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Fair Value Measurements (Tables)
 12 Months Ended
Dec. 31, 2024
Fair Value Disclosures [Abstract]  
Assets and Liabilities Carried at Fair Value on Recurring Basis
The following tables present information on the assets and liabilities measured and recorded at fair value on a recurring basis as of the dates indicated:
Fair Value Measurements as of
December 31, 2024
Measured on a Recurring BasisTotalLevel 1Level 2Level 3
(In thousands)
Securities available‑for‑sale:
Agency residential MBS$861,840 $— $861,840 $— 
Agency commercial MBS51,564 — 51,564 — 
Agency residential CMOs446,631 — 446,631 — 
Municipal securities594 — 594 — 
Corporate debt securities257,712 — 255,582 2,130 
Private label residential CMOs316,910 — 316,910 — 
Collateralized loan obligations279,416 — 279,416 — 
Private label commercial MBS12,372 — 12,372 — 
Asset-backed securities15,600 — 15,600 — 
SBA securities4,200 — 4,200 — 
Total securities available-for-sale$2,246,839 $— $2,244,709 $2,130 
Equity investments with readily determinable fair values$3 $3 $— $— 
Derivatives (1):
Derivative assets:
Cash flow hedges1,442 — 1,442 — 
Interest rate and foreign exchange contracts7,031 — 7,031 — 
Equity warrants 3,763 — — 3,763 
Derivative liabilities:
Interest rate and foreign exchange contracts7,562 — 7,562 — 
Credit-linked notes118,838 — — 118,838 
____________________
(1)    For information regarding derivative instruments, see Note 12. Derivatives.
Fair Value Measurements as of
December 31, 2023
Measured on a Recurring BasisTotalLevel 1Level 2Level 3
(In thousands)
Securities available‑for‑sale:
Agency residential MBS$1,187,609 $— $1,187,609 $— 
Municipal securities28,083 — 28,083 — 
Agency commercial MBS253,306 — 253,306 — 
Agency residential CMOs284,334 — 284,334 — 
U.S. Treasury securities4,968 4,968 — — 
Corporate debt securities267,232 — 226,983 40,249 
Private label commercial MBS20,813 — 20,813 — 
Collateralized loan obligations108,416 — 108,416 — 
Private label residential CMOs158,412 — 158,412 — 
Asset-backed securities19,952 — 19,952 — 
SBA securities13,739 — 13,739 — 
Total securities available-for-sale$2,346,864 $4,968 $2,301,647 $40,249 
Equity investments with readily determinable fair values$1 $1 $— $— 
Derivatives (1):
Derivative assets:
Interest rate and foreign exchange contracts8,309 — 8,309 — 
Equity warrants 3,689 — — 3,689 
Derivative liabilities:
Cash flow hedges4,090 — 4,090 — 
Interest rate and foreign exchange contracts6,459 — 6,459 — 
Credit-linked notes123,116 — — 123,116 
____________________
(1)    For information regarding derivative instruments, see Note 12. Derivatives.
The following table summarizes activity for our Level 3 corporate debt securities available-for-sale measured at fair value on a recurring basis for the years indicated:
Year Ended December 31,
Level 3 Corporate Debt Securities20242023
(In thousands)
Balance, beginning of year$40,249 $— 
Total included in other comprehensive income 30 (11,501)
Transfer from Level 2— 51,750 
Transfer to Level 2(38,149)— 
Balance, end of year$2,130 $40,249 
Unrealized net gains (losses) for the period included in other
comprehensive income for securities held at quarter-end$(870)$(11,501)
Fair Value Inputs, Assets, Quantitative Information
The following table presents information about quantitative inputs and assumptions used to determine the fair values provided by our third-party pricing service for our Level 3 corporate debt securities available-for-sale measured at fair value on a recurring basis as of the date indicated:
December 31, 2024
Corporate Debt Securities
Input or
Weighted
Range
Average
Unobservable Inputsof Inputs
Input (1)
Spread to 10 Year Treasury
6.4% - 9.5%
7.9%
Discount rates
11.0% - 14.1%
12.5%
____________________
(1)    Unobservable inputs for corporate debt securities were weighted by the relative fair values of the instruments.
The following table presents information about the quantitative inputs and assumptions used in the modified Black-Scholes option pricing model to determine the fair value for our Level 3 equity warrants measured at fair value on a recurring basis as of the date indicated:
December 31, 2024
Equity Warrants
Weighted
RangeAverage
Unobservable Inputsof Inputs
Input (1)
Volatility
22.7% - 169.0%
25.4%
Risk-free interest rate
4.2% - 4.4%
4.3%
Remaining life assumption (in years)
0.08 - 5.00
3.29
__________________
(1)    Unobservable inputs for equity warrants were weighted by the relative fair values of the instruments.
Schedule of Stockholders' Equity Note, Warrants or Rights
The following table summarizes activity for our Level 3 equity warrants measured at fair value on a recurring basis for the years indicated:
Year Ended December 31,
Level 3 Equity Warrants202420232022
(In thousands)
Balance, beginning of year $3,689 $4,048 $3,555 
Total included in earnings408 (718)2,490 
Exercises and settlements (1)
(829)(218)(2,675)
Issuances516 613 696 
Transfers to Level 1 (equity investments with readily
determinable fair values)(21)(36)(18)
Balance, end of year$3,763 $3,689 $4,048 
______________________
(1)    Includes the exercise of warrants that upon exercise become equity securities in public companies. These are often subject to lock-up restrictions that must be met before the equity security can be sold, during which time they are reported as equity investments with readily determinable fair values.
Assets carried at fair value on a nonrecurring basis
The following tables present assets measured at fair value on a non‑recurring basis as of the dates indicated:
Fair Value Measurement as of
December 31, 2024
Measured on a Non‑Recurring BasisTotalLevel 1Level 2Level 3
(In thousands)
Individually evaluated loans and leases $58,948 $— $45,962 $12,986 
OREO3,372 — 3,372 — 
Total non-recurring$62,320 $— $49,334 $12,986 
Fair Value Measurement as of
December 31, 2023
Measured on a Non‑Recurring BasisTotalLevel 1Level 2Level 3
(In thousands)
Individually evaluated loans and leases $6,402 $— $4,051 $2,351 
OREO3,422 — 3,422 — 
Total non-recurring$9,824 $— $7,473 $2,351 
Net Losses (Gains) on Nonrecurring Assets
The following table presents losses recognized on assets measured on a nonrecurring basis for the years indicated:
Year Ended December 31,
Loss on Assets Measured on a Non‑Recurring Basis202420232022
(In thousands)
Individually evaluated loans and leases $35,699 $4,403 $6,532 
OREO983 1,307 29 
Total net loss$36,682 $5,710 $6,561 
Fair Value Measurement Inputs and Valuations
The following table presents the valuation methodology and unobservable inputs for Level 3 assets measured at fair value on a nonrecurring basis as of the date indicated:
December 31, 2024
ValuationUnobservableInput or
Weighted
Asset
Fair Value
TechniqueInputsRange
Average
(Dollars in thousands)
Individually evaluated
loans and leases$5,815Discounted cash flowsDiscount rates
8.00% - 8.25%
8.03%
Individually evaluated
loans and leases7,171Third-party appraisalsNo discounts
Total non-recurring Level 3$12,986
Fair Value, by Balance Sheet Grouping
The following tables present carrying amounts and estimated fair values of certain financial instruments as of the dates indicated:
December 31, 2024
Carrying
Estimated Fair Value
AmountTotalLevel 1Level 2Level 3
(In thousands)
Financial Assets:
Cash and due from banks$192,006 $192,006 $192,006 $— $— 
Interest‑earning deposits in financial institutions2,310,206 2,310,206 2,310,206 — — 
Securities available‑for‑sale2,246,839 2,246,839 — 2,244,709 2,130 
Securities held-to-maturity2,306,149 2,156,694 173,283 1,976,265 7,146 
Investment in FRB and FHLB stock147,773 147,773 — 147,773 — 
Loans held for sale26,331 26,562 — 26,562 — 
Loans and leases held for investment, net23,542,303 22,412,073 — 45,962 22,366,111 
Equity investments with readily determinable fair values3 3 3 — — 
Equity warrants3,763 3,763 — — 3,763 
Cash flow hedges1,442 1,442 — 1,442 — 
Interest rate and foreign exchange contracts7,031 7,031 — 7,031 — 
Servicing rights19,623 21,040 — — 21,040 
Financial Liabilities:
Demand, checking, savings and money market deposits22,625,485 22,625,485 — 22,625,485 — 
Time deposits4,566,424 4,556,575 — 4,556,575 — 
Borrowings1,391,814 1,382,742 — 1,263,904 118,838 
Subordinated debt941,923 901,532 — 901,532 — 
Interest rate and foreign exchange contracts7,562 7,562 — 7,562 — 
December 31, 2023
Carrying
Estimated Fair Value
AmountTotalLevel 1Level 2Level 3
(In thousands)
Financial Assets:
Cash and due from banks$202,427 $202,427 $202,427 $— $— 
Interest‑earning deposits in financial institutions5,175,149 5,175,149 5,175,149 — — 
Securities available‑for‑sale2,346,864 2,346,864 4,968 2,301,647 40,249 
Securities held-to-maturity2,287,291 2,168,316 175,579 1,976,015 16,722 
Investment in FHLB stock126,346 126,346 — 126,346 — 
Loans held for sale122,757 126,646 — 126,646 — 
Loans and leases held for investment, net25,208,000 23,551,725 — 4,051 23,547,674 
Equity investments with readily determinable fair values1 1 1 — — 
Equity warrants3,689 3,689 — — 3,689 
Interest rate and foreign exchange contracts8,309 8,309 — 8,309 — 
Servicing rights22,174 22,174 — — 22,174 
Financial Liabilities:
Demand, checking, savings and money market deposits23,768,896 23,768,896 — 23,768,896 — 
Time deposits6,632,873 6,732,246 — 6,732,246 — 
Borrowings2,911,322 2,908,527 — 2,785,411 123,116 
Subordinated debt936,599 851,625 — 851,625 — 
Cash flow hedges4,090 4,090 — 4,090 — 
Interest rate and foreign exchange contracts6,459 6,459 — 6,459 — 
Fair Value, Assets Measured on Recurring Basis
The following table summarizes activity for our Level 3 credit-linked notes measured at fair value on a recurring basis for the year indicated:
Year Ended December 31,
Level 3 Credit-Linked Notes202420232022
(In thousands)
Balance, beginning of year $123,116 $132,030 $— 
Total included in earnings(1,411)5,404 911 
Total included in other comprehensive income2,589 (7,794)— 
Issuances— — 132,815 
Principal payments(5,456)(6,524)(1,696)
Balance, end of year$118,838 $123,116 $132,030