Stockholders' Equity

6 Months Ended

Jun. 30, 2015

Equity [Abstract]

Stockholders' Equity

8. Stockholders’ Equity

Stock Repurchase Program

In March 2015, the Company completed the stock repurchase program approved by the Company’s board of directors on July 16, 2014 which authorized the repurchase of up to 5%, or approximately 4.1 million shares, of its outstanding common stock. The approved plan allowed the Company to repurchase its common shares either in the open market in compliance with Rule 10b-18 promulgated under the Securities Exchange Act of 1934, as amended, or in privately negotiated transactions with non-affiliated sellers or as otherwise determined by the Company. Under this plan, the Company repurchased a total of 4.1 million shares of our common stock at an average price of $30.02 per share.

Accumulated Other Comprehensive Income (Loss)

AOCI is reported as a component of stockholders’ equity. AOCI can include, among other items, unrealized holding gains and losses on securities available for sale (“AFS”), gains and losses associated with pension or other post retirement benefits that are not recognized immediately as a component of net periodic benefit cost, and gains and losses on derivative instruments that are designated as, and qualify as, cash flow hedges. Net unrealized gains/losses on AFS securities reclassified as securities held to maturity (“HTM”) also continue to be reported as a component of AOCI and will be amortized over the estimated remaining life of the securities as an adjustment to interest income. The components of AOCI are reported net of related tax effects.

The components of AOCI and changes in those components are presented in the following table.

(in thousands)	Available for Sale Securities			HTM Securities Transferred from AFS			Employee Benefit Plans			Loss on Effective Cash Flow Hedges			Total
Balance, December 31, 2013	$	8,263		$	(21,189	)	$	(22,453	)	$	—		$	(35,379	)
Other comprehensive income before income taxes:
Net change in unrealized gain		15,412			—			—			—			15,412
Reclassification of net losses realized and included in earnings		—			—			195			—			195
Valuation adjustment for employee benefit plans		—			—			2,006			—			2,006
Amortization of unrealized net loss on securities transferred to HTM		—			1,571			—			—			1,571
Income tax expense		5,637			554			905			—			7,096
Balance, June 30, 2014	$	18,038		$	(20,172	)	$	(21,157	)	$	—		$	(23,291	)
Balance, December 31, 2014	$	18,001		$	(19,074	)	$	(48,626	)	$	(375	)	$	(50,074	)
Other comprehensive income before income taxes:
Net change in unrealized (loss) gain		(13,962	)		—			—			1,005			(12,957	)
Reclassification of net (gain) losses realized and included in earnings		(165	)		—			1,571			—			1,406
Valuation adjustment for employee benefit plans		—			—			(5,922	)					(5,922	)
Amortization of unrealized net loss on securities transferred to HTM		—			1,586			—			—			1,586
Income tax (benefit) expense		(5,249	)		580			(1,574	)		366			(5,877	)
Balance, June 30, 2015	$	9,123		$	(18,068	)	$	(51,403	)	$	264		$	(60,084	)

The following table shows the line items in the consolidated income statements affected by amounts reclassified from accumulated other comprehensive income.

Amount reclassified from AOCI (a)	Six Months Ended June 30,						Affected line item on the income statement
(in thousands)	2015			2014
Gain on sale of AFS securities	$	165		$	—		Securities gains (losses)
Tax effect		(58	)		—		Income taxes
Net of tax		107			—		Net income
Amortization of unrealized net loss on securities transferred to HTM	$	(1,586	)	$	(1,571	)	Interest income
Tax effect		580			554		Income taxes
Net of tax		(1,006	)		(1,017	)	Net income
Amortization of defined benefit pension and post-retirement items		(1,571	)		(195	)	Employee benefits expense (b)
Tax effect		550			68		Income taxes
Net of tax		(1,021	)		(127	)	Net income
Total reclassifications, net of tax	$	(1,920	)	$	(1,144	)	Net income

(a) Amounts in parenthesis indicate reduction in net income.

(b) These accumulated other comprehensive income components are included in the computation of net periodic pension and post-retirement cost that is reported with employee benefits expense (see Note 11 for additional details).