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CAPITAL | 12 Months Ended
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Dec. 31, 2019
Banking and Thrift [Abstract] |
CAPITAL | Capital Risk-based capital. First Financial and its subsidiary, First Financial Bank, are subject to regulatory capital requirements administered by federal banking agencies. Capital adequacy guidelines and, additionally for banks, prompt corrective action regulations involve quantitative measures of assets, liabilities and certain off-balance sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators. Failure to meet minimum capital requirements can initiate regulatory action. The Board of Governors of the Federal Reserve System approved Basel III in order to strengthen the regulatory capital framework for all banking organizations, subject to a phase-in period for certain provisions. Basel III established and defined quantitative measures to ensure capital adequacy. These measures require First Financial to maintain minimum amounts and ratios of Common Equity tier 1 capital, total and tier 1 capital to risk-weighted assets and tier 1 capital to average assets (leverage ratio). Basel III includes a minimum ratio of Common equity tier 1 capital to risk-weighted assets of 7.00% at December 31, 2019 and 6.38% at December 31, 2018 and a phased-in capital conservation buffer of 2.5% of risk-weighted assets that began on January 1, 2016 at 0.625% until it was fully phased in as of January 1, 2019. Further, the minimum ratio of tier 1 capital to risk-weighted assets increased to 8.5% at December 31, 2019 and all banks are subject to a 4.0% minimum leverage ratio. The required Total risk-based capital ratio is 10.50%. Failure to maintain the required Common equity Tier 1 capital conservation buffer will result in potential restrictions on a bank’s ability to pay dividends, repurchase stock and pay discretionary compensation to its employees. The capital requirements also provide strict eligibility criteria for regulatory capital instruments and change the method for calculating risk-weighted assets in an effort to better identify riskier assets, such as highly volatile commercial real estate and nonaccrual loans. As of December 31, 2019, management believes that First Financial met all capital adequacy requirements to which it was subject. To be categorized as well-capitalized, First Financial must maintain minimum Total risk-based capital, Tier 1 risk-based capital and Tier 1 leverage ratios as set forth in the table that follows. The Company's most recent regulatory notifications categorized First Financial as "well-capitalized" under the regulatory framework for prompt corrective action. There have been no conditions or events since those notifications that management believes have changed the Company's categorization. Total regulatory capital exceeded the “minimum” requirement by $318.3 million on a consolidated basis at December 31, 2019. The following tables present the actual and required capital amounts and ratios as of December 31, 2019 and 2018 under the Basel III Capital Rules. The minimum required capital amounts presented include the minimum required capital levels based on the phase-in provisions of the Basel III Capital Rules as of the year presented. The 2018 table includes the minimum required capital levels as of January 1, 2019 when the Basel III Capital Rules had been fully phased-in. Capital levels required to be considered "well capitalized" are based upon prompt corrective action regulations, as amended to reflect the changes under the Basel III Capital Rules.
|  | Actual |  | Minimum capital required - Basel III |  | PCA requirement to be considered well capitalized
(Dollars in thousands) |  | Capital amount |  | Ratio |  | Capital amount |  | Ratio |  | Capital amount |  | Ratio
December 31, 2019 |  |  |  |  |  |  |  |  |  |  |  |
Common equity tier 1 capital to risk-weighted assets |  |  |  |  |  |  |  |
Consolidated |  | $ | 1,245,746 |  |  | 11.30 | % |  | $ | 771,666 |  |  | 7.00 | % |  | N/A |  |  | N/A |
First Financial Bank |  | 1,333,978 |  |  | 12.11 | % |  | 770,997 |  |  | 7.00 | % |  | $ | 715,926 |  |  | 6.50 | %
Tier 1 capital to risk-weighted assets |  |  |  |  |  |  |  |  |  |
Consolidated |  | 1,288,185 |  |  | 11.69 | % |  | 937,023 |  |  | 8.50 | % |  | N/A |  |  | N/A |
First Financial Bank |  | 1,334,082 |  |  | 12.11 | % |  | 936,211 |  |  | 8.50 | % |  | $ | 881,140 |  |  | 8.00 | %
Total capital to risk-weighted assets |  |  |  |  |  |  |  |  |  |
Consolidated |  | 1,475,813 |  |  | 13.39 | % |  | 1,157,498 |  |  | 10.50 | % |  | N/A |  |  | N/A |
First Financial Bank |  | 1,399,817 |  |  | 12.71 | % |  | 1,156,496 |  |  | 10.50 | % |  | 1,101,425 |  |  | 10.00 | %
Leverage |  |  |  |  |  |  |  |  |  |  |  |
Consolidated |  | 1,288,185 |  |  | 9.58 | % |  | 537,606 |  |  | 4.00 | % |  | N/A |  |  | N/A |
First Financial Bank |  | 1,334,082 |  |  | 9.93 | % |  | 537,299 |  |  | 4.00 | % |  | 671,623 |  |  | 5.00 | %
|  | Actual |  | Minimum capital required - Basel III |  | PCA requirement to be considered well capitalized |  | Minimum capital required - Basel III fully phased-in
(Dollars in thousands) |  | Capital amount |  | Ratio |  | Capital amount |  | Ratio |  | Capital amount |  | Ratio |  | Capital amount |  | Ratio
December 31, 2018 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Common equity tier 1 capital to risk-weighted assets |  |  |  |  |  |  |  |  |  |  |  |
Consolidated |  | $ | 1,215,613 |  |  | 11.87 | % |  | $ | 652,874 |  |  | 6.38 | % |  | N/A |  |  | N/A |  |  | $ | 716,881 |  |  | 7.00 | %
First Financial Bank |  | 1,279,492 |  |  | 12.50 | % |  | 652,590 |  |  | 6.38 | % |  | $ | 665,386 |  |  | 6.50 | % |  | 716,570 |  |  | 7.00 | %
Tier 1 capital to risk-weighted assets |  |  |  |  |  |  |  |  |  |  |  |  |  |
Consolidated |  | 1,257,366 |  |  | 12.28 | % |  | 806,491 |  |  | 7.88 | % |  | N/A |  |  | N/A |  |  | 870,499 |  |  | 8.50 | %
First Financial Bank |  | 1,279,596 |  |  | 12.50 | % |  | 806,141 |  |  | 7.88 | % |  | 818,937 |  |  | 8.00 | % |  | 870,120 |  |  | 8.50 | %
Total capital to risk-weighted assets |  |  |  |  |  |  |  |  |  |  |  |  |  |
Consolidated |  | 1,444,146 |  |  | 14.10 | % |  | 1,011,314 |  |  | 9.88 | % |  | N/A |  |  | N/A |  |  | 1,075,322 |  |  | 10.50 | %
First Financial Bank |  | 1,344,388 |  |  | 13.13 | % |  | 1,010,875 |  |  | 9.88 | % |  | 1,023,671 |  |  | 10.00 | % |  | 1,074,855 |  |  | 10.50 | %
Leverage |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Consolidated |  | 1,257,366 |  |  | 9.71 | % |  | 517,958 |  |  | 4.00 | % |  | N/A |  |  | N/A |  |  | 517,958 |  |  | 4.00 | %
First Financial Bank |  | 1,279,596 |  |  | 9.89 | % |  | 517,710 |  |  | 4.00 | % |  | 647,138 |  |  | 5.00 | % |  | 517,710 |  |  | 4.00 | %
Share repurchases. In January 2019, First Financial's board of directors approved a stock repurchase plan, replacing the plan approved in 2012. The 2019 plan authorizes the purchase of up to 5,000,000 shares of the Company's common stock. First Financial repurchased 2,753,272 shares at an average market price of $24.05 under this plan during 2019. At December 31, 2019, 2,246,728 common shares remained available for repurchase under the 2019 plan. There were no share repurchases in 2018 or 2017. ATM Offering. In March 2017, First Financial initiated an "at-the-market" equity offering program to provide flexibility with respect to capital planning and to support future growth. First Financial was not active through the ATM program during the period.

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- Definition The entire disclosure for regulatory capital requirement for depository and lending institutions. Institutions include, but not are not limited to, finance company, insured depository institution, bank holding company, savings and loan association holding company, bank and savings institution not federally insured, mortgage company, foreign financial institution and credit union. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1C -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958572-112826 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1D -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958573-112826 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1B -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958570-112826 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1A -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958569-112826 Reference 5: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1G -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958577-112826 Reference 6: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1F -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958575-112826 Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1E -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958574-112826 Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=117337116&loc=SL5958568-112826 Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 505 -Section 50 -Paragraph 1H -URI http://asc.fasb.org/extlink&oid=117337116&loc=d3e65071-112826 + Details
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