Delaware
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33-0885320
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(State of Incorporation)
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(I.R.S. Employer
Identification No.)
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þ
Large accelerated filer
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o
Accelerated filer
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o
Non-accelerated filer
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(Do not check if a smaller reporting company)
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o
Smaller reporting company
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Page
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PART I. FINANCIAL INFORMATION
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Item 1.
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Condensed Consolidated Financial Statements (Unaudited)
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Condensed Consolidated Balance Sheets (Unaudited)
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Condensed Consolidated Statements of Earnings (Unaudited)
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Condensed Consolidated Statements of Comprehensive Income (Unaudited)
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Condensed Consolidated Statement Changes in Stockholders' Equity (Unaudited)
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Condensed Consolidated Statements of Cash Flows (Unaudited)
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Notes to Condensed Consolidated Financial Statements (Unaudited)
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Item 2.
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Management's Discussion and Analysis of Financial Condition and Results of Operations
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Item 3.
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Quantitative and Qualitative Disclosures About Market Risk
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Item 4.
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Controls and Procedures
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PART II. OTHER INFORMATION
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Item 1.
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Legal Proceedings
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Item 1A.
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Risk Factors
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Item 2.
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Unregistered Sales of Equity Securities and Use of Proceeds
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Item 6.
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Index to Exhibits
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Signatures
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September 30, 2014
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December 31, 2013
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||||
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(Unaudited)
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||||||
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(Dollars in thousands, except par value and share data)
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||||||
ASSETS
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||||
Cash and due from banks
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$
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145,463
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$
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96,424
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Interest-earning deposits in financial institutions
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115,399
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50,998
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Total cash and cash equivalents
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260,862
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147,422
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Securities available-for-sale, at fair value
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1,539,681
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1,494,745
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Federal Home Loan Bank stock, at cost
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45,602
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27,939
|
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Total investment securities
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1,585,283
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1,522,684
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||
Gross loans and leases
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11,591,395
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4,313,335
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Deferred fees and costs
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(16,510
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)
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(983
|
)
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||
Allowance for loan and lease losses
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(81,899
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)
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(82,034
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)
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||
Total loans and leases, net
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11,492,986
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4,230,318
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Equipment leased to others under operating leases
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125,119
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—
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Premises and equipment, net
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38,368
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32,435
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Foreclosed assets, net
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40,524
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55,891
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Goodwill
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1,722,129
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208,743
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Core deposit and customer relationship intangibles, net
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18,823
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17,248
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FDIC loss sharing asset
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22,977
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45,524
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Deferred tax asset, net
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331,176
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79,636
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Other assets
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300,098
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193,462
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Total assets
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$
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15,938,345
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$
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6,533,363
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LIABILITIES:
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||||
Non interest-bearing deposits
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$
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2,842,488
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$
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2,318,446
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Interest-bearing deposits
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8,680,949
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2,962,541
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Total deposits
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11,523,437
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5,280,987
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Borrowings
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363,672
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113,726
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Subordinated debentures
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433,545
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132,645
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Accrued interest payable and other liabilities
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139,445
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196,912
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Total liabilities
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12,460,099
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5,724,270
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Commitments and contingencies
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0
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0
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STOCKHOLDERS' EQUITY:
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||||
Preferred stock ($0.01 par value; 5,000,000 shares authorized; none issued and outstanding)
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—
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—
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Common stock
($0.01 par value, 200,000,000 and 75,000,000 shares authorized at September 30, 2014 and December 31, 2013, respectively; 104,225,010 and 46,526,124 shares issued, respectively, includes 1,115,550 and 1,216,524 shares of unvested restricted stock, respectively)
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1,042
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465
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Additional paid-in capital
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3,855,546
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1,286,737
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Accumulated deficit
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(356,516
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)
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(454,422
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)
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||
Treasury stock, at cost
(1,197,180 and 703,290 shares at September 30, 2014 and December 31, 2013, respectively)
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(42,647
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)
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(20,340
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)
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Accumulated other comprehensive income, net
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20,821
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(3,347
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)
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Total stockholders' equity
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3,478,246
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809,093
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Total liabilities and stockholders' equity
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$
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15,938,345
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$
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6,533,363
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Three Months Ended
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Nine Months Ended
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||||||||||||||||
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September 30,
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June 30,
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September 30,
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September 30,
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||||||||||||
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2014
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2014
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2013
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2014
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2013
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(Unaudited)
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||||||||||||||||||
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(Dollars in thousands, except per share data)
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||||||||||||||||||
Interest income:
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||||||||||
Loans and leases
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$
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189,961
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$
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192,201
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$
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75,196
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$
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459,625
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$
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199,374
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Investment securities
|
12,331
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11,986
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9,871
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35,140
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26,501
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|||||
Deposits in financial institutions
|
64
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|
176
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|
|
91
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|
314
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|
183
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|||||
Total interest income
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202,356
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204,363
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85,158
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495,079
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226,058
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|||||
Interest expense:
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|
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||||||||||
Deposits
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8,822
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|
7,313
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|
1,692
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17,360
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|
|
6,418
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|||||
Borrowings
|
74
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|
199
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|
108
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|
352
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|
451
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|||||
Subordinated debentures
|
4,614
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|
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4,318
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1,069
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|
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9,973
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|
|
2,734
|
|
|||||
Total interest expense
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13,510
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11,830
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2,869
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27,685
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9,603
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|
|||||
Net interest income
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188,846
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192,533
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|
82,289
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|
|
467,394
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|
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216,455
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|||||
Provision (negative provision) for credit losses
|
5,050
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|
|
5,030
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(4,167
|
)
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|
9,436
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|
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(2,872
|
)
|
|||||
Net interest income after provision (negative provision) for credit losses
|
183,796
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|
|
187,503
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|
|
86,456
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|
|
457,958
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|
|
219,327
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|
|||||
Noninterest income:
|
|
|
|
|
|
|
|
|
|
||||||||||
Service charges on deposit accounts
|
2,725
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2,719
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|
|
2,938
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|
|
8,446
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|
|
8,568
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|
|||||
Other commissions and fees
|
6,371
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|
|
5,743
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|
|
2,204
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|
|
14,046
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|
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6,291
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|
|||||
Leased equipment income
|
5,615
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|
|
5,672
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|
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—
|
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|
11,287
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|
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—
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|
|||||
Gain (loss) on sale of loans and leases
|
973
|
|
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(485
|
)
|
|
604
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|
|
594
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|
|
1,108
|
|
|||||
Gain on securities
|
—
|
|
|
89
|
|
|
5,222
|
|
|
4,841
|
|
|
5,631
|
|
|||||
FDIC loss sharing expense, net
|
(7,415
|
)
|
|
(8,525
|
)
|
|
(7,032
|
)
|
|
(27,370
|
)
|
|
(15,579
|
)
|
|||||
Other income
|
8,045
|
|
|
3,266
|
|
|
1,191
|
|
|
17,640
|
|
|
2,151
|
|
|||||
Total noninterest income
|
16,314
|
|
|
8,479
|
|
|
5,127
|
|
|
29,484
|
|
|
8,170
|
|
|||||
Noninterest expense:
|
|
|
|
|
|
|
|
|
|
||||||||||
Compensation and benefits
|
45,861
|
|
|
45,081
|
|
|
27,963
|
|
|
119,569
|
|
|
79,370
|
|
|||||
Occupancy
|
11,188
|
|
|
11,078
|
|
|
7,828
|
|
|
29,861
|
|
|
21,906
|
|
|||||
Data processing
|
3,929
|
|
|
4,099
|
|
|
2,590
|
|
|
10,568
|
|
|
7,278
|
|
|||||
Other professional services
|
3,687
|
|
|
2,843
|
|
|
1,906
|
|
|
8,053
|
|
|
4,984
|
|
|||||
Insurance and assessments
|
3,020
|
|
|
3,179
|
|
|
1,496
|
|
|
7,792
|
|
|
4,024
|
|
|||||
Intangible asset amortization
|
1,608
|
|
|
1,677
|
|
|
1,512
|
|
|
4,649
|
|
|
3,972
|
|
|||||
Other expense
|
13,355
|
|
|
12,115
|
|
|
7,875
|
|
|
32,758
|
|
|
19,860
|
|
|||||
Total operating expense
|
82,648
|
|
|
80,072
|
|
|
51,170
|
|
|
213,250
|
|
|
141,394
|
|
|||||
Leased equipment depreciation
|
2,961
|
|
|
3,095
|
|
|
—
|
|
|
6,056
|
|
|
—
|
|
|||||
Foreclosed assets expense (income), net
|
4,827
|
|
|
497
|
|
|
(420
|
)
|
|
3,463
|
|
|
(934
|
)
|
|||||
Acquisition, integration and reorganization costs
|
5,193
|
|
|
86,242
|
|
|
5,450
|
|
|
93,635
|
|
|
24,139
|
|
|||||
Total noninterest expense
|
95,629
|
|
|
169,906
|
|
|
56,200
|
|
|
316,404
|
|
|
164,599
|
|
|||||
Earnings from continuing operations before taxes
|
104,481
|
|
|
26,076
|
|
|
35,383
|
|
|
171,038
|
|
|
62,898
|
|
|||||
Income tax expense
|
(42,205
|
)
|
|
(14,846
|
)
|
|
(11,243
|
)
|
|
(71,627
|
)
|
|
(20,868
|
)
|
|||||
Net earnings from continuing operations
|
62,276
|
|
|
11,230
|
|
|
24,140
|
|
|
99,411
|
|
|
42,030
|
|
|||||
(Loss) earnings from discontinued operations before taxes
|
(8
|
)
|
|
(1,151
|
)
|
|
39
|
|
|
(2,572
|
)
|
|
(42
|
)
|
|||||
Income tax benefit
|
3
|
|
|
476
|
|
|
(16
|
)
|
|
1,067
|
|
|
18
|
|
|||||
Net (loss) earnings from discontinued operations
|
(5
|
)
|
|
(675
|
)
|
|
23
|
|
|
(1,505
|
)
|
|
(24
|
)
|
|||||
Net earnings
|
$
|
62,271
|
|
|
$
|
10,555
|
|
|
$
|
24,163
|
|
|
$
|
97,906
|
|
|
$
|
42,006
|
|
Basic earnings per share:
|
|
|
|
|
|
|
|
|
|
||||||||||
Net earnings from continuing operations
|
$
|
0.60
|
|
|
$
|
0.11
|
|
|
$
|
0.53
|
|
|
$
|
1.20
|
|
|
$
|
1.03
|
|
Net earnings
|
$
|
0.60
|
|
|
$
|
0.10
|
|
|
$
|
0.53
|
|
|
$
|
1.18
|
|
|
$
|
1.03
|
|
Diluted earnings per share:
|
|
|
|
|
|
|
|
|
|
||||||||||
Net earnings from continuing operations
|
$
|
0.60
|
|
|
$
|
0.11
|
|
|
$
|
0.53
|
|
|
$
|
1.20
|
|
|
$
|
1.03
|
|
Net earnings
|
$
|
0.60
|
|
|
$
|
0.10
|
|
|
$
|
0.53
|
|
|
$
|
1.18
|
|
|
$
|
1.03
|
|
Dividends declared per share
|
$
|
0.25
|
|
|
$
|
0.25
|
|
|
$
|
0.25
|
|
|
$
|
0.75
|
|
|
$
|
0.75
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(Unaudited)
|
||||||||||||||||||
|
(In thousands)
|
||||||||||||||||||
Net earnings
|
$
|
62,271
|
|
|
$
|
10,555
|
|
|
$
|
24,163
|
|
|
$
|
97,906
|
|
|
$
|
42,006
|
|
Other comprehensive income (loss), net of tax:
|
|
|
|
|
|
|
|
|
|
||||||||||
Unrealized holding gains (losses) on securities available-for-sale
(1)
|
93
|
|
|
23,011
|
|
|
4,070
|
|
|
45,395
|
|
|
(50,529
|
)
|
|||||
Income tax benefit (expense) related to unrealized holding (losses) gains arising during the period
(2)
|
607
|
|
|
(9,663
|
)
|
|
483
|
|
|
(18,342
|
)
|
|
23,415
|
|
|||||
Unrealized holding gains (losses) on securities available-for-sale, net of tax
|
700
|
|
|
13,348
|
|
|
4,553
|
|
|
27,053
|
|
|
(27,114
|
)
|
|||||
Reclassification adjustment for gain included in net earnings
(3)
|
—
|
|
|
(89
|
)
|
|
(5,222
|
)
|
|
(4,841
|
)
|
|
(5,631
|
)
|
|||||
Income tax expense related to reclassification adjustment
(2)
|
—
|
|
|
37
|
|
|
—
|
|
|
1,956
|
|
|
172
|
|
|||||
Reclassification adjustment for gains included in earnings, net of tax
|
—
|
|
|
(52
|
)
|
|
(5,222
|
)
|
|
(2,885
|
)
|
|
(5,459
|
)
|
|||||
Other comprehensive income (loss), net of tax
|
700
|
|
|
13,296
|
|
|
(669
|
)
|
|
24,168
|
|
|
(32,573
|
)
|
|||||
Comprehensive income
|
$
|
62,971
|
|
|
$
|
23,851
|
|
|
$
|
23,494
|
|
|
$
|
122,074
|
|
|
$
|
9,433
|
|
(1)
|
Recognized in "Other income" on the Condensed Consolidated Statements of Earnings.
|
(2)
|
Recognized in "Income Tax Expense" on the Condensed Consolidated Statements of Earnings.
|
(3)
|
Recognized in "Gain on securities" on the Condensed Consolidated Statements of Earnings.
|
|
Nine Months Ended September 30, 2014
|
|||||||||||||||||||||||||
|
Common Stock
|
|
|
|
|
|
|
|
|
|||||||||||||||||
|
Shares
|
|
Par Value
|
|
Additional Paid-in Capital
|
|
Accumulated Deficit
|
|
Treasury Stock
|
|
Accumulated Other Comprehensive Income (Loss)
|
|
Total
|
|||||||||||||
|
(Unaudited)
|
|||||||||||||||||||||||||
|
(Dollars in thousands, except share data)
|
|||||||||||||||||||||||||
Balance, December 31, 2013
|
45,822,834
|
|
|
$
|
465
|
|
|
$
|
1,286,737
|
|
|
$
|
(454,422
|
)
|
|
$
|
(20,340
|
)
|
|
$
|
(3,347
|
)
|
|
$
|
809,093
|
|
Net earnings
|
—
|
|
|
—
|
|
|
—
|
|
|
97,906
|
|
|
—
|
|
|
—
|
|
|
97,906
|
|
||||||
Other comprehensive income - net unrealized gain on securities available-for-sale, net of tax
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
24,168
|
|
|
24,168
|
|
||||||
Issuance of common stock for merger with CapitalSource Inc.
|
56,601,997
|
|
|
566
|
|
|
2,593,504
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,594,070
|
|
||||||
Restricted stock awarded and earned stock compensation, net of shares forfeited
|
1,095,538
|
|
|
11
|
|
|
33,630
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
33,641
|
|
||||||
Restricted stock surrendered
|
(493,890
|
)
|
|
—
|
|
|
|
|
|
—
|
|
|
(22,307
|
)
|
|
—
|
|
|
(22,307
|
)
|
||||||
Dividend reinvestment
|
1,351
|
|
|
—
|
|
|
57
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
57
|
|
||||||
Tax effect from vesting of restricted stock
|
—
|
|
|
—
|
|
|
4,402
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
4,402
|
|
||||||
Cash dividends paid
|
—
|
|
|
—
|
|
|
(62,784
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(62,784
|
)
|
||||||
Balance, September 30, 2014
|
103,027,830
|
|
|
$
|
1,042
|
|
|
$
|
3,855,546
|
|
|
$
|
(356,516
|
)
|
|
$
|
(42,647
|
)
|
|
$
|
20,821
|
|
|
$
|
3,478,246
|
|
|
Nine Months Ended September 30,
|
||||||
|
2014
|
|
2013
|
||||
|
(Unaudited)
|
||||||
|
(Dollars in thousands)
|
||||||
Cash flows from operating activities:
|
|
|
|
||||
Net earnings
|
$
|
97,906
|
|
|
$
|
42,006
|
|
Adjustments to reconcile net earnings to net cash provided by operating activities:
|
|
|
|
||||
Depreciation and amortization
|
28,434
|
|
|
23,768
|
|
||
Provision (negative provision) for credit losses
|
9,436
|
|
|
(2,872
|
)
|
||
Gain on sale of foreclosed assets
|
(2,746
|
)
|
|
(4,006
|
)
|
||
Provision for losses on foreclosed assets
|
5,065
|
|
|
2,094
|
|
||
Gain on sale of loans and leases
|
(594
|
)
|
|
(1,108
|
)
|
||
Gain on sale of premises and equipment
|
(1,523
|
)
|
|
(15
|
)
|
||
Gain on sale of securities
|
(4,841
|
)
|
|
(5,631
|
)
|
||
Foreign currency gain
|
(1,331
|
)
|
|
—
|
|
||
Derivatives loss
|
(1,062
|
)
|
|
—
|
|
||
Earned stock compensation
|
33,641
|
|
|
6,545
|
|
||
Write off of goodwill relating to the asset financing segment reorganization
|
6,645
|
|
|
—
|
|
||
Tax effect included in stockholders' equity of restricted stock vesting
|
(4,402
|
)
|
|
(985
|
)
|
||
Decrease (increase) in deferred income taxes, net
|
47,938
|
|
|
4,267
|
|
||
Decrease in FDIC loss sharing asset
|
22,547
|
|
|
19,063
|
|
||
(Increase) decrease in other assets
|
(8,206
|
)
|
|
6,254
|
|
||
Decrease in accrued interest payable and other liabilities
|
(79,644
|
)
|
|
(22,952
|
)
|
||
Net cash provided by operating activities
|
147,263
|
|
|
66,428
|
|
||
|
|
|
|
||||
Cash flows from investing activities:
|
|
|
|
||||
Cash acquired in acquisitions, net of cash consideration paid
|
346,047
|
|
|
273,013
|
|
||
Net (increase) decrease in loans and leases
|
(433,525
|
)
|
|
221,779
|
|
||
Proceeds from sale of loans and leases
|
35,696
|
|
|
18,812
|
|
||
Securities available-for-sale:
|
|
|
|
||||
Proceeds from maturities and paydowns
|
95,039
|
|
|
264,654
|
|
||
Proceeds from sales
|
465,608
|
|
|
12,810
|
|
||
Purchases
|
(186,969
|
)
|
|
(504,936
|
)
|
||
Collection of securities sales proceeds
|
484,084
|
|
|
—
|
|
||
Net redemptions of Federal Home Loan Bank stock
|
28,397
|
|
|
12,549
|
|
||
Proceeds from sales of foreclosed assets
|
20,097
|
|
|
28,918
|
|
||
Purchases of premises and equipment, net
|
(2,283
|
)
|
|
(2,246
|
)
|
||
Proceeds from sales of premises and equipment
|
3,759
|
|
|
26
|
|
||
Net decrease of equipment leased to others under operating leases
|
30,502
|
|
|
—
|
|
||
Net cash provided by investing activities
|
886,452
|
|
|
325,379
|
|
||
|
|
|
|
||||
Cash flows from financing activities:
|
|
|
|
||||
Net increase (decrease) in deposits:
|
|
|
|
||||
Noninterest-bearing
|
420,478
|
|
|
28,310
|
|
||
Interest-bearing
|
(518,012
|
)
|
|
(405,166
|
)
|
||
Net decrease in borrowings
|
(742,109
|
)
|
|
(4,258
|
)
|
||
Restricted stock surrendered
|
(22,307
|
)
|
|
(2,415
|
)
|
||
Tax effect included in stockholders' equity of restricted vesting stock
|
4,402
|
|
|
985
|
|
||
Cash dividends paid
|
(62,727
|
)
|
|
(29,648
|
)
|
||
Net cash used in financing activities
|
(920,275
|
)
|
|
(412,192
|
)
|
||
Net increase (decrease) in cash and cash equivalents
|
113,440
|
|
|
(20,385
|
)
|
||
Cash and cash equivalents, beginning of period
|
147,422
|
|
|
164,404
|
|
||
Cash and cash equivalents, end of period
|
$
|
260,862
|
|
|
$
|
144,019
|
|
|
|
|
|
||||
Supplemental disclosures of cash flow information:
|
|
|
|
||||
Cash paid for interest
|
$
|
23,959
|
|
|
$
|
10,604
|
|
Cash (received) paid for income taxes
|
(3,829
|
)
|
|
16,703
|
|
||
Loans transferred to other real estate owned
|
667
|
|
|
12,754
|
|
||
Common stock issued in CapitalSource acquisition
|
2,594,070
|
|
|
—
|
|
||
Common stock issued in First California Financial Group acquisition
|
—
|
|
|
242,268
|
|
|
Acquisition and Date Acquired
|
||||||
|
CapitalSource Inc.
|
|
First California Financial Group
|
||||
|
April 7, 2014
|
|
May 31, 2013
|
||||
|
(In thousands)
|
||||||
Assets Acquired:
|
|
|
|
||||
Cash and due from banks
|
$
|
768,553
|
|
|
$
|
6,124
|
|
Interest‑earning deposits in financial institutions
|
60,612
|
|
|
266,889
|
|
||
Investment securities available‑for‑sale
|
382,797
|
|
|
4,444
|
|
||
FHLB SF stock
|
46,060
|
|
|
9,518
|
|
||
Loans and leases
|
6,877,427
|
|
|
1,049,613
|
|
||
Equipment leased to others under operating leases
|
160,015
|
|
|
—
|
|
||
Premises and equipment
|
12,663
|
|
|
15,322
|
|
||
Foreclosed assets
|
6,382
|
|
|
13,772
|
|
||
FDIC loss sharing asset
|
—
|
|
|
17,241
|
|
||
Income tax assets
|
311,462
|
|
|
33,360
|
|
||
Goodwill
|
1,520,031
|
|
|
129,070
|
|
||
Core deposit and customer relationship intangibles
|
6,720
|
|
|
7,927
|
|
||
Other assets
|
581,905
|
|
|
27,576
|
|
||
Total assets acquired
|
$
|
10,734,627
|
|
|
$
|
1,580,856
|
|
Liabilities Assumed:
|
|
|
|
||||
Noninterest‑bearing deposits
|
$
|
4,631
|
|
|
$
|
361,166
|
|
Interest‑bearing deposits
|
6,236,419
|
|
|
739,713
|
|
||
Other borrowings
|
992,109
|
|
|
—
|
|
||
Subordinated debentures
|
300,918
|
|
|
24,061
|
|
||
Discontinued operations
|
—
|
|
|
184,619
|
|
||
Accrued interest payable and other liabilities
|
123,362
|
|
|
19,729
|
|
||
Total liabilities assumed
|
$
|
7,657,439
|
|
|
$
|
1,329,288
|
|
Total consideration paid
|
$
|
3,077,188
|
|
|
$
|
251,568
|
|
Summary of consideration:
|
|
|
|
||||
Cash paid
|
$
|
483,118
|
|
|
$
|
—
|
|
PacWest common stock issued
|
2,594,070
|
|
|
242,268
|
|
||
Cancellation of FCAL common stock owned by PacWest (at acquisition date fair value)
|
—
|
|
|
9,300
|
|
||
Total
|
$
|
3,077,188
|
|
|
$
|
251,568
|
|
|
Three Months Ended September 30,
|
|
Nine Months Ended September 30,
|
||||||||
|
2013
|
|
2014
|
|
2013
|
||||||
|
(Dollars in thousands, except per share data)
|
||||||||||
Pro forma revenues (net interest income plus noninterest income)
|
$
|
209,558
|
|
|
$
|
591,283
|
|
|
$
|
606,570
|
|
Pro forma net earnings from continuing operations
|
$
|
82,662
|
|
|
$
|
177,846
|
|
|
$
|
180,219
|
|
Pro forma net earnings from continuing operations per share:
|
|
|
|
|
|
||||||
Basic
|
$
|
0.81
|
|
|
$
|
1.73
|
|
|
$
|
1.76
|
|
Diluted
|
$
|
0.81
|
|
|
$
|
1.73
|
|
|
$
|
1.76
|
|
|
Goodwill
|
||
|
(In thousands)
|
||
Balance, December 31, 2013
|
$
|
208,743
|
|
Addition from the CapitalSource Inc. merger
|
1,520,031
|
|
|
Write-off of goodwill
|
(6,645
|
)
|
|
Balance, September 30, 2014
|
$
|
1,722,129
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Gross Amount of CDI and CRI:
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, beginning of period
|
$
|
53,090
|
|
|
$
|
48,963
|
|
|
$
|
53,339
|
|
|
$
|
48,963
|
|
|
$
|
45,412
|
|
Additions
|
—
|
|
|
6,720
|
|
|
—
|
|
|
6,720
|
|
|
7,927
|
|
|||||
Fully amortized portion
|
—
|
|
|
(1,293
|
)
|
|
(4,376
|
)
|
|
(1,293
|
)
|
|
(4,376
|
)
|
|||||
Write-off
|
—
|
|
|
(1,300
|
)
|
|
—
|
|
|
(1,300
|
)
|
|
—
|
|
|||||
Balance, end of period
|
53,090
|
|
|
53,090
|
|
|
48,963
|
|
|
53,090
|
|
|
48,963
|
|
|||||
Accumulated Amortization:
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, beginning of period
|
(32,659
|
)
|
|
(33,079
|
)
|
|
(33,149
|
)
|
|
(31,715
|
)
|
|
(30,689
|
)
|
|||||
Amortization
|
(1,608
|
)
|
|
(1,677
|
)
|
|
(1,512
|
)
|
|
(4,649
|
)
|
|
(3,972
|
)
|
|||||
Fully amortized portion
|
—
|
|
|
1,293
|
|
|
4,376
|
|
|
1,293
|
|
|
4,376
|
|
|||||
Write-off
|
—
|
|
|
804
|
|
|
—
|
|
|
804
|
|
|
—
|
|
|||||
Balance, end of period
|
(34,267
|
)
|
|
(32,659
|
)
|
|
(30,285
|
)
|
|
(34,267
|
)
|
|
(30,285
|
)
|
|||||
Net CDI and CRI, end of period
|
$
|
18,823
|
|
|
$
|
20,431
|
|
|
$
|
18,678
|
|
|
$
|
18,823
|
|
|
$
|
18,678
|
|
|
September 30, 2014
|
|
December 31, 2013
|
||||||||||||||||||||||||||||
|
Amortized Cost
|
|
Gross Unrealized Gains
|
|
Gross Unrealized Losses
|
|
Fair Value
|
|
Amortized Cost
|
|
Gross Unrealized Gains
|
|
Gross Unrealized Losses
|
|
Fair Value
|
||||||||||||||||
|
(In thousands)
|
||||||||||||||||||||||||||||||
Residential mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
Government agency and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
government-sponsored enterprise
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
pass through securities
|
$
|
537,969
|
|
|
$
|
17,917
|
|
|
$
|
(799
|
)
|
|
$
|
555,087
|
|
|
$
|
691,944
|
|
|
$
|
18,012
|
|
|
$
|
(2,768
|
)
|
|
$
|
707,188
|
|
Government agency and
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
government-sponsored enterprise
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
collateralized mortgage obligations
|
280,820
|
|
|
1,456
|
|
|
(2,485
|
)
|
|
279,791
|
|
|
197,069
|
|
|
388
|
|
|
(4,584
|
)
|
|
192,873
|
|
||||||||
Covered private label collateralized
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
mortgage obligations
|
27,830
|
|
|
7,568
|
|
|
(89
|
)
|
|
35,309
|
|
|
30,502
|
|
|
7,552
|
|
|
(150
|
)
|
|
37,904
|
|
||||||||
Other private label collateralized
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
mortgage obligations
|
12,563
|
|
|
35
|
|
|
(5
|
)
|
|
12,593
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||||
Municipal securities
|
473,426
|
|
|
12,212
|
|
|
(3,211
|
)
|
|
482,427
|
|
|
459,182
|
|
|
1,749
|
|
|
(24,273
|
)
|
|
436,658
|
|
||||||||
Corporate debt securities
|
110,032
|
|
|
2,139
|
|
|
(28
|
)
|
|
112,143
|
|
|
84,119
|
|
|
71
|
|
|
(1,483
|
)
|
|
82,707
|
|
||||||||
Government-sponsored enterprise debt
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||||
securities
|
36,214
|
|
|
168
|
|
|
—
|
|
|
36,382
|
|
|
10,046
|
|
|
—
|
|
|
(174
|
)
|
|
9,872
|
|
||||||||
Other securities
|
26,044
|
|
|
33
|
|
|
(128
|
)
|
|
25,949
|
|
|
27,654
|
|
|
2
|
|
|
(113
|
)
|
|
27,543
|
|
||||||||
Total
|
$
|
1,504,898
|
|
|
$
|
41,528
|
|
|
$
|
(6,745
|
)
|
|
$
|
1,539,681
|
|
|
$
|
1,500,516
|
|
|
$
|
27,774
|
|
|
$
|
(33,545
|
)
|
|
$
|
1,494,745
|
|
|
December 31, 2013
|
||||||||||||||||||||||
|
Less Than 12 Months
|
|
12 Months or More
|
|
Total
|
||||||||||||||||||
|
Fair Value
|
|
Gross Unrealized Losses
|
|
Fair Value
|
|
Gross Unrealized Losses
|
|
Fair Value
|
|
Gross Unrealized Losses
|
||||||||||||
|
(In thousands)
|
||||||||||||||||||||||
Residential mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Government agency and government-
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
sponsored enterprise pass through
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
securities
|
$
|
148,662
|
|
|
$
|
(2,767
|
)
|
|
$
|
32
|
|
|
$
|
(1
|
)
|
|
$
|
148,694
|
|
|
$
|
(2,768
|
)
|
Government agency and government-
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
sponsored enterprise collateralized
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
mortgage obligations
|
179,938
|
|
|
(4,486
|
)
|
|
4,383
|
|
|
(98
|
)
|
|
184,321
|
|
|
(4,584
|
)
|
||||||
Covered private label collateralized
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
mortgage obligations
|
1,640
|
|
|
(60
|
)
|
|
617
|
|
|
(90
|
)
|
|
2,257
|
|
|
(150
|
)
|
||||||
Municipal securities
|
337,208
|
|
|
(24,273
|
)
|
|
—
|
|
|
—
|
|
|
337,208
|
|
|
(24,273
|
)
|
||||||
Corporate debt securities
|
72,636
|
|
|
(1,483
|
)
|
|
—
|
|
|
—
|
|
|
72,636
|
|
|
(1,483
|
)
|
||||||
Government-sponsored enterprise debt
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
securities
|
9,872
|
|
|
(174
|
)
|
|
—
|
|
|
—
|
|
|
9,872
|
|
|
(174
|
)
|
||||||
Other securities
|
23,969
|
|
|
(113
|
)
|
|
—
|
|
|
—
|
|
|
23,969
|
|
|
(113
|
)
|
||||||
Total
|
$
|
773,925
|
|
|
$
|
(33,356
|
)
|
|
$
|
5,032
|
|
|
$
|
(189
|
)
|
|
$
|
778,957
|
|
|
$
|
(33,545
|
)
|
|
September 30, 2014
|
||||||
|
Amortized Cost
|
|
Estimated Fair Value
|
||||
|
(In thousands)
|
||||||
Due in one year or less
|
$
|
4,386
|
|
|
$
|
4,422
|
|
Due after one year through five years
|
85,057
|
|
|
85,209
|
|
||
Due after five years through ten years
|
249,748
|
|
|
252,685
|
|
||
Due after ten years
|
1,165,707
|
|
|
1,197,365
|
|
||
Total securities available-for-sale
|
$
|
1,504,898
|
|
|
$
|
1,539,681
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Taxable interest
|
$
|
7,850
|
|
|
$
|
7,668
|
|
|
$
|
6,028
|
|
|
$
|
22,438
|
|
|
$
|
16,979
|
|
Non-taxable interest
|
3,343
|
|
|
3,333
|
|
|
3,302
|
|
|
10,004
|
|
|
8,443
|
|
|||||
Dividend income
|
1,138
|
|
|
985
|
|
|
541
|
|
|
2,698
|
|
|
1,079
|
|
|||||
Total interest income on investment securities
|
$
|
12,331
|
|
|
$
|
11,986
|
|
|
$
|
9,871
|
|
|
$
|
35,140
|
|
|
$
|
26,501
|
|
|
April 7, 2014
Accretable Yield
|
||
|
(In thousands)
|
||
Undiscounted contractual cash flows
|
$
|
227,688
|
|
Undiscounted cash flows not expected to be collected (nonaccretable difference)
|
(134,726
|
)
|
|
Undiscounted cash flows expected to be collected
|
92,962
|
|
|
Estimated fair value of PCI loans acquired
|
(79,234
|
)
|
|
Accretable yield
|
$
|
13,728
|
|
|
September 30, 2014
|
|
December 31, 2013
|
||||||||||||||||||||
|
Non-PCI
|
|
|
|
|
|
Non-PCI
|
|
|
|
|
||||||||||||
|
Loans
|
|
PCI
|
|
|
|
Loans
|
|
PCI
|
|
|
||||||||||||
|
and Leases
|
|
Loans
|
|
Total
|
|
and Leases
|
|
Loans
|
|
Total
|
||||||||||||
|
(In thousands)
|
||||||||||||||||||||||
Real estate mortgage
|
$
|
5,406,371
|
|
|
$
|
314,919
|
|
|
$
|
5,721,290
|
|
|
$
|
2,424,864
|
|
|
$
|
371,134
|
|
|
$
|
2,795,998
|
|
Real estate construction
|
285,109
|
|
|
8,208
|
|
|
293,317
|
|
|
209,090
|
|
|
10,427
|
|
|
219,517
|
|
||||||
Commercial
|
5,440,144
|
|
|
27,961
|
|
|
5,468,105
|
|
|
1,241,776
|
|
|
974
|
|
|
1,242,750
|
|
||||||
Consumer
|
108,340
|
|
|
343
|
|
|
108,683
|
|
|
54,809
|
|
|
261
|
|
|
55,070
|
|
||||||
Total gross loans and leases
|
11,239,964
|
|
|
351,431
|
|
|
11,591,395
|
|
|
3,930,539
|
|
|
382,796
|
|
|
4,313,335
|
|
||||||
Deferred fees and costs
|
(16,458
|
)
|
|
(52
|
)
|
|
(16,510
|
)
|
|
(983
|
)
|
|
—
|
|
|
(983
|
)
|
||||||
Total loans and leases, net of unearned income
|
11,223,506
|
|
|
351,379
|
|
|
11,574,885
|
|
|
3,929,556
|
|
|
382,796
|
|
|
4,312,352
|
|
||||||
Allowance for loan and lease losses
|
(63,084
|
)
|
|
(18,815
|
)
|
|
(81,899
|
)
|
|
(60,241
|
)
|
|
(21,793
|
)
|
|
(82,034
|
)
|
||||||
Total net loans and leases
|
$
|
11,160,422
|
|
|
$
|
332,564
|
|
|
$
|
11,492,986
|
|
|
$
|
3,869,315
|
|
|
$
|
361,003
|
|
|
$
|
4,230,318
|
|
|
Three Months Ended September 30, 2014
|
||||||||||||||||||||||||||
|
Real Estate Mortgage
|
|
Real Estate Construction
|
|
Commercial
|
|
Consumer
|
|
Total Non-PCI
|
|
Total PCI
|
|
Total
|
||||||||||||||
|
(In thousands)
|
||||||||||||||||||||||||||
Allowance for Loan and Lease Losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Balance, beginning of period
|
$
|
22,276
|
|
|
$
|
4,302
|
|
|
$
|
35,530
|
|
|
$
|
3,415
|
|
|
$
|
65,523
|
|
|
$
|
16,626
|
|
|
$
|
82,149
|
|
Charge-offs
|
(395
|
)
|
|
—
|
|
|
(7,282
|
)
|
|
(171
|
)
|
|
(7,848
|
)
|
|
(108
|
)
|
|
(7,956
|
)
|
|||||||
Recoveries
|
1,312
|
|
|
24
|
|
|
337
|
|
|
52
|
|
|
1,725
|
|
|
—
|
|
|
1,725
|
|
|||||||
Provision (negative provision)
|
3,810
|
|
|
1,591
|
|
|
422
|
|
|
(2,139
|
)
|
|
3,684
|
|
|
2,297
|
|
|
5,981
|
|
|||||||
Balance, end of period
|
$
|
27,003
|
|
|
$
|
5,917
|
|
|
$
|
29,007
|
|
|
$
|
1,157
|
|
|
$
|
63,084
|
|
|
$
|
18,815
|
|
|
$
|
81,899
|
|
|
Nine Months Ended September 30, 2014
|
||||||||||||||||||||||||||
|
Real Estate Mortgage
|
|
Real Estate Construction
|
|
Commercial
|
|
Consumer
|
|
Total Non-PCI
|
|
Total PCI
|
|
Total
|
||||||||||||||
|
(In thousands)
|
||||||||||||||||||||||||||
Allowance for Loan and Lease Losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Balance, beginning of period
|
$
|
26,078
|
|
|
$
|
4,298
|
|
|
$
|
26,921
|
|
|
$
|
2,944
|
|
|
$
|
60,241
|
|
|
$
|
21,793
|
|
|
$
|
82,034
|
|
Charge-offs
|
(976
|
)
|
|
—
|
|
|
(9,049
|
)
|
|
(203
|
)
|
|
(10,228
|
)
|
|
(4,712
|
)
|
|
(14,940
|
)
|
|||||||
Recoveries
|
1,949
|
|
|
112
|
|
|
1,301
|
|
|
294
|
|
|
3,656
|
|
|
51
|
|
|
3,707
|
|
|||||||
Provision (negative provision)
|
(48
|
)
|
|
1,507
|
|
|
9,834
|
|
|
(1,878
|
)
|
|
9,415
|
|
|
1,683
|
|
|
11,098
|
|
|||||||
Balance, end of period
|
$
|
27,003
|
|
|
$
|
5,917
|
|
|
$
|
29,007
|
|
|
$
|
1,157
|
|
|
$
|
63,084
|
|
|
$
|
18,815
|
|
|
$
|
81,899
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Amount of the allowance applicable to loans and leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
1,568
|
|
|
$
|
119
|
|
|
$
|
7,654
|
|
|
$
|
34
|
|
|
$
|
9,375
|
|
|
|
|
|
||||
Collectively evaluated for impairment
|
$
|
25,435
|
|
|
$
|
5,798
|
|
|
$
|
21,353
|
|
|
$
|
1,123
|
|
|
$
|
53,709
|
|
|
|
|
|
||||
Acquired loans with deteriorated credit quality
|
|
|
|
|
|
|
|
|
|
|
$
|
18,815
|
|
|
|
||||||||||||
Loan and Leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Ending balance
|
$
|
5,398,244
|
|
|
$
|
283,067
|
|
|
$
|
5,433,787
|
|
|
$
|
108,408
|
|
|
$
|
11,223,506
|
|
|
$
|
351,379
|
|
|
$
|
11,574,885
|
|
The ending balance of the loan and lease portfolio is composed of loans and leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
59,729
|
|
|
$
|
12,692
|
|
|
$
|
47,180
|
|
|
$
|
3,655
|
|
|
$
|
123,256
|
|
|
|
|
|
||||
Collectively evaluated for impairment
|
$
|
5,338,515
|
|
|
$
|
270,375
|
|
|
$
|
5,386,607
|
|
|
$
|
104,753
|
|
|
$
|
11,100,250
|
|
|
|
|
|
||||
Acquired loans with deteriorated credit quality
|
|
|
|
|
|
|
|
|
|
|
$
|
351,379
|
|
|
|
|
Three Months Ended September 30, 2013
|
||||||||||||||||||||||||||
|
Real Estate Mortgage
|
|
Real Estate Construction
|
|
Commercial
|
|
Consumer
|
|
Total Non-PCI
|
|
Total PCI
|
|
Total
|
||||||||||||||
|
(In thousands)
|
||||||||||||||||||||||||||
Allowance for loan and lease losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Balance, beginning of period
|
$
|
31,804
|
|
|
$
|
3,432
|
|
|
$
|
26,343
|
|
|
$
|
1,667
|
|
|
$
|
63,246
|
|
|
$
|
27,397
|
|
|
$
|
90,643
|
|
Charge-offs
|
(281
|
)
|
|
—
|
|
|
(2,439
|
)
|
|
(75
|
)
|
|
(2,795
|
)
|
|
—
|
|
|
(2,795
|
)
|
|||||||
Recoveries
|
152
|
|
|
179
|
|
|
324
|
|
|
15
|
|
|
670
|
|
|
5
|
|
|
675
|
|
|||||||
Provision (negative provision)
|
(2,069
|
)
|
|
(66
|
)
|
|
1,233
|
|
|
332
|
|
|
(570
|
)
|
|
(4,167
|
)
|
|
(4,737
|
)
|
|||||||
Balance, end of period
|
$
|
29,606
|
|
|
$
|
3,545
|
|
|
$
|
25,461
|
|
|
$
|
1,939
|
|
|
$
|
60,551
|
|
|
$
|
23,235
|
|
|
$
|
83,786
|
|
|
Nine Months Ended September 30, 2013
|
||||||||||||||||||||||||||
|
Real Estate Mortgage
|
|
Real Estate Construction
|
|
Commercial
|
|
Consumer
|
|
Total Non-PCI
|
|
Total PCI
|
|
Total
|
||||||||||||||
|
(In thousands)
|
||||||||||||||||||||||||||
Allowance for loan and lease losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Balance, beginning of period
|
$
|
38,700
|
|
|
$
|
3,221
|
|
|
$
|
22,252
|
|
|
$
|
1,726
|
|
|
$
|
65,899
|
|
|
$
|
26,069
|
|
|
$
|
91,968
|
|
Charge-offs
|
(3,840
|
)
|
|
—
|
|
|
(4,631
|
)
|
|
(111
|
)
|
|
(8,582
|
)
|
|
—
|
|
|
(8,582
|
)
|
|||||||
Recoveries
|
1,665
|
|
|
514
|
|
|
2,028
|
|
|
57
|
|
|
4,264
|
|
|
38
|
|
|
4,302
|
|
|||||||
Provision (negative provision)
|
(6,919
|
)
|
|
(190
|
)
|
|
5,812
|
|
|
267
|
|
|
(1,030
|
)
|
|
(2,872
|
)
|
|
(3,902
|
)
|
|||||||
Balance, end of period
|
$
|
29,606
|
|
|
$
|
3,545
|
|
|
$
|
25,461
|
|
|
$
|
1,939
|
|
|
$
|
60,551
|
|
|
$
|
23,235
|
|
|
$
|
83,786
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Amount of the allowance applicable to loans and leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
3,225
|
|
|
$
|
103
|
|
|
$
|
6,147
|
|
|
$
|
240
|
|
|
$
|
9,715
|
|
|
|
|
|
||||
Collectively evaluated for impairment
|
$
|
26,381
|
|
|
$
|
3,442
|
|
|
$
|
19,314
|
|
|
$
|
1,699
|
|
|
$
|
50,836
|
|
|
|
|
|
||||
Acquired loans with deteriorated credit quality
|
|
|
|
|
|
|
|
|
|
|
$
|
23,235
|
|
|
|
||||||||||||
Loan and Leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Ending balance
|
$
|
2,548,932
|
|
|
$
|
188,872
|
|
|
$
|
1,178,923
|
|
|
$
|
33,909
|
|
|
$
|
3,950,636
|
|
|
$
|
432,757
|
|
|
$
|
4,383,393
|
|
The ending balance of the loan and lease portfolio is composed of loans and leases:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Individually evaluated for impairment
|
$
|
90,329
|
|
|
$
|
14,878
|
|
|
$
|
25,083
|
|
|
$
|
792
|
|
|
$
|
131,082
|
|
|
|
|
|
||||
Collectively evaluated for impairment
|
$
|
2,458,603
|
|
|
$
|
173,994
|
|
|
$
|
1,153,840
|
|
|
$
|
33,117
|
|
|
$
|
3,819,554
|
|
|
|
|
|
||||
Acquired loans with deteriorated credit quality
|
|
|
|
|
|
|
|
|
|
|
$
|
432,757
|
|
|
|
|
September 30, 2014
|
|
December 31, 2013
|
||||||||||||||||||||
|
Nonclassified
|
|
Classified
|
|
Total
|
|
Nonclassified
|
|
Classified
|
|
Total
|
||||||||||||
|
(In thousands)
|
||||||||||||||||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Hospitality
|
$
|
504,066
|
|
|
$
|
15,284
|
|
|
$
|
519,350
|
|
|
$
|
168,216
|
|
|
$
|
12,337
|
|
|
$
|
180,553
|
|
SBA
|
344,285
|
|
|
7,483
|
|
|
351,768
|
|
|
39,869
|
|
|
5,297
|
|
|
45,166
|
|
||||||
Other
|
4,430,742
|
|
|
96,384
|
|
|
4,527,126
|
|
|
2,132,109
|
|
|
64,279
|
|
|
2,196,388
|
|
||||||
Total real estate mortgage
|
5,279,093
|
|
|
119,151
|
|
|
5,398,244
|
|
|
2,340,194
|
|
|
81,913
|
|
|
2,422,107
|
|
||||||
Real estate construction:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Residential
|
71,961
|
|
|
925
|
|
|
72,886
|
|
|
58,131
|
|
|
750
|
|
|
58,881
|
|
||||||
Commercial
|
205,258
|
|
|
4,923
|
|
|
210,181
|
|
|
142,607
|
|
|
6,291
|
|
|
148,898
|
|
||||||
Total real estate construction
|
277,219
|
|
|
5,848
|
|
|
283,067
|
|
|
200,738
|
|
|
7,041
|
|
|
207,779
|
|
||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Collateralized
|
416,759
|
|
|
11,818
|
|
|
428,577
|
|
|
567,643
|
|
|
18,838
|
|
|
586,481
|
|
||||||
Unsecured
|
125,373
|
|
|
1,666
|
|
|
127,039
|
|
|
151,896
|
|
|
1,856
|
|
|
153,752
|
|
||||||
Asset-based
|
1,575,920
|
|
|
18,512
|
|
|
1,594,432
|
|
|
195,569
|
|
|
6,859
|
|
|
202,428
|
|
||||||
Cash flow
|
2,238,196
|
|
|
76,002
|
|
|
2,314,198
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Equipment finance
|
906,494
|
|
|
21,966
|
|
|
928,460
|
|
|
272,851
|
|
|
632
|
|
|
273,483
|
|
||||||
SBA
|
39,042
|
|
|
2,039
|
|
|
41,081
|
|
|
22,880
|
|
|
5,761
|
|
|
28,641
|
|
||||||
Total commercial
|
5,301,784
|
|
|
132,003
|
|
|
5,433,787
|
|
|
1,210,839
|
|
|
33,946
|
|
|
1,244,785
|
|
||||||
Consumer
|
104,424
|
|
|
3,984
|
|
|
108,408
|
|
|
50,474
|
|
|
4,411
|
|
|
54,885
|
|
||||||
Total Non-PCI loans and leases
|
$
|
10,962,520
|
|
|
$
|
260,986
|
|
|
$
|
11,223,506
|
|
|
$
|
3,802,245
|
|
|
$
|
127,311
|
|
|
$
|
3,929,556
|
|
|
September 30, 2014
|
||||||||||||||||||
|
30-89 Days Past Due
|
|
90 or More
Days Past Due
|
|
Total Past Due
|
|
Current
|
|
Total Loans
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
||||||||||
Hospitality
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
519,350
|
|
|
$
|
519,350
|
|
SBA
|
2,304
|
|
|
516
|
|
|
2,820
|
|
|
348,948
|
|
|
351,768
|
|
|||||
Other
|
8,150
|
|
|
13,128
|
|
|
21,278
|
|
|
4,505,848
|
|
|
4,527,126
|
|
|||||
Total real estate mortgage
|
10,454
|
|
|
13,644
|
|
|
24,098
|
|
|
5,374,146
|
|
|
5,398,244
|
|
|||||
Real estate construction:
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential
|
—
|
|
|
542
|
|
|
542
|
|
|
72,344
|
|
|
72,886
|
|
|||||
Commercial
|
1,928
|
|
|
1,487
|
|
|
3,415
|
|
|
206,766
|
|
|
210,181
|
|
|||||
Total real estate construction
|
1,928
|
|
|
2,029
|
|
|
3,957
|
|
|
279,110
|
|
|
283,067
|
|
|||||
Commercial:
|
|
|
|
|
|
|
|
|
|
||||||||||
Collateralized
|
56
|
|
|
940
|
|
|
996
|
|
|
427,581
|
|
|
428,577
|
|
|||||
Unsecured
|
38
|
|
|
25
|
|
|
63
|
|
|
126,976
|
|
|
127,039
|
|
|||||
Asset-based
|
271
|
|
|
—
|
|
|
271
|
|
|
1,594,161
|
|
|
1,594,432
|
|
|||||
Cash flow
|
235
|
|
|
—
|
|
|
235
|
|
|
2,313,963
|
|
|
2,314,198
|
|
|||||
Equipment finance
|
119
|
|
|
132
|
|
|
251
|
|
|
928,209
|
|
|
928,460
|
|
|||||
SBA
|
—
|
|
|
—
|
|
|
—
|
|
|
41,081
|
|
|
41,081
|
|
|||||
Total commercial
|
719
|
|
|
1,097
|
|
|
1,816
|
|
|
5,431,971
|
|
|
5,433,787
|
|
|||||
Consumer
|
168
|
|
|
3,244
|
|
|
3,412
|
|
|
104,996
|
|
|
108,408
|
|
|||||
Total Non-PCI loans and leases
|
$
|
13,269
|
|
|
$
|
20,014
|
|
|
$
|
33,283
|
|
|
$
|
11,190,223
|
|
|
$
|
11,223,506
|
|
|
December 31, 2013
|
||||||||||||||||||
|
30-89 Days Past Due
|
|
90 or More
Days Past Due
|
|
Total Past Due
|
|
Current
|
|
Total Loans
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
||||||||||
Hospitality
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
180,553
|
|
|
$
|
180,553
|
|
SBA
|
2,564
|
|
|
—
|
|
|
2,564
|
|
|
42,602
|
|
|
45,166
|
|
|||||
Other
|
13,026
|
|
|
2,406
|
|
|
15,432
|
|
|
2,180,956
|
|
|
2,196,388
|
|
|||||
Total real estate mortgage
|
15,590
|
|
|
2,406
|
|
|
17,996
|
|
|
2,404,111
|
|
|
2,422,107
|
|
|||||
Real estate construction:
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential
|
—
|
|
|
—
|
|
|
—
|
|
|
58,881
|
|
|
58,881
|
|
|||||
Commercial
|
—
|
|
|
2,013
|
|
|
2,013
|
|
|
146,885
|
|
|
148,898
|
|
|||||
Total real estate construction
|
—
|
|
|
2,013
|
|
|
2,013
|
|
|
205,766
|
|
|
207,779
|
|
|||||
Commercial:
|
|
|
|
|
|
|
|
|
|
||||||||||
Collateralized
|
473
|
|
|
259
|
|
|
732
|
|
|
585,749
|
|
|
586,481
|
|
|||||
Unsecured
|
83
|
|
|
68
|
|
|
151
|
|
|
153,601
|
|
|
153,752
|
|
|||||
Asset-based
|
—
|
|
|
—
|
|
|
—
|
|
|
202,428
|
|
|
202,428
|
|
|||||
Equipment finance
|
2,662
|
|
|
244
|
|
|
2,906
|
|
|
270,577
|
|
|
273,483
|
|
|||||
SBA
|
1,770
|
|
|
243
|
|
|
2,013
|
|
|
26,628
|
|
|
28,641
|
|
|||||
Total commercial
|
4,988
|
|
|
814
|
|
|
5,802
|
|
|
1,238,983
|
|
|
1,244,785
|
|
|||||
Consumer
|
3,319
|
|
|
—
|
|
|
3,319
|
|
|
51,566
|
|
|
54,885
|
|
|||||
Total Non-PCI loans and leases
|
$
|
23,897
|
|
|
$
|
5,233
|
|
|
$
|
29,130
|
|
|
$
|
3,900,426
|
|
|
$
|
3,929,556
|
|
|
September 30, 2014
|
|
December 31, 2013
|
||||||||||||||||||||
|
Nonaccrual
|
|
Performing
|
|
Total
|
|
Nonaccrual
|
|
Performing
|
|
Total
|
||||||||||||
|
(In thousands)
|
||||||||||||||||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Hospitality
|
$
|
6,451
|
|
|
$
|
512,899
|
|
|
$
|
519,350
|
|
|
$
|
6,723
|
|
|
$
|
173,830
|
|
|
$
|
180,553
|
|
SBA
|
7,483
|
|
|
344,285
|
|
|
351,768
|
|
|
2,602
|
|
|
42,564
|
|
|
45,166
|
|
||||||
Other
|
26,575
|
|
|
4,500,551
|
|
|
4,527,126
|
|
|
18,648
|
|
|
2,177,740
|
|
|
2,196,388
|
|
||||||
Total real estate mortgage
|
40,509
|
|
|
5,357,735
|
|
|
5,398,244
|
|
|
27,973
|
|
|
2,394,134
|
|
|
2,422,107
|
|
||||||
Real estate construction:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Residential
|
925
|
|
|
71,961
|
|
|
72,886
|
|
|
389
|
|
|
58,492
|
|
|
58,881
|
|
||||||
Commercial
|
2,703
|
|
|
207,478
|
|
|
210,181
|
|
|
2,830
|
|
|
146,068
|
|
|
148,898
|
|
||||||
Total real estate construction
|
3,628
|
|
|
279,439
|
|
|
283,067
|
|
|
3,219
|
|
|
204,560
|
|
|
207,779
|
|
||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Collateralized
|
5,165
|
|
|
423,412
|
|
|
428,577
|
|
|
9,991
|
|
|
576,490
|
|
|
586,481
|
|
||||||
Unsecured
|
226
|
|
|
126,813
|
|
|
127,039
|
|
|
458
|
|
|
153,294
|
|
|
153,752
|
|
||||||
Asset-based
|
5,003
|
|
|
1,589,429
|
|
|
1,594,432
|
|
|
1,070
|
|
|
201,358
|
|
|
202,428
|
|
||||||
Cash flow
|
15,958
|
|
|
2,298,240
|
|
|
2,314,198
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Equipment finance
|
12,885
|
|
|
915,575
|
|
|
928,460
|
|
|
632
|
|
|
272,851
|
|
|
273,483
|
|
||||||
SBA
|
2,039
|
|
|
39,042
|
|
|
41,081
|
|
|
3,037
|
|
|
25,604
|
|
|
28,641
|
|
||||||
Total commercial
|
41,276
|
|
|
5,392,511
|
|
|
5,433,787
|
|
|
15,188
|
|
|
1,229,597
|
|
|
1,244,785
|
|
||||||
Consumer
|
3,535
|
|
|
104,873
|
|
|
108,408
|
|
|
394
|
|
|
54,491
|
|
|
54,885
|
|
||||||
Total Non-PCI loans and leases
|
$
|
88,948
|
|
|
$
|
11,134,558
|
|
|
$
|
11,223,506
|
|
|
$
|
46,774
|
|
|
$
|
3,882,782
|
|
|
$
|
3,929,556
|
|
|
September 30, 2014
|
|
December 31, 2013
|
|||||||||||||||||||||
|
|
|
Performing
|
|
Total
|
|
|
|
Performing
|
|
Total
|
|
||||||||||||
|
Nonaccrual
|
|
Restructured
|
|
Impaired
|
|
Nonaccrual
|
|
Restructured
|
|
Impaired
|
|
||||||||||||
|
Loans/Leases
|
|
Loans
|
|
Loans/Leases
|
|
Loans/Leases
|
|
Loans
|
|
Loans/Leases
|
|
||||||||||||
|
(In thousands)
|
|
||||||||||||||||||||||
Real estate mortgage
|
$
|
40,509
|
|
|
$
|
19,220
|
|
|
$
|
59,729
|
|
|
$
|
27,973
|
|
|
$
|
34,303
|
|
|
$
|
62,276
|
|
|
Real estate construction
|
3,628
|
|
|
9,064
|
|
|
12,692
|
|
|
3,219
|
|
|
4,293
|
|
|
7,512
|
|
|
||||||
Commercial
|
41,276
|
|
|
5,904
|
|
|
47,180
|
|
|
15,188
|
|
|
2,744
|
|
|
17,932
|
|
|
||||||
Consumer
|
3,535
|
|
|
120
|
|
|
3,655
|
|
|
394
|
|
|
308
|
|
|
702
|
|
|
||||||
Total
|
$
|
88,948
|
|
|
$
|
34,308
|
|
|
$
|
123,256
|
|
|
$
|
46,774
|
|
|
$
|
41,648
|
|
|
$
|
88,422
|
|
|
|
September 30, 2014
|
|
December 31, 2013
|
||||||||||||||||||||
|
Recorded Investment
|
|
Unpaid Principal Balance
|
|
Related
Allowance
|
|
Recorded Investment
|
|
Unpaid Principal Balance
|
|
Related
Allowance
|
||||||||||||
|
(In thousands)
|
||||||||||||||||||||||
With An Allowance Recorded:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Hospitality
|
$
|
1,957
|
|
|
$
|
1,956
|
|
|
$
|
92
|
|
|
$
|
5,717
|
|
|
$
|
6,215
|
|
|
$
|
198
|
|
SBA
|
—
|
|
|
—
|
|
|
—
|
|
|
1,642
|
|
|
1,643
|
|
|
230
|
|
||||||
Other
|
13,302
|
|
|
13,389
|
|
|
1,476
|
|
|
15,937
|
|
|
16,571
|
|
|
1,760
|
|
||||||
Real estate construction:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Residential
|
767
|
|
|
767
|
|
|
72
|
|
|
778
|
|
|
778
|
|
|
168
|
|
||||||
Commercial
|
1,162
|
|
|
4,945
|
|
|
47
|
|
|
1,250
|
|
|
1,250
|
|
|
1
|
|
||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Collateralized
|
5,404
|
|
|
5,789
|
|
|
3,536
|
|
|
4,377
|
|
|
4,692
|
|
|
4,270
|
|
||||||
Unsecured
|
620
|
|
|
631
|
|
|
416
|
|
|
801
|
|
|
829
|
|
|
375
|
|
||||||
Asset-based
|
262
|
|
|
262
|
|
|
262
|
|
|
1,070
|
|
|
1,070
|
|
|
180
|
|
||||||
Cash flow
|
15,958
|
|
|
18,014
|
|
|
2,666
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Equipment finance
|
1,864
|
|
|
1,864
|
|
|
774
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
SBA
|
—
|
|
|
—
|
|
|
—
|
|
|
1,136
|
|
|
1,136
|
|
|
178
|
|
||||||
Consumer
|
146
|
|
|
145
|
|
|
34
|
|
|
424
|
|
|
471
|
|
|
240
|
|
||||||
With No Related Allowance Recorded:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Hospitality
|
$
|
6,451
|
|
|
$
|
7,593
|
|
|
$
|
—
|
|
|
$
|
3,013
|
|
|
$
|
3,385
|
|
|
$
|
—
|
|
SBA
|
7,483
|
|
|
10,712
|
|
|
—
|
|
|
2,602
|
|
|
3,646
|
|
|
—
|
|
||||||
Other
|
30,536
|
|
|
41,596
|
|
|
—
|
|
|
33,365
|
|
|
46,062
|
|
|
—
|
|
||||||
Real estate construction:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Residential
|
542
|
|
|
550
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Commercial
|
10,221
|
|
|
10,995
|
|
|
—
|
|
|
5,484
|
|
|
9,923
|
|
|
—
|
|
||||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Collateralized
|
3,820
|
|
|
10,932
|
|
|
—
|
|
|
6,700
|
|
|
9,924
|
|
|
—
|
|
||||||
Unsecured
|
180
|
|
|
278
|
|
|
—
|
|
|
179
|
|
|
247
|
|
|
—
|
|
||||||
Asset-based
|
4,741
|
|
|
5,584
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Cash flow
|
—
|
|
|
505
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Equipment finance
|
11,021
|
|
|
14,809
|
|
|
—
|
|
|
632
|
|
|
632
|
|
|
—
|
|
||||||
SBA
|
3,310
|
|
|
4,984
|
|
|
—
|
|
|
3,037
|
|
|
4,945
|
|
|
—
|
|
||||||
Consumer
|
3,509
|
|
|
3,681
|
|
|
—
|
|
|
278
|
|
|
394
|
|
|
—
|
|
||||||
Total Non-PCI Loans and Leases With and Without an Allowance Recorded:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Real estate mortgage
|
$
|
59,729
|
|
|
$
|
75,246
|
|
|
$
|
1,568
|
|
|
$
|
62,276
|
|
|
$
|
77,522
|
|
|
$
|
2,188
|
|
Real estate construction
|
12,692
|
|
|
17,257
|
|
|
119
|
|
|
7,512
|
|
|
11,951
|
|
|
169
|
|
||||||
Commercial
|
47,180
|
|
|
63,652
|
|
|
7,654
|
|
|
17,932
|
|
|
23,475
|
|
|
5,003
|
|
||||||
Consumer
|
3,655
|
|
|
3,826
|
|
|
34
|
|
|
702
|
|
|
865
|
|
|
240
|
|
||||||
Total
|
$
|
123,256
|
|
|
$
|
159,981
|
|
|
$
|
9,375
|
|
|
$
|
88,422
|
|
|
$
|
113,813
|
|
|
$
|
7,600
|
|
|
Three Months Ended September 30,
|
||||||||||||||
|
2014
|
|
2013
|
||||||||||||
|
Weighted Average
Balance
(1)
|
|
Interest
Income
Recognized
|
|
Weighted Average
Balance
(1)
|
|
Interest
Income
Recognized
|
||||||||
|
(In thousands)
|
||||||||||||||
With An Allowance Recorded:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Real estate mortgage:
|
|
|
|
|
|
|
|
||||||||
Hospitality
|
$
|
1,963
|
|
|
$
|
20
|
|
|
$
|
8,779
|
|
|
$
|
226
|
|
SBA
|
—
|
|
|
—
|
|
|
1,659
|
|
|
23
|
|
||||
Other
|
13,401
|
|
|
99
|
|
|
51,327
|
|
|
513
|
|
||||
Real estate construction:
|
|
|
|
|
|
|
|
||||||||
Residential
|
768
|
|
|
4
|
|
|
393
|
|
|
—
|
|
||||
Commercial
|
1,176
|
|
|
6
|
|
|
8,540
|
|
|
87
|
|
||||
Commercial:
|
|
|
|
|
|
|
|
||||||||
Collateralized
|
5,815
|
|
|
43
|
|
|
3,804
|
|
|
10
|
|
||||
Unsecured
|
624
|
|
|
6
|
|
|
2,062
|
|
|
8
|
|
||||
Asset-based
|
265
|
|
|
—
|
|
|
223
|
|
|
5
|
|
||||
Cash flow
|
15,695
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Equipment finance
|
1,889
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
SBA
|
—
|
|
|
—
|
|
|
1,094
|
|
|
12
|
|
||||
Consumer
|
148
|
|
|
2
|
|
|
436
|
|
|
3
|
|
||||
With No Related Allowance Recorded:
|
|
|
|
|
|
|
|
||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
||||||||
Hospitality
|
$
|
6,485
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
SBA
|
7,746
|
|
|
38
|
|
|
2,935
|
|
|
—
|
|
||||
Other
|
31,313
|
|
|
87
|
|
|
25,041
|
|
|
133
|
|
||||
Real estate construction:
|
|
|
|
|
|
|
|
||||||||
Residential
|
542
|
|
|
—
|
|
|
441
|
|
|
—
|
|
||||
Commercial
|
10,236
|
|
|
74
|
|
|
4,568
|
|
|
(59
|
)
|
||||
Commercial:
|
|
|
|
|
|
|
|
||||||||
Collateralized
|
5,252
|
|
|
21
|
|
|
4,266
|
|
|
—
|
|
||||
Unsecured
|
202
|
|
|
—
|
|
|
179
|
|
|
—
|
|
||||
Asset-based
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Cash flow
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Equipment finance
|
9,818
|
|
|
671
|
|
|
244
|
|
|
—
|
|
||||
SBA
|
3,756
|
|
|
36
|
|
|
2,872
|
|
|
5
|
|
||||
Consumer
|
3,745
|
|
|
2
|
|
|
173
|
|
|
—
|
|
||||
Total Non-PCI Loans and Leases With and Without an Allowance Recorded:
|
|
|
|
|
|
|
|
||||||||
Real estate mortgage
|
$
|
60,908
|
|
|
$
|
244
|
|
|
$
|
89,741
|
|
|
$
|
895
|
|
Real estate construction
|
12,722
|
|
|
84
|
|
|
13,942
|
|
|
28
|
|
||||
Commercial
|
43,316
|
|
|
777
|
|
|
14,744
|
|
|
40
|
|
||||
Consumer
|
3,893
|
|
|
4
|
|
|
609
|
|
|
3
|
|
||||
Total
|
$
|
120,839
|
|
|
$
|
1,109
|
|
|
$
|
119,036
|
|
|
$
|
966
|
|
(1)
|
For the loans and leases (excluding PCI loans) reported as impaired at
September 30, 2014
and
2013
, amounts were calculated based on the period of time such loans and leases were impaired during the reported period.
|
|
Nine Months Ended September 30,
|
||||||||||||||
|
2014
|
|
2013
|
||||||||||||
|
Weighted Average
Balance
(1)
|
|
Interest
Income
Recognized
|
|
Weighted Average
Balance
(1)
|
|
Interest
Income
Recognized
|
||||||||
|
(In thousands)
|
||||||||||||||
With An Allowance Recorded:
|
|
|
|
|
|
|
|
|
|
|
|
||||
Real estate mortgage:
|
|
|
|
|
|
|
|
||||||||
Hospitality
|
$
|
1,971
|
|
|
$
|
60
|
|
|
$
|
8,770
|
|
|
$
|
109
|
|
SBA
|
—
|
|
|
—
|
|
|
1,649
|
|
|
23
|
|
||||
Other
|
13,218
|
|
|
376
|
|
|
47,411
|
|
|
481
|
|
||||
Real estate construction:
|
|
|
|
|
|
|
|
||||||||
Residential
|
770
|
|
|
12
|
|
|
391
|
|
|
—
|
|
||||
Commercial
|
539
|
|
|
13
|
|
|
8,541
|
|
|
88
|
|
||||
Commercial:
|
|
|
|
|
|
|
|
||||||||
Collateralized
|
5,167
|
|
|
92
|
|
|
4,467
|
|
|
7
|
|
||||
Unsecured
|
664
|
|
|
18
|
|
|
787
|
|
|
8
|
|
||||
Asset-based
|
268
|
|
|
—
|
|
|
2,377
|
|
|
—
|
|
||||
Cash flow
|
5,232
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Equipment finance
|
1,073
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
SBA
|
—
|
|
|
—
|
|
|
1,278
|
|
|
12
|
|
||||
Consumer
|
1,890
|
|
|
11
|
|
|
429
|
|
|
3
|
|
||||
With No Related Allowance Recorded:
|
|
|
|
|
|
|
|
||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
||||||||
Hospitality
|
$
|
6,529
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
SBA
|
5,378
|
|
|
38
|
|
|
2,791
|
|
|
—
|
|
||||
Other
|
26,235
|
|
|
240
|
|
|
25,540
|
|
|
410
|
|
||||
Real estate construction:
|
|
|
|
|
|
|
|
||||||||
Residential
|
406
|
|
|
—
|
|
|
435
|
|
|
—
|
|
||||
Commercial
|
8,888
|
|
|
171
|
|
|
5,511
|
|
|
98
|
|
||||
Commercial:
|
|
|
|
|
|
|
|
||||||||
Collateralized
|
2,772
|
|
|
52
|
|
|
8,989
|
|
|
15
|
|
||||
Unsecured
|
264
|
|
|
—
|
|
|
217
|
|
|
—
|
|
||||
Asset-based
|
1,560
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Cash flow
|
58
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Equipment finance
|
7,436
|
|
|
671
|
|
|
244
|
|
|
—
|
|
||||
SBA
|
2,189
|
|
|
36
|
|
|
2,846
|
|
|
5
|
|
||||
Consumer
|
1,417
|
|
|
2
|
|
|
248
|
|
|
—
|
|
||||
Total Non-PCI Loans and Leases With and Without an Allowance Recorded:
|
|
|
|
|
|
|
|
||||||||
Real estate mortgage
|
$
|
53,331
|
|
|
$
|
714
|
|
|
$
|
86,161
|
|
|
$
|
1,023
|
|
Real estate construction
|
10,603
|
|
|
196
|
|
|
14,878
|
|
|
186
|
|
||||
Commercial
|
26,683
|
|
|
869
|
|
|
21,205
|
|
|
47
|
|
||||
Consumer
|
3,307
|
|
|
13
|
|
|
677
|
|
|
3
|
|
||||
Total
|
$
|
93,924
|
|
|
$
|
1,792
|
|
|
$
|
122,921
|
|
|
$
|
1,259
|
|
(1)
|
For the loans and leases (excluding PCI loans) reported as impaired at
September 30, 2014
and
2013
, amounts were calculated based on the period of time such loans and leases were impaired during the reported period.
|
|
Three Months Ended September 30, 2014
|
|
Three Months Ended September 30, 2013
|
||||||||||||||||||
Troubled Debt Restructurings:
|
Number of Loans
|
|
Pre- Modification Outstanding Recorded Investment
|
|
Post-Modification Outstanding Recorded Investment
|
|
Number of Loans
|
|
Pre- Modification Outstanding Recorded Investment
|
|
Post-Modification Outstanding Recorded Investment
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
SBA
|
1
|
|
|
$
|
64
|
|
|
$
|
64
|
|
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Other
|
7
|
|
|
10,496
|
|
|
10,496
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Collateralized
|
9
|
|
|
1,507
|
|
|
1,507
|
|
|
8
|
|
|
4,824
|
|
|
4,824
|
|
||||
Unsecured
|
3
|
|
|
173
|
|
|
173
|
|
|
2
|
|
|
499
|
|
|
499
|
|
||||
Asset-based
|
—
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|
17
|
|
|
17
|
|
||||
SBA
|
2
|
|
|
1,313
|
|
|
1,313
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Consumer
|
3
|
|
|
183
|
|
|
183
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total
|
25
|
|
|
$
|
13,736
|
|
|
$
|
13,736
|
|
|
11
|
|
|
$
|
5,340
|
|
|
$
|
5,340
|
|
|
Nine Months Ended September 30, 2014
|
|
Nine Months Ended September 30, 2013
|
||||||||||||||||||
Troubled Debt Restructurings:
|
Number of Loans
|
|
Pre- Modification Outstanding Recorded Investment
|
|
Post-Modification Outstanding Recorded Investment
|
|
Number of Loans
|
|
Pre- Modification Outstanding Recorded Investment
|
|
Post-Modification Outstanding Recorded Investment
|
||||||||||
|
(Dollars In thousands)
|
||||||||||||||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
SBA
|
1
|
|
|
$
|
64
|
|
|
$
|
64
|
|
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Other
|
15
|
|
|
14,352
|
|
|
14,352
|
|
|
12
|
|
|
16,215
|
|
|
16,215
|
|
||||
Real estate construction - Commercial
|
2
|
|
|
4,920
|
|
|
4,920
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Collateralized
|
15
|
|
|
4,853
|
|
|
4,853
|
|
|
7
|
|
|
4,553
|
|
|
4,553
|
|
||||
Unsecured
|
5
|
|
|
211
|
|
|
211
|
|
|
5
|
|
|
502
|
|
|
502
|
|
||||
Asset-based
|
—
|
|
|
—
|
|
|
—
|
|
|
1
|
|
|
2,032
|
|
|
2,032
|
|
||||
SBA
|
2
|
|
|
1,313
|
|
|
1,313
|
|
|
4
|
|
|
137
|
|
|
137
|
|
||||
Consumer
|
4
|
|
|
307
|
|
|
307
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Total
|
44
|
|
|
$
|
26,020
|
|
|
$
|
26,020
|
|
|
29
|
|
|
$
|
23,439
|
|
|
$
|
23,439
|
|
|
Three Months Ended September 30,
|
|
||||||||||||
|
2014
|
|
2013
|
|
||||||||||
Troubled Debt Restructurings
|
Number of
|
|
Recorded
|
|
Number of
|
|
Recorded
|
|
||||||
That Subsequently Defaulted:
|
Loans
|
|
Investment
(1)
|
|
Loans
|
|
Investment
(1)
|
|
||||||
|
(Dollars in thousands)
|
|
||||||||||||
Real estate construction - Commercial
|
1
|
|
|
$
|
1,190
|
|
|
—
|
|
|
$
|
—
|
|
|
Commercial - Unsecured
|
2
|
|
|
37
|
|
|
2
|
|
|
70
|
|
|
||
Total
|
3
|
|
|
$
|
1,227
|
|
(2)
|
2
|
|
|
$
|
70
|
|
(3)
|
(1)
|
The population of defaulted restructured loans for the period indicated includes only those loans restructured during the preceding 12-month period. The table excludes defaulted troubled restructurings in those classes for which the recorded investment was zero at the end of the period.
|
(2)
|
Represents the balance at
September 30, 2014
, and is net of charge-offs of
$0.2 million
.
|
(3)
|
Represents the balance at
September 30, 2013
and there were
no
charge-offs.
|
|
Nine Months Ended September 30,
|
|
||||||||||||
|
2014
|
|
2013
|
|
||||||||||
Troubled Debt Restructurings
|
Number of
|
|
Recorded
|
|
Number of
|
|
Recorded
|
|
||||||
That Subsequently Defaulted:
|
Loans
|
|
Investment
(1)
|
|
Loans
|
|
Investment
(1)
|
|
||||||
|
(Dollars in thousands)
|
|
||||||||||||
Real estate mortgage - Other
|
—
|
|
|
$
|
—
|
|
|
1
|
|
|
$
|
1,327
|
|
|
Real estate construction - Commercial
|
1
|
|
|
1,190
|
|
|
—
|
|
|
—
|
|
|
||
Commercial:
|
|
|
|
|
|
|
|
|
||||||
Collateralized
|
1
|
|
|
22
|
|
|
1
|
|
|
427
|
|
|
||
Unsecured
|
2
|
|
|
37
|
|
|
2
|
|
|
70
|
|
|
||
Consumer
|
1
|
|
|
109
|
|
|
—
|
|
|
—
|
|
|
||
Total
|
5
|
|
|
$
|
1,358
|
|
(2)
|
4
|
|
|
$
|
1,824
|
|
(3)
|
(1)
|
The population of defaulted restructured loans for the period indicated includes only those loans restructured during the preceding 12-month period. The table excludes defaulted troubled restructurings in those classes for which the recorded investment was zero at the end of the period.
|
(2)
|
Represents the balance at
September 30, 2014
, and is net of charge-offs of
$0.2 million
|
(3)
|
Represents the balance at
September 30, 2013
, and is net of charge-offs of
$1.1 million
|
|
September 30, 2014
|
|
December 31, 2013
|
||||
|
(In thousands)
|
||||||
Real estate mortgage
|
$
|
356,151
|
|
|
$
|
412,791
|
|
Real estate construction
|
8,506
|
|
|
12,015
|
|
||
Commercial
|
28,532
|
|
|
3,021
|
|
||
Consumer
|
402
|
|
|
424
|
|
||
Total gross PCI loans
|
393,591
|
|
|
428,251
|
|
||
Less:
|
|
|
|
||||
Discount
|
(42,212
|
)
|
|
(45,455
|
)
|
||
Allowance for loan losses
|
(18,815
|
)
|
|
(21,793
|
)
|
||
Total net PCI loans
|
$
|
332,564
|
|
|
$
|
361,003
|
|
|
Carrying Amount
|
|
Accretable Yield
|
||||
|
(In thousands)
|
||||||
Balance, December 31, 2013
|
$
|
361,003
|
|
|
$
|
(139,568
|
)
|
Addition
|
79,234
|
|
|
(13,728
|
)
|
||
Accretion
|
45,919
|
|
|
45,919
|
|
||
Payments received
|
(151,910
|
)
|
|
—
|
|
||
Decrease in expected cash flows, net
|
—
|
|
|
(12,435
|
)
|
||
Provision for credit losses
|
(1,682
|
)
|
|
—
|
|
||
Balance, September 30, 2014
|
$
|
332,564
|
|
|
$
|
(119,812
|
)
|
|
September 30, 2014
|
|
December 31, 2013
|
||||||||||||||||||||
|
Nonclassified
|
|
Classified
|
|
Total
|
|
Nonclassified
|
|
Classified
|
|
Total
|
||||||||||||
|
(In thousands)
|
||||||||||||||||||||||
Real estate mortgage
|
$
|
180,763
|
|
|
$
|
134,108
|
|
|
$
|
314,871
|
|
|
$
|
216,092
|
|
|
$
|
155,042
|
|
|
$
|
371,134
|
|
Real estate construction
|
1,921
|
|
|
6,282
|
|
|
8,203
|
|
|
4,399
|
|
|
6,028
|
|
|
10,427
|
|
||||||
Commercial
|
232
|
|
|
27,730
|
|
|
27,962
|
|
|
569
|
|
|
405
|
|
|
974
|
|
||||||
Consumer
|
—
|
|
|
343
|
|
|
343
|
|
|
—
|
|
|
261
|
|
|
261
|
|
||||||
Total PCI loans
|
$
|
182,916
|
|
|
$
|
168,463
|
|
|
$
|
351,379
|
|
|
$
|
221,060
|
|
|
$
|
161,736
|
|
|
$
|
382,796
|
|
Property Type:
|
September 30, 2014
|
|
December 31, 2013
|
||||
|
(In thousands)
|
||||||
Commercial real estate
|
$
|
2,559
|
|
|
$
|
15,753
|
|
Construction and land development
|
27,731
|
|
|
35,063
|
|
||
Multi‑family
|
835
|
|
|
835
|
|
||
Single family residence
|
13
|
|
|
186
|
|
||
Total other real estate owned, net
|
31,138
|
|
|
51,837
|
|
||
Other foreclosed assets
|
9,386
|
|
|
4,054
|
|
||
Total foreclosed assets
|
$
|
40,524
|
|
|
$
|
55,891
|
|
|
Foreclosed Assets
|
||
|
(In thousands)
|
||
Balance, December 31, 2013
|
$
|
55,891
|
|
Addition from the CapitalSource Inc. merger
|
6,382
|
|
|
Foreclosures
|
667
|
|
|
Provision for losses
|
(5,065
|
)
|
|
Reductions related to sales
|
(17,351
|
)
|
|
Balance, September 30, 2014
|
$
|
40,524
|
|
|
FDIC Loss Sharing Asset
|
||
|
(In thousands)
|
||
Balance, December 31, 2013
|
$
|
45,524
|
|
FDIC share of additional losses, net of recoveries
|
(4,654
|
)
|
|
Cash paid to the FDIC
|
3,363
|
|
|
Net amortization
|
(21,256
|
)
|
|
Balance, September 30, 2014
|
$
|
22,977
|
|
|
September 30, 2014
|
||||||||||||||||||
|
Affinity Bank
|
|
Los Padres Bank
|
|
Western Commercial Bank
|
|
San Luis Trust Bank
|
|
Total
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
FDIC loss sharing asset
|
$
|
(819
|
)
|
|
$
|
13,283
|
|
|
$
|
1,432
|
|
|
$
|
9,081
|
|
|
$
|
22,977
|
|
True‑up liability
|
N/A
|
|
|
N/A
|
|
|
$
|
1,574
|
|
|
$
|
5,350
|
|
|
$
|
6,924
|
|
||
Non-single family covered assets
|
$
|
142,454
|
|
|
$
|
92,440
|
|
|
$
|
13,746
|
|
|
$
|
30,670
|
|
|
$
|
279,310
|
|
Single family covered assets
|
$
|
12,536
|
|
|
$
|
64,131
|
|
|
N/A
|
|
|
$
|
31,302
|
|
|
$
|
107,969
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loss sharing expiration dates:
|
|
|
|
|
|
|
|
|
|
||||||||||
Non‑single family
|
3rd Quarter 2014
|
|
|
3rd Quarter 2015
|
|
|
4th Quarter 2015
|
|
|
1st Quarter 2016
|
|
|
|
||||||
Single family
|
3rd Quarter 2019
|
|
|
3rd Quarter 2020
|
|
|
N/A
|
|
1st Quarter 2021
|
|
|
|
|||||||
Loss recovery expiration dates:
|
|
|
|
|
|
|
|
|
|
||||||||||
Non‑single family
|
3rd Quarter 2017
|
|
|
3rd Quarter 2018
|
|
|
4th Quarter 2018
|
|
|
1st Quarter 2019
|
|
|
|
||||||
Single family
|
3rd Quarter 2019
|
|
|
3rd Quarter 2020
|
|
|
N/A
|
|
1st Quarter 2021
|
|
|
|
|
September 30, 2014
|
|
December 31, 2013
|
||||||||||
|
Amount
|
|
Rate
|
|
Amount
|
|
Rate
|
||||||
|
(Dollars in thousands)
|
||||||||||||
Non‑recourse debt
|
$
|
3,672
|
|
|
6.26
|
%
|
|
$
|
7,126
|
|
|
6.30
|
%
|
FHLB overnight advances
|
360,000
|
|
|
0.07
|
%
|
|
106,600
|
|
|
0.06
|
%
|
||
Total borrowings
|
$
|
363,672
|
|
|
|
|
$
|
113,726
|
|
|
|
|
September 30, 2014
|
|
December 31, 2013
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
Date
|
|
Maturity
|
|
Rate Index
|
||||||
Series
|
Amount
|
|
Rate
(1)
|
|
Amount
|
|
Rate
(2)
|
|
Issued
|
|
Date
|
|
(Quarterly Reset)
|
||||||
|
(Dollars in thousands)
|
|
|
|
|
|
|
||||||||||||
Trust V
|
$
|
10,310
|
|
|
3.33
|
%
|
|
$
|
10,310
|
|
|
3.34
|
%
|
|
8/15/2003
|
|
9/17/2033
|
|
3 month LIBOR + 3.10
|
Trust VI
|
10,310
|
|
|
3.28
|
%
|
|
10,310
|
|
|
3.29
|
%
|
|
9/3/2003
|
|
9/15/2033
|
|
3 month LIBOR + 3.05
|
||
Trust CII
|
5,155
|
|
|
3.18
|
%
|
|
5,155
|
|
|
3.19
|
%
|
|
9/17/2003
|
|
9/17/2033
|
|
3 month LIBOR + 2.95
|
||
Trust VII
|
61,856
|
|
|
2.99
|
%
|
|
61,856
|
|
|
2.99
|
%
|
|
2/5/2004
|
|
4/23/2034
|
|
3 month LIBOR + 2.75
|
||
Trust CIII
|
20,619
|
|
|
1.92
|
%
|
|
20,619
|
|
|
1.93
|
%
|
|
8/15/2005
|
|
9/15/2035
|
|
3 month LIBOR + 1.69
|
||
Trust FCCI
|
16,495
|
|
|
1.83
|
%
|
|
16,495
|
|
|
1.84
|
%
|
|
1/25/2007
|
|
3/15/2037
|
|
3 month LIBOR + 1.60
|
||
Trust FCBI
|
10,310
|
|
|
1.78
|
%
|
|
10,310
|
|
|
1.79
|
%
|
|
9/30/2005
|
|
12/15/2035
|
|
3 month LIBOR + 1.55
|
||
Trust CS 2005-1
(3)
|
82,475
|
|
|
2.18
|
%
|
|
—
|
|
|
—
|
|
|
11/21/2005
|
|
12/15/2035
|
|
3 month LIBOR + 1.95
|
||
Trust CS 2005-2
(3)
|
128,866
|
|
|
2.19
|
%
|
|
—
|
|
|
—
|
|
|
12/14/2005
|
|
1/30/2036
|
|
3 month LIBOR + 1.95
|
||
Trust CS 2006-1
(3)
|
51,545
|
|
|
2.19
|
%
|
|
—
|
|
|
—
|
|
|
2/22/2006
|
|
4/30/2036
|
|
3 month LIBOR + 1.95
|
||
Trust CS 2006-2
(3)
|
51,550
|
|
|
2.19
|
%
|
|
—
|
|
|
—
|
|
|
9/27/2006
|
|
10/30/2036
|
|
3 month LIBOR + 1.95
|
||
Trust CS 2006-3
(3)
|
32,551
|
|
|
1.29
|
%
|
|
—
|
|
|
—
|
|
|
9/29/2006
|
|
10/30/2036
|
|
3 month EURIBOR + 2.05
|
||
Trust CS 2006-4
(3)
|
16,470
|
|
|
2.19
|
%
|
|
—
|
|
|
—
|
|
|
12/5/2006
|
|
1/30/2037
|
|
3 month LIBOR + 1.95
|
||
Trust CS 2006-5
(3)
|
6,650
|
|
|
2.19
|
%
|
|
—
|
|
|
—
|
|
|
12/19/2006
|
|
1/30/2037
|
|
3 month LIBOR + 1.95
|
||
Trust CS 2007-2
(3)
|
39,177
|
|
|
2.19
|
%
|
|
—
|
|
|
—
|
|
|
6/13/2007
|
|
7/30/2037
|
|
3 month LIBOR + 1.95
|
||
Gross subordinated debentures
|
544,339
|
|
|
|
|
135,055
|
|
|
|
|
|
|
|
|
|
||||
Unamortized discount
(4)
|
(110,794
|
)
|
|
|
|
(2,410
|
)
|
|
|
|
|
|
|
|
|
||||
Net subordinated debentures
|
$
|
433,545
|
|
|
|
|
$
|
132,645
|
|
|
|
|
|
|
|
|
|
(1)
|
As of September 30, 2014.
|
(2)
|
As of January 28, 2014.
|
(3)
|
Acquired in the CapitalSource Inc. merger.
|
(4)
|
Amount represents the fair value adjustment on trust preferred securities assumed in the CapitalSource Inc. and FCAL acquisitions.
|
|
September 30, 2014
|
|
December 31, 2013
|
||||
|
(In thousands)
|
||||||
Loan commitments to extend credit
|
$
|
1,818,694
|
|
|
$
|
1,001,740
|
|
Standby letters of credit
|
82,207
|
|
|
39,200
|
|
||
Commitments to purchase equipment being acquired for lease to others
|
6,199
|
|
|
8,475
|
|
||
|
$
|
1,907,100
|
|
|
$
|
1,049,415
|
|
|
|
Fair Value Measurements as of
|
||||||||||||||
|
|
September 30, 2014
|
||||||||||||||
Measured on a Recurring Basis:
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||
|
|
(In thousands)
|
||||||||||||||
Securities available‑for‑sale:
|
|
|
|
|
|
|
|
|
||||||||
Government agency and government‑sponsored enterprise
|
|
|
|
|
|
|
|
|
||||||||
pass through securities
|
|
$
|
555,087
|
|
|
$
|
—
|
|
|
$
|
555,087
|
|
|
$
|
—
|
|
Government agency and government‑sponsored enterprise
|
|
|
|
|
|
|
|
|
||||||||
collateralized mortgage obligations
|
|
279,791
|
|
|
—
|
|
|
279,791
|
|
|
—
|
|
||||
Covered private label CMOs
|
|
35,309
|
|
|
—
|
|
|
—
|
|
|
35,309
|
|
||||
Other private label CMOs
|
|
12,593
|
|
|
—
|
|
|
12,593
|
|
|
—
|
|
||||
Municipal securities
|
|
482,427
|
|
|
—
|
|
|
482,427
|
|
|
—
|
|
||||
Corporate debt securities
|
|
112,143
|
|
|
—
|
|
|
112,143
|
|
|
—
|
|
||||
Government‑sponsored enterprise debt securities
|
|
36,382
|
|
|
—
|
|
|
36,382
|
|
|
—
|
|
||||
Other securities
|
|
25,949
|
|
|
514
|
|
|
25,435
|
|
|
—
|
|
||||
Total
|
|
$
|
1,539,681
|
|
|
$
|
514
|
|
|
$
|
1,503,858
|
|
|
$
|
35,309
|
|
|
|
Covered Private Label CMOs
|
||
Unobservable Inputs:
|
|
Range of Inputs
|
|
Weighted Average Input
|
Voluntary annual prepayment speeds
|
0% - 34.2%
|
|
10.2%
|
|
Annual default rates
|
0% - 9.7%
|
|
3.2%
|
|
Loss severity rates
|
0% - 65.2%
|
|
40.9%
|
|
Discount rates
|
0% - 7.1%
|
|
4.9%
|
|
|
Covered Private Label CMOs (Level 3)
|
||
|
|
(In thousands)
|
||
Balance, December 31, 2013
|
|
$
|
37,904
|
|
Total realized in earnings
|
|
862
|
|
|
Total unrealized gain in comprehensive income
|
|
76
|
|
|
Net settlements
|
|
(3,533
|
)
|
|
Balance, September 30, 2014
|
|
$
|
35,309
|
|
|
Fair Value Measurement as of
|
|
Gain (Loss)
|
||||||||||||||||||||
|
September 30, 2014
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||||
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
September 30, 2014
|
||||||||||||||
Measured on a Non‑Recurring Basis:
|
(In thousands)
|
||||||||||||||||||||||
Impaired Non‑PCI loans
|
$
|
42,728
|
|
|
$
|
—
|
|
|
$
|
2,366
|
|
|
$
|
40,362
|
|
|
$
|
(1,374
|
)
|
|
$
|
(10,205
|
)
|
Other real estate owned
|
28,011
|
|
|
—
|
|
|
26,352
|
|
|
1,659
|
|
|
(4,863
|
)
|
|
(4,863
|
)
|
||||||
Total non-recurring
|
$
|
70,739
|
|
|
$
|
—
|
|
|
$
|
28,718
|
|
|
$
|
42,021
|
|
|
$
|
(6,237
|
)
|
|
$
|
(15,068
|
)
|
Asset
|
Fair Value
(In thousands)
|
|
Valuation Technique
|
|
Unobservable Inputs
|
|
Range
|
|
Weighted
Average
|
||
Impaired Non-PCI loans
|
$
|
36,306
|
|
|
Discounted cash flows
|
|
Discount rates
|
|
0% - 10.46%
|
|
6.87%
|
|
$
|
4,056
|
|
|
Appraisals
|
|
No discounts
|
|
|
|
|
OREO
|
$
|
1,659
|
|
|
Appraisals
|
|
Discount, including selling costs
|
|
11.19% - 62.61%
|
|
39.98%
|
|
September 30, 2014
|
||||||||||||||||||
|
Carrying or
Contract
|
|
Estimated Fair Value
|
||||||||||||||||
|
Amount
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||||
|
(
In thousands
)
|
||||||||||||||||||
Financial Assets:
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and due from banks
|
$
|
145,463
|
|
|
$
|
145,463
|
|
|
$
|
145,463
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Interest‑earning deposits in financial institutions
|
115,399
|
|
|
115,399
|
|
|
115,399
|
|
|
—
|
|
|
—
|
|
|||||
Securities available‑for‑sale
|
1,539,681
|
|
|
1,539,681
|
|
|
514
|
|
|
1,503,858
|
|
|
35,309
|
|
|||||
Investment in FHLB stock
|
45,602
|
|
|
45,602
|
|
|
—
|
|
|
45,602
|
|
|
—
|
|
|||||
Loans and leases, net
|
11,492,986
|
|
|
11,396,792
|
|
|
—
|
|
|
2,366
|
|
|
11,394,426
|
|
|||||
|
|
|
|
|
|
|
|
|
|
||||||||||
Financial Liabilities:
|
|
|
|
|
|
|
|
|
|
||||||||||
Deposits:
|
|
|
|
|
|
|
|
|
|
||||||||||
Demand, money market, interest checking,
|
|
|
|
|
|
|
|
|
|
||||||||||
and savings deposits
|
6,006,958
|
|
|
6,006,958
|
|
|
—
|
|
|
6,006,958
|
|
|
—
|
|
|||||
Time deposits
|
5,516,479
|
|
|
5,524,373
|
|
|
—
|
|
|
5,524,373
|
|
|
—
|
|
|||||
Borrowings
|
363,672
|
|
|
363,804
|
|
|
360,000
|
|
|
3,804
|
|
|
—
|
|
|||||
Subordinated debentures
|
433,545
|
|
|
417,349
|
|
|
—
|
|
|
417,349
|
|
|
—
|
|
|
December 31, 2013
|
||||||||||||||||||
|
Carrying or
Contract
|
|
Estimated Fair Value
|
||||||||||||||||
|
Amount
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||||||
|
(
In thousands
)
|
||||||||||||||||||
Financial Assets:
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and due from banks
|
$
|
96,424
|
|
|
$
|
96,424
|
|
|
$
|
96,424
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Interest‑earning deposits in financial institutions
|
50,998
|
|
|
50,998
|
|
|
50,998
|
|
|
—
|
|
|
—
|
|
|||||
Securities available‑for‑sale
|
1,494,745
|
|
|
1,494,745
|
|
|
507
|
|
|
1,456,334
|
|
|
37,904
|
|
|||||
Investment in FHLB stock
|
27,939
|
|
|
27,939
|
|
|
—
|
|
|
27,939
|
|
|
—
|
|
|||||
Loans and leases, net
|
4,230,318
|
|
|
4,231,078
|
|
|
—
|
|
|
2,051
|
|
|
4,229,027
|
|
|||||
SBA loan servicing asset
|
807
|
|
|
807
|
|
|
—
|
|
|
—
|
|
|
807
|
|
|||||
Financial Liabilities:
|
|
|
|
|
|
|
|
|
|
||||||||||
Deposits:
|
|
|
|
|
|
|
|
|
|
||||||||||
Demand, money market, interest checking,
|
|
|
|
|
|
|
|
|
|
||||||||||
and savings deposits
|
4,616,616
|
|
|
4,616,616
|
|
|
—
|
|
|
4,616,616
|
|
|
—
|
|
|||||
Time deposits
|
664,371
|
|
|
665,148
|
|
|
—
|
|
|
665,148
|
|
|
—
|
|
|||||
Borrowings
|
113,726
|
|
|
113,726
|
|
|
106,600
|
|
|
7,126
|
|
|
—
|
|
|||||
Subordinated debentures
|
132,645
|
|
|
132,498
|
|
|
—
|
|
|
132,498
|
|
|
—
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(Dollars in thousands, except per share data)
|
||||||||||||||||||
Basic earnings per share:
|
|
|
|
|
|
|
|
|
|
||||||||||
Net earnings from continuing operations
|
$
|
62,276
|
|
|
$
|
11,230
|
|
|
$
|
24,140
|
|
|
$
|
99,411
|
|
|
$
|
42,030
|
|
Less: earnings allocated to unvested restricted stock
(1)
|
(685
|
)
|
|
(290
|
)
|
|
(786
|
)
|
|
(1,147
|
)
|
|
(1,137
|
)
|
|||||
Net earnings from continuing operations allocated to common shares
|
61,591
|
|
|
10,940
|
|
|
23,354
|
|
|
98,264
|
|
|
40,893
|
|
|||||
Net (loss) earnings from discontinued operations allocated to common shares
|
—
|
|
|
(675
|
)
|
|
23
|
|
|
(1,487
|
)
|
|
(24
|
)
|
|||||
Net earnings allocated to common shares
|
$
|
61,591
|
|
|
$
|
10,265
|
|
|
$
|
23,377
|
|
|
$
|
96,777
|
|
|
$
|
40,869
|
|
Weighted-average basic shares and unvested restricted stock outstanding
|
103,029
|
|
|
98,817
|
|
|
46,091
|
|
|
82,758
|
|
|
41,306
|
|
|||||
Less: weighted-average unvested restricted stock outstanding
|
(1,117
|
)
|
|
(678
|
)
|
|
(1,795
|
)
|
|
(981
|
)
|
|
(1,663
|
)
|
|||||
Weighted-average basic shares outstanding
|
101,912
|
|
|
98,139
|
|
|
44,296
|
|
|
81,777
|
|
|
39,643
|
|
|||||
Basic earnings per share:
|
|
|
|
|
|
|
|
|
|
||||||||||
Net earnings from continuing operations
|
$
|
0.60
|
|
|
$
|
0.11
|
|
|
$
|
0.53
|
|
|
$
|
1.20
|
|
|
$
|
1.03
|
|
Net loss from discontinued operations
|
—
|
|
|
(0.01
|
)
|
|
—
|
|
|
(0.02
|
)
|
|
—
|
|
|||||
Net earnings
|
$
|
0.60
|
|
|
$
|
0.10
|
|
|
$
|
0.53
|
|
|
$
|
1.18
|
|
|
$
|
1.03
|
|
Diluted earnings per share:
|
|
|
|
|
|
|
|
|
|
||||||||||
Net earnings from continuing operations allocated to common shares
|
$
|
61,591
|
|
|
$
|
10,940
|
|
|
$
|
23,354
|
|
|
$
|
98,264
|
|
|
$
|
40,893
|
|
Net (loss) earnings from discontinued operations allocated to common shares
|
—
|
|
|
(675
|
)
|
|
23
|
|
|
(1,487
|
)
|
|
(24
|
)
|
|||||
Net earnings allocated to common shares
|
$
|
61,591
|
|
|
$
|
10,265
|
|
|
$
|
23,377
|
|
|
$
|
96,777
|
|
|
$
|
40,869
|
|
Weighted-average basic shares outstanding
|
101,912
|
|
|
98,139
|
|
|
44,296
|
|
|
81,777
|
|
|
39,643
|
|
|||||
Diluted earnings per share:
|
|
|
|
|
|
|
|
|
|
||||||||||
Net earnings from continuing operations
|
$
|
0.60
|
|
|
$
|
0.11
|
|
|
$
|
0.53
|
|
|
$
|
1.20
|
|
|
$
|
1.03
|
|
Net loss from discontinued operations
|
—
|
|
|
(0.01
|
)
|
|
—
|
|
|
(0.02
|
)
|
|
—
|
|
|||||
Net earnings
|
$
|
0.60
|
|
|
$
|
0.10
|
|
|
$
|
0.53
|
|
|
$
|
1.18
|
|
|
$
|
1.03
|
|
(1)
|
Represents cash dividends paid to holders of unvested restricted stock, net of estimated forfeitures, plus undistributed earnings amounts available to holders of unvested restricted stock, if any.
|
|
September 30, 2014
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Balance Sheet Data:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Loans and leases, net of unearned income
|
$
|
3,482,125
|
|
|
$
|
8,064,868
|
|
|
$
|
27,892
|
|
|
$
|
11,574,885
|
|
Allowance for loan and lease losses
|
(56,712
|
)
|
|
(25,187
|
)
|
|
—
|
|
|
(81,899
|
)
|
||||
Total loans and leases, net
|
$
|
3,425,413
|
|
|
$
|
8,039,681
|
|
|
$
|
27,892
|
|
|
$
|
11,492,986
|
|
Goodwill
|
$
|
327,728
|
|
|
$
|
1,394,401
|
|
|
$
|
—
|
|
|
$
|
1,722,129
|
|
Core deposit and customer relationship intangibles, net
|
17,814
|
|
|
1,009
|
|
|
—
|
|
|
18,823
|
|
||||
Total assets
|
6,492,869
|
|
|
9,182,617
|
|
|
262,859
|
|
|
15,938,345
|
|
||||
Total deposits
(1)
|
11,826,681
|
|
|
—
|
|
|
(303,244
|
)
|
|
11,523,437
|
|
(1)
|
The negative balance for total deposits in the “Other” segment represents the elimination of holding company cash held in deposit accounts at the Bank.
|
|
September 30, 2013
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Balance Sheet Data:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Loans and leases, net of unearned income
|
$
|
3,912,885
|
|
|
$
|
470,508
|
|
|
$
|
—
|
|
|
$
|
4,383,393
|
|
Allowance for loan and lease losses
|
(76,496
|
)
|
|
(7,290
|
)
|
|
—
|
|
|
(83,786
|
)
|
||||
Total loans and leases, net
|
$
|
3,836,389
|
|
|
$
|
463,218
|
|
|
$
|
—
|
|
|
$
|
4,299,607
|
|
Goodwill
|
$
|
190,184
|
|
|
$
|
25,678
|
|
|
$
|
—
|
|
|
$
|
215,862
|
|
Core deposit and customer relationship intangibles, net
|
16,604
|
|
|
2,074
|
|
|
—
|
|
|
18,678
|
|
||||
Total assets
|
6,100,587
|
|
|
507,339
|
|
|
8,929
|
|
|
6,616,855
|
|
||||
Total deposits
(1)
|
5,467,568
|
|
|
—
|
|
|
(34,424
|
)
|
|
5,433,144
|
|
(1)
|
The negative balance for total deposits in the “Other” segment represents the elimination of holding company cash held in deposit accounts at the Bank.
|
|
Three Months Ended September 30, 2014
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
67,132
|
|
|
$
|
134,624
|
|
|
$
|
600
|
|
|
$
|
202,356
|
|
Interest expense
|
(8,851
|
)
|
|
(45
|
)
|
|
(4,614
|
)
|
|
(13,510
|
)
|
||||
Intersegment interest income (expense)
|
5,250
|
|
|
(5,250
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income (expense)
|
63,531
|
|
|
129,329
|
|
|
(4,014
|
)
|
|
188,846
|
|
||||
Negative provision (provision) for credit losses
|
6,314
|
|
|
(11,364
|
)
|
|
—
|
|
|
(5,050
|
)
|
||||
Gain on securities
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
FDIC loss sharing expense
|
(7,415
|
)
|
|
—
|
|
|
—
|
|
|
(7,415
|
)
|
||||
Other noninterest income
|
7,566
|
|
|
9,953
|
|
|
6,210
|
|
|
23,729
|
|
||||
Total noninterest income
|
151
|
|
|
9,953
|
|
|
6,210
|
|
|
16,314
|
|
||||
Foreclosed assets (expense) income, net
|
(4,627
|
)
|
|
(322
|
)
|
|
122
|
|
|
(4,827
|
)
|
||||
Intangible asset amortization
|
(1,517
|
)
|
|
(91
|
)
|
|
—
|
|
|
(1,608
|
)
|
||||
Acquisition, integration and reorganization costs
|
(3,953
|
)
|
|
(1,240
|
)
|
|
—
|
|
|
(5,193
|
)
|
||||
Other noninterest expense
|
(53,784
|
)
|
|
(24,835
|
)
|
|
(5,382
|
)
|
|
(84,001
|
)
|
||||
Total noninterest expense
|
(63,881
|
)
|
|
(26,488
|
)
|
|
(5,260
|
)
|
|
(95,629
|
)
|
||||
Intersegment noninterest income (expense)
|
26,411
|
|
|
(26,411
|
)
|
|
—
|
|
|
—
|
|
||||
Total noninterest expense - adjusted
|
(37,470
|
)
|
|
(52,899
|
)
|
|
(5,260
|
)
|
|
(95,629
|
)
|
||||
Earnings (loss) from continuing operations before taxes
|
32,526
|
|
|
75,019
|
|
|
(3,064
|
)
|
|
104,481
|
|
||||
Income tax (expense) benefit
|
(13,870
|
)
|
|
(30,113
|
)
|
|
1,778
|
|
|
(42,205
|
)
|
||||
Net earnings (loss) from continuing operations
|
18,656
|
|
|
44,906
|
|
|
(1,286
|
)
|
|
62,276
|
|
||||
Loss from discontinued operations before taxes
|
(8
|
)
|
|
—
|
|
|
—
|
|
|
(8
|
)
|
||||
Income tax benefit
|
3
|
|
|
—
|
|
|
—
|
|
|
3
|
|
||||
Net loss from discontinued operations
|
(5
|
)
|
|
—
|
|
|
—
|
|
|
(5
|
)
|
||||
Net earnings (loss)
|
$
|
18,651
|
|
|
$
|
44,906
|
|
|
$
|
(1,286
|
)
|
|
$
|
62,271
|
|
|
Three Months Ended June 30, 2014
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
69,977
|
|
|
$
|
132,742
|
|
|
$
|
1,644
|
|
|
$
|
204,363
|
|
Interest expense
|
(7,450
|
)
|
|
(62
|
)
|
|
(4,318
|
)
|
|
(11,830
|
)
|
||||
Intersegment interest income (expense)
|
4,071
|
|
|
(4,071
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income
|
66,598
|
|
|
128,609
|
|
|
(2,674
|
)
|
|
192,533
|
|
||||
Negative provision (provision) for credit losses
|
4,418
|
|
|
(9,448
|
)
|
|
—
|
|
|
(5,030
|
)
|
||||
Gain on securities
|
89
|
|
|
—
|
|
|
—
|
|
|
89
|
|
||||
FDIC loss sharing expense
|
(8,525
|
)
|
|
—
|
|
|
—
|
|
|
(8,525
|
)
|
||||
Other noninterest income
|
3,681
|
|
|
12,487
|
|
|
747
|
|
|
16,915
|
|
||||
Total noninterest income
|
(4,755
|
)
|
|
12,487
|
|
|
747
|
|
|
8,479
|
|
||||
Foreclosed assets (expense) income, net
|
(633
|
)
|
|
38
|
|
|
98
|
|
|
(497
|
)
|
||||
Intangible asset amortization
|
(1,530
|
)
|
|
(147
|
)
|
|
—
|
|
|
(1,677
|
)
|
||||
Acquisition, integration and reorganization costs
|
(77,713
|
)
|
|
(7,474
|
)
|
|
(1,055
|
)
|
|
(86,242
|
)
|
||||
Other noninterest expense
|
(51,507
|
)
|
|
(24,484
|
)
|
|
(5,499
|
)
|
|
(81,490
|
)
|
||||
Total noninterest expense
|
(131,383
|
)
|
|
(32,067
|
)
|
|
(6,456
|
)
|
|
(169,906
|
)
|
||||
Intersegment noninterest income (expense)
|
23,533
|
|
|
(23,533
|
)
|
|
—
|
|
|
—
|
|
||||
Total noninterest expense - adjusted
|
(107,850
|
)
|
|
(55,600
|
)
|
|
(6,456
|
)
|
|
(169,906
|
)
|
||||
(Loss) earnings from continuing operations before taxes
|
(41,589
|
)
|
|
76,048
|
|
|
(8,383
|
)
|
|
26,076
|
|
||||
Income tax benefit (expense)
|
12,081
|
|
|
(30,259
|
)
|
|
3,332
|
|
|
(14,846
|
)
|
||||
Net (loss) earnings from continuing operations
|
(29,508
|
)
|
|
45,789
|
|
|
(5,051
|
)
|
|
11,230
|
|
||||
Loss from discontinued operations before taxes
|
(1,151
|
)
|
|
—
|
|
|
—
|
|
|
(1,151
|
)
|
||||
Income tax benefit
|
476
|
|
|
—
|
|
|
—
|
|
|
476
|
|
||||
Net loss from discontinued operations
|
(675
|
)
|
|
—
|
|
|
—
|
|
|
(675
|
)
|
||||
Net (loss) earnings
|
$
|
(30,183
|
)
|
|
$
|
45,789
|
|
|
$
|
(5,051
|
)
|
|
$
|
10,555
|
|
|
Three Months Ended September 30, 2013
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
72,873
|
|
|
$
|
12,285
|
|
|
$
|
—
|
|
|
$
|
85,158
|
|
Interest expense
|
(1,692
|
)
|
|
(108
|
)
|
|
(1,069
|
)
|
|
(2,869
|
)
|
||||
Intersegment interest income (expense)
|
353
|
|
|
(353
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income
|
71,534
|
|
|
11,824
|
|
|
(1,069
|
)
|
|
82,289
|
|
||||
Negative provision (provision) for credit losses
|
5,782
|
|
|
(1,615
|
)
|
|
—
|
|
|
4,167
|
|
||||
FDIC loss sharing expense
|
(7,032
|
)
|
|
—
|
|
|
—
|
|
|
(7,032
|
)
|
||||
Other noninterest income
|
5,466
|
|
|
1,443
|
|
|
5,250
|
|
|
12,159
|
|
||||
Total noninterest income
|
(1,566
|
)
|
|
1,443
|
|
|
5,250
|
|
|
5,127
|
|
||||
Foreclosed assets income, net
|
420
|
|
|
—
|
|
|
—
|
|
|
420
|
|
||||
Intangible asset amortization
|
(1,354
|
)
|
|
(158
|
)
|
|
—
|
|
|
(1,512
|
)
|
||||
Acquisition, integration and reorganization costs
|
(5,190
|
)
|
|
—
|
|
|
(260
|
)
|
|
(5,450
|
)
|
||||
Other noninterest expense
|
(42,435
|
)
|
|
(5,822
|
)
|
|
(1,401
|
)
|
|
(49,658
|
)
|
||||
Total noninterest expense
|
(48,559
|
)
|
|
(5,980
|
)
|
|
(1,661
|
)
|
|
(56,200
|
)
|
||||
Earnings (loss) from continuing operations before taxes
|
27,191
|
|
|
5,672
|
|
|
2,520
|
|
|
35,383
|
|
||||
Income tax (expense) benefit
|
(9,996
|
)
|
|
(2,378
|
)
|
|
1,131
|
|
|
(11,243
|
)
|
||||
Net earnings (loss) from continuing operations
|
17,195
|
|
|
3,294
|
|
|
3,651
|
|
|
24,140
|
|
||||
Earnings from discontinued operations before taxes
|
39
|
|
|
—
|
|
|
—
|
|
|
39
|
|
||||
Income tax expense
|
(16
|
)
|
|
—
|
|
|
—
|
|
|
(16
|
)
|
||||
Net earnings from discontinued operations
|
23
|
|
|
—
|
|
|
—
|
|
|
23
|
|
||||
Net earnings
|
$
|
17,218
|
|
|
$
|
3,294
|
|
|
$
|
3,651
|
|
|
$
|
24,163
|
|
|
Nine Months Ended September 30, 2014
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
214,704
|
|
|
$
|
278,131
|
|
|
$
|
2,244
|
|
|
$
|
495,079
|
|
Interest expense
|
(17,528
|
)
|
|
(184
|
)
|
|
(9,973
|
)
|
|
(27,685
|
)
|
||||
Intersegment interest income (expense)
|
9,543
|
|
|
(9,543
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income (expense)
|
206,719
|
|
|
268,404
|
|
|
(7,729
|
)
|
|
467,394
|
|
||||
Negative provision (provision) for credit losses
|
11,558
|
|
|
(20,994
|
)
|
|
—
|
|
|
(9,436
|
)
|
||||
Gain on securities
|
4,841
|
|
|
—
|
|
|
—
|
|
|
4,841
|
|
||||
FDIC loss sharing expense
|
(27,370
|
)
|
|
—
|
|
|
—
|
|
|
(27,370
|
)
|
||||
Other noninterest income
|
18,144
|
|
|
26,885
|
|
|
6,984
|
|
|
52,013
|
|
||||
Total noninterest income
|
(4,385
|
)
|
|
26,885
|
|
|
6,984
|
|
|
29,484
|
|
||||
Foreclosed assets (expense) income, net
|
(3,399
|
)
|
|
(284
|
)
|
|
220
|
|
|
(3,463
|
)
|
||||
Intangible asset amortization
|
(4,238
|
)
|
|
(411
|
)
|
|
—
|
|
|
(4,649
|
)
|
||||
Acquisition, integration and reorganization costs
|
(83,866
|
)
|
|
(8,714
|
)
|
|
(1,055
|
)
|
|
(93,635
|
)
|
||||
Other noninterest expense
|
(146,281
|
)
|
|
(55,892
|
)
|
|
(12,484
|
)
|
|
(214,657
|
)
|
||||
Total noninterest expense
|
(237,784
|
)
|
|
(65,301
|
)
|
|
(13,319
|
)
|
|
(316,404
|
)
|
||||
Intersegment noninterest income (expense)
|
49,944
|
|
|
(49,944
|
)
|
|
—
|
|
|
—
|
|
||||
Total noninterest expense - adjusted
|
(187,840
|
)
|
|
(115,245
|
)
|
|
(13,319
|
)
|
|
(316,404
|
)
|
||||
Earnings from continuing operations before taxes
|
26,052
|
|
|
159,050
|
|
|
(14,064
|
)
|
|
171,038
|
|
||||
Income tax (expense) benefit
|
(14,123
|
)
|
|
(63,703
|
)
|
|
6,199
|
|
|
(71,627
|
)
|
||||
Net earnings (loss) from continuing operations
|
11,929
|
|
|
95,347
|
|
|
(7,865
|
)
|
|
99,411
|
|
||||
Loss from discontinued operations before taxes
|
(2,572
|
)
|
|
—
|
|
|
—
|
|
|
(2,572
|
)
|
||||
Income tax benefit
|
1,067
|
|
|
—
|
|
|
—
|
|
|
1,067
|
|
||||
Net loss from discontinued operations
|
(1,505
|
)
|
|
—
|
|
|
—
|
|
|
(1,505
|
)
|
||||
Net earnings (loss)
|
$
|
10,424
|
|
|
$
|
95,347
|
|
|
$
|
(7,865
|
)
|
|
$
|
97,906
|
|
|
Nine Months Ended September 30, 2013
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
189,101
|
|
|
$
|
36,957
|
|
|
$
|
—
|
|
|
$
|
226,058
|
|
Interest expense
|
(6,422
|
)
|
|
(447
|
)
|
|
(2,734
|
)
|
|
(9,603
|
)
|
||||
Intersegment interest income (expense)
|
1,284
|
|
|
(1,284
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income
|
183,963
|
|
|
35,226
|
|
|
(2,734
|
)
|
|
216,455
|
|
||||
Negative provision (provision) for credit losses
|
6,053
|
|
|
(3,181
|
)
|
|
—
|
|
|
2,872
|
|
||||
Gain on securities
|
5,631
|
|
|
—
|
|
|
—
|
|
|
5,631
|
|
||||
FDIC loss sharing expense
|
(15,579
|
)
|
|
—
|
|
|
—
|
|
|
(15,579
|
)
|
||||
Other noninterest income
|
10,240
|
|
|
2,579
|
|
|
5,299
|
|
|
18,118
|
|
||||
Total noninterest income
|
292
|
|
|
2,579
|
|
|
5,299
|
|
|
8,170
|
|
||||
Foreclosed assets income, net
|
934
|
|
|
—
|
|
|
—
|
|
|
934
|
|
||||
Intangible asset amortization
|
(3,474
|
)
|
|
(498
|
)
|
|
—
|
|
|
(3,972
|
)
|
||||
Acquisition, integration and reorganization costs
|
(23,879
|
)
|
|
—
|
|
|
(260
|
)
|
|
(24,139
|
)
|
||||
Other noninterest expense
|
(115,352
|
)
|
|
(17,855
|
)
|
|
(4,215
|
)
|
|
(137,422
|
)
|
||||
Total noninterest expense
|
(141,771
|
)
|
|
(18,353
|
)
|
|
(4,475
|
)
|
|
(164,599
|
)
|
||||
Earnings (loss) from continuing operations before taxes
|
48,537
|
|
|
16,271
|
|
|
(1,910
|
)
|
|
62,898
|
|
||||
Income tax (expense) benefit
|
(17,038
|
)
|
|
(6,814
|
)
|
|
2,984
|
|
|
(20,868
|
)
|
||||
Net earnings from continuing operations
|
31,499
|
|
|
9,457
|
|
|
1,074
|
|
|
42,030
|
|
||||
Loss from discontinued operations before taxes
|
(42
|
)
|
|
—
|
|
|
—
|
|
|
(42
|
)
|
||||
Income tax benefit
|
18
|
|
|
—
|
|
|
—
|
|
|
18
|
|
||||
Net loss from discontinued operations
|
(24
|
)
|
|
—
|
|
|
—
|
|
|
(24
|
)
|
||||
Net earnings
|
$
|
31,475
|
|
|
$
|
9,457
|
|
|
$
|
1,074
|
|
|
$
|
42,006
|
|
•
|
change in interest rates and lending spreads;
|
•
|
compression of spreads on newly originated loans;
|
•
|
unfavorable changes in asset mix;
|
•
|
changes in our loan product could further compress net interest margin;
|
•
|
changes in economic or competitive market conditions could negatively impact investment or lending opportunities or product pricing and services;
|
•
|
higher than anticipated loan losses;
|
•
|
credit quality deterioration or pronounced and sustained reduction in market values or other economic factors which adversely affect our borrowers' ability to repay loans and leases;
|
•
|
continued or worsening credit losses or charge-offs;
|
•
|
higher than anticipated delinquencies and reserves;
|
•
|
a change in the interest rate environment reduces interest margins;
|
•
|
asset/liability repricing risks and liquidity risks reduces interest margins and the value of investments;
|
•
|
our inability to grow deposits and access wholesale funding sources;
|
•
|
legislative or regulatory requirements or changes adversely affecting the Company’s business, including an increase to capital requirements;
|
•
|
loan repayments higher than expected;
|
•
|
reduced demand for our services due to strategic or regulatory reasons;
|
•
|
the success and timing of other business strategies and asset sales;
|
•
|
lower than expected taxable income which adversely affects the value of deferred tax assets;
|
•
|
lower than expected dividends paid from Pacific Western Bank to the holding company;
|
•
|
changes in tax laws or regulations affecting our business;
|
•
|
our inability to generate sufficient earnings;
|
•
|
tax planning or disallowance of tax benefits by tax authorities;
|
•
|
changes in tax filing jurisdictions or entity classifications;
|
•
|
changes in the forward yield curve;
|
•
|
changes in the relationship between yields on investments and loans repaid and yields on assets reinvested; and
|
•
|
other risk factors described in our audited consolidated financial statements, and other risk factors described in this Form 10-Q and documents filed by PacWest with the U.S. Securities and Exchange Commission (“SEC”).
|
Three Months Ended
|
|
Base
Efficiency
Ratio
|
|
Adjusted
Efficiency
Ratio
|
September 30, 2014
|
|
46.6%
|
|
43.4%
|
June 30, 2014
|
|
84.5%
|
|
43.1%
|
March 31, 2014
|
|
56.1%
|
|
52.7%
|
December 31, 2013
|
|
85.5%
|
|
56.7%
|
September 30, 2013
|
|
64.3%
|
|
57.3%
|
•
|
Adjusted net earnings:
As analysts and investors view this measure as an indicator of the Company's ability to both generate earnings and absorb credit losses, we disclose this amount in addition to net earnings.
|
•
|
Adjusted return on average assets, adjusted return on average equity, return on average tangible equity, adjusted return on average tangible equity, tangible common equity amounts and ratios, and tangible book value per share:
Given that the use of these measures is prevalent among banking regulators, investors and analysts, we disclose them in addition to return on average assets, return on average equity, equity-to-assets ratio, and book value per share, respectively.
|
•
|
Adjusted efficiency ratio:
We disclose this measure in addition to the efficiency ratio as it shows the trend in recurring overhead-related noninterest expense relative to recurring net revenues.
|
•
|
Adjusted allowance for credit losses to loans and leases:
As the allowance for credit losses takes into consideration credit deterioration on acquired loans and leases only after the purchase date and an estimate of credit losses is included in their initial fair values, we disclose the adjusted allowance for credit losses to loans and leases in addition to the allowance for credit losses to loans and leases. The adjusted allowance for credit losses to loans and leases excludes acquired loans and leases and the related allowance.
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
Adjusted Net Earnings and Related Ratios:
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Reported net earnings
|
$
|
62,271
|
|
|
$
|
10,555
|
|
|
$
|
24,163
|
|
|
$
|
97,906
|
|
|
$
|
42,006
|
|
Subtract: Tax benefit on discontinued operations
|
(3
|
)
|
|
(476
|
)
|
|
16
|
|
|
(1,067
|
)
|
|
(18
|
)
|
|||||
Add: Tax expense on continuing operations
|
42,205
|
|
|
14,846
|
|
|
11,243
|
|
|
71,627
|
|
|
20,868
|
|
|||||
Reported pre-tax earnings
|
104,473
|
|
|
24,925
|
|
|
35,422
|
|
|
168,466
|
|
|
62,856
|
|
|||||
Add: Acquisition, integration and reorganization
|
|
|
|
|
|
|
|
|
|
||||||||||
costs
|
5,193
|
|
|
86,242
|
|
|
5,450
|
|
|
93,635
|
|
|
24,139
|
|
|||||
Subtract: FDIC loss sharing expense, net
|
(7,415
|
)
|
|
(8,525
|
)
|
|
(7,032
|
)
|
|
(27,370
|
)
|
|
(15,579
|
)
|
|||||
(Loss) gain on sale of loans and leases
|
973
|
|
|
(485
|
)
|
|
604
|
|
|
594
|
|
|
1,108
|
|
|||||
Gain on securities
|
—
|
|
|
89
|
|
|
5,222
|
|
|
4,841
|
|
|
5,631
|
|
|||||
Covered foreclosed assets (expense) income, net
|
(452
|
)
|
|
185
|
|
|
332
|
|
|
1,348
|
|
|
1,239
|
|
|||||
Gain on sale of owned office building
|
—
|
|
|
—
|
|
|
—
|
|
|
1,570
|
|
|
—
|
|
|||||
Adjusted pre-tax earnings before accelerated
|
|
|
|
|
|
|
|
|
|
||||||||||
discount accretion
|
116,560
|
|
|
119,903
|
|
|
41,746
|
|
|
281,118
|
|
|
94,596
|
|
|||||
Subtract: Accelerated discount accretion resulting
|
|
|
|
|
|
|
|
|
|
||||||||||
from payoffs of acquired loans
|
4,501
|
|
|
15,290
|
|
|
2,105
|
|
|
27,446
|
|
|
2,959
|
|
|||||
Adjusted pre-tax earnings
|
112,059
|
|
|
104,613
|
|
|
39,641
|
|
|
253,672
|
|
|
91,637
|
|
|||||
Tax expense
(1)
|
(43,703
|
)
|
|
(40,799
|
)
|
|
(13,874
|
)
|
|
(98,932
|
)
|
|
(32,073
|
)
|
|||||
Adjusted net earnings
|
$
|
68,356
|
|
|
$
|
63,814
|
|
|
$
|
25,767
|
|
|
$
|
154,740
|
|
|
$
|
59,564
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Average assets
|
$
|
15,716,539
|
|
|
$
|
15,037,101
|
|
|
$
|
6,660,854
|
|
|
$
|
12,456,182
|
|
|
$
|
5,943,004
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Average stockholders' equity
|
$
|
3,465,119
|
|
|
$
|
3,233,018
|
|
|
$
|
797,725
|
|
|
$
|
2,515,506
|
|
|
$
|
685,216
|
|
Less: Average intangible assets
|
1,744,542
|
|
|
1,638,267
|
|
|
228,947
|
|
|
1,208,266
|
|
|
151,360
|
|
|||||
Average tangible common equity
|
$
|
1,720,577
|
|
|
$
|
1,594,751
|
|
|
$
|
568,778
|
|
|
$
|
1,307,240
|
|
|
$
|
533,856
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Annualized return on average assets
(2)
|
1.57
|
%
|
|
0.28
|
%
|
|
1.44
|
%
|
|
1.05
|
%
|
|
0.95
|
%
|
|||||
Annualized adjusted return on average assets
(3)
|
1.73
|
%
|
|
1.70
|
%
|
|
1.53
|
%
|
|
1.66
|
%
|
|
1.34
|
%
|
|||||
Annualized return on average equity
(4)
|
7.13
|
%
|
|
1.31
|
%
|
|
12.02
|
%
|
|
5.20
|
%
|
|
8.20
|
%
|
|||||
Annualized adjusted return on average equity
(5)
|
7.83
|
%
|
|
7.92
|
%
|
|
12.81
|
%
|
|
8.22
|
%
|
|
11.62
|
%
|
|||||
Annualized return on average tangible equity
(6)
|
14.36
|
%
|
|
2.65
|
%
|
|
16.85
|
%
|
|
10.01
|
%
|
|
10.52
|
%
|
|||||
Annualized adjusted return on average tangible equity
(7)
|
15.76
|
%
|
|
16.05
|
%
|
|
17.97
|
%
|
|
15.83
|
%
|
|
14.92
|
%
|
(1)
|
Full-year expected effective rate of
39%
used in
2014
periods (excluding acquisition, integration and reorganization costs) and actual effective rate of
35%
used in
2013
periods.
|
(2)
|
Annualized net earnings divided by average assets.
|
(3)
|
Annualized adjusted net earnings divided by average assets.
|
(4)
|
Annualized net earnings divided by average stockholders' equity.
|
(5)
|
Annualized adjusted net earnings divided by average stockholders' equity.
|
(6)
|
Annualized net earnings divided by average tangible common equity.
|
(7)
|
Annualized adjusted net earnings divided by average tangible common equity.
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
Adjusted Efficiency Ratio:
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|||||||||||
|
|
(Dollars in thousands)
|
||||||||||||||||||
Noninterest expense
|
$
|
95,629
|
|
|
$
|
169,906
|
|
|
$
|
56,200
|
|
|
$
|
316,404
|
|
|
$
|
164,599
|
|
|
Less:
|
Acquisition, integration and reorganization costs
|
5,193
|
|
|
86,242
|
|
|
5,450
|
|
|
93,635
|
|
|
24,139
|
|
|||||
|
Covered foreclosed assets expense (income), net
|
452
|
|
|
(185
|
)
|
|
(332
|
)
|
|
(1,348
|
)
|
|
(1,239
|
)
|
|||||
|
Adjusted noninterest expense
|
$
|
89,984
|
|
|
$
|
83,849
|
|
|
$
|
51,082
|
|
|
$
|
224,117
|
|
|
$
|
141,699
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net interest income
|
$
|
188,846
|
|
|
$
|
192,533
|
|
|
$
|
82,289
|
|
|
$
|
467,394
|
|
|
$
|
216,455
|
|
|
Noninterest income
|
16,314
|
|
|
8,479
|
|
|
5,127
|
|
|
29,484
|
|
|
8,170
|
|
||||||
Net revenues
|
205,160
|
|
|
201,012
|
|
|
87,416
|
|
|
496,878
|
|
|
224,625
|
|
||||||
Less:
|
FDIC loss sharing expense, net
|
(7,415
|
)
|
|
(8,525
|
)
|
|
(7,032
|
)
|
|
(27,370
|
)
|
|
(15,579
|
)
|
|||||
|
(Loss) gain on sale of loans and leases
|
973
|
|
|
(485
|
)
|
|
604
|
|
|
594
|
|
|
1,108
|
|
|||||
|
Gain on securities
|
—
|
|
|
89
|
|
|
5,222
|
|
|
4,841
|
|
|
5,631
|
|
|||||
|
Gain on sale of owned office building
|
—
|
|
|
—
|
|
|
—
|
|
|
1,570
|
|
|
—
|
|
|||||
|
Accelerated discount accretion resulting from early
|
|
|
|
|
|
|
|
|
|
||||||||||
|
payoffs of acquired loans
|
4,501
|
|
|
15,290
|
|
|
2,105
|
|
|
27,446
|
|
|
2,959
|
|
|||||
Adjusted net revenues
|
$
|
207,101
|
|
|
$
|
194,643
|
|
|
$
|
86,517
|
|
|
$
|
489,797
|
|
|
$
|
230,506
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Base efficiency ratio
(1)
|
46.6
|
%
|
|
84.5
|
%
|
|
64.3
|
%
|
|
63.7
|
%
|
|
73.3
|
%
|
||||||
Adjusted efficiency ratio
(2)
|
43.4
|
%
|
|
43.1
|
%
|
|
59.0
|
%
|
|
45.8
|
%
|
|
61.5
|
%
|
(1)
|
Noninterest expense divided by net revenues.
|
(2)
|
Adjusted noninterest expense divided by adjusted net revenues.
|
Tangible Common Equity:
|
September 30, 2014
|
|
December 31, 2013
|
||||
|
(Dollars in thousands)
|
||||||
PacWest Bancorp Consolidated:
|
|
|
|
||||
Stockholders’ equity
|
$
|
3,478,246
|
|
|
$
|
809,093
|
|
Less: Intangible assets
|
1,740,951
|
|
|
225,991
|
|
||
Tangible common equity
|
$
|
1,737,295
|
|
|
$
|
583,102
|
|
Total assets
|
$
|
15,938,345
|
|
|
$
|
6,533,363
|
|
Less: Intangible assets
|
1,740,951
|
|
|
225,991
|
|
||
Tangible assets
|
$
|
14,197,394
|
|
|
$
|
6,307,372
|
|
Equity to assets ratio
|
21.8
|
%
|
|
12.4
|
%
|
||
Tangible common equity ratio
(1)
|
12.2
|
%
|
|
9.2
|
%
|
||
Book value per share
|
$
|
33.76
|
|
|
$
|
17.66
|
|
Tangible book value per share
|
$
|
16.86
|
|
|
$
|
12.73
|
|
Shares outstanding
|
103,027,830
|
|
|
45,822,834
|
|
||
Pacific Western Bank:
|
|
|
|
||||
Stockholders’ equity
|
$
|
3,357,138
|
|
|
$
|
911,200
|
|
Less: Intangible assets
|
1,740,951
|
|
|
225,991
|
|
||
Tangible common equity
|
$
|
1,616,187
|
|
|
$
|
685,209
|
|
Total assets
|
$
|
15,675,486
|
|
|
$
|
6,507,288
|
|
Less: Intangible assets
|
1,740,951
|
|
|
224,627
|
|
||
Tangible assets
|
$
|
13,934,535
|
|
|
$
|
6,282,661
|
|
Equity to assets ratio
|
21.4
|
%
|
|
14.0
|
%
|
||
Tangible common equity ratio
(1)
|
11.6
|
%
|
|
10.9
|
%
|
(1)
|
Tangible common equity divided by tangible assets.
|
Adjusted Allowance for Credit Losses to Loans and
Leases (Excludes PCI Loans):
|
September 30, 2014
|
|
December 31, 2013
|
||||
|
(Dollars in thousands)
|
||||||
Allowance for credit losses
|
$
|
68,997
|
|
|
$
|
67,816
|
|
Less: Allowance related to acquired Non-PCI loans and leases
|
3,038
|
|
|
607
|
|
||
Adjusted allowance for credit losses
|
$
|
65,959
|
|
|
$
|
67,209
|
|
Gross Non-PCI loans and leases
|
$
|
11,239,964
|
|
|
$
|
3,930,539
|
|
Less: Carrying value of acquired Non‑PCI loans and leases
|
7,039,518
|
|
|
1,060,172
|
|
||
Adjusted loans and leases
|
$
|
4,200,446
|
|
|
$
|
2,870,367
|
|
Allowance for credit losses to loans and leases
(1)
|
0.61
|
%
|
|
1.73
|
%
|
||
Adjusted allowance for credit losses to loans and leases
(2)
|
1.57
|
%
|
|
2.34
|
%
|
(1)
|
Allowance for credit losses divided by gross Non-PCI loans and leases.
|
(2)
|
Adjusted allowance for credit losses divided by adjusted loans and leases.
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
Profitability Measures:
|
|
|
|
|
|
|
|
|
|
||||||||||
Diluted earnings per share
|
$
|
0.60
|
|
|
$
|
0.10
|
|
|
$
|
0.53
|
|
|
$
|
1.18
|
|
|
$
|
1.03
|
|
Annualized return on:
|
|
|
|
|
|
|
|
|
|
||||||||||
Average assets
|
1.57
|
%
|
|
0.28
|
%
|
|
1.44
|
%
|
|
1.05
|
%
|
|
0.95
|
%
|
|||||
Average equity
|
7.13
|
%
|
|
1.31
|
%
|
|
12.02
|
%
|
|
5.20
|
%
|
|
8.20
|
%
|
|||||
Average tangible equity
(1)
|
14.36
|
%
|
|
2.65
|
%
|
|
16.85
|
%
|
|
10.01
|
%
|
|
10.52
|
%
|
|||||
Annualized adjusted return on:
|
|
|
|
|
|
|
|
|
|
||||||||||
Average assets
(2)
|
1.73
|
%
|
|
1.70
|
%
|
|
1.53
|
%
|
|
1.66
|
%
|
|
1.34
|
%
|
|||||
Average tangible equity
(2)
|
15.76
|
%
|
|
16.05
|
%
|
|
17.97
|
%
|
|
15.83
|
%
|
|
14.92
|
%
|
|||||
Net interest margin
|
5.78
|
%
|
|
6.24
|
%
|
|
5.46
|
%
|
|
5.99
|
%
|
|
5.36
|
%
|
|||||
Core net interest margin
(3)
|
5.64
|
%
|
|
5.74
|
%
|
|
5.32
|
%
|
|
5.64
|
%
|
|
5.28
|
%
|
|||||
Base efficiency ratio
|
46.60
|
%
|
|
84.50
|
%
|
|
64.30
|
%
|
|
63.68
|
%
|
|
73.28
|
%
|
|||||
Adjusted efficiency ratio
(2)
|
43.45
|
%
|
|
43.08
|
%
|
|
59.04
|
%
|
|
45.76
|
%
|
|
61.47
|
%
|
(1)
|
Calculation reduces average equity by average intangible assets.
|
(2)
|
See "Non-GAAP Measurements" for the calculation of this item.
|
(3)
|
Excludes accelerated accretion of acquisition discounts resulting from early payoffs of acquired loans.
|
|
Three Months Ended
|
|||||||||||||||||||||||||||||||
|
September 30, 2014
|
|
June 30, 2014
|
|
September 30, 2013
|
|||||||||||||||||||||||||||
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Yields
and
Rates
|
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Yields
and
Rates
|
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Yields
and
Rates
|
|||||||||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||||||||||||||
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Loans and leases, net of unearned income
(1)
|
$
|
11,285,689
|
|
|
$
|
189,961
|
|
|
6.68
|
%
|
|
$
|
10,500,521
|
|
|
$
|
192,201
|
|
|
7.34
|
%
|
|
$
|
4,320,770
|
|
|
$
|
75,196
|
|
|
6.90
|
%
|
Investment securities
(2)
|
1,584,811
|
|
|
12,331
|
|
|
3.09
|
%
|
|
1,606,848
|
|
|
11,986
|
|
|
2.99
|
%
|
|
1,518,256
|
|
|
9,871
|
|
|
2.58
|
%
|
||||||
Deposits in financial institutions
|
99,276
|
|
|
64
|
|
|
0.26
|
%
|
|
276,095
|
|
|
176
|
|
|
0.26
|
%
|
|
140,785
|
|
|
91
|
|
|
0.26
|
%
|
||||||
Total interest‑earning assets
|
12,969,776
|
|
|
202,356
|
|
|
6.19
|
%
|
|
12,383,464
|
|
|
204,363
|
|
|
6.62
|
%
|
|
5,979,811
|
|
|
85,158
|
|
|
5.65
|
%
|
||||||
Other assets
|
2,746,763
|
|
|
|
|
|
|
2,653,637
|
|
|
|
|
|
|
681,043
|
|
|
|
|
|
||||||||||||
Total assets
|
$
|
15,716,539
|
|
|
|
|
|
|
$
|
15,037,101
|
|
|
|
|
|
|
$
|
6,660,854
|
|
|
|
|
|
|||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest checking deposits
|
$
|
605,288
|
|
|
$
|
86
|
|
|
0.06
|
%
|
|
$
|
601,958
|
|
|
$
|
77
|
|
|
0.05
|
%
|
|
$
|
619,884
|
|
|
$
|
83
|
|
|
0.05
|
%
|
Money market deposits
|
1,733,445
|
|
|
908
|
|
|
0.21
|
%
|
|
1,691,115
|
|
|
874
|
|
|
0.21
|
%
|
|
1,567,976
|
|
|
730
|
|
|
0.18
|
%
|
||||||
Savings deposits
|
759,177
|
|
|
575
|
|
|
0.30
|
%
|
|
722,808
|
|
|
548
|
|
|
0.30
|
%
|
|
216,174
|
|
|
14
|
|
|
0.03
|
%
|
||||||
Time deposits
|
5,680,732
|
|
|
7,253
|
|
|
0.51
|
%
|
|
5,613,601
|
|
|
5,814
|
|
|
0.42
|
%
|
|
765,890
|
|
|
865
|
|
|
0.45
|
%
|
||||||
Total interest‑bearing deposits
|
8,778,642
|
|
|
8,822
|
|
|
0.40
|
%
|
|
8,629,482
|
|
|
7,313
|
|
|
0.34
|
%
|
|
3,169,924
|
|
|
1,692
|
|
|
0.21
|
%
|
||||||
Borrowings
|
96,711
|
|
|
74
|
|
|
0.30
|
%
|
|
39,931
|
|
|
199
|
|
|
2.00
|
%
|
|
9,012
|
|
|
108
|
|
|
4.75
|
%
|
||||||
Subordinated debentures
|
434,625
|
|
|
4,614
|
|
|
4.21
|
%
|
|
409,934
|
|
|
4,318
|
|
|
4.22
|
%
|
|
132,413
|
|
|
1,069
|
|
|
3.20
|
%
|
||||||
Total interest‑bearing liabilities
|
9,309,978
|
|
|
13,510
|
|
|
0.58
|
%
|
|
9,079,347
|
|
|
11,830
|
|
|
0.52
|
%
|
|
3,311,349
|
|
|
2,869
|
|
|
0.34
|
%
|
||||||
Noninterest‑bearing demand deposits
|
2,778,260
|
|
|
|
|
|
|
2,546,540
|
|
|
|
|
|
|
2,329,197
|
|
|
|
|
|
||||||||||||
Other liabilities
|
163,182
|
|
|
|
|
|
|
178,196
|
|
|
|
|
|
|
222,583
|
|
|
|
|
|
||||||||||||
Total liabilities
|
12,251,420
|
|
|
|
|
|
|
11,804,083
|
|
|
|
|
|
|
5,863,129
|
|
|
|
|
|
||||||||||||
Stockholders’ equity
|
3,465,119
|
|
|
|
|
|
|
3,233,018
|
|
|
|
|
|
|
797,725
|
|
|
|
|
|
||||||||||||
Total liabilities and stockholders’
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
equity
|
$
|
15,716,539
|
|
|
|
|
|
|
$
|
15,037,101
|
|
|
|
|
|
|
$
|
6,660,854
|
|
|
|
|
|
|||||||||
Net interest income
|
|
|
$
|
188,846
|
|
|
|
|
|
|
$
|
192,533
|
|
|
|
|
|
|
$
|
82,289
|
|
|
|
|||||||||
Net interest rate spread
|
|
|
|
|
5.61
|
%
|
|
|
|
|
|
6.10
|
%
|
|
|
|
|
|
5.31
|
%
|
||||||||||||
Net interest margin
|
|
|
|
|
5.78
|
%
|
|
|
|
|
|
6.24
|
%
|
|
|
|
|
|
5.46
|
%
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total deposits
(3)
|
$
|
11,556,902
|
|
|
$
|
8,822
|
|
|
0.30
|
%
|
|
$
|
11,176,022
|
|
|
$
|
7,313
|
|
|
0.26
|
%
|
|
$
|
5,499,121
|
|
|
$
|
1,692
|
|
|
0.12
|
%
|
Funding sources
(4)
|
$
|
12,088,238
|
|
|
$
|
13,510
|
|
|
0.44
|
%
|
|
$
|
11,625,887
|
|
|
$
|
11,830
|
|
|
0.41
|
%
|
|
$
|
5,640,546
|
|
|
$
|
2,869
|
|
|
0.20
|
%
|
(1)
|
Includes nonaccrual loans and leases and loan fees.
|
(2)
|
The tax‑equivalent yield on investment securities was
3.39%
,
3.35%
and
2.74%
for the
three months ended
September 30, 2014
,
June 30, 2014
, and
September 30, 2013
, respectively.
|
(3)
|
Total deposits is the sum of interest-bearing deposits and noninterest-bearing demand deposits. The cost of total deposits is calculated as annualized interest expense on deposits divided by average total deposits.
|
(4)
|
Funding sources is the sum of interest-bearing liabilities and noninterest-bearing demand deposits. The cost of funding sources is calculated as annualized total interest expense divided by average funding sources.
|
|
Nine Months Ended
|
||||||||||||||||||||
|
September 30, 2014
|
|
September 30, 2013
|
||||||||||||||||||
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Yields
and
Rates
|
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Yields
and
Rates
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans and leases, net of unearned income
(1)
|
$
|
8,698,351
|
|
|
$
|
459,625
|
|
|
7.06
|
%
|
|
$
|
3,865,463
|
|
|
$
|
199,374
|
|
|
6.90
|
%
|
Investment securities
(2)
|
1,568,382
|
|
|
35,140
|
|
|
3.00
|
%
|
|
1,436,650
|
|
|
26,501
|
|
|
2.47
|
%
|
||||
Deposits in financial institutions
|
164,613
|
|
|
314
|
|
|
0.26
|
%
|
|
95,456
|
|
|
183
|
|
|
0.26
|
%
|
||||
Total interest‑earning assets
|
10,431,346
|
|
|
495,079
|
|
|
6.35
|
%
|
|
5,397,569
|
|
|
226,058
|
|
|
5.60
|
%
|
||||
Other assets
|
2,024,836
|
|
|
|
|
|
|
545,435
|
|
|
|
|
|
||||||||
Total assets
|
$
|
12,456,182
|
|
|
|
|
|
|
$
|
5,943,004
|
|
|
|
|
|
||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest checking deposits
|
$
|
611,499
|
|
|
$
|
241
|
|
|
0.05
|
%
|
|
$
|
567,295
|
|
|
$
|
220
|
|
|
0.05
|
%
|
Money market deposits
|
1,626,539
|
|
|
2,400
|
|
|
0.20
|
%
|
|
1,362,219
|
|
|
1,800
|
|
|
0.18
|
%
|
||||
Savings deposits
|
570,317
|
|
|
1,137
|
|
|
0.27
|
%
|
|
185,527
|
|
|
49
|
|
|
0.04
|
%
|
||||
Time deposits
|
4,005,299
|
|
|
13,582
|
|
|
0.45
|
%
|
|
772,735
|
|
|
4,349
|
|
|
0.75
|
%
|
||||
Total interest‑bearing deposits
|
6,813,654
|
|
|
17,360
|
|
|
0.34
|
%
|
|
2,887,776
|
|
|
6,418
|
|
|
0.30
|
%
|
||||
Borrowings
|
51,894
|
|
|
352
|
|
|
0.91
|
%
|
|
14,030
|
|
|
451
|
|
|
4.30
|
%
|
||||
Subordinated debentures
|
326,858
|
|
|
9,973
|
|
|
4.08
|
%
|
|
119,309
|
|
|
2,734
|
|
|
3.06
|
%
|
||||
Total interest‑bearing liabilities
|
7,192,406
|
|
|
27,685
|
|
|
0.51
|
%
|
|
3,021,115
|
|
|
9,603
|
|
|
0.42
|
%
|
||||
Noninterest‑bearing demand deposits
|
2,568,396
|
|
|
|
|
|
|
2,115,608
|
|
|
|
|
|
||||||||
Other liabilities
|
179,874
|
|
|
|
|
|
|
121,065
|
|
|
|
|
|
||||||||
Total liabilities
|
9,940,676
|
|
|
|
|
|
|
5,257,788
|
|
|
|
|
|
||||||||
Stockholders’ equity
|
2,515,506
|
|
|
|
|
|
|
685,216
|
|
|
|
|
|
||||||||
Total liabilities and stockholders’ equity
|
$
|
12,456,182
|
|
|
|
|
|
|
$
|
5,943,004
|
|
|
|
|
|
||||||
Net interest income
|
|
|
$
|
467,394
|
|
|
|
|
|
|
$
|
216,455
|
|
|
|
||||||
Net interest rate spread
|
|
|
|
|
5.84
|
%
|
|
|
|
|
|
5.18
|
%
|
||||||||
Net interest margin
|
|
|
|
|
5.99
|
%
|
|
|
|
|
|
5.36
|
%
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total deposits
(3)
|
$
|
9,382,050
|
|
|
$
|
17,360
|
|
|
0.25
|
%
|
|
$
|
5,003,384
|
|
|
$
|
6,418
|
|
|
0.17
|
%
|
Funding sources
(4)
|
$
|
9,760,802
|
|
|
$
|
27,685
|
|
|
0.38
|
%
|
|
$
|
5,136,723
|
|
|
$
|
9,603
|
|
|
0.25
|
%
|
(1)
|
Includes nonaccrual loans and leases and loan fees.
|
(2)
|
The tax‑equivalent yield for investment securities was
3.41%
and
2.84%
for the
nine months ended
September 30, 2014
and
2013
, respectively.
|
(3)
|
Total deposits is the sum of interest-bearing deposits and noninterest-bearing demand deposits. The cost of total deposits is calculated as annualized interest expense on deposits divided by average total deposits.
|
(4)
|
Funding sources is the sum of interest-bearing liabilities and noninterest-bearing demand deposits. The cost of funding sources is calculated as annualized total interest expense divided by average funding sources.
|
|
Three Months Ended
|
|
Nine Months Ended
|
|||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
|||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
|||||
NIM:
|
|
|
|
|
|
|
|
|
|
|||||
Reported
|
5.78
|
%
|
|
6.24
|
%
|
|
5.46
|
%
|
|
5.99
|
%
|
|
5.36
|
%
|
Less: Accelerated accretion of acquisition discounts resulting from early payoffs of acquired loans
|
(0.14
|
)%
|
|
(0.50
|
)%
|
|
(0.14
|
)%
|
|
(0.35
|
)%
|
|
(0.08
|
)%
|
Core
|
5.64
|
%
|
|
5.74
|
%
|
|
5.32
|
%
|
|
5.64
|
%
|
|
5.28
|
%
|
Loan and Lease Yield:
|
|
|
|
|
|
|
|
|
|
|||||
Reported
|
6.68
|
%
|
|
7.34
|
%
|
|
6.90
|
%
|
|
7.06
|
%
|
|
6.90
|
%
|
Less: Accelerated accretion of acquisition discounts resulting from early payoffs of acquired loans
|
(0.16
|
)%
|
|
(0.58
|
)%
|
|
(0.19
|
)%
|
|
(0.42
|
)%
|
|
(0.10
|
)%
|
Core
|
6.52
|
%
|
|
6.76
|
%
|
|
6.71
|
%
|
|
6.64
|
%
|
|
6.80
|
%
|
|
Three Months Ended
|
|||||
|
September 30, 2014
|
|||||
|
Amount
|
|
Impact on NIM
|
|||
|
(Dollars in thousands)
|
|||||
NIM - as reported
|
$
|
188,846
|
|
|
5.78
|
%
|
Less: accelerated accretion of acquisition discounts
|
|
|
|
|||
from early acquired loan payoffs
|
(4,501
|
)
|
|
(0.14
|
)%
|
|
Remaining accretion of Non-PCI loan acquisition
|
|
|
|
|||
discounts
|
(15,072
|
)
|
|
(0.46
|
)%
|
|
Amortization of TruPS discount
|
1,402
|
|
|
0.04
|
%
|
|
Accretion of time deposits premium
|
(5,081
|
)
|
|
(0.16
|
)%
|
|
|
(23,252
|
)
|
|
(0.72
|
)%
|
|
NIM - excluding purchase accounting
|
$
|
165,594
|
|
|
5.06
|
%
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||
Yields:
|
|
|
|
|
|
|
|
|
|
||||||||||
Non‑PCI loans and leases
|
6.41
|
%
|
|
7.06
|
%
|
|
6.35
|
%
|
|
6.63
|
%
|
|
6.48
|
%
|
|||||
PCI loans
|
14.74
|
%
|
|
15.08
|
%
|
|
11.88
|
%
|
|
17.07
|
%
|
|
9.93
|
%
|
|||||
Total loans and leases
|
6.68
|
%
|
|
7.34
|
%
|
|
6.90
|
%
|
|
7.06
|
%
|
|
6.90
|
%
|
|||||
Average Balances:
|
|
|
|
|
|
|
|
|
|
||||||||||
Non‑PCI loans and leases
|
$
|
10,922,640
|
|
|
$
|
10,125,327
|
|
|
$
|
3,889,780
|
|
|
$
|
8,339,072
|
|
|
$
|
3,397,398
|
|
PCI loans
|
363,049
|
|
|
375,194
|
|
|
430,990
|
|
|
359,278
|
|
|
468,065
|
|
|||||
Total loans and leases
|
$
|
11,285,689
|
|
|
$
|
10,500,521
|
|
|
$
|
4,320,770
|
|
|
$
|
8,698,350
|
|
|
$
|
3,865,463
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||
Provision For Credit Losses:
|
|
|
|
|
|
|
|
|
|
||||||||||
Addition to (reduction in) allowance
|
|
|
|
|
|
|
|
|
|
||||||||||
for Non‑PCI loans and leases
|
$
|
3,684
|
|
|
$
|
5,131
|
|
|
$
|
(570
|
)
|
|
$
|
9,415
|
|
|
$
|
(1,030
|
)
|
Addition to (reduction in) reserve for
|
|
|
|
|
|
|
|
|
|
||||||||||
unfunded loan commitments
|
(931
|
)
|
|
(131
|
)
|
|
570
|
|
|
(1,662
|
)
|
|
1,030
|
|
|||||
Total provision (negative
|
|
|
|
|
|
|
|
|
|
||||||||||
provision) for Non‑PCI loans
|
|
|
|
|
|
|
|
|
|
||||||||||
and leases
|
2,753
|
|
|
5,000
|
|
|
—
|
|
|
7,753
|
|
|
—
|
|
|||||
Provision (negative provision) for
|
|
|
|
|
|
|
|
|
|
||||||||||
PCI loans
|
2,297
|
|
|
30
|
|
|
(4,167
|
)
|
|
1,683
|
|
|
(2,872
|
)
|
|||||
Total provision (negative
|
|
|
|
|
|
|
|
|
|
||||||||||
provision) for credit losses
|
$
|
5,050
|
|
|
$
|
5,030
|
|
|
$
|
(4,167
|
)
|
|
$
|
9,436
|
|
|
$
|
(2,872
|
)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Non‑PCI Credit Quality Metrics:
|
|
|
|
|
|
|
|
|
|
||||||||||
Net charge‑offs (recoveries) on
|
|
|
|
|
|
|
|
|
|
||||||||||
Non‑PCI loans and leases
|
$
|
6,123
|
|
|
$
|
(412
|
)
|
|
$
|
2,125
|
|
|
$
|
6,572
|
|
|
$
|
4,318
|
|
Annualized net charge‑offs to
|
|
|
|
|
|
|
|
|
|
||||||||||
average Non‑PCI loans and leases
|
0.22
|
%
|
|
(0.02
|
)%
|
|
0.22
|
%
|
|
0.11
|
%
|
|
0.17
|
%
|
|||||
At Period End:
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for loan and lease losses
|
$
|
63,084
|
|
|
$
|
65,523
|
|
|
$
|
60,551
|
|
|
|
|
|
||||
Allowance for credit losses
|
68,997
|
|
|
72,367
|
|
|
67,801
|
|
|
|
|
|
|||||||
Non‑PCI nonaccrual loans and leases
|
88,948
|
|
|
96,802
|
|
|
50,845
|
|
|
|
|
|
|||||||
Non‑PCI classified loans and leases
|
260,986
|
|
|
304,627
|
|
|
130,791
|
|
|
|
|
|
|||||||
Allowance for credit losses to
|
|
|
|
|
|
|
|
|
|
||||||||||
Non‑PCI loans and leases
|
0.61
|
%
|
|
0.67
|
%
|
|
1.72
|
%
|
|
|
|
|
|||||||
Allowance for credit losses to
|
|
|
|
|
|
|
|
|
|
||||||||||
Non‑PCI nonaccrual loans
|
|
|
|
|
|
|
|
|
|
||||||||||
and leases
|
77.6
|
%
|
|
74.8
|
%
|
|
133.3
|
%
|
|
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Noninterest Income:
|
|
|
|
|
|
|
|
|
|
||||||||||
Service charges on deposit accounts
|
$
|
2,725
|
|
|
$
|
2,719
|
|
|
$
|
2,938
|
|
|
$
|
8,446
|
|
|
$
|
8,568
|
|
Other commissions and fees
|
6,371
|
|
|
5,743
|
|
|
2,204
|
|
|
14,046
|
|
|
6,291
|
|
|||||
Leased equipment income
|
5,615
|
|
|
5,672
|
|
|
—
|
|
|
11,287
|
|
|
—
|
|
|||||
Gain (loss) on sale of loans and leases
|
973
|
|
|
(485
|
)
|
|
604
|
|
|
594
|
|
|
1,108
|
|
|||||
Gain on securities
|
—
|
|
|
89
|
|
|
5,222
|
|
|
4,841
|
|
|
5,631
|
|
|||||
FDIC loss sharing expense, net
|
(7,415
|
)
|
|
(8,525
|
)
|
|
(7,032
|
)
|
|
(27,370
|
)
|
|
(15,579
|
)
|
|||||
Other income:
|
|
|
|
|
|
|
|
|
|
||||||||||
Dividends and realized gains on equity investments
|
3,625
|
|
|
658
|
|
|
—
|
|
|
4,283
|
|
|
|
||||||
Foreign currency translation net gains
|
2,253
|
|
|
251
|
|
|
—
|
|
|
2,504
|
|
|
|
||||||
Income recognized on early repayment of leases
|
510
|
|
|
961
|
|
|
—
|
|
|
4,976
|
|
|
—
|
|
|||||
Gain on sale of owned office building
|
—
|
|
|
—
|
|
|
—
|
|
|
1,570
|
|
|
—
|
|
|||||
Other
|
1,657
|
|
|
1,396
|
|
|
1,191
|
|
|
4,307
|
|
|
2,151
|
|
|||||
Total noninterest income
|
$
|
16,314
|
|
|
$
|
8,479
|
|
|
$
|
5,127
|
|
|
$
|
29,484
|
|
|
$
|
8,170
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
FDIC Loss Sharing Expense, Net:
|
|
|
|
|
|
|
|
|
|
||||||||||
(Loss) gain on FDIC loss sharing asset
(1)
|
$
|
(1,735
|
)
|
|
$
|
(991
|
)
|
|
$
|
269
|
|
|
$
|
(4,932
|
)
|
|
$
|
4,229
|
|
FDIC loss sharing asset amortization, net
|
(6,074
|
)
|
|
(7,270
|
)
|
|
(6,971
|
)
|
|
(21,256
|
)
|
|
(18,718
|
)
|
|||||
Net reimbursement to FDIC for covered OREOs
(2)
|
491
|
|
|
(175
|
)
|
|
(276
|
)
|
|
(908
|
)
|
|
(1,039
|
)
|
|||||
Other
|
(97
|
)
|
|
(89
|
)
|
|
(54
|
)
|
|
(274
|
)
|
|
(51
|
)
|
|||||
Total FDIC loss sharing expense, net
|
$
|
(7,415
|
)
|
|
$
|
(8,525
|
)
|
|
$
|
(7,032
|
)
|
|
$
|
(27,370
|
)
|
|
$
|
(15,579
|
)
|
(
1)
|
Includes increases related to covered loan loss provisions and decreases for: (a) write‑offs for covered loans expected to be resolved at amounts higher than their carrying values, and (b) amounts to be reimbursed to the FDIC for covered loans resolved at amounts higher than their carrying values.
|
(2)
|
Represents amounts to be reimbursed to the FDIC for gains on covered OREO sales and due from the FDIC for covered OREO write‑downs.
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Noninterest Expense:
|
|
|
|
|
|
|
|
|
|
||||||||||
Compensation and benefits
|
$
|
45,861
|
|
|
$
|
45,081
|
|
|
$
|
27,963
|
|
|
$
|
119,569
|
|
|
$
|
79,370
|
|
Occupancy
|
11,188
|
|
|
11,078
|
|
|
7,828
|
|
|
29,861
|
|
|
21,906
|
|
|||||
Data processing
|
3,929
|
|
|
4,099
|
|
|
2,590
|
|
|
10,568
|
|
|
7,278
|
|
|||||
Other professional services
|
3,687
|
|
|
2,843
|
|
|
1,906
|
|
|
8,053
|
|
|
4,984
|
|
|||||
Insurance and assessments
|
3,020
|
|
|
3,179
|
|
|
1,496
|
|
|
7,792
|
|
|
4,024
|
|
|||||
Intangible asset amortization
|
1,608
|
|
|
1,677
|
|
|
1,512
|
|
|
4,649
|
|
|
3,972
|
|
|||||
Other expense:
|
|
|
|
|
|
|
|
|
|
||||||||||
Loan expense
|
3,711
|
|
|
3,024
|
|
|
1,378
|
|
|
7,929
|
|
|
3,304
|
|
|||||
Communications
|
1,369
|
|
|
1,421
|
|
|
828
|
|
|
3,527
|
|
|
2,063
|
|
|||||
Other
|
8,275
|
|
|
7,670
|
|
|
5,669
|
|
|
21,302
|
|
|
14,493
|
|
|||||
Total operating expense
|
82,648
|
|
|
80,072
|
|
|
51,170
|
|
|
213,250
|
|
|
141,394
|
|
|||||
Leased equipment depreciation
|
2,961
|
|
|
3,095
|
|
|
—
|
|
|
6,056
|
|
|
—
|
|
|||||
Foreclosed assets expense (income), net
|
4,827
|
|
|
497
|
|
|
(420
|
)
|
|
3,463
|
|
|
(934
|
)
|
|||||
Acquisition, integration and reorganization costs
|
5,193
|
|
|
86,242
|
|
|
5,450
|
|
|
93,635
|
|
|
24,139
|
|
|||||
Total noninterest expense
|
$
|
95,629
|
|
|
$
|
169,906
|
|
|
$
|
56,200
|
|
|
$
|
316,404
|
|
|
$
|
164,599
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Foreclosed Assets Expense:
|
|
|
|
|
|
|
|
|
|
||||||||||
Provision for losses
|
$
|
4,698
|
|
|
$
|
274
|
|
|
$
|
617
|
|
|
$
|
5,065
|
|
|
$
|
2,094
|
|
Maintenance costs
|
177
|
|
|
606
|
|
|
367
|
|
|
1,152
|
|
|
978
|
|
|||||
Gain on sale
|
(48
|
)
|
|
(383
|
)
|
|
(1,404
|
)
|
|
(2,754
|
)
|
|
(4,006
|
)
|
|||||
Total foreclosed assets expense (income), net
|
$
|
4,827
|
|
|
$
|
497
|
|
|
$
|
(420
|
)
|
|
$
|
3,463
|
|
|
$
|
(934
|
)
|
|
September 30, 2014
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Balance Sheet Data:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Loans and leases, net of unearned income
|
$
|
3,482,125
|
|
|
$
|
8,064,868
|
|
|
$
|
27,892
|
|
|
$
|
11,574,885
|
|
Allowance for loan and lease losses
|
(56,712
|
)
|
|
(25,187
|
)
|
|
—
|
|
|
(81,899
|
)
|
||||
Total loans and leases, net
|
$
|
3,425,413
|
|
|
$
|
8,039,681
|
|
|
$
|
27,892
|
|
|
$
|
11,492,986
|
|
Goodwill
|
$
|
327,728
|
|
|
$
|
1,394,401
|
|
|
$
|
—
|
|
|
$
|
1,722,129
|
|
Core deposit and customer relationship intangibles, net
|
17,814
|
|
|
1,009
|
|
|
—
|
|
|
18,823
|
|
||||
Total assets
|
6,492,869
|
|
|
9,182,617
|
|
|
262,859
|
|
|
15,938,345
|
|
||||
Total deposits
(1)
|
11,826,681
|
|
|
—
|
|
|
(303,244
|
)
|
|
11,523,437
|
|
(1)
|
The negative balance for total deposits in the “Other” segment represents the elimination of holding company cash held in deposit accounts at the Bank.
|
|
September 30, 2013
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Balance Sheet Data:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Loans and leases, net of unearned income
|
$
|
3,912,885
|
|
|
$
|
470,508
|
|
|
$
|
—
|
|
|
$
|
4,383,393
|
|
Allowance for loan and lease losses
|
(76,496
|
)
|
|
(7,290
|
)
|
|
—
|
|
|
(83,786
|
)
|
||||
Total loans and leases, net
|
$
|
3,836,389
|
|
|
$
|
463,218
|
|
|
$
|
—
|
|
|
$
|
4,299,607
|
|
Goodwill
|
$
|
190,184
|
|
|
$
|
25,678
|
|
|
$
|
—
|
|
|
$
|
215,862
|
|
Core deposit and customer relationship intangibles, net
|
16,604
|
|
|
2,074
|
|
|
—
|
|
|
18,678
|
|
||||
Total assets
|
6,100,587
|
|
|
507,339
|
|
|
8,929
|
|
|
6,616,855
|
|
||||
Total deposits
(1)
|
5,467,568
|
|
|
—
|
|
|
(34,424
|
)
|
|
5,433,144
|
|
(1)
|
The negative balance for total deposits in the “Other” segment represents the elimination of holding company cash held in deposit accounts at the Bank.
|
|
Three Months Ended September 30, 2014
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
67,132
|
|
|
$
|
134,624
|
|
|
$
|
600
|
|
|
$
|
202,356
|
|
Interest expense
|
(8,851
|
)
|
|
(45
|
)
|
|
(4,614
|
)
|
|
(13,510
|
)
|
||||
Intersegment interest income (expense)
|
5,250
|
|
|
(5,250
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income (expense)
|
63,531
|
|
|
129,329
|
|
|
(4,014
|
)
|
|
188,846
|
|
||||
Negative provision (provision) for credit losses
|
6,314
|
|
|
(11,364
|
)
|
|
—
|
|
|
(5,050
|
)
|
||||
Gain on securities
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
FDIC loss sharing expense
|
(7,415
|
)
|
|
—
|
|
|
—
|
|
|
(7,415
|
)
|
||||
Other noninterest income
|
7,566
|
|
|
9,953
|
|
|
6,210
|
|
|
23,729
|
|
||||
Total noninterest income
|
151
|
|
|
9,953
|
|
|
6,210
|
|
|
16,314
|
|
||||
Foreclosed assets (expense) income, net
|
(4,627
|
)
|
|
(322
|
)
|
|
122
|
|
|
(4,827
|
)
|
||||
Intangible asset amortization
|
(1,517
|
)
|
|
(91
|
)
|
|
—
|
|
|
(1,608
|
)
|
||||
Acquisition, integration and reorganization costs
|
(3,953
|
)
|
|
(1,240
|
)
|
|
—
|
|
|
(5,193
|
)
|
||||
Other noninterest expense
|
(53,784
|
)
|
|
(24,835
|
)
|
|
(5,382
|
)
|
|
(84,001
|
)
|
||||
Total noninterest expense
|
(63,881
|
)
|
|
(26,488
|
)
|
|
(5,260
|
)
|
|
(95,629
|
)
|
||||
Intersegment noninterest income (expense)
|
26,411
|
|
|
(26,411
|
)
|
|
—
|
|
|
—
|
|
||||
Total noninterest expense - adjusted
|
(37,470
|
)
|
|
(52,899
|
)
|
|
(5,260
|
)
|
|
(95,629
|
)
|
||||
Earnings (loss) from continuing operations before taxes
|
32,526
|
|
|
75,019
|
|
|
(3,064
|
)
|
|
104,481
|
|
||||
Income tax (expense) benefit
|
(13,870
|
)
|
|
(30,113
|
)
|
|
1,778
|
|
|
(42,205
|
)
|
||||
Net earnings (loss) from continuing operations
|
18,656
|
|
|
44,906
|
|
|
(1,286
|
)
|
|
62,276
|
|
||||
Loss from discontinued operations before taxes
|
(8
|
)
|
|
—
|
|
|
—
|
|
|
(8
|
)
|
||||
Income tax benefit
|
3
|
|
|
—
|
|
|
—
|
|
|
3
|
|
||||
Net loss from discontinued operations
|
(5
|
)
|
|
—
|
|
|
—
|
|
|
(5
|
)
|
||||
Net earnings (loss)
|
$
|
18,651
|
|
|
$
|
44,906
|
|
|
$
|
(1,286
|
)
|
|
$
|
62,271
|
|
|
Three Months Ended June 30, 2014
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
69,977
|
|
|
$
|
132,742
|
|
|
$
|
1,644
|
|
|
$
|
204,363
|
|
Interest expense
|
(7,450
|
)
|
|
(62
|
)
|
|
(4,318
|
)
|
|
(11,830
|
)
|
||||
Intersegment interest income (expense)
|
4,071
|
|
|
(4,071
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income
|
66,598
|
|
|
128,609
|
|
|
(2,674
|
)
|
|
192,533
|
|
||||
Negative provision (provision) for credit losses
|
4,418
|
|
|
(9,448
|
)
|
|
—
|
|
|
(5,030
|
)
|
||||
Gain on securities
|
89
|
|
|
—
|
|
|
—
|
|
|
89
|
|
||||
FDIC loss sharing expense
|
(8,525
|
)
|
|
—
|
|
|
—
|
|
|
(8,525
|
)
|
||||
Other noninterest income
|
3,681
|
|
|
12,487
|
|
|
747
|
|
|
16,915
|
|
||||
Total noninterest income
|
(4,755
|
)
|
|
12,487
|
|
|
747
|
|
|
8,479
|
|
||||
Foreclosed assets (expense) income, net
|
(633
|
)
|
|
38
|
|
|
98
|
|
|
(497
|
)
|
||||
Intangible asset amortization
|
(1,530
|
)
|
|
(147
|
)
|
|
—
|
|
|
(1,677
|
)
|
||||
Acquisition, integration and reorganization costs
|
(77,713
|
)
|
|
(7,474
|
)
|
|
(1,055
|
)
|
|
(86,242
|
)
|
||||
Other noninterest expense
|
(51,507
|
)
|
|
(24,484
|
)
|
|
(5,499
|
)
|
|
(81,490
|
)
|
||||
Total noninterest expense
|
(131,383
|
)
|
|
(32,067
|
)
|
|
(6,456
|
)
|
|
(169,906
|
)
|
||||
Intersegment noninterest income (expense)
|
23,533
|
|
|
(23,533
|
)
|
|
—
|
|
|
—
|
|
||||
Total noninterest expense - adjusted
|
(107,850
|
)
|
|
(55,600
|
)
|
|
(6,456
|
)
|
|
(169,906
|
)
|
||||
(Loss) earnings from continuing operations before taxes
|
(41,589
|
)
|
|
76,048
|
|
|
(8,383
|
)
|
|
26,076
|
|
||||
Income tax benefit (expense)
|
12,081
|
|
|
(30,259
|
)
|
|
3,332
|
|
|
(14,846
|
)
|
||||
Net (loss) earnings from continuing operations
|
(29,508
|
)
|
|
45,789
|
|
|
(5,051
|
)
|
|
11,230
|
|
||||
Loss from discontinued operations before taxes
|
(1,151
|
)
|
|
—
|
|
|
—
|
|
|
(1,151
|
)
|
||||
Income tax benefit
|
476
|
|
|
—
|
|
|
—
|
|
|
476
|
|
||||
Net loss from discontinued operations
|
(675
|
)
|
|
—
|
|
|
—
|
|
|
(675
|
)
|
||||
Net (loss) earnings
|
$
|
(30,183
|
)
|
|
$
|
45,789
|
|
|
$
|
(5,051
|
)
|
|
$
|
10,555
|
|
|
Three Months Ended September 30, 2013
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
72,873
|
|
|
$
|
12,285
|
|
|
$
|
—
|
|
|
$
|
85,158
|
|
Interest expense
|
(1,692
|
)
|
|
(108
|
)
|
|
(1,069
|
)
|
|
(2,869
|
)
|
||||
Intersegment interest income (expense)
|
353
|
|
|
(353
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income
|
71,534
|
|
|
11,824
|
|
|
(1,069
|
)
|
|
82,289
|
|
||||
Negative provision (provision) for credit losses
|
5,782
|
|
|
(1,615
|
)
|
|
—
|
|
|
4,167
|
|
||||
FDIC loss sharing expense
|
(7,032
|
)
|
|
—
|
|
|
—
|
|
|
(7,032
|
)
|
||||
Other noninterest income
|
5,466
|
|
|
1,443
|
|
|
5,250
|
|
|
12,159
|
|
||||
Total noninterest income
|
(1,566
|
)
|
|
1,443
|
|
|
5,250
|
|
|
5,127
|
|
||||
Foreclosed assets income, net
|
420
|
|
|
—
|
|
|
—
|
|
|
420
|
|
||||
Intangible asset amortization
|
(1,354
|
)
|
|
(158
|
)
|
|
—
|
|
|
(1,512
|
)
|
||||
Acquisition, integration and reorganization costs
|
(5,190
|
)
|
|
—
|
|
|
(260
|
)
|
|
(5,450
|
)
|
||||
Other noninterest expense
|
(42,435
|
)
|
|
(5,822
|
)
|
|
(1,401
|
)
|
|
(49,658
|
)
|
||||
Total noninterest expense
|
(48,559
|
)
|
|
(5,980
|
)
|
|
(1,661
|
)
|
|
(56,200
|
)
|
||||
Earnings (loss) from continuing operations before taxes
|
27,191
|
|
|
5,672
|
|
|
2,520
|
|
|
35,383
|
|
||||
Income tax (expense) benefit
|
(9,996
|
)
|
|
(2,378
|
)
|
|
1,131
|
|
|
(11,243
|
)
|
||||
Net earnings (loss) from continuing operations
|
17,195
|
|
|
3,294
|
|
|
3,651
|
|
|
24,140
|
|
||||
Earnings from discontinued operations before taxes
|
39
|
|
|
—
|
|
|
—
|
|
|
39
|
|
||||
Income tax expense
|
(16
|
)
|
|
—
|
|
|
—
|
|
|
(16
|
)
|
||||
Net earnings from discontinued operations
|
23
|
|
|
—
|
|
|
—
|
|
|
23
|
|
||||
Net earnings
|
$
|
17,218
|
|
|
$
|
3,294
|
|
|
$
|
3,651
|
|
|
$
|
24,163
|
|
|
Nine Months Ended September 30, 2014
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
214,704
|
|
|
$
|
278,131
|
|
|
$
|
2,244
|
|
|
$
|
495,079
|
|
Interest expense
|
(17,528
|
)
|
|
(184
|
)
|
|
(9,973
|
)
|
|
(27,685
|
)
|
||||
Intersegment interest income (expense)
|
9,543
|
|
|
(9,543
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income (expense)
|
206,719
|
|
|
268,404
|
|
|
(7,729
|
)
|
|
467,394
|
|
||||
Negative provision (provision) for credit losses
|
11,558
|
|
|
(20,994
|
)
|
|
—
|
|
|
(9,436
|
)
|
||||
Gain on securities
|
4,841
|
|
|
—
|
|
|
—
|
|
|
4,841
|
|
||||
FDIC loss sharing expense
|
(27,370
|
)
|
|
—
|
|
|
—
|
|
|
(27,370
|
)
|
||||
Other noninterest income
|
18,144
|
|
|
26,885
|
|
|
6,984
|
|
|
52,013
|
|
||||
Total noninterest income
|
(4,385
|
)
|
|
26,885
|
|
|
6,984
|
|
|
29,484
|
|
||||
Foreclosed assets (expense) income, net
|
(3,399
|
)
|
|
(284
|
)
|
|
220
|
|
|
(3,463
|
)
|
||||
Intangible asset amortization
|
(4,238
|
)
|
|
(411
|
)
|
|
—
|
|
|
(4,649
|
)
|
||||
Acquisition, integration and reorganization costs
|
(83,866
|
)
|
|
(8,714
|
)
|
|
(1,055
|
)
|
|
(93,635
|
)
|
||||
Other noninterest expense
|
(146,281
|
)
|
|
(55,892
|
)
|
|
(12,484
|
)
|
|
(214,657
|
)
|
||||
Total noninterest expense
|
(237,784
|
)
|
|
(65,301
|
)
|
|
(13,319
|
)
|
|
(316,404
|
)
|
||||
Intersegment noninterest income (expense)
|
49,944
|
|
|
(49,944
|
)
|
|
—
|
|
|
—
|
|
||||
Total noninterest expense - adjusted
|
(187,840
|
)
|
|
(115,245
|
)
|
|
(13,319
|
)
|
|
(316,404
|
)
|
||||
Earnings from continuing operations before taxes
|
26,052
|
|
|
159,050
|
|
|
(14,064
|
)
|
|
171,038
|
|
||||
Income tax (expense) benefit
|
(14,123
|
)
|
|
(63,703
|
)
|
|
6,199
|
|
|
(71,627
|
)
|
||||
Net earnings (loss) from continuing operations
|
11,929
|
|
|
95,347
|
|
|
(7,865
|
)
|
|
99,411
|
|
||||
Loss from discontinued operations before taxes
|
(2,572
|
)
|
|
—
|
|
|
—
|
|
|
(2,572
|
)
|
||||
Income tax benefit
|
1,067
|
|
|
—
|
|
|
—
|
|
|
1,067
|
|
||||
Net loss from discontinued operations
|
(1,505
|
)
|
|
—
|
|
|
—
|
|
|
(1,505
|
)
|
||||
Net earnings (loss)
|
$
|
10,424
|
|
|
$
|
95,347
|
|
|
$
|
(7,865
|
)
|
|
$
|
97,906
|
|
|
Nine Months Ended September 30, 2013
|
||||||||||||||
|
Community
|
|
National
|
|
|
|
Consolidated
|
||||||||
Results of Operations:
|
Banking
|
|
Lending
|
|
Other
|
|
Company
|
||||||||
|
(In thousands)
|
||||||||||||||
Interest income
|
$
|
189,101
|
|
|
$
|
36,957
|
|
|
$
|
—
|
|
|
$
|
226,058
|
|
Interest expense
|
(6,422
|
)
|
|
(447
|
)
|
|
(2,734
|
)
|
|
(9,603
|
)
|
||||
Intersegment interest income (expense)
|
1,284
|
|
|
(1,284
|
)
|
|
—
|
|
|
—
|
|
||||
Net interest income
|
183,963
|
|
|
35,226
|
|
|
(2,734
|
)
|
|
216,455
|
|
||||
Negative provision (provision) for credit losses
|
6,053
|
|
|
(3,181
|
)
|
|
—
|
|
|
2,872
|
|
||||
Gain on securities
|
5,631
|
|
|
—
|
|
|
—
|
|
|
5,631
|
|
||||
FDIC loss sharing expense
|
(15,579
|
)
|
|
—
|
|
|
—
|
|
|
(15,579
|
)
|
||||
Other noninterest income
|
10,240
|
|
|
2,579
|
|
|
5,299
|
|
|
18,118
|
|
||||
Total noninterest income
|
292
|
|
|
2,579
|
|
|
5,299
|
|
|
8,170
|
|
||||
Foreclosed assets income, net
|
934
|
|
|
—
|
|
|
—
|
|
|
934
|
|
||||
Intangible asset amortization
|
(3,474
|
)
|
|
(498
|
)
|
|
—
|
|
|
(3,972
|
)
|
||||
Acquisition, integration and reorganization costs
|
(23,879
|
)
|
|
—
|
|
|
(260
|
)
|
|
(24,139
|
)
|
||||
Other noninterest expense
|
(115,352
|
)
|
|
(17,855
|
)
|
|
(4,215
|
)
|
|
(137,422
|
)
|
||||
Total noninterest expense
|
(141,771
|
)
|
|
(18,353
|
)
|
|
(4,475
|
)
|
|
(164,599
|
)
|
||||
Earnings (loss) from continuing operations before taxes
|
48,537
|
|
|
16,271
|
|
|
(1,910
|
)
|
|
62,898
|
|
||||
Income tax (expense) benefit
|
(17,038
|
)
|
|
(6,814
|
)
|
|
2,984
|
|
|
(20,868
|
)
|
||||
Net earnings from continuing operations
|
31,499
|
|
|
9,457
|
|
|
1,074
|
|
|
42,030
|
|
||||
Loss from discontinued operations before taxes
|
(42
|
)
|
|
—
|
|
|
—
|
|
|
(42
|
)
|
||||
Income tax benefit
|
18
|
|
|
—
|
|
|
—
|
|
|
18
|
|
||||
Net loss from discontinued operations
|
(24
|
)
|
|
—
|
|
|
—
|
|
|
(24
|
)
|
||||
Net earnings
|
$
|
31,475
|
|
|
$
|
9,457
|
|
|
$
|
1,074
|
|
|
$
|
42,006
|
|
|
September 30, 2014
|
||||||||||
Security Type:
|
Amortized Cost
|
|
Fair Value
|
|
Yield
(1)
|
|
Duration (in years)
|
||||
|
(Dollars in thousands)
|
||||||||||
Residential mortgage-backed securities:
|
|
|
|
|
|
|
|
||||
Government agency and government-sponsored enterprise
|
|
|
|
|
|
|
|
||||
pass through securities
|
$
|
537,969
|
|
|
$
|
555,087
|
|
|
2.79%
|
|
3.8
|
Government agency and government-sponsored enterprise
|
|
|
|
|
|
|
|
||||
collateralized mortgage obligations
|
280,820
|
|
|
279,791
|
|
|
2.57%
|
|
4.9
|
||
Private label collateralized mortgage obligations
|
40,393
|
|
|
47,902
|
|
|
7.57%
|
|
2.3
|
||
Municipal securities (2)
|
473,426
|
|
|
482,427
|
|
|
2.96%
|
|
5.7
|
||
Corporate debt securities
|
110,032
|
|
|
112,143
|
|
|
3.84%
|
|
2.5
|
||
Government-sponsored enterprise debt securities
|
36,214
|
|
|
36,382
|
|
|
|
|
|
||
Other securities
|
26,044
|
|
|
25,949
|
|
|
0.62%
|
|
3.6
|
||
Total securities available-for-sale (2)
|
$
|
1,504,898
|
|
|
$
|
1,539,681
|
|
|
2.98%
|
|
4.5
|
(1)
|
Represents the yield for the month of
September 30, 2014
.
|
(2)
|
The tax equivalent yield was
4.32%
and
3.41%
for municipal securities and total securities available-for-sale, respectively.
|
|
September 30, 2014
|
|||||
Municipal Securities by State:
|
Carrying Value
|
|
% of Total
|
|||
|
(Dollars in thousands)
|
|||||
|
|
|
|
|||
Texas
|
$
|
91,831
|
|
|
19
|
%
|
Washington
|
45,208
|
|
|
9
|
%
|
|
New York
|
34,069
|
|
|
7
|
%
|
|
Colorado
|
30,251
|
|
|
6
|
%
|
|
Illinois
|
26,686
|
|
|
6
|
%
|
|
Ohio
|
25,183
|
|
|
5
|
%
|
|
California
|
22,213
|
|
|
5
|
%
|
|
Hawaii
|
16,562
|
|
|
3
|
%
|
|
Massachusetts
|
15,808
|
|
|
3
|
%
|
|
Florida
|
15,799
|
|
|
3
|
%
|
|
Total of 10 largest states
|
323,610
|
|
|
66
|
%
|
|
All other states
|
158,817
|
|
|
34
|
%
|
|
Total municipal securities
|
$
|
482,427
|
|
|
100
|
%
|
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
|||||||||||||||
|
Amount
|
|
% of
Total
|
|
Amount
|
|
% of
Total
|
|
Amount
|
|
% of
Total
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Hospitality
|
$
|
530,628
|
|
|
5
|
%
|
|
$
|
560,832
|
|
|
5
|
%
|
|
$
|
181,735
|
|
|
4
|
%
|
SBA
|
357,923
|
|
|
3
|
%
|
|
352,492
|
|
|
3
|
%
|
|
45,166
|
|
|
1
|
%
|
|||
Commercial real estate
|
2,492,883
|
|
|
22
|
%
|
|
2,390,066
|
|
|
22
|
%
|
|
1,712,125
|
|
|
40
|
%
|
|||
Healthcare real estate
|
1,006,164
|
|
|
9
|
%
|
|
976,539
|
|
|
9
|
%
|
|
189,737
|
|
|
4
|
%
|
|||
Multi-family
|
811,234
|
|
|
7
|
%
|
|
857,907
|
|
|
8
|
%
|
|
330,229
|
|
|
8
|
%
|
|||
Other
|
514,283
|
|
|
3
|
%
|
|
457,746
|
|
|
4
|
%
|
|
334,249
|
|
|
8
|
%
|
|||
Total real estate mortgage
|
5,713,115
|
|
|
49
|
%
|
|
5,595,582
|
|
|
51
|
%
|
|
2,793,241
|
|
|
65
|
%
|
|||
Real estate construction:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Residential
|
72,881
|
|
|
1
|
%
|
|
73,488
|
|
|
1
|
%
|
|
58,898
|
|
|
1
|
%
|
|||
Commercial
|
218,389
|
|
|
2
|
%
|
|
235,019
|
|
|
2
|
%
|
|
159,308
|
|
|
4
|
%
|
|||
Total real estate construction
|
291,270
|
|
|
3
|
%
|
|
308,507
|
|
|
3
|
%
|
|
218,206
|
|
|
5
|
%
|
|||
Total real estate loans
|
6,004,385
|
|
|
52
|
%
|
|
5,904,089
|
|
|
54
|
%
|
|
3,011,447
|
|
|
70
|
%
|
|||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Collateralized
|
429,011
|
|
|
4
|
%
|
|
446,754
|
|
|
4
|
%
|
|
587,326
|
|
|
13
|
%
|
|||
Unsecured
|
127,150
|
|
|
1
|
%
|
|
145,632
|
|
|
1
|
%
|
|
153,881
|
|
|
4
|
%
|
|||
Asset-based
|
1,594,488
|
|
|
14
|
%
|
|
1,488,267
|
|
|
13
|
%
|
|
202,428
|
|
|
5
|
%
|
|||
Cash flow
|
2,341,511
|
|
|
20
|
%
|
|
2,167,135
|
|
|
19
|
%
|
|
—
|
|
|
—
|
%
|
|||
Equipment finance
|
928,460
|
|
|
8
|
%
|
|
932,554
|
|
|
8
|
%
|
|
273,483
|
|
|
6
|
%
|
|||
SBA
|
41,129
|
|
|
—
|
%
|
|
42,333
|
|
|
—
|
%
|
|
28,641
|
|
|
1
|
%
|
|||
Total commercial
|
5,461,749
|
|
|
47
|
%
|
|
5,222,675
|
|
|
45
|
%
|
|
1,245,759
|
|
|
29
|
%
|
|||
Consumer
|
108,751
|
|
|
1
|
%
|
|
63,341
|
|
|
1
|
%
|
|
55,146
|
|
|
1
|
%
|
|||
Total gross loans and leases
(1)
|
$
|
11,574,885
|
|
|
100
|
%
|
|
$
|
11,190,105
|
|
|
100
|
%
|
|
$
|
4,312,352
|
|
|
100
|
%
|
(1)
|
Includes PCI loans of
$351.4 million
,
$398.4 million
and
$382.8 million
at
September 30, 2014
,
June 30, 2014
and
December 31, 2013
, respectively, of which the majority are Other Real Estate Mortgage loans.
|
|
Three Months Ended September 30, 2014
|
||||||||||
|
Community
|
|
National
|
|
|
||||||
Loan and Lease Roll Forward by Portfolio Segment
(1)
:
|
Banking
|
|
Lending
|
|
Total
|
||||||
|
(In thousands)
|
||||||||||
Beginning balance
|
$
|
3,521,367
|
|
|
$
|
7,668,738
|
|
|
$
|
11,190,105
|
|
Loans and leases originated and purchased
|
236,384
|
|
|
738,274
|
|
|
974,658
|
|
|||
Existing loans and leases:
|
|
|
|
|
|
||||||
Principal repayments, net
(2)
|
(269,365
|
)
|
|
(266,393
|
)
|
|
(535,758
|
)
|
|||
Loan and lease sales
|
(223
|
)
|
|
(12,816
|
)
|
|
(13,039
|
)
|
|||
Transfers to held for sale
|
—
|
|
|
(33,125
|
)
|
|
(33,125
|
)
|
|||
Charge-offs
|
(6,038
|
)
|
|
(1,918
|
)
|
|
(7,956
|
)
|
|||
Ending balance
|
$
|
3,482,125
|
|
|
$
|
8,092,760
|
|
|
$
|
11,574,885
|
|
(1)
|
Includes direct financing leases but excludes equipment leased to others under operating leases.
|
(2)
|
Includes principal repayments on existing loans, changes in revolving lines of credit (repayments and draws) and other changes within the loan portfolio.
|
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
|||||||||||||||
Loan Category:
|
Amount
|
|
% of
Total
|
|
Amount
|
|
% of
Total
|
|
Amount
|
|
% of
Total
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||
Commercial real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Industrial/warehouse
|
$
|
487,902
|
|
|
9
|
%
|
|
$
|
489,043
|
|
|
9
|
%
|
|
$
|
354,345
|
|
|
13
|
%
|
Retail
|
453,835
|
|
|
8
|
%
|
|
446,080
|
|
|
8
|
%
|
|
346,370
|
|
|
12
|
%
|
|||
Office buildings
|
821,076
|
|
|
14
|
%
|
|
732,807
|
|
|
13
|
%
|
|
432,204
|
|
|
16
|
%
|
|||
Owner-occupied
|
584,937
|
|
|
10
|
%
|
|
577,029
|
|
|
10
|
%
|
|
233,195
|
|
|
8
|
%
|
|||
Hotel
|
532,991
|
|
|
9
|
%
|
|
563,248
|
|
|
10
|
%
|
|
181,735
|
|
|
7
|
%
|
|||
Healthcare
|
1,006,164
|
|
|
19
|
%
|
|
976,539
|
|
|
19
|
%
|
|
189,737
|
|
|
7
|
%
|
|||
Mixed use
|
131,101
|
|
|
2
|
%
|
|
60,514
|
|
|
1
|
%
|
|
68,966
|
|
|
2
|
%
|
|||
Gas station
|
12,654
|
|
|
—
|
%
|
|
13,127
|
|
|
—
|
%
|
|
35,224
|
|
|
1
|
%
|
|||
Self storage
|
62,820
|
|
|
1
|
%
|
|
67,077
|
|
|
1
|
%
|
|
73,760
|
|
|
3
|
%
|
|||
Restaurant
|
18,262
|
|
|
—
|
%
|
|
24,459
|
|
|
—
|
%
|
|
21,510
|
|
|
1
|
%
|
|||
Land acquisition/development
|
7,907
|
|
|
—
|
%
|
|
8,858
|
|
|
—
|
%
|
|
4,420
|
|
|
—
|
%
|
|||
Unimproved land
|
7,870
|
|
|
—
|
%
|
|
8,702
|
|
|
—
|
%
|
|
12,517
|
|
|
—
|
%
|
|||
Other
|
260,079
|
|
|
5
|
%
|
|
312,446
|
|
|
6
|
%
|
|
174,780
|
|
|
6
|
%
|
|||
Total commercial real estate mortgage
|
4,387,598
|
|
|
77
|
%
|
|
4,279,929
|
|
|
77
|
%
|
|
2,128,763
|
|
|
76
|
%
|
|||
Residential real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Multi-family
|
811,234
|
|
|
15
|
%
|
|
857,907
|
|
|
16
|
%
|
|
330,229
|
|
|
12
|
%
|
|||
Single family owner-occupied
|
183,211
|
|
|
3
|
%
|
|
185,990
|
|
|
3
|
%
|
|
212,508
|
|
|
8
|
%
|
|||
Single family nonowner-occupied
|
251,559
|
|
|
4
|
%
|
|
192,413
|
|
|
3
|
%
|
|
33,741
|
|
|
1
|
%
|
|||
Mixed use
|
11,478
|
|
|
—
|
%
|
|
11,305
|
|
|
—
|
%
|
|
10,701
|
|
|
—
|
%
|
|||
HELOCs
|
68,035
|
|
|
1
|
%
|
|
68,038
|
|
|
1
|
%
|
|
77,299
|
|
|
3
|
%
|
|||
Total residential real estate mortgage
|
1,325,517
|
|
|
23
|
%
|
|
1,315,653
|
|
|
23
|
%
|
|
664,478
|
|
|
24
|
%
|
|||
Total gross real estate mortgage loans
|
$
|
5,713,115
|
|
|
100
|
%
|
|
$
|
5,595,582
|
|
|
100
|
%
|
|
$
|
2,793,241
|
|
|
100
|
%
|
•
|
Pass: Loans and leases classified as "pass" are not adversely classified and collection and repayment in full is expected.
|
•
|
Special Mention: Loans and leases classified as "special mention" have a potential weakness that requires management's attention. If not addressed, these potential weaknesses may result in further deterioration in the borrower's ability to repay the loan or lease.
|
•
|
Substandard: Loans and leases classified as "substandard" have a well-defined weakness or weaknesses that jeopardize the collection of the debt. They are characterized by the possibility that we will sustain some loss if the weaknesses are not corrected.
|
•
|
Doubtful: Loans and leases classified as "doubtful" have all the weaknesses of those classified as "substandard," with the additional trait that the weaknesses make collection or repayment in full highly questionable and improbable.
|
Non-PCI Allowance for Credit Losses Data:
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
|
September 30, 2013
|
||||||||
|
(Dollars in thousands)
|
||||||||||||||
Allowance for loan and lease losses
|
$
|
63,084
|
|
|
$
|
65,523
|
|
|
$
|
60,241
|
|
|
$
|
60,551
|
|
Reserve for unfunded loan commitments
|
5,913
|
|
|
6,844
|
|
|
7,575
|
|
|
7,250
|
|
||||
Total allowance for credit losses
|
$
|
68,997
|
|
|
$
|
72,367
|
|
|
$
|
67,816
|
|
|
$
|
67,801
|
|
|
|
|
|
|
|
|
|
||||||||
Allowance for credit losses to loans and leases
|
0.61
|
%
|
|
0.67
|
%
|
|
1.73
|
%
|
|
1.72
|
%
|
||||
Adjusted allowance for credit losses to loans and leases
|
1.57
|
%
|
|
2.07
|
%
|
|
2.34
|
%
|
|
2.43
|
%
|
||||
Allowance for credit losses to nonaccrual loans and leases
|
77.6
|
%
|
|
74.8
|
%
|
|
145.0
|
%
|
|
133.3
|
%
|
||||
Allowance for credit losses to nonperforming assets
|
53.3
|
%
|
|
48.0
|
%
|
|
66.1
|
%
|
|
63.5
|
%
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
Non-PCI Allowance for Credit Losses:
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||
Allowance for credit losses, beginning of period
|
$
|
72,367
|
|
|
$
|
66,955
|
|
|
$
|
69,926
|
|
|
$
|
67,816
|
|
|
$
|
72,119
|
|
Provision for credit losses:
|
|
|
|
|
|
|
|
|
|
||||||||||
Addition to (reduction in) allowance for loan and lease losses
|
3,684
|
|
|
5,131
|
|
|
(570
|
)
|
|
9,415
|
|
|
(1,030
|
)
|
|||||
Addition to (reduction in) reserve for unfunded loan
|
|
|
|
|
|
|
|
|
|
||||||||||
commitments
|
(931
|
)
|
|
(131
|
)
|
|
570
|
|
|
(1,662
|
)
|
|
1,030
|
|
|||||
Provision for credit losses
|
2,753
|
|
|
5,000
|
|
|
—
|
|
|
7,753
|
|
|
—
|
|
|||||
Loans and leases charged off:
|
|
|
|
|
|
|
|
|
|
||||||||||
Real estate mortgage
|
(395
|
)
|
|
(487
|
)
|
|
(281
|
)
|
|
(976
|
)
|
|
(3,840
|
)
|
|||||
Commercial
|
(7,282
|
)
|
|
(326
|
)
|
|
(2,439
|
)
|
|
(9,049
|
)
|
|
(4,631
|
)
|
|||||
Consumer
|
(171
|
)
|
|
(17
|
)
|
|
(75
|
)
|
|
(203
|
)
|
|
(111
|
)
|
|||||
Total loans and leases charged off
|
(7,848
|
)
|
|
(830
|
)
|
|
(2,795
|
)
|
|
(10,228
|
)
|
|
(8,582
|
)
|
|||||
Recoveries on loans charged off:
|
|
|
|
|
|
|
|
|
|
||||||||||
Real estate mortgage
|
1,312
|
|
|
376
|
|
|
152
|
|
|
1,949
|
|
|
1,665
|
|
|||||
Real estate construction
|
24
|
|
|
64
|
|
|
179
|
|
|
112
|
|
|
514
|
|
|||||
Commercial
|
337
|
|
|
587
|
|
|
324
|
|
|
1,301
|
|
|
2,028
|
|
|||||
Consumer
|
52
|
|
|
215
|
|
|
15
|
|
|
294
|
|
|
57
|
|
|||||
Total recoveries on loans charged off
|
1,725
|
|
|
1,242
|
|
|
670
|
|
|
3,656
|
|
|
4,264
|
|
|||||
Net (charge-offs) recoveries
|
(6,123
|
)
|
|
412
|
|
|
(2,125
|
)
|
|
(6,572
|
)
|
|
(4,318
|
)
|
|||||
Allowance for credit losses, end of period
|
$
|
68,997
|
|
|
$
|
72,367
|
|
|
$
|
67,801
|
|
|
$
|
68,997
|
|
|
$
|
67,801
|
|
Ratios:
|
|
|
|
|
|
|
|
|
|
||||||||||
Annualized net charge-offs to average loans and leases
|
0.22
|
%
|
|
0.02
|
%
|
|
0.22
|
%
|
|
0.11
|
%
|
|
0.17
|
%
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||
|
September 30,
|
|
June 30,
|
|
September 30,
|
|
September 30,
|
||||||||||||
PCI Allowance for Credit Losses:
|
2014
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Allowance for credit losses on PCI loans, beginning of period
|
$
|
16,626
|
|
|
$
|
21,200
|
|
|
$
|
27,397
|
|
|
$
|
21,793
|
|
|
$
|
26,069
|
|
Provision (negative provision)
|
2,297
|
|
|
30
|
|
|
(4,167
|
)
|
|
1,683
|
|
|
(2,872
|
)
|
|||||
Net (charge-offs) recoveries
|
(108
|
)
|
|
(4,604
|
)
|
|
5
|
|
|
(4,661
|
)
|
|
38
|
|
|||||
Allowance for credit losses on PCI loans, end of period
|
$
|
18,815
|
|
|
$
|
16,626
|
|
|
$
|
23,235
|
|
|
$
|
18,815
|
|
|
$
|
23,235
|
|
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
|
September 30, 2013
|
||||||||
|
(Dollars in thousands)
|
||||||||||||||
Nonaccrual Non-PCI loans and leases
|
$
|
88,948
|
|
|
$
|
96,802
|
|
|
$
|
46,774
|
|
|
$
|
50,845
|
|
Nonaccrual PCI loans
(1)
|
27,670
|
|
|
38,467
|
|
|
—
|
|
|
—
|
|
||||
Total nonaccrual loans
|
116,618
|
|
|
135,269
|
|
|
46,774
|
|
|
50,845
|
|
||||
Foreclosed assets, net
|
40,524
|
|
|
53,821
|
|
|
55,891
|
|
|
55,972
|
|
||||
Total nonperforming assets
|
$
|
157,142
|
|
|
$
|
189,090
|
|
|
$
|
102,665
|
|
|
$
|
106,817
|
|
|
|
|
|
|
|
|
|
||||||||
Performing restructured loans
(3)
|
$
|
34,308
|
|
|
$
|
33,741
|
|
|
$
|
41,648
|
|
|
$
|
80,237
|
|
Nonaccrual loans and leases to loans and leases
(2)
|
1.01
|
%
|
|
1.21
|
%
|
|
1.19
|
%
|
|
1.29
|
%
|
||||
Nonperforming assets to loans and leases and foreclosed
|
|
|
|
|
|
|
|
||||||||
assets, net
(2)
|
1.35
|
%
|
|
1.68
|
%
|
|
2.48
|
%
|
|
2.67
|
%
|
(1)
|
Represents legacy CapitalSource borrowing relationships placed on nonaccrual status as of the acquisition date.
|
(2)
|
Calculation includes total loans and leases as of
September 30, 2014
and
June 30, 2014
. For prior periods, calculation excludes PCI loans.
|
(3)
|
Excludes PCI loans.
|
|
Nonaccrual Loans and Leases
|
|
Accruing and
|
||||||||||||||||||
|
September 30, 2014
|
|
June 30, 2014
|
|
30 - 89 Days Past Due
|
||||||||||||||||
|
Amount
|
|
% of
Loan
Category
|
|
Amount
|
|
% of
Loan
Category
|
|
September 30, 2014
|
|
June 30, 2014
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||
Real estate mortgage:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Hospitality
|
$
|
6,451
|
|
|
1.0
|
%
|
|
$
|
6,552
|
|
|
1.2
|
%
|
|
$
|
—
|
|
|
$
|
—
|
|
SBA
|
7,483
|
|
|
2.0
|
%
|
|
8,032
|
|
|
2.3
|
%
|
|
529
|
|
|
1,233
|
|
||||
Other
|
26,575
|
|
|
1.0
|
%
|
|
28,098
|
|
|
0.6
|
%
|
|
4,014
|
|
|
1,427
|
|
||||
Total real estate mortgage
|
40,509
|
|
|
1.0
|
%
|
|
42,682
|
|
|
0.8
|
%
|
|
4,543
|
|
|
2,660
|
|
||||
Real estate construction:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential
|
925
|
|
|
1.0
|
%
|
|
927
|
|
|
1.3
|
%
|
|
—
|
|
|
—
|
|
||||
Commercial
|
2,703
|
|
|
1.0
|
%
|
|
2,737
|
|
|
1.2
|
%
|
|
1,190
|
|
|
—
|
|
||||
Total real estate construction
|
3,628
|
|
|
1.0
|
%
|
|
3,664
|
|
|
1.2
|
%
|
|
1,190
|
|
|
—
|
|
||||
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Collateralized
|
5,165
|
|
|
1.0
|
%
|
|
11,247
|
|
|
2.5
|
%
|
|
—
|
|
|
575
|
|
||||
Unsecured
|
226
|
|
|
—
|
%
|
|
322
|
|
|
0.2
|
%
|
|
1
|
|
|
145
|
|
||||
Asset-based
|
5,003
|
|
|
—
|
%
|
|
4,874
|
|
|
0.3
|
%
|
|
—
|
|
|
—
|
|
||||
Cash flow
|
15,958
|
|
|
1.0
|
%
|
|
15,793
|
|
|
0.7
|
%
|
|
—
|
|
|
—
|
|
||||
Equipment finance
|
12,885
|
|
|
1.0
|
%
|
|
10,576
|
|
|
1.1
|
%
|
|
—
|
|
|
—
|
|
||||
SBA
|
2,039
|
|
|
5.0
|
%
|
|
4,096
|
|
|
9.7
|
%
|
|
—
|
|
|
75
|
|
||||
Total commercial
|
41,276
|
|
|
1.0
|
%
|
|
46,908
|
|
|
0.9
|
%
|
|
1
|
|
|
795
|
|
||||
Consumer
|
3,535
|
|
|
3.0
|
%
|
|
3,548
|
|
|
0.6
|
%
|
|
165
|
|
|
128
|
|
||||
Total Non-PCI loans and leases
|
$
|
88,948
|
|
|
1.0
|
%
|
|
$
|
96,802
|
|
|
0.9
|
%
|
|
$
|
5,899
|
|
|
$
|
3,583
|
|
September 30,
2014
Nonaccrual
Amount
|
|
Description
|
||
(In thousands)
|
|
|
||
$
|
15,723
|
|
|
Two healthcare cash flow loans secured by enterprise value. Borrower is current on principal and interest payments, but credit risk has increased due a decline in performance.
|
6,451
|
|
|
Two loans, each secured by a hotel in San Diego County. The borrower is paying according to the restructured terms of each loan.
|
|
5,847
|
|
|
Loan secured by 2nd trust deeds on two single family residences in Los Angeles County.
|
|
4,616
|
|
|
Loans secured by equipment used for coal production. Borrower is current on principal and interest payments but operating performance has declined.
(1)
|
|
4,469
|
|
|
Asset based loan secured by consumer sales installment contracts. Although operating performance of the borrower has declined, loan payments have remained current and the loan is fully secured by performing receivables.
|
|
3,484
|
|
|
Two loans secured by various residential and commercial properties located predominantly in San Luis Obispo County.
|
|
3,240
|
|
|
Equipment leases secured by coal mining equipment. Borrower is current on lease payments.
|
|
3,154
|
|
|
Loan secured by an industrial building in Santa Barbara County.
|
|
2,652
|
|
|
Two loans that are both unsecured. The borrower is paying according to the restructured terms of each loan.
|
|
2,436
|
|
|
Two equipment leases secured by the inventory management system of a specialty retailer. Lease payments are current.
|
|
$
|
52,073
|
|
|
Total
|
(1)
|
New nonaccrual in
third
quarter of 2014.
|
Property Type:
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
|
September 30, 2013
|
||||||||
|
(In thousands)
|
||||||||||||||
Commercial real estate
|
$
|
2,559
|
|
|
$
|
10,770
|
|
|
$
|
15,753
|
|
|
$
|
18,826
|
|
Construction and land development
|
27,731
|
|
|
32,682
|
|
|
35,063
|
|
|
36,131
|
|
||||
Multi-family
|
835
|
|
|
835
|
|
|
835
|
|
|
989
|
|
||||
Single family residence
|
13
|
|
|
31
|
|
|
186
|
|
|
26
|
|
||||
Total OREO, net
|
31,138
|
|
|
44,318
|
|
|
51,837
|
|
|
55,972
|
|
||||
Other foreclosed assets
|
9,386
|
|
|
9,503
|
|
|
4,054
|
|
|
—
|
|
||||
Total foreclosed assets
|
$
|
40,524
|
|
|
$
|
53,821
|
|
|
$
|
55,891
|
|
|
$
|
55,972
|
|
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
|
September 30, 2013
|
||||||||
|
(In thousands)
|
||||||||||||||
Current
|
$
|
309,129
|
|
|
$
|
319,074
|
|
|
$
|
326,152
|
|
|
$
|
368,487
|
|
30 to 89 days past due
|
3,685
|
|
|
29,610
|
|
|
4,784
|
|
|
16,321
|
|
||||
90 days or more past due
|
38,565
|
|
|
49,752
|
|
|
51,860
|
|
|
47,949
|
|
||||
Total
|
$
|
351,379
|
|
|
$
|
398,436
|
|
|
$
|
382,796
|
|
|
$
|
432,757
|
|
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
|||||||||||||||
Deposit Category:
|
Amount
|
|
% of Total
|
|
Amount
|
|
% of Total
|
|
Amount
|
|
% of Total
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||
Noninterest-bearing deposits
|
$
|
2,842,488
|
|
|
25
|
%
|
|
$
|
2,701,434
|
|
|
23
|
%
|
|
$
|
2,318,446
|
|
|
44
|
%
|
Interest checking deposits
|
683,014
|
|
|
6
|
|
|
587,418
|
|
|
5
|
|
|
620,622
|
|
|
12
|
|
|||
Money market deposits
|
1,721,563
|
|
|
15
|
|
|
1,688,773
|
|
|
14
|
|
|
1,458,910
|
|
|
28
|
|
|||
Savings deposits
|
759,893
|
|
|
6
|
|
|
760,553
|
|
|
7
|
|
|
218,638
|
|
|
4
|
|
|||
Total core deposits
|
6,006,958
|
|
|
52
|
|
|
5,738,178
|
|
|
49
|
|
|
4,616,616
|
|
|
88
|
|
|||
Time deposits under $100,000
|
2,267,013
|
|
|
20
|
|
|
2,251,473
|
|
|
19
|
|
|
225,360
|
|
|
4
|
|
|||
Time deposits $100,000 and over
|
3,249,466
|
|
|
28
|
|
|
3,678,146
|
|
|
32
|
|
|
439,011
|
|
|
8
|
|
|||
Total time deposits
|
5,516,479
|
|
|
48
|
|
|
5,929,619
|
|
|
51
|
|
|
664,371
|
|
|
12
|
|
|||
Total deposits
|
$
|
11,523,437
|
|
|
100
|
%
|
|
$
|
11,667,797
|
|
|
100
|
%
|
|
$
|
5,280,987
|
|
|
100
|
%
|
|
September 30, 2014
|
||||||||||||||
Maturity:
|
Time
Deposits Under $100,000 |
|
Time
Deposits $100,000 or More |
|
Total Time
Deposits |
|
Contractual Rate
|
|
Estimated Effective Rate
|
||||||
|
(Dollars in thousands)
|
||||||||||||||
Due in three months or less
|
$
|
611,767
|
|
|
$
|
925,768
|
|
|
$
|
1,537,535
|
|
|
0.81%
|
|
0.65%
|
Due in over three months through six months
|
539,313
|
|
|
735,895
|
|
|
1,275,208
|
|
|
0.77%
|
|
0.67%
|
|||
Due in over six months through twelve months
|
892,299
|
|
|
1,327,287
|
|
|
2,219,586
|
|
|
0.78%
|
|
0.72%
|
|||
Due in over 12 months through 24 months
|
152,307
|
|
|
179,141
|
|
|
331,448
|
|
|
1.01%
|
|
0.72%
|
|||
Due in over 24 months
|
71,327
|
|
|
81,375
|
|
|
152,702
|
|
|
0.97%
|
|
0.70%
|
|||
Total
|
$
|
2,267,013
|
|
|
$
|
3,249,466
|
|
|
$
|
5,516,479
|
|
|
0.80%
|
|
0.69%
|
|
September 30, 2014
|
|||||||
|
Pacific Western Bank
|
|
PacWest Bancorp Consolidated
|
|
Well Capitalized Requirement
|
|||
Tier-1 Leverage
|
11.74
|
%
|
|
12.17
|
%
|
|
5.00
|
%
|
Tier-1 Risk-Based Capital
|
12.74
|
|
|
13.24
|
|
|
6.00
|
|
Total Risk-Based Capital
|
13.44
|
|
|
16.24
|
|
|
10.00
|
|
Tangible common equity ratio
|
11.60
|
|
|
12.24
|
|
|
N/A
|
|
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
||||||
|
(In thousands)
|
||||||||||
Primary Liquidity-On-Balance Sheet:
|
|
|
|
|
|
||||||
Cash and due from banks
|
$
|
145,463
|
|
|
$
|
243,583
|
|
|
$
|
96,424
|
|
Interest-earning deposits at financial institutions
|
115,399
|
|
|
119,782
|
|
|
50,998
|
|
|||
Investment securities available-for-sale
|
1,539,681
|
|
|
1,552,115
|
|
|
1,494,745
|
|
|||
Less: pledged securities
|
(294,574
|
)
|
|
(327,432
|
)
|
|
(208,340
|
)
|
|||
Total primary liquidity
|
$
|
1,505,969
|
|
|
$
|
1,588,048
|
|
|
$
|
1,433,827
|
|
Ratio of primary liquidity to total deposits
|
13.1
|
%
|
|
13.6
|
%
|
|
27.2
|
%
|
|||
|
|
|
|
|
|
||||||
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
||||||
|
(In thousands)
|
||||||||||
Secondary Liquidity-Off-Balance Sheet Available Secured Borrowing Capacity:
|
|
|
|
|
|
||||||
Total secured borrowing capacity with the FHLB SF
|
$
|
2,367,424
|
|
|
$
|
2,410,157
|
|
|
$
|
1,329,512
|
|
Less: secured advances outstanding
|
(360,000
|
)
|
|
(150
|
)
|
|
(106,600
|
)
|
|||
Net secured borrowing capacity with the FHLB SF
|
2,007,424
|
|
|
2,410,007
|
|
|
1,222,912
|
|
|||
Secured credit line with the FRBSF
|
1,034,484
|
|
|
529,993
|
|
|
563,560
|
|
|||
Total secondary liquidity
|
$
|
3,041,908
|
|
|
$
|
2,940,000
|
|
|
$
|
1,786,472
|
|
|
September 30, 2014
|
|
June 30, 2014
|
|
December 31, 2013
|
||||||
|
(In thousands)
|
||||||||||
Core Deposits:
|
|
|
|
|
|
||||||
Noninterest-bearing demand
|
$
|
2,842,488
|
|
|
$
|
2,701,434
|
|
|
$
|
2,318,446
|
|
Interest checking
|
683,014
|
|
|
587,418
|
|
|
620,622
|
|
|||
Money market deposits
|
1,721,563
|
|
|
1,688,773
|
|
|
1,458,910
|
|
|||
Savings deposits
|
759,893
|
|
|
760,553
|
|
|
218,638
|
|
|||
Total core deposits
|
$
|
6,006,958
|
|
|
$
|
5,738,178
|
|
|
$
|
4,616,616
|
|
|
September 30, 2014
|
||||||||||||||||||
|
Due Within One Year
|
|
Due in One to Three Years
|
|
Due in Three to Five Years
|
|
Due After Five Years
|
|
Total
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Time deposits
(1)
|
$
|
5,028,332
|
|
|
$
|
420,562
|
|
|
$
|
59,775
|
|
|
$
|
1,146
|
|
|
$
|
5,509,815
|
|
Overnight FHLB advance
|
360,000
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
360,000
|
|
|||||
Long-term debt obligations
(1)
|
1,825
|
|
|
1,681
|
|
|
155
|
|
|
547,074
|
|
|
550,735
|
|
|||||
Contractual interest
(2)
|
14,000
|
|
|
6,571
|
|
|
2,376
|
|
|
59
|
|
|
23,006
|
|
|||||
Operating lease obligations
|
23,323
|
|
|
34,894
|
|
|
22,561
|
|
|
30,286
|
|
|
111,064
|
|
|||||
Other contractual obligations
|
14,037
|
|
|
4,859
|
|
|
238
|
|
|
203
|
|
|
19,337
|
|
|||||
Total
|
$
|
5,441,517
|
|
|
$
|
468,567
|
|
|
$
|
85,105
|
|
|
$
|
578,768
|
|
|
$
|
6,573,957
|
|
(1)
|
Excludes purchase accounting fair value adjustments.
|
(2)
|
Excludes interest on subordinated debentures as these instruments are floating rate.
|
|
|
|
|
|
|
|
Estimated
|
||
|
Estimated
|
|
Percentage
|
|
Estimated
|
|
Net Interest
|
||
September 30, 2014
|
Net Interest
|
|
Change
|
|
Net Interest
|
|
Margin Change
|
||
Interest Rate Scenario:
|
Income
|
|
From Base
|
|
Margin
|
|
From Base
|
||
|
(Dollars in millions)
|
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
||
Up 300 basis points
|
$
|
808.9
|
|
|
14.3%
|
|
5.91%
|
|
0.72%
|
Up 200 basis points
|
$
|
765.6
|
|
|
8.2%
|
|
5.60%
|
|
0.41%
|
Up 100 basis points
|
$
|
726.5
|
|
|
2.7%
|
|
5.33%
|
|
0.14%
|
BASE CASE
|
$
|
707.7
|
|
|
—
|
|
5.19%
|
|
—
|
Down 100 basis points
|
$
|
710.5
|
|
|
0.4%
|
|
5.21%
|
|
0.02%
|
Down 200 basis points
|
$
|
710.2
|
|
|
0.4%
|
|
5.21%
|
|
0.02%
|
Down 300 basis points
|
$
|
710.1
|
|
|
0.3%
|
|
5.21%
|
|
0.02%
|
September 30, 2014
Interest Rate Scenario:
|
Estimated
Market
Value
|
|
Dollar
Change
From Base
|
|
Percentage
Change
From Base
|
|
Percentage
of Total
Assets
|
|
Ratio of
Estimated
Market Value
to Book Value
|
||||||||
|
(Dollars in millions)
|
||||||||||||||||
Up 300 basis points
|
$
|
4,077.2
|
|
|
$
|
129.1
|
|
|
3.3
|
%
|
|
25.6
|
%
|
|
117.2
|
%
|
|
Up 200 basis points
|
$
|
4,024.9
|
|
|
$
|
76.8
|
|
|
1.9
|
%
|
|
25.3
|
%
|
|
115.7
|
%
|
|
Up 100 basis points
|
$
|
3,976.7
|
|
|
$
|
28.6
|
|
|
0.7
|
%
|
|
25.0
|
%
|
|
114.3
|
%
|
|
BASE CASE
|
$
|
3,948.1
|
|
|
$
|
—
|
|
|
—
|
|
|
24.8
|
%
|
|
113.5
|
%
|
|
Down 100 basis points
|
$
|
3,934.3
|
|
|
$
|
(13.8
|
)
|
|
(0.3
|
)%
|
|
24.7
|
%
|
|
113.1
|
%
|
|
Down 200 basis points
|
$
|
3,923.9
|
|
|
$
|
(24.2
|
)
|
|
(0.6
|
)%
|
|
24.6
|
%
|
|
112.8
|
%
|
|
Down 300 basis points
|
$
|
3,921.5
|
|
|
$
|
(26.6
|
)
|
|
(0.7
|
)%
|
|
24.6
|
%
|
|
112.7
|
%
|
Exhibit Number
|
Description
|
3.1
|
Certificate of Incorporation, as amended, of PacWest Bancorp, a Delaware corporation (Exhibit 3.1 to Form 8-K filed on May 14, 2008 and incorporated herein by this reference).
|
3.2
|
Certificate of Amendment, dated May 14, 2010, to Certificate of Incorporation of PacWest Bancorp (Exhibit 3.1 to Form 8-K filed on May 14, 2010 and incorporated herein by this reference).
|
3.3
|
Certificate of Merger filed with the Delaware Secretary of State, dated April 7, 2014.
|
3.4
|
Certificate of Correction of Certificate of Merger filed with the Delaware Secretary of State, dated April 14, 2014.
|
3.5
|
Amended and Restated Bylaws of PacWest Bancorp, a Delaware corporation, dated November 5, 2014. *
|
31.1
|
Rule 13a-14(a)/15d-14(a) Certification of Chief Executive Officer. *
|
31.2
|
Rule 13a-14(a)/15d-14(a) Certification of Chief Financial Officer. *
|
32.1
|
Section 1350 Certification of Chief Executive Officer. *
|
32.2
|
Section 1350 Certification of Chief Financial Officer. *
|
101
|
Interactive data files pursuant to Rule 405 of Regulation S-T: (i) the Condensed Consolidated Balance Sheets as of September 30, 2014 and December 31, 2013, (ii) the Condensed Consolidated Statements of Earnings for the three months ended September 30, 2014, June 30, 2014, and September 30, 2013 and the six months ended September 30, 2014 and 2013, (iii) the Condensed Consolidated Statements of Comprehensive Income for the three months ended September 30, 2014, June 30, 2014, and September 30, 2013 and the six months ended September 30, 2014 and 2013, (iv) the Condensed Consolidated Statement of Changes in Stockholders' Equity for the six months ended September 30, 2014 and 2013, (v) the Condensed Consolidated Statements of Cash Flows for the six months ended September 30, 2014 and 2013, and (vi) the Notes to Condensed Consolidated Financial Statements.
|
|
PACWEST BANCORP
|
|
|
Date: November 7, 2014
|
/s/ VICTOR R. SANTORO
|
|
Victor R. Santoro
|
|
Executive Vice President and Chief Financial Officer
|
1.
|
I have reviewed this report on Form 10-Q for the quarterly period ended
September 30, 2014
of PacWest Bancorp;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles.
|
(c)
|
Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and
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5.
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The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):
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(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
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(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.
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Date:
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November 7, 2014
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/s/ Matthew P. Wagner
|
|
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Matthew P. Wagner
Chief Executive Officer
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1.
|
I have reviewed this report on Form 10-Q for the quarterly period ended
September 30, 2014
of PacWest Bancorp;
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2.
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Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
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3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
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4.
|
The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles.
|
(c)
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Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
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(d)
|
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.
|
Date:
|
November 7, 2014
|
/s/ Victor R. Santoro
|
|
|
Victor R. Santoro
Executive Vice President and Chief Financial Officer
|
Date:
|
November 7, 2014
|
/s/ Matthew P. Wagner
|
|
|
Matthew P. Wagner
Chief Executive Officer
|
Date:
|
November 7, 2014
|
/s/ Victor R. Santoro
|
|
|
Victor R. Santoro
Executive Vice President and Chief Financial Officer
|