Derivatives and Hedging Activities (Tables)

6 Months Ended

Jun. 30, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of Derivative Instruments in Statement of Financial Position, Fair Value [Table Text Block]

The following table presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated balance sheets as of June 30, 2018 and December 31, 2017:

	June 30, 2018							December 31, 2017
	Asset derivatives			Liability derivatives				Asset derivatives			Liability derivatives
	Balance sheet location	Fair value (1)		Balance sheet location	Fair value (1)			Balance sheet location	Fair value (1)		Balance sheet location	Fair value (1)
	(In thousands)
Derivatives designated as hedging instruments:
Interest rate products	Other assets	$	1,197	Other liabilities	$	—		Other assets	$	555	Other liabilities	$	(80	)
Derivatives not designated as hedging instruments:
Interest rate products	Other assets	26,865		Other liabilities	(27,290		)	Other assets	18,575		Other liabilities	(18,953		)
Foreign exchange contracts	Other assets	1		Other liabilities	(1		)	Other assets	2		Other liabilities	(2		)
Risk participation agreements	Other assets	24		Other liabilities	(113		)	Other assets	1		Other liabilities	(108		)
Total		$	28,087		$	(27,404	)		$	19,133		$	(19,143	)

_____________________

(1) For additional details, see Part I. Item 1. “Notes to Unaudited Consolidated Financial Statements - Note 5: Fair Value Measurements.”

Schedule of Derivative Instruments, Gain (Loss) in Statement of Financial Performance [Table Text Block]

The following tables present the effect of the Company’s derivative financial instruments on accumulated other comprehensive income for the three and six months ended June 30, 2018 and 2017:

Derivatives in cash flow hedging relationships	Amount of gain or (loss) recognized in OCI on derivatives (1)					Location of (gain) or loss reclassified from accumulated OCI into income	Amount of (gain) or loss reclassified from accumulated OCI into income
	Three months ended June 30,						Three months ended June 30,
	2018		2017				2018			2017
	(In thousands)						(In thousands)
Interest rate products	$	175	$	(425	)	Interest expense	$	(263	)	$	357
Total	$	175	$	(425	)		$	(263	)	$	357

____________________

(1) There was an additional $2 thousand gain related to the ineffective portion for the three months ended as of June 30, 2017.

Derivatives in cash flow hedging relationships	Amount of gain or (loss) recognized in OCI on derivatives (1)					Location of (gain) or loss reclassified from accumulated OCI into income	Amount of (gain) or loss reclassified from accumulated OCI into income
	Six months ended June 30,						Six months ended June 30,
	2018		2017				2018			2017
	(In thousands)						(In thousands)
Interest rate products	$	1,011	$	(358	)	Interest expense	$	(284	)	$	660
Total	$	1,011	$	(358	)		$	(284	)	$	660

____________________

(1) There was an additional $(2) thousand loss related to the ineffective portion for the six months ended as of June 30, 2017. The guidance in ASU 2017-12 requires that amounts in accumulated other comprehensive income that are included in the assessment of effectiveness should be reclassified into earnings in the same period in which the hedged forecasted transactions impact earnings. Transition guidance for this ASU further states that upon adoption, previously recorded cumulative ineffectiveness for cash flow hedges existing at the adoption date be eliminated by means of a cumulative-effect adjustment to accumulated other comprehensive income with a corresponding adjustment to the opening balance of retained earnings as of the initial application date. There was a $5 thousand reclassification related to the adoption of ASU 2017-12 effective January 1, 2018.

Schedule of Derivative Instruments, Effect on Other Comprehensive Income (Loss) [Table Text Block]

The following table presents the effect of the Company’s derivative financial instruments in the consolidated statements of operations for the three and six months ended June 30, 2018 and 2017:

	Location of (gain) or loss reclassified from accumulated OCI into income	Amount of (gain) or loss recognized in income on cash flow hedging relationships				Amount of (gain) or loss recognized in income on cash flow hedging relationships
		Three months ended June 30,				Six months ended June 30,
		2018			2017	2018			2017
		(In thousands)
Total amounts of (income) and expense line items presented in the statement of operations in which the effects of fair value or cash flow hedges are recorded	Interest expense	$	(263	)	n/a	$	(284	)	n/a
The effects of cash flow hedging:
(Gain) or loss on cash flow hedging relationships in ASC 815 Derivatives and Hedging, Subtopic 20 Hedging - general
Interest contracts - amount of (gain) or loss reclassified from accumulated other comprehensive income into income	Interest expense	$	(263	)	n/a	$	(284	)	n/a

Derivatives Not Designated as Hedging Instruments [Table Text Block]

The following table presents the effect of the Bank’s derivative financial instruments not designated as hedging instruments in the consolidated statement of operations for the three and six months ended June 30, 2018 and 2017.

		Amount of gain or (loss), net, recognized in income on derivatives
Derivatives not designated as hedging instruments	Location of gain or (loss) recognized in income on derivatives	Three months ended June 30,						Six months ended June 30,
		2018			2017			2018			2017
		(In thousands)
Interest rate products	Other income/ (expense)	$	(139	)	$	(324	)	$	(47	)	$	(646	)
Risk participation agreements	Other income/ (expense)	47			320			213			320
Total		$	(92	)	$	(4	)	$	166		$	(326	)