Allowance for Credit Losses (Tables)

6 Months Ended

Jun. 30, 2021

Allowance for Credit Losses

Schedule of activity in the allowance by class of loans and lease

	Three Months Ended June 30, 2021
	Commercial Lending								Residential Lending
	Commercial		Commercial								Home
	and		Real				Lease		Residential		Equity
(dollars in thousands)	Industrial		Estate		Construction		Financing		Mortgage		Line		Consumer		Total
Allowance for credit losses:
Balance at beginning of period	$	27,322	$	51,691	$	10,552	$	3,197	$	38,471	$	6,668	$	62,465	$	200,366
Charge-offs		(330)		—		—		—		—		—		(3,917)		(4,247)
Recoveries		287		12		—		—		14		38		2,797		3,148
Decrease in Provision		(4,216)		(4,670)		(400)		(130)		(4,277)		(456)		(15,970)		(30,119)
Balance at end of period	$	23,063	$	47,033	$	10,152	$	3,067	$	34,208	$	6,250	$	45,375	$	169,148

	Six Months Ended June 30, 2021
	Commercial Lending								Residential Lending
	Commercial		Commercial								Home
	and		Real				Lease		Residential		Equity
(dollars in thousands)	Industrial		Estate		Construction		Financing		Mortgage		Line		Consumer		Total
Allowance for credit losses:
Balance at beginning of period	$	24,711	$	58,123	$	10,039	$	3,298	$	40,461	$	7,163	$	64,659	$	208,454
Charge-offs		(1,293)		(66)		—		—		(98)		—		(10,458)		(11,915)
Recoveries		502		15		166		—		31		62		5,452		6,228
Decrease in Provision		(857)		(11,039)		(53)		(231)		(6,186)		(975)		(14,278)		(33,619)
Balance at end of period	$	23,063	$	47,033	$	10,152	$	3,067	$	34,208	$	6,250	$	45,375	$	169,148

	Three Months Ended June 30, 2020
	Commercial Lending								Residential Lending
	Commercial		Commercial								Home
	and		Real				Lease		Residential		Equity
(dollars in thousands)	Industrial		Estate		Construction		Financing		Mortgage		Line		Consumer		Total
Allowance for credit losses:
Balance at beginning of period	$	20,884	$	42,838	$	8,824	$	851	$	30,021	$	6,556	$	56,039	$	166,013
Charge-offs		(13,974)		(2,723)		(379)		—		(14)		—		(8,907)		(25,997)
Recoveries		100		—		30		—		17		8		2,456		2,611
Increase (decrease) in Provision		14,289		13,007		(3,199)		2,986		3,850		1,071		17,489		49,493
Balance at end of period	$	21,299	$	53,122	$	5,276	$	3,837	$	33,874	$	7,635	$	67,077	$	192,120

	Six Months Ended June 30, 2020
	Commercial Lending								Residential Lending
	Commercial		Commercial								Home
	and		Real				Lease		Residential		Equity
(dollars in thousands)	Industrial		Estate		Construction		Financing		Mortgage		Line		Consumer		Unallocated		Total
Allowance for credit losses:
Balance at beginning of period	$	28,975	$	22,325	$	4,844	$	424	$	29,303	$	9,876	$	34,644	$	139	$	130,530
Adoption of ASU No. 2016-13		(16,105)		10,559		(1,803)		207		(2,793)		(4,731)		15,575		(139)		770
Charge-offs		(14,175)		(2,723)		(379)		—		(14)		(8)		(17,504)		—		(34,803)
Recoveries		320		—		140		—		152		130		4,539		—		5,281
Increase in Provision		22,284		22,961		2,474		3,206		7,226		2,368		29,823		—		90,342
Balance at end of period	$	21,299	$	53,122	$	5,276	$	3,837	$	33,874	$	7,635	$	67,077	$	—	$	192,120

Schedule of activity in the Liability for Credit Losses for Off-Balance-Sheet Financial Instruments

	Three Months Ended June 30, 2021
	Commercial Lending								Residential Lending
	Commercial		Commercial								Home
	and		Real				Lease		Residential		Equity
(dollars in thousands)	Industrial		Estate		Construction		Financing		Mortgage		Line		Consumer		Total
Reserve for unfunded commitments:
Balance at beginning of period	$	16,129	$	1,112	$	8,313	$	—	$	—	$	8,500	$	49	$	34,103
Decrease in Provision		(3,321)		(134)		(440)		—		—		(979)		(7)		(4,881)
Balance at end of period	$	12,808	$	978	$	7,873	$	—	$	—	$	7,521	$	42	$	29,222

	Six Months Ended June 30, 2021
	Commercial Lending								Residential Lending
	Commercial		Commercial								Home
	and		Real				Lease		Residential		Equity
(dollars in thousands)	Industrial		Estate		Construction		Financing		Mortgage		Line		Consumer		Total
Reserve for unfunded commitments:
Balance at beginning of period	$	11,719	$	1,328	$	9,037	$	—	$	2	$	8,452	$	65	$	30,603
Increase (decrease) in Provision		1,089		(350)		(1,164)		—		(2)		(931)		(23)		(1,381)
Balance at end of period	$	12,808	$	978	$	7,873	$	—	$	—	$	7,521	$	42	$	29,222

	Three Months Ended June 30, 2020
	Commercial Lending								Residential Lending
	Commercial		Commercial								Home
	and		Real				Lease		Residential		Equity
(dollars in thousands)	Industrial		Estate		Construction		Financing		Mortgage		Line		Consumer		Total
Reserve for unfunded commitments:
Balance at beginning of period	$	4,791	$	696	$	4,813	$	—	$	1	$	6,927	$	23	$	17,251
Increase in Provision		3,390		472		1,095		—		2		963		31		5,953
Balance at end of period	$	8,181	$	1,168	$	5,908	$	—	$	3	$	7,890	$	54	$	23,204

	Six Months Ended June 30, 2020
	Commercial Lending								Residential Lending
	Commercial		Commercial								Home
	and		Real				Lease		Residential		Equity
(dollars in thousands)	Industrial		Estate		Construction		Financing		Mortgage		Line		Consumer		Total
Reserve for unfunded commitments:
Balance at beginning of period	$	—	$	—	$	—	$	—	$	—	$	—	$	600	$	600
Adoption of ASU No. 2016-13		5,390		778		4,119		—		7		6,587		(581)		16,300
Increase (decrease) in Provision		2,791		390		1,789		—		(4)		1,303		35		6,304
Balance at end of period	$	8,181	$	1,168	$	5,908	$	—	$	3	$	7,890	$	54	$	23,204

Schedule of amortized cost basis by year of origination and credit quality indicator

The amortized cost basis by year of origination and credit quality indicator of the Company’s loans and leases as of June 30, 2021 was as follows:

															Revolving
															Loans
															Converted
	Term Loans												Revolving		to Term
	Amortized Cost Basis by Origination Year												Loans		Loans
													Amortized		Amortized
(dollars in thousands)	2021		2020		2019		2018		2017		Prior		Cost Basis		Cost Basis		Total
Commercial Lending
Commercial and Industrial
Risk rating:
Pass	$	606,765	$	422,457	$	242,554	$	136,069	$	48,828	$	207,502	$	674,340	$	23,935	$	2,362,450
Special Mention		122		8,994		33,617		12,735		1,425		4,647		14,338		376		76,254
Substandard		—		7,149		2,400		16,246		137		8,731		6,397		1,344		42,404
Other (1)		9,812		8,774		10,337		6,632		3,531		965		43,388		—		83,439
Total Commercial and Industrial		616,699		447,374		288,908		171,682		53,921		221,845		738,463		25,655		2,564,547
Commercial Real Estate
Risk rating:
Pass		288,366		342,013		571,608		557,533		449,551		1,055,803		63,775		2		3,328,651
Special Mention		—		1,482		52,852		16,081		33,022		55,933		7,604		—		166,974
Substandard		—		411		—		7,016		2,069		21,962		502		—		31,960
Other (1)		—		—		—		—		—		483		—		—		483
Total Commercial Real Estate		288,366		343,906		624,460		580,630		484,642		1,134,181		71,881		2		3,528,068
Construction
Risk rating:
Pass		49,592		97,149		296,405		173,352		62,983		70,998		55,892		—		806,371
Special Mention		—		—		494		705		—		361		—		—		1,560
Substandard		—		—		—		373		—		1,378		—		—		1,751
Other (1)		11,829		15,036		5,247		5,381		2,953		2,930		807		—		44,183
Total Construction		61,421		112,185		302,146		179,811		65,936		75,667		56,699		—		853,865
Lease Financing
Risk rating:
Pass		21,690		69,598		55,494		11,376		16,623		60,091		—		—		234,872
Special Mention		545		308		465		246		81		232		—		—		1,877
Substandard		—		2,720		1,668		260		1,072		502		—		—		6,222
Total Lease Financing		22,235		72,626		57,627		11,882		17,776		60,825		—		—		242,971
Total Commercial Lending	$	988,721	$	976,091	$	1,273,141	$	944,005	$	622,275	$	1,492,518	$	867,043	$	25,657	$	7,189,451

(continued)

															Revolving
															Loans
															Converted
	Term Loans												Revolving		to Term
	Amortized Cost Basis by Origination Year												Loans		Loans
(continued)													Amortized		Amortized
(dollars in thousands)	2021		2020		2019		2018		2017		Prior		Cost Basis		Cost Basis		Total
Residential Lending
Residential Mortgage
FICO:
740 and greater	$	570,542	$	675,163	$	329,047	$	224,827	$	293,853	$	958,515	$	—	$	—	$	3,051,947
680 - 739		68,225		86,857		50,699		43,075		42,753		144,223		—		—		435,832
620 - 679		11,867		12,564		9,988		6,352		9,310		41,478		—		—		91,559
550 - 619		—		1,018		171		1,322		1,752		11,788		—		—		16,051
Less than 550		—		1,274		—		346		2,545		2,807		—		—		6,972
No Score (3)		10,207		8,602		15,988		21,087		18,814		51,217		—		—		125,915
Other (2)		10,440		17,605		12,917		11,910		19,349		20,130		625		155		93,131
Total Residential Mortgage		671,281		803,083		418,810		308,919		388,376		1,230,158		625		155		3,821,407
Home Equity Line
FICO:
740 and greater		—		—		—		—		—		—		610,924		1,757		612,681
680 - 739		—		—		—		—		—		—		147,286		3,619		150,905
620 - 679		—		—		—		—		—		—		39,660		2,036		41,696
550 - 619		—		—		—		—		—		—		12,966		1,256		14,222
Less than 550		—		—		—		—		—		—		2,025		47		2,072
No Score (3)		—		—		—		—		—		—		3,792		—		3,792
Total Home Equity Line		—		—		—		—		—		—		816,653		8,715		825,368
Total Residential Lending		671,281		803,083		418,810		308,919		388,376		1,230,158		817,278		8,870		4,646,775
Consumer Lending
FICO:
740 and greater		82,086		97,867		100,874		77,671		38,340		16,537		112,925		284		526,584
680 - 739		50,771		70,303		73,024		48,071		26,097		12,183		70,627		747		351,823
620 - 679		21,372		31,170		37,145		25,852		17,799		9,120		31,515		1,258		175,231
550 - 619		2,887		9,729		17,206		14,016		11,217		6,263		10,652		1,234		73,204
Less than 550		322		3,826		6,934		5,439		3,757		2,295		3,184		748		26,505
No Score (3)		834		63		85		51		87		4		33,144		420		34,688
Other (2)		394		370		1,759		52		2,183		49		74,717		—		79,524
Total Consumer Lending		158,666		213,328		237,027		171,152		99,480		46,451		336,764		4,691		1,267,559
Total Loans and Leases	$	1,818,668	$	1,992,502	$	1,928,978	$	1,424,076	$	1,110,131	$	2,769,127	$	2,021,085	$	39,218	$	13,103,785

(1) Other credit quality indicators used for monitoring purposes are primarily FICO scores. The majority of the loans in this population were originated to borrowers with a prime FICO score.

(2) Other credit quality indicators used for monitoring purposes are primarily internal risk ratings. The majority of the loans in this population were graded with a “Pass” rating.

(3) No FICO scores are primarily related to loans and leases extended to non-residents.  Loans and leases of this nature are primarily secured by collateral and/or are closely monitored for performance.

The amortized cost basis by year of origination and credit quality indicator of the Company’s loans and leases as of December 31, 2020 was as follows:

															Revolving
															Loans
															Converted
	Term Loans												Revolving		to Term
	Amortized Cost Basis by Origination Year												Loans		Loans
													Amortized		Amortized
(dollars in thousands)	2020		2019		2018		2017		2016		Prior		Cost Basis		Cost Basis		Total
Commercial Lending
Commercial and Industrial
Risk rating:
Pass	$	873,639	$	324,030	$	183,329	$	73,000	$	49,886	$	94,360	$	1,058,786	$	28,853	$	2,685,883
Special Mention		20,937		10,370		20,164		2,099		279		8,316		101,183		1,549		164,897
Substandard		23,804		2,023		2,568		677		4,063		8,113		33,775		250		75,273
Other (1)		13,142		13,426		9,246		5,337		1,867		280		50,156		—		93,454
Total Commercial and Industrial		931,522		349,849		215,307		81,113		56,095		111,069		1,243,900		30,652		3,019,507
Commercial Real Estate
Risk rating:
Pass		342,845		611,243		541,104		447,366		295,426		814,398		47,604		323		3,100,309
Special Mention		1,500		63,617		26,187		33,482		37,841		61,279		2,999		—		226,905
Substandard		29		3,964		18,983		3,779		10,615		18,083		9,511		—		64,964
Other (1)		—		—		—		—		—		498		—		—		498
Total Commercial Real Estate		344,374		678,824		586,274		484,627		343,882		894,258		60,114		323		3,392,676
Construction
Risk rating:
Pass		53,931		233,730		202,808		83,792		23,171		41,536		28,386		—		667,354
Special Mention		—		508		707		4,717		—		9,172		—		—		15,104
Substandard		—		—		541		1,840		521		989		—		—		3,891
Other (1)		16,578		16,393		7,775		3,685		1,800		2,656		583		—		49,470
Total Construction		70,509		250,631		211,831		94,034		25,492		54,353		28,969		—		735,819
Lease Financing
Risk rating:
Pass		79,064		60,717		13,669		17,207		3,010		61,266		—		—		234,933
Special Mention		950		892		311		1,300		351		295		—		—		4,099
Substandard		2,708		1,677		327		1,141		—		526		—		—		6,379
Total Lease Financing		82,722		63,286		14,307		19,648		3,361		62,087		—		—		245,411
Total Commercial Lending	$	1,429,127	$	1,342,590	$	1,027,719	$	679,422	$	428,830	$	1,121,767	$	1,332,983	$	30,975	$	7,393,413

(continued)

															Revolving
															Loans
															Converted
	Term Loans												Revolving		to Term
	Amortized Cost Basis by Origination Year												Loans		Loans
(continued)													Amortized		Amortized
(dollars in thousands)	2020		2019		2018		2017		2016		Prior		Cost Basis		Cost Basis		Total
Residential Lending
Residential Mortgage
FICO:
740 and greater	$	728,807	$	384,248	$	290,484	$	361,297	$	314,971	$	830,795	$	—	$	—	$	2,910,602
680 - 739		85,151		53,090		44,616		50,703		39,230		144,537		—		—		417,327
620 - 679		15,767		7,604		11,460		9,628		7,982		43,393		—		—		95,834
550 - 619		—		1,971		2,818		2,920		4,474		10,144		—		—		22,327
Less than 550		—		861		593		2,916		594		2,138		—		—		7,102
No Score (3)		13,823		18,861		21,214		21,821		14,355		45,147		—		—		135,221
Other (2)		21,011		15,860		18,540		22,677		9,550		13,426		578		163		101,805
Total Residential Mortgage		864,559		482,495		389,725		471,962		391,156		1,089,580		578		163		3,690,218
Home Equity Line
FICO:
740 and greater		—		—		—		—		—		—		608,282		2,163		610,445
680 - 739		—		—		—		—		—		—		159,886		3,155		163,041
620 - 679		—		—		—		—		—		—		44,005		1,571		45,576
550 - 619		—		—		—		—		—		—		11,644		884		12,528
Less than 550		—		—		—		—		—		—		5,159		330		5,489
No Score (3)		—		—		—		—		—		—		4,545		—		4,545
Total Home Equity Line		—		—		—		—		—		—		833,521		8,103		841,624
Total Residential Lending		864,559		482,495		389,725		471,962		391,156		1,089,580		834,099		8,266		4,531,842
Consumer Lending
FICO:
740 and greater		113,373		122,965		99,678		54,691		24,029		6,034		114,748		275		535,793
680 - 739		83,316		90,853		66,143		36,426		16,358		4,985		76,391		773		375,245
620 - 679		40,469		48,904		33,917		24,705		11,144		3,788		36,622		1,221		200,770
550 - 619		9,125		20,274		17,693		15,126		7,825		2,883		12,980		1,458		87,364
Less than 550		3,017		10,139		9,189		6,517		3,123		1,118		5,261		799		39,163
No Score (3)		339		103		64		109		10		—		33,854		356		34,835
Other (2)		380		1,890		73		2,214		45		6,768		69,302		—		80,672
Total Consumer Lending		250,019		295,128		226,757		139,788		62,534		25,576		349,158		4,882		1,353,842
Total Loans and Leases	$	2,543,705	$	2,120,213	$	1,644,201	$	1,291,172	$	882,520	$	2,236,923	$	2,516,240	$	44,123	$	13,279,097

(1) Other credit quality indicators used for monitoring purposes are primarily FICO scores. The majority of the loans in this population were originated to borrowers with a prime FICO score.

(2) Other credit quality indicators used for monitoring purposes are primarily internal risk ratings. The majority of the loans in this population were graded with a “Pass” rating.

(3) No FICO scores are primarily related to loans and leases extended to non-residents.  Loans and leases of this nature are primarily secured by collateral and/or are closely monitored for performance.

Schedule of revolving loans that were converted to term loans

	Three Months Ended
(dollars in thousands)	June 30, 2021
Commercial and industrial	$	30
Home equity line		538
Consumer		443
Total Revolving Loans Converted to Term Loans During the Period	$	1,011

	Six Months Ended
(dollars in thousands)	June 30, 2021
Commercial and industrial	$	259
Home equity line		1,617
Consumer		936
Total Revolving Loans Converted to Term Loans During the Period	$	2,812

	Three Months Ended
(dollars in thousands)	June 30, 2020
Commercial and industrial	$	294
Home equity line		3,928
Total Revolving Loans Converted to Term Loans During the Period	$	4,222

	Six Months Ended
(dollars in thousands)	June 30, 2020
Commercial and industrial	$	28,522
Residential mortgage		296
Home equity line		3,928
Total Revolving Loans Converted to Term Loans During the Period	$	32,746

Schedule of aging analyses of past due loans and leases

	June 30, 2021
	Past Due												Loans and
					Greater								Leases Past
					Than or								Due 90 Days
	30-59		60-89		Equal to								or More and
	Days		Days		90 Days		Total				Total Loans		Still Accruing
(dollars in thousands)	Past Due		Past Due		Past Due		Past Due		Current		and Leases		Interest
Commercial and industrial	$	6,835	$	380	$	1,140	$	8,355	$	2,556,192	$	2,564,547	$	494
Commercial real estate		623		—		937		1,560		3,526,508		3,528,068		—
Construction		—		202		60		262		853,603		853,865		60
Lease financing		—		—		—		—		242,971		242,971		—
Residential mortgage		3,533		1,290		4,113		8,936		3,812,471		3,821,407		—
Home equity line		1,310		435		4,680		6,425		818,943		825,368		4,680
Consumer		12,492		2,210		1,134		15,836		1,251,723		1,267,559		1,134
Total	$	24,793	$	4,517	$	12,064	$	41,374	$	13,062,411	$	13,103,785	$	6,368

	December 31, 2020
	Past Due												Loans and
					Greater								Leases Past
					Than or								Due 90 Days
	30-59		60-89		Equal to								or More and
	Days		Days		90 Days		Total				Total Loans		Still Accruing
(dollars in thousands)	Past Due		Past Due		Past Due		Past Due		Current		and Leases		Interest
Commercial and industrial	$	2,585	$	604	$	2,626	$	5,815	$	3,013,692	$	3,019,507	$	2,108
Commercial real estate		75		2,568		963		3,606		3,389,070		3,392,676		882
Construction		779		376		2,137		3,292		732,527		735,819		93
Lease financing		—		—		—		—		245,411		245,411		—
Residential mortgage		3,382		4,125		3,372		10,879		3,679,339		3,690,218		—
Home equity line		1,375		743		4,818		6,936		834,688		841,624		4,818
Consumer		18,492		5,205		3,266		26,963		1,326,879		1,353,842		3,266
Total	$	26,688	$	13,621	$	17,182	$	57,491	$	13,221,606	$	13,279,097	$	11,167

Schedule of amortized cost basis of loans and leases on nonaccrual status

	June 30, 2021
	Nonaccrual
	Loans
	and Leases
	With No		Nonaccrual
	Allowance		Loans
(dollars in thousands)	for Credit Losses		and Leases
Commercial and industrial	$	—	$	828
Commercial real estate		857		937
Residential mortgage		1,877		7,140
Total Nonaccrual Loans and Leases	$	2,734	$	8,905

	December 31, 2020
	Nonaccrual
	Loans
	and Leases
	With No		Nonaccrual
	Allowance		Loans
(dollars in thousands)	for Credit Losses		and Leases
Commercial and industrial	$	—	$	518
Commercial real estate		—		80
Construction		1,840		2,043
Residential mortgage		1,316		6,441
Total Nonaccrual Loans and Leases	$	3,156	$	9,082

Schedule of information related to loans modified in a TDR

	Three Months Ended					Six Months Ended
	June 30, 2021					June 30, 2021
	Number of	Recorded		Related		Number of	Recorded		Related
(dollars in thousands)	Contracts	Investment(1)		ACL		Contracts	Investment(1)		ACL
Commercial and industrial	1	$	246	$	13	15	$	2,545	$	170
Commercial real estate	1		382		98	1		382		98
Construction	—		—		—	2		708		86
Residential mortgage	3		751		143	13		5,629		240
Consumer	186		1,797		407	1,728		15,868		2,274
Total	191	$	3,176	$	661	1,759	$	25,132	$	2,868

	Three Months Ended					Six Months Ended
	June 30, 2020					June 30, 2020
	Number of	Recorded		Related		Number of	Recorded		Related
(dollars in thousands)	Contracts	Investment(1)		Allowance		Contracts	Investment(1)		ACL
Commercial and industrial	—	$	—	$	—	1	$	500	$	30
Total	—	$	—	$	—	1	$	500	$	30

Schedule of TDRs that defaulted in period within 12 months of their permanent modification date

	Three Months Ended			Six Months Ended			Three Months Ended			Six Months Ended
	June 30, 2021			June 30, 2021			June 30, 2020			June 30, 2020
	Number of	Recorded		Number of	Recorded		Number of	Recorded		Number of	Recorded
(dollars in thousands)	Contracts	Investment(1)		Contracts	Investment(1)		Contracts	Investment(1)		Contracts	Investment(1)
Commercial and industrial	—	$	—	2	$	387	1	$	500	1	$	500
Construction	—		—	1		361	—		—	—		—
Residential mortgage	1		371	1		371	—		—	—		—
Consumer	135		1,944	158		2,260	—		—	—		—
Total	136	$	2,315	162	$	3,379	1	$	500	1	$	500

(1) The recorded investment balances reflect all partial paydowns and charge-offs since the modification date and do not include TDRs that have been fully paid off, charged off, or foreclosed upon by the end of the period.