Loans and Leases and the Allowance for Credit Losses (Tables)

3 Months Ended

Mar. 31, 2022

Loans And Leases And Allowance For Loan And Lease Losses [Abstract]

The Company’s loan and lease portfolio was comprised of the following as of March 31, 2022, and December 31, 2021:

(dollars in thousands)	March 31, 2022		December 31, 2021
Commercial
Commercial and Industrial	$	1,354,757	$	1,361,921
Paycheck Protection Program		57,809		126,779
Commercial Mortgage		3,257,689		3,152,130
Construction		248,363		220,254
Lease Financing		98,107		105,108
Total Commercial		5,016,725		4,966,192
Consumer
Residential Mortgage		4,405,718		4,309,602
Home Equity		1,958,285		1,836,588
Automobile		742,934		736,565
Other ¹		420,830		410,129
Total Consumer		7,527,767		7,292,884
Total Loans and Leases	$	12,544,492	$	12,259,076

¹	^{Comprised of other revolving credit, installment, and lease financing.}

Schedule of Activity in Allowance by Portfolio Segment

The following presents by portfolio segment, the activity in the Allowance for the three months ended March 31, 2022, and March 31, 2021.

(dollars in thousands)	Commercial			Consumer			Total
Three Months Ended March 31, 2022
Allowance for Credit Losses:
Balance at Beginning of Period	$	64,950		$	92,871		$	157,821
Loans and Leases Charged-Off		(349	)		(3,559	)		(3,908	)
Recoveries on Loans and Leases Previously Charged-Off		369			2,053			2,422
Net Loans and Leases Recovered (Charged-Off)		20			(1,506	)		(1,486	)
Provision for Credit Losses		(2,877	)		(1,430	)		(4,307	)
Balance at End of Period	$	62,093		$	89,935		$	152,028
Three Months Ended March 31, 2021
Allowance for Credit Losses:
Balance at Beginning of Period	$	84,847		$	131,405		$	216,252
Loans and Leases Charged-Off		(248	)		(6,043	)		(6,291	)
Recoveries on Loans and Leases Previously Charged-Off		112			3,263			3,375
Net Loans and Leases Recovered (Charged-Off)		(136	)		(2,780	)		(2,916	)
Provision for Credit Losses		(1,900	)		(13,093	)		(14,993	)
Balance at End of Period	$	82,811		$	115,532		$	198,343

Schedule of Recorded Investment in Loans and Leases by Class and Credit Quality Indicator

The following presents by credit quality indicator, loan class, and year of origination, the amortized cost basis of the Company’s loans and leases as of March 31, 2022.

		Term Loans by Origination Year
(dollars in thousands)	2022			2021		2020		2019		2018		Prior		Revolving Loans		Revolving Loans Converted to Term Loans		Total Loans and Leases
March 31, 2022
Commercial
Commercial and Industrial
Pass		$	145,785	$	406,736	$	293,772	$	73,828	$	54,642	$	88,630	$	241,899	$	380	$	1,305,672
Special Mention			-		1,944		-		-		-		99		18,815		-		20,858
Classified			-		10,579		1,197		-		1,949		13,495		965		42		28,227
Total Commercial and Industrial		$	145,785	$	419,259	$	294,969	$	73,828	$	56,591	$	102,224	$	261,679	$	422	$	1,354,757
Paycheck Protection Program
Pass		$	-	$	36,404	$	21,405	$	-	$	-	$	-	$	-	$	-	$	57,809
Total Paycheck Protection Program		$	-	$	36,404	$	21,405	$	-	$	-	$	-	$	-	$	-	$	57,809
Commercial Mortgage
Pass		$	285,209	$	898,610	$	731,405	$	334,284	$	222,623	$	588,824	$	52,742	$	-	$	3,113,697
Special Mention			-		56,690		31,374		-		30,000		4,817		-		-		122,881
Classified			-		3,728		7,791		636		-		8,956		-		-		21,111
Total Commercial Mortgage		$	285,209	$	959,028	$	770,570	$	334,920	$	252,623	$	602,597	$	52,742	$	-	$	3,257,689
Construction
Pass		$	3,936	$	77,483	$	109,348	$	-	$	39,970	$	596	$	17,030	$	-	$	248,363
Total Construction		$	3,936	$	77,483	$	109,348	$	-	$	39,970	$	596	$	17,030	$	-	$	248,363
Lease Financing
Pass		$	5,701	$	21,146	$	14,462	$	14,482	$	8,649	$	32,847	$	-	$	-	$	97,287
Special Mention			-		-		-		-		820		-		-		-		820
Total Lease Financing		$	5,701	$	21,146	$	14,462	$	14,482	$	9,469	$	32,847	$	-	$	-	$	98,107
Total Commercial		$	440,631	$	1,513,320	$	1,210,754	$	423,230	$	358,653	$	738,264	$	331,451	$	422	$	5,016,725
Consumer
Residential Mortgage
Pass		$	290,338	$	1,365,595	$	1,090,003	$	346,369	$	160,412	$	1,150,355	$	-	$	-	$	4,403,072
Classified			-		-		-		-		232		2,414		-		-		2,646
Total Residential Mortgage		$	290,338	$	1,365,595	$	1,090,003	$	346,369	$	160,644	$	1,152,769	$	-	$	-	$	4,405,718
Home Equity
Pass		$	-	$	-	$	-	$	-	$	-	$	2,171	$	1,918,767	$	34,493	$	1,955,431
Classified			-		-		-		-		-		57		2,283		514		2,854
Total Home Equity		$	-	$	-	$	-	$	-	$	-	$	2,228	$	1,921,050	$	35,007	$	1,958,285
Automobile
Pass		$	86,068	$	277,436	$	138,175	$	122,207	$	77,547	$	40,996	$	-	$	-	$	742,429
Classified			-		121		32		173		94		85		-		-		505
Total Automobile		$	86,068	$	277,557	$	138,207	$	122,380	$	77,641	$	41,081	$	-	$	-	$	742,934
Other¹
Pass		$	58,605	$	159,063	$	44,754	$	78,662	$	35,063	$	18,419	$	24,225	$	1,388	$	420,179
Classified			-		42		82		279		82		83		80		3		651
Total Other		$	58,605	$	159,105	$	44,836	$	78,941	$	35,145	$	18,502	$	24,305	$	1,391	$	420,830
Total Consumer		$	435,011	$	1,802,257	$	1,273,046	$	547,690	$	273,430	$	1,214,580	$	1,945,355	$	36,398	$	7,527,767
Total Loans and Leases		$	875,642	$	3,315,577	$	2,483,800	$	970,920	$	632,083	$	1,952,844	$	2,276,806	$	36,820	$	12,544,492

¹	Comprised of other revolving credit, installment, and lease financing.

The following presents by credit quality indicator, loan class, and year of origination, the amortized cost basis of the Company’s loans and leases as of December 31, 2021.

		Term Loans by Origination Year
(dollars in thousands)	2021			2020		2019		2018		2017		Prior		Revolving Loans		Revolving Loans Converted to Term Loans		Total Loans and Leases
December 31, 2021
Commercial
Commercial and Industrial
Pass		$	455,984	$	301,646	$	79,826	$	68,026	$	27,246	$	75,321	$	256,240	$	471	$	1,264,760
Special Mention			1,966		32,667		-		-		-		101		27,031		-		61,765
Classified			10,851		1,919		87		1,990		505		17,481		2,509		54		35,396
Total Commercial and Industrial		$	468,801	$	336,232	$	79,913	$	70,016	$	27,751	$	92,903	$	285,780	$	525	$	1,361,921
Paycheck Protection Program
Pass		$	86,484	$	40,295	$	-	$	-	$	-	$	-	$	-	$	-	$	126,779
Total Paycheck Protection Program		$	86,484	$	40,295	$	-	$	-	$	-	$	-	$	-	$	-	$	126,779
Commercial Mortgage
Pass		$	958,719	$	736,155	$	338,160	$	261,991	$	178,436	$	459,337	$	53,386	$	-	$	2,986,184
Special Mention			68,768		39,773		-		30,000		-		6,069		-		-		144,610
Classified			3,740		7,815		640		-		-		9,141		-		-		21,336
Total Commercial Mortgage		$	1,031,227	$	783,743	$	338,800	$	291,991	$	178,436	$	474,547	$	53,386	$	-	$	3,152,130
Construction
Pass		$	67,069	$	94,878	$	40,051	$	-	$	596	$	-	$	17,660	$	-	$	220,254
Special Mention			-		-		-		-		-		-		-		-		-
Total Construction		$	67,069	$	94,878	$	40,051	$	-	$	596	$	-	$	17,660	$	-	$	220,254
Lease Financing
Pass		$	21,637	$	15,075	$	15,697	$	9,902	$	2,004	$	39,937	$	-	$	-	$	104,252
Classified			-		-		-		856		-		-		-		-		856
Total Lease Financing		$	21,637	$	15,075	$	15,697	$	10,758	$	2,004	$	39,937	$	-	$	-	$	105,108
Total Commercial		$	1,675,218	$	1,270,223	$	474,461	$	372,765	$	208,787	$	607,387	$	356,826	$	525	$	4,966,192
Consumer
Residential Mortgage¹
Pass		$	1,392,337	$	1,131,330	$	367,525	$	177,215	$	256,825	$	982,759	$	-	$	-	$	4,307,991
Classified			-		-		294		-		905		412		-		-		1,611
Total Residential Mortgage		$	1,392,337	$	1,131,330	$	367,819	$	177,215	$	257,730	$	983,171	$	-	$	-	$	4,309,602
Home Equity ¹
Pass		$	-	$	-	$	-	$	-	$	-	$	2,986	$	1,795,107	$	35,427	$	1,833,520
Classified			-		-		-		-		-		58		2,649		361		3,068
Total Home Equity		$	-	$	-	$	-	$	-	$	-	$	3,044	$	1,797,756	$	35,788	$	1,836,588
Automobile
Pass		$	301,285	$	152,022	$	138,887	$	91,411	$	33,268	$	18,963	$	-	$	-	$	735,836
Classified			165		85		134		137		120		88		-		-		729
Total Automobile		$	301,450	$	152,107	$	139,021	$	91,548	$	33,388	$	19,051	$	-	$	-	$	736,565
Other ²
Pass		$	172,735	$	49,769	$	92,983	$	44,489	$	16,218	$	6,444	$	25,622	$	1,444	$	409,704
Classified			39		90		183		47		27		17		22		-		425
Total Other		$	172,774	$	49,859	$	93,166	$	44,536	$	16,245	$	6,461	$	25,644	$	1,444	$	410,129
Total Consumer		$	1,866,561	$	1,333,296	$	600,006	$	313,299	$	307,363	$	1,011,727	$	1,823,400	$	37,232	$	7,292,884
Total Loans and Leases		$	3,541,779	$	2,603,519	$	1,074,467	$	686,064	$	516,150	$	1,619,114	$	2,180,226	$	37,757	$	12,259,076

¹	Certain prior period information has been reclassified to conform to current presentations.

²	Comprised of other revolving credit, installment, and lease financing.

Schedule of Aging Analysis by Class of Loan and Lease Portfolio

The following presents by class, an aging analysis of the Company’s loan and lease portfolio as of March 31, 2022, and December 31, 2021.

(dollars in thousands)	30 - 59 Days Past Due		60 - 89 Days Past Due		Past Due 90 Days or More		Non- Accrual		Total Past Due and Non- Accrual		Current		Total Loans and Leases		Non- Accrual Loans and Leases that are Current ²
As of March 31, 2022
Commercial
Commercial and Industrial	$	145	$	1,887	$	22	$	99	$	2,153	$	1,352,604	$	1,354,757	$	75
Paycheck Protection Program		—		—		—		—		—		57,809		57,809		—
Commercial Mortgage		—		—		—		8,065		8,065		3,249,624		3,257,689		8,065
Construction		—		—		—		—		—		248,363		248,363		—
Lease Financing		—		—		—		—		—		98,107		98,107		—
Total Commercial		145		1,887		22		8,164		10,218		5,006,507		5,016,725		8,140
Consumer
Residential Mortgage		3,102		225		4,113		3,845		11,285		4,394,433		4,405,718		202
Home Equity		1,223		475		2,722		5,638		10,058		1,948,227		1,958,285		1,349
Automobile		9,185		1,169		504		—		10,858		732,076		742,934		—
Other ¹		2,017		858		649		—		3,524		417,306		420,830		—
Total Consumer		15,527		2,727		7,988		9,483		35,725		7,492,042		7,527,767		1,551
Total	$	15,672	$	4,614	$	8,010	$	17,647	$	45,943	$	12,498,549	$	12,544,492	$	9,691

As of December 31, 2021
Commercial
Commercial and Industrial	$	2,006	$	14	$	—	$	243	$	2,263	$	1,359,658	$	1,361,921	$	151
Paycheck Protection Program		—		—		—		—		—		126,779		126,779		—
Commercial Mortgage		—		—		—		8,205		8,205		3,143,925		3,152,130		8,205
Construction		—		—		—		—		—		220,254		220,254		—
Lease Financing		—		—		—		—		—		105,108		105,108		—
Total Commercial		2,006		14		—		8,448		10,468		4,955,724		4,966,192		8,356
Consumer
Residential Mortgage		2,046		1,263		3,159		3,305		9,773		4,299,829		4,309,602		—
Home Equity		1,791		748		3,456		4,881		10,876		1,825,712		1,836,588		1,544
Automobile		7,804		1,495		729		—		10,028		726,537		736,565		—
Other ¹		2,686		904		426		—		4,016		406,113		410,129		—
Total Consumer		14,327		4,410		7,770		8,186		34,693		7,258,191		7,292,884		1,544
Total	$	16,333	$	4,424	$	7,770	$	16,634	$	45,161	$	12,213,915	$	12,259,076	$	9,900

¹	Comprised of other revolving credit, installment, and lease financing.

²	Represents non-accrual loans that are not past due 30 days or more; however, full payment of principal and interest is still not expected.

Schedule of Non-Accrual Loans and Leases

The following presents the non-accrual loans and leases as of March 31, 2022, and December 31, 2021.

	March 31, 2022						December 31, 2021
(dollars in thousands)	Non-accrual loans with a related ACL		Non-accrual loans without a related ACL		Total Non- accrual loans		Non-accrual loans with a related ACL		Non-accrual loans without a related ACL		Total Non- accrual loans
Commercial
Commercial and Industrial	$	99	$	—	$	99	$	243	$	—	$	243
Commercial Mortgage		4,557		3,508		8,065		4,661		3,544		8,205
Total Commercial		4,656		3,508		8,164		4,904		3,544		8,448
Consumer
Residential Mortgage		3,031		814		3,845		2,959		346		3,305
Home Equity		5,638		—		5,638		4,881		—		4,881
Total Consumer		8,669		814		9,483		7,840		346		8,186
Total	$	13,325	$	4,322	$	17,647	$	12,744	$	3,890	$	16,634

Schedule of Loans Modified in TDR and TDRs that Defaulted During the Period Within 12 months of Modification Date

The following presents by class, information related to loans modified in a TDR during the three months ended March 31, 2022, and March 31, 2021.

	Loans Modified as a TDR for the Three Months Ended March 31, 2022						Loans Modified as a TDR for the Three Months Ended March 31, 2021
			Recorded		Increase in				Recorded		Increase in
Troubled Debt Restructurings			Investment		Allowance				Investment		Allowance
(dollars in thousands)	Number of Contracts		(as of period end)¹		(as of period end)		Number of Contracts		(as of period end)¹		(as of period end)
Commercial
Commercial and Industrial		—	$	—	$	—		5	$	112	$	1
Total Commercial		—		—		—		5		112		1
Consumer
Residential Mortgage		5		934		59		—		—		—
Home Equity		1		36		—		1		52		4
Automobile		27		538		7		394		8,287		115
Other ²		21		141		5		214		1,965		79
Total Consumer		54		1,649		71		609		10,304		198
Total		54	$	1,649	$	71		614	$	10,416	$	199

¹	The period end balances reflect all paydowns and charge-offs since the modification date. TDRs fully paid-off, charged-off, or foreclosed upon by period end are not included.

²	Comprised of other revolving credit and installment financing.

The following presents by class, all loans modified in a TDR that defaulted during the three months ended March 31, 2022, and March 31, 2021, and within twelve months of their modification date. A TDR is considered to be in default once it becomes 60 days or more past due following a modification.

	Three Months Ended March 31, 2022				Three Months Ended March 31, 2021
TDRs that Defaulted During the Period,			Recorded				Recorded
Within Twelve Months of their Modification Date	Number of		Investment		Number of		Investment
(dollars in thousands)	Contracts		(as of period end)¹		Contracts		(as of period end)¹
Consumer
Home Equity		1	$	80		—	$	—
Automobile		13		248		18		281
Other ²		18		120		4		27
Total Consumer		32		448		22		308
Total		32	$	448		22	$	308

¹	The period end balances reflect all paydowns and charge-offs since the modification date. TDRs fully paid-off, charged-off, or foreclosed upon by period end are not included.

²	Comprised of other revolving credit and installment financing.