|
Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the Fiscal Year Ended December 31, 2013
|
Large accelerated filer
|
þ
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|
Accelerated filer
|
¨
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Non-accelerated filer
|
¨
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Smaller reporting company
|
¨
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Page No.
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Item 1.
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Business
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Item 1A.
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Risk Factors
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Item 1B.
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Unresolved Staff Comments
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Item 2.
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Properties
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Item 3.
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Legal Proceedings
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Item 4.
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Mine Safety Disclosures
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Item 5.
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Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities
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Item 6.
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Selected Financial Data
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Item 7.
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Management's Discussion and Analysis of Financial Condition and Results of Operations
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Item 7A.
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Quantitative and Qualitative Disclosures About Market Risk
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Item 8.
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Financial Statements and Supplementary Data
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Item 9.
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Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
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Item 9A.
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Controls and Procedures
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Item 9B.
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Other Information
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Item 10.
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Directors, Executive Officers and Corporate Governance
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Item 11.
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Executive Compensation
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Item 12.
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Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters
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Item 13.
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Certain Relationships and Related Transactions, and Director Independence
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Item 14.
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Principal Accountant Fees and Services
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Item 15.
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Exhibits and Financial Statement Schedules
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|
|
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|
|
|
•
|
applying the same leverage and risk-based capital requirements that apply to insured depository institutions to most BHCs, savings and loan holding companies, and systemically important nonbank financial companies;
|
•
|
centralizing responsibility for consumer financial protection by creating a new independent agency, the CFPB, with responsibility for implementing, enforcing, and examining compliance with federal consumer financial laws;
|
•
|
requiring any interchange transaction fee charged for a debit transaction be “reasonable” and proportional to the cost incurred by the issuer for the transaction, with new regulations that establish such fee standards, eliminate exclusivity arrangements between issuers and networks for debit card transactions, and limit restrictions on merchant discounting for use of certain payment forms and minimum or maximum amount thresholds as a condition for acceptance of credit cards;
|
•
|
providing for the implementation of certain corporate governance provisions for all public companies concerning executive compensation;
|
•
|
increasing the FDIC’s deposit insurance limits permanently to $250,000 per depositor, per insured bank, for each account ownership category and changing the assessment base as well as increasing the reserve ratio for the Deposit Insurance Fund (“DIF”) to ensure the future strength of the DIF; and
|
•
|
reforming regulation of credit rating agencies.
|
•
|
4.5% CET1 to risk-weighted assets;
|
•
|
6.0% Tier 1 capital (that is, CET1 plus Additional Tier 1 capital) to risk-weighted assets;
|
•
|
8.0% Total capital (that is, Tier 1 capital plus Tier 2 capital) to risk-weighted assets; and
|
•
|
4.0% Tier 1 capital to average consolidated assets as reported on consolidated financial statements (known as the “leverage ratio”).
|
•
|
investors may have less confidence in the equity markets in general and in financial services industry stocks in particular, which could place downward pressure on our stock price and resulting market valuation;
|
•
|
economic and market developments may further affect consumer and business confidence levels and may cause declines in credit usage and adverse changes in payment patterns, causing increases in delinquencies and default rates;
|
•
|
our ability to assess the creditworthiness of our customers may be impaired if the models and approaches we use to select, manage, and underwrite our customers become less predictive of future behaviors;
|
•
|
we could suffer decreases in customer desire to do business with us, whether as a result of a decreased demand for loans or other financial products and services or decreased deposits or other investments in accounts with us;
|
•
|
competition in our industry could intensify as a result of the increasing consolidation of financial services companies in connection with current market conditions, or otherwise;
|
•
|
we face increased regulation of our industry, and compliance with such regulation may increase our costs and limit our ability to pursue business opportunities; and
|
•
|
we may be required to pay significantly higher FDIC deposit insurance premiums.
|
•
|
actual or anticipated variations in quarterly operating results;
|
•
|
recommendations by securities analysts;
|
•
|
operating and stock price performance of other companies that investors deem comparable to us;
|
•
|
news reports relating to trends, concerns and other issues in the financial services industry;
|
•
|
new technology used, or services offered, by competitors;
|
•
|
perceptions in the marketplace regarding us and/or our competitors;
|
•
|
significant acquisitions or business combinations, strategic partnerships, joint ventures or capital commitments by or involving us or our competitors;
|
•
|
failure to integrate acquisitions or realize anticipated benefits from acquisitions;
|
•
|
additional investments from third parties;
|
•
|
issuance of additional shares of stock;
|
•
|
changes in government regulations; or
|
•
|
geo-political conditions such as acts or threats of terrorism or military conflicts
.
|
•
|
the ability to develop, maintain and build upon long-term customer relationships based on top quality service, high ethical standards and safe, sound assets;
|
•
|
the ability to expand market position;
|
•
|
the scope, relevance and pricing of products and services offered to meet customer needs and demands;
|
•
|
the rate at which we introduce new products and services relative to our competitors;
|
•
|
customer satisfaction with our level of service; and
|
•
|
industry and general economic trends.
|
2013
|
High
|
Low
|
Cash Dividends Declared
|
||||||
Fourth quarter
|
$
|
31.32
|
|
$
|
24.64
|
|
$
|
0.15
|
|
Third quarter
|
28.29
|
|
24.53
|
|
0.15
|
|
|||
Second quarter
|
25.92
|
|
22.04
|
|
0.15
|
|
|||
First quarter
|
24.67
|
|
20.81
|
|
0.10
|
|
|||
|
|
|
|
||||||
2012
|
High
|
Low
|
Cash Dividends Declared
|
||||||
Fourth quarter
|
$
|
24.46
|
|
$
|
19.71
|
|
$
|
0.10
|
|
Third quarter
|
24.98
|
|
19.43
|
|
0.10
|
|
|||
Second quarter
|
23.11
|
|
18.88
|
|
0.10
|
|
|||
First quarter
|
23.94
|
|
20.15
|
|
0.05
|
|
Period
|
|
Total
Number of Shares Purchased (1) |
|
Average Price
Paid Per Share |
|
Maximum
Dollar Amount Available for Repurchase Under the Plans or Programs (1) |
|||||
October 1-31, 2013
|
|
9,363
|
|
|
$
|
26.54
|
|
|
$
|
50,000,000
|
|
November 1-30, 2013
|
|
—
|
|
|
—
|
|
|
50,000,000
|
|
||
December 1-31, 2013
|
|
424
|
|
|
29.52
|
|
|
50,000,000
|
|
||
Total
|
|
9,787
|
|
|
$
|
26.67
|
|
|
$
|
50,000,000
|
|
(1)
|
The Company's current stock repurchase program, which was announced on December 6, 2012, authorized the Company to repurchase $100 million of common stock. The program will remain in effect until fully utilized or until modified, superseded or terminated. As of
December 31, 2013
, there was $50 million of repurchase authority remaining. All
9,787
shares repurchased during the three months ended
December 31, 2013
were repurchased outside of the repurchase program in the open market to fund equity compensation plans.
|
|
Period Ending
|
|||||||||||||||||
Index
|
12/31/2008
|
12/31/2009
|
12/31/2010
|
12/31/2011
|
12/31/2012
|
12/31/2013
|
||||||||||||
Webster Financial Corporation
|
$
|
100
|
|
$
|
87
|
|
$
|
144
|
|
$
|
150
|
|
$
|
154
|
|
$
|
239
|
|
S&P 500 Index
|
$
|
100
|
|
$
|
126
|
|
$
|
145
|
|
$
|
149
|
|
$
|
172
|
|
$
|
228
|
|
KRX
|
$
|
100
|
|
$
|
78
|
|
$
|
94
|
|
$
|
89
|
|
$
|
101
|
|
$
|
148
|
|
|
At or for the years ended December 31,
|
||||||||||||||
(Dollars in thousands, except per share data)
|
2013
|
2012
|
2011
|
2010
|
2009
|
||||||||||
BALANCE SHEETS
|
|
|
|
|
|
||||||||||
Total assets
|
$
|
20,852,999
|
|
$
|
20,146,765
|
|
$
|
18,714,340
|
|
$
|
18,033,881
|
|
$
|
17,737,070
|
|
Loans and leases, net
|
12,547,203
|
|
11,851,567
|
|
10,991,917
|
|
10,696,532
|
|
10,692,253
|
|
|||||
Investment securities
|
6,465,652
|
|
6,243,689
|
|
5,848,491
|
|
5,486,229
|
|
4,784,912
|
|
|||||
Goodwill and other intangible assets, net
|
535,238
|
|
540,157
|
|
545,577
|
|
551,164
|
|
556,752
|
|
|||||
Deposits
|
14,854,420
|
|
14,530,835
|
|
13,656,025
|
|
13,608,785
|
|
13,632,127
|
|
|||||
Borrowings
|
3,612,448
|
|
3,238,048
|
|
2,969,904
|
|
2,442,319
|
|
1,989,916
|
|
|||||
Total equity
|
2,209,188
|
|
2,093,530
|
|
1,845,774
|
|
1,778,879
|
|
1,955,907
|
|
|||||
STATEMENTS OF INCOME
|
|
|
|
|
|
||||||||||
Interest income
|
$
|
687,640
|
|
$
|
693,502
|
|
$
|
699,723
|
|
$
|
708,647
|
|
$
|
746,090
|
|
Interest expense
|
90,912
|
|
114,594
|
|
135,955
|
|
171,376
|
|
250,704
|
|
|||||
Net interest income
|
596,728
|
|
578,908
|
|
563,768
|
|
537,271
|
|
495,386
|
|
|||||
Provision for loan and lease losses
|
33,500
|
|
21,500
|
|
22,500
|
|
115,000
|
|
303,000
|
|
|||||
Other non-interest income
|
197,615
|
|
189,411
|
|
175,018
|
|
185,270
|
|
226,682
|
|
|||||
Net impairment losses on securities recognized in earnings
|
(7,277
|
)
|
—
|
|
—
|
|
(5,838
|
)
|
(28,477
|
)
|
|||||
Net unrealized (loss) gain on securities classified as trading
|
—
|
|
—
|
|
(1,799
|
)
|
12,045
|
|
—
|
|
|||||
Net gain (loss) on sale of investment securities
|
712
|
|
3,347
|
|
3,823
|
|
9,748
|
|
(13,810
|
)
|
|||||
Non-interest expense
|
498,059
|
|
501,804
|
|
510,976
|
|
538,974
|
|
507,394
|
|
|||||
Income (loss) from continuing operations before income tax expense (benefit)
|
256,219
|
|
248,362
|
|
207,334
|
|
84,522
|
|
(130,613
|
)
|
|||||
Income tax expense (benefit)
|
76,670
|
|
74,665
|
|
57,951
|
|
12,358
|
|
(53,424
|
)
|
|||||
Income (loss) from continuing operations
|
179,549
|
|
173,697
|
|
149,383
|
|
72,164
|
|
(77,189
|
)
|
|||||
Income from discontinued operations, net of tax
|
—
|
|
—
|
|
1,995
|
|
94
|
|
302
|
|
|||||
Less: Net (loss) income attributable to non controlling interests
|
—
|
|
—
|
|
(1
|
)
|
3
|
|
22
|
|
|||||
Preferred stock dividends
|
(10,803
|
)
|
(2,460
|
)
|
(3,286
|
)
|
(18,086
|
)
|
(32,863
|
)
|
|||||
Accretion of preferred stock discount and gain on extinguishment
|
—
|
|
—
|
|
—
|
|
(6,830
|
)
|
23,243
|
|
|||||
Net income (loss) available to common shareholders
|
$
|
168,746
|
|
$
|
171,237
|
|
$
|
148,093
|
|
$
|
47,339
|
|
$
|
(86,529
|
)
|
Per Share Data
|
|
|
|
|
|
||||||||||
Weighted-average common shares—diluted
|
90,261
|
|
91,649
|
|
91,688
|
|
82,172
|
|
63,916
|
|
|||||
Net income (loss) per common share from continuing operations—basic
|
$
|
1.90
|
|
$
|
1.96
|
|
$
|
1.67
|
|
$
|
0.60
|
|
$
|
(1.43
|
)
|
Net income (loss) per common share—basic
|
1.90
|
|
1.96
|
|
1.69
|
|
0.60
|
|
(1.42
|
)
|
|||||
Net income (loss) per common share from continuing operations—diluted
|
1.86
|
|
1.86
|
|
1.59
|
|
0.57
|
|
(2.17
|
)
|
|||||
Net income (loss) per common share—diluted
|
1.86
|
|
1.86
|
|
1.61
|
|
0.57
|
|
(2.16
|
)
|
|||||
Dividends declared per common share
|
0.55
|
|
0.35
|
|
0.16
|
|
0.04
|
|
0.04
|
|
|||||
Book value per common share
|
22.77
|
|
22.75
|
|
20.74
|
|
19.97
|
|
19.43
|
|
|||||
Tangible book value per common share
|
16.85
|
|
16.42
|
|
14.51
|
|
13.64
|
|
12.33
|
|
|||||
Key Performance Ratios
|
|
|
|
|
|
||||||||||
Return on average assets
(1)
|
0.89
|
%
|
0.90
|
%
|
0.84
|
%
|
0.40
|
%
|
(0.44
|
)%
|
|||||
Return on average common shareholders’ equity
|
8.45
|
|
8.97
|
|
8.19
|
|
3.05
|
|
(6.40
|
)
|
|||||
Return on average tangible common shareholders' equity
|
11.77
|
|
12.80
|
|
12.04
|
|
5.11
|
|
(10.48
|
)
|
|||||
Net interest margin
|
3.26
|
|
3.32
|
|
3.47
|
|
3.36
|
|
3.14
|
|
|||||
Efficiency ratio
|
60.36
|
|
62.78
|
|
65.13
|
|
66.73
|
|
66.10
|
|
|||||
Tangible common equity ratio
|
7.49
|
|
7.15
|
|
7.00
|
|
6.80
|
|
5.63
|
|
|||||
Non-interest income as a percentage of total revenue
|
24.25
|
|
24.98
|
|
23.90
|
|
27.25
|
|
27.13
|
|
|||||
Average shareholders’ equity to average assets
|
10.61
|
|
10.06
|
|
10.16
|
|
10.47
|
|
10.68
|
|
|||||
Dividend payout ratio
|
28.95
|
|
17.86
|
|
9.47
|
|
6.67
|
|
(2.82
|
)
|
|||||
Asset Quality Ratios
|
|
|
|
|
|
||||||||||
Allowance for loan and lease losses as a percentage of loans and leases
|
1.20
|
%
|
1.47
|
%
|
2.08
|
%
|
2.92
|
%
|
3.09
|
%
|
|||||
Net charge-offs as a percentage of average loans and leases
|
0.47
|
|
0.68
|
|
1.00
|
|
1.23
|
|
1.68
|
|
|||||
Non-performing loans and leases as a percentage of loans and leases
|
1.28
|
|
1.62
|
|
1.68
|
|
2.48
|
|
3.38
|
|
|||||
Non-performing assets as a percentage of loans and leases plus OREO
|
1.35
|
|
1.65
|
|
1.72
|
|
2.73
|
|
3.63
|
|
•
|
interest expense decreased
$23.7 million
;
|
•
|
wealth and investment service fees increased
$5.3 million
;
|
•
|
loan related fees increased
$3.8 million
;
|
•
|
non-interest expense decreased
$3.7 million
; and
|
•
|
deposit service fees increased
$2.3 million
.
|
•
|
provision for loan and lease losses increased
$12.0 million
;
|
•
|
impairment loss recognized in earnings of
$7.3 million
in 2013 for investment securities;
|
•
|
income from mortgage banking activities decreased
$6.7 million
; and
|
•
|
interest income decreased
$5.9 million
.
|
|
At or for the years ended December 31,
|
||||||||||
(Dollars in thousands, except per share data)
|
2013
|
|
2012
|
|
2011
|
||||||
Statements of Income:
|
|
|
|
|
|
||||||
Net interest income
|
$
|
596,728
|
|
|
$
|
578,908
|
|
|
$
|
563,768
|
|
Provision for loan and lease losses
|
33,500
|
|
|
21,500
|
|
|
22,500
|
|
|||
Total non-interest income
|
191,050
|
|
|
192,758
|
|
|
177,042
|
|
|||
Total non-interest expense
|
498,059
|
|
|
501,804
|
|
|
510,976
|
|
|||
Income from continuing operations
|
179,549
|
|
|
173,697
|
|
|
149,383
|
|
|||
Income from discontinued operations, net of tax
|
—
|
|
|
—
|
|
|
1,995
|
|
|||
Net loss attributable to noncontrolling interests
|
—
|
|
|
—
|
|
|
(1
|
)
|
|||
Net income attributable to Webster Financial Corporation
|
179,549
|
|
|
173,697
|
|
|
151,379
|
|
|||
Net income available to common shareholders
|
168,746
|
|
|
171,237
|
|
|
148,093
|
|
|||
Per Share Data:
|
|
|
|
|
|
||||||
Weighted-average common shares - diluted
(1)
|
90,261
|
|
|
91,649
|
|
|
91,688
|
|
|||
Net income from continuing operations per common share - diluted
|
$
|
1.86
|
|
|
$
|
1.86
|
|
|
$
|
1.59
|
|
Net income available to common shareholders per common share - diluted
|
1.86
|
|
|
1.86
|
|
|
1.61
|
|
|||
Dividends declared per common share
|
0.55
|
|
|
0.35
|
|
|
0.16
|
|
|||
Dividends declared per Series A preferred share
|
85.00
|
|
|
85.00
|
|
|
85.00
|
|
|||
Dividends declared per Series E preferred share
|
1,648.89
|
|
|
—
|
|
|
—
|
|
|||
Dividends declared per subsidiary preferred share
|
—
|
|
|
—
|
|
|
0.83
|
|
|||
Book value per common share
|
22.77
|
|
|
22.75
|
|
|
20.74
|
|
|||
Tangible book value per common share
(3)
|
16.85
|
|
|
16.42
|
|
|
14.51
|
|
|||
Selected Ratios:
|
|
|
|
|
|
||||||
Return on average assets
(2)
|
0.89
|
%
|
|
0.90
|
%
|
|
0.84
|
%
|
|||
Return on average common shareholders' equity
|
8.45
|
|
|
8.97
|
|
|
8.19
|
|
|||
Return on average tangible common shareholders' equity
(3)
|
11.77
|
|
|
12.80
|
|
|
12.04
|
|
|||
Net interest margin
|
3.26
|
|
|
3.32
|
|
|
3.47
|
|
|||
Efficiency ratio
(3)
|
60.36
|
|
|
62.78
|
|
|
65.13
|
|
|||
Tangible common equity ratio
(3)
|
7.49
|
|
|
7.15
|
|
|
7.00
|
|
|||
Tier 1 common equity to risk-weighted assets
(3)
|
11.43
|
|
|
10.78
|
|
|
11.08
|
|
(1)
|
For the years ended
December 31, 2013
,
2012
, and
2011
, the effect of the Series A Preferred Stock on the computation of diluted earnings per share was anti-dilutive; therefore, the effect of this security was not included in the determination of diluted average shares.
|
(2)
|
Based on net income before preferred dividend.
|
(3)
|
The Company evaluates its business based on certain ratios that utilize tangible equity and Tier 1 common equity, which are non-GAAP financial measures.
|
(Dollars and shares in thousands, except per share data)
|
|
||||||||
|
At December 31,
|
||||||||
|
2013
|
2012
|
2011
|
||||||
Tangible book value per common share (non-GAAP):
|
|
|
|
||||||
Shareholders' equity (GAAP)
|
$
|
2,209,188
|
|
$
|
2,093,530
|
|
$
|
1,845,774
|
|
Less: Preferred equity (GAAP)
|
151,649
|
|
151,649
|
|
28,939
|
|
|||
Goodwill and other intangible assets (GAAP)
|
535,238
|
|
540,157
|
|
545,577
|
|
|||
Tangible common equity (non-GAAP)
|
$
|
1,522,301
|
|
$
|
1,401,724
|
|
$
|
1,271,258
|
|
Common shares outstanding
|
90,367
|
|
85,341
|
|
87,600
|
|
|||
Tangible book value per common share (non-GAAP)
|
$
|
16.85
|
|
$
|
16.42
|
|
$
|
14.51
|
|
|
|
|
|
||||||
|
For the years ended December 31,
|
||||||||
|
2013
|
2012
|
2011
|
||||||
Return on average tangible common shareholders' equity (non-GAAP):
|
|
|
|
||||||
Net income available to common shareholders (GAAP)
|
$
|
168,746
|
|
$
|
171,237
|
|
$
|
148,093
|
|
Intangible assets amortization, tax-affected at 35% (GAAP)
|
3,197
|
|
3,523
|
|
3,632
|
|
|||
Net income adjusted for amortization of intangibles (non-GAAP)
|
$
|
171,943
|
|
$
|
174,760
|
|
$
|
151,725
|
|
Average shareholders' equity (non-GAAP)
|
$
|
2,149,713
|
|
$
|
1,946,580
|
|
$
|
1,846,158
|
|
Less: Average preferred stock (non-GAAP)
|
151,649
|
|
38,335
|
|
28,942
|
|
|||
Average non controlling interests (non-GAAP)
|
—
|
|
—
|
|
9,119
|
|
|||
Average goodwill and other intangible assets (non-GAAP)
|
537,650
|
|
542,782
|
|
548,340
|
|
|||
Average tangible common equity (non-GAAP)
|
$
|
1,460,414
|
|
$
|
1,365,463
|
|
$
|
1,259,757
|
|
Return on average tangible common shareholders' equity (non-GAAP)
|
11.77
|
%
|
12.80
|
%
|
12.04
|
%
|
|||
|
|
|
|
|
|
|
|||
|
For the years ended December 31,
|
||||||||
|
2013
|
2012
|
2011
|
||||||
Efficiency ratio (non-GAAP):
|
|
|
|
||||||
Non-interest expense (GAAP)
|
$
|
498,059
|
|
$
|
501,804
|
|
$
|
510,976
|
|
Less: Foreclosed property expense (GAAP)
|
1,338
|
|
1,028
|
|
3,050
|
|
|||
Intangible assets amortization (GAAP)
|
4,919
|
|
5,420
|
|
5,588
|
|
|||
Other expense (non-GAAP)
|
4,354
|
|
3,762
|
|
11,075
|
|
|||
Non-interest expense (non-GAAP)
|
$
|
487,448
|
|
$
|
491,594
|
|
$
|
491,263
|
|
Net interest income (GAAP)
|
$
|
596,728
|
|
$
|
578,908
|
|
$
|
563,768
|
|
Add back: FTE adjustment (non-GAAP)
|
13,221
|
|
14,751
|
|
15,497
|
|
|||
Non-interest income (GAAP)
|
191,050
|
|
192,758
|
|
177,042
|
|
|||
Less: Net gain on sale of investment securities (GAAP)
|
712
|
|
3,347
|
|
2,024
|
|
|||
Impairment loss recognized in earnings (GAAP)
|
(7,277
|
)
|
—
|
|
—
|
|
|||
Income (non-GAAP)
|
$
|
807,564
|
|
$
|
783,070
|
|
$
|
754,283
|
|
Efficiency ratio (non-GAAP)
|
60.36
|
%
|
62.78
|
%
|
65.13
|
%
|
(Dollars in thousands)
|
|
|
|
||||||
|
At December 31,
|
||||||||
|
2013
|
2012
|
2011
|
||||||
Tangible common equity ratio (non-GAAP):
|
|
|
|
||||||
Shareholders' equity (GAAP)
|
$
|
2,209,188
|
|
$
|
2,093,530
|
|
$
|
1,845,774
|
|
Less: Preferred stock (GAAP)
|
151,649
|
|
151,649
|
|
28,939
|
|
|||
Goodwill and other intangible assets (GAAP)
|
535,238
|
|
540,157
|
|
545,577
|
|
|||
Tangible common shareholders' equity (non-GAAP)
|
$
|
1,522,301
|
|
$
|
1,401,724
|
|
$
|
1,271,258
|
|
Total Assets (GAAP)
|
$
|
20,852,999
|
|
$
|
20,146,765
|
|
$
|
18,714,340
|
|
Less: Goodwill and other intangible assets (GAAP)
|
535,238
|
|
540,157
|
|
545,577
|
|
|||
Tangible assets (non-GAAP)
|
$
|
20,317,761
|
|
$
|
19,606,608
|
|
$
|
18,168,763
|
|
Tangible common equity ratio (non-GAAP)
|
7.49
|
%
|
7.15
|
%
|
7.00
|
%
|
|||
|
|
|
|
||||||
|
At December 31,
|
||||||||
|
2013
|
2012
|
2011
|
||||||
Tier 1 common equity to risk-weighted assets (non-GAAP):
|
|
|
|
||||||
Shareholders' equity (GAAP)
|
$
|
2,209,188
|
|
$
|
2,093,530
|
|
$
|
1,845,774
|
|
Less: Preferred equity (GAAP)
|
151,649
|
|
151,649
|
|
28,939
|
|
|||
Goodwill and other intangible assets (GAAP)
|
535,238
|
|
540,157
|
|
545,577
|
|
|||
Add back: Accumulated other comprehensive loss (GAAP)
|
(48,549
|
)
|
(32,266
|
)
|
(60,204
|
)
|
|||
DTL related to goodwill and other intangibles (regulatory)
|
10,145
|
|
11,380
|
|
7,725
|
|
|||
Tier 1 common equity (regulatory)
|
$
|
1,580,995
|
|
$
|
1,445,370
|
|
$
|
1,339,187
|
|
Risk-weighted assets (regulatory)
|
$
|
13,827,533
|
|
$
|
13,409,363
|
|
$
|
12,087,718
|
|
Tier 1 common equity to risk-weighted assets (non-GAAP)
|
11.43
|
%
|
10.78
|
%
|
11.08
|
%
|
|
Years ended December 31,
|
|||||||||||||||||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
|||||||||||||||||||||||||||
(Dollars in thousands)
|
Average
Balance |
|
Interest
(1)
|
|
Average
Yields |
|
Average
Balance |
|
Interest
(1)
|
|
Average
Yields |
|
Average
Balance |
|
Interest
(1)
|
|
Average
Yields |
|||||||||||||||
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Loans
|
$
|
12,235,821
|
|
|
$
|
490,985
|
|
|
4.01
|
%
|
|
$
|
11,525,233
|
|
|
$
|
485,666
|
|
|
4.21
|
%
|
|
$
|
11,054,100
|
|
|
$
|
486,883
|
|
|
4.40
|
%
|
Securities
(2)
|
6,268,889
|
|
|
204,287
|
|
|
3.28
|
|
|
6,100,219
|
|
|
216,513
|
|
|
3.58
|
|
|
5,407,867
|
|
|
223,568
|
|
|
4.16
|
|
||||||
Federal Home Loan and Federal Reserve Bank stock
|
158,233
|
|
|
3,437
|
|
|
2.17
|
|
|
143,074
|
|
|
3,508
|
|
|
2.45
|
|
|
143,874
|
|
|
3,318
|
|
|
2.31
|
|
||||||
Interest-bearing deposits
|
21,800
|
|
|
84
|
|
|
0.39
|
|
|
77,265
|
|
|
141
|
|
|
0.18
|
|
|
112,232
|
|
|
216
|
|
|
0.19
|
|
||||||
Loans held for sale
|
63,870
|
|
|
2,068
|
|
|
3.24
|
|
|
73,156
|
|
|
2,425
|
|
|
3.31
|
|
|
28,144
|
|
|
1,235
|
|
|
4.39
|
|
||||||
Total interest-earning assets
|
18,748,613
|
|
|
$
|
700,861
|
|
|
3.74
|
%
|
|
17,918,947
|
|
|
$
|
708,253
|
|
|
3.96
|
%
|
|
16,746,217
|
|
|
$
|
715,220
|
|
|
4.28
|
%
|
|||
Noninterest-earning assets
|
1,513,906
|
|
|
|
|
|
|
1,427,824
|
|
|
|
|
|
|
1,335,374
|
|
|
|
|
|
||||||||||||
Total assets
|
$
|
20,262,519
|
|
|
|
|
|
|
$
|
19,346,771
|
|
|
|
|
|
|
$
|
18,081,591
|
|
|
|
|
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Liabilities and equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Demand deposits
|
$
|
2,939,324
|
|
|
|
|
|
|
$
|
2,638,025
|
|
|
|
|
|
|
$
|
2,278,419
|
|
|
|
|
|
|||||||||
Savings, checking & money market deposits
|
9,511,386
|
|
|
$
|
18,376
|
|
|
0.19
|
%
|
|
8,824,581
|
|
|
$
|
21,061
|
|
|
0.24
|
%
|
|
8,534,333
|
|
|
$
|
33,747
|
|
|
0.40
|
%
|
|||
Time deposits
|
2,357,321
|
|
|
28,206
|
|
|
1.20
|
|
|
2,703,414
|
|
|
38,525
|
|
|
1.43
|
|
|
3,031,835
|
|
|
47,061
|
|
|
1.55
|
|
||||||
Total deposits
|
14,808,031
|
|
|
46,582
|
|
|
0.31
|
|
|
14,166,020
|
|
|
59,586
|
|
|
0.42
|
|
|
13,844,587
|
|
|
80,808
|
|
|
0.58
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Securities sold under agreements to repurchase and other borrowings
|
1,228,002
|
|
|
20,800
|
|
|
1.69
|
|
|
1,207,623
|
|
|
21,034
|
|
|
1.74
|
|
|
1,053,323
|
|
|
16,173
|
|
|
1.54
|
|
||||||
Federal Home Loan Bank advances
|
1,652,471
|
|
|
16,229
|
|
|
0.98
|
|
|
1,389,999
|
|
|
16,943
|
|
|
1.22
|
|
|
569,987
|
|
|
14,352
|
|
|
2.52
|
|
||||||
Long-term debt
|
233,850
|
|
|
7,301
|
|
|
3.12
|
|
|
418,896
|
|
|
17,031
|
|
|
4.07
|
|
|
565,331
|
|
|
24,622
|
|
|
4.36
|
|
||||||
Total borrowings
|
3,114,323
|
|
|
44,330
|
|
|
1.42
|
|
|
3,016,518
|
|
|
55,008
|
|
|
1.82
|
|
|
2,188,641
|
|
|
55,147
|
|
|
2.52
|
|
||||||
Total interest-bearing liabilities
|
17,922,354
|
|
|
$
|
90,912
|
|
|
0.51
|
%
|
|
17,182,538
|
|
|
$
|
114,594
|
|
|
0.67
|
%
|
|
16,033,228
|
|
|
$
|
135,955
|
|
|
0.85
|
%
|
|||
Noninterest-bearing liabilities
|
190,452
|
|
|
|
|
|
|
217,653
|
|
|
|
|
|
|
202,205
|
|
|
|
|
|
||||||||||||
Total liabilities
|
18,112,806
|
|
|
|
|
|
|
17,400,191
|
|
|
|
|
|
|
16,235,433
|
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Noncontrolling interests
|
—
|
|
|
|
|
|
|
—
|
|
|
|
|
|
|
9,119
|
|
|
|
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Preferred Stock
|
151,649
|
|
|
|
|
|
|
38,335
|
|
|
|
|
|
|
28,942
|
|
|
|
|
|
||||||||||||
Common shareholders' equity
|
1,998,064
|
|
|
|
|
|
|
1,908,245
|
|
|
|
|
|
|
1,808,097
|
|
|
|
|
|
||||||||||||
Webster Financial Corp. shareholders' equity
|
2,149,713
|
|
|
|
|
|
|
1,946,580
|
|
|
|
|
|
|
1,837,039
|
|
|
|
|
|
||||||||||||
Total liabilities and equity
|
$
|
20,262,519
|
|
|
|
|
|
|
$
|
19,346,771
|
|
|
|
|
|
|
$
|
18,081,591
|
|
|
|
|
|
|||||||||
Tax-equivalent net interest income
|
|
|
609,949
|
|
|
|
|
|
|
593,659
|
|
|
|
|
|
|
579,265
|
|
|
|
||||||||||||
Less: tax-equivalent adjustments
|
|
|
(13,221
|
)
|
|
|
|
|
|
(14,751
|
)
|
|
|
|
|
|
(15,497
|
)
|
|
|
||||||||||||
Net interest income
|
|
|
$
|
596,728
|
|
|
|
|
|
|
$
|
578,908
|
|
|
|
|
|
|
$
|
563,768
|
|
|
|
|||||||||
Net interest margin
|
|
|
|
|
3.26
|
%
|
|
|
|
|
|
3.32
|
%
|
|
|
|
|
|
3.47
|
%
|
(1)
|
On a fully tax-equivalent basis.
|
(2)
|
Average balances and yields of securities available for sale are based upon the historical amortized cost.
|
|
Years ended December 31,
2013 vs. 2012
Increase (decrease) due to
|
|
Years ended December 31,
2012 vs. 2011 Increase (decrease) due to |
||||||||||||||||
(In thousands)
|
Rate
|
Volume
|
Total
|
|
Rate
|
Volume
|
Total
|
||||||||||||
Interest on interest-earning assets:
|
|
|
|
|
|
|
|
||||||||||||
Loans and leases
|
$
|
(23,819
|
)
|
$
|
29,138
|
|
$
|
5,319
|
|
|
$
|
(21,523
|
)
|
$
|
20,306
|
|
$
|
(1,217
|
)
|
Loans held for sale
|
(55
|
)
|
(302
|
)
|
(357
|
)
|
|
(366
|
)
|
1,556
|
|
1,190
|
|
||||||
Investments
|
(15,118
|
)
|
4,294
|
|
(10,824
|
)
|
|
(29,265
|
)
|
23,071
|
|
(6,194
|
)
|
||||||
Total interest income
|
$
|
(38,992
|
)
|
$
|
33,130
|
|
$
|
(5,862
|
)
|
|
$
|
(51,154
|
)
|
$
|
44,933
|
|
$
|
(6,221
|
)
|
Interest on interest-bearing liabilities:
|
|
|
|
|
|
|
|
||||||||||||
Deposits
|
$
|
(15,601
|
)
|
$
|
2,597
|
|
$
|
(13,004
|
)
|
|
$
|
(23,058
|
)
|
$
|
1,836
|
|
$
|
(21,222
|
)
|
Borrowings
|
(12,411
|
)
|
1,733
|
|
(10,678
|
)
|
|
(17,668
|
)
|
17,529
|
|
(139
|
)
|
||||||
Total interest expense
|
$
|
(28,012
|
)
|
$
|
4,330
|
|
$
|
(23,682
|
)
|
|
$
|
(40,726
|
)
|
$
|
19,365
|
|
$
|
(21,361
|
)
|
Net change in net interest income
|
$
|
(10,980
|
)
|
$
|
28,800
|
|
$
|
17,820
|
|
|
$
|
(10,428
|
)
|
$
|
25,568
|
|
$
|
15,140
|
|
|
Years ended December 31,
|
Increase (decrease)
|
|||||||||
(Dollars in thousands)
|
2013
|
2012
|
Amount
|
Percent
|
|||||||
Non-Interest Income:
|
|
|
|
|
|||||||
Deposit service fees
|
$
|
98,968
|
|
$
|
96,633
|
|
$
|
2,335
|
|
2.4
|
%
|
Loan related fees
|
21,860
|
|
18,043
|
|
3,817
|
|
21.2
|
|
|||
Wealth and investment services
|
34,771
|
|
29,515
|
|
5,256
|
|
17.8
|
|
|||
Mortgage banking activities
|
16,359
|
|
23,037
|
|
(6,678
|
)
|
(29.0
|
)
|
|||
Increase in cash surrender value of life insurance policies
|
13,770
|
|
11,254
|
|
2,516
|
|
22.4
|
|
|||
Net gain on sale of investment securities
|
712
|
|
3,347
|
|
(2,635
|
)
|
(78.7
|
)
|
|||
Impairment loss recognized in earnings
|
(7,277
|
)
|
—
|
|
(7,277
|
)
|
(100.0
|
)
|
|||
Other income
|
11,887
|
|
10,929
|
|
958
|
|
8.8
|
|
|||
Total non-interest income
|
$
|
191,050
|
|
$
|
192,758
|
|
$
|
(1,708
|
)
|
(0.9
|
)%
|
|
Years ended December 31,
|
Increase (decrease)
|
|||||||||
|
2013
|
2012
|
Amount
|
Percent
|
|||||||
(Dollars in thousands)
|
|
|
|
|
|||||||
Non-Interest Expense:
|
|
|
|
|
|||||||
Compensation and benefits
|
$
|
264,835
|
|
$
|
264,101
|
|
$
|
734
|
|
0.3
|
%
|
Occupancy
|
48,794
|
|
50,131
|
|
(1,337
|
)
|
(2.7
|
)
|
|||
Technology and equipment
|
60,326
|
|
62,210
|
|
(1,884
|
)
|
(3.0
|
)
|
|||
Intangible assets amortization
|
4,919
|
|
5,420
|
|
(501
|
)
|
(9.2
|
)
|
|||
Marketing
|
15,502
|
|
16,827
|
|
(1,325
|
)
|
(7.9
|
)
|
|||
Professional and outside services
|
9,532
|
|
11,348
|
|
(1,816
|
)
|
(16.0
|
)
|
|||
Deposit insurance
|
21,114
|
|
22,749
|
|
(1,635
|
)
|
(7.2
|
)
|
|||
Other expense
|
73,037
|
|
69,018
|
|
4,019
|
|
5.8
|
|
|||
Total non-interest expense
|
$
|
498,059
|
|
$
|
501,804
|
|
$
|
(3,745
|
)
|
(0.7
|
)%
|
•
|
interest expense decreased $21.4 million;
|
•
|
income from mortgage banking activities increased $18.1 million; and
|
•
|
non-interest expense (excluding litigation) decreased $18.7 million.
|
•
|
interest income decreased $6.2 million;
|
•
|
deposit service fees decreased $6.2 million; and
|
•
|
the absence in 2012 of the $9.5 million non-recurring litigation benefit that occurred in 2011.
|
|
Years ended December 31,
|
Increase (decrease)
|
|||||||||
(Dollars in thousands)
|
2012
|
2011
|
Amount
|
Percent
|
|||||||
Non-Interest Income:
|
|
|
|
|
|||||||
Deposit service fees
|
$
|
96,633
|
|
$
|
102,795
|
|
$
|
(6,162
|
)
|
(6.0
|
)%
|
Loan related fees
|
18,043
|
|
20,237
|
|
(2,194
|
)
|
(10.8
|
)
|
|||
Wealth and investment services
|
29,515
|
|
26,421
|
|
3,094
|
|
11.7
|
|
|||
Mortgage banking activities
|
23,037
|
|
4,905
|
|
18,132
|
|
369.7
|
|
|||
Increase in cash surrender value of life insurance policies
|
11,254
|
|
10,360
|
|
894
|
|
8.6
|
|
|||
Net loss on trading securities
|
—
|
|
(1,799
|
)
|
1,799
|
|
100.0
|
|
|||
Net gain on sale of investment securities
|
3,347
|
|
3,823
|
|
(476
|
)
|
(12.5
|
)
|
|||
Other income
|
10,929
|
|
10,300
|
|
629
|
|
6.1
|
|
|||
Total non-interest income
|
$
|
192,758
|
|
$
|
177,042
|
|
$
|
15,716
|
|
8.9
|
%
|
(In thousands)
|
2013
|
2012
(1)
|
2011
(1)
|
||||||
Net income (loss):
|
|
|
|
||||||
Commercial Banking
|
$
|
91,097
|
|
$
|
88,659
|
|
$
|
79,460
|
|
Community Banking
|
74,147
|
|
64,462
|
|
33,861
|
|
|||
Other
|
16,875
|
|
12,602
|
|
6,377
|
|
|||
Total Reportable Segments
|
182,119
|
|
165,723
|
|
119,698
|
|
|||
Corporate and Reconciling
|
(2,570
|
)
|
7,974
|
|
31,681
|
|
|||
Net income attributable to Webster Financial Corporation
|
$
|
179,549
|
|
$
|
173,697
|
|
$
|
151,379
|
|
|
At December 31, 2013
|
|||||||||||||||||
(In thousands)
|
Commercial
Banking |
Community Banking
|
Other
|
Segment Totals
|
Corporate and
Reconciling |
Consolidated
Total |
||||||||||||
Total assets
|
$
|
5,682,129
|
|
$
|
7,809,343
|
|
$
|
365,863
|
|
$
|
13,857,335
|
|
$
|
6,995,664
|
|
$
|
20,852,999
|
|
Total loans
|
5,628,303
|
|
6,693,493
|
|
343,823
|
|
12,665,619
|
|
34,157
|
|
12,699,776
|
|
||||||
Total deposits
|
2,948,072
|
|
10,014,509
|
|
1,739,345
|
|
14,701,926
|
|
152,494
|
|
14,854,420
|
|
||||||
|
|
|
|
|
|
|
||||||||||||
|
At December 31, 2012
|
|||||||||||||||||
(In thousands)
|
Commercial
Banking |
Community Banking
|
Other
|
Segment Totals
|
Corporate and
Reconciling |
Consolidated
Total |
||||||||||||
Total assets
|
$
|
5,113,898
|
|
$
|
7,708,159
|
|
$
|
282,414
|
|
$
|
13,104,471
|
|
$
|
7,042,294
|
|
$
|
20,146,765
|
|
Total loans
|
5,037,307
|
|
6,668,712
|
|
259,835
|
|
11,965,854
|
|
62,842
|
|
12,028,696
|
|
||||||
Total deposits
|
2,695,911
|
|
10,188,750
|
|
1,454,129
|
|
14,338,790
|
|
192,045
|
|
14,530,835
|
|
||||||
|
|
|
|
|
|
|
||||||||||||
|
At December 31, 2011
|
|||||||||||||||||
(In thousands)
|
Commercial
Banking |
Community Banking
|
Other
|
Segment Totals
|
Corporate and
Reconciling |
Consolidated
Total |
||||||||||||
Total assets
|
$
|
4,359,403
|
|
$
|
7,415,480
|
|
$
|
245,554
|
|
$
|
12,020,437
|
|
$
|
6,693,903
|
|
$
|
18,714,340
|
|
Total loans
|
4,289,354
|
|
6,614,310
|
|
223,787
|
|
11,127,451
|
|
97,953
|
|
11,225,404
|
|
||||||
Total deposits
|
2,464,391
|
|
10,046,755
|
|
1,139,923
|
|
13,651,069
|
|
4,956
|
|
13,656,025
|
|
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
(1)
|
2011
(1)
|
||||||
Net interest income
|
$
|
217,582
|
|
$
|
188,666
|
|
$
|
168,560
|
|
Provision (benefit) for loan and lease losses
|
18,581
|
|
(7,498
|
)
|
(21,213
|
)
|
|||
Net interest income after provision for loan and lease losses
|
199,001
|
|
196,164
|
|
189,773
|
|
|||
Non-interest income
|
30,797
|
|
29,324
|
|
25,869
|
|
|||
Non-interest expense
|
99,801
|
|
98,718
|
|
105,356
|
|
|||
Income before income taxes
|
129,997
|
|
126,770
|
|
110,286
|
|
|||
Income tax expense
|
38,900
|
|
38,111
|
|
30,826
|
|
|||
Net Income
|
$
|
91,097
|
|
$
|
88,659
|
|
$
|
79,460
|
|
|
At December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Total assets
|
$
|
5,682,129
|
|
$
|
5,113,898
|
|
$
|
4,359,403
|
|
Total loans
|
5,628,303
|
|
5,037,307
|
|
4,289,354
|
|
|||
Total deposits
|
2,948,072
|
|
2,695,911
|
|
2,464,391
|
|
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
(1)
|
2011
(1)
|
||||||
Net interest income
|
$
|
347,395
|
|
$
|
342,268
|
|
$
|
340,519
|
|
Provision for loan and lease losses
|
19,973
|
|
26,167
|
|
45,293
|
|
|||
Net interest income after provision for loan and lease losses
|
327,422
|
|
316,101
|
|
295,226
|
|
|||
Non-interest income
|
116,182
|
|
116,978
|
|
108,212
|
|
|||
Non-interest expense
|
337,795
|
|
340,907
|
|
356,443
|
|
|||
Income from continuing operations before income taxes
|
105,809
|
|
92,172
|
|
46,995
|
|
|||
Income tax expense
|
31,662
|
|
27,710
|
|
13,135
|
|
|||
Income before non controlling interest
|
74,147
|
|
64,462
|
|
33,860
|
|
|||
Less: Net loss attributable to non controlling interests
|
—
|
|
—
|
|
(1
|
)
|
|||
Net income
|
$
|
74,147
|
|
$
|
64,462
|
|
$
|
33,861
|
|
|
At December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Total assets
|
$
|
7,809,343
|
|
$
|
7,708,159
|
|
$
|
7,415,480
|
|
Total loans
|
6,693,493
|
|
6,668,712
|
|
6,614,310
|
|
|||
Total deposits
|
10,014,509
|
|
10,188,750
|
|
10,046,755
|
|
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
(1)
|
2011
(1)
|
||||||
Net interest income
|
$
|
40,992
|
|
$
|
33,308
|
|
$
|
25,437
|
|
Provision (benefit) for loan and lease losses
|
93
|
|
(680
|
)
|
398
|
|
|||
Net interest income after provision for loan and lease losses
|
40,899
|
|
33,988
|
|
25,039
|
|
|||
Non-interest income
|
32,926
|
|
28,680
|
|
24,199
|
|
|||
Non-interest expense
|
49,745
|
|
44,649
|
|
40,387
|
|
|||
Income before income taxes
|
24,080
|
|
18,019
|
|
8,851
|
|
|||
Income tax expense
|
7,205
|
|
5,417
|
|
2,474
|
|
|||
Net Income
|
$
|
16,875
|
|
$
|
12,602
|
|
$
|
6,377
|
|
|
At December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Total assets
|
$
|
365,863
|
|
$
|
282,414
|
|
$
|
245,554
|
|
Total loans
|
343,823
|
|
259,835
|
|
223,787
|
|
|||
Total deposits
|
1,739,345
|
|
1,454,129
|
|
1,139,923
|
|
|
At December 31, 2013
|
||||||||||||||||||||
|
|
Recognized in OCI
|
|
Not Recognized in OCI
|
|
||||||||||||||||
(In thousands)
|
Amortized
cost
|
Gross
unrealized
gains
|
Gross
unrealized
losses
|
Carrying
value
|
Gross
unrealized
gains
|
Gross
unrealized
losses
|
Fair value
|
||||||||||||||
Available for sale:
|
|
|
|
|
|
|
|
||||||||||||||
U.S. Treasury Bills
|
$
|
325
|
|
$
|
—
|
|
$
|
—
|
|
$
|
325
|
|
$
|
—
|
|
$
|
—
|
|
$
|
325
|
|
Agency CMOs
|
794,397
|
|
14,383
|
|
(1,868
|
)
|
806,912
|
|
—
|
|
—
|
|
806,912
|
|
|||||||
Agency MBS
|
1,265,276
|
|
9,124
|
|
(47,698
|
)
|
1,226,702
|
|
—
|
|
—
|
|
1,226,702
|
|
|||||||
Agency CMBS
|
71,759
|
|
—
|
|
(782
|
)
|
70,977
|
|
—
|
|
—
|
|
70,977
|
|
|||||||
CMBS
|
436,872
|
|
28,398
|
|
(996
|
)
|
464,274
|
|
—
|
|
—
|
|
464,274
|
|
|||||||
CLOs
(1)
|
357,326
|
|
315
|
|
—
|
|
357,641
|
|
—
|
|
—
|
|
357,641
|
|
|||||||
Pooled trust preferred securities
(2)
|
31,900
|
|
—
|
|
(3,410
|
)
|
28,490
|
|
—
|
|
—
|
|
28,490
|
|
|||||||
Single issuer trust preferred securities
|
41,807
|
|
—
|
|
(6,872
|
)
|
34,935
|
|
—
|
|
—
|
|
34,935
|
|
|||||||
Corporate debt securities
|
108,936
|
|
4,155
|
|
—
|
|
113,091
|
|
—
|
|
—
|
|
113,091
|
|
|||||||
Equity securities-financial institutions
(3)
|
2,314
|
|
1,270
|
|
—
|
|
3,584
|
|
—
|
|
—
|
|
3,584
|
|
|||||||
Total available for sale
|
$
|
3,110,912
|
|
$
|
57,645
|
|
$
|
(61,626
|
)
|
$
|
3,106,931
|
|
$
|
—
|
|
$
|
—
|
|
$
|
3,106,931
|
|
Held-to-maturity:
|
|
|
|
|
|
|
|
||||||||||||||
Agency CMOs
|
$
|
365,081
|
|
$
|
—
|
|
$
|
—
|
|
$
|
365,081
|
|
$
|
10,135
|
|
$
|
(1,009
|
)
|
$
|
374,207
|
|
Agency MBS
|
2,130,685
|
|
—
|
|
—
|
|
2,130,685
|
|
43,315
|
|
(53,188
|
)
|
2,120,812
|
|
|||||||
Agency CMBS
|
115,995
|
|
|
|
|
|
115,995
|
|
44
|
|
(818
|
)
|
115,221
|
|
|||||||
Municipal bonds and notes
|
448,405
|
|
—
|
|
—
|
|
448,405
|
|
11,104
|
|
(1,228
|
)
|
458,281
|
|
|||||||
CMBS
|
290,057
|
|
—
|
|
—
|
|
290,057
|
|
8,635
|
|
(4,975
|
)
|
293,717
|
|
|||||||
Private Label MBS
|
8,498
|
|
—
|
|
—
|
|
8,498
|
|
176
|
|
—
|
|
8,674
|
|
|||||||
Total held-to-maturity
|
$
|
3,358,721
|
|
$
|
—
|
|
$
|
—
|
|
$
|
3,358,721
|
|
$
|
73,409
|
|
$
|
(61,218
|
)
|
$
|
3,370,912
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Total investment securities
|
$
|
6,469,633
|
|
$
|
57,645
|
|
$
|
(61,626
|
)
|
$
|
6,465,652
|
|
$
|
73,409
|
|
$
|
(61,218
|
)
|
$
|
6,477,843
|
|
(1)
|
Amortized cost is net of
$2.6 million
of other-than-temporary impairment at
December 31, 2013
.
|
(2)
|
Amortized cost is net of
$14.0 million
of other-than-temporary impairment at
December 31, 2013
.
|
(3)
|
Amortized cost is net of
$20.4 million
of other-than-temporary impairment at
December 31, 2013
.
|
|
At December 31, 2012
|
||||||||||||||||||||
|
|
Recognized in OCI
|
|
Not Recognized in OCI
|
|
||||||||||||||||
(In thousands)
|
Amortized
cost
|
Gross
unrealized
gains
|
Gross
unrealized
losses
|
Carrying
value
|
Gross
unrealized
gains
|
Gross
unrealized
losses
|
Fair value
|
||||||||||||||
Available for sale:
|
|
|
|
|
|
|
|
||||||||||||||
U.S. Treasury Bills
|
$
|
200
|
|
$
|
—
|
|
$
|
—
|
|
$
|
200
|
|
$
|
—
|
|
$
|
—
|
|
$
|
200
|
|
Agency CMOs
|
1,284,126
|
|
25,972
|
|
(92
|
)
|
1,310,006
|
|
—
|
|
—
|
|
1,310,006
|
|
|||||||
Agency MBS
|
1,121,941
|
|
21,437
|
|
(1,098
|
)
|
1,142,280
|
|
—
|
|
—
|
|
1,142,280
|
|
|||||||
CMBS
|
359,438
|
|
42,086
|
|
(3,493
|
)
|
398,031
|
|
—
|
|
—
|
|
398,031
|
|
|||||||
CLOs
|
88,765
|
|
—
|
|
(225
|
)
|
88,540
|
|
—
|
|
—
|
|
88,540
|
|
|||||||
Pooled trust preferred securities
(1)
|
46,018
|
|
—
|
|
(19,811
|
)
|
26,207
|
|
—
|
|
—
|
|
26,207
|
|
|||||||
Single issuer trust preferred securities
|
51,181
|
|
—
|
|
(6,766
|
)
|
44,415
|
|
—
|
|
—
|
|
44,415
|
|
|||||||
Corporate debt securities
|
111,281
|
|
6,918
|
|
—
|
|
118,199
|
|
—
|
|
—
|
|
118,199
|
|
|||||||
Equity securities-financial institutions
(2)
|
6,232
|
|
2,054
|
|
(4
|
)
|
8,282
|
|
—
|
|
—
|
|
8,282
|
|
|||||||
Total available for sale
|
$
|
3,069,182
|
|
$
|
98,467
|
|
$
|
(31,489
|
)
|
$
|
3,136,160
|
|
$
|
—
|
|
$
|
—
|
|
$
|
3,136,160
|
|
Held-to-maturity:
|
|
|
|
|
|
|
|
||||||||||||||
Agency CMOs
|
$
|
500,369
|
|
$
|
—
|
|
$
|
—
|
|
$
|
500,369
|
|
$
|
16,643
|
|
$
|
(8
|
)
|
$
|
517,004
|
|
Agency MBS
|
1,833,677
|
|
—
|
|
—
|
|
1,833,677
|
|
88,082
|
|
(474
|
)
|
1,921,285
|
|
|||||||
Municipal bonds and notes
|
559,131
|
|
—
|
|
—
|
|
559,131
|
|
34,366
|
|
(110
|
)
|
593,387
|
|
|||||||
CMBS
|
199,810
|
|
—
|
|
—
|
|
199,810
|
|
18,324
|
|
—
|
|
218,134
|
|
|||||||
Private Label MBS
|
14,542
|
|
—
|
|
—
|
|
14,542
|
|
366
|
|
—
|
|
14,908
|
|
|||||||
Total held-to-maturity
|
$
|
3,107,529
|
|
$
|
—
|
|
$
|
—
|
|
$
|
3,107,529
|
|
$
|
157,781
|
|
$
|
(592
|
)
|
$
|
3,264,718
|
|
|
|
|
|
—
|
|
|
|
—
|
|
||||||||||||
Total investment securities
|
$
|
6,176,711
|
|
$
|
98,467
|
|
$
|
(31,489
|
)
|
$
|
6,243,689
|
|
$
|
157,781
|
|
$
|
(592
|
)
|
$
|
6,400,878
|
|
(1)
|
Amortized cost is net of
$10.5 million
of credit related other-than-temporary impairment at
December 31, 2012
.
|
(2)
|
Amortized cost is net of
$21.3 million
of other-than-temporary impairment at
December 31, 2012
.
|
|
Within 1 Year
|
1 - 5 Years
|
5 - 10 Years
|
After 10 Years
|
Total
|
||||||||||||||||||||
(Dollars in thousands)
|
Amount
|
Weighted
Average
Yield
|
Amount
|
Weighted
Average
Yield
|
Amount
|
Weighted
Average
Yield
|
Amount
|
Weighted
Average
Yield
|
Amount
|
Weighted
Average
Yield
|
|||||||||||||||
Available for sale:
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
U.S. Treasury Bills
|
$
|
325
|
|
0.04
|
%
|
$
|
—
|
|
—
|
%
|
$
|
—
|
|
—
|
%
|
$
|
—
|
|
—
|
%
|
$
|
325
|
|
0.04
|
%
|
Agency CMOs
|
—
|
|
—
|
|
1,433
|
|
1.21
|
|
—
|
|
—
|
|
805,479
|
|
2.67
|
|
806,912
|
|
2.67
|
|
|||||
Agency MBS
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
1,226,702
|
|
2.97
|
|
1,226,702
|
|
2.97
|
|
|||||
Agency CMBS
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
70,977
|
|
2.59
|
|
70,977
|
|
2.59
|
|
|||||
CMBS
|
—
|
|
—
|
|
14,992
|
|
1.92
|
|
20,100
|
|
1.96
|
|
429,182
|
|
4.51
|
|
464,274
|
|
4.31
|
|
|||||
CLOs
|
—
|
|
—
|
|
—
|
|
—
|
|
170,000
|
|
1.91
|
|
187,641
|
|
1.70
|
|
357,641
|
|
1.80
|
|
|||||
Pooled trust preferred securities
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
28,490
|
|
1.87
|
|
28,490
|
|
1.87
|
|
|||||
Single issuer trust preferred securities
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
34,935
|
|
1.71
|
|
34,935
|
|
1.71
|
|
|||||
Corporate debt securities
|
—
|
|
—
|
|
89,067
|
|
3.19
|
|
24,024
|
|
2.90
|
|
—
|
|
—
|
|
113,091
|
|
3.13
|
|
|||||
Total available for sale
|
$
|
325
|
|
0.04
|
%
|
$
|
105,492
|
|
2.97
|
%
|
$
|
214,124
|
|
2.03
|
%
|
$
|
2,783,406
|
|
2.98
|
%
|
$
|
3,103,347
|
|
2.91
|
%
|
Held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Agency CMOs
|
$
|
—
|
|
—
|
%
|
$
|
—
|
|
—
|
%
|
$
|
3,326
|
|
2.21
|
%
|
$
|
361,755
|
|
3.19
|
%
|
$
|
365,081
|
|
3.18
|
%
|
Agency MBS
|
—
|
|
—
|
|
62,668
|
|
4.34
|
|
31,102
|
|
4.47
|
|
2,036,915
|
|
3.30
|
|
2,130,685
|
|
3.34
|
|
|||||
Agency CMBS
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
115,995
|
|
2.77
|
|
115,995
|
|
2.77
|
|
|||||
Municipal bonds and notes
|
90
|
|
6.83
|
|
17,221
|
|
6.08
|
|
65,836
|
|
6.67
|
|
365,258
|
|
6.75
|
|
448,405
|
|
6.71
|
|
|||||
CMBS
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
290,057
|
|
3.40
|
|
290,057
|
|
3.40
|
|
|||||
Private Label MBS
|
—
|
|
—
|
|
5,034
|
|
4.50
|
|
3,464
|
|
4.75
|
|
—
|
|
—
|
|
8,498
|
|
4.60
|
|
|||||
Total held-to-maturity
|
$
|
90
|
|
6.83
|
%
|
$
|
84,923
|
|
4.70
|
%
|
$
|
103,728
|
|
5.81
|
%
|
$
|
3,169,980
|
|
3.67
|
%
|
$
|
3,358,721
|
|
3.76
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total debt securities
|
$
|
415
|
|
1.51
|
%
|
$
|
190,415
|
|
3.76
|
%
|
$
|
317,852
|
|
3.26
|
%
|
$
|
5,953,386
|
|
3.35
|
%
|
$
|
6,462,068
|
|
3.36
|
%
|
|
At December 31,
|
|||||||||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|
2009
|
|||||||||||||||
(Dollars in thousands)
|
Amount
|
%
|
|
Amount
|
%
|
|
Amount
|
%
|
|
Amount
|
%
|
|
Amount
|
%
|
||||||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
1-4 family
|
$
|
3,308,472
|
|
26.1
|
|
$
|
3,246,586
|
|
26.9
|
|
$
|
3,184,730
|
|
28.4
|
|
$
|
3,118,069
|
|
28.3
|
|
$
|
2,862,728
|
|
25.9
|
Construction
|
45,495
|
|
0.4
|
|
39,359
|
|
0.3
|
|
29,084
|
|
0.3
|
|
22,630
|
|
0.2
|
|
32,225
|
|
0.3
|
|||||
Total residential
|
3,353,967
|
|
26.5
|
|
3,285,945
|
|
27.2
|
|
3,213,814
|
|
28.7
|
|
3,140,699
|
|
28.5
|
|
2,894,953
|
|
26.2
|
|||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Home equity
|
2,355,257
|
|
18.5
|
|
2,448,207
|
|
20.4
|
|
2,554,879
|
|
22.8
|
|
2,627,233
|
|
23.8
|
|
2,745,154
|
|
24.9
|
|||||
Liquidating - home equity
|
104,902
|
|
0.8
|
|
121,875
|
|
1.0
|
|
147,553
|
|
1.3
|
|
176,576
|
|
1.6
|
|
219,125
|
|
2.0
|
|||||
Other consumer
|
60,681
|
|
0.5
|
|
43,672
|
|
0.4
|
|
37,506
|
|
0.3
|
|
31,468
|
|
0.3
|
|
27,590
|
|
0.2
|
|||||
Total consumer
|
2,520,840
|
|
19.8
|
|
2,613,754
|
|
21.8
|
|
2,739,938
|
|
24.4
|
|
2,835,277
|
|
25.7
|
|
2,991,869
|
|
27.1
|
|||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial non-mortgage
|
2,734,025
|
|
21.5
|
|
2,409,816
|
|
20.0
|
|
1,939,629
|
|
17.3
|
|
1,653,733
|
|
15.0
|
|
1,505,181
|
|
13.7
|
|||||
Asset-based
|
560,666
|
|
4.4
|
|
505,425
|
|
4.2
|
|
454,078
|
|
4.0
|
|
455,290
|
|
4.1
|
|
527,187
|
|
4.8
|
|||||
Total commercial
|
3,294,691
|
|
25.9
|
|
2,915,241
|
|
24.2
|
|
2,393,707
|
|
21.3
|
|
2,109,023
|
|
19.1
|
|
2,032,368
|
|
18.5
|
|||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial real estate
|
2,856,110
|
|
22.5
|
|
2,644,229
|
|
22.0
|
|
2,274,110
|
|
20.3
|
|
2,064,603
|
|
18.7
|
|
1,921,685
|
|
17.4
|
|||||
Commercial construction
|
183,659
|
|
1.4
|
|
114,309
|
|
1.0
|
|
73,769
|
|
0.6
|
|
74,696
|
|
0.7
|
|
148,173
|
|
1.4
|
|||||
Residential development
|
21,738
|
|
0.2
|
|
27,761
|
|
0.2
|
|
39,765
|
|
0.3
|
|
59,832
|
|
0.5
|
|
114,586
|
|
1.0
|
|||||
Total commercial real estate
|
3,061,507
|
|
24.1
|
|
2,786,299
|
|
23.2
|
|
2,387,644
|
|
21.2
|
|
2,199,131
|
|
19.9
|
|
2,184,444
|
|
19.8
|
|||||
Equipment financing loans and leases
|
455,434
|
|
3.6
|
|
414,783
|
|
3.4
|
|
469,679
|
|
4.2
|
|
702,233
|
|
6.4
|
|
886,892
|
|
8.0
|
|||||
Net unamortized premiums
|
5,466
|
|
—
|
|
6,254
|
|
0.1
|
|
8,132
|
|
0.1
|
|
10,064
|
|
0.1
|
|
12,512
|
|
0.1
|
|||||
Net deferred fees
|
7,871
|
|
0.1
|
|
6,420
|
|
0.1
|
|
12,490
|
|
0.1
|
|
21,770
|
|
0.3
|
|
30,400
|
|
0.3
|
|||||
Loans and leases
|
12,699,776
|
|
100.0
|
|
12,028,696
|
|
100.0
|
|
11,225,404
|
|
100.0
|
|
11,018,197
|
|
100.0
|
|
11,033,438
|
|
100.0
|
|||||
Accrued interest
|
36,433
|
|
|
|
35,360
|
|
|
|
33,540
|
|
|
|
32,801
|
|
|
|
31,636
|
|
|
|||||
Recorded investment in loans and leases
|
$
|
12,736,209
|
|
|
|
$
|
12,064,056
|
|
|
|
$
|
11,258,944
|
|
|
|
$
|
11,050,998
|
|
|
|
$
|
11,065,074
|
|
|
|
Contractual Maturity
|
|||||||||||
(In thousands)
|
One Year or Less
|
More than One to Five Years
|
More than Five Years
|
Total
|
||||||||
Residential:
|
|
|
|
|
||||||||
1-4 family
|
$
|
2,189
|
|
$
|
54,862
|
|
$
|
3,251,421
|
|
$
|
3,308,472
|
|
Construction
|
1
|
|
—
|
|
45,494
|
|
45,495
|
|
||||
Total residential
|
2,190
|
|
54,862
|
|
3,296,915
|
|
3,353,967
|
|
||||
Consumer:
|
|
|
|
|
||||||||
Home equity
|
3,143
|
|
42,089
|
|
2,310,025
|
|
2,355,257
|
|
||||
Liquidating - home equity
|
—
|
|
457
|
|
104,445
|
|
104,902
|
|
||||
Other consumer
|
2,011
|
|
41,253
|
|
17,417
|
|
60,681
|
|
||||
Total consumer
|
5,154
|
|
83,799
|
|
2,431,887
|
|
2,520,840
|
|
||||
Commercial:
|
|
|
|
|
||||||||
Commercial non-mortgage
|
436,193
|
|
1,851,864
|
|
445,968
|
|
2,734,025
|
|
||||
Asset-based
|
55,507
|
|
487,420
|
|
17,739
|
|
560,666
|
|
||||
Total commercial
|
491,700
|
|
2,339,284
|
|
463,707
|
|
3,294,691
|
|
||||
Commercial real estate:
|
|
|
|
|
||||||||
Commercial real estate
|
355,035
|
|
1,199,716
|
|
1,301,359
|
|
2,856,110
|
|
||||
Commercial construction
|
23,779
|
|
75,636
|
|
84,244
|
|
183,659
|
|
||||
Residential development
|
12,179
|
|
9,559
|
|
—
|
|
21,738
|
|
||||
Total commercial real estate
|
390,993
|
|
1,284,911
|
|
1,385,603
|
|
3,061,507
|
|
||||
Equipment financing loans and leases
|
27,386
|
|
348,049
|
|
79,999
|
|
455,434
|
|
||||
Contractual maturity
|
$
|
917,423
|
|
$
|
4,110,905
|
|
$
|
7,658,111
|
|
$
|
12,686,439
|
|
Net unamortized premiums
|
|
|
|
5,466
|
|
|||||||
Net deferred fees
|
|
|
|
7,871
|
|
|||||||
Loans and leases
|
|
|
|
$
|
12,699,776
|
|
||||||
|
|
|
|
|
||||||||
|
Interest-Rate Sensitivity
|
|||||||||||
(In thousands)
|
One Year or Less
|
More than One to Five Years
|
More than Five Years
|
Total
|
||||||||
Fixed-rate
|
$
|
186,612
|
|
$
|
929,517
|
|
$
|
3,252,396
|
|
$
|
4,368,525
|
|
Variable-rate
|
730,811
|
|
3,181,388
|
|
4,405,715
|
|
8,317,914
|
|
||||
Contractual maturity
|
$
|
917,423
|
|
$
|
4,110,905
|
|
$
|
7,658,111
|
|
$
|
12,686,439
|
|
|
December 31,
|
|||||||||||||
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|
2009
|
|||||
Non-performing loans and leases as a percentage of loans and leases
|
1.28
|
%
|
|
1.62
|
%
|
|
1.68
|
%
|
|
2.48
|
%
|
|
3.38
|
%
|
Non-performing assets as a percentage of total assets
|
0.82
|
%
|
|
0.98
|
%
|
|
1.03
|
%
|
|
1.67
|
%
|
|
2.27
|
%
|
Non-performing assets as a percentage of loans and leases plus OREO
|
1.35
|
%
|
|
1.65
|
%
|
|
1.72
|
%
|
|
2.73
|
%
|
|
3.63
|
%
|
Net charge-offs as a percentage of average loans and leases
|
0.47
|
%
|
|
0.68
|
%
|
|
1.00
|
%
|
|
1.23
|
%
|
|
1.68
|
%
|
Allowance for loan and lease losses as a percentage of loans and leases
|
1.20
|
%
|
|
1.47
|
%
|
|
2.08
|
%
|
|
2.92
|
%
|
|
3.09
|
%
|
Allowance for loan and lease losses as a percentage of non-performing loans and leases
|
93.65
|
%
|
|
90.93
|
%
|
|
124.14
|
%
|
|
117.58
|
%
|
|
91.48
|
%
|
Ratio of allowance for loan and lease losses to net charge-offs
|
2.63x
|
|
|
2.28x
|
|
|
2.11x
|
|
|
2.39x
|
|
|
1.74x
|
|
|
At December 31,
|
|||||||||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|
2009
|
|||||||||||||||
(Dollars in thousands)
|
Amount
(1)
|
%
(2)
|
|
Amount
(1)
|
%
(2)
|
|
Amount
(1)
|
%
(2)
|
|
Amount
(1)
|
%
(2)
|
|
Amount
(1)
|
%
(2)
|
||||||||||
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
1-4 family
|
$
|
80,988
|
|
2.45
|
|
$
|
94,723
|
|
2.92
|
|
$
|
80,833
|
|
2.54
|
|
$
|
98,280
|
|
3.15
|
|
$
|
109,341
|
|
3.82
|
Construction
|
382
|
|
0.84
|
|
817
|
|
2.08
|
|
1,219
|
|
4.19
|
|
849
|
|
3.75
|
|
4,459
|
|
13.84
|
|||||
Total residential
|
81,370
|
|
2.43
|
|
95,540
|
|
2.91
|
|
82,052
|
|
2.55
|
|
99,129
|
|
3.16
|
|
113,800
|
|
3.93
|
|||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Home equity
|
45,434
|
|
1.93
|
|
49,402
|
|
2.02
|
|
24,943
|
|
0.98
|
|
34,456
|
|
1.31
|
|
38,636
|
|
1.41
|
|||||
Liquidating - home equity
|
6,245
|
|
5.95
|
|
8,133
|
|
6.67
|
|
5,091
|
|
3.45
|
|
9,722
|
|
5.51
|
|
16,248
|
|
7.41
|
|||||
Other consumer
|
139
|
|
0.23
|
|
135
|
|
0.31
|
|
116
|
|
0.31
|
|
119
|
|
0.38
|
|
119
|
|
0.43
|
|||||
Total consumer
|
51,818
|
|
2.06
|
|
57,670
|
|
2.21
|
|
30,150
|
|
1.10
|
|
44,297
|
|
1.56
|
|
55,003
|
|
1.84
|
|||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial non-mortgage
|
10,933
|
|
0.40
|
|
17,538
|
|
0.73
|
|
27,884
|
|
1.44
|
|
34,365
|
|
2.08
|
|
56,764
|
|
3.77
|
|||||
Asset-based
|
—
|
|
—
|
|
—
|
|
—
|
|
1,880
|
|
0.41
|
|
7,832
|
|
1.72
|
|
13,850
|
|
2.63
|
|||||
Total commercial
|
10,933
|
|
0.33
|
|
17,538
|
|
0.60
|
|
29,764
|
|
1.24
|
|
42,197
|
|
2.00
|
|
70,614
|
|
3.47
|
|||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial real estate
|
13,428
|
|
0.47
|
|
15,634
|
|
0.59
|
|
32,197
|
|
1.42
|
|
41,134
|
|
1.99
|
|
16,900
|
|
0.88
|
|||||
Commercial construction
|
49
|
|
0.03
|
|
49
|
|
0.04
|
|
—
|
|
—
|
|
10,856
|
|
14.53
|
|
39,244
|
|
26.49
|
|||||
Residential development
|
4,186
|
|
19.26
|
|
5,043
|
|
18.17
|
|
6,762
|
|
17.01
|
|
15,478
|
|
25.87
|
|
47,264
|
|
41.25
|
|||||
Total commercial real estate
|
17,663
|
|
0.58
|
|
20,726
|
|
0.74
|
|
38,959
|
|
1.63
|
|
67,468
|
|
3.07
|
|
103,408
|
|
4.73
|
|||||
Equipment financing loans and leases
|
1,141
|
|
0.25
|
|
3,325
|
|
0.80
|
|
7,154
|
|
1.52
|
|
20,482
|
|
2.92
|
|
30,152
|
|
3.40
|
|||||
Non-performing loans and leases
(3)
|
162,925
|
|
1.28
|
|
194,799
|
|
1.62
|
|
188,079
|
|
1.68
|
|
273,573
|
|
2.49
|
|
$
|
372,977
|
|
3.39
|
||||
Deferred fees and unamortized premiums
|
303
|
|
|
|
351
|
|
|
|
163
|
|
|
|
1,183
|
|
|
|
N/A
|
|
||||||
Recorded investment in non-performing loans and leases
|
$
|
163,228
|
|
|
|
$
|
195,150
|
|
|
|
$
|
188,242
|
|
|
|
$
|
274,756
|
|
|
|
N/A
(4)
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Non-performing loans and leases
(3)
|
$
|
162,925
|
|
|
|
$
|
194,799
|
|
|
|
$
|
188,079
|
|
|
|
$
|
273,573
|
|
|
|
$
|
372,977
|
|
|
Foreclosed and repossessed assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential and consumer
|
4,930
|
|
|
|
2,659
|
|
|
|
2,884
|
|
|
|
7,175
|
|
|
|
10,845
|
|
|
|||||
Commercial
|
3,752
|
|
|
|
723
|
|
|
|
2,084
|
|
|
|
21,056
|
|
|
|
18,143
|
|
|
|||||
Foreclosed and repossessed assets
|
8,682
|
|
|
|
3,382
|
|
|
|
4,968
|
|
|
|
28,231
|
|
|
|
28,988
|
|
|
|||||
Non-performing assets
(5)
|
$
|
171,607
|
|
|
|
$
|
198,181
|
|
|
|
$
|
193,047
|
|
|
|
$
|
301,804
|
|
|
|
$
|
401,965
|
|
|
(1)
|
Loan balances by class of loan exclude the impact of net deferred fees and unamortized premiums.
|
(2)
|
Represents the principal balance of non-performing loans and leases as a percentage of the outstanding principal balance within the comparable loan and lease category. Percentages exclude the impact of deferred fees and unamortized premiums.
|
(3)
|
Includes non-accrual restructured loans and leases of
$102.9 million
,
$115.5 million
,
$76.7 million
,
$95.8 million
and
$104.3 million
at
December 31, 2013
,
2012
,
2011
,
2010
and
2009
, respectively.
|
(4)
|
Recorded investment at December 31, 2009 is unavailable, as the Company began disclosing recorded investment upon the adoption of ASU 2010-20 at December 31, 2010.
|
(5)
|
Excludes one non-accrual available for sale security of
$5.2 million
at
December 31, 2013
and $3.1 million at December 31, 2012.
|
|
Years ended December 31,
|
||||||
(In thousands)
|
2013
|
|
2012
|
||||
Non-performing loans and leases, beginning of period
|
$
|
194,799
|
|
|
$
|
188,079
|
|
Additions
|
158,177
|
|
|
244,321
|
|
||
Paydowns/draws on existing non-performing loans and leases, net
|
(120,230
|
)
|
|
(131,146
|
)
|
||
Charge-offs
|
(57,204
|
)
|
|
(99,257
|
)
|
||
Other reductions
|
(12,617
|
)
|
|
(7,198
|
)
|
||
Non-performing loans and leases, end of period
|
$
|
162,925
|
|
|
$
|
194,799
|
|
|
At December 31,
|
||||||||||||||||||
(In thousands)
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|
2009
(1)
|
||||||||||
Residential TDRs
|
$
|
142,869
|
|
|
$
|
146,945
|
|
|
$
|
135,311
|
|
|
$
|
122,514
|
|
|
$
|
59,438
|
|
Consumer TDRs
|
52,181
|
|
|
54,793
|
|
|
36,629
|
|
|
32,158
|
|
|
12,453
|
|
|||||
Commercial TDRs
|
146,848
|
|
|
202,423
|
|
|
272,372
|
|
|
295,479
|
|
|
118,750
|
|
|||||
Total TDRs
|
$
|
341,898
|
|
|
$
|
404,161
|
|
|
$
|
444,312
|
|
|
$
|
450,151
|
|
|
$
|
190,641
|
|
(1)
|
Loan balances exclude deferred fees, unamortized premiums and accrued interest as recorded investment is unavailable.
|
|
At December 31,
|
||||||
(In thousands)
|
2013
|
|
2012
|
||||
Recorded investment of TDRs:
|
|
|
|
||||
Accrual status
|
$
|
238,926
|
|
|
$
|
288,578
|
|
Non-accrual status
|
102,972
|
|
|
115,583
|
|
||
Total recorded investment of TDRs
|
$
|
341,898
|
|
|
$
|
404,161
|
|
|
|
|
|
||||
Accruing TDRs performing under modified terms more than one year
|
58.2
|
%
|
|
60.2
|
%
|
||
Specific reserves for TDRs included in the balance of allowance for loan and lease losses
|
$
|
20,360
|
|
|
$
|
27,317
|
|
Additional funds committed to borrowers in TDR status
(1)
|
1,262
|
|
|
3,263
|
|
|
Years ended December 31,
|
||||||
(In thousands)
|
2013
|
|
2012
|
||||
TDRs, beginning of period
|
$
|
404,161
|
|
|
$
|
444,312
|
|
Additions
|
49,744
|
|
|
110,469
|
|
||
Paydowns/draws on existing TDRs, net
|
(84,276
|
)
|
|
(56,250
|
)
|
||
Charge-offs post modification
|
(24,374
|
)
|
|
(45,241
|
)
|
||
Loan sales
|
—
|
|
|
(15,105
|
)
|
||
Other reductions
(1)
|
(3,357
|
)
|
|
(34,024
|
)
|
||
TDRs, end of period
|
$
|
341,898
|
|
|
$
|
404,161
|
|
(1)
|
Other reductions include change in TDR status and transfers to OREO.
|
|
At December 31,
|
|||||||||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|
2009
|
|||||||||||||||
(Dollars in thousands)
|
Amount
(1)
|
%
(2)
|
|
Amount
(1)
|
%
(2)
|
|
Amount
(1)
|
%
(2)
|
|
Amount
(1)
|
%
(2)
|
|
Amount
(1)
|
%
(2)
|
||||||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
1-4 family
|
$
|
17,929
|
|
0.54
|
|
$
|
24,826
|
|
0.76
|
|
$
|
24,078
|
|
0.76
|
|
$
|
20,987
|
|
0.68
|
|
$
|
35,730
|
|
1.25
|
Construction
|
356
|
|
0.78
|
|
356
|
|
0.91
|
|
283
|
|
0.97
|
|
526
|
|
2.32
|
|
938
|
|
2.91
|
|||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Home equity
|
18,290
|
|
0.78
|
|
24,344
|
|
0.99
|
|
20,394
|
|
0.80
|
|
21,141
|
|
0.80
|
|
26,738
|
|
0.97
|
|||||
Liquidating - home equity
|
1,806
|
|
1.72
|
|
3,588
|
|
2.94
|
|
4,538
|
|
3.12
|
|
6,128
|
|
3.47
|
|
9,804
|
|
4.47
|
|||||
Other consumer
|
636
|
|
1.05
|
|
516
|
|
1.18
|
|
453
|
|
1.21
|
|
398
|
|
1.26
|
|
476
|
|
1.73
|
|||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial non-mortgage
|
4,100
|
|
0.15
|
|
2,769
|
|
0.11
|
|
4,619
|
|
0.24
|
|
5,201
|
|
0.31
|
|
7,871
|
|
0.52
|
|||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial real estate
|
4,897
|
|
0.17
|
|
14,710
|
|
0.56
|
|
1,766
|
|
0.08
|
|
11,006
|
|
0.53
|
|
8,184
|
|
0.43
|
|||||
Residential development
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
194
|
|
0.32
|
|
551
|
|
0.48
|
|||||
Equipment financing loans and leases
|
362
|
|
0.08
|
|
1,926
|
|
0.46
|
|
4,800
|
|
1.02
|
|
7,937
|
|
1.13
|
|
10,641
|
|
1.20
|
|||||
Total past due 30-89 days
|
48,376
|
|
0.38
|
|
73,035
|
|
0.61
|
|
60,931
|
|
0.54
|
|
73,518
|
|
0.67
|
|
100,933
|
|
0.92
|
|||||
Past due 90 days or more and accruing:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial non-mortgage
|
4,269
|
|
0.16
|
|
346
|
|
0.01
|
|
161
|
|
0.01
|
|
91
|
|
0.01
|
|
50
|
|
0.01
|
|||||
Commercial real estate
|
232
|
|
0.01
|
|
891
|
|
0.03
|
|
428
|
|
0.02
|
|
—
|
|
—
|
|
236
|
|
0.01
|
|||||
Residential development
|
—
|
|
—
|
|
—
|
|
—
|
|
135
|
|
0.34
|
|
—
|
|
—
|
|
—
|
|
—
|
|||||
Total past due 90 days or more and accruing
|
4,501
|
|
0.04
|
|
1,237
|
|
0.01
|
|
724
|
|
0.01
|
|
91
|
|
—
|
|
286
|
|
—
|
|||||
Loans and leases past due 30 days or more and accruing
|
52,877
|
|
0.42
|
|
74,272
|
|
0.62
|
|
61,655
|
|
0.55
|
|
73,609
|
|
0.67
|
|
$
|
101,219
|
|
0.92
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Deferred fees and unamortized premiums
|
189
|
|
|
|
214
|
|
|
|
194
|
|
|
|
245
|
|
|
|
N/A
|
|
||||||
Accrued interest
|
669
|
|
|
|
887
|
|
|
|
720
|
|
|
|
884
|
|
|
|
N/A
|
|
||||||
Recorded investment in loans and leases past due 30 days or more and accruing
|
$
|
53,735
|
|
|
|
$
|
75,373
|
|
|
|
$
|
62,569
|
|
|
|
$
|
74,738
|
|
|
|
N/A
(3)
|
|
(1)
|
Past due loan and lease balances exclude the impact of deferred fees and unamortized premiums.
|
(2)
|
Represents the principal balance of past due loans and leases as a percentage of the outstanding principal balance within the comparable loan and lease category. The percentage excludes the impact of deferred fees and unamortized premiums.
|
(3)
|
Recorded investment at December 31, 2009 is unavailable, as the Company began disclosing recorded investment upon the adoption of ASU 2010-20 at December 31, 2010.
|
|
At December 31,
|
|||||||||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|
2009
|
|||||||||||||||
(Dollars in thousands)
|
Amount
|
%
(1)
|
|
Amount
|
%
(1)
|
|
Amount
|
%
(1)
|
|
Amount
|
%
(1)
|
|
Amount
|
%
(1)
|
||||||||||
Residential
|
$
|
20,580
|
|
0.61
|
|
$
|
29,474
|
|
0.90
|
|
$
|
34,565
|
|
1.07
|
|
$
|
30,792
|
|
0.98
|
|
$
|
26,895
|
|
0.93
|
Consumer
|
39,551
|
|
1.56
|
|
54,254
|
|
2.06
|
|
67,785
|
|
2.46
|
|
95,071
|
|
3.33
|
|
102,017
|
|
3.38
|
|||||
Commercial
|
47,706
|
|
1.45
|
|
46,566
|
|
1.60
|
|
60,681
|
|
2.54
|
|
74,470
|
|
3.54
|
|
88,406
|
|
4.35
|
|||||
Commercial real estate
|
29,883
|
|
0.98
|
|
30,834
|
|
1.11
|
|
45,013
|
|
1.89
|
|
77,695
|
|
3.54
|
|
74,753
|
|
3.43
|
|||||
Equipment financing
|
3,912
|
|
0.85
|
|
4,001
|
|
0.95
|
|
8,943
|
|
1.88
|
|
21,637
|
|
3.04
|
|
29,113
|
|
3.24
|
|||||
Unallocated
|
10,941
|
|
—
|
|
12,000
|
|
—
|
|
16,500
|
|
—
|
|
22,000
|
|
—
|
|
20,000
|
|
—
|
|||||
ALLL reserve
|
$
|
152,573
|
|
1.20
|
|
$
|
177,129
|
|
1.47
|
|
$
|
233,487
|
|
2.08
|
|
$
|
321,665
|
|
2.92
|
|
$
|
341,184
|
|
3.09
|
(1)
|
Percentage represents allocated allowance for loan and lease losses to the total loans and leases within the comparable category. However, the allocation of a portion of the allowance to one category of loans and leases does not preclude its availability to absorb losses in other categories.
|
|
Years ended December 31,
|
|||||||||||||
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|
2009
|
|||||
Net charge-offs (recoveries):
|
|
|
|
|
|
|
|
|
|
|||||
Residential
|
0.31
|
%
|
|
0.37
|
%
|
|
0.34
|
%
|
|
0.51
|
%
|
|
0.59
|
%
|
Consumer
|
0.74
|
|
|
1.37
|
|
|
1.70
|
|
|
2.10
|
|
|
2.42
|
|
Commercial
|
0.55
|
|
|
1.12
|
|
|
1.53
|
|
|
1.34
|
|
|
2.47
|
|
Commercial real estate
|
0.48
|
|
|
0.30
|
|
|
0.99
|
|
|
0.85
|
|
|
0.77
|
|
Equipment financing
|
(0.67
|
)
|
|
(1.84
|
)
|
|
(0.73
|
)
|
|
1.52
|
|
|
2.80
|
|
Total net charge-offs to total average loans and leases
|
0.47
|
|
|
0.68
|
|
|
1.00
|
|
|
1.23
|
|
|
1.68
|
|
|
At or for the years ended December 31,
|
||||||||||||||||||
(In thousands)
|
2013
|
|
2012
|
|
2011
|
|
2010
|
|
2009
|
||||||||||
ALLL beginning balance
|
$
|
177,129
|
|
|
$
|
233,487
|
|
|
$
|
321,665
|
|
|
$
|
341,184
|
|
|
$
|
235,329
|
|
Allowance for sold loans
(1)
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(469
|
)
|
|||||
Provision
|
33,500
|
|
|
21,500
|
|
|
22,500
|
|
|
115,000
|
|
|
302,700
|
|
|||||
Charge-offs:
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential
|
(11,592
|
)
|
|
(12,927
|
)
|
|
(11,524
|
)
|
|
(16,991
|
)
|
|
(20,013
|
)
|
|||||
Consumer
|
(29,037
|
)
|
|
(43,920
|
)
|
|
(52,997
|
)
|
|
(66,215
|
)
|
|
(79,967
|
)
|
|||||
Commercial
|
(19,126
|
)
|
|
(35,793
|
)
|
|
(39,933
|
)
|
|
(31,570
|
)
|
|
(58,978
|
)
|
|||||
Commercial real estate
|
(15,425
|
)
|
|
(9,894
|
)
|
|
(22,721
|
)
|
|
(19,139
|
)
|
|
(17,140
|
)
|
|||||
Equipment financing
|
(279
|
)
|
|
(1,668
|
)
|
|
(2,154
|
)
|
|
(16,760
|
)
|
|
(29,801
|
)
|
|||||
Total charge-offs
|
(75,459
|
)
|
|
(104,202
|
)
|
|
(129,329
|
)
|
|
(150,675
|
)
|
|
(205,899
|
)
|
|||||
Recoveries:
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential
|
1,402
|
|
|
803
|
|
|
933
|
|
|
1,671
|
|
|
2,527
|
|
|||||
Consumer
|
6,185
|
|
|
7,040
|
|
|
5,449
|
|
|
4,637
|
|
|
3,199
|
|
|||||
Commercial
|
5,123
|
|
|
6,817
|
|
|
5,276
|
|
|
4,285
|
|
|
1,579
|
|
|||||
Commercial real estate
|
1,648
|
|
|
2,210
|
|
|
544
|
|
|
996
|
|
|
9
|
|
|||||
Equipment financing
|
3,045
|
|
|
9,474
|
|
|
6,449
|
|
|
4,567
|
|
|
2,209
|
|
|||||
Total recoveries
|
17,403
|
|
|
26,344
|
|
|
18,651
|
|
|
16,156
|
|
|
9,523
|
|
|||||
Net charge-offs
|
(58,056
|
)
|
|
(77,858
|
)
|
|
(110,678
|
)
|
|
(134,519
|
)
|
|
(196,376
|
)
|
|||||
ALLL ending balance
|
$
|
152,573
|
|
|
$
|
177,129
|
|
|
$
|
233,487
|
|
|
$
|
321,665
|
|
|
$
|
341,184
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Reserve for unfunded credit commitments:
(2)
|
|
|
|
|
|
|
|
|
|
||||||||||
Beginning balance
|
$
|
5,662
|
|
|
$
|
5,449
|
|
|
$
|
9,378
|
|
|
$
|
10,105
|
|
|
$
|
10,500
|
|
Provision
|
64
|
|
|
723
|
|
|
209
|
|
|
311
|
|
|
300
|
|
|||||
Benefit
|
(1,342
|
)
|
|
(510
|
)
|
|
(4,138
|
)
|
|
(1,038
|
)
|
|
(695
|
)
|
|||||
Ending balance-reserve for unfunded credit commitments
|
$
|
4,384
|
|
|
$
|
5,662
|
|
|
$
|
5,449
|
|
|
$
|
9,378
|
|
|
$
|
10,105
|
|
(1)
|
Balance represents the allowance for loans sold associated with the sale of Budget Installment Corporation in November 2009.
|
(2)
|
The reserve for unfunded credit commitments is reported as a component of accrued expenses and other liabilities in the accompanying Consolidated Balance Sheets. As of 2010, the provision is reflected as a component of non-interest expense.
|
|
Years ended December 31,
|
||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
||||||||||||
(Dollars in thousands)
|
Average
Balance
|
Average
Rate
|
|
Average
Balance
|
Average
Rate
|
|
Average
Balance
|
Average
Rate
|
|||||||||
Non-interest bearing:
|
|
|
|
|
|
|
|
|
|||||||||
Demand
|
$
|
2,939,324
|
|
|
|
$
|
2,638,025
|
|
|
|
$
|
2,278,419
|
|
|
|||
Interest-bearing:
|
|
|
|
|
|
|
|
|
|||||||||
Checking
|
1,873,337
|
|
0.05
|
%
|
|
1,635,857
|
|
0.06
|
%
|
|
1,436,405
|
|
0.12
|
%
|
|||
Health savings accounts
|
1,454,558
|
|
0.41
|
|
|
1,201,992
|
|
0.54
|
|
|
986,875
|
|
0.83
|
|
|||
Money market
|
2,341,568
|
|
0.20
|
|
|
2,190,266
|
|
0.22
|
|
|
2,408,765
|
|
0.33
|
|
|||
Savings
|
3,841,923
|
|
0.18
|
|
|
3,796,466
|
|
0.23
|
|
|
3,702,288
|
|
0.43
|
|
|||
Time deposits
|
2,357,321
|
|
1.20
|
|
|
2,703,414
|
|
1.43
|
|
|
3,031,835
|
|
1.55
|
|
|||
Total interest-bearing
|
11,868,707
|
|
0.39
|
|
|
11,527,995
|
|
0.52
|
|
|
11,566,168
|
|
0.70
|
|
|||
Total average deposits
|
$
|
14,808,031
|
|
0.31
|
%
|
|
$
|
14,166,020
|
|
0.42
|
%
|
|
$
|
13,844,587
|
|
0.58
|
%
|
|
Years ended December 31,
|
||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
||||||||||||
(Dollars in thousands)
|
Average
Balance
|
Average
Rate
|
|
Average
Balance
|
Average
Rate
|
|
Average
Balance
|
Average
Rate
|
|||||||||
FHLB advances
|
$
|
1,652,471
|
|
0.98
|
%
|
|
$
|
1,389,999
|
|
1.22
|
%
|
|
$
|
569,987
|
|
2.52
|
%
|
Securities sold under agreements to repurchase
|
972,313
|
|
2.09
|
|
|
1,033,933
|
|
2.01
|
|
|
919,762
|
|
1.74
|
|
|||
Federal funds
|
255,689
|
|
0.18
|
|
|
173,690
|
|
0.17
|
|
|
122,656
|
|
0.14
|
|
|||
Treasury, tax and loan
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
10,905
|
|
—
|
|
|||
Long-term debt
|
233,850
|
|
3.12
|
|
|
418,896
|
|
4.07
|
|
|
565,331
|
|
4.36
|
|
|||
Total average borrowings
|
$
|
3,114,323
|
|
1.42
|
%
|
|
$
|
3,016,518
|
|
1.82
|
%
|
|
$
|
2,188,641
|
|
2.52
|
%
|
|
Payments Due by Period
|
||||||||||||||
(In thousands)
|
Total
|
Less than
one year
|
1-3 years
|
3-5 years
|
After 5
years
|
||||||||||
Contractual Obligations:
|
|
|
|
|
|
||||||||||
FHLB advances
|
$
|
2,052,360
|
|
$
|
1,550,000
|
|
$
|
145,934
|
|
$
|
200,500
|
|
$
|
155,926
|
|
Senior notes
|
150,000
|
|
150,000
|
|
—
|
|
—
|
|
—
|
|
|||||
Junior subordinated debt
|
77,320
|
|
—
|
|
—
|
|
—
|
|
77,320
|
|
|||||
Securities sold under agreements to repurchase
|
1,009,662
|
|
459,662
|
|
150,000
|
|
400,000
|
|
—
|
|
|||||
Operating leases
|
153,096
|
|
19,206
|
|
36,427
|
|
28,164
|
|
69,299
|
|
|||||
Purchase obligations
|
167,992
|
|
38,356
|
|
53,297
|
|
40,840
|
|
35,499
|
|
|||||
Deposits with stated maturity dates
|
2,227,144
|
|
1,345,729
|
|
663,099
|
|
217,004
|
|
1,312
|
|
|||||
Total contractual obligations
|
$
|
5,837,574
|
|
$
|
3,562,953
|
|
$
|
1,048,757
|
|
$
|
886,508
|
|
$
|
339,356
|
|
NII
|
-200bp
|
-100bp
|
+100bp
|
+200bp
|
December 31, 2013
|
N/A
|
N/A
|
0.1%
|
0.6%
|
December 31, 2012
|
N/A
|
N/A
|
0.3%
|
1.1%
|
PPNR
|
-200bp
|
-100bp
|
+100bp
|
+200bp
|
December 31, 2013
|
N/A
|
N/A
|
0.7%
|
2.0%
|
December 31, 2012
|
N/A
|
N/A
|
(0.3)%
|
0.3%
|
NII
|
Short End of the Yield Curve
|
|
Long End of the Yield Curve
|
||||||
|
-100bp
|
-50bp
|
+50bp
|
+100bp
|
|
-100bp
|
-50bp
|
+50bp
|
+100bp
|
December 31, 2013
|
N/A
|
N/A
|
(1.1)%
|
(2.0)%
|
|
(2.8)%
|
(1.4)%
|
1.3%
|
2.6%
|
December 31, 2012
|
N/A
|
N/A
|
(1.2)%
|
(2.2)%
|
|
(4.0)%
|
(2.0)%
|
2.0%
|
3.9%
|
PPNR
|
Short End of the Yield Curve
|
|
Long End of the Yield Curve
|
||||||
|
-100bp
|
-50bp
|
+50bp
|
+100bp
|
|
-100bp
|
-50bp
|
+50bp
|
+100bp
|
December 31, 2013
|
N/A
|
N/A
|
(1.4)%
|
(2.6)%
|
|
(4.5)%
|
(2.1)%
|
2.1%
|
4.3%
|
December 31, 2012
|
N/A
|
N/A
|
(2.2)%
|
(4.4)%
|
|
(7.4)%
|
(3.4)%
|
2.7%
|
5.4%
|
|
Book
Value
|
Estimated
Economic
Value
|
Estimated Economic Value Change
|
|||||||
|
||||||||||
(Dollars in thousands)
|
-100 BP
|
+100 BP
|
||||||||
December 31, 2013
|
|
|
|
|
||||||
Assets
|
$
|
20,852,999
|
|
$
|
20,589,480
|
|
N/A
|
$
|
(571,146
|
)
|
Liabilities
|
18,643,811
|
|
18,108,291
|
|
N/A
|
(374,071
|
)
|
|||
Total
|
$
|
2,209,188
|
|
$
|
2,481,189
|
|
N/A
|
$
|
(197,075
|
)
|
Net change as % base net economic value
|
|
|
|
(7.9
|
)%
|
|||||
|
|
|
|
|
||||||
December 31, 2012
|
|
|
|
|
||||||
Assets
|
$
|
20,146,765
|
|
$
|
20,154,666
|
|
N/A
|
$
|
(352,358
|
)
|
Liabilities
|
18,053,235
|
|
17,912,452
|
|
N/A
|
(424,867
|
)
|
|||
Total
|
$
|
2,093,530
|
|
$
|
2,242,214
|
|
N/A
|
$
|
72,509
|
|
Net change as % base net economic value
|
|
|
|
3.2
|
%
|
Financial Instrument
|
|
Hierarchy
|
|
Valuation Methodology
|
|
|
|
||
Available for sale securities
|
|
Level 1
|
|
Consists of U.S. Treasury securities and equity securities which have quoted prices.
|
|
|
Level 2
|
|
Consists of Agency CMOs, Agency MBS, Agency CMBS, CMBS, CLOs, single-issuer trust preferred securities, auction rate preferred securities, and corporate bonds, for which quoted market prices are not available. Management employs an independent pricing service that utilizes matrix pricing to calculate fair value. This fair value measurement considers observable data such as dealer quotes, dealer price indications, market spreads, credit information, and the respective terms and conditions for debt instruments. Procedures are in place to monitor assumptions and establish processes to challenge valuations received from pricing services that appear unusual or unexpected.
|
|
|
Level 3
|
|
Consists of pooled trust preferred securities. Management uses an internally developed model to value pooled trust preferred securities. Various model inputs include actual and estimated deferral and default rates, and discount rates implied from observable market inputs.
|
Derivative instruments
|
|
Level 1
|
|
Consists of Fed Funds futures contracts which have quoted prices.
|
|
|
Level 2
|
|
Consists of interest rate swaps and mortgage banking derivatives. Management uses readily observable market parameters to value these contracts. Further, for interest rate swaps, Bloomberg models are utilized.
|
Investments held in Rabbi Trust
|
|
Level 1
|
|
Consists primarily of mutual funds that invest in equity and fixed income securities. Shares of mutual funds are valued based on net asset value, which represents quoted market prices for the underlying shares held in the mutual fund.
|
Alternative investments
|
|
Level 3
|
|
Webster records investments in private equity funds at cost or fair value based on ownership percentage in the fund. Ownership in investments less than 3% are recorded at cost and are subject to impairment testing. Equity investments that do not have a readily determinable fair value are recorded at cost and subject to impairment testing. Investment ownership in private equity funds greater than 3% are accounted for at fair value using a Net Asset Value (NAV) as a practical expedient to calculate fair value.
|
|
Page No.
|
Reports of Independent Registered Public Accounting Firms
|
|
Consolidated Balance Sheets
|
|
Consolidated Statements of Income
|
|
Consolidated Statements of Comprehensive Income
|
|
Consolidated Statements of Shareholders' Equity
|
|
Consolidated Statements of Cash Flows
|
|
Notes to Consolidated Financial Statements
|
|
December 31,
|
|||||
(In thousands, except share data)
|
2013
|
2012
|
||||
Assets:
|
|
|
||||
Cash and due from banks
|
$
|
223,616
|
|
$
|
252,283
|
|
Interest-bearing deposits
|
23,674
|
|
98,205
|
|
||
Securities available for sale, at fair value
|
3,106,931
|
|
3,136,160
|
|
||
Securities held-to-maturity (fair value of $3,370,912 and $3,264,718)
|
3,358,721
|
|
3,107,529
|
|
||
Federal Home Loan Bank and Federal Reserve Bank stock
|
158,878
|
|
155,630
|
|
||
Loans held for sale
|
20,802
|
|
107,633
|
|
||
Loans and leases
|
12,699,776
|
|
12,028,696
|
|
||
Allowance for loan and lease losses
|
(152,573
|
)
|
(177,129
|
)
|
||
Loans and leases, net
|
12,547,203
|
|
11,851,567
|
|
||
Deferred tax asset, net
|
65,109
|
|
68,681
|
|
||
Premises and equipment, net
|
121,605
|
|
134,562
|
|
||
Goodwill
|
529,887
|
|
529,887
|
|
||
Other intangible assets, net
|
5,351
|
|
10,270
|
|
||
Cash surrender value of life insurance policies
|
430,535
|
|
418,293
|
|
||
Prepaid FDIC premiums
|
—
|
|
16,323
|
|
||
Accrued interest receivable and other assets
|
260,687
|
|
259,742
|
|
||
Total assets
|
$
|
20,852,999
|
|
$
|
20,146,765
|
|
Liabilities and shareholders' equity:
|
|
|
||||
Deposits:
|
|
|
||||
Non-interest-bearing
|
$
|
3,128,152
|
|
$
|
2,881,131
|
|
Interest-bearing
|
11,726,268
|
|
11,649,704
|
|
||
Total deposits
|
14,854,420
|
|
14,530,835
|
|
||
Securities sold under agreements to repurchase and other borrowings
|
1,331,662
|
|
1,076,160
|
|
||
Federal Home Loan Bank advances
|
2,052,421
|
|
1,827,612
|
|
||
Long-term debt
|
228,365
|
|
334,276
|
|
||
Accrued expenses and other liabilities
|
176,943
|
|
284,352
|
|
||
Total liabilities
|
18,643,811
|
|
18,053,235
|
|
||
Shareholders’ equity:
|
|
|
||||
Preferred stock, $.01 par value; Authorized - 3,000,000 shares:
|
|
|
||||
Series A issued and outstanding - 28,939 shares
|
28,939
|
|
28,939
|
|
||
Series E issued and outstanding - 5,060 shares
|
122,710
|
|
122,710
|
|
||
Common stock, $.01 par value; Authorized - 200,000,000 shares
|
|
|
||||
Issued - 93,366,673 and 90,735,596 shares
|
934
|
|
907
|
|
||
Paid-in capital
|
1,125,584
|
|
1,145,620
|
|
||
Retained earnings
|
1,080,488
|
|
1,000,427
|
|
||
Less: Treasury stock, at cost (3,407,256 and 5,772,006 shares)
|
(100,918
|
)
|
(172,807
|
)
|
||
Accumulated other comprehensive loss
|
(48,549
|
)
|
(32,266
|
)
|
||
Total shareholders' equity
|
2,209,188
|
|
2,093,530
|
|
||
Total liabilities and shareholders' equity
|
$
|
20,852,999
|
|
$
|
20,146,765
|
|
|
Years ended December 31,
|
||||||||
(In thousands, except per share data)
|
2013
|
2012
|
2011
|
||||||
Interest Income:
|
|
|
|
||||||
Interest and fees on loans and leases
|
$
|
490,985
|
|
$
|
485,666
|
|
$
|
486,883
|
|
Taxable interest and dividends on securities
|
172,151
|
|
178,215
|
|
182,599
|
|
|||
Non-taxable interest on securities
|
22,436
|
|
27,196
|
|
29,006
|
|
|||
Loans held for sale
|
2,068
|
|
2,425
|
|
1,235
|
|
|||
Total interest income
|
687,640
|
|
693,502
|
|
699,723
|
|
|||
Interest Expense:
|
|
|
|
||||||
Deposits
|
46,582
|
|
59,586
|
|
80,808
|
|
|||
Securities sold under agreements to repurchase and other borrowings
|
20,800
|
|
21,034
|
|
16,172
|
|
|||
Federal Home Loan Bank advances
|
16,229
|
|
16,943
|
|
14,352
|
|
|||
Long-term debt
|
7,301
|
|
17,031
|
|
24,623
|
|
|||
Total interest expense
|
90,912
|
|
114,594
|
|
135,955
|
|
|||
Net interest income
|
596,728
|
|
578,908
|
|
563,768
|
|
|||
Provision for loan and lease losses
|
33,500
|
|
21,500
|
|
22,500
|
|
|||
Net interest income after provision for loan and lease losses
|
563,228
|
|
557,408
|
|
541,268
|
|
|||
Non-interest Income:
|
|
|
|
||||||
Deposit service fees
|
98,968
|
|
96,633
|
|
102,795
|
|
|||
Loan related fees
|
21,860
|
|
18,043
|
|
20,237
|
|
|||
Wealth and investment services
|
34,771
|
|
29,515
|
|
26,421
|
|
|||
Mortgage banking activities
|
16,359
|
|
23,037
|
|
4,905
|
|
|||
Increase in cash surrender value of life insurance policies
|
13,770
|
|
11,254
|
|
10,360
|
|
|||
Net loss on trading securities
|
—
|
|
—
|
|
(1,799
|
)
|
|||
Net gain on sale of investment securities
|
712
|
|
3,347
|
|
3,823
|
|
|||
Impairment loss recognized in earnings
|
(7,277
|
)
|
—
|
|
—
|
|
|||
Other income
|
11,887
|
|
10,929
|
|
10,300
|
|
|||
Total non-interest income
|
191,050
|
|
192,758
|
|
177,042
|
|
|||
Non-interest Expense:
|
|
|
|
||||||
Compensation and benefits
|
264,835
|
|
264,101
|
|
262,647
|
|
|||
Occupancy
|
48,794
|
|
50,131
|
|
53,866
|
|
|||
Technology and equipment
|
60,326
|
|
62,210
|
|
60,721
|
|
|||
Intangible assets amortization
|
4,919
|
|
5,420
|
|
5,588
|
|
|||
Marketing
|
15,502
|
|
16,827
|
|
18,456
|
|
|||
Professional and outside services
|
9,532
|
|
11,348
|
|
11,203
|
|
|||
Deposit insurance
|
21,114
|
|
22,749
|
|
20,927
|
|
|||
Litigation
|
—
|
|
—
|
|
(9,523
|
)
|
|||
Other expense
|
73,037
|
|
69,018
|
|
87,091
|
|
|||
Total non-interest expense
|
498,059
|
|
501,804
|
|
510,976
|
|
|||
Income from continuing operations before income tax expense
|
256,219
|
|
248,362
|
|
207,334
|
|
|||
Income tax expense
|
76,670
|
|
74,665
|
|
57,951
|
|
|||
Income from continuing operations
|
179,549
|
|
173,697
|
|
149,383
|
|
|||
Income from discontinued operations, net of tax
|
—
|
|
—
|
|
1,995
|
|
|||
Net income
|
179,549
|
|
173,697
|
|
151,378
|
|
|||
Less: Net loss attributable to non controlling interests
|
—
|
|
—
|
|
(1
|
)
|
|||
Net income attributable to Webster Financial Corporation
|
179,549
|
|
173,697
|
|
151,379
|
|
|||
Preferred stock dividends
|
(10,803
|
)
|
(2,460
|
)
|
(3,286
|
)
|
|||
Net income available to common shareholders
|
$
|
168,746
|
|
$
|
171,237
|
|
$
|
148,093
|
|
|
Years ended December 31,
|
||||||||
(In thousands, except per share data)
|
2013
|
2012
|
2011
|
||||||
Net income per common share:
|
|
|
|
||||||
Basic:
|
|
|
|
||||||
Income from continuing operations
|
$
|
1.90
|
|
$
|
1.96
|
|
$
|
1.67
|
|
Income from discontinued operations, net of tax
|
—
|
|
—
|
|
0.02
|
|
|||
Net income available to common shareholders
|
$
|
1.90
|
|
$
|
1.96
|
|
$
|
1.69
|
|
Diluted:
|
|
|
|
||||||
Income from continuing operations
|
$
|
1.86
|
|
$
|
1.86
|
|
$
|
1.59
|
|
Income from discontinued operations, net of tax
|
—
|
|
—
|
|
0.02
|
|
|||
Net income available to common shareholders
|
$
|
1.86
|
|
$
|
1.86
|
|
$
|
1.61
|
|
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Net income
|
$
|
179,549
|
|
$
|
173,697
|
|
$
|
151,378
|
|
Other comprehensive income, net of taxes:
|
|
|
|
||||||
Total available for sale and transferred securities
|
(45,358
|
)
|
26,774
|
|
(1,562
|
)
|
|||
Total derivative instruments
|
9,696
|
|
982
|
|
(22,995
|
)
|
|||
Total defined benefit pension and postretirement benefit plans
|
19,379
|
|
182
|
|
(21,938
|
)
|
|||
Other comprehensive (loss) income
|
(16,283
|
)
|
27,938
|
|
(46,495
|
)
|
|||
Comprehensive income
|
163,266
|
|
201,635
|
|
104,883
|
|
|||
Less: comprehensive loss attributable to non controlling interests
|
—
|
|
—
|
|
(1
|
)
|
|||
Comprehensive income attributable to Webster Financial Corporation
|
$
|
163,266
|
|
$
|
201,635
|
|
$
|
104,884
|
|
(In thousands, except per share data)
|
Preferred
Stock
|
Common
Stock
|
Paid-In
Capital
|
Retained
Earnings
|
Treasury
Stock
|
Accumulated
Other
Comprehensive
Loss
|
Non
Controlling
Interests
|
Total
Equity
|
||||||||||||||||
Balance at December 31, 2010
|
$
|
28,939
|
|
$
|
907
|
|
$
|
1,160,690
|
|
$
|
741,870
|
|
$
|
(149,462
|
)
|
$
|
(13,709
|
)
|
$
|
9,644
|
|
$
|
1,778,879
|
|
Net income (loss)
|
—
|
|
—
|
|
—
|
|
151,379
|
|
—
|
|
—
|
|
(1
|
)
|
151,378
|
|
||||||||
Other comprehensive loss
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(46,495
|
)
|
—
|
|
(46,495
|
)
|
||||||||
Dividends declared on common stock of $0.16 per share
|
—
|
|
—
|
|
—
|
|
(13,978
|
)
|
—
|
|
—
|
|
—
|
|
(13,978
|
)
|
||||||||
Dividends declared on Series A preferred stock $85.00 per share
|
—
|
|
—
|
|
—
|
|
(2,460
|
)
|
—
|
|
—
|
|
—
|
|
(2,460
|
)
|
||||||||
Subsidiary preferred stock dividends $0.8265 per share
|
—
|
|
—
|
|
—
|
|
(826
|
)
|
—
|
|
—
|
|
—
|
|
(826
|
)
|
||||||||
Redemption of subsidiary preferred stock
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(9,577
|
)
|
(9,577
|
)
|
||||||||
Dissolution of joint venture
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(66
|
)
|
(66
|
)
|
||||||||
Common stock warrants repurchased
|
—
|
|
—
|
|
(16,285
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(16,285
|
)
|
||||||||
Exercise of stock options
|
—
|
|
—
|
|
(371
|
)
|
—
|
|
584
|
|
—
|
|
—
|
|
213
|
|
||||||||
Net shares acquired related to employee share-based compensation plans
|
—
|
|
—
|
|
3
|
|
—
|
|
(1,673
|
)
|
—
|
|
—
|
|
(1,670
|
)
|
||||||||
Stock-based compensation, net of tax effects
|
—
|
|
—
|
|
1,014
|
|
(10,233
|
)
|
15,191
|
|
—
|
|
—
|
|
5,972
|
|
||||||||
Issuance of common stock
|
—
|
|
—
|
|
295
|
|
(325
|
)
|
719
|
|
—
|
|
—
|
|
689
|
|
||||||||
Balance at December 31, 2011
|
28,939
|
|
907
|
|
1,145,346
|
|
865,427
|
|
(134,641
|
)
|
(60,204
|
)
|
—
|
|
1,845,774
|
|
||||||||
Net income
|
—
|
|
—
|
|
—
|
|
173,697
|
|
—
|
|
—
|
|
—
|
|
173,697
|
|
||||||||
Other comprehensive income
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
27,938
|
|
—
|
|
27,938
|
|
||||||||
Dividends declared on common stock of $0.35 per share
|
—
|
|
—
|
|
—
|
|
(30,667
|
)
|
—
|
|
—
|
|
—
|
|
(30,667
|
)
|
||||||||
Dividends declared on Series A preferred stock $85.00 per share
|
—
|
|
—
|
|
—
|
|
(2,460
|
)
|
—
|
|
—
|
|
—
|
|
(2,460
|
)
|
||||||||
Repurchase of 2,518,891 common shares
|
—
|
|
—
|
|
—
|
|
—
|
|
(50,000
|
)
|
—
|
|
—
|
|
(50,000
|
)
|
||||||||
Common stock warrants repurchased
|
—
|
|
—
|
|
(388
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(388
|
)
|
||||||||
Exercise of stock options
|
—
|
|
—
|
|
(1,988
|
)
|
—
|
|
2,984
|
|
—
|
|
—
|
|
996
|
|
||||||||
Net shares acquired related to employee share-based compensation plans
|
—
|
|
—
|
|
—
|
|
—
|
|
(3,243
|
)
|
—
|
|
—
|
|
(3,243
|
)
|
||||||||
Stock-based compensation, net of tax effects
|
—
|
|
—
|
|
2,090
|
|
(5,570
|
)
|
12,093
|
|
—
|
|
—
|
|
8,613
|
|
||||||||
Issuance of Series E preferred stock
|
122,710
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
122,710
|
|
||||||||
Issuance of common stock
|
—
|
|
—
|
|
560
|
|
—
|
|
—
|
|
—
|
|
—
|
|
560
|
|
||||||||
Balance at December 31, 2012
|
151,649
|
|
907
|
|
1,145,620
|
|
1,000,427
|
|
(172,807
|
)
|
(32,266
|
)
|
—
|
|
2,093,530
|
|
||||||||
Net income
|
—
|
|
—
|
|
—
|
|
179,549
|
|
—
|
|
—
|
|
—
|
|
179,549
|
|
||||||||
Other comprehensive loss
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(16,283
|
)
|
—
|
|
(16,283
|
)
|
||||||||
Dividends declared on common stock of $0.55 per share
|
—
|
|
—
|
|
—
|
|
(48,952
|
)
|
—
|
|
—
|
|
—
|
|
(48,952
|
)
|
||||||||
Dividends declared on Series A preferred stock $85.00 per share
|
—
|
|
—
|
|
—
|
|
(2,460
|
)
|
—
|
|
—
|
|
—
|
|
(2,460
|
)
|
||||||||
Dividends declared on Series E preferred stock $1,648.89 per share
|
—
|
|
—
|
|
—
|
|
(8,343
|
)
|
—
|
|
—
|
|
—
|
|
(8,343
|
)
|
||||||||
Common stock warrants repurchased
|
—
|
|
—
|
|
(30
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
(30
|
)
|
||||||||
Exercise of stock options
|
—
|
|
—
|
|
(2,101
|
)
|
—
|
|
4,837
|
|
—
|
|
—
|
|
2,736
|
|
||||||||
Net shares acquired related to employee share-based compensation plans
|
—
|
|
—
|
|
—
|
|
—
|
|
(672
|
)
|
—
|
|
—
|
|
(672
|
)
|
||||||||
Stock-based compensation, net of tax effects
|
—
|
|
—
|
|
2,832
|
|
(3,477
|
)
|
10,027
|
|
—
|
|
—
|
|
9,382
|
|
||||||||
Issuance of common stock
|
—
|
|
27
|
|
(20,737
|
)
|
(36,256
|
)
|
57,697
|
|
—
|
|
—
|
|
731
|
|
||||||||
Balance at December 31, 2013
|
$
|
151,649
|
|
$
|
934
|
|
$
|
1,125,584
|
|
$
|
1,080,488
|
|
$
|
(100,918
|
)
|
$
|
(48,549
|
)
|
$
|
—
|
|
$
|
2,209,188
|
|
|
Years ended December 31,
|
||||||||||
(In thousands)
|
2013
|
|
2012
|
|
2011
|
||||||
Operating Activities:
|
|
|
|
|
|
||||||
Net income attributable to Webster Financial Corporation
|
$
|
179,549
|
|
|
$
|
173,697
|
|
|
$
|
151,378
|
|
Income from discontinued operations, net of tax
|
—
|
|
|
—
|
|
|
1,995
|
|
|||
Income from continuing operations
|
179,549
|
|
|
173,697
|
|
|
149,383
|
|
|||
Adjustments to reconcile income from continuing operations to net cash provided by operating activities:
|
|
|
|
|
|
||||||
Provision for loan and lease losses
|
33,500
|
|
|
21,500
|
|
|
22,500
|
|
|||
Deferred tax expense
|
11,427
|
|
|
20,992
|
|
|
28,975
|
|
|||
Depreciation and amortization
|
97,414
|
|
|
108,539
|
|
|
83,154
|
|
|||
Stock-based compensation
|
10,664
|
|
|
8,955
|
|
|
6,040
|
|
|||
Excess tax benefits from stock-based compensation
|
(389
|
)
|
|
(812
|
)
|
|
(392
|
)
|
|||
(Gain) loss on sale net of write-down, on foreclosed and repossessed assets
|
(1,295
|
)
|
|
(2,344
|
)
|
|
5,954
|
|
|||
Loss on sale and write-down on premises and equipment, net
|
1,287
|
|
|
745
|
|
|
3,071
|
|
|||
Impairment loss recognized in earnings
|
7,277
|
|
|
—
|
|
|
—
|
|
|||
Loss (gain) on fair value adjustment of alternate investments
|
389
|
|
|
720
|
|
|
(1,605
|
)
|
|||
Loss on fair value adjustment of derivative instruments
|
438
|
|
|
48
|
|
|
1,815
|
|
|||
Net gain on the sale of investment securities
|
(712
|
)
|
|
(3,347
|
)
|
|
(3,823
|
)
|
|||
Net decrease in trading securities
|
—
|
|
|
—
|
|
|
11,554
|
|
|||
Increase in cash surrender value of life insurance policies
|
(13,770
|
)
|
|
(11,254
|
)
|
|
(10,360
|
)
|
|||
Gain from life insurance policies
|
(1,070
|
)
|
|
—
|
|
|
(798
|
)
|
|||
Gain on sale for loans held for sale
|
(16,359
|
)
|
|
(23,037
|
)
|
|
(4,905
|
)
|
|||
Proceeds from sale of loans held for sale
|
786,658
|
|
|
750,470
|
|
|
315,068
|
|
|||
Originations of loans held for sale
|
(687,090
|
)
|
|
(759,355
|
)
|
|
(295,519
|
)
|
|||
Net decrease (increase) in accrued interest receivable and other assets
|
83,541
|
|
|
(7,847
|
)
|
|
(26,824
|
)
|
|||
Net decrease in accrued expenses and other liabilities
|
(14,735
|
)
|
|
(20,588
|
)
|
|
(17,158
|
)
|
|||
Net cash provided by operating activities
|
476,724
|
|
|
257,082
|
|
|
266,130
|
|
|||
Investing Activities:
|
|
|
|
|
|
||||||
Net decrease (increase) in interest-bearing deposits
|
31,761
|
|
|
(2,143
|
)
|
|
(43,251
|
)
|
|||
Purchases of available for sale securities
|
(952,995
|
)
|
|
(1,204,079
|
)
|
|
(1,305,583
|
)
|
|||
Proceeds from maturities and principal payments of available for sale securities
|
741,467
|
|
|
854,747
|
|
|
545,933
|
|
|||
Proceeds from sales of available for sale securities
|
57,804
|
|
|
148,222
|
|
|
278,757
|
|
|||
Purchases of held-to-maturity securities
|
(989,397
|
)
|
|
(946,996
|
)
|
|
(493,618
|
)
|
|||
Proceeds from maturities and principal payments of held-to-maturity securities
|
717,601
|
|
|
796,481
|
|
|
579,931
|
|
|||
Net purchase of Federal Home Loan Bank and Federal Reserve Board stock
|
(3,248
|
)
|
|
(11,756
|
)
|
|
—
|
|
|||
Net increase in loans
|
(742,055
|
)
|
|
(915,435
|
)
|
|
(338,037
|
)
|
|||
Purchase of life insurance policies
|
—
|
|
|
(100,000
|
)
|
|
—
|
|
|||
Proceeds from life insurance policies
|
1,768
|
|
|
—
|
|
|
2,268
|
|
|||
Proceeds from the sale of foreclosed properties and repossessed assets
|
7,745
|
|
|
11,469
|
|
|
26,877
|
|
|||
Proceeds from the sale of premises and equipment
|
1,304
|
|
|
1,381
|
|
|
3,881
|
|
|||
Purchases of premises and equipment
|
(21,886
|
)
|
|
(21,983
|
)
|
|
(28,867
|
)
|
|||
Net cash used for investing activities
|
(1,150,131
|
)
|
|
(1,390,092
|
)
|
|
(771,709
|
)
|
|||
Financing Activities:
|
|
|
|
|
|
||||||
Net increase in deposits
|
323,585
|
|
|
874,810
|
|
|
47,240
|
|
|||
Proceeds from Federal Home Loan Bank advances
|
4,928,120
|
|
|
6,919,849
|
|
|
1,678,934
|
|
|||
Repayments of Federal Home Loan Bank advances
|
(4,703,287
|
)
|
|
(6,344,126
|
)
|
|
(1,193,520
|
)
|
|||
Net increase (decrease) in securities sold under agreements to repurchase and other borrowings
|
255,502
|
|
|
(88,546
|
)
|
|
73,229
|
|
|||
Repayment of long-term debt
|
(102,579
|
)
|
|
(210,971
|
)
|
|
(22,689
|
)
|
|||
Issuance of preferred stock
|
—
|
|
|
122,710
|
|
|
—
|
|
|||
Redemption of subsidiary preferred stock
|
—
|
|
|
—
|
|
|
(9,577
|
)
|
|||
Cash dividends paid to common shareholders
|
(48,952
|
)
|
|
(30,667
|
)
|
|
(13,978
|
)
|
|||
Cash dividends paid to preferred shareholders of consolidated subsidiary
|
—
|
|
|
—
|
|
|
(826
|
)
|
|||
Cash dividends paid to preferred shareholders
|
(10,803
|
)
|
|
(2,460
|
)
|
|
(2,460
|
)
|
|||
Exercise of stock options
|
2,736
|
|
|
996
|
|
|
213
|
|
|||
Excess tax benefits from stock-based compensation
|
389
|
|
|
812
|
|
|
392
|
|
|||
Issuance of common stock
|
731
|
|
|
560
|
|
|
689
|
|
|||
Common stock repurchased
|
(672
|
)
|
|
(53,243
|
)
|
|
(1,670
|
)
|
|||
Common stock warrants repurchased
|
(30
|
)
|
|
(388
|
)
|
|
(16,285
|
)
|
|||
Net cash provided by financing activities
|
644,740
|
|
|
1,189,336
|
|
|
539,692
|
|
|
Years ended December 31,
|
||||||||||
(In thousands)
|
2013
|
|
2012
|
|
2011
|
||||||
Cash Flows from Discontinued Operations:
|
|
|
|
|
|
||||||
Operating activities
|
—
|
|
|
—
|
|
|
1,995
|
|
|||
Net cash provided by discontinued operations
|
—
|
|
|
—
|
|
|
1,995
|
|
|||
Net (decrease) increase in cash and due from banks
|
(28,667
|
)
|
|
56,326
|
|
|
36,108
|
|
|||
Cash and due from banks at beginning of year
|
252,283
|
|
|
195,957
|
|
|
159,849
|
|
|||
Cash and due from banks at end of year
|
$
|
223,616
|
|
|
$
|
252,283
|
|
|
$
|
195,957
|
|
|
|
|
|
|
|
||||||
Supplemental disclosure of cash flow information:
|
|
|
|
|
|
||||||
Interest paid
|
$
|
88,388
|
|
|
$
|
116,412
|
|
|
$
|
142,984
|
|
Income taxes paid
|
62,926
|
|
|
56,491
|
|
|
32,912
|
|
|||
Noncash investing and financing activities:
|
|
|
|
|
|
||||||
Transfer of loans and leases, net to foreclosed properties and repossessed assets
|
$
|
11,750
|
|
|
$
|
7,539
|
|
|
$
|
9,568
|
|
Transfer of loans from portfolio to loans held for sale
|
106
|
|
|
22,670
|
|
|
—
|
|
|
At December 31, 2013
|
||||||||||||||||||||
|
|
Recognized in OCI
|
|
Not Recognized in OCI
|
|
||||||||||||||||
(In thousands)
|
Amortized
cost
|
Gross
unrealized
gains
|
Gross
unrealized
losses
|
Carrying
value
|
Gross
unrealized
gains
|
Gross
unrealized
losses
|
Fair value
|
||||||||||||||
Available for sale:
|
|
|
|
|
|
|
|
||||||||||||||
U.S. Treasury Bills
|
$
|
325
|
|
$
|
—
|
|
$
|
—
|
|
$
|
325
|
|
$
|
—
|
|
$
|
—
|
|
$
|
325
|
|
Agency collateralized mortgage obligations (“CMOs”)
|
794,397
|
|
14,383
|
|
(1,868
|
)
|
806,912
|
|
—
|
|
—
|
|
806,912
|
|
|||||||
Agency mortgage-backed securities (“MBS”)
|
1,265,276
|
|
9,124
|
|
(47,698
|
)
|
1,226,702
|
|
—
|
|
—
|
|
1,226,702
|
|
|||||||
Agency commercial mortgage-backed securities (“ACMBS”)
|
71,759
|
|
—
|
|
(782
|
)
|
70,977
|
|
—
|
|
—
|
|
70,977
|
|
|||||||
Commercial mortgage-backed securities (“CMBS”)
|
436,872
|
|
28,398
|
|
(996
|
)
|
464,274
|
|
—
|
|
—
|
|
464,274
|
|
|||||||
Collateralized loan obligations ("CLOs")
(1)
|
357,326
|
|
315
|
|
—
|
|
357,641
|
|
—
|
|
—
|
|
357,641
|
|
|||||||
Pooled trust preferred securities
(2)
|
31,900
|
|
—
|
|
(3,410
|
)
|
28,490
|
|
—
|
|
—
|
|
28,490
|
|
|||||||
Single issuer trust preferred securities
|
41,807
|
|
—
|
|
(6,872
|
)
|
34,935
|
|
—
|
|
—
|
|
34,935
|
|
|||||||
Corporate debt securities
|
108,936
|
|
4,155
|
|
—
|
|
113,091
|
|
—
|
|
—
|
|
113,091
|
|
|||||||
Equity securities - financial institutions
(3)
|
2,314
|
|
1,270
|
|
—
|
|
3,584
|
|
—
|
|
—
|
|
3,584
|
|
|||||||
Total available for sale
|
$
|
3,110,912
|
|
$
|
57,645
|
|
$
|
(61,626
|
)
|
$
|
3,106,931
|
|
$
|
—
|
|
$
|
—
|
|
$
|
3,106,931
|
|
Held-to-maturity:
|
|
|
|
|
|
|
|
||||||||||||||
Agency CMOs
|
$
|
365,081
|
|
$
|
—
|
|
$
|
—
|
|
$
|
365,081
|
|
$
|
10,135
|
|
$
|
(1,009
|
)
|
$
|
374,207
|
|
Agency MBS
|
2,130,685
|
|
—
|
|
—
|
|
2,130,685
|
|
43,315
|
|
(53,188
|
)
|
2,120,812
|
|
|||||||
Agency CMBS
|
115,995
|
|
|
|
|
|
115,995
|
|
44
|
|
(818
|
)
|
115,221
|
|
|||||||
Municipal bonds and notes
|
448,405
|
|
—
|
|
—
|
|
448,405
|
|
11,104
|
|
(1,228
|
)
|
458,281
|
|
|||||||
CMBS
|
290,057
|
|
—
|
|
—
|
|
290,057
|
|
8,635
|
|
(4,975
|
)
|
293,717
|
|
|||||||
Private Label MBS
|
8,498
|
|
—
|
|
—
|
|
8,498
|
|
176
|
|
—
|
|
8,674
|
|
|||||||
Total held-to-maturity
|
$
|
3,358,721
|
|
$
|
—
|
|
$
|
—
|
|
$
|
3,358,721
|
|
$
|
73,409
|
|
$
|
(61,218
|
)
|
$
|
3,370,912
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Total investment securities
|
$
|
6,469,633
|
|
$
|
57,645
|
|
$
|
(61,626
|
)
|
$
|
6,465,652
|
|
$
|
73,409
|
|
$
|
(61,218
|
)
|
$
|
6,477,843
|
|
(1)
|
Amortized cost is net of
$2.6 million
of other-than-temporary impairment at
December 31, 2013
.
|
(2)
|
Amortized cost is net of
$14.0 million
of other-than-temporary impairment at
December 31, 2013
.
|
(3)
|
Amortized cost is net of
$20.4 million
of other-than-temporary impairment at
December 31, 2013
.
|
|
At December 31, 2012
|
||||||||||||||||||||
|
|
Recognized in OCI
|
|
Not Recognized in OCI
|
|
||||||||||||||||
(In thousands)
|
Amortized
cost
|
Gross
unrealized
gains
|
Gross
unrealized
losses
|
Carrying
value
|
Gross
unrealized
gains
|
Gross
unrealized
losses
|
Fair value
|
||||||||||||||
Available for sale:
|
|
|
|
|
|
|
|
||||||||||||||
U.S. Treasury Bills
|
$
|
200
|
|
$
|
—
|
|
$
|
—
|
|
$
|
200
|
|
$
|
—
|
|
$
|
—
|
|
$
|
200
|
|
Agency CMOs
|
1,284,126
|
|
25,972
|
|
(92
|
)
|
1,310,006
|
|
—
|
|
—
|
|
1,310,006
|
|
|||||||
Agency MBS
|
1,121,941
|
|
21,437
|
|
(1,098
|
)
|
1,142,280
|
|
—
|
|
—
|
|
1,142,280
|
|
|||||||
CMBS
|
359,438
|
|
42,086
|
|
(3,493
|
)
|
398,031
|
|
—
|
|
—
|
|
398,031
|
|
|||||||
CLOs
|
88,765
|
|
—
|
|
(225
|
)
|
88,540
|
|
—
|
|
—
|
|
88,540
|
|
|||||||
Pooled trust preferred securities
(1)
|
46,018
|
|
—
|
|
(19,811
|
)
|
26,207
|
|
—
|
|
—
|
|
26,207
|
|
|||||||
Single issuer trust preferred securities
|
51,181
|
|
—
|
|
(6,766
|
)
|
44,415
|
|
—
|
|
—
|
|
44,415
|
|
|||||||
Corporate debt securities
|
111,281
|
|
6,918
|
|
—
|
|
118,199
|
|
—
|
|
—
|
|
118,199
|
|
|||||||
Equity securities - financial institutions
(2)
|
6,232
|
|
2,054
|
|
(4
|
)
|
8,282
|
|
—
|
|
—
|
|
8,282
|
|
|||||||
Total available for sale
|
$
|
3,069,182
|
|
$
|
98,467
|
|
$
|
(31,489
|
)
|
$
|
3,136,160
|
|
$
|
—
|
|
$
|
—
|
|
$
|
3,136,160
|
|
Held-to-maturity:
|
|
|
|
|
|
|
|
||||||||||||||
Agency CMOs
|
$
|
500,369
|
|
$
|
—
|
|
$
|
—
|
|
$
|
500,369
|
|
$
|
16,643
|
|
$
|
(8
|
)
|
$
|
517,004
|
|
Agency MBS
|
1,833,677
|
|
—
|
|
—
|
|
1,833,677
|
|
88,082
|
|
(474
|
)
|
1,921,285
|
|
|||||||
Municipal bonds and notes
|
559,131
|
|
—
|
|
—
|
|
559,131
|
|
34,366
|
|
(110
|
)
|
593,387
|
|
|||||||
CMBS
|
199,810
|
|
—
|
|
—
|
|
199,810
|
|
18,324
|
|
—
|
|
218,134
|
|
|||||||
Private Label MBS
|
14,542
|
|
—
|
|
—
|
|
14,542
|
|
366
|
|
—
|
|
14,908
|
|
|||||||
Total held-to-maturity
|
$
|
3,107,529
|
|
$
|
—
|
|
$
|
—
|
|
$
|
3,107,529
|
|
$
|
157,781
|
|
$
|
(592
|
)
|
$
|
3,264,718
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Total investment securities
|
$
|
6,176,711
|
|
$
|
98,467
|
|
$
|
(31,489
|
)
|
$
|
6,243,689
|
|
$
|
157,781
|
|
$
|
(592
|
)
|
$
|
6,400,878
|
|
(1)
|
Amortized cost is net of
$10.5 million
of credit related other-than-temporary impairment at
December 31, 2012
.
|
(2)
|
Amortized cost is net of
$21.3 million
of other-than-temporary impairment at
December 31, 2012
.
|
|
Available for Sale
|
|
Held-to-Maturity
|
||||||||||
(In thousands)
|
Amortized
Cost
|
Fair
Value
|
|
Amortized
Cost
|
Fair
Value
|
||||||||
Due in one year or less
|
$
|
325
|
|
$
|
325
|
|
|
$
|
90
|
|
$
|
91
|
|
Due after one year through five years
|
101,544
|
|
105,492
|
|
|
84,923
|
|
89,507
|
|
||||
Due after five through ten years
|
213,552
|
|
214,124
|
|
|
103,728
|
|
107,472
|
|
||||
Due after ten years
|
2,793,177
|
|
2,783,406
|
|
|
3,169,980
|
|
3,173,842
|
|
||||
Total debt securities
|
$
|
3,108,598
|
|
$
|
3,103,347
|
|
|
$
|
3,358,721
|
|
$
|
3,370,912
|
|
|
At December 31, 2013
|
|||||||||||||||||||
|
Less Than Twelve Months
|
Twelve Months or Longer
|
Total
|
|||||||||||||||||
(Dollars in thousands)
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
# of
Holdings
|
Fair
Value
|
Unrealized
Losses
|
|||||||||||||
Available for Sale:
|
|
|
|
|
|
|
|
|||||||||||||
Agency CMOs
|
$
|
149,894
|
|
$
|
(1,713
|
)
|
$
|
9,011
|
|
$
|
(155
|
)
|
15
|
|
$
|
158,905
|
|
$
|
(1,868
|
)
|
Agency MBS
|
616,286
|
|
(29,537
|
)
|
279,680
|
|
(18,161
|
)
|
88
|
|
895,966
|
|
(47,698
|
)
|
||||||
Agency CMBS
|
70,977
|
|
(782
|
)
|
—
|
|
—
|
|
3
|
|
70,977
|
|
(782
|
)
|
||||||
CMBS
|
52,340
|
|
(996
|
)
|
—
|
|
—
|
|
7
|
|
52,340
|
|
(996
|
)
|
||||||
Pooled trust preferred securities
|
—
|
|
—
|
|
11,141
|
|
(3,410
|
)
|
2
|
|
11,141
|
|
(3,410
|
)
|
||||||
Single issuer trust preferred securities
|
3,777
|
|
(381
|
)
|
31,158
|
|
(6,491
|
)
|
8
|
|
34,935
|
|
(6,872
|
)
|
||||||
Total available for sale in an unrealized loss position
|
$
|
893,274
|
|
$
|
(33,409
|
)
|
$
|
330,990
|
|
$
|
(28,217
|
)
|
123
|
|
$
|
1,224,264
|
|
$
|
(61,626
|
)
|
Held-to-maturity:
|
|
|
|
|
|
|
|
|||||||||||||
Agency CMOs
|
53,789
|
|
(1,009
|
)
|
—
|
|
—
|
|
4
|
|
53,789
|
|
(1,009
|
)
|
||||||
Agency MBS
|
1,045,693
|
|
(42,181
|
)
|
170,780
|
|
(11,007
|
)
|
94
|
|
1,216,473
|
|
(53,188
|
)
|
||||||
Agency CMBS
|
90,218
|
|
(818
|
)
|
—
|
|
—
|
|
4
|
|
90,218
|
|
(818
|
)
|
||||||
Municipal bonds and notes
|
46,587
|
|
(1,193
|
)
|
2,166
|
|
(35
|
)
|
51
|
|
48,753
|
|
(1,228
|
)
|
||||||
CMBS
|
106,527
|
|
(4,059
|
)
|
14,832
|
|
(916
|
)
|
11
|
|
121,359
|
|
(4,975
|
)
|
||||||
Total held-to-maturity in an unrealized loss position
|
$
|
1,342,814
|
|
$
|
(49,260
|
)
|
$
|
187,778
|
|
$
|
(11,958
|
)
|
164
|
|
$
|
1,530,592
|
|
$
|
(61,218
|
)
|
|
|
|
|
|
|
|
|
|||||||||||||
Total investment securities in an unrealized loss position
|
$
|
2,236,088
|
|
$
|
(82,669
|
)
|
$
|
518,768
|
|
$
|
(40,175
|
)
|
287
|
|
$
|
2,754,856
|
|
$
|
(122,844
|
)
|
|
At December 31, 2012
|
|||||||||||||||||||
|
Less Than Twelve Months
|
Twelve Months or Longer
|
Total
|
|||||||||||||||||
(Dollars in thousands)
|
Fair
Value
|
Unrealized
Losses
|
Fair
Value
|
Unrealized
Losses
|
# of
Holdings
|
Fair
Value
|
Unrealized
Losses
|
|||||||||||||
Available for Sale:
|
|
|
|
|
|
|
|
|||||||||||||
Agency CMOs
|
$
|
69,936
|
|
$
|
(92
|
)
|
$
|
—
|
|
$
|
—
|
|
4
|
|
$
|
69,936
|
|
$
|
(92
|
)
|
Agency MBS
|
275,818
|
|
(1,098
|
)
|
—
|
|
—
|
|
28
|
|
275,818
|
|
(1,098
|
)
|
||||||
CMBS
|
14,947
|
|
(17
|
)
|
20,909
|
|
(3,476
|
)
|
2
|
|
35,856
|
|
(3,493
|
)
|
||||||
CLOs
|
44,775
|
|
(225
|
)
|
—
|
|
—
|
|
2
|
|
44,775
|
|
(225
|
)
|
||||||
Pooled trust preferred securities
|
—
|
|
—
|
|
26,207
|
|
(19,811
|
)
|
8
|
|
26,207
|
|
(19,811
|
)
|
||||||
Single issuer trust preferred securities
|
—
|
|
—
|
|
44,415
|
|
(6,766
|
)
|
9
|
|
44,415
|
|
(6,766
|
)
|
||||||
Equity securities-financial institutions
|
144
|
|
(4
|
)
|
—
|
|
—
|
|
1
|
|
144
|
|
(4
|
)
|
||||||
Total available for sale in an unrealized loss position
|
$
|
405,620
|
|
$
|
(1,436
|
)
|
$
|
91,531
|
|
$
|
(30,053
|
)
|
54
|
|
$
|
497,151
|
|
$
|
(31,489
|
)
|
Held-to-maturity:
|
|
|
|
|
|
|
|
|||||||||||||
Agency CMOs
|
18,741
|
|
(8
|
)
|
—
|
|
—
|
|
1
|
|
18,741
|
|
(8
|
)
|
||||||
Agency MBS
|
161,057
|
|
(474
|
)
|
—
|
|
—
|
|
12
|
|
161,057
|
|
(474
|
)
|
||||||
Municipal bonds and notes
|
5,990
|
|
(51
|
)
|
2,858
|
|
(59
|
)
|
11
|
|
8,848
|
|
(110
|
)
|
||||||
Total held-to-maturity in an unrealized loss position
|
$
|
185,788
|
|
$
|
(533
|
)
|
$
|
2,858
|
|
$
|
(59
|
)
|
24
|
|
$
|
188,646
|
|
$
|
(592
|
)
|
|
|
|
|
|
|
|
|
|||||||||||||
Total investment securities in an unrealized loss position
|
$
|
591,408
|
|
$
|
(1,969
|
)
|
$
|
94,389
|
|
$
|
(30,112
|
)
|
78
|
|
$
|
685,797
|
|
$
|
(32,081
|
)
|
(Dollars in thousands)
|
Class
|
Amortized
Cost
(1)
|
Gross
Unrealized
Losses
|
Fair
Value
|
Lowest Credit
Ratings as of
December 31,
2013
(2)
|
Total Other-
Than-Temporary
Impairment thru
December 31,
2013
|
% of
Performing
Bank/
Insurance
Issuers
|
Deferrals/
Defaults
(As a % of
Current
Collateral)
|
||||||||||
Deal Name:
|
|
|
|
|
|
|
|
|
||||||||||
Security H
|
B
|
$
|
2,809
|
|
$
|
—
|
|
$
|
2,809
|
|
B
|
$
|
(1,030
|
)
|
91.7
|
%
|
8.0
|
%
|
Security I
|
B
|
3,570
|
|
—
|
|
3,570
|
|
CCC
|
(1,265
|
)
|
87.5
|
%
|
17.3
|
%
|
||||
Security J
|
B
|
4,039
|
|
—
|
|
4,039
|
|
CCC
|
(2,095
|
)
|
100.0
|
%
|
—
|
%
|
||||
Security K
|
A
|
7,444
|
|
(1,535
|
)
|
5,909
|
|
CCC
|
(2,040
|
)
|
70.6
|
%
|
33.0
|
%
|
||||
Security L
|
B
|
6,930
|
|
—
|
|
6,930
|
|
CCC
|
(2,666
|
)
|
91.3
|
%
|
14.1
|
%
|
||||
Security M
|
A
|
7,108
|
|
(1,875
|
)
|
5,233
|
|
D
|
(4,926
|
)
|
61.8
|
%
|
34.6
|
%
|
||||
Pooled trust preferred securities
|
|
$
|
31,900
|
|
$
|
(3,410
|
)
|
$
|
28,490
|
|
|
$
|
(14,022
|
)
|
|
|
(1)
|
F
or the securities previously deemed impaired, the amortized cost is reflective of previous OTTI recognized in earnings.
|
(2)
|
The Company utilized credit ratings provided by Moody’s and S&P in its evaluation of issuers.
|
(Dollars in thousands)
|
Amortized
Cost
|
Gross
Unrealized
Losses
|
Fair
Value
|
Lowest Credit
Ratings as of
December 31,
2013
(1)
|
||||||
Deal Name:
|
|
|
|
|
||||||
Security B
|
$
|
6,932
|
|
$
|
(1,007
|
)
|
$
|
5,925
|
|
BB
|
Security C
|
8,716
|
|
(1,316
|
)
|
7,400
|
|
BBB
|
|||
Security E
|
11,817
|
|
(1,727
|
)
|
10,090
|
|
BBB
|
|||
Security F
|
14,342
|
|
(2,822
|
)
|
11,520
|
|
BBB
|
|||
Single issuer trust preferred securities
|
$
|
41,807
|
|
$
|
(6,872
|
)
|
$
|
34,935
|
|
|
(1)
|
The Company utilized credit ratings provided by Moody’s and S&P in its evaluation of issuers.
|
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Balance of OTTI, beginning of year
|
$
|
10,460
|
|
$
|
10,460
|
|
$
|
26,320
|
|
Reduction for payment of deferred interest
|
—
|
|
—
|
|
(16
|
)
|
|||
Reduction for securities sold
|
(1,104
|
)
|
—
|
|
(15,844
|
)
|
|||
Additions for OTTI not previously recognized
|
7,277
|
|
—
|
|
—
|
|
|||
Balance of OTTI, end of year
|
$
|
16,633
|
|
$
|
10,460
|
|
$
|
10,460
|
|
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Available for sale:
|
|
|
|
||||||
Agency CMOs
|
$
|
—
|
|
$
|
44,850
|
|
$
|
94,335
|
|
Agency MBS
|
11,771
|
|
86,015
|
|
180,613
|
|
|||
CMBS
|
24,750
|
|
16,284
|
|
—
|
|
|||
Pooled trust preferred securities
|
7,740
|
|
—
|
|
1,456
|
|
|||
Single issuer trust preferred securities
|
7,412
|
|
—
|
|
—
|
|
|||
Equity securities - financial institutions
|
6,131
|
|
1,073
|
|
2,353
|
|
|||
Total available for sale
|
$
|
57,804
|
|
$
|
148,222
|
|
$
|
278,757
|
|
|
Years ended December 31,
|
|||||||||||||||||||||||||||||||||||
|
2013
|
2012
|
2011
|
|||||||||||||||||||||||||||||||||
(In thousands)
|
Gains
|
Losses
|
OTTI
Charges
|
Net
|
Gains
|
Losses
|
OTTI
Charges
|
Net
|
Gains
|
Losses
|
OTTI
Charges
|
Net
|
||||||||||||||||||||||||
Available for sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Agency CMOs
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
$
|
897
|
|
$
|
—
|
|
$
|
—
|
|
$
|
897
|
|
$
|
1,959
|
|
$
|
—
|
|
$
|
—
|
|
$
|
1,959
|
|
Agency MBS
|
106
|
|
—
|
|
—
|
|
106
|
|
806
|
|
—
|
|
—
|
|
806
|
|
4,833
|
|
—
|
|
—
|
|
4,833
|
|
||||||||||||
CMBS
|
333
|
|
—
|
|
—
|
|
333
|
|
1,235
|
|
—
|
|
—
|
|
1,235
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||||
CLOs
|
—
|
|
—
|
|
(2,611
|
)
|
(2,611
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||||
Pooled trust preferred securities
|
269
|
|
—
|
|
(4,666
|
)
|
(4,397
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
(3,343
|
)
|
—
|
|
(3,343
|
)
|
||||||||||||
Single issuer trust preferred securities
|
—
|
|
(2,135
|
)
|
—
|
|
(2,135
|
)
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||||
Equity securities
|
2,139
|
|
—
|
|
—
|
|
2,139
|
|
409
|
|
—
|
|
—
|
|
409
|
|
374
|
|
—
|
|
—
|
|
374
|
|
||||||||||||
Total available for sale
|
$
|
2,847
|
|
$
|
(2,135
|
)
|
$
|
(7,277
|
)
|
$
|
(6,565
|
)
|
$
|
3,347
|
|
$
|
—
|
|
$
|
—
|
|
$
|
3,347
|
|
$
|
7,166
|
|
$
|
(3,343
|
)
|
$
|
—
|
|
$
|
3,823
|
|
|
At December 31, 2013
|
|||||||||||||||||
(In thousands)
|
Residential
|
Consumer
|
Commercial
|
Commercial
Real Estate
(
1)
|
Equipment
Financing
|
Total
(
2)
|
||||||||||||
Recorded Investment:
|
|
|
|
|
|
|
||||||||||||
Individually evaluated for impairment
|
$
|
142,871
|
|
$
|
52,179
|
|
$
|
52,199
|
|
$
|
105,046
|
|
$
|
210
|
|
$
|
352,505
|
|
Collectively evaluated for impairment
|
3,228,688
|
|
2,492,353
|
|
3,241,045
|
|
2,961,378
|
|
460,240
|
|
12,383,704
|
|
||||||
Recorded investment in loans and leases
|
3,371,559
|
|
2,544,532
|
|
3,293,244
|
|
3,066,424
|
|
460,450
|
|
12,736,209
|
|
||||||
Less: Accrued interest
|
10,134
|
|
7,844
|
|
10,393
|
|
8,062
|
|
—
|
|
36,433
|
|
||||||
Loans and leases
|
$
|
3,361,425
|
|
$
|
2,536,688
|
|
$
|
3,282,851
|
|
$
|
3,058,362
|
|
$
|
460,450
|
|
$
|
12,699,776
|
|
|
At December 31, 2012
|
|||||||||||||||||
(In thousands)
|
Residential
|
Consumer
|
Commercial
|
Commercial
Real Estate
(
1)
|
Equipment
Financing
|
Total
(
2)
|
||||||||||||
Recorded Investment:
|
|
|
|
|
|
|
||||||||||||
Individually evaluated for impairment
|
$
|
146,944
|
|
$
|
54,793
|
|
$
|
69,426
|
|
$
|
154,978
|
|
$
|
1,980
|
|
$
|
428,121
|
|
Collectively evaluated for impairment
|
3,155,051
|
|
2,584,169
|
|
2,843,760
|
|
2,635,624
|
|
417,331
|
|
11,635,935
|
|
||||||
Recorded investment in loans and leases
|
3,301,995
|
|
2,638,962
|
|
2,913,186
|
|
2,790,602
|
|
419,311
|
|
12,064,056
|
|
||||||
Less: Accrued interest
|
10,271
|
|
8,095
|
|
9,453
|
|
7,541
|
|
—
|
|
35,360
|
|
||||||
Loans and leases
|
$
|
3,291,724
|
|
$
|
2,630,867
|
|
$
|
2,903,733
|
|
$
|
2,783,061
|
|
$
|
419,311
|
|
$
|
12,028,696
|
|
(1)
|
Includes certain loans individually evaluated for impairment, under the Company's loan policy, that were deemed not to be impaired at both
December 31, 2013
and
December 31, 2012
.
|
(2)
|
Loans and leases include net deferred fees and unamortized premiums of
$13.3 million
and
$12.7 million
at
December 31, 2013
and
December 31, 2012
, respectively.
|
|
At December 31, 2013
|
||||||||||||||||||||
(In thousands)
|
30-59 Days
Past Due and
Accruing
|
60-89 Days
Past Due and
Accruing
|
> 90 Days Past Due and Accruing
|
Non-accrual
|
Total Past Due and Non-accrual
|
Current
|
Loans and Leases
|
||||||||||||||
Residential:
|
|
|
|
|
|
|
|
||||||||||||||
1-4 family
|
$
|
11,721
|
|
$
|
6,476
|
|
$
|
—
|
|
$
|
81,133
|
|
$
|
99,330
|
|
$
|
3,226,077
|
|
$
|
3,325,407
|
|
Construction
|
—
|
|
363
|
|
—
|
|
387
|
|
750
|
|
45,402
|
|
46,152
|
|
|||||||
Consumer:
|
|
|
|
|
|
|
|
||||||||||||||
Home equity
|
13,892
|
|
4,696
|
|
—
|
|
45,517
|
|
64,105
|
|
2,312,874
|
|
2,376,979
|
|
|||||||
Liquidating-home equity
|
1,440
|
|
424
|
|
—
|
|
6,271
|
|
8,135
|
|
98,079
|
|
106,214
|
|
|||||||
Other consumer
|
462
|
|
193
|
|
—
|
|
140
|
|
795
|
|
60,543
|
|
61,338
|
|
|||||||
Commercial:
|
|
|
|
|
|
|
|
||||||||||||||
Commercial non-mortgage
|
3,208
|
|
984
|
|
4,305
|
|
10,946
|
|
19,443
|
|
2,712,870
|
|
2,732,313
|
|
|||||||
Asset-based
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
560,931
|
|
560,931
|
|
|||||||
Commercial real estate:
|
|
|
|
|
|
|
|
||||||||||||||
Commercial real estate
|
4,387
|
|
587
|
|
235
|
|
13,456
|
|
18,665
|
|
2,842,637
|
|
2,861,302
|
|
|||||||
Commercial construction
|
—
|
|
—
|
|
—
|
|
49
|
|
49
|
|
183,313
|
|
183,362
|
|
|||||||
Residential development
|
—
|
|
—
|
|
—
|
|
4,188
|
|
4,188
|
|
17,573
|
|
21,761
|
|
|||||||
Equipment financing
|
299
|
|
63
|
|
—
|
|
1,141
|
|
1,503
|
|
458,947
|
|
460,450
|
|
|||||||
Total
|
$
|
35,409
|
|
$
|
13,786
|
|
$
|
4,540
|
|
$
|
163,228
|
|
$
|
216,963
|
|
$
|
12,519,246
|
|
$
|
12,736,209
|
|
|
At December 31, 2012
|
||||||||||||||||||||
(In thousands)
|
30-59 Days
Past Due and
Accruing
|
60-89 Days
Past Due and
Accruing
|
> 90 Days Past Due and Accruing
|
Non-accrual
|
Total Past Due and Non-accrual
|
Current
|
Loans and Leases
|
||||||||||||||
Residential:
|
|
|
|
|
|
|
|
||||||||||||||
1-4 family
|
$
|
16,955
|
|
$
|
8,250
|
|
$
|
—
|
|
$
|
94,853
|
|
$
|
120,058
|
|
$
|
3,142,220
|
|
$
|
3,262,278
|
|
Construction
|
—
|
|
360
|
|
—
|
|
823
|
|
1,183
|
|
38,535
|
|
39,718
|
|
|||||||
Consumer:
|
|
|
|
|
|
|
|
||||||||||||||
Home equity
|
17,745
|
|
6,993
|
|
—
|
|
49,516
|
|
74,254
|
|
2,396,944
|
|
2,471,198
|
|
|||||||
Liquidating-home equity
|
2,063
|
|
1,626
|
|
—
|
|
8,200
|
|
11,889
|
|
111,760
|
|
123,649
|
|
|||||||
Other consumer
|
338
|
|
195
|
|
—
|
|
135
|
|
668
|
|
43,446
|
|
44,114
|
|
|||||||
Commercial:
|
|
|
|
|
|
|
|
||||||||||||||
Commercial non-mortgage
|
2,248
|
|
552
|
|
347
|
|
17,547
|
|
20,694
|
|
2,386,775
|
|
2,407,469
|
|
|||||||
Asset-based
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
505,717
|
|
505,717
|
|
|||||||
Commercial real estate:
|
|
|
|
|
|
|
|
||||||||||||||
Commercial real estate
|
1,081
|
|
13,784
|
|
910
|
|
15,658
|
|
31,433
|
|
2,617,213
|
|
2,648,646
|
|
|||||||
Commercial construction
|
—
|
|
—
|
|
—
|
|
49
|
|
49
|
|
114,097
|
|
114,146
|
|
|||||||
Residential development
|
—
|
|
—
|
|
—
|
|
5,044
|
|
5,044
|
|
22,766
|
|
27,810
|
|
|||||||
Equipment financing
|
1,593
|
|
333
|
|
—
|
|
3,325
|
|
5,251
|
|
414,060
|
|
419,311
|
|
|||||||
Total
|
$
|
42,023
|
|
$
|
32,093
|
|
$
|
1,257
|
|
$
|
195,150
|
|
$
|
270,523
|
|
$
|
11,793,533
|
|
$
|
12,064,056
|
|
|
At or for the year ended December 31, 2013
|
||||||||||||||||||||
(In thousands)
|
Residential
|
Consumer
|
Commercial
|
Commercial
Real Estate
|
Equipment
Financing
|
Unallocated
|
Total
|
||||||||||||||
Allowance for loan and lease losses:
|
|
|
|
|
|
|
|
||||||||||||||
Balance, beginning of period
|
$
|
29,474
|
|
$
|
54,254
|
|
$
|
46,566
|
|
$
|
30,834
|
|
$
|
4,001
|
|
$
|
12,000
|
|
$
|
177,129
|
|
Provision (benefit) charged to expense
|
1,296
|
|
8,149
|
|
15,143
|
|
12,826
|
|
(2,855
|
)
|
(1,059
|
)
|
33,500
|
|
|||||||
Losses charged off
|
(11,592
|
)
|
(29,037
|
)
|
(19,126
|
)
|
(15,425
|
)
|
(279
|
)
|
—
|
|
(75,459
|
)
|
|||||||
Recoveries
|
1,402
|
|
6,185
|
|
5,123
|
|
1,648
|
|
3,045
|
|
—
|
|
17,403
|
|
|||||||
Balance, end of period
|
$
|
20,580
|
|
$
|
39,551
|
|
$
|
47,706
|
|
$
|
29,883
|
|
$
|
3,912
|
|
$
|
10,941
|
|
$
|
152,573
|
|
Individually evaluated for impairment
|
$
|
10,535
|
|
$
|
4,595
|
|
$
|
1,878
|
|
$
|
3,445
|
|
$
|
—
|
|
$
|
—
|
|
$
|
20,453
|
|
Collectively evaluated for impairment
|
$
|
10,045
|
|
$
|
34,956
|
|
$
|
45,828
|
|
$
|
26,438
|
|
$
|
3,912
|
|
$
|
10,941
|
|
$
|
132,120
|
|
|
At or for the year ended December 31, 2012
|
||||||||||||||||||||
(In thousands)
|
Residential
|
Consumer
|
Commercial
|
Commercial
Real Estate
|
Equipment
Financing
|
Unallocated
|
Total
|
||||||||||||||
Allowance for loan and lease losses:
|
|
|
|
|
|
|
|
||||||||||||||
Balance, beginning of period
|
$
|
34,565
|
|
$
|
67,785
|
|
$
|
60,681
|
|
$
|
45,013
|
|
$
|
8,943
|
|
$
|
16,500
|
|
$
|
233,487
|
|
Provision (benefit) charged to expense
|
7,033
|
|
23,349
|
|
14,861
|
|
(6,495
|
)
|
(12,748
|
)
|
(4,500
|
)
|
21,500
|
|
|||||||
Losses charged off
|
(12,927
|
)
|
(43,920
|
)
|
(35,793
|
)
|
(9,894
|
)
|
(1,668
|
)
|
—
|
|
(104,202
|
)
|
|||||||
Recoveries
|
803
|
|
7,040
|
|
6,817
|
|
2,210
|
|
9,474
|
|
—
|
|
26,344
|
|
|||||||
Balance, end of period
|
$
|
29,474
|
|
$
|
54,254
|
|
$
|
46,566
|
|
$
|
30,834
|
|
$
|
4,001
|
|
$
|
12,000
|
|
$
|
177,129
|
|
Individually evaluated for impairment
|
$
|
14,731
|
|
$
|
3,611
|
|
$
|
6,423
|
|
$
|
2,683
|
|
$
|
1
|
|
$
|
—
|
|
$
|
27,449
|
|
Collectively evaluated for impairment
|
$
|
14,743
|
|
$
|
50,643
|
|
$
|
40,143
|
|
$
|
28,151
|
|
$
|
4,000
|
|
$
|
12,000
|
|
$
|
149,680
|
|
|
At or for the year ended December 31, 2011
|
||||||||||||||||||||
(In thousands)
|
Residential
|
Consumer
|
Commercial
|
Commercial
Real Estate
|
Equipment
Financing
|
Unallocated
|
Total
|
||||||||||||||
Allowance for loan and lease losses:
|
|
|
|
|
|
|
|
||||||||||||||
Balance, beginning of period
|
$
|
30,792
|
|
$
|
95,071
|
|
$
|
74,470
|
|
$
|
77,695
|
|
$
|
21,637
|
|
$
|
22,000
|
|
$
|
321,665
|
|
Provision (benefit) charged to expense
|
14,364
|
|
20,262
|
|
20,868
|
|
(10,505
|
)
|
(16,989
|
)
|
(5,500
|
)
|
22,500
|
|
|||||||
Losses charged off
|
(11,524
|
)
|
(52,997
|
)
|
(39,933
|
)
|
(22,721
|
)
|
(2,154
|
)
|
—
|
|
(129,329
|
)
|
|||||||
Recoveries
|
933
|
|
5,449
|
|
5,276
|
|
544
|
|
6,449
|
|
—
|
|
18,651
|
|
|||||||
Balance, end of period
|
$
|
34,565
|
|
$
|
67,785
|
|
$
|
60,681
|
|
$
|
45,013
|
|
$
|
8,943
|
|
$
|
16,500
|
|
$
|
233,487
|
|
Individually evaluated for impairment
|
$
|
19,367
|
|
$
|
5,167
|
|
$
|
12,996
|
|
$
|
9,071
|
|
$
|
4
|
|
$
|
—
|
|
$
|
46,605
|
|
Collectively evaluated for impairment
|
$
|
15,198
|
|
$
|
62,618
|
|
$
|
47,685
|
|
$
|
35,942
|
|
$
|
8,939
|
|
$
|
16,500
|
|
$
|
186,882
|
|
|
At December 31, 2013
|
||||||||||||||
(In thousands)
|
Unpaid
Principal
Balance
|
Total
Recorded
Investment
|
Recorded
Investment
No Allowance
|
Recorded
Investment
With Allowance
|
Related
Valuation
Allowance
|
||||||||||
Residential:
|
|
|
|
|
|
||||||||||
1-4 family
|
$
|
157,915
|
|
$
|
142,869
|
|
$
|
23,987
|
|
$
|
118,882
|
|
$
|
10,534
|
|
Construction
|
446
|
|
2
|
|
1
|
|
1
|
|
—
|
|
|||||
Consumer:
|
|
|
|
|
|
||||||||||
Home equity
|
54,991
|
|
45,577
|
|
23,622
|
|
21,955
|
|
3,926
|
|
|||||
Liquidating - home equity
|
8,895
|
|
6,602
|
|
3,701
|
|
2,901
|
|
669
|
|
|||||
Commercial:
|
|
|
|
|
|
||||||||||
Commercial non-mortgage
|
59,279
|
|
52,199
|
|
23,138
|
|
29,061
|
|
1,878
|
|
|||||
Commercial real estate:
|
|
|
|
|
|
||||||||||
Commercial real estate
|
95,013
|
|
90,976
|
|
42,774
|
|
48,202
|
|
3,444
|
|
|||||
Commercial construction
|
—
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|||||
Residential development
|
11,725
|
|
10,625
|
|
10,625
|
|
—
|
|
—
|
|
|||||
Equipment financing
|
249
|
|
210
|
|
210
|
|
—
|
|
—
|
|
|||||
Totals:
|
|
|
|
|
|
||||||||||
Residential
|
158,361
|
|
142,871
|
|
23,988
|
|
118,883
|
|
10,534
|
|
|||||
Consumer
|
63,886
|
|
52,179
|
|
27,323
|
|
24,856
|
|
4,595
|
|
|||||
Commercial
|
59,279
|
|
52,199
|
|
23,138
|
|
29,061
|
|
1,878
|
|
|||||
Commercial real estate
|
106,738
|
|
101,601
|
|
53,399
|
|
48,202
|
|
3,444
|
|
|||||
Equipment financing
|
249
|
|
210
|
|
210
|
|
—
|
|
—
|
|
|||||
Total
|
$
|
388,513
|
|
$
|
349,060
|
|
$
|
128,058
|
|
$
|
221,002
|
|
$
|
20,451
|
|
|
At December 31, 2012
|
||||||||||||||
(In thousands)
|
Unpaid
Principal
Balance
|
Total
Recorded
Investment
|
Recorded
Investment
No Allowance
|
Recorded
Investment
With Allowance
|
Related
Valuation
Allowance
|
||||||||||
Residential:
|
|
|
|
|
|
||||||||||
1-4 family
|
$
|
160,490
|
|
$
|
146,683
|
|
$
|
24,267
|
|
$
|
122,416
|
|
$
|
14,726
|
|
Construction
|
446
|
|
261
|
|
156
|
|
105
|
|
5
|
|
|||||
Consumer:
|
|
|
|
|
|
||||||||||
Home equity
|
56,815
|
|
47,755
|
|
23,967
|
|
23,788
|
|
2,960
|
|
|||||
Liquidating - home equity
|
11,788
|
|
7,038
|
|
3,663
|
|
3,375
|
|
651
|
|
|||||
Commercial:
|
|
|
|
|
|
||||||||||
Commercial non-mortgage
|
90,627
|
|
69,426
|
|
21,942
|
|
47,484
|
|
6,423
|
|
|||||
Commercial real estate:
|
|
|
|
|
|
||||||||||
Commercial real estate
|
123,861
|
|
121,193
|
|
65,212
|
|
55,981
|
|
2,572
|
|
|||||
Commercial construction
|
7,177
|
|
7,185
|
|
7,185
|
|
—
|
|
—
|
|
|||||
Residential development
|
13,444
|
|
12,771
|
|
5,029
|
|
7,742
|
|
111
|
|
|||||
Equipment financing
|
2,357
|
|
1,980
|
|
1,781
|
|
199
|
|
1
|
|
|||||
Totals:
|
|
|
|
|
|
||||||||||
Residential
|
160,936
|
|
146,944
|
|
24,423
|
|
122,521
|
|
14,731
|
|
|||||
Consumer
|
68,603
|
|
54,793
|
|
27,630
|
|
27,163
|
|
3,611
|
|
|||||
Commercial
|
90,627
|
|
69,426
|
|
21,942
|
|
47,484
|
|
6,423
|
|
|||||
Commercial real estate
|
144,482
|
|
141,149
|
|
77,426
|
|
63,723
|
|
2,683
|
|
|||||
Equipment financing
|
2,357
|
|
1,980
|
|
1,781
|
|
199
|
|
1
|
|
|||||
Total
|
$
|
467,005
|
|
$
|
414,292
|
|
$
|
153,202
|
|
$
|
261,090
|
|
$
|
27,449
|
|
|
Years ended December 31,
|
||||||||||||||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
||||||||||||||||||||||||
(In thousands)
|
Average
Recorded
Investment
|
Accrued Interest
Income
|
Cash Basis Interest
Income
|
|
Average
Recorded
Investment
|
Accrued Interest
Income |
Cash Basis Interest
Income
|
|
Average
Recorded
Investment
|
Accrued Interest
Income |
Cash Basis Interest
Income
|
||||||||||||||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
1-4 family
|
$
|
144,776
|
|
$
|
4,117
|
|
$
|
1,952
|
|
|
$
|
140,931
|
|
$
|
4,490
|
|
$
|
1,148
|
|
|
$
|
128,846
|
|
$
|
3,902
|
|
$
|
1,268
|
|
Construction
|
132
|
|
2
|
|
2
|
|
|
197
|
|
4
|
|
2
|
|
|
67
|
|
7
|
|
1
|
|
|||||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Home equity
|
46,666
|
|
852
|
|
1,409
|
|
|
39,454
|
|
1,349
|
|
461
|
|
|
28,909
|
|
1,062
|
|
372
|
|
|||||||||
Liquidating - home equity
|
6,820
|
|
151
|
|
315
|
|
|
6,253
|
|
272
|
|
86
|
|
|
5,477
|
|
237
|
|
112
|
|
|||||||||
Other consumer
|
—
|
|
—
|
|
—
|
|
|
4
|
|
—
|
|
—
|
|
|
7
|
|
—
|
|
—
|
|
|||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Commercial non-mortgage
|
60,813
|
|
2,889
|
|
—
|
|
|
87,393
|
|
3,852
|
|
—
|
|
|
120,152
|
|
4,529
|
|
—
|
|
|||||||||
Asset-based
|
—
|
|
—
|
|
—
|
|
|
929
|
|
—
|
|
—
|
|
|
7,833
|
|
251
|
|
—
|
|
|||||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Commercial real estate
|
106,085
|
|
4,476
|
|
—
|
|
|
155,384
|
|
4,847
|
|
—
|
|
|
184,856
|
|
6,499
|
|
—
|
|
|||||||||
Commercial construction
|
3,593
|
|
249
|
|
—
|
|
|
7,279
|
|
285
|
|
—
|
|
|
21,835
|
|
887
|
|
—
|
|
|||||||||
Residential development
|
11,698
|
|
371
|
|
—
|
|
|
14,336
|
|
345
|
|
—
|
|
|
23,832
|
|
527
|
|
—
|
|
|||||||||
Equipment financing
|
1,095
|
|
22
|
|
—
|
|
|
2,624
|
|
45
|
|
—
|
|
|
10,373
|
|
78
|
|
—
|
|
|||||||||
Totals:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Residential
|
144,908
|
|
4,119
|
|
1,954
|
|
|
141,128
|
|
4,494
|
|
1,150
|
|
|
128,913
|
|
3,909
|
|
1,269
|
|
|||||||||
Consumer
|
53,486
|
|
1,003
|
|
1,724
|
|
|
45,711
|
|
1,621
|
|
547
|
|
|
34,393
|
|
1,299
|
|
484
|
|
|||||||||
Commercial
|
60,813
|
|
2,889
|
|
—
|
|
|
88,322
|
|
3,852
|
|
—
|
|
|
127,985
|
|
4,780
|
|
—
|
|
|||||||||
Commercial real estate
|
121,376
|
|
5,096
|
|
—
|
|
|
176,999
|
|
5,477
|
|
—
|
|
|
230,523
|
|
7,913
|
|
—
|
|
|||||||||
Equipment financing
|
1,095
|
|
22
|
|
—
|
|
|
2,624
|
|
45
|
|
—
|
|
|
10,373
|
|
78
|
|
—
|
|
|||||||||
Total
|
$
|
381,678
|
|
$
|
13,129
|
|
$
|
3,678
|
|
|
$
|
454,784
|
|
$
|
15,489
|
|
$
|
1,697
|
|
|
$
|
532,187
|
|
$
|
17,979
|
|
$
|
1,753
|
|
|
Commercial
|
|
Commercial Real Estate
|
|
Equipment Financing
|
|||||||||||||||
(In thousands)
|
At December 31,
|
|
At December 31,
|
|
At December 31,
|
|||||||||||||||
|
2013
|
2012
|
|
2013
|
2012
|
|
2013
|
2012
|
||||||||||||
(1) - (6) Pass
|
$
|
3,091,154
|
|
$
|
2,701,061
|
|
|
$
|
2,947,116
|
|
$
|
2,588,987
|
|
|
$
|
437,033
|
|
$
|
381,304
|
|
(7) Special Mention
|
87,451
|
|
43,856
|
|
|
20,901
|
|
56,023
|
|
|
7,979
|
|
12,893
|
|
||||||
(8) Substandard
|
114,199
|
|
167,485
|
|
|
97,822
|
|
143,904
|
|
|
15,438
|
|
25,114
|
|
||||||
(9) Doubtful
|
440
|
|
784
|
|
|
585
|
|
1,688
|
|
|
—
|
|
—
|
|
||||||
(10) Loss
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||
Total
|
$
|
3,293,244
|
|
$
|
2,913,186
|
|
|
$
|
3,066,424
|
|
$
|
2,790,602
|
|
|
$
|
460,450
|
|
$
|
419,311
|
|
(In thousands)
|
At December 31,
2013 |
|
At December 31,
2012 |
||||
Recorded investment of TDRs:
|
|
|
|
||||
Accrual status
|
$
|
238,926
|
|
|
$
|
288,578
|
|
Non-accrual status
|
102,972
|
|
|
115,583
|
|
||
Total recorded investment of TDRs
|
$
|
341,898
|
|
|
$
|
404,161
|
|
Accruing TDRs performing under modified terms more than one year
|
58.2
|
%
|
|
60.2
|
%
|
||
Specific reserves for TDRs included in the balance of allowance for loan and lease losses
|
$
|
20,360
|
|
|
$
|
27,317
|
|
Additional funds committed to borrowers in TDR status
(1)
|
1,262
|
|
|
3,263
|
|
(1)
|
This amount may be limited by contractual rights and/or the underlying collateral supporting the loan or lease.
|
|
Years ended December 31,
|
|||||||||||||||||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
|||||||||||||||||||||||||||
|
Number of
Loans and
Leases
|
Pre-
Modification
Recorded
Investment
|
|
|
Number of
Loans and
Leases
|
Pre-
Modification
Recorded
Investment
|
|
|
Number of
Loans and
Leases
|
Pre-
Modification
Recorded
Investment
|
|
|||||||||||||||||||||
|
Post-Modification
|
|
Post-Modification
|
|
Post-Modification
|
|||||||||||||||||||||||||||
(Dollars in thousands)
|
Recorded
Investment
|
Coupon
Rate
|
|
Recorded
Investment
|
Coupon
Rate
|
|
Recorded
Investment
|
Coupon
Rate
|
||||||||||||||||||||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
1-4 family
|
124
|
|
$
|
25,833
|
|
$
|
25,833
|
|
4.0
|
%
|
|
197
|
|
$
|
32,974
|
|
$
|
32,974
|
|
4.4
|
%
|
|
137
|
|
$
|
31,939
|
|
31,939
|
|
4.1
|
%
|
|
Construction
|
—
|
|
—
|
|
—
|
|
—
|
|
|
2
|
|
263
|
|
263
|
|
6.6
|
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Home equity
|
120
|
|
6,370
|
|
6,370
|
|
4.5
|
|
|
526
|
|
26,569
|
|
26,569
|
|
5.0
|
|
|
106
|
|
9,422
|
|
9,422
|
|
4.3
|
|
||||||
Liquidating - home equity
|
22
|
|
703
|
|
703
|
|
5.3
|
|
|
123
|
|
5,693
|
|
5,693
|
|
5.6
|
|
|
26
|
|
1,428
|
|
1,428
|
|
5.4
|
|
||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Commercial non-mortgage
|
29
|
|
13,265
|
|
13,265
|
|
6.5
|
|
|
37
|
|
22,699
|
|
22,699
|
|
6.3
|
|
|
48
|
|
45,507
|
|
45,507
|
|
6.4
|
|
||||||
Asset-based
|
—
|
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
3
|
|
2,563
|
|
2,563
|
|
5.2
|
|
||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Commercial real estate
|
6
|
|
12,121
|
|
12,121
|
|
2.8
|
|
|
10
|
|
25,855
|
|
25,855
|
|
2.8
|
|
|
21
|
|
47,544
|
|
47,544
|
|
4.1
|
|
||||||
Commercial construction
|
—
|
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
1
|
|
10,100
|
|
10,100
|
|
3.0
|
|
||||||
Residential development
|
4
|
|
3,762
|
|
3,762
|
|
5.3
|
|
|
6
|
|
896
|
|
896
|
|
5.3
|
|
|
2
|
|
719
|
|
719
|
|
5.3
|
|
||||||
Equipment financing
|
—
|
|
—
|
|
—
|
|
—
|
|
|
8
|
|
590
|
|
590
|
|
6.7
|
|
|
2
|
|
216
|
|
216
|
|
7.9
|
|
||||||
Total
|
305
|
|
$
|
62,054
|
|
$
|
62,054
|
|
4.5
|
%
|
|
909
|
|
$
|
115,539
|
|
$
|
115,539
|
|
4.6
|
%
|
|
346
|
|
$
|
149,438
|
|
$
|
149,438
|
|
4.8
|
%
|
|
Years ended December 31,
|
|||||||||||||||||||||||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
|||||||||||||||||||||||||||||||||
(In thousands)
|
Extended
Maturity
|
Adjusted
Interest
Rates
|
Rate and
Maturity
|
Other
|
|
Extended
Maturity
|
Adjusted
Interest
Rates
|
Rate and
Maturity
|
Other
|
|
Extended
Maturity
|
Adjusted
Interest
Rates
|
Rate and
Maturity
|
Other
|
||||||||||||||||||||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
1-4 family
|
$
|
5,238
|
|
$
|
2,777
|
|
$
|
8,301
|
|
$
|
9,517
|
|
|
$
|
2,067
|
|
$
|
2,707
|
|
$
|
7,811
|
|
$
|
20,389
|
|
|
$
|
8,332
|
|
$
|
2,706
|
|
$
|
18,766
|
|
$
|
2,135
|
|
Construction
|
—
|
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
104
|
|
159
|
|
|
—
|
|
—
|
|
—
|
|
—
|
|
||||||||||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Home equity
|
963
|
|
154
|
|
1,500
|
|
3,753
|
|
|
1,079
|
|
224
|
|
1,380
|
|
23,886
|
|
|
4,760
|
|
—
|
|
4,187
|
|
475
|
|
||||||||||||
Liquidating - home equity
|
201
|
|
—
|
|
7
|
|
495
|
|
|
35
|
|
—
|
|
—
|
|
5,658
|
|
|
631
|
|
—
|
|
797
|
|
—
|
|
||||||||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Commercial non-mortgage
|
7,527
|
|
—
|
|
1,122
|
|
4,616
|
|
|
816
|
|
—
|
|
1,162
|
|
20,721
|
|
|
5,607
|
|
3,217
|
|
301
|
|
36,382
|
|
||||||||||||
Asset-based
|
—
|
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
2,563
|
|
—
|
|
||||||||||||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||||||
Commercial real estate
|
38
|
|
—
|
|
12,015
|
|
68
|
|
|
2,112
|
|
—
|
|
1,792
|
|
21,951
|
|
|
18,424
|
|
5,996
|
|
539
|
|
22,585
|
|
||||||||||||
Commercial construction
|
—
|
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
10,100
|
|
||||||||||||
Residential development
|
189
|
|
—
|
|
3,573
|
|
—
|
|
|
319
|
|
—
|
|
577
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
719
|
|
||||||||||||
Equipment financing
|
—
|
|
—
|
|
—
|
|
—
|
|
|
142
|
|
—
|
|
288
|
|
160
|
|
|
—
|
|
216
|
|
—
|
|
—
|
|
||||||||||||
Total
|
$
|
14,156
|
|
$
|
2,931
|
|
$
|
26,518
|
|
$
|
18,449
|
|
|
$
|
6,570
|
|
$
|
2,931
|
|
$
|
13,114
|
|
$
|
92,924
|
|
|
$
|
37,754
|
|
$
|
12,135
|
|
$
|
27,153
|
|
$
|
72,396
|
|
|
Years ended December 31,
|
||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
||||||||||||
(Dollars in thousands)
|
Number of
Loans and
Leases
|
Recorded
Investment
|
|
Number of
Loans and
Leases
|
Recorded
Investment
|
|
Number of
Loans and
Leases
|
Recorded
Investment
|
|||||||||
Residential:
|
|
|
|
|
|
|
|
|
|||||||||
1-4 family
|
9
|
|
$
|
1,202
|
|
|
2
|
|
$
|
847
|
|
|
9
|
|
$
|
1,625
|
|
Consumer:
|
|
|
|
|
|
|
|
|
|||||||||
Home equity
|
4
|
|
339
|
|
|
—
|
|
—
|
|
|
8
|
|
1,195
|
|
|||
Liquidating - home equity
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
2
|
|
108
|
|
|||
Commercial:
|
|
|
|
|
|
|
|
|
|||||||||
Commercial non-mortgage
|
1
|
|
47
|
|
|
—
|
|
—
|
|
|
3
|
|
804
|
|
|||
Asset-based
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
2
|
|
522
|
|
|||
Commercial real estate:
|
|
|
|
|
|
|
|
|
|||||||||
Commercial real estate
|
—
|
|
—
|
|
|
—
|
|
—
|
|
|
3
|
|
1,371
|
|
|||
Total
|
14
|
|
$
|
1,588
|
|
|
2
|
|
$
|
847
|
|
|
27
|
|
$
|
5,625
|
|
|
Years ended December 31,
|
||||||||||
(In thousands)
|
2013
|
|
2012
|
|
2011
|
||||||
Beginning balance
|
$
|
2,617
|
|
|
$
|
2,269
|
|
|
$
|
3,658
|
|
Provision
|
1,209
|
|
|
1,621
|
|
|
3,475
|
|
|||
Loss on repurchased loans and settlements
|
(1,572
|
)
|
|
(1,273
|
)
|
|
(4,864
|
)
|
|||
Ending balance
|
$
|
2,254
|
|
|
$
|
2,617
|
|
|
$
|
2,269
|
|
|
December 31,
|
||||||
(In thousands)
|
2013
|
|
2012
|
||||
Land
|
$
|
13,777
|
|
|
$
|
15,281
|
|
Buildings and improvements
|
97,586
|
|
|
95,775
|
|
||
Leasehold improvements
|
74,127
|
|
|
73,253
|
|
||
Fixtures and equipment
|
70,819
|
|
|
69,530
|
|
||
Data processing and software
|
162,693
|
|
|
162,833
|
|
||
Total premises and equipment
|
419,002
|
|
|
416,672
|
|
||
Less accumulated depreciation and amortization
|
(297,397
|
)
|
|
(282,110
|
)
|
||
Premises and equipment, net
|
$
|
121,605
|
|
|
$
|
134,562
|
|
(In thousands)
|
2013
|
|
2012
|
||||
Assets held for disposition, beginning of period
|
$
|
415
|
|
|
$
|
1,825
|
|
Assets added
|
3,231
|
|
|
—
|
|
||
Asset write-downs
|
(1,002
|
)
|
|
(57
|
)
|
||
Assets sold
|
(1,077
|
)
|
|
(1,353
|
)
|
||
Assets held for disposition, end of period
|
$
|
1,567
|
|
|
$
|
415
|
|
|
At December 31, 2013
|
At December 31, 2012
|
||||||||||||||||
(In thousands)
|
Gross Carrying
Amount
|
Accumulated
Amortization
|
Net Carrying
Amount
|
Gross Carrying
Amount
|
Accumulated
Amortization
|
Net Carrying
Amount
|
||||||||||||
Core deposit intangibles
|
|
|
|
|
|
|
||||||||||||
Community Banking
|
$
|
49,420
|
|
$
|
(44,069
|
)
|
$
|
5,351
|
|
$
|
49,420
|
|
$
|
(39,150
|
)
|
$
|
10,270
|
|
Other (HSA Bank)
|
—
|
|
—
|
|
—
|
|
4,699
|
|
(4,699
|
)
|
—
|
|
||||||
Total
|
$
|
49,420
|
|
$
|
(44,069
|
)
|
$
|
5,351
|
|
$
|
54,119
|
|
$
|
(43,849
|
)
|
$
|
10,270
|
|
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Current:
|
|
|
|
||||||
Federal
|
$
|
61,666
|
|
$
|
52,391
|
|
$
|
27,674
|
|
State and local
|
3,577
|
|
1,282
|
|
1,302
|
|
|||
|
65,243
|
|
53,673
|
|
28,976
|
|
|||
Deferred:
|
|
|
|
||||||
Federal
|
10,693
|
|
20,012
|
|
28,497
|
|
|||
State and local
|
734
|
|
980
|
|
478
|
|
|||
|
11,427
|
|
20,992
|
|
28,975
|
|
|||
Total:
|
|
|
|
||||||
Federal
|
72,359
|
|
72,403
|
|
56,171
|
|
|||
State and local
|
4,311
|
|
2,262
|
|
1,780
|
|
|||
|
$
|
76,670
|
|
$
|
74,665
|
|
$
|
57,951
|
|
|
Years ended December 31,
|
||||||||||||||
|
2013
|
2012
|
2011
|
||||||||||||
(Dollars in thousands)
|
Amount
|
Percent
|
Amount
|
Percent
|
Amount
|
Percent
|
|||||||||
Income tax expense at federal statutory rate
|
$
|
89,677
|
|
35.0
|
%
|
$
|
86,927
|
|
35.0
|
%
|
$
|
72,567
|
|
35.0
|
%
|
Reconciliation to reported income tax expense:
|
|
|
|
|
|
|
|||||||||
State and local income taxes, net of federal benefit
|
2,802
|
|
1.1
|
|
1,470
|
|
0.6
|
|
1,157
|
|
0.6
|
|
|||
Tax-exempt interest income, net
|
(8,517
|
)
|
(3.3
|
)
|
(9,577
|
)
|
(3.8
|
)
|
(10,052
|
)
|
(4.8
|
)
|
|||
Increase in cash surrender value of life insurance
|
(4,819
|
)
|
(1.9
|
)
|
(3,939
|
)
|
(1.6
|
)
|
(3,626
|
)
|
(1.7
|
)
|
|||
Decrease in valuation allowance applicable to capital losses
|
(377
|
)
|
(0.2
|
)
|
(494
|
)
|
(0.2
|
)
|
(1,163
|
)
|
(0.6
|
)
|
|||
Other, net
|
(2,096
|
)
|
(0.8
|
)
|
278
|
|
0.1
|
|
(932
|
)
|
(0.5
|
)
|
|||
Reported income tax expense
|
$
|
76,670
|
|
|
$
|
74,665
|
|
|
$
|
57,951
|
|
|
|||
Effective tax rate
|
|
29.9
|
%
|
|
30.1
|
%
|
|
28.0
|
%
|
|
At December 31,
|
|||||
(In thousands)
|
2013
|
2012
|
||||
Deferred tax assets:
|
|
|
||||
Allowance for loan and lease losses
|
$
|
62,080
|
|
$
|
73,344
|
|
Net operating loss and credit carry forwards
|
66,709
|
|
66,308
|
|
||
Compensation and employee benefit plans
|
34,562
|
|
42,497
|
|
||
Net losses on derivative instruments
|
12,804
|
|
16,522
|
|
||
Impairment losses on securities available for sale
|
8,274
|
|
8,622
|
|
||
Non-accrual interest
|
4,105
|
|
8,247
|
|
||
Net unrealized loss on securities available for sale
|
1,532
|
|
—
|
|
||
Other
|
8,614
|
|
9,909
|
|
||
Gross deferred tax assets
|
198,680
|
|
225,449
|
|
||
Valuation allowance
|
(82,747
|
)
|
(82,502
|
)
|
||
Total deferred tax assets, net of valuation allowance
|
$
|
115,933
|
|
$
|
142,947
|
|
Deferred tax liabilities:
|
|
|
||||
Net unrealized gain on securities available for sale
|
$
|
—
|
|
$
|
26,143
|
|
Equipment financing leases
|
13,751
|
|
10,784
|
|
||
Deferred income on repurchase of debt
|
10,627
|
|
10,627
|
|
||
Intangible assets
|
8,239
|
|
7,388
|
|
||
Premises and equipment
|
3,353
|
|
6,163
|
|
||
Mortgage servicing assets
|
7,765
|
|
5,461
|
|
||
Deferred loan costs, net
|
3,423
|
|
3,236
|
|
||
Other
|
3,666
|
|
4,464
|
|
||
Gross deferred tax liabilities
|
50,824
|
|
74,266
|
|
||
Deferred tax asset, net
|
$
|
65,109
|
|
$
|
68,681
|
|
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Balance at beginning of year
|
$
|
3,119
|
|
$
|
4,436
|
|
$
|
4,816
|
|
Additions as a result of tax positions taken during the current year
|
528
|
|
858
|
|
462
|
|
|||
Additions as a result of tax positions taken during prior years
|
442
|
|
283
|
|
518
|
|
|||
Reductions as a result of tax positions taken during prior years
|
(460
|
)
|
(575
|
)
|
(791
|
)
|
|||
Reductions relating to settlements with taxing authorities
|
—
|
|
(1,342
|
)
|
—
|
|
|||
Reductions as a result of lapse of statute of limitations
|
(520
|
)
|
(541
|
)
|
(569
|
)
|
|||
Balance at end of year
|
$
|
3,109
|
|
$
|
3,119
|
|
$
|
4,436
|
|
|
At December 31,
|
||||||
(In thousands)
|
2013
|
|
2012
|
||||
Non-interest-bearing:
|
|
|
|
||||
Demand
|
$
|
3,128,152
|
|
|
$
|
2,881,131
|
|
Interest-bearing:
|
|
|
|
||||
Checking
|
1,934,291
|
|
|
1,810,040
|
|
||
Health savings accounts
|
1,533,310
|
|
|
1,269,727
|
|
||
Money market
|
2,167,593
|
|
|
2,205,072
|
|
||
Savings
|
3,863,930
|
|
|
3,819,713
|
|
||
Time deposits
|
2,227,144
|
|
|
2,545,152
|
|
||
Total interest-bearing
|
11,726,268
|
|
|
11,649,704
|
|
||
Total deposits
|
$
|
14,854,420
|
|
|
$
|
14,530,835
|
|
|
|
|
|
||||
Demand deposit overdrafts reclassified as loan balances
|
$
|
1,455
|
|
|
$
|
1,654
|
|
|
At December 31,
|
||||||
(In thousands)
|
2013
|
|
2012
|
||||
Interest-bearing checking obtained through brokers
|
$
|
57,817
|
|
|
$
|
43,693
|
|
Time deposits obtained through brokers
|
148,117
|
|
|
126,299
|
|
||
Total brokered deposits
|
$
|
205,934
|
|
|
$
|
169,992
|
|
|
At December 31,
|
||||||
(In thousands)
|
2013
|
|
2012
|
||||
Securities sold under agreements to repurchase:
|
|
|
|
||||
Original maturity of one year or less
|
$
|
359,662
|
|
|
$
|
326,160
|
|
Callable at the option of the counterparty
|
100,000
|
|
|
300,000
|
|
||
Non-callable
|
550,000
|
|
|
450,000
|
|
||
|
1,009,662
|
|
|
1,076,160
|
|
||
Other borrowings:
|
|
|
|
||||
Federal funds purchased
|
322,000
|
|
|
—
|
|
||
Total securities sold under agreements to repurchase and other borrowings
|
$
|
1,331,662
|
|
|
$
|
1,076,160
|
|
(Dollars in thousands)
|
Balance
|
Fair Value of Collateral
|
Weighted-Average Rate
|
Weighted-Average Remaining Maturity
|
||||||
Maturity:
|
|
|
|
|
|
|||||
Up to 30 days
|
$
|
358,927
|
|
$
|
366,371
|
|
0.16
|
%
|
2.16
|
days
|
31 to 90 days
|
300
|
|
315
|
|
0.15
|
|
2.42
|
months
|
||
Over 90 days
|
650,435
|
|
728,916
|
|
2.51
|
|
3.29
|
years
|
||
Totals
|
$
|
1,009,662
|
|
$
|
1,095,602
|
|
1.67
|
%
|
2.12
|
years
|
|
At and for the year ended December 31,
|
||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
||||||||||||
(Dollars in thousands)
|
Amount
|
Rate
|
|
Amount
|
Rate
|
|
Amount
|
Rate
|
|||||||||
Securities sold under agreements to repurchase:
|
|
|
|
|
|
|
|
|
|||||||||
At end of year
|
$
|
359,662
|
|
0.16
|
%
|
|
$
|
326,160
|
|
0.15
|
%
|
|
$
|
290,856
|
|
0.20
|
%
|
Average during year
|
316,560
|
|
0.15
|
|
|
306,294
|
|
0.18
|
|
|
310,355
|
|
0.22
|
|
|||
Highest month-end balance during year
|
372,922
|
|
—
|
|
|
357,396
|
|
—
|
|
|
342,795
|
|
—
|
|
|||
Federal funds purchased:
|
|
|
|
|
|
|
|
|
|||||||||
At end of year
|
322,000
|
|
0.20
|
|
|
—
|
|
—
|
|
|
223,000
|
|
0.12
|
|
|||
Average during year
|
255,689
|
|
0.18
|
|
|
173,690
|
|
0.17
|
|
|
122,656
|
|
0.14
|
|
|||
Highest month-end balance during year
|
398,000
|
|
—
|
|
|
255,200
|
|
—
|
|
|
282,000
|
|
—
|
|
|
At December 31,
|
||||||||||
|
2013
|
|
2012
|
||||||||
(Dollars in thousands)
|
Total
Outstanding
|
Weighted
Average Contractual Coupon Rate
|
|
Total
Outstanding
|
Weighted
Average Contractual Coupon Rate
|
||||||
Stated Maturity:
|
|
|
|
|
|
||||||
2013
|
$
|
—
|
|
—
|
%
|
|
$
|
1,425,000
|
|
0.34
|
%
|
2014
|
1,550,000
|
|
0.25
|
|
|
—
|
|
—
|
|
||
2016
|
145,934
|
|
1.80
|
|
|
145,934
|
|
1.80
|
|
||
2017
|
500
|
|
5.66
|
|
|
500
|
|
5.66
|
|
||
2018-2032
|
355,926
|
|
1.31
|
|
|
256,093
|
|
1.29
|
|
||
|
2,052,360
|
|
0.54
|
%
|
|
1,827,527
|
|
0.59
|
%
|
||
Unamortized premiums
|
61
|
|
|
|
85
|
|
|
||||
Total Federal Home Loan Bank advances
|
$
|
2,052,421
|
|
|
|
$
|
1,827,612
|
|
|
|
|
|
At December 31,
|
|||||||
(Dollars in thousands)
|
Maturity date
|
Stated interest rate
|
2013
|
|
2012
|
|||||
Senior fixed-rate notes
|
2014
|
5.125
|
%
|
$
|
150,000
|
|
|
$
|
150,000
|
|
Subordinated fixed-rate notes
(1)
|
2013
|
5.875
|
%
|
—
|
|
|
102,579
|
|
||
Junior subordinated debt Webster Statutory Trust I floating-rate notes
(2)
|
2033
|
3.194
|
%
|
77,320
|
|
|
77,320
|
|
||
Total notes and subordinated debt
|
|
|
227,320
|
|
|
329,899
|
|
|||
Unamortized discount, net
(3)
|
|
|
(21
|
)
|
|
(93
|
)
|
|||
Hedge accounting adjustments
(3)
|
|
|
1,066
|
|
|
4,470
|
|
|||
Total long-term debt
|
|
|
$
|
228,365
|
|
|
$
|
334,276
|
|
(1)
|
The Bank used cash on hand to pay off the subordinated fixed-rate notes that matured on January 15, 2013.
|
(2)
|
The interest rate on Webster Statutory Trust I floating-rate notes, which varies quarterly based on 3-month LIBOR plus
2.95%
, was
3.194%
at
December 31, 2013
and
3.258%
at
December 31, 2012
.
|
(3)
|
Related to senior fixed-rate notes.
|
(In thousands)
|
2014
|
|
2015
|
|
2016
|
|
2017
|
|
2018
|
|
Thereafter
|
|
Total
|
||||||||||||||
Senior fixed-rate notes
|
$
|
150,000
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
150,000
|
|
Junior subordinated debt related to capital trusts
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
77,320
|
|
|
77,320
|
|
|||||||
Total notes and subordinated debt
|
$
|
150,000
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
77,320
|
|
|
$
|
227,320
|
|
|
Capital
|
Capital Requirements
|
|||||||||||||
|
Actual
|
Minimum
|
Well Capitalized
|
||||||||||||
(Dollars in thousands)
|
Amount
|
Ratio
|
Amount
|
Ratio
|
Amount
|
Ratio
|
|||||||||
At December 31, 2013
|
|
|
|
|
|
|
|||||||||
Webster Financial Corporation
|
|
|
|
|
|
|
|||||||||
Total risk-based capital
|
$
|
1,965,171
|
|
14.2
|
%
|
$
|
1,106,203
|
|
8.0
|
%
|
$
|
1,382,754
|
|
10.0
|
%
|
Tier 1 capital
|
1,807,642
|
|
13.1
|
|
553,101
|
|
4.0
|
|
829,652
|
|
6.0
|
|
|||
Tier 1 leverage capital ratio
|
1,807,642
|
|
9.0
|
|
801,535
|
|
4.0
|
|
1,001,919
|
|
5.0
|
|
|||
Webster Bank, N.A.
|
|
|
|
|
|
|
|||||||||
Total risk-based capital
|
$
|
1,815,423
|
|
13.2
|
%
|
$
|
1,104,200
|
|
8.0
|
%
|
$
|
1,380,250
|
|
10.0
|
%
|
Tier 1 capital
|
1,658,466
|
|
12.0
|
|
552,100
|
|
4.0
|
|
828,150
|
|
6.0
|
|
|||
Tier 1 leverage capital ratio
|
1,658,466
|
|
8.3
|
|
800,063
|
|
4.0
|
|
1,000,079
|
|
5.0
|
|
|||
At December 31, 2012
|
|
|
|
|
|
|
|||||||||
Webster Financial Corporation
|
|
|
|
|
|
|
|||||||||
Total risk-based capital
|
$
|
1,840,736
|
|
13.7
|
%
|
$
|
1,072,749
|
|
8.0
|
%
|
$
|
1,340,936
|
|
10.0
|
%
|
Tier 1 capital
|
1,672,009
|
|
12.5
|
|
536,375
|
|
4.0
|
|
804,562
|
|
6.0
|
|
|||
Tier 1 leverage capital ratio
|
1,672,009
|
|
8.7
|
|
767,289
|
|
4.0
|
|
959,111
|
|
5.0
|
|
|||
Webster Bank, N.A.
|
|
|
|
|
|
|
|||||||||
Total risk-based capital
|
$
|
1,718,564
|
|
12.9
|
%
|
$
|
1,069,652
|
|
8.0
|
%
|
$
|
1,337,064
|
|
10.0
|
%
|
Tier 1 capital
|
1,551,238
|
|
11.6
|
|
534,826
|
|
4.0
|
|
802,239
|
|
6.0
|
|
|||
Tier 1 leverage capital ratio
|
1,551,238
|
|
8.1
|
|
766,025
|
|
4.0
|
|
957,532
|
|
5.0
|
|
|
Years ended December 31,
|
||||||||||
(In thousands, except per share data)
|
2013
|
|
2012
|
|
2011
|
||||||
Earnings from continuing operations for basic and diluted earnings per common share:
|
|
|
|
|
|
||||||
Net income from continuing operations available to common shareholders
|
$
|
168,746
|
|
|
$
|
171,237
|
|
|
$
|
146,098
|
|
Less: Dividends to participating shares
|
(179
|
)
|
|
(134
|
)
|
|
(70
|
)
|
|||
Income allocated to participating shares
|
(438
|
)
|
|
(614
|
)
|
|
(666
|
)
|
|||
Net income allocated to common shareholders
|
$
|
168,129
|
|
|
$
|
170,489
|
|
|
$
|
145,362
|
|
Earnings from discontinued operations for basic and diluted earnings per common share:
|
|
|
|
|
|
||||||
Net income from discontinued operations available to common shareholders
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,995
|
|
Shares:
|
|
|
|
|
|
||||||
Weighted average common shares outstanding - basic
|
88,713
|
|
|
87,211
|
|
|
87,007
|
|
|||
Effect of dilutive securities:
|
|
|
|
|
|
||||||
Stock options and restricted stock
|
436
|
|
|
281
|
|
|
368
|
|
|||
Warrants - Series A1 and A2
|
922
|
|
|
4,048
|
|
|
4,147
|
|
|||
Warrants - other
|
190
|
|
|
109
|
|
|
166
|
|
|||
Weighted average common shares outstanding - diluted
|
90,261
|
|
|
91,649
|
|
|
91,688
|
|
|||
|
|
|
|
|
|
||||||
Earnings from continuing operations per common share:
|
|
|
|
|
|
||||||
Basic
|
$
|
1.90
|
|
|
$
|
1.96
|
|
|
$
|
1.67
|
|
Diluted
|
$
|
1.86
|
|
|
$
|
1.86
|
|
|
$
|
1.59
|
|
Earnings from discontinued operations per common share:
|
|
|
|
|
|
||||||
Basic
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
0.02
|
|
Diluted
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
0.02
|
|
Earnings per common share:
|
|
|
|
|
|
||||||
Basic
|
$
|
1.90
|
|
|
$
|
1.96
|
|
|
$
|
1.69
|
|
Diluted
|
$
|
1.86
|
|
|
$
|
1.86
|
|
|
$
|
1.61
|
|
(In thousands)
|
Available for Sale and Transferred Securities
|
Derivative Instruments
|
Defined Benefit Pension and Postretirement Benefit Plans
|
Total
|
||||||||
Balance at December 31, 2010
|
$
|
17,529
|
|
$
|
(5,889
|
)
|
$
|
(25,349
|
)
|
$
|
(13,709
|
)
|
Other comprehensive income (loss) before reclassifications
|
923
|
|
(14,447
|
)
|
(22,236
|
)
|
(35,760
|
)
|
||||
Amounts reclassified from accumulated other comprehensive loss
|
(2,485
|
)
|
(8,548
|
)
|
298
|
|
(10,735
|
)
|
||||
Net current-period other comprehensive loss, net of tax
|
(1,562
|
)
|
(22,995
|
)
|
(21,938
|
)
|
(46,495
|
)
|
||||
Balance at December 31, 2011
|
15,967
|
|
(28,884
|
)
|
(47,287
|
)
|
(60,204
|
)
|
||||
Other comprehensive income (loss) before reclassifications
|
28,950
|
|
(3,243
|
)
|
(2,462
|
)
|
23,245
|
|
||||
Amounts reclassified from accumulated other comprehensive loss
|
(2,176
|
)
|
4,225
|
|
2,644
|
|
4,693
|
|
||||
Net current-period other comprehensive income, net of tax
|
26,774
|
|
982
|
|
182
|
|
27,938
|
|
||||
Balance at December 31, 2012
|
42,741
|
|
(27,902
|
)
|
(47,105
|
)
|
(32,266
|
)
|
||||
Other comprehensive (loss) income before reclassifications
|
(49,572
|
)
|
3,744
|
|
17,298
|
|
(28,530
|
)
|
||||
Amounts reclassified from accumulated other comprehensive loss
|
4,214
|
|
5,952
|
|
2,081
|
|
12,247
|
|
||||
Net current-period other comprehensive (loss) income, net of tax
|
(45,358
|
)
|
9,696
|
|
19,379
|
|
(16,283
|
)
|
||||
Balance at December 31, 2013
|
$
|
(2,617
|
)
|
$
|
(18,206
|
)
|
$
|
(27,726
|
)
|
$
|
(48,549
|
)
|
|
Years ended December 31,
|
|
||||||||||
(In thousands)
|
2013
|
|
2012
|
|
2011
|
|
||||||
Details About Accumulated Other
Comprehensive Loss Components
|
Amount Reclassified From Accumulated Other Comprehensive Loss
|
|
Amount Reclassified From Accumulated Other Comprehensive Loss
|
|
Amount Reclassified From Accumulated Other Comprehensive Loss
|
Affected Line Item in the Consolidated
Statements Of Income
|
||||||
|
|
|
|
|
|
|
||||||
Available for sale and transferred securities:
|
|
|
|
|
|
|
||||||
Unrealized gains and (losses) on available for sale securities
|
$
|
712
|
|
|
$
|
3,347
|
|
|
$
|
3,823
|
|
Net gain on sale of investment securities
|
Unrealized gains and (losses) on available for sale securities
|
(7,277
|
)
|
|
—
|
|
|
—
|
|
Impairment loss recognized in earnings
|
|||
Tax expense
|
2,351
|
|
|
(1,171
|
)
|
|
(1,338
|
)
|
Income tax expense
|
|||
Net of tax
|
$
|
(4,214
|
)
|
|
$
|
2,176
|
|
|
$
|
2,485
|
|
|
Derivative instruments:
|
|
|
|
|
|
|
||||||
Cash flow hedges
|
$
|
(9,272
|
)
|
|
$
|
(6,575
|
)
|
|
$
|
13,742
|
|
Total interest expense
|
Tax benefit (expense)
|
3,320
|
|
|
2,350
|
|
|
(5,194
|
)
|
Income tax expense
|
|||
Net of tax
|
$
|
(5,952
|
)
|
|
$
|
(4,225
|
)
|
|
$
|
8,548
|
|
|
Defined benefit pension and postretirement benefit plans:
|
|
|
|
|
|
|
||||||
Amortization of net loss
|
$
|
(3,169
|
)
|
|
$
|
(4,042
|
)
|
|
$
|
(392
|
)
|
Compensation and benefits
|
Prior service costs
|
(73
|
)
|
|
(73
|
)
|
|
(73
|
)
|
Compensation and benefits
|
|||
Tax benefit
|
1,161
|
|
|
1,471
|
|
|
167
|
|
Income tax expense
|
|||
Net of tax
|
$
|
(2,081
|
)
|
|
$
|
(2,644
|
)
|
|
$
|
(298
|
)
|
|
|
At or for the year ended December 31, 2013
|
||||||||
(In thousands)
|
Pre-Tax
Amount
|
Tax Benefit (Expense)
|
Net of Tax
Amount
|
||||||
Available for sale and transferred securities:
|
|
|
|
||||||
Net unrealized loss during the period
|
$
|
(77,524
|
)
|
$
|
27,762
|
|
$
|
(49,762
|
)
|
Reclassification adjustment for net gain included in net income
|
(712
|
)
|
255
|
|
(457
|
)
|
|||
Net non-credit related other-than-temporary impairment
|
7,277
|
|
(2,606
|
)
|
4,671
|
|
|||
Amortization of unrealized loss on securities transferred to held to maturity
|
296
|
|
(106
|
)
|
190
|
|
|||
Total available for sale and transferred securities
|
(70,663
|
)
|
25,305
|
|
(45,358
|
)
|
|||
Derivative instruments:
|
|
|
|
||||||
Net unrealized gain during the period
|
5,826
|
|
(2,082
|
)
|
3,744
|
|
|||
Reclassification adjustment for cash flow hedges included in net income
|
9,272
|
|
(3,320
|
)
|
5,952
|
|
|||
Total derivative instruments
|
15,098
|
|
(5,402
|
)
|
9,696
|
|
|||
Defined benefit pension and postretirement benefit plans:
|
|
|
|
||||||
Current year actuarial gain
|
26,949
|
|
(9,651
|
)
|
17,298
|
|
|||
Reclassification adjustment for amortization of net loss included in net income
|
3,169
|
|
(1,135
|
)
|
2,034
|
|
|||
Reclassification adjustment for prior service costs included in net income
|
73
|
|
(26
|
)
|
47
|
|
|||
Total defined benefit pension and postretirement benefit plans
|
30,191
|
|
(10,812
|
)
|
19,379
|
|
|||
Other comprehensive loss
|
$
|
(25,374
|
)
|
$
|
9,091
|
|
$
|
(16,283
|
)
|
|
At or for the year ended December 31, 2012
|
||||||||
(In thousands)
|
Pre-Tax
Amount
|
Tax (Expense) Benefit
|
Net of Tax
Amount
|
||||||
Available for sale and transferred securities:
|
|
|
|
||||||
Net unrealized gain during the period
|
$
|
45,024
|
|
$
|
(16,096
|
)
|
$
|
28,928
|
|
Reclassification adjustment for net gain included in net income
|
(3,347
|
)
|
1,171
|
|
(2,176
|
)
|
|||
Net non-credit related other-than-temporary impairment
|
—
|
|
—
|
|
—
|
|
|||
Amortization of unrealized loss on securities transferred to held to maturity
|
35
|
|
(13
|
)
|
22
|
|
|||
Total available for sale and transferred securities
|
41,712
|
|
(14,938
|
)
|
26,774
|
|
|||
Derivative instruments:
|
|
|
|
||||||
Net unrealized loss during the period
|
(5,047
|
)
|
1,804
|
|
(3,243
|
)
|
|||
Reclassification adjustment for cash flow hedges included in net income
|
6,575
|
|
(2,350
|
)
|
4,225
|
|
|||
Total derivative instruments
|
1,528
|
|
(546
|
)
|
982
|
|
|||
Defined benefit pension and postretirement benefit plans:
|
|
|
|
||||||
Current year actuarial loss
|
(3,832
|
)
|
1,370
|
|
(2,462
|
)
|
|||
Reclassification adjustment for amortization of net loss included in net income
|
4,042
|
|
(1,445
|
)
|
2,597
|
|
|||
Reclassification adjustment for prior service costs included in net income
|
73
|
|
(26
|
)
|
47
|
|
|||
Total benefit pension and postretirement benefit plans
|
283
|
|
(101
|
)
|
182
|
|
|||
Other comprehensive income
|
$
|
43,523
|
|
$
|
(15,585
|
)
|
$
|
27,938
|
|
|
At or for the year ended December 31, 2011
|
||||||||
(In thousands)
|
Pre-Tax
Amount
|
Tax (Expense) Benefit
|
Net of Tax
Amount
|
||||||
Available for sale and transferred securities:
|
|
|
|
||||||
Net unrealized loss during the period
|
$
|
(777
|
)
|
$
|
1,527
|
|
$
|
750
|
|
Reclassification adjustment for net gain included in net income
|
(3,823
|
)
|
1,338
|
|
(2,485
|
)
|
|||
Net non-credit related other-than-temporary impairment
|
—
|
|
—
|
|
—
|
|
|||
Amortization of unrealized loss on securities transferred to held to maturity
|
260
|
|
(87
|
)
|
173
|
|
|||
Total available for sale and transferred securities
|
(4,340
|
)
|
2,778
|
|
(1,562
|
)
|
|||
Derivative instruments:
|
|
|
|
||||||
Net unrealized loss during the period
|
(23,222
|
)
|
8,775
|
|
(14,447
|
)
|
|||
Reclassification adjustment for cash flow hedges included in net income
|
(13,742
|
)
|
5,194
|
|
(8,548
|
)
|
|||
Total derivative instruments
|
(36,964
|
)
|
13,969
|
|
(22,995
|
)
|
|||
Defined benefit pension and postretirement benefit plans:
|
|
|
|
||||||
Current year actuarial loss
|
(35,137
|
)
|
12,901
|
|
(22,236
|
)
|
|||
Reclassification adjustment for amortization of net loss included in net income
|
392
|
|
(140
|
)
|
252
|
|
|||
Reclassification adjustment for prior service costs included in net income
|
73
|
|
(27
|
)
|
46
|
|
|||
Total defined benefit pension and postretirement benefit plans
|
(34,672
|
)
|
12,734
|
|
(21,938
|
)
|
|||
Other comprehensive loss
|
$
|
(75,976
|
)
|
$
|
29,481
|
|
$
|
(46,495
|
)
|
|
|
At December 31, 2013
|
|
At December 31, 2012
|
||||||||||||
(Dollars in thousands)
|
Balance Sheet
Classification
|
# of
Instruments
|
Notional
Amount
|
Estimated
Fair
Value
|
|
# of
Instruments
|
Notional
Amount
|
Estimated
Fair
Value
|
||||||||
Interest rate derivatives designated as cash flow hedges:
|
|
|
|
|
|
|
|
|
||||||||
Forward-settle interest rate swap on anticipated debt
(1)
|
Other assets
|
4
|
$
|
100,000
|
|
$
|
1,815
|
|
|
—
|
$
|
—
|
|
$
|
—
|
|
Forward-settle interest rate swap on anticipated debt
(1)
|
Other liabilities
|
1
|
25,000
|
|
(15
|
)
|
|
—
|
—
|
|
—
|
|
||||
Forward-settle interest rate swap on anticipated debt
|
Other assets
|
4
|
100,000
|
|
1,212
|
|
|
—
|
—
|
|
—
|
|
||||
Forward-settle interest rate swap on anticipated debt
|
Other liabilities
|
4
|
100,000
|
|
(607
|
)
|
|
4
|
100,000
|
|
(1,130
|
)
|
||||
Interest rate cap on FHLB advances
|
Other assets
|
2
|
50,000
|
|
3,554
|
|
|
—
|
—
|
|
—
|
|
||||
Interest rate swap on FHLB advances
|
Other liabilities
|
—
|
—
|
|
—
|
|
|
1
|
100,000
|
|
(497
|
)
|
|
Years ended December 31,
|
|||||||||||||||||||
|
2013
|
|
2012
|
|
2011
|
|||||||||||||||
(In thousands)
|
Interest
Expense
|
Amount Reclassified From AOCI
|
|
Interest
Expense
|
Amount Reclassified From AOCI
|
|
Interest
Expense
|
Amount Reclassified From AOCI
|
||||||||||||
Impact reported as an increase or (reduction) in interest expense on borrowings
|
|
|
|
|
|
|
|
|
||||||||||||
Interest rate swaps on FHLB advances
|
$
|
498
|
|
$
|
5,956
|
|
|
$
|
1,393
|
|
$
|
4,754
|
|
|
$
|
1,542
|
|
$
|
1,962
|
|
Interest rate swaps on subordinated debt
|
—
|
|
(3
|
)
|
|
—
|
|
(92
|
)
|
|
—
|
|
(150
|
)
|
||||||
Interest rate swaps repurchase agreement
|
—
|
|
3,319
|
|
|
—
|
|
2,959
|
|
|
—
|
|
1,095
|
|
||||||
Interest rate swaps on Trust Preferred Securities
|
—
|
|
—
|
|
|
—
|
|
(105
|
)
|
|
—
|
|
(180
|
)
|
||||||
Net impact on interest expense on borrowings
|
$
|
498
|
|
$
|
9,272
|
|
|
$
|
1,393
|
|
$
|
7,516
|
|
|
$
|
1,542
|
|
$
|
2,727
|
|
|
Years ended December 31,
|
||||||||||
(In thousands)
|
2013
|
|
2012
|
|
2011
|
||||||
Impact reported as a reduction in interest expense on borrowings
|
|
|
|
|
|
||||||
Interest rate swaps on senior notes
|
$
|
(3,197
|
)
|
|
$
|
(3,197
|
)
|
|
$
|
(3,197
|
)
|
Interest rate swaps on subordinated debt
|
(207
|
)
|
|
(2,648
|
)
|
|
(4,479
|
)
|
|||
Interest rate swaps on FHLB advances
|
—
|
|
|
—
|
|
|
(171
|
)
|
|||
Net impact on interest expense on borrowings
|
$
|
(3,404
|
)
|
|
$
|
(5,845
|
)
|
|
$
|
(7,847
|
)
|
|
|
At December 31, 2013
|
|||||||||||||
|
|
|
|
Estimated Fair Value
|
|||||||||||
(Dollars in thousands)
|
Balance Sheet
Classification
|
# of
Instruments
|
Notional
Amount
|
Gain
|
Loss
|
Net
|
|||||||||
Webster with customer position:
|
|
|
|
|
|
|
|||||||||
Commercial loan interest rate swaps
|
Other assets
|
159
|
|
$
|
915,272
|
|
$
|
29,004
|
|
$
|
—
|
|
$
|
29,004
|
|
Commercial loan interest rate swaps
|
Other liabilities
|
76
|
|
648,456
|
|
—
|
|
(11,175
|
)
|
(11,175
|
)
|
||||
Total customer position
|
|
235
|
|
$
|
1,563,728
|
|
$
|
29,004
|
|
$
|
(11,175
|
)
|
$
|
17,829
|
|
|
|
|
|
|
|
|
|||||||||
Webster with counterparty position:
|
|
|
|
|
|
|
|||||||||
Commercial loan interest rate swaps
|
Other assets
|
111
|
|
$
|
914,044
|
|
$
|
8,944
|
|
$
|
(2,766
|
)
|
$
|
6,178
|
|
Commercial loan interest rate swaps
|
Other liabilities
|
118
|
|
649,623
|
|
8,118
|
|
(20,094
|
)
|
(11,976
|
)
|
||||
Total counterparty position
|
|
229
|
|
$
|
1,563,667
|
|
$
|
17,062
|
|
$
|
(22,860
|
)
|
$
|
(5,798
|
)
|
|
|
At December 31, 2012
|
|||||||||||||
|
|
|
|
Estimated Fair Value
|
|||||||||||
(Dollars in thousands)
|
Balance Sheet
Classification
|
# of
Instruments
|
Notional
Amount
|
Gain
|
Loss
|
Net
|
|||||||||
Webster with customer position:
|
|
|
|
|
|
|
|||||||||
Commercial loan interest rate derivatives
|
Other assets
|
178
|
|
$
|
1,009,623
|
|
$
|
50,970
|
|
$
|
—
|
|
$
|
50,970
|
|
Commercial loan interest rate derivatives
|
Other liabilities
|
23
|
|
193,946
|
|
—
|
|
(124
|
)
|
(124
|
)
|
||||
Total customer position
|
|
201
|
|
$
|
1,203,569
|
|
$
|
50,970
|
|
$
|
(124
|
)
|
$
|
50,846
|
|
|
|
|
|
|
|
|
|||||||||
Webster with counterparty position:
|
|
|
|
|
|
|
|||||||||
Commercial loan interest rate derivatives
|
Other liabilities
|
194
|
|
$
|
1,203,512
|
|
$
|
544
|
|
$
|
(41,965
|
)
|
$
|
(41,421
|
)
|
Total counterparty position
|
|
194
|
|
$
|
1,203,512
|
|
$
|
544
|
|
$
|
(41,965
|
)
|
$
|
(41,421
|
)
|
|
Years ended December 31,
|
||||||||||
(In thousands)
|
2013
|
|
2012
|
|
2011
|
||||||
Impact reported in other non-interest income:
|
|
|
|
|
|
||||||
Visa Swap
|
$
|
(120
|
)
|
|
$
|
(556
|
)
|
|
$
|
(153
|
)
|
Interest rate derivatives, net
|
5,890
|
|
|
6,128
|
|
|
2,889
|
|
|||
Fed funds futures contracts
|
(438
|
)
|
|
48
|
|
|
(1,815
|
)
|
|||
Net impact on other non-interest income
|
$
|
5,332
|
|
|
$
|
5,620
|
|
|
$
|
921
|
|
|
At December 31, 2013
|
||||||||||||||||||||||||||
|
|
|
Hedge Accounting Positions
|
|
Non-Hedge Accounting Positions
|
|
|
|
|
||||||||||||||||||
(In thousands)
|
Notional Amount
|
|
MTM Gain
|
MTM Loss
|
|
MTM Gain
|
MTM Loss
|
|
Total MTM(Loss) Gain
|
Cash Collateral Posted (Received)
|
Net Exposure
(1)
|
||||||||||||||||
Dealer A
|
$
|
387,258
|
|
|
$
|
730
|
|
$
|
—
|
|
|
$
|
4,643
|
|
$
|
(9,647
|
)
|
|
$
|
(4,274
|
)
|
$
|
4,300
|
|
$
|
26
|
|
Dealer B
|
322,888
|
|
|
615
|
|
—
|
|
|
3,475
|
|
(9,100
|
)
|
|
(5,010
|
)
|
4,940
|
|
—
|
|
||||||||
Dealer C
|
14,477
|
|
|
—
|
|
—
|
|
|
—
|
|
(1,348
|
)
|
|
(1,348
|
)
|
—
|
|
—
|
|
||||||||
Dealer D
|
291,627
|
|
|
1,734
|
|
—
|
|
|
4,108
|
|
(592
|
)
|
|
5,250
|
|
(5,300
|
)
|
—
|
|
||||||||
Dealer E
|
372,771
|
|
|
2,290
|
|
(15
|
)
|
|
3,017
|
|
(1,743
|
)
|
|
3,549
|
|
(3,310
|
)
|
—
|
|
||||||||
Dealer F
|
11,749,646
|
|
|
1,212
|
|
(607
|
)
|
|
1,819
|
|
(657
|
)
|
|
1,767
|
|
7,485
|
|
9,252
|
|
||||||||
Totals
|
$
|
13,138,667
|
|
|
$
|
6,581
|
|
$
|
(622
|
)
|
|
$
|
17,062
|
|
$
|
(23,087
|
)
|
|
$
|
(66
|
)
|
$
|
8,115
|
|
|
|
At December 31, 2012
|
||||||||||||||||||||||||||
|
|
|
Hedge Accounting Positions
|
|
Non-Hedge Accounting Positions
|
|
|
|
|
||||||||||||||||||
(In thousands)
|
Notional Amount
|
|
MTM Gain
|
MTM Loss
|
|
MTM Gain
|
MTM Loss
|
|
Total MTM(Loss) Gain
|
Cash Collateral Posted (Received)
|
Net Exposure
(1)
|
||||||||||||||||
Dealer A
|
$
|
561,716
|
|
|
$
|
—
|
|
$
|
(985
|
)
|
|
$
|
199
|
|
$
|
(16,721
|
)
|
|
$
|
(17,507
|
)
|
$
|
17,900
|
|
$
|
393
|
|
Dealer B
|
403,097
|
|
|
—
|
|
(642
|
)
|
|
139
|
|
(15,281
|
)
|
|
(15,784
|
)
|
16,980
|
|
1,196
|
|
||||||||
Dealer C
|
15,221
|
|
|
—
|
|
—
|
|
|
1
|
|
(2,038
|
)
|
|
(2,037
|
)
|
—
|
|
—
|
|
||||||||
Dealer D
|
184,648
|
|
|
—
|
|
—
|
|
|
53
|
|
(2,506
|
)
|
|
(2,453
|
)
|
2,600
|
|
147
|
|
||||||||
Dealer E
|
238,830
|
|
|
—
|
|
—
|
|
|
152
|
|
(5,419
|
)
|
|
(5,267
|
)
|
5,290
|
|
23
|
|
||||||||
Dealer F
|
6,600,000
|
|
|
|
|
|
|
(125
|
)
|
|
(125
|
)
|
674
|
|
549
|
|
|||||||||||
Totals
|
$
|
8,003,512
|
|
|
$
|
—
|
|
$
|
(1,627
|
)
|
|
$
|
544
|
|
$
|
(42,090
|
)
|
|
$
|
(43,173
|
)
|
$
|
43,444
|
|
|
(1)
|
Net positive exposure represents over-collateralized loss positions which can be the result of OTC clearing house initial margin requirements posted in compliance with the Dodd-Frank Wall Street Reform and Consumer Protection Act ("Dodd-Frank").
|
•
|
Level 1:
Valuation is based upon unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date.
|
•
|
Level 2:
Fair value is calculated using inputs other than quoted market prices that are directly or indirectly observable for the asset or liability. The valuation may rely on quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, volatilities, prepayment speeds, credit ratings, etc.), or inputs that are derived principally or corroborated by market data, by correlation, or other means.
|
•
|
Level 3:
Inputs for determining the fair value of the respective assets or liabilities are not observable. Level 3 valuations are reliant upon pricing models and techniques that require significant management judgment or estimation.
|
|
At December 31, 2013
|
|||||||||||
(In thousands)
|
Total
|
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)
|
Significant Other
Observable Inputs
(Level 2)
|
Significant
Unobservable Inputs
(Level 3)
|
||||||||
Financial assets held at fair value:
|
|
|
|
|
||||||||
Available for sale securities:
|
|
|
|
|
||||||||
U.S. Treasury Bills
|
$
|
325
|
|
$
|
325
|
|
$
|
—
|
|
$
|
—
|
|
Agency CMOs
|
806,912
|
|
—
|
|
806,912
|
|
—
|
|
||||
Agency MBS
|
1,226,702
|
|
—
|
|
1,226,702
|
|
—
|
|
||||
Agency CMBS
|
70,977
|
|
—
|
|
70,977
|
|
—
|
|
||||
CMBS
|
464,274
|
|
—
|
|
464,274
|
|
—
|
|
||||
CLOs
|
357,641
|
|
—
|
|
357,641
|
|
—
|
|
||||
Pooled trust preferred securities
|
28,490
|
|
—
|
|
—
|
|
28,490
|
|
||||
Single issuer trust preferred securities
|
34,935
|
|
—
|
|
34,935
|
|
—
|
|
||||
Corporate debt
|
113,091
|
|
—
|
|
113,091
|
|
|
|
||||
Equity securities
|
3,584
|
|
3,309
|
|
275
|
|
—
|
|
||||
Total available for sale securities
|
3,106,931
|
|
3,634
|
|
3,074,807
|
|
28,490
|
|
||||
Derivative instruments:
|
|
|
|
|
||||||||
Interest rate derivatives
|
41,763
|
|
—
|
|
41,763
|
|
—
|
|
||||
Mortgage banking derivatives
|
540
|
|
—
|
|
540
|
|
—
|
|
||||
Investments held in Rabbi Trust
|
6,097
|
|
6,097
|
|
—
|
|
—
|
|
||||
Alternative Investments
|
565
|
|
—
|
|
—
|
|
565
|
|
||||
Total financial assets held at fair value
|
$
|
3,155,896
|
|
$
|
9,731
|
|
$
|
3,117,110
|
|
$
|
29,055
|
|
Financial liabilities held at fair value:
|
|
|
|
|
||||||||
Derivative instruments:
|
|
|
|
|
||||||||
Interest rate derivatives
|
$
|
23,773
|
|
$
|
—
|
|
$
|
23,773
|
|
$
|
—
|
|
Fed Fund futures contracts
|
227
|
|
227
|
|
—
|
|
—
|
|
||||
Visa Swap
|
6
|
|
—
|
|
6
|
|
—
|
|
||||
Total financial liabilities held at fair value
|
$
|
24,006
|
|
$
|
227
|
|
$
|
23,779
|
|
$
|
—
|
|
|
At December 31, 2012
|
|||||||||||
(In thousands)
|
Total
|
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)
|
Significant Other
Observable Inputs
(Level 2)
|
Significant
Unobservable Inputs
(Level 3)
|
||||||||
Financial assets held at fair value:
|
|
|
|
|
||||||||
Available for sale securities:
|
|
|
|
|
||||||||
U.S. Treasury Bills
|
$
|
200
|
|
$
|
200
|
|
$
|
—
|
|
$
|
—
|
|
Agency CMOs
|
1,310,006
|
|
—
|
|
1,310,006
|
|
—
|
|
||||
Agency MBS
|
1,142,280
|
|
—
|
|
1,142,280
|
|
—
|
|
||||
CMBS
|
398,031
|
|
—
|
|
398,031
|
|
—
|
|
||||
CLOs
|
88,540
|
|
—
|
|
—
|
|
88,540
|
|
||||
Pooled trust preferred securities
|
26,207
|
|
—
|
|
—
|
|
26,207
|
|
||||
Single issuer trust preferred securities
|
44,415
|
|
—
|
|
44,415
|
|
—
|
|
||||
Corporate debt
|
118,199
|
|
—
|
|
118,199
|
|
—
|
|
||||
Equity securities
|
8,282
|
|
8,082
|
|
200
|
|
—
|
|
||||
Total available for sale securities
|
3,136,160
|
|
8,282
|
|
3,013,131
|
|
114,747
|
|
||||
Derivative instruments:
|
|
|
|
|
||||||||
Interest rate derivatives
|
50,969
|
|
—
|
|
50,969
|
|
—
|
|
||||
Mortgage banking derivatives
|
2,898
|
|
—
|
|
2,898
|
|
—
|
|
||||
Investments held in Rabbi Trust
|
5,741
|
|
5,741
|
|
—
|
|
—
|
|
||||
Alternative Investments
|
1,533
|
|
—
|
|
—
|
|
1,533
|
|
||||
Total financial assets held at fair value
|
$
|
3,197,301
|
|
$
|
14,023
|
|
$
|
3,066,998
|
|
$
|
116,280
|
|
Financial liabilities held at fair value:
|
|
|
|
|
||||||||
Derivative instruments:
|
|
|
|
|
||||||||
Interest rate derivatives
|
$
|
43,172
|
|
$
|
—
|
|
$
|
43,172
|
|
$
|
—
|
|
Fed Fund futures contracts
|
125
|
|
125
|
|
—
|
|
—
|
|
||||
Visa Swap
|
4
|
|
—
|
|
4
|
|
—
|
|
||||
Total financial liabilities held at fair value
|
$
|
43,301
|
|
$
|
125
|
|
$
|
43,176
|
|
$
|
—
|
|
|
Years ended December 31,
|
||||||
(In thousands)
|
2013
|
|
2012
|
||||
Level 3, beginning of period
|
$
|
116,280
|
|
|
$
|
32,814
|
|
Transfers out of Level 3
(1)
|
(248,844
|
)
|
|
(975
|
)
|
||
Change in unrealized loss included in other comprehensive income
|
17,401
|
|
|
3,572
|
|
||
Unrealized loss included in net income
|
(392
|
)
|
|
(1,243
|
)
|
||
Realized gain on sale of available for sale securities
|
269
|
|
|
—
|
|
||
Net other-than-temporary impairment charges
|
(4,666
|
)
|
|
—
|
|
||
Purchases/capital calls
|
160,412
|
|
|
88,891
|
|
||
Sales/proceeds
|
(7,740
|
)
|
|
—
|
|
||
Accretion/amortization
|
243
|
|
|
233
|
|
||
Calls/paydowns
|
(2,908
|
)
|
|
(7,012
|
)
|
||
Level 3, end of period
|
$
|
30,055
|
|
|
$
|
116,280
|
|
(1)
|
As of April 1, 2013, the CLO portfolio was transferred from Level 3 to Level 2 based on having more observable inputs in determining fair value. In prior quarters, the CLO portfolio was priced using average non-binding broker quotes. During the second quarter, the Company engaged a third-party pricing vendor to provide monthly fair value measurements. The methodology used is a combination of matrix pricing, observed market activity and metrics. Pricing inputs such as credit spreads are observable and market corroborated and, therefore, the CLO portfolio qualifies for Level 2 categorization. The market for these CLOs is active and there is ample price transparency.
|
|
At December 31, 2013
|
|||||
(Dollars in thousands)
|
Fair Value
|
Valuation
Technique
|
Unobservable
Input
|
Range
(Weighted Average)
|
||
Pooled trust preferred securities
|
$
|
28,490
|
|
Discounted cash flow
|
Discount rate
|
7.18 - 8.22%
(8.01%) |
|
|
|
Credit spread
|
325 - 429 bps (408 bps)
|
|
At December 31, 2013
|
|||||||||||
(In thousands)
|
Carrying
Balance
|
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)
|
Significant Other
Observable Inputs
(Level 2)
|
Significant
Unobservable Inputs
(Level 3)
|
||||||||
Assets
|
|
|
|
|
||||||||
Securities available for sale
|
$
|
3,106,931
|
|
$
|
3,634
|
|
$
|
3,074,807
|
|
$
|
28,490
|
|
Securities held-to-maturity
|
3,358,721
|
|
—
|
|
3,370,912
|
|
—
|
|
||||
Loans held for sale
|
20,802
|
|
—
|
|
20,802
|
|
—
|
|
||||
Loans and leases, net
|
12,547,203
|
|
—
|
|
—
|
|
12,515,714
|
|
||||
Mortgage servicing assets
(1)
|
20,983
|
|
—
|
|
—
|
|
29,150
|
|
||||
Alternative Investments (cost basis)
|
16,582
|
|
—
|
|
—
|
|
16,582
|
|
||||
Derivative instruments
|
42,303
|
|
—
|
|
42,303
|
|
—
|
|
||||
Investments held in Rabbi Trust
|
6,097
|
|
6,097
|
|
—
|
|
—
|
|
||||
Liabilities
|
|
|
|
|
||||||||
Deposits other than time deposits
|
12,627,276
|
|
—
|
|
12,627,276
|
|
—
|
|
||||
Time deposits
|
2,227,144
|
|
—
|
|
2,250,141
|
|
—
|
|
||||
Securities sold under agreements to repurchase and other borrowings
|
1,331,662
|
|
—
|
|
1,365,427
|
|
—
|
|
||||
Federal Home Loan Bank advances
(2)
|
2,052,421
|
|
—
|
|
2,063,612
|
|
—
|
|
||||
Long-term debt
(3)
|
228,365
|
|
—
|
|
221,613
|
|
—
|
|
||||
Derivative instruments
|
24,006
|
|
227
|
|
23,779
|
|
—
|
|
|
At December 31, 2012
|
|||||||||||
(In thousands)
|
Carrying
Balance
|
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)
|
Significant Other
Observable Inputs
(Level 2)
|
Significant
Unobservable Inputs
(Level 3)
|
||||||||
Assets
|
|
|
|
|
||||||||
Securities available for sale
|
$
|
3,136,160
|
|
$
|
8,282
|
|
$
|
3,013,131
|
|
$
|
114,747
|
|
Securities held-to-maturity
|
3,107,529
|
|
—
|
|
3,264,718
|
|
—
|
|
||||
Loans held for sale
|
107,633
|
|
—
|
|
—
|
|
107,633
|
|
||||
Loans and leases, net
|
11,851,567
|
|
—
|
|
—
|
|
12,005,555
|
|
||||
Mortgage servicing assets
(1)
|
14,027
|
|
—
|
|
—
|
|
15,881
|
|
||||
Alternative Investments (cost basis)
|
15,340
|
|
—
|
|
—
|
|
15,340
|
|
||||
Derivative instruments
|
53,867
|
|
—
|
|
53,867
|
|
—
|
|
||||
Investments held in a Rabbi Trust
|
5,741
|
|
5,741
|
|
—
|
|
—
|
|
||||
Liabilities
|
|
|
|
|
||||||||
Deposits other than time deposits
|
11,985,683
|
|
—
|
|
11,985,683
|
|
—
|
|
||||
Time deposits
|
2,545,152
|
|
—
|
|
2,584,921
|
|
—
|
|
||||
Securities sold under agreements to repurchase and other borrowings
|
1,076,160
|
|
—
|
|
1,134,614
|
|
—
|
|
||||
Federal Home Loan Bank advances
(2)
|
1,827,612
|
|
—
|
|
1,843,615
|
|
—
|
|
||||
Long-term debt
(3)
|
334,276
|
|
—
|
|
298,807
|
|
—
|
|
||||
Derivative instruments
|
43,301
|
|
125
|
|
43,176
|
|
—
|
|
(1)
|
The carrying amount of mortgage servicing assets is net of
$0.2 million
and
$1.8 million
reserves at
December 31, 2013
and
December 31, 2012
, respectively. The estimated fair value does not include such adjustments.
|
(2)
|
The carrying amount of FHLB advances is net of
$61 thousand
and
$85 thousand
in hedge accounting adjustments and discounts at
December 31, 2013
and
December 31, 2012
, respectively. The estimated fair value does not include such adjustments.
|
(3)
|
The carrying amount of long-term debt is net of
$1.0 million
and
$4.4 million
in hedge accounting adjustments and discounts at
December 31, 2013
and
December 31, 2012
, respectively. The estimated fair value does not include such adjustments.
|
|
Webster Pension
|
|
Webster SERP
|
|
Other Benefits
|
|||||||||||||||
(In thousands)
|
2013
|
2012
|
|
2013
|
2012
|
|
2013
|
2012
|
||||||||||||
Change in benefit obligation:
|
|
|
|
|
|
|
|
|
||||||||||||
Benefit obligation at beginning of year
|
$
|
187,145
|
|
$
|
169,176
|
|
|
$
|
8,660
|
|
$
|
8,093
|
|
|
$
|
4,229
|
|
$
|
5,126
|
|
Service cost
|
40
|
|
30
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||
Interest cost
|
7,365
|
|
7,307
|
|
|
289
|
|
316
|
|
|
109
|
|
177
|
|
||||||
Actuarial loss (gain)
|
(17,909
|
)
|
15,044
|
|
|
(160
|
)
|
353
|
|
|
(239
|
)
|
(698
|
)
|
||||||
Benefits paid and administrative expenses
|
(5,452
|
)
|
(4,412
|
)
|
|
(114
|
)
|
(102
|
)
|
|
(278
|
)
|
(376
|
)
|
||||||
Benefit obligation at end of year
|
171,189
|
|
187,145
|
|
|
8,675
|
|
8,660
|
|
|
3,821
|
|
4,229
|
|
||||||
Change in plan assets:
|
|
|
|
|
|
|
|
|
||||||||||||
Fair value of plan assets at beginning of year
|
151,191
|
|
136,905
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||
Actual return on plan assets
|
16,443
|
|
18,698
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||
Employer contributions
|
—
|
|
—
|
|
|
114
|
|
102
|
|
|
278
|
|
376
|
|
||||||
Benefits paid and administrative expenses
|
(5,452
|
)
|
(4,412
|
)
|
|
(114
|
)
|
(102
|
)
|
|
(278
|
)
|
(376
|
)
|
||||||
Fair value of plan assets at end of year
|
162,182
|
|
151,191
|
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
||||||
Underfunded at end of year
|
$
|
(9,007
|
)
|
$
|
(35,954
|
)
|
|
$
|
(8,675
|
)
|
$
|
(8,660
|
)
|
|
$
|
(3,821
|
)
|
$
|
(4,229
|
)
|
|
2013
|
|
2012
|
||||||||||||||||
(In thousands)
|
Webster
Pension
|
Webster
SERP
|
Other
Benefits
|
|
Webster
Pension
|
Webster
SERP
|
Other
Benefits
|
||||||||||||
Prepaid expenses and other assets
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
Accrued expenses and other liabilities
|
(9,007
|
)
|
(8,675
|
)
|
(3,821
|
)
|
|
(35,954
|
)
|
(8,660
|
)
|
(4,229
|
)
|
||||||
Underfunded
|
$
|
(9,007
|
)
|
$
|
(8,675
|
)
|
$
|
(3,821
|
)
|
|
$
|
(35,954
|
)
|
$
|
(8,660
|
)
|
$
|
(4,229
|
)
|
|
2013
|
|
2012
|
||||||||||||||||
(In thousands)
|
Webster
Pension |
Webster
SERP |
Other
Benefits |
|
Webster
Pension |
Webster
SERP |
Other
Benefits |
||||||||||||
Net actuarial loss
|
$
|
41,267
|
|
$
|
1,419
|
|
$
|
351
|
|
|
$
|
70,860
|
|
$
|
1,705
|
|
$
|
591
|
|
Prior service cost
|
—
|
|
—
|
|
159
|
|
|
—
|
|
—
|
|
232
|
|
||||||
Total pre-tax amounts included in accumulated other comprehensive loss
|
$
|
41,267
|
|
$
|
1,419
|
|
$
|
510
|
|
|
$
|
70,860
|
|
$
|
1,705
|
|
$
|
823
|
|
Deferred tax benefit
|
14,779
|
|
508
|
|
183
|
|
|
25,377
|
|
611
|
|
295
|
|
||||||
Amounts included in accumulated other comprehensive loss, net of tax
|
$
|
26,488
|
|
$
|
911
|
|
$
|
327
|
|
|
$
|
45,483
|
|
$
|
1,094
|
|
$
|
528
|
|
(In thousands)
|
Webster Pension
|
Webster
SERP
|
Other
Benefits
|
||||||
2014
|
$
|
6,944
|
|
$
|
2,748
|
|
$
|
387
|
|
2015
|
7,111
|
|
1,459
|
|
385
|
|
|||
2016
|
6,957
|
|
417
|
|
378
|
|
|||
2017
|
7,833
|
|
380
|
|
366
|
|
|||
2018
|
8,104
|
|
381
|
|
350
|
|
|||
2019-2023
|
46,428
|
|
1,162
|
|
1,466
|
|
|
Webster Pension
|
|
Webster SERP
|
|
Other Benefits
|
||||||||||||||||||||||||
(In thousands)
|
2013
|
2012
|
2011
|
|
2013
|
2012
|
2011
|
|
2013
|
2012
|
2011
|
||||||||||||||||||
Net Periodic Benefit Cost Recognized in Net Income:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Service cost (benefits earned during the period)
|
$
|
40
|
|
$
|
30
|
|
$
|
175
|
|
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
—
|
|
$
|
—
|
|
$
|
—
|
|
Interest cost on benefit obligations
|
7,365
|
|
7,307
|
|
7,463
|
|
|
289
|
|
316
|
|
350
|
|
|
109
|
|
177
|
|
215
|
|
|||||||||
Expected return on plan assets
|
(11,114
|
)
|
(10,069
|
)
|
(10,550
|
)
|
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
|||||||||
Amortization of prior service cost
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
|
73
|
|
73
|
|
73
|
|
|||||||||
Net amortization
|
6,355
|
|
6,103
|
|
2,674
|
|
|
125
|
|
71
|
|
—
|
|
|
—
|
|
107
|
|
65
|
|
|||||||||
Net periodic benefit cost (income) recognized in net income
|
$
|
2,646
|
|
$
|
3,371
|
|
$
|
(238
|
)
|
|
$
|
414
|
|
$
|
387
|
|
$
|
350
|
|
|
$
|
182
|
|
$
|
357
|
|
$
|
353
|
|
|
Webster Pension
|
|
Webster SERP
|
|
Other Benefits
|
||||||||||||||||||||||||
(In thousands)
|
2013
|
2012
|
2011
|
|
2013
|
2012
|
2011
|
|
2013
|
2012
|
2011
|
||||||||||||||||||
Changes in Funded Status Recognized in Other Comprehensive Income:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Net loss (gain)
|
$
|
(23,238
|
)
|
$
|
6,416
|
|
$
|
36,272
|
|
|
$
|
(160
|
)
|
$
|
353
|
|
$
|
760
|
|
|
$
|
(239
|
)
|
$
|
(698
|
)
|
$
|
452
|
|
Amounts reclassified from accumulated other comprehensive income
|
(6,355
|
)
|
(6,103
|
)
|
(2,674
|
)
|
|
(125
|
)
|
(71
|
)
|
—
|
|
|
—
|
|
(107
|
)
|
(65
|
)
|
|||||||||
Amortization of prior service cost
|
—
|
|
—
|
|
—
|
|
|
—
|
|
—
|
|
—
|
|
|
(73
|
)
|
(73
|
)
|
(73
|
)
|
|||||||||
Total loss (gain) recognized in other comprehensive income (loss)
|
$
|
(29,593
|
)
|
$
|
313
|
|
$
|
33,598
|
|
|
$
|
(285
|
)
|
$
|
282
|
|
$
|
760
|
|
|
$
|
(312
|
)
|
$
|
(878
|
)
|
$
|
314
|
|
|
December 31, 2013
|
|
December 31, 2012
|
||||||||||||||||||||||
(In thousands)
|
Total
|
Quoted Prices
In Active
Markets for
Identical Assets
(Level 1)
|
Significant
Other
Observable
Inputs
(Level 2)
|
Significant
Unobservable
Inputs
(Level 3)
|
|
Total
|
Quoted Prices
In Active
Markets for
Identical Assets
(Level 1)
|
Significant
Other
Observable
Inputs
(Level 2)
|
Significant
Unobservable
Inputs
(Level 3)
|
||||||||||||||||
Fair value of financial assets of the Plan:
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Registered investment companies:
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Exchange traded funds
|
$
|
29,831
|
|
$
|
29,831
|
|
$
|
—
|
|
$
|
—
|
|
|
$
|
31,745
|
|
$
|
31,745
|
|
$
|
—
|
|
$
|
—
|
|
Cash and cash equivalents
|
269
|
|
269
|
|
—
|
|
—
|
|
|
14
|
|
14
|
|
—
|
|
—
|
|
||||||||
Common collective funds
|
130,886
|
|
—
|
|
130,886
|
|
—
|
|
|
118,096
|
|
—
|
|
118,096
|
|
—
|
|
||||||||
Insurance company investment contract
|
1,196
|
|
—
|
|
—
|
|
1,196
|
|
|
1,336
|
|
—
|
|
—
|
|
1,336
|
|
||||||||
Total
|
$
|
162,182
|
|
$
|
30,100
|
|
$
|
130,886
|
|
$
|
1,196
|
|
|
$
|
151,191
|
|
$
|
31,759
|
|
$
|
118,096
|
|
$
|
1,336
|
|
(In thousands)
|
2013
|
|
2012
|
||||
Level 3—pension assets, beginning of period
|
$
|
1,336
|
|
|
$
|
1,401
|
|
Transfers into Level 3
|
—
|
|
|
—
|
|
||
Unrealized gains relating to instruments still held at the reporting date
|
(39
|
)
|
|
21
|
|
||
Benefit payments, administrative expenses and interest income, net
|
(101
|
)
|
|
(86
|
)
|
||
Balance, end of year
|
$
|
1,196
|
|
|
$
|
1,336
|
|
|
2013
|
|
2012
|
||
Assets Category:
|
|
|
|
||
Fixed income investments
|
50
|
%
|
|
40
|
%
|
Equity investments
|
50
|
|
|
60
|
|
Total
|
100
|
%
|
|
100
|
%
|
|
Target
|
|
Assets Category:
|
|
|
Fixed income investments
|
50
|
%
|
Equity investments
|
50
|
|
Total
|
100
|
%
|
|
Portfolio
|
Return
|
||
Asset Category:
|
|
|
||
Fixed income investments
|
50
|
%
|
5.4
|
%
|
U.S. equity investments
|
35
|
|
8.9
|
|
International equity investments
|
15
|
|
9.3
|
|
|
Webster Pension
|
|
Webster SERP
|
|
Other Benefits
|
|||||||||
|
2013
|
2012
|
|
2013
|
2012
|
|
2013
|
2012
|
||||||
Discount rate
|
4.80
|
%
|
3.90
|
%
|
|
4.25
|
%
|
3.40
|
%
|
|
3.75
|
%
|
2.85
|
%
|
Rate of compensation increase
|
n/a
|
|
n/a
|
|
|
n/a
|
|
n/a
|
|
|
n/a
|
|
n/a
|
|
|
Webster Pension
|
|
Webster SERP
|
|
Other Benefits
|
|||||||||||||||
|
2013
|
2012
|
2011
|
|
2013
|
2012
|
2011
|
|
2013
|
2012
|
2011
|
|||||||||
Discount rate
|
3.90
|
%
|
4.35
|
%
|
5.50
|
%
|
|
3.40
|
%
|
4.00
|
%
|
5.10
|
%
|
|
2.85
|
%
|
3.60
|
%
|
4.55
|
%
|
Expected long-term return on assets
|
7.25
|
%
|
7.50
|
%
|
7.75
|
%
|
|
n/a
|
|
n/a
|
|
n/a
|
|
|
n/a
|
|
n/a
|
|
n/a
|
|
Rate of compensation increase
|
n/a
|
|
n/a
|
|
n/a
|
|
|
n/a
|
|
n/a
|
|
n/a
|
|
|
n/a
|
|
n/a
|
|
n/a
|
|
Assumed healthcare cost trend
|
n/a
|
|
n/a
|
|
n/a
|
|
|
n/a
|
|
n/a
|
|
n/a
|
|
|
8.0
|
%
|
8.0
|
%
|
8.0
|
%
|
|
Contributions by Webster Bank
Period Ending December 31,
|
|
Funded Status of Plan
|
|
Surcharge
Imposed
|
|||||||||
(In thousands)
EIN/Pension Plan Number
|
2013
|
2012
|
2011
|
|
2013
|
2012
|
|
|
||||||
13-5645888/333
|
$
|
870
|
|
$
|
1,230
|
|
$
|
1,429
|
|
|
At least 80 percent
|
At least 80 percent
|
|
No
|
|
Years ended December 31,
|
||||||||||
(In thousands)
|
2013
|
|
2012
|
|
2011
|
||||||
Stock option expense
|
$
|
3,902
|
|
|
$
|
2,405
|
|
|
$
|
809
|
|
Restricted stock expense
|
6,762
|
|
|
6,550
|
|
|
5,231
|
|
|||
Stock-based compensation
|
$
|
10,664
|
|
|
$
|
8,955
|
|
|
$
|
6,040
|
|
|
|
|
|
|
|
||||||
Income tax benefit
|
$
|
5,344
|
|
|
$
|
2,841
|
|
|
$
|
2,127
|
|
|
2013
|
|
2012
|
|
2011
|
|||
Weighted-average assumptions:
|
|
|
|
|
|
|||
Expected term
|
6.9 years
|
|
|
6.6 years
|
|
|
6.5 years
|
|
Expected dividend yield
|
1.80
|
%
|
|
1.00
|
%
|
|
1.00
|
%
|
Expected forfeiture rate
|
10.00
|
%
|
|
9.00
|
%
|
|
9.00
|
%
|
Expected volatility
|
58.97
|
%
|
|
61.03
|
%
|
|
57.41
|
%
|
Risk-free interest rate
|
1.36
|
%
|
|
1.30
|
%
|
|
2.68
|
%
|
Fair value of option at grant date
|
$10.96
|
|
$11.71
|
|
$12.74
|
|
Number of
Shares
|
Weighted-Average
Exercise Price
|
|||
Outstanding, at beginning of year
|
2,476,645
|
|
$
|
28.99
|
|
Granted
|
436,043
|
|
23.00
|
|
|
Exercised
|
(165,036
|
)
|
16.81
|
|
|
Forfeited/expired
|
(421,855
|
)
|
38.72
|
|
|
Outstanding, at end of year
|
2,325,797
|
|
$
|
26.97
|
|
|
|
|
|||
Exercisable, at end of year
|
1,751,602
|
|
$
|
28.19
|
|
Expected to vest, at end of year
|
538,731
|
|
$
|
23.24
|
|
|
Options Outstanding
|
|
Options Exercisable
|
||||||||||
Range of Exercise Prices
|
Number of
Shares
|
Weighted-
Average
Remaining
Contractual
Life (years)
|
Weighted-
Average
Exercise
Price
|
|
Number of
Shares
|
Weighted-
Average
Remaining
Contractual
Life (years)
|
Weighted-
Average
Exercise
Price
|
||||||
$5.01 — 20.00
|
660,602
|
|
5.2
|
$
|
10.63
|
|
|
658,546
|
|
5.2
|
$
|
10.62
|
|
20.01 — 30.00
|
815,271
|
|
8.0
|
23.45
|
|
|
243,132
|
|
6.0
|
23.84
|
|
||
30.01 — 40.00
|
259,572
|
|
3.6
|
32.23
|
|
|
259,572
|
|
3.6
|
32.23
|
|
||
40.01 — 50.00
|
590,352
|
|
1.8
|
47.81
|
|
|
590,352
|
|
1.8
|
47.81
|
|
||
|
2,325,797
|
|
5.1
|
$
|
26.97
|
|
|
1,751,602
|
|
3.9
|
$
|
28.19
|
|
|
Number of
Shares
|
Weighted-average
Grant Date
Fair Value
|
|
Number of
Units
|
Weighted-average
Grant Date
Fair Value
|
||||||
Outstanding, at beginning of year
|
249,294
|
|
$
|
22.12
|
|
|
33,742
|
|
$
|
22.12
|
|
Granted
|
246,133
|
|
23.26
|
|
|
—
|
|
—
|
|
||
Vested
(1)
|
(205,601
|
)
|
22.36
|
|
|
(22,259
|
)
|
22.75
|
|
||
Forfeited
|
(22,707
|
)
|
22.40
|
|
|
(9,778
|
)
|
21.67
|
|
||
Outstanding, at end of year
|
267,119
|
|
$
|
22.96
|
|
|
1,705
|
|
$
|
22.75
|
|
|
Number of
Shares
|
Weighted-average
Grant Date
Fair Value
|
|||
Outstanding, at beginning of year
|
94,408
|
|
$
|
25.44
|
|
Granted
|
163,519
|
|
24.04
|
|
|
Vested
(1)
|
(84,652
|
)
|
24.74
|
|
|
Forfeited
|
(34,825
|
)
|
24.55
|
|
|
Outstanding, at end of year
|
138,450
|
|
$
|
24.43
|
|
|
Year ended December 31, 2013
|
|||||||||||||||||
(In thousands)
|
Commercial
Banking
|
Community Banking
|
Other
|
Segment Totals
|
Corporate and
Reconciling
|
Consolidated
Total
|
||||||||||||
Net interest income (loss)
|
$
|
217,582
|
|
$
|
347,395
|
|
$
|
40,992
|
|
$
|
605,969
|
|
$
|
(9,241
|
)
|
$
|
596,728
|
|
Provision (benefit) for loan and lease losses
|
18,581
|
|
19,973
|
|
93
|
|
38,647
|
|
(5,147
|
)
|
33,500
|
|
||||||
Net interest income (loss) after provision for loan and lease losses
|
199,001
|
|
327,422
|
|
40,899
|
|
567,322
|
|
(4,094
|
)
|
563,228
|
|
||||||
Non-interest income
|
30,797
|
|
116,182
|
|
32,926
|
|
179,905
|
|
11,145
|
|
191,050
|
|
||||||
Non-interest expense
|
99,801
|
|
337,795
|
|
49,745
|
|
487,341
|
|
10,718
|
|
498,059
|
|
||||||
Income (loss) before income tax expense
|
129,997
|
|
105,809
|
|
24,080
|
|
259,886
|
|
(3,667
|
)
|
256,219
|
|
||||||
Income tax expense (benefit)
|
38,900
|
|
31,662
|
|
7,205
|
|
77,767
|
|
(1,097
|
)
|
76,670
|
|
||||||
Net income (loss) attributable to Webster Financial Corporation
|
$
|
91,097
|
|
$
|
74,147
|
|
$
|
16,875
|
|
$
|
182,119
|
|
$
|
(2,570
|
)
|
$
|
179,549
|
|
|
Year ended December 31, 2012
|
|||||||||||||||||
(In thousands)
|
Commercial
Banking
|
Community Banking
|
Other
|
Segment Totals
|
Corporate and
Reconciling
|
Consolidated
Total
|
||||||||||||
Net interest income
|
$
|
188,666
|
|
$
|
342,268
|
|
$
|
33,308
|
|
$
|
564,242
|
|
$
|
14,666
|
|
$
|
578,908
|
|
Provision (benefit) for loan and lease losses
|
(7,498
|
)
|
26,167
|
|
(680
|
)
|
17,989
|
|
3,511
|
|
21,500
|
|
||||||
Net interest income after provision for loan and lease losses
|
196,164
|
|
316,101
|
|
33,988
|
|
546,253
|
|
11,155
|
|
557,408
|
|
||||||
Non-interest income
|
29,324
|
|
116,978
|
|
28,680
|
|
174,982
|
|
17,776
|
|
192,758
|
|
||||||
Non-interest expense
|
98,718
|
|
340,907
|
|
44,649
|
|
484,274
|
|
17,530
|
|
501,804
|
|
||||||
Income before income tax expense
|
126,770
|
|
92,172
|
|
18,019
|
|
236,961
|
|
11,401
|
|
248,362
|
|
||||||
Income tax expense
|
38,111
|
|
27,710
|
|
5,417
|
|
71,238
|
|
3,427
|
|
74,665
|
|
||||||
Net income attributable to Webster Financial Corporation
|
$
|
88,659
|
|
$
|
64,462
|
|
$
|
12,602
|
|
$
|
165,723
|
|
$
|
7,974
|
|
$
|
173,697
|
|
|
Year ended December 31, 2011
|
|||||||||||||||||
(In thousands)
|
Commercial
Banking
|
Community Banking
|
Other
|
Segment Totals
|
Corporate and
Reconciling
|
Consolidated
Total
|
||||||||||||
Net interest income
|
$
|
168,560
|
|
$
|
340,519
|
|
$
|
25,437
|
|
$
|
534,516
|
|
$
|
29,252
|
|
$
|
563,768
|
|
Provision (benefit) for loan and lease losses
|
(21,213
|
)
|
45,293
|
|
398
|
|
24,478
|
|
(1,978
|
)
|
22,500
|
|
||||||
Net interest income after provision for loan and lease losses
|
189,773
|
|
295,226
|
|
25,039
|
|
510,038
|
|
31,230
|
|
541,268
|
|
||||||
Non-interest income
|
25,869
|
|
108,212
|
|
24,199
|
|
158,280
|
|
18,762
|
|
177,042
|
|
||||||
Non-interest expense
|
105,356
|
|
356,443
|
|
40,387
|
|
502,186
|
|
8,790
|
|
510,976
|
|
||||||
Income from continuing operations before income taxes
|
110,286
|
|
46,995
|
|
8,851
|
|
166,132
|
|
41,202
|
|
207,334
|
|
||||||
Income tax expense
|
30,826
|
|
13,135
|
|
2,474
|
|
46,435
|
|
11,516
|
|
57,951
|
|
||||||
Income from continuing operations
|
79,460
|
|
33,860
|
|
6,377
|
|
119,697
|
|
29,686
|
|
149,383
|
|
||||||
Income from discontinued operations
|
—
|
|
—
|
|
—
|
|
—
|
|
1,995
|
|
1,995
|
|
||||||
Income before noncontrolling interests
|
79,460
|
|
33,860
|
|
6,377
|
|
119,697
|
|
31,681
|
|
151,378
|
|
||||||
Less: Net loss attributable to noncontrolling interests
|
—
|
|
(1
|
)
|
—
|
|
(1
|
)
|
—
|
|
(1
|
)
|
||||||
Net income attributable to Webster Financial Corporation
|
$
|
79,460
|
|
$
|
33,861
|
|
$
|
6,377
|
|
$
|
119,698
|
|
$
|
31,681
|
|
$
|
151,379
|
|
|
Total Assets
|
|||||||||||||||||
(In thousands)
|
Commercial
Banking |
Community
Banking |
Other
|
Segment Totals
|
Corporate and
Reconciling |
Consolidated
Total |
||||||||||||
At December 31, 2013
|
$
|
5,682,129
|
|
$
|
7,809,343
|
|
$
|
365,863
|
|
$
|
13,857,335
|
|
$
|
6,995,664
|
|
$
|
20,852,999
|
|
At December 31, 2012
|
$
|
5,113,898
|
|
$
|
7,708,159
|
|
$
|
282,414
|
|
$
|
13,104,471
|
|
$
|
7,042,294
|
|
$
|
20,146,765
|
|
At December 31, 2011
|
$
|
4,359,403
|
|
$
|
7,415,480
|
|
$
|
245,554
|
|
$
|
12,020,437
|
|
$
|
6,693,903
|
|
$
|
18,714,340
|
|
(In thousands)
|
Rental Payments
|
Rental Receipts
|
||||
For years ending December 31,
|
|
|
||||
2014
|
$
|
19,206
|
|
$
|
735
|
|
2015
|
18,836
|
|
628
|
|
||
2016
|
17,592
|
|
524
|
|
||
2017
|
15,301
|
|
274
|
|
||
2018
|
12,862
|
|
129
|
|
||
Thereafter
|
69,299
|
|
151
|
|
||
Total
|
$
|
153,096
|
|
$
|
2,441
|
|
|
At December 31,
|
||||||
(In thousands)
|
2013
|
|
2012
|
||||
Unused commitments to extend credit
|
$
|
4,183,455
|
|
|
$
|
3,801,013
|
|
Standby letters of credit
|
135,761
|
|
|
139,789
|
|
||
Commercial letters of credit
|
13,621
|
|
|
6,535
|
|
||
Total financial instruments with off-balance sheet risk
|
$
|
4,332,837
|
|
|
$
|
3,947,337
|
|
Condensed Balance Sheets
|
|
|
||||
|
December 31,
|
|||||
(In thousands)
|
2013
|
2012
|
||||
Assets:
|
|
|
||||
Cash and due from banks
|
$
|
12,452
|
|
$
|
10,091
|
|
Interest-bearing deposits
|
261,121
|
|
220,110
|
|
||
Securities available for sale, at fair value
|
3,584
|
|
16,734
|
|
||
Investment in subsidiaries
|
2,142,222
|
|
2,057,350
|
|
||
Due from (to) subsidiaries
|
37
|
|
(22
|
)
|
||
Alternative investments
|
11,016
|
|
11,623
|
|
||
Other assets
|
11,859
|
|
11,971
|
|
||
Total assets
|
$
|
2,442,291
|
|
$
|
2,327,857
|
|
Liabilities and shareholders’ equity:
|
|
|
||||
Senior notes
|
$
|
151,045
|
|
$
|
154,170
|
|
Junior subordinated debt
|
77,320
|
|
77,320
|
|
||
Accrued interest payable
|
1,732
|
|
1,728
|
|
||
Other liabilities
|
3,006
|
|
1,109
|
|
||
Total liabilities
|
233,103
|
|
234,327
|
|
||
Shareholders’ equity
|
2,209,188
|
|
2,093,530
|
|
||
Total liabilities and shareholders’ equity
|
$
|
2,442,291
|
|
$
|
2,327,857
|
|
Condensed Statements of Income
|
|
|
|
||||||
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Operating Income:
|
|
|
|
||||||
Dividend income from bank subsidiary
|
$
|
90,000
|
|
$
|
140,000
|
|
$
|
170,000
|
|
Interest on securities and interest-bearing deposits
|
1,025
|
|
634
|
|
562
|
|
|||
Interest on loan
|
—
|
|
—
|
|
810
|
|
|||
Provision for loan losses
|
—
|
|
—
|
|
136
|
|
|||
Net loss on trading securities
|
—
|
|
—
|
|
(1,799
|
)
|
|||
Net gain on sale of investment securities
|
1,273
|
|
409
|
|
374
|
|
|||
Alternative investments (loss) income
|
(392
|
)
|
(720
|
)
|
1,605
|
|
|||
Other non-interest income
|
152
|
|
157
|
|
149
|
|
|||
Total operating income
|
92,058
|
|
140,480
|
|
171,837
|
|
|||
Operating Expense:
|
|
|
|
||||||
Interest expense on borrowings
|
7,273
|
|
13,186
|
|
18,651
|
|
|||
Loss on swap termination
|
—
|
|
—
|
|
16,223
|
|
|||
Compensation and benefits
|
10,787
|
|
10,245
|
|
9,121
|
|
|||
Other non-interest expense
|
5,966
|
|
5,746
|
|
5,766
|
|
|||
Total operating expense
|
24,026
|
|
29,177
|
|
49,761
|
|
|||
Income before income tax benefit and equity in undistributed earnings of subsidiaries and associated companies
|
68,032
|
|
111,303
|
|
122,076
|
|
|||
Income tax benefit
|
9,742
|
|
10,107
|
|
18,481
|
|
|||
Equity in undistributed earnings of subsidiaries and associated companies
|
101,775
|
|
52,287
|
|
8,827
|
|
|||
Income from continuing operations
|
179,549
|
|
173,697
|
|
149,384
|
|
|||
Income from discontinued operations, net of tax
|
—
|
|
—
|
|
1,995
|
|
|||
Net income
|
$
|
179,549
|
|
$
|
173,697
|
|
$
|
151,379
|
|
Condensed Statements of Comprehensive Income
|
|
|
|
||||||
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Net income
|
$
|
179,549
|
|
$
|
173,697
|
|
$
|
151,379
|
|
Other comprehensive income, net of taxes:
|
|
|
|
||||||
Net unrealized (gains) losses on available for sale securities
|
(616
|
)
|
(525
|
)
|
607
|
|
|||
Net unrealized losses (gains) on derivative instruments
|
1,152
|
|
(632
|
)
|
10,324
|
|
|||
Other comprehensive (loss) income of subsidiaries and associated companies
|
(16,819
|
)
|
29,095
|
|
(57,426
|
)
|
|||
Other comprehensive (loss) income
|
(16,283
|
)
|
27,938
|
|
(46,495
|
)
|
|||
Comprehensive income
|
$
|
163,266
|
|
$
|
201,635
|
|
$
|
104,884
|
|
Condensed Statements of Cash Flows
|
|
|
|
||||||
|
Years ended December 31,
|
||||||||
(In thousands)
|
2013
|
2012
|
2011
|
||||||
Operating activities:
|
|
|
|
||||||
Net income
|
$
|
179,549
|
|
$
|
173,697
|
|
$
|
151,379
|
|
Income from discontinued operations, net of tax
|
—
|
|
—
|
|
1,995
|
|
|||
Income from continuing operations
|
179,549
|
|
173,697
|
|
149,384
|
|
|||
Adjustments to reconcile income from continuing operations to net cash provided by operating activities:
|
|
|
|
||||||
Equity in undistributed earnings of subsidiaries and associated companies
|
(101,775
|
)
|
(52,287
|
)
|
(8,827
|
)
|
|||
Stock-based compensation
|
10,664
|
|
8,955
|
|
6,040
|
|
|||
Excess tax benefits from stock-based compensation
|
(389
|
)
|
(812
|
)
|
(392
|
)
|
|||
Other, net
|
(1,545
|
)
|
(6,610
|
)
|
21,285
|
|
|||
Net cash provided by operating activities
|
86,504
|
|
122,943
|
|
167,490
|
|
|||
Investing activities:
|
|
|
|
||||||
Increase in interest-bearing deposits
|
(41,011
|
)
|
(24,081
|
)
|
(120,133
|
)
|
|||
Purchases of available for sale securities
|
(75
|
)
|
(8,272
|
)
|
(3,714
|
)
|
|||
Proceeds from maturities and principal payments of available for sale securities
|
—
|
|
775
|
|
575
|
|
|||
Proceeds from sale of available for sale securities
|
13,544
|
|
1,073
|
|
2,353
|
|
|||
Net decrease in loan
|
—
|
|
—
|
|
13,000
|
|
|||
Net cash used for investing activities
|
(27,542
|
)
|
(30,505
|
)
|
(107,919
|
)
|
|||
Financing activities:
|
|
|
|
||||||
Repayment of long-term debt
|
—
|
|
(136,070
|
)
|
(22,689
|
)
|
|||
Preferred stock issued
|
—
|
|
122,710
|
|
—
|
|
|||
Cash dividends paid to common shareholders
|
(48,952
|
)
|
(30,667
|
)
|
(13,978
|
)
|
|||
Cash dividends paid to preferred shareholders
|
(10,803
|
)
|
(2,460
|
)
|
(2,460
|
)
|
|||
Exercise of stock options
|
2,736
|
|
996
|
|
213
|
|
|||
Excess tax benefits from stock-based compensation
|
389
|
|
812
|
|
392
|
|
|||
Common stock issued
|
731
|
|
560
|
|
689
|
|
|||
Common stock repurchased
|
(672
|
)
|
(53,243
|
)
|
(1,670
|
)
|
|||
Common stock warrants repurchased
|
(30
|
)
|
(388
|
)
|
(16,285
|
)
|
|||
Net cash used for financing activities
|
(56,601
|
)
|
(97,750
|
)
|
(55,788
|
)
|
|||
Discontinued Operations:
|
|
|
|
||||||
Operating activities
|
—
|
|
—
|
|
1,995
|
|
|||
Net cash provided by discontinued operations
|
—
|
|
—
|
|
1,995
|
|
|||
Increase (decrease) in cash and due from banks
|
2,361
|
|
(5,312
|
)
|
5,778
|
|
|||
Cash and due from banks at beginning of year
|
10,091
|
|
15,403
|
|
9,625
|
|
|||
Cash and due from banks at end of year
|
$
|
12,452
|
|
$
|
10,091
|
|
$
|
15,403
|
|
|
2013
|
||||||||||||||
(In thousands, except per share data)
|
First Quarter
|
|
Second Quarter
|
|
Third Quarter
|
|
Fourth Quarter
|
||||||||
Interest income
|
$
|
170,083
|
|
|
$
|
170,093
|
|
|
$
|
171,753
|
|
|
$
|
175,711
|
|
Interest expense
|
24,287
|
|
|
23,032
|
|
|
21,766
|
|
|
21,827
|
|
||||
Net interest income
|
145,796
|
|
|
147,061
|
|
|
149,987
|
|
|
153,884
|
|
||||
Provision for loan and lease losses
|
7,500
|
|
|
8,500
|
|
|
8,500
|
|
|
9,000
|
|
||||
Net gain on sale of investment securities
|
106
|
|
|
333
|
|
|
269
|
|
|
4
|
|
||||
Other non-interest income
|
48,172
|
|
|
51,918
|
|
|
45,988
|
|
|
44,260
|
|
||||
Non-interest expense
|
125,535
|
|
|
123,604
|
|
|
122,281
|
|
|
126,639
|
|
||||
Income before income tax expense
|
61,039
|
|
|
67,208
|
|
|
65,463
|
|
|
62,509
|
|
||||
Income tax expense
|
18,922
|
|
|
20,835
|
|
|
18,158
|
|
|
18,755
|
|
||||
Net income
|
42,117
|
|
|
46,373
|
|
|
47,305
|
|
|
43,754
|
|
||||
Preferred stock dividends
|
(2,886
|
)
|
|
(2,639
|
)
|
|
(2,639
|
)
|
|
(2,639
|
)
|
||||
Net income available to common shareholders
|
$
|
39,231
|
|
|
$
|
43,734
|
|
|
$
|
44,666
|
|
|
$
|
41,115
|
|
Net income per common share:
|
|
|
|
|
|
|
|
||||||||
Basic - Net income available to common shareholders
|
$
|
0.46
|
|
|
$
|
0.49
|
|
|
$
|
0.50
|
|
|
$
|
0.46
|
|
Diluted - Net income available to common shareholders
|
0.44
|
|
|
0.48
|
|
|
0.49
|
|
|
0.45
|
|
|
2012
|
||||||||||||||
(In thousands, except per share data)
|
First Quarter
|
|
Second Quarter
|
|
Third Quarter
|
|
Fourth Quarter
|
||||||||
Interest income
|
$
|
174,107
|
|
|
$
|
174,633
|
|
|
$
|
172,216
|
|
|
$
|
172,546
|
|
Interest expense
|
30,739
|
|
|
30,255
|
|
|
27,326
|
|
|
26,274
|
|
||||
Net interest income
|
143,368
|
|
|
144,378
|
|
|
144,890
|
|
|
146,272
|
|
||||
Provision for loan and lease losses
|
4,000
|
|
|
5,000
|
|
|
5,000
|
|
|
7,500
|
|
||||
Net gain on sale of investment securities
|
—
|
|
|
2,537
|
|
|
810
|
|
|
—
|
|
||||
Other non-interest income
|
43,986
|
|
|
44,816
|
|
|
47,669
|
|
|
52,940
|
|
||||
Non-interest expense
|
127,813
|
|
|
127,179
|
|
|
123,887
|
|
|
122,925
|
|
||||
Income before income tax expense
|
55,541
|
|
|
59,552
|
|
|
64,482
|
|
|
68,787
|
|
||||
Income tax expense
|
16,603
|
|
|
18,312
|
|
|
19,489
|
|
|
20,261
|
|
||||
Net income
|
38,938
|
|
|
41,240
|
|
|
44,993
|
|
|
48,526
|
|
||||
Preferred stock dividends
|
(615
|
)
|
|
(615
|
)
|
|
(615
|
)
|
|
(615
|
)
|
||||
Net income available to common shareholders
|
$
|
38,323
|
|
|
$
|
40,625
|
|
|
$
|
44,378
|
|
|
$
|
47,911
|
|
Net income per common share:
|
|
|
|
|
|
|
|
||||||||
Basic - Net income available to common shareholders
|
$
|
0.44
|
|
|
$
|
0.46
|
|
|
$
|
0.51
|
|
|
$
|
0.55
|
|
Diluted - Net income available to common shareholders
|
0.42
|
|
|
0.44
|
|
|
0.48
|
|
|
0.52
|
|
|
|
|
|
|
/s/ James C. Smith
|
|
|
|
/s/ Glenn I. MacInnes
|
James C. Smith
|
|
|
|
Glenn I. MacInnes
|
Chairman and Chief Executive Officer
|
|
|
|
Executive Vice President and
|
|
|
|
|
Chief Financial Officer
|
Name
|
Age at
December 31, 2013
|
Positions Held
|
James C. Smith
|
64
|
Chairman, Chief Executive Officer and Director
|
Joseph J. Savage
|
61
|
President and Director of Webster Bank
|
Glenn I. MacInnes
|
52
|
Executive Vice President and Chief Financial Officer
|
Daniel H. Bley
|
45
|
Executive Vice President and Chief Risk Officer
|
John R. Ciulla
|
48
|
Executive Vice President, Commercial Banking
|
Colin D. Eccles
|
55
|
Executive Vice President & Chief Information Officer
|
Daniel M. FitzPatrick
|
55
|
Executive Vice President, Private Banking
|
Nitin J. Mhatre
|
43
|
Executive Vice President, Community Banking
|
Charles L. Wilkins
|
52
|
Executive Vice President, HSA Bank
|
Harriet Munrett Wolfe
|
60
|
Executive Vice President, General Counsel and Secretary
|
Gregory S. Madar
|
51
|
Senior Vice President and Chief Accounting Officer
|
Plan Category
|
Number of
Shares
to be Issued
Upon
Exercise of
Outstanding
Awards
|
Weighted-
Average
Exercise
Price of
Outstanding
Awards
|
|
Number of
Shares
Available
for
Future
Grants
|
||||
Plans approved by shareholders
|
2,325,797
|
|
$
|
26.97
|
|
|
2,289,174
|
|
Plans not approved by shareholders
|
—
|
|
—
|
|
|
—
|
|
|
Total
|
2,325,797
|
|
$
|
26.97
|
|
|
2,289,174
|
|
(a)(1)
|
The Consolidated Financial Statements of Registrant and its subsidiaries are included within Item 8 of Part II of this report.
|
(a)(2)
|
Financial Statement schedules for which provision is made in the applicable accounting regulations of the Securities and Exchange Commission have been omitted because they are not applicable or the required information is included in the Consolidated Financial Statements or Notes thereto included within Item 8.
|
(a)(3)
|
A list of the exhibits to this Form 10-K is set forth on the Exhibit Index immediately preceding such exhibits and is incorporated herein by reference.
|
(b)
|
Exhibits to this Form 10-K are attached or incorporated herein by reference as stated above.
|
(c)
|
Not applicable.
|
WEBSTER FINANCIAL CORPORATION
|
||
|
|
|
|
By
|
/s/ James C. Smith
|
|
|
James C. Smith
|
|
|
Chairman and Chief Executive Officer
|
Signature:
|
|
Title:
|
|
|
|
/s/ James C. Smith
|
|
Chairman and Chief Executive Officer
|
James C. Smith
|
|
(Principal Executive Officer)
|
|
|
|
/s/ Glenn I. MacInnes
|
|
Executive Vice President and Chief Financial Officer
|
Glenn I. MacInnes
|
|
(Principal Financial Officer)
|
|
|
|
/s/ Gregory S. Madar
|
|
Senior Vice President – Chief Accounting Officer
|
Gregory S. Madar
|
|
(Principal Accounting Officer)
|
|
|
|
/s/ Joel S. Becker
|
|
Director
|
Joel S. Becker
|
|
|
|
|
|
/s/ David A. Coulter
|
|
Director
|
David A. Coulter
|
|
|
|
|
|
/s/ John J. Crawford
|
|
Director
|
John J. Crawford
|
|
|
|
|
|
/s/ Robert A. Finkenzeller
|
|
Director
|
Robert A. Finkenzeller
|
|
|
|
|
|
/s/ C. Michael Jacobi
|
|
Director
|
C. Michael Jacobi
|
|
|
|
|
|
/s/ Laurence C. Morse
|
|
Director
|
Laurence C. Morse
|
|
|
|
|
|
/s/ Karen R. Osar
|
|
Director
|
Karen R. Osar
|
|
|
|
|
|
/s/ Mark Pettie
|
|
Director
|
Mark Pettie
|
|
|
|
|
|
/s/ Charles W. Shivery
|
|
Director
|
Charles W. Shivery
|
|
|
Exhibit No.
|
|
Exhibit Description
|
3
|
|
Certificate of Incorporation and Bylaws.
|
3.1
|
|
Third Amended and Restated Certificate of Incorporation (filed as Exhibit 3.1 to the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2012 filed with the SEC on May 2, 2012 and incorporated herein by reference).
|
3.2
|
|
Certificate of Designations establishing the rights of the Company's 8.50% Series A Non Cumulative Perpetual Convertible Preferred Stock (filed as Exhibit 3.1 to the Company's Current Report on Form 8-K filed with the SEC on June 11, 2008 and incorporated herein by reference).
|
3.3
|
|
Certificate of Designations establishing the rights of the Company's Fixed Rate Cumulative Perpetual Preferred Stock, Series B (filed as Exhibit 3.1 to the Company's Current Report on Form 8-K filed with the SEC on November 24, 2008 and incorporated herein by reference).
|
3.4
|
|
Certificate of Designations establishing the rights of the Company's Perpetual Participating Preferred Stock, Series C (filed as Exhibit 3.1 to the Company's Current Report on Form 8- K filed with the SEC on July 31, 2009 and incorporated herein by reference).
|
3.5
|
|
Certificate of Designations establishing the rights of the Company's Non-Voting Perpetual Participating Preferred Stock, Series D (filed as Exhibit 3.2 to the Company's Current Report on Form 8- K filed with the SEC on July 31, 2009 and incorporated herein by reference).
|
3.6
|
|
Certificate of Designations establishing the rights of the Company's 6.40% Series E Non-Cumulative Perpetual Preferred Stock (filed as Exhibit 3.3 to the Company's Registration Statement on Form 8-A filed with the SEC on December 4, 2012 and incorporated herein by reference).
|
3.7
|
|
Bylaws, as amended effective October 22, 2012 (filed as Exhibit 3.1 to the Company's Current Report on Form 8-K filed with the SEC on October 26, 2012 and incorporated herein by reference).
|
4
|
|
Instruments Defining the Rights of Security Holders.
|
4.1
|
|
Specimen common stock certificate (filed as Exhibit 4.1 to the Company's Annual Report on Form 10-K for the year ended December 31, 2005 filed with the SEC on March 10, 2006 and incorporated herein by reference).
|
4.2
|
|
Specimen stock certificate for the Company's 8.50% Series A Non-Cumulative Perpetual Convertible Preferred Stock filed as Exhibit 4.1 to the Company's Current Report on Form 8-K filed with the SEC on November 24, 2008 and incorporated herein by reference).
|
4.3
|
|
Form of specimen stock certificate for the Company's 6.40% Series E Non-Cumulative Perpetual Preferred Stock (filed as Exhibit 4.3 to the Company's Current Report on Form 8-K filed with the SEC on December 4, 2012 and incorporated herein by reference).
|
4.4
|
|
Junior Subordinated Indenture, dated as of January 29, 1997, between the Company and The Bank of New York, as trustee, relating to the Company's Junior Subordinated Deferrable Interest Debentures (filed as Exhibit 10.41 to the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 1996 and incorporated herein by reference).
|
4.5
|
|
Senior Indenture, dated as of April 12, 2004, between the Company and The Bank of New York, as trustee (filed as Exhibit 4.1 to the Company's Current Report on Form 8-K filed with the SEC on April 12, 2004, and incorporated herein by reference).
|
4.6
|
|
Supplemental Indenture, dated as of April 12, 2004, between the Company and The Bank of New York, as trustee, relating to the Company's 5.125% Senior Notes due April 15, 2014 (filed as Exhibit 4.2 to the Company's Current Report on Form 8-K filed with the SEC on April 12, 2004, and incorporated herein by reference).
|
4.7
|
|
Warrant to purchase shares of Corporation common stock (filed as Exhibit 4.2 to the Company's Current Report on Form 8-K filed with the SEC on November 24, 2008 and incorporated herein by reference).
|
4.8
|
|
A Warrant, Series 1 to purchase shares of the Company's common stock (filed as Exhibit 4.1 to the Company's Current Report on Form 8-K filed with the SEC on July 31, 2009 and incorporated herein by reference).
|
Exhibit No.
|
|
Exhibit Description
|
4.9
|
|
A Warrant, Series 2 to purchase shares of the Company's Series C Perpetual Participating Preferred Stock (filed as exhibit 4.1 to the Company's Current Report on Form 8-K filed with the SEC on October 21, 2009 and incorporated herein by reference).
|
4.10
|
|
Deposit Agreement, dated as of December 4, 2012, by and among the Company, Computershare Shareowner Services LLC, as Depositary, and the Holders of Depositary Receipts described therein (filed as Exhibit 4.1 to the Company's Current Report on Form 8-K filed with the SEC on December 4, 2012 and incorporated herein by reference).
|
4.11
|
|
Senior Indenture, dated as of February 11, 2014, between the Company and The Bank of New York Mellon, as trustee (filed as Exhibit 4.1 to the Company’s Current Report on Form 8-K filed with the SEC on February 11, 2014, and incorporated herein by reference).
|
4.12
|
|
Supplemental Indenture, dated as of February 11, 2014, between the Company and The Bank of New York Mellon, as trustee, relating to the Company’s 4.375% Senior Notes due February 15, 2024 (filed as Exhibit 4.2 to the Company’s Current Report on Form 8-K filed with the SEC on February 11, 2014, and incorporated herein by reference).
|
10
|
|
Material Contracts
|
10.1
|
|
Mechanics Savings Bank 1996 Officer Stock Plan (filed as Exhibit 10.1 of MECH Financial,
Inc.'s Annual Report on Form 10-K for the year ended December 31, 1997 and incorporated herein by reference).
|
10.2
|
|
Amendment No. 1 to Mechanics Savings Bank 1996 Officer Stock Option Plan (filed as Exhibit 4.1 (b) of MECH Financial Inc.'s Registration Statement on Form S-8 as filed with the SEC on April 2, 1998 and incorporated herein by reference).
|
10.3
|
|
Mechanics Savings Bank 1996 Director Stock Option Plan (filed as Exhibit 10.2 of MECH Financial, Inc.'s Annual Report on Form 10-K filed with the SEC on March 30, 1998 and incorporated herein by reference).
|
10.4
|
|
Amendment No. 1 to Mechanics Savings Bank 1996 Director Stock Option Plan (filed asExhibit 4.2 (b) of MECH Financial, Inc.'s Registration Statement on Form S- 8 as filed with the SEC on April 2, 1998 and incorporated herein by reference).
|
10.5
|
|
Amended and Restated 1992 Stock Option Plan (filed as Exhibit 10.1 to the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2012 as filed with the SEC on May 2, 2012 and incorporated herein by reference).
|
10.6
|
|
Amended and Restated Deferred Compensation Plan for Directors and Officers of Webster Bank effective January 1, 2005 (filed as Exhibit 10.2 to the Company's Current Report on Form 8-K filed with the SEC on December 31, 2007 and incorporated herein by reference).
|
10.7
|
|
Supplemental Retirement Plan for Employees of Webster Bank, as amended and restated effective January 1, 2005 (filed as Exhibit 10.1 to the Company's Current Report on Form 8-K with the SEC on December 21, 2007 and incorporated herein by reference).
|
10.8
|
|
Qualified Performance-Based Compensation Plan (filed as Exhibit A to the Company's definitive proxy materials for the Company's 2008 Annual Meeting of Shareholders and incorporated herein by reference).
|
10.9
|
|
Employee Stock Purchase Plan (filed as Appendix A to Webster's Definitive Proxy Statement filed with the SEC on March 23, 2000 and incorporated herein by reference).
|
10.10
|
|
Form of Change of Control Agreement, effective as of December 31, 2012, by and between Webster Financial Corporation and James C. Smith, Gerald P. Plush and Joseph J. Savage (filed as Exhibit 10.1 to the Company's Current Report on Form 8-K filed with the SEC on December 27, 2012 and incorporated herein by reference).
|
10.11
|
|
Form of Change of Control Agreement, effective as of February 1, 2013, by and between Webster Financial Corporation and Daniel H. Bley, Jennifer Buchholz, Michelle M. Crecca, Colin D. Eccles, Daniel M. FitzPatrick, Nitin J. Mhatre and Harriet Munrett Wolfe. (filed as Exhibit 10.13 to the Company's Current Report on Form 10-K filed with the SEC on February, 28, 2013 and incorporated herein by reference).
|
10.12
|
|
Form of Change of Control Agreement, effective as of December 31, 2012, by and between Webster Financial Corporation and Glenn I. MacInnes (filed as Exhibit 10.1 to the Company's Current Report on Form 8-K filed with the SEC on December 27, 2012 and incorporated herein by reference).
|
Exhibit No.
|
|
Exhibit Description
|
10.13
|
|
Form of Change of Control Agreement, effective as of January 3, 2014, by and between Webster Financial Corporation and Charles L. Wilkins.
|
10.14
|
|
Form of Non-Competition Agreement, effective as of December 31, 2012, between Webster Financial Corporation and each of James C. Smith, Gerald P. Plush, Glenn I. MacInnes and Joseph J. Savage (filed as Exhibit 10.2 to the Company's Current Report on Form 8-K filed with the SEC on December 27, 2012 and incorporated herein by reference).
|
10.15
|
|
Letter Agreement, dated as of November 21, 2008, between Webster Financial Corporation and the United States Department of the Treasury, and the Securities Purchase Agreement - Standard Terms attached thereto (filed as Exhibit 10.1 to the Company's Current Report on Form 8-K filed with SEC on November 24, 2008 and incorporated herein by reference).
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10.16
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Description of Arrangement for Directors Fees.
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10.17
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Form of Non-Solicitation Agreement, effective as of February 1, 2013, by and between Webster Financial Corporation and Daniel H. Bley, Jennifer Buchholz, Michelle M. Crecca, Colin D. Eccles, Daniel M. FitzPatrick, Nitin J. Mhatre and Harriet Munrett Wolfe. (filed as Exhibit 10.22 to the Company's Current Report on Form 10-K filed with the SEC on February, 28, 2013 and incorporated herein by reference).
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10.18
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Form of Non-Solicitation Agreement, effective as of January 3, 2014, by and between Webster Financial Corporation and Charles L. Wilkins.
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21
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Subsidiaries.
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23.1
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Consent of KPMG LLP.
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23.2
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Consent of Ernst & Young LLP.
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31.1
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Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, signed by the Chief Executive Officer.
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31.2
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Certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002, signed by the Chief Financial Officer.
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32.1
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Written statement pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, signed by the Chief Executive Officer.
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32.2
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Written statement pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, signed by the Chief Financial Officer.
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101
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The following materials from the Webster Financial Corporation, Annual Report on Form 10-K for the year ended December 31, 2013 formatted in eXtensible Business Reporting Language (XBRL): (i) the Consolidated Statements of Income, (ii) the Consolidated Balance Sheets, (iii) the Consolidated Statements of Comprehensive income, (iv) the Consolidated Statements of Shareholders' Equity, (v) the Consolidated Statements of Cash Flows and (vi) related notes, detail tagged.
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Note:
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Exhibit numbers 10.1 – 10.14 and 10.16 – 10.18 are management contracts or compensatory plans or arrangements in which directors or executive officers are eligible to participate.
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If to the Executive:
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At the last address on file in the Company’s records
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If to the Company:
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Webster Financial Corporation
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/s/ Charles L. Wilkins
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Executives Name
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WEBSTER FINANCIAL CORPORATION
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|
|
|
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By:
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/s/ James C. Smith
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Title:
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Chairman and Chief Executive Officer
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1.
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Covenants
.
|
|
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/s/ Charles L. Wilkins
|
|
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Executives Name
|
|
|
|
|
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WEBSTER FINANCIAL CORPORATION
|
|
|
|
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By:
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/s/ James C. Smith
|
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Title:
|
Chairman and Chief Executive Officer
|
|
|
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|
|
|
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Name of Subsidiary
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Jurisdiction of Organization
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Names Under Which Subsidiary Does Business
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Webster Bank, N.A.
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United States
|
Same
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Webster Capital Trust V
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Delaware
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Same
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Webster Capital Trust VI
|
Delaware
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Same
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Webster Capital Trust VII
|
Delaware
|
Same
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Webster Statutory Trust I
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Connecticut
|
Same
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Fleming, Perry & Cox, Inc.
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Connecticut
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Same
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Webster Licensing, LLC
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Delaware
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Same
|
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/s/ James C. Smith
|
James C. Smith
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Chairman and Chief Executive Officer
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/s/ Glenn I. MacInnes
|
Glenn I. MacInnes
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Executive Vice President and
Chief Financial Officer
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(Principal Financial Officer)
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(a)
|
the Form 10-K Report of the Company for the year ended December 31, 2013 filed on the date hereof with the Securities and Exchange Commission fully complies with the requirements of Section 13(a) or Section 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and
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(b)
|
the information contained in this report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
|
/s/ James C. Smith
|
James C. Smith
|
Chairman and Chief Executive Officer
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(a)
|
the Form 10-K Report of the Company for the year ended December 31, 2013 filed on the date hereof with the Securities and Exchange Commission fully complies with the requirements of Section 13(a) or Section 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and
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(b)
|
the information contained in this report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
|
/s/ Glenn I. MacInnes
|
Glenn I. MacInnes
Executive Vice President and
Chief Financial Officer
(Principal Financial Officer)
|