XML 22 R12.htm IDEA: XBRL DOCUMENT
v3.25.3

Securities | 9 Months Ended
--- | ---
Sep. 30, 2025
Investments, Debt and Equity Securities [Abstract] |
Securities | Securities The amortized cost, estimated fair value, and allowance for securities credit losses of debt securities available-for-sale and held-to-maturity at September 30, 2025 and December 31, 2024 are as follows (in thousands):
| Amortized Cost |  | Gross Unrealized Gains |  | Gross Unrealized Losses |  | Estimated Fair Value |  | Allowance for Securities Credit Losses
At September 30, 2025 |  |  |  |  |  |  |  |  |
Debt securities available-for-sale: |  |  |  |  |  |  |  |  |
U.S. government and agency obligations | $ | 56,940 |  |  | $ | 2 |  |  | $ | (3,092) |  |  | $ | 53,850 |  |  | $ | — |
State and municipal debt obligations | 75,357 |  |  | 4,977 |  |  | — |  |  | 80,334 |  |  | — |
Corporate debt securities | 27,587 |  |  | 502 |  |  | (269) |  |  | 27,820 |  |  | — |
Asset-backed securities | 129,623 |  |  | 195 |  |  | (27) |  |  | 129,791 |  |  | — |
Mortgage-backed securities (“MBS”): |  |  |  |  |  |  |  |  |
Agency residential | 874,956 |  |  | 1,139 |  |  | (4,712) |  |  | 871,383 |  |  | — |
Agency commercial | 108,333 |  |  | — |  |  | (9,931) |  |  | 98,402 |  |  | — |
Total mortgage-backed securities | 983,289 |  |  | 1,139 |  |  | (14,643) |  |  | 969,785 |  |  | — |
Total excluding fair value hedge basis adjustment | 1,272,796 |  |  | 6,815 |  |  | (18,031) |  |  | 1,261,580 |  |  | — |
Fair value hedge basis adjustment (1) | (341) |  |  | — |  |  | 341 |  |  | — |  |  | — |
Total debt securities available-for-sale | $ | 1,272,455 |  |  | $ | 6,815 |  |  | $ | (17,690) |  |  | $ | 1,261,580 |  |  | $ | — |
Debt securities held-to-maturity: |  |  |  |  |  |  |  |  |
State and municipal debt obligations | $ | 168,446 |  |  | $ | 295 |  |  | $ | (10,220) |  |  | $ | 158,521 |  |  | $ | (25) |
Corporate debt securities | 53,699 |  |  | 148 |  |  | (1,271) |  |  | 52,576 |  |  | (798) |
Mortgage-backed securities: |  |  |  |  |  |  |  |  |
Agency residential | 611,238 |  |  | 1,438 |  |  | (48,937) |  |  | 563,739 |  |  | — |
Agency commercial | 78,304 |  |  | 7 |  |  | (5,383) |  |  | 72,928 |  |  | — |
Non-agency commercial | 9,015 |  |  | 1 |  |  | (230) |  |  | 8,786 |  |  | (145) |
Total mortgage-backed securities | 698,557 |  |  | 1,446 |  |  | (54,550) |  |  | 645,453 |  |  | (145) |
Total debt securities held-to-maturity | $ | 920,702 |  |  | $ | 1,889 |  |  | $ | (66,041) |  |  | $ | 856,550 |  |  | $ | (968) |
Total debt securities | $ | 2,193,157 |  |  | $ | 8,704 |  |  | $ | (83,731) |  |  | $ | 2,118,130 |  |  | $ | (968) |
At December 31, 2024 |  |  |  |  |  |  |  |  |
Debt securities available-for-sale: |  |  |  |  |  |  |  |  |
U.S. government and agency obligations | $ | 62,396 |  |  | $ | 11 |  |  | $ | (5,022) |  |  | $ | 57,385 |  |  | $ | — |
Corporate debt securities | 14,042 |  |  | 43 |  |  | (762) |  |  | 13,323 |  |  | — |
Asset-backed securities | 197,116 |  |  | 235 |  |  | (84) |  |  | 197,267 |  |  | — |
Mortgage-backed securities: |  |  |  |  |  |  |  |  |
Agency residential | 465,108 |  |  | 1,256 |  |  | (801) |  |  | 465,563 |  |  | — |
Agency commercial | 108,610 |  |  | — |  |  | (14,648) |  |  | 93,962 |  |  | — |
Total mortgage-backed securities | 573,718 |  |  | 1,256 |  |  | (15,449) |  |  | 559,525 |  |  | — |
Total debt securities available-for-sale | $ | 847,272 |  |  | $ | 1,545 |  |  | $ | (21,317) |  |  | $ | 827,500 |  |  | $ | — |
Debt securities held-to-maturity: |  |  |  |  |  |  |  |  |
State and municipal debt obligations | $ | 201,369 |  |  | $ | 199 |  |  | $ | (13,665) |  |  | $ | 187,903 |  |  | $ | (31) |
Corporate debt securities | 65,350 |  |  | 775 |  |  | (1,416) |  |  | 64,709 |  |  | (734) |
Mortgage-backed securities: |  |  |  |  |  |  |  |  |
Agency residential | 680,052 |  |  | 44 |  |  | (73,110) |  |  | 606,986 |  |  | — |
Agency commercial | 79,925 |  |  | 1 |  |  | (5,878) |  |  | 74,048 |  |  | — |
Non-agency commercial | 20,146 |  |  | — |  |  | (875) |  |  | 19,271 |  |  | (202) |
Total mortgage-backed securities | 780,123 |  |  | 45 |  |  | (79,863) |  |  | 700,305 |  |  | (202) |
Total debt securities held-to-maturity | $ | 1,046,842 |  |  | $ | 1,019 |  |  | $ | (94,944) |  |  | $ | 952,917 |  |  | $ | (967) |
Total debt securities | $ | 1,894,114 |  |  | $ | 2,564 |  |  | $ | (116,261) |  |  | $ | 1,780,417 |  |  | $ | (967) |
(1)Refer to Note 8, Derivatives and Hedging Activities for additional information. The following table presents the activity in the allowance for credit losses for debt securities held-to-maturity for the three and nine months ended September 30, 2025 and 2024 (in thousands):
| Three Months Ended September 30, |  | Nine Months Ended September 30,
| 2025 |  | 2024 |  | 2025 |  | 2024
Allowance for securities credit losses |  |  |  |  |  |  |
Beginning balance | $ | (809) |  |  | $ | (958) |  |  | $ | (967) |  |  | $ | (1,133) |
(Provision) benefit for credit losses | (159) |  |  | 56 |  |  | (1) |  |  | 231 |
Total ending allowance balance | $ | (968) |  |  | $ | (902) |  |  | $ | (968) |  |  | $ | (902) |
The Company monitors the credit quality of debt securities held-to-maturity on a quarterly basis through the use of internal credit analysis supplemented by external credit ratings. Credit ratings of BBB- or Baa3 or higher are considered investment grade. Where multiple ratings are available, the Company considers the lowest rating when determining the allowance for securities credit losses. Under this approach, the amortized cost of debt securities held-to-maturity at September 30, 2025, aggregated by credit quality indicator, are as follows (in thousands):
| Investment Grade |  | Non-Investment Grade/Non-rated |  | Total
As of September 30, 2025 |  |  |  |  |
State and municipal debt obligations | $ | 168,446 |  |  | $ | — |  |  | $ | 168,446 |
Corporate debt securities | 40,072 |  |  | 13,627 |  |  | 53,699 |
Non-agency commercial MBS | 9,015 |  |  | — |  |  | 9,015 |
Total debt securities held-to-maturity | $ | 217,533 |  |  | $ | 13,627 |  |  | $ | 231,160 |
There were $8,000 and $64,000 of realized losses on sale of debt securities available-for-sale for the three and nine months ended September 30, 2025, respectively, as compared to no realized gains/losses and $106,000 of realized losses for the corresponding prior year periods. These realized gains/losses on debt securities are presented within Other and included within Total other income on the Consolidated Statements of Income. The amortized cost and estimated fair value of debt securities at September 30, 2025 by contractual maturity are shown below (in thousands):
September 30, 2025 | Amortized Cost (1) |  | Estimated Fair Value
Less than one year | $ | 23,098 |  |  | $ | 22,892 |
Due after one year through five years | 175,115 |  |  | 169,392 |
Due after five years through ten years | 114,508 |  |  | 112,981 |
Due after ten years | 198,931 |  |  | 197,627 |
| $ | 511,652 |  |  | $ | 502,892 |
(1)The amortized cost of available-for-sale securities excludes the portfolio layer fair value hedge basis adjustments of $341,000 at September 30, 2025. Actual maturities may differ from contractual maturities in instances where issuers have the right to call or prepay obligations with or without call or prepayment penalties. At September 30, 2025, corporate debt securities, state and municipal obligations, and asset-backed securities with an amortized cost, excluding the fair value hedge basis adjustments, of $80.7 million, $118.1 million, and $129.6 million, respectively, and an estimated fair value of $79.8 million, $122.5 million, and $129.8 million, respectively, were callable prior to the maturity date. Mortgage-backed securities are excluded from the above table since their effective lives are expected to be shorter than the contractual maturity date due to principal prepayments. The estimated fair value and unrealized losses for debt securities available-for-sale and held-to-maturity at September 30, 2025 and December 31, 2024, segregated by the duration of the unrealized losses, are as follows (in thousands):
| Less than 12 months |  | 12 months or longer |  | Total
| Estimated Fair Value |  | Unrealized Losses (1) |  | Estimated Fair Value |  | Unrealized Losses (1) |  | Estimated Fair Value |  | Unrealized Losses (1)
At September 30, 2025 |  |  |  |  |  |  |  |  |  |  |
Debt securities available-for-sale: |  |  |  |  |  |  |  |  |  |  |
U.S. government and agency obligations | $ | — |  |  | $ | — |  |  | $ | 52,101 |  |  | $ | (3,092) |  |  | $ | 52,101 |  |  | $ | (3,092) |
Corporate debt securities | 2,499 |  |  | (1) |  |  | 4,731 |  |  | (268) |  |  | 7,230 |  |  | (269) |
Asset-backed securities | 26,067 |  |  | (27) |  |  | — |  |  | — |  |  | 26,067 |  |  | (27) |
MBS: |  |  |  |  |  |  |  |  |  |  |
Agency residential | 508,559 |  |  | (4,641) |  |  | 64,646 |  |  | (71) |  |  | 573,205 |  |  | (4,712) |
Agency commercial | 493 |  |  | (1) |  |  | 97,909 |  |  | (9,930) |  |  | 98,402 |  |  | (9,931) |
Total MBS | 509,052 |  |  | (4,642) |  |  | 162,555 |  |  | (10,001) |  |  | 671,607 |  |  | (14,643) |
Total debt securities available-for-sale | 537,618 |  |  | (4,670) |  |  | 219,387 |  |  | (13,361) |  |  | 757,005 |  |  | (18,031) |
Debt securities held-to-maturity: |  |  |  |  |  |  |  |  |  |  |
State and municipal debt obligations | 1,486 |  |  | (5) |  |  | 144,190 |  |  | (10,215) |  |  | 145,676 |  |  | (10,220) |
Corporate debt securities | 2,864 |  |  | (754) |  |  | 18,867 |  |  | (517) |  |  | 21,731 |  |  | (1,271) |
MBS: |  |  |  |  |  |  |  |  |  |  |
Agency residential | 2,365 |  |  | — |  |  | 463,352 |  |  | (48,937) |  |  | 465,717 |  |  | (48,937) |
Agency commercial | 178 |  |  | — |  |  | 71,950 |  |  | (5,383) |  |  | 72,128 |  |  | (5,383) |
Non-agency commercial | — |  |  | — |  |  | 7,785 |  |  | (230) |  |  | 7,785 |  |  | (230) |
Total MBS | 2,543 |  |  | — |  |  | 543,087 |  |  | (54,550) |  |  | 545,630 |  |  | (54,550) |
Total debt securities held-to-maturity | 6,893 |  |  | (759) |  |  | 706,144 |  |  | (65,282) |  |  | 713,037 |  |  | (66,041) |
Total debt securities | $ | 544,511 |  |  | $ | (5,429) |  |  | $ | 925,531 |  |  | $ | (78,643) |  |  | $ | 1,470,042 |  |  | $ | (84,072) |
At December 31, 2024 |  |  |  |  |  |  |  |  |  |  |
Debt securities available-for-sale: |  |  |  |  |  |  |  |  |  |  |
U.S. government and agency obligations | $ | 3,221 |  |  | $ | — |  |  | $ | 49,538 |  |  | $ | (5,022) |  |  | $ | 52,759 |  |  | $ | (5,022) |
Corporate debt securities | 4,793 |  |  | (55) |  |  | 6,029 |  |  | (707) |  |  | 10,822 |  |  | (762) |
Asset-backed securities | 31,588 |  |  | (21) |  |  | 59,148 |  |  | (63) |  |  | 90,736 |  |  | (84) |
MBS: |  |  |  |  |  |  |  |  |  |  |
Agency residential | 202,961 |  |  | (801) |  |  | — |  |  | — |  |  | 202,961 |  |  | (801) |
Agency commercial | — |  |  | — |  |  | 93,962 |  |  | (14,648) |  |  | 93,962 |  |  | (14,648) |
Total MBS | 202,961 |  |  | (801) |  |  | 93,962 |  |  | (14,648) |  |  | 296,923 |  |  | (15,449) |
Total debt securities available-for-sale | 242,563 |  |  | (877) |  |  | 208,677 |  |  | (20,440) |  |  | 451,240 |  |  | (21,317) |
Debt securities held-to-maturity: |  |  |  |  |  |  |  |  |  |  |
State and municipal debt obligations | 7,098 |  |  | (176) |  |  | 169,434 |  |  | (13,489) |  |  | 176,532 |  |  | (13,665) |
Corporate debt securities | 1,247 |  |  | (219) |  |  | 25,518 |  |  | (1,197) |  |  | 26,765 |  |  | (1,416) |
MBS: |  |  |  |  |  |  |  |  |  |  |
Agency residential | 114,557 |  |  | (1,647) |  |  | 479,847 |  |  | (71,463) |  |  | 594,404 |  |  | (73,110) |
Agency commercial | 3,894 |  |  | (20) |  |  | 69,912 |  |  | (5,858) |  |  | 73,806 |  |  | (5,878) |
Non-agency commercial | — |  |  | — |  |  | 19,271 |  |  | (875) |  |  | 19,271 |  |  | (875) |
Total MBS | 118,451 |  |  | (1,667) |  |  | 569,030 |  |  | (78,196) |  |  | 687,481 |  |  | (79,863) |
Total debt securities held-to-maturity | 126,796 |  |  | (2,062) |  |  | 763,982 |  |  | (92,882) |  |  | 890,778 |  |  | (94,944) |
Total debt securities | $ | 369,359 |  |  | $ | (2,939) |  |  | $ | 972,659 |  |  | $ | (113,322) |  |  | $ | 1,342,018 |  |  | $ | (116,261) |
(1)The unrealized losses of available-for-sale securities excludes the portfolio layer fair value hedge basis adjustments of $341,000 at September 30, 2025. The Company concluded that no debt securities were impaired at September 30, 2025 based on consideration of several factors. The Company noted that each issuer made all contractually due payments when required. There were no defaults on principal or interest payments, and no interest payments were deferred. Based on management’s analysis of each individual security, the issuers appear to have the ability to meet debt service requirements over the life of the security. Furthermore, the net unrealized losses were primarily due to changes in the general credit and interest rate environment and not credit quality. Additionally, the Company has not utilized securities sales as a source of liquidity and the Company’s liquidity plans include adequate sources of liquidity outside securities sales. Equity Investments At September 30, 2025 and December 31, 2024, the Company held equity investments of $90.7 million and $84.1 million, respectively. The equity investments are primarily comprised of select financial services institutions’ preferred stocks, investments in other financial institutions and funds. The realized and unrealized gains or losses on equity securities for the three and nine months ended September 30, 2025 and 2024 are shown in the table below (in thousands):
| Three Months Ended September 30, |  | Nine Months Ended September 30,
| 2025 |  | 2024 |  | 2025 |  | 2024
Net (loss) gain on equity investments | $ | (7) |  |  | $ | 1,420 |  |  | $ | 686 |  |  | $ | 4,230 |
Less: Net gains recognized on equity investments sold | 352 |  |  | — |  |  | 352 |  |  | — |
Unrealized (losses) gains recognized on equity investments still held | $ | (359) |  |  | $ | 1,420 |  |  | $ | 334 |  |  | $ | 4,230 |

X
- References No definition available. + Details
Name: | us-gaap_InvestmentsDebtAndEquitySecuritiesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for investments in certain debt and equity securities. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 940 -SubTopic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/940-320/tableOfContent Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Name Regulation S-K (SK) -Number 229 -Section 1403 -Paragraph b -Publisher SEC Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/320/tableOfContent Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 320 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 10 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147481800/320-10-50-10 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6B -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-6B Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 820 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6B -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147482106/820-10-50-6B Reference 7: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 942 -SubTopic 320 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/942-320/tableOfContent + Details
Name: | us-gaap_InvestmentsInDebtAndMarketableEquitySecuritiesAndCertainTradingAssetsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration