Derivative Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments According to Type of Hedge Designation

Our derivative financial instruments according to the type of hedge in which they are designated follows:

	June 30, 2024
	Notional Amount		Average Maturity (years)	Fair Value
	(Dollars in thousands)
Fair value hedge designation
Pay-fixed interest rate swap agreement - commercial	$	5,842	4.9	$	423
Pay-fixed interest rate swap agreements - securities available for sale	148,895		3.4	16,141
Pay-fixed interest rate swap agreements - installment	100,000		2.9	680
Pay-fixed interest rate swap agreements - mortgage	100,000		3.8	161
Interest rate cap agreements - securities available for sale	40,970		3.8	555
Total	$	395,707	3.4	$	17,960
Cash flow hedge designation
Interest rate floor agreements - commercial	$	300,000	2.8	$	3,908
No hedge designation
Rate-lock mortgage loan commitments	$	27,332	0.1	$	142
Mandatory commitments to sell mortgage loans	42,483		0.1	147
Pay-fixed interest rate swap agreements - commercial	421,742		5.4	13,718
Pay-variable interest rate swap agreements - commercial	421,742		5.4	(13,718)
Total	$	913,299	5.0	$	289

	December 31, 2023
	Notional Amount		Average Maturity (years)	Fair Value
	(Dollars in thousands)
Fair value hedge designation
Pay-fixed interest rate swap agreement - commercial	$	6,033	5.4	$	349
Pay-fixed interest rate swap agreements - securities available for sale	148,895		3.9	15,287
Pay-fixed interest rate swap agreements - installment	100,000		3.4	(1,228)
Pay-fixed interest rate swap agreements - mortgage	100,000		4.3	(2,131)
Interest rate cap agreements - securities available for sale	40,970		4.3	456
Total	$	395,898	3.9	$	12,733
Cash flow hedge designation
Interest rate floor agreements - commercial	$	150,000	3.5	$	4,221
No hedge designation
Rate-lock mortgage loan commitments	18,081		0.1	173
Mandatory commitments to sell mortgage loans	30,442		0.1	(279)
Pay-fixed interest rate swap agreements - commercial	379,012		5.9	7,169
Pay-variable interest rate swap agreements - commercial	379,012		5.9	(7,169)
Total	$	806,547	5.5	$	(106)

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

Fair Values of Derivative Instruments

	Asset Derivatives						Liability Derivatives
	June 30, 2024			December 31, 2023			June 30, 2024			December 31, 2023
	Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value		Balance Sheet Location	Fair Value
	(In thousands)
Derivatives designated as hedging instruments
Pay-fixed interest rate swap agreements	Other assets	$	17,605	Other assets	$	15,636	Other liabilities	$	200	Other liabilities	$	3,359
Interest rate cap agreements	Other assets	555		Other assets	456		Other liabilities	—		Other liabilities	—
Interest rate floor agreements	Other assets	3,908		Other assets	4,221		Other liabilities	—		Other liabilities	—
		22,068			20,313			200			3,359
Derivatives not designated as hedging instruments
Rate-lock mortgage loan commitments	Other assets	142		Other assets	173		Other liabilities	—		Other liabilities	—
Mandatory commitments to sell mortgage loans	Other assets	147		Other assets	—		Other liabilities	—		Other liabilities	279
Pay-fixed interest rate swap agreements - commercial	Other assets	16,392		Other assets	12,683		Other liabilities	2,674		Other liabilities	5,514
Pay-variable interest rate swap agreements - commercial	Other assets	2,674		Other assets	5,514		Other liabilities	16,392		Other liabilities	12,683
		19,355			18,370			19,066			18,476
Total derivatives		$	41,423		$	38,683		$	19,266		$	21,835

Derivative Instruments, Gain (Loss)

The effect of derivative financial instruments on the Condensed Consolidated Statements of Operations follows:

	Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion)				Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Income (Effective Portion)	Loss Reclassified from Accumulated Other Comprehensive Loss into Income (Effective Portion)					Gain (Loss) Recognized in Income
	Three Month Periods Ended June 30,					Three Month Periods Ended June 30,				Location of Gain (Loss) Recognized in Income	Three Month Periods Ended June 30,
	2024		2023			2024		2023			2024		2023
											(In thousands)
Fair Value Hedges
Pay-fixed interest rate swap agreement - commercial										Interest and fees on loans	$	(5)	$	118
Pay-fixed interest rate swap agreements - securities available for sale										Interest on securities available for sale - tax - exempt	(694)		2,368
Pay-fixed interest rate swap agreements - Installment										Interest and fees on loans	220		1,018
Pay-fixed interest rate swap agreements - Mortgage										Interest and fees on loans	290		—
Pay-variable interest rate swap agreements - FHLB Advance										Interest expense - other borrowings and subordinated debt and debentures	25		—
Interest rate cap agreements - securities available for sale	$	23	$	159	Interest on securities available for sale - tax - exempt	$	(56)	$	(68)	Interest on securities available for sale - tax - exempt	(2)		196
Interest rate cap agreements - installment	—		(152)		Interest and fees on loans	—		—		Interest and fees on loans	—		—
Total	$	23	$	7		$	(56)	$	(68)		$	(166)	$	3,700
Cash Flow Hedges
Interest rate floor agreements - commercial	$	(486)	$	—	Interest and fees on loans	$	(293)	$	—	Interest and fees on loans	$	(293)	$	—
No hedge designation
Rate-lock mortgage loan commitments										Net gains on mortgage loans	$	(125)	$	380
Mandatory commitments to sell mortgage loans										Net gains on mortgage loans	197		677
Pay-fixed interest rate swap agreements - commercial										Interest income	579		$	4,689
Pay-variable interest rate swap agreements - commercial										Interest income	(579)		(4,689)
Pay-variable interest rate swap agreement										Non-interest expense - other	—		$	6
Total											$	72	$	1,063

	Gain (Loss) Recognized in Other Comprehensive Income (Effective Portion)				Location of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Income (Effective Portion)	Loss Reclassified from Accumulated Other Comprehensive Loss into Income (Effective Portion)					Gain (Loss) Recognized in Income
	Six Month Periods Ended June 30,					Six Month Periods Ended June 30,				Location of Gain (Loss) Recognized in Income	Six Month Periods Ended June 30,
	2024		2023			2024		2023			2024		2023
											(In thousands)
Fair Value Hedges
Pay-fixed interest rate swap agreement - commercial										Interest and fees on loans	$	74	$	17
Pay-fixed interest rate swap agreements - securities available for sale										Interest on securities available for sale - tax - exempt	854		(376)
Pay-fixed interest rate swap agreements - Installment										Interest and fees on loans	1,908		597
Pay-fixed interest rate swap agreements - Mortgage										Interest and fees on loans	2,292		—
Pay-variable interest rate swap agreements - FHLB Advance										Interest expense - other borrowings and subordinated debt and debentures	—		—
Interest rate cap agreements - securities available for sale	$	61	$	(413)	Interest on securities available for sale - tax - exempt	$	(110)	$	(152)	Interest on securities available for sale - tax - exempt	38		247
Interest rate cap agreements - installment	—		—		Interest and fees on loans	—		—		Interest and fees on loans	—		(14)
Total	$	61	$	(413)		$	(110)	$	(152)		$	5,166	$	471
Cash Flow Hedges
Interest rate floor agreements - commercial	$	(2,753)	$	—	Interest and fees on loans	$	(505)	$	—	Interest and fees on loans	$	(505)	$	—
No hedge designation
Rate-lock mortgage loan commitments										Net gains on mortgage loans	$	(31)	$	1,063
Mandatory commitments to sell mortgage loans										Net gains on mortgage loans	426		(69)
Pay-fixed interest rate swap agreements - commercial										Interest income	6,549		(885)
Pay-variable interest rate swap agreements - commercial										Interest income	(6,549)		885
Pay-variable interest rate swap agreement										Non-interest expense - other	—		(12)
Total											$	395	$	982