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, 2023

or

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

For the transition period from ____ to ____

Commission File Number: 001-31486

_______________________________________________________________________________________

WEBSTER FINANCIAL CORPORATION

(Exact name of registrant as specified in its charter)

 ______________________________________________________________________________________

Delaware	06-1187536
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

200 Elm Street, Stamford, Connecticut 06902

(Address and zip code of principal executive offices)

(203) 578-2202

(Registrant's telephone number, including area code)

______________________________________________________________________________

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbols	Name of each exchange on which registered
Common Stock, par value $0.01 per share	WBS	New York Stock Exchange
Depositary Shares, each representing 1/1000th interest in a share	WBS-PrF	New York Stock Exchange
of 5.25% Series F Non-Cumulative Perpetual Preferred Stock
Depositary Shares, each representing 1/40th interest in a share	WBS-PrG	New York Stock Exchange
of 6.50% Series G Non-Cumulative Perpetual Preferred Stock

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 12 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 90 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 for such shorter period that the registrant was required to submit such files). ☒  Yes    ☐  No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large 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

The number of shares of common stock, par value $.01 per share, outstanding as of April 28, 2023 was 174,744,977.

INDEX

		Page No.
Key to Acronyms and Terms		ii
Forward-Looking Statements		iii
PART I – FINANCIAL INFORMATION
Item 1.	Financial Statements	30
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	1
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	73
Item 4.	Controls and Procedures	73
PART II – OTHER INFORMATION
Item 1.	Legal Proceedings	75
Item 1A.	Risk Factors	75
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	75
Item 3.	Defaults Upon Senior Securities	76
Item 4.	Mine Safety Disclosures	76
Item 5.	Other Information	76
Item 6.	Exhibits	77
EXHIBIT INDEX		77
SIGNATURES		78

i

WEBSTER FINANCIAL CORPORATION AND SUBSIDIARIES

KEY TO ACRONYMS AND TERMS

ACL	Allowance for credit losses
Agency CMBS	Agency commercial mortgage-backed securities
Agency CMO	Agency collateralized mortgage obligations
Agency MBS	Agency mortgage-backed securities
ALCO	Asset/Liability Committee
AOCI	Accumulated other comprehensive income
ASC	Accounting Standards Codification
ASU or the Update	Accounting Standards Update
Basel III	Capital rules under a global regulatory framework developed by the Basel Committee on Banking Supervision
Bend	Bend Financial, Inc.
BHC Act	Bank Holding Company Act of 1956, as amended
CECL	Current expected credit losses
CET1 capital	Common Equity Tier 1 Capital, defined by Basel III capital rules
CFPB	Consumer Financial Protection Bureau
CLO	Collateralized loan obligations
CMBS	Non-agency commercial mortgage-backed securities
COVID-19	Coronavirus
CRA	Community Reinvestment Act of 1977
DTA	Deferred tax asset
EAD	Exposure at default
FASB	Financial Accounting Standards Board
FDIC	Federal Deposit Insurance Corporation
FHLB	Federal Home Loan Bank
FICO	Fair Isaac Corporation
FRB	Federal Reserve Bank
FTE	Fully tax-equivalent
FTP	Funds Transfer Pricing, a matched maturity funding concept
GAAP	U.S. Generally Accepted Accounting Principles
Holding Company	Webster Financial Corporation
HSA	Health savings account
HSA Bank	HSA Bank, a division of Webster Bank, National Association
interLINK	Interlink Insured Sweep LLC
IRA	Inflation Reduction Act
ITGC	Information technology general controls
LGD	Loss given default
LIBOR	London Interbank Offered Rate
LIHTC	Low-income housing tax credit
MBS	Non-agency mortgage-backed securities
NAV	Net asset value
OCC	Office of the Comptroller of the Currency
OPEB	Other post-employment medical and life insurance benefits
OREO	Other real estate owned
PCD	Purchased credit-deteriorated
PD	Probability of default
PPNR	Pre-tax, pre-provision net revenue
PPP	Small Business Administration Paycheck Protection Program
SALT	State and local tax
SEC	United States Securities and Exchange Commission
SERP	Supplemental executive defined benefit retirement plan
SOFR	Secured overnight financing rate
Sterling	Sterling Bancorp, collectively with its consolidated subsidiaries
TDR	Troubled debt restructuring, defined in ASC 310-40 "Receivables - Troubled Debt Restructurings by Creditors"
Webster Bank or the Bank	Webster Bank, National Association, a wholly-owned subsidiary of Webster Financial Corporation
Webster or the Company	Webster Financial Corporation, collectively with its consolidated subsidiaries

ii

WEBSTER FINANCIAL CORPORATION AND SUBSIDIARIES

FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q contains “forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “believes,” “anticipates,” “expects,” “intends,” “targeted,” “continue,” “remain,” “will,” “should,” “may,” “plans,” “estimates,” and similar references to future periods. However, these words are not the exclusive means of identifying such statements.

Examples of forward-looking statements include, but are not limited to:

▪projections of revenues, expenses, income or loss, earnings or loss per share, and other financial items;

▪statements of plans, objectives, and expectations of the Company or its management or Board of Directors;

▪statements of future economic performance; and

▪statements of assumptions underlying such statements.

Forward-looking statements are based on the Company’s current expectations and assumptions regarding its business, the economy, and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict. The Company’s actual results may differ materially from those contemplated by the forward-looking statements, which are neither statements of historical fact nor guarantees or assurances of future performance. Factors that could cause our actual results to differ from those discussed in any forward-looking statements include, but are not limited to:

▪our ability to successfully integrate the operations of Webster and Sterling and realize the anticipated benefits of the merger, including our ability to successfully complete our core conversion in the anticipated timeframe;

▪our ability to successfully execute our business plan and strategic initiatives, and manage any risks or uncertainties;

▪volatility in our stock price due to investor sentiment, including following bank failures during the first fiscal quarter of 2023, and the acquisition of such failed banks (or their assets), by stronger banks within the U.S. banking system;

▪local, regional, national, and international economic conditions, and the impact they may have on us or our customers;

▪volatility and disruption in national and international financial markets, including as a result of geopolitical conflict, such as the war between Russia and Ukraine;

▪the continued effects from the COVID-19 pandemic, or the potential adverse effects from future pandemics, and any governmental or societal responses thereto;

▪unforeseen events, such as natural disasters;

▪changes in laws and regulations, or existing laws and regulations that we become subject to, including those concerning banking, taxes, dividends, securities, insurance, and healthcare, with which we and our subsidiaries must comply;

▪adverse conditions in the securities markets that could lead to impairment in the value of our securities portfolio;

▪inflation, monetary fluctuations, the possibility of a recession, and changes in interest rates, including the impact of such changes on economic conditions, customer behavior, funding costs, and our loans and leases and securities portfolios;

▪the replacement of, and transition from, LIBOR to SOFR as the primary interest rate benchmark;

▪the timely development and acceptance of new products and services, and the perceived value of those products and services by customers;

▪changes in deposit flows, consumer spending, borrowings, and savings habits;

▪our ability to implement new technologies and maintain secure and reliable technology systems;

▪the effects of any cyber threats, attacks or events, or fraudulent activity, including those that involve our third-party vendors and service providers;

▪performance by our counterparties and third-party vendors;

▪our ability to increase market share and control expenses;

▪changes in the competitive environment among banks, financial holding companies, and other traditional and non-traditional financial service providers;

▪our ability to maintain adequate sources of funding and liquidity;

▪changes in the level of non-performing assets and charge-offs;

▪changes in estimates of future reserve requirements based upon periodic review under relevant regulatory and accounting requirements;

▪the effect of changes in accounting policies and practices applicable to us, including impacts of recently adopted accounting guidance;

▪our inability to remediate the material weaknesses in our internal control related to ineffective ITGCs;

▪legal and regulatory developments, including the resolution of legal proceedings or regulatory or other governmental inquiries, and the results of regulatory examinations or reviews; and

▪our ability to appropriately address any environmental, social, governmental, and sustainability concerns that may arise from our business activities.

Any forward-looking statement in this Quarterly Report on Form 10-Q speaks only as of the date on which it is made. Factors or events that could cause the Company's actual results to differ may emerge from time to time, and it is not possible for the Company to predict all of them. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments, or otherwise, except as may be required by law.

iii

PART I – FINANCIAL INFORMATION

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following discussion and analysis provides information that management believes is necessary to understand the Company's financial condition, results of operations, and cash flows for the three months ended March 31, 2023, as compared to 2022. This information should be read in conjunction with the Condensed Consolidated Financial Statements, and accompanying Notes thereto, contained in Part I - Item 1. Financial Statements of this report, and the Consolidated Financial Statements, and accompanying Notes thereto, contained in Part II - Item 8. Financial Statements and Supplementary Data of the Company's Annual Report on Form 10-K for the year ended December 31, 2022, which was filed with the SEC on March 10, 2023. The Company's financial condition, results of operations, and cash flows for the three months ended March 31, 2023, are not necessarily indicative of future results that may be attained for the entire year or other interim periods.

Executive Overview

Nature of Operations

Webster Financial Corporation is a bank holding company and financial holding company under the BHC Act, incorporated under the laws of Delaware in 1986, and headquartered in Stamford, Connecticut. Webster Bank, along with its HSA Bank division, is a leading commercial bank in the Northeast that delivers a wide range of digital and traditional financial solutions to businesses, individuals, families, and partners across its three differentiated lines of business: Commercial Banking, HSA Bank, and Consumer Banking. While its core footprint spans from New York to Rhode Island and Massachusetts, certain businesses operate in extended geographies. HSA Bank is one of the largest providers of employee benefit solutions in the United States.

Recent Industry Developments

During the first quarter and into the second quarter of 2023, the banking industry experienced significant volatility with multiple high-profile bank failures and industry-wide concerns related to liquidity, deposit outflows, unrealized losses on securities, and eroding consumer confidence in the banking system. Despite these negative industry developments, the Company's total deposits at March 31, 2023, were $55.3 billion, representing a net $1.2 billion increase compared to its total deposits at December 31, 2022. Additionally, the Holding Company's and the Bank's regulatory capital ratios at
March 31, 2023, remained in excess of the "well-capitalized" minimum. Additional information regarding regulatory capital ratios can be found within Note 10: Regulatory Capital and Restrictions in the Notes to Condensed Consolidated Financial Statements contained in Part I - Item 1. Financial Statements.

interLINK Acquisition

On January 11, 2023, Webster acquired interLINK, a technology-enabled deposit management platform that administers over $9 billion of deposits from FDIC-insured cash sweep programs between banks and broker/dealers and clearing firms. The acquisition expanded the Company's core deposit funding sources and scalable liquidity and added another technology-enabled channel to its already differentiated, omnichannel deposit gathering capabilities. At March 31, 2023, interLINK provided the Company with an additional $2.9 billion of money market deposits. Additional information regarding the acquisition of interLINK can be found within Note 2: Mergers and Acquisitions in the Notes to Condensed Consolidated Financial Statements contained in Part I - Item 1. Financial Statements.

Sterling Integration Update

On January 31, 2022, Webster completed its merger with Sterling. Significant progress on integration and conversion efforts were made throughout the year ended December 31, 2022, and the Company remains on track with key project milestones as of the first quarter of 2023, with a continued focus on business-as-usual operations. The significant accomplishments achieved as of the end of the first quarter of 2023 included: (i) additional systems integrations and data validation exercises; (ii) the completion of user acceptance testing; (iii) the finalization of financial center staffing and training plans; and (iv) the consolidation of bank routing numbers. The Company is prepared to complete several mock conversions in the second quarter of 2023 as it progresses towards core conversion targeted for mid-2023.

LIBOR Transition Update

The Company has a LIBOR transition plan in place that is commensurate with identified LIBOR transition risks and exposures, and is aligned with regulatory guidance and ARRC best practices. Management continued to execute according to its LIBOR transition plan during the first quarter of 2023, addressing emerging issues and risks as they arise, while closely monitoring legislative and regulatory guidance associated with the LIBOR transition.

As of the date of this Quarterly Report on Form 10-Q, the Company's main focus continues to be on the remediation of legacy LIBOR contracts, the integration of legacy Webster and legacy Sterling systems and processes, monitoring and responding to market developments, and addressing regulatory and accounting requirements. The Company will execute its actual transition of remaining LIBOR contracts to SOFR at the first rate reset date after June 30, 2023.

1

Results of Operations

The following table summarizes selected financial highlights and key performance indicators:

	At or for the three months ended March 31,
(In thousands, except per share and ratio data)	2023			2022
Income and performance ratios:
Net income (loss)	$	221,004		$	(16,747)
Net income (loss) available to common stockholders	216,841			(20,178)
Earnings (loss) per diluted common share	1.24			(0.14)
Return on average assets (annualized)	1.22		%	(0.12)		%
Return on average tangible common stockholders' equity (annualized) (non-GAAP)	17.66			(1.36)
Return on average common stockholders' equity (annualized)	10.94			(1.25)
Non-interest income as a percentage of total revenue	10.62			20.88
Asset quality:
ACL on loans and leases	$	613,914		$	569,371
Non-performing assets (1)	186,551			251,206
ACL on loans and leases / total loans and leases	1.21		%	1.31		%
Net charge-offs / average loans and leases (annualized)	0.20			0.10
Non-performing loans and leases / total loans and leases (1)	0.36			0.57
Non-performing assets / total loans and leases plus OREO (1)	0.37			0.58
ACL on loans and leases / non-performing loans and leases (1)	331.81			229.48
Other ratios:
Tangible common equity (non-GAAP)	7.15		%	8.26		%
Tier 1 risk-based capital	10.93			12.05
Total risk-based capital	12.99			14.41
CET1 risk-based capital	10.42			11.46
Stockholders' equity / total assets	11.08			12.55
Net interest margin	3.66			3.21
Efficiency ratio (non-GAAP)	41.64			48.73
Equity and share related:
Common equity	$	8,010,315		$	7,893,156
Book value per common share	45.85			44.32
Tangible book value per common share (non-GAAP)	29.47			28.94
Common stock closing price	39.42			56.12
Dividends and equivalents declared per common share	0.40			0.40
Common shares issued and outstanding	174,712			178,102
Weighted-average common shares outstanding - basic	172,766			147,394
Weighted-average common shares outstanding - diluted	172,883			147,394

(1)Non-performing assets and the related asset quality ratios exclude the impact of net unamortized (discounts)/premiums and net unamortized deferred (fees)/costs on loans and leases.

Non-GAAP Financial Measures

The non-GAAP financial measures identified in the preceding table provide both management and investors with information useful in understanding the Company's financial position, results of operations, the strength of its capital position, and overall business performance. These measures are used by management for internal planning and forecasting purposes, as well as by securities analysts, investors, and other interested parties to assess peer company operating performance. Management believes that this presentation, together with the accompanying reconciliations, provides investors with a more complete understanding of the factors and trends affecting the Company's business and allows investors to view its performance in a similar manner.

Tangible book value per common share represents stockholders’ equity less preferred stock and goodwill and other intangible assets (tangible common equity) divided by common shares outstanding at the end of the reporting period. The tangible common equity ratio represents tangible common equity divided by total assets less goodwill and other intangible assets (tangible assets). Both of these measures are used by management to evaluate the Company's capital position. The annualized return on average tangible common stockholders' equity is calculated using net income available to common stockholders, adjusted for the annualized tax-effected amortization of intangible assets, as a percentage of average tangible common equity. This measure is used by management to assess the Company's performance against its peer financial institutions. The efficiency ratio, which represents the costs expended to generate a dollar of revenue, is calculated excluding certain non-operational items in order to measure how well the Company is managing its recurring operating expenses.

2

These non-GAAP financial measures should not be considered a substitute for GAAP basis financial measures. Because
non-GAAP financial measures are not standardized, it may not be possible to compare these with other companies that present financial measures having the same or similar names.

The following tables reconcile non-GAAP financial measures to the most comparable financial measures defined by GAAP:

	At March 31,
(Dollars and shares in thousands, except per share data)	2023			2022
Tangible book value per common share:
Stockholders' equity	$	8,294,294		$	8,177,135
Less: Preferred stock	283,979			283,979
Common stockholders' equity	$	8,010,315		$	7,893,156
Less: Goodwill and other intangible assets	2,861,310			2,738,353
Tangible common stockholders' equity	$	5,149,005		$	5,154,803
Common shares outstanding	174,712			178,102
Tangible book value per common share	$	29.47		$	28.94
Book value per common share (GAAP)	$	45.85		$	44.32
Tangible common equity ratio:
Tangible common stockholders' equity	$	5,149,005		$	5,154,803
Total assets	$	74,844,395		$	65,131,484
Less: Goodwill and other intangible assets	2,861,310			2,738,353
Tangible assets	$	71,983,085		$	62,393,131
Tangible common equity ratio	7.15		%	8.26		%
Total common stockholders' equity to total assets (GAAP)	10.70		%	12.12		%

	Three months ended March 31,
(Dollars in thousands)	2023			2022
Return on average tangible common stockholders' equity:
Net income	$	221,004		$	(16,747)
Less: Preferred stock dividends	4,163			3,431
Add: Intangible assets amortization, tax-effected	7,503			5,046
Income (loss) adjusted for preferred stock dividends and intangible assets amortization	$	224,344		$	(15,132)
Income (loss) adjusted for preferred stock dividends and intangible assets amortization (annualized)	$	897,376		$	(60,528)
Average stockholders' equity	$	8,215,676		$	6,691,490
Less: Average preferred stock	283,979			236,121
Average goodwill and other intangible assets	2,849,673			2,007,266
Average tangible common stockholders' equity	$	5,082,024		$	4,448,103
Return on average tangible common stockholders' equity	17.66		%	(1.36)		%
Return on average common stockholders' equity (annualized) (GAAP)	10.94		%	(1.25)		%
Efficiency ratio:
Non-interest expense	$	332,467		$	359,785
Less: Foreclosed property activities	(262)			(75)
Intangible assets amortization	9,497			6,387
Operating lease depreciation	1,884			1,632
Merger-related expenses	29,373			108,495
Strategic initiatives charges	—			(4,140)
Non-interest expense	$	291,975		$	247,486
Net interest income	$	595,283		$	394,248
Add: FTE adjustment	15,911			8,158
Non-interest income	70,766			104,035
Other income (1)	4,311			3,082
Less: Operating lease depreciation	1,884			1,632
(Loss) on sale of investment securities	(16,747)			—
Income	$	701,134		$	507,891
Efficiency ratio	41.64		%	48.73		%
Non-interest expense as a percentage of total revenue (GAAP)	49.92		%	72.20		%

(1)Other income (non-GAAP) includes the taxable equivalent of net income generated from LIHTC investments.

3

Net Interest Income

Net interest income is the Company's primary source of revenue, representing 89.4% and 79.1% of total revenues for the three months ended March 31, 2023, and 2022, respectively. Net interest income is the difference between interest income on interest-earning assets (i.e., loans and leases and investment securities) and interest expense on interest-bearing liabilities
(i.e., deposits and borrowings), which are used to fund interest-earning assets and other activities. Net interest margin is calculated as the ratio of FTE net interest income to average interest-earning assets.

Net interest income, net interest margin, yields, and ratios on a FTE basis are considered non-GAAP financial measures, and are used by management to evaluate the comparability of the Company's revenue arising from both taxable and non-taxable sources. FTE adjustments are determined assuming a statutory federal income tax rate of 21%.

Net interest income and net interest margin are influenced by the volume and mix of interest-earning assets and interest-bearing liabilities, changes in interest rate levels, re-pricing frequencies, contractual maturities, prepayment behavior, and the use of interest rate derivative financial instruments. These factors are affected by changes in economic conditions, which impacts monetary policies, competition for loans and deposits, as well as the extent of interest lost on non-performing assets.

Net interest income increased $201.1 million, or 51.0%, from $394.2 million for the three months ended March 31, 2022, to $595.3 million for the three months ended March 31, 2023. On a FTE basis, net interest income increased $208.8 million. Net interest margin increased 45 basis points from 3.21% for the three months ended March 31, 2022, to 3.66% for the three months ended March 31, 2023. These increases are both primarily driven by the full quarter impact of the Sterling merger on
balances in 2023 as compared to the two-thirds impact for the quarter in 2022, and the higher interest rate environment.

Average total interest-earning assets increased $15.8 billion, or 31.3%, from $50.3 billion for the three months ended March 31, 2022, to $66.1 billion for the three months ended March 31, 2023, primarily due to increases of $14.2 billion, $1.2 billion, $0.3 billion, and $0.1 billion, in average loans and leases, average investment securities, average FHLB and FRB stock, and average interest-bearing deposits held at the FRB, respectively. The average yield on interest-earning assets increased 175 basis points from 3.33% for the three months ended March 31, 2022, to 5.08% for the three months ended March 31, 2023, primarily due to the higher interest rate environment, partially offset by a decrease in purchase accounting accretion on interest-earning assets that were acquired from Sterling.

Average loans and leases increased $14.2 billion, or 39.5%, from $35.9 billion for the three months ended March 31, 2022, to $50.1 billion for the three months ended March 31, 2023, primarily due to the full quarter impact of the Sterling merger on balances in 2023 as compared to the two-thirds impact for the quarter in 2022, and organic loan growth. At March 31, 2023, and 2022, average loans and leases comprised 75.8% and 71.4% of average total interest-earning assets, respectively. The average yield on loans and leases increased 190 basis points from 3.90% for the three months ended March 31, 2022, to 5.80% for the three months ended March 31, 2023, primarily due to the higher interest rate environment, partially offset by a decrease in purchase accounting accretion on loans and leases that were acquired from Sterling.

Average total investment securities increased $1.2 billion, or 9.0%, from $13.4 billion for the three months ended March 31, 2022, to $14.6 billion for the three months ended March 31, 2023, primarily due to the full quarter impact of the Sterling merger on balances in 2023 as compared to the two-thirds impact for the quarter in 2022. At March 31, 2023, and 2022, the average total investment securities portfolio comprised 22.1% and 26.7% of average total interest-earning assets, respectively. The average yield on total investment securities increased 77 basis points from 2.02% for the three months ended March 31, 2022, to 2.79% for the three months ended March 31, 2023, primarily due to the reinvestment of securities that had matured or were sold in the current period at higher yields.

Average FHLB and FRB stock increased $0.3 billion, or 176.1%, from $0.2 billion for the three months ended March 31, 2022, to $0.5 billion for the three months ended March 31, 2023, primarily due to the additional FHLB stock investment required as a result of the increase in FHLB advances. At March 31, 2023, and 2022, average FHLB and FRB stock comprised 0.7% and 0.3% of total average interest-earning assets, respectively. The average yield on average FHLB and FRB stock increased 234 basis points from 2.00% for the three months ended March 31, 2022, to 4.34% for the three months ended March 31, 2023, primarily due to the higher interest rate environment.

Average interest-bearing deposits held at the FRB increased $0.1 billion, or 12.5%, from $0.8 billion for three months ended March 31, 2022, to $0.9 billion for the three months ended March 31, 2023, primarily due to the strategic decision to maintain additional liquidity. At March 31, 2023, and 2022, average interest-bearing deposits held at the FRB comprised 1.4% and 1.6% of total average interest-earning assets, respectively. The average yield on interest-bearing deposits held at the FRB increased 440 basis points from 0.23% for the three months ended March 31, 2022, to 4.63% for the three months ended March 31, 2023, primarily due to the higher interest rate environment.

4

Average total interest-bearing liabilities increased $15.1 billion, or 31.9%, from $47.4 billion for the three months ended March 31, 2022, to $62.5 billion for the three months ended March 31, 2023, primarily due to increases of $8.9 billion, $5.7 billion, $0.7 billion, and $0.2 billion in average total deposits, average FHLB advances, average federal funds purchased, and average long-term debt, partially offset by a $0.4 billion decrease in average securities sold under agreements to repurchase. The average rate on interest-bearing liabilities increased 139 basis points from 0.13% for the three months ended March 31, 2022, to 1.52% for the three months ended March 31, 2023, primarily due to the higher interest rate environment.

Average total deposits increased $8.9 billion, or 19.4%, from $45.9 billion for the three months ended March 31, 2022, to $54.8 billion for the three months ended March 31, 2023, reflecting increases of $1.4 billion and $7.5 billion in
non-interest-bearing deposits and interest-bearing deposits, respectively. The overall increase in deposits was primarily due to the full quarter impact of the Sterling merger on balances in 2023 as compared to the two-thirds impact for the quarter in 2022, and the acquisition of interLINK, partially offset by the effect of customers rebalancing their deposit concentrations due to the current banking environment. At March 31, 2023, and 2022, average total deposits comprised 87.7% and 96.9% of total average interest-bearing liabilities, respectively. The average rate on deposits increased 104 basis points from 0.07% for the three months ended March 31, 2022, to 1.11% for the three months ended March 31, 2023, primarily due to the higher interest rate environment and growth in higher costing deposit products. Higher cost time deposits as a percentage of average total
interest-bearing deposits increased from 7.3% for the three months ended March 31, 2022, to 9.5% for the three months ended March 31, 2023, primarily due to a shift in customer preferences from lower rate checking and savings products into higher rate certificates of deposit products.

Average FHLB advances increased $5.7 billion, from $10.9 million for the three months ended March 31, 2022, to $5.7 billion for the three months ended March 31, 2023, primarily due to short-term funding needs and the strategic decision to maintain additional liquidity. At March 31, 2023, and 2022, average FHLB advances comprised 9.1% and less than one percent of average total interest-bearing liabilities, respectively. The average rate on FHLB advances to repurchase increased 277 basis points from 2.03% for the three months ended March 31, 2022, to 4.80% for the three months ended March 31, 2023, primarily due to the higher interest rate environment.

Average federal funds purchased were $0.7 billion for the three months ended March 31, 2023, and had an average rate of 4.62%. There were no average federal funds purchased for the three months ended March 31, 2022. At March 31, 2023, average federal funds purchased comprised 1.1% of average total interest-bearing liabilities.

Average long-term debt increased $0.2 billion, or 19.6%, from $0.9 billion for the three months ended March 31, 2022, to $1.1 billion for the three months ended March 31, 2023, primarily due to the full quarter impact of the Sterling merger on balances in 2023 as compared to the two-thirds impact for the quarter in 2022. At March 31, 2023, and 2022, average long-term debt comprised 1.7% and 1.9% of average total interest-bearing liabilities, respectively. The average rate on long-term debt increased 31 basis points from 3.34% for the three months ended March 31, 2022, to 3.65% for the three months ended March 31, 2023, primarily due to the full quarter rate impact in 2023 of the subordinated debt assumed from Sterling as compared to the two-thirds impact for the quarter in 2022.

Average securities sold under agreements to repurchase decreased $0.4 billion, or 57.7% from $0.6 billion for the three months ended March 31, 2022, to $0.2 billion for the three months ended March 31, 2023, primarily due to the Company's extinguishment of its two long-term structured repurchase agreements during the third quarter of 2022, and the timing of maturities. At March 31, 2023, and 2022, average securities sold under agreements to repurchase comprised 0.4% and 1.2% of total average interest-bearing liabilities, respectively. The average rate on securities sold under agreements to repurchase decreased 55 basis points from 0.66% for the three months ended March 31, 2022, to 0.11% for the three months ended March 31, 2023, primarily due to the Company's extinguishment of its two long-term structured repurchase agreements during the third quarter of 2022, which were contracted at a higher cost.

5

The following table summarizes daily average balances, interest, and average yield/rate by major category, and net interest margin on a FTE basis:

	Three months ended March 31,
	2023						2022
(Dollars in thousands)	Average Balance		Interest Income/Expense		Average Yield/Rate		Average Balance		Interest Income/Expense		Average Yield/Rate
Assets
Interest-earning assets:
Loans and leases (1)	$	50,095,192	$	725,543	5.80	%	$	35,912,829	$	349,417	3.90	%
Investment securities: (2)
Taxable	12,093,477		92,290		2.91		11,461,292		57,467		2.02
Non-taxable	2,539,768		13,684		2.16		1,960,251		9,802		2.00
Total investment securities	14,633,245		105,974		2.79		13,421,543		67,269		2.02
FHLB and FRB stock	459,375		4,910		4.34		166,357		821		2.00
Interest-bearing deposits (3)	898,884		10,396		4.63		799,265		453		0.23
Loans held for sale	4,630		16		1.39		17,918		26		0.58
Total interest-earning assets	66,091,326		$	846,839	5.08	%	50,317,912		$	417,986	3.33	%
Non-interest-earning assets	6,225,199						4,490,665
Total assets	$	72,316,525					$	54,808,577
Liabilities and Stockholders' Equity
Interest-bearing liabilities:
Demand deposits	$	12,629,928	$	—	—	%	$	11,263,282	$	—	—	%
Health savings accounts	8,292,450		3,027		0.15		7,759,465		1,087		0.06
Interest-bearing checking, money market, and savings	29,853,370		123,048		1.67		24,316,436		5,019		0.08
Time deposits	4,024,472		24,129		2.43		2,544,286		1,293		0.21
Total deposits	54,800,220		150,204		1.11		45,883,469		7,399		0.07
Securities sold under agreements to repurchase	243,848		67		0.11		577,039		956		0.66
Federal funds purchased	671,175		7,760		4.62		—		—		—
Other borrowings	—		—		—		—		1		—
FHLB advances	5,673,826		68,126		4.80		10,936		56		2.03
Long-term debt (2)	1,072,252		9,488		3.65		896,310		7,168		3.34
Total interest-bearing liabilities	62,461,321		$	235,645	1.52	%	47,367,754		$	15,580	0.13	%
Non-interest-bearing liabilities	1,639,528						749,333
Total liabilities	64,100,849						48,117,087
Preferred stock	283,979						236,121
Common stockholders' equity	7,931,697						6,455,369
Total stockholders' equity	8,215,676						6,691,490
Total liabilities and stockholders' equity	$	72,316,525					$	54,808,577
Net interest income (FTE)			$	611,194					$	402,406
Less: FTE adjustment			(15,911)						(8,158)
Net interest income			$	595,283					$	394,248
Net interest margin (FTE)					3.66	%					3.21	%

(1)Non-accrual loans have been included in the computation of average balances.

(2)For the purposes of our average yield/rate and margin computations, unsettled trades on investment securities and unrealized gain (loss) balances on available-for-sale securities and senior fixed-rate note hedges are excluded.

(3)Interest-bearing deposits are included as a component of Cash and cash equivalents on the Condensed Consolidated Statements of Cash Flows included in Part I - Item 1. Financial Statements.

6

The following table summarizes the change in net interest income attributable to changes in rate and volume, and reflects net interest income on a FTE basis:

	Three months ended March 31,
	2023 vs. 2022 Increase (decrease) due to
(In thousands)	Rate (1)		Volume		Total
Change in interest on interest-earning assets:
Loans and leases	$	232,942	$	143,184	$	376,126
Investment securities	32,571		6,134		38,705
FHLB and FRB stock	2,642		1,447		4,089
Interest-bearing deposits	9,887		56		9,943
Loans held for sale	1		(11)		(10)
Total interest income	$	278,043	$	150,810	$	428,853
Change in interest on interest-bearing liabilities:
Health savings accounts	$	1,865	$	75	$	1,940
Interest-bearing checking, money market, and savings	116,121		1,908		118,029
Time deposits	22,374		462		22,836
Securities sold under agreements to repurchase	(337)		(552)		(889)
Federal funds purchased	7,760		—		7,760
Other borrowings	(1)		—		(1)
FHLB advances	39,304		28,766		68,070
Long-term debt	850		1,470		2,320
Total interest expense	$	187,936	$	32,129	$	220,065
Net change in net interest income	$	90,107	$	118,681	$	208,788

(1)The change attributable to mix, a combined impact of rate and volume, is included with the change due to rate.

Provision for Credit Losses

The provision for credit losses totaled $46.7 million and $188.8 million for the three months ended March 31, 2023, and 2022, respectively. The balance for the three months ended March 31, 2022, included the establishment of the initial ACL of $175.1 million for non-PCD loans and leases that were acquired from Sterling in the merger. Excluding this charge, the provision for credit losses increased $33.0 million, primarily due to the impact of the current macroeconomic environment on credit performance and organic loan growth.

During the three months ended March 31, 2023, and 2022, total net charge-offs were $24.5 million and $8.9 million, respectively. The net increase of $15.6 million is primarily due to an increase in net charge-offs in the asset-based lending and commercial real estate categories, partially offset by a decrease in net charge-offs in the commercial non-mortgage category.

Additional information regarding the Company's provision for credit losses and ACL can be found under the sections captioned "Loans and Leases" through "Allowance for Credit Losses on Loans and Leases" contained elsewhere in this
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations.

7

Non-Interest Income

	Three months ended March 31,
(In thousands)	2023		2022
Deposit service fees	$	45,436	$	47,827
Loan and lease related fees	23,005		22,679
Wealth and investment services	6,587		10,597
Mortgage banking activities	59		428
Increase in cash surrender value of life insurance policies	6,728		6,732
(Loss) on sale of investment securities	(16,747)		—
Other income	5,698		15,772
Total non-interest income	$	70,766	$	104,035

Total non-interest income decreased $33.2 million, or 32.0%, from $104.0 million for the three months ended March 31, 2022, to $70.8 million for the three months ended March 31, 2023, primarily due to a loss on sale of investment securities and decreases in other income, wealth and investment services, and deposit service fees.

During the three months ended March 31, 2023, the Company sold $415.9 million of U.S. Treasury notes and Corporate debt securities classified as available-for-sale for proceeds of $395.4 million, which resulted in $20.5 million of gross realized losses. The $16.7 million loss on sale of investment securities included in non-interest income represents the portion of the total charge that was not attributed to a decline in credit quality. There were no sales of available-for-sale securities during the three months ended March 31, 2022.

Other income decreased $10.1 million, or 63.9%, from $15.8 million for the three months ended March 31, 2022, to $5.7 million for the three months ended March 31, 2023, primarily due to lower income generated from customer interest rate derivative activities and direct investments.

Wealth and investment services decreased $4.0 million, or 37.8%, from $10.6 million for the three months ended March 31, 2022, to $6.6 million for the three months ended March 31, 2023, primarily due to lower net investment services income, which is a direct result of the outsourcing of the consumer investment services platform effective as of the fourth quarter of 2022.

Deposit service fees decreased $2.4 million, or 5.0%, from $47.8 million for the three months ended March 31, 2022, to $45.4 million for the three months ended March 31, 2023, primarily due to lower customer account service and cash management/analysis fees, partially offset by higher interchange income.

8

Non-Interest Expense

	Three months ended March 31,
(In thousands)	2023		2022
Compensation and benefits	$	173,200	$	184,002
Occupancy	20,171		18,615
Technology and equipment	44,366		55,401
Intangible assets amortization	9,497		6,387
Marketing	3,476		3,509
Professional and outside services	32,434		54,091
Deposit insurance	12,323		5,222
Other expense	37,000		32,558
Total non-interest expense	$	332,467	$	359,785

Total non-interest expense decreased $27.3 million, or 7.6%, from $359.8 million for the three months ended March 31, 2022, to $332.5 million for the three months ended March 31, 2023, primarily due to decreases in professional and outside services, technology and equipment, and compensation and benefits, partially offset by increases in other expense, deposit insurance, and intangible assets amortization.

Professional and outside services decreased $21.7 million, or 40.0%, from $54.1 million for the three months ended March 31, 2022, to $32.4 million for the three months ended March 31, 2023, primarily due to a $24.4 million decrease in merger-related expenses, particularly as it relates to advisory and legal fees, partially offset by an increase in other professional fees.

Technology and equipment decreased $11.0 million, or 19.9%, from $55.4 million for the three months ended March 31, 2022, to $44.4 million for the three months ended March 31, 2023, primarily due to a $20.8 million decrease in merger-related expenses, particularly as it relates to contract termination costs. Included in the balance for the three months ended
March 31, 2023, is a reduction of $4.8 million to a previously recorded technology-related contract termination charge resulting from a change in the expected use of certain services post core conversion.

Compensation and benefits decreased $10.8 million, or 5.9%, from $184.0 million for the three months ended March 31, 2022, to $173.2 million for the three months ended March 31, 2023, primarily due to a $30.5 million decrease in merger-related expenses, particularly as it relates to severance and retention, and the outsourcing of the consumer investment services platform effective as of the fourth quarter of 2022, partially offset by the full quarter impact in 2023 of salaries and incentives from the Sterling merger compared to a two-thirds impact for the quarter in 2022.

Other expense increased $4.4 million, or 13.6%, from $32.6 million for the three months ended March 31, 2022, to $37.0 million for the three months ended March 31, 2023, primarily due to the full quarter impact in 2023 of other expenses from the Sterling merger compared to the two-thirds impact for the quarter in 2022, partially offset by a $3.9 million decrease in merger-related expenses, particularly as it relates to disposals on property and equipment. Included in the balance reported for the three months ended March 31, 2023, is a reduction of $1.7 million to a previously recorded contract termination charge resulting from a decrease in volume usage.

Deposit insurance increased $7.1 million, or 136.0%, from $5.2 million for the three months ended March 31, 2022, to $12.3 million for the three months ended March 31, 2023, primarily due to the increased initial base deposit insurance assessment rate schedules adopted by the FDIC, which took effect as of the first quarter of 2023 for all insured depository institutions, and asset growth.

Intangible assets amortization increased $3.1 million, or 48.7%, from $6.4 million for the three months ended March 31, 2022, to $9.5 million for the three months ended March 31, 2023, due to the amortization expense related to the broker dealer relationship and non-competition agreement intangible assets recorded in connection with the interLINK acquisition, and the full quarter impact in 2023 of accelerated amortization on core deposits and customer relationship intangible assets recorded in connection with the Sterling merger and Bend acquisition.

9

Income Taxes

The Company recognized income tax expense of $65.8 million and an income tax benefit of $33.6 million for the three months ended March 31, 2023, and 2022, respectively, reflecting an effective tax rate of 23.0% for the three months ended March 31, 2023, and an effective tax benefit rate of 66.7% for the three months ended March 31, 2022.

The income tax benefit of $33.6 million for the first quarter of 2022 reflected the recognition of the pre-tax net loss and the tax benefits associated with the merger with Sterling, making comparisons to the current period not meaningful. The $65.8 million of income tax expense and the 23.0% effective tax rate for the first quarter of 2023 reflects the application of an estimated annual effective tax rate of 22.3% for 2023 and the recognition of discrete items during the period.

Additional information regarding the Company's income taxes, including its DTAs, can be found within Note 9: Income Taxes in the Notes to Consolidated Financial Statements contained in Part II - Item 8. Financial Statements and Supplementary Data of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

Segment Reporting

The Company's operations are organized into three reportable segments that represent its primary businesses: Commercial Banking, HSA Bank, and Consumer Banking. These segments reflect how executive management responsibilities are assigned, how discrete financial information is evaluated, the type of customer served, and how products and services are provided. Segments are evaluated using PPNR. Certain Treasury activities, including the operations of interLINK, along with the amounts required to reconcile profitability metrics to those reported in accordance with GAAP, are included in the Corporate and Reconciling category. Additional information regarding the Company's reportable segments and its segment reporting methodology can be found within Note 16: Segment Reporting in the Notes to Condensed Consolidated Financial Statements contained in Part I - Item 1. Financial Statements.

The following is a description of the Company’s three reportable segments and their primary services:

Commercial Banking serves businesses with more than $2 million of revenue through its Commercial Real Estate and Equipment Finance, Middle Market, Business Banking, Asset-Based Lending and Commercial Services, Public Sector Finance, Mortgage Warehouse, Sponsor and Specialty Finance, Verticals and Support, Private Banking, and Treasury Management business units.

HSA Bank offers a comprehensive consumer-directed healthcare solution that includes HSAs, health reimbursement arrangements, flexible spending accounts, and commuter benefits. HSAs are used in conjunction with high deductible health plans in order to facilitate tax advantages for account holders with respect to health care spending and savings, in accordance with applicable laws. HSAs are distributed nationwide directly to employers and individual consumers, as well as through national and regional insurance carriers, benefit consultants, and financial advisors. HSA Bank deposits provide long duration, low-cost funding that is used to minimize the Company’s use of wholesale funding in support of its loan growth. In addition, non-interest revenue is generated predominantly through service fees and interchange income.

Consumer Banking serves individual customers and small businesses with less than $2 million of revenues by offering consumer deposits, residential mortgages, home equity lines, secured and unsecured loans, debit and credit card products, and investment services. Consumer Banking operates a distribution network consisting of 201 banking centers and 351 ATMs, a customer care center, and a full range of web and mobile-based banking services, primarily throughout southern New England and the New York Metro and Suburban markets.

10

Commercial Banking

Operating Results:

	Three months ended March 31,
(In thousands)	2023		2022
Net interest income	$	384,314	$	287,069
Non-interest income	35,397		38,743
Non-interest expense	108,509		89,240
Pre-tax, pre-provision net revenue	$	311,202	$	236,572

Commercial Banking's PPNR increased $74.6 million, or 31.5%, for the three months ended March 31, 2023, as compared to the three months ended March 31, 2022, due to an increase in net interest income, partially offset by a decrease in non-interest income and an increase in non-interest expense. The $97.2 million increase in net interest income is primarily due to the full quarter impact of the Sterling merger on balances in 2023 as compared to the two-thirds impact for the quarter in 2022, organic loan growth, and the higher interest rate environment. The $3.3 million decrease in non-interest income is primarily due to lower prepayment penalties, cash management fees, and customer interest rate derivative activities, partially offset by higher syndication fees. The $19.3 million increase in non-interest expense is primarily due to the full quarter impact of expenses from the Sterling merger in 2023 as compared to the two-thirds impact for the quarter in 2022.

Selected Balance Sheet and Off-Balance Sheet Information:

(In thousands)	At March 31, 2023		At December 31, 2022
Loans and leases	$	41,286,860	$	40,115,067
Deposits	18,297,574		19,563,227
Assets under administration / management (off-balance sheet)	2,670,273		2,258,635

Loans and leases increased $1.2 billion, or 2.9%, at March 31, 2023, as compared to December 31, 2022, primarily due to organic growth in the commercial non-mortgage and commercial real estate categories, partially offset by net principal paydowns in the warehouse lending, equipment finance, and asset-based lending categories. Total portfolio originations for the three months ended March 31, 2023, and 2022, were $3.0 billion and $2.0 billion, respectively. The $1.0 billion increase was primarily due to the timing of the Sterling merger in 2022, and an increase in commercial non-mortgage originations.

Deposits decreased $1.3 billion, or 6.5%, at March 31, 2023, as compared to December 31, 2022, primarily resulting from customers rebalancing their deposit concentrations due to the current banking environment.

Commercial Banking held $0.8 billion and $0.6 billion in assets under administration and $1.9 billion and $1.7 billion in assets under management at March 31, 2023, and December 31, 2022, respectively. The combined increase of $0.4 billion, or 18.2%, was primarily due to customers shifting their deposits into investment accounts to purchase U.S. Treasury securities with government-backing, and higher valuations in the equity markets during the three months ended March 31, 2023.

11

HSA Bank

Operating Results:

	Three months ended March 31,
(In thousands)	2023		2022
Net interest income	$	71,730	$	44,577
Non-interest income	24,067		26,958
Non-interest expense	43,700		36,409
Pre-tax net revenue	$	52,097	$	35,126

HSA Bank's pre-tax net revenue increased $17.0 million, or 48.3%, for the three months ended March 31, 2023, as compared to the three months ended March 31, 2022, primarily due to an increase in net interest income, partially offset by a decrease in non-interest income and an increase in non-interest expense. The $27.2 million increase in net interest income is primarily due to an increase in net deposit interest rate spread and organic deposit growth. The $2.9 million decrease in non-interest income is primarily due to lower customer account service fees. The $7.3 million increase in non-interest expense is primarily due to an increase in compensation costs, higher service contract expenses related to additional account holders, and the full quarter of expenses expenses from the Bend acquisition in 2023 compared to the one-half impact for the quarter in 2022.

Selected Balance Sheet and Off-Balance Sheet Information:

(In thousands)	At March 31, 2023		At December 31, 2022
Deposits	$	8,272,534	$	7,944,919
Assets under administration, through linked investment accounts (off-balance sheet)	3,775,869		3,393,832

Deposits increased $0.3 billion, or 4.1%, at March 31, 2023, as compared to December 31, 2022, primarily due to an increase in the number of account holders and organic deposit growth. HSA deposits accounted for approximately 15.0% and 14.7% of the Company's total consolidated deposits at March 31, 2023, and December 31, 2022, respectively.

Assets under administration, through linked investment accounts, increased $0.4 billion, or 11.3%, at March 31, 2023, as compared to December 31, 2022, primarily due to additional account holders and higher valuations in the equity markets during the three months ended March 31, 2023.

12

Consumer Banking

Operating Results:

	Three months ended March 31,
(In thousands)	2023		2022
Net interest income	$	210,583	$	136,677
Non-interest income	25,959		27,901
Non-interest expense	106,879		95,510
Pre-tax, pre-provision net revenue	$	129,663	$	69,068

Consumer Banking's PPNR increased $60.6 million, or 87.7%, for the three months ended March 31, 2023, as compared to the three months ended March 31, 2022, due to an increase in net interest income, partially offset by a decrease in non-interest income and an increase in non-interest expense. The $73.9 million increase in net interest income is primarily due to the full quarter impact of the Sterling merger on balances in 2023 as compared to the two-thirds impact for the quarter in 2022, and the higher interest rate environment. The $1.9 million decrease in non-interest income is primarily due to lower net investment services income driven by the outsourcing of the consumer investment services platform in the fourth quarter of 2022, partially offset by higher deposit service fee income. The $11.4 million increase in non-interest expense is primarily due to the full quarter impact of expenses from the Sterling merger in 2023 as compared to the two-thirds impact for the quarter in 2022, partially offset by lower compensation and benefits expenses.

Selected Balance Sheet and Off-Balance Sheet Information:

(In thousands)	At March 31, 2023		At December 31, 2022
Loans	$	9,617,093	$	9,624,465
Deposits	23,698,094		23,609,941
Assets under administration (off-balance sheet)	7,750,020		7,872,397

Loans decreased $7.4 million, or 0.1%, at March 31, 2023, as compared to December 31, 2022, primarily due to net principal paydowns in home equity balances and the continued run-off of Lending Club loans, partially offset by growth in residential mortgages. Total portfolio originations during the three months ended March 31, 2023, and 2022, were $0.3 billion and $0.6 billion, respectively. The $0.3 billion decrease was primarily due to the increase in market rates, which resulted in lower residential mortgage originations.

Deposits increased $0.1 billion, or 0.4%, at March 31, 2023, as compared to December 31, 2022, as customer preferences shifted from lower rate checking and savings products into higher rate certificates of deposit products.

Assets under administration decreased $0.1 billion, or 1.6% at March 31, 2023, as compared to at December 31, 2022, primarily due to customer investment outflows, partially offset by higher valuations in the equity markets during the three months ended March 31, 2023.

13

Financial Condition

Total assets increased $3.5 billion, or 5.0%, from $71.3 billion at December 31, 2022, to $74.8 billion at March 31, 2023. The change in total assets was primarily attributed to the following, which experienced changes greater than $100 million dollars:

•Interest-bearing deposits increased $1.7 billion, primarily due to the strategic decision to maintain additional liquidity;

•Total investment securities, net increased $0.4 billion, reflecting a $0.5 billion increase in the held-to-maturity portfolio, partially offset by a $0.1 billion decrease in the available-for-sale portfolio. The overall increase in investment securities was primarily due to purchases exceeding paydown activities and a favorable market value adjustment on
available-for-sale securities, partially offset by the sale of $415.9 million in Corporate debt and U.S. Treasury notes;

•FHLB and FRB stock increased $138.8 million, primarily due to the additional FHLB stock investment required as a result of the increase in FHLB advances during the first quarter of 2023;

•Loans held for sale increased $0.2 billion, primarily due to the Company's current balance sheet composition strategy, which resulted in the increased transfer of commercial loans from held for investment to held for sale in the current period;

•Loans and leases increased $1.2 billion, primarily due to $3.3 billion of originations during the three months ended March 31, 2023, particularly across the commercial non-mortgage and commercial real estate categories, partially offset by net principal paydowns and commercial portfolio loan sales.

•Goodwill and other net intangible assets increased a combined $147.9 million. Goodwill increased $117.4 million, which reflects the $143.2 million recognized in connection with the interLINK acquisition, partially offset by the impact of the Sterling merger measurement period adjustments recorded during the first quarter of 2023. The $30.5 million increase in other net intangible assets is primarily due to the $36.0 million broker dealer relationship and $4.0 million non-competition agreement recognized in connection with the interLINK acquisition, partially offset by year-to-date amortization charges.

Total liabilities increased $3.3 billion, or 5.3%, from $63.2 billion at December 31, 2022, to $66.5 billion at March 31, 2023. The change in total liabilities was primarily attributed to the following:

•Total deposits increased $1.2 billion, reflecting a $2.2 billion increase in interest-bearing deposits, partially offset by a $1.0 billion decrease in non-interest-bearing deposits. The overall increase in deposits is primarily due to the $2.9 billion of sweep money market deposits added as a result of the interLINK acquisition, partially offset by the impact of customers rebalancing their deposit concentrations in the current banking environment.

•Securities sold under agreements to repurchase and other borrowings decreased $0.8 billion, primarily due to $0.9 billion of federal funds purchased at December 31, 2022, as compared to none at March 31, 2023. The additional liquidity generated from the interLINK deposit sweep program allowed for the paydown of higher rate federal funds purchased during the first quarter of 2023;

•FHLB advances increased $3.1 billion, primarily due to short-term funding needs and the strategic decision to maintain additional liquidity; and

•Accrued expenses and other liabilities decreased $0.2 billion, primarily due to decreases of $111.6 million and
$83.1 million in treasury derivative liabilities and accrued annual employee bonuses, respectively.

Total stockholders' equity increased $0.2 billion, or 3.0%, from $8.1 billion at December 31, 2022, to $8.3 billion at
March 31, 2023. The change in total stockholders' equity was attributed to the following:

•The adoption of ASU No. 2022-02, which resulted in a $4.2 million cumulative-effect adjustment to retained earnings;

•Net income recognized of $221.0 million;

•Dividends paid to common and preferred stockholders of $69.7 million and $4.2 million, respectively;

•Other comprehensive income, net of tax, of $96.9 million, primarily due to favorable market value adjustments on
available-for-sale securities and cash flow hedges driven by decreases in long-term interest rates;

•Employee stock-based compensation plan activity of $11.6 million, inclusive of restricted stock amortization and forfeitures, and stock options exercised of $1.7 million; and

•Repurchases of common stock of $15.1 million related to employee stock-based compensation plans.

14

Investment Securities

Through its Corporate Treasury function, the Company maintains and invests in debt securities that are primarily used to provide a source of liquidity for operating needs, to generate interest income, and as a means to manage the Company's
interest-rate risk. The Company's investment securities are classified into two major categories: available-for-sale and
held-to-maturity.

The ALCO manages the Company's securities in accordance with regulatory guidelines and corporate policies, which include limitations on aspects such as concentrations in and types of investments, as well as minimum risk ratings per type of security. In addition, the OCC may further establish individual limits on certain types of investments if the concentration in such investment presents a safety and soundness concern. At March 31, 2023, and December 31, 2022, the Company had investment securities with a total net carrying value of $14.9 billion and $14.5 billion, respectively, with an average risk weighting for regulatory purposes of 17.4% and 19.0%, respectively. Although the Bank held the entirety of the Company's investment portfolio at both March 31, 2023, and December 31, 2022, the Holding Company may also directly hold investments.

The following table summarizes the balances and percentage composition of the Company's investment securities:

	At March 31, 2023				At December 31, 2022
(In thousands)	Amount		%		Amount		%
Available-for-sale:
U.S. Treasury notes	$	386,772	4.9	%	$	717,040	9.1	%
Government agency debentures	262,342		3.4		258,374		3.3
Municipal bonds and notes	1,645,228		21.1		1,633,202		20.7
Agency CMO	57,462		0.7		59,965		0.8
Agency MBS	2,230,850		28.6		2,158,024		27.3
Agency CMBS	1,635,252		21.0		1,406,486		17.8
CMBS	902,058		11.6		896,640		11.4
CLO	—		—		2,107		—
Corporate debt	625,523		8.0		704,412		8.9
Private label MBS	44,262		0.6		44,249		0.6
Other	9,228		0.1		12,198		0.1
Total available-for-sale securities	$	7,798,977	100.0	%	$	7,892,697	100.0	%
Held-to-maturity:
Agency CMO	$	27,101	0.4	%	$	28,358	0.4	%
Agency MBS	2,613,113		37.0		2,626,114		40.0
Agency CMBS	3,364,186		47.6		2,831,949		43.1
Municipal bonds and notes (1)	927,501		13.1		928,845		14.2
CMBS	131,604		1.9		149,613		2.3
Total held-to-maturity securities	$	7,063,505	100.0	%	$	6,564,879	100.0	%
Total investment securities	$	14,862,482			$	14,457,576

(1)The balances at March 31, 2023, and December 31, 2022, exclude the ACL recorded on held-to-maturity securities of $0.3 million and $0.2 million, respectively.

Available-for-sale securities decreased $0.1 billion, or 1.2%, from $7.9 billion at December 31, 2022, to $7.8 billion at March 31, 2023, primarily due to the sale of $0.4 billion in U.S. Treasury notes and Corporate debt securities, which resulted in $20.5 million of gross realized losses, $3.8 million of which was attributed to a decline in credit quality and has been included in the Provision for credit losses. This decrease was partially offset by purchases exceeding paydown activities, particularly across the Agency MBS, Agency CMBS, and CMBS categories, and a favorable market value adjustment. The average FTE yield in the available-for-sale portfolio was 2.76% for the three months ended March 31, 2023, as compared to 1.98% for the three months ended March 31, 2022. The 78 basis point increase is primarily due to higher market rates on securities purchased in the current period.

At March 31, 2023, and December 31, 2022, gross unrealized losses on available-for-sale securities were $770.3 million and $864.5 million, respectively. The $94.2 million decrease is primarily due to a decline in long-term market rates. Available-for-sale securities are evaluated for credit losses on a quarterly basis. No ACL was recorded on available-for-sale securities as of either period as each of the securities in the Company's portfolio are investment grade, current as to principal and interest, and their price changes are consistent with interest and credit spreads when adjusting for convexity, rating, and industry differences. At March 31, 2023, based on current market conditions and the Company's current targeted balance sheet composition strategy, the Company has the intent to hold its available-for-sale securities in unrealized loss positions through the anticipated recovery period, and it is more-likely-than-not that the Company will not have to sell these available-for-sale securities before the recovery of the entire amortized cost basis.

15

Held-to-maturity securities increased $0.5 billion, or 7.6%, from $6.6 billion at December 31, 2022, to $7.1 billion at
March 31, 2023, primarily due to purchases exceeding paydown activities, particularly across the Agency MBS and Agency CMBS categories. The average FTE yield in the held-to-maturity portfolio was 2.82% for the three months ended March 31, 2023, as compared to 2.06% for the three months ended March 31, 2022. The 76 basis point increase is primarily due to higher market rates on securities purchased in the current period.

At March 31, 2023, and December 31, 2022, gross unrealized losses on held-to-maturity securities were $751.0 million and $806.2 million, respectively. The $55.2 million decrease is primarily due to a decline in long-term market rates. Held-to-maturity securities are evaluated for credit losses on a quarterly basis under the CECL methodology. At March 31, 2023, and December 31, 2022, the ACL on held-to-maturity securities was $0.3 million and $0.2 million, respectively.

The following table summarizes the book value of investment securities by the earlier of either contractual maturity or call date, as applicable, along with the respective weighted-average yields:

	At March 31, 2023
	1 Year or Less				1 - 5 Years				5 - 10 Years				After 10 Years				Total
(Dollars in thousands)	Amount		Weighted- Average Yield (1)		Amount		Weighted- Average Yield (1)		Amount		Weighted- Average Yield (1)		Amount		Weighted- Average Yield (1)		Amount		Weighted- Average Yield (1)
Available-for-sale:
U.S. Treasury notes	$	—	—	%	$	386,772	1.28	%	$	—	—	%	$	—	—	%	$	386,772	1.28	%
Government agency debentures	—		—		74,620		2.42		—		—		187,722		3.22		262,342		2.99
Municipal bonds and notes	34,763		1.18		103,056		1.69		708,492		1.52		798,917		1.58		1,645,228		1.55
Agency CMO	—		—		483		2.68		5,544		3.01		51,435		2.85		57,462		2.86
Agency MBS	8		(5.27)		16,304		1.31		151,944		1.71		2,062,594		2.48		2,230,850		2.42
Agency CMBS	1,599		0.42		86,325		0.90		44,459		1.40		1,502,869		2.73		1,635,252		2.59
CMBS	—		—		68,771		6.16		49,165		6.08		784,122		6.19		902,058		6.19
Corporate debt	4,973		1.54		162,524		2.56		400,466		3.17		57,560		3.33		625,523		3.02
Private label MBS	—		—		—		—		—		—		44,262		4.01		44,262		4.01
Other	250		3.77		4,810		3.80		4,168		2.71		—		—		9,228		3.31
Total available-for-sale securities	$	41,593	1.21	%	$	903,665	2.00	%	$	1,364,238	2.19	%	$	5,489,481	3.00	%	$	7,798,977	2.73	%
Held-to-maturity:
Agency CMO	$	—	—	%	$	—	—	%	$	—	—	%	$	27,101	2.91	%	$	27,101	2.91	%
Agency MBS	2		3.55		1,494		2.41		24,550		2.51		2,587,067		2.47		2,613,113		2.47
Agency CMBS	—		—		—		—		126,854		2.68		3,237,332		3.07		3,364,186		3.05
Municipal bonds and notes	6,091		3.27		51,399		3.28		186,949		2.72		683,062		3.19		927,501		3.10
CMBS	—		—		—		—		—		—		131,604		2.70		131,604		2.70
Total held-to-maturity securities	$	6,093	3.27	%	$	52,893	3.26	%	$	338,353	2.69	%	$	6,666,166	2.84	%	$	7,063,505	2.84	%
Total investment securities	$	47,686	1.47	%	$	956,558	2.07	%	$	1,702,591	2.29	%	$	12,155,647	2.91	%	$	14,862,482	2.78	%

(1)Weighted-average yields exclude FTE adjustments, and are calculated using the sum of the total book value multiplied by the yield divided by the sum of the total book value for each security, major type, and maturity bucket.

Additional information regarding the Company's investment securities' portfolios can be found within Note 3: Investment Securities in the Notes to Condensed Consolidated Financial Statements contained in Part I - Item 1. Financial Statements.

16

Loans and Leases

The following table summarizes the amortized cost and percentage composition of the Company's loans and leases:

	At March 31, 2023				At December 31, 2022
(Dollars in thousands)	Amount		%		Amount		%
Commercial non-mortgage	$	16,939,373	33.3	%	$	16,392,795	32.9	%
Asset-based	1,760,527		3.5		1,821,642		3.7
Commercial real estate	13,499,139		26.5		12,997,163		26.1
Multi-family	7,014,599		13.8		6,621,982		13.3
Equipment financing	1,601,109		3.1		1,628,393		3.3
Warehouse lending	474,328		0.9		641,976		1.3
Residential	8,001,563		15.7		7,963,420		16.0
Home equity	1,580,569		3.1		1,633,107		3.3
Other consumer	55,316		0.1		63,948		0.1
Total loans and leases (1)	$	50,926,523	100.0	%	$	49,764,426	100.0	%

(1)The amortized cost balances at March 31, 2023, and December 31, 2022, exclude the ACL recorded on loans and leases of $613.9 million and $594.7 million, respectively.

The following table summarizes loans and leases by contractual maturity, along with the indication of whether interest rates are fixed or variable:

	At March 31, 2023
(In thousands)	1 Year or Less		1 - 5 Years		5 - 15 Years		After 15 Years		Total
Fixed rate:
Commercial non-mortgage	$	222,804	$	598,021	$	2,131,003	$	1,549,094	$	4,500,922
Asset-based	24,048		31,264		—		—		55,312
Commercial real estate	599,026		1,821,401		1,184,930		141,016		3,746,373
Multi-family	353,747		2,112,410		1,751,446		42,595		4,260,198
Equipment financing	150,270		1,153,565		295,814		—		1,599,649
Residential	405		58,084		414,759		4,992,444		5,465,692
Home equity	4,379		23,829		175,658		195,046		398,912
Other consumer	10,858		11,924		387		153		23,322
Total fixed rate loans and leases	$	1,365,537	$	5,810,498	$	5,953,997	$	6,920,348	$	20,050,380
Variable rate:
Commercial non-mortgage	$	3,455,439	$	8,239,753	$	675,115	$	68,144	$	12,438,451
Asset-based	451,406		1,248,442		5,367		—		1,705,215
Commercial real estate	1,789,853		5,026,956		2,228,039		707,918		9,752,766
Multi-family	426,953		1,009,039		1,288,677		29,732		2,754,401
Equipment financing	1,460		—		—		—		1,460
Warehouse lending	474,328		—		—		—		474,328
Residential	722		10,905		319,947		2,204,297		2,535,871
Home equity	2,253		7,215		150,431		1,021,758		1,181,657
Other consumer	6,574		16,873		2,554		5,993		31,994
Total variable rate loans and leases	$	6,608,988	$	15,559,183	$	4,670,130	$	4,037,842	$	30,876,143
Total loans and leases (1)	$	7,974,525	$	21,369,681	$	10,624,127	$	10,958,190	$	50,926,523

(1)Amounts due exclude total accrued interest receivable of $246.1 million.

17

Credit Policies and Procedures

The Bank has credit policies and procedures in place designed to support its lending activities within an acceptable level of risk, which are reviewed and approved by management and the Board of Directors on a regular basis. To assist with this process, management inspects reports generated by the Company's loan reporting systems related to loan production, loan quality, concentrations of credit, loan delinquencies, non-performing loans, and potential problem loans.

Commercial non-mortgage, asset-based, equipment finance, and warehouse lending loans are underwritten after evaluating and understanding the borrower’s ability to operate and service its debt. Assessment of the borrower's management is a critical element of the underwriting process and credit decision. Once it has been determined that the borrower’s management possesses sound ethics and a solid business acumen, current and projected cash flows are examined to determine the ability of the borrower to repay obligations, as contracted. Commercial non-mortgage, asset-based, and equipment finance loans are primarily made based on the identified cash flows of the borrower, and secondarily on the underlying collateral provided by the borrower. Warehouse lending loans are primarily made based on the borrower's ability to originate high-quality, first-mortgage residential loans that can be sold into the agency, government, or private jumbo markets, and secondarily on the underlying cash flows of the borrower. However, the cash flows of borrowers may not be as expected, and the collateral securing these loans, as applicable, may fluctuate in value. Most commercial non-mortgage, asset-based, and equipment finance loans are secured by the assets being financed and may incorporate personal guarantees of the principal balance. Warehouse lending loans are generally uncommitted facilities.

Commercial real estate loans, including multi-family, are subject to underwriting standards and processes similar to those for commercial non-mortgage, asset-based, equipment finance, and warehouse lending loans. These loans are primarily viewed as cash flow loans, and secondarily as loans secured by real estate. Repayment of commercial real estate loans is largely dependent on the successful operation of the property securing the loan, the market in which the property is located, and the tenants of the property securing the loan. The properties securing the Company’s commercial real estate portfolio are diverse in terms of type and geographic location, which reduces the Company's exposure to adverse economic events that may affect a particular market. Management monitors and evaluates commercial real estate loans based on collateral, geography, and risk grade criteria. All transactions are appraised to determine market value. Commercial real estate loans may be adversely affected by conditions in the real estate markets or in the general economy. Management periodically utilizes third-party experts to provide insight and guidance about economic conditions and trends affecting its commercial real estate loan portfolio.

Consumer loans are subject to policies and procedures developed to manage the specific risk characteristics of the portfolio. These policies and procedures, coupled with relatively small individual loan amounts and predominately collateralized loan structures, are spread across many different borrowers, minimizing the level of credit risk. Trend and outlook reports are reviewed by management on a regular basis, and policies and procedures are modified or developed, as needed. Underwriting factors for residential mortgage and home equity loans include the borrower’s FICO score, the loan amount relative to property value, and the borrower’s debt-to-income level. The Bank originates both qualified mortgage and non-qualified mortgage loans, as defined by applicable CFPB rules.

Allowance for Credit Losses on Loans and Leases

The ACL on loans and leases increased $19.2 million, or 3.2%, from $594.7 million at December 31, 2022, to $613.9 million at March 31, 2023, due to the impact of the current macroeconomic environment on credit performance and organic loan growth.

The following table summarizes the percentage allocation of the ACL across the loans and leases categories:

	At March 31, 2023				At December 31, 2022
(Dollars in thousands)	Amount		% (1)		Amount		% (1)
Commercial non-mortgage	$	196,019	31.9	%	$	197,950	33.3	%
Asset-based	21,546		3.5		16,094		2.7
Commercial real estate	230,020		37.5		214,771		36.1
Multi-family	83,264		13.6		80,652		13.6
Equipment financing	23,474		3.8		23,081		3.9
Warehouse lending	427		0.1		577		0.1
Residential	25,869		4.2		26,907		4.5
Home equity	31,126		5.1		32,296		5.4
Other consumer	2,169		0.3		2,413		0.4
Total ACL on loans and leases	$	613,914	100.0	%	$	594,741	100.0	%

(1)The ACL allocated to a single loan and lease category does not preclude its availability to absorb losses in other categories.

18

Methodology

The Company's ACL on loans and leases is considered to be a critical accounting policy. The ACL on loans and leases is a contra-asset account that offsets the amortized cost basis of loans and leases for the credit losses that are expected to occur over the life of the asset. Executive management reviews and advises on the adequacy of the allowance, which is maintained at a level that management deems to be sufficient to cover expected losses within the loan and lease portfolios.

The ACL on loans and leases is determined using the CECL model, whereby an expected lifetime credit loss is recognized at the origination or purchase of an asset, including those acquired through a business combination, which is then reassessed at each reporting date over the contractual life of the asset. The calculation of expected credit losses includes consideration of past events, current conditions, and reasonable and supportable economic forecasts that affect the collectability of the reported amounts. Generally, expected credit losses are determined through a pooled, collective assessment of loans and leases with similar risk characteristics. However, if the risk characteristics of a loan or lease change such that it no longer matches that of the collectively assessed pool, it is removed from the population and individually assessed for credit losses. The total ACL on loans and leases recorded by management represents the aggregated estimated credit loss determined through both the collective and individual assessments.

Collectively Assessed Loans and Leases. Collectively assessed loans and leases are segmented based on product type, credit quality, risk ratings, and/or collateral types within its commercial and consumer portfolios, and expected losses are determined using a PD, LGD, and EAD, loss rate, or discounted cash flow framework.

For portfolios using the PD/LGD/EAD framework, credit losses are calculated as the product of the probability of a loan defaulting, expected loss given the occurrence of a default, and the expected exposure of a loan at default. Summing the product across loans over their lives yields the lifetime expected credit losses for a given portfolio. Management's PD and LGD calculations are predictive models that measure the current risk profile of the loan pools using forecasts of future macroeconomic conditions, historical loss information, loan-level risk attributes, and credit quality indicators. The calculation of EAD follows an iterative process to determine the expected remaining principal balance of a loan based on historical paydown rates for loans of a similar segment within the same portfolio. The calculation of portfolio exposure in future quarters incorporates expected losses, the loan's amortization schedule, and prepayment rates.

Under the loss rate method, expected credit losses are estimated using a loss rate that is multiplied by the amortized cost of the asset at the balance sheet date. For each loan segment identified above, management applies an expected historical loss trend based on third-party loss estimates, and correlates them to observed economic metrics and reasonable and supportable forecasts of economic conditions. Under the discounted cash flow method, expected credit losses are determined by comparing the amortized cost of the asset at the balance sheet date to the present value of estimated future principal and interest payments expected to be collected over the remaining life of the asset. The Company's loss model generates cash flow projections at the loan level based on reasonable and supportable projections, from which management estimates payment collections adjusted for accelerated payments, recovery time, PD, and LGD.

The Company's models incorporate a single economic forecast scenario and macroeconomic assumptions over a reasonable and supportable forecast period. The development of the reasonable and supportable forecast assumes each macroeconomic variable will revert to long-term expectations, with reversion characteristics unique to specific economic indicators and forecasts. Reversion towards long-term expectations generally begins two to three years from the forecast start date and is complete within three to five years. Certain models use output reversion and revert to mean historical portfolio loss rates on a
straight-line basis in the third year of the forecast. Other models use input reversion and revert to the mean of macroeconomic variables in reasonable and supportable forecasts.

The Company incorporates forecasts of macroeconomic variables in the determination of expected credit losses. Macroeconomic variables are selected for each class of financing receivable based on relevant factors, such as asset type and the correlation of the variables to credit losses, among others. Data from the forecast scenario of these variables is used as an input to the modeled loss calculation.

A portion of the collective ACL is comprised of qualitative adjustments for risk characteristics that are not reflected or captured in the quantitative models, but are likely to impact the measurement of estimated credit losses. Qualitative factors are based on management's judgement of the Company, market, industry, or business specific data including loan trends, portfolio segment composition, and loan rating or credit scores. Qualitative adjustments may be applied in relation to economic forecasts when relevant facts and circumstances are expected to impact credit losses, particularly in times of significant volatility in economic activity.

19

Individually Assessed Loans and Leases. If the risk characteristics of a loan or lease change such that it no longer matches the risk characteristics of the collectively assessed pool, it is removed from the population and individually assessed for credit losses. Generally, all non-accrual loans, loans with a charge-off, and collateral dependent loans where the borrower is experiencing financial difficulty, are individually assessed. The measurement method used to calculate the expected credit loss on an individually assessed loan or lease is dependent on the type and whether the loan or lease is considered to be collateral dependent. Methods for collateral dependent loans are either based on the fair value of the collateral less estimated cost to sell (when the basis of repayment is the sale of collateral), or the present value of the expected cash flows from the operation of the collateral. For non-collateral dependent loans, either a discounted cash flow method or other loss factor method is used. Any individually assessed loan or lease for which no specific valuation allowance is deemed necessary is either the result of sufficient cash flows or sufficient collateral coverage relative to the amortized cost of the asset.

Additional information regarding the Company's ACL methodology can be found within Note 1: Summary of Significant Accounting Policies in the Consolidated Financial Statements contained in Part II - Item 8. Financial Statements and Supplementary Data of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

Asset Quality Ratios

The Company manages asset quality using risk tolerance levels established through the Company's underwriting standards, servicing, and management of its loan and lease portfolio. Loans and leases for which a heightened risk of loss has been identified are regularly monitored to mitigate further deterioration and preserve asset quality in future periods. Non-performing assets, credit losses, and net charge-offs are considered by management to be key measures of asset quality.

The following table summarizes key asset quality ratios and their underlying components:

(Dollars in thousands)	At March 31, 2023			At December 31, 2022
Non-performing loans and leases (1)	$	185,020		$	203,791
Total loans and leases	50,926,523			49,764,426
Non-performing loans and leases as a percentage of loans and leases	0.36		%	0.41		%
Non-performing assets (1)	$	186,551		$	206,136
Total loans and leases	$	50,926,523		$	49,764,426
Add: OREO	1,531			2,345
Total loans and leases plus OREO	$	50,928,054		$	49,766,771
Non-performing assets as a percentage of loans and leases plus OREO	0.37		%	0.41		%
Non-performing assets (1)	$	186,551		$	206,136
Total assets	74,844,395			71,277,521
Non-performing assets as a percentage of total assets	0.25		%	0.29		%
ACL on loans and leases	$	613,914		$	594,741
Non-performing loans and leases (1)	185,020			203,791
ACL on loans and leases as a percentage of non-performing loans and leases	331.81		%	291.84		%
ACL on loans and leases	$	613,914		$	594,741
Total loans and leases	50,926,523			49,764,426
ACL on loans and leases as a percentage of loans and leases	1.21		%	1.20		%
ACL on loans and leases	$	613,914		$	594,741
Net charge-offs	98,084			67,288
Ratio of ACL on loans and leases to net charge-offs (2)	6.26x			8.84x

(1)Non-performing assets balances and related asset quality ratios exclude the impact of net unamortized (discounts)/premiums and net unamortized deferred (fees)/costs on loans and leases.

(2)Calculated for the March 31, 2023, period based on annualized year-to-date net charge-offs.

20

The following table summarizes net charge-offs (recoveries) as a percentage of average loans and leases for each category:

	At or for the three months ended March 31,
	2023						2022
(Dollars in thousands)	Net Charge-offs (Recoveries)		Average Balance		% (1)		Net Charge-offs (Recoveries)		Average Balance		% (1)
Commercial non-mortgage	$	2,723	$	16,635,874	0.07	%	$	8,663	$	10,863,354	0.32	%
Asset-based	13,189		1,790,992		2.95		(50)		1,540,301		(0.01)
Commercial real estate	8,551		13,260,223		0.26		1,048		9,738,181		0.04
Multi-family	1,033		6,710,103		0.06		10		3,994,744		—
Equipment financing	(660)		1,625,463		(0.16)		213		1,339,775		0.06
Warehouse lending	—		409,580		—		—		365,325		—
Residential	(461)		7,995,327		(0.02)		(44)		6,322,495		—
Home equity	(421)		1,608,428		(0.10)		(1,267)		1,658,938		(0.31)
Other consumer	567		59,202		3.83		356		89,716		1.59
Total	$	24,521	$	50,095,192	0.20	%	$	8,929	$	35,912,829	0.10	%

(1)Percentage represents annualized year-to-date net charge-offs (recoveries) to average loans and leases within the comparable category.

Net charge-offs as a percentage of average loans and leases were 0.20% for the three months ended March 31, 2023, and 0.10% for the three months ended March 31, 2022. The increased level of net charge-offs is primarily due to a full quarter impact of the Sterling merger on net charge-offs in 2023 as compared to the two-thirds impact for the quarter in 2022, and the Company's current balance sheet composition strategy.

Liquidity and Capital Resources

The Company manages its cash flow requirements through proactive liquidity measures at both the Holding Company and the Bank. In order to maintain stable, cost-effective funding, and to promote overall balance sheet strength, the liquidity position of the Company is continuously monitored, and adjustments are made to balance sources and uses of funds, as appropriate. At March 31, 2023, management is not aware of any events that are reasonably likely to have a material adverse effect on the Company’s liquidity position, capital resources, or operating activities. Although regulatory agencies have not issued formal guidance mandating more stringent liquidity and capital requirements, the Company is anticipating a greater focus on the liquidity and capital adequacy of financial institutions in response to the recent high-profile bank failures that occurred during the first quarter of 2023, and has taken appropriate measures to mitigate the risk that such requirements, if implemented, may have on its business, financial positions, and results of operations.

Cash inflows are provided through a variety of sources, including principal and interest payments on loans and investments, unpledged securities that can be sold or utilized to secure funding, and new deposits. The Company is committed to maintaining a strong base of core deposits, which consists of demand, interest-bearing checking, savings, health savings, and money market accounts, to support growth in its loan portfolios. Management actively monitors the interest rate environment and makes adjustments to its deposit strategy in response to evolving market conditions, bank funding needs, and client relationship dynamics.

Holding Company Liquidity. The primary source of liquidity at the Holding Company is dividends from the Bank. To a lesser extent, investment income, net proceeds from investment sales, borrowings, and public offerings may provide additional liquidity. The Holding Company generally uses its funds for principal and interest payments on senior notes, subordinated notes, and junior subordinated debt, dividend payments to preferred and common stockholders, repurchases of its common stock, and purchases of investment securities, as applicable.

There are certain restrictions on the Bank's payment of dividends to the Holding Company, which can be found within
Note 10: Regulatory Capital and Restrictions in the Notes to Condensed Consolidated Financial Statements contained in
Part I - Item 1. Financial Statements of this report, and in the section captioned "Supervision and Regulation" in Part I - Item 1. Business of the Company's Annual Report on Form 10-K for the year ended December 31, 2022. During the three months ended March 31, 2023, the Bank paid $150.0 million in dividends to the Holding Company. At March 31, 2023, there were $561.9 million of retained earnings available for the payment of dividends by the Bank to the Holding Company. On April 26, 2023, the Bank was approved to pay the Holding Company $100.0 million in dividends during the second quarter of 2023.

21

The quarterly cash dividend to common stockholders remained at $0.40 per common share during the three months ended March 31, 2023. On April 26, 2023, it was announced that the Company’s Board of Directors had declared a quarterly cash dividend of $0.40 per share on Webster common stock. For the Series F Preferred Stock and Series G Preferred Stock, quarterly cash dividends of $328.125 per share and $16.25 per share were declared, respectively. The Company continues to monitor economic forecasts, anticipated earnings, and its capital position in the determination of its dividend payments.

The Company maintains a common stock repurchase program, which was approved by the Board of Directors, that authorizes management to purchase shares of Webster common stock in open market or privately negotiated transactions, through block trades, and pursuant to any adopted predetermined trading plan, subject to certain conditions. During the three months ended March 31, 2023, the Company did not repurchase any shares of Webster common stock under the program. In addition, the Company will periodically acquire common shares outside of the repurchase program related to employee stock compensation plan activity. During the three months ended March 31, 2023, the Company repurchased 284,725 shares at a weighted-average price of $52.90 per share, totaling $15.1 million for this purpose.

Webster Bank Liquidity. The Bank's primary source of funding is core deposits. Including time deposits, the Bank had a loan to total deposit ratio of 92.1% at both March 31, 2023, and December 31, 2022.

The Bank is required by OCC regulations to maintain a sufficient level of liquidity to ensure safe and sound operations. The adequacy of liquidity, as assessed by the OCC, depends on factors such as overall asset and liability structure, market conditions, competition, and the nature of the institution’s deposit and loan customers. At March 31, 2023, the Bank exceeded all regulatory liquidity requirements. The Company has designed a detailed contingency plan in order to respond to any liquidity concerns in a prompt and comprehensive manner, including early detection of potential problems and corrective action to address liquidity stress scenarios.

Capital Requirements. The Holding Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory actions by regulators that could have a direct material effect on the Company’s Consolidated Financial Statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, both the Holding Company and the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated pursuant to regulatory directives. Capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors.

Quantitative measures established by the Basel III Capital Rules to ensure capital adequacy require financial institutions to maintain minimum ratios of Common Equity Tier 1 Capital, defined by the Basel III capital rules (CET1 capital), Tier 1 capital, Total capital to risk-weighted assets, and Tier 1 capital to average tangible assets (as defined in the regulations). At March 31, 2023, both the Holding Company and the Bank were classified as well-capitalized. Management believes that no events or changes have occurred subsequent to quarter-end that would change this designation.

In accordance with regulatory capital rules, the Company elected an option to delay the estimated impact of the adoption of CECL on its regulatory capital over a two-year deferral period, which ended on January 1, 2022, and subsequent three-year transition period ending on December 31, 2024. During the three-year transition period, capital ratios will phase out the aggregate amount of the regulatory capital benefit provided from the delayed CECL adoption in the initial two years. For 2022, 2023, and 2024, the Company is allowed 75%, 50%, and 25%, respectively, of the regulatory capital benefit as of December 31, 2021, with full absorption occurring in 2025. At March 31, 2023, the regulatory capital benefit allowed from the delayed CECL adoption resulted in a 6, 6, and 4 basis point increase to the Holding Company's and the Bank's CET1 capital to total risk-weighted assets (CET1 risk-based capital), Tier 1 capital to total risk-weighted assets (Tier 1 risk-based capital), and Tier 1 capital to average tangible assets (Tier 1 leverage capital), respectively, and a 1 basis point decrease to Total capital to total risk-weighted assets (Total risk-based capital). Both the Holding Company's and the Bank's regulatory ratios remain in excess of being well-capitalized, even without the regulatory capital benefit of the delayed CECL adoption impact.

Additional information regarding the required regulatory capital levels and ratios applicable to the Holding Company and the Bank can be found within Note 10: Regulatory Capital and Restrictions in the Notes to Condensed Consolidated Financial Statements contained in Part I -Item 1. Financial Statements.

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Sources and Uses of Funds

Sources of Funds. Deposits are the primary source of cash flows for the Bank’s lending activities and general operational needs. Loan and securities repayments, proceeds from loans and securities held for sale, and maturities also provide cash flows. While scheduled loan and securities repayments are a relatively stable source of funds, prepayments and other deposit inflows are influenced by economic conditions and prevailing interest rates, the timing of which is inherently uncertain. Additional sources of funds are provided by both short-term and long-term borrowings, and to a lesser extent, dividends received as part of the Bank's membership with the FHLB and FRB.

Deposits. The Bank offers a wide variety of checking and savings deposit products designed to meet the transactional and investment needs of both its consumer and business customers. The Bank’s deposit services include, but are not limited to, ATM and debit card use, direct deposit, ACH payments, mobile banking, internet-based banking, banking by mail, account transfers, and overdraft protection, among others. The Bank manages the flow of funds in its deposit accounts and interest rates consistent with FDIC regulations. The Bank’s Consumer and Digital Pricing Committee and its Commercial and Institutional Liability and Loan Pricing Committee both meet regularly to determine pricing and marketing initiatives.

With the acquisition of interLINK during the first quarter of 2023, the Bank received $2.9 billion of money market deposits at March 31, 2023, which added a unique source of core deposit funding and scalable liquidity to the Company's already differentiated, omnichannel deposit gathering capabilities.

Total deposits were $55.3 billion and $54.1 billion at March 31, 2023, and December 31, 2022, respectively. The $1.2 billion increase was primarily due to the interLINK deposits, partially offset by customers rebalancing their deposit concentrations as a result of the current banking environment. Customer preferences also shifted from lower rate checking and savings products into higher rate certificates of deposit products, which are currently more attractive in the higher interest rate environment.

The following table summarizes daily average balances of deposits by type and the weighted-average rates paid thereon:

	Three months ended March 31,
	2023				2022
(Dollars in thousands)	Average Balance		Average Rate		Average Balance		Average Rate
Non-interest-bearing:
Demand	$	12,629,928	—	%	$	11,263,282	—	%
Interest-bearing:
Checking	8,822,549		1.44		7,699,097		0.06
Health savings accounts	8,292,450		0.15		7,759,465		0.06
Money market	12,884,558		2.57		9,093,101		0.15
Savings	8,146,263		0.49		7,524,238		0.03
Time deposits	4,024,472		2.43		2,544,286		0.21
Total interest-bearing	42,170,292		1.42		34,620,187		0.09
Total average deposits	$	54,800,220	1.11	%	$	45,883,469	0.07	%

Uninsured deposits represent the portion of deposit accounts in U.S. offices that exceed the FDIC insurance limit or similar state deposit insurance regime, and amounts in any other uninsured investment or deposit accounts that are classified as deposits and not subject to any federal or state deposit insurance regimes. The Company calculates its uninsured deposit balances based on the methodologies and assumptions used for regulatory reporting requirements, which includes an estimated portion, and affiliate deposits. At March 31, 2023, and December 31, 2022, total uninsured deposits as per regulatory reporting requirements and reported on Schedule RC-O of the Bank's Call Report were $20.8 billion and $22.5 billion, respectively.

The following table summarizes uninsured deposits information at March 31, 2023, after certain exclusions:

(In thousands)	At March 31, 2023
Uninsured deposits, per regulatory reporting requirements	$	20,827,690
Less: Affiliate deposits	(1,671,727)
Collateralized deposits	(5,269,060)
Uninsured deposits, after exclusions	$	13,886,903
Immediately available liquidity (1)	$	13,380,214
Uninsured deposits coverage	96.4%

(1)Reflects $6.5 billion and $2.9 billion of additional borrowing capacity from the FHLB and FRB, respectively, and $4.0 billion in unencumbered liquid assets.

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Uninsured deposits, after adjusting for affiliate deposits and collateralized deposits, represented 25.1% of total deposits at March 31, 2023. Management believes that this presentation provides a more accurate view of deposits at risk given that affiliate deposits are not customer facing, and therefore are eliminated upon consolidation, and collateralized deposits are secured by other means. As of the date of this Quarterly Report on Form 10-Q, the Company's uninsured deposits as a percentage of total deposits, adjusted for affiliate deposits and and collateralized deposits, is consistent with the percentage reported at March 31, 2023. In addition, the Company's immediately available liquidity has, and continues, to increase.

The following table summarizes the portion of U.S. time deposits in excess of the FDIC insurance limit and time deposits otherwise uninsured by contractual maturity:

(In thousands)	March 31, 2023
Portion of U.S. time deposits in excess of insurance limit	$	984,289
Time deposits otherwise uninsured with a maturity of:
3 months or less	$	647,647
Over 3 months through 6 months	86,226
Over 6 months through 12 months	242,277
Over 12 months	8,139

Additional information regarding period-end deposit balances and rates can be found within Note 7: Deposits in the Notes to Condensed Consolidated Financial Statements contained in Part I - Item 1. Financial Statements.

Borrowings. The Bank's primary borrowing sources include securities sold under agreements to repurchase, federal funds purchased, FHLB advances, and long-term debt. Total borrowed funds were $9.9 billion and $7.7 billion at March 31, 2023 and December 31, 2022, respectively, and represented 13.3% and 10.8% of total assets, respectively. The $2.2 billion increase is primarily due to a $3.1 billion increase in FHLB advances, partially offset by a $0.9 billion decrease in federal funds purchased.

The Bank had additional borrowing capacity from the FHLB of $6.5 billion and $4.3 billion at March 31, 2023, and December 31, 2022, respectively. The Bank also had additional borrowing capacity from the FRB of $2.9 billion and $1.2 billion at March 31, 2023, and December 31, 2022, respectively. Unpledged investment securities of $1.1 billion at March 31, 2023, could have been used for collateral on borrowings or to increase borrowing capacity by either $0.8 billion with the FHLB or $1.1 billion with the FRB.

Securities sold under agreements to repurchase are generally a form of short-term funding for the Bank in which it sells securities to counterparties with an agreement to buy them back in the future at a fixed price. Securities sold under agreements to repurchase totaled $0.3 billion at both March 31, 2023, and December 31, 2022.

The Bank may also purchase term and overnight federal funds to meet its short-term liquidity needs. There were no federal funds purchased at March 31, 2023, whereas federal funds purchased totaled $0.9 billion at December 31, 2022. The additional liquidity generated from the interLINK deposit sweep program allowed for the paydown during the first quarter of 2023 of higher rate federal funds purchased.

FHLB advances are not only utilized as a source of funding, but also for interest rate risk management purposes. FHLB advances totaled $8.6 billion and $5.5 billion at March 31, 2023, and December 31, 2022, respectively. The $3.1 billion increase is primarily due to short-term funding needs and the strategic decision to maintain additional liquidity.

Long-term debt consists of senior fixed-rate notes maturing in 2024 and 2029, subordinated fixed-to-floating-rate notes maturing in 2029 and 2030, and floating-rate junior subordinated notes maturing in 2033. Long-term debt totaled $1.1 billion at both March 31, 2023, and December 31, 2022.

The following table summarizes daily average balances of borrowings by type and the weighted-average rates paid thereon:

	Three months ended March 31,
	2023				2022
(Dollars in thousands)	Average Balance		Average Rate		Average Balance		Average Rate
Securities sold under agreements to repurchase	$	243,848	0.11	%	$	577,039	0.66	%
Federal funds purchased	671,175		4.62		—		—
FHLB advances	5,673,826		4.80		10,936		2.03
Long-term debt	1,072,252		3.65		896,310		3.34
Total average borrowings	$	7,661,101	4.48	%	$	1,484,285	2.26	%

Additional information regarding period-end borrowings balances and rates can be found within Note 8: Borrowings in the Notes to Condensed Consolidated Financial Statements contained in Part I - Item 1. Financial Statements.

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Federal Home Loan Bank and Federal Reserve Bank Stock. The Bank is a member of the FHLB System, which consists of eleven district Federal Home Loan Banks, each of which is subject to the supervision and regulation of the Federal Housing Finance Agency. An activity-based capital stock investment in the FHLB is required in order for the Bank to maintain its membership and access to advances and other extensions of credit for sources of funds and liquidity purposes. The FHLB capital stock investment is restricted as there is no market for it, and it can only be redeemed by the FHLB. The Bank held FHLB capital stock of $359.9 million and $221.4 million at March 31, 2023, and December 31, 2022, respectively. The most recent FHLB quarterly cash dividend was paid on May 2, 2023, in an amount equal to an annual yield of 7.55%.

The Bank is also required to hold FRB stock equal to 6% of its capital and surplus, of which 50% is paid. The remaining 50% is subject to call when deemed necessary by the Federal Reserve System. Similar to FHLB stock, the FRB capital stock investment is restricted as there is no market for it, and it can only be redeemed by the FRB. The Bank held FRB capital stock of $224.8 million and $224.5 million at March 31, 2023, and December 31, 2022, respectively. The most recent FRB
semi-annual cash dividend was paid on December 31, 2022, in an amount equal to an annual yield of 3.63%.

Uses of Funds. The Company enters into various contractual obligations in the normal course of business that require future cash payments and that could impact its short-term and long-term liquidity and capital resource needs. The following table summarizes significant fixed and determinable contractual obligations at March 31, 2023. The actual timing and amounts of future cash payments may differ from the amounts presented. Based on the Company's current liquidity position, it is expected that our sources of funds will be sufficient to fulfill these obligations when they come due.

	Payments Due by Period (1)
(In thousands)	2023		2024		2025		2026		2027		Thereafter		Total
Senior notes	$	—	$	150,000	$	—	$	—	$	—	$	300,000	$	450,000
Subordinated notes	—		—		—		—		—		499,000		499,000
Junior subordinated debt	—		—		—		—		—		77,320		77,320
FHLB advances	8,550,183		—		—		—		248		10,030		8,560,461
Securities sold under agreements to repurchase	306,154		—		—		—		—		—		306,154
Time deposits	3,168,801		1,132,496		132,543		53,306		36,616		6,017		4,529,779
Operating lease liabilities	25,520		35,817		32,625		29,568		24,584		81,932		230,046
Contingent consideration	4,798		11,241		—		—		—		—		16,039
Royalty liabilities	1,035		8,572		1,417		—		—		—		11,024
Purchase obligations (2)	120,718		25,329		13,087		5,895		2,229		1,287		168,545
Total contractual obligations	$	12,177,209	$	1,363,455	$	179,672	$	88,769	$	63,677	$	975,586	$	14,848,368

(1)Interest payments on borrowings have been excluded.

(2)Purchase obligations represent agreements to purchase goods or services of $1.0 million or more that are enforceable and legally binding and specify all significant terms.

In addition, in the normal course of business, the Company offers financial instruments with off-balance sheet risk to meet the financing needs of its customers. These transactions include commitments to extend credit, and commercial and standby letters of credit, which involve to a varying degree, elements of credit risk. Since many of these commitments are expected to expire unused or be only partially funded, the total commitment amount of $12.1 billion at March 31, 2023, does not necessarily reflect future cash payments.

The Company also enters into commitments to invest in venture capital and private equity funds, as well as LIHTC investments to assist the Bank in meeting its responsibilities under the CRA. The total unfunded commitment for these alternative investments was $437.0 million at March 31, 2023. However, the timing of capital calls cannot be reasonably estimated, and depending on the nature of the contract, the entirety of the capital committed by the Company may not be called.

Pension obligations are funded by the Company, as needed, to provide for participant benefit payments as it relates to the Company's frozen, non-contributory, qualified defined benefit pension plan. Decisions to contribute to the defined benefit pension plan are made based upon pension funding requirements under the Pension Protection Act, the maximum amount deductible under the Internal Revenue Code, the actual performance of plan assets, and trends in the regulatory environment. The Company does not currently anticipate that it will be required to contribute to the defined benefit pension plan in 2023. The Company's non-qualified supplemental executive retirement plans and other post-employment benefit plans are unfunded.

At March 31, 2023, the Company's Condensed Consolidated Balance Sheet reflects a liability for uncertain tax positions of $9.9 million and $2.1 million of accrued interest and penalties. The ultimate timing and amount of any related future cash settlements cannot be predicted with reasonable certainty.

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Additional information regarding credit-related financial instruments and alternative investments can be found within
Note 18: Commitments and Contingencies and Note 11: Variable Interest Entities, respectively, in the Notes to the Condensed Consolidated Financial Statements contained in Part I - Item 1. Financial Statements of this report. Additional information regarding defined benefit pension and other postretirement benefit plans and income taxes can be found within
Note 19: Retirement Benefit Plans and Note 9: Income Taxes, respectively, in the Notes to the Consolidated Financial Statements contained in Part II - Item 8. Financial Statements and Supplementary Data of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

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Asset/Liability Management and Market Risk

An effective asset/liability management process must balance the risks and rewards from both short-term and long-term interest rate risk when determining the Company's strategy and action. To facilitate this process, interest rate sensitivity is monitored on an ongoing basis by the Company's ALCO, whose primary goal is to manage interest rate risk and maximize net income and net economic value over time in changing interest rate environments. The ALCO meets frequently to make decisions on the Company's investment and funding portfolios based on the economic outlook, its interest rate expectations, the risk position, and other factors.

Four main tools are used for managing interest rate risk:

•the size, duration, and credit risk of the investment portfolio;

•the size and duration of the wholesale funding portfolio;

•interest rate contracts; and

•the pricing and structure of loans and deposits.

Management measures interest rate risk using simulation analysis and asset/liability modeling software to calculate the Company's earnings at risk and equity at risk. Interest rates are generally assumed to change up or down in a parallel fashion, and the net interest income results in each scenario are compared to a flat rate base scenario. The flat rate base scenario holds the end of period yield curve constant over a twelve-month forecast horizon. At March 31, 2023, and December 31, 2022, the flat rate base scenario assumed a federal funds rate of 5.00% and 4.50%, respectively. The federal funds rate target range was 4.75-5.00% at March 31, 2023, and 4.25-4.50% at December 31, 2022. Since interest rates rose sharply in 2022, and have continued to rise during the first quarter of 2023, management has incorporated the up and down 300 basis point rate scenarios back into its assessment of interest rate risk.

The following table summarizes the estimated impact that gradual parallel changes in interest rates of up and down 100, 200, and 300 basis points might have on the Company's net interest income over a twelve-month period starting at March 31, 2023, and December 31, 2022, as compared to actual net interest income and assuming no changes in interest rates:

	-300bp	-200bp	-100bp	+100bp	+200bp	+300bp
March 31, 2023	(9.3)%	(5.9)%	(2.8)%	2.5%	5.3%	8.7%
December 31, 2022	n/a	(6.9)%	(3.3)%	3.2%	6.5%	n/a

Asset sensitivity in terms of net interest income decreased at March 31, 2023, as compared to December 31, 2022, primarily due to increased interest paid on deposits, the impact of additional customer cash flow hedges entered into during the quarter, and liquidity actions taken in response to bank failures. Loans at floors were $0.4 billion at both December 31, 2022, and
March 31, 2023. While loans with floors, which are considered “in the money”, have the impact of reducing overall asset sensitivity, as interest rates continue to rise, these loans will move through their floors and reprice accordingly.

The following table summarizes the estimated impact that yield curve twists or immediate non-parallel changes in interest rates of up and down 50 and 100 basis points might have on the Company's net interest income for the subsequent twelve-month period starting at March 31, 2023, and December 31, 2022:

	Short End of the Yield Curve				Long End of the Yield Curve
	-100bp	-50bp	+50bp	+100bp	-100bp	-50bp	+50bp	+100bp
March 31, 2023	(3.3)%	(1.5)%	1.1%	2.3%	(2.3)%	(1.1)%	1.1%	2.3%
December 31, 2022	(4.2)%	(2.0)%	1.7%	3.3%	(2.4)%	(1.2)%	1.3%	2.6%

These non-parallel scenarios are modeled with the short end of the yield curve moving up or down 50 and 100 basis points, while the long end of the yield curve remains unchanged, and vice versa. The short end of the yield curve is defined as terms less than eighteen months and the long end of the yield curve is defined as terms greater than eighteen months. The results reflect the annualized impact of immediate interest rate changes.

Sensitivity to both the short end and the long end of the yield curve for net interest income decreased at March 31, 2023, as compared to December 31, 2022, primarily due to changes in balance sheet composition.

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The following table summarizes the estimated economic value of financial assets, financial liabilities, and off-balance sheet financial instruments and the corresponding estimated change in economic value if interest rates were to instantaneously increase or decrease by 100 basis points at March 31, 2023, and December 31, 2022:

(Dollars in thousands)	Book Value		Estimated Economic Value		Estimated Economic Value Change
					-100 bp			+100 bp
March 31, 2023
Assets	$	74,844,395	$	71,005,024	$	1,304,906		$	(1,300,939)
Liabilities	66,550,101		60,711,526		2,020,093			(1,745,742)
Net	$	8,294,294	$	10,293,498	$	(715,187)		$	444,803
Net change as % base net economic value					(6.9)		%	4.3		%
December 31, 2022
Assets	$	71,277,521	$	67,920,989	$1,161,794			$	(1,247,083)
Liabilities	63,221,335		55,951,495		1,959,399			(1,716,697)
Net	$	8,056,186	$	11,969,494	$(797,605)			$	469,614
Net change as % base net economic value					(6.7)%			3.9		%

Changes in economic value can best be described through duration, which is a measure of the price sensitivity of financial instruments due to changes in interest rates. For fixed-rate financial instruments, it can be thought of as the weighted-average expected time to receive future cash flows, whereas for floating-rate financial instruments, it can be thought of as the
weighted-average expected time until the next rate reset. Overall, the longer the duration, the greater the price sensitivity due to changes in interest rates. Generally, increases in interest rates reduce the economic value of fixed-rate financial assets as future discounted cash flows are worth less at higher interest rates. In a rising interest rate environment, the economic value of financial liabilities decreases for the same reason. A reduction in the economic value of financial liabilities is a benefit to the Company. Floating-rate financial instruments may have durations as short as one day, and therefore, may have very little price sensitivity due to changes in interest rates.

Duration gap represents the difference between the duration of financial assets and financial liabilities. A duration gap at or near zero would imply that the balance sheet is matched, and therefore, would exhibit no change in estimated economic value for changes in interest rates. At March 31, 2023, and December 31, 2022, the Company's duration gap was negative 1.2 years and negative 1.4 years, respectively. A negative duration gap implies that the duration of financial liabilities is longer than the duration of financial assets, and therefore, liabilities have more price sensitivity than assets and will reset their interest rates at a slower pace. Consequently, the Company's net estimated economic value would generally be expected to increase when interest rates rise, as the benefit of the decreased value of financial liabilities would more than offset the decreased value of financial assets. The opposite would generally be expected to occur when interest rates fall. Earnings would also generally be expected to increase when interest rates rise, and decrease when interest rates fall over the long term, absent the effects of any new business booked in the future. At March 31, 2023, long-term rates fell by 38 basis points as compared to December 31, 2022.

These earnings and net economic value estimates are subject to factors that could cause actual results to differ, and also assume that management does not take any additional action to mitigate any positive or negative effects from changing interest rates. Management believes that the Company's interest rate risk position at March 31, 2023, represents a reasonable level of risk given the current interest rate outlook. Management continues to monitor interest rates and other relevant factors given recent market volatility and is prepared to take additional action, as necessary.

Additional information regarding the Company's asset/liability management process can be found under the section captioned "Asset/Liability Management and Market Risk" contained in Part II - Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations of the Company's Annual Report on Form 10-K for the year ended
December 31, 2022.

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Critical Accounting Estimates

The preparation of the Company's Condensed Consolidated Financial Statements, and accompanying notes thereto, in accordance with GAAP and practices generally applicable to the financial services industry, requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, expenses, and the disclosure of contingent assets and liabilities. While management's estimates are made based on historical experience, current available information, and other factors that are deemed to be relevant, actual results could significantly differ from those estimates.

Accounting estimates are necessary in the application of certain accounting policies and can be susceptible to significant change in the near term. Critical accounting estimates are those estimates made in accordance with GAAP that involve a significant level of estimation uncertainty and have had, or are reasonably likely to have, a material impact on the Company's financial condition or results of operations. Management has identified that the Company's most critical accounting estimates are those related to the ACL on loans and leases and business combinations accounting policies. These accounting policies and their underlying estimates are discussed directly with the Audit Committee of the Board of Directors.

Allowance for Credit Losses on Loans and Leases

The ACL on loans and leases is a reserve established through a provision for credit losses charged to expense, which represents management’s best estimate of expected lifetime credit losses within the Company's loan and lease portfolios at the balance sheet date. The calculation of expected credit losses is determined using predictive methods and models that follow a
PD/LGD/EAD, loss rate, or discounted cash flow framework, and include consideration of past events, current conditions, macroeconomic variables (i.e., unemployment, gross domestic product, property values, and interest rate spreads), and reasonable and supportable economic forecasts that affect the collectability of the reported amounts. Changes to the ACL on loans and leases, and therefore, to the related provision for credit losses, can materially affect financial results.

The determination of the appropriate level of ACL on loans and leases inherently involves a high degree of subjectivity and requires the Company to make significant estimates of current credit risks and trends using existing qualitative and quantitative information, and reasonable and supportable forecasts of future economic conditions, all of which may undergo frequent and material changes. Changes in economic conditions affecting borrowers and macroeconomic variables that the Company is more susceptible to, unforeseen events such as natural disasters and pandemics, along with new information regarding existing loans, identification of additional problem loans, the fair value of underlying collateral, and other factors, both within and outside the Company's control, may indicate the need for an increase or decrease in the ACL on loans and leases.

It is difficult to estimate the sensitivity of how potential changes in any one economic factor or input might affect the overall reserve because a wide variety of factors and inputs are considered in estimating the ACL and changes in those factors and inputs considered may not occur at the same rate and may not be consistent across all product types. Further, changes in factors and inputs may also be directionally inconsistent, such that improvement in one factor may offset deterioration in others.

Executive management reviews and advises on the adequacy of the ACL on loans and leases on a quarterly basis. Although the overall balance is determined based on specific portfolio segments and individually assessed assets, the entire balance is available to absorb credit losses for any of the loan and lease portfolios.

Additional information regarding the determination of the ACL on loans and leases, including the Company's valuation methodology, can be found under the section captioned "Allowance for Credit Losses on Loans and Leases" contained elsewhere in this Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations, and within Note 1: Summary of Significant Accounting Policies in the Notes to Consolidated Financial Statements contained in
Part II - Item 8. Financial Statements and Supplementary Data included in the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

Business Combinations

The acquisition method of accounting generally requires that the identifiable assets acquired and liabilities assumed in business combinations are recorded at fair value as of the acquisition date. The determination of fair value often involves the use of internal or third-party valuation techniques, such as discounted cash flow analyses or appraisals. Particularly, the valuation techniques used to estimate the fair value of loans and leases and the core deposit intangible asset acquired in the Sterling merger include estimates related to discount rates, credit risk, and other relevant factors, which are inherently subjective. A description of the valuation methodologies used to estimate the fair values of the significant assets acquired and liabilities assumed from the Sterling merger can be found within Note 2: Mergers and Acquisitions in the Notes to Consolidated Financial Statements contained in Part II - Item 8. Financial Statements and Supplementary Data included in the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

29

ITEM 1. FINANCIAL STATEMENTS

WEBSTER FINANCIAL CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS

	March 31, 2023		December 31, 2022
(In thousands, except share data)	(Unaudited)
Assets:
Cash and due from banks	$	201,683	$	264,118
Interest-bearing deposits	2,232,388		575,825
Investment securities available-for-sale, at fair value	7,798,977		7,892,697
Investment securities held-to-maturity, net of allowance for credit losses of $282 and $182	7,063,223		6,564,697
Federal Home Loan Bank and Federal Reserve Bank stock	584,724		445,900
Loans held for sale ($811 and $1,991 valued under fair value option)	210,724		1,991
Loans and leases	50,926,523		49,764,426
Allowance for credit losses on loans and leases	(613,914)		(594,741)
Loans and leases, net	50,312,609		49,169,685
Deferred tax assets, net	315,525		371,634
Premises and equipment, net	431,432		430,184
Goodwill	2,631,465		2,514,104
Other intangible assets, net	229,845		199,342
Cash surrender value of life insurance policies	1,233,994		1,229,169
Accrued interest receivable and other assets	1,597,806		1,618,175
Total assets	$	74,844,395	$	71,277,521
Liabilities and stockholders' equity:
Deposits:
Non-interest-bearing	$	12,007,387	$	12,974,975
Interest-bearing	43,290,092		41,079,365
Total deposits	55,297,479		54,054,340
Securities sold under agreements to repurchase and other borrowings	306,154		1,151,830
Federal Home Loan Bank advances	8,560,461		5,460,552
Long-term debt (1)	1,071,413		1,073,128
Accrued expenses and other liabilities	1,314,594		1,481,485
Total liabilities	66,550,101		63,221,335
Stockholders’ equity:
Preferred stock, $0.01 par value: Authorized—3,000,000 shares;
Series F issued and outstanding—6,000 shares	145,037		145,037
Series G issued and outstanding—135,000 shares	138,942		138,942
Common stock, $0.01 par value: Authorized—400,000,000 shares;
Issued—182,778,045 shares	1,828		1,828
Paid-in capital	6,137,743		6,173,240
Retained earnings	2,856,745		2,713,861
Treasury stock, at cost—8,065,663 and 8,770,472 shares	(397,981)		(431,762)
Accumulated other comprehensive (loss), net of tax	(588,020)		(684,960)
Total stockholders' equity	8,294,294		8,056,186
Total liabilities and stockholders' equity	$	74,844,395	$	71,277,521

See accompanying Notes to Condensed Consolidated Financial Statements.

30

WEBSTER FINANCIAL CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited)

	Three months ended
	March 31,
(In thousands, except per share data)	2023		2022
Interest Income:
Interest and fees on loans and leases	$	716,356	$	346,276
Taxable interest and dividends on investments	100,872		53,724
Non-taxable interest on investment securities	13,684		9,802
Loans held for sale	16		26
Total interest income	830,928		409,828
Interest Expense:
Deposits	150,204		7,399
Securities sold under agreements to repurchase and other borrowings	7,827		957
Federal Home Loan Bank advances	68,126		56
Long-term debt	9,488		7,168
Total interest expense	235,645		15,580
Net interest income	595,283		394,248
Provision for credit losses	46,749		188,845
Net interest income after provision for credit losses	548,534		205,403
Non-interest Income:
Deposit service fees	45,436		47,827
Loan and lease related fees	23,005		22,679
Wealth and investment services	6,587		10,597
Mortgage banking activities	59		428
Increase in cash surrender value of life insurance policies	6,728		6,732
(Loss) on sale of investment securities	(16,747)		—
Other income	5,698		15,772
Total non-interest income	70,766		104,035
Non-interest Expense:
Compensation and benefits	173,200		184,002
Occupancy	20,171		18,615
Technology and equipment	44,366		55,401
Intangible assets amortization	9,497		6,387
Marketing	3,476		3,509
Professional and outside services	32,434		54,091
Deposit insurance	12,323		5,222
Other expense	37,000		32,558
Total non-interest expense	332,467		359,785
Income (loss) before income taxes	286,833		(50,347)
Income tax expense (benefit)	65,829		(33,600)
Net income (loss)	221,004		(16,747)
Preferred stock dividends	4,163		3,431
Net income (loss) available to common stockholders	$	216,841	$	(20,178)
Earnings (loss) per common share:
Basic	$	1.24	$	(0.14)
Diluted	1.24		(0.14)

See accompanying Notes to Condensed Consolidated Financial Statements.

31

WEBSTER FINANCIAL CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited)

	Three months ended
	March 31,
(In thousands)	2023		2022
Net income (loss)	$	221,004	$	(16,747)
Other comprehensive income (loss), net of tax:
Investment securities available-for-sale	71,618		(244,879)
Derivative instruments	21,374		(7,844)
Defined benefit pension and other postretirement benefit plans	3,948		(420)
Other comprehensive income (loss), net of tax	96,940		(253,143)
Comprehensive income (loss)	$	317,944	$	(269,890)

See accompanying Notes to Condensed Consolidated Financial Statements.

32

WEBSTER FINANCIAL CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (Unaudited)

	At or for the three months ended March 31, 2023
(In thousands, except per share data)	Preferred Stock		Common Stock		Paid-In Capital		Retained Earnings		Treasury Stock, at cost		Accumulated Other Comprehensive (Loss), Net of Tax		Total Stockholders' Equity
Balance at December 31, 2022	$	283,979	$	1,828	$	6,173,240	$	2,713,861	$	(431,762)	$	(684,960)	$	8,056,186
Adoption of ASU No. 2022-02	—		—		—		(4,245)		—		—		(4,245)
Net income	—		—		—		221,004		—		—		221,004
Other comprehensive income, net of tax	—		—		—		—		—		96,940		96,940
Common stock dividends and equivalents—$0.40 per share	—		—		—		(69,712)		—		—		(69,712)
Series F preferred stock dividends—$328.125 per share	—		—		—		(1,969)		—		—		(1,969)
Series G preferred stock dividends—$16.25 per share	—		—		—		(2,194)		—		—		(2,194)
Stock-based compensation	—		—		(33,471)		—		45,117		—		11,646
Exercise of stock options	—		—		(2,026)		—		3,749		—		1,723
Common shares acquired from stock compensation plan activity	—		—		—		—		(15,085)		—		(15,085)
Balance at March 31, 2023	$	283,979	$	1,828	$	6,137,743	$	2,856,745	$	(397,981)	$	(588,020)	$	8,294,294
	At or for the three months ended March 31, 2022
(In thousands, except per share data)	Preferred Stock		Common Stock		Paid-In Capital		Retained Earnings		Treasury Stock, at cost		Accumulated Other Comprehensive (Loss), Net of Tax		Total Stockholders' Equity
Balance at December 31, 2021	$	145,037	$	937	$	1,108,594	$	2,333,288	$	(126,951)	$	(22,580)	$	3,438,325
Net (loss)	—		—		—		(16,747)		—		—		(16,747)
Other comprehensive (loss), net of tax	—		—		—		—		—		(253,143)		(253,143)
Common stock dividends and equivalents—$0.40 per share	—		—		—		(36,234)		—		—		(36,234)
Series F preferred stock dividends—$328.125 per share	—		—		—		(1,969)		—		—		(1,969)
Series G preferred stock dividends—$16.25 per share	—		—		—		(1,463)		—		—		(1,463)
Issued in business contribution	138,942		891		5,040,291		—		—		—		5,180,124
Stock-based compensation	—		—		(19,098)		—		28,101		—		9,003
Exercise of stock options	—		—		(347)		—		758		—		411
Common shares acquired from stock compensation plan activity	—		—		—		—		(18,967)		—		(18,967)
Common stock repurchase program	—		—		—		—		(122,205)		—		(122,205)
Balance at March 31, 2022	$	283,979	$	1,828	$	6,129,440	$	2,276,875	$	(239,264)	$	(275,723)	$	8,177,135

See accompanying Notes to Condensed Consolidated Financial Statements.

33

WEBSTER FINANCIAL CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)

	Three months ended March 31,
(In thousands)	2023		2022
Operating Activities:
Net income (loss)	$	221,004	$	(16,747)
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses	46,749		188,845
Deferred income tax expense (benefit)	13,911		(28,543)
Stock-based compensation expense	11,646		9,003
Depreciation and amortization of property and equipment and intangible assets	20,745		16,784
(Accretion) and amortization of interest-earning assets and borrowings	(4,388)		(19,854)
Amortization of low-income housing tax credit investments	21,478		10,377
Amortization of mortgage servicing assets	341		570
Reduction of right-of-use lease assets	7,525		7,928
Net (gain) on sale, net of write-downs, of foreclosed properties and repossessed assets	(323)		(103)
Loss on disposal of property and equipment	5		1,662
Loss on sale of investment securities	16,747		—
Originations of loans held for sale	(2,590)		(23,056)
Proceeds from sale of loans held for sale	3,832		26,753
Net (gain) on mortgage banking activities	(77)		(397)
Net (gain) on sale of loans not originated for sale	(95)		(1,816)
(Increase) in cash surrender value of life insurance policies	(6,728)		(6,732)
(Gain) from life insurance policies	(528)		(38)
Net (increase) decrease in derivative contract assets and liabilities	(48,570)		215,423
Net (increase) in accrued interest receivable and other assets	(8,150)		(69,651)
Net (decrease) in accrued expenses and other liabilities	(78,240)		(95,151)
Net cash provided by operating activities	214,294		215,257
Investing Activities:
Purchases of available-for-sale securities	(357,784)		(714,208)
Proceeds from principal payments, maturities, and calls of available-for-sale securities	119,033		283,474
Proceeds from sale of available-for-sale securities	395,358		—
Purchases of held-to-maturity securities	(599,387)		(456,139)
Proceeds from principal payments, maturities, and calls of held-to-maturity securities	99,992		280,080
Net (increase) decrease in Federal Home Loan Bank and Federal Reserve Bank stock	(138,824)		16,215
Alternative investments (capital calls), net of distributions	(3,184)		(5,661)
Net (increase) in loans	(1,478,986)		(674,472)
Proceeds from sale of loans not originated for sale	106,779		51,127
Proceeds from sale of foreclosed properties and repossessed assets	1,745		231
Additions to property and equipment	(10,293)		(4,644)
Proceeds from life insurance policies	—		7,793
Net cash paid for acquisition of interLINK	(157,646)		—
Net cash paid for acquisition of Bend	—		(54,407)
Net cash received in merger with Sterling	—		513,960
Net cash (used for) investing activities	(2,023,197)		(756,651)
See accompanying Notes to Condensed Consolidated Financial Statements.

34

WEBSTER FINANCIAL CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited), continued
	Three months ended March 31,
(In thousands)	2023		2022
Financing Activities:
Net increase in deposits	1,236,463		1,235,442
Proceeds from Federal Home Loan Bank advances	15,450,000		—
Repayments of Federal Home Loan Bank advances	(12,350,091)		(94)
Net increase in securities sold under agreements to repurchase and other borrowings	(845,676)		(183,347)
Dividends paid to common stockholders	(70,140)		(36,234)
Dividends paid to preferred stockholders	(4,163)		(1,969)
Exercise of stock options	1,723		411
Common stock repurchase program	—		(122,205)
Common shares acquired related to stock compensation plan activity	(15,085)		(18,967)
Net cash provided by financing activities	3,403,031		873,037
Net increase in cash and cash equivalents	1,594,128		331,643
Cash and cash equivalents at beginning of period	839,943		461,570
Cash and cash equivalents at end of period	$	2,434,071	$	793,213
Supplemental disclosure of cash flow information:
Interest paid	$	221,182	$	15,457
Income taxes paid	6,334		7,112
Non-cash investing and financing activities:
Transfer of loans and leases to foreclosed properties and repossessed assets	$	607	$	213
Transfer of loans and leases to loans held-for-sale	316,596		42,431
Merger with Sterling: (1)
Tangible assets acquired	17,607		26,919,975
Goodwill and other intangible assets	(25,561)		2,149,532
Liabilities assumed	(7,954)		24,403,343
Common stock issued	—		5,041,182
Preferred stock exchanged	—		138,942
Acquisition of Bend: (1)
Tangible assets acquired	294		15,731
Goodwill and other intangible assets	(294)		38,966
Liabilities assumed	—		290
Acquisition of interLINK:
Tangible assets acquired	6,417		—
Goodwill and other intangible assets	183,216		—
Liabilities assumed	15,948		—
Contingent consideration	16,039		—

(1)The activities presented for 2023 reflect adjustments recorded within the one-year measurement period, which were identified as a result of extended information gathering and new information that arose from integration activities. Additional information regarding these amounts can be found within Note 2: Mergers and Acquisitions and Note 6: Goodwill and Other Intangible Assets.

See accompanying Notes to Condensed Consolidated Financial Statements.

35

Note 1: Summary of Significant Accounting Policies

Nature of Operations

Webster Financial Corporation is a bank holding company and financial holding company under the BHC Act, incorporated under the laws of Delaware in 1986, and headquartered in Stamford, Connecticut. Webster Bank, along with its HSA Bank division, is a leading commercial bank in the Northeast that delivers a wide range of digital and traditional financial solutions to businesses, individuals, families, and partners across its three differentiated lines of business: Commercial Banking, HSA Bank, and Consumer Banking. While its core footprint spans from New York to Rhode Island and Massachusetts, certain businesses operate in extended geographies. HSA Bank is one of the largest providers of employee benefit solutions in the United States.

Basis of Presentation

The unaudited Condensed Consolidated Financial Statements of the Company have been prepared in accordance with GAAP for interim financial information and Article 10 of Regulation S-X. Certain information and footnote disclosures required by GAAP for complete financial statements have been omitted or condensed. Therefore, the condensed consolidated financial statements should be read in conjunction with the Company's Annual Report on Form 10-K for the year ended
December 31, 2022. The results of operations for the three months ended March 31, 2023, are not necessarily indicative of the future results that may be attained for the entire year or other interim periods.

In the opinion of management, all necessary adjustments have been reflected to present fairly the financial position, results of operations, and cash flows for the reporting periods presented. Intercompany transactions and balances have been eliminated in consolidation. Assets under administration or assets under management that the Company holds or manages in a fiduciary or agency capacity for customers are not included in the Condensed Consolidated Financial Statements.

Use of Estimates

The preparation of the Condensed Consolidated Financial Statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the Condensed Consolidated Financial Statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Accounting Standards Adopted in the Current Period

ASU No. 2022-02—Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures

In March 2022, the FASB issued ASU No. 2022-02, which eliminates the accounting guidance for TDRs by creditors in Subtopic 310-40, Receivables—Troubled Debt Restructurings by Creditors, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Specifically, rather than applying the recognition and measurement guidance for TDRs, an entity must apply the loan refinancing and restructuring guidance in paragraphs 310-20-35-9 through 35-11 to determine whether a modification results in a new loan or a continuation of an existing loan. In addition, the Update requires that an entity disclose current-period gross write-offs by year of origination for financing receivables and net investments in leases within the scope of Subtopic 326-20, Financial Instruments—Credit Losses—Measured at Amortized Cost in the vintage disclosures required by paragraph 326-20-50-6.

Modifications to borrowers experiencing financial difficulty include principal forgiveness, interest rate reductions, payment delays, term extensions, or combinations thereof. Expected losses or recoveries on loans where modifications have been granted to borrowers experiencing financial difficulty have been factored into the ACL on loans and leases. Upon adoption of ASU 2022-02, the Company is no longer required to use a discounted cash flow (or reconcilable) method to measure the ACL resulting from a modification with a borrower experiencing financial difficulty. Accordingly, the Company now applies the same credit loss methodology it uses for similar loans that were not modified.

The Company adopted the Update on January 1, 2023. The Company elected the option to apply the modified retrospective transition method related to the recognition and measurement of TDRs, which resulted in a $5.9 million increase to the Allowance for Credit Losses on Loans and Leases and a $1.7 million decrease to Deferred Tax Assets, net, with a corresponding $4.2 million cumulative-effect adjustment to retained earnings as of the adoption date. The enhanced disclosure requirements provided for by the Update were adopted on a prospective basis. Reporting periods prior to the adoption of the Update are accounted for and presented in accordance with the applicable GAAP.

Refer to Note 4: Loans and Leases for additional information regarding modifications granted to borrowers experiencing financial difficulty.

36

ASU No. 2022-01—Derivatives and Hedging (Topic 815): Fair Value Hedging—Portfolio Layer Method

In March 2022, the FASB issued ASU No. 2022-01—Derivatives and Hedging (Topic 815): Fair Value Hedging—Portfolio Layer Method, which expands the current last-of-layer method of hedge accounting that permits only one hedged layer to allow multiple hedged layers of a single closed portfolio. To reflect that expansion, the last-of-layer method is renamed the portfolio layer method. Additionally, the amendments in this Update: (i) expand the scope of the portfolio layer method to include non-prepayable assets; (ii) specify eligible hedging instruments in a single-layer hedge; (iii) provide additional guidance on the accounting for and disclosure of hedge basis adjustments; and (iv) specify how hedge basis adjustments should be considered when determining credit losses for the assets included in the closed portfolio. An entity may also reclassify debt securities classified in the held-to-maturity category at the date of adoption to the available-for-sale category only if the entity applies portfolio layer method hedging to one or more closed portfolios that include those debt securities within a 30-day period.

The Company adopted the Update on January 1, 2023 on a prospective basis. The adoption of this guidance did not have a material impact on the Company's Consolidated Financial Statements. The entity did not reclassify any debt securities from the held-to-maturity category to the available-for-sale category as permitted upon adoption.

ASU No. 2021-08—Business Combinations (Topic 805)—Accounting for Contract Assets and Contract Liabilities from Contracts with Customers

In October 2021, the FASB issued ASU No. 2021-08—Business Combinations (Topic 805)—Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires that an acquirer recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. At the acquisition date, an acquirer should account for the related revenue contracts in accordance with Topic 606 as if it had originated the contracts.

The Company adopted the Update on January 1, 2023 on a prospective basis. The adoption of this guidance did not have a material impact on the Company's Consolidated Financial Statements.

Relevant Accounting Standards Issued But Not Yet Adopted

ASU No. 2023-02—Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (a consensus of the Emerging Issues Task Force)

In March 2023, the FASB issued ASU No. 2023-02—Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (a consensus of the Emerging Issues Task Force), which permits reporting entities to elect to account for their tax equity investments, regardless of the program from which the income tax credits are received, using the proportional amortization method if certain conditions are met. A reporting entity may make an accounting policy election to apply the proportional amortization method in accordance with paragraph 323-740-25-4 on a tax-credit-program-by-tax-credit-program basis rather than electing to applying the proportional amortization method at the reporting entity level or to individual investments.

A reporting entity that applies the proportional amortization method to qualifying tax equity investments must account for the receipt of the investment tax credits using the flow-through method under Topic 740, Income Taxes, even if the entity applies the deferral method for other investment tax credit received. The amendments also remove certain guidance for Qualified Affordable Housing Project Investments, require the application of the delayed equity contribution guidance to all tax equity investments, and require specific disclosures that must be applied to all investments that generate income tax credits and other income tax benefits from a tax credit program for which the entity has elected to apply the proportional amortization method in accordance with Subtopic 323-740.

The Update is effective for fiscal years beginning after December 15, 2023, and interim periods within those fiscal years, with early adoption permitted. The amendments generally must be applied on either a modified retrospective or retrospective basis with a cumulative-effect adjustment to retained earnings reflecting the difference between the previous method used to account for the tax equity investment and the application of the proportional amortization method since the investment was entered into. The Company is in the early assessment stages of evaluating the amendments and the impact of adoption on its Consolidated Financial Statements and disclosures.

37

ASU No. 2023-01—Leases (Topic 842): Common Control Arrangements

In March 2023, the FASB issued ASU No. 2023-01—Leases (Topic 842): Common Control Arrangements, which requires that leasehold improvements associated with leases between entities under common control be: (i) amortized by the lessee over the useful live of the leasehold improvements to the common control group (regardless of the lease term) as long as the lessee controls the use of the underlying asset (the leased asset) through a lease; however, if the lessor obtained the right to control the use of the underlying asset through a lease with another entity not within the same common control group, the amortization period may not exceed the amortization period of the common control group; and (ii) accounted for as a transfer between entities under common control through an adjustment to equity, if, and when, the lessee no longer controls the use of the underlying asset. Additionally, those leasehold improvements are subject to the impairment guidance in Topic 360, Property, Plant, and Equipment.

The Update is effective for fiscal years beginning after December 15, 2023, and interim periods within those fiscal years, with early adoption permitted. The amendments either may be applied prospectively to all new and existing leasehold improvements recognized on or after the adoption date with any remaining unamortized balance of existing leasehold improvements amortized over their remaining useful life to the common control group determined at that date; or retrospectively to the beginning of the period in which the entity first applied Topic 842, with any leasehold improvements that otherwise would not have been amortized or impaired recognized through a cumulative-effect adjustment to the opening balance of retained earnings at the beginning of the earliest period presented in accordance with Topic 842. The Company is in the early assessment stages of evaluating the amendments and the impact of adoption on its Consolidated Financial Statements.

ASU No. 2022-03—Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions

In June 2022, the FASB issued ASU No. 2022-03—Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions, which clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security, and therefore, is not considered in measuring fair value. The amendments also clarify that an entity cannot, as a separate unit of account, recognize and measure a contractual sale restriction, and requires the following disclosures for equity securities subject to contractual sale restrictions: (i) the fair value of equity securities subject to contractual sale restrictions reflected on the balance sheet; (ii) the nature and remaining duration of the restriction(s); and (iii) the circumstances that could cause a lapse in the restriction(s).

The Update is effective for fiscal years beginning after December 15, 2023, and interim periods within those fiscal years, with early adoption permitted. For all entities except investment companies, the amendments should be applied prospectively with any adjustments from the adoption of the amendments recognized in earnings and disclosed on the date of adoption. The adoption of this guidance is not expected to have a material impact on the Consolidated Financial Statements as the Company does not currently consider contractual restrictions on the sale of an equity security in measuring fair value.

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Note 2: Mergers and Acquisitions

interLINK Acquisition

On January 11, 2023, Webster acquired 100% ownership of interLINK from StoneCastle Partners LLC. interLINK is a technology-enabled deposit management platform that administers over $9 billion of deposits from FDIC-insured cash sweep programs between banks and broker/dealers and clearing firms. The acquisition provides the Company with access to a unique source of core deposit funding and scalable liquidity and adds another technology-enabled channel to its already differentiated, omnichannel deposit gathering capabilities.

The total purchase price of the acquisition was $174.6 million, which included cash paid of $158.6 million and $16.0 million of contingent consideration measured at fair value. The contingent consideration is payable in cash upon the achievement of discrete customer and deposit growth events within three years of the acquisition date. Additional information regarding the determination of fair value for contingent consideration liabilities can be found within Note 14: Fair Value Measurements.

The transaction has been accounted for as a business combination, and resulted in the addition of $31.4 million in net assets measured at fair value, which primarily comprised $36.0 million of broker dealer relationship intangible assets, $6.0 million of developed technology, a $4.0 million non-competition agreement intangible asset, and $15.9 million of royalty liabilities. Fair value estimates of the acquired assets and assumed liabilities are subject to adjustment during the one-year measurement period following the closing of the acquisition. The $143.2 million of preliminary goodwill recognized is deductible for tax purposes.

Bend Financial, Inc. Acquisition

On February 18, 2022, Webster acquired 100% of the equity interests of Bend, a cloud-based platform solution provider for HSAs, in exchange for cash of $55.3 million. The transaction was accounted for as a business combination, and resulted in the addition of $19.6 million in net assets measured at fair value, which primarily comprised $15.9 million of internal use software and a $3.0 million customer relationship intangible asset. The Company's valuations of the assets acquired and liabilities assumed in the Bend Acquisition were considered final as of March 31, 2023.

Merger with Sterling Bancorp

On January 31, 2022, Webster completed its merger with Sterling. The transaction was accounted for as a business combination. Accordingly, the purchase price was allocated to the assets acquired and liabilities assumed based on their fair values as of the merger effective date. The determination of fair value requires management to make estimates about discount rates, future expected cash flows, market conditions, and other future events that are highly subjective in nature and are subject to change. Fair value estimates of the assets acquired and liabilities assumed were subject to adjustment during the one-year measurement period following the closing of the merger if new information was obtained about facts and circumstances that existed as of the merger effective date that, if known, would have affected the measurement of the amounts recognized as of that date. Measurement period adjustments made during the first quarter of 2023 totaled a net $25.6 million, which pertained to other assets and other liabilities and their related deferred tax impact. The Company's valuations of the assets acquired and liabilities assumed in the merger with Sterling were considered final as of March 31, 2023.

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The following table summarizes the allocation of the purchase price to the fair value of the identifiable assets acquired and liabilities assumed from Sterling as of January 31, 2022:

(In thousands)	Unpaid Principal Balance		Fair Value
Purchase price consideration			$	5,180,300
Assets:
Cash and due from banks			510,929
Interest-bearing deposits			3,207
Investment securities available-for-sale			4,429,948
Federal Home Loan Bank and Federal Reserve Bank Stock			150,502
Loans held for sale			23,517
Loans and leases:
Commercial non-mortgage	$	5,570,782	5,527,657
Asset-based	694,137		683,958
Commercial real estate	6,790,600		6,656,405
Multi-family	4,303,381		4,255,906
Equipment financing	1,350,579		1,314,311
Warehouse lending	647,767		643,754
Residential	1,313,785		1,281,637
Home equity	132,758		122,553
Other consumer	12,559		12,525
Total loans and leases	$	20,816,348	20,498,706
Deferred tax assets, net			(59,716)
Premises and equipment			264,421
Other intangible assets			210,100
Bank-owned life insurance policies			645,510
Accrued interest receivable and other assets			986,729
Total assets acquired			$	27,663,853
Liabilities:
Non-interest-bearing deposits			$	6,620,248
Interest-bearing deposits			16,643,755
Securities sold under agreements to repurchase and other borrowings			27,184
Long-term debt			516,881
Accrued expenses and other liabilities			589,689
Total liabilities assumed			$	24,397,757
Net assets acquired			3,266,096
Goodwill			$	1,914,204

In connection with the merger with Sterling, the Company recorded $1.9 billion of goodwill, which represents the excess of the purchase price over the fair value of the net assets acquired. Information regarding the allocation of goodwill to the Company's reportable segments can be found within Note 16: Segment Reporting. For a description of the valuation methodologies used to estimate the fair values of the significant assets acquired and liabilities assumed, refer to Note 2: Mergers and Acquisitions of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

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Merger-Related Expenses and Exit Activities

The following table summarizes total merger-related expenses, which were primarily incurred in connection with the merger with Sterling:

	Three months ended March 31,
(In thousands)	2023		2022
Compensation and benefits (1)	$	11,112	$	41,585
Occupancy	735		356
Technology and equipment (2)	(1,709)		19,085
Professional and outside services (3)	20,009		44,457
Marketing	135		—
Other expense (4)	(909)		3,012
Total merger-related expenses	$	29,373	$	108,495

(1)Comprised primarily of severance and employee retention costs, and executive synergy stock awards.

(2)Comprised primarily of technology contract termination costs. Includes a reduction of $4.8 million to a previously recorded technology-related contract termination charge during the three months ended March 31, 2023, due to a change in the expected use of certain services post core conversion.

(3)Comprised primarily of advisory, legal, accounting, and other professional fees.

(4)Comprised primarily of contract termination costs, disposals on property and equipment, and other miscellaneous expenses. Includes a reduction of $1.7 million to a previously recorded contract termination charge during the three months ended
March 31, 2023, due to a decrease in volume usage.

The following tables summarize the change in accrued expenses and other liabilities as it relates to severance and contract termination costs, which were primarily incurred in connection with the merger with Sterling:

	Three months ended March 31, 2023
(In thousands)	Severance		Contract Termination		Total
Balance, beginning of period	$	7,583	$	30,362	$	37,945
Additions charged to expense	6,196		—		6,196
Cash payments	(6,993)		—		(6,993)
Other	(825)		(6,587)		(7,412)
Balance, end of period	$	5,961	$	23,775	$	29,736
	Three months ended March 31, 2022
(In thousands)	Severance		Contract Termination		Total
Balance, beginning of period	$	10,835	$	—	$	10,835
Additions charged to expense	26,971		17,704		44,675
Cash payments	(1,766)		—		(1,766)
Other (1)	(3,884)		—		(3,884)
Balance, end of period	$	32,156	$	17,704	$	49,860

(1)Reflects the release of $3.9 million from the Company's severance accrual, as the Company re-evaluated its strategic priorities as a combined organization in connection with the Sterling merger, which resulted in modifications to the Company's strategic initiatives that were previously announced in December 2020.

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Note 3: Investment Securities

Available-for-Sale

The following tables summarize the amortized cost and fair value of available-for-sale securities by major type:

	At March 31, 2023
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value
U.S. Treasury notes	$	407,224	$	—	$	(20,452)	$	386,772
Government agency debentures	302,067		—		(39,725)		262,342
Municipal bonds and notes	1,707,779		7		(62,558)		1,645,228
Agency CMO	61,728		—		(4,266)		57,462
Agency MBS	2,496,654		368		(266,172)		2,230,850
Agency CMBS	1,889,561		3,542		(257,851)		1,635,252
CMBS	927,591		—		(25,533)		902,058
Corporate debt	714,359		—		(88,836)		625,523
Private label MBS	48,325		—		(4,063)		44,262
Other	10,061		—		(833)		9,228
Total available-for-sale securities	$	8,565,349	$	3,917	$	(770,289)	$	7,798,977
	At December 31, 2022
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value
U.S. Treasury notes	$	755,968	$	—	$	(38,928)	$	717,040
Government agency debentures	302,018		—		(43,644)		258,374
Municipal bonds and notes	1,719,110		5		(85,913)		1,633,202
Agency CMO	64,984		—		(5,019)		59,965
Agency MBS	2,461,337		26		(303,339)		2,158,024
Agency CMBS	1,664,600		—		(258,114)		1,406,486
CMBS	929,588		—		(32,948)		896,640
CLO	2,108		—		(1)		2,107
Corporate debt	795,999		—		(91,587)		704,412
Private label MBS	48,895		—		(4,646)		44,249
Other	12,548		—		(350)		12,198
Total available-for-sale securities	$	8,757,155	$	31	$	(864,489)	$	7,892,697

(1)Accrued interest receivable on available-for-sale securities of $41.4 million and $36.9 million at March 31, 2023, and
December 31, 2022, respectively, is excluded from amortized cost and is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets.

Unrealized Losses

The following tables summarize the gross unrealized losses and fair value of available-for-sale securities by length of time each major security type has been in a continuous unrealized loss position:

	At March 31, 2023
	Less Than 12 Months				12 Months or More				Total
(Dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Number of Holdings	Fair Value		Unrealized Losses
U.S. Treasury notes	$	—	$	—	$	386,772	$	(20,452)	14	$	386,772	$	(20,452)
Government agency debentures	71,134		(3,714)		191,208		(36,011)		19	262,342		(39,725)
Municipal bonds and notes	15,479		(239)		1,598,253		(62,319)		430	1,613,732		(62,558)
Agency CMO	7,915		(228)		49,547		(4,038)		38	57,462		(4,266)
Agency MBS	86,133		(3,319)		2,045,564		(262,853)		459	2,131,697		(266,172)
Agency CMBS	64,576		(933)		1,397,565		(256,918)		133	1,462,141		(257,851)
CMBS	155,493		(2,056)		746,565		(23,477)		51	902,058		(25,533)
Corporate debt	13,041		(1,158)		612,482		(87,678)		92	625,523		(88,836)
Private label MBS	44,262		(4,063)		—		—		3	44,262		(4,063)
Other	4,810		(190)		4,168		(643)		2	8,978		(833)
Total	$	462,843	$	(15,900)	$	7,032,124	$	(754,389)	1,241	$	7,494,967	$	(770,289)

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	At December 31, 2022
	Less Than Twelve Months				Twelve Months or Longer				Total
(Dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Number of Holdings	Fair Value		Unrealized Losses
U.S. Treasury notes	$	337,563	$	(19,167)	$	379,477	$	(19,761)	23	$	717,040	$	(38,928)
Government agency debentures	258,374		(43,644)		—		—		19	258,374		(43,644)
Municipal bonds and notes	1,616,771		(85,913)		—		—		444	1,616,771		(85,913)
Agency CMO	55,693		(4,640)		4,272		(379)		39	59,965		(5,019)
Agency MBS	1,641,544		(206,412)		515,206		(96,927)		460	2,156,750		(303,339)
Agency CMBS	485,333		(68,674)		921,153		(189,440)		132	1,406,486		(258,114)
CMBS	273,150		(8,982)		598,490		(23,966)		52	871,640		(32,948)
CLO	—		—		2,107		(1)		1	2,107		(1)
Corporate debt	692,990		(89,692)		8,421		(1,895)		105	701,411		(91,587)
Private label MBS	44,249		(4,646)		—		—		3	44,249		(4,646)
Other	12,198		(350)		—		—		4	12,198		(350)
Total	$	5,417,865	$	(532,120)	$	2,429,126	$	(332,369)	1,282	$	7,846,991	$	(864,489)

The $94.2 million decrease in gross unrealized losses from December 31, 2022, to March 31, 2023, is primarily due to a decline in long-term market rates. The Company assesses each available-for-sale security that is in an unrealized loss position to determine whether the decline in fair value below the amortized cost basis is a result from a credit loss or other factors. At both March 31, 2023, and December 31, 2022, no ACL was recorded on available-for-sale securities as each of the securities in the Company's portfolio are investment grade, current as to principal and interest, and their price changes are consistent with interest and credit spreads when adjusting for convexity, rating, and industry differences.

At March 31, 2023, based on current market conditions and the Company's current targeted balance sheet composition strategy, the Company has the intent to hold its available-for-sale securities with unrealized loss positions through the anticipated recovery period, and it is more-likely-than-not that the Company will not have to sell these available-for-sale securities before the recovery of the entire amortized cost basis. The issuers of these available-for-sale securities have not, to the Company’s knowledge, established any cause for default. Market prices are expected to approach par as the securities approach maturity.

Contractual Maturities

The following table summarizes the amortized cost and fair value of available-for-sale securities by contractual maturity:

	At March 31, 2023
(In thousands)	Amortized Cost		Fair Value
Maturing within 1 year	$	41,886	$	41,593
After 1 year through 5 years	953,221		903,665
After 5 through 10 years	1,469,500		1,364,238
After 10 years	6,100,742		5,489,481
Total available-for-sale securities	$	8,565,349	$	7,798,977

Available-for-sale securities that are not due at a single maturity date have been categorized based on the maturity date of the underlying collateral. Actual principal cash flows may differ from this categorization as borrowers have the right to repay their obligations with or without prepayment penalties.

Sales of Available-for Sale Securities

During the three months ended March 31, 2023, the Company sold U.S. Treasury notes and Corporate debt securities classified as available-for-sale for proceeds of $395.4 million, which resulted in gross realized losses of $20.5 million. Because $3.8 million of the total loss recognized was attributed to a decline in credit quality, that portion of the charge has been included in the Provision for credit losses on the accompanying Condensed Consolidated Statements of Income. There were no sales of available-for-sale securities during the three months ended March 31, 2022.

Other Information

The following table summarizes available-for-sale securities pledged for deposits, borrowings, and other purposes:

(In thousands)	At March 31, 2023		At December 31, 2022
Pledged for deposits	$	2,868,000	$	2,573,072
Pledged for borrowings and other	3,848,039		1,195,101
Total available-for-sale securities pledged	$	6,716,039	$	3,768,173

At March 31, 2023, the Company had callable available-for-sale securities with an aggregate carrying value of $2.8 billion.

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Held-to-Maturity

The following tables summarize the amortized cost, fair value, and ACL on held-to-maturity securities by major type:

	At March 31, 2023
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value		Allowance		Net Carrying Value
Agency CMO	$	27,101	$	—	$	(1,727)	$	25,374	$	—	$	27,101
Agency MBS	2,613,113		1,458		(300,457)		2,314,114		—		2,613,113
Agency CMBS	3,364,186		3,790		(410,763)		2,957,213		—		3,364,186
Municipal bonds and notes	927,501		2,957		(29,188)		901,270		282		927,219
CMBS	131,604		—		(8,893)		122,711		—		131,604
Total held-to-maturity securities	$	7,063,505	$	8,205	$	(751,028)	$	6,320,682	$	282	$	7,063,223

	At December 31, 2022
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value		Allowance		Net Carrying Value
Agency CMO	$	28,358	$	—	$	(2,060)	$	26,298	$	—	$	28,358
Agency MBS	2,626,114		827		(339,592)		2,287,349		—		2,626,114
Agency CMBS	2,831,949		845		(407,648)		2,425,146		—		2,831,949
Municipal bonds and notes	928,845		1,098		(47,183)		882,760		182		928,663
CMBS	149,613		—		(9,713)		139,900		—		149,613
Total held-to-maturity securities	$	6,564,879	$	2,770	$	(806,196)	$	5,761,453	$	182	$	6,564,697

(1)Accrued interest receivable on held-to-maturity securities of $20.2 million and $24.2 million at March 31, 2023, and
December 31, 2022, respectively, is excluded from amortized cost and is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets.

An ACL on held-to-maturity securities is recorded for certain Municipal bonds and notes to account for expected lifetime credit losses. Agency securities represent obligations issued by a U.S. government-sponsored enterprise or other federally-related entity and are either explicitly or implicitly guaranteed and therefore, assumed to be zero loss. Held-to-maturity securities with gross unrealized losses and no ACL are considered to be high credit quality, and therefore, zero credit loss has been recorded.

The following table summarizes the activity in the ACL on held-to-maturity securities:

	Three months ended March 31,
(In thousands)	2023		2022
Balance, beginning of period	$	182	$	214
Provision (benefit) for credit losses	100		(10)
Balance, end of period	$	282	$	204

Contractual Maturities

The following table summarizes the amortized cost and fair value of held-to-maturity securities by contractual maturity:

	At March 31, 2023
(In thousands)	Amortized Cost		Fair Value
Maturing within 1 year	$	6,093	$	6,115
After 1 year through 5 years	52,893		53,722
After 5 through 10 years	338,353		324,864
After 10 years	6,666,166		5,935,981
Total held-to-maturity securities	$	7,063,505	$	6,320,682

Held-to-maturity securities that are not due at a single maturity date have been categorized based on the maturity date of the underlying collateral. Actual principal cash flows may differ from this categorization as borrowers have the right to prepay their obligations with or without prepayment penalties.

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Credit Quality Information

The Company monitors the credit quality of held-to-maturity securities through credit ratings provided by Standard & Poor's Rating Services, Moody's Investor Services, Fitch Ratings, Inc., Kroll Bond Rating Agency, or DBRS Inc. Credit ratings express opinions about the credit quality of a security, and are updated at each quarter end. Investment grade securities are rated BBB- or higher by S&P, or Baa3 or higher by Moody's, and are generally considered by the rating agencies and market participants to be of low credit risk. Conversely, securities rated below investment grade, which are labeled as speculative grade by the rating agencies, are considered to have distinctively higher credit risk than investment grade securities. There were no speculative grade held-to-maturity securities at March 31, 2023, or December 31, 2022. Held-to-maturity securities that are not rated are collateralized with U.S. Treasury obligations.

The following tables summarize the amortized cost of held-to-maturity securities based on their lowest publicly available credit rating:

	March 31, 2023
	Investment Grade
(In thousands)	Aaa		Aa1		Aa2		Aa3		A1		A2		Not Rated
Agency CMO	$	—	$	27,101	$	—	$	—	$	—	$	—	$	—
Agency MBS	—		2,613,113		—		—		—		—		—
Agency CMBS	—		3,364,186		—		—		—		—		—
Municipal bonds and notes	350,578		163,138		254,843		116,343		38,134		4,165		300
CMBS	131,604		—		—		—		—		—		—
Total held-to-maturity securities	$	482,182	$	6,167,538	$	254,843	$	116,343	$	38,134	$	4,165	$	300

	December 31, 2022
	Investment Grade
(In thousands)	Aaa		Aa1		Aa2		Aa3		A1		A2		Not Rated
Agency CMO	$	—	$	28,358	$	—	$	—	$	—	$	—	$	—
Agency MBS	—		2,626,114		—		—		—		—		—
Agency CMBS	—		2,831,949		—		—		—		—		—
Municipal bonds and notes	336,035		163,312		255,235		116,870		38,177		4,165		15,051
CMBS	149,613		—		—		—		—		—		—
Total held-to-maturity securities	$	485,648	$	5,649,733	$	255,235	$	116,870	$	38,177	$	4,165	$	15,051

At March 31, 2023, and December 31, 2022, there were no held-to-maturity securities past due under the terms of their agreements nor in non-accrual status.

Other Information

The following table summarizes held-to-maturity securities pledged for deposits, borrowings, and other purposes:

(In thousands)	At March 31, 2023		At December 31, 2022
Pledged for deposits	$	1,573,285	$	1,596,777
Pledged for borrowings and other	5,057,769		260,735
Total held-to-maturity securities pledged	$	6,631,054	$	1,857,512

At March 31, 2023, the Company had callable held-to-maturity securities with an aggregate carrying value of $0.9 billion.

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Note 4: Loans and Leases

The following table summarizes loans and leases by portfolio segment and class:

(In thousands)	At March 31, 2023		At December 31, 2022
Commercial non-mortgage	$	16,939,373	$	16,392,795
Asset-based	1,760,527		1,821,642
Commercial real estate	13,499,139		12,997,163
Multi-family	7,014,599		6,621,982
Equipment financing	1,601,109		1,628,393
Warehouse lending	474,328		641,976
Commercial portfolio	41,289,075		40,103,951
Residential	8,001,563		7,963,420
Home equity	1,580,569		1,633,107
Other consumer	55,316		63,948
Consumer portfolio	9,637,448		9,660,475
Loans and leases	$	50,926,523	$	49,764,426

The carrying amount of loans and leases at March 31, 2023, and December 31, 2022, includes net unamortized
(discounts)/premiums and net unamortized deferred (fees)/costs totaling $(58.6) million and $(68.7) million, respectively. Accrued interest receivable of $246.1 million and $226.3 million at March 31, 2023, and December 31, 2022, respectively, is excluded from the carrying amount of loans and leases and is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets. At March 31, 2023, the Company had pledged $15.0 billion of eligible loans as collateral to support borrowing capacity at the FHLB.

Non-Accrual and Past Due Loans and Leases

The following tables summarize the aging of accrual and non-accrual loans and leases by class:

	At March 31, 2023
(In thousands)	30-59 Days Past Due and Accruing		60-89 Days Past Due and Accruing		90 or More Days Past Due and Accruing		Non-accrual		Total Past Due and Non-accrual		Current		Total Loans and Leases
Commercial non-mortgage	$	6,916	$	162	$	215	$	69,129	$	76,422	$	16,862,951	$	16,939,373
Asset-based	—		—		—		9,428		9,428		1,751,099		1,760,527
Commercial real estate	15,171		—		175		33,966		49,312		13,449,827		13,499,139
Multi-family	1,929		—		—		—		1,929		7,012,670		7,014,599
Equipment financing	2,472		105		—		13,018		15,595		1,585,514		1,601,109
Warehouse lending	—		—		—		—		—		474,328		474,328
Commercial portfolio	26,488		267		390		125,541		152,686		41,136,389		41,289,075
Residential	7,112		3,347		—		25,291		35,750		7,965,813		8,001,563
Home equity	3,977		1,649		—		28,873		34,499		1,546,070		1,580,569
Other consumer	415		104		213		106		838		54,478		55,316
Consumer portfolio	11,504		5,100		213		54,270		71,087		9,566,361		9,637,448
Total	$	37,992	$	5,367	$	603	$	179,811	$	223,773	$	50,702,750	$	50,926,523

	At December 31, 2022
(In thousands)	30-59 Days Past Due and Accruing		60-89 Days Past Due and Accruing		90 or More Days Past Due and Accruing		Non-accrual		Total Past Due and Non-accrual		Current		Total Loans and Leases
Commercial non-mortgage	$	8,434	$	821	$	645	$	71,884	$	81,784	$	16,311,011	$	16,392,795
Asset-based	5,921		—		—		20,024		25,945		1,795,697		1,821,642
Commercial real estate	1,494		23,492		68		39,057		64,111		12,933,052		12,997,163
Multi-family	1,157		—		—		636		1,793		6,620,189		6,621,982
Equipment financing	806		9,988		—		12,344		23,138		1,605,255		1,628,393
Warehouse lending	—		—		—		—		—		641,976		641,976
Commercial portfolio	17,812		34,301		713		143,945		196,771		39,907,180		40,103,951
Residential	8,246		3,083		—		25,424		36,753		7,926,667		7,963,420
Home equity	5,293		2,820		—		27,924		36,037		1,597,070		1,633,107
Other consumer	1,028		85		13		148		1,274		62,674		63,948
Consumer portfolio	14,567		5,988		13		53,496		74,064		9,586,411		9,660,475
Total	$	32,379	$	40,289	$	726	$	197,441	$	270,835	$	49,493,591	$	49,764,426

46

The following table provides additional information on non-accrual loans and leases:

	At March 31, 2023				At December 31, 2022
(In thousands)	Non-accrual		Non-accrual with No Allowance		Non-accrual		Non-accrual with No Allowance
Commercial non-mortgage	$	69,129	$	12,382	$	71,884	$	12,598
Asset-based	9,428		1,330		20,024		1,491
Commercial real estate	33,966		1,502		39,057		90
Multi-family	—		—		636		—
Equipment financing	13,018		1,895		12,344		2,240
Commercial portfolio	125,541		17,109		143,945		16,419
Residential	25,291		10,674		25,424		10,442
Home equity	28,873		15,114		27,924		15,193
Other consumer	106		4		148		5
Consumer portfolio	54,270		25,792		53,496		25,640
Total	$	179,811	$	42,901	$	197,441	$	42,059

Interest on non-accrual loans and leases that would have been recognized as additional interest income had the loans and leases been current in accordance with their original terms totaled $6.1 million and $4.4 million for the three months ended
March 31, 2023, and 2022, respectively.

Allowance for Credit Losses on Loans and Leases

The following table summarizes the change in the ACL on loans and leases by portfolio segment:

	At or for the three months ended March 31,
	2023						2022
(In thousands)	Commercial Portfolio		Consumer Portfolio		Total		Commercial Portfolio		Consumer Portfolio		Total
ACL on loans and leases:
Balance, beginning of period	$	533,125	$	61,616	$	594,741	$	257,877	$	43,310	$	301,187
Adoption of ASU No. 2022-02	7,704		(1,831)		5,873		—		—		—
Initial allowance for PCD loans and leases (1)	—		—		—		78,376		9,669		88,045
Provision (benefit)	38,757		(936)		37,821		184,327		4,741		189,068
Charge-offs	(26,410)		(1,098)		(27,508)		(11,248)		(1,120)		(12,368)
Recoveries	1,574		1,413		2,987		1,364		2,075		3,439
Balance, end of period	$	554,750	$	59,164	$	613,914	$	510,696	$	58,675	$	569,371
Individually evaluated for credit losses	27,459		8,590		36,049		32,736		12,057		44,793
Collectively evaluated for credit losses	$	527,291	$	50,574	$	577,865	$	477,960	$	46,618	$	524,578

(1)Represents the establishment of the initial reserve for PCD loans and leases, which is reported net of $48.3 million of day one charge-offs recognized at the date of acquisition in accordance with GAAP.

Credit Quality Indicators

To measure credit risk for the commercial portfolio, the Company employs a dual grade credit risk grading system for estimating the PD and LGD. The credit risk grade system assigns a rating to each borrower and to the facility, which together form a Composite Credit Risk Profile. The credit risk grade system categorizes borrowers by common financial characteristics that measure the credit strength of borrowers and facilities by common structural characteristics. The Composite Credit Risk Profile has ten grades, with each grade corresponding to a progressively greater risk of loss. Grades (1) to (6) are considered pass ratings, and grades (7) to (10) are considered criticized, as defined by the regulatory agencies. A (7) "Special Mention" rating has a potential weakness that, if left uncorrected, may result in deterioration of the repayment prospects for the asset. A (8) "Substandard" rating has a well-defined weakness that jeopardizes the full repayment of the debt. A (9) "Doubtful" rating has all of the same weaknesses as a substandard asset with the added characteristic that the weakness makes collection or liquidation in full given current facts, conditions, and values improbable. Assets classified as a (10) "Loss" rating are considered uncollectible and are charged-off. Risk ratings, which are assigned to differentiate risk within the portfolio, are reviewed on an ongoing basis and revised to reflect changes in a borrower's current financial position and outlook, risk profile, and the related collateral and structural position. Loan officers review updated financial information or other loan factors on at least an annual basis for all pass rated loans to assess the accuracy of the risk grade. Criticized loans undergo more frequent reviews and enhanced monitoring.

To measure credit risk for the consumer portfolio, the most relevant credit characteristic is the FICO score, which is a widely used credit scoring system that ranges from 300 to 850. A lower FICO score is indicative of higher credit risk and a higher FICO score is indicative of lower credit risk. FICO scores are updated on at least a quarterly basis.

47

The following tables summarize the amortized cost basis of commercial loans and leases by Composite Credit Risk Profile grade and origination year:

	At March 31, 2023
(In thousands)	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Commercial non-mortgage:
Risk rating:
Pass	$	867,446	$	5,084,158	$	1,781,158	$	864,566	$	708,271	$	1,156,948	$	5,992,440	$	16,454,987
Special mention	25,083		62,638		24,644		12,727		15,640		8,631		30,522		179,885
Substandard	22,393		59,838		15,155		46,558		35,660		56,930		67,967		304,501
Total commercial non-mortgage	914,922		5,206,634		1,820,957		923,851		759,571		1,222,509		6,090,929		16,939,373
Current period gross write-offs	324		103		101		395		169		2,105		—		3,197
Asset-based:
Risk rating:
Pass	2,000		21,486		—		8,868		10,585		51,172		1,514,179		1,608,290
Special mention	—		—		—		—		—		495		66,053		66,548
Substandard	—		—		—		—		1,330		—		84,359		85,689
Total asset-based	2,000		21,486		—		8,868		11,915		51,667		1,664,591		1,760,527
Current period gross write-offs	—		—		—		—		13,189		—		—		13,189
Commercial real estate:
Risk rating:
Pass	921,252		3,438,768		1,999,831		1,481,136		1,547,577		3,591,701		139,886		13,120,151
Special mention	4,225		22,788		43,548		42,519		51,379		74,390		4,499		243,348
Substandard	—		515		2,453		212		31,137		101,323		—		135,640
Total commercial real estate	925,477		3,462,071		2,045,832		1,523,867		1,630,093		3,767,414		144,385		13,499,139
Current period gross write-offs	—		—		—		—		—		8,950		—		8,950
Multi-family:
Risk rating:
Pass	508,429		1,930,324		1,051,536		449,185		666,060		2,189,520		93,523		6,888,577
Special mention	—		37,686		—		13,243		370		40,800		8,402		100,501
Substandard	—		—		—		377		—		25,144		—		25,521
Total multi-family	508,429		1,968,010		1,051,536		462,805		666,430		2,255,464		101,925		7,014,599
Current period gross write-offs	—		—		—		—		—		1,033		—		1,033
Equipment financing:
Risk rating:
Pass	132,662		367,476		316,521		295,379		277,878		145,561		—		1,535,477
Special mention	—		—		170		—		11,583		6,540		—		18,293
Substandard	—		3,183		14,918		12,013		4,527		12,698		—		47,339
Total equipment financing	132,662		370,659		331,609		307,392		293,988		164,799		—		1,601,109
Current period gross write-offs	—		—		—		—		—		41		—		41
Warehouse lending:
Risk rating:
Pass	—		—		—		—		—		—		474,328		474,328
Total warehouse lending	—		—		—		—		—		—		474,328		474,328
Current period gross write-offs	—		—		—		—		—		—		—		—
Total commercial portfolio	$	2,483,490	$	11,028,860	$	5,249,934	$	3,226,783	$	3,361,997	$	7,461,853	$	8,476,158	$	41,289,075
Current period gross write-offs	$	324	$	103	$	101	$	395	$	13,358	$	12,129	$	—	$	26,410

48

	At December 31, 2022
(In thousands)	2022		2021		2020		2019		2018		Prior		Revolving Loans Amortized Cost Basis		Total
Commercial non-mortgage:
Pass	$	5,154,781	$	1,952,158	$	965,975	$	792,977	$	593,460	$	780,200	$	5,670,532	$	15,910,083
Special mention	104,277		15,598		21,168		263		14,370		7,770		40,142		203,588
Substandard	28,203		11,704		69,954		36,604		70,634		16,852		41,917		275,868
Doubtful	—		—		—		1		—		—		3,255		3,256
Total commercial non-mortgage	5,287,261		1,979,460		1,057,097		829,845		678,464		804,822		5,755,846		16,392,795
Asset-based:
Pass	19,659		3,901		9,424		14,413		5,163		55,553		1,551,250		1,659,363
Special mention	—		—		—		—		—		—		80,476		80,476
Substandard	—		—		—		1,491		—		—		80,312		81,803
Total asset-based	19,659		3,901		9,424		15,904		5,163		55,553		1,712,038		1,821,642
Commercial real estate:
Pass	3,420,635		2,246,672		1,556,185		1,605,869		1,058,730		2,681,052		97,832		12,666,975
Special mention	21,878		8,995		7,264		37,570		47,419		66,652		1,000		190,778
Substandard	519		2,459		216		31,163		47,021		57,997		—		139,375
Doubtful	—		—		—		1		—		34		—		35
Total commercial real estate	3,443,032		2,258,126		1,563,665		1,674,603		1,153,170		2,805,735		98,832		12,997,163
Multi-family:
Pass	1,992,980		1,057,705		507,065		694,066		444,564		1,748,337		51,655		6,496,372
Special mention	37,677		—		—		95		40,307		726		8,838		87,643
Substandard	—		—		382		—		12,681		24,904		—		37,967
Total multi-family	2,030,657		1,057,705		507,447		694,161		497,552		1,773,967		60,493		6,621,982
Equipment financing:
Pass	388,641		345,792		331,419		308,441		98,874		83,264		—		1,556,431
Special mention	—		185		—		11,965		6,775		25		—		18,950
Substandard	314		16,711		18,436		5,016		5,307		7,228		—		53,012
Total equipment financing	388,955		362,688		349,855		325,422		110,956		90,517		—		1,628,393
Warehouse lending:
Pass	—		—		—		—		—		—		641,976		641,976
Total warehouse lending	—		—		—		—		—		—		641,976		641,976
Total commercial portfolio	$	11,169,564	$	5,661,880	$	3,487,488	$	3,539,935	$	2,445,305	$	5,530,594	$	8,269,185	$	40,103,951

49

The following tables summarize the amortized cost basis of consumer loans by FICO score and origination year:

	At March 31, 2023
(In thousands)	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Residential:
Risk rating:
800+	$	15,014	$	681,916	$	1,043,662	$	468,357	$	150,282	$	993,219	$	—	$	3,352,450
740-799	69,297		866,867		863,689		308,974		111,803		716,299		—		2,936,929
670-739	18,719		346,423		326,999		91,487		62,585		393,008		—		1,239,221
580-669	63		46,328		52,355		14,004		10,532		125,882		—		249,164
579 and below	—		53,275		3,563		3,963		99,840		63,158		—		223,799
Total residential	103,093		1,994,809		2,290,268		886,785		435,042		2,291,566		—		8,001,563
Current period gross write-offs	—		—		—		—		—		211		—		211
Home equity:
Risk rating:
800+	6,211		26,483		35,954		25,557		8,524		63,613		434,492		600,834
740-799	4,088		29,016		31,860		18,237		6,556		38,748		375,534		504,039
670-739	4,421		15,017		17,246		6,262		4,153		34,796		257,878		339,773
580-669	408		2,984		2,504		1,483		903		13,456		74,873		96,611
579 and below	202		419		766		643		529		6,120		30,633		39,312
Total home equity	15,330		73,919		88,330		52,182		20,665		156,733		1,173,410		1,580,569
Current period gross write-offs	—		—		—		—		—		108		—		108
Other consumer:
Risk rating:
800+	140		443		207		479		843		266		17,207		19,585
740-799	266		782		2,589		1,332		1,933		570		7,675		15,147
670-739	154		838		409		1,815		3,117		975		8,836		16,144
580-669	58		304		216		297		694		159		1,294		3,022
579 and below	22		120		43		41		127		55		1,010		1,418
Total other consumer	640		2,487		3,464		3,964		6,714		2,025		36,022		55,316
Current period gross write-offs	435		—		3		114		126		101		—		779
Total consumer portfolio	$	119,063	$	2,071,215	$	2,382,062	$	942,931	$	462,421	$	2,450,324	$	1,209,432	$	9,637,448
Current period gross write-offs	$	435	$	—	$	3	$	114	$	126	$	420	$	—	$	1,098

	At December 31, 2022
(In thousands)	2022		2021		2020		2019		2018		Prior		Revolving Loans Amortized Cost Basis		Total
Residential:
800+	$	527,408	$	954,568	$	469,518	$	160,596	$	28,361	$	997,409	$	—	$	3,137,860
740-799	963,026		946,339		311,295		111,913		43,684		689,771		—		3,066,028
670-739	381,515		350,671		103,999		62,365		18,451		384,687		—		1,301,688
580-669	40,959		49,648		14,484		5,836		2,357		138,107		—		251,391
579 and below	52,464		3,693		2,057		84,032		1,299		62,908		—		206,453
Total residential	1,965,372		2,304,919		901,353		424,742		94,152		2,272,882		—		7,963,420
Home equity:
800+	25,475		35,129		25,612		7,578		12,545		55,352		465,318		627,009
740-799	26,743		35,178		17,621		8,111		7,765		32,270		398,692		526,380
670-739	18,396		16,679		8,175		3,635		7,614		30,060		259,646		344,205
580-669	2,848		3,068		1,520		1,456		1,163		13,607		76,614		100,276
579 and below	426		386		651		661		563		4,736		27,814		35,237
Total home equity	73,888		90,440		53,579		21,441		29,650		136,025		1,228,084		1,633,107
Other consumer:
800+	495		218		544		1,045		247		56		19,196		21,801
740-799	888		2,624		1,959		2,494		941		364		12,218		21,488
670-739	977		603		2,480		4,238		1,041		118		6,107		15,564
580-669	211		117		337		801		173		54		2,223		3,916
579 and below	169		101		29		116		36		21		707		1,179
Total other consumer	2,740		3,663		5,349		8,694		2,438		613		40,451		63,948
Total consumer portfolio	$	2,042,000	$	2,399,022	$	960,281	$	454,877	$	126,240	$	2,409,520	$	1,268,535	$	9,660,475

50

Collateral Dependent Loans and Leases

A loan or lease is considered collateral dependent when the borrower is experiencing financial difficulty and repayment is substantially expected to be provided through the operation or sale of collateral. At March 31, 2023, and December 31, 2022, the carrying amount of collateral dependent commercial loans and leases totaled $28.1 million and $43.8 million, respectively, and the carrying amount of collateral dependent consumer loans totaled $40.4 million and $45.2 million, respectively. Commercial non-mortgage, asset-based, and equipment financing loans and leases are generally secured by machinery and equipment, inventory, receivables, or other non-real estate assets, whereas commercial real estate, multi-family, residential, home equity, and other consumer loans are secured by real estate. The ACL for collateral dependent loans and leases is individually assessed based on the fair value of the collateral less costs to sell. At March 31, 2023, and December 31, 2022, the collateral value associated with collateral dependent loans and leases totaled $79.1 million and $108.0 million, respectively.

Modifications for Borrowers Experiencing Financial Difficulty

On January 1, 2023, the Company adopted ASU 2022-02, which eliminates the accounting guidance for TDRs and enhances the disclosure requirements for certain loan modifications when a borrower is experiencing financial difficulty. For a description of the Company's accounting policies related to the accounting and reporting of TDRs, for which comparative period information is presented, refer to Note 1: Summary of Significant Accounting Policies of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

In certain circumstances, the Company enters into agreements to modify the terms of loans to borrowers experiencing financial difficulty. A variety of solutions are offered to borrowers experiencing financial difficulty, including loan modifications that may result in principal forgiveness, interest rate reductions, payment delays, term extension, or a combination thereof. The following is a description of each of these types of modifications:

•Principal forgiveness – The outstanding principal balance of a loan may be reduced by a specified amount. Principal forgiveness may occur voluntarily as part of a negotiated agreement with a borrower, or involuntarily through a bankruptcy proceeding.

•Interest rate reductions – Includes modifications where the contractual interest rate of the loan has been reduced.

•Payment delays – Deferral arrangements which allow borrowers to delay a scheduled loan payment to a later date. Deferred loan payments do not affect the original contractual terms of the loan. Modifications that result in only an insignificant payment delay are not disclosed. The Company considers that a three month or less payment delay generally would be considered insignificant.

•Term extensions – Extensions of the original contractual maturity date of the loan.

•Combination – Combination includes loans that have undergone more than one of the above loan modification types.

Significant judgment is required to determine if a borrower is experiencing financial difficulty. These considerations vary by portfolio class. The Company has identified modifications to borrowers experiencing financial difficulty that are included in its disclosures as follows:

•Commercial: The Company evaluates modifications of loans to commercial borrowers that are rated substandard or worse, and includes the modifications in its disclosures to the extent that the modification is considered
other-than-insignificant.

•Consumer: The Company evaluates modifications of loans to consumer borrowers subject to its loss mitigation program and includes them in its disclosures to the extent that the modification is considered other-than-insignificant.

The following table summarizes the amortized cost basis of loans modified to borrowers experiencing financial difficulty, disaggregated by class and type of concession granted during the three months ended March 31, 2023:

(In thousands)	Interest Rate Reduction		Term Extension		Combination - Term Extension and Interest Rate Reduction		Total		% of Total Class (2)
Commercial non-mortgage	$	7	$	29,884	$	—	$	29,891	0.2	%
Commercial real estate	—		17,116		—		17,116		0.1
Home equity	—		57		64		121		—
Total (1)	$	7	$	47,057	$	64	$	47,128	0.1	%

(1)The total amortized cost excludes accrued interest receivable of $0.2 million.

(2)Represents the amortized cost of loans modified during the reporting period as a percentage of the period-end loan balance by class.

51

The following table describes the financial effect of the modifications made to borrowers experiencing financial difficulty during the three months ended March 31, 2023:

	Financial Effect
Interest Rate Reduction:
Commercial non-mortgage	Reduced weighted average interest rate by 4.5%
Term Extension:
Commercial non-mortgage	Extended term by a weighted average 0.6 years
Commercial real estate	Extended term by a weighted average 1.0 year
Home equity	Extended term by a weighted average 8.8 years
Combination:
Home equity	Extended term by a weighted average 5.1 years and reduced weighted average interest rate by 1.5%

The Company closely monitors the performance of the loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table summarizes the aging of loans that have been modified during the three months ended March 31, 2023:

(In thousands)	Current		30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due		Non-Accrual		Total
Commercial non-mortgage	$	3,562	$	—	$	—	$	—	$	26,329	$	29,891
Commercial real estate	17,116		—		—		—		—		17,116
Home equity	23		—		—		—		98		121
Total	$	20,701	$	—	$	—	$	—	$	26,427	$	47,128

There were no loans made to borrowers experiencing financial difficulty that were modified during the three months ended March 31, 2023, and that subsequently defaulted. For the purposes of this disclosure, a payment default is defined as 90 or more days past due and still accruing. Non-accrual loans that are modified to borrowers experiencing financial difficulty remain on non-accrual status until the borrower has demonstrated performance under the modified terms. Commitments to lend additional funds to borrowers experiencing financial difficulty whose loans had been modified were not significant.

52

Troubled Debt Restructurings Prior to the Adoption of ASU 2022-02

The following table summarizes information related to TDRs:

(In thousands)	At December 31, 2022
Accrual status	$	110,868
Non-accrual status	83,954
Total TDRs	$	194,822
Additional funds committed to borrowers in TDR status	$	1,724
Specific reserves for TDRs included in the ACL on loans and leases:
Commercial portfolio	$	14,578
Consumer portfolio	3,559

The following table summarizes loans and leases modified as TDRs by class and modification type during the three months ended March 31, 2022:

(Dollars in thousands)	Number of Contracts	Recorded Investment (1)
Commercial non-mortgage
Term extension	2	$	98
Combination - Term extension and interest rate reduction	2	92
Residential
Other (2)	5	2,985
Home equity
Combination - Term extension and interest rate reduction	4	44
Other (2)	17	1,242
Total TDRs	30	$	4,461

(1)Post-modification balances approximated pre-modification balances. The aggregate amount of charge-offs due to restructurings was not significant.

(2)Other included covenant modifications, forbearance, discharges under Chapter 7 bankruptcy, or other concessions.

During the three months ended March 31, 2022, the portion of TDRs deemed to uncollectible and charged-off totaled $9.1 million for the commercial portfolio and $0.1 million for the consumer portfolio. There were no significant loans and leases modified as TDRs within the previous twelve months and for which there was a payment default during the three months ended March 31, 2022.

53

Note 5: Transfers and Servicing of Financial Assets

The Company originates and sells residential mortgage loans in the normal course of business, primarily to
government-sponsored entities through established programs and securitizations. Residential mortgage origination fees, adjustments for changes in fair value, and any gain or loss recognized on residential mortgage loans sold are included in Mortgage banking activities on the accompanying Condensed Consolidated Statements of Income.

The following table summarizes information related to mortgage banking activities:

	Three months ended March 31,
(In thousands)	2023		2022
Net gain on sale	$	77	$	397
Origination fees	11		135
Fair value adjustment	(29)		(104)
Mortgage banking activities	$	59	$	428
Proceeds from sale	$	3,832	$	26,753
Loans sold with servicing rights retained	1,229		25,363

Under certain circumstances, the Company may decide to sell loans that were not originated or otherwise acquired with the intent to sell. During the three months ended March 31, 2023, and 2022, the Company sold commercial loans not originated for sale for proceeds of $106.7 million and $51.1 million, respectively, which resulted in net gains on sale of $0.1 million and
$1.8 million, respectively.

In addition, the Company may retain servicing rights on its residential mortgage loans sold in the normal course of business. At March 31, 2023, and December 31, 2022, the aggregate principal balance of residential mortgage loans serviced for others totaled $1.9 billion and $2.0 billion, respectively. Mortgage servicing rights are held at the lower of cost, net of accumulated amortization, or fair market value, and are included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets. The Company assesses mortgage servicing rights for impairment each quarter and establishes or adjusts the valuation allowance to the extent that amortized cost exceeds the estimated fair market value.

The following table presents the change in the carrying amount for mortgage servicing rights:

	Three months ended March 31,
(In thousands)	2023		2022
Balance, beginning of period	$	9,515	$	9,237
Acquired from Sterling	—		859
Additions	15		209
Amortization	(341)		(570)
Balance, end of period	$	9,189	$	9,735

Loan servicing fees, net of mortgage servicing rights amortization, were $1.3 million and $1.1 million for the three months ended March 31, 2023, and 2022, respectively, and are included in Loan and lease related fees on the accompanying Condensed Consolidated Statements of Income. Information regarding the fair value of loans held for sale and mortgage servicing rights can be found within Note 14: Fair Value Measurements.

54

Note 6: Goodwill and Other Intangible Assets

Goodwill

The following table summarizes changes in the carrying amount of goodwill:

(In thousands)	At March 31, 2023		At December 31, 2022
Balance, beginning of period	$	2,514,104	$	538,373
interLINK acquisition	143,216		—
Sterling merger (1)	(25,561)		1,939,765
Bend acquisition (1)	(294)		35,966
Balance, end of period	$	2,631,465	$	2,514,104

(1)Reflects adjustments recorded within the one-year measurement period, which were identified as a result of extended information gathering and new information that arose from integration activities. The allocation of the purchase price and goodwill calculations for both the Sterling merger and Bend acquisition are final as of March 31, 2023.

Information regarding goodwill by reportable segment can be found within Note 16: Segment Reporting.

Other Intangible Assets

The following table summarizes other intangible assets:

	At March 31, 2023						At December 31, 2022
(In thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Core deposits	$	146,037	$	41,237	$	104,800	$	146,037	$	36,710	$	109,327
Customer relationships (1)	151,000		29,755		121,245		115,000		24,985		90,015
Non-competition agreement (1)	4,000		200		3,800		—		—		—
Total other intangible assets	$	301,037	$	71,192	$	229,845	$	261,037	$	61,695	$	199,342

(1)The increase in the gross carrying amount is attributed to the acquisition of interLINK, in which the Company identified and recorded a $36.0 million intangible asset for broker dealer relationships, which is being amortized on an accelerated basis over an estimated useful life of 10 years, and a $4.0 million non-competition agreement, which is being amortized on a straight-line basis over an estimated useful life of 5 years.

The remaining estimated aggregate future amortization expense for other intangible assets is as follows:

(In thousands)	At March 31, 2023
Remainder of 2023	$	26,710
2024	29,618
2025	25,956
2026	25,565
2027	25,565
Thereafter	96,431

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Note 7: Deposits

The following table summarizes deposits by type:

(In thousands)	At March 31, 2023		At December 31, 2022
Non-interest-bearing:
Demand	$	12,007,387	$	12,974,975
Interest-bearing:
Health savings accounts	8,272,507		7,944,892
Checking	8,560,750		9,237,529
Money market	14,203,858		11,062,652
Savings	7,723,198		8,673,343
Time deposits	4,529,779		4,160,949
Total interest-bearing	$	43,290,092	$	41,079,365
Total deposits	$	55,297,479	$	54,054,340
Time deposits, money market, and interest-bearing checking obtained through brokers (1)	$	1,268,506	$	1,964,873
Aggregate amount of time deposit accounts that exceeded the FDIC limit	1,457,289		1,894,950
Demand deposit overdrafts reclassified as loan balances	6,832		8,721

(1)Excludes $2.9 billion of money market sweep deposits received through interLINK at March 31, 2023.

The following table summarizes the scheduled maturities of time deposits:

(In thousands)	At March 31, 2023
Remainder of 2023	$	3,168,801
2024	1,132,496
2025	132,543
2026	53,306
2027	36,616
Thereafter	6,017
Total time deposits	$	4,529,779

Note 8: Borrowings

The following table summarizes securities sold under agreements to repurchase and other borrowings:

	At March 31, 2023				At December 31, 2022
(Dollars in thousands)	Total Outstanding		Rate		Total Outstanding		Rate
Securities sold under agreements to repurchase (1)	$	306,154	0.11	%	$	282,005	0.11	%
Federal funds purchased	—		—		869,825		4.44
Securities sold under agreements to repurchase and other borrowings	$	306,154	0.11	%	$	1,151,830	3.38	%

(1)The Company has the right of offset with respect to all repurchase agreement assets and liabilities. Total securities sold under agreements to repurchase are presented as gross transactions, as only liabilities are outstanding for the periods presented.

Securities sold under agreements to repurchase, all of which have an original maturity of one year or less for the periods presented, are used as a source of borrowed funds and are collateralized by Agency MBS and Corporate debt. The Company's repurchase agreement counterparties are limited to primary dealers in government securities, and commercial and municipal customers through the Corporate Treasury function. The Company may also purchase unsecured term and overnight federal funds to satisfy its short-term liquidity needs.

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The following table summarizes information for FHLB advances:

	At March 31, 2023				At December 31, 2022
(Dollars in thousands)	Total Outstanding		Weighted- Average Contractual Coupon Rate		Total Outstanding		Weighted- Average Contractual Coupon Rate
Maturing within 1 year	$	8,550,183	5.18	%	$	5,450,187	4.40	%
After 1 but within 2 years	—		—		—		—
After 2 but within 3 years	—		—		—		—
After 3 but within 4 years	—		—		—		—
After 4 but within 5 years	486		1.35		252		—
After 5 years	9,792		2.07		10,113		2.09
Total FHLB advances	$	8,560,461	5.18	%	$	5,460,552	4.39	%
Aggregate carrying value of assets pledged as collateral	$	19,778,232			$	13,692,379
Remaining borrowing capacity at FHLB	6,509,929				4,291,326

The Bank may borrow up to the amount of eligible mortgages and securities that have been pledged as collateral to secure FHLB advances, which includes certain residential and commercial real estate loans, home equity lines of credit, CMBS, Agency MBS, Agency CMO, U.S. Treasury notes, and MBS. The Bank was in compliance with its FHLB collateral requirements at both March 31, 2023, and December 31, 2022.

The following table summarizes long-term debt:

(Dollars in thousands)		At March 31, 2023		At December 31, 2022
4.375%	Senior fixed-rate notes due February 15, 2024	$	150,000	$	150,000
4.100%	Senior fixed-rate notes due March 25, 2029 (1)	332,119		333,458
4.000%	Subordinated fixed-to-floating rate notes due December 30, 2029	274,000		274,000
3.875%	Subordinated fixed-to-floating rate notes due November 1, 2030	225,000		225,000
Junior subordinated debt Webster Statutory Trust I floating-rate notes due September 17, 2033 (2)		77,320		77,320
Total senior and subordinated debt		1,058,439		1,059,778
Discount on senior fixed-rate notes		(701)		(756)
Debt issuance cost on senior fixed-rate notes		(1,723)		(1,824)
Premium on subordinated fixed-to-floating rate notes		15,398		15,930
Long-term debt (1)		$	1,071,413	$	1,073,128

(1)The classification of debt as long-term is based on the initial terms of greater than one year as of the date of issuance.

(2)The Company de-designated its fair value hedging relationship on these senior notes in 2020. A basis adjustment of $32.1 million and $33.5 million at March 31, 2023, and December 31, 2022, respectively, is included in the carrying value and is being amortized over the remaining life of the senior notes.

(3)The interest rate on the Webster Statutory Trust I floating-rate notes, which varies quarterly based on 3-month LIBOR plus 2.95%, was 7.86% and 7.69% at March 31, 2023, and December 31, 2022, respectively.

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Note 9: Accumulated Other Comprehensive Income (Loss), Net of Tax

The following tables summarize the changes in each component of accumulated other comprehensive income (loss), net of tax:

	Three months ended March 31, 2023
(In thousands)	Securities Available For Sale		Derivative Instruments		Defined Benefit Pension and Other Postretirement Benefit Plans		Total
Balance, beginning of period	$	(631,160)	$	(8,874)	$	(44,926)	$	(684,960)
Other comprehensive income before reclassifications	56,635		20,782		3,553		80,970
Amounts reclassified from accumulated other comprehensive (loss)	14,983		592		395		15,970
Other comprehensive income, net of tax	71,618		21,374		3,948		96,940
Balance, end of period	$	(559,542)	$	12,500	$	(40,978)	$	(588,020)

	Three months ended March 31, 2022
(In thousands)	Securities Available For Sale		Derivative Instruments		Defined Benefit Pension and Other Postretirement Benefit Plans		Total
Balance, beginning of period	$	4,536	$	6,070	$	(33,186)	$	(22,580)
Other comprehensive (loss) before reclassifications	(244,879)		(8,613)		(719)		(254,211)
Amounts reclassified from accumulated other comprehensive income (loss)	—		769		299		1,068
Other comprehensive (loss), net of tax	(244,879)		(7,844)		(420)		(253,143)
Balance, end of period	$	(240,343)	$	(1,774)	$	(33,606)	$	(275,723)

The following table further summarizes the amounts reclassified from accumulated other comprehensive income (loss):

Accumulated Other Comprehensive Income (Loss) Components	Three months ended				Associated Line Item on the Condensed Consolidated Statements of Income
	March 31,
	2023		2022
(In thousands)
Investment securities available-for-sale:
Net holding (losses)	$	(20,483)	$	—	(Loss) on sale of investment securities
Tax benefit	5,500		—		Income tax expense
Net of tax	$	(14,983)	$	—
Derivative instruments:
Hedge terminations	$	(76)	$	(77)	Interest expense
Premium amortization	(736)		(978)		Interest income
Tax benefit	220		286		Income tax expense
Net of tax	$	(592)	$	(769)
Defined benefit pension and other postretirement benefit plans:
Actuarial net loss amortization	$	(542)	$	(411)	Other expense
Tax benefit	147		112		Income tax expense
Net of tax	$	(395)	$	(299)

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Note 10: Regulatory Capital and Restrictions

Capital Requirements

The Holding Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory actions by regulators that could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and/or the regulatory framework for prompt corrective action (such provisions apply to the Bank only), both the Holding Company and the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated pursuant to regulatory directives. Capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors.

Quantitative measures established by the Basel III Capital Rules to ensure capital adequacy require the Company to maintain minimum ratios of CET1 capital to total risk-weighted assets (CET1 risk-based capital), Tier 1 capital to total risk-weighted assets (Tier 1 risk-based capital), Total capital to total risk-weighted assets (Total risk-based capital), and Tier 1 capital to average tangible assets (Tier 1 leverage capital), as defined in the regulations. CET1 capital consists of common stockholders’ equity less deductions for goodwill and other intangible assets, and certain deferred tax adjustments. Upon adoption of the Basel III Capital Rules, the Company elected to opt-out of the requirement to include certain components of AOCI in CET1 capital. Tier 1 capital consists of CET1 capital plus preferred stock. Total capital consists of Tier 1 capital and Tier 2 capital, as defined in the regulations. Tier 2 capital includes permissible portions of subordinated debt and the ACL.

At March 31, 2023, and December 31, 2022, both the Holding Company and the Bank were classified as well-capitalized. Management believes that no events or changes have occurred subsequent to year-end that would change this designation.

The following tables provides information on the capital ratios for the Holding Company and the Bank:

	At March 31, 2023
	Actual (1)				Minimum Requirement				Well Capitalized
(Dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Webster Financial Corporation
CET1 risk-based capital	$	5,796,578	10.42	%	$	2,503,935	4.5	%	$	3,616,794	6.5	%
Total risk-based capital	7,229,512		12.99		4,451,439		8.0		5,564,299		10.0
Tier 1 risk-based capital	6,080,557		10.93		3,338,580		6.0		4,451,439		8.0
Tier 1 leverage capital	6,080,557		8.65		2,812,832		4.0		3,516,040		5.0
Webster Bank
CET1 risk-based capital	$	6,605,427	11.89	%	$	2,500,320	4.5	%	$	3,611,573	6.5	%
Total risk-based capital	7,162,664		12.89		4,445,013		8.0		5,556,266		10.0
Tier 1 risk-based capital	6,605,427		11.89		3,333,760		6.0		4,445,013		8.0
Tier 1 leverage capital	6,605,427		9.40		2,810,676		4.0		3,513,345		5.0

	At December 31, 2022
	Actual (1)				Minimum Requirement				Well Capitalized
(Dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Webster Financial Corporation
CET1 risk-based capital	$	5,822,369	10.71	%	$	2,446,344	4.5	%	$	3,533,608	6.5	%
Total risk-based capital	7,203,029		13.25		4,349,056		8.0		5,436,320		10.0
Tier 1 risk-based capital	6,106,348		11.23		3,261,792		6.0		4,349,056		8.0
Tier 1 leverage capital	6,106,348		8.95		2,730,212		4.0		3,412,765		5.0
Webster Bank
CET1 risk-based capital	$	6,661,504	12.28	%	$	2,442,058	4.5	%	$	3,527,417	6.5	%
Total risk-based capital	7,165,935		13.20		4,341,437		8.0		5,426,796		10.0
Tier 1 risk-based capital	6,661,504		12.28		3,256,078		6.0		4,341,437		8.0
Tier 1 leverage capital	6,661,504		9.77		2,727,476		4.0		3,409,345		5.0

(1)In accordance with regulatory capital rules, the Company elected an option to delay the estimated impact of the adoption of CECL on its regulatory capital over a two-year deferral period, which ended on January 1, 2022, and a subsequent three-year transition period ending on December 31, 2024. During the three-year transition period, regulatory capital ratios will phase out the aggregate amount of the regulatory capital benefit provided from the delayed CECL adoption in the initial two years. For 2022, 2023, and 2024, the Company is allowed 75%, 50%, and 25%, respectively, of the regulatory capital benefit as of December 31, 2021, with full absorption occurring in 2025.

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Dividend Restrictions

The Holding Company is dependent upon dividends from the Bank to provide funds for the payment of dividends to stockholders and for other cash requirements. Dividends paid by the Bank are subject to various federal and state regulatory limitations. Express approval by the OCC is required if the effect of dividends declared would cause the regulatory capital of the Bank to fall below specified minimum levels or if the amount would exceed net income for that year combined with undistributed net income for the preceding two years. The Bank paid the Holding Company $150.0 million in dividends during the three months ended March 31, 2023, for which no express approval from the OCC was required. No dividends were paid by the Bank to the Holding Company during the three months ended March 31, 2022.

Cash Restrictions

The Bank is required under Federal Reserve regulations to maintain cash reserve balances in the form of vault cash or deposits held at a FRB to ensure that it is able to meet customer demands. The reserve requirement ratio is subject to adjustment as economic conditions warrant. Effective March 26, 2020, the Federal Reserve reset the requirement to zero in order to address liquidity concerns resulting from the COVID-19 pandemic. Pursuant to this action, the Bank has not been required to hold cash reserve balances since that date.

Note 11: Variable Interest Entities

The Company has an investment interest in the following entities that each meet the definition of a variable interest entity. Information regarding the Company's consolidation of variable interest entities can be found within Note 1: Summary of Significant Accounting Policies in the Consolidated Financial Statements contained in Part II - Item 8. Financial Statements and Supplementary Data of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

Consolidated

Rabbi Trusts. The Company established a Rabbi Trust to meet its obligations due under the Webster Bank Deferred Compensation Plan for Directors and Officers and to mitigate expense volatility. The funding of the Rabbi Trust and the discontinuation of the Webster Bank Deferred Compensation Plan for Directors and Officers occurred during 2012. In connection with the Sterling merger in 2022, the Company acquired assets held in a separate Rabbi Trust that had been previously established to fund obligations due under the Greater New York Savings Bank Directors' Retirement Plan.

Investments held in the Rabbi Trusts consist primarily of mutual funds that invest in equity and fixed income securities. The Company is considered the primary beneficiary of these Rabbi Trusts as it has the power to direct the activities of the Rabbi Trusts that most significantly impact its economic performance and it has the obligation to absorb losses and/or the right to receive benefits of the Rabbi Trusts that could potentially be significant.

The Rabbi Trusts' assets are included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets. Investment earnings and any changes in fair value are included in Other income on the accompanying Condensed Consolidated Statements of Income. Additional information regarding the Rabbi Trusts' investments can be found within Note 14: Fair Value Measurements.

Non-Consolidated

Low-Income Housing Tax Credit Investments. The Company makes non-marketable equity investments in entities that sponsor affordable housing and other community development projects that qualify for the LIHTC Program pursuant to Section 42 of the Internal Revenue Code. The purpose of these investments is not only to assist the Bank in meeting its responsibilities under the CRA, but also to provide a return, primarily through the realization of tax benefits. While the Company's investment in an entity may exceed 50% of its outstanding equity interests, the entity is not consolidated as the Company is not the primary beneficiary. The Company has determined that it is not the primary beneficiary due to its inability to direct the activities that most significantly impact economic performance and the Company does not have the obligation to absorb losses and/or the right to receive benefits. The Company applies the proportional amortization method to subsequently measure its investments in qualified affordable housing projects.

The following table summarizes the Company's LIHTC investments and related unfunded commitments:

(In thousands)	March 31, 2023		December 31, 2022
Gross investment in LIHTC investments	$	798,085	$	797,453
Accumulated amortization	(90,902)		(69,424)
Net investment in LIHTC investments	$	707,183	$	728,029
Unfunded commitments for LIHTC investments	$	329,023	$	335,959

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The aggregate carrying value of the Company's LIHTC investments is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets, and represents the Company's maximum exposure to loss. The related unfunded commitments are included in Accrued expenses and other liabilities on the accompanying Condensed Consolidated Balance Sheets. There were no commitments approved to fund LIHTC investments during the three months ended March 31, 2023, or 2022.

Webster Statutory Trust. The Company owns all the outstanding common stock of Webster Statutory Trust, a financial vehicle that has issued, and in the future may issue, trust preferred securities. The Company is not the primary beneficiary of Webster Statutory Trust. Webster Statutory Trust's only assets are junior subordinated debentures that are issued by the Company, which were acquired using the proceeds from the issuance of trust preferred securities and common stock. The junior subordinated debentures are included in Long-term debt on the accompanying Condensed Consolidated Balance Sheets, and the related interest expense is included in Long-term debt on the accompanying Condensed Consolidated Statements of Income. Additional information regarding these junior subordinated debentures can be found within Note 8: Borrowings.

Other Non-Marketable Investments. The Company invests in alternative investments comprising interests in non-public entities that cannot be redeemed since the underlying equity is distributed as the investment is liquidated. The ultimate timing and amount of these distributions cannot be predicted with reasonable certainty. For each of these alternative investments that is classified as a variable interest entity, the Company has determined that it is not the primary beneficiary due to its inability to direct the activities that most significantly impact economic performance. The aggregate carrying value of the Company's other non-marketable investments was $165.1 million and $144.9 million at March 31, 2023, and December 31, 2022, respectively, which is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets, and its maximum exposure to loss, including unfunded commitments, was $273.0 million and $243.9 million, respectively. Additional information regarding the fair value of other non-marketable investments can be found within
Note 14: Fair Value Measurements.

Note 12: Earnings Per Common Share

The following table summarizes the calculation of basic and diluted earnings per common share:

	Three months ended March 31,
(In thousands, except per share data)	2023		2022
Net income	$	221,004	$	(16,747)
Less: Preferred stock dividends	4,163		3,431
Net income available to common stockholders	216,841		(20,178)
Less: Earnings allocated to participating securities	1,845		—
Earnings applicable to common stockholders	$	214,996	$	(20,178)
Weighted-average common shares outstanding - basic	172,766		147,394
Add: Effect of dilutive stock options and restricted stock	117		—
Weighted-average common shares outstanding - diluted	172,883		147,394
Basic earnings per common share	$	1.24	$	(0.14)
Diluted earnings per common share	1.24		(0.14)

Earnings per common share is calculated under the two-class method in which all earnings (distributed and undistributed) are allocated to common stock and participating securities based on their respective rights to receive dividends. The Company may grant restricted stock, restricted stock units, non-qualified stock options, incentive stock options, or stock appreciation rights to certain employees and directors under its stock-based compensation programs, which entitle recipients to receive
non-forfeitable dividends during the vesting period on a basis equivalent to the dividends paid to holders of common stock. These unvested awards meet the definition of participating securities.

Potential common shares from performance-based restricted stock that were not included in the computation of dilutive earnings per common share because they were anti-dilutive under the treasury stock method were 85,033 and 341,904 for the three months ended March 31, 2023, and 2022, respectively.

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Note 13: Derivative Financial Instruments

Derivative Positions and Offsetting

Derivatives Designated as Hedging Instruments. Interest rate swaps allow the Company to change the fixed or variable nature of an interest rate without the exchange of the underlying notional amount. Certain pay fixed/receive variable interest rate swaps are designated as cash flow hedges to effectively convert variable-rate debt into fixed-rate debt, whereas certain receive fixed/pay variable interest rate swaps are designated as fair value hedges to effectively convert fixed-rate long-term debt into variable-rate debt. Certain purchased options are also designated as cash flow hedges. Purchased options allow the Company to limit the potential adverse impact of variable interest rates by establishing a cap rate or floor rate in exchange for an upfront premium. The purchased options designated as cash flow hedges represent interest rate caps where payment is received from the counterparty if interest rates rise above the cap rate, and interest rate floors where payment is received from the counterparty when interest rates fall below the floor rate.

Derivatives Not Designated as Hedging Instruments. The Company also enters into other derivative transactions to manage economic risks, but does not designate the instruments in hedge relationships. In addition, the Company enters into derivative contracts to accommodate customer needs. Derivative contracts with customers are offset with dealer counterparty transactions structured with matching terms to ensure minimal impact on earnings.

The following tables present the notional amounts and fair values, including accrued interest, of derivative positions:

	At March 31, 2023
	Asset Derivatives				Liability Derivatives
(In thousands)	Notional Amounts		Fair Value		Notional Amounts		Fair Value
Designated as hedging instruments:
Interest rate derivatives (1)	$	3,750,000	$	25,892	$	1,750,000	$	5,493
Not designated as hedging instruments:
Interest rate derivatives (1)	7,417,679		219,149		7,411,878		323,123
Mortgage banking derivatives (2)	1,973		16		—		—
Other (3)	169,276		171		659,603		651
Total not designated as hedging instruments	7,588,928		219,336		8,071,481		323,774
Gross derivative instruments, before netting	$	11,338,928	245,228		$	9,821,481	329,267
Less: Master netting agreements			30,506				30,506
Cash collateral			181,853				400
Total derivative instruments, after netting			$	32,869			$	298,361
	At December 31, 2022
	Asset Derivatives				Liability Derivatives
(In thousands)	Notional Amounts		Fair Value		Notional Amounts		Fair Value
Designated as hedging instruments:
Interest rate derivatives (1)	$	1,350,000	$	1,515	$	1,750,000	$	9,632
Not designated as hedging instruments:
Interest rate derivatives (1)	7,024,507		221,225		7,022,844		403,952
Mortgage banking derivatives (2)	3,283		32		—		—
Other (3)	161,934		134		606,478		915
Total not designated as hedging instruments	7,189,724		221,391		7,629,322		404,867
Gross derivative instruments, before netting	$	8,539,724	222,906		$	9,379,322	414,499
Less: Master netting agreements			16,129				16,129
Cash collateral			184,095				—
Total derivative instruments, after netting			$	22,682			$	398,370

(1)Balances related to clearing houses are presented as a single unit of account. In accordance with their rule books, clearing houses legally characterize variation margin payments as settlement of derivatives rather than collateral against derivative positions. At March 31, 2023, and December 31, 2022, notional amounts of interest rate swaps cleared through clearing houses include $2.4 billion and $2.7 billion for asset derivatives, respectively, and $1.9 million and zero for liability derivatives, respectively. The related fair values approximate zero.

(2)Notional amounts related to residential loans exclude approved floating rate commitments of $3.8 million and $2.4 million at March 31, 2023, and December 31, 2022, respectively.

(3)Other derivatives include foreign currency forward contracts related to lending arrangements, a Visa equity swap transaction, and risk participation agreements. Notional amounts of risk participation agreements include $154.9 million and $125.6 million for asset derivatives and $589.7 million and $559.2 million for liability derivatives at March 31, 2023, and December 31, 2022, respectively, which have insignificant related fair values.

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The following tables present fair value positions transitioned from gross to net upon applying counterparty netting agreements:

	At March 31, 2023
(In thousands)	Gross Amount Recognized		Derivative Offset Amount		Cash Collateral Received/Pledged		Net Amount Presented		Amounts Not Offset
Asset derivatives	$	220,259	$	30,506	$	181,853	$	7,900	$	8,270
Liability derivatives	31,360		30,506		400		454		5,032
	At December 31, 2022
(In thousands)	Gross Amount Recognized		Derivative Offset Amount		Cash Collateral Received/Pledged		Net Amount Presented		Amounts Not Offset
Asset derivatives	$	217,246	$	16,129	$	184,095	$	17,022	$	17,392
Liability derivatives	16,129		16,129		—		—		1,545

Derivative Activity

The following table summarizes the income statement effect of derivatives designated as hedging instruments:

	Recognized In	Three months ended March 31,
(In thousands)	Net Interest Income	2023		2022
Fair value hedges:
Recognized on derivatives	Deposits	$	(10,235)	$	—
Recognized on hedged items	Deposits	10,427		—
Net recognized on fair value hedges		$	(192)	$	—
Cash flow hedges:
Interest rate derivatives	Long-term debt	$	76	$	76
Interest rate derivatives	Interest and fees on loans and leases	(736)		2,559
Net recognized on cash flow hedges		$	(812)	$	2,483

The following table summarizes information related to fair value hedging adjustments:

Condensed Consolidated Balance Sheet Line Item in Which Hedged Item is Located	Carrying Amount of Hedged Item				Cumulative Amount of Fair Value Hedging Adjustment Included in Carrying Amount
(In thousands)	At March 31, 2023		At December 31, 2022		At March 31, 2023		At December 31, 2022
Deposits	$	410,254	$	—	$	10,254	$	—
Long-term debt (1)	332,119		333,458		32,119		33,458

(1)The Company de-designated its fair value hedging relationship on its long-term debt in 2020. The basis adjustment included in the carrying amount is being amortized into interest expense over the remaining life of the long-term debt.

The following table summarizes the income statement effect of derivatives not designated as hedging instruments:

	Recognized In	Three months ended March 31,
(In thousands)	Non-interest Income	2023		2022
Interest rate derivatives	Other income	$	(3,687)	$	6,445
Mortgage banking derivatives	Mortgage banking activities	(16)		(49)
Other	Other income	(735)		397
Total not designated as hedging instruments		$	(4,438)	$	6,793

Time-value premiums, which are amortized on a straight-line basis, are excluded from the assessment of hedge effectiveness for purchased options designated as cash flow hedges. At March 31, 2023, the remaining unamortized balance of time-value premiums was $2.1 million. Over the next twelve months, an estimated decrease to interest income of $9.5 million will be reclassified from AOCI relating to cash flow hedge gain/loss, and an estimated increase to interest expense of $0.3 million will be reclassified from AOCI relating to cash flow hedge terminations. At March 31, 2023, the remaining unamortized loss on terminated cash flow hedges was $0.3 million. The maximum length of time over which forecasted transactions are hedged is 4.9 years.

Additional information regarding cash flow hedge activity impacting AOCI and the related amounts reclassified to net income can be found within Note 9: Accumulated Other Comprehensive Income (Loss), Net of Tax.

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Derivative Exposure. At March 31, 2023, the Company had $38.7 million in initial margin collateral posted at clearing houses. In addition, $187.3 million of cash collateral received is included in Cash and due from banks on the accompanying Condensed Consolidated Balance Sheets. The Company regularly evaluates the credit risk of its derivative customers, taking into account the likelihood of default, net exposures, and remaining contractual life, among other related factors. Credit risk exposure is mitigated as transactions with customers are generally secured by the same collateral of the underlying transactions. Current net credit exposure relating to interest rate derivatives with the Bank's customers was $24.9 million at March 31, 2023. In addition, the Company monitors potential future exposure, representing its best estimate of exposure to remaining contractual maturity. The potential future exposure relating to interest rate derivatives with the Bank's customers totaled $97.8 million at
March 31, 2023. The Company has incorporated a valuation adjustment to reflect non-performance risk in the fair value measurement of its derivatives, which totaled $5.3 million and $8.4 million at March 31, 2023, and December 31, 2022, respectively. Various factors impact changes in the valuation adjustment over time, such as changes in the credit spreads of the contracted parties, and changes in market rates and volatilities, which affect the total expected exposure of the derivative instruments.

Note 14: Fair Value Measurements

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The determination of fair value may require the use of estimates when quoted market prices are not available. Fair value estimates made at a specific point in time are based on management’s judgments regarding future expected losses, current economic conditions, the risk characteristics of each financial instrument, and other subjective factors that cannot be determined with precision.

The framework for measuring fair value provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The three levels within the fair value hierarchy are as follows:

•Level 1: Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that the Company has the ability to access at the measurement date.

•Level 2: Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability (i.e., interest rates, rate volatility, prepayment speeds, and credit ratings), or inputs that are derived principally from or corroborated by market data, correlation, or other means.

•Level 3: Inputs to the valuation methodology are unobservable and significant to the fair value measurement. This includes certain pricing models or other similar techniques that require significant management judgment or estimation.

Assets and Liabilities Measured at Fair Value on a Recurring Basis

Available-for-Sale Securities. When unadjusted quoted prices are available in an active market, the Company classifies its available-for-sale investment securities within Level 1 of the fair value hierarchy. U.S. Treasury notes have a readily determinable fair value, and accordingly, are classified within Level 1 of the fair value hierarchy.

When quoted market prices are not available, the Company employs an independent pricing service that utilizes matrix pricing to calculate fair value. These fair value measurements consider observable data, such as dealer quotes, market spreads, cash flows, yield curves, live trading levels, trade execution data, market consensus prepayments speeds, credit information, and the respective terms and conditions for debt instruments. Management maintains procedures to monitor the pricing service's results and has a process in place to challenge their valuations and methodologies that appear unusual or unexpected. Government agency debentures, Municipal bonds and notes, Agency CMO, Agency MBS, Agency CMBS, CMBS, CLO, Corporate debt, Private label MBS, and Other available-for-sale securities are classified within Level 2 of the fair value hierarchy.

Derivative Instruments. The fair values presented for derivative instruments include any accrued interest. Foreign exchange contracts are valued based on unadjusted quoted prices in active markets, and accordingly, are classified within Level 1 of the fair value hierarchy. Except for mortgage banking derivatives, all other derivative instruments are valued using third-party valuation software, which considers the present value of cash flows discounted using observable forward rate assumptions. The resulting fair value is then validated against valuations performed by independent third parties. These derivative instruments are classified within Level 2 of the fair value hierarchy.

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Mortgage Banking Derivatives. The Company uses forward sales of mortgage loans and mortgage-backed securities to manage the risk of loss associated with its mortgage loan commitments and mortgage loans held for sale. Prior to closing and funding certain single-family residential mortgage loans, an interest rate lock commitment is generally extended to the borrower. During this in-between time period, the Company is subject to the risk that market interest rates may change. If rates rise, investors generally will pay less to purchase mortgage loans, which would result in a reduction in the gain on sale of the loans, or possibly a loss. In an effort to mitigate this risk, forward delivery sales commitments are established in which the Company agrees to either deliver whole mortgage loans to various investors or issue mortgage-backed securities. The fair value of mortgage banking derivatives is determined based on current market prices for similar assets in the secondary market. Accordingly, mortgage banking derivatives are classified within Level 2 of the fair value hierarchy.

Originated Loans Held For Sale. The Company has elected to measure originated loans held for sale at fair value under the fair value option per ASC Topic 825, Financial Instruments. Electing to measure originated loans held for sale at fair value reduces certain timing differences and better reflects the price the Company would expect to receive from the sale of these loans. The fair value of originated loans held for sale is based on quoted market prices of similar loans sold in conjunction with securitization transactions. Accordingly, originated loans held for sale are classified within Level 2 of the fair value hierarchy.

The following table compares the fair value to the unpaid principal balance of originated loans held for sale:

	At March 31, 2023						At December 31, 2022
(In thousands)	Fair Value		Unpaid Principal Balance		Difference		Fair Value		Unpaid Principal Balance		Difference
Originated loans held for sale	$	811	$	684	$	127	$	1,991	$	1,631	$	360

Rabbi Trust Investments. Investments held in each of the Company's Rabbi Trusts consist primarily of mutual funds that invest in equity and fixed income securities. Shares of these mutual funds are valued based on the NAV as reported by the trustee of the funds, which represents quoted prices in active markets. The Company has elected to measure the Rabbi Trusts' investments at fair value. Accordingly, the Rabbi Trusts' investments are classified within Level 1 of the fair value hierarchy. At both
March 31, 2023, and December 31, 2022, the total cost basis of the investments held in the Rabbi Trusts was $10.0 million.

Alternative Investments. Equity investments have a readily determinable fair value when unadjusted quoted prices are available in an active market for identical assets. Accordingly, these alternative investments are classified within Level 1 of the fair value hierarchy. At March 31, 2023, and December 31, 2022, equity investments with a readily determinable fair value had a total carrying amount of $0.5 million and $0.4 million, respectively, with no remaining unfunded commitment. During the three months ended March 31, 2023, there were total write-ups in fair value of $0.1 million associated with these alternative investments.

Equity investments that do not have a readily determinable fair value may qualify for the NAV practical expedient if they meet certain requirements. The Company's alternative investments measured at NAV consist of investments in non-public entities that cannot be redeemed since investments are distributed as the underlying equity is liquidated. Alternative investments measured at NAV are not classified within the fair value hierarchy. At March 31, 2023, and December 31, 2022, these alternative investments had a total carrying amount of $27.0 million and $89.2 million, respectively, and a remaining unfunded commitment of $28.5 million and $82.7 million, respectively.

Contingent Consideration. The Company recorded $16.0 million of contingent consideration at fair value related to two earn-out agreements associated with the acquisition of interLINK on January 11, 2023. The terms of the purchase agreement specified that the seller would receive earn-outs based on the ability of the Company to: (i) re-sign the existing broker dealers under contract, and (ii) generate $2.5 billion in new broker dealer deposit programs within three years of the acquisition date. The estimated fair values of the contingent consideration liabilities are measured on a recurring basis and determined using an income approach considering management’s evaluation of the probability of achievement, forecasted achievement date (payment term), and a discount rate equivalent to the counterparty cost of debt. These significant inputs, which are the responsibility of management and were initially calculated with the assistance of a third-party valuation specialist, are not observable and accordingly, are classified within Level 3 of the fair value hierarchy.

The following table summarizes the unobservable inputs used to derive the estimated fair value of the Company’s contingent consideration liabilities at March 31, 2023 (dollars in thousands):

Agreement	Maximum Amount		Probability of Achievement	Payment Term (in years)	Discount Rate	Fair Value
(i) Re-sign broker dealers	$	4,826	99.0 %	0.22	5.50 %	$	4,798
(ii) Deposit program growth	$	12,500	100.0 %	1.97	5.50 %	$	11,241

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Contingent consideration liabilities are included within Accrued expenses and other liabilities on the accompanying Condensed Consolidated Balance Sheets. Any fair value adjustments to contingent consideration liabilities are included in Other expense on the accompanying Condensed Consolidated Statements of Income.

The following tables summarize the fair values of assets and liabilities measured at fair value on a recurring basis:

	At March 31, 2023
(In thousands)	Level 1		Level 2		Level 3		Total
Financial Assets:
Available-for-sale securities:
U.S. Treasury notes	$	386,772	$	—	$	—	$	386,772
Government agency debentures	—		262,342		—		262,342
Municipal bonds and notes	—		1,645,228		—		1,645,228
Agency CMO	—		57,462		—		57,462
Agency MBS	—		2,230,850		—		2,230,850
Agency CMBS	—		1,635,252		—		1,635,252
CMBS	—		902,058		—		902,058
Corporate debt	—		625,523		—		625,523
Private label MBS	—		44,262		—		44,262
Other	—		9,228		—		9,228
Total available-for-sale securities	386,772		7,412,205		—		7,798,977
Gross derivative instruments, before netting (1)	82		245,146		—		245,228
Originated loans held for sale	—		811		—		811
Investments held in Rabbi Trusts	11,992		—		—		11,992
Alternative investments (2)	476		—		—		27,486
Total financial assets	$	399,322	$	7,658,162	$	—	$	8,084,494
Financial Liabilities:
Gross derivative instruments, before netting (1)	$	557	$	328,710	$	—	$	329,267
Contingent consideration	—		—		16,039		16,039
Total financial liabilities	$	557	$	328,710	$	16,039	$	345,306

	At December 31, 2022
(In thousands)	Level 1		Level 2		Level 3		Total
Financial Assets:
Available-for-sale securities:
U.S. Treasury notes	$	717,040	$	—	$	—	$	717,040
Government agency debentures	—		258,374		—		258,374
Municipal bonds and notes	—		1,633,202		—		1,633,202
Agency CMO	—		59,965		—		59,965
Agency MBS	—		2,158,024		—		2,158,024
Agency CMBS	—		1,406,486		—		1,406,486
CMBS	—		896,640		—		896,640
CLO	—		2,107		—		2,107
Corporate debt	—		704,412		—		704,412
Private label MBS	—		44,249		—		44,249
Other	—		12,198		—		12,198
Total available-for-sale securities	717,040		7,175,657		—		7,892,697
Gross derivative instruments, before netting (1)	79		222,827		—		222,906
Originated loans held for sale	—		1,991		—		1,991
Investments held in Rabbi Trusts	12,103		—		—		12,103
Alternative investments (2)	430		—		—		89,678
Total financial assets	$	729,652	$	7,400,475	$	—	$	8,219,375
Financial Liabilities:
Gross derivative instruments, before netting (1)	$	843	$	413,656	$	—	$	414,499

(1)Additional information regarding the impact of netting derivative assets and derivative liabilities, as well as the impact from offsetting cash collateral paid to the same derivative counterparties, can be found within Note 13: Derivative Financial Instruments.

(2)Certain alternative investments are recorded at NAV. Assets measured at NAV are not classified within the fair value hierarchy.

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Assets Measured at Fair Value on a Non-Recurring Basis

The Company measures certain assets at fair value on a non-recurring basis. The following is a description of the valuation methodologies used for assets measured at fair value on a non-recurring basis.

Alternative Investments. The measurement alternative has been elected for alternative investments without readily determinable fair values that do not qualify for the NAV practical expedient. The measurement alternative requires investments to be measured at cost minus impairment, if any, plus or minus adjustments resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. Accordingly, these alternative investments are classified within Level 2 of the fair value hierarchy. At March 31, 2023, and December 31, 2022, the carrying amount of these alternative investments was $46.1 million and $42.8 million, respectively, of which none and $5.9 million, respectively, were considered to be measured at fair value.

Loans Transferred to Held for Sale. Once a decision has been made to sell loans not previously classified as held for sale, these loans are transferred into the held for sale category and carried at the lower of cost or fair value, less estimated costs to sell. At the time of transfer into held for sale classification, any amount by which cost exceeds fair value is accounted for as a valuation allowance. This activity generally pertains to loans with observable inputs, and therefore, are classified within Level 2 of the fair value hierarchy. However, should these loans include adjustments for changes in loan characteristics based on unobservable inputs, the loans would then be classified within Level 3 of the fair value hierarchy. At March 31, 2023, and December 31, 2022, there were $209.9 million and zero loans that were transferred to held for sale on the Condensed Consolidated Balance Sheet.

Collateral Dependent Loans and Leases. Loans and leases for which repayment is substantially expected to be provided through the operation or sale of collateral are considered collateral dependent, and are valued based on the estimated fair value of the collateral, less estimated costs to sell at the reporting date, using customized discounting criteria. Accordingly, collateral dependent loans and leases are classified within Level 3 of the fair value hierarchy.

Other Real Estate Owned and Repossessed Assets. OREO and repossessed assets are held at the lower of cost or fair value and are considered to be measured at fair value when recorded below cost. The fair value of OREO is calculated using independent appraisals or internal valuation methods, less estimated selling costs, and may consider available pricing guides, auction results, and price opinions. Certain repossessed assets may also require assumptions about factors that are not observable in an active market when determining fair value. Accordingly, OREO and repossessed assets are classified within Level 3 of the fair value hierarchy. At March 31, 2023, and December 31, 2022, the total book value of OREO and repossessed assets was $1.5 million and $2.3 million, respectively. In addition, the amortized cost of consumer loans secured by residential real estate property that were in process of foreclosure at March 31, 2023, was $16.4 million.

Estimated Fair Values of Financial Instruments and Mortgage Servicing Assets

The Company is required to disclose the estimated fair values of certain financial instruments and mortgage servicing rights. The following is a description of the valuation methodologies used to estimate fair value for those assets and liabilities.

Cash and Cash Equivalents. Given the short time frame to maturity, the carrying amount of cash and cash equivalents, which comprises cash and due from banks and interest-bearing deposits, approximates fair value. Cash and cash equivalents are classified within Level 1 of the fair value hierarchy.

Held-to-Maturity Securities. When quoted market prices are not available, the Company employs an independent pricing service that utilizes matrix pricing to calculate fair value. These fair value measurements consider observable data, such as dealer quotes, market spreads, cash flows, yield curves, live trading levels, trade execution data, market consensus prepayment speeds, credit information, and the respective terms and conditions for debt instruments. Management maintains procedures to monitor the pricing service's results and has a process in place to challenge their valuations and methodologies that appear unusual or unexpected. Held-to-maturity securities, which include Agency CMO, Agency MBS, Agency CMBS, Municipal bonds and notes, and CMBS, are classified within Level 2 of the fair value hierarchy.

Loans and Leases, net. Except for collateral dependent loans and leases, the fair value of loans and leases held for investment is estimated using a discounted cash flow methodology, based on future prepayments and market interest rates inclusive of an illiquidity premium for comparable loans and leases. The associated cash flows are then adjusted for associated credit risks and other potential losses, as appropriate. Loans and leases are classified within Level 3 of the fair value hierarchy.

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Mortgage Servicing Rights. Mortgage servicing rights are initially measured at fair value and subsequently measured using the amortization method. The Company assesses mortgage servicing rights for impairment each quarter and establishes or adjusts the valuation allowance to the extent that amortized cost exceeds the estimated fair market value. Fair value is calculated as the present value of estimated future net servicing income and relies on market based assumptions for loan prepayment speeds, servicing costs, discount rates, and other economic factors. Accordingly, the primary risk inherent in valuing mortgage servicing rights is the impact of fluctuating interest rates on the related servicing revenue stream. Mortgage servicing rights are classified within Level 3 of the fair value hierarchy.

Deposit Liabilities. The fair value of deposit liabilities, which comprises demand deposits, interest-bearing checking, savings, health savings, and money market accounts, reflects the amount payable on demand at the reporting date. Deposit liabilities are classified within Level 2 of the fair value hierarchy.

Time Deposits. The fair value of fixed-maturity certificates of deposit is estimated using rates that are currently offered for deposits with similar remaining maturities. Time deposits are classified within Level 2 of the fair value hierarchy.

Securities Sold Under Agreements to Repurchase and Other Borrowings. The fair value of securities sold under agreements to repurchase and other borrowings that mature within 90 days approximates their carrying value. The fair value of securities sold under agreements to repurchase and other borrowings that mature after 90 days is estimated using a discounted cash flow methodology based on current market rates and adjusted for associated credit risks, as appropriate. Securities sold under agreements to repurchase and other borrowings are classified within Level 2 of the fair value hierarchy.

Federal Home Loan Bank Advances and Long-Term Debt. The fair value of FHLB advances and long-term debt is estimated using a discounted cash flow methodology in which discount rates are matched with the time period of the expected cash flows and adjusted for associated credit risks, as appropriate. FHLB advances and long-term debt are classified within Level 2 of the fair value hierarchy.

The following table summarizes the carrying amounts, estimated fair values, and classifications within the fair value hierarchy of selected financial instruments and mortgage servicing rights:

	At March 31, 2023				At December 31, 2022
(In thousands)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Assets:
Level 1
Cash and cash equivalents	$	2,434,071	$	2,434,071	$	839,943	$	839,943
Level 2
Held-to-maturity investment securities	7,063,223		6,320,682		6,564,697		5,761,453
Level 3
Loans and leases, net	50,312,609		48,825,894		49,169,685		47,604,463
Mortgage servicing assets	9,189		26,959		9,515		27,043
Liabilities:
Level 2
Deposit liabilities	$	50,767,700	$	50,767,700	$	49,893,391	$	49,893,391
Time deposits	4,529,779		4,471,757		4,160,949		4,091,979
Securities sold under agreements to repurchase and other borrowings	306,154		306,113		1,151,830		1,151,797
FHLB advances	8,560,461		8,560,329		5,460,552		5,459,218
Long-term debt (1)	1,071,413		1,005,178		1,073,128		1,001,779

(1)Any unamortized premiums/discounts, debt issuance costs, or basis adjustments to long-term debt, as applicable, are excluded from the determination of fair value.

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Note 15: Retirement Benefit Plans

Defined Benefit Pension and Other Postretirement Benefits

The following tables summarize the components of net periodic benefit cost (income):

	Three months ended March 31,
	2023						2022
(In thousands)	Pension		SERP		OPEB		Pension		SERP		OPEB
Service cost	$	—	$	—	$	7	$	—	$	—	$	6
Interest cost	2,211		67		380		1,377		15		144
Expected return on plan assets	(2,699)		—		—		(3,669)		—		—
Amortization of actuarial loss (gain)	1,216		1		(675)		422		7		(18)
Net periodic benefit cost (income)	$	728	$	68	$	(288)	$	(1,870)	$	22	$	132

The components of net periodic benefit cost (income) are included in Other expense on the accompanying Condensed Consolidated Statements of Income. The weighted-average expected long-term rate of return on plan assets for the three months ended March 31, 2023, was 5.50%, as determined at the beginning of the year.

Note 16: Segment Reporting

The Company's operations are organized into three reportable segments that represent its primary businesses: Commercial Banking, HSA Bank, and Consumer Banking. These segments reflect how executive management responsibilities are assigned, how discrete financial information is evaluated, the type of customer served, and how products and services are provided. Certain Treasury activities, including the operations of interLINK, along with the amounts required to reconcile profitability metrics to those reported in accordance with GAAP, are included in the Corporate and Reconciling category.

In connection with the acquisition of interLINK on January 11, 2023, the $143.2 million of preliminary goodwill recorded has been allocated entirely to Commercial Banking. In addition, as previously discussed in Note 2: Mergers and Acquisitions and
Note 6: Goodwill and Other Intangible Assets, the allocation of the purchase price for both the Sterling merger and Bend acquisition are final as of March 31, 2023. Accordingly, of the total $1.9 billion in goodwill recorded in connection with the Sterling merger, $1.7 billion and $0.2 billion has been allocated to Commercial Banking and Consumer Banking, respectively. The $35.7 million of goodwill recorded in connection with the Bend acquisition has been allocated entirely to HSA Bank.

Segment Reporting Methodology

The Company uses an internal profitability reporting system to generate information by reportable segment, which is based on a series of management estimates for funds transfer pricing, and allocations for non-interest expense, provision for credit losses, income taxes, and equity capital. These estimates and allocations, certain of which are subjective in nature, are periodically reviewed and refined. Changes in estimates and allocations that affect the results of any reportable segment do not affect the consolidated financial position or results of operations of the Company as a whole. The full profitability measurement reports, which are prepared for each reportable segment, reflect non-GAAP reporting methodologies. The differences between full profitability and GAAP results are reconciled in the Corporate and Reconciling category.

The Company allocates interest income and interest expense to each business through an internal matched maturity FTP process. The goal of the FTP allocation is to encourage loan and deposit growth consistent with the Company’s overall profitability objectives. The FTP process considers the specific interest rate risk and liquidity risk of financial instruments and other assets and liabilities in each line of business. Loans are assigned an FTP rate for funds used and deposits are assigned an FTP rate for funds provided. The allocation considers the origination date and the earlier of the maturity date or the repricing date of a financial instrument to assign an FTP rate for loans and deposits originated each day. The FTP process transfers the corporate interest rate risk exposure to the Treasury function included within the Corporate and Reconciling category where such exposures are centrally managed.

The Company allocates a majority of non-interest expense to each reportable segment using an activity and driver-based costing process. Costs, including shared services and back-office support areas, are analyzed, pooled by process, and assigned to the appropriate reportable segment. The combination of direct revenue, direct expenses, funds transfer pricing, and allocations of non-interest expense produces PPNR, which is the basis the segments are reviewed by executive management. The Company also allocates the provision for credit losses to each reportable segment based on management's estimate of the expected loss content in each of the specific loan and lease portfolios. The ACL on loans and leases is included in total assets within the Corporate and Reconciling category. Business development expenses, such as merger-related and strategic initiatives costs, are also generally included in the Corporate and Reconciling category.

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The following tables present balance sheet information, including the appropriate allocations, for the Company's reportable segments and the Corporate and Reconciling category:

	At March 31, 2023
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Goodwill	$	2,029,204	$	57,485	$	544,776	$	—	$	2,631,465
Total assets	45,868,138		123,478		10,597,860		18,254,919		74,844,395
	At December 31, 2022
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Goodwill	$	1,904,291	$	57,779	$	552,034	$	—	$	2,514,104
Total assets	44,380,582		122,729		10,625,334		16,148,876		71,277,521

The following tables present operating results, including the appropriate allocations, for the Company’s reportable segments and the Corporate and Reconciling category:

	Three months ended March 31, 2023
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Net interest income	$	384,314	$	71,730	$	210,583	$	(71,344)	$	595,283
Non-interest income	35,397		24,067		25,959		(14,657)		70,766
Non-interest expense	108,509		43,700		106,879		73,379		332,467
Pre-tax, pre-provision net revenue	311,202		52,097		129,663		(159,380)		333,582
Provision for credit losses	36,037		—		1,784		8,928		46,749
Income (loss) before income taxes	275,165		52,097		127,879		(168,308)		286,833
Income tax expense (benefit)	69,066		14,066		33,760		(51,063)		65,829
Net income (loss)	$	206,099	$	38,031	$	94,119	$	(117,245)	$	221,004

	Three months ended March 31, 2022
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Net interest income	$	287,069	$	44,577	$	136,677	$	(74,075)	$	394,248
Non-interest income	38,743		26,958		27,901		10,433		104,035
Non-interest expense	89,240		36,409		95,510		138,626		359,785
Pre-tax, pre-provision net revenue	236,572		35,126		69,068		(202,268)		138,498
Provision (benefit) for credit losses	181,931		—		7,136		(222)		188,845
Income (loss) before income taxes	54,641		35,126		61,932		(202,046)		(50,347)
Income tax expense (benefit)	10,055		9,414		16,053		(69,122)		(33,600)
Net income (loss)	$	44,586	$	25,712	$	45,879	$	(132,924)	$	(16,747)

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Note 17: Revenue from Contracts with Customers

The following tables summarize revenues recognized in accordance with ASC Topic 606, Revenue from Contracts with Customers. These disaggregated amounts, together with sources of other non-interest income that are subject to other GAAP topics, have been reconciled to non-interest income by reportable segment as presented within Note 16: Segment Reporting.

	Three months ended March 31, 2023
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Non-interest Income:
Deposit service fees	$	5,390	$	22,092	$	18,024	$	(70)	$	45,436
Loan and lease related fees (1)	4,427		—		—		—		4,427
Wealth and investment services (2)	2,767		—		3,828		(8)		6,587
Other income	—		1,975		358		932		3,265
Revenue from contracts with customers	12,584		24,067		22,210		854		59,715
Other sources of non-interest income	22,813		—		3,749		(15,511)		11,051
Total non-interest income	$	35,397	$	24,067	$	25,959	$	(14,657)	$	70,766

	Three months ended March 31, 2022
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Non-interest Income:
Deposit service fees	$	6,685	$	25,134	$	15,963	$	45	$	47,827
Loan and lease related fees (1)	4,498		—		—		—		4,498
Wealth and investment services	3,134		—		7,471		(8)		10,597
Other income	—		1,824		385		—		2,209
Revenue from contracts with customers	14,317		26,958		23,819		37		65,131
Other sources of non-interest income	24,426		—		4,082		10,396		38,904
Total non-interest income	$	38,743	$	26,958	$	27,901	$	10,433	$	104,035

(1)A portion of loan and lease related fees comprises income generated from factored receivables and payroll financing activities that is within the scope of ASC Topic 606.

(2)Effective as of the fourth quarter of 2022, the wealth and investment services revenue stream was impacted by the restructuring of a process in which the Company offers brokerage, investment advisory, and certain insurance-related services to customers. The staff providing these services, who had previously been employees of the Bank, are now employees of a third-party service provider. As a result, the Company now recognizes income from this program on a net basis, which thereby reduces gross reported wealth and investment services non-interest income and the related compensation and benefits non-interest expense on the accompanying Condensed Consolidated Statements of Income.

Contracts with customers did not generate significant contract assets and liabilities at March 31, 2023, or December 31, 2022.

Major Revenue Streams

Deposit service fees consist of fees earned from commercial and consumer customer deposit accounts, such as account maintenance and cash management/analysis fees, as well as other transactional service charges (i.e., insufficient funds, wire transfers, stop payment fees, etc.). Performance obligations for account maintenance services and cash management/analysis fees are satisfied on a monthly basis at a fixed transaction price, whereas performance obligations for other deposit service charges that result from various customer-initiated transactions are satisfied at a point-in-time when the service is rendered. Payment for deposit service fees is generally received immediately or in the following month through a direct charge to the customers' accounts. Certain commercial customer contracts include credit clauses, whereby the Company will grant credit upon the customer meeting pre-determined conditions, which can be used to offset fees. On occasion, the Company may also waive certain fees. Fee waivers are recognized as a reduction to revenue in the period the waiver is granted to the customer.

The deposit service fees revenue stream also includes interchange fees earned from debit and credit card transactions. The transaction price for interchange services is based on the transaction value and the interchange rate set by the card network. Performance obligations for interchange fees are satisfied at a point-in-time when the cardholder's transaction is authorized and settled. Payment for interchange fees is generally received immediately or in the following month.

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Factored receivables non-interest income consists of fees earned from accounts receivable management services. The Company factors accounts receivable, with and without recourse, for customers whereby the Company purchases their accounts receivable at a discount and assumes the risk, as applicable, and ownership of the assets through direct cash receipt from the end consumer. Factoring services are performed in exchange for a non-refundable fee at a transaction price based on a percentage of the gross invoice amount of each receivable purchased, subject to a minimum required amount. The performance obligation for factoring services is generally satisfied at a point-in-time when the receivable is assigned to the Company. However, should the commission earned not meet or exceed the minimum required annual amount, the difference between that and the actual amount is recognized at the end of the contract term. Other fees associated with factoring receivables may include wire transfer and technology fees, field examination fees, and Uniform Commercial Code fees, where the performance obligations are satisfied at a point-in-time when the services are rendered. Payment from the customer for factoring services is generally received immediately or within the following month.

Payroll finance non-interest income consists of fees earned from performing payroll financing and business process outsourcing services, including full back-office technology and tax accounting services, along with payroll preparation, making payroll tax payments, invoice billings, and collections for independently-owned temporary staffing companies nationwide. Performance obligations for payroll finance and business processing activities are either satisfied upon completion of the support services or as payroll remittances are made on behalf of customers to fund their employee payroll, which generally occurs on a weekly basis. The agreed-upon transaction price is based on a fixed-percentage per the terms of the contract, which could be subject to a hold-back reserve to provide for any balances that are assessed to be at risk of collection. When the Company collects on amounts due from end consumers on behalf of its customers and at the time of financing payroll, the Company retains the agreed-upon transaction price payable for the performance of its services and remits an amount to the customer net of any advances and payroll tax withholdings, as applicable.

Wealth and investment services consist of fees earned from asset management, trust administration, and investment advisory services, and through facilitating securities transactions. Performance obligations for asset management and trust administration services are satisfied on a monthly or quarterly basis at a transaction price based on a percentage of the period-end market value of the assets under administration. Payment for asset management and trust administration services is generally received a few days after period-end through a direct charge to the customers' accounts. Performance obligations for investment advisory services are satisfied over the period in which the services are provided through a time-based measurement of progress, and the agreed-upon transaction price with the customer varies depending on the nature of the services performed. Performance obligations for facilitating securities transactions are satisfied at a point-in-time when the securities are sold at a transaction price that is based on a percentage of the contract value. Payment for both investment advisory services and facilitating securities transactions may be received in advance of the service, but generally is received immediately or in the following period, in arrears.

Note 18: Commitments and Contingencies

Credit-Related Financial Instruments

In the normal course of business, the Company offers financial instruments with off-balance sheet risk to meet the financing needs of its customers. These transactions include commitments to extend credit, standby letters of credit, and commercial letters of credit, which involve, to varying degrees, elements of credit risk.

The following table summarizes the outstanding amounts of credit-related financial instruments with off-balance sheet risk:

(In thousands)	At March 31, 2023		At December 31, 2022
Commitments to extend credit	$	11,711,880	$	11,237,496
Standby letters of credit	378,585		380,655
Commercial letters of credit	52,987		53,512
Total credit-related financial instruments with off-balance sheet risk	$	12,143,452	$	11,671,663

The Company enters into contractual commitments to extend credit to its customers (i.e., revolving credit arrangements, term loan commitments, and short-term borrowing agreements), generally with fixed expiration dates or other termination clauses and that require payment of a fee. Substantially all of the Company's commitments to extend credit are contingent upon its customers maintaining specific credit standards at the time of loan funding, and are often secured by real estate collateral. Since the majority of the Company's commitments typically expire without being funded, the total contractual amount does not necessarily represent the Company's future payment requirements.

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Standby letters of credit are written conditional commitments issued by the Company to guarantee its customers' performance to a third party. In the event the customer does not perform in accordance with the terms of its agreement with a third-party, the Company would be required to fund the commitment. The contractual amount of each standby letter of credit represents the maximum amount of potential future payments the Company could be required to make. Historically, the majority of the Company's standby letters of credit expire without being funded. However, if the commitment were funded, the Company has recourse against the customer. The Company's standby letter of credit agreements are often secured by cash or other collateral.

Commercial letters of credit are issued to finance either domestic or foreign customer trade arrangements. As a general rule, drafts are committed to be drawn when the goods underlying the transaction are in transit. Similar to standby letters of credit, the Company's commercial letter of credit agreements are often secured by the underlying goods subject to trade.

Allowance for Credit Losses on Unfunded Loan Commitments

An ACL is recorded under the CECL methodology and included in Accrued expenses and other liabilities on the accompanying Condensed Consolidated Balance Sheets to provide for the unused portion of commitments to lend that are not unconditionally cancellable by the Company. At March 31, 2023, and December 31, 2022, the ACL on unfunded loan commitments totaled $26.1 million and $27.7 million, respectively.Litigation

The Company is subject to certain legal proceedings and unasserted claims and assessments in the ordinary course of business. Legal contingencies are evaluated based on information currently available, including advice of counsel and assessment of available insurance coverage. The Company establishes an accrual for specific legal matters when it determines that the likelihood of an unfavorable outcome is probable and the loss is reasonably estimable. Once established, each accrual is adjusted to reflect any subsequent developments. Legal contingencies are subject to inherent uncertainties, and unfavorable rulings may occur that could cause the Company to either adjust its litigation accrual or incur actual losses that exceed the current estimate, which ultimately could have a material adverse effect, either individually or in the aggregate, on its business, financial condition, or operating results. The Company will consider settlement of cases when it is in the best interests of the Company and its stakeholders. The Company intends to defend itself in all claims asserted against it, and management currently believes that the outcome of these contingencies will not be material, either individually or in the aggregate, to the Company or its consolidated financial position.

Note 19: Subsequent Events

The Company has evaluated subsequent events from the date of the Condensed Consolidated Financial Statements, and accompanying Notes thereto, through the date of issuance, and determined that no significant events were identified requiring recognition or disclosure.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Information regarding quantitative and qualitative disclosures about market risk can be found in Part I within
Note 13: Derivative Financial Instruments in the Notes to the Consolidated Financial Statements contained in Item 1. Financial Statements, and under the section captioned "Asset/Liability Management and Market Risk" contained in Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations, which are incorporated herein by reference.

ITEM 4. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

Our management, under the supervision and with the participation of the Chief Executive Officer (who is our principal executive officer) and Chief Financial Officer (who is our principal financial officer), evaluated the effectiveness of our disclosure controls and procedures, as defined in Rule 13a-15(e) and 15d-15(e) of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), as of March 31, 2023. The term "disclosure controls and procedures" means controls and other procedures of a company that are designed to ensure that information required to be disclosed by a company in the reports that it files or submits under the Exchange Act is recorded, processed, summarized and reported, within the time periods specified in the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed by a company in the reports that it files or submits under the Exchange Act is accumulated and communicated to the issuer's management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure.

Based on that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that as of March 31, 2023, our disclosure controls and procedures were not effective due to the un-remediated material weaknesses in internal control over

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financial reporting related to certain general information technology controls specific to logical access, which was previously disclosed in the Company's Annual Report on Form 10-K for the year ended December 31, 2022. Prior to the filing of this Quarterly Report on Form 10-Q (this "Form 10-Q"), we completed substantive procedures for the quarter ended March 31, 2023. Based on these procedures, management believes that our Condensed Consolidated Financial Statements included in this Form 10-Q have been prepared in accordance with GAAP. For additional information, please refer to Part II - Item 9A. of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

Remediation

Management is in process of implementing measures designed to ensure that the control deficiencies contributing to the material weaknesses are remediated, such that these controls are designed, implemented, and operating effectively. The remediation actions include: (i) designing and implementing controls related to deprovisioning, privileged access, and user access reviews, (ii) developing an enhanced risk assessment process to evaluate logical access, and (iii) improving the existing training program associated with control design and implementation. We believe that these actions will remediate the material weaknesses. The material weaknesses will not be considered remediated, however, until the applicable controls operate for a sufficient period of time and management has concluded, through testing, that these controls are operating effectively. We expect that the remediation of these material weaknesses will be completed prior to the end of 2023.

Changes in Internal Control Over Financial Reporting

Other than the ongoing remediation efforts described above, there were no changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act), during the quarter ended March 31, 2023, that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Limitations on Effectiveness of Controls and Procedures

Because of its inherent limitations, management does not expect that our disclosure controls and procedures or our internal control over financial reporting will prevent or detect all error and fraud. Any control system, no matter how well designed and operated, is based upon certain assumptions and can provide only reasonable, not absolute, assurance that its objectives will be met. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. Further, no evaluation of controls can provide absolute assurance that misstatements due to error or fraud will not occur or that all control issues and instances of fraud, if any, within the Company have been detected.

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PART II - OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

Information regarding legal proceedings can be found within Note 18: Commitments and Contingencies in the Notes to Consolidated Financial Statements contained in Part I - Item 1. Financial Statements, which is incorporated herein by reference.

ITEM 1A. RISK FACTORS

In addition to the other information set forth in this Quarterly Report on Form 10-Q, you should carefully consider the risk factors contained in Part I - Item 1A. Risk Factors of the Company's Annual Report on Form 10-K for the year ended December 31, 2022, which could materially affect our business, results of operations, or financial condition. During the three months ended March 31, 2023, the Company made updates to the following risk factor:

Our stock price can be volatile.

Stock price volatility may make it more difficult for stockholders to resell their common stock when they want and at prices that they find attractive. Our stock price can fluctuate significantly in response to a variety of factors including, among other things:

•actual or anticipated variations in results of operations;

•recommendations or projections by securities analysts;

•operating and stock price performance of other companies that investors deem comparable to us;

•news reports relating to trends, concerns, and other issues in the financial services and healthcare industries;

•perceptions in the marketplace regarding us and/or our competitors;

•new technology used, or services offered, by competitors;

•significant acquisitions or business combinations, strategic partnerships, joint ventures, or capital commitments by or involving us or our competitors, including those of competitor "failed" banks acquired by other competitors;

•changes in dividends and capital returns;

•issuance of additional shares of Webster common stock;

•changes in government regulations; and

•geopolitical conditions such as acts or threats of terrorism or military conflicts, including any military conflict between Russia and Ukraine.

General market fluctuations, including real or anticipated changes in the strength of the economy, industry factors and general economic and political conditions and events, such as economic slowdowns or recessions, interest rate changes, credit loss trends, among other factors, could also cause our stock price to decrease regardless of operating results.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

Issuer Purchases of Equity Securities

The following table provides information with respect to any purchase of equity securities for the Company's common stock made by or on behalf of the Company or any “affiliated purchaser,” as defined in Rule 10b-18(a)(3) under the Securities Exchange Act of 1934, during the three months ended March 31, 2023:

Period	Total Number of Shares Purchased (1)	Average Price Paid Per Share (2)		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Maximum Dollar Amount Available for Purchase Under the Plans or Programs (3)
January 1, 2023 - January 31, 2023	22,744	$	47.53	—	$	401,340,164
February 1, 2023 - February 28, 2023	97,937	54.58		—	401,340,164
March 1, 2023 - March 31, 2023	164,044	52.63		—	401,340,164
Total	284,725	52.90		—	401,340,164

(1)All of the shares purchased during the three months ended March 31, 2023, were acquired at market prices outside of the Company's common stock repurchase program and related to employee share-based compensation plan activity.

(2)The average price paid per share is calculated on a trade date basis and excludes commissions and other transaction costs.

(3)The Company maintains a common stock repurchase program, which was approved by the Board of Directors on October 24, 2017, that authorizes management to purchase shares of Webster common stock in open market or privately negotiated transactions, through block trades, and pursuant to any adopted predetermined trading plan, subject to the availability and trading price of stock, general market conditions, alternative uses for capital, regulatory considerations, and the Company's financial performance. On April 27, 2022, the Board of Directors increased management's authority to repurchase shares of Webster common stock under the repurchase program by $600.0 million in shares. This existing repurchase program will remain in effect until fully utilized or until modified, superseded, or terminated.

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ITEM 3. DEFAULTS UPON SENIOR SECURITIES

Not applicable

ITEM 4. MINE SAFETY DISCLOSURES

Not applicable

ITEM 5. OTHER INFORMATION

Not applicable

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ITEM 6. EXHIBITS

A list of exhibits to this Form 10-Q is set forth below.

Exhibit Number	Exhibit Description	Exhibit Included	Incorporated by Reference
			Form	Exhibit	Filing Date
2	Agreement and Plan of Merger, dated as of April 18, 2021, by and between Sterling Bancorp and Webster Financial Corporation		8-K	2.1	4/23/2021
3	Certificate of Incorporation and Bylaws.
3.1	Fourth Amended and Restated Certificate of Incorporation		10-Q	3.1	8/9/2016
3.2	Certificate of Amendment to Fourth Amended and Restated Certificate of Incorporation of Webster Financial Corporation, effective as of January 31, 2022		8-K	3.2	2/1/2022
3.3	Certificate of Amendment to Fourth Amended and Restated Certificate of Incorporation of Webster Financial Corporation, effective as of April 28, 2023		8-K	3.1	4/28/2023
3.4	Certificate of Designations establishing the rights of the Company's 8.50% Series A Non-Cumulative Perpetual Convertible Preferred Stock		8-K	3.1	6/11/2008
3.5	Certificate of Designations establishing the rights of the Company's Fixed Rate Cumulative Perpetual Preferred Stock, Series B		8-K	3.1	11/24/2008
3.6	Certificate of Designations establishing the rights of the Company's Perpetual Participating Preferred Stock, Series C		8-K	3.1	7/31/2009
3.7	Certificate of Designations establishing the rights of the Company's Non-Voting Perpetual Participating Preferred Stock, Series D		8-K	3.2	7/31/2009
3.8	Certificate of Designations establishing the rights of the Company's 6.40% Series E Non-Cumulative Perpetual Preferred Stock		8-A12B	3.3	12/4/2012
3.9	Certificate of Designations establishing the rights of the Company's 5.25% Series F Non-Cumulative Perpetual Preferred Stock		8-A12B	3.3	12/12/2017
3.10	Certificate of Designations establishing the rights of the Company's 6.50% Series G Non-Cumulative Perpetual Preferred Stock		8-A12B	3.4	2/1/2022
3.11	Bylaws, as amended effective March 15, 2020		8-K	3.1	3/17/2020
3.12	Amendment to Bylaws of Webster Financial Corporation, effective as of January 31, 2022		8-K	3.5	2/1/2022
10.1	Webster Financial Corporation 2021 Stock Incentive Plan (as amended and restated effective April 26, 2023)		DEF 14A	A	3/15/2023
31.1	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, signed by the Chief Executive Officer.	X
31.2	Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, signed by the Chief Financial Officer.	X
32.1	Written statement pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, signed by the Chief Executive Officer.	X (1)
32.2	Written statement pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, signed by the Chief Financial Officer.	X (1)
101	The following financial information from the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2023, formatted in Inline Extensible Business Reporting Language (iXBRL) includes: (i) Cover Page, (ii) Condensed Consolidated Balance Sheets, (iii) Condensed Consolidated Statements Of Income, (iv) Condensed Consolidated Statements Of Comprehensive Income, (v) Condensed Consolidated Statements Of Stockholders' Equity, (vi) Condensed Consolidated Statements Of Cash Flows, and (vii) Notes to Condensed Consolidated Financial Statements, tagged in summary and in detail.	X
104	Cover Page Interactive Data File (formatted as iXBRL and contained in Exhibit 101)	X

(1)Exhibit is furnished herewith and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liability of that section, and shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933 or the Securities Exchange Act of 1934.

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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.

		WEBSTER FINANCIAL CORPORATION
		(Registrant)
Date: May 8, 2023	By:	/s/ John R. Ciulla
		John R. Ciulla
		President, Chief Executive Officer, and Director
		(Principal Executive Officer)
Date: May 8, 2023	By:	/s/ Glenn I. MacInnes
		Glenn I. MacInnes
		Executive Vice President and Chief Financial Officer
		(Principal Financial Officer)
Date: May 8, 2023	By:	/s/ Albert J. Wang
		Albert J. Wang
		Executive Vice President and Chief Accounting Officer
		(Principal Accounting Officer)

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EX-31.1

EXHIBIT 31.1

CERTIFICATION

I, John R. Ciulla, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Webster Financial Corporation;

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:

(a)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;

(b)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;

(c)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

(d)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; and

5.The registrant’s other certifying officer 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):

(a)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

(b)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 8, 2023

/s/ John R. Ciulla

John R. Ciulla

President, Chief Executive Officer, and Director

EX-31.2

EXHIBIT 31.2

CERTIFICATION

I, Glenn I. MacInnes, certify that:

1.I have reviewed this quarterly report on Form 10-Q of Webster Financial Corporation;

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:

(a)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;

(b)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;

(c)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

(d)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; and

5.The registrant’s other certifying officer 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):

(a)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

(b)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 8, 2023

/s/ Glenn I. MacInnes

Glenn I. MacInnes

Executive Vice President and Chief Financial Officer

EX-32.1

EXHIBIT 32.1

CERTIFICATION OF CHIEF EXECUTIVE OFFICER PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. § 1350, as created by Section 906 of the Sarbanes-Oxley Act of 2002, the undersigned officer of Webster Financial Corporation (the “Company”) hereby certifies that, to his knowledge on the date hereof:

(a)the Form 10-Q Report of the Company for the quarter ended March 31, 2023 filed on the date hereof with the Securities and Exchange Commission (the “Report”) fully complies with the requirements of Section 13(a) or Section 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and

(b)the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: May 8, 2023

/s/ John R. Ciulla

John R. Ciulla

President, Chief Executive Officer, and Director

Pursuant to Securities and Exchange Commission Release 33-8238, dated June 5, 2003, this certification is being furnished and shall not be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended or incorporated by reference in any registration statement of the Company filed under the Securities Act of 1933, as amended, except to the extent that the Company specifically incorporates it by reference.

A signed original of this written statement required by Section 906 of the Sarbanes-Oxley Act of 2002 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

EXHIBIT 32.2

CERTIFICATION OF CHIEF FINANCIAL OFFICER PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

Pursuant to 18 U.S.C. § 1350, as created by Section 906 of the Sarbanes-Oxley Act of 2002, the undersigned officer of Webster Financial Corporation (the “Company”) hereby certifies that, to his knowledge on the date hereof:

(a)the Form 10-Q Report of the Company for the quarter ended March 31, 2023 filed on the date hereof with the Securities and Exchange Commission (the “Report”) fully complies with the requirements of Section 13(a) or Section 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and

(b)the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: May 8, 2023

/s/ Glenn I. MacInnes

Glenn I. MacInnes

Executive Vice President and Chief Financial Officer

Pursuant to Securities and Exchange Commission Release 33-8238, dated June 5, 2003, this certification is being furnished and shall not be deemed filed by the Company for purposes of Section 18 of the Securities Exchange Act of 1934, as amended or incorporated by reference in any registration statement of the Company filed under the Securities Act of 1933, as amended, except to the extent that the Company specifically incorporates it by reference.

A signed original of this written statement required by Section 906 of the Sarbanes-Oxley Act of 2002 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Cover Page - shares	3 Months Ended
	Mar. 31, 2023	Apr. 28, 2023
Entity Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Mar. 31, 2023
Document Transition Report	false
Entity File Number	001-31486
Entity Registrant Name	WEBSTER FINANCIAL CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	06-1187536
Entity Address, Address Line One	200 Elm Street
Entity Address, City or Town	Stamford
Entity Address, State or Province	CT
Entity Address, Postal Zip Code	06902
City Area Code	203
Local Phone Number	578-2202
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
Entity Common Stock, Shares Outstanding		174,744,977
Entity Central Index Key	0000801337
Current Fiscal Year End Date	--12-31
Amendment Flag	false
Document Fiscal Period Focus	Q1
Document Fiscal Year Focus	2023
Common Class A
Entity Information [Line Items]
Title of 12(b) Security	Common Stock, par value $0.01 per share
Trading Symbol	WBS
Security Exchange Name	NYSE
Series F Preferred Stock
Entity Information [Line Items]
Title of 12(b) Security	Depositary Shares, each representing 1/1000th interest in a share
Trading Symbol	WBS-PrF
Security Exchange Name	NYSE
Series G Preferred Stock
Entity Information [Line Items]
Title of 12(b) Security	Depositary Shares, each representing 1/40th interest in a share
Trading Symbol	WBS-PrG
Security Exchange Name	NYSE

XML

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Assets:
Cash and due from banks	$ 201,683	$ 264,118
Interest-bearing deposits	2,232,388	575,825
Investment securities available-for-sale, at fair value	7,798,977	7,892,697
Investment securities held-to-maturity, net of allowance for credit losses of $282 and $182	7,063,223	6,564,697
Federal Home Loan Bank and Federal Reserve Bank stock	584,724	445,900
Loans held for sale ($811 and $1,991 valued under fair value option)	210,724	1,991
Loans and leases	50,926,523	49,764,426
Allowance for credit losses on loans and leases	(613,914)	(594,741)
Loans and leases, net	50,312,609	49,169,685
Deferred tax assets, net	315,525	371,634
Premises and equipment, net	431,432	430,184
Goodwill	2,631,465	2,514,104
Other intangible assets, net	229,845	199,342
Cash surrender value of life insurance policies	1,233,994	1,229,169
Accrued interest receivable and other assets	1,597,806	1,618,175
Total assets	74,844,395	71,277,521
Liabilities and stockholders' equity:
Non-interest-bearing	12,007,387	12,974,975
Interest-bearing	43,290,092	41,079,365
Total deposits	55,297,479	54,054,340
Securities sold under agreements to repurchase and other borrowings	306,154	1,151,830
Federal Home Loan Bank advances	8,560,461	5,460,552
Long-term debt (1)	1,071,413	1,073,128
Accrued expenses and other liabilities	1,314,594	1,481,485
Total liabilities	66,550,101	63,221,335
Stockholders’ equity:
Common stock	1,828	1,828
Paid-in capital	6,137,743	6,173,240
Retained earnings	2,856,745	2,713,861
Treasury stock, at cost—8,065,663 and 8,770,472 shares	(397,981)	(431,762)
Accumulated other comprehensive (loss), net of tax	(588,020)	(684,960)
Total stockholders' equity	8,294,294	8,056,186
Total liabilities and stockholders' equity	74,844,395	71,277,521
Series F Preferred Stock
Stockholders’ equity:
Preferred stock	145,037	145,037
Series G Preferred Stock
Stockholders’ equity:
Preferred stock	$ 138,942	$ 138,942

XML

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Allowance	$ 282	$ 182
Value under fair value options	811	1,991
Loans held for sale, valued under fair value option	$ 811	$ 1,991
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	3,000,000	3,000,000
Common stock par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	400,000,000	400,000,000
Common stock, shares issued (in shares)	182,778,045
Treasury stock (in shares)	8,065,663	8,770,472
Series F Preferred Stock
Preferred stock, shares issued (in shares)	6,000	6,000
Preferred stock, shares outstanding (in shares)	6,000	6,000
Series G Preferred Stock
Preferred stock, shares issued (in shares)	135,000
Preferred stock, shares outstanding (in shares)	135,000

XML

Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Interest Income:
Interest and fees on loans and leases	$ 716,356	$ 346,276
Taxable interest and dividends on investments	100,872	53,724
Non-taxable interest on investment securities	13,684	9,802
Loans held for sale	16	26
Total interest income	830,928	409,828
Interest Expense:
Deposits	150,204	7,399
Securities sold under agreements to repurchase and other borrowings	7,827	957
Federal Home Loan Bank advances	68,126	56
Long-term debt	9,488	7,168
Total interest expense	235,645	15,580
Net interest income	595,283	394,248
Provision for credit losses	46,749	188,845
Net interest income after provision for credit losses	548,534	205,403
Non-interest Income:
Deposit service fees	45,436	47,827
Loan and lease related fees	23,005	22,679
Wealth and investment services	6,587	10,597
Mortgage banking activities	59	428
Increase in cash surrender value of life insurance policies	6,728	6,732
(Loss) on sale of investment securities	(16,747)	0
Other income	5,698	15,772
Total non-interest income	70,766	104,035
Non-interest Expense:
Compensation and benefits	173,200	184,002
Occupancy	20,171	18,615
Technology and equipment	44,366	55,401
Intangible assets amortization	9,497	6,387
Marketing	3,476	3,509
Professional and outside services	32,434	54,091
Deposit insurance	12,323	5,222
Other expense	37,000	32,558
Total non-interest expense	332,467	359,785
Income (loss) before income taxes	286,833	(50,347)
Income tax expense (benefit)	65,829	(33,600)
Net income (loss)	221,004	(16,747)
Less: Preferred stock dividends	4,163	3,431
Net income (loss) available to common stockholders	216,841	(20,178)
Earnings applicable to common stockholders	$ 216,841	$ (20,178)
Earnings (loss) per common share:
Basic (in dollars per share)	$ 1.24	$ (0.14)
Diluted (in dollars per share)	$ 1.24	$ (0.14)

XML

Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Statement of Comprehensive Income [Abstract]
Net income (loss)	$ 221,004	$ (16,747)
Other comprehensive income (loss), net of tax:
Investment securities available-for-sale	71,618	(244,879)
Derivative instruments	21,374	(7,844)
Defined benefit pension and other postretirement benefit plans	3,948	(420)
Other comprehensive income (loss), net of tax	96,940	(253,143)
Comprehensive income (loss)	$ 317,944	$ (269,890)

XML

Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) shares in Thousands, $ in Thousands	Total	Cumulative Effect, Period of Adoption, Adjustment	Series F Preferred Stock	Series G Preferred Stock	Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]	Retained Earnings [Member] Cumulative Effect, Period of Adoption, Adjustment	Retained Earnings [Member] Series F Preferred Stock	Retained Earnings [Member] Series G Preferred Stock	Treasury Stock, Common	Accumulated Other Comprehensive Income (Loss), Net of Tax
Beginning Balance at Dec. 31, 2021	$ 3,438,325				$ 145,037	$ 937	$ 1,108,594	$ 2,333,288				$ (126,951)	$ (22,580)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	(16,747)							(16,747)
Other comprehensive (loss), net of tax	(253,143)												(253,143)
Common stock dividends and equivalents	$ (36,234)							(36,234)
Preferred stock dividends			$ (1,969)	$ (1,463)						$ (1,969)	$ (1,463)
Issued in business contribution	5,180,124				138,942	891	5,040,291
Stock-based compensation	$ 9,003						$ (19,098)					28,101
Exercise of stock options	411						(347)					758
Common shares acquired from stock compensation plan activity	(18,967)											(18,967)
Common stock repurchase program	(122,205)											(122,205)
Ending Balance at Mar. 31, 2022	8,177,135				$ 283,979	$ 1,828	6,129,440	2,276,875				(239,264)	(275,723)
Beginning Balance at Dec. 31, 2022	8,056,186	$ (4,245)			283,979	1,828	6,173,240	2,713,861	$ (4,245)			(431,762)	(684,960)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income (loss)	221,004							221,004
Other comprehensive (loss), net of tax	96,940												96,940
Common stock dividends and equivalents	(69,712)							(69,712)
Preferred stock dividends			$ (1,969)	$ (2,194)						$ (1,969)	$ (2,194)
Stock-based compensation	11,646						(33,471)					45,117
Exercise of stock options	1,723						(2,026)					3,749
Common shares acquired from stock compensation plan activity	(15,085)											(15,085)
Ending Balance at Mar. 31, 2023	$ 8,294,294				$ 283,979	$ 1,828	$ 6,137,743	$ 2,856,745				$ (397,981)	$ (588,020)

XML

Condensed Consolidated Statements of Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Common stock dividends/equivalents (in dollars per share)	$ 0.40	$ 0.40
Series F Preferred Stock
Preferred stock dividends (in dollars per share)	328.125	328.125
Series G Preferred Stock
Preferred stock dividends (in dollars per share)	$ 16.25	$ 16.25

XML

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands		3 Months Ended
		Mar. 31, 2023	Mar. 31, 2022
Operating Activities:
Net income (loss)		$ 221,004	$ (16,747)
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses		46,749	188,845
Deferred Income Tax Expense (Benefit)		13,911	(28,543)
Stock-based compensation expense		11,646	9,003
Depreciation and amortization of property and equipment and intangible assets		20,745	16,784
(Accretion) and amortization of interest-earning assets and borrowings		(4,388)	(19,854)
Amortization of low-income housing tax credit investments		21,478	10,377
Amortization of mortgage servicing assets		341	570
Reduction of right-of-use lease assets		7,525	7,928
Net (gain) on sale, net of write-downs, of foreclosed properties and repossessed assets		(323)	(103)
Loss on disposal of property and equipment		5	1,662
Loss on sale of investment securities		16,747	0
Originations of loans held for sale		(2,590)	(23,056)
Proceeds from sale of loans held for sale		3,832	26,753
Net (gain) on mortgage banking activities		(77)	(397)
Net (gain) on sale of loans not originated for sale		(95)	(1,816)
(Increase) in cash surrender value of life insurance policies		(6,728)	(6,732)
(Gain) from life insurance policies		(528)	(38)
Increase (Decrease) in Derivative Assets and Liabilities		(48,570)	215,423
Increase (Decrease) in Other Operating Assets		(8,150)	(69,651)
Increase (Decrease) in Other Accounts Payable and Accrued Liabilities		(78,240)	(95,151)
Net cash provided by operating activities		214,294	215,257
Investing Activities:
Purchases of available-for-sale securities		(357,784)	(714,208)
Proceeds from principal payments, maturities, and calls of available-for-sale securities		119,033	283,474
Proceeds from sale of available-for-sale securities		395,358	0
Purchases of held-to-maturity securities		(599,387)	(456,139)
Proceeds from principal payments, maturities, and calls of held-to-maturity securities		99,992	280,080
Net (increase) decrease in Federal Home Loan Bank and Federal Reserve Bank stock		(138,824)	16,215
Alternative investments (capital calls), net of distributions		(3,184)	(5,661)
Net (increase) in loans		(1,478,986)	(674,472)
Proceeds from sale of loans not originated for sale		106,779	51,127
Proceeds from sale of foreclosed properties and repossessed assets		1,745	231
Additions to property and equipment		(10,293)	(4,644)
Proceeds from life insurance policies		0	7,793
Net cash received in merger with Sterling		0	513,960
Net cash (used for) investing activities		(2,023,197)	(756,651)
Financing Activities:
Net increase in deposits		1,236,463	1,235,442
Proceeds from Federal Home Loan Bank advances		15,450,000	0
Repayments of Federal Home Loan Bank advances		(12,350,091)	(94)
Net increase in securities sold under agreements to repurchase and other borrowings		(845,676)	(183,347)
Dividends paid to common stockholders		(70,140)	(36,234)
Dividends paid to preferred stockholders		(4,163)	(1,969)
Exercise of stock options		1,723	411
Common stock repurchase program		0	(122,205)
Common shares acquired related to stock compensation plan activity		(15,085)	(18,967)
Net cash provided by financing activities		3,403,031	873,037
Net increase in cash and cash equivalents		1,594,128	331,643
Cash and cash equivalents at beginning of period		839,943	461,570
Cash and cash equivalents at end of period		2,434,071	793,213
Supplemental disclosure of cash flow information:
Interest paid		221,182	15,457
Income taxes paid		6,334	7,112
Non-cash investing and financing activities:
Transfer of loans and leases to foreclosed properties and repossessed assets		607	213
Transfer of loans and leases to loans held-for-sale		316,596	42,431
Sterling
Non-cash investing and financing activities:
Tangible assets acquired	[1]	17,607	26,919,975
Goodwill and other intangible assets	[1]	(25,561)	2,149,532
Common stock issued	[1]	0	5,041,182
Liabilities assumed	[1]	(7,954)	(24,403,343)
Sterling | Preferred Stock [Member]
Non-cash investing and financing activities:
Preferred stock exchanged	[1]	0	138,942
Bend Financial, Inc.
Investing Activities:
Net cash paid for acquisition of Bend		0	(54,407)
Non-cash investing and financing activities:
Tangible assets acquired	[1]	294	15,731
Goodwill and other intangible assets	[1]	(294)	38,966
Liabilities assumed	[1]	0	(290)
interLINK
Investing Activities:
Net cash paid for acquisition of Bend		(157,646)	0
Non-cash investing and financing activities:
Tangible assets acquired		6,417	0
Goodwill and other intangible assets		183,216	0
Liabilities assumed		(15,948)	0
Contingent consideration		$ 16,039	$ 0

[1] The activities presented for 2023 reflect adjustments recorded within the one-year measurement period, which were identified as a result of extended information gathering and new information that arose from integration activities. Additional information regarding these amounts can be found within Note 2: Mergers and Acquisitions and Note 6: Goodwill and Other Intangible Assets.

XML

Summary of Significant Accounting Policies

3 Months Ended

Mar. 31, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

Nature of Operations

Webster Financial Corporation is a bank holding company and financial holding company under the BHC Act, incorporated under the laws of Delaware in 1986, and headquartered in Stamford, Connecticut. Webster Bank, along with its HSA Bank division, is a leading commercial bank in the Northeast that delivers a wide range of digital and traditional financial solutions to businesses, individuals, families, and partners across its three differentiated lines of business: Commercial Banking, HSA Bank, and Consumer Banking. While its core footprint spans from New York to Rhode Island and Massachusetts, certain businesses operate in extended geographies. HSA Bank is one of the largest providers of employee benefit solutions in the United States.

Basis of Presentation

The unaudited Condensed Consolidated Financial Statements of the Company have been prepared in accordance with GAAP for interim financial information and Article 10 of Regulation S-X. Certain information and footnote disclosures required by GAAP for complete financial statements have been omitted or condensed. Therefore, the condensed consolidated financial statements should be read in conjunction with the Company's Annual Report on Form 10-K for the year ended
December 31, 2022. The results of operations for the three months ended March 31, 2023, are not necessarily indicative of the future results that may be attained for the entire year or other interim periods.

In the opinion of management, all necessary adjustments have been reflected to present fairly the financial position, results of operations, and cash flows for the reporting periods presented. Intercompany transactions and balances have been eliminated in consolidation. Assets under administration or assets under management that the Company holds or manages in a fiduciary or agency capacity for customers are not included in the Condensed Consolidated Financial Statements.

Use of Estimates

The preparation of the Condensed Consolidated Financial Statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the Condensed Consolidated Financial Statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Accounting Standards Adopted in the Current Period

ASU No. 2022-02—Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures

In March 2022, the FASB issued ASU No. 2022-02, which eliminates the accounting guidance for TDRs by creditors in Subtopic 310-40, Receivables—Troubled Debt Restructurings by Creditors, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Specifically, rather than applying the recognition and measurement guidance for TDRs, an entity must apply the loan refinancing and restructuring guidance in paragraphs 310-20-35-9 through 35-11 to determine whether a modification results in a new loan or a continuation of an existing loan. In addition, the Update requires that an entity disclose current-period gross write-offs by year of origination for financing receivables and net investments in leases within the scope of Subtopic 326-20, Financial Instruments—Credit Losses—Measured at Amortized Cost in the vintage disclosures required by paragraph 326-20-50-6.

Modifications to borrowers experiencing financial difficulty include principal forgiveness, interest rate reductions, payment delays, term extensions, or combinations thereof. Expected losses or recoveries on loans where modifications have been granted to borrowers experiencing financial difficulty have been factored into the ACL on loans and leases. Upon adoption of ASU 2022-02, the Company is no longer required to use a discounted cash flow (or reconcilable) method to measure the ACL resulting from a modification with a borrower experiencing financial difficulty. Accordingly, the Company now applies the same credit loss methodology it uses for similar loans that were not modified.

The Company adopted the Update on January 1, 2023. The Company elected the option to apply the modified retrospective transition method related to the recognition and measurement of TDRs, which resulted in a $5.9 million increase to the Allowance for Credit Losses on Loans and Leases and a $1.7 million decrease to Deferred Tax Assets, net, with a corresponding $4.2 million cumulative-effect adjustment to retained earnings as of the adoption date. The enhanced disclosure requirements provided for by the Update were adopted on a prospective basis. Reporting periods prior to the adoption of the Update are accounted for and presented in accordance with the applicable GAAP.

Refer to Note 4: Loans and Leases for additional information regarding modifications granted to borrowers experiencing financial difficulty.

ASU No. 2022-01—Derivatives and Hedging (Topic 815): Fair Value Hedging—Portfolio Layer Method

In March 2022, the FASB issued ASU No. 2022-01—Derivatives and Hedging (Topic 815): Fair Value Hedging—Portfolio Layer Method, which expands the current last-of-layer method of hedge accounting that permits only one hedged layer to allow multiple hedged layers of a single closed portfolio. To reflect that expansion, the last-of-layer method is renamed the portfolio layer method. Additionally, the amendments in this Update: (i) expand the scope of the portfolio layer method to include non-prepayable assets; (ii) specify eligible hedging instruments in a single-layer hedge; (iii) provide additional guidance on the accounting for and disclosure of hedge basis adjustments; and (iv) specify how hedge basis adjustments should be considered when determining credit losses for the assets included in the closed portfolio. An entity may also reclassify debt securities classified in the held-to-maturity category at the date of adoption to the available-for-sale category only if the entity applies portfolio layer method hedging to one or more closed portfolios that include those debt securities within a 30-day period.

The Company adopted the Update on January 1, 2023 on a prospective basis. The adoption of this guidance did not have a material impact on the Company's Consolidated Financial Statements. The entity did not reclassify any debt securities from the held-to-maturity category to the available-for-sale category as permitted upon adoption.

ASU No. 2021-08—Business Combinations (Topic 805)—Accounting for Contract Assets and Contract Liabilities from Contracts with Customers

In October 2021, the FASB issued ASU No. 2021-08—Business Combinations (Topic 805)—Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires that an acquirer recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. At the acquisition date, an acquirer should account for the related revenue contracts in accordance with Topic 606 as if it had originated the contracts.

The Company adopted the Update on January 1, 2023 on a prospective basis. The adoption of this guidance did not have a material impact on the Company's Consolidated Financial Statements.

Relevant Accounting Standards Issued But Not Yet Adopted

ASU No. 2023-02—Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (a consensus of the Emerging Issues Task Force)

In March 2023, the FASB issued ASU No. 2023-02—Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (a consensus of the Emerging Issues Task Force), which permits reporting entities to elect to account for their tax equity investments, regardless of the program from which the income tax credits are received, using the proportional amortization method if certain conditions are met. A reporting entity may make an accounting policy election to apply the proportional amortization method in accordance with paragraph 323-740-25-4 on a tax-credit-program-by-tax-credit-program basis rather than electing to applying the proportional amortization method at the reporting entity level or to individual investments.

A reporting entity that applies the proportional amortization method to qualifying tax equity investments must account for the receipt of the investment tax credits using the flow-through method under Topic 740, Income Taxes, even if the entity applies the deferral method for other investment tax credit received. The amendments also remove certain guidance for Qualified Affordable Housing Project Investments, require the application of the delayed equity contribution guidance to all tax equity investments, and require specific disclosures that must be applied to all investments that generate income tax credits and other income tax benefits from a tax credit program for which the entity has elected to apply the proportional amortization method in accordance with Subtopic 323-740.

The Update is effective for fiscal years beginning after December 15, 2023, and interim periods within those fiscal years, with early adoption permitted. The amendments generally must be applied on either a modified retrospective or retrospective basis with a cumulative-effect adjustment to retained earnings reflecting the difference between the previous method used to account for the tax equity investment and the application of the proportional amortization method since the investment was entered into. The Company is in the early assessment stages of evaluating the amendments and the impact of adoption on its Consolidated Financial Statements and disclosures.

ASU No. 2023-01—Leases (Topic 842): Common Control Arrangements

In March 2023, the FASB issued ASU No. 2023-01—Leases (Topic 842): Common Control Arrangements, which requires that leasehold improvements associated with leases between entities under common control be: (i) amortized by the lessee over the useful live of the leasehold improvements to the common control group (regardless of the lease term) as long as the lessee controls the use of the underlying asset (the leased asset) through a lease; however, if the lessor obtained the right to control the use of the underlying asset through a lease with another entity not within the same common control group, the amortization period may not exceed the amortization period of the common control group; and (ii) accounted for as a transfer between entities under common control through an adjustment to equity, if, and when, the lessee no longer controls the use of the underlying asset. Additionally, those leasehold improvements are subject to the impairment guidance in Topic 360, Property, Plant, and Equipment.

The Update is effective for fiscal years beginning after December 15, 2023, and interim periods within those fiscal years, with early adoption permitted. The amendments either may be applied prospectively to all new and existing leasehold improvements recognized on or after the adoption date with any remaining unamortized balance of existing leasehold improvements amortized over their remaining useful life to the common control group determined at that date; or retrospectively to the beginning of the period in which the entity first applied Topic 842, with any leasehold improvements that otherwise would not have been amortized or impaired recognized through a cumulative-effect adjustment to the opening balance of retained earnings at the beginning of the earliest period presented in accordance with Topic 842. The Company is in the early assessment stages of evaluating the amendments and the impact of adoption on its Consolidated Financial Statements.

ASU No. 2022-03—Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions

In June 2022, the FASB issued ASU No. 2022-03—Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions, which clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security, and therefore, is not considered in measuring fair value. The amendments also clarify that an entity cannot, as a separate unit of account, recognize and measure a contractual sale restriction, and requires the following disclosures for equity securities subject to contractual sale restrictions: (i) the fair value of equity securities subject to contractual sale restrictions reflected on the balance sheet; (ii) the nature and remaining duration of the restriction(s); and (iii) the circumstances that could cause a lapse in the restriction(s).

The Update is effective for fiscal years beginning after December 15, 2023, and interim periods within those fiscal years, with early adoption permitted. For all entities except investment companies, the amendments should be applied prospectively with any adjustments from the adoption of the amendments recognized in earnings and disclosed on the date of adoption. The adoption of this guidance is not expected to have a material impact on the Consolidated Financial Statements as the Company does not currently consider contractual restrictions on the sale of an equity security in measuring fair value.

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Mergers and Acquisitions

3 Months Ended

Mar. 31, 2023

Business Combination and Asset Acquisition [Abstract]

Mergers and Acquisitions

Mergers and Acquisitions

interLINK Acquisition

On January 11, 2023, Webster acquired 100% ownership of interLINK from StoneCastle Partners LLC. interLINK is a technology-enabled deposit management platform that administers over $9 billion of deposits from FDIC-insured cash sweep programs between banks and broker/dealers and clearing firms. The acquisition provides the Company with access to a unique source of core deposit funding and scalable liquidity and adds another technology-enabled channel to its already differentiated, omnichannel deposit gathering capabilities.

The total purchase price of the acquisition was $174.6 million, which included cash paid of $158.6 million and $16.0 million of contingent consideration measured at fair value. The contingent consideration is payable in cash upon the achievement of discrete customer and deposit growth events within three years of the acquisition date. Additional information regarding the determination of fair value for contingent consideration liabilities can be found within Note 14: Fair Value Measurements.

The transaction has been accounted for as a business combination, and resulted in the addition of $31.4 million in net assets measured at fair value, which primarily comprised $36.0 million of broker dealer relationship intangible assets, $6.0 million of developed technology, a $4.0 million non-competition agreement intangible asset, and $15.9 million of royalty liabilities. Fair value estimates of the acquired assets and assumed liabilities are subject to adjustment during the one-year measurement period following the closing of the acquisition. The $143.2 million of preliminary goodwill recognized is deductible for tax purposes.

Bend Financial, Inc. Acquisition

On February 18, 2022, Webster acquired 100% of the equity interests of Bend, a cloud-based platform solution provider for HSAs, in exchange for cash of $55.3 million. The transaction was accounted for as a business combination, and resulted in the addition of $19.6 million in net assets measured at fair value, which primarily comprised $15.9 million of internal use software and a $3.0 million customer relationship intangible asset. The Company's valuations of the assets acquired and liabilities assumed in the Bend Acquisition were considered final as of March 31, 2023.

Merger with Sterling Bancorp

On January 31, 2022, Webster completed its merger with Sterling. The transaction was accounted for as a business combination. Accordingly, the purchase price was allocated to the assets acquired and liabilities assumed based on their fair values as of the merger effective date. The determination of fair value requires management to make estimates about discount rates, future expected cash flows, market conditions, and other future events that are highly subjective in nature and are subject to change. Fair value estimates of the assets acquired and liabilities assumed were subject to adjustment during the one-year measurement period following the closing of the merger if new information was obtained about facts and circumstances that existed as of the merger effective date that, if known, would have affected the measurement of the amounts recognized as of that date. Measurement period adjustments made during the first quarter of 2023 totaled a net $25.6 million, which pertained to other assets and other liabilities and their related deferred tax impact. The Company's valuations of the assets acquired and liabilities assumed in the merger with Sterling were considered final as of March 31, 2023.

The following table summarizes the allocation of the purchase price to the fair value of the identifiable assets acquired and liabilities assumed from Sterling as of January 31, 2022:

(In thousands)	Unpaid Principal Balance		Fair Value
Purchase price consideration			$	5,180,300
Assets:
Cash and due from banks			510,929
Interest-bearing deposits			3,207
Investment securities available-for-sale			4,429,948
Federal Home Loan Bank and Federal Reserve Bank Stock			150,502
Loans held for sale			23,517
Loans and leases:
Commercial non-mortgage	$	5,570,782	5,527,657
Asset-based	694,137		683,958
Commercial real estate	6,790,600		6,656,405
Multi-family	4,303,381		4,255,906
Equipment financing	1,350,579		1,314,311
Warehouse lending	647,767		643,754
Residential	1,313,785		1,281,637
Home equity	132,758		122,553
Other consumer	12,559		12,525
Total loans and leases	$	20,816,348	20,498,706
Deferred tax assets, net			(59,716)
Premises and equipment			264,421
Other intangible assets			210,100
Bank-owned life insurance policies			645,510
Accrued interest receivable and other assets			986,729
Total assets acquired			$	27,663,853
Liabilities:
Non-interest-bearing deposits			$	6,620,248
Interest-bearing deposits			16,643,755
Securities sold under agreements to repurchase and other borrowings			27,184
Long-term debt			516,881
Accrued expenses and other liabilities			589,689
Total liabilities assumed			$	24,397,757
Net assets acquired			3,266,096
Goodwill			$	1,914,204

In connection with the merger with Sterling, the Company recorded $1.9 billion of goodwill, which represents the excess of the purchase price over the fair value of the net assets acquired. Information regarding the allocation of goodwill to the Company's reportable segments can be found within Note 16: Segment Reporting. For a description of the valuation methodologies used to estimate the fair values of the significant assets acquired and liabilities assumed, refer to Note 2: Mergers and Acquisitions of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

Merger-Related Expenses and Exit Activities

The following table summarizes total merger-related expenses, which were primarily incurred in connection with the merger with Sterling:

	Three months ended March 31,
(In thousands)	2023		2022
Compensation and benefits (1)	$	11,112	$	41,585
Occupancy	735		356
Technology and equipment (2)	(1,709)		19,085
Professional and outside services (3)	20,009		44,457
Marketing	135		—
Other expense (4)	(909)		3,012
Total merger-related expenses	$	29,373	$	108,495

(1)Comprised primarily of severance and employee retention costs, and executive synergy stock awards.

(2)Comprised primarily of technology contract termination costs. Includes a reduction of $4.8 million to a previously recorded technology-related contract termination charge during the three months ended March 31, 2023, due to a change in the expected use of certain services post core conversion.

(3)Comprised primarily of advisory, legal, accounting, and other professional fees.

(4)Comprised primarily of contract termination costs, disposals on property and equipment, and other miscellaneous expenses. Includes a reduction of $1.7 million to a previously recorded contract termination charge during the three months ended
March 31, 2023, due to a decrease in volume usage.

The following tables summarize the change in accrued expenses and other liabilities as it relates to severance and contract termination costs, which were primarily incurred in connection with the merger with Sterling:

	Three months ended March 31, 2023
(In thousands)	Severance		Contract Termination		Total
Balance, beginning of period	$	7,583	$	30,362	$	37,945
Additions charged to expense	6,196		—		6,196
Cash payments	(6,993)		—		(6,993)
Other	(825)		(6,587)		(7,412)
Balance, end of period	$	5,961	$	23,775	$	29,736
	Three months ended March 31, 2022
(In thousands)	Severance		Contract Termination		Total
Balance, beginning of period	$	10,835	$	—	$	10,835
Additions charged to expense	26,971		17,704		44,675
Cash payments	(1,766)		—		(1,766)
Other (1)	(3,884)		—		(3,884)
Balance, end of period	$	32,156	$	17,704	$	49,860

(1)Reflects the release of $3.9 million from the Company's severance accrual, as the Company re-evaluated its strategic priorities as a combined organization in connection with the Sterling merger, which resulted in modifications to the Company's strategic initiatives that were previously announced in December 2020.

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Investment Securities

3 Months Ended

Mar. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Investment Securities

Investment Securities

Available-for-Sale

The following tables summarize the amortized cost and fair value of available-for-sale securities by major type:

	At March 31, 2023
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value
U.S. Treasury notes	$	407,224	$	—	$	(20,452)	$	386,772
Government agency debentures	302,067		—		(39,725)		262,342
Municipal bonds and notes	1,707,779		7		(62,558)		1,645,228
Agency CMO	61,728		—		(4,266)		57,462
Agency MBS	2,496,654		368		(266,172)		2,230,850
Agency CMBS	1,889,561		3,542		(257,851)		1,635,252
CMBS	927,591		—		(25,533)		902,058
Corporate debt	714,359		—		(88,836)		625,523
Private label MBS	48,325		—		(4,063)		44,262
Other	10,061		—		(833)		9,228
Total available-for-sale securities	$	8,565,349	$	3,917	$	(770,289)	$	7,798,977
	At December 31, 2022
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value
U.S. Treasury notes	$	755,968	$	—	$	(38,928)	$	717,040
Government agency debentures	302,018		—		(43,644)		258,374
Municipal bonds and notes	1,719,110		5		(85,913)		1,633,202
Agency CMO	64,984		—		(5,019)		59,965
Agency MBS	2,461,337		26		(303,339)		2,158,024
Agency CMBS	1,664,600		—		(258,114)		1,406,486
CMBS	929,588		—		(32,948)		896,640
CLO	2,108		—		(1)		2,107
Corporate debt	795,999		—		(91,587)		704,412
Private label MBS	48,895		—		(4,646)		44,249
Other	12,548		—		(350)		12,198
Total available-for-sale securities	$	8,757,155	$	31	$	(864,489)	$	7,892,697

(1)Accrued interest receivable on available-for-sale securities of $41.4 million and $36.9 million at March 31, 2023, and
December 31, 2022, respectively, is excluded from amortized cost and is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets.

Unrealized Losses

The following tables summarize the gross unrealized losses and fair value of available-for-sale securities by length of time each major security type has been in a continuous unrealized loss position:

	At March 31, 2023
	Less Than 12 Months				12 Months or More				Total
(Dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Number of Holdings	Fair Value		Unrealized Losses
U.S. Treasury notes	$	—	$	—	$	386,772	$	(20,452)	14	$	386,772	$	(20,452)
Government agency debentures	71,134		(3,714)		191,208		(36,011)		19	262,342		(39,725)
Municipal bonds and notes	15,479		(239)		1,598,253		(62,319)		430	1,613,732		(62,558)
Agency CMO	7,915		(228)		49,547		(4,038)		38	57,462		(4,266)
Agency MBS	86,133		(3,319)		2,045,564		(262,853)		459	2,131,697		(266,172)
Agency CMBS	64,576		(933)		1,397,565		(256,918)		133	1,462,141		(257,851)
CMBS	155,493		(2,056)		746,565		(23,477)		51	902,058		(25,533)
Corporate debt	13,041		(1,158)		612,482		(87,678)		92	625,523		(88,836)
Private label MBS	44,262		(4,063)		—		—		3	44,262		(4,063)
Other	4,810		(190)		4,168		(643)		2	8,978		(833)
Total	$	462,843	$	(15,900)	$	7,032,124	$	(754,389)	1,241	$	7,494,967	$	(770,289)

	At December 31, 2022
	Less Than Twelve Months				Twelve Months or Longer				Total
(Dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Number of Holdings	Fair Value		Unrealized Losses
U.S. Treasury notes	$	337,563	$	(19,167)	$	379,477	$	(19,761)	23	$	717,040	$	(38,928)
Government agency debentures	258,374		(43,644)		—		—		19	258,374		(43,644)
Municipal bonds and notes	1,616,771		(85,913)		—		—		444	1,616,771		(85,913)
Agency CMO	55,693		(4,640)		4,272		(379)		39	59,965		(5,019)
Agency MBS	1,641,544		(206,412)		515,206		(96,927)		460	2,156,750		(303,339)
Agency CMBS	485,333		(68,674)		921,153		(189,440)		132	1,406,486		(258,114)
CMBS	273,150		(8,982)		598,490		(23,966)		52	871,640		(32,948)
CLO	—		—		2,107		(1)		1	2,107		(1)
Corporate debt	692,990		(89,692)		8,421		(1,895)		105	701,411		(91,587)
Private label MBS	44,249		(4,646)		—		—		3	44,249		(4,646)
Other	12,198		(350)		—		—		4	12,198		(350)
Total	$	5,417,865	$	(532,120)	$	2,429,126	$	(332,369)	1,282	$	7,846,991	$	(864,489)

The $94.2 million decrease in gross unrealized losses from December 31, 2022, to March 31, 2023, is primarily due to a decline in long-term market rates. The Company assesses each available-for-sale security that is in an unrealized loss position to determine whether the decline in fair value below the amortized cost basis is a result from a credit loss or other factors. At both March 31, 2023, and December 31, 2022, no ACL was recorded on available-for-sale securities as each of the securities in the Company's portfolio are investment grade, current as to principal and interest, and their price changes are consistent with interest and credit spreads when adjusting for convexity, rating, and industry differences.

At March 31, 2023, based on current market conditions and the Company's current targeted balance sheet composition strategy, the Company has the intent to hold its available-for-sale securities with unrealized loss positions through the anticipated recovery period, and it is more-likely-than-not that the Company will not have to sell these available-for-sale securities before the recovery of the entire amortized cost basis. The issuers of these available-for-sale securities have not, to the Company’s knowledge, established any cause for default. Market prices are expected to approach par as the securities approach maturity.

Contractual Maturities

The following table summarizes the amortized cost and fair value of available-for-sale securities by contractual maturity:

	At March 31, 2023
(In thousands)	Amortized Cost		Fair Value
Maturing within 1 year	$	41,886	$	41,593
After 1 year through 5 years	953,221		903,665
After 5 through 10 years	1,469,500		1,364,238
After 10 years	6,100,742		5,489,481
Total available-for-sale securities	$	8,565,349	$	7,798,977

Available-for-sale securities that are not due at a single maturity date have been categorized based on the maturity date of the underlying collateral. Actual principal cash flows may differ from this categorization as borrowers have the right to repay their obligations with or without prepayment penalties.

Sales of Available-for Sale Securities

During the three months ended March 31, 2023, the Company sold U.S. Treasury notes and Corporate debt securities classified as available-for-sale for proceeds of $395.4 million, which resulted in gross realized losses of $20.5 million. Because $3.8 million of the total loss recognized was attributed to a decline in credit quality, that portion of the charge has been included in the Provision for credit losses on the accompanying Condensed Consolidated Statements of Income. There were no sales of available-for-sale securities during the three months ended March 31, 2022.

Other Information

The following table summarizes available-for-sale securities pledged for deposits, borrowings, and other purposes:

(In thousands)	At March 31, 2023		At December 31, 2022
Pledged for deposits	$	2,868,000	$	2,573,072
Pledged for borrowings and other	3,848,039		1,195,101
Total available-for-sale securities pledged	$	6,716,039	$	3,768,173

At March 31, 2023, the Company had callable available-for-sale securities with an aggregate carrying value of $2.8 billion.

Held-to-Maturity

The following tables summarize the amortized cost, fair value, and ACL on held-to-maturity securities by major type:

	At March 31, 2023
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value		Allowance		Net Carrying Value
Agency CMO	$	27,101	$	—	$	(1,727)	$	25,374	$	—	$	27,101
Agency MBS	2,613,113		1,458		(300,457)		2,314,114		—		2,613,113
Agency CMBS	3,364,186		3,790		(410,763)		2,957,213		—		3,364,186
Municipal bonds and notes	927,501		2,957		(29,188)		901,270		282		927,219
CMBS	131,604		—		(8,893)		122,711		—		131,604
Total held-to-maturity securities	$	7,063,505	$	8,205	$	(751,028)	$	6,320,682	$	282	$	7,063,223

	At December 31, 2022
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value		Allowance		Net Carrying Value
Agency CMO	$	28,358	$	—	$	(2,060)	$	26,298	$	—	$	28,358
Agency MBS	2,626,114		827		(339,592)		2,287,349		—		2,626,114
Agency CMBS	2,831,949		845		(407,648)		2,425,146		—		2,831,949
Municipal bonds and notes	928,845		1,098		(47,183)		882,760		182		928,663
CMBS	149,613		—		(9,713)		139,900		—		149,613
Total held-to-maturity securities	$	6,564,879	$	2,770	$	(806,196)	$	5,761,453	$	182	$	6,564,697

(1)Accrued interest receivable on held-to-maturity securities of $20.2 million and $24.2 million at March 31, 2023, and
December 31, 2022, respectively, is excluded from amortized cost and is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets.

An ACL on held-to-maturity securities is recorded for certain Municipal bonds and notes to account for expected lifetime credit losses. Agency securities represent obligations issued by a U.S. government-sponsored enterprise or other federally-related entity and are either explicitly or implicitly guaranteed and therefore, assumed to be zero loss. Held-to-maturity securities with gross unrealized losses and no ACL are considered to be high credit quality, and therefore, zero credit loss has been recorded.

The following table summarizes the activity in the ACL on held-to-maturity securities:

	Three months ended March 31,
(In thousands)	2023		2022
Balance, beginning of period	$	182	$	214
Provision (benefit) for credit losses	100		(10)
Balance, end of period	$	282	$	204

Contractual Maturities

The following table summarizes the amortized cost and fair value of held-to-maturity securities by contractual maturity:

	At March 31, 2023
(In thousands)	Amortized Cost		Fair Value
Maturing within 1 year	$	6,093	$	6,115
After 1 year through 5 years	52,893		53,722
After 5 through 10 years	338,353		324,864
After 10 years	6,666,166		5,935,981
Total held-to-maturity securities	$	7,063,505	$	6,320,682

Held-to-maturity securities that are not due at a single maturity date have been categorized based on the maturity date of the underlying collateral. Actual principal cash flows may differ from this categorization as borrowers have the right to prepay their obligations with or without prepayment penalties.

Credit Quality Information

The Company monitors the credit quality of held-to-maturity securities through credit ratings provided by Standard & Poor's Rating Services, Moody's Investor Services, Fitch Ratings, Inc., Kroll Bond Rating Agency, or DBRS Inc. Credit ratings express opinions about the credit quality of a security, and are updated at each quarter end. Investment grade securities are rated BBB- or higher by S&P, or Baa3 or higher by Moody's, and are generally considered by the rating agencies and market participants to be of low credit risk. Conversely, securities rated below investment grade, which are labeled as speculative grade by the rating agencies, are considered to have distinctively higher credit risk than investment grade securities. There were no speculative grade held-to-maturity securities at March 31, 2023, or December 31, 2022. Held-to-maturity securities that are not rated are collateralized with U.S. Treasury obligations.

The following tables summarize the amortized cost of held-to-maturity securities based on their lowest publicly available credit rating:

	March 31, 2023
	Investment Grade
(In thousands)	Aaa		Aa1		Aa2		Aa3		A1		A2		Not Rated
Agency CMO	$	—	$	27,101	$	—	$	—	$	—	$	—	$	—
Agency MBS	—		2,613,113		—		—		—		—		—
Agency CMBS	—		3,364,186		—		—		—		—		—
Municipal bonds and notes	350,578		163,138		254,843		116,343		38,134		4,165		300
CMBS	131,604		—		—		—		—		—		—
Total held-to-maturity securities	$	482,182	$	6,167,538	$	254,843	$	116,343	$	38,134	$	4,165	$	300

	December 31, 2022
	Investment Grade
(In thousands)	Aaa		Aa1		Aa2		Aa3		A1		A2		Not Rated
Agency CMO	$	—	$	28,358	$	—	$	—	$	—	$	—	$	—
Agency MBS	—		2,626,114		—		—		—		—		—
Agency CMBS	—		2,831,949		—		—		—		—		—
Municipal bonds and notes	336,035		163,312		255,235		116,870		38,177		4,165		15,051
CMBS	149,613		—		—		—		—		—		—
Total held-to-maturity securities	$	485,648	$	5,649,733	$	255,235	$	116,870	$	38,177	$	4,165	$	15,051

At March 31, 2023, and December 31, 2022, there were no held-to-maturity securities past due under the terms of their agreements nor in non-accrual status.

Other Information

The following table summarizes held-to-maturity securities pledged for deposits, borrowings, and other purposes:

(In thousands)	At March 31, 2023		At December 31, 2022
Pledged for deposits	$	1,573,285	$	1,596,777
Pledged for borrowings and other	5,057,769		260,735
Total held-to-maturity securities pledged	$	6,631,054	$	1,857,512

At March 31, 2023, the Company had callable held-to-maturity securities with an aggregate carrying value of $0.9 billion.

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Loans and Leases

3 Months Ended

Mar. 31, 2023

Loans and Leases Receivable Disclosure [Abstract]

Loans and Leases

Loans and Leases

The following table summarizes loans and leases by portfolio segment and class:

(In thousands)	At March 31, 2023		At December 31, 2022
Commercial non-mortgage	$	16,939,373	$	16,392,795
Asset-based	1,760,527		1,821,642
Commercial real estate	13,499,139		12,997,163
Multi-family	7,014,599		6,621,982
Equipment financing	1,601,109		1,628,393
Warehouse lending	474,328		641,976
Commercial portfolio	41,289,075		40,103,951
Residential	8,001,563		7,963,420
Home equity	1,580,569		1,633,107
Other consumer	55,316		63,948
Consumer portfolio	9,637,448		9,660,475
Loans and leases	$	50,926,523	$	49,764,426

The carrying amount of loans and leases at March 31, 2023, and December 31, 2022, includes net unamortized
(discounts)/premiums and net unamortized deferred (fees)/costs totaling $(58.6) million and $(68.7) million, respectively. Accrued interest receivable of $246.1 million and $226.3 million at March 31, 2023, and December 31, 2022, respectively, is excluded from the carrying amount of loans and leases and is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets. At March 31, 2023, the Company had pledged $15.0 billion of eligible loans as collateral to support borrowing capacity at the FHLB.

Non-Accrual and Past Due Loans and Leases

The following tables summarize the aging of accrual and non-accrual loans and leases by class:

	At March 31, 2023
(In thousands)	30-59 Days Past Due and Accruing		60-89 Days Past Due and Accruing		90 or More Days Past Due and Accruing		Non-accrual		Total Past Due and Non-accrual		Current		Total Loans and Leases
Commercial non-mortgage	$	6,916	$	162	$	215	$	69,129	$	76,422	$	16,862,951	$	16,939,373
Asset-based	—		—		—		9,428		9,428		1,751,099		1,760,527
Commercial real estate	15,171		—		175		33,966		49,312		13,449,827		13,499,139
Multi-family	1,929		—		—		—		1,929		7,012,670		7,014,599
Equipment financing	2,472		105		—		13,018		15,595		1,585,514		1,601,109
Warehouse lending	—		—		—		—		—		474,328		474,328
Commercial portfolio	26,488		267		390		125,541		152,686		41,136,389		41,289,075
Residential	7,112		3,347		—		25,291		35,750		7,965,813		8,001,563
Home equity	3,977		1,649		—		28,873		34,499		1,546,070		1,580,569
Other consumer	415		104		213		106		838		54,478		55,316
Consumer portfolio	11,504		5,100		213		54,270		71,087		9,566,361		9,637,448
Total	$	37,992	$	5,367	$	603	$	179,811	$	223,773	$	50,702,750	$	50,926,523

	At December 31, 2022
(In thousands)	30-59 Days Past Due and Accruing		60-89 Days Past Due and Accruing		90 or More Days Past Due and Accruing		Non-accrual		Total Past Due and Non-accrual		Current		Total Loans and Leases
Commercial non-mortgage	$	8,434	$	821	$	645	$	71,884	$	81,784	$	16,311,011	$	16,392,795
Asset-based	5,921		—		—		20,024		25,945		1,795,697		1,821,642
Commercial real estate	1,494		23,492		68		39,057		64,111		12,933,052		12,997,163
Multi-family	1,157		—		—		636		1,793		6,620,189		6,621,982
Equipment financing	806		9,988		—		12,344		23,138		1,605,255		1,628,393
Warehouse lending	—		—		—		—		—		641,976		641,976
Commercial portfolio	17,812		34,301		713		143,945		196,771		39,907,180		40,103,951
Residential	8,246		3,083		—		25,424		36,753		7,926,667		7,963,420
Home equity	5,293		2,820		—		27,924		36,037		1,597,070		1,633,107
Other consumer	1,028		85		13		148		1,274		62,674		63,948
Consumer portfolio	14,567		5,988		13		53,496		74,064		9,586,411		9,660,475
Total	$	32,379	$	40,289	$	726	$	197,441	$	270,835	$	49,493,591	$	49,764,426

The following table provides additional information on non-accrual loans and leases:

	At March 31, 2023				At December 31, 2022
(In thousands)	Non-accrual		Non-accrual with No Allowance		Non-accrual		Non-accrual with No Allowance
Commercial non-mortgage	$	69,129	$	12,382	$	71,884	$	12,598
Asset-based	9,428		1,330		20,024		1,491
Commercial real estate	33,966		1,502		39,057		90
Multi-family	—		—		636		—
Equipment financing	13,018		1,895		12,344		2,240
Commercial portfolio	125,541		17,109		143,945		16,419
Residential	25,291		10,674		25,424		10,442
Home equity	28,873		15,114		27,924		15,193
Other consumer	106		4		148		5
Consumer portfolio	54,270		25,792		53,496		25,640
Total	$	179,811	$	42,901	$	197,441	$	42,059

Interest on non-accrual loans and leases that would have been recognized as additional interest income had the loans and leases been current in accordance with their original terms totaled $6.1 million and $4.4 million for the three months ended
March 31, 2023, and 2022, respectively.

Allowance for Credit Losses on Loans and Leases

The following table summarizes the change in the ACL on loans and leases by portfolio segment:

	At or for the three months ended March 31,
	2023						2022
(In thousands)	Commercial Portfolio		Consumer Portfolio		Total		Commercial Portfolio		Consumer Portfolio		Total
ACL on loans and leases:
Balance, beginning of period	$	533,125	$	61,616	$	594,741	$	257,877	$	43,310	$	301,187
Adoption of ASU No. 2022-02	7,704		(1,831)		5,873		—		—		—
Initial allowance for PCD loans and leases (1)	—		—		—		78,376		9,669		88,045
Provision (benefit)	38,757		(936)		37,821		184,327		4,741		189,068
Charge-offs	(26,410)		(1,098)		(27,508)		(11,248)		(1,120)		(12,368)
Recoveries	1,574		1,413		2,987		1,364		2,075		3,439
Balance, end of period	$	554,750	$	59,164	$	613,914	$	510,696	$	58,675	$	569,371
Individually evaluated for credit losses	27,459		8,590		36,049		32,736		12,057		44,793
Collectively evaluated for credit losses	$	527,291	$	50,574	$	577,865	$	477,960	$	46,618	$	524,578

(1)Represents the establishment of the initial reserve for PCD loans and leases, which is reported net of $48.3 million of day one charge-offs recognized at the date of acquisition in accordance with GAAP.

Credit Quality Indicators

To measure credit risk for the commercial portfolio, the Company employs a dual grade credit risk grading system for estimating the PD and LGD. The credit risk grade system assigns a rating to each borrower and to the facility, which together form a Composite Credit Risk Profile. The credit risk grade system categorizes borrowers by common financial characteristics that measure the credit strength of borrowers and facilities by common structural characteristics. The Composite Credit Risk Profile has ten grades, with each grade corresponding to a progressively greater risk of loss. Grades (1) to (6) are considered pass ratings, and grades (7) to (10) are considered criticized, as defined by the regulatory agencies. A (7) "Special Mention" rating has a potential weakness that, if left uncorrected, may result in deterioration of the repayment prospects for the asset. A (8) "Substandard" rating has a well-defined weakness that jeopardizes the full repayment of the debt. A (9) "Doubtful" rating has all of the same weaknesses as a substandard asset with the added characteristic that the weakness makes collection or liquidation in full given current facts, conditions, and values improbable. Assets classified as a (10) "Loss" rating are considered uncollectible and are charged-off. Risk ratings, which are assigned to differentiate risk within the portfolio, are reviewed on an ongoing basis and revised to reflect changes in a borrower's current financial position and outlook, risk profile, and the related collateral and structural position. Loan officers review updated financial information or other loan factors on at least an annual basis for all pass rated loans to assess the accuracy of the risk grade. Criticized loans undergo more frequent reviews and enhanced monitoring.

To measure credit risk for the consumer portfolio, the most relevant credit characteristic is the FICO score, which is a widely used credit scoring system that ranges from 300 to 850. A lower FICO score is indicative of higher credit risk and a higher FICO score is indicative of lower credit risk. FICO scores are updated on at least a quarterly basis.

The following tables summarize the amortized cost basis of commercial loans and leases by Composite Credit Risk Profile grade and origination year:

	At March 31, 2023
(In thousands)	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Commercial non-mortgage:
Risk rating:
Pass	$	867,446	$	5,084,158	$	1,781,158	$	864,566	$	708,271	$	1,156,948	$	5,992,440	$	16,454,987
Special mention	25,083		62,638		24,644		12,727		15,640		8,631		30,522		179,885
Substandard	22,393		59,838		15,155		46,558		35,660		56,930		67,967		304,501
Total commercial non-mortgage	914,922		5,206,634		1,820,957		923,851		759,571		1,222,509		6,090,929		16,939,373
Current period gross write-offs	324		103		101		395		169		2,105		—		3,197
Asset-based:
Risk rating:
Pass	2,000		21,486		—		8,868		10,585		51,172		1,514,179		1,608,290
Special mention	—		—		—		—		—		495		66,053		66,548
Substandard	—		—		—		—		1,330		—		84,359		85,689
Total asset-based	2,000		21,486		—		8,868		11,915		51,667		1,664,591		1,760,527
Current period gross write-offs	—		—		—		—		13,189		—		—		13,189
Commercial real estate:
Risk rating:
Pass	921,252		3,438,768		1,999,831		1,481,136		1,547,577		3,591,701		139,886		13,120,151
Special mention	4,225		22,788		43,548		42,519		51,379		74,390		4,499		243,348
Substandard	—		515		2,453		212		31,137		101,323		—		135,640
Total commercial real estate	925,477		3,462,071		2,045,832		1,523,867		1,630,093		3,767,414		144,385		13,499,139
Current period gross write-offs	—		—		—		—		—		8,950		—		8,950
Multi-family:
Risk rating:
Pass	508,429		1,930,324		1,051,536		449,185		666,060		2,189,520		93,523		6,888,577
Special mention	—		37,686		—		13,243		370		40,800		8,402		100,501
Substandard	—		—		—		377		—		25,144		—		25,521
Total multi-family	508,429		1,968,010		1,051,536		462,805		666,430		2,255,464		101,925		7,014,599
Current period gross write-offs	—		—		—		—		—		1,033		—		1,033
Equipment financing:
Risk rating:
Pass	132,662		367,476		316,521		295,379		277,878		145,561		—		1,535,477
Special mention	—		—		170		—		11,583		6,540		—		18,293
Substandard	—		3,183		14,918		12,013		4,527		12,698		—		47,339
Total equipment financing	132,662		370,659		331,609		307,392		293,988		164,799		—		1,601,109
Current period gross write-offs	—		—		—		—		—		41		—		41
Warehouse lending:
Risk rating:
Pass	—		—		—		—		—		—		474,328		474,328
Total warehouse lending	—		—		—		—		—		—		474,328		474,328
Current period gross write-offs	—		—		—		—		—		—		—		—
Total commercial portfolio	$	2,483,490	$	11,028,860	$	5,249,934	$	3,226,783	$	3,361,997	$	7,461,853	$	8,476,158	$	41,289,075
Current period gross write-offs	$	324	$	103	$	101	$	395	$	13,358	$	12,129	$	—	$	26,410

	At December 31, 2022
(In thousands)	2022		2021		2020		2019		2018		Prior		Revolving Loans Amortized Cost Basis		Total
Commercial non-mortgage:
Pass	$	5,154,781	$	1,952,158	$	965,975	$	792,977	$	593,460	$	780,200	$	5,670,532	$	15,910,083
Special mention	104,277		15,598		21,168		263		14,370		7,770		40,142		203,588
Substandard	28,203		11,704		69,954		36,604		70,634		16,852		41,917		275,868
Doubtful	—		—		—		1		—		—		3,255		3,256
Total commercial non-mortgage	5,287,261		1,979,460		1,057,097		829,845		678,464		804,822		5,755,846		16,392,795
Asset-based:
Pass	19,659		3,901		9,424		14,413		5,163		55,553		1,551,250		1,659,363
Special mention	—		—		—		—		—		—		80,476		80,476
Substandard	—		—		—		1,491		—		—		80,312		81,803
Total asset-based	19,659		3,901		9,424		15,904		5,163		55,553		1,712,038		1,821,642
Commercial real estate:
Pass	3,420,635		2,246,672		1,556,185		1,605,869		1,058,730		2,681,052		97,832		12,666,975
Special mention	21,878		8,995		7,264		37,570		47,419		66,652		1,000		190,778
Substandard	519		2,459		216		31,163		47,021		57,997		—		139,375
Doubtful	—		—		—		1		—		34		—		35
Total commercial real estate	3,443,032		2,258,126		1,563,665		1,674,603		1,153,170		2,805,735		98,832		12,997,163
Multi-family:
Pass	1,992,980		1,057,705		507,065		694,066		444,564		1,748,337		51,655		6,496,372
Special mention	37,677		—		—		95		40,307		726		8,838		87,643
Substandard	—		—		382		—		12,681		24,904		—		37,967
Total multi-family	2,030,657		1,057,705		507,447		694,161		497,552		1,773,967		60,493		6,621,982
Equipment financing:
Pass	388,641		345,792		331,419		308,441		98,874		83,264		—		1,556,431
Special mention	—		185		—		11,965		6,775		25		—		18,950
Substandard	314		16,711		18,436		5,016		5,307		7,228		—		53,012
Total equipment financing	388,955		362,688		349,855		325,422		110,956		90,517		—		1,628,393
Warehouse lending:
Pass	—		—		—		—		—		—		641,976		641,976
Total warehouse lending	—		—		—		—		—		—		641,976		641,976
Total commercial portfolio	$	11,169,564	$	5,661,880	$	3,487,488	$	3,539,935	$	2,445,305	$	5,530,594	$	8,269,185	$	40,103,951

The following tables summarize the amortized cost basis of consumer loans by FICO score and origination year:

	At March 31, 2023
(In thousands)	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Residential:
Risk rating:
800+	$	15,014	$	681,916	$	1,043,662	$	468,357	$	150,282	$	993,219	$	—	$	3,352,450
740-799	69,297		866,867		863,689		308,974		111,803		716,299		—		2,936,929
670-739	18,719		346,423		326,999		91,487		62,585		393,008		—		1,239,221
580-669	63		46,328		52,355		14,004		10,532		125,882		—		249,164
579 and below	—		53,275		3,563		3,963		99,840		63,158		—		223,799
Total residential	103,093		1,994,809		2,290,268		886,785		435,042		2,291,566		—		8,001,563
Current period gross write-offs	—		—		—		—		—		211		—		211
Home equity:
Risk rating:
800+	6,211		26,483		35,954		25,557		8,524		63,613		434,492		600,834
740-799	4,088		29,016		31,860		18,237		6,556		38,748		375,534		504,039
670-739	4,421		15,017		17,246		6,262		4,153		34,796		257,878		339,773
580-669	408		2,984		2,504		1,483		903		13,456		74,873		96,611
579 and below	202		419		766		643		529		6,120		30,633		39,312
Total home equity	15,330		73,919		88,330		52,182		20,665		156,733		1,173,410		1,580,569
Current period gross write-offs	—		—		—		—		—		108		—		108
Other consumer:
Risk rating:
800+	140		443		207		479		843		266		17,207		19,585
740-799	266		782		2,589		1,332		1,933		570		7,675		15,147
670-739	154		838		409		1,815		3,117		975		8,836		16,144
580-669	58		304		216		297		694		159		1,294		3,022
579 and below	22		120		43		41		127		55		1,010		1,418
Total other consumer	640		2,487		3,464		3,964		6,714		2,025		36,022		55,316
Current period gross write-offs	435		—		3		114		126		101		—		779
Total consumer portfolio	$	119,063	$	2,071,215	$	2,382,062	$	942,931	$	462,421	$	2,450,324	$	1,209,432	$	9,637,448
Current period gross write-offs	$	435	$	—	$	3	$	114	$	126	$	420	$	—	$	1,098

	At December 31, 2022
(In thousands)	2022		2021		2020		2019		2018		Prior		Revolving Loans Amortized Cost Basis		Total
Residential:
800+	$	527,408	$	954,568	$	469,518	$	160,596	$	28,361	$	997,409	$	—	$	3,137,860
740-799	963,026		946,339		311,295		111,913		43,684		689,771		—		3,066,028
670-739	381,515		350,671		103,999		62,365		18,451		384,687		—		1,301,688
580-669	40,959		49,648		14,484		5,836		2,357		138,107		—		251,391
579 and below	52,464		3,693		2,057		84,032		1,299		62,908		—		206,453
Total residential	1,965,372		2,304,919		901,353		424,742		94,152		2,272,882		—		7,963,420
Home equity:
800+	25,475		35,129		25,612		7,578		12,545		55,352		465,318		627,009
740-799	26,743		35,178		17,621		8,111		7,765		32,270		398,692		526,380
670-739	18,396		16,679		8,175		3,635		7,614		30,060		259,646		344,205
580-669	2,848		3,068		1,520		1,456		1,163		13,607		76,614		100,276
579 and below	426		386		651		661		563		4,736		27,814		35,237
Total home equity	73,888		90,440		53,579		21,441		29,650		136,025		1,228,084		1,633,107
Other consumer:
800+	495		218		544		1,045		247		56		19,196		21,801
740-799	888		2,624		1,959		2,494		941		364		12,218		21,488
670-739	977		603		2,480		4,238		1,041		118		6,107		15,564
580-669	211		117		337		801		173		54		2,223		3,916
579 and below	169		101		29		116		36		21		707		1,179
Total other consumer	2,740		3,663		5,349		8,694		2,438		613		40,451		63,948
Total consumer portfolio	$	2,042,000	$	2,399,022	$	960,281	$	454,877	$	126,240	$	2,409,520	$	1,268,535	$	9,660,475

Collateral Dependent Loans and Leases

A loan or lease is considered collateral dependent when the borrower is experiencing financial difficulty and repayment is substantially expected to be provided through the operation or sale of collateral. At March 31, 2023, and December 31, 2022, the carrying amount of collateral dependent commercial loans and leases totaled $28.1 million and $43.8 million, respectively, and the carrying amount of collateral dependent consumer loans totaled $40.4 million and $45.2 million, respectively. Commercial non-mortgage, asset-based, and equipment financing loans and leases are generally secured by machinery and equipment, inventory, receivables, or other non-real estate assets, whereas commercial real estate, multi-family, residential, home equity, and other consumer loans are secured by real estate. The ACL for collateral dependent loans and leases is individually assessed based on the fair value of the collateral less costs to sell. At March 31, 2023, and December 31, 2022, the collateral value associated with collateral dependent loans and leases totaled $79.1 million and $108.0 million, respectively.

Modifications for Borrowers Experiencing Financial Difficulty

On January 1, 2023, the Company adopted ASU 2022-02, which eliminates the accounting guidance for TDRs and enhances the disclosure requirements for certain loan modifications when a borrower is experiencing financial difficulty. For a description of the Company's accounting policies related to the accounting and reporting of TDRs, for which comparative period information is presented, refer to Note 1: Summary of Significant Accounting Policies of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

In certain circumstances, the Company enters into agreements to modify the terms of loans to borrowers experiencing financial difficulty. A variety of solutions are offered to borrowers experiencing financial difficulty, including loan modifications that may result in principal forgiveness, interest rate reductions, payment delays, term extension, or a combination thereof. The following is a description of each of these types of modifications:

•Principal forgiveness – The outstanding principal balance of a loan may be reduced by a specified amount. Principal forgiveness may occur voluntarily as part of a negotiated agreement with a borrower, or involuntarily through a bankruptcy proceeding.

•Interest rate reductions – Includes modifications where the contractual interest rate of the loan has been reduced.

•Payment delays – Deferral arrangements which allow borrowers to delay a scheduled loan payment to a later date. Deferred loan payments do not affect the original contractual terms of the loan. Modifications that result in only an insignificant payment delay are not disclosed. The Company considers that a three month or less payment delay generally would be considered insignificant.

•Term extensions – Extensions of the original contractual maturity date of the loan.

•Combination – Combination includes loans that have undergone more than one of the above loan modification types.

Significant judgment is required to determine if a borrower is experiencing financial difficulty. These considerations vary by portfolio class. The Company has identified modifications to borrowers experiencing financial difficulty that are included in its disclosures as follows:

•Commercial: The Company evaluates modifications of loans to commercial borrowers that are rated substandard or worse, and includes the modifications in its disclosures to the extent that the modification is considered
other-than-insignificant.

•Consumer: The Company evaluates modifications of loans to consumer borrowers subject to its loss mitigation program and includes them in its disclosures to the extent that the modification is considered other-than-insignificant.

The following table summarizes the amortized cost basis of loans modified to borrowers experiencing financial difficulty, disaggregated by class and type of concession granted during the three months ended March 31, 2023:

(In thousands)	Interest Rate Reduction		Term Extension		Combination - Term Extension and Interest Rate Reduction		Total		% of Total Class (2)
Commercial non-mortgage	$	7	$	29,884	$	—	$	29,891	0.2	%
Commercial real estate	—		17,116		—		17,116		0.1
Home equity	—		57		64		121		—
Total (1)	$	7	$	47,057	$	64	$	47,128	0.1	%

(1)The total amortized cost excludes accrued interest receivable of $0.2 million.

(2)Represents the amortized cost of loans modified during the reporting period as a percentage of the period-end loan balance by class.

The following table describes the financial effect of the modifications made to borrowers experiencing financial difficulty during the three months ended March 31, 2023:

	Financial Effect
Interest Rate Reduction:
Commercial non-mortgage	Reduced weighted average interest rate by 4.5%
Term Extension:
Commercial non-mortgage	Extended term by a weighted average 0.6 years
Commercial real estate	Extended term by a weighted average 1.0 year
Home equity	Extended term by a weighted average 8.8 years
Combination:
Home equity	Extended term by a weighted average 5.1 years and reduced weighted average interest rate by 1.5%

The Company closely monitors the performance of the loans that are modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table summarizes the aging of loans that have been modified during the three months ended March 31, 2023:

(In thousands)	Current		30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due		Non-Accrual		Total
Commercial non-mortgage	$	3,562	$	—	$	—	$	—	$	26,329	$	29,891
Commercial real estate	17,116		—		—		—		—		17,116
Home equity	23		—		—		—		98		121
Total	$	20,701	$	—	$	—	$	—	$	26,427	$	47,128

There were no loans made to borrowers experiencing financial difficulty that were modified during the three months ended March 31, 2023, and that subsequently defaulted. For the purposes of this disclosure, a payment default is defined as 90 or more days past due and still accruing. Non-accrual loans that are modified to borrowers experiencing financial difficulty remain on non-accrual status until the borrower has demonstrated performance under the modified terms. Commitments to lend additional funds to borrowers experiencing financial difficulty whose loans had been modified were not significant.

Troubled Debt Restructurings Prior to the Adoption of ASU 2022-02

The following table summarizes information related to TDRs:

(In thousands)	At December 31, 2022
Accrual status	$	110,868
Non-accrual status	83,954
Total TDRs	$	194,822
Additional funds committed to borrowers in TDR status	$	1,724
Specific reserves for TDRs included in the ACL on loans and leases:
Commercial portfolio	$	14,578
Consumer portfolio	3,559

The following table summarizes loans and leases modified as TDRs by class and modification type during the three months ended March 31, 2022:

(Dollars in thousands)	Number of Contracts	Recorded Investment (1)
Commercial non-mortgage
Term extension	2	$	98
Combination - Term extension and interest rate reduction	2	92
Residential
Other (2)	5	2,985
Home equity
Combination - Term extension and interest rate reduction	4	44
Other (2)	17	1,242
Total TDRs	30	$	4,461

(1)Post-modification balances approximated pre-modification balances. The aggregate amount of charge-offs due to restructurings was not significant.

(2)Other included covenant modifications, forbearance, discharges under Chapter 7 bankruptcy, or other concessions.

During the three months ended March 31, 2022, the portion of TDRs deemed to uncollectible and charged-off totaled $9.1 million for the commercial portfolio and $0.1 million for the consumer portfolio. There were no significant loans and leases modified as TDRs within the previous twelve months and for which there was a payment default during the three months ended March 31, 2022.

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Transfers and Servicing of Financial Assets

3 Months Ended

Mar. 31, 2023

Transfers and Servicing [Abstract]

Transfers and Servicing of Financial Assets

Transfers and Servicing of Financial Assets

The Company originates and sells residential mortgage loans in the normal course of business, primarily to
government-sponsored entities through established programs and securitizations. Residential mortgage origination fees, adjustments for changes in fair value, and any gain or loss recognized on residential mortgage loans sold are included in Mortgage banking activities on the accompanying Condensed Consolidated Statements of Income.

The following table summarizes information related to mortgage banking activities:

	Three months ended March 31,
(In thousands)	2023		2022
Net gain on sale	$	77	$	397
Origination fees	11		135
Fair value adjustment	(29)		(104)
Mortgage banking activities	$	59	$	428
Proceeds from sale	$	3,832	$	26,753
Loans sold with servicing rights retained	1,229		25,363

Under certain circumstances, the Company may decide to sell loans that were not originated or otherwise acquired with the intent to sell. During the three months ended March 31, 2023, and 2022, the Company sold commercial loans not originated for sale for proceeds of $106.7 million and $51.1 million, respectively, which resulted in net gains on sale of $0.1 million and
$1.8 million, respectively.

In addition, the Company may retain servicing rights on its residential mortgage loans sold in the normal course of business. At March 31, 2023, and December 31, 2022, the aggregate principal balance of residential mortgage loans serviced for others totaled $1.9 billion and $2.0 billion, respectively. Mortgage servicing rights are held at the lower of cost, net of accumulated amortization, or fair market value, and are included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets. The Company assesses mortgage servicing rights for impairment each quarter and establishes or adjusts the valuation allowance to the extent that amortized cost exceeds the estimated fair market value.

The following table presents the change in the carrying amount for mortgage servicing rights:

	Three months ended March 31,
(In thousands)	2023		2022
Balance, beginning of period	$	9,515	$	9,237
Acquired from Sterling	—		859
Additions	15		209
Amortization	(341)		(570)
Balance, end of period	$	9,189	$	9,735

Loan servicing fees, net of mortgage servicing rights amortization, were $1.3 million and $1.1 million for the three months ended March 31, 2023, and 2022, respectively, and are included in Loan and lease related fees on the accompanying Condensed Consolidated Statements of Income. Information regarding the fair value of loans held for sale and mortgage servicing rights can be found within Note 14: Fair Value Measurements.

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Goodwill and Other Intangible Assets

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

Goodwill

The following table summarizes changes in the carrying amount of goodwill:

(In thousands)	At March 31, 2023		At December 31, 2022
Balance, beginning of period	$	2,514,104	$	538,373
interLINK acquisition	143,216		—
Sterling merger (1)	(25,561)		1,939,765
Bend acquisition (1)	(294)		35,966
Balance, end of period	$	2,631,465	$	2,514,104

(1)Reflects adjustments recorded within the one-year measurement period, which were identified as a result of extended information gathering and new information that arose from integration activities. The allocation of the purchase price and goodwill calculations for both the Sterling merger and Bend acquisition are final as of March 31, 2023.

Information regarding goodwill by reportable segment can be found within Note 16: Segment Reporting.

Other Intangible Assets

The following table summarizes other intangible assets:

	At March 31, 2023						At December 31, 2022
(In thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Core deposits	$	146,037	$	41,237	$	104,800	$	146,037	$	36,710	$	109,327
Customer relationships (1)	151,000		29,755		121,245		115,000		24,985		90,015
Non-competition agreement (1)	4,000		200		3,800		—		—		—
Total other intangible assets	$	301,037	$	71,192	$	229,845	$	261,037	$	61,695	$	199,342

(1)The increase in the gross carrying amount is attributed to the acquisition of interLINK, in which the Company identified and recorded a $36.0 million intangible asset for broker dealer relationships, which is being amortized on an accelerated basis over an estimated useful life of 10 years, and a $4.0 million non-competition agreement, which is being amortized on a straight-line basis over an estimated useful life of 5 years.

The remaining estimated aggregate future amortization expense for other intangible assets is as follows:

(In thousands)	At March 31, 2023
Remainder of 2023	$	26,710
2024	29,618
2025	25,956
2026	25,565
2027	25,565
Thereafter	96,431

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Deposits

3 Months Ended

Mar. 31, 2023

Deposit Liabilities [Abstract]

Deposits

Deposits

The following table summarizes deposits by type:

(In thousands)	At March 31, 2023		At December 31, 2022
Non-interest-bearing:
Demand	$	12,007,387	$	12,974,975
Interest-bearing:
Health savings accounts	8,272,507		7,944,892
Checking	8,560,750		9,237,529
Money market	14,203,858		11,062,652
Savings	7,723,198		8,673,343
Time deposits	4,529,779		4,160,949
Total interest-bearing	$	43,290,092	$	41,079,365
Total deposits	$	55,297,479	$	54,054,340
Time deposits, money market, and interest-bearing checking obtained through brokers (1)	$	1,268,506	$	1,964,873
Aggregate amount of time deposit accounts that exceeded the FDIC limit	1,457,289		1,894,950
Demand deposit overdrafts reclassified as loan balances	6,832		8,721

(1)Excludes $2.9 billion of money market sweep deposits received through interLINK at March 31, 2023.

The following table summarizes the scheduled maturities of time deposits:

(In thousands)	At March 31, 2023
Remainder of 2023	$	3,168,801
2024	1,132,496
2025	132,543
2026	53,306
2027	36,616
Thereafter	6,017
Total time deposits	$	4,529,779

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Borrowings

3 Months Ended

Mar. 31, 2023

Debt Disclosure [Abstract]

Borrowings

Borrowings

The following table summarizes securities sold under agreements to repurchase and other borrowings:

	At March 31, 2023				At December 31, 2022
(Dollars in thousands)	Total Outstanding		Rate		Total Outstanding		Rate
Securities sold under agreements to repurchase (1)	$	306,154	0.11	%	$	282,005	0.11	%
Federal funds purchased	—		—		869,825		4.44
Securities sold under agreements to repurchase and other borrowings	$	306,154	0.11	%	$	1,151,830	3.38	%

(1)The Company has the right of offset with respect to all repurchase agreement assets and liabilities. Total securities sold under agreements to repurchase are presented as gross transactions, as only liabilities are outstanding for the periods presented.

Securities sold under agreements to repurchase, all of which have an original maturity of one year or less for the periods presented, are used as a source of borrowed funds and are collateralized by Agency MBS and Corporate debt. The Company's repurchase agreement counterparties are limited to primary dealers in government securities, and commercial and municipal customers through the Corporate Treasury function. The Company may also purchase unsecured term and overnight federal funds to satisfy its short-term liquidity needs.

The following table summarizes information for FHLB advances:

	At March 31, 2023				At December 31, 2022
(Dollars in thousands)	Total Outstanding		Weighted- Average Contractual Coupon Rate		Total Outstanding		Weighted- Average Contractual Coupon Rate
Maturing within 1 year	$	8,550,183	5.18	%	$	5,450,187	4.40	%
After 1 but within 2 years	—		—		—		—
After 2 but within 3 years	—		—		—		—
After 3 but within 4 years	—		—		—		—
After 4 but within 5 years	486		1.35		252		—
After 5 years	9,792		2.07		10,113		2.09
Total FHLB advances	$	8,560,461	5.18	%	$	5,460,552	4.39	%
Aggregate carrying value of assets pledged as collateral	$	19,778,232			$	13,692,379
Remaining borrowing capacity at FHLB	6,509,929				4,291,326

The Bank may borrow up to the amount of eligible mortgages and securities that have been pledged as collateral to secure FHLB advances, which includes certain residential and commercial real estate loans, home equity lines of credit, CMBS, Agency MBS, Agency CMO, U.S. Treasury notes, and MBS. The Bank was in compliance with its FHLB collateral requirements at both March 31, 2023, and December 31, 2022.

The following table summarizes long-term debt:

(Dollars in thousands)		At March 31, 2023		At December 31, 2022
4.375%	Senior fixed-rate notes due February 15, 2024	$	150,000	$	150,000
4.100%	Senior fixed-rate notes due March 25, 2029 (1)	332,119		333,458
4.000%	Subordinated fixed-to-floating rate notes due December 30, 2029	274,000		274,000
3.875%	Subordinated fixed-to-floating rate notes due November 1, 2030	225,000		225,000
Junior subordinated debt Webster Statutory Trust I floating-rate notes due September 17, 2033 (2)		77,320		77,320
Total senior and subordinated debt		1,058,439		1,059,778
Discount on senior fixed-rate notes		(701)		(756)
Debt issuance cost on senior fixed-rate notes		(1,723)		(1,824)
Premium on subordinated fixed-to-floating rate notes		15,398		15,930
Long-term debt (1)		$	1,071,413	$	1,073,128

(1)The classification of debt as long-term is based on the initial terms of greater than one year as of the date of issuance.

(2)The Company de-designated its fair value hedging relationship on these senior notes in 2020. A basis adjustment of $32.1 million and $33.5 million at March 31, 2023, and December 31, 2022, respectively, is included in the carrying value and is being amortized over the remaining life of the senior notes.

(3)The interest rate on the Webster Statutory Trust I floating-rate notes, which varies quarterly based on 3-month LIBOR plus 2.95%, was 7.86% and 7.69% at March 31, 2023, and December 31, 2022, respectively.

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Accumulated Other Comprehensive (Loss) Income, Net of Tax

3 Months Ended

Mar. 31, 2023

Equity [Abstract]

Accumulated Other Comprehensive (Loss) Income, Net of Tax

Accumulated Other Comprehensive Income (Loss), Net of Tax

The following tables summarize the changes in each component of accumulated other comprehensive income (loss), net of tax:

	Three months ended March 31, 2023
(In thousands)	Securities Available For Sale		Derivative Instruments		Defined Benefit Pension and Other Postretirement Benefit Plans		Total
Balance, beginning of period	$	(631,160)	$	(8,874)	$	(44,926)	$	(684,960)
Other comprehensive income before reclassifications	56,635		20,782		3,553		80,970
Amounts reclassified from accumulated other comprehensive (loss)	14,983		592		395		15,970
Other comprehensive income, net of tax	71,618		21,374		3,948		96,940
Balance, end of period	$	(559,542)	$	12,500	$	(40,978)	$	(588,020)

	Three months ended March 31, 2022
(In thousands)	Securities Available For Sale		Derivative Instruments		Defined Benefit Pension and Other Postretirement Benefit Plans		Total
Balance, beginning of period	$	4,536	$	6,070	$	(33,186)	$	(22,580)
Other comprehensive (loss) before reclassifications	(244,879)		(8,613)		(719)		(254,211)
Amounts reclassified from accumulated other comprehensive income (loss)	—		769		299		1,068
Other comprehensive (loss), net of tax	(244,879)		(7,844)		(420)		(253,143)
Balance, end of period	$	(240,343)	$	(1,774)	$	(33,606)	$	(275,723)

The following table further summarizes the amounts reclassified from accumulated other comprehensive income (loss):

Accumulated Other Comprehensive Income (Loss) Components	Three months ended				Associated Line Item on the Condensed Consolidated Statements of Income
	March 31,
	2023		2022
(In thousands)
Investment securities available-for-sale:
Net holding (losses)	$	(20,483)	$	—	(Loss) on sale of investment securities
Tax benefit	5,500		—		Income tax expense
Net of tax	$	(14,983)	$	—
Derivative instruments:
Hedge terminations	$	(76)	$	(77)	Interest expense
Premium amortization	(736)		(978)		Interest income
Tax benefit	220		286		Income tax expense
Net of tax	$	(592)	$	(769)
Defined benefit pension and other postretirement benefit plans:
Actuarial net loss amortization	$	(542)	$	(411)	Other expense
Tax benefit	147		112		Income tax expense
Net of tax	$	(395)	$	(299)

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Regulatory Capital and Restrictions

3 Months Ended

Mar. 31, 2023

Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]

Regulatory Capital and Restrictions

Regulatory Capital and Restrictions

Capital Requirements

The Holding Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory actions by regulators that could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and/or the regulatory framework for prompt corrective action (such provisions apply to the Bank only), both the Holding Company and the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items calculated pursuant to regulatory directives. Capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors.

Quantitative measures established by the Basel III Capital Rules to ensure capital adequacy require the Company to maintain minimum ratios of CET1 capital to total risk-weighted assets (CET1 risk-based capital), Tier 1 capital to total risk-weighted assets (Tier 1 risk-based capital), Total capital to total risk-weighted assets (Total risk-based capital), and Tier 1 capital to average tangible assets (Tier 1 leverage capital), as defined in the regulations. CET1 capital consists of common stockholders’ equity less deductions for goodwill and other intangible assets, and certain deferred tax adjustments. Upon adoption of the Basel III Capital Rules, the Company elected to opt-out of the requirement to include certain components of AOCI in CET1 capital. Tier 1 capital consists of CET1 capital plus preferred stock. Total capital consists of Tier 1 capital and Tier 2 capital, as defined in the regulations. Tier 2 capital includes permissible portions of subordinated debt and the ACL.

At March 31, 2023, and December 31, 2022, both the Holding Company and the Bank were classified as well-capitalized. Management believes that no events or changes have occurred subsequent to year-end that would change this designation.

The following tables provides information on the capital ratios for the Holding Company and the Bank:

	At March 31, 2023
	Actual (1)				Minimum Requirement				Well Capitalized
(Dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Webster Financial Corporation
CET1 risk-based capital	$	5,796,578	10.42	%	$	2,503,935	4.5	%	$	3,616,794	6.5	%
Total risk-based capital	7,229,512		12.99		4,451,439		8.0		5,564,299		10.0
Tier 1 risk-based capital	6,080,557		10.93		3,338,580		6.0		4,451,439		8.0
Tier 1 leverage capital	6,080,557		8.65		2,812,832		4.0		3,516,040		5.0
Webster Bank
CET1 risk-based capital	$	6,605,427	11.89	%	$	2,500,320	4.5	%	$	3,611,573	6.5	%
Total risk-based capital	7,162,664		12.89		4,445,013		8.0		5,556,266		10.0
Tier 1 risk-based capital	6,605,427		11.89		3,333,760		6.0		4,445,013		8.0
Tier 1 leverage capital	6,605,427		9.40		2,810,676		4.0		3,513,345		5.0

	At December 31, 2022
	Actual (1)				Minimum Requirement				Well Capitalized
(Dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Webster Financial Corporation
CET1 risk-based capital	$	5,822,369	10.71	%	$	2,446,344	4.5	%	$	3,533,608	6.5	%
Total risk-based capital	7,203,029		13.25		4,349,056		8.0		5,436,320		10.0
Tier 1 risk-based capital	6,106,348		11.23		3,261,792		6.0		4,349,056		8.0
Tier 1 leverage capital	6,106,348		8.95		2,730,212		4.0		3,412,765		5.0
Webster Bank
CET1 risk-based capital	$	6,661,504	12.28	%	$	2,442,058	4.5	%	$	3,527,417	6.5	%
Total risk-based capital	7,165,935		13.20		4,341,437		8.0		5,426,796		10.0
Tier 1 risk-based capital	6,661,504		12.28		3,256,078		6.0		4,341,437		8.0
Tier 1 leverage capital	6,661,504		9.77		2,727,476		4.0		3,409,345		5.0

(1)In accordance with regulatory capital rules, the Company elected an option to delay the estimated impact of the adoption of CECL on its regulatory capital over a two-year deferral period, which ended on January 1, 2022, and a subsequent three-year transition period ending on December 31, 2024. During the three-year transition period, regulatory capital ratios will phase out the aggregate amount of the regulatory capital benefit provided from the delayed CECL adoption in the initial two years. For 2022, 2023, and 2024, the Company is allowed 75%, 50%, and 25%, respectively, of the regulatory capital benefit as of December 31, 2021, with full absorption occurring in 2025.

Dividend Restrictions

The Holding Company is dependent upon dividends from the Bank to provide funds for the payment of dividends to stockholders and for other cash requirements. Dividends paid by the Bank are subject to various federal and state regulatory limitations. Express approval by the OCC is required if the effect of dividends declared would cause the regulatory capital of the Bank to fall below specified minimum levels or if the amount would exceed net income for that year combined with undistributed net income for the preceding two years. The Bank paid the Holding Company $150.0 million in dividends during the three months ended March 31, 2023, for which no express approval from the OCC was required. No dividends were paid by the Bank to the Holding Company during the three months ended March 31, 2022.

Cash Restrictions

The Bank is required under Federal Reserve regulations to maintain cash reserve balances in the form of vault cash or deposits held at a FRB to ensure that it is able to meet customer demands. The reserve requirement ratio is subject to adjustment as economic conditions warrant. Effective March 26, 2020, the Federal Reserve reset the requirement to zero in order to address liquidity concerns resulting from the COVID-19 pandemic. Pursuant to this action, the Bank has not been required to hold cash reserve balances

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Variable Interest Entities

3 Months Ended

Mar. 31, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Variable Interest Entities

Variable Interest Entities

The Company has an investment interest in the following entities that each meet the definition of a variable interest entity. Information regarding the Company's consolidation of variable interest entities can be found within Note 1: Summary of Significant Accounting Policies in the Consolidated Financial Statements contained in Part II - Item 8. Financial Statements and Supplementary Data of the Company's Annual Report on Form 10-K for the year ended December 31, 2022.

Consolidated

Rabbi Trusts. The Company established a Rabbi Trust to meet its obligations due under the Webster Bank Deferred Compensation Plan for Directors and Officers and to mitigate expense volatility. The funding of the Rabbi Trust and the discontinuation of the Webster Bank Deferred Compensation Plan for Directors and Officers occurred during 2012. In connection with the Sterling merger in 2022, the Company acquired assets held in a separate Rabbi Trust that had been previously established to fund obligations due under the Greater New York Savings Bank Directors' Retirement Plan.

Investments held in the Rabbi Trusts consist primarily of mutual funds that invest in equity and fixed income securities. The Company is considered the primary beneficiary of these Rabbi Trusts as it has the power to direct the activities of the Rabbi Trusts that most significantly impact its economic performance and it has the obligation to absorb losses and/or the right to receive benefits of the Rabbi Trusts that could potentially be significant.

The Rabbi Trusts' assets are included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets. Investment earnings and any changes in fair value are included in Other income on the accompanying Condensed Consolidated Statements of Income. Additional information regarding the Rabbi Trusts' investments can be found within Note 14: Fair Value Measurements.

Non-Consolidated

Low-Income Housing Tax Credit Investments. The Company makes non-marketable equity investments in entities that sponsor affordable housing and other community development projects that qualify for the LIHTC Program pursuant to Section 42 of the Internal Revenue Code. The purpose of these investments is not only to assist the Bank in meeting its responsibilities under the CRA, but also to provide a return, primarily through the realization of tax benefits. While the Company's investment in an entity may exceed 50% of its outstanding equity interests, the entity is not consolidated as the Company is not the primary beneficiary. The Company has determined that it is not the primary beneficiary due to its inability to direct the activities that most significantly impact economic performance and the Company does not have the obligation to absorb losses and/or the right to receive benefits. The Company applies the proportional amortization method to subsequently measure its investments in qualified affordable housing projects.

The following table summarizes the Company's LIHTC investments and related unfunded commitments:

(In thousands)	March 31, 2023		December 31, 2022
Gross investment in LIHTC investments	$	798,085	$	797,453
Accumulated amortization	(90,902)		(69,424)
Net investment in LIHTC investments	$	707,183	$	728,029
Unfunded commitments for LIHTC investments	$	329,023	$	335,959

The aggregate carrying value of the Company's LIHTC investments is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets, and represents the Company's maximum exposure to loss. The related unfunded commitments are included in Accrued expenses and other liabilities on the accompanying Condensed Consolidated Balance Sheets. There were no commitments approved to fund LIHTC investments during the three months ended March 31, 2023, or 2022.

Webster Statutory Trust. The Company owns all the outstanding common stock of Webster Statutory Trust, a financial vehicle that has issued, and in the future may issue, trust preferred securities. The Company is not the primary beneficiary of Webster Statutory Trust. Webster Statutory Trust's only assets are junior subordinated debentures that are issued by the Company, which were acquired using the proceeds from the issuance of trust preferred securities and common stock. The junior subordinated debentures are included in Long-term debt on the accompanying Condensed Consolidated Balance Sheets, and the related interest expense is included in Long-term debt on the accompanying Condensed Consolidated Statements of Income. Additional information regarding these junior subordinated debentures can be found within Note 8: Borrowings.

Other Non-Marketable Investments. The Company invests in alternative investments comprising interests in non-public entities that cannot be redeemed since the underlying equity is distributed as the investment is liquidated. The ultimate timing and amount of these distributions cannot be predicted with reasonable certainty. For each of these alternative investments that is classified as a variable interest entity, the Company has determined that it is not the primary beneficiary due to its inability to direct the activities that most significantly impact economic performance. The aggregate carrying value of the Company's other non-marketable investments was $165.1 million and $144.9 million at March 31, 2023, and December 31, 2022, respectively, which is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets, and its maximum exposure to loss, including unfunded commitments, was $273.0 million and $243.9 million, respectively. Additional information regarding the fair value of other non-marketable investments can be found within
Note 14: Fair Value Measurements.

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Earnings Per Common Share

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Earnings Per Common Share

Earnings Per Common Share

The following table summarizes the calculation of basic and diluted earnings per common share:

	Three months ended March 31,
(In thousands, except per share data)	2023		2022
Net income	$	221,004	$	(16,747)
Less: Preferred stock dividends	4,163		3,431
Net income available to common stockholders	216,841		(20,178)
Less: Earnings allocated to participating securities	1,845		—
Earnings applicable to common stockholders	$	214,996	$	(20,178)
Weighted-average common shares outstanding - basic	172,766		147,394
Add: Effect of dilutive stock options and restricted stock	117		—
Weighted-average common shares outstanding - diluted	172,883		147,394
Basic earnings per common share	$	1.24	$	(0.14)
Diluted earnings per common share	1.24		(0.14)

Earnings per common share is calculated under the two-class method in which all earnings (distributed and undistributed) are allocated to common stock and participating securities based on their respective rights to receive dividends. The Company may grant restricted stock, restricted stock units, non-qualified stock options, incentive stock options, or stock appreciation rights to certain employees and directors under its stock-based compensation programs, which entitle recipients to receive
non-forfeitable dividends during the vesting period on a basis equivalent to the dividends paid to holders of common stock. These unvested awards meet the definition of participating securities.

Potential common shares from performance-based restricted stock that were not included in the computation of dilutive earnings per common share because they were anti-dilutive under the treasury stock method were 85,033 and 341,904 for the three months ended March 31, 2023, and 2022, respectively.

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Derivative Financial Instruments

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

Derivative Financial Instruments

Derivative Positions and Offsetting

Derivatives Designated as Hedging Instruments. Interest rate swaps allow the Company to change the fixed or variable nature of an interest rate without the exchange of the underlying notional amount. Certain pay fixed/receive variable interest rate swaps are designated as cash flow hedges to effectively convert variable-rate debt into fixed-rate debt, whereas certain receive fixed/pay variable interest rate swaps are designated as fair value hedges to effectively convert fixed-rate long-term debt into variable-rate debt. Certain purchased options are also designated as cash flow hedges. Purchased options allow the Company to limit the potential adverse impact of variable interest rates by establishing a cap rate or floor rate in exchange for an upfront premium. The purchased options designated as cash flow hedges represent interest rate caps where payment is received from the counterparty if interest rates rise above the cap rate, and interest rate floors where payment is received from the counterparty when interest rates fall below the floor rate.

Derivatives Not Designated as Hedging Instruments. The Company also enters into other derivative transactions to manage economic risks, but does not designate the instruments in hedge relationships. In addition, the Company enters into derivative contracts to accommodate customer needs. Derivative contracts with customers are offset with dealer counterparty transactions structured with matching terms to ensure minimal impact on earnings.

The following tables present the notional amounts and fair values, including accrued interest, of derivative positions:

	At March 31, 2023
	Asset Derivatives				Liability Derivatives
(In thousands)	Notional Amounts		Fair Value		Notional Amounts		Fair Value
Designated as hedging instruments:
Interest rate derivatives (1)	$	3,750,000	$	25,892	$	1,750,000	$	5,493
Not designated as hedging instruments:
Interest rate derivatives (1)	7,417,679		219,149		7,411,878		323,123
Mortgage banking derivatives (2)	1,973		16		—		—
Other (3)	169,276		171		659,603		651
Total not designated as hedging instruments	7,588,928		219,336		8,071,481		323,774
Gross derivative instruments, before netting	$	11,338,928	245,228		$	9,821,481	329,267
Less: Master netting agreements			30,506				30,506
Cash collateral			181,853				400
Total derivative instruments, after netting			$	32,869			$	298,361
	At December 31, 2022
	Asset Derivatives				Liability Derivatives
(In thousands)	Notional Amounts		Fair Value		Notional Amounts		Fair Value
Designated as hedging instruments:
Interest rate derivatives (1)	$	1,350,000	$	1,515	$	1,750,000	$	9,632
Not designated as hedging instruments:
Interest rate derivatives (1)	7,024,507		221,225		7,022,844		403,952
Mortgage banking derivatives (2)	3,283		32		—		—
Other (3)	161,934		134		606,478		915
Total not designated as hedging instruments	7,189,724		221,391		7,629,322		404,867
Gross derivative instruments, before netting	$	8,539,724	222,906		$	9,379,322	414,499
Less: Master netting agreements			16,129				16,129
Cash collateral			184,095				—
Total derivative instruments, after netting			$	22,682			$	398,370

(1)Balances related to clearing houses are presented as a single unit of account. In accordance with their rule books, clearing houses legally characterize variation margin payments as settlement of derivatives rather than collateral against derivative positions. At March 31, 2023, and December 31, 2022, notional amounts of interest rate swaps cleared through clearing houses include $2.4 billion and $2.7 billion for asset derivatives, respectively, and $1.9 million and zero for liability derivatives, respectively. The related fair values approximate zero.

(2)Notional amounts related to residential loans exclude approved floating rate commitments of $3.8 million and $2.4 million at March 31, 2023, and December 31, 2022, respectively.

(3)Other derivatives include foreign currency forward contracts related to lending arrangements, a Visa equity swap transaction, and risk participation agreements. Notional amounts of risk participation agreements include $154.9 million and $125.6 million for asset derivatives and $589.7 million and $559.2 million for liability derivatives at March 31, 2023, and December 31, 2022, respectively, which have insignificant related fair values.

The following tables present fair value positions transitioned from gross to net upon applying counterparty netting agreements:

	At March 31, 2023
(In thousands)	Gross Amount Recognized		Derivative Offset Amount		Cash Collateral Received/Pledged		Net Amount Presented		Amounts Not Offset
Asset derivatives	$	220,259	$	30,506	$	181,853	$	7,900	$	8,270
Liability derivatives	31,360		30,506		400		454		5,032
	At December 31, 2022
(In thousands)	Gross Amount Recognized		Derivative Offset Amount		Cash Collateral Received/Pledged		Net Amount Presented		Amounts Not Offset
Asset derivatives	$	217,246	$	16,129	$	184,095	$	17,022	$	17,392
Liability derivatives	16,129		16,129		—		—		1,545

Derivative Activity

The following table summarizes the income statement effect of derivatives designated as hedging instruments:

	Recognized In	Three months ended March 31,
(In thousands)	Net Interest Income	2023		2022
Fair value hedges:
Recognized on derivatives	Deposits	$	(10,235)	$	—
Recognized on hedged items	Deposits	10,427		—
Net recognized on fair value hedges		$	(192)	$	—
Cash flow hedges:
Interest rate derivatives	Long-term debt	$	76	$	76
Interest rate derivatives	Interest and fees on loans and leases	(736)		2,559
Net recognized on cash flow hedges		$	(812)	$	2,483

The following table summarizes information related to fair value hedging adjustments:

Condensed Consolidated Balance Sheet Line Item in Which Hedged Item is Located	Carrying Amount of Hedged Item				Cumulative Amount of Fair Value Hedging Adjustment Included in Carrying Amount
(In thousands)	At March 31, 2023		At December 31, 2022		At March 31, 2023		At December 31, 2022
Deposits	$	410,254	$	—	$	10,254	$	—
Long-term debt (1)	332,119		333,458		32,119		33,458

(1)The Company de-designated its fair value hedging relationship on its long-term debt in 2020. The basis adjustment included in the carrying amount is being amortized into interest expense over the remaining life of the long-term debt.

The following table summarizes the income statement effect of derivatives not designated as hedging instruments:

	Recognized In	Three months ended March 31,
(In thousands)	Non-interest Income	2023		2022
Interest rate derivatives	Other income	$	(3,687)	$	6,445
Mortgage banking derivatives	Mortgage banking activities	(16)		(49)
Other	Other income	(735)		397
Total not designated as hedging instruments		$	(4,438)	$	6,793

Time-value premiums, which are amortized on a straight-line basis, are excluded from the assessment of hedge effectiveness for purchased options designated as cash flow hedges. At March 31, 2023, the remaining unamortized balance of time-value premiums was $2.1 million. Over the next twelve months, an estimated decrease to interest income of $9.5 million will be reclassified from AOCI relating to cash flow hedge gain/loss, and an estimated increase to interest expense of $0.3 million will be reclassified from AOCI relating to cash flow hedge terminations. At March 31, 2023, the remaining unamortized loss on terminated cash flow hedges was $0.3 million. The maximum length of time over which forecasted transactions are hedged is 4.9 years.

Additional information regarding cash flow hedge activity impacting AOCI and the related amounts reclassified to net income can be found within Note 9: Accumulated Other Comprehensive Income (Loss), Net of Tax.

Derivative Exposure. At March 31, 2023, the Company had $38.7 million in initial margin collateral posted at clearing houses. In addition, $187.3 million of cash collateral received is included in Cash and due from banks on the accompanying Condensed Consolidated Balance Sheets. The Company regularly evaluates the credit risk of its derivative customers, taking into account the likelihood of default, net exposures, and remaining contractual life, among other related factors. Credit risk exposure is mitigated as transactions with customers are generally secured by the same collateral of the underlying transactions. Current net credit exposure relating to interest rate derivatives with the Bank's customers was $24.9 million at March 31, 2023. In addition, the Company monitors potential future exposure, representing its best estimate of exposure to remaining contractual maturity. The potential future exposure relating to interest rate derivatives with the Bank's customers totaled $97.8 million at
March 31, 2023. The Company has incorporated a valuation adjustment to reflect non-performance risk in the fair value measurement of its derivatives, which totaled $5.3 million and $8.4 million at March 31, 2023, and December 31, 2022, respectively. V

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Fair Value Measurements

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The determination of fair value may require the use of estimates when quoted market prices are not available. Fair value estimates made at a specific point in time are based on management’s judgments regarding future expected losses, current economic conditions, the risk characteristics of each financial instrument, and other subjective factors that cannot be determined with precision.

The framework for measuring fair value provides a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The three levels within the fair value hierarchy are as follows:

•Level 1: Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that the Company has the ability to access at the measurement date.

•Level 2: Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability (i.e., interest rates, rate volatility, prepayment speeds, and credit ratings), or inputs that are derived principally from or corroborated by market data, correlation, or other means.

•Level 3: Inputs to the valuation methodology are unobservable and significant to the fair value measurement. This includes certain pricing models or other similar techniques that require significant management judgment or estimation.

Assets and Liabilities Measured at Fair Value on a Recurring Basis

Available-for-Sale Securities. When unadjusted quoted prices are available in an active market, the Company classifies its available-for-sale investment securities within Level 1 of the fair value hierarchy. U.S. Treasury notes have a readily determinable fair value, and accordingly, are classified within Level 1 of the fair value hierarchy.

When quoted market prices are not available, the Company employs an independent pricing service that utilizes matrix pricing to calculate fair value. These fair value measurements consider observable data, such as dealer quotes, market spreads, cash flows, yield curves, live trading levels, trade execution data, market consensus prepayments speeds, credit information, and the respective terms and conditions for debt instruments. Management maintains procedures to monitor the pricing service's results and has a process in place to challenge their valuations and methodologies that appear unusual or unexpected. Government agency debentures, Municipal bonds and notes, Agency CMO, Agency MBS, Agency CMBS, CMBS, CLO, Corporate debt, Private label MBS, and Other available-for-sale securities are classified within Level 2 of the fair value hierarchy.

Derivative Instruments. The fair values presented for derivative instruments include any accrued interest. Foreign exchange contracts are valued based on unadjusted quoted prices in active markets, and accordingly, are classified within Level 1 of the fair value hierarchy. Except for mortgage banking derivatives, all other derivative instruments are valued using third-party valuation software, which considers the present value of cash flows discounted using observable forward rate assumptions. The resulting fair value is then validated against valuations performed by independent third parties. These derivative instruments are classified within Level 2 of the fair value hierarchy.

Mortgage Banking Derivatives. The Company uses forward sales of mortgage loans and mortgage-backed securities to manage the risk of loss associated with its mortgage loan commitments and mortgage loans held for sale. Prior to closing and funding certain single-family residential mortgage loans, an interest rate lock commitment is generally extended to the borrower. During this in-between time period, the Company is subject to the risk that market interest rates may change. If rates rise, investors generally will pay less to purchase mortgage loans, which would result in a reduction in the gain on sale of the loans, or possibly a loss. In an effort to mitigate this risk, forward delivery sales commitments are established in which the Company agrees to either deliver whole mortgage loans to various investors or issue mortgage-backed securities. The fair value of mortgage banking derivatives is determined based on current market prices for similar assets in the secondary market. Accordingly, mortgage banking derivatives are classified within Level 2 of the fair value hierarchy.

Originated Loans Held For Sale. The Company has elected to measure originated loans held for sale at fair value under the fair value option per ASC Topic 825, Financial Instruments. Electing to measure originated loans held for sale at fair value reduces certain timing differences and better reflects the price the Company would expect to receive from the sale of these loans. The fair value of originated loans held for sale is based on quoted market prices of similar loans sold in conjunction with securitization transactions. Accordingly, originated loans held for sale are classified within Level 2 of the fair value hierarchy.

The following table compares the fair value to the unpaid principal balance of originated loans held for sale:

	At March 31, 2023						At December 31, 2022
(In thousands)	Fair Value		Unpaid Principal Balance		Difference		Fair Value		Unpaid Principal Balance		Difference
Originated loans held for sale	$	811	$	684	$	127	$	1,991	$	1,631	$	360

Rabbi Trust Investments. Investments held in each of the Company's Rabbi Trusts consist primarily of mutual funds that invest in equity and fixed income securities. Shares of these mutual funds are valued based on the NAV as reported by the trustee of the funds, which represents quoted prices in active markets. The Company has elected to measure the Rabbi Trusts' investments at fair value. Accordingly, the Rabbi Trusts' investments are classified within Level 1 of the fair value hierarchy. At both
March 31, 2023, and December 31, 2022, the total cost basis of the investments held in the Rabbi Trusts was $10.0 million.

Alternative Investments. Equity investments have a readily determinable fair value when unadjusted quoted prices are available in an active market for identical assets. Accordingly, these alternative investments are classified within Level 1 of the fair value hierarchy. At March 31, 2023, and December 31, 2022, equity investments with a readily determinable fair value had a total carrying amount of $0.5 million and $0.4 million, respectively, with no remaining unfunded commitment. During the three months ended March 31, 2023, there were total write-ups in fair value of $0.1 million associated with these alternative investments.

Equity investments that do not have a readily determinable fair value may qualify for the NAV practical expedient if they meet certain requirements. The Company's alternative investments measured at NAV consist of investments in non-public entities that cannot be redeemed since investments are distributed as the underlying equity is liquidated. Alternative investments measured at NAV are not classified within the fair value hierarchy. At March 31, 2023, and December 31, 2022, these alternative investments had a total carrying amount of $27.0 million and $89.2 million, respectively, and a remaining unfunded commitment of $28.5 million and $82.7 million, respectively.

Contingent Consideration. The Company recorded $16.0 million of contingent consideration at fair value related to two earn-out agreements associated with the acquisition of interLINK on January 11, 2023. The terms of the purchase agreement specified that the seller would receive earn-outs based on the ability of the Company to: (i) re-sign the existing broker dealers under contract, and (ii) generate $2.5 billion in new broker dealer deposit programs within three years of the acquisition date. The estimated fair values of the contingent consideration liabilities are measured on a recurring basis and determined using an income approach considering management’s evaluation of the probability of achievement, forecasted achievement date (payment term), and a discount rate equivalent to the counterparty cost of debt. These significant inputs, which are the responsibility of management and were initially calculated with the assistance of a third-party valuation specialist, are not observable and accordingly, are classified within Level 3 of the fair value hierarchy.

The following table summarizes the unobservable inputs used to derive the estimated fair value of the Company’s contingent consideration liabilities at March 31, 2023 (dollars in thousands):

Agreement	Maximum Amount		Probability of Achievement	Payment Term (in years)	Discount Rate	Fair Value
(i) Re-sign broker dealers	$	4,826	99.0 %	0.22	5.50 %	$	4,798
(ii) Deposit program growth	$	12,500	100.0 %	1.97	5.50 %	$	11,241

Contingent consideration liabilities are included within Accrued expenses and other liabilities on the accompanying Condensed Consolidated Balance Sheets. Any fair value adjustments to contingent consideration liabilities are included in Other expense on the accompanying Condensed Consolidated Statements of Income.

The following tables summarize the fair values of assets and liabilities measured at fair value on a recurring basis:

	At March 31, 2023
(In thousands)	Level 1		Level 2		Level 3		Total
Financial Assets:
Available-for-sale securities:
U.S. Treasury notes	$	386,772	$	—	$	—	$	386,772
Government agency debentures	—		262,342		—		262,342
Municipal bonds and notes	—		1,645,228		—		1,645,228
Agency CMO	—		57,462		—		57,462
Agency MBS	—		2,230,850		—		2,230,850
Agency CMBS	—		1,635,252		—		1,635,252
CMBS	—		902,058		—		902,058
Corporate debt	—		625,523		—		625,523
Private label MBS	—		44,262		—		44,262
Other	—		9,228		—		9,228
Total available-for-sale securities	386,772		7,412,205		—		7,798,977
Gross derivative instruments, before netting (1)	82		245,146		—		245,228
Originated loans held for sale	—		811		—		811
Investments held in Rabbi Trusts	11,992		—		—		11,992
Alternative investments (2)	476		—		—		27,486
Total financial assets	$	399,322	$	7,658,162	$	—	$	8,084,494
Financial Liabilities:
Gross derivative instruments, before netting (1)	$	557	$	328,710	$	—	$	329,267
Contingent consideration	—		—		16,039		16,039
Total financial liabilities	$	557	$	328,710	$	16,039	$	345,306

	At December 31, 2022
(In thousands)	Level 1		Level 2		Level 3		Total
Financial Assets:
Available-for-sale securities:
U.S. Treasury notes	$	717,040	$	—	$	—	$	717,040
Government agency debentures	—		258,374		—		258,374
Municipal bonds and notes	—		1,633,202		—		1,633,202
Agency CMO	—		59,965		—		59,965
Agency MBS	—		2,158,024		—		2,158,024
Agency CMBS	—		1,406,486		—		1,406,486
CMBS	—		896,640		—		896,640
CLO	—		2,107		—		2,107
Corporate debt	—		704,412		—		704,412
Private label MBS	—		44,249		—		44,249
Other	—		12,198		—		12,198
Total available-for-sale securities	717,040		7,175,657		—		7,892,697
Gross derivative instruments, before netting (1)	79		222,827		—		222,906
Originated loans held for sale	—		1,991		—		1,991
Investments held in Rabbi Trusts	12,103		—		—		12,103
Alternative investments (2)	430		—		—		89,678
Total financial assets	$	729,652	$	7,400,475	$	—	$	8,219,375
Financial Liabilities:
Gross derivative instruments, before netting (1)	$	843	$	413,656	$	—	$	414,499

(1)Additional information regarding the impact of netting derivative assets and derivative liabilities, as well as the impact from offsetting cash collateral paid to the same derivative counterparties, can be found within Note 13: Derivative Financial Instruments.

(2)Certain alternative investments are recorded at NAV. Assets measured at NAV are not classified within the fair value hierarchy.

Assets Measured at Fair Value on a Non-Recurring Basis

The Company measures certain assets at fair value on a non-recurring basis. The following is a description of the valuation methodologies used for assets measured at fair value on a non-recurring basis.

Alternative Investments. The measurement alternative has been elected for alternative investments without readily determinable fair values that do not qualify for the NAV practical expedient. The measurement alternative requires investments to be measured at cost minus impairment, if any, plus or minus adjustments resulting from observable price changes in orderly transactions for an identical or similar investment of the same issuer. Accordingly, these alternative investments are classified within Level 2 of the fair value hierarchy. At March 31, 2023, and December 31, 2022, the carrying amount of these alternative investments was $46.1 million and $42.8 million, respectively, of which none and $5.9 million, respectively, were considered to be measured at fair value.

Loans Transferred to Held for Sale. Once a decision has been made to sell loans not previously classified as held for sale, these loans are transferred into the held for sale category and carried at the lower of cost or fair value, less estimated costs to sell. At the time of transfer into held for sale classification, any amount by which cost exceeds fair value is accounted for as a valuation allowance. This activity generally pertains to loans with observable inputs, and therefore, are classified within Level 2 of the fair value hierarchy. However, should these loans include adjustments for changes in loan characteristics based on unobservable inputs, the loans would then be classified within Level 3 of the fair value hierarchy. At March 31, 2023, and December 31, 2022, there were $209.9 million and zero loans that were transferred to held for sale on the Condensed Consolidated Balance Sheet.

Collateral Dependent Loans and Leases. Loans and leases for which repayment is substantially expected to be provided through the operation or sale of collateral are considered collateral dependent, and are valued based on the estimated fair value of the collateral, less estimated costs to sell at the reporting date, using customized discounting criteria. Accordingly, collateral dependent loans and leases are classified within Level 3 of the fair value hierarchy.

Other Real Estate Owned and Repossessed Assets. OREO and repossessed assets are held at the lower of cost or fair value and are considered to be measured at fair value when recorded below cost. The fair value of OREO is calculated using independent appraisals or internal valuation methods, less estimated selling costs, and may consider available pricing guides, auction results, and price opinions. Certain repossessed assets may also require assumptions about factors that are not observable in an active market when determining fair value. Accordingly, OREO and repossessed assets are classified within Level 3 of the fair value hierarchy. At March 31, 2023, and December 31, 2022, the total book value of OREO and repossessed assets was $1.5 million and $2.3 million, respectively. In addition, the amortized cost of consumer loans secured by residential real estate property that were in process of foreclosure at March 31, 2023, was $16.4 million.

Estimated Fair Values of Financial Instruments and Mortgage Servicing Assets

The Company is required to disclose the estimated fair values of certain financial instruments and mortgage servicing rights. The following is a description of the valuation methodologies used to estimate fair value for those assets and liabilities.

Cash and Cash Equivalents. Given the short time frame to maturity, the carrying amount of cash and cash equivalents, which comprises cash and due from banks and interest-bearing deposits, approximates fair value. Cash and cash equivalents are classified within Level 1 of the fair value hierarchy.

Held-to-Maturity Securities. When quoted market prices are not available, the Company employs an independent pricing service that utilizes matrix pricing to calculate fair value. These fair value measurements consider observable data, such as dealer quotes, market spreads, cash flows, yield curves, live trading levels, trade execution data, market consensus prepayment speeds, credit information, and the respective terms and conditions for debt instruments. Management maintains procedures to monitor the pricing service's results and has a process in place to challenge their valuations and methodologies that appear unusual or unexpected. Held-to-maturity securities, which include Agency CMO, Agency MBS, Agency CMBS, Municipal bonds and notes, and CMBS, are classified within Level 2 of the fair value hierarchy.

Loans and Leases, net. Except for collateral dependent loans and leases, the fair value of loans and leases held for investment is estimated using a discounted cash flow methodology, based on future prepayments and market interest rates inclusive of an illiquidity premium for comparable loans and leases. The associated cash flows are then adjusted for associated credit risks and other potential losses, as appropriate. Loans and leases are classified within Level 3 of the fair value hierarchy.

Mortgage Servicing Rights. Mortgage servicing rights are initially measured at fair value and subsequently measured using the amortization method. The Company assesses mortgage servicing rights for impairment each quarter and establishes or adjusts the valuation allowance to the extent that amortized cost exceeds the estimated fair market value. Fair value is calculated as the present value of estimated future net servicing income and relies on market based assumptions for loan prepayment speeds, servicing costs, discount rates, and other economic factors. Accordingly, the primary risk inherent in valuing mortgage servicing rights is the impact of fluctuating interest rates on the related servicing revenue stream. Mortgage servicing rights are classified within Level 3 of the fair value hierarchy.

Deposit Liabilities. The fair value of deposit liabilities, which comprises demand deposits, interest-bearing checking, savings, health savings, and money market accounts, reflects the amount payable on demand at the reporting date. Deposit liabilities are classified within Level 2 of the fair value hierarchy.

Time Deposits. The fair value of fixed-maturity certificates of deposit is estimated using rates that are currently offered for deposits with similar remaining maturities. Time deposits are classified within Level 2 of the fair value hierarchy.

Securities Sold Under Agreements to Repurchase and Other Borrowings. The fair value of securities sold under agreements to repurchase and other borrowings that mature within 90 days approximates their carrying value. The fair value of securities sold under agreements to repurchase and other borrowings that mature after 90 days is estimated using a discounted cash flow methodology based on current market rates and adjusted for associated credit risks, as appropriate. Securities sold under agreements to repurchase and other borrowings are classified within Level 2 of the fair value hierarchy.

Federal Home Loan Bank Advances and Long-Term Debt. The fair value of FHLB advances and long-term debt is estimated using a discounted cash flow methodology in which discount rates are matched with the time period of the expected cash flows and adjusted for associated credit risks, as appropriate. FHLB advances and long-term debt are classified within Level 2 of the fair value hierarchy.

The following table summarizes the carrying amounts, estimated fair values, and classifications within the fair value hierarchy of selected financial instruments and mortgage servicing rights:

	At March 31, 2023				At December 31, 2022
(In thousands)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Assets:
Level 1
Cash and cash equivalents	$	2,434,071	$	2,434,071	$	839,943	$	839,943
Level 2
Held-to-maturity investment securities	7,063,223		6,320,682		6,564,697		5,761,453
Level 3
Loans and leases, net	50,312,609		48,825,894		49,169,685		47,604,463
Mortgage servicing assets	9,189		26,959		9,515		27,043
Liabilities:
Level 2
Deposit liabilities	$	50,767,700	$	50,767,700	$	49,893,391	$	49,893,391
Time deposits	4,529,779		4,471,757		4,160,949		4,091,979
Securities sold under agreements to repurchase and other borrowings	306,154		306,113		1,151,830		1,151,797
FHLB advances	8,560,461		8,560,329		5,460,552		5,459,218
Long-term debt (1)	1,071,413		1,005,178		1,073,128		1,001,779

(1)Any unamortized premiums/discounts, debt issuance costs, or basis adjustments to long-term debt, as applicable, are excluded from the determination of fair value.

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Retirement Benefit Plans

3 Months Ended

Mar. 31, 2023

Retirement Benefits [Abstract]

Retirement Benefit Plans

Retirement Benefit Plans

Defined Benefit Pension and Other Postretirement Benefits

The following tables summarize the components of net periodic benefit cost (income):

	Three months ended March 31,
	2023						2022
(In thousands)	Pension		SERP		OPEB		Pension		SERP		OPEB
Service cost	$	—	$	—	$	7	$	—	$	—	$	6
Interest cost	2,211		67		380		1,377		15		144
Expected return on plan assets	(2,699)		—		—		(3,669)		—		—
Amortization of actuarial loss (gain)	1,216		1		(675)		422		7		(18)
Net periodic benefit cost (income)	$	728	$	68	$	(288)	$	(1,870)	$	22	$	132

The components of net periodic benefit cost (income) are included in Other expense on the accompanying Condensed Consolidated Statements of Income. The weighted-average expected long-term rate of return on plan assets for the three months ended March 31, 2023, was 5.50%, as determined at the beginning of the year.

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Segment Reporting

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

The Company's operations are organized into three reportable segments that represent its primary businesses: Commercial Banking, HSA Bank, and Consumer Banking. These segments reflect how executive management responsibilities are assigned, how discrete financial information is evaluated, the type of customer served, and how products and services are provided. Certain Treasury activities, including the operations of interLINK, along with the amounts required to reconcile profitability metrics to those reported in accordance with GAAP, are included in the Corporate and Reconciling category.

In connection with the acquisition of interLINK on January 11, 2023, the $143.2 million of preliminary goodwill recorded has been allocated entirely to Commercial Banking. In addition, as previously discussed in Note 2: Mergers and Acquisitions and
Note 6: Goodwill and Other Intangible Assets, the allocation of the purchase price for both the Sterling merger and Bend acquisition are final as of March 31, 2023. Accordingly, of the total $1.9 billion in goodwill recorded in connection with the Sterling merger, $1.7 billion and $0.2 billion has been allocated to Commercial Banking and Consumer Banking, respectively. The $35.7 million of goodwill recorded in connection with the Bend acquisition has been allocated entirely to HSA Bank.

Segment Reporting Methodology

The Company uses an internal profitability reporting system to generate information by reportable segment, which is based on a series of management estimates for funds transfer pricing, and allocations for non-interest expense, provision for credit losses, income taxes, and equity capital. These estimates and allocations, certain of which are subjective in nature, are periodically reviewed and refined. Changes in estimates and allocations that affect the results of any reportable segment do not affect the consolidated financial position or results of operations of the Company as a whole. The full profitability measurement reports, which are prepared for each reportable segment, reflect non-GAAP reporting methodologies. The differences between full profitability and GAAP results are reconciled in the Corporate and Reconciling category.

The Company allocates interest income and interest expense to each business through an internal matched maturity FTP process. The goal of the FTP allocation is to encourage loan and deposit growth consistent with the Company’s overall profitability objectives. The FTP process considers the specific interest rate risk and liquidity risk of financial instruments and other assets and liabilities in each line of business. Loans are assigned an FTP rate for funds used and deposits are assigned an FTP rate for funds provided. The allocation considers the origination date and the earlier of the maturity date or the repricing date of a financial instrument to assign an FTP rate for loans and deposits originated each day. The FTP process transfers the corporate interest rate risk exposure to the Treasury function included within the Corporate and Reconciling category where such exposures are centrally managed.

The Company allocates a majority of non-interest expense to each reportable segment using an activity and driver-based costing process. Costs, including shared services and back-office support areas, are analyzed, pooled by process, and assigned to the appropriate reportable segment. The combination of direct revenue, direct expenses, funds transfer pricing, and allocations of non-interest expense produces PPNR, which is the basis the segments are reviewed by executive management. The Company also allocates the provision for credit losses to each reportable segment based on management's estimate of the expected loss content in each of the specific loan and lease portfolios. The ACL on loans and leases is included in total assets within the Corporate and Reconciling category. Business development expenses, such as merger-related and strategic initiatives costs, are also generally included in the Corporate and Reconciling category.

The following tables present balance sheet information, including the appropriate allocations, for the Company's reportable segments and the Corporate and Reconciling category:

	At March 31, 2023
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Goodwill	$	2,029,204	$	57,485	$	544,776	$	—	$	2,631,465
Total assets	45,868,138		123,478		10,597,860		18,254,919		74,844,395
	At December 31, 2022
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Goodwill	$	1,904,291	$	57,779	$	552,034	$	—	$	2,514,104
Total assets	44,380,582		122,729		10,625,334		16,148,876		71,277,521

The following tables present operating results, including the appropriate allocations, for the Company’s reportable segments and the Corporate and Reconciling category:

	Three months ended March 31, 2023
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Net interest income	$	384,314	$	71,730	$	210,583	$	(71,344)	$	595,283
Non-interest income	35,397		24,067		25,959		(14,657)		70,766
Non-interest expense	108,509		43,700		106,879		73,379		332,467
Pre-tax, pre-provision net revenue	311,202		52,097		129,663		(159,380)		333,582
Provision for credit losses	36,037		—		1,784		8,928		46,749
Income (loss) before income taxes	275,165		52,097		127,879		(168,308)		286,833
Income tax expense (benefit)	69,066		14,066		33,760		(51,063)		65,829
Net income (loss)	$	206,099	$	38,031	$	94,119	$	(117,245)	$	221,004

	Three months ended March 31, 2022
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Net interest income	$	287,069	$	44,577	$	136,677	$	(74,075)	$	394,248
Non-interest income	38,743		26,958		27,901		10,433		104,035
Non-interest expense	89,240		36,409		95,510		138,626		359,785
Pre-tax, pre-provision net revenue	236,572		35,126		69,068		(202,268)		138,498
Provision (benefit) for credit losses	181,931		—		7,136		(222)		188,845
Income (loss) before income taxes	54,641		35,126		61,932		(202,046)		(50,347)
Income tax expense (benefit)	10,055		9,414		16,053		(69,122)		(33,600)
Net income (loss)	$	44,586	$	25,712	$	45,879	$	(132,924)	$	(16,747)

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Revenue from Contracts with Customers

3 Months Ended

Mar. 31, 2023

Revenue from Contract with Customer [Abstract]

Revenue from Contracts with Customers

Revenue from Contracts with Customers

The following tables summarize revenues recognized in accordance with ASC Topic 606, Revenue from Contracts with Customers. These disaggregated amounts, together with sources of other non-interest income that are subject to other GAAP topics, have been reconciled to non-interest income by reportable segment as presented within Note 16: Segment Reporting.

	Three months ended March 31, 2023
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Non-interest Income:
Deposit service fees	$	5,390	$	22,092	$	18,024	$	(70)	$	45,436
Loan and lease related fees (1)	4,427		—		—		—		4,427
Wealth and investment services (2)	2,767		—		3,828		(8)		6,587
Other income	—		1,975		358		932		3,265
Revenue from contracts with customers	12,584		24,067		22,210		854		59,715
Other sources of non-interest income	22,813		—		3,749		(15,511)		11,051
Total non-interest income	$	35,397	$	24,067	$	25,959	$	(14,657)	$	70,766

	Three months ended March 31, 2022
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Non-interest Income:
Deposit service fees	$	6,685	$	25,134	$	15,963	$	45	$	47,827
Loan and lease related fees (1)	4,498		—		—		—		4,498
Wealth and investment services	3,134		—		7,471		(8)		10,597
Other income	—		1,824		385		—		2,209
Revenue from contracts with customers	14,317		26,958		23,819		37		65,131
Other sources of non-interest income	24,426		—		4,082		10,396		38,904
Total non-interest income	$	38,743	$	26,958	$	27,901	$	10,433	$	104,035

(1)A portion of loan and lease related fees comprises income generated from factored receivables and payroll financing activities that is within the scope of ASC Topic 606.

(2)Effective as of the fourth quarter of 2022, the wealth and investment services revenue stream was impacted by the restructuring of a process in which the Company offers brokerage, investment advisory, and certain insurance-related services to customers. The staff providing these services, who had previously been employees of the Bank, are now employees of a third-party service provider. As a result, the Company now recognizes income from this program on a net basis, which thereby reduces gross reported wealth and investment services non-interest income and the related compensation and benefits non-interest expense on the accompanying Condensed Consolidated Statements of Income.

Contracts with customers did not generate significant contract assets and liabilities at March 31, 2023, or December 31, 2022.

Major Revenue Streams

Deposit service fees consist of fees earned from commercial and consumer customer deposit accounts, such as account maintenance and cash management/analysis fees, as well as other transactional service charges (i.e., insufficient funds, wire transfers, stop payment fees, etc.). Performance obligations for account maintenance services and cash management/analysis fees are satisfied on a monthly basis at a fixed transaction price, whereas performance obligations for other deposit service charges that result from various customer-initiated transactions are satisfied at a point-in-time when the service is rendered. Payment for deposit service fees is generally received immediately or in the following month through a direct charge to the customers' accounts. Certain commercial customer contracts include credit clauses, whereby the Company will grant credit upon the customer meeting pre-determined conditions, which can be used to offset fees. On occasion, the Company may also waive certain fees. Fee waivers are recognized as a reduction to revenue in the period the waiver is granted to the customer.

The deposit service fees revenue stream also includes interchange fees earned from debit and credit card transactions. The transaction price for interchange services is based on the transaction value and the interchange rate set by the card network. Performance obligations for interchange fees are satisfied at a point-in-time when the cardholder's transaction is authorized and settled. Payment for interchange fees is generally received immediately or in the following month.

Factored receivables non-interest income consists of fees earned from accounts receivable management services. The Company factors accounts receivable, with and without recourse, for customers whereby the Company purchases their accounts receivable at a discount and assumes the risk, as applicable, and ownership of the assets through direct cash receipt from the end consumer. Factoring services are performed in exchange for a non-refundable fee at a transaction price based on a percentage of the gross invoice amount of each receivable purchased, subject to a minimum required amount. The performance obligation for factoring services is generally satisfied at a point-in-time when the receivable is assigned to the Company. However, should the commission earned not meet or exceed the minimum required annual amount, the difference between that and the actual amount is recognized at the end of the contract term. Other fees associated with factoring receivables may include wire transfer and technology fees, field examination fees, and Uniform Commercial Code fees, where the performance obligations are satisfied at a point-in-time when the services are rendered. Payment from the customer for factoring services is generally received immediately or within the following month.

Payroll finance non-interest income consists of fees earned from performing payroll financing and business process outsourcing services, including full back-office technology and tax accounting services, along with payroll preparation, making payroll tax payments, invoice billings, and collections for independently-owned temporary staffing companies nationwide. Performance obligations for payroll finance and business processing activities are either satisfied upon completion of the support services or as payroll remittances are made on behalf of customers to fund their employee payroll, which generally occurs on a weekly basis. The agreed-upon transaction price is based on a fixed-percentage per the terms of the contract, which could be subject to a hold-back reserve to provide for any balances that are assessed to be at risk of collection. When the Company collects on amounts due from end consumers on behalf of its customers and at the time of financing payroll, the Company retains the agreed-upon transaction price payable for the performance of its services and remits an amount to the customer net of any advances and payroll tax withholdings, as applicable.

Wealth and investment services consist of fees earned from asset management, trust administration, and investment advisory services, and through facilitating securities transactions. Performance obligations for asset management and trust administration services are satisfied on a monthly or quarterly basis at a transaction price based on a percentage of the period-end market value of the assets under administration. Payment for asset management and trust administration services is generally received a few days after period-end through a direct charge to the customers' accounts. Performance obligations for investment advisory services are satisfied over the period in which the services are provided through a time-based measurement of progress, and the agreed-upon transaction price with the customer varies depending on the nature of the services performed. Performance obligations for facilitating securities transactions are satisfied at a point-in-time when the securities are sold at a transaction price that is based on a percentage of the contract value. Payment for both investment advisory services and facilitating securities transactions may be received in advance of the service, but generally is received immediately or in the following period, in arrears.

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Commitments and Contingencies

3 Months Ended

Mar. 31, 2023

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Commitments and Contingencies

Credit-Related Financial Instruments

In the normal course of business, the Company offers financial instruments with off-balance sheet risk to meet the financing needs of its customers. These transactions include commitments to extend credit, standby letters of credit, and commercial letters of credit, which involve, to varying degrees, elements of credit risk.

The following table summarizes the outstanding amounts of credit-related financial instruments with off-balance sheet risk:

(In thousands)	At March 31, 2023		At December 31, 2022
Commitments to extend credit	$	11,711,880	$	11,237,496
Standby letters of credit	378,585		380,655
Commercial letters of credit	52,987		53,512
Total credit-related financial instruments with off-balance sheet risk	$	12,143,452	$	11,671,663

The Company enters into contractual commitments to extend credit to its customers (i.e., revolving credit arrangements, term loan commitments, and short-term borrowing agreements), generally with fixed expiration dates or other termination clauses and that require payment of a fee. Substantially all of the Company's commitments to extend credit are contingent upon its customers maintaining specific credit standards at the time of loan funding, and are often secured by real estate collateral. Since the majority of the Company's commitments typically expire without being funded, the total contractual amount does not necessarily represent the Company's future payment requirements.

Standby letters of credit are written conditional commitments issued by the Company to guarantee its customers' performance to a third party. In the event the customer does not perform in accordance with the terms of its agreement with a third-party, the Company would be required to fund the commitment. The contractual amount of each standby letter of credit represents the maximum amount of potential future payments the Company could be required to make. Historically, the majority of the Company's standby letters of credit expire without being funded. However, if the commitment were funded, the Company has recourse against the customer. The Company's standby letter of credit agreements are often secured by cash or other collateral.

Commercial letters of credit are issued to finance either domestic or foreign customer trade arrangements. As a general rule, drafts are committed to be drawn when the goods underlying the transaction are in transit. Similar to standby letters of credit, the Company's commercial letter of credit agreements are often secured by the underlying goods subject to trade.

Allowance for Credit Losses on Unfunded Loan Commitments

An ACL is recorded under the CECL methodology and included in Accrued expenses and other liabilities on the accompanying Condensed Consolidated Balance Sheets to provide for the unused portion of commitments to lend that are not unconditionally cancellable by the Company. At March 31, 2023, and December 31, 2022, the ACL on unfunded loan commitments totaled $26.1 million and $27.7 million, respectively.Litigation

The Company is subject to certain legal proceedings and unasserted claims and assessments in the ordinary course of business. Legal contingencies are evaluated based on information currently available, including advice of counsel and assessment of available insurance coverage. The Company establishes an accrual for specific legal matters when it determines that the likelihood of an unfavorable outcome is probable and the loss is reasonably estimable. Once established, each accrual is adjusted to reflect any subsequent developments. Legal contingencies are subject to inherent uncertainties, and unfavorable rulings may occur that could cause the Company to either adjust its litigation accrual or incur actual losses that exceed the current estimate, which ultimately could have a material adverse effect, either individually or in the aggregate, on its business, financial condition, or operating results. The Company will consider settlement of cases when it is in the best interests of the Company and its stakeholders. The Company intends to defend itself in all claims asserted against it, and management currently believes that the outcome of these contingencies will not be material, either individually or in the aggregate, to the Company or its consolidated financial position.

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Subsequent Events	3 Months Ended
	Mar. 31, 2023
Subsequent Events [Abstract]
Subsequent Events	Subsequent EventsThe Company has evaluated subsequent events from the date of the Condensed Consolidated Financial Statements, and accompanying Notes thereto, through the date of issuance, and determined that no significant events were identified requiring recognition or disclosure.

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Summary of Significant Accounting Policies (Policies)

3 Months Ended

Mar. 31, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Basis of Presentation

Basis of Presentation

The unaudited Condensed Consolidated Financial Statements of the Company have been prepared in accordance with GAAP for interim financial information and Article 10 of Regulation S-X. Certain information and footnote disclosures required by GAAP for complete financial statements have been omitted or condensed. Therefore, the condensed consolidated financial statements should be read in conjunction with the Company's Annual Report on Form 10-K for the year ended
December 31, 2022. The results of operations for the three months ended March 31, 2023, are not necessarily indicative of the future results that may be attained for the entire year or other interim periods.

In the opinion of management, all necessary adjustments have been reflected to present fairly the financial position, results of operations, and cash flows for the reporting periods presented. Intercompany transactions and balances have been eliminated in consolidation. Assets under administration or assets under management that the Company holds or manages in a fiduciary or agency capacity for customers are not included in the Condensed Consolidated Financial Statements.

Use of Estimates

Use of Estimates

The preparation of the Condensed Consolidated Financial Statements in accordance with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the Condensed Consolidated Financial Statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Relevant Accounting Standards Issued But Not Yet Adopted

Accounting Standards Adopted in the Current Period

ASU No. 2022-02—Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures

In March 2022, the FASB issued ASU No. 2022-02, which eliminates the accounting guidance for TDRs by creditors in Subtopic 310-40, Receivables—Troubled Debt Restructurings by Creditors, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Specifically, rather than applying the recognition and measurement guidance for TDRs, an entity must apply the loan refinancing and restructuring guidance in paragraphs 310-20-35-9 through 35-11 to determine whether a modification results in a new loan or a continuation of an existing loan. In addition, the Update requires that an entity disclose current-period gross write-offs by year of origination for financing receivables and net investments in leases within the scope of Subtopic 326-20, Financial Instruments—Credit Losses—Measured at Amortized Cost in the vintage disclosures required by paragraph 326-20-50-6.

Modifications to borrowers experiencing financial difficulty include principal forgiveness, interest rate reductions, payment delays, term extensions, or combinations thereof. Expected losses or recoveries on loans where modifications have been granted to borrowers experiencing financial difficulty have been factored into the ACL on loans and leases. Upon adoption of ASU 2022-02, the Company is no longer required to use a discounted cash flow (or reconcilable) method to measure the ACL resulting from a modification with a borrower experiencing financial difficulty. Accordingly, the Company now applies the same credit loss methodology it uses for similar loans that were not modified.

The Company adopted the Update on January 1, 2023. The Company elected the option to apply the modified retrospective transition method related to the recognition and measurement of TDRs, which resulted in a $5.9 million increase to the Allowance for Credit Losses on Loans and Leases and a $1.7 million decrease to Deferred Tax Assets, net, with a corresponding $4.2 million cumulative-effect adjustment to retained earnings as of the adoption date. The enhanced disclosure requirements provided for by the Update were adopted on a prospective basis. Reporting periods prior to the adoption of the Update are accounted for and presented in accordance with the applicable GAAP.

Refer to Note 4: Loans and Leases for additional information regarding modifications granted to borrowers experiencing financial difficulty.

ASU No. 2022-01—Derivatives and Hedging (Topic 815): Fair Value Hedging—Portfolio Layer Method

In March 2022, the FASB issued ASU No. 2022-01—Derivatives and Hedging (Topic 815): Fair Value Hedging—Portfolio Layer Method, which expands the current last-of-layer method of hedge accounting that permits only one hedged layer to allow multiple hedged layers of a single closed portfolio. To reflect that expansion, the last-of-layer method is renamed the portfolio layer method. Additionally, the amendments in this Update: (i) expand the scope of the portfolio layer method to include non-prepayable assets; (ii) specify eligible hedging instruments in a single-layer hedge; (iii) provide additional guidance on the accounting for and disclosure of hedge basis adjustments; and (iv) specify how hedge basis adjustments should be considered when determining credit losses for the assets included in the closed portfolio. An entity may also reclassify debt securities classified in the held-to-maturity category at the date of adoption to the available-for-sale category only if the entity applies portfolio layer method hedging to one or more closed portfolios that include those debt securities within a 30-day period.

The Company adopted the Update on January 1, 2023 on a prospective basis. The adoption of this guidance did not have a material impact on the Company's Consolidated Financial Statements. The entity did not reclassify any debt securities from the held-to-maturity category to the available-for-sale category as permitted upon adoption.

ASU No. 2021-08—Business Combinations (Topic 805)—Accounting for Contract Assets and Contract Liabilities from Contracts with Customers

In October 2021, the FASB issued ASU No. 2021-08—Business Combinations (Topic 805)—Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires that an acquirer recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with Topic 606, Revenue from Contracts with Customers. At the acquisition date, an acquirer should account for the related revenue contracts in accordance with Topic 606 as if it had originated the contracts.

The Company adopted the Update on January 1, 2023 on a prospective basis. The adoption of this guidance did not have a material impact on the Company's Consolidated Financial Statements.

Relevant Accounting Standards Issued But Not Yet Adopted

ASU No. 2023-02—Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (a consensus of the Emerging Issues Task Force)

In March 2023, the FASB issued ASU No. 2023-02—Investments—Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures Using the Proportional Amortization Method (a consensus of the Emerging Issues Task Force), which permits reporting entities to elect to account for their tax equity investments, regardless of the program from which the income tax credits are received, using the proportional amortization method if certain conditions are met. A reporting entity may make an accounting policy election to apply the proportional amortization method in accordance with paragraph 323-740-25-4 on a tax-credit-program-by-tax-credit-program basis rather than electing to applying the proportional amortization method at the reporting entity level or to individual investments.

A reporting entity that applies the proportional amortization method to qualifying tax equity investments must account for the receipt of the investment tax credits using the flow-through method under Topic 740, Income Taxes, even if the entity applies the deferral method for other investment tax credit received. The amendments also remove certain guidance for Qualified Affordable Housing Project Investments, require the application of the delayed equity contribution guidance to all tax equity investments, and require specific disclosures that must be applied to all investments that generate income tax credits and other income tax benefits from a tax credit program for which the entity has elected to apply the proportional amortization method in accordance with Subtopic 323-740.

The Update is effective for fiscal years beginning after December 15, 2023, and interim periods within those fiscal years, with early adoption permitted. The amendments generally must be applied on either a modified retrospective or retrospective basis with a cumulative-effect adjustment to retained earnings reflecting the difference between the previous method used to account for the tax equity investment and the application of the proportional amortization method since the investment was entered into. The Company is in the early assessment stages of evaluating the amendments and the impact of adoption on its Consolidated Financial Statements and disclosures.

ASU No. 2023-01—Leases (Topic 842): Common Control Arrangements

In March 2023, the FASB issued ASU No. 2023-01—Leases (Topic 842): Common Control Arrangements, which requires that leasehold improvements associated with leases between entities under common control be: (i) amortized by the lessee over the useful live of the leasehold improvements to the common control group (regardless of the lease term) as long as the lessee controls the use of the underlying asset (the leased asset) through a lease; however, if the lessor obtained the right to control the use of the underlying asset through a lease with another entity not within the same common control group, the amortization period may not exceed the amortization period of the common control group; and (ii) accounted for as a transfer between entities under common control through an adjustment to equity, if, and when, the lessee no longer controls the use of the underlying asset. Additionally, those leasehold improvements are subject to the impairment guidance in Topic 360, Property, Plant, and Equipment.

The Update is effective for fiscal years beginning after December 15, 2023, and interim periods within those fiscal years, with early adoption permitted. The amendments either may be applied prospectively to all new and existing leasehold improvements recognized on or after the adoption date with any remaining unamortized balance of existing leasehold improvements amortized over their remaining useful life to the common control group determined at that date; or retrospectively to the beginning of the period in which the entity first applied Topic 842, with any leasehold improvements that otherwise would not have been amortized or impaired recognized through a cumulative-effect adjustment to the opening balance of retained earnings at the beginning of the earliest period presented in accordance with Topic 842. The Company is in the early assessment stages of evaluating the amendments and the impact of adoption on its Consolidated Financial Statements.

ASU No. 2022-03—Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions

In June 2022, the FASB issued ASU No. 2022-03—Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions, which clarifies that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security, and therefore, is not considered in measuring fair value. The amendments also clarify that an entity cannot, as a separate unit of account, recognize and measure a contractual sale restriction, and requires the following disclosures for equity securities subject to contractual sale restrictions: (i) the fair value of equity securities subject to contractual sale restrictions reflected on the balance sheet; (ii) the nature and remaining duration of the restriction(s); and (iii) the circumstances that could cause a lapse in the restriction(s).

The Update is effective for fiscal years beginning after December 15, 2023, and interim periods within those fiscal years, with early adoption permitted. For all entities except investment companies, the amendments should be applied prospectively with any adjustments from the adoption of the amendments recognized in earnings and disclosed on the date of adoption. The adoption of this guidance is not expected to have a material impact on the Consolidated Financial Statements as the Company does not currently consider contractual restrictions on the sale of an equity security in measuring fair value.

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Mergers and Acquisitions (Tables)

3 Months Ended

Mar. 31, 2023

Business Combination and Asset Acquisition [Abstract]

Summary of Purchase Price Allocation

The following table summarizes the allocation of the purchase price to the fair value of the identifiable assets acquired and liabilities assumed from Sterling as of January 31, 2022:

(In thousands)	Unpaid Principal Balance		Fair Value
Purchase price consideration			$	5,180,300
Assets:
Cash and due from banks			510,929
Interest-bearing deposits			3,207
Investment securities available-for-sale			4,429,948
Federal Home Loan Bank and Federal Reserve Bank Stock			150,502
Loans held for sale			23,517
Loans and leases:
Commercial non-mortgage	$	5,570,782	5,527,657
Asset-based	694,137		683,958
Commercial real estate	6,790,600		6,656,405
Multi-family	4,303,381		4,255,906
Equipment financing	1,350,579		1,314,311
Warehouse lending	647,767		643,754
Residential	1,313,785		1,281,637
Home equity	132,758		122,553
Other consumer	12,559		12,525
Total loans and leases	$	20,816,348	20,498,706
Deferred tax assets, net			(59,716)
Premises and equipment			264,421
Other intangible assets			210,100
Bank-owned life insurance policies			645,510
Accrued interest receivable and other assets			986,729
Total assets acquired			$	27,663,853
Liabilities:
Non-interest-bearing deposits			$	6,620,248
Interest-bearing deposits			16,643,755
Securities sold under agreements to repurchase and other borrowings			27,184
Long-term debt			516,881
Accrued expenses and other liabilities			589,689
Total liabilities assumed			$	24,397,757
Net assets acquired			3,266,096
Goodwill			$	1,914,204

Summary of Supplemental Pro Forma Information Adjustments

The following table summarizes total merger-related expenses, which were primarily incurred in connection with the merger with Sterling:

	Three months ended March 31,
(In thousands)	2023		2022
Compensation and benefits (1)	$	11,112	$	41,585
Occupancy	735		356
Technology and equipment (2)	(1,709)		19,085
Professional and outside services (3)	20,009		44,457
Marketing	135		—
Other expense (4)	(909)		3,012
Total merger-related expenses	$	29,373	$	108,495

(1)Comprised primarily of severance and employee retention costs, and executive synergy stock awards.

(2)Comprised primarily of technology contract termination costs. Includes a reduction of $4.8 million to a previously recorded technology-related contract termination charge during the three months ended March 31, 2023, due to a change in the expected use of certain services post core conversion.

(3)Comprised primarily of advisory, legal, accounting, and other professional fees.

(4)Comprised primarily of contract termination costs, disposals on property and equipment, and other miscellaneous expenses. Includes a reduction of $1.7 million to a previously recorded contract termination charge during the three months ended
March 31, 2023, due to a decrease in volume usage.

The following tables summarize the change in accrued expenses and other liabilities as it relates to severance and contract termination costs, which were primarily incurred in connection with the merger with Sterling:

	Three months ended March 31, 2023
(In thousands)	Severance		Contract Termination		Total
Balance, beginning of period	$	7,583	$	30,362	$	37,945
Additions charged to expense	6,196		—		6,196
Cash payments	(6,993)		—		(6,993)
Other	(825)		(6,587)		(7,412)
Balance, end of period	$	5,961	$	23,775	$	29,736
	Three months ended March 31, 2022
(In thousands)	Severance		Contract Termination		Total
Balance, beginning of period	$	10,835	$	—	$	10,835
Additions charged to expense	26,971		17,704		44,675
Cash payments	(1,766)		—		(1,766)
Other (1)	(3,884)		—		(3,884)
Balance, end of period	$	32,156	$	17,704	$	49,860

(1)Reflects the release of $3.9 million from the Company's severance accrual, as the Company re-evaluated its strategic priorities as a combined organization in connection with the Sterling merger, which resulted in modifications to the Company's strategic initiatives that were previously announced in December 2020.

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Investment Securities (Tables)

3 Months Ended

Mar. 31, 2023

Investments, Debt and Equity Securities [Abstract]

Debt Securities, Available-for-sale

The following tables summarize the amortized cost and fair value of available-for-sale securities by major type:

	At March 31, 2023
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value
U.S. Treasury notes	$	407,224	$	—	$	(20,452)	$	386,772
Government agency debentures	302,067		—		(39,725)		262,342
Municipal bonds and notes	1,707,779		7		(62,558)		1,645,228
Agency CMO	61,728		—		(4,266)		57,462
Agency MBS	2,496,654		368		(266,172)		2,230,850
Agency CMBS	1,889,561		3,542		(257,851)		1,635,252
CMBS	927,591		—		(25,533)		902,058
Corporate debt	714,359		—		(88,836)		625,523
Private label MBS	48,325		—		(4,063)		44,262
Other	10,061		—		(833)		9,228
Total available-for-sale securities	$	8,565,349	$	3,917	$	(770,289)	$	7,798,977
	At December 31, 2022
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value
U.S. Treasury notes	$	755,968	$	—	$	(38,928)	$	717,040
Government agency debentures	302,018		—		(43,644)		258,374
Municipal bonds and notes	1,719,110		5		(85,913)		1,633,202
Agency CMO	64,984		—		(5,019)		59,965
Agency MBS	2,461,337		26		(303,339)		2,158,024
Agency CMBS	1,664,600		—		(258,114)		1,406,486
CMBS	929,588		—		(32,948)		896,640
CLO	2,108		—		(1)		2,107
Corporate debt	795,999		—		(91,587)		704,412
Private label MBS	48,895		—		(4,646)		44,249
Other	12,548		—		(350)		12,198
Total available-for-sale securities	$	8,757,155	$	31	$	(864,489)	$	7,892,697

(1)Accrued interest receivable on available-for-sale securities of $41.4 million and $36.9 million at March 31, 2023, and
December 31, 2022, respectively, is excluded from amortized cost and is included in Accrued interest receivable and other assets on the accompanying Condensed Consolidated Balance Sheets.

The following table summarizes available-for-sale securities pledged for deposits, borrowings, and other purposes:

(In thousands)	At March 31, 2023		At December 31, 2022
Pledged for deposits	$	2,868,000	$	2,573,072
Pledged for borrowings and other	3,848,039		1,195,101
Total available-for-sale securities pledged	$	6,716,039	$	3,768,173

Debt Securities, Available-for-sale, Unrealized Loss Position, Fair Value

The following tables summarize the gross unrealized losses and fair value of available-for-sale securities by length of time each major security type has been in a continuous unrealized loss position:

	At March 31, 2023
	Less Than 12 Months				12 Months or More				Total
(Dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Number of Holdings	Fair Value		Unrealized Losses
U.S. Treasury notes	$	—	$	—	$	386,772	$	(20,452)	14	$	386,772	$	(20,452)
Government agency debentures	71,134		(3,714)		191,208		(36,011)		19	262,342		(39,725)
Municipal bonds and notes	15,479		(239)		1,598,253		(62,319)		430	1,613,732		(62,558)
Agency CMO	7,915		(228)		49,547		(4,038)		38	57,462		(4,266)
Agency MBS	86,133		(3,319)		2,045,564		(262,853)		459	2,131,697		(266,172)
Agency CMBS	64,576		(933)		1,397,565		(256,918)		133	1,462,141		(257,851)
CMBS	155,493		(2,056)		746,565		(23,477)		51	902,058		(25,533)
Corporate debt	13,041		(1,158)		612,482		(87,678)		92	625,523		(88,836)
Private label MBS	44,262		(4,063)		—		—		3	44,262		(4,063)
Other	4,810		(190)		4,168		(643)		2	8,978		(833)
Total	$	462,843	$	(15,900)	$	7,032,124	$	(754,389)	1,241	$	7,494,967	$	(770,289)

	At December 31, 2022
	Less Than Twelve Months				Twelve Months or Longer				Total
(Dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Number of Holdings	Fair Value		Unrealized Losses
U.S. Treasury notes	$	337,563	$	(19,167)	$	379,477	$	(19,761)	23	$	717,040	$	(38,928)
Government agency debentures	258,374		(43,644)		—		—		19	258,374		(43,644)
Municipal bonds and notes	1,616,771		(85,913)		—		—		444	1,616,771		(85,913)
Agency CMO	55,693		(4,640)		4,272		(379)		39	59,965		(5,019)
Agency MBS	1,641,544		(206,412)		515,206		(96,927)		460	2,156,750		(303,339)
Agency CMBS	485,333		(68,674)		921,153		(189,440)		132	1,406,486		(258,114)
CMBS	273,150		(8,982)		598,490		(23,966)		52	871,640		(32,948)
CLO	—		—		2,107		(1)		1	2,107		(1)
Corporate debt	692,990		(89,692)		8,421		(1,895)		105	701,411		(91,587)
Private label MBS	44,249		(4,646)		—		—		3	44,249		(4,646)
Other	12,198		(350)		—		—		4	12,198		(350)
Total	$	5,417,865	$	(532,120)	$	2,429,126	$	(332,369)	1,282	$	7,846,991	$	(864,489)

Summary of Debt Securities by Contractual Maturity

The following table summarizes the amortized cost and fair value of available-for-sale securities by contractual maturity:

	At March 31, 2023
(In thousands)	Amortized Cost		Fair Value
Maturing within 1 year	$	41,886	$	41,593
After 1 year through 5 years	953,221		903,665
After 5 through 10 years	1,469,500		1,364,238
After 10 years	6,100,742		5,489,481
Total available-for-sale securities	$	8,565,349	$	7,798,977

The following table summarizes the amortized cost and fair value of held-to-maturity securities by contractual maturity:

	At March 31, 2023
(In thousands)	Amortized Cost		Fair Value
Maturing within 1 year	$	6,093	$	6,115
After 1 year through 5 years	52,893		53,722
After 5 through 10 years	338,353		324,864
After 10 years	6,666,166		5,935,981
Total held-to-maturity securities	$	7,063,505	$	6,320,682

Debt Securities, Held-to-maturity

The following tables summarize the amortized cost, fair value, and ACL on held-to-maturity securities by major type:

	At March 31, 2023
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value		Allowance		Net Carrying Value
Agency CMO	$	27,101	$	—	$	(1,727)	$	25,374	$	—	$	27,101
Agency MBS	2,613,113		1,458		(300,457)		2,314,114		—		2,613,113
Agency CMBS	3,364,186		3,790		(410,763)		2,957,213		—		3,364,186
Municipal bonds and notes	927,501		2,957		(29,188)		901,270		282		927,219
CMBS	131,604		—		(8,893)		122,711		—		131,604
Total held-to-maturity securities	$	7,063,505	$	8,205	$	(751,028)	$	6,320,682	$	282	$	7,063,223

	At December 31, 2022
(In thousands)	Amortized Cost (1)		Unrealized Gains		Unrealized Losses		Fair Value		Allowance		Net Carrying Value
Agency CMO	$	28,358	$	—	$	(2,060)	$	26,298	$	—	$	28,358
Agency MBS	2,626,114		827		(339,592)		2,287,349		—		2,626,114
Agency CMBS	2,831,949		845		(407,648)		2,425,146		—		2,831,949
Municipal bonds and notes	928,845		1,098		(47,183)		882,760		182		928,663
CMBS	149,613		—		(9,713)		139,900		—		149,613
Total held-to-maturity securities	$	6,564,879	$	2,770	$	(806,196)	$	5,761,453	$	182	$	6,564,697

The following table summarizes the activity in the ACL on held-to-maturity securities:

	Three months ended March 31,
(In thousands)	2023		2022
Balance, beginning of period	$	182	$	214
Provision (benefit) for credit losses	100		(10)
Balance, end of period	$	282	$	204

The following tables summarize the amortized cost of held-to-maturity securities based on their lowest publicly available credit rating:

	March 31, 2023
	Investment Grade
(In thousands)	Aaa		Aa1		Aa2		Aa3		A1		A2		Not Rated
Agency CMO	$	—	$	27,101	$	—	$	—	$	—	$	—	$	—
Agency MBS	—		2,613,113		—		—		—		—		—
Agency CMBS	—		3,364,186		—		—		—		—		—
Municipal bonds and notes	350,578		163,138		254,843		116,343		38,134		4,165		300
CMBS	131,604		—		—		—		—		—		—
Total held-to-maturity securities	$	482,182	$	6,167,538	$	254,843	$	116,343	$	38,134	$	4,165	$	300

	December 31, 2022
	Investment Grade
(In thousands)	Aaa		Aa1		Aa2		Aa3		A1		A2		Not Rated
Agency CMO	$	—	$	28,358	$	—	$	—	$	—	$	—	$	—
Agency MBS	—		2,626,114		—		—		—		—		—
Agency CMBS	—		2,831,949		—		—		—		—		—
Municipal bonds and notes	336,035		163,312		255,235		116,870		38,177		4,165		15,051
CMBS	149,613		—		—		—		—		—		—
Total held-to-maturity securities	$	485,648	$	5,649,733	$	255,235	$	116,870	$	38,177	$	4,165	$	15,051

The following table summarizes held-to-maturity securities pledged for deposits, borrowings, and other purposes:

(In thousands)	At March 31, 2023		At December 31, 2022
Pledged for deposits	$	1,573,285	$	1,596,777
Pledged for borrowings and other	5,057,769		260,735
Total held-to-maturity securities pledged	$	6,631,054	$	1,857,512

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Loans and Leases (Tables)

3 Months Ended

Mar. 31, 2023

Loans and Leases Receivable Disclosure [Abstract]

Schedule of Accounts, Notes, Loans and Financing Receivable

The following table summarizes loans and leases by portfolio segment and class:

(In thousands)	At March 31, 2023		At December 31, 2022
Commercial non-mortgage	$	16,939,373	$	16,392,795
Asset-based	1,760,527		1,821,642
Commercial real estate	13,499,139		12,997,163
Multi-family	7,014,599		6,621,982
Equipment financing	1,601,109		1,628,393
Warehouse lending	474,328		641,976
Commercial portfolio	41,289,075		40,103,951
Residential	8,001,563		7,963,420
Home equity	1,580,569		1,633,107
Other consumer	55,316		63,948
Consumer portfolio	9,637,448		9,660,475
Loans and leases	$	50,926,523	$	49,764,426

The following table summarizes the aging of loans that have been modified during the three months ended March 31, 2023:

(In thousands)	Current		30-59 Days Past Due		60-89 Days Past Due		90+ Days Past Due		Non-Accrual		Total
Commercial non-mortgage	$	3,562	$	—	$	—	$	—	$	26,329	$	29,891
Commercial real estate	17,116		—		—		—		—		17,116
Home equity	23		—		—		—		98		121
Total	$	20,701	$	—	$	—	$	—	$	26,427	$	47,128

Past Due Financing Receivables

The following tables summarize the aging of accrual and non-accrual loans and leases by class:

	At March 31, 2023
(In thousands)	30-59 Days Past Due and Accruing		60-89 Days Past Due and Accruing		90 or More Days Past Due and Accruing		Non-accrual		Total Past Due and Non-accrual		Current		Total Loans and Leases
Commercial non-mortgage	$	6,916	$	162	$	215	$	69,129	$	76,422	$	16,862,951	$	16,939,373
Asset-based	—		—		—		9,428		9,428		1,751,099		1,760,527
Commercial real estate	15,171		—		175		33,966		49,312		13,449,827		13,499,139
Multi-family	1,929		—		—		—		1,929		7,012,670		7,014,599
Equipment financing	2,472		105		—		13,018		15,595		1,585,514		1,601,109
Warehouse lending	—		—		—		—		—		474,328		474,328
Commercial portfolio	26,488		267		390		125,541		152,686		41,136,389		41,289,075
Residential	7,112		3,347		—		25,291		35,750		7,965,813		8,001,563
Home equity	3,977		1,649		—		28,873		34,499		1,546,070		1,580,569
Other consumer	415		104		213		106		838		54,478		55,316
Consumer portfolio	11,504		5,100		213		54,270		71,087		9,566,361		9,637,448
Total	$	37,992	$	5,367	$	603	$	179,811	$	223,773	$	50,702,750	$	50,926,523

	At December 31, 2022
(In thousands)	30-59 Days Past Due and Accruing		60-89 Days Past Due and Accruing		90 or More Days Past Due and Accruing		Non-accrual		Total Past Due and Non-accrual		Current		Total Loans and Leases
Commercial non-mortgage	$	8,434	$	821	$	645	$	71,884	$	81,784	$	16,311,011	$	16,392,795
Asset-based	5,921		—		—		20,024		25,945		1,795,697		1,821,642
Commercial real estate	1,494		23,492		68		39,057		64,111		12,933,052		12,997,163
Multi-family	1,157		—		—		636		1,793		6,620,189		6,621,982
Equipment financing	806		9,988		—		12,344		23,138		1,605,255		1,628,393
Warehouse lending	—		—		—		—		—		641,976		641,976
Commercial portfolio	17,812		34,301		713		143,945		196,771		39,907,180		40,103,951
Residential	8,246		3,083		—		25,424		36,753		7,926,667		7,963,420
Home equity	5,293		2,820		—		27,924		36,037		1,597,070		1,633,107
Other consumer	1,028		85		13		148		1,274		62,674		63,948
Consumer portfolio	14,567		5,988		13		53,496		74,064		9,586,411		9,660,475
Total	$	32,379	$	40,289	$	726	$	197,441	$	270,835	$	49,493,591	$	49,764,426

Financing Receivable, Nonaccrual

The following table provides additional information on non-accrual loans and leases:

	At March 31, 2023				At December 31, 2022
(In thousands)	Non-accrual		Non-accrual with No Allowance		Non-accrual		Non-accrual with No Allowance
Commercial non-mortgage	$	69,129	$	12,382	$	71,884	$	12,598
Asset-based	9,428		1,330		20,024		1,491
Commercial real estate	33,966		1,502		39,057		90
Multi-family	—		—		636		—
Equipment financing	13,018		1,895		12,344		2,240
Commercial portfolio	125,541		17,109		143,945		16,419
Residential	25,291		10,674		25,424		10,442
Home equity	28,873		15,114		27,924		15,193
Other consumer	106		4		148		5
Consumer portfolio	54,270		25,792		53,496		25,640
Total	$	179,811	$	42,901	$	197,441	$	42,059

Activity In Allowance For Losses

The following table summarizes the change in the ACL on loans and leases by portfolio segment:

	At or for the three months ended March 31,
	2023						2022
(In thousands)	Commercial Portfolio		Consumer Portfolio		Total		Commercial Portfolio		Consumer Portfolio		Total
ACL on loans and leases:
Balance, beginning of period	$	533,125	$	61,616	$	594,741	$	257,877	$	43,310	$	301,187
Adoption of ASU No. 2022-02	7,704		(1,831)		5,873		—		—		—
Initial allowance for PCD loans and leases (1)	—		—		—		78,376		9,669		88,045
Provision (benefit)	38,757		(936)		37,821		184,327		4,741		189,068
Charge-offs	(26,410)		(1,098)		(27,508)		(11,248)		(1,120)		(12,368)
Recoveries	1,574		1,413		2,987		1,364		2,075		3,439
Balance, end of period	$	554,750	$	59,164	$	613,914	$	510,696	$	58,675	$	569,371
Individually evaluated for credit losses	27,459		8,590		36,049		32,736		12,057		44,793
Collectively evaluated for credit losses	$	527,291	$	50,574	$	577,865	$	477,960	$	46,618	$	524,578

(1)Represents the establishment of the initial reserve for PCD loans and leases, which is reported net of $48.3 million of day one charge-offs recognized at the date of acquisition in accordance with GAAP.

Financing Receivable Credit Quality Indicators

The following tables summarize the amortized cost basis of commercial loans and leases by Composite Credit Risk Profile grade and origination year:

	At March 31, 2023
(In thousands)	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Commercial non-mortgage:
Risk rating:
Pass	$	867,446	$	5,084,158	$	1,781,158	$	864,566	$	708,271	$	1,156,948	$	5,992,440	$	16,454,987
Special mention	25,083		62,638		24,644		12,727		15,640		8,631		30,522		179,885
Substandard	22,393		59,838		15,155		46,558		35,660		56,930		67,967		304,501
Total commercial non-mortgage	914,922		5,206,634		1,820,957		923,851		759,571		1,222,509		6,090,929		16,939,373
Current period gross write-offs	324		103		101		395		169		2,105		—		3,197
Asset-based:
Risk rating:
Pass	2,000		21,486		—		8,868		10,585		51,172		1,514,179		1,608,290
Special mention	—		—		—		—		—		495		66,053		66,548
Substandard	—		—		—		—		1,330		—		84,359		85,689
Total asset-based	2,000		21,486		—		8,868		11,915		51,667		1,664,591		1,760,527
Current period gross write-offs	—		—		—		—		13,189		—		—		13,189
Commercial real estate:
Risk rating:
Pass	921,252		3,438,768		1,999,831		1,481,136		1,547,577		3,591,701		139,886		13,120,151
Special mention	4,225		22,788		43,548		42,519		51,379		74,390		4,499		243,348
Substandard	—		515		2,453		212		31,137		101,323		—		135,640
Total commercial real estate	925,477		3,462,071		2,045,832		1,523,867		1,630,093		3,767,414		144,385		13,499,139
Current period gross write-offs	—		—		—		—		—		8,950		—		8,950
Multi-family:
Risk rating:
Pass	508,429		1,930,324		1,051,536		449,185		666,060		2,189,520		93,523		6,888,577
Special mention	—		37,686		—		13,243		370		40,800		8,402		100,501
Substandard	—		—		—		377		—		25,144		—		25,521
Total multi-family	508,429		1,968,010		1,051,536		462,805		666,430		2,255,464		101,925		7,014,599
Current period gross write-offs	—		—		—		—		—		1,033		—		1,033
Equipment financing:
Risk rating:
Pass	132,662		367,476		316,521		295,379		277,878		145,561		—		1,535,477
Special mention	—		—		170		—		11,583		6,540		—		18,293
Substandard	—		3,183		14,918		12,013		4,527		12,698		—		47,339
Total equipment financing	132,662		370,659		331,609		307,392		293,988		164,799		—		1,601,109
Current period gross write-offs	—		—		—		—		—		41		—		41
Warehouse lending:
Risk rating:
Pass	—		—		—		—		—		—		474,328		474,328
Total warehouse lending	—		—		—		—		—		—		474,328		474,328
Current period gross write-offs	—		—		—		—		—		—		—		—
Total commercial portfolio	$	2,483,490	$	11,028,860	$	5,249,934	$	3,226,783	$	3,361,997	$	7,461,853	$	8,476,158	$	41,289,075
Current period gross write-offs	$	324	$	103	$	101	$	395	$	13,358	$	12,129	$	—	$	26,410

	At December 31, 2022
(In thousands)	2022		2021		2020		2019		2018		Prior		Revolving Loans Amortized Cost Basis		Total
Commercial non-mortgage:
Pass	$	5,154,781	$	1,952,158	$	965,975	$	792,977	$	593,460	$	780,200	$	5,670,532	$	15,910,083
Special mention	104,277		15,598		21,168		263		14,370		7,770		40,142		203,588
Substandard	28,203		11,704		69,954		36,604		70,634		16,852		41,917		275,868
Doubtful	—		—		—		1		—		—		3,255		3,256
Total commercial non-mortgage	5,287,261		1,979,460		1,057,097		829,845		678,464		804,822		5,755,846		16,392,795
Asset-based:
Pass	19,659		3,901		9,424		14,413		5,163		55,553		1,551,250		1,659,363
Special mention	—		—		—		—		—		—		80,476		80,476
Substandard	—		—		—		1,491		—		—		80,312		81,803
Total asset-based	19,659		3,901		9,424		15,904		5,163		55,553		1,712,038		1,821,642
Commercial real estate:
Pass	3,420,635		2,246,672		1,556,185		1,605,869		1,058,730		2,681,052		97,832		12,666,975
Special mention	21,878		8,995		7,264		37,570		47,419		66,652		1,000		190,778
Substandard	519		2,459		216		31,163		47,021		57,997		—		139,375
Doubtful	—		—		—		1		—		34		—		35
Total commercial real estate	3,443,032		2,258,126		1,563,665		1,674,603		1,153,170		2,805,735		98,832		12,997,163
Multi-family:
Pass	1,992,980		1,057,705		507,065		694,066		444,564		1,748,337		51,655		6,496,372
Special mention	37,677		—		—		95		40,307		726		8,838		87,643
Substandard	—		—		382		—		12,681		24,904		—		37,967
Total multi-family	2,030,657		1,057,705		507,447		694,161		497,552		1,773,967		60,493		6,621,982
Equipment financing:
Pass	388,641		345,792		331,419		308,441		98,874		83,264		—		1,556,431
Special mention	—		185		—		11,965		6,775		25		—		18,950
Substandard	314		16,711		18,436		5,016		5,307		7,228		—		53,012
Total equipment financing	388,955		362,688		349,855		325,422		110,956		90,517		—		1,628,393
Warehouse lending:
Pass	—		—		—		—		—		—		641,976		641,976
Total warehouse lending	—		—		—		—		—		—		641,976		641,976
Total commercial portfolio	$	11,169,564	$	5,661,880	$	3,487,488	$	3,539,935	$	2,445,305	$	5,530,594	$	8,269,185	$	40,103,951

The following tables summarize the amortized cost basis of consumer loans by FICO score and origination year:

	At March 31, 2023
(In thousands)	2023		2022		2021		2020		2019		Prior		Revolving Loans Amortized Cost Basis		Total
Residential:
Risk rating:
800+	$	15,014	$	681,916	$	1,043,662	$	468,357	$	150,282	$	993,219	$	—	$	3,352,450
740-799	69,297		866,867		863,689		308,974		111,803		716,299		—		2,936,929
670-739	18,719		346,423		326,999		91,487		62,585		393,008		—		1,239,221
580-669	63		46,328		52,355		14,004		10,532		125,882		—		249,164
579 and below	—		53,275		3,563		3,963		99,840		63,158		—		223,799
Total residential	103,093		1,994,809		2,290,268		886,785		435,042		2,291,566		—		8,001,563
Current period gross write-offs	—		—		—		—		—		211		—		211
Home equity:
Risk rating:
800+	6,211		26,483		35,954		25,557		8,524		63,613		434,492		600,834
740-799	4,088		29,016		31,860		18,237		6,556		38,748		375,534		504,039
670-739	4,421		15,017		17,246		6,262		4,153		34,796		257,878		339,773
580-669	408		2,984		2,504		1,483		903		13,456		74,873		96,611
579 and below	202		419		766		643		529		6,120		30,633		39,312
Total home equity	15,330		73,919		88,330		52,182		20,665		156,733		1,173,410		1,580,569
Current period gross write-offs	—		—		—		—		—		108		—		108
Other consumer:
Risk rating:
800+	140		443		207		479		843		266		17,207		19,585
740-799	266		782		2,589		1,332		1,933		570		7,675		15,147
670-739	154		838		409		1,815		3,117		975		8,836		16,144
580-669	58		304		216		297		694		159		1,294		3,022
579 and below	22		120		43		41		127		55		1,010		1,418
Total other consumer	640		2,487		3,464		3,964		6,714		2,025		36,022		55,316
Current period gross write-offs	435		—		3		114		126		101		—		779
Total consumer portfolio	$	119,063	$	2,071,215	$	2,382,062	$	942,931	$	462,421	$	2,450,324	$	1,209,432	$	9,637,448
Current period gross write-offs	$	435	$	—	$	3	$	114	$	126	$	420	$	—	$	1,098

	At December 31, 2022
(In thousands)	2022		2021		2020		2019		2018		Prior		Revolving Loans Amortized Cost Basis		Total
Residential:
800+	$	527,408	$	954,568	$	469,518	$	160,596	$	28,361	$	997,409	$	—	$	3,137,860
740-799	963,026		946,339		311,295		111,913		43,684		689,771		—		3,066,028
670-739	381,515		350,671		103,999		62,365		18,451		384,687		—		1,301,688
580-669	40,959		49,648		14,484		5,836		2,357		138,107		—		251,391
579 and below	52,464		3,693		2,057		84,032		1,299		62,908		—		206,453
Total residential	1,965,372		2,304,919		901,353		424,742		94,152		2,272,882		—		7,963,420
Home equity:
800+	25,475		35,129		25,612		7,578		12,545		55,352		465,318		627,009
740-799	26,743		35,178		17,621		8,111		7,765		32,270		398,692		526,380
670-739	18,396		16,679		8,175		3,635		7,614		30,060		259,646		344,205
580-669	2,848		3,068		1,520		1,456		1,163		13,607		76,614		100,276
579 and below	426		386		651		661		563		4,736		27,814		35,237
Total home equity	73,888		90,440		53,579		21,441		29,650		136,025		1,228,084		1,633,107
Other consumer:
800+	495		218		544		1,045		247		56		19,196		21,801
740-799	888		2,624		1,959		2,494		941		364		12,218		21,488
670-739	977		603		2,480		4,238		1,041		118		6,107		15,564
580-669	211		117		337		801		173		54		2,223		3,916
579 and below	169		101		29		116		36		21		707		1,179
Total other consumer	2,740		3,663		5,349		8,694		2,438		613		40,451		63,948
Total consumer portfolio	$	2,042,000	$	2,399,022	$	960,281	$	454,877	$	126,240	$	2,409,520	$	1,268,535	$	9,660,475

Troubled Debt Restructurings on Financing Receivables

The following table summarizes the amortized cost basis of loans modified to borrowers experiencing financial difficulty, disaggregated by class and type of concession granted during the three months ended March 31, 2023:

(In thousands)	Interest Rate Reduction		Term Extension		Combination - Term Extension and Interest Rate Reduction		Total		% of Total Class (2)
Commercial non-mortgage	$	7	$	29,884	$	—	$	29,891	0.2	%
Commercial real estate	—		17,116		—		17,116		0.1
Home equity	—		57		64		121		—
Total (1)	$	7	$	47,057	$	64	$	47,128	0.1	%

(1)The total amortized cost excludes accrued interest receivable of $0.2 million.

(2)Represents the amortized cost of loans modified during the reporting period as a percentage of the period-end loan balance by class.

The following table describes the financial effect of the modifications made to borrowers experiencing financial difficulty during the three months ended March 31, 2023:

	Financial Effect
Interest Rate Reduction:
Commercial non-mortgage	Reduced weighted average interest rate by 4.5%
Term Extension:
Commercial non-mortgage	Extended term by a weighted average 0.6 years
Commercial real estate	Extended term by a weighted average 1.0 year
Home equity	Extended term by a weighted average 8.8 years
Combination:
Home equity	Extended term by a weighted average 5.1 years and reduced weighted average interest rate by 1.5%

The following table summarizes information related to TDRs:

(In thousands)	At December 31, 2022
Accrual status	$	110,868
Non-accrual status	83,954
Total TDRs	$	194,822
Additional funds committed to borrowers in TDR status	$	1,724
Specific reserves for TDRs included in the ACL on loans and leases:
Commercial portfolio	$	14,578
Consumer portfolio	3,559

The following table summarizes loans and leases modified as TDRs by class and modification type during the three months ended March 31, 2022:

(Dollars in thousands)	Number of Contracts	Recorded Investment (1)
Commercial non-mortgage
Term extension	2	$	98
Combination - Term extension and interest rate reduction	2	92
Residential
Other (2)	5	2,985
Home equity
Combination - Term extension and interest rate reduction	4	44
Other (2)	17	1,242
Total TDRs	30	$	4,461

(1)Post-modification balances approximated pre-modification balances. The aggregate amount of charge-offs due to restructurings was not significant.

(2)Other included covenant modifications, forbearance, discharges under Chapter 7 bankruptcy, or other concessions.

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Transfers and Servicing of Financial Assets (Tables)

3 Months Ended

Mar. 31, 2023

Transfers and Servicing [Abstract]

Transfer of Financial Assets Accounted for as Sales

The following table summarizes information related to mortgage banking activities:

	Three months ended March 31,
(In thousands)	2023		2022
Net gain on sale	$	77	$	397
Origination fees	11		135
Fair value adjustment	(29)		(104)
Mortgage banking activities	$	59	$	428
Proceeds from sale	$	3,832	$	26,753
Loans sold with servicing rights retained	1,229		25,363

Servicing Asset at Amortized Cost

The following table presents the change in the carrying amount for mortgage servicing rights:

	Three months ended March 31,
(In thousands)	2023		2022
Balance, beginning of period	$	9,515	$	9,237
Acquired from Sterling	—		859
Additions	15		209
Amortization	(341)		(570)
Balance, end of period	$	9,189	$	9,735

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Goodwill and Other Intangible Assets (Tables)

3 Months Ended

Mar. 31, 2023

Goodwill and Intangible Assets Disclosure [Abstract]

Schedule of Goodwill

The following table summarizes changes in the carrying amount of goodwill:

(In thousands)	At March 31, 2023		At December 31, 2022
Balance, beginning of period	$	2,514,104	$	538,373
interLINK acquisition	143,216		—
Sterling merger (1)	(25,561)		1,939,765
Bend acquisition (1)	(294)		35,966
Balance, end of period	$	2,631,465	$	2,514,104

(1)Reflects adjustments recorded within the one-year measurement period, which were identified as a result of extended information gathering and new information that arose from integration activities. The allocation of the purchase price and goodwill calculations for both the Sterling merger and Bend acquisition are final as of March 31, 2023.

Schedule of Finite-Lived Intangible Assets

The following table summarizes other intangible assets:

	At March 31, 2023						At December 31, 2022
(In thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount
Core deposits	$	146,037	$	41,237	$	104,800	$	146,037	$	36,710	$	109,327
Customer relationships (1)	151,000		29,755		121,245		115,000		24,985		90,015
Non-competition agreement (1)	4,000		200		3,800		—		—		—
Total other intangible assets	$	301,037	$	71,192	$	229,845	$	261,037	$	61,695	$	199,342

(1)The increase in the gross carrying amount is attributed to the acquisition of interLINK, in which the Company identified and recorded a $36.0 million intangible asset for broker dealer relationships, which is being amortized on an accelerated basis over an estimated useful life of 10 years, and a $4.0 million non-competition agreement, which is being amortized on a straight-line basis over an estimated useful life of 5 years.

Schedule Of Future Amortization expense

The remaining estimated aggregate future amortization expense for other intangible assets is as follows:

(In thousands)	At March 31, 2023
Remainder of 2023	$	26,710
2024	29,618
2025	25,956
2026	25,565
2027	25,565
Thereafter	96,431

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Deposits (Tables)

3 Months Ended

Mar. 31, 2023

Deposit Liabilities [Abstract]

Deposit Liabilities, Type

The following table summarizes deposits by type:

(In thousands)	At March 31, 2023		At December 31, 2022
Non-interest-bearing:
Demand	$	12,007,387	$	12,974,975
Interest-bearing:
Health savings accounts	8,272,507		7,944,892
Checking	8,560,750		9,237,529
Money market	14,203,858		11,062,652
Savings	7,723,198		8,673,343
Time deposits	4,529,779		4,160,949
Total interest-bearing	$	43,290,092	$	41,079,365
Total deposits	$	55,297,479	$	54,054,340
Time deposits, money market, and interest-bearing checking obtained through brokers (1)	$	1,268,506	$	1,964,873
Aggregate amount of time deposit accounts that exceeded the FDIC limit	1,457,289		1,894,950
Demand deposit overdrafts reclassified as loan balances	6,832		8,721

(1)Excludes $2.9 billion of money market sweep deposits received through interLINK at March 31, 2023.

Time Deposit Maturities

The following table summarizes the scheduled maturities of time deposits:

(In thousands)	At March 31, 2023
Remainder of 2023	$	3,168,801
2024	1,132,496
2025	132,543
2026	53,306
2027	36,616
Thereafter	6,017
Total time deposits	$	4,529,779

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Borrowings (Tables)

3 Months Ended

Mar. 31, 2023

Debt Disclosure [Abstract]

Schedule of Repurchase Agreements

The following table summarizes securities sold under agreements to repurchase and other borrowings:

	At March 31, 2023				At December 31, 2022
(Dollars in thousands)	Total Outstanding		Rate		Total Outstanding		Rate
Securities sold under agreements to repurchase (1)	$	306,154	0.11	%	$	282,005	0.11	%
Federal funds purchased	—		—		869,825		4.44
Securities sold under agreements to repurchase and other borrowings	$	306,154	0.11	%	$	1,151,830	3.38	%

(1)The Company has the right of offset with respect to all repurchase agreement assets and liabilities. Total securities sold under agreements to repurchase are presented as gross transactions, as only liabilities are outstanding for the periods presented.

Federal Home Loan Bank, Advances

The following table summarizes information for FHLB advances:

	At March 31, 2023				At December 31, 2022
(Dollars in thousands)	Total Outstanding		Weighted- Average Contractual Coupon Rate		Total Outstanding		Weighted- Average Contractual Coupon Rate
Maturing within 1 year	$	8,550,183	5.18	%	$	5,450,187	4.40	%
After 1 but within 2 years	—		—		—		—
After 2 but within 3 years	—		—		—		—
After 3 but within 4 years	—		—		—		—
After 4 but within 5 years	486		1.35		252		—
After 5 years	9,792		2.07		10,113		2.09
Total FHLB advances	$	8,560,461	5.18	%	$	5,460,552	4.39	%
Aggregate carrying value of assets pledged as collateral	$	19,778,232			$	13,692,379
Remaining borrowing capacity at FHLB	6,509,929				4,291,326

Schedule of Long-term Debt Instruments

The following table summarizes long-term debt:

(Dollars in thousands)		At March 31, 2023		At December 31, 2022
4.375%	Senior fixed-rate notes due February 15, 2024	$	150,000	$	150,000
4.100%	Senior fixed-rate notes due March 25, 2029 (1)	332,119		333,458
4.000%	Subordinated fixed-to-floating rate notes due December 30, 2029	274,000		274,000
3.875%	Subordinated fixed-to-floating rate notes due November 1, 2030	225,000		225,000
Junior subordinated debt Webster Statutory Trust I floating-rate notes due September 17, 2033 (2)		77,320		77,320
Total senior and subordinated debt		1,058,439		1,059,778
Discount on senior fixed-rate notes		(701)		(756)
Debt issuance cost on senior fixed-rate notes		(1,723)		(1,824)
Premium on subordinated fixed-to-floating rate notes		15,398		15,930
Long-term debt (1)		$	1,071,413	$	1,073,128

(1)The classification of debt as long-term is based on the initial terms of greater than one year as of the date of issuance.

(2)The Company de-designated its fair value hedging relationship on these senior notes in 2020. A basis adjustment of $32.1 million and $33.5 million at March 31, 2023, and December 31, 2022, respectively, is included in the carrying value and is being amortized over the remaining life of the senior notes.

(3)The interest rate on the Webster Statutory Trust I floating-rate notes, which varies quarterly based on 3-month LIBOR plus 2.95%, was 7.86% and 7.69% at March 31, 2023, and December 31, 2022, respectively.

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Accumulated Other Comprehensive (Loss) Income, Net of Tax (Tables)

3 Months Ended

Mar. 31, 2023

Equity [Abstract]

Schedule of Changes in Accumulated Other Comprehensive Loss by Component

The following tables summarize the changes in each component of accumulated other comprehensive income (loss), net of tax:

	Three months ended March 31, 2023
(In thousands)	Securities Available For Sale		Derivative Instruments		Defined Benefit Pension and Other Postretirement Benefit Plans		Total
Balance, beginning of period	$	(631,160)	$	(8,874)	$	(44,926)	$	(684,960)
Other comprehensive income before reclassifications	56,635		20,782		3,553		80,970
Amounts reclassified from accumulated other comprehensive (loss)	14,983		592		395		15,970
Other comprehensive income, net of tax	71,618		21,374		3,948		96,940
Balance, end of period	$	(559,542)	$	12,500	$	(40,978)	$	(588,020)

	Three months ended March 31, 2022
(In thousands)	Securities Available For Sale		Derivative Instruments		Defined Benefit Pension and Other Postretirement Benefit Plans		Total
Balance, beginning of period	$	4,536	$	6,070	$	(33,186)	$	(22,580)
Other comprehensive (loss) before reclassifications	(244,879)		(8,613)		(719)		(254,211)
Amounts reclassified from accumulated other comprehensive income (loss)	—		769		299		1,068
Other comprehensive (loss), net of tax	(244,879)		(7,844)		(420)		(253,143)
Balance, end of period	$	(240,343)	$	(1,774)	$	(33,606)	$	(275,723)

Schedule of Accumulated Other Comprehensive Loss

The following table further summarizes the amounts reclassified from accumulated other comprehensive income (loss):

Accumulated Other Comprehensive Income (Loss) Components	Three months ended				Associated Line Item on the Condensed Consolidated Statements of Income
	March 31,
	2023		2022
(In thousands)
Investment securities available-for-sale:
Net holding (losses)	$	(20,483)	$	—	(Loss) on sale of investment securities
Tax benefit	5,500		—		Income tax expense
Net of tax	$	(14,983)	$	—
Derivative instruments:
Hedge terminations	$	(76)	$	(77)	Interest expense
Premium amortization	(736)		(978)		Interest income
Tax benefit	220		286		Income tax expense
Net of tax	$	(592)	$	(769)
Defined benefit pension and other postretirement benefit plans:
Actuarial net loss amortization	$	(542)	$	(411)	Other expense
Tax benefit	147		112		Income tax expense
Net of tax	$	(395)	$	(299)

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Regulatory Capital and Restrictions (Tables)

3 Months Ended

Mar. 31, 2023

Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract]

Information On The Capital Ratios

The following tables provides information on the capital ratios for the Holding Company and the Bank:

	At March 31, 2023
	Actual (1)				Minimum Requirement				Well Capitalized
(Dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Webster Financial Corporation
CET1 risk-based capital	$	5,796,578	10.42	%	$	2,503,935	4.5	%	$	3,616,794	6.5	%
Total risk-based capital	7,229,512		12.99		4,451,439		8.0		5,564,299		10.0
Tier 1 risk-based capital	6,080,557		10.93		3,338,580		6.0		4,451,439		8.0
Tier 1 leverage capital	6,080,557		8.65		2,812,832		4.0		3,516,040		5.0
Webster Bank
CET1 risk-based capital	$	6,605,427	11.89	%	$	2,500,320	4.5	%	$	3,611,573	6.5	%
Total risk-based capital	7,162,664		12.89		4,445,013		8.0		5,556,266		10.0
Tier 1 risk-based capital	6,605,427		11.89		3,333,760		6.0		4,445,013		8.0
Tier 1 leverage capital	6,605,427		9.40		2,810,676		4.0		3,513,345		5.0

	At December 31, 2022
	Actual (1)				Minimum Requirement				Well Capitalized
(Dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio
Webster Financial Corporation
CET1 risk-based capital	$	5,822,369	10.71	%	$	2,446,344	4.5	%	$	3,533,608	6.5	%
Total risk-based capital	7,203,029		13.25		4,349,056		8.0		5,436,320		10.0
Tier 1 risk-based capital	6,106,348		11.23		3,261,792		6.0		4,349,056		8.0
Tier 1 leverage capital	6,106,348		8.95		2,730,212		4.0		3,412,765		5.0
Webster Bank
CET1 risk-based capital	$	6,661,504	12.28	%	$	2,442,058	4.5	%	$	3,527,417	6.5	%
Total risk-based capital	7,165,935		13.20		4,341,437		8.0		5,426,796		10.0
Tier 1 risk-based capital	6,661,504		12.28		3,256,078		6.0		4,341,437		8.0
Tier 1 leverage capital	6,661,504		9.77		2,727,476		4.0		3,409,345		5.0

(1)In accordance with regulatory capital rules, the Company elected an option to delay the estimated impact of the adoption of CECL on its regulatory capital over a two-year deferral period, which ended on January 1, 2022, and a subsequent three-year transition period ending on December 31, 2024. During the three-year transition period, regulatory capital ratios will phase out the aggregate amount of the regulatory capital benefit provided from the delayed CECL adoption in the initial two years. For 2022, 2023, and 2024, the Company is allowed 75%, 50%, and 25%, respectively, of the regulatory capital benefit as of December 31, 2021, with full absorption occurring in 2025.

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Variable Interest Entities (Tables)

3 Months Ended

Mar. 31, 2023

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Summary of LIHTC Investments and Commitments

The following table summarizes the Company's LIHTC investments and related unfunded commitments:

(In thousands)	March 31, 2023		December 31, 2022
Gross investment in LIHTC investments	$	798,085	$	797,453
Accumulated amortization	(90,902)		(69,424)
Net investment in LIHTC investments	$	707,183	$	728,029
Unfunded commitments for LIHTC investments	$	329,023	$	335,959

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Earnings Per Common Share (Tables)

3 Months Ended

Mar. 31, 2023

Earnings Per Share [Abstract]

Earnings Per Share Basic And Diluted

The following table summarizes the calculation of basic and diluted earnings per common share:

	Three months ended March 31,
(In thousands, except per share data)	2023		2022
Net income	$	221,004	$	(16,747)
Less: Preferred stock dividends	4,163		3,431
Net income available to common stockholders	216,841		(20,178)
Less: Earnings allocated to participating securities	1,845		—
Earnings applicable to common stockholders	$	214,996	$	(20,178)
Weighted-average common shares outstanding - basic	172,766		147,394
Add: Effect of dilutive stock options and restricted stock	117		—
Weighted-average common shares outstanding - diluted	172,883		147,394
Basic earnings per common share	$	1.24	$	(0.14)
Diluted earnings per common share	1.24		(0.14)

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Derivative Financial Instruments (Tables)

3 Months Ended

Mar. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value

The following tables present the notional amounts and fair values, including accrued interest, of derivative positions:

	At March 31, 2023
	Asset Derivatives				Liability Derivatives
(In thousands)	Notional Amounts		Fair Value		Notional Amounts		Fair Value
Designated as hedging instruments:
Interest rate derivatives (1)	$	3,750,000	$	25,892	$	1,750,000	$	5,493
Not designated as hedging instruments:
Interest rate derivatives (1)	7,417,679		219,149		7,411,878		323,123
Mortgage banking derivatives (2)	1,973		16		—		—
Other (3)	169,276		171		659,603		651
Total not designated as hedging instruments	7,588,928		219,336		8,071,481		323,774
Gross derivative instruments, before netting	$	11,338,928	245,228		$	9,821,481	329,267
Less: Master netting agreements			30,506				30,506
Cash collateral			181,853				400
Total derivative instruments, after netting			$	32,869			$	298,361
	At December 31, 2022
	Asset Derivatives				Liability Derivatives
(In thousands)	Notional Amounts		Fair Value		Notional Amounts		Fair Value
Designated as hedging instruments:
Interest rate derivatives (1)	$	1,350,000	$	1,515	$	1,750,000	$	9,632
Not designated as hedging instruments:
Interest rate derivatives (1)	7,024,507		221,225		7,022,844		403,952
Mortgage banking derivatives (2)	3,283		32		—		—
Other (3)	161,934		134		606,478		915
Total not designated as hedging instruments	7,189,724		221,391		7,629,322		404,867
Gross derivative instruments, before netting	$	8,539,724	222,906		$	9,379,322	414,499
Less: Master netting agreements			16,129				16,129
Cash collateral			184,095				—
Total derivative instruments, after netting			$	22,682			$	398,370

(1)Balances related to clearing houses are presented as a single unit of account. In accordance with their rule books, clearing houses legally characterize variation margin payments as settlement of derivatives rather than collateral against derivative positions. At March 31, 2023, and December 31, 2022, notional amounts of interest rate swaps cleared through clearing houses include $2.4 billion and $2.7 billion for asset derivatives, respectively, and $1.9 million and zero for liability derivatives, respectively. The related fair values approximate zero.

(2)Notional amounts related to residential loans exclude approved floating rate commitments of $3.8 million and $2.4 million at March 31, 2023, and December 31, 2022, respectively.

(3)Other derivatives include foreign currency forward contracts related to lending arrangements, a Visa equity swap transaction, and risk participation agreements. Notional amounts of risk participation agreements include $154.9 million and $125.6 million for asset derivatives and $589.7 million and $559.2 million for liability derivatives at March 31, 2023, and December 31, 2022, respectively, which have insignificant related fair values.

Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location

The following tables present fair value positions transitioned from gross to net upon applying counterparty netting agreements:

	At March 31, 2023
(In thousands)	Gross Amount Recognized		Derivative Offset Amount		Cash Collateral Received/Pledged		Net Amount Presented		Amounts Not Offset
Asset derivatives	$	220,259	$	30,506	$	181,853	$	7,900	$	8,270
Liability derivatives	31,360		30,506		400		454		5,032
	At December 31, 2022
(In thousands)	Gross Amount Recognized		Derivative Offset Amount		Cash Collateral Received/Pledged		Net Amount Presented		Amounts Not Offset
Asset derivatives	$	217,246	$	16,129	$	184,095	$	17,022	$	17,392
Liability derivatives	16,129		16,129		—		—		1,545

Schedule of Net Investment Hedges, Statements of Financial Performance and Financial Position, Location

The following table summarizes the income statement effect of derivatives designated as hedging instruments:

	Recognized In	Three months ended March 31,
(In thousands)	Net Interest Income	2023		2022
Fair value hedges:
Recognized on derivatives	Deposits	$	(10,235)	$	—
Recognized on hedged items	Deposits	10,427		—
Net recognized on fair value hedges		$	(192)	$	—
Cash flow hedges:
Interest rate derivatives	Long-term debt	$	76	$	76
Interest rate derivatives	Interest and fees on loans and leases	(736)		2,559
Net recognized on cash flow hedges		$	(812)	$	2,483

The following table summarizes information related to fair value hedging adjustments:

Condensed Consolidated Balance Sheet Line Item in Which Hedged Item is Located	Carrying Amount of Hedged Item				Cumulative Amount of Fair Value Hedging Adjustment Included in Carrying Amount
(In thousands)	At March 31, 2023		At December 31, 2022		At March 31, 2023		At December 31, 2022
Deposits	$	410,254	$	—	$	10,254	$	—
Long-term debt (1)	332,119		333,458		32,119		33,458

(1)The Company de-designated its fair value hedging relationship on its long-term debt in 2020. The basis adjustment included in the carrying amount is being amortized into interest expense over the remaining life of the long-term debt.

Other Derivatives Not Designated For Hedge Accounting

The following table summarizes the income statement effect of derivatives not designated as hedging instruments:

	Recognized In	Three months ended March 31,
(In thousands)	Non-interest Income	2023		2022
Interest rate derivatives	Other income	$	(3,687)	$	6,445
Mortgage banking derivatives	Mortgage banking activities	(16)		(49)
Other	Other income	(735)		397
Total not designated as hedging instruments		$	(4,438)	$	6,793

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Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2023

Fair Value Disclosures [Abstract]

Fair Value Option, Disclosures

The following table compares the fair value to the unpaid principal balance of originated loans held for sale:

	At March 31, 2023						At December 31, 2022
(In thousands)	Fair Value		Unpaid Principal Balance		Difference		Fair Value		Unpaid Principal Balance		Difference
Originated loans held for sale	$	811	$	684	$	127	$	1,991	$	1,631	$	360

Fair Value Measurement Inputs and Valuation Techniques

The following table summarizes the unobservable inputs used to derive the estimated fair value of the Company’s contingent consideration liabilities at March 31, 2023 (dollars in thousands):

Agreement	Maximum Amount		Probability of Achievement	Payment Term (in years)	Discount Rate	Fair Value
(i) Re-sign broker dealers	$	4,826	99.0 %	0.22	5.50 %	$	4,798
(ii) Deposit program growth	$	12,500	100.0 %	1.97	5.50 %	$	11,241

Fair Value Of Assets And Liabilities Measured On Recurring Basis

The following tables summarize the fair values of assets and liabilities measured at fair value on a recurring basis:

	At March 31, 2023
(In thousands)	Level 1		Level 2		Level 3		Total
Financial Assets:
Available-for-sale securities:
U.S. Treasury notes	$	386,772	$	—	$	—	$	386,772
Government agency debentures	—		262,342		—		262,342
Municipal bonds and notes	—		1,645,228		—		1,645,228
Agency CMO	—		57,462		—		57,462
Agency MBS	—		2,230,850		—		2,230,850
Agency CMBS	—		1,635,252		—		1,635,252
CMBS	—		902,058		—		902,058
Corporate debt	—		625,523		—		625,523
Private label MBS	—		44,262		—		44,262
Other	—		9,228		—		9,228
Total available-for-sale securities	386,772		7,412,205		—		7,798,977
Gross derivative instruments, before netting (1)	82		245,146		—		245,228
Originated loans held for sale	—		811		—		811
Investments held in Rabbi Trusts	11,992		—		—		11,992
Alternative investments (2)	476		—		—		27,486
Total financial assets	$	399,322	$	7,658,162	$	—	$	8,084,494
Financial Liabilities:
Gross derivative instruments, before netting (1)	$	557	$	328,710	$	—	$	329,267
Contingent consideration	—		—		16,039		16,039
Total financial liabilities	$	557	$	328,710	$	16,039	$	345,306

	At December 31, 2022
(In thousands)	Level 1		Level 2		Level 3		Total
Financial Assets:
Available-for-sale securities:
U.S. Treasury notes	$	717,040	$	—	$	—	$	717,040
Government agency debentures	—		258,374		—		258,374
Municipal bonds and notes	—		1,633,202		—		1,633,202
Agency CMO	—		59,965		—		59,965
Agency MBS	—		2,158,024		—		2,158,024
Agency CMBS	—		1,406,486		—		1,406,486
CMBS	—		896,640		—		896,640
CLO	—		2,107		—		2,107
Corporate debt	—		704,412		—		704,412
Private label MBS	—		44,249		—		44,249
Other	—		12,198		—		12,198
Total available-for-sale securities	717,040		7,175,657		—		7,892,697
Gross derivative instruments, before netting (1)	79		222,827		—		222,906
Originated loans held for sale	—		1,991		—		1,991
Investments held in Rabbi Trusts	12,103		—		—		12,103
Alternative investments (2)	430		—		—		89,678
Total financial assets	$	729,652	$	7,400,475	$	—	$	8,219,375
Financial Liabilities:
Gross derivative instruments, before netting (1)	$	843	$	413,656	$	—	$	414,499

(1)Additional information regarding the impact of netting derivative assets and derivative liabilities, as well as the impact from offsetting cash collateral paid to the same derivative counterparties, can be found within Note 13: Derivative Financial Instruments.

(2)Certain alternative investments are recorded at NAV. Assets measured at NAV are not classified within the fair value hierarchy.

Summary Of Estimated Fair Values Of Significant Financial Instruments

The following table summarizes the carrying amounts, estimated fair values, and classifications within the fair value hierarchy of selected financial instruments and mortgage servicing rights:

	At March 31, 2023				At December 31, 2022
(In thousands)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Assets:
Level 1
Cash and cash equivalents	$	2,434,071	$	2,434,071	$	839,943	$	839,943
Level 2
Held-to-maturity investment securities	7,063,223		6,320,682		6,564,697		5,761,453
Level 3
Loans and leases, net	50,312,609		48,825,894		49,169,685		47,604,463
Mortgage servicing assets	9,189		26,959		9,515		27,043
Liabilities:
Level 2
Deposit liabilities	$	50,767,700	$	50,767,700	$	49,893,391	$	49,893,391
Time deposits	4,529,779		4,471,757		4,160,949		4,091,979
Securities sold under agreements to repurchase and other borrowings	306,154		306,113		1,151,830		1,151,797
FHLB advances	8,560,461		8,560,329		5,460,552		5,459,218
Long-term debt (1)	1,071,413		1,005,178		1,073,128		1,001,779

(1)Any unamortized premiums/discounts, debt issuance costs, or basis adjustments to long-term debt, as applicable, are excluded from the determination of fair value.

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Retirement Benefit Plans (Tables)

3 Months Ended

Mar. 31, 2023

Retirement Benefits [Abstract]

Summary of Net Periodic Benefit Cost

The following tables summarize the components of net periodic benefit cost (income):

	Three months ended March 31,
	2023						2022
(In thousands)	Pension		SERP		OPEB		Pension		SERP		OPEB
Service cost	$	—	$	—	$	7	$	—	$	—	$	6
Interest cost	2,211		67		380		1,377		15		144
Expected return on plan assets	(2,699)		—		—		(3,669)		—		—
Amortization of actuarial loss (gain)	1,216		1		(675)		422		7		(18)
Net periodic benefit cost (income)	$	728	$	68	$	(288)	$	(1,870)	$	22	$	132

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Segment Reporting (Tables)

3 Months Ended

Mar. 31, 2023

Segment Reporting [Abstract]

Operating Results And Total Assets Reportable Segments

The following tables present balance sheet information, including the appropriate allocations, for the Company's reportable segments and the Corporate and Reconciling category:

	At March 31, 2023
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Goodwill	$	2,029,204	$	57,485	$	544,776	$	—	$	2,631,465
Total assets	45,868,138		123,478		10,597,860		18,254,919		74,844,395
	At December 31, 2022
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Goodwill	$	1,904,291	$	57,779	$	552,034	$	—	$	2,514,104
Total assets	44,380,582		122,729		10,625,334		16,148,876		71,277,521

The following tables present operating results, including the appropriate allocations, for the Company’s reportable segments and the Corporate and Reconciling category:

	Three months ended March 31, 2023
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Net interest income	$	384,314	$	71,730	$	210,583	$	(71,344)	$	595,283
Non-interest income	35,397		24,067		25,959		(14,657)		70,766
Non-interest expense	108,509		43,700		106,879		73,379		332,467
Pre-tax, pre-provision net revenue	311,202		52,097		129,663		(159,380)		333,582
Provision for credit losses	36,037		—		1,784		8,928		46,749
Income (loss) before income taxes	275,165		52,097		127,879		(168,308)		286,833
Income tax expense (benefit)	69,066		14,066		33,760		(51,063)		65,829
Net income (loss)	$	206,099	$	38,031	$	94,119	$	(117,245)	$	221,004

	Three months ended March 31, 2022
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Net interest income	$	287,069	$	44,577	$	136,677	$	(74,075)	$	394,248
Non-interest income	38,743		26,958		27,901		10,433		104,035
Non-interest expense	89,240		36,409		95,510		138,626		359,785
Pre-tax, pre-provision net revenue	236,572		35,126		69,068		(202,268)		138,498
Provision (benefit) for credit losses	181,931		—		7,136		(222)		188,845
Income (loss) before income taxes	54,641		35,126		61,932		(202,046)		(50,347)
Income tax expense (benefit)	10,055		9,414		16,053		(69,122)		(33,600)
Net income (loss)	$	44,586	$	25,712	$	45,879	$	(132,924)	$	(16,747)

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Revenue from Contracts with Customers (Tables)

3 Months Ended

Mar. 31, 2023

Revenue from Contract with Customer [Abstract]

Disaggregation of Revenue

The following tables summarize revenues recognized in accordance with ASC Topic 606, Revenue from Contracts with Customers. These disaggregated amounts, together with sources of other non-interest income that are subject to other GAAP topics, have been reconciled to non-interest income by reportable segment as presented within Note 16: Segment Reporting.

	Three months ended March 31, 2023
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Non-interest Income:
Deposit service fees	$	5,390	$	22,092	$	18,024	$	(70)	$	45,436
Loan and lease related fees (1)	4,427		—		—		—		4,427
Wealth and investment services (2)	2,767		—		3,828		(8)		6,587
Other income	—		1,975		358		932		3,265
Revenue from contracts with customers	12,584		24,067		22,210		854		59,715
Other sources of non-interest income	22,813		—		3,749		(15,511)		11,051
Total non-interest income	$	35,397	$	24,067	$	25,959	$	(14,657)	$	70,766

	Three months ended March 31, 2022
(In thousands)	Commercial Banking		HSA Bank		Consumer Banking		Corporate and Reconciling		Consolidated Total
Non-interest Income:
Deposit service fees	$	6,685	$	25,134	$	15,963	$	45	$	47,827
Loan and lease related fees (1)	4,498		—		—		—		4,498
Wealth and investment services	3,134		—		7,471		(8)		10,597
Other income	—		1,824		385		—		2,209
Revenue from contracts with customers	14,317		26,958		23,819		37		65,131
Other sources of non-interest income	24,426		—		4,082		10,396		38,904
Total non-interest income	$	38,743	$	26,958	$	27,901	$	10,433	$	104,035

(1)A portion of loan and lease related fees comprises income generated from factored receivables and payroll financing activities that is within the scope of ASC Topic 606.

(2)Effective as of the fourth quarter of 2022, the wealth and investment services revenue stream was impacted by the restructuring of a process in which the Company offers brokerage, investment advisory, and certain insurance-related services to customers. The staff providing these services, who had previously been employees of the Bank, are now employees of a third-party service provider. As a result, the Company now recognizes income from this program on a net basis, which thereby reduces gross reported wealth and investment services non-interest income and the related compensation and benefits non-interest expense on the accompanying Condensed Consolidated Statements of Income.

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Commitments and Contingencies (Tables)

3 Months Ended

Mar. 31, 2023

Commitments and Contingencies Disclosure [Abstract]

Outstanding Financial Instruments Contract Amounts Represent Credit Risk

The following table summarizes the outstanding amounts of credit-related financial instruments with off-balance sheet risk:

(In thousands)	At March 31, 2023		At December 31, 2022
Commitments to extend credit	$	11,711,880	$	11,237,496
Standby letters of credit	378,585		380,655
Commercial letters of credit	52,987		53,512
Total credit-related financial instruments with off-balance sheet risk	$	12,143,452	$	11,671,663

Activity In Allowance For Losses

The following table summarizes the change in the ACL on loans and leases by portfolio segment:

	At or for the three months ended March 31,
	2023						2022
(In thousands)	Commercial Portfolio		Consumer Portfolio		Total		Commercial Portfolio		Consumer Portfolio		Total
ACL on loans and leases:
Balance, beginning of period	$	533,125	$	61,616	$	594,741	$	257,877	$	43,310	$	301,187
Adoption of ASU No. 2022-02	7,704		(1,831)		5,873		—		—		—
Initial allowance for PCD loans and leases (1)	—		—		—		78,376		9,669		88,045
Provision (benefit)	38,757		(936)		37,821		184,327		4,741		189,068
Charge-offs	(26,410)		(1,098)		(27,508)		(11,248)		(1,120)		(12,368)
Recoveries	1,574		1,413		2,987		1,364		2,075		3,439
Balance, end of period	$	554,750	$	59,164	$	613,914	$	510,696	$	58,675	$	569,371
Individually evaluated for credit losses	27,459		8,590		36,049		32,736		12,057		44,793
Collectively evaluated for credit losses	$	527,291	$	50,574	$	577,865	$	477,960	$	46,618	$	524,578

(1)Represents the establishment of the initial reserve for PCD loans and leases, which is reported net of $48.3 million of day one charge-offs recognized at the date of acquisition in accordance with GAAP.

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Summary of Significant Accounting Policies - Narrative (Details) - Accounting Standards Update 2022-02 $ in Millions	Jan. 01, 2023 USD ($)
Financing Receivable, Allowance for Credit Loss, Excluding Accrued Interest [Member]
Financing Receivable, Troubled Debt Restructuring [Line Items]
Financing Receivable, Allowance for Credit Loss, Period Increase (Decrease)	$ 5.9
Deferred Income Tax Assets, Net
Financing Receivable, Troubled Debt Restructuring [Line Items]
Financing Receivable, Allowance for Credit Loss, Period Increase (Decrease)	1.7
Retained Earnings [Member]
Financing Receivable, Troubled Debt Restructuring [Line Items]
Financing Receivable, Allowance for Credit Loss, Period Increase (Decrease)	$ 4.2

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Mergers and Acquisitions - Narrative (Details) $ in Thousands	Jan. 11, 2023 USD ($)	Feb. 18, 2022 USD ($)	Mar. 31, 2023 USD ($)	Dec. 31, 2022 USD ($)	Mar. 31, 2022 USD ($)	Jan. 31, 2022 USD ($)	Jan. 01, 2022 USD ($)	Dec. 31, 2021 USD ($)
Business Acquisition [Line Items]
Depositary share, interest in a share of preferred stock						0.025
Goodwill			$ 2,631,465	$ 2,514,104	$ 2,514,104			$ 538,373
Sterling
Business Acquisition [Line Items]
Goodwill						$ 1,914,204	$ 1,900,000
Net assets acquired						$ 3,266,096
Net assets acquired			$ 25,600
Bend Financial, Inc.
Business Acquisition [Line Items]
Equity interests acquired		100.00%
Cash consideration		$ 55,300
Net assets acquired		19,600
Bend Financial, Inc. | Internal use software
Business Acquisition [Line Items]
Intangible assets acquired		15,900
Bend Financial, Inc. | Customer relationships (1)
Business Acquisition [Line Items]
Intangible assets acquired		$ 3,000
interLINK
Business Acquisition [Line Items]
Equity interests acquired	10000.00%
Goodwill	$ 143,200
Cash consideration	158,600
Business Combination, Consideration Transferred	174,600
Contingent consideration	16,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets Acquired Including Goodwill	31,400
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Royalty Liabilities	15,900
interLINK | Broker Dealer Relationship
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles	36,000
interLINK | Non Competition Agreement
Business Acquisition [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles	4,000
interLINK | Developed Technology Rights
Business Acquisition [Line Items]
Intangible assets acquired	6,000
InterLINK Acquisition
Business Acquisition [Line Items]
Deposits assets	$ 9,000,000

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Mergers and Acquisitions - Summary of Purchase Price Consideration (Details) $ in Thousands	Jan. 31, 2022 USD ($)
Sterling
Business Acquisition [Line Items]
Total consideration	$ 5,180,300

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Mergers and Acquisitions - Summary of Purchase Price Allocation (Details) - USD ($) $ in Thousands	Jan. 31, 2022	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2022	Jan. 01, 2022	Dec. 31, 2021
Liabilities:
Goodwill		$ 2,631,465	$ 2,514,104	$ 2,514,104		$ 538,373
Sterling
Business Acquisition [Line Items]
Total consideration	$ 5,180,300
Assets:
Cash and due from banks	510,929
Interest-bearing deposits	3,207
Investment securities available-for-sale	4,429,948
Federal Home Loan Bank and Federal Reserve Bank Stock	150,502
Loans held for sale	23,517
Unpaid principal balance, total loans and leases		20,816,348
Total loans and leases	20,498,706
Deferred tax assets, net	(59,716)
Premises and equipment	264,421
Other intangible assets	210,100
Bank-owned life insurance policies	645,510
Accrued interest receivable and other assets	986,729
Total assets acquired	27,663,853
Liabilities:
Non-interest-bearing deposits	6,620,248
Interest-bearing deposits	16,643,755
Securities sold under agreements to repurchase and other borrowings	27,184
Long-term debt	516,881
Accrued expenses and other liabilities	589,689
Total liabilities assumed	24,397,757
Net assets acquired	3,266,096
Goodwill	1,914,204				$ 1,900,000
Sterling | Commercial non-mortgage
Assets:
Unpaid principal balance, total loans and leases		5,570,782
Total loans and leases	5,527,657
Sterling | Asset-based
Assets:
Unpaid principal balance, total loans and leases		694,137
Total loans and leases	683,958
Sterling | Commercial real estate
Assets:
Unpaid principal balance, total loans and leases		6,790,600
Total loans and leases	6,656,405
Sterling | Multi-family
Assets:
Unpaid principal balance, total loans and leases		4,303,381
Total loans and leases	4,255,906
Sterling | Equipment financing
Assets:
Unpaid principal balance, total loans and leases		1,350,579
Total loans and leases	1,314,311
Sterling | Warehouse lending
Assets:
Unpaid principal balance, total loans and leases		647,767
Total loans and leases	643,754
Sterling | Residential
Assets:
Unpaid principal balance, total loans and leases		1,313,785
Total loans and leases	1,281,637
Sterling | Home equity
Assets:
Unpaid principal balance, total loans and leases		132,758
Total loans and leases	122,553
Sterling | Other consumer
Assets:
Unpaid principal balance, total loans and leases		$ 12,559
Total loans and leases	$ 12,525

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Mergers and Acquisitions- Summary of Supplemental Pro Forma Information Adjustments (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022	Dec. 31, 2020
Business Acquisition [Line Items]
Accrued severance and other benefits	$ 29,736	$ 49,860	$ 37,945	$ 10,835
Strategic initiative charges	6,196	44,675
Payments for Restructuring	(6,993)	(1,766)
Adjustments	(7,412)	(3,884)
Compensation and benefits
Business Acquisition [Line Items]
Accrued severance and other benefits	5,961	32,156	7,583	10,835
Strategic initiative charges	6,196	26,971
Payments for Restructuring	(6,993)	(1,766)
Adjustments	(825)	(3,884)
Occupancy
Business Acquisition [Line Items]
Accrued severance and other benefits	23,775	17,704	$ 30,362	$ 0
Strategic initiative charges	0	17,704
Payments for Restructuring	0	0
Adjustments	(6,587)	0
Sterling
Business Acquisition [Line Items]
Merger-related expenses	29,373	108,495
Sterling | Compensation and benefits
Business Acquisition [Line Items]
Adjustments		3,900
Compensation and benefits | Sterling
Business Acquisition [Line Items]
Merger-related expenses	11,112	41,585
Occupancy | Sterling
Business Acquisition [Line Items]
Merger-related expenses	735	356
Technology and equipment | Sterling
Business Acquisition [Line Items]
Merger-related expenses	(1,709)	19,085
Business Combination, Increase (Decrease) In Acquisition Related Costs	4,800
Professional and outside services | Sterling
Business Acquisition [Line Items]
Merger-related expenses	20,009	44,457
Marketing | Sterling
Business Acquisition [Line Items]
Merger-related expenses	135	0
Other expense | Sterling
Business Acquisition [Line Items]
Merger-related expenses	(909)	$ 3,012
Business Combination, Increase (Decrease) In Acquisition Related Costs	$ 1,700

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Investment Securities (Summary Of Debt Securities Available-for-Sale) (Detail) $ in Thousands	Mar. 31, 2023 USD ($) holding	Dec. 31, 2022 USD ($) holding
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	$ 8,565,349	$ 8,757,155
Unrealized Gains	3,917	31
Unrealized Losses	(770,289)	(864,489)
Investment securities available-for-sale, at fair value	7,798,977	7,892,697
Less than 12 months, fair value	462,843	5,417,865
Less than 12 months, unrealized losses	(15,900)	(532,120)
12 months or more, fair value	7,032,124	2,429,126
12 months or more, unrealized losses	$ (754,389)	$ (332,369)
Total, number of holdings | holding	1,241	1,282
Total, fair value	$ 7,494,967	$ 7,846,991
Total, unrealized losses	(770,289)	(864,489)
Amortized Cost
Maturing within 1 year	41,886
After 1 year through 5 years	953,221
After 5 through 10 years	1,469,500
After 10 years	6,100,742
Amortized Cost - Total available-for-sale debt securities	8,565,349	8,757,155
Fair Value
Maturing within 1 year	41,593
After 1 year through 5 years	903,665
After 5 through 10 years	1,364,238
After 10 years	5,489,481
Fair Value, Total available-for-sale debt securities	7,798,977	7,892,697
Available-for-sale securities pledged	6,716,039	3,768,173
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	462,843	5,417,865
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	15,900	532,120
12 months or more, fair value	7,032,124	2,429,126
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 754,389	$ 332,369
Total, number of holdings | holding	1,241	1,282
Total, fair value	$ 7,494,967	$ 7,846,991
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	770,289	864,489
U.S. Treasury notes
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	407,224	755,968
Unrealized Gains	0	0
Unrealized Losses	(20,452)	(38,928)
Investment securities available-for-sale, at fair value	386,772	717,040
Less than 12 months, fair value		337,563
Less than 12 months, unrealized losses		(19,167)
12 months or more, fair value	386,772	379,477
12 months or more, unrealized losses	$ (20,452)	$ (19,761)
Total, number of holdings | holding	14	23
Total, fair value	$ 386,772	$ 717,040
Total, unrealized losses	(20,452)	(38,928)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	407,224	755,968
Fair Value
Fair Value, Total available-for-sale debt securities	386,772	717,040
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value		337,563
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss		19,167
12 months or more, fair value	386,772	379,477
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 20,452	$ 19,761
Total, number of holdings | holding	14	23
Total, fair value	$ 386,772	$ 717,040
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	20,452	38,928
Government agency debentures
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	302,067	302,018
Unrealized Gains	0	0
Unrealized Losses	(39,725)	(43,644)
Investment securities available-for-sale, at fair value	262,342	258,374
Less than 12 months, fair value	71,134	258,374
Less than 12 months, unrealized losses	(3,714)	$ (43,644)
12 months or more, fair value	191,208
12 months or more, unrealized losses	$ (36,011)
Total, number of holdings | holding	19	19
Total, fair value	$ 262,342	$ 258,374
Total, unrealized losses	(39,725)	(43,644)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	302,067	302,018
Fair Value
Fair Value, Total available-for-sale debt securities	262,342	258,374
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	71,134	258,374
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	3,714	$ 43,644
12 months or more, fair value	191,208
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 36,011
Total, number of holdings | holding	19	19
Total, fair value	$ 262,342	$ 258,374
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	39,725	43,644
Municipal bonds and notes
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	1,707,779	1,719,110
Unrealized Gains	7	5
Unrealized Losses	(62,558)	(85,913)
Investment securities available-for-sale, at fair value	1,645,228	1,633,202
Less than 12 months, fair value	15,479	1,616,771
Less than 12 months, unrealized losses	(239)	$ (85,913)
12 months or more, fair value	1,598,253
12 months or more, unrealized losses	$ (62,319)
Total, number of holdings | holding	430	444
Total, fair value	$ 1,613,732	$ 1,616,771
Total, unrealized losses	(62,558)	(85,913)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	1,707,779	1,719,110
Fair Value
Fair Value, Total available-for-sale debt securities	1,645,228	1,633,202
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	15,479	1,616,771
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	239	$ 85,913
12 months or more, fair value	1,598,253
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 62,319
Total, number of holdings | holding	430	444
Total, fair value	$ 1,613,732	$ 1,616,771
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	62,558	85,913
Agency CMO
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	61,728	64,984
Unrealized Gains	0	0
Unrealized Losses	(4,266)	(5,019)
Investment securities available-for-sale, at fair value	57,462	59,965
Less than 12 months, fair value	7,915	55,693
Less than 12 months, unrealized losses	(228)	(4,640)
12 months or more, fair value	49,547	4,272
12 months or more, unrealized losses	$ (4,038)	$ (379)
Total, number of holdings | holding	38	39
Total, fair value	$ 57,462	$ 59,965
Total, unrealized losses	(4,266)	(5,019)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	61,728	64,984
Fair Value
Fair Value, Total available-for-sale debt securities	57,462	59,965
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	7,915	55,693
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	228	4,640
12 months or more, fair value	49,547	4,272
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 4,038	$ 379
Total, number of holdings | holding	38	39
Total, fair value	$ 57,462	$ 59,965
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	4,266	5,019
Agency MBS
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	2,496,654	2,461,337
Unrealized Gains	368	26
Unrealized Losses	(266,172)	(303,339)
Investment securities available-for-sale, at fair value	2,230,850	2,158,024
Less than 12 months, fair value	86,133	1,641,544
Less than 12 months, unrealized losses	(3,319)	(206,412)
12 months or more, fair value	2,045,564	515,206
12 months or more, unrealized losses	$ (262,853)	$ (96,927)
Total, number of holdings | holding	459	460
Total, fair value	$ 2,131,697	$ 2,156,750
Total, unrealized losses	(266,172)	(303,339)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	2,496,654	2,461,337
Fair Value
Fair Value, Total available-for-sale debt securities	2,230,850	2,158,024
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	86,133	1,641,544
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	3,319	206,412
12 months or more, fair value	2,045,564	515,206
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 262,853	$ 96,927
Total, number of holdings | holding	459	460
Total, fair value	$ 2,131,697	$ 2,156,750
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	266,172	303,339
Agency CMBS
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	1,889,561	1,664,600
Unrealized Gains	3,542	0
Unrealized Losses	(257,851)	(258,114)
Investment securities available-for-sale, at fair value	1,635,252	1,406,486
Less than 12 months, fair value	64,576	485,333
Less than 12 months, unrealized losses	(933)	(68,674)
12 months or more, fair value	1,397,565	921,153
12 months or more, unrealized losses	$ (256,918)	$ (189,440)
Total, number of holdings | holding	133	132
Total, fair value	$ 1,462,141	$ 1,406,486
Total, unrealized losses	(257,851)	(258,114)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	1,889,561	1,664,600
Fair Value
Fair Value, Total available-for-sale debt securities	1,635,252	1,406,486
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	64,576	485,333
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	933	68,674
12 months or more, fair value	1,397,565	921,153
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 256,918	$ 189,440
Total, number of holdings | holding	133	132
Total, fair value	$ 1,462,141	$ 1,406,486
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	257,851	258,114
CMBS
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	927,591	929,588
Unrealized Gains	0	0
Unrealized Losses	(25,533)	(32,948)
Investment securities available-for-sale, at fair value	902,058	896,640
Less than 12 months, fair value	155,493	273,150
Less than 12 months, unrealized losses	(2,056)	(8,982)
12 months or more, fair value	746,565	598,490
12 months or more, unrealized losses	$ (23,477)	$ (23,966)
Total, number of holdings | holding	51	52
Total, fair value	$ 902,058	$ 871,640
Total, unrealized losses	(25,533)	(32,948)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	927,591	929,588
Fair Value
Fair Value, Total available-for-sale debt securities	902,058	896,640
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	155,493	273,150
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	2,056	8,982
12 months or more, fair value	746,565	598,490
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 23,477	$ 23,966
Total, number of holdings | holding	51	52
Total, fair value	$ 902,058	$ 871,640
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	25,533	32,948
CLO
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities		2,108
Unrealized Gains		0
Unrealized Losses		(1)
Investment securities available-for-sale, at fair value		2,107
12 months or more, fair value		2,107
12 months or more, unrealized losses		$ (1)
Total, number of holdings | holding		1
Total, fair value		$ 2,107
Total, unrealized losses		(1)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities		2,108
Fair Value
Fair Value, Total available-for-sale debt securities		2,107
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
12 months or more, fair value		2,107
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss		$ 1
Total, number of holdings | holding		1
Total, fair value		$ 2,107
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss		1
Corporate debt
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	714,359	795,999
Unrealized Gains	0	0
Unrealized Losses	(88,836)	(91,587)
Investment securities available-for-sale, at fair value	625,523	704,412
Less than 12 months, fair value	13,041	692,990
Less than 12 months, unrealized losses	(1,158)	(89,692)
12 months or more, fair value	612,482	8,421
12 months or more, unrealized losses	$ (87,678)	$ (1,895)
Total, number of holdings | holding	92	105
Total, fair value	$ 625,523	$ 701,411
Total, unrealized losses	(88,836)	(91,587)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	714,359	795,999
Fair Value
Fair Value, Total available-for-sale debt securities	625,523	704,412
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	13,041	692,990
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	1,158	89,692
12 months or more, fair value	612,482	8,421
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 87,678	$ 1,895
Total, number of holdings | holding	92	105
Total, fair value	$ 625,523	$ 701,411
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	88,836	91,587
Private label MBS
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	48,325	48,895
Unrealized Gains	0	0
Unrealized Losses	(4,063)	(4,646)
Investment securities available-for-sale, at fair value	44,262	44,249
Less than 12 months, fair value	44,262	44,249
Less than 12 months, unrealized losses	$ (4,063)	$ (4,646)
Total, number of holdings | holding	3	3
Total, fair value	$ 44,262	$ 44,249
Total, unrealized losses	(4,063)	(4,646)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	48,325	48,895
Fair Value
Fair Value, Total available-for-sale debt securities	44,262	44,249
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	44,262	44,249
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	$ 4,063	$ 4,646
Total, number of holdings | holding	3	3
Total, fair value	$ 44,262	$ 44,249
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	4,063	4,646
Other
Debt Securities, Available-for-sale [Abstract]
Amortized Cost - Total available-for-sale debt securities	10,061	12,548
Unrealized Gains	0	0
Unrealized Losses	(833)	(350)
Investment securities available-for-sale, at fair value	9,228	12,198
Less than 12 months, fair value	4,810	12,198
Less than 12 months, unrealized losses	(190)	$ (350)
12 months or more, fair value	4,168
12 months or more, unrealized losses	$ (643)
Total, number of holdings | holding	2	4
Total, fair value	$ 8,978	$ 12,198
Total, unrealized losses	(833)	(350)
Amortized Cost
Amortized Cost - Total available-for-sale debt securities	10,061	12,548
Fair Value
Fair Value, Total available-for-sale debt securities	9,228	12,198
Debt Securities, Available-for-Sale, Unrealized Loss Position [Line Items]
Less than 12 months, fair value	4,810	12,198
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	190	$ 350
12 months or more, fair value	4,168
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 643
Total, number of holdings | holding	2	4
Total, fair value	$ 8,978	$ 12,198
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss	833	350
Pledged For Borrowings
Fair Value
Available-for-sale securities pledged	3,848,039	1,195,101
Pledged For Municipal Deposits
Fair Value
Available-for-sale securities pledged	$ 2,868,000	$ 2,573,072

XML

Investment Securities (Summary of Held-to-Maturity Debt Securities) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2022	Dec. 31, 2021
Schedule of Investments [Line Items]
Amortized Cost	$ 7,063,505	$ 6,564,879
Unrealized Gains	8,205	2,770
Unrealized Losses	(751,028)	(806,196)
Fair Value	6,320,682	5,761,453
Allowance	282	182	$ 204	$ 214
Net Carrying Value	7,063,223	6,564,697
Interest receivable	20,200	24,200
Moody's, Aaa Rating
Schedule of Investments [Line Items]
Amortized Cost	482,182	485,648
Moody's, Aa1 Rating
Schedule of Investments [Line Items]
Amortized Cost	6,167,538	5,649,733
Moody's, Aa2 Rating
Schedule of Investments [Line Items]
Amortized Cost	254,843	255,235
Moody's, Aa3 Rating
Schedule of Investments [Line Items]
Amortized Cost	116,343	116,870
Moody's, A1 Rating
Schedule of Investments [Line Items]
Amortized Cost	38,134	38,177
Moody's, A2 Rating
Schedule of Investments [Line Items]
Amortized Cost	4,165	4,165
Moody's, Not Rated
Schedule of Investments [Line Items]
Amortized Cost	300	15,051
Agency CMO
Schedule of Investments [Line Items]
Amortized Cost	27,101	28,358
Unrealized Gains	0	0
Unrealized Losses	(1,727)	(2,060)
Fair Value	25,374	26,298
Allowance	0	0
Net Carrying Value	27,101	28,358
Agency CMO | Moody's, Aaa Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMO | Moody's, Aa1 Rating
Schedule of Investments [Line Items]
Amortized Cost	27,101	28,358
Agency CMO | Moody's, Aa2 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMO | Moody's, Aa3 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMO | Moody's, A1 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMO | Moody's, A2 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMO | Moody's, Not Rated
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency MBS
Schedule of Investments [Line Items]
Amortized Cost	2,613,113	2,626,114
Unrealized Gains	1,458	827
Unrealized Losses	(300,457)	(339,592)
Fair Value	2,314,114	2,287,349
Allowance	0	0
Net Carrying Value	2,613,113	2,626,114
Agency MBS | Moody's, Aaa Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency MBS | Moody's, Aa1 Rating
Schedule of Investments [Line Items]
Amortized Cost	2,613,113	2,626,114
Agency MBS | Moody's, Aa2 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency MBS | Moody's, Aa3 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency MBS | Moody's, A1 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency MBS | Moody's, A2 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency MBS | Moody's, Not Rated
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMBS
Schedule of Investments [Line Items]
Amortized Cost	3,364,186	2,831,949
Unrealized Gains	3,790	845
Unrealized Losses	(410,763)	(407,648)
Fair Value	2,957,213	2,425,146
Allowance	0	0
Net Carrying Value	3,364,186	2,831,949
Agency CMBS | Moody's, Aaa Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMBS | Moody's, Aa1 Rating
Schedule of Investments [Line Items]
Amortized Cost	3,364,186	2,831,949
Agency CMBS | Moody's, Aa2 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMBS | Moody's, Aa3 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMBS | Moody's, A1 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMBS | Moody's, A2 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
Agency CMBS | Moody's, Not Rated
Schedule of Investments [Line Items]
Amortized Cost	0	0
Municipal bonds and notes
Schedule of Investments [Line Items]
Amortized Cost	927,501	928,845
Unrealized Gains	2,957	1,098
Unrealized Losses	(29,188)	(47,183)
Fair Value	901,270	882,760
Allowance	282	182
Net Carrying Value	927,219	928,663
Municipal bonds and notes | Moody's, Aaa Rating
Schedule of Investments [Line Items]
Amortized Cost	350,578	336,035
Municipal bonds and notes | Moody's, Aa1 Rating
Schedule of Investments [Line Items]
Amortized Cost	163,138	163,312
Municipal bonds and notes | Moody's, Aa2 Rating
Schedule of Investments [Line Items]
Amortized Cost	254,843	255,235
Municipal bonds and notes | Moody's, Aa3 Rating
Schedule of Investments [Line Items]
Amortized Cost	116,343	116,870
Municipal bonds and notes | Moody's, A1 Rating
Schedule of Investments [Line Items]
Amortized Cost	38,134	38,177
Municipal bonds and notes | Moody's, A2 Rating
Schedule of Investments [Line Items]
Amortized Cost	4,165	4,165
Municipal bonds and notes | Moody's, Not Rated
Schedule of Investments [Line Items]
Amortized Cost	300	15,051
CMBS
Schedule of Investments [Line Items]
Amortized Cost	131,604	149,613
Unrealized Gains	0	0
Unrealized Losses	(8,893)	(9,713)
Fair Value	122,711	139,900
Allowance	0	0
Net Carrying Value	131,604	149,613
CMBS | Moody's, Aaa Rating
Schedule of Investments [Line Items]
Amortized Cost	131,604	149,613
CMBS | Moody's, Aa1 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
CMBS | Moody's, Aa2 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
CMBS | Moody's, Aa3 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
CMBS | Moody's, A1 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
CMBS | Moody's, A2 Rating
Schedule of Investments [Line Items]
Amortized Cost	0	0
CMBS | Moody's, Not Rated
Schedule of Investments [Line Items]
Amortized Cost	$ 0	$ 0

XML

Investment Securities (Sales of Available-for-Sale Debt Securities) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Investments, Debt and Equity Securities [Abstract]
Proceeds from sale of available-for-sale securities	$ 395,358	$ 0

XML

Investments Securities (Allowance for Credit Losses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Debt Securities, Held-to-maturity, Allowance for Credit Loss [Roll Forward]
Balance, beginning of period	$ 182	$ 214
Provision (benefit) for credit losses	100	(10)
Balance, end of period	$ 282	$ 204

XML

Investment Securities (Summary Of Debt Securities Held-to Maturity - Contractual Maturities, Credit Quality and Other Information) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Amortized Cost
Maturing within 1 year	$ 6,093
After 1 year through 5 years	52,893
After 5 through 10 years	338,353
After 10 years	6,666,166
Amortized Cost	7,063,505	$ 6,564,879
Debt Securities, Held-to-maturity, Maturity, Fair Value [Abstract]
Maturing within 1 year	6,115
After 1 year through 5 years	53,722
After 5 through 10 years	324,864
After 10 years	5,935,981
Fair Value	6,320,682	5,761,453
Held-to-maturity securities pledged	6,631,054	1,857,512
Pledged For Municipal Deposits
Debt Securities, Held-to-maturity, Maturity, Fair Value [Abstract]
Held-to-maturity securities pledged	1,573,285	1,596,777
Pledged For Borrowings
Debt Securities, Held-to-maturity, Maturity, Fair Value [Abstract]
Held-to-maturity securities pledged	$ 5,057,769	$ 260,735

XML

Investment Securities (Narrative) (Detail) - USD ($)	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Schedule of Investments [Line Items]
Interest receivable	$ 41,400,000	$ 36,900,000
Held-to-maturity debt securities	7,063,505,000	6,564,879,000
Held-to-maturity investment securities in non-accrual status	0	0
Investment securities available-for-sale, at fair value	7,798,977,000	$ 7,892,697,000
Equity Securities, FV-NI, Realized Loss	(20,500,000)
Total Loss Recognized, Portion Included In Provision For Credit Losses	3,800,000
Decrease in unrealized losses	94,200,000
Callable
Schedule of Investments [Line Items]
Held-to-maturity debt securities	900,000,000
Investment securities available-for-sale, at fair value	$ 2,800,000,000

XML

Loans and Leases (By Portfolio and Class) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	$ 50,926,523	$ 49,764,426
Commercial Portfolio Segment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	41,289,075	40,103,951
Commercial Portfolio Segment [Member] | Commercial non-mortgage
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	16,939,373	16,392,795
Commercial Portfolio Segment [Member] | Asset-based
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	1,760,527	1,821,642
Commercial Portfolio Segment [Member] | Commercial real estate
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	13,499,139	12,997,163
Commercial Portfolio Segment [Member] | Multi-family
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	7,014,599	6,621,982
Commercial Portfolio Segment [Member] | Equipment financing
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	1,601,109	1,628,393
Commercial Portfolio Segment [Member] | Warehouse lending
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	474,328	641,976
Consumer Portfolio Segment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	9,637,448	9,660,475
Consumer Portfolio Segment [Member] | Residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	8,001,563	7,963,420
Consumer Portfolio Segment [Member] | Home equity
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	1,580,569	1,633,107
Consumer Portfolio Segment [Member] | Other consumer
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	$ 55,316	$ 63,948

XML

Loans and Leases (Narrative) (Detail) $ in Millions	3 Months Ended
	Mar. 31, 2023 USD ($)	Mar. 31, 2022 USD ($) loan	Dec. 31, 2022 USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Unamortized premiums	$ (58.6)		$ (68.7)
Interest receivable	246.1		226.3
Interest on non-accrual loans	6.1	$ 4.4
Loans and leases modified as TDRs within previous 12 months for which there was a payment default | loan		0
Commercial Portfolio Segment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Write-down		$ 9.1
Consumer Portfolio Segment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Write-down		$ 0.1
Collateral Pledged | FHLB | Asset Pledged as Collateral
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans pledged as collateral	15,000.0
Collateral Pledged | Commercial Portfolio Segment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Impaired financing receivable	28.1		43.8
Collateral Pledged | Consumer Portfolio Segment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Impaired financing receivable	40.4		45.2
Collateral Value
Accounts, Notes, Loans and Financing Receivable [Line Items]
Impaired financing receivable	$ 79.1		$ 108.0

XML

Loans and Leases (Summary Of Loan And Lease Portfolio Aging By Class Of Loan) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Financing Receivable, Past Due [Line Items]
Loans and leases	$ 50,926,523	$ 49,764,426
90 or More Days Past Due and Accruing	603	726
Non-accrual	179,811	197,441
Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	223,773	270,835
30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	37,992	32,379
60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	5,367	40,289
Current
Financing Receivable, Past Due [Line Items]
Loans and leases	50,702,750	49,493,591
Commercial Portfolio Segment [Member]
Financing Receivable, Past Due [Line Items]
Loans and leases	41,289,075	40,103,951
90 or More Days Past Due and Accruing	390	713
Non-accrual	125,541	143,945
Commercial Portfolio Segment [Member] | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	152,686	196,771
Commercial Portfolio Segment [Member] | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	26,488	17,812
Commercial Portfolio Segment [Member] | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	267	34,301
Commercial Portfolio Segment [Member] | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	41,136,389	39,907,180
Commercial Portfolio Segment [Member] | Commercial non-mortgage
Financing Receivable, Past Due [Line Items]
Loans and leases	16,939,373	16,392,795
90 or More Days Past Due and Accruing	215	645
Non-accrual	69,129	71,884
Commercial Portfolio Segment [Member] | Commercial non-mortgage | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	76,422	81,784
Commercial Portfolio Segment [Member] | Commercial non-mortgage | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	6,916	8,434
Commercial Portfolio Segment [Member] | Commercial non-mortgage | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	162	821
Commercial Portfolio Segment [Member] | Commercial non-mortgage | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	16,862,951	16,311,011
Commercial Portfolio Segment [Member] | Asset-based
Financing Receivable, Past Due [Line Items]
Loans and leases	1,760,527	1,821,642
90 or More Days Past Due and Accruing	0	0
Non-accrual	9,428	20,024
Commercial Portfolio Segment [Member] | Asset-based | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	9,428	25,945
Commercial Portfolio Segment [Member] | Asset-based | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	0	5,921
Commercial Portfolio Segment [Member] | Asset-based | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	0	0
Commercial Portfolio Segment [Member] | Asset-based | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	1,751,099	1,795,697
Commercial Portfolio Segment [Member] | Commercial real estate
Financing Receivable, Past Due [Line Items]
Loans and leases	13,499,139	12,997,163
90 or More Days Past Due and Accruing	175	68
Non-accrual	33,966	39,057
Commercial Portfolio Segment [Member] | Commercial real estate | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	49,312	64,111
Commercial Portfolio Segment [Member] | Commercial real estate | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	15,171	1,494
Commercial Portfolio Segment [Member] | Commercial real estate | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	0	23,492
Commercial Portfolio Segment [Member] | Commercial real estate | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	13,449,827	12,933,052
Commercial Portfolio Segment [Member] | Multi-family
Financing Receivable, Past Due [Line Items]
Loans and leases	7,014,599	6,621,982
90 or More Days Past Due and Accruing	0	0
Non-accrual	0	636
Commercial Portfolio Segment [Member] | Multi-family | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	1,929	1,793
Commercial Portfolio Segment [Member] | Multi-family | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	1,929	1,157
Commercial Portfolio Segment [Member] | Multi-family | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	0	0
Commercial Portfolio Segment [Member] | Multi-family | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	7,012,670	6,620,189
Commercial Portfolio Segment [Member] | Equipment financing
Financing Receivable, Past Due [Line Items]
Loans and leases	1,601,109	1,628,393
90 or More Days Past Due and Accruing	0	0
Non-accrual	13,018	12,344
Commercial Portfolio Segment [Member] | Equipment financing | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	15,595	23,138
Commercial Portfolio Segment [Member] | Equipment financing | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	2,472	806
Commercial Portfolio Segment [Member] | Equipment financing | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	105	9,988
Commercial Portfolio Segment [Member] | Equipment financing | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	1,585,514	1,605,255
Commercial Portfolio Segment [Member] | Warehouse lending
Financing Receivable, Past Due [Line Items]
Loans and leases	474,328	641,976
90 or More Days Past Due and Accruing	0	0
Non-accrual	0	0
Commercial Portfolio Segment [Member] | Warehouse lending | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	0	0
Commercial Portfolio Segment [Member] | Warehouse lending | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	0	0
Commercial Portfolio Segment [Member] | Warehouse lending | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	0	0
Commercial Portfolio Segment [Member] | Warehouse lending | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	474,328	641,976
Consumer Portfolio Segment [Member]
Financing Receivable, Past Due [Line Items]
Loans and leases	9,637,448	9,660,475
90 or More Days Past Due and Accruing	213	13
Non-accrual	54,270	53,496
Consumer Portfolio Segment [Member] | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	71,087	74,064
Consumer Portfolio Segment [Member] | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	11,504	14,567
Consumer Portfolio Segment [Member] | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	5,100	5,988
Consumer Portfolio Segment [Member] | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	9,566,361	9,586,411
Consumer Portfolio Segment [Member] | Residential
Financing Receivable, Past Due [Line Items]
Loans and leases	8,001,563	7,963,420
90 or More Days Past Due and Accruing	0	0
Non-accrual	25,291	25,424
Consumer Portfolio Segment [Member] | Residential | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	35,750	36,753
Consumer Portfolio Segment [Member] | Residential | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	7,112	8,246
Consumer Portfolio Segment [Member] | Residential | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	3,347	3,083
Consumer Portfolio Segment [Member] | Residential | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	7,965,813	7,926,667
Consumer Portfolio Segment [Member] | Home equity
Financing Receivable, Past Due [Line Items]
Loans and leases	1,580,569	1,633,107
90 or More Days Past Due and Accruing	0	0
Non-accrual	28,873	27,924
Consumer Portfolio Segment [Member] | Home equity | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	34,499	36,037
Consumer Portfolio Segment [Member] | Home equity | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	3,977	5,293
Consumer Portfolio Segment [Member] | Home equity | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	1,649	2,820
Consumer Portfolio Segment [Member] | Home equity | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	1,546,070	1,597,070
Consumer Portfolio Segment [Member] | Other consumer
Financing Receivable, Past Due [Line Items]
Loans and leases	55,316	63,948
90 or More Days Past Due and Accruing	213	13
Non-accrual	106	148
Consumer Portfolio Segment [Member] | Other consumer | Total Past Due and Non-accrual
Financing Receivable, Past Due [Line Items]
Loans and leases	838	1,274
Consumer Portfolio Segment [Member] | Other consumer | 30-59 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	415	1,028
Consumer Portfolio Segment [Member] | Other consumer | 60-89 Days Past Due and Accruing
Financing Receivable, Past Due [Line Items]
Loans and leases	104	85
Consumer Portfolio Segment [Member] | Other consumer | Current
Financing Receivable, Past Due [Line Items]
Loans and leases	$ 54,478	$ 62,674

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Loans and Leases (Nonaccrual) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	$ 179,811	$ 197,441
Non-accrual with No Allowance	42,901	42,059
Commercial Portfolio Segment [Member]
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	125,541	143,945
Non-accrual with No Allowance	17,109	16,419
Commercial Portfolio Segment [Member] | Commercial non-mortgage
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	69,129	71,884
Non-accrual with No Allowance	12,382	12,598
Commercial Portfolio Segment [Member] | Asset-based
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	9,428	20,024
Non-accrual with No Allowance	1,330	1,491
Commercial Portfolio Segment [Member] | Commercial real estate
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	33,966	39,057
Non-accrual with No Allowance	1,502	90
Commercial Portfolio Segment [Member] | Multi-family
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	0	636
Non-accrual with No Allowance	0	0
Commercial Portfolio Segment [Member] | Equipment financing
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	13,018	12,344
Non-accrual with No Allowance	1,895	2,240
Commercial Portfolio Segment [Member] | Warehouse lending
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	0	0
Consumer Portfolio Segment [Member]
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	54,270	53,496
Non-accrual with No Allowance	25,792	25,640
Consumer Portfolio Segment [Member] | Residential
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	25,291	25,424
Non-accrual with No Allowance	10,674	10,442
Consumer Portfolio Segment [Member] | Home equity
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	28,873	27,924
Non-accrual with No Allowance	15,114	15,193
Consumer Portfolio Segment [Member] | Other consumer
Financing Receivable, Nonaccrual [Line Items]
Non-accrual	106	148
Non-accrual with No Allowance	$ 4	$ 5

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Loans and Leases (Activity In Allowance For Losses) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Financing Receivable, Allowance for Credit Loss [Line Items]
(Benefit) for credit losses	$ 37,821	$ 189,068
Commercial Portfolio Segment [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
(Benefit) for credit losses	38,757	184,327
Consumer Portfolio Segment [Member]
Financing Receivable, Allowance for Credit Loss [Line Items]
(Benefit) for credit losses	$ (936)	$ 4,741

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Loans and Leases (Allowance For Loan And Lease Losses By Portfolio Segment) (Detail) - USD ($) $ in Thousands		3 Months Ended
	Jan. 31, 2022	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Balance, beginning of period		$ 594,741	$ 301,187
Initial allowance for PCD loans and leases		0	88,045
Provision (benefit)		37,821	189,068
Charge-offs		(27,508)	(12,368)
Recoveries		2,987	3,439
Balance, end of period		613,914	569,371	$ 594,741	$ 301,187
ALLL, Individually evaluated for impairment		36,049	44,793
ALLL, Collectively evaluated for impairment		577,865	524,578
Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Balance, end of period				5,873	0
PCD loans | Sterling
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Charge-offs	$ (48,300)
Commercial Portfolio Segment [Member]
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Balance, beginning of period		533,125	257,877
Initial allowance for PCD loans and leases		0	78,376
Provision (benefit)		38,757	184,327
Charge-offs		(26,410)	(11,248)
Recoveries		1,574	1,364
Balance, end of period		554,750	510,696	533,125	257,877
ALLL, Individually evaluated for impairment		27,459	32,736
ALLL, Collectively evaluated for impairment		527,291	477,960
Commercial Portfolio Segment [Member] | Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Balance, end of period				7,704	0
Consumer Portfolio Segment [Member]
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Balance, beginning of period		61,616	43,310
Initial allowance for PCD loans and leases		0	9,669
Provision (benefit)		(936)	4,741
Charge-offs		(1,098)	(1,120)
Recoveries		1,413	2,075
Balance, end of period		59,164	58,675	61,616	43,310
ALLL, Individually evaluated for impairment		8,590	12,057
ALLL, Collectively evaluated for impairment		$ 50,574	$ 46,618
Consumer Portfolio Segment [Member] | Cumulative Effect, Period of Adoption, Adjustment
Financing Receivable, Allowance for Credit Loss [Roll Forward]
Balance, end of period				$ (1,831)	$ 0

XML

Loans and Leases (Credit Quality Indicators) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Dec. 31, 2022
Financing Receivable, Credit Quality Indicator [Line Items]
Loans and leases	$ 50,926,523	$ 49,764,426
Commercial Portfolio Segment [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	2,483,490	11,169,564
Year two	11,028,860	5,661,880
Year three	5,249,934	3,487,488
Year four	3,226,783	3,539,935
Year five	3,361,997	2,445,305
Prior	7,461,853	5,530,594
Revolving Loans Amortized Cost Basis	8,476,158	8,269,185
Loans and leases	41,289,075	40,103,951
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	26,410
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	12,129
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	13,358
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	395
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	101
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	103
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	324
Commercial Portfolio Segment [Member] | Commercial non-mortgage
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	914,922	5,287,261
Year two	5,206,634	1,979,460
Year three	1,820,957	1,057,097
Year four	923,851	829,845
Year five	759,571	678,464
Prior	1,222,509	804,822
Revolving Loans Amortized Cost Basis	6,090,929	5,755,846
Loans and leases	16,939,373	16,392,795
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	3,197
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	2,105
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	169
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	395
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	101
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	103
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	324
Commercial Portfolio Segment [Member] | Asset-based
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	2,000	19,659
Year two	21,486	3,901
Year three	0	9,424
Year four	8,868	15,904
Year five	11,915	5,163
Prior	51,667	55,553
Revolving Loans Amortized Cost Basis	1,664,591	1,712,038
Loans and leases	1,760,527	1,821,642
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	13,189
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	13,189
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	0
Commercial Portfolio Segment [Member] | Commercial real estate
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	925,477	3,443,032
Year two	3,462,071	2,258,126
Year three	2,045,832	1,563,665
Year four	1,523,867	1,674,603
Year five	1,630,093	1,153,170
Prior	3,767,414	2,805,735
Revolving Loans Amortized Cost Basis	144,385	98,832
Loans and leases	13,499,139	12,997,163
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	8,950
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	8,950
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	0
Commercial Portfolio Segment [Member] | Multi-family
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	508,429	2,030,657
Year two	1,968,010	1,057,705
Year three	1,051,536	507,447
Year four	462,805	694,161
Year five	666,430	497,552
Prior	2,255,464	1,773,967
Revolving Loans Amortized Cost Basis	101,925	60,493
Loans and leases	7,014,599	6,621,982
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	1,033
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	1,033
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	0
Commercial Portfolio Segment [Member] | Equipment financing
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	132,662	388,955
Year two	370,659	362,688
Year three	331,609	349,855
Year four	307,392	325,422
Year five	293,988	110,956
Prior	164,799	90,517
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	1,601,109	1,628,393
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	41
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	41
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	0
Commercial Portfolio Segment [Member] | Warehouse lending
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	0
Year two	0	0
Year three	0	0
Year four	0	0
Year five	0	0
Prior	0	0
Revolving Loans Amortized Cost Basis	474,328	641,976
Loans and leases	474,328	641,976
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	0
Commercial Portfolio Segment [Member] | Pass | Commercial non-mortgage
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	867,446	5,154,781
Year two	5,084,158	1,952,158
Year three	1,781,158	965,975
Year four	864,566	792,977
Year five	708,271	593,460
Prior	1,156,948	780,200
Revolving Loans Amortized Cost Basis	5,992,440	5,670,532
Loans and leases	16,454,987	15,910,083
Commercial Portfolio Segment [Member] | Pass | Asset-based
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	2,000	19,659
Year two	21,486	3,901
Year three	0	9,424
Year four	8,868	14,413
Year five	10,585	5,163
Prior	51,172	55,553
Revolving Loans Amortized Cost Basis	1,514,179	1,551,250
Loans and leases	1,608,290	1,659,363
Commercial Portfolio Segment [Member] | Pass | Commercial real estate
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	921,252	3,420,635
Year two	3,438,768	2,246,672
Year three	1,999,831	1,556,185
Year four	1,481,136	1,605,869
Year five	1,547,577	1,058,730
Prior	3,591,701	2,681,052
Revolving Loans Amortized Cost Basis	139,886	97,832
Loans and leases	13,120,151	12,666,975
Commercial Portfolio Segment [Member] | Pass | Multi-family
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	508,429	1,992,980
Year two	1,930,324	1,057,705
Year three	1,051,536	507,065
Year four	449,185	694,066
Year five	666,060	444,564
Prior	2,189,520	1,748,337
Revolving Loans Amortized Cost Basis	93,523	51,655
Loans and leases	6,888,577	6,496,372
Commercial Portfolio Segment [Member] | Pass | Equipment financing
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	132,662	388,641
Year two	367,476	345,792
Year three	316,521	331,419
Year four	295,379	308,441
Year five	277,878	98,874
Prior	145,561	83,264
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	1,535,477	1,556,431
Commercial Portfolio Segment [Member] | Pass | Warehouse lending
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	0
Year two	0	0
Year three	0	0
Year four	0	0
Year five	0	0
Prior	0	0
Revolving Loans Amortized Cost Basis	474,328	641,976
Loans and leases	474,328	641,976
Commercial Portfolio Segment [Member] | Special mention | Commercial non-mortgage
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	25,083	104,277
Year two	62,638	15,598
Year three	24,644	21,168
Year four	12,727	263
Year five	15,640	14,370
Prior	8,631	7,770
Revolving Loans Amortized Cost Basis	30,522	40,142
Loans and leases	179,885	203,588
Commercial Portfolio Segment [Member] | Special mention | Asset-based
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	0
Year two	0	0
Year three	0	0
Year four	0	0
Year five	0	0
Prior	495	0
Revolving Loans Amortized Cost Basis	66,053	80,476
Loans and leases	66,548	80,476
Commercial Portfolio Segment [Member] | Special mention | Commercial real estate
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	4,225	21,878
Year two	22,788	8,995
Year three	43,548	7,264
Year four	42,519	37,570
Year five	51,379	47,419
Prior	74,390	66,652
Revolving Loans Amortized Cost Basis	4,499	1,000
Loans and leases	243,348	190,778
Commercial Portfolio Segment [Member] | Special mention | Multi-family
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	37,677
Year two	37,686	0
Year three	0	0
Year four	13,243	95
Year five	370	40,307
Prior	40,800	726
Revolving Loans Amortized Cost Basis	8,402	8,838
Loans and leases	100,501	87,643
Commercial Portfolio Segment [Member] | Special mention | Equipment financing
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	0
Year two	0	185
Year three	170	0
Year four	0	11,965
Year five	11,583	6,775
Prior	6,540	25
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	18,293	18,950
Commercial Portfolio Segment [Member] | Substandard | Commercial non-mortgage
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	22,393	28,203
Year two	59,838	11,704
Year three	15,155	69,954
Year four	46,558	36,604
Year five	35,660	70,634
Prior	56,930	16,852
Revolving Loans Amortized Cost Basis	67,967	41,917
Loans and leases	304,501	275,868
Commercial Portfolio Segment [Member] | Substandard | Asset-based
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	0
Year two	0	0
Year three	0	0
Year four	0	1,491
Year five	1,330	0
Prior	0	0
Revolving Loans Amortized Cost Basis	84,359	80,312
Loans and leases	85,689	81,803
Commercial Portfolio Segment [Member] | Substandard | Commercial real estate
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	519
Year two	515	2,459
Year three	2,453	216
Year four	212	31,163
Year five	31,137	47,021
Prior	101,323	57,997
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	135,640	139,375
Commercial Portfolio Segment [Member] | Substandard | Multi-family
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	0
Year two	0	0
Year three	0	382
Year four	377	0
Year five	0	12,681
Prior	25,144	24,904
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	25,521	37,967
Commercial Portfolio Segment [Member] | Substandard | Equipment financing
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	314
Year two	3,183	16,711
Year three	14,918	18,436
Year four	12,013	5,016
Year five	4,527	5,307
Prior	12,698	7,228
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	47,339	53,012
Commercial Portfolio Segment [Member] | Doubtful | Commercial non-mortgage
Financing Receivable, Credit Quality Indicator [Line Items]
Year one		0
Year two		0
Year three		0
Year four		1
Year five		0
Prior		0
Revolving Loans Amortized Cost Basis		3,255
Loans and leases		3,256
Commercial Portfolio Segment [Member] | Doubtful | Commercial real estate
Financing Receivable, Credit Quality Indicator [Line Items]
Year one		0
Year two		0
Year three		0
Year four		1
Year five		0
Prior		34
Revolving Loans Amortized Cost Basis		0
Loans and leases		35
Consumer Portfolio Segment [Member]
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	119,063	2,042,000
Year two	2,071,215	2,399,022
Year three	2,382,062	960,281
Year four	942,931	454,877
Year five	462,421	126,240
Prior	2,450,324	2,409,520
Revolving Loans Amortized Cost Basis	1,209,432	1,268,535
Loans and leases	9,637,448	9,660,475
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	1,098
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	420
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	126
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	114
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	3
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	435
Consumer Portfolio Segment [Member] | Residential
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	103,093	1,965,372
Year two	1,994,809	2,304,919
Year three	2,290,268	901,353
Year four	886,785	424,742
Year five	435,042	94,152
Prior	2,291,566	2,272,882
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	8,001,563	7,963,420
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	211
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	211
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	0
Consumer Portfolio Segment [Member] | Residential | 800+
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	15,014	527,408
Year two	681,916	954,568
Year three	1,043,662	469,518
Year four	468,357	160,596
Year five	150,282	28,361
Prior	993,219	997,409
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	3,352,450	3,137,860
Consumer Portfolio Segment [Member] | Residential | 740-799
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	69,297	963,026
Year two	866,867	946,339
Year three	863,689	311,295
Year four	308,974	111,913
Year five	111,803	43,684
Prior	716,299	689,771
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	2,936,929	3,066,028
Consumer Portfolio Segment [Member] | Residential | 670 to 739
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	18,719	381,515
Year two	346,423	350,671
Year three	326,999	103,999
Year four	91,487	62,365
Year five	62,585	18,451
Prior	393,008	384,687
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	1,239,221	1,301,688
Consumer Portfolio Segment [Member] | Residential | 580-669
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	63	40,959
Year two	46,328	49,648
Year three	52,355	14,484
Year four	14,004	5,836
Year five	10,532	2,357
Prior	125,882	138,107
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	249,164	251,391
Consumer Portfolio Segment [Member] | Residential | 579 and below
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	0	52,464
Year two	53,275	3,693
Year three	3,563	2,057
Year four	3,963	84,032
Year five	99,840	1,299
Prior	63,158	62,908
Revolving Loans Amortized Cost Basis	0	0
Loans and leases	223,799	206,453
Consumer Portfolio Segment [Member] | Home equity
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	15,330	73,888
Year two	73,919	90,440
Year three	88,330	53,579
Year four	52,182	21,441
Year five	20,665	29,650
Prior	156,733	136,025
Revolving Loans Amortized Cost Basis	1,173,410	1,228,084
Loans and leases	1,580,569	1,633,107
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	108
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	108
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	0
Consumer Portfolio Segment [Member] | Home equity | 800+
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	6,211	25,475
Year two	26,483	35,129
Year three	35,954	25,612
Year four	25,557	7,578
Year five	8,524	12,545
Prior	63,613	55,352
Revolving Loans Amortized Cost Basis	434,492	465,318
Loans and leases	600,834	627,009
Consumer Portfolio Segment [Member] | Home equity | 740-799
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	4,088	26,743
Year two	29,016	35,178
Year three	31,860	17,621
Year four	18,237	8,111
Year five	6,556	7,765
Prior	38,748	32,270
Revolving Loans Amortized Cost Basis	375,534	398,692
Loans and leases	504,039	526,380
Consumer Portfolio Segment [Member] | Home equity | 670 to 739
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	4,421	18,396
Year two	15,017	16,679
Year three	17,246	8,175
Year four	6,262	3,635
Year five	4,153	7,614
Prior	34,796	30,060
Revolving Loans Amortized Cost Basis	257,878	259,646
Loans and leases	339,773	344,205
Consumer Portfolio Segment [Member] | Home equity | 580-669
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	408	2,848
Year two	2,984	3,068
Year three	2,504	1,520
Year four	1,483	1,456
Year five	903	1,163
Prior	13,456	13,607
Revolving Loans Amortized Cost Basis	74,873	76,614
Loans and leases	96,611	100,276
Consumer Portfolio Segment [Member] | Home equity | 579 and below
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	202	426
Year two	419	386
Year three	766	651
Year four	643	661
Year five	529	563
Prior	6,120	4,736
Revolving Loans Amortized Cost Basis	30,633	27,814
Loans and leases	39,312	35,237
Consumer Portfolio Segment [Member] | Consumer Loan
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	640	2,740
Year two	2,487	3,663
Year three	3,464	5,349
Year four	3,964	8,694
Year five	6,714	2,438
Prior	2,025	613
Revolving Loans Amortized Cost Basis	36,022	40,451
Loans and leases	55,316	63,948
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff	779
Financing Receivable, Excluding Accrued Interest, Revolving, Converted to Term Loan, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff	101
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year, Writeoff	126
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year, Writeoff	114
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year, Writeoff	3
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year, Writeoff	0
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff	435
Consumer Portfolio Segment [Member] | Consumer Loan | 800+
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	140	495
Year two	443	218
Year three	207	544
Year four	479	1,045
Year five	843	247
Prior	266	56
Revolving Loans Amortized Cost Basis	17,207	19,196
Loans and leases	19,585	21,801
Consumer Portfolio Segment [Member] | Consumer Loan | 740-799
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	266	888
Year two	782	2,624
Year three	2,589	1,959
Year four	1,332	2,494
Year five	1,933	941
Prior	570	364
Revolving Loans Amortized Cost Basis	7,675	12,218
Loans and leases	15,147	21,488
Consumer Portfolio Segment [Member] | Consumer Loan | 670 to 739
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	154	977
Year two	838	603
Year three	409	2,480
Year four	1,815	4,238
Year five	3,117	1,041
Prior	975	118
Revolving Loans Amortized Cost Basis	8,836	6,107
Loans and leases	16,144	15,564
Consumer Portfolio Segment [Member] | Consumer Loan | 580-669
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	58	211
Year two	304	117
Year three	216	337
Year four	297	801
Year five	694	173
Prior	159	54
Revolving Loans Amortized Cost Basis	1,294	2,223
Loans and leases	3,022	3,916
Consumer Portfolio Segment [Member] | Consumer Loan | 579 and below
Financing Receivable, Credit Quality Indicator [Line Items]
Year one	22	169
Year two	120	101
Year three	43	29
Year four	41	116
Year five	127	36
Prior	55	21
Revolving Loans Amortized Cost Basis	1,010	707
Loans and leases	$ 1,418	$ 1,179

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Loans and Leases (Summary Of The Recorded Investment Of Company's TDRs) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Financing Receivable, Troubled Debt Restructuring [Line Items]
Total recorded investment of TDRs			$ 194,822
Additional funds committed to borrowers in TDR status			1,724
Specific reserves for TDRs included in the ACL on loans and leases:	$ 569,371	$ 613,914	594,741	$ 301,187
Commercial Portfolio Segment [Member]
Financing Receivable, Troubled Debt Restructuring [Line Items]
Specific reserves for TDRs included in the ACL on loans and leases:	510,696	554,750	533,125	257,877
Write-down	(9,100)
Consumer Portfolio Segment [Member]
Financing Receivable, Troubled Debt Restructuring [Line Items]
Specific reserves for TDRs included in the ACL on loans and leases:	58,675	$ 59,164	61,616	$ 43,310
Write-down	$ (100)
Performing Financial Instruments
Financing Receivable, Troubled Debt Restructuring [Line Items]
Total recorded investment of TDRs			110,868
Nonperforming Financial Instruments
Financing Receivable, Troubled Debt Restructuring [Line Items]
Total recorded investment of TDRs			83,954
Nonperforming Financial Instruments | Troubled Debt Restructures | Commercial Portfolio Segment [Member]
Financing Receivable, Troubled Debt Restructuring [Line Items]
Specific reserves for TDRs included in the ACL on loans and leases:			14,578
Nonperforming Financial Instruments | Troubled Debt Restructures | Consumer Portfolio Segment [Member]
Financing Receivable, Troubled Debt Restructuring [Line Items]
Specific reserves for TDRs included in the ACL on loans and leases:			$ 3,559

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Loans and Leases (Information on How Loans and Leases were Modified as a TDR) (Detail) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($)	Mar. 31, 2022 USD ($) loan
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Contracts | loan		30
Recorded Investment	$ 47,128	$ 4,461
Term extension
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 47,057
Commercial Portfolio Segment [Member] | Term extension | Commercial non-mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Contracts | loan		2
Recorded Investment		$ 98
Commercial Portfolio Segment [Member] | Combination - Term extension and interest rate reduction | Commercial non-mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Contracts | loan		2
Recorded Investment		$ 92
Consumer Portfolio Segment [Member] | Combination - Term extension and interest rate reduction | Home equity
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Contracts | loan		4
Recorded Investment		$ 44
Consumer Portfolio Segment [Member] | Other | Residential
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Contracts | loan		5
Recorded Investment		$ 2,985
Consumer Portfolio Segment [Member] | Other | Home equity
Financing Receivable, Troubled Debt Restructuring [Line Items]
Number of Contracts | loan		17
Recorded Investment		$ 1,242

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Loans and Leases - Troubled Debt Restructurings on Financing Receivables (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 47,128	$ 4,461
% of Total Class	0.10%
Interest Receivable	$ 200
Commercial real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 17,116
% of Total Class	0.10%
Home equity
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 121
% of Total Class	0.00%
Commercial non-mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 29,891
% of Total Class	0.20%
Adjusted interest rate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 7
Adjusted interest rate | Commercial real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	0
Adjusted interest rate | Home equity
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	0
Adjusted interest rate | Commercial non-mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 7
Reduced weighted average interest rate	4.50%
Term extension
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 47,057
Term extension | Commercial real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 17,116
Extended term	1 year
Term extension | Home equity
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 57
Extended term	8 years 9 months 18 days
Term extension | Commercial non-mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 29,884
Extended term	7 months 6 days
Extended Maturity And Interest Rate Reduction
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 64
Extended Maturity And Interest Rate Reduction | Commercial real estate
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	0
Extended Maturity And Interest Rate Reduction | Home equity
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	64
Extended Maturity And Interest Rate Reduction | Commercial non-mortgage
Financing Receivable, Troubled Debt Restructuring [Line Items]
Recorded Investment	$ 0
Extended Maturity and Interest Rate Reduction | Home equity
Financing Receivable, Troubled Debt Restructuring [Line Items]
Reduced weighted average interest rate	1.50%
Extended term	5 years 1 month 6 days

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Loans and Leases - Aging of Loans (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Accounts, Notes, Loans and Financing Receivable [Line Items]
Non-accrual	$ 179,811	$ 197,441
Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	47,128
Non-accrual	26,427
Current | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	20,701
30-59 Days Past Due and Accruing | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
60-89 Days Past Due and Accruing | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Financial Asset, Equal to or Greater than 90 Days Past Due | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Commercial non-mortgage | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	29,891
Non-accrual	26,329
Commercial non-mortgage | Current | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	3,562
Commercial non-mortgage | 30-59 Days Past Due and Accruing | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Commercial non-mortgage | 60-89 Days Past Due and Accruing | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Commercial non-mortgage | Financial Asset, Equal to or Greater than 90 Days Past Due | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Commercial real estate | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	17,116
Non-accrual	0
Commercial real estate | Current | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	17,116
Commercial real estate | 30-59 Days Past Due and Accruing | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Commercial real estate | 60-89 Days Past Due and Accruing | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Commercial real estate | Financial Asset, Equal to or Greater than 90 Days Past Due | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Home equity | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	121
Non-accrual	98
Home equity | Current | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	23
Home equity | 30-59 Days Past Due and Accruing | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Home equity | 60-89 Days Past Due and Accruing | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	0
Home equity | Financial Asset, Equal to or Greater than 90 Days Past Due | Aging Loan Modifications
Accounts, Notes, Loans and Financing Receivable [Line Items]
Loans and leases	$ 0

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Transfers and Servicing of Financial Assets (Loans sold) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Accounts, Notes, Loans and Financing Receivable [Line Items]
Mortgage banking activities	$ 59	$ 428
Consumer Portfolio Segment [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Origination fees	11	135
Mortgage banking activities	59	428
Consumer Portfolio Segment [Member] | Residential
Accounts, Notes, Loans and Financing Receivable [Line Items]
Net gain on sale	77	397
Fair value adjustment	(29)	(104)
Proceeds from sale	3,832	26,753
Consumer Portfolio Segment [Member] | Loans sold with servicing rights retained
Accounts, Notes, Loans and Financing Receivable [Line Items]
Proceeds from sale	$ 1,229	$ 25,363

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Transfers and Servicing of Financial Assets (Narrative) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items]
Proceeds from sale of loans not originated for sale	$ 106,779	$ 51,127
Mortgage banking activities	59	428
Residential
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items]
Proceeds from sale of loans not originated for sale	106,700	51,100
Commercial
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items]
Mortgage banking activities	100	1,800
Consumer Portfolio Segment [Member]
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items]
Mortgage banking activities	59	428
Consumer Portfolio Segment [Member] | Residential
Securitization or Asset-backed Financing Arrangement, Financial Asset for which Transfer is Accounted as Sale [Line Items]
Retained servicing rights	1,900,000		$ 2,000,000
Loan servicing fees, net	$ 1,300	$ 1,100

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Transfers and Servicing of Financial Assets (Servicing Assets at Amortized Cost Roll Forward) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Beginning Balance	$ 9,515	$ 9,237
Additions	15	209
Amortization	(341)	(570)
Ending Balance	9,189	9,735
Business Acquisition [Line Items]
Additions	15	209
Sterling
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Additions	0	859
Business Acquisition [Line Items]
Additions	$ 0	$ 859

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Goodwill and Other Intangible Assets (Schedule of Goodwill) (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Goodwill [Roll Forward]
Balance, beginning of period	$ 2,514,104	$ 538,373
Balance, end of period	2,631,465	2,514,104
Sterling
Goodwill [Roll Forward]
Goodwill acquired	(25,561)	(1,939,765)
Bend
Goodwill [Roll Forward]
Goodwill acquired	(294)	(35,966)
interLINK
Goodwill [Roll Forward]
Goodwill acquired	$ (143,216)	$ 0

XML

Goodwill and Other Intangible Assets (Gross Carrying Value And Accumulated Amortization Of Other Intangible Assets) (Detail) - USD ($) $ in Thousands	Jan. 11, 2023	Mar. 31, 2023	Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount		$ 301,037	$ 261,037
Accumulated Amortization		71,192	61,695
Net Carrying Amount		229,845	199,342
Core deposits
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount		146,037	146,037
Accumulated Amortization		41,237	36,710
Net Carrying Amount		104,800	109,327
Customer relationships (1)
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount		151,000	115,000
Accumulated Amortization		29,755	24,985
Net Carrying Amount		121,245	90,015
Customer relationships (1) | interLINK
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets, useful life	10 years
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets	$ 36,000
Noncompete Agreements
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount		4,000	0
Accumulated Amortization		200	0
Net Carrying Amount		$ 3,800	$ 0
Noncompete Agreements | interLINK
Finite-Lived Intangible Assets [Line Items]
Acquired intangible assets, useful life	5 years
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets	$ 4,000

XML

Goodwill and Other Intangible Assets (Schedule Of Expected Future Amortization Expense) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Jan. 11, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Remainder of 2023	$ 26,710
2024	29,618
2025	25,956
2026	25,565
2027	25,565
Thereafter	$ 96,431
interLINK | Noncompete Agreements
Goodwill and Intangible Assets Disclosure [Abstract]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets		$ 4,000
Finite-Lived Intangible Assets [Line Items]
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Indefinite-Lived Intangible Assets		$ 4,000

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Deposits (Summary Of Deposits) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Non-interest-bearing:
Demand	$ 12,007,387	$ 12,974,975
Interest-bearing:
HSA	8,272,507	7,944,892
Checking	8,560,750	9,237,529
Money market	14,203,858	11,062,652
Savings	7,723,198	8,673,343
Time deposits	4,529,779	4,160,949
Total interest-bearing	43,290,092	41,079,365
Total deposits	55,297,479	54,054,340
Time deposits, money market, and interest-bearing checking obtained through brokers (1)	1,268,506	1,964,873
Aggregate amount of time deposit accounts that exceeded the FDIC limit	1,457,289	1,894,950
Demand deposit overdrafts reclassified as loan balances	6,832	$ 8,721
Money market sweep deposits	$ 2,900,000

XML

Deposits (Scheduled Maturities Of Time Deposits) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Deposit Liabilities [Abstract]
Remainder of 2023	$ 3,168,801
2024	1,132,496
2025	132,543
2026	53,306
2027	36,616
Thereafter	6,017
Time deposits	$ 4,529,779	$ 4,160,949

XML

Borrowings (Summary Of Securities Sold Under Agreements To Repurchase And Other Borrowings) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Securities sold under agreements to repurchase
Assets Sold under Agreements to Repurchase [Line Items]
Total Outstanding	$ 306,154	$ 282,005
Rate	0.11%	0.11%
Federal funds purchased
Assets Sold under Agreements to Repurchase [Line Items]
Total Outstanding	$ 0	$ 869,825
Rate	0.00%	4.44%
Securities sold under agreements to repurchase and other borrowings
Assets Sold under Agreements to Repurchase [Line Items]
Total Outstanding	$ 306,154	$ 1,151,830
Rate	0.11%	3.38%

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Borrowings (Summary Of Advances Payable To the Federal Home Loan Bank) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Federal Home Loan Bank, Advances, Maturity, Rolling Year [Abstract]
FHLB advances maturing within 1 year, Total Outstanding	$ 8,550,183	$ 5,450,187
FHLB advances maturing after 1 but within 2 years, Total Outstanding	0	0
FHLB advances maturing after 2 but within 3 years, Total Outstanding	0	0
FHLB advances maturing after 3 but within 4 years, Total Outstanding	0	0
FHLB advances maturing after 4 but within 5 years, Total Outstanding	486	252
FHLB advances maturing after 5 years, Total Outstanding	9,792	10,113
Total FHLB advances	$ 8,560,461	$ 5,460,552
Federal Home Loan Bank, Advances, Weighted Average Interest Rate [Abstract]
FHLB advances maturing within 1 year, Weighted Average Contractual Coupon Rate (as a percent)	5.18%	4.40%
FHLB advances maturing after 1 but within 2 years, Weighted Average Contractual Coupon Rate (as a percent)	0.00%	0.00%
FHLB advances maturing after 2 but within 3 years, Weighted Average Contractual Coupon Rate (as a percent)	0.00%	0.00%
FHLB advances maturing after 3 but within 4 years, Weighted Average Contractual Coupon Rate (as a percent)	0.00%	0.00%
FHLB advances maturing after 4 but within 5 years, Weighted Average Contractual Coupon Rate (as a percent)	1.35%	0.00%
FHLB advances maturing after 5 years, Weighted Average Contractual Coupon Rate (as a percent)	2.07%	2.09%
Federal Home Loan Bank, Advances, Weighted Average Contractual Coupon Rate (as a percent)	5.18%	4.39%
Aggregate carrying value of assets pledged as collateral	$ 19,778,232	$ 13,692,379
Remaining borrowing capacity at FHLB	$ 6,509,929	$ 4,291,326

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Borrowings (Long Term Debt) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Debt Instrument [Line Items]
Notes and subordinated debt	$ 1,058,439	$ 1,059,778
Debt issuance cost on senior fixed-rates	(1,723)	(1,824)
Long-term debt (1)	$ 1,071,413	$ 1,073,128
Variable interest rate	7.86%	7.69%
LIBOR
Debt Instrument [Line Items]
Basis spread on variable rate	2.95%
Senior Notes
Debt Instrument [Line Items]
Discount on senior fixed-rate notes	$ (701)	$ (756)
Senior Notes | Senior Notes Due 2024
Debt Instrument [Line Items]
Senior notes, interest rate (as a percent)	4.375%
Notes and subordinated debt	$ 150,000	150,000
Senior Notes | Senior Notes Due 2029
Debt Instrument [Line Items]
Senior notes, interest rate (as a percent)	4.10%
Notes and subordinated debt	$ 332,119	333,458
Hedge basis adjustment	32,100	33,500
Subordinated Debt
Debt Instrument [Line Items]
Premium on subordinated fixed-to-floating rate notes	$ 15,398	15,930
Subordinated Debt | Subordinated Notes Due 2029
Debt Instrument [Line Items]
Senior notes, interest rate (as a percent)	4.00%
Notes and subordinated debt	$ 274,000	274,000
Subordinated Debt | Subordinated Notes Due 2030
Debt Instrument [Line Items]
Senior notes, interest rate (as a percent)	3.875%
Notes and subordinated debt	$ 225,000	225,000
Junior subordinated debt
Debt Instrument [Line Items]
Notes and subordinated debt	77,320	77,320
Long-term Debt
Debt Instrument [Line Items]
Hedge basis adjustment	$ 32,119	$ 33,458

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Borrowings (Narrative) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	Jan. 31, 2022
Assets Sold under Agreements to Repurchase [Line Items]
Notes and subordinated debt	$ 1,058,439	$ 1,059,778
Sterling
Assets Sold under Agreements to Repurchase [Line Items]
Long-term debt			$ 516,881
Subordinated Notes Due 2029 | Subordinated Debt
Assets Sold under Agreements to Repurchase [Line Items]
Notes and subordinated debt	$ 274,000	274,000
Senior notes, interest rate (as a percent)	4.00%
Subordinated Notes Due 2030 | Subordinated Debt
Assets Sold under Agreements to Repurchase [Line Items]
Notes and subordinated debt	$ 225,000	$ 225,000
Senior notes, interest rate (as a percent)	3.875%

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Accumulated Other Comprehensive (Loss) Income, Net of Tax (Schedule of Other Comprehensive Income (Loss)) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning Balance	$ 8,056,186	$ 3,438,325
Other comprehensive income before reclassifications	80,970	(254,211)
Amounts reclassified from accumulated other comprehensive (loss)	15,970	1,068
Other comprehensive income, net of tax	96,940	(253,143)
Ending Balance	8,294,294	8,177,135
Available For Sale and Transferred Securities
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning Balance	(631,160)	4,536
Other comprehensive income before reclassifications	56,635	(244,879)
Amounts reclassified from accumulated other comprehensive (loss)	14,983	0
Other comprehensive income, net of tax	71,618	(244,879)
Ending Balance	(559,542)	(240,343)
Derivative Instruments
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning Balance	(8,874)	6,070
Other comprehensive income before reclassifications	20,782	(8,613)
Amounts reclassified from accumulated other comprehensive (loss)	592	769
Other comprehensive income, net of tax	21,374	(7,844)
Ending Balance	12,500	(1,774)
Defined Benefit Pension and Other Postretirement Benefit Plans
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning Balance	(44,926)	(33,186)
Other comprehensive income before reclassifications	3,553	(719)
Amounts reclassified from accumulated other comprehensive (loss)	395	299
Other comprehensive income, net of tax	3,948	(420)
Ending Balance	(40,978)	(33,606)
Accumulated Other Comprehensive Income (Loss), Net of Tax
AOCI Attributable to Parent, Net of Tax [Roll Forward]
Beginning Balance	(684,960)	(22,580)
Other comprehensive income, net of tax	96,940	(253,143)
Ending Balance	$ (588,020)	$ (275,723)

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Accumulated Other Comprehensive (Loss) Income, Net of Tax (Schedule of Accumulated Other Comprehensive Loss) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Income tax expense	$ (65,829)	$ 33,600
Net of tax	(15,970)	(1,068)
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Net of tax	(592)	(769)
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges | Reclassification out of accumualted comprehensive income
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Income tax expense	220	286
Net of tax	(592)	(769)
Hedge terminations	(76)	(77)
Premium amortization	(736)	(978)
Accumulated Defined Benefit Plans Adjustment, Net Unamortized Gain (Loss)
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Actuarial net loss amortization	(542)	(411)
Defined benefit pension and postretirement benefit plans
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Net of tax	(395)	(299)
Income tax expense	147	112
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Income tax expense	5,500	0
Net of tax	(14,983)	0
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Reclassification out of accumualted comprehensive income
Reclassification out of Accumulated Other Comprehensive Income [Line Items]
Net holding (losses)	$ (20,483)	$ 0

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Regulatory Capital and Restrictions (Information On The Capital Ratios) (Detail) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($)	Mar. 31, 2022 USD ($)	Dec. 31, 2022 USD ($)
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
CET1 risk-based capital, Actual Amount	$ 5,796,578		$ 5,822,369
CET1 risk-based capital, Actual Ratio	0.1042		0.1071
CET1 risk-based capital, Minimum Requirement Amount	$ 2,503,935		$ 2,446,344
CET1 risk-based capital, Well Capitalized Amount	3,616,794		3,533,608
Total risk-based capital, Actual Amount	$ 7,229,512		$ 7,203,029
Total risk-based capital, Actual Ratio	0.1299		0.1325
Total risk-based capital, Capital Requirements, Minimum Amount	$ 4,451,439		$ 4,349,056
Total risk-based capital, Capital Requirements, Minimum Ratio	0.080		0.080
Total risk-based capital, Capital Requirements, Well Capitalized Amount	$ 5,564,299		$ 5,436,320
Total risk-based capital, Capital Requirements, Well Capitalized Ratio	0.100		0.100
Tier 1 capital, Actual Amount	$ 6,080,557		$ 6,106,348
Tier 1 capital, Actual Ratio	0.1093		0.1123
Tier 1 capital, Capital Requirements, Minimum Amount	$ 3,338,580		$ 3,261,792
Tier 1 capital, Capital Requirements, Minimum Ratio	0.060		0.060
Tier 1 capital, Capital Requirements, Well Capitalized Amount	$ 4,451,439		$ 4,349,056
Tier 1 capital, Capital Requirements, Well Capitalized Ratio	0.080		0.080
Tier 1 leverage capital ratio, Actual Amount	$ 6,080,557		$ 6,106,348
Tier 1 leverage capital ratio, Actual Ratio	0.0865		0.0895
Tier 1 leverage capital ratio, Capital Requirements, Minimum Amount	$ 2,812,832		$ 2,730,212
Tier 1 leverage capital ratio, Capital Requirements, Minimum Ratio	0.040		0.040
Tier 1 leverage capital ratio, Capital Requirements, Well Capitalized Amount	$ 3,516,040		$ 3,412,765
Tier 1 leverage capital ratio, Capital Requirements, Well Capitalized Ratio	0.050		0.050
Dividends paid	$ 150,000	$ 0
Subsidiaries
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
CET1 risk-based capital, Actual Amount	$ 6,605,427		$ 6,661,504
CET1 risk-based capital, Actual Ratio	0.1189		0.1228
CET1 risk-based capital, Minimum Requirement Amount	$ 2,500,320		$ 2,442,058
CET1 risk-based capital, Well Capitalized Amount	3,611,573		3,527,417
Total risk-based capital, Actual Amount	$ 7,162,664		$ 7,165,935
Total risk-based capital, Actual Ratio	0.1289		0.1320
Total risk-based capital, Capital Requirements, Minimum Amount	$ 4,445,013		$ 4,341,437
Total risk-based capital, Capital Requirements, Minimum Ratio	0.080		0.080
Total risk-based capital, Capital Requirements, Well Capitalized Amount	$ 5,556,266		$ 5,426,796
Total risk-based capital, Capital Requirements, Well Capitalized Ratio	0.100		0.100
Tier 1 capital, Actual Amount	$ 6,605,427		$ 6,661,504
Tier 1 capital, Actual Ratio	0.1189		0.1228
Tier 1 capital, Capital Requirements, Minimum Amount	$ 3,333,760		$ 3,256,078
Tier 1 capital, Capital Requirements, Minimum Ratio	0.060		0.060
Tier 1 capital, Capital Requirements, Well Capitalized Amount	$ 4,445,013		$ 4,341,437
Tier 1 capital, Capital Requirements, Well Capitalized Ratio	0.080		0.080
Tier 1 leverage capital ratio, Actual Amount	$ 6,605,427		$ 6,661,504
Tier 1 leverage capital ratio, Actual Ratio	0.0940		0.0977
Tier 1 leverage capital ratio, Capital Requirements, Minimum Amount	$ 2,810,676		$ 2,727,476
Tier 1 leverage capital ratio, Capital Requirements, Minimum Ratio	0.040		0.040
Tier 1 leverage capital ratio, Capital Requirements, Well Capitalized Amount	$ 3,513,345		$ 3,409,345
Tier 1 leverage capital ratio, Capital Requirements, Well Capitalized Ratio	0.050		0.050
Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
CET1 risk-based capital, Actual Ratio	0.045		0.045
Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | Subsidiaries
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
CET1 risk-based capital, Actual Ratio	0.045		0.045
Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
CET1 risk-based capital, Actual Ratio	0.065		0.065
Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | Subsidiaries
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items]
CET1 risk-based capital, Actual Ratio	0.065		0.065

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Variable Interest Entities - Summary of LIHTC Investments and Commitments (Details) - Variable Interest Entity, Not Primary Beneficiary - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Variable Interest Entity [Line Items]
Gross investment in LIHTC	$ 798,085		$ 797,453
Accumulated amortization	(90,902)		(69,424)
Net investment in LIHTC investments	707,183		728,029
Unfunded commitments for LIHTC investments	329,023		$ 335,959
Liabilities assumed	$ 0	$ 0

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Variable Interest Entities - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022
Variable Interest Entity [Line Items]
Assets	$ 74,844,395		$ 71,277,521
Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Liabilities assumed	0	$ 0
Other Investments | Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Assets	165,100		144,900
Unfunded Loan Commitment | Other Non-Marketable Investments | Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Maximum exposure to loss	$ 273,000		$ 243,900

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Earnings Per Common Share (Earnings Per Share Basic And Diluted) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Earnings Per Share Reconciliation [Abstract]
Net income (loss)	$ 221,004	$ (16,747)
Less: Preferred stock dividends	4,163	3,431
Earnings applicable to common stockholders	216,841	(20,178)
Net income (loss) available to common stockholders	216,841	(20,178)
Less: (Loss) earnings allocated to participating securities, basic	1,845	0
Less: (Loss) earnings allocated to participating securities, diluted	1,845	0
Earnings applicable to common stockholders	214,996	(20,178)
Earnings applicable to common stockholders	$ 214,996	$ (20,178)
Weighted Average Number of Shares Outstanding Reconciliation [Abstract]
Weighted-average common shares outstanding - basic (in shares)	172,766	147,394
Effect of dilutive securities (in shares)	117	0
Weighted-average common shares outstanding - diluted (in shares)	172,883	147,394
Earnings Per Share, Basic and Diluted [Abstract]
Basic (loss) earnings per common share (in dollars per share)	$ 1.24	$ (0.14)
Diluted (loss) earnings per common share (in shares)	$ 1.24	$ (0.14)

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Earnings Per Common Share (Narrative) (Details) - shares	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Restricted stock (due to performance conditions on non-participating shares)
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Anti-dilutive securities	85,033	341,904

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Derivative Financial Instruments (Schedule fair value of derivative instruments) (Detail) - USD ($)	Mar. 31, 2023	Dec. 31, 2022
Derivatives, Fair Value [Line Items]
Asset Derivatives, Notional Amounts	$ 11,338,928,000	$ 8,539,724,000
Asset Derivatives, Fair Value, before netting	245,228,000	222,906,000
Asset Derivatives, Fair Value, Less: Master netting agreements	30,506,000	16,129,000
Asset Derivatives, Fair Value, Less: Cash collateral posted	181,853,000	184,095,000
Total derivative instruments, after netting	32,869,000	22,682,000
Liability Derivatives, Notional Amount	9,821,481,000	9,379,322,000
Liability Derivatives, Fair Value	329,267,000	414,499,000
Liability Derivatives, Fair Value, Less: Master netting agreements	30,506,000	16,129,000
Liability Derivatives, Fair Value, Less: Cash collateral posted	400,000	0
Total derivative instruments, after netting	298,361,000	398,370,000
CME
Derivatives, Fair Value [Line Items]
Asset Derivatives, Fair Value, Less: Cash collateral posted	38,700,000
Total derivative instruments, after netting	0
Designated as Hedging Instrument
Derivatives, Fair Value [Line Items]
Asset Derivatives, Fair Value	220,259,000	217,246,000
Asset Derivatives, Fair Value, Less: Master netting agreements	30,506,000	16,129,000
Total derivative instruments, after netting	181,853,000	184,095,000
Liability Derivatives, Fair Value	31,360,000	16,129,000
Liability Derivatives, Fair Value, Less: Master netting agreements	30,506,000	16,129,000
Total derivative instruments, after netting	400,000	0
Designated as Hedging Instrument | Interest rate derivatives
Derivatives, Fair Value [Line Items]
Asset Derivatives, Notional Amounts	3,750,000,000	1,350,000,000
Asset Derivatives, Fair Value	25,892,000	1,515,000
Liability Derivatives, Notional Amount	1,750,000,000	1,750,000,000
Liability Derivatives, Fair Value	5,493,000	9,632,000
Not Designated as Hedging Instrument
Derivatives, Fair Value [Line Items]
Asset Derivatives, Notional Amounts	7,588,928,000	7,189,724,000
Asset Derivatives, Fair Value, Total	219,336,000	221,391,000
Liability Derivatives, Notional Amount	8,071,481,000	7,629,322,000
Liability Derivatives, Fair Value, Positions not subject to master netting agreement	323,774,000	404,867,000
Not Designated as Hedging Instrument | Interest rate derivatives
Derivatives, Fair Value [Line Items]
Asset Derivatives, Notional Amounts	7,417,679,000	7,024,507,000
Asset Derivatives, Fair Value	219,149,000	221,225,000
Liability Derivatives, Notional Amount	7,411,878,000	7,022,844,000
Liability Derivatives, Fair Value	323,123,000	403,952,000
Not Designated as Hedging Instrument | Mortgage Banking Derivatives | RPA-Out
Derivatives, Fair Value [Line Items]
Asset Derivatives, Notional Amounts	1,973,000	3,283,000
Asset Derivatives, Fair Value	16,000	32,000
Not Designated as Hedging Instrument | Mortgage Banking Derivatives | RPA-In
Derivatives, Fair Value [Line Items]
Liability Derivatives, Notional Amount	0	0
Liability Derivatives, Fair Value	0	0
Not Designated as Hedging Instrument | Other
Derivatives, Fair Value [Line Items]
Asset Derivatives, Notional Amounts	169,276,000	161,934,000
Asset Derivatives, Fair Value	171,000	134,000
Liability Derivatives, Notional Amount	659,603,000	606,478,000
Liability Derivatives, Fair Value	651,000	915,000
Not Designated as Hedging Instrument | Interest Rate Swap, CME
Derivatives, Fair Value [Line Items]
Asset Derivatives, Notional Amounts	2,400,000,000	2,700,000,000
Liability Derivatives, Notional Amount	1,900,000	0
Not Designated as Hedging Instrument | Credit Risk Contract | RPA-Out
Derivatives, Fair Value [Line Items]
Asset Derivatives, Notional Amounts	154,900,000	125,600,000
Not Designated as Hedging Instrument | Credit Risk Contract | RPA-In
Derivatives, Fair Value [Line Items]
Liability Derivatives, Notional Amount	589,700,000	559,200,000
Interest Rate Lock Commitments
Derivatives, Fair Value [Line Items]
Other commitment	$ 3,800,000	$ 2,400,000

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Derivative Financial Instruments (Offsetting Derivatives) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Derivative [Line Items]
Asset Derivatives, Fair Value, Less: Master netting agreements	$ 30,506	$ 16,129
Asset derivatives	32,869	22,682
Liability Derivatives, Fair Value, Less: Master netting agreements	30,506	16,129
Liability derivatives	298,361	398,370
Hedge Accounting Positions
Derivative [Line Items]
Asset Derivatives, Fair Value	220,259	217,246
Asset Derivatives, Fair Value, Less: Master netting agreements	30,506	16,129
Asset derivatives	181,853	184,095
Asset derivatives, amounts not offset	7,900	17,022
Asset derivatives, net amounts	8,270	17,392
Liability Derivatives, Fair Value	31,360	16,129
Liability Derivatives, Fair Value, Less: Master netting agreements	30,506	16,129
Liability derivatives	400	0
Liability derivatives, amounts not offset	454	0
Liability derivatives, net amounts	$ 5,032	$ 1,545

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Derivative Financial Instruments (Income Statement Effect) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)		$ 6,793
Not Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	$ (4,438)
Interest Rate Derivatives | Operating Expense | Not Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	(3,687)	6,445
Mortgage Banking Derivatives | Operating Expense | Not Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	(16)	(49)
Other | Operating Expense | Not Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	(735)	397
Cash Flow Hedging | Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	(812)	2,483
Cash Flow Hedging | Interest Rate Derivatives | Operating Expense | Not Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	76	76
Cash Flow Hedging | Interest Rate Derivatives | Other Income | Not Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	(736)	2,559
Fair Value Hedging [Member] | Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	(192)	0
Fair Value Hedging [Member] | Operating Expense | Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	10,427	0
Fair Value Hedging [Member] | Operating Expense | Designated as Hedging Instrument | Long-term Debt
Derivative Instruments, Gain (Loss) [Line Items]
Gain (loss)	$ (10,235)	$ 0

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Derivative Financial Instruments Impact of Fair Value Hedging Adjustment (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Long-term Debt
Derivative Instruments, Gain (Loss) [Line Items]
Hedge basis adjustment	$ 32,119	$ 33,458
Hedged Liability, Fair Value Hedge	332,119	333,458
Deposits
Derivative Instruments, Gain (Loss) [Line Items]
Hedge basis adjustment	10,254	0
Hedged Liability, Fair Value Hedge	$ 410,254	$ 0

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Derivative Financial Instruments (AOCI Related to Cash Flow Hedges) (Narrative) (Detail) $ in Millions	3 Months Ended
	Mar. 31, 2023 USD ($)
Derivative Instruments, Gain (Loss) [Line Items]
Unamortized balance	$ 2.1
Maximum length of time over which forecasted transactions are hedged	4 years 10 months 24 days
Cash Flow Hedging
Derivative Instruments, Gain (Loss) [Line Items]
Estimate of amount to be reclassified from AOCL	$ 0.3
Remaining unamortized gain (loss) on termination of cash flow hedges	(0.3)
Cash Flow Hedging | Designated as Hedging Instrument
Derivative Instruments, Gain (Loss) [Line Items]
Estimate of amount to be reclassified from AOCL	$ 9.5

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Derivative Financial Instruments (Counterparty Credit Risk Narrative) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Derivative [Line Items]
Derivative instrument asset, Amount Offset	$ 181,853	$ 184,095
Maximum exposure	24,900
Debit (credit) valuation adjustment	5,300	$ 8,400
Cash and Due from Banks
Derivative [Line Items]
Derivative, Collateral, Right to Reclaim Cash	187,300
Valuation, Market Approach
Derivative [Line Items]
Maximum exposure	97,800
CME
Derivative [Line Items]
Derivative instrument asset, Amount Offset	$ 38,700

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Fair Value Measurements (Narrative) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Jan. 11, 2023	Dec. 31, 2022
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Remaining unfunded commitment			$ 1,724
Broker dealer deposit program, fair value	$ 2,500,000
Unused commitments to extend credit	12,143,452		11,671,663
Loans transferred to held for sale, fair value	209,900		0
Loans in process of foreclosure	16,400
Value under fair value options	811		1,991
interLINK
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Contingent consideration		$ 16,000
Fair Value, Nonrecurring
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Other assets	1,500		2,300
Rabbi Trust
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Other assets	10,000
Alternative investments
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Other assets	28,500		82,700
Carrying amount of alternative investments	500		400
Remaining unfunded commitment	0
Write-down	100
Alternative investments carrying amount	27,000		89,200
Alternative investments | Fair Value, Nonrecurring
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Unused commitments to extend credit	46,100		42,800
Unused commitments to extend credit, fair value	$ 0		$ 5,900

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Fair Value Measurements (Fair Value Option, Disclosures) (Details) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Fair Value, Option, Quantitative Disclosures [Line Items]
Originated loans held for sale, fair value	$ 811	$ 1,991
Originated loans held for sale, unpaid principal balance	210,724	1,991
Originated loans held for sale, difference	127	360
loans held for sale
Fair Value, Option, Quantitative Disclosures [Line Items]
Originated loans held for sale, unpaid principal balance	$ 684	$ 1,631

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Fair Value Measurements (Fair Value Unobservable Inputs) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($) holding
Re-sign Broker Dealers
Fair Value, Option, Quantitative Disclosures [Line Items]
Contingent consideration | $	$ 4,798
Re-sign Broker Dealers | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Contingent consideration | $	4,826
Deposit Program Growth
Fair Value, Option, Quantitative Disclosures [Line Items]
Contingent consideration | $	11,241
Deposit Program Growth | Maximum
Fair Value, Option, Quantitative Disclosures [Line Items]
Contingent consideration | $	$ 12,500
Probability of Achievement | Re-sign Broker Dealers
Fair Value, Option, Quantitative Disclosures [Line Items]
Contingent Consideration, Measurement Input | holding	0.990
Probability of Achievement | Deposit Program Growth
Fair Value, Option, Quantitative Disclosures [Line Items]
Contingent Consideration, Measurement Input | holding	1.000
Payment Term (in years) | Re-sign Broker Dealers
Fair Value, Option, Quantitative Disclosures [Line Items]
Payment Term (in years)	2 months 19 days
Payment Term (in years) | Deposit Program Growth
Fair Value, Option, Quantitative Disclosures [Line Items]
Payment Term (in years)	1 year 11 months 19 days
Discount Rate | Re-sign Broker Dealers
Fair Value, Option, Quantitative Disclosures [Line Items]
Contingent Consideration, Measurement Input | holding	0.0550
Discount Rate | Deposit Program Growth
Fair Value, Option, Quantitative Disclosures [Line Items]
Contingent Consideration, Measurement Input | holding	0.0550

XML

Fair Value Measurements (Fair Value Assets And Liabilities Measured On Recurring and Nonrecurring Basis) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Financial Assets:
Total available-for-sale securities	$ 7,798,977	$ 7,892,697
Asset derivatives	32,869	22,682
Value under fair value options	811	1,991
Financial Liabilities:
Liability derivatives	298,361	398,370
U.S. Treasury notes
Financial Assets:
Total available-for-sale securities	386,772	717,040
Government agency debentures
Financial Assets:
Total available-for-sale securities	262,342	258,374
Municipal bonds and notes
Financial Assets:
Total available-for-sale securities	1,645,228	1,633,202
Agency CMO
Financial Assets:
Total available-for-sale securities	57,462	59,965
Agency MBS
Financial Assets:
Total available-for-sale securities	2,230,850	2,158,024
Agency CMBS
Financial Assets:
Total available-for-sale securities	1,635,252	1,406,486
Non-agency CMBS
Financial Assets:
Total available-for-sale securities	902,058	896,640
CLO
Financial Assets:
Total available-for-sale securities		2,107
Corporate debt securities
Financial Assets:
Total available-for-sale securities	625,523	704,412
Private label MBS
Financial Assets:
Total available-for-sale securities	44,262	44,249
Other
Financial Assets:
Total available-for-sale securities	9,228	12,198
Fair Value, Recurring
Financial Assets:
Total available-for-sale securities	7,798,977	7,892,697
Alternative investments	27,486	89,678
Total financial assets	8,084,494	8,219,375
Financial Liabilities:
Liability derivatives	329,267	414,499
Contingent consideration	16,039
Liabilities, Fair Value Disclosure	345,306
Fair Value, Recurring | Level 1
Financial Assets:
Total available-for-sale securities	386,772	717,040
Alternative investments	476	430
Total financial assets	399,322	729,652
Financial Liabilities:
Liability derivatives	557	843
Contingent consideration	0
Liabilities, Fair Value Disclosure	557
Fair Value, Recurring | Level 2
Financial Assets:
Total available-for-sale securities	7,412,205	7,175,657
Alternative investments	0	0
Total financial assets	7,658,162	7,400,475
Financial Liabilities:
Liability derivatives	328,710	413,656
Contingent consideration	0
Liabilities, Fair Value Disclosure	328,710
Fair Value, Recurring | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Alternative investments	0	0
Total financial assets	0	0
Financial Liabilities:
Liability derivatives	0	0
Contingent consideration	16,039
Liabilities, Fair Value Disclosure	16,039
Fair Value, Recurring | Derivative instruments
Financial Assets:
Asset derivatives	245,228	222,906
Fair Value, Recurring | Derivative instruments | Level 1
Financial Assets:
Asset derivatives	82	79
Fair Value, Recurring | Derivative instruments | Level 2
Financial Assets:
Asset derivatives	245,146	222,827
Fair Value, Recurring | Derivative instruments | Level 3
Financial Assets:
Asset derivatives	0	0
Fair Value, Recurring | Loan Origination Commitments
Financial Assets:
Value under fair value options	811	1,991
Fair Value, Recurring | Loan Origination Commitments | Level 1
Financial Assets:
Value under fair value options	0	0
Fair Value, Recurring | Loan Origination Commitments | Level 2
Financial Assets:
Value under fair value options	811	1,991
Fair Value, Recurring | Loan Origination Commitments | Level 3
Financial Assets:
Value under fair value options	0	0
Fair Value, Recurring | Investments Held In Rabbi Trust
Financial Assets:
Other assets	11,992	12,103
Fair Value, Recurring | Investments Held In Rabbi Trust | Level 1
Financial Assets:
Other assets	11,992	12,103
Fair Value, Recurring | Investments Held In Rabbi Trust | Level 2
Financial Assets:
Other assets	0	0
Fair Value, Recurring | Investments Held In Rabbi Trust | Level 3
Financial Assets:
Other assets	0	0
Fair Value, Recurring | U.S. Treasury notes
Financial Assets:
Total available-for-sale securities	386,772	717,040
Fair Value, Recurring | U.S. Treasury notes | Level 1
Financial Assets:
Total available-for-sale securities	386,772	717,040
Fair Value, Recurring | U.S. Treasury notes | Level 2
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | U.S. Treasury notes | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Government agency debentures
Financial Assets:
Total available-for-sale securities	262,342	258,374
Fair Value, Recurring | Government agency debentures | Level 1
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Government agency debentures | Level 2
Financial Assets:
Total available-for-sale securities	262,342	258,374
Fair Value, Recurring | Government agency debentures | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Municipal bonds and notes
Financial Assets:
Total available-for-sale securities	1,645,228	1,633,202
Fair Value, Recurring | Municipal bonds and notes | Level 1
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Municipal bonds and notes | Level 2
Financial Assets:
Total available-for-sale securities	1,645,228	1,633,202
Fair Value, Recurring | Municipal bonds and notes | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Agency CMO
Financial Assets:
Total available-for-sale securities	57,462	59,965
Fair Value, Recurring | Agency CMO | Level 1
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Agency CMO | Level 2
Financial Assets:
Total available-for-sale securities	57,462	59,965
Fair Value, Recurring | Agency CMO | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Agency MBS
Financial Assets:
Total available-for-sale securities	2,230,850	2,158,024
Fair Value, Recurring | Agency MBS | Level 1
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Agency MBS | Level 2
Financial Assets:
Total available-for-sale securities	2,230,850	2,158,024
Fair Value, Recurring | Agency MBS | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Agency CMBS
Financial Assets:
Total available-for-sale securities	1,635,252	1,406,486
Fair Value, Recurring | Agency CMBS | Level 1
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Agency CMBS | Level 2
Financial Assets:
Total available-for-sale securities	1,635,252	1,406,486
Fair Value, Recurring | Agency CMBS | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Non-agency CMBS
Financial Assets:
Total available-for-sale securities	902,058	896,640
Fair Value, Recurring | Non-agency CMBS | Level 1
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Non-agency CMBS | Level 2
Financial Assets:
Total available-for-sale securities	902,058	896,640
Fair Value, Recurring | Non-agency CMBS | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | CLO
Financial Assets:
Total available-for-sale securities		2,107
Fair Value, Recurring | CLO | Level 1
Financial Assets:
Total available-for-sale securities		0
Fair Value, Recurring | CLO | Level 2
Financial Assets:
Total available-for-sale securities		2,107
Fair Value, Recurring | CLO | Level 3
Financial Assets:
Total available-for-sale securities		0
Fair Value, Recurring | Corporate debt securities
Financial Assets:
Total available-for-sale securities	625,523	704,412
Fair Value, Recurring | Corporate debt securities | Level 1
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Corporate debt securities | Level 2
Financial Assets:
Total available-for-sale securities	625,523	704,412
Fair Value, Recurring | Corporate debt securities | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Private label MBS
Financial Assets:
Total available-for-sale securities	44,262	44,249
Fair Value, Recurring | Private label MBS | Level 1
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Private label MBS | Level 2
Financial Assets:
Total available-for-sale securities	44,262	44,249
Fair Value, Recurring | Private label MBS | Level 3
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Other
Financial Assets:
Total available-for-sale securities	9,228	12,198
Fair Value, Recurring | Other | Level 1
Financial Assets:
Total available-for-sale securities	0	0
Fair Value, Recurring | Other | Level 2
Financial Assets:
Total available-for-sale securities	9,228	12,198
Fair Value, Recurring | Other | Level 3
Financial Assets:
Total available-for-sale securities	$ 0	$ 0

XML

Fair Value Measurements (Summary Of Estimated Fair Values Of Significant Financial Instruments) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2022	Dec. 31, 2021
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fair Value	$ 6,320,682	$ 5,761,453
Mortgage servicing assets, Carrying Amount	9,189	9,515	$ 9,735	$ 9,237
Fair Value, Nonrecurring | Reported Value Measurement
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	2,434,071	839,943
Held-to-maturity investment securities	7,063,223	6,564,697
Loans and leases, net	50,312,609	49,169,685
Securities sold under agreements to repurchase and other borrowings	306,154	1,151,830
FHLB advances	8,560,461	5,460,552
Long-term debt	1,071,413	1,073,128
Fair Value, Nonrecurring | Reported Value Measurement | Deposits Liabilities, other than time deposits
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Time deposits	50,767,700	49,893,391
Fair Value, Nonrecurring | Reported Value Measurement | Time Deposits
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Time deposits	4,529,779	4,160,949
Fair Value, Nonrecurring | Reported Value Measurement | Residential
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Mortgage servicing assets, Carrying Amount	9,189	9,515
Fair Value, Nonrecurring | Estimate of Fair Value Measurement | Level 1
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Cash and cash equivalents	2,434,071	839,943
Fair Value, Nonrecurring | Estimate of Fair Value Measurement | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Fair Value	6,320,682	5,761,453
Securities sold under agreements to repurchase and other borrowings	306,113	1,151,797
FHLB advances	8,560,329	5,459,218
Long-term debt	1,005,178	1,001,779
Fair Value, Nonrecurring | Estimate of Fair Value Measurement | Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Loans and leases, net	48,825,894	47,604,463
Fair Value, Nonrecurring | Estimate of Fair Value Measurement | Deposits Liabilities, other than time deposits | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Time deposits	50,767,700	49,893,391
Fair Value, Nonrecurring | Estimate of Fair Value Measurement | Time Deposits | Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Time deposits	4,471,757	4,091,979
Fair Value, Nonrecurring | Estimate of Fair Value Measurement | Residential | Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Mortgage servicing assets, Fair value	$ 26,959	$ 27,043

XML

Retirement Benefit Plans (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Defined Benefit Plan Disclosure [Line Items]
Weighted-average expected long-term rate of return	5.50%
Pension Plan
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 0	$ 0
Interest cost	2,211	1,377
Expected return on plan assets	(2,699)	(3,669)
Amortization of actuarial loss (gain)	1,216	422
Net periodic benefit (income) cost	728	(1,870)
SERP
Defined Benefit Plan Disclosure [Line Items]
Service cost	0	0
Interest cost	67	15
Expected return on plan assets	0	0
Amortization of actuarial loss (gain)	1	7
Net periodic benefit (income) cost	68	22
OPEB
Defined Benefit Plan Disclosure [Line Items]
Service cost	7	6
Interest cost	380	144
Expected return on plan assets	0	0
Amortization of actuarial loss (gain)	(675)	(18)
Net periodic benefit (income) cost	$ (288)	$ 132

XML

Segment Reporting (Narrative) (Details) $ in Thousands	3 Months Ended
	Mar. 31, 2023 USD ($) Segment	Dec. 31, 2022 USD ($)	Mar. 31, 2022 USD ($)	Jan. 31, 2022 USD ($)	Jan. 01, 2022 USD ($)	Dec. 31, 2021 USD ($)
Segment Reporting Information [Line Items]
Number of reportable segments | Segment	3
Deposits	$ 55,297,479	$ 54,054,340
Goodwill	$ 2,631,465	$ 2,514,104	$ 2,514,104			$ 538,373
Sterling
Segment Reporting Information [Line Items]
Goodwill				$ 1,914,204	$ 1,900,000
Commercial Banking | Sterling
Segment Reporting Information [Line Items]
Goodwill				1,700,000
Consumer Banking | Sterling
Segment Reporting Information [Line Items]
Goodwill				$ 200,000
HSA Bank | Bend
Segment Reporting Information [Line Items]
Goodwill					$ 35,700

XML

Segment Reporting (Operating Results and Total Assets Reportable Segments) (Detail) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022	Dec. 31, 2021
Segment Reporting Information [Line Items]
Goodwill	$ 2,631,465	$ 2,514,104	$ 2,514,104	$ 538,373
Assets	74,844,395		71,277,521
Net interest income	595,283	394,248
Non-interest income	70,766	104,035
Non-interest expense	332,467	359,785
Pre-tax, pre-provision net revenue	333,582	138,498
Provision for credit losses	46,749	188,845
Income (loss) before income taxes	286,833	(50,347)
Income tax expense (benefit)	65,829	(33,600)
Net income (loss)	221,004	(16,747)
Operating Segments | Commercial Banking
Segment Reporting Information [Line Items]
Goodwill	2,029,204		1,904,291
Assets	45,868,138		44,380,582
Net interest income	384,314	287,069
Non-interest income	35,397	38,743
Non-interest expense	108,509	89,240
Pre-tax, pre-provision net revenue	311,202	236,572
Provision for credit losses	36,037	181,931
Income (loss) before income taxes	275,165	54,641
Income tax expense (benefit)	69,066	10,055
Net income (loss)	206,099	44,586
Operating Segments | HSA Bank
Segment Reporting Information [Line Items]
Goodwill	57,485		57,779
Assets	123,478		122,729
Net interest income	71,730	44,577
Non-interest income	24,067	26,958
Non-interest expense	43,700	36,409
Pre-tax, pre-provision net revenue	52,097	35,126
Provision for credit losses	0	0
Income (loss) before income taxes	52,097	35,126
Income tax expense (benefit)	14,066	9,414
Net income (loss)	38,031	25,712
Operating Segments | Consumer Banking
Segment Reporting Information [Line Items]
Goodwill	544,776		552,034
Assets	10,597,860		10,625,334
Net interest income	210,583	136,677
Non-interest income	25,959	27,901
Non-interest expense	106,879	95,510
Pre-tax, pre-provision net revenue	129,663	69,068
Provision for credit losses	1,784	7,136
Income (loss) before income taxes	127,879	61,932
Income tax expense (benefit)	33,760	16,053
Net income (loss)	94,119	45,879
Corporate, Non-Segment
Segment Reporting Information [Line Items]
Goodwill	0		0
Assets	18,254,919		$ 16,148,876
Net interest income	(71,344)	(74,075)
Non-interest income	(14,657)	10,433
Non-interest expense	73,379	138,626
Pre-tax, pre-provision net revenue	(159,380)	(202,268)
Provision for credit losses	8,928	(222)
Income (loss) before income taxes	(168,308)	(202,046)
Income tax expense (benefit)	(51,063)	(69,122)
Net income (loss)	$ (117,245)	$ (132,924)

XML

Revenue from Contracts with Customers (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	$ 59,715	$ 65,131
Non-interest income	70,766	104,035
Deposit service fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	45,436	47,827
Loan and lease related fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	4,427	4,498
Wealth and investment services
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	6,587	10,597
Other non interest income
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	3,265	2,209
Non-interest income within the scope of other GAAP topics
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	11,051
Non-interest income		38,904
Operating Segments | Commercial Banking
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	12,584	14,317
Non-interest income	35,397	38,743
Operating Segments | Commercial Banking | Deposit service fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	5,390	6,685
Operating Segments | Commercial Banking | Loan and lease related fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	4,427	4,498
Operating Segments | Commercial Banking | Wealth and investment services
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	2,767	3,134
Operating Segments | Commercial Banking | Other non interest income
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	0	0
Operating Segments | Commercial Banking | Non-interest income within the scope of other GAAP topics
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	22,813
Non-interest income		24,426
Operating Segments | HSA Bank
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	24,067	26,958
Non-interest income	24,067	26,958
Operating Segments | HSA Bank | Deposit service fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	22,092	25,134
Operating Segments | HSA Bank | Loan and lease related fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	0	0
Operating Segments | HSA Bank | Wealth and investment services
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	0	0
Operating Segments | HSA Bank | Other non interest income
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	1,975	1,824
Operating Segments | HSA Bank | Non-interest income within the scope of other GAAP topics
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	0
Non-interest income		0
Operating Segments | Consumer Banking
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	22,210	23,819
Non-interest income	25,959	27,901
Operating Segments | Consumer Banking | Deposit service fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	18,024	15,963
Operating Segments | Consumer Banking | Loan and lease related fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	0	0
Operating Segments | Consumer Banking | Wealth and investment services
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	3,828	7,471
Operating Segments | Consumer Banking | Other non interest income
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	358	385
Operating Segments | Consumer Banking | Non-interest income within the scope of other GAAP topics
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	3,749
Non-interest income		4,082
Corporate, Non-Segment
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	854	37
Non-interest income	(14,657)	10,433
Corporate, Non-Segment | Deposit service fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	(70)	45
Corporate, Non-Segment | Loan and lease related fees
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	0	0
Corporate, Non-Segment | Wealth and investment services
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	(8)	(8)
Corporate, Non-Segment | Other non interest income
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	932	0
Corporate, Non-Segment | Non-interest income within the scope of other GAAP topics
Disaggregation of Revenue [Line Items]
Revenue from contract with customer	$ (15,511)
Non-interest income		$ 10,396

XML

Commitments and Contingencies (Outstanding Financial Instruments Contract Amounts Represent Credit Risk) (Detail) - USD ($) $ in Thousands	Mar. 31, 2023	Dec. 31, 2022
Loss Contingencies [Line Items]
Unused commitments to extend credit	$ 12,143,452	$ 11,671,663
Standby letter of credit
Loss Contingencies [Line Items]
Unused commitments to extend credit	378,585	380,655
Commercial letter of credit
Loss Contingencies [Line Items]
Unused commitments to extend credit	52,987	53,512
Commitments to extend credit
Loss Contingencies [Line Items]
Unused commitments to extend credit	$ 11,711,880	$ 11,237,496

XML

Commitments and Contingencies (Reserve for Unfunded Commitments) (Detail) - SEC Schedule, 12-09, Allowance, Credit Loss $ in Thousands	Mar. 31, 2023 USD ($)
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]
Balance, beginning of period	$ 27,700
Balance, end of period	$ 26,100

XML

Business Combinations and Asset Acquisitions (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2023	Mar. 31, 2022	Dec. 31, 2022	Dec. 31, 2020
Schedule of Restructuring Reserve by Type of Cost [Line Items]
Accrued severance and other benefits	$ 29,736	$ 49,860	$ 37,945	$ 10,835
Strategic initiative charges	6,196	44,675
Payments for Restructuring	(6,993)	(1,766)
Adjustments	(7,412)	(3,884)
Compensation and benefits
Schedule of Restructuring Reserve by Type of Cost [Line Items]
Accrued severance and other benefits	5,961	32,156	7,583	10,835
Strategic initiative charges	6,196	26,971
Payments for Restructuring	(6,993)	(1,766)
Adjustments	(825)	(3,884)
Occupancy
Schedule of Restructuring Reserve by Type of Cost [Line Items]
Accrued severance and other benefits	23,775	17,704	$ 30,362	$ 0
Strategic initiative charges	0	17,704
Payments for Restructuring	0	0
Adjustments	$ (6,587)	$ 0