| 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 non-recurring basis by level within the fair value hierarchy as reported on the consolidated statements of financial condition at September 30, 2024 and December 31, 2023. The assets presented under “non-recurring 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). | | | | | | | | | | | | | | | | | | | | | | | | | | September 30,
2024 | | 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 | $ | 23,985 | | | $ | 23,985 | | | $ | — | | | $ | — | | Equity securities at net asset value (NAV) | 11,507 | | | — | | | — | | | — | | | Trading debt securities | 3,996 | | | 3,996 | | | — | | | — | | | Available for sale debt securities: | | | | | | | | | U.S. Treasury securities | 296,061 | | | 296,061 | | | — | | | — | | | U.S. government agency securities | 23,212 | | | — | | | 23,212 | | | — | | | Obligations of states and political subdivisions | 201,846 | | | — | | | 201,846 | | | — | | | Residential mortgage-backed securities | 1,895,868 | | | — | | | 1,895,868 | | | — | | | Corporate and other debt securities | 185,273 | | | — | | | 185,273 | | | — | | | Total available for sale debt securities | 2,602,260 | | | 296,061 | | | 2,306,199 | | | — | | Loans held for sale (1) | 17,153 | | | — | | | 17,153 | | | — | | Other assets (2) | 305,429 | | | — | | | 305,429 | | | — | | | Total assets | $ | 2,964,330 | | | $ | 324,042 | | | $ | 2,628,781 | | | $ | — | | | Liabilities | | | | | | | | Other liabilities (2) | $ | 313,791 | | | $ | — | | | $ | 313,791 | | | $ | — | | | Total liabilities | $ | 313,791 | | | $ | — | | | $ | 313,791 | | | $ | — | | | Non-recurring fair value measurements: | | | | | | | | | Commercial real estate loans held for sale: | | | | | | | | | Performing | $ | 817,298 | | | $ | — | | | $ | 817,298 | | | $ | — | | | Non-performing | 8,750 | | | — | | | 8,750 | | | — | | Total commercial real estate loans held for sale (3) | 826,048 | | | — | | | 826,048 | | | — | | | Collateral dependent loans | 119,767 | | | — | | | — | | | 119,767 | | | | | | | | | | | Foreclosed assets | 8,783 | | | — | | | — | | | 8,783 | | | Total | $ | 954,598 | | | $ | — | | | $ | 826,048 | | | $ | 128,550 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | Fair Value Measurements at Reporting Date Using: | | | December 31,
2023 | | 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 | $ | 23,307 | | | $ | 23,307 | | | $ | — | | | $ | — | | Equity securities at net asset value (NAV) | 12,126 | | | — | | | — | | | — | | | Trading debt securities | 3,973 | | | 3,973 | | | — | | | — | | | Available for sale debt securities: | | | | | | | | | U.S. Treasury securities | 288,157 | | | 288,157 | | | — | | | — | | | U.S. government agency securities | 23,702 | | | — | | | 23,702 | | | — | | | Obligations of states and political subdivisions | 191,690 | | | — | | | 191,690 | | | — | | | Residential mortgage-backed securities | 626,572 | | | — | | | 626,572 | | | — | | | | | | | | | | | Corporate and other debt securities | 166,455 | | | — | | | 166,455 | | | — | | | Total available for sale debt securities | 1,296,576 | | | 288,157 | | | 1,008,419 | | | — | | | | | | | | | | Loans held for sale (1) | 20,640 | | | — | | | 20,640 | | | — | | Other assets (2) | 466,227 | | | — | | | 466,227 | | | — | | | Total assets | $ | 1,822,849 | | | $ | 315,437 | | | $ | 1,495,286 | | | $ | — | | | Liabilities | | | | | | | | Other liabilities (2) | $ | 488,103 | | | $ | — | | | $ | 488,103 | | | $ | — | | | Total liabilities | $ | 488,103 | | | $ | — | | | $ | 488,103 | | | $ | — | | | Non-recurring fair value measurements: | | | | | | | | Non-performing loan held for sale (3) | $ | 10,000 | | | $ | — | | | $ | 10,000 | | | $ | — | | | Collateral dependent loans | 90,580 | | | — | | | — | | | 90,580 | | | Foreclosed assets | 1,444 | | | — | | | — | | | 1,444 | | | Total | $ | 102,024 | | | $ | — | | | $ | 10,000 | | | $ | 92,024 | |
(1)Represents residential mortgage loans held for sale that are carried at fair value and had contractual unpaid principal balances totaling $16.9 million and $20.1 million at September 30, 2024 and December 31, 2023, respectively. (2)Derivative financial instruments are included in this category. (3)Reported at lower of cost or fair value.
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| 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 September 30, 2024 and December 31, 2023 were as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Fair Value
Hierarchy | | September 30, 2024 | | December 31, 2023 | | | Carrying
Amount | | Fair Value | | Carrying
Amount | | Fair Value | | | | | (in thousands) | | Financial assets | | | | | | | | | | | Cash and due from banks | Level 1 | | $ | 511,945 | | | $ | 511,945 | | | $ | 284,090 | | | $ | 284,090 | | | Interest bearing deposits with banks | Level 1 | | 527,960 | | | 527,960 | | | 607,135 | | | 607,135 | | Equity securities (1) | Level 3 | | 37,579 | | | 37,579 | | | 29,031 | | | 29,031 | | | Held to maturity debt securities: | | | | | | | | | | | U.S. Treasury securities | Level 1 | | 25,671 | | | 25,682 | | | 26,232 | | | 25,978 | | | U.S. government agency securities | Level 2 | | 303,200 | | | 269,208 | | | 305,996 | | | 261,555 | | | Obligations of states and political subdivisions | Level 2 | | 380,653 | | | 364,290 | | | 405,470 | | | 387,527 | | | Residential mortgage-backed securities | Level 2 | | 2,742,188 | | | 2,432,867 | | | 2,885,303 | | | 2,521,926 | | | Trust preferred securities | Level 2 | | 37,076 | | | 29,774 | | | 37,062 | | | 30,650 | | | Corporate and other debt securities | Level 2 | | 86,248 | | | 82,675 | | | 80,350 | | | 74,676 | | Total held to maturity debt securities (2) | | | 3,575,036 | | | 3,204,496 | | | 3,740,413 | | | 3,302,312 | | Net loans | Level 3 | | 48,806,992 | | | 47,796,832 | | | 49,764,215 | | | 47,981,499 | | | Accrued interest receivable | Level 1 | | 250,131 | | | 250,131 | | | 245,498 | | | 245,498 | | FRB and FHLB stock (3) | Level 2 | | 327,645 | | | 327,645 | | | 320,727 | | | 320,727 | | | Financial liabilities | | | | | | | | | | | Deposits without stated maturities | Level 1 | | 36,223,159 | | | 36,223,159 | | | 36,066,105 | | | 36,066,105 | | | Deposits with stated maturities | Level 2 | | 14,172,807 | | | 14,227,913 | | | 13,176,724 | | | 13,103,381 | | | Short-term borrowings | Level 2 | | 58,268 | | | 45,079 | | | 917,834 | | | 901,617 | | | Long-term borrowings | Level 2 | | 3,274,340 | | | 3,291,136 | | | 2,328,375 | | | 2,256,997 | | Junior subordinated debentures issued to capital trusts | Level 2 | | 57,368 | | | 47,879 | | | 57,108 | | | 47,374 | | Accrued interest payable (4) | Level 1 | | 127,685 | | | 127,685 | | | 159,496 | | | 159,496 | |
(1)Represents equity securities without a readily determinable fair value, which are measured based on the price at which the investment was acquired plus or minus changes resulting from observable price changes in orderly transactions for identical or similar investments. Total changes in the valuation of equity securities for the nine months ended September 30, 2024 and for the year ended December 31, 2023 were immaterial. (2)The carrying amount is presented gross without the allowance for credit losses. (3)Included in other assets. (4)Included in accrued expenses and other liabilities.
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