Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2022

Fair Value Disclosures [Abstract]

Fair Value Assets And Liabilities Measured On A Recurring Basis [Table Text Block]

The fair value of financial assets and liabilities measured on a recurring basis was as follows as of June 30, 2022 (in thousands):

	Total		Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Trading securities:
U.S. government securities	$	8,357	$	8,357	$	—	$	—
Residential agency mortgage-backed securities	2,807,950		—		2,807,950		—
Municipal securities	18,825		—		18,825		—
Other trading securities	24,312		—		24,312		—
Total trading securities	2,859,444		8,357		2,851,087		—
Available for sale securities:
U.S. Treasury	927		927		—		—
Municipal securities	638,305		—		638,305		—
Residential agency mortgage-backed securities	4,913,245		—		4,913,245		—
Residential non-agency mortgage-backed securities	519,613		—		519,613		—
Commercial agency mortgage-backed securities	4,080,101		—		4,080,101		—
Other debt securities	472		—		—		472
Total available for sale securities	10,152,663		927		10,151,264		472
Fair value option securities – Residential agency mortgage-backed securities	37,927		—		37,927		—
Residential mortgage loans held for sale1	182,726		—		174,600		8,126
Mortgage servicing rights2	270,312		—		—		270,312
Derivative contracts, net of cash collateral	1,992,977		—		1,992,977		—
Liabilities:
Derivative contracts, net of cash collateral	214,576		—		214,576		—

1Residential mortgage loans held for sale measured at fair value on a recurring basis using significant unobservable inputs (Level 3) consist of residential mortgage loans intended for sale to U.S. government agencies that fail to meet conforming standards and are valued at 86.67% of the unpaid principal balance.

2A reconciliation of the beginning and ending fair value of mortgage servicing rights and disclosures of significant assumptions used to determine fair value are presented in Note 5, Mortgage Banking Activities.

The fair value of financial assets and liabilities measured on a recurring basis was as follows as of December 31, 2021 (in thousands):

	Total		Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Trading securities:
U.S. government securities	$	23,610	$	4,999	$	18,611	$	—
Residential agency mortgage-backed securities	9,068,900		—		9,068,900		—
Municipal securities	25,783		—		25,783		—
Other trading securities	18,520		—		18,520		—
Total trading securities	9,136,813		4,999		9,131,814		—
Available for sale securities:
U.S. Treasury	1,000		1,000		—		—
Municipal securities	508,365		—		508,365		—
Residential agency mortgage-backed securities	8,006,616		—		8,006,616		—
Residential non-agency mortgage-backed securities	24,339		—		24,339		—
Commercial agency mortgage-backed securities	4,617,025		—		4,617,025		—
Other debt securities	472		—		—		472
Total available for sale securities	13,157,817		1,000		13,156,345		472
Fair value option securities — Residential agency mortgage-backed securities	43,770		—		43,770		—
Residential mortgage loans held for sale1	192,295		—		185,969		6,326
Mortgage servicing rights2	163,198		—		—		163,198
Derivative contracts, net of cash collateral	1,097,297		8,331		1,088,966		—
Liabilities:
Derivative contracts, net of cash collateral	275,625		—		275,625		—

1Residential mortgage loans held for sale measured at fair value on a recurring basis using significant unobservable inputs (Level 3) consist of residential mortgage loans intended for sale to U.S. government agencies that fail to meet conforming standards and are valued at 95.07% of the unpaid principal balance.

2A reconciliation of the beginning and ending fair value of mortgage servicing rights and disclosures of significant assumptions used to determine fair value are presented in Note 5, Mortgage Banking Activities.

Fair Value Assets Measured on Nonrecurring Basis [Table Text Block]

The following represents the carrying value of assets measured at fair value on a non-recurring basis (and related losses) during the period. The carrying value represents only those assets with a balance at June 30, 2022 for which the fair value was adjusted during the six months ended June 30, 2022:

							Fair Value Adjustments for the
	Carrying Value at June 30, 2022						Three Months Ended Jun. 30, 2022 Recognized in:				Six Months Ended Jun. 30, 2022 Recognized in:
	Quoted Prices in Active Markets for Identical Instruments		Significant Other Observable Inputs		Significant Unobservable Inputs		Gross charge-offs against allowance for loan losses		Other gains (losses), net		Gross charge-offs against allowance for loan losses		Other gains (losses), net
Nonaccruing loans	$	—	$	99	$	126	$	—	$	—	$	478	$	—
Real estate and other repossessed assets	—		1,412		1,699		—		(5,811)		—		(5,705)

The following represents the carrying value of assets measured at fair value on a non-recurring basis (and related losses) during the period. The carrying value represents only those assets with a balance at June 30, 2021 for which the fair value was adjusted during the six months ended June 30, 2021:

							Fair Value Adjustments for the
	Carrying Value at June 30, 2021						Three Months Ended Jun. 30, 2021 Recognized in:				Six Months Ended Jun. 30, 2021 Recognized in:
	Quoted Prices in Active Markets for Identical Instruments		Significant Other Observable Inputs		Significant Unobservable Inputs		Gross charge-offs against allowance for loan losses		Other gains (losses), net		Gross charge-offs against allowance for loan losses		Other gains (losses), net
Nonaccruing loans	$	—	$	4,730	$	42,453	$	17,362	$	—	$	24,721	$	—
Real estate and other repossessed assets	—		1,706		36,010		—		(3,966)		—		(6,166)

Fair Value Inputs, Fair Value Measured On a Nonrecurring Basis, Quantitative Information [Table Text Block]

A summary of quantitative information about Non-recurring Fair Value Measurements based on Significant Unobservable Inputs (Level 3) as of June 30, 2022 follows (in thousands):

	Fair Value		Valuation Technique(s)	Unobservable Input	Range (Weighted Average)
Nonaccruing loans	$	126	Discounted cash flows	Management knowledge of industry and non-real estate collateral including but not limited to recoverable oil and gas reserves, forward-looking commodity prices, estimated operating costs	25% - 25% (25%)1
Real estate and other repossessed assets	1,699		Discounted cash flows	Management knowledge of industry and non-real estate collateral.	N/A

1     Represents fair value as a percentage of the unpaid principal balance.

A summary of quantitative information about Non-recurring Fair Value Measurements based on Significant Unobservable Inputs (Level 3) as of June 30, 2021 follows (in thousands):

	Fair Value		Valuation Technique(s)	Unobservable Input	Range (Weighted Average)
Nonaccruing loans	$	42,453	Discounted cash flows	Management knowledge of industry and non-real estate collateral including but not limited to recoverable oil and gas reserves, forward-looking commodity prices, estimated operating costs	4% - 96% (47%)1
Real estate and other repossessed assets	36,010		Discounted cash flows	Management knowledge of industry and non-real estate collateral including but not limited to recoverable oil and gas reserves, forward-looking commodity prices, estimated operating costs	N/A

1 Represents fair value as a percentage of the unpaid principal balance.

Fair Value of Financial Instruments [Table Text Block]

The following table presents the carrying values and estimated fair values of all financial instruments, including those financial assets and liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis as of June 30, 2022 (dollars in thousands):

	Carrying Value		Estimated Fair Value		Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Cash and due from banks	$	1,313,563	$	1,313,563	$	1,313,563	$	—	$	—
Interest-bearing cash and cash equivalents	723,787		723,787		723,787		—		—
Trading securities:
U.S. government securities	8,357		8,357		8,357		—		—
Residential agency mortgage-backed securities	2,807,950		2,807,950		—		2,807,950		—
Municipal securities	18,825		18,825		—		18,825		—
Other trading securities	24,312		24,312		—		24,312		—
Total trading securities	2,859,444		2,859,444		8,357		2,851,087		—
Investment securities:
Municipal securities	175,974		180,783		—		41,498		139,285
Residential agency mortgage-backed securities	2,445,845		2,410,926		—		2,410,926		—
Commercial agency mortgage-backed securities	15,455		15,279		—		15,279		—
Other debt securities	788		769		—		769		—
Total investment securities	2,638,062		2,607,757		—		2,468,472		139,285
Allowance for credit losses	(717)		—		—		—		—
Investment securities, net of allowance	2,637,345		2,607,757		—		2,468,472		139,285
Available for sale securities:
U.S. Treasury	927		927		927		—		—
Municipal securities	638,305		638,305		—		638,305		—
Residential agency mortgage-backed securities	4,913,245		4,913,245		—		4,913,245		—
Residential non-agency mortgage-backed securities	519,613		519,613		—		519,613		—
Commercial agency mortgage-backed securities	4,080,101		4,080,101		—		4,080,101		—
Other debt securities	472		472		—		—		472
Total available for sale securities	10,152,663		10,152,663		927		10,151,264		472
Fair value option securities – Residential agency mortgage-backed securities	37,927		37,927		—		37,927		—
Residential mortgage loans held for sale	182,726		182,726		—		174,600		8,126
Loans:
Commercial	13,578,697		13,334,931		—		—		13,334,931
Commercial real estate	4,106,148		3,991,292		—		—		3,991,292
Paycheck protection program	43,140		43,140		—		—		43,140
Loans to individuals	3,563,163		3,422,548		—		—		3,422,548
Total loans	21,291,148		20,791,911		—		—		20,791,911
Allowance for loan losses	(241,114)		—		—		—		—
Loans, net of allowance	21,050,034		20,791,911		—		—		20,791,911
Mortgage servicing rights	270,312		270,312		—		—		270,312
Derivative instruments with positive fair value, net of cash collateral	1,992,977		1,992,977		—		1,992,977		—
Deposits with no stated maturity	37,249,319		37,249,319		—		—		37,249,319
Time deposits	1,369,599		1,346,175		—		—		1,346,175
Other borrowed funds	712,535		710,004		—		—		710,004
Subordinated debentures	131,223		130,136		—		130,136		—
Derivative instruments with negative fair value, net of cash collateral	214,576		214,576		—		214,576		—

The following table presents the carrying values and estimated fair values of all financial instruments, including those financial assets and liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis as of December 31, 2021 (dollars in thousands):

	Carrying Value		Estimated Fair Value		Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Cash and due from banks	$	712,067	$	712,067	$	712,067	$	—	$	—
Interest-bearing cash and cash equivalents	2,125,343		2,125,343		2,125,343		—		—
Trading securities:
U.S. government securities	23,610		23,610		4,999		18,611		—
Residential agency mortgage-backed securities	9,068,900		9,068,900		—		9,068,900		—
Municipal securities	25,783		25,783		—		25,783		—
Other trading securities	18,520		18,520		—		18,520		—
Total trading securities	9,136,813		9,136,813		4,999		9,131,814		—
Investment securities:
Municipal securities	203,772		223,609		—		57,698		165,911
Residential agency mortgage-backed securities	6,939		7,500		—		7,500		—
Other debt securities	288		286		—		286		—
Total investment securities	210,999		231,395		—		65,484		165,911
Allowance for credit losses	(555)		—		—		—		—
Investment securities, net of allowance	210,444		231,395		—		65,484		165,911
Available for sale securities:
U.S. Treasury	1,000		1,000		1,000		—		—
Municipal securities	508,365		508,365		—		508,365		—
Residential agency mortgage-backed securities	8,006,616		8,006,616		—		8,006,616		—
Residential non-agency mortgage-backed securities	24,339		24,339		—		24,339		—
Commercial agency mortgage-backed securities	4,617,025		4,617,025		—		4,617,025		—
Other debt securities	472		472		—		—		472
Total available for sale securities	13,157,817		13,157,817		1,000		13,156,345		472
Fair value option securities — Residential agency mortgage-backed securities	43,770		43,770		—		43,770		—
Residential mortgage loans held for sale	192,295		192,295		—		185,969		6,326
Loans:
Commercial	12,506,465		12,395,664		—		—		12,395,664
Commercial real estate	3,831,325		3,786,767		—		—		3,786,767
Paycheck protection program	276,341		269,912		—		—		269,912
Loans to individuals	3,591,549		3,586,878		—		—		3,586,878
Total loans	20,205,680		20,039,221		—		—		20,039,221
Allowance for loan losses	(256,421)		—		—		—		—
Loans, net of allowance	19,949,259		20,039,221		—		—		20,039,221
Mortgage servicing rights	163,198		163,198		—		—		163,198
Derivative instruments with positive fair value, net of cash collateral	1,097,297		1,097,297		8,331		1,088,966		—
Deposits with no stated maturity	39,537,731		39,537,731		—		—		39,537,731
Time deposits	1,704,328		1,703,886		—		—		1,703,886
Other borrowed funds	2,363,202		2,360,746		—		—		2,360,746
Subordinated debentures	131,226		141,761		—		141,761		—
Derivative instruments with negative fair value, net of cash collateral	275,625		275,625		—		275,625		—