XML 55 R35.htm IDEA: XBRL DOCUMENT v3.22.4
Loans and Leases (Tables)
 12 Months Ended
Dec. 31, 2022
Receivables [Abstract]  
Composition of Loan and Lease Portfolio Held for Investment

The following table sets forth, at the dates indicated, the composition of the loan and lease portfolio held for investment, at their amortized cost, which includes the outstanding principal balance adjusted for any unamortized premiums, discounts, deferred fees and costs:

 

 

December 31, 2022

 

 

December 31, 2021

 

 

(dollars in millions)

Amount

 

Percent of
Loans
Held for
Investment

 

 

Amount

 

Percent of
Loans
Held for
Investment

 

 

Loans and Leases Held for Investment:

 

 

 

 

 

 

 

 

 

 

Mortgage Loans:

 

 

 

 

 

 

 

 

 

 

Multi-family

$

38,130

 

 

55.3

 

%

$

34,628

 

 

75.7

 

%

Commercial real estate

 

8,526

 

 

12.4

 

 

 

6,701

 

 

14.7

 

 

One-to-four family first mortgage

 

5,821

 

 

8.4

 

 

 

160

 

 

0.3

 

 

Acquisition, development, and construction

 

1,996

 

 

2.8

 

 

 

209

 

 

0.5

 

 

Total mortgage loans held for investment (1)

 

54,473

 

 

78.9

 

 

 

41,698

 

 

91.2

 

 

Other Loans:

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

10,597

 

 

15.4

 

 

 

2,238

 

 

3.2

 

 

Lease financing, net of unearned income
   of $85 and $95 respectively

 

1,679

 

 

2.4

 

 

 

1,796

 

 

3.9

 

 

Total commercial and industrial loans (2)

 

12,276

 

 

17.8

 

 

 

4,034

 

 

7.2

 

 

Other

 

2,252

 

 

3.3

 

 

 

6

 

 

0.0

 

 

Total other loans held for investment

 

14,528

 

 

21.1

 

 

 

4,040

 

 

7.2

 

 

Total loans and leases held for investment (1)

$

69,001

 

 

100.0

 

%

$

45,738

 

 

100.0

 

%

Allowance for credit losses on loans and leases

 

(393

)

 

 

 

 

(199

)

 

 

 

Total loans and leases held for investment, net

$

68,608

 

 

 

 

$

45,539

 

 

 

 

Loans held for sale, at fair value

 

1,115

 

 

 

 

 

—

 

 

 

 

Total loans and leases, net

$

69,723

 

 

 

 

$

45,539

 

 

 

 

 

(1)
Excludes accrued interest receivable of $292 million and $199 million at December 31, 2022 and December 31, 2021, respectively, which is included in other assets in the Consolidated Statements of Condition.
(2)
Includes specialty finance loans and leases of $4.4 billion and $3.5 billion, respectively, at December 31, 2022 and December 31, 2021.
Quality of Loans Held for Investment

The following table presents information regarding the quality of the Company’s loans held for investment at December 31, 2022:

 

(in millions)

 

Loans
 30-89
Days
Past Due

 

 

Non-
Accrual
Loans

 

 

Loans 90
Days or
More
Delinquent
and Still
Accruing
Interest

 

 

Total
Past Due
Loans

 

 

Current
Loans

 

 

Total
Loans
Receivable

 

Multi-family

 

$

34

 

 

$

13

 

 

$

—

 

 

$

47

 

 

$

38,083

 

 

$

38,130

 

Commercial real estate

 

 

2

 

 

 

20

 

 

 

—

 

 

 

22

 

 

 

8,504

 

 

 

8,526

 

One-to-four family first mortgage

 

 

21

 

 

 

92

 

 

 

—

 

 

 

113

 

 

 

5,708

 

 

 

5,821

 

Acquisition, development, and
   construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,996

 

 

 

1,996

 

Commercial and industrial(1)

 

 

—

 

 

 

7

 

 

 

—

 

 

 

7

 

 

 

12,269

 

 

 

12,276

 

Other

 

 

13

 

 

 

9

 

 

 

—

 

 

 

22

 

 

 

2,230

 

 

 

2,252

 

Total

 

$

70

 

 

$

141

 

 

$

—

 

 

$

211

 

 

$

68,790

 

 

$

69,001

 

 

(1)
Includes lease financing receivables, all of which were current.

The following table presents information regarding the quality of the Company’s loans held for investment at December 31, 2021:

 

(in millions)

 

Loans
 30-89
Days
Past Due

 

 

Non-
Accrual
Loans

 

 

Loans 90
Days or
More
Delinquent
and Still
Accruing
Interest

 

 

Total
Past Due
Loans

 

 

Current
Loans

 

 

Total
Loans
Receivable

 

Multi-family

 

$

57

 

 

$

10

 

 

$

—

 

 

$

67

 

 

$

34,561

 

 

$

34,628

 

Commercial real estate

 

 

2

 

 

 

16

 

 

 

—

 

 

 

18

 

 

 

6,683

 

 

 

6,701

 

One-to-four family first mortgage

 

 

8

 

 

 

1

 

 

 

—

 

 

 

9

 

 

 

151

 

 

 

160

 

Acquisition, development, and
   construction

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

209

 

 

 

209

 

Commercial and industrial(1)

 

 

—

 

 

 

6

 

 

 

—

 

 

 

6

 

 

 

4,029

 

 

 

4,035

 

Other

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

5

 

 

 

5

 

Total

 

$

67

 

 

$

33

 

 

$

—

 

 

$

100

 

 

$

45,638

 

 

$

45,738

 

 

(1)
Includes lease financing receivables, all of which were current.
Portfolio of Loans Held for Investment by Credit Quality Indicator

The following table summarizes the Company’s portfolio of loans held for investment by credit quality indicator at December 31, 2022:

 

 

 

Mortgage Loans

 

 

Other Loans

 

(in millions)

 

Multi-
Family

 

 

Commercial
Real Estate

 

 

One-to-
Four
Family

 

 

Acquisition,
Development,
and
Construction

 

 

Total
Mortgage
Loans

 

 

Commercial
and
Industrial(1)

 

 

Other

 

 

Total
Other
Loans

 

Credit Quality Indicator:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

$

36,622

 

 

$

7,871

 

 

$

5,710

 

 

$

1,992

 

 

$

52,195

 

 

$

12,208

 

 

$

2,238

 

 

$

14,446

 

Special mention

 

 

864

 

 

 

230

 

 

 

8

 

 

 

4

 

 

 

1,106

 

 

 

18

 

 

 

—

 

 

 

18

 

Substandard

 

 

644

 

 

 

425

 

 

 

103

 

 

 

—

 

 

 

1,172

 

 

 

50

 

 

 

14

 

 

 

64

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

38,130

 

 

$

8,526

 

 

$

5,821

 

 

$

1,996

 

 

$

54,473

 

 

$

12,276

 

 

$

2,252

 

 

$

14,528

 

 

(1)
Includes lease financing receivables, all of which were classified as Pass.

The following table summarizes the Company’s portfolio of loans held for investment by credit quality indicator at December 31, 2021:

 

 

 

Mortgage Loans

 

 

Other Loans

 

(in millions)

 

Multi-
Family

 

 

Commercial
Real Estate

 

 

One-to-
Four
Family

 

 

Acquisition,
Development,
and
Construction

 

 

Total
Mortgage
Loans

 

 

Commercial
and
Industrial(1)

 

 

Other

 

 

Total
Other
Loans

 

Credit Quality Indicator:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass

 

$

33,035

 

 

$

5,876

 

 

$

137

 

 

$

204

 

 

$

39,252

 

 

$

3,987

 

 

$

6

 

 

$

3,993

 

Special mention

 

 

982

 

 

 

644

 

 

 

14

 

 

 

5

 

 

 

1,645

 

 

 

2

 

 

 

—

 

 

 

2

 

Substandard

 

 

611

 

 

 

181

 

 

 

9

 

 

 

—

 

 

 

801

 

 

 

45

 

 

 

—

 

 

 

45

 

Doubtful

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Total

 

$

34,628

 

 

$

6,701

 

 

$

160

 

 

$

209

 

 

$

41,698

 

 

$

4,034

 

 

$

6

 

 

$

4,040

 

 

(1)
Includes lease financing receivables, all of which were classified as Pass.
Schedule of Credit Quality Indicator, Loan Class, and Year of Origination, the Amortized Cost Basis of Loans and Leases

The following table presents, by credit quality indicator, loan class, and year of origination, the amortized cost basis of the Company’s loans and leases as of December 31, 2022:

 

 

 

Vintage Year

 

(in millions)
 Risk Rating Group

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

2018

 

 

Prior To
2018

 

 

Revolving
Loans

 

 

Revolving
Loans Converted to Term Loans

 

 

Total

 

Pass

 

$

12,817

 

 

$

10,925

 

 

$

9,121

 

 

$

5,519

 

 

$

4,301

 

 

$

8,055

 

 

$

1,452

 

 

$

5

 

 

$

52,195

 

Special Mention

 

 

—

 

 

 

15

 

 

 

103

 

 

 

244

 

 

 

293

 

 

 

451

 

 

 

—

 

 

 

—

 

 

 

1,106

 

Substandard

 

 

1

 

 

 

6

 

 

 

48

 

 

 

224

 

 

 

137

 

 

 

753

 

 

 

—

 

 

 

3

 

 

 

1,172

 

Total mortgage loans

 

$

12,818

 

 

$

10,946

 

 

$

9,272

 

 

$

5,987

 

 

$

4,731

 

 

$

9,259

 

 

$

1,452

 

 

$

8

 

 

$

54,473

 

Pass

 

 

5,415

 

 

 

964

 

 

 

637

 

 

 

727

 

 

 

180

 

 

 

266

 

 

 

6,209

 

 

 

46

 

 

 

14,444

 

Special Mention

 

 

12

 

 

 

—

 

 

 

—

 

 

 

7

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

19

 

Substandard

 

 

1

 

 

 

1

 

 

 

22

 

 

 

2

 

 

 

9

 

 

 

7

 

 

 

19

 

 

 

4

 

 

 

65

 

Total other loans

 

 

5,428

 

 

 

965

 

 

 

659

 

 

 

736

 

 

 

189

 

 

 

273

 

 

 

6,228

 

 

 

50

 

 

 

14,528

 

Total

 

$

18,246

 

 

$

11,911

 

 

$

9,931

 

 

$

6,723

 

 

$

4,920

 

 

$

9,532

 

 

$

7,680

 

 

$

58

 

 

$

69,001

 
Summary of Collateral-Dependent Loans Held for Investment by Collateral Type

The following table summarizes the extent to which collateral secures the Company’s collateral-dependent loans held for investment by collateral type as of December 31, 2022:

 

 

 

Collateral Type

 

(in millions)

 

Real
Property

 

 

Other

 

Multi-family

 

$

13

 

 

$

—

 

Commercial real estate

 

 

35

 

 

 

—

 

One-to-four family first mortgage

 

 

136

 

 

 

—

 

Acquisition, development, and construction

 

 

—

 

 

 

—

 

Commercial and industrial

 

 

—

 

 

 

3

 

Other

 

 

14

 

 

 

—

 

Total collateral-dependent loans held for investment

 

 

198

 

 

 

3

 
Details of Interest Income on Non-Accrual Loans

The interest income that would have been recorded under the original terms of non-accrual loans at the respective year-ends, and the interest income actually recorded on these loans in the respective years, is summarized below:

 

 

 

December 31,

 

(in millions)

 

2022

 

 

2021

 

 

2020

 

Interest income that would have been recorded

 

$

3

 

 

$

3

 

 

$

5

 

Interest income actually recorded

 

 

(1

)

 

 

(1

)

 

 

(1

)

Interest income foregone

 

$

2

 

 

$

2

 

 

$

4

 
Information Regarding Troubled Debt Restructurings

The following table presents information regarding the Company’s TDRs:

 

 

 

 

December 31, 2022

 

 

December 31, 2021

 

(in millions)

 

 

Accruing

 

 

 

Non-
Accrual

 

 

 

Total

 

 

Accruing

 

 

Non-
Accrual

 

 

Total

 

Loan Category:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Multi-family

 

$

 

—

 

 

$

 

6

 

 

$

 

6

 

$

 

—

 

$

 

7

 

$

 

7

 

Commercial real estate

 

 

 

16

 

 

 

 

19

 

 

 

 

35

 

 

 

16

 

 

 

—

 

 

 

16

 

One-to-four family first mortgage

 

 

 

—

 

 

 

 

—

 

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Acquisition, development, and
   construction

 

 

 

—

 

 

 

 

—

 

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Commercial and industrial

 

 

 

—

 

 

 

 

3

 

 

 

 

3

 

 

 

—

 

 

 

6

 

 

 

6

 

Total

 

$

 

16

 

 

$

 

28

 

 

$

 

44

 

$

 

16

 

$

 

13

 

$

 

29

 

 
Financial Effects of Troubled Debt Restructurings

The financial effects of the Company’s TDRs are summarized as follows:

 

 

 

For the Twelve Months Ended December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

Weighted Average
Interest Rate

 

 

 

 

 

 

(dollars in millions)

 

Number
of Loans

 

 

Pre-
Modification
Recorded
Investment

 

 

Post-
Modification
Recorded
Investment

 

 

Pre-
Modification

 

 

Post-
Modification

 

Charge-
off
Amount

 

 

Capitalized
Interest

 

Loan Category:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate

 

 

2

 

 

$

22

 

 

$

19

 

 

 

6.00

 

%

4.02

%

$

3

 

 

$

—

 

Total

 

 

2

 

 

$

22

 

 

$

19

 

 

 

 

 

 

 

$

3

 

 

$

—

 

 

 

 

For the Twelve Months Ended December 31, 2021

 

 

 

 

 

 

 

 

 

 

 

 

Weighted Average
Interest Rate

 

 

 

 

 

 

(dollars in millions)

 

Number
of Loans

 

 

Pre-
Modification
Recorded
Investment

 

 

Post-
Modification
Recorded
Investment

 

 

Pre-
Modification

 

Post-
Modification

 

Charge-
off
Amount

 

 

Capitalized
Interest

 

Loan Category:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate

 

 

2

 

 

$

4

 

 

$

4

 

 

6.00

%

3.55

%

$

—

 

 

$

—

 

Commercial and industrial

 

 

1

 

 

 

8

 

 

 

8

 

 

3.13

 

3.25

 

 

—

 

 

 

—

 

Total

 

 

3

 

 

$

12

 

 

$

12

 

 

 

 

 

 

 

 

 

$

—

 

 

 

 

For the Twelve Months Ended December 31, 2020

 

 

 

 

 

 

 

 

 

 

 

 

Weighted Average
Interest Rate

 

 

 

 

 

 

 

(dollars in millions)

 

Number
of Loans

 

 

Pre-
Modification
Recorded
Investment

 

 

Post-
Modification
Recorded
Investment

 

 

Pre-
Modification

 

 

Post-
Modification

 

 

Charge-
off
Amount

 

 

Capitalized
Interest

 

Loan Category:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

One-to-four family first mortgage

 

 

1

 

 

$

15

 

 

$

15

 

 

8.00

 

%

3.50

 

%

$

—

 

 

$

—

 

Commercial and industrial

 

 

42

 

 

 

9

 

 

$

8

 

 

 

2.36

 

 

 

2.23

 

 

 

1

 

 

 

—

 

Total

 

 

43

 

 

$

24

 

 

$

23

 

 

 

 

 

 

 

 

$

1

 

 

$

—