Condensed consolidating financial information of guarantor and issuers of registered guaranteed securities (Tables)

3 Months Ended

Mar. 31, 2018

Schedule of Condensed Balance Sheet [Table Text Block]

Condensed Consolidating Statement of Financial Condition (Unaudited)

		At March 31, 2018
							All other
			Popular Inc.		PNA		subsidiaries and		Elimination		Popular, Inc.
(In thousands)			Holding Co.		Holding Co.		eliminations		entries		Consolidated
Assets:
Cash and due from banks			$	39,389	$	462	$	280,076	$	(39,850)	$	280,077
Money market investments				217,485		1,060		6,983,524		(218,060)		6,984,009
Trading account debt securities, at fair value				-		-		42,386		-		42,386
Debt securities available-for-sale, at
	fair value			-		-		10,420,589		-		10,420,589
Debt securities held-to-maturity, at
	amortized cost			8,725		4,472		91,620		-		104,817
Equity securities				5,554		20		159,767		(123)		165,218
Investment in subsidiaries				5,470,699		1,639,974		-		(7,110,673)		-
Loans held-for-sale, at lower of cost or
	fair value			-		-		77,701		-		77,701
Loans held-in-portfolio:
	Loans not covered under loss-sharing
	agreements with the FDIC			37,389		-		24,185,750		1,654		24,224,793
	Loans covered under loss-sharing
	agreements with the FDIC			-		-		514,611		-		514,611
	Less - Unearned income			-		-		136,856		-		136,856
	Allowance for loan losses			245		-		640,333		-		640,578
	Total loans held-in-portfolio, net			37,144		-		23,923,172		1,654		23,961,970
FDIC loss-share asset				-		-		44,469		-		44,469
Premises and equipment, net				3,317		-		540,792		-		544,109
Other real estate not covered under loss-
	sharing agreements with the FDIC			-		-		153,061		-		153,061
Other real estate covered under loss-
	sharing agreements with the FDIC			-		-		15,333		-		15,333
Accrued income receivable				403		31		157,151		(245)		157,340
Mortgage servicing assets, at fair value				-		-		166,281		-		166,281
Other assets				68,216		35,317		1,890,928		(15,701)		1,978,760
Goodwill				-		-		627,295		(1)		627,294
Other intangible assets				6,114		-		27,233		-		33,347
Total assets			$	5,857,046	$	1,681,336	$	45,601,378	$	(7,382,999)	$	45,756,761
Liabilities and Stockholders' Equity
Liabilities:
Deposits:
	Non-interest bearing		$	-	$	-	$	8,738,460	$	(39,850)	$	8,698,610
	Interest bearing			-		-		28,653,543		(218,060)		28,435,483
	Total deposits			-		-		37,392,003		(257,910)		37,134,093
Assets sold under agreements to repurchase				-		-		380,061		-		380,061
Other short-term borrowings				-		4,301		186,200		(4,301)		186,200
Notes payable				738,206		148,545		677,453		-		1,564,204
Other liabilities				53,844		2,600		1,387,267		(16,417)		1,427,294
Total liabilities				792,050		155,446		40,022,984		(278,628)		40,691,852
Stockholders' equity:
Preferred stock				50,160		-		-		-		50,160
Common stock				1,043		2		56,306		(56,308)		1,043
Surplus				4,292,409		4,100,866		5,739,540		(9,831,879)		4,300,936
Retained earnings (accumulated deficit)				1,270,303		(2,523,310)		244,248		2,270,534		1,261,775
Treasury stock, at cost				(86,081)		-		-		(86)		(86,167)
Accumulated other comprehensive loss,
	net of tax			(462,838)		(51,668)		(461,700)		513,368		(462,838)
Total stockholders' equity				5,064,996		1,525,890		5,578,394		(7,104,371)		5,064,909
Total liabilities and stockholders' equity			$	5,857,046	$	1,681,336	$	45,601,378	$	(7,382,999)	$	45,756,761

Condensed Consolidating Statement of Financial Condition (Unaudited)

		At December 31, 2017
							All other
			Popular, Inc.		PNA		subsidiaries and		Elimination		Popular, Inc.
(In thousands)			Holding Co.		Holding Co.		eliminations		entries		Consolidated
Assets:
Cash and due from banks			$	47,663	$	462	$	402,910	$	(48,178)	$	402,857
Money market investments				246,457		2,807		5,254,662		(248,807)		5,255,119
Trading account debt securities, at fair value				-		-		33,926		-		33,926
Debt securities available-for-sale, at
	fair value			-		-		10,176,923		-		10,176,923
Debt securities held-to-maturity, at
	amortized cost			8,726		4,472		93,821		-		107,019
Equity securities				5,109		20		160,075		(101)		165,103
Investment in subsidiaries				5,494,410		1,646,287		-		(7,140,697)		-
Loans held-for-sale, at lower of cost or
	fair value			-		-		132,395		-		132,395
Loans held-in-portfolio:
	Loans not covered under loss-sharing
	agreements with the FDIC			33,221		-		24,384,251		5,955		24,423,427
	Loans covered under loss-sharing
	agreements with the FDIC			-		-		517,274		-		517,274
	Less - Unearned income			-		-		130,633		-		130,633
	Allowance for loan losses			266		-		623,160		-		623,426
	Total loans held-in-portfolio, net			32,955		-		24,147,732		5,955		24,186,642
FDIC loss-share asset				-		-		45,192		-		45,192
Premises and equipment, net				3,365		-		543,777		-		547,142
Other real estate not covered under loss-sharing
	agreements with the FDIC			-		-		169,260		-		169,260
Other real estate covered under loss-sharing
	agreements with the FDIC			-		-		19,595		-		19,595
Accrued income receivable				369		112		213,574		(211)		213,844
Mortgage servicing assets, at fair value				-		-		168,031		-		168,031
Other assets				61,319		34,312		1,912,727		(17,035)		1,991,323
Goodwill				-		-		627,294		-		627,294
Other intangible assets				6,114		-		29,558		-		35,672
Total assets			$	5,906,487	$	1,688,472	$	44,131,452	$	(7,449,074)	$	44,277,337
Liabilities and Stockholders' Equity
Liabilities:
Deposits:
	Non-interest bearing		$	-	$	-	$	8,539,123	$	(48,178)	$	8,490,945
	Interest bearing			-		-		27,211,370		(248,807)		26,962,563
	Total deposits			-		-		35,750,493		(296,985)		35,453,508
Assets sold under agreements to repurchase				-		-		390,921		-		390,921
Other short-term borrowings				-		-		96,208		-		96,208
Notes payable				737,685		148,539		650,132		-		1,536,356
Other liabilities				64,813		5,276		1,641,383		(15,033)		1,696,439
Total liabilities				802,498		153,815		38,529,137		(312,018)		39,173,432
Stockholders' equity:
Preferred stock				50,160		-		-		-		50,160
Common stock				1,042		2		56,307		(56,309)		1,042
Surplus				4,289,976		4,100,848		5,728,978		(9,821,299)		4,298,503
Retained earnings (accumulated deficit)				1,203,521		(2,536,707)		165,878		2,362,302		1,194,994
Treasury stock, at cost				(90,058)		-		-		(84)		(90,142)
Accumulated other comprehensive loss,
	net of tax			(350,652)		(29,486)		(348,848)		378,334		(350,652)
Total stockholders' equity				5,103,989		1,534,657		5,602,315		(7,137,056)		5,103,905
Total liabilities and stockholders' equity			$	5,906,487	$	1,688,472	$	44,131,452	$	(7,449,074)	$	44,277,337

Schedule of Condensed Income Statement [Table Text Block]

Condensed Consolidating Statement of Operations (Unaudited)

			Quarter ended March 31, 2018
							All other
		Popular, Inc.		PNA			subsidiaries and			Elimination			Popular, Inc.
(In thousands)		Holding Co.		Holding Co.			eliminations			entries			Consolidated
Interest and dividend income:
	Dividend income from subsidiaries	$	25,000		$	-		$	-		$	(25,000)		$	-
	Loans		525			-			373,065			(6)			373,584
	Money market investments		842			1			22,285			(843)			22,285
	Investment securities		147			81			56,981			-			57,209
	Total interest and dividend income		26,514			82			452,331			(25,849)			453,078
Interest expense:
	Deposits		-			-			39,531			(843)			38,688
	Short-term borrowings		-			6			2,013			(6)			2,013
	Long-term debt		13,118			2,692			3,520			-			19,330
	Total interest expense		13,118			2,698			45,064			(849)			60,031
Net interest income (expense)			13,396			(2,616)			407,267			(25,000)			393,047
Provision for loan losses- non-covered loans			(21)			-			69,354			-			69,333
Provision for loan losses- covered loans			-			-			1,730			-			1,730
Net interest income (expense)
	after provision for loan losses		13,417			(2,616)			336,183			(25,000)			321,984
Service charges on deposit accounts			-			-			36,455			-			36,455
Other service fees			-			-			60,847			(245)			60,602
Mortgage banking activities			-			-			12,068			-			12,068
Net (loss) gain, including impairment, on equity securities			(42)			-			(584)			(20)			(646)
Net (loss) profit on trading account debt securities			-			-			(198)			-			(198)
Adjustments (expense) to indemnity reserves															-
	on loans sold		-			-			(2,926)			-			(2,926)
FDIC loss-share expense			-			-			(8,027)			-			(8,027)
Other operating income			3,745			751			11,687			(14)			16,169
	Total non-interest income		3,703			751			109,322			(279)			113,497
Operating expenses:
Personnel costs			14,911			-			110,941			-			125,852
Net occupancy expenses			990			-			21,812			-			22,802
Equipment expenses			508			1			16,697			-			17,206
Other taxes			41			1			10,860			-			10,902
Professional fees			3,644			31			79,555			(245)			82,985
Communications			112			-			5,794			-			5,906
Business promotion			398			-			11,611			-			12,009
FDIC deposit insurance			-			-			6,920			-			6,920
Other real estate owned (OREO) expenses			-			-			6,131			-			6,131
Other operating expenses			(18,164)			14			47,720			(606)			28,964
Amortization of intangibles			-			-			2,325			-			2,325
	Total operating expenses		2,440			47			320,366			(851)			322,002
Income (loss) before income tax and equity in
	earnings (losses) of subsidiaries		14,680			(1,912)			125,139			(24,428)			113,479
Income tax benefit			-			543			21,381			231			22,155
Income (loss) before equity in earnings (losses) of
	subsidiaries		14,680			(2,455)			103,758			(24,659)			91,324
Equity in undistributed earnings (losses) of
	subsidiaries		76,644			15,852			-			(92,496)			-
Net Income (Loss)		$	91,324		$	13,397		$	103,758		$	(117,155)		$	91,324
Comprehensive income (loss), net of tax		$	(20,862)		$	(8,785)		$	(9,094)		$	17,879		$	(20,862)

Condensed Consolidating Statement of Operations (Unaudited)

				Quarter ended March 31, 2017
								All other
		Popular, Inc.			PNA			subsidiaries and			Elimination			Popular, Inc.
(In thousands)		Holding Co.			Holding Co.			eliminations			entries			Consolidated
Interest and dividend income:
	Dividend income from subsidiaries		$	129,000		$	-		$	-		$	(129,000)		$	-
	Loans			15			-			363,121			-			363,136
	Money market investments			481			21			6,572			(501)			6,573
	Investment securities			142			80			46,064			-			46,286
	Total interest and dividend income			129,638			101			415,757			(129,501)			415,995
Interest expense:
	Deposits			-			-			34,258			(501)			33,757
	Short-term borrowings			-			-			1,095			-			1,095
	Long-term debt			13,118			2,692			3,235			-			19,045
	Total interest expense			13,118			2,692			38,588			(501)			53,897
Net interest income (expense)				116,520			(2,591)			377,169			(129,000)			362,098
Provision (reversal) for loan losses- non-covered loans				-			-			42,057			-			42,057
Provision for loan losses- covered loans				-			-			(1,359)			-			(1,359)
Net interest income (expense) after provision for
	loan losses			116,520			(2,591)			336,471			(129,000)			321,400
Service charges on deposit accounts				-			-			39,536			-			39,536
Other service fees				-			-			56,258			(83)			56,175
Mortgage banking activities				-			-			11,369			-			11,369
Net (loss) gain, including impairment, on equity securities				-			-			162			-			162
Net (loss) profit on trading account debt securities				(120)			-			(169)			11			(278)
Adjustments (expense) to indemnity reserves
	on loans sold			-			-			(1,966)			-			(1,966)
FDIC loss-share expense				-			-			(8,257)			-			(8,257)
Other operating income				4,655			809			13,670			(6)			19,128
	Total non-interest income			4,535			809			110,603			(78)			115,869
Operating expenses:
Personnel costs				13,814			-			109,926			-			123,740
Net occupancy expenses				914			-			19,862			-			20,776
Equipment expenses				582			-			15,388			-			15,970
Other taxes				46			-			10,923			-			10,969
Professional fees				2,513			(525)			67,345			(83)			69,250
Communications				152			-			5,797			-			5,949
Business promotion				419			-			11,157			-			11,576
FDIC deposit insurance				-			-			6,493			-			6,493
Other real estate owned (OREO) expenses				-			-			12,818			-			12,818
Other operating expenses				(18,790)			13			50,755			(546)			31,432
Amortization of intangibles				-			-			2,345			-			2,345
	Total operating expenses			(350)			(512)			312,809			(629)			311,318
Income (loss) before income tax and equity in earnings
	of subsidiaries			121,405			(1,270)			134,265			(128,449)			125,951
Income tax (benefit) expense				-			(445)			33,240			211			33,006
Income (loss) before equity in earnings of subsidiaries				121,405			(825)			101,025			(128,660)			92,945
Equity in undistributed earnings of subsidiaries				(28,460)			8,633			-			19,827			-
Net Income			$	92,945		$	7,808		$	101,025		$	(108,833)		$	92,945
Comprehensive income, net of tax			$	93,319		$	7,827		$	101,049		$	(108,876)		$	93,319

Schedule of Condensed Cash Flow Statement [Table Text Block]

Condensed Consolidating Statement of Cash Flows (Unaudited)

						Quarter ended March 31, 2018
										All other
						Popular, Inc.		PNA		subsidiaries		Elimination		Popular, Inc.
(In thousands)						Holding Co.		Holding Co.		and eliminations		entries		Consolidated

Cash flows from operating activities:

Net income					$	91,324	$	13,397	$	103,758	$	(117,155)	$	91,324

Adjustments to reconcile net income to net
	cash provided by (used in) operating activities:
	Equity in earnings of subsidiaries,
		net of dividends or distributions				(76,644)		(15,852)		-		92,496		-
	Provision for loan losses					(21)		-		71,084		-		71,063
	Amortization of intangibles					-		-		2,325		-		2,325
	Depreciation and amortization of premises and
		equipment				187		-		12,649		-		12,836
	Net accretion of discounts and amortization
		of premiums and deferred fees				521		7		(7,534)		-		(7,006)
	Shared-based compensation					2,361		-		751		-		3,112
	Impairment losses on long-lived assets					-		-		272		-		272
	Fair value adjustments on mortgage servicing rights					-		-		4,307		-		4,307
	FDIC loss-share expense					-		-		8,027		-		8,027
	Adjustments to indemnity reserves on
		loans sold				-		-		2,926		-		2,926
	Earnings from investments under the
		equity method, net of dividends or distributions				(3,745)		(751)		(2,874)		-		(7,370)
	Deferred income tax (benefit) expense					-		(282)		10,809		231		10,758
	(Gain) loss on:
			Disposition of premises and equipment and other
				productive assets		(5)		-		(67)		-		(72)
			Sale of loans, including valuation adjustments on
				loans held for sale and mortgage banking activities		-		-		(1,116)		-		(1,116)
			Sale of foreclosed assets, including write-downs			-		-		(99)		-		(99)
	Acquisitions of loans held-for-sale					-		-		(47,335)		-		(47,335)
	Proceeds from sale of loans held-for-sale					-		-		12,036		-		12,036
	Net originations on loans held-for-sale					-		-		(48,375)		-		(48,375)
	Net decrease (increase) in:
			Trading securities			-		-		94,099		(101)		93,998
			Equity securities			(443)		-		313		-		(130)
			Accrued income receivable			(34)		81		56,423		34		56,504
			Other assets			(2,287)		28		37,515		758		36,014
	Net (decrease) increase in:
			Interest payable			(7,875)		(2,680)		(25)		(34)		(10,614)
			Pension and other postretirement benefits
				obligations		-		-		1,225		-		1,225
			Other liabilities			(3,434)		3		(89,748)		(1,350)		(94,529)
Total adjustments						(91,419)		(19,446)		117,588		92,034		98,757
Net cash (used in) provided by operating activities						(95)		(6,049)		221,346		(25,121)		190,081

Cash flows from investing activities:
	Net decrease (increase) in money market investments					29,000		1,748		(1,728,858)		(30,748)		(1,728,858)
	Purchases of investment securities:
			Available-for-sale			-		-		(1,311,382)		-		(1,311,382)
			Equity			-		-		(9,853)		123		(9,730)
	Proceeds from calls, paydowns, maturities and
		redemptions of investment securities:
			Available-for-sale			-		-		1,016,203		-		1,016,203
			Held-to-maturity			-		-		2,639		-		2,639
	Proceeds from sale of investment securities:
			Equity			-		-		9,745		-		9,745
	Net (disbursements) repayments on loans					(4,168)		-		93,349		4,301		93,482
	Acquisition of loan portfolios					-		-		(161,295)		-		(161,295)
	Net payments from FDIC under loss-sharing
		agreements				-		-		(1,263)		-		(1,263)
	Capital contribution to subsidiary					(10,000)		-		-		10,000		-
	Acquisition of premises and equipment					(143)		-		(12,903)		-		(13,046)
	Proceeds from insurance claims					-		-		258		-		258
	Proceeds from sale of:
			Premises and equipment and other productive assets			-		-		3,033		-		3,033
			Foreclosed assets			-		-		25,746		-		25,746
Net cash provided by (used in) investing activities						14,689		1,748		(2,074,581)		(16,324)		(2,074,468)

Cash flows from financing activities:
	Net increase (decrease) in:
			Deposits			-		-		1,638,953		39,076		1,678,029
			Assets sold under agreements to repurchase			-		-		(10,860)		-		(10,860)
			Other short-term borrowings			-		4,301		89,992		(4,301)		89,992
	Payments of notes payable					-		-		(12,680)		-		(12,680)
	Proceeds from issuance of notes payable					-		-		40,000		-		40,000
	Proceeds from issuance of common stock					4,712		-		-		-		4,712
	Dividends paid to parent company					-		-		(25,000)		25,000		-
	Dividends paid					(26,138)		-		-		-		(26,138)
	Net payments for repurchase of common stock					(191)		-		-		(2)		(193)
	Return of capital to parent company					-		-		10,000		(10,000)		-
	Payments related to tax withholding for
		share-based compensation				(1,223)		-		-		-		(1,223)
Net cash (used in) provided by financing activities						(22,840)		4,301		1,730,405		49,773		1,761,639
Net decrease in cash and due from banks, and restricted cash						(8,246)		-		(122,830)		8,328		(122,748)
Cash and due from banks, and restricted cash at beginning of period						48,120		462		412,225		(48,178)		412,629
Cash and due from banks, and restricted cash at end of period					$	39,874	$	462	$	289,395	$	(39,850)	$	289,881

Condensed Consolidating Statement of Cash Flows (Unaudited)

						Quarter ended March 31, 2017
										All other
						Popular, Inc.		PNA		subsidiaries		Elimination		Popular, Inc.
(In thousands)						Holding Co.		Holding Co.		and eliminations		entries		Consolidated

Cash flows from operating activities:

Net income					$	92,945	$	7,808	$	101,025	$	(108,833)	$	92,945

Adjustments to reconcile net income to net cash
		provided by (used in) operating activities:
	Equity in earnings of subsidiaries,
		net of dividends or distributions				28,460		(8,633)		-		(19,827)		-
	Provision (reversal) for loan losses					-		-		40,698		-		40,698
	Amortization of intangibles					-		-		2,345		-		2,345
	Depreciation and amortization of premises and
		equipment				163		-		11,636		-		11,799
	Net accretion of discounts and amortization
		of premiums and deferred fees				521		7		(6,991)		-		(6,463)
	Fair value adjustments on mortgage servicing rights					-		-		5,954		-		5,954
	FDIC loss-share expense					-		-		8,257		-		8,257
	Adjustments (expense) to indemnity reserves on
		loans sold				-		-		1,966		-		1,966
	(Earnings) losses from investments under the
		equity method				(2,986)		(809)		(5,418)		-		(9,213)
	Deferred income tax expense (benefit)					-		(445)		25,295		210		25,060
	(Gain) loss on:					-
			Disposition of premises and equipment and
				other productive assets		(17)		-		6,483		-		6,466
			Sale of loans, including valuation adjustments on
				loans held for sale and mortgage banking activities		-		-		(5,381)		-		(5,381)
			Sale of foreclosed assets, including write-downs			-		-		4,512		-		4,512
	Acquisitions of loans held-for-sale					-		-		(73,043)		-		(73,043)
	Proceeds from sale of loans held-for-sale					-		-		29,364		-		29,364
	Net originations on loans held-for-sale					-		-		(123,336)		-		(123,336)
	Net (increase) decrease in:
			Trading debt securities			-		-		176,937		-		176,937
			Equity securities			(355)		-		796		(6)		435
			Accrued income receivable			5		104		9,943		(28)		10,024
			Other assets			(1,422)		22		13,088		307		11,995
	Net increase (decrease) in:
			Interest payable			(7,875)		(2,685)		(749)		28		(11,281)
			Pension and other postretirement benefits
				obligations		-		-		331		-		331
			Other liabilities			(2,413)		(551)		(9,844)		(846)		(13,654)
Total adjustments						14,081		(12,990)		112,843		(20,162)		93,772
Net cash provided by (used in) operating activities						107,026		(5,182)		213,868		(128,995)		186,717

Cash flows from investing activities:
	Net decrease (increase) in money market investments					(30,000)		5,053		(764,408)		23,147		(766,208)
	Purchases of investment securities:
			Available-for-sale			-		-		(1,216,880)		-		(1,216,880)
			Equity			-		-		(225)		-		(225)
	Proceeds from calls, paydowns, maturities and
		redemptions of investment securities:
			Available-for-sale			-		-		222,677		-		222,677
			Held-to-maturity			-		-		2,184		-		2,184
	Proceeds from sale of investment securities:
			Equity			-		-		1,757		-		1,757
	Net repayments (disbursements) on loans					7		-		99,299		-		99,306
	Acquisition of loan portfolios					-		-		(109,098)		-		(109,098)
	Net payments from FDIC under loss-sharing
		agreements				-		-		(23,574)		-		(23,574)
	Return of capital from equity method investments					-		-		3,362		-		3,362
	Acquisition of premises and equipment					(39)		-		(18,607)		-		(18,646)
	Proceeds from sale of:
			Premises and equipment and other productive assets			18		-		2,993		-		3,011
			Foreclosed assets			-		-		27,547		-		27,547
Net cash provided by (used in) investing activities						(30,014)		5,053		(1,772,973)		23,147		(1,774,787)

Cash flows from financing activities:
	Net increase (decrease) in:
			Deposits			-		-		1,725,266		(9,308)		1,715,958
			Assets sold under agreements to repurchase			-		-		(44,711)		-		(44,711)
	Payments of notes payable					-		-		(17,408)		-		(17,408)
	Proceeds from issuance of common stock					1,806		-		-		-		1,806
	Dividends paid to parent company					-		-		(129,000)		129,000		-
	Dividends paid					(16,499)		-		-		-		(16,499)
	Net payments for repurchase of common stock					(75,599)		-		-		(5)		(75,604)
	Payments related to tax withholding for
		share-based compensation				(719)		-		-		-		(719)
Net cash (used in) provided by financing activities						(91,011)		-		1,534,147		119,687		1,562,823
Net increase (decrease) in cash and due from banks						(13,999)		(129)		(24,958)		13,839		(25,247)
Cash and due from banks, and restricted cash at beginning
	of period					48,130		591		373,556		(48,081)		374,196
Cash and due from banks, and restricted cash
	at end of period				$	34,131	$	462	$	348,598	$	(34,242)	$	348,949