INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2022

Income Tax Disclosure [Abstract]

Components of Income Tax Expense

The following table provides the components of income tax expense for the years ended December 31:

(In thousands)	2022		2021		2020
Current income taxes:
Federal	$	48,920	$	48,445	$	43,115
State	16,630		15,850		13,785
Total current	65,550		64,295		56,900
Deferred income taxes:
Federal	(7,214)		9,634		(22,793)
State	(2,277)		2,623		(6,636)
Total deferred	(9,491)		12,257		(29,429)
Total income tax expense	$	56,059	$	76,552	$	27,471

Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities, shown as the sum of the appropriate tax effect for each significant type of temporary difference, are presented in the following table at December 31 for the years indicated:

(In thousands)	2022		2021
Deferred tax assets:
Allowance for credit losses	$	34,703	$	27,980
Lease liability	14,692		17,280
Employee benefits	8,247		7,740
Unrealized losses on pension plan	2,735		2,827
Deferred loan fees and costs	3,003		3,879
Equity based compensation	2,327		1,636
Unrealized losses on investments available-for-sale	42,362		121
Losses on other real estate owned	27		21
Other than temporary impairment	—		76
Loan and deposit premium/discount	205		553
Reserve for recourse loans and unfunded commitments	2,169		223
Net operating loss carryforward	2,985		2,023
Other	240		207
Gross deferred tax assets	113,695		64,566
Valuation allowance	(3,124)		(2,137)
Net deferred tax asset	110,571		62,429
Deferred tax liabilities:
Right of use asset	(12,511)		(14,888)
Pension plan costs	(1,906)		(2,092)
Depreciation	(4,203)		(2,552)
Intangible assets	(2,709)		(5,653)
Bond accretion	(289)		(78)
Fair value acquisition adjustments	(660)		(624)
Other	(738)		(626)
Gross deferred tax liabilities	(23,016)		(26,513)
Net deferred tax asset	$	87,555	$	35,916

Reconcilements Between Statutory Federal Income Tax Rate and Effective Tax Rate

The reconcilements between the statutory federal income tax rate and the effective rate for the years ended December 31 are presented in the following table:

(Dollars in thousands)	2022				2021				2020
	Amount		Percentage of Pre-Tax Income		Amount		Percentage of Pre-Tax Income		Amount		Percentage of Pre-Tax Income
Income tax expense at federal statutory rate	$	46,696	21.0	%	$	65,448	21.0	%	$	26,130	21.0	%
Increase/ (decrease) resulting from:
Tax exempt income, net	(1,909)		(0.9)		(2,271)		(0.7)		(2,472)		(2.0)
Bank-owned life insurance	(662)		(0.3)		(602)		(0.2)		(567)		(0.5)
State income taxes, net of federal income tax benefits	11,339		5.1		14,593		4.7		5,648		4.5
Federal tax law change	—		—		—		—		(1,764)		(1.4)
Other, net	595		0.3		(616)		(0.2)		496		0.5
Total income tax expense and rate	$	56,059	25.2	%	$	76,552	24.6	%	$	27,471	22.1	%