Note V—Segment Financials

The Company performed a strategic evaluation of its businesses in the third quarter of 2014. As a result of the evaluation, the Company decided to discontinue its Philadelphia commercial lending operations, as described in Note W- Discontinued Operations. The shift from a traditional bank balance sheet led the Company to evaluate its remaining business structure. Based on the continuing operations of the Company, it was determined that there would be four segments of the business: specialty finance, payments, corporate and discontinued operations. The chief decision maker for these segments is the Chief Executive Officer. Specialty finance includes commercial mortgage loan sales and securitizations, SBA loans, direct lease financing and security and insurance backed lines of credit and deposits generated by those business lines. Payments include prepaid and debit cards, card payments, ACH processing and healthcare accounts and deposits generated by those business lines. Corporate includes the Company’s investment portfolio, corporate overhead and non-allocated expenses. Investment income is reallocated to the payments segment. These operating segments reflect the way the Company views its current operations.



	For the year ended December 31, 2019
	Specialty finance	Payments	Corporate	Discontinued operations	Total
	(in thousands)
Interest income	$ 126,814	$ -	$ 52,755	$ -	$ 179,569
Interest allocation	-	52,755	(52,755)	-	-
Interest expense	1,429	28,971	7,881	-	38,281
Net interest income (loss)	125,385	23,784	(7,881)	-	141,288
Provision for loan and lease losses	4,400	-	-	-	4,400
Non-interest income	29,140	74,742	245	-	104,127
Non-interest expense	63,884	67,884	36,753	-	168,521
Income (loss) from continuing operations before taxes	86,241	30,642	(44,389)	-	72,494
Income tax expense	-	-	21,226	-	21,226
Income (loss) from continuing operations	86,241	30,642	(65,615)	-	51,268
Income from discontinued operations	-	-	-	291	291
Net income (loss)	$ 86,241	$ 30,642	$ (65,615)	$ 291	$ 51,559



	For the year ended December 31, 2018
	Specialty finance	Payments	Corporate	Discontinued operations	Total
	(in thousands)
Interest income	$ 95,221	$ -	$ 52,739	$ -	$ 147,960
Interest allocation	-	52,739	(52,739)	-	-
Interest expense	3,970	21,293	1,849	-	27,111
Net interest income (loss)	91,251	31,446	(1,849)	-	120,849
Provision for loan and lease losses	3,585	-	-	-	3,585
Non-interest income	89,187	63,939	668	-	153,795
Non-interest expense	57,952	65,894	27,432	-	151,278
Income (loss) from continuing operations before taxes	118,902	29,492	(28,613)	-	119,781
Income tax expense	-	-	32,241	-	32,241
Income (loss) from continuing operations	118,902	29,492	(60,854)	-	87,540
Income from discontinued operations	-	-	-	1,137	1,137
Net income (loss)	$ 118,902	$ 29,492	$ (60,854)	$ 1,137	$ 88,677



	For the year ended December 31, 2017
	Specialty finance	Payments	Corporate	Discontinued operations	Total
	(in thousands)
Interest income	$ 78,464	$ -	$ 43,556	$ -	$ 122,020
Interest allocation	-	43,556	(43,556)	-	-
Interest expense	3,455	10,475	1,410	-	15,340
Net interest income (loss)	75,009	33,081	(1,410)	-	106,680
Provision for loan and lease losses	2,920	-	-	-	2,920
Non-interest income	27,952	61,781	1,815	-	91,548
Non-interest expense	56,472	71,029	27,413	-	154,914
Income (loss) from continuing operations before taxes	43,569	23,833	(27,008)	-	40,394
Income tax expense	-	-	23,056	-	23,056
Income (loss) from continuing operations	43,569	23,833	(50,064)	-	17,338
Income from discontinued operations	-	-	-	4,335	4,335
Net income (loss)	$ 43,569	$ 23,833	$ (50,064)	$ 4,335	$ 21,673



	December 31, 2019
	Specialty finance	Payments	Corporate	Discontinued operations	Total
	(in thousands)
Total assets	$ 3,008,304	$ 57,746	$ 2,450,256	$ 140,657	$ 5,656,963
Total liabilities	$ 247,485	$ 4,030,921	$ 894,060	$ -	$ 5,172,466



	December 31, 2018
	Specialty finance	Payments	Corporate	Discontinued operations	Total
	(in thousands)
Total assets	$ 2,181,499	$ 43,737	$ 2,014,844	$ 197,831	$ 4,437,911
Total liabilities	$ 281,326	$ 3,545,877	$ 203,932	$ -	$ 4,031,135