Loans Receivable (Tables)

6 Months Ended

Dec. 31, 2020

The following table sets forth the composition of the Company’s loan portfolio at December 31, 2020 and June 30, 2020:

	December 31,			June 30,
	2020			2020
	(In Thousands)
Commercial loans:
Multi-family mortgage	$	2,076,483		$	2,059,568
Nonresidential mortgage		1,123,695			960,853
Commercial business ⁽¹⁾		202,010			138,788
Construction		90,398			20,961
Total commercial loans		3,492,586			3,180,170

One- to four-family residential mortgage		1,305,351			1,273,022

Consumer loans:
Home equity loans		65,298			82,920
Other consumer		4,123			3,991
Total consumer loans		69,421			86,911

Total loans		4,867,358			4,540,103

Unaccreted yield adjustments		(38,724	)		(41,706	)

Total loans receivable, net of yield adjustments	$	4,828,634		$	4,498,397

(1)	Includes Paycheck Protection Program (“PPP”) loans of $39.2 million and $69.0 million as of December 31, 2020 and June 30, 2020, respectively. The balance of PPP loans at December 31, 2020 includes loans acquired in conjunction with the Company’s acquisition of MSB on July 10, 2020.

Contractual Payment Status of Past Loans Receivable

The following tables present the payment status of past due loans as of December 31, 2020 and June 30, 2020, by loan segment:

	December 31, 2020
	Multi-Family Mortgage		Non- Residential Mortgage		Commercial Business		Construction		Residential Mortgage		Home Equity Loans		Other Consumer		Total
	(In Thousands)
Current	$	2,060,012	$	1,083,879	$	201,527	$	90,398	$	1,297,164	$	65,182	$	4,110	$	4,802,272
Past due:
30-59 days		2,971		2,713		183		-		2,718		-		2		8,587
60-89 days		3,274		14,529		-		-		271		-		6		18,080
90 days and over		10,226		22,574		300		-		5,198		116		5		38,419
Total past due		16,471		39,816		483		-		8,187		116		13		65,086

Total loans	$	2,076,483	$	1,123,695	$	202,010	$	90,398	$	1,305,351	$	65,298	$	4,123	$	4,867,358

	June 30, 2020

	Multi-Family Mortgage		Non- Residential Mortgage		Commercial Business		Construction		Residential Mortgage		Home Equity Loans		Other Consumer		Total
	(In Thousands)
Current	$	2,059,568	$	941,714	$	138,439	$	20,961	$	1,264,267	$	82,358	$	3,981	$	4,511,288
Past due:
30-59 days		-		-		-		-		3,211		169		-		3,380
60-89 days		-		14,478		-		-		1,038		13		5		15,534
90 days and over		-		4,661		349		-		4,506		380		5		9,901
Total past due		-		19,139		349		-		8,755		562		10		28,815

Total loans	$	2,059,568	$	960,853	$	138,788	$	20,961	$	1,273,022	$	82,920	$	3,991	$	4,540,103

Performance Status of Loans Receivable

The following tables present information relating to the Company’s nonperforming loans as of December 31, 2020 and June 30, 2020:

	December 31, 2020
	Multi-Family Mortgage		Non- Residential Mortgage		Commercial Business		Construction		Residential Mortgage		Home Equity Loans		Other Consumer		Total
	(In Thousands)
Performing	$	2,060,087	$	1,084,413	$	201,483	$	87,884	$	1,292,826	$	65,075	$	4,118	$	4,795,886
Nonperforming:
90 days and over past due accruing		-		-		-		-		-		-		-		-
Nonaccrual loans with allowance for credit losses		-		1,635		121		-		2,770		-		5		4,531
Nonaccrual loans with no allowance for credit losses		16,396		37,647		406		2,514		9,755		223		-		66,941
Total nonperforming		16,396		39,282		527		2,514		12,525		223		5		71,472

Total loans	$	2,076,483	$	1,123,695	$	202,010	$	90,398	$	1,305,351	$	65,298	$	4,123	$	4,867,358

	June 30, 2020
	Multi-Family Mortgage		Non- Residential Mortgage		Commercial Business		Construction		Residential Mortgage		Home Equity Loans		Other Consumer		Total
	(In Thousands)
Performing	$	2,056,606	$	936,917	$	138,196	$	20,961	$	1,264,663	$	82,078	$	3,986	$	4,503,407
Nonperforming:
90 days and over past due accruing		-		-		-		-		-		-		5		5
Nonaccrual		2,962		23,936		592		-		8,359		842		-		36,691
Total nonperforming		2,962		23,936		592		-		8,359		842		5		36,696

Total loans	$	2,059,568	$	960,853	$	138,788	$	20,961	$	1,273,022	$	82,920	$	3,991	$	4,540,103

Troubled Debt Restructurings of Loans Receivable

The following tables present total TDR loans at December 31, 2020 and June 30, 2020:

	December 31, 2020
	Accrual				Non-accrual				Total
	# of Loans		Amount		# of Loans		Amount		# of Loans		Amount
	(Dollars In Thousands)
Commercial loans:
Multi-family mortgage loans		-	$	-		1	$	2,896		1	$	2,896
Nonresidential mortgage		1		108		7		2,505		8		2,613
Commercial business		5		5,083		5		422		10		5,505
Construction		-		-		1		2,514		1		2,514
Total commercial loans		6		5,191		14		8,337		20		13,528

One- to four-family residential mortgage		16		2,400		17		3,091		33		5,491

Consumer loans:
Home equity loans		8		528		1		95		9		623
Total		30	$	8,119		32	$	11,523		62	$	19,642

	June 30, 2020
	Accrual				Non-accrual				Total
	# of Loans		Amount		# of Loans		Amount		# of Loans		Amount
	(Dollars In Thousands)
Commercial loans:
Multi-family mortgage loans		-	$	-		1	$	2,962		1	$	2,962
Nonresidential mortgage		1		112		9		5,442		10		5,554
Commercial business		5		5,179		6		446		11		5,625
Total commercial loans		6		5,291		16		8,850		22		14,141

One- to four-family residential mortgage		14		2,407		20		3,811		34		6,218

Consumer loans:
Home equity loans		12		715		2		448		14		1,163
Total		32	$	8,413		38	$	13,109		70	$	21,522

The following tables present information regarding the restructuring of the Company’s troubled debts during the three and six months ended December 31, 2020 and December 31, 2019:

	Three Months Ended December 31, 2020						Six Months Ended December 31, 2020
	# of Loans		Pre-modification Recorded Investment		Post-modification Recorded Investment		# of Loans		Pre-modification Recorded Investment		Post-modification Recorded Investment
	(Dollars In Thousands)
One- to four-family residential mortgage		-	$	-	$	-		1	$	309	$	308
Total		-	$	-	$	-		1	$	309	$	308

	Three Months Ended December 31, 2019						Six Months Ended December 31, 2019
	# of Loans		Pre-modification Recorded Investment		Post-modification Recorded Investment		# of Loans		Pre-modification Recorded Investment		Post-modification Recorded Investment
	(Dollars In Thousands)
Commercial business		1	$	92	$	92		4	$	1,867	$	1,921
One- to four-family residential mortgage		1		44		44		3		1,046		982
Home equity loans		-		-		-		1		82		81
Total		2	$	136	$	136		8	$	2,995	$	2,984

Schedule of Modified Non-TDR Loans by Loan Segments

The following table sets forth the composition of these loans by loan segments as of December 31, 2020:

	December 31, 2020
	# of Loans ⁽¹⁾		Balance ⁽¹⁾
	(Dollars In Thousands)
Commercial loans:
Multi-family mortgage loans		9	$	18,247
Nonresidential mortgage		2		5,913
Commercial business		5		1,314
Total commercial loans		16		25,474

One- to four-family residential mortgage		20		7,664

Consumer loans:
Home equity loans		1		39

Total		37	$	33,177

(1)

Includes loans acquired in conjunction with the Company’s acquisition of MSB on July 10, 2020.

Carrying Value of Collateral Dependent Individually Analyzed Loans

The following table presents the carrying value of collateral dependent individually analyzed loans:

	December 31, 2020
	Carrying Value		Related Allowance
	(In Thousands)
Commercial loans:
Multi-family mortgage	$	13,500	$	-
Nonresidential mortgage ⁽¹⁾		38,249		518
Commercial business ⁽²⁾		195		-
Construction		-		-
Total commercial loans		51,944		518

One- to four-family residential mortgage ⁽³⁾		6,598		206

Consumer loans:
Home equity loans ⁽³⁾		116		-

Total	$	58,658	$	724

(1)	Secured by income-producing property.

(2)	Secured by business assets.

(3)	Secured by one- to four-family properties.

Impairment Status of Loans Receivable

The following table presents, under previously applicable GAAP, loans individually evaluated for impairment by portfolio segment as of June 30, 2020:

	June 30, 2020
	Multi-Family Mortgage		Non- Residential Mortgage			Commercial Business			Construction		Residential Mortgage			Home Equity Loans		Other Consumer		Total
	(In Thousands)
Carrying value of impaired loans:

Non-impaired loans	$	2,056,606	$	936,805		$	132,999		$	20,961	$	1,262,256		$	81,363	$	3,991	$	4,494,981
Impaired loans:
Impaired loans with no allowance for impairment		2,962		22,516			5,622			-		10,659			1,557		-		43,316
Impaired loans with allowance for impairment:
Recorded investment		-		1,532			167			-		107			-		-		1,806
Allowance for impairment		-		(41	)		(47	)		-		(1	)		-		-		(89	)
Balance of impaired loans net of allowance for impairment		-		1,491			120			-		106			-		-		1,717
Total impaired loans, excluding allowance for impairment:		2,962		24,048			5,789			-		10,766			1,557		-		45,122

Total loans	$	2,059,568	$	960,853		$	138,788		$	20,961	$	1,273,022		$	82,920	$	3,991	$	4,540,103

Unpaid principal balance of impaired loans:
Total impaired loans	$	3,544	$	25,898		$	8,778		$	73	$	12,908		$	1,950	$	-	$	53,151

Credit-Rating Classification of Loans Receivable

The following table presents the risk category of loans as of December 31, 2020 by loan segment and vintage year:

	Term Loans by Origination Year for Fiscal Years ended June 30,
	2021		2020		2019		2018		2017		Prior		Revolving Loans		Total
	(In Thousands)
Multi-family mortgage:
Pass	$	129,953	$	260,622	$	412,587	$	402,970	$	383,315	$	458,752	$	-	$	2,048,199
Special Mention		-		-		-		-		1,851		1,070		-		2,921
Substandard		-		-		-		6,170		10,226		8,967		-		25,363
Doubtful		-		-		-		-		-		-		-		-
Total multi-family mortgage		129,953		260,622		412,587		409,140		395,392		468,789		-		2,076,483
Non-residential mortgage:
Pass		41,110		86,629		56,444		69,847		276,965		512,294		6,238		1,049,527
Special Mention		-		-		23,520		-		980		4,524		-		29,024
Substandard		-		-		-		9,165		24,903		11,076		-		45,144
Doubtful		-		-		-		-		-		-		-		-
Total non-residential mortgage		41,110		86,629		79,964		79,012		302,848		527,894		6,238		1,123,695
Commercial business:
Pass		29,506		47,411		4,466		20,468		7,093		14,342		68,640		191,926
Special Mention		1,115		1,640		267		2,370		978		15		166		6,551
Substandard		-		124		216		1,597		105		1,334		157		3,533
Doubtful		-		-		-		-		-		-		-		-
Total commercial business		30,621		49,175		4,949		24,435		8,176		15,691		68,963		202,010
Construction loans:
Pass		6,534		20,680		17,702		21,449		14,239		1,523		5,735		87,862
Special Mention		-		-		-		-		-		-		-		-
Substandard		-		-		-		-		-		2,536		-		2,536
Doubtful		-		-		-		-		-		-		-		-
Total construction loans		6,534		20,680		17,702		21,449		14,239		4,059		5,735		90,398
Residential mortgage:
Pass		154,973		181,649		98,598		98,970		157,949		591,450		375		1,283,964
Special Mention		-		-		1,246		-		-		708		-		1,954
Substandard		952		1,408		683		-		570		15,820		-		19,433
Doubtful		-		-		-		-		-		-		-		-
Total residential mortgage		155,925		183,057		100,527		98,970		158,519		607,978		375		1,305,351
Home equity loans:
Pass		356		3,754		6,516		3,805		3,189		19,166		27,556		64,342
Special Mention		-		-		-		-		-		166		-		166
Substandard		-		-		-		-		66		724		-		790
Doubtful		-		-		-		-		-		-		-		-
Total home equity loans		356		3,754		6,516		3,805		3,255		20,056		27,556		65,298
Other consumer loans
Pass		504		536		775		266		145		1,717		72		4,015
Special Mention		-		-		-		-		-		-		-		-
Substandard		-		-		-		-		-		-		1		1
Doubtful		-		-		-		-		-		5		102		107
Other consumer loans		504		536		775		266		145		1,722		175		4,123
Total loans	$	365,003	$	604,453	$	623,020	$	637,077	$	882,574	$	1,646,189	$	109,042	$	4,867,358

The following table presents, under previously applicable GAAP, the risk category of loans as of June 30, 2020 by loan segment:

	June 30, 2020
	Multi-Family Mortgage		Non- Residential Mortgage		Commercial Business		Construction		Residential Mortgage		Home Equity Loans		Other Consumer		Total
	(In Thousands)
Pass	$	2,055,520	$	932,202	$	132,818	$	20,961	$	1,258,246	$	81,120	$	3,979	$	4,484,846

Special Mention		1,086		4,373		2,585		-		981		157		5		9,187
Substandard		2,962		24,278		3,385		-		13,795		1,643		6		46,069
Doubtful		-		-		-		-		-		-		1		1

Total loans	$	2,059,568	$	960,853	$	138,788	$	20,961	$	1,273,022	$	82,920	$	3,991	$	4,540,103

Acquisition Amount of MSB Purchased Loans

The carrying amount of those loans is as follows:

	At July 10, 2020
	(In Thousands)
Purchase price of PCD loans at acquisition	$	69,415
Allowance for credit losses at acquisition		(3,901	)
Non-credit discount at acquisition		(167	)
Amortized cost of acquired PCD loans at acquisition	$	65,347