Allowance for Credit Losses and Credit Quality of Loans (Tables)

12 Months Ended

Dec. 31, 2021

Allowance for Credit Losses and Credit Quality of Loans [Abstract]

The following tables present the activity in the allowance for credit losses by our portfolio segments:

(In thousands)	Commercial Loans			Consumer Loans			Residential			Total
Balance as of December 31, 2020	$	50,942		$	37,803		$	21,255		$	110,000
Charge-offs		(4,638	)		(14,489	)		(979	)		(20,106	)
Recoveries		723			8,571			1,069			10,363
Provision		(18,086	)		12,368			(2,539	)		(8,257	)
Ending Balance as of December 31, 2021	$	28,941		$	44,253		$	18,806		$	92,000

Balance as of January 1, 2020 (after adoption of ASC 326)	$	27,156		$	32,122		$	16,721		$	75,999
Charge-offs		(4,005	)		(21,938	)		(1,135	)		(27,078	)
Recoveries		786			8,541			618			9,945
Provision		27,005			19,078			5,051			51,134
Ending Balance as of December 31, 2020	$	50,942		$	37,803		$	21,255		$	110,000

The following tables illustrate the changes in the allowance for loan losses by our portfolio segments:

(In thousands)	Commercial Loans			Consumer Loans			Residential Real Estate			Total
Balance as of December 31, 2018	$	32,759		$	37,178		$	2,568		$	72,505
Charge-offs		(3,151	)		(28,398	)		(991	)		(32,540	)
Recoveries		534			6,913			141			7,588
Provision		4,383			19,954			1,075			25,412
Ending Balance as of December 31, 2019	$	34,525		$	35,647		$	2,793		$	72,965

Past due and Nonperforming Loans by Loan Class

The following table sets forth information with regard to past due and nonperforming loans by loan segment:

(In thousands)	31-60 Days Past Due Accruing		61-90 Days Past Due Accruing		Greater Than 90 Days Past Due Accruing		Total Past Due Accruing		Nonaccrual		Current		Recorded Total Loans
As of December 31, 2021
Commercial loans:
C&I	$	622	$	-	$	-	$	622	$	3,618	$	1,126,430	$	1,130,670
CRE		1,219		132		-		1,351		12,726		2,550,910		2,564,987
PPP		-		-		-		-		-		101,222		101,222
Total commercial loans	$	1,841	$	132	$	-	$	1,973	$	16,344	$	3,778,562	$	3,796,879
Consumer loans:
Auto	$	6,911	$	1,547	$	545	$	9,003	$	1,295	$	816,210	$	826,508
Other consumer		3,789		1,816		1,105		6,710		233		832,447		839,390
Total consumer loans	$	10,700	$	3,363	$	1,650	$	15,713	$	1,528	$	1,648,657	$	1,665,898
Residential	$	2,481	$	420	$	808	$	3,709	$	12,413	$	2,019,560	$	2,035,682
Total loans	$	15,022	$	3,915	$	2,458	$	21,395	$	30,285	$	7,446,779	$	7,498,459

(In thousands)	31-60 Days Past Due Accruing		61-90 Days Past Due Accruing		Greater Than 90 Days Past Due Accruing		Total Past Due Accruing		Nonaccrual		Current		Recorded Total Loans
As of December 31, 2020
Commercial loans:
C&I	$	2,235	$	2,394	$	23	$	4,652	$	4,278	$	1,116,686	$	1,125,616
CRE		682		-		470		1,152		19,971		2,391,162		2,412,285
PPP		-		-		-		-		-		430,810		430,810
Total commercial loans	$	2,917	$	2,394	$	493	$	5,804	$	24,249	$	3,938,658	$	3,968,711
Consumer loans:
Auto	$	9,125	$	1,553	$	866	$	11,544	$	2,730	$	877,831	$	892,105
Other consumer		3,711		1,929		1,272		6,912		290		640,952		648,154
Total consumer loans	$	12,836	$	3,482	$	2,138	$	18,456	$	3,020	$	1,518,783	$	1,540,259
Residential	$	2,719	$	309	$	518	$	3,546	$	17,378	$	1,968,991	$	1,989,915
Total loans	$	18,472	$	6,185	$	3,149	$	27,806	$	44,647	$	7,426,432	$	7,498,885

Financing Receivable Credit Quality by Loan Class

The following tables illustrate the Company’s credit quality by loan class by vintage:

(In thousands)	2021		2020		2019		2018		2017		Prior		Revolving Loans Amortized Cost Basis		Revolving Loans Converted to Term		Total
December 31, 2021
C&I
By internally assigned grade:
Pass	$	335,685	$	219,931	$	114,617	$	64,310	$	20,137	$	32,146	$	280,476	$	15,731	$	1,083,033
Special mention		148		5,255		4,641		2,430		2,699		1,111		11,835		522		28,641
Substandard		1,482		874		7,010		187		2,582		3,272		3,512		34		18,953
Doubtful		-		-		-		1		42		-		-		-		43
Total C&I	$	337,315	$	226,060	$	126,268	$	66,928	$	25,460	$	36,529	$	295,823	$	16,287	$	1,130,670

CRE
By internally assigned grade:
Pass	$	489,300	$	434,866	$	370,377	$	236,274	$	251,082	$	441,310	$	141,367	$	43,942	$	2,408,518
Special mention		789		826		11,235		3,544		15,379		53,372		780		420		86,345
Substandard		-		77		4,539		12,934		12,424		34,563		744		-		65,281
Doubtful		-		-		-		-		-		4,843		-		-		4,843
Total CRE	$	490,089	$	435,769	$	386,151	$	252,752	$	278,885	$	534,088	$	142,891	$	44,362	$	2,564,987

PPP
By internally assigned grade:
Pass	$	92,884	$	8,338	$	-	$	-	$	-	$	-	$	-	$	-	$	101,222
Total PPP	$	92,884	$	8,338	$	-	$	-	$	-	$	-	$	-	$	-	$	101,222

Auto
By payment activity:
Performing	$	351,778	$	129,419	$	183,959	$	101,441	$	46,007	$	12,064	$	-	$	-	$	824,668
Nonperforming		305		319		457		411		266		82		-		-		1,840
Total auto	$	352,083	$	129,738	$	184,416	$	101,852	$	46,273	$	12,146	$	-	$	-	$	826,508

Other consumer
By payment activity:
Performing	$	427,401	$	151,300	$	116,451	$	78,523	$	29,705	$	15,660	$	19,011	$	1	$	838,052
Nonperforming		216		429		249		134		238		33		18		21		1,338
Total other consumer	$	427,617	$	151,729	$	116,700	$	78,657	$	29,943	$	15,693	$	19,029	$	22	$	839,390

Residential
By payment activity:
Performing	$	345,338	$	226,723	$	179,087	$	179,575	$	146,611	$	687,863	$	246,103	$	11,161	$	2,022,461
Nonperforming		-		1,411		643		1,072		1,534		8,522		-		39		13,221
Total residential	$	345,338	$	228,134	$	179,730	$	180,647	$	148,145	$	696,385	$	246,103	$	11,200	$	2,035,682

Total loans	$	2,045,326	$	1,179,768	$	993,265	$	680,836	$	528,706	$	1,294,841	$	703,846	$	71,871	$	7,498,459

(In thousands)	2020		2019		2018		2017		2016		Prior		Revolving Loans Amortized Cost Basis		Revolving Loans Converted to Term		Total
December 31, 2020
C&I
By internally assigned grade:
Pass	$	331,921	$	182,329	$	91,230	$	41,856	$	32,625	$	32,609	$	322,674	$	412	$	1,035,656
Special mention		20,064		6,534		5,053		4,702		1,624		2,830		13,614		-		54,421
Substandard		338		6,364		10,219		3,388		791		4,272		9,945		14		35,331
Doubtful		-		-		-		207		-		1		-		-		208
Total C&I	$	352,323	$	195,227	$	106,502	$	50,153	$	35,040	$	39,712	$	346,233	$	426	$	1,125,616

CRE
By internally assigned grade:
Pass	$	469,919	$	361,187	$	256,154	$	271,874	$	212,197	$	383,690	$	113,128	$	4,034	$	2,072,183
Special mention		2,051		44,034		22,260		55,039		36,830		43,537		1,297		11,524		216,572
Substandard		536		5,307		18,298		15,691		6,018		62,168		1,501		4,642		114,161
Doubtful		-		1,897		-		-		-		7,472		-		-		9,369
Total CRE	$	472,506	$	412,425	$	296,712	$	342,604	$	255,045	$	496,867	$	115,926	$	20,200	$	2,412,285

PPP
By internally assigned grade:
Pass	$	430,810	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	430,810
Total PPP	$	430,810	$	-	$	-	$	-	$	-	$	-	$	-	$	-	$	430,810

Auto
By payment activity:
Performing	$	197,881	$	314,034	$	201,850	$	115,977	$	45,495	$	13,250	$	22	$	-	$	888,509
Nonperforming		359		1,140		1,135		525		437		-		-		-		3,596
Total auto	$	198,240	$	315,174	$	202,985	$	116,502	$	45,932	$	13,250	$	22	$	-	$	892,105

Other consumer
By payment activity:
Performing	$	234,628	$	178,411	$	127,549	$	55,676	$	14,255	$	17,414	$	18,588	$	71	$	646,592
Nonperforming		339		418		307		265		90		133		10		-		1,562
Total other consumer	$	234,967	$	178,829	$	127,856	$	55,941	$	14,345	$	17,547	$	18,598	$	71	$	648,154

Residential
By payment activity:
Performing	$	237,338	$	210,505	$	213,437	$	182,993	$	164,424	$	684,495	$	268,878	$	9,991	$	1,972,061
Nonperforming		1,245		659		2,318		2,535		902		10,195		-		-		17,854
Total residential	$	238,583	$	211,164	$	215,755	$	185,528	$	165,326	$	694,690	$	268,878	$	9,991	$	1,989,915

Total loans	$	1,927,429	$	1,312,819	$	949,810	$	750,728	$	515,688	$	1,262,066	$	749,657	$	30,688	$	7,498,885

Troubled Debt Restructurings on Financing Receivables

The following tables illustrate the recorded investment and number of modifications designated as TDRs, including the recorded investment in the loans prior to a modification and the recorded investment in the loans after restructuring:

	Year Ended December 31, 2021						Year Ended December 31, 2020
(Dollars in thousands)	Number of Contracts		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment			Number of Contracts		Pre-Modification Outstanding Recorded Investment		Post-Modification Outstanding Recorded Investment
Commercial loans:
C&I		-	$	-	$	-			1	$	22	$	22
Total commercial loans		-	$	-	$	-			1	$	22	$	22
Consumer loans:
Auto		2	$	38	$	38			1	$	44	$	44
Total consumer loans		2	$	38	$	38			1	$	44	$	44
Residential		10	$	1,121	$	1,236			35	$	2,834	$	2,960
Total TDRs		12	$	1,159	$	1,274			37	$	2,900	$	3,026

The following table illustrates the recorded investment and number of modifications for TDRs where a concession has been made and subsequently defaulted during the year:

	Year Ended December 31, 2021				Year Ended December 31, 2020
(Dollars in thousands)	Number of Contracts		Recorded Investment			Number of Contracts		Recorded Investment
Commercial loans:
C&I		-	$	-			1	$	387
CRE		-		-			1		168
Total commercial loans		-	$	-			2	$	555
Consumer loans:
Auto		3	$	36			1	$	6
Total consumer loans		3	$	36			1	$	6
Residential		49	$	2,830			61	$	3,213
Total TDRs		52	$	2,866			64	$	3,774

Impaired Loans and Specific Reserve Allocations

The following table summarizes the average recorded investments on loans specifically evaluated for impairment and the interest income recognized:

	December 31, 2019
(In thousands)	Average Recorded Investment		Interest Income Recognized
Originated
Commercial loans:
C&I	$	242	$	1
CRE		3,311		123
Business banking		1,089		24
Total commercial loans	$	4,642	$	148
Consumer loans:
Indirect auto	$	192	$	10
Direct		7,387		382
Specialty lending		7		1
Total consumer loans	$	7,586	$	393
Residential real estate	$	7,505	$	350
Total originated	$	19,733	$	891

Total loans	$	19,733	$	891