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☒
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ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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☐
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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New York
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16-1482357
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(State or other jurisdiction of incorporation or organization)
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(I.R.S. Employer Identification No.)
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The Commons, P.O. Box 460, Ithaca, New York
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14851
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(Address of principal executive offices)
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(Zip Code)
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Common Stock ($.10 Par Value Per Share)
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NYSE American
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(Title of class)
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(Name of exchange on which traded)
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Large Accelerated Filer ☒
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Accelerated Filer ☐
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Nonaccelerated Filer ☐
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Smaller Reporting Company ☐
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Emerging Growth Company ☐
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Page
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–
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Applying a 150% risk weight instead of a 100% risk weight for certain high volatility commercial real estate acquisition, development and construction loans.
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–
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For residential mortgage exposures, the current approach of a 50% risk weight for high-quality seasoned mortgages and a 100% risk-weight for all other mortgages is replaced with a risk weight of between 35% and 200% depending upon the mortgage’s loan-to-value ratio and whether the mortgage is a “category 1” or “category 2” residential mortgage exposure (based on eight criteria that include the term, use of negative amortization, balloon payments and certain rate increases).
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–
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Assigning a 150% risk weight to exposures (other than residential mortgage exposures) that are 90 days past due.
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–
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Providing for a 20% credit conversion factor for the unused portion of a commitment with an original maturity of one year or less that is not unconditionally cancellable (currently set at 0%).
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–
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Providing for a risk weight, generally not less than 20% with certain exceptions, for securities lending transactions based on the risk weight category of the underlying collateral securing the transaction.
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–
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Providing for a 100% risk weight for claims on securities firms.
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–
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Eliminating the current 50% cap on the risk weight for OTC derivatives.
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Name
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Age
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Title
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Year Joined Company
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Stephen S. Romaine
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53
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President and CEO
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January 2000
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David S. Boyce
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51
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Executive Vice President
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January 2001
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Francis M. Fetsko
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53
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Executive Vice President, COO, CFO and Treasurer
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October 1996
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Alyssa H. Fontaine
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37
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Executive Vice President & General Counsel
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January 2016
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Scott L. Gruber
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61
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Executive Vice President
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April 2013
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Gregory J. Hartz
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57
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Executive Vice President
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August 2002
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Brian A. Howard
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53
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Executive Vice President
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July 2016
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Gerald J. Klein, Jr.
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59
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Executive Vice President
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January 2000
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John M. McKenna
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51
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Executive Vice President
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April 2009
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Susan M. Valenti
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63
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Executive Vice President of Corporate Marketing
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March 2012
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Bonita N. Lindberg
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61
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Senior Vice President, Director of Human Resources
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December 2015
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Market Price
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Cash Dividends
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||||||||||
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High
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Low
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Amount
|
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Date Paid
|
||||||
2016
|
|
1st Quarter
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$
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64.41
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$
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51.47
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$
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0.44
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2/16/16
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|
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2nd Quarter
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69.10
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61.99
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|
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0.44
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|
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5/16/16
|
|||
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3rd Quarter
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76.41
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63.68
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|
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0.44
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|
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8/15/16
|
|||
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4th Quarter
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95.84
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73.17
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0.45
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11/15/16
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2017
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1st Quarter
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$
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96.00
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$
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79.63
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$
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0.45
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2/15/17
|
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2nd Quarter
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87.43
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75.81
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0.45
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5/16/17
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3rd Quarter
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86.14
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72.20
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0.45
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8/15/17
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4th Quarter
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89.99
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79.06
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0.47
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11/15/17
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Issuer Purchases of Equity Securities
|
||||||||||||
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Total Number of
Shares Purchased |
|
Average Price Paid
Per Share |
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Total Number of
Shares Purchased as Part of Publicly Announced Plans or Programs |
|
Maximum Number
(or Approximate Dollar Value) of Shares that May Yet Be Purchased Under the Plans or Programs |
|||||
Period
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(a)
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(b)
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(c)
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(d)
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|||||
October 1, 2017 through
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|||||
October 31, 2017
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1,185
|
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$
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87.81
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0
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400,000
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|||||
November 1, 2017 through
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|||||
November 30, 2017
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9,070
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$
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85.16
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0
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400,000
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December 1, 2017 through
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December 31, 2017
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0
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$
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0.00
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0
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400,000
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Total
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10,255
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$
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85.47
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0
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400,000
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Period Ending
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|||||
Index
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12/31/12
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12/31/13
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12/31/14
|
12/31/15
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12/31/16
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12/31/17
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Tompkins Financial Corporation
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100.00
|
134.24
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149.47
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156.66
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271.02
|
238.30
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NASDAQ Composite
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100.00
|
140.12
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160.78
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171.97
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187.22
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242.71
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SNL Bank
|
100.00
|
137.30
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153.48
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156.10
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197.23
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232.91
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Year ended December 31,
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||||||||||||||||||
(in thousands except per share data)
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2017
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2016
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2015
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2014
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2013
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||||||||||
FINANCIAL STATEMENT HIGHLIGHTS
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Assets
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$
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6,648,290
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$
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6,236,756
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$
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5,689,995
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$
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5,269,561
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$
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5,003,039
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Total loans
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4,669,120
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4,258,033
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3,772,042
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3,393,288
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3,194,284
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|||||
Deposits
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4,837,807
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4,625,139
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4,395,306
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4,169,154
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3,947,216
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|||||
Other borrowings
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1,071,742
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884,815
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536,285
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356,541
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331,531
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|||||
Total equity
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576,202
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549,405
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516,466
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489,583
|
|
|
457,939
|
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|||||
Interest and dividend income
|
226,764
|
|
|
202,739
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|
|
188,746
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|
|
184,493
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|
|
185,104
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|
|||||
Interest expense
|
25,460
|
|
|
22,103
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|
|
20,365
|
|
|
20,683
|
|
|
23,975
|
|
|||||
Net interest income
|
201,304
|
|
|
180,636
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|
|
168,381
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|
|
163,810
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|
|
161,129
|
|
|||||
Provision for loan and lease losses
|
4,161
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|
|
4,321
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|
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2,945
|
|
|
2,306
|
|
|
6,161
|
|
|||||
Net (loss) gain on securities transactions
|
(407
|
)
|
|
926
|
|
|
1,108
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|
|
391
|
|
|
599
|
|
|||||
Net income attributable to Tompkins
|
|
|
|
|
|
|
|
|
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||||||||||
Financial Corporation
|
52,494
|
|
|
59,340
|
|
|
58,421
|
|
|
52,041
|
|
|
50,856
|
|
|||||
PER SHARE INFORMATION
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|
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||||||||||
Basic earnings per share
|
3.46
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|
|
3.94
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|
|
3.91
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|
|
3.51
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|
|
3.48
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|
|||||
Diluted earnings per share
|
3.43
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|
|
3.91
|
|
|
3.87
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|
|
3.48
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|
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3.46
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|||||
Adjusted diluted earnings per share (Non-GAAP)
1
|
4.42
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|
|
3.91
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|
|
3.63
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|
|
3.48
|
|
|
3.36
|
|
|||||
Cash dividends per share
|
1.82
|
|
|
1.77
|
|
|
1.70
|
|
|
1.62
|
|
|
1.54
|
|
|||||
Common equity per share
|
37.65
|
|
|
36.20
|
|
|
34.38
|
|
|
32.77
|
|
|
30.95
|
|
|||||
SELECTED RATIOS
|
|
|
|
|
|
|
|
|
|
||||||||||
Return on average assets
|
0.82
|
%
|
|
1.01
|
%
|
|
1.07
|
%
|
|
1.03
|
%
|
|
1.03
|
%
|
|||||
Return on average equity
|
9.09
|
%
|
|
10.85
|
%
|
|
11.51
|
%
|
|
10.76
|
%
|
|
11.47
|
%
|
|||||
Average shareholders’ equity to average assets
|
9.04
|
%
|
|
9.28
|
%
|
|
9.31
|
%
|
|
9.54
|
%
|
|
9.00
|
%
|
|||||
Dividend payout ratio
|
52.60
|
%
|
|
44.92
|
%
|
|
43.48
|
%
|
|
46.15
|
%
|
|
44.25
|
%
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
OTHER SELECTED DATA (in whole numbers, unless otherwise noted)
|
|
|
|
|
|
|
|
|
|
||||||||||
Employees (average full-time equivalent)
|
1,041
|
|
|
1,019
|
|
|
998
|
|
|
1,000
|
|
|
989
|
|
|||||
Banking offices
|
65
|
|
|
66
|
|
|
63
|
|
|
65
|
|
|
66
|
|
|||||
Bank access centers (ATMs)
|
84
|
|
|
85
|
|
|
85
|
|
|
85
|
|
|
84
|
|
|||||
Trust and investment services assets under management, or custody (in thousands)
|
$
|
4,017,363
|
|
|
$
|
3,941,484
|
|
|
$
|
3,852,972
|
|
|
$
|
3,761,972
|
|
|
$
|
3,443,636
|
|
1
|
Adjusted diluted earnings per share reflects adjustments made for certain nonrecurring items. Adjustments for nonrecurring items in 2017 included a $14.9 million ($0.99 per share) one-time non-cash write-down of net deferred tax assets related to the Tax Cuts and Jobs Act of 2017. Adjustments in 2015 included a $3.6 million ($0.24 per share) after-tax gain on a pension plan curtailment. There were no adjustments in 2016 and 2014. 2013 included an $846,000 ($0.06 per share) after-tax gain on the redemption of trust preferred stock and a $771,000 ($0.05 per share) after-tax gain on a deposit conversion. Also, in 2013 after-tax merger related expenses totaled $140,000 ($0.01 per share). Adjusted diluted earnings per share is a non-GAAP measure. Please see the discussion below under “Results of Operations (Comparison of
December 31, 2017
and
2016
results) Non-GAAP Disclosure” for an explanation of why management believes this non-GAAP financial measure is useful and a reconciliation to diluted earnings per share.
|
▪
|
GAAP diluted earnings per share for the year ended December 31, 2017, were $3.43, down 12.3% over 2016
|
▪
|
Adjusted diluted earnings per share for the year ended December 31, 2017 (excluding the one-time charge related to tax reform) were $4.42, up 13.0% over 2016 (refer to table of “Non GAAP Disclosures” included below)
|
Operating Return on Average Tangible Common Equity (Non-GAAP)
|
|
|
|
||||
|
For the year ended
|
||||||
|
December 31,
|
||||||
(in thousands, except per share data)
|
2017
|
|
2016
|
||||
Net operating income available to common shareholders (Non-GAAP)
|
$
|
66,620
|
|
|
$
|
58,428
|
|
Amortization of intangibles, net of tax
|
1,159
|
|
|
1,254
|
|
||
Adjusted net operating income available to common shareholders (Non-GAAP)
|
67,779
|
|
|
59,682
|
|
||
|
|
|
|
||||
Average Tompkins Financial Corporation shareholders’ common equity
|
575,958
|
|
|
545,545
|
|
||
Average goodwill and intangibles
1
|
101,583
|
|
|
104,263
|
|
||
Average tangible common equity (Non-GAAP)
|
474,375
|
|
|
441,282
|
|
||
|
|
|
|
||||
Adjusted operating return on average tangible common equity (Non-GAAP)
|
14.29
|
%
|
|
13.52
|
%
|
1
|
Average goodwill and intangibles excludes mortgage servicing rights.
|
|
|
For the year ended December 31,
|
|||||||||||||||||||||||||||||||
|
|
2017
|
|
2016
|
|
2015
|
|||||||||||||||||||||||||||
(dollar amounts in thousands)
|
|
Average
Balance (YTD) |
|
Interest
|
|
Average
Yield/Rate |
|
Average
Balance (YTD) |
|
Interest
|
|
Average
Yield/Rate |
|
Average
Balance (YTD) |
|
Interest
|
|
Average
Yield/Rate |
|||||||||||||||
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-earning assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing balances due from banks
|
|
$
|
4,599
|
|
|
$
|
37
|
|
|
0.80
|
%
|
|
$
|
2,019
|
|
|
$
|
6
|
|
|
0.30
|
%
|
|
$
|
1,812
|
|
|
$
|
4
|
|
|
0.22
|
%
|
Securities
1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
U.S. Government securities
|
|
1,471,717
|
|
|
31,006
|
|
|
2.11
|
%
|
|
1,443,894
|
|
|
29,318
|
|
|
2.03
|
%
|
|
1,441,420
|
|
|
30,500
|
|
|
2.12
|
%
|
||||||
Trading securities
|
|
0
|
|
|
0
|
|
|
0.00
|
%
|
|
4,893
|
|
|
220
|
|
|
4.50
|
%
|
|
8,231
|
|
|
352
|
|
|
4.28
|
%
|
||||||
State and municipal
2
|
|
100,595
|
|
|
3,393
|
|
|
3.37
|
%
|
|
97,937
|
|
|
3,309
|
|
|
3.38
|
%
|
|
88,504
|
|
|
3,308
|
|
|
3.74
|
%
|
||||||
Other securities
2
|
|
3,597
|
|
|
129
|
|
|
3.59
|
%
|
|
3,645
|
|
|
123
|
|
|
3.37
|
%
|
|
3,785
|
|
|
121
|
|
|
3.20
|
%
|
||||||
Total securities
|
|
1,575,909
|
|
|
34,528
|
|
|
2.19
|
%
|
|
1,550,369
|
|
|
32,970
|
|
|
2.13
|
%
|
|
1,541,940
|
|
|
34,281
|
|
|
2.22
|
%
|
||||||
FHLBNY and FRB stock
|
|
42,465
|
|
|
2,121
|
|
|
4.99
|
%
|
|
32,528
|
|
|
1,434
|
|
|
4.41
|
%
|
|
24,046
|
|
|
1,129
|
|
|
4.70
|
%
|
||||||
Total loans and leases, net of unearned income
2,3
|
|
4,401,205
|
|
|
194,433
|
|
|
4.42
|
%
|
|
3,957,221
|
|
|
172,443
|
|
|
4.36
|
%
|
|
3,531,945
|
|
|
157,222
|
|
|
4.45
|
%
|
||||||
Total interest-earning assets
|
|
6,024,178
|
|
|
231,119
|
|
|
3.84
|
%
|
|
5,542,137
|
|
|
206,853
|
|
|
3.73
|
%
|
|
5,099,743
|
|
|
192,636
|
|
|
3.78
|
%
|
||||||
Other assets
|
|
365,326
|
|
|
|
|
|
|
355,943
|
|
|
|
|
|
|
355,471
|
|
|
|
|
|
||||||||||||
Total assets
|
|
6,389,504
|
|
|
|
|
|
|
5,898,080
|
|
|
|
|
|
|
5,455,214
|
|
|
|
|
|
||||||||||||
LIABILITIES & EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest bearing checking, savings, & money market
|
|
2,674,204
|
|
|
5,141
|
|
|
0.19
|
%
|
|
2,529,009
|
|
|
4,008
|
|
|
0.16
|
%
|
|
2,363,087
|
|
|
3,821
|
|
|
0.16
|
%
|
||||||
Time deposits
|
|
827,181
|
|
|
6,992
|
|
|
0.85
|
%
|
|
871,595
|
|
|
6,705
|
|
|
0.77
|
%
|
|
895,391
|
|
|
6,630
|
|
|
0.74
|
%
|
||||||
Total interest-bearing deposits
|
|
3,501,385
|
|
|
12,133
|
|
|
0.35
|
%
|
|
3,400,604
|
|
|
10,713
|
|
|
0.32
|
%
|
|
3,258,478
|
|
|
10,451
|
|
|
0.32
|
%
|
||||||
Federal funds purchased & securities sold under agreements to repurchase
|
|
64,888
|
|
|
235
|
|
|
0.36
|
%
|
|
99,622
|
|
|
2,228
|
|
|
2.24
|
%
|
|
137,917
|
|
|
2,709
|
|
|
1.96
|
%
|
||||||
Other borrowings
|
|
882,235
|
|
|
11,934
|
|
|
1.35
|
%
|
|
616,560
|
|
|
6,772
|
|
|
1.10
|
%
|
|
417,737
|
|
|
4,897
|
|
|
1.17
|
%
|
||||||
Trust preferred debentures
|
|
18,338
|
|
|
1,158
|
|
|
6.31
|
%
|
|
37,588
|
|
|
2,390
|
|
|
6.36
|
%
|
|
37,417
|
|
|
2,308
|
|
|
6.17
|
%
|
||||||
Total interest-bearing liabilities
|
|
4,466,846
|
|
|
25,460
|
|
|
0.57
|
%
|
|
4,154,374
|
|
|
22,103
|
|
|
0.53
|
%
|
|
3,851,549
|
|
|
20,365
|
|
|
0.53
|
%
|
||||||
Noninterest bearing deposits
|
|
1,279,027
|
|
|
|
|
|
|
1,130,406
|
|
|
|
|
|
|
1,029,545
|
|
|
|
|
|
||||||||||||
Accrued expenses and other liabilities
|
|
66,185
|
|
|
|
|
|
|
66,243
|
|
|
|
|
|
|
66,366
|
|
|
|
|
|
||||||||||||
Total liabilities
|
|
5,812,058
|
|
|
|
|
|
|
5,351,023
|
|
|
|
|
|
|
4,947,460
|
|
|
|
|
|
||||||||||||
Tompkins Financial Corporation Shareholders’ equity
|
|
575,958
|
|
|
|
|
|
|
545,545
|
|
|
|
|
|
|
506,243
|
|
|
|
|
|
||||||||||||
Noncontrolling interest
|
|
1,488
|
|
|
|
|
|
|
1,512
|
|
|
|
|
|
|
1,511
|
|
|
|
|
|
||||||||||||
Total equity
|
|
577,446
|
|
|
|
|
|
|
547,057
|
|
|
|
|
|
|
507,754
|
|
|
|
|
|
||||||||||||
Total liabilities and equity
|
|
$
|
6,389,504
|
|
|
|
|
|
|
$
|
5,898,080
|
|
|
|
|
|
|
$
|
5,455,214
|
|
|
|
|
|
|||||||||
Interest rate spread
|
|
|
|
|
|
3.27
|
%
|
|
|
|
|
|
3.20
|
%
|
|
|
|
|
|
3.25
|
%
|
||||||||||||
Net interest income /margin on earning assets
|
|
|
|
205,659
|
|
|
3.41
|
%
|
|
|
|
184,750
|
|
|
3.33
|
%
|
|
|
|
172,271
|
|
|
3.38
|
%
|
|||||||||
Tax Equivalent Adjustment
|
|
|
|
(4,355
|
)
|
|
|
|
|
|
(4,114
|
)
|
|
|
|
|
|
(3,890
|
)
|
|
|
||||||||||||
Net interest income per consolidated financial statements
|
|
|
|
$
|
201,304
|
|
|
|
|
|
|
$
|
180,636
|
|
|
|
|
|
|
$
|
168,381
|
|
|
|
|
2017 vs. 2016
|
|
2016 vs. 2015
|
||||||||||||||||||||
|
Increase (Decrease) Due to Change
in Average |
|
Increase (Decrease) Due to Change
in Average |
||||||||||||||||||||
(in thousands)(taxable equivalent)
|
Volume
|
|
Yield/Rate
|
|
Total
|
|
Volume
|
|
Yield/Rate
|
|
Total
|
||||||||||||
INTEREST INCOME:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Certificates of deposit, other banks
|
$
|
14
|
|
|
$
|
17
|
|
|
$
|
31
|
|
|
$
|
0
|
|
|
$
|
2
|
|
|
$
|
2
|
|
Investments
1
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Taxable
|
354
|
|
|
1,120
|
|
|
1,474
|
|
|
(100
|
)
|
|
(1,212
|
)
|
|
(1,312
|
)
|
||||||
Tax-exempt
|
90
|
|
|
(6
|
)
|
|
84
|
|
|
336
|
|
|
(335
|
)
|
|
1
|
|
||||||
FHLB and FRB stock
|
438
|
|
|
249
|
|
|
687
|
|
|
380
|
|
|
(75
|
)
|
|
305
|
|
||||||
Loans, net
1
|
19,414
|
|
|
2,576
|
|
|
21,990
|
|
|
18,610
|
|
|
(3,389
|
)
|
|
15,221
|
|
||||||
Total interest income
|
$
|
20,310
|
|
|
$
|
3,956
|
|
|
$
|
24,266
|
|
|
$
|
19,226
|
|
|
$
|
(5,009
|
)
|
|
$
|
14,217
|
|
INTEREST EXPENSE:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest-bearing deposits:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest checking, savings and money market
|
259
|
|
|
874
|
|
|
1,133
|
|
|
264
|
|
|
(77
|
)
|
|
187
|
|
||||||
Time
|
(342
|
)
|
|
629
|
|
|
287
|
|
|
(178
|
)
|
|
253
|
|
|
75
|
|
||||||
Federal funds purchased and securities sold under agreements to repurchase
|
(252
|
)
|
|
(1,741
|
)
|
|
(1,993
|
)
|
|
(819
|
)
|
|
338
|
|
|
(481
|
)
|
||||||
Other borrowings
|
2,078
|
|
|
1,852
|
|
|
3,930
|
|
|
2,224
|
|
|
(267
|
)
|
|
1,957
|
|
||||||
Total interest expense
|
$
|
1,743
|
|
|
$
|
1,614
|
|
|
$
|
3,357
|
|
|
$
|
1,491
|
|
|
$
|
247
|
|
|
$
|
1,738
|
|
Net interest income
|
$
|
18,567
|
|
|
$
|
2,342
|
|
|
$
|
20,909
|
|
|
$
|
17,735
|
|
|
$
|
(5,256
|
)
|
|
$
|
12,479
|
|
|
Year ended December 31,
|
||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Insurance commissions and fees
|
$
|
28,778
|
|
|
$
|
29,492
|
|
|
$
|
29,286
|
|
Investment services
|
15,665
|
|
|
15,203
|
|
|
15,416
|
|
|||
Service charges on deposit accounts
|
8,437
|
|
|
8,793
|
|
|
9,325
|
|
|||
Card services
|
9,100
|
|
|
8,058
|
|
|
7,837
|
|
|||
Net mark-to-market gains
|
0
|
|
|
45
|
|
|
90
|
|
|||
Other income
|
7,631
|
|
|
6,291
|
|
|
8,878
|
|
|||
Net (loss) gain on securities transactions
|
(407
|
)
|
|
926
|
|
|
1,108
|
|
|||
Total
|
$
|
69,204
|
|
|
$
|
68,808
|
|
|
$
|
71,940
|
|
|
Year ended December 31,
|
||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Salaries and wages
|
$
|
81,590
|
|
|
$
|
76,950
|
|
|
$
|
72,707
|
|
Pension and other employee benefits
|
21,870
|
|
|
20,496
|
|
|
16,025
|
|
|||
Net occupancy expense of premises
|
13,214
|
|
|
12,521
|
|
|
12,312
|
|
|||
Furniture and fixture expense
|
7,028
|
|
|
6,450
|
|
|
6,146
|
|
|||
FDIC insurance
|
2,527
|
|
|
3,024
|
|
|
2,992
|
|
|||
Amortization of intangible assets
|
1,932
|
|
|
2,090
|
|
|
2,013
|
|
|||
Other operating expenses
|
42,944
|
|
|
37,076
|
|
|
37,667
|
|
|||
Total
|
$
|
171,105
|
|
|
$
|
158,607
|
|
|
$
|
149,862
|
|
Available-for-Sale Securities
|
2017
|
2016
|
2015
|
||||||||||||||||||||
(in thousands)
|
Amortized
Cost |
|
Fair Value
|
|
Amortized
Cost |
|
Fair Value
|
|
Amortized
Cost |
|
Fair Value
|
||||||||||||
Obligations of U.S. Government sponsored entities
|
$
|
507,248
|
|
|
$
|
504,193
|
|
|
$
|
527,057
|
|
|
$
|
527,627
|
|
|
$
|
551,176
|
|
|
$
|
552,893
|
|
Obligations of U.S. states and political subdivisions
|
91,659
|
|
|
91,519
|
|
|
89,910
|
|
|
89,056
|
|
|
83,981
|
|
|
84,726
|
|
||||||
Mortgage-backed securities-residential, issued by
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Government agencies
|
139,747
|
|
|
137,735
|
|
|
159,417
|
|
|
158,226
|
|
|
94,459
|
|
|
94,678
|
|
||||||
U.S. Government sponsored entities
|
667,767
|
|
|
656,178
|
|
|
662,724
|
|
|
651,430
|
|
|
656,947
|
|
|
650,097
|
|
||||||
Non-U.S. Government agencies or sponsored entities
|
75
|
|
|
75
|
|
|
116
|
|
|
116
|
|
|
192
|
|
|
194
|
|
||||||
U.S. corporate debt securities
|
2,500
|
|
|
2,162
|
|
|
2,500
|
|
|
2,162
|
|
|
2,500
|
|
|
2,162
|
|
||||||
Total debt securities
|
1,408,996
|
|
|
1,391,862
|
|
|
1,441,724
|
|
|
1,428,617
|
|
|
1,389,255
|
|
|
1,384,750
|
|
||||||
Equity securities
|
1,000
|
|
|
913
|
|
|
1,000
|
|
|
921
|
|
|
1,000
|
|
|
934
|
|
||||||
Total available-for-sale securities
|
$
|
1,409,996
|
|
|
$
|
1,392,775
|
|
|
$
|
1,442,724
|
|
|
$
|
1,429,538
|
|
|
$
|
1,390,255
|
|
|
$
|
1,385,684
|
|
Held-to-Maturity Securities
|
2017
|
|
2016
|
|
2015
|
||||||||||||||||||
(in thousands)
|
Amortized
Cost |
|
Fair Value
|
|
Amortized
Cost |
|
Fair Value
|
|
Amortized
Cost |
|
Fair Value
|
||||||||||||
|
|
|
|
|
|
|
|||||||||||||||||
Obligations of U.S. Government sponsored entities
|
$
|
131,707
|
|
|
$
|
132,720
|
|
|
$
|
132,098
|
|
|
$
|
132,619
|
|
|
$
|
132,482
|
|
|
$
|
132,687
|
|
Obligations of U.S. states and political subdivisions
|
7,509
|
|
|
7,595
|
|
|
10,021
|
|
|
10,213
|
|
|
13,589
|
|
|
13,999
|
|
||||||
Total held-to-maturity securities
|
$
|
139,216
|
|
|
$
|
140,315
|
|
|
$
|
142,119
|
|
|
$
|
142,832
|
|
|
$
|
146,071
|
|
|
$
|
146,686
|
|
Trading Securities
|
2017
|
|
2016
|
|
2015
|
||||||
(in thousands)
|
Fair Value
|
|
Fair Value
|
|
Fair Value
|
||||||
|
|
|
|
|
|
||||||
Obligations of U.S. Government sponsored entities
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
6,601
|
|
Mortgage-backed securities-residential issued by U.S. Government sponsored entities
|
0
|
|
|
0
|
|
|
767
|
|
|||
Total trading securities
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
7,368
|
|
|
As of December 31, 2017
|
|||||||||
|
Securities
Available-for-Sale 1 |
Securities
Held-to-Maturity |
||||||||
(dollar amounts in thousands)
|
Amount
|
Yield
2
|
Amount
|
Yield
2
|
||||||
|
|
|
|
|
||||||
Obligations of U.S. Government sponsored entities
|
|
|
|
|
||||||
Within 1 year
|
$
|
45,330
|
|
1.80
|
%
|
$
|
0
|
|
0.00
|
%
|
Over 1 to 5 years
|
336,591
|
|
1.90
|
%
|
50,765
|
|
2.29
|
%
|
||
Over 5 to 10 years
|
125,327
|
|
2.64
|
%
|
80,942
|
|
2.55
|
%
|
||
|
$
|
507,248
|
|
2.07
|
%
|
$
|
131,707
|
|
2.45
|
%
|
|
|
|
|
|
||||||
Obligations of U.S. state and political subdivisions
|
|
|
|
|
||||||
Within 1 year
|
$
|
6,579
|
|
3.19
|
%
|
$
|
5,980
|
|
3.82
|
%
|
Over 1 to 5 years
|
32,255
|
|
3.02
|
%
|
1,171
|
|
6.84
|
%
|
||
Over 5 to 10 years
|
36,734
|
|
3.32
|
%
|
358
|
|
7.97
|
%
|
||
Over 10 years
|
16,091
|
|
4.00
|
%
|
0
|
|
0.00
|
%
|
||
|
$
|
91,659
|
|
3.32
|
%
|
$
|
7,509
|
|
4.49
|
%
|
|
|
|
|
|
||||||
Mortgage-backed securities - residential
|
|
|
|
|
||||||
Within 1 year
|
$
|
62
|
|
6.16
|
%
|
$
|
0
|
|
0.00
|
%
|
Over 1 to 5 years
|
8,899
|
|
3.52
|
%
|
0
|
|
0.00
|
%
|
||
Over 5 to 10 years
|
126,827
|
|
2.18
|
%
|
0
|
|
0.00
|
%
|
||
Over 10 years
|
671,801
|
|
2.11
|
%
|
0
|
|
0.00
|
%
|
||
|
$
|
807,589
|
|
2.14
|
%
|
$
|
0
|
|
0.00
|
%
|
|
|
|
|
|
||||||
Other securities
|
|
|
|
|
||||||
Over 10 years
|
$
|
2,500
|
|
4.06
|
%
|
$
|
0
|
|
0.00
|
%
|
Equity securities
|
1,000
|
|
2.41
|
%
|
0
|
|
0.00
|
%
|
||
|
$
|
3,500
|
|
3.59
|
%
|
$
|
0
|
|
0.00
|
%
|
|
|
|
|
|
||||||
Total securities
|
|
|
|
|
||||||
Within 1 year
|
$
|
51,970
|
|
1.98
|
%
|
$
|
5,980
|
|
3.82
|
%
|
Over 1 to 5 years
|
377,745
|
|
2.03
|
%
|
51,936
|
|
2.39
|
%
|
||
Over 5 to 10 years
|
288,889
|
|
2.52
|
%
|
81,300
|
|
2.57
|
%
|
||
Over 10 years
|
690,392
|
|
2.16
|
%
|
0
|
|
0.00
|
%
|
||
Equity securities
|
1,000
|
|
2.41
|
%
|
0
|
|
0.00
|
%
|
||
|
$
|
1,409,996
|
|
2.19
|
%
|
$
|
139,216
|
|
2.56
|
%
|
Originated Loans and Leases
|
As of December 31,
|
||||||||||||||
(in thousands)
|
2017
|
2016
|
2015
|
2014
|
2013
|
||||||||||
Commercial and industrial
|
|
|
|
|
|
||||||||||
Agriculture
|
$
|
108,608
|
|
$
|
118,247
|
|
$
|
88,299
|
|
$
|
78,507
|
|
$
|
74,788
|
|
Commercial and industrial other
|
932,067
|
|
847,055
|
|
768,024
|
|
688,529
|
|
562,439
|
|
|||||
Subtotal commercial and industrial
|
1,040,675
|
|
965,302
|
|
856,323
|
|
767,036
|
|
637,227
|
|
|||||
Commercial real estate
|
|
|
|
|
|
||||||||||
Construction
|
202,486
|
|
135,834
|
|
103,037
|
|
72,427
|
|
46,441
|
|
|||||
Agriculture
|
129,712
|
|
102,509
|
|
86,935
|
|
58,994
|
|
52,627
|
|
|||||
Commercial real estate other
|
1,660,782
|
|
1,431,690
|
|
1,167,250
|
|
979,621
|
|
903,320
|
|
|||||
Subtotal commercial real estate
|
1,992,980
|
|
1,670,033
|
|
1,357,222
|
|
1,111,042
|
|
1,002,388
|
|
|||||
Residential real estate
|
|
|
|
|
|
||||||||||
Home equity
|
212,812
|
|
209,277
|
|
202,578
|
|
186,957
|
|
171,809
|
|
|||||
Mortgages
|
1,039,040
|
|
947,378
|
|
823,841
|
|
710,904
|
|
658,966
|
|
|||||
Subtotal residential real estate
|
1,251,852
|
|
1,156,655
|
|
1,026,419
|
|
897,861
|
|
830,775
|
|
|||||
Consumer and other
|
|
|
|
|
|
||||||||||
Indirect
|
12,144
|
|
14,835
|
|
17,829
|
|
18,298
|
|
21,202
|
|
|||||
Consumer and other
|
50,214
|
|
44,393
|
|
40,904
|
|
35,874
|
|
32,312
|
|
|||||
Subtotal consumer and other
|
62,358
|
|
59,228
|
|
58,733
|
|
54,172
|
|
53,514
|
|
|||||
Leases
|
14,467
|
|
16,650
|
|
14,861
|
|
12,251
|
|
5,563
|
|
|||||
Total loans and leases
|
4,362,332
|
|
3,867,868
|
|
3,313,558
|
|
2,842,362
|
|
2,529,467
|
|
|||||
Less: unearned income and deferred costs and fees
|
(3,789
|
)
|
(3,946
|
)
|
(2,790
|
)
|
(2,388
|
)
|
(2,223
|
)
|
|||||
|
|
|
|
|
|
||||||||||
Total originated loans and leases, net of unearned income and deferred costs and fees
|
$
|
4,358,543
|
|
$
|
3,863,922
|
|
$
|
3,310,768
|
|
$
|
2,839,974
|
|
$
|
2,527,244
|
|
|
|
|
|
|
|
||||||||||
Acquired Loans
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
|
|
|
|
|
||||||||||
Commercial and industrial other
|
$
|
50,976
|
|
$
|
79,317
|
|
$
|
84,810
|
|
$
|
97,034
|
|
$
|
128,503
|
|
Subtotal commercial and industrial
|
50,976
|
|
79,317
|
|
84,810
|
|
97,034
|
|
128,503
|
|
|||||
Commercial real estate
|
|
|
|
|
|
||||||||||
Construction
|
1,480
|
|
8,936
|
|
4,892
|
|
35,906
|
|
39,353
|
|
|||||
Agriculture
|
247
|
|
267
|
|
2,095
|
|
3,182
|
|
3,135
|
|
|||||
Commercial real estate other
|
206,020
|
|
241,605
|
|
284,952
|
|
308,488
|
|
366,438
|
|
|||||
Subtotal commercial real estate
|
207,747
|
|
250,808
|
|
291,939
|
|
347,576
|
|
408,926
|
|
|||||
Residential real estate
|
|
|
|
|
|
||||||||||
Home equity
|
28,444
|
|
37,737
|
|
42,092
|
|
56,008
|
|
67,183
|
|
|||||
Mortgages
|
22,645
|
|
25,423
|
|
27,491
|
|
32,282
|
|
35,336
|
|
|||||
Subtotal residential real estate
|
51,089
|
|
63,160
|
|
69,583
|
|
88,290
|
|
102,519
|
|
|||||
Consumer and other
|
|
|
|
|
|
||||||||||
Indirect
|
0
|
|
0
|
|
0
|
|
0
|
|
5
|
|
|||||
Consumer and other
|
765
|
|
826
|
|
911
|
|
1,095
|
|
1,219
|
|
|||||
Subtotal consumer and other
|
765
|
|
826
|
|
911
|
|
1,095
|
|
1,224
|
|
|||||
Covered loans
|
0
|
|
0
|
|
14,031
|
|
19,319
|
|
25,868
|
|
|||||
Total acquired loans and leases
|
$
|
310,577
|
|
$
|
394,111
|
|
$
|
461,274
|
|
$
|
553,314
|
|
$
|
667,040
|
|
(in thousands)
|
2017
|
2016
|
2015
|
2014
|
2013
|
||||||||||
Loans 90 days past due and accruing*
|
|
|
|
|
|
||||||||||
Commercial real estate
|
$
|
0
|
|
$
|
0
|
|
$
|
0
|
|
$
|
0
|
|
$
|
161
|
|
Residential real estate
|
0
|
|
0
|
|
58
|
|
106
|
|
446
|
|
|||||
Consumer and other
|
44
|
|
0
|
|
0
|
|
0
|
|
0
|
|
|||||
Total loans 90 days past due and accruing
|
44
|
|
0
|
|
58
|
|
106
|
|
607
|
|
|||||
Nonaccrual loans
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
2,852
|
|
738
|
|
1,738
|
|
2,116
|
|
1,679
|
|
|||||
Commercial real estate
|
5,948
|
|
9,076
|
|
6,054
|
|
7,520
|
|
23,364
|
|
|||||
Residential real estate
|
10,363
|
|
9,061
|
|
9,863
|
|
9,043
|
|
13,086
|
|
|||||
Consumer and other
|
354
|
|
166
|
|
182
|
|
349
|
|
254
|
|
|||||
Leases
|
0
|
|
0
|
|
0
|
|
0
|
|
0
|
|
|||||
Total nonaccrual loans and leases
|
19,517
|
|
19,041
|
|
17,837
|
|
19,028
|
|
38,383
|
|
|||||
Troubled debt restructurings not included above
|
3,449
|
|
2,631
|
|
3,915
|
|
3,444
|
|
45
|
|
|||||
Total nonperforming loans and leases
|
23,010
|
|
21,672
|
|
21,810
|
|
22,578
|
|
39,035
|
|
|||||
Other real estate owned
|
2,047
|
|
908
|
|
2,692
|
|
5,683
|
|
4,253
|
|
|||||
Total nonperforming assets
|
$
|
25,057
|
|
$
|
22,580
|
|
$
|
24,502
|
|
$
|
28,261
|
|
$
|
43,288
|
|
Total nonperforming loans and leases as a percentage of total loans and leases
|
0.49
|
%
|
0.51
|
%
|
0.58
|
%
|
0.67
|
%
|
1.22
|
%
|
|||||
Total nonperforming assets as a percentage of total assets
|
0.38
|
%
|
0.36
|
%
|
0.43
|
%
|
0.54
|
%
|
0.87
|
%
|
|||||
Allowance as a percentage of nonperforming loans and leases
|
172.84
|
%
|
164.98
|
%
|
146.74
|
%
|
128.43
|
%
|
71.65
|
%
|
1.
|
An acknowledgment that arriving at an appropriate allowance requires a high degree of management judgment.
|
2.
|
The allowance should be maintained at a level appropriate to cover estimated losses on loans individually evaluated for impairment, as well as estimated credit losses inherent in the remainder of the portfolio.
|
3.
|
Estimates of credit losses should consider all significant factors that affect the collectability of the portfolio as of the evaluation date.
|
4.
|
Loss emergence period is a critical assumption in the allowance estimate, which represents the average amount of time between when loss events occur for specific loan types and when such problem loans are identified and the related loss amounts are confirmed through charge-offs.
|
5.
|
The allowance should be based on a comprehensive, well-documented, and consistently applied analysis of the loan portfolio.
|
1.
|
Impaired Loans
- Management considers a loan to be impaired if, based on current information, it is probable that the Company will be unable to collect all scheduled payments of principal or interest when due, according to the contractual terms of the loan agreement. When a loan is considered to be impaired, the amount of the impairment is measured based on the present value of expected future cash flows discounted at the effective interest rate of the loan or, as a practical expedient, at the observable market price or the fair value of collateral (less costs to sell) if the loan is collateral dependent. Management excludes large groups of smaller balance homogeneous loans such as residential mortgages, consumer loans, and leases, which are collectively evaluated.
|
2.
|
Criticized and Classified Credits
– For loans that are not impaired, but are rated special mention or worse, management evaluates credits based on elevated risk characteristics and assigns reserves based upon analysis of historical loss experience of loans with similar risk characteristics.
|
3.
|
Historical Loss Experience -
For loans that are not impaired, or reviewed individually, management assigns a reserve based upon historical loss experience over a designated look-back period. Management has evaluated a variety of look-back periods and has determined that an eight year look back period is appropriate to capture a full range of economic cycles.
|
4.
|
Qualitative/Subjective Analysis
– The model also includes an analysis of a variety of subjective factors to support the reserve estimate. These subjective factors may include reserve allocations for risks that may not otherwise be fully recognized in other components of the model. Among the subjective factors that are routinely considered as part of this analysis are: growth trends in the portfolio, changes in management and/or polices related to lending activities, trends in classified or past due/nonaccrual loans, concentrations of credit, local and national economic trends, and industry trends.
|
|
As of December 31,
|
||||||||||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Originated loans outstanding at end of year
|
$
|
4,358,543
|
|
|
$
|
3,863,922
|
|
|
$
|
3,310,768
|
|
|
$
|
2,839,974
|
|
|
$
|
2,527,244
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allocation of the originated allowance by originated loan type:
|
|||||||||||||||||||
Commercial and industrial
|
$
|
11,812
|
|
|
$
|
9,389
|
|
|
$
|
10,495
|
|
|
$
|
9,157
|
|
|
$
|
8,406
|
|
Commercial real estate
|
20,412
|
|
|
19,836
|
|
|
15,479
|
|
|
12,069
|
|
|
10,459
|
|
|||||
Residential real estate
|
6,161
|
|
|
5,149
|
|
|
4,070
|
|
|
5,030
|
|
|
5,771
|
|
|||||
Consumer and other
|
1,301
|
|
|
1,224
|
|
|
1,268
|
|
|
1,900
|
|
|
2,059
|
|
|||||
Leases
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
5
|
|
|||||
Total
|
$
|
39,686
|
|
|
$
|
35,598
|
|
|
$
|
31,312
|
|
|
$
|
28,156
|
|
|
$
|
26,700
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allocation of the originated allowance as a percentage of total originated allowance:
|
|||||||||||||||||||
Commercial and industrial
|
30
|
%
|
|
27
|
%
|
|
34
|
%
|
|
32
|
%
|
|
31
|
%
|
|||||
Commercial real estate
|
51
|
%
|
|
56
|
%
|
|
49
|
%
|
|
43
|
%
|
|
39
|
%
|
|||||
Residential real estate
|
16
|
%
|
|
14
|
%
|
|
13
|
%
|
|
18
|
%
|
|
22
|
%
|
|||||
Consumer and other
|
3
|
%
|
|
3
|
%
|
|
4
|
%
|
|
7
|
%
|
|
8
|
%
|
|||||
Total
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|||||
Loan and lease types as a percentage of total originated loans and leases:
|
|||||||||||||||||||
Commercial and industrial
|
24
|
%
|
|
25
|
%
|
|
26
|
%
|
|
27
|
%
|
|
25
|
%
|
|||||
Commercial real estate
|
46
|
%
|
|
43
|
%
|
|
41
|
%
|
|
39
|
%
|
|
40
|
%
|
|||||
Residential real estate
|
29
|
%
|
|
30
|
%
|
|
31
|
%
|
|
32
|
%
|
|
33
|
%
|
|||||
Consumer and other
|
1
|
%
|
|
2
|
%
|
|
2
|
%
|
|
2
|
%
|
|
2
|
%
|
|||||
Leases
|
0
|
%
|
|
0
|
%
|
|
0
|
%
|
|
0
|
%
|
|
0
|
%
|
|||||
Total
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
As of December 31,
|
||||||||||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Acquired loans outstanding at end of year
|
$
|
310,577
|
|
|
$
|
394,111
|
|
|
$
|
461,274
|
|
|
$
|
553,314
|
|
|
$
|
667,040
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allocation of the acquired allowance by acquired loan type:
|
|||||||||||||||||||
Commercial and industrial
|
$
|
25
|
|
|
$
|
0
|
|
|
$
|
433
|
|
|
$
|
431
|
|
|
$
|
168
|
|
Commercial real estate
|
0
|
|
|
97
|
|
|
61
|
|
|
337
|
|
|
770
|
|
|||||
Residential real estate
|
54
|
|
|
54
|
|
|
198
|
|
|
51
|
|
|
274
|
|
|||||
Consumer and other
|
6
|
|
|
6
|
|
|
0
|
|
|
22
|
|
|
58
|
|
|||||
Total
|
$
|
85
|
|
|
$
|
157
|
|
|
$
|
692
|
|
|
$
|
841
|
|
|
$
|
1,270
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allocation of the acquired allowance as a percentage of total acquired allowance:
|
|||||||||||||||||||
Commercial and industrial
|
29
|
%
|
|
0
|
%
|
|
62
|
%
|
|
51
|
%
|
|
13
|
%
|
|||||
Commercial real estate
|
0
|
%
|
|
62
|
%
|
|
9
|
%
|
|
40
|
%
|
|
60
|
%
|
|||||
Residential real estate
|
64
|
%
|
|
34
|
%
|
|
29
|
%
|
|
6
|
%
|
|
22
|
%
|
|||||
Consumer and other
|
7
|
%
|
|
4
|
%
|
|
0
|
%
|
|
3
|
%
|
|
5
|
%
|
|||||
Total
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|||||
Loan and lease types as a percentage of total acquired loans and leases:
|
|||||||||||||||||||
Commercial and industrial
|
16
|
%
|
|
20
|
%
|
|
18
|
%
|
|
18
|
%
|
|
19
|
%
|
|||||
Commercial real estate
|
67
|
%
|
|
64
|
%
|
|
64
|
%
|
|
63
|
%
|
|
61
|
%
|
|||||
Residential real estate
|
17
|
%
|
|
16
|
%
|
|
15
|
%
|
|
16
|
%
|
|
15
|
%
|
|||||
Consumer and other
|
0
|
%
|
|
0
|
%
|
|
0
|
%
|
|
0
|
%
|
|
1
|
%
|
|||||
Covered
|
0
|
%
|
|
0
|
%
|
|
3
|
%
|
|
3
|
%
|
|
4
|
%
|
|||||
Total
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
100
|
%
|
|
December 31,
|
||||||||||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Average originated loans outstanding during year
|
$
|
4,051,298
|
|
|
$
|
3,525,649
|
|
|
$
|
3,023,456
|
|
|
$
|
2,624,282
|
|
|
$
|
2,307,493
|
|
Balance of allowance at beginning of year
|
35,598
|
|
|
31,312
|
|
|
28,156
|
|
|
26,700
|
|
|
24,643
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Originated loans charged-off:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
291
|
|
|
878
|
|
|
221
|
|
|
470
|
|
|
1,605
|
|
|||||
Commercial real estate
|
21
|
|
|
12
|
|
|
363
|
|
|
639
|
|
|
651
|
|
|||||
Residential real estate
|
584
|
|
|
263
|
|
|
338
|
|
|
512
|
|
|
752
|
|
|||||
Consumer and other
|
960
|
|
|
521
|
|
|
1,074
|
|
|
1,308
|
|
|
1,282
|
|
|||||
Leases
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|||||
Total loans charged-off
|
$
|
1,856
|
|
|
$
|
1,674
|
|
|
$
|
1,996
|
|
|
$
|
2,929
|
|
|
$
|
4,290
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Recoveries of originated loans previously charged-off:
|
|||||||||||||||||||
Commercial and industrial
|
119
|
|
|
576
|
|
|
809
|
|
|
636
|
|
|
4,162
|
|
|||||
Commercial real estate
|
980
|
|
|
859
|
|
|
1,277
|
|
|
1,832
|
|
|
718
|
|
|||||
Residential real estate
|
212
|
|
|
63
|
|
|
112
|
|
|
88
|
|
|
48
|
|
|||||
Consumer and other
|
405
|
|
|
325
|
|
|
487
|
|
|
536
|
|
|
419
|
|
|||||
Total loan recoveries
|
$
|
1,716
|
|
|
$
|
1,823
|
|
|
$
|
2,685
|
|
|
$
|
3,092
|
|
|
$
|
5,347
|
|
Net loan (recoveries) and charge-offs
|
140
|
|
|
(149
|
)
|
|
(689
|
)
|
|
(163
|
)
|
|
(1,057
|
)
|
|||||
Additions to allowance charged to operations
|
4,228
|
|
|
4,137
|
|
|
2,467
|
|
|
1,293
|
|
|
1,000
|
|
|||||
Balance of originated allowance at end of year
|
$
|
39,686
|
|
|
$
|
35,598
|
|
|
$
|
31,312
|
|
|
$
|
28,156
|
|
|
$
|
26,700
|
|
Originated allowance as a percentage of originated loans and leases outstanding
|
0.91
|
%
|
|
0.92
|
%
|
|
0.95
|
%
|
|
0.99
|
%
|
|
1.06
|
%
|
|||||
Net (recoveries) charge-offs as a percentage of average originated loans and leases outstanding during the year
|
0.00
|
%
|
|
0.00
|
%
|
|
(0.02
|
)%
|
|
(0.01
|
)%
|
|
(0.05
|
)%
|
|
December 31,
|
||||||||||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
||||||||||
Average acquired loans outstanding during year
|
$
|
349,915
|
|
|
$
|
431,572
|
|
|
$
|
508,490
|
|
|
$
|
614,740
|
|
|
$
|
746,045
|
|
Balance of allowance at beginning of year
|
157
|
|
|
692
|
|
|
841
|
|
|
1,270
|
|
|
0
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Acquired loans charged-off:
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial
|
74
|
|
|
698
|
|
|
77
|
|
|
293
|
|
|
2,991
|
|
|||||
Commercial real estate
|
159
|
|
|
181
|
|
|
400
|
|
|
631
|
|
|
179
|
|
|||||
Residential real estate
|
483
|
|
|
35
|
|
|
302
|
|
|
484
|
|
|
696
|
|
|||||
Consumer and other
|
2
|
|
|
121
|
|
|
6
|
|
|
51
|
|
|
25
|
|
|||||
Total loans charged-off
|
$
|
718
|
|
|
$
|
1,035
|
|
|
$
|
785
|
|
|
$
|
1,459
|
|
|
$
|
3,891
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Recoveries of acquired loans previously charged-off:
|
|||||||||||||||||||
Commercial and industrial
|
24
|
|
|
20
|
|
|
7
|
|
|
0
|
|
|
0
|
|
|||||
Commercial real estate
|
637
|
|
|
268
|
|
|
142
|
|
|
0
|
|
|
0
|
|
|||||
Residential real estate
|
44
|
|
|
0
|
|
|
9
|
|
|
0
|
|
|
0
|
|
|||||
Consumer and other
|
8
|
|
|
28
|
|
|
0
|
|
|
17
|
|
|
0
|
|
|||||
Total loan recoveries
|
$
|
713
|
|
|
$
|
316
|
|
|
$
|
158
|
|
|
$
|
17
|
|
|
$
|
0
|
|
Net loans charged-off
|
5
|
|
|
719
|
|
|
627
|
|
|
1,442
|
|
|
3,891
|
|
|||||
(Reductions) additions to allowance charged to operations
|
(67
|
)
|
|
184
|
|
|
478
|
|
|
1,013
|
|
|
5,161
|
|
|||||
Balance of acquired allowance at end of year
|
$
|
85
|
|
|
$
|
157
|
|
|
$
|
692
|
|
|
$
|
841
|
|
|
$
|
1,270
|
|
Acquired allowance as a percentage of acquired loans outstanding
|
0.02
|
%
|
|
0.04
|
%
|
|
0.14
|
%
|
|
0.14
|
%
|
|
0.17
|
%
|
|||||
Net charge-offs as a percentage of average acquired loans and leases outstanding during the year
|
0.00
|
%
|
|
0.17
|
%
|
|
0.12
|
%
|
|
0.23
|
%
|
|
0.52
|
%
|
|||||
Total net charge-offs as a percentage of average total loans and leases outstanding during the year
|
0.00
|
%
|
|
0.00
|
%
|
|
0.00
|
%
|
|
0.04
|
%
|
|
0.09
|
%
|
Remaining maturity of originated loans
|
At December 31, 2017
|
||||||||||||||
|
|
||||||||||||||
(in thousands)
|
Total
|
|
Less than 1 year
|
|
After 1 year to 5 years
|
|
After 5 years
|
||||||||
Commercial and industrial
|
$
|
1,040,675
|
|
|
$
|
287,400
|
|
|
$
|
276,502
|
|
|
$
|
476,773
|
|
Commercial real estate
|
1,992,980
|
|
|
83,816
|
|
|
211,434
|
|
|
1,697,730
|
|
||||
Residential real estate
|
1,251,852
|
|
|
479
|
|
|
9,951
|
|
|
1,241,422
|
|
||||
Total
|
$
|
4,285,507
|
|
|
$
|
371,695
|
|
|
$
|
497,887
|
|
|
$
|
3,415,925
|
|
Remaining maturity of acquired loans
|
At December 31, 2017
|
||||||||||||||
|
|
||||||||||||||
(in thousands)
|
Total
|
|
Less than 1 year
|
|
After 1 year to 5 years
|
|
After 5 years
|
||||||||
Commercial and industrial
|
$
|
50,976
|
|
|
$
|
10,652
|
|
|
$
|
17,523
|
|
|
$
|
22,801
|
|
Commercial real estate
|
207,747
|
|
|
26,647
|
|
|
86,233
|
|
|
94,867
|
|
||||
Residential real estate
|
51,089
|
|
|
676
|
|
|
2,571
|
|
|
47,842
|
|
||||
Total
|
$
|
309,812
|
|
|
$
|
37,975
|
|
|
$
|
106,327
|
|
|
$
|
165,510
|
|
Contractual cash obligations
|
At December 31, 2017
Payments due within |
||||||||||||||||||
(in thousands)
|
Total
|
|
1 year
|
|
1-3 years
|
|
3-5 years
|
|
After 5 years
|
||||||||||
Long-term debt
|
$
|
493,579
|
|
|
$
|
206,407
|
|
|
$
|
287,172
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Trust Preferred Debentures
1
|
33,186
|
|
|
919
|
|
|
1,838
|
|
|
1,838
|
|
|
28,591
|
|
|||||
Operating leases
|
34,994
|
|
|
4,981
|
|
|
8,416
|
|
|
6,546
|
|
|
15,051
|
|
|||||
Software contracts
|
9,473
|
|
|
1,892
|
|
|
2,855
|
|
|
2,652
|
|
|
2,074
|
|
|||||
Total contractual cash obligations
|
$
|
571,232
|
|
|
$
|
214,199
|
|
|
$
|
300,281
|
|
|
$
|
11,036
|
|
|
$
|
45,716
|
|
Condensed Static Gap - December 31, 2017
|
Repricing Interval
|
||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
||||||||||
(in thousands)
|
Total
|
|
0-3 months
|
|
3-6 months
|
|
6-12 months
|
|
12 months
|
||||||||||
Interest-earning assets*
|
$
|
6,278,384
|
|
|
$
|
1,228,819
|
|
|
$
|
257,097
|
|
|
$
|
530,634
|
|
|
$
|
2,016,550
|
|
Interest-bearing liabilities
|
4,563,492
|
|
|
2,296,027
|
|
|
195,131
|
|
|
288,008
|
|
|
2,779,166
|
|
|||||
Net gap position
|
|
|
(1,067,208
|
)
|
|
61,966
|
|
|
242,626
|
|
|
(762,616
|
)
|
||||||
Net gap position as a percentage of total assets
|
|
|
(16.05
|
)%
|
|
0.93
|
%
|
|
3.65
|
%
|
|
(11.47
|
)%
|
Index to Financial Statements
|
Page
|
|
|
/s/ Stephen S. Romaine
|
|
/s/ Francis M. Fetsko
|
|
Date:
|
March 1, 2018
|
|
|
|
|
|
|
Stephen S. Romaine
|
|
Francis M. Fetsko
|
|
|
|
Chief Executive Officer
|
|
Chief Financial Officer
|
|
|
|
|
|
Chief Operating Officer
|
|
|
|
/s/ KPMG LLP
|
|
Rochester, New York
|
|
March 1, 2018
|
|
/s/ KPMG LLP
|
|
|
|
We have served as the Company's auditor since 1995.
|
|
|
|
Rochester, New York
|
|
March 1, 2018
|
|
(in thousands, except share and per share data)
|
As of
|
|
As of
|
||||
ASSETS
|
12/31/2017
|
|
12/31/2016
|
||||
Cash and noninterest bearing balances due from banks
|
$
|
77,688
|
|
|
$
|
62,074
|
|
Interest bearing balances due from banks
|
6,615
|
|
|
1,880
|
|
||
Cash and Cash Equivalents
|
84,303
|
|
|
63,954
|
|
||
|
|
|
|
||||
Trading securities, at fair value
|
0
|
|
|
0
|
|
||
Available-for-sale securities, at fair value (amortized cost of $1,409,996 at December 31, 2017 and $1,442,724 at December 31, 2016)
|
1,392,775
|
|
|
1,429,538
|
|
||
Held-to-maturity securities, at amortized cost (fair value of $140,315 at December 31, 2017 and $142,832 at December 31, 2016)
|
139,216
|
|
|
142,119
|
|
||
Originated loans and leases, net of unearned income and deferred costs and fees
|
4,358,543
|
|
|
3,863,922
|
|
||
Acquired loans
|
310,577
|
|
|
394,111
|
|
||
Less: Allowance for loan and lease losses
|
39,771
|
|
|
35,755
|
|
||
Net Loans and Leases
|
4,629,349
|
|
|
4,222,278
|
|
||
|
|
|
|
||||
Federal Home Loan Bank and other stock
|
50,498
|
|
|
43,133
|
|
||
Bank premises and equipment, net
|
86,995
|
|
|
70,016
|
|
||
Corporate owned life insurance
|
80,106
|
|
|
77,905
|
|
||
Goodwill
|
92,291
|
|
|
92,623
|
|
||
Other intangible assets, net
|
9,263
|
|
|
11,349
|
|
||
Accrued interest and other assets
|
83,494
|
|
|
83,841
|
|
||
Total Assets
|
$
|
6,648,290
|
|
|
$
|
6,236,756
|
|
LIABILITIES
|
|
|
|
||||
Deposits:
|
|
|
|
||||
Interest bearing:
|
|
|
|
||||
Checking, savings and money market
|
2,651,632
|
|
|
2,518,318
|
|
||
Time
|
748,250
|
|
|
870,788
|
|
||
Noninterest bearing
|
1,437,925
|
|
|
1,236,033
|
|
||
Total Deposits
|
4,837,807
|
|
|
4,625,139
|
|
||
|
|
|
|
||||
Federal funds purchased and securities sold under agreements to repurchase
|
75,177
|
|
|
69,062
|
|
||
Other borrowings
|
1,071,742
|
|
|
884,815
|
|
||
Trust preferred debentures
|
16,691
|
|
|
37,681
|
|
||
Other liabilities
|
70,671
|
|
|
70,654
|
|
||
Total Liabilities
|
$
|
6,072,088
|
|
|
$
|
5,687,351
|
|
EQUITY
|
|
|
|
||||
Tompkins Financial Corporation shareholders’ equity:
|
|
|
|
||||
Common Stock - par value $.10 per share: Authorized 25,000,000 shares; Issued: 15,301,524 at December 31, 2017; and 15,171,816 at December 31, 2016
|
1,530
|
|
|
1,517
|
|
||
Additional paid-in capital
|
364,031
|
|
|
357,414
|
|
||
Retained earnings
|
265,007
|
|
|
230,182
|
|
||
Accumulated other comprehensive loss
|
(51,296
|
)
|
|
(37,109
|
)
|
||
Treasury stock, at cost – 120,805 shares at December 31, 2017, and 117,997 shares at December 31, 2016
|
(4,492
|
)
|
|
(4,051
|
)
|
||
Total Tompkins Financial Corporation Shareholders’ Equity
|
574,780
|
|
|
547,953
|
|
||
Noncontrolling interests
|
1,422
|
|
|
1,452
|
|
||
Total Equity
|
$
|
576,202
|
|
|
$
|
549,405
|
|
Total Liabilities and Equity
|
$
|
6,648,290
|
|
|
$
|
6,236,756
|
|
|
Year ended December 31,
|
||||||||||
(in thousands, except per share data)
|
2017
|
|
2016
|
|
2015
|
||||||
INTEREST AND DIVIDEND INCOME
|
|
|
|
|
|
||||||
Loans
|
$
|
191,410
|
|
|
$
|
169,630
|
|
|
$
|
154,636
|
|
Due from banks
|
37
|
|
|
6
|
|
|
4
|
|
|||
Trading securities
|
0
|
|
|
220
|
|
|
352
|
|
|||
Available-for-sale securities
|
29,721
|
|
|
27,846
|
|
|
29,525
|
|
|||
Held-to-maturity securities
|
3,475
|
|
|
3,603
|
|
|
3,100
|
|
|||
Federal Home Loan Bank stock and Federal Reserve Bank stock
|
2,121
|
|
|
1,434
|
|
|
1,129
|
|
|||
Total Interest and Dividend Income
|
226,764
|
|
|
202,739
|
|
|
188,746
|
|
|||
INTEREST EXPENSE
|
|
|
|
|
|
||||||
Time certificates of deposits of $250,000 or more
|
1,880
|
|
|
1,654
|
|
|
1,367
|
|
|||
Other deposits
|
10,253
|
|
|
9,059
|
|
|
9,084
|
|
|||
Federal funds purchased and securities sold under agreements to repurchase
|
235
|
|
|
2,228
|
|
|
2,709
|
|
|||
Trust preferred debentures
|
1,158
|
|
|
2,390
|
|
|
2,308
|
|
|||
Other borrowings
|
11,934
|
|
|
6,772
|
|
|
4,897
|
|
|||
Total Interest Expense
|
25,460
|
|
|
22,103
|
|
|
20,365
|
|
|||
Net Interest Income
|
201,304
|
|
|
180,636
|
|
|
168,381
|
|
|||
Less: Provision for loan and lease losses
|
4,161
|
|
|
4,321
|
|
|
2,945
|
|
|||
Net Interest Income After Provision for Loan and Lease Losses
|
197,143
|
|
|
176,315
|
|
|
165,436
|
|
|||
NONINTEREST INCOME
|
|
|
|
|
|
||||||
Insurance commissions and fees
|
28,778
|
|
|
29,492
|
|
|
29,286
|
|
|||
Investment services income
|
15,665
|
|
|
15,203
|
|
|
15,416
|
|
|||
Service charges on deposit accounts
|
8,437
|
|
|
8,793
|
|
|
9,325
|
|
|||
Card services income
|
9,100
|
|
|
8,058
|
|
|
7,837
|
|
|||
Mark-to-market loss on trading securities
|
0
|
|
|
(182
|
)
|
|
(295
|
)
|
|||
Mark-to-market gain on liabilities held at fair value
|
0
|
|
|
227
|
|
|
385
|
|
|||
Other income
|
7,631
|
|
|
6,291
|
|
|
8,878
|
|
|||
Net (loss) gain on securities transactions
|
(407
|
)
|
|
926
|
|
|
1,108
|
|
|||
Total Noninterest Income
|
69,204
|
|
|
68,808
|
|
|
71,940
|
|
|||
NONINTEREST EXPENSES
|
|
|
|
|
|
||||||
Salaries and wages
|
81,590
|
|
|
76,950
|
|
|
72,707
|
|
|||
Pension and other employee benefits
|
21,870
|
|
|
20,496
|
|
|
16,025
|
|
|||
Net occupancy expense of premises
|
13,214
|
|
|
12,521
|
|
|
12,312
|
|
|||
Furniture and fixture expense
|
7,028
|
|
|
6,450
|
|
|
6,146
|
|
|||
FDIC insurance
|
2,527
|
|
|
3,024
|
|
|
2,992
|
|
|||
Amortization of intangible assets
|
1,932
|
|
|
2,090
|
|
|
2,013
|
|
|||
Other operating expenses
|
42,944
|
|
|
37,076
|
|
|
37,667
|
|
|||
Total Noninterest Expenses
|
171,105
|
|
|
158,607
|
|
|
149,862
|
|
|||
Income Before Income Tax Expense
|
95,242
|
|
|
86,516
|
|
|
87,514
|
|
|||
Income Tax Expense
|
42,620
|
|
|
27,045
|
|
|
28,962
|
|
|||
Net Income Attributable to Noncontrolling Interests and Tompkins Financial Corporation
|
52,622
|
|
|
59,471
|
|
|
58,552
|
|
|||
Less: Net income attributable to noncontrolling interests
|
128
|
|
|
131
|
|
|
131
|
|
|||
Net Income Attributable to Tompkins Financial Corporation
|
$
|
52,494
|
|
|
$
|
59,340
|
|
|
$
|
58,421
|
|
Basic Earnings Per Share
|
$
|
3.46
|
|
|
$
|
3.94
|
|
|
$
|
3.91
|
|
Diluted Earnings Per Share
|
$
|
3.43
|
|
|
$
|
3.91
|
|
|
$
|
3.87
|
|
|
Year ended December 31,
|
||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Net income attributable to noncontrolling interests and Tompkins Financial Corporation
|
$
|
52,622
|
|
|
$
|
59,471
|
|
|
$
|
58,552
|
|
Other comprehensive income (loss), net of tax:
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
Available-for-sale securities:
|
|
|
|
|
|
||||||
Change in net unrealized gain/loss during the period
|
(2,681
|
)
|
|
(4,615
|
)
|
|
(4,946
|
)
|
|||
Reclassification adjustment for net realized loss (gain) on sales included in available-for-sale securities
|
244
|
|
|
(556
|
)
|
|
(665
|
)
|
|||
|
|
|
|
|
|
||||||
Employee benefit plans:
|
|
|
|
|
|
||||||
Net retirement plan gain (loss)
|
(3,434
|
)
|
|
(1,673
|
)
|
|
1,108
|
|
|||
Net retirement plan prior service cost
|
728
|
|
|
(113
|
)
|
|
0
|
|
|||
Amortization of net retirement plan actuarial gain
|
905
|
|
|
803
|
|
|
1,331
|
|
|||
Amortization of net retirement plan prior service cost (credit)
|
9
|
|
|
46
|
|
|
(3,818
|
)
|
|||
|
|
|
|
|
|
||||||
Other comprehensive loss
|
(4,229
|
)
|
|
(6,108
|
)
|
|
(6,990
|
)
|
|||
|
|
|
|
|
|
||||||
Subtotal comprehensive income attributable to noncontrolling interests and Tompkins Financial Corporation
|
48,393
|
|
|
53,363
|
|
|
51,562
|
|
|||
Less: Total comprehensive income attributable to noncontrolling interests
|
(128
|
)
|
|
(131
|
)
|
|
(131
|
)
|
|||
Total comprehensive income attributable to Tompkins Financial Corporation
|
$
|
48,265
|
|
|
$
|
53,232
|
|
|
$
|
51,431
|
|
|
Year ended December 31,
|
||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
OPERATING ACTIVITIES
|
|
|
|
|
|
||||||
Net income attributable to Tompkins Financial Corporation
|
$
|
52,494
|
|
|
$
|
59,340
|
|
|
$
|
58,421
|
|
Adjustments to reconcile net income, attributable to Tompkins Financial Corporation, to net cash provided by operating activities:
|
|
|
|
|
|
||||||
Provision for loan and lease losses
|
4,161
|
|
|
4,321
|
|
|
2,945
|
|
|||
Depreciation and amortization of premises, equipment, and software
|
8,269
|
|
|
6,829
|
|
|
6,468
|
|
|||
Accretion related to purchase accounting
|
(2,978
|
)
|
|
(3,324
|
)
|
|
(5,453
|
)
|
|||
Amortization of intangible assets
|
1,932
|
|
|
2,090
|
|
|
2,013
|
|
|||
Earnings from corporate owned life insurance, net
|
(2,196
|
)
|
|
(2,106
|
)
|
|
(2,064
|
)
|
|||
Net amortization on securities
|
10,483
|
|
|
11,623
|
|
|
11,907
|
|
|||
Mark-to-market loss on trading securities
|
0
|
|
|
182
|
|
|
295
|
|
|||
Mark-to-market gain loss on liabilities held at fair value
|
0
|
|
|
(227
|
)
|
|
(385
|
)
|
|||
Deferred income tax expense
|
14,598
|
|
|
1,859
|
|
|
2,904
|
|
|||
Net loss (gain) on sale of securities transactions
|
407
|
|
|
(926
|
)
|
|
(1,108
|
)
|
|||
Net gain on sale of loans
|
(50
|
)
|
|
(95
|
)
|
|
(54
|
)
|
|||
Proceeds from sale of loans
|
4,601
|
|
|
4,001
|
|
|
3,282
|
|
|||
Loans originated for sale
|
(4,831
|
)
|
|
(3,360
|
)
|
|
(3,774
|
)
|
|||
Gain on pension plan curtailment
|
0
|
|
|
0
|
|
|
(6,003
|
)
|
|||
Net (gain) loss on sale of bank premises and equipment
|
(30
|
)
|
|
7
|
|
|
11
|
|
|||
Net excess tax benefit from stock based compensation
|
1,635
|
|
|
1,433
|
|
|
358
|
|
|||
Stock-based compensation expense
|
2,956
|
|
|
2,270
|
|
|
1,903
|
|
|||
(Increase) decrease in interest receivable
|
(2,731
|
)
|
|
(957
|
)
|
|
85
|
|
|||
Increase (decrease) in accrued interest payable
|
152
|
|
|
(71
|
)
|
|
105
|
|
|||
Proceeds from maturities, calls and principal paydowns of trading securities
|
0
|
|
|
5,781
|
|
|
1,315
|
|
|||
Proceeds from sales of trading securities
|
0
|
|
|
1,397
|
|
|
0
|
|
|||
Contribution to pension plan
|
(1,750
|
)
|
|
(1,300
|
)
|
|
0
|
|
|||
Other, net
|
(1,057
|
)
|
|
2,093
|
|
|
9,631
|
|
|||
Net Cash Provided by Operating Activities
|
86,065
|
|
|
90,860
|
|
|
82,802
|
|
|||
INVESTING ACTIVITIES
|
|
|
|
|
|
||||||
Proceeds from maturities, calls and principal paydowns of available-for-sale securities
|
166,625
|
|
|
244,456
|
|
|
249,800
|
|
|||
Proceeds from sales of available-for-sale securities
|
64,106
|
|
|
97,296
|
|
|
137,594
|
|
|||
Proceeds from maturities, calls and principal paydowns of held-to-maturity securities
|
8,068
|
|
|
11,776
|
|
|
11,709
|
|
|||
Purchases of available-for-sale securities
|
(208,502
|
)
|
|
(404,528
|
)
|
|
(391,116
|
)
|
|||
Purchases of held-to-maturity securities
|
(5,556
|
)
|
|
(8,207
|
)
|
|
(69,947
|
)
|
|||
Net increase in loans and leases
|
(411,770
|
)
|
|
(485,067
|
)
|
|
(375,205
|
)
|
|||
Net increase in Federal Home Loan Bank and Federal Reserve Bank Stock
|
(7,365
|
)
|
|
(13,164
|
)
|
|
(8,710
|
)
|
|||
Proceeds from sale of bank premises and equipment
|
157
|
|
|
100
|
|
|
87
|
|
|||
Purchases of bank premises, equipment and software
|
(35,290
|
)
|
|
(16,274
|
)
|
|
(6,343
|
)
|
|||
Other, net
|
2,576
|
|
|
119
|
|
|
(789
|
)
|
|||
Net Cash Used in Investing Activities
|
(426,951
|
)
|
|
(573,493
|
)
|
|
(452,920
|
)
|
|||
FINANCING ACTIVITIES
|
|
|
|
|
|
||||||
Net increase in demand, money market, and savings deposits
|
335,207
|
|
|
214,178
|
|
|
269,100
|
|
|||
Net (decrease) increase in time deposits
|
(121,459
|
)
|
|
16,946
|
|
|
(41,440
|
)
|
|||
Net increase (decrease) in securities sold under agreements to repurchase and Federal funds purchased
|
6,115
|
|
|
(67,279
|
)
|
|
(9,400
|
)
|
|||
Increase in other borrowings
|
750,918
|
|
|
761,001
|
|
|
452,759
|
|
|||
Redemption of trust preferred debentures
|
(21,161
|
)
|
|
0
|
|
|
0
|
|
|||
Repayment of other borrowings
|
(563,991
|
)
|
|
(412,245
|
)
|
|
(272,630
|
)
|
|||
Net shares issued related to restricted stock awards
|
(1,294
|
)
|
|
(835
|
)
|
|
(195
|
)
|
|||
Cash dividends
|
(27,627
|
)
|
|
(26,603
|
)
|
|
(25,411
|
)
|
|||
Repurchase of common stock
|
0
|
|
|
(1,166
|
)
|
|
(3,505
|
)
|
|||
Shares issued for dividend reinvestment plan
|
2,872
|
|
|
3,201
|
|
|
0
|
|
|||
Shares issued for employee stock ownership plan
|
2,296
|
|
|
1,938
|
|
|
1,595
|
|
|||
Common stock issued
|
0
|
|
|
0
|
|
|
50
|
|
|||
Net proceeds from exercise of stock options
|
(641
|
)
|
|
(806
|
)
|
|
1,382
|
|
|||
Net Cash Provided by Financing Activities
|
361,235
|
|
|
488,330
|
|
|
372,305
|
|
|||
Net Increase in Cash and Cash Equivalents
|
20,349
|
|
|
5,697
|
|
|
2,187
|
|
|||
Cash and cash equivalents at beginning of year
|
63,954
|
|
|
58,257
|
|
|
56,070
|
|
|||
Total Cash & Cash Equivalents at End of Year
|
$
|
84,303
|
|
|
$
|
63,954
|
|
|
$
|
58,257
|
|
|
Year ended December 31,
|
||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
|
|
|
|
|
|
||||||
Cash paid during the year for - Interest
|
$
|
26,387
|
|
|
$
|
23,465
|
|
|
$
|
21,768
|
|
Cash paid, net of refunds, during the year for - Income taxes
|
31,011
|
|
|
24,665
|
|
|
22,672
|
|
|||
Non-cash investing and financing activities:
|
|
|
|
|
|
||||||
Transfer of loans to other real estate owned
|
2,886
|
|
|
1,179
|
|
|
1,276
|
|
TOMPKINS FINANCIAL CORPORATION
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY
|
|||||||||||||||||||||||||||
(in thousands except share and per share data)
|
Common
Stock |
|
Additional Paid-in
Capital |
|
Retained
Earnings |
|
Accumulated Other Comprehensive (Loss) Income
|
|
Treasury
Stock |
|
Non-
controlling Interests |
|
Total
|
||||||||||||||
Balances at December 31, 2014
|
$
|
1,493
|
|
|
$
|
348,889
|
|
|
$
|
165,160
|
|
|
$
|
(24,011
|
)
|
|
$
|
(3,400
|
)
|
|
$
|
1,452
|
|
|
$
|
489,583
|
|
Net income attributable to noncontrolling
interests and Tompkins Financial Corporation
|
|
|
|
|
58,421
|
|
|
|
|
|
|
131
|
|
|
58,552
|
|
|||||||||||
Other comprehensive loss
|
|
|
|
|
|
|
(6,990
|
)
|
|
|
|
|
|
(6,990
|
)
|
||||||||||||
Total Comprehensive Income
|
|
|
|
|
|
|
|
|
|
|
|
|
51,562
|
|
|||||||||||||
Cash dividends ($1.70 per share)
|
|
|
|
|
(25,411
|
)
|
|
|
|
|
|
|
|
(25,411
|
)
|
||||||||||||
Net exercise of stock options and related tax benefit (80,681 shares, net)
|
8
|
|
|
1,732
|
|
|
|
|
|
|
|
|
|
|
1,740
|
|
|||||||||||
Common stock repurchased and returned
to unissued status (67,481 shares)
|
(6
|
)
|
|
(3,499
|
)
|
|
|
|
|
|
|
|
|
|
(3,505
|
)
|
|||||||||||
Stock-based compensation expense
|
|
|
1,903
|
|
|
|
|
|
|
|
|
|
|
1,903
|
|
||||||||||||
Shares issued for employee stock ownership plan
(29,575 shares)
|
3
|
|
|
1,592
|
|
|
|
|
|
|
|
|
|
|
1,595
|
|
|||||||||||
Directors deferred compensation plan
(4,690 shares)
|
|
|
|
355
|
|
|
|
|
|
|
(355
|
)
|
|
|
|
0
|
|
||||||||||
Restricted stock activity (40,505 shares)
|
4
|
|
|
(199
|
)
|
|
|
|
|
|
|
|
|
|
|
(195
|
)
|
||||||||||
Shares issued for purchase acquisition (960 shares)
|
|
|
|
50
|
|
|
|
|
|
|
|
|
|
|
50
|
|
|||||||||||
Adoption of ASU 2014-01 Investments
Accounting for Investments in Qualified
Affordable Housing Projects
|
|
|
|
|
|
(725
|
)
|
|
|
|
|
|
|
|
(725
|
)
|
|||||||||||
Dividend to noncontrolling interests
|
|
|
|
|
|
|
|
|
|
|
(131
|
)
|
|
(131
|
)
|
||||||||||||
Balances at December 31, 2015
|
$
|
1,502
|
|
|
$
|
350,823
|
|
|
$
|
197,445
|
|
|
$
|
(31,001
|
)
|
|
$
|
(3,755
|
)
|
|
$
|
1,452
|
|
|
$
|
516,466
|
|
Net income attributable to noncontrolling
interests and Tompkins Financial Corporation
|
|
|
|
|
59,340
|
|
|
|
|
|
|
131
|
|
|
59,471
|
|
|||||||||||
Other comprehensive loss
|
|
|
|
|
|
|
(6,108
|
)
|
|
|
|
|
|
(6,108
|
)
|
||||||||||||
Total Comprehensive Income
|
|
|
|
|
|
|
|
|
|
|
|
|
53,363
|
|
|||||||||||||
Cash dividends ($1.77 per share)
|
|
|
|
|
(26,603
|
)
|
|
|
|
|
|
|
|
(26,603
|
)
|
||||||||||||
Net exercise of stock options (39,931 shares, net)
|
4
|
|
|
(810
|
)
|
|
|
|
|
|
|
|
|
|
(806
|
)
|
|||||||||||
Common stock repurchased and returned
to unissued status (22,356 shares)
|
(2
|
)
|
|
(1,164
|
)
|
|
|
|
|
|
|
|
|
|
(1,166
|
)
|
|||||||||||
Stock-based compensation expense
|
|
|
2,270
|
|
|
|
|
|
|
|
|
|
|
2,270
|
|
||||||||||||
Shares issued for dividend reinvestment plan (45,148 shares)
|
4
|
|
|
3,197
|
|
|
|
|
|
|
|
|
|
|
3,201
|
|
|||||||||||
Shares issued for employee stock ownership plan
(31,435 shares)
|
3
|
|
|
1,935
|
|
|
|
|
|
|
|
|
|
|
|
1,938
|
|
||||||||||
Directors deferred compensation plan
(1,871 shares)
|
|
|
|
296
|
|
|
|
|
|
|
(296
|
)
|
|
|
|
0
|
|
||||||||||
Restricted stock activity (29,511 shares)
|
3
|
|
|
(838
|
)
|
|
|
|
|
|
|
|
|
|
(835
|
)
|
|||||||||||
Shares issued for purchase acquisition (32,553 shares)
|
3
|
|
|
1,705
|
|
|
|
|
|
|
|
|
|
|
|
1,708
|
|
||||||||||
Dividend to noncontrolling interests
|
|
|
|
|
|
|
|
|
|
|
(131
|
)
|
|
(131
|
)
|
||||||||||||
Balances at December 31, 2016
|
$
|
1,517
|
|
|
$
|
357,414
|
|
|
$
|
230,182
|
|
|
$
|
(37,109
|
)
|
|
$
|
(4,051
|
)
|
|
$
|
1,452
|
|
|
$
|
549,405
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOMPKINS FINANCIAL CORPORATION
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY (continued)
|
|||||||||||||||||||||||||||
(in thousands except share and per share data)
|
Common
Stock |
|
Additional Paid-in
Capital |
|
Retained
Earnings |
|
Accumulated Other Comprehensive (Loss) Income
|
|
Treasury
Stock |
|
Non-
controlling Interests |
|
Total
|
||||||||||||||
Balances at December 31, 2016
|
$
|
1,517
|
|
|
$
|
357,414
|
|
|
$
|
230,182
|
|
|
$
|
(37,109
|
)
|
|
$
|
(4,051
|
)
|
|
$
|
1,452
|
|
|
$
|
549,405
|
|
Reclassification due to the adoption of ASU No. 2018-02
|
|
|
|
|
9,958
|
|
|
(9,958
|
)
|
|
|
|
|
|
0
|
|
|||||||||||
Net income attributable to noncontrolling
interests and Tompkins Financial Corporation
|
|
|
|
|
52,494
|
|
|
|
|
|
|
128
|
|
|
52,622
|
|
|||||||||||
Other comprehensive loss
|
|
|
|
|
|
|
(4,229
|
)
|
|
|
|
|
|
(4,229
|
)
|
||||||||||||
Total Comprehensive Income
|
|
|
|
|
|
|
|
|
|
|
|
|
48,393
|
|
|||||||||||||
Cash dividends ($1.82 per share)
|
|
|
|
|
(27,627
|
)
|
|
|
|
|
|
|
|
(27,627
|
)
|
||||||||||||
Net exercise of stock options (22,277 shares, net)
|
2
|
|
|
(643
|
)
|
|
|
|
|
|
|
|
|
|
(641
|
)
|
|||||||||||
Stock-based compensation expense
|
|
|
2,956
|
|
|
|
|
|
|
|
|
|
|
2,956
|
|
||||||||||||
Shares issued for dividend reinvestment plan (34,750 shares)
|
4
|
|
|
2,868
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,872
|
|
|||||||
Shares issued for employee stock ownership plan
(27,412 shares)
|
3
|
|
|
2,293
|
|
|
|
|
|
|
|
|
|
|
2,296
|
|
|||||||||||
Directors deferred compensation plan
(2,808 shares)
|
|
|
441
|
|
|
|
|
|
|
(441
|
)
|
|
|
|
0
|
|
|||||||||||
Restricted stock activity (45,269 shares)
|
4
|
|
|
(1,298
|
)
|
|
|
|
|
|
|
|
|
|
(1,294
|
)
|
|||||||||||
Partial repurchase of noncontrolling interest
|
0
|
|
|
0
|
|
|
|
|
|
|
|
|
(30
|
)
|
|
(30
|
)
|
||||||||||
Dividend to noncontrolling interests
|
|
|
|
|
|
|
|
|
|
|
(128
|
)
|
|
(128
|
)
|
||||||||||||
Balances at December 31, 2017
|
$
|
1,530
|
|
|
$
|
364,031
|
|
|
$
|
265,007
|
|
|
$
|
(51,296
|
)
|
|
$
|
(4,492
|
)
|
|
$
|
1,422
|
|
|
$
|
576,202
|
|
|
Available-for-Sale Securities
|
||||||||||||||
December 31, 2017
|
Amortized
Cost |
|
Gross Unrealized Gains
|
|
Gross Unrealized Losses
|
|
Fair Value
|
||||||||
(in thousands)
|
|
|
|
|
|
|
|
||||||||
Obligations of U.S. Government sponsored entities
|
$
|
507,248
|
|
|
$
|
278
|
|
|
$
|
3,333
|
|
|
$
|
504,193
|
|
Obligations of U.S. states and political subdivisions
|
91,659
|
|
|
281
|
|
|
421
|
|
|
91,519
|
|
||||
Mortgage-backed securities – residential, issued by
|
|
|
|
|
|
|
|
||||||||
U.S. Government agencies
|
139,747
|
|
|
659
|
|
|
2,671
|
|
|
137,735
|
|
||||
U.S. Government sponsored entities
|
667,767
|
|
|
1,045
|
|
|
12,634
|
|
|
656,178
|
|
||||
Non-U.S. Government agencies or sponsored entities
|
75
|
|
|
0
|
|
|
0
|
|
|
75
|
|
||||
U.S. corporate debt securities
|
2,500
|
|
|
0
|
|
|
338
|
|
|
2,162
|
|
||||
Total debt securities
|
1,408,996
|
|
|
2,263
|
|
|
19,397
|
|
|
1,391,862
|
|
||||
Equity securities
|
1,000
|
|
|
0
|
|
|
87
|
|
|
913
|
|
||||
Total available-for-sale securities
|
$
|
1,409,996
|
|
|
$
|
2,263
|
|
|
$
|
19,484
|
|
|
$
|
1,392,775
|
|
|
Available-for-Sale Securities
|
||||||||||||||
December 31, 2016
|
Amortized
Cost |
|
Gross Unrealized Gains
|
|
Gross Unrealized Losses
|
|
Fair Value
|
||||||||
(in thousands)
|
|
|
|
|
|
|
|
||||||||
Obligations of U.S. Government sponsored entities
|
$
|
527,057
|
|
|
$
|
2,873
|
|
|
$
|
2,303
|
|
|
$
|
527,627
|
|
Obligations of U.S. states and political subdivisions
|
89,910
|
|
|
286
|
|
|
1,140
|
|
|
89,056
|
|
||||
Mortgage-backed securities – residential, issued by
|
|
|
|
|
|
|
|
||||||||
U.S. Government agencies
|
159,417
|
|
|
1,081
|
|
|
2,272
|
|
|
158,226
|
|
||||
U.S. Government sponsored entities
|
662,724
|
|
|
1,993
|
|
|
13,287
|
|
|
651,430
|
|
||||
Non-U.S. Government agencies or sponsored entities
|
116
|
|
|
0
|
|
|
0
|
|
|
116
|
|
||||
U.S. corporate debt securities
|
2,500
|
|
|
0
|
|
|
338
|
|
|
2,162
|
|
||||
Total debt securities
|
1,441,724
|
|
|
6,233
|
|
|
19,340
|
|
|
1,428,617
|
|
||||
Equity securities
|
1,000
|
|
|
0
|
|
|
79
|
|
|
921
|
|
||||
Total available-for-sale securities
|
$
|
1,442,724
|
|
|
$
|
6,233
|
|
|
$
|
19,419
|
|
|
$
|
1,429,538
|
|
|
Held-to-Maturity Securities
|
||||||||||||||
December 31, 2017
|
Amortized Cost
|
|
Gross Unrealized
Gains |
|
Gross Unrealized
Losses |
|
Fair Value
|
||||||||
(in thousands)
|
|
|
|
|
|
|
|
||||||||
Obligations of U.S. Government sponsored entities
|
$
|
131,707
|
|
|
$
|
1,103
|
|
|
$
|
90
|
|
|
$
|
132,720
|
|
Obligations of U.S. states and political subdivisions
|
7,509
|
|
|
93
|
|
|
7
|
|
|
7,595
|
|
||||
Total held-to-maturity debt securities
|
$
|
139,216
|
|
|
$
|
1,196
|
|
|
$
|
97
|
|
|
$
|
140,315
|
|
|
Held-to-Maturity Securities
|
||||||||||||||
December 31, 2016
|
Amortized Cost
|
|
Gross Unrealized
Gains |
|
Gross Unrealized
Losses |
|
Fair Value |
||||||||
(in thousands)
|
|
|
|
|
|
|
|
||||||||
Obligations of U.S. Government sponsored entities
|
$
|
132,098
|
|
|
$
|
804
|
|
|
$
|
283
|
|
|
$
|
132,619
|
|
Obligations of U.S. states and political subdivisions
|
10,021
|
|
|
195
|
|
|
3
|
|
|
10,213
|
|
||||
Total held-to-maturity debt securities
|
$
|
142,119
|
|
|
$
|
999
|
|
|
$
|
286
|
|
|
$
|
142,832
|
|
|
Year ended December 31,
|
||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Proceeds from sales
|
$
|
64,106
|
|
|
$
|
97,296
|
|
|
$
|
137,594
|
|
Gross realized gains
|
19
|
|
|
894
|
|
|
1,359
|
|
|||
Gross realized losses
|
(426
|
)
|
|
0
|
|
|
(282
|
)
|
|||
Net (loss) gain on sales of available-for-sale securities
|
$
|
(407
|
)
|
|
$
|
894
|
|
|
$
|
1,077
|
|
December 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Available-for-Sale Securities
|
Less than 12 Months
|
|
12 Months or Longer
|
|
Total
|
||||||||||||||||||
(in thousands)
|
Fair Value
|
|
Unrealized
Losses |
|
Fair Value
|
|
Unrealized
Losses |
|
Fair Value
|
|
Unrealized
Losses |
||||||||||||
Obligations of U.S. Government sponsored entities
|
$
|
319,545
|
|
|
$
|
2,301
|
|
|
$
|
39,791
|
|
|
$
|
1,032
|
|
|
$
|
359,336
|
|
|
$
|
3,333
|
|
Obligations of U.S. states and political subdivisions
|
39,571
|
|
|
219
|
|
|
11,729
|
|
|
202
|
|
|
51,300
|
|
|
421
|
|
||||||
Mortgage-backed securities – residential, issued by
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Government agencies
|
33,056
|
|
|
452
|
|
|
86,562
|
|
|
2,219
|
|
|
119,618
|
|
|
2,671
|
|
||||||
U.S. Government sponsored entities
|
208,524
|
|
|
1,941
|
|
|
410,767
|
|
|
10,693
|
|
|
619,291
|
|
|
12,634
|
|
||||||
U.S. corporate debt securities
|
0
|
|
|
0
|
|
|
2,163
|
|
|
338
|
|
|
2,163
|
|
|
338
|
|
||||||
Equity securities
|
0
|
|
|
0
|
|
|
913
|
|
|
87
|
|
|
913
|
|
|
87
|
|
||||||
Total available-for-sale securities
|
$
|
600,696
|
|
|
$
|
4,913
|
|
|
$
|
551,925
|
|
|
$
|
14,571
|
|
|
$
|
1,152,621
|
|
|
$
|
19,484
|
|
Held-to-Maturity Securities
|
Less than 12 Months
|
|
12 Months or Longer
|
|
Total
|
||||||||||||||||||
(in thousands)
|
Fair Value
|
|
Unrealized
Losses |
|
Fair Value
|
|
Unrealized
Losses |
|
Fair Value
|
|
Unrealized Losses
|
||||||||||||
Obligations of U.S. Government sponsored entities
|
$
|
20,505
|
|
|
$
|
90
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
20,505
|
|
|
$
|
90
|
|
Obligations of U.S. sponsored entities
|
5,094
|
|
|
7
|
|
|
0
|
|
|
0
|
|
|
5,094
|
|
|
7
|
|
||||||
Total held-to-maturity securities
|
$
|
25,599
|
|
|
$
|
97
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
25,599
|
|
|
$
|
97
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Available-for-Sale Securities
|
Less than 12 Months
|
|
12 Months or Longer
|
|
Total
|
||||||||||||||||||
(in thousands)
|
Fair Value
|
|
Unrealized
Losses |
|
Fair Value
|
|
Unrealized
Losses |
|
Fair Value
|
|
Unrealized
Losses |
||||||||||||
Obligations of U.S. Government sponsored entities
|
$
|
208,940
|
|
|
$
|
2,303
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
208,940
|
|
|
$
|
2,303
|
|
Obligations of U.S. states and political subdivisions
|
58,852
|
|
|
1,139
|
|
|
751
|
|
|
1
|
|
|
59,603
|
|
|
1,140
|
|
||||||
Mortgage-backed securities – residential, issued by
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
U.S. Government agencies
|
98,307
|
|
|
1,570
|
|
|
22,376
|
|
|
702
|
|
|
120,683
|
|
|
2,272
|
|
||||||
U.S. Government sponsored entities
|
463,009
|
|
|
8,933
|
|
|
123,915
|
|
|
4,354
|
|
|
586,924
|
|
|
13,287
|
|
||||||
U.S. corporate debt securities
|
0
|
|
|
0
|
|
|
2,162
|
|
|
338
|
|
|
2,162
|
|
|
338
|
|
||||||
Equity securities
|
0
|
|
|
0
|
|
|
921
|
|
|
79
|
|
|
921
|
|
|
79
|
|
||||||
Total available-for-sale securities
|
$
|
829,108
|
|
|
$
|
13,945
|
|
|
$
|
150,125
|
|
|
$
|
5,474
|
|
|
$
|
979,233
|
|
|
$
|
19,419
|
|
Held-to-Maturity Securities
|
Less than 12 Months
|
|
12 Months or Longer
|
|
Total
|
||||||||||||||||||
(in thousands)
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
|
Fair Value
|
|
Unrealized Losses
|
||||||||||||
Obligations of U.S. Government sponsored entities
|
$
|
40,802
|
|
|
$
|
283
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
40,802
|
|
|
$
|
283
|
|
Obligations of U.S. sponsored entities
|
2,567
|
|
|
3
|
|
|
0
|
|
|
0
|
|
|
2,567
|
|
|
3
|
|
||||||
Total held-to-maturity securities
|
$
|
43,369
|
|
|
$
|
286
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
43,369
|
|
|
$
|
286
|
|
December 31, 2017
|
|
|
|
||||
(in thousands)
|
Amortized Cost
|
|
Fair Value
|
||||
Available-for-sale securities:
|
|
|
|
||||
Due in one year or less
|
$
|
51,909
|
|
|
$
|
51,932
|
|
Due after one year through five years
|
368,846
|
|
|
367,377
|
|
||
Due after five years through ten years
|
162,061
|
|
|
160,374
|
|
||
Due after ten years
|
18,591
|
|
|
18,191
|
|
||
Total
|
601,407
|
|
|
597,874
|
|
||
Mortgage-backed securities
|
807,589
|
|
|
793,988
|
|
||
Total available-for-sale debt securities
|
$
|
1,408,996
|
|
|
$
|
1,391,862
|
|
December 31, 2016
|
|
|
|
||||
(in thousands)
|
Amortized Cost
|
|
Fair Value
|
||||
Available-for-sale securities:
|
|
|
|
||||
Due in one year or less
|
$
|
17,878
|
|
|
$
|
18,034
|
|
Due after one year through five years
|
376,777
|
|
|
378,631
|
|
||
Due after five years through ten years
|
210,985
|
|
|
208,999
|
|
||
Due after ten years
|
13,827
|
|
|
13,181
|
|
||
Total
|
619,467
|
|
|
618,845
|
|
||
Mortgage-backed securities
|
822,257
|
|
|
809,772
|
|
||
Total available-for-sale debt securities
|
$
|
1,441,724
|
|
|
$
|
1,428,617
|
|
December 31, 2017
|
|
|
|
||||
(in thousands)
|
Amortized Cost
|
|
Fair Value
|
||||
Held-to-maturity securities:
|
|
|
|
||||
Due in one year or less
|
$
|
5,980
|
|
|
$
|
5,979
|
|
Due after one year through five years
|
51,936
|
|
|
52,227
|
|
||
Due after five years through ten years
|
81,300
|
|
|
82,109
|
|
||
Due after ten years
|
0
|
|
|
0
|
|
||
Total held-to-maturity debt securities
|
$
|
139,216
|
|
|
$
|
140,315
|
|
December 31, 2016
|
|
|
|
||||
(in thousands)
|
Amortized Cost
|
|
Fair Value
|
||||
Held-to-maturity securities:
|
|
|
|
||||
Due in one year or less
|
$
|
7,452
|
|
|
$
|
7,469
|
|
Due after one year through five years
|
27,480
|
|
|
27,866
|
|
||
Due after five years through ten years
|
107,187
|
|
|
107,497
|
|
||
Due after ten years
|
0
|
|
|
0
|
|
||
Total held-to-maturity debt securities
|
$
|
142,119
|
|
|
$
|
142,832
|
|
|
December 31, 2017
|
|
December 31, 2016
|
||||||||||||||||||||
(in thousands)
|
Originated
|
|
Acquired
|
|
Total
Loans and Leases |
|
Originated
|
|
Acquired
|
|
Total
Loans and Leases |
||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Agriculture
|
$
|
108,608
|
|
|
$
|
0
|
|
|
$
|
108,608
|
|
|
$
|
118,247
|
|
|
$
|
0
|
|
|
$
|
118,247
|
|
Commercial and industrial other
|
932,067
|
|
|
50,976
|
|
|
983,043
|
|
|
847,055
|
|
|
79,317
|
|
|
926,372
|
|
||||||
Subtotal commercial and industrial
|
1,040,675
|
|
|
50,976
|
|
|
1,091,651
|
|
|
965,302
|
|
|
79,317
|
|
|
1,044,619
|
|
||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction
|
202,486
|
|
|
1,480
|
|
|
203,966
|
|
|
135,834
|
|
|
8,936
|
|
|
144,770
|
|
||||||
Agriculture
|
129,712
|
|
|
247
|
|
|
129,959
|
|
|
102,509
|
|
|
267
|
|
|
102,776
|
|
||||||
Commercial real estate other
|
1,660,782
|
|
|
206,020
|
|
|
1,866,802
|
|
|
1,431,690
|
|
|
241,605
|
|
|
1,673,295
|
|
||||||
Subtotal commercial real estate
|
1,992,980
|
|
|
207,747
|
|
|
2,200,727
|
|
|
1,670,033
|
|
|
250,808
|
|
|
1,920,841
|
|
||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity
|
212,812
|
|
|
28,444
|
|
|
241,256
|
|
|
209,277
|
|
|
37,737
|
|
|
247,014
|
|
||||||
Mortgages
|
1,039,040
|
|
|
22,645
|
|
|
1,061,685
|
|
|
947,378
|
|
|
25,423
|
|
|
972,801
|
|
||||||
Subtotal residential real estate
|
1,251,852
|
|
|
51,089
|
|
|
1,302,941
|
|
|
1,156,655
|
|
|
63,160
|
|
|
1,219,815
|
|
||||||
Consumer and other
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Indirect
|
12,144
|
|
|
0
|
|
|
12,144
|
|
|
14,835
|
|
|
0
|
|
|
14,835
|
|
||||||
Consumer and other
|
50,214
|
|
|
765
|
|
|
50,979
|
|
|
44,393
|
|
|
826
|
|
|
45,219
|
|
||||||
Subtotal consumer and other
|
62,358
|
|
|
765
|
|
|
63,123
|
|
|
59,228
|
|
|
826
|
|
|
60,054
|
|
||||||
Leases
|
14,467
|
|
|
|
|
14,467
|
|
|
16,650
|
|
|
|
|
|
16,650
|
|
|||||||
Total loans and leases
|
4,362,332
|
|
|
310,577
|
|
|
4,672,909
|
|
|
3,867,868
|
|
|
394,111
|
|
|
4,261,979
|
|
||||||
Less: unearned income and deferred costs and fees
|
(3,789
|
)
|
|
0
|
|
|
(3,789
|
)
|
|
(3,946
|
)
|
|
0
|
|
|
(3,946
|
)
|
||||||
Total loans and leases, net of unearned income and deferred costs and fees
|
$
|
4,358,543
|
|
|
$
|
310,577
|
|
|
$
|
4,669,120
|
|
|
$
|
3,863,922
|
|
|
$
|
394,111
|
|
|
$
|
4,258,033
|
|
(in thousands)
|
2017
|
|
2016
|
||||
Acquired Credit Impaired Loans
|
|
|
|
||||
Outstanding principal balance
|
$
|
14,337
|
|
|
$
|
26,237
|
|
Carrying amount
|
11,962
|
|
|
22,517
|
|
||
|
|
|
|
||||
Acquired Non-Credit Impaired Loans
|
|
|
|
||||
Outstanding principal balance
|
301,128
|
|
|
375,471
|
|
||
Carrying amount
|
298,615
|
|
|
371,594
|
|
||
|
|
|
|
||||
Total Acquired Loans
|
|
|
|
||||
Outstanding principal balance
|
315,465
|
|
|
401,708
|
|
||
Carrying amount
|
310,577
|
|
|
394,111
|
|
December 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
30-89 days
|
|
90 days or more
|
|
Current Loans
|
|
Total Loans
|
|
90 days and
accruing 1 |
|
Nonaccrual
|
||||||||||||
Originated Loans and Leases
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Agriculture
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
108,608
|
|
|
$
|
108,608
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Commercial and industrial other
|
431
|
|
|
849
|
|
|
930,787
|
|
|
932,067
|
|
|
0
|
|
|
2,852
|
|
||||||
Subtotal commercial and industrial
|
431
|
|
|
849
|
|
|
1,039,395
|
|
|
1,040,675
|
|
|
0
|
|
|
2,852
|
|
||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction
|
0
|
|
|
0
|
|
|
202,486
|
|
|
202,486
|
|
|
0
|
|
|
0
|
|
||||||
Agriculture
|
0
|
|
|
0
|
|
|
129,712
|
|
|
129,712
|
|
|
0
|
|
|
0
|
|
||||||
Commercial real estate other
|
1,583
|
|
|
2,125
|
|
|
1,657,074
|
|
|
1,660,782
|
|
|
0
|
|
|
5,402
|
|
||||||
Subtotal commercial real estate
|
1,583
|
|
|
2,125
|
|
|
1,989,272
|
|
|
1,992,980
|
|
|
0
|
|
|
5,402
|
|
||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity
|
1,045
|
|
|
448
|
|
|
211,319
|
|
|
212,812
|
|
|
0
|
|
|
1,537
|
|
||||||
Mortgages
|
3,153
|
|
|
2,692
|
|
|
1,033,195
|
|
|
1,039,040
|
|
|
0
|
|
|
6,108
|
|
||||||
Subtotal residential real estate
|
4,198
|
|
|
3,140
|
|
|
1,244,514
|
|
|
1,251,852
|
|
|
0
|
|
|
7,645
|
|
||||||
Consumer and other
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Indirect
|
449
|
|
|
205
|
|
|
11,490
|
|
|
12,144
|
|
|
6
|
|
|
278
|
|
||||||
Consumer and other
|
130
|
|
|
42
|
|
|
50,042
|
|
|
50,214
|
|
|
38
|
|
|
76
|
|
||||||
Subtotal consumer and other
|
579
|
|
|
247
|
|
|
61,532
|
|
|
62,358
|
|
|
44
|
|
|
354
|
|
||||||
Leases
|
0
|
|
|
0
|
|
|
14,467
|
|
|
14,467
|
|
|
0
|
|
|
0
|
|
||||||
Total loans and leases
|
6,791
|
|
|
6,361
|
|
|
4,349,180
|
|
|
4,362,332
|
|
|
44
|
|
|
16,253
|
|
||||||
Less: unearned income and deferred costs and fees
|
0
|
|
|
0
|
|
|
(3,789
|
)
|
|
(3,789
|
)
|
|
0
|
|
|
0
|
|
||||||
Total originated loans and leases, net of unearned income and deferred costs and fees
|
$
|
6,791
|
|
|
$
|
6,361
|
|
|
$
|
4,345,391
|
|
|
$
|
4,358,543
|
|
|
$
|
44
|
|
|
$
|
16,253
|
|
Acquired Loans and Leases
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
$
|
12
|
|
|
$
|
61
|
|
|
$
|
50,903
|
|
|
$
|
50,976
|
|
|
$
|
61
|
|
|
$
|
0
|
|
Subtotal commercial and industrial
|
12
|
|
|
61
|
|
|
50,903
|
|
|
50,976
|
|
|
61
|
|
|
0
|
|
||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction
|
0
|
|
|
0
|
|
|
1,480
|
|
|
1,480
|
|
|
0
|
|
|
0
|
|
||||||
Agriculture
|
0
|
|
|
0
|
|
|
247
|
|
|
247
|
|
|
0
|
|
|
0
|
|
||||||
Commercial real estate other
|
167
|
|
|
727
|
|
|
205,126
|
|
|
206,020
|
|
|
515
|
|
|
546
|
|
||||||
Subtotal commercial real estate
|
167
|
|
|
727
|
|
|
206,853
|
|
|
207,747
|
|
|
515
|
|
|
546
|
|
||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity
|
601
|
|
|
564
|
|
|
27,279
|
|
|
28,444
|
|
|
130
|
|
|
1,604
|
|
||||||
Mortgages
|
472
|
|
|
942
|
|
|
21,231
|
|
|
22,645
|
|
|
440
|
|
|
1,114
|
|
||||||
Subtotal residential real estate
|
1,073
|
|
|
1,506
|
|
|
48,510
|
|
|
51,089
|
|
|
570
|
|
|
2,718
|
|
||||||
Consumer and other
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Consumer and other
|
4
|
|
|
0
|
|
|
761
|
|
|
765
|
|
|
0
|
|
|
0
|
|
||||||
Subtotal consumer and other
|
4
|
|
|
0
|
|
|
761
|
|
|
765
|
|
|
0
|
|
|
0
|
|
||||||
Total acquired loans and leases, net of unearned income and deferred costs and fees
|
$
|
1,256
|
|
|
$
|
2,294
|
|
|
$
|
307,027
|
|
|
$
|
310,577
|
|
|
$
|
1,146
|
|
|
$
|
3,264
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
30-89 days
|
|
90 days or more
|
|
Current Loans
|
|
Total Loans
|
|
90 days and
accruing 1 |
|
Nonaccrual
|
||||||||||||
Originated loans and leases
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Agriculture
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
118,247
|
|
|
$
|
118,247
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Commercial and industrial other
|
1,312
|
|
|
281
|
|
|
845,462
|
|
|
847,055
|
|
|
0
|
|
|
526
|
|
||||||
Subtotal commercial and industrial
|
1,312
|
|
|
281
|
|
|
963,709
|
|
|
965,302
|
|
|
0
|
|
|
526
|
|
||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction
|
0
|
|
|
0
|
|
|
135,834
|
|
|
135,834
|
|
|
0
|
|
|
0
|
|
||||||
Agriculture
|
17
|
|
|
0
|
|
|
102,492
|
|
|
102,509
|
|
|
0
|
|
|
162
|
|
||||||
Commercial real estate other
|
2,546
|
|
|
3,071
|
|
|
1,426,073
|
|
|
1,431,690
|
|
|
0
|
|
|
5,988
|
|
||||||
Subtotal commercial real estate
|
2,563
|
|
|
3,071
|
|
|
1,664,399
|
|
|
1,670,033
|
|
|
0
|
|
|
6,150
|
|
||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity
|
433
|
|
|
1,954
|
|
|
206,890
|
|
|
209,277
|
|
|
0
|
|
|
2,016
|
|
||||||
Mortgages
|
1,749
|
|
|
3,244
|
|
|
942,385
|
|
|
947,378
|
|
|
0
|
|
|
5,442
|
|
||||||
Subtotal residential real estate
|
2,182
|
|
|
5,198
|
|
|
1,149,275
|
|
|
1,156,655
|
|
|
0
|
|
|
7,458
|
|
||||||
Consumer and other
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Indirect
|
444
|
|
|
376
|
|
|
14,015
|
|
|
14,835
|
|
|
0
|
|
|
166
|
|
||||||
Consumer and other
|
193
|
|
|
8
|
|
|
44,192
|
|
|
44,393
|
|
|
0
|
|
|
0
|
|
||||||
Subtotal consumer and other
|
637
|
|
|
384
|
|
|
58,207
|
|
|
59,228
|
|
|
0
|
|
|
166
|
|
||||||
Leases
|
0
|
|
|
0
|
|
|
16,650
|
|
|
16,650
|
|
|
0
|
|
|
0
|
|
||||||
Total loans and leases
|
6,694
|
|
|
8,934
|
|
|
3,852,240
|
|
|
3,867,868
|
|
|
0
|
|
|
14,300
|
|
||||||
Less: unearned income and deferred costs and fees
|
0
|
|
|
0
|
|
|
(3,946
|
)
|
|
(3,946
|
)
|
|
0
|
|
|
0
|
|
||||||
Total originated loans and leases, net of unearned income and deferred costs and fees
|
$
|
6,694
|
|
|
$
|
8,934
|
|
|
$
|
3,848,294
|
|
|
$
|
3,863,922
|
|
|
$
|
0
|
|
|
$
|
14,300
|
|
Acquired loans and leases
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
$
|
12
|
|
|
$
|
87
|
|
|
$
|
79,218
|
|
|
$
|
79,317
|
|
|
$
|
40
|
|
|
$
|
212
|
|
Subtotal commercial and industrial
|
12
|
|
|
87
|
|
|
79,218
|
|
|
79,317
|
|
|
40
|
|
|
212
|
|
||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction
|
0
|
|
|
0
|
|
|
8,936
|
|
|
8,936
|
|
|
0
|
|
|
0
|
|
||||||
Agriculture
|
0
|
|
|
0
|
|
|
267
|
|
|
267
|
|
|
0
|
|
|
0
|
|
||||||
Commercial real estate other
|
1,461
|
|
|
3,952
|
|
|
236,192
|
|
|
241,605
|
|
|
1,402
|
|
|
2,926
|
|
||||||
Subtotal commercial real estate
|
1,461
|
|
|
3,952
|
|
|
245,395
|
|
|
250,808
|
|
|
1,402
|
|
|
2,926
|
|
||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity
|
251
|
|
|
637
|
|
|
36,849
|
|
|
37,737
|
|
|
185
|
|
|
663
|
|
||||||
Mortgages
|
829
|
|
|
1,651
|
|
|
22,943
|
|
|
25,423
|
|
|
930
|
|
|
940
|
|
||||||
Subtotal residential real estate
|
1,080
|
|
|
2,288
|
|
|
59,792
|
|
|
63,160
|
|
|
1,115
|
|
|
1,603
|
|
||||||
Consumer and other
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Consumer and other
|
0
|
|
|
0
|
|
|
826
|
|
|
826
|
|
|
0
|
|
|
0
|
|
||||||
Subtotal consumer and other
|
0
|
|
|
0
|
|
|
826
|
|
|
826
|
|
|
0
|
|
|
0
|
|
||||||
Covered loans
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
||||||
Total acquired loans and leases, net of unearned income and deferred costs and fees
|
$
|
2,553
|
|
|
$
|
6,327
|
|
|
$
|
385,231
|
|
|
$
|
394,111
|
|
|
$
|
2,557
|
|
|
$
|
4,741
|
|
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Total allowance at beginning of year
|
$
|
35,755
|
|
|
$
|
32,004
|
|
|
$
|
28,997
|
|
Provisions charged to operations
|
4,161
|
|
|
4,321
|
|
|
2,945
|
|
|||
Recoveries on loans and leases
|
2,429
|
|
|
2,139
|
|
|
2,843
|
|
|||
Charge-offs on loans and leases
|
(2,574
|
)
|
|
(2,709
|
)
|
|
(2,781
|
)
|
|||
Total allowance at end of year
|
$
|
39,771
|
|
|
$
|
35,755
|
|
|
$
|
32,004
|
|
December 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
Commercial
and Industrial |
|
Commercial
Real Estate |
|
Residential
Real Estate |
|
Consumer
and Other |
|
Finance
Leases |
|
Total
|
||||||||||||
Allowance for acquired loans:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Beginning balance
|
$
|
0
|
|
|
$
|
97
|
|
|
$
|
54
|
|
|
$
|
6
|
|
|
$
|
0
|
|
|
$
|
157
|
|
Charge-offs
|
(74
|
)
|
|
(159
|
)
|
|
(483
|
)
|
|
(2
|
)
|
|
0
|
|
|
(718
|
)
|
||||||
Recoveries
|
24
|
|
|
637
|
|
|
44
|
|
|
8
|
|
|
0
|
|
|
713
|
|
||||||
Provision
|
75
|
|
|
(575
|
)
|
|
439
|
|
|
(6
|
)
|
|
0
|
|
|
(67
|
)
|
||||||
Ending Balance
|
$
|
25
|
|
|
$
|
0
|
|
|
$
|
54
|
|
|
$
|
6
|
|
|
$
|
0
|
|
|
$
|
85
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
Commercial
and Industrial |
|
Commercial
Real Estate |
|
Residential
Real Estate |
|
Consumer
and Other |
|
Finance
Leases |
|
Total
|
||||||||||||
Allowance for originated loans and leases:
|
|
|
|
|
|
|
|
|
|||||||||||||||
Individually evaluated for impairment
|
$
|
95
|
|
|
$
|
322
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
417
|
|
Collectively evaluated for impairment
|
9,294
|
|
|
19,514
|
|
|
5,149
|
|
|
1,224
|
|
|
0
|
|
|
35,181
|
|
||||||
Ending balance
|
$
|
9,389
|
|
|
$
|
19,836
|
|
|
$
|
5,149
|
|
|
$
|
1,224
|
|
|
$
|
0
|
|
|
$
|
35,598
|
|
Allowance for acquired loans:
|
|
|
|
|
|
|
|
|
|||||||||||||||
Individually evaluated for impairment
|
$
|
0
|
|
|
$
|
76
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
76
|
|
Collectively evaluated for impairment
|
0
|
|
|
21
|
|
|
54
|
|
|
6
|
|
|
0
|
|
|
81
|
|
||||||
Ending balance
|
$
|
0
|
|
|
$
|
97
|
|
|
$
|
54
|
|
|
$
|
6
|
|
|
$
|
0
|
|
|
$
|
157
|
|
December 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
Commercial
and Industrial |
|
Commercial
Real Estate |
|
Residential
Real Estate |
|
Consumer
and Other |
|
Covered
Loans |
|
Total
|
||||||||||||
Acquired loans:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Individually evaluated for impairment
|
$
|
276
|
|
|
$
|
1,372
|
|
|
$
|
1,823
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
3,471
|
|
Loans acquired with deteriorated credit quality
|
506
|
|
|
7,481
|
|
|
3,975
|
|
|
0
|
|
|
0
|
|
|
11,962
|
|
||||||
Collectively evaluated for impairment
|
50,194
|
|
|
198,894
|
|
|
45,291
|
|
|
765
|
|
|
0
|
|
|
295,144
|
|
||||||
Total
|
$
|
50,976
|
|
|
$
|
207,747
|
|
|
$
|
51,089
|
|
|
$
|
765
|
|
|
$
|
0
|
|
|
$
|
310,577
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
Commercial
and Industrial |
|
Commercial
Real Estate |
|
Residential
Real Estate |
|
Consumer
and Other |
|
Finance
Leases |
|
Total
|
||||||||||||
Originated loans and leases:
|
|
|
|
|
|
|
|
|
|||||||||||||||
Individually evaluated for impairment
|
$
|
635
|
|
|
$
|
8,812
|
|
|
$
|
3,507
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
12,954
|
|
Collectively evaluated for impairment
|
964,667
|
|
|
1,661,221
|
|
|
1,153,148
|
|
|
59,228
|
|
|
16,650
|
|
|
3,854,914
|
|
||||||
Total
|
$
|
965,302
|
|
|
$
|
1,670,033
|
|
|
$
|
1,156,655
|
|
|
$
|
59,228
|
|
|
$
|
16,650
|
|
|
$
|
3,867,868
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
Commercial
and Industrial |
|
Commercial
Real Estate |
|
Residential
Real Estate |
|
Consumer
and Other |
|
Covered
Loans |
|
Total
|
||||||||||||
Acquired loans:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Individually evaluated for impairment
|
$
|
172
|
|
|
$
|
4,081
|
|
|
$
|
1,372
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
5,625
|
|
Loans acquired with deteriorated credit quality
|
448
|
|
|
14,368
|
|
|
7,701
|
|
|
0
|
|
|
0
|
|
|
22,517
|
|
||||||
Collectively evaluated for impairment
|
78,697
|
|
|
232,359
|
|
|
54,087
|
|
|
826
|
|
|
0
|
|
|
365,969
|
|
||||||
Total
|
$
|
79,317
|
|
|
$
|
250,808
|
|
|
$
|
63,160
|
|
|
$
|
826
|
|
|
$
|
0
|
|
|
$
|
394,111
|
|
|
12/31/2017
|
|
12/31/2016
|
||||||||||||||||||||
(in thousands)
|
Recorded
Investment |
|
Unpaid
Principal Balance |
|
Related
Allowance |
|
Recorded
Investment |
|
Unpaid
Principal Balance |
|
Related
Allowance |
||||||||||||
Originated loans and leases with no related allowance
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
$
|
1,246
|
|
|
$
|
1,250
|
|
|
$
|
0
|
|
|
$
|
276
|
|
|
$
|
370
|
|
|
$
|
0
|
|
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial real estate other
|
6,626
|
|
|
6,533
|
|
|
0
|
|
|
6,979
|
|
|
7,263
|
|
|
0
|
|
||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity
|
3,965
|
|
|
4,049
|
|
|
0
|
|
|
3,507
|
|
|
3,535
|
|
|
0
|
|
||||||
Subtotal
|
$
|
11,837
|
|
|
$
|
11,832
|
|
|
$
|
0
|
|
|
$
|
10,762
|
|
|
$
|
11,168
|
|
|
$
|
0
|
|
Originated loans and leases with related allowance
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
513
|
|
|
532
|
|
|
441
|
|
|
359
|
|
|
276
|
|
|
95
|
|
||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial real estate other
|
0
|
|
|
0
|
|
|
0
|
|
|
1,833
|
|
|
2,042
|
|
|
322
|
|
||||||
Subtotal
|
$
|
513
|
|
|
$
|
532
|
|
|
$
|
441
|
|
|
$
|
2,192
|
|
|
$
|
2,318
|
|
|
$
|
417
|
|
Total
|
$
|
12,350
|
|
|
$
|
12,364
|
|
|
$
|
441
|
|
|
$
|
12,954
|
|
|
$
|
13,486
|
|
|
$
|
417
|
|
|
12/31/2017
|
|
12/31/2016
|
||||||||||||||||||||
(in thousands)
|
Recorded
Investment |
|
Unpaid
Principal Balance |
|
Related
Allowance |
|
Recorded
Investment |
|
Unpaid
Principal Balance |
|
Related
Allowance |
||||||||||||
Acquired loans with no related allowance
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
$
|
226
|
|
|
$
|
226
|
|
|
$
|
0
|
|
|
$
|
172
|
|
|
$
|
472
|
|
|
$
|
0
|
|
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial real estate other
|
1,372
|
|
|
1,474
|
|
|
0
|
|
|
4,003
|
|
|
4,386
|
|
|
0
|
|
||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity
|
1,823
|
|
|
1,854
|
|
|
0
|
|
|
1,372
|
|
|
1,372
|
|
|
0
|
|
||||||
Subtotal
|
$
|
3,421
|
|
|
$
|
3,554
|
|
|
$
|
0
|
|
|
$
|
5,547
|
|
|
$
|
6,230
|
|
|
$
|
0
|
|
Acquired loans with related allowance
|
|
|
|
|
|
|
|
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
50
|
|
|
50
|
|
|
25
|
|
|
0
|
|
|
0
|
|
|
0
|
|
||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial real estate other
|
0
|
|
|
0
|
|
|
0
|
|
|
78
|
|
|
78
|
|
|
76
|
|
||||||
Subtotal
|
$
|
50
|
|
|
$
|
50
|
|
|
$
|
25
|
|
|
$
|
78
|
|
|
$
|
78
|
|
|
$
|
76
|
|
Total
|
$
|
3,471
|
|
|
$
|
3,604
|
|
|
$
|
25
|
|
|
$
|
5,625
|
|
|
$
|
6,308
|
|
|
$
|
76
|
|
Twelve Months Ended December 31,
|
|||||||||||||||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||||||||||||||
(in thousands)
|
Average
Recorded Investment |
|
Interest
Income Recognized |
|
Average
Recorded Investment |
|
Interest
Income Recognized |
|
Average
Recorded Investment |
|
Interest
Income Recognized |
||||||||||||
Originated loans and leases with no related allowance
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
$
|
718
|
|
|
$
|
0
|
|
|
$
|
249
|
|
|
$
|
0
|
|
|
$
|
1,293
|
|
|
$
|
0
|
|
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial real estate other
|
7,287
|
|
|
0
|
|
|
6,089
|
|
|
0
|
|
|
7,490
|
|
|
0
|
|
||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity
|
3,551
|
|
|
0
|
|
|
3,003
|
|
|
0
|
|
|
1,337
|
|
|
0
|
|
||||||
Subtotal
|
$
|
11,556
|
|
|
$
|
0
|
|
|
$
|
9,341
|
|
|
$
|
0
|
|
|
$
|
10,120
|
|
|
$
|
0
|
|
Originated loans and leases with related allowance
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
276
|
|
|
0
|
|
|
114
|
|
|
0
|
|
|
0
|
|
|
0
|
|
||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial real estate other
|
0
|
|
|
0
|
|
|
1,715
|
|
|
0
|
|
|
245
|
|
|
0
|
|
||||||
Subtotal
|
$
|
276
|
|
|
$
|
0
|
|
|
$
|
1,829
|
|
|
$
|
0
|
|
|
$
|
245
|
|
|
$
|
0
|
|
Total
|
$
|
11,832
|
|
|
$
|
0
|
|
|
$
|
11,170
|
|
|
$
|
0
|
|
|
$
|
10,365
|
|
|
$
|
0
|
|
Twelve Months Ended December 31,
|
|||||||||||||||||||||||
|
2017
|
|
2016
|
|
2015
|
||||||||||||||||||
(in thousands)
|
Average
Recorded Investment |
|
Interest
Income Recognized |
|
Average
Recorded Investment |
|
Interest
Income Recognized |
|
Average
Recorded Investment |
|
Interest
Income Recognized |
||||||||||||
Acquired loans with no related allowance
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
$
|
111
|
|
|
$
|
0
|
|
|
$
|
183
|
|
|
$
|
0
|
|
|
$
|
748
|
|
|
$
|
0
|
|
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Construction
|
0
|
|
|
0
|
|
|
152
|
|
|
0
|
|
|
367
|
|
|
0
|
|
||||||
Commercial real estate other
|
2,141
|
|
|
0
|
|
|
4,141
|
|
|
0
|
|
|
3,936
|
|
|
0
|
|
||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Home equity
|
1,861
|
|
|
0
|
|
|
1,316
|
|
|
0
|
|
|
1,147
|
|
|
0
|
|
||||||
Subtotal
|
$
|
4,113
|
|
|
$
|
0
|
|
|
$
|
5,792
|
|
|
$
|
0
|
|
|
$
|
6,198
|
|
|
$
|
0
|
|
Acquired loans with related allowance
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial and industrial other
|
10
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
523
|
|
|
0
|
|
||||||
Commercial real estate
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial real estate other
|
0
|
|
|
0
|
|
|
58
|
|
|
0
|
|
|
52
|
|
|
0
|
|
||||||
Subtotal
|
$
|
10
|
|
|
$
|
0
|
|
|
$
|
58
|
|
|
$
|
0
|
|
|
$
|
575
|
|
|
$
|
0
|
|
Total
|
$
|
4,123
|
|
|
$
|
0
|
|
|
$
|
5,850
|
|
|
$
|
0
|
|
|
$
|
6,773
|
|
|
$
|
0
|
|
December 31, 2017
|
Twelve months ended
|
||||||||||||||||
|
|
|
|
|
|
|
Defaulted TDRs
2
|
||||||||||
(in thousands)
|
Number
of Loans |
|
Pre-Modification
Outstanding Recorded Investment |
|
Post-
Modification Outstanding Recorded Investment |
|
Number
of Loans |
|
Post-
Modification Outstanding Recorded Investment |
||||||||
Residential real estate
|
|
|
|
|
|
|
|
|
|
||||||||
Home equity
1
|
6
|
|
|
716
|
|
|
716
|
|
|
1
|
|
|
55
|
|
|||
Total
|
6
|
|
|
$
|
716
|
|
|
$
|
716
|
|
|
1
|
|
|
$
|
55
|
|
1
|
Represents the following concessions: extension of term and reduction of rate.
|
2
|
TDRs that defaulted during the 12 months ended
December 31, 2017
that had been restructured in the prior twelve months.
|
December 31, 2016
|
Twelve months ended
|
||||||||||||||||
|
|
|
|
|
|
|
Defaulted TDRs
4
|
||||||||||
(in thousands)
|
Number
of Loans |
|
Pre-Modification
Outstanding Recorded Investment |
|
Post-
Modification Outstanding Recorded Investment |
|
Number
of Loans |
|
Post-
Modification Outstanding Recorded Investment |
||||||||
Commercial and industrial
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial other
1
|
2
|
|
|
$
|
1,115
|
|
|
$
|
1,115
|
|
|
0
|
|
|
$
|
0
|
|
Commercial real estate
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial real estate other
2
|
1
|
|
|
50
|
|
|
50
|
|
|
1
|
|
|
1,800
|
|
|||
Residential real estate
|
|
|
|
|
|
|
|
|
|
||||||||
Home equity
3
|
12
|
|
|
1,274
|
|
|
1,274
|
|
|
0
|
|
|
0
|
|
|||
Total
|
15
|
|
|
$
|
2,439
|
|
|
$
|
2,439
|
|
|
1
|
|
|
$
|
1,800
|
|
1
|
Represents the following concessions: extension of term and reduction of rate.
|
2
|
Represents the following concessions: reduction of rate .
|
3
|
Represents the following concessions: extension of term and reduction of rate .
|
4
|
TDRs that defaulted during the 12 months ended
December 31, 2016
that had been restructured in the prior twelve months.
|
December 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
Commercial and Industrial Other
|
|
Commercial and Industrial Agriculture
|
|
Commercial Real Estate Other
|
|
Commercial Real Estate Agriculture
|
|
Commercial Real Estate Construction
|
|
Total
|
||||||||||||
Originated loans and leases
|
|
|
|
|
|
|
|
|
|||||||||||||||
Internal risk grade:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Pass
|
$
|
919,214
|
|
|
$
|
100,470
|
|
|
$
|
1,627,713
|
|
|
$
|
119,392
|
|
|
$
|
201,948
|
|
|
$
|
2,968,737
|
|
Special Mention
|
6,680
|
|
|
8,068
|
|
|
19,068
|
|
|
9,980
|
|
|
538
|
|
|
44,334
|
|
||||||
Substandard
|
6,173
|
|
|
70
|
|
|
14,001
|
|
|
340
|
|
|
0
|
|
|
20,584
|
|
||||||
Total
|
$
|
932,067
|
|
|
$
|
108,608
|
|
|
$
|
1,660,782
|
|
|
$
|
129,712
|
|
|
$
|
202,486
|
|
|
$
|
3,033,655
|
|
December 31, 2017
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
Commercial and Industrial Other
|
|
Commercial and Industrial Agriculture
|
|
Commercial Real Estate Other
|
|
Commercial Real Estate Agriculture
|
|
Commercial Real Estate Construction
|
|
Total
|
||||||||||||
Acquired loans
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Internal risk grade:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Pass
|
$
|
50,554
|
|
|
$
|
0
|
|
|
$
|
198,822
|
|
|
$
|
247
|
|
|
$
|
1,480
|
|
|
$
|
251,103
|
|
Special Mention
|
0
|
|
|
0
|
|
|
2,265
|
|
|
0
|
|
|
0
|
|
|
2,265
|
|
||||||
Substandard
|
422
|
|
|
0
|
|
|
4,933
|
|
|
0
|
|
|
0
|
|
|
5,355
|
|
||||||
Total
|
$
|
50,976
|
|
|
$
|
0
|
|
|
$
|
206,020
|
|
|
$
|
247
|
|
|
$
|
1,480
|
|
|
$
|
258,723
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
Commercial and Industrial Other
|
|
Commercial and Industrial Agriculture
|
|
Commercial Real Estate Other
|
|
Commercial Real Estate Agriculture
|
|
Commercial Real Estate Construction
|
|
Total
|
||||||||||||
Originated loans and leases
|
|
|
|
|
|
|
|
|
|||||||||||||||
Internal risk grade:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Pass
|
$
|
836,788
|
|
|
$
|
117,135
|
|
|
$
|
1,403,370
|
|
|
$
|
101,407
|
|
|
$
|
135,834
|
|
|
$
|
2,594,534
|
|
Special Mention
|
7,218
|
|
|
755
|
|
|
11,939
|
|
|
573
|
|
|
0
|
|
|
20,485
|
|
||||||
Substandard
|
3,049
|
|
|
357
|
|
|
16,381
|
|
|
529
|
|
|
0
|
|
|
20,316
|
|
||||||
Total
|
$
|
847,055
|
|
|
$
|
118,247
|
|
|
$
|
1,431,690
|
|
|
$
|
102,509
|
|
|
$
|
135,834
|
|
|
$
|
2,635,335
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
(in thousands)
|
Commercial and Industrial Other
|
|
Commercial and Industrial Agriculture
|
|
Commercial Real Estate Other
|
|
Commercial Real Estate Agriculture
|
|
Commercial Real Estate Construction
|
|
Total
|
||||||||||||
Acquired loans
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Internal risk grade:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Pass
|
$
|
77,921
|
|
|
$
|
0
|
|
|
$
|
229,334
|
|
|
$
|
267
|
|
|
$
|
8,936
|
|
|
$
|
316,458
|
|
Special Mention
|
0
|
|
|
0
|
|
|
526
|
|
|
0
|
|
|
0
|
|
|
526
|
|
||||||
Substandard
|
1,396
|
|
|
0
|
|
|
11,745
|
|
|
0
|
|
|
0
|
|
|
13,141
|
|
||||||
Total
|
$
|
79,317
|
|
|
$
|
0
|
|
|
$
|
241,605
|
|
|
$
|
267
|
|
|
$
|
8,936
|
|
|
$
|
330,125
|
|
December 31, 2017
|
|||||||||||||||||||
(in thousands)
|
Residential
Home Equity |
|
Residential Mortgages
|
|
Consumer
Indirect |
|
Consumer
Other |
|
Total
|
||||||||||
Originated loans and leases
|
|
|
|
|
|
|
|
|
|
||||||||||
Performing
|
$
|
211,275
|
|
|
$
|
1,032,932
|
|
|
$
|
11,866
|
|
|
$
|
50,138
|
|
|
$
|
1,306,211
|
|
Nonperforming
|
1,537
|
|
|
6,108
|
|
|
278
|
|
|
76
|
|
|
7,999
|
|
|||||
Total
|
$
|
212,812
|
|
|
$
|
1,039,040
|
|
|
$
|
12,144
|
|
|
$
|
50,214
|
|
|
$
|
1,314,210
|
|
December 31, 2017
|
|
|
|
|
|
|
|
|
|
||||||||||
(in thousands)
|
Residential
Home Equity |
|
Residential Mortgages
|
|
Consumer
Indirect |
|
Consumer
Other |
|
Total
|
||||||||||
Acquired Loans and Leases
|
|
|
|
|
|
|
|
|
|
||||||||||
Performing
|
$
|
26,840
|
|
|
$
|
21,531
|
|
|
$
|
0
|
|
|
$
|
765
|
|
|
$
|
49,136
|
|
Nonperforming
|
1,604
|
|
|
1,114
|
|
|
0
|
|
|
0
|
|
|
2,718
|
|
|||||
Total
|
$
|
28,444
|
|
|
$
|
22,645
|
|
|
$
|
0
|
|
|
$
|
765
|
|
|
$
|
51,854
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
||||||||||
(in thousands)
|
Residential
Home Equity |
|
Residential Mortgages
|
|
Consumer
Indirect |
|
Consumer
Other |
|
Total
|
||||||||||
Originated loans and leases
|
|
|
|
|
|
|
|
|
|
||||||||||
Performing
|
$
|
207,261
|
|
|
$
|
941,936
|
|
|
$
|
14,669
|
|
|
$
|
44,393
|
|
|
$
|
1,208,259
|
|
Nonperforming
|
2,016
|
|
|
5,442
|
|
|
166
|
|
|
0
|
|
|
7,624
|
|
|||||
Total
|
$
|
209,277
|
|
|
$
|
947,378
|
|
|
$
|
14,835
|
|
|
$
|
44,393
|
|
|
$
|
1,215,883
|
|
(in thousands)
|
Banking
|
|
Insurance
|
|
Wealth Management
|
|
Total
|
||||||||
Balance at January 1, 2016
|
$
|
64,369
|
|
|
$
|
19,212
|
|
|
$
|
8,211
|
|
|
$
|
91,792
|
|
Goodwill related to sale of portion of business unit
1
|
0
|
|
|
(318
|
)
|
|
0
|
|
|
(318
|
)
|
||||
Balance at December 31, 2016
|
$
|
64,369
|
|
|
$
|
20,043
|
|
|
$
|
8,211
|
|
|
$
|
92,623
|
|
Goodwill related to sale of portion of business unit
1
|
0
|
|
|
(332
|
)
|
|
0
|
|
|
(332
|
)
|
||||
Balance at December 31, 2017
|
$
|
64,369
|
|
|
$
|
19,711
|
|
|
$
|
8,211
|
|
|
$
|
92,291
|
|
December 31, 2017
|
Gross Carrying Amount
|
|
Accumulated Amortization
|
|
Net Carrying Amount
|
||||||
(in thousands)
|
|
|
|
|
|
||||||
Amortized intangible assets:
|
|
|
|
|
|
||||||
Core deposit intangible
|
$
|
18,774
|
|
|
$
|
14,302
|
|
|
$
|
4,472
|
|
Customer relationships
|
8,878
|
|
|
5,339
|
|
|
3,539
|
|
|||
Other intangibles
|
5,776
|
|
|
4,524
|
|
|
1,252
|
|
|||
Total intangible assets
|
$
|
33,428
|
|
|
$
|
24,165
|
|
|
$
|
9,263
|
|
December 31, 2016
|
Gross Carrying Amount
|
|
Accumulated Amortization
|
|
Net Carrying Amount
|
||||||
(in thousands)
|
|
|
|
|
|
||||||
Amortized intangible assets:
|
|
|
|
|
|
||||||
Core deposit intangible
|
$
|
18,774
|
|
|
$
|
13,129
|
|
|
$
|
5,645
|
|
Customer relationships
|
8,942
|
|
|
4,737
|
|
|
4,205
|
|
|||
Other intangibles
|
5,744
|
|
|
4,245
|
|
|
1,499
|
|
|||
Total intangible assets
|
$
|
33,460
|
|
|
$
|
22,111
|
|
|
$
|
11,349
|
|
Estimated amortization expense:*
|
|
||
(in thousands)
|
|
||
For the year ended December 31, 2018
|
$
|
1,796
|
|
For the year ended December 31, 2019
|
1,671
|
|
|
For the year ended December 31, 2020
|
1,472
|
|
|
For the year ended December 31, 2021
|
1,307
|
|
|
For the year ended December 31, 2022
|
864
|
|
(in thousands)
|
2017
|
|
2016
|
||||
Land
|
$
|
9,245
|
|
|
$
|
9,311
|
|
Premises
1
|
95,272
|
|
|
75,633
|
|
||
Furniture, fixtures, and equipment
|
68,023
|
|
|
65,800
|
|
||
Accumulated depreciations and amortization
|
(85,545
|
)
|
|
(80,728
|
)
|
||
Total
|
$
|
86,995
|
|
|
$
|
70,016
|
|
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Premises
|
$
|
2,527
|
|
|
$
|
2,247
|
|
|
$
|
2,030
|
|
Furniture, fixtures, and equipment
|
4,297
|
|
|
4,004
|
|
|
3,730
|
|
|||
Total
|
$
|
6,824
|
|
|
$
|
6,251
|
|
|
$
|
5,760
|
|
(in thousands)
|
Less than $250,000
|
|
$250,000
and over |
|
Total
|
||||||
Maturity
|
|
|
|
|
|
||||||
Three months or less
|
$
|
144,123
|
|
|
$
|
111,287
|
|
|
$
|
255,410
|
|
Over three through six months
|
104,497
|
|
|
50,112
|
|
|
154,609
|
|
|||
Over six through twelve months
|
120,065
|
|
|
42,403
|
|
|
162,468
|
|
|||
Total due in 2018
|
$
|
368,685
|
|
|
$
|
203,802
|
|
|
$
|
572,487
|
|
2019
|
101,077
|
|
|
8,738
|
|
|
109,815
|
|
|||
2020
|
19,006
|
|
|
2,659
|
|
|
21,665
|
|
|||
2021
|
19,343
|
|
|
4,002
|
|
|
23,345
|
|
|||
2022
|
18,064
|
|
|
2,489
|
|
|
20,553
|
|
|||
2023
|
385
|
|
|
0
|
|
|
385
|
|
|||
Total
|
$
|
526,560
|
|
|
$
|
221,690
|
|
|
$
|
748,250
|
|
Securities Sold Under Agreements to Repurchase
|
2017
|
|
2016
|
|
2015
|
||||||
(dollar amounts in thousands)
|
|
|
|
|
|
||||||
Total outstanding at December 31
|
$
|
75,177
|
|
|
$
|
69,062
|
|
|
$
|
136,513
|
|
|
|
|
|
|
|
||||||
Maximum month-end balance
|
80,326
|
|
|
125,063
|
|
|
146,397
|
|
|||
Average balance during the year
|
64,888
|
|
|
99,622
|
|
|
137,917
|
|
|||
Weighted average rate at December 31
|
0.23
|
%
|
|
0.88
|
%
|
|
1.90
|
%
|
|||
Average interest rate paid during the year
|
0.36
|
%
|
|
2.24
|
%
|
|
1.96
|
%
|
|||
Federal Funds Purchased
|
|
|
|
|
|
||||||
Average balance during the year
|
0
|
|
|
0
|
|
|
0
|
|
|||
Weighted average rate at December 31
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|||
Average interest rate paid during the year
|
0.00
|
%
|
|
0.00
|
%
|
|
0.00
|
%
|
(in thousands)
|
2017
|
|
2016
|
||||
Overnight FHLB advances
|
$
|
587,742
|
|
|
$
|
503,815
|
|
Term FHLB advances
|
475,000
|
|
|
365,000
|
|
||
Other
|
9,000
|
|
|
16,000
|
|
||
Total other borrowings
|
$
|
1,071,742
|
|
|
$
|
884,815
|
|
Description
|
Issuance Date
|
Par Amount
|
Interest Rate
|
Maturity Date
|
|
|
|
|
|
Sleepy Hollow Capital Trust I
|
August 2003
|
$4.0 million
|
3-month LIBOR plus 3.05%
|
August 2033
|
Leesport Capital Trust II
|
September 2002
|
$10.0 million
|
3-month LIBOR plus 3.45%
|
September 2032
|
Madison Statutory Trust I
|
June 2003
|
$5.0 million
|
3-month LIBOR plus 3.10%
|
June 2033
|
(in thousands)
|
DB Pension Plan
|
|
Life and Healthcare Plan
|
|
SERPs
|
||||||||||||||||||
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
||||||||||||
Change in benefit obligation:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Benefit obligation at beginning of year
|
$
|
77,304
|
|
|
$
|
76,219
|
|
|
$
|
9,121
|
|
|
$
|
8,732
|
|
|
$
|
23,399
|
|
|
$
|
22,160
|
|
Service cost
|
0
|
|
|
0
|
|
|
192
|
|
|
258
|
|
|
166
|
|
|
171
|
|
||||||
Interest cost
|
2,501
|
|
|
2,473
|
|
|
268
|
|
|
283
|
|
|
852
|
|
|
832
|
|
||||||
Plan participants’ contributions
|
0
|
|
|
0
|
|
|
98
|
|
|
185
|
|
|
0
|
|
|
0
|
|
||||||
Amendments
|
0
|
|
|
0
|
|
|
(964
|
)
|
|
0
|
|
|
0
|
|
|
188
|
|
||||||
Curtailments
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
||||||
Actuarial loss (gain)
|
5,928
|
|
|
1,403
|
|
|
708
|
|
|
210
|
|
|
2,407
|
|
|
697
|
|
||||||
Benefits paid
|
(2,985
|
)
|
|
(2,791
|
)
|
|
(428
|
)
|
|
(547
|
)
|
|
(682
|
)
|
|
(649
|
)
|
||||||
Benefit obligation at end of year
|
$
|
82,748
|
|
|
$
|
77,304
|
|
|
$
|
8,995
|
|
|
$
|
9,121
|
|
|
$
|
26,142
|
|
|
$
|
23,399
|
|
Change in plan assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Fair value of plan assets at beginning of year
|
$
|
71,807
|
|
|
$
|
68,931
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Actual return on plan assets
|
9,582
|
|
|
4,367
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
0
|
|
||||||
Plan participants’ contributions
|
0
|
|
|
0
|
|
|
98
|
|
|
185
|
|
|
0
|
|
|
0
|
|
||||||
Employer contributions
|
1,750
|
|
|
1,300
|
|
|
330
|
|
|
362
|
|
|
682
|
|
|
649
|
|
||||||
Benefits paid
|
(2,985
|
)
|
|
(2,791
|
)
|
|
(428
|
)
|
|
(547
|
)
|
|
(682
|
)
|
|
(649
|
)
|
||||||
Fair value of plan assets at end of year
|
$
|
80,154
|
|
|
$
|
71,807
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Unfunded status
|
$
|
(2,594
|
)
|
|
$
|
(5,497
|
)
|
|
$
|
(8,995
|
)
|
|
$
|
(9,121
|
)
|
|
$
|
(26,142
|
)
|
|
$
|
(23,399
|
)
|
(in thousands)
|
DB Pension Plan
|
|
Life and Healthcare Plan
|
|
SERPs
|
||||||||||||||||||||||||
Components of net periodic benefit cost (credit)
|
2017
|
2016
|
2015
|
|
2017
|
2016
|
2015
|
|
2017
|
2016
|
2015
|
||||||||||||||||||
Service cost
|
$
|
0
|
|
$
|
0
|
|
$
|
1,587
|
|
|
$
|
192
|
|
$
|
258
|
|
$
|
236
|
|
|
$
|
166
|
|
$
|
171
|
|
$
|
201
|
|
Interest cost
|
2,501
|
|
2,473
|
|
2,987
|
|
|
268
|
|
283
|
|
323
|
|
|
852
|
|
832
|
|
928
|
|
|||||||||
Expected return on plan assets
|
(5,088
|
)
|
(4,844
|
)
|
(5,028
|
)
|
|
0
|
|
0
|
|
0
|
|
|
0
|
|
0
|
|
0
|
|
|||||||||
Amortization of prior service (credit) cost
|
(10
|
)
|
(15
|
)
|
(448
|
)
|
|
(62
|
)
|
16
|
|
16
|
|
|
87
|
|
75
|
|
73
|
|
|||||||||
Recognized net actuarial loss
|
1,075
|
|
975
|
|
1,573
|
|
|
34
|
|
5
|
|
19
|
|
|
399
|
|
358
|
|
626
|
|
|||||||||
Recognized net actuarial gain due to curtailments
|
0
|
|
0
|
|
(6,003
|
)
|
|
0
|
|
0
|
|
0
|
|
|
0
|
|
0
|
|
0
|
|
|||||||||
Net periodic benefit (credit) cost
|
$
|
(1,522
|
)
|
$
|
(1,411
|
)
|
$
|
(5,332
|
)
|
|
$
|
432
|
|
$
|
562
|
|
$
|
594
|
|
|
$
|
1,504
|
|
$
|
1,436
|
|
$
|
1,828
|
|
Other changes in plan assets and benefit obligations recognized in other comprehensive income (loss)
|
|||||||||||||||||||||||||||||
Net actuarial loss (gain)
|
$
|
1,434
|
|
$
|
1,880
|
|
$
|
(169
|
)
|
|
$
|
708
|
|
$
|
210
|
|
$
|
(467
|
)
|
|
$
|
2,407
|
|
$
|
697
|
|
$
|
(1,210
|
)
|
Recognized actuarial loss
|
(1,075
|
)
|
(975
|
)
|
(1,573
|
)
|
|
(34
|
)
|
(5
|
)
|
(19
|
)
|
|
(399
|
)
|
(358
|
)
|
(626
|
)
|
|||||||||
Prior service (credit) cost
|
0
|
|
0
|
|
0
|
|
|
(964
|
)
|
0
|
|
0
|
|
|
0
|
|
188
|
|
0
|
|
|||||||||
Recognized prior service cost (credit)
|
10
|
|
15
|
|
6,451
|
|
|
62
|
|
(16
|
)
|
(16
|
)
|
|
(87
|
)
|
(75
|
)
|
(73
|
)
|
|||||||||
Recognized in other comprehensive income (loss)
|
$
|
369
|
|
$
|
920
|
|
$
|
4,709
|
|
|
$
|
(228
|
)
|
$
|
189
|
|
$
|
(502
|
)
|
|
$
|
1,921
|
|
$
|
452
|
|
$
|
(1,909
|
)
|
Total recognized in net periodic benefit cost and other comprehensive income (loss)
|
$
|
(1,153
|
)
|
$
|
(491
|
)
|
$
|
(623
|
)
|
|
$
|
204
|
|
$
|
751
|
|
$
|
92
|
|
|
$
|
3,425
|
|
$
|
1,888
|
|
$
|
(81
|
)
|
(in thousands)
|
DB Pension Plan
|
|
Life and Healthcare Plan
|
|
SERPs
|
||||||||||||||||||||||||||||||
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
||||||||||||||||||
Net actuarial loss (gain)
|
$
|
39,960
|
|
|
$
|
39,601
|
|
|
$
|
38,695
|
|
|
$
|
1,767
|
|
|
$
|
1,093
|
|
|
$
|
889
|
|
|
$
|
9,086
|
|
|
$
|
7,077
|
|
|
$
|
6,739
|
|
Prior service cost (credit)
|
(30
|
)
|
|
(40
|
)
|
|
(55
|
)
|
|
(668
|
)
|
|
235
|
|
|
250
|
|
|
602
|
|
|
689
|
|
|
576
|
|
|||||||||
Total
|
$
|
39,930
|
|
|
$
|
39,561
|
|
|
$
|
38,640
|
|
|
$
|
1,099
|
|
|
$
|
1,328
|
|
|
$
|
1,139
|
|
|
$
|
9,688
|
|
|
$
|
7,766
|
|
|
$
|
7,315
|
|
(in thousands)
|
DB Pension Plan
|
|
Life and Healthcare Plan
|
|
SERPs
|
|||
Actuarial loss
|
1,041
|
|
|
62
|
|
|
529
|
|
Prior service cost
|
(10
|
)
|
|
(62
|
)
|
|
87
|
|
Total
|
1,031
|
|
|
0
|
|
|
616
|
|
(in thousands)
|
DB Pension Plan
|
|
Life and Healthcare Plan
|
|
SERPs
|
|||||||||||||||||||||
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
|
2017
|
|
2016
|
|
2015
|
|||||||||
Discount Rates
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Benefit Cost for Plan Year
|
3.89
|
%
|
|
4.05
|
%
|
|
3.81
|
%
|
|
3.97
|
%
|
|
4.14
|
%
|
|
3.80
|
%
|
|
4.10
|
%
|
|
4.32
|
%
|
|
4.00
|
%
|
Benefit Obligation at End of Plan Year
|
3.43
|
%
|
|
3.89
|
%
|
|
4.05
|
%
|
|
3.51
|
%
|
|
3.97
|
%
|
|
4.14
|
%
|
|
3.55
|
%
|
|
4.10
|
%
|
|
4.32
|
%
|
Expected long-term return on plan assets
|
7.25
|
%
|
|
7.25
|
%
|
|
7.25
|
%
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
Rate of compensation increase
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Benefit Cost for Plan Year
|
N/A
|
|
|
N/A
|
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
Benefit Obligation at End of Plan Year
|
N/A
|
|
|
N/A
|
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
|
5.00
|
%
|
(in thousands)
|
DB Pension Plan
|
|
Life and Healthcare Plan
|
|
SERPs
|
||||||
2018
|
$
|
3,947
|
|
|
$
|
502
|
|
|
$
|
673
|
|
2019
|
4,273
|
|
|
460
|
|
|
668
|
|
|||
2020
|
4,155
|
|
|
446
|
|
|
693
|
|
|||
2021
|
4,324
|
|
|
435
|
|
|
684
|
|
|||
2022
|
4,227
|
|
|
435
|
|
|
738
|
|
|||
2023-2027
|
23,444
|
|
|
2,262
|
|
|
4,453
|
|
|||
Total
|
$
|
44,370
|
|
|
$
|
4,540
|
|
|
$
|
7,909
|
|
|
2017
|
|
2016
|
||
Equity securities
|
65
|
%
|
|
68
|
%
|
Debt securities
|
34
|
%
|
|
30
|
%
|
Other
|
1
|
%
|
|
2
|
%
|
Total Allocation
|
100
|
%
|
|
100
|
%
|
1.
|
Restricted stock, private placements, short positions, calls, puts, or margin transactions;
|
2.
|
Commodities, oil and gas properties, real estate properties, or
|
3.
|
Any investment that would constitute a prohibited transaction as described in the Employee Retirement Income Security Act of 1974 (“ERISA”), section 407, 29 U.S.C. 1106.
|
Fair Value Measurements
|
|
|
|
|
|
|
|
||||||||
December 31, 2017
|
|
|
|
|
|
|
|
||||||||
(in thousands)
|
Fair Value 2017
|
|
(Level 1)
|
|
(Level 2)
|
|
(Level 3)
|
||||||||
Cash and cash equivalents
|
$
|
448
|
|
|
$
|
448
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Common stocks
|
24,994
|
|
|
24,994
|
|
|
0
|
|
|
0
|
|
||||
Mutual funds
|
54,712
|
|
|
54,712
|
|
|
0
|
|
|
0
|
|
||||
Total Fair Value of Plan Assets
|
$
|
80,154
|
|
|
$
|
80,154
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Fair Value Measurements
|
|
|
|
|
|
|
|
||||||||
December 31, 2016
|
|
|
|
|
|
|
|
||||||||
(in thousands)
|
Fair Value 2016
|
|
(Level 1)
|
|
(Level 2)
|
|
(Level 3)
|
||||||||
Cash and cash equivalents
|
$
|
1,147
|
|
|
$
|
1,147
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Common stocks
|
23,291
|
|
|
23,291
|
|
|
0
|
|
|
0
|
|
||||
Mutual funds
|
46,619
|
|
|
46,619
|
|
|
0
|
|
|
0
|
|
||||
Preferred stocks
|
750
|
|
|
0
|
|
|
750
|
|
|
0
|
|
||||
Total Fair Value of Plan Assets
|
$
|
71,807
|
|
|
$
|
71,057
|
|
|
$
|
750
|
|
|
$
|
0
|
|
|
Number of Shares/Rights
|
|
Weighted Average Exercise Price
|
|
Weighted Average Remaining Contractual Term
|
|
Aggregate Intrinsic Value
|
|||||
Outstanding at January 1, 2017
|
338,516
|
|
|
$
|
45.56
|
|
|
|
|
|
||
Granted
|
0
|
|
|
0.00
|
|
|
|
|
|
|||
Exercised
|
(66,878
|
)
|
|
37.96
|
|
|
|
|
|
|||
Forfeited
|
(2,132
|
)
|
|
58.58
|
|
|
|
|
|
|||
Outstanding at December 31, 2017
|
269,506
|
|
|
$
|
47.34
|
|
|
5.32
|
|
$
|
9,167,831
|
|
Exercisable at December 31, 2017
|
130,610
|
|
|
$
|
41.88
|
|
|
3.76
|
|
$
|
5,155,065
|
|
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Net proceeds from stock option exercises
|
$
|
(641
|
)
|
|
$
|
(806
|
)
|
|
$
|
1,382
|
|
Tax benefits related to stock option and SAR exercises and vesting of restricted shares
|
1,634
|
|
|
1,433
|
|
|
358
|
|
|||
Intrinsic value of stock option exercises
|
3,139
|
|
|
3,718
|
|
|
3,014
|
|
|
2017
|
|
2016
|
|
2015
|
||||
Weighted per share average fair value at grant date
|
N/A
|
|
$
|
12.88
|
|
|
$
|
8.96
|
|
Risk-free interest rate
|
N/A
|
|
1.57
|
%
|
|
1.80
|
%
|
||
Expected dividend yield
|
N/A
|
|
3.00
|
%
|
|
3.80
|
%
|
||
Volatility
|
N/A
|
|
24.58
|
%
|
|
25.32
|
%
|
||
Expected life (years)
|
N/A
|
|
5.50
|
|
|
6.00
|
|
|
Number of Shares
|
|
Weighted Average Fair Value
|
|||
Unvested at January 1, 2017
|
251,716
|
|
|
$
|
54.46
|
|
Granted
|
59,333
|
|
|
79.51
|
|
|
Vested
|
(44,073
|
)
|
|
46.76
|
|
|
Forfeited
|
(5,603
|
)
|
|
60.72
|
|
|
Unvested at December 31, 2017
|
261,373
|
|
|
$
|
61.32
|
|
|
Year ended December 31,
|
||||||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
NONINTEREST INCOME
|
|
|
|
|
|
||||||
Other service charges
|
$
|
2,982
|
|
|
$
|
2,671
|
|
|
$
|
2,972
|
|
Increase in cash surrender value of corporate owned life insurance
|
2,196
|
|
|
2,106
|
|
|
2,064
|
|
|||
Net gain on sale of loans
|
50
|
|
|
95
|
|
|
54
|
|
|||
Other miscellaneous income
|
2,403
|
|
|
1,419
|
|
|
3,788
|
|
|||
Total other noninterest income
|
$
|
7,631
|
|
|
$
|
6,291
|
|
|
$
|
8,878
|
|
NONINTEREST EXPENSES
|
|
|
|
|
|
||||||
Marketing expense
|
$
|
5,013
|
|
|
$
|
5,087
|
|
|
$
|
4,780
|
|
Professional fees
|
5,725
|
|
|
5,446
|
|
|
5,352
|
|
|||
Technology expense
|
8,332
|
|
|
7,011
|
|
|
6,220
|
|
|||
Cardholder expense
|
3,391
|
|
|
2,503
|
|
|
2,653
|
|
|||
Other miscellaneous expenses
|
20,483
|
|
|
17,029
|
|
|
18,662
|
|
|||
Total other noninterest expenses
|
$
|
42,944
|
|
|
$
|
37,076
|
|
|
$
|
37,667
|
|
(in thousands)
|
Current
|
|
Deferred
|
|
Total
|
||||||
2017
|
|
|
|
|
|
||||||
Federal
|
$
|
26,860
|
|
|
$
|
14,749
|
|
|
$
|
41,609
|
|
State
|
1,162
|
|
|
(151
|
)
|
|
1,011
|
|
|||
Total
|
$
|
28,022
|
|
|
$
|
14,598
|
|
|
$
|
42,620
|
|
2016
|
|
|
|
|
|
||||||
Federal
|
$
|
22,943
|
|
|
$
|
1,551
|
|
|
$
|
24,494
|
|
State
|
2,243
|
|
|
308
|
|
|
2,551
|
|
|||
Total
|
$
|
25,186
|
|
|
$
|
1,859
|
|
|
$
|
27,045
|
|
2015
|
|
|
|
|
|
||||||
Federal
|
$
|
22,955
|
|
|
$
|
2,841
|
|
|
$
|
25,796
|
|
State
|
3,103
|
|
|
63
|
|
|
3,166
|
|
|||
Total
|
$
|
26,058
|
|
|
$
|
2,904
|
|
|
$
|
28,962
|
|
|
2017
|
|
2016
|
|
2015
|
|||
Statutory federal income tax rate
|
35.0
|
%
|
|
35.0
|
%
|
|
35.0
|
%
|
State income taxes, net of federal benefit
|
0.7
|
|
|
1.9
|
|
|
2.4
|
|
Tax exempt income
|
(2.6
|
)
|
|
(2.7
|
)
|
|
(2.5
|
)
|
Excess benefits from equity-based compensation
|
(1.6
|
)
|
|
(1.4
|
)
|
|
0.0
|
|
Bank-owned life insurance income
|
(0.8
|
)
|
|
(0.8
|
)
|
|
(0.8
|
)
|
Federal tax credit
|
(2.0
|
)
|
|
(0.4
|
)
|
|
(0.8
|
)
|
Enactment of Federal tax reform
|
15.7
|
|
|
0.0
|
|
|
0.0
|
|
All other
|
0.4
|
|
|
(0.3
|
)
|
|
(0.2
|
)
|
Total
|
44.8
|
%
|
|
31.3
|
%
|
|
33.1
|
%
|
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Deferred tax assets:
|
|
|
|
|
|
||||||
Allowance for loan and lease losses
|
$
|
9,577
|
|
|
$
|
13,737
|
|
|
$
|
12,411
|
|
Interest income on nonperforming loans
|
417
|
|
|
214
|
|
|
1,207
|
|
|||
Compensation and benefits
|
10,406
|
|
|
14,504
|
|
|
14,032
|
|
|||
Purchase accounting adjustments
|
0
|
|
|
527
|
|
|
1,920
|
|
|||
Liabilities held at fair value
|
3
|
|
|
1
|
|
|
218
|
|
|||
Tax credit carryforward
|
0
|
|
|
0
|
|
|
831
|
|
|||
Other
|
2,515
|
|
|
3,088
|
|
|
2,546
|
|
|||
Total
|
$
|
22,918
|
|
|
$
|
32,071
|
|
|
$
|
33,165
|
|
Deferred tax liabilities:
|
|
|
|
|
|
||||||
Prepaid pension
|
$
|
8,140
|
|
|
$
|
11,439
|
|
|
$
|
10,992
|
|
Depreciation
|
2,686
|
|
|
3,006
|
|
|
3,277
|
|
|||
Intangibles
|
776
|
|
|
882
|
|
|
567
|
|
|||
Purchase accounting adjustments
|
194
|
|
|
0
|
|
|
0
|
|
|||
Other
|
1,919
|
|
|
2,901
|
|
|
2,144
|
|
|||
Total deferred tax liabilities
|
$
|
13,715
|
|
|
$
|
18,228
|
|
|
$
|
16,980
|
|
Net deferred tax asset at year-end
|
$
|
9,203
|
|
|
$
|
13,843
|
|
|
$
|
16,185
|
|
Net deferred tax asset at beginning of year
|
$
|
13,843
|
|
|
$
|
16,185
|
|
|
$
|
19,089
|
|
Decrease in net deferred tax asset
|
(4,640
|
)
|
|
(2,342
|
)
|
|
(2,904
|
)
|
|||
Purchase accounting adjustments, net
|
0
|
|
|
(483
|
)
|
|
0
|
|
|||
Federal tax reform remeasurement of AOCI deferred tax asset
|
$
|
9,958
|
|
|
$
|
0
|
|
|
$
|
0
|
|
Deferred tax expense
|
$
|
14,598
|
|
|
$
|
1,859
|
|
|
$
|
2,904
|
|
December 31, 2017
|
Before-Tax
Amount |
|
Tax (Expense)
Benefit |
|
Net of Tax
|
||||||
Available-for-sale securities:
|
|
|
|
|
|
||||||
(in thousands)
|
|
|
|
|
|
||||||
Change in net unrealized gain during the period
|
$
|
(4,442
|
)
|
|
$
|
1,761
|
|
|
$
|
(2,681
|
)
|
Reclassification adjustment for net realized loss on sale included in available-for-sale securities
|
407
|
|
|
(163
|
)
|
|
244
|
|
|||
Net unrealized losses
|
(4,035
|
)
|
|
1,598
|
|
|
(2,437
|
)
|
|||
|
|
|
|
|
|
||||||
Employee benefit plans:
|
|
|
|
|
|
||||||
Net retirement plan loss
|
(4,549
|
)
|
|
1,115
|
|
|
(3,434
|
)
|
|||
Net retirement plan prior service credit
|
964
|
|
|
(236
|
)
|
|
728
|
|
|||
Amortization of net retirement plan actuarial loss
|
1,508
|
|
|
(603
|
)
|
|
905
|
|
|||
Amortization of net retirement plan prior service (cost) credit
|
15
|
|
|
(6
|
)
|
|
9
|
|
|||
Employee benefit plans
|
(2,062
|
)
|
|
270
|
|
|
(1,792
|
)
|
|||
|
|
|
|
|
|
||||||
Other comprehensive loss
|
$
|
(6,097
|
)
|
|
$
|
1,868
|
|
|
$
|
(4,229
|
)
|
December 31, 2016
|
Before-Tax
Amount |
|
Tax (Expense)
Benefit |
|
Net of Tax
|
||||||
Available-for-sale securities:
|
|
|
|
|
|
||||||
(in thousands)
|
|
|
|
|
|
||||||
Change in net unrealized gain during the period
|
$
|
(7,689
|
)
|
|
$
|
3,074
|
|
|
$
|
(4,615
|
)
|
Reclassification adjustment for net realized gain on sale included in available-for-sale securities
|
(926
|
)
|
|
370
|
|
|
(556
|
)
|
|||
Net unrealized losses
|
(8,615
|
)
|
|
3,444
|
|
|
(5,171
|
)
|
|||
|
|
|
|
|
|
||||||
Employee benefit plans:
|
|
|
|
|
|
||||||
Net retirement plan loss
|
(2,787
|
)
|
|
1,114
|
|
|
(1,673
|
)
|
|||
Net retirement plan prior service credit
|
(188
|
)
|
|
75
|
|
|
(113
|
)
|
|||
Amortization of net retirement plan actuarial loss
|
1,338
|
|
|
(535
|
)
|
|
803
|
|
|||
Amortization of net retirement plan prior service (cost) credit
|
76
|
|
|
(30
|
)
|
|
46
|
|
|||
Employee benefit plans
|
(1,561
|
)
|
|
624
|
|
|
(937
|
)
|
|||
|
|
|
|
|
|
||||||
Other comprehensive loss
|
$
|
(10,176
|
)
|
|
$
|
4,068
|
|
|
$
|
(6,108
|
)
|
December 31, 2015
|
Before-Tax
Amount |
|
Tax (Expense)
Benefit |
|
Net of Tax
|
||||||
Available-for-sale securities:
|
|
|
|
|
|
||||||
(in thousands)
|
|
|
|
|
|
||||||
Change in net unrealized gain during the period
|
$
|
(8,241
|
)
|
|
$
|
3,295
|
|
|
$
|
(4,946
|
)
|
Reclassification adjustment for net realized gain on sale included in available-for-sale securities
|
(1,108
|
)
|
|
443
|
|
|
(665
|
)
|
|||
Net unrealized losses
|
(9,349
|
)
|
|
3,738
|
|
|
(5,611
|
)
|
|||
|
|
|
|
|
|
||||||
Employee benefit plans:
|
|
|
|
|
|
||||||
Net retirement plan gain
|
1,846
|
|
|
(738
|
)
|
|
1,108
|
|
|||
Amortization of net retirement plan actuarial loss
|
2,218
|
|
|
(887
|
)
|
|
1,331
|
|
|||
Amortization of net retirement plan prior service (cost) credit
|
(6,362
|
)
|
|
2,544
|
|
|
(3,818
|
)
|
|||
Employee benefit plans
|
(2,298
|
)
|
|
919
|
|
|
(1,379
|
)
|
|||
|
|
|
|
|
|
||||||
Other comprehensive loss
|
$
|
(11,647
|
)
|
|
$
|
4,657
|
|
|
$
|
(6,990
|
)
|
(in thousands)
|
Available-for-Sale
Securities |
|
Employee Benefit
Plans
|
|
Accumulated Other
Comprehensive Income (loss) |
||||||
Balance at January 1, 2015
|
$
|
2,867
|
|
|
$
|
(26,878
|
)
|
|
$
|
(24,011
|
)
|
Other comprehensive loss
|
(5,611
|
)
|
|
(1,379
|
)
|
|
(6,990
|
)
|
|||
Balance at December 31, 2015
|
$
|
(2,744
|
)
|
|
$
|
(28,257
|
)
|
|
$
|
(31,001
|
)
|
|
|
|
|
|
|
||||||
Balance at January 1, 2016
|
(2,744
|
)
|
|
(28,257
|
)
|
|
(31,001
|
)
|
|||
Other comprehensive loss
|
(5,171
|
)
|
|
(937
|
)
|
|
(6,108
|
)
|
|||
Balance at December 31, 2016
|
$
|
(7,915
|
)
|
|
$
|
(29,194
|
)
|
|
$
|
(37,109
|
)
|
|
|
|
|
|
|
||||||
Balance at January 1, 2017
|
(7,915
|
)
|
|
(29,194
|
)
|
|
(37,109
|
)
|
|||
Other comprehensive loss
|
(2,437
|
)
|
|
(1,792
|
)
|
|
(4,229
|
)
|
|||
Reclassification due to adoption of ASU 2018-02
|
(2,653
|
)
|
|
(7,305
|
)
|
|
(9,958
|
)
|
|||
Balance at December 31, 2017
|
$
|
(13,005
|
)
|
|
$
|
(38,291
|
)
|
|
$
|
(51,296
|
)
|
December 31, 2017
|
|
|
|
||
Details about Accumulated other Comprehensive Income
(Loss) Components (in thousands) |
Amount
Reclassified from Accumulated Other Comprehensive Income 1 |
|
Affected Line Item in the Statement Where Net Income is Presented
|
||
Available-for-sale securities:
|
|
|
|
||
Unrealized gains and losses on available-for-sale securities
|
$
|
(407
|
)
|
|
Net (loss) gain on securities transactions
|
|
163
|
|
|
Tax expense
|
|
|
(244
|
)
|
|
Net of tax
|
|
Employee benefit plans:
|
|
|
|
||
Amortization of the following
2
|
|
|
|
||
Net retirement plan actuarial loss
|
(1,508
|
)
|
|
Pension and other employee benefits
|
|
Net retirement plan prior service credit
|
(15
|
)
|
|
Pension and other employee benefits
|
|
|
(1,523
|
)
|
|
Total before tax
|
|
|
609
|
|
|
Tax benefit
|
|
|
(914
|
)
|
|
Net of tax
|
December 31, 2016
|
|
|
|
||
Details about Accumulated other Comprehensive Income
(Loss) Components (in thousands) |
Amount
Reclassified from Accumulated Other Comprehensive Income 1 |
|
Affected Line Item in the Statement Where Net Income is Presented
|
||
Available-for-sale securities:
|
|
|
|
||
Unrealized gains and losses on available-for-sale securities
|
$
|
926
|
|
|
Net (loss) gain on securities transactions
|
|
(370
|
)
|
|
Tax expense
|
|
|
556
|
|
|
Net of tax
|
|
Employee benefit plans:
|
|
|
|
||
Amortization of the following
2
|
|
|
|
||
Net retirement plan actuarial loss
|
(1,338
|
)
|
|
Pension and other employee benefits
|
|
Net retirement plan prior service credit
|
(76
|
)
|
|
Pension and other employee benefits
|
|
|
(1,414
|
)
|
|
Total before tax
|
|
|
565
|
|
|
Tax benefit
|
|
|
(849
|
)
|
|
Net of tax
|
(in thousands)
|
2017
|
|
2016
|
||||
Loan commitments
|
$
|
148,611
|
|
|
$
|
125,472
|
|
Standby letters of credit
|
27,805
|
|
|
57,723
|
|
||
Undisbursed portion of lines of credit
|
815,188
|
|
|
773,893
|
|
||
Total
|
$
|
991,604
|
|
|
$
|
957,088
|
|
|
Year ended December 31,
|
||||||||||
(in thousands, except share and per share data)
|
2017
|
|
2016
|
|
2015
|
||||||
Basic
|
|
|
|
|
|
||||||
Net income available to common shareholders
|
$
|
52,494
|
|
|
$
|
59,340
|
|
|
$
|
58,421
|
|
Less: income attributable to unvested stock-based compensation awards
|
(818
|
)
|
|
(912
|
)
|
|
(834
|
)
|
|||
Net earnings allocated to common shareholders
|
51,676
|
|
|
58,428
|
|
|
57,587
|
|
|||
|
|
|
|
|
|
||||||
Weighted average shares outstanding, including unvested stock-based compensation awards
|
15,193,438
|
|
|
15,044,733
|
|
|
14,940,274
|
|
|||
|
|
|
|
|
|
||||||
Less: unvested stock-based compensation awards
|
(243,006
|
)
|
|
(232,021
|
)
|
|
(212,081
|
)
|
|||
Weighted average shares outstanding - Basic
|
14,950,432
|
|
|
14,812,712
|
|
|
14,728,193
|
|
|||
|
|
|
|
|
|
||||||
Diluted
|
|
|
|
|
|
||||||
Net earnings allocated to common shareholders
|
51,676
|
|
|
58,428
|
|
|
57,587
|
|
|||
|
|
|
|
|
|
||||||
Weighted average shares outstanding - Basic
|
14,950,432
|
|
|
14,812,712
|
|
|
14,728,193
|
|
|||
|
|
|
|
|
|
||||||
Plus: incremental shares from assumed conversion of stock-based compensation awards
|
122,823
|
|
|
123,519
|
|
|
134,833
|
|
|||
|
|
|
|
|
|
||||||
Weighted average shares outstanding - Diluted
|
15,073,255
|
|
|
14,936,231
|
|
|
14,863,026
|
|
|||
|
|
|
|
|
|
||||||
Basic EPS
|
$
|
3.46
|
|
|
$
|
3.94
|
|
|
$
|
3.91
|
|
Diluted EPS
|
$
|
3.43
|
|
|
$
|
3.91
|
|
|
$
|
3.87
|
|
(in thousands)
|
Fair Value
12/31/2017 |
|
(Level 1)
|
|
(Level 2)
|
|
(Level 3)
|
||||||||
Available-for-sale securities
|
|
|
|
|
|
|
|
||||||||
Obligations of U.S. Government sponsored entities
|
$
|
504,193
|
|
|
$
|
0
|
|
|
$
|
504,193
|
|
|
$
|
0
|
|
Obligations of U.S. states and political subdivisions
|
91,519
|
|
|
0
|
|
|
91,519
|
|
|
0
|
|
||||
Mortgage-backed securities - residential
|
|
|
|
|
|
|
|
||||||||
U.S. Government agencies
|
137,735
|
|
|
0
|
|
|
137,735
|
|
|
0
|
|
||||
U.S. Government sponsored entities
|
656,178
|
|
|
0
|
|
|
656,178
|
|
|
0
|
|
||||
Non-U.S. Government agencies or sponsored entities
|
75
|
|
|
0
|
|
|
75
|
|
|
0
|
|
||||
U.S. corporate debt securities
|
2,162
|
|
|
0
|
|
|
2,162
|
|
|
0
|
|
||||
Equity securities
|
913
|
|
|
0
|
|
|
0
|
|
|
913
|
|
(in thousands)
|
Fair Value
12/31/2016 |
|
(Level 1)
|
|
(Level 2)
|
|
(Level 3)
|
||||
Available-for-sale securities
|
|
|
|
|
|
|
|
||||
Obligations of U.S. Government sponsored entities
|
527,627
|
|
|
0
|
|
|
527,627
|
|
|
0
|
|
Obligations of U.S. states and political subdivisions
|
89,056
|
|
|
0
|
|
|
89,056
|
|
|
0
|
|
Mortgage-backed securities - residential
|
|
|
|
|
|
|
|
||||
U.S. Government agencies
|
158,226
|
|
|
0
|
|
|
158,226
|
|
|
0
|
|
U.S. Government sponsored entities
|
651,430
|
|
|
0
|
|
|
651,430
|
|
|
0
|
|
Non-U.S. Government agencies or sponsored entities
|
116
|
|
|
0
|
|
|
116
|
|
|
0
|
|
U.S. corporate debt securities
|
2,162
|
|
|
0
|
|
|
2,162
|
|
|
0
|
|
Equity securities
|
921
|
|
|
0
|
|
|
0
|
|
|
921
|
|
|
|
|
Fair value measurements at reporting date using:
|
|
Gain (losses)
from fair value changes |
||||||||||||||
(in thousands)
|
As of
|
|
Quoted prices in active markets for identical assets
|
|
Significant other observable inputs
|
|
Significant
unobservable inputs |
|
Twelve months ended
|
||||||||||
Assets:
|
12/31/2017
|
|
(Level 1)
|
|
(Level 2)
|
|
(Level 3)
|
|
12/31/2017
|
||||||||||
Impaired Loans
|
$
|
4,617
|
|
|
$
|
0
|
|
|
$
|
4,617
|
|
|
$
|
0
|
|
|
$
|
(332
|
)
|
Other real estate owned
|
2,047
|
|
|
0
|
|
|
2,047
|
|
|
0
|
|
|
(532
|
)
|
|
|
|
Fair value measurements at reporting date using:
|
|
Gain (losses)
from fair value changes |
||||||||||||||
(in thousands)
|
As of
|
|
Quoted prices in active markets for identical assets
|
|
Significant other observable inputs
|
|
Significant unobservable inputs
|
|
Twelve months ended
|
||||||||||
Assets:
|
12/31/2016
|
|
(Level 1)
|
|
(Level 2)
|
|
(Level 3)
|
|
12/31/2016
|
||||||||||
Impaired Loans
|
$
|
7,296
|
|
|
$
|
0
|
|
|
$
|
7,296
|
|
|
$
|
0
|
|
|
$
|
(234
|
)
|
Other real estate owned
|
908
|
|
|
0
|
|
|
908
|
|
|
0
|
|
|
(76
|
)
|
|
Actual
|
|
Minimum Capital Required- Basel III Fully Phased-In
|
|
Required
to be Considered Well Capitalized |
(dollar amounts in thousands)
|
Amount/Ratio
|
|
Amount/Ratio
|
|
Amount/Ratio
|
December 31, 2017
|
|
|
|
|
|
Total Capital (to risk-weighted assets)
|
|
|
|
|
|
The Company (consolidated)
|
$585,013 /12.3%
|
|
$500,676/>10.5%
|
|
$476,835/>10.0%
|
Trust Company
|
$171,774/12.5%
|
|
$144,235/>10.5%
|
|
$137,366/>10.0%
|
Castile
|
$125,510/11.3%
|
|
$117,042/>10.5%
|
|
$111,469/>10.0%
|
Mahopac
|
$117,740/12.1%
|
|
$102,555/>10.5%
|
|
$97,672/>10.0%
|
VIST
|
$148,185/11.4%
|
|
$136,518/>10.5%
|
|
$130,017/>10.0%
|
Common EquityTier 1 Capital (to risk-weighted assets)
|
|
|
|
|
|
The Company (consolidated)
|
$526,822/11.1%
|
|
$333,784/>7.0%
|
|
$309,943/>6.5%
|
Trust Company
|
$160,047/11.7%
|
|
$96,156/>7.0%
|
|
$89,288/>6.5%
|
Castile
|
$116,783/10.5%
|
|
$78,028>7.0%
|
|
$72,455/>6.5%
|
Mahopac
|
$105,979/10.9%
|
|
$68,370/>7.0%
|
|
$63,487/>6.5%
|
VIST
|
$138,901/10.7%
|
|
$91,012/>7.0%
|
|
$84,511/>6.5%
|
Tier 1 Capital (to risk-weighted assets)
|
|
|
|
|
|
The Company (consolidated)
|
$543,514/11.4%
|
|
$405,310/>8.5%
|
|
$381,468/>8.0%
|
Trust Company
|
$160,047/11.7%
|
|
$116,761/>8.5%
|
|
$109,893/>8.0%
|
Castile
|
$116,783/10.5%
|
|
$94,748/>8.5%
|
|
$89,175/>8.0%
|
Mahopac
|
$105,979/10.9%
|
|
$83,021/>8.5%
|
|
$78,137/>8.0%
|
VIST
|
$138,901/10.7%
|
|
$110,515/>8.5%
|
|
$104,014/>8.0%
|
Tier 1 Capital (to average assets)
|
|
|
|
|
|
The Company (consolidated)
|
$543,514/8.4%
|
|
$257,887/>4.0%
|
|
$322,359/>5.0%
|
Trust Company
|
$160,047/7.8%
|
|
$82,425/>4.0%
|
|
$103,031/>5.0%
|
Castile
|
$116,783/8.1%
|
|
$57,833/>4.0%
|
|
$72,292/>5.0%
|
Mahopac
|
$105,979/8.1%
|
|
$52,463/>4.0%
|
|
$65,578/>5.0%
|
VIST
|
$138,901/8.6%
|
|
$64,647/>4.0%
|
|
$80,809/>5.0%
|
|
|
|
|
|
|
December 31, 2016
|
|
|
|
|
|
Total Capital (to risk-weighted assets)
|
|
|
|
|
|
The Company (consolidated)
|
$540,109 /12.2%
|
|
$463,995/>10.5%
|
|
$441,900/>10.0%
|
Trust Company
|
$154,062/12.3%
|
|
$131,092/>10.5%
|
|
$124,850/>10.0%
|
Castile
|
$114,282/10.7%
|
|
$112,480/>10.5%
|
|
$107,124/>10.0%
|
Mahopac
|
$111,727/12.6%
|
|
$92,956/>10.5%
|
|
$88,530/>10.0%
|
VIST
|
$141,193/11.9%
|
|
$124,840/>10.5%
|
|
$118,895/>10.0%
|
Common EquityTier 1 Capital (to risk-weighted assets)
|
|
|
|
|
|
The Company (consolidated)
|
$486,006/11.0%
|
|
$309,330/>7.0%
|
|
$287,235/>6.5%
|
Trust Company
|
$144,672/11.6%
|
|
$87,395/>7.0%
|
|
$81,152/>6.5%
|
Castile
|
$105,998/9.9%
|
|
$74,986/>7.0%
|
|
$69,630/>6.5%
|
Mahopac
|
$100,956/11.4%
|
|
$61,971/>7.0%
|
|
$57,544/>6.5%
|
VIST
|
$133,505/11.2%
|
|
$83,226/>7.0%
|
|
$77,282/>6.5%
|
Tier 1 Capital (to risk-weighted assets)
|
|
|
|
|
|
The Company (consolidated)
|
$502,525/11.4%
|
|
$375,615/>8.5%
|
|
$353,520/>8.0%
|
Trust Company
|
$144,672/11.6%
|
|
$106,122/>8.5%
|
|
$99,880/>8.0%
|
Castile
|
$105,998/9.9%
|
|
$91,055/>8.5%
|
|
$85,699/>8.0%
|
Mahopac
|
$100,956/11.4%
|
|
$75,250/>8.5%
|
|
$70,824/>8.0%
|
VIST
|
$133,505/11.2%
|
|
$101,061/>8.5%
|
|
$95,116/>8.0%
|
Tier 1 Capital (to average assets)
|
|
|
|
|
|
The Company (consolidated)
|
$502,525/8.4%
|
|
$238,872/>4.0%
|
|
$298,590/>5.0%
|
Trust Company
|
$144,672/7.7%
|
|
$75,246/>4.0%
|
|
$94,057/>5.0%
|
Castile
|
$105,998/7.7%
|
|
$54,851/>4.0%
|
|
$68,563/>5.0%
|
Mahopac
|
$100,956/8.4%
|
|
$48,333/>4.0%
|
|
$60,416/>5.0%
|
VIST
|
$133,505/8.9%
|
|
$59,984/>4.0%
|
|
$74,980/>5.0%
|
Condensed Statements of Condition
|
|
|
|
||||
(in thousands)
|
2017
|
|
2016
|
||||
Assets
|
|
|
|
||||
|
|
|
|
||||
Cash
|
$
|
3,326
|
|
|
$
|
28,398
|
|
Investment in subsidiaries, at equity
|
586,976
|
|
|
563,691
|
|
||
Other
|
10,686
|
|
|
10,345
|
|
||
Total Assets
|
$
|
600,988
|
|
|
$
|
602,434
|
|
|
|
|
|
||||
Liabilities and Shareholders’ Equity
|
|
|
|
||||
|
|
|
|
||||
Borrowings
|
$
|
9,000
|
|
|
$
|
16,000
|
|
Trust preferred debentures issued to non-consolidated subsidiary
|
16,691
|
|
|
37,681
|
|
||
Other liabilities
|
517
|
|
|
800
|
|
||
Tompkins Financial Corporation Shareholders’ Equity
|
574,780
|
|
|
547,953
|
|
||
Total Liabilities and Shareholders’ Equity
|
$
|
600,988
|
|
|
$
|
602,434
|
|
Condensed Statements of Income
|
|
|
|
|
|
||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Dividends from available-for-sale securities
|
$
|
0
|
|
|
$
|
0
|
|
|
$
|
2
|
|
Dividends received from subsidiaries
|
33,522
|
|
|
47,584
|
|
|
28,667
|
|
|||
Other income
|
281
|
|
|
269
|
|
|
593
|
|
|||
Total Operating Income
|
33,803
|
|
|
47,853
|
|
|
29,262
|
|
|||
|
|
|
|
|
|
||||||
Interest expense
|
1,550
|
|
|
2,743
|
|
|
2,648
|
|
|||
Other expenses
|
6,120
|
|
|
6,089
|
|
|
5,996
|
|
|||
Total Operating Expenses
|
7,670
|
|
|
8,832
|
|
|
8,644
|
|
|||
Income Before Taxes and Equity in Undistributed
|
|
|
|
|
|
||||||
Earnings of Subsidiaries
|
26,133
|
|
|
39,021
|
|
|
20,618
|
|
|||
Income tax benefit
|
1,867
|
|
|
3,549
|
|
|
2,987
|
|
|||
Equity in undistributed earnings of subsidiaries
|
24,494
|
|
|
16,770
|
|
|
34,816
|
|
|||
Net Income
|
$
|
52,494
|
|
|
$
|
59,340
|
|
|
$
|
58,421
|
|
Condensed Statements of Cash Flows
|
|
|
|
|
|
||||||
(in thousands)
|
2017
|
|
2016
|
|
2015
|
||||||
Operating activities
|
|
|
|
|
|
||||||
Net income
|
$
|
52,494
|
|
|
$
|
59,340
|
|
|
$
|
58,421
|
|
Adjustments to reconcile net income to net cash provided by operating activities
|
|
|
|
|
|
||||||
Equity in undistributed earnings of subsidiaries
|
(24,494
|
)
|
|
(16,770
|
)
|
|
(34,816
|
)
|
|||
Other, net
|
(1,569
|
)
|
|
1,826
|
|
|
1,511
|
|
|||
Net Cash Provided by Operating Activities
|
26,431
|
|
|
44,396
|
|
|
25,116
|
|
|||
Investing activities
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
Other, net
|
1,052
|
|
|
24
|
|
|
81
|
|
|||
Net Cash Provided by Investing Activities
|
1,052
|
|
|
24
|
|
|
81
|
|
|||
Financing activities
|
|
|
|
|
|
||||||
|
|
|
|
|
|
||||||
Borrowings, net
|
(28,161
|
)
|
|
2,490
|
|
|
0
|
|
|||
Cash dividends
|
(27,627
|
)
|
|
(26,603
|
)
|
|
(25,411
|
)
|
|||
Repurchase of common shares
|
0
|
|
|
(1,166
|
)
|
|
(3,505
|
)
|
|||
Net shares issued related to restricted stock awards
|
(1,294
|
)
|
|
(835
|
)
|
|
(195
|
)
|
|||
Shares issued for dividend reinvestment plans
|
2,872
|
|
|
3,201
|
|
|
0
|
|
|||
Shares issued for employee stock ownership plan
|
2,296
|
|
|
1,938
|
|
|
1,595
|
|
|||
Net proceeds from exercise of stock options
|
(641
|
)
|
|
(806
|
)
|
|
1,382
|
|
|||
Common stock issued
|
0
|
|
|
0
|
|
|
50
|
|
|||
Net Cash Used in Financing Activities
|
(52,555
|
)
|
|
(21,781
|
)
|
|
(26,084
|
)
|
|||
Net (decrease) increase in cash
|
(25,072
|
)
|
|
22,639
|
|
|
(887
|
)
|
|||
Cash at beginning of year
|
28,398
|
|
|
5,759
|
|
|
6,646
|
|
|||
Cash at End of Year
|
$
|
3,326
|
|
|
$
|
28,398
|
|
|
$
|
5,759
|
|
As of and for the year ended December 31, 2017
|
|||||||||||||||||||
(in thousands)
|
Banking
|
|
Insurance
|
|
Wealth Management
|
|
Intercompany
|
|
Consolidated
|
||||||||||
Interest income
|
$
|
226,764
|
|
|
$
|
2
|
|
|
$
|
0
|
|
|
$
|
(2
|
)
|
|
$
|
226,764
|
|
Interest expense
|
25,462
|
|
|
0
|
|
|
0
|
|
|
(2
|
)
|
|
25,460
|
|
|||||
Net interest income
|
201,302
|
|
|
2
|
|
|
0
|
|
|
0
|
|
|
201,304
|
|
|||||
Provision for loan and lease losses
|
4,161
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
4,161
|
|
|||||
Noninterest income
|
25,498
|
|
|
29,106
|
|
|
16,345
|
|
|
(1,745
|
)
|
|
69,204
|
|
|||||
Noninterest expense
|
135,750
|
|
|
24,503
|
|
|
12,597
|
|
|
(1,745
|
)
|
|
171,105
|
|
|||||
Income before income tax expense
|
86,889
|
|
|
4,605
|
|
|
3,748
|
|
|
0
|
|
|
95,242
|
|
|||||
Income tax expense
|
39,731
|
|
|
1,705
|
|
|
1,184
|
|
|
0
|
|
|
42,620
|
|
|||||
Net Income attributable to noncontrolling interests and Tompkins Financial Corporation
|
47,158
|
|
|
2,900
|
|
|
2,564
|
|
|
0
|
|
|
52,622
|
|
|||||
Less: Net income attributable to noncontrolling interests
|
128
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
128
|
|
|||||
Net Income attributable to Tompkins Financial Corporation
|
$
|
47,030
|
|
|
$
|
2,900
|
|
|
$
|
2,564
|
|
|
$
|
0
|
|
|
$
|
52,494
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization
|
$
|
7,927
|
|
|
$
|
285
|
|
|
$
|
57
|
|
|
$
|
0
|
|
|
$
|
8,269
|
|
Assets
|
6,602,242
|
|
|
39,599
|
|
|
17,779
|
|
|
(11,330
|
)
|
|
6,648,290
|
|
|||||
Goodwill
|
64,369
|
|
|
19,711
|
|
|
8,211
|
|
|
0
|
|
|
92,291
|
|
|||||
Other intangibles, net
|
5,170
|
|
|
3,812
|
|
|
281
|
|
|
0
|
|
|
9,263
|
|
|||||
Net loans and leases
|
4,629,349
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
4,629,349
|
|
|||||
Deposits
|
4,848,654
|
|
|
0
|
|
|
0
|
|
|
(10,847
|
)
|
|
4,837,807
|
|
|||||
Total equity
|
530,386
|
|
|
31,083
|
|
|
14,733
|
|
|
0
|
|
|
576,202
|
|
As of and for the year ended December 31, 2016
|
|||||||||||||||||||
(in thousands)
|
Banking
|
|
Insurance
|
|
Wealth Management
|
|
Intercompany
& Merger |
|
Consolidated
|
||||||||||
Interest income
|
$
|
202,739
|
|
|
$
|
2
|
|
|
$
|
0
|
|
|
$
|
(2
|
)
|
|
$
|
202,739
|
|
Interest expense
|
22,105
|
|
|
0
|
|
|
0
|
|
|
(2
|
)
|
|
22,103
|
|
|||||
Net interest income
|
180,634
|
|
|
2
|
|
|
0
|
|
|
0
|
|
|
180,636
|
|
|||||
Provision for loan and lease losses
|
4,321
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
4,321
|
|
|||||
Noninterest income
|
24,402
|
|
|
29,741
|
|
|
15,842
|
|
|
(1,177
|
)
|
|
68,808
|
|
|||||
Noninterest expense
|
123,004
|
|
|
24,564
|
|
|
12,216
|
|
|
(1,177
|
)
|
|
158,607
|
|
|||||
Income before income tax expense
|
77,711
|
|
|
5,179
|
|
|
3,626
|
|
|
0
|
|
|
86,516
|
|
|||||
Income tax expense
|
23,928
|
|
|
1,906
|
|
|
1,211
|
|
|
0
|
|
|
27,045
|
|
|||||
Net Income attributable to noncontrolling interests and Tompkins Financial Corporation
|
53,783
|
|
|
3,273
|
|
|
2,415
|
|
|
0
|
|
|
59,471
|
|
|||||
Less: Net income attributable to noncontrolling interests
|
131
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
131
|
|
|||||
Net Income attributable to Tompkins Financial Corporation
|
$
|
53,652
|
|
|
$
|
3,273
|
|
|
$
|
2,415
|
|
|
$
|
0
|
|
|
$
|
59,340
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization
|
$
|
6,401
|
|
|
$
|
353
|
|
|
$
|
75
|
|
|
$
|
0
|
|
|
$
|
6,829
|
|
Assets
|
6,190,824
|
|
|
38,988
|
|
|
15,403
|
|
|
(8,459
|
)
|
|
6,236,756
|
|
|||||
Goodwill
|
64,369
|
|
|
20,043
|
|
|
8,211
|
|
|
0
|
|
|
92,623
|
|
|||||
Other intangibles, net
|
6,433
|
|
|
4,560
|
|
|
356
|
|
|
0
|
|
|
11,349
|
|
|||||
Net loans and leases
|
4,222,278
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
4,222,278
|
|
|||||
Deposits
|
4,633,527
|
|
|
0
|
|
|
0
|
|
|
(8,388
|
)
|
|
4,625,139
|
|
|||||
Total equity
|
506,411
|
|
|
30,825
|
|
|
12,169
|
|
|
0
|
|
|
549,405
|
|
As of and for the year ended December 31, 2015
|
|||||||||||||||||||
(in thousands)
|
Banking
|
|
Insurance
|
|
Wealth Management
|
|
Intercompany & Merger
|
|
Consolidated
|
||||||||||
Interest income
|
$
|
188,598
|
|
|
$
|
2
|
|
|
$
|
148
|
|
|
$
|
(2
|
)
|
|
$
|
188,746
|
|
Interest expense
|
20,367
|
|
|
0
|
|
|
0
|
|
|
(2
|
)
|
|
20,365
|
|
|||||
Net interest income
|
168,231
|
|
|
2
|
|
|
148
|
|
|
0
|
|
|
168,381
|
|
|||||
Provision for loan and lease losses
|
2,945
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
2,945
|
|
|||||
Noninterest income
|
27,096
|
|
|
29,818
|
|
|
16,037
|
|
|
(1,011
|
)
|
|
71,940
|
|
|||||
Noninterest expense
|
115,706
|
|
|
23,783
|
|
|
11,384
|
|
|
(1,011
|
)
|
|
149,862
|
|
|||||
Income before income tax expense
|
76,676
|
|
|
6,037
|
|
|
4,801
|
|
|
0
|
|
|
87,514
|
|
|||||
Income tax expense
|
24,923
|
|
|
2,416
|
|
|
1,623
|
|
|
0
|
|
|
28,962
|
|
|||||
Net Income attributable to noncontrolling interests and Tompkins Financial Corporation
|
51,753
|
|
|
3,621
|
|
|
3,178
|
|
|
0
|
|
|
58,552
|
|
|||||
Less: Net income attributable to noncontrolling interests
|
131
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
131
|
|
|||||
Net Income attributable to Tompkins Financial Corporation
|
$
|
51,622
|
|
|
$
|
3,621
|
|
|
$
|
3,178
|
|
|
$
|
0
|
|
|
$
|
58,421
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Depreciation and amortization
|
5,985
|
|
|
367
|
|
|
116
|
|
|
0
|
|
|
$
|
6,468
|
|
||||
Assets
|
5,646,459
|
|
|
36,625
|
|
|
13,951
|
|
|
(7,040
|
)
|
|
5,689,995
|
|
|||||
Goodwill
|
64,369
|
|
|
19,212
|
|
|
8,211
|
|
|
0
|
|
|
91,792
|
|
|||||
Other intangibles, net
|
7,820
|
|
|
4,187
|
|
|
441
|
|
|
0
|
|
|
12,448
|
|
|||||
Net loans and leases
|
3,740,038
|
|
|
0
|
|
|
0
|
|
|
0
|
|
|
3,740,038
|
|
|||||
Deposits
|
4,401,896
|
|
|
0
|
|
|
0
|
|
|
(6,590
|
)
|
|
4,395,306
|
|
|||||
Total equity
|
476,138
|
|
|
28,182
|
|
|
12,146
|
|
|
0
|
|
|
516,466
|
|
Unaudited Quarterly Financial Data
|
|||||||||||||||
|
2017
|
||||||||||||||
(in thousands)
|
First
|
|
Second
|
|
Third
|
|
Fourth
|
||||||||
Interest and dividend income
|
$
|
53,621
|
|
|
$
|
56,342
|
|
|
$
|
57,772
|
|
|
$
|
59,029
|
|
Interest expense
|
5,587
|
|
|
6,041
|
|
|
6,772
|
|
|
7,060
|
|
||||
Net interest income
|
48,034
|
|
|
50,301
|
|
|
51,000
|
|
|
51,969
|
|
||||
Provision for loan and lease losses
|
769
|
|
|
976
|
|
|
402
|
|
|
2,014
|
|
||||
Income before income tax
|
23,137
|
|
|
25,207
|
|
|
25,917
|
|
|
20,981
|
|
||||
Net income
|
15,717
|
|
|
16,926
|
|
|
17,394
|
|
|
2,457
|
|
||||
Net income per common share (basic)
|
1.04
|
|
|
1.11
|
|
|
1.14
|
|
|
0.16
|
|
||||
Net income per common share (diluted)
|
1.03
|
|
|
1.11
|
|
|
1.14
|
|
|
0.16
|
|
Unaudited Quarterly Financial Data
|
|||||||||||||||
|
2016
|
||||||||||||||
(in thousands)
|
First
|
|
Second
|
|
Third
|
|
Fourth
|
||||||||
Interest and dividend income
|
$
|
49,309
|
|
|
$
|
50,417
|
|
|
$
|
51,077
|
|
|
$
|
51,936
|
|
Interest expense
|
5,271
|
|
|
5,510
|
|
|
5,760
|
|
|
5,562
|
|
||||
Net interest income
|
44,038
|
|
|
44,907
|
|
|
45,317
|
|
|
46,374
|
|
||||
Provision for loan and lease losses
|
855
|
|
|
978
|
|
|
782
|
|
|
1,706
|
|
||||
Income before income tax
|
21,180
|
|
|
21,625
|
|
|
22,116
|
|
|
21,595
|
|
||||
Net income
|
14,251
|
|
|
14,833
|
|
|
15,138
|
|
|
15,118
|
|
||||
Net income per common share (basic)
|
0.95
|
|
|
0.99
|
|
|
1.01
|
|
|
1.00
|
|
||||
Net income per common share (diluted)
|
0.94
|
|
|
0.98
|
|
|
1.00
|
|
|
0.99
|
|
Plan Category
|
Number of Securities to be
Issued Upon Exercise of Outstanding Options, Warrants and Rights |
|
Weighted Average Exercise
Price of Outstanding Options, Warrants and Rights |
|
Number of Securities
Remaining Available For Future Issuance Under Equity Compensation Plans (excluding Securities in Column (a)) |
||||
|
(a)
|
|
(b)
|
|
(c)
|
||||
Equity Compensation Plans Approved by Security Holders
|
530,879
|
|
|
$
|
54.23
|
|
|
772,109
|
|
Equity Compensation Plans Not Approved by Security Holders
|
0
|
|
|
0
|
|
|
0
|
|
(a)(1)
|
The following financial statements and Reports of KPMG LLP are included in this Annual Report on Form 10-K:
|
|
Reports of KPMG LLP, Independent Registered Public Accounting Firm on Consolidated Financial Statements and Internal Control over Financial Reporting
Consolidated Statements of Condition as of December 31, 2017 and 2016
Consolidated Statements of Income for the years ended December 31, 2017, 2016, and 2015
Consolidated Statement of Comprehensive Income for the years ended December 31, 2017, 2016, and 2015
Consolidated Statements of Cash Flows for the years ended December 31, 2017, 2016, and 2015
Consolidated Statements of Changes in Shareholders’ Equity for the years ended December 31, 2017, 2016, and 2015
Notes to Consolidated Financial Statements
Unaudited Quarterly Financial Data
|
(a)(2)
|
List of Financial Schedules
|
|
Not Applicable.
|
(a)(3)
|
Exhibits
|
|
The exhibits listed on the Exhibit Index of this Annual Report on Form 10-K, incorporated by reference in this Item 15, have been previously filed, are filed herewith, or are incorporated herein by reference to other filings.
|
|
TOMPKINS FINANCIAL CORPORATION
|
|
|
|
|
/S/ Stephen S. Romaine
|
|
|
|
|
|
By:
|
Stephen S. Romaine
|
|
|
President and Chief Executive Officer
|
|
|
(Principal Executive Officer)
|
|
|
|
|
|
Date: March 1, 2018
|
Signature
|
|
Date
|
|
Capacity
|
|
Signature
|
|
Date
|
|
Capacity
|
/S/Thomas R. Rochon
|
|
3/1/18
|
|
Chairman of the Board
|
|
/S/Susan A. Henry
|
|
3/1/18
|
|
Director
|
Thomas R. Rochon
|
|
|
|
Director
|
|
Susan A. Henry
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
/S/Stephen S. Romaine
|
|
3/1/18
|
|
President and Chief Executive
|
|
/S/Patricia A. Johnson
|
|
3/1/18
|
|
Director
|
Stephen S. Romaine
|
|
|
|
Officer (Principal Executive Officer)
|
|
Patricia A. Johnson
|
|
|
|
|
|
|
|
|
Director
|
|
|
|
|
|
|
|
|
|
|
|
|
/S/Frank C. Milewski
|
|
3/1/18
|
|
Director
|
/S/James W. Fulmer
|
|
3/1/18
|
|
Vice Chairman, Director
|
|
Frank C. Milewski
|
|
|
|
|
James W. Fulmer
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
/S/Michael H. Spain
|
|
3/1/18
|
|
Director
|
/S/Francis M. Fetsko
|
|
3/1/18
|
|
Executive Vice President and
|
|
Michael H. Spain
|
|
|
|
|
Francis M. Fetsko
|
|
|
|
Chief Financial Officer
|
|
|
|
|
|
|
|
|
|
|
(Principal Financial Officer)
|
|
/S/Alfred J. Weber
|
|
3/1/18
|
|
Director
|
|
|
|
|
(Principal Accounting
|
|
Alfred J. Weber
|
|
|
|
|
|
|
|
|
Officer)
|
|
|
|
|
|
|
/S/John E. Alexander
|
|
3/1/18
|
|
Director
|
|
/S/Craig Yunker
|
|
3/1/18
|
|
Director
|
John E. Alexander
|
|
|
|
|
|
Craig Yunker
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
/S/Paul J. Battaglia
|
|
3/1/18
|
|
Director
|
|
|
|
|
|
|
Paul J. Battaglia
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
/S/Daniel J. Fessenden
|
|
3/1/18
|
|
Director
|
|
|
|
|
|
|
Daniel J. Fessenden
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
10.2*
|
|
|
|
|
|
10.3*
|
|
Form of Director Deferred Compensation Agreement, incorporated herein by reference to Exhibit 10.4 to the Company’s Registration Statement on Form 8-A (No. 0-27514), filed with the Commission on December 29, 1995.
|
|
|
|
10.4*
|
|
Deferred Compensation Plan for Senior Officers, incorporated herein by reference to Exhibit 10.5 to the Company’s Registration Statement on Form 8-A (No. 0-27514), filed with the Commission on December 29, 1995.
|
|
|
|
10.5
|
|
Lease Agreement dated August 20, 1993, between Tompkins County Trust Company and Comex Plaza Associates, relating to leased property at the Rothschild Building, Ithaca, NY, incorporated herein by reference to Exhibit 10.8 to the Company’s Form 10-K, filed with the Commission on March 26, 1996.
|
|
|
|
10.6*
|
|
|
|
|
|
10.7*
|
|
|
|
|
|
10.8*
|
|
|
|
|
|
10.9*
|
|
|
|
|
|
10.10*
|
|
|
|
|
|
10.11*
|
|
|
|
|
|
10.12*
|
|
|
|
|
|
10.13*
|
|
|
|
|
|
10.14*
|
|
|
|
|
|
10.15*
|
|
|
|
|
|
10.16*
|
|
|
|
|
|
10.17*
|
|
|
|
|
|
10.18
|
|
|
|
|
|
10.19
|
|
|
|
|
|
10.20*
|
|
|
|
|
|
10.21*
|
|
|
|
|
|
10.22*
|
|
|
|
|
|
10.23*
|
|
|
|
|
|
10.24*
|
|
|
|
|
|
10.25*
|
|
|
|
|
|
21
|
|
|
|
|
|
23
|
|
|
|
|
|
24
|
|
|
|
|
|
31.1
|
|
|
|
|
|
31.2
|
|
|
|
|
|
32.1
|
|
|
|
|
|
32.2
|
|
|
|
|
|
101
|
|
The following materials from the company’s Annual report on Form 10-K for the year ended December 31, 2017, formatted in XBRL (eXtensibel Business reporting Language): (i) Condensed Consolidated Statements of Condition as of December 31, 2017; (ii) Condensed Consolidated Statements of Income as of December 31, 2017; (iii) Condensed consolidated Statements of Comprehensive Income as of December 31, 2017; (iv) Condensed Consolidated Statements of Cash Flows as of December 31, 2017; (v) Condensed Consolidated Statements of Changes in Shareholders’ Equity as of December 31, 2017; and (vi) Notes to Unaudited Condensed Consolidated Financial Statements.
|
1.
|
Section 1 of the Plan is hereby amended and restated in its entirety, as follows:
|
a.
|
In shares of common stock, par value $0. l 0 per share, of Tompkins Financial Corporation, pursuant to Section 5 of this Plan ("
Deferred Stock Compensation
"); and/or,
|
b.
|
In deferred cash compensation, pursuant to Section 6 of this Plan
("Deferred Cash Compensation
"); and/or,
|
c.
|
In cash;
|
/s/ KPMG LLP
|
|
Rochester, New York
|
|
March 1, 2018
|
|
/s/ Stephen S. Romaine
|
|
|
|
Stephen S. Romaine
|
|
President and Chief Executive Officer
|
|
(Principal Executive Officer)
|
|
/s/ Francis M. Fetsko
|
|
Francis M. Fetsko
|
|
Executive Vice President, Chief Financial Officer, and Chief Operating Officer
|
|
(Principal Financial Officer)
|
|
(Principal Accounting Officer)
|
|
|
/s/ Stephen S. Romaine
|
|
Stephen S. Romaine
|
|
President and Chief
|
|
Executive Officer
|
|
/s/ Francis M. Fetsko
|
|
Francis M. Fetsko
|
|
Executive Vice President, Chief Financial Officer, and
|
|
Chief Operating Officer
|
|
(Principal Accounting Officer)
|