ALLOWANCE FOR CREDIT LOSSES ON LOANS AND FINANCE LEASES (Tables)

12 Months Ended

Dec. 31, 2022

ALLOWANCE FOR CREDIT LOSSES ON LOANS AND FINANCE LEASES [Abstract]

Allowance For Credit Losses On Financing Receivables Table [Text Block]

The following tables present the activity in the ACL on loans and finance leases by portfolio segment for the indicated periods:

Residential Mortgage

Loans

Construction

Loans

Commercial

Mortgage

Commercial &

Industrial Loans

Consumer Loans

Total

Year Ended December 31, 2022

(In thousands)

ACL:

Beginning balance

$

74,837

$

4,048

$

52,771

$

34,284

$

103,090

$

269,030

Provision for credit losses - (benefit) expense

(8,734)

(2,342)

(18,994)

(1,770)

57,519

25,679

Charge-offs 

(6,890)

(123)

(85)

(2,067)

(48,165)

(57,330)

Recoveries

3,547

725

1,372

2,459

14,982

23,085

Ending balance

$

62,760

$

2,308

$

35,064

$

32,906

$

127,426

$

260,464

Residential Mortgage

Loans

Construction

Loans

Commercial

Mortgage

Commercial &

Industrial Loans

Consumer Loans

Total

Year Ended December 31, 2021

(In thousands)

ACL:

Beginning balance

$

120,311

$

5,380

$

109,342

$

37,944

$

112,910

$

385,887

Provision for credit losses - (benefit) expense

(16,957)

(1,408)

(55,358)

(8,549)

20,552

(61,720)

Charge-offs 

(33,294)

(87)

(1,494)

(1,887)

(43,948)

(80,710)

Recoveries

4,777

163

281

6,776

13,576

25,573

Ending balance

$

74,837

$

4,048

$

52,771

$

34,284

$

103,090

$

269,030

Residential Mortgage

Loans

Construction

Loans

Commercial

Mortgage

Commercial &

Industrial Loans

Consumer Loans

Total

Year Ended December 31, 2020

(In thousands)

ACL:

Beginning balance, prior to adoption of CECL

$

44,806

$

2,370

$

39,194

$

15,198

$

53,571

$

155,139

Impact of adopting CECL

49,837

797

(19,306)

14,731

35,106

81,165

Allowance established for acquired PCD loans

12,739

-

9,723

1,830

4,452

28,744

Provision for credit losses - expense

(1)

22,427

2,105

81,125

6,627

56,433

168,717

Charge-offs

(11,017)

(76)

(3,330)

(3,634)

(46,483)

(64,540)

Recoveries

1,519

184

1,936

3,192

9,831

16,662

Ending balance

$

120,311

$

5,380

$

109,342

$

37,944

$

112,910

$

385,887

(1)

Includes a $

37.5

 million charge related to the establishment of the initial reserves for non-PCD loans acquired in conjunction with the BSPR acquisition consisting of: (i) a $

13.5

 million

charge related to non-PCD residential mortgage loans; (ii) a $

9.2

 million charge related to non-PCD commercial mortgage loans, (iii) a $

4.6

 million charge related to non-PCD C&I loans,

and (iv) a $

10.2

 million charge related to non-PCD consumer loans.

The tables below present the ACL related to loans and finance leases and the carrying values of loans by portfolio segment as of

December 31, 2022 and 2021:

As of December 31, 2022

Residential Mortgage

Loans

Construction

Loans

Commercial Mortgage

Loans

Commercial and

Industrial Loans

(1)

Consumer Loans

Total

(Dollars in thousands)

Total loans held for investment:

 Amortized cost of loans

$

2,847,290

$

132,953

$

2,358,851

$

2,886,263

$

3,327,468

$

11,552,825

 Allowance for credit losses

62,760

2,308

35,064

32,906

127,426

260,464

 Allowance for credit losses to

 amortized cost

2.20

%

1.74

%

1.49

%

1.14

%

3.83

%

2.25

%

As of December 31, 2021

Residential Mortgage

Loans

Construction

Loans

Commercial Mortgage

Loans

Commercial and

Industrial Loans

(1)

Consumer Loans

Total

(Dollars in thousands)

Total loans held for investment:

 Amortized cost of loans

$

2,978,895

$

138,999

$

2,167,469

$

2,887,251

$

2,888,044

$

11,060,658

 Allowance for credit losses

74,837

4,048

52,771

34,284

103,090

269,030

 Allowance for credit losses to

 amortized cost

2.51

%

2.91

%

2.43

%

1.19

%

3.57

%

2.43

%

(1)

As of December 31, 2022 and 2021, includes $

6.8

 million and $

145.0

 million of SBA PPP loans, respectively, which require no ACL as these loans are 100% guaranteed by the SBA.

The following table presents the activity in the ACL for unfunded loan commitments and standby letters of credit for the years

ended December 31, 2022, 2021 and 2020:

Year Ended December 31,

2022

2021

2020

(In thousands)

Beginning Balance

$

1,537

$

5,105

$

-

Impact of adopting CECL

-

-

3,922

Provision for credit losses - expense (benefit)

2,736

(3,568)

1,183

 Ending balance

$

4,273

$

1,537

$

5,105