Allowance for Credit Losses (Tables)

6 Months Ended

Jun. 30, 2021

Allowance for Loan and Lease Losses by Portfolio Segment

The allowance for credit losses on loans is summarized in the following table:


	For the Three Months Ended June 30,				For the Six Months Ended June 30,
(in thousands)	2021		2020		2021		2020
Balance at beginning of the period	$	67,252	$	48,884	$	71,124	$	40,003

Charge-offs	(1,861)		(141)		(3,132)		(624)
Recoveries	312		96		519		237
Net (charge-offs) recoveries	(1,549)		(45)		(2,613)		(387)
(Benefit) provision for credit loss - loans	(5,314)		9,000		(8,122)		18,223
Balance at end of the period	60,389		57,839		$	60,389	$	57,839

The following tables detail activity in the allowance for credit losses by portfolio segment for the three and six months ended June 30, 2021 and 2020:


(in thousands)	Balance at 3/31/2021		Charge-offs		Recoveries		(Benefit) Provision for Credit Loss		Balance at 6/30/2021
Non-owner occupied commercial	$	23,880	$	(1,650)	$	1	$	(1,325)	$	20,906
Owner occupied commercial	4,003		—		9		88		4,100
Multifamily	7,508		—		—		(331)		7,177
Non-owner occupied residential	2,883		(3)		11		(299)		2,592
Commercial, industrial and other	12,139		(110)		105		(1,645)		10,489
Construction	1,129		—		42		(137)		1,034
Equipment finance	6,264		(10)		6		(1,140)		5,120
Residential mortgage	3,781		(36)		118		22		3,885
Consumer	5,665		(52)		20		(547)		5,086
Total	$	67,252	$	(1,861)	$	312	$	(5,314)	$	60,389


(in thousands)	Balance at 3/31/2020		Charge-offs		Recoveries		(Benefit) Provision for Credit Loss		Balance at 6/30/2020




Commercial, secured by real estate (1)	34,793		$	—	$	21	$	8,466	43,280
Commercial, industrial and other	5,489		—		13		(804)		4,698
Construction	3,344		—		16		(241)		3,119
Equipment finance	1,257		(14)		24		1,704		2,971
Residential mortgage	1,600		—		—		(164)		1,436
Consumer	2,401		(127)		22		39		2,335
Total	$	48,884	$	(141)	$	96	$	9,000	$	57,839


(in thousands)	Balance at 12/31/2020		Charge-offs		Recoveries		(Benefit) Provision for Credit Loss		Balance at 6/30/2021
Non-owner occupied commercial	$	25,910	$	(2,243)	$	3	$	(2,764)	$	20,906
Owner occupied commercial	3,955		(78)		17		206		4,100
Multifamily	7,253		—		—		(76)		7,177
Non-owner occupied residential	3,321		(212)		13		(530)		2,592
Commercial, industrial and other	13,665		(375)		149		(2,950)		10,489
Construction	786		—		67		181		1,034
Equipment finance	6,552		(104)		17		(1,345)		5,120
Residential mortgage	3,623		(36)		176		122		3,885
Consumer	6,059		(84)		77		(966)		5,086
Total	$	71,124	$	(3,132)	$	519	$	(8,122)	$	60,389


(in thousands)	Balance at 12/31/2019		Charge-offs		Recoveries		(Benefit) Provision for Credit Loss		Balance at 6/30/2020




Commercial, secured by real estate (1)	$	28,950	$	(169)	$	47	$	14,452	43,280
Commercial, industrial and other	3,289		—		43		1,366		4,698
Construction	2,672		—		48		399		3,119
Equipment finance	957		(98)		38		2,074		2,971
Residential mortgage	1,725		(116)		20		(193)		1,436
Consumer	2,410		(241)		41		125		2,335
Total	$	40,003	$	(624)	$	237	$	18,223	$	57,839

(1) With the adoption of ASU 2016-13 in 2020, the Company expanded its portfolio segments.

The following tables present the recorded investment in loans by portfolio segment and the related allowance for credit losses at June 30, 2021 and December 31, 2020:


June 30, 2021	Loans								Allowance for Credit Losses
(in thousands)	Individually evaluated		Collectively evaluated		Acquired with deteriorated credit quality		Total		Individually evaluated		Collectively evaluated		Total
Non-owner occupied commercial	$	9,093	$	2,318,592	$	2,691	$	2,330,376	273		$	20,633	$	20,906
Owner occupied commercial	9,958		860,000		577		870,535		78		4,022		4,100
Multifamily	—		902,394		—		902,394		—		7,177		7,177
Non-owner occupied residential	769		188,841		155		189,765		—		2,592		2,592
Commercial, industrial and other	744		563,844		1,116		565,704		638		9,851		10,489
Construction	515		334,652		—		335,167		—		1,034		1,034
Equipment finance	—		121,096		—		121,096		—		5,120		5,120
Residential mortgage	736		390,853		—		391,589		—		3,885		3,885
Consumer	—		281,967		239		282,206		—		5,086		5,086
Total loans	$	21,815	$	5,962,239	$	4,778	$	5,988,832	$	989	$	59,400	$	60,389


December 31, 2020	Loans								Allowance for Credit Losses
(in thousands)	Individually evaluated for impairment		Collectively evaluated for impairment		Acquired with deteriorated credit quality		Total		Individually evaluated for impairment		Collectively evaluated for impairment		Total
Non owner occupied commercial	$	12,112	$	2,382,717	$	4,117	2,398,946		$	355	$	25,555	$	25,910
Owner occupied commercial	16,547		809,935		610		827,092		96		3,859		3,955
Multifamily	—		813,225		—		813,225		—		7,253		7,253
Non owner occupied residential	1,459		198,334		436		200,229		43		3,278		3,321
Commercial, industrial and other	1,596		715,129		1,464		718,189		830		12,835		13,665
Construction	515		265,649		719		266,883		—		786		786
Equipment finance	—		116,690		—		116,690		—		6,552		6,552
Residential mortgage	1,490		375,482		408		377,380		—		3,623		3,623
Consumer	—		302,099		499		302,598		31		6,028		6,059
Total loans	$	33,719	$	5,979,260	$	8,253	$	6,021,232	$	1,355	$	69,769	$	71,124