Assets and Liabilities Measured at Fair Value on a Recurring and Non-Recurring Basis |
The following tables present the assets and liabilities that are measured at fair value on a recurring and nonrecurring basis by level within the fair value hierarchy as reported on the consolidated statements of financial condition at June 30, 2020 and December 31, 2019. The assets presented under “nonrecurring fair value measurements” in the tables below are not measured at fair value on an ongoing basis but are subject to fair value adjustments under certain circumstances (e.g., when an impairment loss is recognized).
| | | | | | | | | | | | | | | | | | June 30, 2020 | | Fair Value Measurements at Reporting Date Using: | | Quoted Prices in Active Markets for Identical Assets (Level 1) | | Significant Other Observable Inputs (Level 2) | | Significant Unobservable Inputs (Level 3) | | (in thousands) | Recurring fair value measurements: | | Assets | | | | | | | | Investment securities: | | | | | | | | Equity securities (1) | $ | 54,379 |
| | $ | 46,897 |
| | $ | — |
| | $ | — |
| Available for sale: | | | | | | | | U.S. Treasury securities | 52,621 |
| | 52,621 |
| | — |
| | — |
| U.S. government agency securities | 27,924 |
| | — |
| | 27,924 |
| | — |
| Obligations of states and political subdivisions | 147,505 |
| | — |
| | 146,140 |
| | 1,365 |
| Residential mortgage-backed securities | 1,382,726 |
| | — |
| | 1,382,726 |
| | — |
| Corporate and other debt securities | 78,612 |
| | — |
| | 78,612 |
| | — |
| Total available for sale debt securities | 1,689,388 |
| | 52,621 |
| | 1,635,402 |
| | 1,365 |
| Loans held for sale (2) | 120,599 |
| | — |
| | 120,599 |
| | — |
| Other assets (3) | 468,275 |
| | — |
| | 468,275 |
| | — |
| Total assets | $ | 2,332,641 |
| | $ | 99,518 |
|
| $ | 2,224,276 |
| | $ | 1,365 |
| Liabilities | | | | | | | | Other liabilities (3) | $ | 170,273 |
| | $ | — |
| | $ | 170,273 |
| | $ | — |
| Total liabilities | $ | 170,273 |
| | $ | — |
| | $ | 170,273 |
| | $ | — |
| Non-recurring fair value measurements: | | | | | | | | Collateral dependent loans | $ | 42,807 |
| | $ | — |
| | $ | — |
| | $ | 42,807 |
| Loan servicing rights | 14,373 |
| | — |
| | — |
| | 14,373 |
| Foreclosed assets | 6,679 |
| | — |
| | — |
| | 6,679 |
| Total | $ | 63,859 |
| | $ | — |
| | $ | — |
| | $ | 63,859 |
|
| | | | | | | | | | | | | | | | | | | | Fair Value Measurements at Reporting Date Using: | | December 31, 2019 | | Quoted Prices in Active Markets for Identical Assets (Level 1) | | Significant Other Observable Inputs (Level 2) | | Significant Unobservable Inputs (Level 3) | | (in thousands) | Recurring fair value measurements: | | | | | | | | Assets | | | | | | | | Investment securities: | | | | | | | | Equity securities at fair value | $ | 41,410 |
| | $ | 41,410 |
| | $ | — |
| | $ | — |
| Available for sale: | | | | | | | | U.S. Treasury securities | 50,943 |
| | 50,943 |
| | — |
| | — |
| U.S. government agency securities | 29,243 |
| | — |
| | 29,243 |
| | — |
| Obligations of states and political subdivisions | 170,051 |
| | — |
| | 169,371 |
| | 680 |
| Residential mortgage-backed securities | 1,254,786 |
| | — |
| | 1,254,786 |
| | — |
| Corporate and other debt securities | 61,778 |
| | — |
| | 61,778 |
| | — |
| Total available for sale | 1,566,801 |
| | 50,943 |
| | 1,515,178 |
| | 680 |
| Loans held for sale (2) | 76,113 |
| | — |
| | 76,113 |
| | — |
| Other assets (3) | 158,532 |
| | — |
| | 158,532 |
| | — |
| Total assets | $ | 1,842,856 |
| | $ | 92,353 |
| | $ | 1,749,823 |
| | $ | 680 |
| Liabilities | | | | | | | | Other liabilities (3) | $ | 43,926 |
| | $ | — |
| | $ | 43,926 |
| | $ | — |
| Total liabilities | $ | 43,926 |
| | $ | — |
| | $ | 43,926 |
| | $ | — |
| Non-recurring fair value measurements: | | | | | | | | Collateral dependent impaired loans | $ | 39,075 |
| | $ | — |
| | $ | — |
| | $ | 39,075 |
| Loan servicing rights | 1,591 |
| | — |
| | — |
| | 1,591 |
| Foreclosed assets | 10,807 |
| | — |
| | — |
| | 10,807 |
| Total | $ | 51,473 |
| | $ | — |
| | $ | — |
| | $ | 51,473 |
|
| | (1) | Includes equity securities measured at net asset value (NAV) per share (or its equivalent) practical expedient have not been classified in the fair value hierarchy totaling $7.5 million at June 30, 2020. |
| | (2) | Represents residential mortgage loans originated for sale that are carried at fair value and had contractual unpaid principal balances totaling approximately $115.0 million and $74.5 million at June 30, 2020 and December 31, 2019, respectively. |
| | (3) | Derivative financial instruments are included in this category. |
|
Carrying Amounts and Estimated Fair Values of Financial Instruments |
The carrying amounts and estimated fair values of financial instruments not measured and not reported at fair value on the consolidated statements of financial condition at June 30, 2020 and December 31, 2019 were as follows: | | | | | | | | | | | | | | | | | | | | Fair Value Hierarchy | | June 30, 2020 | | December 31, 2019 | | Carrying Amount | | Fair Value | | Carrying Amount | | Fair Value | | | | (in thousands) | Financial assets | | | | | | | | | | Cash and due from banks | Level 1 | | $ | 388,753 |
| | $ | 388,753 |
| | $ | 256,264 |
| | $ | 256,264 |
| Interest bearing deposits with banks | Level 1 | | 1,521,572 |
| | 1,521,572 |
| | 178,423 |
| | 178,423 |
| Investment securities held to maturity: | | | | | | | | | | U.S. Treasury securities | Level 1 | | 138,268 |
| | 147,415 |
| | 138,352 |
| | 144,113 |
| U.S. government agency securities | Level 2 | | 6,657 |
| | 6,921 |
| | 7,345 |
| | 7,362 |
| Obligations of states and political subdivisions | Level 2 | | 466,836 |
| | 481,736 |
| | 500,705 |
| | 513,607 |
| Residential mortgage-backed securities | Level 2 | | 1,451,581 |
| | 1,495,599 |
| | 1,620,119 |
| | 1,629,572 |
| Trust preferred securities | Level 2 | | 37,335 |
| | 29,900 |
| | 37,324 |
| | 31,382 |
| Corporate and other debt securities | Level 2 | | 32,750 |
| | 33,305 |
| | 32,250 |
| | 32,684 |
| Total investment securities held to maturity (1) | | | 2,133,427 |
| | 2,194,876 |
| | 2,336,095 |
| | 2,358,720 |
| Net loans | Level 3 | | 32,004,997 |
| | 31,815,938 |
| | 29,537,449 |
| | 28,964,396 |
| Accrued interest receivable | Level 1 | | 122,807 |
| | 122,807 |
| | 105,637 |
| | 105,637 |
| Federal Reserve Bank and Federal Home Loan Bank stock (2) | Level 2 | | 282,755 |
| | 282,755 |
| | 214,421 |
| | 214,421 |
| Financial liabilities | | | | | | | | | | Deposits without stated maturities | Level 1 | | 23,155,233 |
| | 23,155,233 |
| | 19,467,892 |
| | 19,467,892 |
| Deposits with stated maturities | Level 2 | | 8,272,772 |
| | 8,335,442 |
| | 9,717,945 |
| | 9,747,867 |
| Short-term borrowings | Level 2 | | 2,082,880 |
| | 2,083,500 |
| | 1,093,280 |
| | 1,081,879 |
| Long-term borrowings | Level 2 | | 2,907,535 |
| | 3,023,213 |
| | 2,122,426 |
| | 2,181,401 |
| Junior subordinated debentures issued to capital trusts | Level 2 | | 55,891 |
| | 44,231 |
| | 55,718 |
| | 53,889 |
| Accrued interest payable (3) | Level 1 | | 19,148 |
| | 19,148 |
| | 33,066 |
| | 33,066 |
|
| | (1) | The carrying amount is presented gross without the allowance for credit losses. |
| | (2) | Included in other assets. |
| | (3) | Included in accrued expenses and other liabilities. |
|