Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Components of Income Tax Expense (Benefit)

Income tax expense reflects the following expense (benefit) components:



	Years ended December 31,
(In thousands)	2016		2015			2014
Current:
Federal	$	73,194	$	97,575		$	90,542
State and local	5,429		10,970			6,585
Total current	78,623		108,545			97,127
Deferred:
Federal	12,542		(7,279		)	(3,784		)
State and local	5,158		(8,234		)	(1,370		)
Total deferred	17,700		(15,513		)	(5,154		)

Total federal	85,736		90,296			86,758
Total state and local	10,587		2,736			5,215
Income tax expense	$	96,323	$	93,032		$	91,973

Schedule of Effective Income Tax Rate Reconciliation

The following table reflects a reconciliation of reported income tax expense to the amount that would result from applying the federal statutory rate of 35.0%:



	Years ended December 31,
	2016					2015					2014
(Dollars in thousands)	Amount			Percent		Amount			Percent		Amount			Percent
Income tax expense at federal statutory rate	$	106,208		35.0	%	$	104,217		35.0	%	$	102,095		35.0	%
Reconciliation to reported income tax expense:
State and local income taxes, net of federal benefit	6,882			2.3		7,563			2.5		3,390			1.2
Tax-exempt interest income, net	(8,917		)	(2.9	)	(7,117		)	(2.4	)	(7,335		)	(2.5	)
Decrease in valuation allowance applicable to net state deferred tax assets, net of federal effects	—			—		(5,785		)	(1.9	)	—			—
Increase in cash surrender value of life insurance	(5,166		)	(1.7	)	(4,557		)	(1.5	)	(4,612		)	(1.6	)
Other, net	(2,684		)	(1.0	)	(1,289		)	(0.5	)	(1,565		)	(0.6	)
Income tax expense and effective tax rate	$	96,323		31.7	%	$	93,032		31.2	%	$	91,973		31.5	%

Schedule of Deferred Tax Assets and Liabilities

The following table reflects the significant components of the deferred tax assets, net:



	At December 31,
(In thousands)	2016			2015
Deferred tax assets:
Allowance for loan and lease losses	$	77,908		$	70,937
Net operating loss and credit carry forwards	64,644			68,735
Compensation and employee benefit plans	46,433			52,422
Net losses on derivative instruments	8,624			11,734
Net unrealized loss on securities available for sale	9,898			4,138
Other	17,682			21,663
Gross deferred tax assets	225,189			229,629
Valuation allowance	(71,474		)	(74,918		)
Total deferred tax assets, net of valuation allowance	$	153,715		$	154,711
Deferred tax liabilities:
Equipment-financing leases	$	41,910		$	23,934
Deferred income on repurchase of debt	4,251			6,376
Intangible assets	9,952			9,298
Mortgage servicing assets	7,313			7,127
Other	5,898			6,398
Gross deferred tax liabilities	69,324			53,133
Deferred tax assets, net	$	84,391		$	101,578

Summary of Positions for which Significant Change in Unrecognized Tax Benefits is Reasonably Possible

The following table reflects a reconciliation of the beginning and ending balances for UTBs:



	Years ended December 31,
(In thousands)	2016			2015			2014
Beginning balance	$	5,094		$	4,593		$	3,109
Additions as a result of tax positions taken during the current year	613			865			956
Additions as a result of tax positions taken during prior years	—			1,254			1,031
Reductions as a result of tax positions taken during prior years	(625		)	(247		)	—
Reductions relating to settlements with taxing authorities	(693		)	(992		)	—
Reductions as a result of lapse of statute of limitations	(542		)	(379		)	(503		)
Ending balance	$	3,847		$	5,094		$	4,593