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

12 Months Ended

Dec. 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 December 31, 2022 and December 31, 2021:

	December 31,
(dollars in thousands)	2022		2021
Commercial
Commercial and Industrial	$	1,389,066	$	1,361,921
Paycheck Protection Program		19,579		126,779
Commercial Mortgage		3,725,542		3,152,130
Construction		260,825		220,254
Lease Financing		69,491		105,108
Total Commercial		5,464,503		4,966,192
Consumer
Residential Mortgage		4,653,072		4,309,602
Home Equity		2,225,950		1,836,588
Automobile		870,396		736,565
Other ¹		432,499		410,129
Total Consumer		8,181,917		7,292,884
Total Loans and Leases	$	13,646,420	$	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 years ended December 31, 2022, December 31, 2021, and December 31, 2020.

(dollars in thousands)	Commercial			Consumer			Total
For the Year Ended December 31, 2022
Allowance for Credit Losses:
Balance at Beginning of Period	$	64,950		$	92,871		$	157,821
Loans and Leases Charged-Off		(925	)		(12,417	)		(13,342	)
Recoveries on Loans and Leases Previously Charged-Off		552			7,671			8,223
Net Loans and Leases Recovered (Charged-Off)		(373	)		(4,746	)		(5,119	)
Provision for Credit Losses		(677	)		(7,586	)		(8,263	)
Balance at End of Period	$	63,900		$	80,539		$	144,439

For the Year Ended December 31, 2021
Allowance for Credit Losses:
Balance at Beginning of Period	$	84,847		$	131,405		$	216,252
Loans and Leases Charged-Off		(1,117	)		(16,202	)		(17,319	)
Recoveries on Loans and Leases Previously Charged-Off		506			10,848			11,354
Net Loans and Leases Recovered (Charged-Off)		(611	)		(5,354	)		(5,965	)
Provision for Credit Losses		(19,286	)		(33,180	)		(52,466	)
Balance at End of Period	$	64,950		$	92,871		$	157,821

For the Year Ended December 31, 2020
Allowance for Credit Losses:
Balance at Beginning of Period	$	55,012		$	53,278		$	108,290
Loans and Leases Charged-Off		(1,697	)		(19,341	)		(21,038	)
Recoveries on Loans and Leases Previously Charged-Off		2,328			11,572			13,900
Net Loans and Leases Recovered (Charged-Off)		631			(7,769	)		(7,138	)
Provision for Credit Losses		29,204			85,896			115,100
Balance at End of Period	$	84,847		$	131,405		$	216,252

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 December 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
December 31, 2022
Commercial
Commercial and Industrial
Pass		$	360,748	$	348,300	$	224,264	$	59,127	$	46,799	$	71,906	$	257,349	$	155	$	1,368,648
Special Mention			273		-		-		-		96		92		1,357		-		1,818
Classified			7,295		91		1,030		-		1,644		6,267		2,252		21		18,600
Total Commercial and Industrial		$	368,316	$	348,391	$	225,294	$	59,127	$	48,539	$	78,265	$	260,958	$	176	$	1,389,066
Paycheck Protection Program
Pass		$	-	$	5,359	$	14,220	$	-	$	-	$	-	$	-	$	-	$	19,579
Total Paycheck Protection Program		$	-	$	5,359	$	14,220	$	-	$	-	$	-	$	-	$	-	$	19,579
Commercial Mortgage
Pass		$	1,182,831	$	771,375	$	691,054	$	283,553	$	131,055	$	494,924	$	48,771	$	-	$	3,603,563
Special Mention			29,707		37,657		28,105		-		1,482		5,014		-		-		101,965
Classified			182		1,964		8,545		624		-		8,699		-		-		20,014
Total Commercial Mortgage		$	1,212,720	$	810,996	$	727,704	$	284,177	$	132,537	$	508,637	$	48,771	$	-	$	3,725,542
Construction
Pass		$	124,507	$	69,992	$	37,133	$	16,838	$	-	$	297	$	12,058	$	-	$	260,825
Total Construction		$	124,507	$	69,992	$	37,133	$	16,838	$	-	$	297	$	12,058	$	-	$	260,825
Lease Financing
Pass		$	16,959	$	17,823	$	11,408	$	9,768	$	6,379	$	6,444	$	-	$	-	$	68,781
Classified			-		-		-		-		710		-		-		-		710
Total Lease Financing		$	16,959	$	17,823	$	11,408	$	9,768	$	7,089	$	6,444	$	-	$	-	$	69,491
Total Commercial		$	1,722,502	$	1,252,561	$	1,015,759	$	369,910	$	188,165	$	593,643	$	321,787	$	176	$	5,464,503
Consumer
Residential Mortgage
Pass		$	827,909	$	1,304,831	$	1,035,285	$	321,208	$	138,214	$	1,023,841	$	-	$	-	$	4,651,288
Classified			-		-		-		-		552		1,232		-		-		1,784
Total Residential Mortgage		$	827,909	$	1,304,831	$	1,035,285	$	321,208	$	138,766	$	1,025,073	$	-	$	-	$	4,653,072
Home Equity
Pass		$	-	$	-	$	-	$	-	$	-	$	890	$	2,186,598	$	36,114	$	2,223,602
Classified			-		-		-		-		-		25		1,105		1,218		2,348
Total Home Equity		$	-	$	-	$	-	$	-	$	-	$	915	$	2,187,703	$	37,332	$	2,225,950
Automobile
Pass		$	405,440	$	216,039	$	100,608	$	84,052	$	45,301	$	18,366	$	-	$	-	$	869,806
Classified			121		260		23		43		92		51		-		-		590
Total Automobile		$	405,561	$	216,299	$	100,631	$	84,095	$	45,393	$	18,417	$	-	$	-	$	870,396
Other¹
Pass		$	185,347	$	124,759	$	31,343	$	39,902	$	16,364	$	9,853	$	23,228	$	1,020	$	431,816
Classified			117		114		70		148		129		24		59		22		683
Total Other		$	185,464	$	124,873	$	31,413	$	40,050	$	16,493	$	9,877	$	23,287	$	1,042	$	432,499
Total Consumer		$	1,418,934	$	1,646,003	$	1,167,329	$	445,353	$	200,652	$	1,054,282	$	2,210,990	$	38,374	$	8,181,917
Total Loans and Leases		$	3,141,436	$	2,898,564	$	2,183,088	$	815,263	$	388,817	$	1,647,925	$	2,532,777	$	38,550	$	13,646,420

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
PPP
Pass		$	86,484	$	40,295	$	-	$	-	$	-	$	-	$	-	$	-	$	126,779
Total PPP		$	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
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 Mortgage²
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 Equity²
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
Other¹
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	Comprised of other revolving credit, installment, and lease financing.

²	Certain prior period information has been reclassified to conform to current presentations.

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 December 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 December 31, 2022
Commercial
Commercial and Industrial	$	252	$	9	$	—	$	37	$	298	$	1,388,768	$	1,389,066	$	37
Paycheck Protection Program		—		—		—		—		—		19,579		19,579		—
Commercial Mortgage		—		—		—		3,309		3,309		3,722,233		3,725,542		3,309
Construction		—		—		—		—		—		260,825		260,825		—
Lease Financing		—		—		—		—		—		69,491		69,491		—
Total Commercial		252		9		—		3,346		3,607		5,460,896		5,464,503		3,346
Consumer
Residential Mortgage		3,016		721		2,429		4,239		10,405		4,642,667		4,653,072		1,729
Home Equity		1,639		960		1,673		4,022		8,294		2,217,656		2,225,950		664
Automobile		13,293		1,988		589		—		15,870		854,526		870,396		—
Other ¹		2,318		1,302		683		—		4,303		428,196		432,499		—
Total Consumer		20,266		4,971		5,374		8,261		38,872		8,143,045		8,181,917		2,393
Total	$	20,518	$	4,980	$	5,374	$	11,607	$	42,479	$	13,603,941	$	13,646,420	$	5,739

As of December 31, 2021
Commercial
Commercial and Industrial	$	2,006	$	14	$	—	$	243	$	2,263	$	1,359,658	$	1,361,921	$	151
PPP		—		—		—		—		—		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 as originally structured is still not expected.

Schedule of Non-Accrual Loans and Leases

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

	December 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		Total Non-accrual loans
Commercial
Commercial and Industrial	$	37	$	—	$	37	$	243
Commercial Mortgage		—		3,309		3,309		8,205
Total Commercial		37		3,309		3,346		8,448
Consumer
Residential Mortgage		4,239		—		4,239		3,305
Home Equity		4,022		—		4,022		4,881
Total Consumer		8,261		—		8,261		8,186
Total	$	8,298	$	3,309	$	11,607	$	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 years ended December 31, 2022, and December 31, 2021.

	Loans Modified as a TDR for the Year Ended December 31, 2022						Loans Modified as a TDR for the Year Ended December 31, 2021
Troubled Debt Restructurings (dollars in thousands)	Number of Contracts		Recorded Investment (as of period end) ¹		Increase in Allowance (as of period end)		Number of Contracts		Recorded Investment (as of period end) ¹		Increase in Allowance (as of period end)
Commercial
Commercial and Industrial		2	$	210	$	15		7	$	251	$	4
Total Commercial		2		210		15		7		251		4
Consumer
Residential Mortgage		6		1,441		71		15		5,889		612
Home Equity		3		276		5		11		1,793		85
Automobile		152		2,860		39		341		7,130		95
Other ²		49		310		12		132		1,160		42
Total Consumer		210		4,887		127		499		15,972		834
Total		212	$	5,097	$	142		506	$	16,223	$	838

¹	The period end balances reflect all partial 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, loans modified in a TDR that defaulted during the year ended December 31, 2022, and December 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.

	Year Ended December 31, 2022				Year Ended December 31, 2021
TDRs that Defaulted During the Period, Within Twelve Months of their Modification Date (dollars in thousands)	Number of Contracts		Recorded Investment (as of period end)¹		Number of Contracts		Recorded Investment (as of period end) ¹
Consumer
Residential Mortgage		1		180		1		521
Home Equity		1		65		4		407
Automobile		12		191		38		644
Other ²		10		73		29		189
Total		24	$	509		72	$	1,761

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.