Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2023

Financial Instruments Measured on Recurring Basis

The following table sets forth the Company’s financial assets by level within the fair value hierarchy that were measured at fair value on a recurring basis as of September 30, 2023 and December 31, 2022.


			Fair Value Measurements Using
(In thousands)	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
September 30, 2023
Available-for-sale securities
U.S. Treasury	$	2,224	$	2,224	$	—	$	—
U.S. Government agencies	172,759		—		172,759		—
Mortgage-backed securities	2,157,092		—		2,157,092		—
State and political subdivisions	790,344		—		790,344		—
Other securities	236,002		—		236,002		—
Mortgage loans held for sale	11,690		—		—		11,690
Derivative asset	178,183		—		178,183		—
Derivative liability	(33,801)		—		(33,801)		—

December 31, 2022
Available-for-sale securities
U.S. Treasury	$	2,197	$	2,197	$	—	$	—
U.S. Government agencies	184,279		—		184,279		—
Mortgage-backed securities	2,542,902		—		2,542,902		—
States and political subdivisions	871,074		—		871,074		—
Other securities	252,402		—		252,402		—
Mortgage loans held for sale	3,486		—		—		3,486
Derivative asset	139,323		—		139,323		—
Derivative liability	(34,440)		—		(34,440)		—

Financial Assets Measure on Nonrecurring Basis

The following table sets forth the Company’s assets by level within the fair value hierarchy that were measured at fair value on a nonrecurring basis as of September 30, 2023 and December 31, 2022.


			Fair Value Measurements Using
(In thousands)	Fair Value		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
September 30, 2023
Individually assessed loans (1) (2) (collateral-dependent)	$	129,492	$	—	$	—	$	129,492
Foreclosed assets and other real estate owned (1)	3,195		—		—		3,195

December 31, 2022
Individually assessed loans (1) (2) (collateral-dependent)	$	70,926	$	—	$	—	$	70,926
Foreclosed assets and other real estate owned (1)	2,418		—		—		2,418

________________________

(1)These amounts represent the resulting carrying amounts on the consolidated balance sheets for collateral-dependent loans and foreclosed assets and other real estate owned for which fair value re-measurements took place during the period.

(2)Identified reserves of $16.4 million and $5.2 million were related to collateral-dependent loans for which fair value re-measurements took place during the periods ended September 30, 2023 and December 31, 2022, respectively.

Estimated Fair Values and Related Carrying Amounts

The estimated fair values, and related carrying amounts, of the Company’s financial instruments are as follows:


	Carrying		Fair Value Measurements
(In thousands)	Amount		Level 1		Level 2		Level 3		Total
September 30, 2023
Financial assets:
Cash and cash equivalents	$	605,648	$	605,648	$	—	$	—	$	605,648
Interest bearing balances due from banks - time	100		—		100		—		100
Held-to-maturity securities, net	3,742,292		—		2,848,211		—		2,848,211
Interest receivable	110,361		—		110,361		—		110,361
Loans, net	16,553,341		—		—		15,382,448		15,382,448

Financial liabilities:
Noninterest bearing transaction accounts	4,991,034		—		4,991,034		—		4,991,034
Interest bearing transaction accounts and savings deposits	10,571,807		—		10,571,807		—		10,571,807
Time deposits	6,668,370		—		—		6,616,375		6,616,375
Federal funds purchased and securities sold under agreements to repurchase	74,482		—		74,482		—		74,482
Other borrowings	1,347,855		—		1,344,752		—		1,344,752
Subordinated notes and debentures	366,103		—		353,816		—		353,816
Interest payable	33,008		—		33,008		—		33,008

December 31, 2022
Financial assets:
Cash and cash equivalents	$	682,122	$	682,122	$	—	$	—	$	682,122
Interest bearing balances due from banks - time	795		—		795		—		795
Held-to-maturity securities, net	3,759,706		—		3,063,233		—		3,063,233
Interest receivable	102,892		—		102,892		—		102,892
Loans, net	15,945,169		—		—		15,573,555		15,573,555

Financial liabilities:
Noninterest bearing transaction accounts	6,016,651		—		6,016,651		—		6,016,651
Interest bearing transaction accounts and savings deposits	11,762,885		—		11,762,885		—		11,762,885
Time deposits	4,768,558		—		—		4,696,473		4,696,473
Federal funds purchased and securities sold under agreements to repurchase	160,403		—		160,403		—		160,403
Other borrowings	859,296		—		857,257		—		857,257
Subordinated notes and debentures	365,989		—		363,578		—		363,578
Interest payable	16,399		—		16,399		—		16,399