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LOANS AND LEASES (Tables)

12 Months Ended

Dec. 31, 2024

Financial Receivable Credit Quality Indicators

The following table sets forth the Company's loan portfolio at December 31, 2024 by risk attribute and origination date as well as detailing current period chargeoffs by year of origination:


(Dollars in thousands)	2024		2023		2022		2021		2020		Prior		Term Total		Revolving		Total
Commercial & industrial
Pass	$	819,600	$	710,857	$	592,046	$	298,770	$	162,136	$	241,857	$	2,825,266	$	890,880	$	3,716,146
Special mention	5,594		1,964		1,971		620		2,859		71		13,079		16,211		29,290
Substandard	4,873		3,433		22,508		8,533		347		4,309		44,003		26,419		70,422
Doubtful	0		0		0		0		0		0		0		0		0
Total	$	830,067	$	716,254	$	616,525	$	307,923	$	165,342	$	246,237	$	2,882,348	$	933,510	$	3,815,858
YTD Gross chargeoffs	$	318	$	1,264	$	5,293	$	4,106	$	147	$	3,295	$	14,423	$	225	$	14,648
Lease financing
Pass	$	228,132	$	253,776	$	70,608	$	11,480	$	5,309	$	1,137	$	570,442	$	0	$	570,442
Special mention	0		644		10,171		550		0		0		11,365		0		11,365
Substandard	292		10,225		4,893		129		8		691		16,238		0		16,238
Doubtful	0		0		0		0		0		0		0		0		0
Total	$	228,424	$	264,645	$	85,672	$	12,159	$	5,317	$	1,828	$	598,045	$	0	$	598,045
YTD Gross chargeoffs	$	0	$	1,008	$	451	$	66	$	0	$	1,867	$	3,392	$	0	$	3,392
Construction real estate
Pass	$	139,377	$	213,300	$	322,493	$	40,740	$	1,590	$	17,352	$	734,852	$	0	$	734,852
Special mention	3,525		0		12,737		0		17,832		0		34,094		0		34,094
Substandard	0		0		0		10,500		0		0		10,500		0		10,500
Doubtful	0		0		0		0		0		0		0		0		0
Total	$	142,902	$	213,300	$	335,230	$	51,240	$	19,422	$	17,352	$	779,446	$	0	$	779,446
YTD Gross chargeoffs	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	0
Commercial real estate - investor
Pass	$	515,950	$	376,740	$	497,047	$	340,115	$	231,922	$	949,772	$	2,911,546	$	36,716	$	2,948,262
Special mention	13,738		30,454		18,423		4,282		106		27,144		94,147		0		94,147
Substandard	0		0		10,600		0		4,950		35,425		50,975		0		50,975
Doubtful	0		0		0		0		0		0		0		0		0
Total	$	529,688	$	407,194	$	526,070	$	344,397	$	236,978	$	1,012,341	$	3,056,668	$	36,716	$	3,093,384
YTD Gross chargeoffs	$	0	$	0	$	0	$	0	$	788	$	9,837	$	10,625	$	0	$	10,625
Commercial real estate - owner
Pass	$	202,580	$	126,550	$	161,401	$	94,052	$	128,068	$	215,902	$	928,553	$	17,268	$	945,821
Special mention	1,839		134		213		2,210		504		1,173		6,073		0		6,073
Substandard	0		0		858		3,159		1,249		11,200		16,466		0		16,466
Doubtful	0		0		0		0		0		0		0		0		0
Total	$	204,419	$	126,684	$	162,472	$	99,421	$	129,821	$	228,275	$	951,092	$	17,268	$	968,360
YTD Gross chargeoffs	$	0	$	0	$	0	$	0	$	0	$	8	$	8	$	0	$	8
Residential real estate
Performing	$	129,008	$	321,232	$	324,180	$	233,355	$	169,901	$	264,312	$	1,441,988	$	0	$	1,441,988
Nonperforming	198		541		1,323		4,412		4,300		9,522		20,296		0		20,296
Total	$	129,206	$	321,773	$	325,503	$	237,767	$	174,201	$	273,834	$	1,462,284	$	0	$	1,462,284
YTD Gross chargeoffs	$	0	$	0	$	25	$	16	$	0	$	102	$	143	$	0	$	143
Home equity
Performing	$	30,799	$	23,969	$	20,280	$	24,878	$	28,882	$	21,160	$	149,968	$	692,993	$	842,961
Nonperforming	61		328		124		144		7		354		1,018		5,060		6,078
Total	$	30,860	$	24,297	$	20,404	$	25,022	$	28,889	$	21,514	$	150,986	$	698,053	$	849,039
YTD Gross chargeoffs	$	37	$	37	$	0	$	186	$	5	$	182	$	447	$	0	$	447
Installment
Performing	$	12,356	$	9,997	$	22,244	$	11,500	$	2,004	$	3,759	$	61,860	$	69,153	$	131,013
Nonperforming	190		116		607		268		20		16		1,217		821		2,038
Total	$	12,546	$	10,113	$	22,851	$	11,768	$	2,024	$	3,775	$	63,077	$	69,974	$	133,051
YTD Gross chargeoffs	$	382	$	1,120	$	4,066	$	1,779	$	71	$	42	$	7,460	$	0	$	7,460


Credit cards
Performing	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	61,969	$	61,969
Nonperforming	0		0		0		0		0		0		0		342		342
Total	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	62,311	$	62,311
YTD Gross chargeoffs	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	2,586	$	2,586
Grand Total Loans	$	2,108,112	$	2,084,260	$	2,094,727	$	1,089,697	$	761,994	$	1,805,156	$	9,943,946	$	1,817,832	$	11,761,778
Grand Total YTD Gross Chargeoffs	$	737	$	3,429	$	9,835	$	6,153	$	1,011	$	15,333	$	36,498	$	2,811	$	39,309

The following table sets forth the Company's loan portfolio at December 31, 2023 by risk attribute and origination date:


(Dollars in thousands)	2023		2022		2021		2020		2019		Prior				Term Total				Revolving		Total
Commercial & industrial
Pass	$	848,448	$	736,213	$	414,460	$	265,143	$	113,296	$	226,970			$	2,604,530			$	774,080	$	3,378,610
Special mention	0		13,373		4,970		882		19,560		1,328				40,113				8,882		48,995
Substandard	3,133		21,505		11,483		1,205		1,023		9,990				48,339				25,277		73,616
Doubtful	0		0		0		0		0		0				0				0		0
Total	$	851,581	$	771,091	$	430,913	$	267,230	$	133,879	$	238,288			$	2,692,982			$	808,239	$	3,501,221
YTD Gross chargeoffs	$	10	$	2,978	$	7,267	$	7,055	$	936	$	929	$	19,175	$	19,175	$	19,175	$	0	$	19,175
Lease financing
Pass	$	261,064	$	186,997	$	6,404	$	1,189	$	2,222	$	523			$	458,399			$	0	$	458,399
Special mention	4,761		8,047		0		0		0		0				12,808				0		12,808
Substandard	1,407		1,961		97		0		145		0				3,610				0		3,610
Doubtful	0		0		0		0		0		0				0				0		0
Total	$	267,232	$	197,005	$	6,501	$	1,189	$	2,367	$	523			$	474,817			$	0	$	474,817
YTD Gross chargeoffs	$	0	$	0	$	4,423	$	0	$	0	$	0			$	4,423			$	0	$	4,423
Construction real estate
Pass	$	170,259	$	208,446	$	108,886	$	27,686	$	7,784	$	6,165			$	529,226			$	19,275	$	548,501
Special mention	0		0		0		16,331		0		0				16,331				0		16,331
Substandard	0		0		0		0		0		0				0				0		0
Doubtful	0		0		0		0		0		0				0				0		0
Total	$	170,259	$	208,446	$	108,886	$	44,017	$	7,784	$	6,165			$	545,557			$	19,275	$	564,832
YTD Gross chargeoffs	$	0	$	0	$	0	$	0	$	0	$	0			$	0			$	0	$	0
Commercial real estate - investor
Pass	$	468,579	$	595,423	$	473,325	$	261,794	$	554,893	$	636,598			$	2,990,612			$	39,668	$	3,030,280
Special mention	7,894		9,345		12,134		110		32,756		14,204				76,443				0		76,443
Substandard	0		0		0		6,238		0		25,668				31,906				0		31,906
Doubtful	0		0		0		0		0		0				0				0		0
Total	$	476,473	$	604,768	$	485,459	$	268,142	$	587,649	$	676,470			$	3,098,961			$	39,668	$	3,138,629
YTD Gross chargeoffs	$	0	$	0	$	859	$	2,030	$	0	$	3,119			$	6,008			$	0	$	6,008
Commercial real estate - owner
Pass	$	138,932	$	175,336	$	130,240	$	138,919	$	86,182	$	215,458			$	885,067			$	22,639	$	907,706
Special mention	396		45		179		2,403		462		19,807				23,292				0		23,292
Substandard	0		0		3,919		835		1,324		5,234				11,312				0		11,312
Doubtful	0		0		0		0		0		0				0				0		0
Total	$	139,328	$	175,381	$	134,338	$	142,157	$	87,968	$	240,499			$	919,671			$	22,639	$	942,310
YTD Gross chargeoffs	$	0	$	0	$	0	$	2,643	$	1	$	71			$	2,715			$	0	$	2,715
Residential real estate
Performing	$	325,304	$	234,583	$	255,964	$	188,212	$	101,663	$	210,583			$	1,316,309			$	0	$	1,316,309
Nonperforming	243		917		2,584		3,496		2,160		7,965				17,365				0		17,365
Total	$	325,547	$	235,500	$	258,548	$	191,708	$	103,823	$	218,548			$	1,333,674			$	0	$	1,333,674
YTD Gross chargeoffs	$	0	$	0	$	8	$	1	$	27	$	3			$	39			$	0	$	39


Home equity
Performing	$	28,979	$	23,175	$	29,084	$	32,917	$	9,883	$	22,419	$	146,457	$	606,183	$	752,640
Nonperforming	20		69		258		162		138		317		964		5,072		6,036
Total	$	28,999	$	23,244	$	29,342	$	33,079	$	10,021	$	22,736	$	147,421	$	611,255	$	758,676
YTD Gross chargeoffs	$	0	$	0	$	7	$	0	$	174	$	159	$	340	$	0	$	340
Installment
Performing	$	16,026	$	39,212	$	22,961	$	3,923	$	1,691	$	3,768	$	87,581	$	68,673	$	156,254
Nonperforming	196		1,142		742		12		12		30		2,134		690		2,824
Total	$	16,222	$	40,354	$	23,703	$	3,935	$	1,703	$	3,798	$	89,715	$	69,363	$	159,078
YTD Gross chargeoffs	$	168	$	3,189	$	2,903	$	154	$	5	$	23	$	6,442	$	0	$	6,442
Credit cards
Performing	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	59,438	$	59,438
Nonperforming	0		0		0		0		0		0		0		501		501
Total	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	59,939	$	59,939
YTD Gross chargeoffs	$	0	$	0	$	0	$	0	$	0	$	0	$	0	$	1,173	$	1,173
Total Loans	$	2,275,641	$	2,255,789	$	1,477,690	$	951,457	$	935,194	$	1,407,027	$	9,302,798	$	1,630,378	$	10,933,176
Total YTD Gross Chargeoffs	$	178	$	6,167	$	15,467	$	11,883	$	1,143	$	4,304	$	39,142	$	1,173	$	40,315

Loan Delinquency, including Nonaccrual Loans

Loan delinquency, including nonaccrual loans, was as follows:


	As of December 31, 2024
(Dollars in thousands)	30 – 59 days past due		60 – 89 days past due		> 90 days past due		Total past due		Current		Total		> 90 days past due and still accruing
Loans
Commercial & industrial	$	4,521	$	1,598	$	2,470	$	8,589	$	3,807,269	$	3,815,858	$	0
Lease financing	3,096		3,085		3,386		9,567		588,478		598,045		19
Construction real estate	0		10,500		0		10,500		768,946		779,446		0
Commercial real estate-investor	0		0		17,360		17,360		3,076,024		3,093,384		0
Commercial real estate-owner	856		0		6,144		7,000		961,360		968,360		0
Residential real estate	6,217		154		5,968		12,339		1,449,945		1,462,284		0
Home equity	1,902		1,102		1,428		4,432		844,607		849,039		0
Installment	914		569		402		1,885		131,166		133,051		0
Credit card	450		196		342		988		61,323		62,311		342
Total	$	17,956	$	17,204	$	37,500	$	72,660	$	11,689,118	$	11,761,778	$	361


	As of December 31, 2023
(Dollars in thousands)	30 - 59 days past due		60 - 89 days past due		> 90 days past due		Total past due		Current		Total		> 90 days past due and still accruing
Loans
Commercial & industrial	$	1,717	$	733	$	4,822	$	7,272	$	3,493,949	$	3,501,221	$	376
Lease financing	790		1,028		4,224		6,042		468,775		474,817		1,151
Construction real estate	0		0		0		0		564,832		564,832		0
Commercial real estate-investor	19		16,455		6,238		22,712		3,115,917		3,138,629		0
Commercial real estate-owner	269		205		5,290		5,764		936,546		942,310		0
Residential real estate	4,786		1,929		3,744		10,459		1,323,215		1,333,674		0
Home equity	1,998		1,082		1,919		4,999		753,677		758,676		0
Installment	1,157		864		669		2,690		156,388		159,078		0
Credit card	320		211		501		1,032		58,907		59,939		501
Total	$	11,056	$	22,507	$	27,407	$	60,970	$	10,872,206	$	10,933,176	$	2,028

Schedule of Amortized Cost Basis and Financial Effect of Loan Modifications to Borrowers Experiencing Financial Difficulty

The following tables provide the amortized cost basis, as of the period end date, of FDMs that were granted modifications during the years ended December 31, 2024 and 2023:


	Year ended December 31, 2024
(Dollars in thousands)	Principal forgiveness		Payment delay		Term extension		Interest rate reduction		Combination: Term extension and interest rate reduction		Total		Percent of total class of loans
Commercial & industrial	$	0	$	0	$	18,306	$	0	$	0	$	18,306	0.48	%

Construction real estate	0		0		10,500		0		0		10,500		1.35	%


Residential real estate	0		2,353		4		0		0		2,357		0.16	%
Home equity	0		491		0		0		0		491		0.06	%

Total	$	0	$	2,844	$	28,810	$	0	$	0	$	31,654	0.27	%


	Year ended December 31, 2023
(Dollars in thousands)	Principal forgiveness		Payment delay		Term extension		Interest rate reduction		Combination: Term extension and interest rate reduction		Total		Percent of total class of loans
Commercial & industrial	$	0	$	1,181	$	3,329	$	0	$	0	$	4,510	0.13	%




Residential real estate	0		1,889		96		0		55		2,040		0.15	%
Home equity	0		181		0		0		0		181		0.02	%

Total	$	0	$	3,251	$	3,425	$	0	$	55	$	6,731	0.06	%

The following tables provide the financial effect of FDMs granted during the years ended December 31, 2024 and 2023 by class of loans:


	Year ended December 31, 2024
(Dollars in thousands)	Principal forgiveness			Weighted average interest rate reduction		Weighted average term extension
Commercial & industrial	$	0		0.00	%	0.4 years
Construction real estate	0			0.00	%	0.3 years

Residential real estate	0			0.00	%	3.0 years


Total	$	0	0	0.00	%	0.4 years


	Year ended December 31, 2023
(Dollars in thousands)	Principal forgiveness		Weighted average interest rate reduction		Weighted average term extension
Commercial & industrial	$	0	0.00	%	0.2 years


Residential real estate	0		2.00	%	11.4 years


Total	$	0	2.00	%	0.7 years

Financing Receivable, Modified, Past Due

The Company closely monitors the performance of FDMs to understand the effectiveness of its modification efforts. The following tables provide the performance of loans, as of the period end date, of FDMs granted during the twelve months preceding each year end:


	Twelve months ended December 31, 2024
(Dollars in thousands)	Current		30 – 59 days past due		60 – 89 days past due		> 89 days past due		Total
Commercial & industrial	$	17,916	$	0	$	0	$	390	$	18,306

Construction real estate	0		0		10,500		0		10,500


Residential real estate	1,159		890		241		67		2,357
Home equity	487		0		0		4		491


Total	$	19,562	$	890	$	10,741	$	461	$	31,654


	Twelve months ended December 31, 2023
(Dollars in thousands)	Current		30 – 59 days past due		60 – 89 days past due		> 89 days past due		Total
Commercial & industrial	$	1,181	$	821	$	0	$	2,508	$	4,510




Residential real estate	1,021		500		240		279		2,040
Home equity	111		70		0		0		181


Total	$	2,313	$	1,391	$	240	$	2,787	$	6,731

Financing Receivable, Nonaccrual

The following table provides information on nonperforming loans as of December 31:


	2024						2023						2022
(Dollars in thousands)	Nonaccrual loans with a related ACL		Nonaccrual loans with no related ACL		Total nonaccrual		Nonaccrual loans with a related ACL		Nonaccrual loans with no related ACL		Total nonaccrual		Nonaccrual loans with a related ACL		Nonaccrual loans with no related ACL		Total nonaccrual
Nonaccrual loans (1)
Commercial & industrial	$	1,939	$	4,702	$	6,641	$	3,329	$	12,417	$	15,746	$	6,692	$	1,550	$	8,242
Lease financing	1,982		4,245		6,227		1,505		2,105		3,610		0		178		178
Construction real estate	0		0		0		0		0		0		0		0		0
Commercial real estate	0		32,303		32,303		16,356		11,628		27,984		5,216		570		5,786
Residential real estate	0		16,700		16,700		0		14,067		14,067		0		10,691		10,691
Home equity	0		3,418		3,418		0		3,476		3,476		0		3,123		3,123
Installment	0		684		684		0		870		870		0		603		603
Total nonaccrual loans	$	3,921	$	62,052	$	65,973	$	21,190	$	44,563	$	65,753	$	11,908	$	16,715	$	28,623

(1) Nonaccrual loans include nonaccrual TDRs of $10.0 million as of December 31, 2022.

Schedule of Collateral Dependent Loans

The following table presents the amortized cost basis of collateral dependent loans by class of loan.


	December 31, 2024
	Type of Collateral
(Dollar in thousands)	Business assets		Commercial real estate		Equipment		Land		Residential real estate		Other		Total
Class of loan
Commercial & industrial	$	2,527	$	0	$	1,434	$	0	$	0	$	2,680	$	6,641
Lease financing	0		0		6,227		0		0		0		6,227
Commercial real estate-investor	0		26,132		0		0		27		0		26,159
Commercial real estate-owner	0		4,250		1,894		0		0		0		6,144
Residential real estate	0		0		0		0		16,700		0		16,700
Home equity	0		0		0		0		3,418		0		3,418
Installment	0		0		0		0		0		684		684
Total	$	2,527	$	30,382	$	9,555	$	0	$	20,145	$	3,364	$	65,973


	December 31, 2023
	Type of Collateral
(Dollar in thousands)	Business assets		Commercial real estate		Equipment		Land		Residential real estate		Other		Total
Class of loan
Commercial & industrial	$	10,952	$	0	$	3,869	$	0	$	0	$	925	$	15,746
Lease financing	0		0		3,610		0		0		0		3,610
Commercial real estate-investor	0		22,694		0		0		0		0		22,694
Commercial real estate-owner	0		3,397		1,893		0		0		0		5,290
Residential real estate	0		0		0		0		14,067		0		14,067
Home equity	0		0		0		0		3,476		0		3,476
Installment	0		0		0		0		0		870		870
Total	$	10,952	$	26,091	$	9,372	$	0	$	17,543	$	1,795	$	65,753

Components of lease investments

The components of the Company's net investments in direct financing and sales-type leases, which are included in Lease financing on the Consolidated Balance Sheets are as follows:


(Dollar in thousands)	December 31, 2024		December 31, 2023
Direct financing and sales-type leases
Lease receivables	$	581,651	$	460,416
Unguaranteed residual values	16,394		14,401
Total net investment in direct financing and sales-type leases	$	598,045	$	474,817

Sales-type and Direct Financing Leases, Lease Receivable, Maturity

The remaining maturities of lease receivables were as follows:


(Dollars in thousands)	Direct financing and Sales-type
2025	$	195,616
2026	173,335
2027	140,974
2028	84,597
2029	42,730
Thereafter	26,010
Total lease payments	663,262
Less: unearned interest income	(81,611)
Net lease receivables	$	581,651

Changes in Other Real Estate Owned

Changes in OREO were as follows:


	Years ended December 31,
(Dollars in thousands)	2024		2023		2022
Balance at beginning of year	$	106	$	191	$	98
Additions
Commercial real estate	0		0		0
Residential real estate	119		387		327
Total additions	119		387		327
Disposals
Commercial real estate	0		0		(98)
Residential real estate	(136)		(288)		(94)
Total disposals	(136)		(288)		(192)
Valuation adjustments
Commercial real estate	0		0		0
Residential real estate	(25)		(184)		(42)
Total valuation adjustments	(25)		(184)		(42)
Balance at end of year	$	64	$	106	$	191

LOANS - Carrying Amount of Accretable Yield for Purchased Impaired and Nonimpaired Loans [Abstract]