INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2019

INCOME TAXES

Schedule of components of income tax expense

	Year Ended December 31,
(In thousands)	2019		2018		2017
Current:
Federal	$	12,665	$	5,270	$	8,762
State		639		1,023		937
Total current		13,304		6,293		9,699
Deferred:
Federal		(419)		3,299		10,251
State		1,175		(451)		(1,004)
Total deferred		756		2,848		9,247
Total income tax expense	$	14,060	$	9,141	$	18,946

Schedule of reconciliation of the expected Federal income tax expense at the statutory tax rate to the actual provision

	Year Ended December 31,
	2019				2018				2017
			Percentage				Percentage				Percentage
			of Pre-tax				of Pre-tax				of Pre-tax
(Dollars in thousands)	Amount		Earnings		Amount		Earnings		Amount		Earnings
Federal income tax expense computed by applying the statutory rate to income before income taxes	$	13,808	21	%	$	10,157	21	%	$	13,820	35	%
Tax-exempt income		(920)	(1)			(1,002)	(2)			(1,808)	(5)
State taxes, net of federal income tax benefit		1,425	2			1,999	4			725	2
Deferred tax asset remeasurement (1)		—	—			—	—			7,572	19
Other		(253)	(1)			(2,013)	(4)			(1,363)	(3)
Income tax expense	$	14,060	21	%	$	9,141	19	%	$	18,946	48	%

(1) 2017 amount includes a charge to write-down deferred tax assets due to the enactment of the Tax Act of $7.6 million.

Schedule of components of deferred tax assets and liabilities

	December 31,
(In thousands)	2019		2018
Deferred tax assets:
Allowance for loan losses and off-balance sheet credit exposure	$	10,305	$	9,309
Net unrealized losses on securities		343		4,810
Compensation and related benefit obligations		2,368		2,427
Purchase accounting fair value adjustments		4,735		4,141
Net change in pension and other post-retirement benefits plans		2,809		2,630
Net operating loss carryforward		3,229		4,746
Net loss on cash flow hedges		304		—
Operating lease liabilities		13,444		—
Other		200		671
Total deferred tax assets		37,737		28,734
Deferred tax liabilities:
Pension and SERP expense		(4,904)		(4,559)
Depreciation		(956)		(1,163)
REIT undistributed net income		(2,403)		(2,110)
Net deferred loan costs and fees		(2,413)		(2,206)
Net gain on cash flow hedges		—		(1,210)
State and local taxes		(1,227)		(1,468)
Operating lease right-of-use assets		(12,934)		—
Other		(835)		(353)
Total deferred tax liabilities		(25,672)		(13,069)
Net deferred tax asset	$	12,065	$	15,665