Derivative Instruments and Other Hedging Activities (Tables)

9 Months Ended

Sep. 30, 2019

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Outstanding Derivative Instruments

Information pertaining to outstanding derivative instruments was as follows:

	Derivative Assets - Fair Value				Derivative Liabilities - Fair Value
(in thousands)	September 30, 2019		December 31, 2018		September 30, 2019		December 31, 2018
Derivatives designated as hedging instruments:
Interest rate contracts	$	23,339	$	3,469	$	—	$	—
Total derivatives designated as hedging instruments	$	23,339	$	3,469	$	—	$	—
Derivatives not designated as hedging instruments:
Interest rate contracts:
Customer swaps - upstream	$	12	$	474	$	6,104	$	191
Customer swaps - downstream	104,779		16,946		206		17,812
Foreign exchange contracts	—		18		—		18
Forward sales contracts	485		630		654		750
Written and purchased options	7,549		5,490		3,695		3,310
Other contracts	71		21		192		43
Total derivatives not designated as hedging instruments	$	112,896	$	23,579	$	10,851	$	22,124
Total	$	136,235	$	27,048	$	10,851	$	22,124

	Derivative Assets - Notional Amount				Derivative Liabilities - Notional Amount
(in thousands)	September 30, 2019		December 31, 2018		September 30, 2019		December 31, 2018
Derivatives designated as hedging instruments:
Interest rate contracts	$	800,000	$	408,500	$	108,500	$	—
Total derivatives designated as hedging instruments	$	800,000	$	408,500	$	108,500	$	—
Derivatives not designated as hedging instruments:
Interest rate contracts:
Customer swaps - upstream	$	142,425	$	919,653	$	2,259,248	$	701,257
Customer swaps - downstream	2,259,248		701,257		142,425		919,653
Foreign exchange contracts	—		1,202		—		1,202
Forward sales contracts	144,368		1,140		211,049		143,179
Written and purchased options	339,569		229,333		128,150		140,645
Other contracts	74,085		50,527		145,443		85,623
Total derivatives not designated as hedging instruments	$	2,959,695	$	1,903,112	$	2,886,315	$	1,991,559
Total	$	3,759,695	$	2,311,612	$	2,994,815	$	1,991,559

Offsetting Assets

The following table reconciles the gross amounts presented in the consolidated balance sheets to the net amounts that would result in the event of offset.

	September 30, 2019
	Gross Amounts Presented in the Balance Sheet		Gross Amounts Not Offset in the Balance Sheet					Net
(in thousands)			Derivatives			Collateral
Derivatives subject to master netting arrangements
Derivative assets
Interest rate contracts designated as hedging instruments	$	23,338	$	—		$	—	$	23,338
Interest rate contracts not designated as hedging instruments	104,791		(6,119		)	—		98,672
Written and purchased options	3,581		—			—		3,581
Total derivative assets subject to master netting arrangements	$	131,710	$	(6,119	)	$	—	$	125,591
Derivative liabilities
Interest rate contracts not designated as hedging instruments	$	6,310	$	(6,119	)	$	—	$	191
Written and purchased options	3,581		—			—		3,581
Total derivative liabilities subject to master netting arrangements	$	9,891	$	(6,119	)	$	—	$	3,772

	December 31, 2018
	Gross Amounts Presented in the Balance Sheet		Gross Amounts Not Offset in the Balance Sheet					Net
(in thousands)			Derivatives			Collateral
Derivatives subject to master netting arrangements
Derivative assets
Interest rate contracts designated as hedging instruments	$	3,469	$	—		$	—	$	3,469
Interest rate contracts not designated as hedging instruments	17,420		(619		)	—		16,801
Written and purchased options	3,285		—			—		3,285
Total derivative assets subject to master netting arrangements	$	24,174	$	(619	)	$	—	$	23,555
Derivative liabilities
Interest rate contracts not designated as hedging instruments	$	18,003	$	(619	)	$	—	$	17,384
Written and purchased options	3,285		—			—		3,285
Total derivative liabilities subject to master netting arrangements	$	21,288	$	(619	)	$	—	$	20,669

Offsetting Liabilities

The following table reconciles the gross amounts presented in the consolidated balance sheets to the net amounts that would result in the event of offset.

	September 30, 2019
	Gross Amounts Presented in the Balance Sheet		Gross Amounts Not Offset in the Balance Sheet					Net
(in thousands)			Derivatives			Collateral
Derivatives subject to master netting arrangements
Derivative assets
Interest rate contracts designated as hedging instruments	$	23,338	$	—		$	—	$	23,338
Interest rate contracts not designated as hedging instruments	104,791		(6,119		)	—		98,672
Written and purchased options	3,581		—			—		3,581
Total derivative assets subject to master netting arrangements	$	131,710	$	(6,119	)	$	—	$	125,591
Derivative liabilities
Interest rate contracts not designated as hedging instruments	$	6,310	$	(6,119	)	$	—	$	191
Written and purchased options	3,581		—			—		3,581
Total derivative liabilities subject to master netting arrangements	$	9,891	$	(6,119	)	$	—	$	3,772

	December 31, 2018
	Gross Amounts Presented in the Balance Sheet		Gross Amounts Not Offset in the Balance Sheet					Net
(in thousands)			Derivatives			Collateral
Derivatives subject to master netting arrangements
Derivative assets
Interest rate contracts designated as hedging instruments	$	3,469	$	—		$	—	$	3,469
Interest rate contracts not designated as hedging instruments	17,420		(619		)	—		16,801
Written and purchased options	3,285		—			—		3,285
Total derivative assets subject to master netting arrangements	$	24,174	$	(619	)	$	—	$	23,555
Derivative liabilities
Interest rate contracts not designated as hedging instruments	$	18,003	$	(619	)	$	—	$	17,384
Written and purchased options	3,285		—			—		3,285
Total derivative liabilities subject to master netting arrangements	$	21,288	$	(619	)	$	—	$	20,669

Effect of Derivatives on the Consolidated Financial Statements

At September 30, 2019 and 2018, and for the three and nine months then ended, information pertaining to the effect of the hedging instruments on the consolidated financial statements was as follows:

		Amount of Gain (Loss) Recognized in OCI, net of taxes								Location of Gain (Loss) Reclassified from AOCI into Income	Amount of Gain (Loss) Reclassified from AOCI into Income, net of taxes									Location of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing)	Amount of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing)
		Total			Including Component		Excluding Component				Total			Including Component			Excluding Component				Total		Including Component		Excluding Component
(in thousands)		For the Three Months Ended September 30,
Derivatives in Cash Flow Hedging Relationships		2019									2019										2019
	Interest rate contracts	$	(264	)	$	312	$	(576	)	Interest expense	$	(162	)	$	102		$	(264	)	Interest expense	$	—	$	—	$	—
		2018									2018										2018
	Interest rate contracts	$	818		$	818	$	—		Interest expense	$	(22	)	$	(22	)	$	—		Interest expense	$	—	$	—	$	—

		Amount of Gain (Loss) Recognized in OCI, net of taxes							Location of Gain (Loss) Reclassified from AOCI into Income	Amount of Gain (Loss) Reclassified from AOCI into Income, net of taxes									Location of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing)	Amount of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing)
		Total		Including Component		Excluding Component				Total			Including Component			Excluding Component				Total		Including Component		Excluding Component
(in thousands)		For the Nine Months Ended September 30,
Derivatives in Cash Flow Hedging Relationships		2019								2019										2019
	Interest rate contracts	$	1,992	$	3,196	$	(1,204	)	Interest expense	$	(467	)	$	212		$	(679	)	Interest expense	$	—	$	—	$	—
		2018								2018										2018
	Interest rate contracts	$	4,762	$	4,762	$	—		Interest expense	$	(178	)	$	(178	)	$	—		Interest expense	$	—	$	—	$	—

Information pertaining to the effect of derivatives not designated as hedging instruments on the consolidated financial statements as of September 30, was as follows:

	Location of Gain (Loss) Recognized in Income on Derivatives	Amount of Gain (Loss) Recognized in Income on Derivatives
		For the Three Months Ended September 30,						For the Nine Months Ended September 30,
(in thousands)		2019			2018			2019			2018
Interest rate contracts (1)	Commission income	$	4,067		$	2,586		$	10,761		$	5,093
Foreign exchange contracts	Other income	8			7			14			17
Forward sales contracts	Mortgage income	(1,765		)	948			(8,085		)	4,563
Written and purchased options	Mortgage income	(1,848		)	(692		)	1,675			473
Other contracts	Other income	(72		)	1			(99		)	(4		)
Total		$	390		$	2,850		$	4,266		$	10,142

^{(1) Includes fees associated with customer interest rate contracts.}