LOANS AND ALLOWANCE FOR CREDIT LOSSES (Tables)

3 Months Ended

Mar. 31, 2023

LOANS AND ALLOWANCE FOR CREDIT LOSSES

Schedule of loans receivable, net

	March 31,		December 31,
(000’s omitted)	2023		2022
Business lending	$	3,747,942	$	3,645,665
Consumer mortgage		3,019,718		3,012,475
Consumer indirect		1,605,659		1,539,653
Consumer direct		176,989		177,605
Home equity		432,027		433,996
Gross loans, including deferred origination costs		8,982,335		8,809,394
Allowance for credit losses		(63,170)		(61,059)
Loans, net of allowance for credit losses	$	8,919,165	$	8,748,335

Schedule of aged analysis of past due loans by class

The following table presents the aging of the amortized cost basis of the Company’s past due loans by segment as of March 31, 2023:

	Past Due		90+ Days Past
	30 – 89		Due and				Total
(000’s omitted)	Days		Still Accruing		Nonaccrual		Past Due		Current		Total Loans
Business lending	$	5,514	$	0	$	4,392	$	9,906	$	3,738,036	$	3,747,942
Consumer mortgage		11,767		3,509		23,295		38,571		2,981,147		3,019,718
Consumer indirect		11,152		151		0		11,303		1,594,356		1,605,659
Consumer direct		1,100		81		26		1,207		175,782		176,989
Home equity		2,344		286		2,032		4,662		427,365		432,027
Total	$	31,877	$	4,027	$	29,745	$	65,649	$	8,916,686	$	8,982,335

The following table presents the aging of the amortized cost basis of the Company’s past due loans by segment as of December 31, 2022:

	Past Due		90+ Days Past
	30 – 89		Due and				Total
(000’s omitted)	Days		Still Accruing		Nonaccrual		Past Due		Current		Total Loans
Business lending	$	9,818	$	0	$	4,689	$	14,507	$	3,631,158	$	3,645,665
Consumer mortgage		13,757		3,510		22,583		39,850		2,972,625		3,012,475
Consumer indirect		16,767		178		0		16,945		1,522,708		1,539,653
Consumer direct		1,307		132		28		1,467		176,138		177,605
Home equity		3,595		299		1,945		5,839		428,157		433,996
Total	$	45,244	$	4,119	$	29,245	$	78,608	$	8,730,786	$	8,809,394

Schedule of non-business individually assessed loans

	March 31,		December 31,
(000’s omitted)	2023		2022
Loans with allowance allocation	$	0	$	0
Loans without allowance allocation		3,093		3,163
Carrying balance		3,093		3,163
Contractual balance		4,201		4,201
Specifically allocated allowance		0		0

Schedule of allowance for loan losses by class

	Three Months Ended March 31, 2023
	Beginning		Charge-						Ending
(000’s omitted)	balance		offs		Recoveries		Provision		balance
Business lending	$	23,297	$	(175)	$	172	$	1,933	$	25,227
Consumer mortgage		14,343		(19)		7		(53)		14,278
Consumer indirect		17,852		(2,531)		1,347		1,379		18,047
Consumer direct		2,973		(505)		187		375		3,030
Home equity		1,594		0		6		(12)		1,588
Unallocated		1,000		0		0		0		1,000
Allowance for credit losses – loans		61,059		(3,230)		1,719		3,622		63,170
Liabilities for off-balance-sheet credit exposures		1,123		0		0		(122)		1,001
Total allowance for credit losses	$	62,182	$	(3,230)	$	1,719	$	3,500	$	64,171

	Three Months Ended March 31, 2022
	Beginning		Charge-						Ending
(000’s omitted)	balance		offs		Recoveries		Provision		balance
Business lending	$	22,995	$	(116)	$	339	$	(1,454)	$	21,764
Consumer mortgage		10,017		(40)		9		338		10,324
Consumer indirect		11,737		(1,688)		1,000		1,817		12,866
Consumer direct		2,306		(301)		176		544		2,725
Home equity		1,814		(11)		93		(428)		1,468
Unallocated		1,000		0		0		0		1,000
Allowance for credit losses – loans		49,869		(2,156)		1,617		817		50,147
Liabilities for off-balance-sheet credit exposures		803		0		0		89		892
Total allowance for credit losses	$	50,672	$	(2,156)	$	1,617	$	906	$	51,039

Business lending

LOANS AND ALLOWANCE FOR CREDIT LOSSES

Schedule of loans by credit quality indicator

													Revolving		Revolving
													Loans		Loans
(000’s omitted)	Term Loans Amortized Cost Basis by Origination Year												Amortized		Converted
March 31, 2023	2023		2022		2021		2020		2019		Prior		Cost Basis		to Term		Total
Business lending:
Risk rating
Pass	$	129,658	$	730,008	$	361,349	$	221,000	$	237,879	$	753,972	$	667,589	$	442,133	$	3,543,588
Special mention		623		2,620		4,712		6,926		3,261		56,953		30,721		31,774		137,590
Classified		224		2,972		399		1,126		3,034		32,787		6,770		19,452		66,764
Doubtful		0		0		0		0		0		0		0		0		0
Total business lending	$	130,505	$	735,600	$	366,460	$	229,052	$	244,174	$	843,712	$	705,080	$	493,359	$	3,747,942
Current period gross charge-offs	$	0	$	47	$	0	$	0	$	0	$	0	$	128	$	0	$	175

													Revolving		Revolving
													Loans		Loans
(000’s omitted)	Term Loans Amortized Cost Basis by Origination Year												Amortized		Converted
December 31, 2022	2022		2021		2020		2019		2018		Prior		Cost Basis		to Term		Total
Business lending:
Risk rating
Pass	$	747,573	$	373,913	$	232,591	$	246,820	$	168,468	$	604,745	$	646,771	$	401,531	$	3,422,412
Special mention		2,787		4,836		3,781		3,676		14,593		45,627		29,403		29,975		134,678
Classified		1,800		775		1,138		3,196		12,235		38,138		10,587		20,706		88,575
Doubtful		0		0		0		0		0		0		0		0		0
Total business lending	$	752,160	$	379,524	$	237,510	$	253,692	$	195,296	$	688,510	$	686,761	$	452,212	$	3,645,665

All Other Loans

LOANS AND ALLOWANCE FOR CREDIT LOSSES

Schedule of loans by credit quality indicator

													Revolving		Revolving
													Loans		Loans
(000’s omitted)	Term Loans Amortized Cost Basis by Origination Year												Amortized		Converted
March 31, 2023	2023		2022		2021		2020		2019		Prior		Cost Basis		to Term		Total
Consumer mortgage:
FICO AB(1)
Performing	$	51,091	$	369,653	$	483,070	$	213,716	$	169,347	$	676,623	$	369	$	65,562	$	2,029,431
Nonperforming		0		27		471		567		130		4,949		0		447		6,591
Total FICO AB		51,091		369,680		483,541		214,283		169,477		681,572		369		66,009		2,036,022
FICO CDE(2)
Performing		18,148		161,398		176,898		109,853		78,092		368,417		27,200		23,477		963,483
Nonperforming		0		614		900		1,311		1,496		14,877		0		1,015		20,213
Total FICO CDE		18,148		162,012		177,798		111,164		79,588		383,294		27,200		24,492		983,696
Total consumer mortgage	$	69,239	$	531,692	$	661,339	$	325,447	$	249,065	$	1,064,866	$	27,569	$	90,501	$	3,019,718
Current period gross charge-offs	$	0	$	0	$	0	$	0	$	0	$	19	$	0	$	0	$	19
Consumer indirect:
Performing	$	203,427	$	731,811	$	381,847	$	112,730	$	82,525	$	93,168	$	0	$	0	$	1,605,508
Nonperforming		0		18		31		73		0		29		0		0		151
Total consumer indirect	$	203,427	$	731,829	$	381,878	$	112,803	$	82,525	$	93,197	$	0	$	0	$	1,605,659
Current period gross charge-offs	$	0	$	913	$	621	$	382	$	189	$	426	$	0	$	0	$	2,531
Consumer direct:
Performing	$	22,565	$	73,630	$	40,886	$	14,585	$	10,188	$	8,622	$	6,406	$	0	$	176,882
Nonperforming		0		30		0		0		0		69		8		0		107
Total consumer direct	$	22,565	$	73,660	$	40,886	$	14,585	$	10,188	$	8,691	$	6,414	$	0	$	176,989
Current period gross charge-offs	$	0	$	172	$	151	$	15	$	21	$	95	$	51	$	0	$	505
Home equity:
Performing	$	11,531	$	68,635	$	70,163	$	36,328	$	30,112	$	53,840	$	129,361	$	29,739	$	429,709
Nonperforming		0		0		10		307		173		623		589		616		2,318
Total home equity	$	11,531	$	68,635	$	70,173	$	36,635	$	30,285	$	54,463	$	129,950	$	30,355	$	432,027
Current period gross charge-offs	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0

(1) FICO AB refers to higher tiered loans with FICO scores greater than or equal to 720 at origination.

(2) FICO CDE refers to loans with FICO scores less than 720 at origination and potentially higher risk.

													Revolving		Revolving
													Loans		Loans
(000’s omitted)	Term Loans Amortized Cost Basis by Origination Year												Amortized		Converted
December 31, 2022	2022		2021		2020		2019		2018		Prior		Cost Basis		to Term		Total
Consumer mortgage:
FICO AB(1)
Performing	$	379,171	$	492,731	$	217,889	$	173,942	$	100,161	$	604,258	$	954	$	58,639	$	2,027,745
Nonperforming		0		75		573		184		399		4,347		0		449		6,027
Total FICO AB		379,171		492,806		218,462		174,126		100,560		608,605		954		59,088		2,033,772
FICO CDE(2)
Performing		160,388		178,262		112,640		79,357		54,861		323,189		27,884		22,056		958,637
Nonperforming		120		974		1,250		1,606		2,127		13,177		151		661		20,066
Total FICO CDE		160,508		179,236		113,890		80,963		56,988		336,366		28,035		22,717		978,703
Total consumer mortgage	$	539,679	$	672,042	$	332,352	$	255,089	$	157,548	$	944,971	$	28,989	$	81,805	$	3,012,475
Consumer indirect:
Performing	$	777,513	$	422,594	$	129,449	$	99,593	$	52,298	$	58,028	$	0	$	0	$	1,539,475
Nonperforming		18		1		53		67		15		24		0		0		178
Total consumer indirect	$	777,531	$	422,595	$	129,502	$	99,660	$	52,313	$	58,052	$	0	$	0	$	1,539,653
Consumer direct:
Performing	$	84,111	$	46,381	$	17,066	$	12,729	$	5,573	$	5,020	$	6,563	$	2	$	177,445
Nonperforming		6		51		1		1		29		50		22		0		160
Total consumer direct	$	84,117	$	46,432	$	17,067	$	12,730	$	5,602	$	5,070	$	6,585	$	2	$	177,605
Home equity:
Performing	$	69,575	$	72,270	$	37,964	$	31,506	$	16,068	$	41,097	$	132,703	$	30,569	$	431,752
Nonperforming		0		10		114		169		105		606		563		677		2,244
Total home equity	$	69,575	$	72,280	$	38,078	$	31,675	$	16,173	$	41,703	$	133,266	$	31,246	$	433,996

(1) FICO AB refers to higher tiered loans with FICO scores greater than or equal to 720 at origination.

(2) FICO CDE refers to loans with FICO scores less than 720 at origination and potentially higher risk.