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LOANS, ALLOWANCE FOR LOAN LOSSES AND CREDIT QUALITY (Tables)
 12 Months Ended
Dec. 31, 2017
Loans, Allowance for Loan Losses and Credit Quality [Abstract]  
Schedule of Allowance for Loan Losses
The following table summarizes changes in the allowance for loan losses by loan category and bifurcates the amount of allowance allocated to each loan category based on collective impairment analysis and loans evaluated individually for impairment:
 
December 31, 2017
 
 
Commercial
and
Industrial
 
Commercial
Real Estate
 
Commercial
Construction
 
Small
Business
 
Residential
Real
Estate
 
Home
Equity
 
Other Consumer
 
Total
 
 
(Dollars in thousands)
 
Allowance for loan losses
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
16,921

 
$
30,369

 
$
4,522

 
$
1,502

 
$
2,621

 
$
5,238

 
$
393

 
$
61,566

  
Charge-offs
(3,891
)
 
(39
)
 
—

 
(302
)
 
(207
)
 
(276
)
 
(1,494
)
 
(6,209
)
  
Recoveries
615

 
385

 
—

 
114

 
31

 
198

 
993

 
2,336

  
Provision (benefit)
(389
)
 
738

 
1,176

 
263

 
377

 
230

 
555

 
2,950

  
Ending balance
$
13,256

 
$
31,453

 
$
5,698

 
$
1,577

 
$
2,822

 
$
5,390

 
$
447

 
$
60,643

  
Ending balance: collectively evaluated for impairment
$
13,246

 
$
31,411

 
$
5,698

 
$
1,576

 
$
1,815

 
$
5,125

 
$
430

 
$
59,301

  
Ending balance: individually evaluated for impairment
$
10

 
$
42

 
$
—

 
$
1

 
$
1,007

 
$
265

 
$
17

 
$
1,342

  
Financing receivables ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Collectively evaluated for impairment
$
853,885

 
$
3,093,945

 
$
401,797

 
$
131,667

 
$
733,809

 
$
1,045,053

 
$
9,573

 
$
6,269,729

 
Individually evaluated for impairment
34,643

 
16,638

 
—

 
703

 
13,684

 
6,826

 
307

 
72,801

  
Purchased credit impaired loans
—

 
5,978

 
—

 
—

 
6,836

 
209

 
—

 
13,023

 
Total loans by group
$
888,528

 
$
3,116,561

 
$
401,797

 
$
132,370

 
$
754,329

 
$
1,052,088

 
$
9,880

 
$
6,355,553

(1)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
December 31, 2016
 
 
Commercial
and
Industrial
 
Commercial
Real Estate
 
Commercial
Construction
 
Small
Business
 
Residential
Real
Estate
 
Home
Equity
 
Other Consumer
 
Total
 
 
(Dollars in thousands)
 
Allowance for loan losses
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
13,802

 
$
27,327

 
$
5,366

 
$
1,264

 
$
2,590

 
$
4,889

 
$
587

 
$
55,825

  
Charge-offs
(593
)
 
(414
)
 
—

 
(228
)
 
(28
)
 
(602
)
 
(1,607
)
 
(3,472
)
  
Recoveries
859

 
564

 
—

 
195

 
299

 
141

 
1,080

 
3,138

  
Provision (benefit)
2,853

 
2,892

 
(844
)
 
271

 
(240
)
 
810

 
333

 
6,075

  
Ending balance
$
16,921

 
$
30,369

 
$
4,522

 
$
1,502

 
$
2,621

 
$
5,238

 
$
393

 
$
61,566

  
Ending balance: collectively evaluated for impairment
$
13,260

 
$
30,173

 
$
4,522

 
$
1,494

 
$
1,535

 
$
4,996

 
$
372

 
$
56,352

  
Ending balance: individually evaluated for impairment
$
3,661

 
$
196

 
$
—

 
$
8

 
$
1,086

 
$
242

 
$
21

 
$
5,214

  
Financing receivables ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Collectively evaluated for impairment
$
862,875

 
$
2,983,642

 
$
320,391

 
$
121,855

 
$
622,392

 
$
982,095

 
$
10,666

 
$
5,903,916

  
Individually evaluated for impairment
39,178

 
16,813

 
—

 
871

 
14,175

 
5,863

 
397

 
77,297

  
Purchased credit impaired loans
—

 
10,343

 
—

 
—

 
7,859

 
189

 
1

 
18,392

 
Total loans by group
$
902,053

 
$
3,010,798

 
$
320,391

 
$
122,726

 
$
644,426

 
$
988,147

 
$
11,064

 
$
5,999,605

(1)
 
December 31, 2015
 
 
Commercial
and
Industrial
 
Commercial
Real Estate
 
Commercial
Construction
 
Small
Business
 
Residential
Real
Estate
 

Home
Equity
 
Other Consumer
 
Total
 
 
(Dollars in thousands)
 
Allowance for loan losses
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Beginning balance
$
15,573

 
$
25,873

 
$
3,945

 
$
1,171

 
$
2,834

 
$
4,956

 
$
748

 
$
55,100

  
Charge-offs
(2,010
)
 
(330
)
 
—

 
(267
)
 
(285
)
 
(710
)
 
(1,316
)
 
(4,918
)
  
Recoveries
1,593

 
1,073

 
—

 
264

 
133

 
356

 
724

 
4,143

  
Provision (benefit)
(1,354
)
 
711

 
1,421

 
96

 
(92
)
 
287

 
431

 
1,500

  
Ending balance
$
13,802

 
$
27,327

 
$
5,366

 
$
1,264

 
$
2,590

 
$
4,889

 
$
587

 
$
55,825

  
Ending balance: collectively evaluated for impairment
$
13,619

 
$
27,123

 
$
5,366

 
$
1,260

 
$
1,312

 
$
4,651

 
$
564

 
$
53,895

  
Ending balance: individually evaluated for impairment
$
183

 
$
204

 
$
—

 
$
4

 
$
1,278

 
$
238

 
$
23

 
$
1,930

  
Financing receivables ending balance:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Collectively evaluated for impairment
$
838,129

 
$
2,619,294

 
$
373,064

 
$
95,225

 
$
614,014

 
$
921,563

 
$
14,427

 
$
5,475,716

  
Individually evaluated for impairment
5,147

 
22,986

 
304

 
1,021

 
15,405

 
5,989

 
558

 
51,410

  
Purchase credit impaired loans
—

 
11,154

 
—

 
—

 
9,187

 
251

 
3

 
20,595

 
Total loans by group
$
843,276

 
$
2,653,434

 
$
373,368

 
$
96,246

 
$
638,606

 
$
927,803

 
$
14,988

 
$
5,547,721

(1)
(1)
The amount of net deferred costs on originated loans included in the ending balance was $6.1 million, $5.1 million, and $4.3 million at December 31, 2017, 2016, and 2015, respectively. Net unamortized discounts on acquired loans not deemed to be PCI included in the ending balance was $9.4 million, $8.6 million, and $6.6 million at December 31, 2017, 2016, and 2015, respectively.
Schedule of Internal Risk-Rating Categories for the Company's Commercial Portfolio
The following table details the amount of outstanding principal balances relative to each of the risk-rating categories for the Company’s commercial portfolio:
 
 
 
December 31, 2017
Category
Risk
Rating
 
Commercial and
Industrial
 
Commercial Real
Estate
 
Commercial
Construction
 
Small Business
 
Total
 
 
 
(Dollars in thousands)
Pass
1 - 6
 
$
806,331

 
$
3,007,672

 
$
400,964

 
$
130,265

 
$
4,345,232

Potential weakness
7
 
16,563

 
69,788

 
—

 
1,471

 
87,822

Definite weakness - loss unlikely
8
 
59,415

 
38,637

 
833

 
631

 
99,516

Partial loss probable
9
 
6,219

 
464

 
—

 
3

 
6,686

Definite loss
10
 
—

 
—

 
—

 
—

 
—

Total
 
 
$
888,528

 
$
3,116,561

 
$
401,797

 
$
132,370

 
$
4,539,256

 
 
 
December 31, 2016
Category
Risk
Rating
 
Commercial and
Industrial
 
Commercial Real
Estate
 
Commercial
Construction
 
Small Business
 
Total
 
 
 
(Dollars in thousands)
Pass
1 - 6
 
$
783,825

 
$
2,876,570

 
$
317,099

 
$
120,304

 
$
4,097,798

Potential weakness
7
 
46,176

 
84,641

 
1,363

 
1,859

 
134,039

Definite weakness - loss unlikely
8
 
71,991

 
47,164

 
1,929

 
556

 
121,640

Partial loss probable
9
 
61

 
2,423

 
—

 
7

 
2,491

Definite loss
10
 
—

 
—

 
—

 
—

 
—

Total
 
 
$
902,053

 
$
3,010,798

 
$
320,391

 
$
122,726

 
$
4,355,968
Schedule of Weighted Average FICO Scores and Weighted Average Combined LTV Ratio
 
December 31
 
2017
 
2016
Residential portfolio
 
 
 
FICO score (re-scored)(1)
745

 
743

LTV (re-valued)(2)
59.2
%
 
63.2
%
Home equity portfolio
 
 
 
FICO score (re-scored)(1)
766

 
767

LTV (re-valued)(2)(3)
50.1
%
 
55.9
%
(1)
The average FICO scores at December 31, 2017 are based upon rescores available from August 2017 and origination score data for loans booked between September and December 2017. The average FICO scores at December 31, 2016 are based upon rescores available from November 2016 and origination score data for loans booked in December 2016.
(2)
The combined LTV ratios for December 31, 2017 are based upon updated automated valuations as of August 2017, when available, and/or the most current valuation data available as of December 31, 2017. The combined LTV ratios for December 31, 2016 are based upon updated automated valuations as of March 2015, when available, and /or the most current valuation data for loans as of December 31, 2016. The updated automated valuations provides new information on loans that may be available since the previous valuation was obtained. If no new information is available, the valuation will default to the previously obtained data or most recent appraisal.
(3)
For home equity loans and lines in a subordinate lien, the LTV data represents a combined LTV, taking into account the senior lien data for loans and lines.
Schedule of Nonaccrual Loans
The following table shows the carrying value of nonaccrual loans at the dates indicated:
 
December 31
 
2017
 
2016
 
(Dollars in thousands)
Commercial and industrial
$
32,055

 
$
37,455

Commercial real estate
3,123

 
6,266

Small business
230

 
302

Residential real estate
8,129

 
7,782

Home equity
6,022

 
5,553

Other consumer
71

 
47

Total nonaccrual loans (1)
$
49,630

 
$
57,405


(1)
Included in these amounts were $6.1 million and $5.2 million of nonaccruing TDRs at December 31, 2017 and 2016, respectively
Foreclosed Residential Real Estate Property [Table Text Block]

The following table shows information regarding foreclosed residential real estate property at the date indicated:
 
December 31, 2017
 
December 31, 2016
 
(Dollars in thousands)
Foreclosed residential real estate property held by the creditor
$
612

 
$
3,775

Recorded investment in mortgage loans collateralized by residential real estate property that are in the process of foreclosure
$
2,971

 
$
1,715
Schedule of the Age Analysis of Past Due Financing Receivables
The following table shows the age analysis of past due financing receivables as of the dates indicated:
 
December 31, 2017
 
30-59 days
 
60-89 days
 
90 days or more
 
Total Past Due
 
Current
 
Total
Financing
Receivables
 
Recorded
Investment
>90 Days
and Accruing
 
Number
of Loans
 
Principal
Balance
 
Number
of Loans
 
Principal
Balance
 
Number
of Loans
 
Principal
Balance
 
Number
of Loans
 
Principal
Balance
 
 
(Dollars in thousands)
Commercial and industrial
2

 
$
195

 
2

 
$
370

 
14

 
$
32,007

 
18

 
$
32,572

 
$
855,956

 
$
888,528

 
$
—

Commercial real estate
7

 
3,060

 
—

 
—

 
9

 
1,793

 
16

 
4,853

 
3,111,708

 
3,116,561

 
—

Commercial construction
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
401,797

 
401,797

 
—

Small business
17

 
339

 
11

 
144

 
10

 
57

 
38

 
540

 
131,830

 
132,370

 
—

Residential real estate
6

 
870

 
13

 
2,385

 
22

 
3,471

 
41

 
6,726

 
747,603

 
754,329

 
—

Home equity
22

 
1,310

 
6

 
451

 
20

 
2,025

 
48

 
3,786

 
1,048,302

 
1,052,088

 
—

Other consumer (1)
265

 
197

 
16

 
27

 
17

 
45

 
298

 
269

 
9,611

 
9,880

 
8

Total
319

 
$
5,971

 
48

 
$
3,377

 
92

 
$
39,398

 
459

 
$
48,746

 
$
6,306,807

 
$
6,355,553

 
$
8


 
December 31, 2016
 
30-59 days
 
60-89 days
 
90 days or more
 
Total Past Due
 
Current
 
Total
Financing
Receivables
 
Recorded
Investment
>90 Days
and Accruing
 
Number
of Loans
 
Principal
Balance
 
Number
of Loans
 
Principal
Balance
 
Number
of Loans
 
Principal
Balance
 
Number
of Loans
 
Principal
Balance
 
 
(Dollars in thousands)
Commercial and industrial
8

 
$
100

 
32

 
$
253

 
6

 
$
2,480

 
46

 
$
2,833

 
$
899,220

 
$
902,053

 
$
—

Commercial real estate
5

 
1,518

 
8

 
1,957

 
8

 
3,105

 
21

 
6,580

 
3,004,218

 
3,010,798

 
—

Commercial construction
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
320,391

 
320,391

 
—

Small business
9

 
323

 
—

 
—

 
19

 
140

 
28

 
463

 
122,263

 
122,726

 
—

Residential real estate
11

 
1,277

 
9

 
1,950

 
27

 
3,507

 
47

 
6,734

 
637,692

 
644,426

 
—

Home equity
19

 
1,117

 
11

 
767

 
16

 
1,209

 
46

 
3,093

 
985,054

 
988,147

 
—

Other consumer (1)
249

 
184

 
12

 
17

 
15

 
7

 
276

 
208

 
10,856

 
11,064

 
2

Total
301

 
$
4,519

 
72

 
$
4,944

 
91

 
$
10,448

 
464

 
$
19,911

 
$
5,979,694

 
$
5,999,605

 
$
2



(1)
Other consumer portfolio is inclusive of deposit account overdrafts recorded as loan balances
Schedule of Troubled Debt Restructuring and Other Pertinent Information
The following table shows the Company’s total TDRs and other pertinent information as of the dates indicated:
 
December 31
 
2017
 
2016
 
(Dollars in thousands)
TDRs on accrual status
$
25,852

 
$
27,093

TDRs on nonaccrual status
6,067

 
5,199

Total TDRs
$
31,919

 
$
32,292

Amount of specific reserves included in the allowance for loan loss associated with TDRs:
$
1,342

 
$
1,417

Additional commitments to lend to a borrower who has been a party to a TDR:
$
487

 
$
1,378
Schedule of Troubled Debt Restructuring Modifications

The following table shows the modifications which occurred during the periods indicated and the change in the recorded investment subsequent to the modifications occurring:
 
Years Ended December 31
 
2017
 
Number
of Contracts
 
Pre-Modification
Outstanding Recorded
Investment
 
Post-Modification
Outstanding Recorded
Investment(1)
 
(Dollars in thousands)
Troubled debt restructurings
 
 
 
 
 
Commercial and industrial
12

 
$
1,787

 
$
1,787

Commercial real estate
6

 
2,705

 
2,705

Small business
9

 
369

 
369

Residential real estate
10

 
1,284

 
1,326

Home equity
17

 
1,985

 
1,988

Total
54

 
$
8,130

 
$
8,175

 
 
 
 
 
 
 
2016
Troubled debt restructurings
 
 
 
 
 
Commercial and industrial
10

 
$
1,623

 
$
1,623

Commercial real estate
10

 
2,959

 
2,959

Small business
3

 
188

 
188

Residential real estate
8

 
1,808

 
1,850

Home equity
13

 
932

 
932

Other consumer
6

 
153

 
153

Total
50

 
$
7,663

 
$
7,705

 
 
 
 
 
 
 
2015
Troubled debt restructurings
 
 
 
 
 
Commercial and industrial
13

 
$
1,314

 
$
1,314

Commercial real estate
6

 
2,941

 
2,941

Small business
9

 
293

 
293

Residential real estate
8

 
843

 
870

Home equity
8

 
694

 
694

Total
44

 
$
6,085

 
$
6,112

(1)
The post-modification balances represent the legal principal balance of the loan on the date of modification. These amounts may show an increase when modifications include a capitalization of interest
Schedule of Post-Modification Balance of Troubled Debt Restructuring by Type of Modification

The following table shows the Company’s post-modification balance of TDRs listed by type of modification as of the periods indicated:
 
Years Ended December 31
 
2017
 
2016
 
2015
 
(Dollars in thousands)
Extended maturity
$
5,881

 
$
5,044

 
$
2,936

Adjusted interest rate
—

 
92

 
—

Combination rate and maturity
568

 
1,035

 
2,199

Court ordered concession
1,726

 
1,534

 
977

Total
$
8,175

 
$
7,705

 
$
6,112
Schedule of Troubled Debt Restructurings Which Have Subsequently Defaulted

The Company considers a loan to have defaulted when it reaches 90 days past due. The following table shows loans that were modified during the prior twelve months and subsequently defaulted during the periods indicated:
 
Years Ended December 31
 
2017
 
2016
 
2015
 
Number
of Contracts
 
Recorded
Investment
 
Number
of Contracts
 
Recorded
Investment
 
Number
of Contracts
 
Recorded
Investment
 
(Dollars in thousands)
Troubled debt restructurings that subsequently defaulted
 
 
 
 
 
 
 
 
 
 
 
Commercial & industrial
1

 
$
122

 
—

 
$
—

 
3

 
$
339

Commercial real estate
—

 
—

 
1

 
249

 
1

 
502

Residential real estate
—

 
—

 
—

 
—

 
2

 
326

Home equity
—

 
—

 
—

 
—

 
1

 
100

Total
1

 
$
122

 
1

 
$
249

 
7

 
$
1,267
Schedule of Impaired Loans by Loan Portfolio


The table below sets forth information regarding the Company’s impaired loans. The information for average recorded investment and interest income recognized is reflective of the full period being presented and does not take into account the date at which a loan was deemed to be impaired. See information below as of the dates indicated:
 
As of and For the Years Ended December 31
 
2017
 
Recorded
Investment
 
Unpaid
Principal
Balance
 
Related
Allowance
 
Average
Recorded
Investment
 
Interest Income Recognized
 
(Dollars in thousands)
With no related allowance recorded
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
34,267

 
$
38,329

 
$
—

 
$
36,631

 
$
446

Commercial real estate
13,245

 
14,374

 
—

 
13,683

 
559

Small business
556

 
619

 
—

 
569

 
21

Residential real estate
4,264

 
4,397

 
—

 
4,332

 
218

Home equity
4,950

 
5,056

 
—

 
5,063

 
198

Other consumer
91

 
92

 
—

 
102

 
7

Subtotal
57,373

 
62,867

 
—

 
60,380

 
1,449

With an allowance recorded
 
 
 
 
 
 
 
 
 
Commercial and industrial
376

 
376

 
10

 
391

 
19

Commercial real estate
3,393

 
3,399

 
42

 
3,447

 
198

Small business
147

 
153

 
1

 
238

 
14

Residential real estate
9,420

 
10,154

 
1,007

 
9,575

 
284

Home equity
1,876

 
2,110

 
265

 
1,916

 
55

Other consumer
216

 
217

 
17

 
233

 
7

Subtotal
15,428

 
16,409

 
1,342

 
15,800

 
577

Total
$
72,801

 
$
79,276

 
$
1,342

 
$
76,180

 
$
2,026

 
2016
 
Recorded
Investment
 
Unpaid
Principal
Balance
 
Related
Allowance
 
Average
Recorded
Investment
 
Interest
Income
Recognized
 
(Dollars in thousands)
With no related allowance recorded
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
28,776

 
$
29,772

 
$
—

 
$
26,472

 
$
927

Commercial real estate
11,628

 
12,891

 
—

 
12,744

 
437

Small business
494

 
569

 
—

 
534

 
20

Residential real estate
4,216

 
4,427

 
—

 
4,302

 
185

Home equity
4,485

 
4,572

 
—

 
4,602

 
184

Other consumer
146

 
146

 
—

 
160

 
11

Subtotal
49,745

 
52,377

 
—

 
48,814

 
1,764

With an allowance recorded
 
 
 
 
 
 
 
 
 
Commercial and industrial
10,402

 
10,440

 
3,661

 
10,760

 
325

Commercial real estate
5,185

 
5,533

 
196

 
5,491

 
200

Small business
377

 
392

 
8

 
408

 
21

Residential real estate
9,959

 
10,530

 
1,086

 
10,065

 
332

Home equity
1,378

 
1,547

 
242

 
1,403

 
50

Other consumer
251

 
252

 
21

 
268

 
8

Subtotal
27,552

 
28,694

 
5,214

 
28,395

 
936

Total
$
77,297

 
$
81,071

 
$
5,214

 
$
77,209

 
$
2,700

 
2015
 
Recorded
Investment
 
Unpaid
Principal
Balance
 
Related
Allowance
 
Average
Recorded
Investment
 
Interest
Income
Recognized
 
(Dollars in thousands)
With no related allowance recorded
 
 
 
 
 
 
 
 
 
Commercial and industrial
$
2,613

 
$
3,002

 
$
—

 
$
3,024

 
$
71

Commercial real estate
12,008

 
13,128

 
—

 
11,676

 
375

Commercial construction
304

 
305

 
—

 
308

 
—

Small business
527

 
618

 
—

 
584

 
22

Residential real estate
3,874

 
4,033

 
—

 
3,958

 
157

Home equity
4,893

 
5,005

 
—

 
5,023

 
195

Other consumer
184

 
185

 
—

 
201

 
15

Subtotal
24,403

 
26,276

 
—

 
24,774

 
835

With an allowance recorded
 
 
 
 
 
 
 
 
 
Commercial and industrial
2,534

 
2,648

 
183

 
2,848

 
48

Commercial real estate
10,978

 
11,047

 
204

 
10,789

 
592

Small business
494

 
523

 
4

 
535

 
30

Residential real estate
11,531

 
12,652

 
1,278

 
11,669

 
460

Home equity
1,096

 
1,287

 
238

 
655

 
14

Other consumer
374

 
389

 
23

 
408

 
14

Subtotal
27,007

 
28,546

 
1,930

 
26,904

 
1,158

Total
$
51,410

 
$
54,822

 
$
1,930

 
$
51,678

 
$
1,993
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Table Text Block]
The following table displays certain information pertaining to PCI loans at the dates indicated:
 
 
December 31
 
 
2017
 
2016
 
 
(Dollars in thousands)
Outstanding balance
 
$
14,485

 
$
20,477

Carrying amount
 
$
13,023

 
$
18,392
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Table Text Block]
The following table summarizes activity in the accretable yield for the PCI loan portfolio:
 
 
2017
 
2016
 
 
(Dollars in thousands)
Beginning balance
 
$
2,370

 
$
2,827

Accretion
 
(1,475
)
 
(1,540
)
Other change in expected cash flows (1)
 
748

 
953

Reclassification from nonaccretable difference for loans which have paid off (2)
 
148

 
130

Ending balance
 
$
1,791

 
$
2,370


(1)
Represents changes in cash flows expected to be collected resulting in increased interest income as a prospective yield adjustment over the remaining life of the loan(s).
(2)
Results in increased income during the period when a loan pays off at amount greater than originally expected