|
Delaware
(State or other jurisdiction of incorporation or organization)
|
|
95-4703316
(I.R.S. Employer Identification No.)
|
135 North Los Robles Ave., 7th Floor, Pasadena, California
(Address of principal executive offices)
|
|
91101
(Zip Code)
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Title of each class
|
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Name of each exchange on which registered
|
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Common Stock, $0.001 Par Value
|
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NASDAQ “Global Select Market”
|
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|
|
Large accelerated filer
|
x
|
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Non-accelerated filer
|
¨
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Accelerated filer
|
¨
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Smaller reporting company
|
¨
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Page
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•
|
the Company’s ability to compete effectively against other financial institutions in its banking markets;
|
•
|
changes in the commercial and consumer real estate markets;
|
•
|
changes in the Company’s costs of operation, compliance and expansion;
|
•
|
changes in the U.S. economy, including inflation, employment levels, rate of growth and general business conditions;
|
•
|
changes in government interest rate policies;
|
•
|
changes in laws or the regulatory environment including regulatory reform initiatives and policies of the U.S. Department of Treasury, the Board of Governors of the Federal Reserve Board (“Federal Reserve”) System, the Federal Deposit Insurance Corporation (“FDIC”), the U.S. Securities and Exchange Commission (“SEC”) and the Consumer Financial Protection Bureau (“CFPB”);
|
•
|
changes in the economy of and monetary policy in the People’s Republic of China;
|
•
|
changes in accounting standards as may be required by the Financial Accounting Standards Board (“FASB”) or other regulatory agencies and their impact on critical accounting policies and assumptions;
|
•
|
changes in the equity and debt securities markets;
|
•
|
future credit quality and performance, including our expectations regarding future credit losses and allowance levels;
|
•
|
fluctuations of the Company’s stock price;
|
•
|
fluctuations in foreign currency exchange rates;
|
•
|
success and timing of the Company’s business strategies;
|
•
|
impact of reputational risk from negative publicity, fines and penalties and other negative consequences from regulatory violations and legal actions;
|
•
|
impact of potential federal tax increases and spending cuts;
|
•
|
impact of adverse judgments or settlements in litigation;
|
•
|
impact of regulatory enforcement actions;
|
•
|
changes in the Company’s ability to receive dividends from its subsidiaries;
|
•
|
impact of political developments, wars or other hostilities that may disrupt or increase volatility in securities or otherwise affect economic conditions;
|
•
|
impact of natural or man-made disasters or calamities or conflicts;
|
•
|
continuing consolidation in the financial services industry;
|
•
|
the Company’s capital requirements and its ability to generate capital internally or raise capital on favorable terms;
|
•
|
impact of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) on the Company’s business, business practices and cost of operations;
|
•
|
impact of adverse changes to the Company’s credit ratings from the major credit rating agencies;
|
•
|
impact of failure in, or breach of, the Company’s operational or security systems or infrastructure, or those of third parties with whom the Company does business, including as a result of cyber attacks; and other similar matters;
|
•
|
adequacy of the Company’s risk management framework, disclosure controls and procedures and internal control over financial reporting;
|
•
|
the effect of the current low interest rate environment or changes in interest rates on our net interest income and net interest margin;
|
•
|
the effect of changes in the level of checking or savings account deposits on the Company’s funding costs and net interest margin; and
|
•
|
a recurrence of significant turbulence or disruption in the capital or financial markets, which could result in, among other things, a reduction in the availability of funding or increased funding costs, reduced investor demand for mortgage loans and declines in asset values and/or recognition of other-than-temporary impairment on securities held in the Company’s available-for-sale investment securities portfolio.
|
•
|
require periodic reports and such additional information as the Federal Reserve may require;
|
•
|
require the Company to maintain certain levels of capital and, under the Dodd-Frank Act, limit the ability of bank holding companies to pay dividends or bonuses unless their capital levels exceed the capital conservation buffer (please see
Item 1. Business — Supervision and Regulation — Capital Requirements
);
|
•
|
require bank holding companies to serve as a source of financial and managerial strength to subsidiary banks and commit resources, as necessary, to support each subsidiary bank. A bank holding company’s failure to meet its obligations to serve as a source of strength to its subsidiary banks will generally be considered by the Federal Reserve to be an unsafe and unsound banking practice or a violation of Federal Reserve regulations or both;
|
•
|
restrict the receipt and the payment of dividends;
|
•
|
terminate an activity or terminate control of or liquidate or divest certain subsidiaries, affiliates or investments if the Federal Reserve believes that the activity or the control of the subsidiary or affiliate constitutes a significant risk to the financial safety, soundness or stability of any bank subsidiary;
|
•
|
regulate provisions of certain bank holding company debt, including the authority to impose interest ceilings and reserve requirements on such debt and require prior approval to purchase or redeem the Company’s securities in certain situations;
|
•
|
require the prior approval of senior executive officer or director changes and prohibit golden parachute payments, including change in control agreements, or new employment agreements with such payment terms, which are contingent upon termination;
|
•
|
approve acquisitions and mergers with banks and consider certain competitive, management, financial and other factors in granting these approvals. DBO approvals may also be required for certain mergers and acquisitions.
|
•
|
risks to consumers and compliance with the Federal consumer financial laws, when it evaluates the policies and practices of a financial institution;
|
•
|
unfair, deceptive, or abusive acts on practices, which the Dodd-Frank Act empowers the agency to prevent through rulemaking, enforcement and examination;
|
•
|
rulemaking to implement various federal consumer statutes such as the Home Mortgage Disclosure Act, Truth in Lending Act, Real Estate Settlement Procedures Act and Electronic Fund Transfer Act;
|
•
|
the markets in which firms operate and risks to consumers posed by activities in those markets; and
|
•
|
with respect to the indirect auto business, holding lenders accountable for discriminatory dealer markups.
|
•
|
4.5% CET1 to risk-weighted assets;
|
•
|
6.0% Tier 1 capital (that is, CET1 plus Additional Tier 1 capital) to risk-weighted assets;
|
•
|
8.0% total capital (that is, Tier 1 capital plus Tier 2 capital) to risk-weighted assets; and
|
•
|
4.0% Tier 1 leverage ratio.
|
•
|
4.5% CET1 to risk-weighted assets, plus the capital conservation buffer, effectively resulting in a minimum ratio of CET1 to risk-weighted assets of at least 7%;
|
•
|
6.0% Tier 1 capital to risk-weighted assets, plus the capital conservation buffer, effectively resulting in a minimum Tier 1 capital ratio of at least 8.5%;
|
•
|
8.0% total capital to risk-weighted assets, plus the capital conservation buffer, effectively resulting in a minimum total capital ratio of at least 10.5%; and
|
•
|
4.0% Tier 1 leverage ratio.
|
•
|
consistent with the Basel I risk-based capital rules, assigning exposures secured by single family residential properties to either a 50% risk weight for first-lien mortgages that meet prudential underwriting standards or a 100% risk weight category for all other mortgages;
|
•
|
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 (set at 0% under the Basel I risk based capital rules);
|
•
|
assigning a 150% risk weight to all exposures that are nonaccrual or 90 days or more past due (set at 100% under the Basel I risk-based capital rules), except for those secured by single family residential properties, which will be assigned a 100% risk weight, consistent with the Basel I risk-based capital rules;
|
•
|
applying a 150% risk weight instead of a 100% risk weight for certain high volatility CRE acquisition, development and construction loans; and
|
•
|
applying a 250% risk weight to the portion of mortgage servicing rights and deferred tax assets arising from temporary differences that could not be realized through net operating loss carrybacks that are not deducted from CET1 capital (set at 100% under the Basel I risk-based capital rules).
|
•
|
The process the Company uses to estimate losses inherent in the Company’s credit exposure requires difficult, subjective and complex judgments, including forecasts of economic conditions and how these economic conditions might impair the ability of the borrowers to repay their loans. The level of uncertainty concerning economic conditions may adversely affect the accuracy of the Company’s estimates which may, in turn, impact the reliability of the process.
|
•
|
The Company’s commercial and residential borrowers may be unable to make timely repayments of their loans, or the decrease in value of real estate collateral securing the payment of such loans could result in credit losses, delinquencies, foreclosures and customer bankruptcies, any of which could have a material adverse effect on the Company’s operating results.
|
•
|
A decrease in the demand for loans and other products and services offered by us.
|
•
|
A decrease in deposit balances due to overall reductions in customers’ accounts.
|
•
|
The value of the portfolio of available-for-sale investment securities that the Company holds may be adversely affected by defaults by debtors.
|
•
|
Future disruptions in the capital markets or other events, including actions by rating agencies and deteriorating investor expectations, may result in an inability to borrow on favorable terms or at all from other financial institutions.
|
•
|
actual or anticipated quarterly fluctuations in the Company’s operating results and financial condition;
|
•
|
changes in revenue or earnings estimates or publication of research reports and recommendations by financial analysts;
|
•
|
failure to meet analysts’ revenue or earnings estimates;
|
•
|
speculation in the press or investment community;
|
•
|
strategic actions by the Company or its competitors, such as acquisitions or restructurings;
|
•
|
actions by institutional stockholders;
|
•
|
fluctuations in the stock price and operating results of the Company’s competitors;
|
•
|
general market conditions and, in particular, developments related to market conditions for the financial services industry;
|
•
|
proposed or adopted regulatory changes or developments;
|
•
|
anticipated or pending investigations, proceedings or litigation that involve or affect the Company; or
|
•
|
domestic and international economic factors unrelated to the Company’s performance.
|
|
||||||||||
|
|
2015
|
||||||||
|
|
High
|
|
Low
|
|
Cash dividends
|
||||
First quarter
|
|
$
|
41.48
|
|
|
$
|
35.68
|
|
|
$0.20
|
Second quarter
|
|
$
|
46.50
|
|
|
$
|
39.88
|
|
|
$0.20
|
Third quarter
|
|
$
|
45.91
|
|
|
$
|
37.19
|
|
|
$0.20
|
Fourth quarter
|
|
$
|
43.94
|
|
|
$
|
36.40
|
|
|
$0.20
|
|
|
||||||||||
|
|
2014
|
||||||||
|
|
High
|
|
Low
|
|
Cash dividends
|
||||
First quarter
|
|
$
|
38.26
|
|
|
$
|
31.62
|
|
|
$0.18
|
Second quarter
|
|
$
|
36.98
|
|
|
$
|
32.19
|
|
|
$0.18
|
Third quarter
|
|
$
|
36.95
|
|
|
$
|
33.04
|
|
|
$0.18
|
Fourth quarter
|
|
$
|
39.71
|
|
|
$
|
30.50
|
|
|
$0.18
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
December 31,
|
||||||||||||||||||||||
Index
|
|
2010
|
|
2011
|
|
2012
|
|
2013
|
|
2014
|
|
2015
|
||||||||||||
East West Bancorp, Inc.
|
|
$
|
100.00
|
|
|
$
|
101.92
|
|
|
$
|
112.90
|
|
|
$
|
187.48
|
|
|
$
|
211.71
|
|
|
$
|
231.75
|
|
KBW Regional Bank Index (KRX)
|
|
$
|
100.00
|
|
|
$
|
94.86
|
|
|
$
|
107.42
|
|
|
$
|
157.75
|
|
|
$
|
161.57
|
|
|
$
|
171.13
|
|
S&P 500
|
|
$
|
100.00
|
|
|
$
|
102.11
|
|
|
$
|
118.45
|
|
|
$
|
156.82
|
|
|
$
|
178.28
|
|
|
$
|
180.75
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Indices used in the prior year
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
SNL Western U.S. Bank Index
|
|
$
|
100.00
|
|
|
$
|
90.34
|
|
|
$
|
114.01
|
|
|
$
|
160.41
|
|
|
$
|
192.51
|
|
|
$
|
199.46
|
|
SNL U.S. Bank and Thrift Index
|
|
$
|
100.00
|
|
|
$
|
77.76
|
|
|
$
|
104.42
|
|
|
$
|
142.97
|
|
|
$
|
159.60
|
|
|
$
|
162.83
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
•
|
Net income increased
$38.8 million
or
11%
from
$345.9 million
in
2014
to
$384.7 million
in
2015
. Net income per diluted share for the full year of
2015
totaled
$2.66
, an increase of
$0.25
or
10%
from $2.41 in
2014
.
|
•
|
Revenue, the sum of net interest income and noninterest income (loss), before provision for credit losses
increase
d
$104.7 million
or
10%
to
$1.13 billion
for the year ended
December 31, 2015
.
|
•
|
The return on average assets and the return on average equity was 1.27% and 12.74%, respectively for the year ended
December 31, 2015
, both up two basis points year-over-year.
|
•
|
Total assets
increase
d
$3.61 billion
or
13%
from
2014
to a record of
$32.35 billion
as of
December 31, 2015
.
|
•
|
Total loans receivable (including loans held for sale) increased $1.92 billion or 9% to a record of $23.69 billion as of
December 31, 2015
, which was largely attributable to increases of $1.29 billion or 19% in commercial real estate (“CRE”) loans, $925.8 million or 11% in commercial loans and $442.3 million or 29% in consumer loans, partially offset by a decrease of $799.9 million or 21% in single-family residential loans, as a result of loan sales during
2015
.
|
•
|
Deposits increased
$3.47 billion
or
14%
from 2014 to a record
$27.48 billion
as of
December 31, 2015
, with core deposits amounting to a record
$20.86 billion
.
|
•
|
Cost of funds decreased from 0.46% in
2014
to 0.39% in
2015
.
|
•
|
The allowance for loan losses to loans held-for-investment ratio decreased to
1.12%
as of
December 31, 2015
, from
1.20%
as of
December 31, 2014
. The decrease in the allowance for loan losses to loans held-for-investment ratio was primarily the result of an overall improvement in credit quality.
|
•
|
Nonperforming assets as of
December 31, 2015
totaled
$128.4 million
, an improvement of
$4.0 million
or 3%, compared to
$132.4 million
as of
December 31, 2014
. Nonperforming assets to total assets ratio improved by
six
basis points to
0.40%
as of
December 31, 2015
. This ratio was below 1.00% for the fourth consecutive year. In addition, year-to-date net charge-offs to average loans held-for-investments improved from
0.18%
for the year ended
December 31, 2014
to
0.01%
for the year ended
December 31, 2015
.
|
|
||||||||||||||||||||
($ in thousands, except per share data)
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
||||||||||
Summary of Operations:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest and dividend income
|
|
$
|
1,053,815
|
|
|
$
|
1,153,698
|
|
|
$
|
1,068,685
|
|
|
$
|
1,051,095
|
|
|
$
|
1,080,448
|
|
Interest expense
|
|
103,376
|
|
|
112,820
|
|
|
112,492
|
|
|
132,168
|
|
|
177,422
|
|
|||||
Net interest income before provision for credit losses
|
|
950,439
|
|
|
1,040,878
|
|
|
956,193
|
|
|
918,927
|
|
|
903,026
|
|
|||||
Provision for credit losses
|
|
14,217
|
|
|
49,158
|
|
|
22,364
|
|
|
65,184
|
|
|
95,006
|
|
|||||
Net interest income after provision for credit losses
|
|
936,222
|
|
|
991,720
|
|
|
933,829
|
|
|
853,743
|
|
|
808,020
|
|
|||||
Noninterest income (loss)
(1)
|
|
183,383
|
|
|
(11,714
|
)
|
|
(92,468
|
)
|
|
(5,618
|
)
|
|
10,924
|
|
|||||
Noninterest expense
(2)
|
|
540,884
|
|
|
532,983
|
|
|
394,215
|
|
|
406,837
|
|
|
424,377
|
|
|||||
Income before income taxes
(2)
|
|
578,721
|
|
|
447,023
|
|
|
447,146
|
|
|
441,288
|
|
|
394,567
|
|
|||||
Income tax expense
(2)
|
|
194,044
|
|
|
101,145
|
|
|
153,822
|
|
|
163,552
|
|
|
151,794
|
|
|||||
Net income
(2)
|
|
384,677
|
|
|
345,878
|
|
|
293,324
|
|
|
277,736
|
|
|
242,773
|
|
|||||
Preferred stock dividends
|
|
—
|
|
|
—
|
|
|
3,428
|
|
|
6,857
|
|
|
6,857
|
|
|||||
Net income available to common stockholders
(2)
|
|
$
|
384,677
|
|
|
$
|
345,878
|
|
|
$
|
289,896
|
|
|
$
|
270,879
|
|
|
$
|
235,916
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Per Common Share:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic earnings
(2)
|
|
$
|
2.67
|
|
|
$
|
2.42
|
|
|
$
|
2.10
|
|
|
$
|
1.89
|
|
|
$
|
1.60
|
|
Diluted earnings
(2)
|
|
$
|
2.66
|
|
|
$
|
2.41
|
|
|
$
|
2.09
|
|
|
$
|
1.87
|
|
|
$
|
1.58
|
|
Dividends declared
|
|
$
|
0.80
|
|
|
$
|
0.72
|
|
|
$
|
0.60
|
|
|
$
|
0.40
|
|
|
$
|
0.16
|
|
Book value
(2)
|
|
$
|
21.70
|
|
|
$
|
19.89
|
|
|
$
|
17.19
|
|
|
$
|
17.01
|
|
|
$
|
15.53
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Weighted Average Number of Shares Outstanding:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic
|
|
143,818
|
|
|
142,952
|
|
|
137,342
|
|
|
141,457
|
|
|
147,093
|
|
|||||
Diluted
|
|
144,512
|
|
|
143,563
|
|
|
139,574
|
|
|
147,175
|
|
|
153,467
|
|
|||||
Common shares outstanding at period-end
|
|
143,909
|
|
|
143,582
|
|
|
137,631
|
|
|
140,294
|
|
|
149,328
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
At Year End:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total assets
(2)
|
|
$
|
32,350,922
|
|
|
$
|
28,743,592
|
|
|
$
|
24,732,216
|
|
|
$
|
22,539,744
|
|
|
$
|
21,976,451
|
|
Loans held-for-investment, net
|
|
$
|
23,378,789
|
|
|
$
|
21,468,270
|
|
|
$
|
17,600,613
|
|
|
$
|
14,645,785
|
|
|
$
|
13,984,930
|
|
Available-for-sale investment securities
|
|
$
|
3,773,226
|
|
|
$
|
2,626,617
|
|
|
$
|
2,733,797
|
|
|
$
|
2,607,029
|
|
|
$
|
3,072,578
|
|
Customer deposits
|
|
$
|
27,475,981
|
|
|
$
|
24,008,774
|
|
|
$
|
20,412,918
|
|
|
$
|
18,309,354
|
|
|
$
|
17,453,002
|
|
Long-term debt
|
|
$
|
206,084
|
|
|
$
|
225,848
|
|
|
$
|
226,868
|
|
|
$
|
137,178
|
|
|
$
|
212,178
|
|
Federal Home Loan Bank (“FHLB”) advances
|
|
$
|
1,019,424
|
|
|
$
|
317,241
|
|
|
$
|
315,092
|
|
|
$
|
312,975
|
|
|
$
|
455,251
|
|
Stockholders’ equity
(2)
|
|
$
|
3,122,950
|
|
|
$
|
2,856,111
|
|
|
$
|
2,366,373
|
|
|
$
|
2,385,991
|
|
|
$
|
2,319,527
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Financial Ratios:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Return on average assets
(2)
|
|
1.27
|
%
|
|
1.25
|
%
|
|
1.24
|
%
|
|
1.27
|
%
|
|
1.13
|
%
|
|||||
Return on average equity
(2)
|
|
12.74
|
%
|
|
12.72
|
%
|
|
12.50
|
%
|
|
11.94
|
%
|
|
10.82
|
%
|
|||||
Common dividend payout ratio
(2)
|
|
30.21
|
%
|
|
30.07
|
%
|
|
28.74
|
%
|
|
21.26
|
%
|
|
10.12
|
%
|
|||||
Net interest margin
|
|
3.35
|
%
|
|
4.03
|
%
|
|
4.38
|
%
|
|
4.63
|
%
|
|
4.66
|
%
|
|||||
|
(1)
|
Changes in FDIC indemnification asset and receivable/payable was a charge of
$38.0 million
,
$201.4 million
,
$228.6 million
,
$122.3 million
and
$100.1 million
for the years ended December 31,
2015
,
2014
,
2013
,
2012
and
2011
, respectively. During the year ended December 31, 2015, the Company terminated the UCB and WFIB shared-loss agreements. Please see
Note 8
—
Loans Receivable and Allowance for Credit Losses
to the Consolidated Financial Statements for additional information.
|
(2)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
|||||||||||||||||||||||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
|||||||||||||||||||||||||||||||
|
2015
|
|
2014
|
|
2013
|
||||||||||||||||||||||||||||
|
Average
Balance
|
|
Interest
|
|
Average
Yield/
Rate
|
|
Average
Balance |
|
Interest
|
|
Average
Yield/
Rate
|
|
Average
Balance |
|
Interest
|
|
Average
Yield/
Rate
|
||||||||||||||||
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Due from banks and short-term investments
|
|
$
|
1,851,604
|
|
|
$
|
17,939
|
|
|
0.97
|
%
|
|
$
|
1,469,200
|
|
|
$
|
23,214
|
|
|
1.58
|
%
|
|
$
|
1,184,709
|
|
|
$
|
17,340
|
|
|
1.46
|
%
|
Securities sold under repurchase agreements (“resale agreements”)
(1)
|
|
1,337,274
|
|
|
19,799
|
|
|
1.48
|
%
|
|
1,340,411
|
|
|
20,323
|
|
|
1.52
|
%
|
|
1,503,014
|
|
|
21,236
|
|
|
1.41
|
%
|
||||||
Available-for-sale investment securities
(2)(3)
|
|
2,847,655
|
|
|
41,375
|
|
|
1.45
|
%
|
|
2,540,228
|
|
|
44,684
|
|
|
1.76
|
%
|
|
2,729,019
|
|
|
43,846
|
|
|
1.61
|
%
|
||||||
Loans
(4)(5)
|
|
22,276,589
|
|
|
968,625
|
|
|
4.35
|
%
|
|
20,351,818
|
|
|
1,059,205
|
|
|
5.20
|
%
|
|
16,276,031
|
|
|
979,394
|
|
|
6.02
|
%
|
||||||
FHLB and Federal Reserve Bank stock
|
|
77,460
|
|
|
6,077
|
|
|
7.85
|
%
|
|
96,921
|
|
|
6,272
|
|
|
6.47
|
%
|
|
134,918
|
|
|
6,869
|
|
|
5.09
|
%
|
||||||
Total interest-earning assets
|
|
$
|
28,390,582
|
|
|
$
|
1,053,815
|
|
|
3.71
|
%
|
|
$
|
25,798,578
|
|
|
$
|
1,153,698
|
|
|
4.47
|
%
|
|
$
|
21,827,691
|
|
|
$
|
1,068,685
|
|
|
4.90
|
%
|
Noninterest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Cash and cash equivalents
|
|
342,606
|
|
|
|
|
|
|
322,581
|
|
|
|
|
|
|
306,551
|
|
|
|
|
|
||||||||||||
Allowance for loan losses
|
|
(263,143
|
)
|
|
|
|
|
|
(254,616
|
)
|
|
|
|
|
|
(241,049
|
)
|
|
|
|
|
||||||||||||
Other assets
(6)
|
|
1,858,412
|
|
|
|
|
|
|
1,786,427
|
|
|
|
|
|
|
1,670,096
|
|
|
|
|
|
||||||||||||
Total assets
(6)
|
|
$
|
30,328,457
|
|
|
|
|
|
|
$
|
27,652,970
|
|
|
|
|
|
|
$
|
23,563,289
|
|
|
|
|
|
|||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Checking deposits
|
|
$
|
2,795,379
|
|
|
$
|
8,453
|
|
|
0.30
|
%
|
|
$
|
2,179,428
|
|
|
$
|
5,431
|
|
|
0.25
|
%
|
|
$
|
1,487,844
|
|
|
$
|
3,556
|
|
|
0.24
|
%
|
Money market deposits
|
|
6,763,979
|
|
|
18,988
|
|
|
0.28
|
%
|
|
5,958,461
|
|
|
16,001
|
|
|
0.27
|
%
|
|
5,217,666
|
|
|
15,019
|
|
|
0.29
|
%
|
||||||
Savings deposits
|
|
1,785,085
|
|
|
3,468
|
|
|
0.19
|
%
|
|
1,748,465
|
|
|
2,971
|
|
|
0.17
|
%
|
|
1,546,188
|
|
|
2,961
|
|
|
0.19
|
%
|
||||||
Time deposits
|
|
6,482,697
|
|
|
42,596
|
|
|
0.66
|
%
|
|
6,218,745
|
|
|
41,083
|
|
|
0.66
|
%
|
|
5,964,017
|
|
|
41,960
|
|
|
0.70
|
%
|
||||||
Federal funds purchased and other short-term borrowings
|
|
4,797
|
|
|
58
|
|
|
1.21
|
%
|
|
888
|
|
|
—
|
|
|
—
|
%
|
|
155
|
|
|
—
|
|
|
—
|
%
|
||||||
FHLB advances
|
|
327,080
|
|
|
4,270
|
|
|
1.31
|
%
|
|
349,767
|
|
|
4,116
|
|
|
1.18
|
%
|
|
315,867
|
|
|
4,173
|
|
|
1.32
|
%
|
||||||
Repurchase agreements
(1)
|
|
404,096
|
|
|
20,907
|
|
|
5.17
|
%
|
|
955,147
|
|
|
38,395
|
|
|
4.02
|
%
|
|
995,000
|
|
|
41,381
|
|
|
4.16
|
%
|
||||||
Long-term debt
|
|
218,353
|
|
|
4,636
|
|
|
2.12
|
%
|
|
237,738
|
|
|
4,823
|
|
|
2.03
|
%
|
|
166,690
|
|
|
3,442
|
|
|
2.06
|
%
|
||||||
Total interest-bearing liabilities
|
|
$
|
18,781,466
|
|
|
$
|
103,376
|
|
|
0.55
|
%
|
|
$
|
17,648,639
|
|
|
$
|
112,820
|
|
|
0.64
|
%
|
|
$
|
15,693,427
|
|
|
$
|
112,492
|
|
|
0.72
|
%
|
Noninterest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Demand deposits
|
|
7,928,460
|
|
|
|
|
|
|
6,834,871
|
|
|
|
|
|
|
5,179,721
|
|
|
|
|
|
||||||||||||
Other liabilities
|
|
599,436
|
|
|
|
|
|
|
451,287
|
|
|
|
|
|
|
343,112
|
|
|
|
|
|
||||||||||||
Stockholders’ equity
(6)
|
|
3,019,095
|
|
|
|
|
|
|
2,718,173
|
|
|
|
|
|
|
2,347,029
|
|
|
|
|
|
||||||||||||
Total liabilities and stockholders’ equity
(6)
|
|
$
|
30,328,457
|
|
|
|
|
|
|
$
|
27,652,970
|
|
|
|
|
|
|
$
|
23,563,289
|
|
|
|
|
|
|||||||||
Interest rate spread
|
|
|
|
|
|
3.16
|
%
|
|
|
|
|
|
|
3.83
|
%
|
|
|
|
|
|
|
4.18
|
%
|
||||||||||
Net interest income and net interest margin
|
|
|
|
$
|
950,439
|
|
|
3.35
|
%
|
|
|
|
|
$
|
1,040,878
|
|
|
4.03
|
%
|
|
|
|
|
$
|
956,193
|
|
|
4.38
|
%
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Average balance of resale and repurchase agreements are reported net pursuant to Accounting Standard Codification (“ASC”) 210-20-45,
Balance Sheet Offsetting
.
|
(2)
|
Yields on tax exempt securities are not presented on a tax-equivalent basis.
|
(3)
|
Includes the amortization of net premiums on available-for-sale investment securities of
$18.7 million
,
$24.2 million
and
$34.0 million
for the years ended
December 31, 2015
,
2014
and
2013
, respectively.
|
(4)
|
Average balance includes nonperforming loans.
|
(5)
|
Includes the accretion of discount and amortization of net deferred loan costs which totaled
$66.2 million
,
$185.8 million
and
$232.5 million
for the years ended
December 31, 2015
,
2014
and
2013
, respectively.
|
(6)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||||||||||||||
|
2015 vs. 2014
|
|
2014 vs. 2013
|
|||||||||||||||||||||
|
Total
Change
|
|
Changes Due to
|
|
Total
Change
|
|
Changes Due to
|
|||||||||||||||||
|
|
Volume
|
|
Yield/Rate
|
|
|
Volume
|
|
Yield/Rate
|
|||||||||||||||
Interest-bearing assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Due from banks and short-term investments
|
|
$
|
(5,275
|
)
|
|
$
|
5,102
|
|
|
$
|
(10,377
|
)
|
|
$
|
5,874
|
|
|
$
|
4,413
|
|
|
$
|
1,461
|
|
Resale agreements
|
|
(524
|
)
|
|
(47
|
)
|
|
(477
|
)
|
|
(913
|
)
|
|
(2,398
|
)
|
|
1,485
|
|
||||||
Available-for-sale investment securities
|
|
(3,309
|
)
|
|
5,022
|
|
|
(8,331
|
)
|
|
838
|
|
|
(3,155
|
)
|
|
3,993
|
|
||||||
Loans
|
|
(90,580
|
)
|
|
94,158
|
|
|
(184,738
|
)
|
|
79,811
|
|
|
223,735
|
|
|
(143,924
|
)
|
||||||
FHLB and Federal Reserve Bank stock
|
|
(195
|
)
|
|
(1,389
|
)
|
|
1,194
|
|
|
(597
|
)
|
|
(2,202
|
)
|
|
1,605
|
|
||||||
Total interest and dividend income
|
|
$
|
(99,883
|
)
|
|
$
|
102,846
|
|
|
$
|
(202,729
|
)
|
|
$
|
85,013
|
|
|
$
|
220,393
|
|
|
$
|
(135,380
|
)
|
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Checking deposits
|
|
$
|
3,022
|
|
|
$
|
1,722
|
|
|
$
|
1,300
|
|
|
$
|
1,875
|
|
|
$
|
1,717
|
|
|
$
|
158
|
|
Money market deposits
|
|
2,987
|
|
|
2,237
|
|
|
750
|
|
|
982
|
|
|
2,035
|
|
|
(1,053
|
)
|
||||||
Savings deposits
|
|
497
|
|
|
63
|
|
|
434
|
|
|
10
|
|
|
364
|
|
|
(354
|
)
|
||||||
Time deposits
|
|
1,513
|
|
|
1,735
|
|
|
(222
|
)
|
|
(877
|
)
|
|
1,747
|
|
|
(2,624
|
)
|
||||||
Federal funds purchased and other short-term borrowings
|
|
58
|
|
|
—
|
|
|
58
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
FHLB advances
|
|
154
|
|
|
(278
|
)
|
|
432
|
|
|
(57
|
)
|
|
424
|
|
|
(481
|
)
|
||||||
Repurchase agreements
|
|
(17,488
|
)
|
|
(26,397
|
)
|
|
8,909
|
|
|
(2,986
|
)
|
|
(1,627
|
)
|
|
(1,359
|
)
|
||||||
Long-term debt
|
|
(187
|
)
|
|
(405
|
)
|
|
218
|
|
|
1,381
|
|
|
1,442
|
|
|
(61
|
)
|
||||||
Total interest expense
|
|
$
|
(9,444
|
)
|
|
$
|
(21,323
|
)
|
|
$
|
11,879
|
|
|
$
|
328
|
|
|
$
|
6,102
|
|
|
$
|
(5,774
|
)
|
Change in net interest income
|
|
$
|
(90,439
|
)
|
|
$
|
124,169
|
|
|
$
|
(214,608
|
)
|
|
$
|
84,685
|
|
|
$
|
214,291
|
|
|
$
|
(129,606
|
)
|
|
|
||||||||||||
($ in millions)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Branch fees
|
|
$
|
39.5
|
|
|
$
|
37.9
|
|
|
$
|
32.0
|
|
Letters of credit fees and foreign exchange income
|
|
39.0
|
|
|
37.3
|
|
|
34.8
|
|
|||
Ancillary loan fees
|
|
15.0
|
|
|
10.6
|
|
|
9.4
|
|
|||
Wealth management fees
|
|
18.3
|
|
|
16.2
|
|
|
10.9
|
|
|||
Derivative commission income
|
|
16.2
|
|
|
12.8
|
|
|
8.8
|
|
|||
Changes in FDIC indemnification asset and receivable/payable
|
|
(38.0
|
)
|
|
(201.4
|
)
|
|
(228.6
|
)
|
|||
Net gains on sales of loans
|
|
24.9
|
|
|
39.1
|
|
|
7.8
|
|
|||
Net gains on sales of available-for-sale investment securities
|
|
40.4
|
|
|
10.9
|
|
|
12.1
|
|
|||
Other fees and other operating income
|
|
28.1
|
|
|
24.9
|
|
|
20.3
|
|
|||
Total noninterest income (loss)
|
|
$
|
183.4
|
|
|
$
|
(11.7
|
)
|
|
$
|
(92.5
|
)
|
|
|
|
|
|
|
|
|
||||||
|
|
Year Ended December 31,
|
||||||||||
($ in millions)
|
|
2015
|
|
2014
|
|
2013
|
||||||
Compensation and employee benefits
|
|
$
|
262.2
|
|
|
$
|
231.8
|
|
|
$
|
175.9
|
|
Occupancy and equipment expense
|
|
61.3
|
|
|
63.8
|
|
|
56.6
|
|
|||
Amortization of tax credit and other investments
(1)
|
|
36.1
|
|
|
44.1
|
|
|
6.0
|
|
|||
Amortization of premiums on deposits acquired
|
|
9.2
|
|
|
10.2
|
|
|
9.4
|
|
|||
Deposit insurance premiums and regulatory assessments
|
|
18.8
|
|
|
21.9
|
|
|
16.6
|
|
|||
Deposit related expenses
|
|
9.6
|
|
|
7.5
|
|
|
6.5
|
|
|||
Other real estate owned (“OREO”) income
|
|
(8.9
|
)
|
|
(3.6
|
)
|
|
(1.1
|
)
|
|||
Legal expense
|
|
16.4
|
|
|
53.0
|
|
|
31.7
|
|
|||
Data processing
|
|
10.2
|
|
|
15.9
|
|
|
9.1
|
|
|||
Consulting expense
|
|
17.2
|
|
|
8.5
|
|
|
6.4
|
|
|||
Repurchase agreements’ extinguishment costs
|
|
21.8
|
|
|
—
|
|
|
—
|
|
|||
Other operating expense
|
|
87.0
|
|
|
79.9
|
|
|
77.1
|
|
|||
Total noninterest expense
(1)
|
|
$
|
540.9
|
|
|
$
|
533.0
|
|
|
$
|
394.2
|
|
|
|
|
|
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
|||||||||||||||||||||||||||||||||||
($ in thousands)
|
|
Within
One Year
|
|
After One
But Within
Five Years
|
|
After Five
But Within
Ten Years
|
|
After
Ten Years
|
|
Total
|
|||||||||||||||||||||||||
|
Amount
|
|
Yield
|
|
Amount
|
|
Yield
|
|
Amount
|
|
Yield
|
|
Amount
|
|
Yield
|
|
Amount
|
|
Yield
|
||||||||||||||||
Available-for-sale investment securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
U.S. Treasury securities
|
|
$
|
110,439
|
|
|
0.50
|
%
|
|
$
|
785,929
|
|
|
1.17
|
%
|
|
$
|
102,147
|
|
|
1.78
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
998,515
|
|
|
1.16
|
%
|
U.S. government agency and U.S. government sponsored enterprise debt securities
|
|
537,393
|
|
|
1.03
|
%
|
|
143,057
|
|
|
1.02
|
%
|
|
88,399
|
|
|
1.91
|
%
|
|
—
|
|
|
—
|
%
|
|
768,849
|
|
|
1.13
|
%
|
|||||
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial mortgage-backed securities
|
|
—
|
|
|
—
|
%
|
|
43,014
|
|
|
1.03
|
%
|
|
162,615
|
|
|
1.88
|
%
|
|
146,033
|
|
|
1.99
|
%
|
|
351,662
|
|
|
1.82
|
%
|
|||||
Residential mortgage-backed securities
|
|
—
|
|
|
—
|
%
|
|
2,366
|
|
|
2.23
|
%
|
|
93,471
|
|
|
2.49
|
%
|
|
901,559
|
|
|
1.69
|
%
|
|
997,396
|
|
|
1.77
|
%
|
|||||
Municipal securities
(1)
|
|
—
|
|
|
—
|
%
|
|
142,780
|
|
|
2.32
|
%
|
|
25,252
|
|
|
2.48
|
%
|
|
7,617
|
|
|
3.94
|
%
|
|
175,649
|
|
|
2.42
|
%
|
|||||
Other residential mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Investment grade
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|
62,393
|
|
|
3.20
|
%
|
|
62,393
|
|
|
3.20
|
%
|
|||||
Corporate debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Investment grade
|
|
50,855
|
|
|
1.19
|
%
|
|
35,606
|
|
|
2.22
|
%
|
|
79,096
|
|
|
1.68
|
%
|
|
199,156
|
|
|
1.89
|
%
|
|
364,713
|
|
|
1.78
|
%
|
|||||
Non-investment grade
|
|
9,642
|
|
|
1.03
|
%
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|
9,642
|
|
|
1.03
|
%
|
|||||
Other securities
|
|
44,407
|
|
|
2.45
|
%
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|
44,407
|
|
|
2.45
|
%
|
|||||
Total available-for-sale investment securities
|
|
$
|
752,736
|
|
|
|
|
$
|
1,152,752
|
|
|
|
|
$
|
550,980
|
|
|
|
|
$
|
1,316,758
|
|
|
|
|
$
|
3,773,226
|
|
|
|
|||||
|
(1)
|
Yields on tax exempt securities are not presented on a tax-equivalent basis.
|
|
|||||||||||||||||||||||||||||||||||
($ in thousands)
|
|
December 31,
|
|||||||||||||||||||||||||||||||||
|
2015
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
||||||||||||||||||||||||||
|
Amount
|
|
%
|
|
Amount
|
|
%
|
|
Amount
|
|
%
|
|
Amount
|
|
%
|
|
Amount
|
|
%
|
||||||||||||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Income producing
|
|
$
|
7,478,474
|
|
|
32
|
%
|
|
$
|
6,256,059
|
|
|
29
|
%
|
|
$
|
5,265,160
|
|
|
30
|
%
|
|
$
|
4,743,023
|
|
|
32
|
%
|
|
$
|
4,904,555
|
|
|
34
|
%
|
Construction
|
|
438,671
|
|
|
2
|
%
|
|
332,287
|
|
|
1
|
%
|
|
225,068
|
|
|
1
|
%
|
|
394,567
|
|
|
3
|
%
|
|
551,872
|
|
|
4
|
%
|
|||||
Land
|
|
193,604
|
|
|
1
|
%
|
|
231,167
|
|
|
1
|
%
|
|
182,913
|
|
|
1
|
%
|
|
180,117
|
|
|
1
|
%
|
|
256,713
|
|
|
2
|
%
|
|||||
Total CRE
|
|
8,110,749
|
|
|
35
|
%
|
|
6,819,513
|
|
|
31
|
%
|
|
5,673,141
|
|
|
32
|
%
|
|
5,317,707
|
|
|
36
|
%
|
|
5,713,140
|
|
|
40
|
%
|
|||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Commercial business
|
|
8,213,897
|
|
|
35
|
%
|
|
7,181,189
|
|
|
33
|
%
|
|
4,881,809
|
|
|
27
|
%
|
|
3,922,989
|
|
|
26
|
%
|
|
3,148,040
|
|
|
22
|
%
|
|||||
Trade finance
|
|
789,110
|
|
|
3
|
%
|
|
896,012
|
|
|
4
|
%
|
|
875,794
|
|
|
5
|
%
|
|
843,791
|
|
|
6
|
%
|
|
732,563
|
|
|
5
|
%
|
|||||
Total C&I
|
|
9,003,007
|
|
|
38
|
%
|
|
8,077,201
|
|
|
37
|
%
|
|
5,757,603
|
|
|
32
|
%
|
|
4,766,780
|
|
|
32
|
%
|
|
3,880,603
|
|
|
27
|
%
|
|||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Single-family
|
|
3,066,919
|
|
|
13
|
%
|
|
3,866,781
|
|
|
18
|
%
|
|
3,464,383
|
|
|
19
|
%
|
|
2,514,549
|
|
|
17
|
%
|
|
2,200,101
|
|
|
16
|
%
|
|||||
Multifamily
|
|
1,522,995
|
|
|
6
|
%
|
|
1,449,908
|
|
|
7
|
%
|
|
1,364,986
|
|
|
8
|
%
|
|
1,479,346
|
|
|
10
|
%
|
|
1,756,416
|
|
|
12
|
%
|
|||||
Total residential
|
|
4,589,914
|
|
|
19
|
%
|
|
5,316,689
|
|
|
25
|
%
|
|
4,829,369
|
|
|
27
|
%
|
|
3,993,895
|
|
|
27
|
%
|
|
3,956,517
|
|
|
28
|
%
|
|||||
Consumer:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Student loans
|
|
—
|
|
|
—
|
%
|
|
—
|
|
|
—
|
%
|
|
679,220
|
|
|
4
|
%
|
|
475,799
|
|
|
3
|
%
|
|
306,325
|
|
|
2
|
%
|
|||||
Other consumer
|
|
1,956,091
|
|
|
8
|
%
|
|
1,513,742
|
|
|
7
|
%
|
|
934,627
|
|
|
5
|
%
|
|
345,440
|
|
|
2
|
%
|
|
361,630
|
|
|
3
|
%
|
|||||
Total consumer
|
|
1,956,091
|
|
|
8
|
%
|
|
1,513,742
|
|
|
7
|
%
|
|
1,613,847
|
|
|
9
|
%
|
|
821,239
|
|
|
5
|
%
|
|
667,955
|
|
|
5
|
%
|
|||||
Total loans held-for-investment
(1)
|
|
$
|
23,659,761
|
|
|
100
|
%
|
|
$
|
21,727,145
|
|
|
100
|
%
|
|
$
|
17,873,960
|
|
|
100
|
%
|
|
$
|
14,899,621
|
|
|
100
|
%
|
|
$
|
14,218,215
|
|
|
100
|
%
|
Unearned fees, premiums, and discounts, net
|
|
(16,013
|
)
|
|
|
|
2,804
|
|
|
|
|
(23,672
|
)
|
|
|
|
(19,301
|
)
|
|
|
|
(16,762
|
)
|
|
|
||||||||||
Allowance for loan losses
|
|
(264,959
|
)
|
|
|
|
(261,679
|
)
|
|
|
|
(249,675
|
)
|
|
|
|
(234,535
|
)
|
|
|
|
(216,523
|
)
|
|
|
||||||||||
Loans held for sale, net
|
|
31,958
|
|
|
|
|
45,950
|
|
|
|
|
204,970
|
|
|
|
|
174,317
|
|
|
|
|
278,603
|
|
|
|
||||||||||
Total loans, net
|
|
$
|
23,410,747
|
|
|
|
|
$
|
21,514,220
|
|
|
|
|
$
|
17,805,583
|
|
|
|
|
$
|
14,820,102
|
|
|
|
|
$
|
14,263,533
|
|
|
|
|||||
|
(1)
|
Loans net of ASC 310-30 discount.
|
|
||||||||||||||||
($ in thousands)
|
|
Within
One Year
|
|
After One
But Within
Five Years
|
|
More Than
Five Years
|
|
Total
|
||||||||
CRE
|
|
$
|
882,751
|
|
|
$
|
3,036,903
|
|
|
$
|
4,191,095
|
|
|
$
|
8,110,749
|
|
C&I
|
|
4,382,593
|
|
|
2,974,739
|
|
|
1,645,675
|
|
|
9,003,007
|
|
||||
Residential
|
|
75,221
|
|
|
287,570
|
|
|
4,227,123
|
|
|
4,589,914
|
|
||||
Consumer
|
|
42,070
|
|
|
163,852
|
|
|
1,750,169
|
|
|
1,956,091
|
|
||||
Total loans
(1)
|
|
$
|
5,382,635
|
|
|
$
|
6,463,064
|
|
|
$
|
11,814,062
|
|
|
$
|
23,659,761
|
|
|
|
|
|
|
|
|
|
|
||||||||
Distribution of loans to changes in interest rates:
|
|
|
|
|
|
|
|
|
||||||||
Fixed rate loans
|
|
$
|
550,287
|
|
|
$
|
692,988
|
|
|
$
|
614,031
|
|
|
$
|
1,857,306
|
|
Variable rate loans
|
|
4,753,420
|
|
|
5,507,715
|
|
|
7,770,189
|
|
|
18,031,324
|
|
||||
Hybrid adjustable-rate loans
|
|
78,928
|
|
|
262,361
|
|
|
3,429,842
|
|
|
3,771,131
|
|
||||
Total loans
(1)
|
|
$
|
5,382,635
|
|
|
$
|
6,463,064
|
|
|
$
|
11,814,062
|
|
|
$
|
23,659,761
|
|
|
(1)
|
Loans net of ASC 310-30 discount.
|
|
||||||||||||||||||||
($ in thousands)
|
|
December 31,
|
||||||||||||||||||
|
2015
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|||||||||||
Nonaccrual loans
|
|
$
|
121,369
|
|
|
$
|
100,262
|
|
|
$
|
129,315
|
|
|
$
|
135,490
|
|
|
$
|
164,551
|
|
OREO, net
|
|
7,034
|
|
|
32,111
|
|
|
40,273
|
|
|
59,719
|
|
|
92,974
|
|
|||||
Total nonperforming assets
|
|
$
|
128,403
|
|
|
$
|
132,373
|
|
|
$
|
169,588
|
|
|
$
|
195,209
|
|
|
$
|
257,525
|
|
Performing troubled debt restructuring (“TDR”) loans
|
|
$
|
43,575
|
|
|
$
|
68,338
|
|
|
$
|
71,826
|
|
|
$
|
94,580
|
|
|
$
|
99,603
|
|
Non-PCI nonperforming assets to total assets
|
|
0.40
|
%
|
|
0.46
|
%
|
|
0.69
|
%
|
|
0.87
|
%
|
|
1.17
|
%
|
|||||
Non-PCI nonaccrual loans to total loans held-for-investment
|
|
0.51
|
%
|
|
0.46
|
%
|
|
0.72
|
%
|
|
0.91
|
%
|
|
1.16
|
%
|
|||||
Allowance for loan losses to non-PCI nonaccrual loans
|
|
218.31
|
%
|
|
261.00
|
%
|
|
193.08
|
%
|
|
173.10
|
%
|
|
131.58
|
%
|
|||||
|
|
||||||||||||||||
($ in thousands)
|
|
December 31,
|
||||||||||||||
|
2015
|
|
2014
|
|||||||||||||
|
|
Performing TDR
|
|
Nonperforming TDR
|
|
Performing TDR
|
|
Nonperforming TDR
|
||||||||
CRE
|
|
$
|
11,470
|
|
|
$
|
8,310
|
|
|
$
|
28,364
|
|
|
$
|
8,239
|
|
C&I
|
|
17,095
|
|
|
34,285
|
|
|
16,227
|
|
|
5,413
|
|
||||
Residential
|
|
13,770
|
|
|
10,508
|
|
|
22,488
|
|
|
7,008
|
|
||||
Consumer
|
|
1,240
|
|
|
—
|
|
|
1,259
|
|
|
—
|
|
||||
Total
|
|
$
|
43,575
|
|
|
$
|
53,103
|
|
|
$
|
68,338
|
|
|
$
|
20,660
|
|
|
|
||||||||||||||
($ in thousands)
|
|
December 31, 2015
|
|
December 31, 2014
|
||||||||||
|
Amount
|
|
Percent
|
|
Amount
|
|
Percent
|
|||||||
CRE:
|
|
|
|
|
|
|
|
|
||||||
Income producing
|
|
$
|
40,067
|
|
|
24
|
%
|
|
$
|
51,141
|
|
|
31
|
%
|
Construction
|
|
14
|
|
|
—
|
%
|
|
6,913
|
|
|
4
|
%
|
||
Land
|
|
1,315
|
|
|
1
|
%
|
|
8,460
|
|
|
5
|
%
|
||
Total CRE impaired loans
|
|
41,396
|
|
|
25
|
%
|
|
66,514
|
|
|
40
|
%
|
||
C&I:
|
|
|
|
|
|
|
|
|
||||||
Commercial business
|
|
71,156
|
|
|
43
|
%
|
|
38,440
|
|
|
23
|
%
|
||
Trade finance
|
|
10,675
|
|
|
7
|
%
|
|
6,705
|
|
|
4
|
%
|
||
Total C&I impaired loans
|
|
81,831
|
|
|
50
|
%
|
|
45,145
|
|
|
27
|
%
|
||
Residential:
|
|
|
|
|
|
|
|
|
||||||
Single-family
|
|
15,012
|
|
|
9
|
%
|
|
17,401
|
|
|
11
|
%
|
||
Multifamily
|
|
23,727
|
|
|
15
|
%
|
|
34,413
|
|
|
21
|
%
|
||
Total residential impaired loans
|
|
38,739
|
|
|
24
|
%
|
|
51,814
|
|
|
32
|
%
|
||
Consumer
|
|
1,240
|
|
|
1
|
%
|
|
1,259
|
|
|
1
|
%
|
||
Total gross impaired loans
|
|
$
|
163,206
|
|
|
100
|
%
|
|
$
|
164,732
|
|
|
100
|
%
|
|
|
||||||||||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||||||||||
|
2015
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
|||||||||||
Allowance for loan losses, beginning of period
|
|
$
|
261,679
|
|
|
$
|
249,675
|
|
|
$
|
234,535
|
|
|
$
|
216,523
|
|
|
$
|
234,633
|
|
Provision for loan losses
|
|
6,569
|
|
|
47,583
|
|
|
20,207
|
|
|
66,747
|
|
|
93,958
|
|
|||||
Gross charge-offs:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
CRE
|
|
(1,545
|
)
|
|
(3,660
|
)
|
|
(3,737
|
)
|
|
(28,595
|
)
|
|
(78,803
|
)
|
|||||
C&I
|
|
(20,423
|
)
|
|
(39,984
|
)
|
|
(8,461
|
)
|
|
(26,792
|
)
|
|
(30,606
|
)
|
|||||
Residential
|
|
(1,686
|
)
|
|
(1,103
|
)
|
|
(3,197
|
)
|
|
(7,700
|
)
|
|
(13,323
|
)
|
|||||
Consumer
|
|
(600
|
)
|
|
(5,871
|
)
|
|
(2,385
|
)
|
|
(1,825
|
)
|
|
(1,959
|
)
|
|||||
Total gross charge-offs
|
|
(24,254
|
)
|
|
(50,618
|
)
|
|
(17,780
|
)
|
|
(64,912
|
)
|
|
(124,691
|
)
|
|||||
Gross recoveries:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
CRE
|
|
7,135
|
|
|
1,982
|
|
|
4,793
|
|
|
9,482
|
|
|
4,691
|
|
|||||
C&I
|
|
8,782
|
|
|
10,198
|
|
|
4,392
|
|
|
4,970
|
|
|
7,041
|
|
|||||
Residential
|
|
4,621
|
|
|
2,410
|
|
|
2,004
|
|
|
1,614
|
|
|
596
|
|
|||||
Consumer
|
|
427
|
|
|
449
|
|
|
1,524
|
|
|
111
|
|
|
295
|
|
|||||
Total gross recoveries
|
|
20,965
|
|
|
15,039
|
|
|
12,713
|
|
|
16,177
|
|
|
12,623
|
|
|||||
Net charge-offs
|
|
(3,289
|
)
|
|
(35,579
|
)
|
|
(5,067
|
)
|
|
(48,735
|
)
|
|
(112,068
|
)
|
|||||
Allowance for loan losses, end of period
|
|
264,959
|
|
|
261,679
|
|
|
249,675
|
|
|
234,535
|
|
|
216,523
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for unfunded credit reserves, beginning of period
|
|
12,712
|
|
|
11,282
|
|
|
9,437
|
|
|
11,000
|
|
|
9,952
|
|
|||||
Provision for (reversal of) unfunded credit reserves
|
|
7,648
|
|
|
1,575
|
|
|
2,157
|
|
|
(1,563
|
)
|
|
1,048
|
|
|||||
Charge-offs (recoveries)
|
|
—
|
|
|
145
|
|
|
(312
|
)
|
|
—
|
|
|
—
|
|
|||||
Allowance for unfunded credit reserves, end of period
|
|
20,360
|
|
|
$
|
12,712
|
|
|
$
|
11,282
|
|
|
$
|
9,437
|
|
|
$
|
11,000
|
|
|
Allowance for credit losses
|
|
$
|
285,319
|
|
|
$
|
274,391
|
|
|
$
|
260,957
|
|
|
$
|
243,972
|
|
|
$
|
227,523
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Average loans held-for-investment
|
|
$
|
22,146,442
|
|
|
$
|
20,105,856
|
|
|
$
|
16,055,008
|
|
|
$
|
14,276,729
|
|
|
$
|
13,806,116
|
|
Loans held-for-investment
|
|
$
|
23,659,761
|
|
|
$
|
21,727,145
|
|
|
$
|
17,873,960
|
|
|
$
|
14,899,621
|
|
|
$
|
14,218,215
|
|
Net charge-offs to average loans held-for-investment
|
|
0.01
|
%
|
|
0.18
|
%
|
|
0.03
|
%
|
|
0.34
|
%
|
|
0.81
|
%
|
|||||
Allowance for loan losses to loans held-for-investment
|
|
1.12
|
%
|
|
1.20
|
%
|
|
1.40
|
%
|
|
1.57
|
%
|
|
1.52
|
%
|
|||||
Allowance for credit losses to loans held-for-investment
|
|
1.21
|
%
|
|
1.26
|
%
|
|
1.46
|
%
|
|
1.64
|
%
|
|
1.60
|
%
|
|||||
|
|
|||||||||||||||||||||||||||||||||||
($ in thousands)
|
|
December 31,
|
|||||||||||||||||||||||||||||||||
|
2015
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
||||||||||||||||||||||||||
|
Allowance Allocation
|
|
% of Total Loans
|
|
Allowance Allocation
|
|
% of Total Loans
|
|
Allowance Allocation
|
|
% of Total Loans
|
|
Allowance Allocation
|
|
% of Total Loans
|
|
Allowance Allocation
|
|
% of Total Loans
|
||||||||||||||||
CRE
|
|
$
|
81,538
|
|
|
35
|
%
|
|
$
|
72,977
|
|
|
31
|
%
|
|
$
|
72,111
|
|
|
32
|
%
|
|
$
|
72,385
|
|
|
36
|
%
|
|
$
|
70,426
|
|
|
40
|
%
|
C&I
|
|
134,606
|
|
|
38
|
%
|
|
134,598
|
|
|
37
|
%
|
|
115,496
|
|
|
32
|
%
|
|
107,719
|
|
|
32
|
%
|
|
89,455
|
|
|
27
|
%
|
|||||
Residential
|
|
39,295
|
|
|
19
|
%
|
|
43,856
|
|
|
25
|
%
|
|
50,716
|
|
|
27
|
%
|
|
49,436
|
|
|
27
|
%
|
|
52,250
|
|
|
28
|
%
|
|||||
Consumer
|
|
9,520
|
|
|
8
|
%
|
|
10,248
|
|
|
7
|
%
|
|
11,352
|
|
|
9
|
%
|
|
4,995
|
|
|
5
|
%
|
|
4,392
|
|
|
5
|
%
|
|||||
Total
|
|
$
|
264,959
|
|
|
100
|
%
|
|
$
|
261,679
|
|
|
100
|
%
|
|
$
|
249,675
|
|
|
100
|
%
|
|
$
|
234,535
|
|
|
100
|
%
|
|
$
|
216,523
|
|
|
100
|
%
|
|
|
||||
($ in thousands)
|
|
December 31, 2015
|
||
3 months or less
|
|
$
|
1,632,697
|
|
Over 3 months through 6 months
|
|
913,768
|
|
|
Over 6 months through 12 months
|
|
1,139,297
|
|
|
Over 12 months
|
|
1,038,413
|
|
|
Total
|
|
$
|
4,724,175
|
|
|
|
|
|
|||||||||||||
December 31, 2015
|
|
Basel III Capital Rules
|
|||||||||||||
|
East West
|
|
East West
Bank
|
|
Minimum
Regulatory
Requirements
|
|
Well-
Capitalized
Requirements
|
|
Fully Phased-in Minimum Regulatory Requirement
|
||||||
CET1 risk-based capital
|
|
10.5
|
%
|
|
11.0
|
%
|
|
4.5
|
%
|
|
6.5
|
%
|
|
7.0
|
%
|
Tier 1 risk-based capital
|
|
10.7
|
%
|
|
11.0
|
%
|
|
6.0
|
%
|
|
8.0
|
%
|
|
8.5
|
%
|
Total risk-based capital
|
|
12.2
|
%
|
|
12.1
|
%
|
|
8.0
|
%
|
|
10.0
|
%
|
|
10.5
|
%
|
Tier 1 leverage capital
|
|
8.5
|
%
|
|
8.8
|
%
|
|
4.0
|
%
|
|
5.0
|
%
|
|
5.0
|
%
|
|
|
|
|
|
|
|||||||||||||
December 31, 2014
|
|
Basel I Capital Rules
|
|||||||||||||
|
East West
|
|
East West
Bank |
|
Minimum
Regulatory Requirements |
|
Well-
Capitalized Requirements |
|
Fully Phased-in Minimum Regulatory Requirement
|
||||||
CET1 risk-based capital
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
7.0
|
%
|
Tier 1 risk-based capital
|
|
11.0
|
%
|
|
10.6
|
%
|
|
4.0
|
%
|
|
6.0
|
%
|
|
8.5
|
%
|
Total risk-based capital
|
|
12.6
|
%
|
|
11.8
|
%
|
|
8.0
|
%
|
|
10.0
|
%
|
|
10.5
|
%
|
Tier 1 leverage capital
|
|
8.4
|
%
|
|
8.2
|
%
|
|
4.0
|
%
|
|
5.0
|
%
|
|
5.0
|
%
|
|
|
|
•
|
within 60 days of the Written Agreement, submit a written plan to strengthen the Board’s oversight of the Bank’s compliance with the applicable laws, rules and regulations relating to AML, including compliance with the BSA, the rules and regulations issued thereunder by the U.S. Department of Treasury, and the AML requirements of Regulation H of the Board of Governors (collectively, “BSA/AML Requirements”);
|
•
|
within 60 days of the Written Agreement, submit a written revised program for compliance with all applicable BSA/AML Requirements, which, at a minimum, will include, among other things, a system of internal controls to ensure compliance with all applicable BSA/AML Requirements and controls designed to ensure compliance with all applicable requirements relating to correspondent accounts for foreign financial institutions;
|
•
|
within 60 days of the Written Agreement, submit a written revised program for conducting appropriate levels of customer due diligence, including policies, procedures, and controls to ensure that the Bank collects, analyzes, and retains complete and accurate customer information for all account holders, including customers of the Bank’s foreign operations;
|
•
|
within 60 days of the Written Agreement, submit an enhanced written program to reasonably ensure the identification and timely, accurate and complete reporting by the Bank of all known or suspected violations of law or suspicious transactions to law enforcement and supervisory authorities as required by applicable suspicious activity reporting laws and regulations;
|
•
|
within 60 days of the Written Agreement, submit a written plan to the FRB for the full installation, testing, and activation of an effective automated transaction monitoring system to reasonably ensure the identification and timely, accurate, and complete reporting by the Bank of all known or suspected violations of law or suspicious transactions to law enforcement and supervisory authorities;
|
•
|
within 30 days following completion of the customer account remediation required by the Written Agreement, engage an independent consultant to conduct a review of, and prepare a report detailing findings relating to, account and transaction activity associated with any high risk customer accounts during a six-month period in 2014 to determine whether suspicious activity involving high risk customer accounts or transactions was properly identified and reported; and
|
•
|
within 60 days of the Written Agreement, submit a plan to enhance the Bank’s compliance with Office of Foreign Assets Control (“OFAC”) Regulations, including enhanced OFAC screening procedures and an improved methodology for assessing OFAC risks.
|
|
||||
($ in thousands)
|
|
Commitments
Outstanding |
||
Loan commitments
|
|
$
|
3,370,271
|
|
Commercial letters of credit and SBLCs
|
|
$
|
1,293,547
|
|
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Payment Due by Period
|
||||||||||||||||||||||
|
Less than
1 year |
|
1-3 years
|
|
3-5 years
|
|
After
5 years |
|
Indeterminate
Maturity (1) |
|
Total
|
|||||||||||||
Contractual Obligations
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Deposits
(2)
|
|
$
|
5,404,746
|
|
|
$
|
848,248
|
|
|
$
|
253,646
|
|
|
$
|
110,255
|
|
|
$
|
20,859,086
|
|
|
$
|
27,475,981
|
|
FHLB advances
(2)
|
|
700,000
|
|
|
—
|
|
|
80,035
|
|
|
239,389
|
|
|
—
|
|
|
1,019,424
|
|
||||||
Gross repurchase agreements
(2)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
450,000
|
|
|
—
|
|
|
450,000
|
|
||||||
Affordable housing partnership and other tax credit investment commitments
|
|
84,456
|
|
|
55,128
|
|
|
29,309
|
|
|
5,828
|
|
|
—
|
|
|
174,721
|
|
||||||
Long-term debt obligations
(2)
|
|
20,000
|
|
|
40,000
|
|
|
—
|
|
|
146,084
|
|
|
—
|
|
|
206,084
|
|
||||||
Operating lease obligations
(3)
|
|
28,042
|
|
|
46,165
|
|
|
32,820
|
|
|
53,320
|
|
|
—
|
|
|
160,347
|
|
||||||
Unrecognized tax liabilities
|
|
—
|
|
|
3,022
|
|
|
5,862
|
|
|
—
|
|
|
—
|
|
|
8,884
|
|
||||||
Projected cash payments for postretirement benefit plan
|
|
2,617
|
|
|
629
|
|
|
668
|
|
|
8,563
|
|
|
—
|
|
|
12,477
|
|
||||||
Total contractual obligations
|
|
$
|
6,239,861
|
|
|
$
|
993,192
|
|
|
$
|
402,340
|
|
|
$
|
1,013,439
|
|
|
$
|
20,859,086
|
|
|
$
|
29,507,918
|
|
|
(1)
|
Includes deposits with no defined maturity, such as noninterest-bearing demand, interest-bearing checking, money-market and savings accounts.
|
(2)
|
Amounts exclude contractual interest.
|
(3)
|
Represents the Company’s lease obligations for all rental properties.
|
|
||||||||||||
Change in Interest Rates
(Basis Points)
|
|
Net Interest Income
Volatility
(1)
|
|
EVE
Volatility
(2)
|
||||||||
|
December 31, 2015
|
|
December 31, 2014
|
|
December 31, 2015
|
|
December 31, 2014
|
|||||
+200
|
|
18.5
|
%
|
|
15.5
|
%
|
|
9.8
|
%
|
|
9.5
|
%
|
+100
|
|
9.6
|
%
|
|
7.6
|
%
|
|
5.3
|
%
|
|
4.8
|
%
|
-100
|
|
(4.0
|
)%
|
|
(1.1
|
)%
|
|
(4.2
|
)%
|
|
(2.0
|
)%
|
-200
|
|
(4.6
|
)%
|
|
(1.4
|
)%
|
|
(6.9
|
)%
|
|
(3.4
|
)%
|
|
(1)
|
The percentage change represents net interest income over 12 months in a stable interest rate environment versus net interest income in the various rate scenarios.
|
(2)
|
The percentage change represents net portfolio value of the Company in a stable interest rate environment versus net portfolio value in the various rate scenarios.
|
|
||||||
Change in Interest Rates
(Basis Points) |
|
Net Interest Income Volatility
|
||||
|
$1.00 Billion Migration
12 Months
|
|
$2.00 Billion Migration
12 Months |
|||
+200
|
|
15.6
|
%
|
|
12.8
|
%
|
+100
|
|
7.8
|
%
|
|
6.0
|
%
|
|
|
||||||||
|
|
December 31,
|
||||||
|
|
2015
|
|
2014
|
||||
ASSETS
|
|
|
|
|
||||
Cash and cash equivalents
|
|
$
|
1,360,887
|
|
|
$
|
1,039,885
|
|
Short-term investments
|
|
299,916
|
|
|
338,714
|
|
||
Securities purchased under resale agreements (“resale agreements”)
|
|
1,600,000
|
|
|
1,225,000
|
|
||
Available-for-sale investment securities, at fair value
|
|
3,773,226
|
|
|
2,626,617
|
|
||
Loans held for sale
|
|
31,958
|
|
|
45,950
|
|
||
Loans held-for-investment (net of allowance for loan losses of $264,959 in 2015 and $261,679 in 2014)
|
|
23,378,789
|
|
|
21,468,270
|
|
||
Investment in Federal Home Loan Bank (“FHLB”) stock, at cost
|
|
28,770
|
|
|
31,239
|
|
||
Investment in Federal Reserve Bank stock, at cost
|
|
54,932
|
|
|
54,451
|
|
||
Investments in qualified affordable housing partnerships, net
(1)
|
|
193,978
|
|
|
178,962
|
|
||
Premises and equipment (net of accumulated depreciation of $100,060 in 2015 and $85,409 in 2014)
|
|
166,993
|
|
|
180,900
|
|
||
Goodwill
|
|
469,433
|
|
|
469,433
|
|
||
Other assets
(1)
|
|
992,040
|
|
|
1,084,171
|
|
||
TOTAL
(1)
|
|
$
|
32,350,922
|
|
|
$
|
28,743,592
|
|
LIABILITIES
|
|
|
|
|
|
|
||
Customer deposits:
|
|
|
|
|
|
|
||
Noninterest-bearing
|
|
$
|
8,656,805
|
|
|
$
|
7,381,030
|
|
Interest-bearing
|
|
18,819,176
|
|
|
16,627,744
|
|
||
Total deposits
|
|
27,475,981
|
|
|
24,008,774
|
|
||
FHLB advances
|
|
1,019,424
|
|
|
317,241
|
|
||
Securities sold under repurchase agreements (“repurchase agreements”)
|
|
—
|
|
|
795,000
|
|
||
Long-term debt
|
|
206,084
|
|
|
225,848
|
|
||
Accrued expenses and other liabilities
|
|
526,483
|
|
|
540,618
|
|
||
Total liabilities
|
|
29,227,972
|
|
|
25,887,481
|
|
||
COMMITMENTS AND CONTINGENCIES (Note 14)
|
|
|
|
|
|
|
||
STOCKHOLDERS’ EQUITY
|
|
|
|
|
||||
Common stock, $0.001 par value, 200,000,000 shares authorized; 164,246,517 and 163,772,218 shares issued in 2015 and 2014, respectively.
|
|
164
|
|
|
164
|
|
||
Additional paid in capital
|
|
1,701,295
|
|
|
1,677,767
|
|
||
Retained earnings
(1)
|
|
1,872,594
|
|
|
1,604,141
|
|
||
Treasury stock at cost—20,337,284 shares in 2015 and 20,189,989 shares in 2014.
|
|
(436,162
|
)
|
|
(430,198
|
)
|
||
Accumulated other comprehensive (loss) income (“AOCI”), net of tax
|
|
(14,941
|
)
|
|
4,237
|
|
||
Total stockholders’ equity
(1)
|
|
3,122,950
|
|
|
2,856,111
|
|
||
TOTAL
(1)
|
|
$
|
32,350,922
|
|
|
$
|
28,743,592
|
|
|
(1)
|
Prior period was restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects Accounting Standards Update (“ASU”) 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||
|
|
Year Ended December 31,
|
||||||||||
|
|
2015
|
|
2014
|
|
2013
|
||||||
INTEREST AND DIVIDEND INCOME
|
|
|
|
|
|
|
|
|
|
|||
Loans receivable, including fees
|
|
$
|
968,625
|
|
|
$
|
1,059,205
|
|
|
$
|
979,394
|
|
Available-for-sale investment securities
|
|
41,375
|
|
|
44,684
|
|
|
43,846
|
|
|||
Resale agreements
|
|
19,799
|
|
|
20,323
|
|
|
21,236
|
|
|||
Investment in FHLB and Federal Reserve Bank stock
|
|
6,077
|
|
|
6,272
|
|
|
6,869
|
|
|||
Due from banks and short-term investments
|
|
17,939
|
|
|
23,214
|
|
|
17,340
|
|
|||
Total interest and dividend income
|
|
1,053,815
|
|
|
1,153,698
|
|
|
1,068,685
|
|
|||
INTEREST EXPENSE
|
|
|
|
|
|
|
|
|
|
|||
Customer deposits
|
|
73,505
|
|
|
65,486
|
|
|
63,496
|
|
|||
Short-term borrowings
|
|
58
|
|
|
—
|
|
|
6
|
|
|||
FHLB advances
|
|
4,270
|
|
|
4,116
|
|
|
4,173
|
|
|||
Repurchase agreements
|
|
20,907
|
|
|
38,395
|
|
|
41,381
|
|
|||
Long-term debt
|
|
4,636
|
|
|
4,823
|
|
|
3,436
|
|
|||
Total interest expense
|
|
103,376
|
|
|
112,820
|
|
|
112,492
|
|
|||
Net interest income before provision for credit losses
|
|
950,439
|
|
|
1,040,878
|
|
|
956,193
|
|
|||
Provision for credit losses
|
|
14,217
|
|
|
49,158
|
|
|
22,364
|
|
|||
Net interest income after provision for credit losses
|
|
936,222
|
|
|
991,720
|
|
|
933,829
|
|
|||
NONINTEREST INCOME (LOSS)
|
|
|
|
|
|
|
|
|
|
|||
Branch fees
|
|
39,495
|
|
|
37,866
|
|
|
32,036
|
|
|||
Letters of credit fees and foreign exchange income
|
|
38,985
|
|
|
37,323
|
|
|
34,774
|
|
|||
Ancillary loan fees
|
|
15,029
|
|
|
10,616
|
|
|
9,368
|
|
|||
Wealth management fees
|
|
18,268
|
|
|
16,162
|
|
|
10,878
|
|
|||
Derivative commission income
|
|
16,193
|
|
|
12,753
|
|
|
8,813
|
|
|||
Changes in Federal Deposit Insurance Corporation (“FDIC”)
indemnification asset and receivable/payable
|
|
(37,980
|
)
|
|
(201,417
|
)
|
|
(228,585
|
)
|
|||
Net gains on sales of loans
|
|
24,874
|
|
|
39,132
|
|
|
7,750
|
|
|||
Net gains on sales of available-for-sale investment securities
|
|
40,367
|
|
|
10,851
|
|
|
12,089
|
|
|||
Other fees and other operating income
|
|
28,152
|
|
|
25,000
|
|
|
20,409
|
|
|||
Total noninterest income (loss)
|
|
183,383
|
|
|
(11,714
|
)
|
|
(92,468
|
)
|
|||
NONINTEREST EXPENSE
|
|
|
|
|
|
|
|
|
|
|||
Compensation and employee benefits
|
|
262,193
|
|
|
231,838
|
|
|
175,906
|
|
|||
Occupancy and equipment expense
|
|
61,292
|
|
|
63,815
|
|
|
56,641
|
|
|||
Amortization of tax credit and other investments
(1)
|
|
36,120
|
|
|
44,092
|
|
|
5,973
|
|
|||
Amortization of premiums on deposits acquired
|
|
9,234
|
|
|
10,204
|
|
|
9,365
|
|
|||
Deposit insurance premiums and regulatory assessments
|
|
18,772
|
|
|
21,922
|
|
|
16,550
|
|
|||
Deposit related expenses
|
|
9,582
|
|
|
7,536
|
|
|
6,536
|
|
|||
Other real estate owned (“OREO”) income
|
|
(8,914
|
)
|
|
(3,591
|
)
|
|
(1,128
|
)
|
|||
Legal expense
|
|
16,373
|
|
|
53,018
|
|
|
31,718
|
|
|||
Data processing
|
|
10,185
|
|
|
15,888
|
|
|
9,095
|
|
|||
Consulting expense
|
|
17,234
|
|
|
8,511
|
|
|
6,446
|
|
|||
Repurchase agreements’ extinguishment costs
|
|
21,818
|
|
|
—
|
|
|
—
|
|
|||
Other operating expense
|
|
86,995
|
|
|
79,750
|
|
|
77,113
|
|
|||
Total noninterest expense
(1)
|
|
540,884
|
|
|
532,983
|
|
|
394,215
|
|
|||
INCOME BEFORE INCOME TAXES
(1)
|
|
578,721
|
|
|
447,023
|
|
|
447,146
|
|
|||
INCOME TAX EXPENSE
(1)
|
|
194,044
|
|
|
101,145
|
|
|
153,822
|
|
|||
NET INCOME
(1)
|
|
384,677
|
|
|
345,878
|
|
|
293,324
|
|
|||
PREFERRED STOCK DIVIDENDS
|
|
—
|
|
|
—
|
|
|
3,428
|
|
|||
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS
(1)
|
|
$
|
384,677
|
|
|
$
|
345,878
|
|
|
$
|
289,896
|
|
EARNINGS PER SHARE AVAILABLE TO COMMON STOCKHOLDERS
|
|
|
|
|
|
|
||||||
BASIC
(1)
|
|
$
|
2.67
|
|
|
$
|
2.42
|
|
|
$
|
2.10
|
|
DILUTED
(1)
|
|
$
|
2.66
|
|
|
$
|
2.41
|
|
|
$
|
2.09
|
|
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING
|
|
|
|
|
|
|
||||||
BASIC
|
|
143,818
|
|
|
142,952
|
|
|
137,342
|
|
|||
DILUTED
|
|
144,512
|
|
|
143,563
|
|
|
139,574
|
|
|||
DIVIDENDS DECLARED PER COMMON SHARE
|
|
$
|
0.80
|
|
|
$
|
0.72
|
|
|
$
|
0.60
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||
|
|
Year Ended December 31,
|
||||||||||
|
|
2015
|
|
2014
|
|
2013
|
||||||
Net income
(1)
|
|
$
|
384,677
|
|
|
$
|
345,878
|
|
|
$
|
293,324
|
|
Other comprehensive (loss) income, net of tax:
|
|
|
|
|
|
|
||||||
Net change in unrealized (losses) gains on available-for-sale investment securities
|
|
(10,381
|
)
|
|
34,696
|
|
|
(35,128
|
)
|
|||
Foreign currency translation adjustments
|
|
(8,797
|
)
|
|
—
|
|
|
—
|
|
|||
Other comprehensive (loss) income
|
|
(19,178
|
)
|
|
34,696
|
|
|
(35,128
|
)
|
|||
COMPREHENSIVE INCOME
(1)
|
|
$
|
365,499
|
|
|
$
|
380,574
|
|
|
$
|
258,196
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||||||||||||||||||||
|
|
Preferred Stock and Additional Paid-in Capital
|
|
Common Stock and Additional Paid-in Capital
|
|
Retained
Earnings
|
|
Treasury
Stock
|
|
AOCI,
net of tax
|
|
Total
Stockholders’
Equity
|
||||||||||||||||||
|
|
Shares
|
|
Amount
|
|
Shares
|
|
Amount
|
|
|
|
|
||||||||||||||||||
BALANCE, JANUARY 1, 2013
(1)
|
|
85,710
|
|
|
$
|
83,027
|
|
|
140,294,092
|
|
|
$
|
1,464,896
|
|
|
$
|
1,155,697
|
|
|
$
|
(322,298
|
)
|
|
$
|
4,669
|
|
|
$
|
2,385,991
|
|
Net income
(1)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
293,324
|
|
|
—
|
|
|
—
|
|
|
293,324
|
|
||||||
Other comprehensive loss
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(35,128
|
)
|
|
(35,128
|
)
|
||||||
Stock compensation costs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13,548
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13,548
|
|
||||||
Tax benefit from stock compensation plans, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,522
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,522
|
|
||||||
Net activity of common stock pursuant to various stock compensation plans and agreements
|
|
—
|
|
|
—
|
|
|
(230,469
|
)
|
|
4,840
|
|
|
—
|
|
|
(14,989
|
)
|
|
—
|
|
|
(10,149
|
)
|
||||||
Preferred stock dividends
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(3,428
|
)
|
|
—
|
|
|
—
|
|
|
(3,428
|
)
|
||||||
Common stock dividends
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(83,315
|
)
|
|
—
|
|
|
—
|
|
|
(83,315
|
)
|
||||||
Conversion of Series A preferred stock into common stock
|
|
(85,710
|
)
|
|
(83,027
|
)
|
|
5,594,080
|
|
|
83,027
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Purchase of treasury stock pursuant to the Stock Repurchase Plan
|
|
—
|
|
|
—
|
|
|
(8,026,807
|
)
|
|
—
|
|
|
—
|
|
|
(199,992
|
)
|
|
—
|
|
|
(199,992
|
)
|
||||||
BALANCE, DECEMBER 31, 2013
(1)
|
|
—
|
|
|
$
|
—
|
|
|
137,630,896
|
|
|
$
|
1,571,833
|
|
|
$
|
1,362,278
|
|
|
$
|
(537,279
|
)
|
|
$
|
(30,459
|
)
|
|
$
|
2,366,373
|
|
Net income
(1)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
345,878
|
|
|
—
|
|
|
—
|
|
|
345,878
|
|
||||||
Other comprehensive income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
34,696
|
|
|
34,696
|
|
||||||
Stock compensation costs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13,883
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13,883
|
|
||||||
Tax benefit from stock compensation plans, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,513
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
6,513
|
|
||||||
Net activity of common stock pursuant to various stock compensation plans and agreements
|
|
—
|
|
|
—
|
|
|
368,240
|
|
|
7,803
|
|
|
—
|
|
|
(10,705
|
)
|
|
—
|
|
|
(2,902
|
)
|
||||||
Common stock dividends
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(104,015
|
)
|
|
—
|
|
|
—
|
|
|
(104,015
|
)
|
||||||
Issuance of common stock pursuant to MetroCorp Bancshares, Inc. (“MetroCorp”) acquisition
|
|
—
|
|
|
—
|
|
|
5,583,093
|
|
|
73,044
|
|
|
—
|
|
|
117,786
|
|
|
—
|
|
|
190,830
|
|
||||||
Warrant acquired pursuant to MetroCorp acquisition
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,855
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,855
|
|
||||||
BALANCE, DECEMBER 31, 2014
(1)
|
|
—
|
|
|
$
|
—
|
|
|
143,582,229
|
|
|
$
|
1,677,931
|
|
|
$
|
1,604,141
|
|
|
$
|
(430,198
|
)
|
|
$
|
4,237
|
|
|
$
|
2,856,111
|
|
Net income
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
384,677
|
|
|
—
|
|
|
—
|
|
|
384,677
|
|
||||||
Other comprehensive loss
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(19,178
|
)
|
|
(19,178
|
)
|
||||||
Stock compensation costs
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16,502
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16,502
|
|
||||||
Tax benefit from stock compensation plans, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,291
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,291
|
|
||||||
Net activity of common stock pursuant to various stock compensation plans and agreements
|
|
—
|
|
|
—
|
|
|
327,004
|
|
|
3,735
|
|
|
—
|
|
|
(5,964
|
)
|
|
—
|
|
|
(2,229
|
)
|
||||||
Common stock dividends
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(116,224
|
)
|
|
—
|
|
|
—
|
|
|
(116,224
|
)
|
||||||
BALANCE, DECEMBER 31, 2015
|
|
—
|
|
|
$
|
—
|
|
|
143,909,233
|
|
|
$
|
1,701,459
|
|
|
$
|
1,872,594
|
|
|
$
|
(436,162
|
)
|
|
$
|
(14,941
|
)
|
|
$
|
3,122,950
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||
|
|
Year Ended December 31,
|
||||||||||
|
|
2015
|
|
2014
|
|
2013
|
||||||
CASH FLOWS FROM OPERATING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|||
Net income
(1)
|
|
$
|
384,677
|
|
|
$
|
345,878
|
|
|
$
|
293,324
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|
|||
Depreciation and amortization
(1)
|
|
80,583
|
|
|
96,057
|
|
|
79,873
|
|
|||
(Accretion) of discount and amortization of premiums, net
|
|
(63,770
|
)
|
|
(184,318
|
)
|
|
(245,665
|
)
|
|||
Changes in FDIC indemnification asset and receivable/payable
|
|
37,980
|
|
|
201,417
|
|
|
228,585
|
|
|||
Stock compensation costs
|
|
16,502
|
|
|
13,883
|
|
|
13,548
|
|
|||
Deferred tax expenses (benefit)
|
|
261,214
|
|
|
(147,868
|
)
|
|
(42,836
|
)
|
|||
Tax benefit from stock compensation plans, net
|
|
(3,291
|
)
|
|
(6,513
|
)
|
|
(5,522
|
)
|
|||
Provision for credit losses
|
|
14,217
|
|
|
49,158
|
|
|
22,364
|
|
|||
Net gains on sales of loans
|
|
(24,874
|
)
|
|
(39,132
|
)
|
|
(7,750
|
)
|
|||
Net gains on sales of available-for-sale investment securities
|
|
(40,367
|
)
|
|
(10,851
|
)
|
|
(12,089
|
)
|
|||
Net gains on sales of OREO and premises and equipment
|
|
(14,646
|
)
|
|
(14,056
|
)
|
|
(10,385
|
)
|
|||
Originations and purchases of loans held for sale
|
|
(623
|
)
|
|
(92,475
|
)
|
|
(99,688
|
)
|
|||
Proceeds from sales and paydowns/payoffs in loans held for sale
|
|
3,174
|
|
|
288,706
|
|
|
44,627
|
|
|||
Repurchase agreements’ extinguishment costs
|
|
21,818
|
|
|
—
|
|
|
—
|
|
|||
Net (payments to) proceeds from FDIC shared-loss agreements
|
|
(132,999
|
)
|
|
(1,343
|
)
|
|
55,826
|
|
|||
Net change in accrued interest receivable and other assets
(1)
|
|
(86,643
|
)
|
|
(67,472
|
)
|
|
53,405
|
|
|||
Net change in accrued expenses and other liabilities
|
|
16,785
|
|
|
(38,586
|
)
|
|
57,527
|
|
|||
Other net operating activities
|
|
(113
|
)
|
|
413
|
|
|
701
|
|
|||
Total adjustments
(1)
|
|
84,947
|
|
|
47,020
|
|
|
132,521
|
|
|||
Net cash provided by operating activities
|
|
469,624
|
|
|
392,898
|
|
|
425,845
|
|
|||
CASH FLOWS FROM INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|||
Acquisitions, net of cash paid
|
|
—
|
|
|
138,465
|
|
|
—
|
|
|||
Net (increase) decrease in:
|
|
|
|
|
|
|
|
|
|
|||
Loans receivable
|
|
(3,512,004
|
)
|
|
(3,396,728
|
)
|
|
(2,458,694
|
)
|
|||
Short-term investments
|
|
30,140
|
|
|
(81,241
|
)
|
|
108,905
|
|
|||
Investments in qualified affordable housing partnerships, tax credit and other investments
|
|
(95,074
|
)
|
|
(87,925
|
)
|
|
(42,149
|
)
|
|||
Purchases of:
|
|
|
|
|
|
|
|
|
|
|||
Resale agreements
|
|
(1,675,000
|
)
|
|
(925,000
|
)
|
|
(450,000
|
)
|
|||
Available-for-sale investment securities
|
|
(3,547,193
|
)
|
|
(960,135
|
)
|
|
(1,316,764
|
)
|
|||
Loans receivable
|
|
(49,458
|
)
|
|
(20,783
|
)
|
|
(680,821
|
)
|
|||
Premises and equipment
|
|
(6,555
|
)
|
|
(11,853
|
)
|
|
(88,108
|
)
|
|||
Proceeds from sale of:
|
|
|
|
|
|
|
|
|
|
|||
Available-for-sale investment securities
|
|
1,669,334
|
|
|
623,689
|
|
|
663,569
|
|
|||
Loans receivable
|
|
1,722,665
|
|
|
856,434
|
|
|
370,171
|
|
|||
OREO
|
|
41,050
|
|
|
70,936
|
|
|
64,312
|
|
|||
Paydowns and maturities of resale agreements
|
|
1,050,000
|
|
|
800,000
|
|
|
600,000
|
|
|||
Repayments, maturities and redemptions of available-for-sale investment securities
|
|
734,934
|
|
|
554,742
|
|
|
444,057
|
|
|||
Redemption of FHLB stock
|
|
13,086
|
|
|
33,801
|
|
|
44,945
|
|
|||
Surrender of life insurance policies
|
|
156
|
|
|
49,480
|
|
|
—
|
|
|||
Other net investing activities
|
|
(3,962
|
)
|
|
(3,775
|
)
|
|
5,731
|
|
|||
Net cash used in investing activities
|
|
(3,627,881
|
)
|
|
(2,359,893
|
)
|
|
(2,734,846
|
)
|
|||
CASH FLOWS FROM FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|||
Net increase (decrease) in:
|
|
|
|
|
|
|
|
|
|
|||
Deposits
|
|
3,492,603
|
|
|
2,277,007
|
|
|
2,103,564
|
|
|||
Short-term borrowings
|
|
—
|
|
|
—
|
|
|
(20,000
|
)
|
|||
Proceeds from:
|
|
|
|
|
|
|
|
|
|
|||
Increase in long-term borrowings
|
|
—
|
|
|
—
|
|
|
100,000
|
|
|||
FHLB advances
|
|
700,000
|
|
|
—
|
|
|
—
|
|
|||
Issuance of common stock pursuant to various stock plans and agreements
|
|
2,835
|
|
|
6,794
|
|
|
3,054
|
|
|||
Payments for:
|
|
|
|
|
|
|
|
|
|
|||
Repayment of FHLB advances
|
|
—
|
|
|
(10,000
|
)
|
|
—
|
|
|||
Repayment of long-term debt
|
|
(20,000
|
)
|
|
(30,310
|
)
|
|
(10,310
|
)
|
|||
Extinguishment of repurchase agreements
|
|
(566,818
|
)
|
|
(25,000
|
)
|
|
—
|
|
|||
Repurchase of vested shares due to employee tax liability
|
|
(5,964
|
)
|
|
(10,326
|
)
|
|
(13,833
|
)
|
|||
Repurchase of shares of treasury stock pursuant to the Stock Repurchase Plan
|
|
—
|
|
|
—
|
|
|
(199,992
|
)
|
|||
Cash dividends
|
|
(115,641
|
)
|
|
(103,618
|
)
|
|
(86,290
|
)
|
|||
Tax benefit from stock compensation plans, net
|
|
3,291
|
|
|
6,513
|
|
|
5,522
|
|
|||
Net cash provided by financing activities
|
|
3,490,306
|
|
|
2,111,060
|
|
|
1,881,715
|
|
|||
Effect of exchange rate changes on cash and cash equivalents
|
|
(11,047
|
)
|
|
—
|
|
|
—
|
|
|||
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS
|
|
321,002
|
|
|
144,065
|
|
|
(427,286
|
)
|
|||
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR
|
|
1,039,885
|
|
|
895,820
|
|
|
1,323,106
|
|
|||
CASH AND CASH EQUIVALENTS, END OF YEAR
|
|
$
|
1,360,887
|
|
|
$
|
1,039,885
|
|
|
$
|
895,820
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||
|
|
Year Ended December 31,
|
||||||||||
|
|
2015
|
|
2014
|
|
2013
|
||||||
SUPPLEMENTAL CASH FLOW INFORMATION:
|
|
|
|
|
|
|
||||||
Cash paid during the year for:
|
|
|
|
|
|
|
|
|
|
|||
Interest
|
|
$
|
105,831
|
|
|
$
|
112,695
|
|
|
$
|
112,169
|
|
Income tax (refunds) payments
|
|
$
|
(18,601
|
)
|
|
$
|
321,177
|
|
|
$
|
142,980
|
|
Noncash investing and financing activities:
|
|
|
|
|
|
|
|
|
|
|||
Loans transferred to loans held for sale, net
|
|
$
|
1,686,294
|
|
|
$
|
837,389
|
|
|
$
|
97,065
|
|
Transfers to OREO
|
|
$
|
9,296
|
|
|
$
|
47,547
|
|
|
$
|
43,989
|
|
Conversion of preferred stock to common stock
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
83,027
|
|
Loans to facilitate sales of OREO
|
|
$
|
1,750
|
|
|
$
|
2,000
|
|
|
$
|
139
|
|
Issuance of common stock related to acquisition
|
|
$
|
—
|
|
|
$
|
190,830
|
|
|
$
|
—
|
|
|
|
|
Buildings and building improvements
|
25 years
|
Furniture, fixtures and equipment
|
3 to 7 years
|
Leasehold improvements
|
Term of lease or useful life, whichever is shorter
|
|
|
•
|
Level 1 — Valuation is based on quoted prices for identical instruments traded in active markets.
|
•
|
Level 2 — Valuation is based on quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations whose inputs are observable and can be corroborated by market data.
|
•
|
Level 3 — Valuation is based on significant unobservable inputs for determining the fair value of assets or liabilities. These significant unobservable inputs reflect assumptions that market participants may use in pricing the assets or liabilities.
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
Assets (Liabilities) Measured at Fair Value on a Recurring Basis
as of December 31, 2015 |
||||||||||||||
($ in thousands)
|
|
Fair Value Measurements December 31, 2015
|
|
Quoted Prices in
Active Markets
for Identical
Assets
(Level 1)
|
|
Significant
Other
Observable
Inputs
(Level 2)
|
|
Significant
Unobservable
Inputs
(Level 3)
|
||||||||
Available-for-sale investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. Treasury securities
|
|
$
|
998,515
|
|
|
$
|
998,515
|
|
|
$
|
—
|
|
|
$
|
—
|
|
U.S. government agency and U.S. government sponsored enterprise debt securities
|
|
768,849
|
|
|
—
|
|
|
768,849
|
|
|
—
|
|
||||
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Commercial mortgage-backed securities
|
|
351,662
|
|
|
—
|
|
|
351,662
|
|
|
—
|
|
||||
Residential mortgage-backed securities
|
|
997,396
|
|
|
—
|
|
|
997,396
|
|
|
—
|
|
||||
Municipal securities
|
|
175,649
|
|
|
—
|
|
|
175,649
|
|
|
—
|
|
||||
Other residential mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment grade
|
|
62,393
|
|
|
—
|
|
|
62,393
|
|
|
—
|
|
||||
Corporate debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment grade
|
|
364,713
|
|
|
—
|
|
|
364,713
|
|
|
—
|
|
||||
Non-investment grade
|
|
9,642
|
|
|
—
|
|
|
9,642
|
|
|
—
|
|
||||
Other securities
|
|
44,407
|
|
|
35,635
|
|
|
8,772
|
|
|
—
|
|
||||
Total available-for-sale investment securities
|
|
$
|
3,773,226
|
|
|
$
|
1,034,150
|
|
|
$
|
2,739,076
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
||||||||
Derivative assets:
|
|
|
|
|
|
|
|
|
||||||||
Foreign currency forward contracts
|
|
$
|
2,365
|
|
|
$
|
—
|
|
|
$
|
2,365
|
|
|
$
|
—
|
|
Interest rate swaps and caps
|
|
$
|
67,215
|
|
|
$
|
—
|
|
|
$
|
67,215
|
|
|
$
|
—
|
|
Foreign exchange contracts
|
|
$
|
10,254
|
|
|
$
|
—
|
|
|
$
|
10,254
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
||||||||
Derivative liabilities:
|
|
|
|
|
|
|
|
|
||||||||
Interest rate swaps on certificates of deposit
|
|
$
|
(5,213
|
)
|
|
$
|
—
|
|
|
$
|
(5,213
|
)
|
|
$
|
—
|
|
Interest rate swaps and caps
|
|
$
|
(67,325
|
)
|
|
$
|
—
|
|
|
$
|
(67,325
|
)
|
|
$
|
—
|
|
Foreign exchange contracts
|
|
$
|
(9,350
|
)
|
|
$
|
—
|
|
|
$
|
(9,350
|
)
|
|
$
|
—
|
|
Credit risk participation agreements (“RPA”)
|
|
$
|
(4
|
)
|
|
$
|
—
|
|
|
$
|
(4
|
)
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
|
|
Assets (Liabilities) Measured at Fair Value on a Recurring Basis
as of December 31, 2014 |
||||||||||||||
($ In thousands)
|
|
Fair Value Measurements December 31, 2014
|
|
Quoted Prices in
Active Markets for Identical Assets (Level 1) |
|
Significant
Other Observable Inputs (Level 2) |
|
Significant
Unobservable
Inputs
(Level 3)
|
||||||||
Available-for-sale investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. Treasury securities
|
|
$
|
873,435
|
|
|
$
|
873,435
|
|
|
$
|
—
|
|
|
$
|
—
|
|
U.S. government agency and U.S. government sponsored enterprise debt securities
|
|
311,024
|
|
|
—
|
|
|
311,024
|
|
|
—
|
|
||||
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Commercial mortgage-backed securities
|
|
141,420
|
|
|
—
|
|
|
141,420
|
|
|
—
|
|
||||
Residential mortgage-backed securities
|
|
791,088
|
|
|
—
|
|
|
791,088
|
|
|
—
|
|
||||
Municipal securities
|
|
250,448
|
|
|
—
|
|
|
250,448
|
|
|
—
|
|
||||
Other residential mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment grade
|
|
53,918
|
|
|
—
|
|
|
53,918
|
|
|
—
|
|
||||
Other commercial mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment grade
|
|
34,053
|
|
|
—
|
|
|
34,053
|
|
|
—
|
|
||||
Corporate debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment grade
|
|
115,182
|
|
|
—
|
|
|
115,182
|
|
|
—
|
|
||||
Non-investment grade
|
|
14,681
|
|
|
—
|
|
|
8,153
|
|
|
6,528
|
|
||||
Other securities
|
|
41,368
|
|
|
32,357
|
|
|
9,011
|
|
|
—
|
|
||||
Total available-for-sale investment securities
|
|
$
|
2,626,617
|
|
|
$
|
905,792
|
|
|
$
|
1,714,297
|
|
|
$
|
6,528
|
|
|
|
|
|
|
|
|
|
|
||||||||
Derivative assets:
|
|
|
|
|
|
|
|
|
||||||||
Foreign exchange options
|
|
$
|
6,136
|
|
|
$
|
—
|
|
|
$
|
6,136
|
|
|
$
|
—
|
|
Interest rate swaps and caps
|
|
$
|
41,534
|
|
|
$
|
—
|
|
|
$
|
41,534
|
|
|
$
|
—
|
|
Foreign exchange contracts
|
|
$
|
8,118
|
|
|
$
|
—
|
|
|
$
|
8,118
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
||||||||
Derivative liabilities:
|
|
|
|
|
|
|
|
|
||||||||
Interest rate swaps on certificates of deposit
|
|
$
|
(9,922
|
)
|
|
$
|
—
|
|
|
$
|
(9,922
|
)
|
|
$
|
—
|
|
Interest rate swaps and caps
|
|
$
|
(41,779
|
)
|
|
$
|
—
|
|
|
$
|
(41,779
|
)
|
|
$
|
—
|
|
Foreign exchange contracts
|
|
$
|
(9,163
|
)
|
|
$
|
—
|
|
|
$
|
(9,163
|
)
|
|
$
|
—
|
|
Embedded derivative liabilities
|
|
$
|
(3,392
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(3,392
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||||||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||||||||||||||
|
Corporate Debt
Securities: Non-Investment Grade |
|
Embedded Derivative
Liabilities |
|
Corporate Debt
Securities: Non-Investment Grade |
|
Embedded Derivative
Liabilities |
|
Corporate Debt
Securities: Non-Investment Grade |
|
Embedded Derivative
Liabilities |
|||||||||||||
Beginning balance
|
|
$
|
6,528
|
|
|
$
|
(3,392
|
)
|
|
$
|
6,371
|
|
|
$
|
(3,655
|
)
|
|
$
|
4,800
|
|
|
$
|
(3,052
|
)
|
Total gains (losses) for the period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Included in earnings
(1)
|
|
960
|
|
|
(20
|
)
|
|
802
|
|
|
263
|
|
|
—
|
|
|
(603
|
)
|
||||||
Included in other comprehensive (loss) income
(2)
|
|
922
|
|
|
—
|
|
|
2,326
|
|
|
—
|
|
|
1,653
|
|
|
—
|
|
||||||
Purchases, issues, sales, settlements:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Purchases
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Issues
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Sales
|
|
(7,219
|
)
|
|
—
|
|
|
(2,595
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Settlements
|
|
(98
|
)
|
|
3,412
|
|
|
(376
|
)
|
|
—
|
|
|
(82
|
)
|
|
—
|
|
||||||
Transfer from investment grade to non-investment grade
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Transfers in and/or out of Level 3
|
|
(1,093
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Ending balance
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
6,528
|
|
|
$
|
(3,392
|
)
|
|
$
|
6,371
|
|
|
$
|
(3,655
|
)
|
Change in unrealized gains (losses) included in earnings relating to assets and liabilities held for the period
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
263
|
|
|
$
|
—
|
|
|
$
|
(603
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Net gains or losses (realized and unrealized) of corporate debt securities and embedded derivative liabilities are included in net gains on sales of investment securities and other operating expense, respectively, in the Consolidated Statements of Income.
|
(2)
|
Unrealized gains or losses on available-for-sale investment securities are reported in other comprehensive (loss) income, net of tax, in the Consolidated Statements of Comprehensive Income.
|
|
|
|
|
|
|
|
|
|
|
|
||
($ in thousands)
|
|
Fair Value
Measurements (Level 3) |
|
Valuation
Technique(s)
|
|
Unobservable Input(s)
|
|
Range of Inputs
|
|
Weighted
Average |
||
Available-for-sale investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-investment grade
|
|
$
|
6,528
|
|
|
Discounted cash flow
|
|
Constant prepayment rate
|
|
0.00% - 1.00%
|
|
0.73%
|
|
|
|
|
|
|
|
Constant default rate
|
|
0.75% - 1.20%
|
|
0.87%
|
|
|
|
|
|
|
|
|
Loss severity
|
|
85.00%
|
|
85.00%
|
|
|
|
|
|
|
|
|
Discount margin
|
|
4.50% - 7.50%
|
|
6.94%
|
|
Embedded derivative liabilities
|
|
$
|
(3,392
|
)
|
|
Discounted cash flow
|
|
Credit risk
|
|
0.12% - 0.14%
|
|
0.13%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
Assets Measured at Fair Value on a Nonrecurring Basis
as of December 31, 2015 |
||||||||||||||
(S in thousands)
|
|
Fair Value
Measurements
|
|
Quoted Prices in
Active Markets for Identical Assets (Level 1) |
|
Significant
Other Observable Inputs (Level 2) |
|
Significant
Unobservable
Inputs
(Level 3)
|
||||||||
Non-PCI impaired loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
CRE
|
|
$
|
17,252
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
17,252
|
|
C&I
|
|
35,558
|
|
|
—
|
|
|
—
|
|
|
35,558
|
|
||||
Residential
|
|
16,472
|
|
|
—
|
|
|
—
|
|
|
16,472
|
|
||||
Consumer
|
|
1,180
|
|
|
—
|
|
|
—
|
|
|
1,180
|
|
||||
Total non-PCI impaired loans
|
|
$
|
70,462
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
70,462
|
|
OREO
|
|
$
|
4,929
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
4,929
|
|
Loans held for sale
|
|
$
|
29,238
|
|
|
$
|
—
|
|
|
$
|
29,238
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
Assets Measured at Fair Value on a Nonrecurring Basis
as of December 31, 2014 |
||||||||||||||
($ in thousands)
|
|
Fair Value
Measurements
|
|
Quoted Prices in
Active Markets for Identical Assets (Level 1) |
|
Significant
Other Observable Inputs (Level 2) |
|
Significant
Unobservable
Inputs
(Level 3)
|
||||||||
Non-PCI impaired loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
CRE
|
|
$
|
26,089
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
26,089
|
|
C&I
|
|
16,581
|
|
|
—
|
|
|
—
|
|
|
16,581
|
|
||||
Residential
|
|
25,034
|
|
|
—
|
|
|
—
|
|
|
25,034
|
|
||||
Consumer
|
|
107
|
|
|
—
|
|
|
—
|
|
|
107
|
|
||||
Total non-PCI impaired loans
|
|
$
|
67,811
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
67,811
|
|
OREO
|
|
$
|
17,521
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
17,521
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
Year Ended December 31,
|
||||||||||
($ in thousands)
|
|
2015
|
|
2014
|
|
2013
|
||||||
Non-PCI impaired loans:
|
|
|
|
|
|
|
|
|
|
|||
CRE
|
|
$
|
(2,747
|
)
|
|
$
|
2,196
|
|
|
$
|
(4,250
|
)
|
C&I
|
|
(5,612
|
)
|
|
(9,169
|
)
|
|
(13,135
|
)
|
|||
Residential
|
|
(611
|
)
|
|
(61
|
)
|
|
(1,378
|
)
|
|||
Consumer
|
|
(59
|
)
|
|
(1
|
)
|
|
(112
|
)
|
|||
Total non-PCI impaired loans
|
|
$
|
(9,029
|
)
|
|
$
|
(7,035
|
)
|
|
$
|
(18,875
|
)
|
OREO
|
|
$
|
(233
|
)
|
|
$
|
(2,600
|
)
|
|
$
|
(4,814
|
)
|
Loans held for sale
|
|
$
|
(1,991
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
||||||||||||
($ in thousands)
|
|
Fair Value
Measurements (Level 3) |
|
Valuation
Technique(s) |
|
Unobservable
Input(s) |
|
Range of Inputs
|
|
Weighted
Average |
||
December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-PCI impaired loans
|
|
$
|
27,522
|
|
|
Discounted cash flow
|
|
Discount rate
|
|
0% - 87%
|
|
30%
|
|
|
$
|
42,940
|
|
|
Market comparables
|
|
Discount rate
(1)
|
|
0% - 100%
|
|
17%
|
OREO
|
|
$
|
4,929
|
|
|
Appraisal
|
|
Selling cost
|
|
8%
|
|
8%
|
December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
||
Non-PCI impaired loans
|
|
$
|
11,499
|
|
|
Discounted cash flow
|
|
Discount rate
|
|
0% - 81%
|
|
49%
|
|
|
$
|
56,312
|
|
|
Market comparables
|
|
Discount rate
(1)
|
|
0% - 100%
|
|
4%
|
OREO
|
|
$
|
17,521
|
|
|
Appraisal
|
|
Selling cost
|
|
8%
|
|
8%
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Discount rate is adjusted for factors such as liquidation cost of collateral and selling cost.
|
|
||||||||||||||||||||
($ in thousands)
|
|
December 31, 2015
|
||||||||||||||||||
|
Carrying
Amount
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Estimated
Fair Value
|
|||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and cash equivalents
|
|
$
|
1,360,887
|
|
|
$
|
1,360,887
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,360,887
|
|
Short-term investments
|
|
$
|
299,916
|
|
|
$
|
—
|
|
|
$
|
299,916
|
|
|
$
|
—
|
|
|
$
|
299,916
|
|
Resale agreements
(1)
|
|
$
|
1,600,000
|
|
|
$
|
—
|
|
|
$
|
1,533,961
|
|
|
$
|
—
|
|
|
$
|
1,533,961
|
|
Loans held for sale
|
|
$
|
31,958
|
|
|
$
|
—
|
|
|
$
|
31,958
|
|
|
$
|
—
|
|
|
$
|
31,958
|
|
Loans receivable, net
|
|
$
|
23,378,789
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
23,000,817
|
|
|
$
|
23,000,817
|
|
Investment in FHLB stock
|
|
$
|
28,770
|
|
|
$
|
—
|
|
|
$
|
28,770
|
|
|
$
|
—
|
|
|
$
|
28,770
|
|
Investment in Federal Reserve Bank stock
|
|
$
|
54,932
|
|
|
$
|
—
|
|
|
$
|
54,932
|
|
|
$
|
—
|
|
|
$
|
54,932
|
|
Accrued interest receivable
|
|
$
|
89,243
|
|
|
$
|
—
|
|
|
$
|
89,243
|
|
|
$
|
—
|
|
|
$
|
89,243
|
|
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Customer deposit accounts:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Demand, savings and money market deposits
|
|
$
|
20,859,086
|
|
|
$
|
—
|
|
|
$
|
20,859,086
|
|
|
$
|
—
|
|
|
$
|
20,859,086
|
|
Time deposits
|
|
$
|
6,616,895
|
|
|
$
|
—
|
|
|
$
|
6,606,942
|
|
|
$
|
—
|
|
|
$
|
6,606,942
|
|
FHLB advances
|
|
$
|
1,019,424
|
|
|
$
|
—
|
|
|
$
|
1,032,000
|
|
|
$
|
—
|
|
|
$
|
1,032,000
|
|
Accrued interest payable
|
|
$
|
8,848
|
|
|
$
|
—
|
|
|
$
|
8,848
|
|
|
$
|
—
|
|
|
$
|
8,848
|
|
Long-term debt
|
|
$
|
206,084
|
|
|
$
|
—
|
|
|
$
|
186,593
|
|
|
$
|
—
|
|
|
$
|
186,593
|
|
|
(1)
|
Resale and repurchase agreements are reported net pursuant to ASC 210-20-45,
Balance Sheet Offsetting
. As of December 31, 2015, the carrying amount of
$450.0 million
of repurchase agreements was eligible for netting against resale agreements, resulting in no repurchase agreements’ balances reported.
|
|
||||||||||||||||||||
|
|
December 31, 2014
|
||||||||||||||||||
($ in thousands)
|
|
Carrying
Amount |
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Estimated
Fair Value |
||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Cash and cash equivalents
|
|
$
|
1,039,885
|
|
|
$
|
1,039,885
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,039,885
|
|
Short-term investments
|
|
$
|
338,714
|
|
|
$
|
—
|
|
|
$
|
338,714
|
|
|
$
|
—
|
|
|
$
|
338,714
|
|
Resale agreements
(1)
|
|
$
|
1,225,000
|
|
|
$
|
—
|
|
|
$
|
1,191,060
|
|
|
$
|
—
|
|
|
$
|
1,191,060
|
|
Loans held for sale
|
|
$
|
45,950
|
|
|
$
|
—
|
|
|
$
|
45,950
|
|
|
$
|
—
|
|
|
$
|
45,950
|
|
Loans receivable, net
|
|
$
|
21,468,270
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
20,997,379
|
|
|
$
|
20,997,379
|
|
Investment in FHLB stock
|
|
$
|
31,239
|
|
|
$
|
—
|
|
|
$
|
31,239
|
|
|
$
|
—
|
|
|
$
|
31,239
|
|
Investment in Federal Reserve Bank stock
|
|
$
|
54,451
|
|
|
$
|
—
|
|
|
$
|
54,451
|
|
|
$
|
—
|
|
|
$
|
54,451
|
|
Accrued interest receivable
|
|
$
|
88,303
|
|
|
$
|
—
|
|
|
$
|
88,303
|
|
|
$
|
—
|
|
|
$
|
88,303
|
|
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Customer deposit accounts:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Demand, savings and money market deposits
|
|
$
|
17,896,035
|
|
|
$
|
—
|
|
|
$
|
17,896,035
|
|
|
$
|
—
|
|
|
$
|
17,896,035
|
|
Time deposits
|
|
$
|
6,112,739
|
|
|
$
|
—
|
|
|
$
|
6,095,217
|
|
|
$
|
—
|
|
|
$
|
6,095,217
|
|
FHLB advances
|
|
$
|
317,241
|
|
|
$
|
—
|
|
|
$
|
336,302
|
|
|
$
|
—
|
|
|
$
|
336,302
|
|
Repurchase agreements
(1)
|
|
$
|
795,000
|
|
|
$
|
—
|
|
|
$
|
870,434
|
|
|
$
|
—
|
|
|
$
|
870,434
|
|
Accrued interest payable
|
|
$
|
11,303
|
|
|
$
|
—
|
|
|
$
|
11,303
|
|
|
$
|
—
|
|
|
$
|
11,303
|
|
Long-term debt
|
|
$
|
225,848
|
|
|
$
|
—
|
|
|
$
|
205,777
|
|
|
$
|
—
|
|
|
$
|
205,777
|
|
|
(1)
|
Resale and repurchase agreements are reported net pursuant to ASC 210-20-45,
Balance Sheet Offsetting
. As of December 31, 2014, the carrying amount of
$200.0 million
out of
$995.0 million
of repurchase agreements was eligible for netting against resale agreements.
|
|
||||||||
($ in thousands)
|
|
December 31,
|
||||||
|
2015
|
|
2014
|
|||||
Cash and amounts due from banks
|
|
$
|
1,177,889
|
|
|
$
|
944,118
|
|
Cash equivalents:
|
|
|
|
|
|
|
||
Interest-bearing deposits in other banks
|
|
68,000
|
|
|
—
|
|
||
Bank placements
|
|
114,998
|
|
|
95,767
|
|
||
Total cash and cash equivalents
|
|
$
|
1,360,887
|
|
|
$
|
1,039,885
|
|
|
NOTE 5
|
—
|
SECURITIES PURCHASED UNDER RESALE AGREEMENTS AND SOLD UNDER REPURCHASE AGREEMENTS
|
|
||||||||||||||||||||||||||
($ In thousands)
|
|
As of December 31, 2014
|
||||||||||||||||||||||||
|
|
Gross Amounts
of Recognized Assets |
|
Gross Amounts
Offset on the Consolidated Balance Sheets |
|
Net Amounts of
Assets Presented on the Consolidated Balance Sheets |
|
Gross Amounts Not Offset on the
Consolidated Balance Sheets |
|
|
|
|||||||||||||||
Assets
|
|
|
|
|
Financial
Instruments |
|
|
Collateral
Received |
|
|
Net Amount
|
|||||||||||||||
Resale agreements
|
|
$
|
1,425,000
|
|
|
$
|
(200,000
|
)
|
|
$
|
1,225,000
|
|
|
$
|
(425,000
|
)
|
(3)
|
|
$
|
(797,172
|
)
|
(1)
|
|
$
|
2,828
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
Gross Amounts
of Recognized Liabilities |
|
Gross Amounts
Offset on the Consolidated Balance Sheets |
|
Net Amounts of
Liabilities Presented on the Consolidated Balance Sheets |
|
Gross Amounts Not Offset on the
Consolidated Balance Sheets |
|
|
|
|||||||||||||||
Liabilities
|
|
|
|
|
Financial
Instruments |
|
|
Collateral
Posted |
|
|
Net Amount
|
|||||||||||||||
Repurchase agreements
|
|
$
|
995,000
|
|
|
$
|
(200,000
|
)
|
|
$
|
795,000
|
|
|
$
|
(425,000
|
)
|
(3)
|
|
$
|
(370,000
|
)
|
(2)
|
|
$
|
—
|
|
|
(1)
|
Represents the fair value of securities the Company has received under resale agreements, limited for table presentation purposes to the amount of the recognized asset due from each counterparty.
|
(2)
|
Represents the fair value of securities the Company has pledged under repurchase agreements, limited for table presentation purposes to the amount of the recognized liability owed to each counterparty.
|
(3)
|
Includes financial instruments subject to enforceable master netting arrangements that are not permitted to be offset under ASC 210-20-45 but would be eligible for offsetting to the extent an event of default has occurred.
|
|
||||||||||||||||
($ in thousands)
|
|
Amortized
Cost |
|
Gross
Unrealized Gains |
|
Gross
Unrealized Losses |
|
Fair
Value |
||||||||
As of December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Available-for-sale investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. Treasury securities
|
|
$
|
1,002,874
|
|
|
$
|
33
|
|
|
$
|
(4,392
|
)
|
|
$
|
998,515
|
|
U.S. government agency and U.S. government sponsored enterprise debt securities
|
|
771,288
|
|
|
555
|
|
|
(2,994
|
)
|
|
768,849
|
|
||||
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Commercial mortgage-backed securities
|
|
354,418
|
|
|
268
|
|
|
(3,024
|
)
|
|
351,662
|
|
||||
Residential mortgage-backed securities
|
|
996,255
|
|
|
7,542
|
|
|
(6,401
|
)
|
|
997,396
|
|
||||
Municipal securities
|
|
173,785
|
|
|
2,657
|
|
|
(793
|
)
|
|
175,649
|
|
||||
Other residential mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|||||||
Investment grade
(1)
|
|
62,133
|
|
|
433
|
|
|
(173
|
)
|
|
62,393
|
|
||||
Corporate debt securities:
|
|
|
|
|
|
|
|
|
|
|||||||
Investment grade
(1)
|
|
366,921
|
|
|
132
|
|
|
(2,340
|
)
|
|
364,713
|
|
||||
Non-investment grade
(1)
|
|
11,491
|
|
|
—
|
|
|
(1,849
|
)
|
|
9,642
|
|
||||
Other securities
|
|
44,664
|
|
|
124
|
|
|
(381
|
)
|
|
44,407
|
|
||||
Total available-for-sale investment securities
|
|
$
|
3,783,829
|
|
|
$
|
11,744
|
|
|
$
|
(22,347
|
)
|
|
$
|
3,773,226
|
|
|
|
|
|
|
|
|
|
|
||||||||
As of December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Available-for-sale investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
U.S. Treasury securities
|
|
$
|
873,101
|
|
|
$
|
1,971
|
|
|
$
|
(1,637
|
)
|
|
$
|
873,435
|
|
U.S. government agency and U.S. government sponsored enterprise debt securities
|
|
311,927
|
|
|
490
|
|
|
(1,393
|
)
|
|
311,024
|
|
||||
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Commercial mortgage-backed securities
|
|
140,957
|
|
|
1,056
|
|
|
(593
|
)
|
|
141,420
|
|
||||
Residential mortgage-backed securities
|
|
785,412
|
|
|
9,754
|
|
|
(4,078
|
)
|
|
791,088
|
|
||||
Municipal securities
|
|
245,408
|
|
|
6,202
|
|
|
(1,162
|
)
|
|
250,448
|
|
||||
Other residential mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|||||||
Investment grade
(1)
|
|
52,694
|
|
|
1,359
|
|
|
(135
|
)
|
|
53,918
|
|
||||
Other commercial mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|||||||
Investment grade
(1)
|
|
34,000
|
|
|
53
|
|
|
—
|
|
|
34,053
|
|
||||
Corporate debt securities:
|
|
|
|
|
|
|
|
|
|
|||||||
Investment grade
(1)
|
|
116,236
|
|
|
—
|
|
|
(1,054
|
)
|
|
115,182
|
|
||||
Non-investment grade
(1)
|
|
17,881
|
|
|
—
|
|
|
(3,200
|
)
|
|
14,681
|
|
||||
Other securities
|
|
41,691
|
|
|
393
|
|
|
(716
|
)
|
|
41,368
|
|
||||
Total available-for-sale investment securities
|
|
$
|
2,619,307
|
|
|
$
|
21,278
|
|
|
$
|
(13,968
|
)
|
|
$
|
2,626,617
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Available-for-sale investment securities rated BBB- or higher by S&P or Baa3 or higher by Moody are considered investment grade. Conversely, available-for-sale investment securities rated lower than BBB- by S&P or lower than Baa3 by Moody’s are considered non-investment grade.
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Less Than 12 Months
|
|
12 Months or More
|
|
Total
|
||||||||||||||||||
|
Fair
Value
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
|
Gross Unrealized
Losses
|
|
Fair
Value
|
|
Gross Unrealized
Losses
|
|||||||||||||
As of December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Available-for-sale investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
U.S. Treasury securities
|
|
$
|
907,400
|
|
|
$
|
(4,250
|
)
|
|
$
|
20,282
|
|
|
$
|
(142
|
)
|
|
$
|
927,682
|
|
|
$
|
(4,392
|
)
|
U.S. government agency and U.S. government sponsored enterprise debt securities
|
|
541,385
|
|
|
(2,994
|
)
|
|
—
|
|
|
—
|
|
|
541,385
|
|
|
(2,994
|
)
|
||||||
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Commercial mortgage-backed securities
|
|
252,340
|
|
|
(2,562
|
)
|
|
20,793
|
|
|
(462
|
)
|
|
273,133
|
|
|
(3,024
|
)
|
||||||
Residential mortgage-backed securities
|
|
535,842
|
|
|
(4,530
|
)
|
|
58,315
|
|
|
(1,871
|
)
|
|
594,157
|
|
|
(6,401
|
)
|
||||||
Municipal securities
|
|
48,495
|
|
|
(437
|
)
|
|
14,739
|
|
|
(356
|
)
|
|
63,234
|
|
|
(793
|
)
|
||||||
Other residential mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Investment grade
|
|
5,123
|
|
|
(1
|
)
|
|
6,242
|
|
|
(172
|
)
|
|
11,365
|
|
|
(173
|
)
|
||||||
Corporate debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Investment grade
|
|
218,944
|
|
|
(1,189
|
)
|
|
89,989
|
|
|
(1,151
|
)
|
|
308,933
|
|
|
(2,340
|
)
|
||||||
Non-investment grade
|
|
—
|
|
|
—
|
|
|
9,642
|
|
|
(1,849
|
)
|
|
9,642
|
|
|
(1,849
|
)
|
||||||
Other securities
|
|
17,990
|
|
|
(112
|
)
|
|
8,731
|
|
|
(269
|
)
|
|
26,721
|
|
|
(381
|
)
|
||||||
Total available-for-sale investment securities
|
|
$
|
2,527,519
|
|
|
$
|
(16,075
|
)
|
|
$
|
228,733
|
|
|
$
|
(6,272
|
)
|
|
$
|
2,756,252
|
|
|
$
|
(22,347
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
As of December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Available-for-sale investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
U.S. Treasury securities
|
|
$
|
170,260
|
|
|
$
|
(266
|
)
|
|
$
|
163,800
|
|
|
$
|
(1,371
|
)
|
|
$
|
334,060
|
|
|
$
|
(1,637
|
)
|
U.S. government agency and U.S. government sponsored enterprise debt securities
|
|
69,438
|
|
|
(504
|
)
|
|
124,104
|
|
|
(889
|
)
|
|
193,542
|
|
|
(1,393
|
)
|
||||||
U.S. government agency and U.S. government sponsored enterprise mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial mortgage-backed securities
|
|
45,405
|
|
|
(257
|
)
|
|
16,169
|
|
|
(336
|
)
|
|
61,574
|
|
|
(593
|
)
|
||||||
Residential mortgage-backed securities
|
|
81,927
|
|
|
(270
|
)
|
|
241,047
|
|
|
(3,808
|
)
|
|
322,974
|
|
|
(4,078
|
)
|
||||||
Municipal securities
|
|
6,391
|
|
|
(26
|
)
|
|
61,107
|
|
|
(1,136
|
)
|
|
67,498
|
|
|
(1,162
|
)
|
||||||
Other residential mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Investment grade
|
|
—
|
|
|
—
|
|
|
7,217
|
|
|
(135
|
)
|
|
7,217
|
|
|
(135
|
)
|
||||||
Corporate debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Investment grade
|
|
25,084
|
|
|
(12
|
)
|
|
90,098
|
|
|
(1,042
|
)
|
|
115,182
|
|
|
(1,054
|
)
|
||||||
Non-investment grade
|
|
—
|
|
|
—
|
|
|
14,681
|
|
|
(3,200
|
)
|
|
14,681
|
|
|
(3,200
|
)
|
||||||
Other securities
|
|
15,885
|
|
|
(716
|
)
|
|
—
|
|
|
—
|
|
|
15,885
|
|
|
(716
|
)
|
||||||
Total available-for-sale investment securities
|
|
$
|
414,390
|
|
|
$
|
(2,051
|
)
|
|
$
|
718,223
|
|
|
$
|
(11,917
|
)
|
|
$
|
1,132,613
|
|
|
$
|
(13,968
|
)
|
|
|
||||||||||||
($ in thousands)
|
|
2015
|
|
2014
|
|
2013
|
||||||
Beginning balance
|
|
$
|
112,338
|
|
|
$
|
115,511
|
|
|
$
|
115,511
|
|
Addition of OTTI previously not recognized
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Additional increase to the amount related to the credit
loss for which an OTTI was previously recognized
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Reduction for securities sold
|
|
(112,338
|
)
|
|
(3,173
|
)
|
|
—
|
|
|||
Ending balance
|
|
$
|
—
|
|
|
$
|
112,338
|
|
|
$
|
115,511
|
|
|
|
||||||||||||
($ in thousands)
|
|
2015
|
|
2014
|
|
2013
|
||||||
Proceeds from sales
|
|
$
|
1,669,334
|
|
|
$
|
623,689
|
|
|
$
|
663,569
|
|
Gross realized gains
|
|
$
|
40,367
|
|
|
$
|
10,978
|
|
|
$
|
13,904
|
|
Gross realized losses
|
|
$
|
—
|
|
|
$
|
127
|
|
(1)
|
$
|
1,815
|
|
Related tax expense
|
|
$
|
16,954
|
|
|
$
|
4,557
|
|
|
$
|
5,077
|
|
|
(1)
|
The gross realized losses of
$127 thousand
resulted from available-for-sale investment securities acquired from MetroCorp which were sold immediately after the acquisition closed.
|
|
||||||||
($ in thousands)
|
|
Amortized
Cost
|
|
Estimated
Fair Value
|
||||
Due within one year
|
|
$
|
756,656
|
|
|
$
|
752,736
|
|
Due after one year through five years
|
|
1,155,873
|
|
|
1,152,752
|
|
||
Due after five years through ten years
|
|
554,458
|
|
|
550,980
|
|
||
Due after ten years
|
|
1,316,842
|
|
|
1,316,758
|
|
||
Total available-for-sale investment securities
|
|
$
|
3,783,829
|
|
|
$
|
3,773,226
|
|
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
December 31, 2015
|
|
December 31, 2014
|
||||||||||||||||||||
|
Notional
Amount
|
|
Fair Value
|
|
Notional
Amount
|
|
Fair Value
|
|||||||||||||||||
|
|
Derivative
Assets
(1)
|
|
Derivative
Liabilities
(1)
|
|
|
Derivative
Assets
(1)
|
|
Derivative
Liabilities
(1)
|
|||||||||||||||
Derivatives designated as hedging instruments:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest rate swaps on certificates of deposit
|
|
$
|
112,913
|
|
|
$
|
—
|
|
|
$
|
5,213
|
|
|
$
|
132,667
|
|
|
$
|
—
|
|
|
$
|
9,922
|
|
Foreign currency forward contracts
|
|
86,590
|
|
|
2,365
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total derivatives designated as hedging instruments
|
|
$
|
199,503
|
|
|
$
|
2,365
|
|
|
$
|
5,213
|
|
|
$
|
132,667
|
|
|
$
|
—
|
|
|
$
|
9,922
|
|
Derivatives not designated as hedging instruments:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Foreign exchange options
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
85,614
|
|
|
$
|
6,136
|
|
|
$
|
—
|
|
Embedded derivative liabilities
|
|
—
|
|
|
—
|
|
|
—
|
|
|
47,838
|
|
|
—
|
|
|
3,392
|
|
||||||
Interest rate swaps and caps
|
|
6,494,900
|
|
|
67,215
|
|
|
67,325
|
|
|
4,858,391
|
|
|
41,534
|
|
|
41,779
|
|
||||||
Foreign exchange contracts
|
|
652,993
|
|
|
10,254
|
|
|
9,350
|
|
|
680,629
|
|
|
8,118
|
|
|
9,163
|
|
||||||
RPA
|
|
43,033
|
|
|
—
|
|
|
4
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Total derivatives not designated as hedging instruments
|
|
$
|
7,190,926
|
|
|
$
|
77,469
|
|
|
$
|
76,679
|
|
|
$
|
5,672,472
|
|
|
$
|
55,788
|
|
|
$
|
54,334
|
|
|
(1)
|
Derivative assets are included in Other Assets. Derivative liabilities are included in Accrued Expenses and Other Liabilities, and Interest-Bearing Deposits.
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Gains (losses) recorded in interest expense:
|
|
|
|
|
|
|
||||||
Recognized on interest rate swaps
|
|
$
|
3,452
|
|
|
$
|
6,885
|
|
|
$
|
(9,255
|
)
|
Recognized on certificates of deposit
|
|
(3,190
|
)
|
|
(6,784
|
)
|
|
9,675
|
|
|||
Net amount recognized on fair value hedges (ineffective portion)
|
|
$
|
262
|
|
|
$
|
101
|
|
|
$
|
420
|
|
|
|
|||||||||||
($ in thousands)
|
Years ended December 31,
|
||||||||||
2015
|
|
2014
|
|
2013
|
|||||||
Gains recognized in AOCI on net investment hedges (effective portion)
|
$
|
1,485
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Gains recognized in foreign exchange income (ineffective portion)
|
$
|
880
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
||||||||||||||
($ in thousands)
|
|
Location in
Consolidated
Statements of Income
|
|
Year Ended December 31,
|
||||||||||
|
|
2015
|
|
2014
|
|
2013
|
||||||||
Derivatives not designated as hedging instruments:
|
|
|
|
|
|
|
|
|
||||||
Foreign exchange options
|
|
Foreign exchange income
|
|
$
|
236
|
|
|
$
|
103
|
|
|
$
|
653
|
|
Embedded derivative liabilities
|
|
Other operating expense
|
|
(136
|
)
|
|
5
|
|
|
23
|
|
|||
Interest rate swaps and caps
|
|
Other fees and operating income
|
|
65
|
|
|
(1,865
|
)
|
|
1,582
|
|
|||
Foreign exchange contracts
|
|
Foreign exchange income
|
|
4,235
|
|
|
(3,880
|
)
|
|
2,624
|
|
|||
Total net income (loss)
|
|
|
|
$
|
4,400
|
|
|
$
|
(5,637
|
)
|
|
$
|
4,882
|
|
|
|
||||||||||||||||||||||||||
($ in thousands)
|
|
As of December 31, 2015
|
||||||||||||||||||||||||
|
|
Gross Amounts
of Recognized Assets |
|
Gross Amounts
Offset on the Consolidated Balance Sheets |
|
Net Amounts of
Assets Presented on the Consolidated Balance Sheets |
|
Gross Amounts Not Offset on the
Consolidated Balance Sheets |
|
|
|
|||||||||||||||
Assets
|
|
|
|
|
Financial
Instruments |
|
|
Collateral
Received |
|
|
Net Amount
|
|||||||||||||||
Derivatives
|
|
$
|
8,733
|
|
|
$
|
—
|
|
|
$
|
8,733
|
|
|
$
|
(5,293
|
)
|
(1)
|
|
$
|
(3,068
|
)
|
(2)
|
|
$
|
372
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
Gross Amounts
of Recognized Liabilities |
|
Gross Amounts
Offset on the Consolidated Balance Sheets |
|
Net Amounts of
Liabilities Presented on the Consolidated Balance Sheets |
|
Gross Amounts Not Offset on the
Consolidated Balance Sheets |
|
|
|
|||||||||||||||
Liabilities
|
|
|
|
|
Financial
Instruments |
|
|
Collateral
Posted |
|
|
Net Amount
|
|||||||||||||||
Derivatives
|
|
$
|
78,779
|
|
|
$
|
—
|
|
|
$
|
78,779
|
|
|
$
|
(5,293
|
)
|
(1)
|
|
$
|
(73,109
|
)
|
(3)
|
|
$
|
377
|
|
|
|
||||||||||||||||||||||||||
($ in thousands)
|
|
As of December 31, 2014
|
||||||||||||||||||||||||
|
|
Gross Amounts
of Recognized Assets |
|
Gross Amounts
Offset on the Consolidated Balance Sheets |
|
Net Amounts of
Assets Presented on the Consolidated Balance Sheets |
|
Gross Amounts Not Offset on the
Consolidated Balance Sheets |
|
|
|
|||||||||||||||
Assets
|
|
|
|
|
Financial
Instruments |
|
|
Collateral
Received |
|
|
Net Amount
|
|||||||||||||||
Derivatives
|
|
$
|
12,383
|
|
|
$
|
—
|
|
|
$
|
12,383
|
|
|
$
|
(5,718
|
)
|
(1)
|
|
$
|
(3,460
|
)
|
(2)
|
|
$
|
3,205
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
Gross Amounts
of Recognized Liabilities |
|
Gross Amounts
Offset on the Consolidated Balance Sheets |
|
Net Amounts of
Liabilities Presented on the Consolidated Balance Sheets |
|
Gross Amounts Not Offset on the
Consolidated Balance Sheets |
|
|
|
|||||||||||||||
Liabilities
|
|
|
|
|
Financial
Instruments |
|
|
Collateral
Posted |
|
|
Net Amount
|
|||||||||||||||
Derivatives
|
|
$
|
56,493
|
|
|
$
|
—
|
|
|
$
|
56,493
|
|
|
$
|
(5,718
|
)
|
(1)
|
|
$
|
(49,948
|
)
|
(3)
|
|
$
|
827
|
|
|
(1)
|
Represents the netting of derivative receivable and payable balances for the same counterparty under enforceable master netting arrangements if the Company has elected to net.
|
(2)
|
Represents
$3.1 million
and
$3.5 million
of cash collateral received against derivative assets with the same counterparty that are subject to enforceable master netting arrangements as of
December 31, 2015
and
2014
, respectively.
|
(3)
|
Represents cash and securities pledged against derivative liabilities with the same counterparty that are subject to enforceable master netting arrangements. Includes approximately
$21.1 million
and
$12.5 million
of cash collateral posted as of
December 31, 2015
and
2014
, respectively.
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
December 31, 2015
|
|
December 31, 2014
|
||||||||||||||||||||
|
Non-PCI Loans
|
|
PCI Loans
(1)
|
|
Total
(1)
|
|
Non-PCI Loans
|
|
PCI Loans
(1)
|
|
Total
(1)
|
|||||||||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Income producing
|
|
$
|
6,937,199
|
|
|
$
|
541,275
|
|
|
$
|
7,478,474
|
|
|
$
|
5,568,046
|
|
|
$
|
688,013
|
|
|
$
|
6,256,059
|
|
Construction
|
|
436,776
|
|
|
1,895
|
|
|
438,671
|
|
|
319,843
|
|
|
12,444
|
|
|
332,287
|
|
||||||
Land
|
|
187,409
|
|
|
6,195
|
|
|
193,604
|
|
|
214,327
|
|
|
16,840
|
|
|
231,167
|
|
||||||
Total CRE
|
|
7,561,384
|
|
|
549,365
|
|
|
8,110,749
|
|
|
6,102,216
|
|
|
717,297
|
|
|
6,819,513
|
|
||||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Commercial business
|
|
8,155,991
|
|
|
57,906
|
|
|
8,213,897
|
|
|
7,097,853
|
|
|
83,336
|
|
|
7,181,189
|
|
||||||
Trade finance
|
|
787,800
|
|
|
1,310
|
|
|
789,110
|
|
|
889,728
|
|
|
6,284
|
|
|
896,012
|
|
||||||
Total C&I
|
|
8,943,791
|
|
|
59,216
|
|
|
9,003,007
|
|
|
7,987,581
|
|
|
89,620
|
|
|
8,077,201
|
|
||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Single-family
|
|
2,877,286
|
|
|
189,633
|
|
|
3,066,919
|
|
|
3,647,262
|
|
|
219,519
|
|
|
3,866,781
|
|
||||||
Multifamily
|
|
1,374,718
|
|
|
148,277
|
|
|
1,522,995
|
|
|
1,184,017
|
|
|
265,891
|
|
|
1,449,908
|
|
||||||
Total residential
|
|
4,252,004
|
|
|
337,910
|
|
|
4,589,914
|
|
|
4,831,279
|
|
|
485,410
|
|
|
5,316,689
|
|
||||||
Consumer
|
|
1,931,828
|
|
|
24,263
|
|
|
1,956,091
|
|
|
1,483,956
|
|
|
29,786
|
|
|
1,513,742
|
|
||||||
Total loans
|
|
$
|
22,689,007
|
|
|
$
|
970,754
|
|
|
$
|
23,659,761
|
|
|
$
|
20,405,032
|
|
|
$
|
1,322,113
|
|
|
$
|
21,727,145
|
|
Unearned fees, premiums, and discounts, net
|
|
(16,013
|
)
|
|
—
|
|
|
(16,013
|
)
|
|
2,804
|
|
|
—
|
|
|
2,804
|
|
||||||
Allowance for loan losses
|
|
(264,600
|
)
|
|
(359
|
)
|
|
(264,959
|
)
|
|
(260,965
|
)
|
|
(714
|
)
|
|
(261,679
|
)
|
||||||
Loans, net
|
|
$
|
22,408,394
|
|
|
$
|
970,395
|
|
|
$
|
23,378,789
|
|
|
$
|
20,146,871
|
|
|
$
|
1,321,399
|
|
|
$
|
21,468,270
|
|
|
(1)
|
Loans net of ASC 310-30 discount.
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Pass/Watch
|
|
Special
Mention
|
|
Substandard
|
|
Doubtful
|
|
Loss
|
|
Total Non-PCI Loans
|
||||||||||||
December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Income producing
|
|
$
|
6,672,951
|
|
|
$
|
59,309
|
|
|
$
|
204,939
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
6,937,199
|
|
Construction
|
|
435,112
|
|
|
1,194
|
|
|
470
|
|
|
—
|
|
|
—
|
|
|
436,776
|
|
||||||
Land
|
|
172,189
|
|
|
—
|
|
|
15,220
|
|
|
—
|
|
|
—
|
|
|
187,409
|
|
||||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial business
|
|
7,794,735
|
|
|
201,280
|
|
|
135,449
|
|
|
24,527
|
|
|
—
|
|
|
8,155,991
|
|
||||||
Trade finance
|
|
750,144
|
|
|
13,812
|
|
|
23,844
|
|
|
—
|
|
|
—
|
|
|
787,800
|
|
||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Single-family
|
|
2,841,722
|
|
|
8,134
|
|
|
27,430
|
|
|
—
|
|
|
—
|
|
|
2,877,286
|
|
||||||
Multifamily
|
|
1,317,550
|
|
|
2,918
|
|
|
54,250
|
|
|
—
|
|
|
—
|
|
|
1,374,718
|
|
||||||
Consumer
|
|
1,926,418
|
|
|
883
|
|
|
4,527
|
|
|
—
|
|
|
—
|
|
|
1,931,828
|
|
||||||
Total
|
|
$
|
21,910,821
|
|
|
$
|
287,530
|
|
|
$
|
466,129
|
|
|
$
|
24,527
|
|
|
$
|
—
|
|
|
$
|
22,689,007
|
|
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Pass/Watch
|
|
Special
Mention
|
|
Substandard
|
|
Doubtful
|
|
Loss
|
|
Total Non-PCI Loans
|
||||||||||||
December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Income producing
|
|
$
|
5,243,640
|
|
|
$
|
54,673
|
|
|
$
|
269,733
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
5,568,046
|
|
Construction
|
|
310,259
|
|
|
11
|
|
|
9,573
|
|
|
—
|
|
|
—
|
|
|
319,843
|
|
||||||
Land
|
|
185,220
|
|
|
5,701
|
|
|
23,406
|
|
|
—
|
|
|
—
|
|
|
214,327
|
|
||||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Commercial business
|
|
6,836,914
|
|
|
130,319
|
|
|
130,032
|
|
|
533
|
|
|
55
|
|
|
7,097,853
|
|
||||||
Trade finance
|
|
845,889
|
|
|
13,031
|
|
|
30,808
|
|
|
—
|
|
|
—
|
|
|
889,728
|
|
||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Single-family
|
|
3,627,491
|
|
|
3,143
|
|
|
16,628
|
|
|
—
|
|
|
—
|
|
|
3,647,262
|
|
||||||
Multifamily
|
|
1,095,982
|
|
|
5,124
|
|
|
82,911
|
|
|
—
|
|
|
—
|
|
|
1,184,017
|
|
||||||
Consumer
|
|
1,480,208
|
|
|
1,005
|
|
|
2,743
|
|
|
—
|
|
|
—
|
|
|
1,483,956
|
|
||||||
Total
|
|
$
|
19,625,603
|
|
|
$
|
213,007
|
|
|
$
|
565,834
|
|
|
$
|
533
|
|
|
$
|
55
|
|
|
$
|
20,405,032
|
|
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Pass/Watch
|
|
Special
Mention
|
|
Substandard
|
|
Doubtful
|
|
Loss
|
|
Total PCI Loans
|
||||||||||||
December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Income producing
|
|
$
|
440,100
|
|
|
$
|
4,987
|
|
|
$
|
96,188
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
541,275
|
|
Construction
|
|
—
|
|
|
—
|
|
|
1,895
|
|
|
—
|
|
|
—
|
|
|
1,895
|
|
||||||
Land
|
|
4,285
|
|
|
—
|
|
|
1,910
|
|
|
—
|
|
|
—
|
|
|
6,195
|
|
||||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Commercial business
|
|
52,212
|
|
|
819
|
|
|
4,875
|
|
|
—
|
|
|
—
|
|
|
57,906
|
|
||||||
Trade finance
|
|
1,310
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,310
|
|
||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Single-family
|
|
184,092
|
|
|
1,293
|
|
|
4,248
|
|
|
—
|
|
|
—
|
|
|
189,633
|
|
||||||
Multifamily
|
|
130,770
|
|
|
—
|
|
|
17,507
|
|
|
—
|
|
|
—
|
|
|
148,277
|
|
||||||
Consumer
|
|
23,121
|
|
|
452
|
|
|
690
|
|
|
—
|
|
|
—
|
|
|
24,263
|
|
||||||
Total
(1)
|
|
$
|
835,890
|
|
|
$
|
7,551
|
|
|
$
|
127,313
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
970,754
|
|
|
(1)
|
Loans net of ASC 310-30 discount.
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Pass/Watch
|
|
Special
Mention
|
|
Substandard
|
|
Doubtful
|
|
Loss
|
|
Total PCI Loans
|
||||||||||||
December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Income producing
|
|
$
|
534,015
|
|
|
$
|
9,960
|
|
|
$
|
144,038
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
688,013
|
|
Construction
|
|
589
|
|
|
1,744
|
|
|
10,111
|
|
|
—
|
|
|
—
|
|
|
12,444
|
|
||||||
Land
|
|
7,012
|
|
|
5,391
|
|
|
4,437
|
|
|
—
|
|
|
—
|
|
|
16,840
|
|
||||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Commercial business
|
|
70,586
|
|
|
1,103
|
|
|
11,647
|
|
|
—
|
|
|
—
|
|
|
83,336
|
|
||||||
Trade finance
|
|
4,620
|
|
|
—
|
|
|
1,664
|
|
|
—
|
|
|
—
|
|
|
6,284
|
|
||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Single-family
|
|
213,829
|
|
|
374
|
|
|
5,316
|
|
|
—
|
|
|
—
|
|
|
219,519
|
|
||||||
Multifamily
|
|
230,049
|
|
|
—
|
|
|
35,842
|
|
|
—
|
|
|
—
|
|
|
265,891
|
|
||||||
Consumer
|
|
29,026
|
|
|
116
|
|
|
644
|
|
|
—
|
|
|
—
|
|
|
29,786
|
|
||||||
Total
(1)
|
|
$
|
1,089,726
|
|
|
$
|
18,688
|
|
|
$
|
213,699
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
1,322,113
|
|
|
(1)
|
Loans net of ASC 310-30 discount.
|
|
||||||||||||||||||||||||||||||||
($ in thousands)
|
|
Accruing
Loans
30-59 Days
Past Due
|
|
Accruing
Loans
60-89 Days
Past Due
|
|
Total
Accruing
Past Due
Loans
|
|
Nonaccrual
Loans Less
Than 90
Days
Past Due
|
|
Nonaccrual
Loans
90 or More
Days
Past Due
|
|
Total
Nonaccrual
Loans
|
|
Current
Accruing
Loans
|
|
Total Non-PCI Loans
|
||||||||||||||||
December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Income producing
|
|
$
|
3,465
|
|
|
$
|
25,256
|
|
|
$
|
28,721
|
|
|
$
|
11,359
|
|
|
$
|
17,870
|
|
|
$
|
29,229
|
|
|
$
|
6,879,249
|
|
|
$
|
6,937,199
|
|
Construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
14
|
|
|
—
|
|
|
14
|
|
|
436,762
|
|
|
436,776
|
|
||||||||
Land
|
|
1,124
|
|
|
—
|
|
|
1,124
|
|
|
277
|
|
|
406
|
|
|
683
|
|
|
185,602
|
|
|
187,409
|
|
||||||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial business
|
|
1,992
|
|
|
1,185
|
|
|
3,177
|
|
|
50,726
|
|
|
14,009
|
|
|
64,735
|
|
|
8,088,079
|
|
|
8,155,991
|
|
||||||||
Trade finance
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
787,800
|
|
|
787,800
|
|
||||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Single-family
|
|
7,657
|
|
|
2,927
|
|
|
10,584
|
|
|
92
|
|
|
8,634
|
|
|
8,726
|
|
|
2,857,976
|
|
|
2,877,286
|
|
||||||||
Multifamily
|
|
6,320
|
|
|
981
|
|
|
7,301
|
|
|
6,486
|
|
|
9,758
|
|
|
16,244
|
|
|
1,351,173
|
|
|
1,374,718
|
|
||||||||
Consumer
|
|
2,078
|
|
|
209
|
|
|
2,287
|
|
|
233
|
|
|
1,505
|
|
|
1,738
|
|
|
1,927,803
|
|
|
1,931,828
|
|
||||||||
Total
|
|
$
|
22,636
|
|
|
$
|
30,558
|
|
|
$
|
53,194
|
|
|
$
|
69,187
|
|
|
$
|
52,182
|
|
|
$
|
121,369
|
|
|
$
|
22,514,444
|
|
|
$
|
22,689,007
|
|
|
|
||||||||||||||||||||||||||||||||
($ in thousands)
|
|
Accruing
Loans
30-59 Days
Past Due
|
|
Accruing
Loans
60-89 Days
Past Due
|
|
Total
Accruing
Past Due
Loans
|
|
Nonaccrual
Loans Less
Than 90
Days
Past Due
|
|
Nonaccrual
Loans
90 or More
Days
Past Due
|
|
Total
Nonaccrual
Loans
|
|
Current
Accruing
Loans
|
|
Total Non-PCI Loans
|
||||||||||||||||
December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Income producing
|
|
$
|
14,171
|
|
|
$
|
3,593
|
|
|
$
|
17,764
|
|
|
$
|
19,348
|
|
|
$
|
9,165
|
|
|
$
|
28,513
|
|
|
$
|
5,521,769
|
|
|
$
|
5,568,046
|
|
Construction
|
|
—
|
|
|
—
|
|
|
—
|
|
|
15
|
|
|
6,898
|
|
|
6,913
|
|
|
312,930
|
|
|
319,843
|
|
||||||||
Land
|
|
—
|
|
|
—
|
|
|
—
|
|
|
221
|
|
|
2,502
|
|
|
2,723
|
|
|
211,604
|
|
|
214,327
|
|
||||||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial business
|
|
3,187
|
|
|
4,361
|
|
|
7,548
|
|
|
6,623
|
|
|
21,813
|
|
|
28,436
|
|
|
7,061,869
|
|
|
7,097,853
|
|
||||||||
Trade finance
|
|
—
|
|
|
—
|
|
|
—
|
|
|
73
|
|
|
292
|
|
|
365
|
|
|
889,363
|
|
|
889,728
|
|
||||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Single-family
|
|
6,381
|
|
|
1,294
|
|
|
7,675
|
|
|
2,861
|
|
|
5,764
|
|
|
8,625
|
|
|
3,630,962
|
|
|
3,647,262
|
|
||||||||
Multifamily
|
|
4,425
|
|
|
507
|
|
|
4,932
|
|
|
12,460
|
|
|
8,359
|
|
|
20,819
|
|
|
1,158,266
|
|
|
1,184,017
|
|
||||||||
Consumer
|
|
2,154
|
|
|
162
|
|
|
2,316
|
|
|
169
|
|
|
3,699
|
|
|
3,868
|
|
|
1,477,772
|
|
|
1,483,956
|
|
||||||||
Total
|
|
$
|
30,318
|
|
|
$
|
9,917
|
|
|
$
|
40,235
|
|
|
$
|
41,770
|
|
|
$
|
58,492
|
|
|
$
|
100,262
|
|
|
$
|
20,264,535
|
|
|
$
|
20,405,032
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
($ in thousands)
|
|
Loans Modified as TDRs During the Year Ended December 31, 2015
|
|||||||||||||
|
Number
of Loans |
|
Pre-Modification
Outstanding Recorded Investment |
|
Post-Modification
Outstanding Recorded Investment (1) |
|
Financial
Impact (2) |
||||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Income producing
|
|
3
|
|
|
$
|
1,802
|
|
|
$
|
1,705
|
|
|
$
|
—
|
|
Land
|
|
2
|
|
|
$
|
2,227
|
|
|
$
|
83
|
|
|
$
|
102
|
|
C&I:
|
|
|
|
|
|
|
|
|
|||||||
Commercial business
|
|
18
|
|
|
$
|
42,816
|
|
|
$
|
34,124
|
|
|
$
|
6,726
|
|
Residential:
|
|
|
|
|
|
|
|
|
|||||||
Single-family
|
|
1
|
|
|
$
|
281
|
|
|
$
|
279
|
|
|
$
|
2
|
|
|
|
|||||||||||||||
|
|
Loans Modified as TDRs During the Year Ended December 31, 2014
|
|||||||||||||
($ in thousands)
|
|
Number
of Loans |
|
Pre-Modification
Outstanding Recorded Investment |
|
Post-Modification
Outstanding Recorded Investment (1) |
|
Financial
Impact (2) |
|||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
Income producing
|
|
6
|
|
|
$
|
8,829
|
|
|
$
|
8,624
|
|
|
$
|
43
|
|
C&I:
|
|
|
|
|
|
|
|
|
|||||||
Commercial business
|
|
13
|
|
|
$
|
4,379
|
|
|
$
|
3,089
|
|
|
$
|
2,205
|
|
Trade finance
|
|
1
|
|
|
$
|
190
|
|
|
$
|
73
|
|
|
$
|
14
|
|
Residential:
|
|
|
|
|
|
|
|
|
|||||||
Single-family
|
|
9
|
|
|
$
|
11,454
|
|
|
$
|
8,269
|
|
|
$
|
—
|
|
Multifamily
|
|
6
|
|
|
$
|
5,471
|
|
|
$
|
3,705
|
|
|
$
|
7
|
|
Consumer
|
|
1
|
|
|
$
|
509
|
|
|
$
|
504
|
|
|
$
|
—
|
|
|
|
|||||||||||||||
|
|
Loans Modified as TDRs During the Year Ended December 31, 2013
|
|||||||||||||
($ in thousands)
|
|
Number
of Loans |
|
Pre-Modification
Outstanding Recorded Investment |
|
Post-Modification
Outstanding Recorded Investment (1) |
|
Financial
Impact (2) |
|||||||
CRE:
|
|
|
|
|
|
|
|
|
|||||||
Income producing
|
|
6
|
|
|
$
|
26,021
|
|
|
$
|
17,456
|
|
|
$
|
219
|
|
C&I:
|
|
|
|
|
|
|
|
|
|||||||
Commercial business
|
|
6
|
|
|
$
|
16,220
|
|
|
$
|
15,624
|
|
|
$
|
4,274
|
|
Residential:
|
|
|
|
|
|
|
|
|
|||||||
Multifamily
|
|
1
|
|
|
$
|
1,093
|
|
|
$
|
1,071
|
|
|
$
|
—
|
|
Consumer
|
|
1
|
|
|
$
|
651
|
|
|
$
|
639
|
|
|
$
|
—
|
|
|
(1)
|
Includes subsequent payments after modification and reflects the balance as of
December 31, 2015
,
2014
and
2013
.
|
(2)
|
The financial impact includes charge-offs and specific reserves recorded at the modification date.
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Modification Type
|
||||||||||||||||||||||
|
Principal
(1)
|
|
Principal and Interest
(2)
|
|
Interest Rate Reduction
|
|
A/B Note
|
|
Other
|
|
Total
|
|||||||||||||
December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
CRE
|
|
$
|
521
|
|
|
$
|
791
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
476
|
|
|
$
|
1,788
|
|
C&I
|
|
16,325
|
|
|
17,799
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$
|
34,124
|
|
|||||
Residential
|
|
279
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
$
|
279
|
|
|||||
Total
|
|
$
|
17,125
|
|
|
$
|
18,590
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
476
|
|
|
$
|
36,191
|
|
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Modification Type
|
||||||||||||||||||||||
|
Principal
(1)
|
|
Principal and Interest
(2)
|
|
Interest Rate Reduction
|
|
A/B Note
|
|
Other
|
|
Total
|
|||||||||||||
December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
CRE
|
|
$
|
691
|
|
|
$
|
5,100
|
|
|
$
|
2,165
|
|
|
$
|
—
|
|
|
$
|
668
|
|
|
$
|
8,624
|
|
C&I
|
|
2,677
|
|
|
73
|
|
|
94
|
|
|
—
|
|
|
318
|
|
|
3,162
|
|
||||||
Residential
|
|
9,756
|
|
|
1,471
|
|
|
—
|
|
|
—
|
|
|
747
|
|
|
11,974
|
|
||||||
Consumer
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
504
|
|
|
504
|
|
||||||
Total
|
|
$
|
13,124
|
|
|
$
|
6,644
|
|
|
$
|
2,259
|
|
|
$
|
—
|
|
|
$
|
2,237
|
|
|
$
|
24,264
|
|
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Modification Type
|
||||||||||||||||||||||
|
Principal
(1)
|
|
Principal and Interest
(2)
|
|
Interest Rate Reduction
|
|
A/B Note
|
|
Other
|
|
Total
|
|||||||||||||
December 31, 2013
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
CRE
|
|
$
|
15,923
|
|
|
$
|
540
|
|
|
$
|
—
|
|
|
$
|
884
|
|
|
$
|
109
|
|
|
$
|
17,456
|
|
C&I
|
|
15,488
|
|
|
136
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
15,624
|
|
||||||
Residential
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,071
|
|
|
—
|
|
|
1,071
|
|
||||||
Consumer
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
639
|
|
|
$
|
639
|
|
|||||
Total
|
|
$
|
31,411
|
|
|
$
|
676
|
|
|
$
|
—
|
|
|
$
|
1,955
|
|
|
$
|
748
|
|
|
$
|
34,790
|
|
|
(1)
|
Principal modification includes forbearance payments, term extensions and principal deferments that modify the terms of the loan from principal and interest payments to interest payments only.
|
(2)
|
Principal and interest modification includes principal and interest deferments or reductions.
|
|
|||||||||||||||||||||
|
|
Loans Modified as TDRs that Subsequently Defaulted
During the Year Ended December 31, |
|||||||||||||||||||
|
|
2015
|
|
2014
|
|
2013
|
|||||||||||||||
($ in thousands)
|
|
Number of
Loans |
|
Recorded
Investment |
|
Number of
Loans |
|
Recorded
Investment |
|
Number of
Loans |
|
Recorded
Investment |
|||||||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial business
|
|
—
|
|
|
$
|
—
|
|
|
1
|
|
|
$
|
957
|
|
|
1
|
|
|
$
|
570
|
|
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Single-family
|
|
1
|
|
|
$
|
279
|
|
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
—
|
|
Consumer
|
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
—
|
|
|
1
|
|
|
$
|
639
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
($ in thousands)
|
|
Unpaid
Principal
Balance
|
|
Recorded
Investment
With No
Allowance
|
|
Recorded
Investment
With
Allowance
|
|
Total
Recorded
Investment
|
|
Related
Allowance
|
||||||||||
December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Income producing
|
|
$
|
47,043
|
|
|
$
|
24,347
|
|
|
$
|
15,720
|
|
|
$
|
40,067
|
|
|
$
|
3,148
|
|
Construction
|
|
66
|
|
|
—
|
|
|
14
|
|
|
14
|
|
|
1
|
|
|||||
Land
|
|
1,537
|
|
|
632
|
|
|
683
|
|
|
1,315
|
|
|
118
|
|
|||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Commercial business
|
|
81,720
|
|
|
31,045
|
|
|
40,111
|
|
|
71,156
|
|
|
15,993
|
|
|||||
Trade finance
|
|
10,675
|
|
|
—
|
|
|
10,675
|
|
|
10,675
|
|
|
95
|
|
|||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Single-family
|
|
16,486
|
|
|
4,401
|
|
|
10,611
|
|
|
15,012
|
|
|
584
|
|
|||||
Multifamily
|
|
25,634
|
|
|
16,944
|
|
|
6,783
|
|
|
23,727
|
|
|
339
|
|
|||||
Consumer
|
|
1,240
|
|
|
—
|
|
|
1,240
|
|
|
1,240
|
|
|
60
|
|
|||||
Total
|
|
$
|
184,401
|
|
|
$
|
77,369
|
|
|
$
|
85,837
|
|
|
$
|
163,206
|
|
|
$
|
20,338
|
|
|
|
||||||||||||||||||||
($ in thousands)
|
|
Unpaid
Principal
Balance
|
|
Recorded
Investment
With No
Allowance
|
|
Recorded
Investment
With
Allowance
|
|
Total
Recorded
Investment
|
|
Related
Allowance
|
||||||||||
December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Income producing
|
|
$
|
58,900
|
|
|
$
|
35,495
|
|
|
$
|
15,646
|
|
|
$
|
51,141
|
|
|
$
|
1,581
|
|
Construction
|
|
6,913
|
|
|
6,913
|
|
|
—
|
|
|
6,913
|
|
|
—
|
|
|||||
Land
|
|
13,291
|
|
|
2,838
|
|
|
5,622
|
|
|
8,460
|
|
|
1,906
|
|
|||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Commercial business
|
|
44,569
|
|
|
12,723
|
|
|
25,717
|
|
|
38,440
|
|
|
15,174
|
|
|||||
Trade finance
|
|
12,967
|
|
|
6,431
|
|
|
274
|
|
|
6,705
|
|
|
28
|
|
|||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Single-family
|
|
18,908
|
|
|
6,003
|
|
|
11,398
|
|
|
17,401
|
|
|
461
|
|
|||||
Multifamily
|
|
37,649
|
|
|
21,523
|
|
|
12,890
|
|
|
34,413
|
|
|
313
|
|
|||||
Consumer
|
|
1,259
|
|
|
1,151
|
|
|
108
|
|
|
1,259
|
|
|
1
|
|
|||||
Total
|
|
$
|
194,456
|
|
|
$
|
93,077
|
|
|
$
|
71,655
|
|
|
$
|
164,732
|
|
|
$
|
19,464
|
|
|
|
|
|
|
|
||||||||||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||||||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||||||||||||||
|
Average
Recorded
Investment
|
|
Recognized
Interest
Income
(1)
|
|
Average
Recorded Investment |
|
Recognized
Interest
Income
(1)
|
|
Average
Recorded Investment |
|
Recognized
Interest
Income
(1)
|
|||||||||||||
CRE:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Income producing
|
|
$
|
44,043
|
|
|
$
|
536
|
|
|
$
|
54,544
|
|
|
$
|
1,249
|
|
|
$
|
71,856
|
|
|
$
|
2,480
|
|
Construction
|
|
14
|
|
|
—
|
|
|
6,888
|
|
|
—
|
|
|
6,888
|
|
|
—
|
|
||||||
Land
|
|
2,708
|
|
|
39
|
|
|
8,633
|
|
|
298
|
|
|
12,453
|
|
|
496
|
|
||||||
C&I:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial business
|
|
73,513
|
|
|
315
|
|
|
36,528
|
|
|
833
|
|
|
38,294
|
|
|
735
|
|
||||||
Trade finance
|
|
11,402
|
|
|
223
|
|
|
336
|
|
|
15
|
|
|
1,603
|
|
|
11
|
|
||||||
Residential:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Single-family
|
|
15,347
|
|
|
242
|
|
|
16,413
|
|
|
342
|
|
|
15,322
|
|
|
154
|
|
||||||
Multifamily
|
|
24,001
|
|
|
312
|
|
|
37,128
|
|
|
830
|
|
|
35,799
|
|
|
850
|
|
||||||
Consumer
|
|
1,251
|
|
|
47
|
|
|
1,259
|
|
|
47
|
|
|
3,225
|
|
|
4
|
|
||||||
Total impaired non-PCI loans
|
|
$
|
172,279
|
|
|
$
|
1,714
|
|
|
$
|
161,729
|
|
|
$
|
3,614
|
|
|
$
|
185,440
|
|
|
$
|
4,730
|
|
|
|
|
|
|
(1)
|
Includes interest recognized on accruing non-PCI TDRs. Interest payments received on nonaccrual non-PCI loans are reflected as a reduction of principal and not as interest income.
|
|
||||||||||||||||||||||||||||
($ in thousands)
|
|
Non-PCI Loans
|
|
|
|
|
||||||||||||||||||||||
|
CRE
|
|
C&I
|
|
Residential
|
|
Consumer
|
|
Total
|
|
PCI Loans
|
|
Total
|
|||||||||||||||
Year Ended December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Beginning balance
|
|
$
|
72,263
|
|
|
$
|
134,598
|
|
|
$
|
43,856
|
|
|
$
|
10,248
|
|
|
$
|
260,965
|
|
|
$
|
714
|
|
|
$
|
261,679
|
|
Provision for (reversal of) loan losses
|
|
3,338
|
|
|
11,640
|
|
|
(7,499
|
)
|
|
(555
|
)
|
|
6,924
|
|
|
(355
|
)
|
|
6,569
|
|
|||||||
Charge-offs
|
|
(1,545
|
)
|
|
(20,423
|
)
|
|
(1,686
|
)
|
|
(600
|
)
|
|
(24,254
|
)
|
|
—
|
|
|
(24,254
|
)
|
|||||||
Recoveries
|
|
7,135
|
|
|
8,782
|
|
|
4,621
|
|
|
427
|
|
|
20,965
|
|
|
—
|
|
|
20,965
|
|
|||||||
Net recoveries (charge-offs)
|
|
5,590
|
|
|
(11,641
|
)
|
|
2,935
|
|
|
(173
|
)
|
|
(3,289
|
)
|
|
—
|
|
|
(3,289
|
)
|
|||||||
Ending balance
|
|
$
|
81,191
|
|
|
$
|
134,597
|
|
|
$
|
39,292
|
|
|
$
|
9,520
|
|
|
$
|
264,600
|
|
|
$
|
359
|
|
|
$
|
264,959
|
|
|
|
||||||||||||||||||||||||||||
($ in thousands)
|
|
Non-PCI Loans
|
|
|
|
|
||||||||||||||||||||||
|
CRE
|
|
C&I
|
|
Residential
|
|
Consumer
|
|
Total
|
|
PCI Loans
|
|
Total
|
|||||||||||||||
Year Ended December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Beginning balance
|
|
$
|
70,154
|
|
|
$
|
115,184
|
|
|
$
|
50,716
|
|
|
$
|
11,352
|
|
|
$
|
247,406
|
|
|
$
|
2,269
|
|
|
$
|
249,675
|
|
Provision for (reversal of) loan losses
|
|
3,264
|
|
|
49,200
|
|
|
(8,167
|
)
|
|
4,318
|
|
|
48,615
|
|
|
(1,032
|
)
|
|
47,583
|
|
|||||||
Charge-offs
|
|
(3,137
|
)
|
|
(39,984
|
)
|
|
(1,103
|
)
|
|
(5,871
|
)
|
|
(50,095
|
)
|
|
(523
|
)
|
|
(50,618
|
)
|
|||||||
Recoveries
|
|
1,982
|
|
|
10,198
|
|
|
2,410
|
|
|
449
|
|
|
15,039
|
|
|
—
|
|
|
15,039
|
|
|||||||
Net (charge-offs) recoveries
|
|
(1,155
|
)
|
|
(29,786
|
)
|
|
1,307
|
|
|
(5,422
|
)
|
|
(35,056
|
)
|
|
(523
|
)
|
|
(35,579
|
)
|
|||||||
Ending balance
|
|
$
|
72,263
|
|
|
$
|
134,598
|
|
|
$
|
43,856
|
|
|
$
|
10,248
|
|
|
$
|
260,965
|
|
|
$
|
714
|
|
|
$
|
261,679
|
|
|
|
||||||||||||||||||||||||||||
($ in thousands)
|
|
Non-PCI Loans
|
|
|
|
|
||||||||||||||||||||||
|
CRE
|
|
C&I
|
|
Residential
|
|
Consumer
|
|
Total
|
|
PCI Loans
|
|
Total
|
|||||||||||||||
Year Ended December 31, 2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Beginning balance
|
|
$
|
72,385
|
|
|
$
|
107,719
|
|
|
$
|
49,436
|
|
|
$
|
4,995
|
|
|
$
|
234,535
|
|
|
$
|
—
|
|
|
$
|
234,535
|
|
(Reversal of) provision for loan losses
|
|
(3,287
|
)
|
|
11,534
|
|
|
2,473
|
|
|
7,218
|
|
|
17,938
|
|
|
2,269
|
|
|
20,207
|
|
|||||||
Charge-offs
|
|
(3,737
|
)
|
|
(8,461
|
)
|
|
(3,197
|
)
|
|
(2,385
|
)
|
|
(17,780
|
)
|
|
—
|
|
|
(17,780
|
)
|
|||||||
Recoveries
|
|
4,793
|
|
|
4,392
|
|
|
2,004
|
|
|
1,524
|
|
|
12,713
|
|
|
—
|
|
|
12,713
|
|
|||||||
Net recoveries (charge-offs)
|
|
1,056
|
|
|
(4,069
|
)
|
|
(1,193
|
)
|
|
(861
|
)
|
|
(5,067
|
)
|
|
—
|
|
|
(5,067
|
)
|
|||||||
Ending balance
|
|
$
|
70,154
|
|
|
$
|
115,184
|
|
|
$
|
50,716
|
|
|
$
|
11,352
|
|
|
$
|
247,406
|
|
|
$
|
2,269
|
|
|
$
|
249,675
|
|
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Beginning balance
|
|
$
|
12,712
|
|
|
$
|
11,282
|
|
|
$
|
9,437
|
|
Provision for unfunded credit reserves
|
|
7,648
|
|
|
1,575
|
|
|
2,157
|
|
|||
Charge-offs
|
|
—
|
|
|
145
|
|
|
312
|
|
|||
Ending balance
|
|
$
|
20,360
|
|
|
$
|
12,712
|
|
|
$
|
11,282
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
($ in thousands)
|
|
CRE
|
|
C&I
|
|
Residential
|
|
Consumer
|
|
Total
|
||||||||||
As of December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Allowance for loan losses
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Individually evaluated for impairment
|
|
$
|
3,267
|
|
|
$
|
16,088
|
|
|
$
|
923
|
|
|
$
|
60
|
|
|
$
|
20,338
|
|
Collectively evaluated for impairment
|
|
77,924
|
|
|
118,509
|
|
|
38,369
|
|
|
9,460
|
|
|
244,262
|
|
|||||
Acquired with deteriorated credit quality
|
|
347
|
|
|
9
|
|
|
3
|
|
|
—
|
|
|
359
|
|
|||||
Ending balance
|
|
$
|
81,538
|
|
|
$
|
134,606
|
|
|
$
|
39,295
|
|
|
$
|
9,520
|
|
|
$
|
264,959
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Recorded investment in loans
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Individually evaluated for impairment
|
|
$
|
41,396
|
|
|
$
|
81,831
|
|
|
$
|
38,739
|
|
|
$
|
1,240
|
|
|
$
|
163,206
|
|
Collectively evaluated for impairment
|
|
7,519,988
|
|
|
8,861,960
|
|
|
4,213,265
|
|
|
1,930,588
|
|
|
22,525,801
|
|
|||||
Acquired with deteriorated credit quality
(1)
|
|
549,365
|
|
|
59,216
|
|
|
337,910
|
|
|
24,263
|
|
|
970,754
|
|
|||||
Ending balance
(1)
|
|
$
|
8,110,749
|
|
|
$
|
9,003,007
|
|
|
$
|
4,589,914
|
|
|
$
|
1,956,091
|
|
|
$
|
23,659,761
|
|
|
(1)
|
Loans net of ASC 310-30 discount.
|
|
||||||||||||||||||||
($ in thousands)
|
|
CRE
|
|
C&I
|
|
Residential
|
|
Consumer
|
|
Total
|
||||||||||
As of December 31, 2014
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Allowance for loan losses
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Individually evaluated for impairment
|
|
$
|
3,487
|
|
|
$
|
15,202
|
|
|
$
|
774
|
|
|
$
|
1
|
|
|
$
|
19,464
|
|
Collectively evaluated for impairment
|
|
68,776
|
|
|
119,396
|
|
|
43,082
|
|
|
10,247
|
|
|
241,501
|
|
|||||
Acquired with deteriorated credit quality
|
|
714
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
714
|
|
|||||
Ending balance
|
|
$
|
72,977
|
|
|
$
|
134,598
|
|
|
$
|
43,856
|
|
|
$
|
10,248
|
|
|
$
|
261,679
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Recorded investment in loans
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Individually evaluated for impairment
|
|
$
|
66,514
|
|
|
$
|
45,145
|
|
|
$
|
51,814
|
|
|
$
|
1,259
|
|
|
$
|
164,732
|
|
Collectively evaluated for impairment
|
|
6,035,702
|
|
|
7,942,436
|
|
|
4,779,465
|
|
|
1,482,697
|
|
|
20,240,300
|
|
|||||
Acquired with deteriorated credit quality
(1)
|
|
717,297
|
|
|
89,620
|
|
|
485,410
|
|
|
29,786
|
|
|
1,322,113
|
|
|||||
Ending balance
(1)
|
|
$
|
6,819,513
|
|
|
$
|
8,077,201
|
|
|
$
|
5,316,689
|
|
|
$
|
1,513,742
|
|
|
$
|
21,727,145
|
|
|
(1)
|
Loans net of ASC 310-30 discount.
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Beginning balance
|
|
$
|
311,688
|
|
|
$
|
461,545
|
|
|
$
|
556,986
|
|
Addition
|
|
—
|
|
|
6,745
|
|
|
—
|
|
|||
Accretion
|
|
(107,442
|
)
|
|
(219,169
|
)
|
|
(347,010
|
)
|
|||
Changes in expected cash flows
|
|
10,661
|
|
|
62,567
|
|
|
251,569
|
|
|||
Ending balance
|
|
$
|
214,907
|
|
|
$
|
311,688
|
|
|
$
|
461,545
|
|
|
|
|
|
||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Beginning balance
|
|
$
|
(96,106
|
)
|
|
$
|
74,708
|
|
|
$
|
316,313
|
|
Amortization
|
|
(3,906
|
)
|
|
(101,638
|
)
|
|
(99,055
|
)
|
|||
Reductions
(1)
|
|
(10,307
|
)
|
|
(33,595
|
)
|
|
(95,536
|
)
|
|||
FDIC repayment
(2)
|
|
110,319
|
|
|
(35,581
|
)
|
|
(47,014
|
)
|
|||
Ending balance
|
|
$
|
—
|
|
|
$
|
(96,106
|
)
|
|
$
|
74,708
|
|
|
|
|
(1)
|
Reductions relate to charge-offs, partial prepayments, loan payoffs and loan sales which result in a corresponding reduction of the indemnification asset.
|
(2)
|
Represents the change in the calculated estimate the Company will be required to pay the FDIC at the end of the FDIC shared-loss agreements, due to lower thresholds of losses, with the exception of the amount in the year ended December 31, 2015, which includes the final payments made to the FDIC due to the early termination of the shared-loss agreements.
|
NOTE 9
|
—
|
INVESTMENTS IN QUALIFIED AFFORDABLE HOUSING PARTNERSHIPS, TAX CREDIT AND OTHER INVESTMENTS, NET
|
|
||||||||
($ in thousands)
|
|
December 31, 2014
|
||||||
|
As Previously Reported
|
|
As Revised
|
|||||
Consolidated Balance Sheets:
|
|
|
|
|
||||
Investments in qualified affordable housing partnerships, net
|
|
$
|
178,652
|
|
|
$
|
178,962
|
|
Other assets — deferred tax assets
|
|
$
|
384,367
|
|
|
$
|
389,601
|
|
Retained earnings
|
|
$
|
1,598,598
|
|
|
$
|
1,604,141
|
|
|
|
||||||||||||||||
($ in thousands, except per share data)
|
|
Year Ended December 31,
|
||||||||||||||
|
2014
|
|
2013
|
|||||||||||||
|
As Previously Reported
|
|
As Revised
|
|
As Previously Reported
|
|
As Revised
|
|||||||||
Consolidated Statements of Income:
|
|
|
|
|
|
|
|
|
||||||||
Noninterest expense — amortization of tax credit and other investments
|
|
$
|
75,660
|
|
|
$
|
44,092
|
|
|
$
|
27,268
|
|
|
$
|
5,973
|
|
Income before income taxes
|
|
$
|
415,455
|
|
|
$
|
447,023
|
|
|
$
|
425,850
|
|
|
$
|
447,146
|
|
Income taxes expense
|
|
$
|
72,972
|
|
|
$
|
101,145
|
|
|
$
|
130,805
|
|
|
$
|
153,822
|
|
Net income
|
|
$
|
342,483
|
|
|
$
|
345,878
|
|
|
$
|
295,045
|
|
|
$
|
293,324
|
|
Earnings Per Share:
|
|
|
|
|
|
|
|
|
||||||||
Basic
|
|
$
|
2.39
|
|
|
$
|
2.42
|
|
|
$
|
2.11
|
|
|
$
|
2.10
|
|
Diluted
|
|
$
|
2.38
|
|
|
$
|
2.41
|
|
|
$
|
2.10
|
|
|
$
|
2.09
|
|
|
|
||||||||
($ in thousands)
|
|
December 31,
|
||||||
|
2015
|
|
2014
|
|||||
Investments in qualified affordable housing partnerships, net
|
|
$
|
193,978
|
|
|
$
|
178,962
|
|
Accrued expenses and other liabilities — Unfunded commitments
|
|
$
|
61,525
|
|
|
$
|
43,311
|
|
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Tax credits and other tax benefits recognized
|
|
$
|
38,271
|
|
|
$
|
32,613
|
|
|
$
|
29,084
|
|
Amortization expense included in income tax expense
|
|
$
|
26,814
|
|
|
$
|
21,428
|
|
|
$
|
20,824
|
|
|
|
|
|
||
Estimates For The Years Ending December 31,
|
|
Amount
|
||
|
|
($ in thousands)
|
||
2016
|
|
$
|
84,456
|
|
2017
|
|
34,483
|
|
|
2018
|
|
20,645
|
|
|
2019
|
|
13,891
|
|
|
2020
|
|
15,418
|
|
|
Thereafter
|
|
5,828
|
|
|
Total
|
|
$
|
174,721
|
|
|
|
|
|
||||||||||||||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||||||||||||||
|
2015
|
|
2014
|
|||||||||||||||||||||
|
Retail Banking
|
|
Commercial Banking
|
|
Total
|
|
Retail Banking
|
|
Commercial Banking
|
|
Total
|
|||||||||||||
Beginning balance
|
|
$
|
357,207
|
|
|
$
|
112,226
|
|
|
$
|
469,433
|
|
|
$
|
320,566
|
|
|
$
|
16,872
|
|
|
$
|
337,438
|
|
Addition from MetroCorp acquisition
(1)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
36,641
|
|
|
95,354
|
|
|
131,995
|
|
||||||
Ending balance
|
|
$
|
357,207
|
|
|
$
|
112,226
|
|
|
$
|
469,433
|
|
|
$
|
357,207
|
|
|
$
|
112,226
|
|
|
$
|
469,433
|
|
|
(1)
|
Includes
$11.0 million
of tax and BOLI adjustments recorded in the fourth quarter of 2014 due to the acquisition of MetroCorp, as discussed in
Note 2
—
Business Combination
to the Consolidated Financial Statements.
|
|
||||||||
($ in thousands)
|
|
2015
|
|
2014
|
||||
Gross balance
|
|
$
|
108,814
|
|
|
$
|
108,814
|
|
Accumulated amortization
|
|
72,739
|
|
|
63,505
|
|
||
Net carrying balance
|
|
$
|
36,075
|
|
|
$
|
45,309
|
|
|
|
||||
Year ended December 31,
|
|
Amount
|
||
|
|
($ in thousands)
|
||
2016
|
|
$
|
8,086
|
|
2017
|
|
6,935
|
|
|
2018
|
|
5,883
|
|
|
2019
|
|
4,864
|
|
|
2020
|
|
3,846
|
|
|
Thereafter
|
|
6,461
|
|
|
Total
|
|
$
|
36,075
|
|
|
|
||||||||
($ in thousands)
|
|
2015
|
|
2014
|
||||
Core deposits:
|
|
|
|
|
||||
Noninterest-bearing demand
|
|
$
|
8,656,805
|
|
|
$
|
7,381,030
|
|
Interest-bearing checking
|
|
3,336,293
|
|
|
2,545,618
|
|
||
Money market
|
|
6,932,962
|
|
|
6,318,120
|
|
||
Savings deposits
|
|
1,933,026
|
|
|
1,651,267
|
|
||
Total core deposits
|
|
20,859,086
|
|
|
17,896,035
|
|
||
Time deposits:
|
|
|
|
|
|
|
||
Less than $100,000
|
|
1,434,767
|
|
|
1,662,046
|
|
||
$100,000 or greater
|
|
5,182,128
|
|
|
4,450,693
|
|
||
Total time deposits
|
|
6,616,895
|
|
|
6,112,739
|
|
||
Total deposits
|
|
$
|
27,475,981
|
|
|
$
|
24,008,774
|
|
|
|
||||
($ in thousands)
|
|
Amount
|
||
2016
|
|
$
|
5,404,746
|
|
2017
|
|
572,989
|
|
|
2018
|
|
275,259
|
|
|
2019
|
|
173,894
|
|
|
2020
|
|
79,753
|
|
|
Thereafter
|
|
110,254
|
|
|
Total
|
|
$
|
6,616,895
|
|
|
|
|
|
|
|
||||
($ in thousands)
|
|
December 31,
|
||||||
|
2015
|
|
2014
|
|||||
Junior subordinated debt
|
|
$
|
146,084
|
|
|
$
|
145,848
|
|
Term loan
|
|
60,000
|
|
|
80,000
|
|
||
Total long-term debt
|
|
$
|
206,084
|
|
|
$
|
225,848
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||||
|
|
|
|
|
|
|
|
December 31, 2015
|
|
December 31, 2014
|
||||||||||||
Issuer
|
|
Stated
Maturity (1) |
|
Stated
Interest Rate |
|
Current Rate
|
|
Aggregate Principal Amount of Trust Securities
|
|
Aggregate Principal Amount of the Junior Subordinated Debts
|
|
Aggregate Principal Amount of Trust Securities
|
|
Aggregate Principal Amount of the Junior Subordinated Debts
|
||||||||
($ in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
East West Capital Trust V
|
|
November 2034
|
|
3-month Libor + 1.80%
|
|
2.18%
|
|
$
|
464
|
|
|
$
|
15,000
|
|
|
$
|
464
|
|
|
$
|
15,000
|
|
East West Capital Trust VI
|
|
September 2035
|
|
3-month Libor + 1.50%
|
|
2.01%
|
|
619
|
|
|
20,000
|
|
|
619
|
|
|
20,000
|
|
||||
East West Capital Trust VII
|
|
June 2036
|
|
3-month Libor + 1.35%
|
|
1.86%
|
|
928
|
|
|
30,000
|
|
|
928
|
|
|
30,000
|
|
||||
East West Capital Trust VIII
|
|
June 2037
|
|
3-month Libor + 1.40%
|
|
1.85%
|
|
619
|
|
|
18,000
|
|
|
619
|
|
|
18,000
|
|
||||
East West Capital Trust IX
|
|
September 2037
|
|
3-month Libor + 1.90%
|
|
2.41%
|
|
928
|
|
|
30,000
|
|
|
928
|
|
|
30,000
|
|
||||
Metro Bank Trust
|
|
December 2035
|
|
3-month Libor + 1.55%
|
|
2.06%
|
|
1,083
|
|
|
35,000
|
|
|
1,083
|
|
|
35,000
|
|
||||
Total
|
|
|
|
|
|
|
|
$
|
4,641
|
|
|
$
|
148,000
|
|
|
$
|
4,641
|
|
|
$
|
148,000
|
|
|
(1)
|
All the above debt instruments are subject to call options where early redemption requires appropriate notice.
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Current income tax (benefit) expense:
|
|
|
|
|
|
|
|
|
|
|||
Federal
|
|
$
|
(62,829
|
)
|
|
$
|
174,640
|
|
|
$
|
152,061
|
|
State
|
|
(4,750
|
)
|
|
70,527
|
|
|
44,389
|
|
|||
Foreign
|
|
409
|
|
|
3,846
|
|
|
208
|
|
|||
Total current income tax (benefit) expense
|
|
(67,170
|
)
|
|
249,013
|
|
|
196,658
|
|
|||
Deferred income tax expense (benefit):
|
|
|
|
|
|
|
|
|
|
|||
Federal
|
|
199,858
|
|
|
(111,122
|
)
|
|
(31,293
|
)
|
|||
State
|
|
60,437
|
|
|
(36,040
|
)
|
|
(13,155
|
)
|
|||
Foreign
|
|
919
|
|
|
(706
|
)
|
|
1,612
|
|
|||
Total deferred income tax expense (benefit)
|
|
261,214
|
|
|
(147,868
|
)
|
|
(42,836
|
)
|
|||
Income tax expense
(1)
|
|
$
|
194,044
|
|
|
$
|
101,145
|
|
|
$
|
153,822
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
|||||||||
|
|
Year Ended December 31,
|
|||||||
|
|
2015
|
|
2014
|
|
2013
|
|||
Federal income tax provision at statutory rate
|
|
35.0
|
%
|
|
35.0
|
%
|
|
35.0
|
%
|
State franchise taxes, net of federal tax effect
|
|
6.3
|
|
|
5.0
|
|
|
4.6
|
|
Tax credits
|
|
(8.7
|
)
|
|
(16.7
|
)
|
|
(4.8
|
)
|
Other, net
|
|
0.9
|
|
|
(0.7
|
)
|
|
(0.4
|
)
|
Effective income tax rate
(1)
|
|
33.5
|
%
|
|
22.6
|
%
|
|
34.4
|
%
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||||||||||||||||||||||
($ in thousands)
|
|
December 31,
|
||||||||||||||||||||||||||||||
|
2015
|
|
2014
|
|||||||||||||||||||||||||||||
|
Federal
|
|
State
|
|
Foreign
|
|
Total
|
|
Federal
|
|
State
|
|
Foreign
|
|
Total
|
|||||||||||||||||
Deferred tax liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Core deposit intangibles
|
|
$
|
(12,588
|
)
|
|
$
|
(3,616
|
)
|
|
$
|
—
|
|
|
$
|
(16,204
|
)
|
|
$
|
(15,748
|
)
|
|
$
|
(4,513
|
)
|
|
$
|
—
|
|
|
$
|
(20,261
|
)
|
Fixed assets
|
|
(15,167
|
)
|
|
(4,093
|
)
|
|
—
|
|
|
(19,260
|
)
|
|
(16,615
|
)
|
|
(4,101
|
)
|
|
—
|
|
|
(20,716
|
)
|
||||||||
FHLB stock
|
|
(2,229
|
)
|
|
(618
|
)
|
|
—
|
|
|
(2,847
|
)
|
|
(5,064
|
)
|
|
(1,475
|
)
|
|
—
|
|
|
(6,539
|
)
|
||||||||
Deferred loan fees
|
|
(1,198
|
)
|
|
(332
|
)
|
|
—
|
|
|
(1,530
|
)
|
|
(1,587
|
)
|
|
(454
|
)
|
|
—
|
|
|
(2,041
|
)
|
||||||||
Purchased loan discounts
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(51
|
)
|
|
(15
|
)
|
|
—
|
|
|
(66
|
)
|
||||||||
State taxes
|
|
(912
|
)
|
|
—
|
|
|
—
|
|
|
(912
|
)
|
|
(8,244
|
)
|
|
—
|
|
|
—
|
|
|
(8,244
|
)
|
||||||||
Gain from FDIC-assisted acquisition
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(2,063
|
)
|
|
(64
|
)
|
|
—
|
|
|
(2,127
|
)
|
||||||||
Acquired debt
|
|
(2,295
|
)
|
|
(637
|
)
|
|
—
|
|
|
(2,932
|
)
|
|
(2,237
|
)
|
|
1,369
|
|
|
—
|
|
|
(868
|
)
|
||||||||
Acquired loans and OREO
|
|
(7,222
|
)
|
|
(1,714
|
)
|
|
(406
|
)
|
|
(9,342
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||
Other, net
|
|
(1,740
|
)
|
|
(883
|
)
|
|
—
|
|
|
(2,623
|
)
|
|
(1,652
|
)
|
|
(473
|
)
|
|
—
|
|
|
(2,125
|
)
|
||||||||
Total gross deferred tax (liabilities)
|
|
(43,351
|
)
|
|
(11,893
|
)
|
|
(406
|
)
|
|
(55,650
|
)
|
|
(53,261
|
)
|
|
(9,726
|
)
|
|
—
|
|
|
(62,987
|
)
|
||||||||
Deferred tax assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Tax credit and other investments
(1)
|
|
(1,250
|
)
|
|
3,894
|
|
|
—
|
|
|
2,644
|
|
|
5,523
|
|
|
6,349
|
|
|
—
|
|
|
11,872
|
|
||||||||
Allowance for loan losses and OREO reserves
|
|
102,382
|
|
|
28,686
|
|
|
1,153
|
|
|
132,221
|
|
|
93,749
|
|
|
23,615
|
|
|
1,409
|
|
|
118,773
|
|
||||||||
NOL carryforwards
|
|
—
|
|
|
282
|
|
|
—
|
|
|
282
|
|
|
—
|
|
|
749
|
|
|
—
|
|
|
749
|
|
||||||||
Deferred compensation
|
|
21,484
|
|
|
6,028
|
|
|
—
|
|
|
27,512
|
|
|
16,505
|
|
|
4,785
|
|
|
—
|
|
|
21,290
|
|
||||||||
Mortgage servicing assets
|
|
875
|
|
|
243
|
|
|
—
|
|
|
1,118
|
|
|
2,570
|
|
|
735
|
|
|
—
|
|
|
3,305
|
|
||||||||
Purchased loan premium
|
|
172
|
|
|
48
|
|
|
—
|
|
|
220
|
|
|
292
|
|
|
84
|
|
|
—
|
|
|
376
|
|
||||||||
Unrealized loss on securities
|
|
4,685
|
|
|
1,279
|
|
|
—
|
|
|
5,964
|
|
|
42,737
|
|
|
12,638
|
|
|
—
|
|
|
55,375
|
|
||||||||
FDIC receivable & clawback
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
36,630
|
|
|
11,736
|
|
|
—
|
|
|
48,366
|
|
||||||||
Acquired loans and OREO
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
139,360
|
|
|
36,678
|
|
|
256
|
|
|
176,294
|
|
||||||||
Nonaccrual interest income
|
|
4,124
|
|
|
1,144
|
|
|
—
|
|
|
5,268
|
|
|
356
|
|
|
102
|
|
|
—
|
|
|
458
|
|
||||||||
Other, net
|
|
12,905
|
|
|
3,573
|
|
|
96
|
|
|
16,574
|
|
|
11,833
|
|
|
4,116
|
|
|
97
|
|
|
16,046
|
|
||||||||
Total gross deferred tax assets
(1)
|
|
145,377
|
|
|
45,177
|
|
|
1,249
|
|
|
191,803
|
|
|
349,555
|
|
|
101,587
|
|
|
1,762
|
|
|
452,904
|
|
||||||||
Valuation allowance
|
|
—
|
|
|
(282
|
)
|
|
—
|
|
|
(282
|
)
|
|
—
|
|
|
(316
|
)
|
|
—
|
|
|
(316
|
)
|
||||||||
Net deferred tax assets
(1)
|
|
$
|
102,026
|
|
|
$
|
33,002
|
|
|
$
|
843
|
|
|
$
|
135,871
|
|
|
$
|
296,294
|
|
|
$
|
91,545
|
|
|
$
|
1,762
|
|
|
$
|
389,601
|
|
|
(1)
|
Prior period was restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||
|
2015
|
|
2014
|
|||||
Beginning Balance
|
|
$
|
5,020
|
|
|
$
|
4,677
|
|
Additions for tax positions of prior years
|
|
2,105
|
|
|
343
|
|
||
Reductions for tax positions of prior years
|
|
—
|
|
|
—
|
|
||
Additions for tax positions of current year
|
|
—
|
|
|
—
|
|
||
Settlements
|
|
—
|
|
|
—
|
|
||
Ending Balance
|
|
$
|
7,125
|
|
|
$
|
5,020
|
|
|
|
||||||||
($ in thousands)
|
|
2015
|
|
2014
|
||||
Loan commitments
|
|
$
|
3,370,271
|
|
|
$
|
2,973,577
|
|
Commercial and standby letters of credit (“SBLCs”)
|
|
$
|
1,293,547
|
|
|
$
|
1,253,066
|
|
|
|
||||
Years Ending December 31,
|
|
Amount
|
||
|
|
($ in thousands)
|
||
2016
|
|
$
|
28,042
|
|
2017
|
|
24,902
|
|
|
2018
|
|
21,263
|
|
|
2019
|
|
18,112
|
|
|
2020
|
|
14,708
|
|
|
Thereafter
|
|
53,320
|
|
|
Total
|
|
$
|
160,347
|
|
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Compensation expense related to RSAs and RSUs
|
|
$
|
16,502
|
|
|
$
|
13,883
|
|
|
$
|
13,531
|
|
Net tax benefit recognized in equity for stock compensation plans
|
|
$
|
3,291
|
|
|
$
|
6,513
|
|
|
$
|
5,522
|
|
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Cash proceeds from options exercised
|
|
$
|
874
|
|
|
$
|
4,937
|
|
|
$
|
1,680
|
|
Net tax benefit recognized from options exercised
|
|
$
|
320
|
|
|
$
|
1,398
|
|
|
$
|
48
|
|
Total intrinsic value of options exercised
|
|
$
|
760
|
|
|
$
|
3,546
|
|
|
$
|
926
|
|
Total fair value of options vested
|
|
N/A
|
|
|
N/A
|
|
|
$
|
363
|
|
||
|
|
||||||||||||||
|
|
2015
|
||||||||||||
|
RSAs and RSUs
|
|||||||||||||
|
Time-Based
|
|
Performance-Based
|
|||||||||||
|
Shares
|
|
Weighted
Average Grant-Date Fair Value
|
|
Shares
|
|
Weighted
Average Grant-Date Fair Value
|
|||||||
Outstanding at beginning of year
|
|
751,020
|
|
|
$
|
30.61
|
|
|
400,508
|
|
|
$
|
27.51
|
|
Granted
|
|
477,417
|
|
|
40.36
|
|
|
133,295
|
|
|
41.15
|
|
||
Vested
|
|
(225,566
|
)
|
|
23.65
|
|
|
(144,445
|
)
|
|
22.05
|
|
||
Forfeited
|
|
(69,559
|
)
|
|
36.64
|
|
|
—
|
|
|
—
|
|
||
Outstanding at end of year
|
|
933,312
|
|
|
$
|
36.83
|
|
|
389,358
|
|
|
$
|
34.21
|
|
|
|
|
|
||
Year ended December 31,
|
|
Amount
|
||
|
|
($ in thousands)
|
||
2016
|
|
$
|
2,617
|
|
2017
|
|
310
|
|
|
2018
|
|
319
|
|
|
2019
|
|
329
|
|
|
2020
|
|
339
|
|
|
Thereafter
|
|
8,563
|
|
|
Total
|
|
$
|
12,477
|
|
|
|
|
|
||||||||||||
|
|
Year Ended December 31,
|
||||||||||
($ in thousands, except per share data, shares in thousands)
|
|
2015
|
|
2014
|
|
2013
|
||||||
Basic
|
|
|
|
|
|
|
||||||
Net income
(1)
|
|
$
|
384,677
|
|
|
$
|
345,878
|
|
|
$
|
293,324
|
|
Less:
Preferred stock dividends
|
|
—
|
|
|
—
|
|
|
3,428
|
|
|||
Earnings allocated to participating securities
|
|
3
|
|
|
506
|
|
|
1,682
|
|
|||
Net income allocated to common stockholders
(1)
|
|
$
|
384,674
|
|
|
$
|
345,372
|
|
|
$
|
288,214
|
|
|
|
|
|
|
|
|
||||||
Basic weighted-average common shares outstanding
|
|
143,818
|
|
|
142,952
|
|
|
137,342
|
|
|||
Basic EPS
(1)
|
|
$
|
2.67
|
|
|
$
|
2.42
|
|
|
$
|
2.10
|
|
|
|
|
|
|
|
|
||||||
Diluted
|
|
|
|
|
|
|
||||||
Net income allocated to common stockholders
(1)
|
|
$
|
384,674
|
|
|
$
|
345,372
|
|
|
$
|
288,214
|
|
Add: Convertible preferred stock dividends
|
|
—
|
|
|
—
|
|
|
3,428
|
|
|||
Net income allocated to diluted common stockholders
(1)
|
|
$
|
384,674
|
|
|
$
|
345,372
|
|
|
$
|
291,642
|
|
|
|
|
|
|
|
|
||||||
Basic weighted-average common shares outstanding
|
|
143,818
|
|
|
142,952
|
|
|
137,342
|
|
|||
Diluted potential common shares
(2)
|
|
694
|
|
|
611
|
|
|
2,232
|
|
|||
Diluted weighted-average common shares outstanding
|
|
144,512
|
|
|
143,563
|
|
|
139,574
|
|
|||
Diluted EPS
(1)
|
|
$
|
2.66
|
|
|
$
|
2.41
|
|
|
$
|
2.09
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
(2)
|
Includes dilutive shares from stock options, and RSUs for the
years ended December 31,
2015
,
2014
and
2013
. Also includes dilutive shares from warrants for the
years ended December 31,
2015
and
2014
, and dilutive shares from preferred stock for the
year ended December 31,
2013
.
|
|
||||||||||||||||||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||||||||||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||||||||||||||||||
|
Available-
for-Sale Investment
Securities
|
|
Foreign Currency Translation Adjustments
(1)
|
|
Total
|
|
Available-
for-Sale Investment
Securities
|
|
Total
|
|
Available-
for-Sale Investment
Securities
|
|
Total
|
|||||||||||||||
Beginning balance
|
|
$
|
4,237
|
|
|
$
|
—
|
|
|
$
|
4,237
|
|
|
$
|
(30,459
|
)
|
|
$
|
(30,459
|
)
|
|
$
|
4,669
|
|
|
$
|
4,669
|
|
Net unrealized gains (losses) arising during the period
|
|
13,012
|
|
|
(8,797
|
)
|
|
4,215
|
|
|
40,911
|
|
|
40,911
|
|
|
(27,833
|
)
|
|
(27,833
|
)
|
|||||||
Amounts reclassified from AOCI
|
|
(23,393
|
)
|
|
—
|
|
|
(23,393
|
)
|
|
(6,215
|
)
|
|
(6,215
|
)
|
|
(7,295
|
)
|
|
(7,295
|
)
|
|||||||
Changes, net of taxes
|
|
(10,381
|
)
|
|
(8,797
|
)
|
|
(19,178
|
)
|
|
34,696
|
|
|
34,696
|
|
|
(35,128
|
)
|
|
(35,128
|
)
|
|||||||
Ending balance
|
|
$
|
(6,144
|
)
|
|
$
|
(8,797
|
)
|
|
$
|
(14,941
|
)
|
|
$
|
4,237
|
|
|
$
|
4,237
|
|
|
$
|
(30,459
|
)
|
|
$
|
(30,459
|
)
|
|
(1)
|
Represents foreign currency translation adjustments related to the Company’s net investment in non-U.S. operations, including related hedges. In the third quarter of 2015, there was a change in functional currency from USD to the local currency of the Company’s foreign subsidiary.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||||||||||||||||||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||||||||||||||||||||||||||
|
Before-Tax
|
|
Tax
Effect |
|
Net-of-Tax
|
|
Before-Tax
|
|
Tax
Effect |
|
Net-of-Tax
|
|
Before-Tax
|
|
Tax
Effect |
|
Net-of-Tax
|
|||||||||||||||||||
Available-for-sale investment securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Net unrealized gains (losses) arising during the period
|
|
$
|
22,454
|
|
|
$
|
(9,442
|
)
|
|
$
|
13,012
|
|
|
$
|
70,537
|
|
|
$
|
(29,626
|
)
|
|
$
|
40,911
|
|
|
$
|
(47,988
|
)
|
|
$
|
20,155
|
|
|
$
|
(27,833
|
)
|
Net realized gains reclassified into net income
(1)
|
|
(40,367
|
)
|
|
16,974
|
|
|
(23,393
|
)
|
|
(10,715
|
)
|
|
4,500
|
|
|
(6,215
|
)
|
|
(12,577
|
)
|
|
5,282
|
|
|
(7,295
|
)
|
|||||||||
Net change
|
|
(17,913
|
)
|
|
7,532
|
|
|
(10,381
|
)
|
|
59,822
|
|
|
(25,126
|
)
|
|
34,696
|
|
|
(60,565
|
)
|
|
25,437
|
|
|
(35,128
|
)
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Foreign currency translation adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||||
Net unrealized losses arising during period
|
|
(8,797
|
)
|
|
—
|
|
|
(8,797
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
Net change
|
|
(8,797
|
)
|
|
—
|
|
|
(8,797
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||||||||
Other comprehensive (loss)income
|
|
$
|
(26,710
|
)
|
|
$
|
7,532
|
|
|
$
|
(19,178
|
)
|
|
$
|
59,822
|
|
|
$
|
(25,126
|
)
|
|
$
|
34,696
|
|
|
$
|
(60,565
|
)
|
|
$
|
25,437
|
|
|
$
|
(35,128
|
)
|
|
(1)
|
For the year ended
December 31, 2015
, the pretax amount was reported in net gains on sales of available-for-sale investment securities in the Consolidated Statements of Income. For the years ended
December 31, 2014
and
2013
, the pretax amount was reported in net gains on sales of available-for-sale investment securities and other fees and other operating income in the Consolidated Statements of Income.
|
|
||||||||||||||||||||||||||
|
|
December 31, 2015
|
|
December 31, 2014
|
||||||||||||||||||||||
($ in thousands)
|
|
Basel III
|
|
Basel I
|
||||||||||||||||||||||
|
Actual
|
|
Minimum Requirement
|
|
Well Capitalized Requirement
|
|
Actual
|
|
Minimum Requirement
|
|
Well Capitalized Requirement
|
|||||||||||||||
|
Amount
|
|
Ratio
|
|
Ratio
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Ratio
|
|
Ratio
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total capital (to risk-weighted assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Company
|
|
$
|
3,082,945
|
|
|
12.2
|
%
|
|
8.0
|
%
|
|
10.0
|
%
|
|
$
|
2,753,599
|
|
|
12.6
|
%
|
|
8.0
|
%
|
|
10.0
|
%
|
East West Bank
|
|
$
|
3,039,524
|
|
|
12.1
|
%
|
|
8.0
|
%
|
|
10.0
|
%
|
|
$
|
2,590,173
|
|
|
11.8
|
%
|
|
8.0
|
%
|
|
10.0
|
%
|
Tier I capital (to risk-weighted assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Company
|
|
$
|
2,686,627
|
|
|
10.7
|
%
|
|
6.0
|
%
|
|
8.0
|
%
|
|
$
|
2,405,452
|
|
|
11.0
|
%
|
|
4.0
|
%
|
|
6.0
|
%
|
East West Bank
|
|
$
|
2,754,201
|
|
|
11.0
|
%
|
|
6.0
|
%
|
|
8.0
|
%
|
|
$
|
2,316,615
|
|
|
10.6
|
%
|
|
4.0
|
%
|
|
6.0
|
%
|
CET1 capital
(1)
(to risk-weighted assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Company
|
|
$
|
2,650,413
|
|
|
10.5
|
%
|
|
4.5
|
%
|
|
6.5
|
%
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
East West Bank
|
|
$
|
2,754,201
|
|
|
11.0
|
%
|
|
4.5
|
%
|
|
6.5
|
%
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
Tier I leverage capital (to adjusted average assets)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Company
|
|
$
|
2,686,627
|
|
|
8.5
|
%
|
|
4.0
|
%
|
|
5.0
|
%
|
|
$
|
2,405,452
|
|
|
8.4
|
%
|
|
4.0
|
%
|
|
5.0
|
%
|
East West Bank
|
|
$
|
2,754,201
|
|
|
8.8
|
%
|
|
4.0
|
%
|
|
5.0
|
%
|
|
$
|
2,316,615
|
|
|
8.2
|
%
|
|
4.0
|
%
|
|
5.0
|
%
|
Risk weighted assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Company
|
|
$
|
25,232,575
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
$
|
21,931,486
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
East West Bank
|
|
$
|
25,129,885
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
$
|
21,875,078
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
Adjusted quarterly average total assets
(2)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Company
|
|
$
|
31,458,517
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
$
|
28,501,115
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
East West Bank
|
|
$
|
31,385,333
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
$
|
28,418,340
|
|
|
N/A
|
|
|
N/A
|
|
|
N/A
|
|
|
(1)
|
CET1 capital measurement was introduced under the Basel III Capital Rules implemented during 2015.
|
(2)
|
Reflects adjusted average total assets for the three months ended December 31, 2015 and 2014.
|
•
|
within 60 days of the Written Agreement, submit a written plan to strengthen the Board’s oversight of the Bank’s compliance with the applicable laws, rules and regulations relating to AML, including compliance with the BSA, the rules and regulations issued thereunder by the U.S. Department of Treasury, and the AML requirements of Regulation H of the Board of Governors (collectively, “BSA/AML Requirements”);
|
•
|
within 60 days of the Written Agreement, submit a written revised program for compliance with all applicable BSA/AML Requirements, which, at a minimum, will include, among other things, a system of internal controls to ensure compliance with all applicable BSA/AML Requirements and controls designed to ensure compliance with all applicable requirements relating to correspondent accounts for foreign financial institutions;
|
•
|
within 60 days of the Written Agreement, submit a written revised program for conducting appropriate levels of customer due diligence, including policies, procedures, and controls to ensure that the Bank collects, analyzes, and retains complete and accurate customer information for all account holders, including customers of the Bank’s foreign operations;
|
•
|
within 60 days of the Written Agreement, submit an enhanced written program to reasonably ensure the identification and timely, accurate and complete reporting by the Bank of all known or suspected violations of law or suspicious transactions to law enforcement and supervisory authorities as required by applicable suspicious activity reporting laws and regulations;
|
•
|
within 60 days of the Written Agreement, submit a written plan to the FRB for the full installation, testing, and activation of an effective automated transaction monitoring system to reasonably ensure the identification and timely, accurate, and complete reporting by the Bank of all known or suspected violations of law or suspicious transactions to law enforcement and supervisory authorities;
|
•
|
within 30 days following completion of the customer account remediation required by the Written Agreement, engage an independent consultant to conduct a review of, and prepare a report detailing findings relating to, account and transaction activity associated with any high risk customer accounts during a six-month period in 2014 to determine whether suspicious activity involving high risk customer accounts or transactions was properly identified and reported; and
|
•
|
within 60 days of the Written Agreement, submit a plan to enhance the Bank’s compliance with Office of Foreign Assets Control
(“
OFAC
”)
Regulations, including enhanced OFAC screening procedures and an improved methodology for assessing OFAC risks.
|
|
||||||||||||||||
($ in thousands)
|
|
Year Ended December 31, 2015
|
||||||||||||||
|
Retail
Banking
|
|
Commercial
Banking
|
|
Other
|
|
Total
|
|||||||||
Interest income
|
|
$
|
331,755
|
|
|
$
|
654,966
|
|
|
$
|
67,094
|
|
|
$
|
1,053,815
|
|
Charge for funds used
|
|
(86,769
|
)
|
|
(163,601
|
)
|
|
(66,773
|
)
|
|
(317,143
|
)
|
||||
Interest spread on funds used
|
|
244,986
|
|
|
491,365
|
|
|
321
|
|
|
736,672
|
|
||||
Interest expense
|
|
(53,088
|
)
|
|
(18,025
|
)
|
|
(32,263
|
)
|
|
(103,376
|
)
|
||||
Credit on funds provided
|
|
261,117
|
|
|
36,251
|
|
|
19,775
|
|
|
317,143
|
|
||||
Interest spread on funds provided
|
|
208,029
|
|
|
18,226
|
|
|
(12,488
|
)
|
|
213,767
|
|
||||
Net interest income (loss)
|
|
$
|
453,015
|
|
|
$
|
509,591
|
|
|
$
|
(12,167
|
)
|
|
$
|
950,439
|
|
(Reversal of) provision for credit losses
|
|
$
|
(5,835
|
)
|
|
$
|
20,052
|
|
|
$
|
—
|
|
|
$
|
14,217
|
|
Depreciation, amortization and accretion
(1)
|
|
$
|
10,051
|
|
|
$
|
(28,096
|
)
|
|
$
|
64,247
|
|
|
$
|
46,202
|
|
Segment pre-tax profit (loss)
|
|
$
|
212,036
|
|
|
$
|
382,233
|
|
|
$
|
(15,548
|
)
|
|
$
|
578,721
|
|
Segment assets
|
|
$
|
7,095,737
|
|
|
$
|
17,923,319
|
|
|
$
|
7,331,866
|
|
|
$
|
32,350,922
|
|
|
|
||||||||||||||||
($ in thousands)
|
|
Year Ended December 31, 2014
|
||||||||||||||
|
Retail
Banking |
|
Commercial
Banking |
|
Other
|
|
Total
|
|||||||||
Interest income
|
|
$
|
378,445
|
|
|
$
|
715,075
|
|
|
$
|
60,178
|
|
|
$
|
1,153,698
|
|
Charge for funds used
|
|
(94,162
|
)
|
|
(141,652
|
)
|
|
(47,570
|
)
|
|
(283,384
|
)
|
||||
Interest spread on funds used
|
|
284,283
|
|
|
573,423
|
|
|
12,608
|
|
|
870,314
|
|
||||
Interest expense
|
|
(48,020
|
)
|
|
(15,650
|
)
|
|
(49,150
|
)
|
|
(112,820
|
)
|
||||
Credit on funds provided
|
|
225,873
|
|
|
38,592
|
|
|
18,919
|
|
|
283,384
|
|
||||
Interest spread on funds provided
|
|
177,853
|
|
|
22,942
|
|
|
(30,231
|
)
|
|
170,564
|
|
||||
Net interest income (loss)
|
|
$
|
462,136
|
|
|
$
|
596,365
|
|
|
$
|
(17,623
|
)
|
|
$
|
1,040,878
|
|
Provision for credit losses
|
|
$
|
14,979
|
|
|
$
|
34,179
|
|
|
$
|
—
|
|
|
$
|
49,158
|
|
Depreciation, amortization and accretion
(1)(2)
|
|
$
|
14,376
|
|
|
$
|
(8,372
|
)
|
|
$
|
76,549
|
|
|
$
|
82,553
|
|
Segment pre-tax profit (loss)
(2)
|
|
$
|
181,286
|
|
|
$
|
293,425
|
|
|
$
|
(27,688
|
)
|
|
$
|
447,023
|
|
Segment assets
(2)
|
|
$
|
7,621,808
|
|
|
$
|
15,595,862
|
|
|
$
|
5,525,922
|
|
|
$
|
28,743,592
|
|
|
|
||||||||||||||||
($ in thousands)
|
|
Year Ended December 31, 2013
|
||||||||||||||
|
Retail
Banking |
|
Commercial
Banking |
|
Other
|
|
Total
|
|||||||||
Interest income
|
|
$
|
374,818
|
|
|
$
|
627,118
|
|
|
$
|
66,749
|
|
|
$
|
1,068,685
|
|
Charge for funds used
|
|
(86,552
|
)
|
|
(116,161
|
)
|
|
(18,244
|
)
|
|
(220,957
|
)
|
||||
Interest spread on funds used
|
|
288,266
|
|
|
510,957
|
|
|
48,505
|
|
|
847,728
|
|
||||
Interest expense
|
|
(47,287
|
)
|
|
(15,185
|
)
|
|
(50,020
|
)
|
|
(112,492
|
)
|
||||
Credit on funds provided
|
|
173,194
|
|
|
29,262
|
|
|
18,501
|
|
|
220,957
|
|
||||
Interest spread on funds provided
|
|
125,907
|
|
|
14,077
|
|
|
(31,519
|
)
|
|
108,465
|
|
||||
Net interest income
|
|
$
|
414,173
|
|
|
$
|
525,034
|
|
|
$
|
16,986
|
|
|
$
|
956,193
|
|
Provision for credit losses
|
|
$
|
10,911
|
|
|
$
|
11,453
|
|
|
$
|
—
|
|
|
$
|
22,364
|
|
Depreciation, amortization and accretion
(1)(2)
|
|
$
|
19,865
|
|
|
$
|
8,120
|
|
|
$
|
47,829
|
|
|
$
|
75,814
|
|
Segment pre-tax profit
(2)
|
|
$
|
132,961
|
|
|
$
|
283,885
|
|
|
$
|
30,300
|
|
|
$
|
447,146
|
|
Segment assets
(2)
|
|
$
|
7,820,191
|
|
|
$
|
11,545,405
|
|
|
$
|
5,366,620
|
|
|
$
|
24,732,216
|
|
|
(1)
|
Includes amortization and accretion related to the FDIC indemnification asset/net payable to the FDIC.
|
(2)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||
($ in thousands)
|
|
December 31,
|
||||||
|
2015
|
|
2014
|
|||||
ASSETS
|
|
|
|
|
|
|
||
Cash and cash equivalents
|
|
$
|
18,898
|
|
|
$
|
211,053
|
|
Available-for-sale investment securities, at fair value
|
|
8,731
|
|
|
8,370
|
|
||
Investment in subsidiaries
(1)
|
|
3,233,206
|
|
|
2,847,227
|
|
||
Tax credit investments, net
|
|
47,488
|
|
|
41,054
|
|
||
Other assets
|
|
46,894
|
|
|
22,474
|
|
||
TOTAL
(1)
|
|
$
|
3,355,217
|
|
|
$
|
3,130,178
|
|
LIABILITIES
|
|
|
|
|
|
|
||
Long-term debt
|
|
$
|
206,084
|
|
|
$
|
225,848
|
|
Other liabilities
|
|
26,183
|
|
|
48,219
|
|
||
Total liabilities
|
|
232,267
|
|
|
274,067
|
|
||
STOCKHOLDERS’ EQUITY
|
|
|
|
|
|
|
||
Common stock, $0.001 par value, 200,000,000 shares authorized; 164,246,517 and 163,772,218 shares issued in 2015 and 2014, respectively.
|
|
164
|
|
|
164
|
|
||
Additional paid in capital
|
|
1,701,295
|
|
|
1,677,767
|
|
||
Retained earnings
(1)
|
|
1,872,594
|
|
|
1,604,141
|
|
||
Treasury stock at cost—20,337,284 shares in 2015 and 20,189,989 shares in 2014.
|
|
(436,162
|
)
|
|
(430,198
|
)
|
||
Accumulated other comprehensive (loss) income, net of tax
|
|
(14,941
|
)
|
|
4,237
|
|
||
Total stockholders’ equity
(1)
|
|
3,122,950
|
|
|
2,856,111
|
|
||
TOTAL
(1)
|
|
$
|
3,355,217
|
|
|
$
|
3,130,178
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
Dividends from subsidiaries
|
|
$
|
88
|
|
|
$
|
111,701
|
|
|
$
|
319,085
|
|
Other income
|
|
625
|
|
|
7,414
|
|
|
821
|
|
|||
Total income
|
|
713
|
|
|
119,115
|
|
|
319,906
|
|
|||
Interest expense
|
|
4,636
|
|
|
4,823
|
|
|
3,436
|
|
|||
Compensation and net occupancy reimbursement to subsidiary
|
|
5,386
|
|
|
4,039
|
|
|
3,662
|
|
|||
Other expense
|
|
24,829
|
|
|
50,280
|
|
|
12,677
|
|
|||
Total expense
|
|
34,851
|
|
|
59,142
|
|
|
19,775
|
|
|||
(Loss) income before income tax benefit and equity in undistributed income (loss) of subsidiaries
|
|
(34,138
|
)
|
|
59,973
|
|
|
300,131
|
|
|||
Income tax benefit
|
|
30,849
|
|
|
80,674
|
|
|
22,885
|
|
|||
Equity in undistributed income (loss) of subsidiaries
(1)
|
|
387,966
|
|
|
205,231
|
|
|
(29,692
|
)
|
|||
Net income
(1)
|
|
$
|
384,677
|
|
|
$
|
345,878
|
|
|
$
|
293,324
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||
($ in thousands)
|
|
Year Ended December 31,
|
||||||||||
|
2015
|
|
2014
|
|
2013
|
|||||||
CASH FLOWS FROM OPERATING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|||
Net income
(1)
|
|
$
|
384,677
|
|
|
$
|
345,878
|
|
|
$
|
293,324
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
|
|
|
|||
Equity in undistributed income of subsidiaries
(1)
|
|
(387,965
|
)
|
|
(317,620
|
)
|
|
(289,309
|
)
|
|||
Depreciation and amortization
|
|
22,870
|
|
|
46,365
|
|
|
8,806
|
|
|||
Gains on sales of available-for-sale investment securities and other investments
|
|
(20
|
)
|
|
(4,357
|
)
|
|
(161
|
)
|
|||
Tax benefit from stock compensation plans, net
|
|
(3,291
|
)
|
|
(6,513
|
)
|
|
(5,522
|
)
|
|||
Net change in other assets and other liabilities
|
|
(37,334
|
)
|
|
186,382
|
|
|
293,112
|
|
|||
Net cash (used in) provided by operating activities
|
|
(21,063
|
)
|
|
250,135
|
|
|
300,250
|
|
|||
CASH FLOWS FROM INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|||
Net increase in tax credit investments
|
|
(35,633
|
)
|
|
(53,071
|
)
|
|
(12,970
|
)
|
|||
Purchases of:
|
|
|
|
|
|
|
|
|
|
|||
Available-for-sale investment securities
|
|
—
|
|
|
(9,000
|
)
|
|
(69,986
|
)
|
|||
Proceeds from sale of:
|
|
|
|
|
|
|
|
|
|
|||
Available-for-sale investment securities
|
|
20
|
|
|
74,002
|
|
|
—
|
|
|||
Net cash (used in) provided by investing activities
|
|
(35,613
|
)
|
|
11,931
|
|
|
(82,956
|
)
|
|||
CASH FLOWS FROM FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
|
|
|||
Proceeds from:
|
|
|
|
|
|
|
|
|
|
|||
Increase in long-term borrowings
|
|
—
|
|
|
—
|
|
|
100,000
|
|
|||
Issuance of common stock pursuant to various stock plans and agreements
|
|
2,835
|
|
|
6,794
|
|
|
3,054
|
|
|||
Payments for:
|
|
|
|
|
|
|
|
|
|
|||
Repayment of long-term debt
|
|
(20,000
|
)
|
|
(30,310
|
)
|
|
(10,310
|
)
|
|||
Repurchase of vested shares due to employee tax liability
|
|
(5,964
|
)
|
|
(10,326
|
)
|
|
(13,833
|
)
|
|||
Repurchase of shares of treasury stock pursuant to the Stock Repurchase Plan
|
|
—
|
|
|
—
|
|
|
(199,992
|
)
|
|||
Cash dividends on common stock
|
|
(115,641
|
)
|
|
(103,618
|
)
|
|
(82,862
|
)
|
|||
Cash dividends on preferred stock
|
|
—
|
|
|
—
|
|
|
(3,428
|
)
|
|||
Tax benefit from stock compensation plans, net
|
|
3,291
|
|
|
6,513
|
|
|
5,522
|
|
|||
Net cash used in financing activities
|
|
(135,479
|
)
|
|
(130,947
|
)
|
|
(201,849
|
)
|
|||
Net (decrease) increase in cash and cash equivalents
|
|
(192,155
|
)
|
|
131,119
|
|
|
15,445
|
|
|||
Cash and cash equivalents, beginning of year
|
|
211,053
|
|
|
79,934
|
|
|
64,489
|
|
|||
Cash and cash equivalents, end of year
|
|
$
|
18,898
|
|
|
$
|
211,053
|
|
|
$
|
79,934
|
|
Supplemental Cash Flow Information:
|
|
|
|
|
|
|
|
|
|
|||
Cash paid during the year for:
|
|
|
|
|
|
|
|
|
|
|||
Interest
|
|
$
|
4,254
|
|
|
$
|
4,462
|
|
|
$
|
3,292
|
|
Noncash financing activities:
|
|
|
|
|
|
|
|
|
|
|||
Conversion of preferred stock to common stock
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
83,027
|
|
Issuance of common stock related to acquisition
|
|
$
|
—
|
|
|
$
|
190,830
|
|
|
$
|
—
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
|
||||||||||||||||
|
|
Quarters Ended
|
||||||||||||||
($ in thousands, except per share data)
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
||||||||
2015
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest and dividend income
|
|
$
|
270,477
|
|
|
$
|
264,632
|
|
|
$
|
255,445
|
|
|
$
|
263,261
|
|
Interest expense
|
|
23,536
|
|
|
24,343
|
|
|
27,953
|
|
|
27,544
|
|
||||
Net interest income before (reversal of) provision for credit losses
|
|
246,941
|
|
|
240,289
|
|
|
227,492
|
|
|
235,717
|
|
||||
(Reversal of) provision for credit losses
|
|
(2,000
|
)
|
|
7,736
|
|
|
3,494
|
|
|
4,987
|
|
||||
Net interest income after (reversal of) provision for credit losses
|
|
248,941
|
|
|
232,553
|
|
|
223,998
|
|
|
230,730
|
|
||||
Noninterest income
|
|
44,483
|
|
|
54,181
|
|
|
40,593
|
|
|
44,126
|
|
||||
Noninterest expense
|
|
144,939
|
|
|
147,745
|
|
|
120,170
|
|
|
128,030
|
|
||||
Income before taxes
|
|
148,485
|
|
|
138,989
|
|
|
144,421
|
|
|
146,826
|
|
||||
Income tax expense
|
|
56,680
|
|
|
44,892
|
|
|
45,673
|
|
|
46,799
|
|
||||
Net income
|
|
$
|
91,805
|
|
|
$
|
94,097
|
|
|
$
|
98,748
|
|
|
$
|
100,027
|
|
|
|
|
|
|
|
|
|
|
||||||||
Earnings per share
|
|
|
|
|
|
|
|
|
||||||||
Basic
|
|
$
|
0.64
|
|
|
$
|
0.65
|
|
|
$
|
0.69
|
|
|
$
|
0.70
|
|
Diluted
|
|
$
|
0.63
|
|
|
$
|
0.65
|
|
|
$
|
0.68
|
|
|
$
|
0.69
|
|
Weighted average number of shares outstanding (in thousands)
|
|
|
|
|
|
|
|
|
||||||||
Basic
|
|
143,900
|
|
|
143,861
|
|
|
143,846
|
|
|
143,655
|
|
||||
Diluted
|
|
144,686
|
|
|
144,590
|
|
|
144,480
|
|
|
144,349
|
|
||||
Dividends declared per common share
|
|
$
|
0.20
|
|
|
$
|
0.20
|
|
|
$
|
0.20
|
|
|
$
|
0.20
|
|
|
|
||||||||||||||||
|
|
Quarters Ended
|
||||||||||||||
($ in thousands, except per share data)
|
|
December 31,
|
|
September 30,
|
|
June 30,
|
|
March 31,
|
||||||||
2014
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest and dividend income
|
|
$
|
287,135
|
|
|
$
|
285,948
|
|
|
$
|
294,442
|
|
|
$
|
286,173
|
|
Interest expense
|
|
27,647
|
|
|
28,974
|
|
|
27,992
|
|
|
28,207
|
|
||||
Net interest income before provision for credit losses
|
|
259,488
|
|
|
256,974
|
|
|
266,450
|
|
|
257,966
|
|
||||
Provision for credit losses
|
|
19,000
|
|
|
15,225
|
|
|
8,000
|
|
|
6,933
|
|
||||
Net interest income after provision for credit losses
|
|
240,488
|
|
|
241,749
|
|
|
258,450
|
|
|
251,033
|
|
||||
Noninterest income (loss)
|
|
7,805
|
|
|
10,342
|
|
|
(14,945
|
)
|
|
(14,916
|
)
|
||||
Noninterest expense
(1)
|
|
125,698
|
|
|
166,792
|
|
|
120,539
|
|
|
119,954
|
|
||||
Income before taxes
(1)
|
|
122,595
|
|
|
85,299
|
|
|
122,966
|
|
|
116,163
|
|
||||
Income tax expense (benefit)
(1)
|
|
27,093
|
|
|
(6,601
|
)
|
|
38,661
|
|
|
41,992
|
|
||||
Net income
(1)
|
|
$
|
95,502
|
|
|
$
|
91,900
|
|
|
$
|
84,305
|
|
|
$
|
74,171
|
|
|
|
|
|
|
|
|
|
|
||||||||
Earnings per share
|
|
|
|
|
|
|
|
|
||||||||
Basic
(1)
|
|
$
|
0.67
|
|
|
$
|
0.64
|
|
|
$
|
0.59
|
|
|
$
|
0.52
|
|
Diluted
(1)
|
|
$
|
0.66
|
|
|
$
|
0.64
|
|
|
$
|
0.59
|
|
|
$
|
0.52
|
|
Weighted average number of shares outstanding (in thousands)
|
|
|
|
|
|
|
|
|
||||||||
Basic
|
|
143,432
|
|
|
143,210
|
|
|
143,187
|
|
|
141,962
|
|
||||
Diluted
|
|
144,116
|
|
|
143,810
|
|
|
143,689
|
|
|
142,632
|
|
||||
Dividends declared per common share
|
|
$
|
0.18
|
|
|
$
|
0.18
|
|
|
$
|
0.18
|
|
|
$
|
0.18
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
ITEM 9.
|
CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
|
|
|
|
|
|
Name
|
|
Age
(1)
|
|
Position with Company or Bank and Prior Positions
|
Dominic Ng
|
|
57
|
|
Chairman and Chief Executive Officer of the Company and the Bank since 1992.
|
Julia S. Gouw
|
|
56
|
|
President and Chief Operating Officer of the Company and the Bank since 2009.
|
Wendy Cai-Lee
|
|
41
|
|
Executive Vice President and Head of U.S. Eastern and Texas Regions, Head of Consumer and Business Banking since 2015; 2014 - 2015: Executive Vice President and Head of U.S. Eastern and Texas Regions;
2011 - 2014: Senior Managing Director and Head of U.S. Eastern and Texas Regions;
2009 - 2011: Managing Director at Deloitte & Touche LLP.
|
Douglas P. Krause
|
|
59
|
|
Executive Vice President, Chief Risk Officer, General Counsel, and Secretary of the Company and the Bank since 1996.
|
Irene H. Oh
|
|
38
|
|
Executive Vice President and Chief Financial Officer of the Company and the Bank since 2010.
|
Albert Sun
|
|
61
|
|
Executive Vice President and Chief Credit Officer of the Bank since 2015; 2014: Managing Director of Capital Markets of the Bank; 2012 - 2014: Senior Vice President of Corporate Finance and Restructuring of GE Capital; 2008 - 2012: Managing Director of Blackrock Capital Investment Corporation.
|
Gary Teo
|
|
43
|
|
Senior Vice President and Head of Human Resources of the Company and the Bank since 2015; 2014 - 2015: Senior Vice President and Director of Human Resources U.S. and Greater China of the Company and the Bank; 2013 - 2014: Senior Vice President and Director of Recruiting/Greater China Human Resources of the Company and the Bank; 2010 - 2013: First Vice President and Recruiting Manager of the Company and the Bank.
|
Andy Yen
|
|
58
|
|
Executive Vice President and Head of International and Commercial Banking since 2013; 2005 - 2013: Executive Vice President and Director of the Business Banking Division of the Bank.
|
|
(1)
|
As of
February 26, 2016
.
|
ITEM 12.
|
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS
|
|
|
|||||||||
|
Number of securities
to be issued upon exercise
of outstanding options
|
|
Weighted average
exercise price of
outstanding options
|
|
Number of securities
remaining available for
future issuance under
equity compensation plans
|
|
||||
Plan Category
|
|
|
|
|
|
|
||||
Equity compensation plans approved by security holders
|
—
|
|
|
$
|
—
|
|
|
3,016,324
|
|
(1)
|
Equity compensation plans not approved by security holders
|
—
|
|
|
—
|
|
|
—
|
|
|
|
Total
|
—
|
|
|
$
|
—
|
|
|
3,016,324
|
|
|
|
|
(1)
|
Represents future shares available under the shareholder-approved 1998 Stock Incentive Plan, as amended effective May 24, 2011.
|
ITEM 13.
|
CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS AND DIRECTOR INDEPENDENCE
|
(1)
|
Financial Statements
|
|
Page
|
(2)
|
Financial Statement Schedules
|
(3)
|
Exhibits
|
Dated:
|
February 26, 2016
|
|
||
|
|
|
||
|
|
EAST WEST BANCORP INC.
(Registrant)
|
||
|
|
|
||
|
|
By
|
/s/ DOMINIC NG
|
|
|
|
|
Dominic Ng
|
|
|
|
|
Chairman and Chief Executive Officer
|
|
||||
Signature
|
|
Title
|
|
Date
|
|
|
|
|
|
/s/ DOMINIC NG
|
|
Chairman and Chief Executive Officer
(Principal Executive Officer)
|
|
February 26, 2016
|
Dominic Ng
|
|
|
|
|
|
|
|
|
|
/s/ JULIA GOUW
|
|
President and Chief Operating Officer
|
|
February 26, 2016
|
Julia Gouw
|
|
|
|
|
|
|
|
|
|
/s/ IRENE H. OH
|
|
Executive Vice President and
Chief Financial Officer
(Principal Financial and Accounting Officer)
|
|
February 26, 2016
|
Irene H. Oh
|
|
|
|
|
|
|
|
|
|
/s/ MOLLY CAMPBELL
|
|
Director
|
|
February 26, 2016
|
Molly Campbell
|
|
|
|
|
|
|
|
|
|
/s/ IRIS CHAN
|
|
Director
|
|
February 26, 2016
|
Iris Chan
|
|
|
|
|
|
|
|
|
|
/s/ RUDOLPH I. ESTRADA
|
|
Lead Director
|
|
February 26, 2016
|
Rudolph I. Estrada
|
|
|
|
|
|
|
|
|
|
/s/ PAUL H. IRVING
|
|
Director
|
|
February 26, 2016
|
Paul H. Irving
|
|
|
|
|
|
|
|
|
|
/s/ JOHN LEE
|
|
Vice-Chairman and Director
|
|
February 26, 2016
|
John Lee
|
|
|
|
|
|
|
|
|
|
/s/ HERMAN Y. LI
|
|
Director
|
|
February 26, 2016
|
Herman Y. Li
|
|
|
|
|
|
|
|
|
|
/s/ JACK C. LIU
|
|
Director
|
|
February 26, 2016
|
Jack C. Liu
|
|
|
|
|
|
|
|
|
|
/s/ KEITH W. RENKEN
|
|
Director
|
|
February 26, 2016
|
Keith W. Renken
|
|
|
|
|
|
|
|
|
|
/s/ LESTER M. SUSSMAN
|
|
Director
|
|
February 26, 2016
|
Lester M. Sussman
|
|
|
|
|
|
Exhibit No.
|
|
Exhibit Description
|
3.1
|
|
Certificate of Incorporation of the Registrant [Incorporated by reference to Exhibit 3(i) from Registrant’s Registration Statement on Form S-4/A filed with the Commission on November 13, 1998 (File No. 333-63605).]
|
|
|
|
3.1.1
|
|
Certificate of Amendment to Certificate of Incorporation of the Registrant [Incorporated by reference to Exhibit 3(i).1 from Registrant’s Annual Report on Form 10-K for the year ended December 31, 2002 filed with the Commission on March 28, 2003 (File No. 000-24939).]
|
|
|
|
3.1.2
|
|
Amendment to Certification of Incorporation to Increase Authorized Shares of the Registrant [Incorporated by reference from Registrant’s Definitive Proxy Statement on Schedule 14A filed with the Commission on April 15, 2005 (File No. 000-24939).]
|
|
|
|
3.1.3
|
|
Certificate of Amendment to Certificate of Incorporation of the Registrant [Incorporated by reference to Exhibit A from the Registrant’s Definitive Proxy Statement on Schedule 14A filed with the Commission on April 24, 2008 (File No. 000-24939).]
|
|
|
|
3.2
|
|
Amended and Restated Bylaws of the Registrant dated January 29, 2013 [Incorporated by reference to Exhibit 3.10 from Registrant’s Current Report on Form 8-K, filed with the Commission on January 30, 2013 (File No. 000-24939).]
|
|
|
|
3.3
|
|
Certificate of Designations of 8.00% Non-Cumulative Perpetual Convertible Preferred Stock, Series A, including Form of Series A Preferred Stock Certificate. [Incorporated by reference to Exhibit 3.1 from Registrant’s Current Report on Form 8-K, filed with the Commission on April 30, 2008 (File No. 000-24939).]
|
|
|
|
4.1
|
|
Specimen Common Stock Certificate of Registrant [Incorporated by reference to Exhibit 4.1 from Registrant’s Registration Statement on Form S-4/A filed with the Commission on November 13, 1998 (File No. 333-63605).]
|
|
|
|
4.2
|
|
Form of Certificate of the Registrant’s 8.00% Non-Cumulative Perpetual Convertible Preferred Stock, Series A [Incorporated by reference to Exhibit 4.1 from Registrant’s Current report on Form 8-K, filed with the Commission on April 30, 2008 (File No. 000-24939).]
|
|
|
|
10.1.1
|
|
Form of Employment Agreement- Mr. Ng* [Incorporated by reference to Exhibit 10.1 from Registrant’s Registration Statement on Form S-4/A filed with the Commission on November 13, 1998 (File No. 333-63605).]
|
|
|
|
10.1.2
|
|
Form of Amendment to Employment Agreement – Mr. Ng* Filed herewith.
|
|
|
|
10.2.1
|
|
Form of Employment Agreement- Mr. Krause* [Incorporated by reference to Exhibit 10.5 from Registrant’s Registration Statement on Form S-4/A filed with the Commission on November 13, 1998 (File No. 333-63605).]
|
|
|
|
10.2.2
|
|
Form of Amendment to Employment Agreement – Mr. Krause* Filed herewith.
|
|
|
|
10.3
|
|
Form of Employment Agreement – Mr. Yen* Filed herewith.
|
|
|
|
10.4
|
|
Form of July 2011 Executive Compensation Agreement – Julia Gouw* [Incorporated by reference to Exhibit 10.2 from Registrant’s Current Report on Form 8-K filed with the Commission on July 29, 2011 (File No. 000-24939).]
|
|
|
|
10.5.1
|
|
Form of Agreement Regarding Grants of Incentive Shares and Clawbacks – Mr. Ng* [Incorporated by reference to Exhibit 10.3 from Registrant’s Current Report on Form 8-K filed with the Commission on April 10, 2012 (File No. 000-24939).]
|
|
|
|
10.5.2
|
|
Form of Agreement Regarding Grants of Incentive Shares and Clawbacks – Ms. Gouw* [Incorporated by reference to Exhibit 10.3.1 from Registrant’s Current Report on Form 8-K filed with the Commission on April 10, 2012 (File No. 000-24939).]
|
|
|
|
10.5.3
|
|
Form of Agreement Regarding Grants of Incentive Shares and Clawbacks – Mr. Krause* [Incorporated by reference to Exhibit 10.3.2 from Registrant’s Current Report on Form 8-K filed with the Commission on April 10, 2012 (File No. 000-24939).]
|
|
|
|
10.5.4
|
|
Form of Agreement Regarding Grants of Incentive Shares and Clawbacks – Ms. Oh* [Incorporated by reference to Exhibit 10.3.3 from Registrant’s Current Report on Form 8-K filed with the Commission on April 10, 2012 (File No. 000-24939).]
|
|
|
|
10.6.1
|
|
East West Bancorp, Inc. 1998 Stock Incentive Plan and Forms of Agreements* [Incorporated by reference to Exhibit 10.6 from Registrant’s Registration Statement on Form S-4/A filed with the Commission on November 13, 1998 (File No. 333-63605).]
|
|
|
|
10.6.2
|
|
Amended East West Bancorp, Inc. 1998 Stock Incentive Plan* [Incorporated by reference to Exhibit A from Registrant’s Definitive Proxy Statement on Schedule 14A filed with the Commission on April 14, 2011 (File No. 000-24939).]
|
Exhibit No.
|
|
Exhibit Description
|
|
|
|
10.6.3
|
|
1998 NonQualified Stock Option Program for Employees and Independent Contractors* [Incorporated by reference to Exhibit 10.2 from Registrant’s Current Report on Form 8-K filed with the Commission on March 9, 2005 (File No. 000-24939).]
|
|
|
|
10.6.4
|
|
Amended Performance-Based Bonus Plan* [Incorporated by reference to Exhibit A from Registrant’s Definitive Proxy Statement on Schedule 14A filed with the Commission on April 20, 2012 (File No. 000-24939).]
|
|
|
|
10.6.5
|
|
1999 Spirit of Ownership Restricted Stock Program* [Incorporated by reference to Exhibit 10.4 from Registrant’s Current Report on Form 8-K filed with the Commission on March 9, 2005 (File No. 000-24939).]
|
|
|
|
10.6.6
|
|
2003 Directors’ Restricted Stock Program* [Incorporated by reference to Exhibit 10.5 from Registrant’s Current Report on Form 8-K filed with the Commission on March 9, 2005 (File No. 000-24939).]
|
|
|
|
10.7
|
|
East West Bancorp, Inc. 1998 Employee Stock Purchase Plan* [Incorporated by reference to Exhibit 10.7 from Registrant’s Registration Statement on Form S-4/A filed with the Commission on November 13, 1998 (File No. 333-63605).]
|
|
|
|
10.8
|
|
Amended Supplemental Executive Retirement Plans* [Incorporated by reference to Exhibit 10.11 from Registrant’s Annual Report on Form 10-K for the year ended December 31, 2004 filed with the Commission on March 11, 2005 (File No. 000-24939).]
|
|
|
|
10.9
|
|
Director Compensation.* Filed herewith.
|
|
|
|
10.10
|
|
Purchase and Assumption Agreement – Whole Bank – All Deposits, among the Federal Deposit Insurance Corporation, Receiver of United Commercial Bank, San Francisco, California, the Federal Deposit Insurance Corporation and East West Bank, dated as of November 6, 2009 [Incorporated by reference to Exhibit 2.1 from Registrant’s Current Report on Form 8-K, filed with the Commission on November 12, 2009 (File No. 000-24939).]
|
|
|
|
10.11
|
|
Purchase and Assumption Agreement – Whole Bank – All Deposits, among the Federal Deposit Insurance Corporation, Receiver of Washington First International Bank, Seattle, Washington, the Federal Deposit Insurance Corporation and East West Bank, dated as of June 11, 2010 [Incorporated by reference to Exhibit 2.1 from Registrant’s Current Report on Form 8-K/A, filed with the Commission on August 27, 2010 (File No. 000-24939).]
|
|
|
|
12.1
|
|
Computation of Ratio of Earnings to Fixed Charges. Filed herewith.
|
|
|
|
21.1
|
|
Subsidiaries of the Registrant. Filed herewith.
|
|
|
|
23.1
|
|
Consent of Independent Registered Public Accounting Firm KPMG LLP. Filed herewith.
|
|
|
|
31.1
|
|
Chief Executive Officer Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. Filed herewith.
|
|
|
|
31.2
|
|
Chief Financial Officer Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. Filed herewith.
|
|
|
|
32.1
|
|
Chief Executive Officer Certification Pursuant to 18 U.S.C. Section 1350, As Adopted Pursuant To Section 906 of the Sarbanes-Oxley Act of 2002. Filed herewith.
|
|
|
|
32.2
|
|
Chief Financial Officer Certification Pursuant to 18 U.S.C. Section 1350, As Adopted Pursuant To Section 906 of the Sarbanes-Oxley Act of 2002. Filed herewith.
|
|
|
|
99.1
|
|
Agreement and Plan of Merger by and between East West Bancorp, Inc. and MetroCorp Bancshares, Inc. dated September 18, 2013 [Incorporated by reference to Exhibit 99.2 from Registrant’s Current Report on Form 8-K, filed with the Commission on September 18, 2013 (File No. 000-24939).]
|
|
|
|
101.INS
|
|
XBRL Instance Document. Filed herewith.
|
|
|
|
101.SCH
|
|
XBRL Taxonomy Extension Schema Document. Filed herewith.
|
|
|
|
101.CAL
|
|
XBRL Taxonomy Extension Calculation Linkbase Document. Filed herewith.
|
|
|
|
101.LAB
|
|
XBRL Taxonomy Extension Label Linkbase Document. Filed herewith.
|
|
|
|
101.PRE
|
|
XBRL Taxonomy Extension Presentation Linkbase Document. Filed herewith.
|
|
|
|
101.DEF
|
|
XBRL Taxonomy Extension Definition Linkbase Document. Filed herewith.
|
1.
|
Section 3.1 (Term) of the Agreement is hereby modified in its entirety to read as follows: This Agreement and employment under this Agreement shall terminate on February 27, 2018 unless extended by Company.
|
2.
|
Except as expressly agreed to herein, the Employment Agreement between the parties shall remain in force and effect.
|
|
EAST WEST BANCORP, INC.
|
|
/s/ GARY TEO
|
|
Gary Teo
|
|
Head of Human Resources
|
|
|
|
/s/ DOMINIC NG
|
|
Employee: Dominic Ng
|
1.
|
Section 3.1 (Term) of the Agreement is hereby modified in its entirety to read as follows: This Agreement and employment under this Agreement shall terminate on February 27, 2018 unless extended by Company.
|
2.
|
Except as expressly agreed to herein, the Employment Agreement between the parties shall remain in force and effect.
|
|
EAST WEST BANCORP, INC.
|
|
/s/ GARY TEO
|
|
Gary Teo
|
|
Head of Human Resources
|
|
|
|
/s/ DOUGLAS P. KRAUSE
|
|
Employee: Douglas P. Krause
|
Date:
|
September 7, 2005
|
|
|
|
|
|
|
EAST WEST BANK
|
|
|
/s/ DOUGLAS P. KRAUSE
|
|
|
Douglas P. Krause
|
|
|
EVP - Chief Risk Officer & GC Legal
|
|
|
|
|
|
/s/ ANDY YEN
|
|
|
EXECUTIVE
|
|
|
Year Ending December 31,
|
||||||||||||||||||
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
|
2011
|
||||||||||
($ in thousands)
|
|
|
||||||||||||||||||
Including Interest on Deposits
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Income before income taxes
(1)
|
|
$
|
578,721
|
|
|
$
|
447,023
|
|
|
$
|
447,146
|
|
|
$
|
441,288
|
|
|
$
|
394,567
|
|
Fixed charges
|
|
111,590
|
|
|
121,562
|
|
|
126,170
|
|
|
151,123
|
|
|
195,746
|
|
|||||
|
|
690,311
|
|
|
568,585
|
|
|
573,316
|
|
|
592,411
|
|
|
590,313
|
|
|||||
Fixed charges:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest Expense
|
|
103,376
|
|
|
112,820
|
|
|
112,492
|
|
|
132,168
|
|
|
177,422
|
|
|||||
Estimate of interest within rental expense
|
|
8,214
|
|
|
8,742
|
|
|
8,731
|
|
|
8,594
|
|
|
7,605
|
|
|||||
Total fixed charges
|
|
111,590
|
|
|
121,562
|
|
|
121,223
|
|
|
140,762
|
|
|
185,027
|
|
|||||
Preferred Dividends
|
|
—
|
|
|
—
|
|
|
4,947
|
|
|
10,361
|
|
|
10,719
|
|
|||||
Total fixed charges and preferred dividends
|
|
111,590
|
|
|
121,562
|
|
|
126,170
|
|
|
151,123
|
|
|
195,746
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Ratio of Earnings to Fixed Charges
|
|
6.19
|
|
|
4.68
|
|
|
4.73
|
|
|
4.21
|
|
|
3.19
|
|
|||||
Ratio of Earnings to Fixed Charges and Preferred Dividends
|
|
6.19
|
|
|
4.68
|
|
|
4.54
|
|
|
3.92
|
|
|
3.02
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Excluding interest on deposits
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Income before income taxes
(1)
|
|
$
|
578,721
|
|
|
$
|
447,023
|
|
|
$
|
447,146
|
|
|
$
|
441,288
|
|
|
$
|
394,567
|
|
Fixed charges
|
|
38,085
|
|
|
56,076
|
|
|
62,674
|
|
|
75,228
|
|
|
88,636
|
|
|||||
|
|
616,806
|
|
|
503,099
|
|
|
509,820
|
|
|
516,516
|
|
|
483,203
|
|
|||||
Fixed charges:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest Expense
|
|
103,376
|
|
|
112,820
|
|
|
112,492
|
|
|
132,168
|
|
|
177,422
|
|
|||||
Less: Interest on deposits
|
|
73,505
|
|
|
65,486
|
|
|
63,496
|
|
|
75,895
|
|
|
107,110
|
|
|||||
Estimate of interest within rental expense
|
|
8,214
|
|
|
8,742
|
|
|
8,731
|
|
|
8,594
|
|
|
7,605
|
|
|||||
Total fixed charges
|
|
38,085
|
|
|
56,076
|
|
|
57,727
|
|
|
64,867
|
|
|
77,917
|
|
|||||
Preferred Dividends
|
|
—
|
|
|
—
|
|
|
4,947
|
|
|
10,361
|
|
|
10,719
|
|
|||||
Total fixed charges and preferred dividends
|
|
38,085
|
|
|
56,076
|
|
|
62,674
|
|
|
75,228
|
|
|
88,636
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Ratio of Earnings to Fixed Charges
|
|
16.20
|
|
|
8.97
|
|
|
8.83
|
|
|
7.96
|
|
|
6.20
|
|
|||||
Ratio of Earnings to Fixed Charges and Preferred Dividends
|
|
16.20
|
|
|
8.97
|
|
|
8.13
|
|
|
6.87
|
|
|
5.45
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Prior periods were restated to reflect the retrospective application of adopting the new accounting guidance related to the Company’s investments in qualified affordable housing projects ASU 2014-01. Please see
Note 9
—
Investments in Qualified Affordable Housing Partnerships, Tax Credit and Other Investments, Net
to the Consolidated Financial Statements for additional information.
|
Subsidiary
|
Jurisdiction of Incorporation or Organization
|
East West Bank
|
California
|
E-W Services, Inc.
|
California
|
East West Bank (China) Limited
|
China
|
East West Investment Inc.
|
California
|
East West Capital Trust V
|
California
|
East West Capital Trust VI
|
California
|
East West Capital Trust VII
|
California
|
East West Capital Trust VIII
|
California
|
East West Capital Trust IX
|
California
|
East West Insurance Services, Inc.
|
California
|
MCBI Statutory Trust I
|
Delaware
|
1.
|
I have reviewed this annual report on Form 10-K of East West Bancorp, Inc. (the “registrant”);
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a.
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this annual report is being prepared;
|
b.
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c.
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures, and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d.
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s Board of Directors (or persons performing the equivalent functions):
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
b.
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
|
/s/ DOMINIC NG
|
|
Dominic Ng
|
|
Chairman and Chief Executive Officer
|
1.
|
I have reviewed this annual report on Form 10-K of East West Bancorp, Inc. (the “registrant”);
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
a.
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this annual report is being prepared;
|
b.
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
c.
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures, and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
d.
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
|
5.
|
The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s Board of Directors (or persons performing the equivalent functions):
|
a.
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and
|
b.
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
|
|
/s/ IRENE H. OH
|
|
Irene H. Oh
|
|
Executive Vice President and
|
|
Chief Financial Officer
|
(a)
|
the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(b)
|
the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
|
/s/ DOMINIC NG
|
|
Dominic Ng
|
|
Chairman and Chief Executive Officer
|
(a)
|
the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(b)
|
the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
|
/s/ IRENE H. OH
|
|
Irene H. Oh
|
|
Executive Vice President and Chief Financial Officer
|