ý
|
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
¨
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
UTAH
|
87-0227400
|
(State or other jurisdiction of
incorporation or organization)
|
(I.R.S. Employer
Identification No.)
|
|
|
One South Main, 15
th
Floor
Salt Lake City, Utah
|
84133
|
(Address of principal executive offices)
|
(Zip Code)
|
Large accelerated filer
|
ý
|
Accelerated filer
|
¨
|
|
|
|
|
Non-accelerated filer
|
¨
|
Smaller reporting company
|
¨
|
Common Stock, without par value, outstanding at October 31, 2016
|
203,718,022 shares
|
|
|
Page
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Item 1.
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Item 2.
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Item 3.
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Item 4.
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Item 1.
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Item 1A.
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Item 2.
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Item 6.
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PART I.
|
FINANCIAL INFORMATION
|
ITEM 1.
|
FINANCIAL STATEMENTS
(Unaudited)
|
ZIONS BANCORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
|
|||||||
(In thousands, except shares)
|
September 30,
2016 |
|
December 31,
2015 |
||||
(Unaudited)
|
|
|
|||||
ASSETS
|
|
|
|
||||
Cash and due from banks
|
$
|
553,152
|
|
|
$
|
798,319
|
|
Money market investments:
|
|
|
|
||||
Interest-bearing deposits
|
1,489,134
|
|
|
6,108,124
|
|
||
Federal funds sold and security resell agreements
|
1,675,645
|
|
|
619,758
|
|
||
Investment securities:
|
|
|
|
||||
Held-to-maturity, at amortized cost (approximate fair value $717,822 and $552,088)
|
715,279
|
|
|
545,648
|
|
||
Available-for-sale, at fair value
|
10,358,083
|
|
|
7,643,116
|
|
||
Trading account, at fair value
|
108,004
|
|
|
48,168
|
|
||
|
11,181,366
|
|
|
8,236,932
|
|
||
Loans held for sale
|
160,287
|
|
|
149,880
|
|
||
Loans and leases, net of unearned income and fees
|
42,539,720
|
|
|
40,649,542
|
|
||
Less allowance for loan losses
|
597,185
|
|
|
606,048
|
|
||
Loans held for investment, net of allowance
|
41,942,535
|
|
|
40,043,494
|
|
||
Other noninterest-bearing investments
|
894,110
|
|
|
848,144
|
|
||
Premises, equipment and software, net
|
986,553
|
|
|
905,462
|
|
||
Goodwill
|
1,014,129
|
|
|
1,014,129
|
|
||
Core deposit and other intangibles
|
10,329
|
|
|
16,272
|
|
||
Other real estate owned
|
8,358
|
|
|
7,092
|
|
||
Other assets
|
1,123,262
|
|
|
916,937
|
|
||
|
$
|
61,038,860
|
|
|
$
|
59,664,543
|
|
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
||||
Deposits:
|
|
|
|
||||
Noninterest-bearing demand
|
$
|
22,710,778
|
|
|
$
|
22,276,664
|
|
Interest-bearing:
|
|
|
|
||||
Savings and money market
|
25,502,628
|
|
|
25,672,356
|
|
||
Time
|
2,516,493
|
|
|
2,130,680
|
|
||
Foreign
|
118,762
|
|
|
294,391
|
|
||
|
50,848,661
|
|
|
50,374,091
|
|
||
Federal funds and other short-term borrowings
|
1,115,561
|
|
|
346,987
|
|
||
Long-term debt
|
570,385
|
|
|
812,366
|
|
||
Reserve for unfunded lending commitments
|
61,615
|
|
|
74,838
|
|
||
Other liabilities
|
763,331
|
|
|
548,742
|
|
||
Total liabilities
|
53,359,553
|
|
|
52,157,024
|
|
||
Shareholders’ equity:
|
|
|
|
||||
Preferred stock, without par value, authorized 4,400,000 shares
|
709,601
|
|
|
828,490
|
|
||
Common stock, without par value; authorized 350,000,000 shares; issued and outstanding 203,850,072 and 204,417,093 shares
|
4,747,912
|
|
|
4,766,731
|
|
||
Retained earnings
|
2,211,793
|
|
|
1,966,910
|
|
||
Accumulated other comprehensive income (loss)
|
10,001
|
|
|
(54,612
|
)
|
||
Total shareholders’ equity
|
7,679,307
|
|
|
7,507,519
|
|
||
|
$
|
61,038,860
|
|
|
$
|
59,664,543
|
|
ZIONS BANCORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
|
|||||||||||||||
(In thousands, except per share amounts)
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
||||||||||||
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
Interest income:
|
|
|
|
|
|
|
|
||||||||
Interest and fees on loans
|
$
|
436,424
|
|
|
$
|
419,981
|
|
|
$
|
1,290,675
|
|
|
$
|
1,256,378
|
|
Interest on money market investments
|
4,934
|
|
|
6,018
|
|
|
17,527
|
|
|
17,021
|
|
||||
Interest on securities
|
49,337
|
|
|
30,231
|
|
|
144,346
|
|
|
86,513
|
|
||||
Total interest income
|
490,695
|
|
|
456,230
|
|
|
1,452,548
|
|
|
1,359,912
|
|
||||
Interest expense:
|
|
|
|
|
|
|
|
||||||||
Interest on deposits
|
12,549
|
|
|
12,542
|
|
|
36,263
|
|
|
36,967
|
|
||||
Interest on short- and long-term borrowings
|
8,959
|
|
|
18,311
|
|
|
29,407
|
|
|
56,518
|
|
||||
Total interest expense
|
21,508
|
|
|
30,853
|
|
|
65,670
|
|
|
93,485
|
|
||||
Net interest income
|
469,187
|
|
|
425,377
|
|
|
1,386,878
|
|
|
1,266,427
|
|
||||
Provision for loan losses
|
18,825
|
|
|
18,262
|
|
|
95,462
|
|
|
17,334
|
|
||||
Net interest income after provision for loan losses
|
450,362
|
|
|
407,115
|
|
|
1,291,416
|
|
|
1,249,093
|
|
||||
Noninterest income:
|
|
|
|
|
|
|
|
||||||||
Service charges and fees on deposit accounts
|
44,490
|
|
|
43,196
|
|
|
127,859
|
|
|
126,006
|
|
||||
Other service charges, commissions and fees
|
54,141
|
|
|
47,968
|
|
|
155,521
|
|
|
137,572
|
|
||||
Wealth management income
|
9,973
|
|
|
7,496
|
|
|
26,715
|
|
|
23,271
|
|
||||
Loan sales and servicing income
|
11,301
|
|
|
7,728
|
|
|
29,458
|
|
|
23,816
|
|
||||
Capital markets and foreign exchange
|
5,726
|
|
|
6,624
|
|
|
15,938
|
|
|
19,400
|
|
||||
Dividends and other investment income
|
9,045
|
|
|
8,449
|
|
|
19,910
|
|
|
27,164
|
|
||||
Fair value and nonhedge derivative loss
|
(184
|
)
|
|
(1,555
|
)
|
|
(4,679
|
)
|
|
(799
|
)
|
||||
Equity securities gains, net
|
8,441
|
|
|
3,630
|
|
|
10,600
|
|
|
11,822
|
|
||||
Fixed income securities gains (losses), net
|
39
|
|
|
(53
|
)
|
|
92
|
|
|
(138,728
|
)
|
||||
Other
|
1,915
|
|
|
2,461
|
|
|
5,951
|
|
|
9,076
|
|
||||
Total noninterest income
|
144,887
|
|
|
125,944
|
|
|
387,365
|
|
|
238,600
|
|
||||
Noninterest expense:
|
|
|
|
|
|
|
|
||||||||
Salaries and employee benefits
|
242,251
|
|
|
242,023
|
|
|
741,930
|
|
|
736,675
|
|
||||
Occupancy, net
|
33,536
|
|
|
29,477
|
|
|
92,936
|
|
|
88,911
|
|
||||
Furniture, equipment and software, net
|
29,090
|
|
|
30,416
|
|
|
91,655
|
|
|
91,376
|
|
||||
Other real estate expense, net
|
(137
|
)
|
|
(40
|
)
|
|
(1,993
|
)
|
|
(111
|
)
|
||||
Credit-related expense
|
6,825
|
|
|
6,914
|
|
|
18,604
|
|
|
20,959
|
|
||||
Provision for unfunded lending commitments
|
(3,165
|
)
|
|
1,428
|
|
|
(13,223
|
)
|
|
313
|
|
||||
Professional and legal services
|
14,473
|
|
|
12,699
|
|
|
38,173
|
|
|
37,292
|
|
||||
Advertising
|
5,985
|
|
|
6,136
|
|
|
16,881
|
|
|
19,622
|
|
||||
FDIC premiums
|
11,673
|
|
|
8,500
|
|
|
28,407
|
|
|
25,228
|
|
||||
Amortization of core deposit and other intangibles
|
1,951
|
|
|
2,298
|
|
|
5,944
|
|
|
6,974
|
|
||||
Debt extinguishment cost
|
—
|
|
|
—
|
|
|
353
|
|
|
2,395
|
|
||||
Other
|
60,810
|
|
|
51,429
|
|
|
161,092
|
|
|
153,620
|
|
||||
Total noninterest expense
|
403,292
|
|
|
391,280
|
|
|
1,180,759
|
|
|
1,183,254
|
|
||||
Income before income taxes
|
191,957
|
|
|
141,779
|
|
|
498,022
|
|
|
304,439
|
|
||||
Income taxes
|
64,694
|
|
|
40,780
|
|
|
166,373
|
|
|
97,455
|
|
||||
Net income
|
127,263
|
|
|
100,999
|
|
|
331,649
|
|
|
206,984
|
|
||||
Dividends on preferred stock
|
(10,368
|
)
|
|
(16,761
|
)
|
|
(35,571
|
)
|
|
(48,567
|
)
|
||||
Preferred stock redemption
|
—
|
|
|
—
|
|
|
(9,759
|
)
|
|
—
|
|
||||
Net earnings applicable to common shareholders
|
$
|
116,895
|
|
|
$
|
84,238
|
|
|
$
|
286,319
|
|
|
$
|
158,417
|
|
Weighted average common shares outstanding during the period:
|
|
|
|
|
|
|
|
||||||||
Basic shares
|
204,312
|
|
|
203,668
|
|
|
204,180
|
|
|
203,057
|
|
||||
Diluted shares
|
204,714
|
|
|
204,155
|
|
|
204,425
|
|
|
203,511
|
|
||||
Net earnings per common share:
|
|
|
|
|
|
|
|
||||||||
Basic
|
$
|
0.57
|
|
|
$
|
0.41
|
|
|
$
|
1.39
|
|
|
$
|
0.77
|
|
Diluted
|
0.57
|
|
|
0.41
|
|
|
1.39
|
|
|
0.77
|
|
ZIONS BANCORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(Unaudited)
|
|||||||||||||||
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
||||||||||||
(In thousands)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Net income for the period
|
$
|
127,263
|
|
|
$
|
100,999
|
|
|
$
|
331,649
|
|
|
$
|
206,984
|
|
Other comprehensive income (loss), net of tax:
|
|
|
|
|
|
|
|
||||||||
Net unrealized holding gains (losses) on investment securities
|
(10,711
|
)
|
|
11,268
|
|
|
54,316
|
|
|
4,460
|
|
||||
Reclassification of held-to-maturity securities to available-for-sale securities
|
—
|
|
|
—
|
|
|
—
|
|
|
10,938
|
|
||||
Reclassification to earnings for realized net fixed income securities losses (gains)
|
(24
|
)
|
|
33
|
|
|
(57
|
)
|
|
85,845
|
|
||||
Net unrealized gains (losses) on other noninterest-bearing investments
|
2,158
|
|
|
(1,881
|
)
|
|
2,022
|
|
|
94
|
|
||||
Net unrealized holding gains (losses) on derivative instruments
|
(3,336
|
)
|
|
10,607
|
|
|
14,415
|
|
|
12,941
|
|
||||
Reclassification adjustment for increase in interest income recognized in earnings on derivative instruments
|
(1,738
|
)
|
|
(1,830
|
)
|
|
(5,418
|
)
|
|
(3,212
|
)
|
||||
Pension and postretirement
|
—
|
|
|
—
|
|
|
(665
|
)
|
|
—
|
|
||||
Other comprehensive income (loss)
|
(13,651
|
)
|
|
18,197
|
|
|
64,613
|
|
|
111,066
|
|
||||
Comprehensive income
|
$
|
113,612
|
|
|
$
|
119,196
|
|
|
$
|
396,262
|
|
|
$
|
318,050
|
|
ZIONS BANCORPORATION AND SUBSIDIARIES
CONSO
LIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY
(Unaudited)
|
||||||||||||||||||||||||
(In thousands, except shares
and per share amounts)
|
Preferred
stock
|
|
Common stock
|
|
Retained earnings
|
|
Accumulated other
comprehensive income (loss)
|
|
Total
shareholders’ equity
|
|||||||||||||||
Shares
|
|
Amount
|
|
|
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Balance at December 31, 2015
|
$
|
828,490
|
|
|
204,417,093
|
|
|
$
|
4,766,731
|
|
|
$
|
1,966,910
|
|
|
|
$
|
(54,612
|
)
|
|
|
$
|
7,507,519
|
|
Net income for the period
|
|
|
|
|
|
|
331,649
|
|
|
|
|
|
|
331,649
|
|
|||||||||
Other comprehensive income, net of tax
|
|
|
|
|
|
|
|
|
|
64,613
|
|
|
|
64,613
|
|
|||||||||
Preferred stock redemption
|
(118,889
|
)
|
|
|
|
2,504
|
|
|
(9,759
|
)
|
|
|
|
|
|
(126,144
|
)
|
|||||||
Common stock redeemed and retired
|
|
|
(1,468,800
|
)
|
|
(45,029
|
)
|
|
|
|
|
|
|
|
(45,029
|
)
|
||||||||
Net activity under employee plans and related tax benefits
|
|
|
901,779
|
|
|
23,706
|
|
|
|
|
|
|
|
|
23,706
|
|
||||||||
Dividends on preferred stock
|
|
|
|
|
|
|
|
(35,571
|
)
|
|
|
|
|
|
(35,571
|
)
|
||||||||
Dividends on common stock, $0.20 per share
|
|
|
|
|
|
|
(41,298
|
)
|
|
|
|
|
|
(41,298
|
)
|
|||||||||
Change in deferred compensation
|
|
|
|
|
|
|
(138
|
)
|
|
|
|
|
|
(138
|
)
|
|||||||||
Balance at September 30, 2016
|
$
|
709,601
|
|
|
203,850,072
|
|
|
$
|
4,747,912
|
|
|
$
|
2,211,793
|
|
|
|
$
|
10,001
|
|
|
|
$
|
7,679,307
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Balance at December 31, 2014
|
$
|
1,004,011
|
|
|
203,014,903
|
|
|
$
|
4,723,855
|
|
|
$
|
1,769,705
|
|
|
|
$
|
(128,041
|
)
|
|
|
$
|
7,369,530
|
|
Net income for the period
|
|
|
|
|
|
|
206,984
|
|
|
|
|
|
|
206,984
|
|
|||||||||
Other comprehensive income, net of tax
|
|
|
|
|
|
|
|
|
|
111,066
|
|
|
|
111,066
|
|
|||||||||
Subordinated debt converted to preferred stock
|
148
|
|
|
|
|
(44
|
)
|
|
|
|
|
|
|
|
104
|
|
||||||||
Net activity under employee plans and related tax benefits
|
|
|
1,263,691
|
|
|
32,477
|
|
|
|
|
|
|
|
|
32,477
|
|
||||||||
Dividends on preferred stock
|
|
|
|
|
|
|
|
(48,567
|
)
|
|
|
|
|
|
(48,567
|
)
|
||||||||
Dividends on common stock, $0.16 per share
|
|
|
|
|
|
|
(32,785
|
)
|
|
|
|
|
|
(32,785
|
)
|
|||||||||
Change in deferred compensation
|
|
|
|
|
|
|
(714
|
)
|
|
|
|
|
|
(714
|
)
|
|||||||||
Balance at September 30, 2015
|
$
|
1,004,159
|
|
|
204,278,594
|
|
|
$
|
4,756,288
|
|
|
$
|
1,894,623
|
|
|
|
$
|
(16,975
|
)
|
|
|
$
|
7,638,095
|
|
ZIONS BANCORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
|
|||||||||||||||
(In thousands)
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
||||||||||||
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
CASH FLOWS FROM OPERATING ACTIVITIES
|
|
|
|
|
|
|
|
||||||||
Net income for the period
|
$
|
127,263
|
|
|
$
|
100,999
|
|
|
$
|
331,649
|
|
|
$
|
206,984
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
|
||||||||
Provision for credit losses
|
15,660
|
|
|
19,690
|
|
|
82,239
|
|
|
17,647
|
|
||||
Depreciation and amortization
|
49,858
|
|
|
40,281
|
|
|
135,891
|
|
|
109,563
|
|
||||
Fixed income securities losses (gains), net
|
(39
|
)
|
|
53
|
|
|
(92
|
)
|
|
138,728
|
|
||||
Deferred income tax expense (benefit)
|
1,976
|
|
|
(10,027
|
)
|
|
(8,813
|
)
|
|
(51,056
|
)
|
||||
Net decrease (increase) in trading securities
|
10,771
|
|
|
970
|
|
|
(59,836
|
)
|
|
(2,950
|
)
|
||||
Net decrease (increase) in loans held for sale
|
(12,447
|
)
|
|
23,314
|
|
|
(9,190
|
)
|
|
3,263
|
|
||||
Change in other liabilities
|
53,051
|
|
|
21,525
|
|
|
215,688
|
|
|
(14,738
|
)
|
||||
Change in other assets
|
(4,477
|
)
|
|
31,178
|
|
|
(222,378
|
)
|
|
(1,991
|
)
|
||||
Other, net
|
(13,337
|
)
|
|
(15,461
|
)
|
|
(2,313
|
)
|
|
(19,080
|
)
|
||||
Net cash provided by operating activities
|
228,279
|
|
|
212,522
|
|
|
462,845
|
|
|
386,370
|
|
||||
|
|
|
|
|
|
|
|
||||||||
CASH FLOWS FROM INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
||||||||
Net decrease (increase) in money market investments
|
(389,351
|
)
|
|
1,181,378
|
|
|
3,563,103
|
|
|
680,209
|
|
||||
Proceeds from maturities and paydowns of investment securities
held-to-maturity
|
33,312
|
|
|
26,875
|
|
|
65,763
|
|
|
87,785
|
|
||||
Purchases of investment securities held-to-maturity
|
(35,206
|
)
|
|
(142
|
)
|
|
(235,508
|
)
|
|
(24,203
|
)
|
||||
Proceeds from sales, maturities, and paydowns of investment securities available-for-sale
|
683,330
|
|
|
385,584
|
|
|
3,256,912
|
|
|
1,365,851
|
|
||||
Purchases of investment securities available-for-sale
|
(1,606,852
|
)
|
|
(1,728,939
|
)
|
|
(5,973,805
|
)
|
|
(3,486,509
|
)
|
||||
Loans purchased
|
—
|
|
|
—
|
|
|
(104,066
|
)
|
|
—
|
|
||||
Net change in loans held for investment
|
(73,217
|
)
|
|
(122,868
|
)
|
|
(1,900,132
|
)
|
|
(74,974
|
)
|
||||
Purchases of premises, equipment and software
|
(51,307
|
)
|
|
(38,747
|
)
|
|
(143,181
|
)
|
|
(106,115
|
)
|
||||
Proceeds from sales of other real estate owned
|
6,405
|
|
|
8,019
|
|
|
15,146
|
|
|
16,592
|
|
||||
Other, net
|
(23,654
|
)
|
|
17,610
|
|
|
(23,394
|
)
|
|
46,935
|
|
||||
Net cash used in investing activities
|
(1,456,540
|
)
|
|
(271,230
|
)
|
|
(1,479,162
|
)
|
|
(1,494,429
|
)
|
||||
|
|
|
|
|
|
|
|
||||||||
CASH FLOWS FROM FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
||||||||
Net increase (decrease) in deposits
|
576,129
|
|
|
(16,977
|
)
|
|
496,528
|
|
|
1,072,072
|
|
||||
Net change in short-term funds borrowed
|
845,306
|
|
|
45,267
|
|
|
768,574
|
|
|
28,168
|
|
||||
Cash paid for preferred stock redemption
|
—
|
|
|
—
|
|
|
(126,144
|
)
|
|
—
|
|
||||
Repayments of long-term debt
|
(128,910
|
)
|
|
(111,477
|
)
|
|
(243,993
|
)
|
|
(164,082
|
)
|
||||
Proceeds from the issuance of common stock
|
4,661
|
|
|
13,599
|
|
|
8,147
|
|
|
19,631
|
|
||||
Dividends paid on common and preferred stock
|
(30,891
|
)
|
|
(27,420
|
)
|
|
(81,107
|
)
|
|
(79,699
|
)
|
||||
Repurchases of company common stock through buyback program
|
(45,029
|
)
|
|
—
|
|
|
(45,029
|
)
|
|
—
|
|
||||
Other, net
|
(115
|
)
|
|
172
|
|
|
(5,826
|
)
|
|
(7,279
|
)
|
||||
Net cash provided by (used in) financing activities
|
1,221,151
|
|
|
(96,836
|
)
|
|
771,150
|
|
|
868,811
|
|
||||
Net decrease in cash and due from banks
|
(7,110
|
)
|
|
(155,544
|
)
|
|
(245,167
|
)
|
|
(239,248
|
)
|
||||
Cash and due from banks at beginning of period
|
560,262
|
|
|
758,238
|
|
|
798,319
|
|
|
841,942
|
|
||||
Cash and due from banks at end of period
|
$
|
553,152
|
|
|
$
|
602,694
|
|
|
$
|
553,152
|
|
|
$
|
602,694
|
|
|
|
|
|
|
|
|
|
||||||||
Cash paid for interest
|
$
|
18,243
|
|
|
$
|
22,162
|
|
|
$
|
61,295
|
|
|
$
|
73,219
|
|
Net cash paid for income taxes
|
52,510
|
|
|
8,679
|
|
|
153,938
|
|
|
100,505
|
|
1.
|
BASIS OF PRESENTATION
|
2.
|
RECENT ACCOUNTING PRONOUNCEMENTS
|
3.
|
SUPPLEMENTAL CASH FLOW INFORMATION
|
(In thousands)
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
||||||||||||
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
|
|
|
|
|
|
|
|
||||||||
Loans held for investment transferred to other real estate owned
|
$
|
6,167
|
|
|
$
|
3,446
|
|
|
$
|
13,483
|
|
|
$
|
10,098
|
|
Loans held for sale reclassified to (from) loans held for investment, net
|
(40,017
|
)
|
|
22,299
|
|
|
(36,129
|
)
|
|
33,042
|
|
||||
Adjusted cost of HTM securities reclassified as AFS securities
|
—
|
|
|
—
|
|
|
—
|
|
|
79,276
|
|
4.
|
OFFSETTING ASSETS AND LIABILITIES
|
|
|
September 30, 2016
|
||||||||||||||||||||||
(In thousands)
|
|
|
|
|
|
|
|
Gross amounts not offset in the balance sheet
|
|
|
||||||||||||||
Description
|
|
Gross amounts recognized
|
|
Gross amounts offset in the balance sheet
|
|
Net amounts presented in the balance sheet
|
|
Financial instruments
|
|
Cash collateral received/pledged
|
|
Net amount
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal funds sold and security resell agreements
|
|
$
|
1,675,645
|
|
|
$
|
—
|
|
|
$
|
1,675,645
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,675,645
|
|
Derivatives (included in other assets)
|
|
129,065
|
|
|
—
|
|
|
129,065
|
|
|
(20,419
|
)
|
|
(83
|
)
|
|
108,563
|
|
||||||
|
|
$
|
1,804,710
|
|
|
$
|
—
|
|
|
$
|
1,804,710
|
|
|
$
|
(20,419
|
)
|
|
$
|
(83
|
)
|
|
$
|
1,784,208
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal funds and other short-term borrowings
|
|
$
|
1,115,561
|
|
|
$
|
—
|
|
|
$
|
1,115,561
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,115,561
|
|
Derivatives (included in other liabilities)
|
|
111,929
|
|
|
—
|
|
|
111,929
|
|
|
(20,419
|
)
|
|
(86,478
|
)
|
|
5,032
|
|
||||||
|
|
$
|
1,227,490
|
|
|
$
|
—
|
|
|
$
|
1,227,490
|
|
|
$
|
(20,419
|
)
|
|
$
|
(86,478
|
)
|
|
$
|
1,120,593
|
|
|
|
December 31, 2015
|
||||||||||||||||||||||
(In thousands)
|
|
|
|
|
|
|
|
Gross amounts not offset in the balance sheet
|
|
|
||||||||||||||
Description
|
|
Gross amounts recognized
|
|
Gross amounts offset in the balance sheet
|
|
Net amounts presented in the balance sheet
|
|
Financial instruments
|
|
Cash collateral received/pledged
|
|
Net amount
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal funds sold and security resell agreements
|
|
$
|
619,758
|
|
|
$
|
—
|
|
|
$
|
619,758
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
619,758
|
|
Derivatives (included in other assets)
|
|
77,638
|
|
|
—
|
|
|
77,638
|
|
|
(6,990
|
)
|
|
—
|
|
|
70,648
|
|
||||||
|
|
$
|
697,396
|
|
|
$
|
—
|
|
|
$
|
697,396
|
|
|
$
|
(6,990
|
)
|
|
$
|
—
|
|
|
$
|
690,406
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal funds and other short-term borrowings
|
|
$
|
346,987
|
|
|
$
|
—
|
|
|
$
|
346,987
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
346,987
|
|
Derivatives (included in other liabilities)
|
|
72,568
|
|
|
—
|
|
|
72,568
|
|
|
(6,990
|
)
|
|
(60,923
|
)
|
|
4,655
|
|
||||||
|
|
$
|
419,555
|
|
|
$
|
—
|
|
|
$
|
419,555
|
|
|
$
|
(6,990
|
)
|
|
$
|
(60,923
|
)
|
|
$
|
351,642
|
|
5.
|
INVESTMENTS
|
|
September 30, 2016
|
||||||||||||||
(In thousands)
|
Amortized
cost
|
|
Gross unrealized gains
|
|
Gross unrealized losses
|
|
Estimated
fair value
|
||||||||
Held-to-maturity
|
|
|
|
|
|
|
|
||||||||
Municipal securities
|
$
|
715,279
|
|
|
$
|
11,220
|
|
|
$
|
8,677
|
|
|
$
|
717,822
|
|
Available-for-sale
|
|
|
|
|
|
|
|
||||||||
U.S. Government agencies and corporations:
|
|
|
|
|
|
|
|
||||||||
Agency securities
|
1,834,034
|
|
|
23,104
|
|
|
687
|
|
|
1,856,451
|
|
||||
Agency guaranteed mortgage-backed securities
|
5,438,880
|
|
|
42,437
|
|
|
7,028
|
|
|
5,474,289
|
|
||||
Small Business Administration loan-backed securities
|
2,192,844
|
|
|
9,674
|
|
|
16,105
|
|
|
2,186,413
|
|
||||
Municipal securities
|
768,875
|
|
|
10,575
|
|
|
1,205
|
|
|
778,245
|
|
||||
Other debt securities
|
25,380
|
|
|
135
|
|
|
2,546
|
|
|
22,969
|
|
||||
|
10,260,013
|
|
|
85,925
|
|
|
27,571
|
|
|
10,318,367
|
|
||||
Money market mutual funds and other
|
39,607
|
|
|
109
|
|
|
—
|
|
|
39,716
|
|
||||
|
10,299,620
|
|
|
86,034
|
|
|
27,571
|
|
|
10,358,083
|
|
||||
Total
|
$
|
11,014,899
|
|
|
$
|
97,254
|
|
|
$
|
36,248
|
|
|
$
|
11,075,905
|
|
|
December 31, 2015
|
||||||||||||||
(In thousands)
|
Amortized
cost |
|
Gross unrealized gains
|
|
Gross unrealized losses
|
|
Estimated
fair value |
||||||||
Held-to-maturity
|
|
|
|
|
|
|
|
||||||||
Municipal securities
|
$
|
545,648
|
|
|
$
|
11,218
|
|
|
$
|
4,778
|
|
|
$
|
552,088
|
|
Available-for-sale
|
|
|
|
|
|
|
|
||||||||
U.S. Government agencies and corporations:
|
|
|
|
|
|
|
|
||||||||
Agency securities
|
1,231,740
|
|
|
4,313
|
|
|
2,658
|
|
|
1,233,395
|
|
||||
Agency guaranteed mortgage-backed securities
|
3,964,593
|
|
|
7,919
|
|
|
36,037
|
|
|
3,936,475
|
|
||||
Small Business Administration loan-backed securities
|
1,932,817
|
|
|
12,602
|
|
|
14,445
|
|
|
1,930,974
|
|
||||
Municipal securities
|
417,374
|
|
|
2,177
|
|
|
856
|
|
|
418,695
|
|
||||
Other debt securities
|
25,454
|
|
|
152
|
|
|
2,665
|
|
|
22,941
|
|
||||
|
7,571,978
|
|
|
27,163
|
|
|
56,661
|
|
|
7,542,480
|
|
||||
Money market mutual funds and other
|
100,612
|
|
|
61
|
|
|
37
|
|
|
100,636
|
|
||||
|
7,672,590
|
|
|
27,224
|
|
|
56,698
|
|
|
7,643,116
|
|
||||
Total
|
$
|
8,218,238
|
|
|
$
|
38,442
|
|
|
$
|
61,476
|
|
|
$
|
8,195,204
|
|
|
Held-to-maturity
|
|
Available-for-sale
|
||||||||||||
(In thousands)
|
Amortized
cost
|
|
Estimated
fair value
|
|
Amortized
cost
|
|
Estimated
fair value
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Principal return in one year or less
|
$
|
71,532
|
|
|
$
|
71,842
|
|
|
$
|
1,379,980
|
|
|
$
|
1,388,748
|
|
Principal return after one year through five years
|
266,665
|
|
|
269,636
|
|
|
4,161,930
|
|
|
4,184,444
|
|
||||
Principal return after five years through ten years
|
219,770
|
|
|
223,701
|
|
|
3,010,430
|
|
|
3,034,823
|
|
||||
Principal return after ten years
|
157,312
|
|
|
152,643
|
|
|
1,707,673
|
|
|
1,710,352
|
|
||||
|
$
|
715,279
|
|
|
$
|
717,822
|
|
|
$
|
10,260,013
|
|
|
$
|
10,318,367
|
|
|
September 30, 2016
|
||||||||||||||||||||||
|
Less than 12 months
|
|
12 months or more
|
|
Total
|
||||||||||||||||||
(In thousands)
|
Gross
unrealized
losses
|
|
Estimated
fair
value
|
|
Gross
unrealized
losses
|
|
Estimated
fair
value
|
|
Gross
unrealized
losses
|
|
Estimated
fair
value
|
||||||||||||
Held-to-maturity
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Municipal securities
|
$
|
7,911
|
|
|
$
|
261,162
|
|
|
$
|
766
|
|
|
$
|
11,845
|
|
|
$
|
8,677
|
|
|
$
|
273,007
|
|
Available-for-sale
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Government agencies and corporations:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Agency securities
|
215
|
|
|
230,565
|
|
|
472
|
|
|
122,379
|
|
|
687
|
|
|
352,944
|
|
||||||
Agency guaranteed mortgage-backed securities
|
2,646
|
|
|
695,513
|
|
|
4,382
|
|
|
358,066
|
|
|
7,028
|
|
|
1,053,579
|
|
||||||
Small Business Administration loan-backed securities
|
3,256
|
|
|
510,834
|
|
|
12,849
|
|
|
678,139
|
|
|
16,105
|
|
|
1,188,973
|
|
||||||
Municipal securities
|
907
|
|
|
180,804
|
|
|
298
|
|
|
12,585
|
|
|
1,205
|
|
|
193,389
|
|
||||||
Other
|
—
|
|
|
—
|
|
|
2,546
|
|
|
12,457
|
|
|
2,546
|
|
|
12,457
|
|
||||||
|
7,024
|
|
|
1,617,716
|
|
|
20,547
|
|
|
1,183,626
|
|
|
27,571
|
|
|
2,801,342
|
|
||||||
Mutual funds and other
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
|
7,024
|
|
|
1,617,716
|
|
|
20,547
|
|
|
1,183,626
|
|
|
27,571
|
|
|
2,801,342
|
|
||||||
Total
|
$
|
14,935
|
|
|
$
|
1,878,878
|
|
|
$
|
21,313
|
|
|
$
|
1,195,471
|
|
|
$
|
36,248
|
|
|
$
|
3,074,349
|
|
|
December 31, 2015
|
||||||||||||||||||||||
|
Less than 12 months
|
|
12 months or more
|
|
Total
|
||||||||||||||||||
(In thousands)
|
Gross
unrealized
losses
|
|
Estimated
fair
value
|
|
Gross
unrealized
losses
|
|
Estimated
fair
value
|
|
Gross
unrealized
losses
|
|
Estimated
fair
value
|
||||||||||||
Held-to-maturity
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Municipal securities
|
$
|
4,521
|
|
|
$
|
122,197
|
|
|
$
|
257
|
|
|
$
|
13,812
|
|
|
$
|
4,778
|
|
|
$
|
136,009
|
|
Available-for-sale
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Government agencies and corporations:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Agency securities
|
2,176
|
|
|
559,196
|
|
|
482
|
|
|
131,615
|
|
|
2,658
|
|
|
690,811
|
|
||||||
Agency guaranteed mortgage-backed securities
|
34,583
|
|
|
3,639,824
|
|
|
1,454
|
|
|
65,071
|
|
|
36,037
|
|
|
3,704,895
|
|
||||||
Small Business Administration loan-backed securities
|
5,348
|
|
|
567,365
|
|
|
9,097
|
|
|
535,376
|
|
|
14,445
|
|
|
1,102,741
|
|
||||||
Municipal securities
|
735
|
|
|
102,901
|
|
|
121
|
|
|
5,733
|
|
|
856
|
|
|
108,634
|
|
||||||
Other
|
—
|
|
|
—
|
|
|
2,665
|
|
|
12,337
|
|
|
2,665
|
|
|
12,337
|
|
||||||
|
42,842
|
|
|
4,869,286
|
|
|
13,819
|
|
|
750,132
|
|
|
56,661
|
|
|
5,619,418
|
|
||||||
Mutual funds and other
|
37
|
|
|
35,488
|
|
|
—
|
|
|
—
|
|
|
37
|
|
|
35,488
|
|
||||||
|
42,879
|
|
|
4,904,774
|
|
|
13,819
|
|
|
750,132
|
|
|
56,698
|
|
|
5,654,906
|
|
||||||
Total
|
$
|
47,400
|
|
|
$
|
5,026,971
|
|
|
$
|
14,076
|
|
|
$
|
763,944
|
|
|
$
|
61,476
|
|
|
$
|
5,790,915
|
|
(In thousands)
|
Three Months Ended
September 30, 2015 |
|
Nine Months Ended
September 30, 2015 |
||||||||||||||||||||
HTM
|
|
AFS
|
|
Total
|
|
HTM
|
|
AFS
|
|
Total
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Balance of credit-related OTTI at beginning
of period
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(9,079
|
)
|
|
$
|
(95,472
|
)
|
|
$
|
(104,551
|
)
|
Reductions for securities sold or paid off during the period
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
104,551
|
|
|
104,551
|
|
||||||
Reclassification of securities from HTM to AFS
|
—
|
|
|
—
|
|
|
—
|
|
|
9,079
|
|
|
(9,079
|
)
|
|
—
|
|
||||||
Balance of credit-related OTTI at end of period
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
|||||||||||||||||||||||||||||
|
September 30, 2016
|
|
September 30, 2015
|
|
September 30, 2016
|
|
September 30, 2015
|
|||||||||||||||||||||||||
(In thousands)
|
Gross gains
|
|
Gross
losses
|
|
Gross gains
|
|
Gross losses
|
|
Gross gains
|
|
Gross
losses
|
|
Gross gains
|
|
Gross
losses
|
|||||||||||||||||
Investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Held-to-maturity
|
$
|
12
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
12
|
|
|
$
|
—
|
|
|
$
|
1
|
|
|
$
|
—
|
|
|
Available-for-sale
|
29
|
|
|
2
|
|
|
6
|
|
|
59
|
|
|
89
|
|
|
9
|
|
|
8,366
|
|
|
147,572
|
|
|||||||||
Other noninterest-bearing investments
|
8,803
|
|
|
362
|
|
|
14,267
|
|
|
10,637
|
|
|
14,701
|
|
|
4,101
|
|
|
23,870
|
|
|
11,571
|
|
|||||||||
|
8,844
|
|
|
364
|
|
|
14,273
|
|
|
10,696
|
|
|
14,802
|
|
|
4,110
|
|
|
32,237
|
|
|
159,143
|
|
|||||||||
Net gains (losses)
|
|
|
$
|
8,480
|
|
|
|
|
$
|
3,577
|
|
|
|
|
$
|
10,692
|
|
|
|
|
$
|
(126,906
|
)
|
|||||||||
Statement of income information:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Equity securities gains, net
|
|
|
$
|
8,441
|
|
|
|
|
$
|
3,630
|
|
|
|
|
$
|
10,600
|
|
|
|
|
$
|
11,822
|
|
|||||||||
Fixed income securities gains (losses), net
|
|
|
39
|
|
|
|
|
(53
|
)
|
|
|
|
92
|
|
|
|
|
(138,728
|
)
|
|||||||||||||
Net gains (losses)
|
|
|
$
|
8,480
|
|
|
|
|
$
|
3,577
|
|
|
|
|
$
|
10,692
|
|
|
|
|
$
|
(126,906
|
)
|
(In thousands)
|
Three Months Ended
September 30, 2016 |
|
Nine Months Ended
September 30, 2016 |
||||||||||||||||||||
|
Taxable
|
|
Nontaxable
|
|
Total
|
|
Taxable
|
|
Nontaxable
|
|
Total
|
||||||||||||
Investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Held-to-maturity
|
$
|
2,572
|
|
|
$
|
3,318
|
|
|
$
|
5,890
|
|
|
$
|
7,748
|
|
|
$
|
9,202
|
|
|
$
|
16,950
|
|
Available-for-sale
|
39,784
|
|
|
2,987
|
|
|
42,771
|
|
|
117,968
|
|
|
7,523
|
|
|
125,491
|
|
||||||
Trading
|
676
|
|
|
—
|
|
|
676
|
|
|
1,905
|
|
|
—
|
|
|
1,905
|
|
||||||
|
$
|
43,032
|
|
|
$
|
6,305
|
|
|
$
|
49,337
|
|
|
$
|
127,621
|
|
|
$
|
16,725
|
|
|
$
|
144,346
|
|
(In thousands)
|
Three Months Ended
September 30, 2015 |
|
Nine Months Ended
September 30, 2015 |
||||||||||||||||||||
|
Taxable
|
|
Nontaxable
|
|
Total
|
|
Taxable
|
|
Nontaxable
|
|
Total
|
||||||||||||
Investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Held-to-maturity
|
$
|
3,031
|
|
|
$
|
2,629
|
|
|
$
|
5,660
|
|
|
$
|
9,716
|
|
|
$
|
8,265
|
|
|
$
|
17,981
|
|
Available-for-sale
|
23,427
|
|
|
699
|
|
|
24,126
|
|
|
64,832
|
|
|
2,047
|
|
|
66,879
|
|
||||||
Trading
|
445
|
|
|
—
|
|
|
445
|
|
|
1,653
|
|
|
—
|
|
|
1,653
|
|
||||||
|
$
|
26,903
|
|
|
$
|
3,328
|
|
|
$
|
30,231
|
|
|
$
|
76,201
|
|
|
$
|
10,312
|
|
|
$
|
86,513
|
|
6.
|
LOANS AND ALLOWANCE FOR CREDIT LOSSES
|
(In thousands)
|
September 30,
2016 |
|
December 31,
2015 |
||||
|
|
|
|
||||
Loans held for sale
|
$
|
160,287
|
|
|
$
|
149,880
|
|
|
|
|
|
||||
Commercial:
|
|
|
|
||||
Commercial and industrial
|
$
|
13,542,752
|
|
|
$
|
13,211,481
|
|
Leasing
|
438,933
|
|
|
441,666
|
|
||
Owner occupied
|
6,889,674
|
|
|
7,150,028
|
|
||
Municipal
|
752,960
|
|
|
675,839
|
|
||
Total commercial
|
21,624,319
|
|
|
21,479,014
|
|
||
Commercial real estate:
|
|
|
|
||||
Construction and land development
|
2,147,212
|
|
|
1,841,502
|
|
||
Term
|
9,302,712
|
|
|
8,514,401
|
|
||
Total commercial real estate
|
11,449,924
|
|
|
10,355,903
|
|
||
Consumer:
|
|
|
|
||||
Home equity credit line
|
2,581,068
|
|
|
2,416,357
|
|
||
1-4 family residential
|
5,784,583
|
|
|
5,382,099
|
|
||
Construction and other consumer real estate
|
453,235
|
|
|
385,240
|
|
||
Bankcard and other revolving plans
|
457,910
|
|
|
443,780
|
|
||
Other
|
188,681
|
|
|
187,149
|
|
||
Total consumer
|
9,465,477
|
|
|
8,814,625
|
|
||
Total loans
|
$
|
42,539,720
|
|
|
$
|
40,649,542
|
|
•
|
Changes in lending policies and procedures, including changes in underwriting standards and collection, charge-off, and recovery practices
|
•
|
Changes in international, national, regional, and local economic and business conditions
|
•
|
Changes in the nature and volume of the portfolio and in the terms of loans
|
•
|
Changes in the experience, ability, and depth of lending management and other relevant staff
|
•
|
Changes in the volume and severity of past due loans, the volume of nonaccrual loans, and the volume and severity of adversely classified or graded loans
|
•
|
Changes in the quality of the loan review system
|
•
|
Changes in the value of underlying collateral for collateral-dependent loans
|
•
|
The existence and effect of any concentration of credit, and changes in the level of such concentrations
|
•
|
The effect of other external factors such as competition and legal and regulatory requirements
|
|
Nine Months Ended September 30, 2016
|
||||||||||||||
(In thousands)
|
Commercial
|
|
Commercial
real estate
|
|
Consumer
|
|
Total
|
||||||||
Allowance for loan losses
|
|
|
|
|
|
|
|
||||||||
Balance at beginning of period
|
$
|
454,277
|
|
|
$
|
113,992
|
|
|
$
|
37,779
|
|
|
$
|
606,048
|
|
Additions:
|
|
|
|
|
|
|
|
||||||||
Provision for loan losses
|
93,359
|
|
|
4,876
|
|
|
(2,773
|
)
|
|
95,462
|
|
||||
Deductions:
|
|
|
|
|
|
|
|
||||||||
Gross loan and lease charge-offs
|
(137,897
|
)
|
|
(9,889
|
)
|
|
(11,716
|
)
|
|
(159,502
|
)
|
||||
Recoveries
|
36,315
|
|
|
12,019
|
|
|
6,843
|
|
|
55,177
|
|
||||
Net loan and lease (charge-offs) recoveries
|
(101,582
|
)
|
|
2,130
|
|
|
(4,873
|
)
|
|
(104,325
|
)
|
||||
Balance at end of period
|
$
|
446,054
|
|
|
$
|
120,998
|
|
|
$
|
30,133
|
|
|
$
|
597,185
|
|
|
|
|
|
|
|
|
|
||||||||
Reserve for unfunded lending commitments
|
|
|
|
|
|
|
|
||||||||
Balance at beginning of period
|
$
|
57,696
|
|
|
$
|
16,526
|
|
|
$
|
616
|
|
|
$
|
74,838
|
|
Provision credited to earnings
|
(6,076
|
)
|
|
(6,531
|
)
|
|
(616
|
)
|
|
(13,223
|
)
|
||||
Balance at end of period
|
$
|
51,620
|
|
|
$
|
9,995
|
|
|
$
|
—
|
|
|
$
|
61,615
|
|
|
|
|
|
|
|
|
|
||||||||
Total allowance for credit losses at end of period
|
|
|
|
|
|
|
|
||||||||
Allowance for loan losses
|
$
|
446,054
|
|
|
$
|
120,998
|
|
|
$
|
30,133
|
|
|
$
|
597,185
|
|
Reserve for unfunded lending commitments
|
51,620
|
|
|
9,995
|
|
|
—
|
|
|
61,615
|
|
||||
Total allowance for credit losses
|
$
|
497,674
|
|
|
$
|
130,993
|
|
|
$
|
30,133
|
|
|
$
|
658,800
|
|
|
Three Months Ended September 30, 2015
|
||||||||||||||
(In thousands)
|
Commercial
|
|
Commercial
real estate
|
|
Consumer
|
|
Total
|
||||||||
Allowance for loan losses
|
|
|
|
|
|
|
|
||||||||
Balance at beginning of period
|
$
|
437,770
|
|
|
$
|
125,796
|
|
|
$
|
45,809
|
|
|
$
|
609,375
|
|
Additions:
|
|
|
|
|
|
|
|
||||||||
Provision for loan losses
|
22,417
|
|
|
(6,621
|
)
|
|
2,466
|
|
|
18,262
|
|
||||
Deductions:
|
|
|
|
|
|
|
|
||||||||
Gross loan and lease charge-offs
|
(36,961
|
)
|
|
(1,068
|
)
|
|
(4,330
|
)
|
|
(42,359
|
)
|
||||
Recoveries
|
4,471
|
|
|
4,162
|
|
|
2,529
|
|
|
11,162
|
|
||||
Net loan and lease (charge-offs) recoveries
|
(32,490
|
)
|
|
3,094
|
|
|
(1,801
|
)
|
|
(31,197
|
)
|
||||
Balance at end of period
|
$
|
427,697
|
|
|
$
|
122,269
|
|
|
$
|
46,474
|
|
|
$
|
596,440
|
|
|
|
|
|
|
|
|
|
||||||||
Reserve for unfunded lending commitments
|
|
|
|
|
|
|
|
||||||||
Balance at beginning of period
|
$
|
60,774
|
|
|
$
|
18,639
|
|
|
$
|
548
|
|
|
$
|
79,961
|
|
Provision charged (credited) to earnings
|
2,808
|
|
|
(1,467
|
)
|
|
87
|
|
|
1,428
|
|
||||
Balance at end of period
|
$
|
63,582
|
|
|
$
|
17,172
|
|
|
$
|
635
|
|
|
$
|
81,389
|
|
|
|
|
|
|
|
|
|
||||||||
Total allowance for credit losses at end of period
|
|
|
|
|
|
|
|
||||||||
Allowance for loan losses
|
$
|
427,697
|
|
|
$
|
122,269
|
|
|
$
|
46,474
|
|
|
$
|
596,440
|
|
Reserve for unfunded lending commitments
|
63,582
|
|
|
17,172
|
|
|
635
|
|
|
81,389
|
|
||||
Total allowance for credit losses
|
$
|
491,279
|
|
|
$
|
139,441
|
|
|
$
|
47,109
|
|
|
$
|
677,829
|
|
|
Nine Months Ended September 30, 2015
|
||||||||||||||
(In thousands)
|
Commercial
|
|
Commercial
real estate
|
|
Consumer
|
|
Total
|
||||||||
Allowance for loan losses
|
|
|
|
|
|
|
|
||||||||
Balance at beginning of period
|
$
|
412,514
|
|
|
$
|
145,009
|
|
|
$
|
47,140
|
|
|
$
|
604,663
|
|
Additions:
|
|
|
|
|
|
|
|
||||||||
Provision for loan losses
|
53,292
|
|
|
(38,491
|
)
|
|
2,533
|
|
|
17,334
|
|
||||
Deductions:
|
|
|
|
|
|
|
|
||||||||
Gross loan and lease charge-offs
|
(76,734
|
)
|
|
(5,637
|
)
|
|
(11,224
|
)
|
|
(93,595
|
)
|
||||
Recoveries
|
38,682
|
|
|
21,331
|
|
|
8,025
|
|
|
68,038
|
|
||||
Net loan and lease (charge-offs) recoveries
|
(38,052
|
)
|
|
15,694
|
|
|
(3,199
|
)
|
|
(25,557
|
)
|
||||
Balance at end of period
|
$
|
427,697
|
|
|
$
|
122,269
|
|
|
$
|
46,474
|
|
|
$
|
596,440
|
|
|
|
|
|
|
|
|
|
||||||||
Reserve for unfunded lending commitments
|
|
|
|
|
|
|
|
||||||||
Balance at beginning of period
|
$
|
58,931
|
|
|
$
|
21,517
|
|
|
$
|
628
|
|
|
$
|
81,076
|
|
Provision charged (credited) to earnings
|
4,651
|
|
|
(4,345
|
)
|
|
7
|
|
|
313
|
|
||||
Balance at end of period
|
$
|
63,582
|
|
|
$
|
17,172
|
|
|
$
|
635
|
|
|
$
|
81,389
|
|
|
|
|
|
|
|
|
|
||||||||
Total allowance for credit losses at end of period
|
|
|
|
|
|
|
|
||||||||
Allowance for loan losses
|
$
|
427,697
|
|
|
$
|
122,269
|
|
|
$
|
46,474
|
|
|
$
|
596,440
|
|
Reserve for unfunded lending commitments
|
63,582
|
|
|
17,172
|
|
|
635
|
|
|
81,389
|
|
||||
Total allowance for credit losses
|
$
|
491,279
|
|
|
$
|
139,441
|
|
|
$
|
47,109
|
|
|
$
|
677,829
|
|
|
December 31, 2015
|
||||||||||||||
(In thousands)
|
Commercial
|
|
Commercial
real estate
|
|
Consumer
|
|
Total
|
||||||||
Allowance for loan losses:
|
|
|
|
|
|
|
|
||||||||
Individually evaluated for impairment
|
$
|
36,909
|
|
|
$
|
3,154
|
|
|
$
|
9,462
|
|
|
$
|
49,525
|
|
Collectively evaluated for impairment
|
417,295
|
|
|
110,417
|
|
|
27,866
|
|
|
555,578
|
|
||||
Purchased loans with evidence of credit deterioration
|
73
|
|
|
421
|
|
|
451
|
|
|
945
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Outstanding loan balances:
|
|
|
|
|
|
|
|
||||||||
Individually evaluated for impairment
|
$
|
289,629
|
|
|
$
|
107,341
|
|
|
$
|
92,605
|
|
|
$
|
489,575
|
|
Collectively evaluated for impairment
|
21,129,125
|
|
|
10,193,840
|
|
|
8,712,079
|
|
|
40,035,044
|
|
||||
Purchased loans with evidence of credit deterioration
|
60,260
|
|
|
54,722
|
|
|
9,941
|
|
|
124,923
|
|
||||
Total
|
$
|
21,479,014
|
|
|
$
|
10,355,903
|
|
|
$
|
8,814,625
|
|
|
$
|
40,649,542
|
|
Past due loans (accruing and nonaccruing) are summarized as follows:
|
|||||||||||||||||||||||||||
|
September 30, 2016
|
||||||||||||||||||||||||||
(In thousands)
|
Current
|
|
30-89 days
past due
|
|
90+ days
past due
|
|
Total
past due
|
|
Total
loans
|
|
Accruing
loans
90+ days
past due
|
|
Nonaccrual
loans
that are
current
1
|
||||||||||||||
Loans held for sale
|
$
|
160,287
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
160,287
|
|
|
$
|
—
|
|
|
$
|
29,448
|
|
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial and industrial
|
$
|
13,404,163
|
|
|
$
|
87,689
|
|
|
$
|
50,900
|
|
|
$
|
138,589
|
|
|
$
|
13,542,752
|
|
|
$
|
5,452
|
|
|
$
|
320,959
|
|
Leasing
|
438,933
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
438,933
|
|
|
—
|
|
|
14,219
|
|
|||||||
Owner occupied
|
6,839,251
|
|
|
30,313
|
|
|
20,110
|
|
|
50,423
|
|
|
6,889,674
|
|
|
5,472
|
|
|
42,803
|
|
|||||||
Municipal
|
752,960
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
752,960
|
|
|
—
|
|
|
868
|
|
|||||||
Total commercial
|
21,435,307
|
|
|
118,002
|
|
|
71,010
|
|
|
189,012
|
|
|
21,624,319
|
|
|
10,924
|
|
|
378,849
|
|
|||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Construction and land development
|
2,113,363
|
|
|
32,079
|
|
|
1,770
|
|
|
33,849
|
|
|
2,147,212
|
|
|
—
|
|
|
2,267
|
|
|||||||
Term
|
9,254,133
|
|
|
25,362
|
|
|
23,217
|
|
|
48,579
|
|
|
9,302,712
|
|
|
15,231
|
|
|
17,226
|
|
|||||||
Total commercial real estate
|
11,367,496
|
|
|
57,441
|
|
|
24,987
|
|
|
82,428
|
|
|
11,449,924
|
|
|
15,231
|
|
|
19,493
|
|
|||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Home equity credit line
|
2,569,726
|
|
|
4,380
|
|
|
6,962
|
|
|
11,342
|
|
|
2,581,068
|
|
|
1,500
|
|
|
4,219
|
|
|||||||
1-4 family residential
|
5,751,412
|
|
|
13,393
|
|
|
19,778
|
|
|
33,171
|
|
|
5,784,583
|
|
|
63
|
|
|
11,248
|
|
|||||||
Construction and other consumer real estate
|
446,778
|
|
|
5,896
|
|
|
561
|
|
|
6,457
|
|
|
453,235
|
|
|
107
|
|
|
288
|
|
|||||||
Bankcard and other revolving plans
|
453,961
|
|
|
2,794
|
|
|
1,155
|
|
|
3,949
|
|
|
457,910
|
|
|
1,010
|
|
|
1,174
|
|
|||||||
Other
|
188,147
|
|
|
533
|
|
|
1
|
|
|
534
|
|
|
188,681
|
|
|
—
|
|
|
82
|
|
|||||||
Total consumer loans
|
9,410,024
|
|
|
26,996
|
|
|
28,457
|
|
|
55,453
|
|
|
9,465,477
|
|
|
2,680
|
|
|
17,011
|
|
|||||||
Total
|
$
|
42,212,827
|
|
|
$
|
202,439
|
|
|
$
|
124,454
|
|
|
$
|
326,893
|
|
|
$
|
42,539,720
|
|
|
$
|
28,835
|
|
|
$
|
415,353
|
|
|
December 31, 2015
|
||||||||||||||||||||||||||
(In thousands)
|
Current
|
|
30-89 days
past due
|
|
90+ days
past due
|
|
Total
past due
|
|
Total
loans
|
|
Accruing
loans
90+ days
past due
|
|
Nonaccrual
loans
that are
current
1
|
||||||||||||||
Loans held for sale
|
$
|
149,880
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
149,880
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial and industrial
|
$
|
13,114,045
|
|
|
$
|
60,523
|
|
|
$
|
36,913
|
|
|
$
|
97,436
|
|
|
$
|
13,211,481
|
|
|
$
|
3,065
|
|
|
$
|
117,942
|
|
Leasing
|
440,963
|
|
|
183
|
|
|
520
|
|
|
703
|
|
|
441,666
|
|
|
—
|
|
|
3,309
|
|
|||||||
Owner occupied
|
7,085,086
|
|
|
37,776
|
|
|
27,166
|
|
|
64,942
|
|
|
7,150,028
|
|
|
3,626
|
|
|
43,984
|
|
|||||||
Municipal
|
668,207
|
|
|
7,586
|
|
|
46
|
|
|
7,632
|
|
|
675,839
|
|
|
46
|
|
|
951
|
|
|||||||
Total commercial
|
21,308,301
|
|
|
106,068
|
|
|
64,645
|
|
|
170,713
|
|
|
21,479,014
|
|
|
6,737
|
|
|
166,186
|
|
|||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Construction and land development
|
1,835,360
|
|
|
842
|
|
|
5,300
|
|
|
6,142
|
|
|
1,841,502
|
|
|
—
|
|
|
1,745
|
|
|||||||
Term
|
8,469,390
|
|
|
10,424
|
|
|
34,587
|
|
|
45,011
|
|
|
8,514,401
|
|
|
21,697
|
|
|
24,867
|
|
|||||||
Total commercial real estate
|
10,304,750
|
|
|
11,266
|
|
|
39,887
|
|
|
51,153
|
|
|
10,355,903
|
|
|
21,697
|
|
|
26,612
|
|
|||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Home equity credit line
|
2,407,972
|
|
|
4,717
|
|
|
3,668
|
|
|
8,385
|
|
|
2,416,357
|
|
|
—
|
|
|
3,053
|
|
|||||||
1-4 family residential
|
5,340,549
|
|
|
14,828
|
|
|
26,722
|
|
|
41,550
|
|
|
5,382,099
|
|
|
1,036
|
|
|
20,939
|
|
|||||||
Construction and other consumer real estate
|
374,987
|
|
|
8,593
|
|
|
1,660
|
|
|
10,253
|
|
|
385,240
|
|
|
1,337
|
|
|
408
|
|
|||||||
Bankcard and other revolving plans
|
440,358
|
|
|
1,861
|
|
|
1,561
|
|
|
3,422
|
|
|
443,780
|
|
|
1,217
|
|
|
146
|
|
|||||||
Other
|
186,436
|
|
|
647
|
|
|
66
|
|
|
713
|
|
|
187,149
|
|
|
—
|
|
|
83
|
|
|||||||
Total consumer loans
|
8,750,302
|
|
|
30,646
|
|
|
33,677
|
|
|
64,323
|
|
|
8,814,625
|
|
|
3,590
|
|
|
24,629
|
|
|||||||
Total
|
$
|
40,363,353
|
|
|
$
|
147,980
|
|
|
$
|
138,209
|
|
|
$
|
286,189
|
|
|
$
|
40,649,542
|
|
|
$
|
32,024
|
|
|
$
|
217,427
|
|
1
|
Represents nonaccrual loans that are not past due more than 30 days; however, full payment of principal and interest is still not expected.
|
|
September 30, 2016
|
||||||||||||||||||||||
(In thousands)
|
Pass
|
|
Special
Mention
|
|
Sub-
standard
|
|
Doubtful
|
|
Total
loans
|
|
Total
allowance
|
||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
$
|
12,131,677
|
|
|
$
|
355,800
|
|
|
$
|
1,046,068
|
|
|
$
|
9,207
|
|
|
$
|
13,542,752
|
|
|
|
||
Leasing
|
403,597
|
|
|
6,155
|
|
|
29,181
|
|
|
—
|
|
|
438,933
|
|
|
|
|||||||
Owner occupied
|
6,450,754
|
|
|
145,338
|
|
|
293,582
|
|
|
—
|
|
|
6,889,674
|
|
|
|
|||||||
Municipal
|
738,808
|
|
|
—
|
|
|
14,152
|
|
|
—
|
|
|
752,960
|
|
|
|
|||||||
Total commercial
|
19,724,836
|
|
|
507,293
|
|
|
1,382,983
|
|
|
9,207
|
|
|
21,624,319
|
|
|
$
|
446,054
|
|
|||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction and land development
|
2,059,627
|
|
|
61,936
|
|
|
25,649
|
|
|
—
|
|
|
2,147,212
|
|
|
|
|||||||
Term
|
9,065,467
|
|
|
96,384
|
|
|
140,861
|
|
|
—
|
|
|
9,302,712
|
|
|
|
|||||||
Total commercial real estate
|
11,125,094
|
|
|
158,320
|
|
|
166,510
|
|
|
—
|
|
|
11,449,924
|
|
|
120,998
|
|
||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity credit line
|
2,566,873
|
|
|
—
|
|
|
14,195
|
|
|
—
|
|
|
2,581,068
|
|
|
|
|||||||
1-4 family residential
|
5,746,829
|
|
|
—
|
|
|
37,754
|
|
|
—
|
|
|
5,784,583
|
|
|
|
|||||||
Construction and other consumer real estate
|
451,809
|
|
|
—
|
|
|
1,426
|
|
|
—
|
|
|
453,235
|
|
|
|
|||||||
Bankcard and other revolving plans
|
454,850
|
|
|
—
|
|
|
3,060
|
|
|
—
|
|
|
457,910
|
|
|
|
|||||||
Other
|
188,468
|
|
|
—
|
|
|
213
|
|
|
—
|
|
|
188,681
|
|
|
|
|||||||
Total consumer loans
|
9,408,829
|
|
|
—
|
|
|
56,648
|
|
|
—
|
|
|
9,465,477
|
|
|
30,133
|
|
||||||
Total
|
$
|
40,258,759
|
|
|
$
|
665,613
|
|
|
$
|
1,606,141
|
|
|
$
|
9,207
|
|
|
$
|
42,539,720
|
|
|
$
|
597,185
|
|
|
December 31, 2015
|
||||||||||||||||||||||
(In thousands)
|
Pass
|
|
Special
Mention
|
|
Sub-
standard
|
|
Doubtful
|
|
Total
loans
|
|
Total
allowance
|
||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
$
|
12,007,076
|
|
|
$
|
399,847
|
|
|
$
|
804,403
|
|
|
$
|
155
|
|
|
$
|
13,211,481
|
|
|
|
||
Leasing
|
411,131
|
|
|
5,166
|
|
|
25,369
|
|
|
—
|
|
|
441,666
|
|
|
|
|||||||
Owner occupied
|
6,720,052
|
|
|
139,784
|
|
|
290,192
|
|
|
—
|
|
|
7,150,028
|
|
|
|
|||||||
Municipal
|
663,903
|
|
|
—
|
|
|
11,936
|
|
|
—
|
|
|
675,839
|
|
|
|
|||||||
Total commercial
|
19,802,162
|
|
|
544,797
|
|
|
1,131,900
|
|
|
155
|
|
|
21,479,014
|
|
|
$
|
454,277
|
|
|||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction and land development
|
1,786,610
|
|
|
42,348
|
|
|
12,544
|
|
|
—
|
|
|
1,841,502
|
|
|
|
|||||||
Term
|
8,319,348
|
|
|
47,245
|
|
|
139,036
|
|
|
8,772
|
|
|
8,514,401
|
|
|
|
|||||||
Total commercial real estate
|
10,105,958
|
|
|
89,593
|
|
|
151,580
|
|
|
8,772
|
|
|
10,355,903
|
|
|
113,992
|
|
||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity credit line
|
2,404,635
|
|
|
—
|
|
|
11,722
|
|
|
—
|
|
|
2,416,357
|
|
|
|
|||||||
1-4 family residential
|
5,325,519
|
|
|
—
|
|
|
56,580
|
|
|
—
|
|
|
5,382,099
|
|
|
|
|||||||
Construction and other consumer real estate
|
381,738
|
|
|
—
|
|
|
3,502
|
|
|
—
|
|
|
385,240
|
|
|
|
|||||||
Bankcard and other revolving plans
|
440,282
|
|
|
—
|
|
|
3,498
|
|
|
—
|
|
|
443,780
|
|
|
|
|||||||
Other
|
186,836
|
|
|
—
|
|
|
313
|
|
|
—
|
|
|
187,149
|
|
|
|
|||||||
Total consumer loans
|
8,739,010
|
|
|
—
|
|
|
75,615
|
|
|
—
|
|
|
8,814,625
|
|
|
37,779
|
|
||||||
Total
|
$
|
38,647,130
|
|
|
$
|
634,390
|
|
|
$
|
1,359,095
|
|
|
$
|
8,927
|
|
|
$
|
40,649,542
|
|
|
$
|
606,048
|
|
|
September 30, 2016
|
||||||||||||||||||
(In thousands)
|
Unpaid
principal
balance
|
|
Recorded investment
|
|
Total
recorded
investment
|
|
Related
allowance
|
||||||||||||
with no
allowance
|
|
with
allowance
|
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans held for sale
|
$
|
18,935
|
|
|
$
|
15,996
|
|
|
$
|
—
|
|
|
$
|
15,996
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
$
|
476,275
|
|
|
$
|
86,904
|
|
|
$
|
338,754
|
|
|
$
|
425,658
|
|
|
$
|
64,381
|
|
Owner occupied
|
108,694
|
|
|
61,794
|
|
|
38,163
|
|
|
99,957
|
|
|
3,612
|
|
|||||
Municipal
|
1,347
|
|
|
869
|
|
|
—
|
|
|
869
|
|
|
—
|
|
|||||
Total commercial
|
586,316
|
|
|
149,567
|
|
|
376,917
|
|
|
526,484
|
|
|
67,993
|
|
|||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction and land development
|
18,432
|
|
|
3,538
|
|
|
7,323
|
|
|
10,861
|
|
|
256
|
|
|||||
Term
|
86,540
|
|
|
52,295
|
|
|
22,290
|
|
|
74,585
|
|
|
1,322
|
|
|||||
Total commercial real estate
|
104,972
|
|
|
55,833
|
|
|
29,613
|
|
|
85,446
|
|
|
1,578
|
|
|||||
Consumer:
|
|
|
|
|
|
|
|
|
|
||||||||||
Home equity credit line
|
25,200
|
|
|
15,891
|
|
|
6,762
|
|
|
22,653
|
|
|
537
|
|
|||||
1-4 family residential
|
59,306
|
|
|
27,047
|
|
|
29,250
|
|
|
56,297
|
|
|
6,488
|
|
|||||
Construction and other consumer real estate
|
3,316
|
|
|
917
|
|
|
1,825
|
|
|
2,742
|
|
|
105
|
|
|||||
Other
|
1,992
|
|
|
1,484
|
|
|
32
|
|
|
1,516
|
|
|
3
|
|
|||||
Total consumer loans
|
89,814
|
|
|
45,339
|
|
|
37,869
|
|
|
83,208
|
|
|
7,133
|
|
|||||
Total
|
$
|
781,102
|
|
|
$
|
250,739
|
|
|
$
|
444,399
|
|
|
$
|
695,138
|
|
|
$
|
76,704
|
|
|
December 31, 2015
|
||||||||||||||||||
(In thousands)
|
Unpaid
principal
balance
|
|
Recorded investment
|
|
Total
recorded
investment
|
|
Related
allowance
|
||||||||||||
with no
allowance
|
|
with
allowance
|
|
||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans held for sale
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
$
|
272,161
|
|
|
$
|
44,190
|
|
|
$
|
163,729
|
|
|
$
|
207,919
|
|
|
$
|
30,538
|
|
Owner occupied
|
141,526
|
|
|
83,024
|
|
|
43,243
|
|
|
126,267
|
|
|
5,486
|
|
|||||
Municipal
|
1,430
|
|
|
951
|
|
|
—
|
|
|
951
|
|
|
—
|
|
|||||
Total commercial
|
415,117
|
|
|
128,165
|
|
|
206,972
|
|
|
335,137
|
|
|
36,024
|
|
|||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction and land development
|
22,791
|
|
|
5,076
|
|
|
9,558
|
|
|
14,634
|
|
|
618
|
|
|||||
Term
|
142,239
|
|
|
82,864
|
|
|
34,361
|
|
|
117,225
|
|
|
2,604
|
|
|||||
Total commercial real estate
|
165,030
|
|
|
87,940
|
|
|
43,919
|
|
|
131,859
|
|
|
3,222
|
|
|||||
Consumer:
|
|
|
|
|
|
|
|
|
|
||||||||||
Home equity credit line
|
27,064
|
|
|
18,980
|
|
|
5,319
|
|
|
24,299
|
|
|
243
|
|
|||||
1-4 family residential
|
74,009
|
|
|
29,540
|
|
|
41,155
|
|
|
70,695
|
|
|
8,736
|
|
|||||
Construction and other consumer real estate
|
2,741
|
|
|
989
|
|
|
1,014
|
|
|
2,003
|
|
|
173
|
|
|||||
Other
|
3,187
|
|
|
36
|
|
|
2,570
|
|
|
2,606
|
|
|
299
|
|
|||||
Total consumer loans
|
107,001
|
|
|
49,545
|
|
|
50,058
|
|
|
99,603
|
|
|
9,451
|
|
|||||
Total
|
$
|
687,148
|
|
|
$
|
265,650
|
|
|
$
|
300,949
|
|
|
$
|
566,599
|
|
|
$
|
48,697
|
|
|
Three Months Ended
September 30, 2016 |
|
Nine Months Ended
September 30, 2016 |
||||||||||||
(In thousands)
|
Average
recorded
investment
|
|
Interest
income
recognized
|
|
Average
recorded
investment
|
|
Interest
income
recognized
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Loans held for sale
|
$
|
18,561
|
|
|
$
|
—
|
|
|
$
|
20,583
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial:
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
$
|
448,590
|
|
|
$
|
1,464
|
|
|
$
|
318,434
|
|
|
$
|
3,977
|
|
Owner occupied
|
100,386
|
|
|
2,060
|
|
|
103,439
|
|
|
7,537
|
|
||||
Municipal
|
877
|
|
|
—
|
|
|
903
|
|
|
—
|
|
||||
Total commercial
|
549,853
|
|
|
3,524
|
|
|
422,776
|
|
|
11,514
|
|
||||
Commercial real estate:
|
|
|
|
|
|
|
|
||||||||
Construction and land development
|
11,281
|
|
|
863
|
|
|
12,041
|
|
|
2,065
|
|
||||
Term
|
73,860
|
|
|
2,689
|
|
|
79,449
|
|
|
9,378
|
|
||||
Total commercial real estate
|
85,141
|
|
|
3,552
|
|
|
91,490
|
|
|
11,443
|
|
||||
Consumer:
|
|
|
|
|
|
|
|
||||||||
Home equity credit line
|
22,895
|
|
|
323
|
|
|
22,291
|
|
|
1,029
|
|
||||
1-4 family residential
|
61,149
|
|
|
461
|
|
|
57,815
|
|
|
1,324
|
|
||||
Construction and other consumer real estate
|
2,767
|
|
|
43
|
|
|
2,707
|
|
|
134
|
|
||||
Bankcard and other revolving plans
|
—
|
|
|
1
|
|
|
—
|
|
|
17
|
|
||||
Other
|
1,912
|
|
|
81
|
|
|
2,166
|
|
|
281
|
|
||||
Total consumer loans
|
88,723
|
|
|
909
|
|
|
84,979
|
|
|
2,785
|
|
||||
Total
|
$
|
723,717
|
|
|
$
|
7,985
|
|
|
$
|
599,245
|
|
|
$
|
25,742
|
|
|
Three Months Ended
September 30, 2015 |
|
Nine Months Ended
September 30, 2015 |
||||||||||||
(In thousands)
|
Average
recorded
investment
|
|
Interest
income
recognized
|
|
Average
recorded
investment
|
|
Interest
income
recognized
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Loans held for sale
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial:
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
$
|
191,642
|
|
|
$
|
1,314
|
|
|
$
|
158,825
|
|
|
$
|
5,525
|
|
Owner occupied
|
138,194
|
|
|
2,752
|
|
|
135,212
|
|
|
9,706
|
|
||||
Municipal
|
978
|
|
|
—
|
|
|
1,007
|
|
|
—
|
|
||||
Total commercial
|
330,814
|
|
|
4,066
|
|
|
295,044
|
|
|
15,231
|
|
||||
Commercial real estate:
|
|
|
|
|
|
|
|
||||||||
Construction and land development
|
31,506
|
|
|
499
|
|
|
31,920
|
|
|
2,691
|
|
||||
Term
|
119,694
|
|
|
3,705
|
|
|
124,446
|
|
|
13,383
|
|
||||
Total commercial real estate
|
151,200
|
|
|
4,204
|
|
|
156,366
|
|
|
16,074
|
|
||||
Consumer:
|
|
|
|
|
|
|
|
||||||||
Home equity credit line
|
25,095
|
|
|
401
|
|
|
24,329
|
|
|
1,206
|
|
||||
1-4 family residential
|
90,240
|
|
|
398
|
|
|
91,671
|
|
|
1,803
|
|
||||
Construction and other consumer real estate
|
5,540
|
|
|
32
|
|
|
2,342
|
|
|
91
|
|
||||
Bankcard and other revolving plans
|
—
|
|
|
1
|
|
|
1
|
|
|
101
|
|
||||
Other
|
36
|
|
|
177
|
|
|
4,109
|
|
|
692
|
|
||||
Total consumer loans
|
120,911
|
|
|
1,009
|
|
|
122,452
|
|
|
3,893
|
|
||||
Total
|
$
|
602,925
|
|
|
$
|
9,279
|
|
|
$
|
573,862
|
|
|
$
|
35,198
|
|
|
September 30, 2016
|
||||||||||||||||||||||||||
|
Recorded investment resulting from the following modification types:
|
|
|
||||||||||||||||||||||||
(In thousands)
|
Interest
rate below
market
|
|
Maturity
or term
extension
|
|
Principal
forgiveness
|
|
Payment
deferral
|
|
Other
1
|
|
Multiple
modification
types
2
|
|
Total
|
||||||||||||||
Accruing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial and industrial
|
$
|
255
|
|
|
$
|
17,606
|
|
|
$
|
9
|
|
|
$
|
71
|
|
|
$
|
11
|
|
|
$
|
40,104
|
|
|
$
|
58,056
|
|
Owner occupied
|
2,580
|
|
|
109
|
|
|
899
|
|
|
—
|
|
|
7,703
|
|
|
14,352
|
|
|
25,643
|
|
|||||||
Total commercial
|
2,835
|
|
|
17,715
|
|
|
908
|
|
|
71
|
|
|
7,714
|
|
|
54,456
|
|
|
83,699
|
|
|||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Construction and land development
|
41
|
|
|
196
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
7,358
|
|
|
7,595
|
|
|||||||
Term
|
4,549
|
|
|
444
|
|
|
165
|
|
|
979
|
|
|
1,788
|
|
|
10,327
|
|
|
18,252
|
|
|||||||
Total commercial real estate
|
4,590
|
|
|
640
|
|
|
165
|
|
|
979
|
|
|
1,788
|
|
|
17,685
|
|
|
25,847
|
|
|||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Home equity credit line
|
195
|
|
|
1,358
|
|
|
9,572
|
|
|
4
|
|
|
163
|
|
|
2,677
|
|
|
13,969
|
|
|||||||
1-4 family residential
|
2,326
|
|
|
368
|
|
|
6,416
|
|
|
254
|
|
|
3,209
|
|
|
31,010
|
|
|
43,583
|
|
|||||||
Construction and other consumer real estate
|
165
|
|
|
341
|
|
|
14
|
|
|
1,128
|
|
|
—
|
|
|
915
|
|
|
2,563
|
|
|||||||
Other
|
—
|
|
|
—
|
|
|
123
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
123
|
|
|||||||
Total consumer loans
|
2,686
|
|
|
2,067
|
|
|
16,125
|
|
|
1,386
|
|
|
3,372
|
|
|
34,602
|
|
|
60,238
|
|
|||||||
Total accruing
|
10,111
|
|
|
20,422
|
|
|
17,198
|
|
|
2,436
|
|
|
12,874
|
|
|
106,743
|
|
|
169,784
|
|
|||||||
Nonaccruing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Loans held for sale
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
15,996
|
|
|
$
|
15,996
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial and industrial
|
$
|
122
|
|
|
$
|
264
|
|
|
$
|
—
|
|
|
$
|
1,130
|
|
|
$
|
33,902
|
|
|
$
|
32,280
|
|
|
$
|
67,698
|
|
Owner occupied
|
622
|
|
|
788
|
|
|
—
|
|
|
2,867
|
|
|
253
|
|
|
13,518
|
|
|
18,048
|
|
|||||||
Municipal
|
—
|
|
|
869
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
869
|
|
|||||||
Total commercial
|
744
|
|
|
1,921
|
|
|
—
|
|
|
3,997
|
|
|
34,155
|
|
|
45,798
|
|
|
86,615
|
|
|||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Construction and land development
|
—
|
|
|
45
|
|
|
—
|
|
|
—
|
|
|
1,725
|
|
|
410
|
|
|
2,180
|
|
|||||||
Term
|
1,705
|
|
|
1,093
|
|
|
—
|
|
|
—
|
|
|
2,531
|
|
|
3,052
|
|
|
8,381
|
|
|||||||
Total commercial real estate
|
1,705
|
|
|
1,138
|
|
|
—
|
|
|
—
|
|
|
4,256
|
|
|
3,462
|
|
|
10,561
|
|
|||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Home equity credit line
|
—
|
|
|
437
|
|
|
1,357
|
|
|
35
|
|
|
—
|
|
|
682
|
|
|
2,511
|
|
|||||||
1-4 family residential
|
—
|
|
|
243
|
|
|
2,096
|
|
|
284
|
|
|
1,276
|
|
|
5,583
|
|
|
9,482
|
|
|||||||
Construction and other consumer real estate
|
—
|
|
|
90
|
|
|
—
|
|
|
21
|
|
|
—
|
|
|
47
|
|
|
158
|
|
|||||||
Total consumer loans
|
—
|
|
|
770
|
|
|
3,453
|
|
|
340
|
|
|
1,276
|
|
|
6,312
|
|
|
12,151
|
|
|||||||
Total nonaccruing
|
2,449
|
|
|
3,829
|
|
|
3,453
|
|
|
4,337
|
|
|
39,687
|
|
|
55,572
|
|
|
109,327
|
|
|||||||
Total
|
$
|
12,560
|
|
|
$
|
24,251
|
|
|
$
|
20,651
|
|
|
$
|
6,773
|
|
|
$
|
52,561
|
|
|
$
|
162,315
|
|
|
$
|
279,111
|
|
|
December 31, 2015
|
||||||||||||||||||||||||||
|
Recorded investment resulting from the following modification types:
|
|
|
||||||||||||||||||||||||
(In thousands)
|
Interest
rate below
market
|
|
Maturity
or term
extension
|
|
Principal
forgiveness
|
|
Payment
deferral
|
|
Other
1
|
|
Multiple
modification
types
2
|
|
Total
|
||||||||||||||
Accruing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial and industrial
|
$
|
202
|
|
|
$
|
3,236
|
|
|
$
|
13
|
|
|
$
|
100
|
|
|
$
|
23,207
|
|
|
$
|
34,473
|
|
|
$
|
61,231
|
|
Owner occupied
|
1,999
|
|
|
681
|
|
|
929
|
|
|
—
|
|
|
9,879
|
|
|
16,339
|
|
|
29,827
|
|
|||||||
Total commercial
|
2,201
|
|
|
3,917
|
|
|
942
|
|
|
100
|
|
|
33,086
|
|
|
50,812
|
|
|
91,058
|
|
|||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Construction and land development
|
94
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
9,698
|
|
|
9,792
|
|
|||||||
Term
|
4,696
|
|
|
638
|
|
|
166
|
|
|
976
|
|
|
2,249
|
|
|
20,833
|
|
|
29,558
|
|
|||||||
Total commercial real estate
|
4,790
|
|
|
638
|
|
|
166
|
|
|
976
|
|
|
2,249
|
|
|
30,531
|
|
|
39,350
|
|
|||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Home equity credit line
|
192
|
|
|
2,147
|
|
|
9,763
|
|
|
—
|
|
|
164
|
|
|
3,155
|
|
|
15,421
|
|
|||||||
1-4 family residential
|
2,669
|
|
|
353
|
|
|
6,747
|
|
|
433
|
|
|
3,440
|
|
|
32,903
|
|
|
46,545
|
|
|||||||
Construction and other consumer real estate
|
174
|
|
|
384
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,152
|
|
|
1,710
|
|
|||||||
Other
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||
Total consumer loans
|
3,035
|
|
|
2,884
|
|
|
16,510
|
|
|
433
|
|
|
3,604
|
|
|
37,210
|
|
|
63,676
|
|
|||||||
Total accruing
|
10,026
|
|
|
7,439
|
|
|
17,618
|
|
|
1,509
|
|
|
38,939
|
|
|
118,553
|
|
|
194,084
|
|
|||||||
Nonaccruing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Loans held for sale
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial and industrial
|
$
|
28
|
|
|
$
|
455
|
|
|
$
|
—
|
|
|
$
|
1,879
|
|
|
$
|
3,577
|
|
|
$
|
49,617
|
|
|
$
|
55,556
|
|
Owner occupied
|
685
|
|
|
1,669
|
|
|
—
|
|
|
724
|
|
|
34
|
|
|
16,335
|
|
|
19,447
|
|
|||||||
Municipal
|
—
|
|
|
951
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
951
|
|
|||||||
Total commercial
|
713
|
|
|
3,075
|
|
|
—
|
|
|
2,603
|
|
|
3,611
|
|
|
65,952
|
|
|
75,954
|
|
|||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Construction and land development
|
—
|
|
|
333
|
|
|
—
|
|
|
—
|
|
|
3,156
|
|
|
208
|
|
|
3,697
|
|
|||||||
Term
|
1,844
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,960
|
|
|
5,203
|
|
|
10,007
|
|
|||||||
Total commercial real estate
|
1,844
|
|
|
333
|
|
|
—
|
|
|
—
|
|
|
6,116
|
|
|
5,411
|
|
|
13,704
|
|
|||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Home equity credit line
|
7
|
|
|
500
|
|
|
1,400
|
|
|
54
|
|
|
—
|
|
|
233
|
|
|
2,194
|
|
|||||||
1-4 family residential
|
—
|
|
|
275
|
|
|
2,052
|
|
|
136
|
|
|
1,180
|
|
|
7,299
|
|
|
10,942
|
|
|||||||
Construction and other consumer real estate
|
—
|
|
|
101
|
|
|
17
|
|
|
48
|
|
|
—
|
|
|
44
|
|
|
210
|
|
|||||||
Total consumer loans
|
7
|
|
|
876
|
|
|
3,469
|
|
|
238
|
|
|
1,180
|
|
|
7,576
|
|
|
13,346
|
|
|||||||
Total nonaccruing
|
2,564
|
|
|
4,284
|
|
|
3,469
|
|
|
2,841
|
|
|
10,907
|
|
|
78,939
|
|
|
103,004
|
|
|||||||
Total
|
$
|
12,590
|
|
|
$
|
11,723
|
|
|
$
|
21,087
|
|
|
$
|
4,350
|
|
|
$
|
49,846
|
|
|
$
|
197,492
|
|
|
$
|
297,088
|
|
1
|
Includes TDRs that resulted from other modification types including, but not limited to, a legal judgment awarded on different terms, a bankruptcy plan confirmed on different terms, a settlement that includes the delivery of collateral in exchange for debt reduction, etc.
|
2
|
Includes TDRs that resulted from a combination of any of the previous modification types.
|
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
||||||||||||
(In thousands)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||
Commercial:
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial
|
$
|
(89
|
)
|
|
$
|
(67
|
)
|
|
$
|
(240
|
)
|
|
$
|
(189
|
)
|
Owner occupied
|
(49
|
)
|
|
(46
|
)
|
|
(148
|
)
|
|
(230
|
)
|
||||
Total commercial
|
(138
|
)
|
|
(113
|
)
|
|
(388
|
)
|
|
(419
|
)
|
||||
Commercial real estate:
|
|
|
|
|
|
|
|
||||||||
Construction and land development
|
(1
|
)
|
|
(26
|
)
|
|
(3
|
)
|
|
(88
|
)
|
||||
Term
|
(65
|
)
|
|
(84
|
)
|
|
(218
|
)
|
|
(295
|
)
|
||||
Total commercial real estate
|
(66
|
)
|
|
(110
|
)
|
|
(221
|
)
|
|
(383
|
)
|
||||
Consumer:
|
|
|
|
|
|
|
|
||||||||
Home equity credit line
|
—
|
|
|
—
|
|
|
(1
|
)
|
|
(1
|
)
|
||||
1-4 family residential
|
(194
|
)
|
|
(260
|
)
|
|
(630
|
)
|
|
(800
|
)
|
||||
Construction and other consumer real estate
|
(4
|
)
|
|
(7
|
)
|
|
(14
|
)
|
|
(21
|
)
|
||||
Total consumer loans
|
(198
|
)
|
|
(267
|
)
|
|
(645
|
)
|
|
(822
|
)
|
||||
Total decrease to interest income
1
|
$
|
(402
|
)
|
|
$
|
(490
|
)
|
|
$
|
(1,254
|
)
|
|
$
|
(1,624
|
)
|
1
|
Calculated based on the difference between the modified rate and the premodified rate applied to the recorded investment.
|
|
Three Months Ended
September 30, 2016 |
|
Nine Months Ended
September 30, 2016 |
||||||||||||||||||||
(In thousands)
|
Accruing
|
|
Nonaccruing
|
|
Total
|
|
Accruing
|
|
Nonaccruing
|
|
Total
|
||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
$
|
31
|
|
|
$
|
3,240
|
|
|
$
|
3,271
|
|
|
$
|
31
|
|
|
$
|
3,309
|
|
|
$
|
3,340
|
|
Owner occupied
|
3,360
|
|
|
—
|
|
|
3,360
|
|
|
3,360
|
|
|
—
|
|
|
3,360
|
|
||||||
Total commercial
|
3,391
|
|
|
3,240
|
|
|
6,631
|
|
|
3,391
|
|
|
3,309
|
|
|
6,700
|
|
||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction and land development
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Term
|
—
|
|
|
45
|
|
|
45
|
|
|
—
|
|
|
45
|
|
|
45
|
|
||||||
Total commercial real estate
|
—
|
|
|
45
|
|
|
45
|
|
|
—
|
|
|
45
|
|
|
45
|
|
||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity credit line
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
1-4 family residential
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
118
|
|
|
118
|
|
||||||
Construction and other consumer real estate
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total consumer loans
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
118
|
|
|
118
|
|
||||||
Total
|
$
|
3,391
|
|
|
$
|
3,285
|
|
|
$
|
6,676
|
|
|
$
|
3,391
|
|
|
$
|
3,472
|
|
|
$
|
6,863
|
|
|
Three Months Ended
September 30, 2015 |
|
Nine Months Ended
September 30, 2015 |
||||||||||||||||||||
(In thousands)
|
Accruing
|
|
Nonaccruing
|
|
Total
|
|
Accruing
|
|
Nonaccruing
|
|
Total
|
||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
$
|
—
|
|
|
$
|
9
|
|
|
$
|
9
|
|
|
$
|
—
|
|
|
$
|
104
|
|
|
$
|
104
|
|
Owner occupied
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
943
|
|
|
943
|
|
||||||
Total commercial
|
—
|
|
|
9
|
|
|
9
|
|
|
—
|
|
|
1,047
|
|
|
1,047
|
|
||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction and land development
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Term
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
833
|
|
|
833
|
|
||||||
Total commercial real estate
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
833
|
|
|
833
|
|
||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity credit line
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
1-4 family residential
|
—
|
|
|
595
|
|
|
595
|
|
|
—
|
|
|
595
|
|
|
595
|
|
||||||
Construction and other consumer real estate
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total consumer loans
|
—
|
|
|
595
|
|
|
595
|
|
|
—
|
|
|
595
|
|
|
595
|
|
||||||
Total
|
$
|
—
|
|
|
$
|
604
|
|
|
$
|
604
|
|
|
$
|
—
|
|
|
$
|
2,475
|
|
|
$
|
2,475
|
|
(In thousands)
|
September 30, 2016
|
|
December 31, 2015
|
||||||||
|
|
|
|
|
|
|
|
||||
Commercial
|
|
$
|
47,982
|
|
|
|
|
$
|
72,440
|
|
|
Commercial real estate
|
|
48,036
|
|
|
|
|
65,167
|
|
|
||
Consumer
|
|
9,027
|
|
|
|
|
11,082
|
|
|
||
Outstanding balance
|
|
$
|
105,045
|
|
|
|
|
$
|
148,689
|
|
|
|
|
|
|
|
|
|
|
||||
Carrying amount
|
|
$
|
89,221
|
|
|
|
|
$
|
125,029
|
|
|
Less ALLL
|
|
1,625
|
|
|
|
|
945
|
|
|
||
Carrying amount, net
|
|
$
|
87,596
|
|
|
|
|
$
|
124,084
|
|
|
(In thousands)
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
||||||||||||
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
|
|
|
|
|
|
|
|
||||||||
Balance at beginning of period
|
$
|
38,033
|
|
|
$
|
46,702
|
|
|
$
|
39,803
|
|
|
$
|
45,055
|
|
Accretion
|
(5,633
|
)
|
|
(7,535
|
)
|
|
(19,026
|
)
|
|
(28,792
|
)
|
||||
Reclassification from nonaccretable difference
|
127
|
|
|
1,005
|
|
|
9,697
|
|
|
18,865
|
|
||||
Disposals and other
|
1,629
|
|
|
1,126
|
|
|
3,682
|
|
|
6,170
|
|
||||
Balance at end of period
|
$
|
34,156
|
|
|
$
|
41,298
|
|
|
$
|
34,156
|
|
|
$
|
41,298
|
|
7.
|
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES
|
|
September 30, 2016
|
|
December 31, 2015
|
||||||||||||||||||||
|
Notional
amount
|
|
Fair value
|
|
Notional
amount
|
|
Fair value
|
||||||||||||||||
(In thousands)
|
Other
assets
|
|
Other
liabilities
|
|
Other
assets
|
|
Other
liabilities
|
||||||||||||||||
Derivatives designated as hedging instruments
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Cash flow hedges:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest rate swaps
|
$
|
1,387,500
|
|
|
$
|
18,888
|
|
|
$
|
—
|
|
|
$
|
1,387,500
|
|
|
$
|
5,461
|
|
|
$
|
956
|
|
Total derivatives designated as hedging instruments
|
1,387,500
|
|
|
18,888
|
|
|
—
|
|
|
1,387,500
|
|
|
5,461
|
|
|
956
|
|
||||||
Derivatives not designated as hedging instruments
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest rate swaps and forwards
|
262,187
|
|
|
3,582
|
|
|
230
|
|
|
40,314
|
|
|
—
|
|
|
8
|
|
||||||
Interest rate swaps for customers
1
|
3,994,275
|
|
|
95,424
|
|
|
102,605
|
|
|
3,256,190
|
|
|
51,353
|
|
|
53,843
|
|
||||||
Foreign exchange
|
570,213
|
|
|
11,171
|
|
|
9,094
|
|
|
463,064
|
|
|
20,824
|
|
|
17,761
|
|
||||||
Total derivatives not designated as hedging instruments
|
4,826,675
|
|
|
110,177
|
|
|
111,929
|
|
|
3,759,568
|
|
|
72,177
|
|
|
71,612
|
|
||||||
Total derivatives
|
$
|
6,214,175
|
|
|
$
|
129,065
|
|
|
$
|
111,929
|
|
|
$
|
5,147,068
|
|
|
$
|
77,638
|
|
|
$
|
72,568
|
|
|
Three Months Ended September 30, 2016
|
|
Nine Months Ended September 30, 2016
|
||||||||||||||||||||||||||||
|
Amount of derivative gain (loss) recognized/reclassified
|
||||||||||||||||||||||||||||||
(In thousands)
|
OCI
|
|
Reclassified from AOCI to interest income
2
|
|
Noninterest income (expense)
|
|
Offset to interest expense
|
|
OCI
|
|
Reclassified
from AOCI
to interest
income
2
|
|
Noninterest
income (expense) |
|
Offset to
interest expense |
||||||||||||||||
Derivatives designated as hedging instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Cash flow hedges
1
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Interest rate swaps
|
$
|
(5,381
|
)
|
|
$
|
2,804
|
|
|
|
|
|
|
$
|
23,109
|
|
|
$
|
8,739
|
|
|
|
|
|
||||||||
|
(5,381
|
)
|
|
2,804
|
|
|
|
|
|
|
|
23,109
|
|
|
8,739
|
|
|
|
|
|
|
||||||||||
Fair value hedges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Terminated swaps on long-term debt
|
|
|
|
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
$
|
—
|
|
||||||||||||
Total derivatives designated as hedging instruments
|
(5,381
|
)
|
|
2,804
|
|
|
|
|
|
—
|
|
|
23,109
|
|
|
8,739
|
|
|
|
|
|
—
|
|
||||||||
Derivatives not designated as hedging instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Interest rate swaps and forward contracts
|
|
|
|
|
$
|
904
|
|
|
|
|
|
|
|
|
$
|
3,060
|
|
|
|
||||||||||||
Interest rate swaps for customers
|
|
|
|
|
3,815
|
|
|
|
|
|
|
|
|
4,543
|
|
|
|
||||||||||||||
Foreign exchange
|
|
|
|
|
3,472
|
|
|
|
|
|
|
|
|
8,140
|
|
|
|
||||||||||||||
Total derivatives not designated as hedging instruments
|
|
|
|
|
8,191
|
|
|
|
|
|
|
|
|
15,743
|
|
|
|
||||||||||||||
Total derivatives
|
$
|
(5,381
|
)
|
|
$
|
2,804
|
|
|
$
|
8,191
|
|
|
$
|
—
|
|
|
$
|
23,109
|
|
|
$
|
8,739
|
|
|
$
|
15,743
|
|
|
$
|
—
|
|
|
Three Months Ended September 30, 2015
|
|
Nine Months Ended September 30, 2015
|
||||||||||||||||||||||||||||
|
Amount of derivative gain (loss) recognized/reclassified
|
||||||||||||||||||||||||||||||
(In thousands)
|
OCI
|
|
Reclassified from AOCI to interest income
2
|
|
Noninterest income (expense)
|
|
Offset to interest expense
|
|
OCI
|
|
Reclassified
from AOCI
to interest
income
2
|
|
Noninterest
income
(expense)
|
|
Offset to
interest
expense
|
||||||||||||||||
Derivatives designated as hedging instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Cash flow hedges
1
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Interest rate swaps
|
$
|
17,343
|
|
|
$
|
2,957
|
|
|
|
|
|
|
$
|
21,172
|
|
|
$
|
5,191
|
|
|
|
|
|
||||||||
|
17,343
|
|
|
2,957
|
|
|
|
|
|
|
|
21,172
|
|
|
5,191
|
|
|
|
|
|
|
||||||||||
Fair value hedges:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Terminated swaps on long-term debt
|
|
|
|
|
|
|
$
|
431
|
|
|
|
|
|
|
|
|
$
|
1,364
|
|
||||||||||||
Total derivatives designated as hedging instruments
|
17,343
|
|
|
2,957
|
|
|
|
|
|
431
|
|
|
21,172
|
|
|
5,191
|
|
|
|
|
|
1,364
|
|
||||||||
Derivatives not designated as hedging instruments
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Interest rate swaps for customers
|
|
|
|
|
$
|
939
|
|
|
|
|
|
|
|
|
$
|
5,329
|
|
|
|
||||||||||||
Futures contracts
|
|
|
|
|
1
|
|
|
|
|
|
|
|
|
2
|
|
|
|
||||||||||||||
Foreign exchange
|
|
|
|
|
2,506
|
|
|
|
|
|
|
|
|
6,938
|
|
|
|
||||||||||||||
Total derivatives not designated as hedging instruments
|
|
|
|
|
3,446
|
|
|
|
|
|
|
|
|
12,269
|
|
|
|
||||||||||||||
Total derivatives
|
$
|
17,343
|
|
|
$
|
2,957
|
|
|
$
|
3,446
|
|
|
$
|
431
|
|
|
$
|
21,172
|
|
|
$
|
5,191
|
|
|
$
|
12,269
|
|
|
$
|
1,364
|
|
1
|
Amounts recognized in OCI and reclassified from AOCI represent the effective portion of the change in fair value of the derivative.
|
2
|
Amounts for the
three and nine months ende
d
September 30
, of
$2.8 million
and
$8.7 million
in
2016
, and
$3.0 million
and
$5.2 million
in
2015
, respectively, are the amounts of reclassification to earnings from AOCI presented in Note
8
.
|
8.
|
DEBT AND SHAREHOLDERS’ EQUITY
|
(In thousands)
|
September 30,
2016 |
|
December 31, 2015
|
||||
|
|
|
|
||||
Junior subordinated debentures related to trust preferred securities
|
$
|
36,083
|
|
|
$
|
164,950
|
|
Subordinated notes
|
246,453
|
|
|
246,170
|
|
||
Senior notes
|
287,065
|
|
|
400,334
|
|
||
Capital lease obligations
|
784
|
|
|
912
|
|
||
Total
|
$
|
570,385
|
|
|
$
|
812,366
|
|
(In thousands)
|
|
September 30,
2016 |
|
December 31,
2015 |
|
Coupon rate
1
|
|
Redemption date
|
||||
|
|
|
|
|
|
|
|
|
||||
Amegy Statutory Trust I
|
|
$
|
—
|
|
|
$
|
51,547
|
|
|
3mL+2.85%
|
|
September 17, 2016
|
Amegy Statutory Trust II
|
|
36,083
|
|
|
36,083
|
|
|
3mL+1.90%
|
|
October 7, 2016
|
||
Amegy Statutory Trust III
|
|
—
|
|
|
61,856
|
|
|
3mL+1.78%
|
|
September 15, 2016
|
||
Stockmen’s Statutory Trust II
|
|
—
|
|
|
7,732
|
|
|
3mL+3.15%
|
|
September 26, 2016
|
||
Stockmen’s Statutory Trust III
|
|
—
|
|
|
7,732
|
|
|
3mL+2.89%
|
|
September 17, 2016
|
||
Total
|
|
$
|
36,083
|
|
|
$
|
164,950
|
|
|
|
|
|
1
|
Designation of “3mL” is three-month London Interbank Offered Rate (“LIBOR”).
|
(In thousands)
|
Net unrealized gains (losses) on investment securities
|
|
Net unrealized gains (losses) on derivatives and other
|
|
Pension and post-retirement
|
|
Total
|
||||||||||||
Nine Months Ended September 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Balance at December 31, 2015
|
|
$
|
(18,369
|
)
|
|
|
|
$
|
1,546
|
|
|
|
$
|
(37,789
|
)
|
|
$
|
(54,612
|
)
|
OCI (loss) before reclassifications, net of tax
|
|
54,316
|
|
|
|
|
16,437
|
|
|
|
(665
|
)
|
|
70,088
|
|
||||
Amounts reclassified from AOCI, net of tax
|
|
(57
|
)
|
|
|
|
(5,418
|
)
|
|
|
—
|
|
|
(5,475
|
)
|
||||
OCI (loss)
|
|
54,259
|
|
|
|
|
11,019
|
|
|
|
(665
|
)
|
|
64,613
|
|
||||
Balance at September 30, 2016
|
|
$
|
35,890
|
|
|
|
|
$
|
12,565
|
|
|
|
$
|
(38,454
|
)
|
|
$
|
10,001
|
|
Income tax expense included in OCI
|
|
$
|
33,742
|
|
|
|
|
$
|
6,619
|
|
|
|
$
|
665
|
|
|
$
|
41,026
|
|
Nine Months Ended September 30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Balance at December 31, 2014
|
|
$
|
(91,921
|
)
|
|
|
|
$
|
2,226
|
|
|
|
$
|
(38,346
|
)
|
|
$
|
(128,041
|
)
|
OCI before reclassifications, net of tax
|
|
15,398
|
|
|
|
|
13,035
|
|
|
|
—
|
|
|
28,433
|
|
||||
Amounts reclassified from AOCI, net of tax
|
|
85,845
|
|
|
|
|
(3,212
|
)
|
|
|
—
|
|
|
82,633
|
|
||||
OCI
|
|
101,243
|
|
|
|
|
9,823
|
|
|
|
—
|
|
|
111,066
|
|
||||
Balance at September 30, 2015
|
|
$
|
9,322
|
|
|
|
|
$
|
12,049
|
|
|
|
$
|
(38,346
|
)
|
|
$
|
(16,975
|
)
|
Income tax expense included in OCI
|
|
$
|
65,549
|
|
|
|
|
$
|
6,311
|
|
|
|
$
|
—
|
|
|
$
|
71,860
|
|
|
|
Amounts reclassified
from AOCI
1
|
|
Statement of income (SI) Balance sheet
(BS)
|
|
|
||||||||||||||
(In thousands)
|
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
|
|
|
|||||||||||||
Details about AOCI components
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
Affected line item
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net realized gains (losses) on investment securities
|
|
$
|
39
|
|
|
$
|
(53
|
)
|
|
$
|
92
|
|
|
$
|
(138,728
|
)
|
|
SI
|
|
Fixed income securities gains (losses), net
|
Income tax expense (benefit)
|
|
15
|
|
|
(20
|
)
|
|
35
|
|
|
(52,883
|
)
|
|
|
|
|
||||
Amounts reclassified from AOCI
|
|
$
|
24
|
|
|
$
|
(33
|
)
|
|
$
|
57
|
|
|
$
|
(85,845
|
)
|
|
|
|
|
Net unrealized gains on derivative instruments
|
|
$
|
2,804
|
|
|
$
|
2,957
|
|
|
$
|
8,739
|
|
|
$
|
5,191
|
|
|
SI
|
|
Interest and fees on loans
|
Income tax expense
|
|
1,066
|
|
|
1,127
|
|
|
3,321
|
|
|
1,979
|
|
|
|
|
|
||||
Amounts Reclassified from AOCI
|
|
$
|
1,738
|
|
|
$
|
1,830
|
|
|
$
|
5,418
|
|
|
$
|
3,212
|
|
|
|
|
|
1
|
Negative reclassification amounts indicate decreases to earnings in the statement of income and increases to balance sheet assets. The opposite applies to positive reclassification amounts.
|
9.
|
INCOME TAXES
|
10.
|
FAIR VALUE
|
(In thousands)
|
September 30, 2016
|
||||||||||||||
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
|||||||||
ASSETS
|
|
|
|
|
|
|
|
||||||||
Investment securities:
|
|
|
|
|
|
|
|
||||||||
Available-for-sale:
|
|
|
|
|
|
|
|
||||||||
U.S. Treasury, agencies and corporations
|
$
|
—
|
|
|
$
|
9,517,153
|
|
|
$
|
—
|
|
|
$
|
9,517,153
|
|
Municipal securities
|
|
|
778,245
|
|
|
|
|
|
778,245
|
|
|||||
Other debt securities
|
|
|
22,969
|
|
|
|
|
22,969
|
|
||||||
Money market mutual funds and other
|
38,982
|
|
|
734
|
|
|
|
|
39,716
|
|
|||||
|
38,982
|
|
|
10,319,101
|
|
|
—
|
|
|
10,358,083
|
|
||||
Trading account
|
|
|
108,004
|
|
|
|
|
108,004
|
|
||||||
Other noninterest-bearing investments:
|
|
|
|
|
|
|
|
||||||||
Bank-owned life insurance
|
|
|
494,181
|
|
|
|
|
494,181
|
|
||||||
Private equity investments
|
|
|
|
|
|
131,459
|
|
|
131,459
|
|
|||||
Other assets:
|
|
|
|
|
|
|
|
||||||||
Agriculture loan servicing and interest-only strips
|
|
|
|
|
|
19,928
|
|
|
19,928
|
|
|||||
Deferred compensation plan assets
|
85,977
|
|
|
|
|
|
|
|
|
85,977
|
|
||||
Derivatives:
|
|
|
|
|
|
|
|
||||||||
Interest rate swaps and forwards
|
|
|
22,470
|
|
|
|
|
22,470
|
|
||||||
Interest rate swaps for customers
|
|
|
95,424
|
|
|
|
|
95,424
|
|
||||||
Foreign currency exchange contracts
|
11,171
|
|
|
|
|
|
|
11,171
|
|
||||||
|
11,171
|
|
|
117,894
|
|
|
—
|
|
|
129,065
|
|
||||
|
$
|
136,130
|
|
|
$
|
11,039,180
|
|
|
$
|
151,387
|
|
|
$
|
11,326,697
|
|
LIABILITIES
|
|
|
|
|
|
|
|
||||||||
Securities sold, not yet purchased
|
$
|
56,635
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
56,635
|
|
Other liabilities:
|
|
|
|
|
|
|
|
||||||||
Deferred compensation plan obligations
|
85,977
|
|
|
|
|
|
|
85,977
|
|
||||||
Derivatives:
|
|
|
|
|
|
|
|
||||||||
Interest rate swaps and forwards
|
|
|
230
|
|
|
|
|
230
|
|
||||||
Interest rate swaps for customers
|
|
|
102,605
|
|
|
|
|
102,605
|
|
||||||
Foreign currency exchange contracts
|
9,094
|
|
|
|
|
|
|
9,094
|
|
||||||
|
9,094
|
|
|
102,835
|
|
|
—
|
|
|
111,929
|
|
||||
|
$
|
151,706
|
|
|
$
|
102,835
|
|
|
$
|
—
|
|
|
$
|
254,541
|
|
(In thousands)
|
December 31, 2015
|
||||||||||||||
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
|||||||||
ASSETS
|
|
|
|
|
|
|
|
||||||||
Investment securities:
|
|
|
|
|
|
|
|
||||||||
Available-for-sale:
|
|
|
|
|
|
|
|
||||||||
U.S. Treasury, agencies and corporations
|
$
|
—
|
|
|
$
|
7,100,844
|
|
|
$
|
—
|
|
|
$
|
7,100,844
|
|
Municipal securities
|
|
|
418,695
|
|
|
|
|
|
418,695
|
|
|||||
Other debt securities
|
|
|
22,941
|
|
|
|
|
|
22,941
|
|
|||||
Money market mutual funds and other
|
61,807
|
|
|
38,829
|
|
|
|
|
100,636
|
|
|||||
|
61,807
|
|
|
7,581,309
|
|
|
—
|
|
|
7,643,116
|
|
||||
Trading account
|
|
|
48,168
|
|
|
|
|
48,168
|
|
||||||
Other noninterest-bearing investments:
|
|
|
|
|
|
|
|
||||||||
Bank-owned life insurance
|
|
|
485,978
|
|
|
|
|
485,978
|
|
||||||
Private equity investments
|
|
|
|
|
|
120,027
|
|
|
120,027
|
|
|||||
Other assets:
|
|
|
|
|
|
|
|
||||||||
Agriculture loan servicing and interest-only strips
|
|
|
|
|
|
13,514
|
|
|
13,514
|
|
|||||
Deferred compensation plan assets
|
84,570
|
|
|
|
|
|
|
|
|
84,570
|
|
||||
Derivatives:
|
|
|
|
|
|
|
|
||||||||
Interest rate swaps and forwards
|
|
|
5,966
|
|
|
|
|
5,966
|
|
||||||
Interest rate swaps for customers
|
|
|
51,353
|
|
|
|
|
51,353
|
|
||||||
Foreign currency exchange contracts
|
20,824
|
|
|
|
|
|
|
20,824
|
|
||||||
|
20,824
|
|
|
57,319
|
|
|
—
|
|
|
78,143
|
|
||||
|
$
|
167,201
|
|
|
$
|
8,172,774
|
|
|
$
|
133,541
|
|
|
$
|
8,473,516
|
|
LIABILITIES
|
|
|
|
|
|
|
|
||||||||
Securities sold, not yet purchased
|
$
|
30,158
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
30,158
|
|
Other liabilities:
|
|
|
|
|
|
|
|
||||||||
Deferred compensation plan obligations
|
84,570
|
|
|
|
|
|
|
84,570
|
|
||||||
Derivatives:
|
|
|
|
|
|
|
|
||||||||
Interest rate swaps and forwards
|
|
|
835
|
|
|
|
|
835
|
|
||||||
Interest rate swaps for customers
|
|
|
53,843
|
|
|
|
|
53,843
|
|
||||||
Foreign currency exchange contracts
|
17,761
|
|
|
|
|
|
|
17,761
|
|
||||||
|
17,761
|
|
|
54,678
|
|
|
—
|
|
|
72,439
|
|
||||
|
$
|
132,489
|
|
|
$
|
54,678
|
|
|
$
|
—
|
|
|
$
|
187,167
|
|
|
Level 3 Instruments
|
||||||||||||||||||||||
|
Three Months Ended September 30, 2016
|
||||||||||||||||||||||
(In thousands)
|
Municipal
securities
|
|
Trust
preferred – banks and insurance
|
|
Other
|
|
Private
equity
investments
|
|
Ag loan svcg and int-only strips
|
|
Derivatives
and other
liabilities
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Balance at June 30, 2016
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
122,257
|
|
|
$
|
18,228
|
|
|
$
|
—
|
|
Net gains (losses) included in:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Statement of income:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Dividends and other investment income
|
|
|
|
|
|
|
2,601
|
|
|
|
|
|
|||||||||||
Equity securities gains, net
|
|
|
|
|
|
|
8,363
|
|
|
|
|
|
|||||||||||
Other noninterest income
|
|
|
|
|
|
|
|
|
2,035
|
|
|
|
|||||||||||
Purchases
|
|
|
|
|
|
|
3,015
|
|
|
|
|
|
|||||||||||
Sales
|
|
|
|
|
|
|
(65
|
)
|
|
|
|
|
|||||||||||
Redemptions and paydowns
|
|
|
|
|
|
|
|
|
|
(4,712
|
)
|
|
(335
|
)
|
|
|
|||||||
Balance at September 30, 2016
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
131,459
|
|
|
$
|
19,928
|
|
|
$
|
—
|
|
|
Level 3 Instruments
|
||||||||||||||||||||||
|
Nine Months Ended September 30, 2016
|
||||||||||||||||||||||
(In thousands)
|
Municipal
securities
|
|
Trust
preferred – banks and insurance
|
|
Other
|
|
Private
equity
investments
|
|
Ag loan svcg and int-only strips
|
|
Derivatives
and other
liabilities
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Balance at December 31, 2015
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
120,027
|
|
|
$
|
13,514
|
|
|
$
|
—
|
|
Net gains (losses) included in:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Statement of income:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Dividends and other investment income
|
|
|
|
|
|
|
1,247
|
|
|
|
|
|
|||||||||||
Equity securities gains, net
|
|
|
|
|
|
|
8,909
|
|
|
|
|
|
|||||||||||
Other noninterest income
|
|
|
|
|
|
|
|
|
7,026
|
|
|
|
|||||||||||
Purchases
|
|
|
|
|
|
|
10,331
|
|
|
368
|
|
|
|
||||||||||
Sales
|
|
|
|
|
|
|
(3,479
|
)
|
|
|
|
|
|||||||||||
Redemptions and paydowns
|
|
|
|
|
|
|
(5,576
|
)
|
|
(980
|
)
|
|
|
||||||||||
Balance at September 30, 2016
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
131,459
|
|
|
$
|
19,928
|
|
|
$
|
—
|
|
|
Level 3 Instruments
|
||||||||||||||||||||||
|
Three Months Ended September 30, 2015
|
||||||||||||||||||||||
(In thousands)
|
Municipal
securities
|
|
Trust
preferred – banks and insurance
|
|
Other
|
|
Private
equity
investments
|
|
Ag loan svcg and int-only strips
|
|
Derivatives
and other
liabilities
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Balance at June 30, 2015
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
110,115
|
|
|
$
|
13,502
|
|
|
$
|
—
|
|
Net gains (losses) included in:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Statement of income:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Dividends and other investment losses
|
|
|
|
|
|
|
(620
|
)
|
|
|
|
|
|||||||||||
Equity securities gains, net
|
|
|
|
|
|
|
3,587
|
|
|
|
|
|
|||||||||||
Other noninterest income
|
|
|
|
|
|
|
|
|
(375
|
)
|
|
|
|||||||||||
Purchases
|
|
|
|
|
|
|
8,184
|
|
|
234
|
|
|
|
||||||||||
Sales
|
|
|
|
|
|
|
|
(126
|
)
|
|
|
|
|
||||||||||
Redemptions and paydowns
|
|
|
|
|
|
|
|
|
|
(945
|
)
|
|
(200
|
)
|
|
|
|
||||||
Balance at September 30, 2015
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
120,195
|
|
|
$
|
13,161
|
|
|
$
|
—
|
|
|
Level 3 Instruments
|
||||||||||||||||||||||
|
Nine Months Ended September 30, 2015
|
||||||||||||||||||||||
(In thousands)
|
Municipal
securities
|
|
Trust
preferred – banks and insurance
|
|
Other
|
|
Private
equity
investments
|
|
Ag loan svcg and int-only strips
|
|
Derivatives
and other
liabilities
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Balance at December 31, 2014
|
$
|
4,164
|
|
|
$
|
393,007
|
|
|
$
|
4,761
|
|
|
$
|
97,649
|
|
|
$
|
12,227
|
|
|
$
|
(13
|
)
|
Net gains (losses) included in:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Statement of income:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Accretion of purchase discount on AFS securities
|
3
|
|
|
471
|
|
|
|
|
|
|
|
|
|
||||||||||
Dividends and other investment losses
|
|
|
|
|
|
|
(1,179
|
)
|
|
|
|
|
|||||||||||
Equity securities gains, net
|
|
|
|
|
|
|
7,554
|
|
|
|
|
|
|||||||||||
Fixed income securities losses, net
|
(344
|
)
|
|
(136,691
|
)
|
|
(606
|
)
|
|
|
|
|
|
|
|||||||||
Other noninterest income
|
|
|
|
|
|
|
|
|
1,112
|
|
|
|
|||||||||||
Other noninterest expense
|
|
|
|
|
|
|
|
|
|
|
13
|
|
|||||||||||
OCI (loss)
|
687
|
|
|
141,547
|
|
|
(74
|
)
|
|
|
|
|
|
|
|||||||||
Fair value of HTM securities reclassified as AFS
|
|
|
57,308
|
|
|
|
|
|
|
|
|
|
|||||||||||
Purchases
|
|
|
|
|
|
|
20,498
|
|
|
615
|
|
|
|
||||||||||
Sales
|
(2,651
|
)
|
|
(440,055
|
)
|
|
(4,081
|
)
|
|
(2,634
|
)
|
|
|
|
|
||||||||
Redemptions and paydowns
|
(1,859
|
)
|
|
(15,587
|
)
|
|
|
|
(1,693
|
)
|
|
(793
|
)
|
|
|
||||||||
Balance at September 30, 2015
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
120,195
|
|
|
$
|
13,161
|
|
|
$
|
—
|
|
(In thousands)
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
||||||||||||
|
|||||||||||||||
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
|
|
|
|
|
|
|
|
||||||||
Dividends and other investment income
|
$
|
—
|
|
|
$
|
(6
|
)
|
|
$
|
—
|
|
|
$
|
(2
|
)
|
Fixed income securities losses, net
|
—
|
|
|
—
|
|
|
—
|
|
|
(137,641
|
)
|
||||
Equity securities gains (losses), net
|
3,505
|
|
|
(10,637
|
)
|
|
3,598
|
|
|
(11,311
|
)
|
(In thousands)
|
Fair value at September 30, 2016
|
|
Fair value at December 31, 2015
|
||||||||||||||||||||||||||||
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
|||||||||||||||||
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Private equity investments, carried at cost
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,326
|
|
|
$
|
1,326
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
10,707
|
|
|
$
|
10,707
|
|
Impaired loans
|
—
|
|
|
50,873
|
|
|
—
|
|
|
50,873
|
|
|
—
|
|
|
10,991
|
|
|
—
|
|
|
10,991
|
|
||||||||
Other real estate owned
|
—
|
|
|
2,501
|
|
|
—
|
|
|
2,501
|
|
|
—
|
|
|
2,388
|
|
|
—
|
|
|
2,388
|
|
||||||||
|
$
|
—
|
|
|
$
|
53,374
|
|
|
$
|
1,326
|
|
|
$
|
54,700
|
|
|
$
|
—
|
|
|
$
|
13,379
|
|
|
$
|
10,707
|
|
|
$
|
24,086
|
|
|
Gains (losses) from fair value changes
|
||||||||||||||
(In thousands)
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
||||||||||||
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||
ASSETS
|
|
|
|
|
|
|
|
||||||||
Private equity investments, carried at cost
|
$
|
(151
|
)
|
|
$
|
(625
|
)
|
|
$
|
(493
|
)
|
|
$
|
(2,903
|
)
|
Impaired loans
|
(5,297
|
)
|
|
(7,666
|
)
|
|
(34,267
|
)
|
|
(12,682
|
)
|
||||
Other real estate owned
|
(603
|
)
|
|
(565
|
)
|
|
(1,203
|
)
|
|
(1,883
|
)
|
||||
|
$
|
(6,051
|
)
|
|
$
|
(8,856
|
)
|
|
$
|
(35,963
|
)
|
|
$
|
(17,468
|
)
|
|
September 30, 2016
|
|
December 31, 2015
|
||||||||||||||||
(In thousands)
|
Carrying
value
|
|
Estimated
fair value
|
|
Level
|
|
Carrying
value
|
|
Estimated
fair value
|
|
Level
|
||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
HTM investment securities
|
$
|
715,279
|
|
|
$
|
717,822
|
|
|
2
|
|
$
|
545,648
|
|
|
$
|
552,088
|
|
|
2
|
Loans and leases (including loans held for sale), net of allowance
|
42,102,822
|
|
|
42,100,277
|
|
|
3
|
|
40,193,374
|
|
|
39,535,365
|
|
|
3
|
||||
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Time deposits
|
2,516,493
|
|
|
2,517,487
|
|
|
2
|
|
2,130,680
|
|
|
2,129,742
|
|
|
2
|
||||
Foreign deposits
|
118,762
|
|
|
118,772
|
|
|
2
|
|
294,391
|
|
|
294,321
|
|
|
2
|
||||
Long-term debt
|
570,385
|
|
|
602,624
|
|
|
2
|
|
812,366
|
|
|
838,796
|
|
|
2
|
11.
|
COMMITMENTS, GUARANTEES AND CONTINGENT LIABILITIES
|
(In thousands)
|
September 30,
2016 |
|
December 31,
2015 |
||||
|
|
|
|
||||
Net unfunded commitments to extend credit
1
|
$
|
18,113,233
|
|
|
$
|
17,169,785
|
|
Standby letters of credit:
|
|
|
|
||||
Financial
|
798,476
|
|
|
661,554
|
|
||
Performance
|
194,592
|
|
|
216,843
|
|
||
Commercial letters of credit
|
38,964
|
|
|
18,447
|
|
||
Total unfunded lending commitments
|
$
|
19,145,265
|
|
|
$
|
18,066,629
|
|
1
|
Net of participations
|
•
|
a class action case,
Reyes v. Zions First National Bank, et. al.,
which was brought in the United States District Court for the Eastern District of Pennsylvania in early 2010. This case relates to
payment processing services provided by Modern Payments, a small subsidiary of Zions, to ten of its customers
that allegedly engaged in wrongful telemarketing practices. The plaintiff has been seeking a trebled monetary award under the federal RICO Act. During the second quarter of 2016, the parties reached an agreement in principle to settle the case for
$37.50 million
to
$37.75 million
, (with the amount within that range dependent upon the outcome of certain contingencies). A definitive settlement agreement on those terms was executed by the parties and preliminarily approved by the District Court in July 2016. The settlement agreement is subject to further court process and final approval by the District Court. These further steps are likely to be finalized during the fourth quarter of 2016. There can be no assurance that the settlement agreement will ultimately be approved by the
|
•
|
a governmental inquiry into our payment processing practices relating primarily to the allegedly fraudulent telemarketers at issue in the
Reyes
case, discussed above, conducted by the Department of Justice. Our first contact with the Department of Justice relating to this matter occurred in early 2013. We commenced substantive settlement discussion with the Department of Justice in the third quarter of 2016. There can be no assurance, however, that the parties will be able to settle this matter.
|
•
|
a governmental inquiry into possible money laundering activities of one of our bank customers and our anti-money laundering practices relating to that customer, conducted by the United States Attorney’s Office for the Southern District of New York. Our first contact with the United States Attorney’s Office relating to this matter occurred in early 2012. We are unclear about the status of this inquiry.
|
•
|
a civil suit,
Shou-En Wang v. CB&T
(“Wang”),
brought against us in Superior Court for Los Angeles County, Central District in April 2016. The case relates to our depositor relationships with customers who were promoters of an investment program that allegedly misappropriated investors’ funds. This case is in an early phase, with initial motion practice having commenced.
|
12.
|
RETIREMENT PLANS
|
|
Pension benefits
|
|
Supplemental
retirement
benefits
|
|
Postretirement
benefits
|
|
Pension benefits
|
|
Supplemental
retirement
benefits
|
|
Postretirement
benefits
|
||||||||||||||||||||||||||||||||||||
(In thousands)
|
Three Months Ended September 30,
|
|
Nine Months Ended September 30,
|
||||||||||||||||||||||||||||||||||||||||||||
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Service cost
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5
|
|
|
$
|
8
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
15
|
|
|
$
|
25
|
|
Interest cost
|
1,721
|
|
|
1,755
|
|
|
101
|
|
|
101
|
|
|
10
|
|
|
10
|
|
|
5,246
|
|
|
5,320
|
|
|
302
|
|
|
302
|
|
|
29
|
|
|
30
|
|
||||||||||||
Expected return on plan assets
|
(3,039
|
)
|
|
(3,090
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(8,548
|
)
|
|
(9,270
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||||||
Partial settlement loss
|
2,625
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,625
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||||||
Amortization of net actuarial (gain) loss
|
1,293
|
|
|
1,297
|
|
|
29
|
|
|
31
|
|
|
(17
|
)
|
|
(13
|
)
|
|
4,612
|
|
|
4,445
|
|
|
87
|
|
|
92
|
|
|
(50
|
)
|
|
(40
|
)
|
||||||||||||
Net periodic benefit cost (credit)
|
$
|
2,600
|
|
|
$
|
(38
|
)
|
|
$
|
130
|
|
|
$
|
132
|
|
|
$
|
(2
|
)
|
|
$
|
5
|
|
|
$
|
3,935
|
|
|
$
|
495
|
|
|
$
|
389
|
|
|
$
|
394
|
|
|
$
|
(6
|
)
|
|
$
|
15
|
|
13.
|
OPERATING SEGMENT INFORMATION
|
(In millions)
|
Zions Bank
|
|
Amegy
|
|
CB&T
|
|
NBAZ
|
|
NSB
|
||||||||||||||||||||||||||||||
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||||||||||||||
SELECTED INCOME STATEMENT DATA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Net interest income
|
$
|
469.3
|
|
|
$
|
460.4
|
|
|
$
|
359.4
|
|
|
$
|
352.6
|
|
|
$
|
334.6
|
|
|
$
|
314.6
|
|
|
$
|
144.7
|
|
|
$
|
135.4
|
|
|
$
|
93.1
|
|
|
$
|
93.0
|
|
Provision for loan losses
|
(31.5
|
)
|
|
(18.8
|
)
|
|
159.4
|
|
|
56.9
|
|
|
(1.3
|
)
|
|
(6.5
|
)
|
|
2.0
|
|
|
1.0
|
|
|
(28.8
|
)
|
|
(15.4
|
)
|
||||||||||
Net interest income after provision for loan losses
|
500.8
|
|
|
479.2
|
|
|
200.0
|
|
|
295.7
|
|
|
335.9
|
|
|
321.1
|
|
|
142.7
|
|
|
134.4
|
|
|
121.9
|
|
|
108.4
|
|
||||||||||
Noninterest income
|
111.5
|
|
|
98.3
|
|
|
89.6
|
|
|
90.3
|
|
|
50.9
|
|
|
48.6
|
|
|
30.2
|
|
|
27.3
|
|
|
29.2
|
|
|
27.6
|
|
||||||||||
Noninterest expense
|
297.6
|
|
|
325.3
|
|
|
237.1
|
|
|
275.2
|
|
|
203.9
|
|
|
223.2
|
|
|
98.5
|
|
|
110.4
|
|
|
93.5
|
|
|
99.2
|
|
||||||||||
Net Income (loss) before taxes
|
$
|
314.7
|
|
|
$
|
252.2
|
|
|
$
|
52.5
|
|
|
$
|
110.8
|
|
|
$
|
182.9
|
|
|
$
|
146.5
|
|
|
$
|
74.4
|
|
|
$
|
51.3
|
|
|
$
|
57.6
|
|
|
$
|
36.8
|
|
SELECTED AVERAGE BALANCE SHEET DATA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Total loans
|
$
|
12,512
|
|
|
$
|
12,102
|
|
|
$
|
10,599
|
|
|
$
|
10,169
|
|
|
$
|
9,170
|
|
|
$
|
8,502
|
|
|
$
|
4,010
|
|
|
$
|
3,803
|
|
|
$
|
2,275
|
|
|
$
|
2,354
|
|
Total deposits
|
15,879
|
|
|
15,688
|
|
|
11,100
|
|
|
11,409
|
|
|
10,764
|
|
|
9,917
|
|
|
4,553
|
|
|
4,277
|
|
|
4,113
|
|
|
3,870
|
|
||||||||||
|
Vectra
|
|
TCBW
|
|
Other
|
|
Consolidated
Company
|
|
|
|
|
||||||||||||||||||||||||||||
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
||||||||||||||||||||
SELECTED INCOME STATEMENT DATA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Net interest income
|
$
|
92.4
|
|
|
$
|
87.5
|
|
|
$
|
28.9
|
|
|
$
|
25.7
|
|
|
$
|
(135.5
|
)
|
|
$
|
(202.8
|
)
|
|
$
|
1,386.9
|
|
|
$
|
1,266.4
|
|
|
|
|
|
||||
Provision for loan losses
|
(4.3
|
)
|
|
1.9
|
|
|
(0.2
|
)
|
|
(1.8
|
)
|
|
0.2
|
|
|
—
|
|
|
95.5
|
|
|
17.3
|
|
|
|
|
|
||||||||||||
Net interest income after provision for loan losses
|
96.7
|
|
|
85.6
|
|
|
29.1
|
|
|
27.5
|
|
|
(135.7
|
)
|
|
(202.8
|
)
|
|
1,291.4
|
|
|
1,249.1
|
|
|
|
|
|
||||||||||||
Noninterest income
|
17.2
|
|
|
16.1
|
|
|
3.3
|
|
|
3.0
|
|
|
55.5
|
|
|
(72.6
|
)
|
|
387.4
|
|
|
238.6
|
|
|
|
|
|
||||||||||||
Noninterest expense
|
66.2
|
|
|
73.3
|
|
|
14.6
|
|
|
11.6
|
|
|
169.4
|
|
|
65.1
|
|
|
1,180.8
|
|
|
1,183.3
|
|
|
|
|
|
||||||||||||
Net Income (loss) before taxes
|
$
|
47.7
|
|
|
$
|
28.4
|
|
|
$
|
17.8
|
|
|
$
|
18.9
|
|
|
$
|
(249.6
|
)
|
|
$
|
(340.5
|
)
|
|
$
|
498.0
|
|
|
$
|
304.4
|
|
|
|
|
|
||||
SELECTED AVERAGE BALANCE SHEET DATA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Total loans
|
$
|
2,453
|
|
|
$
|
2,385
|
|
|
$
|
769
|
|
|
$
|
711
|
|
|
$
|
80
|
|
|
$
|
85
|
|
|
$
|
41,868
|
|
|
$
|
40,111
|
|
|
|
|
|
||||
Total deposits
|
2,704
|
|
|
2,745
|
|
|
970
|
|
|
863
|
|
|
(21
|
)
|
|
(588
|
)
|
|
50,062
|
|
|
48,181
|
|
|
|
|
|
ITEM 2.
|
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
•
|
statements with respect to the beliefs, plans, objectives, goals, targets, commitments, designs, guidelines, expectations, anticipations, and future financial condition, results of operations and performance of Zions Bancorporation (“the Parent”) and its subsidiaries (collectively “the Company,” “Zions,” “we,” “our,” “us”); and
|
•
|
statements preceded by, followed by, or that include the words “may,” “could,” “should,” “would,” “believe,” “anticipate,” “estimate,” “expect,” “intend,” “target,” “commit,” “design,” “plan,” “projects,” or similar expressions.
|
•
|
the Company’s ability to successfully execute its business plans, manage its risks, and achieve its objectives, including its restructuring and efficiency initiatives and its tender offers for certain of its preferred stock;
|
•
|
changes in local, national and international political and economic conditions, including without limitation the political and economic effects of the recent economic crisis, delay of recovery from that crisis, economic and fiscal imbalances in the United States and other countries, potential or actual downgrades in ratings of sovereign debt issued by the United States and other countries, and other major developments, including wars, military actions, and terrorist attacks;
|
•
|
changes in financial and commodity market prices and conditions, either internationally, nationally or locally in areas in which the Company conducts its operations, including without limitation rates of business formation and growth, commercial and residential real estate development, real estate prices, and oil and gas-related commodity prices;
|
•
|
changes in markets for equity, fixed income, commercial paper and other securities, including availability, market liquidity levels, and pricing, including the actual amount and duration of declines in the price of oil and gas;
|
•
|
any impairment of our goodwill or other intangibles, or any adjustment of valuation allowances on our deferred tax assets due to adverse changes in the economic environment, declining operations of the reporting unit, or other factors;
|
•
|
changes in interest rates, the quality and composition of the loan and securities portfolios, demand for loan products, deposit flows and competition;
|
•
|
acquisitions and integration of acquired businesses;
|
•
|
increases in the levels of losses, customer bankruptcies, bank failures, claims, and assessments;
|
•
|
changes in fiscal, monetary, regulatory, trade and tax policies and laws, and regulatory assessments and fees, including policies of the U.S. Department of Treasury, the OCC, the Board of Governors of the Federal Reserve Board System, the FDIC, the SEC, and the CFPB;
|
•
|
the impact of executive compensation rules under the Dodd-Frank Act and banking regulations which may impact the ability of the Company and other American financial institutions to retain and recruit executives and other personnel necessary for their businesses and competitiveness;
|
•
|
the impact of the Dodd-Frank Act and Basel III, and rules and regulations thereunder, on our required regulatory capital and liquidity levels, governmental assessments on us (including, but not limited to, the Federal Reserve reviews of our annual capital plan), the scope of business activities in which we may engage, the manner in which we engage in such activities, the fees we may charge for certain products and services, and other matters affected by the Dodd-Frank Act and these international standards;
|
•
|
continuing consolidation in the financial services industry;
|
•
|
new legal claims against the Company, including litigation, arbitration and proceedings brought by governmental or self-regulatory agencies, or changes in existing legal matters;
|
•
|
success in gaining regulatory approvals, when required;
|
•
|
changes in consumer spending and savings habits;
|
•
|
increased competitive challenges and expanding product and pricing pressures among financial institutions;
|
•
|
inflation and deflation;
|
•
|
technological changes and the Company’s implementation of new technologies;
|
•
|
the Company’s ability to develop and maintain secure and reliable information technology systems;
|
•
|
legislation or regulatory changes which adversely affect the Company’s operations or business;
|
•
|
the Company’s ability to comply with applicable laws and regulations;
|
•
|
changes in accounting policies or procedures as may be required by the FASB or regulatory agencies; and
|
•
|
costs of deposit insurance and changes with respect to FDIC insurance coverage levels.
|
ACL
|
Allowance for Credit Losses
|
HQLA
|
High-Quality Liquid Assets
|
AFS
|
Available-for-Sale
|
HTM
|
Held-to-Maturity
|
ALCO
|
Asset/Liability Committee
|
IFRS
|
International Financial Reporting Standards
|
ALLL
|
Allowance for Loan and Lease Losses
|
ISDA
|
International Swaps and Derivative Association
|
Amegy
|
Amegy Bank, a division of ZB, N.A.
|
LCR
|
Liquidity Coverage Ratio
|
AOCI
|
Accumulated Other Comprehensive Income
|
LGD
|
Loss Given Default
|
ASC
|
Accounting Standards Codification
|
LIBOR
|
London Interbank Offered Rate
|
ASU
|
Accounting Standards Update
|
NAV
|
Net Asset Value
|
ATM
|
Automated Teller Machine
|
NBAZ
|
National Bank of Arizona, a division of ZB, N.A.
|
BOLI
|
Bank-Owned Life Insurance
|
NIM
|
Net Interest Margin
|
bps
|
basis points
|
NSB
|
Nevada State Bank, a division of ZB, N.A.
|
CB&T
|
California Bank & Trust, a division of ZB, N.A.
|
NSFR
|
Net Stable Funding Ratio
|
CCAR
|
Comprehensive Capital Analysis and Review
|
NYMEX
|
New York Mercantile Exchange
|
CDO
|
Collateralized Debt Obligation
|
OCC
|
Office of the Comptroller of the Currency
|
CET1
|
Common Equity Tier 1 (Basel III)
|
OCI
|
Other Comprehensive Income
|
CFPB
|
Consumer Financial Protection Bureau
|
OREO
|
Other Real Estate Owned
|
CLTV
|
Combined Loan-to-Value Ratio
|
OTC
|
Over-the-Counter
|
COSO
|
Committee of Sponsoring Organizations of the Treadway Commission
|
OTTI
|
Other-Than-Temporary Impairment
|
CRE
|
Commercial Real Estate
|
Parent
|
Zions Bancorporation
|
CSA
|
Credit Support Annex
|
PCI
|
Purchase Credit-Impaired
|
CSV
|
Cash Surrender Value
|
PEI
|
Private Equity Investment
|
DFAST
|
Dodd-Frank Act Stress Test
|
PPNR
|
Pre-provision Net Revenue
|
Dodd-Frank Act
|
Dodd-Frank Wall Street Reform and Consumer Protection Act
|
ROC
|
Risk Oversight Committee
|
DTA
|
Deferred Tax Asset
|
RULC
|
Reserve for Unfunded Lending Commitments
|
EITF
|
Emerging Issues Task Force
|
SBA
|
Small Business Administration
|
ERM
|
Enterprise Risk Management
|
SBIC
|
Small Business Investment Company
|
ERMC
|
Enterprise Risk Management Committee
|
SEC
|
Securities and Exchange Commission
|
EVE
|
Economic Value of Equity at Risk
|
SNC
|
Shared National Credit
|
FAMC
|
Federal Agricultural Mortgage Corporation, or “Farmer Mac”
|
SVC
|
Securities Valuation Committee
|
FASB
|
Financial Accounting Standards Board
|
TCBO
|
The Commerce Bank of Oregon, a division of ZB, N.A.
|
FDIC
|
Federal Deposit Insurance Corporation
|
TCBW
|
The Commerce Bank of Washington, a division of ZB, N.A.
|
FHLB
|
Federal Home Loan Bank
|
TDR
|
Troubled Debt Restructuring
|
FHLMC
|
Federal Home Loan Mortgage Corporation, or “Freddie Mac”
|
Vectra
|
Vectra Bank Colorado, a division of ZB, N.A.
|
FNMA
|
Federal National Mortgage Association, or “Fannie Mae”
|
VIE
|
Variable Interest Entity
|
FRB
|
Federal Reserve Board
|
ZB, N.A.
|
ZB, National Association
|
GAAP
|
Generally Accepted Accounting Principles
|
Zions Bank
|
Zions Bank, a division of ZB, N.A.
|
HECL
|
Home Equity Credit Line
|
ZMSC
|
Zions Management Services Company
|
•
|
Consolidation of bank charters from seven to one while maintaining local leadership, local product pricing, and local brands. The consolidation of the bank charters occurred on December 31, 2015.
|
•
|
Creation of a Chief Banking Officer position, with responsibility for retail banking, wealth management, and residential mortgage lending.
|
•
|
Consolidation of risk functions and other non-customer facing operations, while emphasizing local credit decision making.
|
•
|
Investment in technology to modernize our loan, deposit, and customer information systems to meet the demands of a rapidly changing information technology environment.
|
•
|
Maintain adjusted noninterest expense less than $1.58 billion in 2016, although increasing somewhat in 2017; this target excludes those same expense items excluded in arriving at the efficiency ratio (see “GAAP to Non-GAAP Reconciliations” on page
90
for more information regarding the calculation of the efficiency ratio). For the third quarter of 2016 adjusted noninterest expense was $403.8 million. Year-to-date adjusted noninterest expense was $1.18 billion, which, when annualized, is consistent with our commitment to hold adjusted noninterest expense to less than $1.58 billion in 2016.
|
•
|
Achieve an efficiency ratio less than 66% in 2016, and in the low 60s by fiscal year-end 2017, driven by expense and revenue initiatives detailed below; the announced target assumes a slight increase in interest rates. Our efficiency ratio increased 144 bps to
66.0%
for the third quarter of 2016 compared with
64.5%
during the second quarter of 2016, and improved 313 bps compared with an efficiency ratio of
69.1%
for the third quarter of 2015. The ratio for the six months ending on September 30, 2016 is
65.2%
, which is an improvement of 485 bps compared with the efficiency ratio of
70.1%
for the same prior year period. We show the efficiency ratio for six-month periods, in addition to the three-month periods, in order to illustrate the trend over longer periods as quarterly fluctuations may not be reflective of the prevailing trend, while yearly results may not accurately reflect the pace of change. We show a nine-month efficiency ratio to illustrate the progress towards our annual target. The year-to-date efficiency ratio was
66.3%
. We are firmly committed to achieving an efficiency ratio of less than 66% in 2016. See “GAAP to Non-GAAP Reconciliations” on page
90
for more information regarding the calculation of the efficiency ratio.
|
•
|
Achieve annual gross pretax cost savings of $120 million from operational expense initiatives by year-end 2017, which include overhauling technology, consolidating legal charters, and improving operating efficiency across the Company. We remain on track with this initiative, and expect to achieve cost savings in excess of the initial target of $120 million.
|
|
Three Months Ended
September 30, 2016 |
|
Three Months Ended
September 30, 2015 |
||||||||||||||||||
(In thousands)
|
Average
balance
|
|
Amount of
interest
1
|
|
Average
yield/rate
|
|
Average
balance
|
|
Amount of
interest
1
|
|
Average
yield/rate
|
||||||||||
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Money market investments
|
$
|
3,139,771
|
|
|
$
|
4,934
|
|
|
0.63
|
%
|
|
$
|
8,775,823
|
|
|
$
|
6,018
|
|
|
0.27
|
%
|
Securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Held-to-maturity
|
706,012
|
|
|
7,677
|
|
|
4.33
|
|
|
553,615
|
|
|
7,075
|
|
|
5.07
|
|
||||
Available-for-sale
|
9,697,759
|
|
|
44,380
|
|
|
1.82
|
|
|
5,254,986
|
|
|
24,502
|
|
|
1.85
|
|
||||
Trading account
|
80,591
|
|
|
676
|
|
|
3.34
|
|
|
47,235
|
|
|
445
|
|
|
3.74
|
|
||||
Total securities
|
10,484,362
|
|
|
52,733
|
|
|
2.00
|
|
|
5,855,836
|
|
|
32,022
|
|
|
2.17
|
|
||||
Loans held for sale
|
132,602
|
|
|
1,114
|
|
|
3.34
|
|
|
131,113
|
|
|
1,222
|
|
|
3.70
|
|
||||
Loans and leases
2
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial
|
21,815,443
|
|
|
229,720
|
|
|
4.19
|
|
|
21,289,641
|
|
|
222,478
|
|
|
4.15
|
|
||||
Commercial real estate
|
11,331,183
|
|
|
119,242
|
|
|
4.19
|
|
|
10,170,539
|
|
|
114,695
|
|
|
4.47
|
|
||||
Consumer
|
9,340,297
|
|
|
89,464
|
|
|
3.81
|
|
|
8,565,075
|
|
|
84,200
|
|
|
3.90
|
|
||||
Total loans and leases
|
42,486,923
|
|
|
438,426
|
|
|
4.11
|
|
|
40,025,255
|
|
|
421,373
|
|
|
4.18
|
|
||||
Total interest-earning assets
|
56,243,658
|
|
|
497,207
|
|
|
3.52
|
|
|
54,788,027
|
|
|
460,635
|
|
|
3.34
|
|
||||
Cash and due from banks
|
555,945
|
|
|
|
|
|
|
583,936
|
|
|
|
|
|
||||||||
Allowance for loan losses
|
(608,948
|
)
|
|
|
|
|
|
(602,677
|
)
|
|
|
|
|
||||||||
Goodwill
|
1,014,129
|
|
|
|
|
|
|
1,014,129
|
|
|
|
|
|
||||||||
Core deposit and other intangibles
|
11,576
|
|
|
|
|
|
|
19,726
|
|
|
|
|
|
||||||||
Other assets
|
2,845,876
|
|
|
|
|
|
|
2,597,278
|
|
|
|
|
|
||||||||
Total assets
|
$
|
60,062,236
|
|
|
|
|
|
|
$
|
58,400,419
|
|
|
|
|
|
||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Savings and money market
|
$
|
25,682,829
|
|
|
$
|
9,374
|
|
|
0.15
|
%
|
|
$
|
24,676,897
|
|
|
$
|
9,895
|
|
|
0.16
|
%
|
Time
|
2,409,092
|
|
|
3,086
|
|
|
0.51
|
|
|
2,242,064
|
|
|
2,445
|
|
|
0.43
|
|
||||
Foreign
|
116,678
|
|
|
89
|
|
|
0.30
|
|
|
441,670
|
|
|
202
|
|
|
0.18
|
|
||||
Total interest-bearing deposits
|
28,208,599
|
|
|
12,549
|
|
|
0.18
|
|
|
27,360,631
|
|
|
12,542
|
|
|
0.18
|
|
||||
Borrowed funds:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Federal funds and other short-term borrowings
|
343,358
|
|
|
193
|
|
|
0.22
|
|
|
211,322
|
|
|
76
|
|
|
0.14
|
|
||||
Long-term debt
|
679,990
|
|
|
8,766
|
|
|
5.13
|
|
|
1,028,457
|
|
|
18,235
|
|
|
7.03
|
|
||||
Total borrowed funds
|
1,023,348
|
|
|
8,959
|
|
|
3.48
|
|
|
1,239,779
|
|
|
18,311
|
|
|
5.86
|
|
||||
Total interest-bearing liabilities
|
29,231,947
|
|
|
21,508
|
|
|
0.29
|
|
|
28,600,410
|
|
|
30,853
|
|
|
0.43
|
|
||||
Noninterest-bearing deposits
|
22,466,132
|
|
|
|
|
|
|
21,558,557
|
|
|
|
|
|
||||||||
Other liabilities
|
668,180
|
|
|
|
|
|
|
581,880
|
|
|
|
|
|
||||||||
Total liabilities
|
52,366,259
|
|
|
|
|
|
|
50,740,847
|
|
|
|
|
|
||||||||
Shareholders’ equity:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Preferred equity
|
709,601
|
|
|
|
|
|
|
1,004,059
|
|
|
|
|
|
||||||||
Common equity
|
6,986,376
|
|
|
|
|
|
|
6,655,513
|
|
|
|
|
|
||||||||
Total shareholders’ equity
|
7,695,977
|
|
|
|
|
|
|
7,659,572
|
|
|
|
|
|
||||||||
Total liabilities and shareholders’ equity
|
$
|
60,062,236
|
|
|
|
|
|
|
$
|
58,400,419
|
|
|
|
|
|
||||||
Spread on average interest-bearing funds
|
|
|
|
|
3.23%
|
|
|
|
|
|
|
2.91%
|
|
||||||||
Taxable-equivalent net interest income and net yield on interest-earning assets
|
|
|
$
|
475,699
|
|
|
3.36%
|
|
|
|
|
$
|
429,782
|
|
|
3.11%
|
|
1
|
Taxable-equivalent rates used where applicable.
|
2
|
Net of unearned income and fees, net of related costs. Loans include nonaccrual and restructured loans.
|
|
Nine Months Ended
September 30, 2016 |
|
Nine Months Ended
September 30, 2015 |
||||||||||||||||||
(In thousands)
|
Average
balance
|
|
Amount of
interest
1
|
|
Average
yield/rate
|
|
Average
balance
|
|
Amount of
interest
1
|
|
Average
yield/rate
|
||||||||||
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Money market investments
|
$
|
4,099,015
|
|
|
$
|
17,527
|
|
|
0.57
|
%
|
|
$
|
8,404,053
|
|
|
$
|
17,021
|
|
|
0.27
|
%
|
Securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Held-to-maturity
|
646,027
|
|
|
21,905
|
|
|
4.53
|
|
|
589,673
|
|
|
22,431
|
|
|
5.09
|
|
||||
Available-for-sale
|
8,889,346
|
|
|
129,542
|
|
|
1.95
|
|
|
4,644,554
|
|
|
67,981
|
|
|
1.96
|
|
||||
Trading account
|
70,848
|
|
|
1,905
|
|
|
3.59
|
|
|
64,534
|
|
|
1,653
|
|
|
3.42
|
|
||||
Total securities
|
9,606,221
|
|
|
153,352
|
|
|
2.13
|
|
|
5,298,761
|
|
|
92,065
|
|
|
2.32
|
|
||||
Loans held for sale
|
133,022
|
|
|
3,596
|
|
|
3.61
|
|
|
117,351
|
|
|
3,138
|
|
|
3.58
|
|
||||
Loans and leases
2
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial
|
21,791,318
|
|
|
684,406
|
|
|
4.20
|
|
|
21,463,558
|
|
|
672,468
|
|
|
4.19
|
|
||||
Commercial real estate
|
11,019,877
|
|
|
349,859
|
|
|
4.24
|
|
|
10,115,149
|
|
|
337,980
|
|
|
4.47
|
|
||||
Consumer
|
9,057,052
|
|
|
261,784
|
|
|
3.86
|
|
|
8,532,595
|
|
|
250,191
|
|
|
3.92
|
|
||||
Total loans and leases
|
41,868,247
|
|
|
1,296,049
|
|
|
4.13
|
|
|
40,111,302
|
|
|
1,260,639
|
|
|
4.20
|
|
||||
Total interest-earning assets
|
55,706,505
|
|
|
1,470,524
|
|
|
3.53
|
|
|
53,931,467
|
|
|
1,372,863
|
|
|
3.40
|
|
||||
Cash and due from banks
|
601,264
|
|
|
|
|
|
|
639,049
|
|
|
|
|
|
||||||||
Allowance for loan losses
|
(605,145
|
)
|
|
|
|
|
|
(611,062
|
)
|
|
|
|
|
||||||||
Goodwill
|
1,014,129
|
|
|
|
|
|
|
1,014,129
|
|
|
|
|
|
||||||||
Core deposit and other intangibles
|
13,487
|
|
|
|
|
|
|
22,055
|
|
|
|
|
|
||||||||
Other assets
|
2,749,993
|
|
|
|
|
|
|
2,571,525
|
|
|
|
|
|
||||||||
Total assets
|
$
|
59,480,233
|
|
|
|
|
|
|
$
|
57,567,163
|
|
|
|
|
|
||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Savings and money market
|
$
|
25,604,575
|
|
|
$
|
28,020
|
|
|
0.15
|
%
|
|
$
|
24,470,254
|
|
|
$
|
29,083
|
|
|
0.16
|
%
|
Time
|
2,230,373
|
|
|
7,905
|
|
|
0.47
|
|
|
2,304,572
|
|
|
7,447
|
|
|
0.43
|
|
||||
Foreign
|
163,360
|
|
|
338
|
|
|
0.28
|
|
|
373,390
|
|
|
437
|
|
|
0.16
|
|
||||
Total interest-bearing deposits
|
27,998,308
|
|
|
36,263
|
|
|
0.17
|
|
|
27,148,216
|
|
|
36,967
|
|
|
0.18
|
|
||||
Borrowed funds:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Federal funds and other short-term borrowings
|
385,677
|
|
|
634
|
|
|
0.22
|
|
|
215,088
|
|
|
228
|
|
|
0.14
|
|
||||
Long-term debt
|
759,448
|
|
|
28,773
|
|
|
5.06
|
|
|
1,063,288
|
|
|
56,290
|
|
|
7.08
|
|
||||
Total borrowed funds
|
1,145,125
|
|
|
29,407
|
|
|
3.43
|
|
|
1,278,376
|
|
|
56,518
|
|
|
5.91
|
|
||||
Total interest-bearing liabilities
|
29,143,433
|
|
|
65,670
|
|
|
0.30
|
|
|
28,426,592
|
|
|
93,485
|
|
|
0.44
|
|
||||
Noninterest-bearing deposits
|
22,063,908
|
|
|
|
|
|
|
21,033,053
|
|
|
|
|
|
||||||||
Other liabilities
|
614,969
|
|
|
|
|
|
|
584,672
|
|
|
|
|
|
||||||||
Total liabilities
|
51,822,310
|
|
|
|
|
|
|
50,044,317
|
|
|
|
|
|
||||||||
Shareholders’ equity:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Preferred equity
|
772,083
|
|
|
|
|
|
|
1,004,035
|
|
|
|
|
|
||||||||
Common equity
|
6,885,840
|
|
|
|
|
|
|
6,518,811
|
|
|
|
|
|
||||||||
Total shareholders’ equity
|
7,657,923
|
|
|
|
|
|
|
7,522,846
|
|
|
|
|
|
||||||||
Total liabilities and shareholders’ equity
|
$
|
59,480,233
|
|
|
|
|
|
|
$
|
57,567,163
|
|
|
|
|
|
||||||
Spread on average interest-bearing funds
|
|
|
|
|
3.23
|
%
|
|
|
|
|
|
2.96
|
%
|
||||||||
Taxable-equivalent net interest income and net yield on interest-earning assets
|
|
|
$
|
1,404,854
|
|
|
3.37
|
%
|
|
|
|
$
|
1,279,378
|
|
|
3.17
|
%
|
1
|
Taxable-equivalent rates used where applicable.
|
2
|
Net of unearned income and fees, net of related costs. Loans include nonaccrual and restructured loans.
|
|
September 30, 2016
|
|
December 31, 2015
|
||||||||||||||||||||
(In millions)
|
Par value
|
|
Amortized
cost
|
|
Estimated
fair
value
|
|
Par value
|
|
Amortized
cost
|
|
Estimated
fair
value
|
||||||||||||
Held-to-maturity
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Municipal securities
|
$
|
716
|
|
|
$
|
715
|
|
|
$
|
718
|
|
|
$
|
546
|
|
|
$
|
546
|
|
|
$
|
552
|
|
|
716
|
|
|
715
|
|
|
718
|
|
|
546
|
|
|
546
|
|
|
552
|
|
||||||
Available-for-sale
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Government agencies and corporations:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Agency securities
|
1,835
|
|
|
1,834
|
|
|
1,857
|
|
|
1,233
|
|
|
1,232
|
|
|
1,233
|
|
||||||
Agency guaranteed mortgage-backed securities
|
5,241
|
|
|
5,439
|
|
|
5,474
|
|
|
3,810
|
|
|
3,965
|
|
|
3,936
|
|
||||||
Small Business Administration loan-backed securities
|
1,973
|
|
|
2,193
|
|
|
2,186
|
|
|
1,741
|
|
|
1,933
|
|
|
1,931
|
|
||||||
Municipal securities
|
691
|
|
|
769
|
|
|
778
|
|
|
387
|
|
|
417
|
|
|
419
|
|
||||||
Other debt securities
|
25
|
|
|
25
|
|
|
23
|
|
|
25
|
|
|
25
|
|
|
23
|
|
||||||
|
9,765
|
|
|
10,260
|
|
|
10,318
|
|
|
7,196
|
|
|
7,572
|
|
|
7,542
|
|
||||||
Money market mutual funds and other
|
40
|
|
|
40
|
|
|
40
|
|
|
101
|
|
|
101
|
|
|
101
|
|
||||||
|
9,805
|
|
|
10,300
|
|
|
10,358
|
|
|
7,297
|
|
|
7,673
|
|
|
7,643
|
|
||||||
Total
|
$
|
10,521
|
|
|
$
|
11,015
|
|
|
$
|
11,076
|
|
|
$
|
7,843
|
|
|
$
|
8,219
|
|
|
$
|
8,195
|
|
(In millions)
|
September 30,
2016 |
|
December 31,
2015 |
||||||||
|
|
|
|
|
|
|
|
||||
Loans and leases
|
|
$
|
753
|
|
|
|
|
$
|
676
|
|
|
Held-to-maturity – municipal securities
|
|
715
|
|
|
|
|
546
|
|
|
||
Available-for-sale – municipal securities
|
|
778
|
|
|
|
|
419
|
|
|
||
Trading account – municipal securities
|
|
97
|
|
|
|
|
33
|
|
|
||
Unfunded lending commitments
|
|
109
|
|
|
|
|
119
|
|
|
||
Total direct exposure to municipalities
|
|
$
|
2,452
|
|
|
|
|
$
|
1,793
|
|
|
|
September 30, 2016
|
|
December 31, 2015
|
||||||||||
(Amounts in millions)
|
Amount
|
|
% of
total loans
|
|
Amount
|
|
% of
total loans
|
||||||
Commercial:
|
|
|
|
|
|
|
|
||||||
Commercial and industrial
|
$
|
13,543
|
|
|
31.8
|
%
|
|
$
|
13,211
|
|
|
32.5
|
%
|
Leasing
|
439
|
|
|
1.0
|
|
|
442
|
|
|
1.1
|
|
||
Owner occupied
|
6,889
|
|
|
16.2
|
|
|
7,150
|
|
|
17.6
|
|
||
Municipal
|
753
|
|
|
1.8
|
|
|
676
|
|
|
1.7
|
|
||
Total commercial
|
21,624
|
|
|
50.8
|
|
|
21,479
|
|
|
52.9
|
|
||
Commercial real estate:
|
|
|
|
|
|
|
|
||||||
Construction and land development
|
2,147
|
|
|
5.0
|
|
|
1,842
|
|
|
4.5
|
|
||
Term
|
9,303
|
|
|
21.9
|
|
|
8,514
|
|
|
21.0
|
|
||
Total commercial real estate
|
11,450
|
|
|
26.9
|
|
|
10,356
|
|
|
25.5
|
|
||
Consumer:
|
|
|
|
|
|
|
|
||||||
Home equity credit line
|
2,581
|
|
|
6.1
|
|
|
2,417
|
|
|
5.9
|
|
||
1-4 family residential
|
5,785
|
|
|
13.6
|
|
|
5,382
|
|
|
13.2
|
|
||
Construction and other consumer real estate
|
453
|
|
|
1.1
|
|
|
385
|
|
|
0.9
|
|
||
Bankcard and other revolving plans
|
458
|
|
|
1.1
|
|
|
444
|
|
|
1.1
|
|
||
Other
|
189
|
|
|
0.4
|
|
|
187
|
|
|
0.5
|
|
||
Total consumer
|
9,466
|
|
|
22.3
|
|
|
8,815
|
|
|
21.6
|
|
||
Total net loans
|
$
|
42,540
|
|
|
100.0
|
%
|
|
$
|
40,650
|
|
|
100.0
|
%
|
(In millions)
|
September 30,
2016 |
|
December 31,
2015 |
||||||||
|
|
|
|
|
|
|
|
||||
Bank-owned life insurance
|
|
$
|
494
|
|
|
|
|
$
|
486
|
|
|
Federal Home Loan Bank stock
|
|
40
|
|
|
|
|
68
|
|
|
||
Federal Reserve stock
|
|
181
|
|
|
|
|
123
|
|
|
||
Farmer Mac stock
|
|
32
|
|
|
|
|
25
|
|
|
||
SBIC investments
|
|
129
|
|
|
|
|
113
|
|
|
||
Non-SBIC investment funds
|
|
14
|
|
|
|
|
24
|
|
|
||
Others
|
|
4
|
|
|
|
|
9
|
|
|
||
|
|
$
|
894
|
|
|
|
|
$
|
848
|
|
|
(Amounts in millions)
|
September 30, 2016
|
|
Percent
guaranteed
|
|
December 31, 2015
|
|
Percent
guaranteed
|
||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Commercial
|
|
$
|
525
|
|
|
|
|
76
|
%
|
|
|
|
$
|
536
|
|
|
|
|
76
|
%
|
|
Commercial real estate
|
|
18
|
|
|
|
|
76
|
|
|
|
|
17
|
|
|
|
|
77
|
|
|
||
Consumer
|
|
18
|
|
|
|
|
91
|
|
|
|
|
16
|
|
|
|
|
90
|
|
|
||
Total loans
|
|
$
|
561
|
|
|
|
|
76
|
|
|
|
|
$
|
569
|
|
|
|
|
76
|
|
|
|
September 30, 2016
|
|
December 31, 2015
|
||||||||||
(Amounts in millions)
|
Amount
|
|
Percent
|
|
Amount
|
|
Percent
|
||||||
|
|
|
|
|
|
|
|
||||||
Real estate, rental and leasing
|
$
|
2,527
|
|
|
11.7
|
%
|
|
$
|
2,355
|
|
|
11.0
|
%
|
Manufacturing
|
2,213
|
|
|
10.2
|
|
|
2,338
|
|
|
10.9
|
|
||
Retail trade
|
2,120
|
|
|
9.8
|
|
|
2,025
|
|
|
9.4
|
|
||
Mining, quarrying and oil and gas extraction
|
1,505
|
|
|
7.0
|
|
|
1,820
|
|
|
8.5
|
|
||
Healthcare and social assistance
|
1,475
|
|
|
6.8
|
|
|
1,361
|
|
|
6.3
|
|
||
Wholesale trade
|
1,464
|
|
|
6.8
|
|
|
1,644
|
|
|
7.6
|
|
||
Finance and insurance
|
1,443
|
|
|
6.7
|
|
|
1,325
|
|
|
6.2
|
|
||
Transportation and warehousing
|
1,296
|
|
|
6.0
|
|
|
1,219
|
|
|
5.7
|
|
||
Construction
|
1,084
|
|
|
5.0
|
|
|
1,087
|
|
|
5.1
|
|
||
Accommodation and food services
|
942
|
|
|
4.4
|
|
|
964
|
|
|
4.5
|
|
||
Other services (except Public Administration)
|
872
|
|
|
4.0
|
|
|
862
|
|
|
4.0
|
|
||
Professional, scientific and technical services
|
846
|
|
|
3.9
|
|
|
860
|
|
|
4.0
|
|
||
Utilities
1
|
813
|
|
|
3.8
|
|
|
775
|
|
|
3.6
|
|
||
Other
2
|
3,024
|
|
|
13.9
|
|
|
2,844
|
|
|
13.2
|
|
||
Total
|
$
|
21,624
|
|
|
100.0
|
%
|
|
$
|
21,479
|
|
|
100.0
|
%
|
1
|
Includes primarily utilities, power, and renewable energy
.
|
2
|
No other industry group exceeds 3%.
|
(Amounts in millions)
|
|
September 30,
2016 |
|
June 30, 2016
|
|
March 31, 2016
|
|
December 31, 2015
|
|
September 30, 2015
|
||||||||||
Loans and leases
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Upstream – exploration and production
|
|
$
|
752
|
|
|
$
|
831
|
|
|
$
|
859
|
|
|
$
|
817
|
|
|
$
|
924
|
|
Midstream – marketing and transportation
|
|
623
|
|
|
658
|
|
|
649
|
|
|
621
|
|
|
626
|
|
|||||
Downstream – refining
|
|
123
|
|
|
131
|
|
|
129
|
|
|
127
|
|
|
124
|
|
|||||
Other non-services
|
|
44
|
|
|
45
|
|
|
43
|
|
|
44
|
|
|
55
|
|
|||||
Oilfield services
|
|
596
|
|
|
712
|
|
|
734
|
|
|
784
|
|
|
825
|
|
|||||
Oil and gas service manufacturing
|
|
176
|
|
|
193
|
|
|
229
|
|
|
229
|
|
|
251
|
|
|||||
Total loan and lease balances
2
|
|
2,314
|
|
|
2,570
|
|
|
2,643
|
|
|
2,622
|
|
|
2,805
|
|
|||||
Unfunded lending commitments
|
|
1,784
|
|
|
1,823
|
|
|
2,021
|
|
|
2,151
|
|
|
2,341
|
|
|||||
Total oil and gas credit exposure
|
|
$
|
4,098
|
|
|
$
|
4,393
|
|
|
$
|
4,664
|
|
|
$
|
4,773
|
|
|
$
|
5,146
|
|
Private equity investments
|
|
$
|
6
|
|
|
$
|
6
|
|
|
$
|
12
|
|
|
$
|
13
|
|
|
$
|
17
|
|
Credit quality measures
2
|
|
|
|
|
|
|
|
|
|
|
|||||
Criticized loan ratio
|
|
41.8
|
%
|
|
37.8
|
%
|
|
37.5
|
%
|
|
30.3
|
%
|
|
23.2
|
%
|
Classified loan ratio
|
|
33.1
|
%
|
|
31.5
|
%
|
|
26.9
|
%
|
|
19.7
|
%
|
|
15.7
|
%
|
Nonaccrual loan ratio
|
|
15.0
|
%
|
|
11.1
|
%
|
|
10.8
|
%
|
|
2.5
|
%
|
|
3.0
|
%
|
Ratio of nonaccrual loans that are current
|
|
87.3
|
%
|
|
89.2
|
%
|
|
90.6
|
%
|
|
71.2
|
%
|
|
45.2
|
%
|
Net charge-off ratio, annualized
3
|
|
7.1
|
%
|
|
5.8
|
%
|
|
5.4
|
%
|
|
3.7
|
%
|
|
2.4
|
%
|
1
|
Because many borrowers operate in multiple businesses, judgment has been applied in characterizing a borrower as oil and gas-related, including a particular segment of oil and gas-related activity, e.g., upstream or downstream; typically, 50% of revenues coming from the oil and gas sector is used as a guide.
|
3
|
Calculated as the ratio of annualized net charge-offs, for each respective period, to loan balances at each period end.
|
(Amounts in millions)
|
|
Collateral Location
|
|
|
|
|
||||||||||||||||||||||||||||||||||
Loan type
|
As of
date
|
|
Arizona
|
|
California
|
|
Colorado
|
|
Nevada
|
|
Texas
|
|
Utah/
Idaho
|
|
Wash-ington
|
|
Other
1
|
|
Total
|
|
% of
total
CRE
|
|||||||||||||||||||
Commercial term
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
Balance outstanding
|
9/30/2016
|
|
$
|
1,233
|
|
|
$
|
3,161
|
|
|
$
|
389
|
|
|
$
|
578
|
|
|
$
|
1,705
|
|
|
$
|
1,339
|
|
|
$
|
303
|
|
|
$
|
595
|
|
|
$
|
9,303
|
|
|
81.2
|
%
|
% of loan type
|
|
|
13.3
|
%
|
|
34.0
|
%
|
|
4.2
|
%
|
|
6.2
|
%
|
|
18.3
|
%
|
|
14.4
|
%
|
|
3.2
|
%
|
|
6.4
|
%
|
|
100.0
|
%
|
|
|
||||||||||
Delinquency rates
2
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
30-89 days
|
9/30/2016
|
|
0.3
|
%
|
|
0.5
|
%
|
|
0.8
|
%
|
|
—
|
%
|
|
—
|
%
|
|
0.1
|
%
|
|
0.2
|
%
|
|
0.2
|
%
|
|
0.3
|
%
|
|
|
||||||||||
|
12/31/2015
|
|
0.1
|
%
|
|
0.1
|
%
|
|
0.3
|
%
|
|
0.1
|
%
|
|
0.1
|
%
|
|
—
|
%
|
|
0.2
|
%
|
|
0.2
|
%
|
|
0.1
|
%
|
|
|
||||||||||
≥ 90 days
|
9/30/2016
|
|
0.3
|
%
|
|
0.3
|
%
|
|
0.2
|
%
|
|
0.1
|
%
|
|
—
|
%
|
|
0.2
|
%
|
|
—
|
%
|
|
0.7
|
%
|
|
0.2
|
%
|
|
|
||||||||||
|
12/31/2015
|
|
—
|
%
|
|
0.5
|
%
|
|
1.6
|
%
|
|
0.1
|
%
|
|
0.1
|
%
|
|
0.2
|
%
|
|
1.0
|
%
|
|
0.9
|
%
|
|
0.4
|
%
|
|
|
||||||||||
Accruing loans past due 90 days or more
|
9/30/2016
|
|
$
|
1
|
|
|
$
|
10
|
|
|
$
|
1
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
3
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
15
|
|
|
|
|
|
12/31/2015
|
|
—
|
|
|
15
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3
|
|
|
3
|
|
|
1
|
|
|
22
|
|
|
|
||||||||||
Nonaccrual loans
|
9/30/2016
|
|
$
|
9
|
|
|
$
|
10
|
|
|
$
|
—
|
|
|
$
|
2
|
|
|
$
|
—
|
|
|
$
|
1
|
|
|
$
|
—
|
|
|
$
|
5
|
|
|
$
|
27
|
|
|
|
|
|
12/31/2015
|
|
17
|
|
|
4
|
|
|
8
|
|
|
3
|
|
|
1
|
|
|
1
|
|
|
—
|
|
|
6
|
|
|
40
|
|
|
|
||||||||||
Residential construction and land development
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
Balance outstanding
|
9/30/2016
|
|
$
|
35
|
|
|
$
|
375
|
|
|
$
|
89
|
|
|
$
|
11
|
|
|
$
|
255
|
|
|
$
|
47
|
|
|
$
|
8
|
|
|
$
|
3
|
|
|
$
|
823
|
|
|
7.2
|
%
|
% of loan type
|
|
|
4.2
|
%
|
|
45.6
|
%
|
|
10.8
|
%
|
|
1.3
|
%
|
|
31.0
|
%
|
|
5.7
|
%
|
|
1.0
|
%
|
|
0.4
|
%
|
|
100.0
|
%
|
|
|
||||||||||
Delinquency rates
2
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
30-89 days
|
9/30/2016
|
|
2.3
|
%
|
|
—
|
%
|
|
1.5
|
%
|
|
—
|
%
|
|
2.5
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
1.0
|
%
|
|
|
||||||||||
|
12/31/2015
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
0.3
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
0.1
|
%
|
|
|
||||||||||
≥ 90 days
|
9/30/2016
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
|
||||||||||
|
12/31/2015
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
0.5
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
0.2
|
%
|
|
|
||||||||||
Accruing loans past due 90 days or more
|
9/30/2016
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
12/31/2015
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
||||||||||
Nonaccrual loans
|
9/30/2016
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2
|
|
|
|
|
|
12/31/2015
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3
|
|
|
|
||||||||||
Commercial construction and land development
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||
Balance outstanding
|
9/30/2016
|
|
$
|
104
|
|
|
$
|
236
|
|
|
$
|
98
|
|
|
$
|
59
|
|
|
$
|
507
|
|
|
$
|
225
|
|
|
$
|
59
|
|
|
$
|
36
|
|
|
$
|
1,324
|
|
|
11.6
|
%
|
% of loan type
|
|
|
7.8
|
%
|
|
17.8
|
%
|
|
7.4
|
%
|
|
4.5
|
%
|
|
38.3
|
%
|
|
17.0
|
%
|
|
4.5
|
%
|
|
2.7
|
%
|
|
100.0
|
%
|
|
|
||||||||||
Delinquency rates
2
:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
30-89 days
|
9/30/2016
|
|
—
|
%
|
|
—
|
%
|
|
16.5
|
%
|
|
—
|
%
|
|
2.1
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
1.8
|
%
|
|
|
||||||||||
|
12/31/2015
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
0.1
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
|
||||||||||
≥ 90 days
|
9/30/2016
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
0.4
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
|
||||||||||
|
12/31/2015
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
—
|
%
|
|
0.7
|
%
|
|
0.4
|
%
|
|
—
|
%
|
|
—
|
%
|
|
0.4
|
%
|
|
|
||||||||||
Accruing loans past due 90 days or more
|
9/30/2016
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
12/31/2015
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
|
||||||||||
Nonaccrual loans
|
9/30/2016
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
2
|
|
|
|
|
|
12/31/2015
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4
|
|
|
|
||||||||||
Total construction and land development
|
9/30/2016
|
|
$
|
139
|
|
|
$
|
611
|
|
|
$
|
187
|
|
|
$
|
70
|
|
|
$
|
762
|
|
|
$
|
272
|
|
|
$
|
67
|
|
|
$
|
39
|
|
|
$
|
2,147
|
|
|
|
|
Total commercial real estate
|
9/30/2016
|
|
$
|
1,372
|
|
|
$
|
3,772
|
|
|
$
|
576
|
|
|
$
|
648
|
|
|
$
|
2,467
|
|
|
$
|
1,611
|
|
|
$
|
370
|
|
|
$
|
634
|
|
|
$
|
11,450
|
|
|
100.0
|
%
|
1
|
No other geography exceeds $89 million for all three loan types.
|
2
|
Delinquency rates include nonaccrual loans.
|
(In millions)
|
September 30, 2016
|
|
December 31, 2015
|
||||
|
|
|
|
||||
Secured by first deeds of trust
|
$
|
1,352
|
|
|
$
|
1,268
|
|
Secured by second (or junior) liens
|
1,229
|
|
|
1,149
|
|
||
Total
|
$
|
2,581
|
|
|
$
|
2,417
|
|
(Amounts in millions)
|
September 30,
2016 |
|
December 31,
2015 |
||||
|
|
|
|
||||
Nonaccrual loans
1
|
$
|
579
|
|
|
$
|
350
|
|
Other real estate owned
|
8
|
|
|
7
|
|
||
Total nonperforming assets
|
$
|
587
|
|
|
$
|
357
|
|
Ratio of nonperforming assets to net loans and leases
1
and other real estate owned
|
1.37
|
%
|
|
0.87
|
%
|
||
Accruing loans past due 90 days or more
|
$
|
29
|
|
|
$
|
32
|
|
Ratio of accruing loans past due 90 days or more to loans and leases
1
|
0.07
|
%
|
|
0.08
|
%
|
||
Nonaccrual loans and accruing loans past due 90 days or more
|
$
|
608
|
|
|
$
|
382
|
|
Ratio of nonaccrual loans and accruing loans past due 90 days or more to loans and leases
1
|
1.42
|
%
|
|
0.94
|
%
|
||
Accruing loans past due 30-89 days
|
$
|
164
|
|
|
$
|
122
|
|
Nonaccrual loans current as to principal and interest payments
|
76.8
|
%
|
|
62.1
|
%
|
(In millions)
|
|
September 30,
2016 |
|
December 31,
2015 |
||||||||
|
|
|
|
|
|
|
|
|
||||
Restructured loans – accruing
|
|
|
$
|
170
|
|
|
|
|
$
|
194
|
|
|
Restructured loans – nonaccruing
|
|
|
125
|
|
|
|
|
103
|
|
|
||
Total
|
|
|
$
|
295
|
|
|
|
|
$
|
297
|
|
|
|
Three Months Ended
September 30, |
|
Nine Months Ended
September 30, |
||||||||||||
(In millions)
|
2016
|
|
2015
|
|
2016
|
|
2015
|
||||||||
|
|
|
|
|
|
|
|
||||||||
Balance at beginning of period
|
$
|
315
|
|
|
$
|
298
|
|
|
$
|
297
|
|
|
$
|
343
|
|
New identified TDRs and principal increases
|
40
|
|
|
31
|
|
|
142
|
|
|
83
|
|
||||
Payments and payoffs
|
(35
|
)
|
|
(27
|
)
|
|
(107
|
)
|
|
(115
|
)
|
||||
Charge-offs
|
(24
|
)
|
|
(6
|
)
|
|
(29
|
)
|
|
(11
|
)
|
||||
No longer reported as TDRs
|
—
|
|
|
(10
|
)
|
|
(7
|
)
|
|
(12
|
)
|
||||
Sales and other
|
(1
|
)
|
|
—
|
|
|
(1
|
)
|
|
(2
|
)
|
||||
Balance at end of period
|
$
|
295
|
|
|
$
|
286
|
|
|
$
|
295
|
|
|
$
|
286
|
|
(Amounts in millions)
|
Nine Months Ended September 30, 2016
|
|
Twelve Months Ended December 31, 2015
|
|
Nine Months Ended September 30, 2015
|
||||||
|
|
|
|
|
|
||||||
Loans and leases outstanding (net of unearned income)
|
$
|
42,540
|
|
|
$
|
40,650
|
|
|
$
|
40,113
|
|
Average loans and leases outstanding (net of unearned income)
|
$
|
41,868
|
|
|
$
|
40,171
|
|
|
$
|
40,111
|
|
Allowance for loan losses:
|
|
|
|
|
|
||||||
Balance at beginning of period
|
$
|
606
|
|
|
$
|
605
|
|
|
$
|
605
|
|
Provision charged (credited) to earnings
|
95
|
|
|
40
|
|
|
17
|
|
|||
Adjustment for FDIC-supported/PCI loans
|
—
|
|
|
—
|
|
|
—
|
|
|||
Charge-offs:
|
|
|
|
|
|
||||||
Commercial
|
(138
|
)
|
|
(111
|
)
|
|
(77
|
)
|
|||
Commercial real estate
|
(10
|
)
|
|
(14
|
)
|
|
(6
|
)
|
|||
Consumer
|
(11
|
)
|
|
(14
|
)
|
|
(10
|
)
|
|||
Total
|
(159
|
)
|
|
(139
|
)
|
|
(93
|
)
|
|||
Recoveries:
|
|
|
|
|
|
||||||
Commercial
|
36
|
|
|
55
|
|
|
39
|
|
|||
Commercial real estate
|
12
|
|
|
35
|
|
|
21
|
|
|||
Consumer
|
7
|
|
|
10
|
|
|
8
|
|
|||
Total
|
55
|
|
|
100
|
|
|
68
|
|
|||
Net loan and lease charge-offs
|
(104
|
)
|
|
(39
|
)
|
|
(25
|
)
|
|||
Balance at end of period
|
$
|
597
|
|
|
$
|
606
|
|
|
$
|
597
|
|
|
|
|
|
|
|
||||||
Ratio of annualized net charge-offs to average loans and leases
|
0.33
|
%
|
|
0.10
|
%
|
|
0.08
|
%
|
|||
Ratio of allowance for loan losses to net loans and leases, at period end
|
1.40
|
%
|
|
1.49
|
%
|
|
1.49
|
%
|
|||
Ratio of allowance for loan losses to nonperforming loans, at period end
|
103
|
%
|
|
173
|
%
|
|
166
|
%
|
|||
Ratio of allowance for loan losses to nonaccrual loans and accruing loans past due 90 days or more, at period end
|
98
|
%
|
|
159
|
%
|
|
151
|
%
|
Parallel change in interest rates
|
|
Trigger decline in EVE
|
|
Risk capacity decline in EVE
|
||
|
|
|
|
|
||
+/- 200 bps
|
|
8
|
%
|
|
10
|
%
|
+/- 400 bps
|
|
21
|
%
|
|
25
|
%
|
|
|
September 30, 2016
|
||||||||||
|
|
Fast
|
|
Slow
|
||||||||
Product
|
|
Effective duration (unchanged)
|
|
Effective duration (+200 bps)
|
|
Effective duration (unchanged)
|
|
Effective duration (+200 bps)
|
||||
|
|
|
|
|
|
|
|
|
||||
Demand deposits
|
|
2.2
|
%
|
|
1.4
|
%
|
|
2.7
|
%
|
|
2.2
|
%
|
Money market
|
|
1.5
|
%
|
|
1.2
|
%
|
|
1.9
|
%
|
|
1.6
|
%
|
Savings and interest-on-checking
|
|
2.8
|
%
|
|
2.0
|
%
|
|
3.4
|
%
|
|
2.7
|
%
|
|
|
September 30, 2016
|
|||||||||||||
|
|
Parallel shift in rates (in bps)
1
|
|||||||||||||
Repricing scenario
|
|
-100
|
|
0
|
|
+100
|
|
+200
|
|
+300
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|||||
Fast
|
|
(4.9
|
)%
|
|
—
|
%
|
|
4.6
|
%
|
|
7.8
|
%
|
|
9.5
|
%
|
Slow
|
|
(5.8
|
)%
|
|
—
|
%
|
|
7.5
|
%
|
|
14.2
|
%
|
|
20.1
|
%
|
1
|
Assumes rates cannot go below zero in the negative rate shift.
|
|
|
December 31, 2015
|
|||||||||||||
|
|
Parallel shift in rates (in bps)
1
|
|||||||||||||
Repricing scenario
|
|
-100
|
|
0
|
|
+100
|
|
+200
|
|
+300
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|||||
Fast
|
|
(4.2
|
)%
|
|
—
|
%
|
|
5.0
|
%
|
|
8.6
|
%
|
|
11.1
|
%
|
Slow
|
|
(5.0
|
)%
|
|
—
|
%
|
|
8.0
|
%
|
|
15.5
|
%
|
|
22.2
|
%
|
1
|
Assumes rates cannot go below zero in the negative rate shift.
|
|
|
September 30, 2016
|
|||||||||||||
Repricing scenario
|
|
-100 bps
|
|
0 bps
|
|
+100 bps
|
|
+200 bps
|
|
+300 bps
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|||||
Fast
|
|
8.3
|
%
|
|
—
|
%
|
|
(0.2
|
)%
|
|
(2.3
|
)%
|
|
(6.0
|
)%
|
Slow
|
|
6.9
|
%
|
|
—
|
%
|
|
3.3
|
%
|
|
5.1
|
%
|
|
5.7
|
%
|
|
|
December 31, 2015
|
|||||||||||||
Repricing scenario
|
|
-100 bps
|
|
0 bps
|
|
+100 bps
|
|
+200 bps
|
|
+300 bps
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|||||
Fast
|
|
(1.8
|
)%
|
|
—
|
%
|
|
0.4
|
%
|
|
(1.3
|
)%
|
|
(4.5
|
)%
|
Slow
|
|
(1.1
|
)%
|
|
—
|
%
|
|
3.9
|
%
|
|
6.1
|
%
|
|
7.2
|
%
|
PARENT ONLY CONDENSED BALANCE SHEETS
|
|||||||||||
(In thousands)
|
September 30,
2016 |
|
December 31,
2015 |
|
September 30,
2015 |
||||||
ASSETS
|
|
|
|
|
|
||||||
Cash and due from banks
|
$
|
39
|
|
|
$
|
18,375
|
|
|
$
|
19,105
|
|
Interest-bearing deposits
|
415,162
|
|
|
775,649
|
|
|
478,136
|
|
|||
Security resell agreements
|
—
|
|
|
100,000
|
|
|
650,000
|
|
|||
Investment securities:
|
|
|
|
|
|
||||||
Available-for-sale, at fair value
|
40,756
|
|
|
45,168
|
|
|
45,889
|
|
|||
Other noninterest-bearing investments
|
29,066
|
|
|
28,178
|
|
|
31,998
|
|
|||
Investments in subsidiaries:
|
|
|
|
|
|
||||||
Commercial bank
|
7,617,242
|
|
|
7,312,654
|
|
|
7,308,673
|
|
|||
Other subsidiaries
|
80,628
|
|
|
84,010
|
|
|
86,725
|
|
|||
Receivables from subsidiaries:
|
|
|
|
|
|
||||||
Commercial bank
|
—
|
|
|
—
|
|
|
6,000
|
|
|||
Other subsidiaries
|
60
|
|
|
60
|
|
|
60
|
|
|||
Other assets
|
152,806
|
|
|
78,728
|
|
|
72,844
|
|
|||
|
$
|
8,335,759
|
|
|
$
|
8,442,822
|
|
|
$
|
8,699,430
|
|
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
||||||
Other liabilities
|
$
|
86,851
|
|
|
$
|
123,849
|
|
|
$
|
122,691
|
|
Subordinated debt to affiliated trusts
|
36,083
|
|
|
164,950
|
|
|
164,950
|
|
|||
Long-term debt:
|
|
|
|
|
|
||||||
Due to affiliates
|
—
|
|
|
—
|
|
|
50
|
|
|||
Due to others
|
533,518
|
|
|
646,504
|
|
|
773,644
|
|
|||
Total liabilities
|
656,452
|
|
|
935,303
|
|
|
1,061,335
|
|
|||
Shareholders’ equity:
|
|
|
|
|
|
||||||
Preferred stock
|
709,601
|
|
|
828,490
|
|
|
1,004,159
|
|
|||
Common stock
|
4,747,912
|
|
|
4,766,731
|
|
|
4,756,288
|
|
|||
Retained earnings
|
2,211,793
|
|
|
1,966,910
|
|
|
1,894,623
|
|
|||
Accumulated other comprehensive income (loss)
|
10,001
|
|
|
(54,612
|
)
|
|
(16,975
|
)
|
|||
Total shareholders’ equity
|
7,679,307
|
|
|
7,507,519
|
|
|
7,638,095
|
|
|||
|
$
|
8,335,759
|
|
|
$
|
8,442,822
|
|
|
$
|
8,699,430
|
|
|
September 30,
2016 |
|
December 31,
2015 |
|
September 30,
2015 |
|||
|
|
|
|
|
|
|||
Tangible common equity ratio
|
9.91
|
%
|
|
9.63
|
%
|
|
9.76
|
%
|
Tangible equity ratio
|
11.09
|
%
|
|
11.05
|
%
|
|
11.51
|
%
|
Average equity to average assets (three months ended)
|
12.81
|
%
|
|
12.93
|
%
|
|
13.11
|
%
|
Basel III risk-based capital ratios
1
:
|
|
|
|
|
|
|||
Common equity tier 1 capital
|
12.04%
|
|
12.22%
|
|
12.16
|
%
|
||
Tier 1 leverage
|
11.27%
|
|
11.26%
|
|
11.63
|
%
|
||
Tier 1 risk-based
|
13.48%
|
|
14.08%
|
|
11.41
|
%
|
||
Total risk-based
|
15.31%
|
|
16.12%
|
|
16.46
|
%
|
||
Return on average common equity (three months ended)
|
6.66
|
%
|
|
5.17
|
%
|
|
5.02
|
%
|
Tangible return on average tangible common equity (three months ended)
|
7.88
|
%
|
|
6.20
|
%
|
|
6.05
|
%
|
1
|
Based on the applicable phase-in periods.
|
|
|
Three Months Ended
|
||||||||||
(Amounts in thousands)
|
|
September 30,
2016 |
|
December 31,
2015 |
|
September 30,
2015 |
||||||
|
|
|
|
|
|
|
||||||
Net earnings applicable to common shareholders (GAAP)
|
|
$
|
116,895
|
|
|
$
|
88,197
|
|
|
$
|
84,238
|
|
Adjustment, net of tax:
|
|
|
|
|
|
|
||||||
Amortization of core deposit and other intangibles
|
|
1,210
|
|
|
1,446
|
|
|
1,461
|
|
|||
Net earnings applicable to common shareholders, excluding the effects of the adjustment, net of tax (non-GAAP)
|
(a)
|
$
|
118,105
|
|
|
$
|
89,643
|
|
|
$
|
85,699
|
|
|
|
|
|
|
|
|
||||||
Average common equity (GAAP)
|
|
$
|
6,986,376
|
|
|
$
|
6,765,737
|
|
|
$
|
6,655,513
|
|
Average goodwill
|
|
(1,014,129
|
)
|
|
(1,014,129
|
)
|
|
(1,014,129
|
)
|
|||
Average core deposit and other intangibles
|
|
(11,576
|
)
|
|
(17,453
|
)
|
|
(19,726
|
)
|
|||
Average tangible common equity (non-GAAP)
|
(b)
|
$
|
5,960,671
|
|
|
$
|
5,734,155
|
|
|
$
|
5,621,658
|
|
|
|
|
|
|
|
|
||||||
Number of days in quarter
|
(c)
|
92
|
|
|
92
|
|
|
92
|
|
|||
Number of days in year
|
(d)
|
366
|
|
|
365
|
|
|
365
|
|
|||
|
|
|
|
|
|
|
||||||
Tangible return on average tangible common equity (non-GAAP)
|
(a/b/c)*d
|
7.88
|
%
|
|
6.20
|
%
|
|
6.05
|
%
|
(Amounts in thousands)
|
|
September 30,
2016 |
|
December 31,
2015 |
|
September 30,
2015 |
||||||
|
|
|
|
|
|
|
||||||
Total shareholders’ equity (GAAP)
|
|
$
|
7,679,307
|
|
|
$
|
7,507,519
|
|
|
$
|
7,638,095
|
|
Goodwill
|
|
(1,014,129
|
)
|
|
(1,014,129
|
)
|
|
(1,014,129
|
)
|
|||
Core deposit and other intangibles
|
|
(10,329
|
)
|
|
(16,272
|
)
|
|
(18,546
|
)
|
|||
Tangible equity (non-GAAP)
|
(a)
|
6,654,849
|
|
|
6,477,118
|
|
|
6,605,420
|
|
|||
Preferred stock
|
|
(709,601
|
)
|
|
(828,490
|
)
|
|
(1,004,159
|
)
|
|||
Tangible common equity (non-GAAP)
|
(b)
|
$
|
5,945,248
|
|
|
$
|
5,648,628
|
|
|
$
|
5,601,261
|
|
|
|
|
|
|
|
|
||||||
Total assets (GAAP)
|
|
$
|
61,038,860
|
|
|
$
|
59,664,543
|
|
|
$
|
58,405,718
|
|
Goodwill
|
|
(1,014,129
|
)
|
|
(1,014,129
|
)
|
|
(1,014,129
|
)
|
|||
Core deposit and other intangibles
|
|
(10,329
|
)
|
|
(16,272
|
)
|
|
(18,546
|
)
|
|||
Tangible assets (non-GAAP)
|
(c)
|
$
|
60,014,402
|
|
|
$
|
58,634,142
|
|
|
$
|
57,373,043
|
|
|
|
|
|
|
|
|
||||||
Common shares outstanding
|
(d)
|
203,850
|
|
|
204,417
|
|
|
204,279
|
|
|||
Tangible equity ratio
|
(a/c)
|
11.09
|
%
|
|
11.05
|
%
|
|
11.51
|
%
|
|||
Tangible common equity ratio
|
(b/c)
|
9.91
|
%
|
|
9.63
|
%
|
|
9.76
|
%
|
|||
Tangible book value per common share
|
(b/d)
|
$
|
29.16
|
|
|
$
|
27.63
|
|
|
$
|
27.42
|
|
(Amounts in thousands)
|
|
Three Months Ended
|
|
Six Months Ended
|
|
Nine Months Ended
|
||||||||||||||||||
|
September 30,
2016 |
|
June 30,
2016 |
|
September 30,
2015 |
|
September 30,
2016 |
|
September 30,
2015 |
|
September 30,
2016 |
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Noninterest expense (GAAP)
|
(a)
|
$
|
403,292
|
|
|
$
|
381,894
|
|
|
$
|
391,280
|
|
|
$
|
785,186
|
|
|
$
|
790,277
|
|
|
$
|
1,180,759
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Severance costs
|
|
481
|
|
|
201
|
|
|
3,464
|
|
|
682
|
|
|
5,171
|
|
|
4,153
|
|
||||||
Other real estate expense, net
|
|
(137
|
)
|
|
(527
|
)
|
|
(40
|
)
|
|
(664
|
)
|
|
(485
|
)
|
|
(1,993
|
)
|
||||||
Provision for unfunded lending commitments
|
|
(3,165
|
)
|
|
(4,246
|
)
|
|
1,428
|
|
|
(7,411
|
)
|
|
(898
|
)
|
|
(13,223
|
)
|
||||||
Debt extinguishment cost
|
|
—
|
|
|
106
|
|
|
—
|
|
|
106
|
|
|
2,395
|
|
|
353
|
|
||||||
Amortization of core deposit and other intangibles
|
|
1,951
|
|
|
1,979
|
|
|
2,298
|
|
|
3,930
|
|
|
4,616
|
|
|
5,944
|
|
||||||
Restructuring costs
|
|
356
|
|
|
47
|
|
|
1,630
|
|
|
403
|
|
|
2,309
|
|
|
1,399
|
|
||||||
Total adjustments
|
(b)
|
(514
|
)
|
|
(2,440
|
)
|
|
8,780
|
|
|
(2,954
|
)
|
|
13,108
|
|
|
(3,367
|
)
|
||||||
Adjusted noninterest expense
(non-GAAP)
|
(a-b)=(c)
|
$
|
403,806
|
|
|
$
|
384,334
|
|
|
$
|
382,500
|
|
|
$
|
788,140
|
|
|
$
|
777,169
|
|
|
$
|
1,184,126
|
|
Taxable-equivalent net interest income (GAAP)
|
(d)
|
$
|
475,699
|
|
|
$
|
470,913
|
|
|
$
|
429,782
|
|
|
$
|
946,612
|
|
|
$
|
857,797
|
|
|
$
|
1,404,854
|
|
Noninterest income (GAAP)
|
(e)
|
144,887
|
|
|
125,717
|
|
|
125,944
|
|
|
270,604
|
|
|
121,262
|
|
|
387,365
|
|
||||||
Combined income
|
(d+e)=(f)
|
620,586
|
|
|
596,630
|
|
|
555,726
|
|
|
1,217,216
|
|
|
979,059
|
|
|
1,792,219
|
|
||||||
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Fair value and nonhedge derivative income (loss)
|
|
(184
|
)
|
|
(1,910
|
)
|
|
(1,555
|
)
|
|
(2,094
|
)
|
|
289
|
|
|
(4,679
|
)
|
||||||
Equity securities gains, net
|
|
8,441
|
|
|
2,709
|
|
|
3,630
|
|
|
11,150
|
|
|
8,469
|
|
|
10,600
|
|
||||||
Fixed income securities gains (losses), net
|
|
39
|
|
|
25
|
|
|
(53
|
)
|
|
64
|
|
|
(138,489
|
)
|
|
92
|
|
||||||
Total adjustments
|
(g)
|
8,296
|
|
|
824
|
|
|
2,022
|
|
|
9,120
|
|
|
(129,731
|
)
|
|
6,013
|
|
||||||
Adjusted taxable-equivalent revenue (non-GAAP)
|
(f-g)=(h)
|
$
|
612,290
|
|
|
$
|
595,806
|
|
|
$
|
553,704
|
|
|
$
|
1,208,096
|
|
|
$
|
1,108,790
|
|
|
$
|
1,786,206
|
|
Adjusted pre-provision net revenue (PPNR)
|
(h-c)
|
$
|
208,484
|
|
|
$
|
211,472
|
|
|
$
|
171,204
|
|
|
$
|
419,956
|
|
|
$
|
331,621
|
|
|
$
|
602,080
|
|
Efficiency ratio
1
|
(c/h)
|
66.0
|
%
|
|
64.5
|
%
|
|
69.1
|
%
|
|
65.2
|
%
|
|
70.1
|
%
|
|
66.3
|
%
|
ITEM 3.
|
QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
|
ITEM 4.
|
CONTROLS AND PROCEDURES
|
PART II.
|
OTHER INFORMATION
|
ITEM 1.
|
LEGAL PROCEEDINGS
|
ITEM 1A.
|
RISK FACTORS
|
ITEM 2.
|
UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
|
Period
|
|
Total number
of shares
repurchased
1
|
|
Average
price paid
per share
|
|
Total number of shares
purchased as part of
publicly announced
plans or programs
|
|
Approximate dollar
value of shares that
may yet be purchased
under the plan
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
July
|
|
|
1,224
|
|
|
|
$
|
24.92
|
|
|
|
—
|
|
|
|
|
$
|
180,000,000
|
|
|
August
|
|
|
822
|
|
|
|
28.34
|
|
|
|
—
|
|
|
|
|
180,000,000
|
|
|
||
September
|
|
|
1,471,644
|
|
|
|
30.64
|
|
|
|
1,468,800
|
|
|
|
|
135,000,000
|
|
|
||
Third quarter
|
|
|
1,473,690
|
|
|
|
30.63
|
|
|
|
1,468,800
|
|
|
|
|
|
|
1
|
Represents common shares acquired from employees in connection with our stock compensation plan. Shares were acquired from employees to pay for their payroll taxes and stock option exercise cost upon the vesting of restricted stock and restricted stock units, and the exercise of stock options, under provisions of an employee share-based compensation plan.
|
ITEM 6.
|
EXHIBITS
|
Exhibit
Number
|
|
Description
|
|
|
|
|
|
3.1
|
|
Restated Articles of Incorporation of Zions Bancorporation dated July 8, 2014, incorporated by reference to Exhibit 3.1 of Form 8-K/A filed on July 18, 2014.
|
*
|
|
|
|
|
3.2
|
|
Restated Bylaws of Zions Bancorporation dated February 27, 2015, incorporated by reference to Exhibit 3.2 of Form 10-Q for the quarter ended March 31, 2015.
|
*
|
|
|
|
|
10.1
|
|
Zions Bancorporation 2016-2018 Value Sharing Plan (filed herewith).
|
|
|
|
|
|
31.1
|
|
Certification by Chief Executive Officer required by Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934 (filed herewith).
|
|
|
|
|
|
31.2
|
|
Certification by Chief Financial Officer required by Rules 13a-15(f) and 15d-15(f) under the Securities Exchange Act of 1934 (filed herewith).
|
|
|
|
|
|
32
|
|
Certification by Chief Executive Officer and Chief Financial Officer required by Sections 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934 (15 U.S.C. 78m) and 18 U.S.C. Section 1350 (furnished herewith).
|
|
|
|
|
|
101
|
|
Interactive data files pursuant to Rule 405 of Regulation S-T: (i) the Consolidated Balance Sheets as of September 30, 2016 and December 31, 2015, (ii) the Consolidated Statements of Income for the three months ended September 30, 2016 and September 30, 2015 and the nine months ended September 30, 2016 and September 30, 2015, (iii) the Consolidated Statements of Comprehensive Income for the three months ended September 30, 2016 and September 30, 2015 and the nine months ended September 30, 2016 and September 30, 2015, (iv) the Consolidated Statements of Changes in Shareholders’ Equity for the nine months ended September 30, 2016 and September 30, 2015, (v) the Consolidated Statements of Cash Flows for the three months ended September 30, 2016 and September 30, 2015 and the nine months ended September 30, 2016 and September 30, 2015, and (vi) the Notes to Consolidated Financial Statements (filed herewith).
|
|
|
ZIONS BANCORPORATION
|
|
/s/ Harris H. Simmons
|
Harris H. Simmons, Chairman and
Chief Executive Officer
|
|
/s/ Paul E. Burdiss
|
Paul E. Burdiss, Executive Vice President and Chief Financial Officer
|
1)
|
Establishment of Award Fund
|
•
|
Total Non-Interest Expenses below $1.58 billion for 2016; and
|
•
|
Efficiency Ratio below 66% for 2016 and the low 60’s for 2017.
|
1.)
|
Zions Bancorporation’s Adjusted Pre-tax Pre-Provision Earnings (“PTPP Earnings”) – 20%;
|
2.)
|
Zions Bancorporation’s Net Charge-Offs – 20%;
|
3.)
|
Zions Bancorporation’s Adjusted Total Non-Interest Expense – 15%;
|
4.)
|
Zions Bancorporation’s Adjusted Non-Interest Income – 15%;
|
5.)
|
Zions Bancorporation’s Return on Average Assets (relative to Zions Bancorporation peer companies) – 15%; and,
|
6.)
|
Zions Bancorporation’s Risk Adjusted Net Interest Margin (relative to Zions Bancorporation peer companies) – 15%.
|
2)
|
Participation Units
|
3)
|
Initial Nominal Value Determination:
|
4)
|
Final Cash Settlement of the Initial Nominal Values:
|
5)
|
Definitions of Factors:
|
▪
|
Equity securities gains (losses)
|
▪
|
Fixed income securities gains (losses)
|
▪
|
Net impairment losses on investment securities
|
▪
|
Debt extinguishment costs
|
▪
|
Income and expense associated with FDIC supported loan portfolios
|
▪
|
Fair value and nonhedge derivative income (losses)
|
▪
|
Provision for unfunded lending commitments
|
▪
|
Severance and/or other appropriate restructuring costs
|
▪
|
Transactions costs related to matters that result in after-tax benefits for the Company
Plus or (minus), |
•
|
any adjustment deemed necessary by the Committee to normalize PTPP Earnings as a result of unusual and extraordinary changes in internal cost or income allocations during the Performance Period resulting from reclassifications or changes in allocation methodologies which produce material changes in costs or income which are not offset by a corresponding change in income or costs within the Company;
|
•
|
any other adjustments, which, in the sole discretion of the Committee, are required to equitably reflect operating performance during the Performance Period.
|
B)
|
Net Charge Offs
will be calculated using the net charge-off amounts reflected in the Bank’s regulatory call reports for the relevant periods.
|
•
|
Income and expense associated with FDIC supported loan portfolios
|
•
|
Provision for unfunded lending commitments
|
•
|
Debt extinguishment costs
|
•
|
Severance and/or other appropriate restructuring costs
|
•
|
Transactions costs related to matters that result in after-tax benefits for the Company
|
•
|
Fair value and nonhedge derivative income (losses)
|
•
|
Equity securities gains (losses)
|
•
|
Fixed income securities gains (losses)
|
•
|
Net impairment losses on investment securities
|
•
|
FHLB/Federal Reserve dividends
|
•
|
BOLI gains/losses on sales of assets
|
4)
|
Other Administrative Provisions
|
(1)
|
This is a discretionary Plan governed and interpreted by the Committee, whose decisions shall be final
. The intent of the Plan is to fairly reward Participants for increasing shareholder value. If any adjustments need to be made to allow this Plan to accomplish its purpose, the Committee in its sole discretion can make those adjustments.
|
(2)
|
The Committee may, at its sole discretion, alter the terms of the Plan at any time during an Award Period.
|
(3)
|
Participants will not vest in any benefits available under the Plan until any payments hereunder are made after the conclusion of the Award Period.
|
(4)
|
A Participant must be employed by the Company or one of its affiliates at the time payment is made in order to receive a payout of Participant’s Unit award and if Participant ceases to be so employed at any time Participant’s Unit award shall automatically be forfeited and cancelled without consideration and without further action by Participant; provided, however, that
|
(i)
|
In the event of Participant’s termination by the Company or an affiliate or normal or early retirement, management or, if Participant is a member of the Executive Management Committee (or “EMC”), the Committee shall have the discretion to make a “Pro Rata Adjustment” to Participant’s Unit award, provided further that notwithstanding the foregoing any such adjusted Unit award shall automatically be forfeited and cancelled without consideration and without further action by Participant immediately upon (x) Participant’s commencement of, or agreement to commence, employment with or provision of services (whether as a director, consultant or otherwise) to another company that is in the financial services industry unless such employment or provision of services is specifically approved by management or the Committee, as the case may be, (y) Participant making any derogatory or damaging statements (verbally, in writing or otherwise) about the Company or any of its affiliates, the management or the board of directors of the Company or any affiliate, the products, services or business condition of the Company or any affiliate in any public way to anyone who could make those statements public or to customers of, vendors to or counterparties of the Company or any affiliate, or (z) Participant violating any duty of confidentiality owed to the Company or its affiliates under the policies or procedures of the Company and its affiliates, including the Company’s employee handbook, code of conduct and similar materials, or under federal or state law, or Participant misappropriating or misusing any proprietary information or assets of the Company and its affiliates, including intellectual property rights; and
|
(ii)
|
In the event of Participant’s “Termination of Employment” by reason of Participant’s death or “Disability”, a Pro Rata Adjustment shall be made to Participant’s unit award.
|
(5)
|
The Company shall retain the right to withhold payment of incentives otherwise earned under this Plan to any individual Participant or to all Participants as a group in the event of a significant deterioration in the Company’s or the Bank’s financial condition, if so required by regulatory authorities, or for any other reason considered valid by the Board in its sole discretion including but not limited to those set out in the Company’s Incentive Compensation Clawback Policy as in effect at any time during or subsequent to the Award Period.
|
(6)
|
The terms of this plan are subject to and limited by applicable law, including, without limitation, the Sarbanes Oxley Act of 2002, the Dodd-Frank Act, and regulations or guidance issued by the Board of Governors of the Federal Reserve System or other regulatory agencies.
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(7)
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Designation as a Participant in the Plan does not create a contract of employment for any specified time, nor shall such act to alter or amend the Company’s “at-will” policy of employment.
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(8)
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In the event a Participant transfers within Zions Bancorporation during the Award Period, management or, if Participant is a member of the EMC, the Committee shall have the discretion to maintain such Participant’s full Unit award under this plan, to divide and allocate such full award between Zions entities with which Participant has been employed during the Award Period or to transfer and allocate such award to a single other Zions entity with which Participant has been employed during the Award Period (and to make corresponding adjustments to Award Funds).
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(9)
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In the event of a change in control of the Company (as defined in the Company’s Change in Control Agreements), the Plan will be terminated and payments shall be made in accordance with the provisions of section 3 (b) of the Change in Control Agreements, provided that the reference in Section 3(b) to “average annual growth in Earnings per Share and the average Tangible Return on Equity” shall be deemed to refer to the award determination methodology set forth in this plan.
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(10)
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This document is intended to provide a guideline for the creation and distribution of incentive compensation. Nothing herein creates a contractual obligation binding on the Board or the Committee, and no Participant shall have any legal rights with respect to an Award until such Award is distributed.
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1.
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I have reviewed this quarterly report on Form 10-Q of Zions Bancorporation;
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2.
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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;
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3.
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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;
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4.
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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;
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b)
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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;
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c)
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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
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d)
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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
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5.
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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.
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|
/s/ Harris H. Simmons
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|
Harris H. Simmons, Chairman and Chief Executive Officer
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1.
|
I have reviewed this quarterly report on Form 10-Q of Zions Bancorporation;
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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/ Paul E. Burdiss
|
|
Paul E. Burdiss, Executive Vice President and Chief Financial Officer
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|
/s/ Harris H. Simmons
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|
|
Name:
|
Harris H. Simmons
|
|
Title:
|
Chairman and Chief Executive Officer
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|
|
|
|
/s/ Paul E. Burdiss
|
|
|
Name:
|
Paul E. Burdiss
|
|
Title:
|
Executive Vice President and Chief Financial Officer
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