Portfolio loans (Tables)

3 Months Ended

Mar. 31, 2019

Portfolio loans

Schedule of distribution of portfolio loans

The distribution of portfolio loans is as follows (dollars in thousands):

	March 31,		December 31,
	2019		2018
Commercial	$	1,657,022	$	1,405,106
Commercial real estate		2,699,491		2,366,823
Real estate construction		387,623		288,197
Retail real estate		1,718,415		1,480,133
Retail other		52,530		28,169
Portfolio loans	$	6,515,081	$	5,568,428
Allowance for loan losses		(50,915)		(50,648)
Portfolio loans, net	$	6,464,166	$	5,517,780

Summary of risk grades segregated by category of portfolio loans (excluding accretable purchase accounting adjustments and clearings)

The following table is a summary of risk grades segregated by category of portfolio loans (excluding accretable purchase accounting adjustments and clearings) (dollars in thousands):

	March 31, 2019
					Special				Substandard
	Pass		Watch		Mention		Substandard		Non-accrual
Commercial	$	1,359,640	$	180,954	$	59,595	$	41,525	$	16,243
Commercial real estate		2,406,213		168,415		89,262		33,585		9,761
Real estate construction		362,541		19,652		3,105		1,346		1,126
Retail real estate		1,671,219		14,202		6,802		7,678		9,080
Retail other		51,101		90		—		16		20
Total	$	5,850,714	$	383,313	$	158,764	$	84,150	$	36,230

	December 31, 2018
					Special				Substandard
	Pass		Watch		Mention		Substandard		Non-accrual
Commercial	$	1,126,257	$	172,449	$	47,000	$	42,532	$	17,953
Commercial real estate		2,106,711		137,214		85,148		36,205		10,298
Real estate construction		268,069		14,562		3,899		1,888		18
Retail real estate		1,448,964		6,425		6,792		5,435		6,698
Retail other		26,707		—		—		—		30
Total	$	4,976,708	$	330,650	$	142,839	$	86,060	$	34,997

Summary of portfolio loans that are past due and still accruing or on a non-accrual status

An analysis of portfolio loans that are past due and still accruing or on a non-accrual status is as follows (dollars in thousands):

	March 31, 2019
	Loans past due, still accruing						Non-accrual
	30-59 Days		60-89 Days		90+Days		Loans
Commercial	$	410	$	1,500	$	72	$	16,243
Commercial real estate		1,662		595		—		9,761
Real estate construction		191		—		—		1,126
Retail real estate		4,442		1,596		284		9,080
Retail other		364		20		—		20
Total	$	7,069	$	3,711	$	356	$	36,230

	December 31, 2018
	Loans past due, still accruing						Non-accrual
	30-59 Days		60-89 Days		90+Days		Loans
Commercial	$	158	$	140	$	775	$	17,953
Commercial real estate		148		558		—		10,298
Real estate construction		121		—		58		18
Retail real estate		4,578		1,368		766		6,698
Retail other		48		2		2		30
Total	$	5,053	$	2,068	$	1,601	$	34,997

Summary of restructured loans

A summary of restructured loans is as follows (dollars in thousands):

	March 31,		December 31,
	2019		2018
In compliance with modified terms	$	11,127	$	8,319
30 — 89 days past due		184		127
Included in non-performing loans		360		392
Total	$	11,671	$	8,838

Schedule of details of impaired loans, segregated by category

The average recorded investment is calculated using the most recent four quarters (dollars in thousands).

	March 31, 2019
	Unpaid		Recorded
	Contractual		Investment		Recorded		Total				Average
	Principal		with No		Investment		Recorded		Related		Recorded
	Balance		Allowance		with Allowance		Investment		Allowance		Investment
Commercial	$	19,507	$	5,605	$	10,787	$	16,392	$	4,126	$	15,165
Commercial real estate		20,174		13,818		4,498		18,316		1,231		18,448
Real estate construction		930		820		—		820		—		586
Retail real estate		16,795		14,815		115		14,930		42		13,792
Retail other		48		20		—		20		—		40
Total	$	57,454	$	35,078	$	15,400	$	50,478	$	5,399	$	48,031

	December 31, 2018
	Unpaid		Recorded
	Contractual		Investment		Recorded		Total				Average
	Principal		with No		Investment		Recorded		Related		Recorded
	Balance		Allowance		with Allowance		Investment		Allowance		Investment
Commercial	$	21,442	$	6,858	$	12,001	$	18,859	$	4,319	$	13,364
Commercial real estate		19,079		13,082		4,498		17,580		1,181		18,077
Real estate construction		478		453		—		453		—		712
Retail real estate		14,418		13,196		61		13,257		61		14,110
Retail other		117		33		—		33		—		40
Total	$	55,534	$	33,622	$	16,560	$	50,182	$	5,561	$	46,303

Schedule of activity on the allowance for loan losses

The following table details activity in the allowance for loan losses.  Allocation of a portion of the allowance to one category does not preclude its availability to absorb losses in other categories (dollars in thousands):

	As of and for the Three Months Ended March 31, 2019
			Commercial		Real Estate		Retail Real
	Commercial		Real Estate		Construction		Estate		Retail Other		Total
Beginning balance	$	17,829	$	21,137	$	2,723	$	8,471	$	488	$	50,648
Provision for loan losses		1,793		(1,089)		2		1,357		48		2,111
Charged-off		(1,807)		(15)		—		(517)		(130)		(2,469)
Recoveries		183		64		82		192		104		625
Ending balance	$	17,998	$	20,097	$	2,807	$	9,503	$	510	$	50,915

	As of and for the Three Months Ended March 31, 2018
			Commercial		Real Estate		Retail Real
	Commercial		Real Estate		Construction		Estate		Retail Other		Total
Beginning balance	$	14,779	$	21,813	$	2,861	$	13,783	$	346	$	53,582
Provision for loan losses		3,003		1,536		2		(3,662)		129		1,008
Charged-off		(781)		(1,315)		(97)		(530)		(207)		(2,930)
Recoveries		576		56		33		245		79		989
Ending balance	$	17,577	$	22,090	$	2,799	$	9,836	$	347	$	52,649

Schedule of allowance for loan losses and recorded investments in portfolio loans, by category

The following table presents the allowance for loan losses and recorded investments in portfolio loans by category (dollars in thousands):

	As of March 31, 2019
			Commercial		Real Estate		Retail Real
	Commercial		Real Estate		Construction		Estate		Retail Other		Total
Allowance for loan losses
Ending balance attributed to:
Loans individually evaluated for impairment	$	4,126	$	1,231	$	—	$	42	$	—	$	5,399
Loans collectively evaluated for impairment		13,872		18,866		2,807		9,461		510		45,516
Ending balance	$	17,998	$	20,097	$	2,807	$	9,503	$	510	$	50,915
Loans:
Loans individually evaluated for impairment	$	16,361	$	15,733	$	385	$	13,296	$	20	$	45,795
Loans collectively evaluated for impairment		1,640,630		2,679,200		387,238		1,705,025		52,510		6,464,603
PCI loans evaluated for impairment		31		4,558		—		94		—		4,683
Ending balance	$	1,657,022	$	2,699,491	$	387,623	$	1,718,415	$	52,530	$	6,515,081

	As of December 31, 2018
			Commercial		Real Estate		Retail Real
	Commercial		Real Estate		Construction		Estate		Retail Other		Total
Allowance for loan losses
Ending balance attributed to:
Loans individually evaluated for impairment	$	4,319	$	1,181	$	—	$	61	$	—	$	5,561
Loans collectively evaluated for impairment		13,510		19,956		2,723		8,410		488		45,087
Ending balance	$	17,829	$	21,137	$	2,723	$	8,471	$	488	$	50,648
Loans:
Loans individually evaluated for impairment	$	18,441	$	15,318	$	453	$	13,159	$	33	$	47,404
Loans collectively evaluated for impairment		1,386,247		2,349,243		287,744		1,466,876		28,136		5,518,246
PCI loans evaluated for impairment		418		2,262		—		98		—		2,778
Ending balance	$	1,405,106	$	2,366,823	$	288,197	$	1,480,133	$	28,169	$	5,568,428