Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2018

Schedule of amounts recognized in other comprehensive income from benefit plans


	Pension Benefits						Other Benefits
(dollars in thousands)	2018		2017		2016		2018		2017		2016
Amounts arising during the year:
Net loss (gain) on pension assets	$	12,209	$	(8,619)	$	3,350	$	—	$	—	$	—
Net (gain) loss on pension obligations		(6,619)		9,757		9,653		(2,755)		(34)		(337)
Change due to the Reorganization Transactions		—		—		81		—		—		—
Reclassification adjustments recognized as components of net periodic benefit cost during the year:
Net loss		(7,315)		(8,625)		(7,629)		—		—		—
Prior service credit		—		—		—		429		429		429
Amount recognized in other comprehensive income	$	(1,725)	$	(7,487)	$	5,455	$	(2,326)	$	395	$	92

Schedule of amounts within accumulated other comprehensive income not yet recognized in net periodic benefit cost


	Pension Benefits				Other Benefits
(dollars in thousands)	2018		2017		2018		2017
Net actuarial loss (gain)	$	41,822	$	43,547	$	(2,507)	$	248
Prior service credit		—		—		(480)		(909)
Total, pretax effect		41,822		43,547		(2,987)		(661)
Tax impact		(11,260)		(17,201)		804		261
Ending balance in accumulated other comprehensive loss	$	30,562	$	26,346	$	(2,183)	$	(400)

Schedule of amounts within accumulated other comprehensive income expected to be recognized as components of net periodic benefit cost


	Pension		Other
(dollars in thousands)	Benefits		Benefits
Amortization of prior service credit	$	—	$	(429)
Amortization of net actuarial loss (gain)		6,320		(304)
Total to be recognized in 2019	$	6,320	$	(733)

Summary of changes to projected or accumulated benefit obligation


	Pension Benefits				Other Benefits
(dollars in thousands)	2018		2017		2018		2017
Benefit obligation at beginning of year	$	212,981	$	209,407	$	21,449	$	20,429
Service cost		696		629		750		738
Interest cost		7,362		8,297		739		776
Actuarial (gain) loss		(6,619)		9,757		(2,755)		(34)
Benefit payments		(15,348)		(15,109)		(467)		(460)
Benefit obligation at end of year	$	199,072	$	212,981	$	19,716	$	21,449

Summary of changes to fair value of plan assets


	Pension Benefits				Other Benefits
(dollars in thousands)	2018		2017		2018		2017
Fair value of plan assets at beginning of year	$	114,220	$	108,550	$	—	$	—
Actual return on plan assets		(6,936)		13,623		—		—
Benefit payments from trust		(7,703)		(7,953)		—		—
Fair value of plan assets at end of year	$	99,581	$	114,220	$	—	$	—

Summary of funded status of plans


	Pension Benefits				Other Benefits
(dollars in thousands)	2018		2017		2018		2017
Pension assets for overfunded plans	$	8,702	$	14,008	$	—	$	—
Pension liabilities for underfunded plans		(108,193)		(112,769)		(19,716)		(21,449)
Funded status	$	(99,491)	$	(98,761)	$	(19,716)	$	(21,449)

Schedule of projected and accumulated benefit obligation and fair value of plan assets


	Funded Pension Plan				Unfunded Pension Plans				Total Pension Plans
(dollars in thousands)	2018		2017		2018		2017		2018		2017
Projected benefit obligation	$	90,879	$	100,212	$	108,193	$	112,769	$	199,072	$	212,981
Accumulated benefit obligation		90,879		100,212		106,357		110,039		197,236		210,251
Fair value of plan assets		99,581		114,220		—		—		99,581		114,220
Overfunded (underfunded) portion of PBO/ABO		8,702		14,008		(108,193)		(112,769)		(99,491)		(98,761)

Schedule of components of net periodic benefit cost


	Income line item where recognized in	Pension Benefits						Other Benefits
(dollars in thousands)	the consolidated statements of income	2018		2017		2016		2018		2017		2016
Service cost	Salaries and employee benefits	$	696	$	629	$	944	$	750	$	738	$	697
Interest cost	Other noninterest expense		7,362		8,297		8,784		739		776		812
Expected return on plan assets	Other noninterest expense		(5,273)		(5,003)		(4,698)		—		—		—
Prior service credit	Other noninterest expense		—		—		—		(429)		(429)		(429)
Recognized net actuarial loss	Other noninterest expense		7,315		8,625		7,629		—		—		—
Total net periodic benefit cost		$	10,100	$	12,548	$	12,659	$	1,060	$	1,085	$	1,080

Schedule of funded pension benefit amounts included in pension benefits


	Funded Pension Benefits
(dollars in thousands)	2018		2017		2016
Interest cost	$	3,420	$	3,922	$	4,182
Expected return on plan assets		(5,273)		(5,003)		(4,698)
Recognized net actuarial loss		2,600		4,316		3,443
Total net periodic benefit cost	$	747	$	3,235	$	2,927

Schedule of assumptions used to determine benefit obligations and net periodic benefit cost

The following weighted‑average assumptions were used to determine benefit obligations at December 31, 2018 and 2017:


	FHI ERP Pension Benefits				SERP Pension Benefits				Other Benefits
	2018		2017		2018		2017		2018		2017
Discount rate	4.30	%	3.51	%	4.30	%	3.51	%	4.30	%	3.51	%
Rate of compensation increase	NA		NA		4.00	%	4.00	%	NA		NA

Weighted‑average assumptions used to determine net periodic benefit cost for the years ended December 31, 2018, 2017 and 2016 were as follows:


	FHI ERP Pension Benefits						SERP Pension Benefits						Other Benefits
	2018		2017		2016		2018		2017		2016		2018		2017		2016
Discount rate	3.51	%	4.05	%	4.40	%	3.51	%	4.05	%	4.40	%	3.51	%	4.05	%	4.40	%
Expected long-term return on plan assets	4.75	%	4.75	%	5.50	%	NA		NA		NA		NA		NA		NA
Rate of compensation increase	NA		NA		NA		4.00	%	4.00	%	4.00	%	NA		NA		NA

Schedule of assumed healthcare cost trend rates


	2018		2017		2016
Healthcare cost trend rate assumed for next year	7.00	%	7.00	%	7.25	%
Rate to which the cost trend is assumed to decline (the ultimate trend rate)	5.00	%	5.00	%	5.00	%
Year that the rate reaches the ultimate trend rate	2026		2026		2026

Schedule of pre-tax effect of one percentage point change in assumed healthcare cost trend rates


	One Percentage-		One Percentage-
(dollars in thousands)	Point Increase		Point Decrease
Effect on 2018 total of service and interest cost components	$	77	$	(69)
Effect on postretirement benefit obligation at December 31, 2018		424		(393)

Schedule of allocation of employee retirement plan assets


	Asset Allocation
	2018		2017
Equity securities	29	%	32	%
Debt securities	69	%	66	%
Other securities	2	%	2	%
Total	100	%	100	%

Schedule of target allocation of employee retirement plan assets


	Target
	Allocation
Equity securities	30	%
Debt securities	68	%
Other securities	2	%

Schedule of expected future benefit payments


	Pension		Other
(dollars in thousands)	Benefits		Benefits
2019	$	17,183	$	1,205
2020		16,907		1,318
2021		16,514		1,411
2022		16,096		1,505
2023		15,524		1,592
2024 to 2028		72,761		8,495

Schedule of fair value of employee retirement plan assets


	December 31, 2018
	Quoted Prices		Significant
	In Active		Other		Significant
	Markets for		Observable		Unobservable
	Identical Assets		Inputs		Inputs
(dollars in thousands)	(Level 1)		(Level 2)		(Level 3)		Total
Asset classes:
Cash and cash equivalents	$	2,428	$	—	$	—	$	2,428
Fixed income - U.S. Treasury securities		—		4,450		—		4,450
Fixed income - U.S. government agency securities		—		3,565		—		3,565
Fixed income - U.S. corporate securities		—		53,721		—		53,721
Fixed income - municipal securities		—		451		—		451
Fixed income - mutual funds		6,272		—		—		6,272
Equity - large-cap mutual funds		8,831		—		—		8,831
Equity - large-cap exchange-traded funds		10,482		—		—		10,482
Equity - mid-cap exchange-traded funds		2,544		—		—		2,544
Equity - small-cap exchange-traded funds		1,176		—		—		1,176
Equity - international funds		5,661		—		—		5,661
Total	$	37,394	$	62,187	$	—	$	99,581


	December 31, 2017
	Quoted Prices		Significant
	In Active		Other		Significant
	Markets for		Observable		Unobservable
	Identical Assets		Inputs		Inputs
(dollars in thousands)	(Level 1)		(Level 2)		(Level 3)		Total
Asset classes:
Cash and cash equivalents	$	1,942	$	—	$	—	$	1,942
Fixed income - U.S. Treasury securities		—		4,533		—		4,533
Fixed income - U.S. government agency securities		—		4,072		—		4,072
Fixed income - U.S. corporate securities		—		59,786		—		59,786
Fixed income - municipal securities		—		474		—		474
Fixed income - mutual funds		7,044		—		—		7,044
Equity - large-cap mutual funds		10,645		—		—		10,645
Equity - large-cap exchange-traded funds		13,048		—		—		13,048
Equity - mid-cap exchange-traded funds		3,436		—		—		3,436
Equity - small-cap exchange-traded funds		1,618		—		—		1,618
Equity - international funds		7,622		—		—		7,622
Total	$	45,355	$	68,865	$	—	$	114,220

Schedule of changes in accumulated other comprehensive loss


			Income
			Tax
	Pre-tax		Benefit		Net of
(dollars in thousands)	Amount		(Expense)		Tax
Accumulated other comprehensive loss at December 31, 2017	$	(159,423)	$	63,040	$	(96,383)
Year ended December 31, 2018
Early adoption of ASU No. 2018-02		—		(20,068)		(20,068)
Pension and other benefits:
Net actuarial losses arising during the year		(2,835)		763		(2,072)
Prior service credit		(429)		116		(313)
Amortization of net loss included in net income		7,315		(1,970)		5,345
Net change in pension and other benefits		4,051		(1,091)		2,960
Investment securities:
Unrealized net losses arising during the year		(43,545)		11,686		(31,859)
Reclassification of net losses to net income:
OTTI losses on available-for-sale debt securities, net		24,085		(6,485)		17,600
Net change in investment securities		(19,460)		5,201		(14,259)
Cash flow derivative hedges:
Unrealized net gains on cash flow derivative hedges arising during the year		1,475		(397)		1,078
Reclassification of net realized gains included in net income		(7,558)		2,035		(5,523)
Net change in cash flow derivative hedges		(6,083)		1,638		(4,445)
Other comprehensive loss		(21,492)		5,748		(15,744)
Accumulated other comprehensive loss at December 31, 2018	$	(180,915)	$	48,720	$	(132,195)


			Income
			Tax
	Pre-tax		Benefit		Net of
(dollars in thousands)	Amount		(Expense)		Tax
Accumulated other comprehensive loss at December 31, 2016	$	(145,472)	$	57,461	$	(88,011)
Year ended December 31, 2017
Pension and other benefits:
Net actuarial losses arising during the year		(1,104)		436		(668)
Prior service credit		(429)		170		(259)
Amortization of net loss included in net income		8,625		(3,407)		5,218
Net change in pension and other benefits		7,092		(2,801)		4,291
Investment securities:
Unrealized net losses arising during the year		(23,516)		9,357		(14,159)
Net change in investment securities		(23,516)		9,357		(14,159)
Cash flow derivative hedges:
Unrealized net gains on cash flow derivative hedges arising during the year		2,473		(977)		1,496
Net change in cash flow derivative hedges		2,473		(977)		1,496
Other comprehensive loss		(13,951)		5,579		(8,372)
Accumulated other comprehensive loss at December 31, 2017	$	(159,423)	$	63,040	$	(96,383)


			Income
			Tax
	Pre-tax		Benefit		Net of
(dollars in thousands)	Amount		(Expense)		Tax
Accumulated other comprehensive loss at December 31, 2015	$	(84,722)	$	33,463	$	(51,259)
Year ended December 31, 2016
Pension and other benefits:
Net actuarial losses arising during the year		(12,666)		5,004		(7,662)
Prior service credit		(429)		169		(260)
Amortization of net loss included in net income		7,629		(3,012)		4,617
Change due to Reorganization Transactions		(81)		32		(49)
Net change in pension and other benefits		(5,547)		2,193		(3,354)
Investment securities:
Unrealized net losses arising during the year		(30,323)		11,974		(18,349)
Reclassification of net gains to net income:
Investment securities gains, net		(27,277)		10,774		(16,503)
Net change in investment securities		(57,600)		22,748		(34,852)
Cash flow derivative hedges:
Unrealized net gains on cash flow derivative hedges arising during the year		2,397		(943)		1,454
Net change in cash flow derivative hedges		2,397		(943)		1,454
Other comprehensive loss		(60,750)		23,998		(36,752)
Accumulated other comprehensive loss at December 31, 2016	$	(145,472)	$	57,461	$	(88,011)

Pension and other benefits, net actuarial losses arising during the year

Benefit plans

Schedule of changes in accumulated other comprehensive loss


	Pension Benefits				Other Benefits
(dollars in thousands)	2018		2017		2018		2017
Net actuarial loss at beginning of year	$	43,547	$	51,034	$	248	$	282
Amortization cost		(7,315)		(8,625)		—		—
Liability (gain) loss		(6,619)		9,757		(2,755)		(34)
Asset loss (gain)		12,209		(8,619)		—		—
Net actuarial loss (gain) at end of year	$	41,822	$	43,547	$	(2,507)	$	248