Revenue from Contracts with Customers

6 Months Ended

Jun. 30, 2019

Revenue from contracts with customers is recognized when obligations under the terms of a contract with the Corporation's customer are satisfied. Revenue is measured as the amount of consideration we expect to receive in exchange for transferring goods or providing services. We do not have any material significant payment terms as payment is received at or shortly after the satisfaction of the performance obligation.

The Corporation's disaggregated revenue by major source is presented below:



	Corporate and Commercial Specialty
	Three Months Ended June 30,						Six Months Ended June 30,
	2019			2018			2019			2018
	($ in Thousands)
Insurance commissions and fees	$	—		$	—		$	—		$	—
Wealth management fees	—			—			—			—
Service charges and deposit account fees	3,195			3,786			6,583			8,011
Card-based fees^(a)	338			347			666			661
Other revenue	(1,016		)	(813		)	(1,284		)	(157		)
Noninterest Income (in-scope of Topic 606)	$	2,517		$	3,320		$	5,964		$	8,515
Noninterest Income (out-of-scope of Topic 606)	11,801			10,874			19,799			18,361
Total Noninterest Income	$	14,318		$	14,194		$	25,763		$	26,876


	Community, Consumer, and Business
	Three Months Ended June 30,						Six Months Ended June 30,
	2019			2018			2019			2018
	($ in Thousands)
Insurance commissions and fees	$	22,982		$	23,988		$	48,442		$	46,612
Wealth management fees	20,691			20,307			40,870			40,708
Service charges and deposit account fees	12,218			12,590			23,926			24,773
Card-based fees^(a)	9,791			9,806			18,709			18,960
Other revenue	2,740			2,657			5,372			5,493
Noninterest Income (in-scope of Topic 606)	$	68,421		$	69,349		$	137,320		$	136,547
Noninterest Income (out-of-scope of Topic 606)	9,914			6,901			15,239			13,739
Total Noninterest Income	$	78,335		$	76,250		$	152,559		$	150,286

The Corporation's disaggregated revenue by major source is presented below: (continued)



	Risk Management and Shared Services
	Three Months Ended June 30,				Six Months Ended June 30,
	2019		2018		2019		2018
	($ in Thousands)
Insurance commissions and fees	$	3	$	7	$	7	$	32
Wealth management fees	—		26		—		267
Service charges and deposit account fees	14		13		32		25
Card-based fees^(a)	48		3		97		6
Other revenue	119		108		239		160
Noninterest Income (in-scope of Topic 606)	$	184	$	156	$	375	$	490
Noninterest Income (out-of-scope of Topic 606)	3,000		2,242		8,343		5,570
Total Noninterest Income	$	3,185	$	2,399	$	8,718	$	6,059


	Consolidated Total
	Three Months Ended June 30,				Six Months Ended June 30,
	2019		2018		2019		2018
	($ in Thousands)
Insurance commissions and fees	$	22,985	$	23,996	$	48,449	$	46,644
Wealth management fees	20,691		20,333		40,870		40,975
Service charges and deposit account fees	15,426		16,390		30,542		32,810
Card-based fees^(a)	10,177		10,155		19,472		19,628
Other revenue	1,843		1,952		4,327		5,496
Noninterest Income (in-scope of Topic 606)	$	71,122	$	72,825	$	143,660	$	145,553
Noninterest Income (out-of-scope of Topic 606)	24,715		20,017		43,380		37,670
Total Noninterest Income	$	95,837	$	92,842	$	187,040	$	183,222

(a) Certain card-based fees are out-of-scope of Topic 606.

Below is a listing of performance obligations for the Corporation's main revenue streams:



Revenue Stream		Noninterest income in-scope of Topic 606
Insurance commissions and fees		The Corporation's insurance revenue has two distinct performance obligations. The first performance obligation is the selling of the policy as an agent for the carrier. This performance obligation is satisfied upon binding of the policy. The second performance obligation is the ongoing servicing of the policy which is satisfied over the life of the policy. For employee benefits, the payment is typically received monthly. For property and casualty, payments can vary, but are typically received at, or in advance, of the policy period.
Service charges and deposit account fees		Service charges on deposit accounts consist of monthly service fees (i.e. business analysis fees and consumer service charges) and other deposit account related fees. The Corporation's performance obligation for monthly service fees is generally satisfied, and the related revenue recognized, over the period in which the service is provided. Other deposit account related fees are largely transactional based, and therefore, the Corporation's performance obligation is satisfied, and related revenue recognized, at a point in time. Payment for service charges on deposit accounts is primarily received immediately or in the following month through a direct charge to customers’ accounts.
Card-based fees^(a)		Card-based fees are primarily comprised of debit and credit card income, ATM fees, and merchant services income. Debit and credit card income is primarily comprised of interchange fees earned whenever the Corporation's debit and credit cards are processed through card payment networks. ATM and merchant fees are largely transactional based, and therefore, the Corporation's performance obligation is satisfied, and related revenue recognized, at a point in time. Payment is typically received immediately or in the following month.
Trust and asset management fees^(b)		Trust and asset management income is primarily comprised of fees earned from the management and administration of trusts and other customer assets. The Corporation's performance obligation is generally satisfied over time and the resulting fees are recognized monthly, based upon the month-end market value of the assets under management and the applicable fee rate. Payment is generally received a few days after month end through a direct charge to customers’ accounts. The Corporation's performance obligation for these transactional-based services is generally satisfied, and related revenue recognized, at a point in time (i.e., as incurred). Payment is received shortly after services are rendered.
Brokerage commissions and fees^(b)		Brokerage commissions and fees primarily consist of investment advisory, brokerage, retirement services, and annuities. The Corporation's performance obligation for investment advisory services and retirement services is generally satisfied, and the related revenue recognized, over the period in which the services are provided. The performance obligation for annuities is satisfied upon sale of the annuity, and therefore, the related revenue is primarily recognized at the time of sale. Payments for these services are typically received immediately or in advance of the service.

(a) Certain card-based fees are out-of-scope of Topic 606.

(b) Trust and asset management fees and brokerage commissions and fees are included in wealth management fees.

Arrangements with Multiple Performance Obligations

The Corporation's contracts with customers may include multiple performance obligations. For such arrangements, we allocate revenue to each performance obligation based on its relative standalone selling price. We generally determine standalone selling prices based on the expected cost plus margin.

Practical Expedients

We do not disclose the value of unsatisfied performance obligations for contracts with an original expected length of one year or less.

Using the practical expedient, for contracts with a term of one year or less, the Corporation recognizes incremental costs of obtaining those contracts as an expense when incurred.