Derivative Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Fair Value of Derivative Financial Instruments

The table below presents the fair value of the Company’s derivative financial instruments as of September 30, 2023, December 31, 2022 and September 30, 2022:

	Derivative Assets						Derivative Liabilities
(In thousands)	September 30, 2023		December 31, 2022		September 30, 2022		September 30, 2023		December 31, 2022		September 30, 2022
Derivatives designated as hedging instruments under ASC 815:
Interest rate derivatives designated as Cash Flow Hedges	$	—	$	—	$	725	$	157,355	$	58,198	$	71,427
Interest rate derivatives designated as Fair Value Hedges	17,929		16,768		17,543		—		—		—
Total derivatives designated as hedging instruments under ASC 815	$	17,929	$	16,768	$	18,268	$	157,355	$	58,198	$	71,427
Derivatives not designated as hedging instruments under ASC 815:
Interest rate derivatives	$	294,324	$	269,670	$	281,030	$	295,916	$	271,109	$	281,999
Interest rate lock commitments	2,516		1,711		141		72		58		273
Forward commitments to sell mortgage loans	3,261		220		10,896		—		414		326
Commodity forward contracts	1,320		257		—		1,076		162		—
Foreign exchange contracts	4,355		8,222		3,145		4,287		8,137		3,145
Total derivatives not designated as hedging instruments under ASC 815	$	305,776	$	280,080	$	295,212	$	301,351	$	279,880	$	285,743
Total Derivatives	$	323,705	$	296,848	$	313,480	$	458,706	$	338,078	$	357,170

Schedule of Cash Flow Hedging Instruments

The table below provides details on these cash flow hedges, summarized by derivative type and maturity, as of September 30, 2023:

	September 30, 2023
	Notional		Fair Value
(In thousands)	Amount		Asset (Liability)
Interest Rate Collars at 1-month CME term SOFR:
Buy 2.250% floor, sell 3.743% cap; matures September 2025	$	1,250,000	$	(29,642)
Buy 2.750% floor, sell 4.320% cap; matures October 2026	500,000		(8,736)
Buy 2.000% floor, sell 3.450% cap; matures September 2027	1,250,000		(55,052)
Interest Rate Swaps at 1-month CME term SOFR:
Fixed 3.748%; matures December 2025	250,000		(5,204)
Fixed 3.759%; matures December 2025	250,000		(5,147)
Fixed 3.680%; matures February 2026	250,000		(5,921)
Fixed 4.176%; matures March 2026	250,000		(3,100)
Fixed 3.915%; matures March 2026	250,000		(4,598)
Fixed 4.450%; matures July 2026	250,000		(1,066)
Fixed 3.515%, matures December 2026	250,000		(7,133)
Fixed 3.512%; matures December 2026	250,000		(7,155)
Fixed 3.453%; matures February 2027	250,000		(8,039)
Fixed 4.150%; matures July 2027	250,000		(2,299)
Fixed 3.748%; matures March 2028	250,000		(5,948)
Fixed 3.526%; matures March 2028	250,000		(8,191)
Fixed 3.933%; matures October 2029	350,000		(124)
Total Cash Flow Hedges	$	6,350,000	$	(157,355)

Schedule of Amounts in Accumulated Other Comprehensive Income Related to Interest Rate Swaps Designated as Cash Flow Hedges

A rollforward of the amounts in accumulated other comprehensive income or loss related to interest rate derivatives designated as cash flow hedges, including such derivative contracts terminated during the period, follows:

	Three Months Ended				Nine Months Ended
(In thousands)	September 30, 2023		September 30, 2022		September 30, 2023		September 30, 2022
Unrealized (loss) gain at beginning of period	$	(61,739)	$	78,764	$	10,026	$	36,908
Amount reclassified from accumulated other comprehensive income or loss to interest income or expense on deposits, loans, and other borrowings	18,374		(5,451)		36,038		914
Amount of loss recognized in other comprehensive income or loss	(61,456)		(70,990)		(150,885)		(35,499)
Unrealized (loss) gain at end of period	$	(104,821)	$	2,323	$	(104,821)	$	2,323

Schedule of Carrying Amount of Hedged Assets/(Liabilities)

The following table presents the carrying amount of the hedged assets/(liabilities) and the cumulative amount of fair value hedging adjustment included in the carrying amount of the hedged assets/(liabilities) that are designated as a fair value hedge accounting relationship as of September 30, 2023:

(In thousands)		September 30, 2023
Derivatives in Fair Value Hedging Relationships	Location in the Statement of Condition	Carrying Amount of the Hedged Assets/(Liabilities)		Cumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets/(Liabilities)		Cumulative Amount of Fair Value Hedging Adjustment Remaining for any Hedged Assets/(Liabilities) for which Hedge Accounting has been Discontinued
Interest rate swaps	Loans, net of unearned income	$	198,833	$	(17,832)	$	(88)
	Available-for-sale debt securities	767		(29)		—

The following table presents the loss or gain recognized related to derivative instruments that are designated as fair value hedges for the respective period:

(In thousands) Derivatives in Fair Value Hedging Relationships	Location of (Loss)/Gain Recognized in Income on Derivative	Three Months Ended		Nine Months Ended
		September 30, 2023		September 30, 2023
Interest rate swaps	Interest and fees on loans	$	20	$	22
	Interest income - investment securities	—		—

Schedule of Consolidated Statement of Income Related to Derivatives

Amounts included in the Consolidated Statements of Income related to derivative instruments not designated in hedge relationships were as follows:

(In thousands)		Three Months Ended				Nine Months Ended
Derivative	Location in income statement	September 30, 2023		September 30, 2022		September 30, 2023		September 30, 2022
Interest rate swaps and caps	Trading gains (losses), net	$	778	$	(54)	$	1,590	$	4,131
Mortgage banking derivatives	Mortgage banking revenue	1,428		(11,236)		9,859		(26,155)
Commodity contracts	Trading gains (losses), net	23		—		243		—
Foreign exchange contracts	Trading gains (losses), net	—		—		—		—
Covered call options	Fees from covered call options	4,215		1,366		17,184		6,177
Derivative contract held as economic hedge on MSRs	Mortgage banking revenue	(2,481)		(2,318)		(2,261)		(2,318)

Schedule of Offsetting Assets

The table below summarizes the Company’s interest rate derivatives and offsetting positions as of the dates shown.

	Derivative Assets						Derivative Liabilities
	Fair Value						Fair Value
(In thousands)	September 30, 2023		December 31, 2022		September 30, 2022		September 30, 2023		December 31, 2022		September 30, 2022
Gross Amounts Recognized	$	312,253	$	286,438	$	299,298	$	453,271	$	329,307	$	353,426
Less: Amounts offset in the Statements of Condition	—		—		—		—		—		—
Net amount presented in the Statements of Condition	$	312,253	$	286,438	$	299,298	$	453,271	$	329,307	$	353,426
Gross amounts not offset in the Statements of Condition
Offsetting Derivative Positions	(157,673)		(64,100)		(74,101)		(157,673)		(64,100)		(74,101)
Collateral Posted	(140,857)		(194,666)		(204,260)		(3,785)		—		—
Net Credit Exposure	$	13,723	$	27,672	$	20,937	$	291,813	$	265,207	$	279,325

Schedule of Offsetting Liabilities

The table below summarizes the Company’s interest rate derivatives and offsetting positions as of the dates shown.

	Derivative Assets						Derivative Liabilities
	Fair Value						Fair Value
(In thousands)	September 30, 2023		December 31, 2022		September 30, 2022		September 30, 2023		December 31, 2022		September 30, 2022
Gross Amounts Recognized	$	312,253	$	286,438	$	299,298	$	453,271	$	329,307	$	353,426
Less: Amounts offset in the Statements of Condition	—		—		—		—		—		—
Net amount presented in the Statements of Condition	$	312,253	$	286,438	$	299,298	$	453,271	$	329,307	$	353,426
Gross amounts not offset in the Statements of Condition
Offsetting Derivative Positions	(157,673)		(64,100)		(74,101)		(157,673)		(64,100)		(74,101)
Collateral Posted	(140,857)		(194,666)		(204,260)		(3,785)		—		—
Net Credit Exposure	$	13,723	$	27,672	$	20,937	$	291,813	$	265,207	$	279,325