Equity

3 Months Ended

Mar. 31, 2019

Equity [Abstract]

Equity

12. EQUITY

Capital Purchase Program ("CPP") Warrants

As of March 31, 2019 and December 31, 2018, respectively, the Company has 1.0 million and 1.9 million of CPP warrants outstanding and exercisable. The CPP warrants were issued in 2009 as part of a program established by the U.S. Department of the Treasury under the Emergency Economic Stabilization Act of 2008. The CPP warrants expire in June 2019.

CPP warrant exercises were 0.9 million and 0.1 million for the three months ended March 31, 2019 and 2018, respectively.

The declaration of common stock dividends by the Company in excess of a threshold triggers a provision in the Company's warrant agreement with The Bank of New York Mellon resulting in adjustments to the CPP warrant exercise price and the number of shares deliverable for each warrant exercised (the “Warrant Share Number”). Accordingly, the declaration of a common stock dividend during the three months ended March 31, 2019 resulted in an adjustment to the CPP warrant exercise price. The CPP warrant exercise price was $8.791 as of March 31, 2019 and

$8.836 as of December 31, 2018 and the Warrant Share Number was 1.1 as of March 31, 2019 and December 31, 2018. The exercise price will be settled by the Company withholding the number of common shares issuable upon exercise of the warrants equal to the value of the aggregate exercise price of the warrants so exercised determined by reference to the closing price of the Company's common stock on the trading day on which the warrants are exercised and notice is delivered to the warrant agent.

Equity Repurchase Program

In February, 2019, the Company announced a $1.0 billion share repurchase authorization by the Board of Directors which is effective through December 31, 2020. Based on projected holding company resources, the Company expects to use a portion of the authorization in 2019 but anticipates using the majority of the program in 2020. Any repurchase of shares under the equity repurchase program is dependent on market conditions and other factors. During the three months ended March 31, 2019, no common shares were repurchased.