Derivative Instrument and Hedging Activities (Tables)

3 Months Ended

Mar. 31, 2024

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Summary of Company's Outstanding Interest Rate Swaps

The following table summarizes the terms of the Company’s outstanding interest rate swap agreements entered into to manage its exposure to the variability in future cash flows at March 31, 2024 (dollars in thousands):

Effective Date	Expiration Date	Notional Amount		Pay Fixed Rate
4/11/2022	4/11/2027	$	50,000	0.787%
1/24/2023	1/24/2026	$	30,000	3.669%
5/5/2023	5/5/2026	$	25,000	3.4615%

Fair Values of Derivative Instruments on the Balance Sheet

The table below presents the notional amounts, respective fair values of the Company’s derivative financial instruments, as well as their classification on the balance sheet as of March 31, 2024 and December 31, 2023 (in thousands):

					Asset derivatives					Liability derivatives
	Gross notional amount					Fair value					Fair value
	March 31, 2024		December 31, 2023		Balance sheet line item	March 31, 2024		December 31, 2023		Balance sheet line item	March 31, 2024		December 31, 2023
Derivatives designated as hedging instruments
Cash flow hedges	$	105,000	$	105,000	Other assets	$	6,835	$	5,939	Other liabilities	$	—	$	—
Total derivatives	$	105,000	$	105,000		$	6,835	$	5,939		$	—	$	—
Derivatives not designated as hedging instruments
Interest rate swaps (1)	$	1,089,166	$	1,104,804	Other assets	$	44,173	$	37,517	Other liabilities	$	44,175	$	37,519
Credit contracts		75,168		81,211	Other assets		—		—	Other liabilities		—		—
Mortgage banking		18,149		5,292	Other assets		221		50	Other liabilities		5		2
Total derivatives	$	1,182,483	$	1,191,307		$	44,394	$	37,567		$	44,180	$	37,521

(1)The Company was holding collateral of $50.2 million and $40.4 million against its net obligations under these contracts at March 31, 2024 and December 31, 2023, respectively.

Effect of Derivative Instruments on the Income Statement

The table below presents the effect of the Company’s derivative financial instruments on the income statement for the three months ended March 31, 2024 and 2023 (in thousands):

		Gain (loss) recognized in income
	Line item of gain (loss)	Three months ended March 31,
Undesignated derivatives	recognized in income	2024		2023
Interest rate swaps	Income from derivative instruments, net	$	1	$	501
Credit contracts	Income from derivative instruments, net		5		7
Mortgage banking	Income from derivative instruments, net		168		(12	)
Total undesignated		$	174	$	496