x | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 46-4702118 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification Number) | |
101 JFK Parkway, Short Hills, New Jersey | 07078 | |
(Address of Principal Executive Offices) | Zip Code |
Large accelerated filer | þ | Accelerated filer | o | |||||
Non-accelerated filer | o | (Do not check if a smaller reporting company) | Smaller reporting company | o |
Part I. Financial Information | ||
Page | ||
Item 1. Financial Statements | ||
Item 2. | ||
Item 3. | ||
Item 4. | ||
Part II. Other Information | ||
Item 1. | ||
Item 1A. | ||
Item 2. | ||
Item 3. | ||
Item 4. | ||
Item 5. | ||
Item 6. | ||
ITEM 1. | FINANCIAL STATEMENTS |
March 31, 2016 | December 31, 2015 | |||||
(In thousands) | ||||||
ASSETS | ||||||
Cash and cash equivalents | $ | 143,669 | 148,904 | |||
Securities available-for-sale, at estimated fair value | 1,311,532 | 1,304,697 | ||||
Securities held-to-maturity, net (estimated fair value of $1,954,346 and $1,888,686 at March 31, 2016 and December 31, 2015, respectively) | 1,887,000 | 1,844,223 | ||||
Loans receivable, net | 16,922,727 | 16,661,133 | ||||
Loans held-for-sale | 3,852 | 7,431 | ||||
Federal Home Loan Bank stock | 190,240 | 178,437 | ||||
Accrued interest receivable | 63,678 | 58,563 | ||||
Other real estate owned | 4,431 | 6,283 | ||||
Office properties and equipment, net | 173,609 | 172,519 | ||||
Net deferred tax asset | 219,458 | 237,367 | ||||
Bank owned life insurance | 159,184 | 159,152 | ||||
Goodwill and intangible assets | 104,960 | 105,311 | ||||
Other assets | 5,630 | 4,664 | ||||
Total assets | $ | 21,189,970 | 20,888,684 | |||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
Liabilities: | ||||||
Deposits | $ | 14,201,387 | 14,063,656 | |||
Borrowed funds | 3,527,630 | 3,263,090 | ||||
Advance payments by borrowers for taxes and insurance | 126,180 | 108,721 | ||||
Other liabilities | 119,046 | 141,570 | ||||
Total liabilities | 17,974,243 | 17,577,037 | ||||
Commitments and contingencies | ||||||
Stockholders’ equity: | ||||||
Preferred stock, $0.01 par value, 100,000,000 authorized shares; none issued | — | — | ||||
Common stock, $0.01 par value, 1,000,000,000 shares authorized; 359,070,852 issued at March 31, 2016 and December 31, 2015; 323,385,503 and 334,894,181 outstanding at March 31, 2016 and December 31, 2015, respectively | 3,591 | 3,591 | ||||
Additional paid-in capital | 2,785,702 | 2,785,503 | ||||
Retained earnings | 959,790 | 936,040 | ||||
Treasury stock, at cost; 35,685,349 and 24,176,671 shares at March 31, 2016 and December 31, 2015, respectively | (425,991 | ) | (295,412 | ) | ||
Unallocated common stock held by the employee stock ownership plan | (89,501 | ) | (90,250 | ) | ||
Accumulated other comprehensive loss | (17,864 | ) | (27,825 | ) | ||
Total stockholders’ equity | 3,215,727 | 3,311,647 | ||||
Total liabilities and stockholders’ equity | $ | 21,189,970 | 20,888,684 |
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
(Dollars in thousands, except per share data) | |||||||
Interest and dividend income: | |||||||
Loans receivable and loans held-for-sale | $ | 172,832 | 159,052 | ||||
Securities: | |||||||
Equity | 51 | 24 | |||||
Government-sponsored enterprise obligations | 11 | 11 | |||||
Mortgage-backed securities | 15,097 | 12,817 | |||||
Municipal bonds and other debt | 1,952 | 1,592 | |||||
Interest-bearing deposits | 104 | 29 | |||||
Federal Home Loan Bank stock | 2,060 | 1,634 | |||||
Total interest and dividend income | 192,107 | 175,159 | |||||
Interest expense: | |||||||
Deposits | 20,725 | 16,019 | |||||
Borrowed Funds | 16,819 | 14,699 | |||||
Total interest expense | 37,544 | 30,718 | |||||
Net interest income | 154,563 | 144,441 | |||||
Provision for loan losses | 5,000 | 9,000 | |||||
Net interest income after provision for loan losses | 149,563 | 135,441 | |||||
Non-interest income | |||||||
Fees and service charges | 4,180 | 4,024 | |||||
Income on bank owned life insurance | 1,260 | 1,037 | |||||
Gain on loans, net | 437 | 1,219 | |||||
Gain on securities transactions, net | 1,388 | 42 | |||||
(Loss) gain on sale of other real estate owned, net | (233 | ) | 72 | ||||
Other income | 1,675 | 2,139 | |||||
Total non-interest income | 8,707 | 8,533 | |||||
Non-interest expense | |||||||
Compensation and fringe benefits | 51,817 | 43,332 | |||||
Advertising and promotional expense | 1,694 | 2,535 | |||||
Office occupancy and equipment expense | 13,810 | 12,546 | |||||
Federal deposit insurance premiums | 2,400 | 2,200 | |||||
Stationery, printing, supplies and telephone | 817 | 851 | |||||
Professional fees | 4,013 | 3,271 | |||||
Data processing service fees | 5,561 | 5,450 | |||||
Other operating expenses | 7,034 | 6,723 | |||||
Total non-interest expenses | 87,146 | 76,908 | |||||
Income before income tax expense | 71,124 | 67,066 | |||||
Income tax expense | 27,498 | 25,119 | |||||
Net income | $ | 43,626 | $ | 41,947 | |||
Basic and diluted earnings per share | $ | 0.14 | $ | 0.12 | |||
Weighted average shares outstanding | |||||||
Basic | 309,166,680 | 344,237,371 | |||||
Diluted | 312,154,256 | 347,470,957 |
For the Three Months Ended March 31, | ||||||
2016 | 2015 | |||||
(In thousands) | ||||||
Net income | $ | 43,626 | 41,947 | |||
Other comprehensive income, net of tax: | ||||||
Change in funded status of retirement obligations | 317 | 208 | ||||
Unrealized gain on securities available-for-sale | 10,002 | 5,093 | ||||
Accretion of loss on securities reclassified to held to maturity | 284 | 379 | ||||
Reclassification adjustment for security gains included in net income | (833 | ) | — | |||
Other-than-temporary impairment accretion on debt securities | 191 | 196 | ||||
Total other comprehensive income | 9,961 | 5,876 | ||||
Total comprehensive income | $ | 53,587 | 47,823 |
Common stock | Additional paid-in capital | Retained earnings | Treasury stock | Unallocated common stock held by ESOP | Accumulated other comprehensive loss | Total stockholders’ equity | |||||||||||||||
(In thousands) | |||||||||||||||||||||
Balance at December 31, 2014 | $ | 3,591 | 2,864,406 | 836,639 | (11,131 | ) | (93,246 | ) | (22,404 | ) | 3,577,855 | ||||||||||
Net income | — | — | 41,947 | — | — | — | 41,947 | ||||||||||||||
Other comprehensive income, net of tax | — | — | — | — | — | 5,876 | 5,876 | ||||||||||||||
Purchase of treasury stock (2,950,000 shares) | — | — | — | (34,709 | ) | — | — | (34,709 | ) | ||||||||||||
Compensation cost for stock options and restricted stock | — | 4 | — | — | — | — | 4 | ||||||||||||||
Net tax benefit from stock-based compensation | — | 267 | — | — | — | — | 267 | ||||||||||||||
Option exercise | — | (1,098 | ) | — | 2,349 | — | — | 1,251 | |||||||||||||
Cash dividend paid ($0.10 per common share) | — | — | (35,814 | ) | — | — | — | (35,814 | ) | ||||||||||||
ESOP shares allocated or committed to be released | — | 594 | — | — | 749 | — | 1,343 | ||||||||||||||
Balance at March 31, 2015 | $ | 3,591 | 2,864,173 | 842,772 | (43,491 | ) | (92,497 | ) | (16,528 | ) | 3,558,020 | ||||||||||
Balance at December 31, 2015 | $ | 3,591 | 2,785,503 | 936,040 | (295,412 | ) | (90,250 | ) | (27,825 | ) | 3,311,647 | ||||||||||
Net income | — | — | 43,626 | — | — | — | 43,626 | ||||||||||||||
Other comprehensive income, net of tax | — | — | — | — | — | 9,961 | 9,961 | ||||||||||||||
Purchase of treasury stock (12,150,000 shares) | — | — | — | (140,192 | ) | — | — | (140,192 | ) | ||||||||||||
Treasury stock allocated to restricted stock plan (161,890 shares) | — | (1,865 | ) | (71 | ) | 1,936 | — | — | — | ||||||||||||
Compensation cost for stock options and restricted stock | — | 4,333 | — | — | — | — | 4,333 | ||||||||||||||
Net tax benefit from stock-based compensation | — | 957 | — | — | — | — | 957 | ||||||||||||||
Option exercise | — | (3,842 | ) | — | 7,677 | — | — | 3,835 | |||||||||||||
Cash dividend paid ($.06 per common share) | — | — | (19,805 | ) | — | — | — | (19,805 | ) | ||||||||||||
ESOP shares allocated or committed to be released | — | 616 | — | — | 749 | — | 1,365 | ||||||||||||||
Balance at March 31, 2016 | $ | 3,591 | 2,785,702 | 959,790 | (425,991 | ) | (89,501 | ) | (17,864 | ) | 3,215,727 | ||||||||||
See accompanying notes to consolidated financial statements |
Three Months Ended March 31, | ||||||
2016 | 2015 | |||||
(In thousands) | ||||||
Cash flows from operating activities: | ||||||
Net income | $ | 43,626 | 41,947 | |||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||
ESOP and stock-based compensation expense | 5,698 | 1,347 | ||||
Amortization of premiums and accretion of discounts on securities, net | 3,203 | 3,406 | ||||
Amortization of premiums and accretion of fees and costs on loans, net | (624 | ) | (1,000 | ) | ||
Amortization of intangible assets | 740 | 857 | ||||
Provision for loan losses | 5,000 | 9,000 | ||||
Depreciation and amortization of office properties and equipment | 3,756 | 2,800 | ||||
Gain on securities, net | (1,388 | ) | (42 | ) | ||
Mortgage loans originated for sale | (29,956 | ) | (59,818 | ) | ||
Proceeds from mortgage loan sales | 34,039 | 57,974 | ||||
Gain on sales of mortgage loans, net | (504 | ) | (1,043 | ) | ||
Loss (gain) on sale of other real estate owned | 233 | (72 | ) | |||
Income on bank owned life insurance | (1,260 | ) | (1,037 | ) | ||
Increase in accrued interest receivable | (5,115 | ) | (2,709 | ) | ||
Deferred tax expense | 11,422 | 1,656 | ||||
(Increase) decrease in other assets | (1,335 | ) | 4,881 | |||
(Decrease) increase in other liabilities | (21,227 | ) | 8,667 | |||
Total adjustments | 2,682 | 24,867 | ||||
Net cash provided by operating activities | 46,308 | 66,814 | ||||
Cash flows from investing activities: | ||||||
Purchases of loans receivable | (9,419 | ) | (21,248 | ) | ||
Net originations of loans receivable | (257,211 | ) | (502,771 | ) | ||
Proceeds from sale of loans held for investment | — | 176 | ||||
Loss (gain) on disposition of loans held for investment | 67 | (176 | ) | |||
Net proceeds from sale of foreclosed real estate | 2,190 | 881 | ||||
Purchases of mortgage-backed securities held to maturity | (113,788 | ) | (91,982 | ) | ||
Purchases of debt securities held-to-maturity | (7,532 | ) | (6,659 | ) | ||
Purchases of mortgage-backed securities available-for-sale | (86,938 | ) | (78,399 | ) | ||
Purchases of equity securities available-for-sale | (25 | ) | — | |||
Proceeds from paydowns/maturities on mortgage-backed securities held-to-maturity | 64,079 | 49,842 | ||||
Proceeds from paydowns/maturities on debt securities held-to-maturity | 12,034 | 15,646 | ||||
Proceeds from paydowns/maturities on mortgage-backed securities available-for-sale | 61,590 | 52,810 | ||||
Proceeds from sales of mortgage-backed securities available-for-sale | 33,059 | — | ||||
Proceeds from paydowns/ maturities of US Government and Agency Obligations held-to-maturity | 2,007 | — |
Redemption of equity securities available-for-sale | — | 122 | ||||
Proceeds from redemptions of Federal Home Loan Bank stock | 33,609 | 43,541 | ||||
Purchases of Federal Home Loan Bank stock | (45,412 | ) | (61,436 | ) | ||
Purchases of office properties and equipment | (4,846 | ) | (6,538 | ) | ||
Death benefit proceeds from bank owned life insurance | 468 | 3,205 | ||||
Net cash used in investing activities | (316,068 | ) | (602,986 | ) | ||
Cash flows from financing activities: | ||||||
Net increase in deposits | 137,731 | 184,534 | ||||
Net increase in other borrowings | 264,540 | 395,509 | ||||
Net increase in advance payments by borrowers for taxes and insurance | 17,459 | 23,247 | ||||
Dividends paid | (19,805 | ) | (35,814 | ) | ||
Exercise of stock options | 3,835 | 1,251 | ||||
Purchase of treasury stock | (140,192 | ) | (34,709 | ) | ||
Net tax benefit from stock-based compensation | 957 | 267 | ||||
Net cash provided by financing activities | 264,525 | 534,285 | ||||
Net decrease in cash and cash equivalents | (5,235 | ) | (1,887 | ) | ||
Cash and cash equivalents at beginning of period | 148,904 | 230,961 | ||||
Cash and cash equivalents at end of period | $ | 143,669 | 229,074 | |||
Supplemental cash flow information: | ||||||
Non-cash investing activities: | ||||||
Real estate acquired through foreclosure | $ | 591 | 2,024 | |||
Cash paid during the year for: | ||||||
Interest | 37,884 | 30,639 | ||||
Income taxes | 31,184 | 27,477 |
For the Three Months Ended March 31, | |||||||||||||||||||||
2016 | 2015 | ||||||||||||||||||||
Income | Shares | Per Share Amount | Income | Shares | Per Share Amount | ||||||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||||||||||
Net Income | $ | 43,626 | $ | 41,947 | |||||||||||||||||
Basic earnings per share: | |||||||||||||||||||||
Income available to common stockholders | $ | 43,626 | 309,166,680 | $ | 0.14 | $ | 41,947 | 344,237,371 | $ | 0.12 | |||||||||||
Effect of dilutive common stock equivalents (1) | 2,987,576 | 3,233,586 | |||||||||||||||||||
Diluted earnings per share: | |||||||||||||||||||||
Income available to common stockholders | $ | 43,626 | 312,154,256 | $ | 0.14 | $ | 41,947 | 347,470,957 | $ | 0.12 |
At March 31, 2016 | ||||||||||||
Carrying value | Gross unrealized gains | Gross unrealized losses | Estimated fair value | |||||||||
(In thousands) | ||||||||||||
Available-for-sale: | ||||||||||||
Equity securities | $ | 5,804 | 719 | — | 6,523 | |||||||
Mortgage-backed securities: | ||||||||||||
Federal Home Loan Mortgage Corporation | 540,298 | 7,031 | 341 | 546,988 | ||||||||
Federal National Mortgage Association | 724,204 | 10,484 | 376 | 734,312 | ||||||||
Government National Mortgage Association | 23,540 | 169 | — | 23,709 | ||||||||
Total mortgage-backed securities available-for-sale | 1,288,042 | 17,684 | 717 | 1,305,009 | ||||||||
Total available-for-sale securities | $ | 1,293,846 | 18,403 | 717 | 1,311,532 |
At March 31, 2016 | ||||||||||||||||||
Amortized cost | Net unrealized losses (1) | Carrying value | Gross unrecognized gains (2) | Gross unrecognized losses (2) | Estimated fair value | |||||||||||||
(In thousands) | ||||||||||||||||||
Held-to-maturity: | ||||||||||||||||||
Debt securities: | ||||||||||||||||||
Government-sponsored enterprises | $ | 2,196 | — | 2,196 | 29 | — | 2,225 | |||||||||||
Municipal bonds | 38,868 | — | 38,868 | 1,434 | — | 40,302 | ||||||||||||
Corporate and other debt securities | 59,159 | (22,925 | ) | 36,234 | 36,016 | — | 72,250 | |||||||||||
Total debt securities held-to-maturity | 100,223 | (22,925 | ) | 77,298 | 37,479 | — | 114,777 | |||||||||||
Mortgage-backed securities: | ||||||||||||||||||
Federal Home Loan Mortgage Corporation | 497,241 | (2,265 | ) | 494,976 | 7,635 | 225 | 502,386 | |||||||||||
Federal National Mortgage Association | 1,297,056 | (2,463 | ) | 1,294,593 | 22,320 | 259 | 1,316,654 | |||||||||||
Government National Mortgage Association | 20,133 | — | 20,133 | 396 | — | 20,529 | ||||||||||||
Total mortgage-backed securities held-to-maturity | 1,814,430 | (4,728 | ) | 1,809,702 | 30,351 | 484 | 1,839,569 | |||||||||||
Total held-to-maturity securities | $ | 1,914,653 | (27,653 | ) | 1,887,000 | 67,830 | 484 | 1,954,346 |
At December 31, 2015 | ||||||||||||
Carrying value | Gross unrealized gains | Gross unrealized losses | Estimated fair value | |||||||||
(In thousands) | ||||||||||||
Available-for-sale: | ||||||||||||
Equity securities | $ | 5,778 | 733 | 16 | 6,495 | |||||||
Mortgage-backed securities: | ||||||||||||
Federal Home Loan Mortgage Corporation | 546,652 | 3,242 | 2,443 | 547,451 | ||||||||
Federal National Mortgage Association | 724,851 | 4,520 | 3,299 | 726,072 | ||||||||
Government National Mortgage Association | 24,841 | 1 | 163 | 24,679 | ||||||||
Total mortgage-backed securities available-for-sale | 1,296,344 | 7,763 | 5,905 | 1,298,202 | ||||||||
Total available-for-sale securities | $ | 1,302,122 | 8,496 | 5,921 | 1,304,697 |
At December 31, 2015 | ||||||||||||||||||
Amortized cost | Net unrealized losses (1) | Carrying Value | Gross unrecognized gains (2) | Gross unrecognized losses (2) | Estimated fair value | |||||||||||||
(In thousands) | ||||||||||||||||||
Held-to-maturity: | ||||||||||||||||||
Debt securities: | ||||||||||||||||||
Government-sponsored enterprises | $ | 4,232 | — | 4,232 | 11 | — | 4,243 | |||||||||||
Municipal bonds | 43,058 | — | 43,058 | 1,307 | — | 44,365 | ||||||||||||
Corporate and other debt securities | 58,358 | (23,245 | ) | 35,113 | 42,704 | — | 77,817 | |||||||||||
Total debt securities held-to-maturity | 105,648 | (23,245 | ) | 82,403 | 44,022 | — | 126,425 | |||||||||||
Mortgage-backed securities: | ||||||||||||||||||
Federal Home Loan Mortgage Corporation | 516,841 | (2,502 | ) | 514,339 | 2,213 | 3,082 | 513,470 | |||||||||||
Federal National Mortgage Association | 1,228,845 | (2,705 | ) | 1,226,140 | 7,305 | 6,120 | 1,227,325 | |||||||||||
Government National Mortgage Association | 21,330 | — | 21,330 | 125 | — | 21,455 | ||||||||||||
Federal housing authorities | 11 | — | 11 | — | — | 11 | ||||||||||||
Total mortgage-backed securities held-to-maturity | 1,767,027 | (5,207 | ) | 1,761,820 | 9,643 | 9,202 | 1,762,261 | |||||||||||
Total held-to-maturity securities | $ | 1,872,675 | (28,452 | ) | 1,844,223 | 53,665 | 9,202 | 1,888,686 |
March 31, 2016 | ||||||
Carrying Value | Estimated fair value | |||||
(In thousands) | ||||||
Due in one year or less | $ | 32,943 | 32,943 | |||
Due after one year through five years | 3,331 | 3,360 | ||||
Due after five years through ten years | — | — | ||||
Due after ten years | 41,024 | 78,474 | ||||
Total | $ | 77,298 | 114,777 |
March 31, 2016 | ||||||||||||||||||
Less than 12 months | 12 months or more | Total | ||||||||||||||||
Estimated fair value | Unrealized losses | Estimated fair value | Unrealized losses | Estimated fair value | Unrealized losses | |||||||||||||
(In thousands) | ||||||||||||||||||
Available-for-sale: | ||||||||||||||||||
Mortgage-backed securities: | ||||||||||||||||||
Federal Home Loan Mortgage Corporation | $ | 99,570 | 341 | — | — | 99,570 | 341 | |||||||||||
Federal National Mortgage Association | 38,231 | 203 | 36,119 | 173 | 74,350 | 376 | ||||||||||||
Total available-for-sale securities | $ | 137,801 | 544 | 36,119 | 173 | 173,920 | 717 | |||||||||||
Held-to-maturity: | ||||||||||||||||||
Mortgage-backed securities: | ||||||||||||||||||
Federal Home Loan Mortgage Corporation | $ | 32,543 | 33 | 4,599 | 192 | 37,142 | 225 | |||||||||||
Federal National Mortgage Association | 65,051 | 112 | 18,229 | 147 | 83,280 | 259 | ||||||||||||
Total held-to-maturity securities | $ | 97,594 | 145 | 22,828 | 339 | 120,422 | 484 | |||||||||||
Total | $ | 235,395 | 689 | 58,947 | 512 | 294,342 | 1,201 |
December 31, 2015 | ||||||||||||||||||
Less than 12 months | 12 months or more | Total | ||||||||||||||||
Estimated fair value | Unrealized losses | Estimated fair value | Unrealized losses | Estimated fair value | Unrealized losses | |||||||||||||
(In thousands) | ||||||||||||||||||
Available-for-sale: | ||||||||||||||||||
Equity Securities | $ | 4,692 | 16 | — | — | 4,692 | 16 | |||||||||||
Mortgage-backed securities: | ||||||||||||||||||
Federal Home Loan Mortgage Corporation | $ | 263,255 | 2,443 | — | — | 263,255 | 2,443 | |||||||||||
Federal National Mortgage Association | 375,792 | 2,850 | 14,821 | 449 | 390,613 | 3,299 | ||||||||||||
Government National Mortgage Association | 24,874 | 163 | — | — | 24,874 | 163 | ||||||||||||
Total mortgage-backed securities available-for-sale | 663,921 | 5,456 | 14,821 | 449 | 678,742 | 5,905 | ||||||||||||
Total available-for-sale securities | $ | 668,613 | 5,472 | 14,821 | 449 | 683,434 | 5,921 | |||||||||||
Held-to-maturity: | ||||||||||||||||||
Mortgage-backed securities: | ||||||||||||||||||
Federal Home Loan Mortgage Corporation | 342,702 | 2,804 | 4,887 | 278 | 347,589 | 3,082 | ||||||||||||
Federal National Mortgage Association | 547,326 | 5,477 | 29,013 | 643 | 576,339 | 6,120 | ||||||||||||
Total mortgage-backed securities held-to-maturity | 890,028 | 8,281 | 33,900 | 921 | 923,928 | 9,202 | ||||||||||||
Total held-to-maturity securities | $ | 890,028 | 8,281 | 33,900 | 921 | 923,928 | 9,202 | |||||||||||
Total | $ | 1,558,641 | 13,753 | 48,721 | 1,370 | 1,607,362 | 15,123 |
For the Three Months Ended March 31, | ||||||
2016 | 2015 | |||||
(In thousands) | ||||||
Balance of credit related OTTI, beginning of period | $ | 100,200 | 108,817 | |||
Additions: | ||||||
Initial credit impairments | — | — | ||||
Subsequent credit impairments | — | — | ||||
Reductions: | ||||||
Accretion of credit loss impairment due to an increase in expected cash flows | (1,112 | ) | (973 | ) | ||
Balance of credit related OTTI, end of period | $ | 99,088 | 107,844 |
March 31, 2016 | December 31, 2015 | |||||
(In thousands) | ||||||
Multi-family loans | $ | 6,521,998 | 6,255,904 | |||
Commercial real estate loans | 3,890,839 | 3,821,950 | ||||
Commercial and industrial loans | 1,052,139 | 1,044,329 | ||||
Construction loans | 237,334 | 224,057 | ||||
Total commercial loans | 11,702,310 | 11,346,240 | ||||
Residential mortgage loans | 4,927,653 | 5,037,898 | ||||
Consumer and other loans | 511,893 | 496,103 | ||||
Total loans excluding PCI loans | 17,141,856 | 16,880,241 | ||||
PCI loans | 11,329 | 11,089 | ||||
Net unamortized premiums and deferred loan costs (1) | (13,845 | ) | (11,692 | ) | ||
Allowance for loan losses | (216,613 | ) | (218,505 | ) | ||
Net loans | $ | 16,922,727 | 16,661,133 |
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
(In thousands) | |||||||
Balance, beginning of period | 449 | 971 | |||||
Acquisitions | — | — | |||||
Accretion | (67 | ) | (116 | ) | |||
Net reclassification from non-accretable difference | 1,221 | — | |||||
Balance, end of period | $ | 1,603 | $ | 855 |
Three Months Ended March 31, | |||||||
2016 | 2015 | ||||||
(Dollars in thousands) | |||||||
Balance at beginning of the period | $ | 218,505 | $ | 200,284 | |||
Loans charged off | (7,977 | ) | (1,899 | ) | |||
Recoveries | 1,085 | 796 | |||||
Net charge-offs | (6,892 | ) | (1,103 | ) | |||
Provision for loan losses | 5,000 | 9,000 | |||||
Balance at end of the period | $ | 216,613 | $ | 208,181 |
March 31, 2016 | ||||||||||||||||||||||||
Multi- Family Loans | Commercial Real Estate Loans | Commercial and Industrial Loans | Construction Loans | Residential Mortgage Loans | Consumer and Other Loans | Unallocated | Total | |||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||
Beginning balance-December 31, 2015 | $ | 88,223 | 46,999 | 40,585 | 6,794 | 31,443 | 3,155 | 1,306 | 218,505 | |||||||||||||||
Charge-offs | (10 | ) | (194 | ) | (3,966 | ) | (8 | ) | (3,622 | ) | (177 | ) | — | (7,977 | ) | |||||||||
Recoveries | 491 | 170 | 18 | 100 | 287 | 19 | — | 1,085 | ||||||||||||||||
Provision | 1,898 | 1,875 | 2,567 | (1,267 | ) | 516 | (390 | ) | (199 | ) | 5,000 | |||||||||||||
Ending balance-March 31, 2016 | $ | 90,602 | 48,850 | 39,204 | 5,619 | 28,624 | 2,607 | 1,107 | 216,613 | |||||||||||||||
Individually evaluated for impairment | $ | — | — | — | — | 1,344 | 8 | — | 1,352 | |||||||||||||||
Collectively evaluated for impairment | 90,602 | 48,850 | 39,204 | 5,619 | 27,280 | 2,599 | 1,107 | 215,261 | ||||||||||||||||
Loans acquired with deteriorated credit quality | — | — | — | — | — | — | — | — | ||||||||||||||||
Balance at March 31, 2016 | $ | 90,602 | 48,850 | 39,204 | 5,619 | 28,624 | 2,607 | 1,107 | 216,613 | |||||||||||||||
Loans: | ||||||||||||||||||||||||
Individually evaluated for impairment | $ | 2,664 | 8,659 | 4,807 | 1,486 | 22,954 | 368 | — | 40,938 | |||||||||||||||
Collectively evaluated for impairment | 6,519,334 | 3,882,180 | 1,047,332 | 235,848 | 4,904,699 | 511,525 | — | 17,100,918 | ||||||||||||||||
Loans acquired with deteriorated credit quality | — | 7,900 | 55 | 1,354 | 1,623 | 397 | — | 11,329 | ||||||||||||||||
Balance at March 31, 2016 | $ | 6,521,998 | 3,898,739 | 1,052,194 | 238,688 | 4,929,276 | 512,290 | — | 17,153,185 |
December 31, 2015 | ||||||||||||||||||||||||
Multi- Family Loans | Commercial Real Estate Loans | Commercial and Industrial Loans | Construction Loans | Residential Mortgage Loans | Consumer and Other Loans | Unallocated | Total | |||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||
Allowance for loan losses: | ||||||||||||||||||||||||
Beginning balance-December 31, 2014 | $ | 71,147 | 44,030 | 20,759 | 6,488 | 47,936 | 3,347 | 6,577 | 200,284 | |||||||||||||||
Charge-offs | (284 | ) | (1,021 | ) | (516 | ) | (466 | ) | (9,526 | ) | (403 | ) | — | (12,216 | ) | |||||||||
Recoveries | 445 | 807 | 295 | 317 | 2,295 | 278 | — | 4,437 | ||||||||||||||||
Provision | 16,915 | 3,183 | 20,047 | 455 | (9,262 | ) | (67 | ) | (5,271 | ) | 26,000 | |||||||||||||
Ending balance-December 31, 2015 | $ | 88,223 | 46,999 | 40,585 | 6,794 | 31,443 | 3,155 | 1,306 | 218,505 | |||||||||||||||
Individually evaluated for impairment | $ | — | — | 2,409 | — | 1,773 | 9 | — | 4,191 | |||||||||||||||
Collectively evaluated for impairment | 88,223 | 46,999 | 38,176 | 6,794 | 29,670 | 3,146 | 1,306 | 214,314 | ||||||||||||||||
Loans acquired with deteriorated credit quality | — | — | — | — | — | — | — | — | ||||||||||||||||
Balance at December 31, 2015 | $ | 88,223 | 46,999 | 40,585 | 6,794 | 31,443 | 3,155 | 1,306 | 218,505 | |||||||||||||||
Loans: | ||||||||||||||||||||||||
Individually evaluated for impairment | $ | 3,219 | 18,941 | 9,395 | 2,504 | 22,539 | 389 | — | 56,987 | |||||||||||||||
Collectively evaluated for impairment | 6,252,685 | 3,803,009 | 1,034,934 | 221,553 | 5,015,359 | 495,714 | — | 16,823,254 | ||||||||||||||||
Loans acquired with deteriorated credit quality | — | 7,149 | 56 | 1,786 | 1,645 | 453 | — | 11,089 | ||||||||||||||||
Balance at December 31, 2015 | $ | 6,255,904 | 3,829,099 | 1,044,385 | 225,843 | 5,039,543 | 496,556 | — | 16,891,330 |
March 31, 2016 | |||||||||||||||||||||
Pass | Watch | Special Mention | Substandard | Doubtful | Loss | Total | |||||||||||||||
(In thousands) | |||||||||||||||||||||
Commercial loans: | |||||||||||||||||||||
Multi-family | $ | 6,098,911 | 293,468 | 90,408 | 39,211 | — | — | 6,521,998 | |||||||||||||
Commercial real estate | 3,476,202 | 343,770 | 43,434 | 27,433 | — | — | 3,890,839 | ||||||||||||||
Commercial and industrial | 801,245 | 220,093 | 23,258 | 7,543 | — | — | 1,052,139 | ||||||||||||||
Construction | 214,836 | 17,627 | 1,200 | 3,671 | — | — | 237,334 | ||||||||||||||
Total commercial loans | 10,591,194 | 874,958 | 158,300 | 77,858 | — | — | 11,702,310 | ||||||||||||||
Residential mortgage | 4,816,324 | 30,745 | 16,825 | 63,759 | — | — | 4,927,653 | ||||||||||||||
Consumer and other | 501,715 | 2,232 | 1,064 | 6,882 | — | — | 511,893 | ||||||||||||||
Total | $ | 15,909,233 | 907,935 | 176,189 | 148,499 | — | — | 17,141,856 |
December 31, 2015 | |||||||||||||||||||||
Pass | Watch | Special Mention | Substandard | Doubtful | Loss | Total | |||||||||||||||
(In thousands) | |||||||||||||||||||||
Commercial loans: | |||||||||||||||||||||
Multi-family | $ | 5,876,425 | 325,414 | 17,033 | 37,032 | — | — | 6,255,904 | |||||||||||||
Commercial real estate | 3,411,876 | 331,429 | 38,265 | 40,380 | — | — | 3,821,950 | ||||||||||||||
Commercial and industrial | 793,527 | 223,474 | 13,782 | 13,546 | — | — | 1,044,329 | ||||||||||||||
Construction | 207,499 | 12,833 | — | 3,725 | — | — | 224,057 | ||||||||||||||
Total commercial loans | 10,289,327 | 893,150 | 69,080 | 94,683 | — | — | 11,346,240 | ||||||||||||||
Residential mortgage | 4,930,961 | 24,584 | 13,796 | 68,557 | — | — | 5,037,898 | ||||||||||||||
Consumer and other | 482,715 | 3,987 | 427 | 8,974 | — | — | 496,103 | ||||||||||||||
Total | $ | 15,703,003 | 921,721 | 83,303 | 172,214 | — | — | 16,880,241 |
March 31, 2016 | ||||||||||||||||||
30-59 Days | 60-89 Days | Greater than 90 Days | Total Past Due | Current | Total Loans Receivable | |||||||||||||
(In thousands) | ||||||||||||||||||
Commercial loans: | ||||||||||||||||||
Multi-family | $ | 17,963 | — | 1,886 | 19,849 | 6,502,149 | 6,521,998 | |||||||||||
Commercial real estate | 25,370 | 423 | 7,430 | 33,223 | 3,857,616 | 3,890,839 | ||||||||||||
Commercial and industrial | 4,096 | 2,296 | 780 | 7,172 | 1,044,967 | 1,052,139 | ||||||||||||
Construction | — | — | 516 | 516 | 236,818 | 237,334 | ||||||||||||
Total commercial loans | 47,429 | 2,719 | 10,612 | 60,760 | 11,641,550 | 11,702,310 | ||||||||||||
Residential mortgage | 30,745 | 16,825 | 63,759 | 111,329 | 4,816,324 | 4,927,653 | ||||||||||||
Consumer and other | 2,232 | 1,064 | 6,882 | 10,178 | 501,715 | 511,893 | ||||||||||||
Total | $ | 80,406 | 20,608 | 81,253 | 182,267 | 16,959,589 | 17,141,856 |
December 31, 2015 | ||||||||||||||||||
30-59 Days | 60-89 Days | Greater than 90 Days | Total Past Due | Current | Total Loans Receivable | |||||||||||||
(In thousands) | ||||||||||||||||||
Commercial loans: | ||||||||||||||||||
Multi-family | $ | 14,236 | — | 1,886 | 16,122 | 6,239,782 | 6,255,904 | |||||||||||
Commercial real estate | 4,171 | 352 | 6,429 | 10,952 | 3,810,998 | 3,821,950 | ||||||||||||
Commercial and industrial | 957 | — | 4,386 | 5,343 | 1,038,986 | 1,044,329 | ||||||||||||
Construction | — | — | 792 | 792 | 223,265 | 224,057 | ||||||||||||
Total commercial loans | 19,364 | 352 | 13,493 | 33,209 | 11,313,031 | 11,346,240 | ||||||||||||
Residential mortgage | 27,092 | 14,956 | 68,560 | 110,608 | 4,927,290 | 5,037,898 | ||||||||||||
Consumer and other | 3,987 | 427 | 8,976 | 13,390 | 482,713 | 496,103 | ||||||||||||
Total | $ | 50,443 | 15,735 | 91,029 | 157,207 | 16,723,034 | 16,880,241 |
March 31, 2016 | December 31, 2015 | ||||||||||||
# of loans | Amount | # of loans | Amount | ||||||||||
(Dollars in thousands) | |||||||||||||
Non-accrual: | |||||||||||||
Multi-family | 3 | $ | 2,903 | 4 | $ | 3,467 | |||||||
Commercial real estate | 35 | 10,342 | 37 | 10,820 | |||||||||
Commercial and industrial | 10 | 5,587 | 17 | 9,225 | |||||||||
Construction | 3 | 516 | 4 | 792 | |||||||||
Total commercial loans | 51 | 19,348 | 62 | 24,304 | |||||||||
Residential mortgage and consumer | 488 | 85,892 | 500 | 91,122 | |||||||||
Total non-accrual loans | 539 | $ | 105,240 | 562 | $ | 115,426 |
March 31, 2016 | December 31, 2015 | ||||||||||||
# of loans | Amount | # of loans | Amount | ||||||||||
(Dollars in thousands) | |||||||||||||
Current TDR classified as non-accrual: | |||||||||||||
Multi-family | 1 | $ | 1,016 | 1 | $ | 1,032 | |||||||
Commercial real estate | 3 | 406 | 2 | 240 | |||||||||
Commercial and industrial | 2 | 2,208 | 2 | 2,226 | |||||||||
Total commercial loans | 6 | 3,630 | 5 | 3,498 | |||||||||
Residential mortgage and consumer | 18 | 2,980 | 15 | 3,378 | |||||||||
Total current TDR classified as non-accrual | 24 | $ | 6,610 | 20 | $ | 6,876 |
March 31, 2016 | December 31, 2015 | ||||||||||||
# of loans | Amount | # of loans | Amount | ||||||||||
(Dollars in thousands) | |||||||||||||
TDR 30-89 days delinquent classified as non-accrual: | |||||||||||||
Multi-family | — | $ | — | 1 | $ | 548 | |||||||
Commercial real estate | 2 | 241 | 5 | 2,309 | |||||||||
Commercial and industrial | 1 | 345 | 1 | 360 | |||||||||
Total commercial loans | 3 | 586 | 7 | 3,217 | |||||||||
Residential mortgage and consumer | 14 | 5,485 | 11 | 3,338 | |||||||||
Total current TDR classified as non-accrual | 17 | $ | 6,071 | 18 | $ | 6,555 |
March 31, 2016 | |||||||||||||||
Recorded Investment | Unpaid Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized | |||||||||||
(In thousands) | |||||||||||||||
With no related allowance: | |||||||||||||||
Multi-family | $ | 2,664 | 5,791 | — | 2,144 | 14 | |||||||||
Commercial real estate | 8,659 | 17,762 | — | 8,096 | 108 | ||||||||||
Commercial and industrial | 4,807 | 8,761 | — | 3,362 | 32 | ||||||||||
Construction | 1,486 | 5,324 | — | 2,795 | 12 | ||||||||||
Total commercial loans | 17,616 | 37,638 | — | 16,397 | 166 | ||||||||||
Residential mortgage and consumer | 9,653 | 12,601 | — | 8,191 | 113 | ||||||||||
With an allowance recorded: | |||||||||||||||
Multi-family | — | — | — | — | — | ||||||||||
Commercial real estate | — | — | — | — | — | ||||||||||
Commercial and industrial | — | — | — | — | — | ||||||||||
Construction | — | — | — | — | — | ||||||||||
Total commercial loans | — | — | — | — | — | ||||||||||
Residential mortgage and consumer | 13,669 | 14,023 | 1,352 | 15,809 | 114 | ||||||||||
Total: | |||||||||||||||
Multi-family | 2,664 | 5,791 | — | 2,144 | 14 | ||||||||||
Commercial real estate | 8,659 | 17,762 | — | 8,096 | 108 | ||||||||||
Commercial and industrial | 4,807 | 8,761 | — | 3,362 | 32 | ||||||||||
Construction | 1,486 | 5,324 | — | 2,795 | 12 | ||||||||||
Total commercial loans | 17,616 | 37,638 | — | 16,397 | 166 | ||||||||||
Residential mortgage and consumer | 23,322 | 26,624 | 1,352 | 24,000 | 227 | ||||||||||
Total impaired loans | $ | 40,938 | 64,262 | 1,352 | 40,397 | 393 |
December 31, 2015 | |||||||||||||||
Recorded Investment | Unpaid Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized | |||||||||||
(In thousands) | |||||||||||||||
With no related allowance: | |||||||||||||||
Multi-family | $ | 3,219 | 6,806 | — | 2,872 | 119 | |||||||||
Commercial real estate | 18,941 | 27,961 | — | 19,025 | 1,136 | ||||||||||
Commercial and industrial | 5,155 | 5,160 | — | 3,575 | 200 | ||||||||||
Construction | 2,504 | 6,412 | — | 4,288 | 226 | ||||||||||
Total commercial loans | 29,819 | 46,339 | — | 29,760 | 1,681 | ||||||||||
Residential mortgage and consumer | 8,020 | 12,433 | — | 7,611 | 463 | ||||||||||
With an allowance recorded: | |||||||||||||||
Multi-family | — | — | — | — | — | ||||||||||
Commercial real estate | — | — | — | — | — | ||||||||||
Commercial and industrial | 4,240 | 4,271 | 2,409 | 4,389 | 194 | ||||||||||
Construction | — | — | — | — | — | ||||||||||
Total commercial loans | 4,240 | 4,271 | 2,409 | 4,389 | 194 | ||||||||||
Residential mortgage and consumer | 14,908 | 13,695 | 1,782 | 16,424 | 476 | ||||||||||
Total: | |||||||||||||||
Multi-family | 3,219 | 6,806 | — | 2,872 | 119 | ||||||||||
Commercial real estate | 18,941 | 27,961 | — | 19,025 | 1,136 | ||||||||||
Commercial and industrial | 9,395 | 9,431 | 2,409 | 7,964 | 394 | ||||||||||
Construction | 2,504 | 6,412 | — | 4,288 | 226 | ||||||||||
Total commercial loans | 34,059 | 50,610 | 2,409 | 34,149 | 1,875 | ||||||||||
Residential mortgage and consumer | 22,928 | 26,128 | 1,782 | 24,035 | 939 | ||||||||||
Total impaired loans | $ | 56,987 | 76,738 | 4,191 | 58,184 | 2,814 |
March 31, 2016 | ||||||||||||||||||||
Accrual | Non-accrual | Total | ||||||||||||||||||
# of loans | Amount | # of loans | Amount | # of loans | Amount | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Commercial loans: | ||||||||||||||||||||
Multi-family | — | $ | — | 1 | $ | 1,016 | 1 | $ | 1,016 | |||||||||||
Commercial real estate | 2 | 3,476 | 7 | 3,751 | 9 | 7,227 | ||||||||||||||
Commercial and industrial | — | — | 3 | 2,553 | 3 | 2,553 | ||||||||||||||
Construction | — | — | 1 | 132 | 1 | 132 | ||||||||||||||
Total commercial loans | 2 | 3,476 | 12 | 7,452 | 14 | 10,928 | ||||||||||||||
Residential mortgage and consumer | 28 | 7,191 | 59 | 16,132 | 87 | 23,323 | ||||||||||||||
Total | 30 | $ | 10,667 | 71 | $ | 23,584 | 101 | $ | 34,251 |
December 31, 2015 | ||||||||||||||||||||
Accrual | Non-accrual | Total | ||||||||||||||||||
# of loans | Amount | # of loans | Amount | # of loans | Amount | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Commercial loans: | ||||||||||||||||||||
Multi-family | — | $ | — | 2 | $ | 1,580 | 2 | $ | 1,580 | |||||||||||
Commercial real estate | 5 | 13,161 | 9 | 5,826 | 14 | 18,987 | ||||||||||||||
Commercial and industrial | 1 | 640 | 3 | 2,586 | 4 | 3,226 | ||||||||||||||
Construction | 1 | 313 | 2 | 405 | 3 | 718 | ||||||||||||||
Total commercial loans | 7 | 14,114 | 16 | 10,397 | 23 | 24,511 | ||||||||||||||
Residential mortgage and consumer | 32 | 8,375 | 49 | 14,553 | 81 | 22,928 | ||||||||||||||
Total | 39 | $ | 22,489 | 65 | $ | 24,950 | 104 | $ | 47,439 |
Three Months Ended March 31, | |||||||||||||||||||||
2016 | 2015 | ||||||||||||||||||||
Number of Loans | Pre-modification Recorded Investment | Post- modification Recorded Investment | Number of Loans | Pre-modification Recorded Investment | Post- modification Recorded Investment | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
Troubled Debt Restructings: | |||||||||||||||||||||
Commercial real estate | 2 | $ | 442 | $ | 442 | — | $ | — | $ | — | |||||||||||
Construction | — | — | — | 1 | 1,326 | 1,326 | |||||||||||||||
Residential mortgage and consumer | 7 | 958 | 958 | 7 | 1,542 | 1,542 |
Three Months Ended March 31, | |||||||||||||||||
2016 | 2015 | ||||||||||||||||
Number of Loans | Pre-modification Interest Yield | Post- modification Interest Yield | Number of Loans | Pre-modification Interest Yield | Post- modification Interest Yield | ||||||||||||
Troubled Debt Restructings: | |||||||||||||||||
Commercial real estate | 2 | 4.12 | % | 4.44 | % | — | — | % | — | % | |||||||
Construction | — | — | % | — | % | 1 | 5.00 | % | 5.00 | % | |||||||
Residential mortgage and consumer | 7 | 6.05 | % | 3.99 | % | 7 | 4.84 | % | 3.36 | % |
March 31, 2016 | December 31, 2015 | |||||
(In thousands) | ||||||
Checking accounts | $ | 4,857,958 | 4,636,025 | |||
Money market deposits | 3,837,226 | 3,861,317 | ||||
Savings | 2,082,122 | 2,150,004 | ||||
Total transaction accounts | 10,777,306 | 10,647,346 | ||||
Certificates of deposit | 3,424,081 | 3,416,310 | ||||
Total deposits | $ | 14,201,387 | 14,063,656 |
March 31, 2016 | December 31, 2015 | ||||||
(In thousands) | |||||||
Mortgage servicing rights | $ | 15,803 | 16,248 | ||||
Core deposit premiums | 10,593 | 11,332 | |||||
Other | 993 | 160 | |||||
Total other intangible assets | 27,389 | 27,740 | |||||
Goodwill | 77,571 | 77,571 | |||||
Goodwill and intangible assets | $ | 104,960 | 105,311 |
Gross Intangible Asset | Accumulated Amortization | Valuation Allowance | Net Intangible Assets | ||||||||||
(In thousands) | |||||||||||||
March 31, 2016 | |||||||||||||
Mortgage servicing rights | $ | 27,335 | (11,411 | ) | (121 | ) | 15,803 | ||||||
Core deposit premiums | 25,059 | (14,466 | ) | — | 10,593 | ||||||||
Other | 1,150 | (157 | ) | — | 993 | ||||||||
Total other intangible assets | $ | 53,544 | (26,034 | ) | (121 | ) | 27,389 | ||||||
December 31, 2015 | |||||||||||||
Mortgage servicing rights | $ | 23,411 | (7,042 | ) | (121 | ) | 16,248 | ||||||
Core deposit premiums | 25,058 | (13,726 | ) | — | 11,332 | ||||||||
Other | 300 | (140 | ) | — | 160 | ||||||||
Total other intangible assets | $ | 48,769 | (20,908 | ) | (121 | ) | 27,740 |
Three Months Ended March 31, 2016 | |||
Weighted average expected life (in years) | 6.50 | ||
Weighted average risk-free rate of return | 1.90 | % | |
Weighted average volatility | 24.06 | % | |
Dividend yield | 1.80 | % | |
Weighted average fair value of options granted | $ | 2.93 |
Three Months Ended March 31, | ||||||
2016 | 2015 | |||||
(Dollars in thousands) | ||||||
Stock option expense | $ | 1,380 | 4 | |||
Restricted stock expense | 2,953 | — | ||||
Total share based compensation expense | $ | 4,333 | 4 |
Number of Stock Options | Weighted Average Exercise Price | Weighted Average Remaining Contractual Life (in years) | Aggregate Intrinsic Value | ||||||||||
Outstanding at December 31, 2015 | 18,804,816 | $10.00 | 6.8 | $46,996 | |||||||||
Granted | 90,000 | 11.67 | 9.8 | ||||||||||
Exercised | (641,322 | ) | 5.98 | 0.6 | |||||||||
Forfeited | (25,382 | ) | 12.54 | ||||||||||
Expired | — | — | |||||||||||
Outstanding at March 31, 2016 | 18,228,112 | $10.15 | 6.7 | $37,491 | |||||||||
Exercisable at March 31, 2016 | 6,724,865 | $6.07 | 1.7 | $37,452 |
Number of Shares Awarded | Weighted Average Grant Date fair Value | ||||||
Outstanding at December 31, 2015 | 6,759,832 | $ | 12.64 | ||||
Granted | 161,890 | 11.53 | |||||
Vested | — | — | |||||
Forfeited | — | — | |||||
Outstanding and non vested at March 31, 2016 | 6,921,722 | $ | 12.52 |
Three Months Ended March 31, | ||||||
2016 | 2015 | |||||
(In thousands) | ||||||
Service cost | $ | 894 | 774 | |||
Interest cost | 474 | 374 | ||||
Amortization of: | ||||||
Prior service cost | — | 12 | ||||
Net gain | 536 | 321 | ||||
Total net periodic benefit cost | $ | 1,904 | 1,481 |
Three Months Ended March 31, | ||||||||||||||||||
2016 | 2015 | |||||||||||||||||
Gross | Tax | Net | Gross | Tax | Net | |||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Net income | $ | 71,124 | (27,498 | ) | 43,626 | 67,066 | (25,119 | ) | 41,947 | |||||||||
Other comprehensive income: | ||||||||||||||||||
Change in funded status of retirement obligations | 536 | (219 | ) | 317 | 352 | (144 | ) | 208 | ||||||||||
Unrealized gain on securities available-for-sale | 16,500 | (6,498 | ) | 10,002 | 8,365 | (3,272 | ) | 5,093 | ||||||||||
Accretion of loss on securities reclassified to held to maturity available for sale | 480 | (196 | ) | 284 | 641 | (262 | ) | 379 | ||||||||||
Reclassification adjustment for security gains included in net income | (1,388 | ) | 555 | (833 | ) | — | — | — | ||||||||||
Other-than-temporary impairment accretion on debt securities | 322 | (131 | ) | 191 | 329 | (133 | ) | 196 | ||||||||||
Total other comprehensive income | 16,450 | (6,489 | ) | 9,961 | 9,687 | (3,811 | ) | 5,876 | ||||||||||
Total comprehensive income | $ | 87,574 | (33,987 | ) | 53,587 | 76,753 | (28,930 | ) | 47,823 |
Change in funded status of retirement obligations | Accretion of loss on securities reclassified to held to maturity | Unrealized gain on securities available-for-sale | Reclassification adjustment for gains included in net income | Other-than- temporary impairment accretion on debt securities | Total accumulated other comprehensive loss | |||||||||||||
(Dollars in thousands) | ||||||||||||||||||
Balance - December 31, 2015 | $ | (12,366 | ) | (3,080 | ) | 2,918 | (1,547 | ) | (13,750 | ) | (27,825 | ) | ||||||
Net change | 317 | 284 | 10,002 | (833 | ) | 191 | 9,961 | |||||||||||
Balance - March 31, 2016 | $ | (12,049 | ) | (2,796 | ) | 12,920 | (2,380 | ) | (13,559 | ) | (17,864 | ) | ||||||
Balance - December 31, 2014 | $ | (10,911 | ) | (4,528 | ) | 7,851 | — | (14,816 | ) | (22,404 | ) | |||||||
Net change | 208 | 379 | 5,093 | — | 196 | 5,876 | ||||||||||||
Balance - March 31, 2015 | $ | (10,703 | ) | (4,149 | ) | 12,944 | — | (14,620 | ) | (16,528 | ) |
Three Months Ended March 31, | ||||||
2016 | 2015 | |||||
(In thousands) | ||||||
Reclassification adjustment for gains included in net income | ||||||
Gain on security transactions | $ | (1,388 | ) | — | ||
Change in funded status of retirement obligations (1) | ||||||
Compensation and fringe benefits: | ||||||
Amortization of net obligation or asset | — | — | ||||
Amortization of prior service cost | — | 12 | ||||
Amortization of net gain | 536 | 340 | ||||
Compensation and fringe benefits | 536 | 352 | ||||
Total before tax | (852 | ) | 352 | |||
Income tax benefit (expense) | 336 | (144 | ) | |||
Net of tax | $ | (516 | ) | 208 |
• | Level 1 – Valuation is based upon quoted prices for identical instruments traded in active markets. |
• | Level 2 – Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market. |
• | Level 3 – Valuation is generated from model-based techniques that use significant assumptions not observable in the market. These unobservable assumptions reflect our own estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include the use of option pricing models, discounted cash flow models and similar techniques. The results cannot be determined with precision and may not be realized in an actual sale or immediate settlement of the asset or liability. |
Carrying Value at March 31, 2016 | ||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||
(In thousands) | ||||||||||||
Securities available for sale: | ||||||||||||
Equity securities | $ | 6,523 | 6,523 | — | — | |||||||
Mortgage-backed securities: | ||||||||||||
Federal Home Loan Mortgage Corporation | 546,988 | — | 546,988 | — | ||||||||
Federal National Mortgage Association | 734,312 | — | 734,312 | — | ||||||||
Government National Mortgage Association | 23,709 | — | 23,709 | — | ||||||||
Total mortgage-backed securities available-for-sale | 1,305,009 | — | 1,305,009 | — | ||||||||
Total securities available-for-sale | $ | 1,311,532 | 6,523 | 1,305,009 | — |
Carrying Value at December 31, 2015 | ||||||||||||
Total | Level 1 | Level 2 | Level 3 | |||||||||
(In thousands) | ||||||||||||
Securities available for sale: | ||||||||||||
Equity securities | $ | 6,495 | 6,495 | — | — | |||||||
Mortgage-backed securities: | ||||||||||||
Federal Home Loan Mortgage Corporation | 547,451 | — | 547,451 | — | ||||||||
Federal National Mortgage Association | 726,072 | — | 726,072 | — | ||||||||
Government National Mortgage Association | 24,679 | — | 24,679 | — | ||||||||
Total mortgage-backed securities available-for-sale | 1,298,202 | — | 1,298,202 | — | ||||||||
Total securities available-for-sale | $ | 1,304,697 | 6,495 | 1,298,202 | — |
Carrying Value at March 31, 2016 | |||||||||||||
Security Type | Valuation Technique | Unobservable Input | Range | Weighted Average | Total | Level 1 | Level 2 | Level 3 | |||||
(In thousands) | |||||||||||||
Impaired loans | Market comparable | Probability of default | 0.0% - 25.0% | 2.82% | 116 | — | — | 116 | |||||
Other real estate owned | Market comparable | Lack of marketability | 0.0% - 25.0% | 8.54% | 146 | — | — | 146 | |||||
$ | 262 | — | — | 262 |
Carrying Value at December 31, 2015 | |||||||||||||
Security Type | Valuation Technique | Unobservable Input | Range | Weighted Average | Total | Level 1 | Level 2 | Level 3 | |||||
(In thousands) | |||||||||||||
Other real estate owned | Market comparable | Lack of marketability | 0.0% - 25.0% | 8.90% | 510 | — | — | 510 | |||||
$ | 510 | — | — | 510 |
March 31, 2016 | |||||||||||||||
Carrying | Estimated Fair Value | ||||||||||||||
value | Total | Level 1 | Level 2 | Level 3 | |||||||||||
(In thousands) | |||||||||||||||
Financial assets: | |||||||||||||||
Cash and cash equivalents | $ | 143,669 | 143,669 | 143,669 | — | — | |||||||||
Securities available-for-sale | 1,311,532 | 1,311,532 | 6,523 | 1,305,009 | — | ||||||||||
Securities held-to-maturity | 1,887,000 | 1,954,346 | — | 1,882,096 | 72,250 | ||||||||||
Stock in FHLB | 190,240 | 190,240 | 190,240 | — | — | ||||||||||
Loans held for sale | 3,852 | 3,852 | — | 3,852 | — | ||||||||||
Net loans | 16,922,727 | 16,946,062 | — | — | 16,946,062 | ||||||||||
Financial liabilities: | |||||||||||||||
Deposits, other than time deposits | $ | 10,777,306 | 10,777,306 | 10,777,306 | — | — | |||||||||
Time deposits | 3,424,081 | 3,427,225 | — | 3,427,225 | — | ||||||||||
Borrowed funds | 3,527,630 | 3,585,648 | — | 3,585,648 | — |
December 31, 2015 | |||||||||||||||
Carrying | Estimated Fair Value | ||||||||||||||
value | Total | Level 1 | Level 2 | Level 3 | |||||||||||
(In thousands) | |||||||||||||||
Financial assets: | |||||||||||||||
Cash and cash equivalents | $ | 148,904 | 148,904 | 148,904 | — | — | |||||||||
Securities available-for-sale | 1,304,697 | 1,304,697 | 6,495 | 1,298,202 | — | ||||||||||
Securities held-to-maturity | 1,844,223 | 1,888,686 | — | 1,810,869 | 77,817 | ||||||||||
Stock in FHLB | 178,437 | 178,437 | 178,437 | — | — | ||||||||||
Loans held for sale | 7,431 | 7,431 | — | 7,431 | — | ||||||||||
Net loans | 16,661,133 | 16,650,529 | — | — | 16,650,529 | ||||||||||
Financial liabilities: | |||||||||||||||
Deposits, other than time deposits | $ | 10,647,346 | 10,647,346 | 10,647,346 | — | — | |||||||||
Time deposits | 3,416,310 | 3,414,528 | — | 3,414,528 | — | ||||||||||
Borrowed funds | 3,263,090 | 3,277,983 | — | 3,277,983 | — |
ITEM 2. | MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS |
March 31, 2016 | December 31, 2015 | September 30, 2015 | June 30, 2015 | March 31, 2015 | |||||||||||||||||||||||||
# of Loans | Amount | # of Loans | Amount | # of Loans | Amount | # of Loans | Amount | # of Loans | Amount | ||||||||||||||||||||
(dollars in millions) | |||||||||||||||||||||||||||||
Multi-family | 3 | $ | 2.9 | 4 | $ | 3.5 | 4 | $ | 3.0 | 6 | $ | 4.1 | 5 | $ | 3.9 | ||||||||||||||
Commercial real estate | 35 | 10.3 | 37 | 10.8 | 40 | 13.8 | 36 | 12.9 | 35 | 11.6 | |||||||||||||||||||
Commercial and industrial | 10 | 5.6 | 17 | 9.2 | 9 | 6.5 | 7 | 2.2 | 8 | 2.3 | |||||||||||||||||||
Construction | 3 | 0.5 | 4 | 0.8 | 5 | 1.0 | 3 | 0.9 | 7 | 4.3 | |||||||||||||||||||
Total commercial loans | 51 | 19.3 | 62 | 24.3 | 58 | 24.3 | 52 | 20.1 | 55 | 22.1 | |||||||||||||||||||
Residential and consumer | 488 | 85.9 | 500 | 91.1 | 506 | 99.8 | 422 | 86.6 | 423 | 88.0 | |||||||||||||||||||
Total non-accrual loans | 539 | $ | 105.2 | 562 | $ | 115.4 | 564 | $ | 124.1 | 474 | $ | 106.7 | 478 | $ | 110.1 | ||||||||||||||
Accruing troubled debt restructured loans | 30 | $ | 10.7 | 39 | $ | 22.5 | 38 | $ | 25.2 | 48 | $ | 29.6 | 50 | $ | 31.5 | ||||||||||||||
Non-accrual loans to total loans | 0.61 | % | 0.68 | % | 0.76 | % | 0.68 | % | 0.70 | % | |||||||||||||||||||
Allowance for loan loss as a percent of non-accrual loans | 205.83 | % | 189.30 | % | 175.97 | % | 200.51 | % | 189.02 | % | |||||||||||||||||||
Allowance for loan loss as a percent of total loans | 1.26 | % | 1.29 | % | 1.33 | % | 1.36 | % | 1.33 | % |
March 31, 2016 | December 31, 2015 | ||||||||||||
Allowance for Loan Losses | Percent of Loans in Each Category to Total Loans | Allowance for Loan Losses | Percent of Loans in Each Category to Total Loans | ||||||||||
(Dollars in thousands) | |||||||||||||
End of period allocated to: | |||||||||||||
Multi-family loans | $ | 90,602 | 38.02 | % | $ | 88,223 | 37.04 | % | |||||
Commercial real estate loans | 48,850 | 22.73 | % | 46,999 | 22.67 | % | |||||||
Commercial and industrial loans | 39,204 | 6.13 | % | 40,585 | 6.18 | % | |||||||
Construction loans | 5,619 | 1.39 | % | 6,794 | 1.34 | % | |||||||
Residential mortgage loans | 28,624 | 28.74 | % | 31,443 | 29.83 | % | |||||||
Consumer and other loans | 2,607 | 2.99 | % | 3,155 | 2.94 | % | |||||||
Unallocated | 1,107 | — | 1,306 | — | |||||||||
Total allowance | $ | 216,613 | 100.00 | % | $ | 218,505 | 100.00 | % |
Three Months Ended March 31, | ||||||||||||||||||||||
2016 | 2015 | |||||||||||||||||||||
Average Outstanding Balance | Interest Earned/ Paid | Average Yield/ Rate | Average Outstanding Balance | Interest Earned/ Paid | Average Yield/ Rate | |||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||
Interest-bearing deposits | $ | 157,877 | $ | 104 | 0.26 | % | $ | 188,307 | $ | 29 | 0.06 | % | ||||||||||
Securities available-for-sale | 1,291,137 | 6,080 | 1.88 | % | 1,196,842 | 5,343 | 1.79 | % | ||||||||||||||
Securities held-to-maturity | 1,877,548 | 11,031 | 2.35 | % | 1,571,551 | 9,101 | 2.32 | % | ||||||||||||||
Net loans | 16,769,132 | 172,832 | 4.12 | % | 15,051,363 | 159,052 | 4.23 | % | ||||||||||||||
Stock in FHLB | 180,725 | 2,060 | 4.56 | % | 152,573 | 1,634 | 4.28 | % | ||||||||||||||
Total interest-earning assets | 20,276,419 | 192,107 | 3.79 | % | 18,160,636 | 175,159 | 3.86 | % | ||||||||||||||
Non-interest-earning assets | 776,029 | 764,992 | ||||||||||||||||||||
Total assets | $ | 21,052,448 | $ | 18,925,628 | ||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||
Savings deposits | $ | 2,119,189 | $ | 2,379 | 0.45 | % | $ | 2,367,705 | $ | 1,686 | 0.28 | % | ||||||||||
Interest-bearing checking | 3,000,051 | 3,135 | 0.42 | % | 2,733,989 | 2,434 | 0.36 | % | ||||||||||||||
Money market accounts | 3,826,756 | 5,449 | 0.57 | % | 3,434,604 | 6,143 | 0.72 | % | ||||||||||||||
Certificates of deposit | 3,393,174 | 9,762 | 1.15 | % | 2,496,351 | 5,756 | 0.92 | % | ||||||||||||||
Total interest-bearing deposits | 12,339,170 | 20,725 | 0.67 | % | 11,032,649 | 16,019 | 0.58 | % | ||||||||||||||
Borrowed funds | 3,314,563 | 16,819 | 2.03 | % | 2,794,676 | 14,699 | 2.10 | % | ||||||||||||||
Total interest-bearing liabilities | 15,653,733 | 37,544 | 0.96 | % | 13,827,325 | 30,718 | 0.89 | % | ||||||||||||||
Non-interest-bearing liabilities | 2,125,420 | 1,492,785 | ||||||||||||||||||||
Total liabilities | 17,779,153 | 15,320,110 | ||||||||||||||||||||
Stockholders’ equity | 3,273,295 | 3,605,518 | ||||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 21,052,448 | $ | 18,925,628 | ||||||||||||||||||
Net interest income | $ | 154,563 | $ | 144,441 | ||||||||||||||||||
Net interest rate spread(1) | 2.83 | % | 2.97 | % | ||||||||||||||||||
Net interest-earning assets(2) | $ | 4,622,686 | $ | 4,333,311 | ||||||||||||||||||
Net interest margin(3) | 3.05 | % | 3.18 | % | ||||||||||||||||||
Ratio of interest-earning assets to total interest-bearing liabilities | 1.30x | 1.31x |
(1) | Net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities. |
(2) | Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities. |
• | Established a new minimum Common equity tier 1 risk-based capital ratio (common equity tier 1 capital to total risk-weighted assets) of 4.5% and increased the minimum Tier 1 risk-based capital ratio from 4.0% to 6.0%, while maintaining the minimum Total risk-based capital ratio of 8.0% and the minimum Tier 1 leverage capital ratio of 4.0%. |
• | Revised the rules for calculating risk-weighted assets to enhance their risk sensitivity. |
• | Phased out trust preferred securities and cumulative perpetual preferred stock as Tier 1 capital. |
• | Added a requirement to maintain a minimum Conservation Buffer, composed of Common equity tier 1 capital, of 2.5% of risk-weighted assets, to be applied to the new Common equity tier 1 risk-based capital ratio, the Tier 1 risk-based capital ratio and the Total risk-based capital ratio, which means that banking organizations, on a fully phased in basis no later than January 1, 2019, must maintain a minimum Common equity tier 1 risk-based capital ratio of 7.0%, a minimum Tier 1 risk-based capital ratio of 8.5% and a minimum Total risk-based capital ratio of 10.5% or have restrictions imposed on capital distributions and discretionary cash bonus payments. |
• | Changed the definitions of capital categories for insured depository institutions for purposes of the Federal Deposit Insurance Corporation Improvement Act of 1991 prompt corrective action provisions. Under these revised definitions, to be considered well-capitalized, an insured depository institution must have a Tier 1 leverage capital ratio of at least 5.0%, a Common equity tier 1 risk-based capital ratio of at least 6.5%, a Tier 1 risk-based capital ratio of at least 8.0% and a Total risk-based capital ratio of at least 10.0%. |
March 31, 2016 | ||||||||||||||||||||
Actual | Minimum Capital Requirement | To be Well Capitalized under Prompt Corrective Action Provisions (1) | ||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Bank: | ||||||||||||||||||||
Tier 1 Leverage Ratio | $ | 2,607,334 | 12.37 | % | $ | 843,434 | 4.000 | % | $ | 1,054,292 | 5.00 | % | ||||||||
Common equity tier 1 risk-based | 2,607,334 | 15.78 | % | 846,579 | 5.125 | % | 1,073,711 | 6.50 | % | |||||||||||
Tier 1 Risk Based Capital | 2,607,334 | 15.78 | % | 1,094,359 | 6.625 | % | 1,321,490 | 8.00 | % | |||||||||||
Total Risk-Based Capital | 2,813,944 | 17.03 | % | 1,424,731 | 8.625 | % | 1,651,862 | 10.00 | % | |||||||||||
Company: | ||||||||||||||||||||
Tier 1 Leverage Ratio | $ | 3,151,003 | 14.94 | % | $ | 843,842 | 4.000 | % | n/a | n/a | ||||||||||
Common equity tier 1 risk-based | 3,151,003 | 19.07 | % | 846,986 | 5.125 | % | n/a | n/a | ||||||||||||
Tier 1 Risk Based Capital | 3,151,003 | 19.07 | % | 1,094,885 | 6.625 | % | n/a | n/a | ||||||||||||
Total Risk-Based Capital | 3,357,515 | 20.32 | % | 1,425,416 | 8.625 | % | n/a | n/a |
Contractual Obligations | Total | Less than One Year | One-Two Years | Two-Three Years | More than Three Years | |||||||||||
(In thousands) | ||||||||||||||||
Debt obligations (excluding capitalized leases) | $ | 3,527,630 | 740,000 | 1,086,938 | 1,269,728 | 430,964 | ||||||||||
Commitments to originate and purchase loans | $ | 782,900 | 782,900 | — | — | — | ||||||||||
Commitments to sell loans | $ | 25,000 | 25,000 | — | — | — |
ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK |
Net Portfolio Value (1) (2) | Net Interest Income (3) | ||||||||||||||||||||
Change in Interest Rates (basis points) | Estimated NPV | Estimated Increase (Decrease) | Estimated Net Interest Income | Estimated Increase (Decrease) | |||||||||||||||||
Amount | Percent | Amount | Percent | ||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
+ 200bp | $ | 3,746,462 | (333,478 | ) | (8.2 | )% | $ | 556,688 | (42,575 | ) | (7.1 | )% | |||||||||
0bp | $ | 4,079,940 | — | — | $ | 599,263 | — | — | |||||||||||||
-100bp | $ | 3,845,783 | (234,157 | ) | (5.7 | )% | $ | 603,159 | 3,896 | 0.65 | % |
(1) | Assumes an instantaneous and parallel shift in interest rates at all maturities. |
(2) | NPV is the discounted present value of expected cash flows from assets, liabilities and off-balance sheet contracts. |
(3) | Assumes a gradual change in interest rates over a one year period at all maturities. |
ITEM 4. | CONTROLS AND PROCEDURES |
ITEM 1. | LEGAL PROCEEDINGS |
ITEM 1A. | RISK FACTORS |
ITEM 2. | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS |
Period | Total Number of Shares Purchased (1) (2) | Average Price paid Per Share | As part of Publicly Announced Plans or Programs | Yet to be Purchased under the Plans or Programs (1) (2) | |||||||||
January 1, 2016 through January 31, 2016 | 3,700,000 | $ | 11.63 | $ | 43,015,715 | 17,414,351 | |||||||
February 1, 2016 through February 29, 2016 | 4,050,000 | 11.45 | 46,367,050 | 13,364,351 | |||||||||
March 1, 2016 through March 31, 2016 | 4,400,000 | 11.55 | 50,809,660 | 8,964,351 | |||||||||
Total | 12,150,000 | $ | 11.54 | $ | 140,192,425 | 8,964,351 |
ITEM 3. | DEFAULTS UPON SENIOR SECURITIES |
ITEM 4. | MINE SAFETY DISCLOSURES |
ITEM 5. | OTHER INFORMATION |
ITEM 6. | EXHIBITS |
2.1 | Agreement and Plan of Merger by and among Investors Bancorp, Inc., Investors Bank and The Bank of Princeton, dated May 3, 2016 (1) | ||
3.1 | Certificate of Incorporation of Investors Bancorp, Inc. (2) | ||
3.2 | Bylaws of Investors Bancorp, Inc. (2) | ||
10.1 | Amendment Number One to the Employment Agreement between Investors Bancorp, Inc. and Richard S. Spengler | ||
10.2 | Amendment Number One to the Employment Agreement between Investors Bancorp, Inc. and Paul Kalamaras | ||
10.3 | Amendment Number One Employment Agreement between Investors Bancorp, Inc. and Sean Burke | ||
31.1 | Certification of Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | ||
31.2 | Certification of Principal Financial and Accounting Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 | ||
32.1 | Certification of Principal Executive Officer and Principal Financial and Accounting Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 | ||
101 | 101.INS (1) XBRL Instance Document | ||
101.SCH (1) XBRL Taxonomy Extension Schema Document | |||
101.CAL (1) XBRL Taxonomy Extension Calculation Linkbase Document | |||
101.DEF (1) XBRL Taxonomy Extension Definition Linkbase Document | |||
101.LAB (1) XBRL Taxonomy Extension Labels Linkbase Document | |||
101.PRE (1) XBRL Taxonomy Presentation Linkbase Document | |||
(1) | Incorporated by reference to Investors Bancorp Inc. 8-K (Commission File no. 001-36441), originally filed with the Securities and Exchange Commission on May 4, 2016. |
(2) | Incorporated by reference to the Registration Statement on Form S-1 of Investors Bancorp, Inc. (Commission File no. 333-192966), originally filed with the Securities and Exchange Commission on December 20, 2013. |
INVESTORS BANCORP, INC. | ||||
Date: May 10, 2016 | By: | /s/ Kevin Cummings | ||
Kevin Cummings Chief Executive Officer and President (Principal Executive Officer) | ||||
By: | /s/ Sean Burke | |||
Sean Burke Senior Vice President and Chief Financial Officer (Principal Financial and Accounting Officer) |
1. | I have reviewed this Quarterly Report on Form 10-Q of Investors Bancorp, Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Dated: | May 10, 2016 | /s/ Kevin Cummings |
Kevin Cummings | ||
President and Chief Executive Officer | ||
(Principal Executive Officer) |
1. | I have reviewed this Quarterly Report on Form 10-Q of Investors Bancorp, Inc.; |
2. | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |
3. | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |
4. | The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |
a) | Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; |
b) | Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; |
c) | Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and |
d) | Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and |
5. | The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions): |
a) | All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and |
b) | Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting. |
Dated: | May 10, 2016 | /s/ Sean Burke |
Sean Burke | ||
Senior Vice President and Chief Financial Officer | ||
(Principal Financial and Accounting Officer) |
1. | the Report fully complies with the requirements of Sections 13(a) or 15(d) of the Securities Exchange Act of 1934; and |
2. | the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company. |
Dated: | May 10, 2016 | /s/ Kevin Cummings |
Kevin Cummings | ||
President and Chief Executive Officer | ||
(Principal Executive Officer) | ||
Dated: | May 10, 2016 | /s/ Sean Burke |
Sean Burke | ||
Senior Vice President and Chief Financial Officer | ||
(Principal Financial and Accounting Officer) |
Document And Entity Information - shares |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
May. 02, 2016 |
|
Document And Entity Information [Abstract] | ||
Entity Registrant Name | Investors Bancorp, Inc. | |
Entity Central Index Key | 0001594012 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2016 | |
Document Fiscal Year Focus | 2016 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 319,090,253 |
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Statement of Financial Position [Abstract] | ||
Estimated fair value | $ 1,954,346 | $ 1,888,686 |
Preferred stock, par value (usd per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 100,000,000 | 100,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value (usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 359,070,852 | 359,070,852 |
Common stock, shares outstanding | 323,385,503 | 334,894,181 |
Treasury stock, shares | 35,685,349 | 24,176,671 |
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Statement of Comprehensive Income [Abstract] | ||
Net income | $ 43,626 | $ 41,947 |
Other comprehensive income, net of tax: | ||
Change in funded status of retirement obligations | 317 | 208 |
Unrealized gain on securities available-for-sale | 10,002 | 5,093 |
Accretion of loss on securities reclassified to held to maturity | 284 | 379 |
Reclassification adjustment for security gains included in net income | (833) | 0 |
Other-than-temporary impairment accretion on debt securities | 191 | 196 |
Total other comprehensive income (loss) | 9,961 | 5,876 |
Total comprehensive income | $ 53,587 | $ 47,823 |
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands |
Total |
Common stock |
Additional paid-in capital |
Retained earnings |
Treasury stock |
Unallocated common stock held by ESOP |
Accumulated other comprehensive loss |
---|---|---|---|---|---|---|---|
Balance at Dec. 31, 2014 | $ 3,577,855 | $ 3,591 | $ 2,864,406 | $ 836,639 | $ (11,131) | $ (93,246) | $ (22,404) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 41,947 | 41,947 | |||||
Other comprehensive income, net of tax | 5,876 | 5,876 | |||||
Purchase of treasury stock | (34,709) | (34,709) | |||||
Compensation cost for stock options and restricted stock | 4 | 4 | |||||
Net tax benefit from stock-based compensation | 267 | 267 | |||||
Option exercise | 1,251 | 0 | (1,098) | 2,349 | |||
Cash dividend paid | (35,814) | (35,814) | |||||
ESOP shares allocated or committed to be released | 1,343 | 594 | 749 | ||||
Balance at Mar. 31, 2015 | 3,558,020 | 3,591 | 2,864,173 | 842,772 | (43,491) | (92,497) | (16,528) |
Balance at Dec. 31, 2015 | 3,311,647 | 3,591 | 2,785,503 | 936,040 | (295,412) | (90,250) | (27,825) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net income | 43,626 | 43,626 | |||||
Other comprehensive income, net of tax | 9,961 | 9,961 | |||||
Purchase of treasury stock | (140,192) | (140,192) | |||||
Purchase of treasury stock | 0 | (1,865) | (71) | 1,936 | |||
Compensation cost for stock options and restricted stock | 4,333 | 4,333 | |||||
Net tax benefit from stock-based compensation | 957 | 957 | |||||
Option exercise | 3,835 | 0 | (3,842) | 7,677 | |||
Cash dividend paid | (19,805) | (19,805) | |||||
ESOP shares allocated or committed to be released | 1,365 | 616 | 749 | ||||
Balance at Mar. 31, 2016 | $ 3,215,727 | $ 3,591 | $ 2,785,702 | $ 959,790 | $ (425,991) | $ (89,501) | $ (17,864) |
Consolidated Statements of Stockholders' Equity (Parenthetical) |
3 Months Ended |
---|---|
Mar. 31, 2016
$ / shares
shares
| |
Statement of Stockholders' Equity [Abstract] | |
Purchase of treasury stock (shares) | 12,150,000 |
Dividends paid per share (usd per share) | $ / shares | $ 0.06 |
Treasury stock allocated to restricted stock plan (shares) | 161,890 |
Basis of Presentation |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation Investors Bancorp, Inc. (the “Company”) is a Delaware corporation that was incorporated in December 2013 to be the successor to Investors Bancorp, Inc. (“Old Investors Bancorp”) upon completion of the mutual-to-stock conversion of Investors Bancorp, MHC, the top tier holding company of Old Investors Bancorp. Old Investors Bancorp was the former mid tier holding company for Investors Bank. Prior to completion of the second step conversion, approximately 62% of the shares of common stock of Old Investors Bancorp was owned by Investors Bancorp, MHC. In conjunction with the second step conversion, Investors Bancorp, MHC merged into Old Investors Bancorp (and ceased to exist), and Old Investors Bancorp merged into the Company and the Company became its successor under the name Investors Bancorp, Inc. The second step conversion was completed May 7, 2014. The Company raised net proceeds of $2.15 billion by selling a total of 219,580,695 shares of common stock at $10.00 per share in the second step stock offering and issued 1,000,000 shares of common stock to the Investors Charitable Foundation. Concurrent with the completion of the stock offering, each share of Old Investors Bancorp common stock owned by public stockholders (stockholders other than Investors Bancorp, MHC) was exchanged for 2.55 shares of Company common stock. As such, all share information prior to May 7, 2014 has been adjusted to reflect the ratio. A total of 137,560,968 shares of Company common stock were issued in the exchange. The conversion was accounted for as a capital raising transaction by entities under common control. The historical financial results of Investors Bancorp, MHC were immaterial to the results of the Company and therefore upon completion of the conversion, the net assets of Investors Bancorp, MHC were merged into the Company and are reflected as an increase to stockholders' equity. In addition, the second step conversion resulted in the accelerated vesting of all outstanding stock awards as of the conversion date. The withholding of shares for payment of taxes with respect to these awards resulted in treasury stock of 1,101,694 shares. In the opinion of management, all the adjustments (consisting of normal and recurring adjustments) necessary for the fair presentation of the consolidated financial condition and the consolidated results of operations for the unaudited periods presented have been included. The results of operations and other data presented for the three months ended March 31, 2016 are not necessarily indicative of the results of operations that may be expected for subsequent periods or the full year results. Certain information and note disclosures usually included in financial statements prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for the preparation of the Form 10-Q. The consolidated financial statements presented should be read in conjunction with the Company’s audited consolidated financial statements and notes to the audited consolidated financial statements included in the Company’s December 31, 2015 Annual Report on Form 10-K. Certain reclassifications have been made to prior year amounts to conform to current year presentation. |
Stock Transactions |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Equity [Abstract] | |
Stock Transactions | Stock Transactions Stock Repurchase Programs In connection with the second step conversion completed on May 7, 2014, the existing stock repurchase plan was terminated. Under applicable federal regulations, the Company was not permitted to implement a stock repurchase program during the first year following completion of the second-step conversion without prior notice to, and the receipt of a non-objection from the Federal Reserve Board. On March 16, 2015, the Company announced it had received approval from the Board of Governors of the Federal Reserve System to commence a 5% buyback program prior to the one-year anniversary of the completion of its second step conversion. Accordingly, the Board of Directors authorized the repurchase of 17,911,561 shares. On June 9, 2015, the Company announced its second share repurchase program, which authorized the purchase of an additional 10% of its publicly-held outstanding shares of common stock, or 34,779,211 shares. The second repurchase program commenced immediately upon completion of the first repurchase plan on June 30, 2015. During the three months ended March 31, 2016, the Company purchased 12,150,000 shares at a cost of $140.2 million, or approximately $11.54 per share. |
Earnings Per Share |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share | Earnings Per Share The following is a summary of our earnings per share calculations and reconciliation of basic to diluted earnings per share.
(1) For the three months ended March 31, 2016 and 2015, there were 11,667,654 and 28,203 equity awards, respectively, that could potentially dilute basic earnings per share in the future that were not included in the computation of diluted earnings per share because to do so would have been anti-dilutive for the periods presented. |
Securities |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities | Securities The following tables present the carrying value, gross unrealized gains and losses and estimated fair value for available-for-sale securities and the amortized cost, net unrealized losses, gross unrecognized gains and losses and estimated fair value for held-to-maturity securities as of the dates indicated:
(1) Net unrealized losses of held-to-maturity corporate and other debt securities represent the other than temporary charge related to other non-credit factors and is being amortized through accumulated other comprehensive income over the remaining life of the securities. For mortgage-backed securities, it represents the net loss on previously designated available-for sale securities transferred to held-to-maturity at fair value and is being amortized through accumulated other comprehensive income over the remaining life of the securities. (2) Unrecognized gains and losses of held-to-maturity securities are not reflected in the financial statements, as they represent fair value fluctuations from the later of: (i) the date a security is designated as held-to-maturity; or (ii) the date that an other than temporary impairment charge is recognized on a held-to-maturity security, through the date of the balance sheet.
(1) Net unrealized losses of held-to-maturity corporate and other debt securities represent the other than temporary charge related to other non-credit factors and is being amortized through accumulated other comprehensive income over the remaining life of the securities. For mortgage-backed securities, it represents the net loss on previously designated available-for sale securities transferred to held-to-maturity at fair value and is being amortized through accumulated other comprehensive income over the remaining life of the securities. (2) Unrecognized gains and losses of held-to-maturity securities are not reflected in the financial statements, as they represent fair value fluctuations from the later of: (i) the date a security is designated as held-to-maturity; or (ii) the date that an other than temporary impairment charge is recognized on a held-to-maturity security, through the date of the balance sheet. A portion of the Company’s securities are pledged to secure borrowings. The contractual maturities of mortgage-backed securities are generally less than 20 years with effective lives expected to be shorter due to anticipated prepayments. Expected maturities may differ from contractual maturities due to prepayment or early call privileges of the issuer, therefore, mortgage-backed securities are not included in the following table. The amortized cost and estimated fair value of debt securities at March 31, 2016, by contractual maturity, are shown below.
Gross unrealized losses on securities and the estimated fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at March 31, 2016 and December 31, 2015, was as follows:
At March 31, 2016, gross unrealized losses relate to our mortgage-backed-security portfolio which is comprised of securities issued by U.S. Government Sponsored Enterprises. The fair values of these securities have been positively impacted by the recent decrease in intermediate-term market interest rates. At March 31, 2016, corporate and other debt securities include a portfolio of collateralized debt obligations backed by pooled trust preferred securities ("TruPS"), principally issued by banks and to a lesser extent insurance companies, real estate investment trusts, and collateralized debt obligations. At March 31, 2016 the TruPS had a amortized cost and estimated fair value of $36.2 million and $72.3 million, respectively. While all were investment grade at purchase, securities classified as non-investment grade at March 31, 2016 had an amortized cost and estimated fair value of $34.3 million and $65.8 million, respectively. Fair value is derived from considering specific assumptions, including terms of the TruPS structure, events of deferrals, defaults and liquidations, the projected cashflow for principal and interest payments, and discounted cash flow modeling. Other-Than-Temporary Impairment (“OTTI”) We conduct a quarterly review and evaluation of the securities portfolio to determine if the value of any security has declined below its cost or amortized cost, and whether such decline is other-than-temporary. If a determination is made that a debt security is other-than-temporarily impaired, the Company will estimate the amount of the unrealized loss that is attributable to credit and all other non-credit related factors. The credit related component will be recognized as an other-than-temporary impairment charge in non-interest income. The non-credit related component will be recorded as an adjustment to accumulated other comprehensive income, net of tax. With the assistance of a valuation specialist, we evaluate the credit and performance of each underlying issuer of our trust preferred securities by deriving probabilities and assumptions for default, recovery and prepayment/amortization for the expected cash flows for each security. At March 31, 2016 and 2015, management deemed that the present value of projected cash flows for each security was greater than the book value and did not recognize any additional OTTI charges for the periods ended March 31, 2016 and 2015. At March 31, 2016, non-credit related OTTI recorded on the previously impaired pooled trust preferred securities was $22.9 million ($13.6 million after-tax) and is being accreted into income over the estimated remaining life of the securities. The following table presents the changes in the credit loss component of the impairment loss of debt securities that the Company has written down for such loss as an other-than-temporary impairment recognized in earnings.
The credit loss component of the impairment loss represents the difference between the present value of expected future cash flows and the amortized cost basis of the securities prior to considering credit losses. The beginning balance represents the credit loss component for debt securities for which other-than-temporary impairment occurred prior to the period presented. If other-than-temporary impairment is recognized in earnings for credit impaired debt securities, they would be presented as additions in two components based upon whether the current period is the first time a debt security was credit impaired (initial credit impairment) or is not the first time a debt security was credit impaired (subsequent credit impairments). The credit loss component is reduced if the Company sells, intends to sell or believes it will be required to sell previously credit impaired debt securities. Additionally, the credit loss component is reduced if (i) the Company receives cash flows in excess of what it expected to receive over the remaining life of the credit impaired debt security, (ii) the security matures or (iii) the security is fully written down. Realized Gains and Losses Gains and losses on the sale of all securities are determined using the specific identification method. For the three months ended March 31, 2016, the Company received sale proceeds of $33.1 million on a pool of mortgage-backed securities from the available-for-sale portfolio resulting in a gross realized gain of $1.4 million. For the three months ended March 31, 2016, there were no sales of securities from held-to-maturity portfolio. For the three months ended March 31, 2015, the Company recognized gains on available-for-sale securities of $42,000 which were related to capital distributions of equity securities from the available-for-sale portfolio. For the three months ended March 31, 2015, there were no sales of securities from held-to-maturity portfolio. |
Loans Receivable, Net |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans Receivable, Net | Loans Receivable, Net The detail of the loan portfolio as of March 31, 2016 and December 31, 2015 was as follows:
(1) Included in unamortized premiums and deferred loan costs are accretable purchase accounting adjustments in connection with loans acquired. Purchased Credit-Impaired Loans Purchased Credit-Impaired ("PCI") loans, are loans acquired at a discount that is due, in part, to credit quality. PCI loans are accounted for in accordance with ASC Subtopic 310-30 and are initially recorded at fair value as determined by the present value of expected future cash flows with no valuation allowance reflected in the allowance for loan losses. The following table presents changes in the accretable yield for PCI loans during the three months ended March 31, 2016 and 2015:
An analysis of the allowance for loan losses is summarized as follows:
The allowance for loan losses is the estimated amount considered necessary to cover credit losses inherent in the loan portfolio at the balance sheet date. The allowance is established through the provision for loan losses that is charged against income. In determining the allowance for loan losses, we make significant estimates and therefore, have identified the allowance as a critical accounting policy. The methodology for determining the allowance for loan losses is considered a critical accounting policy by management because of the high degree of judgment involved, the subjectivity of the assumptions used, and the potential for changes in the economic environment that could result in changes to the amount of the recorded allowance for loan losses. The allowance for loan losses has been determined in accordance with U.S. GAAP, under which we are required to maintain an allowance for probable losses at the balance sheet date. We are responsible for the timely and periodic determination of the amount of the allowance required. We believe that our allowance for loan losses is adequate to cover specifically identifiable losses, as well as estimated losses inherent in our portfolio for which certain losses are probable but not specifically identifiable. Loans acquired are marked to fair value on the date of acquisition with no valuation allowance reflected in the allowance for loan losses. In conjunction with the quarterly evaluation of the adequacy of the allowance for loan loss, the Company performs an analysis on acquired loans to determine whether or not there has been subsequent deterioration in relation to those loans. If deterioration has occurred, the Company will include these loans in their calculation of the allowance for loan loss. For the three months ended March 31, 2016, the Company recorded charge-offs related to PCI loans acquired of $20,000. Management performs a quarterly evaluation of the adequacy of the allowance for loan losses. The analysis of the allowance for loan losses has two components: specific and general allocations. Specific allocations are made for loans determined to be impaired. A loan is deemed to be impaired if it is a commercial loan with an outstanding balance greater than $1.0 million and on non-accrual status, loans modified in a troubled debt restructuring (“TDR”), and other commercial loans greater than $1.0 million if management has specific information that it is probable they will not collect all amounts due under the contractual terms of the loan agreement. Impairment is measured by determining the present value of expected future cash flows or, for collateral-dependent loans, the fair value of the collateral adjusted for market conditions and selling expenses. The general allocation is determined by segregating the remaining loans, including those loans not meeting the Company’s definition of an impaired loan, by type of loan, risk rating (if applicable) and payment history. In addition, the Company's residential portfolio is subdivided between fixed and adjustable rate loans as adjustable rate loans are deemed to be subject to more credit risk if interest rates rise. The loss factors used are based on the Company's historical loss experience over a look-back period determined to provide the appropriate amount of data to accurately estimate expected losses as of period end. Additionally, management assesses the loss emergence period for the expected losses of each loan segment and adjusts each historical loss factor accordingly. The loss emergence period is the estimated time from the date of a loss event (such as a personal bankruptcy) to the actual recognition of the loss (typically via the first full or partial loan charge-off), and is determined based upon a study of the Company's past loss experience by loan segment. The loss factors may also be adjusted to account for qualitative or environmental factors that are likely to cause estimated credit losses inherent in the portfolio to differ from historical loss experience. This evaluation is based on among other things, loan and delinquency trends, general economic conditions, geographic concentrations, lending policies and procedures and industry and peer comparisons, but is inherently subjective as it requires material estimates that may be susceptible to significant revisions based upon changes in economic and real estate market conditions. Actual loan losses may be different than the allowance for loan losses we have established which could have a material negative effect on our financial results. On a quarterly basis, management reviews the current status of various loan assets in order to evaluate the adequacy of the allowance for loan losses. In this evaluation process, specific loans are analyzed to determine their potential risk of loss. Loans determined to be impaired are evaluated for potential loss exposure. Any shortfall results in a recommendation of a charge-off or specific allowance or charge-off if the likelihood of loss is evaluated as probable. To determine the adequacy of collateral on a particular loan, an estimate of the fair value of the collateral is based on the most current appraised value available for real property or a discounted cash flow analysis on a business. This appraised value for real property is then reduced to reflect estimated liquidation expenses. The allowance contains reserves identified as unallocated. These reserves reflect management's attempt to ensure that the overall allowance reflects a margin for imprecision and the uncertainty that is inherent in estimates of probable credit losses. Our primary lending emphasis has been the origination of commercial real estate loans, multi-family loans, commercial and industrial loans and the origination and purchase of residential mortgage loans. We also originate home equity loans and home equity lines of credit. These activities resulted in a concentration of loans secured by real estate property and businesses located in New Jersey and New York. Based on the composition of our loan portfolio, we believe the primary risks are increases in interest rates, a decline in the general economy, and declines in real estate market values in New Jersey, New York and surrounding states. Any one or combination of these events may adversely affect our loan portfolio resulting in increased delinquencies, loan losses and future levels of loan loss provisions. As a substantial amount of our loan portfolio is collateralized by real estate, appraisals of the underlying value of property securing loans are critical in determining the amount of the allowance required for specific loans. Assumptions for appraisal valuations are instrumental in determining the value of properties. Negative changes to appraisal assumptions could significantly impact the valuation of a property securing a loan and the related allowance determined. The assumptions supporting such appraisals are carefully reviewed to determine that the resulting values reasonably reflect amounts realizable on the related loans. For commercial real estate, multi-family and construction loans, the Company obtains an appraisal for all collateral dependent loans upon origination. An updated appraisal is obtained annually for loans rated substandard or worse with a balance of $500,000 or greater. An updated appraisal is obtained bi-annually for loans rated special mention with a balance of $2.0 million or greater. This is done in order to determine the specific reserve or charge off needed. As part of the allowance for loan loss process, the Company reviews each collateral dependent commercial real estate loan classified as non-accrual and/or impaired and assesses whether there has been an adverse change in the collateral value supporting the loan. The Company utilizes information from its commercial lending officers and its credit department and loan workout department’s knowledge of changes in real estate conditions in our lending area to identify if possible deterioration of collateral value has occurred. Based on the severity of the changes in market conditions, management determines if an updated appraisal is warranted or if downward adjustments to the previous appraisal are warranted. If it is determined that the deterioration of the collateral value is significant enough to warrant ordering a new appraisal, an estimate of the downward adjustments to the existing appraised value is used in assessing if additional specific reserves are necessary until the updated appraisal is received. For homogeneous residential mortgage loans, the Company’s policy is to obtain an appraisal upon the origination of the loan and an updated appraisal in the event a loan becomes 90 days delinquent. Thereafter, the appraisal is updated every two years if the loan remains in non-performing status and the foreclosure process has not been completed. Management adjusts the appraised value of residential loans to reflect estimated selling costs and declines in the real estate market. Management believes the potential risk for outdated appraisals for impaired and other non-performing loans has been mitigated due to the fact that the loans are individually assessed to determine that the loan’s carrying value is not in excess of the fair value of the collateral. Loans are generally charged off after an analysis is completed which indicates that collectability of the full principal balance is in doubt. Our allowance for loan losses reflects probable losses considering, among other things, the economic conditions, the actual growth and change in composition of our loan portfolio, the level of our non-performing loans and our charge-off experience. We believe the allowance for loan losses reflects the inherent credit risk in our portfolio. Although we believe we have established and maintained the allowance for loan losses at adequate levels, additions may be necessary if the current economic environment deteriorates. Management uses the best information available; however, the level of the allowance for loan losses remains an estimate that is subject to significant judgment and short-term change. In addition, the Federal Deposit Insurance Corporation and the New Jersey Department of Banking and Insurance, as an integral part of their examination process, will periodically review our allowance for loan losses. Such agencies may require us to recognize adjustments to the allowance based on their judgments about information available to them at the time of their examination. The following tables present the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of March 31, 2016 and December 31, 2015:
The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information and current economic trends, among other factors. For non-homogeneous loans, such as commercial and commercial real estate loans the Company analyzes the loans individually by classifying the loans as to credit risk and assesses the probability of collection for each type of class. This analysis is performed on a quarterly basis. The Company uses the following definitions for risk ratings: Pass - “Pass” assets are well protected by the current net worth and paying capacity of the obligor (or guarantors, if any) or by the fair value, less cost to acquire and sell, of any underlying collateral in a timely manner. Watch - A "Watch" asset has all the characteristics of a Pass asset but warrant more than the normal level of supervision. These loans may require more detailed reporting to management because some aspects of underwriting may not conform to policy or adverse events may have affected or could affect the cash flow or ability to continue operating profitably, provided, however, the events do not constitute an undue credit risk. Residential loans delinquent 30-59 days are considered watch. Special Mention - A “Special Mention” asset has potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the asset or in the institution’s credit position at some future date. Special Mention assets are not adversely classified and do not expose an institution to sufficient risk to warrant adverse classification. Residential loans delinquent 60-89 days are considered special mention. Substandard - A “Substandard” asset is inadequately protected by the current worth and paying capacity of the obligor or by the collateral pledged, if any. Assets so classified must have a well-defined weakness, or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Residential loans delinquent 90 days or greater are considered substandard. Doubtful - An asset classified “Doubtful” has all the weaknesses inherent in one classified substandard with the added characteristic that the weaknesses make collection or liquidation in full highly questionable and improbable on the basis of currently known facts, conditions, and values. Loss - An asset or portion thereof, classified “Loss” is considered uncollectible and of such little value that its continuance on the institution’s books as an asset, without establishment of a specific valuation allowance or charge-off, is not warranted. This classification does not necessarily mean that an asset has no recovery or salvage value; but rather, there is much doubt about whether, how much, or when the recovery will occur. As such, it is not practical or desirable to defer the write-off. The following tables present the risk category of loans as of March 31, 2016 and December 31, 2015 by class of loans excluding PCI loans:
The following tables present the payment status of the recorded investment in past due loans as of March 31, 2016 and December 31, 2015 by class of loans excluding PCI loans:
The following table presents non-accrual loans excluding PCI loans at the dates indicated:
Included in the non-accrual table above are TDR loans whose payment status is current but the Company has classified as non-accrual as the loans have not maintained their current payment status for six consecutive months under the restructured terms and therefore do not meet the criteria for accrual status. As of March 31, 2016 and December 31, 2015, these loans are comprised of the following:
The following table presents TDR loans which were also 30-89 days delinquent and classified as non-accrual at the dates indicated:
The Company has no loans past due 90 days or more delinquent that are still accruing interest. PCI loans are excluded from non-accrual loans, as they are recorded at fair value based on the present value of expected future cash flows. As of March 31, 2016, PCI loans with a carrying value of $11.3 million included $7.9 million of which were current, $1.4 million of which were 30-89 days delinquent and $2.0 million of which were 90 days or more delinquent. As of December 31, 2015, PCI loans with a carrying value of $11.1 million included $9.0 million of which were current and $2.1 million of which were 90 days or more delinquent. At March 31, 2016 and December 31, 2015, loans meeting the Company’s definition of an impaired loan were primarily collateral dependent loans which totaled $40.9 million and $57.0 million, respectively, with allocations of the allowance for loan losses of $1.4 million and $4.2 million for the periods ending March 31, 2016 and December 31, 2015, respectively. During the three months ended March 31, 2016 and 2015, interest income received and recognized on these loans totaled $393,000 and $667,000, respectively. The following tables present loans individually evaluated for impairment by portfolio segment as of March 31, 2016 and December 31, 2015:
The average recorded investment is the annual average calculated based upon the ending quarterly balances. The interest income recognized is the year to date interest income recognized on a cash basis. Troubled Debt Restructurings On a case-by-case basis, the Company may agree to modify the contractual terms of a borrower’s loan to remain competitive and assist customers who may be experiencing financial difficulty, as well as preserve the Company’s position in the loan. If the borrower is experiencing financial difficulties and a concession has been made at the time of such modification, the loan is classified as a troubled debt restructured loan ("TDR"). Substantially all of our troubled debt restructured loan modifications involve lowering the monthly payments on such loans through either a reduction in interest rate below a market rate, an extension of the term of the loan, or a combination of these two methods. These modifications rarely result in the forgiveness of principal or accrued interest. In addition, we frequently obtain additional collateral or guarantor support when modifying commercial loans. Restructured loans remain on non-accrual status until there has been a sustained period of repayment performance (generally six consecutive months of payments) and both principal and interest are deemed collectible. The following table presents the total troubled debt restructured loans at March 31, 2016 and December 31, 2015. There were two residential PCI loans that were classified as TDRs and are included in the table below at March 31, 2016. There were three residential PCI loans that were classified as TDRs for the period ended December 31, 2015.
The following table presents information about troubled debt restructurings that occurred during the three months ended March 31, 2016 and 2015:
Post-modification recorded investment represents the net book balance immediately following modification. All TDRs are impaired loans, which are individually evaluated for impairment, as discussed above. Collateral dependent impaired loans classified as TDRs were written down to the estimated fair value of the collateral. There were no charge-offs for collateral dependant TDRs during the three months ended March 31, 2016 and 2015. The allowance for loan losses associated with the TDRs presented in the above tables totaled $1.4 million and $1.8 million at March 31, 2016 and December 31, 2015, respectively. Residential mortgage loan modifications primarily involved the reduction in loan interest rate and extension of loan maturity dates. All residential loans deemed to be TDRs were modified to reflect a reduction in interest rates to current market rates. Several residential TDRs include step up interest rates in their modified terms which will impact their weighted average yield in the future. Commercial loan modifications which qualified as a TDR comprised of terms of maturity being extended and reduction in interest rates to current market terms. For the three months ended March 31, 2016, commercial loans which qualified as a TDR involved the maturity and payment terms being modified. As of March 31, 2016 and 2015, the Company has no additional fundings to any borrowers classified as a troubled debt restructuring. The following table presents information about pre and post modification interest yield for troubled debt restructurings which occurred during the three months ended March 31, 2016 and 2015:
Payment defaults for loans modified as TDR in the previous 12 months to March 31, 2016 consisted of 4 residential loans, 3 commercial real estate loans and 1 construction loan with a recorded investment of $880,000, $246,000 and $132,000, respectively, at March 31, 2016. Payment defaults for loans modified as TDRs in the previous 12 months to March 31, 2015 consisted of 2 residential loans with a recorded investment of $1.1 million at March 31, 2015. |
Deposits |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deposits | Deposits Deposits are summarized as follows:
|
Goodwill and Intangible Assets |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets | Goodwill and Other Intangible Assets The following table summarizes net intangible assets and goodwill at March 31, 2016 and December 31, 2015:
The following table summarizes other intangible assets as of March 31, 2016 and December 31, 2015:
Mortgage servicing rights are accounted for using the amortization method. Under this method, the Company amortizes the loan servicing asset in proportion to, and over the period of, estimated net servicing revenues. The Company sells loans on a servicing-retained basis. Loans that were sold on this basis, amounted to $2.08 billion and $2.12 billion at March 31, 2016 and December 31, 2015 respectively, all of which relate to residential mortgage loans. At March 31, 2016 and December 31, 2015, the servicing asset, included in intangible assets, had an estimated fair value of $15.8 million and $16.2 million, respectively. For the three months ended March 31, 2016, fair value was based on expected future cash flows considering a weighted average discount rate of 10.20%, a weighted average constant prepayment rate on mortgages of 12.24% and a weighted average life of 6.2 years. Core deposit premiums are amortized using an accelerated method and having a weighted average amortization period of 10 years. |
Equity Incentive Plan |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity Incentive Plan | Equity Incentive Plan At the annual meeting held on June 9, 2015, stockholders of the Company approved the Investors Bancorp, Inc. 2015 Equity Incentive Plan ("2015 Plan") which provides for the issuance or delivery of up to 30,881,296 shares (13,234,841 restricted stock awards and 17,646,455 stock options) of Investors Bancorp, Inc. common stock. Restricted shares granted under the 2015 Plan vest in equal installments, over the service period generally ranging from 5 to 7 years beginning one year from the date of grant. Additionally, certain restricted shares awarded are performance vesting awards, which may or may not vest depending upon the attainment of certain corporate financial targets. The vesting of restricted stock may accelerate in accordance with the terms of the 2015 Plan. The product of the number of shares granted and the grant date closing market price of the Company's common stock determine the fair value of restricted shares under the 2015 Plan. Management recognizes compensation expense for the fair value of restricted shares on a straight-line basis over the requisite service period. For the three months ended March 31, 2016, the Company granted 161,890 shares of restricted stock awards under the 2015 Plan. Stock options granted under the 2015 Plan vest in equal installments, over the service period generally ranging from 5 to 7 years beginning one year from the date of grant. The vesting of stock options may accelerate in accordance with the terms of the 2015 Plan. Stock options were granted at an exercise price equal to the fair value of the Company's common stock on the grant date based on the closing market price and have an expiration period of 10 years. For the three months ended March 31, 2016, the Company granted 90,000 stock options under the 2015 Plan. The fair value of stock options granted as part of the 2015 Plan was estimated utilizing the Black-Scholes option pricing model using the following assumptions for the period presented below. Note that there were no grants for the three months ended March 31, 2015.
The weighted average expected life of the stock option represents the period of time that stock options are expected to be outstanding and is estimated using historical data of stock option exercises and forfeitures. The risk-free interest rate is based on the U.S. Treasury yield curve in effect at the time of grant. The expected volatility is based on the historical volatility of the Company's stock. The Company recognizes compensation expense for the fair values of these awards, which have graded vesting, on a straight-line basis over the requisite service period of the awards. The Company applied ASC 718 “Compensation- Stock Compensation," ("ASC 718") and began to expense the fair value of all share-based compensation granted over the requisite service periods. ASC 718 requires the Company to report as a financing cash flow the benefits of realized tax deductions in excess of previously recognized tax benefits on compensation expense. In accordance with SEC Staff Accounting Bulletin No. 107 (“SAB 107”), the Company classified share-based compensation for employees and outside directors within “compensation and fringe benefits” in the consolidated statements of income to correspond with the same line item as the cash compensation paid. The following table presents the share based compensation expense for the three months ended March 31, 2016 and 2015:
The following is a summary of the Company’s stock option activity and related information for its option plan for the three months ended March 31, 2016:
Expected future expense relating to the non-vested options outstanding as of March 31, 2016 is $31.6 million over a weighted average period of 5.5 years. The following is a summary of the status of the Company’s restricted shares as of March 31, 2016 and changes therein during the three months ended:
Expected future expense relating to the non-vested restricted shares outstanding as of March 31, 2016 is $76.4 million over a weighted average period of 5.4 years. |
Net Periodic Benefit Plan Expense |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net Periodic Benefit Plan Expense | Net Periodic Benefit Plan Expense The Company has an Executive Supplemental Retirement Wage Replacement Plan ("Wage Replacement Plan") and the Supplemental ESOP and Retirement Plan ("Supplemental ESOP") (collectively, the "SERPs"). The Wage Replacement Plan is a nonqualified, defined benefit plan which provides benefits to certain executives as designated by the Compensation Committee of the Board of Directors. More specifically, the Wage Replacement Plan is designed to provide participants with a normal retirement benefit equal to an annual benefit of 60% of the participant's highest annual base salary and cash inventive (over a consecutive 36-month period within the last 120 consecutive calendar months of employment) reduced by the sum of the benefits provided under the Pentagra DB Plan and the annualized value of their benefits payable under the defined benefit portion of the Supplemental ESOP. The Supplemental ESOP compensates certain executives (as designated by the Compensation Committee of the Board of Directors) participating in the Pentegra DB Plan and the ESOP whose contributions are limited by the Internal Revenue Code. The Company also maintains the Amended and Restated Director Retirement Plan ("Directors' plan") for certain directors, which is a nonqualified, defined benefit plan. This plan was frozen on November 21, 2006 such that no new benefits accrued under, and no new directors were eligible to participate in the plan. The Wage Replacement Plan, Supplemental ESOP and the Directors’ plan are unfunded and the costs of the plans are recognized over the period that services are provided. The components of net periodic benefit cost are as follows:
Due to the unfunded nature of these plans, no contributions have been made or were expected to be made to the SERPs and Directors’ plan during the three months ended March 31, 2016. The Company also maintains a defined benefit pension plan. Since it is a multiemployer plan, costs of the pension plan are based on contributions required to be made to the pension plan. There was no contribution to the defined benefit pension plan during the three months ended March 31, 2016. We anticipate contributing funds to the plan to meet any minimum funding requirements for the remainder of 2016. |
Comprehensive Income |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive Income | Comprehensive Income The components of comprehensive income, both gross and net of tax, are as follows:
The following table presents the after-tax changes in the balances of each component of accumulated other comprehensive loss for the three months ended March 31, 2016 and 2015:
The following table presents information about amounts reclassified from accumulated other comprehensive loss to the consolidated statement of income and the affected line item in the statement where net income is presented.
(1) These accumulated other comprehensive loss components are included in the computations of net periodic cost for our defined benefit plans and other post-retirement benefit plan. See Note 9 for additional details. |
Fair Value Measurements |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements We use fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. Our securities available-for-sale are recorded at fair value on a recurring basis. Additionally, from time to time, we may be required to record at fair value other assets or liabilities on a non-recurring basis, such as held-to-maturity securities, mortgage servicing rights (“MSR”), loans receivable and real estate owned (“REO”). These non-recurring fair value adjustments involve the application of lower-of-cost-or-market accounting or write-downs of individual assets. Additionally, in connection with our mortgage banking activities we have commitments to fund loans held-for-sale and commitments to sell loans, which are considered free-standing derivative instruments, the fair values of which are not material to our financial condition or results of operations. In accordance with Financial Accounting Standards Board ("FASB") ASC 820, “Fair Value Measurements and Disclosures”, we group our assets and liabilities at fair value in three levels, based on the markets in which the assets are traded and the reliability of the assumptions used to determine fair value. These levels are:
We base our fair values on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. ASC 820 requires us to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Assets Measured at Fair Value on a Recurring Basis Securities available-for-sale Our available-for-sale portfolio is carried at estimated fair value on a recurring basis, with any unrealized gains and losses, net of taxes, reported as accumulated other comprehensive income/loss in stockholders’ equity. The fair values of available-for-sale securities are based on quoted market prices (Level 1), where available. The Company obtains one price for each security primarily from a third-party pricing service (pricing service), which generally uses quoted or other observable inputs for the determination of fair value. The pricing service normally derives the security prices through recently reported trades for identical or similar securities, making adjustments through the reporting date based upon available observable market information. For securities not actively traded (Level 2), the pricing service may use quoted market prices of comparable instruments or discounted cash flow analyses, incorporating inputs that are currently observable in the markets for similar securities. Inputs that are often used in the valuation methodologies include, but are not limited to, benchmark yields, credit spreads, default rates, prepayment speeds and non-binding broker quotes. As the Company is responsible for the determination of fair value, it performs quarterly analyses on the prices received from the pricing service to determine whether the prices are reasonable estimates of fair value. Specifically, the Company compares the prices received from the pricing service to a secondary pricing source. Additionally, the Company compares changes in the reported market values and returns to relevant market indices to test the reasonableness of the reported prices. The Company’s internal price verification procedures and review of fair value methodology documentation provided by independent pricing services has not historically resulted in adjustment in the prices obtained from the pricing service. The following tables provide the level of valuation assumptions used to determine the carrying value of our assets measured at fair value on a recurring basis at March 31, 2016 and December 31, 2015.
There have been no changes in the methodologies used at March 31, 2016 from December 31, 2015, and there were no transfers between Level 1 and Level 2 during the three months ended March 31, 2016. Assets Measured at Fair Value on a Non-Recurring Basis Mortgage Servicing Rights, Net Mortgage servicing rights are carried at the lower of cost or estimated fair value. The estimated fair value of MSR is obtained through independent third party valuations through an analysis of future cash flows, incorporating estimates of assumptions market participants would use in determining fair value including market discount rates, prepayment speeds, servicing income, servicing costs, default rates and other market driven data, including the market’s perception of future interest rate movements. The prepayment speed and the discount rate are considered two of the most significant inputs in the model. At March 31, 2016, the fair value model used prepayment speeds ranging from 1.71% to 26.28% and a discount rate of 10.20% for the valuation of the mortgage servicing rights. At December 31, 2015, the fair value model used prepayment speeds ranging from 6.30% to 26.28% and a discount rate of 10.20% for the valuation of the mortgage servicing rights. A significant degree of judgment is involved in valuing the mortgage servicing rights using Level 3 inputs. The use of different assumptions could have a significant positive or negative effect on the fair value estimate. Loans Receivable Loans which meet certain criteria are evaluated individually for impairment. A loan is deemed to be impaired if it is a commercial loan with an outstanding balance greater than $1.0 million and on non-accrual status, loans modified in a troubled debt restructuring, and other commercial loans with $1.0 million in outstanding principal if management has specific information that it is probable they will not collect all amounts due under the contractual terms of the loan agreement. Our impaired loans are generally collateral dependent and, as such, are carried at the estimated fair value of the collateral less estimated selling costs. In order to estimate fair value, once interest or principal payments are 90 days delinquent or when the timely collection of such income is considered doubtful an updated appraisal is obtained. Thereafter, in the event the most recent appraisal does not reflect the current market conditions due to the passage of time and other factors, management will obtain an updated appraisal or make downward adjustments to the existing appraised value based on their knowledge of the property, local real estate market conditions, recent real estate transactions, and for estimated selling costs, if applicable. At March 31, 2016, appraisals were discounted in a range of 0%-25%. Other Real Estate Owned Other Real Estate Owned is recorded at estimated fair value, less estimated selling costs when acquired, thus establishing a new cost basis. Fair value is generally based on independent appraisals. These appraisals include adjustments to comparable assets based on the appraisers’ market knowledge and experience, and are discounted an additional 0%-25% for estimated costs to sell. When an asset is acquired, the excess of the loan balance over fair value, less estimated selling costs, is charged to the allowance for loan losses. If the estimated fair value of the asset declines, a writedown is recorded through expense. The valuation of foreclosed assets is subjective in nature and may be adjusted in the future because of changes in economic conditions. Operating costs after acquisition are generally expensed. The following tables provides the level of valuation assumptions used to determine the carrying value of our assets measured at fair value on a non-recurring basis at March 31, 2016 and December 31, 2015. For the three months ended March 31, 2016 there was no change to mortgage servicing rights measured at fair value on a non-recurring basis. For the year ended December 31, 2015, there was no change to carrying value of impaired loans or mortgage servicing rights measured at fair value on a non-recurring basis.
Other Fair Value Disclosures Fair value estimates, methods and assumptions for the Company’s financial instruments not recorded at fair value on a recurring or non-recurring basis are set forth below. Cash and Cash Equivalents For cash and due from banks, the carrying amount approximates fair value. Securities Held-to-Maturity Our held-to-maturity portfolio, consisting primarily of mortgage backed securities and other debt securities for which we have a positive intent and ability to hold to maturity, is carried at amortized cost. Management utilizes various inputs to determine the fair value of the portfolio. The Company obtains one price for each security primarily from a third-party pricing service, which generally uses quoted or other observable inputs for the determination of fair value. The pricing service normally derives the security prices through recently reported trades for identical or similar securities, making adjustments through the reporting date based upon available observable market information. For securities not actively traded, the pricing service may use quoted market prices of comparable instruments or discounted cash flow analyses, incorporating inputs that are currently observable in the markets for similar securities. Inputs that are often used in the valuation methodologies include, but are not limited to, benchmark yields, credit spreads, default rates, prepayment speeds and non-binding broker quotes. In the absence of quoted prices and in an illiquid market, valuation techniques, which require inputs that are both significant to the fair value measurement and unobservable, are used to determine fair value of the investment. Valuation techniques are based on various assumptions, including, but not limited to cash flows, discount rates, rate of return, adjustments for nonperformance and liquidity, and liquidation values. As the Company is responsible for the determination of fair value, it performs quarterly analyses on the prices received from the pricing service to determine whether the prices are reasonable estimates of fair value. Specifically, the Company compares the prices received from the pricing service to a secondary pricing source. Additionally, the Company compares changes in the reported market values and returns to relevant market indices to test the reasonableness of the reported prices. The Company’s internal price verification procedures and review of fair value methodology documentation provided by independent pricing services has not historically resulted in adjustment in the prices obtained from the pricing service. FHLB Stock The fair value of the Federal Home Loan Bank of New York ("FHLB") stock is its carrying value, since this is the amount for which it could be redeemed. There is no active market for this stock and the Bank is required to hold a minimum investment based upon the unpaid principal of home mortgage loans and/or FHLB advances outstanding. Loans held for sale The fair value of loans held for sale is its carrying value, since this is the amount for which the Company intends to sell it for. The fair value is determined based on quoted prices for similar instruments in active markets. Loans Fair values are estimated for portfolios of loans with similar financial characteristics. Loans are segregated by type such as residential mortgage and consumer. Each loan category is further segmented into fixed and adjustable rate interest terms and by performing and non-performing categories. The fair value of performing loans, except residential mortgage loans, is calculated by discounting scheduled cash flows through the estimated maturity using estimated market discount rates that reflect the credit and interest rate risk inherent in the loan. For performing residential mortgage loans, fair value is estimated by discounting contractual cash flows adjusted for prepayment estimates using discount rates based on secondary market sources adjusted to reflect differences in servicing and credit costs, if applicable. Fair value for significant non-performing loans is based on recent external appraisals of collateral securing such loans, adjusted for the timing of anticipated cash flows. Fair values estimated in this manner do not fully incorporate an exit price approach to fair value, but instead are based on a comparison to current market rates for comparable loans. Deposit Liabilities The fair value of deposits with no stated maturity, such as savings, checking accounts and money market accounts, is equal to the amount payable on demand. The fair value of certificates of deposit is based on the discounted value of contractual cash flows. The discount rate is estimated using the rates which approximate currently offered for deposits of similar remaining maturities. Borrowings The fair value of borrowings are based on securities dealers’ estimated fair values, when available, or estimated using discounted contractual cash flows using rates which approximate the rates offered for borrowings of similar remaining maturities. Commitments to Extend Credit The fair value of commitments to extend credit is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For commitments to originate fixed rate loans, fair value also considers the difference between current levels of interest rates and the committed rates. Due to the short-term nature of our outstanding commitments, the fair values of these commitments are immaterial to our financial condition. The carrying values and estimated fair values of the Company’s financial instruments are presented in the following table.
Limitations Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. Because no market exists for a significant portion of the Company’s financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Fair value estimates are based on existing on- and off-balance-sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Significant assets that are not considered financial assets include deferred tax assets, premises and equipment and bank owned life insurance. Liabilities for pension and other postretirement benefits are not considered financial liabilities. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. |
Recent Accounting Pronouncements |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In March 2016, the FASB issued ASU 2016-09, "Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting", a new standard that changes the accounting for certain aspects of share-based payments to employees. The new guidance requires excess tax benefits and tax deficiencies to be recorded in the income statement when the awards vest or are settled. In addition, cash flows related to excess tax benefits will no longer be separately classified as a financing activity apart from other income tax cash flows. The standard also allows entities to repurchase more of an employee’s shares for tax withholding purposes without triggering liability accounting, clarifies that all cash payments made on an employee’s behalf for withheld shares should be presented as a financing activity on our cash flows statement, and provides an accounting policy election to account for forfeitures as they occur. The new standard is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Early adoption is permitted in any interim or annual period. The Company is currently assessing the impact that the guidance will have on its financial condition and results of operations. In February 2016, the FASB issued ASU 2016-02, "Leases (Topic 842)," which requires all lessees to recognize a lease liability and a right-of-use asset, measured at the present value of the future minimum lease payments, at the lease commencement date. Lessor accounting remains largely unchanged under the new guidance. The guidance is effective for fiscal years beginning after December 15, 2018, including interim reporting periods within that reporting period, with early adoption permitted. A modified retrospective approach must be applied for leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements. The Company is currently assessing the impact that the guidance will have on its financial condition and results of operations. In January 2016, the FASB issued ASU 2016-01, “Financial Instruments- Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” This amendment supersedes the guidance to classify equity securities with readily determinable fair values into different categories, requires equity securities to be measured at fair value with changes in the fair value recognized through net income, and simplifies the impairment assessment of equity investments without readily determinable fair values. The amendment requires public business entities that are required to disclose the fair value of financial instruments measured at amortized cost on the balance sheet to measure that fair value using the exit price notion. The amendment requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option. The amendment requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheet or in the accompanying notes to the financial statements. The amendment reduces diversity in current practice by clarifying that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available for sale securities in combination with the entity’s other deferred tax assets. This amendment is effective for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. Entities should apply the amendment by means of a cumulative-effect adjustment as of the beginning of the fiscal year of adoption, with the exception of the amendment related to equity securities without readily determinable fair values, which should be applied prospectively to equity investments that exist as of the date of adoption. The Company intends to adopt the accounting standard during the first quarter of 2018, as required, and is currently evaluating the impact on its results of operations, financial position, and liquidity. In September 2015, the FASB issued ASU 2015-16, “Business Combinations- Simplifying the Accounting for Measurement-Period Adjustments." Under the new rules, acquirers no longer have to retrospectively adjust provisional amounts included in acquisition-date financial statements, when final facts and circumstances are not known on the acquisition date, and later become known in the measurement period. Instead, adjustments that are made in a later period are to be reported in that period. However, acquirers must disclose the amount of adjustments to current period income relating to amounts that would have been recognized in previous periods if the adjustments were recognized as of the acquisition date. For public business entities, the guidance in the ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. This guidance did not have a material impact to the Company's consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs.” The ASU changes the presentation of debt issuance costs in financial statements. Under the ASU, an entity presents such costs in the balance sheet as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs is reported as interest expense. According to the ASU’s Basis for Conclusions, debt issuance costs incurred before the associated funding is received should be reported on the balance sheet as deferred charges until that debt liability amount is recorded. For public business entities, the guidance in the ASU is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2015. This guidance did not have a material impact to the Company's consolidated financial statements. In April 2015, the FASB issued ASU 2015-04, "Practical Expedient for the Measurement Date of an Employer's Defined Benefit Obligation and Plan Assets." The ASU gives an employer whose fiscal year-end does not coincide with a calendar month-end the ability, as a practical expedient, to measure defined benefit retirement obligations and related plan assets as of the month-end that is closest to its fiscal year-end. The ASU also provides guidance on accounting for contributions to the plan and significant events that require a remeasurement that occur during the period between a month-end measurement date and the employer’s fiscal year-end. An entity should reflect the effects of those contributions or significant events in the measurement of the retirement benefit obligations and related plan assets. The ASU is effective for public business entities for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. This guidance did not have a material impact to the Company's consolidated financial statements. In May 2014, the FASB issued ASU 2014-09, "Revenue from Contracts with Customers." The objective of this amendment is to clarify the principles for recognizing revenue and to develop a common revenue standard for U.S. GAAP and IFRS. This update affects any entity that either enters into contracts with customers to transfer goods or services or enters into contracts for the transfer of nonfinancial assets unless those contracts are in the scope of other standards. In April 2015, the FASB issued a proposed ASU to defer for one year the effective date of the new revenue standard. The original effective date was for annual reporting periods beginning after December 15, 2016. The Company does not anticipate a material impact to the consolidated financial statements related to this guidance. |
Subsequent Events |
3 Months Ended |
---|---|
Mar. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events As defined in FASB ASC 855, "Subsequent Events", subsequent events are events or transactions that occur after the balance sheet date but before financial statements are issued or available to be issued. Financial statements are considered issued when they are widely distributed to stockholders and other financial statement users for general use and reliance in a form and format that complies with GAAP. On April 28, 2016, the Company announced its third share repurchase program, which authorized the purchase of an additional 10% of its publicly-held outstanding shares of common stock, or approximately 31 million shares. The new repurchase program commenced immediately upon completion of the second repurchase plan on June 30, 2016. In addition, the Company declared a cash dividend of $0.06 per share. The $0.06 dividend per share will be paid to stockholders on May 25, 2016, with a record date of May 10, 2016. On May 3, 2016, the Company announced the signing of a definitive merger agreement with The Bank of Princeton. Under the terms of the merger agreement, 60% of the common shares of Princeton Bank will be converted into Investors Bancorp common stock and the remaining 40% will be exchanged for cash. The Bank of Princeton shareholders will have the option to receive either 2.633 shares of Investors Bancorp common stock or $30.75 in cash for each share of The Bank of Princeton, subject to proration to ensure that, in the aggregate, 60% of The Bank of Princeton's shares will be converted into Investors Bancorp common stock. As of March 31, 2016, The Bank of Princeton had assets of $1.0 billion, loans of $842 million and deposits of $820 million and operated 10 branches in New Jersey and 3 in the Philadelphia market. The merger agreement has been approved by the boards of directors of each company. Required approvals to complete this transaction include The Bank of Princeton shareholder approval, regulatory approvals, the effectiveness of the registration statement to be filed by Investors Bancorp with respect to the stock exchanged to be issued in the transaction and other customary closing conditions. The Merger is expected to be completed in the fourth quarter of 2016. As the merger has not been completed, the transaction is not reflected in the balance sheet or results of operation for the periods presented in this document. |
Earnings Per Share (Tables) |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary Of Calculations And Reconciliation Of Basic To Diluted Earnings Per Share | The following is a summary of our earnings per share calculations and reconciliation of basic to diluted earnings per share.
(1) For the three months ended March 31, 2016 and 2015, there were 11,667,654 and 28,203 equity awards, respectively, that could potentially dilute basic earnings per share in the future that were not included in the computation of diluted earnings per share because to do so would have been anti-dilutive for the periods presented. |
Securities (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of securities | The following tables present the carrying value, gross unrealized gains and losses and estimated fair value for available-for-sale securities and the amortized cost, net unrealized losses, gross unrecognized gains and losses and estimated fair value for held-to-maturity securities as of the dates indicated:
(1) Net unrealized losses of held-to-maturity corporate and other debt securities represent the other than temporary charge related to other non-credit factors and is being amortized through accumulated other comprehensive income over the remaining life of the securities. For mortgage-backed securities, it represents the net loss on previously designated available-for sale securities transferred to held-to-maturity at fair value and is being amortized through accumulated other comprehensive income over the remaining life of the securities. (2) Unrecognized gains and losses of held-to-maturity securities are not reflected in the financial statements, as they represent fair value fluctuations from the later of: (i) the date a security is designated as held-to-maturity; or (ii) the date that an other than temporary impairment charge is recognized on a held-to-maturity security, through the date of the balance sheet.
(1) Net unrealized losses of held-to-maturity corporate and other debt securities represent the other than temporary charge related to other non-credit factors and is being amortized through accumulated other comprehensive income over the remaining life of the securities. For mortgage-backed securities, it represents the net loss on previously designated available-for sale securities transferred to held-to-maturity at fair value and is being amortized through accumulated other comprehensive income over the remaining life of the securities. (2) Unrecognized gains and losses of held-to-maturity securities are not reflected in the financial statements, as they represent fair value fluctuations from the later of: (i) the date a security is designated as held-to-maturity; or (ii) the date that an other than temporary impairment charge is recognized on a held-to-maturity security, through the date of the balance sheet. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investments Classified by Contractual Maturity Date | The amortized cost and estimated fair value of debt securities at March 31, 2016, by contractual maturity, are shown below.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment Securities, Continuous Unrealized Loss Position and Fair Value | Gross unrealized losses on securities and the estimated fair value of the related securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at March 31, 2016 and December 31, 2015, was as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in Credit Loss Component of the Impairment Loss of Debt Securities for Other-than-Temporary Impairment Recognized in Earnings | The following table presents the changes in the credit loss component of the impairment loss of debt securities that the Company has written down for such loss as an other-than-temporary impairment recognized in earnings.
|
Loans Receivable, Net (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Receivables [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Accounts, Notes, Loans and Financing Receivable | The detail of the loan portfolio as of March 31, 2016 and December 31, 2015 was as follows:
(1) Included in unamortized premiums and deferred loan costs are accretable purchase accounting adjustments in connection with loans acquired. |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Accretable Yield Movement | The following table presents changes in the accretable yield for PCI loans during the three months ended March 31, 2016 and 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Analysis of the Allowance for Loan Losses | An analysis of the allowance for loan losses is summarized as follows:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Loan Losses and the Recorded Investment in Loans by Portfolio Segment and Based On Impairment Method | The following tables present the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of March 31, 2016 and December 31, 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Risk Category of Loans by Class of Loans | The following tables present the risk category of loans as of March 31, 2016 and December 31, 2015 by class of loans excluding PCI loans:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payment Status of the Recorded Investment in Past Due Loans | The following tables present the payment status of the recorded investment in past due loans as of March 31, 2016 and December 31, 2015 by class of loans excluding PCI loans:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-Accrual Loans Status | The following table presents non-accrual loans excluding PCI loans at the dates indicated:
Included in the non-accrual table above are TDR loans whose payment status is current but the Company has classified as non-accrual as the loans have not maintained their current payment status for six consecutive months under the restructured terms and therefore do not meet the criteria for accrual status. As of March 31, 2016 and December 31, 2015, these loans are comprised of the following:
The following table presents TDR loans which were also 30-89 days delinquent and classified as non-accrual at the dates indicated:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans Individually Evaluated for Impairment by Class of Loans | The following tables present loans individually evaluated for impairment by portfolio segment as of March 31, 2016 and December 31, 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Troubled Debt Restructured Loans | The following table presents the total troubled debt restructured loans at March 31, 2016 and December 31, 2015. There were two residential PCI loans that were classified as TDRs and are included in the table below at March 31, 2016. There were three residential PCI loans that were classified as TDRs for the period ended December 31, 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Troubled Debt Restructurings | The following table presents information about troubled debt restructurings that occurred during the three months ended March 31, 2016 and 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Troubled Debt Restructuring, Interest Yield | The following table presents information about pre and post modification interest yield for troubled debt restructurings which occurred during the three months ended March 31, 2016 and 2015:
|
Deposits (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Banking and Thrift [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Deposits | Deposits are summarized as follows:
|
Goodwill and Intangible Assets (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Intangible Assets and Goodwill | The following table summarizes net intangible assets and goodwill at March 31, 2016 and December 31, 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Intangible Assets | The following table summarizes other intangible assets as of March 31, 2016 and December 31, 2015:
|
Equity Incentive Plan (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The fair value of stock options granted as part of the 2015 Plan was estimated utilizing the Black-Scholes option pricing model using the following assumptions for the period presented below. Note that there were no grants for the three months ended March 31, 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Compensation Cost for Share-based Payment Arrangements, Allocation of Share-based Compensation Costs by Plan | The following table presents the share based compensation expense for the three months ended March 31, 2016 and 2015:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Share-based Compensation, Stock Options, Activity | The following is a summary of the Company’s stock option activity and related information for its option plan for the three months ended March 31, 2016:
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Nonvested Restricted Stock Units Activity | The following is a summary of the status of the Company’s restricted shares as of March 31, 2016 and changes therein during the three months ended:
|
Net Periodic Benefit Plan Expense (Tables) |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components Of Net Periodic Benefit Cost | The components of net periodic benefit cost are as follows:
|
Comprehensive Income (Tables) |
3 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Equity [Abstract] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Components of Comprehensive Income (Loss), Gross and Net Of Tax | The components of comprehensive income, both gross and net of tax, are as follows:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Component of Accumulated Other Comprehensive Loss | The following table presents the after-tax changes in the balances of each component of accumulated other comprehensive loss for the three months ended March 31, 2016 and 2015:
The following table presents information about amounts reclassified from accumulated other comprehensive loss to the consolidated statement of income and the affected line item in the statement where net income is presented.
(1) These accumulated other comprehensive loss components are included in the computations of net periodic cost for our defined benefit plans and other post-retirement benefit plan. See Note 9 for additional details. |
Fair Value Measurements (Tables) |
3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Mar. 31, 2016 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value, Assets Measured on Recurring Basis | The following tables provide the level of valuation assumptions used to determine the carrying value of our assets measured at fair value on a recurring basis at March 31, 2016 and December 31, 2015.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Carrying Value Of Our Assets Measured At Fair Value On A Non-Recurring Basis | The following tables provides the level of valuation assumptions used to determine the carrying value of our assets measured at fair value on a non-recurring basis at March 31, 2016 and December 31, 2015. For the three months ended March 31, 2016 there was no change to mortgage servicing rights measured at fair value on a non-recurring basis. For the year ended December 31, 2015, there was no change to carrying value of impaired loans or mortgage servicing rights measured at fair value on a non-recurring basis.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Carrying Amounts And Estimated Fair Values | The carrying values and estimated fair values of the Company’s financial instruments are presented in the following table.
|
Stock Transactions Stock Transactions (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | |||
---|---|---|---|---|
Jun. 09, 2015 |
Mar. 16, 2015 |
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Equity [Abstract] | ||||
Percentage of shares to be repurchased (percentage) | 10.00% | 5.00% | ||
Number of shares authorized to be repurchased (shares) | 34,779,211 | 17,911,561 | ||
Purchase of treasury stock (shares) | 12,150,000 | 2,950,000 | ||
Stock repurchased during period, value | $ 140,192 | $ 34,709 | ||
Stock repurchase cost, per share (usd per share) | $ 11.54 |
Earnings Per Share (Summary of Calculations and Reconciliation of Basic to Diluted Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Earnings Per Share Reconciliation [Abstract] | ||
Net income | $ 43,626 | $ 41,947 |
Income available to common stockholders, Basic | $ 43,626 | $ 41,947 |
Income available to common stockholders, Basic (shares) | 309,166,680 | 344,237,371 |
Basic and Diluted earnings per share (usd per share) | $ 0.14 | $ 0.12 |
Effect of dilutive common stock equivalents, Basic (shares) | 2,987,576 | 3,233,586 |
Income available to common stockholders, Diluted | $ 43,626 | $ 41,947 |
Income available to common stockholders, Diluted (shares) | 312,154,256 | 347,470,957 |
Diluted earnings per common share (usd per share) | $ 0.14 | $ 0.12 |
Equity awards | ||
Earnings Per Share Reconciliation [Abstract] | ||
Securities excluded from computation of diluted earnings per share | 11,667,654 | 28,203 |
Securities (Narrative) (Details) - USD ($) $ in Thousands |
3 Months Ended | ||
---|---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
Dec. 31, 2015 |
|
Investment [Line Items] | |||
Carrying value of held to maturity security | $ 1,887,000 | $ 1,844,223 | |
Estimated fair value | 1,954,346 | $ 1,888,686 | |
Non credit-related OTTI | 22,900 | ||
Non credit-related OTTI, after-tax | $ 13,600 | ||
Gross realized gain from sale of Available-for-sale securities | $ 42 | ||
Corporate and other debt securities | |||
Investment [Line Items] | |||
Debt maturities, term (years) | 20 years | ||
Carrying value of held to maturity security | $ 34,300 | ||
Estimated fair value | 65,800 | ||
TruP Security | |||
Investment [Line Items] | |||
Sale proceeds | 33,100 | ||
Gross realized gain from sale of Available-for-sale securities | $ 1,400 |
Securities (Amortized Cost and Estimated Fair Value of Debt Securities by Contractual Maturity) (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Schedule of Held-to-maturity Securities [Line Items] | ||
Carrying value | $ 1,887,000 | $ 1,844,223 |
Total, Estimated fair value | 1,954,346 | $ 1,888,686 |
Debt Securities Other than Securities Pledged | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Due in one year or less | 32,943 | |
Due after one year through five years | 3,331 | |
Due after five years through ten years | 0 | |
Due after ten years | 41,024 | |
Carrying value | 77,298 | |
Due in one year or less, Estimated fair value | 32,943 | |
Due after one year through five years, Estimated fair value | 3,360 | |
Due after five years through ten years, Estimated fair value | 0 | |
Due after ten years, Estimated fair value | 78,474 | |
Total, Estimated fair value | $ 114,777 |
Securities (Changes in Credit Loss Component of the Impairment Loss of Debt Securities for Other-than-Temporary Impairment Recognized in Earnings) (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Investments, Debt and Equity Securities [Abstract] | ||
Balance of credit related OTTI, beginning of period | $ 100,200 | $ 108,817 |
Initial credit impairments | 0 | 0 |
Subsequent credit impairments | 0 | 0 |
Accretion of credit loss impairment due to an increase in expected cash flows | (1,112) | (973) |
Balance of credit related OTTI, end of period | $ 99,088 | $ 107,844 |
Loans Receivable, Net (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
Mar. 31, 2015 |
Dec. 31, 2014 |
---|---|---|---|---|
Receivables [Abstract] | ||||
Multi-family loans | $ 6,521,998 | $ 6,255,904 | ||
Commercial real estate loans | 3,890,839 | 3,821,950 | ||
Commercial and industrial loans | 1,052,139 | 1,044,329 | ||
Construction loans | 237,334 | 224,057 | ||
Total commercial loans | 11,702,310 | 11,346,240 | ||
Residential mortgage loans | 4,927,653 | 5,037,898 | ||
Consumer and other loans | 511,893 | 496,103 | ||
Total loans excluding PCI loans | 17,141,856 | 16,880,241 | ||
PCI loans | 11,329 | 11,089 | ||
Net unamortized premiums and deferred loan costs | (13,845) | (11,692) | ||
Allowance for loan losses | (216,613) | (218,505) | $ (208,181) | $ (200,284) |
Net loans | $ 16,922,727 | $ 16,661,133 |
Loans Receivable, Net (Purchased Credit Impaired Loans) (Details) - PCI Loans - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Accretable Yeild [Roll Forward] | ||
Balance, beginning of period | $ 449 | $ 971 |
Acquisitions | 0 | 0 |
Accretion | (67) | (116) |
Net reclassification from non-accretable difference | 1,221 | 0 |
Balance, ending of period | $ 1,603 | $ 855 |
Loans Receivable, Net (Summary of Analysis of the Allowance for Loan Losses) (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Allowance for Loan and Lease Losses [Roll Forward] | ||
Balance at beginning of the period | $ 218,505 | $ 200,284 |
Loans charged off | (7,977) | (1,899) |
Recoveries | 1,085 | 796 |
Net charge-offs | (6,892) | (1,103) |
Provision for loan losses | 5,000 | 9,000 |
Balance at end of the period | $ 216,613 | $ 208,181 |
Deposits (Summary of Deposits) (Details) - USD ($) $ in Thousands |
Mar. 31, 2016 |
Dec. 31, 2015 |
---|---|---|
Banking and Thrift [Abstract] | ||
Checking accounts | $ 4,857,958 | $ 4,636,025 |
Money market deposits | 3,837,226 | 3,861,317 |
Savings | 2,082,122 | 2,150,004 |
Total transaction accounts | 10,777,306 | 10,647,346 |
Certificates of deposit | 3,424,081 | 3,416,310 |
Total deposits | $ 14,201,387 | $ 14,063,656 |
Goodwill and Intangible Assets Narrative (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Dec. 31, 2015 |
|
Finite-Lived Intangible Assets [Line Items] | ||
Goodwill | $ 77,571 | $ 77,571 |
Loans sold | 2,080,000 | 2,120,000 |
Estimated fair value of servicing asset in intangible assets | $ 15,800 | $ 16,200 |
Weighted average discount rate of servicing assets | 10.20% | |
Weighted average constant prepayment rate on mortgages | 12.24% | |
Weighted average life of servicing assets, years | 6 years 2 months 5 days | |
Core deposit premiums | ||
Finite-Lived Intangible Assets [Line Items] | ||
Useful life | 10 years |
Equity Incentive Plan (Assumptions) (Details) |
3 Months Ended |
---|---|
Mar. 31, 2016
$ / shares
| |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Weighted average expected life (in years) | 6 years 6 months |
Risk-free rate of return (percentage) | 1.90% |
Volatility (percentage) | 24.06% |
Dividend yield (percentage) | 1.80% |
Weighted average fair value of options granted (usd per share) | $ 2.93 |
(Shares-based compensation expense) (Details) - USD ($) $ in Thousands |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Stock option expense | $ 1,380 | $ 4 |
Restricted stock expense | 2,953 | 0 |
Total share based compensation expense | $ 4,333 | $ 4 |
Equity Incentive Plan (Restricted Stock) (Details) - Restricted Stock |
3 Months Ended |
---|---|
Mar. 31, 2016
$ / shares
shares
| |
Number of Shares Awarded | |
Beginning balance (shares) | shares | 6,759,832 |
Granted (shares) | shares | 161,890 |
Vested (shares) | shares | 0 |
Forfeited (shares) | shares | 0 |
Ending balance (shares) | shares | 6,921,722.000 |
Weighted Average Exercise Price | |
Beginning balance (usd per share) | $ / shares | $ 12.64 |
Granted (usd per share) | $ / shares | 11.53 |
Vested (usd per share) | $ / shares | 0.00 |
Forfeited (usd per share) | $ / shares | 0.00 |
Ending balance (usd per share) | $ / shares | $ 12.52 |
Net Periodic Benefit Plan Expense (Details) - USD ($) |
3 Months Ended | |
---|---|---|
Mar. 31, 2016 |
Mar. 31, 2015 |
|
Compensation and Retirement Disclosure [Abstract] | ||
Service cost | $ 894,000 | $ 774,000 |
Interest cost | 474,000 | 374,000 |
Prior service cost | 0 | 12,000 |
Net gain | 536,000 | 321,000 |
Total net periodic benefit cost | 1,904,000 | $ 1,481,000 |
Contribution and pension cost | $ 0 |
"(
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MH>QD!'O[BY$?+#JO54<1P=[^BC-2,W=I[/\5Q#\!4$L#!!0 ( *V%JDA#
MPK- 5P4 %<5 / >&PO=V]R:V)O;VLN>&ULE9A;;]LX$$;_"J&G%-BN
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M"^\Q),"RM!V-A[DFCZVAX[)G8?9"&1-&QF5WY=6O+N!.;Y[$D:"+">/B DO9^A:A<^A#9UZ1,3
M2@PZE&N?8EP\L,"4A*Y"P$EQ]*0<=)TEF5)TH5=#7%S2;T9'@22TU-Q!Z@JA
MPI> D@9-]0(@_5 70X>AP&(X:AUS!RGG'3(E#%W\10!&3 90G H
M)#>L#ID>H.-H; Y21XBYF
M0#"?)]"8@9"<:EN*$6SE#'=#@X(9;6(W!$3(3FF*A *"+$-G)1/BAQ#2M$Q2
MSO')CD $FS_#G=!827YBFPOCWB=SU"10K87;),,=T1!'!$%]Q7 O,WZVYKGS
MF"#1?%P9"Z.#XWI]'6UX/\<*IDJ'DQ!',_2JP$,>#JK#E/EC3@U NH
M8E&WZ':?D.
M4$L#!!0 ( *V%JDAK13U!H0$ +$# 9 >&PO=V]R:W-H965TQT6:](*7\8M.LMO.[F_&[C[N[F^YKOUYMVX^[V?[K
M9M/L_EFVZ^[U=J[G;U]\6CT]]XF*I2X7S=5!FH"%2<$A$(W605&E.JIZGRQ/H)+@Q
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MH2*2PEDI?!:I-ME2T4S0%\(Z#K/!1: T8J7P65YP0B8E)