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Segment Reporting | 6 Months Ended
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Jun. 30, 2017
Segment Reporting [Abstract] |
Segment Reporting | Note (11)—Segment reporting: The Company and the Bank are engaged in the business of banking and provide a full range of financial services. The Company determines reportable segments based on the significance of the segment’s operating results to the overall Company, the products and services offered, customer characteristics, processes and service delivery of the segments and the regular financial performance review and allocation of resources by the Chief Executive Officer (“CEO”), the Company’s chief operating decision maker. The Company has identified two distinct reportable segments—Banking and Mortgage. The Company’s primary segment is Banking, which provides a full range of deposit and lending products and services to corporate, commercial and consumer customers. The Company offers full-service conforming residential mortgage products, including conforming residential loans and services through the Mortgage segment utilizing mortgage offices outside of the geographic footprint of the Banking operations as well as internet delivery channels. Additionally, the Mortgage Segment includes the servicing of residential mortgage loans and the packaging and securitization of loans to governmental agencies. The residential mortgage products and services originated in our Banking footprint and related revenues and expenses are included in our Banking segment. The Company’s mortgage division represents a distinct reportable segment which differs from the Company’s primary business of commercial and retail banking. The financial performance of the Mortgage segment is assessed based on results of operations reflecting direct revenues and expenses and allocated expenses. This approach gives management a better indication of the operating performance of the segment. When assessing the Banking segment’s financial performance the CEO utilizes reports with indirect revenues and expenses including but not limited to the investment portfolio, electronic delivery channels and areas that primarily support the banking segment operations. Therefore these are included in the results of the Banking segment. Other indirect revenue and expenses related to general administrative areas are also included in the internal financial results reports of the Banking segment utilized by the CEO for analysis and are thus included for Banking segment reporting. The Mortgage segment utilizes funding sources from the Banking segment in order to fund mortgage loans that are ultimately sold on the secondary market. The Mortgage segment uses the proceeds from loan sales to repay obligations due to the Banking segment. During 2016, the Company realigned its segment reporting structure to reclassify mortgage banking income and related expenses associated with retail mortgage originations within our Banking geographic footprint from the Mortgage segment to the Banking segment. This change was made to capture all of the product and service offerings for our Banking customer base within our banking geographic footprint into the Banking segment while capturing all of the mortgage banking activities outside of the banking footprint into the Mortgage segment to allow our CEO to better determine resource allocations and operating performance for each segment. As such, the tables below have been revised to reflect the reclassification for all periods presented. The following tables provides segment financial information for the three and six months ended June 30, 2017 and 2016 follows:
Three Months Ended June 30, 2017 |  | Banking |  |  | Mortgage |  |  | Consolidated |
Net interest income |  | $ | 29,999 |  |  | $ | 428 |  |  | $ | 30,427 |
Provision for loan loss |  |  | (865 | ) |  |  | — |  |  |  | (865 | )
Mortgage banking income |  |  | 7,118 |  |  |  | 24,961 |  |  |  | 32,079 |
Change in fair value of mortgage servicing rights (1) |  |  | — |  |  |  | (1,840 | ) |  |  | (1,840 | )
Other noninterest income |  |  | 5,418 |  |  |  | — |  |  |  | 5,418 |
Depreciation |  |  | 861 |  |  |  | 130 |  |  |  | 991 |
Amortization of intangibles |  |  | 123 |  |  |  | — |  |  |  | 123 |
Loss on sale of mortgage servicing rights |  |  | — |  |  |  | 249 |  |  |  | 249 |
Other noninterest mortgage banking expense |  |  | 5,368 |  |  |  | 19,423 |  |  |  | 24,791 |
Other noninterest expense |  |  | 22,982 |  |  |  | — |  |  |  | 22,982 |
Income before income taxes |  |  | 14,066 |  |  |  | 3,747 |  |  |  | 17,813 |
Income tax expense |  |  |  |  |  |  |  |  |  |  | 6,574 |
Net income |  |  |  |  |  |  |  |  |  |  | 11,239 |
Total assets |  | $ | 2,878,437 |  |  | $ | 468,133 |  |  | $ | 3,346,570 |
Goodwill |  |  | 46,767 |  |  |  | 100 |  |  |  | 46,867 |
(1) Included in mortgage banking income. |  |  |  |  |  |  |  |  |  |  |  |
Three Months Ended June 30, 2016 |  | Banking |  |  | Mortgage |  |  | Consolidated |
Net interest income |  | $ | 29,217 |  |  | $ | (859 | ) |  | $ | 28,358 |
Provision for loan loss |  |  | (789 | ) |  |  | — |  |  |  | (789 | )
Mortgage banking income |  |  | 7,215 |  |  |  | 22,918 |  |  |  | 30,133 |
Other noninterest income |  |  | 8,223 |  |  |  | — |  |  |  | 8,223 |
Depreciation |  |  | 901 |  |  |  | 106 |  |  |  | 1,007 |
Amortization of intangibles |  |  | 527 |  |  |  | — |  |  |  | 527 |
Amortization and impairment of mortgage servicing rights |  |  | — |  |  |  | 6,882 |  |  |  | 6,882 |
Other noninterest mortgage banking expense |  |  | 4,072 |  |  |  | 15,463 |  |  |  | 19,535 |
Other noninterest expense |  |  | 22,644 |  |  |  | — |  |  |  | 22,644 |
Income before income taxes |  |  | 17,300 |  |  |  | (392 | ) |  |  | 16,908 |
Income tax expense |  |  |  |  |  |  |  |  |  |  | 1,133 |
Net income |  |  |  |  |  |  |  |  |  |  | 15,775 |
Total assets |  | $ | 2,508,867 |  |  | $ | 409,091 |  |  | $ | 2,917,958 |
Goodwill |  |  | 46,767 |  |  |  | 100 |  |  |  | 46,867 |
Six Months Ended June 30, 2017 |  | Banking |  |  | Mortgage |  |  | Consolidated |
Net interest income |  | $ | 59,855 |  |  | $ | 823 |  |  | $ | 60,678 |
Provision for loan loss |  |  | (1,122 | ) |  |  | — |  |  |  | (1,122 | )
Mortgage banking income |  |  | 12,784 |  |  |  | 44,876 |  |  |  | 57,660 |
Change in fair value of mortgage servicing rights (1) |  |  | — |  |  |  | (2,341 | ) |  |  | (2,341 | )
Other noninterest income |  |  | 11,425 |  |  |  | — |  |  |  | 11,425 |
Depreciation |  |  | 1,725 |  |  |  | 268 |  |  |  | 1,993 |
Amortization of intangibles |  |  | 515 |  |  |  | — |  |  |  | 515 |
Loss on sale of mortgage servicing rights |  |  | — |  |  |  | 249 |  |  |  | 249 |
Other noninterest mortgage banking expense |  |  | 10,204 |  |  |  | 36,955 |  |  |  | 47,159 |
Other noninterest expense |  |  | 45,637 |  |  |  | — |  |  |  | 45,637 |
Income before income taxes |  |  | 27,105 |  |  |  | 5,886 |  |  |  | 32,991 |
Income tax expense |  |  |  |  |  |  |  |  |  |  | 11,999 |
Net income |  |  |  |  |  |  |  |  |  |  | 20,992 |
Total assets |  | $ | 2,878,437 |  |  | $ | 468,133 |  |  | $ | 3,346,570 |
Goodwill |  |  | 46,767 |  |  |  | 100 |  |  |  | 46,867 |
(1) | Included in mortgage banking income
Six Months Ended June 30, 2016 |  | Banking |  |  | Mortgage |  |  | Consolidated |
Net interest income |  | $ | 55,231 |  |  | $ | (930 | ) |  | $ | 54,301 |
Provision for loan loss |  |  | (798 | ) |  |  | — |  |  |  | (798 | )
Mortgage banking income |  |  | 13,359 |  |  |  | 41,277 |  |  |  | 54,636 |
Other noninterest income |  |  | 14,755 |  |  |  | — |  |  |  | 14,755 |
Depreciation and amortization |  |  | 1,802 |  |  |  | 220 |  |  |  | 2,022 |
Amortization of intangibles |  |  | 1,079 |  |  |  | — |  |  |  | 1,079 |
Amortization and impairment of mortgage servicing rights |  |  | — |  |  |  | 9,112 |  |  |  | 9,112 |
Other noninterest mortgage banking expense |  |  | 7,930 |  |  |  | 28,859 |  |  |  | 36,789 |
Other noninterest expense |  |  | 42,940 |  |  |  | — |  |  |  | 42,940 |
Income before income taxes |  |  | 30,392 |  |  |  | 2,156 |  |  |  | 32,548 |
Income tax expense |  |  |  |  |  |  |  |  |  |  | 2,174 |
Net income |  |  |  |  |  |  |  |  |  |  | 30,374 |
Total assets |  | $ | 2,508,867 |  |  | $ | 409,091 |  |  | $ | 2,917,958 |
Goodwill |  |  | 46,767 |  |  |  | 100 |  |  |  | 46,867 |
Our Banking segment provides our Mortgage segment with a warehouse line of credit that is used to fund mortgage loans held for sale. The warehouse line of credit had a prime interest rate of 4.25% and 3.50% as of June 30, 2017 and 2016, respectively. The amount of interest paid by our Mortgage segment to our Banking segment under this warehouse line of credit is recorded as interest income to our Banking segment and as interest expense to our Mortgage segment, both of which are included in the calculation of net interest income for each segment. The amount of interest paid by our Mortgage segment to our Banking segment under this warehouse line of credit was $3,831 and $2,824 and $7,382 and $5,083 for the three and six months ended June 30, 2017 and 2016, respectively.

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9038-108599 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 33 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8971-108599 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8595-108599 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8380-108599 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 35 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8984-108599 Reference 9: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599 Reference 10: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9054-108599 Reference 11: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 10 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8538-108599 Reference 12: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 29 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8864-108599 Reference 13: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8924-108599 Reference 14: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 30 -URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599 + Details
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