Loans and Allowance for Credit Losses

9 Months Ended

Sep. 30, 2020

Allowance for Credit Losses and Asset Quality

Net Loans are summarized as follows:


	September 30, 2020		December 31, 2019
	(in thousands)
Real estate - commercial mortgage	$	7,046,330	$	6,700,776
Commercial and industrial	5,968,154		4,446,701
Real-estate - residential mortgage	3,061,835		2,641,465
Real-estate - home equity	1,222,709		1,314,944
Real-estate - construction	1,007,534		971,079
Consumer	469,551		463,164
Equipment lease financing and other	274,570		322,625
Overdrafts	1,694		3,582
Gross loans	19,052,377		16,864,336
Unearned income	(23,756)		(26,810)
Net Loans	$	19,028,621	$	16,837,526

The Corporation segments its loan portfolio by "portfolio segments," as presented in the table above. Certain portfolio segments are further disaggregated by "class segment" for the purpose of estimating credit losses. See "Allowance for Credit Losses" below for further discussion regarding portfolio and class segments and their impact on the determination of the ACL.

Allowance for Credit Losses, effective January 1, 2020

As discussed in Note 1, "Basis of Presentation," the Corporation adopted CECL effective January 1, 2020. CECL requires estimated credit losses on loans to be determined based on an expected life of loan model, as compared to an incurred loss model (in effect for periods prior to 2020). Accordingly, ACL disclosures subsequent to January 1, 2020 are not always comparable to prior periods. In addition, certain new disclosures required under CECL are not applicable to prior periods. As a result, the following tables present disclosures separately for each period, where appropriate. New disclosures required under CECL are only shown for the current period and are noted. See Note 1, "Basis of Presentation", for a summary of the impact of adopting CECL on January 1, 2020.

Under CECL, loans evaluated individually for impairment consist of non-accrual loans and TDRs. Under the incurred loss model in effect prior to the adoption of CECL, loans evaluated individually for impairment were referred to as impaired loans.

The ACL related to loans consists of loans evaluated collectively and individually for expected credit losses. The ACL related to loans represents an estimate of expected credit losses over the expected life of the loans as of the balance sheet date and is recorded as a reduction to Net Loans. The ACL for OBS credit exposures includes estimated losses on unfunded loan commitments, letters of credit and other OBS credit exposures. The total ACL is increased by charges to expense, through the provision for credit losses, and decreased by charge-offs, net of recoveries.

The following table presents the components of the ACL under CECL:



	September 30, 2020
	(in thousands)
ACL - loans	$	266,825
ACL - OBS credit exposure	15,533
Total ACL	$	282,358

The following table presents the activity in the ACL in 2020:





	Three months ended September 30, 2020		Nine months ended September 30, 2020
	(in thousands)
Balance at beginning of period	$	272,920	$	166,209
Impact of adopting CECL on January 1, 2020 (1)	—		58,348
Loans charged off	(5,489)		(27,539)
Recoveries of loans previously charged off	7,847		14,660
Net loans recovered (charged off)	2,358		(12,879)
Provision for credit losses (2)	7,080		70,680
Balance at end of period	$	282,358	$	282,358

(1) Includes $12.6 million of reserves for OBS credit exposures as of January 1, 2020.

(2) Includes $850,000 and $320,000 related to OBS credit exposures for the three and nine months ended September 30, 2020, respectively.

The following table presents the activity in the ACL - loans by portfolio segment, for the three and nine months ended September 30, 2020:


	Real Estate - Commercial Mortgage		Commercial and Industrial		Real Estate - Home Equity		Real Estate - Residential Mortgage		Real Estate - Construction		Consumer		Equipment lease financing, other and overdrafts		Total
	(in thousands)
Three months ended September 30, 2020
Balance at June 30, 2020	$	102,695	$	61,447	$	16,391	$	46,443	$	12,314	$	10,299	$	6,948	$	256,537

Loans charged off	(746)		(2,969)		(393)		(198)		—		(701)		(483)		(5,489)
Recoveries of loans previously charged off	100		2,103		44		95		4,873		447		185		7,847
Net loans recovered (charged off)	(646)		(866)		(349)		(103)		4,873		(254)		(298)		2,358
Provision for loan losses (1)	9,806		(1,743)		256		2,013		(2,177)		260		(484)		7,930
Balance at September 30, 2020	$	111,855	$	58,838	$	16,298	$	48,353	$	15,010	$	10,305	$	6,166	$	266,825







Nine months ended September 30, 2020
Balance at December 31, 2019	$	45,610	$	68,602	$	17,744	$	19,771	$	4,443	$	3,762	$	3,690	$	163,622
Impact of adopting CECL on January 1, 2020	29,361		(18,576)		(65)		21,235		4,015		5,969		3,784		45,723
Loans charged off	(3,925)		(17,348)		(1,138)		(620)		(17)		(2,788)		(1,704)		(27,539)
Recoveries of loans previously charged off	439		6,815		305		292		4,943		1,481		385		14,660
Net loans recovered (charged off)	(3,486)		(10,533)		(833)		(328)		4,926		(1,307)		(1,319)		(12,879)
Provision for loan losses (1)	40,370		19,345		(548)		7,675		1,626		1,881		11		70,359
Balance at September 30, 2020	$	111,855	$	58,838	$	16,298	$	48,353	$	15,010	$	10,305	$	6,166	$	266,825

(1) Provision included in the table only includes the portion related to Net Loans.

The higher provision during the first nine months of 2020 was largely driven by the overall downturn in economic forecasts due to COVID-19, resulting in higher expected future credit losses under CECL. The ACL includes qualitative adjustments, as appropriate, intended to capture the impact of uncertainties not reflected in the quantitative models. Qualitative adjustments include and consider changes in international, national, regional and local economic and business conditions, an assessment of the lending environment, including underwriting standards and other factors affecting credit quality. Qualitative adjustments used in determining the ACL increased compared to those at the time of adoption of CECL on January 1, 2020 primarily as a result of uncertainties related to forecasted economic variables due to the economic impact of COVID-19 and the future performance of loans that received deferrals or forbearances due to COVID-19.

Allowance for Credit Losses, prior to January 1, 2020

Prior to January 1, 2020, the ACL consisted of the allowance for loan losses and the reserve for unfunded lending commitments. The allowance for loan losses represented management’s estimate of incurred losses in the loan portfolio as of the balance sheet date and is recorded as a reduction to Net Loans. The reserve for unfunded lending commitments represented management’s estimate of incurred losses in unfunded loan commitments and letters of credit, and was recorded in other liabilities on the consolidated balance sheets. The ACL was increased by charges to expense, through the provision for credit losses, and decreased by charge-offs, net of recoveries.

The following table presents the components of the ACL:


	December 31, 2019
	(in thousands)
Allowance for loan losses	$	163,622
Reserve for unfunded lending commitments	2,587
ACL	$	166,209

The following table presents the activity in the ACL for the periods indicated in 2019:


	Three months ended September 30, 2019		Nine months ended September 30, 2019
	(in thousands)
Balance at beginning of period	$	176,941	$	169,410
Loans charged off	(10,128)		(20,208)
Recoveries of loans previously charged off	3,814		11,300
Net loans charged off	(6,314)		(8,908)
Provision for credit losses(1)	2,170		12,295
Balance at end of period	$	172,797	$	172,797

(1) Includes ($46,000) and ($2.2 million) related to reserve for unfunded lending commitments for the three and nine months ended September 30, 2019, respectively.

The following table presents the activity in the allowance for loan losses, by portfolio segment, for the three and nine months ended September 30, 2019:


	Real Estate - Commercial Mortgage		Commercial & Industrial		Real Estate - Home Equity		Real Estate - Residential Mortgage		Real Estate - Construction		Consumer		Equipment lease financing, other and overdrafts		Total
	(in thousands)
Three months ended September 30, 2019
Balance at June 30, 2019	$	54,859	$	66,341	$	18,981	$	18,892	$	4,928	$	3,363	$	2,869	$	170,233
Loans charged off	(394)		(7,181)		(498)		(533)		(45)		(877)		(600)		(10,128)
Recoveries of loans previously charged off	444		2,311		132		440		164		216		107		3,814
Net loans recovered (charged off)	50		(4,870)		(366)		(93)		119		(661)		(493)		(6,314)
Provision for loan losses(1)	(5,529)		7,710		(662)		(109)		(664)		798		672		2,216
Balance at September 30, 2019	$	49,380	$	69,181	$	17,953	$	18,690	$	4,383	$	3,500	$	3,048	$	166,135
Nine months ended September 30, 2019
Balance at December 31, 2018	$	52,889	$	58,868	$	18,911	$	18,921	$	5,061	$	3,217	$	2,670	$	160,537
Loans charged off	(1,769)		(11,863)		(923)		(1,322)		(143)		(2,355)		(1,833)		(20,208)
Recoveries of loans previously charged off	749		6,234		552		783		1,493		1,005		484		11,300
Net loans recovered (charged off)	(1,020)		(5,629)		(371)		(539)		1,350		(1,350)		(1,349)		(8,908)
Provision for loan losses(1)	(2,489)		15,942		(587)		308		(2,028)		1,633		1,727		14,506
Balance at September 30, 2019	$	49,380	$	69,181	$	17,953	$	18,690	$	4,383	$	3,500	$	3,048	$	166,135

(1) The provision in the table only includes the portion related to Net Loans.

Non-accrual Loans

All loans individually evaluated for impairment are measured for losses on a quarterly basis. As of September 30, 2020 and December 31, 2019, substantially all of the Corporation’s individually evaluated loans with total commitments greater than or equal to $1.0 million were measured based on the estimated fair value of each loan’s collateral, if any. Collateral could be in the form of real estate, in the case of commercial mortgages and construction loans, or business assets, such as accounts receivable or inventory, in the case of commercial and industrial loans. Commercial and industrial loans may also be secured by real estate.

As of both September 30, 2020 and December 31, 2019, approximately 93% of loans evaluated individually for impairment with principal balances greater than or equal to $1.0 million, whose primary collateral is real estate, were measured at estimated fair value using appraisals performed by state certified third-party appraisers that had been updated in the preceding 12 months.

The following table presents total non-accrual loans, by class segment:


	September 30, 2020						December 31, 2019
	Non-accrual Loans						Non-accrual Loans
	With a Related Allowance		Without a Related Allowance		Total		Total
	(in thousands)
Real estate - commercial mortgage	$	15,145	$	25,781	$	40,926	$	33,166
Commercial and industrial	14,326		20,948		35,274		48,106
Real estate - residential mortgage	23,637		1,256		24,893		16,676
Real estate - home equity	8,682		—		8,682		7,004
Real estate - construction	607		1,014		1,621		3,618
Consumer	235		—		235		—
Equipment lease financing and other	—		16,690		16,690		16,528
	$	62,632	$	65,689	$	128,321	$	125,098

As of September 30, 2020, there were $65.7 million of non-accrual loans that did not have a related allowance for credit losses. The estimated fair values of the collateral securing these loans exceeded their carrying amount, or the loans were previously charged down to realizable collateral values. Accordingly, no specific valuation allowance was considered to be necessary.

Asset Quality

Maintaining an appropriate ACL is dependent on various factors, including the ability to identify potential problem loans in a timely manner. For commercial construction, residential construction, commercial and industrial, and commercial real estate, an internal risk rating process is used. The Corporation believes that internal risk ratings are the most relevant credit quality indicator for these types of loans. The migration of loans through the various internal risk categories is a significant component of the ACL methodology for these loans, under both the CECL and incurred loss models, which bases the probability of default on this migration. Assigning risk ratings involves judgment. The Corporation's loan review officers provide a separate assessment of risk rating accuracy. Risk ratings may be changed based on the ongoing monitoring procedures performed by loan officers or credit administration staff, or if specific loan review assessments identify a deterioration or an improvement in the loans.

The following table summarizes designated internal risk categories by portfolio segment and loan class, by origination year, in the current period :


		September 30, 2020
		Term Loans Amortized Cost Basis by Origination Year												Revolving Loans		Revolving Loans converted to Term Loans
		(dollars in thousands)												Amortized		Amortized
		2020		2019		2018		2017		2016		Prior		Cost Basis		Cost Basis		Total
Real estate - construction(1)
	Pass	$	94,758	$	243,614	$	196,393	$	138,308	$	44,315	$	114,228	$	47,594	$	—	$	879,210
	Special Mention	—		241		—		—		7,103		6,106		—		—		13,450
	Substandard or Lower	—		448		—		—		760		5,822		943		—		7,973
	Total real estate - construction	94,758		244,303		196,393		138,308		52,178		126,156		48,537		—		900,633
Real estate - construction(1)
	Current period gross charge-offs	—		—		—		—		—		(17)		—		—		(17)
	Current period recoveries	—		—		—		—		68		4,875		—		—		4,943
	Total net (charge-offs) recoveries	—		—		—		—		68		4,858		—		—		4,926
Commercial and industrial
	Pass	2,409,273		540,493		330,516		229,184		216,228		635,782		1,256,763		—		5,618,239
	Special Mention	52,203		13,653		7,618		10,886		13,693		29,919		50,673		—		178,645
	Substandard or Lower	38,983		1,125		15,819		11,797		13,422		25,081		64,089		954		171,270
	Total commercial and industrial	2,500,459		555,271		353,953		251,867		243,343		690,782		1,371,525		954		5,968,154
Commercial and industrial
	Current period gross charge-offs	—		(106)		(10)		(102)		(388)		(117)		(16,625)		—		(17,348)
	Current period recoveries			39		364		207		91		1,704		4,410		—		6,815
	Total net (charge-offs) recoveries	—		(67)		354		105		(297)		1,587		(12,215)		—		(10,533)
Real estate - commercial mortgage
	Pass	702,768		933,999		792,029		850,926		871,759		2,381,373		88,116		327		6,621,297
	Special Mention	13,247		13,505		19,298		33,245		46,354		139,832		3,502		—		268,983
	Substandard or Lower	1,119		2,409		13,665		39,467		9,375		88,671		1,344		—		156,050
	Total real estate - commercial mortgage	717,134		949,913		824,992		923,638		927,488		2,609,876		92,962		327		7,046,330
Real estate - commercial mortgage
	Current period gross charge-offs	—		(16)		(36)		(2,515)		(29)		(1,312)		(17)		—		(3,925)
	Current period recoveries	—		—		—		—		1		438		—		—		439
	Total net (charge-offs) recoveries	—		(16)		(36)		(2,515)		(28)		(874)		(17)		—		(3,486)
Total
	Pass	$	3,206,799	$	1,718,106	$	1,318,938	$	1,218,418	$	1,132,302	$	3,131,383	$	1,392,473	$	327	$	13,118,746
	Special Mention	65,450		27,399		26,916		44,131		67,150		175,857		54,175		—		461,078
	Substandard or Lower	40,102		3,982		29,484		51,264		23,557		119,574		66,376		954		335,293
	Total	$	3,312,351	$	1,749,487	$	1,375,338	$	1,313,813	$	1,223,009	$	3,426,814	$	1,513,024	$	1,281	$	13,915,117

(1) Excludes real estate - construction - other.

The information presented in the table above is not required for periods prior to the adoption of CECL. The following table presents the most comparable required information for the prior period, internal credit risk ratings for the indicated loan class segments:


	December 31, 2019
	Pass			Special Mention			Substandard or Lower			Total
	(dollars in thousands)
Real estate - commercial mortgage	$	6,429,407		$	137,163		$	134,206		$	6,700,776
Commercial and industrial - secured	3,830,847			171,442			195,884			4,198,173
Commercial and industrial - unsecured	234,987			9,665			3,876			248,528
Total commercial and industrial	4,065,834			181,107			199,760			4,446,701
Construction - commercial residential	100,808			2,897			3,461			107,166
Construction - commercial	765,562			1,322			2,676			769,560
Total construction (excluding construction - other)	866,370			4,219			6,137			876,726
	$	11,361,611		$	322,489		$	340,103		$	12,024,203
% of Total	94.5		%	2.7		%	2.8		%	100.0		%

The Corporation does not assign internal risk ratings to smaller balance, homogeneous loans, such as home equity, residential mortgage, construction loans to individuals secured by residential real estate, consumer and equipment lease financing. For these loans, the most relevant credit quality indicator is delinquency status. The migration of loans through the various delinquency status categories is a significant component of the ACL methodology for those loans, under both the CECL and incurred loss models, which base the PD on this migration.

The Corporation considers the performance of the loan portfolio and its impact on the ACL. For certain loans classes, the Corporation evaluates credit quality based on the aging status of the loan. The following table presents the amortized cost of these loans based on payment activity, by origination year, for the current period:


		September 30, 2020
		Term Loans Amortized Cost Basis by Origination Year												Revolving Loans		Revolving Loans converted to Term Loans
		(dollars in thousands)												Amortized		Amortized
		2020		2019		2018		2017		2016		Prior		Cost Basis		Cost Basis		Total
Real estate - home equity
	Performing	$	21,247	$	8,297	$	14,573	$	12,064	$	13,006	$	140,145	$	995,811	$	5,485	$	1,210,628
	Nonperforming	—		—		153		256		225		2,354		8,764		329		12,081
	Total real estate - home equity	21,247		8,297		14,726		12,320		13,231		142,499		1,004,575		5,814		1,222,709
Real estate - home equity
	Current period gross charge-offs	—		—		—		—		—		—		(1,137)		—		(1,137)
	Current period recoveries	—		—		—		—		—		123		182		—		305
	Total net (charge-offs) recoveries	—		—		—		—		—		123		(955)		—		(832)
Real estate - residential mortgage
	Performing	953,063		649,475		268,809		383,345		294,005		484,717		—		—		3,033,414
	Nonperforming	—		832		2,437		2,611		723		21,818		—		—		28,421
	Total real estate - residential mortgage	953,063		650,307		271,246		385,956		294,728		506,535		—		—		3,061,835
Real estate - residential mortgage
	Current period gross charge-offs	—		(68)		(101)		(190)		(7)		(254)		—		—		(620)
	Current period recoveries	—		—		13		1		—		278		—		—		292
	Total net (charge-offs) recoveries	—		(68)		(88)		(189)		(7)		24		—		—		(328)
Consumer
	Performing	93,208		106,797		104,984		48,281		27,828		38,319		49,594		—		469,011
	Nonperforming	123		68		56		62		47		162		22		—		540
	Total consumer	93,331		106,865		105,040		48,343		27,875		38,481		49,616		—		469,551
Consumer
	Current period gross charge-offs	—		(500)		(425)		(346)		(433)		(642)		(442)		—		(2,788)
	Current period recoveries	—		48		148		116		177		891		101		—		1,481
	Total net (charge-offs) recoveries	—		(452)		(277)		(230)		(256)		249		(341)		—		(1,307)
Equipment lease financing and other
	Performing	69,512		71,629		53,733		39,888		18,481		6,219		—		—		259,462
	Nonperforming	—		—		190		16,054		272		286		—		—		16,802
	Total leasing and other	69,512		71,629		53,923		55,942		18,753		6,505		—		—		276,264
Equipment lease financing and other
	Current period gross charge-offs	(1,463)		(241)		—		—		—		—		—		—		(1,704)
	Current period recoveries	187		136		17		16		9		20		—		—		385
	Total net (charge-offs) recoveries	(1,276)		(105)		17		16		9		20		—		—		(1,319)
Construction - other
	Performing	45,386		36,764		6,614		—		16		—		17,940		—		106,720
	Nonperforming	—		—		—		181		—		—		—		—		181
	Total construction - other	45,386		36,764		6,614		181		16		—		17,940		—		106,901
Construction - other
	Current period gross charge-offs	—		—		—		—		—		—		—		—		—
	Current period recoveries	—		—		—		—		—		—		—		—		—
	Total net (charge-offs) recoveries	—		—		—		—		—		—		—		—		—
Total
	Performing	$	1,182,416	$	872,962	$	448,713	$	483,578	$	353,336	$	669,400	$	1,063,345	$	5,485	$	5,079,235
	Nonperforming	123		900		2,836		19,164		1,267		24,620		8,786		329		58,025
	Total	$	1,182,539	$	873,862	$	451,549	$	502,742	$	354,603	$	694,020	$	1,072,131	$	5,814	$	5,137,260

The information presented in the table above is not required for periods prior to the adoption of CECL. The following table presents the most comparable required information for the prior period, a summary of performing, delinquent and non-performing loans for the indicated class segments:


	December 31, 2019
	Performing			Delinquent (1)			Non-performing (2)			Total
	(dollars in thousands)
Real estate - home equity	$	1,292,035		$	12,341		$	10,568		$	1,314,944
Real estate - residential mortgage	2,584,763			34,291			22,411			2,641,465
Construction - other	92,649			895			809			94,353
Consumer - direct	63,582			465			190			64,237
Consumer - indirect	393,974			4,685			268			398,927
Total consumer	457,556			5,150			458			463,164
Equipment lease financing and other	278,743			4,012			16,642			299,397
	$	4,705,746		$	56,689		$	50,888		$	4,813,323
% of Total	97.8		%	1.2		%	1.0		%	100		%

(1)Includes all accruing loans 30 days to 89 days past due.

(2)Includes all accruing loans 90 days or more past due and all non-accrual loans.

The following table presents non-performing assets:


	September 30, 2020		December 31, 2019
	(in thousands)
Non-accrual loans	$	128,321	$	125,098
Loans 90 days or more past due and still accruing	13,761		16,057
Total non-performing loans	142,082		141,155
OREO (1)	4,565		6,831
Total non-performing assets	$	146,647	$	147,986

(1) Excludes $9.6 million of residential mortgage properties for which formal foreclosure proceedings were in process as of September 30, 2020.

The following tables present the aging of the amortized cost basis of loans, by class segment:


	30-59		60-89		≥ 90 Days
	Days Past		Days Past		Past Due		Non-
	Due		Due		and Accruing		Accrual		Current		Total
	(in thousands)
September 30, 2020
Real estate – commercial mortgage	$	11,867	$	3,702	$	2,499	$	40,926	$	6,987,336	$	7,046,330
Commercial and industrial	5,326		1,228		1,950		35,274		5,924,376		5,968,154
Real estate – residential mortgage	10,686		1,180		3,394		24,893		3,021,682		3,061,835
Real estate – home equity	3,966		902		3,070		8,682		1,206,089		1,222,709
Real estate – construction	—		—		2,430		1,621		1,003,483		1,007,534
Consumer	1,648		436		306		235		466,926		469,551
Equipment lease financing and other	250		110		112		16,690		235,346		252,508
Total	$	33,743	$	7,558	$	13,761	$	128,321	$	18,845,238	$	19,028,621


	30-59 Days Past Due		60-89 Days Past Due		≥ 90 Days Past Due and Accruing		Non- accrual		Current		Total
	(in thousands)
December 31, 2019
Real estate – commercial mortgage	$	10,912	$	1,543	$	4,113	$	33,166	$	6,651,042	$	6,700,776
Commercial and industrial	2,302		2,630		1,385		48,106		4,392,278		4,446,701
Real estate – residential mortgage	26,982		7,309		5,735		16,676		2,584,763		2,641,465
Real estate – home equity	9,635		2,706		3,564		7,004		1,292,035		1,314,944
Real estate – construction	1,715		900		688		3,618		964,158		971,079
Consumer	4,228		922		458		—		457,556		463,164
Equipment lease financing and other	552		3,460		114		16,528		278,743		299,397
Total	$	56,326	$	19,470	$	16,057	$	125,098	$	16,620,575	$	16,837,526

Collateral-Dependent Loans

A financial asset is considered to be collateral-dependent when the debtor is experiencing financial difficulty and repayment is expected to be provided substantially through the sale or operation of the collateral. For all classes of financial assets deemed collateral-dependent, the Corporation elected the practical expedient to estimate expected credit losses based on the collateral’s fair value less cost to sell. In most cases, the Corporation records a partial charge-off to reduce the loan’s carrying value to the collateral’s fair value less cost to sell. Substantially all of the collateral supporting collateral-dependent financial assets consists of various types of real estate including residential properties; commercial properties such as retail centers, office buildings, and lodging; agriculture land; and vacant land.

Troubled Debt Restructurings

The following table presents TDRs, by class segment:


	September 30, 2020		December 31, 2019
	(in thousands)
Real estate - residential mortgage	$	19,427	$	21,551
Real estate - commercial mortgage	28,558		13,330
Real estate - home equity	14,875		15,068
Commercial and industrial	7,328		5,193

Consumer	—		8

Total accruing TDRs	70,188		55,150
Non-accrual TDRs (1)	37,025		20,825
Total TDRs	$	107,213	$	75,975

(1)Included in non-accrual loans in the preceding table detailing non-performing assets.

The following table presents TDRs, by class segment, for loans that were modified during the three and nine months ended September 30, 2020 and 2019:


	Three months ended September 30						Nine months ended September 30
	2020			2019			2020			2019
	Number of Loans	Recorded Investment		Number of Loans	Recorded Investment		Number of Loans	Recorded Investment		Number of Loans	Recorded Investment
	(dollars in thousands)
Real estate - residential mortgage	8	$	1,351	1	$	830	48	$	10,516	6	$	2,263
Real estate - commercial mortgage	5	8,394		1	81		12	24,868		1	81
Real estate - home equity	13	1,370		12	327		40	3,556		46	2,281
Commercial and industrial	4	3,021		3	97		18	4,399		13	4,928
Consumer	3	53		—	—		11	238		—	—
Total	33	$	14,189	17	$	1,335	129	$	43,577	66	$	9,553

Restructured loan modifications may include payment schedule modifications, interest rate concessions, bankruptcies, principal reduction or some combination of these concessions. The restructured loan modifications primarily included maturity date extensions, rate modifications and payment schedule modifications.

In accordance with regulatory guidance, payment schedule modifications granted after March 13, 2020 to borrowers impacted by the effects of the COVID-19 pandemic and who were not delinquent at the time of the payment schedule modifications have been excluded from TDRs. For the nine months ended September 30, 2020, payment schedule modifications having a recorded investment of $3.8 billion were excluded from TDRs based on this regulatory guidance.