Other Comprehensive Income (Loss)

6 Months Ended

Jun. 30, 2023

The following tables presents the activity in other comprehensive income (loss):


Three months ended June 30,	2023			2022
(Dollars in thousands)	Pre-tax Amounts	Income Tax Benefit (Expense)	Net of Tax	Pre-tax Amounts	Income Tax Benefit (Expense)	Net of Tax
Available for Sale Debt Securities:
Change in fair value of available for sale debt securities	($12,929)	$3,102	($9,827)	($47,293)	$11,351	($35,942)



Cash Flow Hedges:
Change in fair value of cash flow hedges	1,696	(407)	1,289	(3,943)	946	(2,997)
Net cash flow hedge losses reclassified into earnings (1)	1,875	(449)	1,426	32	(8)	24
Net change in fair value of cash flow hedges	3,571	(856)	2,715	(3,911)	938	(2,973)
Defined Benefit Plan Obligations:

Amortization of net actuarial losses (2)	60	(15)	45	428	(103)	325


Total other comprehensive loss	($9,298)	$2,231	($7,067)	($50,776)	$12,186	($38,590)

(1)For the three months ended June 30, 2023 and 2022, the pre-tax amounts reclassified into earnings in the Unaudited Consolidated Statements of Income include a reduction of $2.1 million and an increase of $25 thousand, respectively, in interest and fees on loans, as well as a reduction of $264 thousand and an increase of $57 thousand, respectively, in FHLB interest expense.

(2)The pre-tax amounts are included in other expenses in the Unaudited Consolidated Statements of Income.



Six months ended June 30,	2023			2022
(Dollars in thousands)	Pre-tax Amounts	Income Tax Benefit (Expense)	Net of Tax	Pre-tax Amounts	Income Tax Benefit (Expense)	Net of Tax
Securities available for sale:
Change in fair value of available for sale debt securities	$4,436	($1,065)	$3,371	($112,371)	$26,969	($85,402)



Cash flow hedges:
Change in fair value of cash flow hedges	2,742	(658)	2,084	(17,144)	4,114	(13,030)
Net cash flow hedge losses (gains) reclassified into earnings (1)	4,510	(1,082)	3,428	(367)	89	(278)
Net change in fair value of cash flow hedges	7,252	(1,740)	5,512	(17,511)	4,203	(13,308)
Defined benefit plan obligations:

Amortization of net actuarial losses (2)	119	(29)	90	856	(206)	650


Total other comprehensive income (loss)	$11,807	($2,834)	$8,973	($129,026)	$30,966	($98,060)

(1)For the six months ended June 30, 2023 and 2022, the pre-tax amounts reclassified into earnings in the Unaudited Consolidated Statements of Income include a reduction of $4.9 million and an increase of $518 thousand, respectively, in interest and fees on loans, as well as a reduction of $391 thousand and an increase of $151 thousand, respectively, in FHLB interest expense.

(2)The pre-tax amounts are included in other expenses in the Unaudited Consolidated Statements of Income.

The following tables present the changes in AOCL by component, net of tax:


(Dollars in thousands)	Net Unrealized Losses on Available For Sale Debt Securities	Net Unrealized Losses on Cash Flow Hedges	Net Unrealized Losses on Defined Benefit Plan Obligations	Total
For the three months ended June 30, 2023
Balance at March 31, 2023	($117,835)	($19,848)	($4,077)	($141,760)
Other comprehensive (loss) income before reclassifications	(9,827)	1,289	—	(8,538)
Amounts reclassified from accumulated other comprehensive (loss) income	—	1,426	45	1,471
Net other comprehensive (loss) income	(9,827)	2,715	45	(7,067)
Balance at June 30, 2023	($127,662)	($17,133)	($4,032)	($148,827)



(Dollars in thousands)	Net Unrealized Losses on Available For Sale Debt Securities	Net Unrealized Losses on Cash Flow Hedges	Net Unrealized Losses on Defined Benefit Plan Obligations	Total
For the six months ended June 30, 2023
Balance at December 31, 2022	($131,033)	($22,645)	($4,122)	($157,800)
Other comprehensive income before reclassifications	3,371	2,084	—	5,455
Amounts reclassified from accumulated other comprehensive income	—	3,428	90	3,518
Net other comprehensive income	3,371	5,512	90	8,973
Balance at June 30, 2023	($127,662)	($17,133)	($4,032)	($148,827)


(Dollars in thousands)	Net Unrealized Losses on Available For Sale Debt Securities	Net Unrealized Losses on Cash Flow Hedges	Net Unrealized Losses on Defined Benefit Plan Obligations	Total
For the three months ended June 30, 2022
Balance at March 31, 2022	($56,255)	($14,348)	($8,848)	($79,451)
Other comprehensive loss before reclassifications	(35,942)	(2,997)	—	(38,939)
Amounts reclassified from accumulated other comprehensive loss	—	24	325	349
Net other comprehensive (loss) income	(35,942)	(2,973)	325	(38,590)
Balance at June 30, 2022	($92,197)	($17,321)	($8,523)	($118,041)



(Dollars in thousands)	Net Unrealized Losses on Available For Sale Debt Securities	Net Unrealized Losses on Cash Flow Hedges	Net Unrealized Losses on Defined Benefit Plan Obligations	Total
For the six months ended June 30, 2022
Balance at December 31, 2021	($6,795)	($4,013)	($9,173)	($19,981)
Other comprehensive income (loss) before reclassifications	(85,402)	(13,030)	—	(98,432)
Amounts reclassified from accumulated other comprehensive income (loss)	—	(278)	650	372
Net other comprehensive (loss) income	(85,402)	(13,308)	650	(98,060)
Balance at June 30, 2022	($92,197)	($17,321)	($8,523)	($118,041)