Investment Securities (Tables)
|
9 Months Ended |
Sep. 30, 2018 |
|---|
| Investments, Debt and Equity Securities [Abstract] |
|
| Summary of Amortized Cost and Estimated Fair Value of Investment Securities |
The amortized cost and estimated fair value of investment
securities are summarized below. The majority of securities held
are available-for-sale securities
with fair value based on quoted prices for similar assets in active
markets or quoted prices for identical assets in markets that are
not active. Estimated fair values were obtained from an independent
pricing service based upon market quotes.
|
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|
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|
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|
|
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|
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|
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|
|
|
| |
|
September 30, 2018 |
| |
|
Amortized
Cost |
|
Gross
Unrealized
Holding
Gain |
|
Gross
Unrealized
Holding
Loss |
|
Fair Value |
|
Total Percent |
| |
|
(Dollars in
thousands) |
|
Investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage-backed securities
|
|
$ |
1,570,072 |
|
|
$ |
1,014 |
|
|
$ |
(38,208 |
) |
|
$ |
1,532,878 |
|
|
|
84.87 |
% |
|
CMO/REMIC - residential
|
|
|
229,832 |
|
|
|
152 |
|
|
|
(6,167 |
) |
|
|
223,817 |
|
|
|
12.39 |
% |
|
Municipal bonds
|
|
|
50,022 |
|
|
|
308 |
|
|
|
(1,591 |
) |
|
|
48,739 |
|
|
|
2.70 |
% |
|
Other securities
|
|
|
797 |
|
|
|
- |
|
|
|
- |
|
|
|
797 |
|
|
|
0.04 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total available-for-sale securities
|
|
$ |
1,850,723 |
|
|
$ |
1,474 |
|
|
$ |
(45,966 |
) |
|
$ |
1,806,231 |
|
|
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment securities held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government agency/GSE
|
|
$ |
144,871 |
|
|
$ |
- |
|
|
$ |
(5,129 |
) |
|
$ |
139,742 |
|
|
|
19.09 |
% |
|
Residential mortgage-backed securities
|
|
|
158,769 |
|
|
|
- |
|
|
|
(5,502 |
) |
|
|
153,267 |
|
|
|
20.92 |
% |
|
CMO
|
|
|
216,980 |
|
|
|
- |
|
|
|
(13,960 |
) |
|
|
203,020 |
|
|
|
28.58 |
% |
|
Municipal bonds
|
|
|
238,409 |
|
|
|
225 |
|
|
|
(7,908 |
) |
|
|
230,726 |
|
|
|
31.41 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total held-to-maturity securities
|
|
$ |
759,029 |
|
|
$ |
225 |
|
|
$ |
(32,499) |
|
|
$ |
726,755 |
|
|
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
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|
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|
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|
|
|
|
|
| |
|
December 31, 2017 |
| |
|
Amortized
Cost |
|
Gross
Unrealized
Holding
Gain |
|
Gross
Unrealized
Holding Loss |
|
Fair Value |
|
Total
Percent |
| |
|
(Dollars in
thousands) |
|
Investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage-backed securities
|
|
$ |
1,747,780 |
|
|
$ |
11,231 |
|
|
$ |
(8,102 |
) |
|
$ |
1,750,909 |
|
|
|
84.14 |
% |
|
CMO/REMIC-residential
|
|
|
274,634 |
|
|
|
1,277 |
|
|
|
(2,082 |
) |
|
|
273,829 |
|
|
|
13.16 |
% |
|
Municipal bonds
|
|
|
54,966 |
|
|
|
774 |
|
|
|
(244 |
) |
|
|
55,496 |
|
|
|
2.66 |
% |
|
Other securities
|
|
|
751 |
|
|
|
- |
|
|
|
- |
|
|
|
751 |
|
|
|
0.04 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total available-for-sale securities
|
|
$ |
2,078,131 |
|
|
$ |
13,282 |
|
|
$ |
(10,428 |
) |
|
$ |
2,080,985 |
|
|
|
100.00 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment securities held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government agency/GSE
|
|
$ |
159,716 |
|
|
$ |
854 |
|
|
$ |
(2,134 |
) |
|
$ |
158,436 |
|
|
|
19.25 |
% |
|
Residential mortgage-backed securities
|
|
|
176,427 |
|
|
|
667 |
|
|
|
(382 |
) |
|
|
176,712 |
|
|
|
21.26 |
% |
|
CMO
|
|
|
225,072 |
|
|
|
- |
|
|
|
(8,641 |
) |
|
|
216,431 |
|
|
|
27.12 |
% |
|
Municipal bonds
|
|
|
268,675 |
|
|
|
2,751 |
|
|
|
(3,790 |
) |
|
|
267,636 |
|
|
|
32.37 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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|
Total held-to-maturity securities
|
|
$ |
829,890 |
|
|
$ |
4,272 |
|
|
$ |
(14,947) |
|
|
$ |
819,215 |
|
|
|
100.00 |
% |
|
|
|
|
|
|
|
|
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|
| Summary of Interest Income Earned on Investment Securities |
The following table provides information about the amount of
interest income earned on investment securities which is fully
taxable and which is exempt from regular federal income tax.
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| |
|
For the Three Months Ended
September 30, |
|
For the Nine Months Ended
September 30, |
| |
|
2018 |
|
2017 |
|
2018 |
|
2017 |
| |
|
(Dollars in
thousands) |
|
Investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
$ |
11,126 |
|
|
$ |
11,767 |
|
|
$ |
33,861 |
|
|
$ |
36,113 |
|
|
Tax-advantaged
|
|
|
395 |
|
|
|
473 |
|
|
|
1,225 |
|
|
|
1,774 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest income
from available-for-sale securities
|
|
|
11,521 |
|
|
|
12,240 |
|
|
|
35,086 |
|
|
|
37,887 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment securities held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable
|
|
|
2,961 |
|
|
|
3,111 |
|
|
|
8,887 |
|
|
|
9,591 |
|
|
Tax-advantaged
|
|
|
1,705 |
|
|
|
2,073 |
|
|
|
5,351 |
|
|
|
6,423 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest income
from held-to-maturity securities
|
|
|
4,666 |
|
|
|
5,184 |
|
|
|
14,238 |
|
|
|
16,014 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total interest income from investment
securities
|
|
$ |
16,187 |
|
|
$ |
17,424 |
|
|
$ |
49,324 |
|
|
$ |
53,901 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Summary of Continuous Unrealized Loss Position of Securities |
The tables below show the Company’s investment
securities’ gross unrealized losses and fair value by
investment category and length of time that individual securities
have been in a continuous unrealized loss position at
September 30, 2018 and December 31, 2017. Management has
reviewed individual securities to determine whether a decline in
fair value below the amortized cost basis is other-than-temporary.
The unrealized losses on these securities were primarily attributed
to changes in interest rates. The issuers of these securities have
not, to our knowledge, evidenced any cause for default on these
securities. These securities have fluctuated in value since their
purchase dates as market rates have fluctuated. However, we have
the ability to hold and do not have the intent to sell these
securities. As such, management does not deem these securities to
be Other-Than-Temporarily-Impaired (“OTTI”).
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| |
|
September 30, 2018 |
| |
|
Less Than 12 Months |
|
12 Months or Longer |
|
Total |
| |
Fair Value |
|
Gross
Unrealized
Holding
Losses |
|
Fair Value |
|
Gross
Unrealized
Holding
Losses |
|
Fair Value |
|
Gross
Unrealized
Holding
Losses |
| |
|
(Dollars in thousands) |
|
Investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage-backed securities
|
|
$ |
1,193,435 |
|
|
$ |
(24,475 |
) |
|
$ |
287,707 |
|
|
$ |
(13,733 |
) |
|
$ |
1,481,142 |
|
|
$ |
(38,208 |
) |
|
CMO/REMIC - residential
|
|
|
139,064 |
|
|
|
(3,053 |
) |
|
|
60,925 |
|
|
|
(3,114 |
) |
|
|
199,989 |
|
|
|
(6,167 |
) |
|
Municipal bonds
|
|
|
11,257 |
|
|
|
(389 |
) |
|
|
12,987 |
|
|
|
(1,202 |
) |
|
|
24,244 |
|
|
|
(1,591 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total available-for-sale securities
|
|
$ |
1,343,756 |
|
|
$ |
(27,917 |
) |
|
$ |
361,619 |
|
|
$ |
(18,049 |
) |
|
$ |
1,705,375 |
|
|
$ |
(45,966 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment securities held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government agency/GSE
|
|
$ |
99,203 |
|
|
$ |
(2,326 |
) |
|
$ |
40,539 |
|
|
$ |
(2,803 |
) |
|
$ |
139,742 |
|
|
$ |
(5,129 |
) |
|
Residential mortgage-backed securities
|
|
|
101,083 |
|
|
|
(3,206 |
) |
|
|
52,184 |
|
|
|
(2,296 |
) |
|
|
153,267 |
|
|
|
(5,502 |
) |
|
CMO
|
|
|
- |
|
|
|
- |
|
|
|
203,020 |
|
|
|
(13,960 |
) |
|
|
203,020 |
|
|
|
(13,960 |
) |
|
Municipal bonds
|
|
|
116,918 |
|
|
|
(2,143 |
) |
|
|
67,284 |
|
|
|
(5,765 |
) |
|
|
184,202 |
|
|
|
(7,908 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total held-to-maturity securities
|
|
$ |
317,204 |
|
|
$ |
(7,675 |
) |
|
$ |
363,027 |
|
|
$ |
(24,824 |
) |
|
$ |
680,231 |
|
|
$ |
(32,499 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
December 31, 2017 |
| |
|
Less Than 12 Months |
|
12 Months or Longer |
|
Total |
| |
Fair Value |
|
Gross
Unrealized
Holding
Losses |
|
Fair Value |
|
Gross
Unrealized
Holding
Losses |
|
Fair Value |
|
Gross
Unrealized
Holding
Losses |
| |
|
(Dollars in thousands) |
|
Investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage-backed securities
|
|
$ |
414,091 |
|
|
$ |
(1,828 |
) |
|
$ |
303,746 |
|
|
$ |
(6,274 |
) |
|
$ |
717,837 |
|
|
$ |
(8,102 |
) |
|
CMO/REMIC - residential
|
|
|
95,137 |
|
|
|
(487 |
) |
|
|
71,223 |
|
|
|
(1,595 |
) |
|
|
166,360 |
|
|
|
(2,082 |
) |
|
Municipal bonds
|
|
|
946 |
|
|
|
(4 |
) |
|
|
13,956 |
|
|
|
(240 |
) |
|
|
14,902 |
|
|
|
(244 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total available-for-sale securities
|
|
$ |
510,174 |
|
|
$ |
(2,319 |
) |
|
$ |
388,925 |
|
|
$ |
(8,109 |
) |
|
$ |
899,099 |
|
|
$ |
(10,428 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment securities held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government agency/GSE
|
|
$ |
18,950 |
|
|
$ |
(27 |
) |
|
$ |
43,495 |
|
|
$ |
(2,107 |
) |
|
$ |
62,445 |
|
|
$ |
(2,134 |
) |
|
Residential mortgage-backed securities
|
|
|
51,297 |
|
|
|
(188 |
) |
|
|
55,306 |
|
|
|
(194 |
) |
|
|
106,603 |
|
|
|
(382 |
) |
|
CMO
|
|
|
- |
|
|
|
- |
|
|
|
216,431 |
|
|
|
(8,641 |
) |
|
|
216,431 |
|
|
|
(8,641 |
) |
|
Municipal bonds
|
|
|
32,069 |
|
|
|
(492 |
) |
|
|
66,217 |
|
|
|
(3,298 |
) |
|
|
98,286 |
|
|
|
(3,790 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total held-to-maturity securities
|
|
$ |
102,316 |
|
|
$ |
(707 |
) |
|
$ |
381,449 |
|
|
$ |
(14,240 |
) |
|
$ |
483,765 |
|
|
$ |
(14,947 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Summary of Amortized Cost and Fair Value of Debt Securities by Contractual Maturity |
Mortgage-backed and CMO/REMIC securities are included in maturity
categories based upon estimated average lives which incorporate
estimated prepayment speeds.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
September 30, 2018 |
| |
|
Available-for-sale |
|
Held-to-maturity |
| |
|
Amortized
Cost |
|
Fair Value |
|
Amortized
Cost |
|
Fair Value |
| |
|
(Dollars in
thousands) |
|
Due in one year or less
|
|
$ |
19,806 |
|
|
$ |
19,964 |
|
|
$ |
- |
|
|
$ |
- |
|
|
Due after one year through five years
|
|
|
1,676,348 |
|
|
|
1,637,053 |
|
|
|
315,036 |
|
|
|
298,729 |
|
|
Due after five years through ten years
|
|
|
113,539 |
|
|
|
109,910 |
|
|
|
172,281 |
|
|
|
167,824 |
|
|
Due after ten years
|
|
|
41,030 |
|
|
|
39,304 |
|
|
|
271,712 |
|
|
|
260,202 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total investment securities
|
|
$ |
1,850,723 |
|
|
$ |
1,806,231 |
|
|
$ |
759,029 |
|
|
$ |
726,755 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|