XML 49 R36.htm IDEA: XBRL DOCUMENT v3.20.4
Investment Securities (Tables)
 12 Months Ended
Dec. 31, 2020
Investments Debt And Equity Securities [Abstract]  
Schedule of Amortized Cost, Gross Unrealized Gains and Losses, and Fair Value of Investment Securities

The amortized cost, gross unrealized gains and losses, and fair value of the Company’s investment securities as of December 31, 2020, December 31, 2019, and December 31, 2018, were as follows:

 

(dollars in thousands)

 

Amortized

Cost

 

 

Gross

Unrealized

Gains

 

 

Gross

Unrealized

Losses

 

 

Fair

Value

 

December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Available-for-Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt Securities Issued by the U.S. Treasury and Government Agencies

 

$

174,409

 

 

$

427

 

 

$

(591

)

 

$

174,245

 

Debt Securities Issued by States and Political Subdivisions

 

 

23,540

 

 

 

1,301

 

 

 

(1

)

 

 

24,840

 

Debt Securities Issued by U.S. Government-Sponsored Enterprises

 

 

985

 

 

 

77

 

 

 

—

 

 

 

1,062

 

Debt Securities Issued by Corporations

 

 

220,717

 

 

 

4,844

 

 

 

(956

)

 

 

224,605

 

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

1,561,603

 

 

 

33,657

 

 

 

(445

)

 

 

1,594,815

 

Residential - U.S. Government-Sponsored Enterprises

 

 

1,497,353

 

 

 

21,254

 

 

 

(324

)

 

 

1,518,283

 

Commercial - Government Agencies

 

 

243,029

 

 

 

10,868

 

 

 

(58

)

 

 

253,839

 

Total Mortgage-Backed Securities

 

 

3,301,985

 

 

 

65,779

 

 

 

(827

)

 

 

3,366,937

 

Total

 

$

3,721,636

 

 

$

72,428

 

 

$

(2,375

)

 

$

3,791,689

 

Held-to-Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt Securities Issued by the U.S. Treasury and Government Agencies

 

$

7,500

 

 

$

8

 

 

$

(8

)

 

$

7,500

 

Debt Securities Issued by States and Political Subdivisions

 

 

33,763

 

 

 

741

 

 

 

—

 

 

 

34,504

 

Debt Securities Issued by Corporations

 

 

12,031

 

 

 

251

 

 

 

—

 

 

 

12,282

 

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

917,459

 

 

 

30,580

 

 

 

(29

)

 

 

948,010

 

Residential - U.S. Government-Sponsored Enterprises

 

 

2,099,053

 

 

 

51,735

 

 

 

(291

)

 

 

2,150,497

 

Commercial - Government Agencies

 

 

192,921

 

 

 

3,179

 

 

 

(200

)

 

 

195,900

 

Total Mortgage-Backed Securities

 

 

3,209,433

 

 

 

85,494

 

 

 

(520

)

 

 

3,294,407

 

Total

 

$

3,262,727

 

 

$

86,494

 

 

$

(528

)

 

$

3,348,693

 

December 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Available-for-Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt Securities Issued by the U.S. Treasury and Government Agencies

 

$

222,365

 

 

$

213

 

 

$

(1,447

)

 

$

221,131

 

Debt Securities Issued by States and Political Subdivisions

 

 

54,480

 

 

 

631

 

 

 

(14

)

 

 

55,097

 

Debt Securities Issued by U.S. Government-Sponsored Enterprises

 

 

22,128

 

 

 

19

 

 

 

—

 

 

 

22,147

 

Debt Securities Issued by Corporations

 

 

335,553

 

 

 

1,401

 

 

 

(633

)

 

 

336,321

 

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

1,164,466

 

 

 

11,627

 

 

 

(3,267

)

 

 

1,172,826

 

Residential - U.S. Government-Sponsored Enterprises

 

 

584,272

 

 

 

4,363

 

 

 

(1,874

)

 

 

586,761

 

Commercial - Government Agencies

 

 

224,372

 

 

 

2,889

 

 

 

(2,541

)

 

 

224,720

 

Total Mortgage-Backed Securities

 

 

1,973,110

 

 

 

18,879

 

 

 

(7,682

)

 

 

1,984,307

 

Total

 

$

2,607,636

 

 

$

21,143

 

 

$

(9,776

)

 

$

2,619,003

 

Held-to-Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt Securities Issued by the U.S. Treasury and Government Agencies

 

$

274,375

 

 

$

1,319

 

 

$

(31

)

 

$

275,663

 

Debt Securities Issued by States and Political Subdivisions

 

 

54,811

 

 

 

1,236

 

 

 

—

 

 

 

56,047

 

Debt Securities Issued by Corporations

 

 

14,975

 

 

 

—

 

 

 

(138

)

 

 

14,837

 

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

1,067,416

 

 

 

13,247

 

 

 

(5,348

)

 

 

1,075,315

 

Residential - U.S. Government-Sponsored Enterprises

 

 

1,546,479

 

 

 

13,871

 

 

 

(2,478

)

 

 

1,557,872

 

Commercial - Government Agencies

 

 

84,238

 

 

 

317

 

 

 

(1,407

)

 

 

83,148

 

Total Mortgage-Backed Securities

 

 

2,698,133

 

 

 

27,435

 

 

 

(9,233

)

 

 

2,716,335

 

Total

 

$

3,042,294

 

 

$

29,990

 

 

$

(9,402

)

 

$

3,062,882

 

December 31, 2018

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Available-for-Sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt Securities Issued by the U.S. Treasury and Government Agencies

 

$

394,485

 

 

$

493

 

 

$

(2,577

)

 

$

392,401

 

Debt Securities Issued by States and Political Subdivisions

 

 

559,800

 

 

 

5,227

 

 

 

(1,031

)

 

 

563,996

 

Debt Securities Issued by U.S. Government-Sponsored Enterprises

 

 

56

 

 

 

—

 

 

 

—

 

 

 

56

 

Debt Securities Issued by Corporations

 

 

224,997

 

 

 

—

 

 

 

(1,857

)

 

 

223,140

 

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

189,645

 

 

 

1,726

 

 

 

(929

)

 

 

190,442

 

Residential - U.S. Government-Sponsored Enterprises

 

 

589,311

 

 

 

1,779

 

 

 

(12,563

)

 

 

578,527

 

Commercial - Government Agencies

 

 

63,864

 

 

 

—

 

 

 

(4,484

)

 

 

59,380

 

Total Mortgage-Backed Securities

 

 

842,820

 

 

 

3,505

 

 

 

(17,976

)

 

 

828,349

 

Total

 

$

2,022,158

 

 

$

9,225

 

 

$

(23,441

)

 

$

2,007,942

 

Held-to-Maturity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt Securities Issued by the U.S. Treasury and Government Agencies

 

$

353,122

 

 

$

186

 

 

$

(1,093

)

 

$

352,215

 

Debt Securities Issued by States and Political Subdivisions

 

 

234,602

 

 

 

6,150

 

 

 

—

 

 

 

240,752

 

Debt Securities Issued by Corporations

 

 

97,266

 

 

 

—

 

 

 

(1,755

)

 

 

95,511

 

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

1,861,874

 

 

 

3,886

 

 

 

(51,773

)

 

 

1,813,987

 

Residential - U.S. Government-Sponsored Enterprises

 

 

758,835

 

 

 

1,590

 

 

 

(20,259

)

 

 

740,166

 

Commercial - Government Agencies

 

 

176,393

 

 

 

147

 

 

 

(5,177

)

 

 

171,363

 

Total Mortgage-Backed Securities

 

 

2,797,102

 

 

 

5,623

 

 

 

(77,209

)

 

 

2,725,516

 

Total

 

$

3,482,092

 

 

$

11,959

 

 

$

(80,057

)

 

$

3,413,994

 
Analysis of the Contractual Maturities of Investment Securities

The table below presents an analysis of the contractual maturities of the Company’s investment securities as of December 31, 2020.  Debt securities issued by government agencies (Small Business Administration securities) and mortgage-backed securities are disclosed separately in the table below as these investment securities may prepay prior to their scheduled contractual maturity dates.

 

(dollars in thousands)

 

Amortized

Cost

 

 

Fair

Value

 

Available-for-Sale:

 

 

 

 

 

 

 

 

Due in One Year or Less

 

$

52,461

 

 

$

52,378

 

Due After One Year Through Five Years

 

 

46,727

 

 

 

47,767

 

Due After Five Years Through Ten Years

 

 

146,958

 

 

 

151,282

 

 

 

 

246,146

 

 

 

251,427

 

Debt Securities Issued by Government Agencies

 

 

173,505

 

 

 

173,325

 

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

1,561,603

 

 

 

1,594,815

 

Residential - U.S. Government-Sponsored Enterprises

 

 

1,497,353

 

 

 

1,518,283

 

Commercial - Government Agencies

 

 

243,029

 

 

 

253,839

 

Total Mortgage-Backed Securities

 

 

3,301,985

 

 

 

3,366,937

 

Total

 

$

3,721,636

 

 

$

3,791,689

 

Held-to-Maturity:

 

 

 

 

 

 

 

 

Due in One Year or Less

 

$

33,763

 

 

$

34,504

 

Due After One Year Through Five Years

 

 

19,531

 

 

 

19,782

 

 

 

 

53,294

 

 

 

54,286

 

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

917,459

 

 

 

948,010

 

Residential - U.S. Government-Sponsored Enterprises

 

 

2,099,053

 

 

 

2,150,497

 

Commercial - Government Agencies

 

 

192,921

 

 

 

195,900

 

Total Mortgage-Backed Securities

 

 

3,209,433

 

 

 

3,294,407

 

Total

 

$

3,262,727

 

 

$

3,348,693

 
Schedule of Gains (Losses) on Sales of Investment Securities

The table below presents the gains and losses from the sales of investment securities for the years ended December 31, 2020, December 31, 2019, and December 31, 2018.

 

(dollars in thousands)

 

2020

 

 

2019

 

 

2018

 

Gross Gains on Sales of Investment Securities

 

$

14,257

 

 

$

7,810

 

 

$

—

 

Gross Losses on Sales of Investment Securities

 

 

(4,325

)

 

 

(11,796

)

 

 

(3,938

)

Net Gains (Losses) on Sales of Investment Securities

 

$

9,932

 

 

$

(3,986

)

 

$

(3,938

)
Schedule of AFS Debt Securities in an Unrealized Loss Position

The following table summarizes the Company’s AFS debt securities in an unrealized loss position for which an allowance for credit losses has not been recorded, aggregated by major security type and length of time in a continuous unrealized loss position:

 

 

 

Less Than 12 Months

 

 

12 Months or Longer

 

 

Total

 

(dollars in thousands)

 

Fair Value

 

 

Gross

Unrealized

Losses

 

 

Fair Value

 

 

Gross

Unrealized

Losses

 

 

Fair Value

 

 

Gross

Unrealized

Losses

 

December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Available-for-Sales:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt Securities Issued by the U.S. Treasury

   and Government Agencies

 

$

87,070

 

 

$

(549

)

 

$

21,338

 

 

$

(42

)

 

$

108,408

 

 

$

(591

)

Debt Securities Issued by States

   and Political Subdivisions

 

 

26

 

 

 

(1

)

 

 

—

 

 

 

—

 

 

 

26

 

 

 

(1

)

Debt Securities Issued by Corporations

 

 

50,000

 

 

 

(103

)

 

 

65,000

 

 

 

(853

)

 

 

115,000

 

 

 

(956

)

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

28,063

 

 

 

(223

)

 

 

113,538

 

 

 

(222

)

 

 

141,601

 

 

 

(445

)

Residential - U.S. Government-Sponsored Enterprises

 

 

—

 

 

 

—

 

 

 

94,002

 

 

 

(324

)

 

 

94,002

 

 

 

(324

)

Commercial - Government Agencies

 

 

—

 

 

 

—

 

 

 

25,075

 

 

 

(58

)

 

 

25,075

 

 

 

(58

)

Total Mortgage-Backed Securities

 

 

28,063

 

 

 

(223

)

 

 

232,615

 

 

 

(604

)

 

 

260,678

 

 

 

(827

)

Total

 

$

165,159

 

 

$

(876

)

 

$

318,953

 

 

$

(1,499

)

 

$

484,112

 

 

$

(2,375

)

December 31, 2019

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Available-for-Sales:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Debt Securities Issued by the U.S. Treasury

   and Government Agencies

 

$

65,479

 

 

$

(188

)

 

$

101,761

 

 

$

(1,259

)

 

$

167,240

 

 

$

(1,447

)

Debt Securities Issued by States

   and Political Subdivisions

 

 

6,788

 

 

 

(14

)

 

 

440

 

 

 

—

 

 

 

7,228

 

 

 

(14

)

Debt Securities Issued by Corporations

 

 

25,892

 

 

 

(326

)

 

 

74,693

 

 

 

(307

)

 

 

100,585

 

 

 

(633

)

Mortgage-Backed Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential - Government Agencies

 

 

119,271

 

 

 

(526

)

 

 

170,805

 

 

 

(2,741

)

 

 

290,076

 

 

 

(3,267

)

Residential - U.S. Government-Sponsored Enterprises

 

 

187,861

 

 

 

(816

)

 

 

73,720

 

 

 

(1,058

)

 

 

261,581

 

 

 

(1,874

)

Commercial - Government Agencies

 

 

59,826

 

 

 

(319

)

 

 

52,965

 

 

 

(2,222

)

 

 

112,791

 

 

 

(2,541

)

Total Mortgage-Backed Securities

 

 

366,958

 

 

 

(1,661

)

 

 

297,490

 

 

 

(6,021

)

 

 

664,448

 

 

 

(7,682

)

Total

 

$

465,117

 

 

$

(2,189

)

 

$

474,384

 

 

$

(7,587

)

 

$

939,501

 

 

$

(9,776

)
Schedule of Interest Income from Taxable and Non-taxable Investment Securities

Interest income from taxable and non-taxable investment securities for the years ended December 31, 2020, December 31, 2019, and December 31, 2018, were as follows:

 

 

 

Year Ended December 31,

 

(dollars in thousands)

 

2020

 

 

2019

 

 

2018

 

Taxable

 

$

125,291

 

 

$

137,204

 

 

$

115,947

 

Non-Taxable

 

 

2,058

 

 

 

6,586

 

 

 

18,515

 

Total Interest Income from Investment Securities

 

$

127,349

 

 

$

143,790

 

 

$

134,462

 
Schedule of Carrying Value of Federal Home Loan Bank of Des Moines Stock and Federal Reserve Bank Stock

As of December 31, 2020, and December 31, 2019, the carrying value of the Company’s Federal Home Loan Bank of Des Moines (“FHLB Des Moines”) stock and Federal Reserve Bank stock was as follows:

 

 

 

December 31,

 

(dollars in thousands)

 

2020

 

 

2019

 

Federal Home Loan Bank Stock

 

$

12,000

 

 

$

13,000

 

Federal Reserve Bank Stock

 

 

21,340

 

 

 

21,093

 

Total

 

$

33,340

 

 

$

34,093