Annual report [Section 13 and 15(d), not S-K Item 405]

Loans Receivable

v3.25.0.1
Loans Receivable
12 Months Ended
Dec. 31, 2024
Receivables [Abstract]  
Loans Receivable

Note 3 — Loans Receivable

The Board of Directors and management review and approve the Bank’s loan policy and procedures on a regular basis to reflect matters such as regulatory and organizational structure changes, strategic planning revisions, concentrations of credit, loan delinquencies and nonperforming loans, and problem loans.

Real estate loans are loans secured by liens or interest in real estate, to provide for the purchase, construction or refinance of real estate properties. Commercial and industrial loans consist of commercial term loans, commercial lines of credit and can include SBA loans. Alternatively, SBA loans can be real estate secured. Equipment financing agreements are typically secured by the business assets being financed. We maintain management loan review and monitoring departments that review and monitor pass graded loans as well as problem loans to prevent further deterioration.

Loans receivable, net

Loans receivable consisted of the following as of the dates indicated:

 

 

 

December 31,

 

 

 

2024

 

 

2023

 

 

 

(in thousands)

 

Real estate loans:

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

Retail

 

$

1,068,978

 

 

$

1,107,360

 

Hospitality

 

 

848,134

 

 

 

740,519

 

Office

 

 

568,861

 

 

 

574,981

 

Other (1)

 

 

1,385,051

 

 

 

1,366,534

 

Total commercial property loans

 

 

3,871,024

 

 

 

3,789,394

 

Construction

 

 

78,598

 

 

 

100,345

 

Residential (2)

 

 

951,302

 

 

 

962,661

 

Total real estate loans

 

 

4,900,924

 

 

 

4,852,400

 

Commercial and industrial loans

 

 

863,431

 

 

 

747,819

 

Equipment financing agreements

 

 

487,022

 

 

 

582,215

 

Loans receivable

 

 

6,251,377

 

 

 

6,182,434

 

Allowance for credit losses

 

 

(70,147

)

 

 

(69,462

)

Loans receivable, net

 

$

6,181,230

 

 

$

6,112,972

 

 

(1)
Includes, among other property types, mixed-use, gas station, multifamily, industrial, and faith-based facilities; the remaining real estate categories represent less than 1% of the Bank's total loans receivable.
(2)
Includes $1.3 million and $1.9 million of home equity loans and lines, and $4.1 million and $4.5 million of personal loans at December 31, 2024 and 2023, respectively.

 

Accrued interest on loans was $19.1 million and $19.8 million at December 31, 2024 and 2023, respectively.

At December 31, 2024 and 2023, loans with carrying values of $2.46 billion and $2.36 billion, respectively, were pledged to secure advances from the FHLB.

Loans Held for Sale

The following table details the information on loans held for sale by portfolio segment for the years ended December 31, 2024 and 2023:

 

 

 

Real Estate & Construction

 

 

Commercial
and Industrial

 

 

Total

 

 

 

(in thousands)

 

December 31, 2024

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

8,792

 

 

$

3,221

 

 

$

12,013

 

Originations and transfers

 

 

97,085

 

 

 

38,721

 

 

 

135,806

 

Sales

 

 

(101,830

)

 

 

(37,342

)

 

 

(139,172

)

Principal paydowns and amortization

 

 

(53

)

 

 

(15

)

 

 

(68

)

Balance at end of period

 

$

3,994

 

 

$

4,585

 

 

$

8,579

 

 

 

 

 

 

 

 

 

 

 

December 31, 2023

 

 

 

 

 

 

 

 

 

Balance at beginning of period

 

$

3,775

 

 

$

4,268

 

 

$

8,043

 

Originations and transfers

 

 

65,705

 

 

 

39,293

 

 

 

104,998

 

Sales

 

 

(60,611

)

 

 

(39,903

)

 

 

(100,514

)

Principal paydowns and amortization

 

 

(77

)

 

 

(437

)

 

 

(514

)

Balance at end of period

 

$

8,792

 

 

$

3,221

 

 

$

12,013

 

 

Loans held for sale were comprised of $8.6 million and $12.0 million of the guaranteed portion of SBA 7(a) loans at December 31, 2024 and 2023, respectively.

Loan Purchases

The following table presents loans purchased by portfolio segment for the years ended December 31, 2024 and 2023:

 

 

 

Commercial
Real Estate

 

 

Commercial
and Industrial

 

 

Residential
Real Estate

 

 

Total

 

 

 

(in thousands)

 

2024

 

$

13,931

 

 

$

45,306

 

 

$

15,922

 

 

$

75,159

 

2023

 

$

 

 

$

9,657

 

 

$

 

 

$

9,657

 

 

 

Allowance for credit losses

The following table details the information on the allowance for credit losses by portfolio segment for the years ended December 31, 2024, 2023 and 2022:

 

 

 

Real
Estate

 

 

Commercial
and
Industrial

 

 

Equipment Financing Agreements

 

 

Total

 

 

 

(in thousands)

 

December 31, 2024

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for credit losses:

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance

 

$

45,499

 

 

$

10,257

 

 

$

13,706

 

 

$

69,462

 

Charge-offs

 

 

(1,543

)

 

 

(576

)

 

 

(9,499

)

 

 

(11,618

)

Recoveries

 

 

2,223

 

 

 

3,482

 

 

 

1,780

 

 

 

7,485

 

Provision (recovery) for credit losses

 

 

(1,080

)

 

 

(3,157

)

 

 

9,055

 

 

 

4,818

 

Ending balance

 

$

45,099

 

 

$

10,006

 

 

$

15,042

 

 

$

70,147

 

December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for credit losses:

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance

 

$

44,026

 

 

$

15,267

 

 

$

12,230

 

 

$

71,523

 

Charge-offs

 

 

(627

)

 

 

(6,657

)

 

 

(8,806

)

 

 

(16,090

)

Recoveries

 

 

312

 

 

 

7,089

 

 

 

1,646

 

 

 

9,047

 

Provision (recovery) for credit losses

 

 

1,788

 

 

 

(5,442

)

 

 

8,636

 

 

 

4,982

 

Ending balance

 

$

45,499

 

 

$

10,257

 

 

$

13,706

 

 

$

69,462

 

December 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for credit losses:

 

 

 

 

 

 

 

 

 

 

 

 

Beginning balance

 

$

48,890

 

 

$

12,418

 

 

$

11,249

 

 

$

72,557

 

Charge-offs

 

 

(1,886

)

 

 

(524

)

 

 

(2,312

)

 

 

(4,722

)

Recoveries

 

 

848

 

 

 

1,178

 

 

 

1,322

 

 

 

3,348

 

Provision (recovery) for credit losses

 

 

(3,826

)

 

 

2,195

 

 

 

1,971

 

 

 

340

 

Ending balance

 

$

44,026

 

 

$

15,267

 

 

$

12,230

 

 

$

71,523

 

The table below presents the allowance for credit losses by portfolio segment as a percentage of the total allowance for credit losses and loans by portfolio segment as a percentage of the aggregate investment of loans receivable for the years ended December 31, 2024 and 2023:

 

 

 

December 31, 2024

 

 

December 31, 2023

 

 

 

Allowance
Amount

 

 

Percentage
of Total
Allowance

 

 

Total
Loans

 

 

Percentage
of Total
Loans

 

 

Allowance
Amount

 

 

Percentage
of Total
Allowance

 

 

Total
Loans

 

 

Percentage
of Total
Loans

 

 

 

(dollars in thousands)

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail

 

$

10,171

 

 

 

14.5

%

 

$

1,068,978

 

 

 

17.1

%

 

$

10,264

 

 

 

14.8

%

 

$

1,107,360

 

 

 

17.9

%

Hospitality

 

 

15,302

 

 

 

21.8

 

 

 

848,134

 

 

 

13.6

 

 

 

15,534

 

 

 

22.4

 

 

 

740,519

 

 

 

12.0

 

Office

 

 

3,935

 

 

 

5.6

 

 

 

568,861

 

 

 

9.1

 

 

 

3,024

 

 

 

4.4

 

 

 

574,981

 

 

 

9.3

 

Other

 

 

8,243

 

 

 

11.8

 

 

 

1,385,051

 

 

 

22.2

 

 

 

8,663

 

 

 

12.4

 

 

 

1,366,534

 

 

 

22.1

 

Total commercial property loans

 

 

37,651

 

 

 

53.7

 

 

 

3,871,024

 

 

 

62.0

 

 

 

37,485

 

 

 

54.0

 

 

 

3,789,394

 

 

 

61.3

 

Construction

 

 

1,664

 

 

 

2.4

 

 

 

78,598

 

 

 

1.3

 

 

 

2,756

 

 

 

4.0

 

 

 

100,345

 

 

 

1.6

 

Residential

 

 

5,784

 

 

 

8.2

 

 

 

951,302

 

 

 

15.2

 

 

 

5,258

 

 

 

7.5

 

 

 

962,661

 

 

 

15.6

 

Total real estate loans

 

 

45,099

 

 

 

64.3

 

 

 

4,900,924

 

 

 

78.5

 

 

 

45,499

 

 

 

65.5

 

 

 

4,852,400

 

 

 

78.5

 

Commercial and industrial loans

 

 

10,006

 

 

 

14.3

 

 

 

863,431

 

 

 

13.8

 

 

 

10,257

 

 

 

14.8

 

 

 

747,819

 

 

 

12.1

 

Equipment financing agreements

 

 

15,042

 

 

 

21.4

 

 

 

487,022

 

 

 

7.7

 

 

 

13,706

 

 

 

19.7

 

 

 

582,215

 

 

 

9.4

 

Total

 

$

70,147

 

 

 

100.0

%

 

$

6,251,377

 

 

 

100.0

%

 

$

69,462

 

 

 

100.0

%

 

$

6,182,434

 

 

 

100.0

%

 

The following table represents the amortized cost basis of collateral dependent loans by class of loans as of December 31, 2024 and 2023, for which repayment is expected to be obtained through the sale of the underlying collateral and any collateral dependent loans that are still accruing but are considered nonperforming.

 

 

 

December 31,

 

 

 

2024

 

 

2023

 

 

 

(in thousands)

 

Real estate loans:

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

Retail

 

$

1,377

 

 

$

1,530

 

Hospitality

 

 

215

 

 

 

338

 

Other

 

 

 

 

 

305

 

Total commercial property loans

 

 

1,592

 

 

 

2,173

 

Residential

 

 

1,875

 

 

 

1

 

Total real estate loans

 

 

3,467

 

 

 

2,174

 

Commercial and industrial loans

 

 

32

 

 

 

5,178

 

Total

 

$

3,499

 

 

$

7,352

 

 

Loan Quality Indicators

As part of the on-going monitoring of the quality of our loan portfolio, we utilize an internal loan grading system to identify credit risk and assign an appropriate grade (from 1 to 8) for each loan in our portfolio. Third-party loan reviews are conducted annually on a sample basis. Additional adjustments are made when determined to be necessary. The loan grade definitions are as follows:

Pass and Pass-Watch: Pass and Pass-Watch loans, grades (1-4), are in compliance with the Bank’s credit policy and regulatory requirements, and do not exhibit any potential or defined weaknesses as defined under “Special Mention,” “Substandard” or “Doubtful.” This category is the strongest level of the Bank’s loan grading system. It consists of all performing loans with no identified credit weaknesses. It includes cash and stock/security secured loans or other investment grade loans.

Special Mention: A Special Mention loan, grade (5), has potential weaknesses that deserve management’s close attention. If not corrected, these potential weaknesses may result in deterioration of the repayment of the debt and result in a Substandard classification. Loans that have significant actual, not potential, weaknesses are considered more severely classified.

Substandard: A Substandard loan, grade (6), has a well-defined weakness that jeopardizes the liquidation of the debt. A loan graded Substandard is not protected by the sound worth and paying capacity of the borrower, or of the value and type of collateral pledged. With a Substandard loan, there is a distinct possibility that the Bank will sustain some loss if the weaknesses or deficiencies are not corrected.

Doubtful: A Doubtful loan, grade (7), is one that has critical weaknesses that would make the collection or liquidation of the full amount due improbable. However, there may be pending events which may work to strengthen the loan, and therefore the amount or timing of a possible loss cannot be determined at the current time.

Loss: A loan classified as Loss, grade (8), is considered uncollectible and of such little value that their continuance as active bank assets is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this asset even though partial recovery may be possible in the future. Loans classified as Loss will be charged off in a timely manner.

Under regulatory guidance, loans graded special mention or worse are considered criticized loans, and loans graded substandard or worse are considered classified loans.

 

Loans by Vintage Year and Risk Rating

 

 

Term Loans

 

 

 

 

 

 

 

 

 

Amortized Cost Basis by Origination Year (1)

 

 

 

 

 

 

 

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Revolving
Loans
Amortized
Cost Basis

 

 

Total

 

 

 

(in thousands)

 

December 31, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

$

533,989

 

 

$

558,271

 

 

$

930,190

 

 

$

800,938

 

 

$

553,490

 

 

$

271,209

 

 

$

101,277

 

 

$

3,749,364

 

Special Mention

 

 

29,935

 

 

 

 

 

 

1,009

 

 

 

 

 

 

 

 

 

76,524

 

 

 

 

 

 

107,468

 

Classified

 

 

541

 

 

 

 

 

 

5,658

 

 

 

3,151

 

 

 

72

 

 

 

4,770

 

 

 

 

 

 

14,192

 

Total commercial property

 

 

564,465

 

 

 

558,271

 

 

 

936,857

 

 

 

804,089

 

 

 

553,562

 

 

 

352,503

 

 

 

101,277

 

 

 

3,871,024

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

274

 

 

 

 

 

 

 

 

 

136

 

 

 

 

 

 

410

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

274

 

 

 

 

 

 

(21

)

 

 

(704

)

 

 

 

 

 

(451

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

70,601

 

 

 

7,997

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

78,598

 

Special Mention

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Classified

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total construction

 

 

70,601

 

 

 

7,997

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

78,598

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,133

 

 

 

 

 

 

 

 

 

1,133

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,132

 

 

 

(1,358

)

 

 

 

 

 

(226

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

127,986

 

 

 

200,316

 

 

 

355,134

 

 

 

145,310

 

 

 

11,164

 

 

 

105,406

 

 

 

4,436

 

 

 

949,752

 

Special Mention

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

251

 

 

 

251

 

Classified

 

 

 

 

 

 

 

 

983

 

 

 

 

 

 

316

 

 

 

 

 

 

 

 

 

1,299

 

Total residential

 

 

127,986

 

 

 

200,316

 

 

 

356,117

 

 

 

145,310

 

 

 

11,480

 

 

 

105,406

 

 

 

4,687

 

 

 

951,302

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(3

)

 

 

 

 

 

(3

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total real estate loans

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

732,576

 

 

 

766,584

 

 

 

1,285,324

 

 

 

946,248

 

 

 

564,654

 

 

 

376,615

 

 

 

105,713

 

 

 

4,777,714

 

Special Mention

 

 

29,935

 

 

 

 

 

 

1,009

 

 

 

 

 

 

 

 

 

76,524

 

 

 

251

 

 

 

107,719

 

Classified

 

 

541

 

 

 

 

 

 

6,641

 

 

 

3,151

 

 

 

388

 

 

 

4,770

 

 

 

 

 

 

15,491

 

Total real estate loans

 

 

763,052

 

 

 

766,584

 

 

 

1,292,974

 

 

 

949,399

 

 

 

565,042

 

 

 

457,909

 

 

 

105,964

 

 

 

4,900,924

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

274

 

 

 

 

 

 

1,133

 

 

 

136

 

 

 

 

 

 

1,543

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

274

 

 

 

 

 

 

1,111

 

 

 

(2,065

)

 

 

 

 

 

(680

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

271,655

 

 

 

59,453

 

 

 

94,385

 

 

 

32,226

 

 

 

12,761

 

 

 

13,360

 

 

 

346,001

 

 

 

829,841

 

Special Mention

 

 

19,473

 

 

 

 

 

 

12,401

 

 

 

 

 

 

 

 

 

20

 

 

 

 

 

 

31,894

 

Classified

 

 

 

 

 

(5

)

 

 

196

 

 

 

102

 

 

 

 

 

 

215

 

 

 

1,188

 

 

 

1,696

 

Total commercial and industrial loans

 

 

291,128

 

 

 

59,448

 

 

 

106,982

 

 

 

32,328

 

 

 

12,761

 

 

 

13,595

 

 

 

347,189

 

 

 

863,431

 

YTD gross charge-offs

 

 

19

 

 

 

169

 

 

 

168

 

 

 

 

 

 

11

 

 

 

207

 

 

 

2

 

 

 

576

 

YTD net charge-offs (recoveries)

 

 

19

 

 

 

169

 

 

 

160

 

 

 

(13

)

 

 

11

 

 

 

123

 

 

 

(3,375

)

 

 

(2,906

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equipment financing agreements:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

140,143

 

 

 

144,617

 

 

 

129,764

 

 

 

52,354

 

 

 

8,085

 

 

 

3,563

 

 

 

 

 

 

478,526

 

Special Mention

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Classified

 

 

431

 

 

 

1,945

 

 

 

3,851

 

 

 

1,934

 

 

 

129

 

 

 

206

 

 

 

 

 

 

8,496

 

Total equipment financing agreements

 

 

140,574

 

 

 

146,562

 

 

 

133,615

 

 

 

54,288

 

 

 

8,214

 

 

 

3,769

 

 

 

 

 

 

487,022

 

YTD gross charge-offs

 

 

30

 

 

 

1,456

 

 

 

5,128

 

 

 

2,206

 

 

 

354

 

 

 

325

 

 

 

 

 

 

9,499

 

YTD net charge-offs (recoveries)

 

 

30

 

 

 

1,299

 

 

 

4,488

 

 

 

1,826

 

 

 

287

 

 

 

(211

)

 

 

 

 

 

7,719

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans receivable:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

1,144,374

 

 

 

970,654

 

 

 

1,509,473

 

 

 

1,030,828

 

 

 

585,500

 

 

 

393,538

 

 

 

451,714

 

 

 

6,086,081

 

Special Mention

 

 

49,408

 

 

 

 

 

 

13,410

 

 

 

 

 

 

 

 

 

76,544

 

 

 

251

 

 

 

139,613

 

Classified

 

 

972

 

 

 

1,940

 

 

 

10,688

 

 

 

5,187

 

 

 

517

 

 

 

5,191

 

 

 

1,188

 

 

 

25,683

 

Total loans receivable

 

$

1,194,754

 

 

$

972,594

 

 

$

1,533,571

 

 

$

1,036,015

 

 

$

586,017

 

 

$

475,273

 

 

$

453,153

 

 

$

6,251,377

 

YTD gross charge-offs

 

 

49

 

 

 

1,625

 

 

 

5,570

 

 

 

2,206

 

 

 

1,498

 

 

 

668

 

 

 

2

 

 

 

11,618

 

YTD net charge-offs (recoveries)

 

 

49

 

 

 

1,468

 

 

 

4,922

 

 

 

1,813

 

 

 

1,409

 

 

 

(2,153

)

 

 

(3,375

)

 

 

4,133

 

 

(1)
Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision

 

 

 

Term Loans

 

 

 

 

 

 

 

 

 

Amortized Cost Basis by Origination Year (1)

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving
Loans
Amortized
Cost Basis

 

 

Total

 

 

 

(in thousands)

 

December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

$

683,819

 

 

$

986,822

 

 

$

858,821

 

 

$

572,950

 

 

$

378,067

 

 

$

238,400

 

 

$

30,236

 

 

$

3,749,115

 

Special Mention

 

 

4,400

 

 

 

3,997

 

 

 

3,271

 

 

 

5,670

 

 

 

711

 

 

 

2,310

 

 

 

1,406

 

 

 

21,765

 

Classified

 

 

3,065

 

 

 

1,080

 

 

 

4,899

 

 

 

 

 

 

5,578

 

 

 

3,892

 

 

 

 

 

 

18,514

 

Total commercial property

 

 

691,284

 

 

 

991,899

 

 

 

866,991

 

 

 

578,620

 

 

 

384,356

 

 

 

244,602

 

 

 

31,642

 

 

 

3,789,394

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

411

 

 

 

 

 

 

216

 

 

 

 

 

 

627

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

403

 

 

 

 

 

 

(81

)

 

 

 

 

 

322

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

72,039

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

72,039

 

Special Mention

 

 

 

 

 

 

 

 

28,306

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

28,306

 

Classified

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total construction

 

 

72,039

 

 

 

 

 

 

28,306

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

100,345

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

290,196

 

 

 

375,712

 

 

 

158,618

 

 

 

12,656

 

 

 

217

 

 

 

119,736

 

 

 

5,025

 

 

 

962,160

 

Special Mention

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

500

 

 

 

500

 

Classified

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1

 

 

 

 

 

 

1

 

Total residential

 

 

290,196

 

 

 

375,712

 

 

 

158,618

 

 

 

12,656

 

 

 

217

 

 

 

119,737

 

 

 

5,525

 

 

 

962,661

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(7

)

 

 

 

 

 

(7

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total real estate loans

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

1,046,054

 

 

 

1,362,534

 

 

 

1,017,439

 

 

 

585,606

 

 

 

378,284

 

 

 

358,136

 

 

 

35,261

 

 

 

4,783,314

 

Special Mention

 

 

4,400

 

 

 

3,997

 

 

 

31,577

 

 

 

5,670

 

 

 

711

 

 

 

2,310

 

 

 

1,906

 

 

 

50,571

 

Classified

 

 

3,065

 

 

 

1,080

 

 

 

4,899

 

 

 

 

 

 

5,578

 

 

 

3,893

 

 

 

 

 

 

18,515

 

Total real estate loans

 

 

1,053,519

 

 

 

1,367,611

 

 

 

1,053,915

 

 

 

591,276

 

 

 

384,573

 

 

 

364,339

 

 

 

37,167

 

 

 

4,852,400

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

411

 

 

 

 

 

 

216

 

 

 

 

 

 

627

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

403

 

 

 

 

 

 

(88

)

 

 

 

 

 

315

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

177,864

 

 

 

169,209

 

 

 

84,198

 

 

 

31,348

 

 

 

9,971

 

 

 

12,920

 

 

 

242,044

 

 

 

727,554

 

Special Mention

 

 

 

 

 

14,578

 

 

 

 

 

 

102

 

 

 

 

 

 

65

 

 

 

(1

)

 

 

14,744

 

Classified

 

 

329

 

 

 

 

 

 

 

 

 

 

 

 

79

 

 

 

174

 

 

 

4,939

 

 

 

5,521

 

Total commercial and industrial loans

 

 

178,193

 

 

 

183,787

 

 

 

84,198

 

 

 

31,450

 

 

 

10,050

 

 

 

13,159

 

 

 

246,982

 

 

 

747,819

 

YTD gross charge-offs

 

 

 

 

 

17

 

 

 

 

 

 

 

 

 

110

 

 

 

410

 

 

 

6,120

 

 

 

6,657

 

YTD net charge-offs (recoveries)

 

 

 

 

 

5

 

 

 

(7

)

 

 

 

 

 

101

 

 

 

(6,621

)

 

 

6,090

 

 

 

(432

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equipment financing agreements:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

215,670

 

 

 

211,228

 

 

 

101,622

 

 

 

24,340

 

 

 

18,832

 

 

 

3,192

 

 

 

 

 

 

574,884

 

Special Mention

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Classified

 

 

392

 

 

 

4,171

 

 

 

1,945

 

 

 

365

 

 

 

401

 

 

 

57

 

 

 

 

 

 

7,331

 

Total equipment financing agreements

 

 

216,062

 

 

 

215,399

 

 

 

103,567

 

 

 

24,705

 

 

 

19,233

 

 

 

3,249

 

 

 

 

 

 

582,215

 

YTD gross charge-offs

 

 

178

 

 

 

3,944

 

 

 

3,267

 

 

 

386

 

 

 

799

 

 

 

232

 

 

 

 

 

 

8,806

 

YTD net charge-offs (recoveries)

 

 

178

 

 

 

3,744

 

 

 

2,858

 

 

 

244

 

 

 

250

 

 

 

(114

)

 

 

 

 

 

7,160

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans receivable:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Risk Rating

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pass / Pass Watch

 

 

1,439,588

 

 

 

1,742,971

 

 

 

1,203,259

 

 

 

641,294

 

 

 

407,087

 

 

 

374,248

 

 

 

277,305

 

 

 

6,085,752

 

Special Mention

 

 

4,400

 

 

 

18,575

 

 

 

31,577

 

 

 

5,772

 

 

 

711

 

 

 

2,375

 

 

 

1,905

 

 

 

65,315

 

Classified

 

 

3,786

 

 

 

5,251

 

 

 

6,844

 

 

 

365

 

 

 

6,058

 

 

 

4,124

 

 

 

4,939

 

 

 

31,367

 

Total loans receivable

 

$

1,447,774

 

 

$

1,766,797

 

 

$

1,241,680

 

 

$

647,431

 

 

$

413,856

 

 

$

380,747

 

 

$

284,149

 

 

$

6,182,434

 

YTD gross charge-offs

 

 

178

 

 

 

3,961

 

 

 

3,267

 

 

 

797

 

 

 

909

 

 

 

858

 

 

 

6,120

 

 

 

16,090

 

YTD net charge-offs (recoveries)

 

 

178

 

 

 

3,749

 

 

 

2,851

 

 

 

647

 

 

 

351

 

 

 

(6,823

)

 

 

6,090

 

 

 

7,043

 

 

(1)
Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision

Loans by Vintage Year and Payment Performance

 

 

 

Term Loans

 

 

 

 

 

 

 

 

 

Amortized Cost Basis by Origination Year (1)

 

 

 

 

 

 

 

 

 

2024

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

Prior

 

 

Revolving
Loans
Amortized
Cost Basis

 

 

Total

 

 

 

(in thousands)

 

December 31, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

$

564,465

 

 

$

558,271

 

 

$

936,140

 

 

$

804,089

 

 

$

553,562

 

 

$

351,042

 

 

$

101,277

 

 

$

3,868,846

 

Nonperforming

 

 

 

 

 

 

 

 

717

 

 

 

 

 

 

 

 

 

1,461

 

 

 

 

 

 

2,178

 

Total commercial property

 

 

564,465

 

 

 

558,271

 

 

 

936,857

 

 

 

804,089

 

 

 

553,562

 

 

 

352,503

 

 

 

101,277

 

 

 

3,871,024

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

274

 

 

 

 

 

 

 

 

 

136

 

 

 

 

 

 

410

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

274

 

 

 

 

 

 

(21

)

 

 

(704

)

 

 

 

 

 

(451

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

70,601

 

 

 

7,997

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

78,598

 

Nonperforming

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total construction

 

 

70,601

 

 

 

7,997

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

78,598

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,133

 

 

 

 

 

 

 

 

 

1,133

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1,132

 

 

 

(1,358

)

 

 

 

 

 

(226

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

127,986

 

 

 

200,316

 

 

 

354,562

 

 

 

145,310

 

 

 

11,164

 

 

 

105,406

 

 

 

4,687

 

 

 

949,431

 

Nonperforming

 

 

 

 

 

 

 

 

1,555

 

 

 

 

 

 

316

 

 

 

 

 

 

 

 

 

1,871

 

Total residential

 

 

127,986

 

 

 

200,316

 

 

 

356,117

 

 

 

145,310

 

 

 

11,480

 

 

 

105,406

 

 

 

4,687

 

 

 

951,302

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(3

)

 

 

 

 

 

(3

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total real estate loans

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

763,052

 

 

 

766,584

 

 

 

1,290,702

 

 

 

949,399

 

 

 

564,726

 

 

 

456,448

 

 

 

105,964

 

 

 

4,896,875

 

Nonperforming

 

 

 

 

 

 

 

 

2,272

 

 

 

 

 

 

316

 

 

 

1,461

 

 

 

 

 

 

4,049

 

Total real estate loans

 

 

763,052

 

 

 

766,584

 

 

 

1,292,974

 

 

 

949,399

 

 

 

565,042

 

 

 

457,909

 

 

 

105,964

 

 

 

4,900,924

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

274

 

 

 

 

 

 

1,133

 

 

 

136

 

 

 

 

 

 

1,543

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

274

 

 

 

 

 

 

1,111

 

 

 

(2,065

)

 

 

 

 

 

(680

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

291,128

 

 

 

59,453

 

 

 

106,863

 

 

 

32,328

 

 

 

12,761

 

 

 

13,498

 

 

 

346,001

 

 

 

862,032

 

Nonperforming

 

 

 

 

 

(5

)

 

 

119

 

 

 

 

 

 

 

 

 

97

 

 

 

1,188

 

 

 

1,399

 

Total commercial and industrial loans

 

 

291,128

 

 

 

59,448

 

 

 

106,982

 

 

 

32,328

 

 

 

12,761

 

 

 

13,595

 

 

 

347,189

 

 

 

863,431

 

YTD gross charge-offs

 

 

19

 

 

 

169

 

 

 

168

 

 

 

 

 

 

11

 

 

 

207

 

 

 

2

 

 

 

576

 

YTD net charge-offs (recoveries)

 

 

19

 

 

 

169

 

 

 

160

 

 

 

(13

)

 

 

11

 

 

 

123

 

 

 

(3,375

)

 

 

(2,906

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equipment financing agreements:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

140,143

 

 

 

144,617

 

 

 

129,442

 

 

 

52,354

 

 

 

8,079

 

 

 

3,563

 

 

 

 

 

 

478,198

 

Nonperforming

 

 

431

 

 

 

1,945

 

 

 

4,173

 

 

 

1,934

 

 

 

135

 

 

 

206

 

 

 

 

 

 

8,824

 

Total equipment financing agreements

 

 

140,574

 

 

 

146,562

 

 

 

133,615

 

 

 

54,288

 

 

 

8,214

 

 

 

3,769

 

 

 

 

 

 

487,022

 

YTD gross charge-offs

 

 

30

 

 

 

1,456

 

 

 

5,128

 

 

 

2,206

 

 

 

354

 

 

 

325

 

 

 

 

 

 

9,499

 

YTD net charge-offs (recoveries)

 

 

30

 

 

 

1,299

 

 

 

4,488

 

 

 

1,826

 

 

 

287

 

 

 

(211

)

 

 

 

 

 

7,719

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans receivable:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

1,194,323

 

 

 

970,654

 

 

 

1,527,007

 

 

 

1,034,081

 

 

 

585,566

 

 

 

473,509

 

 

 

451,965

 

 

 

6,237,105

 

Nonperforming

 

 

431

 

 

 

1,940

 

 

 

6,564

 

 

 

1,934

 

 

 

451

 

 

 

1,764

 

 

 

1,188

 

 

 

14,272

 

Total loans receivable

 

$

1,194,754

 

 

$

972,594

 

 

$

1,533,571

 

 

$

1,036,015

 

 

$

586,017

 

 

$

475,273

 

 

$

453,153

 

 

$

6,251,377

 

YTD gross charge-offs

 

 

49

 

 

 

1,625

 

 

 

5,570

 

 

 

2,206

 

 

 

1,498

 

 

 

668

 

 

 

2

 

 

 

11,618

 

YTD net charge-offs (recoveries)

 

 

49

 

 

 

1,468

 

 

 

4,922

 

 

 

1,813

 

 

 

1,409

 

 

 

(2,153

)

 

 

(3,375

)

 

 

4,133

 

 

(1)
Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision

 

 

 

Term Loans

 

 

 

 

 

 

 

 

 

Amortized Cost Basis by Origination Year (1)

 

 

 

 

 

 

 

 

 

2023

 

 

2022

 

 

2021

 

 

2020

 

 

2019

 

 

Prior

 

 

Revolving
Loans
Amortized
Cost Basis

 

 

Total

 

 

 

(in thousands)

 

December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

$

689,449

 

 

$

991,899

 

 

$

866,841

 

 

$

578,620

 

 

$

384,275

 

 

$

243,819

 

 

$

31,642

 

 

$

3,786,545

 

Nonperforming

 

 

1,835

 

 

 

 

 

 

150

 

 

 

 

 

 

81

 

 

 

783

 

 

 

 

 

 

2,849

 

Total commercial property

 

 

691,284

 

 

 

991,899

 

 

 

866,991

 

 

 

578,620

 

 

 

384,356

 

 

 

244,602

 

 

 

31,642

 

 

 

3,789,394

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

411

 

 

 

 

 

 

216

 

 

 

 

 

 

627

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

403

 

 

 

 

 

 

(81

)

 

 

 

 

 

322

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

72,039

 

 

 

 

 

 

28,306

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

100,345

 

Nonperforming

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total construction

 

 

72,039

 

 

 

 

 

 

28,306

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

100,345

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

290,196

 

 

 

375,712

 

 

 

158,618

 

 

 

12,656

 

 

 

217

 

 

 

119,736

 

 

 

5,525

 

 

 

962,660

 

Nonperforming

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1

 

 

 

 

 

 

1

 

Total residential

 

 

290,196

 

 

 

375,712

 

 

 

158,618

 

 

 

12,656

 

 

 

217

 

 

 

119,737

 

 

 

5,525

 

 

 

962,661

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(7

)

 

 

 

 

 

(7

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total real estate loans

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

1,051,684

 

 

 

1,367,611

 

 

 

1,053,765

 

 

 

591,276

 

 

 

384,492

 

 

 

363,555

 

 

 

37,167

 

 

 

4,849,550

 

Nonperforming

 

 

1,835

 

 

 

 

 

 

150

 

 

 

 

 

 

81

 

 

 

784

 

 

 

 

 

 

2,850

 

Total real estate loans

 

 

1,053,519

 

 

 

1,367,611

 

 

 

1,053,915

 

 

 

591,276

 

 

 

384,573

 

 

 

364,339

 

 

 

37,167

 

 

 

4,852,400

 

YTD gross charge-offs

 

 

 

 

 

 

 

 

 

 

 

411

 

 

 

 

 

 

216

 

 

 

 

 

 

627

 

YTD net charge-offs (recoveries)

 

 

 

 

 

 

 

 

 

 

 

403

 

 

 

 

 

 

(88

)

 

 

 

 

 

315

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

177,864

 

 

 

183,787

 

 

 

84,198

 

 

 

31,415

 

 

 

10,050

 

 

 

13,066

 

 

 

242,134

 

 

 

742,514

 

Nonperforming

 

 

329

 

 

 

 

 

 

 

 

 

35

 

 

 

 

 

 

93

 

 

 

4,848

 

 

 

5,305

 

Total commercial and industrial loans

 

 

178,193

 

 

 

183,787

 

 

 

84,198

 

 

 

31,450

 

 

 

10,050

 

 

 

13,159

 

 

 

246,982

 

 

 

747,819

 

YTD gross charge-offs

 

 

 

 

 

17

 

 

 

 

 

 

 

 

 

110

 

 

 

410

 

 

 

6,120

 

 

 

6,657

 

YTD net charge-offs (recoveries)

 

 

 

 

 

5

 

 

 

(7

)

 

 

 

 

 

101

 

 

 

(6,621

)

 

 

6,090

 

 

 

(432

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equipment financing agreements:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

215,670

 

 

 

211,228

 

 

 

101,622

 

 

 

24,340

 

 

 

18,844

 

 

 

3,192

 

 

 

 

 

 

574,896

 

Nonperforming

 

 

392

 

 

 

4,171

 

 

 

1,945

 

 

 

365

 

 

 

389

 

 

 

57

 

 

 

 

 

 

7,319

 

Total equipment financing agreements

 

 

216,062

 

 

 

215,399

 

 

 

103,567

 

 

 

24,705

 

 

 

19,233

 

 

 

3,249

 

 

 

 

 

 

582,215

 

YTD gross charge-offs

 

 

178

 

 

 

3,944

 

 

 

3,267

 

 

 

386

 

 

 

799

 

 

 

232

 

 

 

 

 

 

8,806

 

YTD net charge-offs (recoveries)

 

 

178

 

 

 

3,744

 

 

 

2,858

 

 

 

244

 

 

 

250

 

 

 

(114

)

 

 

 

 

 

7,160

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total loans receivable:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Payment performance

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Performing

 

 

1,445,218

 

 

 

1,762,626

 

 

 

1,239,585

 

 

 

647,031

 

 

 

413,386

 

 

 

379,813

 

 

 

279,301

 

 

 

6,166,960

 

Nonperforming

 

 

2,556

 

 

 

4,171

 

 

 

2,095

 

 

 

400

 

 

 

470

 

 

 

934

 

 

 

4,848

 

 

 

15,474

 

Total loans receivable

 

$

1,447,774

 

 

$

1,766,797

 

 

$

1,241,680

 

 

$

647,431

 

 

$

413,856

 

 

$

380,747

 

 

$

284,149

 

 

$

6,182,434

 

YTD gross charge-offs

 

 

178

 

 

 

3,961

 

 

 

3,267

 

 

 

797

 

 

 

909

 

 

 

858

 

 

 

6,120

 

 

 

16,090

 

YTD net charge-offs (recoveries)

 

 

178

 

 

 

3,749

 

 

 

2,851

 

 

 

647

 

 

 

351

 

 

 

(6,823

)

 

 

6,090

 

 

 

7,043

 

 

(1)
Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision

Nonaccrual Loans and Nonperforming Assets

The following tables represent the amortized cost basis of loans on nonaccrual status and loans past due 90 days and still accruing as of December 31, 2024 and 2023.

 

 

 

December 31, 2024

 

 

 

Nonaccrual
Loans With
No Allowance for
Credit Losses

 

 

Nonaccrual
Loans With
Allowance for
Credit Losses

 

 

Loans
Past Due
90 Days Still
Accruing

 

 

Total
Nonperforming
Loans

 

 

 

(in thousands)

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

 

 

 

 

 

 

Retail

 

$

1,480

 

 

$

277

 

 

$

 

 

$

1,757

 

Hospitality

 

 

165

 

 

 

249

 

 

 

 

 

 

414

 

Other

 

 

 

 

 

7

 

 

 

 

 

 

7

 

Total commercial property loans

 

 

1,645

 

 

 

533

 

 

 

 

 

 

2,178

 

Construction

 

 

 

 

 

 

 

 

 

 

 

 

Residential

 

 

1,866

 

 

 

 

 

 

 

 

 

1,866

 

Total real estate loans

 

 

3,511

 

 

 

533

 

 

 

 

 

 

4,044

 

Commercial and industrial loans

 

 

 

 

 

1,404

 

 

 

 

 

 

1,404

 

Equipment financing agreements

 

 

513

 

 

 

8,311

 

 

 

 

 

 

8,824

 

Total

 

$

4,024

 

 

$

10,248

 

 

$

 

 

$

14,272

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2023

 

 

 

Nonaccrual
Loans With
No Allowance for
Credit Losses

 

 

Nonaccrual
Loans With
Allowance for
Credit Losses

 

 

Loans
Past Due
90 Days Still
Accruing

 

 

Total
Nonperforming
Loans

 

 

 

(in thousands)

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

 

 

 

 

 

 

Retail

 

$

1,717

 

 

$

321

 

 

$

 

 

$

2,038

 

Hospitality

 

 

338

 

 

 

150

 

 

 

 

 

 

488

 

Other

 

 

305

 

 

 

18

 

 

 

 

 

 

323

 

Total commercial property loans

 

 

2,360

 

 

 

489

 

 

 

 

 

 

2,849

 

Residential

 

 

1

 

 

 

 

 

 

 

 

 

1

 

Total real estate loans

 

 

2,361

 

 

 

489

 

 

 

 

 

 

2,850

 

Commercial and industrial loans

 

 

5,213

 

 

 

92

 

 

 

 

 

 

5,305

 

Equipment financing agreements

 

 

570

 

 

 

6,749

 

 

 

 

 

 

7,319

 

Total

 

$

8,144

 

 

$

7,330

 

 

$

 

 

$

15,474

 

 

The Company recognized $0.1 million, $0.2 million and less than $0.1 million of interest income on nonaccrual loans for the twelve months ended December 31, 2024, 2023 and 2022, respectively.

The following is an aging analysis of loans, disaggregated by loan class, and inclusive of nonaccrual loans, as of the dates indicated:

 

 

 

30-59 Days
Past Due

 

 

60-89 Days
Past Due

 

 

90 Days or More
Past Due

 

 

Total
Past Due

 

 

Current

 

 

Total

 

 

 

(in thousands)

 

December 31, 2024

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail

 

$

975

 

 

$

855

 

 

$

254

 

 

$

2,084

 

 

$

1,066,894

 

 

$

1,068,978

 

Hospitality

 

 

516

 

 

 

(50

)

 

 

216

 

 

 

682

 

 

 

847,452

 

 

 

848,134

 

Office

 

 

 

 

 

212

 

 

 

 

 

 

212

 

 

 

568,649

 

 

 

568,861

 

Other

 

 

1,288

 

 

 

 

 

 

 

 

 

1,288

 

 

 

1,383,763

 

 

 

1,385,051

 

Total commercial property loans

 

 

2,779

 

 

 

1,017

 

 

 

470

 

 

 

4,266

 

 

 

3,866,758

 

 

 

3,871,024

 

Construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

78,598

 

 

 

78,598

 

Residential

 

 

5,129

 

 

 

2,975

 

 

 

980

 

 

 

9,084

 

 

 

942,218

 

 

 

951,302

 

Total real estate loans

 

 

7,908

 

 

 

3,992

 

 

 

1,450

 

 

 

13,350

 

 

 

4,887,574

 

 

 

4,900,924

 

Commercial and industrial loans

 

 

236

 

 

 

132

 

 

 

1,278

 

 

 

1,646

 

 

 

861,785

 

 

 

863,431

 

Equipment financing agreements

 

 

6,154

 

 

 

2,866

 

 

 

5,760

 

 

 

14,780

 

 

 

472,242

 

 

 

487,022

 

Total loans receivable

 

$

14,298

 

 

$

6,990

 

 

$

8,488

 

 

$

29,776

 

 

$

6,221,601

 

 

$

6,251,377

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial property

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Retail

 

$

632

 

 

$

 

 

$

 

 

$

632

 

 

$

1,106,728

 

 

$

1,107,360

 

Hospitality

 

 

 

 

 

150

 

 

 

22

 

 

 

172

 

 

 

740,347

 

 

 

740,519

 

Office

 

 

 

 

 

 

 

 

 

 

 

 

 

 

574,981

 

 

 

574,981

 

Other

 

 

592

 

 

 

 

 

 

 

 

 

592

 

 

 

1,365,942

 

 

 

1,366,534

 

Total commercial property loans

 

 

1,224

 

 

 

150

 

 

 

22

 

 

 

1,396

 

 

 

3,787,998

 

 

 

3,789,394

 

Construction

 

 

 

 

 

 

 

 

 

 

 

 

 

 

100,345

 

 

 

100,345

 

Residential

 

 

521

 

 

 

336

 

 

 

1

 

 

 

858

 

 

 

961,803

 

 

 

962,661

 

Total real estate loans

 

 

1,745

 

 

 

486

 

 

 

23

 

 

 

2,254

 

 

 

4,850,146

 

 

 

4,852,400

 

Commercial and industrial loans

 

 

76

 

 

 

120

 

 

 

5,178

 

 

 

5,374

 

 

 

742,445

 

 

 

747,819

 

Equipment financing agreements

 

 

7,138

 

 

 

2,134

 

 

 

4,551

 

 

 

13,823

 

 

 

568,392

 

 

 

582,215

 

Total loans receivable

 

$

8,959

 

 

$

2,740

 

 

$

9,752

 

 

$

21,451

 

 

$

6,160,983

 

 

$

6,182,434

 

 

The following table details nonperforming assets as of the dates indicated:

 

 

 

As of December 31,

 

 

 

2024

 

 

2023

 

 

 

(in thousands)

 

Nonaccrual loans

 

$

14,272

 

 

$

15,474

 

Loans receivable 90 days or more past due and still accruing

 

 

 

 

 

 

Total nonperforming loans receivable

 

 

14,272

 

 

 

15,474

 

Other real estate owned ("OREO")

 

 

117

 

 

 

117

 

Total nonperforming assets

 

$

14,389

 

 

$

15,591

 

 

OREO consisted of one property with a carrying value of $0.1 million as of December 31, 2024 and 2023. OREO is included in prepaid expenses and other assets in the accompanying Consolidated Balance Sheets as of December 31, 2024 and 2023.

Loan Modifications

The following tables represent loan modifications at December 31, 2024 made to borrowers experiencing financial difficulty, by type of modification with related amortized cost balances, respective percentage share of the total class of loans, and the related financial effect:

 

 

Term Extension

 

 

Amortized Cost Basis

 

 

% of Total Class of Loans

 

 

Financial Effect

 

 

(in thousands)

 

 

 

 

 

 

Year ended December 31, 2024

 

 

 

 

 

 

 

 

Commercial and industrial loans

 

$

24,474

 

 

 

2.8

%

 

One loan with term extension of six years; one loan with term extension of six months

 

 

Interest Only/Principal Deferment

 

 

Amortized Cost Basis

 

 

% of Total Class of Loans

 

 

Financial Effect

 

 

(in thousands)

 

 

 

 

 

 

Year ended December 31, 2024

 

 

 

 

 

 

 

 

Commercial and industrial loans

 

$

19,748

 

 

 

2.3

%

 

One loan with interest only for six months; one loan with interest only for 12 months

No loans were modified to borrowers experiencing financial difficulty during the twelve months ended December 31, 2023.