XML 46 R35.htm IDEA: XBRL DOCUMENT

Loans and Leases (Tables)

6 Months Ended

Jun. 30, 2024

Schedule of composition of loans portfolio

The following table summarizes the composition of our loans and leases held for investment as of the dates indicated:


	June 30,		December 31,
	2024		2023
	(In thousands)
Real estate mortgage	$	13,787,815	$	16,378,537
Real estate construction and land (1)	3,376,301		3,183,357
Commercial	5,882,603		5,780,346
Consumer	426,199		454,474
Total gross loans and leases held for investment	23,472,918		25,796,714
Unearned discounts, net (2)	(217,621)		(261,984)
Deferred fees, net	(26,388)		(45,043)
Total loans and leases held for investment, net of unearned discounts and deferred fees	23,228,909		25,489,687
Allowance for loan and lease losses	(247,762)		(281,687)
Total loans and leases held for investment, net (3)	$	22,981,147	$	25,208,000

____________________

(1) Includes land and acquisition and development loans of $213.6 million and $228.9 million at June 30, 2024 and December 31, 2023.

(2) Represents net acquisition discounts of $284.3 million and purchase premiums of $66.7 million at June 30, 2024, and net acquisition discounts of $334.2 million and purchase premiums of $72.2 million at December 31, 2023.

(3) Excludes accrued interest receivable of $109.2 million and $111.3 million at June 30, 2024 and December 31, 2023, respectively, which is recorded in "Other assets" on the condensed consolidated balance sheets.

Delinquent loans in loan portfolio

The following tables present an aging analysis of our loans and leases held for investment, net of deferred fees, by loan portfolio segment and class as of the dates indicated:


	June 30, 2024
	30 - 89		90 or More
	Days		Days		Total
	Past Due		Past Due		Past Due		Current		Total
	(In thousands)
Real estate mortgage:
Commercial	$	189	$	28,424	$	28,613	$	4,693,972	$	4,722,585
Multi-family	227		—		227		5,984,703		5,984,930
Other residential	20,184		19,095		39,279		2,826,806		2,866,085
Total real estate mortgage	20,600		47,519		68,119		13,505,481		13,573,600
Real estate construction and land:
Commercial	—		—		—		784,166		784,166
Residential	—		—		—		2,573,431		2,573,431
Total real estate construction and land	—		—		—		3,357,597		3,357,597
Commercial:
Asset-based	—		1,613		1,613		1,967,100		1,968,713
Venture capital	1,545		—		1,545		1,454,577		1,456,122
Other commercial	3,269		5,977		9,246		2,437,728		2,446,974
Total commercial	4,814		7,590		12,404		5,859,405		5,871,809
Consumer	2,548		683		3,231		422,672		425,903
Total	$	27,962	$	55,792	$	83,754	$	23,145,155	$	23,228,909


	December 31, 2023
	30 - 89		90 or More
	Days		Days		Total
	Past Due		Past Due		Past Due		Current		Total
	(In thousands)
Real estate mortgage:
Commercial	$	12,618	$	15,168	$	27,786	$	4,998,711	$	5,026,497
Multi-family	2,302		1,020		3,322		6,021,857		6,025,179
Other residential	93,042		4,341		97,383		4,962,926		5,060,309
Total real estate mortgage	107,962		20,529		128,491		15,983,494		16,111,985
Real estate construction and land:
Commercial	—		—		—		759,585		759,585
Residential	—		—		—		2,399,684		2,399,684
Total real estate construction and land	—		—		—		3,159,269		3,159,269
Commercial:
Asset-based	608		2,689		3,297		2,185,788		2,189,085
Venture capital	—		—		—		1,446,362		1,446,362
Other commercial	1,276		6,993		8,269		2,121,591		2,129,860
Total commercial	1,884		9,682		11,566		5,753,741		5,765,307
Consumer	3,461		670		4,131		448,995		453,126
Total	$	113,307	$	30,881	$	144,188	$	25,345,499	$	25,489,687

Financing Receivable, Nonaccrual

The following table presents our nonaccrual and performing loans and leases held for investment, net of deferred fees, by loan portfolio segment and class as of the dates indicated:


	June 30, 2024						December 31, 2023
	Nonaccrual		Performing		Total		Nonaccrual		Performing		Total
	(In thousands)
Real estate mortgage:
Commercial	$	62,498	$	4,660,087	$	4,722,585	$	15,669	$	5,010,828	$	5,026,497
Multi-family	934		5,983,996		5,984,930		1,020		6,024,159		6,025,179
Other residential	31,832		2,834,253		2,866,085		31,041		5,029,268		5,060,309
Total real estate mortgage	95,264		13,478,336		13,573,600		47,730		16,064,255		16,111,985
Real estate construction and land:
Commercial	—		784,166		784,166		—		759,585		759,585
Residential	—		2,573,431		2,573,431		—		2,399,684		2,399,684
Total real estate construction and land	—		3,357,597		3,357,597		—		3,159,269		3,159,269
Commercial:
Asset-based	8,081		1,960,632		1,968,713		2,689		2,186,396		2,189,085
Venture capital	—		1,456,122		1,456,122		325		1,446,037		1,446,362
Other commercial	12,925		2,434,049		2,446,974		10,972		2,118,888		2,129,860
Total commercial	21,006		5,850,803		5,871,809		13,986		5,751,321		5,765,307
Consumer	800		425,103		425,903		811		452,315		453,126
Total	$	117,070	$	23,111,839	$	23,228,909	$	62,527	$	25,427,160	$	25,489,687

CV of loans held for investment by class by performing and nonperforming

The following tables present the credit risk rating categories for loans and leases held for investment, net of deferred fees, by loan portfolio segment and class as of the dates indicated. Classified loans and leases are those with a credit risk rating of either substandard or doubtful.


	June 30, 2024
	Classified		Special Mention		Pass		Total
	(In thousands)
Real estate mortgage:
Commercial	$	188,537	$	273,747	$	4,260,301	$	4,722,585
Multi-family	114,583		54,893		5,815,454		5,984,930
Other residential	51,965		21,412		2,792,708		2,866,085
Total real estate mortgage	355,085		350,052		12,868,463		13,573,600
Real estate construction and land:
Commercial	—		107,424		676,742		784,166
Residential	—		3,350		2,570,081		2,573,431
Total real estate construction and land	—		110,774		3,246,823		3,357,597
Commercial:
Asset-based	13,644		9,029		1,946,040		1,968,713
Venture capital	20,278		189,016		1,246,828		1,456,122
Other commercial	25,601		14,684		2,406,689		2,446,974
Total commercial	59,523		212,729		5,599,557		5,871,809
Consumer	890		7,108		417,905		425,903
Total	$	415,498	$	680,663	$	22,132,748	$	23,228,909


	December 31, 2023
	Classified		Special Mention		Pass		Total
	(In thousands)
Real estate mortgage:
Commercial	$	75,739	$	219,687	$	4,731,071	$	5,026,497
Multi-family	74,954		108,356		5,841,869		6,025,179
Other residential	38,155		54,197		4,967,957		5,060,309
Total real estate mortgage	188,848		382,240		15,540,897		16,111,985
Real estate construction and land:
Commercial	—		—		759,585		759,585
Residential	—		2,757		2,396,927		2,399,684
Total real estate construction and land	—		2,757		3,156,512		3,159,269
Commercial:
Asset-based	4,561		12,506		2,172,018		2,189,085
Venture capital	7,805		98,633		1,339,924		1,446,362
Other commercial	26,044		9,984		2,093,832		2,129,860
Total commercial	38,410		121,123		5,605,774		5,765,307
Consumer	1,159		7,192		444,775		453,126
Total	$	228,417	$	513,312	$	24,747,958	$	25,489,687

Finance Receivable Investment And Interest Income, Nonaccrual

The following table presents our nonaccrual loans and leases by loan portfolio segment and class and by with and without an allowance recorded as of the date indicated and interest income recognized on nonaccrual loans and leases for the periods indicated:


			Three Months		Six Months				Three Months		Six Months
			Ended		Ended				Ended		Ended
	June 30,		June 30,		June 30,		June 30,		June 30,		June 30,
	2024		2024		2024		2023		2023		2023
	Nonaccrual		Interest		Interest		Nonaccrual		Interest		Interest
	Recorded		Income		Income		Recorded		Income		Income
	Investment		Recognized		Recognized		Investment		Recognized		Recognized
	(In thousands)
With An Allowance Recorded:
Real estate mortgage:
Commercial	$	210	$	—	$	—	$	57	$	—	$	—
Multi-family	—		—		—		—		—		—
Other residential	283		—		—		396		—		—
Real estate construction and land:
Commercial	—		—		—		—		—		—
Residential	—		—		—		—		—		—
Commercial:
Asset-based	—		—		—		—		—		—
Venture capital	—		—		—		—		—		—
Other commercial	1,714		—		—		738		—		—
Consumer	800		—		—		205		—		—
With No Related Allowance
Recorded:
Real estate mortgage:
Commercial	$	62,288	$	4	$	8	$	37,134	$	104	$	107
Multi-family	934		—		—		—		—		—
Other residential	31,549		—		—		63,230		—		—
Real estate construction and land:
Commercial	—		—		—		—		—		—
Residential	—		—		—		—		—		—
Commercial:
Asset-based	8,081		—		—		385		—		—
Venture capital	—		—		—		—		—		—
Other commercial	11,211		45		45		2,741		—		—
Consumer	—		—		—		—		—		—
Total Loans and Leases With and
Without an Allowance Recorded:
Real estate mortgage	$	95,264	$	4	$	8	$	100,817	$	104	$	107
Real estate construction and land	—		—		—		—		—		—
Commercial	21,006		45		45		3,864		—		—
Consumer	800		—		—		205		—		—
Total	$	117,070	$	49	$	53	$	104,886	$	104	$	107

Finance Receivable, Loans By Origination Year

The following tables present our loans held for investment by loan portfolio segment and class, by credit quality indicator (internal risk ratings), and by year of origination (vintage year) as of the dates indicated:


															Revolving
															Converted
Amortized Cost Basis (1)	Term Loans by Origination Year												Revolving		to Term
June 30, 2024	2024		2023		2022		2021		2020		Prior		Loans		Loans		Total
	(In thousands)
Real Estate Mortgage:
Commercial
Internal risk rating:
1-2 High pass	$	2,517	$	—	$	28,367	$	22,647	$	13,704	$	102,288	$	1	$	—	$	169,524
3-4.5 Pass	86,983		173,183		850,359		755,651		500,349		1,629,686		62,200		32,366		4,090,777
5 Special mention	—		—		74,465		12,514		724		184,938		1,106		—		273,747
6-8 Classified	—		711		5,518		64,278		17,267		99,513		1,250		—		188,537
Total	$	89,500	$	173,894	$	958,709	$	855,090	$	532,044	$	2,016,425	$	64,557	$	32,366	$	4,722,585
Current YTD period:
Gross charge-offs	$	—	$	—	$	175	$	9,958	$	9,714	$	1,036	$	—	$	—	$	20,883

Real Estate Mortgage:
Multi-family
Internal risk rating:
1-2 High pass	$	—	$	—	$	51,071	$	199,549	$	79,761	$	152,870	$	—	$	—	$	483,251
3-4.5 Pass	57,539		85,143		2,171,433		1,134,874		504,063		1,319,665		11,486		48,000		5,332,203
5 Special mention	—		—		—		4,944		3,307		46,642		—		—		54,893
6-8 Classified	—		—		40,019		17,283		8,528		48,753		—		—		114,583
Total	$	57,539	$	85,143	$	2,262,523	$	1,356,650	$	595,659	$	1,567,930	$	11,486	$	48,000	$	5,984,930
Current YTD period:
Gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Real Estate Mortgage:
Other residential
Internal risk rating:
1-2 High pass	$	—	$	—	$	—	$	—	$	—	$	—	$	6,597	$	—	$	6,597
3-4.5 Pass	—		8,930		348,749		2,316,284		40,367		19,849		51,856		76		2,786,111
5 Special mention	—		1,070		11,045		8,916		—		281		100		—		21,412
6-8 Classified	—		2,809		29,350		17,827		—		1,689		257		33		51,965
Total	$	—	$	12,809	$	389,144	$	2,343,027	$	40,367	$	21,819	$	58,810	$	109	$	2,866,085
Current YTD period:
Gross charge-offs	$	—	$	3,355	$	25,389	$	6,381	$	350	$	—	$	—	$	—	$	35,475

____________________

(1) Amounts with negative balances are loans with zero principal balances and deferred loan origination fees.


															Revolving
															Converted
Amortized Cost Basis (1)	Term Loans by Origination Year												Revolving		to Term
June 30, 2024	2024		2023		2022		2021		2020		Prior		Loans		Loans		Total
	(In thousands)
Real Estate Construction
and Land: Commercial
Internal risk rating:
1-2 High pass	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
3-4.5 Pass	10,712		29,185		423,956		119,502		59,802		10,635		22,950		—		676,742
5 Special mention	—		—		—		107,424		—		—		—		—		107,424
6-8 Classified	—		—		—		—		—		—		—		—		—
Total	$	10,712	$	29,185	$	423,956	$	226,926	$	59,802	$	10,635	$	22,950	$	—	$	784,166
Current YTD period:
Gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Real Estate Construction
and Land: Residential
Internal risk rating:
1-2 High pass	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
3-4.5 Pass	64,193		123,032		1,370,102		636,650		241,695		27,064		107,345		—		2,570,081
5 Special mention	—		—		—		3,350		—		—		—		—		3,350
6-8 Classified	—		—		—		—		—		—		—		—		—
Total	$	64,193	$	123,032	$	1,370,102	$	640,000	$	241,695	$	27,064	$	107,345	$	—	$	2,573,431
Current YTD period:
Gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial: Asset-Based
Internal risk rating:
1-2 High pass	$	30,375	$	48,684	$	218,109	$	235,078	$	30,010	$	281,592	$	131,466	$	—	$	975,314
3-4.5 Pass	3,426		95,643		199,627		94,603		11,327		30,660		525,308		10,132		970,726
5 Special mention	—		—		25		—		—		1		9,003		—		9,029
6-8 Classified	—		—		—		—		—		—		13,644		—		13,644
Total	$	33,801	$	144,327	$	417,761	$	329,681	$	41,337	$	312,253	$	679,421	$	10,132	$	1,968,713
Current YTD period:
Gross charge-offs	$	—	$	—	$	—	$	—	$	92	$	—	$	—	$	—	$	92

Commercial: Venture
Capital
Internal risk rating:
1-2 High pass	$	(34)	$	(115)	$	(4)	$	—	$	1,999	$	—	$	241,262	$	1,477	$	244,585
3-4.5 Pass	44,143		81,444		60,675		85,317		4,779		19,793		638,233		67,859		1,002,243
5 Special mention	—		61,453		28,840		31,942		—		—		66,781		—		189,016
6-8 Classified	—		—		13,726		6,552		—		—		—		—		20,278
Total	$	44,109	$	142,782	$	103,237	$	123,811	$	6,778	$	19,793	$	946,276	$	69,336	$	1,456,122
Current YTD period:
Gross charge-offs	$	—	$	2,272	$	—	$	—	$	—	$	2	$	140	$	—	$	2,414

____________________

(1) Amounts with negative balances are loans with zero principal balances and deferred loan origination fees.


															Revolving
															Converted
Amortized Cost Basis (1)	Term Loans by Origination Year												Revolving		to Term
June 30, 2024	2024		2023		2022		2021		2020		Prior		Loans		Loans		Total
	(In thousands)
Commercial: Other
Commercial
Internal risk rating:
1-2 High pass	$	708	$	748	$	3,933	$	4,884	$	64	$	1,267	$	59,850	$	—	$	71,454
3-4.5 Pass	129,883		88,690		149,923		267,503		44,987		168,825		1,482,651		2,773		2,335,235
5 Special mention	—		92		579		260		656		4,481		8,557		59		14,684
6-8 Classified	—		—		2,545		3,503		1,351		16,823		364		1,015		25,601
Total	$	130,591	$	89,530	$	156,980	$	276,150	$	47,058	$	191,396	$	1,551,422	$	3,847	$	2,446,974
Current YTD period:
Gross charge-offs	$	—	$	—	$	32	$	287	$	—	$	202	$	825	$	—	$	1,346

Consumer
Internal risk rating:
1-2 High pass	$	—	$	—	$	24	$	19	$	2	$	—	$	1,684	$	—	$	1,729
3-4.5 Pass	15,879		23,410		63,677		192,289		20,822		93,638		6,179		282		416,176
5 Special mention	—		—		1,481		3,507		501		1,619		—		—		7,108
6-8 Classified	—		—		50		460		33		334		—		13		890
Total	$	15,879	$	23,410	$	65,232	$	196,275	$	21,358	$	95,591	$	7,863	$	295	$	425,903
Current YTD period:
Gross charge-offs	$	—	$	45	$	514	$	1,198	$	298	$	819	$	—	$	—	$	2,874

Total Loans and Leases
Internal risk rating:
1-2 High pass	$	33,566	$	49,317	$	301,500	$	462,177	$	125,540	$	538,017	$	440,860	$	1,477	$	1,952,454
3-4.5 Pass	412,758		708,660		5,638,501		5,602,673		1,428,191		3,319,815		2,908,208		161,488		20,180,294
5 Special mention	—		62,615		116,435		172,857		5,188		237,962		85,547		59		680,663
6-8 Classified	—		3,520		91,208		109,903		27,179		167,112		15,515		1,061		415,498
Total	$	446,324	$	824,112	$	6,147,644	$	6,347,610	$	1,586,098	$	4,262,906	$	3,450,130	$	164,085	$	23,228,909
Current YTD period:
Gross charge-offs	$	—	$	5,672	$	26,110	$	17,824	$	10,454	$	2,059	$	965	$	—	$	63,084

______________________

(1) Amounts with negative balances are loans with zero principal balances and deferred loan origination fees.


															Revolving
															Converted
Amortized Cost Basis (1)	Term Loans by Origination Year												Revolving		to Term
December 31, 2023	2023		2022		2021		2020		2019		Prior		Loans		Loans		Total
	(In thousands)
Real Estate Mortgage:
Commercial
Internal risk rating:
1-3 High pass	$	—	$	16,976	$	17,432	$	16,832	$	17,337	$	69,205	$	1	$	—	$	137,783
4-6 Pass	182,236		933,294		814,564		510,952		298,985		1,765,454		76,866		10,937		4,593,288
7 Special mention	—		14,021		32,235		25,485		17,147		129,549		1,250		—		219,687
8-9 Classified	749		—		26,172		439		17,063		29,566		1,750		—		75,739
Total	$	182,985	$	964,291	$	890,403	$	553,708	$	350,532	$	1,993,774	$	79,867	$	10,937	$	5,026,497
Current YTD period:
Gross charge-offs	$	34	$	—	$	—	$	—	$	76	$	14,185	$	—	$	—	$	14,295

Real Estate Mortgage:
Multi-family
Internal risk rating:
1-3 High pass	$	—	$	28,155	$	140,424	$	58,959	$	57,988	$	109,423	$	—	$	—	$	394,949
4-6 Pass	66,143		2,221,235		1,193,052		539,660		564,420		794,599		67,811		—		5,446,920
7 Special mention	—		2,610		17,784		12,201		39,808		35,953		—		—		108,356
8-9 Classified	—		—		17,283		8,576		26,543		22,552		—		—		74,954
Total	$	66,143	$	2,252,000	$	1,368,543	$	619,396	$	688,759	$	962,527	$	67,811	$	—	$	6,025,179
Current YTD period:
Gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Real Estate Mortgage:
Other residential
Internal risk rating:
1-3 High pass	$	—	$	—	$	—	$	—	$	—	$	—	$	6,769	$	—	$	6,769
4-6 Pass	188,561		1,824,253		2,812,293		65,230		—		19,518		51,246		87		4,961,188
7 Special mention	—		46,263		7,568		—		—		—		366		—		54,197
8-9 Classified	3,847		18,263		12,908		1,223		—		1,764		65		85		38,155
Total	$	192,408	$	1,888,779	$	2,832,769	$	66,453	$	—	$	21,282	$	58,446	$	172	$	5,060,309
Current YTD period:
Gross charge-offs	$	3,402	$	23,544	$	5,385	$	740	$	—	$	4	$	—	$	—	$	33,075

____________________

(1) Amounts with negative balances are loans with zero principal balances and deferred loan origination fees.


															Revolving
															Converted
Amortized Cost Basis (1)	Term Loans by Origination Year												Revolving		to Term
December 31, 2023	2023		2022		2021		2020		2019		Prior		Loans		Loans		Total
	(In thousands)
Real Estate Construction
and Land: Commercial
Internal risk rating:
1-3 High pass	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
4-6 Pass	23,916		388,165		214,303		68,833		16,781		27,175		20,412		—		759,585
7 Special mention	—		—		—		—		—		—		—		—		—
8-9 Classified	—		—		—		—		—		—		—		—		—
Total	$	23,916	$	388,165	$	214,303	$	68,833	$	16,781	$	27,175	$	20,412	$	—	$	759,585
Current YTD period:
Gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Real Estate Construction
and Land: Residential
Internal risk rating:
1-3 High pass	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—
4-6 Pass	64,341		1,185,297		668,083		336,636		—		26,896		115,674		—		2,396,927
7 Special mention	—		—		2,757		—		—		—		—		—		2,757
8-9 Classified	—		—		—		—		—		—		—		—		—
Total	$	64,341	$	1,185,297	$	670,840	$	336,636	$	—	$	26,896	$	115,674	$	—	$	2,399,684
Current YTD period:
Gross charge-offs	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—	$	—

Commercial: Asset-Based
Internal risk rating:
1-3 High pass	$	32,485	$	237,936	$	223,088	$	39,380	$	119,364	$	254,638	$	89,667	$	—	$	996,558
4-6 Pass	122,064		238,206		132,449		17,823		7,447		25,945		630,073		1,453		1,175,460
7 Special mention	—		101		—		—		—		1		12,394		10		12,506
8-9 Classified	—		—		—		701		—		340		3,520		—		4,561
Total	$	154,549	$	476,243	$	355,537	$	57,904	$	126,811	$	280,924	$	735,654	$	1,463	$	2,189,085
Current YTD period:
Gross charge-offs	$	—	$	—	$	—	$	60	$	—	$	—	$	—	$	150	$	210

Commercial: Venture
Capital
Internal risk rating:
1-3 High pass	$	(84)	$	(7)	$	—	$	1,998	$	—	$	(3)	$	136,339	$	(140)	$	138,103
4-6 Pass	101,038		128,485		113,183		6,473		6,216		622		770,941		74,863		1,201,821
7 Special mention	17,481		10,984		31,928		—		19,986		—		13,260		4,994		98,633
8-9 Classified	—		—		7,808		—		—		—		(3)		—		7,805
Total	$	118,435	$	139,462	$	152,919	$	8,471	$	26,202	$	619	$	920,537	$	79,717	$	1,446,362
Current YTD period:
Gross charge-offs	$	—	$	2,245	$	2,759	$	—	$	—	$	—	$	9	$	—	$	5,013

____________________

(1) Amounts with negative balances are loans with zero principal balances and deferred loan origination fees.


															Revolving
															Converted
Amortized Cost Basis (1)	Term Loans by Origination Year												Revolving		to Term
December 31, 2023	2023		2022		2021		2020		2019		Prior		Loans		Loans		Total
	(In thousands)
Commercial: Other
Commercial
Internal risk rating:
1-3 High pass	$	815	$	4,350	$	5,216	$	130	$	29	$	2,148	$	66,827	$	—	$	79,515
4-6 Pass	98,643		201,215		285,249		50,582		39,951		158,810		1,176,946		2,921		2,014,317
7 Special mention	1,748		1,306		442		554		540		5,071		254		69		9,984
8-9 Classified	—		912		4,011		1,706		1,299		13,768		3,257		1,091		26,044
Total	$	101,206	$	207,783	$	294,918	$	52,972	$	41,819	$	179,797	$	1,247,284	$	4,081	$	2,129,860
Current YTD period:
Gross charge-offs	$	—	$	6,867	$	24	$	—	$	28	$	75	$	1,013	$	431	$	8,438

Consumer
Internal risk rating:
1-3 High pass	$	—	$	27	$	22	$	4	$	—	$	—	$	1,304	$	—	$	1,357
4-6 Pass	26,468		71,523		207,751		23,390		42,338		63,919		7,684		345		443,418
7 Special mention	—		1,286		4,224		371		1,100		181		30		—		7,192
8-9 Classified	—		281		42		135		198		486		1		16		1,159
Total	$	26,468	$	73,117	$	212,039	$	23,900	$	43,636	$	64,586	$	9,019	$	361	$	453,126
Current YTD period:
Gross charge-offs	$	—	$	432	$	540	$	76	$	255	$	1,081	$	1	$	12	$	2,397

Total Loans and Leases
Internal risk rating:
1-3 High pass	$	33,216	$	287,437	$	386,182	$	117,303	$	194,718	$	435,411	$	300,907	$	(140)	$	1,755,034
4-6 Pass	873,410		7,191,673		6,440,927		1,619,579		976,138		2,882,938		2,917,653		90,606		22,992,924
7 Special mention	19,229		76,571		96,938		38,611		78,581		170,755		27,554		5,073		513,312
8-9 Classified	4,596		19,456		68,224		12,780		45,103		68,476		8,590		1,192		228,417
Total	$	930,451	$	7,575,137	$	6,992,271	$	1,788,273	$	1,294,540	$	3,557,580	$	3,254,704	$	96,731	$	25,489,687
Current YTD period:
Gross charge-offs	$	3,436	$	33,088	$	8,708	$	876	$	359	$	15,345	$	1,023	$	593	$	63,428

____________________

(1) Amounts with negative balances are loans with zero principal balances and deferred loan origination fees.

Finance Receivable, Loan Restructuring and Refinancing, Amortized Costs Balance

The following table presents our loan modifications made to borrowers experiencing financial difficulty by type of modification for the period indicated with related amortized cost balances as of the date indicated:


	Three Months Ended June 30, 2024
	Loan Modifications
	Balances (Amortized Cost Basis) at
	June 30, 2024
									Combination - Term				Combination - Term
									Extension and				Extension and				Total Loan
	Term Extension				Payment Delay				Principal Forgiveness				Payment Delay				Modifications
			% of				% of				% of				% of				% of
			Loan				Loan				Loan				Loan				Loan
			Portfolio				Portfolio				Portfolio				Portfolio				Portfolio
	Balance		Class		Balance		Class		Balance		Class		Balance		Class		Balance		Class
	(Dollars in thousands)
Real estate mortgage:
Commercial	$	2,695	0.1	%	$	14,253	0.3	%	$	13,500	0.3	%	$	—	—	%	$	30,448	0.6	%

Other residential	3,017		0.1	%	—		—	%	—		—	%	—		—	%	3,017		0.1	%



Commercial:



Other commercial	2,099		0.1	%	—		—	%	—		—	%	54		—	%	2,153		0.1	%
Consumer	12		—	%	—		—	%	—		—	%	—		—	%	12		—	%
Total	$	7,823			$	14,253			$	13,500			$	54			$	35,630


	Six Months Ended June 30, 2024
	Loan Modifications
	Balances (Amortized Cost Basis) at
	June 30, 2024
									Combination - Term				Combination - Term
									Extension and				Extension and				Total Loan
	Term Extension				Payment Delay				Principal Forgiveness				Payment Delay				Modifications
			% of				% of				% of				% of				% of
			Loan				Loan				Loan				Loan				Loan
			Portfolio				Portfolio				Portfolio				Portfolio				Portfolio
	Balance		Class		Balance		Class		Balance		Class		Balance		Class		Balance		Class
	(Dollars in thousands)
Real estate mortgage:
Commercial	$	2,695	0.1	%	$	14,253	0.3	%	$	13,500	0.3	%	$	—	—	%	$	30,448	0.6	%

Other residential	4,356		0.2	%	—		—	%	—		—	%	—		—	%	4,356		0.2	%




Commercial:


Other commercial	2,099		0.1	%	—		—	%	—		—	%	54		—	%	2,153		0.1	%
Consumer	12		—	%	—		—	%	—		—	%	—		—	%	12		—	%
Total	$	9,162			$	14,253			$	13,500			$	54			$	36,969


	Three Months Ended June 30, 2023
	Loan Modifications
	Balances (Amortized Cost Basis) at
	June 30, 2023
	Term Extension
			% of
			Loan
			Portfolio
	Balance		Class
	(Dollars in thousands)
Real estate mortgage:


Other residential	$	8,993	0.1	%



Commercial:


Other commercial	931		0.1	%
Consumer	15		—	%
Total	$	9,939


	Six Months Ended June 30, 2023
	Loan Modifications
	Balances (Amortized Cost Basis) at
	June 30, 2023
									Combination - Term
									Extension and				Combination - Term
									Interest Rate				Extension and				Total Loan
	Term Extension				Payment Delay				Reduction				Payment Delay				Modifications
			% of				% of				% of				% of				% of
			Loan				Loan				Loan				Loan				Loan
			Portfolio				Portfolio				Portfolio				Portfolio				Portfolio
	Balance		Class		Balance		Class		Balance		Class		Balance		Class		Balance		Class
	(Dollars in thousands)
Real estate mortgage:


Other residential	$	18,522	0.3	%	$	—	—	%	$	—	—	%	$	—	—	%	$	18,522	0.3	%




Commercial:

Venture capital	—		—	%	—		—	%	—		—	%	612		—	%	612		—	%
Other commercial	2,762		0.3	%	44		—	%	—		—	%	—		—	%	2,806		0.3	%
Consumer	15		—	%	—		—	%	3		—	%	—		—	%	18		—	%
Total	$	21,299			$	44			$	3			$	612			$	21,958

Finance Receivables - Loan Restructuring & Refinancing Modifications

The following tables present the financial effect of our loan modifications made to borrowers experiencing financial difficulty by type of modification for the period indicated:

Three Months Ended June 30, 2024

Term Extension - Financial Effect

Real estate mortgage:

Commercial

Extended maturity by a weighted average 14 months.

Other residential

Extended maturity by a weighted average 8 months.

Commercial:

Other commercial

Extended maturity by a weighted average 11 months.

Consumer

Extended maturity by a weighted average 12 months.

Three Months Ended June 30, 2024

Payment Delay - Financial Effect

Real estate mortgage:

Commercial

Deferred partial payments for up to 8 months.

Three Months Ended June 30, 2024

Combination - Term Extension and Principal Forgiveness - Financial Effect

Real estate mortgage:

Commercial

Extended maturity by a weighted average 3 years and granted principal forgiveness totaling $4.0 million.

Three Months Ended June 30, 2024

Combination - Term Extension and Payment Delay - Financial Effect

Commercial:

Other commercial

Extended maturity by a weighted average 10 years and granted 4 months of payment deferrals.

Six Months Ended June 30, 2024

Term Extension - Financial Effect

Real estate mortgage:

Commercial

Extended maturity by a weighted average 14 months.

Other residential

Extended maturity by a weighted average 10 months.

Commercial:

Other commercial

Extended maturity by a weighted average 11 months.

Consumer

Extended maturity by a weighted average 12 months.

Six Months Ended June 30, 2024

Payment Delay - Financial Effect

Real estate mortgage:

Commercial

Deferred partial payments for up to 8 months.

Six Months Ended June 30, 2024

Combination - Term Extension and Principal Forgiveness - Financial Effect

Real estate mortgage:

Commercial

Extended maturity by a weighted average 3 years and granted principal forgiveness totaling $4.0 million.

Six Months Ended June 30, 2024

Combination - Term Extension and Payment Delay - Financial Effect

Commercial:

Other commercial

Extended maturity by a weighted average 10 years and granted 4 months of payment deferrals.

Three Months Ended June 30, 2023

Term Extension - Financial Effect

Real estate mortgage:

Other residential

Extended maturity by a weighted average 12 months.

Commercial:

Other commercial

Extended maturity by a weighted average 23 months.

Consumer

Extended maturity by a weighted average 12 months.

Six Months Ended June 30, 2023

Term Extension - Financial Effect

Real estate mortgage:

Other residential

Extended maturity by a weighted average 9 months.

Commercial:

Other commercial

Extended maturity by a weighted average 16 months.

Consumer

Extended maturity by a weighted average 12 months.

Six Months Ended June 30, 2023

Payment Delay - Financial Effect

Commercial:

Other commercial

Provided 6 months of reduced payments to borrowers without extending the loan term.

Six Months Ended June 30, 2023

Combination - Term Extension and Interest Rate Reduction– Financial Effect

Consumer

Extended maturity by a weighted average 2 years and reduced weighted average contractual interest rate from 9.5% to 2.0%.

Six Months Ended June 30, 2023

Combination - Term Extension and Payment Delay - Financial Effect

Commercial:

Venture capital

Extended maturity by a weighted average 11 months and provided 11 months of interest only payments to borrowers.

Finance Receivable, Loan Modifications, Payment Status

The following table presents the payment status of our loan modifications made during the past 12 months with related amortized cost balances as of the date indicated:


	Payment Status (Amortized Cost Basis) at
	June 30, 2024
			30-89 Days		90 or More Days
	Current		Past Due		Past Due		Total
	(In thousands)
Real estate mortgage:
Commercial	$	30,448	$	—	$	—	$	30,448

Other residential	3,211		—		3,611		6,822



Commercial:


Other commercial	3,674		—		—		3,674
Consumer	12		—		—		12
Total	$	37,345	$	—	$	3,611	$	40,956

Lease Income of Direct Financing Leases

The following table provides the components of leases receivable income for the periods indicated:


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2024		2023		2024		2023
	(In thousands)
Component of leases receivable income:
Interest income on net investments in leases	$	4,877	$	4,118	$	9,612	$	7,867

Assets and Liabilities, Lessor

The following table presents the components of leases receivable as of the dates indicated:


	June 30, 2024		December 31, 2023
	(In thousands)
Net Investment in Direct Financing Leases:
Lease payments receivable	$	242,768	$	249,223
Unguaranteed residual assets	25,043		25,488
Deferred costs and other	2,447		2,715
Aggregate net investment in leases	$	270,258	$	277,426

Sales-type and Direct Financing Leases, Lease Receivable, Maturity

The following table presents maturities of leases receivable as of the date indicated:


	June 30, 2024
	(In thousands)
Period ending December 31,
2024	$	43,140
2025	79,088
2026	61,086
2027	40,528
2028	23,553
Thereafter	25,400
Total undiscounted cash flows	272,795
Less: Unearned income	(30,027)
Present value of lease payments	$	242,768

Finance Receivable, Allowance For Loan Losses

The following tables present a summary of the activity in the allowance for loan and lease losses on loans and leases held for investment by loan portfolio segment for the periods indicated:


	Three Months Ended June 30, 2024
			Real Estate
	Real Estate		Construction
	Mortgage		and Land		Commercial		Consumer		Total
	(In thousands)
Allowance for Loan and Lease Losses:
Balance, beginning of period	$	198,274	$	30,011	$	47,054	$	16,164	$	291,503
Charge-offs	(53,881)		—		(3,148)		(1,041)		(58,070)
Recoveries	1,429		—		834		66		2,329
Net charge-offs	(52,452)		—		(2,314)		(975)		(55,741)
Provision	9,438		(4,730)		6,454		838		12,000
Balance, end of period	$	155,260	$	25,281	$	51,194	$	16,027	$	247,762


	Six Months Ended June 30, 2024
			Real Estate
	Real Estate		Construction
	Mortgage		and Land		Commercial		Consumer		Total
	(In thousands)
Allowance for Loan and Lease Losses:
Balance, beginning of period	$	186,827	$	33,830	$	45,156	$	15,874	$	281,687

Charge-offs	(56,358)		—		(3,852)		(2,874)		(63,084)
Recoveries	2,320		—		3,703		136		6,159
Net charge-offs	(54,038)		—		(149)		(2,738)		(56,925)
Provision	22,471		(8,549)		6,187		2,891		23,000
Balance, end of period	$	155,260	$	25,281	$	51,194	$	16,027	$	247,762

Ending Allowance by
Evaluation Methodology:
Individually evaluated	$	—	$	—	$	—	$	—	$	—
Collectively evaluated	$	155,260	$	25,281	$	51,194	$	16,027	$	247,762

Ending Loans and Leases by
Evaluation Methodology:
Individually evaluated	$	95,086	$	—	$	19,292	$	—	$	114,378
Collectively evaluated	13,478,514		3,357,597		5,852,517		425,903		23,114,531
Ending balance	$	13,573,600	$	3,357,597	$	5,871,809	$	425,903	$	23,228,909


	Three Months Ended June 30, 2023
			Real Estate
	Real Estate		Construction
	Mortgage		and Land		Commercial		Consumer		Total
	(In thousands)
Allowance for Loan and Lease Losses:
Balance, beginning of period	$	109,483	$	55,034	$	37,195	$	8,343	$	210,055
Charge-offs	(23,875)		—		(7,347)		(486)		(31,708)
Recoveries	62		—		742		83		887
Net charge-offs	(23,813)		—		(6,605)		(403)		(30,821)
Provision	47,138		(15,355)		6,631		1,586		40,000
Balance, end of period	$	132,808	$	39,679	$	37,221	$	9,526	$	219,234


	Six Months Ended June 30, 2023
			Real Estate
	Real Estate		Construction
	Mortgage		and Land		Commercial		Consumer		Total
	(In thousands)
Allowance for Loan and Lease Losses:
Balance, beginning of period	$	87,309	$	52,320	$	52,849	$	8,254	$	200,732
Charge-offs	(33,710)		—		(7,484)		(911)		(42,105)
Recoveries	262		—		1,717		128		2,107
Net charge-offs	(33,448)		—		(5,767)		(783)		(39,998)
Provision	78,947		(12,641)		(9,861)		2,055		58,500
Balance, end of period	$	132,808	$	39,679	$	37,221	$	9,526	$	219,234

Ending Allowance by
Evaluation Methodology:
Individually evaluated	$	—	$	—	$	—	$	—	$	—
Collectively evaluated	$	132,808	$	39,679	$	37,221	$	9,526	$	219,234

Ending Loans and Leases by
Evaluation Methodology:
Individually evaluated	$	101,968	$	—	$	3,126	$	—	$	105,094
Collectively evaluated	14,186,074		2,465,523		5,091,660		409,859		22,153,116
Ending balance	$	14,288,042	$	2,465,523	$	5,094,786	$	409,859	$	22,258,210

Collateral-dependent Finance Receivable

The following table summarizes collateral-dependent loans held for investment by collateral type as of the following dates:


	June 30, 2024				December 31, 2023
	Real		Business				Real		Business
	Property		Assets		Total		Property		Assets		Total
	(In thousands)
Real estate mortgage	$	93,986	$	—	$	93,986	$	47,952	$	—	$	47,952

Commercial	—		11,256		11,256		—		3,616		3,616

Total	$	93,986	$	11,256	$	105,242	$	47,952	$	3,616	$	51,568

Allowance for credit losses on financing receivables

The following tables present a summary of the activity in the allowance for loan and lease losses and reserve for unfunded loan commitments for the periods indicated:


	Three Months Ended
	June 30, 2024
	Allowance for		Reserve for		Total
	Loan and		Unfunded Loan		Allowance for
	Lease Losses		Commitments		Credit Losses
	(In thousands)
Balance, beginning of period	$	291,503	$	28,571	$	320,074
Charge-offs	(58,070)		—		(58,070)
Recoveries	2,329		—		2,329
Net charge-offs	(55,741)		—		(55,741)
Provision	12,000		(1,000)		11,000
Balance, end of period	$	247,762	$	27,571	$	275,333


	Six Months Ended
	June 30, 2024
	Allowance for		Reserve for		Total
	Loan and		Unfunded Loan		Allowance for
	Lease Losses		Commitments		Credit Losses
	(In thousands)
Balance, beginning of period	$	281,687	$	29,571	$	311,258
Charge-offs	(63,084)		—		(63,084)
Recoveries	6,159		—		6,159
Net charge-offs	(56,925)		—		(56,925)
Provision	23,000		(2,000)		21,000
Balance, end of period	$	247,762	$	27,571	$	275,333


	Three Months Ended
	June 30, 2023
	Allowance for		Reserve for		Total
	Loan and		Unfunded Loan		Allowance for
	Lease Losses		Commitments		Credit Losses
	(In thousands)
Balance, beginning of period	$	210,055	$	75,571	$	285,626
Charge-offs	(31,708)		—		(31,708)
Recoveries	887		—		887
Net charge-offs	(30,821)		—		(30,821)
Provision	40,000		(38,000)		2,000
Balance, end of period	$	219,234	$	37,571	$	256,805


	Six Months Ended
	June 30, 2023
	Allowance for		Reserve for		Total
	Loan and		Unfunded Loan		Allowance for
	Lease Losses		Commitments		Credit Losses
	(In thousands)
Balance, beginning of period	$	200,732	$	91,071	$	291,803
Charge-offs	(42,105)		—		(42,105)
Recoveries	2,107		—		2,107
Net charge-offs	(39,998)		—		(39,998)
Provision	58,500		(53,500)		5,000
Balance, end of period	$	219,234	$	37,571	$	256,805

Financing Receivable, Modified, Subsequent Default

The following table presents information on loans that defaulted during the periods indicated that had been modified during the preceding 12-month period with related amortized cost balances as of the date indicated:

Three Months Ended June 30, 2024

Six Months Ended June 30, 2024

Modified Loans That

Subsequently Defaulted

Amortized Cost Basis at

June 30, 2024

Term Extension

(In thousands)

Real estate mortgage:

Other residential

2,108

3,836

Commercial:

Other commercial

Total

2,155

3,883