Derivatives and Hedging Activities (Tables)

3 Months Ended

Mar. 31, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of fair value of derivative financial instruments

The table below presents the fair value of derivative financial instruments as of the dates indicated as well as their classification on the consolidated balance sheets (in thousands):

	March 31, 2020						December 31, 2019
	Derivative Asset			Derivative Liability			Derivative Asset			Derivative Liability
Derivatives designated as hedging instruments:
Fair value hedge of brokered time deposits	$	—		$	144		$	—		$	880
Total	$	—		$	144		$	—		$	880
Derivatives not designated as hedging instruments:
Customer derivative positions	$	74,793		$	33		$	27,277		$	446
Dealer offsets to customer derivative positions	33			20,318			394			6,425
Risk participations	—			28			—			12
Mortgage banking - loan commitment	7,361			—			1,970			—
Mortgage banking - forward sales commitment	481			4,281			98			86
Bifurcated embedded derivatives	—			538			5,268			—
Dealer offsets to bifurcated embedded derivatives	—			2,007			—			7,667
Total	$	82,668		$	27,205		$	35,007		$	14,636
Total derivatives	$	82,668		$	27,349		$	35,007		$	15,516
Total gross derivative instruments	$	82,668		$	27,349		$	35,007		$	15,516
Less: Amounts subject to master netting agreements	(50		)	(50		)	(401		)	(401		)
Less: Cash collateral received/pledged	—			(23,718		)	—			(14,933		)
Net amount	$	82,618		$	3,581		$	34,606		$	182

Schedule of effect of derivatives in fair value hedging relationships on the consolidated statement of income

The table below presents the effect of derivatives in fair value hedging relationships on the consolidated statement of income for the periods indicated (in thousands). 

	Interest expense - deposits
	Three Months Ended March 31,
	2020			2019
Total amounts presented in the consolidated statements of income	$	15,075		$	15,957
Gains (losses) on fair value hedging relationships:
Interest rate contracts:
Amounts related to interest settlements on derivatives	(75		)	(101		)
Recognized on derivatives	1,062			451
Recognized on hedged items	(982		)	(462		)
Net income (expense) recognized on fair value hedges	$	5		$	(112	)

Schedule of carrying amount and cumulative fair value hedging adjustments on hedged liability

The table below presents the carrying amount of hedged fixed-rate brokered time deposits and cumulative fair value hedging adjustments included in the carrying amount of the hedged liability for the periods presented (in thousands).

	March 31, 2020						December 31, 2019
Balance Sheet Location	Carrying amount of Assets (Liabilities)			Hedge Accounting Basis Adjustment			Carrying amount of Assets (Liabilities)			Hedge Accounting Basis Adjustment
Deposits	$	(27,017	)	$	(324	)	$	(35,880	)	$	645

Schedule of gains and losses recognized in income on derivatives not designated as hedging instruments

The table below presents the gains and losses recognized in income on derivatives not designated as hedging instruments for the periods indicated (in thousands). 

	Location of Gain (Loss) Recognized in Income on Derivative	Amount of Gain (Loss) Recognized in Income on Derivative
		2020			2019
Three Months Ended March 31,
Customer derivatives and dealer offsets	Other noninterest income	$	1,424		$	503
Bifurcated embedded derivatives and dealer offsets	Other noninterest income	(195		)	218
De-designated hedges	Other noninterest income	—			(193		)
Mortgage banking derivatives	Mortgage loan revenue	(829		)	(190		)
Risk participations	Other noninterest income	(17		)	2
		$	383		$	340