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As Of Filer Filing For·On·As Docs:Size 8/09/23 Camden National Corp. 10-Q 6/30/23 91:18M |
Document/Exhibit Description Pages Size 1: 10-Q Quarterly Report HTML 4.07M 2: EX-4.1 Instrument Defining the Rights of Security Holders HTML 35K 3: EX-10.1 Material Contract HTML 38K 4: EX-10.2 Material Contract HTML 39K 5: EX-31.1 Certification -- §302 - SOA'02 HTML 31K 6: EX-31.2 Certification -- §302 - SOA'02 HTML 31K 7: EX-32.1 Certification -- §906 - SOA'02 HTML 27K 8: EX-32.2 Certification -- §906 - SOA'02 HTML 27K 14: R1 Cover HTML 78K 15: R2 Consolidated Statements of Condition (Current HTML 136K Period Unaudited) 16: R3 Consolidated Statements of Condition (Current HTML 42K Period Unaudited) (Parenthetical) 17: R4 Consolidated Statements of Income (Unaudited) HTML 153K 18: R5 Consolidated Statements of Comprehensive (Loss) HTML 57K Income (Unaudited) 19: R6 Consolidated Statements of Changes in HTML 84K Shareholders' Equity (Unaudited) 20: R7 Consolidated Statements of Changes in HTML 27K Shareholders' Equity (Unaudited) (Parenthetical) 21: R8 Consolidated Statements of Cash Flows (Unaudited) HTML 136K 22: R9 Basis of Presentation HTML 65K 23: R10 Recent Accounting Pronouncements HTML 43K 24: R11 Investments HTML 177K 25: R12 Loans and Allowance for Credit Losses on Loans HTML 662K 26: R13 Borrowings HTML 41K 27: R14 Repurchase Agreements HTML 39K 28: R15 Commitments and Contingencies Commitments and HTML 40K Contingencies 29: R16 Derivatives and Hedging HTML 273K 30: R17 Balance Sheet Offsetting HTML 95K 31: R18 Regulatory Capital Requirements HTML 76K 32: R19 Other Comprehensive Income (Loss) Other HTML 166K Comprehensive Income (Loss) 33: R20 Revenue From Contracts With Customers Revenue From HTML 54K Contracs With Customers 34: R21 Employee Benefit Plans HTML 62K 35: R22 Eps HTML 57K 36: R23 Fair Value Measurement and Disclosure HTML 179K 37: R24 Recent Accounting Pronouncements (Policies) HTML 34K 38: R25 Investments (Tables) HTML 177K 39: R26 Loans and Allowance for Credit Losses on Loans HTML 641K (Tables) 40: R27 Borrowings (Tables) HTML 37K 41: R28 Repurchase Agreements (Tables) HTML 37K 42: R29 Commitments and Contingencies Commitments and HTML 33K Contingencies (Tables) 43: R30 Derivatives and Hedging (Tables) HTML 268K 44: R31 Balance Sheet Offsetting (Tables) HTML 166K 45: R32 Regulatory Capital Requirements (Tables) HTML 69K 46: R33 Other Comprehensive Income (Loss) Other HTML 168K Comprehensive Income (Loss) (Tables) 47: R34 Revenue From Contracts With Customers (Tables) HTML 50K 48: R35 Employee Benefit Plans (Tables) HTML 59K 49: R36 Eps (Tables) HTML 55K 50: R37 Fair Value Measurement and Disclosure (Tables) HTML 165K 51: R38 Investments (Narrative) (Detail) HTML 84K 52: R39 Investments (Summary of Amortized Costs and HTML 52K Estimated Fair Values of Available-For-Sale Securities) (Details) 53: R40 Investments (Schedule of Unrealized Gross Losses HTML 68K and Estimated Fair values of Investment Securities) (Details) 54: R41 Investments (Schedule of Amortized Cost and HTML 65K Estimated Fair Values of Debt Securities by Contractual Maturity) (Details) 55: R42 Investments (Summary of Amortized Cost and Fair HTML 76K Value of Held to Maturity Securities) (Details) 56: R43 Investments (Amortized Cost and Fair Values of HTM HTML 68K Securities by Contractual Maturity) (Details) 57: R44 Investments (Schedule of Amortized Cost and Fair HTML 31K Value of Other Investments) (Details) 58: R45 Loans and Allowance for Credit Losses on Loans HTML 164K (Narrative) (Details) 59: R46 Loans and Allowance for Credit Losses on Loans HTML 49K (Composition of Loan Portfolio) (Details) 60: R47 Loans and Allowance for Credit Losses on Loans HTML 32K (Unamortized fair value mark and costs) (Details) 61: R48 Loans and Allowance for Credit Losses on Loans HTML 66K (Activity in Allowance for Credit Losses on Loans by Portfolio Segment) (Details) 62: R49 Loans and Allowance for Credit Losses on Loans HTML 264K (Credit Quality and Origination by Portfolio Segment Analysis) (Details) 63: R50 Loans and Allowance for Credit Losses on Loans HTML 143K (Loan Aging Analysis by Portfolio Segment) (Details) 64: R51 Loans and Allowance for Credit Losses on Loans HTML 64K (Financing Receivable, Nonaccrual) (Details) 65: R52 Loans and Allowance for Credit Losses on Loans HTML 44K (Troubled Debt Restructuring Loans) (Details) 66: R53 Loans and Allowance for Credit Losses on Loans HTML 43K (Troubled Debt Restructuring by Portfolio Segment) (Details) 67: R54 Borrowings (Details) HTML 59K 68: R55 Repurchase Agreements (Details) HTML 44K 69: R56 Commitments and Contingencies Commitments and HTML 33K Contingencies (Narrative) (Details) 70: R57 Commitments and Contingencies Commitments and HTML 31K Contingencies (Summary of Contractual and Notional Amounts of FInancial Instruments) (Details) 71: R58 Derivatives and Hedging (Narrative) (Details) HTML 37K 72: R59 Derivatives and Hedging (Schedule of derivative HTML 75K financial instruments) (Details) 73: R60 Derivatives and Hedging (Schedule of fair value HTML 38K hedge) (Details) 74: R61 Derivatives and Hedging (Schedule of cash flow HTML 124K hedging instruments, location) (Details) 75: R62 Derivatives and Hedging (Schedule of derivatives HTML 37K effect on OCI) (Details) 76: R63 Balance Sheet Offsetting (Details) HTML 142K 77: R64 REGULATORY CAPITAL REQUIREMENTS Regulatory Capital HTML 43K Requirements (Narrative) (Details) 78: R65 Regulatory Capital Requirements (Details) HTML 67K 79: R66 Other Comprehensive Income (LOSS) Components of HTML 115K Other Comprehensive Income (Loss) (Details) 80: R67 Other Comprehensive Income (LOSS) Accumulated HTML 61K Other Comprehensive Income (Loss) (Details) 81: R68 Revenue From Contracts With Customers (Details) HTML 49K 82: R69 Employee Benefit Plans (Details) HTML 45K 83: R70 Eps (Computation of Basic and Diluted Earnings Per HTML 66K Share) (Details) 84: R71 Eps (Additional Information) (Details) HTML 30K 85: R72 Fair Value Measurement and Disclosure (Summary of HTML 132K Financial Assets and Liabilities Measured at Fair Value on Recurring Basis) (Details) 86: R73 Fair Value Measurement and Disclosure (Schedule of HTML 93K Carrying Amounts and Estimated Fair Value for Financial Instrument Assets and Liabilities) (Details) 89: XML IDEA XML File -- Filing Summary XML 171K 87: XML XBRL Instance -- cac-20230630_htm XML 6.12M 88: EXCEL IDEA Workbook of Financial Report Info XLSX 225K 10: EX-101.CAL XBRL Calculations -- cac-20230630_cal XML 289K 11: EX-101.DEF XBRL Definitions -- cac-20230630_def XML 1.01M 12: EX-101.LAB XBRL Labels -- cac-20230630_lab XML 2.09M 13: EX-101.PRE XBRL Presentations -- cac-20230630_pre XML 1.34M 9: EX-101.SCH XBRL Schema -- cac-20230630 XSD 181K 90: JSON XBRL Instance as JSON Data -- MetaLinks 623± 989K 91: ZIP XBRL Zipped Folder -- 0000750686-23-000255-xbrl Zip 560K
cac-20230630 |
i Maine | i 01-0413282 | ||||||||||
(State or other jurisdiction of | (I.R.S. Employer | ||||||||||
incorporation or organization) | Identification No.) | ||||||||||
i 2 ELM STREET | i CAMDEN | i ME | i 04843 | ||||||||
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
i Common Stock, without par value | i CAC | i The NASDAQ Stock Market LLC |
Large accelerated filer | ☐ | i Accelerated filer | ☒ | |||||||||||
Non-accelerated filer | ☐ | Smaller reporting company | i ☐ | |||||||||||
Emerging growth company | i ☐ |
PAGE | ||||||||
PART I. FINANCIAL INFORMATION | ||||||||
ITEM 1. | FINANCIAL STATEMENTS | |||||||
Consolidated Statements of Condition (unaudited) - June 30, 2023 and December 31, 2022 | ||||||||
Consolidated Statements of Income (unaudited) - Three and Six Months Ended June 30, 2023 and 2022 | ||||||||
Consolidated Statements of Comprehensive Income (Loss) (unaudited) - Three and Six Months Ended June 30, 2023 and 2022 | ||||||||
Consolidated Statements of Changes in Shareholders’ Equity (unaudited) - Three and Six Months Ended June 30, 2023 and 2022 | ||||||||
Consolidated Statements of Cash Flows (unaudited) - Six Months Ended June 30, 2023 and 2022 | ||||||||
Notes to the Unaudited Consolidated Financial Statements | ||||||||
ITEM 2. | MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS | |||||||
ITEM 3. | QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK | |||||||
ITEM 4. | CONTROLS AND PROCEDURES | |||||||
PART II. OTHER INFORMATION | ||||||||
ITEM 1. | LEGAL PROCEEDINGS | |||||||
ITEM 1A. | RISK FACTORS | |||||||
ITEM 2. | UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS | |||||||
ITEM 3. | DEFAULTS UPON SENIOR SECURITIES | |||||||
ITEM 4. | MINE SAFETY DISCLOSURES | |||||||
ITEM 5. | OTHER INFORMATION | |||||||
ITEM 6. | EXHIBITS | |||||||
SIGNATURES |
(In thousands, except number of shares) | June
30, 2023 | December 31, 2022 | ||||||||||||
ASSETS | ||||||||||||||
Cash and due from banks | $ | i 51,487 | $ | i 50,566 | ||||||||||
Interest-bearing deposits in other banks (including restricted cash) | i 42,791 | i 24,861 | ||||||||||||
Total cash, cash equivalents and restricted cash | i 94,278 | i 75,427 | ||||||||||||
Investments: | ||||||||||||||
Trading securities | i 4,235 | i 3,990 | ||||||||||||
Available-for-sale
securities, at fair value (amortized cost of $ i 757,959 and $ i 796,960, respectively) | i 658,205 | i 695,875 | ||||||||||||
Held-to-maturity
securities, at amortized cost (fair value of $ i 495,590 and $ i 506,193, respectively) | i 534,584 | i 546,583 | ||||||||||||
Other investments | i 14,655 | i 12,713 | ||||||||||||
Total investments | i 1,211,679 | i 1,259,161 | ||||||||||||
Loans
held for sale, at fair value (book value of $ i 11,685 and $ i 5,259, respectively) | i 12,036 | i 5,197 | ||||||||||||
Loans | i 4,100,131 | i 4,010,353 | ||||||||||||
Less: allowance for credit losses on loans | ( i 36,983) | ( i 36,922) | ||||||||||||
Net loans | i 4,063,148 | i 3,973,431 | ||||||||||||
Goodwill | i 94,697 | i 94,697 | ||||||||||||
Core deposit intangible assets | i 1,267 | i 1,563 | ||||||||||||
Bank-owned life insurance | i 100,357 | i 99,142 | ||||||||||||
Premises and equipment, net | i 35,356 | i 36,022 | ||||||||||||
Deferred tax assets | i 48,105 | i 50,217 | ||||||||||||
Other assets | i 83,008 | i 76,993 | ||||||||||||
Total assets | $ | i 5,743,931 | $ | i 5,671,850 | ||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||
Liabilities | ||||||||||||||
Deposits: | ||||||||||||||
Non-interest checking | $ | i 1,015,184 | $ | i 1,141,753 | ||||||||||
Interest checking | i 1,627,250 | i 1,763,850 | ||||||||||||
Savings and money market | i 1,377,791 | i 1,439,622 | ||||||||||||
Certificates of deposit | i 449,265 | i 300,451 | ||||||||||||
Brokered deposits | i 224,255 | i 181,253 | ||||||||||||
Total deposits | i 4,693,745 | i 4,826,929 | ||||||||||||
Short-term borrowings | i 448,182 | i 265,176 | ||||||||||||
Junior subordinated debentures | i 44,331 | i 44,331 | ||||||||||||
Accrued interest and other liabilities | i 90,297 | i 84,136 | ||||||||||||
Total liabilities | i 5,276,555 | i 5,220,572 | ||||||||||||
Commitments and Contingencies (Note 7) | i | i | ||||||||||||
Shareholders’ Equity | ||||||||||||||
Common
stock, i i no / par value: authorized i i 40,000,000 /
shares, issued and outstanding i i 14,554,778 / and i i 14,567,325 /
on June 30, 2023 and December 31, 2022, respectively | i 114,302 | i 115,069 | ||||||||||||
Retained earnings | i 475,008 | i 462,164 | ||||||||||||
Accumulated other comprehensive loss | ( i 121,934) | ( i 125,955) | ||||||||||||
Total shareholders’ equity | i 467,376 | i 451,278 | ||||||||||||
Total liabilities and shareholders’ equity | $ | i 5,743,931 | $ | i 5,671,850 |
Three
Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(In thousands, except number of shares and per share data) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Interest Income | ||||||||||||||||||||||||||
Interest and fees on loans | $ | i 48,645 | $ | i 33,121 | $ | i 93,977 | $ | i 65,156 | ||||||||||||||||||
Taxable
interest on investments | i 5,852 | i 5,850 | i 11,815 | i 11,639 | ||||||||||||||||||||||
Nontaxable interest on investments | i 762 | i 770 | i 1,525 | i 1,534 | ||||||||||||||||||||||
Dividend income | i 267 | i 106 | i 486 | i 212 | ||||||||||||||||||||||
Other interest income | i 529 | i 183 | i 977 | i 347 | ||||||||||||||||||||||
Total interest income | i 56,055 | i 40,030 | i 108,780 | i 78,888 | ||||||||||||||||||||||
Interest Expense | ||||||||||||||||||||||||||
Interest on deposits | i 19,245 | i 2,510 | i 35,077 | i 4,343 | ||||||||||||||||||||||
Interest on borrowings | i 3,587 | i 454 | i 5,672 | i 585 | ||||||||||||||||||||||
Interest on junior subordinated debentures | i 533 | i 532 | i 1,061 | i 1,061 | ||||||||||||||||||||||
Total interest expense | i 23,365 | i 3,496 | i 41,810 | i 5,989 | ||||||||||||||||||||||
Net interest income | i 32,690 | i 36,534 | i 66,970 | i 72,899 | ||||||||||||||||||||||
Provision for credit losses | i 103 | i 2,345 | i 2,105 | i 1,270 | ||||||||||||||||||||||
Net interest income after provision for credit losses | i 32,587 | i 34,189 | i 64,865 | i 71,629 | ||||||||||||||||||||||
Non-Interest Income | ||||||||||||||||||||||||||
Debit card income | i 3,079 | i 3,213 | i 6,017 | i 6,137 | ||||||||||||||||||||||
Service charges on deposit accounts | i 1,935 | i 1,931 | i 3,697 | i 3,764 | ||||||||||||||||||||||
Income from fiduciary services | i 1,775 | i 1,681 | i 3,375 | i 3,312 | ||||||||||||||||||||||
Brokerage and insurance commissions | i 1,152 | i 1,272 | i 2,245 | i 2,266 | ||||||||||||||||||||||
Mortgage banking income, net | i 590 | i 1,517 | i 1,306 | i 2,551 | ||||||||||||||||||||||
Bank-owned life insurance | i 613 | i 569 | i 1,205 | i 1,145 | ||||||||||||||||||||||
Net loss on sale of securities | i — | ( i 9) | i — | ( i 9) | ||||||||||||||||||||||
Other income | i 966 | i 967 | i 2,131 | i 1,800 | ||||||||||||||||||||||
Total non-interest income | i 10,110 | i 11,141 | i 19,976 | i 20,966 | ||||||||||||||||||||||
Non-Interest Expense | ||||||||||||||||||||||||||
Salaries and employee benefits | i 15,288 | i 15,402 | i 29,861 | i 30,908 | ||||||||||||||||||||||
Furniture, equipment and data processing | i 3,179 | i 3,202 | i 6,390 | i 6,334 | ||||||||||||||||||||||
Net occupancy costs | i 1,852 | i 1,806 | i 3,931 | i 3,950 | ||||||||||||||||||||||
Debit card expense | i 1,262 | i 1,134 | i 2,463 | i 2,200 | ||||||||||||||||||||||
Consulting and professional fees | i 1,375 | i 1,293 | i 2,430 | i 2,300 | ||||||||||||||||||||||
Regulatory assessments | i 868 | i 515 | i 1,713 | i 1,170 | ||||||||||||||||||||||
Amortization of core deposit intangible assets | i 148 | i 157 | i 296 | i 313 | ||||||||||||||||||||||
Other real estate owned and collection costs (recoveries), net | i 4 | i 38 | i 9 | ( i 47) | ||||||||||||||||||||||
Other expenses | i 3,167 | i 3,009 | i 6,215 | i 5,637 | ||||||||||||||||||||||
Total non-interest expense | i 27,143 | i 26,556 | i 53,308 | i 52,765 | ||||||||||||||||||||||
Income before income tax expense | i 15,554 | i 18,774 | i 31,533 | i 39,830 | ||||||||||||||||||||||
Income Tax Expense | i 3,165 | i 3,748 | i 6,417 | i 8,009 | ||||||||||||||||||||||
Net Income | $ | i 12,389 | $ | i 15,026 | $ | i 25,116 | $ | i 31,821 | ||||||||||||||||||
Per Share Data | ||||||||||||||||||||||||||
Basic earnings per share | $ | i 0.85 | $ | i 1.02 | $ | i 1.72 | $ | i 2.16 | ||||||||||||||||||
Diluted earnings per share | $ | i 0.85 | $ | i 1.02 | $ | i 1.72 | $ | i 2.15 | ||||||||||||||||||
Cash dividends declared per share | $ | i 0.42 | $ | i 0.40 | $ | i 0.84 | $ | i 0.80 | ||||||||||||||||||
Weighted average number of common shares outstanding | i 14,564,282 | i i 14,651,851 / | i 14,568,680 | i i 14,696,323 / | ||||||||||||||||||||||
Diluted weighted average number of common shares outstanding | i 14,604,316 | i 14,704,651 | i 14,612,372 | i 14,757,062 |
Three
Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(In thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Net Income | $ | i 12,389 | $ | i 15,026 | $ | i 25,116 | $ | i 31,821 | ||||||||||||||||||
Other comprehensive income (loss): | ||||||||||||||||||||||||||
Net change in unrealized loss on debt securities, net of tax | ( i 5,384) | ( i 42,053) | i 3,710 | ( i 114,864) | ||||||||||||||||||||||
Net change in unrealized gain on cash flow hedging derivatives, net of tax | i 2,927 | i 2,819 | i 322 | i 5,764 | ||||||||||||||||||||||
Net change in other comprehensive income for supplemental executive retirement plan and other postretirement benefit plan, net of tax | ( i 6) | i 181 | ( i 11) | i 363 | ||||||||||||||||||||||
Other comprehensive (loss) income | ( i 2,463) | ( i 39,053) | i 4,021 | ( i 108,737) | ||||||||||||||||||||||
Comprehensive Income (Loss) | $ | i 9,926 | $ | ( i 24,027) | $ | i 29,137 | $ | ( i 76,916) |
Three Months Ended | ||||||||||||||||||||||||||||||||
Common Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Shareholders’ Equity | |||||||||||||||||||||||||||||
(In thousands, except number of shares and per share data) | Shares Outstanding | Amount | ||||||||||||||||||||||||||||||
Balance at March 31, 2022 | i 14,746,410 | $ | i 123,012 | $ | i 435,347 | $ | ( i 75,913) | $ | i 482,446 | |||||||||||||||||||||||
Net income | — | — | i 15,026 | — | i 15,026 | |||||||||||||||||||||||||||
Other comprehensive loss, net of tax | — | — | — | ( i 39,053) | ( i 39,053) | |||||||||||||||||||||||||||
Stock-based compensation expense | — | i 893 | — | — | i 893 | |||||||||||||||||||||||||||
Exercise
of stock options and issuance of vested share awards, net of repurchase for tax withholdings | i 27,101 | ( i 276) | — | — | ( i 276) | |||||||||||||||||||||||||||
Common stock repurchased | ( i 148,470) | ( i 6,804) | — | — | ( i 6,804) | |||||||||||||||||||||||||||
Cash
dividends declared ($ i 0.40 per share) | — | — | ( i 5,851) | — | ( i 5,851) | |||||||||||||||||||||||||||
Balance at June 30, 2022 | i 14,625,041 | $ | i 116,825 | $ | i 444,522 | $ | ( i 114,966) | $ | i 446,381 | |||||||||||||||||||||||
Balance at March 31, 2023 | i 14,587,906 | $ | i 115,590 | $ | i 468,755 | $ | ( i 119,471) | $ | i 464,874 | |||||||||||||||||||||||
Net income | — | — | i 12,389 | — | i 12,389 | |||||||||||||||||||||||||||
Other comprehensive loss, net of tax | — | — | — | ( i 2,463) | ( i 2,463) | |||||||||||||||||||||||||||
Stock-based compensation expense | — | i 948 | — | — | i 948 | |||||||||||||||||||||||||||
Exercise
of stock options and issuance of vested share awards, net of repurchase for tax withholdings | i 32,564 | ( i 236) | — | — | ( i 236) | |||||||||||||||||||||||||||
Common stock repurchased | ( i 65,692) | ( i 2,000) | — | — | ( i 2,000) | |||||||||||||||||||||||||||
Cash
dividends declared ($ i 0.42 per share) | — | — | ( i 6,136) | — | ( i 6,136) | |||||||||||||||||||||||||||
Balance at June 30, 2023 | i 14,554,778 | $ | i 114,302 | $ | i 475,008 | $ | ( i 121,934) | $ | i 467,376 |
Six Months Ended | ||||||||||||||||||||||||||||||||
Common Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total Shareholders’ Equity | |||||||||||||||||||||||||||||
(In thousands, except number of shares and per share data) | Shares Outstanding | Amount | ||||||||||||||||||||||||||||||
Balance at December 31, 2021 | i 14,739,956 | $ | i 123,111 | $ | i 424,412 | $ | ( i 6,229) | $ | i 541,294 | |||||||||||||||||||||||
Net income | — | — | i 31,821 | — | i 31,821 | |||||||||||||||||||||||||||
Other comprehensive loss, net of tax | — | — | — | ( i 108,737) | ( i 108,737) | |||||||||||||||||||||||||||
Stock-based compensation expense | — | i 1,517 | — | — | i 1,517 | |||||||||||||||||||||||||||
Exercise
of stock options and issuance of vested share awards, net of repurchase for tax withholdings | i 46,641 | ( i 390) | — | — | ( i 390) | |||||||||||||||||||||||||||
Common stock repurchased | ( i 161,556) | ( i 7,413) | — | — | ( i 7,413) | |||||||||||||||||||||||||||
Cash
dividends declared ($ i 0.80 per share) | — | — | ( i 11,711) | — | ( i 11,711) | |||||||||||||||||||||||||||
Balance at June 30, 2022 | i 14,625,041 | $ | i 116,825 | $ | i 444,522 | $ | ( i 114,966) | $ | i 446,381 | |||||||||||||||||||||||
Balance at December 31, 2022 | i 14,567,325 | $ | i 115,069 | $ | i 462,164 | $ | ( i 125,955) | $ | i 451,278 | |||||||||||||||||||||||
Net income | — | — | i 25,116 | — | i 25,116 | |||||||||||||||||||||||||||
Other comprehensive income, net of tax | — | — | — | i 4,021 | i 4,021 | |||||||||||||||||||||||||||
Stock-based compensation expense | — | i 1,407 | — | — | i 1,407 | |||||||||||||||||||||||||||
Exercise
of stock options and issuance of vested share awards, net of repurchase for tax withholdings | i 53,145 | ( i 174) | — | — | ( i 174) | |||||||||||||||||||||||||||
Common stock repurchased | ( i 65,692) | ( i 2,000) | — | — | ( i 2,000) | |||||||||||||||||||||||||||
Cash
dividends declared ($ i 0.84 per share) | — | — | ( i 12,272) | — | ( i 12,272) | |||||||||||||||||||||||||||
Balance at June 30, 2023 | i 14,554,778 | $ | i 114,302 | $ | i 475,008 | $ | ( i 121,934) | $ | i 467,376 |
Six Months Ended June 30, | ||||||||||||||
(In thousands) | 2023 | 2022 | ||||||||||||
Operating Activities | ||||||||||||||
Net Income | $ | i 25,116 | $ | i 31,821 | ||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||||
Originations of mortgage loans held for sale | ( i 77,838) | ( i 91,275) | ||||||||||||
Proceeds from the sale of mortgage loans | i 71,780 | i 95,846 | ||||||||||||
Gain on sale of mortgage loans, net of origination costs | ( i 761) | ( i 2,165) | ||||||||||||
Provision for credit losses | i 2,105 | i 1,270 | ||||||||||||
Depreciation and amortization expense | i 1,642 | i 1,774 | ||||||||||||
Investment securities amortization and accretion, net | i 1,218 | i 2,166 | ||||||||||||
Stock-based compensation expense | i 1,407 | i 1,517 | ||||||||||||
Amortization of core deposit intangible assets | i 296 | i 313 | ||||||||||||
Purchase accounting accretion, net | ( i 81) | ( i 126) | ||||||||||||
Net increase in derivative collateral posted | i 6,540 | i 30,470 | ||||||||||||
(Increase) decrease in other assets | ( i 687) | i 1,265 | ||||||||||||
Increase (decrease) in other liabilities | i 923 | ( i 3,361) | ||||||||||||
Net cash provided by operating activities | i 31,660 | i 69,515 | ||||||||||||
Investing Activities | ||||||||||||||
Proceeds from available-for-sale debt securities | i 38,113 | i 130,634 | ||||||||||||
Purchase of available-for-sale debt securities | i — | ( i 80,868) | ||||||||||||
Proceeds from maturities of held-to-maturity securities | i 13,227 | i 371 | ||||||||||||
Purchase of held-to-maturity securities | i — | ( i 24,502) | ||||||||||||
Net increase in loans | ( i 96,663) | ( i 293,288) | ||||||||||||
Purchase of bank-owned life insurance | ( i 10) | i — | ||||||||||||
Purchase of Federal Home Loan Bank stock | ( i 25,105) | ( i 14,840) | ||||||||||||
Proceeds from sale of Federal Home Loan Bank stock | i 23,164 | i 10,689 | ||||||||||||
Purchase of premises and equipment | ( i 1,034) | ( i 952) | ||||||||||||
Recoveries of previously charged-off loans | i 212 | i 374 | ||||||||||||
Proceeds from the sale of other real estate owned | i — | i 287 | ||||||||||||
Net cash used in investing activities | ( i 48,096) | ( i 272,095) | ||||||||||||
Financing Activities | ||||||||||||||
Net decrease in deposits | ( i 133,184) | ( i 81,828) | ||||||||||||
Net proceeds from borrowings less than 90 days | i 183,006 | i 159,894 | ||||||||||||
Common stock repurchases | ( i 2,000) | ( i 7,413) | ||||||||||||
Exercise
of stock options and issuance of restricted stock, net of repurchase for tax withholdings | ( i 174) | ( i 390) | ||||||||||||
Cash dividends paid on common stock | ( i 12,277) | ( i 11,805) | ||||||||||||
Finance lease payments | ( i 84) | ( i 80) | ||||||||||||
Net cash provided by financing activities | i 35,287 | i 58,378 | ||||||||||||
Net increase (decrease) in cash, cash equivalents and restricted cash | i 18,851 | ( i 144,202) | ||||||||||||
Cash, cash equivalents, and restricted cash at beginning of period | i 75,427 | i 220,625 | ||||||||||||
Cash, cash equivalents and restricted cash at end of period | $ | i 94,278 | $ | i 76,423 | ||||||||||
Supplemental information | ||||||||||||||
Interest paid | $ | i 41,157 | $ | i 5,858 | ||||||||||
Income taxes paid | i 4,894 | i 4,811 | ||||||||||||
Cash dividends declared, not paid | i 6,129 | i 5,865 | ||||||||||||
Change in fair value hedges presented within residential real estate loans and other assets | i 6,070 | i — | ||||||||||||
Transfer from available-for-sale to held-to-maturity securities | i — | i 592,438 | ||||||||||||
Acronym | Description | Acronym | Description | |||||||||||||||||
AFS: | Available-for-sale | FRBB: | Federal Reserve Bank of Boston | |||||||||||||||||
ALCO: | Asset/Liability Committee | GAAP: | Generally accepted accounting principles in the United States | |||||||||||||||||
ACL: | Allowance for credit losses | GDP: | Gross domestic product | |||||||||||||||||
AOCI: | Accumulated other comprehensive income (loss) | HPFC: | Healthcare Professional Funding Corporation, a wholly-owned subsidiary of Camden National Bank | |||||||||||||||||
ASC: | Accounting Standards Codification | HTM: | Held-to-maturity | |||||||||||||||||
ASU: | Accounting Standards Update | IRS: | Internal Revenue Service | |||||||||||||||||
Bank: | Camden National Bank, a wholly-owned subsidiary of Camden National Corporation | LGD: | Loss given default | |||||||||||||||||
BOLI: | Bank-owned life insurance | LIBOR: | London Interbank Offered Rate | |||||||||||||||||
Board ALCO: | Board of Directors' Asset/Liability Committee | LTIP: | Long-Term Performance Share Plan | |||||||||||||||||
BTFP: | Bank Term Funding Program, introduced by the Federal Reserve Bank in March 2023 | Management ALCO: | Management Asset/Liability Committee | |||||||||||||||||
CCTA: | Camden Capital Trust A, an unconsolidated entity formed by Camden National Corporation | MBS: | Mortgage-backed security | |||||||||||||||||
CDs: | Certificate of deposits | MSPP: | Management Stock Purchase Plan | |||||||||||||||||
CECL: | Current Expected Credit Losses | N/A: | Not applicable | |||||||||||||||||
Company: | Camden National Corporation | N.M.: | Not meaningful | |||||||||||||||||
CMO: | Collateralized mortgage obligation | OCC: | Office of the Comptroller of the Currency | |||||||||||||||||
CUSIP: | Committee on Uniform Securities Identification Procedures | OCI: | Other comprehensive income (loss) | |||||||||||||||||
DCRP: | Defined Contribution Retirement Plan | OREO: | Other real estate owned | |||||||||||||||||
EPS: | Earnings per share | PD: | Probability of default | |||||||||||||||||
FASB: | Financial Accounting Standards Board | SBA: | U.S. Small Business Administration | |||||||||||||||||
FDIC: | Federal Deposit Insurance Corporation | SBA PPP: | U.S. Small Business Administration Paycheck Protection Program | |||||||||||||||||
FHLB: | Federal Home Loan Bank | SERP: | Supplemental executive retirement plans | |||||||||||||||||
FHLBB: | Federal Home Loan Bank of Boston | SOFR: | Secured Overnight Financing Rate | |||||||||||||||||
FHLMC: | Federal Home Loan Mortgage Corporation | TDR: | Troubled-debt restructured loan | |||||||||||||||||
FNMA: | Federal National Mortgage Association | UBCT: | Union Bankshares Capital Trust I, an unconsolidated entity formed by Union Bankshares Company that was subsequently acquired by Camden National Corporation | |||||||||||||||||
FOMC: | Federal Open Market Committee | U.S: | United States of America | |||||||||||||||||
FRB: | Board of Governors of the Federal Reserve System |
(In thousands) | Amortized Cost | Unrealized Gains | Unrealized Losses | Fair Value | ||||||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||||
Obligations of states and political subdivisions | $ | i 49,110 | $ | i 11 | $ | ( i 498) | $ | i 48,623 | ||||||||||||||||||
MBS issued or guaranteed by U.S. government-sponsored enterprises | i 569,383 | i 38 | ( i 82,641) | i 486,780 | ||||||||||||||||||||||
CMO issued or guaranteed by U.S. government-sponsored enterprises | i 113,789 | i — | ( i 13,088) | i 100,701 | ||||||||||||||||||||||
Corporate bonds | i 25,677 | i — | ( i 3,576) | i 22,101 | ||||||||||||||||||||||
Total AFS debt securities | $ | i 757,959 | $ | i 49 | $ | ( i 99,803) | $ | i 658,205 | ||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||
Obligations of states and political subdivisions | $ | i 49,678 | $ | i 11 | $ | ( i 463) | $ | i 49,226 | ||||||||||||||||||
MBS issued or guaranteed by U.S. government-sponsored enterprises | i 598,845 | i 131 | ( i 84,957) | i 514,019 | ||||||||||||||||||||||
CMO issued or guaranteed by U.S. government-sponsored enterprises | i 122,760 | i — | ( i 13,413) | i 109,347 | ||||||||||||||||||||||
Corporate bonds | i 25,677 | i 3 | ( i 2,397) | i 23,283 | ||||||||||||||||||||||
Total AFS debt securities | $ | i 796,960 | $ | i 145 | $ | ( i 101,230) | $ | i 695,875 |
Less Than 12 Months | 12 Months or More | Total | ||||||||||||||||||||||||||||||||||||||||||
(In
thousands, except number of holdings) | Number of Holdings | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | Fair Value | Unrealized Losses | |||||||||||||||||||||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||
Obligations of states and political subdivisions | i 75 | $ | i 30,020 | $ | ( i 316) | $ | i 8,842 | $ | ( i 182) | $ | i 38,862 | $ | ( i 498) | |||||||||||||||||||||||||||||||
MBS issued or guaranteed by U.S. government-sponsored enterprises | i 178 | i 7,275 | ( i 26) | i 471,342 | ( i 82,615) | i 478,617 | ( i 82,641) | |||||||||||||||||||||||||||||||||||||
CMO issued or guaranteed by U.S. government-sponsored enterprises | i 60 | i — | i — | i 100,701 | ( i 13,088) | i 100,701 | ( i 13,088) | |||||||||||||||||||||||||||||||||||||
Corporate bonds | i 14 | i 2,724 | ( i 879) | i 19,377 | ( i 2,697) | i 22,101 | ( i 3,576) | |||||||||||||||||||||||||||||||||||||
Total AFS debt securities | i 327 | $ | i 40,019 | $ | ( i 1,221) | $ | i 600,262 | $ | ( i 98,582) | $ | i 640,281 | $ | ( i 99,803) | |||||||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Obligations of states and political subdivisions | i 83 | i 42,276 | ( i 463) | i — | i — | i 42,276 | ( i 463) | |||||||||||||||||||||||||||||||||||||
MBS issued or guaranteed by U.S. government-sponsored enterprises | i 175 | i 118,290 | ( i 11,521) | i 381,355 | ( i 73,436) | i 499,645 | ( i 84,957) | |||||||||||||||||||||||||||||||||||||
CMO issued or guaranteed by U.S. government-sponsored enterprises | i 64 | i 47,340 | ( i 4,589) | i 62,007 | ( i 8,824) | i 109,347 | ( i 13,413) | |||||||||||||||||||||||||||||||||||||
Corporate bonds | i 13 | i 7,687 | ( i 384) | i 14,593 | ( i 2,013) | i 22,280 | ( i 2,397) | |||||||||||||||||||||||||||||||||||||
Total AFS debt securities | i 335 | $ | i 215,593 | $ | ( i 16,957) | $ | i 457,955 | $ | ( i 84,273) | $ | i 673,548 | $ | ( i 101,230) | |||||||||||||||||||||||||||||||
(In thousands) | Amortized Cost | Fair Value | ||||||||||||
Due in one year or less | $ | i 1,002 | $ | i 998 | ||||||||||
Due after one year through five years | i 13,835 | i 12,483 | ||||||||||||
Due after five years through ten years | i 59,950 | i 57,243 | ||||||||||||
Due after ten years | i — | i — | ||||||||||||
Subtotal | i 74,787 | i 70,724 | ||||||||||||
Mortgage-related securities | i 683,172 | i 587,481 | ||||||||||||
Total | $ | i 757,959 | $ | i 658,205 |
(In thousands) | Amortized Cost(1) | Unrealized Gains | Unrealized Losses | Fair Value | ||||||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||||
Obligations of U.S. government-sponsored enterprises | $ | i 7,525 | $ | i — | $ | ( i 639) | $ | i 6,886 | ||||||||||||||||||
Obligations of states and political subdivisions | i 56,120 | i 1,174 | ( i 963) | i 56,331 | ||||||||||||||||||||||
MBS issued or guaranteed by U.S. government-sponsored enterprises | i 311,208 | i — | ( i 24,389) | i 286,819 | ||||||||||||||||||||||
CMO issued or guaranteed by U.S. government-sponsored enterprises | i 140,751 | i — | ( i 13,454) | i 127,297 | ||||||||||||||||||||||
Corporate bonds | i 18,980 | i 528 | ( i 1,251) | i 18,257 | ||||||||||||||||||||||
Total HTM debt securities | $ | i 534,584 | $ | i 1,702 | $ | ( i 40,696) | $ | i 495,590 | ||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||
Obligations of U.S. government-sponsored enterprises | $ | i 7,457 | $ | i — | $ | ( i 777) | $ | i 6,680 | ||||||||||||||||||
Obligations of states and political subdivisions | i 55,978 | i 431 | ( i 1,610) | i 54,799 | ||||||||||||||||||||||
MBS issued or guaranteed by U.S. government-sponsored enterprises | i 317,406 | i — | ( i 24,766) | i 292,640 | ||||||||||||||||||||||
CMO issued or guaranteed by U.S. government-sponsored enterprises | i 145,069 | i — | ( i 13,724) | i 131,345 | ||||||||||||||||||||||
Corporate bonds | i 20,673 | i 332 | ( i 276) | i 20,729 | ||||||||||||||||||||||
Total HTM debt securities | $ | i 546,583 | $ | i 763 | $ | ( i 41,153) | $ | i 506,193 |
(In thousands) | Amortized Cost | Fair Value | ||||||||||||
Due in one year or less | $ | i — | $ | i — | ||||||||||
Due after one year through five years | i 2,294 | i 2,301 | ||||||||||||
Due after five years through ten years | i 23,223 | i 21,712 | ||||||||||||
Due after ten years | i 57,108 | i 57,461 | ||||||||||||
Subtotal | i 82,625 | i 81,474 | ||||||||||||
Mortgage-related securities | i 451,959 | i 414,116 | ||||||||||||
Total | $ | i 534,584 | $ | i 495,590 |
(In thousands) | June 30, 2023 | December 31, 2022 | ||||||||||||
FHLBB | $ | i 9,281 | $ | i 7,339 | ||||||||||
FRB | i 5,374 | i 5,374 | ||||||||||||
Total other investments | $ | i 14,655 | $ | i 12,713 |
(In thousands) | June 30, 2023 | December 31, 2022 | ||||||||||||
Commercial Loans: | ||||||||||||||
Commercial real estate - non-owner-occupied | $ | i 1,341,138 | $ | i 1,292,443 | ||||||||||
Commercial real estate - owner-occupied | i 335,864 | i 332,494 | ||||||||||||
Commercial | i 422,437 | i 430,131 | ||||||||||||
Total commercial loans | i 2,099,439 | i 2,055,068 | ||||||||||||
Retail Loans: | ||||||||||||||
Residential real estate | i 1,748,303 | i 1,700,266 | ||||||||||||
Home equity | i 232,618 | i 234,428 | ||||||||||||
Consumer | i 19,771 | i 20,591 | ||||||||||||
Total retail loans | i 2,000,692 | i 1,955,285 | ||||||||||||
Total loans | $ | i 4,100,131 | $ | i 4,010,353 |
(In thousands) | June 30, 2023 | December 31, 2022 | ||||||||||||
Net unamortized fair value mark discount on acquired loans | $ | ( i 232) | $ | ( i 313) | ||||||||||
Net unamortized loan origination costs | i 7,169 | i 6,890 | ||||||||||||
Total | $ | i 6,937 | $ | i 6,577 |
Commercial Real Estate | ||||||||||||||||||||||||||||||||||||||||||||
(In thousands) | Non-Owner-Occupied | Owner- Occupied | Commercial | Residential Real Estate | Home Equity | Consumer | Total | |||||||||||||||||||||||||||||||||||||
At or For The Three Months Ended June 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||
Beginning balance, March 31, 2023 | $ | i 16,324 | $ | i 2,470 | $ | i 4,581 | $ | i 10,812 | $ | i 2,440 | $ | i 507 | $ | i 37,134 | ||||||||||||||||||||||||||||||
Charge-offs | i — | i — | ( i 534) | i — | i — | ( i 27) | ( i 561) | |||||||||||||||||||||||||||||||||||||
Recoveries | i 1 | i — | i 64 | i 29 | i — | i 11 | i 105 | |||||||||||||||||||||||||||||||||||||
(Credit) provision for loan losses | ( i 170) | ( i 119) | i 684 | ( i 214) | ( i 43) | i 167 | i 305 | |||||||||||||||||||||||||||||||||||||
Ending balance, June 30, 2023 | $ | i 16,155 | $ | i 2,351 | $ | i 4,795 | $ | i 10,627 | $ | i 2,397 | $ | i 658 | $ | i 36,983 | ||||||||||||||||||||||||||||||
At or For The Six Months Ended June 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||
Beginning balance, December 31, 2022 | $ | i 17,296 | $ | i 2,362 | $ | i 5,446 | $ | i 9,089 | $ | i 2,225 | $ | i 504 | $ | i 36,922 | ||||||||||||||||||||||||||||||
Charge-offs | i — | i — | ( i 846) | ( i 18) | i — | ( i 31) | ( i 895) | |||||||||||||||||||||||||||||||||||||
Recoveries | i 2 | i — | i 163 | i 33 | i — | i 14 | i 212 | |||||||||||||||||||||||||||||||||||||
(Credit) provision for loan losses | ( i 1,143) | ( i 11) | i 32 | i 1,523 | i 172 | i 171 | i 744 | |||||||||||||||||||||||||||||||||||||
Ending balance, June 30, 2023 | $ | i 16,155 | $ | i 2,351 | $ | i 4,795 | $ | i 10,627 | $ | i 2,397 | $ | i 658 | $ | i 36,983 | ||||||||||||||||||||||||||||||
At or For The Three Months Ended June 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Beginning balance, March 31, 2022 | $ | i 16,572 | $ | i 2,339 | $ | i 4,842 | $ | i 6,476 | $ | i 1,435 | $ | i 106 | $ | i 31,770 | ||||||||||||||||||||||||||||||
Charge-offs | i — | i — | ( i 316) | ( i 16) | i — | ( i 17) | ( i 349) | |||||||||||||||||||||||||||||||||||||
Recoveries | i — | i — | i 223 | i — | i 86 | i 3 | i 312 | |||||||||||||||||||||||||||||||||||||
(Credit) provision for loan losses | ( i 362) | i 162 | i 397 | i 1,978 | i 275 | i 61 | i 2,511 | |||||||||||||||||||||||||||||||||||||
Ending balance, June 30, 2022 | $ | i 16,210 | $ | i 2,501 | $ | i 5,146 | $ | i 8,438 | $ | i 1,796 | $ | i 153 | $ | i 34,244 | ||||||||||||||||||||||||||||||
At or For The Six Months Ended June 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Beginning balance, December 31, 2021 | $ | i 18,834 | $ | i 2,539 | $ | i 4,202 | $ | i 6,133 | $ | i 1,469 | $ | i 79 | $ | i 33,256 | ||||||||||||||||||||||||||||||
Charge-offs | i — | i — | ( i 561) | ( i 16) | i — | ( i 84) | ( i 661) | |||||||||||||||||||||||||||||||||||||
Recoveries | i 1 | i 2 | i 280 | i — | i 86 | i 5 | i 374 | |||||||||||||||||||||||||||||||||||||
(Credit) provision for loan losses | ( i 2,625) | ( i 40) | i 1,225 | i 2,321 | i 241 | i 153 | i 1,275 | |||||||||||||||||||||||||||||||||||||
Ending balance, June 30, 2022 | $ | i 16,210 | $ | i 2,501 | $ | i 5,146 | $ | i 8,438 | $ | i 1,796 | $ | i 153 | $ | i 34,244 | ||||||||||||||||||||||||||||||
At or For The Year Ended December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Beginning balance, December 31, 2021 | $ | i 18,834 | $ | i 2,539 | $ | i 4,202 | $ | i 6,133 | $ | i 1,469 | $ | i 79 | $ | i 33,256 | ||||||||||||||||||||||||||||||
Charge-offs | i — | i — | ( i 1,042) | ( i 66) | i — | ( i 134) | ( i 1,242) | |||||||||||||||||||||||||||||||||||||
Recoveries | i 3 | i 2 | i 379 | i — | i 87 | i 7 | i 478 | |||||||||||||||||||||||||||||||||||||
(Credit) provision for loan losses | ( i 1,541) | ( i 179) | i 1,907 | i 3,022 | i 669 | i 552 | i 4,430 | |||||||||||||||||||||||||||||||||||||
Ending balance, December 31, 2022 | $ | i 17,296 | $ | i 2,362 | $ | i 5,446 | $ | i 9,089 | $ | i 2,225 | $ | i 504 | $ | i 36,922 |
(In thousands) | 2023 | 2022 | 2021 | 2020 | 2019 | Prior | Revolving Loans Amortized Cost Basis | Revolving Loans Converted to Term | Total | |||||||||||||||||||||||||||||||||||||||||||||||
As of and for the period ended June 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate - non-owner-occupied | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk
rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (Grades 1-6) | $ | i 54,990 | $ | i 351,938 | $ | i 296,093 | $ | i 153,529 | $ | i 121,813 | $ | i 352,101 | $ | i — | $ | i — | $ | i 1,330,464 | ||||||||||||||||||||||||||||||||||||||
Special mention (Grade 7) | i — | i — | i 165 | i 354 | i 246 | i 379 | i — | i — | i 1,144 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard (Grade 8) | i — | i 176 | i 119 | i 945 | i 116 | i 8,174 | i — | i — | i 9,530 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful (Grade 9) | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Total commercial real estate - non-owner-occupied | $ | i 54,990 | $ | i 352,114 | $ | i 296,377 | $ | i 154,828 | $ | i 122,175 | $ | i 360,654 | $ | i — | $ | i — | $ | i 1,341,138 | ||||||||||||||||||||||||||||||||||||||
Gross charge-offs for the six months ended | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | ||||||||||||||||||||||||||||||||||||||
Commercial real estate - owner-occupied | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (Grades 1-6) | $ | i 22,789 | $ | i 56,703 | $ | i 78,340 | $ | i 27,420 | $ | i 21,554 | $ | i 99,781 | $ | i — | $ | i — | $ | i 306,587 | ||||||||||||||||||||||||||||||||||||||
Special mention (Grade 7) | i — | i — | i — | i — | i — | i 464 | i — | i — | i 464 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard (Grade 8) | i — | i — | i 2,203 | i — | i 19,990 | i 6,620 | i — | i — | i 28,813 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful (Grade 9) | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Total commercial real estate - owner occupied | $ | i 22,789 | $ | i 56,703 | $ | i 80,543 | $ | i 27,420 | $ | i 41,544 | $ | i 106,865 | $ | i — | $ | i — | $ | i 335,864 | ||||||||||||||||||||||||||||||||||||||
Gross charge-offs for the six months ended | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | ||||||||||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk
rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (Grades 1-6) | $ | i 20,721 | $ | i 63,346 | $ | i 62,997 | $ | i 28,583 | $ | i 29,499 | $ | i 41,727 | $ | i 127,696 | $ | i 42,492 | $ | i 417,061 | ||||||||||||||||||||||||||||||||||||||
Special mention (Grade 7) | i — | i — | i — | i 80 | i 103 | i 457 | i 375 | i 9 | i 1,024 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard (Grade 8) | i 189 | i 253 | i 49 | i 140 | i 281 | i 1,186 | i 843 | i 1,411 | i 4,352 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful (Grade 9) | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Total commercial | $ | i 20,910 | $ | i 63,599 | $ | i 63,046 | $ | i 28,803 | $ | i 29,883 | $ | i 43,370 | $ | i 128,914 | $ | i 43,912 | $ | i 422,437 | ||||||||||||||||||||||||||||||||||||||
Gross charge-offs for the six months ended | $ | i — | $ | i 68 | $ | i 137 | $ | i 23 | $ | i — | $ | i 538 | $ | i 20 | $ | i 60 | $ | i 846 | ||||||||||||||||||||||||||||||||||||||
Residential Real Estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (Grades 1-6) | $ | i 85,198 | $ | i 547,343 | $ | i 562,723 | $ | i 230,363 | $ | i 74,997 | $ | i 244,040 | $ | i 354 | $ | i 394 | $ | i 1,745,412 | ||||||||||||||||||||||||||||||||||||||
Special mention (Grade 7) | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard (Grade 8) | i — | i — | i 314 | i — | i 91 | i 2,486 | i — | i — | i 2,891 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful (Grade 9) | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Total residential real estate | $ | i 85,198 | $ | i 547,343 | $ | i 563,037 | $ | i 230,363 | $ | i 75,088 | $ | i 246,526 | $ | i 354 | $ | i 394 | $ | i 1,748,303 | ||||||||||||||||||||||||||||||||||||||
Gross charge-offs for the six months ended | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i 18 | $ | i — | $ | i — | $ | i 18 | ||||||||||||||||||||||||||||||||||||||
Home
equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Performing | $ | i 8,177 | $ | i 24,663 | $ | i 559 | $ | i 334 | $ | i 4,452 | $ | i 14,214 | $ | i 167,186 | $ | i 12,567 | $ | i 232,152 | ||||||||||||||||||||||||||||||||||||||
Non-performing | i — | i — | i — | i — | i — | i 17 | i 351 | i 98 | i 466 | |||||||||||||||||||||||||||||||||||||||||||||||
Total
home equity | $ | i 8,177 | $ | i 24,663 | $ | i 559 | $ | i 334 | $ | i 4,452 | $ | i 14,231 | $ | i 167,537 | $ | i 12,665 | $ | i 232,618 | ||||||||||||||||||||||||||||||||||||||
Gross charge-offs for the six months ended | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | ||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk
rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Performing | $ | i 3,512 | $ | i 6,276 | $ | i 2,777 | $ | i 1,206 | $ | i 596 | $ | i 2,562 | $ | i 2,826 | $ | i — | $ | i 19,755 | ||||||||||||||||||||||||||||||||||||||
Non-performing | i — | i — | i — | i — | i 7 | i 9 | i — | i — | i 16 | |||||||||||||||||||||||||||||||||||||||||||||||
Total
consumer | $ | i 3,512 | $ | i 6,276 | $ | i 2,777 | $ | i 1,206 | $ | i 603 | $ | i 2,571 | $ | i 2,826 | $ | i — | $ | i 19,771 | ||||||||||||||||||||||||||||||||||||||
Gross charge-offs for the six months ended | $ | i — | $ | i — | $ | i 14 | $ | i 10 | $ | i 1 | $ | i 4 | $ | i 2 | $ | i — | $ | i 31 |
(In thousands) | 2022 | 2021 | 2020 | 2019 | 2018 | Prior | Revolving Loans Amortized Cost Basis | Revolving Loans Converted to Term | Total | |||||||||||||||||||||||||||||||||||||||||||||||
As of December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate - non-owner-occupied | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk
rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (Grades 1-6) | $ | i 339,171 | $ | i 287,749 | $ | i 160,621 | $ | i 125,029 | $ | i 108,823 | $ | i 242,024 | $ | i — | $ | i — | $ | i 1,263,417 | ||||||||||||||||||||||||||||||||||||||
Special mention (Grade 7) | i — | i 167 | i 364 | i 259 | i 75 | i 321 | i — | i — | i 1,186 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard (Grade 8) | i — | i 127 | i 1,306 | i 203 | i 7,798 | i 18,406 | i — | i — | i 27,840 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful (Grade 9) | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Total commercial real estate - non-owner-occupied | $ | i 339,171 | $ | i 288,043 | $ | i 162,291 | $ | i 125,491 | $ | i 116,696 | $ | i 260,751 | $ | i — | $ | i — | $ | i 1,292,443 | ||||||||||||||||||||||||||||||||||||||
Commercial real estate - owner-occupied | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (Grades 1-6) | $ | i 60,127 | $ | i 80,781 | $ | i 28,378 | $ | i 23,381 | $ | i 39,554 | $ | i 70,568 | $ | i — | $ | i — | $ | i 302,789 | ||||||||||||||||||||||||||||||||||||||
Special mention (Grade 7) | i — | i 2,053 | i — | i 19,992 | i — | i 411 | i — | i — | i 22,456 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard (Grade 8) | i 17 | i — | i — | i — | i 3,266 | i 3,966 | i — | i — | i 7,249 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful (Grade 9) | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Total commercial real estate - owner occupied | $ | i 60,144 | $ | i 82,834 | $ | i 28,378 | $ | i 43,373 | $ | i 42,820 | $ | i 74,945 | $ | i — | $ | i — | $ | i 332,494 | ||||||||||||||||||||||||||||||||||||||
Commercial | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk
rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (Grades 1-6) | $ | i 73,537 | $ | i 70,110 | $ | i 32,272 | $ | i 33,491 | $ | i 22,271 | $ | i 26,245 | $ | i 135,157 | $ | i 30,191 | $ | i 423,274 | ||||||||||||||||||||||||||||||||||||||
Special mention (Grade 7) | i — | i — | i 93 | i 141 | i 70 | i 189 | i 1,196 | i 12 | i 1,701 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard (Grade 8) | i 149 | i 52 | i 133 | i 216 | i 846 | i 1,524 | i 50 | i 2,186 | i 5,156 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful (Grade 9) | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Total commercial | $ | i 73,686 | $ | i 70,162 | $ | i 32,498 | $ | i 33,848 | $ | i 23,187 | $ | i 27,958 | $ | i 136,403 | $ | i 32,389 | $ | i 430,131 | ||||||||||||||||||||||||||||||||||||||
Residential Real Estate | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Pass (Grades 1-6) | $ | i 533,035 | $ | i 579,216 | $ | i 244,691 | $ | i 79,492 | $ | i 50,214 | $ | i 210,262 | $ | i 340 | $ | i — | $ | i 1,697,250 | ||||||||||||||||||||||||||||||||||||||
Special mention (Grade 7) | i — | i — | i — | i — | i — | i 23 | i — | i — | i 23 | |||||||||||||||||||||||||||||||||||||||||||||||
Substandard (Grade 8) | i — | i — | i — | i — | i 163 | i 2,830 | i — | i — | i 2,993 | |||||||||||||||||||||||||||||||||||||||||||||||
Doubtful (Grade 9) | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Total residential real estate | $ | i 533,035 | $ | i 579,216 | $ | i 244,691 | $ | i 79,492 | $ | i 50,377 | $ | i 213,115 | $ | i 340 | $ | i — | $ | i 1,700,266 | ||||||||||||||||||||||||||||||||||||||
Home
equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Performing | $ | i 26,712 | $ | i 693 | $ | i 341 | $ | i 4,842 | $ | i 7,730 | $ | i 8,551 | $ | i 173,338 | $ | i 11,735 | $ | i 233,942 | ||||||||||||||||||||||||||||||||||||||
Non-performing | i — | i — | i — | i — | i — | i 27 | i 377 | i 82 | i 486 | |||||||||||||||||||||||||||||||||||||||||||||||
Total
home equity | $ | i 26,712 | $ | i 693 | $ | i 341 | $ | i 4,842 | $ | i 7,730 | $ | i 8,578 | $ | i 173,715 | $ | i 11,817 | $ | i 234,428 | ||||||||||||||||||||||||||||||||||||||
Consumer | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Risk
rating | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Performing | $ | i 8,009 | $ | i 3,816 | $ | i 1,702 | $ | i 1,188 | $ | i 345 | $ | i 2,462 | $ | i 3,069 | $ | i — | $ | i 20,591 | ||||||||||||||||||||||||||||||||||||||
Non-performing | i — | i — | i — | i — | i — | i — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||||
Total
consumer | $ | i 8,009 | $ | i 3,816 | $ | i 1,702 | $ | i 1,188 | $ | i 345 | $ | i 2,462 | $ | i 3,069 | $ | i — | $ | i 20,591 | ||||||||||||||||||||||||||||||||||||||
(In thousands) | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days or Greater Past Due | Total Past Due | Current | Total Loans Outstanding | Loans > 90 Days Past Due and Accruing | |||||||||||||||||||||||||||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate - non-owner-occupied | $ | i 112 | $ | i — | $ | i 9 | $ | i 121 | $ | i 1,341,017 | $ | i 1,341,138 | $ | i — | ||||||||||||||||||||||||||||||||||||
Commercial real estate - owner-occupied | i — | i — | i 47 | i 47 | i 335,817 | i 335,864 | i | |||||||||||||||||||||||||||||||||||||||||||
Commercial | i 292 | i 260 | i 458 | i 1,010 | i 421,427 | i 422,437 | i — | |||||||||||||||||||||||||||||||||||||||||||
Residential real estate | i 721 | i 777 | i 628 | i 2,126 | i 1,746,177 | i 1,748,303 | i — | |||||||||||||||||||||||||||||||||||||||||||
Home equity | i 396 | i 281 | i 125 | i 802 | i 231,816 | i 232,618 | i — | |||||||||||||||||||||||||||||||||||||||||||
Consumer | i 77 | i 3 | i 7 | i 87 | i 19,684 | i 19,771 | i — | |||||||||||||||||||||||||||||||||||||||||||
Total | $ | i 1,598 | $ | i 1,321 | $ | i 1,274 | $ | i 4,193 | $ | i 4,095,938 | $ | i 4,100,131 | $ | i — | ||||||||||||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial real estate - non-owner-occupied | $ | i 267 | $ | i — | $ | i 11 | $ | i 278 | $ | i 1,292,165 | $ | i 1,292,443 | $ | i — | ||||||||||||||||||||||||||||||||||||
Commercial real estate - owner-occupied | i 55 | i — | i 47 | i 102 | i 332,392 | i 332,494 | i — | |||||||||||||||||||||||||||||||||||||||||||
Commercial | i 667 | i 134 | i 640 | i 1,441 | i 428,690 | i 430,131 | i — | |||||||||||||||||||||||||||||||||||||||||||
Residential real estate | i 852 | i 186 | i 524 | i 1,562 | i 1,698,704 | i 1,700,266 | i — | |||||||||||||||||||||||||||||||||||||||||||
Home equity | i 357 | i — | i 171 | i 528 | i 233,900 | i 234,428 | i — | |||||||||||||||||||||||||||||||||||||||||||
Consumer | i 23 | i 11 | i — | i 34 | i 20,557 | i 20,591 | i — | |||||||||||||||||||||||||||||||||||||||||||
Total | $ | i 2,221 | $ | i 331 | $ | i 1,393 | $ | i 3,945 | $ | i 4,006,408 | $ | i 4,010,353 | $ | i — |
June
30, 2023 | December 31, 2022 | |||||||||||||||||||||||||||||||||||||
(In thousands) | Non-Accrual Loans With an Allowance | Non-Accrual Loans Without an Allowance | Total Non-Accrual Loans | Non-Accrual Loans With an Allowance | Non-Accrual Loans Without an Allowance | Total Non-Accrual Loans | ||||||||||||||||||||||||||||||||
Commercial real estate - non-owner-occupied | $ | i — | $ | i 9 | $ | i 9 | $ | i — | $ | i 11 | $ | i 11 | ||||||||||||||||||||||||||
Commercial real estate - owner-occupied | i — | i 47 | i 47 | i — | i 46 | i 46 | ||||||||||||||||||||||||||||||||
Commercial | i 596 | i 133 | i 729 | i 415 | i 300 | i 715 | ||||||||||||||||||||||||||||||||
Residential real estate | i 1,527 | i 254 | i 1,781 | i 1,314 | i 419 | i 1,733 | ||||||||||||||||||||||||||||||||
Home equity | i 403 | i 63 | i 466 | i 421 | i 65 | i 486 | ||||||||||||||||||||||||||||||||
Consumer | i 16 | i — | i 16 | i — | i — | i — | ||||||||||||||||||||||||||||||||
Total | $ | i 2,542 | $ | i 506 | $ | i 3,048 | $ | i 2,150 | $ | i 841 | $ | i 2,991 |
June
30, 2023 | December 31, 2022 | |||||||||||||||||||||||||||||||||||||
Collateral Type | Total Collateral -Dependent Non-Accrual Loans | Collateral Type | Total Collateral -Dependent Non-Accrual Loans | |||||||||||||||||||||||||||||||||||
(In thousands) | Real Estate | General Business Assets | Real Estate | General Business Assets | ||||||||||||||||||||||||||||||||||
Residential real estate | $ | i 229 | $ | i — | $ | i 229 | $ | i 387 | $ | i — | $ | i 387 | ||||||||||||||||||||||||||
Home equity | i — | i — | i — | i — | i — | i — | ||||||||||||||||||||||||||||||||
Total | $ | i 229 | $ | i — | $ | i 229 | $ | i 387 | $ | i — | $ | i 387 |
Number of Contracts | Recorded Investment | Specific Reserve | ||||||||||||||||||||||||
(In thousands, except number of contracts) | December 31, 2022 | December 31, 2022 | December
31, 2022 | |||||||||||||||||||||||
Commercial real estate - owner-occupied | i 1 | $ | i 113 | $ | i 50 | |||||||||||||||||||||
Commercial | i — | i — | i — | |||||||||||||||||||||||
Residential
real estate | i 18 | i 2,208 | $ | i 307 | ||||||||||||||||||||||
Consumer
and home equity | i 3 | i 245 | i 9 | |||||||||||||||||||||||
Total | i 22 | $ | i 2,566 | $ | i 366 |
(In thousands, except number of contracts) | Number of Contracts | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Specific Reserve | ||||||||||||||||||||||
Home equity: | ||||||||||||||||||||||||||
Interest rate concession and payment deferral | i — | $ | i — | $ | i — | $ | i — | |||||||||||||||||||
Maturity concession | i 1 | i 69 | i 96 | i — | ||||||||||||||||||||||
Total | i 1 | $ | i 69 | $ | i 96 | $ | i — |
(In thousands) | June 30, 2023 | December 31, 2022 | ||||||||||||
Short-Term Borrowings: | ||||||||||||||
Customer Repurchase Agreements | $ | i 193,182 | $ | i 196,451 | ||||||||||
Bank Term Funding Program | i 135,000 | i — | ||||||||||||
Overnight Borrowings | i — | i 18,725 | ||||||||||||
FHLBB Borrowings | i 120,000 | i 50,000 | ||||||||||||
Total Short-Term Borrowings | $ | i 448,182 | $ | i 265,176 | ||||||||||
(In thousands) | June 30, 2023 | December 31, 2022 | ||||||||||||
Customer Repurchase Agreements(1)(2): | ||||||||||||||
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises | $ | i 171,014 | $ | i 99,105 | ||||||||||
Collateralized
mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises | i 22,168 | i 94,328 | ||||||||||||
Obligations
of states and political subdivisions | i — | i 3,018 | ||||||||||||
Total | $ | i 193,182 | $ | i 196,451 | ||||||||||
(In thousands) | June 30, 2023 | December 31, 2022 | ||||||||||||
Commitments to extend credit | $ | i 776,288 | $ | i 817,772 | ||||||||||
Standby letters of credit | i 6,268 | i 6,801 | ||||||||||||
Total | $ | i 782,556 | $ | i 824,573 |
Derivative Assets | Derivative Liabilities | |||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Notional Amount | Location | Fair Value | Notional Amount | Location | Fair Value | ||||||||||||||||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||||||||||||||||
Derivatives designated as hedging instruments: | ||||||||||||||||||||||||||||||||||||||
Interest rate contracts(1) | $ | i 435,000 | Other Assets | $ | i 18,433 | $ | i 133,000 | Accrued interest and other liabilities | $ | i 4,398 | ||||||||||||||||||||||||||||
Total derivatives designated as hedging instruments | $ | i 18,433 | $ | i 4,398 | ||||||||||||||||||||||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||||||||||||||||||||||
Customer loan swaps(1) | $ | i 285,002 | Other assets | $ | i 15,329 | $ | i 285,002 | Accrued interest and other liabilities | $ | i 15,366 | ||||||||||||||||||||||||||||
Risk participation agreements | i 28,324 | Other assets | i — | i 43,801 | Accrued interest and other liabilities | i — | ||||||||||||||||||||||||||||||||
Fixed rate mortgage interest rate lock commitments | i 11,358 | Other assets | i 110 | i 18,472 | Accrued interest and other liabilities | i 162 | ||||||||||||||||||||||||||||||||
Forward delivery commitments | i 8,591 | Other assets | i 143 | i 2,076 | Accrued interest and other liabilities | i 9 | ||||||||||||||||||||||||||||||||
Total derivatives not designated as hedging instruments | $ | i 15,582 | $ | i 15,537 | ||||||||||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||||||||
Derivatives designated as hedging instruments: | ||||||||||||||||||||||||||||||||||||||
Interest rate contracts(1) | $ | i 110,000 | Other assets | $ | i 13,051 | $ | i 133,000 | Accrued interest and other liabilities | $ | i 5,515 | ||||||||||||||||||||||||||||
Total derivatives designated as hedging instruments | $ | i 13,051 | $ | i 5,515 | ||||||||||||||||||||||||||||||||||
Derivatives not designated as hedging instruments: | ||||||||||||||||||||||||||||||||||||||
Customer loan swaps(1) | $ | i 260,130 | Other assets | $ | i 14,802 | $ | i 345,545 | Accrued interest and other liabilities | $ | i 14,850 | ||||||||||||||||||||||||||||
Risk participation agreements | i 21,818 | Other assets | i — | i 53,704 | Accrued interest and other liabilities | i — | ||||||||||||||||||||||||||||||||
Fixed rate mortgage interest rate lock commitments | i 4,493 | Other assets | i 31 | i 9,597 | Accrued interest and other liabilities | i 87 | ||||||||||||||||||||||||||||||||
Forward delivery commitments | i 5,259 | Other assets | i 114 | i — | Accrued interest and other liabilities | i — | ||||||||||||||||||||||||||||||||
Total derivatives not designated as hedging instruments | $ | i 14,947 | $ | i 14,937 |
Location in Consolidated Statements of Condition | Carrying Amount of Hedged Assets/(Liabilities) | Cumulative Fair Value Hedging Adjustment in the Carrying Amount of the Hedged Assets/(Liabilities) | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | June 30, 2023 | December 31, 2022 | June 30, 2023 | December 31, 2022 | ||||||||||||||||||||||||||||||||||
Loans(1) | $ | i 368,930 | $ | i — | $ | i 6,070 | $ | i — | ||||||||||||||||||||||||||||||
Total | $ | i 368,930 | $ | i — | $ | i 6,070 | $ | i — |
(Dollars in thousands) | Amount of Gain (Loss) Recognized in OCI on Derivative | Amount of Gain (Loss) Recognized in OCI Included Component | Amount of Gain (Loss) Recognized in OCI Excluded Component | Location of Gain (Loss) Recognized from AOCI into Income | Amount of Gain (Loss) Reclassified from AOCI into Income | Amount of Gain (Loss) Reclassified from AOCI into Income Included Component | Amount of Gain (Loss) Reclassified from AOCI into Income Excluded Component | |||||||||||||||||||||||||||||||||||||
For the Three Months Ended June 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | ( i 864) | $ | ( i 864) | $ | i — | Interest and fees on loans | $ | ( i 862) | $ | ( i 862) | $ | i — | |||||||||||||||||||||||||||||||
Interest rate contracts | i 1,517 | i 1,517 | i — | Interest on borrowings | i 537 | i 537 | i — | |||||||||||||||||||||||||||||||||||||
Interest rate contracts | i 1,406 | i 1,406 | i — | Interest on junior subordinated debentures | i 182 | i 182 | i — | |||||||||||||||||||||||||||||||||||||
Total | $ | i 2,059 | $ | i 2,059 | $ | i — | $ | ( i 143) | $ | ( i 143) | $ | i — | ||||||||||||||||||||||||||||||||
For
the Six Months Ended June 30, 2023 | ||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | ( i 682) | $ | ( i 682) | $ | i — | Interest and fees on loans | $ | ( i 1,579) | $ | ( i 1,579) | $ | i — | |||||||||||||||||||||||||||||||
Interest rate contracts | ( i 1) | ( i 1) | i — | Interest on deposits | i 306 | i 306 | i — | |||||||||||||||||||||||||||||||||||||
Interest rate contracts | i 722 | i 722 | i — | Interest on borrowings | i 1,024 | i 1,024 | i — | |||||||||||||||||||||||||||||||||||||
Interest rate contracts | i 472 | i 472 | i — | Interest on junior subordinated debentures | i 315 | i 315 | i — | |||||||||||||||||||||||||||||||||||||
Total | $ | i 511 | $ | i 511 | $ | i — | $ | i 66 | $ | i 66 | $ | i — | ||||||||||||||||||||||||||||||||
For
the Three Months Ended June 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | ( i 904) | $ | ( i 904) | $ | i — | Interest and fees on loans | $ | i 237 | $ | i 237 | $ | i — | |||||||||||||||||||||||||||||||
Interest rate contracts | i 2,233 | i 2,233 | i — | Interest on deposits | i 32 | i 32 | i — | |||||||||||||||||||||||||||||||||||||
Interest rate contracts | i 2,259 | i 2,259 | i | Interest on junior subordinated debentures | ( i 271) | ( i 271) | i | |||||||||||||||||||||||||||||||||||||
Total | $ | i 3,588 | $ | i 3,588 | $ | i — | $ | ( i 2) | $ | ( i 2) | $ | i — | ||||||||||||||||||||||||||||||||
For
the Six Months Ended June 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts | $ | ( i 3,915) | $ | ( i 3,915) | $ | i — | Interest and fees on loans | $ | i 619 | $ | i 619 | $ | i — | |||||||||||||||||||||||||||||||
Interest rate contracts | i 5,721 | i 5,721 | i — | Interest on deposits | ( i 117) | ( i 117) | i — | |||||||||||||||||||||||||||||||||||||
Interest rate contracts | i 5,417 | i 5,417 | i — | Interest on junior subordinated debentures | ( i 622) | ( i 622) | i — | |||||||||||||||||||||||||||||||||||||
Total | $ | i 7,223 | $ | i 7,223 | $ | i — | $ | ( i 120) | $ | ( i 120) | $ | i — |
Location and Amount of Gain (Loss) Recognized in Income | ||||||||||||||||||||||||||||||||||||||||||||||||||
Three Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||
2023 | 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Interest and fees on loans | Interest on deposits | Interest on borrowings | Interest on junior subordinated debentures | Interest and fees on loans | Interest on deposits | Interest on junior subordinated debentures | |||||||||||||||||||||||||||||||||||||||||||
Total presented on the consolidated statements of income in which the effects of cash flow hedges are recorded | $ | i 48,645 | $ | i 19,245 | $ | i 3,587 | $ | i 533 | $ | i 33,121 | $ | i 2,510 | $ | i 532 | ||||||||||||||||||||||||||||||||||||
Gain (loss) on fair value hedging relationships | ||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Hedged items | $ | ( i 7,655) | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | ||||||||||||||||||||||||||||||||||||
Derivatives designated as hedging instruments | $ | i 8,859 | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | ||||||||||||||||||||||||||||||||||||
Gain (loss) on cash flow hedging relationships | ||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of gain (loss) reclassified from AOCI into income | $ | ( i 862) | $ | i — | $ | i 537 | $ | i 182 | $ | i 237 | $ | i 32 | $ | ( i 271) | ||||||||||||||||||||||||||||||||||||
Amount of gain (loss) reclassified from AOCI into income - included component | $ | ( i 862) | $ | i — | $ | i 537 | $ | i 182 | $ | i 237 | $ | i 32 | $ | ( i 271) | ||||||||||||||||||||||||||||||||||||
Amount of gain (loss) reclassified from AOCI into income - excluded component | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — |
Location and Amount of Gain (Loss) Recognized in Income | ||||||||||||||||||||||||||||||||||||||||||||||||||
Six Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||
2023 | 2022 | |||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Interest and fees on loans | Interest on deposits | Interest on borrowings | Interest on junior subordinated debentures | Interest and fees on loans | Interest on deposits | Interest on junior subordinated debentures | |||||||||||||||||||||||||||||||||||||||||||
Total presented on the consolidated statements of income in which the effects of cash flow hedges are recorded | $ | i 93,977 | $ | i 35,077 | $ | i 5,672 | $ | i 1,061 | $ | i 65,156 | $ | i 4,343 | $ | i 1,061 | ||||||||||||||||||||||||||||||||||||
Gain (loss) on fair value hedging relationships | ||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Hedged items | $ | ( i 6,103) | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | ||||||||||||||||||||||||||||||||||||
Derivatives designated as hedging instruments | $ | i 7,786 | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | ||||||||||||||||||||||||||||||||||||
Gain (loss) on cash flow hedging relationships | ||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate contracts: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Amount of gain (loss) reclassified from AOCI into income | $ | ( i 1,579) | $ | i 306 | $ | i 1,024 | $ | i 315 | $ | i 619 | $ | ( i 117) | $ | ( i 622) | ||||||||||||||||||||||||||||||||||||
Amount of gain (loss) reclassified from AOCI into income - included component | $ | ( i 1,579) | $ | i 306 | $ | i 1,024 | $ | i 315 | $ | i 619 | $ | ( i 117) | $ | ( i 622) | ||||||||||||||||||||||||||||||||||||
Amount of gain (loss) reclassified from AOCI into income - excluded component | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — | $ | i — |
Location of Gain (Loss) Recognized in Income | Amount of Gain (Loss) Recognized in Income | |||||||||||||||||||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||
Customer loan swaps | Other expense | $ | i 38 | $ | i 44 | $ | i 11 | $ | i 138 | |||||||||||||||||||||||
Fixed rate mortgage interest rate lock commitments | Mortgage banking income, net | ( i 80) | i 268 | i 4 | ( i 191) | |||||||||||||||||||||||||||
Forward delivery commitments | Mortgage banking income, net | i 116 | ( i 155) | i 20 | i 11 | |||||||||||||||||||||||||||
Total | $ | i 74 | $ | i 157 | $ | i 35 | $ | ( i 42) |
Gross Amount Not Offset in the Consolidated Statements of Condition | ||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Gross Amount Recognized in the Consolidated Statements of Condition | Gross Amount Offset in the Consolidated Statements of Condition | Net Amount Presented in the Consolidated Statements of Condition | Financial Instruments Pledged (Received)(1) | Cash Collateral Pledged (Received)(1) | Net Amount | ||||||||||||||||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||||||||||||||||
Derivative assets: | ||||||||||||||||||||||||||||||||||||||
Customer
loan swaps - dealer bank(2) | $ | i 15,329 | $ | i — | $ | i 15,329 | $ | i — | $ | i — | $ | i 15,329 | ||||||||||||||||||||||||||
Interest
rate contracts(2) | i 18,433 | i — | i 18,433 | i — | ( i 16,338) | i 2,095 | ||||||||||||||||||||||||||||||||
Total | $ | i 33,762 | $ | i — | $ | i 33,762 | $ | i — | $ | ( i 16,338) | $ | i 17,424 | ||||||||||||||||||||||||||
Derivative liabilities: | ||||||||||||||||||||||||||||||||||||||
Customer loan swaps - commercial customer(3) | $ | i 15,366 | $ | i — | $ | i 15,366 | $ | i — | $ | i — | $ | i 15,366 | ||||||||||||||||||||||||||
Interest
rate contracts(2) | i 4,398 | i — | i 4,398 | i — | i 4,398 | i — | ||||||||||||||||||||||||||||||||
Total | $ | i 19,764 | $ | i — | $ | i 19,764 | $ | i — | $ | i 4,398 | $ | i 15,366 | ||||||||||||||||||||||||||
Customer
repurchase agreements | $ | i 193,182 | $ | i — | $ | i 193,182 | $ | i 193,182 | $ | i — | $ | i — | ||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||||||||
Derivative assets: | ||||||||||||||||||||||||||||||||||||||
Customer loan swaps - dealer bank(2) | $ | i 14,802 | $ | i — | $ | i 14,802 | $ | i — | $ | i — | $ | i 14,802 | ||||||||||||||||||||||||||
Interest
rate contracts(2) | i 13,051 | i — | i 13,051 | i — | ( i 10,915) | i 2,136 | ||||||||||||||||||||||||||||||||
Total | $ | i 27,853 | $ | i — | $ | i 27,853 | $ | i — | $ | ( i 10,915) | $ | i 16,938 | ||||||||||||||||||||||||||
Derivative liabilities: | ||||||||||||||||||||||||||||||||||||||
Customer loan swaps - commercial customer(3) | $ | i 14,850 | $ | i — | i 14,850 | $ | i — | $ | i — | $ | i 14,850 | |||||||||||||||||||||||||||
Interest
rate contracts(2) | i 5,515 | i — | i 5,515 | i — | i 5,515 | i — | ||||||||||||||||||||||||||||||||
Total | $ | i 20,365 | $ | i — | $ | i 20,365 | $ | i — | $ | i 5,515 | $ | i 14,850 | ||||||||||||||||||||||||||
Customer
repurchase agreements | $ | i 196,451 | $ | i — | $ | i 196,451 | $ | i 196,451 | $ | i — | $ | i — |
June
30, 2023 | Minimum Regulatory Capital Required for Capital Adequacy plus Capital Conservation Buffer | Minimum Regulatory Provision to Be "Well Capitalized" | December 31, 2022 | Minimum Regulatory Capital Required for Capital Adequacy plus Capital Conservation Buffer | Minimum Regulatory Provision to Be "Well Capitalized" | |||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Amount | Ratio | Amount | Ratio | ||||||||||||||||||||||||||||||||||||||||||||||
Camden National Corporation: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total risk-based capital ratio | $ | i 569,925 | i 13.95 | % | i 10.50 | % | i 10.00 | % | $ | i 557,571 | i 13.80 | % | i 10.50 | % | i 10.00 | % | ||||||||||||||||||||||||||||||||||
Tier
1 risk-based capital ratio | i 530,154 | i 12.97 | % | i 8.50 | % | i 6.00 | % | i 517,385 | i 12.81 | % | i 8.50 | % | i 6.00 | % | ||||||||||||||||||||||||||||||||||||
Common
equity Tier 1 risk-based capital ratio(1) | i 487,154 | i 11.92 | % | i 7.00 | % | N/A | i 474,385 | i 11.74 | % | i 7.00 | % | N/A | ||||||||||||||||||||||||||||||||||||||
Tier
1 leverage capital ratio(1) | i 530,154 | i 9.29 | % | i 4.00 | % | N/A | i 517,385 | i 9.22 | % | i 4.00 | % | N/A | ||||||||||||||||||||||||||||||||||||||
Camden National Bank: | ||||||||||||||||||||||||||||||||||||||||||||||||||
Total risk-based capital ratio | $ | i 539,656 | i 13.23 | % | i 10.50 | % | i 10.00 | % | $ | i 525,346 | i 13.03 | % | i 10.50 | % | i 10.00 | % | ||||||||||||||||||||||||||||||||||
Tier
1 risk-based capital ratio | i 499,885 | i 12.25 | % | i 8.50 | % | i 8.00 | % | i 485,160 | i 12.03 | % | i 8.50 | % | i 8.00 | % | ||||||||||||||||||||||||||||||||||||
Common
equity Tier 1 risk-based capital ratio | i 499,885 | i 12.25 | % | i 7.00 | % | i 6.50 | % | i 485,160 | i 12.03 | % | i 7.00 | % | i 6.50 | % | ||||||||||||||||||||||||||||||||||||
Tier
1 leverage capital ratio | i 499,885 | i 8.77 | % | i 4.00 | % | i 5.00 | % | i 485,160 | i 8.65 | % | i 4.00 | % | i 5.00 | % |
For the Three Months Ended | ||||||||||||||||||||||||||||||||||||||
June 30, 2023 | June 30, 2022 | |||||||||||||||||||||||||||||||||||||
(In thousands) | Pre-Tax Amount | Tax (Expense) Benefit | After-Tax Amount | Pre-Tax Amount | Tax (Expense) Benefit | After-Tax Amount | ||||||||||||||||||||||||||||||||
Debt Securities: | ||||||||||||||||||||||||||||||||||||||
Change in fair value | $ | ( i 5,163) | $ | i 1,110 | $ | ( i 4,053) | $ | ( i 53,580) | $ | i 11,520 | $ | ( i 42,060) | ||||||||||||||||||||||||||
Less:
reclassification adjustment for amortization of securities transferred from AFS to HTM(1) | i 1,696 | ( i 365) | i 1,331 | i — | i — | i — | ||||||||||||||||||||||||||||||||
Less:
reclassification adjustment for net realized losses(2) | i — | i — | i — | ( i 9) | i 2 | ( i 7) | ||||||||||||||||||||||||||||||||
Net change in fair value | ( i 6,859) | i 1,475 | ( i 5,384) | ( i 53,571) | i 11,518 | ( i 42,053) | ||||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||||||||||
Change in fair value | i 3,586 | ( i 772) | i 2,814 | i 3,588 | ( i 771) | i 2,817 | ||||||||||||||||||||||||||||||||
Less:
reclassified AOCI gain (loss) into interest expense(3) | i 719 | ( i 155) | i 564 | ( i 239) | i 51 | ( i 188) | ||||||||||||||||||||||||||||||||
Less:
reclassified AOCI (loss) gain into interest income(4) | ( i 862) | i 185 | ( i 677) | i 237 | ( i 51) | i 186 | ||||||||||||||||||||||||||||||||
Net change in fair value | i 3,729 | ( i 802) | i 2,927 | i 3,590 | ( i 771) | i 2,819 | ||||||||||||||||||||||||||||||||
Postretirement Plans: | ||||||||||||||||||||||||||||||||||||||
Amortization
of settlement recognition of net loss and prior service credit(5) | ( i 8) | i 2 | ( i 6) | i 231 | ( i 50) | i 181 | ||||||||||||||||||||||||||||||||
Other comprehensive loss | $ | ( i 3,138) | $ | i 675 | $ | ( i 2,463) | $ | ( i 49,750) | $ | i 10,697 | $ | ( i 39,053) |
For the Six Months Ended | ||||||||||||||||||||||||||||||||||||||
June 30, 2023 | June 30, 2022 | |||||||||||||||||||||||||||||||||||||
(In thousands) | Pre-Tax Amount | Tax (Expense) Benefit | After-Tax Amount | Pre-Tax Amount | Tax (Expense) Benefit | After-Tax Amount | ||||||||||||||||||||||||||||||||
Debt Securities: | ||||||||||||||||||||||||||||||||||||||
Change in fair value | $ | i 1,330 | $ | ( i 285) | $ | i 1,045 | $ | ( i 146,333) | $ | i 31,462 | $ | ( i 114,871) | ||||||||||||||||||||||||||
Less:
reclassification adjustment for amortization of securities transferred from AFS to HTM(1) | ( i 3,395) | i 730 | ( i 2,665) | i — | i — | i — | ||||||||||||||||||||||||||||||||
Less:
reclassification adjustment for net realized losses(2) | i — | i — | i — | ( i 9) | i 2 | ( i 7) | ||||||||||||||||||||||||||||||||
Net change in fair value | i 4,725 | ( i 1,015) | i 3,710 | ( i 146,324) | i 31,460 | ( i 114,864) | ||||||||||||||||||||||||||||||||
Cash Flow Hedges: | ||||||||||||||||||||||||||||||||||||||
Change in fair value | i 476 | ( i 102) | i 374 | i 7,223 | ( i 1,553) | i 5,670 | ||||||||||||||||||||||||||||||||
Less:
reclassified AOCI gain (loss) into interest expense(3) | i 1,645 | ( i 353) | i 1,292 | ( i 739) | i 159 | ( i 580) | ||||||||||||||||||||||||||||||||
Less:
reclassified AOCI (loss) gain into interest income(4) | ( i 1,579) | i 339 | ( i 1,240) | i 619 | ( i 133) | i 486 | ||||||||||||||||||||||||||||||||
Net change in fair value | i 410 | ( i 88) | i 322 | i 7,343 | ( i 1,579) | i 5,764 | ||||||||||||||||||||||||||||||||
Postretirement Plans: | ||||||||||||||||||||||||||||||||||||||
Amortization
of settlement recognition of net loss and prior service credit(5) | ( i 14) | i 3 | ( i 11) | i 463 | ( i 100) | i 363 | ||||||||||||||||||||||||||||||||
Other comprehensive income (loss) | $ | i 5,121 | $ | ( i 1,100) | $ | i 4,021 | $ | ( i 138,518) | $ | i 29,781 | $ | ( i 108,737) |
(In thousands) | Net Unrealized Gains (Losses) on Debt Securities(1) | Net Unrealized (Losses) Gains on Cash Flow Hedges(1) | Defined Benefit Postretirement Plans(1) | AOCI(1) | ||||||||||||||||||||||
At or For the Three Months Ended June 30, 2023 | ||||||||||||||||||||||||||
Balance at March 31, 2023 | $ | ( i 122,445) | $ | i 3,286 | $ | ( i 312) | $ | ( i 119,471) | ||||||||||||||||||
Other comprehensive income (loss) before reclassifications | ( i 4,053) | i 2,814 | i — | ( i 1,239) | ||||||||||||||||||||||
Less: Amounts reclassified from AOCI | i 1,331 | ( i 113) | i 6 | i 1,224 | ||||||||||||||||||||||
Other comprehensive (loss) income | ( i 5,384) | i 2,927 | ( i 6) | ( i 2,463) | ||||||||||||||||||||||
Balance at June 30, 2023 | $ | ( i 127,829) | $ | i 6,213 | $ | ( i 318) | $ | ( i 121,934) | ||||||||||||||||||
At or For the Six Months Ended June 30, 2023 | ||||||||||||||||||||||||||
Balance at December 31, 2022 | $ | ( i 131,539) | $ | i 5,891 | $ | ( i 307) | $ | ( i 125,955) | ||||||||||||||||||
Other comprehensive income before reclassifications | i 1,045 | i 374 | i — | i 1,419 | ||||||||||||||||||||||
Less: Amounts reclassified from AOCI | ( i 2,665) | i 52 | i 11 | ( i 2,602) | ||||||||||||||||||||||
Other comprehensive income (loss) | i 3,710 | i 322 | ( i 11) | i 4,021 | ||||||||||||||||||||||
Balance at June 30, 2023 | $ | ( i 127,829) | $ | i 6,213 | $ | ( i 318) | $ | ( i 121,934) | ||||||||||||||||||
At or For the Three Months Ended June 30, 2022 | ||||||||||||||||||||||||||
Balance at March 31, 2022 | $ | ( i 73,984) | $ | i 1,166 | $ | ( i 3,095) | $ | ( i 75,913) | ||||||||||||||||||
Other comprehensive (loss) income before reclassifications | ( i 42,060) | i 2,817 | i — | ( i 39,243) | ||||||||||||||||||||||
Less: Amounts reclassified from AOCI | ( i 7) | ( i 2) | ( i 181) | ( i 190) | ||||||||||||||||||||||
Other comprehensive (loss) income | ( i 42,053) | i 2,819 | i 181 | ( i 39,053) | ||||||||||||||||||||||
Balance at June 30, 2022 | $ | ( i 116,037) | $ | i 3,985 | $ | ( i 2,914) | $ | ( i 114,966) | ||||||||||||||||||
At or For the Six Months Ended June 30, 2023 | ||||||||||||||||||||||||||
Balance at December 31, 2021 | $ | ( i 1,173) | $ | ( i 1,779) | $ | ( i 3,277) | $ | ( i 6,229) | ||||||||||||||||||
Other comprehensive (loss) income before reclassifications | ( i 114,871) | i 5,670 | i — | ( i 109,201) | ||||||||||||||||||||||
Less: Amounts reclassified from AOCI | ( i 7) | ( i 94) | ( i 363) | ( i 464) | ||||||||||||||||||||||
Other comprehensive (loss) income | ( i 114,864) | i 5,764 | i 363 | ( i 108,737) | ||||||||||||||||||||||
Balance at June 30, 2022 | $ | ( i 116,037) | $ | i 3,985 | $ | ( i 2,914) | $ | ( i 114,966) |
Location on Consolidated Statements of Income | Three Months Ended June 31, | Six Months Ended June 30, | ||||||||||||||||||||||||||||||
(In thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||
Debit card interchange income | Debit card income | $ | i 3,079 | $ | i 3,213 | $ | i 6,017 | $ | i 6,137 | |||||||||||||||||||||||
Services charges on deposit accounts | Service charges on deposit accounts | i 1,935 | i 1,931 | i 3,697 | i 3,764 | |||||||||||||||||||||||||||
Fiduciary services income | Income from fiduciary services | i 1,775 | i 1,681 | i 3,375 | i 3,312 | |||||||||||||||||||||||||||
Investment program income | Brokerage and insurance commissions | i 1,152 | i 1,272 | i 2,245 | i 2,266 | |||||||||||||||||||||||||||
Other non-interest income | Other income | i 465 | i 450 | i 887 | i 850 | |||||||||||||||||||||||||||
Total
non-interest income within the scope of ASC 606 | i 8,406 | i 8,547 | i 16,221 | i 16,329 | ||||||||||||||||||||||||||||
Total
non-interest income not in scope of ASC 606 | i 1,704 | i 2,594 | i 3,755 | i 4,637 | ||||||||||||||||||||||||||||
Total non-interest income | $ | i 10,110 | $ | i 11,141 | $ | i 19,976 | $ | i 20,966 |
(In thousands) | Location on Consolidated Statements of Income | Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||||||
Net periodic pension cost | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||
Service cost | Salaries and employee benefits | $ | i 70 | $ | i 133 | $ | i 140 | $ | i 267 | |||||||||||||||||||||||
Interest cost | Other expenses | i 189 | i 115 | i 378 | i 230 | |||||||||||||||||||||||||||
Recognized net actuarial loss | Other expenses | i — | i 215 | i — | i 431 | |||||||||||||||||||||||||||
Total | $ | i 259 | $ | i 463 | $ | i 518 | $ | i 928 |
(In thousands) | Location on Consolidated Statements of Income | Three
Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||||||
Net periodic postretirement benefit cost | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||
Service cost | Salaries and employee benefits | $ | i 3 | $ | i 5 | $ | i 5 | $ | i 10 | |||||||||||||||||||||||
Interest cost | Other expenses | i 41 | i 28 | i 81 | i 56 | |||||||||||||||||||||||||||
Recognized net actuarial (gain) loss | Other expenses | i — | i 22 | ( i 1) | i 44 | |||||||||||||||||||||||||||
Amortization of prior service credit | Other expenses | ( i 6) | ( i 6) | ( i 11) | ( i 12) | |||||||||||||||||||||||||||
Total | $ | i 38 | $ | i 49 | $ | i 74 | $ | i 98 |
Three
Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(In thousands, except number of shares and per share data) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Net income | $ | i 12,389 | $ | i 15,026 | $ | i 25,116 | $ | i 31,821 | ||||||||||||||||||
Dividends
and undistributed earnings allocated to participating securities(1) | ( i 17) | ( i 40) | ( i 41) | ( i 83) | ||||||||||||||||||||||
Net
income available to common shareholders | $ | i 12,372 | $ | i 14,986 | $ | i 25,075 | $ | i 31,738 | ||||||||||||||||||
Weighted-average
common shares outstanding for basic EPS | i 14,564,282 | i i 14,651,851 / | i 14,568,680 | i i 14,696,323 / | ||||||||||||||||||||||
Dilutive
effect of stock-based awards(2) | i 40,034 | i 52,800 | i 43,692 | i 60,739 | ||||||||||||||||||||||
Weighted-average
common and potential common shares for diluted EPS | i 14,604,316 | i 14,704,651 | i 14,612,372 | i 14,757,062 | ||||||||||||||||||||||
Earnings per common share: | ||||||||||||||||||||||||||
Basic EPS | $ | i 0.85 | $ | i 1.02 | $ | i 1.72 | $ | i 2.16 | ||||||||||||||||||
Diluted EPS | $ | i 0.85 | $ | i 1.02 | $ | i 1.72 | $ | i 2.15 | ||||||||||||||||||
Awards
excluded from the calculation of diluted EPS(3): | ||||||||||||||||||||||||||
Performance-based awards | i 9,111 | i 305 | i 10,705 | i 76 |
(In thousands) | Fair Value | Readily Available Market Prices (Level 1) | Observable Market Data (Level 2) | Company Determined Fair Value (Level 3) | ||||||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||||
Financial assets: | ||||||||||||||||||||||||||
Trading securities | $ | i 4,235 | $ | i 4,235 | $ | i — | $ | i — | ||||||||||||||||||
AFS debt securities: | ||||||||||||||||||||||||||
Obligations of states and political subdivisions | i 48,623 | i — | i 48,623 | i — | ||||||||||||||||||||||
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises | i 486,780 | i — | i 486,780 | i — | ||||||||||||||||||||||
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises | i 100,701 | i — | i 100,701 | i — | ||||||||||||||||||||||
Corporate bonds | i 22,101 | i — | i 22,101 | i — | ||||||||||||||||||||||
Loans held for sale | i 12,036 | i — | i 12,036 | i — | ||||||||||||||||||||||
Customer loan swaps | i 15,329 | i — | i 15,329 | i — | ||||||||||||||||||||||
Interest rate contracts | i 18,433 | i — | i 18,433 | i — | ||||||||||||||||||||||
Fixed rate mortgage interest rate lock commitments | i 110 | i — | i 110 | i — | ||||||||||||||||||||||
Forward delivery commitments | i 143 | i — | i 143 | i — | ||||||||||||||||||||||
Financial liabilities: | ||||||||||||||||||||||||||
Deferred compensation | $ | i 4,235 | $ | i 4,235 | $ | i — | $ | i — | ||||||||||||||||||
Customer loan swaps | i 15,366 | i — | i 15,366 | i — | ||||||||||||||||||||||
Interest rate contracts | i 4,398 | i — | i 4,398 | i — | ||||||||||||||||||||||
Fixed rate mortgage interest rate lock commitments | i 162 | i — | i 162 | i — | ||||||||||||||||||||||
Forward delivery commitments | i 9 | i — | i 9 | i — | ||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||
Financial assets: | ||||||||||||||||||||||||||
Trading securities | $ | i 3,990 | $ | i 3,990 | $ | i — | $ | i — | ||||||||||||||||||
AFS debt securities: | ||||||||||||||||||||||||||
Obligations of states and political subdivisions | i 49,226 | i — | i 49,226 | i — | ||||||||||||||||||||||
Mortgage-backed securities issued or guaranteed by U.S. government-sponsored enterprises | i 514,019 | i — | i 514,019 | i — | ||||||||||||||||||||||
Collateralized mortgage obligations issued or guaranteed by U.S. government-sponsored enterprises | i 109,347 | i — | i 109,347 | i — | ||||||||||||||||||||||
Corporate bonds | i 23,283 | i — | i 23,283 | i — | ||||||||||||||||||||||
Loans held for sale | i 5,197 | i — | i 5,197 | i — | ||||||||||||||||||||||
Customer loan swaps | i 14,802 | i — | i 14,802 | i — | ||||||||||||||||||||||
Interest rate contracts | i 13,051 | i — | i 13,051 | i — | ||||||||||||||||||||||
Fixed rate mortgage interest rate lock commitments | i 31 | i — | i 31 | i — | ||||||||||||||||||||||
Forward delivery commitments | i 114 | i — | i 114 | i — | ||||||||||||||||||||||
Financial liabilities: | ||||||||||||||||||||||||||
Deferred compensation | $ | i 3,990 | $ | i 3,990 | $ | i — | $ | i — | ||||||||||||||||||
Customer loan swaps | i 14,850 | i — | i 14,850 | i — | ||||||||||||||||||||||
Interest rate contracts | i 5,515 | i — | i 5,515 | i — | ||||||||||||||||||||||
Fixed rate mortgage interest rate lock commitments | i 87 | i — | i 87 | i — | ||||||||||||||||||||||
Carrying Amount | Fair Value | Readily Available Market Prices (Level 1) | Observable Market Prices (Level 2) | Company Determined Market Prices (Level 3) | ||||||||||||||||||||||||||||
June 30, 2023 | ||||||||||||||||||||||||||||||||
Financial assets: | ||||||||||||||||||||||||||||||||
HTM debt securities | $ | i 534,584 | $ | i 495,590 | $ | i — | $ | i 495,590 | $ | i — | ||||||||||||||||||||||
Commercial
real estate loans(1)(2) | i 1,658,496 | i 1,564,814 | i — | i — | i 1,564,814 | |||||||||||||||||||||||||||
Commercial
loans(2) | i 417,642 | i 403,100 | i — | i — | i 403,100 | |||||||||||||||||||||||||||
Residential
real estate loans(2) | i 1,737,676 | i 1,512,478 | i — | i — | i 1,512,478 | |||||||||||||||||||||||||||
Home
equity loans(2) | i 230,221 | i 228,473 | i — | i — | i 228,473 | |||||||||||||||||||||||||||
Consumer
loans(2) | i 19,113 | i 16,873 | i — | i — | i 16,873 | |||||||||||||||||||||||||||
Servicing assets | i 2,363 | i 4,283 | i — | i — | i 4,283 | |||||||||||||||||||||||||||
Financial liabilities: | ||||||||||||||||||||||||||||||||
Time deposits | $ | i 449,265 | $ | i 439,762 | $ | i — | $ | i 439,762 | $ | i — | ||||||||||||||||||||||
Short-term borrowings | i 448,182 | i 447,761 | i — | i 447,761 | i — | |||||||||||||||||||||||||||
Subordinated debentures | i 44,331 | i 31,032 | i — | i 31,032 | i — | |||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||
Financial assets: | ||||||||||||||||||||||||||||||||
HTM debt securities | $ | i 546,583 | $ | i 506,193 | $ | i — | $ | i 506,193 | $ | i — | ||||||||||||||||||||||
Commercial
real estate loans(1)(2) | i 1,605,279 | i 1,550,379 | i — | i — | i 1,550,379 | |||||||||||||||||||||||||||
Commercial
loans(2) | i 424,685 | i 414,353 | i — | i — | i 414,353 | |||||||||||||||||||||||||||
Residential
real estate loans(2) | i 1,691,177 | i 1,494,707 | i — | i — | i 1,494,707 | |||||||||||||||||||||||||||
Home
equity loans(2) | i 232,203 | i 237,967 | i — | i — | i 237,967 | |||||||||||||||||||||||||||
Consumer
loans(2) | i 20,087 | i 17,853 | i — | i — | i 17,853 | |||||||||||||||||||||||||||
Servicing assets | i 2,458 | i 4,412 | i — | i — | i 4,412 | |||||||||||||||||||||||||||
Financial liabilities: | ||||||||||||||||||||||||||||||||
Time deposits | $ | i 300,451 | $ | i 291,568 | $ | i — | $ | i 291,568 | $ | i — | ||||||||||||||||||||||
Short-term borrowings | i 265,176 | i 264,779 | i — | i 264,779 | i — | |||||||||||||||||||||||||||
Subordinated debentures | i 44,331 | i 31,032 | i — | i 31,032 | i — |
Three
Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Net income, as presented | $ | 12,389 | $ | 15,026 | $ | 25,116 | $ | 31,821 | ||||||||||||||||||
Add:
amortization of core deposit intangible assets, net of tax(1) | 117 | 124 | 234 | 247 | ||||||||||||||||||||||
Net income, adjusted for amortization of core deposit intangible assets | $ | 12,506 | $ | 15,150 | $ | 25,350 | $ | 32,068 | ||||||||||||||||||
Average equity, as presented | $ | 466,198 | $ | 457,804 | $ | 464,434 | $ | 491,434 | ||||||||||||||||||
Less: average goodwill and core deposit intangible assets | (96,036) | (96,648) | (96,113) | (96,731) | ||||||||||||||||||||||
Average tangible equity | $ | 370,162 | $ | 361,156 | $ | 368,321 | $ | 394,703 | ||||||||||||||||||
Return on average equity | 10.66 | % | 13.16 | % | 10.91 | % | 13.06 | % | ||||||||||||||||||
Return on average tangible equity | 13.55 | % | 16.83 | % | 13.88 | % | 16.38 | % |
Three
Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Non-interest expense, as presented | $ | 27,143 | $ | 26,556 | $ | 53,308 | $ | 52,765 | ||||||||||||||||||
Net interest income, as presented | $ | 32,690 | $ | 36,534 | $ | 66,970 | $ | 72,899 | ||||||||||||||||||
Add: effect of tax-exempt income(1) | 235 | 231 | 464 | 458 | ||||||||||||||||||||||
Non-interest income, as presented | 10,110 | 11,141 | 19,976 | 20,966 | ||||||||||||||||||||||
Add: net loss on sale of securities | — | 9 | — | 9 | ||||||||||||||||||||||
Adjusted net interest income plus non-interest income | $ | 43,035 | $ | 47,915 | $ | 87,410 | $ | 94,332 | ||||||||||||||||||
Ratio of non-interest expense to total revenues(2) | 63.42 | % | 55.70 | % | 61.31 | % | 56.21 | % | ||||||||||||||||||
Efficiency ratio | 63.07 | % | 55.42 | % | 60.99 | % | 55.94 | % |
Three
Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Net interest income, as presented | $ | 32,690 | $ | 36,534 | $ | 66,970 | $ | 72,899 | ||||||||||||||||||
Add:
effect of tax-exempt income(1) | 235 | 231 | 464 | 458 | ||||||||||||||||||||||
Net interest income (fully-taxable equivalent) | $ | 32,925 | $ | 36,765 | $ | 67,434 | $ | 73,357 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Net income, as presented | $ | 12,389 | $ | 15,026 | $ | 25,116 | $ | 31,821 | ||||||||||||||||||
Add: income tax expense, as presented | 3,165 | 3,748 | 6,417 | 8,009 | ||||||||||||||||||||||
Add: provision for credit losses, as presented | 103 | 2,345 | 2,105 | 1,270 | ||||||||||||||||||||||
Earnings before income taxes and provision for credit losses | 15,657 | 21,119 | $ | 33,638 | $ | 41,100 | ||||||||||||||||||||
Less: SBA PPP loan income | (6) | (165) | (9) | (1,198) | ||||||||||||||||||||||
Earnings before income taxes, provision for credit losses and SBA PPP Loan income | $ | 15,651 | $ | 20,954 | $ | 33,629 | $ | 39,902 |
(Dollars in thousands, except number of shares, per share data and ratios) | June 30, 2023 | December 31, 2022 | ||||||||||||
Tangible Book Value Per Share: | ||||||||||||||
Shareholders’ equity, as presented | $ | 467,376 | $ | 451,278 | ||||||||||
Less: goodwill and core deposit intangible assets | (95,964) | (96,260) | ||||||||||||
Tangible shareholders’ equity | $ | 371,412 | $ | 355,018 | ||||||||||
Shares outstanding at period end | 14,554,778 | 14,567,325 | ||||||||||||
Book value per share | $ | 32.11 | $ | 30.98 | ||||||||||
Tangible book value per share | $ | 25.52 | $ | 24.37 | ||||||||||
Tangible Common Equity Ratio: | ||||||||||||||
Total assets | $ | 5,743,931 | $ | 5,671,850 | ||||||||||
Less: goodwill and core deposit intangible assets | (95,964) | (96,260) | ||||||||||||
Tangible assets | $ | 5,647,967 | $ | 5,575,590 | ||||||||||
Common equity ratio | 8.14 | % | 7.96 | % | ||||||||||
Tangible common equity ratio | 6.58 | % | 6.37 | % |
(Dollars in thousands) | June 30, 2023 | December 31, 2022 | ||||||||||||
Total deposits | $ | 4,693,745 | $ | 4,826,929 | ||||||||||
Less: certificates of deposit | (449,265) | (300,451) | ||||||||||||
Less: brokered deposits | (224,255) | (181,253) | ||||||||||||
Core deposits | $ | 4,020,225 | $ | 4,345,225 |
Three
Months Ended June 31, | Six Months Ended June 30, | |||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||
Total average deposits(1) | $ | 4,426,370 | $ | 4,382,798 | $ | 4,473,138 | $ | 4,381,424 | ||||||||||||||||||
Less: average certificates of deposit | (410,272) | (298,335) | (365,489) | (301,510) | ||||||||||||||||||||||
Average core deposits | $ | 4,016,098 | $ | 4,084,463 | $ | 4,107,649 | $ | 4,079,914 |
Three
Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||
Return on average assets (annualized) | 0.87 | % | 1.11 | % | 0.89 | % | 1.18 | % | ||||||||||||||||||
Return on average equity (annualized) | 10.66 | % | 13.16 | % | 10.91 | % | 13.06 | % | ||||||||||||||||||
Return on average tangible equity (annualized) (non-GAAP) | 13.55 | % | 16.83 | % | 13.88 | % | 16.38 | % | ||||||||||||||||||
Ratio of non-interest expense to total revenues | 63.42 | % | 55.70 | % | 61.31 | % | 56.21 | % | ||||||||||||||||||
Efficiency ratio (non-GAAP) | 63.07 | % | 55.42 | % | 60.99 | % | 55.94 | % | ||||||||||||||||||
Overhead ratio (non-interest expense divided by average assets) (annualized) | 1.90 | % | 1.96 | % | 1.87 | % | 1.95 | % |
Three Months Ended | ||||||||||||||||||||||||||||||||||||||
June 30, 2023 | June 30, 2022 | |||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Average Balance | Interest | Yield/Rate | Average Balance | Interest | Yield/Rate | ||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits in other banks and other interest-earning assets | $ | 27,008 | $ | 335 | 4.90 | % | $ | 51,018 | $ | 55 | 0.43 | % | ||||||||||||||||||||||||||
Investments - taxable | 1,212,942 | 6,313 | 2.08 | % | 1,366,612 | 6,084 | 1.78 | % | ||||||||||||||||||||||||||||||
Investments - nontaxable(1) | 105,210 | 965 | 3.67 | % | 112,954 | 975 | 3.45 | % | ||||||||||||||||||||||||||||||
Loans(2): | ||||||||||||||||||||||||||||||||||||||
Commercial real estate | 1,670,299 | 20,040 | 4.75 | % | 1,500,284 | 14,142 | 3.73 | % | ||||||||||||||||||||||||||||||
Commercial(1) | 405,485 | 5,975 | 5.83 | % | 399,240 | 3,674 | 3.64 | % | ||||||||||||||||||||||||||||||
SBA PPP | 512 | 6 | 4.27 | % | 4,696 | 165 | 13.88 | % | ||||||||||||||||||||||||||||||
Municipal(1) | 17,484 | 173 | 3.98 | % | 18,633 | 145 | 3.13 | % | ||||||||||||||||||||||||||||||
Residential real estate | 1,748,443 | 17,730 | 4.06 | % | 1,457,639 | 12,461 | 3.42 | % | ||||||||||||||||||||||||||||||
Consumer and home equity | 253,308 | 4,753 | 7.53 | % | 240,967 | 2,560 | 4.26 | % | ||||||||||||||||||||||||||||||
Total loans | 4,095,531 | 48,677 | 4.73 | % | 3,621,459 | 33,147 | 3.64 | % | ||||||||||||||||||||||||||||||
Total interest-earning assets | 5,440,691 | 56,290 | 4.12 | % | 5,152,043 | 40,261 | 3.11 | % | ||||||||||||||||||||||||||||||
Cash and due from banks | 49,540 | 49,733 | ||||||||||||||||||||||||||||||||||||
Other assets | 259,697 | 242,093 | ||||||||||||||||||||||||||||||||||||
Less: ACL | (37,415) | (32,234) | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 5,712,513 | $ | 5,411,635 | ||||||||||||||||||||||||||||||||||
Liabilities & Shareholders' Equity | ||||||||||||||||||||||||||||||||||||||
Deposits: | ||||||||||||||||||||||||||||||||||||||
Non-interest checking | $ | 999,809 | $ | — | — | % | $ | 1,199,678 | $ | — | — | % | ||||||||||||||||||||||||||
Interest checking | 1,638,677 | 9,330 | 2.28 | % | 1,426,335 | 1,147 | 0.32 | % | ||||||||||||||||||||||||||||||
Savings | 685,282 | 164 | 0.10 | % | 751,274 | 77 | 0.04 | % | ||||||||||||||||||||||||||||||
Money market | 692,330 | 4,258 | 2.47 | % | 707,176 | 746 | 0.42 | % | ||||||||||||||||||||||||||||||
Certificates of deposit | 410,272 | 2,603 | 2.55 | % | 298,335 | 324 | 0.44 | % | ||||||||||||||||||||||||||||||
Total deposits | 4,426,370 | 16,355 | 1.48 | % | 4,382,798 | 2,294 | 0.21 | % | ||||||||||||||||||||||||||||||
Borrowings: | ||||||||||||||||||||||||||||||||||||||
Brokered deposits | 237,083 | 2,890 | 4.89 | % | 145,735 | 216 | 0.59 | % | ||||||||||||||||||||||||||||||
Customer repurchase agreements | 192,428 | 707 | 1.47 | % | 223,212 | 224 | 0.40 | % | ||||||||||||||||||||||||||||||
Subordinated debentures | 44,331 | 533 | 4.83 | % | 44,331 | 532 | 4.81 | % | ||||||||||||||||||||||||||||||
Other borrowings | 272,737 | 2,880 | 4.23 | % | 85,917 | 230 | 1.07 | % | ||||||||||||||||||||||||||||||
Total borrowings | 746,579 | 7,010 | 3.77 | % | 499,195 | 1,202 | 0.97 | % | ||||||||||||||||||||||||||||||
Total funding liabilities | 5,172,949 | 23,365 | 1.81 | % | 4,881,993 | 3,496 | 0.29 | % | ||||||||||||||||||||||||||||||
Other liabilities | 73,366 | 71,838 | ||||||||||||||||||||||||||||||||||||
Shareholders' equity | 466,198 | 457,804 | ||||||||||||||||||||||||||||||||||||
Total liabilities & shareholders' equity | $ | 5,712,513 | $ | 5,411,635 | ||||||||||||||||||||||||||||||||||
Net interest income (fully-taxable equivalent) | 32,925 | 36,765 | ||||||||||||||||||||||||||||||||||||
Less: fully-taxable equivalent adjustment | (235) | (231) | ||||||||||||||||||||||||||||||||||||
Net interest income | $ | 32,690 | $ | 36,534 | ||||||||||||||||||||||||||||||||||
Net interest rate spread (fully-taxable equivalent) | 2.31 | % | 2.82 | % | ||||||||||||||||||||||||||||||||||
Net interest margin (fully-taxable equivalent) | 2.40 | % | 2.84 | % |
Six Months Ended | ||||||||||||||||||||||||||||||||||||||
June 30, 2023 | June 30, 2022 | |||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Average Balance | Interest | Yield/Rate | Average Balance | Interest | Yield/Rate | ||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits in other banks and other interest-earning assets | $ | 26,515 | $ | 587 | 4.41 | % | $ | 75,375 | $ | 88 | 0.23 | % | ||||||||||||||||||||||||||
Investments - taxable | 1,225,079 | 12,690 | 2.07 | % | 1,387,971 | 12,110 | 1.74 | % | ||||||||||||||||||||||||||||||
Investments - nontaxable(1) | 105,355 | 1,931 | 3.67 | % | 113,982 | 1,941 | 3.41 | % | ||||||||||||||||||||||||||||||
Loans(2): | ||||||||||||||||||||||||||||||||||||||
Commercial real estate | 1,658,219 | 38,998 | 4.68 | % | 1,494,824 | 27,702 | 3.69 | % | ||||||||||||||||||||||||||||||
Commercial(1) | 407,288 | 11,591 | 5.66 | % | 386,147 | 6,976 | 3.59 | % | ||||||||||||||||||||||||||||||
SBA PPP | 553 | 9 | 3.35 | % | 13,145 | 1,198 | 18.12 | % | ||||||||||||||||||||||||||||||
Municipal(1) | 16,744 | 314 | 3.78 | % | 16,937 | 275 | 3.28 | % | ||||||||||||||||||||||||||||||
Residential real estate | 1,731,911 | 33,930 | 3.92 | % | 1,402,838 | 24,114 | 3.44 | % | ||||||||||||||||||||||||||||||
Consumer and home equity | 253,533 | 9,194 | 7.31 | % | 233,888 | 4,942 | 4.26 | % | ||||||||||||||||||||||||||||||
Total loans | 4,068,248 | 94,036 | 4.61 | % | 3,547,779 | 65,207 | 3.67 | % | ||||||||||||||||||||||||||||||
Total interest-earning assets | 5,425,197 | 109,244 | 4.02 | % | 5,125,107 | 79,346 | 3.09 | % | ||||||||||||||||||||||||||||||
Cash and due from banks | 48,134 | 48,782 | ||||||||||||||||||||||||||||||||||||
Other assets | 264,099 | 275,124 | ||||||||||||||||||||||||||||||||||||
Less: ACL | (37,272) | (32,670) | ||||||||||||||||||||||||||||||||||||
Total assets | $ | 5,700,158 | $ | 5,416,343 | ||||||||||||||||||||||||||||||||||
Liabilities & Shareholders' Equity | ||||||||||||||||||||||||||||||||||||||
Deposits: | ||||||||||||||||||||||||||||||||||||||
Non-interest checking | $ | 1,037,927 | $ | — | — | % | $ | 1,199,567 | $ | — | — | % | ||||||||||||||||||||||||||
Interest checking | 1,664,128 | 17,671 | 2.14 | % | 1,420,552 | 1,810 | 0.26 | % | ||||||||||||||||||||||||||||||
Savings | 709,907 | 301 | 0.09 | % | 751,087 | 153 | 0.04 | % | ||||||||||||||||||||||||||||||
Money market | 695,687 | 8,043 | 2.33 | % | 708,708 | 1,264 | 0.36 | % | ||||||||||||||||||||||||||||||
Certificates of deposit | 365,489 | 3,971 | 2.19 | % | 301,510 | 662 | 0.44 | % | ||||||||||||||||||||||||||||||
Total deposits | 4,473,138 | 29,986 | 1.35 | % | 4,381,424 | 3,889 | 0.18 | % | ||||||||||||||||||||||||||||||
Borrowings: | ||||||||||||||||||||||||||||||||||||||
Brokered deposits | 228,866 | 5,091 | 4.49 | % | 160,982 | 454 | 0.57 | % | ||||||||||||||||||||||||||||||
Customer repurchase agreements | 187,618 | 1,188 | 1.28 | % | 215,721 | 354 | 0.33 | % | ||||||||||||||||||||||||||||||
Subordinated debentures | 44,331 | 1,061 | 4.83 | % | 44,331 | 1,061 | 4.83 | % | ||||||||||||||||||||||||||||||
Other borrowings | 224,249 | 4,484 | 4.03 | % | 43,998 | 231 | 1.06 | % | ||||||||||||||||||||||||||||||
Total borrowings | 685,064 | 11,824 | 3.48 | % | 465,032 | 2,100 | 0.91 | % | ||||||||||||||||||||||||||||||
Total funding liabilities | 5,158,202 | 41,810 | 1.63 | % | 4,846,456 | 5,989 | 0.25 | % | ||||||||||||||||||||||||||||||
Other liabilities | 77,522 | 78,453 | ||||||||||||||||||||||||||||||||||||
Shareholders' equity | 464,434 | 491,434 | ||||||||||||||||||||||||||||||||||||
Total liabilities & shareholders' equity | $ | 5,700,158 | $ | 5,416,343 | ||||||||||||||||||||||||||||||||||
Net interest income (fully-taxable equivalent) | 67,434 | 73,357 | ||||||||||||||||||||||||||||||||||||
Less: fully-taxable equivalent adjustment | (464) | (458) | ||||||||||||||||||||||||||||||||||||
Net interest income | $ | 66,970 | $ | 72,899 | ||||||||||||||||||||||||||||||||||
Net interest rate spread (fully-taxable equivalent) | 2.39 | % | 2.84 | % | ||||||||||||||||||||||||||||||||||
Net interest margin (fully-taxable equivalent) | 2.47 | % | 2.85 | % |
Three
Months Ended June 30, 2023 vs. June 30, 2022 | Six Months Ended June 30, 2023 vs. June 30, 2022 | |||||||||||||||||||||||||||||||||||||
Increase (Decrease) Due to: | Net Increase (Decrease) | Increase (Decrease) Due to: | Net Increase (Decrease) | |||||||||||||||||||||||||||||||||||
(In thousands) | Volume | Rate | Volume | Rate | ||||||||||||||||||||||||||||||||||
Interest-earning assets: | ||||||||||||||||||||||||||||||||||||||
Interest-bearing deposits in other banks and other interest-earning assets | $ | (26) | $ | 306 | $ | 280 | $ | (56) | $ | 555 | $ | 499 | ||||||||||||||||||||||||||
Investments – taxable | (684) | 913 | 229 | (1,417) | 1,997 | 580 | ||||||||||||||||||||||||||||||||
Investments – nontaxable | (67) | 57 | (10) | (147) | 137 | (10) | ||||||||||||||||||||||||||||||||
Commercial
real estate | 1,624 | 4,091 | 5,715 | 3,089 | 7,639 | 10,728 | ||||||||||||||||||||||||||||||||
Commercial | 57 | 2,254 | 2,311 | 382 | 4,248 | 4,630 | ||||||||||||||||||||||||||||||||
SBA
PPP | (147) | (12) | (159) | (1,147) | (42) | (1,189) | ||||||||||||||||||||||||||||||||
Municipal | (9) | 37 | 28 | (3) | 42 | 39 | ||||||||||||||||||||||||||||||||
Residential
real estate | 2,450 | 2,992 | 5,442 | 5,528 | 4,841 | 10,369 | ||||||||||||||||||||||||||||||||
Consumer and home equity | 131 | 2,062 | 2,193 | 415 | 3,837 | 4,252 | ||||||||||||||||||||||||||||||||
Total
interest income (fully-taxable equivalent) | 3,329 | 12,700 | 16,029 | 6,644 | 23,254 | 29,898 | ||||||||||||||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||||||||||||||||||
Interest
checking | 169 | 8,014 | 8,183 | 314 | 15,547 | 15,861 | ||||||||||||||||||||||||||||||||
Savings | (7) | 94 | 87 | (8) | 156 | 148 | ||||||||||||||||||||||||||||||||
Money
market | (16) | 3,528 | 3,512 | (23) | 6,802 | 6,779 | ||||||||||||||||||||||||||||||||
Certificates of deposit | 123 | 2,156 | 2,279 | 140 | 3,169 | 3,309 | ||||||||||||||||||||||||||||||||
Brokered
deposits | 134 | 2,540 | 2,674 | 192 | 4,445 | 4,637 | ||||||||||||||||||||||||||||||||
Customer repurchase agreements | (31) | 514 | 483 | (46) | 880 | 834 | ||||||||||||||||||||||||||||||||
Junior subordinated debentures | — | 1 | 1 | — | — | — | ||||||||||||||||||||||||||||||||
Other borrowings | 499 | 2,151 | 2,650 | 947 | 3,306 | 4,253 | ||||||||||||||||||||||||||||||||
Total interest expense | 871 | 18,998 | 19,869 | 1,516 | 34,305 | 35,821 | ||||||||||||||||||||||||||||||||
Net interest income (fully-taxable equivalent) | $ | 2,458 | $ | (6,298) | $ | (3,840) | $ | 5,128 | $ | (11,051) | $ | (5,923) |
Income Statement Location | Three
Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||||||||||
(In thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||
Loan fees (cost) | Interest income | $ | 157 | $ | 222 | $ | (311) | $ | 1,303 | |||||||||||||||||||||||
Net
fair value mark accretion from purchase accounting | Interest income and Interest expense | 47 | 46 | 80 | 126 | |||||||||||||||||||||||||||
Recoveries on previously charged-off acquired loans | Interest income | 11 | 24 | 37 | 169 | |||||||||||||||||||||||||||
Total | $ | 215 | $ | 292 | $ | (194) | $ | 1,598 |
Three
Months Ended June 30, 2023 | Change | Six Months Ended June 30, 2023 | Change | ||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | $ | % | 2023 | 2022 | $ | % | |||||||||||||||||||||||||||||||||||||||||||||
Provision for loan losses | $ | 305 | $ | 2,511 | $ | (2,206) | (88) | % | $ | 744 | $ | 1,275 | $ | (531) | 42 | % | |||||||||||||||||||||||||||||||||||||
Credit for credit losses on off-balance sheet credit exposures | (202) | (166) | (36) | 22 | % | (477) | (5) | (472) | 9440 | % | |||||||||||||||||||||||||||||||||||||||||||
Provision for HTM debt securities | — | — | — | — | % | 1,838 | — | 1,838 | 100 | % | |||||||||||||||||||||||||||||||||||||||||||
Provision for credit losses | $ | 103 | $ | 2,345 | $ | (2,242) | (96) | % | $ | 2,105 | $ | 1,270 | $ | 835 | 66 | % |
Three
Months Ended June 30, | Change | Six Months Ended June 30, | Change | |||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | $ | % | 2023 | 2022 | $ | % | ||||||||||||||||||||||||||||||||||||||||||
Debit card income | $ | 3,079 | $ | 3,213 | $ | (134) | (4) | % | $ | 6,017 | $ | 6,137 | $ | (120) | (2) | % | ||||||||||||||||||||||||||||||||||
Service charges on deposit accounts | 1,935 | 1,931 | 4 | N.M. | 3,697 | 3,764 | (67) | (2) | % | |||||||||||||||||||||||||||||||||||||||||
Income from
fiduciary services | 1,775 | 1,681 | 94 | 6 | % | 3,375 | 3,312 | 63 | 2 | % | ||||||||||||||||||||||||||||||||||||||||
Brokerage and insurance commissions | 1,152 | 1,272 | (120) | (9) | % | 2,245 | 2,266 | (21) | (1) | % | ||||||||||||||||||||||||||||||||||||||||
Mortgage
banking income, net(1) | 590 | 1,517 | (927) | (61) | % | 1,306 | 2,551 | (1,245) | (49) | % | ||||||||||||||||||||||||||||||||||||||||
Bank-owned life insurance | 613 | 569 | 44 | 8 | % | 1,205 | 1,145 | 60 | 5 | % | ||||||||||||||||||||||||||||||||||||||||
Net loss on sale of securities | — | (9) | 9 | N.M. | — | (9) | 9 | N.M. | ||||||||||||||||||||||||||||||||||||||||||
Other income(2) | 966 | 967 | (1) | N.M. | 2,131 | 1,800 | 331 | 18 | % | |||||||||||||||||||||||||||||||||||||||||
Total non-interest income | $ | 10,110 | $ | 11,141 | $ | (1,031) | (9) | % | $ | 19,976 | $ | 20,966 | $ | (990) | (5) | % | ||||||||||||||||||||||||||||||||||
Non-interest
income as a percentage of total revenues | 24 | % | 23 | % | 23 | % | 22 | % |
Three
Months Ended June 30, | Change | Six Months Ended June 30, | Change | |||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | $ | % | 2023 | 2022 | $ | % | ||||||||||||||||||||||||||||||||||||||||||
Salaries
and employee benefits(1) | $ | 15,288 | $ | 15,402 | $ | (114) | (1) | % | $ | 29,861 | $ | 30,908 | $ | (1,047) | (3) | % | ||||||||||||||||||||||||||||||||||
Furniture, equipment and data processing | 3,179 | 3,202 | (23) | (1) | % | 6,390 | 6,334 | 56 | 1 | % | ||||||||||||||||||||||||||||||||||||||||
Net
occupancy costs | 1,852 | 1,806 | 46 | 3 | % | 3,931 | 3,950 | (19) | — | % | ||||||||||||||||||||||||||||||||||||||||
Debit
card expense(2) | 1,262 | 1,134 | 128 | 11 | % | 2,463 | 2,200 | 263 | 12 | % | ||||||||||||||||||||||||||||||||||||||||
Consulting and professional fees | 1,375 | 1,293 | 82 | 6 | % | 2,430 | 2,300 | 130 | 6 | % | ||||||||||||||||||||||||||||||||||||||||
Regulatory
assessments(3) | 868 | 515 | 353 | 69 | % | 1,713 | 1,170 | 543 | 46 | % | ||||||||||||||||||||||||||||||||||||||||
Amortization
of core deposit intangible assets | 148 | 157 | (9) | (6) | % | 296 | 313 | (17) | (5) | % | ||||||||||||||||||||||||||||||||||||||||
Other real estate owned and collection costs (recoveries), net | 4 | 38 | (34) | (89) | % | 9 | (47) | 56 | (119) | % | ||||||||||||||||||||||||||||||||||||||||
Other
expenses(4) | 3,167 | 3,009 | 158 | 5 | % | 6,215 | 5,637 | 578 | 10 | % | ||||||||||||||||||||||||||||||||||||||||
Total
non-interest expense | $ | 27,143 | $ | 26,556 | $ | 587 | 2 | % | $ | 53,308 | $ | 52,765 | $ | 543 | 1 | % | ||||||||||||||||||||||||||||||||||
Ratio of non-interest expense to total revenues | 63.42 | % | 55.70 | % | 61.31 | % | 56.21 | % | ||||||||||||||||||||||||||||||||||||||||||
Efficiency ratio (non-GAAP) | 63.07 | % | 55.42 | % | 60.99 | % | 55.94 | % |
(Dollars in thousands) | June 30, 2023 | Percentage of Total | ||||||||||||
MBS - Agency-backed | $ | 880,591 | 68 | % | ||||||||||
CMO - Agency-backed | 254,540 | 20 | % | |||||||||||
Municipal | 105,230 | 8 | % | |||||||||||
Corporate | 44,657 | 3 | % | |||||||||||
Other - Agency-backed | 7,525 | 1 | % | |||||||||||
Total | $ | 1,292,543 | 100 | % |
June 30, 2023 | December 31, 2022 | |||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Fair Value | Book Value | Net Unrealized (Loss) Gain | Fair Value | Book Value | Net Unrealized Loss | ||||||||||||||||||||||||||||||||
Corporate bonds | $ | 40,358 | $ | 44,657 | $ | (4,299) | $ | 44,012 | $ | 46,350 | $ | (2,338) | ||||||||||||||||||||||||||
Municipal bonds | 104,954 | 105,230 | (276) | 104,025 | 105,656 | (1,229) | ||||||||||||||||||||||||||||||||
Total | $ | 145,312 | $ | 149,887 | $ | (4,575) | $ | 148,037 | $ | 152,006 | $ | (3,567) |
Change | ||||||||||||||||||||||||||
(Dollars in thousands) | June
30, 2023 | December 31, 2022 | ($) | (%) | ||||||||||||||||||||||
Commercial real estate - non-owner-occupied | $ | 1,341,138 | $ | 1,292,443 | $ | 48,695 | 4 | % | ||||||||||||||||||
Commercial real estate - owner-occupied | 335,864 | 332,494 | 3,370 | 1 | % | |||||||||||||||||||||
Commercial | 422,437 | 430,131 | (7,694) | (2) | % | |||||||||||||||||||||
Residential real estate | 1,748,303 | 1,700,266 | 48,037 | 3 | % | |||||||||||||||||||||
Consumer and home equity | 252,389 | 255,019 | (2,630) | (1) | % | |||||||||||||||||||||
Total loans | $ | 4,100,131 | $ | 4,010,353 | $ | 89,778 | 2 | % | ||||||||||||||||||
Commercial Loan Portfolio | $ | 2,099,439 | $ | 2,055,068 | $ | 44,371 | 2 | % | ||||||||||||||||||
Retail Loan Portfolio | $ | 2,000,692 | $ | 1,955,285 | $ | 45,407 | 2 | % | ||||||||||||||||||
Commercial Portfolio Mix | 51 | % | 51 | % | ||||||||||||||||||||||
Retail Portfolio Mix | 49 | % | 49 | % |
(Dollars in thousands) | June 30, 2023 | December 31, 2022 | ||||||||||||
Non-accrual loans: | ||||||||||||||
Commercial real estate - non-owner-occupied | $ | 9 | $ | 11 | ||||||||||
Commercial real estate - owner-occupied | 47 | 46 | ||||||||||||
Commercial | 729 | 715 | ||||||||||||
Residential real estate | 1,781 | 1,733 | ||||||||||||
Consumer and home equity | 482 | 486 | ||||||||||||
Total non-accrual loans | 3,048 | 2,991 | ||||||||||||
Accruing TDRs prior to ASU 2022-02 adoption not included above | 2,140 | 2,114 | ||||||||||||
Total non-performing loans | 5,188 | 5,105 | ||||||||||||
Other real estate owned | — | — | ||||||||||||
Total non-performing assets | $ | 5,188 | $ | 5,105 | ||||||||||
Total loans, excluding loans held for sale | $ | 4,100,131 | $ | 4,010,353 | ||||||||||
Total assets | $ | 5,743,931 | $ | 5,671,850 | ||||||||||
ACL on loans | $ | 36,983 | $ | 36,922 | ||||||||||
ACL on loans to non-accrual loans | 1,213.35 | % | 1,234.44 | % | ||||||||||
Non-accrual loans to total loans | 0.07 | % | 0.07 | % | ||||||||||
Non-performing loans to total loans | 0.13 | % | 0.13 | % | ||||||||||
Non-performing assets to total assets | 0.09 | % | 0.09 | % | ||||||||||
(Dollars in thousands) | June 30, 2023 | December
31, 2022 | ||||||||||||
Accruing loans 30-89 days past due: | ||||||||||||||
Commercial real estate - non-owner-occupied | $ | 112 | $ | 267 | ||||||||||
Commercial real estate - owner-occupied | — | 55 | ||||||||||||
Commercial | 294 | 801 | ||||||||||||
Residential real estate | 1,192 | 1,038 | ||||||||||||
Consumer and home equity | 653 | 391 | ||||||||||||
Total | $ | 2,251 | $ | 2,552 | ||||||||||
Total loans | $ | 4,100,131 | $ | 4,010,353 | ||||||||||
Accruing loans 30-89 days past due to total loans | 0.05 | % | 0.06 | % |
At
or For The Three Months Ended June 30, | At or For The Six Months Ended June 30, | At or For The Year Ended December 31, 2022 | ||||||||||||||||||||||||||||||
(Dollars in thousands) | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||||||
ACL on loans at the beginning of the period | $ | 37,134 | $ | 31,770 | $ | 36,922 | $ | 33,256 | $ | 33,256 | ||||||||||||||||||||||
Provision (credit) for loan losses | 305 | 2,511 | 744 | 1,275 | 4,430 | |||||||||||||||||||||||||||
Net charge-offs (recoveries)1 | ||||||||||||||||||||||||||||||||
Commercial real estate | (1) | — | (2) | (3) | (5) | |||||||||||||||||||||||||||
Commercial | 470 | 93 | 683 | 281 | 663 | |||||||||||||||||||||||||||
Residential real estate | (29) | 16 | (15) | 16 | 66 | |||||||||||||||||||||||||||
Consumer and home equity | 16 | (72) | 17 | (7) | 40 | |||||||||||||||||||||||||||
Total net charge-offs | 456 | 37 | 683 | 287 | 764 | |||||||||||||||||||||||||||
ACL on loans at the end of the period | $ | 36,983 | $ | 34,244 | $ | 36,983 | $ | 34,244 | $ | 36,922 | ||||||||||||||||||||||
Components of ACL: | ||||||||||||||||||||||||||||||||
ACL on loans | $ | 36,983 | $ | 34,244 | $ | 36,983 | $ | 34,244 | $ | 36,922 | ||||||||||||||||||||||
ACL on off-balance sheet credit exposures | 2,788 | 3,190 | 2,788 | 3,190 | 3,265 | |||||||||||||||||||||||||||
ACL at end of the period | $ | 39,771 | $ | 37,434 | $ | 39,771 | $ | 37,434 | $ | 40,187 | ||||||||||||||||||||||
Total loans, excluding loans held for sale | $ | 4,100,131 | $ | 3,724,227 | $ | 4,100,131 | $ | 3,724,227 | $ | 4,010,353 | ||||||||||||||||||||||
Average Loans | $ | 4,095,531 | $ | 3,621,459 | $ | 4,068,248 | $ | 3,547,779 | $ | 3,710,415 | ||||||||||||||||||||||
Net charge-offs to average loans (annualized) | 0.04 | % | — | % | 0.03 | % | 0.02 | % | 0.02 | % | ||||||||||||||||||||||
Provision for loan losses (annualized) to average loans | 0.03 | % | 0.28 | % | 0.04 | % | 0.07 | % | 0.12 | % | ||||||||||||||||||||||
ACL on loans to total loans | 0.90 | % | 0.92 | % | 0.90 | % | 0.92 | % | 0.92 | % | ||||||||||||||||||||||
ACL on loans to non-performing loans | 712.86 | % | 588.28 | % | 712.86 | % | 588.28 | % | 723.25 | % | ||||||||||||||||||||||
ACL on loans to net charge-offs (annualized) | 2,027.58 | % | 23,137.84 | % | 2,707.39 | % | 5,965.85 | % | 4,832.72 | % |
For
The Three Months Ended June 30, | ||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Total Charge-offs | Total Recoveries | Net Charge-Offs (Recoveries) | Average Loans | Ratio of Net Charge-Offs (Recoveries) to Average Loans | |||||||||||||||||||||||||||||||||
2023: | ||||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | — | $ | 1 | $ | (1) | $ | 1,670,299 | — | % | ||||||||||||||||||||||||||||
Commercial | 534 | 64 | 470 | 423,481 | 0.11 | % | ||||||||||||||||||||||||||||||||
Residential real estate | — | 29 | (29) | 1,748,443 | — | % | ||||||||||||||||||||||||||||||||
Consumer and home equity | 27 | 11 | 16 | 253,308 | 0.01 | % | ||||||||||||||||||||||||||||||||
Total | $ | 561 | $ | 105 | $ | 456 | $ | 4,095,531 | 0.04 | % | ||||||||||||||||||||||||||||
2022: | ||||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | — | $ | — | $ | — | $ | 1,500,284 | — | % | ||||||||||||||||||||||||||||
Commercial | 316 | 223 | 93 | 422,569 | 0.02 | % | ||||||||||||||||||||||||||||||||
Residential real estate | 16 | — | 16 | 1,457,639 | — | % | ||||||||||||||||||||||||||||||||
Consumer and home equity | 17 | 89 | (72) | 240,967 | (0.03) | % | ||||||||||||||||||||||||||||||||
Total | $ | 349 | $ | 312 | $ | 37 | $ | 3,621,459 | — | % | ||||||||||||||||||||||||||||
For
The Six Months Ended June 30, | ||||||||||||||||||||||||||||||||||||||
2023: | ||||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | — | $ | 2 | $ | (2) | $ | 1,658,219 | — | % | ||||||||||||||||||||||||||||
Commercial | 846 | 163 | 683 | 424,585 | 0.16 | % | ||||||||||||||||||||||||||||||||
Residential real estate | 18 | 33 | (15) | 1,731,911 | — | % | ||||||||||||||||||||||||||||||||
Consumer and home equity | 31 | 14 | 17 | 253,533 | 0.01 | % | ||||||||||||||||||||||||||||||||
Total | $ | 895 | $ | 212 | $ | 683 | $ | 4,068,248 | 0.03 | % | ||||||||||||||||||||||||||||
2022: | ||||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | — | $ | 3 | $ | (3) | $ | 1,494,824 | — | % | ||||||||||||||||||||||||||||
Commercial | 561 | 280 | 281 | 416,229 | 0.07 | % | ||||||||||||||||||||||||||||||||
Residential real estate | 16 | — | 16 | 1,402,838 | — | % | ||||||||||||||||||||||||||||||||
Consumer and home equity | 84 | 91 | (7) | 233,888 | — | % | ||||||||||||||||||||||||||||||||
Total | $ | 661 | $ | 374 | $ | 287 | $ | 3,547,779 | 0.02 | % | ||||||||||||||||||||||||||||
For
the Year Ended December 31, 2022 | ||||||||||||||||||||||||||||||||||||||
Commercial real estate | $ | — | $ | 5 | $ | (5) | $ | 1,532,225 | — | % | ||||||||||||||||||||||||||||
Commercial | 1,042 | 379 | 663 | 422,304 | 0.16 | % | ||||||||||||||||||||||||||||||||
Residential real estate | 66 | — | 66 | 1,511,985 | — | % | ||||||||||||||||||||||||||||||||
Consumer and home equity | 134 | 94 | 40 | 243,901 | 0.02 | % | ||||||||||||||||||||||||||||||||
Total | $ | 1,242 | $ | 478 | $ | 764 | $ | 3,710,415 | 0.02 | % |
At
or For The Three Months Ended June 30, | At or For The Six Months Ended June 30, | At or For The Year Ended December 31, 2022 | ||||||||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||||||
Financial Ratios | ||||||||||||||||||||||||||||||||
Average
equity to average assets | 8.16 | % | 8.46 | % | 8.15 | % | 9.07 | % | 8.51 | % | ||||||||||||||||||||||
Common equity ratio | 8.14 | % | 8.17 | % | 8.14 | % | 8.17 | % | 7.96 | % | ||||||||||||||||||||||
Tangible common equity ratio (non-GAAP) | 6.58 | % | 6.51 | % | 6.58 | % | 6.51 | % | 6.37 | % | ||||||||||||||||||||||
Dividend payout ratio | 49.41 | % | 39.22 | % | 48.84 | % | 37.04 | % | 38.76 | % | ||||||||||||||||||||||
Per
Share Data | ||||||||||||||||||||||||||||||||
Book value per share | $ | 32.11 | $ | 30.52 | $ | 32.11 | $ | 30.52 | $ | 30.98 | ||||||||||||||||||||||
Tangible book value per share (non-GAAP) | $ | 25.52 | $ | 23.92 | $ | 25.52 | $ | 23.92 | $ | 24.37 | ||||||||||||||||||||||
Dividends declared per share | $ | 0.42 | $ | 0.40 | $ | 0.84 | $ | 0.80 | $ | 1.62 |
(In thousands) | Amount | |||||||
Available primary liquidity: | ||||||||
Excess cash1 | $ | 28,276 | ||||||
Unpledged investment securities | 522,306 | |||||||
Over collateralized securities pledging position | 58,013 | |||||||
FHLBB | 672,134 | |||||||
Fed Discount Window | 41,950 | |||||||
BTFP | 29,757 | |||||||
Unsecured borrowing lines | 69,872 | |||||||
Total available primary liquidity | $ | 1,422,308 |
(In thousands) | CDs | |||||||
1 year or less | $ | 373,619 | ||||||
> 1 year | 75,646 | |||||||
Total | $ | 449,265 |
(In thousands) | FHLBB Advances | BTFP | Customer Repurchase Agreements | Junior Subordinated Debentures | Total | |||||||||||||||||||||||||||
1 year or less | $ | 120,000 | $ | 135,000 | $ | 193,182 | $ | — | $ | 448,182 | ||||||||||||||||||||||
> 1 year | — | — | — | 44,331 | 44,331 | |||||||||||||||||||||||||||
Total | $ | 120,000 | $ | 135,000 | $ | 193,182 | $ | 44,331 | $ | 492,513 |
June 30, 2023 | ||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Due in 1 Year or Less | Due after 1 Year Through 5 Years | Due After 5 Years Through 15 Years | Due in More than 15 Years | Total | Percent of Total Loans | ||||||||||||||||||||||||||||||||
Maturity Distribution(1): | ||||||||||||||||||||||||||||||||||||||
Fixed Rate: | ||||||||||||||||||||||||||||||||||||||
Commercial real estate(2) | $ | 22,053 | $ | 190,654 | $ | 600,547 | $ | 3,049 | $ | 816,303 | 20 | % | ||||||||||||||||||||||||||
Commercial | 11,717 | 95,242 | 82,949 | 430 | 190,338 | 5 | % | |||||||||||||||||||||||||||||||
Residential real estate | 337 | 10,283 | 157,949 | 1,198,198 | 1,366,767 | 33 | % | |||||||||||||||||||||||||||||||
Consumer and home equity | 2,567 | 11,825 | 22,709 | 163,197 | 200,298 | 5 | % | |||||||||||||||||||||||||||||||
Total fixed rate | 36,674 | 308,004 | 864,154 | 1,364,874 | 2,573,706 | 63 | % | |||||||||||||||||||||||||||||||
Adjustable/Variable Rate: | ||||||||||||||||||||||||||||||||||||||
Commercial
real estate(2) | 11,636 | 195,124 | 404,719 | 249,220 | 860,699 | 21 | % | |||||||||||||||||||||||||||||||
Commercial | 54,452 | 119,566 | 48,466 | 9,616 | 232,100 | 6 | % | |||||||||||||||||||||||||||||||
Residential real estate | 15 | 927 | 40,385 | 340,209 | 381,536 | 9 | % | |||||||||||||||||||||||||||||||
Consumer and home equity | 72 | 2,076 | 11,481 | 38,461 | 52,090 | 1 | % | |||||||||||||||||||||||||||||||
Total adjustable/variable rate | 66,175 | 317,693 | 505,051 | 637,506 | 1,526,425 | 37 | % | |||||||||||||||||||||||||||||||
Total loans | $ | 102,849 | $ | 625,697 | $ | 1,369,205 | $ | 2,002,380 | $ | 4,100,131 | 100 | % |
(In thousands) | Contractual Cash Flows(1) | |||||||||||||||||||||||||
1 year or less | $ | 98,668 | ||||||||||||||||||||||||
> 1 year | 1,094,121 | |||||||||||||||||||||||||
Total | $ | 1,192,789 |
(In thousands) | Total Amount | Payments Due per Period | ||||||||||||||||||
Contractual obligations and commitments | Committed | 1 Year or Less | > 1 Year | |||||||||||||||||
Operating leases | $ | 12,797 | $ | 1,343 | $ | 11,454 | ||||||||||||||
Finance leases | 6,966 | 313 | 6,653 | |||||||||||||||||
Other
contractual obligations | 6,390 | 6,390 | — | |||||||||||||||||
Total | $ | 26,153 | $ | 8,046 | $ | 18,107 |
Estimated
Changes In Net Interest Income | ||||||||||||||
Rate Change from Year 1 — Base | June 30, 2023 | June 30, 2022 | ||||||||||||
Year 1 | ||||||||||||||
+200 basis points | (1.01) | % | (2.43) | % | ||||||||||
-200 basis points | 2.32 | % | 0.19 | % | ||||||||||
Year 2 | ||||||||||||||
+200 basis points | 16.57 | % | 6.05 | % | ||||||||||
-200 basis points | 14.91 | % | (2.33) | % | ||||||||||
Issuer Purchases of Equity Securities | ||||||||||||||||||||||||||
Period | Total number
of shares (or units) purchased (1)(2) | Average price paid per share (or unit) | Total number of shares (or units) purchased as part of publicly announced plans or programs (2) | Maximum number (or appropriate dollar value) of shares (or units) that may yet be purchased under the plans
or programs (2) | ||||||||||||||||||||||
April 1-30, 2023 | 15,718 | $ | 31.88 | 12,741 | 737,259 | |||||||||||||||||||||
May 1-31, 2023 | 52,951 | 30.09 | 52,951 | 684,308 | ||||||||||||||||||||||
June 1-30, 2023 | — | — | — | 684,308 | ||||||||||||||||||||||
Total | 68,669 | $ | 30.50 | 65,692 | 684,308 |
Exhibit No. | Definition | |||||||
4.1* | ||||||||
10.1†* | ||||||||
10.2†* | ||||||||
10.3† | ||||||||
31.1* | ||||||||
31.2* | ||||||||
32.1** | ||||||||
32.2** | ||||||||
101* | iXBRL (Inline eXtensible Business Reporting
Language). The following materials from Camden National Corporation’s Quarterly Report on Form 10-Q for the period ended June 30, 2023, formatted in iXBRL: (i) Consolidated Statements of Condition - June 30, 2023 and December 31, 2022; (ii) Consolidated Statements of Income - Three and Six Months Ended June 30, 2023 and 2022; (iii) Consolidated Statements of Comprehensive (Loss) Income - Three and Six Months Ended June 30, 2023 and 2022; (iv) Consolidated Statements of Changes in Shareholders’ Equity - Three and Six Months Ended June 30, 2023 and 2022; (v) Consolidated Statements of Cash Flows - Six Months Ended June 30, 2023 and 2022; and (vi) Notes to the Unaudited Consolidated Financial Statements. | |||||||
104* | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101). | |||||||
* | Filed herewith. | |||||||
** | Furnished herewith. | |||||||
† | Management contract or a compensatory plan or arrangement. |
CAMDEN NATIONAL CORPORATION | |||||||||||
(Registrant) | |||||||||||
/s/ Gregory A. Dufour | August 9, 2023 | ||||||||||
Gregory A. Dufour | Date | ||||||||||
President and Chief Executive Officer (Principal Executive Officer) | |||||||||||
/s/ Michael R. Archer | August 9, 2023 | ||||||||||
Michael R. Archer | Date | ||||||||||
Chief Financial Officer and Principal Financial & Accounting Officer | |||||||||||
This ‘10-Q’ Filing | Date | Other Filings | ||
---|---|---|---|---|
1/3/24 | ||||
12/15/23 | ||||
Filed on: | 8/9/23 | |||
7/31/23 | ||||
7/14/23 | 4 | |||
7/2/23 | ||||
For Period end: | 6/30/23 | |||
5/11/23 | 4 | |||
3/31/23 | 10-Q, 4, PRE 14A | |||
1/1/23 | ||||
12/31/22 | 10-K, 3, 5 | |||
6/30/22 | 10-Q | |||
3/31/22 | 10-Q | |||
12/31/21 | 10-K, 5 | |||
5/31/21 | ||||
List all Filings |
As Of Filer Filing For·On·As Docs:Size Issuer Filing Agent 3/08/24 Camden National Corp. 10-K 12/31/23 141:26M |
As Of Filer Filing For·On·As Docs:Size Issuer Filing Agent 5/25/23 Camden National Corp. 8-K:5,9 5/23/23 13:1.5M 5/09/23 Camden National Corp. 10-Q 3/31/23 90:18M |