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Business Combinations (Tables)
 12 Months Ended
Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract]  
Schedule of Acquisitions
The following table summarizes the consideration transferred and the fair values of identifiable assets acquired and liabilities assumed on July 1, 2022:
Fair Value
(in thousands, except per share data)
Consideration transferred:
 Common stock shares issued (6,208,516)
$89,713 
Cash paid to Prudential Bancorp shareholders29,343 
     Value of consideration119,056 
Assets acquired:
     Cash and due from banks7,532 
     Investment securities287,126 
     Loans, net554,288 
     Premises and equipment13,738 
     Other assets70,720 
          Total assets933,404 
Liabilities assumed:
     Deposits532,180 
Borrowings(1)
284,000 
     Other liabilities14,441 
          Total liabilities830,621 
Net assets acquired:102,783 
Goodwill resulting from acquisition of Prudential Bancorp$16,273 
(1) Includes a $30.5 million intercompany borrowing between Prudential Bank and Fulton Bank.
The following table presents information with respect to the fair value and unpaid principal balance of acquired loans and leases at the Merger date:

July 1, 2022
Unpaid Principal BalanceFair Value
(dollars in thousands)
Real estate - commercial mortgage$224,904 $216,613 
Commercial and industrial63,560 62,050 
Real-estate - residential mortgage177,327 169,098 
Real-estate - home equity6,034 5,812 
Real-estate - construction98,963 98,546 
Consumer2,306 2,286 
     Total acquired loans$573,094 $554,405 

The following table presents the carrying amount of loans for which, at the date of the Merger, there was evidence of more than insignificant deterioration of credit quality since origination:

July 1, 2022
(dollars in thousands)
Book balance of loans with deteriorated credit quality at acquisition$27,057 
Allowance for credit losses at acquisition(1,135)
Non-credit related discount(130)
     Total initial purchased credit deteriorated loans$25,792 
The following table details the costs identified and classified as Merger-related expenses:

Twelve Months Ended December 31
2022
(dollars in thousands)
Salaries and employee benefits$938
Data processing and software1,412
Net occupancy1,658
Other outside services225
Professional fees3,053
Marketing95
Charitable donation2,000
Other947
     Total Merger-related expenses$10,328
The following table summarizes the results of operations contributed by Prudential Bancorp for the three-month period ended September 30, 2022, presented in the unaudited Consolidated Statements of Income:
Three Months Ended September 30, 2022
(Unaudited)
(dollars in thousands)
Total interest income$10,871 
Total interest expense2,733
 Net interest income8,138
Provisions for credit losses7,571
     Net Interest Income After Provision for Credit Losses567
Total noninterest income197
Total noninterest expense3,583
     Income Before Income Taxes(2,819)
Income taxes(753)
     Net Loss$(2,066)
Schedule of Goodwill
The following table presents the change in goodwill during the period:

Twelve Months Ended December 31
2022
(dollars in thousands)
Goodwill at December 31, 2021$534,266 
Goodwill from Prudential Bancorp acquisition16,273 
Goodwill at December 31, 2022$550,539 
Pro Forma Income Statement
The below table presents the pro forma results of the operations of the combined institutions as if the Merger occurred on January 1, 2021. The pro forma income statement adjustments are limited to the effects of fair value mark amortization and accretion and intangible asset amortization and do not consider future cost savings the Corporation expects to achieve subsequent to the merger of Prudential Bank with and into the Bank.
Year Ended December 31
20222021
(dollars in thousands)
Net interest income$801,907 $687,216 
Provision for credit losses34,041 (14,400)
     Net Interest Income After Provision for Credit Losses767,866 701,616 
Total noninterest income232,054 277,217 
Total noninterest expenses663,133 635,568 
     Income Before Income Taxes336,787 343,265 
Income tax expense57,249 59,985 
     Net Income$279,538 $283,280