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Securities Available for Sale | 6 Months Ended
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Jun. 30, 2019
Debt Securities, Available-for-sale [Abstract] |
Securities Available for Sale | Securities Available for Sale The following is a summary of securities available for sale as of the dates indicated:
| At June 30, 2019
| Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Estimated Fair Value
| (Dollars in thousands)
Debt securities: |  |  |  |  |  |  |
U.S. Government agency and U.S. Government sponsored enterprises: |  |  |  |  |  |  |
Collateralized mortgage obligations | $ | 842,576 |  |  | $ | 5,443 |  |  | $ | (3,120 | ) |  | $ | 844,899 |
Mortgage-backed securities: |  |  |  |  |  |  |
Residential | 369,476 |  |  | 913 |  |  | (3,213 | ) |  | 367,176 |
Commercial | 530,206 |  |  | 13,437 |  |  | (2,712 | ) |  | 540,931 |
Corporate securities | 5,000 |  |  | — |  |  | (1,120 | ) |  | 3,880 |
Municipal securities | 70,007 |  |  | 565 |  |  | (555 | ) |  | 70,017 |
Total investment securities available for sale | $ | 1,817,265 |  |  | $ | 20,358 |  |  | $ | (10,720 | ) |  | $ | 1,826,903 |
| At December 31, 2018
| Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Estimated Fair Value
| (Dollars in thousands)
Debt securities: |  |  |  |  |  |  |
U.S. Government agency and U.S. Government sponsored enterprises: |  |  |  |  |  |  |
Collateralized mortgage obligations | $ | 914,710 |  |  | $ | 1,541 |  |  | $ | (21,129 | ) |  | $ | 895,122 |
Mortgage-backed securities: |  |  |  |  |  |  |
Residential | 415,659 |  |  | 47 |  |  | (13,101 | ) |  | 402,605 |
Commercial | 481,081 |  |  | 1,024 |  |  | (12,979 | ) |  | 469,126 |
Corporate securities | 5,000 |  |  | — |  |  | (1,174 | ) |  | 3,826 |
Municipal securities | 77,168 |  |  | 398 |  |  | (1,980 | ) |  | 75,586 |
Total investment securities available for sale | $ | 1,893,618 |  |  | $ | 3,010 |  |  | $ | (50,363 | ) |  | $ | 1,846,265 |
As of June 30, 2019 and December 31, 2018, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity. During the three months ended June 30, 2019, the Company recognized net gains on sales of securities available for sale in the amount of $129 thousand. The net gains on sales of securities available for sale consisted of $527 thousand in gross gains offset by $398 thousand in gross losses on investments securities sold. Tax provision recorded on the net gains on sales of securities available for sale was approximately $32 thousand for the three months ended June 30, 2019. The Company received proceeds from the sale of $69.2 million in investment securities, which consisted of $39.5 million municipal securities and $29.7 million mortgage-backed securities sold. For the three or six months ended June 30, 2018, there were no sales of securities available for sale. At June 30, 2019 and December 31, 2018, $7.4 million in unrealized gains and $32.7 million in unrealized losses on securities available for sale net of taxes, respectively, were included in accumulated other comprehensive loss. For the three and six months ended June 30, 2019, reclassifications out of accumulated other comprehensive income into earnings was $129 thousand. There were no reclassifications out of accumulated other comprehensive loss into earnings during the three and six months ended June 30, 2018. The amortized cost and estimated fair value of investment securities at June 30, 2019, by contractual maturity, is presented in the table below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations, with or without call or prepayment penalties. Collateralized mortgage obligations and mortgage-backed securities are not due at a single maturity date and their total balances are shown separately.
| Amortized Cost |  | Estimated Fair Value
| (Dollars in thousands)
Available for sale: |  |  |
Due within one year | $ | 750 |  |  | $ | 752 |
Due after one year through five years | 3,560 |  |  | 3,569 |
Due after five years through ten years | 2,648 |  |  | 2,720 |
Due after ten years | 68,049 |  |  | 66,856 |
U.S. Government agency and U.S. Government sponsored enterprises: |  |  |
Collateralized mortgage obligations | 842,576 |  |  | 844,899 |
Mortgage-backed securities: |  |  |
Residential | 369,476 |  |  | 367,176 |
Commercial | 530,206 |  |  | 540,931 |
Total | $ | 1,817,265 |  |  | $ | 1,826,903 |
Securities with carrying values of approximately $350.4 million and $354.6 million at June 30, 2019 and December 31, 2018, respectively, were pledged to secure public deposits, for various borrowings, and for other purposes as required or permitted by law. The following tables show the Company’s investments’ gross unrealized losses and estimated fair values, aggregated by investment category and the length of time that the individual securities have been in a continuous unrealized loss position as of the dates indicated.
|  | As of June 30, 2019
|  | Less than 12 months |  | 12 months or longer |  | Total
Description of Securities |  | Number of Securities |  | Fair Value |  | Gross Unrealized Losses |  | Number of Securities |  | Fair Value |  | Gross Unrealized Losses |  | Number of Securities |  | Fair Value |  | Gross Unrealized Losses
|  | (Dollars in thousands)
Collateralized mortgage obligations* |  | — |  |  | $ | — |  |  | $ | — |  |  | 56 |  |  | $ | 360,072 |  |  | $ | (3,120 | ) |  | 56 |  |  | $ | 360,072 |  |  | $ | (3,120 | )
Mortgage-backed securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Residential* |  | — |  |  | — |  |  | — |  |  | 37 |  |  | 309,942 |  |  | (3,213 | ) |  | 37 |  |  | 309,942 |  |  | (3,213 | )
Commercial* |  | — |  |  | — |  |  | — |  |  | 11 |  |  | 147,737 |  |  | (2,712 | ) |  | 11 |  |  | 147,737 |  |  | (2,712 | )
Corporate securities |  | — |  |  | — |  |  | — |  |  | 1 |  |  | 3,881 |  |  | (1,120 | ) |  | 1 |  |  | 3,881 |  |  | (1,120 | )
Municipal securities |  | — |  |  | — |  |  | — |  |  | 3 |  |  | 17,608 |  |  | (555 | ) |  | 3 |  |  | 17,608 |  |  | (555 | )
Total |  | — |  |  | $ | — |  |  | $ | — |  |  | 108 |  |  | $ | 839,240 |  |  | $ | (10,720 | ) |  | 108 |  |  | $ | 839,240 |  |  | $ | (10,720 | )
__________________________________ * Investments in U.S. Government agency and U.S. Government sponsored enterprises
|  | As of December 31, 2018
|  | Less than 12 months |  | 12 months or longer |  | Total
Description of Securities |  | Number of Securities |  | Fair Value |  | Gross Unrealized Losses |  | Number of Securities |  | Fair Value |  | Gross Unrealized Losses |  | Number of Securities |  | Fair Value |  | Gross Unrealized Losses
|  | (Dollars in thousands)
Collateralized mortgage obligations* |  | 1 |  |  | $ | 8,041 |  |  | $ | (28 | ) |  | 93 |  |  | $ | 700,095 |  |  | $ | (21,101 | ) |  | 94 |  |  | $ | 708,136 |  |  | $ | (21,129 | )
Mortgage-backed securities: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Residential* |  | 4 |  |  | 19,973 |  |  | (37 | ) |  | 45 |  |  | 363,334 |  |  | (13,064 | ) |  | 49 |  |  | 383,307 |  |  | (13,101 | )
Commercial* |  | 3 |  |  | 38,494 |  |  | (218 | ) |  | 27 |  |  | 312,428 |  |  | (12,761 | ) |  | 30 |  |  | 350,922 |  |  | (12,979 | )
Corporate securities |  | — |  |  | — |  |  | — |  |  | 1 |  |  | 3,826 |  |  | (1,174 | ) |  | 1 |  |  | 3,826 |  |  | (1,174 | )
Municipal securities |  | 13 |  |  | 5,528 |  |  | (83 | ) |  | 32 |  |  | 42,444 |  |  | (1,897 | ) |  | 45 |  |  | 47,972 |  |  | (1,980 | )
Total |  | 21 |  |  | $ | 72,036 |  |  | $ | (366 | ) |  | 198 |  |  | $ | 1,422,127 |  |  | $ | (49,997 | ) |  | 219 |  |  | $ | 1,494,163 |  |  | $ | (50,363 | )
__________________________________ * Investments in U.S. Government agency and U.S. Government sponsored enterprises The Company evaluates securities for other-than-temporary-impairment (“OTTI”) on at least a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Consideration is given to the financial condition and near-term prospects of the issuer, the length of time and the extent to which the fair values of the securities have been less than the cost of the securities, management’s intention to sell, and/or whether it is more likely than not that management will be required to sell the security in an unrealized loss position before recovery of its amortized cost basis. In analyzing an issuer’s financial condition, the Company considers, among other considerations, whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuer’s financial condition. All of the Company’s investment types had investments that were in a continuous unrealized loss position for twelve months or longer as of June 30, 2019. The collateralized mortgage obligations in a continuous loss position for twelve months or longer had unrealized losses of $3.1 million at June 30, 2019, and total residential and commercial mortgage backed securities in a continuous loss position for twelve months or longer had total unrealized losses of $5.9 million. These securities were issued by U.S. Government agency and U.S. Government sponsored enterprises and have high credit ratings of “AA” grade or better. Interest on U.S. Government agencies and U.S. Government sponsored enterprise investments have been paid as agreed, and management believes this will continue in the future and that the securities will be repaid in full as scheduled. Corporate securities that were in a continuous loss position for twelve months or longer had unrealized losses of $1.1 million at June 30, 2019. Municipal securities that were in a continuous loss position for twelve months or longer had unrealized losses of $555 thousand at June 30, 2019. The market value declines for these securities were primarily due to movements in interest rates and are not reflective of management’s expectations of the Company’s ability to fully recover these investments, which may be at maturity. For these reasons, no OTTI was recognized on U.S. Government sponsored collateralized mortgage obligations and mortgage backed securities, corporate securities, and municipal securities that were in an unrealized loss position at June 30, 2019. The Company considers the losses on the investments in unrealized loss positions at June 30, 2019 to be temporary based on: 1) the likelihood of recovery; 2) the information relative to the extent and duration of the decline in market value; and 3) the Company’s intention not to sell, and management’s determination that it is more likely than not that the Company will not be required to sell a security in an unrealized loss position before recovery of its amortized cost basis.

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- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 942 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2209399 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 946 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2324412 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 320 -URI http://asc.fasb.org/topic&trid=2196928 Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 940 -SubTopic 320 -URI http://asc.fasb.org/subtopic&trid=2176304 + Details
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