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Business Combinations and Asset Acquisitions (Tables)
 3 Months Ended
Mar. 31, 2023
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
(dollars 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 banks7,533 
     Investment securities287,126 
     Loans554,091 
     Premises and equipment9,538 
     Other assets71,795 
          Total assets930,083 
Liabilities assumed:
     Deposits532,170 
Borrowings(1)
284,000 
     Other liabilities14,482 
          Total liabilities830,652 
Net assets acquired:99,431 
Goodwill resulting from the Merger$19,625 
(1) Included 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 date of the Merger:
July 1, 2022
Unpaid Principal BalanceFair Value
(dollars in thousands)
Real estate - commercial mortgage$224,904 $216,593 
Commercial and industrial63,560 61,873 
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 $554,208 
The following table presents the carrying amount of loans for which, at the date of 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 purchased credit deteriorated loans$25,792 
Schedule of Goodwill
The following table presents the change in goodwill during the period:
March 31
2023
(dollars in thousands)
Goodwill at December 31, 2022$550,539 
Adjustments to goodwill from the Merger3,352 
Goodwill at March 31, 2023$553,891 
Pro Forma Income Statement
The table below presents the pro forma results of the operations of the combined institutions as if the Merger occurred on January 1, 2022. 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.

Three Months Ended March 31
20232022
(dollars in thousands)
Net interest income$215,587 $166,998 
Provision for credit losses24,544 (4,050)
     Net Interest Income After Provision for Credit Losses191,043 171,048 
Total noninterest income51,753 55,543 
Total noninterest expenses159,616 157,434 
     Income Before Income Taxes83,180 69,157 
Income tax expense14,866 11,384 
     Net Income$68,314 $57,773