XML 31 R22.htm IDEA: XBRL DOCUMENT v3.22.1

Loans Receivable (Tables)

3 Months Ended

Mar. 31, 2022

Loans and Leases Receivable Disclosure [Abstract]

Financing Receivable Credit Quality Indicators [Table Text Block]

The amortized cost of loans receivable, net of ACL on loans, consisted of the following portfolio segments and classes at the dates indicated:

			March 31, 2022						December 31, 2021
			(In thousands)
Commercial business:
Commercial and industrial			$	651,523					$	621,567
SBA PPP			64,962						145,840
Owner-occupied CRE			935,705						931,150
Non-owner occupied CRE			1,505,483						1,493,099
Total commercial business			3,157,673						3,191,656
Residential real estate			223,442						164,582
Real estate construction and land development:
Residential			83,529						85,547
Commercial and multifamily			138,583						141,336
Total real estate construction and land development			222,112						226,883
Consumer			217,951						232,541
Loans receivable			3,821,178						3,815,662
Allowance for credit losses on loans			(40,333)						(42,361)
Loans receivable, net			$	3,780,845					$	3,773,301
Balances included in the amortized cost of loans receivable:
Unamortized net discount on acquired loans			$	(3,354)					$	(3,938)
Unamortized net deferred fee			$	(5,310)					$	(7,952)

The following table presents the amortized cost of loans receivable by risk grade at the dates indicated:

			March 31, 2022
			Term Loans Amortized Cost Basis by Origination Year																																				Revolving Loans						Revolving Loans Converted (2)						Loans Receivable
			2022						2021(1)						2020						2019						2018						Prior
			(In thousands)
Commercial business:
Commercial and industrial
Pass			$	39,162					$	98,276					$	95,753					$	80,825					$	43,389					$	98,840					$	152,708					$	—					$	608,953
SM			245						1,090						957						5,350						1,306						3,108						1,350						—						13,406
SS			882						283						1,131						4,787						9,415						8,827						2,788						1,051						29,164
Total			40,289						99,649						97,841						90,962						54,110						110,775						156,846						1,051						651,523
SBA PPP
Pass			—						64,379						583						—						—						—						—						—						64,962
Owner-occupied CRE
Pass			30,659						177,833						91,600						181,568						75,692						327,070						—						—						884,422
SM			—						262						2,707						3,627						5,803						16,704						—						—						29,103
SS			—						—						683						—						3,770						17,727						—						—						22,180
Total			30,659						178,095						94,990						185,195						85,265						361,501						—						—						935,705
Non-owner occupied CRE
Pass			62,126						190,931						175,900						244,550						142,711						612,820						—						—						1,429,038
SM			—						—						—						3,686						—						16,802						—						—						20,488
SS			—						—						—						—						3,298						52,659						—						—						55,957
Total			62,126						190,931						175,900						248,236						146,009						682,281						—						—						1,505,483
Total commercial business
Pass			131,947						531,419						363,836						506,943						261,792						1,038,730						152,708						—						2,987,375
SM			245						1,352						3,664						12,663						7,109						36,614						1,350						—						62,997
SS			882						283						1,814						4,787						16,483						79,213						2,788						1,051						107,301
Total			133,074						533,054						369,314						524,393						285,384						1,154,557						156,846						1,051						3,157,673
Residential real estate
Pass(1)			24,214						129,511						26,840						19,330						4,766						18,602						—						—						223,263
SS			—						—						—						—						—						179						—						—						179
Total			24,214						129,511						26,840						19,330						4,766						18,781						—						—						223,442
Real estate construction and land development:
Residential
Pass			8,874						44,379						13,267						12,422						2,898						1,689						—						—						83,529
Commercial and multifamily
Pass			5,197						68,477						39,826						18,620						3,188						1,860						—						—						137,168
SM			—						—						—						60						—						212						—						—						272
SS			—						—						571						—						—						572						—						—						1,143
Total			5,197						68,477						40,397						18,680						3,188						2,644						—						—						138,583
Total real estate construction and land development
Pass			14,071						112,856						53,093						31,042						6,086						3,549						—						—						220,697
SM			—						—						—						60						—						212						—						—						272
SS			—						—						571						—						—						572						—						—						1,143
Total			14,071						112,856						53,664						31,102						6,086						4,333						—						—						222,112

			March 31, 2022
			Term Loans Amortized Cost Basis by Origination Year																																				Revolving Loans						Revolving Loans Converted (2)						Loans Receivable
			2022						2021(1)						2020						2019						2018						Prior
Consumer
Pass			937						1,141						13,991						40,242						25,342						22,871						110,749						1						215,274
SS			—						—						175						534						419						1,549						—						—						2,677
Total			937						1,141						14,166						40,776						25,761						24,420						110,749						1						217,951
Loans receivable
Pass			171,169						774,927						457,760						597,557						297,986						1,083,752						263,457						1						3,646,609
SM			245						1,352						3,664						12,723						7,109						36,826						1,350						—						63,269
SS			882						283						2,560						5,321						16,902						81,513						2,788						1,051						111,300
Total			$	172,296					$	776,562					$	463,984					$	615,601					$	321,997					$	1,202,091					$	267,595					$	1,052					$	3,821,178

(1) The 2021 origination year includes $42.2 million of pass grade residential real estate loans purchased during the three months ended March 31, 2022 which were originated during the year ended December 31, 2021.

(2) Represents the loans receivable balance at March 31, 2022 which was converted from a revolving loan to an amortizing loan during the three months ended March 31, 2022.

			December 31, 2021
			Term Loans Amortized Cost Basis by Origination Year																																				Revolving Loans						Revolving Loans Converted (1)						Loans Receivable
			2021						2020						2019						2018						2017						Prior
			(In thousands)
Commercial business:
Commercial and industrial
Pass			$	95,960					$	100,193					$	94,657					$	54,707					$	28,558					$	77,294					$	127,651					$	1,035					$	580,055
SM			326						884						5,998						1,425						2,223						2,401						2,048						353						15,658
SS			1,443						1,287						5,912						2,809						2,526						6,907						4,402						568						25,854
Total			97,729						102,364						106,567						58,941						33,307						86,602						134,101						1,956						621,567
SBA PPP
Pass			139,253						6,587						—						—						—						—						—						—						145,840
Owner-occupied CRE
Pass			182,742						90,609						188,380						73,714						66,039						273,518						—						72						875,074
SM			264						—						3,079						7,521						3,937						16,724						—						—						31,525
SS			—						1,332						—						3,787						3,014						16,418						—						—						24,551
Total			183,006						91,941						191,459						85,022						72,990						306,660						—						72						931,150
Non-owner-occupied CRE
Pass			187,860						185,650						244,863						149,090						144,896						499,486						—						—						1,411,845
SM			—						—						5,674						—						15,482						2,400						—						—						23,556
SS			—						—						—						3,379						—						54,319						—						—						57,698
Total			187,860						185,650						250,537						152,469						160,378						556,205						—						—						1,493,099
Total commercial business
Pass			605,815						383,039						527,900						277,511						239,493						850,298						127,651						1,107						3,012,814
SM			590						884						14,751						8,946						21,642						21,525						2,048						353						70,739
SS			1,443						2,619						5,912						9,975						5,540						77,644						4,402						568						108,103
Total			607,848						386,542						548,563						296,432						266,675						949,467						134,101						2,028						3,191,656
Residential real estate
Pass			85,089						27,090						23,295						5,672						6,141						16,891						—						—						164,178
SS			—						—						—						—						—						404						—						—						404
Total			85,089						27,090						23,295						5,672						6,141						17,295						—						—						164,582

			December 31, 2021
			Term Loans Amortized Cost Basis by Origination Year																																				Revolving Loans						Revolving Loans Converted (1)						Loans Receivable
			2021						2020						2019						2018						2017						Prior
			(In thousands)
Real estate construction and land development:
Residential
Pass			44,892						23,728						12,266						2,921						389						1,351						—						—						85,547
Commercial and multifamily
Pass			56,448						41,616						34,117						5,794						710						1,379						—						—						140,064
SM			—						—						68						—						—						213						—						—						281
SS			—						571						—						—						—						420						—						—						991
Total			56,448						42,187						34,185						5,794						710						2,012						—						—						141,336
Total real estate construction and land development
Pass			101,340						65,344						46,383						8,715						1,099						2,730						—						—						225,611
SM			—						—						68						—						—						213						—						—						281
SS			—						571						—						—						—						420						—						—						991
Total			101,340						65,915						46,451						8,715						1,099						3,363						—						—						226,883
Consumer
Pass			1,286						15,737						46,041						29,819						15,068						13,026						108,492						120						229,589
SS			—						181						657						476						542						1,043						36						17						2,952
Total			1,286						15,918						46,698						30,295						15,610						14,069						108,528						137						232,541
Loans receivable
Pass			793,530						491,210						643,619						321,717						261,801						882,945						236,143						1,227						3,632,192
SM			590						884						14,819						8,946						21,642						21,738						2,048						353						71,020
SS			1,443						3,371						6,569						10,451						6,082						79,511						4,438						585						112,450
Total			$	795,563					$	495,465					$	665,007					$	341,114					$	289,525					$	984,194					$	242,629					$	2,165					$	3,815,662

(1) Represents the loans receivable balance at December 31, 2021 which was converted from a revolving loan to an amortizing loan during the year ended December 31, 2021.

Schedule of nonaccrual loans

The following tables present the amortized cost of nonaccrual loans for the dates indicated:

			March 31, 2022
			Nonaccrual without ACL						Nonaccrual with ACL						Total Nonaccrual
			(In thousands)
Commercial business:
Commercial and industrial			$	4,694					$	1,921					$	6,615
Owner-occupied CRE			1,820						4,223						6,043
Non-owner occupied CRE			—						3,298						3,298
Total commercial business			6,514						9,442						15,956
Real estate construction and land development:
Commercial and multifamily			—						571						571
Total			$	6,514					$	10,013					$	16,527

			December 31, 2021
			Nonaccrual without ACL						Nonaccrual with ACL						Total Nonaccrual
			(In thousands)
Commercial business:
Commercial and industrial			$	6,454					$	3,827					$	10,281
Owner-occupied CRE			3,036						5,138						8,174

			December 31, 2021
			Nonaccrual without ACL						Nonaccrual with ACL						Total Nonaccrual
			(In thousands)
Non-owner occupied CRE			1,273						3,379						4,652
Total commercial business			10,763						12,344						23,107
Residential real estate			—						47						47
Real estate construction and land development:
Commercial and multifamily			—						571						571
Consumer			—						29						29
Total			$	10,763					$	12,991					$	23,754

The following table presents the reversal of interest income on loans due to the write-off of accrued interest receivable upon the initial classification of loans as nonaccrual loans and the interest income recognized due to payment in full or sale of previously classified nonaccrual loans during the following periods:

			Three Months Ended March 31, 2022												Three Months Ended March 31, 2021
			Interest Income Reversed						Interest Income Recognized						Interest Income Reversed						Interest Income Recognized
			(In thousands)
Commercial business:
Commercial and industrial			$	(2)					$	139					$	(2)					$	63
Owner-occupied CRE			—						53						—						114
Non-owner occupied CRE			—						774						—						313
Total commercial business			(2)						966						(2)						490
Residential real estate			—						19						—						—
Real estate construction and land development:
Residential			—						—						—						73
Consumer			—						68						—						—
Total			$	(2)					$	1,053					$	(2)					$	563

Financing Receivable, Past Due [Table Text Block]

The amortized cost of past due loans as of March 31, 2022 and December 31, 2021 were as follows:

			March 31, 2022
			30-89 Days						90 Days or Greater						Total Past  Due						Current						Loans Receivable
			(In thousands)
Commercial business:
Commercial and industrial			$	2,139					$	6,069					$	8,208					$	643,315					$	651,523
SBA PPP			150						—						150						64,812						64,962
Owner-occupied CRE			—						188						188						935,517						935,705
Non-owner occupied CRE			—						—						—						1,505,483						1,505,483
Total commercial business			2,289						6,257						8,546						3,149,127						3,157,673
Residential real estate			994						—						994						222,448						223,442
Real estate construction and land development:
Residential			—						—						—						83,529						83,529
Commercial and multifamily			—						571						571						138,012						138,583
Total real estate construction and land development			—						571						571						221,541						222,112

			March 31, 2022
			30-89 Days						90 Days or Greater						Total Past  Due						Current						Loans Receivable
			(In thousands)
Consumer			575						—						575						217,376						217,951
Total			$	3,858					$	6,828					$	10,686					$	3,810,492					$	3,821,178

			December 31, 2021
			30-89 Days						90 Days or Greater						Total Past  Due						Current						Loans Receivable
			(In thousands)
Commercial business:
Commercial and industrial			$	1,858					$	6,821					$	8,679					$	612,888					$	621,567
SBA PPP			223						293						516						145,324						145,840
Owner-occupied CRE			2,397						112						2,509						928,641						931,150
Non-owner occupied CRE			—						—						—						1,493,099						1,493,099
Total commercial business			4,478						7,226						11,704						3,179,952						3,191,656
Residential real estate			420						10						430						164,152						164,582
Real estate construction and land development:
Residential			792						—						792						84,755						85,547
Commercial and multifamily			3,474						571						4,045						137,291						141,336
Total real estate construction and land development			4,266						571						4,837						222,046						226,883
Consumer			1,026						—						1,026						231,515						232,541
Total			$	10,190					$	7,807					$	17,997					$	3,797,665					$	3,815,662

Loans and Lease Receivable Collateral for Secured Borrowings [Table Text Block]

The type of collateral securing loans individually evaluated for credit losses and for which the repayment was expected to be provided substantially through the operation or sale of the collateral as of March 31, 2022 and December 31, 2021 was as follows, with balances representing the amortized cost of the loan classified by the primary collateral category of each loan if multiple collateral sources secure the loan:

			March 31, 2022
			CRE						Farmland						Residential Real Estate												Total
			(In thousands)
Commercial business:
Commercial and industrial			$	1,379					$	2,492					$	695											$	4,566
Owner-occupied CRE			1,820						—						—												1,820
Total commercial business			3,199						2,492						695												6,386
Real estate construction and land development:
Commercial and multifamily			571						—						—												571
Total			$	3,770					$	2,492					$	695											$	6,957

			December 31, 2021
			CRE						Farmland						Residential Real Estate						Other						Total
			(In thousands)
Commercial business:
Commercial and industrial			$	1,499					$	4,362					$	1,036					$	245					$	7,142
Owner-occupied CRE			3,035						—						—						—						3,035
Non-owner occupied CRE			1,273						—						—						—						1,273
Total commercial business			5,807						4,362						1,036						245						11,450

			December 31, 2021
			CRE						Farmland						Residential Real Estate						Other						Total
			(In thousands)
Real estate construction and land development:
Commercial and multifamily			571						—						—						—						571
Total			$	6,378					$	4,362					$	1,036					$	245					$	12,021

Loans Receivable

Loans that were modified as TDR loans are set forth in the following table for the periods indicated:

			Three Months Ended March 31,
			2022												2021
			Number of Contracts (1)						Amortized Cost (1) (2)						Number of Contracts (1)						Amortized Cost (1) (2)
			(Dollars in thousands)
Commercial business:
Commercial and industrial			4						$	2,438					24						$	12,102
Owner-occupied CRE			—						—						2						4,660
Non-owner occupied CRE			—						—						1						1,979
Total commercial business			4						2,438						27						18,741
Residential real estate			—						—						1						180
Real estate construction and land development:
Commercial and multifamily			—						—						1						450
Consumer			5						55						15						379
Total			9						$	2,493					44						$	19,750

(1) Number of contracts and amortized cost represent loans which have balances as of period end, net of subsequent payments after modifications. Certain TDR loans may have been paid-down or charged-off during the three months ended March 31, 2022 and 2021.

(2) As the Bank did not forgive any principal or interest balance as part of the loan modifications, the Bank’s amortized cost in each loan at the date of modification (pre-modification) did not change as a result of the modification (post-modification).

Troubled debt restructuring loans, subsequently defaulted

The following table presents loans that were modified in a TDR and subsequently defaulted within twelve months from the modification date during the periods indicated:

			Three Months Ended March 31,
			2022												2021
			Number of Contracts (1)						Amortized Cost (1)						Number of Contracts (1)						Amortized Cost (1)
			(Dollars in thousands)
Commercial business:
Commercial and industrial			—						$	—					2						$	2,792
Owner-occupied CRE			1						189						—						—

(1) Number of contracts and amortized cost represent TDR loans which have balances as of period end, net of subsequent payments after modifications. Certain TDR loans may have been paid-down or charged-off during the three months ended March 31, 2022 and 2021.

Troubled debt restructurings on financing receivables

Loans that were modified as TDR loans are set forth in the following table for the periods indicated:

			Three Months Ended March 31,
			2022												2021
			Number of Contracts (1)						Amortized Cost (1) (2)						Number of Contracts (1)						Amortized Cost (1) (2)
			(Dollars in thousands)
Commercial business:
Commercial and industrial			4						$	2,438					24						$	12,102
Owner-occupied CRE			—						—						2						4,660
Non-owner occupied CRE			—						—						1						1,979
Total commercial business			4						2,438						27						18,741
Residential real estate			—						—						1						180
Real estate construction and land development:
Commercial and multifamily			—						—						1						450
Consumer			5						55						15						379
Total			9						$	2,493					44						$	19,750

(1) Number of contracts and amortized cost represent loans which have balances as of period end, net of subsequent payments after modifications. Certain TDR loans may have been paid-down or charged-off during the three months ended March 31, 2022 and 2021.

(2) As the Bank did not forgive any principal or interest balance as part of the loan modifications, the Bank’s amortized cost in each loan at the date of modification (pre-modification) did not change as a result of the modification (post-modification).

X

- Definition

Credit Loss, Financial Instrument

+ References

No definition available.

+ Details

Name:	hfwa_CreditLossFinancialInstrumentTableTextBlock
Namespace Prefix:	hfwa_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Troubled debt restructurings loans subsequently defaulted.

+ References

No definition available.

+ Details

Name:	hfwa_TroubledDebtRestructuringsLoansSubsequentlyDefaultedTableTextBlock
Namespace Prefix:	hfwa_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of financing receivables by credit quality indicator. The credit quality indicator is a statistic about the credit quality of financing receivables. Examples include, but not limited to, consumer credit risk scores, credit-rating-agency ratings, an entity's internal credit risk grades, loan-to-value ratios, collateral, collection experience and other internal metrics.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 20
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=124255953&loc=SL82919230-210447

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 29
-URI http://asc.fasb.org/extlink&oid=123577603&loc=SL6953659-111524

+ Details

Name:	us-gaap_FinancingReceivableCreditQualityIndicatorsTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

Name:	us-gaap_LoansAndLeasesReceivableDisclosureAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of aging analysis for financing receivable.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 20
-Section 50
-Paragraph 14
-URI http://asc.fasb.org/extlink&oid=124255953&loc=SL82919253-210447

Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 7A
-URI http://asc.fasb.org/extlink&oid=123577603&loc=SL6953401-111524

Reference 3: http://www.xbrl.org/2003/role/exampleRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 20
-Section 55
-Paragraph 80
-URI http://asc.fasb.org/extlink&oid=124267575&loc=SL82922355-210448

Reference 4: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=123577603&loc=d3e5111-111524

+ Details

Name:	us-gaap_PastDueFinancingReceivablesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of financing receivable on nonaccrual status.

+ References

Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=123577603&loc=d3e5111-111524

Reference 2: http://www.xbrl.org/2003/role/disclosureRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 326
-SubTopic 20
-Section 50
-Paragraph 16
-URI http://asc.fasb.org/extlink&oid=124255953&loc=SL82919258-210447

+ Details

Name:	us-gaap_ScheduleOfFinancingReceivablesNonAccrualStatusTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of financing receivable modified as troubled debt restructuring.

+ References

Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 33
-URI http://asc.fasb.org/extlink&oid=123577603&loc=SL6953676-111524

Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=123577603&loc=SL6953682-111524

+ Details

Name:	us-gaap_TroubledDebtRestructuringsOnFinancingReceivablesTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration