Derivative Financial Instruments (Tables)

9 Months Ended

Sep. 30, 2017

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Fair Value Of Derivative Financial Instruments Designated As Cash Flow Hedges

The following table presents the notional amounts and fair values of derivative positions:



	At September 30, 2017								At December 31, 2016
	Asset Derivatives				Liability Derivatives				Asset Derivatives				Liability Derivatives
(In thousands)	Notional Amounts		Fair Value		Notional Amounts		Fair Value		Notional Amounts		Fair Value		Notional Amounts		Fair Value
Designated as hedging instruments:
Positions subject to a master netting agreement ⁽¹⁾
Interest rate derivatives	$	225,000	$	1,972	$	100,000	$	195	$	225,000	$	3,270	$	100,000	$	792
Not designated as hedging instruments:
Positions subject to a master netting agreement ⁽¹⁾
Interest rate derivatives	2,270,444		4,225		1,125,953		3,224		1,943,485		32,226		1,242,937		24,388
Other	8,595		260		22,161		419		10,634		231		14,265		120
Positions not subject to a master netting agreement
Interest rate derivatives	1,738,527		35,065		1,652,004		15,764		1,734,679		38,668		1,451,762		19,001
RPAs	94,103		112		99,538		136		86,037		139		87,273		166
Mortgage banking derivatives ⁽²⁾	42,290		614		60,698		128		103,440		3,084		59,895		711
Other	262		2		1,777		157		1,438		19		181		11
Total not designated as hedging instruments	4,154,221		40,278		2,962,131		19,828		3,879,713		74,367		2,856,313		44,397
Gross derivative instruments, before netting	$	4,379,221	42,250		$	3,062,131	20,023		$	4,104,713	77,637		$	2,956,313	45,189
Less: Legally enforceable master netting agreements			2,915				2,916				24,252				24,254
Less: Cash collateral posted			2,540				766				11,475				600
Total derivative instruments, after netting			$	36,795			$	16,341			$	41,910			$	20,335


(1)	One of Webster's counterparty relationships was impacted by a Chicago Mercantile Exchange rulebook amendment, resulting in the presentation of that relationship on a settlement basis, as a single unit of account at September 30, 2017, versus a netting basis at December 31, 2016.

(2)

Notional amounts include mandatory forward commitments of $60.5 million, while notional amounts do not include approved floating rate commitments of $21.9 million, at September 30, 2017.

Other Derivatives Not Designated For Hedge Accounting

Changes in the fair value of derivatives not qualifying for hedge accounting treatment were recognized as follows:



	Three months ended September 30,						Nine months ended September 30,
(In thousands)	2017			2016			2017			2016
Interest rate derivatives	$	1,501		$	608		$	1,780		$	6,515
RPAs	51			110			157			(143		)
Mortgage banking derivatives	(219		)	720			(1,886		)	357
Other	(7		)	(285		)	(634		)	(582		)
Total impact on other non-interest income	$	1,326		$	1,153		$	(583	)	$	6,147

Offsetting Liabilities

The following table is presented on a gross basis, prior to the application of counterparty netting agreements:



	At September 30, 2017								At December 31, 2016
(In thousands)	Gross Amount		Relationship Offset		Cash Collateral Offset		Net Amount		Gross Amount		Relationship Offset		Cash Collateral Offset		Net Amount
Derivative instrument gains:
Hedge accounting	$	1,972	$	292	$	1,051	$	629	$	3,270	$	2,335	$	935	$	—
Non-hedge accounting	4,452		2,623		1,489		340		32,457		21,917		10,540		—
Total assets	$	6,424	$	2,915	$	2,540	$	969	$	35,727	$	24,252	$	11,475	$	—

Derivative instrument losses:
Hedge accounting	$	195	$	195	$	—	$	—	$	792	$	792	$	—	$	—
Non-hedge accounting	3,643		2,721		766		156		24,508		23,462		600		446
Total liabilities	$	3,838	$	2,916	$	766	$	156	$	25,300	$	24,254	$	600	$	446