Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2020

Fair Value Disclosures [Abstract]

Fair value measurements of assets on a recurring basis

The following tables summarize the balances of assets and liabilities measured at fair value on a recurring basis as of March 31, 2020 and December 31, 2019:

	March 31, 2020
	Total		Level 1		Level 2		Level 3
	(In thousands)
Assets
Investment securities available for sale:
U.S. Treasury and U.S. Government-sponsored agencies	$	87,062	$	—	$	87,062	$	—
Municipal securities	179,608		850		178,758		—
Mortgage-backed securities and collateralized mortgage obligations:
Residential	322,684		—		322,684		—
Commercial	325,756		—		325,756		—
Corporate obligations	23,832		—		23,832		—
Other asset-backed securities	22,150		—		22,150		—
Total investment securities available for sale	961,092		850		960,242		—
Equity security	96		96		—		—
Derivative assets - interest rate swaps	28,075		—		28,075		—
Liabilities
Derivative liabilities - interest rate swaps	$	28,075	$	—	$	28,075	$	—

	December 31, 2019
	Total		Level 1		Level 2		Level 3
	(In thousands)
Assets
Investment securities available for sale:
U.S. Treasury and U.S. Government-sponsored agencies	$	105,223	$	—	$	105,223	$	—
Municipal securities	133,014		—		133,014		—
Mortgage-backed securities and collateralized mortgage obligations:
Residential	339,608		—		339,608		—
Commercial	327,095		—		327,095		—
Corporate obligations	24,194		—		24,194		—
Other asset-backed securities	23,178		—		23,178		—
Total investment securities available for sale	952,312		—		952,312		—
Equity Security	148		148		—		—
Derivative assets - interest rate swaps	8,318		—		8,318		—
Liabilities
Derivative liabilities - interest rate swaps	$	8,318	$	—	$	8,318	$	—

Fair value measurements of assets on a nonrecurring basis

The following tables below represent assets measured at fair value on a nonrecurring basis at March 31, 2020 and December 31, 2019 and the net losses recorded in earnings during three months ended March 31, 2020 and 2019:

	Basis(1)		Fair Value at March 31, 2020
			Total		Level 1		Level 2		Level 3		Net Losses Recorded in Earnings During the Three Months Ended March 31, 2020
	(In thousands)
Collateral-dependent loans:
Commercial business:
Commercial and industrial	$	374	$	335	$	—	$	—	$	335	$	5
Total assets measured at fair value on a nonrecurring basis	$	374	$	335	$	—	$	—	$	335	$	5

⁽¹⁾  Basis represents the unpaid principal balance of impaired loans. Excludes loans whose fair value was determined to be $0.

	Basis(1)		Fair Value at December 31, 2019
			Total		Level 1		Level 2		Level 3		Net Losses Recorded in Earnings  During the Three Months Ended March 31, 2019
	(In thousands)
Impaired loans:
Commercial business:
Commercial and industrial	$	4,111	$	3,380	$	—	$	—	$	3,380	$	—
Total assets measured at fair value on a nonrecurring basis	$	4,111	$	3,380	$	—	$	—	$	3,380	$	—

⁽¹⁾  Basis represents the unpaid principal balance of impaired loans.

Fair value measurements for financial instruments measured at fair value on a non-recurring basis

The following tables present quantitative information about Level 3 fair value measurements for financial instruments measured at fair value on a non-recurring basis at March 31, 2020 and December 31, 2019:

	March 31, 2020
	Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range of Inputs; Weighted Average
	(Dollars in thousands)
Collateral-dependent loans	$	335	Market approach	Adjustment for differences between the comparable sales	N/A (1)

⁽¹⁾  Quantitative disclosures are not provided for collateral-dependent impaired loans because there were no adjustments made to the appraisal or stated values during the current period.

	December 31, 2019
	Fair Value		Valuation Technique(s)	Unobservable Input(s)	Range of Inputs; Weighted Average
	(Dollars in thousands)
Impaired loans	$	3,380	Market approach	Adjustment for differences between the comparable sales	173.5% - (18.5%); 36.8%

Schedule of carrying value and fair value of financial instruments

he following tables present the carrying value amount of the Company’s financial instruments and their corresponding estimated fair values at March 31, 2020 and December 31, 2019:

	March 31, 2020
	Carrying Value		Fair Value		Fair Value Measurements Using:
					Level 1		Level 2		Level 3
	(In thousands)
Financial Assets:
Cash and cash equivalents	$	162,913	$	—	$	162,913	$	—	$	—
Investment securities available for sale	961,092		961,092		850		960,242		—
Loans held for sale	3,808		3,935		—		—		3,935
Loans receivable, net	3,804,836		3,851,281		—		—		3,851,281
Accrued interest receivable	14,940		14,940		1		3,851		11,088
Derivative assets - interest rate swaps	28,075		28,075		—		28,075		—
Equity security	96		96		96		—		—
Financial Liabilities:
Noninterest deposits, interest bearing demand deposits, money market accounts and savings accounts	$	4,091,959	$	4,091,959	$	4,091,959	$	—	$	—
Certificate of deposit accounts	525,989		530,580		—		530,580		—
Securities sold under agreement to repurchase	11,792		11,792		11,792		—		—
Junior subordinated debentures	20,668		17,750		—		—		17,750
Accrued interest payable	154		154		69		59		26
Derivative liabilities - interest rate swaps	28,075		28,075		—		28,075		—

	December 31, 2019
	Carrying Value		Fair Value		Fair Value Measurements Using:
					Level 1		Level 2		Level 3
	(In thousands)
Financial Assets:
Cash and cash equivalents	$	228,568	$	228,568	$	228,568	$	—	$	—
Investment securities available for sale	952,312		952,312		—		952,312		—
Loans held for sale	5,533		5,704		—		—		5,704
Loans receivable, net	3,731,708		3,791,557		—		—		3,791,557
Accrued interest receivable	14,446		14,446		79		3,668		10,699
Derivative assets - interest rate swaps	8,318		8,318		—		8,318		—
Equity security	148		148		148		—		—
Financial Liabilities:
Noninterest deposits, interest bearing demand deposits, money market accounts and savings accounts	$	4,058,098	$	4,058,098	$	4,058,098	$	—	$	—
Certificate of deposit accounts	524,578		529,679		—		529,679		—
Securities sold under agreement to repurchase	20,169		20,169		20,169		—		—
Junior subordinated debentures	20,595		20,000		—		—		20,000
Accrued interest payable	199		199		95		64		40
Derivative liabilities - interest rate swaps	8,318		8,318		—		8,318		—