Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2024

The following table compares the fair value to the UPB of originated loans held for sale:


	At March 31, 2024						At December 31, 2023
(In thousands)	Fair Value		UPB		Difference		Fair Value		UPB		Difference
Originated loans held for sale	$	323	$	316	$	7	$	2,610	$	2,658	$	(48)

Fair Value Measurement Inputs and Valuation Techniques

The following tables summarize the unobservable inputs used to derive the estimated fair value of the Company’s contingent consideration liabilities (dollars in thousands):


	At March 31, 2024
Agreement	Maximum Amount		Probability of Achievement	Payment Term (in years)	Discount Rate	Fair Value
(i) Re-sign broker dealers (1)	$	207	99.0 %	1.63	6.40 %	$	182
(ii) Deposit program growth	$	12,500	100.0 %	0.75	6.40 %	$	11,568


	At December 31, 2023
Agreement	Maximum Amount		Probability of Achievement	Payment Term (in years)	Discount Rate	Fair Value
(i) Re-sign broker dealers (1)	$	4,826	99.0 %	1.88	6.40 %	$	4,232
(ii) Deposit program growth	$	12,500	100.0 %	1.00	6.40 %	$	11,568

(1)The Company re-signed one of the existing broker dealers under contract in January 2024, which resulted in the cash payment of $4.6 million during the three months ended March 31, 2024, to settle a portion of its contingent consideration obligation with StoneCastle Partners LLC in accordance with the purchase agreement.

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, 2024
(In thousands)	Level 1		Level 2		Level 3		Total
Financial Assets:
Available-for-sale securities:

Government agency debentures	$	—	$	262,488	$	—	$	262,488
Municipal bonds and notes	—		1,207,350		—		1,207,350
Agency CMO	—		46,236		—		46,236
Agency MBS	—		3,364,414		—		3,364,414
Agency CMBS	—		2,321,230		—		2,321,230
CMBS	—		731,851		—		731,851

Corporate debt	—		617,209		—		617,209
Private label MBS	—		41,308		—		41,308
Other	—		9,055		—		9,055
Total available-for-sale securities	—		8,601,141		—		8,601,141
Gross derivative instruments, before netting (1)	594		362,948		—		363,542
Originated loans held for sale	—		323		—		323
Investments held in Rabbi Trusts	12,545		—		—		12,545
Alternative investments	1,221		—		—		1,221
Alternative investments measured at NAV (2)	—		—		—		38,620
Total financial assets	$	14,360	$	8,964,412	$	—	$	9,017,392
Financial Liabilities:
Gross derivative instruments, before netting (1)	$	160	$	407,233	$	—	$	407,393
Contingent consideration	—		—		11,750		11,750
Total financial liabilities	$	160	$	407,233	$	11,750	$	419,143


	At December 31, 2023
(In thousands)	Level 1		Level 2		Level 3		Total
Financial Assets:
Available-for-sale securities:

Government agency debentures	$	—	$	264,633	$	—	$	264,633
Municipal bonds and notes	—		1,573,233		—		1,573,233
Agency CMO	—		48,941		—		48,941
Agency MBS	—		3,347,098		—		3,347,098
Agency CMBS	—		2,288,071		—		2,288,071
CMBS	—		763,749		—		763,749

Corporate debt	—		622,155		—		622,155
Private label MBS	—		42,808		—		42,808
Other	—		9,041		—		9,041
Total available-for-sale securities	—		8,959,729		—		8,959,729
Gross derivative instruments, before netting (1)	217		330,419		—		330,636
Originated loans held for sale	—		2,610		—		2,610
Investments held in Rabbi Trusts	11,900		—		—		11,900
Alternative investments	959		—		—		959
Alternative investments measured at NAV (2)	—		—		—		35,888
Total financial assets	$	13,076	$	9,292,758	$	—	$	9,341,722
Financial Liabilities:
Gross derivative instruments, before netting (1)	$	970	$	334,840	$	—	$	335,810
Contingent consideration	—		—		15,800		15,800
Total financial liabilities	$	970	$	334,840	$	15,800	$	351,610

(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 12: 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, 2024				At December 31, 2023
(In thousands)	Carrying Amount		Fair Value		Carrying Amount		Fair Value
Assets:
Level 1
Cash and cash equivalents	$	1,545,228	$	1,545,228	$	1,715,795	$	1,715,795
Level 2
Held-to-maturity investment securities, net	7,679,891		6,782,867		7,074,588		6,264,623
Level 3
Loans and leases, net	50,457,200		48,348,067		50,090,315		48,048,106
Mortgage servicing rights	1,514		3,973		8,523		24,495
Liabilities:
Level 2
Deposit liabilities	$	53,810,423	$	53,810,423	$	52,319,825	$	52,319,825
Time deposits	6,937,320		6,902,736		8,464,459		8,426,708
Securities sold under agreements to repurchase and other borrowings	361,886		361,867		458,387		458,380
FHLB advances	3,659,930		3,657,612		2,360,018		2,358,381
Long-term debt (1)	914,520		852,877		1,048,820		999,918

(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.