XML 49 R38.htm IDEA: XBRL DOCUMENT
v3.24.1.1.u2

Fair Value Measurements (Tables) | 3 Months Ended
--- | ---
Mar. 31, 2024
Fair Value Disclosures [Abstract] |
Fair value, assets measured on recurring basis | The following tables present information on the assets and liabilities measured and recorded at fair value on a recurring basis as of the dates indicated:
| Fair Value Measurements as of
| March 31, 2024
Measured on a Recurring Basis | Total |  | Level 1 |  | Level 2 |  | Level 3
| (In thousands)
Securities available-for-sale: |  |  |  |  |  |  |
Agency residential MBS | $ | 1,137,469 |  |  | $ | — |  |  | $ | 1,137,469 |  |  | $ | — |
Agency commercial MBS | 243,387 |  |  | — |  |  | 243,387 |  |  | — |
Agency residential CMOs | 281,569 |  |  | — |  |  | 281,569 |  |  | — |
Municipal securities | 33,259 |  |  | — |  |  | 33,259 |  |  | — |
Corporate debt securities | 277,198 |  |  | — |  |  | 275,098 |  |  | 2,100 |
Private label residential CMOs | 153,412 |  |  | — |  |  | 153,412 |  |  | — |
Collateralized loan obligations | 109,078 |  |  | — |  |  | 109,078 |  |  | — |
Private label commercial MBS | 19,491 |  |  | — |  |  | 19,491 |  |  | — |
Asset-backed securities | 18,908 |  |  | — |  |  | 18,908 |  |  | — |
SBA securities | 12,911 |  |  | — |  |  | 12,911 |  |  | — |
Total securities available-for-sale | $ | 2,286,682 |  |  | $ | — |  |  | $ | 2,284,582 |  |  | $ | 2,100 |
Equity investments with readily determinable fair values | $ | 1 |  |  | $ | 1 |  |  | $ | — |  |  | $ | — |
Derivatives (1): |  |  |  |  |  |  |
Equity warrants | 3,708 |  |  | — |  |  | — |  |  | 3,708 |
Interest rate and economic contracts | 10,205 |  |  | — |  |  | 10,205 |  |  | — |
Derivative liabilities | 7,337 |  |  | — |  |  | 7,337 |  |  | — |
Credit-linked notes | 123,824 |  |  | — |  |  | — |  |  | 123,824 |
| Fair Value Measurements as of
| December 31, 2023
Measured on a Recurring Basis | Total |  | Level 1 |  | Level 2 |  | Level 3
| (In thousands)
Securities available-for-sale: |  |  |  |  |  |  |
Agency residential MBS | $ | 1,187,609 |  |  | $ | — |  |  | $ | 1,187,609 |  |  | $ | — |
U.S. Treasury securities | 4,968 |  |  | 4,968 |  |  | — |  |  | — |
Agency commercial MBS | 253,306 |  |  | — |  |  | 253,306 |  |  | — |
Agency residential CMOs | 284,334 |  |  | — |  |  | 284,334 |  |  | — |
Municipal securities | 28,083 |  |  | — |  |  | 28,083 |  |  | — |
Corporate debt securities | 267,232 |  |  | — |  |  | 226,983 |  |  | 40,249 |
Private label residential CMOs | 158,412 |  |  | — |  |  | 158,412 |  |  | — |
Collateralized loan obligations | 108,416 |  |  | — |  |  | 108,416 |  |  | — |
Private label commercial MBS | 20,813 |  |  | — |  |  | 20,813 |  |  | — |
Asset-backed securities | 19,952 |  |  | — |  |  | 19,952 |  |  | — |
SBA securities | 13,739 |  |  | — |  |  | 13,739 |  |  | — |
Total securities available-for-sale | $ | 2,346,864 |  |  | $ | 4,968 |  |  | $ | 2,301,647 |  |  | $ | 40,249 |
Equity investments with readily determinable fair values | $ | 1 |  |  | $ | 1 |  |  | $ | — |  |  | $ | — |
Derivatives (1): |  |  |  |  |  |  |
Equity warrants | 3,689 |  |  | — |  |  | — |  |  | 3,689 |
Interest rate and economic contracts | 8,309 |  |  | — |  |  | 8,309 |  |  | — |
Derivative liabilities | 10,549 |  |  | — |  |  | 10,549 |  |  | — |
Credit-linked notes | 123,116 |  |  | — |  |  | — |  |  | 123,116 |
____________________ (1) For information regarding derivative instruments, see Note 9. Derivatives.
Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques |
Fair value inputs, assets, quantitative information | The following table presents information about quantitative inputs and assumptions used in the modified Black-Scholes option pricing model to determine the fair value for our Level 3 equity warrants measured at fair value on a recurring basis as of the date indicated:
| March 31, 2024
| Equity Warrants
|  |  | Weighted
| Range |  | Average
Unobservable Inputs | of Inputs |  | Input (1)
Volatility | 19.0% - 196.9% |  | 26.7%
Risk-free interest rate | 4.2% - 5.5% |  | 4.5%
Remaining life assumption (in years) | 0.08 - 4.97 |  | 3.24
____________________ (1) Unobservable inputs for equity warrants were weighted by the relative fair values of the instruments. The following table presents the valuation methodology and unobservable inputs for Level 3 assets measured at fair value on a nonrecurring basis as of the date indicated:
|  | March 31, 2024
|  |  |  | Valuation |  | Unobservable |  | Input or |  | Weighted
Asset |  | Fair Value |  | Technique |  | Inputs |  | Range |  | Average
|  | (In thousands)
Individually evaluated |  |  |  |  |  |  |  |  |  |
loans and leases |  | 3,037 |  | Third-party appraisals |  | No discounts |  |  |  |
Total non-recurring Level 3 |  | $ | 3,037 |  |  |  |  |  |  |  |
Fair value, assets measured on recurring basis, significant unobservable inputs (level 3) reconciliation | The following table summarizes activity for our Level 3 private label commercial MBS available-for-sale, equity warrants, and credit-linked notes measured at fair value on a recurring basis for the period indicated:
| Corporate |  | Equity |  | Credit-Linked
| Debt Securities |  | Warrants |  | Notes
| (In thousands)
Balance, December 31, 2023 | $ | 40,249 |  |  | $ | 3,689 |  |  | $ | 123,116 |
Total included in earnings | — |  |  | 178 |  |  | 348 |
Total included in other comprehensive income | — |  |  | — |  |  | 1,251 |
Issuances | — |  |  | 115 |  |  | — |
Principal payments | — |  |  | — |  |  | (891) |
Transfer to Level 2 | (38,149) |  |  | — |  |  | — |
Exercises and settlements | — |  |  | (272) |  |  | — |
Transfers to Level 1 (equity investments with readily |  |  |  |  |
determinable fair values) | — |  |  | (2) |  |  | — |
Balance, March 31, 2024 | $ | 2,100 |  |  | $ | 3,708 |  |  | $ | 123,824 |
Unrealized net gains (losses) for the period included in other |  |  |  |  |
comprehensive income for securities held at quarter-end | $ | (900) |  |  |  |  |
Assets carried at fair value on a nonrecurring basis | The following tables present assets measured at fair value on a non-recurring basis as of the dates indicated:
| Fair Value Measurement as of
| March 31, 2024
Measured on a Non-Recurring Basis | Total |  | Level 1 |  | Level 2 |  | Level 3
| (In thousands)
Individually evaluated loans and leases | $ | 5,639 |  |  | $ | — |  |  | $ | 2,602 |  |  | $ | 3,037 |
OREO | 2,511 |  |  | — |  |  | 2,511 |  |  | — |
Total non-recurring | $ | 8,150 |  |  | $ | — |  |  | $ | 5,113 |  |  | $ | 3,037 |
| Fair Value Measurement as of
| December 31, 2023
Measured on a Non-Recurring Basis | Total |  | Level 1 |  | Level 2 |  | Level 3
| (In thousands)
Individually evaluated loans and leases | $ | 6,402 |  |  | $ | — |  |  | $ | 4,051 |  |  | $ | 2,351 |
OREO | 3,422 |  |  | — |  |  | 3,422 |  |  | — |
Total non-recurring | $ | 9,824 |  |  | $ | — |  |  | $ | 7,473 |  |  | $ | 2,351 |
Net losses (gains) on nonrecurring assets | The following table presents losses recognized on assets measured on a nonrecurring basis for the periods indicated:
| Three Months Ended |  |
Losses on Assets | March 31, |  |
Measured on a Non-Recurring Basis | 2024 |  | 2023 |  |  |  |
| (In thousands)
Individually evaluated loans and leases | $ | 832 |  |  | $ | 4,911 |  |  |  |  |
OREO | 297 |  |  | — |  |  |  |  |
Total losses | $ | 1,129 |  |  | $ | 4,911 |  |  |  |  |
Fair value, by balance sheet grouping | The following tables present carrying amounts and estimated fair values of certain financial instruments as of the dates indicated:
| March 31, 2024
| Carrying |  | Estimated Fair Value
| Amount |  | Total |  | Level 1 |  | Level 2 |  | Level 3
| (In thousands)
Financial Assets: |  |  |  |  |  |  |  |  |
Cash and due from banks | $ | 199,922 |  |  | $ | 199,922 |  |  | $ | 199,922 |  |  | $ | — |  |  | $ | — |
Interest-earning deposits in financial institutions | 2,885,306 |  |  | 2,885,306 |  |  | 2,885,306 |  |  | — |  |  | — |
Securities available-for-sale | 2,286,682 |  |  | 2,286,682 |  |  | — |  |  | 2,284,582 |  |  | 2,100 |
Securities held-to-maturity | 2,291,984 |  |  | 2,153,349 |  |  | 172,338 |  |  | 1,963,818 |  |  | 17,193 |
Investment in FRB and FHLB stock | 129,314 |  |  | 129,314 |  |  | — |  |  | 129,314 |  |  | — |
Loans held for sale | 80,752 |  |  | 82,383 |  |  | — |  |  | 82,383 |  |  | — |
Loans and leases held for investment, net | 25,181,519 |  |  | 23,553,410 |  |  | — |  |  | 2,602 |  |  | 23,550,808 |
Equity investments with readily determinable fair values | 1 |  |  | 1 |  |  | 1 |  |  | — |  |  | — |
Equity warrants | 3,708 |  |  | 3,708 |  |  | — |  |  | — |  |  | 3,708 |
Interest rate and economic contracts | 10,205 |  |  | 10,205 |  |  | — |  |  | 10,205 |  |  | — |
Servicing rights | 21,384 |  |  | 22,242 |  |  | — |  |  | — |  |  | 22,242 |
Financial Liabilities: |  |  |  |  |  |  |  |  |
Demand, checking, money market, and savings deposits | 22,706,213 |  |  | 22,706,213 |  |  | — |  |  | 22,706,213 |  |  | — |
Time deposits | 6,186,194 |  |  | 6,260,651 |  |  | — |  |  | 6,260,651 |  |  | — |
Borrowings | 2,139,498 |  |  | 2,135,757 |  |  | — |  |  | 2,011,933 |  |  | 123,824 |
Subordinated debt | 937,717 |  |  | 850,984 |  |  | — |  |  | 850,984 |  |  | — |
Derivative liabilities | 7,337 |  |  | 7,337 |  |  | — |  |  | 7,337 |  |  | — |
| December 31, 2023
| Carrying |  | Estimated Fair Value
| Amount |  | Total |  | Level 1 |  | Level 2 |  | Level 3
| (In thousands)
Financial Assets: |  |  |  |  |  |  |  |  |
Cash and due from banks | $ | 202,427 |  |  | $ | 202,427 |  |  | $ | 202,427 |  |  | $ | — |  |  | $ | — |
Interest-earning deposits in financial institutions | 5,175,149 |  |  | 5,175,149 |  |  | 5,175,149 |  |  | — |  |  | — |
Securities available-for-sale | 2,346,864 |  |  | 2,346,864 |  |  | 4,968 |  |  | 2,301,647 |  |  | 40,249 |
Securities held-to-maturity | 2,287,291 |  |  | 2,168,316 |  |  | 175,579 |  |  | 1,976,015 |  |  | 16,722 |
Investment in FRB and FHLB stock | 126,346 |  |  | 126,346 |  |  | — |  |  | 126,346 |  |  | — |
Loans held for sale | 122,757 |  |  | 126,646 |  |  | — |  |  | 126,646 |  |  | — |
Loans and leases held for investment, net | 25,208,000 |  |  | 23,551,725 |  |  | — |  |  | 4,051 |  |  | 23,547,674 |
Equity investments with readily determinable fair values | 1 |  |  | 1 |  |  | 1 |  |  | — |  |  | — |
Equity warrants | 3,689 |  |  | 3,689 |  |  | — |  |  | — |  |  | 3,689 |
Interest rate and economic contracts | 8,309 |  |  | 8,309 |  |  | — |  |  | 8,309 |  |  | — |
Servicing rights | 22,174 |  |  | 22,174 |  |  | — |  |  | — |  |  | 22,174 |
Financial Liabilities: |  |  |  |  |  |  |  |  |
Demand, checking, money market, and savings deposits | 23,768,896 |  |  | 23,768,896 |  |  | — |  |  | 23,768,896 |  |  | — |
Time deposits | 6,632,873 |  |  | 6,732,246 |  |  | — |  |  | 6,732,246 |  |  | — |
Borrowings | 2,911,322 |  |  | 2,908,527 |  |  | — |  |  | 2,785,411 |  |  | 123,116 |
Subordinated debt | 936,599 |  |  | 851,625 |  |  | — |  |  | 851,625 |  |  | — |
Derivative liabilities | 10,549 |  |  | 10,549 |  |  | — |  |  | 10,549 |  |  | — |
Fair Value Quantitative Inputs and Assumptions for Outside Services | The following table presents information about quantitative inputs and assumptions used to determine the fair values provided by our third-party pricing service for our Level 3 corporate debt securities available-for-sale measured at fair value on a recurring basis as of the date indicated:
| March 31, 2024
| Corporate Debt Securities
| Input or |  | Weighted
| Range |  | Average
Unobservable Inputs | of Inputs |  | Input (1)
Spread to 10 Year Treasury | 6.3% - 8.8% |  | 7.6%
Discount rates | 10.5% - 13.0% |  | 11.8%

X
- Definition Fair Value Quantitative Inputs and Assumptions for Outside Services + References No definition available. + Details
Name: | pacw_FairValueQuantitativeInputsAndAssumptionsForOutsideServicesTableTextBlock
Namespace Prefix: | pacw_
Data Type: | dtr-types1:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Net Losses (Gains) on Nonrecurring Assets [Table Text Block] + References No definition available. + Details
Name: | pacw_NetLossesGainsOnNonrecurringAssetsTableTextBlock
Namespace Prefix: | pacw_
Data Type: | dtr-types1:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique for each separate class of asset and liability measured on recurring and nonrecurring basis. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (bbb) -SubTopic 10 -Topic 820 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-2 + Details
Name: | us-gaap_FairValueAssetsAndLiabilitiesMeasuredOnRecurringAndNonrecurringBasisValuationTechniquesTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of assets and liabilities by class, including financial instruments measured at fair value that are classified in shareholders' equity, if any, that are measured at fair value on a nonrecurring basis in periods after initial recognition (for example, impaired assets). Disclosures may include, but are not limited to: (a) the fair value measurements recorded and the reasons for the measurements and (b) the level within the fair value hierarchy in which the fair value measurements are categorized in their entirety (levels 1, 2, 3). + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (bbb) -SubTopic 10 -Topic 820 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-2 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-2 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-2 + Details
Name: | us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique used to measure similar asset in prior period by class of asset or liability on non-recurring basis. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (bbb) -SubTopic 10 -Topic 820 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-2 + Details
Name: | us-gaap_FairValueAssetsMeasuredOnNonrecurringBasisValuationTechniquesTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of assets, including [financial] instruments measured at fair value that are classified in stockholders' equity, if any, by class that are measured at fair value on a recurring basis. The disclosures contemplated herein include the fair value measurements at the reporting date by the level within the fair value hierarchy in which the fair value measurements in their entirety fall, segregating fair value measurements using quoted prices in active markets for identical assets (Level 1), significant other observable inputs (Level 2), and significant unobservable inputs (Level 3). + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-2 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-2 + Details
Name: | us-gaap_FairValueAssetsMeasuredOnRecurringBasisTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (c) -SubTopic 10 -Topic 820 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-2 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 3 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-3 + Details
Name: | us-gaap_FairValueAssetsMeasuredOnRecurringBasisUnobservableInputReconciliationTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482106/820-10-50-2 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 11 -Publisher FASB -URI https://asc.fasb.org//1943274/2147482907/825-10-50-11 + Details
Name: | us-gaap_FairValueByBalanceSheetGroupingTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

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