|
Michigan
|
38-2022454
|
(State or other jurisdiction of incorporation or organization)
|
(I.R.S. Employer Identification No.)
|
Title of each class
|
Trading Symbol(s)
|
Name of each exchange on which registered
|
Common Stock (par value $1 per share)
|
TCF
|
The NASDAQ Stock Market
|
Depositary shares, each representing a 1/1000th interest in a share of the 5.70% Series C Non-Cumulative Perpetual Preferred Stock
|
TCFCP
|
The NASDAQ Stock Market
|
|
Large accelerated filer
|
☑
|
Accelerated filer
|
☐
|
|
Non-accelerated filer
|
☐
|
Smaller reporting company
|
☐
|
|
|
|
Emerging growth company
|
☐
|
Description
|
Page
|
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|
Part I - Financial Information
|
|
|
|
|
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|
|
|
|
|
|
|
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|
|
|
|
|
|
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Part II - Other Information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in thousands, except per share data)
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
|
(Unaudited)
|
|
|
|
|||
ASSETS
|
|
|
|
||||
Cash and cash equivalents:
|
|
|
|
||||
Cash and due from banks
|
$
|
713,413
|
|
|
$
|
491,787
|
|
Interest-bearing deposits with other banks
|
565,458
|
|
|
736,584
|
|
||
Total cash and cash equivalents
|
1,278,871
|
|
|
1,228,371
|
|
||
Federal Home Loan Bank and Federal Reserve Bank stocks, at cost
|
484,461
|
|
|
442,440
|
|
||
Investment securities:
|
|
|
|
||||
Available-for-sale, at fair value (amortized cost of $6,793,235 and $6,639,277)
|
7,025,224
|
|
|
6,720,001
|
|
||
Held-to-maturity, at amortized cost (fair value of $145,974 and $144,844)
|
135,619
|
|
|
139,445
|
|
||
Total investment securities
|
7,160,843
|
|
|
6,859,446
|
|
||
Loans and leases held-for-sale (includes $206,366 and $91,202 at fair value)
|
287,177
|
|
|
199,786
|
|
||
Loans and leases
|
35,921,614
|
|
|
34,497,464
|
|
||
Allowance for credit losses
|
(406,383
|
)
|
|
(113,052
|
)
|
||
Loans and leases, net
|
35,515,231
|
|
|
34,384,412
|
|
||
Premises and equipment, net
|
516,454
|
|
|
533,138
|
|
||
Goodwill
|
1,313,046
|
|
|
1,299,878
|
|
||
Other intangible assets, net
|
162,887
|
|
|
168,368
|
|
||
Loan servicing rights
|
47,283
|
|
|
56,313
|
|
||
Other assets
|
1,828,130
|
|
|
1,479,401
|
|
||
Total assets
|
$
|
48,594,383
|
|
|
$
|
46,651,553
|
|
LIABILITIES AND EQUITY
|
|
|
|
||||
Liabilities
|
|
|
|
||||
Deposits:
|
|
|
|
||||
Noninterest-bearing
|
$
|
8,237,916
|
|
|
$
|
7,970,590
|
|
Interest-bearing
|
27,561,387
|
|
|
26,497,873
|
|
||
Total deposits
|
35,799,303
|
|
|
34,468,463
|
|
||
Short-term borrowings
|
3,482,535
|
|
|
2,669,145
|
|
||
Long-term borrowings
|
2,600,594
|
|
|
2,354,448
|
|
||
Other liabilities
|
1,056,118
|
|
|
1,432,256
|
|
||
Total liabilities
|
42,938,550
|
|
|
40,924,312
|
|
||
Equity
|
|
|
|
||||
Preferred stock, $0.01 par value, 2,000,000 shares authorized; 7,000 shares issued
|
169,302
|
|
|
169,302
|
|
||
Common stock, $1.00 par value, 220,000,000 shares authorized
|
|
|
|
||||
Issued - 152,185,984 shares at March 31, 2020 and 152,965,571 shares at December 31, 2019
|
152,186
|
|
|
152,966
|
|
||
Additional paid-in capital
|
3,433,234
|
|
|
3,462,080
|
|
||
Retained earnings
|
1,732,932
|
|
|
1,896,427
|
|
||
Accumulated other comprehensive income
|
166,170
|
|
|
54,277
|
|
||
Other
|
(28,140
|
)
|
|
(28,037
|
)
|
||
Total TCF Financial Corporation shareholders' equity
|
5,625,684
|
|
|
5,707,015
|
|
||
Non-controlling interest
|
30,149
|
|
|
20,226
|
|
||
Total equity
|
5,655,833
|
|
|
5,727,241
|
|
||
Total liabilities and equity
|
$
|
48,594,383
|
|
|
$
|
46,651,553
|
|
|
Three Months Ended March 31,
|
||||||
(In thousands, except per share data)
|
2020
|
|
2019
|
||||
Interest income
|
|
|
|
||||
Interest and fees on loans and leases
|
$
|
443,096
|
|
|
$
|
283,238
|
|
Interest on investment securities:
|
|
|
|
||||
Taxable
|
40,920
|
|
|
16,666
|
|
||
Tax-exempt
|
4,349
|
|
|
2,684
|
|
||
Interest on loans held-for-sale
|
1,561
|
|
|
825
|
|
||
Interest on other earning assets
|
5,466
|
|
|
3,481
|
|
||
Total interest income
|
495,392
|
|
|
306,894
|
|
||
Interest expense
|
|
|
|
||||
Interest on deposits
|
67,419
|
|
|
37,608
|
|
||
Interest on borrowings
|
26,492
|
|
|
14,857
|
|
||
Total interest expense
|
93,911
|
|
|
52,465
|
|
||
Net interest income
|
401,481
|
|
|
254,429
|
|
||
Provision for credit losses
|
96,943
|
|
|
10,122
|
|
||
Net interest income after provision for credit losses
|
304,538
|
|
|
244,307
|
|
||
Noninterest income
|
|
|
|
||||
Leasing revenue
|
33,565
|
|
|
38,165
|
|
||
Fees and service charges on deposit accounts
|
34,597
|
|
|
26,278
|
|
||
Card and ATM revenue
|
21,685
|
|
|
18,659
|
|
||
Net gains on sales of loans and leases
|
20,590
|
|
|
8,217
|
|
||
Servicing fee revenue
|
6,792
|
|
|
5,110
|
|
||
Wealth management revenue
|
6,151
|
|
|
—
|
|
||
Net gains (losses) on investment securities
|
—
|
|
|
451
|
|
||
Other
|
13,583
|
|
|
6,624
|
|
||
Total noninterest income
|
136,963
|
|
|
103,504
|
|
||
Noninterest expense
|
|
|
|
||||
Compensation and employee benefits
|
171,528
|
|
|
123,942
|
|
||
Occupancy and equipment
|
57,288
|
|
|
41,710
|
|
||
Lease financing equipment depreciation
|
18,450
|
|
|
19,256
|
|
||
Net foreclosed real estate and repossessed assets
|
1,859
|
|
|
4,630
|
|
||
Merger-related expenses
|
36,728
|
|
|
9,458
|
|
||
Other
|
88,746
|
|
|
54,079
|
|
||
Total noninterest expense
|
374,599
|
|
|
253,075
|
|
||
Income before income tax expense
|
66,902
|
|
|
94,736
|
|
||
Income tax expense
|
13,086
|
|
|
21,287
|
|
||
Income after income tax expense
|
53,816
|
|
|
73,449
|
|
||
Income attributable to non-controlling interest
|
1,917
|
|
|
2,955
|
|
||
Net income attributable to TCF Financial Corporation
|
51,899
|
|
|
70,494
|
|
||
Preferred stock dividends
|
2,493
|
|
|
2,493
|
|
||
Net income available to common shareholders
|
$
|
49,406
|
|
|
$
|
68,001
|
|
Earnings per common share
|
|
|
|
||||
Basic
|
$
|
0.33
|
|
|
$
|
0.83
|
|
Diluted
|
0.32
|
|
|
0.83
|
|
||
Weighted-average common shares outstanding
|
|
|
|
||||
Basic
|
151,902,357
|
|
|
82,245,577
|
|
||
Diluted
|
152,114,017
|
|
|
82,245,577
|
|
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Net income attributable to TCF Financial Corporation
|
$
|
51,899
|
|
|
$
|
70,494
|
|
Other comprehensive income (loss), net of tax:
|
|
|
|
|
|
||
Net unrealized gains (losses) on available-for-sale investment securities and interest-only strips
|
115,847
|
|
|
37,368
|
|
||
Net unrealized gains (losses) on net investment hedges
|
10,481
|
|
|
(2,308
|
)
|
||
Foreign currency translation adjustment
|
(14,426
|
)
|
|
3,567
|
|
||
Recognized postretirement prior service cost
|
(9
|
)
|
|
(8
|
)
|
||
Total other comprehensive income (loss), net of tax
|
111,893
|
|
|
38,619
|
|
||
Comprehensive income
|
$
|
163,792
|
|
|
$
|
109,113
|
|
|
TCF Financial Corporation
|
|
|
||||||||||||||||||||||||||||
|
Number of
Shares Issued |
Preferred
Stock |
Common
Stock |
Additional
Paid-in Capital |
Retained
Earnings |
Accumulated
Other Comprehensive Income (Loss) |
Other
|
Total
|
Non-
controlling Interest |
Total
Equity |
|||||||||||||||||||||
(Dollars in thousands)
|
Preferred
|
Common
|
|||||||||||||||||||||||||||||
Balance, December 31, 2019
|
7,000
|
|
152,965,571
|
|
$
|
169,302
|
|
$
|
152,966
|
|
$
|
3,462,080
|
|
$
|
1,896,427
|
|
$
|
54,277
|
|
$
|
(28,037
|
)
|
$
|
5,707,015
|
|
$
|
20,226
|
|
$
|
5,727,241
|
|
Cumulative effect adjustment related to adoption of Accounting Standards Update 2016-13(1)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(159,323
|
)
|
—
|
|
—
|
|
(159,323
|
)
|
74
|
|
(159,249
|
)
|
|||||||||
Balance, January 1, 2020
|
7,000
|
|
152,965,571
|
|
$
|
169,302
|
|
$
|
152,966
|
|
$
|
3,462,080
|
|
$
|
1,737,104
|
|
$
|
54,277
|
|
$
|
(28,037
|
)
|
$
|
5,547,692
|
|
$
|
20,300
|
|
$
|
5,567,992
|
|
Net income
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
51,899
|
|
—
|
|
—
|
|
51,899
|
|
1,917
|
|
53,816
|
|
|||||||||
Other comprehensive income (loss), net of tax
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
111,893
|
|
—
|
|
111,893
|
|
—
|
|
111,893
|
|
|||||||||
Net investment by (distribution to) non-controlling interest
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
7,932
|
|
7,932
|
|
|||||||||
Repurchases of 873,376 shares of common stock
|
—
|
|
(873,376
|
)
|
—
|
|
(873
|
)
|
(32,225
|
)
|
—
|
|
—
|
|
—
|
|
(33,098
|
)
|
—
|
|
(33,098
|
)
|
|||||||||
Dividends on 5.70% Series C Preferred Stock
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(2,493
|
)
|
—
|
|
—
|
|
(2,493
|
)
|
—
|
|
(2,493
|
)
|
|||||||||
Dividends on common stock of $0.35 per common share
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(53,578
|
)
|
—
|
|
—
|
|
(53,578
|
)
|
—
|
|
(53,578
|
)
|
|||||||||
Stock compensation plans, net of tax
|
—
|
|
93,789
|
|
—
|
|
93
|
|
3,276
|
|
—
|
|
—
|
|
—
|
|
3,369
|
|
—
|
|
3,369
|
|
|||||||||
Change in shares held in trust for deferred compensation plans, at cost
|
—
|
|
—
|
|
—
|
|
—
|
|
103
|
|
—
|
|
—
|
|
(103
|
)
|
—
|
|
—
|
|
—
|
|
|||||||||
Balance, March 31, 2020
|
7,000
|
|
152,185,984
|
|
$
|
169,302
|
|
$
|
152,186
|
|
$
|
3,433,234
|
|
$
|
1,732,932
|
|
$
|
166,170
|
|
$
|
(28,140
|
)
|
$
|
5,625,684
|
|
$
|
30,149
|
|
$
|
5,655,833
|
|
|
TCF Financial Corporation
|
|
|
||||||||||||||||||||||||||||
|
Number of
Shares Issued |
Preferred
Stock |
Common
Stock |
Additional
Paid-in Capital |
Retained
Earnings |
Accumulated
Other Comprehensive Income (Loss) |
Other
|
Total
|
Non-
controlling Interest |
Total
Equity |
|||||||||||||||||||||
(Dollars in thousands)
|
Preferred
|
Common
|
|||||||||||||||||||||||||||||
Balance, December 31, 2018
|
7,000
|
|
88,198,460
|
|
$
|
169,302
|
|
$
|
88,198
|
|
$
|
798,627
|
|
$
|
1,766,994
|
|
$
|
(33,138
|
)
|
$
|
(252,182
|
)
|
$
|
2,537,801
|
|
$
|
18,459
|
|
$
|
2,556,260
|
|
Net income
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
70,494
|
|
—
|
|
—
|
|
70,494
|
|
2,955
|
|
73,449
|
|
|||||||||
Other comprehensive income (loss), net of tax
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
38,619
|
|
—
|
|
38,619
|
|
—
|
|
38,619
|
|
|||||||||
Net investment by (distribution to) non-controlling interest
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
8,038
|
|
8,038
|
|
|||||||||
Dividends on 5.70% Series C Preferred Stock
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(2,493
|
)
|
—
|
|
—
|
|
(2,493
|
)
|
—
|
|
(2,493
|
)
|
|||||||||
Dividends on common stock of $0.30 per common share
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(24,294
|
)
|
—
|
|
—
|
|
(24,294
|
)
|
—
|
|
(24,294
|
)
|
|||||||||
Stock compensation plans, net of tax
|
—
|
|
(135,422
|
)
|
—
|
|
(135
|
)
|
(10,390
|
)
|
—
|
|
—
|
|
6,791
|
|
(3,734
|
)
|
—
|
|
(3,734
|
)
|
|||||||||
Change in shares held in trust for deferred compensation plans, at cost
|
—
|
|
—
|
|
—
|
|
—
|
|
1,230
|
|
—
|
|
—
|
|
(1,230
|
)
|
—
|
|
—
|
|
—
|
|
|||||||||
Balance, March 31, 2019
|
7,000
|
|
88,063,038
|
|
$
|
169,302
|
|
$
|
88,063
|
|
$
|
789,467
|
|
$
|
1,810,701
|
|
$
|
5,481
|
|
$
|
(246,621
|
)
|
$
|
2,616,393
|
|
$
|
29,452
|
|
$
|
2,645,845
|
|
|
Quarter Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Cash flows from operating activities
|
|
|
|
||||
Net income
|
$
|
53,816
|
|
|
$
|
73,449
|
|
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
|
|
|
|
|
|
||
Provision for credit losses
|
96,943
|
|
|
10,122
|
|
||
Share-based compensation expense
|
5,647
|
|
|
224
|
|
||
Depreciation and amortization
|
99,541
|
|
|
56,284
|
|
||
Provision (benefit) for deferred income taxes
|
(3,016
|
)
|
|
(1,011
|
)
|
||
Net gains on sales of assets
|
(28,573
|
)
|
|
(14,918
|
)
|
||
Proceeds from sales of loans and leases held-for-sale
|
268,133
|
|
|
80,877
|
|
||
Originations of loans and leases held-for-sale, net of repayments
|
(362,680
|
)
|
|
(72,125
|
)
|
||
Impairment of loan servicing rights
|
8,236
|
|
|
—
|
|
||
Net change in other assets
|
(218,094
|
)
|
|
(95,861
|
)
|
||
Net change in other liabilities
|
(405,718
|
)
|
|
113,978
|
|
||
Other, net
|
(14,106
|
)
|
|
(11,089
|
)
|
||
Net cash provided by (used in) operating activities
|
(499,871
|
)
|
|
139,930
|
|
||
Cash flows from investing activities
|
|
|
|
|
|
||
Proceeds from sales of investment securities available-for-sale
|
—
|
|
|
205,862
|
|
||
Proceeds from maturities of and principal collected on investment securities available-for-sale
|
311,531
|
|
|
50,425
|
|
||
Purchases of investment securities available-for-sale
|
(412,011
|
)
|
|
(597,054
|
)
|
||
Proceeds from maturities of and principal collected on investment securities held-to-maturity
|
4,152
|
|
|
2,469
|
|
||
Purchases of investment securities held-to-maturity
|
—
|
|
|
(821
|
)
|
||
Redemption of Federal Home Loan Bank stock
|
144,000
|
|
|
26,000
|
|
||
Purchases of Federal Home Loan Bank stock
|
(186,000
|
)
|
|
(38,000
|
)
|
||
Proceeds from sales of loans and leases
|
287,050
|
|
|
194,109
|
|
||
Loan and lease originations and purchases, net of principal collected
|
(1,717,733
|
)
|
|
(521,907
|
)
|
||
Proceeds from sales of other assets
|
16,494
|
|
|
19,644
|
|
||
Purchases of premises and equipment and lease equipment
|
(23,846
|
)
|
|
(41,121
|
)
|
||
Other, net
|
15,177
|
|
|
2,937
|
|
||
Net cash provided by (used in) investing activities
|
(1,561,186
|
)
|
|
(697,457
|
)
|
||
Cash flows from financing activities
|
|
|
|
|
|
||
Net change in deposits
|
1,143,905
|
|
|
141,885
|
|
||
Net change in short-term borrowings
|
813,425
|
|
|
355,947
|
|
||
Proceeds from long-term borrowings
|
4,150,000
|
|
|
621,328
|
|
||
Payments on long-term borrowings
|
(3,912,310
|
)
|
|
(662,097
|
)
|
||
Payments on liabilities related to acquisition and portfolio purchase
|
—
|
|
|
(1,000
|
)
|
||
Repurchases of common stock
|
(33,098
|
)
|
|
—
|
|
||
Dividends paid on preferred stock
|
(2,493
|
)
|
|
(2,493
|
)
|
||
Dividends paid on common stock
|
(53,578
|
)
|
|
(24,294
|
)
|
||
Exercise of stock options
|
63
|
|
|
—
|
|
||
Payments related to tax-withholding upon conversion of share-based awards
|
(2,289
|
)
|
|
(3,022
|
)
|
||
Net investment by non-controlling interest
|
7,932
|
|
|
8,038
|
|
||
Net cash provided by (used in) financing activities
|
2,111,557
|
|
|
434,292
|
|
||
Net change in cash and due from banks
|
50,500
|
|
|
(123,235
|
)
|
||
Cash and cash equivalents at beginning of period
|
1,228,371
|
|
|
587,057
|
|
||
Cash and cash equivalents at end of period
|
$
|
1,278,871
|
|
|
$
|
463,822
|
|
Supplemental disclosures of cash flow information
|
|
|
|
|
|
||
Cash paid (received) for:
|
|
|
|
|
|
||
Interest on deposits and borrowings
|
$
|
76,688
|
|
|
$
|
48,276
|
|
Income taxes, net
|
1,838
|
|
|
(140
|
)
|
||
Noncash activities:
|
|
|
|
|
|
||
Transfer of loans and leases to other assets
|
15,983
|
|
|
27,280
|
|
||
Transfer of loans and leases from held-for-investment to held for sale, net
|
251,855
|
|
|
170,537
|
|
(Dollars in thousands)
|
TCF Financial Ownership and Market Value Table
|
||||||||
|
Number of Chemical Outstanding Shares
|
|
Percentage Ownership
|
|
Market Value at $42.04 Chemical Share Price
|
||||
Legacy TCF shareholders
|
81,920,494
|
|
|
53.38
|
%
|
|
$
|
3,443,938
|
|
Chemical shareholders
|
71,558,755
|
|
|
46.62
|
|
|
3,008,330
|
|
|
Total
|
153,479,249
|
|
|
100.00
|
%
|
|
$
|
6,452,268
|
|
|
|
Hypothetical Legacy TCF Ownership
|
||||
|
|
Number of Legacy TCF Outstanding Shares
|
|
Percentage Ownership
|
||
Legacy TCF shareholders
|
|
161,229,078
|
|
|
53.38
|
%
|
Chemical shareholders
|
|
140,835,967
|
|
|
46.62
|
|
Total
|
|
302,065,045
|
|
|
100.00
|
%
|
(Dollars in thousands, except per share data)
|
|
|
||
Number of hypothetical Legacy TCF shares issued to Chemical shareholders
|
140,835,967
|
|
||
Legacy TCF market price per share as of July 31, 2019
|
$
|
21.38
|
|
|
Purchase price determination of hypothetical Legacy TCF shares issued to Chemical shareholders
|
3,011,073
|
|
||
Value of Chemical stock options hypothetically converted to options to acquire shares of Legacy TCF common stock
|
7,335
|
|
||
Cash in lieu of fractional shares
|
148
|
|
||
Purchase price consideration
|
$
|
3,018,556
|
|
(1)
|
All amounts were previously reported in the Corporation's Annual Report on Form 10-K for the year ended December 31, 2019, with the exception of the following adjustments to fair value based on additional information obtained in the first quarter of 2020: (i) loans and leases ($17.2 million decrease), (ii) net deferred tax asset ($4.0 million increase), and (iii) goodwill resulting from Merger ($13.2 million increase).
|
(2)
|
Net deferred tax asset includes acquisition-related fair value adjustments, loss and tax credit carry forwards, mortgage servicing rights and core deposit and customer intangibles.
|
|
Three Months Ended March 31,
|
||||||
(In thousands, except per share data)
|
2020
|
|
2019
|
||||
Net interest income and other noninterest income
|
$
|
538,444
|
|
|
$
|
554,724
|
|
Net income
|
51,899
|
|
|
149,068
|
|
||
Net income available to common shareholders
|
49,406
|
|
|
146,575
|
|
||
Earnings per share:
|
|
|
|
||||
Basic
|
$
|
0.33
|
|
|
$
|
0.95
|
|
Diluted
|
0.32
|
|
|
0.95
|
|
(In thousands)
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
FHLB stock, at cost
|
$
|
360,473
|
|
|
$
|
318,473
|
|
FRB stock, at cost
|
123,988
|
|
|
123,967
|
|
||
Total investments
|
$
|
484,461
|
|
|
$
|
442,440
|
|
|
Investment Securities Available-for-sale, At Fair Value
|
||||||||||||||
(In thousands)
|
Amortized Cost
|
|
Gross Unrealized Gains
|
|
Gross Unrealized Losses
|
|
Fair Value
|
||||||||
At March 31, 2020
|
|
|
|
|
|
|
|
||||||||
Debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Government and government-sponsored enterprises
|
$
|
218,996
|
|
|
$
|
80
|
|
|
$
|
496
|
|
|
$
|
218,580
|
|
Obligations of states and political subdivisions
|
850,816
|
|
|
16,509
|
|
|
769
|
|
|
866,556
|
|
||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Residential agency
|
4,701,950
|
|
|
194,932
|
|
|
13
|
|
|
4,896,869
|
|
||||
Residential non-agency
|
327,663
|
|
|
415
|
|
|
4,544
|
|
|
323,534
|
|
||||
Commercial agency
|
653,969
|
|
|
27,769
|
|
|
2,156
|
|
|
679,582
|
|
||||
Commercial non-agency
|
39,390
|
|
|
328
|
|
|
15
|
|
|
39,703
|
|
||||
Total mortgage-backed debt securities
|
5,722,972
|
|
|
223,444
|
|
|
6,728
|
|
|
5,939,688
|
|
||||
Corporate debt and trust preferred securities
|
451
|
|
|
—
|
|
|
51
|
|
|
400
|
|
||||
Total investment securities available-for-sale
|
$
|
6,793,235
|
|
|
$
|
240,033
|
|
|
$
|
8,044
|
|
|
$
|
7,025,224
|
|
At December 31, 2019
|
|
|
|
|
|
|
|
||||||||
Debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Government and government-sponsored enterprises
|
$
|
235,045
|
|
|
$
|
18
|
|
|
$
|
678
|
|
|
$
|
234,385
|
|
Obligations of states and political subdivisions
|
852,096
|
|
|
12,446
|
|
|
687
|
|
|
863,855
|
|
||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Residential agency
|
4,492,427
|
|
|
68,797
|
|
|
6,103
|
|
|
4,555,121
|
|
||||
Residential non-agency
|
374,046
|
|
|
1,166
|
|
|
616
|
|
|
374,596
|
|
||||
Commercial agency
|
645,814
|
|
|
8,639
|
|
|
2,049
|
|
|
652,404
|
|
||||
Commercial non-agency
|
39,398
|
|
|
17
|
|
|
205
|
|
|
39,210
|
|
||||
Total mortgage-backed debt securities
|
5,551,685
|
|
|
78,619
|
|
|
8,973
|
|
|
5,621,331
|
|
||||
Corporate debt and trust preferred securities
|
451
|
|
|
—
|
|
|
21
|
|
|
430
|
|
||||
Total investment securities available-for-sale
|
$
|
6,639,277
|
|
|
$
|
91,083
|
|
|
$
|
10,359
|
|
|
$
|
6,720,001
|
|
|
Investment Securities Held-to-Maturity
|
||||||||||||||
(In thousands)
|
Amortized Cost
|
|
Gross Unrealized Gains
|
|
Gross Unrealized Losses
|
|
Fair Value
|
||||||||
At March 31, 2020
|
|
|
|
|
|
|
|
||||||||
Residential agency mortgage-backed securities
|
$
|
131,947
|
|
|
$
|
10,370
|
|
|
$
|
15
|
|
|
$
|
142,302
|
|
Corporate debt and trust preferred securities
|
3,672
|
|
|
—
|
|
|
—
|
|
|
3,672
|
|
||||
Total investment securities held-to-maturity (1)
|
$
|
135,619
|
|
|
$
|
10,370
|
|
|
$
|
15
|
|
|
$
|
145,974
|
|
At December 31, 2019
|
|
|
|
|
|
|
|
||||||||
Residential agency mortgage-backed securities
|
$
|
135,769
|
|
|
$
|
5,576
|
|
|
$
|
177
|
|
|
$
|
141,168
|
|
Corporate debt and trust preferred securities
|
3,676
|
|
|
—
|
|
|
—
|
|
|
3,676
|
|
||||
Total investment securities held-to-maturity
|
$
|
139,445
|
|
|
$
|
5,576
|
|
|
$
|
177
|
|
|
$
|
144,844
|
|
(1)
|
The adoption of CECL was inconsequential to held-to-maturity investment securities. At March 31, 2020 there was no allowance for credit losses for investment securities held-to-maturity.
|
|
At March 31, 2020
|
||||||||||||||||||||||
|
Less than 12 months
|
|
12 months or more
|
|
Total
|
||||||||||||||||||
(In thousands)
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
||||||||||||
Investment securities available-for-sale
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Government and government sponsored enterprises
|
$
|
182,694
|
|
|
$
|
496
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
182,694
|
|
|
$
|
496
|
|
Obligations of states and political subdivisions
|
145,406
|
|
|
769
|
|
|
—
|
|
|
—
|
|
|
145,406
|
|
|
769
|
|
||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Residential agency
|
480
|
|
|
13
|
|
|
—
|
|
|
—
|
|
|
480
|
|
|
13
|
|
||||||
Residential non-agency
|
251,453
|
|
|
4,544
|
|
|
—
|
|
|
—
|
|
|
251,453
|
|
|
4,544
|
|
||||||
Commercial agency
|
89,607
|
|
|
2,156
|
|
|
—
|
|
|
—
|
|
|
89,607
|
|
|
2,156
|
|
||||||
Commercial non-agency
|
2,004
|
|
|
15
|
|
|
—
|
|
|
—
|
|
|
2,004
|
|
|
15
|
|
||||||
Total mortgage-backed debt securities
|
343,544
|
|
|
6,728
|
|
|
—
|
|
|
—
|
|
|
343,544
|
|
|
6,728
|
|
||||||
Corporate debt and trust preferred securities
|
400
|
|
|
51
|
|
|
—
|
|
|
—
|
|
|
400
|
|
|
51
|
|
||||||
Total investment securities available-for-sale
|
$
|
672,044
|
|
|
$
|
8,044
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
672,044
|
|
|
$
|
8,044
|
|
|
At December 31, 2019
|
||||||||||||||||||||||
|
Less than 12 months
|
|
12 months or more
|
|
Total
|
||||||||||||||||||
(In thousands)
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
||||||||||||
Investment securities available-for-sale
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Government and government sponsored enterprises
|
$
|
226,177
|
|
|
$
|
678
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
226,177
|
|
|
$
|
678
|
|
Obligations of states and political subdivisions
|
60,639
|
|
|
687
|
|
|
—
|
|
|
—
|
|
|
60,639
|
|
|
687
|
|
||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Residential agency
|
667,511
|
|
|
3,586
|
|
|
200,534
|
|
|
2,517
|
|
|
868,045
|
|
|
6,103
|
|
||||||
Residential non-agency
|
140,403
|
|
|
616
|
|
|
—
|
|
|
—
|
|
|
140,403
|
|
|
616
|
|
||||||
Commercial agency
|
176,880
|
|
|
2,049
|
|
|
—
|
|
|
—
|
|
|
176,880
|
|
|
2,049
|
|
||||||
Commercial non-agency
|
25,560
|
|
|
205
|
|
|
—
|
|
|
—
|
|
|
25,560
|
|
|
205
|
|
||||||
Total mortgage-backed debt securities
|
1,010,354
|
|
|
6,456
|
|
|
200,534
|
|
|
2,517
|
|
|
1,210,888
|
|
|
8,973
|
|
||||||
Corporate debt and trust preferred securities
|
430
|
|
|
21
|
|
|
—
|
|
|
—
|
|
|
430
|
|
|
21
|
|
||||||
Total investment securities available-for-sale
|
$
|
1,297,600
|
|
|
$
|
7,842
|
|
|
$
|
200,534
|
|
|
$
|
2,517
|
|
|
$
|
1,498,134
|
|
|
$
|
10,359
|
|
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Gross realized gains
|
$
|
—
|
|
|
$
|
1,622
|
|
Gross realized losses
|
—
|
|
|
1,175
|
|
||
Recoveries on previously impaired investment securities held-to-maturity
|
—
|
|
|
4
|
|
||
Net gains (losses) on investment securities
|
$
|
—
|
|
|
$
|
451
|
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||||||||||
(In thousands)
|
Amortized Cost
|
|
Fair Value
|
|
Amortized Cost
|
|
Fair Value
|
||||||||
Investment Securities Available-for-Sale
|
|
|
|
|
|
|
|
|
|
|
|
||||
Due in one year or less
|
$
|
66,096
|
|
|
$
|
66,021
|
|
|
$
|
66,124
|
|
|
$
|
66,112
|
|
Due in 1-5 years
|
188,565
|
|
|
189,294
|
|
|
191,364
|
|
|
192,065
|
|
||||
Due in 5-10 years
|
551,643
|
|
|
569,940
|
|
|
547,813
|
|
|
555,523
|
|
||||
Due after 10 years
|
5,986,931
|
|
|
6,199,969
|
|
|
5,833,976
|
|
|
5,906,301
|
|
||||
Total investment securities available-for-sale
|
$
|
6,793,235
|
|
|
$
|
7,025,224
|
|
|
$
|
6,639,277
|
|
|
$
|
6,720,001
|
|
Investment Securities Held-to-Maturity
|
|
|
|
|
|
|
|
|
|
|
|
||||
Due in 1-5 years
|
$
|
3,550
|
|
|
$
|
3,550
|
|
|
$
|
3,550
|
|
|
$
|
3,550
|
|
Due in 5-10 years
|
55
|
|
|
61
|
|
|
58
|
|
|
64
|
|
||||
Due after 10 years
|
132,014
|
|
|
142,363
|
|
|
135,837
|
|
|
141,230
|
|
||||
Total investment securities held-to-maturity
|
$
|
135,619
|
|
|
$
|
145,974
|
|
|
$
|
139,445
|
|
|
$
|
144,844
|
|
(In thousands)
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
||
Commercial and industrial
|
$
|
12,326,943
|
|
|
$
|
11,439,602
|
|
Commercial real estate
|
9,486,904
|
|
|
9,136,870
|
|
||
Lease financing
|
2,708,998
|
|
|
2,699,869
|
|
||
Total commercial loan and lease portfolio
|
24,522,845
|
|
|
23,276,341
|
|
||
Consumer loan portfolio:
|
|
|
|
||||
Residential mortgage
|
6,435,314
|
|
|
6,179,805
|
|
||
Consumer installment
|
1,509,953
|
|
|
1,542,411
|
|
||
Home equity
|
3,453,502
|
|
|
3,498,907
|
|
||
Total consumer loan portfolio
|
11,398,769
|
|
|
11,221,123
|
|
||
Total loans and leases(1)
|
$
|
35,921,614
|
|
|
$
|
34,497,464
|
|
(1)
|
Loans and leases are reported at historical cost including net direct fees and costs associated with originating and acquiring loans and leases, lease residuals, unearned income and unamortized purchase premiums and discounts. The aggregate amount of these loan and lease adjustments was $(177.8) million and $(201.5) million at March 31, 2020 and December 31, 2019, respectively.
|
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Interest income - loans and leases:
|
|
|
|
||||
Interest income on net investment in direct financing and sales-type leases
|
$
|
34,156
|
|
|
$
|
32,384
|
|
Leasing revenue (noninterest income):
|
|
|
|
||||
Lease income from operating lease payments
|
23,902
|
|
|
25,399
|
|
||
Profit recorded on commencement date on sales-type leases
|
3,580
|
|
|
7,057
|
|
||
Gains on sales of leased equipment
|
6,083
|
|
|
5,709
|
|
||
Leasing revenue
|
33,565
|
|
|
38,165
|
|
||
Total lease income
|
$
|
67,721
|
|
|
$
|
70,549
|
|
|
Three Months Ended March 31,
|
||||||
(In millions)
|
2020
|
|
2019
|
||||
Sale proceeds, net
|
$
|
555,182
|
|
|
$
|
274,986
|
|
Recorded investment in loans and leases sold, including accrued interest
|
537,180
|
|
|
267,109
|
|
||
Other
|
2,588
|
|
|
340
|
|
||
Net gains on sales of loans and leases
|
$
|
20,590
|
|
|
$
|
8,217
|
|
(In thousands)
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
Interest-only strips
|
$
|
10,951
|
|
|
$
|
12,813
|
|
(In thousands)
|
Consumer Loan Portfolio
|
|
Commercial Loan and Lease Portfolio
|
|
Total Loans and Leases
|
|
Unfunded Commitments(1)
|
|
Total
|
||||||||||
At or For the Three Months Ended March 31, 2020
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, beginning of period
|
$
|
28,572
|
|
|
$
|
84,480
|
|
|
$
|
113,052
|
|
|
$
|
3,528
|
|
|
$
|
116,580
|
|
Impact of CECL adoption
|
107,337
|
|
|
98,655
|
|
|
205,992
|
|
|
14,707
|
|
|
220,699
|
|
|||||
Adjusted balance, beginning of period
|
135,909
|
|
|
183,135
|
|
|
319,044
|
|
|
18,235
|
|
|
337,279
|
|
|||||
Charge-offs
|
(5,900
|
)
|
|
(9,749
|
)
|
|
(15,649
|
)
|
|
—
|
|
|
(15,649
|
)
|
|||||
Recoveries
|
4,760
|
|
|
5,412
|
|
|
10,172
|
|
|
—
|
|
|
10,172
|
|
|||||
Net (charge-offs) recoveries
|
(1,140
|
)
|
|
(4,337
|
)
|
|
(5,477
|
)
|
|
—
|
|
|
(5,477
|
)
|
|||||
Provision for credit losses(2)
|
40,288
|
|
|
52,702
|
|
|
92,990
|
|
|
3,953
|
|
|
96,943
|
|
|||||
Other
|
—
|
|
|
(174
|
)
|
|
(174
|
)
|
|
—
|
|
|
(174
|
)
|
|||||
Balance, end of period
|
$
|
175,057
|
|
|
$
|
231,326
|
|
|
$
|
406,383
|
|
|
$
|
22,188
|
|
|
$
|
428,571
|
|
At or For the Three Months Ended March 31, 2019
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, beginning of period
|
$
|
80,017
|
|
|
$
|
77,429
|
|
|
$
|
157,446
|
|
|
$
|
1,428
|
|
|
$
|
158,874
|
|
Charge-offs
|
(16,866
|
)
|
|
(7,565
|
)
|
|
(24,431
|
)
|
|
—
|
|
|
(24,431
|
)
|
|||||
Recoveries
|
4,857
|
|
|
920
|
|
|
5,777
|
|
|
—
|
|
|
5,777
|
|
|||||
Net (charge-offs) recoveries
|
(12,009
|
)
|
|
(6,645
|
)
|
|
(18,654
|
)
|
|
—
|
|
|
(18,654
|
)
|
|||||
Provision for credit losses(2)
|
7,258
|
|
|
2,864
|
|
|
10,122
|
|
|
513
|
|
|
10,635
|
|
|||||
Other
|
(969
|
)
|
|
27
|
|
|
(942
|
)
|
|
—
|
|
|
(942
|
)
|
|||||
Balance, end of period
|
$
|
74,297
|
|
|
$
|
73,675
|
|
|
$
|
147,972
|
|
|
$
|
1,941
|
|
|
$
|
149,913
|
|
(1)
|
Reserve for unfunded commitments is recognized within other liabilities on the Consolidated Statements of Financial Condition.
|
(2)
|
As a result of the adoption of CECL, effective January 1, 2020, the provision for credit losses includes the provision for unfunded commitments that was previously included within other noninterest expense.
|
|
At December 31, 2019
|
||||||||||
(In thousands)
|
Consumer Loan Portfolio
|
|
Commercial Loan and Lease Portfolio
|
|
Total Loans and Leases
|
||||||
Allowance for loan and lease losses
|
|
|
|
|
|
||||||
Collectively evaluated for impairment
|
$
|
26,430
|
|
|
$
|
75,756
|
|
|
$
|
102,186
|
|
Individually evaluated for impairment
|
1,468
|
|
|
5,769
|
|
|
7,237
|
|
|||
Loans acquired with deteriorated credit quality
|
674
|
|
|
2,955
|
|
|
3,629
|
|
|||
Total
|
$
|
28,572
|
|
|
$
|
84,480
|
|
|
$
|
113,052
|
|
Loans and leases outstanding
|
|
|
|
|
|
||||||
Collectively evaluated for impairment
|
$
|
11,087,534
|
|
|
$
|
22,986,607
|
|
|
$
|
34,074,141
|
|
Individually evaluated for impairment
|
60,694
|
|
|
115,843
|
|
|
176,537
|
|
|||
Loans acquired with deteriorated credit quality
|
72,895
|
|
|
173,891
|
|
|
246,786
|
|
|||
Total
|
$
|
11,221,123
|
|
|
$
|
23,276,341
|
|
|
$
|
34,497,464
|
|
|
At December 31, 2019
|
||||||||||
(In thousands)
|
Unpaid
Contractual Balance |
|
Loan and Lease Balance
|
|
Related
Allowance Recorded |
||||||
Impaired loans and leases with an allowance recorded:
|
|
|
|
|
|
|
|
|
|||
Commercial loan and lease portfolio:
|
|
|
|
|
|
||||||
Commercial and industrial
|
$
|
20,069
|
|
|
$
|
20,090
|
|
|
$
|
2,844
|
|
Commercial real estate
|
4,225
|
|
|
3,962
|
|
|
333
|
|
|||
Lease financing
|
10,956
|
|
|
10,956
|
|
|
2,592
|
|
|||
Total commercial loan and lease portfolio
|
35,250
|
|
|
35,008
|
|
|
5,769
|
|
|||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|||
Residential mortgage
|
24,297
|
|
|
22,250
|
|
|
1,030
|
|
|||
Home equity
|
9,418
|
|
|
8,791
|
|
|
438
|
|
|||
Total consumer loan portfolio
|
33,715
|
|
|
31,041
|
|
|
1,468
|
|
|||
Total impaired loans and leases with an allowance recorded
|
68,965
|
|
|
66,049
|
|
|
7,237
|
|
|||
Impaired loans and leases without an allowance recorded:
|
|
|
|
|
|
|
|
|
|||
Commercial loan and lease portfolio:
|
|
|
|
|
|
||||||
Commercial and industrial
|
55,889
|
|
|
39,098
|
|
|
—
|
|
|||
Commercial real estate
|
69,143
|
|
|
41,737
|
|
|
—
|
|
|||
Total commercial loan and lease portfolio
|
125,032
|
|
|
80,835
|
|
|
—
|
|
|||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|||
Residential mortgage
|
31,142
|
|
|
22,594
|
|
|
—
|
|
|||
Consumer installment
|
2,095
|
|
|
880
|
|
|
—
|
|
|||
Home equity
|
24,709
|
|
|
6,179
|
|
|
—
|
|
|||
Total consumer loan portfolio
|
57,946
|
|
|
29,653
|
|
|
—
|
|
|||
Total impaired loans and leases without an allowance recorded
|
182,978
|
|
|
110,488
|
|
|
—
|
|
|||
Total impaired loans and leases
|
$
|
251,943
|
|
|
$
|
176,537
|
|
|
$
|
7,237
|
|
(In thousands)
|
Current
|
|
30-89 Days Delinquent and Accruing
|
|
90 Days or More Delinquent and Accruing
|
|
Total
Accruing
|
|
Nonaccrual(1)
|
|
Total
|
||||||||||||
At March 31, 2020
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
$
|
12,188,493
|
|
|
$
|
54,183
|
|
|
$
|
110
|
|
|
$
|
12,242,786
|
|
|
$
|
84,157
|
|
|
$
|
12,326,943
|
|
Commercial real estate
|
9,395,692
|
|
|
42,738
|
|
|
1,442
|
|
|
9,439,872
|
|
|
47,032
|
|
|
9,486,904
|
|
||||||
Lease financing
|
2,653,675
|
|
|
39,108
|
|
|
3,045
|
|
|
2,695,828
|
|
|
13,170
|
|
|
2,708,998
|
|
||||||
Total commercial loan and lease portfolio
|
24,237,860
|
|
|
136,029
|
|
|
4,597
|
|
|
24,378,486
|
|
|
144,359
|
|
|
24,522,845
|
|
||||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Residential mortgage
|
6,350,832
|
|
|
21,949
|
|
|
553
|
|
|
6,373,334
|
|
|
61,980
|
|
|
6,435,314
|
|
||||||
Consumer installment
|
1,504,344
|
|
|
4,615
|
|
|
5
|
|
|
1,508,964
|
|
|
989
|
|
|
1,509,953
|
|
||||||
Home equity
|
3,380,076
|
|
|
29,864
|
|
|
415
|
|
|
3,410,355
|
|
|
43,147
|
|
|
3,453,502
|
|
||||||
Total consumer loan portfolio
|
11,235,252
|
|
|
56,428
|
|
|
973
|
|
|
11,292,653
|
|
|
106,116
|
|
|
11,398,769
|
|
||||||
Total
|
$
|
35,473,112
|
|
|
$
|
192,457
|
|
|
$
|
5,570
|
|
|
$
|
35,671,139
|
|
|
$
|
250,475
|
|
|
$
|
35,921,614
|
|
At December 31, 2019
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
$
|
11,283,832
|
|
|
$
|
29,780
|
|
|
$
|
331
|
|
|
$
|
11,313,943
|
|
|
$
|
53,812
|
|
|
$
|
11,367,755
|
|
Commercial real estate
|
8,993,360
|
|
|
10,291
|
|
|
1,440
|
|
|
9,005,091
|
|
|
29,735
|
|
|
9,034,826
|
|
||||||
Lease financing
|
2,662,354
|
|
|
24,657
|
|
|
1,901
|
|
|
2,688,912
|
|
|
10,957
|
|
|
2,699,869
|
|
||||||
Total commercial loan and lease portfolio
|
22,939,546
|
|
|
64,728
|
|
|
3,672
|
|
|
23,007,946
|
|
|
94,504
|
|
|
23,102,450
|
|
||||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Residential mortgage
|
6,056,817
|
|
|
17,245
|
|
|
559
|
|
|
6,074,621
|
|
|
38,577
|
|
|
6,113,198
|
|
||||||
Consumer installment
|
1,536,714
|
|
|
4,292
|
|
|
108
|
|
|
1,541,114
|
|
|
714
|
|
|
1,541,828
|
|
||||||
Home equity
|
3,434,771
|
|
|
22,568
|
|
|
—
|
|
|
3,457,339
|
|
|
35,863
|
|
|
3,493,202
|
|
||||||
Total consumer loan portfolio
|
11,028,302
|
|
|
44,105
|
|
|
667
|
|
|
11,073,074
|
|
|
75,154
|
|
|
11,148,228
|
|
||||||
Purchased credit impaired loans(1)
|
217,206
|
|
|
3,843
|
|
|
25,737
|
|
|
246,786
|
|
|
—
|
|
|
246,786
|
|
||||||
Total
|
$
|
34,185,054
|
|
|
$
|
112,676
|
|
|
$
|
30,076
|
|
|
$
|
34,327,806
|
|
|
$
|
169,658
|
|
|
$
|
34,497,464
|
|
(1)
|
Prior to the adoption of CECL as of January 1, 2020, purchased credit impaired loans were not classified as nonaccrual loans because they were recorded at their net realizable value based on the principal and interest expected to be collected on the loans. At January 1, 2020, $73.4 million of previous purchased credit impaired loans were reclassified to nonaccrual loans as a result of the adoption of CECL.
|
|
|
|
Amortized Cost Basis
|
||||||||||||||||||||||||||||||||
(In thousands)
|
Term Loans and Leases by Origination Year
|
|
Revolving Loans and Leases
|
|
Revolving Loans and Leases Converted to Term Loans and Leases
|
|
|
||||||||||||||||||||||||||||
At March 31, 2020
|
2020
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
Prior
|
|
|
|
Total
|
||||||||||||||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Commercial and industrial
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
67
|
|
|
$
|
39
|
|
|
$
|
4
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
110
|
|
Commercial real estate
|
—
|
|
|
—
|
|
|
115
|
|
|
—
|
|
|
—
|
|
|
1,327
|
|
|
—
|
|
|
—
|
|
|
1,442
|
|
|||||||||
Lease financing
|
—
|
|
|
2,012
|
|
|
691
|
|
|
152
|
|
|
60
|
|
|
130
|
|
|
—
|
|
|
—
|
|
|
3,045
|
|
|||||||||
Total commercial loan and lease portfolio
|
—
|
|
|
2,012
|
|
|
806
|
|
|
219
|
|
|
99
|
|
|
1,461
|
|
|
—
|
|
|
—
|
|
|
4,597
|
|
|||||||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Residential mortgage
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
553
|
|
|
—
|
|
|
—
|
|
|
553
|
|
|||||||||
Consumer installment
|
5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5
|
|
|||||||||
Home equity
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
415
|
|
|
—
|
|
|
415
|
|
|||||||||
Total consumer loan portfolio
|
5
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
553
|
|
|
415
|
|
|
—
|
|
|
973
|
|
|||||||||
Total 90 days or more delinquent and accruing
|
$
|
5
|
|
|
$
|
2,012
|
|
|
$
|
806
|
|
|
$
|
219
|
|
|
$
|
99
|
|
|
$
|
2,014
|
|
|
$
|
415
|
|
|
$
|
—
|
|
|
$
|
5,570
|
|
|
|
|
Amortized Cost Basis
|
||||||||||||||||||||||||||||||||
(In thousands)
|
Term Loans and Leases by Origination Year
|
|
Revolving Loans and Leases
|
|
Revolving Loans and Leases Converted to Term Loans and Leases
|
|
|
||||||||||||||||||||||||||||
At March 31, 2020
|
2020
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
Prior
|
|
|
|
Total
|
||||||||||||||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Commercial and industrial
|
$
|
296
|
|
|
$
|
5,192
|
|
|
$
|
12,329
|
|
|
$
|
15,382
|
|
|
$
|
13,883
|
|
|
$
|
29,984
|
|
|
$
|
7,091
|
|
|
$
|
—
|
|
|
$
|
84,157
|
|
Commercial real estate
|
—
|
|
|
457
|
|
|
3,758
|
|
|
4,457
|
|
|
9,707
|
|
|
28,653
|
|
|
—
|
|
|
—
|
|
|
47,032
|
|
|||||||||
Lease financing
|
—
|
|
|
1,413
|
|
|
2,065
|
|
|
4,496
|
|
|
1,764
|
|
|
2,546
|
|
|
—
|
|
|
886
|
|
|
13,170
|
|
|||||||||
Total commercial loan and lease portfolio
|
296
|
|
|
7,062
|
|
|
18,152
|
|
|
24,335
|
|
|
25,354
|
|
|
61,183
|
|
|
7,091
|
|
|
886
|
|
|
144,359
|
|
|||||||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Residential mortgage
|
267
|
|
|
1,517
|
|
|
2,383
|
|
|
2,673
|
|
|
1,857
|
|
|
52,338
|
|
|
—
|
|
|
945
|
|
|
61,980
|
|
|||||||||
Consumer installment
|
—
|
|
|
33
|
|
|
241
|
|
|
122
|
|
|
70
|
|
|
438
|
|
|
85
|
|
|
—
|
|
|
989
|
|
|||||||||
Home equity
|
528
|
|
|
1,883
|
|
|
684
|
|
|
365
|
|
|
215
|
|
|
4,895
|
|
|
33,688
|
|
|
889
|
|
|
43,147
|
|
|||||||||
Total consumer loan portfolio
|
795
|
|
|
3,433
|
|
|
3,308
|
|
|
3,160
|
|
|
2,142
|
|
|
57,671
|
|
|
33,773
|
|
|
1,834
|
|
|
106,116
|
|
|||||||||
Total nonaccrual loans and leases
|
$
|
1,091
|
|
|
$
|
10,495
|
|
|
$
|
21,460
|
|
|
$
|
27,495
|
|
|
$
|
27,496
|
|
|
$
|
118,854
|
|
|
$
|
40,864
|
|
|
$
|
2,720
|
|
|
$
|
250,475
|
|
|
Three Months Ended March 31,
|
||||||||||||||
|
2020
|
|
2019
|
||||||||||||
(In thousands)
|
Average Loan and Lease Balance(1)
|
|
Interest Income Recognized(1)
|
|
Average Loan and Lease Balance
|
|
Interest Income Recognized
|
||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Commercial and industrial
|
$
|
68,985
|
|
|
$
|
1,709
|
|
|
$
|
21,605
|
|
|
$
|
71
|
|
Commercial real estate
|
38,383
|
|
|
1,784
|
|
|
2,562
|
|
|
—
|
|
||||
Lease financing
|
12,063
|
|
|
51
|
|
|
9,485
|
|
|
34
|
|
||||
Total commercial loan and lease portfolio
|
119,431
|
|
|
3,544
|
|
|
33,652
|
|
|
105
|
|
||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
||||||||
Residential mortgage
|
50,278
|
|
|
638
|
|
|
34,169
|
|
|
78
|
|
||||
Consumer installment
|
852
|
|
|
25
|
|
|
8,807
|
|
|
—
|
|
||||
Home equity
|
39,505
|
|
|
156
|
|
|
27,973
|
|
|
40
|
|
||||
Total consumer loan portfolio
|
90,635
|
|
|
819
|
|
|
70,949
|
|
|
118
|
|
||||
Total nonaccrual loans and leases
|
$
|
210,066
|
|
|
$
|
4,363
|
|
|
$
|
104,601
|
|
|
$
|
223
|
|
(1)
|
At January 1, 2020, $73.4 million of previously purchased credit impaired loans were reclassified to nonaccrual loans as a result of the adoption of CECL. Beginning January 1, 2020, interest income, including the related purchase accounting accretion and amortization is included related to these loans.
|
|
Amortized Cost Basis
|
||||||||||||||||||||||||||||||||||
(In thousands)
|
Term Loans and Leases by Origination Year
|
|
Revolving Loans and Leases(1)
|
|
Revolving Loans and Leases Converted to Term Loans and Leases(2)
|
|
|
||||||||||||||||||||||||||||
At March 31, 2020
|
2020
|
|
2019
|
|
2018
|
|
2017
|
|
2016
|
|
Prior
|
|
|
|
Total
|
||||||||||||||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Pass
|
$
|
791,458
|
|
|
$
|
2,781,870
|
|
|
$
|
1,607,788
|
|
|
$
|
940,905
|
|
|
$
|
630,425
|
|
|
$
|
917,788
|
|
|
$
|
4,058,569
|
|
|
$
|
40,089
|
|
|
$
|
11,768,892
|
|
Special mention
|
667
|
|
|
15,050
|
|
|
47,411
|
|
|
37,612
|
|
|
26,010
|
|
|
45,499
|
|
|
139,147
|
|
|
1,259
|
|
|
312,655
|
|
|||||||||
Substandard
|
1,526
|
|
|
17,159
|
|
|
43,437
|
|
|
14,028
|
|
|
29,873
|
|
|
45,130
|
|
|
88,036
|
|
|
—
|
|
|
239,189
|
|
|||||||||
Doubtful
|
—
|
|
|
—
|
|
|
1,500
|
|
|
4,199
|
|
|
—
|
|
|
508
|
|
|
—
|
|
|
—
|
|
|
6,207
|
|
|||||||||
Total commercial and industrial
|
793,651
|
|
|
2,814,079
|
|
|
1,700,136
|
|
|
996,744
|
|
|
686,308
|
|
|
1,008,925
|
|
|
4,285,752
|
|
|
41,348
|
|
|
12,326,943
|
|
|||||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Pass
|
685,194
|
|
|
2,328,888
|
|
|
2,141,432
|
|
|
1,671,351
|
|
|
889,876
|
|
|
1,436,544
|
|
|
1,077
|
|
|
—
|
|
|
9,154,362
|
|
|||||||||
Special mention
|
—
|
|
|
38,094
|
|
|
16,882
|
|
|
97,826
|
|
|
36,102
|
|
|
50,891
|
|
|
—
|
|
|
—
|
|
|
239,795
|
|
|||||||||
Substandard
|
—
|
|
|
662
|
|
|
5,516
|
|
|
9,043
|
|
|
16,622
|
|
|
60,904
|
|
|
—
|
|
|
—
|
|
|
92,747
|
|
|||||||||
Total commercial real estate
|
685,194
|
|
|
2,367,644
|
|
|
2,163,830
|
|
|
1,778,220
|
|
|
942,600
|
|
|
1,548,339
|
|
|
1,077
|
|
|
—
|
|
|
9,486,904
|
|
|||||||||
Lease financing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Pass
|
262,563
|
|
|
935,170
|
|
|
549,772
|
|
|
357,029
|
|
|
212,876
|
|
|
89,606
|
|
|
44,682
|
|
|
200,917
|
|
|
2,652,615
|
|
|||||||||
Special mention
|
660
|
|
|
5,154
|
|
|
3,781
|
|
|
4,256
|
|
|
2,899
|
|
|
2,327
|
|
|
—
|
|
|
11,524
|
|
|
30,601
|
|
|||||||||
Substandard
|
3,371
|
|
|
3,596
|
|
|
3,371
|
|
|
6,365
|
|
|
2,596
|
|
|
3,533
|
|
|
—
|
|
|
2,950
|
|
|
25,782
|
|
|||||||||
Total lease financing
|
266,594
|
|
|
943,920
|
|
|
556,924
|
|
|
367,650
|
|
|
218,371
|
|
|
95,466
|
|
|
44,682
|
|
|
215,391
|
|
|
2,708,998
|
|
|||||||||
Total commercial
|
1,745,439
|
|
|
6,125,643
|
|
|
4,420,890
|
|
|
3,142,614
|
|
|
1,847,279
|
|
|
2,652,730
|
|
|
4,331,511
|
|
|
256,739
|
|
|
24,522,845
|
|
|||||||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Residential mortgage
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Pass
|
504,871
|
|
|
1,526,611
|
|
|
1,045,969
|
|
|
668,442
|
|
|
618,565
|
|
|
1,987,061
|
|
|
—
|
|
|
16,554
|
|
|
6,368,073
|
|
|||||||||
Special mention
|
—
|
|
|
393
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
382
|
|
|
—
|
|
|
—
|
|
|
775
|
|
|||||||||
Substandard
|
267
|
|
|
1,517
|
|
|
2,599
|
|
|
2,807
|
|
|
1,857
|
|
|
56,474
|
|
|
—
|
|
|
945
|
|
|
66,466
|
|
|||||||||
Total residential mortgage
|
505,138
|
|
|
1,528,521
|
|
|
1,048,568
|
|
|
671,249
|
|
|
620,422
|
|
|
2,043,917
|
|
|
—
|
|
|
17,499
|
|
|
6,435,314
|
|
|||||||||
Consumer installment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Pass
|
97,037
|
|
|
483,133
|
|
|
258,519
|
|
|
266,110
|
|
|
189,150
|
|
|
179,147
|
|
|
35,851
|
|
|
—
|
|
|
1,508,947
|
|
|||||||||
Substandard
|
—
|
|
|
42
|
|
|
241
|
|
|
122
|
|
|
70
|
|
|
438
|
|
|
93
|
|
|
—
|
|
|
1,006
|
|
|||||||||
Total consumer installment
|
97,037
|
|
|
483,175
|
|
|
258,760
|
|
|
266,232
|
|
|
189,220
|
|
|
179,585
|
|
|
35,944
|
|
|
—
|
|
|
1,509,953
|
|
|||||||||
Home equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Pass
|
11,857
|
|
|
68,988
|
|
|
68,945
|
|
|
56,168
|
|
|
41,278
|
|
|
172,810
|
|
|
2,956,158
|
|
|
29,015
|
|
|
3,405,219
|
|
|||||||||
Special mention
|
—
|
|
|
230
|
|
|
—
|
|
|
37
|
|
|
—
|
|
|
372
|
|
|
30
|
|
|
—
|
|
|
669
|
|
|||||||||
Substandard
|
625
|
|
|
2,166
|
|
|
757
|
|
|
365
|
|
|
267
|
|
|
5,353
|
|
|
37,129
|
|
|
952
|
|
|
47,614
|
|
|||||||||
Total home equity
|
12,482
|
|
|
71,384
|
|
|
69,702
|
|
|
56,570
|
|
|
41,545
|
|
|
178,535
|
|
|
2,993,317
|
|
|
29,967
|
|
|
3,453,502
|
|
|||||||||
Total consumer
|
614,657
|
|
|
2,083,080
|
|
|
1,377,030
|
|
|
994,051
|
|
|
851,187
|
|
|
2,402,037
|
|
|
3,029,261
|
|
|
47,466
|
|
|
11,398,769
|
|
|||||||||
Total loans and leases
|
$
|
2,360,096
|
|
|
$
|
8,208,723
|
|
|
$
|
5,797,920
|
|
|
$
|
4,136,665
|
|
|
$
|
2,698,466
|
|
|
$
|
5,054,767
|
|
|
$
|
7,360,772
|
|
|
$
|
304,205
|
|
|
$
|
35,921,614
|
|
(1)
|
This balance includes $44.7 million of leased equipment that has been provided to lessees under certain master lease agreements. Under these agreements, the total amount of equipment included in each lease is provided over time, and additional amounts are required to be provided to the respective lessees in future accounting periods.
|
(2)
|
This balance includes $256.7 million of leased equipment that has been provided to lessees under certain master lease agreements. Under these agreements, the total amount of equipment included in each lease was provided over time, and all equipment required by the lease has been provided to the respective lessees in current or previous accounting periods.
|
(In thousands)
|
Pass
|
|
Special Mention
|
|
Substandard
|
|
Total
|
||||||||
At December 31, 2019
|
|
|
|
|
|
|
|
||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
||||||
Commercial and industrial
|
$
|
10,930,939
|
|
|
$
|
315,097
|
|
|
$
|
193,566
|
|
|
$
|
11,439,602
|
|
Commercial real estate
|
8,891,361
|
|
|
170,114
|
|
|
75,395
|
|
|
9,136,870
|
|
||||
Lease financing
|
2,646,874
|
|
|
28,091
|
|
|
24,904
|
|
|
2,699,869
|
|
||||
Total commercial loan and lease portfolio
|
22,469,174
|
|
|
513,302
|
|
|
293,865
|
|
|
23,276,341
|
|
||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
||||||||
Residential mortgage
|
6,135,096
|
|
|
565
|
|
|
44,144
|
|
|
6,179,805
|
|
||||
Consumer installment
|
1,541,524
|
|
|
—
|
|
|
887
|
|
|
1,542,411
|
|
||||
Home equity
|
3,457,292
|
|
|
456
|
|
|
41,159
|
|
|
3,498,907
|
|
||||
Total consumer loan portfolio
|
11,133,912
|
|
|
1,021
|
|
|
86,190
|
|
|
11,221,123
|
|
||||
Total loans and leases
|
$
|
33,603,086
|
|
|
$
|
514,323
|
|
|
$
|
380,055
|
|
|
$
|
34,497,464
|
|
|
Three Months Ended March 31,
|
||||||||||||||
|
2020
|
|
2019
|
||||||||||||
(In thousands)
|
Pre-modification Investment
|
|
Post-modification Investment
|
|
Pre-modification Investment
|
|
Post-modification Investment
|
||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
$
|
5,751
|
|
|
$
|
5,751
|
|
|
$
|
1,195
|
|
|
$
|
1,195
|
|
Commercial real estate
|
106
|
|
|
106
|
|
|
569
|
|
|
569
|
|
||||
Total commercial loan and lease portfolio
|
5,857
|
|
|
5,857
|
|
|
1,764
|
|
|
1,764
|
|
||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
||||||||
Residential mortgage
|
3,222
|
|
|
3,157
|
|
|
1,385
|
|
|
1,378
|
|
||||
Consumer installment
|
376
|
|
|
353
|
|
|
—
|
|
|
—
|
|
||||
Home equity
|
997
|
|
|
996
|
|
|
1,666
|
|
|
1,654
|
|
||||
Total consumer loan portfolio
|
4,595
|
|
|
4,506
|
|
|
3,051
|
|
|
3,032
|
|
||||
Total
|
$
|
10,452
|
|
|
$
|
10,363
|
|
|
$
|
4,815
|
|
|
$
|
4,796
|
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||||||||||||||||||
(In thousands)
|
Accruing
TDR Loans
|
|
Nonaccrual TDR Loans
|
|
Total
TDR Loans
|
|
Accruing
TDR Loans
|
|
Nonaccrual TDR Loans
|
|
Total
TDR Loans
|
||||||||||||
Commercial loan and lease portfolio
|
$
|
9,655
|
|
|
$
|
10,313
|
|
|
$
|
19,968
|
|
|
$
|
12,986
|
|
|
$
|
5,356
|
|
|
$
|
18,342
|
|
Consumer loan portfolio
|
13,248
|
|
|
17,331
|
|
|
30,579
|
|
|
12,403
|
|
|
14,875
|
|
|
27,278
|
|
||||||
Total
|
$
|
22,903
|
|
|
$
|
27,644
|
|
|
$
|
50,547
|
|
|
$
|
25,389
|
|
|
$
|
20,231
|
|
|
$
|
45,620
|
|
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Defaulted TDR loan balances modified during the applicable period
|
|
|
|
||||
Consumer loan portfolio:
|
|
|
|
|
|
||
Residential mortgage
|
$
|
630
|
|
|
$
|
190
|
|
Consumer installment
|
—
|
|
|
536
|
|
||
Home equity
|
59
|
|
|
94
|
|
||
Total consumer loan portfolio
|
689
|
|
|
820
|
|
||
Defaulted TDR loan balances
|
$
|
689
|
|
|
$
|
820
|
|
(In thousands)
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
Other real estate owned
|
$
|
38,914
|
|
|
$
|
34,256
|
|
Repossessed and returned assets
|
10,196
|
|
|
8,045
|
|
||
Consumer loans in process of foreclosure
|
18,693
|
|
|
17,758
|
|
(In thousands)
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
Goodwill related to consumer banking segment
|
$
|
771,555
|
|
|
$
|
764,389
|
|
Goodwill related to commercial banking segment
|
541,491
|
|
|
535,489
|
|
||
Goodwill, net
|
$
|
1,313,046
|
|
|
$
|
1,299,878
|
|
(In thousands)
|
At or For the Three Months Ended March 31, 2020
|
||
Balance, beginning of period
|
$
|
56,313
|
|
New servicing assets created
|
2,451
|
|
|
Impairment (charge) recovery
|
(8,236
|
)
|
|
Amortization
|
(3,245
|
)
|
|
Balance, end of period
|
$
|
47,283
|
|
Valuation allowance, end of period
|
$
|
(12,118
|
)
|
Loans serviced for others that have servicing rights capitalized, end of period
|
$
|
6,444,101
|
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||||||||
(Dollars in thousands)
|
Amount
|
|
Weighted-average Rate
|
|
Amount
|
|
Weighted-average Rate
|
||||||
FHLB advances
|
$
|
3,200,000
|
|
|
0.61
|
%
|
|
$
|
2,450,000
|
|
|
1.85
|
%
|
Collateralized Deposits
|
202,535
|
|
|
0.64
|
|
|
219,145
|
|
|
0.64
|
|
||
Line-of-Credit - TCF Financial Corporation
|
80,000
|
|
|
2.64
|
|
|
—
|
|
|
—
|
|
||
Total short-term borrowings
|
$
|
3,482,535
|
|
|
0.66
|
|
|
$
|
2,669,145
|
|
|
1.75
|
|
(In thousands)
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
FHLB advances
|
$
|
2,071,480
|
|
|
$
|
1,822,058
|
|
Subordinated debt obligations
|
437,504
|
|
|
428,470
|
|
||
Discounted lease rentals
|
88,593
|
|
|
100,882
|
|
||
Finance lease obligation
|
3,017
|
|
|
3,038
|
|
||
Total long-term borrowings
|
$
|
2,600,594
|
|
|
$
|
2,354,448
|
|
(In thousands)
|
|
||
Remainder of 2020
|
$
|
62,726
|
|
2021
|
1,818,472
|
|
|
2022
|
142,766
|
|
|
2023
|
23,658
|
|
|
2024
|
10,424
|
|
|
Thereafter
|
542,548
|
|
|
Total long-term borrowings
|
$
|
2,600,594
|
|
|
Three Months Ended March 31,
|
||||||||||||||||||||||
|
2020
|
|
2019
|
||||||||||||||||||||
(In thousands)
|
Before Tax
|
|
Tax Effect
|
|
Net of Tax
|
|
Before Tax
|
|
Tax Effect
|
|
Net of Tax
|
||||||||||||
Net unrealized gains (losses) on available-for-sale investment securities and interest-only strips:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Net unrealized gains (losses) arising during the period
|
$
|
150,744
|
|
|
$
|
(35,607
|
)
|
|
$
|
115,137
|
|
|
$
|
48,628
|
|
|
$
|
(11,836
|
)
|
|
$
|
36,792
|
|
Reclassification of net (gains) losses from accumulated other comprehensive income (loss) to:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Total interest income
|
754
|
|
|
(177
|
)
|
|
577
|
|
|
1,370
|
|
|
(333
|
)
|
|
1,037
|
|
||||||
Net gains (losses) on investment securities
|
—
|
|
|
—
|
|
|
—
|
|
|
(447
|
)
|
|
109
|
|
|
(338
|
)
|
||||||
Other noninterest expense
|
173
|
|
|
(40
|
)
|
|
133
|
|
|
(162
|
)
|
|
39
|
|
|
(123
|
)
|
||||||
Amounts reclassified from accumulated other comprehensive income (loss)
|
927
|
|
|
(217
|
)
|
|
710
|
|
|
761
|
|
|
(185
|
)
|
|
576
|
|
||||||
Net unrealized gains (losses) on available-for-sale investment securities and interest-only strips
|
151,671
|
|
|
(35,824
|
)
|
|
115,847
|
|
|
49,389
|
|
|
(12,021
|
)
|
|
37,368
|
|
||||||
Recognized postretirement prior service cost:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Reclassification of amortization of prior service cost to other noninterest expense
|
(12
|
)
|
|
3
|
|
|
(9
|
)
|
|
(12
|
)
|
|
4
|
|
|
(8
|
)
|
||||||
Foreign currency translation adjustment(1)
|
(14,426
|
)
|
|
—
|
|
|
(14,426
|
)
|
|
3,567
|
|
|
—
|
|
|
3,567
|
|
||||||
Net unrealized gains (losses) on net investment hedges
|
13,695
|
|
|
(3,214
|
)
|
|
$
|
10,481
|
|
|
(3,050
|
)
|
|
742
|
|
|
(2,308
|
)
|
|||||
Total other comprehensive income (loss)
|
$
|
150,928
|
|
|
$
|
(39,035
|
)
|
|
$
|
111,893
|
|
|
$
|
49,894
|
|
|
$
|
(11,275
|
)
|
|
$
|
38,619
|
|
(1)
|
Foreign investments are deemed to be permanent in nature and, therefore, TCF does not provide for taxes on foreign currency translation adjustments.
|
(In thousands)
|
Net Unrealized Gains (Losses) on Available-for-Sale Investment Securities and Interest-only Strips
|
|
Net Unrealized Gains (Losses) on Net
Investment
Hedges
|
|
Foreign
Currency
Translation
Adjustment
|
|
Recognized
Postretirement Prior
Service Cost
|
|
Total
|
||||||||||
At or For the Three Months Ended March 31, 2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Balance, beginning of period
|
$
|
56,098
|
|
|
$
|
9,800
|
|
|
$
|
(11,697
|
)
|
|
$
|
76
|
|
|
$
|
54,277
|
|
Other comprehensive income (loss)
|
115,137
|
|
|
10,481
|
|
|
(14,426
|
)
|
|
—
|
|
|
111,192
|
|
|||||
Amounts reclassified from accumulated other comprehensive income (loss)
|
710
|
|
|
—
|
|
|
—
|
|
|
(9
|
)
|
|
701
|
|
|||||
Net other comprehensive income (loss)
|
115,847
|
|
|
10,481
|
|
|
(14,426
|
)
|
|
(9
|
)
|
|
111,893
|
|
|||||
Balance, end of period
|
$
|
171,945
|
|
|
$
|
20,281
|
|
|
$
|
(26,123
|
)
|
|
$
|
67
|
|
|
$
|
166,170
|
|
At or For the Three Months Ended March 31, 2019
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Balance, beginning of period
|
$
|
(28,022
|
)
|
|
$
|
14,986
|
|
|
$
|
(20,211
|
)
|
|
$
|
109
|
|
|
$
|
(33,138
|
)
|
Other comprehensive income (loss)
|
36,792
|
|
|
(2,308
|
)
|
|
3,567
|
|
|
—
|
|
|
38,051
|
|
|||||
Amounts reclassified from accumulated other comprehensive income (loss)
|
576
|
|
|
—
|
|
|
—
|
|
|
(8
|
)
|
|
568
|
|
|||||
Net other comprehensive income (loss)
|
37,368
|
|
|
(2,308
|
)
|
|
3,567
|
|
|
(8
|
)
|
|
38,619
|
|
|||||
Balance, end of period
|
$
|
9,346
|
|
|
$
|
12,678
|
|
|
$
|
(16,644
|
)
|
|
$
|
101
|
|
|
$
|
5,481
|
|
|
TCF
|
|
TCF Bank
|
|||||||||||||||||
|
At March 31,
|
|
At December 31,
|
|
At March 31,
|
|
At December 31,
|
Well-capitalized Standard
|
|
Minimum Capital Requirement(1)
|
||||||||||
(Dollars in thousands)
|
2020
|
|
2019
|
|
2020
|
|
2019
|
|
||||||||||||
Regulatory Capital:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Common equity Tier 1 capital
|
$
|
4,026,304
|
|
|
$
|
4,050,826
|
|
|
$
|
4,035,278
|
|
|
$
|
4,039,191
|
|
|
|
|
||
Tier 1 capital
|
4,225,755
|
|
|
4,236,648
|
|
|
4,065,427
|
|
|
4,059,417
|
|
|
|
|
||||||
Total capital
|
4,744,899
|
|
|
4,681,630
|
|
|
4,565,533
|
|
|
4,524,051
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Regulatory Capital Ratios:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Common equity Tier 1 capital ratio
|
10.44
|
%
|
|
10.99
|
%
|
|
10.48
|
%
|
|
10.97
|
%
|
6.50
|
%
|
|
4.50
|
%
|
||||
Tier 1 risk-based capital ratio
|
10.96
|
|
|
11.49
|
|
|
10.56
|
|
|
11.03
|
|
8.00
|
|
|
6.00
|
|
||||
Total risk-based capital ratio
|
12.31
|
|
|
12.70
|
|
|
11.86
|
|
|
12.29
|
|
10.00
|
|
|
8.00
|
|
||||
Tier 1 leverage ratio
|
9.27
|
|
|
9.49
|
|
|
8.93
|
|
|
9.10
|
|
5.00
|
|
|
4.00
|
|
(1)
|
Excludes capital conservation buffer of 2.5% at both March 31, 2020 and December 31, 2019.
|
|
At March 31, 2020
|
||||||||||
|
|
|
Fair Value
|
||||||||
(In thousands)
|
Notional Amount(1)
|
|
Derivative Assets
|
|
Derivative Liabilities
|
||||||
Derivatives designated as hedging instruments
|
|
|
|
|
|
||||||
Interest rate contract
|
$
|
150,000
|
|
|
$
|
—
|
|
|
$
|
3
|
|
Forward foreign exchange contracts
|
167,488
|
|
|
5,938
|
|
|
—
|
|
|||
Total derivatives designated as hedging instruments
|
|
|
|
$
|
5,938
|
|
|
$
|
3
|
|
|
Derivatives not designated as hedging instruments
|
|
|
|
|
|
||||||
Interest rate contracts
|
$
|
5,875,131
|
|
|
$
|
283,410
|
|
|
$
|
15,967
|
|
Risk participation agreements
|
398,579
|
|
|
22
|
|
|
118
|
|
|||
Forward foreign exchange contracts
|
239,076
|
|
|
3,250
|
|
|
2,200
|
|
|||
Interest rate lock commitments
|
452,544
|
|
|
13,134
|
|
|
4
|
|
|||
Forward loan sales commitments
|
539,741
|
|
|
26
|
|
|
8,819
|
|
|||
Power Equity CDs
|
27,726
|
|
|
509
|
|
|
509
|
|
|||
Swap agreement
|
12,652
|
|
|
—
|
|
|
286
|
|
|||
Total derivatives not designated as hedging instruments
|
|
|
|
$
|
300,351
|
|
|
$
|
27,903
|
|
|
Total derivatives before netting
|
|
|
|
306,289
|
|
|
27,906
|
|
|||
Netting(2)
|
|
|
(11,433
|
)
|
|
(4,731
|
)
|
||||
Total derivatives, net
|
|
|
$
|
294,856
|
|
|
$
|
23,175
|
|
(1)
|
Notional or contract amounts, which represent the extent of involvement in the derivatives market, are used to determine the contractual cash flows required in accordance with the terms of the agreement. These amounts are typically not exchanged, significantly exceed amounts subject to credit or market risk and are not reflected in the Consolidated Statements of Financial Condition.
|
(2)
|
Includes netting of derivative asset and liability balances and related cash collateral, where counterparty netting agreements are in place.
|
|
At December 31, 2019
|
||||||||||
|
|
|
Fair Value
|
||||||||
(In thousands)
|
Notional Amount(1)
|
|
Derivative Assets
|
|
Derivative Liabilities
|
||||||
Derivatives designated as hedging instruments
|
|
|
|
|
|
||||||
Interest rate contract
|
$
|
150,000
|
|
|
$
|
—
|
|
|
$
|
168
|
|
Forward foreign exchange contracts
|
177,593
|
|
|
—
|
|
|
3,251
|
|
|||
Total derivatives designated as hedging instruments
|
|
|
|
$
|
—
|
|
|
$
|
3,419
|
|
|
Derivatives not designated as hedging instruments
|
|
|
|
|
|
||||||
Interest rate contracts
|
$
|
5,095,969
|
|
|
$
|
102,893
|
|
|
$
|
5,872
|
|
Risk participation agreements
|
316,353
|
|
|
202
|
|
|
354
|
|
|||
Forward foreign exchange contracts
|
262,656
|
|
|
—
|
|
|
3,268
|
|
|||
Interest rate lock commitments
|
158,111
|
|
|
2,772
|
|
|
20
|
|
|||
Forward loan sales commitments
|
174,013
|
|
|
41
|
|
|
289
|
|
|||
Power Equity CD
|
29,009
|
|
|
734
|
|
|
734
|
|
|||
Swap agreement
|
12,652
|
|
|
—
|
|
|
356
|
|
|||
Total derivatives not designated as hedging instruments
|
|
|
|
$
|
106,642
|
|
|
$
|
10,893
|
|
|
Total derivatives before netting
|
|
|
|
$
|
106,642
|
|
|
$
|
14,312
|
|
|
Netting(2)
|
|
|
(540
|
)
|
|
(5,109
|
)
|
||||
Total derivatives, net
|
|
|
$
|
106,102
|
|
|
$
|
9,203
|
|
(1)
|
Notional or contract amounts, which represent the extent of involvement in the derivatives market, are used to determine the contractual cash flows required in accordance with the terms of the agreement. These amounts are typically not exchanged, significantly exceed amounts subject to credit or market risk and are not reflected in the Consolidated Statements of Financial Condition.
|
(2)
|
Includes netting of derivative asset and liability balances and related cash collateral, where counterparty netting agreements are in place.
|
|
At March 31, 2020
|
||||||||||
(In thousands)
|
Gross Amounts Recognized
|
|
Gross Amounts
Offset(1)
|
|
Net Amount Presented
|
||||||
Derivative assets
|
|
|
|
|
|
||||||
Interest rate contracts
|
$
|
283,410
|
|
|
$
|
(2,215
|
)
|
|
$
|
281,195
|
|
Risk participation agreements
|
22
|
|
|
—
|
|
|
22
|
|
|||
Forward foreign exchange contracts
|
9,188
|
|
|
(9,188
|
)
|
|
—
|
|
|||
Interest rate lock commitments
|
13,134
|
|
|
(4
|
)
|
|
13,130
|
|
|||
Forward loan sales commitments
|
26
|
|
|
(26
|
)
|
|
—
|
|
|||
Power Equity CDs
|
509
|
|
|
—
|
|
|
509
|
|
|||
Total derivative assets
|
$
|
306,289
|
|
|
$
|
(11,433
|
)
|
|
$
|
294,856
|
|
Derivative liabilities
|
|
|
|
|
|
||||||
Interest rate contracts
|
$
|
15,970
|
|
|
$
|
(2,215
|
)
|
|
$
|
13,755
|
|
Risk participation agreements
|
118
|
|
|
—
|
|
|
118
|
|
|||
Forward foreign exchange contracts
|
2,200
|
|
|
(2,200
|
)
|
|
—
|
|
|||
Interest rate lock commitments
|
4
|
|
|
(4
|
)
|
|
—
|
|
|||
Forward loan sales commitments
|
8,819
|
|
|
(26
|
)
|
|
8,793
|
|
|||
Power Equity CDs
|
509
|
|
|
—
|
|
|
509
|
|
|||
Swap agreement
|
286
|
|
|
(286
|
)
|
|
—
|
|
|||
Total derivative liabilities
|
$
|
27,906
|
|
|
$
|
(4,731
|
)
|
|
$
|
23,175
|
|
(1)
|
Includes the amounts with counterparties subject to enforceable master netting arrangements that have been offset in the Consolidated Statements of Financial Condition.
|
|
At December 31, 2019
|
||||||||||
(In thousands)
|
Gross Amounts Recognized
|
|
Gross Amounts
Offset(1)
|
|
Net Amount Presented
|
||||||
Derivative assets
|
|
|
|
|
|
||||||
Interest rate contracts
|
$
|
102,893
|
|
|
$
|
(492
|
)
|
|
$
|
102,401
|
|
Risk participation agreements
|
202
|
|
|
—
|
|
|
202
|
|
|||
Forward foreign exchange contracts
|
—
|
|
|
—
|
|
|
—
|
|
|||
Interest rate lock commitments
|
2,772
|
|
|
(7
|
)
|
|
2,765
|
|
|||
Forward loan sales commitments
|
41
|
|
|
(41
|
)
|
|
—
|
|
|||
Power Equity CDs
|
734
|
|
|
—
|
|
|
734
|
|
|||
Total derivative assets
|
$
|
106,642
|
|
|
$
|
(540
|
)
|
|
$
|
106,102
|
|
Derivative liabilities
|
|
|
|
|
|
||||||
Interest rate contracts
|
$
|
6,040
|
|
|
$
|
(491
|
)
|
|
$
|
5,549
|
|
Risk participation agreements
|
354
|
|
|
—
|
|
|
354
|
|
|||
Forward foreign exchange contracts
|
6,519
|
|
|
(4,214
|
)
|
|
2,305
|
|
|||
Interest rate lock commitments
|
20
|
|
|
(7
|
)
|
|
13
|
|
|||
Forward loan sales commitments
|
289
|
|
|
(41
|
)
|
|
248
|
|
|||
Power Equity CD
|
734
|
|
|
—
|
|
|
734
|
|
|||
Swap agreement
|
356
|
|
|
(356
|
)
|
|
—
|
|
|||
Total derivative liabilities
|
$
|
14,312
|
|
|
$
|
(5,109
|
)
|
|
$
|
9,203
|
|
(1)
|
Includes the amounts with counterparties subject to enforceable master netting arrangements that have been offset in the Consolidated Statements of Financial Condition.
|
|
Carrying Amount
of the Hedged Liability
|
|
Cumulative Amount of
Fair Value Hedging Adjustments
Included in the Carrying Amount
of the Hedged Liability
|
||||||||||||
(In thousands)
|
At March 31, 2020
|
|
At December 31, 2019
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||||||
Subordinated bank note - 2025
|
$
|
160,340
|
|
|
$
|
151,454
|
|
|
$
|
11,602
|
|
|
$
|
2,773
|
|
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Statement of income line where the gain (loss) on the fair value hedge was recorded:
|
|
|
|
||||
Interest expense on borrowings
|
$
|
26,492
|
|
|
$
|
14,857
|
|
Gain (loss) on interest rate contract (fair value hedge)
|
|
|
|
||||
Hedged item
|
$
|
(8,830
|
)
|
|
$
|
(2,610
|
)
|
Derivative designated as a hedging instrument
|
8,936
|
|
|
2,562
|
|
||
Gain (loss) on interest rate contract recognized in interest expense on borrowings
|
$
|
106
|
|
|
$
|
(48
|
)
|
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Forward foreign exchange contracts
|
$
|
13,695
|
|
|
$
|
(3,050
|
)
|
|
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
Location of Gain (Loss)
|
2020
|
|
2019
|
||||
Interest rate contracts
|
Other noninterest income
|
$
|
1,662
|
|
|
$
|
(487
|
)
|
Risk participation agreements
|
Other noninterest expense
|
4,326
|
|
|
(321
|
)
|
||
Forward foreign exchange contracts
|
Other noninterest expense
|
18,713
|
|
|
(4,779
|
)
|
||
Interest rate lock commitments
|
Net gains on sales of loans and leases
|
10,378
|
|
|
493
|
|
||
Forward loan sales commitments
|
Net gains on sales of loans and leases
|
(8,545
|
)
|
|
—
|
|
||
Swap agreement
|
Other noninterest income
|
(1
|
)
|
|
—
|
|
||
Net gain (loss) recognized
|
|
$
|
26,533
|
|
|
$
|
(5,094
|
)
|
Level 1
|
Valuations that are based on prices obtained from independent pricing sources for the same instruments traded in active markets.
|
Level 2
|
Valuations that are based on prices obtained from independent pricing sources that are based on observable transactions of similar instruments, but not quoted markets.
|
Level 3
|
Valuations generated from model-based techniques that use at least one significant unobservable inputs. Such unobservable inputs reflect estimates of assumptions that market participants would use in pricing the asset or liability.
|
|
March 31, 2020
|
|||||||||||
(In thousands)
|
Level 1
|
Level 2
|
Level 3
|
Total
|
||||||||
Assets
|
|
|
|
|
||||||||
Investment securities available-for-sale
|
$
|
—
|
|
$
|
7,024,821
|
|
$
|
403
|
|
$
|
7,025,224
|
|
Loans held-for-sale
|
—
|
|
206,366
|
|
—
|
|
206,366
|
|
||||
Interest-only strips
|
—
|
|
—
|
|
10,951
|
|
10,951
|
|
||||
Derivative assets:(1)
|
|
|
|
|
||||||||
Interest rate contracts
|
—
|
|
283,410
|
|
—
|
|
283,410
|
|
||||
Risk participation agreements
|
—
|
|
22
|
|
—
|
|
22
|
|
||||
Forward foreign exchange contracts
|
—
|
|
9,188
|
|
—
|
|
9,188
|
|
||||
Interest rate lock commitments
|
—
|
|
13,134
|
|
—
|
|
13,134
|
|
||||
Forward loan sales commitments
|
—
|
|
26
|
|
—
|
|
26
|
|
||||
Power Equity CDs
|
—
|
|
509
|
|
—
|
|
509
|
|
||||
Total derivative assets
|
—
|
|
306,289
|
|
—
|
|
306,289
|
|
||||
Assets held in trust for deferred compensation plans
|
42,493
|
|
—
|
|
—
|
|
42,493
|
|
||||
Total assets at fair value
|
$
|
42,493
|
|
$
|
7,537,476
|
|
$
|
11,354
|
|
$
|
7,591,323
|
|
Liabilities
|
|
|
|
|
||||||||
Derivative liabilities:(1)
|
|
|
|
|
||||||||
Interest rate contracts
|
$
|
—
|
|
$
|
15,970
|
|
$
|
—
|
|
$
|
15,970
|
|
Risk participation agreements
|
—
|
|
118
|
|
—
|
|
118
|
|
||||
Forward foreign exchange contracts
|
—
|
|
2,200
|
|
—
|
|
2,200
|
|
||||
Interest rate lock commitments
|
—
|
|
4
|
|
—
|
|
4
|
|
||||
Forward loan sales commitments
|
—
|
|
8,819
|
|
—
|
|
8,819
|
|
||||
Power Equity CDs
|
—
|
|
509
|
|
—
|
|
509
|
|
||||
Swap agreement
|
—
|
|
—
|
|
286
|
|
286
|
|
||||
Total derivative liabilities
|
—
|
|
27,620
|
|
286
|
|
27,906
|
|
||||
Liabilities held in trust for deferred compensation plans
|
42,493
|
|
—
|
|
—
|
|
42,493
|
|
||||
Total liabilities at fair value
|
$
|
42,493
|
|
$
|
27,620
|
|
$
|
286
|
|
$
|
70,399
|
|
(1)
|
As permitted under GAAP, the Corporation has elected to net derivative assets and derivative liabilities when a legally enforceable master netting agreement exists as well as the related cash collateral received and paid. For purposes of this table, the derivative assets and derivative liabilities are presented gross of this netting adjustment.
|
|
December 31, 2019
|
||||||||||||||
(In thousands)
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||
Assets
|
|
|
|
|
|
|
|
||||||||
Investment securities available-for-sale
|
$
|
—
|
|
|
$
|
6,719,568
|
|
|
$
|
433
|
|
|
$
|
6,720,001
|
|
Loans held-for-sale
|
—
|
|
|
91,202
|
|
|
—
|
|
|
91,202
|
|
||||
Interest-only strips
|
—
|
|
|
—
|
|
|
12,813
|
|
|
12,813
|
|
||||
Derivative assets:(1)
|
|
|
|
|
|
|
|
||||||||
Interest rate contracts
|
—
|
|
|
102,893
|
|
|
—
|
|
|
102,893
|
|
||||
Risk participation agreements
|
—
|
|
|
202
|
|
|
—
|
|
|
202
|
|
||||
Interest rate lock commitments
|
—
|
|
|
2,772
|
|
|
—
|
|
|
2,772
|
|
||||
Forward loan sales commitments
|
—
|
|
|
41
|
|
|
—
|
|
|
41
|
|
||||
Power Equity CDs
|
—
|
|
|
734
|
|
|
—
|
|
|
734
|
|
||||
Total derivative assets
|
—
|
|
|
106,642
|
|
|
—
|
|
|
106,642
|
|
||||
Forward loan sales commitments, non-derivative
|
—
|
|
|
46
|
|
|
—
|
|
|
46
|
|
||||
Assets held in trust for deferred compensation plans
|
43,743
|
|
|
—
|
|
|
—
|
|
|
43,743
|
|
||||
Total assets at fair value
|
$
|
43,743
|
|
|
$
|
6,917,458
|
|
|
$
|
13,246
|
|
|
$
|
6,974,447
|
|
Liabilities
|
|
|
|
|
|
|
|
||||||||
Derivative liabilities:(1)
|
|
|
|
|
|
|
|
||||||||
Interest rate contracts
|
$
|
—
|
|
|
$
|
6,040
|
|
|
$
|
—
|
|
|
$
|
6,040
|
|
Risk participation agreements
|
—
|
|
|
354
|
|
|
—
|
|
|
354
|
|
||||
Forward foreign exchange contracts
|
—
|
|
|
6,519
|
|
|
—
|
|
|
6,519
|
|
||||
Interest rate lock commitments
|
—
|
|
|
20
|
|
|
—
|
|
|
20
|
|
||||
Forward loan sales commitments
|
—
|
|
|
289
|
|
|
—
|
|
|
289
|
|
||||
Power Equity CDs
|
—
|
|
|
734
|
|
|
—
|
|
|
734
|
|
||||
Swap agreement
|
—
|
|
|
—
|
|
|
356
|
|
|
356
|
|
||||
Total derivative liabilities
|
—
|
|
|
13,956
|
|
|
356
|
|
|
14,312
|
|
||||
Liabilities held in trust for deferred compensation plans
|
43,743
|
|
|
—
|
|
|
—
|
|
|
43,743
|
|
||||
Total liabilities at fair value
|
$
|
43,743
|
|
|
$
|
13,956
|
|
|
$
|
356
|
|
|
$
|
58,055
|
|
(1)
|
As permitted under GAAP, the Corporation has elected to net derivative assets and derivative liabilities when a legally enforceable master netting agreement exists as well as the related cash collateral received and paid. For purposes of this table, the derivative assets and derivative liabilities are presented gross of this netting adjustment.
|
(In thousands)
|
Investment securities available-for-sale
|
|
Loans
held-for-sale |
|
Interest-only strips
|
|
Interest rate lock commitments
|
|
Swap agreement
|
|
Forward loan sales commitments
|
||||||||||||
At or For the Three Months Ended March 31, 2020
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Asset (liability) balance, beginning of period
|
$
|
433
|
|
|
$
|
—
|
|
|
$
|
12,813
|
|
|
$
|
—
|
|
|
$
|
(356
|
)
|
|
$
|
—
|
|
Total net gains (losses) included in:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Net income
|
1
|
|
|
—
|
|
|
159
|
|
|
—
|
|
|
(1
|
)
|
|
—
|
|
||||||
Other comprehensive income (loss)
|
(31
|
)
|
|
—
|
|
|
(348
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Principal paydowns / settlements
|
—
|
|
|
—
|
|
|
(1,673
|
)
|
|
—
|
|
|
71
|
|
|
—
|
|
||||||
Asset (liability) balance, end of period
|
$
|
403
|
|
|
$
|
—
|
|
|
$
|
10,951
|
|
|
$
|
—
|
|
|
$
|
(286
|
)
|
|
$
|
—
|
|
Unrealized gains (losses) included in other comprehensive income for assets held at the end of the period
|
$
|
(31
|
)
|
|
$
|
—
|
|
|
$
|
(348
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
At or For the Three Months Ended March 31, 2019
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Asset (liability) balance, beginning of period
|
$
|
4
|
|
|
$
|
18,070
|
|
|
$
|
16,835
|
|
|
$
|
624
|
|
|
$
|
(583
|
)
|
|
$
|
(26
|
)
|
Total net gains (losses) included in:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Net income
|
—
|
|
|
(166
|
)
|
|
712
|
|
|
493
|
|
|
—
|
|
|
(92
|
)
|
||||||
Other comprehensive income (loss)
|
—
|
|
|
—
|
|
|
286
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Sales
|
—
|
|
|
(73,438
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Originations
|
—
|
|
|
65,400
|
|
|
844
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Principal paydowns / settlements
|
—
|
|
|
(3
|
)
|
|
(2,514
|
)
|
|
—
|
|
|
73
|
|
|
—
|
|
||||||
Asset (liability) balance, end of period
|
$
|
4
|
|
|
$
|
9,863
|
|
|
$
|
16,163
|
|
|
$
|
1,117
|
|
|
$
|
(510
|
)
|
|
$
|
(118
|
)
|
Unrealized gains (losses) included in other comprehensive income for assets held at the end of the period
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
286
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
(In thousands)
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||
At March 31, 2020
|
|
|
|
|
|
|
|
||||||||
Loans and leases
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
204,489
|
|
|
$
|
204,489
|
|
Loan servicing rights
|
—
|
|
|
—
|
|
|
47,283
|
|
|
47,283
|
|
||||
Other real estate owned
|
—
|
|
|
—
|
|
|
15,208
|
|
|
15,208
|
|
||||
Repossessed and returned assets
|
—
|
|
|
8,568
|
|
|
—
|
|
|
8,568
|
|
||||
Total non-recurring fair value measurements
|
$
|
—
|
|
|
$
|
8,568
|
|
|
$
|
266,980
|
|
|
$
|
275,548
|
|
At December 31, 2019
|
|
|
|
|
|
|
|
||||||||
Loans and leases
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
141,199
|
|
|
$
|
141,199
|
|
Loan servicing rights
|
—
|
|
|
—
|
|
|
56,298
|
|
|
56,298
|
|
||||
Other real estate owned
|
—
|
|
|
—
|
|
|
17,577
|
|
|
17,577
|
|
||||
Repossessed and returned assets
|
—
|
|
|
6,968
|
|
|
—
|
|
|
6,968
|
|
||||
Total non-recurring fair value measurements
|
$
|
—
|
|
|
$
|
6,968
|
|
|
$
|
215,074
|
|
|
$
|
222,042
|
|
(In thousands)
|
March 31, 2020
|
|
December 31, 2019
|
||||
Fair value carrying amount
|
$
|
206,366
|
|
|
$
|
91,202
|
|
Aggregate unpaid principal amount
|
196,253
|
|
|
88,192
|
|
||
Fair value carrying amount less aggregate unpaid principal
|
$
|
10,113
|
|
|
$
|
3,010
|
|
|
At March 31, 2020
|
||||||||||||||||||
|
Carrying
|
|
Estimated Fair Value
|
||||||||||||||||
(In thousands)
|
Amount
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||||
Financial instrument assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
FHLB and FRB stocks
|
$
|
484,461
|
|
|
$
|
—
|
|
|
$
|
484,461
|
|
|
$
|
—
|
|
|
$
|
484,461
|
|
Investment securities held-to-maturity
|
135,619
|
|
|
—
|
|
|
142,302
|
|
|
3,672
|
|
|
145,974
|
|
|||||
Loans and leases held-for-sale
|
80,811
|
|
|
—
|
|
|
64,895
|
|
|
18,740
|
|
|
83,635
|
|
|||||
Net loans(1)
|
32,833,843
|
|
|
—
|
|
|
—
|
|
|
33,154,484
|
|
|
33,154,484
|
|
|||||
Securitization receivable(2)
|
19,753
|
|
|
—
|
|
|
—
|
|
|
19,577
|
|
|
19,577
|
|
|||||
Deferred fees on commitments to extend credit(2)
|
20,078
|
|
|
—
|
|
|
20,078
|
|
|
—
|
|
|
20,078
|
|
|||||
Total financial instrument assets
|
$
|
33,574,565
|
|
|
$
|
—
|
|
|
$
|
711,736
|
|
|
$
|
33,196,473
|
|
|
$
|
33,908,209
|
|
Financial instrument liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Certificates of deposits
|
$
|
7,463,192
|
|
|
$
|
—
|
|
|
$
|
7,494,934
|
|
|
$
|
—
|
|
|
$
|
7,494,934
|
|
Long-term borrowings
|
2,600,594
|
|
|
—
|
|
|
2,583,975
|
|
|
—
|
|
|
2,583,975
|
|
|||||
Deferred fees on standby letters of credit(3)
|
43
|
|
|
—
|
|
|
43
|
|
|
—
|
|
|
43
|
|
|||||
Total financial instrument liabilities
|
$
|
10,063,829
|
|
|
$
|
—
|
|
|
$
|
10,078,952
|
|
|
$
|
—
|
|
|
$
|
10,078,952
|
|
|
At December 31, 2019
|
||||||||||||||||||
|
Carrying
|
|
Estimated Fair Value
|
||||||||||||||||
(In thousands)
|
Amount
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||||
Financial instrument assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
FHLB and FRB stocks
|
$
|
442,440
|
|
|
$
|
—
|
|
|
$
|
442,440
|
|
|
$
|
—
|
|
|
$
|
442,440
|
|
Investment securities held-to-maturity
|
139,445
|
|
|
—
|
|
|
141,168
|
|
|
3,676
|
|
|
144,844
|
|
|||||
Loans held-for-sale
|
108,584
|
|
|
—
|
|
|
110,252
|
|
|
2,273
|
|
|
112,525
|
|
|||||
Net loans(1)
|
31,699,285
|
|
|
—
|
|
|
—
|
|
|
31,804,513
|
|
|
31,804,513
|
|
|||||
Securitization receivable(2)
|
19,689
|
|
|
—
|
|
|
—
|
|
|
19,466
|
|
|
19,466
|
|
|||||
Deferred fees on commitments to extend credit(2)
|
19,300
|
|
|
—
|
|
|
19,300
|
|
|
—
|
|
|
19,300
|
|
|||||
Total financial instrument assets
|
$
|
32,428,743
|
|
|
$
|
—
|
|
|
$
|
713,160
|
|
|
$
|
31,829,928
|
|
|
$
|
32,543,088
|
|
Financial instrument liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Certificates of deposits
|
$
|
7,455,556
|
|
|
$
|
—
|
|
|
$
|
7,460,577
|
|
|
$
|
—
|
|
|
$
|
7,460,577
|
|
Long-term borrowings
|
2,354,448
|
|
|
—
|
|
|
2,368,469
|
|
|
—
|
|
|
2,368,469
|
|
|||||
Deferred fees on standby letters of credit(3)
|
56
|
|
|
—
|
|
|
56
|
|
|
—
|
|
|
56
|
|
|||||
Total financial instrument liabilities
|
$
|
9,810,060
|
|
|
$
|
—
|
|
|
$
|
9,829,102
|
|
|
$
|
—
|
|
|
$
|
9,829,102
|
|
(1)
|
Expected credit losses are included in the estimated fair values.
|
(2)
|
Carrying amounts are included in other assets.
|
(3)
|
Carrying amounts are included in other liabilities.
|
•
|
Fees and Service Charges on Deposit Accounts Fees and service charges on deposit accounts includes fees and other charges TCF receives to provide various services, including but not limited to, service charges on deposit accounts and other fees including account analysis fees, monthly service fees, overdraft services, transferring funds, and accepting and executing stop-payment orders. The Corporation's performance obligation for account analysis fees and monthly service fees are generally satisfied and, therefore, revenue is recognized over the period in which the service is provided. Deposit account related fees are largely transactional based, and therefore, the performance obligation is satisfied and the related revenue is recognized at the point in time when the transaction occurs.
|
•
|
Wealth Management Revenue Wealth management revenue includes fee income generated from personal and institutional customers. The Corporation also provides investment management services. Revenue is recognized over the period of time the services are rendered. Wealth management revenue also includes commissions that are earned for placing a brokerage transaction for execution. Revenue is recognized once the transaction is completed and the Corporation is entitled to receive consideration.
|
•
|
Card and ATM Revenue Card and ATM revenue includes ATM surcharges and debit card related revenue. ATM surcharges and certain debit card fees are transaction-based and, therefore, the performance obligation is satisfied and the related revenue is recognized at the point in time when the transaction occurs. Other debit card fees satisfied over a period of time are recognized over the period in which the service is provided.
|
•
|
Other Noninterest Income Other noninterest income includes wire transfer fees, safe deposit box income and check orders. The consideration includes both fixed (e.g., safe deposit box fees) and transaction (e.g., wire-transfer fee and check orders) fees. Fixed fees are recognized over the period of time the service is provided, while transaction fees are recognized when a specific service is rendered to the customer.
|
|
Three Months Ended March 31, 2020
|
||||||||||||||||||
|
Within the scope of ASC 606
|
|
Out of scope of ASC 606
|
|
Total
|
||||||||||||||
(In thousands)
|
Consumer Banking
|
|
Commercial Banking
|
|
Enterprise Services
|
|
|||||||||||||
Noninterest income
|
|
|
|
|
|
|
|
|
|
||||||||||
Fees and service charges on deposit accounts
|
$
|
30,218
|
|
|
$
|
1,394
|
|
|
$
|
—
|
|
|
$
|
2,985
|
|
|
$
|
34,597
|
|
Wealth management revenue
|
239
|
|
|
—
|
|
|
—
|
|
|
5,912
|
|
|
6,151
|
|
|||||
Card and ATM revenue
|
19,181
|
|
|
26
|
|
|
—
|
|
|
2,478
|
|
|
21,685
|
|
|||||
Other noninterest income
|
3,821
|
|
|
1,964
|
|
|
2,497
|
|
|
66,248
|
|
|
74,530
|
|
|||||
Total
|
$
|
53,459
|
|
|
$
|
3,384
|
|
|
$
|
2,497
|
|
|
$
|
77,623
|
|
|
$
|
136,963
|
|
|
Three Months Ended March 31, 2019
|
||||||||||||||||||
|
Within the scope of ASC 606
|
|
Out of scope of ASC 606
|
|
Total
|
||||||||||||||
(In thousands)
|
Consumer Banking
|
|
Commercial Banking
|
|
Enterprise Services
|
|
|||||||||||||
Noninterest income
|
|
|
|
|
|
|
|
|
|
||||||||||
Fees and service charges on deposit accounts
|
$
|
25,193
|
|
|
$
|
1,061
|
|
|
$
|
—
|
|
|
$
|
24
|
|
|
$
|
26,278
|
|
Wealth management revenue
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||
Card and ATM revenue
|
18,630
|
|
|
17
|
|
|
—
|
|
|
12
|
|
|
18,659
|
|
|||||
Other noninterest income
|
2,682
|
|
|
4,826
|
|
|
3,954
|
|
|
(4,838
|
)
|
|
6,624
|
|
|||||
Total
|
$
|
46,505
|
|
|
$
|
5,904
|
|
|
$
|
3,954
|
|
|
$
|
(4,802
|
)
|
|
$
|
51,561
|
|
|
Number of Units
|
|
Weighted-average Grant Date Fair Value Per Unit
|
|||
Outstanding at December 31, 2019
|
1,511,820
|
|
|
$
|
44.49
|
|
Granted
|
16,980
|
|
|
39.67
|
|
|
Forfeited/canceled
|
(3,896
|
)
|
|
49.84
|
|
|
Vested
|
(215,069
|
)
|
|
44.82
|
|
|
Outstanding at March 31, 2020
|
1,309,835
|
|
|
$
|
44.36
|
|
|
Number of Awards
|
|
Weighted-Average Grant Date Fair Value Per Award
|
|||
Outstanding at December 31, 2019
|
888,305
|
|
|
$
|
40.67
|
|
Forfeited/canceled
|
(402
|
)
|
|
39.58
|
|
|
Vested
|
(104,690
|
)
|
|
43.48
|
|
|
Outstanding at March 31, 2020
|
783,213
|
|
|
$
|
40.07
|
|
|
Non-Vested Stock Options Outstanding
|
|
Stock Options Outstanding
|
||||||||||
|
Number of Options
|
|
Weighted-average Exercise Price
|
|
Number of Options
|
|
Weighted-average
Exercise Price
|
||||||
Outstanding at December 31, 2019
|
120,809
|
|
|
$
|
39.63
|
|
|
495,165
|
|
|
$
|
29.48
|
|
Exercised
|
—
|
|
|
—
|
|
|
(19,274
|
)
|
|
18.18
|
|
||
Forfeited/canceled
|
(3,173
|
)
|
|
39.00
|
|
|
—
|
|
|
—
|
|
||
Expired
|
—
|
|
|
—
|
|
|
(34,323
|
)
|
|
34.38
|
|
||
Vested
|
(55,568
|
)
|
|
38.25
|
|
|
55,568
|
|
|
38.25
|
|
||
Outstanding at March 31, 2020
|
62,068
|
|
|
$
|
40.89
|
|
|
497,136
|
|
|
$
|
30.56
|
|
Exercisable/vested at March 31, 2020
|
|
|
|
|
497,136
|
|
|
$
|
30.56
|
|
|
Defined Benefit Pension Plans
|
||||||
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Interest cost
|
$
|
946
|
|
|
$
|
264
|
|
Return on plan assets
|
(957
|
)
|
|
(137
|
)
|
||
Net periodic benefit plan (income) cost
|
$
|
(11
|
)
|
|
$
|
127
|
|
|
Postretirement Benefit Plans
|
||||||
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Interest cost
|
$
|
36
|
|
|
$
|
30
|
|
Service cost
|
1
|
|
|
—
|
|
||
Amortization of prior service cost
|
(12
|
)
|
|
(12
|
)
|
||
Net periodic benefit plan (income) cost
|
$
|
25
|
|
|
$
|
18
|
|
|
Three Months Ended March 31,
|
||||||
(Dollars in thousands, except per share data)
|
2020
|
|
2019
|
||||
Basic earnings per common share
|
|
|
|
|
|
||
Net income attributable to TCF Financial Corporation
|
$
|
51,899
|
|
|
$
|
70,494
|
|
Preferred stock dividends
|
2,493
|
|
|
2,493
|
|
||
Net income available to common shareholders
|
49,406
|
|
|
68,001
|
|
||
Less: Earnings allocated to participating securities
|
—
|
|
|
13
|
|
||
Earnings allocated to common stock
|
$
|
49,406
|
|
|
$
|
67,988
|
|
Weighted-average common shares outstanding used in basic earnings per common share calculation
|
151,902,357
|
|
|
82,245,577
|
|
||
Basic earnings per common share
|
$
|
0.33
|
|
|
$
|
0.83
|
|
Diluted earnings per common share
|
|
|
|
|
|
||
Earnings allocated to common stock
|
$
|
49,406
|
|
|
$
|
67,988
|
|
Weighted-average common shares outstanding used in basic earnings per common share calculation
|
151,902,357
|
|
|
82,245,577
|
|
||
Net dilutive effect of:
|
|
|
|
|
|
||
Non-participating restricted stock
|
83,580
|
|
|
—
|
|
||
Stock options
|
128,080
|
|
|
—
|
|
||
Weighted-average common shares outstanding used in diluted earnings per common share calculation
|
152,114,017
|
|
|
82,245,577
|
|
||
Diluted earnings per common share
|
$
|
0.32
|
|
|
$
|
0.83
|
|
Anti-dilutive shares outstanding not included in the computation of diluted earnings per common share
|
|
|
|
||||
Non-participating restricted stock
|
1,173,331
|
|
|
956,589
|
|
||
Stock options
|
90,144
|
|
|
—
|
|
|
Three Months Ended March 31,
|
||||||
(In thousands)
|
2020
|
|
2019
|
||||
Outside processing
|
$
|
13,913
|
|
|
$
|
5,474
|
|
Loan and lease expense
|
7,783
|
|
|
3,289
|
|
||
Professional fees
|
6,569
|
|
|
5,528
|
|
||
Advertising and marketing
|
8,377
|
|
|
6,855
|
|
||
FDIC insurance
|
6,559
|
|
|
2,918
|
|
||
Card processing and issuance costs
|
8,690
|
|
|
4,508
|
|
||
Other
|
36,855
|
|
|
25,507
|
|
||
Total other noninterest expense
|
$
|
88,746
|
|
|
$
|
54,079
|
|
(In thousands)
|
Consumer Banking
|
|
Commercial Banking
|
|
Enterprise Services
|
|
Consolidated
|
||||||||
At or For the Three Months Ended March 31, 2020
|
|
|
|
|
|
|
|
||||||||
Net interest income (expense)
|
$
|
193,832
|
|
|
$
|
185,986
|
|
|
$
|
21,663
|
|
|
$
|
401,481
|
|
Provision for credit losses
|
44,369
|
|
|
52,574
|
|
|
—
|
|
|
96,943
|
|
||||
Net interest income (expense) after provision for credit losses
|
149,463
|
|
|
133,412
|
|
|
21,663
|
|
|
304,538
|
|
||||
Noninterest income
|
81,414
|
|
|
55,773
|
|
|
(224
|
)
|
|
136,963
|
|
||||
Noninterest expense
|
228,859
|
|
|
114,455
|
|
|
31,285
|
|
|
374,599
|
|
||||
Income tax expense (benefit)
|
1,982
|
|
|
16,306
|
|
|
(5,202
|
)
|
|
13,086
|
|
||||
Income (loss) after income tax expense (benefit)
|
36
|
|
|
58,424
|
|
|
(4,644
|
)
|
|
53,816
|
|
||||
Income attributable to non-controlling interest
|
—
|
|
|
1,917
|
|
|
—
|
|
|
1,917
|
|
||||
Preferred stock dividends
|
—
|
|
|
—
|
|
|
2,493
|
|
|
2,493
|
|
||||
Net income (loss) available to common shareholders
|
36
|
|
|
56,507
|
|
|
(7,137
|
)
|
|
49,406
|
|
||||
Total assets
|
$
|
14,463,055
|
|
|
$
|
24,859,839
|
|
|
$
|
9,271,489
|
|
|
$
|
48,594,383
|
|
At or For the Three Months Ended March 31, 2019
|
|
|
|
|
|
|
|
||||||||
Net interest income (expense)
|
$
|
140,702
|
|
|
$
|
96,685
|
|
|
$
|
17,042
|
|
|
$
|
254,429
|
|
Provision (benefit) for credit losses
|
7,226
|
|
|
2,896
|
|
|
—
|
|
|
10,122
|
|
||||
Net interest income (expense) after provision for credit losses
|
133,476
|
|
|
93,789
|
|
|
17,042
|
|
|
244,307
|
|
||||
Noninterest income
|
60,503
|
|
|
42,499
|
|
|
502
|
|
|
103,504
|
|
||||
Noninterest expense
|
156,521
|
|
|
83,413
|
|
|
13,141
|
|
|
253,075
|
|
||||
Income tax expense (benefit)
|
8,741
|
|
|
11,759
|
|
|
787
|
|
|
21,287
|
|
||||
Income (loss) after income tax expense (benefit)
|
28,717
|
|
|
41,116
|
|
|
3,616
|
|
|
73,449
|
|
||||
Income attributable to non-controlling interest
|
—
|
|
|
2,955
|
|
|
—
|
|
|
2,955
|
|
||||
Preferred stock dividends
|
—
|
|
|
—
|
|
|
2,493
|
|
|
2,493
|
|
||||
Net income (loss) available to common shareholders
|
28,717
|
|
|
38,161
|
|
|
1,123
|
|
|
68,001
|
|
||||
Total assets
|
$
|
8,036,742
|
|
|
$
|
12,735,702
|
|
|
$
|
3,646,271
|
|
|
$
|
24,418,715
|
|
(In thousands)
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
Commitments to extend credit:
|
|
|
|
||||
Commercial
|
$
|
5,140,026
|
|
|
$
|
5,743,072
|
|
Consumer
|
2,245,645
|
|
|
2,305,096
|
|
||
Total commitments to extend credit
|
7,385,671
|
|
|
8,048,168
|
|
||
Standby letters of credit and guarantees on industrial revenue bonds
|
126,384
|
|
|
129,192
|
|
||
Total
|
$
|
7,512,055
|
|
|
$
|
8,177,360
|
|
•
|
the impact of the COVID-19 pandemic;
|
•
|
the possibility that the anticipated benefits of the merger, including anticipated cost savings and strategic gains, are not realized when expected or at all, including as a result of the impact of, or problems arising from, the integration of the two companies or as a result of the strength of the economy, competitive factors in the areas where TCF does business, or as a result of other unexpected factors or events;
|
•
|
the impact of purchase accounting with respect to the merger, or any change in the assumptions used regarding the assets purchased and liabilities assumed to determine their fair value;
|
•
|
diversion of management's attention from ongoing business operations and opportunities;
|
•
|
the operational integration of the merged businesses and operations, which may take longer than anticipated or be more costly than anticipated or have unanticipated adverse results;
|
•
|
failure to attract new customers and retain existing customers in the manner anticipated;
|
•
|
the challenges of integrating, retaining and hiring key personnel;
|
•
|
the potential impact of the merger on relationships with third parties, including customers, vendors, employees and competitors; and
|
•
|
other factors that may affect future results of TCF including changes in asset quality and credit risk; the inability to sustain revenue and earnings growth; changes in interest rates and capital markets; inflation; customer borrowing, repayment, investment and deposit practices; the impact, extent and timing of technological changes; capital management activities; and other actions of the Federal Reserve Board and legislative and regulatory actions and reforms.
|
•
|
Providing equipment and resources to allow nearly all of our middle and back office employees to work from home;
|
•
|
providing company-paid time off for team members not able to work for reasons related to COVID-19; and
|
•
|
paying premium pay to employees required to work in the office and banking centers.
|
•
|
Providing relief to small businesses and commercial borrowers by offering loan modifications for impacted customers and participating in the Paycheck Protection Program and Economic Injury Disaster Program,
|
•
|
providing payment deferrals for up to 90 days with no credit bureau impact and no late fees to provide relief to our mortgage and home equity customers;
|
•
|
suspending initiating any new residential property foreclosures from March 23, 2020 to April 30, 2020; and
|
•
|
aiding in the prevention of the spread of COVID-19 through transitioning all branches to drive-up only with lobby services by appointment and have closed in-store only branches that are near drive-thru branches.
|
•
|
Committed $100 thousand in matching incentives toward both the Henry Ford Health System and University of Minnesota emergency funds for COVID-19 response; and
|
•
|
partnered with Wayne County, Michigan to provide $10 million in fast relief through low-interest loans to help small businesses within the county of Wayne.
|
|
|
For the Three Months Ended
|
||||||||||
(Dollars in thousands, except per share data)
|
|
March 31, 2020
|
|
December 31, 2019
|
|
|
March 31, 2019
|
|||||
Consolidated Income:
|
|
|
|
|
|
|
||||||
Interest income
|
|
$
|
495,392
|
|
|
$
|
509,778
|
|
|
$
|
306,894
|
|
Interest expense
|
|
93,911
|
|
|
101,025
|
|
|
52,465
|
|
|||
Net interest income
|
|
401,481
|
|
|
408,753
|
|
|
254,429
|
|
|||
Noninterest income
|
|
136,963
|
|
|
158,052
|
|
|
103,504
|
|
|||
Total revenue
|
|
538,444
|
|
|
566,805
|
|
|
357,933
|
|
|||
Provision for credit losses
|
|
96,943
|
|
|
14,403
|
|
|
10,122
|
|
|||
Noninterest expense
|
|
374,599
|
|
|
416,571
|
|
|
253,075
|
|
|||
Income before income tax expense
|
|
66,902
|
|
|
135,831
|
|
|
94,736
|
|
|||
Income tax expense
|
|
13,086
|
|
|
21,375
|
|
|
21,287
|
|
|||
Income attributable to non-controlling interest
|
|
1,917
|
|
|
2,057
|
|
|
2,955
|
|
|||
Net income attributable to TCF
|
|
51,899
|
|
|
112,399
|
|
|
70,494
|
|
|||
Preferred stock dividends
|
|
2,493
|
|
|
2,494
|
|
|
2,493
|
|
|||
Net income available to common shareholders
|
|
$
|
49,406
|
|
|
$
|
109,905
|
|
|
$
|
68,001
|
|
Earnings per common share:
|
|
|
|
|
|
|
||||||
Basic
|
|
$
|
0.33
|
|
|
$
|
0.72
|
|
|
$
|
0.83
|
|
Diluted
|
|
0.32
|
|
|
0.72
|
|
|
0.83
|
|
|||
Financial Ratios:
|
|
|
|
|
|
|
||||||
Return on average assets ("ROAA")(1)
|
|
0.46
|
%
|
|
0.99
|
%
|
|
1.22
|
%
|
|||
Return on average common equity ("ROACE")(1)
|
|
3.64
|
|
|
8.00
|
|
|
11.40
|
|
|||
Return on average tangible common equity ("ROATCE")(1)(2)
|
|
5.42
|
|
|
11.35
|
|
|
12.42
|
|
|||
Net interest margin (FTE)(1)(3)(4)
|
|
3.76
|
|
|
3.89
|
|
|
4.61
|
|
|||
Dividend payout ratio
|
|
109.38
|
|
|
48.61
|
|
|
35.57
|
|
|||
Efficiency ratio
|
|
69.57
|
|
|
73.49
|
|
|
70.70
|
|
|||
Credit Quality Ratios:
|
|
|
|
|
|
|
||||||
Net charge-offs as a percentage of average loans and leases(1)
|
|
0.06
|
|
|
0.07
|
|
|
0.39
|
|
|||
Adjusted Financial Results (non-GAAP):
|
|
|
|
|
|
|
||||||
Adjusted net income attributable to TCF(2)
|
|
$
|
89,855
|
|
|
$
|
161,581
|
|
|
$
|
77,700
|
|
Adjusted diluted earnings per common share(2)
|
|
$
|
0.57
|
|
|
$
|
1.04
|
|
|
$
|
0.91
|
|
Adjusted ROAA(1)(2)
|
|
0.78
|
%
|
|
1.42
|
%
|
|
1.34
|
%
|
|||
Adjusted ROACE(1)(2)
|
|
6.43
|
|
|
11.57
|
|
|
12.61
|
|
|||
Adjusted ROATCE(1)(2)
|
|
9.24
|
|
|
16.25
|
|
|
13.72
|
|
|||
Adjusted efficiency ratio (non-GAAP)(2)
|
|
58.24
|
|
|
58.51
|
|
|
65.67
|
|
(1)
|
Annualized.
|
(2)
|
See section entitled "Non-GAAP Financial Measures" for further information.
|
(3)
|
Net interest income on a fully tax-equivalent ("FTE") basis divided by average interest-earning assets.
|
(4)
|
Presented on a tax-equivalent basis using a 21% tax rate for each period presented.
|
(Dollars in thousands)
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
Consolidated Financial Condition:
|
|
|
|
|
||||
Loans and leases
|
|
$
|
35,921,614
|
|
|
$
|
34,497,464
|
|
Total assets
|
|
48,594,383
|
|
|
46,651,553
|
|
||
Deposits
|
|
35,799,303
|
|
|
34,468,463
|
|
||
Borrowings
|
|
6,083,129
|
|
|
5,023,593
|
|
||
Total equity
|
|
5,655,833
|
|
|
5,727,241
|
|
||
Financial Ratios:
|
|
|
|
|
||||
Common equity to assets
|
|
11.23
|
%
|
|
11.87
|
%
|
||
Tangible common equity as a percent of tangible assets (non-GAAP)(1)
|
|
8.45
|
%
|
|
9.01
|
%
|
||
Total risk-based capital ratio
|
|
12.31
|
%
|
|
12.70
|
%
|
||
Book value per common share
|
|
$
|
35.85
|
|
|
$
|
36.20
|
|
Tangible book value per common share (non-GAAP)(1)
|
|
26.16
|
|
|
26.60
|
|
||
Credit Quality Ratios:
|
|
|
|
|
||||
Nonaccrual loans and leases as a percentage of total loans and leases(2)
|
|
0.70
|
%
|
|
0.49
|
%
|
||
Nonperforming assets as a percentage of total loans and leases and other real estate owned
|
|
0.80
|
%
|
|
0.59
|
%
|
||
Allowance for credit losses as a percentage of total nonaccrual loans and leases
|
|
162.24
|
%
|
|
66.64
|
%
|
(1)
|
See section entitled "Non-GAAP Financial Measures" for further information.
|
(2)
|
Prior to the adoption of CECL as of January 1, 2020, purchased credit impaired loans were not classified as nonaccrual loans because they were recorded at their net realizable value based on the principal and interest expected to be collected on the loans. At January 1, 2020, $73.4 million of previous purchased credit impaired loans were classified as nonaccrual loans.
|
(1)
|
Annualized.
|
(2)
|
See section entitled "Non-GAAP Financial Measures" in this Management's Discussion and Analysis for further information.
|
|
Three Months Ended
|
|||||||||||||||||||||||||||||||
|
March 31, 2020
|
|
December 31, 2019
|
|
March 31, 2019
|
|||||||||||||||||||||||||||
(Dollars in thousands)
|
Average
Balance |
|
Interest(1)
|
|
Yields &
Rates(1)(2) |
|
Average
Balance |
|
Interest(1)
|
|
Yields &
Rates(1)(2) |
|
Average
Balance |
|
Interest(1)
|
|
Yields &
Rates(1)(2) |
|||||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Federal Home Loan Bank and Federal Reserve Bank stocks
|
$
|
454,675
|
|
|
$
|
3,152
|
|
|
2.79
|
%
|
|
$
|
388,640
|
|
|
$
|
3,170
|
|
|
3.24
|
%
|
|
$
|
105,135
|
|
|
$
|
961
|
|
|
3.70
|
%
|
Investment securities held-to-maturity
|
136,277
|
|
|
560
|
|
|
1.64
|
|
|
140,434
|
|
|
889
|
|
|
2.53
|
|
|
147,556
|
|
|
535
|
|
|
1.45
|
|
||||||
Investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Taxable
|
5,892,006
|
|
|
40,360
|
|
|
2.74
|
|
|
4,960,520
|
|
|
35,393
|
|
|
2.85
|
|
|
2,121,196
|
|
|
16,131
|
|
|
3.04
|
|
||||||
Tax-exempt(3)
|
773,468
|
|
|
5,503
|
|
|
2.85
|
|
|
778,994
|
|
|
5,536
|
|
|
2.84
|
|
|
516,995
|
|
|
3,397
|
|
|
2.63
|
|
||||||
Loans and leases held-for-sale
|
138,058
|
|
|
1,561
|
|
|
4.53
|
|
|
1,121,326
|
|
|
15,767
|
|
|
5.58
|
|
|
55,204
|
|
|
825
|
|
|
6.05
|
|
||||||
Loans and leases(1)(3)(4)
|
34,946,147
|
|
|
444,925
|
|
|
5.08
|
|
|
33,804,883
|
|
|
448,472
|
|
|
5.24
|
|
|
19,186,962
|
|
|
284,247
|
|
|
5.97
|
|
||||||
Interest-bearing deposits with banks and other
|
538,971
|
|
|
2,314
|
|
|
1.72
|
|
|
656,555
|
|
|
3,448
|
|
|
2.07
|
|
|
261,556
|
|
|
2,520
|
|
|
3.87
|
|
||||||
Total interest-earning assets
|
42,879,602
|
|
|
498,375
|
|
|
4.64
|
|
|
41,851,352
|
|
|
512,675
|
|
|
4.85
|
|
|
22,394,604
|
|
|
308,616
|
|
|
5.55
|
|
||||||
Other assets
|
4,105,824
|
|
|
|
|
|
|
4,268,162
|
|
|
|
|
|
|
1,712,337
|
|
|
|
|
|
||||||||||||
Total assets
|
$
|
46,985,426
|
|
|
|
|
|
|
$
|
46,119,514
|
|
|
|
|
|
|
$
|
24,106,941
|
|
|
|
|
|
|||||||||
Liabilities and Equity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Noninterest-bearing deposits
|
$
|
7,929,933
|
|
|
|
|
|
|
$
|
7,968,769
|
|
|
|
|
|
|
$
|
3,919,746
|
|
|
|
|
|
|||||||||
Interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Checking
|
5,990,309
|
|
|
5,830
|
|
|
0.39
|
|
|
5,891,566
|
|
|
7,614
|
|
|
0.51
|
|
|
2,457,767
|
|
|
387
|
|
|
0.06
|
|
||||||
Savings
|
8,589,815
|
|
|
13,669
|
|
|
0.64
|
|
|
8,404,460
|
|
|
14,993
|
|
|
0.71
|
|
|
6,253,992
|
|
|
10,670
|
|
|
0.69
|
|
||||||
Money market
|
4,792,248
|
|
|
14,855
|
|
|
1.25
|
|
|
4,463,476
|
|
|
15,537
|
|
|
1.38
|
|
|
1,490,631
|
|
|
4,453
|
|
|
1.21
|
|
||||||
Certificates of deposit
|
7,329,632
|
|
|
33,065
|
|
|
1.81
|
|
|
7,825,573
|
|
|
38,859
|
|
|
1.97
|
|
|
4,622,120
|
|
|
22,098
|
|
|
1.94
|
|
||||||
Total interest-bearing deposits
|
26,702,004
|
|
|
67,419
|
|
|
1.02
|
|
|
26,585,075
|
|
|
77,003
|
|
|
1.15
|
|
|
14,824,510
|
|
|
37,608
|
|
|
1.03
|
|
||||||
Total deposits
|
34,631,937
|
|
|
67,419
|
|
|
0.78
|
|
|
34,553,844
|
|
|
77,003
|
|
|
0.88
|
|
|
18,744,256
|
|
|
37,608
|
|
|
0.81
|
|
||||||
Borrowings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Short-term borrowings
|
2,689,262
|
|
|
10,582
|
|
|
1.56
|
|
|
2,585,682
|
|
|
11,403
|
|
|
1.73
|
|
|
293,499
|
|
|
1,957
|
|
|
2.67
|
|
||||||
Long-term borrowings
|
2,608,204
|
|
|
15,910
|
|
|
2.42
|
|
|
1,739,852
|
|
|
12,620
|
|
|
2.87
|
|
|
1,500,832
|
|
|
12,900
|
|
|
3.44
|
|
||||||
Total borrowings
|
5,297,466
|
|
|
26,492
|
|
|
1.98
|
|
|
4,325,534
|
|
|
24,023
|
|
|
2.19
|
|
|
1,794,331
|
|
|
14,857
|
|
|
3.31
|
|
||||||
Total interest-bearing liabilities
|
31,999,470
|
|
|
93,911
|
|
|
1.18
|
|
|
30,910,609
|
|
|
101,026
|
|
|
1.29
|
|
|
16,618,841
|
|
|
52,465
|
|
|
1.28
|
|
||||||
Total deposits and borrowings
|
39,929,403
|
|
|
93,911
|
|
|
0.94
|
|
|
38,879,378
|
|
|
101,026
|
|
|
1.03
|
|
|
20,538,587
|
|
|
52,465
|
|
|
1.03
|
|
||||||
Other liabilities
|
1,425,536
|
|
|
|
|
|
|
1,549,017
|
|
|
|
|
|
|
989,104
|
|
|
|
|
|
||||||||||||
Total liabilities
|
41,354,939
|
|
|
|
|
|
|
40,428,395
|
|
|
|
|
|
|
21,527,691
|
|
|
|
|
|
||||||||||||
Total TCF Financial Corporation shareholders' equity
|
5,605,159
|
|
|
|
|
|
|
5,667,436
|
|
|
|
|
|
|
2,554,729
|
|
|
|
|
|
||||||||||||
Non-controlling interest in subsidiaries
|
25,328
|
|
|
|
|
|
|
23,683
|
|
|
|
|
|
|
24,521
|
|
|
|
|
|
||||||||||||
Total equity
|
5,630,487
|
|
|
|
|
|
|
5,691,119
|
|
|
|
|
|
|
2,579,250
|
|
|
|
|
|
||||||||||||
Total liabilities and equity
|
$
|
46,985,426
|
|
|
|
|
|
|
$
|
46,119,514
|
|
|
|
|
|
|
$
|
24,106,941
|
|
|
|
|
|
|||||||||
Net interest spread (FTE)
|
|
|
|
|
3.70
|
|
|
|
|
|
|
3.82
|
|
|
|
|
|
|
4.52
|
|
||||||||||||
Net interest income (FTE) and net interest margin (FTE)
|
|
|
$404,464
|
|
3.76
|
|
|
|
|
$411,649
|
|
3.89
|
|
|
|
|
$256,151
|
|
4.61
|
|
||||||||||||
Reconciliation to Reported Net Interest Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net interest income (FTE)
|
|
|
$
|
404,464
|
|
|
|
|
|
|
$
|
411,649
|
|
|
|
|
|
|
$
|
256,151
|
|
|
|
|||||||||
Adjustments for taxable equivalent interest(1)(3)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Loans and leases
|
|
|
$
|
(1,829
|
)
|
|
|
|
|
|
$
|
(1,734
|
)
|
|
|
|
|
|
$
|
(1,009
|
)
|
|
|
|||||||||
Tax-exempt investment securities
|
|
|
(1,154
|
)
|
|
|
|
|
|
(1,162
|
)
|
|
|
|
|
|
(713
|
)
|
|
|
||||||||||||
Total FTE adjustments
|
|
|
(2,983
|
)
|
|
|
|
|
|
(2,896
|
)
|
|
|
|
|
|
(1,722
|
)
|
|
|
||||||||||||
Net interest income (GAAP)
|
|
|
$
|
401,481
|
|
|
|
|
|
|
$
|
408,753
|
|
|
|
|
|
|
$
|
254,429
|
|
|
|
|||||||||
Net interest margin (GAAP)
|
|
|
3.73
|
%
|
|
|
|
|
|
3.86
|
%
|
|
|
|
|
|
4.58
|
%
|
|
|
(1)
|
Interest and yields are presented on a FTE basis.
|
(2)
|
Annualized.
|
(3)
|
The yield on tax-exempt loans, leases and investment securities available-for-sale is computed on a FTE basis using a statutory federal income tax rate of 21%.
|
(4)
|
Average balances of loans and leases include nonaccrual loans and leases and are presented net of unearned income.
|
|
Three Months Ended March 31, 2020 vs. December 31, 2019
|
|
Three Months Ended March 31, 2020 vs. March 31, 2019
|
||||||||||||||||||||
|
Increase (Decrease)
Due to Changes in
|
|
|
|
Increase (Decrease)
Due to Changes in |
|
|
||||||||||||||||
(Dollars in thousands)
|
Average Volume(1)
|
|
Average Yield/Rate(1)
|
|
Total Change
|
|
Average Volume(1)
|
|
Average Yield/Rate(1)
|
|
Total Change
|
||||||||||||
Changes in Interest Income on Interest-Earning Assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal Home Loan Bank and Federal Reserve Bank stocks
|
$
|
492
|
|
|
$
|
(510
|
)
|
|
$
|
(18
|
)
|
|
$
|
2,450
|
|
|
$
|
(259
|
)
|
|
$
|
2,191
|
|
Investment securities held-to-maturity
|
(26
|
)
|
|
(303
|
)
|
|
(329
|
)
|
|
(43
|
)
|
|
68
|
|
|
25
|
|
||||||
Investment securities available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Taxable
|
6,427
|
|
|
(1,460
|
)
|
|
4,967
|
|
|
25,980
|
|
|
(1,751
|
)
|
|
24,229
|
|
||||||
Tax-exempt
|
(39
|
)
|
|
6
|
|
|
(33
|
)
|
|
1,805
|
|
|
301
|
|
|
2,106
|
|
||||||
Loans and leases held-for-sale
|
(11,690
|
)
|
|
(2,516
|
)
|
|
(14,206
|
)
|
|
983
|
|
|
(247
|
)
|
|
736
|
|
||||||
Loans and leases
|
13,424
|
|
|
(16,971
|
)
|
|
(3,547
|
)
|
|
207,371
|
|
|
(46,693
|
)
|
|
160,678
|
|
||||||
Interest-bearing deposits with banks and other
|
(577
|
)
|
|
(557
|
)
|
|
(1,134
|
)
|
|
1,703
|
|
|
(1,909
|
)
|
|
(206
|
)
|
||||||
Total interest-earning assets
|
$
|
8,011
|
|
|
$
|
(22,311
|
)
|
|
$
|
(14,300
|
)
|
|
$
|
240,249
|
|
|
$
|
(50,490
|
)
|
|
$
|
189,759
|
|
Changes in Interest Expense on Interest-Bearing Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Checking
|
$
|
121
|
|
|
$
|
(1,905
|
)
|
|
$
|
(1,784
|
)
|
|
$
|
1,178
|
|
|
$
|
4,265
|
|
|
$
|
5,443
|
|
Savings
|
310
|
|
|
(1,634
|
)
|
|
(1,324
|
)
|
|
3,717
|
|
|
(718
|
)
|
|
2,999
|
|
||||||
Money market
|
1,061
|
|
|
(1,743
|
)
|
|
(682
|
)
|
|
10,106
|
|
|
296
|
|
|
10,402
|
|
||||||
Certificates of deposit
|
(2,420
|
)
|
|
(3,374
|
)
|
|
(5,794
|
)
|
|
12,121
|
|
|
(1,154
|
)
|
|
10,967
|
|
||||||
Interest-bearing deposits
|
(928
|
)
|
|
(8,656
|
)
|
|
(9,584
|
)
|
|
27,122
|
|
|
2,689
|
|
|
29,811
|
|
||||||
Short-term borrowings
|
403
|
|
|
(1,224
|
)
|
|
(821
|
)
|
|
9,772
|
|
|
(1,147
|
)
|
|
8,625
|
|
||||||
Long-term borrowings
|
5,498
|
|
|
(2,208
|
)
|
|
3,290
|
|
|
7,637
|
|
|
(4,627
|
)
|
|
3,010
|
|
||||||
Total interest-bearing liabilities
|
$
|
4,973
|
|
|
$
|
(12,088
|
)
|
|
$
|
(7,115
|
)
|
|
$
|
44,531
|
|
|
$
|
(3,085
|
)
|
|
$
|
41,446
|
|
Total change in net interest income (FTE)(2)
|
$
|
3,038
|
|
|
$
|
(10,223
|
)
|
|
$
|
(7,185
|
)
|
|
$
|
195,718
|
|
|
$
|
(47,405
|
)
|
|
$
|
148,313
|
|
(1)
|
Changes attributable to the combined impact of volume and rate have been allocated proportionately to the change due to volume and the change due to rate.
|
(2)
|
FTE basis using a federal income tax rate of 21%. The presentation of net interest income on a FTE basis is not in accordance with GAAP, but is customary in the banking industry.
|
|
Three Months Ended
|
|
Change from
|
||||||||||||||||||||||
|
March 31, 2020
|
|
December 31, 2019
|
|
March 31, 2019
|
|
December 31, 2019
|
|
March 31, 2019
|
||||||||||||||||
(Dollars in thousands)
|
|
|
|
$
|
|
% / bps
|
|
$
|
|
% / bps
|
|||||||||||||||
Fees and service charges on deposit accounts
|
$
|
34,597
|
|
|
$
|
39,356
|
|
|
$
|
26,278
|
|
|
$
|
(4,759
|
)
|
|
(12.1
|
)%
|
|
$
|
8,319
|
|
|
31.7
|
%
|
Leasing revenue
|
33,565
|
|
|
46,686
|
|
|
38,165
|
|
|
(13,121
|
)
|
|
(28.1
|
)
|
|
(4,600
|
)
|
|
(12.1
|
)
|
|||||
Card and ATM revenue
|
21,685
|
|
|
24,751
|
|
|
18,659
|
|
|
(3,066
|
)
|
|
(12.4
|
)
|
|
3,026
|
|
|
16.2
|
|
|||||
Net gains on sales of loans and leases
|
20,590
|
|
|
12,934
|
|
|
8,217
|
|
|
7,656
|
|
|
59.2
|
|
|
12,373
|
|
|
150.6
|
|
|||||
Servicing fee revenue
|
6,792
|
|
|
6,022
|
|
|
5,110
|
|
|
770
|
|
|
12.8
|
|
|
1,682
|
|
|
32.9
|
|
|||||
Wealth management revenue
|
6,151
|
|
|
6,172
|
|
|
—
|
|
|
(21
|
)
|
|
(0.3
|
)
|
|
6,151
|
|
|
N.M.
|
|
|||||
Net gains on investment securities
|
—
|
|
|
8
|
|
|
451
|
|
|
(8
|
)
|
|
(100.0
|
)
|
|
(451
|
)
|
|
(100.0
|
)
|
|||||
Other
|
13,583
|
|
|
22,123
|
|
|
6,624
|
|
|
(8,540
|
)
|
|
(38.6
|
)
|
|
6,959
|
|
|
105.1
|
|
|||||
Total noninterest income
|
$
|
136,963
|
|
|
$
|
158,052
|
|
|
$
|
103,504
|
|
|
$
|
(21,089
|
)
|
|
(13.3
|
)
|
|
$
|
33,459
|
|
|
32.3
|
|
Total noninterest income as a percentage of total revenue
|
25.4
|
%
|
|
27.9
|
%
|
|
28.9
|
%
|
|
|
|
|
(250) bps
|
|
|
|
|
(350) bps
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Change from
|
||||||||||||||||||||||
|
March 31, 2020
|
|
December 31, 2019
|
|
March 31, 2019
|
|
December 31, 2019
|
|
March 31, 2019
|
||||||||||||||||
(Dollars in thousands)
|
|
|
|
$
|
|
% / bps
|
|
$
|
|
% / bps
|
|||||||||||||||
Compensation and employee benefits
|
$
|
171,528
|
|
|
$
|
180,969
|
|
|
$
|
123,942
|
|
|
$
|
(9,441
|
)
|
|
(5.2
|
)%
|
|
$
|
47,586
|
|
|
38.4
|
%
|
Occupancy and equipment
|
57,288
|
|
|
56,771
|
|
|
41,710
|
|
|
517
|
|
|
0.9
|
|
|
15,578
|
|
|
37.3
|
|
|||||
Lease financing equipment depreciation
|
18,450
|
|
|
18,629
|
|
|
19,256
|
|
|
(179
|
)
|
|
(1.0
|
)
|
|
(806
|
)
|
|
(4.2
|
)
|
|||||
Net foreclosed real estate and repossessed assets
|
1,859
|
|
|
4,242
|
|
|
4,630
|
|
|
(2,383
|
)
|
|
(56.2
|
)
|
|
(2,771
|
)
|
|
(59.8
|
)
|
|||||
Merger-related expenses
|
36,728
|
|
|
47,025
|
|
|
9,458
|
|
|
(10,297
|
)
|
|
(21.9
|
)
|
|
27,270
|
|
|
N.M.
|
|
|||||
Other
|
88,746
|
|
|
108,935
|
|
|
54,079
|
|
|
(20,189
|
)
|
|
(18.5
|
)
|
|
34,667
|
|
|
64.1
|
|
|||||
Total noninterest expense
|
$
|
374,599
|
|
|
$
|
416,571
|
|
|
$
|
253,075
|
|
|
$
|
(41,972
|
)
|
|
(10.1
|
)
|
|
$
|
121,524
|
|
|
48.0
|
|
Full-time equivalent staff (at period end)
|
7,572
|
|
|
7,762
|
|
|
5,142
|
|
|
(190
|
)
|
|
(2.4
|
)
|
|
2,430
|
|
|
47.3
|
|
|||||
Efficiency ratio
|
69.57
|
%
|
|
73.49
|
%
|
|
70.70
|
%
|
|
|
|
|
(392
|
) bps
|
|
|
|
(113
|
) bps
|
||||||
Adjusted efficiency ratio (non-GAAP)(1)
|
58.24
|
|
|
58.51
|
|
|
65.67
|
|
|
|
|
|
(27
|
)
|
|
|
|
(743
|
)
|
(1)
|
See "Consolidated Financial Condition Analysis - Non-GAAP Financial Measures" in this Management's Discussion and Analysis for further information.
|
|
At March 31, 2020
|
|
December 31, 2019
|
||||||||||||
(In thousands)
|
Amortized Cost
|
|
Fair Value
|
|
Amortized Cost
|
|
Fair Value
|
||||||||
Investment securities available-for-sale, at fair value
|
|
|
|
|
|
|
|
||||||||
Debt securities:
|
|
|
|
|
|
|
|
||||||||
Government and government-sponsored enterprises
|
$
|
218,996
|
|
|
$
|
218,580
|
|
|
$
|
235,045
|
|
|
$
|
234,385
|
|
Obligations of states and political subdivisions
|
850,816
|
|
|
866,556
|
|
|
852,096
|
|
|
863,855
|
|
||||
Residential mortgage-backed securities
|
5,029,613
|
|
|
5,220,403
|
|
|
4,866,473
|
|
|
4,929,717
|
|
||||
Commercial mortgage-backed securities
|
693,359
|
|
|
719,285
|
|
|
685,212
|
|
|
691,614
|
|
||||
Corporate debt and trust preferred securities
|
451
|
|
|
400
|
|
|
451
|
|
|
430
|
|
||||
Total investment securities available-for-sale
|
6,793,235
|
|
|
7,025,224
|
|
|
6,639,277
|
|
|
6,720,001
|
|
||||
Investment securities held-to-maturity
|
|
|
|
|
|
|
|
||||||||
Residential mortgage-backed securities
|
131,947
|
|
|
142,302
|
|
|
135,769
|
|
|
141,168
|
|
||||
Corporate debt and trust preferred securities
|
3,672
|
|
|
3,672
|
|
|
3,676
|
|
|
3,676
|
|
||||
Total investment securities held-to-maturity
|
135,619
|
|
|
145,974
|
|
|
139,445
|
|
|
144,844
|
|
||||
Total investment securities
|
$
|
6,928,854
|
|
|
$
|
7,171,198
|
|
|
$
|
6,778,722
|
|
|
$
|
6,864,845
|
|
|
March 31, 2020
|
|||||||||||||||||||||||||||||||||||||||||
|
Government and Government-sponsored Enterprises
|
|
Obligations of States and Political Subdivisions
|
|
Residential Mortgage-backed Securities
|
|
Commercial Mortgage-backed Securities
|
|
Corporate Debt And Trust Preferred Securities
|
|
Total
|
|||||||||||||||||||||||||||||||
(Dollars in thousands)
|
Amount
|
|
Yield(1)
|
|
Amount
|
|
Yield(1)
|
|
Amount
|
|
Yield(1)
|
|
Amount
|
|
Yield(1)
|
|
Amount
|
|
Yield(1)
|
|
Amount
|
|
Yield(1)
|
|||||||||||||||||||
Investment securities available-for-sale
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
Due in one year or less
|
$
|
—
|
|
|
—
|
%
|
|
$
|
66,021
|
|
|
2.17
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
66,021
|
|
|
2.17
|
%
|
|
Due in 1-5 years
|
—
|
|
|
—
|
|
|
165,230
|
|
|
2.65
|
|
|
21,066
|
|
|
1.89
|
|
|
2,998
|
|
|
1.91
|
|
|
—
|
|
|
—
|
|
|
189,294
|
|
|
2.56
|
|
|||||||
Due in 5-10 years
|
22,207
|
|
|
2.84
|
|
|
189,749
|
|
|
2.78
|
|
|
119,112
|
|
|
2.01
|
|
|
238,872
|
|
|
2.62
|
|
|
—
|
|
|
—
|
|
|
569,940
|
|
|
2.56
|
|
|||||||
Due after 10 years
|
196,373
|
|
|
2.77
|
|
|
445,556
|
|
|
2.87
|
|
|
5,080,226
|
|
|
2.84
|
|
|
477,414
|
|
|
2.65
|
|
|
400
|
|
|
6.6
|
|
|
6,199,969
|
|
|
2.83
|
|
|||||||
Total
|
$
|
218,580
|
|
|
2.78
|
%
|
|
$
|
866,556
|
|
|
2.75
|
%
|
|
$
|
5,220,404
|
|
|
2.82
|
%
|
|
$
|
719,284
|
|
|
2.64
|
%
|
|
$
|
400
|
|
|
6.60
|
%
|
|
$
|
7,025,224
|
|
|
2.79
|
%
|
|
Investment securities held-to-maturity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
Due in one year or less
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
Due in 1-5 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,550
|
|
|
3.00
|
|
|
3,550
|
|
|
3.00
|
|
|||||||
Due in 5-10 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
55
|
|
|
6.50
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
55
|
|
|
6.50
|
|
|||||||
Due after 10 years
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
131,892
|
|
|
2.44
|
|
|
—
|
|
|
—
|
|
|
122
|
|
|
6.00
|
|
|
132,014
|
|
|
2.44
|
|
|||||||
Total
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
131,947
|
|
|
2.44
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
3,672
|
|
|
3.10
|
%
|
|
$
|
135,619
|
|
|
2.46
|
%
|
(1)
|
Interest and yields are presented on a FTE basis.
|
|
At March 31, 2020
|
|
At December 31, 2019
|
|
Change
|
|||||||||||||||
(Dollars in thousands)
|
Amount
|
|
% of Total
|
|
Amount
|
|
% of Total
|
|
$
|
|
%
|
|||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Commercial and industrial
|
$
|
12,326,943
|
|
|
34.4
|
%
|
|
$
|
11,439,602
|
|
|
33.2
|
%
|
|
$
|
887,341
|
|
|
7.8
|
%
|
Commercial real estate
|
9,486,904
|
|
|
26.4
|
|
|
9,136,870
|
|
|
26.5
|
|
|
350,034
|
|
|
3.8
|
|
|||
Lease financing
|
2,708,998
|
|
|
7.5
|
|
|
2,699,869
|
|
|
7.8
|
|
|
9,129
|
|
|
0.3
|
|
|||
Total commercial loan and lease portfolio
|
24,522,845
|
|
|
68.3
|
|
|
23,276,341
|
|
|
67.5
|
|
|
1,246,504
|
|
|
5.4
|
|
|||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential mortgage
|
6,435,314
|
|
|
17.9
|
|
|
6,179,805
|
|
|
17.9
|
|
|
255,509
|
|
|
4.1
|
|
|||
Consumer installment
|
1,509,953
|
|
|
4.2
|
|
|
1,542,411
|
|
|
4.5
|
|
|
(32,458
|
)
|
|
(2.1
|
)
|
|||
Home equity
|
3,453,502
|
|
|
9.6
|
|
|
3,498,907
|
|
|
10.1
|
|
|
(45,405
|
)
|
|
(1.3
|
)
|
|||
Total consumer loan portfolio
|
11,398,769
|
|
|
31.7
|
|
|
11,221,123
|
|
|
32.5
|
|
|
177,646
|
|
|
1.6
|
|
|||
Total loans and leases
|
$
|
35,921,614
|
|
|
100.0
|
%
|
|
$
|
34,497,464
|
|
|
100.0
|
%
|
|
$
|
1,424,150
|
|
|
4.1
|
%
|
|
At March 31, 2020
|
|||||
(In thousands)
|
Total
|
|
Percent of Total Loan and Lease Portfolio
|
|||
Retail trade
|
$
|
3,986,952
|
|
|
11.1
|
%
|
Transportation and warehouse
|
1,370,135
|
|
|
3.8
|
|
|
Manufacturing
|
1,344,368
|
|
|
3.7
|
|
|
Wholesale trade
|
941,535
|
|
|
2.6
|
|
|
Real estate rental and leasing
|
935,252
|
|
|
2.6
|
|
|
Construction
|
622,438
|
|
|
1.7
|
|
|
Health care and social assistance
|
524,466
|
|
|
1.5
|
|
|
Finance and insurance
|
524,113
|
|
|
1.5
|
|
|
Other
|
2,077,684
|
|
|
5.9
|
|
|
Total
|
$
|
12,326,943
|
|
|
34.4
|
%
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||||||||
(In thousands)
|
Total
|
|
Percent of Total Loan and Lease Portfolio
|
|
Total
|
|
Percent of Total Loan and Lease Portfolio
|
||||||
Multifamily
|
$
|
1,892,824
|
|
|
5.3
|
%
|
|
$
|
1,726,450
|
|
|
5.0
|
%
|
Office
|
1,356,077
|
|
|
3.8
|
|
|
1,061,877
|
|
|
3.1
|
|
||
Retail
|
1,260,127
|
|
|
3.5
|
|
|
814,230
|
|
|
2.4
|
|
||
Warehouse
|
985,121
|
|
|
2.7
|
|
|
853,042
|
|
|
2.5
|
|
||
Hotel
|
764,159
|
|
|
2.1
|
|
|
612,098
|
|
|
1.8
|
|
||
Senior housing
|
671,656
|
|
|
1.9
|
|
|
523,736
|
|
|
1.5
|
|
||
Mixed use
|
483,769
|
|
|
1.3
|
|
|
382,281
|
|
|
1.1
|
|
||
Self‐storage
|
479,910
|
|
|
1.3
|
|
|
429,779
|
|
|
1.2
|
|
||
Other
|
1,593,261
|
|
|
4.5
|
|
|
2,733,377
|
|
|
7.9
|
|
||
Total
|
$
|
9,486,904
|
|
|
26.4
|
%
|
|
$
|
9,136,870
|
|
|
26.5
|
%
|
|
At March 31, 2020
|
At December 31, 2019
|
|||||||||||
(Dollars in thousands)
|
Balance
|
|
Percent of Total Loan and Lease Portfolio
|
|
Balance
|
|
Percent of Total Loan and Lease Portfolio
|
||||||
Specialty vehicles
|
$
|
587,187
|
|
|
1.6
|
%
|
|
$
|
585,829
|
|
|
1.7
|
%
|
Golf cart and turf equipment
|
484,791
|
|
|
1.3
|
|
|
473,476
|
|
|
1.4
|
|
||
Medical equipment
|
383,995
|
|
|
1.1
|
|
|
377,998
|
|
|
1.1
|
|
||
Technology and data processing equipment
|
235,962
|
|
|
0.7
|
|
|
248,187
|
|
|
0.7
|
|
||
Manufacturing equipment
|
208,220
|
|
|
0.6
|
|
|
226,833
|
|
|
0.7
|
|
||
Construction equipment
|
192,381
|
|
|
0.5
|
|
|
180,963
|
|
|
0.5
|
|
||
Material handling
|
154,578
|
|
|
0.4
|
|
|
138,182
|
|
|
0.4
|
|
||
Trucks and trailers
|
96,352
|
|
|
0.3
|
|
|
91,711
|
|
|
0.3
|
|
||
Agricultural equipment
|
91,722
|
|
|
0.3
|
|
|
92,392
|
|
|
0.3
|
|
||
Other
|
273,810
|
|
|
0.7
|
|
|
284,298
|
|
|
0.7
|
|
||
Total
|
$
|
2,708,998
|
|
|
7.5
|
%
|
|
$
|
2,699,869
|
|
|
7.8
|
%
|
•
|
Loans and leases that are over 90-days delinquent and accruing generally are a leading indicator for future charge-off trends.
|
•
|
Nonaccrual loans and leases have been charged down to the estimated fair value of the collateral less estimated selling costs, or reserved for expected loss upon workout.
|
•
|
Within the performing loans and leases, we classify customers within regulatory classification guidelines. Loans and leases that are "classified" are loans or leases that management has concerns regarding the ability of the borrowers to meet existing loan or lease terms and conditions, but may never become nonaccrual or result in a loss.
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||||||||
(Dollars in thousands)
|
90 Days or More Delinquent and Accruing
|
|
Percentage of Period-end Loans and Leases
|
|
90 Days or More Delinquent and Accruing
|
|
Percentage of Period-end Loans and Leases
|
||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
|
|
||
Commercial and industrial
|
$
|
110
|
|
|
—
|
%
|
|
$
|
331
|
|
|
—
|
%
|
Commercial real estate
|
1,442
|
|
|
0.02
|
|
|
1,440
|
|
|
0.02
|
|
||
Lease financing
|
3,045
|
|
|
0.11
|
|
|
1,901
|
|
|
0.07
|
|
||
Total commercial loan and lease portfolio
|
4,597
|
|
|
0.02
|
|
|
3,672
|
|
|
0.02
|
|
||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
||||||
Residential mortgage
|
553
|
|
|
0.01
|
|
|
559
|
|
|
0.01
|
|
||
Consumer installment
|
5
|
|
|
—
|
|
|
108
|
|
|
0.01
|
|
||
Total consumer loan portfolio
|
973
|
|
|
0.01
|
|
|
667
|
|
|
0.01
|
|
||
Portfolios acquired with deteriorated credit quality(1)
|
N/A
|
|
|
N/A
|
|
|
25,737
|
|
|
10.43
|
|
||
Total
|
$
|
5,570
|
|
|
0.02
|
%
|
|
$
|
30,076
|
|
|
0.09
|
%
|
(1)
|
Prior to the adoption of CECL as of January 1, 2020, purchased credit impaired loans were not classified as nonaccrual loans because they were recorded at their net realizable value based on the principal and interest expected to be collected on the loans.
|
(Dollars in thousands)
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
Commercial loan and lease portfolio:
|
|
|
|
||||
Commercial and industrial
|
$
|
84,157
|
|
|
$
|
53,812
|
|
Commercial real estate
|
47,032
|
|
|
29,735
|
|
||
Lease financing
|
13,170
|
|
|
10,957
|
|
||
Total commercial loan and lease portfolio
|
144,359
|
|
|
94,504
|
|
||
Consumer loan portfolio:
|
|
|
|
||||
Residential mortgage
|
61,980
|
|
|
38,577
|
|
||
Consumer installment
|
989
|
|
|
714
|
|
||
Home equity
|
43,147
|
|
|
35,863
|
|
||
Total consumer loan portfolio
|
106,116
|
|
|
75,154
|
|
||
Nonaccrual loans and leases
|
250,475
|
|
|
169,658
|
|
||
Other real estate owned
|
38,914
|
|
|
34,256
|
|
||
Total nonperforming assets
|
$
|
289,389
|
|
|
$
|
203,914
|
|
Nonaccrual loans and leases as a percentage of total loans and leases
|
0.70
|
%
|
|
0.49
|
%
|
||
Nonperforming assets as a percentage of total loans and leases and other real estate owned
|
0.80
|
|
|
0.59
|
|
||
Allowance for credit losses as a percentage of nonaccrual loans and leases
|
162.24
|
|
|
66.64
|
|
|
At or For the Three Months Ended March 31, 2020
|
||||||||||
(In thousands)
|
Consumer Loan Portfolio
|
|
Commercial Loan and Lease Portfolio
|
|
Total
|
||||||
Balance, beginning of period
|
$
|
75,154
|
|
|
$
|
94,504
|
|
|
$
|
169,658
|
|
Transfer in of loans previously accounted for as purchased credit impaired(1)
|
20,560
|
|
|
52,825
|
|
|
73,385
|
|
|||
Adjusted balance, beginning of period
|
95,714
|
|
|
147,329
|
|
|
243,043
|
|
|||
Additions
|
25,813
|
|
|
48,657
|
|
|
74,470
|
|
|||
Charge-offs
|
(2,839
|
)
|
|
(6,811
|
)
|
|
(9,650
|
)
|
|||
Transfers to other assets
|
(2,536
|
)
|
|
(7,745
|
)
|
|
(10,281
|
)
|
|||
Return to accrual status
|
(4,239
|
)
|
|
(7,678
|
)
|
|
(11,917
|
)
|
|||
Payments received
|
(5,797
|
)
|
|
(28,274
|
)
|
|
(34,071
|
)
|
|||
Other, net
|
—
|
|
|
(1,119
|
)
|
|
(1,119
|
)
|
|||
Balance, end of period
|
$
|
106,116
|
|
|
$
|
144,359
|
|
|
$
|
250,475
|
|
|
At March 31, 2020
|
||||||||||||||||||
|
Non-classified
|
|
Classified
|
|
Total
|
||||||||||||||
(In thousands)
|
Pass
|
|
Special Mention
|
|
Substandard
|
|
Doubtful
|
|
|||||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
$
|
11,768,892
|
|
|
$
|
312,655
|
|
|
$
|
239,189
|
|
|
$
|
6,207
|
|
|
$
|
12,326,943
|
|
Commercial real estate
|
9,154,362
|
|
|
239,795
|
|
|
92,747
|
|
|
—
|
|
|
9,486,904
|
|
|||||
Lease financing
|
2,652,615
|
|
|
30,601
|
|
|
25,782
|
|
|
—
|
|
|
2,708,998
|
|
|||||
Total commercial loan and lease portfolio
|
23,575,869
|
|
|
583,051
|
|
|
357,718
|
|
|
6,207
|
|
|
24,522,845
|
|
|||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage
|
6,368,073
|
|
|
775
|
|
|
66,466
|
|
|
—
|
|
|
6,435,314
|
|
|||||
Consumer installment
|
1,508,947
|
|
|
—
|
|
|
1,006
|
|
|
—
|
|
|
1,509,953
|
|
|||||
Home equity
|
3,405,219
|
|
|
669
|
|
|
47,614
|
|
|
—
|
|
|
3,453,502
|
|
|||||
Total consumer loan portfolio
|
11,282,239
|
|
|
1,444
|
|
|
115,086
|
|
|
—
|
|
|
11,398,769
|
|
|||||
Total loans and leases
|
$
|
34,858,108
|
|
|
$
|
584,495
|
|
|
$
|
472,804
|
|
|
$
|
6,207
|
|
|
$
|
35,921,614
|
|
|
At December 31, 2019
|
||||||||||||||||||
|
Non-classified
|
|
Classified
|
|
Total
|
||||||||||||||
(In thousands)
|
Pass
|
|
Special Mention
|
|
Substandard
|
|
Doubtful
|
|
|||||||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
$
|
10,930,939
|
|
|
$
|
315,097
|
|
|
$
|
193,566
|
|
|
$
|
—
|
|
|
11,439,602
|
|
|
Commercial real estate
|
8,891,361
|
|
|
170,114
|
|
|
75,395
|
|
|
—
|
|
|
9,136,870
|
|
|||||
Lease financing
|
2,646,874
|
|
|
28,091
|
|
|
24,904
|
|
|
—
|
|
|
2,699,869
|
|
|||||
Total commercial loan and lease portfolio
|
22,469,174
|
|
|
513,302
|
|
|
293,865
|
|
|
—
|
|
|
23,276,341
|
|
|||||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage
|
6,135,096
|
|
|
565
|
|
|
44,144
|
|
|
—
|
|
|
6,179,805
|
|
|||||
Consumer installment
|
1,541,524
|
|
|
—
|
|
|
887
|
|
|
—
|
|
|
1,542,411
|
|
|||||
Home equity
|
3,457,292
|
|
|
456
|
|
|
41,159
|
|
|
—
|
|
|
3,498,907
|
|
|||||
Total consumer loan portfolio
|
11,133,912
|
|
|
1,021
|
|
|
86,190
|
|
|
—
|
|
|
11,221,123
|
|
|||||
Total loans and leases
|
$
|
33,603,086
|
|
|
$
|
514,323
|
|
|
$
|
380,055
|
|
|
$
|
—
|
|
|
$
|
34,497,464
|
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||||||||||||||||||
(Dollars in thousands)
|
Accruing
TDR Loans
|
|
Nonaccrual
TDR Loans
|
|
Total
TDR Loans
|
|
Accruing
TDR Loans
|
|
Nonaccrual
TDR Loans
|
|
Total
TDR Loans
|
||||||||||||
Commercial loan and lease portfolio
|
$
|
9,655
|
|
|
$
|
10,313
|
|
|
$
|
19,968
|
|
|
$
|
12,986
|
|
|
$
|
5,356
|
|
|
$
|
18,342
|
|
Consumer loan portfolio
|
13,248
|
|
|
17,331
|
|
|
30,579
|
|
|
12,403
|
|
|
14,875
|
|
|
27,278
|
|
||||||
Total
|
$
|
22,903
|
|
|
$
|
27,644
|
|
|
$
|
50,547
|
|
|
$
|
25,389
|
|
|
$
|
20,231
|
|
|
$
|
45,620
|
|
Over 90-day delinquency as a percentage of total accruing TDR loans
|
0.21
|
%
|
|
N.A.
|
|
|
N.A.
|
|
|
0.52
|
%
|
|
N.A.
|
|
|
N.A.
|
|
|
Three Months Ended March 31,
|
||||||
(in thousands)
|
2020
|
|
2019
|
||||
Contractual interest due on TDR loans
|
$
|
321
|
|
|
$
|
1,619
|
|
Interest income recognized on TDR loans
|
292
|
|
|
1,109
|
|
||
Unrecognized interest income
|
$
|
29
|
|
|
$
|
510
|
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||||||||
|
Credit Loss Reserves(1)
|
|
Credit Loss Reserves(1)
|
||||||||||
(Dollars in thousands)
|
Amount
|
|
As a Percentage of Portfolio
|
|
Amount
|
|
As a Percentage of Portfolio
|
||||||
Commercial loan and lease portfolio:
|
|
|
|
|
|
|
|
|
|||||
Commercial and industrial
|
$
|
117,507
|
|
|
0.95
|
%
|
|
$
|
42,430
|
|
|
0.38
|
%
|
Commercial real estate
|
86,209
|
|
|
0.91
|
|
|
27,308
|
|
|
0.29
|
|
||
Lease financing
|
27,610
|
|
|
1.02
|
|
|
14,742
|
|
|
0.55
|
|
||
Total commercial loan and lease portfolio
|
231,326
|
|
|
0.94
|
|
|
84,480
|
|
|
0.36
|
|
||
Consumer loan portfolio:
|
|
|
|
|
|
|
|
||||||
Residential mortgage
|
97,185
|
|
|
1.51
|
|
|
8,099
|
|
|
0.13
|
|
||
Consumer installment
|
20,178
|
|
|
1.34
|
|
|
2,678
|
|
|
0.17
|
|
||
Home equity
|
57,694
|
|
|
1.67
|
|
|
17,795
|
|
|
0.51
|
|
||
Total consumer loan portfolio
|
175,057
|
|
|
1.54
|
|
|
28,572
|
|
|
0.25
|
|
||
Total allowance for credit losses
|
406,383
|
|
|
1.13
|
|
|
113,052
|
|
|
0.33
|
|
||
Other credit loss reserves:
|
|
|
|
|
|
|
|
||||||
Reserves for unfunded commitments
|
22,188
|
|
|
N.A.
|
|
|
3,528
|
|
|
N.A.
|
|
||
Total credit loss reserves(1)
|
$
|
428,571
|
|
|
1.19
|
%
|
|
$
|
116,580
|
|
|
0.34
|
%
|
(1)
|
Credit loss reserves effective January 1, 2020 are calculated under the guidance of CECL. At December 31, 2019 credit loss reserves were calculated under the guidance of ASC Topic 310 prior to adoption of CECL, See "Note 3. Summary of Significant Accounting Policies" and "Note 8. Allowance for Credit Losses and Credit Quality" of Notes to Consolidated Financial Statements for further information.
|
|
At or For the Three Months Ended March 31,
|
||||||
(Dollars in thousands)
|
2020
|
|
2019
|
||||
FHLB advances
|
|
|
|
||||
Maximum outstanding at any month-end
|
$
|
3,200,000
|
|
|
$
|
350,000
|
|
Balance outstanding at end of period
|
3,200,000
|
|
|
350,000
|
|
||
Weighted average interest rate at end of period
|
0.61
|
%
|
|
2.66
|
%
|
||
Average balance outstanding
|
$
|
2,467,583
|
|
|
$
|
288,890
|
|
Weighted average interest rate
|
1.63
|
%
|
|
2.67
|
%
|
||
Federal funds purchased
|
|
|
|
||||
Maximum outstanding at any month-end
|
$
|
—
|
|
|
$
|
—
|
|
Balance outstanding at end of period
|
—
|
|
|
—
|
|
||
Weighted average interest rate at end of period
|
—
|
%
|
|
—
|
%
|
||
Average balance outstanding
|
$
|
231
|
|
|
$
|
344
|
|
Weighted average interest rate
|
1.78
|
%
|
|
2.66
|
%
|
||
Collateralized Deposits
|
|
|
|
||||
Maximum outstanding at any month-end
|
$
|
218,163
|
|
|
$
|
—
|
|
Balance outstanding at end of period
|
202,535
|
|
|
—
|
|
||
Weighted average interest rate at end of period
|
0.64
|
%
|
|
—
|
%
|
||
Average balance outstanding
|
$
|
208,316
|
|
|
$
|
2,778
|
|
Weighted average interest rate
|
0.56
|
%
|
|
2.66
|
%
|
||
Line-of-credit: TCF Financial Corporation
|
|
|
|
||||
Maximum outstanding at any month-end
|
80,000
|
|
|
—
|
|
||
Balance outstanding at end of period
|
80,000
|
|
|
—
|
|
||
Weighted average interest rate at end of period
|
2.64
|
%
|
|
—
|
%
|
||
Average balance outstanding
|
12,527
|
|
|
—
|
|
||
Weighted average interest rate
|
3.89
|
%
|
|
—
|
%
|
||
Line-of-credit: TCF Commercial Finance Canada, Inc.
|
|
|
|
||||
Maximum outstanding at any month-end
|
$
|
747
|
|
|
$
|
9,905
|
|
Balance outstanding at end of period
|
—
|
|
|
5,992
|
|
||
Weighted average interest rate at end of period
|
—
|
%
|
|
3.00
|
%
|
||
Average balance outstanding
|
$
|
605
|
|
|
$
|
1,487
|
|
Weighted average interest rate
|
2.88
|
%
|
|
3.00
|
%
|
(In thousands)
|
March 31, 2020
|
|
December 31, 2019
|
||||
FHLB advances
|
$
|
2,071,480
|
|
|
$
|
1,822,058
|
|
Subordinated debt obligations
|
437,504
|
|
|
428,470
|
|
||
Discounted lease rentals
|
88,593
|
|
|
100,882
|
|
||
Finance lease obligation
|
3,017
|
|
|
3,038
|
|
||
Total long-term borrowings
|
$
|
2,600,594
|
|
|
$
|
2,354,448
|
|
|
Amount of Commitment - Expiration by Period
|
||||||||||||||||||
(In thousands)
|
Total
|
|
Less than
1 year
|
|
1-3
years
|
|
3-5
years
|
|
More than
5 years
|
||||||||||
Commitments:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commitments to extend credit:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial
|
$
|
5,140,026
|
|
|
$
|
2,373,030
|
|
|
$
|
1,535,695
|
|
|
$
|
998,272
|
|
|
$
|
233,029
|
|
Consumer
|
2,245,645
|
|
|
110,483
|
|
|
125,117
|
|
|
174,330
|
|
|
1,835,715
|
|
|||||
Total commitments to extend credit
|
7,385,671
|
|
|
2,483,513
|
|
|
1,660,812
|
|
|
1,172,602
|
|
|
2,068,744
|
|
|||||
Standby letters of credit and guarantees on industrial revenue bonds
|
126,384
|
|
|
76,798
|
|
|
24,023
|
|
|
16,279
|
|
|
9,284
|
|
|||||
Total
|
$
|
7,512,055
|
|
|
$
|
2,560,311
|
|
|
$
|
1,684,835
|
|
|
$
|
1,188,881
|
|
|
$
|
2,078,028
|
|
|
|
Three Months Ended
|
||||||||||
(Dollars in thousands, except per share data)
|
|
March 31, 2020
|
|
December 31, 2019
|
|
March 31, 2019
|
||||||
Net income available to common shareholders
|
|
$
|
49,406
|
|
|
$
|
109,905
|
|
|
$
|
68,001
|
|
Earnings allocated to participating securities
|
|
—
|
|
|
—
|
|
|
(13
|
)
|
|||
Earnings allocated to common shareholders
|
(a)
|
49,406
|
|
|
109,905
|
|
|
67,988
|
|
|||
Merger-related expenses
|
|
36,728
|
|
|
47,025
|
|
|
9,458
|
|
|||
Notable items:
|
|
|
|
|
|
|
||||||
Sale of legacy TCF auto finance portfolio and related expenses(1)
|
|
3,063
|
|
|
12,864
|
|
|
—
|
|
|||
Write-down of company-owned vacant land parcels and branch exit costs(2)
|
|
—
|
|
|
3,494
|
|
|
—
|
|
|||
Pension fair valuation adjustment(2)
|
|
—
|
|
|
6,341
|
|
|
—
|
|
|||
Loan servicing rights impairment (recovery)(3)
|
|
8,236
|
|
|
(638
|
)
|
|
—
|
|
|||
Total notable items
|
|
11,299
|
|
|
22,061
|
|
|
—
|
|
|||
Related income tax expense, net of benefits(4)
|
|
(10,071
|
)
|
|
(19,904
|
)
|
|
(2,252
|
)
|
|||
Total adjustments, net of tax
|
|
37,956
|
|
|
49,182
|
|
|
7,206
|
|
|||
Adjusted earnings allocated to common stock
|
(b)
|
$
|
87,362
|
|
|
$
|
159,087
|
|
|
$
|
75,194
|
|
|
|
|
|
|
|
|
||||||
Weighted-average common shares outstanding used in diluted earnings per common share calculation(5)
|
(c)
|
152,114,017
|
|
|
152,658,766
|
|
|
82,245,577
|
|
|||
|
|
|
|
|
|
|
||||||
Diluted earnings per common share
|
(a) / (c)
|
$
|
0.32
|
|
|
$
|
0.72
|
|
|
$
|
0.83
|
|
Adjusted diluted earnings per common share
|
(b) / (c)
|
0.57
|
|
|
1.04
|
|
|
0.91
|
|
|||
|
|
|
|
|
|
|
||||||
Net income attributable to TCF
|
|
$
|
51,899
|
|
|
$
|
112,399
|
|
|
$
|
70,494
|
|
Total adjustments, net of tax
|
|
37,956
|
|
|
49,182
|
|
|
7,206
|
|
|||
Adjusted net income attributable to TCF
|
|
$
|
89,855
|
|
|
$
|
161,581
|
|
|
$
|
77,700
|
|
(1)
|
Three months ended March 31, 2020 amount included within occupancy and equipment ($1.6 million), compensation and employee benefits ($0.9 million) and other noninterest expense ($0.6 million). Three months ended December 31, 2019 amount included within net gains (losses) on sales of loans and leases ($8.2 million), other noninterest expense ($2.2 million), occupancy and equipment ($1.5 million) and compensation and employee benefits ($0.9 million).
|
(2)
|
Included within Other noninterest expense.
|
(3)
|
Included within Other noninterest income.
|
(4)
|
Included within Income tax expense.
|
(5)
|
Assumes conversion of common shares, as applicable.
|
|
Three Months Ended
|
||||||||||
(Dollars in thousands, except per share data)
|
March 31, 2020
|
|
December 31, 2019
|
|
March 31, 2019
|
||||||
Net Interest Income
|
$
|
401,481
|
|
|
$
|
408,753
|
|
|
$
|
254,429
|
|
Purchase accounting accretion and amortization
|
(25,258
|
)
|
|
(30,523
|
)
|
|
—
|
|
|||
Net interest income, excluding purchase accounting accretion and amortization
|
$
|
376,223
|
|
|
$
|
378,230
|
|
|
$
|
254,429
|
|
Net interest margin (FTE)
|
3.76
|
%
|
|
3.89
|
%
|
|
4.61
|
%
|
|||
Purchase accounting accretion and amortization
|
(0.23
|
)
|
|
(0.29
|
)
|
|
—
|
|
|||
Net interest margin, excluding purchase accounting accretion and amortization (FTE)
|
3.53
|
%
|
|
3.60
|
%
|
|
4.61
|
%
|
|
|
Three Months Ended
|
||||||||||
(Dollars in thousands)
|
|
March 31, 2020
|
|
December 31, 2019
|
|
March 31, 2019
|
||||||
Adjusted net income after tax expense:
|
|
|
|
|
|
|
||||||
Income after tax expense
|
(a)
|
$
|
53,816
|
|
|
$
|
114,456
|
|
|
$
|
73,449
|
|
Merger-related expenses
|
|
36,728
|
|
|
47,025
|
|
|
9,458
|
|
|||
Notable items
|
|
11,299
|
|
|
22,061
|
|
|
—
|
|
|||
Related income tax expense, net of tax benefits
|
|
(10,071
|
)
|
|
(19,904
|
)
|
|
(2,252
|
)
|
|||
Adjusted net income after tax expense for ROAA calculation
|
(b)
|
$
|
91,772
|
|
|
$
|
163,638
|
|
|
$
|
80,655
|
|
Net income available to common shareholders
|
(c)
|
$
|
49,406
|
|
|
$
|
109,905
|
|
|
$
|
68,001
|
|
Other intangibles amortization
|
|
5,480
|
|
|
5,505
|
|
|
812
|
|
|||
Related income tax expense
|
|
(1,149
|
)
|
|
(1,284
|
)
|
|
(193
|
)
|
|||
Net income available to common shareholders used in ROATCE calculation
|
(d)
|
$
|
53,737
|
|
|
$
|
114,126
|
|
|
$
|
68,620
|
|
|
|
|
|
|
|
|
||||||
Adjusted net income available to common shareholders:
|
|
|
|
|
|
|
||||||
Net income available to common shareholders
|
|
$
|
49,406
|
|
|
$
|
109,905
|
|
|
$
|
68,001
|
|
Notable items
|
|
11,299
|
|
|
22,061
|
|
|
—
|
|
|||
Merger-related expenses
|
|
36,728
|
|
|
47,025
|
|
|
9,458
|
|
|||
Related income tax expense, net of tax benefits
|
|
(10,071
|
)
|
|
(19,904
|
)
|
|
(2,252
|
)
|
|||
Net income available to common shareholders used in adjusted ROACE calculation
|
(e)
|
87,362
|
|
|
159,087
|
|
|
75,207
|
|
|||
Other intangibles amortization
|
|
5,480
|
|
|
5,505
|
|
|
812
|
|
|||
Related income tax expense
|
|
(1,149
|
)
|
|
(1,284
|
)
|
|
(193
|
)
|
|||
Net income available to common shareholders used in adjusted ROATCE calculation
|
(f)
|
$
|
91,693
|
|
|
$
|
163,308
|
|
|
$
|
75,826
|
|
Average balances:
|
|
|
|
|
|
|
||||||
Average assets
|
(g)
|
$
|
46,985,426
|
|
|
$
|
46,119,514
|
|
|
$
|
24,106,941
|
|
Total average equity
|
|
$
|
5,630,487
|
|
|
$
|
5,691,119
|
|
|
$
|
2,579,250
|
|
Non-controlling interest in subsidiaries
|
|
(25,328
|
)
|
|
(23,683
|
)
|
|
(24,521
|
)
|
|||
Total TCF Financial Corporation shareholders' equity
|
|
5,605,159
|
|
|
5,667,436
|
|
|
2,554,729
|
|
|||
Preferred stock
|
|
(169,302
|
)
|
|
(169,302
|
)
|
|
(169,302
|
)
|
|||
Average total common shareholders' equity used in ROACE calculation
|
(h)
|
$
|
5,435,857
|
|
|
$
|
5,498,134
|
|
|
$
|
2,385,427
|
|
Average goodwill, net
|
|
(1,301,080
|
)
|
|
(1,266,166
|
)
|
|
(154,757
|
)
|
|||
Average other intangibles, net
|
|
(166,298
|
)
|
|
(211,294
|
)
|
|
(20,080
|
)
|
|||
Average tangible common shareholders' equity used in ROATCE calculation
|
(i)
|
$
|
3,968,479
|
|
|
$
|
4,020,674
|
|
|
$
|
2,210,590
|
|
|
|
|
|
|
|
|
||||||
ROAA(1)
|
(a) / (g)
|
0.46
|
%
|
|
0.99
|
%
|
|
1.22
|
%
|
|||
Adjusted ROAA(1)
|
(b) / (g)
|
0.78
|
|
|
1.42
|
|
|
1.34
|
|
|||
ROACE(1)
|
(c) / (h)
|
3.64
|
|
|
8.00
|
|
|
11.40
|
|
|||
Adjusted ROACE(1)
|
(e) / (h)
|
6.43
|
|
|
11.57
|
|
|
12.61
|
|
|||
ROATCE(1)
|
(d) / (i)
|
5.42
|
|
|
11.35
|
|
|
12.42
|
|
|||
Adjusted ROATCE(1)
|
(f) / (i)
|
9.24
|
|
|
16.25
|
|
|
13.72
|
|
(1)
|
Annualized.
|
|
|
Three Months Ended
|
||||||||||
(Dollars in thousands)
|
|
March 31, 2020
|
|
December 31, 2019
|
|
March 31, 2019
|
||||||
Noninterest expense
|
(a)
|
$
|
374,599
|
|
|
$
|
416,571
|
|
|
$
|
253,075
|
|
Merger-related expenses
|
|
(36,728
|
)
|
|
(47,025
|
)
|
|
(9,458
|
)
|
|||
Write-down of company-owned vacant land parcels and branch exit costs
|
|
—
|
|
|
(3,494
|
)
|
|
—
|
|
|||
Expenses related to the sale of Legacy TCF auto finance portfolio
|
|
(3,063
|
)
|
|
(4,670
|
)
|
|
—
|
|
|||
Pension fair valuation adjustment
|
|
—
|
|
|
(6,341
|
)
|
|
—
|
|
|||
Adjusted noninterest expense
|
|
$
|
334,808
|
|
|
$
|
355,041
|
|
|
$
|
243,617
|
|
Lease financing equipment depreciation
|
|
(18,450
|
)
|
|
(18,629
|
)
|
|
(19,256
|
)
|
|||
Amortization of intangibles
|
|
(5,480
|
)
|
|
(5,505
|
)
|
|
(812
|
)
|
|||
Impairment of federal historic tax credits
|
|
(1,521
|
)
|
|
(4,030
|
)
|
|
—
|
|
|||
Adjusted noninterest expense, efficiency ratio
|
(b)
|
$
|
309,357
|
|
|
$
|
326,877
|
|
|
$
|
223,549
|
|
|
|
|
|
|
|
|
||||||
Net interest income
|
|
$
|
401,481
|
|
|
$
|
408,753
|
|
|
$
|
254,429
|
|
Noninterest income
|
|
136,963
|
|
|
158,052
|
|
|
103,504
|
|
|||
Total revenue
|
(c)
|
$
|
538,444
|
|
|
566,805
|
|
|
$
|
357,933
|
|
|
|
|
|
|
|
|
|
||||||
Noninterest income
|
|
$
|
136,963
|
|
|
$
|
158,052
|
|
|
$
|
103,504
|
|
Sale of legacy TCF auto finance portfolio
|
|
—
|
|
|
8,194
|
|
|
—
|
|
|||
Loan servicing rights impairment (recovery)
|
|
8,236
|
|
|
(638
|
)
|
|
—
|
|
|||
Adjusted noninterest income
|
|
145,199
|
|
|
165,608
|
|
|
103,504
|
|
|||
Net interest income
|
|
401,481
|
|
|
408,753
|
|
|
254,429
|
|
|||
Net interest income FTE adjustment
|
|
2,983
|
|
|
2,896
|
|
|
1,722
|
|
|||
Adjusted net interest income
|
|
404,464
|
|
|
411,649
|
|
|
256,151
|
|
|||
Lease financing equipment depreciation
|
|
(18,450
|
)
|
|
(18,629
|
)
|
|
(19,256
|
)
|
|||
Adjusted total revenue, efficiency ratio
|
(d)
|
$
|
531,213
|
|
|
$
|
558,628
|
|
|
$
|
340,399
|
|
|
|
|
|
|
|
|
||||||
Efficiency ratio
|
(a) / (c)
|
69.57
|
%
|
|
73.49
|
%
|
|
70.70
|
%
|
|||
Adjusted efficiency ratio
|
(b) / (d)
|
58.24
|
|
|
58.51
|
|
|
65.67
|
|
(Dollars in thousands, except per share data)
|
|
At March 31, 2020
|
|
At December 31, 2019
|
||||
Total equity
|
|
$
|
5,655,833
|
|
|
$
|
5,727,241
|
|
Non-controlling interest in subsidiaries
|
|
(30,149
|
)
|
|
(20,226
|
)
|
||
Total TCF Financial Corporation shareholders' equity
|
|
5,625,684
|
|
|
5,707,015
|
|
||
Preferred stock
|
|
(169,302
|
)
|
|
(169,302
|
)
|
||
Total common shareholders' equity
|
(a)
|
5,456,382
|
|
|
5,537,713
|
|
||
Goodwill, net
|
|
(1,313,046
|
)
|
|
(1,299,878
|
)
|
||
Other intangibles, net
|
|
(162,887
|
)
|
|
(168,368
|
)
|
||
Tangible common shareholders' equity
|
(b)
|
$
|
3,980,449
|
|
|
$
|
4,069,467
|
|
|
|
|
|
|
||||
Total assets
|
(c)
|
$
|
48,594,383
|
|
|
$
|
46,651,553
|
|
Goodwill, net
|
|
(1,313,046
|
)
|
|
(1,299,878
|
)
|
||
Other intangibles, net
|
|
(162,887
|
)
|
|
(168,368
|
)
|
||
Tangible assets
|
(d)
|
$
|
47,118,450
|
|
|
$
|
45,183,307
|
|
|
|
|
|
|
||||
Common stock shares outstanding
|
(e)
|
152,185,984
|
|
|
152,965,571
|
|
||
|
|
|
|
|
||||
Common equity to assets
|
(a) / (c)
|
11.23
|
%
|
|
11.87
|
%
|
||
Tangible common equity to tangible assets
|
(b) / (d)
|
8.45
|
|
|
9.01
|
|
||
|
|
|
|
|
||||
Book value per common share
|
(a) / (e)
|
$
|
35.85
|
|
|
$
|
36.20
|
|
Tangible book value per common share
|
(b) / (e)
|
26.16
|
|
|
26.60
|
|
|
Impact on Net Interest Income
|
||||
(Dollars in millions)
|
March 31, 2020
|
||||
Immediate change in interest rates:
|
|
|
|||
+200 basis points
|
$
|
32,200
|
|
2.2
|
%
|
+100 basis points
|
18,700
|
|
1.3
|
|
Period
|
Total Number
of Shares
Purchased
|
|
Average
Price Paid
Per Share
|
|
Total Number of Shares
Purchased as Part of
Publicly Announced Plan
|
|
Approximate Dollar Value of
Shares that May Yet Be
Purchased Under the Plan
|
||||||
January 1 to January 31, 2020
|
|
|
|
|
|
|
|
|
|
|
|
||
Share repurchase program(1)
|
22,244
|
|
|
$
|
42.51
|
|
|
22,244
|
|
|
$
|
121,559,856
|
|
Employee transactions(2)
|
47,890
|
|
|
46.80
|
|
|
N.A.
|
|
|
N.A.
|
|
||
February 1 to February 28, 2020
|
|
|
|
|
|
|
|
|
|
|
|
||
Share repurchase program(1)
|
459,649
|
|
|
$
|
40.41
|
|
|
459,649
|
|
|
$
|
102,983,806
|
|
Employee transactions(2)
|
1,250
|
|
|
38.64
|
|
|
N.A.
|
|
|
N.A.
|
|
||
March 1 to March 31, 2020
|
|
|
|
|
|
|
|
|
|
|
|
||
Share repurchase program(1)
|
391,483
|
|
|
$
|
34.65
|
|
|
391,483
|
|
|
$
|
89,419,941
|
|
Employee transactions(2)
|
—
|
|
|
—
|
|
|
N.A.
|
|
|
N.A.
|
|
||
Total
|
|
|
|
|
|
|
|
|
|
|
|
||
Share repurchase program(1)
|
873,376
|
|
|
$
|
37.88
|
|
|
873,376
|
|
|
$
|
89,419,941
|
|
Employee transactions(2)
|
49,140
|
|
|
46.59
|
|
|
N.A.
|
|
|
N.A.
|
|
(1)
|
On October 24, 2019, the Board of Directors approved an authorization to repurchase up to $150.0 million of our common stock. Repurchases will be based on market conditions, the trading price of our shares and other factors. The ability to repurchase shares in the future may be adversely affected by new legislation or regulations or by changes in regulatory policies.
|
(2)
|
Represents restricted stock withheld pursuant to the terms of awards granted under the Legacy TCF Financial Omnibus Incentive Plan to offset tax withholding obligations that occur upon vesting and release of restricted stock. The plan provides that the value of shares withheld shall be the average of the high and low prices of common stock of TCF Financial Corporation on the date the relevant transaction occurs.
|
Exhibit
Number
|
|
Description
|
3(a)
|
|
|
3(b)
|
|
|
3(c)
|
|
|
4(a)
|
|
|
10(a)*
|
|
|
10(b)*
|
|
|
10(c)
|
|
|
10(d)#
|
|
|
10(e)#
|
|
|
10(f)#
|
|
|
10(g)#
|
|
|
10(h)
|
|
|
10(i)#
|
|
|
10(j)#
|
|
|
10(k)#
|
|
|
31.1#
|
|
|
31.2#
|
|
|
32.1#
|
|
|
32.2#
|
|
|
101.INS
|
|
XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.
|
101.SCH#
|
|
XBRL Taxonomy Extension Schema Document
|
101.CAL#
|
|
XBRL Taxonomy Extension Calculation Linkbase Document
|
101.DEF#
|
|
XBRL Taxonomy Extension Definitions Linkbase Document
|
101.LAB#
|
|
XBRL Taxonomy Extension Label Linkbase Document
|
101.PRE#
|
|
XBRL Taxonomy Extension Presentation Linkbase Document
|
|
TCF FINANCIAL CORPORATION
|
|
|
|
|
|
|
|
|
/s/ Craig R. Dahl
|
|
|
Craig R. Dahl,
|
|
|
Chief Executive Officer and President
|
|
|
(Principal Executive Officer)
|
|
|
|
|
|
/s/ Dennis L. Klaeser
|
|
|
Dennis L. Klaeser,
|
|
|
Executive Vice President and Chief Financial Officer
|
|
|
(Principal Financial Officer)
|
|
|
|
|
|
/s/ Kathleen S. Wendt
|
|
|
Kathleen S. Wendt,
|
|
|
Executive Vice President and Chief Accounting Officer
|
|
|
(Principal Accounting Officer)
|
|
(i)
|
[____] of the total number of TRSUs granted under this Agreement shall vest on each of:
|
(ii)
|
Any fractional number of TRSUs resulting from the application of the foregoing vesting schedule may be rounded to the nearest whole number of shares.
|
Performance Goal
[_________________________]
|
Weighting
|
Threshold
(50% Payout)
|
Target
(100% Payout)
|
Maximum
(150% Payout)
|
[_______________]
|
|
|
|
|
1.
|
Share Award. TCF Financial hereby awards to the Grantee’s account in the TCF Directors Deferred Compensation Trust Agreement (the “Trust”) [______] shares (the “Deferred Shares”) of Common Stock, pursuant to the Stock Incentive Plan of 2019 (the “Stock Plan”) upon the terms and conditions therein and hereinafter set forth. The Deferred Shares shall be issued in the name of the trustee under the Trust (the “Trustee”) for the account of the Grantee, and shall be held by the Trustee pursuant to the terms of the Trust.
|
2.
|
Restrictions on Transfer and Restricted Periods.
|
3.
|
Termination of Service. Except as provided in Section 8 below or in the Stock Plan, if the Grantee ceases to be a member of all boards of directors of TCF Financial and its affiliated companies for any reason, all Deferred Shares which at the time of such termination of board service are subject to the Restrictions shall upon termination of such service be forfeited and returned to TCF Financial unless the Committee, pursuant to its discretion under Section 2(c), shall determine to remove any or all of the Restrictions on such Deferred Shares prior
|
4.
|
Certificates for Shares. TCF Financial may issue one or more certificates in respect of the Deferred Shares to be held by the Trustee in the name of the Trustee for the account of the Grantee until the expiration of the Restricted Period with respect to the Deferred Shares represented thereby. Any such certificate(s) for Deferred Shares will be subject to a Restricted Period and bear the following legend:
|
5.
|
Grantee’s Rights. Grantee, as owner of the Shares, shall have the right to vote the Shares. Deferred Shares shall be subject in all respects to the terms of the Trust, including (but not limited to) the provisions which make such Deferred Shares subject to the claims of creditors in the event of insolvency of the company. Any dividends or other distributions declared payable on TCF Financial’s common stock on or after the grant date of the Deferred Shares until the Deferred Shares vest or forfeit shall be credited notionally to the Grantee in an amount equal to such declared dividends or other distributions on an equivalent number of shares of the TCF Financial’s common stock (“Dividend Equivalents”). Dividend Equivalents so credited shall be paid if, and only to the extent, the Deferred Shares to which they relate vest, as provided under the terms of the Stock Plan and this Restricted Stock Agreement. Dividend Equivalents credited in respect to Deferred Shares that are forfeited under the terms of the Stock Plan and this Restricted Stock Agreement, are correspondingly forfeited. No interest or other earnings shall be credited on Dividend Equivalents. Vested Dividend Equivalents shall be paid in cash at the same time as the underlying Deferred Shares to which they relate. Any dividends paid on Deferred Shares of a Grantee shall be credited to Trustee’s account for Grantee and shall be reinvested in Common Stock.
|
6.
|
Expiration of Restricted Period. Upon the expiration of the Restricted Period with respect to any Deferred Shares, TCF Financial shall redeliver to the Trustee for the Grantee’s account any certificate(s) for Deferred Shares with respect to which Restricted Periods have expired without the restrictive legend provided for in Section 4 above. The Trustee shall hold such Deferred Shares for the account of the Grantee until such time as they become distributable pursuant to the provisions of the TCF Directors Deferred Compensation Plan, as amended and restated effective as of October 23, 2019 (the “Deferred Compensation Plan”). The Trustee shall accomplish such distribution by sending the Deferred Shares to TCF Financial’s transfer agent, with instructions to reissue them in the name of Grantee. Subject to the provisions of Section 3 above, any Deferred Shares for which Restricted Periods are still in effect at the time of such termination of service shall be forfeited and Trustee shall deliver any certificates for such Deferred Shares to TCF Financial for cancellation.
|
7.
|
Adjustments for Changes in Capitalization of TCF Financial. In the event of any change in the outstanding Common Stock of TCF Financial by reason of any reorganization, recapitalization, stock split, combination or exchange of shares, merger, consolidation or any change in the corporate structure of TCF Financial or in the shares of Common Stock, or in the event of any issuance of preferred stock or other change in the capital structure of TCF Financial which the Committee deems significant for purposes of this Agreement, the number and class of Deferred Shares covered by this Agreement shall be appropriately adjusted by the Committee, whose determination of the appropriate adjustment, or whose determination that there shall be no adjustment, shall be conclusive. Any Deferred Shares of Common Stock or other securities received, as a result of the foregoing, by the Grantee or the Trustee will be subject to the Restrictions and the certificate or other instruments representing or evidencing such Deferred Shares shall be legended and deposited with TCF Financial or the Trustee in the manner provided in Section 4 above.
|
8.
|
Effect of Change in Control. Subject to the six-month holding requirement, if any, of the Rule 16b-3 under the Securities Exchange Act of 1934, as amended, but notwithstanding any other provision in this Stock Plan (including, but not limited to, Sections 2(b) and 3 of this Agreement) in the event of a Change in Control, as defined in the Stock Plan, all terms and conditions of this Restricted Stock Agreement shall be deemed satisfied, and all the Deferred Shares shall vest as of the date of the Change in Control. Such vested Deferred Shares shall be distributed as provided in the Deferred Compensation Plan, in accordance with the procedures described in Section 6 of this Agreement.
|
9.
|
Stock Plan and Committee Interpretations as Controlling. The Deferred Shares hereby awarded and the terms and conditions herein set forth are subject in all respects to the terms and conditions of the Stock Plan, which are controlling. All determinations and interpretations of the Committee shall be binding and conclusive upon the Grantee or his or her legal representatives with regard to any question arising hereunder or under the Stock Plan.
|
10.
|
Grantee Service. Nothing in this Agreement shall limit the right of the Board, Board committees, or shareholders of TCF Financial to remove the Grantee from service as a Director, to refuse to renominate or reelect the Grantee as a Director or to enforce the duly adopted retirement policies of the Board of TCF Financial.
|
11.
|
Grantee and Trustee Acceptance. The Grantee shall signify acceptance of the terms and conditions of this Agreement by signing in the space provided below and returning a signed copy hereof to TCF Financial. The Trustee (if applicable) shall signify its acceptance of the terms and conditions of this Agreement by signing in the space provided below and returning a signed copy hereof to TCF Financial.
|
12.
|
Section 409A of the Internal Revenue Code. Insofar as the arrangements described in this Agreement are subject to Section 409A of the Internal Revenue Code of 1986, as amended, the terms of this Agreement shall be interpreted as necessary to comply with the requirements of Section 409A, as interpreted by guidance issued by the Internal Revenue Service.
|
1.
|
Share Award. TCF Financial hereby awards to the Grantee [______] shares (the “Shares”) of Common Stock, par value $.01 per share (“Common Stock”) of TCF Financial, pursuant to the Stock Incentive Plan of 2019 (the “Stock Plan”) upon the terms and conditions therein and hereinafter set forth.
|
2.
|
Restrictions on Transfer and Restricted Periods.
|
a.
|
Beginning on the date of this Agreement (the “Commencement Date”), Shares may not be sold, assigned, transferred, pledged, or otherwise encumbered by the Grantee, except to TCF Financial or as hereinafter provided, and are subject to the restrictions set forth in the Stock Plan (collectively, the “Restrictions”).
|
b.
|
The period beginning on the Commencement Date and ending upon lapse of the Restrictions shall be referred to as the “Restricted Period” and the Shares will vest, subject to the acceleration and forfeiture provisions herein, with respect to one hundred percent (100%) of the Shares on [_________].
|
c.
|
The Compensation and Pension Committee of the Board (the “Committee”) shall have the authority, in its discretion, to accelerate the time at which any or all of the Restrictions shall lapse with respect to any Shares, or to remove any or all such Restrictions, whenever the Committee may determine that such action is appropriate by reason of changes in applicable tax or other laws or other changes occurring after the commencement of the Restricted Period.
|
3.
|
Termination of Service. Except as provided in Section 8 below or in the Stock Plan, if the Grantee ceases to be a member of all boards of directors of TCF Financial and its affiliated companies for any reason, all Shares which at the time of such termination of board service are subject to the Restrictions shall upon termination of such service be forfeited and returned to TCF Financial unless the Committee, pursuant to its discretion under Section 2(c), shall determine to remove any or all of the Restrictions on such Shares prior to such forfeiture; provided that in the event of Grantee’s retirement from service pursuant to the terms of Section 6.4(c) of the Stock Plan, the Restricted Periods for any Shares still subject to Restricted Periods on that date shall lapse and all Shares shall be fully vested.
|
4.
|
Certificates for Shares. TCF Financial shall issue one or more certificates in respect of the Shares and shall hold such certificates on deposit for the account of the Grantee until the expiration of the Restricted Period with respect to the Shares represented thereby. Certificate(s) for Shares subject to a Restricted Period shall bear the following legend:
|
5.
|
Grantee’s Rights. Grantee, as owner of the Shares, shall have the right to vote the Shares. Any dividends or other distributions declared payable on TCF Financial’s common stock on or after the grant date of the Shares until the Shares vest or forfeit shall be credited notionally to the Grantee in an amount equal to such declared dividends or other distributions on an equivalent number of shares of the TCF Financial’s common stock (“Dividend Equivalents”). Dividend Equivalents so credited shall be paid if, and only to the extent, the Shares to which they relate vest, as provided under the terms of the Stock Plan and this Restricted Stock Agreement. Dividend Equivalents credited in respect to Shares that are forfeited under the terms of the Plan and this Restricted Stock Agreement, are correspondingly forfeited. No interest or other earnings shall be credited on Dividend Equivalents. Vested Dividend Equivalents shall be paid in cash at the same time as the underlying Shares to which they relate.
|
6.
|
Expiration of Restricted Period. Upon the expiration of the Restricted Period with respect to any Shares, TCF Financial shall redeliver to the Grantee (or, if the Grantee is deceased, to his legal representative, beneficiary or heir) the certificate(s) in respect of such Shares, without the restrictive legend provided for in Section 4 above, and the related stock power(s) held by TCF Financial pursuant to Section 4 above. The Shares as to which the Restricted Period shall have lapsed or expired shall be free of the Restrictions and such certificates shall not bear the legend provided for in Section 4 above.
|
1.
|
Adjustments for Changes in Capitalization of TCF Financial. In the event of any change in the outstanding Common Stock of TCF Financial by reason of any reorganization, recapitalization, stock split, combination or exchange of shares, merger, consolidation or any change in the corporate structure of TCF Financial or in the shares of Common Stock, or in the event of any issuance of preferred stock or other change in the capital structure of TCF Financial which the Committee deems significant for purposes of this Agreement, the number and class of Shares covered by this Agreement shall be appropriately adjusted by the Committee, whose determination of the appropriate adjustment, or whose determination that there shall be no adjustment, shall be conclusive. Any Shares of Common Stock or other securities received, as a result of the foregoing, by the Grantee will be subject to the Restrictions and the certificate or other instruments representing or evidencing such Shares shall be legended and deposited with TCF Financial in the manner provided in Section 4 above.
|
8.
|
Effect of Change in Control. Subject to the six-month holding requirement, if any, of Rule 16b-3 under the Securities Exchange Act of 1934, as amended but notwithstanding any other provision in this Stock Plan (including, but not limited to, Sections 2(b) and 3 of this Agreement) in the event of a Change in Control, as defined in the Stock Plan, all terms and conditions of this Restricted Stock Agreement shall be deemed satisfied, and all the Shares shall vest as of the date of the Change in Control. Such vested Shares shall be distributed in accordance with the procedures described in Section 6 of this Agreement.
|
9.
|
Stock Plan and Committee Interpretations as Controlling. The Shares hereby awarded and the terms and conditions herein set forth are subject in all respects to the terms and conditions of the Stock Plan, which are controlling. All determinations and interpretations of the Committee shall be binding and conclusive upon the Grantee or his or her legal representatives with regard to any question arising hereunder or under the Stock Plan.
|
10.
|
Grantee Service. Nothing in this Agreement shall limit the right of the Board, Board committees, or shareholders of TCF Financial to remove the Grantee from service as a Director, to refuse to renominate or reelect the Grantee as a Director or to enforce the duly adopted retirement policies of the Board of TCF Financial.
|
11.
|
Grantee Acceptance. The Grantee shall signify acceptance of the terms and conditions of this Agreement by signing in the space provided below and returning a signed copy hereof to TCF Financial.
|
12.
|
Section 409A of the Internal Revenue Code. The arrangements described in this Agreement are not deferred arrangements and are intended to be exempt from Section 409A of the Internal Revenue Code of 1986, as amended. In the event the Agreement (or any portion thereof) is determined to be subject to Section 409A, then the Agreement (or such portion) shall be interpreted as necessary to comply with the requirements of Section 409A, as interpreted by guidance issued by the Internal Revenue Service.
|
(i)
|
[____] of the total number of TRSUs granted under this Agreement shall vest on each of:
|
(ii)
|
Any fractional number of TRSUs resulting from the application of the foregoing vesting schedule may be rounded to the nearest whole number of shares.
|
Performance Goal
[_________________________]
|
Weighting
|
Threshold
(50% Payout)
|
Target
(100% Payout)
|
Maximum
(150% Payout)
|
[_______________]
|
|
|
|
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of TCF Financial Corporation for the quarter ended March 31, 2020;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
|
/s/ Craig R. Dahl
|
|
|
Craig R. Dahl
|
|
|
Chief Executive Officer and President
|
|
|
(Principal Executive Officer)
|
|
1.
|
I have reviewed this Quarterly Report on Form 10-Q of TCF Financial Corporation for the quarter ended March 31, 2020;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
|
/s/ Dennis L. Klaeser
|
|
|
Dennis L. Klaeser
|
|
|
Executive Vice President and Chief Financial Officer
|
|
|
(Principal Financial Officer)
|
|
1.
|
This statement is provided pursuant to 18 U.S.C. § 1350 in connection with the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2020 (the “Periodic Report”);
|
2.
|
The Periodic Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and
|
3.
|
The information contained in the Periodic Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of the dates and for the periods indicated therein.
|
|
/s/ Craig R. Dahl
|
|
|
Craig R. Dahl
|
|
|
Chief Executive Officer and President
|
|
|
(Principal Executive Officer)
|
|
*
|
A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to TCF Financial Corporation and will be retained by TCF Financial Corporation and furnished to the Securities and Exchange Commission or its staff upon request.
|
1.
|
This statement is provided pursuant to 18 U.S.C. § 1350 in connection with the Company’s Quarterly Report on Form 10-Q for the quarter ended March 31, 2020 (the “Periodic Report”);
|
2.
|
The Periodic Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, as amended; and
|
3.
|
The information contained in the Periodic Report fairly presents, in all material respects, the financial condition and results of operations of the Company as of the dates and for the periods indicated therein.
|
|
/s/ Dennis L. Klaeser
|
|
|
Dennis L. Klaeser
|
|
|
Executive Vice President and Chief Financial Officer
|
|
|
(Principal Financial Officer)
|
|
*
|
A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to TCF Financial Corporation and will be retained by TCF Financial Corporation and furnished to the Securities and Exchange Commission or its staff upon request.
|