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SALES OF SUBSIDIARY AND BUSINESS UNITS SALES OF SUBSIDIARY AND BUSINESS UNITS (Tables)
 6 Months Ended
Jun. 30, 2017
Discontinued Operations and Disposal Groups [Abstract]  
Schedule of disposal groups and discontinued operations
The following table summarizes the calculation of the net gain on disposal of discontinued operations:
 
Six Months Ended
 
June 30, 2017
 
(In thousands)
Proceeds from the transaction
$
63,068

Compensation expense related to the transaction
(3,500
)
Other transaction costs
(3,703
)
Net cash proceeds
55,865

Book value of certain assets sold
(2,455
)
MSRs sold
(37,772
)
Goodwill
(2,100
)
Net gain on disposal
$
13,538

The following tables present the financial information of discontinued operations as of the dates or for the periods indicated:
Statements of Financial Condition of Discontinued Operations
 
June 30,
2017
 
December 31,
2016
 
(In thousands)
ASSETS
 
 
 
Loans held-for-sale, carried at fair value (1)
$
160,171

 
$
406,338

Loans held-for-sale, carried at lower of cost or fair value
651

 
295

Servicing rights carried at fair value
—

 
37,681

Premises, equipment, and capital leases, net
—

 
2,700

Goodwill
—

 
2,100

Other assets
3,330

 
33,380

Assets of discontinued operations
$
164,152

 
$
482,494

LIABILITIES
 
 
 
Accrued expenses and other liabilities (1)
$
17,229

 
$
34,480

Liabilities of discontinued operations
$
17,229

 
$
34,480

(1)
Includes $12.2 million and $16.5 million of GNMA loans, respectively, that are delinquent more than 90 days and subject to a repurchase option by the Company at June 30, 2017 and December 31, 2016. As such, the Company is deemed to have regained control over those previously transferred assets and has re-recognized them with an offsetting liability recognized in Accrued Expenses and Other Liabilities in the Statements of Financial Condition of Discontinued Operations, as a secured borrowing. Because the Company intends to exercise its option to repurchase and sell them within one year, they have been classified as part of discontinued operations.
Statements of Operations of Discontinued Operations
 
Three Months Ended
 
Six Months Ended
 
June 30,
 
June 30,
 
2017
 
2016
 
2017
 
2016
 
(In thousands)
Interest income
 
 
 
 
 
 
 
Loans, including fees
$
2,796

 
$
3,711

 
$
6,062

 
$
6,889

Total interest income
2,796

 
3,711

 
6,062

 
6,889

Noninterest income
 
 
 
 
 
 
 
Net gain on disposal
236

 
—

 
13,538

 
—

Loan servicing income (loss)
—

 
(1,412
)
 
1,551

 
(4,495
)
Net revenue on mortgage banking activities
13,636

 
43,795

 
43,070

 
77,479

Loan brokerage income
68

 
38

 
158

 
11

All other income
170

 
280

 
594

 
472

Total noninterest income
14,110

 
42,701

 
58,911

 
73,467

Noninterest expense
 
 
 
 
 
 
 
Salaries and employee benefits
13,593

 
28,277

 
37,968

 
51,991

Occupancy and equipment
1,038

 
2,886

 
3,395

 
5,685

Professional fees
2,090

 
337

 
2,192

 
646

Outside Service Fees
3,249

 
1,166

 
5,613

 
2,604

Data processing
63

 
682

 
527

 
1,190

Advertising
449

 
1,177

 
1,282

 
2,018

Restructuring expense
297

 
—

 
3,515

 
—

All other expenses
1,118

 
497

 
2,124

 
844

Total noninterest expense
21,897

 
35,022

 
56,616

 
64,978

Income (loss) from discontinued operations before income taxes
(4,991
)
 
11,390

 
8,357

 
15,378

Income tax (benefit) expense
(2,110
)
 
4,622

 
3,413

 
6,229

Income (loss) from discontinued operations
$
(2,881
)
 
$
6,768

 
$
4,944

 
$
9,149

Statements of Cash Flows of Discontinued Operations
 
Six Months Ended
 
June 30,
 
2017
 
2016
 
(In thousands)
Net cash provided by (used in) operating activities
250,170

 
(40,150
)
Net cash provided by investing activities
55,865

 
—

Net cash provided by (used in) discontinued operations
306,035

 
(40,150
)
The following table summarizes the calculation of the gain on sale of The Palisades Group:
 
Three Months Ended
 
June 30, 2016
 
(In thousands)
Consideration received (paid)
 
Liabilities forgiven by The Palisades Group
$
1,862

Liabilities assumed by the Company
(1,078
)
The Note
2,370

Aggregate fair value of consideration received
3,154

Less: net assets sold (carrying amount of The Palisades Group)
(540
)
Gain on sale of The Palisades Group
$
3,694