Allowance for Credit Losses (Tables)

12 Months Ended

Dec. 31, 2023

Allowance for Loan and Lease Losses by Portfolio Segment and Related Recorded Investment in Loans and Leases

Allowance for Credit Losses - Loans

The allowance for credit losses is summarized in the following table.


(in thousands)	2023		2022
Balance at beginning of the period	$	70,264	$	58,047

Initial allowance for credit losses on PCD loans	—		12,077
Charge-offs on PCD loans	—		(7,634)
Charge-offs	(769)		(733)
Recoveries	460		819
Net (charge-offs) recoveries	(309)		(7,548)
Provision for credit loss - loans	7,208		7,688
Balance at end of the period	$	77,163	$	70,264

The following tables detail activity in the allowance for credit losses by portfolio segment for the years ended December 31, 2023 and 2022.


(in thousands)	Balance at December 31, 2022		Charge-offs		Recoveries		Provision (Benefit) for Credit Loss - Loans		Balance at December 31, 2023
Non-owner occupied commercial	$	23,462	$	—	$	—	$	857	$	24,319
Owner occupied commercial	6,696		—		6		(315)		6,387
Multifamily	9,425		—		—		321		9,746
Non-owner occupied residential	2,643		—		—		(243)		2,400

Commercial, industrial and other	8,836		(27)		232		3		9,044
Construction	2,968		(13)		—		(709)		2,246
Equipment finance	3,445		(307)		30		4,353		7,521
Residential mortgage	8,041		(128)		—		2,473		10,386
Consumer	4,748		(294)		192		468		5,114
Total	$	70,264	$	(769)	$	460	$	7,208	$	77,163


(in thousands)	Balance at December 31, 2021		Initial allowance for credit losses on PCD loans		Charge-offs		Recoveries		Provision (Benefit) for Credit Loss - Loans		Balance at December 31, 2022
Non owner occupied commercial	$	20,071	$	1,312	$	(4)	$	4	$	2,079	$	23,462
Owner occupied commercial	3,964		1,137		(38)		351		1,282		6,696
Multifamily	8,309		4		—		—		1,112		9,425
Non owner occupied residential	2,380		175		—		14		74		2,643
Commercial, industrial and other	9,891		2,413		(1,128)		151		(2,491)		8,836
Construction	838		6,843		(6,807)		3		2,091		2,968
Equipment finance	3,663		—		(184)		114		(148)		3,445
Residential mortgage	3,914		179		—		48		3,900		8,041
Consumer	5,017		14		(206)		134		(211)		4,748
Total	$	58,047	$	12,077	$	(8,367)	$	819	$	7,688	$	70,264

The following tables present the recorded investment in loans by portfolio segment and the related allowance for credit or loan losses for the years ended December 31, 2023 and 2022.


December 31, 2023	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	$	—	$	2,959,469	$	28,490	$	2,987,959	$	557	$	23,762	$	24,319
Owner occupied commercial	6,474		1,246,243		30,504		1,283,221		893		5,494		6,387
Multifamily	1,095		1,402,174		5,636		1,408,905		6		9,740		9,746
Non-owner occupied residential	522		212,460		1,004		213,986		14		2,386		2,400
Commercial, industrial and other	—		635,285		3,609		638,894		686		8,358		9,044
Construction	12,698		290,047		—		302,745		—		2,246		2,246
Equipment finance	—		179,171		—		179,171		—		7,521		7,521
Residential mortgage	—		985,398		370		985,768		56		10,330		10,386
Consumer	—		343,006		206		343,212		69		5,045		5,114
Total loans	$	20,789	$	8,253,253	$	69,819	$	8,343,861	$	2,281	$	74,882	$	77,163


December 31, 2022	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	$	—	$	2,871,950	$	34,064	$	2,906,014	$	753	$	22,709	$	23,462
Owner occupied commercial	12,041		1,202,919		31,229		1,246,189		983		5,713		6,696
Multifamily	—		1,254,412		6,402		1,260,814		5		9,420		9,425
Non owner occupied residential	441		216,516		1,069		218,026		16		2,627		2,643
Commercial, industrial and other	2,806		594,568		9,337		606,711		2,150		6,686		8,836
Construction	980		379,120		—		380,100		—		2,968		2,968
Equipment finance	—		151,574		—		151,574		—		3,445		3,445
Residential mortgage	—		764,340		1,212		765,552		181		7,860		8,041
Consumer	—		330,920		150		331,070		3		4,745		4,748
Total loans	$	16,268	$	7,766,319	$	83,463	$	7,866,050	$	4,091	$	66,173	$	70,264

The allowance for credit losses on securities is summarized in the following tables.


Available for Sale	For the Years Ended December 31,
(in thousands)	2023		2022
Balance at beginning of the period	$	310	$	83

Charge-offs	(6,640)		—
Recoveries	—		—
Net charge-offs	(6,640)		—
(Benefit) provision for credit loss expense	6,330		227
Balance at end of the period	$	—	$	310


Held to Maturity	For the Years Ended December 31,
(in thousands)	2023		2022
Balance in the beginning of the period	$	107	$	181
(Benefit) provision for credit loss expense	39		(74)
Balance at the end of the period	$	146	$	107