Fair Value Measurement of Assets and Liabilities (Tables)

12 Months Ended

Dec. 31, 2020

Assets and Liabilities Measured at Fair Value on Recurring and Non-Recurring Basis

The following tables present the assets and liabilities that are measured at fair value on a recurring and non-recurring basis by level within the fair value hierarchy as reported on the consolidated statements of financial condition at December 31, 2020 and 2019. The assets presented under “non-recurring fair value measurements” in the table below are not measured at fair value on an ongoing basis but are subject to fair value adjustments under certain circumstances (e.g., when an impairment loss is recognized).


			Fair Value Measurements at Reporting Date Using:
	December 31, 2020		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in thousands)
Recurring fair value measurements:
Assets
Investment securities:
Equity securities (1)	$	26,379	$	18,600	$	—	$	—
Available for sale debt securities:
U.S. Treasury securities	51,393		51,393		—		—
U.S. government agency securities	26,157		—		26,157		—
Obligations of states and political subdivisions	79,950		—		79,135		815
Residential mortgage-backed securities	1,090,022		—		1,090,022		—

Corporate and other debt securities	91,951		—		91,951		—
Total available for sale debt securities	1,339,473		51,393		1,287,265		815
Loans held for sale (2)	301,427		—		301,427		—
Other assets (3)	387,452		—		387,452		—
Total assets	$	2,054,731	$	69,993	$	1,976,144	$	815
Liabilities
Other liabilities (3)	$	156,281	$	—	$	156,281	$	—
Total liabilities	$	156,281	$	—	$	156,281	$	—
Non-recurring fair value measurements:

Collateral dependent loans	$	35,228	$	—	$	—	$	35,228
Loan servicing rights	15,603		—		—		15,603
Foreclosed assets	7,387		—		—		7,387
Total	$	58,218	$	—	$	—	$	58,218


			Fair Value Measurements at Reporting Date Using:
	December 31, 2019		Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
	(in thousands)
Recurring fair value measurements:
Assets
Investment securities:
Equity securities at fair value	$	41,410	$	41,410	$	—	$	—
Available for sale debt securities:
U.S. Treasury securities	50,943		50,943		—		—
U.S. government agency securities	29,243		—		29,243		—
Obligations of states and political subdivisions	170,051		—		169,371		680
Residential mortgage-backed securities	1,254,786		—		1,254,786		—

Corporate and other debt securities	61,778		—		61,778		—

Total available for sale debt securities	1,566,801		50,943		1,515,178		680
Loans held for sale (2)	76,113		—		76,113		—
Other assets (3)	158,532		—		158,532		—
Total assets	$	1,842,856	$	92,353	$	1,749,823	$	680
Liabilities
Other liabilities (3)	$	43,926	$	—	$	43,926	$	—
Total liabilities	$	43,926	$	—	$	43,926	$	—
Non-recurring fair value measurements:
Collateral dependent impaired loans	$	39,075	$	—	$	—	$	39,075
Loan servicing rights	1,591		—		—		1,591
Foreclosed assets	10,807		—		—		10,807
Total	$	51,473	$	—	$	—	$	51,473

(1)Includes equity securities measured as net asset value (NAV) per share (or its equivalent) as a practical expedient totaling $7.8 million at December 31, 2020. These securities have not been classified in the fair value hierarchy.

(2)Represents residential mortgage loans held for sale that are carried at fair value and had contractual unpaid principal balances totaling approximately $286.4 million and $74.5 million at December 31, 2020 and 2019, respectively.

(3)Derivative financial instruments are included in this category.

Carrying Amounts and Estimated Fair Values of Financial Instruments

The carrying amounts and estimated fair values of financial instruments not measured and not reported at fair value on the consolidated statements of financial condition at December 31, 2020 and 2019 were as follows:



		2020				2019
	Fair Value Hierarchy	Carrying Amount		Fair Value		Carrying Amount		Fair Value
		(in thousands)
Financial assets
Cash and due from banks	Level 1	$	257,845	$	257,845	$	256,264	$	256,264
Interest bearing deposits with banks	Level 1	1,071,360		1,071,360		178,423		178,423
Equity securities (1)	Level 3	2,999		2,999		—		—
Held to maturity debt securities:
U.S. Treasury securities	Level 1	68,126		75,484		138,352		144,113
U.S. government agency securities	Level 2	6,222		6,513		7,345		7,362
Obligations of states and political subdivisions	Level 2	470,259		484,506		500,705		513,607
Residential mortgage-backed securities	Level 2	1,550,306		1,589,655		1,620,119		1,629,572
Trust preferred securities	Level 2	37,348		30,033		37,324		31,382
Corporate and other debt securities	Level 2	40,750		41,421		32,250		32,684
Total held to maturity debt securities (2)		2,173,011		2,227,612		2,336,095		2,358,720
Net loans	Level 3	31,876,869		31,635,060		29,537,449		28,964,396
Accrued interest receivable	Level 1	106,230		106,230		105,637		105,637
Federal Reserve Bank and Federal Home Loan Bank stock (3)	Level 2	250,116		250,116		214,421		214,421
Financial liabilities
Deposits without stated maturities	Level 1	25,220,924		25,220,924		19,467,892		19,467,892
Deposits with stated maturities	Level 2	6,714,678		6,639,022		9,717,945		9,747,867
Short-term borrowings	Level 1	1,147,958		1,151,478		1,093,280		1,081,879
Long-term borrowings	Level 2	2,295,665		2,405,345		2,122,426		2,181,401
Junior subordinated debentures issued to capital trusts	Level 2	56,065		57,779		55,718		53,889
Accrued interest payable (4)	Level 1	18,839		18,839		33,066		33,066

(1)Represents equity securities without a readily determinable fair value measured at costs less impairment, if any.

(2)The carrying amount is presented gross without the allowance for credit losses.

(3)Included in other assets.

(4)Included in accrued expenses and other liabilities.