A summary of current, past due and nonaccrual loans as of June 30, 2019 and December 31, 2018 follows:

	Current		30-89 Days Past Due		Accruing Loans Past Due 90 Days or More (a)		Accruing Loans Acquired at a Discount Past Due 90 days or More (b)		Purchased Impaired (c)		Nonaccrual		Total
	(In thousands)
June 30, 2019
Commercial, financial, leasing, etc.	$	23,177,367		26,974		3,332		—		2		223,733	$	23,431,408
Real estate:
Commercial		25,829,322		146,704		12,450		390		12,867		203,116		26,204,849
Residential builder and developer		1,665,951		6,495		—		—		468		5,985		1,678,899
Other commercial construction		7,217,573		55,060		4,600		—		625		32,769		7,310,627
Residential		13,206,787		462,391		321,810		5,981		172,718		210,922		14,380,609
Residential — limited documentation		2,067,375		81,857		—		—		76,345		87,551		2,313,128
Consumer:
Home equity lines and loans		4,562,840		29,972		—		4,360		—		66,927		4,664,099
Recreational finance		4,759,183		24,485		—		295		—		11,153		4,795,116
Automobile		3,639,155		70,177		—		—		—		20,170		3,729,502
Other		1,315,662		12,515		6,533		32,053		—		3,058		1,369,821
Total	$	87,441,215		916,630		348,725		43,079		263,025		865,384	$	89,878,058

December 31, 2018
Commercial, financial, leasing, etc.	$	22,701,020		39,798		2,567		168		—		234,423	$	22,977,976
Real estate:
Commercial		25,250,983		134,474		11,457		10		9,769		203,672		25,610,365
Residential builder and developer		1,665,178		20,333		—		—		—		4,798		1,690,309
Other commercial construction		6,982,077		43,615		14,344		—		641		22,205		7,062,882
Residential		13,591,790		404,808		189,682		6,650		203,044		233,352		14,629,326
Residential — limited documentation		2,278,040		72,544		—		—		89,851		84,685		2,525,120
Consumer:
Home equity lines and loans		4,758,513		25,416		—		5,033		—		71,292		4,860,254
Recreational finance		4,085,781		29,947		—		235		—		11,199		4,127,162
Automobile		3,555,757		79,804		—		—		—		23,359		3,658,920
Other		1,271,811		15,598		4,477		27,654		—		4,623		1,324,163
Total	$	86,140,950		866,337		222,527		39,750		303,305		893,608	$	88,466,477

One-to-four family residential mortgage loans held for sale were $294 million and $205 million at June 30, 2019 and December 31, 2018, respectively. Commercial real estate loans held for sale were $504 million at June 30, 2019 and $347 million at December 31, 2018.

The outstanding principal balance and the carrying amount of loans acquired at a discount that were recorded at fair value at the acquisition date and included in the consolidated balance sheet were as follows:

Purchased impaired loans included in the table above totaled $263 million at June 30, 2019 and $303 million at December 31, 2018, representing less than 1% of the Company’s assets as of each date. A summary of changes in the accretable yield for loans acquired at a discount for the three months and six months ended June 30, 2019 and 2018 follows:

Changes in the allowance for credit losses for the three months ended June 30, 2019 were as follows:

	Commercial, Financial,			Real Estate
	Leasing, etc.			Commercial			Residential			Consumer			Unallocated		Total
	(In thousands)

Beginning balance	$	335,620			337,995			65,136			203,045			77,541	$	1,019,337
Provision for credit losses		10,337			14,501			(2,376	)		31,594			944		55,000
Net charge-offs
Charge-offs		(16,608	)		(10,165	)		(3,263	)		(39,370	)		—		(69,406	)
Recoveries		6,506			965			1,514			15,951			—		24,936
Net charge-offs		(10,102	)		(9,200	)		(1,749	)		(23,419	)		—		(44,470	)
Ending balance	$	335,855			343,296			61,011			211,220			78,485	$	1,029,867

Changes in the allowance for credit losses for the three months ended June 30, 2018 were as follows:

	Commercial, Financial,			Real Estate
	Leasing, etc.			Commercial			Residential			Consumer			Unallocated			Total
	(In thousands)

Beginning balance	$	326,071			367,717			73,047			173,841			78,995		$	1,019,671
Provision for credit losses		11,250			(10,845	)		5,242			30,801			(1,448	)		35,000
Net charge-offs
Charge-offs		(14,900	)		(4,548	)		(3,966	)		(34,033	)		—			(57,447	)
Recoveries		6,409			1,437			1,800			12,378			—			22,024
Net charge-offs		(8,491	)		(3,111	)		(2,166	)		(21,655	)		—			(35,423	)
Ending balance	$	328,830			353,761			76,123			182,987			77,547		$	1,019,248

Changes in the allowance for credit losses for the six months ended June 30, 2019 were as follows:

	Commercial, Financial,			Real Estate
	Leasing, etc.			Commercial			Residential			Consumer			Unallocated		Total
	(In thousands)

Beginning balance	$	330,055			341,655			69,125			200,564			78,045	$	1,019,444
Provision for credit losses		16,608			10,298			(4,823	)		54,477			440		77,000
Net charge-offs
Charge-offs		(25,108	)		(10,448	)		(6,635	)		(72,315	)		—		(114,506	)
Recoveries		14,300			1,791			3,344			28,494			—		47,929
Net charge-offs		(10,808	)		(8,657	)		(3,291	)		(43,821	)		—		(66,577	)
Ending balance	$	335,855			343,296			61,011			211,220			78,485	$	1,029,867

Changes in the allowance for credit losses for the six months ended June 30, 2018 were as follows:

	Commercial, Financial,			Real Estate
	Leasing, etc.			Commercial			Residential			Consumer			Unallocated			Total
	(In thousands)

Beginning balance	$	328,599			374,085			65,405			170,809			78,300		$	1,017,198
Provision for credit losses		18,480			(16,070	)		15,728			60,615			(753	)		78,000
Net charge-offs
Charge-offs		(29,481	)		(5,914	)		(8,320	)		(70,484	)		—			(114,199	)
Recoveries		11,232			1,660			3,310			22,047			—			38,249
Net charge-offs		(18,249	)		(4,254	)		(5,010	)		(48,437	)		—			(75,950	)
Ending balance	$	328,830			353,761			76,123			182,987			77,547		$	1,019,248

Despite the allocation in the preceding tables, the allowance for credit losses is general in nature and is available to absorb losses from any loan or lease type.

In establishing the allowance for credit losses, the Company estimates losses attributable to specific troubled credits identified through both normal and targeted credit review processes and also estimates losses inherent in other loans and leases on a collective basis. For purposes of determining the level of the allowance for credit losses, the Company evaluates its loan and lease portfolio by loan type. The amounts of loss components in the Company’s loan and lease portfolios are determined through a loan-by-loan analysis of larger balance commercial loans and commercial real estate loans that are in nonaccrual status and by applying loss factors to groups of loan balances based on loan type and management’s classification of such loans under the Company’s loan grading system. Measurement of the specific loss components is typically based on expected future cash flows, collateral values and other factors that may impact the borrower’s ability to pay. In determining the allowance for credit losses, the Company utilizes a loan grading system which is applied to commercial and commercial real estate credits on an individual loan basis. Loan grades are assigned loss component factors that reflect the Company’s loss estimate for each group of loans and leases. Factors considered in assigning loan grades and loss component factors include borrower-specific information related to expected future cash flows and operating results, collateral values, geographic location, financial condition and performance, payment status, and other information; levels of and trends in portfolio charge-offs and recoveries; levels of and trends in portfolio delinquencies and impaired loans; changes in the risk profile of specific portfolios; trends in volume and terms of loans; effects of changes in credit concentrations; and observed trends and practices in the banking industry.

Information with respect to loans and leases that were considered impaired as of June 30, 2019 and December 31, 2018 and for the three-month and six-month periods ended June 30, 2019 and 2018 follows.

	June 30, 2019						December 31, 2018
	Recorded Investment		Unpaid Principal Balance		Related Allowance		Recorded Investment		Unpaid Principal Balance		Related Allowance
	(In thousands)
With an allowance recorded:
Commercial, financial, leasing, etc.	$	192,660		220,662		36,496		153,478		175,549		46,034
Real estate:
Commercial		63,236		70,777		8,276		110,253		125,117		11,937
Residential builder and developer		7,490		8,059		286		5,981		6,557		462
Other commercial construction		22,851		34,782		1,901		10,563		11,113		640
Residential		125,607		147,097		6,220		124,974		147,817		5,402
Residential — limited documentation		69,340		83,920		2,600		74,156		90,066		3,000
Consumer:
Home equity lines and loans		47,437		52,838		9,060		47,982		53,248		9,135
Recreational finance		5,701		9,248		1,178		6,138		9,163		1,261
Automobile		3,374		3,458		686		3,527		3,599		729
Other		4,832		8,175		974		5,203		8,380		1,046
		542,528		639,016		67,677		542,255		630,609		79,646
With no related allowance recorded:
Commercial, financial, leasing, etc.		73,247		77,171		—		105,507		136,128		—
Real estate:
Commercial		150,804		168,046		—		113,376		124,657		—
Residential builder and developer		4,555		4,602		—		2,593		2,602		—
Other commercial construction		9,918		10,313		—		11,710		11,880		—
Residential		17,530		23,155		—		15,379		20,496		—
Residential — limited documentation		5,397		9,344		—		5,631		9,796		—
		261,451		292,631		—		254,196		305,559		—
Total:
Commercial, financial, leasing, etc.		265,907		297,833		36,496		258,985		311,677		46,034
Real estate:
Commercial		214,040		238,823		8,276		223,629		249,774		11,937
Residential builder and developer		12,045		12,661		286		8,574		9,159		462
Other commercial construction		32,769		45,095		1,901		22,273		22,993		640
Residential		143,137		170,252		6,220		140,353		168,313		5,402
Residential — limited documentation		74,737		93,264		2,600		79,787		99,862		3,000
Consumer:
Home equity lines and loans		47,437		52,838		9,060		47,982		53,248		9,135
Recreational finance		5,701		9,248		1,178		6,138		9,163		1,261
Automobile		3,374		3,458		686		3,527		3,599		729
Other		4,832		8,175		974		5,203		8,380		1,046
Total	$	803,979		931,647		67,677		796,451		936,168		79,646

	Three Months Ended June 30, 2019						Three Months Ended June 30, 2018
			Interest Income Recognized						Interest Income Recognized
	Average Recorded Investment		Total		Cash Basis		Average Recorded Investment		Total		Cash Basis
	(In thousands)

Commercial, financial, leasing, etc.	$	273,924		3,627		3,627		271,413		1,333		1,333
Real estate:
Commercial		214,775		2,032		2,032		168,224		3,811		3,811
Residential builder and developer		9,590		35		35		8,494		—		—
Other commercial construction		22,521		12		12		7,443		53		53
Residential		142,555		2,390		1,004		126,185		2,329		937
Residential — limited documentation		75,940		1,452		218		83,776		1,428		317
Consumer:
Home equity lines and loans		47,435		406		57		48,644		433		72
Recreational finance		5,808		125		4		1,480		65		3
Automobile		3,450		53		18		12,636		225		14
Other		5,026		142		5		1,586		23		—
Total	$	801,024		10,274		7,012		729,881		9,700		6,540

	Six Months Ended June 30, 2019						Six Months Ended June 30, 2018
			Interest Income Recognized						Interest Income Recognized
	Average Recorded Investment		Total		Cash Basis		Average Recorded Investment		Total		Cash Basis
	(In thousands)

Commercial, financial, leasing, etc.	$	269,586		6,665		6,665		271,793		2,116		2,116
Real estate:
Commercial		220,075		3,123		3,123		175,035		6,958		6,958
Residential builder and developer		9,233		150		150		9,167		1,682		1,682
Other commercial construction		21,460		576		576		8,773		59		59
Residential		141,479		4,412		1,670		123,697		4,231		1,839
Residential — limited documentation		77,089		2,805		426		84,686		3,156		1,013
Consumer:
Home equity lines and loans		47,496		822		119		48,721		847		158
Recreational finance		5,917		267		8		1,469		128		5
Automobile		3,490		107		37		12,881		449		29
Other		5,122		264		9		1,623		45		1
Total	$	800,947		19,191		12,783		737,845		19,671		13,860

Commercial loans and commercial real estate loans with a lower expectation of default are assigned one of ten possible “pass” loan grades and are generally ascribed lower loss factors when determining the allowance for credit losses. Loans with an elevated level of credit risk are classified as “criticized” and are ascribed a higher loss factor when determining the allowance for credit losses. Criticized loans may be classified as “nonaccrual” if the Company no longer expects to collect all amounts according to the contractual terms of the loan agreement or the loan is delinquent 90 days or more. Furthermore, criticized nonaccrual commercial loans and commercial real estate loans are considered impaired and, as a result, specific loss allowances on such loans are established within the allowance for credit losses to the extent appropriate in each individual instance.

The following table summarizes the loan grades applied to the various classes of the Company’s commercial loans and commercial real estate loans.

			Real Estate
	Commercial,				Residential		Other
	Financial,				Builder and		Commercial
	Leasing, etc.		Commercial		Developer		Construction
	(In thousands)
June 30, 2019
Pass	$	22,112,126		25,213,055		1,476,023		7,024,168
Criticized accrual		1,095,549		788,678		196,891		253,690
Criticized nonaccrual		223,733		203,116		5,985		32,769
Total	$	23,431,408		26,204,849		1,678,899		7,310,627
December 31, 2018
Pass	$	21,693,705		24,539,706		1,546,002		6,890,562
Criticized accrual		1,049,848		866,987		139,509		150,115
Criticized nonaccrual		234,423		203,672		4,798		22,205
Total	$	22,977,976		25,610,365		1,690,309		7,062,882

In determining the allowance for credit losses, residential real estate loans and consumer loans are generally evaluated collectively after considering such factors as payment performance and recent loss experience and trends, which are mainly driven by current collateral values in the market place as well as the amount of loan defaults. Loss rates on such loans are determined by reference to recent charge-off history and are evaluated (and adjusted if deemed appropriate) through consideration of other factors including near-term forecasted loss estimates developed by the Company’s credit department. In arriving at such forecasts, the Company considers the current estimated fair value of its collateral based on geographical adjustments for home price depreciation/appreciation and overall borrower repayment performance. With regard to collateral values, the realizability of such values by the Company contemplates repayment of any first lien position prior to recovering amounts on a second lien position. However, residential real estate loans and outstanding balances of home equity loans and lines of credit that are more than 150 days past due are generally evaluated for collectibility on a loan-by-loan basis giving consideration to estimated collateral values. The carrying value of residential real estate loans and home equity loans and lines of credit for which a partial charge-off has been recognized totaled $26 million and $21 million, respectively, at June 30, 2019 and $29 million and $23 million, respectively, at December 31, 2018. Residential real estate loans and home equity loans and lines of credit that were more than 150 days past due but did not require a partial charge-off because the net realizable value of the collateral exceeded the outstanding customer balance were $18 million and $31 million, respectively, at June 30, 2019 and $21 million and $31 million, respectively, at December 31, 2018.

The Company also measures additional losses for purchased impaired loans when it is probable that the Company will be unable to collect all cash flows expected at acquisition plus additional cash flows expected to be collected arising from changes in estimates after acquisition. The determination of the allocated portion of the allowance for credit losses is very subjective. Given that inherent subjectivity and potential imprecision involved in determining the allocated portion of the allowance for credit losses, the Company also provides an inherent unallocated portion of the allowance. The unallocated portion of the allowance is intended to recognize probable losses that are not otherwise identifiable and includes management’s subjective determination of amounts necessary to provide for the possible use of imprecise estimates in determining the allocated portion of the allowance. Therefore, the level of the unallocated portion of the allowance is primarily reflective of the inherent imprecision in the various calculations used in determining the allocated portion of the allowance for credit losses. Other factors that could also lead to changes in the unallocated portion include the effects of expansion into new markets for which the Company does not have the same degree of familiarity and experience regarding portfolio performance in changing market conditions, the introduction of new loan and lease product types, and other risks associated with the Company’s loan portfolio that may not be specifically identifiable.

The allocation of the allowance for credit losses summarized on the basis of the Company’s impairment methodology was as follows:

	Commercial, Financial,		Real Estate
	Leasing, etc.		Commercial		Residential		Consumer		Total
	(In thousands)
June 30, 2019
Individually evaluated for impairment	$	36,496		10,463		8,820		11,898	$	67,677
Collectively evaluated for impairment		299,359		332,833		45,666		199,322		877,180
Purchased impaired		—		—		6,525		—		6,525
Allocated	$	335,855		343,296		61,011		211,220		951,382
Unallocated										78,485
Total									$	1,029,867
December 31, 2018
Individually evaluated for impairment	$	46,034		13,039		8,402		12,171	$	79,646
Collectively evaluated for impairment		284,021		328,616		48,326		188,393		849,356
Purchased impaired		—		—		12,397		—		12,397
Allocated	$	330,055		341,655		69,125		200,564		941,399
Unallocated										78,045
Total									$	1,019,444

The recorded investment in loans and leases summarized on the basis of the Company’s impairment methodology was as follows:

	Commercial, Financial,		Real Estate
	Leasing, etc.		Commercial		Residential		Consumer		Total
	(In thousands)
June 30, 2019
Individually evaluated for impairment	$	265,907		258,854		217,874		61,344	$	803,979
Collectively evaluated for impairment		23,165,499		34,921,561		16,226,800		14,497,194		88,811,054
Purchased impaired		2		13,960		249,063		—		263,025
Total	$	23,431,408		35,194,375		16,693,737		14,558,538	$	89,878,058
December 31, 2018
Individually evaluated for impairment	$	258,985		254,476		220,140		62,850	$	796,451
Collectively evaluated for impairment		22,718,991		34,098,670		16,641,411		13,907,649		87,366,721
Purchased impaired		—		10,410		292,895		—		303,305
Total	$	22,977,976		34,363,556		17,154,446		13,970,499	$	88,466,477

During the normal course of business, the Company modifies loans to maximize recovery efforts. If the borrower is experiencing financial difficulty and a concession is granted, the Company considers such modifications as troubled debt restructurings and classifies those loans as either nonaccrual loans or renegotiated loans. The types of concessions that the Company grants typically include principal deferrals and interest rate concessions, but may also include other types of concessions.

The table that follows summarizes the Company’s loan modification activities that were considered troubled debt restructurings for the three-month and six-month periods ended June 30, 2019 and 2018:

					Post-modification (a)
	Number		Pre- modification Recorded Investment		Principal Deferral		Interest Rate Reduction		Other		Combination of Concession Types		Total
Three Months Ended June 30, 2019	(Dollars in thousands)

Commercial, financial, leasing, etc.	24		$	2,597	$	667	$	—	$	—	$	1,891	$	2,558
Real estate:
Commercial		14		10,340		2,577		—		—		7,641		10,218
Other commercial construction		1		1,038		—		—		—		1,033		1,033
Residential		26		7,513		4,008		—		—		4,034		8,042
Residential — limited documentation		2		612		160		—		—		465		625
Consumer:
Home equity lines and loans		13		1,273		53		—		—		1,225		1,278
Recreational finance		1		15		15		—		—		—		15
Automobile		12		189		189		—		—		—		189
Total		93	$	23,577	$	7,669	$	—	$	—	$	16,289	$	23,958

Three Months Ended June 30, 2018

Commercial, financial, leasing, etc.		47	$	41,390	$	9,673	$	29	$	6,111	$	25,021	$	40,834
Real estate:
Commercial		28		7,200		7,376		175		394		—		7,945
Residential		30		7,951		2,814		—		—		5,766		8,580
Residential — limited documentation		3		584		200		—		—		458		658
Consumer:
Home equity lines and loans		10		555		—		—		—		559		559
Automobile		19		333		321		—		—		12		333
Total		137	$	58,013	$	20,384	$	204	$	6,505	$	31,816	$	58,909

					Post-modification (a)
Six Months Ended June 30, 2019	Number		Pre- modification Recorded Investment		Principal Deferral		Interest Rate Reduction		Other		Combination of Concession Types		Total
	(Dollars in thousands)

Commercial, financial, leasing, etc.		89	$	33,212	$	7,141	$	—	$	—	$	26,161	$	33,302
Real estate:
Commercial		29		19,581		3,564		—		—		15,608		19,172
Residential builder and developer		2		1,330		1,068		—		—		—		1,068
Other commercial construction		2		1,456		—		—		—		1,399		1,399
Residential		43		11,329		5,759		—		—		6,307		12,066
Residential — limited documentation		3		848		399		—		—		465		864
Consumer:
Home equity lines and loans		20		1,749		90		—		—		1,679		1,769
Recreational finance		5		103		103		—		—		—		103
Automobile		32		506		469		—		—		37		506
Total		225	$	70,114	$	18,593	$	—	$	—	$	51,656	$	70,249

Six Months Ended June 30, 2018

Commercial, financial, leasing, etc.		103	$	89,384	$	45,346	$	653	$	6,111	$	38,068	$	90,178
Real estate:
Commercial		48		13,980		13,200		175		394		927		14,696
Other commercial construction		1		752		746		—		—		—		746
Residential		77		20,587		9,759		—		—		12,668		22,427
Residential — limited documentation		5		879		467		—		—		576		1,043
Consumer:
Home equity lines and loans		24		1,903		4		—		—		1,907		1,911
Recreational finance		2		49		49		—		—		—		49
Automobile		27		481		469		—		—		12		481
Total		287	$	128,015	$	70,040	$	828	$	6,505	$	54,158	$	131,531

Troubled debt restructurings are considered to be impaired loans and for purposes of establishing the allowance for credit losses are evaluated for impairment giving consideration to the impact of the modified loan terms on the present value of the loan’s expected cash flows. Impairment of troubled debt restructurings that have subsequently defaulted may also be measured based on the loan’s observable market price or the fair value of collateral if the loan is collateral-dependent. Charge-offs may also be recognized on troubled debt restructurings that have subsequently defaulted. Loans that were modified as troubled debt restructurings during the twelve months ended June 30, 2019 and 2018 and for which there was a subsequent payment default during the six-month periods ended June 30, 2019 and 2018, respectively, were not material.

The amount of foreclosed residential real estate property held by the Company was $72 million and $77 million at June 30, 2019 and December 31, 2018, respectively. There were $380 million and $391 million at June 30, 2019 and December 31, 2018, respectively, in loans secured by residential real estate that were in the process of foreclosure. Of all loans in the process of foreclosure at June 30, 2019, approximately 33% were classified as purchased impaired and 24% were government guaranteed.

The Company’s loan and lease portfolio includes commercial lease financing receivables consisting of direct financing and leveraged leases for machinery and equipment, railroad equipment, commercial trucks and trailers, and aircraft. Certain leases contain payment schedules that are tied to variable interest rate indices. In general, early termination options are provided if the lessee is not in default, returns the leased equipment and pays an early termination fee. Additionally, options to purchase the underlying asset by the lessee are generally at the fair market value of the equipment. Effective January 1, 2019, the Company adopted new guidance related to lease accounting published by the Financial Accounting Standards Board (“FASB”). Under the new guidance, the accounting applied by lessors is largely unchanged from previous GAAP, however, the guidance eliminates the accounting model for leveraged leases that commence after the effective date of the guidance. A summary of lease financing receivables follows:

Included within the estimated residual value of leased assets at June 30, 2019 and December 31, 2018 were $37 million and $39 million, respectively, in residual value associated with direct financing leases that are guaranteed by the lessees or others.

At June 30, 2019, the minimum future lease payments to be received from lease financings were as follows: