreign exchange swaps	—		38	—	38
Interest rate swaps not designated as hedging instruments	—		50,295	—	50,295
Total assets	$	—	1,302,124	1,063	1,303,187
Interest rate swaps not designated as hedging instruments	—		50,295	—	50,295
Foreign exchange swaps	—		9	—	9
Forward commitments	—		139	—	139
Risk participation agreements	—		25	—	25
Total liabilities	$	—	50,468	—	50,468

    The following table represents assets and liabilities measured at fair value on a recurring basis at December 31, 2021 (in thousands):

	Level 1		Level 2	Level 3	Total assets  at fair value
Debt securities:
U.S. government and agencies	$	—	75,891	—	75,891
Government-sponsored enterprises	—		46,085	—	46,085
States and political subdivisions	—		128,701	—	128,701
Total debt securities	—		250,677	—	250,677
Residential mortgage-backed securities:
GNMA	—		16,510	—	16,510
FNMA	—		160,063	—	160,063
FHLMC	—		100,055	—	100,055
Non-agency	—		431	—	431
Collateralized mortgage obligations:
GNMA	—		492,328	—	492,328
FNMA	—		269,060	—	269,060
FHLMC	—		259,468	—	259,468
Total mortgage-backed securities	—		1,297,915	—	1,297,915
Interest rate lock commitments	—		—	1,684	1,684
Forward commitments	—		371	—	371
Interest rate swaps not designated as hedging instruments	—		31,254	—	31,254
Total assets	$	—	1,580,217	1,684	1,581,901
Foreign exchange swaps	$	—	341	—	341
Interest rate swaps not designated as hedging instruments	—		31,357	—	31,357
Risk participation agreements	—		60	—	60
Total liabilities	$	—	31,758	—	31,758

    The following table presents the changes in Level 3 assets and liabilities measured at fair value on a recurring basis (in thousands):

	For the quarter ended September 30,			Nine months ended September 30, 2022
	2022		2021	2022	2021
Beginning balance	$	1,520	3,608	1,684	6,465
Interest rate lock commitments:
Net activity	(457)		(471)	(621)	(3,328)
Ending balance	$	1,063	3,137	1,063	3,137

Certain assets and liabilities are measured at fair value on a nonrecurring basis after initial recognition such as loans held-for-sale, loans individually assessed, real estate owned, and mortgage servicing rights.

    The following table represents the fair market measurement for only those nonrecurring assets that had a fair market value below the carrying amount as of September 30, 2022 (in thousands):

	Level 1		Level 2	Level 3	Total assets  at fair value
Loans individually assessed	$	—	—	21,173	21,173
Mortgage servicing rights	—		—	82	82
Real estate owned, net	—		—	450	450
Total assets	$	—	—	21,705	21,705

    The following table represents the fair market measurement for only those nonrecurring assets that had a fair market value below the carrying amount as of December 31, 2021 (in thousands): 

	Level 1		Level 2	Level 3	Total assets  at fair value
Loans individually assessed	$	—	—	46,968	46,968
Mortgage servicing rights	—		—	380	380
Real estate owned, net	—		—	873	873
Total assets	$	—	—	48,221	48,221

    Individually Assessed Loans - A loan is considered to be individually assessed as described in Note 1(f) of the Notes to the Consolidated Financial Statements in Item 8 of Part II of our 2021 Annual Report on Form 10-K. We classify loans individually assessed as nonrecurring Level 3.

    Real Estate Owned - Real estate owned is comprised of property acquired through foreclosure or voluntarily conveyed by borrowers. These assets are recorded on the date acquired at the lower of the related loan balance or fair value, less estimated disposition costs, with the fair value being determined by appraisal. Subsequently, foreclosed assets are valued at the lower of the amount recorded at acquisition date or fair value, less estimated disposition costs. We classify real estate owned as nonrecurring Level 3. 

The following table presents additional quantitative information about assets measured at fair value on a recurring and nonrecurring basis and for which we have utilized Level 3 inputs to determine fair value at September 30, 2022 (in thousands): 

	Fair value		Valuation techniques	Significant unobservable inputs	Range  (weighted average)
Loans individually assessed	$	21,173	Appraisal value (1)	Estimated cost to sell	10.0%
			Discounted cash flow	Discount rate	6.47% to 14.56% (8.28%)
Mortgage servicing rights	82		Discounted cash flow	Annual service cost	$85
				Prepayment rate	7.0% to 15.1% (9.5%)
				Expected life (months)	56.7 to 101.7 (75.7)
				Option adjusted spread	650 basis points
				Forward yield curve	2.56% to 4.16%
Real estate owned, net	450		Appraisal value (1)	Estimated cost to sell	10.0%
Loans held for sale	15,834		Quoted prices for similar loans in active markets adjusted by an expected pull-through rate	Estimated pull-through rate	100.0%

(1)Fair value is generally determined through independent appraisals of the underlying collateral, which may include Level 3 inputs that are not identifiable, or by using the discounted cash flow method if the loan is not collateral dependent.

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Derivative Financial Instruments

9 Months Ended

Sep. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

Derivative Financial Instruments

    We are a party to derivative financial instruments in the normal course of business to manage our own exposure to fluctuations in interest rates and to meet the needs of our customers. The primary derivatives that we use are interest rate swaps and caps and foreign exchange contracts, which are entered into with counterparties that meet established credit standards. We believe that the credit risk inherent in all of our derivative contracts is minimal based on our credit standards and the netting and collateral provisions of the interest rate swap agreements.

Derivatives Not Designated as Hedging Instruments

    We act as an interest rate or foreign exchange swap counterparty for certain commercial borrowers in the normal course of servicing our customers, which are accounted for at fair value. We manage our exposure to such interest rate or foreign exchange swaps by entering into corresponding and offsetting interest rate swaps with third parties that mirror the terms of the swaps we have with the commercial borrowers. These positions (referred to as “customer swaps”) directly offset each other, and our exposure is the fair value of the derivatives due to changes in credit risk of our commercial borrowers and third parties. Customer swaps are recorded within other assets or other liabilities on the consolidated statement of financial condition at their estimated fair value. Changes to the fair value of assets and liabilities arising from these derivatives are included, net, in other operating income in the Consolidated Statement of Income.

    We enter into interest rate lock commitments for residential mortgage loans which commit us to lend funds to a potential borrower at a specific interest rate within a specified period of time. Interest rate lock commitments that relate to the origination of mortgage loans that will be held-for-sale are considered derivative financial instruments under applicable accounting guidance. Interest rate lock commitments on loans held-for-sale are carried at fair value in other assets on the consolidated statement of financial condition. Northwest sells loans to the secondary market on a mandatory or best efforts basis. The loans sold on a mandatory basis commit us to deliver a specific principal amount of mortgage loans to an investor at a specified price, by a specified date, or the commitment must be paired off. These forward commitments entered into on a mandatory delivery basis meet the definition of a derivative financial instrument. All closed loans to be sold on a mandatory delivery basis are classified as held-for-sale on the Consolidated Statement of Financial Condition. Changes to the fair value of the interest rate lock commitments and the forward commitments are recorded in mortgage banking income in the Consolidated Statements of Income.

    We enter into risk participation agreements with financial institution counterparties for interest rate swaps related to loans in which we are a participant. The risk participation agreements provide credit protection to the financial institution should the borrower fail to perform on its interest rate derivative contract with the financial institution.

The following table presents information regarding our derivative financial instruments for the periods indicated (in thousands):

	Asset derivatives			Liability derivatives
	Notional amount		Fair value	Notional amount	Fair value
At September 30, 2022
Derivatives not designated as hedging instruments:
Interest rate swap agreements	$	659,480	50,295	659,480	50,295
Foreign exchange swap agreements	1,218		38	959	9
Interest rate lock commitments	38,880		1,063	—	—
Forward commitments	—		—	5,578	139
Risk participation agreements	—		—	114,796	25
Total Derivatives	$	699,578	51,396	780,813	50,468
At December 31, 2021
Derivatives not designated as hedging instruments:
Interest rate swap agreements	$	644,997	31,254	644,997	31,357
Foreign exchange swap agreements	—		—	17,124	341
Interest rate lock commitments	67,473		1,684	—	—
Forward commitments	14,484		371	—	—
Risk participation agreements	—		—	93,135	60
Total derivatives	$	726,954	33,309	755,256	31,758

The following table presents income or expense recognized on derivatives for the periods indicated (in thousands):

	For the quarter ended September 30,			For the nine months ended September 30,
	2022		2021	2022	2021
Non-hedging swap derivatives:
Increase in other income	$	93	590	207	1,087
Increase in mortgage banking income	809		345	1,131	3,915

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Legal Proceedings

9 Months Ended

Sep. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Legal Proceedings

Legal Proceedings

We establish accruals for legal proceedings when information related to the loss contingencies represented by those matters indicates both that a loss is probable and that the amount of loss can be reasonably estimated. As of September 30, 2022, we do not anticipate that the aggregate ultimate liability arising out of any pending or threatened legal proceedings will be material to our Consolidated Financial Statements. Any such accruals are adjusted thereafter as appropriate to reflect changes in circumstances. Due to the inherent subjectivity of assessments and unpredictability of outcomes of legal proceedings, any amounts accrued may not represent the ultimate loss to us from legal proceedings.

    During the year ended December 31, 2018, Northwest and our subsidiary, The Bert Company (doing business as Northwest Insurance Services) (“NWIS”), were involved in a lawsuit against, among others, First National Bank of Pennsylvania (“FNB”) and their insurance subsidiary, First National Insurance Agency, LLC (“FNIA”). All counterclaims against Northwest were discontinued and, in December 2018, a verdict was rendered in favor of NWIS on several of its claims. Post-trial proceedings have continued throughout the current year and, due to the inherent uncertainties with respect to these proceedings, we have not accrued any awards associated with this verdict within our Consolidated Financial Statements as of September 30, 2022.

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Changes in Accumulated Other Comprehensive Income

9 Months Ended

Sep. 30, 2022

Equity [Abstract]

Changes in Accumulated Other Comprehensive Income

Changes in Accumulated Other Comprehensive Income

The following tables show the changes in accumulated other comprehensive income by component for the periods indicated (in thousands): 

	For the quarter ended September 30, 2022
	Unrealized  losses  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of June 30, 2022	$	(117,056)	(25,574)	(142,630)
Other comprehensive loss before reclassification adjustments (1)	(48,387)		—	(48,387)
Amounts reclassified from accumulated other comprehensive income (2)	—		(131)	(131)
Net other comprehensive loss	(48,387)		(131)	(48,518)
Balance as of September 30, 2022	$	(165,443)	(25,705)	(191,148)

	For the quarter ended September 30, 2021
	Unrealized  gains/(losses)  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of June 30, 2021	$	3,533	(49,725)	(46,192)
Other comprehensive loss before reclassification adjustments (3)	(6,455)		—	(6,455)
Amounts reclassified from accumulated other comprehensive income (4) (5)	(69)		333	264
Net other comprehensive income	(6,524)		333	(6,191)
Balance as of September 30, 2021	$	(2,991)	(49,392)	(52,383)

(1)Consists of unrealized holding losses, net of tax of $14,705.

(2)Consists of realized gains, net of tax of $50.

(3)Consists of unrealized holding losses, net of tax $2,076.

(4)Consists of realized gains, net of tax $24.

(5)Consists of realized losses, net of tax of ($128).

	For the nine months ended September 30, 2022
	Unrealized  losses  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of December 31, 2021	$	(12,317)	(25,312)	(37,629)
Other comprehensive loss before reclassification adjustments (1)	(153,124)		—	(153,124)
Amounts reclassified from accumulated other comprehensive income (2) (3)	(2)		(393)	(395)
Net other comprehensive loss	(153,126)		(393)	(153,519)
Balance as of September 30, 2022	$	(165,443)	(25,705)	(191,148)

	For the nine months ended September 30, 2021
	Unrealized  gains/(losses)  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of December 31, 2020	$	16,843	(50,392)	(33,549)
Other comprehensive loss before reclassification adjustments (4)	(19,554)		—	(19,554)
Amounts reclassified from accumulated other comprehensive income (5) (6)	(280)		1,000	720
Net other comprehensive income/(loss)	(19,834)		1,000	(18,834)
Balance as of September 30, 2021	$	(2,991)	(49,392)	(52,383)

(1)Consists of unrealized holding losses, net of tax of $45,555.

(2)Consists of realized gains, net of tax of $0.

(3)Consists of realized gains, net of tax of $151.

(4)Consists of unrealized holding losses, net of tax $6,812.

(5)Consists of realized gains, net of tax $89.

(6)Consists of realized losses, net of tax of $(386).

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Basis of Presentation and Informational Disclosures (Policies)

9 Months Ended

Sep. 30, 2022

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Northwest Bancshares, Inc. (the “Company” or “NWBI”), a Maryland corporation headquartered in Columbus, Ohio, is a bank holding company regulated by the Board of Governors of the Federal Reserve System (“FRB”). The primary activity of the Company is the ownership of all of the issued and outstanding common stock of Northwest Bank, a Pennsylvania-chartered savings bank (“Northwest”). Northwest is regulated by the Federal Deposit Insurance Corporation (“FDIC”) and the Pennsylvania Department of Banking. Northwest operates 150 community-banking offices throughout Pennsylvania, Western New York, Eastern Ohio, and Indiana.

The accompanying unaudited Consolidated Financial Statements include the accounts of the Company and its subsidiary, Northwest, and Northwest’s subsidiaries Northwest Capital Group, Inc., Great Northwest Corporation, and MutualFirst Interest Company, Inc. The unaudited Consolidated Financial Statements have been prepared in accordance with United States generally accepted accounting principles for interim financial information and with the instructions for Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information or footnotes required for complete annual financial statements. In the opinion of management, all adjustments necessary for the fair presentation of the Company’s financial position and results of operations have been included. The Consolidated Financial Statements have been prepared using the accounting policies described in the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 updated, as required, for any new pronouncements or changes.

Reclassification

Certain items previously reported have been reclassified to conform to the current year’s reporting format.

Allowance for Credit Losses and Provision for Credit Losses Update

Allowance for Credit Losses and Provision for Credit Losses Update

During the nine months ended September 30, 2022, the Bank implemented a new model to calculate the allowance for credit losses on our vehicle loan portfolio. Additionally, as part of the process, we re-assessed our loan segmentation and loans that were previously included in our consumer loan portfolio were moved into our vehicle loan portfolio. The change in segmentation was driven by underlying collateral types, and the loans continue to share similar risk characteristics.

The allowance for credit losses within the vehicle loan portfolio is calculated using a non-discounted cash flow model developed by an external third-party. Monthly probabilities of default and prepayments are estimated for each loan, along with estimates of exposure at default and loss given default. The model utilizes loan, borrower, and collateral characteristics, and macroeconomic data as inputs.

Income Taxes - Uncertain Tax Positions

Income Taxes-Uncertain Tax Positions

Accounting standards prescribe a comprehensive model for how a company should recognize, measure, present and disclose in its financial statements uncertain tax positions that the company has taken or expects to take on a tax return. A tax benefit from an uncertain position may be recognized only if it is “more likely than not” that the position is sustainable, based on its technical merits. The tax benefit of a qualifying position is the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement with a taxing authority having full knowledge of all relevant information. We had a $241,000 liability for unrecognized tax benefits as of both September 30, 2022 and December 31, 2021.

     We recognize interest accrued related to: (1) unrecognized tax benefits in other expenses and (2) refund claims in other operating income. We recognize penalties (if any) in other expenses. We are subject to audit by the Internal Revenue Service and any state in which we conduct business for the tax periods ended December 31, 2021, 2020, 2019 and 2018.

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Marketable Securities (Tables)

9 Months Ended

Sep. 30, 2022

Investments, Debt and Equity Securities [Abstract]

Schedule of the portfolio of investment securities available-for-sale

The following table shows the portfolio of marketable securities available-for-sale at September 30, 2022 (in thousands):

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S government and agencies:
Due after one year through five years	$	20,000	—	(1,921)	18,079
Due after ten years	54,213		—	(10,367)	43,846
Debt issued by government-sponsored enterprises:
Due after one year through five years	993		—	(53)	940
Due after five years through ten years	45,890		—	(7,739)	38,151
Municipal securities:
Due within one year	509		—	(2)	507
Due after one year through five years	618		—	(15)	603
Due after five years through ten years	33,945		8	(3,272)	30,681
Due after ten years	92,791		—	(18,406)	74,385
Corporate debt issues:
Due after five years through ten years	13,551		—	(411)	13,140
Residential mortgage-backed securities:
Fixed rate pass-through	233,394		14	(34,557)	198,851
Variable rate pass-through	9,341		25	(117)	9,249
Fixed rate agency CMOs	932,668		1	(137,752)	794,917
Variable rate agency CMOs	28,970		45	(573)	28,442
Total residential mortgage-backed securities	1,204,373		85	(172,999)	1,031,459
Total marketable securities available-for-sale	$	1,466,883	93	(215,185)	1,251,791

The following table shows the portfolio of marketable securities available-for-sale at December 31, 2021 (in thousands):

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S. government and agencies:
Due after one year through five years	$	20,000	—	(68)	19,932
Due after ten years	57,681		—	(1,722)	55,959
Debt issued by government-sponsored enterprises:
Due within one year	177		—	—	177
Due after one year through five years	991		73	—	1,064
Due after five years through ten years	46,411		1	(1,568)	44,844
Municipal securities:
Due within one year	946		13	—	959
Due after one year through five years	1,261		22	(3)	1,280
Due after five years through ten years	23,692		661	(146)	24,207
Due after ten years	99,558		2,884	(187)	102,255
Residential mortgage-backed securities:
Fixed rate pass-through	265,604		2,389	(2,525)	265,468
Variable rate pass-through	11,306		294	(9)	11,591
Fixed rate agency CMOs	997,680		2,284	(18,965)	980,999
Variable rate agency CMOs	39,695		224	(62)	39,857
Total residential mortgage-backed securities	1,314,285		5,191	(21,561)	1,297,915
Total marketable securities available-for-sale	$	1,565,002	8,845	(25,255)	1,548,592

Schedule of the portfolio of investment securities held-to-maturity

The following table shows the portfolio of marketable securities held-to-maturity at September 30, 2022 (in thousands):

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S. government and agencies:
Due after one year through five years	$	16,478	—	(1,739)	14,739
Due after five years through ten years	107,976		—	(20,352)	87,624
Residential mortgage-backed securities:
Fixed rate pass-through	167,016		—	(26,701)	140,315
Variable rate pass-through	574		—	(7)	567
Fixed rate agency CMOs	606,808		—	(79,373)	527,435
Variable rate agency CMOs	559		1	(2)	558
Total residential mortgage-backed securities	774,957		1	(106,083)	668,875
Total marketable securities held-to-maturity	$	899,411	1	(128,174)	771,238

The following table shows the portfolio of marketable securities held-to-maturity at December 31, 2021 (in thousands): 

	Amortized cost		Gross unrealized holding gains	Gross unrealized holding losses	Fair value
Debt issued by the U.S. government and agencies:
Due after one year through five years	$	16,478	—	(206)	16,272
Due after five years through ten years	107,973		—	(4,613)	103,360
Residential mortgage-backed securities:
Fixed rate pass-through	183,092		58	(2,161)	180,989
Variable rate pass-through	667		24	—	691
Fixed rate agency CMOs	459,345		251	(10,011)	449,585
Variable rate agency CMOs	599		17	—	616
Total residential mortgage-backed securities	643,703		350	(12,172)	631,881
Total marketable securities held-to-maturity	$	768,154	350	(16,991)	751,513

Information regarding the issuers and the carrying values of the entity's mortgage-backed securities

The following table shows the contractual maturity of our residential mortgage-backed securities available-for-sale at September 30, 2022 (in thousands):

	Amortized cost		Fair value
Residential mortgage-backed securities:
Due within one year	$	254	252
Due after one year through five years	49,435		46,268
Due after five years through ten years	155,960		137,226
Due after ten years	998,724		847,713
Total residential mortgage-backed securities	$	1,204,373	1,031,459

The following table shows the contractual maturity of our residential mortgage-backed securities held-to-maturity at September 30, 2022 (in thousands):

	Amortized cost		Fair value
Residential mortgage-backed securities:
Due after one year through five years	$	20,705	17,551
Due after five years through ten years	168,546		141,707
Due after ten years	585,706		509,617
Total residential mortgage-backed securities	$	774,957	668,875

Schedule of the fair value and gross unrealized losses on investment securities, aggregated by investment category and length of time individual securities have been in a continuous unrealized loss position

The following table shows the fair value of and gross unrealized losses on marketable securities, for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position at September 30, 2022 (in thousands):

	Less than 12 months			12 months or more		Total
	Fair  value		Unrealized loss	Fair  value	Unrealized loss	Fair  value	Unrealized loss
U.S. government-sponsored enterprises	$	19,905	(1,989)	183,474	(40,182)	203,379	(42,171)
Municipal securities	87,699		(14,160)	17,671	(7,535)	105,370	(21,695)
Corporate debt issues	13,140		(411)	—	—	13,140	(411)
Residential mortgage-backed securities - agency	624,780		(61,296)	1,069,396	(217,786)	1,694,176	(279,082)
Total	$	745,524	(77,856)	1,270,541	(265,503)	2,016,065	(343,359)

The following table shows the fair value of and gross unrealized losses on marketable securities, for which an allowance for credit losses has not been recorded, aggregated by investment category and length of time that the individual securities have been in a continuous unrealized loss position at December 31, 2021 (in thousands):

	Less than 12 months			12 months or more		Total
	Fair  value		Unrealized loss	Fair  value	Unrealized loss	Fair  value	Unrealized loss
U.S. government-sponsored enterprises	$	132,782	(3,504)	106,160	(4,673)	238,942	(8,177)
Municipal securities	25,118		(336)	—	—	25,118	(336)
Residential mortgage-backed securities - agency	1,428,582		(26,516)	184,389	(7,217)	1,612,971	(33,733)
Total	$	1,586,482	(30,356)	290,549	(11,890)	1,877,031	(42,246)

Schedule of credit quality of held-to-maturity securities

The following table presents the credit quality of our held-to-maturity securities, based on the latest information available as of September 30, 2022 (in thousands). The credit ratings are sourced from nationally recognized rating agencies, which include Moody’s and S&P, or when credit ratings cannot be sourced from the agencies, they are presented based on asset type. All of our held-to-maturity securities were current in their payment of principal and interest as of September 30, 2022.

	AA+		Total
Held-to-maturity securities (at amortized cost):
Debt issued by the U.S. government-sponsored enterprises	$	124,454	124,454
Residential mortgage-backed securities	774,957		774,957
Total marketable securities held-to-maturity	$	899,411	899,411

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Loans Receivable (Tables)

9 Months Ended

Sep. 30, 2022

Receivables [Abstract]

Summary of loans receivable

The following table shows a summary of our loans receivable at amortized cost basis at September 30, 2022 and December 31, 2021 (in thousands): 

	September 30, 2022				December 31, 2021
	Originated (1)		Acquired (2)	Total	Originated (1)	Acquired (2)	Total
Personal Banking:
Residential mortgage loans (3)	$	3,225,348	176,550	3,401,898	2,783,459	211,161	2,994,620
Home equity loans	1,110,401		174,588	1,284,989	1,107,202	212,729	1,319,931
Vehicle loans	1,907,210		99,987	2,007,197	1,384,246	99,985	1,484,231
Consumer loans	100,831		8,210	109,041	307,961	46,556	354,517
Total Personal Banking	6,343,790		459,335	6,803,125	5,582,868	570,431	6,153,299
Commercial Banking:
Commercial real estate loans	2,101,684		327,222	2,428,906	2,202,027	423,454	2,625,481
Commercial real estate loans - owner occupied	344,504		39,420	383,924	321,253	68,750	390,003
Commercial loans	1,072,857		52,713	1,125,570	765,877	81,732	847,609
Total Commercial Banking	3,519,045		419,355	3,938,400	3,289,157	573,936	3,863,093
Total loans receivable, gross	9,862,835		878,690	10,741,525	8,872,025	1,144,367	10,016,392
Allowance for credit losses	(97,738)		(12,081)	(109,819)	(86,750)	(15,491)	(102,241)
Total loans receivable, net (4)	$	9,765,097	866,609	10,631,706	8,785,275	1,128,876	9,914,151

(1) Includes originated and purchased loan pools purchased in an asset acquisition.

(2) Includes loans subject to purchase accounting in a business combination.

(3)     Includes fair value of $15.8 million and $25.1 million of loans held-for-sale at September 30, 2022 and December 31, 2021, respectively.

(4)    Includes $74.3 million and $62.8 million of net unearned income, unamortized premiums and discounts and deferred fees and costs at September 30, 2022 and December 31, 2021, respectively.

Schedule of the changes in the allowance for losses on loans receivable

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the quarter ended September 30, 2022 (in thousands):

	Balance as of September 30, 2022		Current period provision	Charge-offs	Recoveries	Balance as of June 30, 2022
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	17,967	1,646	(166)	329	16,158
Home equity loans	5,448		341	(535)	410	5,232
Vehicle loans	17,004		1,576	(936)	626	15,738
Consumer loans	825		1,170	(1,405)	281	779
Total Personal Banking	41,244		4,733	(3,042)	1,646	37,907
Commercial Banking:
Commercial real estate loans	49,649		5,117	(1,329)	6,220	39,641
Commercial real estate loans - owner occupied	4,087		(34)	—	26	4,095
Commercial loans	14,839		(2,127)	(243)	497	16,712
Total Commercial Banking	68,575		2,956	(1,572)	6,743	60,448
Total	$	109,819	7,689	(4,614)	8,389	98,355
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	4	(2)	—	—	6
Home equity loans	74		10	—	—	64
Total Personal Banking	78		8	—	—	70
Commercial Banking:
Commercial real estate loans	5,382		1,919	—	—	3,463
Commercial real estate loans - owner occupied	287		(41)	—	—	328
Commercial loans	5,288		1,699	—	—	3,589
Total Commercial Banking	10,957		3,577	—	—	7,380
Total off-balance sheet exposure	$	11,035	3,585	—	—	7,450

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the quarter ended September 30, 2021 (in thousands):

	Balance as of September 30, 2021		Current period provision	Charge-offs	Recoveries	Balance as of June 30, 2021
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	7,987	1,939	(1,263)	64	7,247
Home equity loans	6,293		291	(1,474)	237	7,239
Vehicle loans	12,457		82	(1,112)	599	12,888
Consumer loans	3,074		949	(1,036)	360	2,801
Total Personal Banking	29,811		3,261	(4,885)	1,260	30,175
Commercial Banking:
Commercial real estate loans	58,451		(5,103)	(1,581)	555	64,580
Commercial real estate loans - owner occupied	3,246		(1,487)	—	4	4,729
Commercial loans	18,259		(1,025)	(412)	1,850	17,846
Total Commercial Banking	79,956		(7,615)	(1,993)	2,409	87,155
Total	$	109,767	(4,354)	(6,878)	3,669	117,330
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	2	—	—	—	2
Home equity loans	40		(2)	—	—	42
Total Personal Banking	42		(2)	—	—	44
Commercial Banking:
Commercial real estate loans	2,647		715	—	—	1,932
Commercial real estate loans - owner occupied	140		(41)	—	—	181
Commercial loans	1,333		101	—	—	1,232
Total Commercial Banking	4,120		775	—	—	3,345
Total off-balance sheet exposure	$	4,162	773	—	—	3,389

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the nine months ended September 30, 2022 (in thousands):

	Balance as of September 30, 2022		Current period provision	Charge-offs	Recoveries	Balance as of December 31, 2021
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	17,967	11,331	(1,487)	750	7,373
Home equity loans	5,448		127	(1,237)	1,258	5,300
Vehicle loans	17,004		2,159	(2,517)	1,879	15,483
Consumer loans	825		479	(3,459)	921	2,884
Total Personal Banking	41,244		14,096	(8,700)	4,808	31,040
Commercial Banking:
Commercial real estate loans	49,649		(6,465)	(6,745)	8,718	54,141
Commercial real estate loans - owner occupied	4,087		167	—	37	3,883
Commercial loans	14,839		1,039	(1,253)	1,876	13,177
Total Commercial Banking	68,575		(5,259)	(7,998)	10,631	71,201
Total	$	109,819	8,837	(16,698)	15,439	102,241
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	4	2	—	—	2
Home equity loans	74		35	—	—	39
Total Personal Banking	78		37	—	—	41
Commercial Banking:
Commercial real estate loans	5,382		4,501	—	—	881
Commercial real estate loans - owner occupied	287		145	—	—	142
Commercial loans	5,288		3,894	—	—	1,394
Total Commercial Banking	10,957		8,540	—	—	2,417
Total off-balance sheet exposure	$	11,035	8,577	—	—	2,458

The following table provides information related to the allowance for credit losses by portfolio segment and by class of financing receivable for the nine months ended September 30, 2021 (in thousands):

	Balance as of September 30, 2021		Current period provision	Charge-offs	Recoveries	Balance as of December 31, 2020
Allowance for Credit Losses
Personal Banking:
Residential mortgage loans	$	7,987	3,269	(2,888)	340	7,266
Home equity loans	6,293		1,892	(2,081)	490	5,992
Vehicle loans	12,457		(341)	(4,017)	1,990	14,825
Consumer loans	3,074		2,291	(3,135)	1,047	2,871
Total Personal Banking	29,811		7,111	(12,121)	3,867	30,954
Commercial Banking:
Commercial real estate loans	58,451		(12,859)	(9,281)	1,210	79,381
Commercial real estate loans - owner occupied	3,246		(6,391)	(890)	9	10,518
Commercial loans	18,259		2,165	(1,627)	4,147	13,574
Total Commercial Banking	79,956		(17,085)	(11,798)	5,366	103,473
Total	$	109,767	(9,974)	(23,919)	9,233	134,427
Allowance for Credit Losses - off-balance sheet exposure
Personal Banking:
Residential mortgage loans	$	2	—	—	—	2
Home equity loans	40		5	—	—	35
Total Personal Banking	42		5	—	—	37
Commercial Banking:
Commercial real estate loans	2,647		(802)	—	—	3,449
Commercial real estate loans - owner occupied	140		(186)	—	—	326
Commercial loans	1,333		(1,218)	—	—	2,551
Total Commercial Banking	4,120		(2,206)	—	—	6,326
Total off-balance sheet exposure	$	4,162	(2,201)	—	—	6,363

Schedule of loan portfolio by portfolio segment and by class of financing receivable

The following table provides information related to the loan portfolio by portfolio segment and by class of financing receivable at September 30, 2022 (in thousands):

	Total loans receivable		Allowance for credit losses	Nonaccrual loans (1)	Loans 90 days past due and accruing	TDRs	Allowance related to TDRs	Additional commitments to customers with loans classified as TDRs
Personal Banking:
Residential mortgage loans	$	3,401,898	17,967	7,816	—	6,040	1,032	—
Home equity loans	1,284,989		5,448	3,685	—	1,584	657	—
Vehicle loans	2,007,197		17,004	3,235	—	—	—	—
Consumer loans	109,041		825	166	357	—	—	—
Total Personal Banking	6,803,125		41,244	14,902	357	7,624	1,689	—
Commercial Banking:
Commercial real estate loans	2,428,906		49,649	65,298	—	37,993	678	10
Commercial real estate loans - owner occupied	383,924		4,087	619	—	96	18	—
Commercial loans	1,125,570		14,839	2,808	—	1,037	157	400
Total Commercial Banking	3,938,400		68,575	68,725	—	39,126	853	410
Total	$	10,741,525	109,819	83,627	357	46,750	2,542	410

(1)Includes $30.4 million of nonaccrual TDRs.

    The following table provides information related to the loan portfolio by portfolio segment and by class of financing receivable at December 31, 2021 (in thousands): 

	Total loans receivable		Allowance for credit losses	Nonaccrual loans (1)	Loans 90 days past due and accruing	TDRs	Allowance related to TDRs	Additional commitments to customers with loans classified as TDRs
Personal Banking:
Residential mortgage loans	$	2,994,620	7,373	10,402	—	6,749	1,442	—
Home equity loans	1,319,931		5,300	5,758	—	1,781	718	—
Vehicle loans	1,484,231		15,483	3,263	—	—	—	—
Consumer loans	354,517		2,884	675	331	—	—	—
Total Personal Banking	6,153,299		31,040	20,098	331	8,530	2,160	—
Commercial Banking:
Commercial real estate loans	2,625,481		54,141	129,666	—	17,025	2,024	400
Commercial real estate loans - owner occupied	390,003		3,883	1,233	—	159	24	—
Commercial loans	847,609		13,177	7,474	—	4,574	609	60
Total Commercial Banking	3,863,093		71,201	138,373	—	21,758	2,657	460
Total	$	10,016,392	102,241	158,471	331	30,288	4,817	460

(1)Includes $17.2 million of nonaccrual TDRs.

Schedule of the composition of nonaccrual loans by portfolio segment and by class of financing receivable

The following table presents the amortized cost of our loans on nonaccrual status as of the beginning and end of the period ended September 30, 2022 (in thousands):                                                         

			September 30, 2022
	Nonaccrual loans at January 1, 2022		Nonaccrual loans with an allowance	Nonaccrual loans with no allowance	Total nonaccrual loans at the end of the period	Loans 90 days past due and accruing
Personal Banking:
Residential mortgage loans	$	10,402	7,816	—	7,816	—
Home equity loans	5,758		3,489	196	3,685	—
Vehicle loans	3,263		1,891	1,344	3,235	—
Consumer loans	675		166	—	166	357
Total Personal Banking	20,098		13,362	1,540	14,902	357
Commercial Banking:
Commercial real estate loans	129,666		27,690	37,608	65,298	—
Commercial real estate loans - owner occupied	1,233		619	—	619	—
Commercial loans	7,474		2,030	778	2,808	—
Total Commercial Banking	138,373		30,339	38,386	68,725	—
Total	$	158,471	43,701	39,926	83,627	357

The following table presents the amortized cost of our loans on nonaccrual status as of the year ended December 31, 2021 (in thousands): 

			December 31, 2021
	Nonaccrual loans at January 1, 2021		Nonaccrual loans with an allowance	Nonaccrual loans with no allowance	Total nonaccrual loans at the end of the period	Loans 90 days past due and accruing
Personal Banking:
Residential mortgage loans	$	15,924	10,402	—	10,402	—
Home equity loans	9,123		5,551	207	5,758	—
Vehicle loans	5,533		3,251	12	3,263	—
Consumer loans	1,031		674	1	675	331
Total Personal Banking	31,611		19,878	220	20,098	331
Commercial Banking:
Commercial real estate loans	44,092		65,529	64,137	129,666	—
Commercial real estate loans - owner occupied	3,642		1,233	—	1,233	—
Commercial loans	23,487		3,941	3,533	7,474	—
Total Commercial Banking	71,221		70,703	67,670	138,373	—
Total	$	102,832	90,581	67,890	158,471	331

The following table presents the amortized cost basis of collateral-dependent loans by class of loans as of September 30, 2022 (in thousands):

	Real estate		Equipment	Total
Personal Banking:
Residential mortgage loans	$	572	—	572
Home equity loans	99		—	99
Total Personal Banking	671		—	671
Commercial Banking:
Commercial real estate loans	63,834		—	63,834
Commercial loans	432		1,122	1,554
Total Commercial Banking	64,266		1,122	65,388
Total	$	64,937	1,122	66,059

The following table presents the amortized cost basis of collateral-dependent loans by class of loans as of December 31, 2021 (in thousands):

	Real estate		Equipment	Total
Personal Banking:
Residential mortgage loans	$	580	—	580
Home equity loans	99		—	99
Total Personal Banking	679		—	679
Commercial Banking:
Commercial real estate loans	119,825		1,705	121,530
Commercial loans	3,973		1,926	5,899
Total Commercial Banking	123,798		3,631	127,429
Total	$	124,477	3,631	128,108

Schedule of troubled debt restructurings (including re-modified TDRs) by portfolio segment and by class of financing receivable

The following tables provide a roll forward of troubled debt restructurings for the periods indicated (dollars in thousands):

	For the quarter ended September 30,
	2022			2021
	Number of contracts	Amount		Number of contracts	Amount
Beginning TDR balance:	128	$	54,237	158	$	27,431
New TDRs	6	221		3	345
Re-modified TDRs	4	977		3	4,490
Net paydowns	—	(810)		—	(4,702)
Charge-offs:
Home equity loans	—	—		1	(29)
Commercial real estate loans	—	—		2	(53)
Commercial real estate loans - owner occupied	—	—		1	(105)
Commercial loans	—	—		5	(139)
Paid-off loans:
Residential mortgage loans	1	(35)		5	(307)
Home equity loans	1	(11)		4	(122)
Commercial real estate loans	1	(3,349)		4	(287)
Commercial real estate loans - owner occupied	1	(44)		—	—
Commercial loans	3	(3,459)		—	—
Ending TDR balance:	127	$	46,750	139	$	26,522
Accruing TDRs		$	16,344		$	13,664
Nonaccrual TDRs		30,406			12,858

	For the nine months ended September 30,
	2022			2021
	Number of contracts	Amount		Number of contracts	Amount
Beginning TDR balance:	134	$	30,288	170	$	32,135
New TDRs	8	25,626		5	2,608
Re-modified TDRs	10	1,178		8	5,701
Net paydowns	—	(1,609)		—	(8,713)
Charge-offs:
Residential mortgage loans	1	(3)		—	—
Home equity loans	—	—		1	(29)
Commercial real estate loans	—	—		2	(53)
Commercial real estate loans - owner occupied	—	—		1	(105)
Commercial loans	—	—		5	(139)
Paid-off loans:
Residential mortgage loans	2	(236)		9	(1,033)
Home equity loans	3	(88)		5	(133)
Commercial real estate loans	4	(3,718)		9	(2,973)
Commercial real estate loans - owner occupied	1	(44)		1	(47)
Commercial loans	4	(3,466)		3	(697)
Ending TDR balance:	127	$	46,750	139	$	26,522
Accruing TDRs		$	16,344		$	13,664
Nonaccrual TDRs		30,406			12,858

    The following tables provide information related to TDRs (including re-modified TDRs) by portfolio segment and by class of financing receivable during the periods indicated (in thousands):

	For the quarter ended September 30, 2022					For the nine months ended September 30, 2022
	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance
Personal Banking:
Residential mortgage loans	2	$	147	144	15	2	$	147	144	15
Home equity loans	5	160		154	23	5	160		154	23
Total Personal Banking	7	307		298	38	7	307		298	38
Commercial Banking:
Commercial real estate loans	1	610		609	89	5	34,295		26,212	102
Commercial loans	2	332		291	20	6	3,856		294	20
Total Commercial Banking	3	942		900	109	11	38,151		26,506	122
Total	10	$	1,249	1,198	147	18	$	38,458	26,804	160

	For the quarter ended September 30, 2021					For the nine months ended September 30, 2021
	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance
Personal Banking:
Residential mortgage loans	—	$	—	—	—	1	$	125	115	16
Home equity loans	2	153		36	17	3	156		36	17
Total Personal Banking	2	153		36	17	4	281		151	33
Commercial Banking:
Commercial real estate loans	3	4,840		4,490	65	6	6,723		5,586	207
Commercial loans	1	330		309	—	3	2,726		2,572	—
Total Commercial Banking	4	5,170		4,799	65	9	9,449		8,158	207
Total	6	$	5,323	4,835	82	13	$	9,730	8,309	240

The following table provides information as of September 30, 2022 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the quarter ended September 30, 2022 (in thousands):

		Type of modification
	Number of contracts	Maturity date	Total
Personal Banking:
Residential mortgage loans	2	144	144
Home equity loans	5	154	154
Total Personal Banking	7	298	298
Commercial Banking:
Commercial real estate loans	1	609	609
Commercial loans	2	291	291
Total Commercial Banking	3	900	900
Total	10	1,198	1,198

The following table provides information as of September 30, 2021 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the quarter ended September 30, 2021 (in thousands):

		Type of modification
	Number of contracts	Rate		Payment	Maturity date	Total
Personal Banking:
Home equity loans	2	$	—	30	6	36
Total Personal Banking	2	—		30	6	36
Commercial Banking:
Commercial real estate loans	3	378		—	4,112	4,490
Commercial loans	1	—		—	309	309
Total Commercial Banking	4	378		—	4,421	4,799
Total	6	$	378	30	4,427	4,835

The following table provides information as of September 30, 2022 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the nine months ended September 30, 2022 (in thousands):

		Type of modification
	Number of contracts	Rate		Maturity date	Total
Personal Banking:
Residential mortgage loans	2	$	—	144	144
Home equity loans	5	—		154	154
Total Personal Banking	7	—		298	298
Commercial Banking:
Commercial real estate loans	5	4,166		22,046	26,212
Commercial loans	6	—		294	294
Total Commercial Banking	11	4,166		22,340	26,506
Total	18	$	4,166	22,638	26,804

The following table provides information as of September 30, 2021 for TDRs (including re-modified TDRs) by type of modification, by portfolio segment and class of financing receivable for modifications during the nine months ended September 30, 2021 (in thousands):

		Type of modification
	Number of contracts	Rate		Payment	Maturity date	Other	Total
Personal Banking:
Residential mortgage loans	1	$	115	—	—	—	115
Home equity loans	3	—		30	6	—	36
Total Personal Banking	4	115		30	6	—	151
Commercial Banking:
Commercial real estate loans	6	378		—	5,136	72	5,586
Commercial loans	3	—		—	2,572	—	2,572
Total Commercial Banking	9	378		—	7,708	72	8,158
Total	13	$	493	30	7,714	72	8,309

No TDRs modified within the previous twelve months of September 30, 2022 subsequently defaulted.

The following table provides information related to troubled debt restructurings modified within the previous twelve months of September 30, 2021 that subsequently defaulted:

	Number of contracts	Recorded investment at the time of modification		Current recorded investment	Current allowance
Commercial Banking:
Commercial real estate loans	3	$	4,167	3,951	2
Total Commercial Banking	3	4,167		3,951	2
Total	3	$	4,167	3,951	2

Schedule of loan delinquencies

The following table provides information related to the amortized cost basis of loan payment delinquencies at September 30, 2022 (in thousands):

	30-59 days delinquent		60-89 days delinquent	90 days or greater delinquent	Total delinquency	Current	Total loans receivable	90 days or greater delinquent and accruing
Personal Banking:
Residential mortgage loans	$	1,052	4,320	5,544	10,916	3,390,982	3,401,898	—
Home equity loans	3,278		1,227	1,779	6,284	1,278,705	1,284,989	—
Vehicle loans	6,086		2,322	1,935	10,343	1,996,854	2,007,197	—
Consumer loans	460		341	453	1,254	107,787	109,041	357
Total Personal Banking	10,876		8,210	9,711	28,797	6,774,328	6,803,125	357
Commercial Banking:
Commercial real estate loans	929		1,648	8,558	11,135	2,417,771	2,428,906	—
Commercial real estate loans - owner occupied	403		93	263	759	383,165	383,924	—
Commercial loans	2,582		808	638	4,028	1,121,542	1,125,570	—
Total Commercial Banking	3,914		2,549	9,459	15,922	3,922,478	3,938,400	—
Total loans	$	14,790	10,759	19,170	44,719	10,696,806	10,741,525	357

The following table provides information related to the amortized cost basis of loan payment delinquencies at December 31, 2021 (in thousands):

	30-59 days delinquent		60-89 days delinquent	90 days or greater delinquent	Total delinquency	Current	Total loans receivable	90 days or greater delinquent and accruing
Personal Banking:
Residential mortgage loans	$	20,567	5,433	7,641	33,641	2,960,979	2,994,620	—
Home equity loans	3,153		949	4,262	8,364	1,311,567	1,319,931	—
Vehicle loans	5,331		1,487	1,635	8,453	1,475,778	1,484,231	—
Consumer loans	1,205		519	765	2,489	352,028	354,517	331
Total Personal Banking	30,256		8,388	14,303	52,947	6,100,352	6,153,299	331
Commercial Banking:
Commercial real estate loans	16,938		699	23,489	41,126	2,584,355	2,625,481	—
Commercial real estate loans - owner occupied	127		70	574	771	389,232	390,003	—
Commercial loans	193		727	1,105	2,025	845,584	847,609	—
Total Commercial Banking	17,258		1,496	25,168	43,922	3,819,171	3,863,093	—
Total originated loans	$	47,514	9,884	39,471	96,869	9,919,523	10,016,392	331

Schedule of credit quality indicators

The following table presents the amortized cost basis of our loan portfolio by year of origination and credit quality indicator for each portfolio segment as of September 30, 2022 (in thousands):

	YTD September 30, 2022		2021	2020	2019	2018	Prior	Revolving loans	Revolving loans converted to term loans	Total loans receivable
Personal Banking:
Residential mortgage loans
Pass	$	496,721	841,725	557,403	271,096	136,426	1,084,797	—	—	3,388,168
Substandard	—		224	310	351	709	12,136	—	—	13,730
Total residential mortgage loans	496,721		841,949	557,713	271,447	137,135	1,096,933	—	—	3,401,898
Home equity loans
Pass	99,288		132,418	180,140	115,548	52,827	214,833	443,136	41,778	1,279,968
Substandard	—		47	26	62	382	3,075	579	850	5,021
Total home equity loans	99,288		132,465	180,166	115,610	53,209	217,908	443,715	42,628	1,284,989
Vehicle loans
Pass	791,768		670,925	254,957	156,151	82,807	47,352	—	—	2,003,960
Substandard	214		969	503	656	541	354	—	—	3,237
Total vehicle loans	791,982		671,894	255,460	156,807	83,348	47,706	—	—	2,007,197
Consumer loans
Pass	14,944		11,232	5,066	4,313	3,002	5,631	63,134	1,196	108,518
Substandard	—		8	6	4	5	52	405	43	523
Total consumer loans	14,944		11,240	5,072	4,317	3,007	5,683	63,539	1,239	109,041
Total Personal Banking	1,402,935		1,657,548	998,411	548,181	276,699	1,368,230	507,254	43,867	6,803,125
Business Banking:
Commercial real estate loans
Pass	238,090		353,748	395,986	255,223	214,146	740,333	26,992	7,447	2,231,965
Special mention	—		787	1,350	20,784	1,015	7,244	111	15	31,306
Substandard	—		95	7,066	26,833	42,783	87,511	489	858	165,635
Total commercial real estate loans	238,090		354,630	404,402	302,840	257,944	835,088	27,592	8,320	2,428,906
Commercial real estate loans - owner occupied
Pass	53,373		62,701	18,001	51,376	46,512	121,462	2,703	1,555	357,683
Special mention	—		—	—	—	1,673	501	1,204	—	3,378
Substandard	—		—	—	5,379	2,509	13,002	59	1,914	22,863
Total commercial real estate loans - owner occupied	53,373		62,701	18,001	56,755	50,694	134,965	3,966	3,469	383,924
Commercial loans
Pass	451,388		102,258	58,114	50,237	18,805	60,839	349,086	4,103	1,094,830
Special mention	144		209	275	1,282	193	—	1,901	—	4,004
Substandard	540		291	1,088	2,338	1,825	1,356	12,791	6,507	26,736
Total commercial loans	452,072		102,758	59,477	53,857	20,823	62,195	363,778	10,610	1,125,570
Total Business Banking	743,535		520,089	481,880	413,452	329,461	1,032,248	395,336	22,399	3,938,400
Total loans	$	2,146,470	2,177,637	1,480,291	961,633	606,160	2,400,478	902,590	66,266	10,741,525

The following table presents the amortized cost basis of our loan portfolio by year of origination and credit quality indicator for each portfolio segment as of December 31, 2021 (in thousands): 

	2021		2020	2019	2018	2017	Prior	Revolving loans	Revolving loans converted to term loans	Total loans receivable
Personal Banking:
Residential mortgage loans
Pass	$	644,862	602,429	304,275	156,639	171,240	1,098,635	—	—	2,978,080
Substandard	138		489	377	538	882	14,116	—	—	16,540
Total residential mortgage loans	645,000		602,918	304,652	157,177	172,122	1,112,751	—	—	2,994,620
Home equity loans
Pass	150,847		210,224	138,661	65,011	61,692	209,959	435,660	40,766	1,312,820
Substandard	—		—	441	60	455	3,820	1,275	1,060	7,111
Total home equity loans	150,847		210,224	139,102	65,071	62,147	213,779	436,935	41,826	1,319,931
Vehicle loans
Pass	801,084		292,804	205,653	119,304	34,546	27,576	—	—	1,480,967
Substandard	387		365	1,141	745	379	247	—	—	3,264
Total vehicle loans	801,471		293,169	206,794	120,049	34,925	27,823	—	—	1,484,231
Consumer loans
Pass	117,856		81,266	47,195	20,595	9,794	12,202	63,025	1,578	353,511
Substandard	213		161	105	64	26	50	357	30	1,006
Total consumer loans	118,069		81,427	47,300	20,659	9,820	12,252	63,382	1,608	354,517
Total Personal Banking	1,715,387		1,187,738	697,848	362,956	279,014	1,366,605	500,317	43,434	6,153,299
Business Banking:
Commercial real estate loans
Pass	306,689		433,219	335,541	263,524	221,450	683,537	26,288	10,179	2,280,427
Special mention	803		1,808	52,513	3,296	1,394	8,529	729	23	69,095
Substandard	—		34,153	44,712	46,045	56,077	89,311	492	5,169	275,959
Total commercial real estate loans	307,492		469,180	432,766	312,865	278,921	781,377	27,509	15,371	2,625,481
Commercial real estate - owner occupied
Pass	69,084		19,452	51,997	60,824	57,676	94,687	2,822	2,707	359,249
Special mention	—		—	—	769	1,959	1,444	856	—	5,028
Substandard	—		—	3,575	2,887	7,840	10,602	—	822	25,726
Total commercial real estate - owner occupied loans	69,084		19,452	55,572	64,480	67,475	106,733	3,678	3,529	390,003
Commercial loans
Pass	224,367		110,171	73,276	27,668	20,748	76,987	262,805	12,301	808,323
Special mention	197		661	812	1,195	50	581	2,234	—	5,730
Substandard	329		4,767	5,102	4,437	1,529	2,116	6,667	8,609	33,556
Total commercial loans	224,893		115,599	79,190	33,300	22,327	79,684	271,706	20,910	847,609
Total Business Banking	601,469		604,231	567,528	410,645	368,723	967,794	302,893	39,810	3,863,093
Total loans	$	2,316,856	1,791,969	1,265,376	773,601	647,737	2,334,399	803,210	83,244	10,016,392

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Goodwill and Other Intangible Assets (Tables)

9 Months Ended

Sep. 30, 2022

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of intangible assets subject to amortization

The following table provides information for intangible assets subject to amortization at the dates indicated (in thousands):

	September 30, 2022		December 31, 2021
Amortizable intangible assets:
Core deposit intangibles - gross	$	74,899	74,899
Less: accumulated amortization	(65,446)		(62,158)
Core deposit intangibles - net	$	9,453	12,741
Customer and Contract intangible assets - gross	$	12,775	12,775
Customer list intangible assets disposed of due to sale of insurance business	—		(1,547)
Less: accumulated amortization	(12,737)		(11,133)
Customer and Contract intangible assets - net	38		95
Total intangible assets - net	$	9,491	12,836

Schedule of the actual aggregate amortization expense as well as estimated aggregate amortization expense, based upon current levels of intangible assets

The following table shows the actual aggregate amortization expense for the quarters and nine months ended September 30, 2022 and 2021, as well as the estimated aggregate amortization expense, based upon current levels of intangible assets, for the current fiscal year and each of the five succeeding fiscal years (in thousands):

For the quarter ended September 30, 2022	$	1,047
For the quarter ended September 30, 2021	1,321
For the nine months ended September 30, 2022	3,345
For the nine months ended September 30, 2021	4,348
For the year ending December 31, 2022	4,277
For the year ending December 31, 2023	3,270
For the year ending December 31, 2024	2,452
For the year ending December 31, 2025	1,662
For the year ending December 31, 2026	871
For the year ending December 31, 2027	304

Schedule of the changes in carrying amount of goodwill

The following table provides information for the changes in the carrying amount of goodwill (in thousands):

	Total
Balance at December 31, 2020	$	382,279
Purchase accounting adjustment	77
Goodwill disposed of due to sale of insurance business	(1,359)
Balance at December 31, 2021	380,997
Balance at September 30, 2022	$	380,997

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Borrowed Funds (Tables)

9 Months Ended

Sep. 30, 2022

Debt Disclosure [Abstract]

Schedule of borrowed funds

Borrowed funds at September 30, 2022 and December 31, 2021 are presented in the following table:

	September 30, 2022				December 31, 2021
	Amount		Average rate		Amount		Average rate
Note payable to the FHLB of Pittsburgh, due within one year	$	11,900	3.11	%	$	—	—	%
Collateralized borrowings, due within one year	98,315		0.18	%	139,093		0.19	%
Collateral received, due within one year	39,821		3.08	%	—		—
Total borrowed funds	$	150,036			$	139,093

Debt securities held-to-maturity on preferred securities and junior subordinated debt held by the trust

The following table sets forth a summary of the cumulative trust preferred securities and the junior subordinated debt held by the Trust as of the date listed.

	Maturity date	Interest rate	Capital debt securities		September 30, 2022		December 31, 2021
Northwest Bancorp Capital Trust III	December 30, 2035	3-month LIBOR plus 1.38%	$	50,000	$	51,547	51,547
Northwest Bancorp Statutory Trust IV	December 15, 2035	3-month LIBOR plus 1.38%	50,000		51,547		51,547
LNB Trust II	June 15, 2037	3-month LIBOR plus 1.48%	7,875		8,119		8,119
UNCT I (1)	January 23, 2034	3-month LIBOR plus 2.85%	8,000		7,968		7,950
UNCT II (1)	November 23, 2034	3-month LIBOR plus 2.00%	3,000		2,762		2,741
MFBC Statutory Trust I (1)	September 15, 2035	3-month LIBOR plus 1.70%	5,000		3,658		3,580
Universal Preferred Trust (1)	October 7, 2035	3-month LIBOR plus 1.69%	5,000		3,648		3,570
					$	129,249	129,054

(1) Net of discounts due to the fair value adjustment made at the time of acquisition.

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Earnings Per Share (Tables)

9 Months Ended

Sep. 30, 2022

Earnings Per Share [Abstract]

Schedule of computation of basic and diluted earnings per share

The following table sets forth the computation of basic and diluted EPS (in thousands, except share data and per share amounts): 

	Quarter ended September 30,			Nine months ended September 30,
	2022		2021	2022	2021
Net income	$	37,304	35,063	99,017	124,267
Less: Dividends and undistributed earnings allocated to participating securities	166		237	441	841
Net income available to common shareholders	$	37,138	34,826	98,576	123,426
Weighted average common shares outstanding	126,320,706		126,111,774	126,082,217	126,333,290
Add: Participating shares outstanding	565,729		856,206	565,729	856,206
Total weighted average common shares and dilutive potential shares	126,886,435		126,967,980	126,647,946	127,189,496
Basic earnings per share	$	0.29	0.28	0.78	0.98
Diluted earnings per share	$	0.29	0.27	0.78	0.97

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Pension and Other Post-Retirement Benefits (Tables)

9 Months Ended

Sep. 30, 2022

Retirement Benefits [Abstract]

Schedule of net periodic costs for the defined benefit pension plans and the post retirement healthcare plans

The following table sets forth the net periodic costs for the defined benefit pension plans and post-retirement healthcare plans for the periods indicated (in thousands):

	Quarter ended September 30,
	Pension benefits			Other post-retirement benefits
	2022		2021	2022	2021
Service cost	$	2,599	2,860	—	—
Interest cost	1,671		1,517	10	4
Expected return on plan assets	(3,864)		(3,464)	—	—
Amortization of prior service cost	(564)		(580)	—	—
Amortization of the net loss	381		1,038	2	3
Net periodic cost	$	223	1,371	12	7

	Nine months ended September 30,
	Pension benefits			Other post-retirement benefits
	2022		2021	2022	2021
Service cost	$	7,797	8,580	—	—
Interest cost	5,013		4,552	30	13
Expected return on plan assets	(11,592)		(10,394)	—	—
Amortization of prior service cost	(1,692)		(1,741)	—	—
Amortization of the net loss	1,143		3,117	6	10
Net periodic cost	$	669	4,114	36	23

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Disclosures About Fair Value of Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2022

Fair Value Disclosures [Abstract]

Schedule of the carrying amount and estimated fair value of the entity's financial instruments included in the consolidated statement of financial condition

The following table sets forth the carrying amount and estimated fair value of our financial instruments included in the Consolidated Statement of Financial Condition at September 30, 2022 (in thousands): 

	Carrying amount		Estimated fair value	Level 1	Level 2	Level 3
Financial assets:
Cash and cash equivalents	$	118,549	118,549	118,549	—	—
Securities available-for-sale	1,251,791		1,251,791	—	1,251,791	—
Securities held-to-maturity	899,411		771,238	—	771,238	—
Loans receivable, net	10,615,872		9,639,188	—	—	9,639,188
Residential mortgage loans held-for-sale	15,834		15,834	—	—	15,834
Accrued interest receivable	29,536		29,536	29,536	—	—
Interest rate lock commitments	1,063		1,063	—	—	1,063
Foreign exchange swaps	38		38	—	38	—
Interest rate swaps not designated as hedging instruments	50,295		50,295	—	50,295	—
FHLB stock	19,281		19,281	—	—	—
Total financial assets	$	13,001,670	11,896,813	148,085	2,073,362	9,656,085
Financial liabilities:
Savings and checking deposits	$	10,811,282	10,811,282	10,811,282	—	—
Time deposits	1,067,110		1,069,395	—	—	1,069,395
Borrowed funds	150,036		149,914	149,914	—	—
Subordinated debt	113,753		103,312	—	103,312	—
Junior subordinated debentures	129,249		117,475	—	—	117,475
Forward commitments	139		139	—	139	—
Foreign exchange swaps	9		9	—	9	—
Interest rate swaps not designated as hedging instruments	50,295		50,295	—	50,295	—
Risk participation agreements	25		25	—	25	—
Accrued interest payable	831		831	831	—	—
Total financial liabilities	$	12,322,729	12,302,677	10,962,027	153,780	1,186,870

The following table sets forth the carrying amount and estimated fair value of our financial instruments included in the Consolidated Statement of Financial Condition at December 31, 2021 (in thousands): 

	Carrying amount		Estimated fair value	Level 1	Level 2	Level 3
Financial assets:
Cash and cash equivalents	$	1,279,259	1,279,259	1,279,259	—	—
Securities available-for-sale	1,548,592		1,548,592	—	1,548,592	—
Securities held-to-maturity	768,154		751,513	—	751,513	—
Loans receivable, net	9,889,095		9,648,825	—	—	9,648,825
Residential mortgage loans held-for-sale	25,056		25,056	—	—	25,056
Accrued interest receivable	25,599		25,599	25,599	—	—
Interest rate lock commitments	1,684		1,684	—	—	1,684
Forward commitments	371		371	—	371	—
Interest rate swaps not designated as hedging instruments	31,254		31,254	—	31,254	—
FHLB stock	14,184		14,184	—	—	—
Total financial assets	$	13,583,248	13,326,337	1,304,858	2,331,730	9,675,565
Financial liabilities:
Savings and checking accounts	$	10,973,610	10,973,610	10,973,610	—	—
Time deposits	1,327,555		1,339,308	—	—	1,339,308
Borrowed funds	139,093		139,093	139,093	—	—
Subordinated debt	123,575		129,138	—	129,138	—
Junior subordinated debentures	129,054		120,083	—	—	120,083
Foreign exchange swaps	341		341	—	341	—
Interest rate swaps not designated as hedging instruments	31,357		31,357	—	31,357	—
Risk participation agreements	60		60	—	60	—
Accrued interest payable	1,804		1,804	1,804	—	—
Total financial liabilities	$	12,726,449	12,734,794	11,114,507	160,896	1,459,391

Schedule of assets and liabilities measured at fair value on a recurring basis

The following table represents assets and liabilities measured at fair value on a recurring basis at September 30, 2022 (in thousands): 

	Level 1		Level 2	Level 3	Total assets  at fair value
Debt securities:
U.S. government and agencies	$	—	61,925	—	61,925
Government-sponsored enterprises	—		39,091	—	39,091
States and political subdivisions	—		106,176	—	106,176
Corporate	—		13,140	—	13,140
Total debt securities	—		220,332	—	220,332
Residential mortgage-backed securities:
GNMA	—		12,768	—	12,768
FNMA	—		119,202	—	119,202
FHLMC	—		76,124	—	76,124
Non-agency	—		6	—	6
Collateralized mortgage obligations:
GNMA	—		379,420	—	379,420
FNMA	—		194,850	—	194,850
FHLMC	—		249,089	—	249,089
Total mortgage-backed securities	—		1,031,459	—	1,031,459
Interest rate lock commitments	—		—	1,063	1,063
Foreign exchange swaps	—		38	—	38
Interest rate swaps not designated as hedging instruments	—		50,295	—	50,295
Total assets	$	—	1,302,124	1,063	1,303,187
Interest rate swaps not designated as hedging instruments	—		50,295	—	50,295
Foreign exchange swaps	—		9	—	9
Forward commitments	—		139	—	139
Risk participation agreements	—		25	—	25
Total liabilities	$	—	50,468	—	50,468

    The following table represents assets and liabilities measured at fair value on a recurring basis at December 31, 2021 (in thousands):

	Level 1		Level 2	Level 3	Total assets  at fair value
Debt securities:
U.S. government and agencies	$	—	75,891	—	75,891
Government-sponsored enterprises	—		46,085	—	46,085
States and political subdivisions	—		128,701	—	128,701
Total debt securities	—		250,677	—	250,677
Residential mortgage-backed securities:
GNMA	—		16,510	—	16,510
FNMA	—		160,063	—	160,063
FHLMC	—		100,055	—	100,055
Non-agency	—		431	—	431
Collateralized mortgage obligations:
GNMA	—		492,328	—	492,328
FNMA	—		269,060	—	269,060
FHLMC	—		259,468	—	259,468
Total mortgage-backed securities	—		1,297,915	—	1,297,915
Interest rate lock commitments	—		—	1,684	1,684
Forward commitments	—		371	—	371
Interest rate swaps not designated as hedging instruments	—		31,254	—	31,254
Total assets	$	—	1,580,217	1,684	1,581,901
Foreign exchange swaps	$	—	341	—	341
Interest rate swaps not designated as hedging instruments	—		31,357	—	31,357
Risk participation agreements	—		60	—	60
Total liabilities	$	—	31,758	—	31,758

Schedule of changes in Level 3 assets and liabilities measured at fair value on a recurring basis

The following table presents the changes in Level 3 assets and liabilities measured at fair value on a recurring basis (in thousands):

	For the quarter ended September 30,			Nine months ended September 30, 2022
	2022		2021	2022	2021
Beginning balance	$	1,520	3,608	1,684	6,465
Interest rate lock commitments:
Net activity	(457)		(471)	(621)	(3,328)
Ending balance	$	1,063	3,137	1,063	3,137

Schedule of fair value measurement for nonrecurring assets

The following table represents the fair market measurement for only those nonrecurring assets that had a fair market value below the carrying amount as of September 30, 2022 (in thousands):

	Level 1		Level 2	Level 3	Total assets  at fair value
Loans individually assessed	$	—	—	21,173	21,173
Mortgage servicing rights	—		—	82	82
Real estate owned, net	—		—	450	450
Total assets	$	—	—	21,705	21,705

    The following table represents the fair market measurement for only those nonrecurring assets that had a fair market value below the carrying amount as of December 31, 2021 (in thousands): 

	Level 1		Level 2	Level 3	Total assets  at fair value
Loans individually assessed	$	—	—	46,968	46,968
Mortgage servicing rights	—		—	380	380
Real estate owned, net	—		—	873	873
Total assets	$	—	—	48,221	48,221

Schedule of quantitative information about assets measured at fair value on a recurring and nonrecurring basis for Level 3 fair value measurements

The following table presents additional quantitative information about assets measured at fair value on a recurring and nonrecurring basis and for which we have utilized Level 3 inputs to determine fair value at September 30, 2022 (in thousands): 

	Fair value		Valuation techniques	Significant unobservable inputs	Range  (weighted average)
Loans individually assessed	$	21,173	Appraisal value (1)	Estimated cost to sell	10.0%
			Discounted cash flow	Discount rate	6.47% to 14.56% (8.28%)
Mortgage servicing rights	82		Discounted cash flow	Annual service cost	$85
				Prepayment rate	7.0% to 15.1% (9.5%)
				Expected life (months)	56.7 to 101.7 (75.7)
				Option adjusted spread	650 basis points
				Forward yield curve	2.56% to 4.16%
Real estate owned, net	450		Appraisal value (1)	Estimated cost to sell	10.0%
Loans held for sale	15,834		Quoted prices for similar loans in active markets adjusted by an expected pull-through rate	Estimated pull-through rate	100.0%

(1)Fair value is generally determined through independent appraisals of the underlying collateral, which may include Level 3 inputs that are not identifiable, or by using the discounted cash flow method if the loan is not collateral dependent.

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Derivative Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of derivative instruments

The following table presents information regarding our derivative financial instruments for the periods indicated (in thousands):

	Asset derivatives			Liability derivatives
	Notional amount		Fair value	Notional amount	Fair value
At September 30, 2022
Derivatives not designated as hedging instruments:
Interest rate swap agreements	$	659,480	50,295	659,480	50,295
Foreign exchange swap agreements	1,218		38	959	9
Interest rate lock commitments	38,880		1,063	—	—
Forward commitments	—		—	5,578	139
Risk participation agreements	—		—	114,796	25
Total Derivatives	$	699,578	51,396	780,813	50,468
At December 31, 2021
Derivatives not designated as hedging instruments:
Interest rate swap agreements	$	644,997	31,254	644,997	31,357
Foreign exchange swap agreements	—		—	17,124	341
Interest rate lock commitments	67,473		1,684	—	—
Forward commitments	14,484		371	—	—
Risk participation agreements	—		—	93,135	60
Total derivatives	$	726,954	33,309	755,256	31,758

Gain (loss) on derivative instruments

The following table presents income or expense recognized on derivatives for the periods indicated (in thousands):

	For the quarter ended September 30,			For the nine months ended September 30,
	2022		2021	2022	2021
Non-hedging swap derivatives:
Increase in other income	$	93	590	207	1,087
Increase in mortgage banking income	809		345	1,131	3,915

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Changes in Accumulated Other Comprehensive Income (Tables)

9 Months Ended

Sep. 30, 2022

Equity [Abstract]

Schedule of the changes in accumulated other comprehensive income by component

The following tables show the changes in accumulated other comprehensive income by component for the periods indicated (in thousands): 

	For the quarter ended September 30, 2022
	Unrealized  losses  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of June 30, 2022	$	(117,056)	(25,574)	(142,630)
Other comprehensive loss before reclassification adjustments (1)	(48,387)		—	(48,387)
Amounts reclassified from accumulated other comprehensive income (2)	—		(131)	(131)
Net other comprehensive loss	(48,387)		(131)	(48,518)
Balance as of September 30, 2022	$	(165,443)	(25,705)	(191,148)

	For the quarter ended September 30, 2021
	Unrealized  gains/(losses)  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of June 30, 2021	$	3,533	(49,725)	(46,192)
Other comprehensive loss before reclassification adjustments (3)	(6,455)		—	(6,455)
Amounts reclassified from accumulated other comprehensive income (4) (5)	(69)		333	264
Net other comprehensive income	(6,524)		333	(6,191)
Balance as of September 30, 2021	$	(2,991)	(49,392)	(52,383)

(1)Consists of unrealized holding losses, net of tax of $14,705.

(2)Consists of realized gains, net of tax of $50.

(3)Consists of unrealized holding losses, net of tax $2,076.

(4)Consists of realized gains, net of tax $24.

(5)Consists of realized losses, net of tax of ($128).

	For the nine months ended September 30, 2022
	Unrealized  losses  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of December 31, 2021	$	(12,317)	(25,312)	(37,629)
Other comprehensive loss before reclassification adjustments (1)	(153,124)		—	(153,124)
Amounts reclassified from accumulated other comprehensive income (2) (3)	(2)		(393)	(395)
Net other comprehensive loss	(153,126)		(393)	(153,519)
Balance as of September 30, 2022	$	(165,443)	(25,705)	(191,148)

	For the nine months ended September 30, 2021
	Unrealized  gains/(losses)  on securities  available-for-sale		Change in  defined benefit  pension plans	Total
Balance as of December 31, 2020	$	16,843	(50,392)	(33,549)
Other comprehensive loss before reclassification adjustments (4)	(19,554)		—	(19,554)
Amounts reclassified from accumulated other comprehensive income (5) (6)	(280)		1,000	720
Net other comprehensive income/(loss)	(19,834)		1,000	(18,834)
Balance as of September 30, 2021	$	(2,991)	(49,392)	(52,383)

(1)Consists of unrealized holding losses, net of tax of $45,555.

(2)Consists of realized gains, net of tax of $0.

(3)Consists of realized gains, net of tax of $151.

(4)Consists of unrealized holding losses, net of tax $6,812.

(5)Consists of realized gains, net of tax $89.

(6)Consists of realized losses, net of tax of $(386).

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Basis of Presentation and Informational Disclosures (Details) $ / shares in Units, $ in Thousands		3 Months Ended		9 Months Ended
	May 18, 2022 $ / shares shares	Sep. 30, 2022 USD ($) bank_location	Sep. 30, 2021 USD ($)	Sep. 30, 2022 USD ($) bank_location	Sep. 30, 2021 USD ($)	Dec. 31, 2021 USD ($)
Stock Related Compensation
Number of banking locations | bank_location		150		150
Stock-based compensation expense		$ 944	$ 1,000	$ 3,100	$ 3,700
Unrecognized tax benefits liability		241		241		$ 241
Restricted Stock Units (RSUs)
Stock Related Compensation
Compensation expense yet to be recognized		1,200		1,200
Restricted Stock Awards
Stock Related Compensation
Compensation expense yet to be recognized		300		300
Performance Share Units
Stock Related Compensation
Compensation expense yet to be recognized		1,200		1,200
Employee Stock Option
Stock Related Compensation
Compensation expense yet to be recognized		1,000		1,000
Restricted Stock
Stock Related Compensation
Compensation expense yet to be recognized		$ 6,000		$ 6,000
Employees | Restricted Stock Units (RSUs)
Stock Related Compensation
Grants (in shares) | shares	150,027
Weighted average grant date fair value (in dollars per share) | $ / shares	$ 11.00
Award vesting period (in years)	3 years
Employees | Performance Share Units
Stock Related Compensation
Grants (in shares) | shares	150,027
Weighted average grant date fair value (in dollars per share) | $ / shares	$ 10.26
Award vesting period (in years)	3 years
Employees | Performance Share Units | Minimum
Stock Related Compensation
Percent of shares issuable (as a percent)	0.00%
Employees | Performance Share Units | Maximum
Stock Related Compensation
Percent of shares issuable (as a percent)	150.00%
Director | Restricted Stock Awards
Stock Related Compensation
Grants (in shares) | shares	41,206
Weighted average grant date fair value (in dollars per share) | $ / shares	$ 12.55
Award vesting period (in years)	1 year

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Marketable Securities - Available For Sale (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Amortized cost
Residential mortgage-backed securities	$ 1,466,883	$ 1,565,002
Gross unrealized holding gains
Residential mortgage-backed securities, gross unrealized holding gains	93	8,845
Gross unrealized holding losses
Residential mortgage-backed securities, gross unrealized holding losses	(215,185)	(25,255)
Fair value
Securities available-for-sale	1,251,791	1,548,592
U.S. government and agencies
Amortized cost
Due after one year through five years	20,000	20,000
Due after ten years	54,213	57,681
Gross unrealized holding gains
Due after one year through five years	0	0
Due after ten years	0	0
Gross unrealized holding losses
Due after one year through five years	(1,921)	(68)
Due after ten years	(10,367)	(1,722)
Fair value
Due after one year through five years	18,079	19,932
Due after ten years	43,846	55,959
Government-sponsored enterprises
Amortized cost
Due within one year		177
Due after one year through five years	993	991
Due after five years through ten years	45,890	46,411
Gross unrealized holding gains
Due in less than one year		0
Due after one year through five years	0	73
Due after five years through ten years	0	1
Gross unrealized holding losses
Due in less than one year		0
Due after one year through five years	(53)	0
Due after five years through ten years	(7,739)	(1,568)
Fair value
Due in less than one year		177
Due after one year through five years	940	1,064
Due after five years through ten years	38,151	44,844
Municipal securities
Amortized cost
Due within one year	509	946
Due after one year through five years	618	1,261
Due after five years through ten years	33,945	23,692
Due after ten years	92,791	99,558
Gross unrealized holding gains
Due in less than one year	0	13
Due after one year through five years	0	22
Due after five years through ten years	8	661
Due after ten years	0	2,884
Gross unrealized holding losses
Due in less than one year	(2)	0
Due after one year through five years	(15)	(3)
Due after five years through ten years	(3,272)	(146)
Due after ten years	(18,406)	(187)
Fair value
Due in less than one year	507	959
Due after one year through five years	603	1,280
Due after five years through ten years	30,681	24,207
Due after ten years	74,385	102,255
Corporate
Amortized cost
Due after five years through ten years	13,551
Gross unrealized holding gains
Due after five years through ten years	0
Gross unrealized holding losses
Due after five years through ten years	(411)
Fair value
Due after five years through ten years	13,140
Residential mortgage-backed securities - agency
Amortized cost
Due within one year	254
Due after one year through five years	49,435
Due after five years through ten years	155,960
Due after ten years	998,724
Residential mortgage-backed securities	1,204,373	1,314,285
Gross unrealized holding gains
Residential mortgage-backed securities, gross unrealized holding gains	85	5,191
Gross unrealized holding losses
Residential mortgage-backed securities, gross unrealized holding losses	(172,999)	(21,561)
Fair value
Due in less than one year	252
Due after one year through five years	46,268
Due after five years through ten years	137,226
Due after ten years	847,713
Securities available-for-sale	1,031,459	1,297,915
Fixed rate | Pass-through
Amortized cost
Residential mortgage-backed securities	233,394	265,604
Gross unrealized holding gains
Residential mortgage-backed securities, gross unrealized holding gains	14	2,389
Gross unrealized holding losses
Residential mortgage-backed securities, gross unrealized holding losses	(34,557)	(2,525)
Fair value
Securities available-for-sale	198,851	265,468
Fixed rate | Agency CMOs
Amortized cost
Residential mortgage-backed securities	932,668	997,680
Gross unrealized holding gains
Residential mortgage-backed securities, gross unrealized holding gains	1	2,284
Gross unrealized holding losses
Residential mortgage-backed securities, gross unrealized holding losses	(137,752)	(18,965)
Fair value
Securities available-for-sale	794,917	980,999
Variable rate | Pass-through
Amortized cost
Residential mortgage-backed securities	9,341	11,306
Gross unrealized holding gains
Residential mortgage-backed securities, gross unrealized holding gains	25	294
Gross unrealized holding losses
Residential mortgage-backed securities, gross unrealized holding losses	(117)	(9)
Fair value
Securities available-for-sale	9,249	11,591
Variable rate | Agency CMOs
Amortized cost
Residential mortgage-backed securities	28,970	39,695
Gross unrealized holding gains
Residential mortgage-backed securities, gross unrealized holding gains	45	224
Gross unrealized holding losses
Residential mortgage-backed securities, gross unrealized holding losses	(573)	(62)
Fair value
Securities available-for-sale	$ 28,442	$ 39,857

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Marketable Securities - Held To Maturity (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Amortized cost
Total residential mortgage-backed securities	$ 899,411	$ 768,154
Gross unrealized holding gains
Gross unrealized holding gains	1	350
Gross unrealized holding losses
Gross unrealized holding losses	(128,174)	(16,991)
Fair value
Fair value	771,238	751,513
U.S. government and agencies
Amortized cost
Due after five years through ten years	107,976
Gross unrealized holding gains
Due after five years through ten years	0
Gross unrealized holding losses
Due after five years through ten years	(20,352)
Fair value
Due after five years through ten years	87,624
U.S. government and agencies | Pass-through
Amortized cost
Due after one year through five years	16,478	16,478
Due after five years through ten years		107,973
Gross unrealized holding gains
Due after one year through five years	0	0
Due after five years through ten years		0
Gross unrealized holding losses
Due after one year through five years	(1,739)	(206)
Due after five years through ten years		(4,613)
Fair value
Due after one year through five years	14,739	16,272
Due after five years through ten years		103,360
Fixed rate | Pass-through
Amortized cost
Total residential mortgage-backed securities	167,016	183,092
Gross unrealized holding gains
Gross unrealized holding gains	0	58
Gross unrealized holding losses
Gross unrealized holding losses	(26,701)	(2,161)
Fair value
Fair value	140,315	180,989
Fixed rate | Agency CMOs
Amortized cost
Total residential mortgage-backed securities	606,808	459,345
Gross unrealized holding gains
Gross unrealized holding gains	0	251
Gross unrealized holding losses
Gross unrealized holding losses	(79,373)	(10,011)
Fair value
Fair value	527,435	449,585
Variable rate | Pass-through
Amortized cost
Total residential mortgage-backed securities	574	667
Gross unrealized holding gains
Gross unrealized holding gains	0	24
Gross unrealized holding losses
Gross unrealized holding losses	(7)	0
Fair value
Fair value	567	691
Variable rate | Agency CMOs
Amortized cost
Total residential mortgage-backed securities	559	599
Gross unrealized holding gains
Gross unrealized holding gains	1	17
Gross unrealized holding losses
Gross unrealized holding losses	(2)	0
Fair value
Fair value	558	616
Residential mortgage-backed securities - agency
Amortized cost
Due after one year through five years	20,705
Due after five years through ten years	168,546
Total residential mortgage-backed securities	774,957	643,703
Gross unrealized holding gains
Gross unrealized holding gains	1	350
Gross unrealized holding losses
Gross unrealized holding losses	(106,083)	(12,172)
Fair value
Due after one year through five years	17,551
Due after five years through ten years	141,707
Fair value	$ 668,875	$ 631,881

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Marketable Securities - Available-For-Sale, by Contractual Maturity (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Fair value
Total marketable securities available-for-sale	$ 1,251,791	$ 1,548,592
Residential mortgage-backed securities - agency
Amortized cost
Due within one year	254
Due after one year through five years	49,435
Due after five years through ten years	155,960
Due after ten years	998,724
Total marketable securities available-for-sale	1,204,373
Fair value
Due in less than one year	252
Due after one year through five years	46,268
Due after five years through ten years	137,226
Due after ten years	847,713
Total marketable securities available-for-sale	$ 1,031,459	$ 1,297,915

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Marketable Securities - Held To Maturity, by Contractual Maturity (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Amortized cost
Total residential mortgage-backed securities	$ 899,411	$ 768,154
Residential mortgage-backed securities - agency
Amortized cost
Due after one year through five years	20,705
Due after five years through ten years	168,546
Due after ten years	585,706
Total residential mortgage-backed securities	774,957	$ 643,703
Fair value
Due after one year through five years	17,551
Due after five years through ten years	141,707
Due after ten years	509,617
Total marketable securities held-to-maturity	$ 668,875

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Marketable Securities - Fair Value of and Gross Unrealized Losses on Investment Securities (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2022 USD ($) position	Dec. 31, 2021 USD ($)
Marketable securities
Less than 12 months - Fair value	$ 745,524	$ 1,586,482
Less than 12 months - Unrealized loss	(77,856)	(30,356)
12 months or more - Fair value	1,270,541	290,549
12 months or more - Unrealized loss	(265,503)	(11,890)
Total - Fair value	2,016,065	1,877,031
Total - Unrealized loss	$ (343,359)	(42,246)
Number of investment positions with unrealized losses | position	664
U.S. government and agencies
Marketable securities
Less than 12 months - Fair value	$ 19,905	132,782
Less than 12 months - Unrealized loss	(1,989)	(3,504)
12 months or more - Fair value	183,474	106,160
12 months or more - Unrealized loss	(40,182)	(4,673)
Total - Fair value	203,379	238,942
Total - Unrealized loss	(42,171)	(8,177)
Municipal securities
Marketable securities
Less than 12 months - Fair value	87,699	25,118
Less than 12 months - Unrealized loss	(14,160)	(336)
12 months or more - Fair value	17,671	0
12 months or more - Unrealized loss	(7,535)	0
Total - Fair value	105,370	25,118
Total - Unrealized loss	(21,695)	(336)
Corporate
Marketable securities
Less than 12 months - Fair value	13,140
Less than 12 months - Unrealized loss	(411)
12 months or more - Fair value	0
12 months or more - Unrealized loss	0
Total - Fair value	13,140
Total - Unrealized loss	(411)
Residential mortgage-backed securities - agency | Agency CMOs
Marketable securities
Less than 12 months - Fair value	624,780	1,428,582
Less than 12 months - Unrealized loss	(61,296)	(26,516)
12 months or more - Fair value	1,069,396	184,389
12 months or more - Unrealized loss	(217,786)	(7,217)
Total - Fair value	1,694,176	1,612,971
Total - Unrealized loss	$ (279,082)	$ (33,733)

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Marketable Securities - Credit Quality of Held To Maturity Securities (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items]
Held-to-maturity securities	$ 899,411	$ 768,154
Residential mortgage-backed securities
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items]
Held-to-maturity securities	774,957	$ 643,703
U.S. government and agencies
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items]
Held-to-maturity securities	124,454
AA+
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items]
Held-to-maturity securities	899,411
AA+ | Residential mortgage-backed securities
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items]
Held-to-maturity securities	774,957
AA+ | U.S. government and agencies
Debt Securities, Held-to-maturity, Credit Quality Indicator [Line Items]
Held-to-maturity securities	$ 124,454

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Loans Receivable - Summary of Originated and Acquired Loans (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	$ 10,741,525		$ 10,016,392
Allowance for credit losses	(109,819)	$ (98,355)	(102,241)	$ (109,767)	$ (117,330)	$ (134,427)
Loans receivable, net	10,631,706		9,914,151
Loans held-for-sale	15,834		25,056
Unearned income, unamortized premiums and discounts and deferred fees and costs	74,300		62,800
Personal banking
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	6,803,125		6,153,299
Allowance for credit losses	(41,244)	(37,907)	(31,040)	(29,811)	(30,175)	(30,954)
Personal banking | Residential mortgage loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	3,401,898		2,994,620
Allowance for credit losses	(17,967)	(16,158)	(7,373)	(7,987)	(7,247)	(7,266)
Loans held-for-sale			25,100
Personal banking | Home equity loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	1,284,989		1,319,931
Allowance for credit losses	(5,448)	(5,232)	(5,300)	(6,293)	(7,239)	(5,992)
Personal banking | Vehicle loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	2,007,197		1,484,231
Allowance for credit losses	(17,004)	(15,738)	(15,483)	(12,457)	(12,888)	(14,825)
Personal banking | Consumer loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	109,041		354,517
Allowance for credit losses	(825)	(779)	(2,884)	(3,074)	(2,801)	(2,871)
Commercial banking
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	3,938,400		3,863,093
Allowance for credit losses	(68,575)	(60,448)	(71,201)	(79,956)	(87,155)	(103,473)
Commercial banking | Commercial real estate loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	2,428,906		2,625,481
Allowance for credit losses	(49,649)	(39,641)	(54,141)	(58,451)	(64,580)	(79,381)
Commercial banking | Commercial real estate loans - owner occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	383,924		390,003
Allowance for credit losses	(4,087)	(4,095)	(3,883)	(3,246)	(4,729)	(10,518)
Commercial banking | Commercial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	1,125,570		847,609
Allowance for credit losses	(14,839)	$ (16,712)	(13,177)	$ (18,259)	$ (17,846)	$ (13,574)
Originated
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	9,862,835		8,872,025
Allowance for credit losses	(97,738)		(86,750)
Loans receivable, net	9,765,097		8,785,275
Originated | Personal banking
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	6,343,790		5,582,868
Originated | Personal banking | Residential mortgage loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	3,225,348		2,783,459
Originated | Personal banking | Home equity loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	1,110,401		1,107,202
Originated | Personal banking | Vehicle loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	1,907,210		1,384,246
Originated | Personal banking | Consumer loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	100,831		307,961
Originated | Commercial banking
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	3,519,045		3,289,157
Originated | Commercial banking | Commercial real estate loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	2,101,684		2,202,027
Originated | Commercial banking | Commercial real estate loans - owner occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	344,504		321,253
Originated | Commercial banking | Commercial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	1,072,857		765,877
Acquired
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	878,690		1,144,367
Allowance for credit losses	(12,081)		(15,491)
Loans receivable, net	866,609		1,128,876
Acquired | Personal banking
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	459,335		570,431
Acquired | Personal banking | Residential mortgage loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	176,550		211,161
Acquired | Personal banking | Home equity loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	174,588		212,729
Acquired | Personal banking | Vehicle loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	99,987		99,985
Acquired | Personal banking | Consumer loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	8,210		46,556
Acquired | Commercial banking
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	419,355		573,936
Acquired | Commercial banking | Commercial real estate loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	327,222		423,454
Acquired | Commercial banking | Commercial real estate loans - owner occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	39,420		68,750
Acquired | Commercial banking | Commercial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	$ 52,713		$ 81,732

XML

Loans Receivable - Changes in the Allowance for Losses on Loans Receivable (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Changes in allowance for losses on allocated loans receivable
Beginning balance	$ 98,355	$ 117,330	$ 102,241	$ 134,427
Current period provision	7,689	(4,354)	8,837	(9,974)
Charge-offs	(4,614)	(6,878)	(16,698)	(23,919)
Recoveries	8,389	3,669	15,439	9,233
Ending balance	109,819	109,767	109,819	109,767
Off-Balance sheet exposure
Changes in allowance for losses on allocated loans receivable
Beginning balance	7,450	3,389	2,458	6,363
Current period provision	3,585	773	8,577	(2,201)
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Ending balance	11,035	4,162	11,035	4,162
Personal banking
Changes in allowance for losses on allocated loans receivable
Beginning balance	37,907	30,175	31,040	30,954
Current period provision	4,733	3,261	14,096	7,111
Charge-offs	(3,042)	(4,885)	(8,700)	(12,121)
Recoveries	1,646	1,260	4,808	3,867
Ending balance	41,244	29,811	41,244	29,811
Personal banking | One-To-Four Family Jumbo Mortgage Loan Pool
Allowance for loan losses
Loans purchased			188,300
Personal banking | Residential mortgage loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	16,158	7,247	7,373	7,266
Current period provision	1,646	1,939	11,331	3,269
Charge-offs	(166)	(1,263)	(1,487)	(2,888)
Recoveries	329	64	750	340
Ending balance	17,967	7,987	17,967	7,987
Personal banking | Home equity loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	5,232	7,239	5,300	5,992
Current period provision	341	291	127	1,892
Charge-offs	(535)	(1,474)	(1,237)	(2,081)
Recoveries	410	237	1,258	490
Ending balance	5,448	6,293	5,448	6,293
Personal banking | Vehicle loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	15,738	12,888	15,483	14,825
Current period provision	1,576	82	2,159	(341)
Charge-offs	(936)	(1,112)	(2,517)	(4,017)
Recoveries	626	599	1,879	1,990
Ending balance	17,004	12,457	17,004	12,457
Personal banking | Consumer loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	779	2,801	2,884	2,871
Current period provision	1,170	949	479	2,291
Charge-offs	(1,405)	(1,036)	(3,459)	(3,135)
Recoveries	281	360	921	1,047
Ending balance	825	3,074	825	3,074
Personal banking | Off-Balance sheet exposure
Changes in allowance for losses on allocated loans receivable
Beginning balance	70	44	41	37
Current period provision	8	(2)	37	5
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Ending balance	78	42	78	42
Personal banking | Off-Balance sheet exposure | Residential mortgage loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	6	2	2	2
Current period provision	(2)	0	2	0
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Ending balance	4	2	4	2
Personal banking | Off-Balance sheet exposure | Home equity loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	64	42	39	35
Current period provision	10	(2)	35	5
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Ending balance	74	40	74	40
Commercial banking
Changes in allowance for losses on allocated loans receivable
Beginning balance	60,448	87,155	71,201	103,473
Current period provision	2,956	(7,615)	(5,259)	(17,085)
Charge-offs	(1,572)	(1,993)	(7,998)	(11,798)
Recoveries	6,743	2,409	10,631	5,366
Ending balance	68,575	79,956	68,575	79,956
Commercial banking | Small Business Equipment Finance Loan Pool
Allowance for loan losses
Loans purchased			182,800
Commercial banking | Commercial real estate loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	39,641	64,580	54,141	79,381
Current period provision	5,117	(5,103)	(6,465)	(12,859)
Charge-offs	(1,329)	(1,581)	(6,745)	(9,281)
Recoveries	6,220	555	8,718	1,210
Ending balance	49,649	58,451	49,649	58,451
Commercial banking | Commercial real estate loans - owner occupied
Changes in allowance for losses on allocated loans receivable
Beginning balance	4,095	4,729	3,883	10,518
Current period provision	(34)	(1,487)	167	(6,391)
Charge-offs	0	0	0	(890)
Recoveries	26	4	37	9
Ending balance	4,087	3,246	4,087	3,246
Commercial banking | Commercial loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	16,712	17,846	13,177	13,574
Current period provision	(2,127)	(1,025)	1,039	2,165
Charge-offs	(243)	(412)	(1,253)	(1,627)
Recoveries	497	1,850	1,876	4,147
Ending balance	14,839	18,259	14,839	18,259
Commercial banking | Off-Balance sheet exposure
Changes in allowance for losses on allocated loans receivable
Beginning balance	7,380	3,345	2,417	6,326
Current period provision	3,577	775	8,540	(2,206)
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Ending balance	10,957	4,120	10,957	4,120
Commercial banking | Off-Balance sheet exposure | Commercial real estate loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	3,463	1,932	881	3,449
Current period provision	1,919	715	4,501	(802)
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Ending balance	5,382	2,647	5,382	2,647
Commercial banking | Off-Balance sheet exposure | Commercial real estate loans - owner occupied
Changes in allowance for losses on allocated loans receivable
Beginning balance	328	181	142	326
Current period provision	(41)	(41)	145	(186)
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Ending balance	287	140	287	140
Commercial banking | Off-Balance sheet exposure | Commercial loans
Changes in allowance for losses on allocated loans receivable
Beginning balance	3,589	1,232	1,394	2,551
Current period provision	1,699	101	3,894	(1,218)
Charge-offs	0	0	0	0
Recoveries	0	0	0	0
Ending balance	$ 5,288	$ 1,333	$ 5,288	$ 1,333

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Loans Receivable - Loan Portfolio by Portfolio Segment and by Class of Financing Receivable (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	$ 10,741,525		$ 10,016,392
Allowance for credit losses	109,819	$ 98,355	102,241	$ 109,767	$ 117,330	$ 134,427
Nonaccrual loans	83,627		158,471			102,832
Loans 90 days past due and accruing	357		331
TDRs	46,750		30,288
Allowance related to TDRs	2,542		4,817
Additional commitments to customers with loans classified as TDRs	410		460
Non-accrual TDRs	30,406		17,200	12,858
Off-Balance sheet exposure
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	11,035	7,450	2,458	4,162	3,389	6,363
Personal banking
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	6,803,125		6,153,299
Allowance for credit losses	41,244	37,907	31,040	29,811	30,175	30,954
Nonaccrual loans	14,902		20,098			31,611
Loans 90 days past due and accruing	357		331
TDRs	7,624		8,530
Allowance related to TDRs	1,689		2,160
Additional commitments to customers with loans classified as TDRs	0		0
Personal banking | Off-Balance sheet exposure
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	78	70	41	42	44	37
Personal banking | Residential mortgage loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	3,401,898		2,994,620
Allowance for credit losses	17,967	16,158	7,373	7,987	7,247	7,266
Nonaccrual loans	7,816		10,402			15,924
Loans 90 days past due and accruing	0		0
TDRs	6,040		6,749
Allowance related to TDRs	1,032		1,442
Additional commitments to customers with loans classified as TDRs	0		0
Personal banking | Residential mortgage loans | Off-Balance sheet exposure
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	4	6	2	2	2	2
Personal banking | Home equity loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	1,284,989		1,319,931
Allowance for credit losses	5,448	5,232	5,300	6,293	7,239	5,992
Nonaccrual loans	3,685		5,758			9,123
Loans 90 days past due and accruing	0		0
TDRs	1,584		1,781
Allowance related to TDRs	657		718
Additional commitments to customers with loans classified as TDRs	0		0
Personal banking | Home equity loans | Off-Balance sheet exposure
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	74	64	39	40	42	35
Personal banking | Vehicle loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	2,007,197		1,484,231
Allowance for credit losses	17,004	15,738	15,483	12,457	12,888	14,825
Nonaccrual loans	3,235		3,263			5,533
Loans 90 days past due and accruing	0		0
TDRs	0		0
Allowance related to TDRs	0		0
Additional commitments to customers with loans classified as TDRs	0		0
Personal banking | Consumer loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	109,041		354,517
Allowance for credit losses	825	779	2,884	3,074	2,801	2,871
Nonaccrual loans	166		675			1,031
Loans 90 days past due and accruing	357
TDRs	0
Allowance related to TDRs	0
Additional commitments to customers with loans classified as TDRs	0
Personal banking | Consumer loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross			354,517
Allowance for credit losses			2,884
Nonaccrual loans			675
Loans 90 days past due and accruing			331
TDRs			0
Allowance related to TDRs			0
Additional commitments to customers with loans classified as TDRs			0
Commercial banking
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	3,938,400		3,863,093
Allowance for credit losses	68,575	60,448	71,201	79,956	87,155	103,473
Nonaccrual loans	68,725		138,373			71,221
Loans 90 days past due and accruing	0		0
TDRs	39,126		21,758
Allowance related to TDRs	853		2,657
Additional commitments to customers with loans classified as TDRs	410		460
Commercial banking | Off-Balance sheet exposure
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	10,957	7,380	2,417	4,120	3,345	6,326
Commercial banking | Commercial real estate loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	2,428,906		2,625,481
Allowance for credit losses	49,649	39,641	54,141	58,451	64,580	79,381
Nonaccrual loans	65,298		129,666			44,092
Loans 90 days past due and accruing	0		0
TDRs	37,993		17,025
Allowance related to TDRs	678		2,024
Additional commitments to customers with loans classified as TDRs	10		400
Commercial banking | Commercial real estate loans | Off-Balance sheet exposure
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	5,382	3,463	881	2,647	1,932	3,449
Commercial banking | Commercial real estate loans - owner occupied
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	383,924		390,003
Allowance for credit losses	4,087	4,095	3,883	3,246	4,729	10,518
Nonaccrual loans	619		1,233			3,642
Loans 90 days past due and accruing	0		0
TDRs	96		159
Allowance related to TDRs	18		24
Additional commitments to customers with loans classified as TDRs	0		0
Commercial banking | Commercial real estate loans - owner occupied | Off-Balance sheet exposure
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	287	328	142	140	181	326
Commercial banking | Commercial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total loans receivable, gross	1,125,570		847,609
Allowance for credit losses	14,839	16,712	13,177	18,259	17,846	13,574
Nonaccrual loans	2,808		7,474			23,487
Loans 90 days past due and accruing	0		0
TDRs	1,037		4,574
Allowance related to TDRs	157		609
Additional commitments to customers with loans classified as TDRs	400		60
Commercial banking | Commercial loans | Off-Balance sheet exposure
Accounts, Notes, Loans and Financing Receivable [Line Items]
Allowance for credit losses	$ 5,288	$ 3,589	$ 1,394	$ 1,333	$ 1,232	$ 2,551

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Loans Receivable - Composition of Impaired Loans by Portfolio Segment and Class of Financing Receivable (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Sep. 30, 2022	Dec. 31, 2021
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		$ 158,471	$ 102,832
Nonaccrual loans	$ 43,701	43,701	90,581
Nonaccrual loans with no allowance	39,926	39,926	67,890
Nonaccrual loans at ending balance	83,627	83,627	158,471
Loans 90 days past due and accruing	357	357	331
Interest income on nonaccrual and troubled debt restructuring loans	197	487	803
Amortized cost basis of collateral-dependent loans	66,059	66,059	128,108
Real estate
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	64,937	64,937	124,477
Equipment
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	1,122	1,122	3,631
Personal banking
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		20,098	31,611
Nonaccrual loans	13,362	13,362	19,878
Nonaccrual loans with no allowance	1,540	1,540	220
Nonaccrual loans at ending balance	14,902	14,902	20,098
Loans 90 days past due and accruing	357	357	331
Amortized cost basis of collateral-dependent loans	671	671	679
Personal banking | Real estate
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	671	671	679
Personal banking | Equipment
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	0	0	0
Personal banking | Residential mortgage loans
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		10,402	15,924
Nonaccrual loans	7,816	7,816	10,402
Nonaccrual loans with no allowance	0	0	0
Nonaccrual loans at ending balance	7,816	7,816	10,402
Loans 90 days past due and accruing	0	0	0
Amortized cost basis of collateral-dependent loans	572	572	580
Personal banking | Residential mortgage loans | Real estate
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	572	572	580
Personal banking | Residential mortgage loans | Equipment
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	0	0	0
Personal banking | Home equity loans
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		5,758	9,123
Nonaccrual loans	3,489	3,489	5,551
Nonaccrual loans with no allowance	196	196	207
Nonaccrual loans at ending balance	3,685	3,685	5,758
Loans 90 days past due and accruing	0	0	0
Amortized cost basis of collateral-dependent loans	99	99	99
Personal banking | Home equity loans | Real estate
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	99	99	99
Personal banking | Home equity loans | Equipment
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	0	0	0
Personal banking | Vehicle loans
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		3,263	5,533
Nonaccrual loans	1,891	1,891	3,251
Nonaccrual loans with no allowance	1,344	1,344	12
Nonaccrual loans at ending balance	3,235	3,235	3,263
Loans 90 days past due and accruing	0	0	0
Personal banking | Consumer loans
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		675	1,031
Nonaccrual loans	166	166	674
Nonaccrual loans with no allowance	0	0	1
Nonaccrual loans at ending balance	166	166	675
Loans 90 days past due and accruing	357	357	331
Commercial banking
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		138,373	71,221
Nonaccrual loans	30,339	30,339	70,703
Nonaccrual loans with no allowance	38,386	38,386	67,670
Nonaccrual loans at ending balance	68,725	68,725	138,373
Loans 90 days past due and accruing	0	0	0
Amortized cost basis of collateral-dependent loans	65,388	65,388	127,429
Commercial banking | Real estate
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	64,266	64,266	123,798
Commercial banking | Equipment
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	1,122	1,122	3,631
Commercial banking | Commercial real estate loans
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		129,666	44,092
Nonaccrual loans	27,690	27,690	65,529
Nonaccrual loans with no allowance	37,608	37,608	64,137
Nonaccrual loans at ending balance	65,298	65,298	129,666
Loans 90 days past due and accruing	0	0	0
Amortized cost basis of collateral-dependent loans	63,834	63,834	121,530
Commercial banking | Commercial real estate loans | Real estate
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	63,834	63,834	119,825
Commercial banking | Commercial real estate loans | Equipment
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	0	0	1,705
Commercial banking | Commercial real estate loans - owner occupied
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		1,233	3,642
Nonaccrual loans	619	619	1,233
Nonaccrual loans with no allowance	0	0	0
Nonaccrual loans at ending balance	619	619	1,233
Loans 90 days past due and accruing	0	0	0
Commercial banking | Commercial loans
Composition of impaired loans by portfolio segment and by class of financing receivable
Nonaccrual loans at beginning balance		7,474	23,487
Nonaccrual loans	2,030	2,030	3,941
Nonaccrual loans with no allowance	778	778	3,533
Nonaccrual loans at ending balance	2,808	2,808	7,474
Loans 90 days past due and accruing	0	0	0
Amortized cost basis of collateral-dependent loans	1,554	1,554	5,899
Commercial banking | Commercial loans | Real estate
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	432	432	3,973
Commercial banking | Commercial loans | Equipment
Composition of impaired loans by portfolio segment and by class of financing receivable
Amortized cost basis of collateral-dependent loans	$ 1,122	$ 1,122	$ 1,926

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Loans Receivable - Roll Forward of Troubled Debt Restructurings (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022 USD ($) contract	Sep. 30, 2021 USD ($) contract	Sep. 30, 2022 USD ($) contract	Sep. 30, 2021 USD ($) contract	Dec. 31, 2021 USD ($)
Number of contracts
Beginning balance | contract	128	158	134	170
New TDRs | contract	6	3	8	5
Re-modified TDRs | contract	4	3	10	8
Net paydowns | contract	0	0	0	0
Ending balance | contract	127	139	127	139
Amount
Beginning TDR balance	$ 54,237	$ 27,431	$ 30,288	$ 32,135
New TDRs	221	345	25,626	2,608
Re-modified TDRs	977	4,490	1,178	5,701
Net paydowns	(810)	(4,702)	(1,609)	(8,713)
Ending TDR balance	46,750	26,522	46,750	26,522
Accruing TDRs	16,344	13,664	16,344	13,664
Non-accrual TDRs	$ 30,406	$ 12,858	$ 30,406	$ 12,858	$ 17,200
Residential mortgage loans
Number of contracts
Charge-offs: | contract			1	0
Paid-off loans: | contract	1	5	2	9
Amount
Charge-offs:			$ (3)	$ 0
Paid-off loans:	$ (35)	$ (307)	$ (236)	$ (1,033)
Home equity loans
Number of contracts
Charge-offs: | contract	0	1	0	1
Paid-off loans: | contract	1	4	3	5
Amount
Charge-offs:	$ 0	$ (29)	$ 0	$ (29)
Paid-off loans:	$ (11)	$ (122)	$ (88)	$ (133)
Commercial real estate loans
Number of contracts
Charge-offs: | contract	0	2	0	2
Paid-off loans: | contract	1	4	4	9
Amount
Charge-offs:	$ 0	$ (53)	$ 0	$ (53)
Paid-off loans:	$ (3,349)	$ (287)	$ (3,718)	$ (2,973)
Commercial real estate loans - owner occupied
Number of contracts
Charge-offs: | contract	0	1	0	1
Paid-off loans: | contract	1	0	1	1
Amount
Charge-offs:	$ 0	$ (105)	$ 0	$ (105)
Paid-off loans:	$ (44)	$ 0	$ (44)	$ (47)
Commercial loans
Number of contracts
Charge-offs: | contract	0	5	0	5
Paid-off loans: | contract	3	0	4	3
Amount
Charge-offs:	$ 0	$ (139)	$ 0	$ (139)
Paid-off loans:	$ (3,459)	$ 0	$ (3,466)	$ (697)

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Loans Receivable - Troubled Debt Restructuring (Including Re-Modified TDRs) by Portfolio Segment and by Class of Financing Receivable (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022 USD ($) contract	Sep. 30, 2021 USD ($) contract	Sep. 30, 2022 USD ($) contract	Sep. 30, 2021 USD ($) contract
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	10	6	18	13
Recorded investment at the time of modification	$ 1,249	$ 5,323	$ 38,458	$ 9,730
Current recorded investment	1,198	4,835	26,804	8,309
Current allowance	$ 147	$ 82	$ 160	$ 240
Personal banking
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	7	2	7	4
Recorded investment at the time of modification	$ 307	$ 153	$ 307	$ 281
Current recorded investment	298	36	298	151
Current allowance	$ 38	$ 17	$ 38	$ 33
Personal banking | Residential mortgage loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	2	0	2	1
Recorded investment at the time of modification	$ 147	$ 0	$ 147	$ 125
Current recorded investment	144	0	144	115
Current allowance	$ 15	$ 0	$ 15	$ 16
Personal banking | Home equity loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	5	2	5	3
Recorded investment at the time of modification	$ 160	$ 153	$ 160	$ 156
Current recorded investment	154	36	154	36
Current allowance	$ 23	$ 17	$ 23	$ 17
Commercial banking
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	3	4	11	9
Recorded investment at the time of modification	$ 942	$ 5,170	$ 38,151	$ 9,449
Current recorded investment	900	4,799	26,506	8,158
Current allowance	$ 109	$ 65	$ 122	$ 207
Commercial banking | Commercial real estate loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	1	3	5	6
Recorded investment at the time of modification	$ 610	$ 4,840	$ 34,295	$ 6,723
Current recorded investment	609	4,490	26,212	5,586
Current allowance	$ 89	$ 65	$ 102	$ 207
Commercial banking | Commercial loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of contracts | contract	2	1	6	3
Recorded investment at the time of modification	$ 332	$ 330	$ 3,856	$ 2,726
Current recorded investment	291	309	294	2,572
Current allowance	$ 20	$ 0	$ 20	$ 0

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Loans Receivable - Troubled Debt Restructurings by Type of Modification (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022 USD ($) contract	Sep. 30, 2021 USD ($) contract	Sep. 30, 2022 USD ($) contract	Sep. 30, 2021 USD ($) contract
Troubled debt restructurings
Number of contracts | contract	10	6	18	13
Type of modification	$ 1,198	$ 4,835	$ 26,804	$ 8,309
Number of contracts | contract			0	3
Recorded investment at the time of modification				$ 4,167
Current recorded investment				3,951
Current allowance				2
Rate
Troubled debt restructurings
Type of modification		378	$ 4,166	493
Payment
Troubled debt restructurings
Type of modification		30		30
Maturity date
Troubled debt restructurings
Type of modification	$ 1,198	$ 4,427	$ 22,638	7,714
Other
Troubled debt restructurings
Type of modification				$ 72
Personal banking
Troubled debt restructurings
Number of contracts | contract	7	2	7	4
Type of modification	$ 298	$ 36	$ 298	$ 151
Personal banking | Rate
Troubled debt restructurings
Type of modification		0	0	115
Personal banking | Payment
Troubled debt restructurings
Type of modification		30		30
Personal banking | Maturity date
Troubled debt restructurings
Type of modification	$ 298	$ 6	$ 298	6
Personal banking | Other
Troubled debt restructurings
Type of modification				$ 0
Personal banking | Residential mortgage loans
Troubled debt restructurings
Number of contracts | contract	2	0	2	1
Type of modification	$ 144	$ 0	$ 144	$ 115
Personal banking | Residential mortgage loans | Rate
Troubled debt restructurings
Type of modification			0	115
Personal banking | Residential mortgage loans | Payment
Troubled debt restructurings
Type of modification				0
Personal banking | Residential mortgage loans | Maturity date
Troubled debt restructurings
Type of modification	$ 144		$ 144	0
Personal banking | Residential mortgage loans | Other
Troubled debt restructurings
Type of modification				$ 0
Personal banking | Home equity loans
Troubled debt restructurings
Number of contracts | contract	5	2	5	3
Type of modification	$ 154	$ 36	$ 154	$ 36
Personal banking | Home equity loans | Rate
Troubled debt restructurings
Type of modification		0	0	0
Personal banking | Home equity loans | Payment
Troubled debt restructurings
Type of modification		30		30
Personal banking | Home equity loans | Maturity date
Troubled debt restructurings
Type of modification	$ 154	$ 6	$ 154	6
Personal banking | Home equity loans | Other
Troubled debt restructurings
Type of modification				$ 0
Commercial banking
Troubled debt restructurings
Number of contracts | contract	3	4	11	9
Type of modification	$ 900	$ 4,799	$ 26,506	$ 8,158
Number of contracts | contract				3
Recorded investment at the time of modification				$ 4,167
Current recorded investment				3,951
Current allowance				2
Commercial banking | Rate
Troubled debt restructurings
Type of modification		378	4,166	378
Commercial banking | Payment
Troubled debt restructurings
Type of modification		0		0
Commercial banking | Maturity date
Troubled debt restructurings
Type of modification	$ 900	$ 4,421	$ 22,340	7,708
Commercial banking | Other
Troubled debt restructurings
Type of modification				$ 72
Commercial banking | Commercial real estate loans
Troubled debt restructurings
Number of contracts | contract	1	3	5	6
Type of modification	$ 609	$ 4,490	$ 26,212	$ 5,586
Number of contracts | contract				3
Recorded investment at the time of modification				$ 4,167
Current recorded investment				3,951
Current allowance				2
Commercial banking | Commercial real estate loans | Rate
Troubled debt restructurings
Type of modification		378	4,166	378
Commercial banking | Commercial real estate loans | Payment
Troubled debt restructurings
Type of modification		0		0
Commercial banking | Commercial real estate loans | Maturity date
Troubled debt restructurings
Type of modification	$ 609	$ 4,112	$ 22,046	5,136
Commercial banking | Commercial real estate loans | Other
Troubled debt restructurings
Type of modification				$ 72
Commercial banking | Commercial loans
Troubled debt restructurings
Number of contracts | contract	2	1	6	3
Type of modification	$ 291	$ 309	$ 294	$ 2,572
Commercial banking | Commercial loans | Rate
Troubled debt restructurings
Type of modification		0	0	0
Commercial banking | Commercial loans | Payment
Troubled debt restructurings
Type of modification		0		0
Commercial banking | Commercial loans | Maturity date
Troubled debt restructurings
Type of modification	$ 291	$ 309	$ 294	2,572
Commercial banking | Commercial loans | Other
Troubled debt restructurings
Type of modification				$ 0

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Loans Receivable - Loan Delinquencies (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Loan payment delinquencies
Total loans receivable	$ 10,741,525	$ 10,016,392
90 days or greater delinquent and accruing	357	331
Total delinquency
Loan payment delinquencies
Total loans receivable	44,719	96,869
30-59 days delinquent
Loan payment delinquencies
Total loans receivable	14,790	47,514
60-89 days delinquent
Loan payment delinquencies
Total loans receivable	10,759	9,884
90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	19,170	39,471
Current
Loan payment delinquencies
Total loans receivable	10,696,806	9,919,523
Personal banking
Loan payment delinquencies
Total loans receivable	6,803,125	6,153,299
90 days or greater delinquent and accruing	357	331
Personal banking | Total delinquency
Loan payment delinquencies
Total loans receivable	28,797	52,947
Personal banking | 30-59 days delinquent
Loan payment delinquencies
Total loans receivable	10,876	30,256
Personal banking | 60-89 days delinquent
Loan payment delinquencies
Total loans receivable	8,210	8,388
Personal banking | 90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	9,711	14,303
Personal banking | Current
Loan payment delinquencies
Total loans receivable	6,774,328	6,100,352
Personal banking | Residential mortgage loans
Loan payment delinquencies
Total loans receivable	3,401,898	2,994,620
90 days or greater delinquent and accruing	0	0
Personal banking | Residential mortgage loans | Total delinquency
Loan payment delinquencies
Total loans receivable	10,916	33,641
Personal banking | Residential mortgage loans | 30-59 days delinquent
Loan payment delinquencies
Total loans receivable	1,052	20,567
Personal banking | Residential mortgage loans | 60-89 days delinquent
Loan payment delinquencies
Total loans receivable	4,320	5,433
Personal banking | Residential mortgage loans | 90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	5,544	7,641
Personal banking | Residential mortgage loans | Current
Loan payment delinquencies
Total loans receivable	3,390,982	2,960,979
Personal banking | Home equity loans
Loan payment delinquencies
Total loans receivable	1,284,989	1,319,931
90 days or greater delinquent and accruing	0	0
Personal banking | Home equity loans | Total delinquency
Loan payment delinquencies
Total loans receivable	6,284	8,364
Personal banking | Home equity loans | 30-59 days delinquent
Loan payment delinquencies
Total loans receivable	3,278	3,153
Personal banking | Home equity loans | 60-89 days delinquent
Loan payment delinquencies
Total loans receivable	1,227	949
Personal banking | Home equity loans | 90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	1,779	4,262
Personal banking | Home equity loans | Current
Loan payment delinquencies
Total loans receivable	1,278,705	1,311,567
Personal banking | Vehicle loans
Loan payment delinquencies
Total loans receivable	2,007,197	1,484,231
90 days or greater delinquent and accruing	0	0
Personal banking | Vehicle loans | Total delinquency
Loan payment delinquencies
Total loans receivable	10,343	8,453
Personal banking | Vehicle loans | 30-59 days delinquent
Loan payment delinquencies
Total loans receivable	6,086	5,331
Personal banking | Vehicle loans | 60-89 days delinquent
Loan payment delinquencies
Total loans receivable	2,322	1,487
Personal banking | Vehicle loans | 90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	1,935	1,635
Personal banking | Vehicle loans | Current
Loan payment delinquencies
Total loans receivable	1,996,854	1,475,778
Personal banking | Consumer loans
Loan payment delinquencies
Total loans receivable	109,041	354,517
90 days or greater delinquent and accruing	357	331
Personal banking | Consumer loans | Total delinquency
Loan payment delinquencies
Total loans receivable	1,254	2,489
Personal banking | Consumer loans | 30-59 days delinquent
Loan payment delinquencies
Total loans receivable	460	1,205
Personal banking | Consumer loans | 60-89 days delinquent
Loan payment delinquencies
Total loans receivable	341	519
Personal banking | Consumer loans | 90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	453	765
Personal banking | Consumer loans | Current
Loan payment delinquencies
Total loans receivable	107,787	352,028
Commercial banking
Loan payment delinquencies
Total loans receivable	3,938,400	3,863,093
90 days or greater delinquent and accruing	0	0
Commercial banking | Total delinquency
Loan payment delinquencies
Total loans receivable	15,922	43,922
Commercial banking | 30-59 days delinquent
Loan payment delinquencies
Total loans receivable	3,914	17,258
Commercial banking | 60-89 days delinquent
Loan payment delinquencies
Total loans receivable	2,549	1,496
Commercial banking | 90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	9,459	25,168
Commercial banking | Current
Loan payment delinquencies
Total loans receivable	3,922,478	3,819,171
Commercial banking | Commercial real estate loans
Loan payment delinquencies
Total loans receivable	2,428,906	2,625,481
90 days or greater delinquent and accruing	0	0
Commercial banking | Commercial real estate loans | Total delinquency
Loan payment delinquencies
Total loans receivable	11,135	41,126
Commercial banking | Commercial real estate loans | 30-59 days delinquent
Loan payment delinquencies
Total loans receivable	929	16,938
Commercial banking | Commercial real estate loans | 60-89 days delinquent
Loan payment delinquencies
Total loans receivable	1,648	699
Commercial banking | Commercial real estate loans | 90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	8,558	23,489
Commercial banking | Commercial real estate loans | Current
Loan payment delinquencies
Total loans receivable	2,417,771	2,584,355
Commercial banking | Commercial real estate loans - owner occupied
Loan payment delinquencies
Total loans receivable	383,924	390,003
90 days or greater delinquent and accruing	0	0
Commercial banking | Commercial real estate loans - owner occupied | Total delinquency
Loan payment delinquencies
Total loans receivable	759	771
Commercial banking | Commercial real estate loans - owner occupied | 30-59 days delinquent
Loan payment delinquencies
Total loans receivable	403	127
Commercial banking | Commercial real estate loans - owner occupied | 60-89 days delinquent
Loan payment delinquencies
Total loans receivable	93	70
Commercial banking | Commercial real estate loans - owner occupied | 90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	263	574
Commercial banking | Commercial real estate loans - owner occupied | Current
Loan payment delinquencies
Total loans receivable	383,165	389,232
Commercial banking | Commercial loans
Loan payment delinquencies
Total loans receivable	1,125,570	847,609
90 days or greater delinquent and accruing	0	0
Commercial banking | Commercial loans | Total delinquency
Loan payment delinquencies
Total loans receivable	4,028	2,025
Commercial banking | Commercial loans | 30-59 days delinquent
Loan payment delinquencies
Total loans receivable	2,582	193
Commercial banking | Commercial loans | 60-89 days delinquent
Loan payment delinquencies
Total loans receivable	808	727
Commercial banking | Commercial loans | 90 days or greater delinquent
Loan payment delinquencies
Total loans receivable	638	1,105
Commercial banking | Commercial loans | Current
Loan payment delinquencies
Total loans receivable	$ 1,121,542	$ 845,584

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Loans Receivable - Credit Quality Indicators (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Credit quality indicators
Year one	$ 2,146,470	$ 2,316,856
Year two	2,177,637	1,791,969
Year three	1,480,291	1,265,376
Year four	961,633	773,601
Year five	606,160	647,737
Prior	2,400,478	2,334,399
Revolving loans	902,590	803,210
Revolving loans converted to term loans	66,266	83,244
Total loans receivable, gross	10,741,525	10,016,392
Revolving loans converted to term loans during the period	13,400	27,300
Personal banking
Credit quality indicators
Year one	1,402,935	1,715,387
Year two	1,657,548	1,187,738
Year three	998,411	697,848
Year four	548,181	362,956
Year five	276,699	279,014
Prior	1,368,230	1,366,605
Revolving loans	507,254	500,317
Revolving loans converted to term loans	43,867	43,434
Total loans receivable, gross	6,803,125	6,153,299
Personal banking | Residential mortgage loans
Credit quality indicators
Year one	496,721	645,000
Year two	841,949	602,918
Year three	557,713	304,652
Year four	271,447	157,177
Year five	137,135	172,122
Prior	1,096,933	1,112,751
Revolving loans	0	0
Revolving loans converted to term loans	0	0
Total loans receivable, gross	3,401,898	2,994,620
Personal banking | Residential mortgage loans | Pass
Credit quality indicators
Year one	496,721	644,862
Year two	841,725	602,429
Year three	557,403	304,275
Year four	271,096	156,639
Year five	136,426	171,240
Prior	1,084,797	1,098,635
Revolving loans	0	0
Revolving loans converted to term loans	0	0
Total loans receivable, gross	3,388,168	2,978,080
Personal banking | Residential mortgage loans | Substandard
Credit quality indicators
Year one	0	138
Year two	224	489
Year three	310	377
Year four	351	538
Year five	709	882
Prior	12,136	14,116
Revolving loans	0	0
Revolving loans converted to term loans	0	0
Total loans receivable, gross	13,730	16,540
Personal banking | Home equity loans
Credit quality indicators
Year one	99,288	150,847
Year two	132,465	210,224
Year three	180,166	139,102
Year four	115,610	65,071
Year five	53,209	62,147
Prior	217,908	213,779
Revolving loans	443,715	436,935
Revolving loans converted to term loans	42,628	41,826
Total loans receivable, gross	1,284,989	1,319,931
Personal banking | Home equity loans | Pass
Credit quality indicators
Year one	99,288	150,847
Year two	132,418	210,224
Year three	180,140	138,661
Year four	115,548	65,011
Year five	52,827	61,692
Prior	214,833	209,959
Revolving loans	443,136	435,660
Revolving loans converted to term loans	41,778	40,766
Total loans receivable, gross	1,279,968	1,312,820
Personal banking | Home equity loans | Substandard
Credit quality indicators
Year one	0	0
Year two	47	0
Year three	26	441
Year four	62	60
Year five	382	455
Prior	3,075	3,820
Revolving loans	579	1,275
Revolving loans converted to term loans	850	1,060
Total loans receivable, gross	5,021	7,111
Personal banking | Vehicle loans
Credit quality indicators
Year one	791,982	801,471
Year two	671,894	293,169
Year three	255,460	206,794
Year four	156,807	120,049
Year five	83,348	34,925
Prior	47,706	27,823
Revolving loans	0	0
Revolving loans converted to term loans	0	0
Total loans receivable, gross	2,007,197	1,484,231
Personal banking | Vehicle loans | Pass
Credit quality indicators
Year one	791,768	801,084
Year two	670,925	292,804
Year three	254,957	205,653
Year four	156,151	119,304
Year five	82,807	34,546
Prior	47,352	27,576
Revolving loans	0	0
Revolving loans converted to term loans	0	0
Total loans receivable, gross	2,003,960	1,480,967
Personal banking | Vehicle loans | Substandard
Credit quality indicators
Year one	214	387
Year two	969	365
Year three	503	1,141
Year four	656	745
Year five	541	379
Prior	354	247
Revolving loans	0	0
Revolving loans converted to term loans	0	0
Total loans receivable, gross	3,237	3,264
Personal banking | Consumer loans
Credit quality indicators
Year one	14,944	118,069
Year two	11,240	81,427
Year three	5,072	47,300
Year four	4,317	20,659
Year five	3,007	9,820
Prior	5,683	12,252
Revolving loans	63,539	63,382
Revolving loans converted to term loans	1,239	1,608
Total loans receivable, gross	109,041	354,517
Personal banking | Consumer loans | Pass
Credit quality indicators
Year one	14,944	117,856
Year two	11,232	81,266
Year three	5,066	47,195
Year four	4,313	20,595
Year five	3,002	9,794
Prior	5,631	12,202
Revolving loans	63,134	63,025
Revolving loans converted to term loans	1,196	1,578
Total loans receivable, gross	108,518	353,511
Personal banking | Consumer loans | Substandard
Credit quality indicators
Year one	0	213
Year two	8	161
Year three	6	105
Year four	4	64
Year five	5	26
Prior	52	50
Revolving loans	405	357
Revolving loans converted to term loans	43	30
Total loans receivable, gross	523	1,006
Commercial banking
Credit quality indicators
Year one	743,535	601,469
Year two	520,089	604,231
Year three	481,880	567,528
Year four	413,452	410,645
Year five	329,461	368,723
Prior	1,032,248	967,794
Revolving loans	395,336	302,893
Revolving loans converted to term loans	22,399	39,810
Total loans receivable, gross	3,938,400	3,863,093
Commercial banking | Commercial real estate loans
Credit quality indicators
Year one	238,090	307,492
Year two	354,630	469,180
Year three	404,402	432,766
Year four	302,840	312,865
Year five	257,944	278,921
Prior	835,088	781,377
Revolving loans	27,592	27,509
Revolving loans converted to term loans	8,320	15,371
Total loans receivable, gross	2,428,906	2,625,481
Commercial banking | Commercial real estate loans | Pass
Credit quality indicators
Year one	238,090	306,689
Year two	353,748	433,219
Year three	395,986	335,541
Year four	255,223	263,524
Year five	214,146	221,450
Prior	740,333	683,537
Revolving loans	26,992	26,288
Revolving loans converted to term loans	7,447	10,179
Total loans receivable, gross	2,231,965	2,280,427
Commercial banking | Commercial real estate loans | Substandard
Credit quality indicators
Year one	0	0
Year two	95	34,153
Year three	7,066	44,712
Year four	26,833	46,045
Year five	42,783	56,077
Prior	87,511	89,311
Revolving loans	489	492
Revolving loans converted to term loans	858	5,169
Total loans receivable, gross	165,635	275,959
Commercial banking | Commercial real estate loans | Special mention
Credit quality indicators
Year one	0	803
Year two	787	1,808
Year three	1,350	52,513
Year four	20,784	3,296
Year five	1,015	1,394
Prior	7,244	8,529
Revolving loans	111	729
Revolving loans converted to term loans	15	23
Total loans receivable, gross	31,306	69,095
Commercial banking | Commercial real estate loans - owner occupied
Credit quality indicators
Year one	53,373	69,084
Year two	62,701	19,452
Year three	18,001	55,572
Year four	56,755	64,480
Year five	50,694	67,475
Prior	134,965	106,733
Revolving loans	3,966	3,678
Revolving loans converted to term loans	3,469	3,529
Total loans receivable, gross	383,924	390,003
Commercial banking | Commercial real estate loans - owner occupied | Pass
Credit quality indicators
Year one	53,373	69,084
Year two	62,701	19,452
Year three	18,001	51,997
Year four	51,376	60,824
Year five	46,512	57,676
Prior	121,462	94,687
Revolving loans	2,703	2,822
Revolving loans converted to term loans	1,555	2,707
Total loans receivable, gross	357,683	359,249
Commercial banking | Commercial real estate loans - owner occupied | Substandard
Credit quality indicators
Year one	0	0
Year two	0	0
Year three	0	3,575
Year four	5,379	2,887
Year five	2,509	7,840
Prior	13,002	10,602
Revolving loans	59	0
Revolving loans converted to term loans	1,914	822
Total loans receivable, gross	22,863	25,726
Commercial banking | Commercial real estate loans - owner occupied | Special mention
Credit quality indicators
Year one	0	0
Year two	0	0
Year three	0	0
Year four	0	769
Year five	1,673	1,959
Prior	501	1,444
Revolving loans	1,204	856
Revolving loans converted to term loans	0	0
Total loans receivable, gross	3,378	5,028
Commercial banking | Commercial loans
Credit quality indicators
Year one	452,072	224,893
Year two	102,758	115,599
Year three	59,477	79,190
Year four	53,857	33,300
Year five	20,823	22,327
Prior	62,195	79,684
Revolving loans	363,778	271,706
Revolving loans converted to term loans	10,610	20,910
Total loans receivable, gross	1,125,570	847,609
Commercial banking | Commercial loans | Pass
Credit quality indicators
Year one	451,388	224,367
Year two	102,258	110,171
Year three	58,114	73,276
Year four	50,237	27,668
Year five	18,805	20,748
Prior	60,839	76,987
Revolving loans	349,086	262,805
Revolving loans converted to term loans	4,103	12,301
Total loans receivable, gross	1,094,830	808,323
Commercial banking | Commercial loans | Substandard
Credit quality indicators
Year one	540	329
Year two	291	4,767
Year three	1,088	5,102
Year four	2,338	4,437
Year five	1,825	1,529
Prior	1,356	2,116
Revolving loans	12,791	6,667
Revolving loans converted to term loans	6,507	8,609
Total loans receivable, gross	26,736	33,556
Commercial banking | Commercial loans | Special mention
Credit quality indicators
Year one	144	197
Year two	209	661
Year three	275	812
Year four	1,282	1,195
Year five	193	50
Prior	0	581
Revolving loans	1,901	2,234
Revolving loans converted to term loans	0	0
Total loans receivable, gross	4,004	$ 5,730
Minimum | Special mention and substandard
Credit quality indicators
Total loans receivable, gross	$ 1,000

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Goodwill and Other Intangible Assets - Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021	Dec. 31, 2021
Amortizable intangible assets:
Intangible asset - net	$ 9,491		$ 9,491		$ 12,836
Estimated amortization expense
Amortization expense	1,047	$ 1,321	3,345	$ 4,348
For the year ending December 31, 2022	4,277		4,277
For the year ending December 31, 2023	3,270		3,270
For the year ending December 31, 2024	2,452		2,452
For the year ending December 31, 2025	1,662		1,662
For the year ending December 31, 2026	871		871
For the year ending December 31, 2027	304		304
Core deposits
Amortizable intangible assets:
Intangible asset - gross	74,899		74,899		74,899
Less: accumulated amortization	(65,446)		(65,446)		(62,158)
Intangible asset - net	9,453		9,453		12,741
Customer and contract
Amortizable intangible assets:
Intangible asset - gross	12,775		12,775		12,775
Acquisitions (disposals)	0		0		(1,547)
Less: accumulated amortization	(12,737)		(12,737)		(11,133)
Intangible asset - net	$ 38		$ 38		$ 95

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Goodwill and Other Intangible Assets - Changes in the Carrying Amount of Goodwill (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2021 USD ($)
Changes in the carrying amount of goodwill
Balance at the beginning of the period	$ 382,279
Purchase accounting adjustment	77
Goodwill disposed of due to sale of insurance business	(1,359)
Balance at the end of the period	$ 380,997

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Borrowed Funds - Schedule of Borrowed Funds (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Amount	$ 150,036	$ 139,093
Collateralized borrowings, due within one year
Debt Instrument [Line Items]
Amount	$ 98,315	$ 139,093
Average rate	0.18%	0.19%
Collateral received, due within one year
Debt Instrument [Line Items]
Amount	$ 39,821	$ 0
Average rate	3.08%	0.00%
Notes payable to the Federal Home Loan Bank (“FHLB”): | Federal Home Loan Bank of Pittsburgh
Debt Instrument [Line Items]
Amount	$ 11,900	$ 0
Average rate	3.11%	0.00%

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Borrowed Funds - Narrative (Details)		9 Months Ended
	Sep. 09, 2020 USD ($)	Sep. 30, 2022 USD ($) business_trust	Dec. 31, 2021 USD ($)
Debt Instrument [Line Items]
Borrowed funds		$ 150,036,000	$ 139,093,000
Number of statutory business trusts owned | business_trust		7
Trust preferred investments
Debt Instrument [Line Items]
Maximum period for which interest payment on the subordinated debentures can be deferred (in years)		5 years
Interest deferral		$ 0
Revolving line of credit, FHLB of Pittsburgh | Federal Home Loan Bank of Pittsburgh
Debt Instrument [Line Items]
Maximum borrowing capacity		250,000,000
Revolving line of credit		11,900,000	0
Collateralized borrowings, due within one year
Debt Instrument [Line Items]
Borrowed funds		98,315,000	139,093,000
Subordinated Debt
Debt Instrument [Line Items]
Borrowed funds		$ 113,800,000	$ 123,600,000
Debt issued	$ 125,000,000
Stated rate (as a percent)	4.00%
Debt issuance costs	$ 1,800,000
Debt issuance amortization period (in years)	5 years
Subordinated Debt | SOFR
Debt Instrument [Line Items]
Basis spread on variable rate (as a percent)	3.89%

XML

Borrowed Funds - Debt Securities Held-To-Maturity on Preferred Securities and Junior Subordinated Debt Held by Trust (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2022	Jun. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Junior subordinated debentures	$ 129,249		$ 129,054
Trust Preferred Investments
Debt Instrument [Line Items]
Junior subordinated debentures	$ 129,249	$ 129,054
Trust Preferred Investments | Northwest Bancorp Capital Trust III
Debt Instrument [Line Items]
Interest rate	1.38%
Capital debt securities	$ 50,000
Junior subordinated debentures	$ 51,547	51,547
Trust Preferred Investments | Northwest Bancorp Statutory Trust IV
Debt Instrument [Line Items]
Interest rate	1.38%
Capital debt securities	$ 50,000
Junior subordinated debentures	$ 51,547	51,547
Trust Preferred Investments | LNB Trust II
Debt Instrument [Line Items]
Interest rate	1.48%
Capital debt securities	$ 7,875
Junior subordinated debentures	$ 8,119	8,119
Trust Preferred Investments | UNCT I
Debt Instrument [Line Items]
Interest rate	2.85%
Capital debt securities	$ 8,000
Junior subordinated debentures	$ 7,968	7,950
Trust Preferred Investments | UNCT II
Debt Instrument [Line Items]
Interest rate	2.00%
Capital debt securities	$ 3,000
Junior subordinated debentures	$ 2,762	2,741
Trust Preferred Investments | MFBC Statutory Trust I
Debt Instrument [Line Items]
Interest rate	1.70%
Capital debt securities	$ 5,000
Junior subordinated debentures	$ 3,658	3,580
Trust Preferred Investments | Universal Preferred Trust
Debt Instrument [Line Items]
Interest rate	1.69%
Capital debt securities	$ 5,000
Junior subordinated debentures	$ 3,648	$ 3,570

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Guarantees (Details) - Letter of credit $ in Thousands	Sep. 30, 2022 USD ($)
Guarantor Obligations [Line Items]
Maximum exposure collateralized	$ 47,800
Maximum potential amount of future payments	37,600
Liability recognized for the obligations	710
Credit Card
Guarantor Obligations [Line Items]
Maximum potential amount of future payments	5,000
Revolving line of credit	62
Derivative, notional amount	$ 727

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Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Earnings Per Share [Abstract]
Net income	$ 37,304	$ 35,063	$ 99,017	$ 124,267
Less: Dividends and undistributed earnings allocated to participating securities	166	237	441	841
Net income available to common shareholders	37,138	34,826	98,576	123,426
Net income available to common shareholders	$ 37,138	$ 34,826	$ 98,576	$ 123,426
Weighted average common shares outstanding (in shares)	126,320,706	126,111,774	126,082,217	126,333,290
Add: Participating shares outstanding (in shares)	565,729	856,206	565,729	856,206
Total weighted average common shares and dilutive potential shares (in shares)	126,886,435	126,967,980	126,647,946	127,189,496
Basic earnings per share (in dollars per share)	$ 0.29	$ 0.28	$ 0.78	$ 0.98
Diluted earnings per share (in dollars per share)	$ 0.29	$ 0.27	$ 0.78	$ 0.97

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Pension and Other Post-Retirement Benefits (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Pension benefits
Components of net periodic benefit cost
Service cost	$ 2,599	$ 2,860	$ 7,797	$ 8,580
Interest cost	1,671	1,517	5,013	4,552
Expected return on plan assets	(3,864)	(3,464)	(11,592)	(10,394)
Amortization of prior service cost	(564)	(580)	(1,692)	(1,741)
Amortization of the net loss	381	1,038	1,143	3,117
Net periodic cost	223	1,371	669	4,114
Pension benefits | Minimum
Components of net periodic benefit cost
Estimated contribution for the current year	0		0
Pension benefits | Maximum
Components of net periodic benefit cost
Estimated contribution for the current year	2,000		2,000
Other post-retirement benefits
Components of net periodic benefit cost
Service cost	0	0	0	0
Interest cost	10	4	30	13
Expected return on plan assets	0	0	0	0
Amortization of prior service cost	0	0	0	0
Amortization of the net loss	2	3	6	10
Net periodic cost	$ 12	$ 7	$ 36	$ 23

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Disclosures About Fair Value of Financial Instruments - Narrative (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2022	Dec. 31, 2021
Fair Value Disclosures [Abstract]
Significant unrealized appreciation or depreciation in financial instruments	$ 0	$ 0

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Disclosures About Fair Value of Financial Instruments - Carrying Amount and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Financial assets:
Securities held-to-maturity	$ 771,238	$ 751,513
Accrued interest receivable	29,536	25,599
Financial liabilities:
Subordinated debt	113,753	123,575
Junior subordinated debentures	129,249	129,054
Derivatives not designated as hedging instruments
Financial assets:
Derivative assets	51,396	33,309
Financial liabilities:
Derivative liabilities	50,468	31,758
Level 1
Financial assets:
Cash and cash equivalents	118,549	1,279,259
Securities available-for-sale	0	0
Securities held-to-maturity	0	0
Loans receivable, net	0	0
Residential mortgage loans held-for-sale	0	0
Accrued interest receivable	29,536	25,599
FHLB stock	0	0
Total financial assets	148,085	1,304,858
Financial liabilities:
Savings and checking deposits	10,811,282	10,973,610
Time deposits	0	0
Borrowed funds	149,914	139,093
Subordinated debt	0	0
Junior subordinated debentures	0	0
Accrued interest payable	831	1,804
Total financial liabilities	10,962,027	11,114,507
Level 1 | Interest rate lock commitments
Financial assets:
Derivative assets	0	0
Level 1 | Forward commitments
Financial assets:
Derivative assets		0
Financial liabilities:
Derivative liabilities	0
Level 1 | Foreign exchange swaps
Financial assets:
Derivative assets	0
Financial liabilities:
Derivative liabilities	0	0
Level 1 | Interest rate swap agreements
Financial assets:
Derivative assets	0	0
Level 1 | Interest rate swap agreements | Derivatives not designated as hedging instruments
Financial liabilities:
Derivative liabilities	0	0
Level 1 | Risk participation agreements
Financial liabilities:
Derivative liabilities	0	0
Level 2
Financial assets:
Cash and cash equivalents	0	0
Securities available-for-sale	1,251,791	1,548,592
Securities held-to-maturity	771,238	751,513
Loans receivable, net	0	0
Residential mortgage loans held-for-sale	0	0
Accrued interest receivable	0	0
FHLB stock	0	0
Total financial assets	2,073,362	2,331,730
Financial liabilities:
Savings and checking deposits	0	0
Time deposits	0	0
Borrowed funds	0	0
Subordinated debt	103,312	129,138
Junior subordinated debentures	0	0
Accrued interest payable	0	0
Total financial liabilities	153,780	160,896
Level 2 | Interest rate lock commitments
Financial assets:
Derivative assets	0	0
Level 2 | Forward commitments
Financial assets:
Derivative assets		371
Financial liabilities:
Derivative liabilities	139
Level 2 | Foreign exchange swaps
Financial assets:
Derivative assets	38
Financial liabilities:
Derivative liabilities	9	341
Level 2 | Interest rate swap agreements
Financial assets:
Derivative assets	50,295	31,254
Level 2 | Interest rate swap agreements | Derivatives not designated as hedging instruments
Financial liabilities:
Derivative liabilities	50,295	31,357
Level 2 | Risk participation agreements
Financial liabilities:
Derivative liabilities	25	60
Level 3
Financial assets:
Cash and cash equivalents	0	0
Securities available-for-sale	0	0
Securities held-to-maturity	0	0
Loans receivable, net	9,639,188	9,648,825
Residential mortgage loans held-for-sale	15,834	25,056
Accrued interest receivable	0	0
FHLB stock	0	0
Total financial assets	9,656,085	9,675,565
Financial liabilities:
Savings and checking deposits	0	0
Time deposits	1,069,395	1,339,308
Borrowed funds	0	0
Subordinated debt	0	0
Junior subordinated debentures	117,475	120,083
Accrued interest payable	0	0
Total financial liabilities	1,186,870	1,459,391
Level 3 | Interest rate lock commitments
Financial assets:
Derivative assets	1,063	1,684
Level 3 | Forward commitments
Financial assets:
Derivative assets		0
Financial liabilities:
Derivative liabilities	0
Level 3 | Foreign exchange swaps
Financial assets:
Derivative assets	0
Financial liabilities:
Derivative liabilities	0	0
Level 3 | Interest rate swap agreements
Financial assets:
Derivative assets	0	0
Level 3 | Interest rate swap agreements | Derivatives not designated as hedging instruments
Financial liabilities:
Derivative liabilities	0	0
Level 3 | Risk participation agreements
Financial liabilities:
Derivative liabilities	0	0
Carrying amount
Financial assets:
Cash and cash equivalents	118,549	1,279,259
Securities available-for-sale	1,251,791	1,548,592
Securities held-to-maturity	899,411	768,154
Loans receivable, net	10,615,872	9,889,095
Residential mortgage loans held-for-sale	15,834	25,056
Accrued interest receivable	29,536	25,599
FHLB stock	19,281	14,184
Total financial assets	13,001,670	13,583,248
Financial liabilities:
Savings and checking deposits	10,811,282	10,973,610
Time deposits	1,067,110	1,327,555
Borrowed funds	150,036	139,093
Subordinated debt	113,753	123,575
Junior subordinated debentures	129,249	129,054
Accrued interest payable	831	1,804
Total financial liabilities	12,322,729	12,726,449
Carrying amount | Interest rate lock commitments
Financial assets:
Derivative assets	1,063	1,684
Carrying amount | Forward commitments
Financial assets:
Derivative assets		371
Financial liabilities:
Derivative liabilities	139
Carrying amount | Foreign exchange swaps
Financial assets:
Derivative assets	38
Financial liabilities:
Derivative liabilities	9	341
Carrying amount | Interest rate swap agreements
Financial assets:
Derivative assets	50,295	31,254
Carrying amount | Interest rate swap agreements | Derivatives not designated as hedging instruments
Financial liabilities:
Derivative liabilities	50,295	31,357
Carrying amount | Risk participation agreements
Financial liabilities:
Derivative liabilities	25	60
Estimated fair value
Financial assets:
Cash and cash equivalents	118,549	1,279,259
Securities available-for-sale	1,251,791	1,548,592
Securities held-to-maturity	771,238	751,513
Loans receivable, net	9,639,188	9,648,825
Residential mortgage loans held-for-sale	15,834	25,056
Accrued interest receivable	29,536	25,599
FHLB stock	19,281	14,184
Total financial assets	11,896,813	13,326,337
Financial liabilities:
Savings and checking deposits	10,811,282	10,973,610
Time deposits	1,069,395	1,339,308
Borrowed funds	149,914	139,093
Subordinated debt	103,312	129,138
Junior subordinated debentures	117,475	120,083
Accrued interest payable	831	1,804
Total financial liabilities	12,302,677	12,734,794
Estimated fair value | Interest rate lock commitments
Financial assets:
Derivative assets	1,063	1,684
Estimated fair value | Forward commitments
Financial assets:
Derivative assets		371
Financial liabilities:
Derivative liabilities	139
Estimated fair value | Foreign exchange swaps
Financial assets:
Derivative assets	38
Financial liabilities:
Derivative liabilities	9	341
Estimated fair value | Interest rate swap agreements
Financial assets:
Derivative assets	50,295	31,254
Estimated fair value | Interest rate swap agreements | Derivatives not designated as hedging instruments
Financial liabilities:
Derivative liabilities	50,295	31,357
Estimated fair value | Risk participation agreements
Financial liabilities:
Derivative liabilities	$ 25	$ 60

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Disclosures About Fair Value of Financial Instruments - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	$ 51,396	$ 33,309
Derivative liabilities	50,468	31,758
Level 1
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
Total financial assets	148,085	1,304,858
Level 2
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	1,251,791	1,548,592
Total financial assets	2,073,362	2,331,730
Level 3
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
Total financial assets	9,656,085	9,675,565
Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	220,332	250,677
Total mortgage-backed securities	1,031,459	1,297,915
Total financial assets	1,303,187	1,581,901
Total liabilities	50,468	31,758
Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
Total mortgage-backed securities	0	0
Total financial assets	0	0
Total liabilities	0	0
Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	220,332	250,677
Total mortgage-backed securities	1,031,459	1,297,915
Total financial assets	1,302,124	1,580,217
Total liabilities	50,468	31,758
Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
Total mortgage-backed securities	0	0
Total financial assets	1,063	1,684
Total liabilities	0	0
U.S. government and agencies | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	61,925	75,891
U.S. government and agencies | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
U.S. government and agencies | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	61,925	75,891
U.S. government and agencies | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
Government-sponsored enterprises | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	39,091	46,085
Government-sponsored enterprises | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
Government-sponsored enterprises | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	39,091	46,085
Government-sponsored enterprises | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
States and political subdivisions | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	106,176	128,701
States and political subdivisions | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
States and political subdivisions | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	106,176	128,701
States and political subdivisions | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0	0
Corporate | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	13,140
Corporate | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0
Corporate | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	13,140
Corporate | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Securities available-for-sale	0
GNMA | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	12,768	16,510
Collateralized mortgage obligations:	379,420	492,328
GNMA | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	0	0
Collateralized mortgage obligations:	0	0
GNMA | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	12,768	16,510
Collateralized mortgage obligations:	379,420	492,328
GNMA | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	0	0
Collateralized mortgage obligations:	0	0
FNMA | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	119,202	160,063
Collateralized mortgage obligations:	194,850	269,060
FNMA | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	0	0
Collateralized mortgage obligations:	0	0
FNMA | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	119,202	160,063
Collateralized mortgage obligations:	194,850	269,060
FNMA | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	0	0
Collateralized mortgage obligations:	0	0
FHLMC | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	76,124	100,055
Collateralized mortgage obligations:	249,089	259,468
FHLMC | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	0	0
Collateralized mortgage obligations:	0	0
FHLMC | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	76,124	100,055
Collateralized mortgage obligations:	249,089	259,468
FHLMC | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	0	0
Collateralized mortgage obligations:	0	0
Non-agency | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	6	431
Non-agency | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	0	0
Non-agency | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	6	431
Non-agency | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Residential mortgage-backed securities:	0	0
Interest rate lock commitments | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0	0
Interest rate lock commitments | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0	0
Interest rate lock commitments | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	1,063	1,684
Interest rate lock commitments | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	1,063	1,684
Interest rate lock commitments | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0	0
Interest rate lock commitments | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0	0
Interest rate lock commitments | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	1,063	1,684
Forward commitments | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		0
Derivative liabilities	0
Forward commitments | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		371
Derivative liabilities	139
Forward commitments | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		0
Derivative liabilities	0
Forward commitments | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		371
Forward commitments | Measured on recurring basis | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	139
Forward commitments | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		0
Forward commitments | Measured on recurring basis | Level 1 | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	0
Forward commitments | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		371
Forward commitments | Measured on recurring basis | Level 2 | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	139
Forward commitments | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		0
Forward commitments | Measured on recurring basis | Level 3 | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	0
Foreign exchange swaps | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0
Derivative liabilities	0	0
Foreign exchange swaps | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	38
Derivative liabilities	9	341
Foreign exchange swaps | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0
Derivative liabilities	0	0
Foreign exchange swaps | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	38
Derivative liabilities	9	341
Foreign exchange swaps | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0
Derivative liabilities	0	0
Foreign exchange swaps | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	38
Derivative liabilities	9	341
Foreign exchange swaps | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0
Derivative liabilities	0	0
Interest rate swaps not designated as hedging instruments | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0	0
Interest rate swaps not designated as hedging instruments | Level 1 | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	0	0
Interest rate swaps not designated as hedging instruments | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	50,295	31,254
Interest rate swaps not designated as hedging instruments | Level 2 | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	50,295	31,357
Interest rate swaps not designated as hedging instruments | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0	0
Interest rate swaps not designated as hedging instruments | Level 3 | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	0	0
Interest rate swaps not designated as hedging instruments | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		31,254
Interest rate swaps not designated as hedging instruments | Measured on recurring basis | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	50,295
Derivative liabilities	50,295	31,357
Interest rate swaps not designated as hedging instruments | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		0
Interest rate swaps not designated as hedging instruments | Measured on recurring basis | Level 1 | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0
Derivative liabilities	0	0
Interest rate swaps not designated as hedging instruments | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		31,254
Interest rate swaps not designated as hedging instruments | Measured on recurring basis | Level 2 | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	50,295
Derivative liabilities	50,295	31,357
Interest rate swaps not designated as hedging instruments | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative assets		0
Interest rate swaps not designated as hedging instruments | Measured on recurring basis | Level 3 | Derivatives not designated as hedging instruments
Assets and liabilities measured at fair value on a recurring basis
Derivative assets	0
Derivative liabilities	0	0
Risk participation agreements | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	0	0
Risk participation agreements | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	25	60
Risk participation agreements | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	0	0
Risk participation agreements | Measured on recurring basis
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	25	60
Risk participation agreements | Measured on recurring basis | Level 1
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	0	0
Risk participation agreements | Measured on recurring basis | Level 2
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	25	60
Risk participation agreements | Measured on recurring basis | Level 3
Assets and liabilities measured at fair value on a recurring basis
Derivative liabilities	$ 0	$ 0

XML

Disclosures About Fair Value of Financial Instruments - Reconciliation of all Assets and Liabilities Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) (Details) - Level 3 - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Reconciliation of all assets and liabilities measured at fair value on a recurring basis using significant unobservable inputs (Level 3)
Beginning balance	$ 1,520	$ 3,608	$ 1,684	$ 6,465
Interest rate lock commitments:
Net activity	(457)	(471)	(621)	(3,328)
Balance at the end of the period	$ 1,063	$ 3,137	$ 1,063	$ 3,137

XML

Disclosures About Fair Value of Financial Instruments - Nonrecurring Assets that had Fair Market Values Below the Carrying Amount (Details) - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Level 1
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Loans individually assessed	$ 0	$ 0
Total assets	148,085	1,304,858
Level 2
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Loans individually assessed	0	0
Total assets	2,073,362	2,331,730
Level 3
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Loans individually assessed	9,639,188	9,648,825
Total assets	9,656,085	9,675,565
Fair value measurements nonrecurring
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Mortgage servicing rights	82	380
Real estate owned, net	450	873
Total assets	21,705	48,221
Fair value measurements nonrecurring | Level 1
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Mortgage servicing rights	0	0
Real estate owned, net	0	0
Total assets	0	0
Fair value measurements nonrecurring | Level 2
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Mortgage servicing rights	0	0
Real estate owned, net	0	0
Total assets	0	0
Fair value measurements nonrecurring | Level 3
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Mortgage servicing rights	82	380
Real estate owned, net	450	873
Total assets	21,705	48,221
Loans individually assessed | Fair value measurements nonrecurring
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Loans individually assessed	21,173	46,968
Loans individually assessed | Fair value measurements nonrecurring | Level 1
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Loans individually assessed	0	0
Loans individually assessed | Fair value measurements nonrecurring | Level 2
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Loans individually assessed	0	0
Loans individually assessed | Fair value measurements nonrecurring | Level 3
Fair value measurement for nonrecurring assets that had a fair market value below the carrying amount
Loans individually assessed	$ 21,173	$ 46,968

XML

Disclosures About Fair Value of Financial Instruments - Additional Quantitative Information, Assets Measured at Fair Value, Recurring and Nonrecurring Basis, Level 3 Input (Details)	9 Months Ended
	Sep. 30, 2022 USD ($)	Dec. 31, 2021 USD ($)
Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights	$ 82,000	$ 380,000
Real estate owned, net	450,000	873,000
Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans individually assessed	9,639,188,000	9,648,825,000
Loans held for sale	15,834,000
Level 3 | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights	82,000	380,000
Real estate owned, net	450,000	$ 873,000
Loans individually assessed | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans individually assessed	21,173,000
Real estate owned | Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Real estate owned, net	$ 450,000
Estimated cost to sell | Loans individually assessed | Appraisal value
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans individually assessed, measurement input	0.100
Estimated cost to sell | Real estate owned | Appraisal value
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Real estate owned, net, measurement input	0.100
Discount rate | Loans individually assessed | Discounted cash flow | Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans individually assessed, measurement input	0.0647
Discount rate | Loans individually assessed | Discounted cash flow | Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans individually assessed, measurement input	0.1456
Discount rate | Loans individually assessed | Discounted cash flow | Weighted average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans individually assessed, measurement input	0.0828
Annual service cost | Discounted cash flow | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, measurement input	85
Prepayment rate | Discounted cash flow | Minimum | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, measurement input	0.070
Prepayment rate | Discounted cash flow | Maximum | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, measurement input	0.151
Prepayment rate | Discounted cash flow | Weighted average | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, measurement input	0.095
Expected life (months) | Discounted cash flow | Minimum | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, term	56 months 21 days
Expected life (months) | Discounted cash flow | Maximum | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, term	101 months 21 days
Expected life (months) | Discounted cash flow | Weighted average | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, term	75 months 21 days
Option adjusted spread | Discounted cash flow | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, measurement input	0.0650
Forward yield curve | Discounted cash flow | Minimum | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, measurement input	0.0256
Forward yield curve | Discounted cash flow | Maximum | Fair value measurements nonrecurring
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Mortgage servicing rights, measurement input	0.0416
Estimated pull-through rate | Appraisal value
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans held for sale, measurement input	1.000

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Derivative Financial Instruments - Schedule of Derivative Financial Instruments (Details) - Derivatives not designated as hedging instruments - USD ($) $ in Thousands	Sep. 30, 2022	Dec. 31, 2021
Derivative [Line Items]
Asset derivatives, notional amount	$ 699,578	$ 726,954
Asset derivatives, fair value	51,396	33,309
Liability derivatives, notional amount	780,813	755,256
Liability derivatives, fair value	50,468	31,758
Interest rate swap agreements
Derivative [Line Items]
Asset derivatives, notional amount	659,480	644,997
Asset derivatives, fair value	50,295	31,254
Liability derivatives, notional amount	659,480	644,997
Liability derivatives, fair value	50,295	31,357
Foreign exchange swaps
Derivative [Line Items]
Asset derivatives, notional amount	1,218	0
Asset derivatives, fair value	38	0
Liability derivatives, notional amount	959	17,124
Liability derivatives, fair value	9	341
Interest rate lock commitments
Derivative [Line Items]
Asset derivatives, notional amount	38,880	67,473
Asset derivatives, fair value	1,063	1,684
Liability derivatives, notional amount	0	0
Liability derivatives, fair value	0	0
Forward commitments
Derivative [Line Items]
Asset derivatives, notional amount	0	14,484
Asset derivatives, fair value	0	371
Liability derivatives, notional amount	5,578	0
Liability derivatives, fair value	139	0
Risk participation agreements
Derivative [Line Items]
Asset derivatives, notional amount	0	0
Asset derivatives, fair value	0	0
Liability derivatives, notional amount	114,796	93,135
Liability derivatives, fair value	$ 25	$ 60

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Derivative Financial Instruments - Gain (Loss) on Derivative Financial Instruments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Increase in other income
Non-hedging swap derivatives:
Increase in other income	$ 93	$ 590	$ 207	$ 1,087
Increase in mortgage banking income
Non-hedging swap derivatives:
Increase in other income	$ 809	$ 345	$ 1,131	$ 3,915

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Changes in Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2022	Sep. 30, 2021	Sep. 30, 2022	Sep. 30, 2021
Changes in accumulated other comprehensive income by component
Beginning balance	$ 1,494,539	$ 1,575,361	$ 1,583,571	$ 1,538,703
Other comprehensive loss before reclassification adjustments	(48,387)	(6,455)	(153,124)	(19,554)
Amounts reclassified from accumulated other comprehensive income	(131)	264	(395)	720
Other comprehensive loss	(48,518)	(6,191)	(153,519)	(18,834)
Ending balance	1,459,786	1,561,768	1,459,786	1,561,768
Unrealized holding losses, tax	14,705	2,076	45,555	6,812
Reclassification adjustment for gains included in net income, tax	0	(24)	0	(89)
Reclassification adjustment for prior period service costs included in net income, tax	50	(128)	151	(386)
Total
Changes in accumulated other comprehensive income by component
Beginning balance	(142,630)	(46,192)	(37,629)	(33,549)
Other comprehensive loss	(48,518)	(6,191)	(153,519)	(18,834)
Ending balance	(191,148)	(52,383)	(191,148)	(52,383)
Unrealized  losses  on securities  available-for-sale
Changes in accumulated other comprehensive income by component
Beginning balance	(117,056)	3,533	(12,317)	16,843
Other comprehensive loss before reclassification adjustments	(48,387)	(6,455)	(153,124)	(19,554)
Amounts reclassified from accumulated other comprehensive income	0	(69)	(2)	(280)
Other comprehensive loss	(48,387)	(6,524)	(153,126)	(19,834)
Ending balance	(165,443)	(2,991)	(165,443)	(2,991)
Change in  defined benefit  pension plans
Changes in accumulated other comprehensive income by component
Beginning balance	(25,574)	(49,725)	(25,312)	(50,392)
Other comprehensive loss before reclassification adjustments	0	0	0	0
Amounts reclassified from accumulated other comprehensive income	(131)	333	(393)	1,000
Other comprehensive loss	(131)	333	(393)	1,000
Ending balance	$ (25,705)	$ (49,392)	$ (25,705)	$ (49,392)