XML 23 R12.htm IDEA: XBRL DOCUMENT v3.24.1.u1
Allowance for Credit Losses
3 Months Ended
Mar. 31, 2024
Allowance for Credit Losses  
Allowance for Credit Losses

4. Allowance for Credit Losses

​

The Company maintains the allowance for credit losses for loans and leases (the “ACL”) that is deducted from the amortized cost basis of loans and leases to present the net carrying value of loans and leases expected to be collected. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectibility of the reported amount of loans and leases. While management utilizes its best judgment and information available, the ultimate appropriateness of the ACL is dependent upon a variety of factors beyond our control, including the performance of our loan portfolio, the economy, changes in interest rates and the view of the regulatory authorities toward loan classifications. The Company’s methodology is more fully described in our Annual Report on Form 10-K for the year ended December 31, 2023.

​

The Company also maintains an estimated reserve for unfunded commitments on the unaudited interim consolidated balance sheets. The reserve for unfunded commitments is reduced in the period in which the off-balance sheet financial instruments expire, loan funding occurs, or is otherwise settled.

​

Rollforward of the Allowance for Credit Losses

​

The following presents the activity in the ACL by class of loans and leases for the three months ended March 31, 2024 and 2023:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Three Months Ended March 31, 2024

​

​

Commercial Lending

​

Residential Lending

​

​

​

​

​

​

​

​

Commercial

​

Commercial

​

​

​

​

​

​

​

Home

​

​

​

​

​

​

​

​

and

​

Real

​

​

​

Lease

​

Residential

​

Equity

​

​

​

​

​

​

(dollars in thousands)

  

Industrial

  

Estate

  

Construction

  

Financing

  

Mortgage

    

Line

  

Consumer

  

Total

Allowance for credit losses:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Balance at beginning of period

​

$

14,956

​

$

43,944

​

$

10,392

​

$

1,754

​

$

36,880

​

$

11,728

​

$

36,879

​

$

156,533

Charge-offs

​

​

(909)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

(4,854)

​

​

(5,763)

Recoveries

​

​

211

​

​

—

​

​

—

​

​

—

​

​

30

​

​

44

​

​

1,689

​

​

1,974

Provision

​

​

2,829

​

​

(418)

​

​

2,049

​

​

731

​

​

(120)

​

​

(325)

​

​

2,346

​

​

7,092

Balance at end of period

​

$

17,087

​

$

43,526

​

$

12,441

​

$

2,485

​

$

36,790

​

$

11,447

​

$

36,060

​

$

159,836

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Three Months Ended March 31, 2023

​

​

Commercial Lending

​

Residential Lending

​

​

​

​

​

​

​

​

Commercial

​

Commercial

​

​

​

​

​

​

​

Home

​

​

​

​

​

​

​

​

and

​

Real

​

​

​

Lease

​

Residential

​

Equity

​

​

​

​

​

​

(dollars in thousands)

  

Industrial

  

Estate

  

Construction

  

Financing

  

Mortgage

    

Line

  

Consumer

  

Total

Allowance for credit losses:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Balance at beginning of period

​

$

14,564

​

$

43,810

​

$

5,843

​

$

1,551

​

$

35,175

​

$

8,296

​

$

34,661

​

$

143,900

Charge-offs

​

​

(791)

​

​

—

​

​

—

​

​

—

​

​

(122)

​

​

(135)

​

​

(4,782)

​

​

(5,830)

Recoveries

​

​

246

​

​

—

​

​

—

​

​

—

​

​

27

​

​

177

​

​

2,166

​

​

2,616

Provision

​

​

19

​

​

(3,499)

​

​

630

​

​

(70)

​

​

(760)

​

​

1,003

​

​

9,113

​

​

6,436

Balance at end of period

​

$

14,038

​

$

40,311

​

$

6,473

​

$

1,481

​

$

34,320

​

$

9,341

​

$

41,158

​

$

147,122

​

Rollforward of the Reserve for Unfunded Commitments

​

The following presents the activity in the Reserve for Unfunded Commitments for the three months ended March 31, 2024 and 2023:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Three Months Ended March 31, 2024

​

​

Commercial Lending

​

Residential Lending

​

​

​

​

​

​

​

​

Commercial

​

Commercial

​

​

​

​

​

​

​

Home

​

​

​

​

​

​

​

​

and

​

Real

​

​

​

Lease

​

Residential

​

Equity

​

​

​

​

​

​

(dollars in thousands)

  

Industrial

  

Estate

  

Construction

  

Financing

  

Mortgage

  

Line

  

Consumer

  

Total

Reserve for unfunded commitments:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Balance at beginning of period

​

$

9,116

​

$

1,787

​

$

8,048

​

$

—

​

$

24

​

$

16,589

​

$

41

​

$

35,605

Provision

​

​

(324)

​

​

86

​

​

(1,151)

​

​

—

​

​

(10)

​

​

598

​

​

9

​

​

(792)

Balance at end of period

​

$

8,792

​

$

1,873

​

$

6,897

​

$

—

​

$

14

​

$

17,187

​

$

50

​

$

34,813

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Three Months Ended March 31, 2023

​

​

Commercial Lending

​

Residential Lending

​

​

​

​

​

​

​

​

Commercial

​

Commercial

​

​

​

​

​

​

​

Home

​

​

​

​

​

​

​

​

and

​

Real

​

​

​

Lease

​

Residential

​

Equity

​

​

​

​

​

​

(dollars in thousands)

  

Industrial

  

Estate

  

Construction

  

Financing

  

Mortgage

  

Line

  

Consumer

  

Total

Reserve for unfunded commitments:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Balance at beginning of period

​

$

7,811

​

$

2,004

​

$

7,470

​

$

—

​

$

30

​

$

16,483

​

$

37

​

$

33,835

Provision

​

​

(658)

​

​

(312)

​

​

1,482

​

​

—

​

​

(13)

​

​

1,853

​

​

12

​

​

2,364

Balance at end of period

​

$

7,153

​

$

1,692

​

$

8,952

​

$

—

​

$

17

​

$

18,336

​

$

49

​

$

36,199

​

Credit Quality Information

​

The Company performs an internal loan review and grading or scoring procedures on an ongoing basis. The review provides management with periodic information as to the quality of the loan portfolio and effectiveness of the Company’s lending policies and procedures. The objective of the loan review and grading or scoring procedures is to identify, in a timely manner, existing or emerging credit quality issues so that appropriate steps can be initiated to avoid or minimize future losses.

​

Loans and leases subject to grading primarily include: commercial and industrial loans, commercial real estate loans, construction loans and lease financing. Other loans subject to grading include installment loans to businesses or individuals for business and commercial purposes, overdraft lines of credit, commercial credit cards, and other credits as may be determined. Credit quality indicators for internally graded loans and leases are generally updated on an annual basis or on a quarterly basis for those loans and leases deemed to be of potentially higher risk.

​

An internal credit risk rating system is used to determine loan grade and is based on borrower credit risk and transactional risk. The loan grading process is a mechanism used to determine the risk of a particular borrower and is based on the following factors of a borrower: character, earnings and operating cash flow, asset and liability structure, debt capacity, management and controls, borrowing entity, and industry and operating environment.

​

Pass – “Pass” (uncriticized) loans and leases, are not considered to carry greater than normal risk. The borrower has the apparent ability to satisfy obligations to the Company, and therefore no loss in ultimate collection is anticipated.

​

Special Mention – Loans and leases that have potential weaknesses deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for assets 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.

​

Substandard – Loans and leases that are inadequately protected by the current financial condition and paying capacity of the obligor or by any collateral pledged. Loans and leases so classified must have a well-defined weakness or weaknesses that jeopardize the collection of the debt. They are characterized by the distinct possibility that the bank may sustain some loss if the deficiencies are not corrected.

​

Doubtful – Loans and leases that have weaknesses found in substandard borrowers with the added provision that the weaknesses make collection of debt in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.

​

Loss – Loans and leases classified as loss are considered uncollectible and of such little value that their continuance as an asset is not warranted. This classification does not mean that the loan or lease has absolutely no recovery or salvage value, but rather that it is not practical or desirable to defer writing off this basically worthless asset even though partial recovery may be effected in the future.

​

Loans that are primarily monitored for credit quality using FICO scores include: residential mortgage loans, home equity lines and consumer loans. FICO scores are calculated primarily based on a consideration of payment history, the current amount of debt, the length of credit history available, a recent history of new sources of credit and the mix of credit type. FICO scores are updated on a monthly, quarterly or bi-annual basis, depending on the product type.

​

The amortized cost basis by year of origination and credit quality indicator of the Company’s loans and leases as of March 31, 2024 was as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Revolving

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Loans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Converted

​

​

​

​

​

Term Loans

​

Revolving

​

to Term

​

​

​

​

​

Amortized Cost Basis by Origination Year

​

Loans

​

Loans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Amortized

​

Amortized

​

​

​

(dollars in thousands)

​

2024

​

2023

​

2022

​

2021

​

2020

​

Prior

​

Cost Basis

​

Cost Basis

​

Total

Commercial Lending

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Commercial and Industrial

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Risk rating:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Pass

​

$

13,488

​

$

104,265

​

$

263,282

​

$

318,417

​

$

29,787

​

$

282,287

​

$

987,132

​

$

26,745

​

$

2,025,403

Special Mention

​

​

202

​

​

1

​

​

23,276

​

​

73

​

​

539

​

​

1,385

​

​

8,132

​

​

—

​

​

33,608

Substandard

​

​

—

​

​

—

​

​

20,364

​

​

214

​

​

572

​

​

2,191

​

​

25,638

​

​

—

​

​

48,979

Other (1)

​

​

4,887

​

​

12,883

​

​

10,053

​

​

4,044

​

​

1,970

​

​

2,396

​

​

45,652

​

​

—

​

​

81,885

Total Commercial and Industrial

​

​

18,577

​

​

117,149

​

​

316,975

​

​

322,748

​

​

32,868

​

​

288,259

​

​

1,066,554

​

​

26,745

​

​

2,189,875

Current period gross charge-offs

​

​

—

​

​

71

​

​

114

​

​

61

​

​

52

​

​

611

​

​

—

​

​

—

​

​

909

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Commercial Real Estate

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Risk rating:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Pass

​

​

28,321

​

​

344,674

​

​

864,166

​

​

671,379

​

​

334,606

​

​

1,866,875

​

​

93,485

​

​

4,223

​

​

4,207,729

Special Mention

​

​

3,339

​

​

2,290

​

​

7,591

​

​

41,337

​

​

1,358

​

​

18,507

​

​

6,863

​

​

—

​

​

81,285

Substandard

​

​

—

​

​

—

​

​

5,047

​

​

1,203

​

​

—

​

​

5,244

​

​

652

​

​

—

​

​

12,146

Other (1)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

140

​

​

—

​

​

—

​

​

140

Total Commercial Real Estate

​

​

31,660

​

​

346,964

​

​

876,804

​

​

713,919

​

​

335,964

​

​

1,890,766

​

​

101,000

​

​

4,223

​

​

4,301,300

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Construction

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Risk rating:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Pass

​

​

14,198

​

​

181,628

​

​

311,175

​

​

258,400

​

​

59,563

​

​

65,776

​

​

11,872

​

​

—

​

​

902,612

Special Mention

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

837

​

​

—

​

​

—

​

​

837

Substandard

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

24,437

​

​

—

​

​

—

​

​

24,437

Other (1)

​

​

859

​

​

12,258

​

​

17,492

​

​

6,373

​

​

1,357

​

​

5,588

​

​

704

​

​

—

​

​

44,631

Total Construction

​

​

15,057

​

​

193,886

​

​

328,667

​

​

264,773

​

​

60,920

​

​

96,638

​

​

12,576

​

​

—

​

​

972,517

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Lease Financing

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Risk rating:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Pass

​

​

50,531

​

​

114,686

​

​

78,028

​

​

17,488

​

​

28,946

​

​

97,319

​

​

—

​

​

—

​

​

386,998

Special Mention

​

​

—

​

​

51

​

​

125

​

​

377

​

​

20

​

​

—

​

​

—

​

​

—

​

​

573

Substandard

​

​

5,370

​

​

676

​

​

392

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

6,438

Total Lease Financing

​

​

55,901

​

​

115,413

​

​

78,545

​

​

17,865

​

​

28,966

​

​

97,319

​

​

—

​

​

—

​

​

394,009

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Total Commercial Lending

​

$

121,195

​

$

773,412

​

$

1,600,991

​

$

1,319,305

​

$

458,718

​

$

2,372,982

​

$

1,180,130

​

$

30,968

​

$

7,857,701

Current period gross charge-offs

​

$

—

​

$

71

​

$

114

​

$

61

​

$

52

​

$

611

​

$

—

​

$

—

​

$

909

(continued)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Revolving

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Loans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Converted

​

​

​

​

​

Term Loans

​

Revolving

​

to Term

​

​

​

​

​

Amortized Cost Basis by Origination Year

​

Loans

​

Loans

​

​

​

(continued)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Amortized

​

Amortized

​

​

​

(dollars in thousands)

​

2024

​

2023

​

2022

​

2021

​

2020

​

Prior

​

Cost Basis

​

Cost Basis

​

Total

Residential Lending

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Residential Mortgage

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

FICO:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

740 and greater

​

$

28,332

​

$

207,263

​

$

524,402

​

$

987,343

​

$

521,598

​

$

1,186,496

​

$

—

​

$

—

​

$

3,455,434

680 - 739

​

​

1,525

​

​

36,569

​

​

67,192

​

​

115,481

​

​

67,662

​

​

158,890

​

​

—

​

​

—

​

​

447,319

620 - 679

​

​

910

​

​

2,910

​

​

16,268

​

​

19,056

​

​

12,733

​

​

41,573

​

​

—

​

​

—

​

​

93,450

550 - 619

​

​

—

​

​

1,303

​

​

6,506

​

​

1,903

​

​

2,477

​

​

11,685

​

​

—

​

​

—

​

​

23,874

Less than 550

​

​

—

​

​

—

​

​

—

​

​

2,894

​

​

2,006

​

​

6,686

​

​

—

​

​

—

​

​

11,586

No Score (3)

​

​

—

​

​

9,081

​

​

20,505

​

​

11,400

​

​

6,006

​

​

58,777

​

​

—

​

​

—

​

​

105,769

Other (2)

​

​

1,419

​

​

13,320

​

​

16,937

​

​

15,740

​

​

12,088

​

​

32,590

​

​

12,976

​

​

—

​

​

105,070

Total Residential Mortgage

​

​

32,186

​

​

270,446

​

​

651,810

​

​

1,153,817

​

​

624,570

​

​

1,496,697

​

​

12,976

​

​

—

​

​

4,242,502

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Home Equity Line

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

FICO:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

740 and greater

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

943,792

​

​

1,428

​

​

945,220

680 - 739

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

162,578

​

​

1,886

​

​

164,464

620 - 679

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

33,728

​

​

927

​

​

34,655

550 - 619

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

13,382

​

​

971

​

​

14,353

Less than 550

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

5,392

​

​

296

​

​

5,688

No Score (3)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

1,398

​

​

—

​

​

1,398

Total Home Equity Line

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

1,160,270

​

​

5,508

​

​

1,165,778

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Total Residential Lending

​

$

32,186

​

$

270,446

​

$

651,810

​

$

1,153,817

​

$

624,570

​

$

1,496,697

​

$

1,173,246

​

$

5,508

​

$

5,408,280

Current period gross charge-offs

​

$

—

​

$

—

​

$

—

​

$

—

​

$

—

​

$

—

​

$

—

​

$

—

​

$

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Consumer Lending

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

FICO:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

740 and greater

​

​

18,671

​

​

82,551

​

​

113,914

​

​

66,175

​

​

28,100

​

​

22,442

​

​

116,198

​

​

138

​

​

448,189

680 - 739

​

​

13,464

​

​

64,229

​

​

64,623

​

​

33,167

​

​

14,755

​

​

13,951

​

​

75,151

​

​

439

​

​

279,779

620 - 679

​

​

4,293

​

​

28,729

​

​

27,210

​

​

15,641

​

​

6,793

​

​

10,003

​

​

35,179

​

​

791

​

​

128,639

550 - 619

​

​

620

​

​

6,973

​

​

11,551

​

​

7,621

​

​

4,025

​

​

6,289

​

​

13,452

​

​

795

​

​

51,326

Less than 550

​

​

110

​

​

2,634

​

​

6,734

​

​

5,075

​

​

2,837

​

​

4,179

​

​

5,782

​

​

646

​

​

27,997

No Score (3)

​

​

733

​

​

839

​

​

209

​

​

—

​

​

9

​

​

16

​

​

39,466

​

​

256

​

​

41,528

Other (2)

​

​

—

​

​

304

​

​

349

​

​

960

​

​

330

​

​

1,032

​

​

73,794

​

​

—

​

​

76,769

Total Consumer Lending

​

$

37,891

​

$

186,259

​

$

224,590

​

$

128,639

​

$

56,849

​

$

57,912

​

$

359,022

​

$

3,065

​

$

1,054,227

Current period gross charge-offs

​

$

—

​

$

437

​

$

904

​

$

496

​

$

272

​

$

769

​

$

1,789

​

$

187

​

$

4,854

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Total Loans and Leases

​

$

191,272

​

$

1,230,117

​

$

2,477,391

​

$

2,601,761

​

$

1,140,137

​

$

3,927,591

​

$

2,712,398

​

$

39,541

​

$

14,320,208

Current period gross charge-offs

​

$

—

​

$

508

​

$

1,018

​

$

557

​

$

324

​

$

1,380

​

$

1,789

​

$

187

​

$

5,763

(1)Other credit quality indicators used for monitoring purposes are primarily FICO scores. The majority of the loans in this population were originated to borrowers with a prime FICO score.
(2)Other credit quality indicators used for monitoring purposes are primarily internal risk ratings. The majority of the loans in this population were graded with a “Pass” rating.
(3)No FICO scores are primarily related to loans and leases extended to non-residents. Loans and leases of this nature are primarily secured by collateral and/or are closely monitored for performance.

​

The amortized cost basis by year of origination and credit quality indicator of the Company’s loans and leases as of December 31, 2023 was as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Revolving

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Loans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Converted

​

​

​

​

​

Term Loans

​

Revolving

​

to Term

​

​

​

​

​

Amortized Cost Basis by Origination Year

​

Loans

​

Loans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Amortized

​

Amortized

​

​

​

(dollars in thousands)

​

2023

​

2022

​

2021

​

2020

​

2019

​

Prior

​

Cost Basis

​

Cost Basis

​

Total

Commercial Lending

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Commercial and Industrial

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Risk rating:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Pass

​

$

85,839

​

$

273,663

​

$

346,024

​

$

32,753

​

$

146,893

​

$

141,681

​

$

971,065

​

$

1,823

​

$

1,999,741

Special Mention

​

​

1

​

​

44,069

​

​

80

​

​

653

​

​

1,032

​

​

1,290

​

​

22,807

​

​

14

​

​

69,946

Substandard

​

​

—

​

​

342

​

​

230

​

​

677

​

​

1,686

​

​

829

​

​

8,330

​

​

—

​

​

12,094

Other (1)

​

​

15,978

​

​

11,598

​

​

4,814

​

​

2,370

​

​

1,702

​

​

1,125

​

​

45,981

​

​

—

​

​

83,568

Total Commercial and Industrial

​

​

101,818

​

​

329,672

​

​

351,148

​

​

36,453

​

​

151,313

​

​

144,925

​

​

1,048,183

​

​

1,837

​

​

2,165,349

Current period gross charge-offs

​

​

130

​

​

70

​

​

75

​

​

87

​

​

168

​

​

2,952

​

​

—

​

​

—

​

​

3,482

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Commercial Real Estate

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Risk rating:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Pass

​

​

346,369

​

​

872,783

​

​

676,362

​

​

337,529

​

​

523,446

​

​

1,414,613

​

​

74,238

​

​

1,350

​

​

4,246,690

Special Mention

​

​

2,307

​

​

7,618

​

​

41,320

​

​

1,359

​

​

13,550

​

​

11,998

​

​

819

​

​

—

​

​

78,971

Substandard

​

​

205

​

​

5,079

​

​

2,003

​

​

—

​

​

2,953

​

​

2,545

​

​

1,655

​

​

—

​

​

14,440

Other (1)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

142

​

​

—

​

​

—

​

​

142

Total Commercial Real Estate

​

​

348,881

​

​

885,480

​

​

719,685

​

​

338,888

​

​

539,949

​

​

1,429,298

​

​

76,712

​

​

1,350

​

​

4,340,243

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

2,500

​

​

—

​

​

—

​

​

—

​

​

2,500

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Construction

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Risk rating:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Pass

​

​

156,432

​

​

269,623

​

​

265,674

​

​

60,057

​

​

63,018

​

​

27,847

​

​

6,070

​

​

—

​

​

848,721

Special Mention

​

​

—

​

​

—

​

​

—

​

​

—

​

​

189

​

​

665

​

​

—

​

​

—

​

​

854

Other (1)

​

​

12,728

​

​

21,036

​

​

8,250

​

​

2,143

​

​

2,031

​

​

3,820

​

​

709

​

​

—

​

​

50,717

Total Construction

​

​

169,160

​

​

290,659

​

​

273,924

​

​

62,200

​

​

65,238

​

​

32,332

​

​

6,779

​

​

—

​

​

900,292

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Lease Financing

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Risk rating:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Pass

​

​

145,914

​

​

82,833

​

​

18,680

​

​

31,791

​

​

30,299

​

​

68,520

​

​

—

​

​

—

​

​

378,037

Special Mention

​

​

56

​

​

137

​

​

414

​

​

35

​

​

—

​

​

—

​

​

—

​

​

—

​

​

642

Substandard

​

​

712

​

​

416

​

​

—

​

​

—

​

​

2

​

​

—

​

​

—

​

​

—

​

​

1,130

Total Lease Financing

​

​

146,682

​

​

83,386

​

​

19,094

​

​

31,826

​

​

30,301

​

​

68,520

​

​

—

​

​

—

​

​

379,809

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Total Commercial Lending

​

$

766,541

​

$

1,589,197

​

$

1,363,851

​

$

469,367

​

$

786,801

​

$

1,675,075

​

$

1,131,674

​

$

3,187

​

$

7,785,693

Current period gross charge-offs

​

$

130

​

$

70

​

$

75

​

$

87

​

$

2,668

​

$

2,952

​

$

—

​

$

—

​

$

5,982

(continued)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Revolving

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Loans

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Converted

​

​

​

​

​

Term Loans

​

Revolving

​

to Term

​

​

​

​

​

Amortized Cost Basis by Origination Year

​

Loans

​

Loans

​

​

​

(continued)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Amortized

​

Amortized

​

​

​

(dollars in thousands)

​

2023

​

2022

​

2021

​

2020

​

2019

​

Prior

​

Cost Basis

​

Cost Basis

​

Total

Residential Lending

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Residential Mortgage

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

FICO:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

740 and greater

​

$

211,598

​

$

529,296

​

$

999,522

​

$

529,881

​

$

227,058

​

$

987,251

​

$

—

​

$

—

​

$

3,484,606

680 - 739

​

​

36,975

​

​

67,205

​

​

117,337

​

​

68,122

​

​

33,148

​

​

130,387

​

​

—

​

​

—

​

​

453,174

620 - 679

​

​

3,544

​

​

16,395

​

​

19,184

​

​

12,811

​

​

4,096

​

​

38,987

​

​

—

​

​

—

​

​

95,017

550 - 619

​

​

1,305

​

​

6,521

​

​

1,917

​

​

2,492

​

​

398

​

​

11,679

​

​

—

​

​

—

​

​

24,312

Less than 550

​

​

—

​

​

—

​

​

2,909

​

​

2,017

​

​

582

​

​

6,439

​

​

—

​

​

—

​

​

11,947

No Score (3)

​

​

9,137

​

​

19,311

​

​

11,492

​

​

6,043

​

​

9,679

​

​

51,109

​

​

—

​

​

—

​

​

106,771

Other (2)

​

​

15,802

​

​

17,528

​

​

17,432

​

​

12,534

​

​

8,599

​

​

25,513

​

​

10,080

​

​

—

​

​

107,488

Total Residential Mortgage

​

​

278,361

​

​

656,256

​

​

1,169,793

​

​

633,900

​

​

283,560

​

​

1,251,365

​

​

10,080

​

​

—

​

​

4,283,315

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

122

​

​

—

​

​

—

​

​

122

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Home Equity Line

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

FICO:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

740 and greater

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

964,932

​

​

1,511

​

​

966,443

680 - 739

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

151,716

​

​

1,920

​

​

153,636

620 - 679

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

36,541

​

​

1,189

​

​

37,730

550 - 619

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

9,896

​

​

1,012

​

​

10,908

Less than 550

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

4,488

​

​

100

​

​

4,588

No Score (3)

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

1,283

​

​

—

​

​

1,283

Total Home Equity Line

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

1,168,856

​

​

5,732

​

​

1,174,588

Current period gross charge-offs

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

—

​

​

273

​

​

19

​

​

292

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Total Residential Lending

​

$

278,361

​

$

656,256

​

$

1,169,793

​

$

633,900

​

$

283,560

​

$

1,251,365

​

$

1,178,936

​

$

5,732

​

$

5,457,903

Current period gross charge-offs

​

$

—

​

$

—

​

$

—

​

$

—

​

$

—

​

$

122

​

$

273

​

$

19

​

$

414

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Consumer Lending

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

FICO:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

740 and greater

​

​

92,117

​

​

128,358

​

​

76,148

​

​

33,507

​

​

21,819

​

​

8,970

​

​

123,592

​

​

155

​

​

484,666

680 - 739

​

​

68,865

​

​

71,031

​

​

37,925

​

​

17,116

​

​

13,270

​

​

5,690

​

​

76,645

​

​

401

​

​

290,943

620 - 679

​

​

28,533

​

​

29,229

​

​

16,919

​

​

7,843

​

​

7,972

​

​

4,624

​

​

35,210

​

​

781

​

​

131,111

550 - 619

​

​

4,996

​

​

10,859

​

​

7,760

​

​

4,917

​

​

4,651

​

​

2,986

​

​

13,223

​

​

925

​

​

50,317

Less than 550

​

​

1,790

​

​

6,370

​

​

4,842

​

​

2,796

​

​

2,905

​

​

2,040

​

​

5,222

​

​

455

​

​

26,420

No Score (3)

​

​

1,545

​

​

229

​

​

—

​

​

—

​

​

1

​

​

10

​

​

42,933

​

​

136

​

​

44,854

Other (2)

​

​

361

​

​

368

​

​

982

​

​

335

​

​

1,059

​

​

1

​

​

78,484

​

​

—

​

​

81,590

Total Consumer Lending

​

$

198,207

​

$

246,444

​

$

144,576

​

$

66,514

​

$

51,677

​

$

24,321

​

$

375,309

​

$

2,853

​

$

1,109,901

Current period gross charge-offs

​

$

639

​

$

2,400

​

$

2,135

​

$

1,142

​

$

1,816

​

$

2,622

​

$

5,790

​

$

566

​

$

17,110

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Total Loans and Leases

​

$

1,243,109

​

$

2,491,897

​

$

2,678,220

​

$

1,169,781

​

$

1,122,038

​

$

2,950,761

​

$

2,685,919

​

$

11,772

​

$

14,353,497

Current period gross charge-offs

​

$

769

​

$

2,470

​

$

2,210

​

$

1,229

​

$

4,484

​

$

5,696

​

$

6,063

​

$

585

​

$

23,506

(1)Other credit quality indicators used for monitoring purposes are primarily FICO scores. The majority of the loans in this population were originated to borrowers with a prime FICO score.
(2)Other credit quality indicators used for monitoring purposes are primarily internal risk ratings. The majority of the loans in this population were graded with a “Pass” rating.
(3)No FICO scores are primarily related to loans and leases extended to non-residents. Loans and leases of this nature are primarily secured by collateral and/or are closely monitored for performance.

​

There were no loans and leases graded as Loss as of March 31, 2024 and December 31, 2023.

​

Past-Due Status

​

The Company continually updates its aging analysis for loans and leases to monitor the migration of loans and leases into past due categories. The Company considers loans and leases that are delinquent for 30 days or more to be past due. As of March 31, 2024 and December 31, 2023, the aging analysis of the amortized cost basis of the Company’s past due loans and leases was as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

March 31, 2024

​

​

Past Due

​

​

​

​

​

Loans and

​

​

​

​

​

​

Greater

​

​

​

​

​

​

​

Leases Past

​

​

​

​

​

​

Than or

​

​

​

​

​

​

​

Due 90 Days

​

​

30-59

​

60-89

​

Equal to

​

​

​

​

​

​

​

or More and

​

​

Days

​

Days

​

90 Days

​

Total

​

​

​

Total Loans

​

Still Accruing

(dollars in thousands)

  

Past Due

  

Past Due

  

Past Due

  

Past Due

  

Current

  

and Leases

​

Interest

Commercial and industrial

​

$

1,713

​

$

162

​

$

1,470

​

$

3,345

​

$

2,186,530

​

$

2,189,875

​

$

529

Commercial real estate

​

​

—

​

​

—

​

​

2,953

​

​

2,953

​

​

4,298,347

​

​

4,301,300

​

​

—

Construction

​

​

—

​

​

—

​

​

606

​

​

606

​

​

971,911

​

​

972,517

​

​

606

Lease financing

​

​

—

​

​

—

​

​

—

​

​

—

​

​

394,009

​

​

394,009

​

​

—

Residential mortgage

​

​

1,857

​

​

2,742

​

​

5,406

​

​

10,005

​

​

4,232,497

​

​

4,242,502

​

​

359

Home equity line

​

​

2,996

​

​

894

​

​

2,827

​

​

6,717

​

​

1,159,061

​

​

1,165,778

​

​

—

Consumer

​

​

15,606

​

​

2,873

​

​

2,126

​

​

20,605

​

​

1,033,622

​

​

1,054,227

​

​

2,126

Total

​

$

22,172

​

$

6,671

​

$

15,388

​

$

44,231

​

$

14,275,977

​

$

14,320,208

​

$

3,620

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

December 31, 2023

​

​

Past Due

​

​

​

​

​

Loans and

​

​

​

​

​

​

Greater

​

​

​

​

​

​

​

Leases Past

​

​

​

​

​

​

Than or

​

​

​

​

​

​

​

Due 90 Days

​

​

30-59

​

60-89

​

Equal to

​

​

​

​

​

​

​

or More and

​

​

Days

​

Days

​

90 Days

​

Total

​

​

​

Total Loans

​

Still Accruing

(dollars in thousands)

  

Past Due

  

Past Due

  

Past Due

  

Past Due

  

Current

  

and Leases

​

Interest

Commercial and industrial

​

$

2,611

​

$

349

​

$

1,464

​

$

4,424

​

$

2,160,925

​

$

2,165,349

​

$

494

Commercial real estate

​

​

—

​

​

196

​

​

300

​

​

496

​

​

4,339,747

​

​

4,340,243

​

​

300

Construction

​

​

25,191

​

​

—

​

​

—

​

​

25,191

​

​

875,101

​

​

900,292

​

​

—

Lease financing

​

​

—

​

​

—

​

​

—

​

​

—

​

​

379,809

​

​

379,809

​

​

—

Residential mortgage

​

​

5,244

​

​

1,475

​

​

4,720

​

​

11,439

​

​

4,271,876

​

​

4,283,315

​

​

—

Home equity line

​

​

5,940

​

​

624

​

​

3,550

​

​

10,114

​

​

1,164,474

​

​

1,174,588

​

​

—

Consumer

​

​

23,259

​

​

3,897

​

​

2,702

​

​

29,858

​

​

1,080,043

​

​

1,109,901

​

​

2,702

Total

​

$

62,245

​

$

6,541

​

$

12,736

​

$

81,522

​

$

14,271,975

​

$

14,353,497

​

$

3,496

​

Nonaccrual Loans and Leases

​

The Company generally places a loan or lease on nonaccrual status when management believes that collection of principal or interest has become doubtful or when a loan or lease becomes 90 days past due as to principal or interest, unless it is well secured and in the process of collection. The Company charges off a loan or lease when facts indicate that the loan or lease is considered uncollectible.

​

The amortized cost basis of loans and leases on nonaccrual status as of March 31, 2024 and December 31, 2023 and the amortized cost basis of loans and leases on nonaccrual status with no ACL as of March 31, 2024 and December 31, 2023 were as follows:

​

​

​

​

​

​

​

​

​

​

March 31, 2024

​

​

Nonaccrual

​

​

​

​

​

Loans

​

​

​

​

​

and Leases

​

​

​

​

​

With No

​

Nonaccrual

​

​

Allowance

​

Loans

(dollars in thousands)

  

for Credit Losses

​

and Leases

Commercial and industrial

​

$

—

​

$

942

Commercial real estate

​

​

2,685

​

​

2,953

Residential mortgage

​

​

3,297

​

​

7,777

Home equity line

​

​

1,150

​

​

6,345

Total Nonaccrual Loans and Leases

​

$

7,132

​

$

18,017

​

​

​

​

​

​

​

​

​

​

December 31, 2023

​

​

Nonaccrual

​

​

​

​

​

Loans

​

​

​

​

​

and Leases

​

​

​

​

​

With No

​

Nonaccrual

​

​

Allowance

​

Loans

(dollars in thousands)

  

for Credit Losses

​

and Leases

Commercial and industrial

​

$

—

​

$

970

Commercial real estate

​

​

2,685

​

​

2,953

Residential mortgage

​

​

2,667

​

​

7,620

Home equity line

​

​

1,163

​

​

7,052

Total Nonaccrual Loans and Leases

​

$

6,515

​

$

18,595

​

For the three months ended March 31, 2024, the Company recognized interest income of $0.2 million on nonaccrual loans and leases and for the three months ended March 31, 2023, the Company recognized interest income of $0.1 million on nonaccrual loans and leases. Furthermore, for both the three months ended March 31, 2024 and 2023, the amount of accrued interest receivables written off by reversing interest income was $0.2 million.

​

Collateral-Dependent Loans and Leases

​

Collateral-dependent loans and leases are those for which repayment (on the basis of the Company’s assessment as of the reporting date) is expected to be provided substantially through the operation or sale of the collateral and the borrower is experiencing financial difficulty. As of March 31, 2024 and December 31, 2023, the amortized cost basis of collateral-dependent loans were $32.5 million and $11.1 million, respectively. As of March 31, 2024, these loans were primarily collateralized by residential real estate property and borrower assets and the fair value of collateral on substantially all collateral-dependent loans were significantly in excess of their amortized cost basis. As of December 31, 2023, these loans were primarily collateralized by residential real estate property and the fair value of collateral on substantially all collateral-dependent loans were significantly in excess of their amortized cost basis.

​

Loan Modifications to Borrowers Experiencing Financial Difficulty

​

Commercial and industrial loans with a borrower experiencing financial difficulty may be modified through interest rate reductions, term extensions, and converting revolving credit lines to term loans. Modifications of commercial real estate and construction loans with a borrower experiencing financial difficulty may involve reducing the interest rate for the remaining term of the loan or extending the maturity date at an interest rate lower than the current market rate for new debt with similar risk. Modifications of construction loans with a borrower experiencing financial difficulty may also involve extending the interest-only payment period. Interest continues to accrue on the missed payments and as a result, the effective yield on the loan remains unchanged. Modifications of residential real estate loans with a borrower experiencing financial difficulty may be comprised of loans where monthly payments are lowered to accommodate the borrowers' financial needs for a period of time, including extended interest-only periods and reamortization of the balance. Modifications of consumer loans with a borrower experiencing financial difficulty may involve interest rate reductions and term extensions.

​

Loans modified with a borrower experiencing financial difficulty, whether in default or not, may already be on nonaccrual status and in some cases, partial charge-offs may have already been taken against the outstanding loan balance. Loans modified with a borrower experiencing financial difficulty are evaluated for impairment. As a result, this may have a financial effect of impacting the specific ACL associated with the loan. An ACL for impaired commercial loans, including commercial real estate and construction loans, is measured based on the present value of expected future cash flows discounted at the loan's effective interest rate or if the loan is collateral-dependent, the estimated fair value of the collateral, less any selling costs. An ACL for impaired residential real estate loans is measured based on the estimated fair value of the collateral, less any selling costs. Management exercises significant judgment in developing these estimates.

​

The following tables present, by class of financing receivable and type of modification granted, the amortized cost basis as of March 31, 2024 and 2023, related to loans modified to borrowers experiencing financial difficulty during the three months ended March 31, 2024 and 2023, respectively:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Interest Rate Reduction

​

​

​

Three Months Ended

​

​

​

Three Months Ended

​

​

​

​

March 31, 2024

​

​

​

March 31, 2023

​

​

​

​

Amortized

​

% of Total Class

​

​

​

Amortized

​

% of Total Class

​

(dollars in thousands)

  

 

Cost Basis(1)

​

of Financing Receivable

​

  

 

Cost Basis(1)

​

of Financing Receivable

​

Commercial real estate

​

$

—

​

—

%

​

$

4

​

n/m

%

Consumer

​

​

628

​

0.06

​

​

​

358

​

0.03

​

Total

​

$

628

​

n/m

%

​

$

362

​

n/m

%

n/m – Represents less than 0.01% of total class of financing receivable.

(1)The amortized cost basis reflects all partial paydowns and charge-offs since the modification date and do not include loans modified to borrowers experiencing financial difficulty that have been fully paid off, charged off, or foreclosed upon by the end of the period.

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Term Extension

​

​

​

Three Months Ended

​

​

​

Three Months Ended

​

​

​

​

March 31, 2024

​

​

​

March 31, 2023

​

​

​

​

Amortized

​

% of Total Class

​

​

​

Amortized

​

% of Total Class

​

(dollars in thousands)

  

 

Cost Basis(1)

​

of Financing Receivable

​

  

 

Cost Basis(1)

​

of Financing Receivable

​

Commercial and industrial

​

$

199

​

0.01

%

​

$

96

​

n/m

%

Construction

​

​

—

​

—

​

​

​

231

​

0.03

​

Residential mortgage

​

​

310

​

0.01

​

​

​

34

​

n/m

​

Consumer

​

​

118

​

0.01

​

​

​

71

​

0.01

​

Total

​

$

627

​

n/m

%

​

$

432

​

n/m

%

n/m – Represents less than 0.01% of total class of financing receivable.

(1)The amortized cost basis reflects all partial paydowns and charge-offs since the modification date and do not include loans modified to borrowers experiencing financial difficulty that have been fully paid off, charged off, or foreclosed upon by the end of the period.

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Other-Than-Insignificant Payment Delay

​

​

​

​

Three Months Ended

​

​

​

Three Months Ended

​

​

​

​

March 31, 2024

​

​

​

March 31, 2023

​

​

​

​

Amortized

​

% of Total Class

​

​

​

Amortized

​

% of Total Class

​

(dollars in thousands)

  

 

Cost Basis(1)

​

of Financing Receivable

​

  

 

Cost Basis(1)

​

of Financing Receivable

​

Residential mortgage

​

$

1,260

​

0.03

%

​

$

—

​

—

%

Total

​

$

1,260

​

n/m

%

​

$

—

​

—

%

n/m – Represents less than 0.01% of total class of financing receivable.

(1)The amortized cost basis reflects all partial paydowns and charge-offs since the modification date and do not include loans modified to borrowers experiencing financial difficulty that have been fully paid off, charged off, or foreclosed upon by the end of the period.

​

​

The following tables describe, by class of financing receivable and type of modification granted, the financial effect of the modifications made to borrowers experiencing financial difficulty during the three months ended March 31, 2024 and 2023.

​

​

​

​

​

​

​

​

​

Interest Rate Reduction

​

​

Financial Effect

​

​

Three Months Ended March 31, 2024

​

Three Months Ended March 31, 2023

Commercial real estate

​

—

​

Reduced weighted-average contractual interest rate by 0.75%.

Consumer

​

Reduced weighted-average contractual interest rate by 13.55%.

​

Reduced weighted-average contractual interest rate by 13.51%.

​

​

​

​

​

​

​

​

​

Term Extension

​

​

Financial Effect

​

​

Three Months Ended March 31, 2024

​

Three Months Ended March 31, 2023

Commercial and industrial

​

Added a weighted-average 3.8 years to the life of loans.

​

Added a weighted-average 3.0 years to the life of loans.

Construction

​

—

​

Added a weighted-average 2.9 years to the life of loans.

Residential mortgage

​

Added a weighted-average 1.0 years to the life of loans.

​

Added a weighted-average 5.9 years to the life of loans.

Consumer

​

Added a weighted-average 4.2 years to the life of loans.

​

Added a weighted-average 4.6 years to the life of loans.

​

​

​

​

​

​

​

​

Other-Than-Insignificant Payment Delay

​

​

Financial Effect

​

​

Three Months Ended March 31, 2024

​

Three Months Ended March 31, 2023

Residential mortgage

​

Deferred an average of $172 thousand in loan payments.

​

—

​

The following table presents, by class of financing receivable and type of modification granted, the amortized cost basis, as of March 31, 2024 and 2023, of loans that had a payment default during the three months ended March 31, 2024 and 2023, respectively, and were modified in the 12 months before default to borrowers experiencing financial difficulty. The Company is reporting these defaulted loans based on a payment default definition of 30 days past due:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Amortized Cost Basis of Modified Loans That Subsequently Defaulted(1)

​

​

Three Months Ended March 31, 2024

​

Three Months Ended March 31, 2023

(dollars in thousands)

​

Interest Rate Reduction 

​

​

Term Extension

​

Interest Rate Reduction

​

Term Extension

Consumer

​

$

300

​

$

7

​

$

10

​

$

—

Total

​

$

300

​

$

7

​

$

10

​

$

—

(1)The amortized cost basis reflects all partial paydowns and charge-offs since the modification date and do not include loans modified to borrowers experiencing financial difficulty that have been fully paid off, charged off, or foreclosed upon by the end of the period.

​

Performance of the loans that are modified to borrowers experiencing financial difficulty is monitored to understand the effectiveness of the Company’s modification efforts. As of March 31, 2024 and 2023, the aging analysis of the amortized cost basis of the performance of loans that have been modified in the last 12 months related to borrowers experiencing financial difficulty was as follows:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

March 31, 2024

​

​

​

Past Due

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Greater Than

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

or Equal to

​

​

​

​

​

​

​

​

​

​

​

​

30-59 Days

​

​

60-89 Days

​

​

90 Days

​

​

Total

​

​

​

​

​

​

(dollars in thousands)

​

 

Past Due

​

 

Past Due

​

 

Past Due

​

 

Past Due

​

 

Current

​

 

Total

Commercial and industrial

​

$

—

​

$

—

​

$

—

​

$

—

​

$

467

​

$

467

Commercial real estate

​

​

—

​

​

—

​

​

—

​

​

—

​

​

2,857

​

​

2,857

Construction

​

​

—

​

​

—

​

​

—

​

​

—

​

​

657

​

​

657

Residential mortgage

​

​

—

​

​

—

​

​

—

​

​

—

​

​

1,570

​

​

1,570

Consumer

​

​

96

​

​

86

​

​

22

​

​

204

​

​

1,407

​

​

1,611

Total

​

$

96

​

$

86

​

$

22

​

$

204

​

$

6,958

​

$

7,162

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

March 31, 2023

​

​

​

Past Due

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Greater Than

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

or Equal to

​

​

​

​

​

​

​

​

​

​

​

​

30-59 Days

​

​

60-89 Days

​

​

90 Days

​

​

Total

​

​

​

​

​

​

(dollars in thousands)

​

 

Past Due

​

 

Past Due

​

 

Past Due

​

 

Past Due

​

 

Current

​

 

Total

Commercial and industrial

​

$

—

​

$

—

​

$

—

​

$

—

​

$

96

​

$

96

Commercial real estate

​

​

—

​

​

—

​

​

—

​

​

—

​

​

4

​

​

4

Construction

​

​

—

​

​

—

​

​

—

​

​

—

​

​

231

​

​

231

Residential mortgage

​

​

—

​

​

—

​

​

—

​

​

—

​

​

34

​

​

34

Consumer

​

​

9

​

​

—

​

​

—

​

​

9

​

​

420

​

​

429

Total

​

$

9

​

$

—

​

$

—

​

$

9

​

$

785

​

$

794

​

​

The Company had commitments to extend credit, standby letters of credit, and commercial letters of credit totaling $6.5 billion as of both March 31, 2024 and December 31, 2023. Of the $6.5 billion at March 31, 2024, there were no commitments to lend additional funds to borrowers experiencing financial difficulty for which the Company had modified the terms of the loans in the form of an interest rate reduction, term extension, or other-than-insignificant payment delay during the three months ended March 31, 2024. Of the $6.5 billion at December 31, 2023, there were commitments of $5.0 million to lend additional funds to borrowers experiencing financial difficulty for which the Company had modified the terms of the loans in the form of an interest rate reduction or a term extension during the year ended December 31, 2023.

​

Foreclosed Property

​

As of both March 31, 2024 and December 31, 2023, there were no residential real estate properties held from foreclosed residential mortgage loans.