Fair Value Measurement (Tables)

6 Months Ended

Jun. 30, 2018

Fair Value Disclosures [Abstract]

Schedule of Fair Value of Assets and Liabilities Measured on Recurring and Nonrecurring Basis

The following tables set forth WesBanco’s financial assets and liabilities that were accounted for at fair value on a recurring and nonrecurring basis by level within the fair value hierarchy as of June 30, 2018 and December 31, 2017:

			June 30, 2018
			Fair Value Measurements Using:
	June 30, 2018		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs		Investments Measured at Net Asset
(unaudited, in thousands)			(level 1)		(level 2)		(level 3)		Value
Recurring fair value measurements
Equity securities	$	13,494	$	13,494	$	—	$	—	$	—
Debt securities - available-for-sale
U.S. Treasury		9,913		—		9,913		—		—
U.S. Government sponsored entities and agencies		100,682		—		100,682		—		—
Residential mortgage-backed securities and collateralized mortgage obligations of government agencies		1,373,417		—		1,373,417		—		—
Commercial mortgage-backed securities and collateralized mortgage obligations of government sponsored entities and agencies		140,647		—		140,647		—		—
Obligations of state and political subdivisions		126,799		—		126,799		—		—
Corporate debt securities		45,113		—		45,113		—		—
Total debt securities - available-for-sale	$	1,796,571	$	—	$	1,796,571	$	—	$	—
Loans held for sale		12,053		—		12,053		—		—
Other assets - interest rate derivatives agreements		11,048		—		11,048		—		—
Total assets recurring fair value measurements	$	1,833,166	$	13,494	$	1,819,672	$	—	$	—
Other liabilities - interest rate derivatives agreements	$	10,832	$	—	$	10,832	$	—	$	—
Total liabilities recurring fair value measurements	$	10,832	$	—	$	10,832	$	—	$	—
Nonrecurring fair value measurements
Impaired loans	$	—	$	—	$	—	$	—	$	—
Other real estate owned and repossessed assets		4,384		—		—		4,384		—
Total nonrecurring fair value measurements	$	4,384	$	—	$	—	$	4,384	$	—

			December 31, 2017
			Fair Value Measurements Using:
	December 31,		Quoted Prices in Active Markets for Identical Assets		Significant Other Observable Inputs		Significant Unobservable Inputs		Investments Measured at Net Asset
(unaudited, in thousands)	2017		(level 1)		(level 2)		(level 3)		Value
Recurring fair value measurements
Equity securities	$	13,457	$	11,391	$	—	$	—	$	2,066
Debt securities - available-for-sale
U.S. Government sponsored entities and agencies		71,843		—		71,843		—		—
Residential mortgage-backed securities and collateralized mortgage obligations of government agencies		934,922		—		934,922		—		—
Commercial mortgage-backed securities and collateralized mortgage obligations of government sponsored entities and agencies		114,867		—		114,867		—		—
Obligations of state and political subdivisions		104,830		—		104,830		—		—
Corporate debt securities		35,403		—		35,403		—		—
Total debt securities - available-for-sale	$	1,261,865	$	—	$	1,261,865	$	—	$	—
Loans held for sale		20,320		—		20,320		—		—
Other assets - interest rate derivatives agreements		7,351		—		7,351		—		—
Total assets recurring fair value measurements	$	1,302,993	$	11,391	$	1,289,536	$	—	$	2,066
Other liabilities - interest rate derivatives agreements	$	7,345	$	—	$	7,345	$	—	$	—
Total liabilities recurring fair value measurements	$	7,345	$	—	$	7,345	$	—	$	—
Nonrecurring fair value measurements
Impaired loans	$	1,717	$	—	$	—	$	1,717	$	—
Other real estate owned and repossessed assets		5,297		—		—		5,297		—
Total nonrecurring fair value measurements	$	7,014	$	—	$	—	$	7,014	$	—

Schedule of Assets Measured at Fair Value on Nonrecurring Basis

The following table presents additional quantitative information about assets measured at fair value on a nonrecurring basis and for which WesBanco has utilized level 3 inputs to determine fair value:

	Quantitative Information about Level 3 Fair Value Measurements
	Fair Value		Valuation	Unobservable	Range (Weighted
(unaudited, in thousands)	Estimate		Techniques	Input	Average)
June 30, 2018
Impaired loans	$	—	Appraisal of collateral (1)	Appraisal adjustments (2)	—
				Liquidation expenses (2)	—
Other real estate owned and repossessed assets		4,384	Appraisal of collateral (1), (3)
December 31, 2017:
Impaired loans	$	1,717	Appraisal of collateral (1)	Appraisal adjustments (2)	(4.8%) / (4.8%)
				Liquidation expenses (2)	(7.6%) / (7.6%)
Other real estate owned and repossessed assets		5,297	Appraisal of collateral (1), (3)

⁽¹⁾  Fair value is generally determined through independent appraisals of the underlying collateral, which generally include various level 3 inputs which are not identifiable.

⁽²⁾  Appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses. The range and weighted average of appraisal adjustments and liquidation expenses are presented as a percent of the appraisal.

⁽³⁾  Includes estimated liquidation expenses and numerous dissimilar qualitative adjustments by management which are not identifiable.

Estimates Fair Values of Financial Instruments

The estimated fair values of WesBanco’s financial instruments are summarized below:

					Fair Value Measurements at June 30, 2018
(unaudited, in thousands)	Carrying Amount		Fair Value Estimate		Quoted Prices in Active Markets for Identical Assets (level 1)		Significant Other Observable Inputs (level 2)		Significant Unobservable Inputs (level 3)		Investments Measured at Net Asset Value
Financial Assets
Cash and due from banks	$	155,559	$	155,559	$	155,559	$	—	$	—	$	—
Equity securities		13,494		13,494		13,494		—		—		—
Debt securities available-for-sale		1,796,571		1,796,571		—		1,796,571		—		—
Debt securities held-to-maturity		1,019,746		1,016,111		—		1,015,540		571		—
Net loans		6,745,261		6,647,280		—		—		6,647,280		—
Loans held for sale		12,053		12,053		—		12,053		—		—
Other assets - interest rate derivatives		11,048		11,048		—		11,048		—		—
Accrued interest receivable		33,868		33,868		33,868		—		—		—
Financial Liabilities
Deposits		7,668,604		7,678,825		6,292,076		1,386,749		—		—
Federal Home Loan Bank borrowings		1,248,406		1,240,239		—		1,240,239		—		—
Other borrowings		258,067		258,057		256,069		1,988		—		—
Subordinated debt and junior subordinated debt		165,420		153,405		—		153,405		—		—
Other liabilities - interest rate derivatives		10,832		10,832		—		10,832		—		—
Accrued interest payable		4,417		4,417		4,417		—		—		—

					Fair Value Measurements at December 31, 2017
(unaudited, in thousands)	Carrying Amount		Fair Value Estimate		Quoted Prices in Active Markets for Identical Assets (level 1)		Significant Other Observable Inputs (level 2)		Significant Unobservable Inputs (level 3)		Investments Measured at Net Asset Value
Financial Assets
Cash and due from banks	$	117,572	$	117,572	$	117,572	$	—	$	—	$	—
Equity securities		13,457		13,457		11,391		—		—		2,066
Debt securities available-for-sale		1,261,865		1,261,865		—		1,261,865		—		—
Debt securities held-to-maturity		1,009,500		1,023,784		—		1,023,191		593		—
Net loans		6,296,157		6,212,823		—		—		6,212,823		—
Loans held for sale		20,320		20,320		—		20,320		—		—
Other assets - interest rate derivatives		7,351		7,351		—		7,351		—		—
Accrued interest receivable		29,728		29,728		29,728		—		—		—
Financial Liabilities
Deposits		7,043,588		7,053,536		5,766,531		1,287,005		—		—
Federal Home Loan Bank borrowings		948,203		944,706		—		944,706		—		—
Other borrowings		184,805		184,814		182,785		2,029		—		—
Subordinated debt and junior subordinated debt		164,327		146,484		—		146,484		—		—
Other liabilities - interest rate derivatives		7,345		7,345		—		7,345		—		—
Accrued interest payable		3,178		3,178		3,178		—		—		—