Allowance for Credit Losses (Tables)

9 Months Ended

Sep. 30, 2021

Receivables [Abstract]

Schedule of Loans Credit Quality Indicators

The following tables presents loan balances by year of origination and internally assigned risk rating for our portfolio segments as of the dates presented:

	September 30, 2021
	Risk Rating
(dollars in thousands)	2021		2020		2019		2018		2017		2016 and Prior		Revolving		Revolving-Term		Total
Commercial real estate
Pass	$	255,876	$	323,514	$	443,487	$	341,387	$	224,258	$	716,460	$	42,326	—		$	2,347,308
Special mention	—		1,368		32,780		4,422		38,966		97,322		—				174,858
Substandard	—		445		16,812		19,320		18,673		123,332		1,500				180,082
Doubtful	—		—		532		—		—		—		—		—		532
Total commercial real estate	255,876		325,327		493,611		365,129		281,897		937,114		43,826		—		2,702,780
Commercial and industrial
Pass	401,200		156,589		145,923		98,137		43,019		133,945		428,398		—		1,407,211
Special mention	49		2,927		1,283		3,166		72		1,934		10,667				20,098
Substandard	5,196		—		19,180		1,374		5,258		5,532		5,017				41,557
Doubtful	—		—		9,332		—		—		—		—		—		9,332
Total commercial and industrial	406,445		159,516		175,718		102,677		48,349		141,411		444,082				1,478,198
Commercial construction
Pass	100,774		134,440		172,508		33,903		996		4,298		21,714		—		468,633
Special mention	—		—		—		—		—		4,491		—				4,491
Substandard	—		2,149		7,416		—		—		3,235		—				12,800
Doubtful	—		—		—		—		—		—		—		—		—
Total commercial construction	100,774		136,589		179,924		33,903		996		12,024		21,714				485,924
Business banking
Pass	173,154		114,831		152,423		117,529		81,934		316,445		103,162		450		1,059,928
Special mention	113		153		890		1,406		935		6,265		199		121		10,082
Substandard	46		71		1,720		3,292		2,036		21,337		978		635		30,115
Doubtful	—		—		—		—		—		—		—		—		—
Total business banking	173,313		115,055		155,033		122,227		84,905		344,047		104,339		1,206		1,100,125
Consumer real estate
Pass	89,026		107,534		94,583		58,622		42,789		242,252		435,213		23,088		1,093,107
Special mention	—		—		—		—		—		2,163		—				2,163
Substandard	—		—		208		1,765		1,368		4,868		709		1,290		10,208
Doubtful	—		—		—		—		—		—		—		—		—
Total consumer real estate	89,026		107,534		94,791		60,387		44,157		249,283		435,922		24,378		1,105,478
Other consumer
Pass	9,833		10,852		8,470		3,852		1,442		2,888		50,725		1,113		89,175
Special mention	—		—		—		—		—		—		—		—		—
Substandard	—		52		105		150		368		5,930		255		1,547		8,407
Doubtful	—		—		—		—		—		—		—		—		—
Total other consumer	9,833		10,904		8,575		4,002		1,810		8,818		50,980		2,660		97,582
Pass	1,029,863		847,760		1,017,394		653,430		394,438		1,416,288		1,081,538		24,651		6,465,362
Special mention	162		4,448		34,953		8,994		39,973		112,175		10,866		121		211,692
Substandard	5,242		2,717		45,441		25,901		27,703		164,234		8,459		3,472		283,169
Doubtful	—		—		9,864		—		—		—		—		—		9,864
Total	$	1,035,267	$	854,925	$	1,107,652	$	688,325	$	462,114	$	1,692,697	$	1,100,863	$	28,244	$	6,970,087

	December 31, 2020
	Risk Rating
(dollars in thousands)	2020		2019		2018		2017		2016		2015 and Prior		Revolving		Revolving-Term		Total
Commercial real estate
Pass	$	334,086	$	422,800	$	394,963	$	277,724	$	307,321	$	615,217	$	46,330	$	—	$	2,398,441
Special mention	—		35,499		10,200		22,502		55,174		75,022		—		—		198,397
Substandard	—		17,259		12,781		19,914		50,700		83,792		1,500		—		185,946
Doubtful	—		645		—		—		1,989		6,529		—		—		9,163
Total commercial real estate	334,086		476,203		417,944		320,140		415,184		780,560		47,830		—		2,791,947
Commercial and industrial
Pass	454,131		199,453		140,049		68,607		27,645		206,782		383,082		—		1,479,749
Special mention	3,697		8,211		2,628		697		768		1,046		23,527		—		40,574
Substandard	—		7,793		2,613		8,544		75		13,781		2,022		—		34,828
Doubtful	—		—		—		4,401		—		—		—		—		4,401
Total commercial and industrial	457,828		215,457		145,290		82,249		28,488		221,609		408,631		—		1,559,552
Commercial construction
Pass	131,235		224,794		59,649		2,420		6,346		4,555		12,778		—		441,777
Special mention	1,578		2,533		3,886		—		—		8,593		—		—		16,590
Substandard	—		3,580		—		501		—		3,629		—		—		7,710
Doubtful	—		—		—		—		—		—		—		—		—
Total commercial construction	132,813		230,907		63,535		2,921		6,346		16,777		12,778		—		466,077
Business banking
Pass	296,254		154,335		123,207		86,552		77,238		266,042		103,571		291		1,107,490
Special mention	—		1,060		1,147		1,602		1,084		6,866		637		123		12,519
Substandard	103		1,078		3,896		3,209		3,880		25,871		1,341		680		40,058
Doubtful	—		—		—		—		—		—		—		—		—
Total business banking	296,357		156,473		128,250		91,363		82,202		298,779		105,549		1,094		1,160,067
Consumer real estate
Pass	120,736		122,171		67,700		63,653		73,805		243,939		438,888		22,667		1,153,559
Special mention	—		—		1,489		—		—		150		132		—		1,771
Substandard	—		373		742		1,480		2,449		6,958		—		—		12,002
Doubtful	—		—		—		—		—		—		—		—		—
Total consumer real estate	120,736		122,544		69,931		65,133		76,254		251,047		439,020		22,667		1,167,332
Other consumer
Pass	18,849		13,162		6,784		3,395		2,082		687		26,647		2,767		74,373
Special mention	—		—		—		—		—		—		—		—		—
Substandard	15		—		—		—		—		3,367		744		2,386		6,512
Doubtful	—		—		—		—		—		—		—		—		—
Total other consumer	18,864		13,162		6,784		3,395		2,082		4,054		27,391		5,153		80,885
Pass	1,355,292		1,136,716		792,352		502,350		494,436		1,337,222		1,011,297		25,724		6,655,389
Special Mention	5,274		47,302		19,350		24,802		57,026		91,677		24,296		124		269,851
Substandard	118		30,083		20,032		33,648		57,105		137,398		5,606		3,066		287,056
Doubtful	—		645		—		4,401		1,989		6,529		—		—		13,564
Total	$	1,360,684	$	1,214,746	$	831,734	$	565,201	$	610,556	$	1,572,826	$	1,041,199	$	28,914	$	7,225,860

The following tables presents loan balances by year of origination and performing and nonperforming status for our portfolio segments as of September 30, 2021 and December 31, 2020:

	September 30, 2021
(dollars in thousands)	2021		2020		2019		2018		2017		2016 and Prior		Revolving		Revolving-Term		Total
Commercial real estate
Performing	$	255,876	$	325,327	$	477,766	$	362,382	$	275,458	$	907,348	$	43,826	$	—	$	2,647,983
Nonperforming	—		—		15,845		2,747		6,439		29,766		—		—		54,797
Total commercial real estate	255,876		325,327		493,611		365,129		281,897		937,114		43,826		—		2,702,780
Commercial and industrial
Performing	401,249		159,516		153,731		102,310		44,963		141,201		441,319		—		1,444,289
Nonperforming	5,196				21,987		367		3,386		210		2,763		—		33,909
Total commercial and industrial	406,445		159,516		175,718		102,677		48,349		141,411		444,082				1,478,198
Commercial construction
Performing	100,774		136,589		176,567		33,903		996		11,328		21,714		—		481,871
Nonperforming	—		—		3,357		—		—		696		—		—		4,053
Total commercial construction	100,774		136,589		179,924		33,903		996		12,024		21,714				485,924
Business banking
Performing	173,267		115,055		154,639		120,811		84,187		336,486		104,310		1,149		1,089,904
Nonperforming	46		—		394		1,416		718		7,561		29		57		10,221
Total business banking	173,313		115,055		155,033		122,227		84,905		344,047		104,339		1,206		1,100,125
Consumer real estate
Performing	89,026		107,482		94,501		60,140		43,392		244,339		434,893		23,562		1,097,335
Nonperforming	—		52		290		247		765		4,944		1,029		816		8,143
Total consumer real estate	89,026		107,534		94,791		60,387		44,157		249,283		435,922		24,378		1,105,478
Other consumer
Performing	9,833		10,904		8,575		3,813		1,810		8,818		50,980		2,660		97,393
Nonperforming	—		—		—		189		—		—		—		—		189
Total other consumer	9,833		10,904		8,575		4,002		1,810		8,818		50,980		2,660		97,582
Performing	1,030,025		854,873		1,065,779		683,359		450,806		1,649,520		1,097,042		27,371		6,858,775
Nonperforming(1)	5,242		52		41,873		4,966		11,308		43,177		3,821		873		111,312
Total	$	1,035,267	$	854,925	$	1,107,652	$	688,325	$	462,114	$	1,692,697	$	1,100,863	$	28,244	$	6,970,087
(1) Included in nonperforming commercial loans is $1.7 million of loans held for sale with $0.3 million in 2010, $0.9 million in 2012 and $0.5 million in 2013.

	December 31, 2020
(dollars in thousands)	2020		2019		2018		2017		2016		2015 and Prior		Revolving		Revolving-Term		Total
Commercial real estate
Performing	$	334,086	$	459,799	$	417,944	$	313,465	$	394,972	$	722,781	$	47,830	$	—	$	2,690,877
Nonperforming	—		16,404		—		6,675		20,212		57,779		—		—		101,070
Total commercial real estate	334,086		476,203		417,944		320,140		415,184		780,560		47,830		—		2,791,947
Commercial and industrial
Performing	457,828		214,144		143,706		69,411		28,426		220,701		408,351		—		1,542,567
Nonperforming	—		1,313		1,584		12,838		62		908		280		—		16,985
Total commercial and industrial	457,828		215,457		145,290		82,249		28,488		221,609		408,631		—		1,559,552
Commercial construction
Performing	132,813		230,907		63,535		2,921		6,346		16,393		12,778		—		465,693
Nonperforming	—		—		—		—		—		384		—		—		384
Total commercial construction	132,813		230,907		63,535		2,921		6,346		16,777		12,778		—		466,077
Business Banking
Performing	296,327		156,164		126,432		90,414		80,106		286,970		105,494		1,037		1,142,944
Nonperforming	30		309		1,818		949		2,096		11,809		55		57		17,123
Total business banking	296,357		156,473		128,250		91,363		82,202		298,779		105,549		1,094		1,160,067
Consumer real estate
Performing	120,736		122,315		69,225		63,647		74,690		245,331		438,701		21,571		1,156,216
Nonperforming	—		229		706		1,486		1,564		5,716		319		1,096		11,116
Total consumer real estate	120,736		122,544		69,931		65,133		76,254		251,047		439,020		22,667		1,167,332
Other consumer
Performing	18,864		13,162		6,784		3,395		2,082		3,958		27,391		5,153		80,789
Nonperforming	—		—		—		—		—		96		—		—		96
Total other consumer	18,864		13,162		6,784		3,395		2,082		4,054		27,391		5,153		80,885
Performing	1,360,654		1,196,492		827,626		543,253		586,622		1,496,134		1,040,545		27,760		7,079,086
Nonperforming	30		18,254		4,108		21,948		23,934		76,692		654		1,154		146,774
Total	$	1,360,684	$	1,214,746	$	831,734	$	565,201	$	610,556	$	1,572,826	$	1,041,199	$	28,914	$	7,225,860

The following tables present collateral-dependent loans by class of loan as of the dates presented:

	September 30, 2021
	Type of Collateral
(dollars in thousands)	Real Estate		Business Assets		Investment/Cash		Other
Commercial real estate	$	51,006	$	—	$	—	$	—
Commercial and industrial	272		13,738		—		21,730
Commercial construction	6,057		—		—		—
Business banking	1,714		1,424		—		—
Consumer real estate	—		—		—		—
Total	$	59,049	$	15,162	$	—	$	21,730

	December 31, 2020
	Type of Collateral
(dollars in thousands)	Real Estate		Business Assets		Investment/Cash		Other
Commercial real estate	$	100,450	$	—	$	—	$	—
Commercial and industrial	1,040		15,080		—		—
Commercial construction	3,552		—		—		—
Business banking	3,085		1,619		—		689
Consumer real estate	398		—		—		—
Total	$	108,525	$	16,699	$	—	$	689

Schedule of Age Analysis of Past Due Loans Segregated by Class of Loans

The following tables present the age analysis of past due loans segregated by class of loans as of the dates presented:

	September 30, 2021
(dollars in thousands)	Current		30-59 Days Past Due		60-89 Days Past Due		Non - performing(2)		Total Past Due Loans		Total Loans
Commercial real estate	$	2,647,983	$	—	$	—	$	54,797	$	54,797	2,702,780
Commercial and industrial	1,444,289		—		—		33,909		33,909		1,478,198
Commercial construction	481,871		—		—		4,053		4,053		485,924
Business banking	1,088,013		970		921		10,221		12,112		1,100,125
Consumer real estate	1,095,557		833		945		8,143		9,921		1,105,478
Other consumer	97,151		219		23		189		431		97,582
Total(1)	$	6,854,864	$	2,022	$	1,889	$	111,312	$	115,223	$	6,970,087

(1) We had 42 loans that were modified totaling $58.9 million under the CARES Act at September 30, 2021. These customers were not considered past due as a result of their delayed payments. Upon exiting the loan modification deferral program, the measurement of loan delinquency will resume where it left off upon entry into the program. Due to the modifications, this delinquency table may not accurately reflect the credit risk associated with these loans.

(2) Included in nonperforming commercial loans is $1.7 million of loans held for sale.

	December 31, 2020
(dollars in thousands)	Current		30-59 Days Past Due		60-89 Days Past Due		Past Due 90+ Days Still Accruing (2)		Non - performing		Total Past Due Loans		Total Loans
Commercial real estate	$	2,690,877	$	—	$	—	$	—	$	101,070	$	101,070	$	2,791,947
Commercial and industrial	1,542,567		—		—		—		16,985		16,985		1,559,552
Commercial construction	462,094		19		3,580		—		384		3,983		466,077
Business banking	1,140,581		1,614		379		371		17,122		19,486		1,160,067
Consumer real estate	1,153,028		1,087		1,968		132		11,117		14,304		1,167,332
Other consumer	80,583		168		37		—		96		302		80,885
Total(1)	$	7,069,730	$	2,888	$	5,965	$	503	$	146,774	$	156,130	$	7,225,860
(1) We had 52 loans that were modified totaling $195.6 million under the CARES Act at December 31, 2020. These customers were not considered past due as a result of their delayed payments. Upon exiting the loan modification deferral program, the measurement of loan delinquency will resume where it left off upon entry into the program. Due to the modification program, this delinquency table may not accurately reflect the credit risk associated with these loans. (2) Represents acquired loans that were recorded at fair value at the acquisition date and remain performing at December 31, 2020.

Schedule of Loans on Nonaccrual Status and Loans Past Due 90 days Or More

The following table is a summary of nonperforming assets as of the dates presented:

	Nonperforming Assets
(dollars in thousands)	September 30, 2021			December 31, 2020
Nonperforming Assets
Nonaccrual loans		$	97,279		$	117,485
Nonaccrual TDRs		14,033			29,289
Total Nonaccrual Loans(1)		111,312			146,774
OREO		13,370			2,155
Total Nonperforming Assets		$	124,682		$	148,929
(1) Included in nonperforming commercial loans is $1.7 million of loans held for sale.

The following table presents loans on nonaccrual status by class of loan:

							September 30, 2021
	September 30, 2021						For the three and nine months ended
(dollars in thousands)	Beginning of Period Nonaccrual		End of Period Nonaccrual(2)		Nonaccrual With No Related Allowance		Interest Income Recognized on Nonaccrual(1)		Interest Income Recognized on Nonaccrual(1)
Commercial real estate	$	101,070	$	54,797	$	47,730	$	493	$	556
Commercial and industrial	16,985		33,909		12,566		6		88
Commercial construction	384		4,053		3,357		—		—
Business banking	17,122		10,221		1,492		57		333
Consumer real estate	11,117		8,143		—		86		405
Other consumer	96		189		—		—		1
Total	$	146,774	$	111,312	$	65,145	$	642	$	1,383

(1) Represents only cash payments received and applied to interest on nonaccrual loans.

(2) Included in nonperforming commercial loans is $1.7 million of loans held for sale.

.

									December 31, 2020
	December 31, 2020								For the twelve months ended
(dollars in thousands)	Beginning of Period Nonaccrual		End of Period Nonaccrual		Nonaccrual With No Related Allowance		Past Due 90+ Days Still Accruing		Interest Income Recognized on Nonaccrual(1)
Commercial real estate	$	25,356	$	101,070	$	60,401	$	—	$	22
Commercial and industrial	10,911		16,985		6,436		—		101
Commercial construction	737		384		285		—		—
Business banking	9,863		17,122		3,890		371		275
Consumer real estate	6,063		11,117		398		132		423
Other consumer	1,127		96		—		—		4
Total	$	54,057	$	146,774	$	71,410	$	503	$	826

(1) Represents only cash payments received and applied to interest on nonaccrual loans.

Schedule of Allowance for Credit Loss

The following tables present activity in the ACL for the periods presented:

	Three Months Ended September 30, 2021
(dollars in thousands)	Commercial Real Estate		Commercial and Industrial		Commercial Construction		Business Banking		Consumer Real Estate		Other Consumer		Total Loans
Allowance for credit losses on loans:
Balance at beginning of period	$	63,186	$	14,426	$	5,905	$	14,756	$	8,647	$	2,717	$	109,636
Provision for credit losses on loans(1)	(7,856)		11,599		1,391		(2,689)		(80)		(63)		2,302
Charge-offs	(3,661)		(2)		(56)		(167)		(76)		(245)		(4,207)
Recoveries	1		216		2		241		33		123		616
Net (Charge-offs)/Recoveries	(3,660)		214		(54)		74		(43)		(122)		(3,591)
Balance at End of Period	$	51,670	$	26,239	$	7,242	$	12,141	$	8,524	$	2,532	$	108,348
(1) Excludes unfunded commitments

	Three Months Ended September 30, 2020
(dollars in thousands)	Commercial Real Estate		Commercial and Industrial		Commercial Construction		Business Banking		Consumer Real Estate		Other Consumer		Total Loans
Allowance for credit losses on loans:
Balance at beginning of period	$	57,730	$	19,164	$	8,874	$	14,404	$	11,585	$	2,852	$	114,609
Provision for credit losses on loans(1)	23,839		(4,155)		(1,617)		2,072		(797)		(40)		19,302
Charge-offs	(10,187)		(1,196)		—		(1,748)		(252)		(284)		(13,667)
Recoveries	172		398		1		64		41		78		754
Net (Charge-offs)/Recoveries	(10,015)		(798)		1		(1,684)		(211)		(206)		(12,913)
Balance at End of Period	$	71,554	$	14,211	$	7,258	$	14,792	$	10,577	$	2,606	$	120,998

(1) Excludes unfunded commitments

	Nine Months Ended September 30, 2021
(dollars in thousands)	Commercial Real Estate		Commercial and Industrial		Commercial Construction		Business Banking		Consumer Real Estate		Other Consumer		Total Loans
Allowance for credit losses on loans:
Balance at beginning of period	$	65,656	$	16,100	$	7,239	$	15,917	$	10,014	$	2,686	$	117,612
Provision for credit losses on loans(1)	(2,922)		14,552		54		(2,736)		(1,335)		(1)		7,612
Charge-offs	$	(12,030)	$	(4,777)	$	(56)	$	(1,494)	$	(422)	$	(698)	$	(19,477)
Recoveries	966		364		5		454		267		545		2,601
Net (Charge-offs)/Recoveries	(11,064)		(4,413)		(51)		(1,040)		(155)		(153)		(16,876)
Balance at End of Period	$	51,670	$	26,239	$	7,242	$	12,141	$	8,524	$	2,532	$	108,348
(1) Excludes the provision for credit losses for unfunded commitments.

	Nine Months Ended September 30, 2020
(dollars in thousands)	Commercial Real Estate		Commercial and Industrial		Commercial Construction		Business Banking		Consumer Real Estate		Other Consumer		Total Loans
Allowance for credit losses on loans:
Balance at beginning of period	$	30,577	$	15,681	$	7,900	$	—	$	6,337	$	1,729	$	62,224
Impact of CECL adoption	4,810		7,853		(3,376)		12,898		4,525		642		27,352
Provision for credit losses on loans(1)	52,185		62,949		2,712		4,197		32		1,489		123,564
Charge-offs	(16,229)		(72,692)		—		(2,469)		(470)		(1,556)		(93,416)
Recoveries	211		420		22		166		153		302		1,274
Net (Charge-offs)/Recoveries	(16,018)		(72,272)		22		(2,303)		(317)		(1,254)		(92,142)
Balance at End of Period	$	71,554	$	14,211	$	7,258	$	14,792	$	10,577	$	2,606	$	120,998
(1) Excludes unfunded commitments