XML 41 R12.htm IDEA: XBRL DOCUMENT
v3.22.0.1

Investment Securities | 12 Months Ended
--- | ---
Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract] |
Investment Securities |
NOTE 3 – INVESTMENT SECURITIES
The following tables present the amortized cost and estimated fair values of investment securities, as of December 31:
| Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Estimated Fair Value
| (in thousands)
2021 |  |  |  |  |  |  |
Available for Sale |  |  |  |  |  |  |
U.S. Government securities | $ | 127,831 |  |  | $ | — |  |  | $ | (213) |  |  | $ | 127,618 |
State and municipal securities | 1,139,187 |  |  | 50,161 |  |  | (678) |  |  | 1,188,670 |
Corporate debt securities | 373,482 |  |  | 13,009 |  |  | (358) |  |  | 386,133 |
Collateralized mortgage obligations | 206,532 |  |  | 3,581 |  |  | (754) |  |  | 209,359 |
Residential mortgage-backed securities | 231,607 |  |  | 1,224 |  |  | (3,036) |  |  | 229,795 |
Commercial mortgage-backed securities | 974,541 |  |  | 6,141 |  |  | (9,534) |  |  | 971,148 |
Auction rate securities | 76,350 |  |  | — |  |  | (1,683) |  |  | 74,667 |
Total | $ | 3,129,530 |  |  | $ | 74,116 |  |  | $ | (16,256) |  |  | $ | 3,187,390 |
Held to Maturity |  |  |  |  |  |  |
Residential mortgage-backed securities | $ | 404,958 |  |  | $ | 11,022 |  |  | $ | (7,067) |  |  | $ | 408,913 |
Commercial mortgage-backed securities | 575,426 |  |  | — |  |  | (18,472) |  |  | 556,954 |
Total | $ | 980,384 |  |  | $ | 11,022 |  |  | $ | (25,539) |  |  | $ | 965,867 |
2020 |  |  |  |  |  |  |
Available for Sale |  |  |  |  |  |  |
State and municipal securities | $ | 891,327 |  |  | $ | 61,286 |  |  | $ | — |  |  | $ | 952,613 |
Corporate debt securities | 348,391 |  |  | 19,445 |  |  | (691) |  |  | 367,145 |
Collateralized mortgage obligations | 491,321 |  |  | 12,560 |  |  | (115) |  |  | 503,766 |
Residential mortgage-backed securities | 373,779 |  |  | 4,246 |  |  | (27) |  |  | 377,998 |
Commercial mortgage-backed securities | 741,172 |  |  | 22,384 |  |  | (1,141) |  |  | 762,415 |
Auction rate securities | 101,510 |  |  | — |  |  | (3,304) |  |  | 98,206 |
Total | $ | 2,947,500 |  |  | $ | 119,921 |  |  | $ | (5,278) |  |  | $ | 3,062,143 |
Held to Maturity |  |  |  |  |  |  |
Residential mortgage-backed securities | $ | 278,281 |  |  | $ | 18,576 |  |  | $ | — |  |  | $ | 296,857 |
On July 1, 2019, the Corporation transferred state and municipal securities from the HTM classification to the AFS classification as permitted through the early adoption of ASU 2019-04, as disclosed in "Note 1 - Summary of Significant Accounting Policies." The amortized cost of the securities transferred was $158.9 million, and the estimated fair value was $168.5 million. The Corporation has the positive intent and ability to hold the remainder of the HTM portfolio, consisting of residential mortgage-backed securities, to maturity. Securities carried at $2,502.1 million at December 31, 2021 and $520.5 million at December 31, 2020, were pledged as collateral to secure public and trust deposits. The amortized cost and estimated fair values of debt securities as of December 31, 2021, by contractual maturity, are shown in the following table. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.
| Available for Sale |  | Held to Maturity
| Amortized Cost |  | Estimated Fair Value |  | Amortized Cost |  | Estimated Fair Value
| (in thousands)
Due in one year or less | $ | 9,053 |  |  | $ | 9,175 |  |  | $ | — |  |  | $ | — |
Due from one year to five years | 163,249 |  |  | 163,924 |  |  | — |  |  | — |
Due from five years to ten years | 391,040 |  |  | 405,782 |  |  | — |  |  | — |
Due after ten years | 1,153,508 |  |  | 1,198,207 |  |  | — |  |  | — |
| 1,716,850 |  |  | 1,777,088 |  |  | — |  |  | — |
Residential mortgage-backed securities (1) | 231,607 |  |  | 229,795 |  |  | 404,958 |  |  | 408,913 |
Commercial mortgage-backed securities (1) | 974,541 |  |  | 971,148 |  |  | 575,426 |  |  | 556,954 |
Collateralized mortgage obligations (1) | 206,532 |  |  | 209,359 |  |  | — |  |  | — |
Total | $ | 3,129,530 |  |  | $ | 3,187,390 |  |  | $ | 980,384 |  |  | $ | 965,867 |
(1) Maturities for mortgage-backed securities and collateralized mortgage obligations are dependent upon the interest rate environment and prepayments on the underlying loans. The following table presents information related to gross gains and losses on the sales of securities:
| Gross Realized Gains |  | Gross Realized Losses |  | Net Gains
| (in thousands)
2021 | $ | 35,593 |  |  | $ | (2,077) |  |  | $ | 33,516 |
2020 | 6,545 |  |  | (3,492) |  |  | 3,053 |
2019 | 11,554 |  |  | (6,821) |  |  | 4,733 |
During 2021, the Corporation completed a balance sheet restructuring that included a $34.0 million gain on the sale of Visa Shares, offset by net losses on other securities of $0.4 million, primarily in connection with the sale of $24.6 million of ARCs. During 2020, the Corporation completed a balance sheet restructuring that included the sale of investment securities, with an amortized cost of $79.0 million and an estimated fair value of $82.0 million, resulting in net investment securities gains of $3.0 million. Offsetting these gains were $2.9 million of prepayment penalties recorded in non-interest expense for the redemption of FHLB advances. The following tables present the gross unrealized losses and estimated fair values of investments, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, as of December 31:
| Less Than 12 months |  | 12 Months or Longer |  | Total
| Number of Securities |  | Estimated Fair Value |  | Unrealized Losses |  | Number of Securities |  | Estimated Fair Value |  | Unrealized Losses |  | Estimated Fair Value |  | Unrealized Losses
2021 | (dollars in thousands)
Available for Sale |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
U.S. Government securities | 2 |  |  | $ | 127,618 |  |  | $ | (213) |  |  | — |  |  | $ | — |  |  | $ | — |  |  | $ | 127,618 |  |  | $ | (213) |
State and municipal securities | 29 |  |  | 82,731 |  |  | (678) |  |  | — |  |  | — |  |  | — |  |  | 82,731 |  |  | (678) |
Corporate debt securities | 6 |  |  | 43,068 |  |  | (358) |  |  | — |  |  | — |  |  | — |  |  | 43,068 |  |  | (358) |
Collateralized mortgage obligations | 4 |  |  | 28,517 |  |  | (754) |  |  | — |  |  | — |  |  | — |  |  | 28,517 |  |  | (754) |
Residential mortgage-backed securities | 7 |  |  | 123,687 |  |  | (2,388) |  |  | 1 |  |  | 16,669 |  |  | (648) |  |  | 140,356 |  |  | (3,036) |
Commercial mortgage-backed securities | 41 |  |  | 512,312 |  |  | (9,534) |  |  | — |  |  | — |  |  | — |  |  | 512,312 |  |  | (9,534) |
Auction rate securities | — |  |  | — |  |  | — |  |  | 118 |  |  | 74,667 |  |  | (1,683) |  |  | 74,667 |  |  | (1,683) |
Total available for sale | 89 |  |  | $ | 917,933 |  |  | $ | (13,925) |  |  | 119 |  |  | $ | 91,336 |  |  | $ | (2,331) |  |  | $ | 1,009,269 |  |  | $ | (16,256) |
Held to Maturity |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Residential mortgage-backed securities | 14 |  | $ | 205,969 |  |  | $ | (7,067) |  |  | — |  |  | $ | — |  |  | $ | — |  |  | $ | 205,969 |  |  | $ | (7,067) |
Commercial mortgage-backed securities | 36 |  |  | 556,954 |  |  | (18,472) |  |  | — |  |  | — |  |  | — |  |  | 556,954 |  |  | (18,472) |
Total | 50 |  |  | $ | 762,923 |  |  | $ | (25,539) |  |  | — |  |  | $ | — |  |  | $ | — |  |  | $ | 762,923 |  |  | $ | (25,539) |
| Less Than 12 months |  |  |  | 12 Months or Longer |  | Total
| Number of Securities |  | Estimated Fair Value |  | Unrealized Losses |  | Number of Securities |  | Estimated Fair Value |  | Unrealized Losses |  | Estimated Fair Value |  | Unrealized Losses
2020 |
Available for Sale |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Corporate debt securities | 9 |  |  | $ | 44,528 |  |  | $ | (377) |  |  | 1 |  |  | $ | 6,871 |  |  | $ | (314) |  |  | $ | 51,399 |  |  | $ | (691) |
Collateralized mortgage obligations | 3 |  |  | 57,601 |  |  | (115) |  |  | — |  |  | — |  |  | — |  |  | 57,601 |  |  | (115) |
Residential mortgage-backed securities | 1 |  |  | 20,124 |  |  | (27) |  |  | — |  |  | — |  |  | — |  |  | 20,124 |  |  | (27) |
Commercial mortgage-backed securities | 9 |  |  | 144,383 |  |  | (1,141) |  |  | — |  |  | — |  |  | — |  |  | 144,383 |  |  | (1,141) |
Auction rate securities | — |  |  | — |  |  | — |  |  | 162 |  |  | 98,206 |  |  | (3,304) |  |  | 98,206 |  |  | (3,304) |
Total available for sale | 22 |  |  | $ | 266,636 |  |  | $ | (1,660) |  |  | 163 |  |  | $ | 105,077 |  |  | $ | (3,618) |  |  | $ | 371,713 |  |  | $ | (5,278) |
No held to maturity securities were in an unrealized loss position as of December 31, 2020. The Corporation’s collateralized mortgage obligations and mortgage-backed securities have contractual terms that generally do not permit the issuer to settle the securities at a price less than the amortized cost of the investment. The change in fair value of these securities is attributable to changes in interest rates and not credit quality. The Corporation does not have the intent to sell and does not believe it will more likely than not be required to sell any of these securities prior to a recovery of their fair value to amortized cost. Therefore, the Corporation does not have an ACL for these investments as of December 31, 2021 and 2020. As of December 31, 2021 and 2020, all ARCs and corporate debt securities were rated above investment grade. All of the loans underlying the ARCs have principal payments which are guaranteed by the federal government. Based on the payment status, rating and management’s evaluation of these securities, no ACL was required for ARCs or corporate debt securities as of December 31, 2021 and 2020.

X
- References No definition available. + Details
Name: | us-gaap_InvestmentsDebtAndEquitySecuritiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2209399 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 946 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2324412 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -URI http://asc.fasb.org/topic&trid=2196928 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 940 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2176304 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher SEC -Name Regulation S-K (SK) -Number 229 -Section 1403 -Paragraph (b) + Details
Name: | us-gaap_InvestmentsInDebtAndMarketableEquitySecuritiesAndCertainTradingAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration