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Fair value measurements (Tables) | 12 Months Ended
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Dec. 31, 2014
Fair Value Disclosures [Abstract] |
Schedule of estimated fair values of certain of the Company's financial instruments | The following table presents the carrying amount, fair value, and placement in the fair value hierarchy of the Company’s financial instruments. For stock in Federal Home Loan Bank of Seattle, the carrying amount is a reasonable estimate of fair value. For financial liabilities such as noninterest-bearing demand, interest-bearing demand, and savings and money market deposits, the carrying amount is a reasonable estimate of fair value as these liabilities have no stated maturity.
|  |  | Estimated fair value
(in thousands) | Carrying or notional amount |  | Quoted prices in active markets for identical assets (Level 1) |  | Significant other Observable inputs (Level 2) |  | Significant Unobservable inputs (Level 3) |  | Total
December 31, 2014 |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |  |  |  |  |  |  |  |
Money market funds | $ | 10 |  |  | $ | — |  |  | $ | 10 |  |  | $ | — |  |  | $ | 10 |
Available-for-sale investment securities | 550,394 |  |  | — |  |  | 550,394 |  |  | — |  |  | 550,394 |
Stock in Federal Home Loan Bank of Seattle | 69,302 |  |  | — |  |  | 69,302 |  |  | — |  |  | 69,302 |
Loans receivable, net | 4,397,457 |  |  | — |  |  | — |  |  | 4,578,822 |  |  | 4,578,822 |
Derivative assets | 30,120 |  |  | — |  |  | 398 |  |  | — |  |  | 398 |
Financial liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deposit liabilities | 4,623,415 |  |  | — |  |  | 4,623,773 |  |  | — |  |  | 4,623,773 |
Short-term borrowings—other than bank | 118,972 |  |  | — |  |  | 118,972 |  |  | — |  |  | 118,972 |
Other bank borrowings | 290,656 |  |  | — |  |  | 298,837 |  |  | — |  |  | 298,837 |
Long-term debt, net—other than bank | 1,506,546 |  |  | — |  |  | 1,622,736 |  |  | — |  |  | 1,622,736 |
The Utilities' long-term debt, net (included in amount above) | 1,206,546 |  |  | — |  |  | 1,313,893 |  |  | — |  |  | 1,313,893 |
Derivative liabilities | 32,043 |  |  | 71 |  |  | 43 |  |  | — |  |  | 114 |
December 31, 2013 |  |  |  |  |  |  |  |  |  |  |  |  |  |
Financial assets |  |  |  |  |  |  |  |  |  |  |  |  |  |
Money market funds | $ | 10 |  |  | $ | — |  |  | $ | 10 |  |  | $ | — |  |  | $ | 10 |
Available-for-sale investment securities | 529,007 |  |  | — |  |  | 529,007 |  |  | — |  |  | 529,007 |
Stock in Federal Home Loan Bank of Seattle | 92,546 |  |  | — |  |  | 92,546 |  |  | — |  |  | 92,546 |
Loans receivable, net | 4,115,415 |  |  | — |  |  | — |  |  | 4,211,290 |  |  | 4,211,290 |
Derivative assets | 46,356 |  |  | 98 |  |  | 531 |  |  | — |  |  | 629 |
Financial liabilities |  |  |  |  |  |  |  |  |  |  |  |  |  |
Deposit liabilities | 4,372,477 |  |  | — |  |  | 4,374,377 |  |  | — |  |  | 4,374,377 |
Short-term borrowings—other than bank | 105,482 |  |  | — |  |  | 105,482 |  |  | — |  |  | 105,482 |
Other bank borrowings | 244,514 |  |  | — |  |  | 256,029 |  |  | — |  |  | 256,029 |
Long-term debt, net—other than bank | 1,492,945 |  |  | — |  |  | 1,508,425 |  |  | — |  |  | 1,508,425 |
The Utilities' long-term debt, net (included in amount above) | 1,217,945 |  |  | — |  |  | 1,228,966 |  |  | — |  |  | 1,228,966 |
Derivative liabilities | 4,732 |  |  | — |  |  | 26 |  |  | — |  |  | 26 |
Schedule of assets and liabilities measured at fair value on a recurring basis | Assets and liabilities measured at fair value on a recurring basis were as follows:
December 31 | 2014 |  | 2013
| Fair value measurements using |  | Fair value measurements using
(in thousands) | Level 1 |  | Level 2 |  | Level 3 |  | Level 1 |  | Level 2 |  | Level 3
Money market funds (“other” segment) | $ | — |  |  | $ | 10 |  |  | $ | — |  |  | $ | — |  |  | $ | 10 |  |  | $ | — |
Available-for-sale investment securities (bank segment) |  |  |  |  |  |  |  |  |  |  |  |  |  |
Mortgage-related securities-FNMA, FHLMC and GNMA | $ | — |  |  | $ | 430,834 |  |  | $ | — |  |  | $ | — |  |  | $ | 369,444 |  |  | $ | — |
U.S. Treasury and federal agency obligations | — |  |  | 119,560 |  |  | — |  |  | — |  |  | 80,973 |  |  | — |
Municipal bonds | — |  |  | — |  |  | — |  |  | — |  |  | 78,590 |  |  | — |
| $ | — |  |  | $ | 550,394 |  |  | $ | — |  |  | $ | — |  |  | $ | 529,007 |  |  | $ | — |
Derivative assets 1 |  |  |  |  |  |  |  |  |  |  |
Interest rate lock commitments | $ | — |  |  | $ | 393 |  |  | $ | — |  |  | $ | — |  |  | $ | 488 |  |  | $ | — |
Forward commitments | — |  |  | 5 |  |  | — |  |  | 98 |  |  | 43 |  |  | — |
| $ | — |  |  | $ | 398 |  |  | $ | — |  |  | $ | 98 |  |  | $ | 531 |  |  | $ | — |
Derivative liabilities 1 |  |  |  |  |  |  |  |  |  |  |
Interest rate lock commitments | $ | — |  |  | $ | 3 |  |  | $ | — |  |  | $ | — |  |  | $ | 24 |  |  | $ | — |
Forward commitments | 71 |  |  | 40 |  |  | — |  |  | — |  |  | 2 |  |  | — |
| $ | 71 |  |  | $ | 43 |  |  | $ | — |  |  | $ | — |  |  | $ | 26 |  |  | $ | — |
1 | Derivatives are carried at fair value with changes in value reflected in the balance sheet in other assets or other liabilities and included in mortgage banking income.
Schedule of assets measured at fair value on a nonrecurring basis | Assets measured at fair value on a nonrecurring basis were as follows:
|  |  | Fair value measurements using
(in millions) | Balance |  | Level 1 |  | Level 2 |  | Level 3
December 31, 2014 |  |  |  |  |  |  |  |  |  |  |
Loans | $ | 2 |  |  | $ | — |  |  | $ | — |  |  | $ | 2 |
Tax credit investments | 9 |  |  | — |  |  | — |  |  | 9 |
Real estate acquired in settlement of loans | — |  |  | — |  |  | — |  |  | — |
December 31, 2013 |  |  |  |  |  |  |
Loans | 4 |  |  | — |  |  | — |  |  | 4 |
Real estate acquired in settlement of loans | — |  |  | — |  |  | — |  |  | — |
Schedule of significant unobservable inputs used in the fair value measurement | Key assumptions used in estimating the fair value of ASB’s mortgage servicing rights were as follows:
December 31 | 2014 |  | 2013
(dollars in thousands) |  |  |
Unpaid principal balance | $ | 1,391,030 |  |  | $ | 1,357,003 |
Weighted average note rate | 4.07 | % |  | 4.07 | %
Weighted average discount rate | 9.6 | % |  | 9.8 | %
Weighted average prepayment speed | 9.5 | % |  | 8.6 | %
The following table presents quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a nonrecurring basis:
|  |  |  |  |  |  | Significant unobservable input value 1
(dollars in thousands) | Fair value |  | Valuation technique |  | Significant unobservable input |  | Range |  | Weighted Average
December 31, 2014 |  |  |  |  |  |  |  |  |
Residential loans | $ | 2,297 |  |  | Fair value of property or collateral |  | Appraised value less 7% selling cost |  | 39-99% |  | 83%
Home equity lines of credit | 3 |  |  | Fair value of property or collateral |  | Appraised value less 7% selling cost |  |  |  | 7%
Commercial loans | 145 |  |  | Fair value of property or collateral |  | Fair value of business assets |  |  |  | 91%
Total loans | $ | 2,445 |  |  |  |  |  |  |  |  |
Tax credit investments | $ | 8,975 |  |  | Discounted cash flow |  | Present value of expected future cash flows |  | 5-93% |  | 88%
|  |  |  |  | Discount rate |  |  |  | 7%
Real estate acquired in settlement of loans | $ | 288 |  |  | Fair value of property or collateral |  | Appraised value less 7% selling cost |  | 100% |  | 100%
December 31, 2013 |  |  |  |  |  |  |  |  |
Residential loans | $ | 2,361 |  |  | Fair value of property or collateral |  | Appraised value less 7% selling cost |  | 44-96% |  | 87%
Home equity lines of credit | 170 |  |  | Fair value of property or collateral |  | Appraised value less 7% selling cost |  | 45-50% |  | 50%
Commercial loans | 217 |  |  | Fair value of property or collateral |  | Fair value of business assets |  |  |  | 19%
Commercial loans | 1,668 |  |  | Discounted cash flow |  | Present value of expected future cash flows |  |  |  | 58%
|  |  |  |  | Discount rate |  |  |  | 4.5%
Total loans | $ | 4,416 |  |  |  |  |  |  |  |  |
1 | Represent percent of outstanding principal balance.
Schedule of assets held in various trusts are measured at fair value on a recurring basis | Assets held in various trusts for the retirement benefit plans are measured at fair value on a recurring basis and were as follows:
| Pension benefits |  | Other benefits
|  |  | Fair value measurements using |  |  |  | Fair value measurements using
(in millions) | December 31 |  | Level 1 |  | Level 2 |  | Level 3 |  | December 31 |  | Level 1 |  | Level 2 |  | Level 3
2014 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Equity securities | $ | 649 |  |  | $ | 649 |  |  | $ | — |  |  | $ | — |  |  | $ | 99 |  |  | $ | 99 |  |  | $ | — |  |  | $ | — |
Equity index funds | 132 |  |  | 132 |  |  | — |  |  | — |  |  | 19 |  |  | 19 |  |  | — |  |  | — |
Fixed income securities | 428 |  |  | 121 |  |  | 307 |  |  | — |  |  | 49 |  |  | 43 |  |  | 6 |  |  | — |
Pooled and mutual funds and other | 82 |  |  | 1 |  |  | 81 |  |  | — |  |  | 14 |  |  | 3 |  |  | 11 |  |  | — |
Total | $ | 1,291 |  |  | $ | 903 |  |  | $ | 388 |  |  | $ | — |  |  | $ | 181 |  |  | $ | 164 |  |  | $ | 17 |  |  | $ | — |
Cash, receivables and payables, net | (25 | ) |  |  |  |  |  |  |  |  |  |  | (1 | ) |  |  |  |  |  |  |  |  |
Fair value of plan assets | $ | 1,266 |  |  |  |  |  |  |  |  |  |  |  | $ | 180 |  |  |  |  |  |  |  |  |  |
2013 |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Equity securities | $ | 672 |  |  | $ | 672 |  |  | $ | — |  |  | $ | — |  |  | $ | 102 |  |  | $ | 102 |  |  | $ | — |  |  | $ | — |
Equity index funds | 127 |  |  | 127 |  |  | — |  |  | — |  |  | 19 |  |  | 19 |  |  | — |  |  | — |
Fixed income securities | 350 |  |  | 122 |  |  | 228 |  |  | — |  |  | 46 |  |  | 40 |  |  | 6 |  |  | — |
Pooled and mutual funds and other | 84 |  |  | — |  |  | 83 |  |  | 1 |  |  | 13 |  |  | — |  |  | 13 |  |  | — |
Total | 1,233 |  |  | $ | 921 |  |  | $ | 311 |  |  | $ | 1 |  |  | 180 |  |  | $ | 161 |  |  | $ | 19 |  |  | $ | — |
Cash, receivables and payables, net | (46 | ) |  |  |  |  |  |  |  |  |  |  | (1 | ) |  |  |  |  |  |  |  |  |
Fair value of plan assets | $ | 1,187 |  |  |  |  |  |  |  |  |  |  |  | $ | 179 |  |  |  |  |  |  |  |  |  |
Schedule of changes in Level 3 assets | For 2014 and 2013, the changes in Level 3 assets were as follows:
| 2014 |  | 2013
(in thousands) | Pension benefits |  | Other benefits |  | Pension benefits |  | Other benefits
Balance, January 1 | $ | 580 |  |  | $ | 18 |  |  | $ | 581 |  |  | $ | 18 |
Realized and unrealized losses | (203 | ) |  | (6 | ) |  | (1 | ) |  | — |
Purchases and settlements, net | (282 | ) |  | (8 | ) |  | — |  |  | — |
Balance, December 31 | $ | 95 |  |  | $ | 4 |  |  | $ | 580 |  |  | $ | 18 |

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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 5 -URI http://asc.fasb.org/extlink&oid=36462937&loc=d3e19296-110258 + Details
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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a),(b) -URI http://asc.fasb.org/extlink&oid=36462937&loc=d3e19207-110258 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 1 -URI http://asc.fasb.org/extlink&oid=36462937&loc=d3e19190-110258 + Details
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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (c) -URI http://asc.fasb.org/extlink&oid=36462937&loc=d3e19207-110258 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=36462937&loc=d3e19279-110258 + Details
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- 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://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=35750535&loc=d3e13476-108611 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=36462937&loc=d3e19207-110258 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 11 -URI http://asc.fasb.org/extlink&oid=35750535&loc=d3e13467-108611 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 45 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6447952&loc=d3e13220-108610 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 30 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=6957238&loc=d3e14172-108612 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 825 -SubTopic 10 -Section 50 -Paragraph 10 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=35750535&loc=d3e13433-108611 + Details
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- Definition Tabular disclosure of quantitative information about the inputs used in the fair value measurement of assets. This disclosure may include, but is not limited to, the fair value of the asset, valuation technique used to measure fair value, the inputs used to measure fair value, the ranges of the inputs, and the weighted averages of the inputs. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 820 -SubTopic 10 -Section 50 -Paragraph 2 -Subparagraph (bbb) -URI http://asc.fasb.org/extlink&oid=36462937&loc=d3e19207-110258 + Details
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