Allowance for Loan Losses and Credit Quality Information (Tables)

12 Months Ended

Dec. 31, 2015

Schedule of Allowance for Loan Losses and Loan Balances

The following tables provide an analysis of the allowance for loan losses and loan balances as of and for the year ended December 31, 2015 and December 31, 2014:


(In Thousands)	Commercial			Owner- Occupied Commercial			Commercial Mortgages			Construction			Residential			Consumer			Complexity Risk ⁽¹⁾			Total
Twelve months ended December 31, 2015
Allowance for loan losses
Beginning balance	$	12,837		$	6,643		$	7,266		$	2,596		$	2,523		$	6,041		$	1,520		$	39,426
Charge-offs		(6,303	)		(738	)		(1,135	)		(146	)		(548	)		(3,225	)		—			(12,095	)
Recoveries		301			77			222			185			226			957			—			1,968
Provision (credit) for loan losses		4,241			665			(67	)		852			76			2,183			(510	)		7,440
Provision for acquired loans		80			23			201			34			4			8			—			350

Ending balance	$	11,156		$	6,670		$	6,487		$	3,521		$	2,281		$	5,964		$	1,010		$	37,089

Period-end allowance allocated to:
Loans individually evaluated for impairment	$	1,164		$	—		$	—		$	211		$	918		$	199		$	—		$	2,492
Loans collectively evaluated for impairment		9,988			6,648			6,384			3,310			1,360			5,765			1,010			34,465
Acquired loans evaluated for impairment		4			22			103			—			3			—			—			132

Ending balance	$	11,156		$	6,670		$	6,487		$	3,521		$	2,281		$	5,964		$	1,010		$	37,089

Period-end loan balances evaluated for:
Loans individually evaluated for impairment	$	5,680		$	1,090		$	3,411		$	1,419		$	15,548		$	7,664		$	—		$	34,812
Loans collectively evaluated for impairment		930,346			820,911			869,359			213,801			166,252			335,323			—			3,335,992
Acquired nonimpaired loans		112,586			53,954			83,415			27,009			76,929			17,255			—			371,148
Acquired impaired loans		12,985			4,688			10,513			3,544			950			7			—			32,687

Ending balance	$	1,061,597		$	880,643		$	966,698		$	245,773		$	259,679		$	360,249		$	—		$	3,774,639	⁽³⁾


(In Thousands)	Commercial			Owner- Occupied Commercial			Commercial Mortgages			Construction			Residential			Consumer			Complexity Risk ⁽¹⁾		Total
Twelve months ended December 31, 2014
Allowance for loan losses
Beginning balance	$	12,751		$	7,638		$	6,932		$	3,326		$	3,078		$	6,494		$	1,025	$	41,244
Charge-offs		(3,587	)		(1,085	)		(425	)		(88	)		(811	)		(2,855	)		—		(8,851	)
Recoveries		1,611			249			202			242			168			981			—		3,453
Provision (credit) for loan losses		2,062			(159	)		557			(884	)		88			1,421			495		3,580

Ending balance	$	12,837		$	6,643		$	7,266		$	2,596		$	2,523		$	6,041		$	1,520	$	39,426

Period-end allowance allocated to:
Loans individually evaluated for impairment	$	3,034		$	609		$	319		$	334		$	790		$	231		$	—	$	5,317
Loans collectively evaluated for impairment		9,803			6,034			6,947			2,262			1,733			5,810			1,520		34,109

Ending balance	$	12,837		$	6,643		$	7,266		$	2,596		$	2,523		$	6,041		$	1,520	$	39,426

Period-end loan balances evaluated for:
Loans individually evaluated for impairment	$	12,381		$	2,474		$	8,335		$	1,419		$	15,666		$	6,376		$	—	$	46,651	⁽²⁾
Loans collectively evaluated for impairment		872,398			743,680			753,451			127,324			184,788			312,539			—		2,994,180
Acquired nonimpaired loans		32,024			40,180			37,697			9,891			17,363			8,619					145,774
Acquired impaired loans		3,269			2,264			5,976			3,863			512			9					15,893

Ending balance	$	920,072		$	788,598		$	805,459		$	142,497		$	218,329		$	327,543		$	—	$	3,202,498	⁽³⁾

(1)	Represents the portion of the allowance for loan losses established to account for the inherent complexity and uncertainty of estimates.

(2)	The difference between this amount and nonaccruing loans represents accruing troubled debt restructured loans which are considered to be impaired loans of $13.6 million at December 31, 2015 and $22.6 million as of December 31, 2014.

(3)	Ending loan balances do not include deferred costs.

Summary of Nonaccrual and Past Due Loans

The following tables show our nonaccrual and past due loans at the dates indicated:

At Dec. 31, 2015

30–59 Days
Past Due and
Still Accruing

60–89 Days
Past Due and
Still Accruing

Greater Than
90 Days
Past Due and
Still Accruing

Total Past
Due
And Still
Accruing

Accruing
Current
Balances

Acquired
Impaired
Loans

Nonaccrual
Loans

Total
Loans

(In Thousands)

Commercial

1,686

270

12,355

14,311

1,028,973

12,985

5,328

1,061,597

Owner-occupied commercial

713

217

4,886

5,816

869,048

4,688

1,091

880,643

Commercial mortgages

141

288

433

952,426

10,513

3,326

966,698

Construction

—

242,229

3,544

—

245,773

Residential

5,263

621

251

6,135

245,307

950

7,287

259,679

Consumer

1,222

252

1,510

354,599

4,133

360,249

Total (1)

9,025

1,148

18,032

28,205

3,692,582

32,687

21,165

3,774,639

% of Total Loans

0.24

0.03

0.48

0.75

97.83

0.86

0.56

100.00

(1)	Balances in table above includes $371.1 million in acquired non-impaired loans.


At Dec. 31, 2014	30–59 Days Past Due and Still Accruing			60–89 Days Past Due and Still Accruing			Greater Than 90 Days Past Due and Still Accruing			Total Past Due And Still Accruing			Accruing Current Balances			Acquired Impaired Loans			Nonaccrual Loans			Total Loans
(In Thousands)
Commercial	$	715		$	—		$	—		$	715		$	913,382		$	3,269		$	2,706		$	920,072
Owner-occupied commercial		393			—			—			393			783,466			2,264			2,475			788,598
Commercial mortgages		203			—			—			203			791,035			5,976			8,245			805,459
Construction		—			—			—			—			138,634			3,863			—			142,497
Residential		3,879			604			—			4,483			206,266			512			7,068			218,329
Consumer		1,241			342			4			1,587			322,390			9			3,557			327,543

Total (1)	$	6,431		$	946		$	4		$	7,381		$	3,155,173		$	15,893		$	24,051		$	3,202,498

% of Total Loans		0.20	%		0.03	%		0.00	%		0.23	%		98.52	%		0.50	%		0.75	%		100.00	%

(1)	Balances in table above includes $145.8 million in acquired non-impaired loans.

Analysis of Impaired Loans

The following tables provide an analysis of our impaired loans at December 31, 2015 and December 31, 2014:


2015 (In Thousands)	Ending Loan Balances		Loans with No Related Reserve⁽¹⁾		Loan with Related Reserve		Related Reserve		Contractual Principal Balance		Average Loan Balances
Commercial	$	6,137	$	951	$	5,186	$	1,168	$	20,206	$	9,391
Owner-occupied commercial		2,127		1,090		1,037		22		2,947		2,111
Commercial mortgages		4,652		3,410		1,242		103		11,826		7,540
Construction		1,419		—		1,419		211		1,419		1,448
Residential		15,710		9,034		6,676		920		18,655		15,264
Consumer		7,665		6,498		1,167		200		9,353		6,801

Total (2)	$	37,710	$	20,983	$	16,727	$	2,624	$	64,406	$	42,555


2014 (In Thousands)	Ending Loan Balances		Loans with No Related Reserve⁽¹⁾		Loan with Related Reserve		Related Reserve		Contractual Principal Balance		Average Loan Balances
Commercial	$	12,381	$	580	$	11,801	$	3,034	$	20,924	$	5,952
Owner-occupied commercial		2,474		1,865		609		609		3,708		4,461
Commercial mortgages		8,335		4,732		3,603		319		14,383		11,005
Construction		1,419		—		1,419		334		1,419		1,013
Residential		15,666		7,068		8,598		790		18,967		17,296
Consumer		6,376		3,557		2,819		231		7,162		5,902

Total	$	46,651	$	17,802	$	28,849	$	5,317	$	66,563	$	45,629

(1)	Reflects loan balances at or written down to their remaining book balance.

(2)	The above includes acquired impaired loans totaling $2.9 million in the ending loan balance and $3.5 million in the contractual principal balance.

Schedule of Commercial Credit Exposure

The following tables provide an analysis of loans by portfolio segment based on the credit quality indicators used to determine the Allowance at December 31:

Commercial Credit Exposure


																	Total Commercial(1)
	Commercial				Owner- Occupied Commercial				Commercial Mortgages				Construction				2015					2014
(In Thousands)	2015		2014		2015		2014		2015		2014		2015		2014		Amount		%			Amount		%
Risk Rating:
Special mention	$	5,620	$	4,744	$	9,535	$	6,989	$	12,323	$	9,065	$	—	$	—	$	27,478				$	20,798
Substandard:
Accrual		33,883		42,377		22,901		14,436		2,547		9,167		8,296		1,085		67,627					67,065
Nonaccrual		4,164		1,225		1,090		1,865		3,326		7,927		—		—		8,580					11,017
Doubtful/nonaccrual		1,164		3,034		—		609		—		319		—		334		1,164					4,296

Total special mention and substandard		44,831		51,380		33,526		23,899		18,196		26,478		8,296		1,419		104,849		3	%		103,176		4	%
Acquired impaired loans		12,985		3,269		4,688		2,264		10,513		5,976		3,544		3,863		31,730		1	%		15,372		1	%
Pass		1,003,781		865,423		842,429		762,435		937,989		773,005		233,933		137,215		3,018,132		96	%		2,538,078		95	%

Total	$	1,061,597	$	920,072	$	880,643	$	788,598	$	966,698	$	805,459	$	245,773	$	142,497	$	3,154,711		100	%	$	2,656,626		100	%

(1)	Table includes $ 277.0 million in acquired non-impaired loans at December 31, 2015 and $119.8 million at December 31, 2014.

Schedule of Consumer Credit Exposure

Consumer Credit Exposure


									Total Residential and Consumer(2)
	Residential				Consumer				2015					2014
(In Thousands)	2015		2014		2015		2014		Amount		Percent			Amount		Percent
Nonperforming(1)	$	15,548	$	15,666	$	7,664	$	6,376	$	23,212		4	%	$	22,042		4	%
Acquired impaired loans		950		512		7		9		957		—	%		521		—	%
Performing		243,181		202,151		352,578		321,158		595,759		96	%		523,309		96	%

Total	$	259,679	$	218,329	$	360,249	$	327,543	$	619,928		100	%	$	545,872		100	%

(1)	Includes $13.6 million as of December 31, 2015 and $11.4 million as of December 31, 2014 of troubled debt restructured mortgages and home equity installment loans that are performing in accordance with the loans modified terms and are accruing interest.

(2)	Total includes acquired non-impaired loans of $94.2 million at December 31, 2015 and $26.0 million at December 31, 2014.

Schedule of Loans Identified as Troubled Debt Restructurings During Periods Indicated

The following table presents loans identified as TDRs during the twelve months ended December 31, 2015 and December 31, 2014:


(In Thousands)	Twelve Months Ended December 31, 2015		Twelve Months Ended December 31, 2014
Commercial	$	—	$	9,356
Owner Occupied Commercial		577		—
Commercial mortgages		—		3,430
Construction		—		1,419
Residential		895		2,062
Consumer		1,615		1,612

	$	3,087	$	17,879