10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

____________________________________________________

FORM 10-Q

____________________________________________________

☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended March 31, 2021

or

 ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Commission File Number: 001-16715

____________________________________________________

First Citizens BancShares, Inc.

(Exact name of Registrant as specified in its charter)

____________________________________________________

Delaware			56-1528994
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification Number)
4300 Six Forks Road	Raleigh	North Carolina	27609
(Address of principle executive offices)			(Zip code)
		(919)	716-7000
(Registrant’s telephone number, including area code)

____________________________________________________

Securities Registered Pursuant to Section 12(b) of the Securities Exchange Act of 1934:

Title of each class	Trading Symbol	Name of each exchange on which registered
Class A Common Stock, Par Value $1	FCNCA	Nasdaq Global Select Market
Depositary Shares, Each Representing a 1/40th Interest in a Share of 5.375% Non-Cumulative Perpetual Preferred Stock, Series A	FCNCP	Nasdaq Global Select Market

Securities Registered Pursuant to Section 12(g) of the Securities Exchange Act of 1934.

Class B Common Stock, Par Value $1

(Title of class)

Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding twelve months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past ninety days.    Yes  ☒   No  ☐

Indicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or such shorter period that the Registrant was required to submit and post such files)    Yes  ☒    No  ☐

Indicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “larger accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act:

Large accelerated filer ☒ Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐ Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ☐    No  ☒

Class A Common Stock—8,811,220 shares

Class B Common Stock—1,005,185 shares

(Number of shares outstanding, by class, as of April 30, 2021)

INDEX

		Page No.
PART I.	FINANCIAL INFORMATION
Item 1.	Financial Statements
	Consolidated Balance Sheets (Unaudited)	3
	Consolidated Statements of Income (Unaudited)	4
	Consolidated Statements of Comprehensive Income (Unaudited)	5
	Consolidated Statements of Changes in Shareholders’ Equity (Unaudited)	6
	Consolidated Statements of Cash Flows (Unaudited)	7
	Notes to Consolidated Financial Statements (Unaudited)	8
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	31
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	50
Item 4.	Controls and Procedures	50
PART II.	OTHER INFORMATION
Item 1.	Legal Proceedings	51
Item 1A.	Risk Factors	51
Item 6.	Exhibits	52

2

PART I 

Item 1.Financial Statements

First Citizens BancShares, Inc. and Subsidiaries

Consolidated Balance Sheets

(Dollars in thousands, unaudited)	March 31, 2021		December 31, 2020
Assets
Cash and due from banks	$	410,495	$	362,048
Overnight investments	7,588,757		4,347,336
Investment in marketable equity securities (cost of $84,297 at March 31, 2021 and $84,837 at December 31, 2020)	106,886		91,680
Investment securities available for sale (cost of $7,270,552 at March 31, 2021 and $6,911,965 at December 31, 2020)	7,307,122		7,014,243
Investment securities held to maturity (fair value of $2,774,982 at March 31, 2021 and $2,838,499 at December 31, 2020)	2,808,099		2,816,982
Loans held for sale	129,334		124,837
Loans and leases	33,180,851		32,791,975
Allowance for credit losses	(210,651)		(224,314)
Net loans and leases	32,970,200		32,567,661
Premises and equipment	1,238,874		1,251,283
Other real estate owned	48,512		50,890
Income earned not collected	148,022		145,694
Goodwill	350,298		350,298
Other intangible assets	51,547		50,775
Other assets	750,460		783,953
Total assets	$	53,908,606	$	49,957,680
Liabilities
Deposits:
Noninterest-bearing	$	20,515,142	$	18,014,029
Interest-bearing	26,815,855		25,417,580
Total deposits	47,330,997		43,431,609
Securities sold under customer repurchase agreements	680,705		641,487
Federal Home Loan Bank borrowings	648,671		655,175
Subordinated debt	497,153		504,518
Other borrowings	84,502		88,470
FDIC shared-loss payable	—		15,601
Other liabilities	345,178		391,552
Total liabilities	49,587,206		45,728,412
Shareholders’ equity
Common stock:
Class A - $1 par value (16,000,000 shares authorized; 8,811,220 shares issued and outstanding at March 31, 2021 and December 31, 2020)	8,811		8,811
Class B - $1 par value (2,000,000 shares authorized; 1,005,185 shares issued and outstanding at March 31, 2021 and December 31, 2020)	1,005		1,005
Preferred stock - $0.01 par value (10,000,000 shares authorized; 345,000 shares issued and outstanding at March 31, 2021 and December 31, 2020; $1,000 per share liquidity preference)	339,937		339,937
Retained earnings	4,005,318		3,867,252
Accumulated other comprehensive (loss) income	(33,671)		12,263
Total shareholders’ equity	4,321,400		4,229,268
Total liabilities and shareholders’ equity	$	53,908,606	$	49,957,680

See accompanying Notes to Unaudited Consolidated Financial Statements.

3

First Citizens BancShares, Inc. and Subsidiaries

Consolidated Statements of Income

	Three months ended March 31
(Dollars in thousands, except per share data, unaudited)	2021		2020
Interest income
Loans and leases	$	323,023	$	325,548
Investment securities interest and dividend income	30,852		39,493
Overnight investments	1,448		4,518
Total interest income	355,323		369,559
Interest expense
Deposits	8,793		24,194
Securities sold under customer repurchase agreements	338		442
Federal Home Loan Bank borrowings	2,087		2,984
Subordinated debt	4,188		2,755
Other borrowings	265		784
Total interest expense	15,671		31,159
Net interest income	339,652		338,400
Provision (credit) for credit losses	(10,974)		28,355
Net interest income after provision for credit losses	350,626		310,045
Noninterest income
Wealth management services	32,198		26,412
Service charges on deposit accounts	21,536		26,413
Cardholder services, net	19,960		18,160
Mortgage income	12,991		5,224
Merchant services, net	8,917		5,888
Other service charges and fees	8,489		7,792
Insurance commissions	3,998		3,688
ATM income	1,482		1,422
Marketable equity securities gains (losses), net	16,011		(51,408)
Realized gains on investment securities available for sale, net	9,207		19,795
Other	1,860		625
Total noninterest income	136,649		64,011
Noninterest expense
Salaries and wages	147,830		145,255
Employee benefits	35,725		38,511
Occupancy expense	29,743		27,480
Equipment expense	29,803		27,850
Processing fees paid to third parties	13,673		10,372
FDIC insurance expense	3,218		3,466
Collection and foreclosure-related expenses	2,198		4,054
Merger-related expenses	6,819		4,232
Other	26,917		38,751
Total noninterest expense	295,926		299,971
Income before income taxes	191,349		74,085
Income taxes	44,033		16,916
Net income	$	147,316	$	57,169
Preferred stock dividends	4,636		—
Net income available to common shareholders	$	142,680	$	57,169
Weighted average common shares outstanding	9,816,405		10,473,119
Earnings per common share	$	14.53	$	5.46

See accompanying Notes to Unaudited Consolidated Financial Statements.

4

First Citizens BancShares, Inc. and Subsidiaries

Consolidated Statements of Comprehensive Income

	Three months ended March 31
(Dollars in thousands, unaudited)	2021		2020
Net income	$	147,316	$	57,169
Other comprehensive income
Unrealized (losses) gains on securities available for sale:
Unrealized (losses) gains on securities available for sale arising during the period	(56,501)		144,843
Tax effect	12,995		(33,313)
Reclassification adjustment for realized gains on securities available for sale included in income before income taxes	(9,207)		(19,795)
Tax effect	2,118		4,553
Unrealized (losses) gains on securities available for sale arising during the period, net of tax	(50,595)		96,288
Unrealized gains on securities available for sale transferred to held to maturity:
Reclassification adjustment for accretion of unrealized gains on securities available for sale transferred to held to maturity	(475)		—
Tax effect	109		—
Total change in unrealized gains on securities available for sale transferred to held to maturity, net of tax	(366)		—
Change in pension obligation:
Amortization of actuarial losses	6,529		6,264
Tax effect	(1,502)		(1,441)
Total change in pension obligation, net of tax	5,027		4,823
Other comprehensive (loss) income	(45,934)		101,111
Total comprehensive income	$	101,382	$	158,280

See accompanying Notes to Unaudited Consolidated Financial Statements.

5

First Citizens BancShares, Inc. and Subsidiaries

Consolidated Statements of Changes in Shareholders’ Equity

	Three months ended March 31
(Dollars in thousands, unaudited)	Class A Common Stock		Class B Common Stock		Preferred Stock		Surplus		Retained Earnings		Accumulated Other Comprehensive (Loss) Income		Total Shareholders’ Equity
Balance at December 31, 2019	$	9,624	$	1,005	$	—	$	44,081	$	3,658,197	$	(126,723)	$	3,586,184
Cumulative effect of adoption of ASC 326	—		—		—		—		36,943		—		36,943
Net income	—		—		—		—		57,169		—		57,169
Other comprehensive income, net of tax	—		—		—		—		—		101,111		101,111
Issuance of preferred stock	—		—		339,958		—		—		—		339,958
Repurchase of 349,390 shares of Class A common stock	(349)		—		—		(44,081)		(115,274)		—		(159,704)
Cash dividends declared ($0.40 per common share)
Class A common stock	—		—		—		—		(3,739)		—		(3,739)
Class B common stock	—		—		—		—		(402)		—		(402)
Balance at March 31, 2020	$	9,275	$	1,005	$	339,958	$	—	$	3,632,894	$	(25,612)	$	3,957,520
Balance at December 31, 2020	$	8,811	$	1,005	$	339,937	$	—	$	3,867,252	$	12,263	$	4,229,268
Net income	—		—		—		—		147,316		—		147,316
Other comprehensive loss, net of tax	—		—		—		—		—		(45,934)		(45,934)
Cash dividends declared ($0.47 per common share)
Class A common stock	—		—		—		—		(4,142)		—		(4,142)
Class B common stock	—		—		—		—		(472)		—		(472)
Preferred stock dividends declared	—		—		—		—		(4,636)		—		(4,636)
Balance at March 31, 2021	$	8,811	$	1,005	$	339,937	$	—	$	4,005,318	$	(33,671)	$	4,321,400

See accompanying Notes to Unaudited Consolidated Financial Statements.

6

First Citizens BancShares, Inc. and Subsidiaries

Consolidated Statements of Cash Flows

	Three months ended March 31
(Dollars in thousands, unaudited)	2021		2020
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	$	147,316	$	57,169
Adjustments to reconcile net income to cash provided by operating activities:
Provision (credit) for credit losses	(10,974)		28,355
Deferred tax expense (benefit)	8,555		(11,485)
Net increase in current tax receivable	26,703		11,829
Depreciation and amortization	27,864		26,879
Net decrease in accrued interest payable	(4,264)		(4,624)
Net increase in income earned not collected	(2,328)		(1,914)
Contribution to pension plans	—		(100,000)
Realized gains on investment securities available for sale, net	(9,207)		(19,795)
Marketable equity securities (gains) losses, net	(16,011)		51,408
Origination of loans held for sale	(315,451)		(205,986)
Proceeds from sale of loans held for sale	279,180		201,886
Gain on sale of loans	(9,365)		(5,682)
Net (gains) losses on other real estate owned	(527)		1,419
Net accretion of premiums and discounts	116		4,674
Amortization of intangible assets	5,795		6,160
Origination of mortgage servicing rights, net of change in valuation allowance	(6,567)		1,384
Net change in other assets	17,535		4,067
Net change in other liabilities	(33,494)		(28,135)
Net cash provided by operating activities	104,876		17,609
CASH FLOWS FROM INVESTING ACTIVITIES
Net increase in loans outstanding	(383,507)		(202,667)
Purchases of investment securities available for sale	(1,737,890)		(4,305,818)
Purchases of investment securities held to maturity	(207,313)		(724,412)
Purchases of marketable equity securities	(306)		(287,014)
Proceeds from maturities, calls, and principal repayments of investment securities held to maturity	206,282		14,166
Proceeds from maturities, calls, and principal repayments of investment securities available for sale	1,079,216		572,937
Proceeds from sales of investment securities available for sale	351,984		3,156,988
Proceeds from sales of marketable equity securities	1,111		2,438
Net (increase) decrease in overnight investments	(3,241,421)		454,455
Cash paid to FDIC for settlement of shared-loss agreement	(16,103)		(99,468)
Proceeds from sales of other real estate owned	10,011		5,265
Proceeds from sales of premises and equipment	1,143		—
Purchases of premises and equipment	(23,544)		(26,930)
Business acquisitions, net of cash acquired	—		(1,235)
Other investing activities	(8,009)		—
Net cash used in investing activities	(3,968,346)		(1,441,295)
CASH FLOWS FROM FINANCING ACTIVITIES
Net decrease in time deposits	(159,035)		(310,224)
Net increase in demand and other interest-bearing deposits	4,058,956		1,017,371
Net increase (decrease) in short-term borrowings	39,218		(92,871)
Repayment of long-term obligations	(17,973)		(38,583)
Origination of long-term obligations	—		745,886
Net proceeds from preferred stock issuance	—		339,958
Repurchase of common stock	—		(156,094)
Cash dividends paid	(9,249)		(4,256)
Net cash provided by financing activities	3,911,917		1,501,187
Change in cash and due from banks	48,447		77,501
Cash and due from banks at beginning of period	362,048		376,719
Cash and due from banks at end of period	$	410,495	$	454,220
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION
Cash paid (received) during the period for:
Interest	$	19,935	$	35,783
Income taxes	11		(592)
Significant noncash investing and financing activities:
Transfers of loans to other real estate	2,374		4,560
Dividends declared but not paid	4,614		4,141
Unsettled call of investment securities	3,000		—
Loans held for sale exchanged for investment securities	63,526		—
Reclassification of portfolio loans to loans held for sale	22,655		1,304
Transfers of premises and equipment to other real estate	4,732		1,427
Premises and equipment acquired through finance leases and other financing arrangements	—		1,191
Unsettled common stock repurchases	—		3,610

See accompanying Notes to Unaudited Consolidated Financial Statements.

7

First Citizens BancShares, Inc. and Subsidiaries

Notes to Unaudited Consolidated Financial Statements

NOTE A - ACCOUNTING POLICIES AND BASIS OF PRESENTATION

First Citizens BancShares, Inc. (“BancShares”) is a financial holding company organized under the laws of Delaware and conducts operations through its banking subsidiary, First-Citizens Bank & Trust Company (“FCB”), which is headquartered in Raleigh, North Carolina.

General

These consolidated financial statements and notes thereto are presented in accordance with instructions for Form 10-Q and Article 10 of Regulation S-X and, therefore, do not include all information and notes necessary for a complete presentation of financial position, results of operations and cash flow activity required in accordance with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, all normal recurring adjustments necessary for a fair presentation of the consolidated financial position and consolidated results of operations have been made. The unaudited interim consolidated financial statements included in this Quarterly Report on Form 10-Q should be read in conjunction with the Consolidated Financial Statements and Notes to the Consolidated Financial Statements included in BancShares’ Annual Report on Form 10-K for the year ended December 31, 2020.

Reclassifications

In certain instances, amounts reported in prior periods’ consolidated financial statements have been reclassified to conform to the current financial statement presentation. Such reclassifications had no effect on previously reported cash flows, shareholders’ equity or net income.

Use of Estimates in the Preparation of Financial Statements

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions which affect the amounts reported. Actual results could differ from those estimates. The estimates BancShares considers significant are the allowance for credit losses, “ACL”, fair value measurements, and income taxes.

Share Repurchases

During the first quarter of 2021, BancShares did not repurchase shares of Class A common stock. During the first quarter of 2020, BancShares purchased a total of 349,390 shares of Class A common stock for $159.7 million at an average cost per share of $457.10.

During 2020, share repurchases included 45,000 shares of Class A common stock purchased from Ella Ann Holding, as trustee of her revocable trust. Mrs. Holding is the widow of BancShares’ former Executive Vice Chairman, Frank B. Holding, and the mother of Frank B. Holding, Jr. and Hope H. Bryant, BancShares’ Chairman and Chief Executive Officer and Vice Chairman, respectively.

Small Business Administration Paycheck Protection Program

The Small Business Administration Paycheck Protection Program (“SBA-PPP”) is one of the centerpieces of the Coronavirus Aid Relief and Economic Security Act (the “CARES Act”), which was passed on March 27, 2020 in response to the outbreak of a novel strain of coronavirus (“COVID-19”) and was supplemented with subsequent legislation. Overseen by the United States (“U.S.”) Treasury Department, the SBA-PPP offers cash-flow assistance to nonprofit and small business employers through guaranteed loans for expenses incurred between February 15, 2020, and August 8, 2020. Borrowers are eligible for forgiveness of principal and accrued interest on SBA-PPP loans to the extent that the proceeds were used to cover eligible payroll costs, interest costs, rent, and utility costs over a period of between eight and 24-weeks after the loan is made as long as the borrower retains its employees and their compensation levels. The CARES Act authorized the SBA to temporarily guarantee these loans. The SBA began processing forgiveness payments during the fourth quarter of 2020.

The Consolidated Appropriations Act 2021 was signed into law during the fourth quarter of 2020 and contained provisions for a second round of funding of SBA-PPP loans. During the first quarter of 2021, BancShares originated over 9,600 SBA-PPP loans totaling over $1.1 billion.

Due to the unique nature of these provisions, SBA-PPP loans have been disclosed as a separate loan class. Origination fees received from the SBA are capitalized into the carrying amount of the loans. The deferred fee income, net of origination costs, is recognized over the life of the loans as an adjustment to yield using the effective interest method. As of March 31, 2021, SBA-PPP loans outstanding were $2.8 billion.

Recently Issued Accounting Pronouncements

There were no Accounting Standards Updates (“ASUs”) issued during the first quarter of 2021 by the Financial Accounting Standards Board (“FASB”) that will have a material impact on BancShares’ consolidated financial statements.

8

NOTE B - BUSINESS COMBINATIONS

Recently Announced Business Combinations

CIT Group Inc.

On October 15, 2020, BancShares and CIT Group Inc., a Delaware corporation (“CIT”), entered into an Agreement and Plan of Merger (the “Merger Agreement”) by and among BancShares, FCB, FC Merger Subsidiary IX, Inc., a direct, wholly owned subsidiary of FCB (“Merger Sub”), and CIT, the parent company of CIT Bank, N.A., a national banking association (“CIT Bank”). Pursuant to the terms and subject to the conditions set forth in the Merger Agreement, Merger Sub will merge with and into CIT, with CIT as the surviving entity (the “First-Step Merger”), and as soon as reasonably practicable following the effective time of the First-Step Merger, CIT will merge with and into FCB, with FCB as the surviving entity (together with the First-Step Merger, the “Mergers”). The Merger Agreement further provides that immediately following the consummation of the Mergers, CIT Bank will merge with and into FCB, with FCB as the surviving bank (together with the Mergers, the “Transaction”).

The Merger Agreement was unanimously approved by the Board of Directors of each of BancShares and CIT. The Transaction was approved by the North Carolina Commissioner of Banks on February 5, 2021, as well as the shareholders of both companies on February 9, 2021. The parties are continuing to work with other regulators on remaining approvals and anticipate closing in mid-2021 subject to regulatory approval and the satisfaction of customary closing conditions.

Upon the terms and subject to the conditions set forth in the Merger Agreement, at the effective time of the First-Step Merger (the “Effective Time”), each share of CIT common stock, par value $0.01 per share, issued and outstanding immediately prior to the Effective Time (“CIT Common Stock”), except for certain shares of CIT Common Stock owned by CIT or BancShares, will be converted into the right to receive 0.06200 shares of BancShares Class A common stock, par value $1.00 per share. Holders of CIT Common Stock will receive cash in lieu of fractional shares.

In addition, at the Effective Time, each share of Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A, par value $0.01 per share, of CIT and 5.625% Non-Cumulative Perpetual Preferred Stock, Series B, par value $0.01 per share, of CIT issued and outstanding will automatically be converted into the right to receive one share of a newly created series of preferred stock, Series B, of BancShares and one share of a newly created series of preferred stock, Series C, of BancShares, respectively.

The Merger Agreement requires that, effective as of the Effective Time, the Boards of Directors of the combined company and the combined bank will consist of 14 directors, (i) 11 of whom will be members of the current Board of Directors of BancShares, and (ii) three of whom will be selected from among the current Board of Directors of CIT and will include as one of those three Ellen R. Alemany, Chairwoman and Chief Executive Officer of CIT. BancShares intends to appoint Michael A. Carpenter and Vice Admiral John R. Ryan, USN (Ret.), as the two other members from CIT’s current Board of Directors who will join the Boards of Directors of the combined company and the combined bank .

9

NOTE C - INVESTMENTS

The amortized cost and fair value of investment securities at March 31, 2021 and December 31, 2020, were as follows:

	March 31, 2021
(Dollars in thousands)	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
Investment securities available for sale
Government agency	$	852,305	$	784	$	6,403	$	846,686
Residential mortgage-backed securities	4,736,893		47,742		26,046		4,758,589
Commercial mortgage-backed securities	1,096,259		14,619		11,891		1,098,987
Corporate bonds	585,095		18,313		548		602,860
Total investment securities available for sale	$	7,270,552	$	81,458	$	44,888	$	7,307,122
Investment in marketable equity securities	84,297		22,872		283		106,886
Investment securities held to maturity
Residential mortgage-backed securities	1,740,314		5,191		20,510		1,724,995
Commercial mortgage-backed securities	1,065,778		13		17,811		1,047,980
Other	2,007		—		—		2,007
Total investment securities held to maturity	2,808,099		5,204		38,321		2,774,982
Total investment securities	$	10,162,948	$	109,534	$	83,492	$	10,188,990
	December 31, 2020
(Dollars in thousands)	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
Investment securities available for sale
U.S. Treasury	$	499,832	$	101	$	—	$	499,933
Government agency	706,241		723		5,573		701,391
Residential mortgage-backed securities	4,369,130		70,283		1,310		4,438,103
Commercial mortgage-backed securities	745,892		25,645		—		771,537
Corporate bonds	590,870		14,437		2,028		603,279
Total investment securities available for sale	$	6,911,965	$	111,189	$	8,911	$	7,014,243
Investment in marketable equity securities	84,837		8,654		1,811		91,680
Investment securities held to maturity
Residential mortgage-backed securities	1,877,692		17,689		—		1,895,381
Commercial mortgage-backed securities	937,034		3,884		56		940,862
Other	2,256		—		—		2,256
Total investment securities held to maturity	2,816,982		21,573		56		2,838,499
Total investment securities	$	9,813,784	$	141,416	$	10,778	$	9,944,422

On November 1, 2020, mortgage-backed securities with an amortized cost of $1.46 billion were transferred from investment securities available for sale to the held to maturity portfolio. At the time of transfer, the mortgage-backed securities had a fair value of $1.47 billion and a weighted average contractual maturity of 18 years. The unrealized gain on these securities at the date of transfer was $5.9 million, or $4.5 million net of tax, and was reported as a component of AOCI. This unrealized gain is accreted over the remaining expected life of the securities as an adjustment of yield.

Investments in residential and commercial mortgage-backed securities represent securities issued by the Government National Mortgage Association, Federal National Mortgage Association and Federal Home Loan Mortgage Corporation. Investments in government agency securities represent securities issued by the United States Small Business Administration. Investments in corporate bonds and marketable equity securities represent positions in securities of other financial institutions. Other held to maturity investments include certificates of deposit with other financial institutions.

BancShares also holds approximately 354,000 shares of Visa Class B common stock, which are not considered to have a readily determinable fair value and are recorded at $0. BancShares held FHLB stock of $40.6 million and $45.4 million and other non-marketable equity securities of $11.4 million and $11.6 million at March 31, 2021 and December 31, 2020, respectively. These securities are recorded at cost within other assets.

10

As of March 31, 2021 and December 31, 2020, no ACL was required for available for sale and held to maturity debt securities. Accrued interest receivables for available for sale and held to maturity debt securities were excluded from the estimate for credit losses. At March 31, 2021, accrued interest receivables for available for sale and held to maturity debt securities were $21.3 million and $5.3 million, respectively. At December 31, 2020, accrued interest receivables for available for sale and held to maturity debt securities were $17.6 million and $5.4 million, respectively. During the three months ended March 31, 2021 and 2020, no accrued interest was deemed uncollectible and written off against interest income.

The following table provides the amortized cost and fair value by contractual maturity for investment securities available for sale and held to maturity. Expected maturities will differ from contractual maturities on certain securities because issuers and borrowers of underlying collateral may have the right to call or prepay obligations with or without prepayment penalties. Residential and commercial mortgage-backed and government agency securities are stated separately as they are not due at a single maturity date.

	March 31, 2021				December 31, 2020
(Dollars in thousands)	Amortized cost		Fair value		Amortized cost		Fair value
Investment securities available for sale
Non-amortizing securities maturing in:
One year or less	$	1,020	$	1,021	$	500,846	$	500,954
One through five years	72,340		74,536		72,565		73,881
Five through 10 years	502,757		517,922		508,320		519,570
Over 10 years	8,978		9,381		8,971		8,807
Government agency	852,305		846,686		706,241		701,391
Residential mortgage-backed securities	4,736,893		4,758,589		4,369,130		4,438,103
Commercial mortgage-backed securities	1,096,259		1,098,987		745,892		771,537
Total investment securities available for sale	$	7,270,552	$	7,307,122	$	6,911,965	$	7,014,243
Investment securities held to maturity
Non-amortizing securities maturing in:
One year or less	998		998		1,507		1,507
One through five years	1,009		1,009		749		749
Residential mortgage-backed securities	1,740,314		1,724,995		1,877,692		1,895,381
Commercial mortgage-backed securities	1,065,778		1,047,980		937,034		940,862
Total investment securities held to maturity	$	2,808,099	$	2,774,982	$	2,816,982	$	2,838,499

The following table provides the gross realized gains and losses on the sales of investment securities available for sale for the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Gross realized gains on sales of investment securities available for sale	$	9,207	$	20,474
Gross realized losses on sales of investment securities available for sale	—		(679)
Net realized gains on sales of investment securities available for sale	$	9,207	$	19,795

The following table provides the realized and unrealized gains and losses on marketable equity securities for the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Marketable equity securities gains (losses), net	$	16,011	$	(51,408)
Less net gains recognized on marketable equity securities sold	263		323
Unrealized gains (losses) recognized on marketable equity securities held	$	15,748	$	(51,731)

11

The following table provides information regarding securities with unrealized losses as of March 31, 2021 and December 31, 2020:

	March 31, 2021
	Less than 12 months				12 months or more				Total
(Dollars in thousands)	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
Investment securities available for sale
Government agency	$	331,034	$	3,501	$	415,379	$	2,902	$	746,413	$	6,403
Residential mortgage-backed securities	2,345,301		26,001		12,495		45		2,357,796		26,046
Commercial mortgage-backed securities	685,575		11,891		—		—		685,575		11,891
Corporate bonds	8,394		14		26,183		534		34,577		548
Total	$	3,370,304	$	41,407	$	454,057	$	3,481	$	3,824,361	$	44,888
	December 31, 2020
	Less than 12 months				12 months or more				Total
(Dollars in thousands)	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
Investment securities available for sale
Government agency	$	268,622	$	3,197	$	328,777	$	2,376	$	597,399	$	5,573
Residential mortgage-backed securities	433,816		1,241		23,064		69		456,880		1,310
Corporate bonds	57,715		2,028		—		—		57,715		2,028
Total	$	760,153	$	6,466	$	351,841	$	2,445	$	1,111,994	$	8,911

As of March 31, 2021, there were 60 investment securities available for sale with continuous losses for more than 12 months, of which 54 were government sponsored enterprise-issued mortgage-backed securities or government agency securities and six were corporate bonds.

None of the unrealized losses identified as of March 31, 2021, or December 31, 2020, relate to the issuer’s ability to honor redemption obligations. Rather, the unrealized losses relate to changes in interest rates relative to when the investment securities were purchased, and do not indicate credit-related impairment. BancShares considered other factors including changes in credit ratings, delinquencies, and other macroeconomic factors in this determination. As a result, none of the securities were deemed to require an allowance for credit losses. BancShares has the ability and intent to retain these securities for a period of time sufficient to recover all unrealized losses.

Investment securities having an aggregate carrying value of $4.8 billion at March 31, 2021, and $4.6 billion at December 31, 2020, were pledged as collateral to secure public funds on deposit and certain short-term borrowings, and for other purposes as required by law.

BancShares’ portfolio of held to maturity debt securities consists of mortgage-backed securities issued by government agencies and government sponsored entities. Given the consistently strong credit rating of the U.S. Treasury and the long history of no credit losses on debt securities issued by government agencies and government sponsored entities, no further credit monitoring is performed on these portfolios. Should there be downgrades to the credit rating of the U.S. Treasury or losses reported on securities issued by government agencies and government sponsored entities, BancShares will reevaluate its determination of zero expected credit losses on held to maturity debt securities.

There were no debt securities held to maturity on nonaccrual status as of March 31, 2021.

A security is considered past due once it is 30 days contractually past due under the terms of the agreement. There were no securities past due as of March 31, 2021.

12

NOTE D - LOANS AND LEASES

BancShares’ accounting methods for loans and leases depends on whether they are originated or purchased, and if purchased, whether or not the loans reflect more than insignificant credit deterioration since origination, which is determined as of the acquisition date. Non purchased credit deteriorated (“PCD”) loans consist of loans originated by BancShares and loans purchased from other institutions, that do not reflect more than insignificant credit deterioration at acquisition. Purchased loans which reflect more than insignificant credit deterioration are classified as PCD and reported as a single loan segment or class. At the date of acquisition, all acquired loans are recorded at fair value.

Loans and leases outstanding included the following at March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021		December 31, 2020
Commercial:
Construction and land development	$	1,022,087	$	985,424
Owner occupied commercial mortgage	11,340,966		11,165,012
Non-owner occupied commercial mortgage	3,017,898		2,987,689
Commercial and industrial and leases	4,946,445		5,013,644
SBA-PPP	2,769,906		2,406,291
Total commercial loans	23,097,302		22,558,060
Consumer:
Residential mortgage	5,566,026		5,561,686
Revolving mortgage	1,938,422		2,052,854
Construction and land development	336,065		348,123
Consumer auto	1,271,586		1,255,402
Consumer other	538,677		552,968
Total consumer loans	9,650,776		9,771,033
PCD loans	432,773		462,882
Total loans and leases	$	33,180,851	$	32,791,975

At March 31, 2021 and December 31, 2020, accrued interest receivable on loans was $103.2 million and $107.7 million, respectively, and was excluded from the estimate of credit losses.

Certain residential real estate loans are originated to be sold to investors and are recorded in loans held for sale at fair value. In addition, BancShares may change its strategy for certain portfolio loans and decide to sell them in the secondary market. At that time, portfolio loans are transferred to loans held for sale at fair value. Loans held for sale totaled $129.3 million and $124.8 million at March 31, 2021 and December 31, 2020, respectively.

The following table presents selected components of the amortized cost of loans.

(Dollars in thousands)	March 31, 2021		December 31, 2020
Deferred fees, including unearned fees and unamortized costs on non-PCD loans
Net deferred fees related to SBA-PPP loans	$	66,717	$	41,064
Net deferred fees related to other portfolios	11,932		9,153
Total net deferred fees	$	78,649	$	50,217
Net unamortized discount on purchased loans
Non-PCD	$	17,009	$	19,473
PCD	41,141		45,254
Total	$	58,150	$	64,727

13

The aging of the outstanding loans and leases, by class, at March 31, 2021 and December 31, 2020 is provided in the tables below. Loans and leases past due less than 30 days are considered current as various grace periods allow borrowers to make payments within a stated period after the due date and still remain in compliance with the loan agreement.

	March 31, 2021
(Dollars in thousands)	30-59 days past due		60-89 days past due		90 days or greater		Total past due		Current		Total loans and leases
Commercial:
Construction and land development	$	277	$	—	$	1,595	$	1,872	$	1,020,215	$	1,022,087
Owner occupied commercial mortgage	13,153		2,996		11,028		27,177		11,313,789		11,340,966
Non-owner occupied commercial mortgage	5,046		303		8,917		14,266		3,003,632		3,017,898
Commercial and industrial and leases	13,284		4,771		3,249		21,304		4,925,141		4,946,445
SBA-PPP	—		—		—		—		2,769,906		2,769,906
Total commercial loans	31,760		8,070		24,789		64,619		23,032,683		23,097,302
Consumer:
Residential mortgage	34,350		7,396		30,789		72,535		5,493,491		5,566,026
Revolving mortgage	6,222		1,603		8,531		16,356		1,922,066		1,938,422
Construction and land development	266		944		652		1,862		334,203		336,065
Consumer auto	4,432		1,014		860		6,306		1,265,280		1,271,586
Consumer other	2,246		1,213		1,516		4,975		533,702		538,677
Total consumer loans	47,516		12,170		42,348		102,034		9,548,742		9,650,776
PCD loans	11,250		4,322		33,694		49,266		383,507		432,773
Total loans and leases	$	90,526	$	24,562	$	100,831	$	215,919	$	32,964,932	$	33,180,851
	December 31, 2020
(Dollars in thousands)	30-59 days past due		60-89 days past due		90 days or greater		Total past due		Current		Total loans and leases
Commercial:
Construction and land development	$	956	$	527	$	1,603	$	3,086	$	982,338	$	985,424
Owner occupied commercial mortgage	8,757		2,232		14,082		25,071		11,139,941		11,165,012
Non-owner occupied commercial mortgage	12,370		—		5,973		18,343		2,969,346		2,987,689
Commercial and industrial and leases	14,532		2,842		3,243		20,617		4,993,027		5,013,644
SBA-PPP	—		—		—		—		2,406,291		2,406,291
Total commercial loans	36,615		5,601		24,901		67,117		22,490,943		22,558,060
Consumer:
Residential mortgage	43,218		8,364		31,690		83,272		5,478,414		5,561,686
Revolving mortgage	11,977		2,626		7,415		22,018		2,030,836		2,052,854
Construction and land development	932		77		330		1,339		346,784		348,123
Consumer auto	6,825		1,835		1,076		9,736		1,245,666		1,255,402
Consumer other	3,610		1,464		1,505		6,579		546,389		552,968
Total consumer loans	66,562		14,366		42,016		122,944		9,648,089		9,771,033
PCD loans	18,322		6,076		31,026		55,424		407,458		462,882
Total loans and leases	$	121,499	$	26,043	$	97,943	$	245,485	$	32,546,490	$	32,791,975

14

The amortized cost, by class, of loans and leases on nonaccrual status, and loans and leases greater than 90 days past due and still accruing at March 31, 2021 and December 31, 2020, were as follows:

	March 31, 2021				December 31, 2020
(Dollars in thousands)	Nonaccrual loans and leases		Loans and leases > 90 days and accruing		Nonaccrual loans and leases		Loans and leases > 90 days and accruing
Commercial:
Construction and land development	$	1,648	$	—	$	1,661	$	—
Owner occupied commercial mortgage	22,796		1,400		23,103		3,625
Non-owner occupied commercial mortgage	10,939		2,211		7,932		147
Commercial and industrial and leases	15,718		607		10,626		540
Total commercial loans	51,101		4,218		43,322		4,312
Consumer:
Residential mortgage	61,907		29		66,345		—
Revolving mortgage	23,952		—		22,236		—
Construction and land development	566		543		652		—
Consumer auto	3,027		—		3,166		—
Consumer other	816		1,155		823		1,195
Total consumer loans	90,268		1,727		93,222		1,195
PCD loans	53,165		1,432		54,939		355
Total loans and leases	$	194,534	$	7,377	$	191,483	$	5,862

Credit Quality

Loans and leases are monitored for credit quality on a recurring basis. Commercial and consumer loans and leases have different credit quality indicators as a result of the unique characteristics of the loan segments being evaluated. The credit quality indicators for commercial loans and leases are borrower risk classifications developed through a review of individual borrowers on an ongoing basis. Commercial loans are evaluated at least annually, with more frequent evaluations done on criticized loans. Commercial loans are also updated if there is evidence of potential credit deterioration, such as delinquency. Commercial credit cards are included in the Commercial and industrial and leases segment, but are evaluated based primarily upon delinquency status. The risk classifications as of the date presented are based on the most recent assessment performed and are defined below:

Pass – A pass rated asset is not adversely classified because it does not display any of the characteristics for adverse classification.

Special mention – A special mention asset has potential weaknesses that deserve management’s close attention. If left uncorrected, such potential weaknesses may result in deterioration of the repayment prospects or collateral position at some future date. Special mention assets are not adversely classified and do not warrant adverse classification.

Substandard – A substandard asset is inadequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged, if any. Assets classified as substandard generally have a well-defined weakness, or weaknesses, that jeopardize the liquidation of the debt. These assets are characterized by the distinct possibility of loss if the deficiencies are not corrected.

Doubtful – An asset classified as doubtful has all the weaknesses inherent in an asset classified substandard with the added characteristic that the weaknesses make collection or liquidation in full highly questionable and improbable on the basis of currently existing facts, conditions and values.

Loss – Assets classified as loss are considered uncollectible and of such little value that it is inappropriate to be carried as an asset. This classification is not necessarily equivalent to any potential for recovery or salvage value, but rather that it is not appropriate to defer a full charge-off even though partial recovery may be affected in the future.

Ungraded – Ungraded loans represent loans that are not included in the individual credit grading process due to their relatively small balances or borrower type. The majority of ungraded loans at March 31, 2021 relate to business credit cards. Business credit card loans are subject to automatic charge-off when they become 120 days past due in the same manner as unsecured consumer lines of credit. The remaining balance is comprised of a small amount of commercial mortgage, lease financing and other commercial real estate loans.

The credit quality indicators for consumer and PCD loans are based on delinquency status of the borrower as of the date presented. As the borrower becomes more delinquent, the likelihood of loss increases.

15

The following tables represent current credit quality indicators by origination year as of March 31, 2021.

	March 31, 2021
	Commercial Loans Amortized Cost Basis by Origination Year
Classification:	2021		2020		2019		2018		2017		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Construction and land development
Pass	$	46,039	$	399,172	$	310,753	$	168,534	$	48,089	$	28,797	$	12,548	$	—	$	1,013,932
Special Mention	—		232		—		181		85		—		145		—		643
Substandard	—		225		590		1,447		5,170		80		—		—		7,512
Total	46,039		399,629		311,343		170,162		53,344		28,877		12,693		—		1,022,087
Owner occupied commercial mortgage
Pass	632,239		3,202,842		2,166,465		1,521,886		1,206,771		2,249,426		106,579		101		11,086,309
Special Mention	687		10,398		29,975		39,868		12,074		37,441		2,974		72		133,489
Substandard	3,564		9,322		14,441		9,287		26,702		49,856		7,996		—		121,168
Total	636,490		3,222,562		2,210,881		1,571,041		1,245,547		2,336,723		117,549		173		11,340,966
Non-owner occupied commercial mortgage
Pass	158,815		809,647		603,274		332,010		319,514		638,882		35,835		—		2,897,977
Special Mention	794		676		880		10,778		1,440		2,918		500		—		17,986
Substandard	75		12,018		22,293		12,643		8,762		44,396		1,748		—		101,935
Total	159,684		822,341		626,447		355,431		329,716		686,196		38,083		—		3,017,898
Commercial and industrial and leases
Pass	424,035		1,423,941		884,987		442,129		251,356		445,265		874,664		5,150		4,751,527
Special Mention	102		10,601		22,183		8,335		6,160		7,764		11,376		194		66,715
Substandard	5,507		15,179		4,398		5,572		3,950		5,597		24,608		1,410		66,221
Doubtful	—		—		—		—		—		—		2		—		2
Ungraded	—		—		—		—		—		—		61,980		—		61,980
Total	429,644		1,449,721		911,568		456,036		261,466		458,626		972,630		6,754		4,946,445
SBA-PPP
Pass	936,012		1,833,894		—		—		—		—		—		—		2,769,906
Total commercial	$	2,207,869	$	7,728,147	$	4,060,239	$	2,552,670	$	1,890,073	$	3,510,422	$	1,140,955	$	6,927	$	23,097,302
	Consumer and PCD Loans Amortized Cost Basis by Origination Year
Days Past Due:	2021		2020		2019		2018		2017		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Residential mortgage
Current	$	521,849	$	1,810,979	$	889,902	$	561,267	$	518,205	$	1,166,958	$	24,331	$	—	$	5,493,491
30-59 days	2,367		2,193		236		9,619		4,113		15,567		255		—		34,350
60-89 days	—		256		1,012		1,040		558		4,530		—		—		7,396
90 days or greater	—		286		1,455		838		3,797		24,384		29		—		30,789
Total	524,216		1,813,714		892,605		572,764		526,673		1,211,439		24,615		—		5,566,026
Revolving mortgage
Current	—		—		—		—		—		—		1,772,173		149,893		1,922,066
30-59 days	—		—		—		—		—		—		3,877		2,345		6,222
60-89 days	—		—		—		—		—		—		699		904		1,603
90 days or greater	—		—		—		—		—		—		4,112		4,419		8,531
Total	—		—		—		—		—		—		1,780,861		157,561		1,938,422
Construction and land development
Current	40,360		209,701		52,406		16,883		8,037		5,241		1,575		—		334,203
30-59 days	—		108		15		61		30		52		—		—		266
60-89 days	—		240		138		59		366		141		—		—		944
90 days or greater	—		543		—		—		59		50		—		—		652
Total	40,360		210,592		52,559		17,003		8,492		5,484		1,575		—		336,065

16

Consumer auto
Current	155,101		484,026		302,622		191,055		87,139		45,337		—		—		1,265,280
30-59 days	—		1,327		962		1,054		703		386		—		—		4,432
60-89 days	—		433		197		253		117		14		—		—		1,014
90 days or greater	—		294		134		217		129		86		—		—		860
Total	155,101		486,080		303,915		192,579		88,088		45,823		—		—		1,271,586
Consumer other
Current	20,879		45,239		22,631		8,552		6,246		34,873		395,282		—		533,702
30-59 days	3		131		100		106		1		—		1,905		—		2,246
60-89 days	—		95		7		10		—		—		1,101		—		1,213
90 days or greater	—		14		114		6		—		—		1,382		—		1,516
Total	20,882		45,479		22,852		8,674		6,247		34,873		399,670		—		538,677
Total consumer	$	740,559	$	2,555,865	$	1,271,931	$	791,020	$	629,500	$	1,297,619	$	2,206,721	$	157,561	$	9,650,776
PCD loans
Current	$	—	$	28,056	$	24,347	$	26,763	$	24,879	$	247,606	$	11,788	$	20,068	$	383,507
30-59 days	—		344		390		407		300		9,423		19		367		11,250
60-89 days	—		51		88		—		165		3,896		—		122		4,322
90 days or greater	—		1,294		2,404		4,412		1,826		22,504		105		1,149		33,694
Total PCD	$	—	$	29,745	$	27,229	$	31,582	$	27,170	$	283,429	$	11,912	$	21,706	$	432,773
Total loans and leases	$	2,948,428	$	10,313,757	$	5,359,399	$	3,375,272	$	2,546,743	$	5,091,470	$	3,359,588	$	186,194	$	33,180,851

The following tables represent current credit quality indicators by origination year as of December 31, 2020.

	December 31, 2020
	Commercial Loans Amortized Cost Basis by Origination Year
Classification:	2020		2019		2018		2017		2016		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Construction and land development
Pass	$	342,183	$	341,233	$	190,429	$	50,776	$	23,969	$	11,306	$	10,969	$	—	$	970,865
Special Mention	246		—		6,421		5,342		—		—		153		—		12,162
Substandard	229		629		1,450		—		8		81		—		—		2,397
Total	342,658		341,862		198,300		56,118		23,977		11,387		11,122		—		985,424
Owner occupied commercial mortgage
Pass	3,183,467		2,201,165		1,625,141		1,301,412		1,049,858		1,454,020		101,556		133		10,916,752
Special Mention	6,274		20,702		36,739		12,387		17,699		25,693		5,115		72		124,681
Substandard	10,280		19,052		9,842		20,928		13,736		41,303		8,438		—		123,579
Total	3,200,021		2,240,919		1,671,722		1,334,727		1,081,293		1,521,016		115,109		205		11,165,012
Non-owner occupied commercial mortgage
Pass	865,514		609,975		378,136		331,800		282,810		391,517		32,149		—		2,891,901
Special Mention	569		905		10,794		1,808		5,121		3,279		483		—		22,959
Substandard	2,899		18,546		12,296		8,764		14,087		15,427		810		—		72,829
Total	868,982		629,426		401,226		342,372		302,018		410,223		33,442		—		2,987,689
Commercial and industrial and leases
Pass	1,620,622		983,852		504,463		310,468		234,735		286,996		899,978		5,520		4,846,634
Special Mention	3,146		17,065		7,265		5,393		3,307		4,912		9,152		189		50,429
Substandard	17,811		4,095		4,370		4,257		2,548		3,801		22,384		983		60,249
Ungraded	—		—		—		—		—		—		56,332		—		56,332
Total	1,641,579		1,005,012		516,098		320,118		240,590		295,709		987,846		6,692		5,013,644
SBA-PPP
Pass	2,406,291		—		—		—		—		—		—		—		2,406,291
Total commercial	$	8,459,531	$	4,217,219	$	2,787,346	$	2,053,335	$	1,647,878	$	2,238,335	$	1,147,519	$	6,897	$	22,558,060

17

	Consumer and PCD Loans Amortized Cost Basis by Origination Year
Days Past Due:	2020		2019		2018		2017		2016		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Residential mortgage
Current	$	1,882,683	$	978,298	$	655,798	$	596,309	$	461,719	$	878,634	$	24,973	$	—	$	5,478,414
30-59 days	2,278		4,573		11,463		3,772		8,613		12,299		220		—		43,218
60-89 days	30		100		1,246		1,449		834		4,705		—		—		8,364
90 days or greater	282		4,831		3,150		4,015		5,689		13,723		—		—		31,690
Total	1,885,273		987,802		671,657		605,545		476,855		909,361		25,193		—		5,561,686
Revolving mortgage
Current	—		—		—		—		—		—		1,879,968		150,868		2,030,836
30-59 days	—		—		—		—		—		—		8,241		3,736		11,977
60-89 days	—		—		—		—		—		—		527		2,099		2,626
90 days or greater	—		—		—		—		—		—		2,301		5,114		7,415
Total	—		—		—		—		—		—		1,891,037		161,817		2,052,854
Construction and land development
Current	215,112		85,707		24,860		10,269		6,093		2,218		2,525		—		346,784
30-59 days	—		420		121		370		—		21		—		—		932
60-89 days	—		—		—		9		—		68		—		—		77
90 days or greater	—		—		—		—		—		330		—		—		330
Total	215,112		86,127		24,981		10,648		6,093		2,637		2,525		—		348,123
Consumer auto
Current	521,719		340,594		219,597		104,280		49,872		9,604		—		—		1,245,666
30-59 days	2,175		1,873		1,257		842		544		134		—		—		6,825
60-89 days	329		689		312		351		109		45		—		—		1,835
90 days or greater	170		527		217		57		102		3		—		—		1,076
Total	524,393		343,683		221,383		105,530		50,627		9,786		—		—		1,255,402
Consumer other
Current	53,842		27,117		10,911		7,159		2,980		29,336		415,044		—		546,389
30-59 days	322		114		77		18		11		7		3,061		—		3,610
60-89 days	102		20		13		18		3		23		1,285		—		1,464
90 days or greater	53		84		8		—		—		—		1,360		—		1,505
Total	54,319		27,335		11,009		7,195		2,994		29,366		420,750		—		552,968
Total consumer	$	2,679,097	$	1,444,947	$	929,030	$	728,918	$	536,569	$	951,150	$	2,339,505	$	161,817	$	9,771,033
PCD loans
Current	$	31,475	$	25,425	$	27,183	$	27,955	$	28,995	$	232,186	$	13,212	$	21,027	$	407,458
30-59 days	999		925		801		718		1,341		12,637		156		745		18,322
60-89 days	447		81		312		695		97		4,098		9		337		6,076
90 days or greater	721		2,325		4,755		1,208		897		19,963		111		1,046		31,026
Total PCD	$	33,642	$	28,756	$	33,051	$	30,576	$	31,330	$	268,884	$	13,488	$	23,155	$	462,882
Total loans and leases	$	11,172,270	$	5,690,922	$	3,749,427	$	2,812,829	$	2,215,777	$	3,458,369	$	3,500,512	$	191,869	$	32,791,975

The following table provides information regarding loans pledged as collateral for borrowing capacity through the FHLB of Atlanta and the Federal Reserve Bank (“FRB”) as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021		December 31, 2020
FHLB of Atlanta
Lendable collateral value of pledged non-PCD loans	$	8,847,178	$	8,637,844
Less: Advances	648,671		652,675
Available borrowing capacity	$	8,198,507	$	7,985,169
Pledged non-PCD loans	$	12,327,626	$	12,157,153
FRB
Lendable collateral value of pledged non-PCD loans	$	3,367,466	$	3,321,762
Less: Advances	—		—
Available borrowing capacity	$	3,367,466	$	3,321,762
Pledged non-PCD loans	$	4,181,520	$	4,104,866

18

NOTE E - ALLOWANCE FOR CREDIT LOSSES

The ACL is calculated using a variety of factors, including, but not limited to, charge-off and recovery activity, loan growth, changes in macroeconomic factors, collateral type, estimated loan life and changes in credit quality. For the period ended March 31, 2021, the primary reason for the ACL change since December 31, 2020 was improvement in macroeconomic factors. Forecasted economic conditions are developed using third party macroeconomic scenarios adjusted based on management’s expectations over a forecast period of two years. For most pools, we use a 12-month straight-line reversion period to historical averages for model inputs; however for the consumer other, consumer card and commercial card pools, immediate reversion to historical net loss rates is utilized. Significant macroeconomic factors used in estimating the expected losses include unemployment, gross domestic product, home price index and commercial real estate index. Our ACL forecast considers a range of economic scenarios from an upside scenario to a severely adverse scenario, but the March 31, 2021 ACL forecast was calculated using the consensus baseline scenario. This scenario showed improvements in the most significant economic factors compared to what was used to generate the December 31, 2020 ACL. These loss estimates were also influenced by our strong credit quality, low net charge-offs and recent credit trends, which remained stable through the quarter ended March 31, 2021, despite potential impacts from COVID-19.

Activity in the ACL by portfolio segment is summarized as follows:

	Three months ended March 31, 2021
(Dollars in thousands)	Commercial		Consumer		PCD		Total
Balance at January 1	$	80,842	$	119,485	$	23,987	$	224,314
Provision (credit)	(3,922)		(5,504)		(1,548)		(10,974)
Charge-offs	(3,331)		(4,469)		(763)		(8,563)
Recoveries	1,275		3,340		1,259		5,874
Balance at March 31	$	74,864	$	112,852	$	22,935	$	210,651
	Three months ended March 31, 2020
(Dollars in thousands)	Commercial		Consumer		PCD		Total
Balance at December 31	$	142,369	$	75,236	$	7,536	$	225,141
Adoption of ASC 326	(87,554)		30,629		19,001		(37,924)
Balance at January 1	54,815		105,865		26,537		187,217
Provision (credit)	21,537		9,406		(2,588)		28,355
Initial allowance on PCD loans	—		—		1,193		1,193
Charge-offs	(5,369)		(7,769)		(1,123)		(14,261)
Recoveries	1,427		2,431		2,897		6,755
Balance at March 31	$	72,410	$	109,933	$	26,916	$	209,259

BancShares records an allowance for credit losses on unfunded commitments within other liabilities. Activity in the allowance for credit losses for unfunded commitments is summarized as follows:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Allowance for credit losses:
Beginning balance	$	12,814	$	1,055
Adoption of ASC 326	—		8,885
Adjusted beginning balance	$	12,814	$	9,940
Provision (credit)	(1,243)		572
Ending balance	11,571		10,512

BancShares individually reviews loans greater than $500 thousand that are determined to be collateral-dependent. These collateral-dependent loans are evaluated based on the fair value of the underlying collateral as repayment of the loan is expected to be made through the operation or sale of the collateral. Commercial and industrial loans and leases are collateralized by business assets, while the remaining loan classes are collateralized by real property.

19

The following table presents information on collateral-dependent loans by class and includes the amortized cost of collateral-dependent loans and leases, the net realizable value of the collateral, the extent to which collateral secures collateral-dependent loans and the associated ACL as of March 31, 2021 and December 31, 2020 were as follows:

	March 31, 2021
(Dollars in thousands)	Collateral-Dependant Loans		Net Realizable Value of Collateral		Collateral Coverage		Allowance for Credit Losses
Commercial loans:
Construction and land development	$	1,424	$	1,795	126.1	%	$	—
Owner occupied commercial mortgage	11,886		16,417		138.1		—
Non-owner occupied commercial mortgage	6,951		9,312		134.0		—
Commercial and industrial and leases	1,256		2,916		232.2		—
Total commercial loans	21,517		30,440		141.5		—
Consumer:
Residential mortgage	21,303		27,279		128.1		120
Revolving mortgage	1,385		1,724		124.5		—
Total consumer loans	22,688		29,003		127.8		120
PCD loans	20,361		35,016		172.0		—
Total collateral-dependent loans	$	64,566	$	94,459	146.3	%	$	120
	December 31, 2020
(Dollars in thousands)	Collateral-Dependant Loans		Net Realizable Value of Collateral		Collateral Coverage		Allowance for Credit Losses
Commercial loans:
Construction and land development	$	1,424	$	1,795	126.1	%	$	—
Owner occupied commercial mortgage	9,792		14,253		145.6		—
Non-owner occupied commercial mortgage	5,556		7,577		136.4		—
Total commercial loans	16,772		23,625		140.9		—
Consumer:
Residential mortgage	23,011		29,775		129.4		131
PCD loans	19,042		27,872		146.4		—
Total collateral-dependent loans	$	58,825	$	81,272	138.2	%	$	131

Collateral-dependent nonaccrual loans with no recorded allowance totaled $61.7 million and $57.5 million as of March 31, 2021 and December 31, 2020, respectively. All other nonaccrual loans have a recorded allowance.

Troubled Debt Restructurings

BancShares accounts for certain loan modifications or restructurings as troubled debt restructurings (“TDRs”). In general, the modification or restructuring of a loan is considered a TDR if, for economic or legal reasons related to a borrower’s financial difficulties, a concession is granted to the borrower that creditors would not otherwise consider. Concessions may relate to the contractual interest rate, maturity date, payment structure or other actions. Within BancShares’ ACL loss models, TDRs are not individually evaluated unless determined to be collateral-dependent. Consumer TDRs are included in the definition of default which provides for a 100% probability of default applied within the models. As a result, subsequent changes in credit quality metrics do not impact the calculation of the ACL on consumer TDRs. For commercial TDRs, the TDR distinction does impact the calculation of ACL, as the standard definition of default is utilized.

The Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus was published by banking regulators in April 2020 to clarify expectations around loan modifications and the determination of TDRs for borrowers experiencing financial difficulty due to COVID-19. BancShares applied this regulatory guidance during its TDR identification process for short-term loan forbearance agreements as a result of COVID-19 and in most cases did not record these as TDRs.

20

The following tables provides a summary of total TDRs by accrual status:

	March 31, 2021						December 31, 2020
(Dollars in thousands)	Accruing		Nonaccruing		Total		Accruing		Nonaccruing		Total
Commercial loans:
Construction and land development	$	529	$	41	$	570	$	578	$	54	$	632
Owner occupied commercial mortgage	38,969		9,986		48,955		37,574		10,889		48,463
Non-owner occupied commercial mortgage	20,541		1,335		21,876		18,336		1,649		19,985
Commercial and industrial and leases	30,956		6,551		37,507		29,131		3,528		32,659
Total commercial loans	90,995		17,913		108,908		85,619		16,120		101,739
Consumer:
Residential mortgage	25,323		20,802		46,125		29,458		19,380		48,838
Revolving mortgage	18,729		7,331		26,060		20,124		7,128		27,252
Construction and land development	1,501		9		1,510		1,573		9		1,582
Consumer auto	2,173		668		2,841		2,018		696		2,714
Consumer other	910		163		1,073		955		137		1,092
Total consumer loans	48,636		28,973		77,609		54,128		27,350		81,478
PCD loans	20,920		9,509		30,429		17,617		7,346		24,963
Total loans	$	160,551	$	56,395	$	216,946	$	157,364	$	50,816	$	208,180

The following table provides the types of modifications designated as TDRs during the three months ended March 31, 2021 and March 31, 2020, as well as a summary of loans modified as a TDR during the twelve-month periods ended March 31, 2021 and March 31, 2020 that subsequently defaulted during the three months ended March 31, 2021 and March 31, 2020. BancShares defines payment default as movement of the TDR to nonaccrual status, which is generally 90 days past due for TDRs, foreclosure or charge-off, whichever occurs first.

	Three months ended March 31, 2021						Three months ended March 31, 2020
	All restructurings			Restructurings with payment default			All restructurings			Restructurings with payment default
(Dollars in thousands)	Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end
Loans and leases
Interest only	6	$	6,947	2	$	42	10	$	3,986	—	$	—
Loan term extension	25	3,863		12	1,749		6	794		3	263
Below market interest rate	53	8,122		20	1,428		88	8,165		29	1,421
Discharged from bankruptcy	45	4,100		12	2,365		68	5,032		28	1,767
Total restructurings	129	$	23,032	46	$	5,584	172	$	17,977	60	$	3,451

For the three months ended March 31, 2021 and March 31, 2020, the pre-modification and post-modification outstanding amortized cost of loans modified as TDRs were not materially different.

21

NOTE F - OTHER REAL ESTATE OWNED

The following table explains changes in other real estate owned (“OREO”) during the three months ended March 31, 2021 and 2020:

(Dollars in thousands)	OREO
Balance at December 31, 2020	$	50,890
Additions	7,106
Sales	(8,102)
Write-downs/losses	(1,382)
Balance at March 31, 2021	$	48,512
Balance at December 31, 2019	$	46,591
Additions	5,987
Acquired in business combinations	9,813
Sales	(5,321)
Write-downs/losses	(1,363)
Balance at March 31, 2020	$	55,707

At March 31, 2021 and December 31, 2020, BancShares had $6.5 million and $5.8 million, respectively, of foreclosed residential real estate property in OREO. The recorded investment in consumer mortgage loans collateralized by residential real estate property in the process of foreclosure was $27.1 million and $29.4 million at March 31, 2021 and December 31, 2020, respectively. Net gains recorded on the sale of OREO properties were $1.8 million for the three months ended March 31, 2021. Net losses recorded on the sale of OREO properties were $0.1 million for the three months ended March 31, 2020.

NOTE G - MORTGAGE SERVICING RIGHTS

BancShares originates certain residential mortgages loans to sell in the secondary market. BancShares’ portfolio of residential mortgage loans serviced for third parties was $3.3 billion as of March 31, 2021 and December 31, 2020. These loans are originated and sold to third parties on a non-recourse basis with servicing rights retained. The retained servicing rights are recorded as a servicing asset and are reported in other intangible assets. The associated amortization expense and any valuation allowance recognized were included as a reduction of mortgage income. Mortgage servicing rights are initially recorded at fair value and then carried at the lower of amortized cost or fair value.

Contractually specified mortgage servicing fees, late fees and ancillary fees earned were $2.1 million for the three months ended March 31, 2021 and 2020, and are reported in mortgage income.

The following table presents changes in the servicing asset during the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Beginning balance	$	18,426	$	22,963
Servicing rights originated	3,444		1,583
Amortization	(2,248)		(1,823)
Valuation allowance decrease (increase)	3,123		(2,967)
Ending balance	$	22,745	$	19,756

The following table presents the activity in the servicing asset valuation allowance for the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Beginning balance	$	4,365	$	222
Valuation allowance (decrease) increase	(3,123)		2,967
Ending balance	$	1,242	$	3,189

22

Mortgage servicing rights valuations are performed using a pooling methodology where loans with similar risk characteristics are grouped together and evaluated using discounted cash flows to estimate the present value of future earnings. Key economic assumptions used to value mortgage servicing rights were as follows:

	March 31, 2021			December 31, 2020
Discount rate - conventional fixed loans	8.74		%	7.92		%
Discount rate - all loans excluding conventional fixed loans	9.74		%	8.92		%
Weighted average constant prepayment rate	16.54		%	20.62		%
Weighted average cost to service a loan	$	87.58		$	87.58

The fair value of mortgage servicing rights is sensitive to changes in assumptions and is determined by estimating the present value of the asset’s future cash flows by utilizing discount rates, prepayment rates, and other inputs. The discount rate is based on the 10-year U.S. Treasury rate plus a risk premium of 700 basis points for conventional fixed loans and 800 basis points for all other loans. The prepayment rate is derived from the Public Securities Association Standard Prepayment model. Generally, as interest rates decline, mortgage loan prepayments accelerate due to increased refinance activity, which results in a decrease in the fair value and may result in the recognition of a valuation allowance. The average cost to service a loan is based on the number of loans serviced and the total cost to service the loans.

NOTE H - REPURCHASE AGREEMENTS

BancShares utilizes securities sold under agreements to repurchase to facilitate the needs of customers and secure wholesale funding needs. Repurchase agreements are transactions whereby BancShares offers to sell to a counterparty an undivided interest in an eligible security at an agreed upon price, and which obligates BancShares to repurchase the security at an agreed upon date, repurchase price, and interest rate. These agreements are recorded at the amount of cash received in connection with the transaction and are reflected as securities sold under customer repurchase agreements.

BancShares monitors collateral levels on a continuous basis and maintains records of each transaction specifically describing the applicable security and the counterparty’s interest in that security, and segregates the security from general assets in accordance with regulations governing custodial holdings of securities. The primary risk with repurchase agreements is market risk associated with the investments securing the transactions, as additional collateral may be required based on fair value changes of the underlying investments. Securities pledged as collateral under repurchase agreements are maintained with safekeeping agents. The carrying value of investment securities pledged as collateral under repurchase agreements was $685.6 million and $689.3 million at March 31, 2021 and December 31, 2020, respectively.

At March 31, 2021, BancShares held $680.7 million of securities sold under agreements to repurchase, with overnight and continuous remaining contractual maturities, made up of $485.8 million collateralized by government agency securities and $194.9 million collateralized by commercial mortgage-backed securities. At December 31, 2020, BancShares held securities sold under agreements to repurchase of $641.5 million, with overnight and continuous remaining contractual maturities, made up of $432.8 million collateralized by government agency securities and $208.7 million collateralized by commercial mortgage-backed securities.

NOTE I - FDIC SHARED-LOSS PAYABLE

For certain FDIC-assisted transactions, the shared-loss agreement included a provision related to a payment owed to the FDIC at the termination of the agreement. As of March 31, 2021, these agreements have been satisfied following a $16.1 million payment made to the FDIC related to the final active agreement.

The following table provides changes in the FDIC shared-loss payable since December 31, 2020:

(Dollars in thousands)	Total
Balance at December 31, 2020	$	15,601
Accretion	502
Payment made to the FDIC to settle shared-loss agreement	(16,103)
Balance at March 31, 2021	$	—

23

NOTE J - ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME

Accumulated other comprehensive (loss) income included the following as of March 31, 2021 and December 31, 2020:

	March 31, 2021						December 31, 2020
(Dollars in thousands)	Accumulated other comprehensive income (loss)		Deferred tax expense (benefit)		Accumulated other comprehensive income (loss), net of tax		Accumulated other comprehensive income (loss)		Deferred tax expense (benefit)		Accumulated other comprehensive income (loss), net of tax
Unrealized gains on securities available for sale	$	36,570	$	8,411	$	28,159	$	102,278	$	23,524	$	78,754
Unrealized gains on securities available for sale transferred from (to) held to maturity	4,924		1,133		3,791		5,399		1,242		4,157
Defined benefit pension items	(85,222)		(19,601)		(65,621)		(91,751)		(21,103)		(70,648)
Total	$	(43,728)	$	(10,057)	$	(33,671)	$	15,926	$	3,663	$	12,263

The following table highlights changes in accumulated other comprehensive (loss) income by component for the three months ended March 31, 2021 and 2020:

	Three months ended March 31, 2021
(Dollars in thousands, net of tax)	Unrealized gains on securities available for sale		Unrealized gains on securities available for sale transferred to held to maturity		Defined benefit pension items		Total
Beginning balance	$	78,754	$	4,157	$	(70,648)	$	12,263
Net unrealized losses arising during period	(43,506)		—		—		(43,506)
Amounts reclassified from accumulated other comprehensive income	(7,089)		(366)		5,027		(2,428)
Net current period other comprehensive (loss) income	(50,595)		(366)		5,027		(45,934)
Ending balance	$	28,159	$	3,791	$	(65,621)	$	(33,671)
	Three months ended March 31, 2020
(Dollars in thousands, net of tax)	Unrealized gains on securities available for sale		Unrealized gains on securities available for sale transferred to held to maturity		Defined benefit pension items		Total
Beginning balance	$	5,792	$	—	$	(132,515)	$	(126,723)
Net unrealized gains arising during period	111,530		—		—		111,530
Amounts reclassified from accumulated other comprehensive loss	(15,242)		—		4,823		(10,419)
Net current period other comprehensive income	96,288		—		4,823		101,111
Ending balance	$	102,080	$	—	$	(127,692)	$	(25,612)

24

The following table presents the amounts reclassified from accumulated other comprehensive (loss) income and the line item affected in the statement where net income is presented for the three and three months ended March 31, 2021 and 2020:

(Dollars in thousands)	Three months ended March 31, 2021
Details about accumulated other comprehensive income (loss)	Amounts reclassified from accumulated other comprehensive income (loss)		Affected line item in the statement where net income is presented
Unrealized gains on securities available for sale	$	9,207	Realized gains on investment securities available for sale, net
	(2,118)		Income taxes
	$	7,089
Accretion of unrealized gains on securities available for sale transferred to held to maturity	$	475	Net interest income
	(109)		Income taxes
	$	366
Amortization of defined benefit pension actuarial losses	(6,529)		Other noninterest expense
	1,502		Income taxes
	$	(5,027)
Total reclassifications for the period	$	2,428
(Dollars in thousands)	Three months ended March 31, 2020
Details about accumulated other comprehensive income (loss)	Amounts reclassified from accumulated other comprehensive income (loss)		Affected line item in the statement where net income is presented
Unrealized gains on securities available for sale	$	19,795	Realized gains on investment securities available for sale, net
	(4,553)		Income taxes
	$	15,242
Amortization of defined benefit pension actuarial losses	(6,264)		Other noninterest expense
	1,441		Income taxes
	$	(4,823)
Total reclassifications for the period	$	10,419

NOTE K - ESTIMATED FAIR VALUES

Fair value estimates are intended to represent the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. Where there is no active market for a financial instrument, BancShares has made estimates using discounted cash flows or other valuation techniques. Inputs used in these valuation techniques are subjective in nature, involve uncertainties and require significant judgment and therefore can only be derived within a range of precision. Accordingly, the derived fair value estimates presented below are not necessarily indicative of the amounts BancShares would realize in a current market exchange.

ASC 820, Fair Value Measurements and Disclosures, indicates that assets and liabilities are recorded at fair value according to a fair value hierarchy comprised of three levels. The levels are based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. The level within the fair value hierarchy for an asset or liability is based on the highest level of input that is significant to the fair value measurement (with Level 1 considered highest and Level 3 considered lowest). A brief description of each level follows:

•Level 1 values are based on quoted prices for identical instruments in active markets.

•Level 2 values are based on quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market.

•Level 3 values are derived from valuation techniques in which one or more significant inputs or assumptions are not observable in the market. These unobservable inputs and assumptions reflect estimates that market participants would use in pricing the asset or liability. Valuation techniques include the use of discounted cash flow models and similar techniques.

BancShares’ management reviews any changes to its valuation methodologies to ensure they are appropriate and supportable, and refines valuation methodologies as more market-based data becomes available. Accuracy of the levels of the fair value hierarchy are validated and transfers between levels of the fair value hierarchy are recognized at the end of the reporting period.

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The methodologies used to estimate the fair value of financial assets and financial liabilities are discussed below:

Investment securities available for sale and held to maturity. The fair value of U.S. Treasury, government agency and mortgage-backed securities, municipal securities, as well as a portion of corporate bonds, is generally estimated using a third party pricing service. The third party provider evaluates securities based on comparable investments with trades and market data and will utilize pricing models that use a variety of inputs, such as benchmark yields, reported trades, broker-dealer quotes, issuer spreads, benchmark securities, bids and offers as needed. These securities are generally classified as Level 2. The remaining corporate bonds held are generally measured at fair value based on indicative bids from broker-dealers which are unadjusted and are not directly observable. These securities are considered Level 3.

Investment in marketable equity securities. Equity securities are measured at fair value using observable closing prices and the market activity. Equity securities are classified as Level 1 if they are traded in an active market and as Level 2 if the observable closing price is from a less than active market.

Loans held for sale. Management elects the fair value option on certain residential real estate loans originated to be sold to investors. The loans are carried at fair value based on quoted market prices for similar types of loans. Accordingly, the inputs used to calculate fair value of originated residential real estate loans held for sale are classified as Level 2 inputs. Loans held for investment subsequently transferred to held for sale are carried at fair value when a firm commitment to purchase from a counterparty exists. The fair value of the transferred loans is based on the quoted prices and is considered a Level 1 input.

Net loans and leases. Fair value is estimated based on discounted future cash flows using the current interest rates at which loans with similar terms would be made to borrowers of similar credit quality. The inputs used in the fair value measurements for loans and leases are considered Level 3 inputs.

FHLB stock. The carrying amount of FHLB stock is a reasonable estimate of fair value as these securities are not readily marketable and are evaluated for impairment based on the ultimate recoverability of the par value. BancShares considers positive and negative evidence, including the profitability and asset quality of the issuer, dividend payment history and recent redemption experience, when determining the ultimate recoverability of the par value. BancShares believes its investment in FHLB stock is ultimately recoverable at par. The inputs used in the fair value measurement for the FHLB stock are considered Level 2 inputs.

Mortgage and other servicing rights. Mortgage and other servicing rights are carried at the lower of amortized cost or market value and are, therefore, carried at fair value only when fair value is less than the amortized cost. The fair value of mortgage and other servicing rights is performed using a pooling methodology. Similar loans are pooled together and a model that relies on discount rates, estimates of prepayment rates and the weighted average cost to service the loans is used to determine the fair value. The inputs used in the fair value measurement for mortgage and other servicing rights are considered Level 3 inputs.

Deposits. For non-time deposits, carrying value is a reasonable estimate of fair value. The fair value of time deposits is estimated by discounting future cash flows using the interest rates currently offered for deposits with similar remaining maturities. The inputs used in the fair value measurement for deposits are considered Level 2 inputs.    

Borrowings. For borrowings, the fair values are determined based on recent trades or sales of the actual security if available. Otherwise, fair values are estimated by discounting future cash flows using current interest rates for similar financial instruments. The inputs used in the fair value measurement for FHLB borrowings, subordinated debentures, and other borrowings are considered Level 2 inputs.

Payable to the FDIC for shared-loss agreements. The fair value of the payable to the FDIC for shared-loss agreements was determined based on payments to the FDIC in accordance with the shared-loss agreements. Cash flows were discounted using current discount rates to reflect the timing of the estimated amounts due to the FDIC. The inputs used in the fair value measurement for the payable to the FDIC were considered Level 3 inputs.

Off-balance-sheet commitments and contingencies. Carrying amounts are reasonable estimates of the fair values for such financial instruments. Carrying amounts include unamortized fee income and, in some cases, reserves for any credit losses from those financial instruments. These amounts are not material to BancShares’ financial position.

For all other financial assets and liabilities, the carrying value is a reasonable estimate of the fair value as of March 31, 2021 and December 31, 2020. The carrying value and fair value for these assets and liabilities are equivalent because they are relatively short term in nature and there is no interest rate or credit risk that would cause the fair value to differ from the carrying value. Cash and due from banks is classified on the fair value hierarchy as Level 1. Overnight investments, income earned not collected, securities sold under customer repurchase agreements, and accrued interest payable are considered Level 2.

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The table presents the carrying values and estimated fair values for financial instruments as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021				December 31, 2020
	Carrying value		Fair value		Carrying value		Fair value
Assets
Cash and due from banks	$	410,495	$	410,495	$	362,048	$	362,048
Overnight investments	7,588,757		7,588,757		4,347,336		4,347,336
Investment in marketable equity securities	106,886		106,886		91,680		91,680
Investment securities available for sale	7,307,122		7,307,122		7,014,243		7,014,243
Investment securities held to maturity	2,808,099		2,774,982		2,816,982		2,838,499
Loans held for sale	129,334		129,334		124,837		124,837
Net loans and leases	32,970,200		33,202,437		32,567,661		33,298,166
Income earned not collected	148,022		148,022		145,694		145,694
Federal Home Loan Bank stock	40,563		40,563		45,392		45,392
Mortgage and other servicing rights	23,728		24,322		19,628		20,283
Liabilities
Deposits with no stated maturity	44,601,552		44,601,552		40,542,596		40,542,596
Time deposits	2,729,445		2,738,244		2,889,013		2,905,577
Securities sold under customer repurchase agreements	680,705		680,705		641,487		641,487
Federal Home Loan Bank borrowings	648,671		664,996		655,175		677,579
Subordinated debt	497,153		517,091		504,518		525,610
Other borrowings	84,502		85,067		88,470		89,263
FDIC shared-loss payable	—		—		15,601		15,843
Accrued interest payable	5,149		5,149		9,414		9,414

For assets and liabilities carried at fair value on a recurring basis, the following table provides fair value information as of March 31, 2021 and December 31, 2020:

	March 31, 2021
			Fair value measurements using:
(Dollars in thousands)	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Assets measured at fair value
Investment securities available for sale
Government agency	$	846,686	$	—	$	846,686	$	—
Residential mortgage-backed securities	4,758,589		—		4,758,589		—
Commercial mortgage-backed securities	1,098,987		—		1,098,987		—
Corporate bonds	602,860		—		284,744		318,116
Total investment securities available for sale	$	7,307,122	$	—	$	6,989,006	$	318,116
Marketable equity securities	$	106,886	$	43,677	$	63,209	$	—
Loans held for sale	$	129,334	$	—	$	129,334	$	—
	December 31, 2020
			Fair value measurements using:
	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Assets measured at fair value
Investment securities available for sale
U.S. Treasury	$	499,933	$	—	$	499,933	$	—
Government agency	701,391		—		701,391		—
Residential mortgage-backed securities	4,438,103		—		4,438,103		—
Commercial mortgage-backed securities	771,537		—		771,537		—
Corporate bonds	603,279		—		286,655		316,624
Total investment securities available for sale	$	7,014,243	$	—	$	6,697,619	$	316,624
Marketable equity securities	$	91,680	$	32,855	$	58,825	$	—
Loans held for sale	$	124,837	$	—	$	124,837	$	—

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The following tables summarize activity for Level 3 assets:

	Corporate bonds
	Three months ended March 31
(Dollars in thousands)	2021		2020
Beginning balance	$	316,624	$	69,685
Unrealized net losses (gains) included in other comprehensive income	2,333		(4,366)
Amounts included in net income	(91)		(85)
Transfers in	—		1,782
Sales / Calls	(750)		—
Ending balance	$	318,116	$	67,016

During the three months ended March 31, 2021, there were no transfers between levels. During the three months ended March 31, 2020, there were transfers from Level 2 to Level 3 of $1.8 million. The transfers were due to a lack of observable inputs and trade activity for those securities.

The following table presents quantitative information about Level 3 fair value measurements for fair value on a recurring basis at March 31, 2021:

(Dollars in thousands)			March 31, 2021
Level 3 assets	Valuation technique	Significant unobservable input	Fair Value
Corporate bonds	Indicative bid provided by broker	Multiple factors, including but not limited to, current operations, financial condition, cash flows, and recently executed financing transactions related to the issuer	$	318,116

Fair Value Option

BancShares has elected the fair value option for residential real estate loans originated to be sold. This election reduces certain timing differences in the Consolidated Statement of Income and better aligns with the management of the portfolio from a business perspective. The changes in fair value were recorded as a component of mortgage income and included a loss of $2.7 million and a gain of $1.2 million for the three months ended March 31, 2021 and 2020, respectively. Interest earned on loans held for sale is recorded within interest income on loans and leases in the consolidated statements of income.

The following table summarizes the difference between the aggregate fair value and the aggregate unpaid principal balance for residential real estate originated for sale measured at fair value as of March 31, 2021 and December 31, 2020:

	March 31, 2021
(Dollars in thousands)	Fair value		Aggregate unpaid principal balance		Difference
Originated loans held for sale	$	129,334	$	126,113	$	3,221
	December 31, 2020
	Fair value		Aggregate unpaid principal balance		Difference
Originated loans held for sale	$	124,837	$	118,902	$	5,935

No originated loans held for sale were 90 or more days past due or on nonaccrual status as of March 31, 2021 or December 31, 2020.

We may be required to measure certain financial assets at fair value on a nonrecurring basis. These adjustments to fair value usually result from the application of lower of amortized cost or fair value accounting or write-downs of individual assets due to impairment.

The population of loans measured at fair value on a non-recurring basis is limited to collateral-dependent loans evaluated individually. These collateral-dependent loans are deemed to be at fair value if there is an associated ACL or if a charge-off has been recorded in the previous 12 months. Collateral values are determined using appraisals or other third-party value estimates of the subject property discounted based on estimated selling costs, generally between 6% and 10%, and immaterial adjustments for other external factors that may impact the marketability of the collateral. The weighted average discount for estimated selling costs applied was 6.81%.

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OREO acquired or written down within the previous 12 months is deemed to be at fair value. Asset valuations are determined by using appraisals or other third-party value estimates of the subject property with discounts generally between 6% and 15% applied for estimated selling costs and other external factors that may impact the marketability of the property. At March 31, 2021, the weighted average discount applied was 8.76%. Changes to the value of the assets between scheduled valuation dates are monitored through continued communication with brokers and monthly reviews by the asset manager assigned to each asset. If there are any significant changes in the market or the subject property, valuations are adjusted or new appraisals ordered to ensure the reported values reflect the most current information.

For financial assets and liabilities carried at fair value on a nonrecurring basis, the following table provides fair value information as of March 31, 2021 and December 31, 2020:

	March 31, 2021
			Fair value measurements using:
(Dollars in thousands)	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Collateral-dependent loans	$	10,247	$	—	$	—	$	10,247
Other real estate owned	36,642		—		—		36,642
Mortgage servicing rights	20,409		—		—		20,409
	December 31, 2020
			Fair value measurements using:
	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Collateral-dependent loans	$	11,779	$	—	$	—	$	11,779
Other real estate owned	40,115		—		—		40,115
Mortgage servicing rights	16,966		—		—		16,966

No financial liabilities were carried at fair value on a nonrecurring basis as of March 31, 2021 and December 31, 2020.

NOTE L - EMPLOYEE BENEFIT PLANS

BancShares sponsors noncontributory defined benefit pension plans for its qualifying employees. The service cost component of net periodic benefit cost is included in salaries and wages while all other non-service cost components are included in other noninterest expense.

For the three months ended March 31, 2021 and 2020, the components of net periodic benefit cost are as follows:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Service cost	$	3,653	$	3,457
Interest cost	7,404		8,531
Expected return on assets	(19,595)		(16,409)
Amortization of net actuarial loss	6,529		6,264
Net periodic (benefit) cost	$	(2,009)	$	1,843

No discretionary contribution was made to the pension plans during the three months ended March 31, 2021. The funding policy of the pension plans is to contribute an amount each year to meet all Employee Retirement Income Security Act minimum requirements, including amounts to meet quarterly funding requirements, avoid “at-risk” status and avoid any benefit restrictions. BancShares may also contribute additional voluntary amounts each year (up to the maximum tax-deductible amount) in order to achieve certain target funding levels in the plans, with consideration also given to current and future cash flow and tax positions. No contributions are currently expected for the year ending December 31, 2021.

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NOTE M - LEASES

The following table presents right-of-use lease assets and liabilities as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	Classification	March 31, 2021		December 31, 2020
Assets:
Operating	Other assets	$	65,330	$	68,048
Finance	Premises and equipment	5,936		6,478
Total leased assets		$	71,266	$	74,526
Liabilities:
Operating	Other liabilities	$	65,841	$	68,343
Finance	Other borrowings	5,915		6,308
Total lease liabilities		$	71,756	$	74,651

NOTE N - COMMITMENTS AND CONTINGENCIES

To meet the financing needs of its customers, BancShares and its subsidiaries have financial instruments with off-balance sheet risk. These financial instruments involve elements of credit, interest rate or liquidity risk and include commitments to extend credit and standby letters of credit.

Commitments to extend credit are legally binding agreements to lend to customers. These commitments generally have fixed expiration dates or other termination clauses and may require payment of fees. Since many of these commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future liquidity requirements. Established credit standards control the credit risk exposure associated with these commitments. In some cases, BancShares requires collateral be pledged to secure the commitment, including cash deposits, securities and other assets.

Standby letters of credit are commitments guaranteeing performance of a customer to a third party. Those commitments are primarily issued to support public and private borrowing arrangements. To mitigate its risk, BancShares’ credit policies govern the issuance of standby letters of credit. The credit risk related to the issuance of these letters of credit is essentially the same as in extending loans to clients and, therefore, these letters of credit are collateralized when necessary.

The following table presents the commitments to extend credit and standby letters of credit as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021		December 31, 2020
Unused commitments to extend credit	$	12,126,186	$	12,098,417
Standby letters of credit	139,572		129,819

BancShares has investments in qualified affordable housing projects primarily for the purposes of fulfilling Community Reinvestment Act requirements and obtaining tax credits. Affordable housing project investments were $162.4 million and $163.9 million as of March 31, 2021 and December 31, 2020, respectively, and were recorded in other assets. Unfunded commitments to fund future investments in affordable housing projects totaled $49.7 million and $53.7 million as of March 31, 2021 and December 31, 2020, respectively, and were recorded in other liabilities.

BancShares and various subsidiaries have been named as defendants in legal actions arising from their normal business activities in which damages in various amounts were claimed. BancShares has also been exposed to litigation risk relating to the prior business activities of banks from which assets were acquired and liabilities assumed in the various merger transactions. Although the amount of any ultimate liability with respect to such matters cannot be determined, in the opinion of management, any such liability will not have a material effect on BancShares’ consolidated financial statements.

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Item 2.Management’s Discussion and Analysis of Financial Condition and Results of Operations

Management’s discussion and analysis (“MD&A”) of earnings and related financial data are presented to assist in understanding the financial condition and results of operations of First Citizens BancShares, Inc. and Subsidiaries (“BancShares”). This discussion and analysis should be read in conjunction with the unaudited consolidated financial statements and related notes presented within this Quarterly Report on Form 10-Q along with our financial statements and related MD&A of financial condition and results of operations included in our 2020 Annual Report on Form 10-K. Intercompany accounts and transactions have been eliminated. Although certain amounts for prior years have been reclassified to conform to statement presentations for 2021, the reclassifications had no effect on shareholders’ equity or net income as previously reported. Unless otherwise noted, the terms “we,” “us” and “BancShares” refer to the consolidated financial position and consolidated results of operations for BancShares.

EXECUTIVE OVERVIEW

BancShares conducts its banking operations through its wholly-owned subsidiary First-Citizens Bank & Trust Company (“FCB”), a state-chartered bank organized under the laws of the state of North Carolina.

BancShares’ earnings and cash flows are primarily derived from our commercial and retail banking activities. We gather deposits from retail and commercial customers and also secure funding through various non-deposit sources. We invest the liquidity generated from these funding sources in interest-earning assets, including loans and leases, investment securities and overnight investments. We also invest in bank premises, hardware, software, furniture and equipment used to conduct our commercial and retail banking business. We provide treasury services products, cardholder and merchant services, wealth management services and various other products and services typically offered by commercial banks. The fees and service charges generated from these products and services are primary sources of noninterest income which is an essential component of our total revenue.

We are focused on expanding our position in legacy and target markets through organic growth and strategic acquisitions. We believe our franchise is positioned for continued growth as a result of our client centric banking principles, disciplined lending standards, and our people.

Refer to our 2020 Annual Report on Form 10-K for further discussion of our strategy.

RECENT ECONOMIC AND INDUSTRY DEVELOPMENTS

During the first quarter of 2020, a novel strain of coronavirus (“COVID-19”) spread throughout the world, causing significant disruptions to the domestic and global economies which continue to date. In response to the outbreak, governments imposed restrictions resulting in business shutdowns, regional quarantines, disruptions of supply chains, changes in consumer behavior and overall economic instability. This uncertainty led to volatility in the financial markets. This impact was coupled with spikes in unemployment as a result of business shutdowns that continue to impact financial institutions operationally and financially. Vaccine distribution and other factors have improved the economic outlook, but uncertainty remains.

During the first quarter of 2021, the Federal Reserve’s Federal Open Market Committee (“FOMC”) maintained the federal funds rate at a target range of 0.00% to 0.25%. The FOMC cited the effects of COVID-19 on economic activity and the risks posed to the economic outlook. The FOMC expects to maintain this target range until labor market conditions have reached levels consistent with the FOMC’s assessments of maximum employment and inflation has risen to 2% and is on track to moderately exceed 2% for some time.

On March 27, 2020, the Coronavirus Aid Relief and Economic Security Act (the “CARES Act”) was passed. The bill was designed to provide short-term economic relief to individuals and businesses most impacted by the fallout of the pandemic. Key provisions include: for individuals, economic impact payments and enhanced unemployment benefits; for small businesses, access to loans and support through the Small Business Administration Paycheck Protection Program (“SBA-PPP”), direct aid and loans to the medical industry and other affected sectors, and certain tax benefits that can be used in conjunction with the other aid mentioned. While direct aid to financial services entities is not a primary goal of the provisions, financial institutions will function to transmit funds from the Federal Reserve, SBA and United States (“U.S.”) Treasury to the public. This was supplemented by the Paycheck Protection Program Flexibility Act, which was signed into law on June 5, 2020, and amended provisions of the SBA-PPP including timing of the program and changes to forgiveness criteria. In addition, there were other regulatory actions taken that may impact our business including changes in credit reporting on customer forbearance, federally backed mortgage forbearance, potential legal lending limit relaxation and other economic stabilization efforts.

The Consolidated Apportions Act 2021 was signed into law during the fourth quarter of 2020 and contained provisions for a second round of funding of SBA-PPP loans.

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BANCSHARES’ COVID-19 CONTINUED MONITORING AND RESPONSE

BancShares remains dedicated to serving our customers and communities through the COVID-19 crisis. Our branches have re-opened with enhanced safety protocols and our corporate locations remain at limited occupancy as we navigate the challenges of COVID-19.

During the first quarter of 2021 in the second round of SBA-PPP, BancShares originated approximately 9,600 SBA-PPP loans totaling $1.1 billion. We recorded $30.9 million of interest and fee income related to SBA-PPP loans for the quarter. As of March 31, 2021, remaining net deferred fees on SBA-PPP loans were $66.7 million.

With respect to the first round of SBA-PPP, we began accepting and processing applications for forgiveness during the third quarter of 2020. We have received approximately 12,000 forgiveness decisions from the SBA to date, representing over $1.4 billion in forgiveness payments. BancShares originated approximately 23,000 loans during round one totaling $3.2 billion.

Through March 31, 2021, approximately 98% of all COVID-19 related loan extensions have begun repayment. Delinquency trends among loans entering repayment are in line with the remainder of the portfolio, and we have not seen significant declines in overall credit quality.

During 2020, we recorded a $36.1 million reserve build due to uncertainty surrounding COVID-19 and its potential impact on our credit portfolio. Improved macroeconomic factors used as inputs into our ACL models and continued low net charge-offs during the first quarter of 2021 resulted in a provision credit of $11.0 million driven primarily by a $13.7 million reserve release during the quarter.

Table 1 provides a breakdown of the $2.8 billion of SBA-PPP loans outstanding by loan size as of March 31, 2021.

Table 1

SBA-PPP LOANS BY LOAN SIZE

(Dollars in thousands)
Loan Size	$ of Loans		% of Loans $
Less than $150,000	$	793,559	28.7	%
$150,000 to $2,000,000	1,465,863		52.9
Greater than $2,000,000	510,484		18.4
Total	$	2,769,906	100.0	%

We began accepting and processing applications for forgiveness during the third quarter of 2020. Table 2 represents the forgiveness status of SBA-PPP loans as of March 31, 2021.

Table 2

SBA-PPP LOAN FORGIVENESS STATUS

(Dollars in thousands)
Forgiveness Status	$ of Loans		% of Round 1 Total
Received by FCB	$	2,222,139	69.2	%
Submitted to SBA	2,099,988		65.4
Approved by SBA	1,458,983		45.4
Funds Received	1,410,441		43.9

SIGNIFICANT EVENTS IN 2021

On October 15, 2020, BancShares and CIT Group Inc., a Delaware corporation (“CIT”), entered into an Agreement and Plan of Merger (the “Merger Agreement”) by and among BancShares, FCB, FC Merger Subsidiary IX, Inc., a direct, wholly owned subsidiary of FCB (“Merger Sub”), and CIT, the parent company of CIT Bank, N.A., a national banking association (“CIT Bank”). Pursuant to the terms and subject to the conditions set forth in the Merger Agreement, Merger Sub will merge with and into CIT, with CIT as the surviving entity (the “First-Step Merger”), and as soon as reasonably practicable following the effective time of the First-Step Merger, CIT will merge with and into FCB, with FCB as the surviving entity (together with the First-Step Merger, the “Mergers”). The Merger Agreement further provides that immediately following the consummation of the Mergers, CIT Bank will merge with and into FCB, with FCB as the surviving bank (together with the Mergers, the “Transaction”).

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The Merger Agreement was unanimously approved by the Board of Directors of each of BancShares and CIT. The Transaction was approved by the North Carolina Commissioner of Banks on February 5, 2021, as well as the shareholders of both companies on February 9, 2021. We are continuing to work with other regulators on remaining approvals and anticipate closing in mid-2021 subject to the satisfaction of customary closing conditions.

Upon the terms and subject to the conditions set forth in the Merger Agreement, at the effective time of the First-Step Merger (the “Effective Time”), each share of CIT common stock, par value $0.01 per share, issued and outstanding immediately prior to the Effective Time (“CIT Common Stock”), except for certain shares of CIT Common Stock owned by CIT or BancShares, will be converted into the right to receive 0.06200 shares of BancShares Class A common stock, par value $1.00 per share. Holders of CIT Common Stock will receive cash in lieu of fractional shares.

In addition, at the Effective Time, each share of Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A, par value $0.01 per share, of CIT and 5.625% Non-Cumulative Perpetual Preferred Stock, Series B, par value $0.01 per share, of CIT issued and outstanding will automatically be converted into the right to receive one share of a newly created series of preferred stock, Series B, of BancShares and one share of a newly created series of preferred stock, Series C, of BancShares, respectively.

The Merger Agreement requires that, effective as of the Effective Time, the Boards of Directors of the combined company and the combined bank will consist of 14 directors, (i) 11 of whom will be members of the current Board of Directors of BancShares, and (ii) three of whom will be selected from among the current Board of Directors of CIT and will include as one of those three Ellen R. Alemany, Chairwoman and Chief Executive Officer of CIT. We intend to appoint Michael A. Carpenter and Vice Admiral John R. Ryan, USN (Ret.), as the two other members from CIT’s current Board of Directors who will join the Boards of Directors of the combined company and the combined bank.

FINANCIAL PERFORMANCE SUMMARY

First Quarter Highlights

•Net income for the first quarter of 2021 was $147.3 million, an increase of $90.1 million, or 157.7% compared to the same quarter in 2020. Net income available to common shareholders totaled $142.7 million for the first quarter of 2021. Net income per common share increased $9.07, or 166.1%, to $14.53 in the first quarter of 2021, from $5.46 per share during the same quarter in 2020.

•Return on average assets for the first quarter of 2021 was 1.16%, up from 0.57% in the first quarter of 2020. Return on average equity for the first quarter of 2021 was 14.70%, up from 6.34% during the same quarter of 2020.

•Net interest income was $339.7 million for the first quarter of 2021, an increase of $1.3 million, or 0.4% compared to the same quarter in 2020. This was primarily due to interest and fee income on SBA-PPP loans, organic loan growth and lower rates paid on interest-bearing deposits, partially offset by a decline in the yield on interest-earning assets. SBA-PPP loans contributed $30.9 million in interest and fee income during the quarter. The taxable-equivalent net interest margin (“NIM”) was 2.80% for the first quarter of 2021, a decrease of 75 basis points from 3.55% for the first quarter in 2020.

•Noninterest income was $136.6 million for the first quarter of 2021 , an increase of $72.6 million, or 113.5%, compared to $64.0 million for the same quarter of 2020.

•Noninterest expense was $295.9 million for the first quarter of 2021, a decrease of $4.0 million or by 1.3% compared to the same quarter of 2020,

•Total loans grew to $33.2 billion, an increase of $388.9 million, or by 4.8% on an annualized basis, since December 31, 2020. Excluding loans originated under the SBA-PPP, total loans increased $25.3 million, or by 0.3% on an annualized basis, since December 31, 2020. The net charge-off ratio was 0.03% for the first quarter of 2021, down from 0.06% for the fourth quarter of 2020 and 0.10% for the first quarter of 2020.

•Total deposits grew to $47.3 billion, an increase of $3.9 billion, or by 36.4% on an annualized basis, since December 31, 2020.

•At March 31, 2021, BancShares remained well capitalized with a total risk-based capital ratio of 14.1%, a Tier 1 risk-based capital of 12.0%, a common equity Tier 1 ratio of 11.0% and a leverage ratio of 7.8%.

33

Table 3

SELECTED QUARTERLY DATA

	2021			2020
	First			Fourth			Third			Second			First
(Dollars in thousands, except share data)	Quarter			Quarter			Quarter			Quarter			Quarter
SUMMARY OF OPERATIONS
Interest income	$	355,323		$	376,876		$	374,334		$	363,257		$	369,559
Interest expense	15,671			18,160			20,675			25,863			31,159
Net interest income	339,652			358,716			353,659			337,394			338,400
Provision (credit) for credit losses	(10,974)			5,403			4,042			20,552			28,355
Net interest income after provision for credit losses	350,626			353,313			349,617			316,842			310,045
Noninterest income	136,649			126,765			120,572			165,402			64,011
Noninterest expense	295,926			305,373			291,662			291,679			299,971
Income before income taxes	191,349			174,705			178,527			190,565			74,085
Income taxes	44,033			36,621			35,843			36,779			16,916
Net income	147,316			138,084			142,684			153,786			57,169
Net income available to common shareholders	$	142,680		$	133,448		$	138,048		$	148,996		$	57,169
Net interest income, taxable equivalent	$	340,271		$	359,370		$	354,256		$	337,965		$	339,174
PER COMMON SHARE DATA
Net income	$	14.53		$	13.59		$	14.03		$	14.74		$	5.46
Cash dividends on common shares	0.47			0.47			0.40			0.40			0.40
Market price at period end (Class A)	835.77			574.27			318.78			405.02			332.87
Book value at period-end	405.59			396.21			380.43			367.57			351.90
SELECTED QUARTERLY AVERAGE BALANCES
Total assets	$	51,409,634		$	49,557,803		$	48,262,155		$	45,553,502		$	40,648,806
Investment securities	9,757,650			9,889,124			9,930,197			8,928,467			7,453,159
Loans and leases (1)	33,086,656			32,964,390			32,694,996			31,635,958			29,098,101
Interest-earning assets	48,715,279			46,922,823			45,617,376			42,795,781			38,004,341
Deposits	44,858,198			43,123,312			41,905,844			39,146,415			34,750,061
Interest-bearing liabilities	27,898,525			26,401,222			25,591,707			24,407,285			23,153,777
Securities sold under customer repurchase agreements	641,236			684,311			710,237			659,244			474,231
Other short-term borrowings	—			—			—			45,549			157,759
Long-term borrowings	1,235,576			1,250,682			1,256,331			1,275,928			961,132
Common shareholders' equity	3,935,267			3,786,158			3,679,138			3,648,284			3,625,975
Shareholders’ equity	$	4,275,204		$	4,126,095		$	4,019,075		$	3,988,225		$	3,682,634
Common shares outstanding	9,816,405			9,816,405			9,836,629			10,105,520			10,473,119
SELECTED QUARTER-END BALANCES
Total assets	$	53,908,606		$	49,957,680		$	48,666,873		$	47,866,194		$	41,594,453
Investment securities	10,222,107			9,922,905			9,860,594			9,508,476			8,845,197
Loans and leases	33,180,851			32,791,975			32,845,144			32,418,425			29,240,959
Deposits	47,330,997			43,431,609			42,250,606			41,479,245			35,346,711
Securities sold under customer repurchase agreements	680,705			641,487			693,889			740,276			540,362
Other short-term borrowings	—			—			—			—			105,000
Long-term borrowings	1,230,326			1,248,163			1,252,016			1,258,719			1,297,132
Shareholders’ equity	$	4,321,400		$	4,229,268		$	4,074,414		$	3,991,444		$	3,957,520
Common shares outstanding	9,816,405			9,816,405			9,816,405			9,934,105			10,280,105
SELECTED RATIOS AND OTHER DATA
Return on average assets (annualized)	1.16		%	1.11		%	1.18		%	1.36		%	0.57		%
Return on average common shareholders’ equity (annualized)	14.70			14.02			14.93			16.43			6.34
Net yield on interest-earning assets (taxable equivalent)	2.80			3.02			3.06			3.14			3.55
Net charge-offs to average loans and leases (annualized)	0.03			0.06			0.03			0.09			0.10
Allowance for credit losses to total loans and leases(2):
PCD	5.30			5.18			5.07			5.07			4.80
Non-PCD	0.57			0.62			0.61			0.61			0.64
Total	0.63			0.68			0.68			0.69			0.72
Ratio of total nonperforming assets to total loans, leases and other real estate owned	0.73			0.74			0.73			0.77			0.79
Tier 1 risk-based capital ratio	14.14			13.81			13.70			13.63			13.65
Common equity Tier 1 ratio	12.02			11.63			11.48			11.38			11.43
Total risk-based capital ratio	11.00			10.61			10.43			10.32			10.36
Tier 1 leverage capital ratio	7.84			7.86			7.80			8.07			8.98
Dividend payout ratio	3.23			3.46			2.85			2.71			7.33
Average loans and leases to average deposits	73.76			76.44			78.02			80.81			83.74

(1) Average loan and lease balances include PCD loans, non-PCD loans and leases, loans held for sale and nonaccrual loans and leases.

(2) Loans originated in relation to the SBA-PPP ($2.8 billion as of March 3, 2021) do not have a recorded ACL. As of March 31, 2021, the ratio of ACL to total Non-PCD loans excluding SBA-PPP loans is 0.63%, while the ratio of ACL to total loans excluding SBA-PPP loans is 0.69%.

34

BUSINESS COMBINATIONS

CIT Group Inc.

On October 15, 2020, BancShares and CIT, entered into the Merger Agreement by and among BancShares, FCB, the Merger Sub, and CIT, the parent company of CIT Bank. Pursuant to the terms and subject to the conditions set forth in the Merger Agreement, Merger Sub and CIT will ultimately merge with and into FCB, with FCB as the surviving entity. The Merger Agreement further provides that immediately following the consummation of the Mergers, CIT Bank will merge with and into FCB, with FCB as the surviving bank.

The Merger Agreement was unanimously approved by the Board of Directors of each of BancShares and CIT. The Transaction was approved by the North Carolina Commissioner of Banks on February 5, 2021, as well as the shareholders of both companies on February 9, 2021. We are continuing to work with other regulators on remaining approvals and anticipate closing in mid-2021 subject to regulatory approval and the satisfaction of customary closing conditions.

Federal Deposit Insurance Corporation Assisted Transactions

BancShares completed fourteen Federal Deposit Insurance Corporation (“FDIC”) assisted transactions between 2009 and 2017. Nine of the fourteen FDIC-assisted transactions included shared-loss agreements which, for their terms, protected us from a substantial portion of the credit and asset quality risk we would otherwise incur.

For certain FDIC-assisted transactions, the shared-loss agreement included a provision related to a payment owed to the FDIC at the termination of the agreement. As of March 31, 2021, these agreements have been satisfied following a $16.1 million payment made to the FDIC for the final active agreement.

35

Table 4

CONSOLIDATED YEAR-TO-DATE AVERAGE TAXABLE-EQUIVALENT BALANCE SHEETS

	Three months ended March 31
	2021						2020
			Interest						Interest
	Average		Income/		Yield/		Average		Income/		Yield/
(Dollars in thousands)	Balance		Expense		Rate		Balance		Expense		Rate
Assets
Loans and leases	$	33,086,656	$	323,602	3.92	%	$	29,098,101	$	326,155	4.46	%
Investment securities:
U.S. Treasury	383,300		171		0.18		299,777		1,677		2.25
Government agency	791,293		1,900		0.96		721,254		4,121		2.29
Mortgage-backed securities	7,882,679		20,607		1.05		6,060,434		30,707		2.03
Corporate bonds	602,883		7,742		5.14		205,504		2,477		4.82
Other investments	97,495		472		1.96		166,190		678		1.64
Total investment securities	9,757,650		30,892		1.27		7,453,159		39,660		2.13
Overnight investments	5,870,973		1,448		0.10		1,453,081		4,518		1.25
Total interest-earning assets	48,715,279		355,942		2.93		38,004,341		370,333		3.88
Cash and due from banks	333,069						300,433
Premises and equipment	1,251,542						1,251,970
Allowance for credit losses	(224,009)						(187,269)
Other real estate owned	48,590						53,356
Other assets	1,285,163						1,225,975
Total assets	$	51,409,634					$	40,648,806
Liabilities
Interest-bearing deposits:
Checking with interest	$	10,746,225	$	1,409	0.05	%	$	8,188,983	$	1,701	0.08	%
Savings	3,461,780		299		0.04		2,593,869		285		0.04
Money market accounts	9,008,391		2,508		0.11		7,016,587		9,109		0.52
Time deposits	2,805,317		4,577		0.66		3,761,216		13,099		1.40
Total interest-bearing deposits	26,021,713		8,793		0.14		21,560,655		24,194		0.45
Securities sold under customer repurchase agreements	641,236		338		0.21		474,231		442		0.38
Other short-term borrowings	—		—		—		157,759		804		2.02
Long-term borrowings	1,235,576		6,540		2.12		961,132		5,719		2.35
Total interest-bearing liabilities	27,898,525		15,671		0.23		23,153,777		31,159		0.54
Noninterest-bearing deposits	18,836,485						13,189,406
Other liabilities	399,420						622,989
Shareholders’ equity	4,275,204						3,682,634
Total liabilities and shareholders’ equity	$	51,409,634					$	40,648,806
Interest rate spread					2.70	%					3.34	%
Net interest income and net yield on interest-earning assets			$	340,271	2.80	%			$	339,174	3.55	%

Loans and leases include PCD loans, non-PCD loans, nonaccrual loans and loans held for sale. Yields related to loans, leases and securities exempt from both federal and state income taxes, federal income taxes only, or state income taxes only are stated on a taxable-equivalent basis assuming statutory federal income tax rate of 21.0%, as well as a blended state income tax rate of 3.3% and 3.4%, for the three months ended March 31, 2021 and March 31, 2020, respectively. The taxable-equivalent adjustment was $619 thousand and $774 thousand for the three months ended March 31, 2021 and March 31, 2020, respectively.

36

Table 5

CHANGES IN CONSOLIDATED TAXABLE EQUIVALENT NET INTEREST INCOME

	Three months ended March 31, 2021
	Change from prior year period due to:
(Dollars in thousands)	Volume(1)		Yield/Rate(1)		Total Change
Assets
Loans and leases	$	47,241	$	(49,794)	$	(2,553)
Investment securities:
U.S. Treasury	451		(1,957)		(1,506)
Government agency	400		(2,621)		(2,221)
Mortgage-backed securities	9,353		(19,453)		(10,100)
Corporate bonds	4,789		476		5,265
Other investments	(278)		72		(206)
Total investment securities	14,715		(23,483)		(8,768)
Overnight investments	13,602		(16,672)		(3,070)
Total interest-earning assets	$	75,558	$	(89,949)	$	(14,391)
Liabilities
Interest-bearing deposits:
Checking with interest	$	529	$	(821)	$	(292)
Savings	95		(81)		14
Money market accounts	2,517		(9,118)		(6,601)
Time deposits	(3,359)		(5,163)		(8,522)
Total interest-bearing deposits	(218)		(15,183)		(15,401)
Securities sold under customer repurchase agreements	155		(259)		(104)
Other short-term borrowings	(804)		—		(804)
Long-term borrowings	1,608		(787)		821
Total interest-bearing liabilities	741		(16,229)		(15,488)
Change in net interest income	$	74,817	$	(73,720)	$	1,097
(1) The rate/volume variance is allocated proportionally between the changes in volume and rate.

RESULTS OF OPERATIONS

Net Interest Income and Margin (Taxable-Equivalent Basis)

First Quarter 2021 compared to First Quarter 2020

Taxable-equivalent net interest income was $340.3 million for the first quarter of 2021, an increase of $1.1 million, or 0.3%, compared to the first quarter of 2020. The increase in net interest income was primarily due to interest and fee income on SBA-PPP loans, organic loan growth and lower rates paid on interest-bearing deposits, partially offset by a decline in yield on interest-earning assets. SBA-PPP loans contributed $30.9 million in interest and fee income during the first quarter of 2021.

The taxable-equivalent NIM was 2.80% in the first quarter of 2021, a decrease of 75 basis points from the same quarter in the prior year. The margin decline was primarily due to changes in earning asset mix, driven by a build up of excess liquidity held in lower yielding overnight investments. This was coupled with a decrease in the yield on interest-earning assets, partially offset by lower rates paid on interest-bearing deposits and the yield on SBA-PPP loans.

Average interest-earning assets increased by $10.7 billion to $48.7 billion, compared to the first quarter of 2020. The primary drivers for this change were the excess liquidity build up leading to higher average overnight investments of $4.4 billion, higher average loan balances, which increased $4.0 billion, due to contributions from loans originated under the SBA-PPP as well as organic loan growth and higher average investment securities of $2.3 billion.

The yield on interest-earning assets decreased by 95 basis points to 2.93% when compared to the first quarter of 2020. The yield on loans and leases decreased to 3.92%, or by 54 basis points, primarily due to lower yields on commercial and home equity loans as a result of downward rate resets on variable rate loans and lower rates on originations. The yield on overnight investments and investment securities decreased by 115 basis points and 86 basis points, respectively. The yield decrease on overnight investments was primarily due to a lower federal funds rate, while lower yield on investment securities was primarily due to yield declines on mortgage-backed and government agency securities.

Average interest-bearing liabilities increased by $4.7 billion to $27.9 billion, compared to the first quarter of 2020. This increase was primarily due to an increase in average interest-bearing deposit balances of $4.5 billion driven by organic deposit growth, SBA-PPP fundings and stimulus checks, as well as an increase in average long-term borrowings of $274.4 million.

37

Rates on interest-bearing liabilities decreased by 31 basis points to 0.23%, primarily due to decreased rates paid on interest-bearing deposits and borrowings.

Provision for Credit Losses

Provision for credit losses was an $11.0 million credit for the first quarter of 2021, compared to $28.4 million in provision expense for the same quarter in 2020. The change was driven primarily by a $13.7 million reserve release attributable to continued low net charge-offs, strong credit performance and improvements in macroeconomic factors. This compares to a $21.5 million reserve build related to COVID-19 recorded in the first quarter of 2020.

Noninterest Income

Table 6

NONINTEREST INCOME

	Three months ended March 31
(Dollars in thousands)	2021		2020
Wealth management services	$	32,198	$	26,412
Service charges on deposit accounts	21,536		26,413
Cardholder services, net	19,960		18,160
Mortgage income	12,991		5,224
Merchant services, net	8,917		5,888
Other service charges and fees	8,489		7,792
Insurance commissions	3,998		3,688
ATM income	1,482		1,422
Marketable equity securities gains (losses), net	16,011		(51,408)
Realized gains on investment securities available for sale, net	9,207		19,795
Other	1,860		625
Total noninterest income	$	136,649	$	64,011

Noninterest income is an essential component of our total revenue and is critical to our profitability level. The primary sources of noninterest income consist of wealth management services, fees and service charges generated from deposit accounts, cardholder and merchant services, and mortgage lending and servicing.

Noninterest income for the first quarter of 2021 was $136.6 million, compared to $64.0 million for the same period of 2020, an increase of $72.6 million, or 113.5%. The most significant components of the change were as follows:

•Favorable change in the fair market value adjustments on the marketable equity securities portfolio of $67.4 million.

•Mortgage income increased by $7.8 million primarily due to the partial recapture of mortgage servicing rights impairment recorded in the first quarter of 2020 totaling $3.1 million as mortgage interest rates increased. The remaining increase was due to higher production and sales volume.

•Wealth management services increased by $5.8 million primarily due to increases in advisory and transactions fees, assets under management and annuity fees.

•Realized gains on sales of investment securities decreased by $10.6 million.

•Service charges on deposit accounts decreased by $4.9 million primarily due to elevated customer deposit balances.

38

Noninterest Expense

Table 7

NONINTEREST EXPENSE

	Three months ended March 31
(Dollars in thousands)	2021		2020
Salaries and wages	$	147,830	$	145,255
Employee benefits	35,725		38,511
Occupancy expense	29,743		27,480
Equipment expense	29,803		27,850
Processing fees paid to third parties	13,673		10,372
FDIC insurance expense	3,218		3,466
Collection and foreclosure-related expenses	2,198		4,054
Merger-related expenses	6,819		4,232
Telecommunications expense	3,033		2,973
Consultant expense	2,065		3,260
Advertising expense	1,885		2,669
Core deposit intangible amortization	3,044		3,859
Other	16,890		25,990
Total noninterest expense	$	295,926	$	299,971

The primary components of noninterest expense are salaries and related employee benefits, occupancy and equipment expense.

Noninterest expense was $295.9 million during the first quarter of 2021, a decrease of $4.0 million, or 1.3%, compared to the same quarter in 2020. The most significant components of the change were as follows:

•Other noninterest expense decreased $9.1 million primarily due to lower pension expense, a decrease in the reserve for unfunded loan commitments and declining travel expenses due to COVID-19.

•Processing fees paid to third parties increased $3.3 million as a result of continued investment in digital and technological capabilities.

•Merger-related expenses increased $2.6 million driven by legal and consulting expenses related to the pending merger with CIT.

Income Taxes

Income tax expense was $44.0 million and $16.9 million for the first quarter of 2021 and 2020, respectively, representing effective tax rates of 23.0% and 22.8% during the periods.

We monitor and evaluate the potential impact of current events on the estimates used to establish income tax expenses and income tax liabilities. On a periodic basis, we evaluate our income tax positions based on current tax law, positions taken by various tax auditors within the jurisdictions where BancShares is required to file income tax returns, as well as potential or pending audits or assessments by tax auditors.

INTEREST-EARNING ASSETS

Interest-earning assets include overnight investments, investment securities and loans and leases, all of which reflect varying interest rates based on the risk level and repricing characteristics of the underlying asset. Riskier investments typically carry a higher interest rate but expose us to higher levels of market risk. We strive to maintain a high level of interest-earning assets relative to total assets, while keeping non-earning assets at a minimum.

Interest-earning assets totaled $51.1 billion and $47.2 billion at March 31, 2021 and December 31, 2020, respectively. The $3.9 billion increase was primarily composed of a $3.2 billion increase in overnight investments, a $388.9 million increase in loans and leases and a $299.2 million increase in investment securities.

39

Investment Securities

The primary objective of the investment portfolio is to generate incremental income by deploying excess funds into securities with minimal liquidity and credit risk, and low to moderate interest rate risk. Other objectives include acting as a stable source of liquidity, serving as a tool for asset and liability management and maintaining an interest rate risk profile compatible with BancShares’ objectives. Additionally, purchases of equities and corporate bonds in other financial institutions have been made largely under a long-term earnings optimization strategy. Changes in the total balance of our investment portfolio result from trends in balance sheet funding and market performance. Generally, when inflows arising from deposit and treasury services products exceed loan and lease demand, we invest excess funds into the securities portfolio and into overnight investments. Conversely, when loan demand exceeds growth in deposits and short-term borrowings, we allow overnight investments to decline and use proceeds from maturing securities and prepayments to fund loan demand. See Note C - Investments for additional disclosures.

The carrying value of investment securities totaled $10.2 billion at March 31, 2021, an increase of $299.2 million compared to December 31, 2020. The increase in the portfolio was primarily attributable to deposit growth outpacing loan growth for the period, resulting in investment securities purchases of $2.0 billion, partially offset by sales of $356.1 million and maturities and paydowns of $1.3 billion.

Available for sale securities are reported at fair value and unrealized gains and losses are included as a component of accumulated other comprehensive income (“AOCI”), net of deferred taxes. As of March 31, 2021, investment securities available for sale had a net pre-tax unrealized gain of $36.6 million, compared to a net pre-tax unrealized gain of $102.3 million as of December 31, 2020. Management evaluated the available for sale securities in an unrealized loss position and concluded that the unrealized losses relate to changes in interest rates relative to when the securities were purchased, and therefore, no allowance for credit losses was needed at March 31, 2021.

BancShares’ portfolio of held to maturity debt securities consists of mortgage-backed securities issued by government agencies and government sponsored entities. Given the consistently strong credit rating of the U.S. Treasury and the long history of no credit losses on debt securities issued by government agencies and government sponsored entities, no allowance for credit losses was needed at March 31, 2021 and December 31, 2020.

Table 8

INVESTMENT SECURITIES

	March 31, 2021						December 31, 2020
(Dollars in thousands)	Composition(1)		Amortized cost		Fair value		Composition(1)		Amortized cost		Fair value
Investment securities available for sale
U.S. Treasury	—	%	$	—	$	—	5.0	%	$	499,832	$	499,933
Government agency	8.4		852,305		846,686		7.0		706,241		701,391
Residential mortgage-backed securities	46.6		4,736,893		4,758,589		44.5		4,369,130		4,438,103
Commercial mortgage-backed securities	10.8		1,096,259		1,098,987		7.9		745,892		771,537
Corporate bonds	5.9		585,095		602,860		6.1		590,870		603,279
Total investment securities available for sale	71.7		7,270,552		7,307,122		70.5		6,911,965		7,014,243
Investment in marketable equity securities	1.1		84,297		106,886		0.9		84,837		91,680
Investment securities held to maturity
Residential mortgage-backed securities	16.9		1,740,314		1,724,995		19.1		1,877,692		1,895,381
Commercial mortgage-backed securities	10.2		1,065,778		1,047,980		9.4		937,034		940,862
Other	0.1		2,007		2,007		0.1		2,256		2,256
Total investment securities held to maturity	27.2		2,808,099		2,774,982		28.6		2,816,982		2,838,499
Total investment securities	100.0	%	$	10,162,948	$	10,188,990	100.0	%	$	9,813,784	$	9,944,422
(1) Calculated as a percent of the total fair value of investment securities.

40

Table 9 presents the weighted average taxable-equivalent yields for investment securities held to maturity at March 31, 2021 segregated by major category with ranges of contractual maturities. The weighted average yield on the portfolio is calculated using security-level annualized yields.

Table 9

WEIGHTED AVERAGE YIELD ON INVESTMENT SECURITIES

	March 31, 2021
	Within One Year		One to Five Years		Five to 10 Years		After 10 Years		Total
Investment securities held to maturity
Residential mortgage-backed securities(1)	—	%	—	%	—	%	1.01	%	1.01	%
Commercial mortgage-backed securities(1)	—		—		—		1.32		1.32
Other investments	1.09		1.25		—		—		1.17
Total investment securities held to maturity	1.09	%	1.25	%	—	%	1.13	%	1.13	%

(1)Residential mortgage-backed and commercial mortgage-backed securities, which are not due at a single maturity date, have been included in maturity groupings based on the contractual maturity. The expected life will differ from contractual maturities because borrowers have the right to prepay the underlying loans.

Loans and Leases

Loans held for sale were $129.3 million at March 31, 2021, a net increase of $4.5 million since December 31, 2020.

Loans and leases held for investment were $33.2 billion at March 31, 2021, a net increase of $388.9 million, representing annualized growth of 4.8% since December 31, 2020. This increase was driven by a $419.0 million net increase in the non-PCD portfolio offset by a $30.1 million net decrease in the PCD loan portfolio. The net increase in the non-PCD portfolio was due to a net increase of $363.6 million related to SBA-PPP loans, as well as organic growth primarily in commercial and business loans. The net decrease in PCD loans was primarily due to pay downs and pay-offs. Excluding SBA-PPP loans, total loans grew by 0.3% on an annualized basis.

BancShares reports non-PCD and PCD loan portfolios separately, and the non-PCD portfolio is further divided into commercial and consumer segments. Non-PCD loans and leases at March 31, 2021 were $32.7 billion compared to $32.3 billion at December 31, 2020, representing 98.7% and 98.6% of total loans, respectively. PCD loans at March 31, 2021 were $432.8 million, compared to $462.9 million at December 31, 2020, representing 1.3% and 1.4% of total loans, respectively.

The discount related to acquired non-PCD loans and leases was $17.0 million and $19.5 million at March 31, 2021 and December 31, 2020, respectively. The discount related to PCD loans was $41.1 million and $45.3 million at March 31, 2021 and December 31, 2020, respectively.

During the three months ended March 31, 2021 and 2020, accretion income on purchased non-PCD loans and leases was $2.5 million. During the three months ended March 31, 2021 and 2020, interest and accretion income on purchased PCD loans was $10.9 million and $18.5 million, respectively.

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Table 10

LOANS AND LEASES

(Dollars in thousands)	March 31, 2021		December 31, 2020
Commercial:
Construction and land development	$	1,022,087	$	985,424
Owner occupied commercial mortgage	11,340,966		11,165,012
Non-owner occupied commercial mortgage	3,017,898		2,987,689
Commercial and industrial and leases	4,946,445		5,013,644
SBA-PPP	2,769,906		2,406,291
Total commercial loans	23,097,302		22,558,060
Consumer:
Residential mortgage	5,566,026		5,561,686
Revolving mortgage	1,938,422		2,052,854
Construction and land development	336,065		348,123
Consumer auto	1,271,586		1,255,402
Consumer other	538,677		552,968
Total consumer loans	9,650,776		9,771,033
Total non-PCD loans and leases	32,748,078		32,329,093
PCD loans	432,773		462,882
Total loans and leases	33,180,851		32,791,975
Less allowance for credit losses	(210,651)		(224,314)
Net loans and leases	$	32,970,200	$	32,567,661

ALLOWANCE FOR CREDIT LOSSES

The allowance for credit losses (“ACL”) was $210.7 million at March 31, 2021, representing a decrease of $13.7 million since December 31, 2020. The ACL as a percentage of total loans and leases was 0.63% at March 31, 2021, compared to 0.68% at December 31, 2020. The ACL as a percentage of loans and leases excluding SBA-PPP loans, which have no recorded ACL, was 0.69% at March 31, 2021, compared to 0.74% at December 31, 2020.

The ACL is calculated using a variety of factors, including, but not limited to, charge-off and recovery activity, loan growth, changes in macroeconomic factors, collateral type, estimated loan life and changes in credit quality. For the three months ended March 31, 2021, the primary reason for the ACL change was a reserve credit due to improvements in macroeconomic factors. Forecasted economic conditions are developed using third party macroeconomic scenarios adjusted based on management’s expectations over a forecast period of two years. For most pools, we use a 12-month straight-line reversion period to historical averages for model inputs; however for the consumer other, consumer card and commercial card pools, immediate reversion to historical net loss rates is utilized. Significant macroeconomic factors used in estimating the expected losses include unemployment, gross domestic product, home price index and commercial real estate index. Our ACL forecast considers a range of economic scenarios from an upside scenario to a severely adverse scenario, but the March 31, 2021 ACL forecast was calculated using the consensus baseline scenario. This scenario showed improvements in the most significant economic factors compared to what was used to generate the December 31, 2020 ACL. These loss estimates were also influenced by our strong credit quality, low net charge-offs and recent credit trends, which remained stable through the quarter ended March 31, 2021, despite potential impacts of COVID-19.

As of March 31, 2021, the consensus baseline forecast utilized the following significant inputs over the two-year reasonable and supportable forecast period:

Unemployment - Rates are projected to remain elevated, and will generally improve to below 5% by the end of 2022.

GDP Growth - Peak growth of approximately 6% in the second and third quarters of 2021, decreasing to under 3% in late 2022.

Home Pricing Index - Growth rates over 4% in 2021 which then fluctuate between 2% and 3% thereafter.

Commercial Real Estate Index - Forecasted downturn with a maximum 10% drop by the end of 2021, and then slowly improving towards positive year over year growth.

At March 31, 2021, the ACL allocated to non-PCD loans and leases was $187.7 million, or 0.57% of non-PCD loans and leases, compared to $200.3 million, or 0.62%, at December 31, 2020. The decrease of 5 basis points since December 31, 2020 was primarily due to improvement in the macroeconomic factors. The ACL as a percentage of non-PCD loans and leases excluding SBA-PPP loans was 0.63% at March 31, 2021 compared to 0.67% at December 31, 2020

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At March 31, 2021, the ACL for PCD loans totaled $22.9 million compared to $24.0 million at December 31, 2020. The decrease was due to run off of the portfolio.

In the three months ended March 31, 2021, the ACL on commercial portfolios decreased $6.0 million, with the largest share of the decrease within commercial real estate. The ACL on consumer portfolios decreased $6.6 million, with the largest decrease within revolving mortgages. These portfolios were most impacted by the improvement in macroeconomic factors.

Net charge-offs for loans and leases were $2.7 million during the first quarter of 2021, compared to $7.5 million during the first quarter of 2020. On an annualized basis, total net charge-offs as a percentage of total average loans and leases was 0.03% and 0.10% for the first quarter of 2021 and 2020, respectively. As of March 31, 2021, excluding SBA-PPP loans, net charge-offs as a percentage of average loans and leases was 0.04%.

Table 11

ALLOWANCE FOR CREDIT LOSSES

	Three months ended March 31, 2021
(Dollars in thousands)	Commercial			Consumer			PCD			Total
Balance at January 1	$	80,842		$	119,485		$	23,987		$	224,314
Provision (credit)	(3,922)			(5,504)			(1,548)			(10,974)
Charge-offs	(3,331)			(4,469)			(763)			(8,563)
Recoveries	1,275			3,340			1,259			5,874
Balance at March 31	$	74,864		$	112,852		$	22,935		$	210,651
Annualized net charge-off ratio	0.04		%	0.05		%	(0.44)		%	0.03		%
Net charge-offs	2,056			1,129			(496)			2,689
Average loans	22,831,292			9,684,501			454,521			32,970,314
Percent of loans in each category to total loans	69.61		%	29.09		%	1.30		%	100.00		%
	Three months ended March 31, 2020
(Dollars in thousands)	Commercial			Consumer			PCD			Total
Balance at December 31	$	142,369		$	75,236		$	7,536		$	225,141
Adoption of ASC 326	(87,554)			30,629			19,001			(37,924)
Balance at January 1	54,815			105,865			26,537			187,217
Provision (credit)	21,537			9,406			(2,588)			28,355
Initial allowance on PCD loans	—			—			1,193			1,193
Charge-offs	(5,369)			(7,769)			(1,123)			(14,261)
Recoveries	1,427			2,431			2,897			6,755
Balance at March 31	$	72,410		$	109,933		$	26,916		$	209,259
Annualized net charge-off ratio	0.09		%	0.22		%	(1.36)		%	0.10		%
Net charge-offs	3,942			5,338			(1,774)			7,506
Average loans	18,731,471			9,770,760			530,087			29,032,318
Percent of loans in each category to total loans	64.59		%	33.49		%	1.92		%	100.00		%

The reserve for unfunded loan commitments was $11.6 million and $12.8 million at March 31, 2021 and December 31, 2020, respectively. The decrease was primarily due to improvements in macroeconomic factors.

Table 12

ALLOWANCE FOR CREDIT LOSSES RATIOS

(Dollars in thousands)	March 31, 2021			December 31, 2020
Allowance for credit losses to total loans and leases(1):	0.63		%	0.68		%
Allowance for credit losses	$	210,651		$	224,314
Total loans and leases	33,180,851			32,791,975
Allowance for credit losses to non-PCD loans and leases(1):	0.57		%	0.62		%
Allowance for credit losses on non-PCD loans and leases	$	187,716		$	200,327
Total non-PCD loans and leases	32,748,078			32,329,093
Allowance for credit losses to PCD loans:	5.30		%	5.18		%
Allowance for credit losses on PCD loans	$	22,935		$	23,987
Total PCD loans	432,773			462,882
(1) Loans originated in relation to the SBA-PPP ($2.8 billion as of March 31,2021) do not have a recorded ACL. As of March 31, 2021, the ratio of ACL to total Non-PCD loans excluding SBA-PPP loans was 0.63% while the ratio of ACL to total loans excluding SBA-PPP loans was 0.69%. As of December 31, 2020, the ratio of ACL to total Non-PCD loans excluding SBA-PPP loans was 0.67% while the ratio of ACL to total loans excluding SBA-PPP loans is 0.74%.

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NONPERFORMING ASSETS

Nonperforming assets include nonaccrual loans and leases and other real estate owned (“OREO”). At March 31, 2021, BancShares’ nonperforming assets totaled $243.0 million, an increase of $0.7 million since December 31, 2020.

Nonaccrual loans and leases at March 31, 2021 were $194.5 million, reflecting an increase of $3.1 million since December 31, 2020. Nonaccrual loans and leases as a percentage of total loans and leases was 0.59% and 0.58% at March 31, 2021 and December 31, 2020, respectively. At March 31, 2021, OREO totaled $48.5 million, representing a decrease of $2.4 million since December 31, 2020. Nonperforming assets as a percentage of total loans, leases and OREO was 0.73% as of March 31, 2021 compared to 0.74% as of December 31, 2020.

Table 13

NONPERFORMING ASSETS

	2021			2020
	First			Fourth			Third			Second			First
(Dollars in thousands)	Quarter			Quarter			Quarter			Quarter			Quarter
Nonaccrual loans and leases:
Non-PCD	$	141,369		$	136,544		$	130,927		$	135,280		$	121,337
PCD	53,165			54,939			55,527			62,511			53,234
Total nonaccrual loans and leases	194,534			191,483			186,454			197,791			174,571
Other real estate owned	48,512			50,890			52,789			53,850			55,707
Total nonperforming assets	$	243,046		$	242,373		$	239,243		$	251,641		$	230,278
Accruing loans and leases 90 days or more past due
Non-PCD	$	5,945		$	5,507		$	3,587		$	3,644		$	2,933
PCD	1,432			355			—			152			37
Ratio of total nonperforming assets to total loans, leases and other real estate owned	0.73		%	0.74		%	0.73		%	0.77		%	0.79		%
Ratio of nonaccrual loans and leases to total loans and leases	0.59			0.58			0.57			0.61			0.60
Ratio of allowance for credit losses to nonaccrual loans and leases	108.3			117.1			120.1			112.5			119.9

TROUBLED DEBT RESTRUCTURINGS

We selectively agree to modify existing loan terms to provide relief to customers who are experiencing financial difficulties or other circumstances that could affect their ability to meet debt obligations. Typical modifications include short-term deferral of interest or modification of payment terms. Troubled debt restructurings (“TDRs”) not accruing interest at the time of restructure are included as nonperforming loans. TDRs accruing at the time of restructure and continuing to perform based on the restructured terms are considered performing loans.

The Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus was published by banking regulators in April 2020 to clarify accounting and reporting expectations for loan modifications in determining TDR designation for borrowers experiencing COVID-19-related financial difficulty. BancShares applied this regulatory guidance during its TDR identification process for short-term loan forbearance agreements as a result of COVID-19, and in most cases, is not recording these as TDRs.

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Table 14

TROUBLED DEBT RESTRUCTURINGS

(Dollars in thousands)	March 31, 2021		December 31, 2020
Accruing TDRs:
Non-PCD	$	139,631	$	139,747
PCD	20,920		17,617
Total accruing TDRs	160,551		157,364
Nonaccruing TDRs:
Non-PCD	46,886		43,470
PCD	9,509		7,346
Total nonaccruing TDRs	56,395		50,816
All TDRs:
Non-PCD	186,517		183,217
PCD	30,429		24,963
Total TDRs	$	216,946	$	208,180

INTEREST-BEARING LIABILITIES

Interest-bearing liabilities include interest-bearing deposits, securities sold under customer repurchase agreements, FHLB borrowings, subordinated debt, and other borrowings. Interest-bearing liabilities totaled $28.7 billion at March 31, 2021, compared to $27.3 billion at December 31, 2020. The increase was mostly due to an increase in interest-bearing deposits of $1.4 billion.

Deposits

Due to our focus on maintaining a strong liquidity position, core deposit retention remains a key business objective. We believe traditional bank deposit products remain an attractive option for many customers, as evidenced by the significant deposit growth the industry has experienced over the past 12 months. As economic conditions improve, we recognize that our liquidity position could be adversely affected as bank deposits are withdrawn. Our ability to fund future loan growth is significantly dependent on our success at retaining existing deposits and generating new deposits at a reasonable cost.

At March 31, 2021, total deposits were $47.3 billion, an increase of $3.9 billion, representing annualized growth of 36.4% since December 31, 2020, driven by organic growth, SBA-PPP loan fundings and stimulus checks.

Table 15

DEPOSITS

(Dollars in thousands)	March 31, 2021		December 31, 2020
Demand	$	20,515,142	$	18,014,029
Checking with interest	10,819,900		10,591,687
Money market	9,590,372		8,632,713
Savings	3,676,138		3,304,167
Time	2,729,445		2,889,013
Total deposits	$	47,330,997	$	43,431,609

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Borrowings

Total borrowings were relatively unchanged, totaling $1.9 billion at March 31, 2021 and December 31, 2020.

Table 16

BORROWINGS

(Dollars in thousands)	March 31, 2021		December 31, 2020
Securities sold under customer repurchase agreements	$	680,705	$	641,487
Federal Home Loan Bank borrowings	648,671		655,175
Subordinated debt
SCB Capital Trust I	9,788		9,779
FCB/SC Capital Trust II	17,697		17,664
FCB/NC Capital Trust III	88,145		88,145
Capital Trust debentures assumed in acquisitions	14,433		14,433
3.375 % Fixed-to-Floating Rate Subordinated Notes due 2030	346,748		346,541
Other subordinated debt	20,342		27,956
Total subordinated debt	497,153		504,518
Other borrowings	84,502		88,470
Total borrowings	$	1,911,031	$	1,889,650

BancShares owns five special purpose entities – SCB Capital Trust I, FCB/SC Capital Trust II, FCB/NC Capital Trust III, CCBI Capital Trust I, and Macon Capital Trust I (the “Trusts”), which mature in 2036, 2034, 2034, 2036, and 2034, respectively. Subordinated debt included junior subordinated debentures representing obligations to the Trusts, which may be redeemed at par in whole or in part at any time. BancShares has guaranteed all obligations of the Trusts.

SHAREHOLDERS’ EQUITY AND CAPITAL ADEQUACY

The table below shows Class A common stock repurchase activity for the three months ended March 31, 2021 and 2020. All Class A common stock repurchases completed in 2020 were consummated under previously approved authorizations. There were no repurchases of Class B common stock or the preferred stock during the three months ended March 31, 2021 or 2020.

Table 17

CLASS A COMMON STOCK REPURCHASE ACTIVITY

	Three months ended March 31
($ in thousands, expect per share data)	2021		2020
Number of shares repurchased	—		349,390
Total cost	$	—	$	159,705
Average price per share	$	—	$	457.10

Upon expiration of the most recent authorization on July 31, 2020, share repurchase activity ended and will be reevaluated in subsequent periods.

We are committed to effectively managing our capital to protect our depositors, creditors and shareholders. We continually monitor the capital levels and ratios for BancShares and FCB to ensure they exceed the minimum requirements imposed by regulatory authorities and to ensure they are appropriate given growth projections, risk profile and potential changes in the regulatory or external environment. Failure to meet certain capital requirements may result in actions by regulatory agencies that could have a material impact on our consolidated financial statements.

In accordance with accounting principles generally accepted in the United States of America (“GAAP”), the unrealized gains and losses on certain assets and liabilities, net of deferred taxes, are included in accumulated other comprehensive loss within shareholders’ equity. These amounts are excluded from shareholders’ equity in the calculation of our capital ratios under current regulatory guidelines.

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Table 18

ANALYSIS OF CAPITAL ADEQUACY

	Requirements to be well-capitalized		March 31, 2021				December 31, 2020
(Dollars in thousands)			Amount		Ratio		Amount		Ratio
BancShares
Risk-based capital ratios
Total risk-based capital	10.00	%	$	4,701,118	14.14	%	$	4,577,212	13.81	%
Tier 1 risk-based capital	8.00		3,997,179		12.02		3,856,086		11.63
Common equity Tier 1	6.50		3,657,242		11.00		3,516,149		10.61
Tier 1 leverage ratio	5.00		3,997,179		7.84		3,856,086		7.86
FCB
Risk-based capital ratios
Total risk-based capital	10.00	%	$	4,646,422	13.99	%	$	4,543,496	13.72	%
Tier 1 risk-based capital	8.00		4,396,983		13.24		4,276,870		12.92
Common equity Tier 1	6.50		4,396,983		13.24		4,276,870		12.92
Tier 1 leverage ratio	5.00		4,396,983		8.64		4,276,870		8.72

As of March 31, 2021, BancShares and FCB continued to exceed minimum capital standards and remained well-capitalized under Basel III guidelines. Trust preferred capital securities continue to be a component of total risk-based capital.

BancShares and FCB had capital conservation buffers of 6.02% and 5.99%, respectively, at March 31, 2021, which exceeded the 2.50% requirement and, therefore, result in no limit on distributions.

RISK MANAGEMENT

Risk is inherent in any business. BancShares has defined a moderate risk appetite, a conservative approach to risk taking, with a philosophy that does not preclude higher risk business activities balanced with acceptable returns while meeting regulatory objectives. Through the comprehensive Enterprise Risk Management Framework and Risk Appetite Framework, senior management has primary responsibility for day-to-day management of the risks we face with accountability of and support from all associates. Senior management applies various strategies to reduce the risks to which BancShares activities may be exposed, with effective challenge and oversight by management committees. In addition, the Board of Directors strives to ensure that the business culture is integrated with the enterprise risk management program and that policies, procedures and metrics for identifying, assessing, measuring, monitoring and managing risk are part of the decision-making process. The Board of Directors’ role in risk oversight is an integral part of our overall Enterprise Risk Management Framework and Risk Appetite Framework. The Board of Directors administers its risk oversight function primarily through the Board Risk Committee.

The Board Risk Committee structure is designed to allow for information flow, effective challenge and timely escalation of risk-related issues. The Board Risk Committee is directed to monitor and advise the Board of Directors regarding risk exposures, including credit, market, capital, liquidity, operational, compliance, strategic and reputational risks; review, approve, and monitor adherence to the risk appetite and supporting risk tolerance levels via a series of established metrics; and evaluate, monitor and oversee the adequacy and effectiveness of the Risk Management Framework and Risk Appetite Framework. The Board Risk Committee also reviews: reports of examination by and communications from regulatory agencies; the results of internal and third party testing and qualitative and quantitative assessments related to risk management; and any other matters within the scope of the Committee’s oversight responsibilities. The Board Risk Committee monitors management’s response to certain risk-related regulatory and audit issues. In addition, the Board Risk Committee may coordinate with the Audit Committee and the Compensation, Nominations and Governance Committee for the review of financial statements and related risks, information security and other areas of joint responsibility.

In combination with other risk management and monitoring practices, enterprise-wide stress testing activities are part of the Risk Management Framework and conducted within a defined framework. Stress tests are performed for various risks to ensure the financial institution can support continued operations during stressed periods.

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Credit risk management

Credit risk is the risk of not collecting payments pursuant to the contractual terms of loans, leases and certain investment securities. Loans and leases we originate are underwritten in accordance with our credit policies and procedures and are subject to periodic ongoing reviews. Acquired loans, regardless of whether PCD or non-PCD, are recorded at fair value as of the acquisition date and are subject to periodic reviews to identify any further credit deterioration. Our independent credit review function conducts risk reviews and analyses of both originated and acquired loans to ensure compliance with credit policies and to monitor asset quality trends and borrower financial strength. These reviews include portfolio analysis by geographic location, industry, collateral type and product. We strive to identify potential problem loans as early as possible, to record charge-offs or write-downs as appropriate and to maintain an adequate ACL that accounts for expected credit losses in the loan and lease portfolio.

We continue to actively monitor our loan portfolio for areas of increased risk as a result of COVID-19 and to date have not seen any significant declines in credit quality. As of March 31, 2021, COVID-19 related loan extensions decreased to approximately $132.5 million in outstanding loan balances, representing approximately $4.2 million in payment deferrals. Through March 31, 2021, approximately 98% of all COVID-19 related loan extensions have begun repayment. Delinquency trends among loans entering repayment are in line with the remainder of the portfolio.

Additionally, we participated in both rounds of funding in the SBA-PPP program, which provided much needed funds to our existing small business customers. We continue to assess both the credit and operational risks this program presents and at March 31, 2021, BancShares had $2.8 billion in SBA-PPP loans outstanding.

Interest rate risk management

Interest rate risk (“IRR”) results principally from: assets and liabilities maturing or repricing at different points in time, assets and liabilities repricing at the same point in time but in different amounts, and short-term and long-term interest rates changing in different magnitudes.

We assess our short-term IRR by forecasting net interest income over 24 months under various interest rate scenarios and comparing those results to forecasted net interest income, assuming stable rates. IRR scenarios modeled include, but are not limited to, immediate, parallel rate shocks, interest rate ramps, changes in the shape of the yield curve and changes in the relationships of our rates to market rates. Market interest rates have increased from year-end driven by improving economic conditions. Net interest income deterioration in down rate shocks will remain muted due to the low absolute value of market interest rates. Assumptions that incorporate customer migration from low rate deposit instruments to intermediate term fixed rate instruments as rates rise have been adjusted based on actual deposit behavior over the last three years during a rising rate cycle.

Table 19 provides the impact on net interest income over 24 months resulting from various instantaneous interest rate shock scenarios as of March 31, 2021 and December 31, 2020.

Table 19

NET INTEREST INCOME SENSITIVITY ANALYSIS

	Estimated percentage (decrease) increase in net interest income
Change in interest rate (basis points)	March 31, 2021		December 31, 2020
-100	(7.62)	%	(6.24)	%
+100	9.06		8.09
+200	16.83		14.57

The increased asset sensitivity in net interest income sensitivity metrics as of March 31, 2021 compared to December 31, 2020 continues to be affected by the substantial influx of non-maturity deposits that began in the second quarter of 2020 and continued through the first quarter of 2021.

Long-term interest rate risk exposure is measured using the economic value of equity (“EVE”) sensitivity analysis to study the impact of long-term cash flows on earnings and capital. EVE represents the difference between the sum of the present value of all asset cash flows and the sum of the present value of the liability cash flows. EVE sensitivity analysis involves discounting cash flows of balance sheet items under different interest rate scenarios. Cash flows will vary by interest rate scenario, resulting in variations in EVE. The base-case measurement and its sensitivity to shifts in the yield curve allow management to measure longer-term repricing and option risk in the balance sheet.

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Table 20 presents the EVE profile as of March 31, 2021 and December 31, 2020.

Table 20

ECONOMIC VALUE OF EQUITY MODELING ANALYSIS

	Estimated percentage (decrease) increase in EVE
Change in interest rate (basis points)	March 31, 2021		December 31, 2020
-100	(15.18)	%	(21.20)	%
+100	8.47		12.18
+200	9.21		15.71

The economic value of equity metrics at March 31, 2021 compared to December 31, 2020 were primarily affected by continued growth in non-maturity deposits of nearly $4.0 billion during the first quarter of 2021 coupled with higher market interest rates. We do not typically utilize interest rate swaps, floors, collars or other derivative financial instruments to hedge our overall balance sheet interest rate sensitivity and risk.

Liquidity risk management

Liquidity risk is the risk that an institution will be unable to generate or obtain sufficient cash or its equivalents on a cost-effective basis to meet commitments as they fall due. The most common sources of liquidity risk arise from mismatches in the timing and value of on-balance sheet and off-balance sheet cash inflows and outflows. In general, on-balance sheet mismatches generate liquidity risk when the effective maturity of assets exceeds the effective maturity of liabilities. A commonly cited example of a balance sheet liquidity mismatch is when long-term loans (assets) are funded with short-term borrowings (liabilities). Other forms of liquidity risk include market constraints on the ability to convert assets into cash at expected levels, an inability to access funding sources at sufficient levels at a reasonable cost, and changes in economic conditions or exposure to credit, market, operational, legal and reputation risks that can affect an institution’s liquidity risk profile.

We utilize various limit-based measures to monitor, measure and control three different categories of liquidity risk:

•Tactical - Measures the risk of a negative cash flow position whereby cash outflows exceed cash inflows over a short-term horizon out to nine weeks;

•Structural - Measures the amount by which illiquid assets are supported by long-term funding; and

•Contingent - Measures the risk of having insufficient liquidity sources to support cash needs under potential future stressed market conditions or having an inability to access wholesale funding sources in a timely and cost effective manner.

We aim to maintain a diverse mix of liquidity sources to support the liquidity management function, while aiming to avoid funding concentrations by diversifying our external funding with respect to maturities, counterparties and nature. Our primary source of liquidity is our branch-generated retail deposit portfolio due to the generally stable balances and low cost. Additional sources include cash in excess of our reserve requirement at the Federal Reserve Bank, and various other corresponding bank accounts and unencumbered securities, which totaled $12.8 billion at March 31, 2021 compared to $9.6 billion at December 31, 2020. Another source of available funds was advances from the FHLB of Atlanta and Chicago. Outstanding FHLB advances were $648.7 million as of March 31, 2021, and we had sufficient collateral pledged to secure $8.2 billion of additional borrowings from the FHLB of Atlanta. Also, at March 31, 2021, $4.2 billion in non-PCD loans with a lendable collateral value of $3.4 billion were used to create additional borrowing capacity at the Federal Reserve Bank. We also maintain Federal Funds lines and other credit lines, which had $606.0 million of available capacity at March 31, 2021.

OFF-BALANCE SHEET ARRANGEMENTS

In the normal course of business, we are a party to certain financial instruments with off-balance sheet risk, which we enter into in order to meet the financing needs of our customers. These off-balance sheet instruments include commitments to extend credit and standby letters of credit. For more information on these commitments Note N - Commitments and Contingencies to our consolidated financial statements.

CRITICAL ACCOUNTING ESTIMATES

There have been no significant changes in our Critical Accounting Estimates as described in our 2020 Annual Report on Form 10-K.

49

FORWARD-LOOKING STATEMENTS

Statements in this Quarterly Report on Form 10-Q and Exhibits relating to plans, strategies, economic performance and trends, projections of results of specific activities or investments, expectations or beliefs about future events or results and other statements that are not descriptions of historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.

Forward-looking information is inherently subject to risks and uncertainties, and actual results could differ materially from those currently anticipated due to a number of factors which include, but are not limited to, factors discussed in our Annual Report on Form 10-K and in other documents filed by us from time to time with the Securities and Exchange Commission.

Forward-looking statements may be identified by terms such as “may,” “will,” “should,” “could,” “expects,” “plans,” “intends,” “anticipates,” “believes,” “estimates,” “predicts,” “forecasts,” “projects,” “potential” or “continue,” or similar terms or the negative of these terms, or other statements concerning opinions or judgments of BancShares’ management about future events.

Factors that could influence the accuracy of those forward-looking statements include, but are not limited to, risks, uncertainties and other factors relating to our announced merger with CIT through a series of merger transactions, including the ability to obtain regulatory approvals and meet other closing conditions to the Transaction, and delay in closing the Transaction, as well as risks, uncertainties and other factors relating to the impact of COVID-19 on our business and the economy, the financial success or changing strategies of our customers, customer acceptance of our services, products and fee structure, the competitive nature of the financial services industry, our ability to compete effectively against other financial institutions in our banking markets, actions of government regulators, the level of market interest rates and our ability to manage our interest rate risk, changes in general economic conditions that affect our loan and lease portfolio, the abilities of our borrowers to repay their loans and leases, the values of real estate and other collateral, the impact of our prior acquisitions, the risks discussed in Part II, Item 1A. Risk Factors and other developments or changes in our business that we do not expect. Actual results may differ materially from those expressed in or implied by any forward-looking statements.

Except to the extent required by applicable law or regulation, BancShares undertakes no obligation to revise or update publicly any forward-looking statements for any reason.

Item 3.Quantitative and Qualitative Disclosures about Market Risk

Market risk is the potential economic loss resulting from changes in market prices and interest rates. This risk can either result in diminished current fair values of financial instruments or reduced net interest income in future periods. See section Risk Management within Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations for discussion of changes. Changes in fair value that result from movement in market rates cannot be predicted with any degree of certainty. Therefore, the impact that future changes in market rates will have on the fair values of financial instruments is uncertain.

Item 4.    Controls and Procedures

BancShares’ management, with the participation of its Chief Executive Officer and Chief Financial Officer, has evaluated the effectiveness of the design and operation of BancShares’ disclosure controls and procedures as of the end of the period covered by this Quarterly Report, in accordance with Rules 13a-15 and 15d-15 of the Exchange Act. Based upon that evaluation, as of the end of the period covered by this report, the Chief Executive Officer and the Chief Financial Officer concluded that BancShares’ disclosure controls and procedures were effective to provide reasonable assurance that it is able to record, process, summarize and report in a timely manner the information required to be disclosed in the reports it files under the Exchange Act.

No changes in BancShares’ internal control over financial reporting occurred during the first quarter of 2021 that have materially affected, or are reasonably likely to materially affect, BancShares’ internal control over financial reporting.

50

PART II

Item 1. Legal Proceedings

BancShares and various subsidiaries have been named as defendants in various legal actions arising from our normal business activities in which damages in various amounts were claimed. Although the amount of any ultimate liability with respect to those matters cannot be determined, in the opinion of management, no legal actions currently exist that are expected to have a material effect on BancShares’ consolidated financial statements. Additional information relating to legal proceedings is set forth in Note N - Commitments and Contingencies.

Item 1A. Risk Factors

There have been no material changes from risk factors described in our Annual Report on Form 10-K for the year ended December 31, 2020. The risks described may not be the only risks facing us. Additional risks and uncertainties not currently known to us or that are currently considered to not be material also may materially adversely affect our business, financial condition and/or operating results.

51

Item 6. Exhibits

10.1	Nonqualified Deferred Compensation Plan of Registrant’s subsidiary, First-Citizens Bank & Trust Company (incorporated by reference to Exhibit 10.1 to the Registrant’s Form 8-K dated February 24, 2021)
31.1	Certification of Chief Executive Officer (filed herewith)
31.2	Certification of Chief Financial Officer (filed herewith)
32.1	Certification of Chief Executive Officer (filed herewith)
32.2	Certification of Chief Financial Officer (filed herewith)
101.INS	Inline XBRL Instance Document (filed herewith)
101.SCH	Inline XBRL Taxonomy Extension Schema (filed herewith)
101.CAL	Inline XBRL Taxonomy Extension Calculation Linkbase (filed herewith)
101.DEF	Inline XBRL Taxonomy Extension Definition Linkbase (filed herewith)
101.LAB	Inline XBRL Taxonomy Extension Label Linkbase (filed herewith)
101.PRE	Inline XBRL Taxonomy Extension Presentation Linkbase (filed herewith)
104	Cover Page Interactive Data File (embedded within the Inline XBRL document filed as Exhibit 101)

52

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. 

Date:	May 4, 2021		FIRST CITIZENS BANCSHARES, INC.
			(Registrant)
		By:	/s/ CRAIG L. NIX
			Craig L. Nix
			Chief Financial Officer

53

EX-31.1

Exhibit 31.1

CERTIFICATION

I, Frank B. Holding, Jr., certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of First Citizens BancShares, Inc.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(i)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(ii)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(iii)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(iv)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(i)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(ii)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 4, 2021

/s/ Frank B. Holding, Jr.

Frank B. Holding, Jr.

Chief Executive Officer

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Craig L. Nix, certify that:

1.I have reviewed this Quarterly Report on Form 10-Q of First Citizens BancShares, Inc.;

2.Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(i)Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(ii)Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(iii)Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(iv)Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting.

5.The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

(i)All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

(ii)Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: May 4, 2021

/s/ Craig L. Nix

Craig L. Nix

Chief Financial Officer

EX-32.1

Exhibit 32.1

CERTIFICATION

The undersigned hereby certifies that (i) the Form 10-Q filed by First Citizens BancShares, Inc. (the “Issuer”) for the period ended March 31, 2021, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, and (ii) the information contained in that report fairly presents, in all material respects, the financial condition and results of operations of the Issuer on the dates and for the periods presented therein.

May 4, 2021

/s/ Frank B. Holding, Jr.

Frank B. Holding, Jr.

Chief Executive Officer

EX-32.2

Exhibit 32.2

CERTIFICATION

The undersigned hereby certifies that (i) the Form 10-Q filed by First Citizens BancShares, Inc. (the “Issuer”) for the period ended March 31, 2021, fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, and (ii) the information contained in that report fairly presents, in all material respects, the financial condition and results of operations of the Issuer on the dates and for the periods presented therein.

May 4, 2021

/s/ Craig L. Nix

Craig L. Nix

Chief Financial Officer

XML

Document And Entity Information - shares	3 Months Ended
	Mar. 31, 2021	Apr. 30, 2021
Entity Central Index Key	0000798941
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2021
Document Fiscal Period Focus	Q1
Amendment Flag	false
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2021
Document Transition Report	false
Entity File Number	001-16715
Entity Registrant Name	FIRST CITIZENS BANCSHARES INC /DE/
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	56-1528994
Entity Address, Address Line One	4300 Six Forks Road
Entity Address, City or Town	Raleigh
Entity Address, State or Province	NC
Entity Address, Postal Zip Code	27609
City Area Code	(919)
Local Phone Number	716-7000
Title of 12(g) Security	Class B Common Stock, Par Value $1
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Class A Common Stock
Title of 12(b) Security	Class A Common Stock, Par Value $1
Trading Symbol	FCNCA
Security Exchange Name	NASDAQ
Entity Common Stock, Shares Outstanding		8,811,220
Class B Common Stock
Entity Common Stock, Shares Outstanding		1,005,185
Preferred Stock
Title of 12(b) Security	Depositary Shares, Each Representing a 1/40th Interest in a Share of 5.375% Non-Cumulative Perpetual Preferred Stock, Series A
Trading Symbol	FCNCP
Security Exchange Name	NASDAQ

XML

Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Assets
Cash and due from banks	$ 410,495	$ 362,048
Overnight investments	7,588,757	4,347,336
Investment in marketable equity securities	106,886	91,680
Debt Securities, Available-for-sale	7,307,122	7,014,243
Investment securities held to maturity at cost	2,808,099	2,816,982
Loans held for sale	129,334	124,837
Loans and leases	33,180,851	32,791,975
Allowance for loan and lease losses	(210,651)	(224,314)
Net loans and leases	32,970,200	32,567,661
Premises and equipment	1,238,874	1,251,283
Other real estate owned	48,512	50,890
Income earned not collected	148,022	145,694
Goodwill	350,298	350,298
Other intangible assets	51,547	50,775
Other assets	750,460	783,953
Total assets	53,908,606	49,957,680
Deposits [Abstract]
Noninterest-bearing deposits	20,515,142	18,014,029
Interest-bearing deposits	26,815,855	25,417,580
Total deposits	47,330,997	43,431,609
Securities sold under customer repurchase agreements	680,705	641,487
Federal Home Loan Bank borrowings	648,671	655,175
Subordinated Debt	497,153	504,518
Other Borrowings	84,502	88,470
FDIC shared-loss payable	0	15,601
Other liabilities	345,178	391,552
Total liabilities	49,587,206	45,728,412
Shareholders' Equity
Preferred stock	339,937	339,937
Retained earnings	4,005,318	3,867,252
Accumulated other comprehensive loss	(33,671)	12,263
Total shareholders' equity	4,321,400	4,229,268
Total liabilities and shareholders' equity	$ 53,908,606	$ 49,957,680
Preferred stock, shares issued	345,000	345,000
Preferred stock, shares outstanding	345,000	345,000
Class A Common Stock
Shareholders' Equity
Common stock	$ 8,811	$ 8,811
Common stock, shares issued	8,811,220	8,811,220
Common stock, shares outstanding	8,811,220	8,811,220
Class B Common Stock
Shareholders' Equity
Common stock	$ 1,005	$ 1,005
Common stock, shares issued	1,005,185	1,005,185
Common stock, shares outstanding	1,005,185	1,005,185

XML

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Investment in marketable equity securities at cost	$ 84,297	$ 84,837
Investment securities available for sale at cost	7,270,552	6,911,965
Investment securities held to maturity at fair value	$ 2,774,982	$ 2,838,499
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized	10,000,000	10,000,000
Preferred stock, shares issued	345,000	345,000
Preferred stock, shares outstanding	345,000	345,000
Class A Common Stock
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized	16,000,000	16,000,000
Common stock, shares issued	8,811,220	8,811,220
Common stock, shares outstanding	8,811,220	8,811,220
Class B Common Stock
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized	2,000,000	2,000,000
Common stock, shares issued	1,005,185	1,005,185
Common stock, shares outstanding	1,005,185	1,005,185

XML

Consolidated Statements of Income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Interest income
Loans and leases	$ 323,023	$ 325,548
Investment securities interest and dividend income	30,852	39,493
Overnight investments	1,448	4,518
Total interest income	355,323	369,559
Interest expense
Deposits	8,793	24,194
Securities sold under customer repurchase agreements	338	442
Federal Home Loan Bank borrowings	2,087	2,984
Subordinated debt	4,188	2,755
Interest Expense, Other	265	784
Total interest expense	15,671	31,159
Net interest income	339,652	338,400
Provision (credit) for loan and lease losses	(10,974)	28,355
Net interest income after provision for loan and lease losses	350,626	310,045
Noninterest income
Other service charges and fees	8,489	7,792
Insurance commissions	16,011	(51,408)
Realized gains on investment securities available for sale, net	9,207	19,795
Other	1,860	625
Total noninterest income	136,649	64,011
Noninterest expense
Salaries and wages	147,830	145,255
Employee benefits	35,725	38,511
Occupancy expense	29,743	27,480
Equipment expense	29,803	27,850
Processing fees paid to third parties	13,673	10,372
FDIC insurance expense	3,218	3,466
Collection and foreclosure-related expenses	2,198	4,054
Merger-related expenses	6,819	4,232
Other	26,917	38,751
Total noninterest expense	295,926	299,971
Income before income taxes	191,349	74,085
Income taxes	44,033	16,916
Net income	147,316	57,169
Preferred stock dividends	4,636	0
Net income available to common shareholders	$ 142,680	$ 57,169
Average shares outstanding (in shares)	9,816,405	10,473,119
Net income per share	$ 14.53	$ 5.46
Service charges on deposit accounts
Noninterest income
Revenue from contract with customers	$ 19,960	$ 18,160
Cardholder services, net
Noninterest income
Revenue from contract with customers	8,917	5,888
Mortgage income
Noninterest income
Revenue from contract with customers	32,198	26,412
Merchant services, net
Noninterest income
Revenue from contract with customers	21,536	26,413
ATM income
Noninterest income
Revenue from contract with customers	12,991	5,224
Realized gains on investment securities available for sale, net
Noninterest income
Revenue from contract with customers	3,998	3,688
Gain on extinguishment of debt
Noninterest income
Revenue from contract with customers	$ 1,482	$ 1,422

XML

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Statement of Comprehensive Income [Abstract]
Net income	$ 147,316	$ 57,169
Unrealized (losses) gains on securities available for sale:
Unrealized (losses) gains on securities available for sale arising during the period	(56,501)	144,843
Tax effect	12,995	(33,313)
Reclassification adjustment for realized gains on securities available for sale included in income before income taxes	(9,207)	(19,795)
Tax effect	2,118	4,553
Total change in unrealized (losses) gains on securities available for sale, net of tax	(50,595)	96,288
Unrealized losses on securities available for sale transferred to held to maturity:
Reclassification adjustment for accretion of unrealized losses on securities available for sale transferred to held to maturity	(475)	0
Tax effect	109	0
Total change in unrealized losses on securities available for sale transferred to held to maturity, net of tax	(366)	0
Change in pension obligation:
Amortization of actuarial losses	6,529	6,264
Tax effect	(1,502)	(1,441)
Total change in pension obligation, net of tax	5,027	4,823
Net current period other comprehensive (loss) income	(45,934)	101,111
Total comprehensive income	$ 101,382	$ 158,280

XML

Consolidated Statements of Changes In Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands	Total	Class A Common Stock	Class B Common Stock	Common Stock Class A Common Stock	Common Stock Class B Common Stock	Preferred Stock	Surplus	Retained Earnings	Retained Earnings Class A Common Stock	Retained Earnings Class B Common Stock	Accumulated Other Comprehensive (Loss) Income
Beginning balance, shareholders' equity at Dec. 31, 2019	$ 3,586,184			$ 9,624	$ 1,005	$ 0	$ 44,081	$ 3,658,197			$ (126,723)
Beginning balance, shareholders' equity (Cumulative effect of adoption of ASC 326) at Dec. 31, 2019	$ 36,943							36,943
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Accounting Standards Update [Extensible List]	Cumulative effect of adoption of ASC 326
Net income	$ 57,169							57,169
Other comprehensive income (loss), net of tax	$ 101,111										101,111
Issuance of preferred stock	339,958					339,958
Stock repurchased during period	$ (159,700)	$ (159,704)		(349)			(44,081)	(115,274)
Cash dividends		(3,739)	$ (402)						$ (3,739)	$ (402)
Ending balance, shareholders' equity at Mar. 31, 2020	3,957,520			9,275	1,005	$ 339,958	0	3,632,894			(25,612)
Beginning balance, shareholders' equity at Dec. 31, 2020	4,229,268			8,811	1,005	339,937	0	3,867,252			12,263
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	147,316							147,316
Other comprehensive income (loss), net of tax	(45,934)										(45,934)
Cash dividends		$ (4,142)	(472)						$ (4,142)	(472)
Preferred stock dividends declared			$ (4,636)							$ (4,636)
Ending balance, shareholders' equity at Mar. 31, 2021	$ 4,321,400			$ 8,811	$ 1,005	$ 339,937	$ 0	$ 4,005,318			$ (33,671)

XML

Consolidated Statements of Changes In Shareholders' Equity (Parenthetical) - $ / shares	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Stock repurchased during period (in shares)		349,390
Statement of Stockholders' Equity [Abstract]
Cash dividends (in dollars per share)	$ 0.47	$ 0.40
Common Stock | Class A Common Stock
Stock repurchased during period (in shares)		349,390

XML

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
OPERATING ACTIVITIES
Net income	$ 147,316	$ 57,169
Adjustments to reconcile net income to cash provided by operating activities:
Provision (credit) for loan and lease losses	(10,974)	28,355
Deferred tax expense (benefit)	8,555	(11,485)
Net change in current taxes	26,703	11,829
Depreciation and amortization	27,864	26,879
Net (decrease) increase in accrued interest payable	(4,264)	(4,624)
Net increase in income earned not collected	(2,328)	(1,914)
Contribution to pension plans	0	(100,000)
Realized gains on investment securities available for sale, net	(9,207)	(19,795)
Marketable equity securities (gains) losses, net	(16,011)	51,408
Origination of loans held for sale	(315,451)	(205,986)
Proceeds from Sale of Loans Held-for-sale	279,180	201,886
Gain on sale of loans	(9,365)	(5,682)
Net (gains) losses on other real estate owned	(527)	1,419
Net accretion of premiums and discounts	116	4,674
Amortization of intangible assets	5,795	6,160
Origination of mortgage servicing rights, net of change in valuation allowance	(6,567)	1,384
Net change in other assets	17,535	4,067
Net change in other liabilities	(33,494)	(28,135)
Net cash provided by operating activities	104,876	17,609
INVESTING ACTIVITIES
Net increase in loans outstanding	(383,507)	(202,667)
Purchases of investment securities available for sale	(1,737,890)	(4,305,818)
Purchases of investment securities held to maturity	(207,313)	(724,412)
Purchases of marketable equity securities	(306)	(287,014)
Proceeds from maturities/calls of investment securities held to maturity	206,282	14,166
Proceeds from maturities/calls of investment securities available for sale	1,079,216	572,937
Proceeds from sales of investment securities available for sale	351,984	3,156,988
Proceeds from sales of marketable equity securities	1,111	2,438
Net (increase) decrease in overnight investments	(3,241,421)	454,455
Cash paid to FDIC for settlement of shared-loss agreement	(16,103)	(99,468)
Proceeds from sales of other real estate	10,011	5,265
Proceeds from sales of premises and equipment	1,143	0
Purchases of premises and equipment	(23,544)	(26,930)
Business acquisitions, net of cash acquired	0	(1,235)
Other investing activities	(8,009)	0
Net cash used in investing activities	(3,968,346)	(1,441,295)
FINANCING ACTIVITIES
Net decrease in time deposits	(159,035)	(310,224)
Net increase in demand and other interest-bearing deposits	4,058,956	1,017,371
Net decrease in short-term borrowings	39,218	(92,871)
Repayments of Other Long-term Debt	(17,973)	(38,583)
Origination of long-term obligations	0	745,886
Net proceeds from preferred stock issuance	0	339,958
Repurchase of common stock	0	(156,094)
Cash dividends paid	(9,249)	(4,256)
Net cash (used in) provided by financing activities	3,911,917	1,501,187
Change in cash and due from banks	48,447	77,501
Cash and due from banks at beginning of period	362,048	376,719
Cash and due from banks at end of period	410,495	454,220
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING AND FINANCING ACTIVITIES:
Interest	19,935	35,783
Income taxes	11	(592)
Transfers of loans to other real estate	2,374	4,560
Dividends declared but not paid	4,614	4,141
Unsettled call of investment securities	3,000	0
Loans held for sale exchanged for investment securities	63,526	0
Reclassification of portfolio loans to loans held for sale	22,655	1,304
Transfers of premises and equipment to other real estate	4,732	1,427
Premises and equipment acquired through finance leases and other financing arrangements	0	1,191
Unsettled common stock repurchases	$ 0	$ 3,610

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Accounting Policies and Basis of Presentation

3 Months Ended

Mar. 31, 2021

Accounting Policies [Abstract]

Accounting Policies and Basis of Presentation

ACCOUNTING POLICIES AND BASIS OF PRESENTATION

First Citizens BancShares, Inc. (“BancShares”) is a financial holding company organized under the laws of Delaware and conducts operations through its banking subsidiary, First-Citizens Bank & Trust Company (“FCB”), which is headquartered in Raleigh, North Carolina.

General

These consolidated financial statements and notes thereto are presented in accordance with instructions for Form 10-Q and Article 10 of Regulation S-X and, therefore, do not include all information and notes necessary for a complete presentation of financial position, results of operations and cash flow activity required in accordance with accounting principles generally accepted in the United States of America (“GAAP”). In the opinion of management, all normal recurring adjustments necessary for a fair presentation of the consolidated financial position and consolidated results of operations have been made. The unaudited interim consolidated financial statements included in this Quarterly Report on Form 10-Q should be read in conjunction with the Consolidated Financial Statements and Notes to the Consolidated Financial Statements included in BancShares’ Annual Report on Form 10-K for the year ended December 31, 2020.

Reclassifications

In certain instances, amounts reported in prior periods’ consolidated financial statements have been reclassified to conform to the current financial statement presentation. Such reclassifications had no effect on previously reported cash flows, shareholders’ equity or net income.

Use of Estimates in the Preparation of Financial Statements

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions which affect the amounts reported. Actual results could differ from those estimates. The estimates BancShares considers significant are the allowance for credit losses, “ACL”, fair value measurements, and income taxes.

Share Repurchases

During the first quarter of 2021, BancShares did not repurchase shares of Class A common stock. During the first quarter of 2020, BancShares purchased a total of 349,390 shares of Class A common stock for $159.7 million at an average cost per share of $457.10.

During 2020, share repurchases included 45,000 shares of Class A common stock purchased from Ella Ann Holding, as trustee of her revocable trust. Mrs. Holding is the widow of BancShares’ former Executive Vice Chairman, Frank B. Holding, and the mother of Frank B. Holding, Jr. and Hope H. Bryant, BancShares’ Chairman and Chief Executive Officer and Vice Chairman, respectively.

Small Business Administration Paycheck Protection Program

The Small Business Administration Paycheck Protection Program (“SBA-PPP”) is one of the centerpieces of the Coronavirus Aid Relief and Economic Security Act (the “CARES Act”), which was passed on March 27, 2020 in response to the outbreak of a novel strain of coronavirus (“COVID-19”) and was supplemented with subsequent legislation. Overseen by the United States (“U.S.”) Treasury Department, the SBA-PPP offers cash-flow assistance to nonprofit and small business employers through guaranteed loans for expenses incurred between February 15, 2020, and August 8, 2020. Borrowers are eligible for forgiveness of principal and accrued interest on SBA-PPP loans to the extent that the proceeds were used to cover eligible payroll costs, interest costs, rent, and utility costs over a period of between eight and 24-weeks after the loan is made as long as the borrower retains its employees and their compensation levels. The CARES Act authorized the SBA to temporarily guarantee these loans. The SBA began processing forgiveness payments during the fourth quarter of 2020.

The Consolidated Appropriations Act 2021 was signed into law during the fourth quarter of 2020 and contained provisions for a second round of funding of SBA-PPP loans. During the first quarter of 2021, BancShares originated over 9,600 SBA-PPP loans totaling over $1.1 billion.

Due to the unique nature of these provisions, SBA-PPP loans have been disclosed as a separate loan class. Origination fees received from the SBA are capitalized into the carrying amount of the loans. The deferred fee income, net of origination costs, is recognized over the life of the loans as an adjustment to yield using the effective interest method. As of March 31, 2021, SBA-PPP loans outstanding were $2.8 billion.

Recently Issued Accounting Pronouncements

There were no Accounting Standards Updates (“ASUs”) issued during the first quarter of 2021 by the Financial Accounting Standards Board (“FASB”) that will have a material impact on BancShares’ consolidated financial statements.

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Business Combinations

3 Months Ended

Mar. 31, 2021

Business Combinations [Abstract]

Business Combinations

BUSINESS COMBINATIONS

Recently Announced Business Combinations

CIT Group Inc.

On October 15, 2020, BancShares and CIT Group Inc., a Delaware corporation (“CIT”), entered into an Agreement and Plan of Merger (the “Merger Agreement”) by and among BancShares, FCB, FC Merger Subsidiary IX, Inc., a direct, wholly owned subsidiary of FCB (“Merger Sub”), and CIT, the parent company of CIT Bank, N.A., a national banking association (“CIT Bank”). Pursuant to the terms and subject to the conditions set forth in the Merger Agreement, Merger Sub will merge with and into CIT, with CIT as the surviving entity (the “First-Step Merger”), and as soon as reasonably practicable following the effective time of the First-Step Merger, CIT will merge with and into FCB, with FCB as the surviving entity (together with the First-Step Merger, the “Mergers”). The Merger Agreement further provides that immediately following the consummation of the Mergers, CIT Bank will merge with and into FCB, with FCB as the surviving bank (together with the Mergers, the “Transaction”).

The Merger Agreement was unanimously approved by the Board of Directors of each of BancShares and CIT. The Transaction was approved by the North Carolina Commissioner of Banks on February 5, 2021, as well as the shareholders of both companies on February 9, 2021. The parties are continuing to work with other regulators on remaining approvals and anticipate closing in mid-2021 subject to regulatory approval and the satisfaction of customary closing conditions.

Upon the terms and subject to the conditions set forth in the Merger Agreement, at the effective time of the First-Step Merger (the “Effective Time”), each share of CIT common stock, par value $0.01 per share, issued and outstanding immediately prior to the Effective Time (“CIT Common Stock”), except for certain shares of CIT Common Stock owned by CIT or BancShares, will be converted into the right to receive 0.06200 shares of BancShares Class A common stock, par value $1.00 per share. Holders of CIT Common Stock will receive cash in lieu of fractional shares.

In addition, at the Effective Time, each share of Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A, par value $0.01 per share, of CIT and 5.625% Non-Cumulative Perpetual Preferred Stock, Series B, par value $0.01 per share, of CIT issued and outstanding will automatically be converted into the right to receive one share of a newly created series of preferred stock, Series B, of BancShares and one share of a newly created series of preferred stock, Series C, of BancShares, respectively.

The Merger Agreement requires that, effective as of the Effective Time, the Boards of Directors of the combined company and the combined bank will consist of 14 directors, (i) 11 of whom will be members of the current Board of Directors of BancShares, and (ii) three of whom will be selected from among the current Board of Directors of CIT and will include as one of those three Ellen R. Alemany, Chairwoman and Chief Executive Officer of CIT. BancShares intends to appoint Michael A. Carpenter and Vice Admiral John R. Ryan, USN (Ret.), as the two other members from CIT’s current Board of Directors who will join the Boards of Directors of the combined company and the combined bank .

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Investments

3 Months Ended

Mar. 31, 2021

Investments [Abstract]

Investments

INVESTMENTS

The amortized cost and fair value of investment securities at March 31, 2021 and December 31, 2020, were as follows:

	March 31, 2021
(Dollars in thousands)	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
Investment securities available for sale
Government agency	$	852,305	$	784	$	6,403	$	846,686
Residential mortgage-backed securities	4,736,893		47,742		26,046		4,758,589
Commercial mortgage-backed securities	1,096,259		14,619		11,891		1,098,987
Corporate bonds	585,095		18,313		548		602,860
Total investment securities available for sale	$	7,270,552	$	81,458	$	44,888	$	7,307,122
Investment in marketable equity securities	84,297		22,872		283		106,886
Investment securities held to maturity
Residential mortgage-backed securities	1,740,314		5,191		20,510		1,724,995
Commercial mortgage-backed securities	1,065,778		13		17,811		1,047,980
Other	2,007		—		—		2,007
Total investment securities held to maturity	2,808,099		5,204		38,321		2,774,982
Total investment securities	$	10,162,948	$	109,534	$	83,492	$	10,188,990
	December 31, 2020
(Dollars in thousands)	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
Investment securities available for sale
U.S. Treasury	$	499,832	$	101	$	—	$	499,933
Government agency	706,241		723		5,573		701,391
Residential mortgage-backed securities	4,369,130		70,283		1,310		4,438,103
Commercial mortgage-backed securities	745,892		25,645		—		771,537
Corporate bonds	590,870		14,437		2,028		603,279
Total investment securities available for sale	$	6,911,965	$	111,189	$	8,911	$	7,014,243
Investment in marketable equity securities	84,837		8,654		1,811		91,680
Investment securities held to maturity
Residential mortgage-backed securities	1,877,692		17,689		—		1,895,381
Commercial mortgage-backed securities	937,034		3,884		56		940,862
Other	2,256		—		—		2,256
Total investment securities held to maturity	2,816,982		21,573		56		2,838,499
Total investment securities	$	9,813,784	$	141,416	$	10,778	$	9,944,422

On November 1, 2020, mortgage-backed securities with an amortized cost of $1.46 billion were transferred from investment securities available for sale to the held to maturity portfolio. At the time of transfer, the mortgage-backed securities had a fair value of $1.47 billion and a weighted average contractual maturity of 18 years. The unrealized gain on these securities at the date of transfer was $5.9 million, or $4.5 million net of tax, and was reported as a component of AOCI. This unrealized gain is accreted over the remaining expected life of the securities as an adjustment of yield.

Investments in residential and commercial mortgage-backed securities represent securities issued by the Government National Mortgage Association, Federal National Mortgage Association and Federal Home Loan Mortgage Corporation. Investments in government agency securities represent securities issued by the United States Small Business Administration. Investments in corporate bonds and marketable equity securities represent positions in securities of other financial institutions. Other held to maturity investments include certificates of deposit with other financial institutions.

BancShares also holds approximately 354,000 shares of Visa Class B common stock, which are not considered to have a readily determinable fair value and are recorded at $0. BancShares held FHLB stock of $40.6 million and $45.4 million and other non-marketable equity securities of $11.4 million and $11.6 million at March 31, 2021 and December 31, 2020, respectively. These securities are recorded at cost within other assets.

As of March 31, 2021 and December 31, 2020, no ACL was required for available for sale and held to maturity debt securities. Accrued interest receivables for available for sale and held to maturity debt securities were excluded from the estimate for credit losses. At March 31, 2021, accrued interest receivables for available for sale and held to maturity debt securities were $21.3 million and $5.3 million, respectively. At December 31, 2020, accrued interest receivables for available for sale and held to maturity debt securities were $17.6 million and $5.4 million, respectively. During the three months ended March 31, 2021 and 2020, no accrued interest was deemed uncollectible and written off against interest income.

The following table provides the amortized cost and fair value by contractual maturity for investment securities available for sale and held to maturity. Expected maturities will differ from contractual maturities on certain securities because issuers and borrowers of underlying collateral may have the right to call or prepay obligations with or without prepayment penalties. Residential and commercial mortgage-backed and government agency securities are stated separately as they are not due at a single maturity date.

	March 31, 2021				December 31, 2020
(Dollars in thousands)	Amortized cost		Fair value		Amortized cost		Fair value
Investment securities available for sale
Non-amortizing securities maturing in:
One year or less	$	1,020	$	1,021	$	500,846	$	500,954
One through five years	72,340		74,536		72,565		73,881
Five through 10 years	502,757		517,922		508,320		519,570
Over 10 years	8,978		9,381		8,971		8,807
Government agency	852,305		846,686		706,241		701,391
Residential mortgage-backed securities	4,736,893		4,758,589		4,369,130		4,438,103
Commercial mortgage-backed securities	1,096,259		1,098,987		745,892		771,537
Total investment securities available for sale	$	7,270,552	$	7,307,122	$	6,911,965	$	7,014,243
Investment securities held to maturity
Non-amortizing securities maturing in:
One year or less	998		998		1,507		1,507
One through five years	1,009		1,009		749		749
Residential mortgage-backed securities	1,740,314		1,724,995		1,877,692		1,895,381
Commercial mortgage-backed securities	1,065,778		1,047,980		937,034		940,862
Total investment securities held to maturity	$	2,808,099	$	2,774,982	$	2,816,982	$	2,838,499

The following table provides the gross realized gains and losses on the sales of investment securities available for sale for the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Gross realized gains on sales of investment securities available for sale	$	9,207	$	20,474
Gross realized losses on sales of investment securities available for sale	—		(679)
Net realized gains on sales of investment securities available for sale	$	9,207	$	19,795

The following table provides the realized and unrealized gains and losses on marketable equity securities for the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Marketable equity securities gains (losses), net	$	16,011	$	(51,408)
Less net gains recognized on marketable equity securities sold	263		323
Unrealized gains (losses) recognized on marketable equity securities held	$	15,748	$	(51,731)

The following table provides information regarding securities with unrealized losses as of March 31, 2021 and December 31, 2020:

	March 31, 2021
	Less than 12 months				12 months or more				Total
(Dollars in thousands)	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
Investment securities available for sale
Government agency	$	331,034	$	3,501	$	415,379	$	2,902	$	746,413	$	6,403
Residential mortgage-backed securities	2,345,301		26,001		12,495		45		2,357,796		26,046
Commercial mortgage-backed securities	685,575		11,891		—		—		685,575		11,891
Corporate bonds	8,394		14		26,183		534		34,577		548
Total	$	3,370,304	$	41,407	$	454,057	$	3,481	$	3,824,361	$	44,888
	December 31, 2020
	Less than 12 months				12 months or more				Total
(Dollars in thousands)	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
Investment securities available for sale
Government agency	$	268,622	$	3,197	$	328,777	$	2,376	$	597,399	$	5,573
Residential mortgage-backed securities	433,816		1,241		23,064		69		456,880		1,310
Corporate bonds	57,715		2,028		—		—		57,715		2,028
Total	$	760,153	$	6,466	$	351,841	$	2,445	$	1,111,994	$	8,911

As of March 31, 2021, there were 60 investment securities available for sale with continuous losses for more than 12 months, of which 54 were government sponsored enterprise-issued mortgage-backed securities or government agency securities and six were corporate bonds.

None of the unrealized losses identified as of March 31, 2021, or December 31, 2020, relate to the issuer’s ability to honor redemption obligations. Rather, the unrealized losses relate to changes in interest rates relative to when the investment securities were purchased, and do not indicate credit-related impairment. BancShares considered other factors including changes in credit ratings, delinquencies, and other macroeconomic factors in this determination. As a result, none of the securities were deemed to require an allowance for credit losses. BancShares has the ability and intent to retain these securities for a period of time sufficient to recover all unrealized losses.

Investment securities having an aggregate carrying value of $4.8 billion at March 31, 2021, and $4.6 billion at December 31, 2020, were pledged as collateral to secure public funds on deposit and certain short-term borrowings, and for other purposes as required by law.

BancShares’ portfolio of held to maturity debt securities consists of mortgage-backed securities issued by government agencies and government sponsored entities. Given the consistently strong credit rating of the U.S. Treasury and the long history of no credit losses on debt securities issued by government agencies and government sponsored entities, no further credit monitoring is performed on these portfolios. Should there be downgrades to the credit rating of the U.S. Treasury or losses reported on securities issued by government agencies and government sponsored entities, BancShares will reevaluate its determination of zero expected credit losses on held to maturity debt securities.

There were no debt securities held to maturity on nonaccrual status as of March 31, 2021.

A security is considered past due once it is 30 days contractually past due under the terms of the agreement. There were no securities past due as of March 31, 2021.

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Loans and Leases

3 Months Ended

Mar. 31, 2021

Loans and Leases Receivable Disclosure [Abstract]

Loans and Leases

LOANS AND LEASES

BancShares’ accounting methods for loans and leases depends on whether they are originated or purchased, and if purchased, whether or not the loans reflect more than insignificant credit deterioration since origination, which is determined as of the acquisition date. Non purchased credit deteriorated (“PCD”) loans consist of loans originated by BancShares and loans purchased from other institutions, that do not reflect more than insignificant credit deterioration at acquisition. Purchased loans which reflect more than insignificant credit deterioration are classified as PCD and reported as a single loan segment or class. At the date of acquisition, all acquired loans are recorded at fair value.

Loans and leases outstanding included the following at March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021		December 31, 2020
Commercial:
Construction and land development	$	1,022,087	$	985,424
Owner occupied commercial mortgage	11,340,966		11,165,012
Non-owner occupied commercial mortgage	3,017,898		2,987,689
Commercial and industrial and leases	4,946,445		5,013,644
SBA-PPP	2,769,906		2,406,291
Total commercial loans	23,097,302		22,558,060
Consumer:
Residential mortgage	5,566,026		5,561,686
Revolving mortgage	1,938,422		2,052,854
Construction and land development	336,065		348,123
Consumer auto	1,271,586		1,255,402
Consumer other	538,677		552,968
Total consumer loans	9,650,776		9,771,033
PCD loans	432,773		462,882
Total loans and leases	$	33,180,851	$	32,791,975

At March 31, 2021 and December 31, 2020, accrued interest receivable on loans was $103.2 million and $107.7 million, respectively, and was excluded from the estimate of credit losses.

Certain residential real estate loans are originated to be sold to investors and are recorded in loans held for sale at fair value. In addition, BancShares may change its strategy for certain portfolio loans and decide to sell them in the secondary market. At that time, portfolio loans are transferred to loans held for sale at fair value. Loans held for sale totaled $129.3 million and $124.8 million at March 31, 2021 and December 31, 2020, respectively.

The following table presents selected components of the amortized cost of loans.

(Dollars in thousands)	March 31, 2021		December 31, 2020
Deferred fees, including unearned fees and unamortized costs on non-PCD loans
Net deferred fees related to SBA-PPP loans	$	66,717	$	41,064
Net deferred fees related to other portfolios	11,932		9,153
Total net deferred fees	$	78,649	$	50,217
Net unamortized discount on purchased loans
Non-PCD	$	17,009	$	19,473
PCD	41,141		45,254
Total	$	58,150	$	64,727

The aging of the outstanding loans and leases, by class, at March 31, 2021 and December 31, 2020 is provided in the tables below. Loans and leases past due less than 30 days are considered current as various grace periods allow borrowers to make payments within a stated period after the due date and still remain in compliance with the loan agreement.

	March 31, 2021
(Dollars in thousands)	30-59 days past due		60-89 days past due		90 days or greater		Total past due		Current		Total loans and leases
Commercial:
Construction and land development	$	277	$	—	$	1,595	$	1,872	$	1,020,215	$	1,022,087
Owner occupied commercial mortgage	13,153		2,996		11,028		27,177		11,313,789		11,340,966
Non-owner occupied commercial mortgage	5,046		303		8,917		14,266		3,003,632		3,017,898
Commercial and industrial and leases	13,284		4,771		3,249		21,304		4,925,141		4,946,445
SBA-PPP	—		—		—		—		2,769,906		2,769,906
Total commercial loans	31,760		8,070		24,789		64,619		23,032,683		23,097,302
Consumer:
Residential mortgage	34,350		7,396		30,789		72,535		5,493,491		5,566,026
Revolving mortgage	6,222		1,603		8,531		16,356		1,922,066		1,938,422
Construction and land development	266		944		652		1,862		334,203		336,065
Consumer auto	4,432		1,014		860		6,306		1,265,280		1,271,586
Consumer other	2,246		1,213		1,516		4,975		533,702		538,677
Total consumer loans	47,516		12,170		42,348		102,034		9,548,742		9,650,776
PCD loans	11,250		4,322		33,694		49,266		383,507		432,773
Total loans and leases	$	90,526	$	24,562	$	100,831	$	215,919	$	32,964,932	$	33,180,851
	December 31, 2020
(Dollars in thousands)	30-59 days past due		60-89 days past due		90 days or greater		Total past due		Current		Total loans and leases
Commercial:
Construction and land development	$	956	$	527	$	1,603	$	3,086	$	982,338	$	985,424
Owner occupied commercial mortgage	8,757		2,232		14,082		25,071		11,139,941		11,165,012
Non-owner occupied commercial mortgage	12,370		—		5,973		18,343		2,969,346		2,987,689
Commercial and industrial and leases	14,532		2,842		3,243		20,617		4,993,027		5,013,644
SBA-PPP	—		—		—		—		2,406,291		2,406,291
Total commercial loans	36,615		5,601		24,901		67,117		22,490,943		22,558,060
Consumer:
Residential mortgage	43,218		8,364		31,690		83,272		5,478,414		5,561,686
Revolving mortgage	11,977		2,626		7,415		22,018		2,030,836		2,052,854
Construction and land development	932		77		330		1,339		346,784		348,123
Consumer auto	6,825		1,835		1,076		9,736		1,245,666		1,255,402
Consumer other	3,610		1,464		1,505		6,579		546,389		552,968
Total consumer loans	66,562		14,366		42,016		122,944		9,648,089		9,771,033
PCD loans	18,322		6,076		31,026		55,424		407,458		462,882
Total loans and leases	$	121,499	$	26,043	$	97,943	$	245,485	$	32,546,490	$	32,791,975

The amortized cost, by class, of loans and leases on nonaccrual status, and loans and leases greater than 90 days past due and still accruing at March 31, 2021 and December 31, 2020, were as follows:

	March 31, 2021				December 31, 2020
(Dollars in thousands)	Nonaccrual loans and leases		Loans and leases > 90 days and accruing		Nonaccrual loans and leases		Loans and leases > 90 days and accruing
Commercial:
Construction and land development	$	1,648	$	—	$	1,661	$	—
Owner occupied commercial mortgage	22,796		1,400		23,103		3,625
Non-owner occupied commercial mortgage	10,939		2,211		7,932		147
Commercial and industrial and leases	15,718		607		10,626		540
Total commercial loans	51,101		4,218		43,322		4,312
Consumer:
Residential mortgage	61,907		29		66,345		—
Revolving mortgage	23,952		—		22,236		—
Construction and land development	566		543		652		—
Consumer auto	3,027		—		3,166		—
Consumer other	816		1,155		823		1,195
Total consumer loans	90,268		1,727		93,222		1,195
PCD loans	53,165		1,432		54,939		355
Total loans and leases	$	194,534	$	7,377	$	191,483	$	5,862

Credit Quality

Loans and leases are monitored for credit quality on a recurring basis. Commercial and consumer loans and leases have different credit quality indicators as a result of the unique characteristics of the loan segments being evaluated. The credit quality indicators for commercial loans and leases are borrower risk classifications developed through a review of individual borrowers on an ongoing basis. Commercial loans are evaluated at least annually, with more frequent evaluations done on criticized loans. Commercial loans are also updated if there is evidence of potential credit deterioration, such as delinquency. Commercial credit cards are included in the Commercial and industrial and leases segment, but are evaluated based primarily upon delinquency status. The risk classifications as of the date presented are based on the most recent assessment performed and are defined below:

Pass – A pass rated asset is not adversely classified because it does not display any of the characteristics for adverse classification.

Special mention – A special mention asset has potential weaknesses that deserve management’s close attention. If left uncorrected, such potential weaknesses may result in deterioration of the repayment prospects or collateral position at some future date. Special mention assets are not adversely classified and do not warrant adverse classification.

Substandard – A substandard asset is inadequately protected by the current net worth and paying capacity of the borrower or of the collateral pledged, if any. Assets classified as substandard generally have a well-defined weakness, or weaknesses, that jeopardize the liquidation of the debt. These assets are characterized by the distinct possibility of loss if the deficiencies are not corrected.

Doubtful – An asset classified as doubtful has all the weaknesses inherent in an asset classified substandard with the added characteristic that the weaknesses make collection or liquidation in full highly questionable and improbable on the basis of currently existing facts, conditions and values.

Loss – Assets classified as loss are considered uncollectible and of such little value that it is inappropriate to be carried as an asset. This classification is not necessarily equivalent to any potential for recovery or salvage value, but rather that it is not appropriate to defer a full charge-off even though partial recovery may be affected in the future.

Ungraded – Ungraded loans represent loans that are not included in the individual credit grading process due to their relatively small balances or borrower type. The majority of ungraded loans at March 31, 2021 relate to business credit cards. Business credit card loans are subject to automatic charge-off when they become 120 days past due in the same manner as unsecured consumer lines of credit. The remaining balance is comprised of a small amount of commercial mortgage, lease financing and other commercial real estate loans.

The credit quality indicators for consumer and PCD loans are based on delinquency status of the borrower as of the date presented. As the borrower becomes more delinquent, the likelihood of loss increases.

The following tables represent current credit quality indicators by origination year as of March 31, 2021.

	March 31, 2021
	Commercial Loans Amortized Cost Basis by Origination Year
Classification:	2021		2020		2019		2018		2017		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Construction and land development
Pass	$	46,039	$	399,172	$	310,753	$	168,534	$	48,089	$	28,797	$	12,548	$	—	$	1,013,932
Special Mention	—		232		—		181		85		—		145		—		643
Substandard	—		225		590		1,447		5,170		80		—		—		7,512
Total	46,039		399,629		311,343		170,162		53,344		28,877		12,693		—		1,022,087
Owner occupied commercial mortgage
Pass	632,239		3,202,842		2,166,465		1,521,886		1,206,771		2,249,426		106,579		101		11,086,309
Special Mention	687		10,398		29,975		39,868		12,074		37,441		2,974		72		133,489
Substandard	3,564		9,322		14,441		9,287		26,702		49,856		7,996		—		121,168
Total	636,490		3,222,562		2,210,881		1,571,041		1,245,547		2,336,723		117,549		173		11,340,966
Non-owner occupied commercial mortgage
Pass	158,815		809,647		603,274		332,010		319,514		638,882		35,835		—		2,897,977
Special Mention	794		676		880		10,778		1,440		2,918		500		—		17,986
Substandard	75		12,018		22,293		12,643		8,762		44,396		1,748		—		101,935
Total	159,684		822,341		626,447		355,431		329,716		686,196		38,083		—		3,017,898
Commercial and industrial and leases
Pass	424,035		1,423,941		884,987		442,129		251,356		445,265		874,664		5,150		4,751,527
Special Mention	102		10,601		22,183		8,335		6,160		7,764		11,376		194		66,715
Substandard	5,507		15,179		4,398		5,572		3,950		5,597		24,608		1,410		66,221
Doubtful	—		—		—		—		—		—		2		—		2
Ungraded	—		—		—		—		—		—		61,980		—		61,980
Total	429,644		1,449,721		911,568		456,036		261,466		458,626		972,630		6,754		4,946,445
SBA-PPP
Pass	936,012		1,833,894		—		—		—		—		—		—		2,769,906
Total commercial	$	2,207,869	$	7,728,147	$	4,060,239	$	2,552,670	$	1,890,073	$	3,510,422	$	1,140,955	$	6,927	$	23,097,302
	Consumer and PCD Loans Amortized Cost Basis by Origination Year
Days Past Due:	2021		2020		2019		2018		2017		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Residential mortgage
Current	$	521,849	$	1,810,979	$	889,902	$	561,267	$	518,205	$	1,166,958	$	24,331	$	—	$	5,493,491
30-59 days	2,367		2,193		236		9,619		4,113		15,567		255		—		34,350
60-89 days	—		256		1,012		1,040		558		4,530		—		—		7,396
90 days or greater	—		286		1,455		838		3,797		24,384		29		—		30,789
Total	524,216		1,813,714		892,605		572,764		526,673		1,211,439		24,615		—		5,566,026
Revolving mortgage
Current	—		—		—		—		—		—		1,772,173		149,893		1,922,066
30-59 days	—		—		—		—		—		—		3,877		2,345		6,222
60-89 days	—		—		—		—		—		—		699		904		1,603
90 days or greater	—		—		—		—		—		—		4,112		4,419		8,531
Total	—		—		—		—		—		—		1,780,861		157,561		1,938,422
Construction and land development
Current	40,360		209,701		52,406		16,883		8,037		5,241		1,575		—		334,203
30-59 days	—		108		15		61		30		52		—		—		266
60-89 days	—		240		138		59		366		141		—		—		944
90 days or greater	—		543		—		—		59		50		—		—		652
Total	40,360		210,592		52,559		17,003		8,492		5,484		1,575		—		336,065

Consumer auto
Current	155,101		484,026		302,622		191,055		87,139		45,337		—		—		1,265,280
30-59 days	—		1,327		962		1,054		703		386		—		—		4,432
60-89 days	—		433		197		253		117		14		—		—		1,014
90 days or greater	—		294		134		217		129		86		—		—		860
Total	155,101		486,080		303,915		192,579		88,088		45,823		—		—		1,271,586
Consumer other
Current	20,879		45,239		22,631		8,552		6,246		34,873		395,282		—		533,702
30-59 days	3		131		100		106		1		—		1,905		—		2,246
60-89 days	—		95		7		10		—		—		1,101		—		1,213
90 days or greater	—		14		114		6		—		—		1,382		—		1,516
Total	20,882		45,479		22,852		8,674		6,247		34,873		399,670		—		538,677
Total consumer	$	740,559	$	2,555,865	$	1,271,931	$	791,020	$	629,500	$	1,297,619	$	2,206,721	$	157,561	$	9,650,776
PCD loans
Current	$	—	$	28,056	$	24,347	$	26,763	$	24,879	$	247,606	$	11,788	$	20,068	$	383,507
30-59 days	—		344		390		407		300		9,423		19		367		11,250
60-89 days	—		51		88		—		165		3,896		—		122		4,322
90 days or greater	—		1,294		2,404		4,412		1,826		22,504		105		1,149		33,694
Total PCD	$	—	$	29,745	$	27,229	$	31,582	$	27,170	$	283,429	$	11,912	$	21,706	$	432,773
Total loans and leases	$	2,948,428	$	10,313,757	$	5,359,399	$	3,375,272	$	2,546,743	$	5,091,470	$	3,359,588	$	186,194	$	33,180,851

The following tables represent current credit quality indicators by origination year as of December 31, 2020.

	December 31, 2020
	Commercial Loans Amortized Cost Basis by Origination Year
Classification:	2020		2019		2018		2017		2016		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Construction and land development
Pass	$	342,183	$	341,233	$	190,429	$	50,776	$	23,969	$	11,306	$	10,969	$	—	$	970,865
Special Mention	246		—		6,421		5,342		—		—		153		—		12,162
Substandard	229		629		1,450		—		8		81		—		—		2,397
Total	342,658		341,862		198,300		56,118		23,977		11,387		11,122		—		985,424
Owner occupied commercial mortgage
Pass	3,183,467		2,201,165		1,625,141		1,301,412		1,049,858		1,454,020		101,556		133		10,916,752
Special Mention	6,274		20,702		36,739		12,387		17,699		25,693		5,115		72		124,681
Substandard	10,280		19,052		9,842		20,928		13,736		41,303		8,438		—		123,579
Total	3,200,021		2,240,919		1,671,722		1,334,727		1,081,293		1,521,016		115,109		205		11,165,012
Non-owner occupied commercial mortgage
Pass	865,514		609,975		378,136		331,800		282,810		391,517		32,149		—		2,891,901
Special Mention	569		905		10,794		1,808		5,121		3,279		483		—		22,959
Substandard	2,899		18,546		12,296		8,764		14,087		15,427		810		—		72,829
Total	868,982		629,426		401,226		342,372		302,018		410,223		33,442		—		2,987,689
Commercial and industrial and leases
Pass	1,620,622		983,852		504,463		310,468		234,735		286,996		899,978		5,520		4,846,634
Special Mention	3,146		17,065		7,265		5,393		3,307		4,912		9,152		189		50,429
Substandard	17,811		4,095		4,370		4,257		2,548		3,801		22,384		983		60,249
Ungraded	—		—		—		—		—		—		56,332		—		56,332
Total	1,641,579		1,005,012		516,098		320,118		240,590		295,709		987,846		6,692		5,013,644
SBA-PPP
Pass	2,406,291		—		—		—		—		—		—		—		2,406,291
Total commercial	$	8,459,531	$	4,217,219	$	2,787,346	$	2,053,335	$	1,647,878	$	2,238,335	$	1,147,519	$	6,897	$	22,558,060

	Consumer and PCD Loans Amortized Cost Basis by Origination Year
Days Past Due:	2020		2019		2018		2017		2016		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Residential mortgage
Current	$	1,882,683	$	978,298	$	655,798	$	596,309	$	461,719	$	878,634	$	24,973	$	—	$	5,478,414
30-59 days	2,278		4,573		11,463		3,772		8,613		12,299		220		—		43,218
60-89 days	30		100		1,246		1,449		834		4,705		—		—		8,364
90 days or greater	282		4,831		3,150		4,015		5,689		13,723		—		—		31,690
Total	1,885,273		987,802		671,657		605,545		476,855		909,361		25,193		—		5,561,686
Revolving mortgage
Current	—		—		—		—		—		—		1,879,968		150,868		2,030,836
30-59 days	—		—		—		—		—		—		8,241		3,736		11,977
60-89 days	—		—		—		—		—		—		527		2,099		2,626
90 days or greater	—		—		—		—		—		—		2,301		5,114		7,415
Total	—		—		—		—		—		—		1,891,037		161,817		2,052,854
Construction and land development
Current	215,112		85,707		24,860		10,269		6,093		2,218		2,525		—		346,784
30-59 days	—		420		121		370		—		21		—		—		932
60-89 days	—		—		—		9		—		68		—		—		77
90 days or greater	—		—		—		—		—		330		—		—		330
Total	215,112		86,127		24,981		10,648		6,093		2,637		2,525		—		348,123
Consumer auto
Current	521,719		340,594		219,597		104,280		49,872		9,604		—		—		1,245,666
30-59 days	2,175		1,873		1,257		842		544		134		—		—		6,825
60-89 days	329		689		312		351		109		45		—		—		1,835
90 days or greater	170		527		217		57		102		3		—		—		1,076
Total	524,393		343,683		221,383		105,530		50,627		9,786		—		—		1,255,402
Consumer other
Current	53,842		27,117		10,911		7,159		2,980		29,336		415,044		—		546,389
30-59 days	322		114		77		18		11		7		3,061		—		3,610
60-89 days	102		20		13		18		3		23		1,285		—		1,464
90 days or greater	53		84		8		—		—		—		1,360		—		1,505
Total	54,319		27,335		11,009		7,195		2,994		29,366		420,750		—		552,968
Total consumer	$	2,679,097	$	1,444,947	$	929,030	$	728,918	$	536,569	$	951,150	$	2,339,505	$	161,817	$	9,771,033
PCD loans
Current	$	31,475	$	25,425	$	27,183	$	27,955	$	28,995	$	232,186	$	13,212	$	21,027	$	407,458
30-59 days	999		925		801		718		1,341		12,637		156		745		18,322
60-89 days	447		81		312		695		97		4,098		9		337		6,076
90 days or greater	721		2,325		4,755		1,208		897		19,963		111		1,046		31,026
Total PCD	$	33,642	$	28,756	$	33,051	$	30,576	$	31,330	$	268,884	$	13,488	$	23,155	$	462,882
Total loans and leases	$	11,172,270	$	5,690,922	$	3,749,427	$	2,812,829	$	2,215,777	$	3,458,369	$	3,500,512	$	191,869	$	32,791,975

The following table provides information regarding loans pledged as collateral for borrowing capacity through the FHLB of Atlanta and the Federal Reserve Bank (“FRB”) as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021		December 31, 2020
FHLB of Atlanta
Lendable collateral value of pledged non-PCD loans	$	8,847,178	$	8,637,844
Less: Advances	648,671		652,675
Available borrowing capacity	$	8,198,507	$	7,985,169
Pledged non-PCD loans	$	12,327,626	$	12,157,153
FRB
Lendable collateral value of pledged non-PCD loans	$	3,367,466	$	3,321,762
Less: Advances	—		—
Available borrowing capacity	$	3,367,466	$	3,321,762
Pledged non-PCD loans	$	4,181,520	$	4,104,866

XML

Allowance for Credit Losses

3 Months Ended

Mar. 31, 2021

Receivables [Abstract]

Allowance

ALLOWANCE FOR CREDIT LOSSES

The ACL is calculated using a variety of factors, including, but not limited to, charge-off and recovery activity, loan growth, changes in macroeconomic factors, collateral type, estimated loan life and changes in credit quality. For the period ended March 31, 2021, the primary reason for the ACL change since December 31, 2020 was improvement in macroeconomic factors. Forecasted economic conditions are developed using third party macroeconomic scenarios adjusted based on management’s expectations over a forecast period of two years. For most pools, we use a 12-month straight-line reversion period to historical averages for model inputs; however for the consumer other, consumer card and commercial card pools, immediate reversion to historical net loss rates is utilized. Significant macroeconomic factors used in estimating the expected losses include unemployment, gross domestic product, home price index and commercial real estate index. Our ACL forecast considers a range of economic scenarios from an upside scenario to a severely adverse scenario, but the March 31, 2021 ACL forecast was calculated using the consensus baseline scenario. This scenario showed improvements in the most significant economic factors compared to what was used to generate the December 31, 2020 ACL. These loss estimates were also influenced by our strong credit quality, low net charge-offs and recent credit trends, which remained stable through the quarter ended March 31, 2021, despite potential impacts from COVID-19.

Activity in the ACL by portfolio segment is summarized as follows:

	Three months ended March 31, 2021
(Dollars in thousands)	Commercial		Consumer		PCD		Total
Balance at January 1	$	80,842	$	119,485	$	23,987	$	224,314
Provision (credit)	(3,922)		(5,504)		(1,548)		(10,974)
Charge-offs	(3,331)		(4,469)		(763)		(8,563)
Recoveries	1,275		3,340		1,259		5,874
Balance at March 31	$	74,864	$	112,852	$	22,935	$	210,651
	Three months ended March 31, 2020
(Dollars in thousands)	Commercial		Consumer		PCD		Total
Balance at December 31	$	142,369	$	75,236	$	7,536	$	225,141
Adoption of ASC 326	(87,554)		30,629		19,001		(37,924)
Balance at January 1	54,815		105,865		26,537		187,217
Provision (credit)	21,537		9,406		(2,588)		28,355
Initial allowance on PCD loans	—		—		1,193		1,193
Charge-offs	(5,369)		(7,769)		(1,123)		(14,261)
Recoveries	1,427		2,431		2,897		6,755
Balance at March 31	$	72,410	$	109,933	$	26,916	$	209,259

BancShares records an allowance for credit losses on unfunded commitments within other liabilities. Activity in the allowance for credit losses for unfunded commitments is summarized as follows:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Allowance for credit losses:
Beginning balance	$	12,814	$	1,055
Adoption of ASC 326	—		8,885
Adjusted beginning balance	$	12,814	$	9,940
Provision (credit)	(1,243)		572
Ending balance	11,571		10,512

BancShares individually reviews loans greater than $500 thousand that are determined to be collateral-dependent. These collateral-dependent loans are evaluated based on the fair value of the underlying collateral as repayment of the loan is expected to be made through the operation or sale of the collateral. Commercial and industrial loans and leases are collateralized by business assets, while the remaining loan classes are collateralized by real property.

The following table presents information on collateral-dependent loans by class and includes the amortized cost of collateral-dependent loans and leases, the net realizable value of the collateral, the extent to which collateral secures collateral-dependent loans and the associated ACL as of March 31, 2021 and December 31, 2020 were as follows:

	March 31, 2021
(Dollars in thousands)	Collateral-Dependant Loans		Net Realizable Value of Collateral		Collateral Coverage		Allowance for Credit Losses
Commercial loans:
Construction and land development	$	1,424	$	1,795	126.1	%	$	—
Owner occupied commercial mortgage	11,886		16,417		138.1		—
Non-owner occupied commercial mortgage	6,951		9,312		134.0		—
Commercial and industrial and leases	1,256		2,916		232.2		—
Total commercial loans	21,517		30,440		141.5		—
Consumer:
Residential mortgage	21,303		27,279		128.1		120
Revolving mortgage	1,385		1,724		124.5		—
Total consumer loans	22,688		29,003		127.8		120
PCD loans	20,361		35,016		172.0		—
Total collateral-dependent loans	$	64,566	$	94,459	146.3	%	$	120
	December 31, 2020
(Dollars in thousands)	Collateral-Dependant Loans		Net Realizable Value of Collateral		Collateral Coverage		Allowance for Credit Losses
Commercial loans:
Construction and land development	$	1,424	$	1,795	126.1	%	$	—
Owner occupied commercial mortgage	9,792		14,253		145.6		—
Non-owner occupied commercial mortgage	5,556		7,577		136.4		—
Total commercial loans	16,772		23,625		140.9		—
Consumer:
Residential mortgage	23,011		29,775		129.4		131
PCD loans	19,042		27,872		146.4		—
Total collateral-dependent loans	$	58,825	$	81,272	138.2	%	$	131

Collateral-dependent nonaccrual loans with no recorded allowance totaled $61.7 million and $57.5 million as of March 31, 2021 and December 31, 2020, respectively. All other nonaccrual loans have a recorded allowance.

Troubled Debt Restructurings

BancShares accounts for certain loan modifications or restructurings as troubled debt restructurings (“TDRs”). In general, the modification or restructuring of a loan is considered a TDR if, for economic or legal reasons related to a borrower’s financial difficulties, a concession is granted to the borrower that creditors would not otherwise consider. Concessions may relate to the contractual interest rate, maturity date, payment structure or other actions. Within BancShares’ ACL loss models, TDRs are not individually evaluated unless determined to be collateral-dependent. Consumer TDRs are included in the definition of default which provides for a 100% probability of default applied within the models. As a result, subsequent changes in credit quality metrics do not impact the calculation of the ACL on consumer TDRs. For commercial TDRs, the TDR distinction does impact the calculation of ACL, as the standard definition of default is utilized.

The Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus was published by banking regulators in April 2020 to clarify expectations around loan modifications and the determination of TDRs for borrowers experiencing financial difficulty due to COVID-19. BancShares applied this regulatory guidance during its TDR identification process for short-term loan forbearance agreements as a result of COVID-19 and in most cases did not record these as TDRs.

The following tables provides a summary of total TDRs by accrual status:

	March 31, 2021						December 31, 2020
(Dollars in thousands)	Accruing		Nonaccruing		Total		Accruing		Nonaccruing		Total
Commercial loans:
Construction and land development	$	529	$	41	$	570	$	578	$	54	$	632
Owner occupied commercial mortgage	38,969		9,986		48,955		37,574		10,889		48,463
Non-owner occupied commercial mortgage	20,541		1,335		21,876		18,336		1,649		19,985
Commercial and industrial and leases	30,956		6,551		37,507		29,131		3,528		32,659
Total commercial loans	90,995		17,913		108,908		85,619		16,120		101,739
Consumer:
Residential mortgage	25,323		20,802		46,125		29,458		19,380		48,838
Revolving mortgage	18,729		7,331		26,060		20,124		7,128		27,252
Construction and land development	1,501		9		1,510		1,573		9		1,582
Consumer auto	2,173		668		2,841		2,018		696		2,714
Consumer other	910		163		1,073		955		137		1,092
Total consumer loans	48,636		28,973		77,609		54,128		27,350		81,478
PCD loans	20,920		9,509		30,429		17,617		7,346		24,963
Total loans	$	160,551	$	56,395	$	216,946	$	157,364	$	50,816	$	208,180

The following table provides the types of modifications designated as TDRs during the three months ended March 31, 2021 and March 31, 2020, as well as a summary of loans modified as a TDR during the twelve-month periods ended March 31, 2021 and March 31, 2020 that subsequently defaulted during the three months ended March 31, 2021 and March 31, 2020. BancShares defines payment default as movement of the TDR to nonaccrual status, which is generally 90 days past due for TDRs, foreclosure or charge-off, whichever occurs first.

	Three months ended March 31, 2021						Three months ended March 31, 2020
	All restructurings			Restructurings with payment default			All restructurings			Restructurings with payment default
(Dollars in thousands)	Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end
Loans and leases
Interest only	6	$	6,947	2	$	42	10	$	3,986	—	$	—
Loan term extension	25	3,863		12	1,749		6	794		3	263
Below market interest rate	53	8,122		20	1,428		88	8,165		29	1,421
Discharged from bankruptcy	45	4,100		12	2,365		68	5,032		28	1,767
Total restructurings	129	$	23,032	46	$	5,584	172	$	17,977	60	$	3,451

For the three months ended March 31, 2021 and March 31, 2020, the pre-modification and post-modification outstanding amortized cost of loans modified as TDRs were not materially different.

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Other Real Estate Owned

3 Months Ended

Mar. 31, 2021

Other Real Estate [Abstract]

Other Real Estate Owned

NOTE F - OTHER REAL ESTATE OWNED

The following table explains changes in other real estate owned (“OREO”) during the three months ended March 31, 2021 and 2020:

(Dollars in thousands)	OREO
Balance at December 31, 2020	$	50,890
Additions	7,106
Sales	(8,102)
Write-downs/losses	(1,382)
Balance at March 31, 2021	$	48,512
Balance at December 31, 2019	$	46,591
Additions	5,987
Acquired in business combinations	9,813
Sales	(5,321)
Write-downs/losses	(1,363)
Balance at March 31, 2020	$	55,707

At March 31, 2021 and December 31, 2020, BancShares had $6.5 million and $5.8 million, respectively, of foreclosed residential real estate property in OREO. The recorded investment in consumer mortgage loans collateralized by residential real estate property in the process of foreclosure was $27.1 million and $29.4 million at March 31, 2021 and December 31, 2020, respectively. Net gains recorded on the sale of OREO properties were $1.8 million for the three months ended March 31, 2021. Net losses recorded on the sale of OREO properties were $0.1 million for the three months ended March 31, 2020

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Mortgage Servicing Rights

3 Months Ended

Mar. 31, 2021

Mortgage Servicing Rights [Abstract]

Mortgage Servicing Rights

MORTGAGE SERVICING RIGHTS

BancShares originates certain residential mortgages loans to sell in the secondary market. BancShares’ portfolio of residential mortgage loans serviced for third parties was $3.3 billion as of March 31, 2021 and December 31, 2020. These loans are originated and sold to third parties on a non-recourse basis with servicing rights retained. The retained servicing rights are recorded as a servicing asset and are reported in other intangible assets. The associated amortization expense and any valuation allowance recognized were included as a reduction of mortgage income. Mortgage servicing rights are initially recorded at fair value and then carried at the lower of amortized cost or fair value.

Contractually specified mortgage servicing fees, late fees and ancillary fees earned were $2.1 million for the three months ended March 31, 2021 and 2020, and are reported in mortgage income.

The following table presents changes in the servicing asset during the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Beginning balance	$	18,426	$	22,963
Servicing rights originated	3,444		1,583
Amortization	(2,248)		(1,823)
Valuation allowance decrease (increase)	3,123		(2,967)
Ending balance	$	22,745	$	19,756

The following table presents the activity in the servicing asset valuation allowance for the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Beginning balance	$	4,365	$	222
Valuation allowance (decrease) increase	(3,123)		2,967
Ending balance	$	1,242	$	3,189

Mortgage servicing rights valuations are performed using a pooling methodology where loans with similar risk characteristics are grouped together and evaluated using discounted cash flows to estimate the present value of future earnings. Key economic assumptions used to value mortgage servicing rights were as follows:

	March 31, 2021			December 31, 2020
Discount rate - conventional fixed loans	8.74		%	7.92		%
Discount rate - all loans excluding conventional fixed loans	9.74		%	8.92		%
Weighted average constant prepayment rate	16.54		%	20.62		%
Weighted average cost to service a loan	$	87.58		$	87.58

The fair value of mortgage servicing rights is sensitive to changes in assumptions and is determined by estimating the present value of the asset’s future cash flows by utilizing discount rates, prepayment rates, and other inputs. The discount rate is based on the 10-year U.S. Treasury rate plus a risk premium of 700 basis points for conventional fixed loans and 800 basis points for all other loans. The prepayment rate is derived from the Public Securities Association Standard Prepayment model. Generally, as interest rates decline, mortgage loan prepayments accelerate due to increased refinance activity, which results in a decrease in the fair value and may result in the recognition of a valuation allowance. The average cost to service a loan is based on the number of loans serviced and the total cost to service the loans.

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Repurchase Agreements

3 Months Ended

Mar. 31, 2021

Repurchase Agreements [Abstract]

Repurchase Agreements, Resale Agreements, Securities Borrowed, and Securities Loaned Disclosure [Text Block]

REPURCHASE AGREEMENTS

BancShares utilizes securities sold under agreements to repurchase to facilitate the needs of customers and secure wholesale funding needs. Repurchase agreements are transactions whereby BancShares offers to sell to a counterparty an undivided interest in an eligible security at an agreed upon price, and which obligates BancShares to repurchase the security at an agreed upon date, repurchase price, and interest rate. These agreements are recorded at the amount of cash received in connection with the transaction and are reflected as securities sold under customer repurchase agreements.

BancShares monitors collateral levels on a continuous basis and maintains records of each transaction specifically describing the applicable security and the counterparty’s interest in that security, and segregates the security from general assets in accordance with regulations governing custodial holdings of securities. The primary risk with repurchase agreements is market risk associated with the investments securing the transactions, as additional collateral may be required based on fair value changes of the underlying investments. Securities pledged as collateral under repurchase agreements are maintained with safekeeping agents. The carrying value of investment securities pledged as collateral under repurchase agreements was $685.6 million and $689.3 million at March 31, 2021 and December 31, 2020, respectively.

At March 31, 2021, BancShares held $680.7 million of securities sold under agreements to repurchase, with overnight and continuous remaining contractual maturities, made up of $485.8 million collateralized by government agency securities and $194.9 million collateralized by commercial mortgage-backed securities. At December 31, 2020, BancShares held securities sold under agreements to repurchase of $641.5 million, with overnight and continuous remaining contractual maturities, made up of $432.8 million collateralized by government agency securities and $208.7 million collateralized by commercial mortgage-backed securities.

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FDIC Shared-Loss Payable

3 Months Ended

Mar. 31, 2021

FDIC Shared-Loss Receivable [Abstract]

FDIC Shared-Loss Receivable

FDIC SHARED-LOSS PAYABLE

For certain FDIC-assisted transactions, the shared-loss agreement included a provision related to a payment owed to the FDIC at the termination of the agreement. As of March 31, 2021, these agreements have been satisfied following a $16.1 million payment made to the FDIC related to the final active agreement.

The following table provides changes in the FDIC shared-loss payable since December 31, 2020:

(Dollars in thousands)	Total
Balance at December 31, 2020	$	15,601
Accretion	502
Payment made to the FDIC to settle shared-loss agreement	(16,103)
Balance at March 31, 2021	$	—

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Accumulated Other Comprehensive Income (Loss)

3 Months Ended

Mar. 31, 2021

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Accumulated Other Comprehensive Loss

ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME

Accumulated other comprehensive (loss) income included the following as of March 31, 2021 and December 31, 2020:

	March 31, 2021						December 31, 2020
(Dollars in thousands)	Accumulated other comprehensive income (loss)		Deferred tax expense (benefit)		Accumulated other comprehensive income (loss), net of tax		Accumulated other comprehensive income (loss)		Deferred tax expense (benefit)		Accumulated other comprehensive income (loss), net of tax
Unrealized gains on securities available for sale	$	36,570	$	8,411	$	28,159	$	102,278	$	23,524	$	78,754
Unrealized gains on securities available for sale transferred from (to) held to maturity	4,924		1,133		3,791		5,399		1,242		4,157
Defined benefit pension items	(85,222)		(19,601)		(65,621)		(91,751)		(21,103)		(70,648)
Total	$	(43,728)	$	(10,057)	$	(33,671)	$	15,926	$	3,663	$	12,263

The following table highlights changes in accumulated other comprehensive (loss) income by component for the three months ended March 31, 2021 and 2020:

	Three months ended March 31, 2021
(Dollars in thousands, net of tax)	Unrealized gains on securities available for sale		Unrealized gains on securities available for sale transferred to held to maturity		Defined benefit pension items		Total
Beginning balance	$	78,754	$	4,157	$	(70,648)	$	12,263
Net unrealized losses arising during period	(43,506)		—		—		(43,506)
Amounts reclassified from accumulated other comprehensive income	(7,089)		(366)		5,027		(2,428)
Net current period other comprehensive (loss) income	(50,595)		(366)		5,027		(45,934)
Ending balance	$	28,159	$	3,791	$	(65,621)	$	(33,671)
	Three months ended March 31, 2020
(Dollars in thousands, net of tax)	Unrealized gains on securities available for sale		Unrealized gains on securities available for sale transferred to held to maturity		Defined benefit pension items		Total
Beginning balance	$	5,792	$	—	$	(132,515)	$	(126,723)
Net unrealized gains arising during period	111,530		—		—		111,530
Amounts reclassified from accumulated other comprehensive loss	(15,242)		—		4,823		(10,419)
Net current period other comprehensive income	96,288		—		4,823		101,111
Ending balance	$	102,080	$	—	$	(127,692)	$	(25,612)

The following table presents the amounts reclassified from accumulated other comprehensive (loss) income and the line item affected in the statement where net income is presented for the three and three months ended March 31, 2021 and 2020:

(Dollars in thousands)	Three months ended March 31, 2021
Details about accumulated other comprehensive income (loss)	Amounts reclassified from accumulated other comprehensive income (loss)		Affected line item in the statement where net income is presented
Unrealized gains on securities available for sale	$	9,207	Realized gains on investment securities available for sale, net
	(2,118)		Income taxes
	$	7,089
Accretion of unrealized gains on securities available for sale transferred to held to maturity	$	475	Net interest income
	(109)		Income taxes
	$	366
Amortization of defined benefit pension actuarial losses	(6,529)		Other noninterest expense
	1,502		Income taxes
	$	(5,027)
Total reclassifications for the period	$	2,428
(Dollars in thousands)	Three months ended March 31, 2020
Details about accumulated other comprehensive income (loss)	Amounts reclassified from accumulated other comprehensive income (loss)		Affected line item in the statement where net income is presented
Unrealized gains on securities available for sale	$	19,795	Realized gains on investment securities available for sale, net
	(4,553)		Income taxes
	$	15,242
Amortization of defined benefit pension actuarial losses	(6,264)		Other noninterest expense
	1,441		Income taxes
	$	(4,823)
Total reclassifications for the period	$	10,419

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Estimated Fair Values

3 Months Ended

Mar. 31, 2021

Fair Value Disclosures [Abstract]

Estimated Fair Values

ESTIMATED FAIR VALUES

Fair value estimates are intended to represent the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. Where there is no active market for a financial instrument, BancShares has made estimates using discounted cash flows or other valuation techniques. Inputs used in these valuation techniques are subjective in nature, involve uncertainties and require significant judgment and therefore can only be derived within a range of precision. Accordingly, the derived fair value estimates presented below are not necessarily indicative of the amounts BancShares would realize in a current market exchange.

ASC 820, Fair Value Measurements and Disclosures, indicates that assets and liabilities are recorded at fair value according to a fair value hierarchy comprised of three levels. The levels are based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. The level within the fair value hierarchy for an asset or liability is based on the highest level of input that is significant to the fair value measurement (with Level 1 considered highest and Level 3 considered lowest). A brief description of each level follows:

•Level 1 values are based on quoted prices for identical instruments in active markets.

•Level 2 values are based on quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market.

•Level 3 values are derived from valuation techniques in which one or more significant inputs or assumptions are not observable in the market. These unobservable inputs and assumptions reflect estimates that market participants would use in pricing the asset or liability. Valuation techniques include the use of discounted cash flow models and similar techniques.

BancShares’ management reviews any changes to its valuation methodologies to ensure they are appropriate and supportable, and refines valuation methodologies as more market-based data becomes available. Accuracy of the levels of the fair value hierarchy are validated and transfers between levels of the fair value hierarchy are recognized at the end of the reporting period.

The methodologies used to estimate the fair value of financial assets and financial liabilities are discussed below:

Investment securities available for sale and held to maturity. The fair value of U.S. Treasury, government agency and mortgage-backed securities, municipal securities, as well as a portion of corporate bonds, is generally estimated using a third party pricing service. The third party provider evaluates securities based on comparable investments with trades and market data and will utilize pricing models that use a variety of inputs, such as benchmark yields, reported trades, broker-dealer quotes, issuer spreads, benchmark securities, bids and offers as needed. These securities are generally classified as Level 2. The remaining corporate bonds held are generally measured at fair value based on indicative bids from broker-dealers which are unadjusted and are not directly observable. These securities are considered Level 3.

Investment in marketable equity securities. Equity securities are measured at fair value using observable closing prices and the market activity. Equity securities are classified as Level 1 if they are traded in an active market and as Level 2 if the observable closing price is from a less than active market.

Loans held for sale. Management elects the fair value option on certain residential real estate loans originated to be sold to investors. The loans are carried at fair value based on quoted market prices for similar types of loans. Accordingly, the inputs used to calculate fair value of originated residential real estate loans held for sale are classified as Level 2 inputs. Loans held for investment subsequently transferred to held for sale are carried at fair value when a firm commitment to purchase from a counterparty exists. The fair value of the transferred loans is based on the quoted prices and is considered a Level 1 input.

Net loans and leases. Fair value is estimated based on discounted future cash flows using the current interest rates at which loans with similar terms would be made to borrowers of similar credit quality. The inputs used in the fair value measurements for loans and leases are considered Level 3 inputs.

FHLB stock. The carrying amount of FHLB stock is a reasonable estimate of fair value as these securities are not readily marketable and are evaluated for impairment based on the ultimate recoverability of the par value. BancShares considers positive and negative evidence, including the profitability and asset quality of the issuer, dividend payment history and recent redemption experience, when determining the ultimate recoverability of the par value. BancShares believes its investment in FHLB stock is ultimately recoverable at par. The inputs used in the fair value measurement for the FHLB stock are considered Level 2 inputs.

Mortgage and other servicing rights. Mortgage and other servicing rights are carried at the lower of amortized cost or market value and are, therefore, carried at fair value only when fair value is less than the amortized cost. The fair value of mortgage and other servicing rights is performed using a pooling methodology. Similar loans are pooled together and a model that relies on discount rates, estimates of prepayment rates and the weighted average cost to service the loans is used to determine the fair value. The inputs used in the fair value measurement for mortgage and other servicing rights are considered Level 3 inputs.

Deposits. For non-time deposits, carrying value is a reasonable estimate of fair value. The fair value of time deposits is estimated by discounting future cash flows using the interest rates currently offered for deposits with similar remaining maturities. The inputs used in the fair value measurement for deposits are considered Level 2 inputs.    

Borrowings. For borrowings, the fair values are determined based on recent trades or sales of the actual security if available. Otherwise, fair values are estimated by discounting future cash flows using current interest rates for similar financial instruments. The inputs used in the fair value measurement for FHLB borrowings, subordinated debentures, and other borrowings are considered Level 2 inputs.

Payable to the FDIC for shared-loss agreements. The fair value of the payable to the FDIC for shared-loss agreements was determined based on payments to the FDIC in accordance with the shared-loss agreements. Cash flows were discounted using current discount rates to reflect the timing of the estimated amounts due to the FDIC. The inputs used in the fair value measurement for the payable to the FDIC were considered Level 3 inputs.

Off-balance-sheet commitments and contingencies. Carrying amounts are reasonable estimates of the fair values for such financial instruments. Carrying amounts include unamortized fee income and, in some cases, reserves for any credit losses from those financial instruments. These amounts are not material to BancShares’ financial position.

For all other financial assets and liabilities, the carrying value is a reasonable estimate of the fair value as of March 31, 2021 and December 31, 2020. The carrying value and fair value for these assets and liabilities are equivalent because they are relatively short term in nature and there is no interest rate or credit risk that would cause the fair value to differ from the carrying value. Cash and due from banks is classified on the fair value hierarchy as Level 1. Overnight investments, income earned not collected, securities sold under customer repurchase agreements, and accrued interest payable are considered Level 2.

The table presents the carrying values and estimated fair values for financial instruments as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021				December 31, 2020
	Carrying value		Fair value		Carrying value		Fair value
Assets
Cash and due from banks	$	410,495	$	410,495	$	362,048	$	362,048
Overnight investments	7,588,757		7,588,757		4,347,336		4,347,336
Investment in marketable equity securities	106,886		106,886		91,680		91,680
Investment securities available for sale	7,307,122		7,307,122		7,014,243		7,014,243
Investment securities held to maturity	2,808,099		2,774,982		2,816,982		2,838,499
Loans held for sale	129,334		129,334		124,837		124,837
Net loans and leases	32,970,200		33,202,437		32,567,661		33,298,166
Income earned not collected	148,022		148,022		145,694		145,694
Federal Home Loan Bank stock	40,563		40,563		45,392		45,392
Mortgage and other servicing rights	23,728		24,322		19,628		20,283
Liabilities
Deposits with no stated maturity	44,601,552		44,601,552		40,542,596		40,542,596
Time deposits	2,729,445		2,738,244		2,889,013		2,905,577
Securities sold under customer repurchase agreements	680,705		680,705		641,487		641,487
Federal Home Loan Bank borrowings	648,671		664,996		655,175		677,579
Subordinated debt	497,153		517,091		504,518		525,610
Other borrowings	84,502		85,067		88,470		89,263
FDIC shared-loss payable	—		—		15,601		15,843
Accrued interest payable	5,149		5,149		9,414		9,414

For assets and liabilities carried at fair value on a recurring basis, the following table provides fair value information as of March 31, 2021 and December 31, 2020:

	March 31, 2021
			Fair value measurements using:
(Dollars in thousands)	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Assets measured at fair value
Investment securities available for sale
Government agency	$	846,686	$	—	$	846,686	$	—
Residential mortgage-backed securities	4,758,589		—		4,758,589		—
Commercial mortgage-backed securities	1,098,987		—		1,098,987		—
Corporate bonds	602,860		—		284,744		318,116
Total investment securities available for sale	$	7,307,122	$	—	$	6,989,006	$	318,116
Marketable equity securities	$	106,886	$	43,677	$	63,209	$	—
Loans held for sale	$	129,334	$	—	$	129,334	$	—
	December 31, 2020
			Fair value measurements using:
	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Assets measured at fair value
Investment securities available for sale
U.S. Treasury	$	499,933	$	—	$	499,933	$	—
Government agency	701,391		—		701,391		—
Residential mortgage-backed securities	4,438,103		—		4,438,103		—
Commercial mortgage-backed securities	771,537		—		771,537		—
Corporate bonds	603,279		—		286,655		316,624
Total investment securities available for sale	$	7,014,243	$	—	$	6,697,619	$	316,624
Marketable equity securities	$	91,680	$	32,855	$	58,825	$	—
Loans held for sale	$	124,837	$	—	$	124,837	$	—

The following tables summarize activity for Level 3 assets:

	Corporate bonds
	Three months ended March 31
(Dollars in thousands)	2021		2020
Beginning balance	$	316,624	$	69,685
Unrealized net losses (gains) included in other comprehensive income	2,333		(4,366)
Amounts included in net income	(91)		(85)
Transfers in	—		1,782
Sales / Calls	(750)		—
Ending balance	$	318,116	$	67,016

During the three months ended March 31, 2021, there were no transfers between levels. During the three months ended March 31, 2020, there were transfers from Level 2 to Level 3 of $1.8 million. The transfers were due to a lack of observable inputs and trade activity for those securities.

The following table presents quantitative information about Level 3 fair value measurements for fair value on a recurring basis at March 31, 2021:

(Dollars in thousands)			March 31, 2021
Level 3 assets	Valuation technique	Significant unobservable input	Fair Value
Corporate bonds	Indicative bid provided by broker	Multiple factors, including but not limited to, current operations, financial condition, cash flows, and recently executed financing transactions related to the issuer	$	318,116

Fair Value Option

BancShares has elected the fair value option for residential real estate loans originated to be sold. This election reduces certain timing differences in the Consolidated Statement of Income and better aligns with the management of the portfolio from a business perspective. The changes in fair value were recorded as a component of mortgage income and included a loss of $2.7 million and a gain of $1.2 million for the three months ended March 31, 2021 and 2020, respectively. Interest earned on loans held for sale is recorded within interest income on loans and leases in the consolidated statements of income.

The following table summarizes the difference between the aggregate fair value and the aggregate unpaid principal balance for residential real estate originated for sale measured at fair value as of March 31, 2021 and December 31, 2020:

	March 31, 2021
(Dollars in thousands)	Fair value		Aggregate unpaid principal balance		Difference
Originated loans held for sale	$	129,334	$	126,113	$	3,221
	December 31, 2020
	Fair value		Aggregate unpaid principal balance		Difference
Originated loans held for sale	$	124,837	$	118,902	$	5,935

No originated loans held for sale were 90 or more days past due or on nonaccrual status as of March 31, 2021 or December 31, 2020.

We may be required to measure certain financial assets at fair value on a nonrecurring basis. These adjustments to fair value usually result from the application of lower of amortized cost or fair value accounting or write-downs of individual assets due to impairment.

The population of loans measured at fair value on a non-recurring basis is limited to collateral-dependent loans evaluated individually. These collateral-dependent loans are deemed to be at fair value if there is an associated ACL or if a charge-off has been recorded in the previous 12 months. Collateral values are determined using appraisals or other third-party value estimates of the subject property discounted based on estimated selling costs, generally between 6% and 10%, and immaterial adjustments for other external factors that may impact the marketability of the collateral. The weighted average discount for estimated selling costs applied was 6.81%.

OREO acquired or written down within the previous 12 months is deemed to be at fair value. Asset valuations are determined by using appraisals or other third-party value estimates of the subject property with discounts generally between 6% and 15% applied for estimated selling costs and other external factors that may impact the marketability of the property. At March 31, 2021, the weighted average discount applied was 8.76%. Changes to the value of the assets between scheduled valuation dates are monitored through continued communication with brokers and monthly reviews by the asset manager assigned to each asset. If there are any significant changes in the market or the subject property, valuations are adjusted or new appraisals ordered to ensure the reported values reflect the most current information.

For financial assets and liabilities carried at fair value on a nonrecurring basis, the following table provides fair value information as of March 31, 2021 and December 31, 2020:

	March 31, 2021
			Fair value measurements using:
(Dollars in thousands)	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Collateral-dependent loans	$	10,247	$	—	$	—	$	10,247
Other real estate owned	36,642		—		—		36,642
Mortgage servicing rights	20,409		—		—		20,409
	December 31, 2020
			Fair value measurements using:
	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Collateral-dependent loans	$	11,779	$	—	$	—	$	11,779
Other real estate owned	40,115		—		—		40,115
Mortgage servicing rights	16,966		—		—		16,966

No financial liabilities were carried at fair value on a nonrecurring basis as of March 31, 2021 and December 31, 2020.

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Employee Benefit Plans

3 Months Ended

Mar. 31, 2021

Retirement Benefits, Description [Abstract]

Employee Benefit Plans

EMPLOYEE BENEFIT PLANS

BancShares sponsors noncontributory defined benefit pension plans for its qualifying employees. The service cost component of net periodic benefit cost is included in salaries and wages while all other non-service cost components are included in other noninterest expense.

For the three months ended March 31, 2021 and 2020, the components of net periodic benefit cost are as follows:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Service cost	$	3,653	$	3,457
Interest cost	7,404		8,531
Expected return on assets	(19,595)		(16,409)
Amortization of net actuarial loss	6,529		6,264
Net periodic (benefit) cost	$	(2,009)	$	1,843

No discretionary contribution was made to the pension plans during the three months ended March 31, 2021. The funding policy of the pension plans is to contribute an amount each year to meet all Employee Retirement Income Security Act minimum requirements, including amounts to meet quarterly funding requirements, avoid “at-risk” status and avoid any benefit restrictions. BancShares may also contribute additional voluntary amounts each year (up to the maximum tax-deductible amount) in order to achieve certain target funding levels in the plans, with consideration also given to current and future cash flow and tax positions. No contributions are currently expected for the year ending December 31, 2021.

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Leases

3 Months Ended

Mar. 31, 2021

Leases [Abstract]

Leases

LEASES

The following table presents right-of-use lease assets and liabilities as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	Classification	March 31, 2021		December 31, 2020
Assets:
Operating	Other assets	$	65,330	$	68,048
Finance	Premises and equipment	5,936		6,478
Total leased assets		$	71,266	$	74,526
Liabilities:
Operating	Other liabilities	$	65,841	$	68,343
Finance	Other borrowings	5,915		6,308
Total lease liabilities		$	71,756	$	74,651

Leases

LEASES

The following table presents right-of-use lease assets and liabilities as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	Classification	March 31, 2021		December 31, 2020
Assets:
Operating	Other assets	$	65,330	$	68,048
Finance	Premises and equipment	5,936		6,478
Total leased assets		$	71,266	$	74,526
Liabilities:
Operating	Other liabilities	$	65,841	$	68,343
Finance	Other borrowings	5,915		6,308
Total lease liabilities		$	71,756	$	74,651

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Commitments and Contingencies

3 Months Ended

Mar. 31, 2021

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

COMMITMENTS AND CONTINGENCIES

To meet the financing needs of its customers, BancShares and its subsidiaries have financial instruments with off-balance sheet risk. These financial instruments involve elements of credit, interest rate or liquidity risk and include commitments to extend credit and standby letters of credit.

Commitments to extend credit are legally binding agreements to lend to customers. These commitments generally have fixed expiration dates or other termination clauses and may require payment of fees. Since many of these commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future liquidity requirements. Established credit standards control the credit risk exposure associated with these commitments. In some cases, BancShares requires collateral be pledged to secure the commitment, including cash deposits, securities and other assets.

Standby letters of credit are commitments guaranteeing performance of a customer to a third party. Those commitments are primarily issued to support public and private borrowing arrangements. To mitigate its risk, BancShares’ credit policies govern the issuance of standby letters of credit. The credit risk related to the issuance of these letters of credit is essentially the same as in extending loans to clients and, therefore, these letters of credit are collateralized when necessary.

The following table presents the commitments to extend credit and standby letters of credit as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021		December 31, 2020
Unused commitments to extend credit	$	12,126,186	$	12,098,417
Standby letters of credit	139,572		129,819

BancShares has investments in qualified affordable housing projects primarily for the purposes of fulfilling Community Reinvestment Act requirements and obtaining tax credits. Affordable housing project investments were $162.4 million and $163.9 million as of March 31, 2021 and December 31, 2020, respectively, and were recorded in other assets. Unfunded commitments to fund future investments in affordable housing projects totaled $49.7 million and $53.7 million as of March 31, 2021 and December 31, 2020, respectively, and were recorded in other liabilities.

BancShares and various subsidiaries have been named as defendants in legal actions arising from their normal business activities in which damages in various amounts were claimed. BancShares has also been exposed to litigation risk relating to the prior business activities of banks from which assets were acquired and liabilities assumed in the various merger transactions. Although the amount of any ultimate liability with respect to such matters cannot be determined, in the opinion of management, any such liability will not have a material effect on BancShares’ consolidated financial statements.

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Accounting Policies and Basis of Presentation Policies (Policies)

3 Months Ended

Mar. 31, 2021

Accounting Policies [Abstract]

Reclassifications

Reclassifications

In certain instances, amounts reported in prior periods’ consolidated financial statements have been reclassified to conform to the current financial statement presentation. Such reclassifications had no effect on previously reported cash flows, shareholders’ equity or net income.

Use of Estimates

Use of Estimates in the Preparation of Financial Statements

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions which affect the amounts reported. Actual results could differ from those estimates. The estimates BancShares considers significant are the allowance for credit losses, “ACL”, fair value measurements, and income taxes.

New Accounting Pronouncements

Recently Issued Accounting Pronouncements

There were no Accounting Standards Updates (“ASUs”) issued during the first quarter of 2021 by the Financial Accounting Standards Board (“FASB”) that will have a material impact on BancShares’ consolidated financial statements.

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Investments (Tables)

3 Months Ended

Mar. 31, 2021

Investments [Abstract]

Aggregate Values And Unrealized Gains And Losses Of Investment Securities

The amortized cost and fair value of investment securities at March 31, 2021 and December 31, 2020, were as follows:

	March 31, 2021
(Dollars in thousands)	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
Investment securities available for sale
Government agency	$	852,305	$	784	$	6,403	$	846,686
Residential mortgage-backed securities	4,736,893		47,742		26,046		4,758,589
Commercial mortgage-backed securities	1,096,259		14,619		11,891		1,098,987
Corporate bonds	585,095		18,313		548		602,860
Total investment securities available for sale	$	7,270,552	$	81,458	$	44,888	$	7,307,122
Investment in marketable equity securities	84,297		22,872		283		106,886
Investment securities held to maturity
Residential mortgage-backed securities	1,740,314		5,191		20,510		1,724,995
Commercial mortgage-backed securities	1,065,778		13		17,811		1,047,980
Other	2,007		—		—		2,007
Total investment securities held to maturity	2,808,099		5,204		38,321		2,774,982
Total investment securities	$	10,162,948	$	109,534	$	83,492	$	10,188,990
	December 31, 2020
(Dollars in thousands)	Amortized cost		Gross unrealized gains		Gross unrealized losses		Fair value
Investment securities available for sale
U.S. Treasury	$	499,832	$	101	$	—	$	499,933
Government agency	706,241		723		5,573		701,391
Residential mortgage-backed securities	4,369,130		70,283		1,310		4,438,103
Commercial mortgage-backed securities	745,892		25,645		—		771,537
Corporate bonds	590,870		14,437		2,028		603,279
Total investment securities available for sale	$	6,911,965	$	111,189	$	8,911	$	7,014,243
Investment in marketable equity securities	84,837		8,654		1,811		91,680
Investment securities held to maturity
Residential mortgage-backed securities	1,877,692		17,689		—		1,895,381
Commercial mortgage-backed securities	937,034		3,884		56		940,862
Other	2,256		—		—		2,256
Total investment securities held to maturity	2,816,982		21,573		56		2,838,499
Total investment securities	$	9,813,784	$	141,416	$	10,778	$	9,944,422

Investment Securities Maturity Information

The following table provides the amortized cost and fair value by contractual maturity for investment securities available for sale and held to maturity. Expected maturities will differ from contractual maturities on certain securities because issuers and borrowers of underlying collateral may have the right to call or prepay obligations with or without prepayment penalties. Residential and commercial mortgage-backed and government agency securities are stated separately as they are not due at a single maturity date.

	March 31, 2021				December 31, 2020
(Dollars in thousands)	Amortized cost		Fair value		Amortized cost		Fair value
Investment securities available for sale
Non-amortizing securities maturing in:
One year or less	$	1,020	$	1,021	$	500,846	$	500,954
One through five years	72,340		74,536		72,565		73,881
Five through 10 years	502,757		517,922		508,320		519,570
Over 10 years	8,978		9,381		8,971		8,807
Government agency	852,305		846,686		706,241		701,391
Residential mortgage-backed securities	4,736,893		4,758,589		4,369,130		4,438,103
Commercial mortgage-backed securities	1,096,259		1,098,987		745,892		771,537
Total investment securities available for sale	$	7,270,552	$	7,307,122	$	6,911,965	$	7,014,243
Investment securities held to maturity
Non-amortizing securities maturing in:
One year or less	998		998		1,507		1,507
One through five years	1,009		1,009		749		749
Residential mortgage-backed securities	1,740,314		1,724,995		1,877,692		1,895,381
Commercial mortgage-backed securities	1,065,778		1,047,980		937,034		940,862
Total investment securities held to maturity	$	2,808,099	$	2,774,982	$	2,816,982	$	2,838,499

Available-for-sale Securities

The following table provides the gross realized gains and losses on the sales of investment securities available for sale for the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Gross realized gains on sales of investment securities available for sale	$	9,207	$	20,474
Gross realized losses on sales of investment securities available for sale	—		(679)
Net realized gains on sales of investment securities available for sale	$	9,207	$	19,795

Marketable Securities Gains (Losses)

The following table provides the realized and unrealized gains and losses on marketable equity securities for the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Marketable equity securities gains (losses), net	$	16,011	$	(51,408)
Less net gains recognized on marketable equity securities sold	263		323
Unrealized gains (losses) recognized on marketable equity securities held	$	15,748	$	(51,731)

Investment Securities With Unrealized Losses

The following table provides information regarding securities with unrealized losses as of March 31, 2021 and December 31, 2020:

	March 31, 2021
	Less than 12 months				12 months or more				Total
(Dollars in thousands)	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
Investment securities available for sale
Government agency	$	331,034	$	3,501	$	415,379	$	2,902	$	746,413	$	6,403
Residential mortgage-backed securities	2,345,301		26,001		12,495		45		2,357,796		26,046
Commercial mortgage-backed securities	685,575		11,891		—		—		685,575		11,891
Corporate bonds	8,394		14		26,183		534		34,577		548
Total	$	3,370,304	$	41,407	$	454,057	$	3,481	$	3,824,361	$	44,888
	December 31, 2020
	Less than 12 months				12 months or more				Total
(Dollars in thousands)	Fair value		Unrealized losses		Fair value		Unrealized losses		Fair value		Unrealized losses
Investment securities available for sale
Government agency	$	268,622	$	3,197	$	328,777	$	2,376	$	597,399	$	5,573
Residential mortgage-backed securities	433,816		1,241		23,064		69		456,880		1,310
Corporate bonds	57,715		2,028		—		—		57,715		2,028
Total	$	760,153	$	6,466	$	351,841	$	2,445	$	1,111,994	$	8,911

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Loans and Leases (Tables)

3 Months Ended

Mar. 31, 2021

Loans and Leases Receivable Disclosure [Abstract]

Loans And Leases Outstanding

Loans and leases outstanding included the following at March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021		December 31, 2020
Commercial:
Construction and land development	$	1,022,087	$	985,424
Owner occupied commercial mortgage	11,340,966		11,165,012
Non-owner occupied commercial mortgage	3,017,898		2,987,689
Commercial and industrial and leases	4,946,445		5,013,644
SBA-PPP	2,769,906		2,406,291
Total commercial loans	23,097,302		22,558,060
Consumer:
Residential mortgage	5,566,026		5,561,686
Revolving mortgage	1,938,422		2,052,854
Construction and land development	336,065		348,123
Consumer auto	1,271,586		1,255,402
Consumer other	538,677		552,968
Total consumer loans	9,650,776		9,771,033
PCD loans	432,773		462,882
Total loans and leases	$	33,180,851	$	32,791,975

Schedule of Amortized Cost of Loans

The following table presents selected components of the amortized cost of loans.

(Dollars in thousands)	March 31, 2021		December 31, 2020
Deferred fees, including unearned fees and unamortized costs on non-PCD loans
Net deferred fees related to SBA-PPP loans	$	66,717	$	41,064
Net deferred fees related to other portfolios	11,932		9,153
Total net deferred fees	$	78,649	$	50,217
Net unamortized discount on purchased loans
Non-PCD	$	17,009	$	19,473
PCD	41,141		45,254
Total	$	58,150	$	64,727

Recorded Investment, By Class, In Loans And Leases On Nonaccrual Status And Loans And Leases Greater Than 90 Days Past Due And Still Accruing

	March 31, 2021
(Dollars in thousands)	30-59 days past due		60-89 days past due		90 days or greater		Total past due		Current		Total loans and leases
Commercial:
Construction and land development	$	277	$	—	$	1,595	$	1,872	$	1,020,215	$	1,022,087
Owner occupied commercial mortgage	13,153		2,996		11,028		27,177		11,313,789		11,340,966
Non-owner occupied commercial mortgage	5,046		303		8,917		14,266		3,003,632		3,017,898
Commercial and industrial and leases	13,284		4,771		3,249		21,304		4,925,141		4,946,445
SBA-PPP	—		—		—		—		2,769,906		2,769,906
Total commercial loans	31,760		8,070		24,789		64,619		23,032,683		23,097,302
Consumer:
Residential mortgage	34,350		7,396		30,789		72,535		5,493,491		5,566,026
Revolving mortgage	6,222		1,603		8,531		16,356		1,922,066		1,938,422
Construction and land development	266		944		652		1,862		334,203		336,065
Consumer auto	4,432		1,014		860		6,306		1,265,280		1,271,586
Consumer other	2,246		1,213		1,516		4,975		533,702		538,677
Total consumer loans	47,516		12,170		42,348		102,034		9,548,742		9,650,776
PCD loans	11,250		4,322		33,694		49,266		383,507		432,773
Total loans and leases	$	90,526	$	24,562	$	100,831	$	215,919	$	32,964,932	$	33,180,851
	December 31, 2020
(Dollars in thousands)	30-59 days past due		60-89 days past due		90 days or greater		Total past due		Current		Total loans and leases
Commercial:
Construction and land development	$	956	$	527	$	1,603	$	3,086	$	982,338	$	985,424
Owner occupied commercial mortgage	8,757		2,232		14,082		25,071		11,139,941		11,165,012
Non-owner occupied commercial mortgage	12,370		—		5,973		18,343		2,969,346		2,987,689
Commercial and industrial and leases	14,532		2,842		3,243		20,617		4,993,027		5,013,644
SBA-PPP	—		—		—		—		2,406,291		2,406,291
Total commercial loans	36,615		5,601		24,901		67,117		22,490,943		22,558,060
Consumer:
Residential mortgage	43,218		8,364		31,690		83,272		5,478,414		5,561,686
Revolving mortgage	11,977		2,626		7,415		22,018		2,030,836		2,052,854
Construction and land development	932		77		330		1,339		346,784		348,123
Consumer auto	6,825		1,835		1,076		9,736		1,245,666		1,255,402
Consumer other	3,610		1,464		1,505		6,579		546,389		552,968
Total consumer loans	66,562		14,366		42,016		122,944		9,648,089		9,771,033
PCD loans	18,322		6,076		31,026		55,424		407,458		462,882
Total loans and leases	$	121,499	$	26,043	$	97,943	$	245,485	$	32,546,490	$	32,791,975

The amortized cost, by class, of loans and leases on nonaccrual status, and loans and leases greater than 90 days past due and still accruing at March 31, 2021 and December 31, 2020, were as follows:

	March 31, 2021				December 31, 2020
(Dollars in thousands)	Nonaccrual loans and leases		Loans and leases > 90 days and accruing		Nonaccrual loans and leases		Loans and leases > 90 days and accruing
Commercial:
Construction and land development	$	1,648	$	—	$	1,661	$	—
Owner occupied commercial mortgage	22,796		1,400		23,103		3,625
Non-owner occupied commercial mortgage	10,939		2,211		7,932		147
Commercial and industrial and leases	15,718		607		10,626		540
Total commercial loans	51,101		4,218		43,322		4,312
Consumer:
Residential mortgage	61,907		29		66,345		—
Revolving mortgage	23,952		—		22,236		—
Construction and land development	566		543		652		—
Consumer auto	3,027		—		3,166		—
Consumer other	816		1,155		823		1,195
Total consumer loans	90,268		1,727		93,222		1,195
PCD loans	53,165		1,432		54,939		355
Total loans and leases	$	194,534	$	7,377	$	191,483	$	5,862

Composition Of The Loans And Leases Outstanding By Credit Quality Indicator

The following tables represent current credit quality indicators by origination year as of March 31, 2021.

	March 31, 2021
	Commercial Loans Amortized Cost Basis by Origination Year
Classification:	2021		2020		2019		2018		2017		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Construction and land development
Pass	$	46,039	$	399,172	$	310,753	$	168,534	$	48,089	$	28,797	$	12,548	$	—	$	1,013,932
Special Mention	—		232		—		181		85		—		145		—		643
Substandard	—		225		590		1,447		5,170		80		—		—		7,512
Total	46,039		399,629		311,343		170,162		53,344		28,877		12,693		—		1,022,087
Owner occupied commercial mortgage
Pass	632,239		3,202,842		2,166,465		1,521,886		1,206,771		2,249,426		106,579		101		11,086,309
Special Mention	687		10,398		29,975		39,868		12,074		37,441		2,974		72		133,489
Substandard	3,564		9,322		14,441		9,287		26,702		49,856		7,996		—		121,168
Total	636,490		3,222,562		2,210,881		1,571,041		1,245,547		2,336,723		117,549		173		11,340,966
Non-owner occupied commercial mortgage
Pass	158,815		809,647		603,274		332,010		319,514		638,882		35,835		—		2,897,977
Special Mention	794		676		880		10,778		1,440		2,918		500		—		17,986
Substandard	75		12,018		22,293		12,643		8,762		44,396		1,748		—		101,935
Total	159,684		822,341		626,447		355,431		329,716		686,196		38,083		—		3,017,898
Commercial and industrial and leases
Pass	424,035		1,423,941		884,987		442,129		251,356		445,265		874,664		5,150		4,751,527
Special Mention	102		10,601		22,183		8,335		6,160		7,764		11,376		194		66,715
Substandard	5,507		15,179		4,398		5,572		3,950		5,597		24,608		1,410		66,221
Doubtful	—		—		—		—		—		—		2		—		2
Ungraded	—		—		—		—		—		—		61,980		—		61,980
Total	429,644		1,449,721		911,568		456,036		261,466		458,626		972,630		6,754		4,946,445
SBA-PPP
Pass	936,012		1,833,894		—		—		—		—		—		—		2,769,906
Total commercial	$	2,207,869	$	7,728,147	$	4,060,239	$	2,552,670	$	1,890,073	$	3,510,422	$	1,140,955	$	6,927	$	23,097,302
	Consumer and PCD Loans Amortized Cost Basis by Origination Year
Days Past Due:	2021		2020		2019		2018		2017		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Residential mortgage
Current	$	521,849	$	1,810,979	$	889,902	$	561,267	$	518,205	$	1,166,958	$	24,331	$	—	$	5,493,491
30-59 days	2,367		2,193		236		9,619		4,113		15,567		255		—		34,350
60-89 days	—		256		1,012		1,040		558		4,530		—		—		7,396
90 days or greater	—		286		1,455		838		3,797		24,384		29		—		30,789
Total	524,216		1,813,714		892,605		572,764		526,673		1,211,439		24,615		—		5,566,026
Revolving mortgage
Current	—		—		—		—		—		—		1,772,173		149,893		1,922,066
30-59 days	—		—		—		—		—		—		3,877		2,345		6,222
60-89 days	—		—		—		—		—		—		699		904		1,603
90 days or greater	—		—		—		—		—		—		4,112		4,419		8,531
Total	—		—		—		—		—		—		1,780,861		157,561		1,938,422
Construction and land development
Current	40,360		209,701		52,406		16,883		8,037		5,241		1,575		—		334,203
30-59 days	—		108		15		61		30		52		—		—		266
60-89 days	—		240		138		59		366		141		—		—		944
90 days or greater	—		543		—		—		59		50		—		—		652
Total	40,360		210,592		52,559		17,003		8,492		5,484		1,575		—		336,065

Consumer auto
Current	155,101		484,026		302,622		191,055		87,139		45,337		—		—		1,265,280
30-59 days	—		1,327		962		1,054		703		386		—		—		4,432
60-89 days	—		433		197		253		117		14		—		—		1,014
90 days or greater	—		294		134		217		129		86		—		—		860
Total	155,101		486,080		303,915		192,579		88,088		45,823		—		—		1,271,586
Consumer other
Current	20,879		45,239		22,631		8,552		6,246		34,873		395,282		—		533,702
30-59 days	3		131		100		106		1		—		1,905		—		2,246
60-89 days	—		95		7		10		—		—		1,101		—		1,213
90 days or greater	—		14		114		6		—		—		1,382		—		1,516
Total	20,882		45,479		22,852		8,674		6,247		34,873		399,670		—		538,677
Total consumer	$	740,559	$	2,555,865	$	1,271,931	$	791,020	$	629,500	$	1,297,619	$	2,206,721	$	157,561	$	9,650,776
PCD loans
Current	$	—	$	28,056	$	24,347	$	26,763	$	24,879	$	247,606	$	11,788	$	20,068	$	383,507
30-59 days	—		344		390		407		300		9,423		19		367		11,250
60-89 days	—		51		88		—		165		3,896		—		122		4,322
90 days or greater	—		1,294		2,404		4,412		1,826		22,504		105		1,149		33,694
Total PCD	$	—	$	29,745	$	27,229	$	31,582	$	27,170	$	283,429	$	11,912	$	21,706	$	432,773
Total loans and leases	$	2,948,428	$	10,313,757	$	5,359,399	$	3,375,272	$	2,546,743	$	5,091,470	$	3,359,588	$	186,194	$	33,180,851

The following tables represent current credit quality indicators by origination year as of December 31, 2020.

	December 31, 2020
	Commercial Loans Amortized Cost Basis by Origination Year
Classification:	2020		2019		2018		2017		2016		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Construction and land development
Pass	$	342,183	$	341,233	$	190,429	$	50,776	$	23,969	$	11,306	$	10,969	$	—	$	970,865
Special Mention	246		—		6,421		5,342		—		—		153		—		12,162
Substandard	229		629		1,450		—		8		81		—		—		2,397
Total	342,658		341,862		198,300		56,118		23,977		11,387		11,122		—		985,424
Owner occupied commercial mortgage
Pass	3,183,467		2,201,165		1,625,141		1,301,412		1,049,858		1,454,020		101,556		133		10,916,752
Special Mention	6,274		20,702		36,739		12,387		17,699		25,693		5,115		72		124,681
Substandard	10,280		19,052		9,842		20,928		13,736		41,303		8,438		—		123,579
Total	3,200,021		2,240,919		1,671,722		1,334,727		1,081,293		1,521,016		115,109		205		11,165,012
Non-owner occupied commercial mortgage
Pass	865,514		609,975		378,136		331,800		282,810		391,517		32,149		—		2,891,901
Special Mention	569		905		10,794		1,808		5,121		3,279		483		—		22,959
Substandard	2,899		18,546		12,296		8,764		14,087		15,427		810		—		72,829
Total	868,982		629,426		401,226		342,372		302,018		410,223		33,442		—		2,987,689
Commercial and industrial and leases
Pass	1,620,622		983,852		504,463		310,468		234,735		286,996		899,978		5,520		4,846,634
Special Mention	3,146		17,065		7,265		5,393		3,307		4,912		9,152		189		50,429
Substandard	17,811		4,095		4,370		4,257		2,548		3,801		22,384		983		60,249
Ungraded	—		—		—		—		—		—		56,332		—		56,332
Total	1,641,579		1,005,012		516,098		320,118		240,590		295,709		987,846		6,692		5,013,644
SBA-PPP
Pass	2,406,291		—		—		—		—		—		—		—		2,406,291
Total commercial	$	8,459,531	$	4,217,219	$	2,787,346	$	2,053,335	$	1,647,878	$	2,238,335	$	1,147,519	$	6,897	$	22,558,060

	Consumer and PCD Loans Amortized Cost Basis by Origination Year
Days Past Due:	2020		2019		2018		2017		2016		Prior		Revolving		Revolving converted to term loans		Total
(Dollars in thousands)
Residential mortgage
Current	$	1,882,683	$	978,298	$	655,798	$	596,309	$	461,719	$	878,634	$	24,973	$	—	$	5,478,414
30-59 days	2,278		4,573		11,463		3,772		8,613		12,299		220		—		43,218
60-89 days	30		100		1,246		1,449		834		4,705		—		—		8,364
90 days or greater	282		4,831		3,150		4,015		5,689		13,723		—		—		31,690
Total	1,885,273		987,802		671,657		605,545		476,855		909,361		25,193		—		5,561,686
Revolving mortgage
Current	—		—		—		—		—		—		1,879,968		150,868		2,030,836
30-59 days	—		—		—		—		—		—		8,241		3,736		11,977
60-89 days	—		—		—		—		—		—		527		2,099		2,626
90 days or greater	—		—		—		—		—		—		2,301		5,114		7,415
Total	—		—		—		—		—		—		1,891,037		161,817		2,052,854
Construction and land development
Current	215,112		85,707		24,860		10,269		6,093		2,218		2,525		—		346,784
30-59 days	—		420		121		370		—		21		—		—		932
60-89 days	—		—		—		9		—		68		—		—		77
90 days or greater	—		—		—		—		—		330		—		—		330
Total	215,112		86,127		24,981		10,648		6,093		2,637		2,525		—		348,123
Consumer auto
Current	521,719		340,594		219,597		104,280		49,872		9,604		—		—		1,245,666
30-59 days	2,175		1,873		1,257		842		544		134		—		—		6,825
60-89 days	329		689		312		351		109		45		—		—		1,835
90 days or greater	170		527		217		57		102		3		—		—		1,076
Total	524,393		343,683		221,383		105,530		50,627		9,786		—		—		1,255,402
Consumer other
Current	53,842		27,117		10,911		7,159		2,980		29,336		415,044		—		546,389
30-59 days	322		114		77		18		11		7		3,061		—		3,610
60-89 days	102		20		13		18		3		23		1,285		—		1,464
90 days or greater	53		84		8		—		—		—		1,360		—		1,505
Total	54,319		27,335		11,009		7,195		2,994		29,366		420,750		—		552,968
Total consumer	$	2,679,097	$	1,444,947	$	929,030	$	728,918	$	536,569	$	951,150	$	2,339,505	$	161,817	$	9,771,033
PCD loans
Current	$	31,475	$	25,425	$	27,183	$	27,955	$	28,995	$	232,186	$	13,212	$	21,027	$	407,458
30-59 days	999		925		801		718		1,341		12,637		156		745		18,322
60-89 days	447		81		312		695		97		4,098		9		337		6,076
90 days or greater	721		2,325		4,755		1,208		897		19,963		111		1,046		31,026
Total PCD	$	33,642	$	28,756	$	33,051	$	30,576	$	31,330	$	268,884	$	13,488	$	23,155	$	462,882
Total loans and leases	$	11,172,270	$	5,690,922	$	3,749,427	$	2,812,829	$	2,215,777	$	3,458,369	$	3,500,512	$	191,869	$	32,791,975

Schedule of Loans Pledged as Collateral

The following table provides information regarding loans pledged as collateral for borrowing capacity through the FHLB of Atlanta and the Federal Reserve Bank (“FRB”) as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021		December 31, 2020
FHLB of Atlanta
Lendable collateral value of pledged non-PCD loans	$	8,847,178	$	8,637,844
Less: Advances	648,671		652,675
Available borrowing capacity	$	8,198,507	$	7,985,169
Pledged non-PCD loans	$	12,327,626	$	12,157,153
FRB
Lendable collateral value of pledged non-PCD loans	$	3,367,466	$	3,321,762
Less: Advances	—		—
Available borrowing capacity	$	3,367,466	$	3,321,762
Pledged non-PCD loans	$	4,181,520	$	4,104,866

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Allowance for Credit Losses (Tables)

3 Months Ended

Mar. 31, 2021

Receivables [Abstract]

Allowance for Credit Losses

Activity in the ACL by portfolio segment is summarized as follows:

	Three months ended March 31, 2021
(Dollars in thousands)	Commercial		Consumer		PCD		Total
Balance at January 1	$	80,842	$	119,485	$	23,987	$	224,314
Provision (credit)	(3,922)		(5,504)		(1,548)		(10,974)
Charge-offs	(3,331)		(4,469)		(763)		(8,563)
Recoveries	1,275		3,340		1,259		5,874
Balance at March 31	$	74,864	$	112,852	$	22,935	$	210,651
	Three months ended March 31, 2020
(Dollars in thousands)	Commercial		Consumer		PCD		Total
Balance at December 31	$	142,369	$	75,236	$	7,536	$	225,141
Adoption of ASC 326	(87,554)		30,629		19,001		(37,924)
Balance at January 1	54,815		105,865		26,537		187,217
Provision (credit)	21,537		9,406		(2,588)		28,355
Initial allowance on PCD loans	—		—		1,193		1,193
Charge-offs	(5,369)		(7,769)		(1,123)		(14,261)
Recoveries	1,427		2,431		2,897		6,755
Balance at March 31	$	72,410	$	109,933	$	26,916	$	209,259

BancShares records an allowance for credit losses on unfunded commitments within other liabilities. Activity in the allowance for credit losses for unfunded commitments is summarized as follows:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Allowance for credit losses:
Beginning balance	$	12,814	$	1,055
Adoption of ASC 326	—		8,885
Adjusted beginning balance	$	12,814	$	9,940
Provision (credit)	(1,243)		572
Ending balance	11,571		10,512

The following table presents information on collateral-dependent loans by class and includes the amortized cost of collateral-dependent loans and leases, the net realizable value of the collateral, the extent to which collateral secures collateral-dependent loans and the associated ACL as of March 31, 2021 and December 31, 2020 were as follows:

	March 31, 2021
(Dollars in thousands)	Collateral-Dependant Loans		Net Realizable Value of Collateral		Collateral Coverage		Allowance for Credit Losses
Commercial loans:
Construction and land development	$	1,424	$	1,795	126.1	%	$	—
Owner occupied commercial mortgage	11,886		16,417		138.1		—
Non-owner occupied commercial mortgage	6,951		9,312		134.0		—
Commercial and industrial and leases	1,256		2,916		232.2		—
Total commercial loans	21,517		30,440		141.5		—
Consumer:
Residential mortgage	21,303		27,279		128.1		120
Revolving mortgage	1,385		1,724		124.5		—
Total consumer loans	22,688		29,003		127.8		120
PCD loans	20,361		35,016		172.0		—
Total collateral-dependent loans	$	64,566	$	94,459	146.3	%	$	120
	December 31, 2020
(Dollars in thousands)	Collateral-Dependant Loans		Net Realizable Value of Collateral		Collateral Coverage		Allowance for Credit Losses
Commercial loans:
Construction and land development	$	1,424	$	1,795	126.1	%	$	—
Owner occupied commercial mortgage	9,792		14,253		145.6		—
Non-owner occupied commercial mortgage	5,556		7,577		136.4		—
Total commercial loans	16,772		23,625		140.9		—
Consumer:
Residential mortgage	23,011		29,775		129.4		131
PCD loans	19,042		27,872		146.4		—
Total collateral-dependent loans	$	58,825	$	81,272	138.2	%	$	131

Troubled Debt Restructurings on Financing Receivables

The following tables provides a summary of total TDRs by accrual status:

	March 31, 2021						December 31, 2020
(Dollars in thousands)	Accruing		Nonaccruing		Total		Accruing		Nonaccruing		Total
Commercial loans:
Construction and land development	$	529	$	41	$	570	$	578	$	54	$	632
Owner occupied commercial mortgage	38,969		9,986		48,955		37,574		10,889		48,463
Non-owner occupied commercial mortgage	20,541		1,335		21,876		18,336		1,649		19,985
Commercial and industrial and leases	30,956		6,551		37,507		29,131		3,528		32,659
Total commercial loans	90,995		17,913		108,908		85,619		16,120		101,739
Consumer:
Residential mortgage	25,323		20,802		46,125		29,458		19,380		48,838
Revolving mortgage	18,729		7,331		26,060		20,124		7,128		27,252
Construction and land development	1,501		9		1,510		1,573		9		1,582
Consumer auto	2,173		668		2,841		2,018		696		2,714
Consumer other	910		163		1,073		955		137		1,092
Total consumer loans	48,636		28,973		77,609		54,128		27,350		81,478
PCD loans	20,920		9,509		30,429		17,617		7,346		24,963
Total loans	$	160,551	$	56,395	$	216,946	$	157,364	$	50,816	$	208,180

The following table provides the types of modifications designated as TDRs during the three months ended March 31, 2021 and March 31, 2020, as well as a summary of loans modified as a TDR during the twelve-month periods ended March 31, 2021 and March 31, 2020 that subsequently defaulted during the three months ended March 31, 2021 and March 31, 2020. BancShares defines payment default as movement of the TDR to nonaccrual status, which is generally 90 days past due for TDRs, foreclosure or charge-off, whichever occurs first.

	Three months ended March 31, 2021						Three months ended March 31, 2020
	All restructurings			Restructurings with payment default			All restructurings			Restructurings with payment default
(Dollars in thousands)	Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end		Number of Loans	Recorded investment at period end
Loans and leases
Interest only	6	$	6,947	2	$	42	10	$	3,986	—	$	—
Loan term extension	25	3,863		12	1,749		6	794		3	263
Below market interest rate	53	8,122		20	1,428		88	8,165		29	1,421
Discharged from bankruptcy	45	4,100		12	2,365		68	5,032		28	1,767
Total restructurings	129	$	23,032	46	$	5,584	172	$	17,977	60	$	3,451

For the three months ended March 31, 2021 and March 31, 2020, the pre-modification and post-modification outstanding amortized cost of loans modified as TDRs were not materially different.

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Other Real Estate Owned (Tables)

3 Months Ended

Mar. 31, 2021

Other Real Estate [Abstract]

Changes in other real estate owned

The following table explains changes in other real estate owned (“OREO”) during the three months ended March 31, 2021 and 2020:

(Dollars in thousands)	OREO
Balance at December 31, 2020	$	50,890
Additions	7,106
Sales	(8,102)
Write-downs/losses	(1,382)
Balance at March 31, 2021	$	48,512
Balance at December 31, 2019	$	46,591
Additions	5,987
Acquired in business combinations	9,813
Sales	(5,321)
Write-downs/losses	(1,363)
Balance at March 31, 2020	$	55,707

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Mortgage Servicing Rights (Tables)

3 Months Ended

Mar. 31, 2021

Mortgage Servicing Rights [Abstract]

Mortgage servicing rights

The following table presents changes in the servicing asset during the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Beginning balance	$	18,426	$	22,963
Servicing rights originated	3,444		1,583
Amortization	(2,248)		(1,823)
Valuation allowance decrease (increase)	3,123		(2,967)
Ending balance	$	22,745	$	19,756

Schedule of Activity in Servicing Asset Valuation Allowance

The following table presents the activity in the servicing asset valuation allowance for the three months ended March 31, 2021 and 2020:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Beginning balance	$	4,365	$	222
Valuation allowance (decrease) increase	(3,123)		2,967
Ending balance	$	1,242	$	3,189

Mortgage servicing rights economic assumptions

Mortgage servicing rights valuations are performed using a pooling methodology where loans with similar risk characteristics are grouped together and evaluated using discounted cash flows to estimate the present value of future earnings. Key economic assumptions used to value mortgage servicing rights were as follows:

	March 31, 2021			December 31, 2020
Discount rate - conventional fixed loans	8.74		%	7.92		%
Discount rate - all loans excluding conventional fixed loans	9.74		%	8.92		%
Weighted average constant prepayment rate	16.54		%	20.62		%
Weighted average cost to service a loan	$	87.58		$	87.58

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FDIC Shared-Loss Payable (Tables)

3 Months Ended

Mar. 31, 2021

FDIC Shared-Loss Receivable [Abstract]

Changes In Payable to FDIC

The following table provides changes in the FDIC shared-loss payable since December 31, 2020:

(Dollars in thousands)	Total
Balance at December 31, 2020	$	15,601
Accretion	502
Payment made to the FDIC to settle shared-loss agreement	(16,103)
Balance at March 31, 2021	$	—

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Accumulated Other Comprehensive Income (Loss) (Tables)

3 Months Ended

Mar. 31, 2021

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Schedule Of Accumulated Other Comprehensive Income (Loss)

Accumulated other comprehensive (loss) income included the following as of March 31, 2021 and December 31, 2020:

	March 31, 2021						December 31, 2020
(Dollars in thousands)	Accumulated other comprehensive income (loss)		Deferred tax expense (benefit)		Accumulated other comprehensive income (loss), net of tax		Accumulated other comprehensive income (loss)		Deferred tax expense (benefit)		Accumulated other comprehensive income (loss), net of tax
Unrealized gains on securities available for sale	$	36,570	$	8,411	$	28,159	$	102,278	$	23,524	$	78,754
Unrealized gains on securities available for sale transferred from (to) held to maturity	4,924		1,133		3,791		5,399		1,242		4,157
Defined benefit pension items	(85,222)		(19,601)		(65,621)		(91,751)		(21,103)		(70,648)
Total	$	(43,728)	$	(10,057)	$	(33,671)	$	15,926	$	3,663	$	12,263

The following table highlights changes in accumulated other comprehensive (loss) income by component for the three months ended March 31, 2021 and 2020:

	Three months ended March 31, 2021
(Dollars in thousands, net of tax)	Unrealized gains on securities available for sale		Unrealized gains on securities available for sale transferred to held to maturity		Defined benefit pension items		Total
Beginning balance	$	78,754	$	4,157	$	(70,648)	$	12,263
Net unrealized losses arising during period	(43,506)		—		—		(43,506)
Amounts reclassified from accumulated other comprehensive income	(7,089)		(366)		5,027		(2,428)
Net current period other comprehensive (loss) income	(50,595)		(366)		5,027		(45,934)
Ending balance	$	28,159	$	3,791	$	(65,621)	$	(33,671)
	Three months ended March 31, 2020
(Dollars in thousands, net of tax)	Unrealized gains on securities available for sale		Unrealized gains on securities available for sale transferred to held to maturity		Defined benefit pension items		Total
Beginning balance	$	5,792	$	—	$	(132,515)	$	(126,723)
Net unrealized gains arising during period	111,530		—		—		111,530
Amounts reclassified from accumulated other comprehensive loss	(15,242)		—		4,823		(10,419)
Net current period other comprehensive income	96,288		—		4,823		101,111
Ending balance	$	102,080	$	—	$	(127,692)	$	(25,612)

Reclassification out of Accumulated Other Comprehensive Income

The following table presents the amounts reclassified from accumulated other comprehensive (loss) income and the line item affected in the statement where net income is presented for the three and three months ended March 31, 2021 and 2020:

(Dollars in thousands)	Three months ended March 31, 2021
Details about accumulated other comprehensive income (loss)	Amounts reclassified from accumulated other comprehensive income (loss)		Affected line item in the statement where net income is presented
Unrealized gains on securities available for sale	$	9,207	Realized gains on investment securities available for sale, net
	(2,118)		Income taxes
	$	7,089
Accretion of unrealized gains on securities available for sale transferred to held to maturity	$	475	Net interest income
	(109)		Income taxes
	$	366
Amortization of defined benefit pension actuarial losses	(6,529)		Other noninterest expense
	1,502		Income taxes
	$	(5,027)
Total reclassifications for the period	$	2,428
(Dollars in thousands)	Three months ended March 31, 2020
Details about accumulated other comprehensive income (loss)	Amounts reclassified from accumulated other comprehensive income (loss)		Affected line item in the statement where net income is presented
Unrealized gains on securities available for sale	$	19,795	Realized gains on investment securities available for sale, net
	(4,553)		Income taxes
	$	15,242
Amortization of defined benefit pension actuarial losses	(6,264)		Other noninterest expense
	1,441		Income taxes
	$	(4,823)
Total reclassifications for the period	$	10,419

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Estimated Fair Values (Tables)

3 Months Ended

Mar. 31, 2021

Fair Value Disclosures [Abstract]

Estimated Fair Values For Certain Financial Assets And Financial Liabilities

The table presents the carrying values and estimated fair values for financial instruments as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021				December 31, 2020
	Carrying value		Fair value		Carrying value		Fair value
Assets
Cash and due from banks	$	410,495	$	410,495	$	362,048	$	362,048
Overnight investments	7,588,757		7,588,757		4,347,336		4,347,336
Investment in marketable equity securities	106,886		106,886		91,680		91,680
Investment securities available for sale	7,307,122		7,307,122		7,014,243		7,014,243
Investment securities held to maturity	2,808,099		2,774,982		2,816,982		2,838,499
Loans held for sale	129,334		129,334		124,837		124,837
Net loans and leases	32,970,200		33,202,437		32,567,661		33,298,166
Income earned not collected	148,022		148,022		145,694		145,694
Federal Home Loan Bank stock	40,563		40,563		45,392		45,392
Mortgage and other servicing rights	23,728		24,322		19,628		20,283
Liabilities
Deposits with no stated maturity	44,601,552		44,601,552		40,542,596		40,542,596
Time deposits	2,729,445		2,738,244		2,889,013		2,905,577
Securities sold under customer repurchase agreements	680,705		680,705		641,487		641,487
Federal Home Loan Bank borrowings	648,671		664,996		655,175		677,579
Subordinated debt	497,153		517,091		504,518		525,610
Other borrowings	84,502		85,067		88,470		89,263
FDIC shared-loss payable	—		—		15,601		15,843
Accrued interest payable	5,149		5,149		9,414		9,414

Assets And Liabilities Carried At Fair Value On A Recurring Basis

For assets and liabilities carried at fair value on a recurring basis, the following table provides fair value information as of March 31, 2021 and December 31, 2020:

	March 31, 2021
			Fair value measurements using:
(Dollars in thousands)	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Assets measured at fair value
Investment securities available for sale
Government agency	$	846,686	$	—	$	846,686	$	—
Residential mortgage-backed securities	4,758,589		—		4,758,589		—
Commercial mortgage-backed securities	1,098,987		—		1,098,987		—
Corporate bonds	602,860		—		284,744		318,116
Total investment securities available for sale	$	7,307,122	$	—	$	6,989,006	$	318,116
Marketable equity securities	$	106,886	$	43,677	$	63,209	$	—
Loans held for sale	$	129,334	$	—	$	129,334	$	—
	December 31, 2020
			Fair value measurements using:
	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Assets measured at fair value
Investment securities available for sale
U.S. Treasury	$	499,933	$	—	$	499,933	$	—
Government agency	701,391		—		701,391		—
Residential mortgage-backed securities	4,438,103		—		4,438,103		—
Commercial mortgage-backed securities	771,537		—		771,537		—
Corporate bonds	603,279		—		286,655		316,624
Total investment securities available for sale	$	7,014,243	$	—	$	6,697,619	$	316,624
Marketable equity securities	$	91,680	$	32,855	$	58,825	$	—
Loans held for sale	$	124,837	$	—	$	124,837	$	—

Fair Value of Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following tables summarize activity for Level 3 assets:

	Corporate bonds
	Three months ended March 31
(Dollars in thousands)	2021		2020
Beginning balance	$	316,624	$	69,685
Unrealized net losses (gains) included in other comprehensive income	2,333		(4,366)
Amounts included in net income	(91)		(85)
Transfers in	—		1,782
Sales / Calls	(750)		—
Ending balance	$	318,116	$	67,016

Fair Value Level 3 Significant Unobservable Input Assumptions

(Dollars in thousands)			March 31, 2021
Level 3 assets	Valuation technique	Significant unobservable input	Fair Value
Corporate bonds	Indicative bid provided by broker	Multiple factors, including but not limited to, current operations, financial condition, cash flows, and recently executed financing transactions related to the issuer	$	318,116

Fair Value Option

The following table summarizes the difference between the aggregate fair value and the aggregate unpaid principal balance for residential real estate originated for sale measured at fair value as of March 31, 2021 and December 31, 2020:

	March 31, 2021
(Dollars in thousands)	Fair value		Aggregate unpaid principal balance		Difference
Originated loans held for sale	$	129,334	$	126,113	$	3,221
	December 31, 2020
	Fair value		Aggregate unpaid principal balance		Difference
Originated loans held for sale	$	124,837	$	118,902	$	5,935

No originated loans held for sale were 90 or more days past due or on nonaccrual status as of March 31, 2021 or December 31, 2020.

We may be required to measure certain financial assets at fair value on a nonrecurring basis. These adjustments to fair value usually result from the application of lower of amortized cost or fair value accounting or write-downs of individual assets due to impairment.

The population of loans measured at fair value on a non-recurring basis is limited to collateral-dependent loans evaluated individually. These collateral-dependent loans are deemed to be at fair value if there is an associated ACL or if a charge-off has been recorded in the previous 12 months. Collateral values are determined using appraisals or other third-party value estimates of the subject property discounted based on estimated selling costs, generally between 6% and 10%, and immaterial adjustments for other external factors that may impact the marketability of the collateral. The weighted average discount for estimated selling costs applied was 6.81%.

OREO acquired or written down within the previous 12 months is deemed to be at fair value. Asset valuations are determined by using appraisals or other third-party value estimates of the subject property with discounts generally between 6% and 15% applied for estimated selling costs and other external factors that may impact the marketability of the property. At March 31, 2021, the weighted average discount applied was 8.76%. Changes to the value of the assets between scheduled valuation dates are monitored through continued communication with brokers and monthly reviews by the asset manager assigned to each asset. If there are any significant changes in the market or the subject property, valuations are adjusted or new appraisals ordered to ensure the reported values reflect the most current information.

Assets And Liabilities Carried At Fair Value On A Nonrecurring Basis

For financial assets and liabilities carried at fair value on a nonrecurring basis, the following table provides fair value information as of March 31, 2021 and December 31, 2020:

	March 31, 2021
			Fair value measurements using:
(Dollars in thousands)	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Collateral-dependent loans	$	10,247	$	—	$	—	$	10,247
Other real estate owned	36,642		—		—		36,642
Mortgage servicing rights	20,409		—		—		20,409
	December 31, 2020
			Fair value measurements using:
	Fair value		Level 1 inputs		Level 2 inputs		Level 3 inputs
Collateral-dependent loans	$	11,779	$	—	$	—	$	11,779
Other real estate owned	40,115		—		—		40,115
Mortgage servicing rights	16,966		—		—		16,966

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Employee Benefit Plans (Tables)

3 Months Ended

Mar. 31, 2021

Retirement Benefits, Description [Abstract]

Schedule of Net Benefit Costs

For the three months ended March 31, 2021 and 2020, the components of net periodic benefit cost are as follows:

	Three months ended March 31
(Dollars in thousands)	2021		2020
Service cost	$	3,653	$	3,457
Interest cost	7,404		8,531
Expected return on assets	(19,595)		(16,409)
Amortization of net actuarial loss	6,529		6,264
Net periodic (benefit) cost	$	(2,009)	$	1,843

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Leases (Tables)

3 Months Ended

Mar. 31, 2021

Leases [Abstract]

Schedule of Operating and Finance Lease Assets and Liabilities

The following table presents right-of-use lease assets and liabilities as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	Classification	March 31, 2021		December 31, 2020
Assets:
Operating	Other assets	$	65,330	$	68,048
Finance	Premises and equipment	5,936		6,478
Total leased assets		$	71,266	$	74,526
Liabilities:
Operating	Other liabilities	$	65,841	$	68,343
Finance	Other borrowings	5,915		6,308
Total lease liabilities		$	71,756	$	74,651

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Commitments and Contingencies (Tables)

3 Months Ended

Mar. 31, 2021

Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]

Schedule of fair falue for off-balance sheet risks

The following table presents the commitments to extend credit and standby letters of credit as of March 31, 2021 and December 31, 2020:

(Dollars in thousands)	March 31, 2021		December 31, 2020
Unused commitments to extend credit	$	12,126,186	$	12,098,417
Standby letters of credit	139,572		129,819

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Accounting Policies and Basis of Presentation Accounting Policies and Basis of Presentation (Recently Adopted Accounting Standards) (Details) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2021 USD ($) loan $ / shares shares	Mar. 31, 2020 USD ($) $ / shares shares	Dec. 31, 2020 USD ($) $ / shares	Dec. 31, 2019 USD ($)
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Stock issued (in shares) | shares		339,958,000
Preferred stock, par value (in dollars per share) | $ / shares	$ 0.01		$ 0.01
Stock repurchased during period (in shares) | shares		349,390
Stock repurchased during period		$ 159,700
Stock repurchased during period (in USD per share) | $ / shares		$ 457.10
Forecast period (years)	2 years
Retained earnings	$ 4,005,318		$ 3,867,252
Allowance for credit loss	210,651	$ 209,259	224,314	$ 225,141
Commercial
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Allowance for credit loss	74,864	72,410	80,842	$ 142,369
Loans and leases, not acquired in a transfer accounted for as debt securities	$ 23,097,302		22,558,060
SBA-PPP
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Number of loans originated | loan	9,600
Loans receivable, period increase	$ 1,100,000
Loans and leases, not acquired in a transfer accounted for as debt securities	2,800,000
SBA-PPP | Commercial
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Loans and leases, not acquired in a transfer accounted for as debt securities	$ 2,769,906		$ 2,406,291
Class A Common Stock
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Stock repurchased during period		$ 159,704
Class A Common Stock | Repurchases From Ella Ann Holding
New Accounting Pronouncements or Change in Accounting Principle [Line Items]
Stock repurchased during period (in shares) | shares	45,000

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Business Combinations - Merger (Details)	Oct. 15, 2020 director $ / shares	Mar. 31, 2021 $ / shares	Dec. 31, 2020 $ / shares
Subsequent Event [Line Items]
Preferred stock, par value (in dollars per share)		$ 0.01	$ 0.01
Number of directors | director	14
Class A Common Stock
Subsequent Event [Line Items]
Common stock, par value (in dollars per share)	$ 1.00	$ 1	$ 1
CIT Group Inc.
Subsequent Event [Line Items]
Common stock, par value (in dollars per share)	$ 0.01
Number of directors | director	3
CIT Group Inc. | Ellen R. Alemany [Member]
Subsequent Event [Line Items]
Number of directors | director	1
CIT Group Inc. | BancShares Class A Common Stock
Subsequent Event [Line Items]
Conversion rate	0.06200
CIT Group Inc. | Fixed-To-Floating Rate Non-Cumulative Perpetual Preferred Stock, Series A
Subsequent Event [Line Items]
Preferred stock, par value (in dollars per share)	$ 0.01
CIT Group Inc. | Non-Cumulative Perpetual Preferred Stock, Series B
Subsequent Event [Line Items]
Preferred stock, par value (in dollars per share)	$ 0.01
Dividend rate (percentage)	5.625%
CIT Group Inc. | Series B Preferred Stock
Subsequent Event [Line Items]
Conversion rate	1
CIT Group Inc. | Series C Preferred Stock
Subsequent Event [Line Items]
Conversion rate	1
BancShares
Subsequent Event [Line Items]
Number of directors | director	11

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Investments (Aggregate Values and Unrealized Gains and Losses) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Investment securities available for sale
Amortized cost	$ 7,270,552	$ 6,911,965
Gross unrealized losses	44,888	8,911
Fair value	7,307,122	7,014,243
Investment in marketable equity securities at cost	84,297	84,837
Available-for-sale Equity Securities, Accumulated Gross Unrealized Gain, before Tax	22,872	8,654
Available-for-sale Equity Securities, Accumulated Gross Unrealized Loss, before Tax	283	1,811
Fair value	106,886	91,680
Investment securities held to maturity
Amortized cost	2,808,099	2,816,982
Gross unrealized gains	5,204
Gross unrealized losses	38,321
Fair value	2,774,982	2,838,499
Amortized cost	10,162,948	9,813,784
Gross unrealized gains	109,534	141,416
Gross unrealized losses	83,492	10,778
Fair value	10,188,990	9,944,422
Investment securities available for sale at cost	7,270,552	6,911,965
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax	81,458	111,189
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax	44,888	8,911
Debt Securities, Available-for-sale	7,307,122	7,014,243
Interest receivable, available-for-sale debt securities	21,300	17,600
Interest receivable, held-to-maturity debt securities	5,300	5,400
U.S. Treasury
Investment securities held to maturity
Investment securities available for sale at cost		499,832
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax		101
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax		0
Debt Securities, Available-for-sale		499,933
Government agency
Investment securities available for sale
Gross unrealized losses	6,403	5,573
Investment securities held to maturity
Investment securities available for sale at cost	852,305	706,241
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax	784	723
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax	6,403	5,573
Debt Securities, Available-for-sale	846,686	701,391
Residential Mortgage Backed Securities
Investment securities available for sale
Gross unrealized losses	26,046	1,310
Investment securities held to maturity
Amortized cost	1,740,314	1,877,692
Gross unrealized gains	5,191	17,689
Gross unrealized losses	20,510	0
Fair value	1,724,995	1,895,381
Investment securities available for sale at cost	4,736,893	4,369,130
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax	47,742	70,283
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax	26,046	1,310
Debt Securities, Available-for-sale	4,758,589	4,438,103
Commercial Mortgage Backed Securities
Investment securities available for sale
Amortized cost	1,096,259	745,892
Gross unrealized gains	14,619	25,645
Gross unrealized losses	11,891	0
Fair value	1,098,987	771,537
Investment securities held to maturity
Amortized cost	1,065,778	937,034
Gross unrealized gains	13	3,884
Gross unrealized losses	17,811	56
Fair value	1,047,980	940,862
Residential mortgage-backed securities
Investment securities held to maturity
Amortized cost		2,816,982
Gross unrealized gains		21,573
Gross unrealized losses		56
Fair value		2,838,499
Commercial mortgage-backed securities
Investment securities available for sale
Gross unrealized losses	548
Investment securities held to maturity
Investment securities available for sale at cost	585,095	590,870
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Gain, before Tax	18,313	14,437
Debt Securities, Available-for-sale, Accumulated Gross Unrealized Loss, before Tax	548	2,028
Debt Securities, Available-for-sale	602,860	603,279
Other
Investment securities held to maturity
Amortized cost	2,007	2,256
Gross unrealized gains	0	0
Gross unrealized losses	0	0
Fair value	$ 2,007	$ 2,256

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Investments (Maturity Information) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Investment securities available for sale
Total investment securities available for sale, cost	$ 7,270,552	$ 6,911,965
Total investment securities available for sale, fair value	7,307,122	7,014,243
Investment securities held to maturity
Investment securities held to maturity at cost	2,808,099	2,816,982
Investment securities held to maturity at fair value	2,774,982	2,838,499
Investment securities available for sale at cost	7,270,552	6,911,965
Debt Securities, Available-for-sale	7,307,122	7,014,243
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, within One Year, Amortized Cost	998	1,507
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, within One Year, Fair Value	998	1,507
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, after One Through Five Years, Amortized Cost	1,009	749
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, after One Through Five Years, Fair Value	1,009	749
Debt Securities
Investment securities available for sale
Maturing in one year or less, cost	1,020	500,846
Maturing in one through five years, cost	72,340	72,565
Maturing in five through ten years, cost	502,757	508,320
Maturing in over ten years, cost	8,978	8,971
Maturing in one year or less, fair value	1,021	500,954
Maturing in one through five years, fair value	74,536	73,881
Maturing in five through ten yeas, fair value	517,922	519,570
Maturing in over ten years, fair value	9,381	8,807
Agency Securities
Investment securities held to maturity
Investment securities available for sale at cost	852,305	706,241
Debt Securities, Available-for-sale	846,686	701,391
Residential Mortgage Backed Securities
Investment securities held to maturity
Investment securities held to maturity at cost	1,740,314	1,877,692
Commercial mortgage-backed securities	1,724,995	1,895,381
Investment securities held to maturity at fair value	1,724,995	1,895,381
Investment securities available for sale at cost	4,736,893	4,369,130
Debt Securities, Available-for-sale	4,758,589	4,438,103
Commercial Mortgage Backed Securities
Investment securities available for sale
Total investment securities available for sale, cost	1,096,259	745,892
Total investment securities available for sale, fair value	1,098,987	771,537
Investment securities held to maturity
Investment securities held to maturity at cost	1,065,778	937,034
Commercial mortgage-backed securities	1,047,980	940,862
Investment securities held to maturity at fair value	$ 1,047,980	940,862
Residential mortgage-backed securities
Investment securities held to maturity
Investment securities held to maturity at cost		2,816,982
Investment securities held to maturity at fair value		$ 2,838,499

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Investments (Available-for-sale Securities) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Investments, Debt and Equity Securities [Abstract]
Gross realized gains on sales of investment securities available for sale	$ 9,207	$ 20,474
Gross realized losses on sales of investment securities available for sale	0	(679)
Net realized gains on sales of investment securities available for sale	$ 9,207	$ 19,795

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Investments Marketable Equity Securities Gains (Losses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Marketable Equity Securities Gains (Losses) [Abstract]
Marketable equity securities gains (losses), net	$ 16,011	$ (51,408)
Less net gains recognized on marketable equity securities sold	263	323
Unrealized gains (losses) recognized on marketable equity securities held	$ 15,748	$ (51,731)

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Investments (Unrealized Losses) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Investment securities available for sale:
Fair Value, Less than 12 months	$ 3,370,304	$ 760,153
Unrealized Losses, Less than 12 months	41,407	6,466
Fair Value, 12 months or more	454,057	351,841
Unrealized Losses, Greater than 12 months	3,481	2,445
Fair Value, Total	3,824,361	1,111,994
Gross unrealized losses	44,888	8,911
Agency Securities
Investment securities available for sale:
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months	331,034	268,622
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	3,501	3,197
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer	415,379	328,777
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	2,902	2,376
Fair Value, Total	746,413	597,399
Gross unrealized losses	6,403	5,573
Residential Mortgage Backed Securities
Investment securities available for sale:
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months	2,345,301	433,816
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	26,001	1,241
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer	12,495	23,064
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	45	69
Fair Value, Total	2,357,796	456,880
Gross unrealized losses	26,046	1,310
Commercial Mortgage Backed Securities
Investment securities available for sale:
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months	685,575
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	11,891
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer	0
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	0
Fair Value, Total	685,575
Gross unrealized losses	11,891	0
Corporate bonds
Investment securities available for sale:
Fair Value, Total		57,715
Gross unrealized losses		2,028
Corporate Bonds
Investment securities available for sale:
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months	8,394	57,715
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	14	2,028
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer	26,183	0
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	534	$ 0
Fair Value, Total	34,577
Gross unrealized losses	$ 548

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Investments (Narrative) (Details) shares in Thousands		3 Months Ended
	Nov. 01, 2020 USD ($)	Mar. 31, 2021 USD ($) investments investment shares	Mar. 31, 2020 USD ($)	Dec. 31, 2020 USD ($)
Schedule of Investments [Line Items]
Unrealized gain at the date of transfer	$ 5,900,000
Other Comprehensive Income Loss Unrealized Losses On Securities Available For Sale Transferred To Held To Maturity Arising During Period Net Of Tax	4,500,000	$ (366,000)	$ 0
Stock issued by Federal Home Loan Bank		40,600,000		$ 45,400,000
Non-marketable equity securities		11,400,000		11,600,000
Available for sale securities, realized gain (loss)		$ 9,207,000	$ 19,795,000
Available-for-sale securities, continuous unrealized loss position, 12 months or longer, number of positions | investment		60
Unrealized losses related to marketability of securities or issuer's ability to honor redemption obligations		$ 0
Investment value deemed to be OTTI		0
Investment securities, aggregate carrying value, pledged as collateral		4,800,000,000		$ 4,600,000,000
Debt Securities, Accrued Interest, WriteOff		0
Held-to-maturity securities		0
Past due securities		$ 0
Residential mortgage-backed securities
Schedule of Investments [Line Items]
Investment securities available for sale transferred to held to maturity amortized cost	1,460,000,000
Investment securities available for sale transferred to held to maturity fair value	$ 1,470,000,000
Weighted average contractual maturity term	18 years
Available-for-sale, securities in unrealized loss positions, number of positions, greater than or equal to one year | investments		54
Corporate Bonds
Schedule of Investments [Line Items]
Available-for-sale, securities in unrealized loss positions, number of positions, greater than or equal to one year | investments		6
Visa Class B Common Stock
Schedule of Investments [Line Items]
Investment owned (in shares) | shares		354
Investment owned		$ 0

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Loans and Leases (Loans and Leases Outstanding) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
PCD loans	$ 432,773	$ 462,882
Total loans and leases	33,180,851	32,791,975
SBA-PPP
Loans and leases, not acquired in a transfer accounted for as debt securities	2,800,000
Commercial
Loans and leases, not acquired in a transfer accounted for as debt securities	23,097,302	22,558,060
Commercial | Construction and land development
Loans and leases, not acquired in a transfer accounted for as debt securities	1,022,087	985,424
Commercial | Owner occupied commercial mortgage
Loans and leases, not acquired in a transfer accounted for as debt securities	11,340,966	11,165,012
Commercial | Non-owner occupied commercial mortgage
Loans and leases, not acquired in a transfer accounted for as debt securities	3,017,898	2,987,689
Commercial | Commercial and industrial and leases
Loans and leases, not acquired in a transfer accounted for as debt securities	4,946,445	5,013,644
Commercial | SBA-PPP
Loans and leases, not acquired in a transfer accounted for as debt securities	2,769,906	2,406,291
Consumer
Loans and leases, not acquired in a transfer accounted for as debt securities	9,650,776	9,771,033
Consumer | Construction and land development
Loans and leases, not acquired in a transfer accounted for as debt securities	336,065	348,123
Consumer | Consumer auto
Loans and leases, not acquired in a transfer accounted for as debt securities	1,271,586	1,255,402
Consumer | Residential mortgage
Loans and leases, not acquired in a transfer accounted for as debt securities	5,566,026	5,561,686
Consumer | Revolving mortgage
Loans and leases, not acquired in a transfer accounted for as debt securities	1,938,422	2,052,854
Consumer | Consumer other
Loans and leases, not acquired in a transfer accounted for as debt securities	$ 538,677	$ 552,968

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Loans and Leases (Narrative) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Financing Receivable, Credit Quality Indicator [Line Items]
Interest receivable	$ 103,200	$ 107,700
Loans held for sale	129,300	124,800
total remaining discount	58,150	64,727
PCD Loans
Financing Receivable, Credit Quality Indicator [Line Items]
Remaining discount	41,141	45,254
Non-PCI Loans
Financing Receivable, Credit Quality Indicator [Line Items]
Unamortized Loan Commitment and Origination Fees and Unamortized Discounts or Premiums	78,649	50,217
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Purchase Discount Remaining	17,009	19,473
Non-PCI Loans | SBA-PPP
Financing Receivable, Credit Quality Indicator [Line Items]
Unamortized Loan Commitment and Origination Fees and Unamortized Discounts or Premiums	(66,717)	41,064
Non-PCI Loans | Other Portfolio
Financing Receivable, Credit Quality Indicator [Line Items]
Unamortized Loan Commitment and Origination Fees and Unamortized Discounts or Premiums	$ (11,932)	$ 9,153

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Loans and Leases (Aging Of The Outstanding Loans and Leases By Class) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Financing Receivable, Past Due [Line Items]
Past due loans	$ 215,919	$ 245,485
Current loans	32,964,932	32,546,490
Total loans and leases	33,180,851	32,791,975
Commercial
Financing Receivable, Past Due [Line Items]
Total loans and leases	23,097,302	22,558,060
Commercial | Construction and land development
Financing Receivable, Past Due [Line Items]
Total loans and leases	1,022,087	985,424
Commercial | Commercial and industrial
Financing Receivable, Past Due [Line Items]
Total loans and leases	4,946,445	5,013,644
Consumer
Financing Receivable, Past Due [Line Items]
Total loans and leases	9,650,776	9,771,033
Consumer | Construction and land development
Financing Receivable, Past Due [Line Items]
Total loans and leases	336,065	348,123
Consumer | Consumer auto
Financing Receivable, Past Due [Line Items]
Total loans and leases	1,271,586	1,255,402
Consumer | Residential mortgage
Financing Receivable, Past Due [Line Items]
Total loans and leases	5,566,026	5,561,686
Consumer | Revolving mortgage
Financing Receivable, Past Due [Line Items]
Total loans and leases	1,938,422	2,052,854
Non-PCI Loans | Commercial
Financing Receivable, Past Due [Line Items]
Past due loans		67,117
Current loans		22,490,943
Total loans and leases		22,558,060
Non-PCI Loans | Commercial | Construction and land development
Financing Receivable, Past Due [Line Items]
Past due loans	1,872	3,086
Current loans	1,020,215	982,338
Total loans and leases	1,022,087	985,424
Non-PCI Loans | Commercial | Mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	27,177	25,071
Current loans	11,313,789	11,139,941
Total loans and leases	11,340,966	11,165,012
Non-PCI Loans | Commercial | Non-owner occupied commercial mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	14,266	18,343
Current loans	3,003,632	2,969,346
Total loans and leases	3,017,898	2,987,689
Non-PCI Loans | Commercial | Commercial and industrial
Financing Receivable, Past Due [Line Items]
Past due loans	21,304	20,617
Current loans	4,925,141	4,993,027
Total loans and leases	4,946,445	5,013,644
Non-PCI Loans | Commercial | Total commercial loans
Financing Receivable, Past Due [Line Items]
Past due loans	64,619	0
Current loans	23,032,683	2,406,291
Total loans and leases	23,097,302	2,406,291
Non-PCI Loans | Commercial | SBA-PPP
Financing Receivable, Past Due [Line Items]
Past due loans	0
Current loans	2,769,906
Total loans and leases	2,769,906
Non-PCI Loans | Consumer
Financing Receivable, Past Due [Line Items]
Past due loans	102,034	122,944
Current loans	9,548,742	9,648,089
Total loans and leases	9,650,776	9,771,033
Non-PCI Loans | Consumer | Construction and land development
Financing Receivable, Past Due [Line Items]
Past due loans	1,862	1,339
Current loans	334,203	346,784
Total loans and leases	336,065	348,123
Non-PCI Loans | Consumer | Consumer auto
Financing Receivable, Past Due [Line Items]
Past due loans	6,306	9,736
Current loans	1,265,280	1,245,666
Total loans and leases	1,271,586	1,255,402
Non-PCI Loans | Consumer | Residential mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	72,535	83,272
Current loans	5,493,491	5,478,414
Total loans and leases	5,566,026	5,561,686
Non-PCI Loans | Consumer | Revolving mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	16,356	22,018
Current loans	1,922,066	2,030,836
Total loans and leases	1,938,422	2,052,854
Non-PCI Loans | Consumer | Consumer other
Financing Receivable, Past Due [Line Items]
Past due loans	4,975	6,579
Current loans	533,702	546,389
Total loans and leases	538,677	552,968
PCD Loans
Financing Receivable, Past Due [Line Items]
Past due loans	49,266	55,424
Current loans	383,507	407,458
Total loans and leases	432,773	462,882
30 to 59 Days past due
Financing Receivable, Past Due [Line Items]
Past due loans	90,526	121,499
30 to 59 Days past due | Consumer | Construction and land development
Financing Receivable, Past Due [Line Items]
Total loans and leases	266	932
30 to 59 Days past due | Consumer | Consumer auto
Financing Receivable, Past Due [Line Items]
Total loans and leases	4,432	6,825
30 to 59 Days past due | Consumer | Residential mortgage
Financing Receivable, Past Due [Line Items]
Total loans and leases	34,350	43,218
30 to 59 Days past due | Consumer | Revolving mortgage
Financing Receivable, Past Due [Line Items]
Total loans and leases	6,222	11,977
30 to 59 Days past due | Non-PCI Loans | Commercial
Financing Receivable, Past Due [Line Items]
Past due loans		36,615
30 to 59 Days past due | Non-PCI Loans | Commercial | Construction and land development
Financing Receivable, Past Due [Line Items]
Past due loans	277	956
30 to 59 Days past due | Non-PCI Loans | Commercial | Mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	13,153	8,757
30 to 59 Days past due | Non-PCI Loans | Commercial | Non-owner occupied commercial mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	5,046	12,370
30 to 59 Days past due | Non-PCI Loans | Commercial | Commercial and industrial
Financing Receivable, Past Due [Line Items]
Past due loans	13,284	14,532
30 to 59 Days past due | Non-PCI Loans | Commercial | Total commercial loans
Financing Receivable, Past Due [Line Items]
Past due loans	31,760	0
30 to 59 Days past due | Non-PCI Loans | Commercial | SBA-PPP
Financing Receivable, Past Due [Line Items]
Past due loans	0
30 to 59 Days past due | Non-PCI Loans | Consumer
Financing Receivable, Past Due [Line Items]
Past due loans	47,516	66,562
30 to 59 Days past due | Non-PCI Loans | Consumer | Construction and land development
Financing Receivable, Past Due [Line Items]
Past due loans	266	932
30 to 59 Days past due | Non-PCI Loans | Consumer | Consumer auto
Financing Receivable, Past Due [Line Items]
Past due loans	4,432	6,825
30 to 59 Days past due | Non-PCI Loans | Consumer | Residential mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	34,350	43,218
30 to 59 Days past due | Non-PCI Loans | Consumer | Revolving mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	6,222	11,977
30 to 59 Days past due | Non-PCI Loans | Consumer | Consumer other
Financing Receivable, Past Due [Line Items]
Past due loans	2,246	3,610
30 to 59 Days past due | PCD Loans
Financing Receivable, Past Due [Line Items]
Past due loans	11,250	18,322
Total loans and leases	11,250	18,322
60 to 89 Days past due
Financing Receivable, Past Due [Line Items]
Past due loans	24,562	26,043
60 to 89 Days past due | Consumer | Construction and land development
Financing Receivable, Past Due [Line Items]
Total loans and leases	944	77
60 to 89 Days past due | Consumer | Consumer auto
Financing Receivable, Past Due [Line Items]
Total loans and leases	1,014	1,835
60 to 89 Days past due | Consumer | Residential mortgage
Financing Receivable, Past Due [Line Items]
Total loans and leases	7,396	8,364
60 to 89 Days past due | Consumer | Revolving mortgage
Financing Receivable, Past Due [Line Items]
Total loans and leases	1,603	2,626
60 to 89 Days past due | Non-PCI Loans | Commercial
Financing Receivable, Past Due [Line Items]
Past due loans		5,601
60 to 89 Days past due | Non-PCI Loans | Commercial | Construction and land development
Financing Receivable, Past Due [Line Items]
Past due loans	0	527
60 to 89 Days past due | Non-PCI Loans | Commercial | Mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	2,996	2,232
60 to 89 Days past due | Non-PCI Loans | Commercial | Non-owner occupied commercial mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	303	0
60 to 89 Days past due | Non-PCI Loans | Commercial | Commercial and industrial
Financing Receivable, Past Due [Line Items]
Past due loans	4,771	2,842
60 to 89 Days past due | Non-PCI Loans | Commercial | Total commercial loans
Financing Receivable, Past Due [Line Items]
Past due loans	8,070	0
60 to 89 Days past due | Non-PCI Loans | Commercial | SBA-PPP
Financing Receivable, Past Due [Line Items]
Past due loans	0
60 to 89 Days past due | Non-PCI Loans | Consumer
Financing Receivable, Past Due [Line Items]
Past due loans	12,170	14,366
60 to 89 Days past due | Non-PCI Loans | Consumer | Construction and land development
Financing Receivable, Past Due [Line Items]
Past due loans	944	77
60 to 89 Days past due | Non-PCI Loans | Consumer | Consumer auto
Financing Receivable, Past Due [Line Items]
Past due loans	1,014	1,835
60 to 89 Days past due | Non-PCI Loans | Consumer | Residential mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	7,396	8,364
60 to 89 Days past due | Non-PCI Loans | Consumer | Revolving mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	1,603	2,626
60 to 89 Days past due | Non-PCI Loans | Consumer | Consumer other
Financing Receivable, Past Due [Line Items]
Past due loans	1,213	1,464
60 to 89 Days past due | PCD Loans
Financing Receivable, Past Due [Line Items]
Past due loans	4,322	6,076
Total loans and leases	4,322	6,076
90 Days or greater
Financing Receivable, Past Due [Line Items]
Past due loans	100,831	97,943
90 Days or greater | Consumer | Construction and land development
Financing Receivable, Past Due [Line Items]
Total loans and leases	652	330
90 Days or greater | Consumer | Consumer auto
Financing Receivable, Past Due [Line Items]
Total loans and leases	860	1,076
90 Days or greater | Consumer | Residential mortgage
Financing Receivable, Past Due [Line Items]
Total loans and leases	30,789	31,690
90 Days or greater | Consumer | Revolving mortgage
Financing Receivable, Past Due [Line Items]
Total loans and leases	8,531	7,415
90 Days or greater | Non-PCI Loans | Commercial
Financing Receivable, Past Due [Line Items]
Past due loans		24,901
90 Days or greater | Non-PCI Loans | Commercial | Construction and land development
Financing Receivable, Past Due [Line Items]
Past due loans	1,595	1,603
90 Days or greater | Non-PCI Loans | Commercial | Mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	11,028	14,082
90 Days or greater | Non-PCI Loans | Commercial | Non-owner occupied commercial mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	8,917	5,973
90 Days or greater | Non-PCI Loans | Commercial | Commercial and industrial
Financing Receivable, Past Due [Line Items]
Past due loans	3,249	3,243
90 Days or greater | Non-PCI Loans | Commercial | Total commercial loans
Financing Receivable, Past Due [Line Items]
Past due loans	24,789	0
90 Days or greater | Non-PCI Loans | Commercial | SBA-PPP
Financing Receivable, Past Due [Line Items]
Past due loans	0
90 Days or greater | Non-PCI Loans | Consumer
Financing Receivable, Past Due [Line Items]
Past due loans	42,348	42,016
90 Days or greater | Non-PCI Loans | Consumer | Construction and land development
Financing Receivable, Past Due [Line Items]
Past due loans	652	330
90 Days or greater | Non-PCI Loans | Consumer | Consumer auto
Financing Receivable, Past Due [Line Items]
Past due loans	860	1,076
90 Days or greater | Non-PCI Loans | Consumer | Residential mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	30,789	31,690
90 Days or greater | Non-PCI Loans | Consumer | Revolving mortgage
Financing Receivable, Past Due [Line Items]
Past due loans	8,531	7,415
90 Days or greater | Non-PCI Loans | Consumer | Consumer other
Financing Receivable, Past Due [Line Items]
Past due loans	1,516	1,505
90 Days or greater | PCD Loans
Financing Receivable, Past Due [Line Items]
Past due loans	33,694	31,026
Total loans and leases	$ 33,694	$ 31,026

XML

Loans and Leases (Recorded Investment, By Class, In Loans And Leases On Nonaccrual Status And Loans And Leases Greater Than 90 Days Past Due And Still Accruing) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	$ 194,534	$ 191,483
Loans and leases greater than 90 days and accruing	7,377	5,862
Non-PCI Loans | Commercial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	51,101	43,322
Loans and leases greater than 90 days and accruing	4,218	4,312
Non-PCI Loans | Commercial | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	1,648	1,661
Loans and leases greater than 90 days and accruing	0	0
Non-PCI Loans | Commercial | Owner occupied commercial mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	22,796	23,103
Loans and leases greater than 90 days and accruing	1,400	3,625
Non-PCI Loans | Commercial | Non-owner occupied commercial mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	10,939	7,932
Loans and leases greater than 90 days and accruing	2,211	147
Non-PCI Loans | Commercial | Commercial and industrial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	15,718	10,626
Loans and leases greater than 90 days and accruing	607	540
Non-PCI Loans | Consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	90,268	93,222
Loans and leases greater than 90 days and accruing	1,727	1,195
Non-PCI Loans | Consumer | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	566	652
Loans and leases greater than 90 days and accruing	543	0
Non-PCI Loans | Consumer | Residential mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	61,907	66,345
Loans and leases greater than 90 days and accruing	29	0
Non-PCI Loans | Consumer | Revolving mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	23,952	22,236
Loans and leases greater than 90 days and accruing	0	0
Non-PCI Loans | Consumer | Consumer auto
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	3,027	3,166
Loans and leases greater than 90 days and accruing	0	0
Non-PCI Loans | Consumer | Consumer other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	816	823
Loans and leases greater than 90 days and accruing	1,155	1,195
PCD Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Nonaccruing	53,165	54,939
Loans and leases greater than 90 days and accruing	$ 1,432	$ 355

XML

Loans and Leases Loans and Leases (Credit Rating) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Financing Receivable, Credit Quality Indicator [Line Items]
Total loans and leases	$ 33,180,851	$ 32,791,975
Commercial
Financing Receivable, Credit Quality Indicator [Line Items]
2021	2,207,869	8,459,531
2020	7,728,147	4,217,219
2019	4,060,239	2,787,346
2018	2,552,670	2,053,335
2017	1,890,073	1,647,878
Prior	3,510,422	2,238,335
Revolving	1,140,955	1,147,519
Revolving converted to term loans	6,927	6,897
Total loans and leases	23,097,302	22,558,060
Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	740,559	2,679,097
2020	2,555,865	1,444,947
2019	1,271,931	929,030
2018	791,020	728,918
2017	629,500	536,569
Prior	1,297,619	951,150
Revolving	2,206,721	2,339,505
Revolving converted to term loans	157,561	161,817
Total loans and leases	9,650,776	9,771,033
Consumer And PCD Portfolio Segments
Financing Receivable, Credit Quality Indicator [Line Items]
2021	2,948,428	11,172,270
2020	10,313,757	5,690,922
2019	5,359,399	3,749,427
2018	3,375,272	2,812,829
2017	2,546,743	2,215,777
Prior	5,091,470	3,458,369
Revolving	3,359,588	3,500,512
Revolving converted to term loans	186,194	191,869
Total loans and leases	33,180,851	32,791,975
Construction and land development | Commercial
Financing Receivable, Credit Quality Indicator [Line Items]
2021	46,039	342,658
2020	399,629	341,862
2019	311,343	198,300
2018	170,162	56,118
2017	53,344	23,977
Prior	28,877	11,387
Revolving	12,693	11,122
Revolving converted to term loans	0	0
Total loans and leases	1,022,087	985,424
Construction and land development | Commercial | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2021	46,039	342,183
2020	399,172	341,233
2019	310,753	190,429
2018	168,534	50,776
2017	48,089	23,969
Prior	28,797	11,306
Revolving	12,548	10,969
Revolving converted to term loans	0	0
Total loans and leases	1,013,932	970,865
Construction and land development | Commercial | Special Mention
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	246
2020	232	0
2019	0	6,421
2018	181	5,342
2017	85	0
Prior	0	0
Revolving	145	153
Revolving converted to term loans	0	0
Total loans and leases	643	12,162
Construction and land development | Commercial | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	229
2020	225	629
2019	590	1,450
2018	1,447	0
2017	5,170	8
Prior	80	81
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	7,512	2,397
Construction and land development | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	40,360	215,112
2020	210,592	86,127
2019	52,559	24,981
2018	17,003	10,648
2017	8,492	6,093
Prior	5,484	2,637
Revolving	1,575	2,525
Revolving converted to term loans	0	0
Total loans and leases	336,065	348,123
Owner occupied commercial mortgage | Commercial
Financing Receivable, Credit Quality Indicator [Line Items]
2021	636,490	3,200,021
2020	3,222,562	2,240,919
2019	2,210,881	1,671,722
2018	1,571,041	1,334,727
2017	1,245,547	1,081,293
Prior	2,336,723	1,521,016
Revolving	117,549	115,109
Revolving converted to term loans	173	205
Total loans and leases	11,340,966	11,165,012
Owner occupied commercial mortgage | Commercial | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2021	632,239	3,183,467
2020	3,202,842	2,201,165
2019	2,166,465	1,625,141
2018	1,521,886	1,301,412
2017	1,206,771	1,049,858
Prior	2,249,426	1,454,020
Revolving	106,579	101,556
Revolving converted to term loans	101	133
Total loans and leases	11,086,309	10,916,752
Owner occupied commercial mortgage | Commercial | Special Mention
Financing Receivable, Credit Quality Indicator [Line Items]
2021	687	6,274
2020	10,398	20,702
2019	29,975	36,739
2018	39,868	12,387
2017	12,074	17,699
Prior	37,441	25,693
Revolving	2,974	5,115
Revolving converted to term loans	72	72
Total loans and leases	133,489	124,681
Owner occupied commercial mortgage | Commercial | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
2021	3,564	10,280
2020	9,322	19,052
2019	14,441	9,842
2018	9,287	20,928
2017	26,702	13,736
Prior	49,856	41,303
Revolving	7,996	8,438
Revolving converted to term loans	0	0
Total loans and leases	121,168	123,579
Non-owner occupied commercial mortgage | Commercial
Financing Receivable, Credit Quality Indicator [Line Items]
2021	159,684	868,982
2020	822,341	629,426
2019	626,447	401,226
2018	355,431	342,372
2017	329,716	302,018
Prior	686,196	410,223
Revolving	38,083	33,442
Revolving converted to term loans	0	0
Total loans and leases	3,017,898	2,987,689
Non-owner occupied commercial mortgage | Commercial | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2021	158,815	865,514
2020	809,647	609,975
2019	603,274	378,136
2018	332,010	331,800
2017	319,514	282,810
Prior	638,882	391,517
Revolving	35,835	32,149
Revolving converted to term loans	0	0
Total loans and leases	2,897,977	2,891,901
Non-owner occupied commercial mortgage | Commercial | Special Mention
Financing Receivable, Credit Quality Indicator [Line Items]
2021	794	569
2020	676	905
2019	880	10,794
2018	10,778	1,808
2017	1,440	5,121
Prior	2,918	3,279
Revolving	500	483
Revolving converted to term loans	0	0
Total loans and leases	17,986	22,959
Non-owner occupied commercial mortgage | Commercial | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
2021	75	2,899
2020	12,018	18,546
2019	22,293	12,296
2018	12,643	8,764
2017	8,762	14,087
Prior	44,396	15,427
Revolving	1,748	810
Revolving converted to term loans	0	0
Total loans and leases	101,935	72,829
Commercial and industrial | Commercial
Financing Receivable, Credit Quality Indicator [Line Items]
2021	429,644	1,641,579
2020	1,449,721	1,005,012
2019	911,568	516,098
2018	456,036	320,118
2017	261,466	240,590
Prior	458,626	295,709
Revolving	972,630	987,846
Revolving converted to term loans	6,754	6,692
Total loans and leases	4,946,445	5,013,644
Commercial and industrial | Commercial | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2021	424,035	1,620,622
2020	1,423,941	983,852
2019	884,987	504,463
2018	442,129	310,468
2017	251,356	234,735
Prior	445,265	286,996
Revolving	874,664	899,978
Revolving converted to term loans	5,150	5,520
Total loans and leases	4,751,527	4,846,634
Commercial and industrial | Commercial | Special Mention
Financing Receivable, Credit Quality Indicator [Line Items]
2021	102	3,146
2020	10,601	17,065
2019	22,183	7,265
2018	8,335	5,393
2017	6,160	3,307
Prior	7,764	4,912
Revolving	11,376	9,152
Revolving converted to term loans	194	189
Total loans and leases	66,715	50,429
Commercial and industrial | Commercial | Substandard
Financing Receivable, Credit Quality Indicator [Line Items]
2021	5,507	17,811
2020	15,179	4,095
2019	4,398	4,370
2018	5,572	4,257
2017	3,950	2,548
Prior	5,597	3,801
Revolving	24,608	22,384
Revolving converted to term loans	1,410	983
Total loans and leases	66,221	60,249
Commercial and industrial | Commercial | Doubtful
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0
2020	0
2019	0
2018	0
2017	0
Prior	0
Revolving	2
Revolving converted to term loans	0
Total loans and leases	2
Commercial and industrial | Commercial | Ungraded
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	0
2020	0	0
2019	0	0
2018	0	0
2017	0	0
Prior	0	0
Revolving	61,980	56,332
Revolving converted to term loans	0	0
Total loans and leases	61,980	56,332
Residential mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	524,216	1,885,273
2020	1,813,714	987,802
2019	892,605	671,657
2018	572,764	605,545
2017	526,673	476,855
Prior	1,211,439	909,361
Revolving	24,615	25,193
Revolving converted to term loans	0	0
Total loans and leases	5,566,026	5,561,686
Revolving mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	0
2020	0	0
2019	0	0
2018	0	0
2017	0	0
Prior	0	0
Revolving	1,780,861	1,891,037
Revolving converted to term loans	157,561	161,817
Total loans and leases	1,938,422	2,052,854
Consumer auto | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	155,101	524,393
2020	486,080	343,683
2019	303,915	221,383
2018	192,579	105,530
2017	88,088	50,627
Prior	45,823	9,786
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	1,271,586	1,255,402
Consumer other | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	20,882	54,319
2020	45,479	27,335
2019	22,852	11,009
2018	8,674	7,195
2017	6,247	2,994
Prior	34,873	29,366
Revolving	399,670	420,750
Revolving converted to term loans	0	0
Total loans and leases	538,677	552,968
SBA-PPP | Commercial | Pass
Financing Receivable, Credit Quality Indicator [Line Items]
2021	936,012	2,406,291
2020	1,833,894	0
2019	0	0
2018	0	0
2017	0	0
Prior	0	0
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	2,769,906	2,406,291
PCD Loans
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	33,642
2020	29,745	28,756
2019	27,229	33,051
2018	31,582	30,576
2017	27,170	31,330
Prior	283,429	268,884
Revolving	11,912	13,488
Revolving converted to term loans	21,706	23,155
Total loans and leases	432,773	462,882
Current | Construction and land development | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	40,360	215,112
2020	209,701	85,707
2019	52,406	24,860
2018	16,883	10,269
2017	8,037	6,093
Prior	5,241	2,218
Revolving	1,575	2,525
Revolving converted to term loans	0	0
Total loans and leases	334,203	346,784
Current | Residential mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	521,849	1,882,683
2020	1,810,979	978,298
2019	889,902	655,798
2018	561,267	596,309
2017	518,205	461,719
Prior	1,166,958	878,634
Revolving	24,331	24,973
Revolving converted to term loans	0	0
Total loans and leases	5,493,491	5,478,414
Current | Revolving mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	0
2020	0	0
2019	0	0
2018	0	0
2017	0	0
Prior	0	0
Revolving	1,772,173	1,879,968
Revolving converted to term loans	149,893	150,868
Total loans and leases	1,922,066	2,030,836
Current | Consumer auto | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	155,101	521,719
2020	484,026	340,594
2019	302,622	219,597
2018	191,055	104,280
2017	87,139	49,872
Prior	45,337	9,604
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	1,265,280	1,245,666
Current | Consumer other | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	20,879	53,842
2020	45,239	27,117
2019	22,631	10,911
2018	8,552	7,159
2017	6,246	2,980
Prior	34,873	29,336
Revolving	395,282	415,044
Revolving converted to term loans	0	0
Total loans and leases	533,702	546,389
Current | PCD Loans
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	31,475
2020	28,056	25,425
2019	24,347	27,183
2018	26,763	27,955
2017	24,879	28,995
Prior	247,606	232,186
Revolving	11,788	13,212
Revolving converted to term loans	20,068	21,027
Total loans and leases	383,507	407,458
30 to 59 Days past due | Construction and land development | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	0
2020	108	420
2019	15	121
2018	61	370
2017	30	0
Prior	52	21
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	266	932
30 to 59 Days past due | Residential mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	2,367	2,278
2020	2,193	4,573
2019	236	11,463
2018	9,619	3,772
2017	4,113	8,613
Prior	15,567	12,299
Revolving	255	220
Revolving converted to term loans	0	0
Total loans and leases	34,350	43,218
30 to 59 Days past due | Revolving mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	0
2020	0	0
2019	0	0
2018	0	0
2017	0	0
Prior	0	0
Revolving	3,877	8,241
Revolving converted to term loans	2,345	3,736
Total loans and leases	6,222	11,977
30 to 59 Days past due | Consumer auto | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	2,175
2020	1,327	1,873
2019	962	1,257
2018	1,054	842
2017	703	544
Prior	386	134
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	4,432	6,825
30 to 59 Days past due | Consumer other | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	3	322
2020	131	114
2019	100	77
2018	106	18
2017	1	11
Prior	0	7
Revolving	1,905	3,061
Revolving converted to term loans	0	0
Total loans and leases	2,246	3,610
30 to 59 Days past due | PCD Loans
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	999
2020	344	925
2019	390	801
2018	407	718
2017	300	1,341
Prior	9,423	12,637
Revolving	19	156
Revolving converted to term loans	367	745
Total loans and leases	11,250	18,322
60 to 89 Days past due | Construction and land development | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	0
2020	240	0
2019	138	0
2018	59	9
2017	366	0
Prior	141	68
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	944	77
60 to 89 Days past due | Residential mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	30
2020	256	100
2019	1,012	1,246
2018	1,040	1,449
2017	558	834
Prior	4,530	4,705
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	7,396	8,364
60 to 89 Days past due | Revolving mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	0
2020	0	0
2019	0	0
2018	0	0
2017	0	0
Prior	0	0
Revolving	699	527
Revolving converted to term loans	904	2,099
Total loans and leases	1,603	2,626
60 to 89 Days past due | Consumer auto | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	329
2020	433	689
2019	197	312
2018	253	351
2017	117	109
Prior	14	45
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	1,014	1,835
60 to 89 Days past due | Consumer other | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	102
2020	95	20
2019	7	13
2018	10	18
2017	0	3
Prior	0	23
Revolving	1,101	1,285
Revolving converted to term loans	0	0
Total loans and leases	1,213	1,464
60 to 89 Days past due | PCD Loans
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	447
2020	51	81
2019	88	312
2018	0	695
2017	165	97
Prior	3,896	4,098
Revolving	0	9
Revolving converted to term loans	122	337
Total loans and leases	4,322	6,076
90 Days or greater | Construction and land development | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	0
2020	543	0
2019	0	0
2018	0	0
2017	59	0
Prior	50	330
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	652	330
90 Days or greater | Residential mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	282
2020	286	4,831
2019	1,455	3,150
2018	838	4,015
2017	3,797	5,689
Prior	24,384	13,723
Revolving	29	0
Revolving converted to term loans	0	0
Total loans and leases	30,789	31,690
90 Days or greater | Revolving mortgage | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	0
2020	0	0
2019	0	0
2018	0	0
2017	0	0
Prior	0	0
Revolving	4,112	2,301
Revolving converted to term loans	4,419	5,114
Total loans and leases	8,531	7,415
90 Days or greater | Consumer auto | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	170
2020	294	527
2019	134	217
2018	217	57
2017	129	102
Prior	86	3
Revolving	0	0
Revolving converted to term loans	0	0
Total loans and leases	860	1,076
90 Days or greater | Consumer other | Consumer
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	53
2020	14	84
2019	114	8
2018	6	0
2017	0	0
Prior	0	0
Revolving	1,382	1,360
Revolving converted to term loans	0	0
Total loans and leases	1,516	1,505
90 Days or greater | PCD Loans
Financing Receivable, Credit Quality Indicator [Line Items]
2021	0	721
2020	1,294	2,325
2019	2,404	4,755
2018	4,412	1,208
2017	1,826	897
Prior	22,504	19,963
Revolving	105	111
Revolving converted to term loans	1,149	1,046
Total loans and leases	$ 33,694	$ 31,026

XML

Loans and Leases (Composition of the Loans and Leases Outstanding By Credit Quality Indicator) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	$ 215,919	$ 245,485
Current loans	32,964,932	32,546,490
Commercial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Non-PCI loans	23,097,302	22,558,060
Commercial | Commercial and industrial and leases
Accounts, Notes, Loans and Financing Receivable [Line Items]
Non-PCI loans	4,946,445	5,013,644
Commercial | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Non-PCI loans	1,022,087	985,424
Consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Non-PCI loans	9,650,776	9,771,033
Consumer | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Non-PCI loans	336,065	348,123
Non-PCI Loans | Commercial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans		67,117
Current loans		22,490,943
Non-PCI Loans | Commercial | Mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	27,177	25,071
Current loans	11,313,789	11,139,941
Non-PCI Loans | Commercial | Non-owner occupied commercial mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	14,266	18,343
Current loans	3,003,632	2,969,346
Non-PCI Loans | Commercial | Commercial and industrial and leases
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	21,304	20,617
Current loans	4,925,141	4,993,027
Non-PCI Loans | Commercial | Total commercial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	64,619	0
Current loans	23,032,683	2,406,291
Non-PCI Loans | Commercial | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	1,872	3,086
Current loans	1,020,215	982,338
Non-PCI Loans | Consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	102,034	122,944
Current loans	9,548,742	9,648,089
Non-PCI Loans | Consumer | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	1,862	1,339
Current loans	334,203	346,784
Non-PCI Loans | Consumer | Consumer other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	4,975	6,579
Current loans	533,702	546,389
PCD Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	49,266	55,424
Current loans	383,507	407,458
30 to 59 Days past due
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	90,526	121,499
30 to 59 Days past due | Non-PCI Loans | Commercial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans		36,615
30 to 59 Days past due | Non-PCI Loans | Commercial | Mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	13,153	8,757
30 to 59 Days past due | Non-PCI Loans | Commercial | Non-owner occupied commercial mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	5,046	12,370
30 to 59 Days past due | Non-PCI Loans | Commercial | Commercial and industrial and leases
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	13,284	14,532
30 to 59 Days past due | Non-PCI Loans | Commercial | Total commercial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	31,760	0
30 to 59 Days past due | Non-PCI Loans | Commercial | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	277	956
30 to 59 Days past due | Non-PCI Loans | Consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	47,516	66,562
30 to 59 Days past due | Non-PCI Loans | Consumer | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	266	932
30 to 59 Days past due | Non-PCI Loans | Consumer | Consumer other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	2,246	3,610
30 to 59 Days past due | PCD Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	11,250	18,322
60 to 89 Days past due
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	24,562	26,043
60 to 89 Days past due | Non-PCI Loans | Commercial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans		5,601
60 to 89 Days past due | Non-PCI Loans | Commercial | Mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	2,996	2,232
60 to 89 Days past due | Non-PCI Loans | Commercial | Non-owner occupied commercial mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	303	0
60 to 89 Days past due | Non-PCI Loans | Commercial | Commercial and industrial and leases
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	4,771	2,842
60 to 89 Days past due | Non-PCI Loans | Commercial | Total commercial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	8,070	0
60 to 89 Days past due | Non-PCI Loans | Commercial | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	0	527
60 to 89 Days past due | Non-PCI Loans | Consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	12,170	14,366
60 to 89 Days past due | Non-PCI Loans | Consumer | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	944	77
60 to 89 Days past due | Non-PCI Loans | Consumer | Consumer other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	1,213	1,464
60 to 89 Days past due | PCD Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	4,322	6,076
90 Days or greater
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	100,831	97,943
90 Days or greater | Non-PCI Loans | Commercial
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans		24,901
90 Days or greater | Non-PCI Loans | Commercial | Mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	11,028	14,082
90 Days or greater | Non-PCI Loans | Commercial | Non-owner occupied commercial mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	8,917	5,973
90 Days or greater | Non-PCI Loans | Commercial | Commercial and industrial and leases
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	3,249	3,243
90 Days or greater | Non-PCI Loans | Commercial | Total commercial loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	24,789	0
90 Days or greater | Non-PCI Loans | Commercial | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	1,595	1,603
90 Days or greater | Non-PCI Loans | Consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	42,348	42,016
90 Days or greater | Non-PCI Loans | Consumer | Construction and land development
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	652	330
90 Days or greater | Non-PCI Loans | Consumer | Consumer other
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	1,516	1,505
90 Days or greater | PCD Loans
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past due loans	$ 33,694	$ 31,026

XML

Loans and Leases - Schedule of Loans as Collateral (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Federal Home Loan Bank of Atlanta
Accounts, Notes, Loans and Financing Receivable [Line Items]
Lendable collateral value of pledged non-PCD loans-FHLB	$ 8,847,178	$ 8,637,844
Less: Advances	648,671	652,675
Available borrowing capacity	8,198,507	7,985,169
Loans pledged as collateral	12,327,626	12,157,153
Federal Reserve Bank
Accounts, Notes, Loans and Financing Receivable [Line Items]
Lendable collateral value of pledged non-PCD loans-FRB	3,367,466	3,321,762
Less: Advances	0	0
Available borrowing capacity	3,367,466	3,321,762
Loans pledged as collateral	$ 4,181,520	$ 4,104,866

XML

Allowance for Credit Losses (Summary of Activity In Allowance for Loan and Lease Losses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Financing Receivable, Allowance for Credit Loss [Line Items]
Forecast period (years)	2 years
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	$ 224,314	$ 225,141
Provision (credit)	(10,974)	28,355
Initial allowance on PCD loans		1,193
Charge-offs	(8,563)	(14,261)
Recoveries	5,874	6,755
Ending balance	210,651	209,259
Cumulative Effect, Period of Adoption, Adjustment [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance		(37,924)
Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance		187,217
Commercial
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	80,842	142,369
Provision (credit)	(3,922)	21,537
Initial allowance on PCD loans		0
Charge-offs	(3,331)	(5,369)
Recoveries	1,275	1,427
Ending balance	74,864	72,410
Commercial | Cumulative Effect, Period of Adoption, Adjustment [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance		(87,554)
Commercial | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance		54,815
Consumer
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	119,485	75,236
Provision (credit)	(5,504)	9,406
Initial allowance on PCD loans		0
Charge-offs	(4,469)	(7,769)
Recoveries	3,340	2,431
Ending balance	112,852	109,933
Consumer | Cumulative Effect, Period of Adoption, Adjustment [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance		30,629
Consumer | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance		105,865
Unfunded Loan Commitment
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	12,814	1,055
Provision (credit)	(1,243)	572
Ending balance	11,571	10,512
Unfunded Loan Commitment | Cumulative Effect, Period of Adoption, Adjustment [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	0	8,885
Unfunded Loan Commitment | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	12,814	9,940
PCD Loans
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	23,987	7,536
Provision (credit)	(1,548)	(2,588)
Initial allowance on PCD loans		1,193
Charge-offs	(763)	(1,123)
Recoveries	1,259	2,897
Ending balance	$ 22,935	26,916
PCD Loans | Cumulative Effect, Period of Adoption, Adjustment [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance		19,001
PCD Loans | Cumulative Effect, Period of Adoption, Adjusted Balance [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance		$ 26,537

XML

Allowance for Credit Losses (Collateral Dependent Loans) (Details) - USD ($)	Mar. 31, 2021	Dec. 31, 2020
Financing Receivable, Allowance for Credit Loss [Line Items]
Threshold balance for collateral-dependent loans to be individually reviewed for impairment	$ 500,000
Collateral-Dependant Loans	64,566,000	$ 58,825,000
Net Realizable Value of Collateral	$ 94,459,000	$ 81,272,000
Collateral Coverage	146.30%	138.20%
Allowance for Credit Losses	$ 120,000	$ 131,000
Collateral-dependent nonaccrual loans with no allowance	61,700,000	57,500,000
Non-PCD Loans | Commercial
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral-Dependant Loans	21,517,000	16,772,000
Net Realizable Value of Collateral	$ 30,440,000	$ 23,625,000
Collateral Coverage	141.50%	140.90%
Allowance for Credit Losses	$ 0	$ 0
Non-PCD Loans | Consumer
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral-Dependant Loans	22,688,000
Net Realizable Value of Collateral	$ 29,003,000
Collateral Coverage	127.80%
Allowance for Credit Losses	$ 120,000
PCD Loans
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral-Dependant Loans	20,361,000	19,042,000
Net Realizable Value of Collateral	$ 35,016,000	$ 27,872,000
Collateral Coverage	172.00%	146.40%
Allowance for Credit Losses	$ 0	$ 0
Construction and land development | Non-PCD Loans | Commercial
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral-Dependant Loans	1,424,000	1,424,000
Net Realizable Value of Collateral	$ 1,795,000	$ 1,795,000
Collateral Coverage	126.10%	126.10%
Allowance for Credit Losses	$ 0	$ 0
Owner occupied commercial mortgage | Non-PCD Loans | Commercial
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral-Dependant Loans	11,886,000	9,792,000
Net Realizable Value of Collateral	$ 16,417,000	$ 14,253,000
Collateral Coverage	138.10%	145.60%
Allowance for Credit Losses	$ 0	$ 0
Non-owner occupied commercial mortgage | Non-PCD Loans | Commercial
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral-Dependant Loans	6,951,000	5,556,000
Net Realizable Value of Collateral	$ 9,312,000	$ 7,577,000
Collateral Coverage	134.00%	136.40%
Allowance for Credit Losses	$ 0	$ 0
Commercial and industrial | Non-PCD Loans | Commercial
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral-Dependant Loans	1,256,000
Net Realizable Value of Collateral	$ 2,916,000
Collateral Coverage	232.20%
Allowance for Credit Losses	$ 0
Residential mortgage | Non-PCD Loans | Consumer
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral-Dependant Loans	21,303,000	23,011,000
Net Realizable Value of Collateral	$ 27,279,000	$ 29,775,000
Collateral Coverage	128.10%	129.40%
Allowance for Credit Losses	$ 120,000	$ 131,000
Revolving mortgage | Non-PCD Loans | Consumer
Financing Receivable, Allowance for Credit Loss [Line Items]
Collateral-Dependant Loans	1,385,000
Net Realizable Value of Collateral	$ 1,724,000
Collateral Coverage	124.50%
Allowance for Credit Losses	$ 0

XML

Allowance for Credit Losses (Troubled Debt Restructuring) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	$ 216,946	$ 208,180
Nonaccruing	194,534	191,483
Accruing
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	160,551	157,364
Nonaccruing
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	56,395	50,816
Non-PCD Loans | Commercial | Construction and land development
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	570	632
Non-PCD Loans | Commercial | Owner occupied commercial mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	48,955	48,463
Non-PCD Loans | Commercial | Non-owner occupied commercial mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	21,876	19,985
Non-PCD Loans | Commercial | Commercial and industrial
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	37,507	32,659
Non-PCD Loans | Commercial | Total commercial loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	108,908	101,739
Non-PCD Loans | Consumer
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	77,609	81,478
Non-PCD Loans | Consumer | Construction and land development
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	1,510	1,582
Non-PCD Loans | Consumer | Consumer auto
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	2,841	2,714
Non-PCD Loans | Consumer | Mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	46,125	48,838
Non-PCD Loans | Consumer | Revolving mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	26,060	27,252
Non-PCD Loans | Consumer | Consumer and Other
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	1,073	1,092
Non-PCD Loans | Accruing | Commercial | Construction and land development
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	529	578
Non-PCD Loans | Accruing | Commercial | Owner occupied commercial mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	38,969	37,574
Non-PCD Loans | Accruing | Commercial | Non-owner occupied commercial mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	20,541	18,336
Non-PCD Loans | Accruing | Commercial | Commercial and industrial
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	30,956	29,131
Non-PCD Loans | Accruing | Commercial | Total commercial loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	90,995	85,619
Non-PCD Loans | Accruing | Consumer
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	48,636	54,128
Non-PCD Loans | Accruing | Consumer | Construction and land development
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	1,501	1,573
Non-PCD Loans | Accruing | Consumer | Consumer auto
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	2,173	2,018
Non-PCD Loans | Accruing | Consumer | Mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	25,323	29,458
Non-PCD Loans | Accruing | Consumer | Revolving mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	18,729	20,124
Non-PCD Loans | Accruing | Consumer | Consumer and Other
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	910	955
Non-PCD Loans | Nonaccruing | Commercial | Construction and land development
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	41	54
Non-PCD Loans | Nonaccruing | Commercial | Owner occupied commercial mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	9,986	10,889
Non-PCD Loans | Nonaccruing | Commercial | Non-owner occupied commercial mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	1,335	1,649
Non-PCD Loans | Nonaccruing | Commercial | Commercial and industrial
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	6,551	3,528
Non-PCD Loans | Nonaccruing | Commercial | Total commercial loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	17,913	16,120
Non-PCD Loans | Nonaccruing | Consumer
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	28,973	27,350
Non-PCD Loans | Nonaccruing | Consumer | Construction and land development
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	9	9
Non-PCD Loans | Nonaccruing | Consumer | Consumer auto
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	668	696
Non-PCD Loans | Nonaccruing | Consumer | Mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	20,802	19,380
Non-PCD Loans | Nonaccruing | Consumer | Revolving mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	7,331	7,128
Non-PCD Loans | Nonaccruing | Consumer | Consumer and Other
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	163	137
PCD Loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	30,429	24,963
PCD Loans | Accruing
Financing Receivable, Troubled Debt Restructuring [Line Items]
Troubled debt restructuring	20,920	17,617
PCD Loans | Nonaccruing
Financing Receivable, Troubled Debt Restructuring [Line Items]
Nonaccruing	$ 9,509	$ 7,346

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Allowance for Credit Losses (Note Restructurings During Period) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021 USD ($) loans	Mar. 31, 2020 USD ($) loans
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Loans | loans	129	172
Recorded investment at period end | $	$ 23,032	$ 17,977
Number of Loans | loans	46	60
Recorded investment at period end | $	$ 5,584	$ 3,451
Interest only period provided
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Loans | loans	6	10
Recorded investment at period end | $	$ 6,947	$ 3,986
Number of Loans | loans	2	0
Recorded investment at period end | $	$ 42	$ 0
Loan term extension
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Loans | loans	25	6
Recorded investment at period end | $	$ 3,863	$ 794
Number of Loans | loans	12	3
Recorded investment at period end | $	$ 1,749	$ 263
Below market interest rate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Loans | loans	53	88
Recorded investment at period end | $	$ 8,122	$ 8,165
Number of Loans | loans	20	29
Recorded investment at period end | $	$ 1,428	$ 1,421
Discharged from bankruptcy
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Loans | loans	45	68
Recorded investment at period end | $	$ 4,100	$ 5,032
Number of Loans | loans	12	28
Recorded investment at period end | $	$ 2,365	$ 1,767

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Other Real Estate Owned (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Real Estate Properties [Line Items]
Mortgage Loans in Process of Foreclosure, Amount	$ 27,100		$ 29,400
Gains (losses) on sales of OREO	(1,800)	$ 100
Other Real Estate [Roll Forward]
Beginning balance	50,890	46,591
Additions	7,106	5,987
Sales	(8,102)	(5,321)
Write-downs/losses	(1,382)	(1,363)
Ending balance	48,512	55,707
Mortgage
Other Real Estate [Roll Forward]
Beginning balance	5,800
Ending balance	$ 6,500
2019 Acquisitions
Other Real Estate [Roll Forward]
Additions		$ 9,813

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Mortgage Servicing Rights (MSR Carrying Value) (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Beginning balance	$ 18,426,000	$ 22,963,000
Servicing rights originated	3,444,000	1,583,000
Amortization	(2,248,000)	(1,823,000)
Valuation allowance decrease (increase)	3,123,000	(2,967,000)
Ending balance	$ 22,745,000	$ 19,756,000

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Mortgage Servicing Rights (Valuation allowance) (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Valuation Allowance for Impairment of Recognized Servicing Assets [Roll Forward]
Beginning balance	$ 4,365,000	$ 222,000
Valuation allowance increase	(3,123,000)	2,967,000
Ending balance	$ 1,242,000	$ 3,189,000

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Mortgage Servicing Rights (Economic Assumptions) (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Servicing Asset Key Economic Assumptions [Line Items]
Weighted average constant prepayment rate	16.54%	20.62%
Weighted average cost to service a loan	$ 87.58	$ 87.58
Fixed Rate Residential Mortgage
Servicing Asset Key Economic Assumptions [Line Items]
Discount rate	8.74%	7.92%
Discount rate, basis spread on Treasury rate	700.00%
All Loans and Leases, Excluding Conventional Fixed Loans
Servicing Asset Key Economic Assumptions [Line Items]
Discount rate	9.74%	8.92%
Discount rate, basis spread on Treasury rate	800.00%

XML

Mortgage Servicing Rights (Narrative) (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Mortgage Servicing Rights [Abstract]
Residential Mortgage Loans Serviced	$ 3,300,000,000		$ 3,300,000,000
Contractually Specified Servicing Fee, Late Fee, and Ancillary Fee Earned in Exchange for Servicing Financial Asset	2,100,000	$ 2,100,000
Valuation allowance increase	$ (3,123,000)	$ 2,967,000

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Repurchase Agreements (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Assets Sold under Agreements to Repurchase [Line Items]
Securities Sold under Agreements to Repurchase, Fair Value of Collateral	$ 685,600
Securities sold under customer repurchase agreements	680,705	$ 641,487
Available-for-sale Securities
Assets Sold under Agreements to Repurchase [Line Items]
Securities Sold under Agreements to Repurchase, Fair Value of Collateral		689,300
Overnight and continuous
Assets Sold under Agreements to Repurchase [Line Items]
Securities sold under customer repurchase agreements	680,700	641,500
Overnight and continuous | US Government Agencies Debt Securities
Assets Sold under Agreements to Repurchase [Line Items]
Securities sold under customer repurchase agreements	485,800	432,800
Overnight and continuous | Commercial Mortgage Backed Securities
Assets Sold under Agreements to Repurchase [Line Items]
Securities sold under customer repurchase agreements	$ 194,900	$ 208,700

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FDIC Shared-Loss Payable (Narrative) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021 USD ($)
FDIC Shared-Loss Receivable [Abstract]
Payment made to the FDIC to settle shared-loss agreement	$ 16,103

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FDIC Shared-Loss Payable FDIC Shared-Loss Payable (Changes in Payable to FDIC) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2021 USD ($)
FDIC Shared-Payable [Abstract]
FDIC shared-loss payable	$ 15,601
Accretion	502
Payment made to the FDIC to settle shared-loss agreement	(16,103)
FDIC shared-loss payable	$ 0

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Accumulated Other Comprehensive Income (Loss) (Schedule Of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Accumulated Other Comprehensive Income (Loss), before Tax	$ (43,728)		$ 15,926
Deferred tax expense (benefit)	(10,057)		3,663
Accumulated other comprehensive income (loss), net of tax	(33,671)		12,263
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax	2,428	$ 10,419
Unrealized Losses on Investment Securities Available for Sale
Accumulated Other Comprehensive Income (Loss), before Tax	36,570		102,278
Deferred tax expense (benefit)	8,411		23,524
Accumulated other comprehensive income (loss), net of tax	28,159		78,754
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax	7,089	15,242
Unrealized Losses On Securities Available For Sale Transferred To Held To Maturity
Accumulated Other Comprehensive Income (Loss), before Tax	4,924		5,399
Deferred tax expense (benefit)	1,133		1,242
Accumulated other comprehensive income (loss), net of tax	3,791		4,157
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax	366	0
Funded Status of Defined Benefit Plan
Accumulated Other Comprehensive Income (Loss), before Tax	(85,222)		(91,751)
Deferred tax expense (benefit)	(19,601)		(21,103)
Accumulated other comprehensive income (loss), net of tax	(65,621)		$ (70,648)
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax	(5,027)	(4,823)
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, before Tax	$ 6,529	$ 6,264

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Accumulated Other Comprehensive Income (Loss) (Components of AOCI) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Accumulated Other Comprehensive Income (Loss) [Line Items]
Amounts reclassified from accumulated other comprehensive income	$ (2,428)	$ (10,419)
Net current period other comprehensive (loss) income	(45,934)	101,111
Unrealized Losses on Investment Securities Available for Sale
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	78,754
Net unrealized losses arising during period	(43,506)	111,530
Amounts reclassified from accumulated other comprehensive income	(7,089)	(15,242)
Net current period other comprehensive (loss) income	(50,595)	96,288
Ending balance	28,159	102,080
Unrealized Losses On Securities Available For Sale Transferred To Held To Maturity
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	4,157
Net unrealized losses arising during period	0	0
Amounts reclassified from accumulated other comprehensive income	(366)	0
Net current period other comprehensive (loss) income	(366)	0
Ending balance	3,791	0
Defined Benefit Pension Items
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	(70,648)
Net unrealized losses arising during period	0	0
Amounts reclassified from accumulated other comprehensive income	5,027	4,823
Net current period other comprehensive (loss) income	5,027	4,823
Ending balance	(65,621)	(127,692)
Accumulated Other Comprehensive (Loss) Income
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance	12,263
Net unrealized losses arising during period	(43,506)	111,530
Amounts reclassified from accumulated other comprehensive income	(2,428)	(10,419)
Net current period other comprehensive (loss) income	(45,934)	101,111
Ending balance	$ (33,671)	(25,612)
Previously Reported | Unrealized Losses on Investment Securities Available for Sale
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance		5,792
Previously Reported | Unrealized Losses On Securities Available For Sale Transferred To Held To Maturity
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance		0
Previously Reported | Defined Benefit Pension Items
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance		(132,515)
Previously Reported | Accumulated Other Comprehensive (Loss) Income
Accumulated Other Comprehensive Income (Loss) [Line Items]
Beginning balance		$ (126,723)

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Accumulated Other Comprehensive Income (Loss) (Reclassifications out of AOCI) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, before Tax	$ 9,207	$ 19,795
Amounts reclassified from accumulated other comprehensive income, net of tax	(2,428)	(10,419)
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, Tax	1,502	1,441
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, after Tax	(5,027)	(4,823)
Tax effect	2,118	4,553
Unrealized Losses on Investment Securities Available for Sale
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, before Tax	9,207	19,795
Amounts reclassified from accumulated other comprehensive income, net of tax	(7,089)	(15,242)
Tax effect	2,118	4,553
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Net of Tax	7,089	15,242
Defined Benefit Pension Items
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Total before taxes	(6,529)	(6,264)
Amounts reclassified from accumulated other comprehensive income, net of tax	5,027	4,823
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, Tax	1,502	1,441
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, after Tax	(5,027)	(4,823)
Unrealized Losses On Securities Available For Sale Transferred To Held To Maturity
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amounts reclassified from accumulated other comprehensive income, net of tax	(366)	$ 0
Other Comprehensive Income (Loss) Reclassification Adjustment Of Unrealized Losses From AOCI For Securities Available For Sale Transferred To Held To Maturity Before Tax	475
Other Comprehensive Income (Loss) Reclassification Adjustment Of Unrealized Losses From AOCI For Securities Available For Sale Transferred To Held To Maturity Tax	(109)
Other Comprehensive Income (Loss) Reclassification Adjustment Of Unrealized Losses From AOCI For Securities Available For Sale Transferred To Held To Maturity Net Of Tax	$ 366

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Estimated Fair Values (Estimated Fair Values For Certain Financial Assets And Financial Liabilities) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and due from banks	$ 410,495	$ 362,048
Overnight investments	7,588,757	4,347,336
Debt Securities, Available-for-sale	7,307,122	7,014,243
Investment securities held to maturity at cost	2,808,099	2,816,982
Investment in marketable equity securities	106,886	91,680
Loans held for sale	129,300	124,800
Loans and Leases Receivable, Net Amount	32,970,200	32,567,661
Income earned not collected	148,022	145,694
Stock issued by Federal Home Loan Bank	40,600	45,400
Deposits	47,330,997	43,431,609
Securities sold under customer repurchase agreements	680,705	641,487
FDIC shared-loss payable	0	15,601
Subordinated Debt	497,153	504,518
Other Borrowings	84,502	88,470
Carrying Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Federal Home Loan Bank Advances	648,671	655,175
Cash and due from banks	410,495	362,048
Overnight investments	7,588,757	4,347,336
Debt Securities, Available-for-sale	7,307,122	7,014,243
Investment securities held to maturity at cost	2,808,099	2,816,982
Investment in marketable equity securities	106,886	91,680
Loans held for sale	129,334	124,837
Loans and Leases Receivable, Net Amount	32,970,200	32,567,661
Income earned not collected	148,022	145,694
Stock issued by Federal Home Loan Bank	40,563	45,392
Mortgage servicing rights	23,728	19,628
Deposits	44,601,552	40,542,596
Time deposits	2,729,445	2,889,013
Securities sold under customer repurchase agreements	680,705	641,487
FDIC shared-loss payable	0	15,601
Accrued interest payable	5,149	9,414
Subordinated Debt	497,153	504,518
Other Borrowings	84,502	88,470
Fair Value
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Federal Home Loan Bank Advances	664,996	677,579
Cash and due from banks	410,495	362,048
Overnight investments	7,588,757	4,347,336
Debt Securities, Available-for-sale	7,307,122	7,014,243
Investment securities held to maturity at cost	2,774,982	2,838,499
Investment in marketable equity securities	106,886	91,680
Loans held for sale	129,334	124,837
Loans and Leases Receivable, Net Amount	33,202,437	33,298,166
Income earned not collected	148,022	145,694
Stock issued by Federal Home Loan Bank	40,563	45,392
Mortgage servicing rights	24,322	20,283
Deposits	44,601,552	40,542,596
Time deposits	2,738,244	2,905,577
Securities sold under customer repurchase agreements	680,705	641,487
FDIC shared-loss payable	0	15,843
Accrued interest payable	5,149	9,414
Subordinated Debt	517,091	525,610
Other Borrowings	$ 85,067	$ 89,263

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Estimated Fair Values (Assets And Liabilities Carried At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	$ 7,307,122	$ 7,014,243
Investment securities available for sale	7,307,122	7,014,243
Investment in marketable equity securities	106,886	91,680
Loans held for sale	129,334	124,837
Fair Value, Measurements, Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	7,307,122
Investment securities available for sale		7,014,243
Loans held for sale	129,334	124,837
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale	0	0
Loans held for sale	0	0
Fair Value, Measurements, Recurring | Quoted Prices for Similar Assets and Liabilities (Level 2 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	6,989,006
Investment securities available for sale		6,697,619
Loans held for sale	129,334	124,837
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale	318,116	316,624
Loans held for sale	0	0
Fair Value, Measurements, Recurring | U.S. Treasury
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale		499,933
Fair Value, Measurements, Recurring | U.S. Treasury | Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale		0
Fair Value, Measurements, Recurring | U.S. Treasury | Quoted Prices for Similar Assets and Liabilities (Level 2 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale		499,933
Fair Value, Measurements, Recurring | U.S. Treasury | Significant Unobservable Inputs (Level 3 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment securities available for sale		0
Fair Value, Measurements, Recurring | Agency Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	846,686
Investment securities available for sale		701,391
Fair Value, Measurements, Recurring | Agency Securities | Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	0
Investment securities available for sale		0
Fair Value, Measurements, Recurring | Agency Securities | Quoted Prices for Similar Assets and Liabilities (Level 2 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	846,686
Investment securities available for sale		701,391
Fair Value, Measurements, Recurring | Agency Securities | Significant Unobservable Inputs (Level 3 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	0
Investment securities available for sale		0
Fair Value, Measurements, Recurring | Commercial Mortgage Backed Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	1,098,987
Investment securities available for sale		771,537
Fair Value, Measurements, Recurring | Commercial Mortgage Backed Securities | Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	0
Investment securities available for sale		0
Fair Value, Measurements, Recurring | Commercial Mortgage Backed Securities | Quoted Prices for Similar Assets and Liabilities (Level 2 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	1,098,987
Investment securities available for sale		771,537
Fair Value, Measurements, Recurring | Commercial Mortgage Backed Securities | Significant Unobservable Inputs (Level 3 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	0
Investment securities available for sale		0
Fair Value, Measurements, Recurring | Residential Mortgage Backed Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	4,758,589
Investment securities available for sale		4,438,103
Fair Value, Measurements, Recurring | Residential Mortgage Backed Securities | Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	0
Investment securities available for sale		0
Fair Value, Measurements, Recurring | Residential Mortgage Backed Securities | Quoted Prices for Similar Assets and Liabilities (Level 2 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	4,758,589
Investment securities available for sale		4,438,103
Fair Value, Measurements, Recurring | Residential Mortgage Backed Securities | Significant Unobservable Inputs (Level 3 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	0
Investment securities available for sale		0
Fair Value, Measurements, Recurring | Equity Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment in marketable equity securities	106,886	91,680
Fair Value, Measurements, Recurring | Equity Securities | Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment in marketable equity securities	43,677	32,855
Fair Value, Measurements, Recurring | Equity Securities | Quoted Prices for Similar Assets and Liabilities (Level 2 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment in marketable equity securities	63,209	58,825
Fair Value, Measurements, Recurring | Equity Securities | Significant Unobservable Inputs (Level 3 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Investment in marketable equity securities	0	0
Fair Value, Measurements, Recurring | Corporate Bonds
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	602,860
Investment securities available for sale		603,279
Fair Value, Measurements, Recurring | Corporate Bonds | Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	0
Investment securities available for sale		0
Fair Value, Measurements, Recurring | Corporate Bonds | Quoted Prices for Similar Assets and Liabilities (Level 2 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	284,744
Investment securities available for sale		286,655
Fair Value, Measurements, Recurring | Corporate Bonds | Significant Unobservable Inputs (Level 3 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Debt Securities, Available-for-sale	$ 318,116
Investment securities available for sale		$ 316,624

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Estimated Fair Values (Assets and Liabilities Carried at Fair Value on a Recurring Basis Significant Unobservable Inputs) (Details) - USD ($)	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items]
Fair Value, Measurement with Unobservable Inputs Reconciliation, Liability, Transfers Into Level 3	$ 0	$ 1,800,000
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Investment securities available for sale	7,307,122,000		$ 7,014,243,000
Corporate Bonds
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	316,624,000	69,685,000
Amounts included in net income	2,333,000	(4,366,000)
Unrealized net (losses) gains included in other comprehensive income	(91,000)	(85,000)
Transfers in	0	1,782,000
Sales / Calls	750,000	0
Ending balance	318,116,000	$ 67,016,000
Fair Value, Measurements, Recurring
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Investment securities available for sale			7,014,243,000
Fair Value, Measurements, Recurring | Corporate Bonds
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Investment securities available for sale			603,279,000
Significant Unobservable Inputs (Level 3 Inputs) | Fair Value, Measurements, Recurring
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Investment securities available for sale	$ 318,116,000		316,624,000
Significant Unobservable Inputs (Level 3 Inputs) | Fair Value, Measurements, Recurring | Corporate Bonds
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Investment securities available for sale			$ 316,624,000

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Estimated Fair Values (Assets And Liabilities Carried At Fair Value On A Nonrecurring Basis) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020	Mar. 31, 2020	Dec. 31, 2019
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Other real estate remeasured during current year	$ 48,512	$ 50,890	$ 55,707	$ 46,591
Fair Value, Measurements, Nonrecurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans	10,247	11,779
Other real estate remeasured during current year	36,642	40,115
Mortgage servicing rights	20,409	16,966
Fair Value, Measurements, Nonrecurring | Quoted Prices in Active Markets for Identical Assets and Liabilities (Level 1 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans	0	0
Other real estate remeasured during current year	0	0
Mortgage servicing rights	0	0
Fair Value, Measurements, Nonrecurring | Quoted Prices for Similar Assets and Liabilities (Level 2 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans	0	0
Other real estate remeasured during current year	0	0
Mortgage servicing rights	0	0
Fair Value, Measurements, Nonrecurring | Significant Unobservable Inputs (Level 3 Inputs)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans	10,247	11,779
Other real estate remeasured during current year	36,642	40,115
Mortgage servicing rights	$ 20,409	$ 16,966

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Estimated Fair Values (Fair Value Option) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020	Dec. 31, 2020
Fair Value, Option, Quantitative Disclosures [Line Items]
Gains (Losses) from fair value changes on originated loans held for sale	$ (2,700)	$ 1,200
Loans Held For Sale
Fair Value, Option, Quantitative Disclosures [Line Items]
Fair value of originated loans held for sale	129,334		$ 124,837
Aggregate unpaid principle balance of originated loans held for sale	126,113		118,902
Difference between fair value and aggregate unpaid principle balance of originated loans held for sale	$ 3,221		$ 5,935

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Estimated Fair Values (Narrative) (Details)	3 Months Ended
	Mar. 31, 2021 USD ($)	Mar. 31, 2020 USD ($)	Dec. 31, 2020 USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Transfers from level 2 to level 3	$ 0	$ 1,800,000
Gains (Losses) from fair value changes on originated loans held for sale	(2,700,000)	$ 1,200,000
Originated loans held for sale, 90 days or more past due	0		$ 0
Fair Value, Measurements, Nonrecurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Liability measured at fair value on nonrecurring basis	$ 0		$ 0
Discount Rate | Minimum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held-for-sale, measurement input	0.06
OREO, measurement input	0.06
Discount Rate | Maximum
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held-for-sale, measurement input	0.10
OREO, measurement input	0.15
Discount Rate | Weighted Average
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Loans held-for-sale, measurement input	0.0681
OREO, measurement input	0.0876

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Employee Benefit Plans (Components Of Pension Expense) (Details) - BancShares Plan - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2021	Mar. 31, 2020
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Service cost	$ 3,653	$ 3,457
Interest cost	7,404	8,531
Expected return on assets	(19,595)	(16,409)
Amortization of net actuarial loss	6,529	6,264
Total pension expense	$ (2,009)	$ 1,843

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Employee Benefit Plans (Narrative) (Details) $ in Millions	3 Months Ended
	Mar. 31, 2021 USD ($)
BancShares Plan
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]
Defined Benefit Plan, Plan Assets, Contributions by Employer	$ 0.0

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Leases (Operating and Finance Lease Assets and Liabilities) (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Leases [Abstract]
Asset, operating	$ 65,330	$ 68,048
Asset, finance	5,936	6,478
Total leased assets	71,266	74,526
Present value of lease liabilities	65,841	68,343
Present value of lease liabilities	5,915	6,308
Total lease liabilities	$ 71,756	$ 74,651

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Commitments and Contingencies (Details) - USD ($) $ in Thousands	Mar. 31, 2021	Dec. 31, 2020
Standby Letters of Credit
Guarantor Obligations [Line Items]
Guarantor Obligations, Maximum Exposure, Undiscounted	$ 162,400	$ 163,900
Qualified Affordable Housing Project Investments, Commitment	139,572	129,819
Commitments to Extend Credit
Guarantor Obligations [Line Items]
Unused Commitments to Extend Credit	12,126,186	12,098,417
Qualified Affordable Housing Project Investments	$ 49,700	$ 53,700