Revenue from Contracts with Customers (Tables)

3 Months Ended

Mar. 31, 2018

Disaggregation of Revenue [Line Items]

Revenue from Contract with Customer [Text Block]

Revenue from Contracts with Customers

The Company adopted ASC 606 using the modified retrospective method applied to all contracts not completed as of January 1, 2018. Results for reporting periods beginning on and after January 1, 2018 are presented under ASC 606 while prior period amounts continue to be reported in accordance with legacy GAAP. The adoption of ASC 606 did not result in a change to the accounting for any of the in-scope revenue streams; as such, no cumulative effect adjustment was recorded.

All of Park's revenue from contracts with customers within the scope of ASC 606 is recognized within "Other income" in the Consolidated Condensed Statements of Income. The following table presents the Corporation's sources of other income by revenue stream and operating segment for the three-month periods ended March 31, 2018 and March 31, 2017.



	Three Months Ended March 31, 2018
Revenue by Operating Segment (in thousands)	PNB			GFSC		SEPH			All Other			Total
Income from fiduciary activities
Personal trust and agency accounts	$	2,126		$	—	$	—		$	—		$	2,126
Employee benefit and retirement-related accounts	1,643			—		—			—			1,643
Investment management and investment advisory agency accounts	2,244			—		—			—			2,244
Other	382			—		—			—			382
Service charges on deposit accounts
Non-sufficient funds (NSF) fees	1,834			—		—			—			1,834
Demand deposit account (DDA) charges	926			—		—			—			926
Other	162			—		—			—			162
Other service income ⁽¹⁾
Credit card	504			7		—			—			511
HELOC	99			—		—			—			99
Installment	64			—		—			—			64
Real estate	2,246			—		—			—			2,246
Commercial	242			—		1,010			—			1,252
Checkcard fee income	4,002			—		—			—			4,002
Bank owned life insurance income ⁽²⁾	922			—		—			87			1,009
ATM fees	524			—		—			—			524
OREO valuation adjustments ⁽²⁾	(30		)	—		(177		)	—			(207		)
Gain on sale of OREO, net	1,585			—		2,736			—			4,321
Net loss on sale of investment securities ⁽²⁾	(2,271		)	—		—			—			(2,271		)
Unrealized gain on equity securities ⁽²⁾	27			—		—			3,462			3,489
Other components of net periodic benefit income ⁽²⁾	1,652			19		34			—			1,705
Miscellaneous ⁽³⁾	1,032			4		(16		)	(178		)	842
Total other income	$	19,915		$	30	$	3,587		$	3,371		$	26,903

⁽¹⁾Of the $4.2 million of revenue included within "Other service income", approximately $3.1 million is within the scope of ASC 606, with the remaining $1.1 million consisting primarily of certain credit card and residential real estate loan fees which are out of scope.

⁽²⁾ Not within the scope of ASC 606.

⁽³⁾ "Miscellaneous" income includes brokerage income, safe deposit box rentals, and miscellaneous bank fees totaling $0.8 million, all of which are within the scope of ASC 606.



	Three Months Ended March 31, 2017 ⁽⁴⁾
Revenue by Operating Segment (in thousands)	PNB			GFSC		SEPH		All Other			Total
Income from fiduciary activities
Personal trust and agency accounts	$	1,786		$	—	$	—	$	—		$	1,786
Employee benefit and retirement-related accounts	1,450			—		—		—			1,450
Investment management and investment advisory agency accounts	1,968			—		—		—			1,968
Other	310			—		—		—			310
Service charges on deposit accounts
Non-sufficient funds (NSF) fees	1,985			—		—		—			1,985
Demand deposit account (DDA) charges	985			—		—		—			985
Other	169			—		—		—			169
Other service income
Credit card	420			—		—		—			420
HELOC	91			—		—		—			91
Installment	158			—		—		—			158
Real estate	1,812			—		—		—			1,812
Commercial	323			—		—		—			323
Checkcard fee income	3,761			—		—		—			3,761
Bank owned life insurance income ⁽²⁾	1,007			—		—		96			1,103
ATM fees	542			—		—		—			542
OREO valuation adjustments ⁽²⁾	(73		)	—		—		—			(73		)
Gain on sale of OREO, net	100			—		—		—			100
Other components of net periodic benefit income ⁽²⁾	1,403			16		29		—			1,448
Miscellaneous ⁽³⁾	917			—		—		(300		)	617
Total other income	$	19,114		$	16	$	29	$	(204	)	$	18,955

⁽¹⁾Of the $2.8 million of revenue included within "Other service income", approximately $1.9 million is within the scope of ASC 606, with the remaining $0.9 million consisting primarily of certain credit card and residential real estate loan fees which are out of scope.

⁽²⁾ Not within the scope of ASC 606.

⁽³⁾ "Miscellaneous" income includes brokerage income, safe deposit box rentals, and miscellaneous bank fees totaling $0.6 million, all of which are within the scope of ASC 606.

⁽⁴⁾ The Corporation elected the modified retrospective approach of adoption; therefore, prior period balances are presented under legacy GAAP and may not be comparable to current year presentation.

A description of Park's revenue streams accounted for under ASC 606 includes the following:

Income from fiduciary activities (Gross): Park earns fiduciary fee income and investment brokerage fees from its contracts with trust customers for various fiduciary and investment-related services. These fees are earned over time as the Company provides the contracted monthly and quarterly services and are generally assessed based on the market value of the trust assets.

Service charges on deposit accounts and ATM fees: The Corporation earns fees from its deposit customers for transaction-based, account maintenance, and overdraft services. Transaction-based fees, which include services such as ATM use fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed as that is the point in time the Corporation fulfills the customer's request. Account maintenance fees, which relate primarily to monthly maintenance, are generally recognized at the end of the month, representing the period over which the Corporation satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer's account balance.

Other service income: Other service income includes income from 1) the sale and servicing of loans sold to the secondary market, 2) incentive income from third-party credit card issuers, and 3) from loan customers for various loan-related activities and services. These fees are generally recognized at a point in time following the completion of a loan sale or related service activity.

Checkcard fee income: Park earns interchange fees from debit cardholder transactions conducted primarily through the Visa payment network. Interchange fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized daily, net of card network fees, concurrently with the transaction processing services provided to the cardholder.

Gain on sale of OREO, net: The Corporation records a gain or loss from the sale of OREO when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. When Park finances the sale of OREO to the buyer, the Corporation assesses whether the buyer is committed to perform their obligation under the contract and whether collectability of the transaction price is probable. Once these criteria are met, the OREO asset is derecognized and the gain or loss on sale is recorded upon the transfer of control of the property to the buyer. In determining the gain or loss on the sale, the Corporation adjusts the transaction price and related gain (loss) on sale if a significant financing component is present.



	Three Months Ended March 31, 2018
Revenue by Operating Segment (in thousands)	PNB			GFSC		SEPH			All Other			Total
Income from fiduciary activities
Personal trust and agency accounts	$	2,126		$	—	$	—		$	—		$	2,126
Employee benefit and retirement-related accounts	1,643			—		—			—			1,643
Investment management and investment advisory agency accounts	2,244			—		—			—			2,244
Other	382			—		—			—			382
Service charges on deposit accounts
Non-sufficient funds (NSF) fees	1,834			—		—			—			1,834
Demand deposit account (DDA) charges	926			—		—			—			926
Other	162			—		—			—			162
Other service income ⁽¹⁾
Credit card	504			7		—			—			511
HELOC	99			—		—			—			99
Installment	64			—		—			—			64
Real estate	2,246			—		—			—			2,246
Commercial	242			—		1,010			—			1,252
Checkcard fee income	4,002			—		—			—			4,002
Bank owned life insurance income ⁽²⁾	922			—		—			87			1,009
ATM fees	524			—		—			—			524
OREO valuation adjustments ⁽²⁾	(30		)	—		(177		)	—			(207		)
Gain on sale of OREO, net	1,585			—		2,736			—			4,321
Net loss on sale of investment securities ⁽²⁾	(2,271		)	—		—			—			(2,271		)
Unrealized gain on equity securities ⁽²⁾	27			—		—			3,462			3,489
Other components of net periodic benefit income ⁽²⁾	1,652			19		34			—			1,705
Miscellaneous ⁽³⁾	1,032			4		(16		)	(178		)	842
Total other income	$	19,915		$	30	$	3,587		$	3,371		$	26,903

⁽²⁾ Not within the scope of ASC 606.

⁽³⁾ "Miscellaneous" income includes brokerage income, safe deposit box rentals, and miscellaneous bank fees totaling $0.8 million, all of which are within the scope of ASC 606.



	Three Months Ended March 31, 2017 ⁽⁴⁾
Revenue by Operating Segment (in thousands)	PNB			GFSC		SEPH		All Other			Total
Income from fiduciary activities
Personal trust and agency accounts	$	1,786		$	—	$	—	$	—		$	1,786
Employee benefit and retirement-related accounts	1,450			—		—		—			1,450
Investment management and investment advisory agency accounts	1,968			—		—		—			1,968
Other	310			—		—		—			310
Service charges on deposit accounts
Non-sufficient funds (NSF) fees	1,985			—		—		—			1,985
Demand deposit account (DDA) charges	985			—		—		—			985
Other	169			—		—		—			169
Other service income
Credit card	420			—		—		—			420
HELOC	91			—		—		—			91
Installment	158			—		—		—			158
Real estate	1,812			—		—		—			1,812
Commercial	323			—		—		—			323
Checkcard fee income	3,761			—		—		—			3,761
Bank owned life insurance income ⁽²⁾	1,007			—		—		96			1,103
ATM fees	542			—		—		—			542
OREO valuation adjustments ⁽²⁾	(73		)	—		—		—			(73		)
Gain on sale of OREO, net	100			—		—		—			100
Other components of net periodic benefit income ⁽²⁾	1,403			16		29		—			1,448
Miscellaneous ⁽³⁾	917			—		—		(300		)	617
Total other income	$	19,114		$	16	$	29	$	(204	)	$	18,955

⁽²⁾ Not within the scope of ASC 606.

⁽³⁾ "Miscellaneous" income includes brokerage income, safe deposit box rentals, and miscellaneous bank fees totaling $0.6 million, all of which are within the scope of ASC 606.