•

On July 10, 2020, the Company completed its acquisition of MSB which increased total assets by $581.9 million, net loans by $530.2 million and total deposits by $460.2 million.

•

Of the $530.2 million of loans acquired, $65.3 million, or 12.3%, were classified as Purchased Credit Deteriorated (“PCD”) and had associated credit reserves of $3.9 million. Provision for credit losses attributable to non-PCD acquired loans totaled $5.1 million.

•

As the fair value of the net assets acquired exceeded the purchase price, a bargain purchase gain of $3.1 million was recognized.

•

Tangible book value dilution totaled 1.4%, or 1.8% inclusive of the impact of the provision for credit losses on the acquired loans.

•

Integration of MSB’s technology systems and the re-branding of all Millington Bank branches was completed simultaneous with the closing of the transaction, thereby accelerating non-interest expense reductions, which are expected to exceed 45%.

•

Deposits increased by $609.6 million to $5.04 billion at September 30, 2020 from $4.43 billion at June 30, 2020, largely reflecting the impact of $460.2 million of deposits acquired from MSB coupled with organic growth of $179.0 million in core non-maturity deposits.

•

Loans receivable increased by $456.4 million to $4.95 billion at September 30, 2020 from $4.50 billion at June 30, 2020.  The net increase in loans reflected the impact of $530.2 million of loans that were acquired in conjunction with the acquisition of MSB, partially offset by a net decline in non-acquired loan balances, driven largely by accelerated loan pre-payment activity, as compared to the prior quarter.

•

Investment securities increased to $1.54 billion, or 21.1% of total assets, at September 30, 2020 from $1.42 billion at June 30, 2020, while borrowings decreased to $1.08 billion, or 14.7% of total assets, from $1.17 billion, for those same comparative periods.

•

Net interest income for the quarter ended September 30, 2020 increased by $3.7 million to $44.2 million from $40.5 million for the quarter ended June 30, 2020. This increase reflected growth in interest income of $3.5 million coupled with a reduction in interest expense of $179,000. Included in net interest income was purchase accounting accretion of $4.2 million and $3.0 million, for the quarters ended September 30, 2020 and June 30, 2020, respectively.

•

Net interest margin, for the quarter ended September 30, 2020, increased by four basis points to 2.66%. This increase primarily reflected a reduction in the cost of interest-bearing liabilities, partially offset by a reduction in the yield on interest-earning assets.

•

Yield on interest-earning assets, for the quarter ended September 30, 2020, decreased by five basis points to 3.67% which was largely attributable to a 68 basis point decrease in the yield on taxable investment securities partially offset by a 16 basis point increase in the yield on loans. Cost of interest-bearing liabilities decreased by nine basis points to 1.20% which was attributable to a 27 basis point decrease in the cost of interest-bearing deposits partially offset by a 63 basis point increase in the cost of borrowings.

•

For the quarter ended September 30, 2020, a non-recurring bargain purchase gain of $3.1 million was recognized in conjunction with the acquisition of MSB, as noted above.

•

Fees and service charges totaled $1.1 million for the quarter ended September 30, 2020, compared to $1.7 million for the quarter ended June 30, 2020. The decrease was largely attributable to a decline of $703,000 in loan pre-payment penalty income to $647,000.  

•

Loan sale gains achieved record levels, totaling $1.9 million for the quarter ended September 30, 2020 as compared to $1.3 million for the quarter ended June 30, 2020. The increase in loan sale gains primarily reflected growth in the volume of residential mortgage loans sold coupled with an increase in the margin at which such loans were sold.

•

Gain (loss) on sale and call of securities reflected a loss of $377,000 for the quarter ended September 30, 2020 compared to a gain of $19,000 for the quarter ended June 30, 2020.

•

Non-interest expense increased by $6.7 million to $33.6 million for the quarter ended September 30, 2020 compared to $26.9 million for the quarter ended June 30, 2020. The increase in non-interest expense was partly attributable to an increase of $3.9 million in merger-related expense which was recognized in conjunction with the Company’s acquisition of MSB. The remaining change in non-interest expense included increases in salaries and employee benefits, net occupancy expense of premises, equipment and systems expense, FDIC insurance premiums and miscellaneous expense. A substantial portion of these increases were attributable to the additional infrastructure and personnel acquired from MSB.

•

As part of the Company’s ongoing initiative to improve operating efficiency, two additional branch locations will be consolidated during the Company’s second and third fiscal quarters. Once completed, this will bring the total number of consolidations to 12 over the past 24 months.

•

Income tax expense totaled $2.9 million for the quarter ended September 30, 2020 compared to $4.7 million for the quarter ended June 30, 2020, resulting in effective tax rates of 20.2% and 25.6%, respectively.

•

The decrease in effective income tax rate for the quarter ended September 30, 2020 reflected the effects of various non-recurring items recorded in conjunction with the Company’s acquisition of MSB, as noted above.

•

Return on average assets declined to 0.63% for the quarter ended September 30, 2020 from 0.81% for the quarter ended June 30, 2020. Adjusting for the impact of non-recurring items, as noted above, the return on average assets was unchanged at 0.83% for the quarters ended September 30, 2020 and June 30, 2020.

•

Return on average equity declined to 4.10% for the quarter ended September 30, 2020 from 5.08% for the quarter ended June 30, 2020 while return on average tangible equity decreased to 5.08% from 6.35% for those same comparative periods, respectively. Adjusting for the impact of non-recurring items, as noted above, the return on average equity increased to 5.40% for the quarter ended September 30, 2020 from 5.24% for the quarter ended June 30, 2020 while the return on average tangible equity increased to 6.70% from 6.55% for those same comparative periods.  

•

On July 1, 2020, the Company adopted ASU 2016-13, Financial Instruments - Credit Losses (Topic 326), also known as the Current Expected Credit Loss (“CECL”) standard. CECL requires the measurement of all expected credit losses over the life of financial instruments held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. In connection with the adoption of CECL, the Company recognized a cumulative effect adjustment that reduced stockholders’ equity by $14.2 million, net of tax. At adoption, the Company increased its allowance for credit losses (“ACL”) by $19.6 million and $536,000, respectively, for loans and unfunded commitments.

•

On July 10, 2020 the Company completed its acquisition of MSB, which resulted in an increase to the ACL of $9.0 million. Of this increase, $3.9 million was attributable to PCD loans and was recorded as an adjustment to their amortized cost basis. The remaining $5.1 million increase was attributable to non-PCD loans and was recorded via a provision for credit losses.

•

The outstanding balance of non-performing loans totaled $45.1 million, or 0.91% of total loans, at September 30, 2020 compared to $36.7 million, or 0.82% of total loans, at June 30, 2020. The increase was largely attributable to non-performing loans acquired from MSB that totaled $5.8 million at September 30, 2020.  

•

Based on Section 4013 of the CARES Act and the related guidance promulgated by federal banking regulators, qualifying short-term loan modifications are not considered to be troubled debt restructurings. As of September 30, 2020, the Company had active payment deferrals on 63 loans totaling $76.9 million, representing 1.5% of total loans. This represents a small portion of the total deferrals granted and a substantial decrease in the number and amount of active deferrals at June 30, 2020.

September 30, 2020

Active Modifications ⁽¹⁾

Total Modifications ⁽¹⁾

Increase/(Decrease)

# of Loans

Balance

# of Loans

Balance

# of Loans

Balance

(Dollars In Thousands)

Commercial loans:

Multi-family mortgage

7

$

15,910

143

$

393,156

(136

)

$

(377,246

)

Nonresidential mortgage

11

41,660

168

305,841

(157

)

(264,181

)

Commercial business

4

2,684

60

10,107

(56

)

(7,423

)

Construction

1

2,537

5

12,240

(4

)

(9,703

)

Total commercial loans

23

62,791

376

721,344

(353

)

(658,553

)

Residential mortgage

36

13,866

420

156,963

(384

)

(143,097

)

Consumer loans:

Home equity loans

4

252

47

4,603

(43

)

(4,351

)

Total

63

$

76,909

843

$

882,910

(780

)

$

(806,001

)

(1)

Includes loans acquired in conjunction with the Company’s acquisition of MSB Financial Corp. on July 10, 2020.

•

Net charge offs totaled $67,000 for the quarter ended September 30, 2020 compared to $38,000 for the quarter ended June 30, 2020 reflecting an annualized net charge off rate of 0.01% and 0.00% for those same comparative periods.  

•

Provision for credit losses totaled $4.1 million for the quarter ended September 30, 2020 and largely reflected $5.1 million of provision attributable to the acquired MSB loans, as noted above, partially offset by the effects of a decrease in the overall balance of the portion of the loan portfolio that was collectively evaluated for impairment. By comparison, the provision for loan losses for the quarter ended June 30, 2020, under prior accounting guidance, totaled $174,000.  

•

The ACL increased to $64.9 million, or 1.30% of total loans, at September 30, 2020 from $37.3 million, or 0.82% of total loans, at June 30, 2020. This increase was the result of the combined effects of the CECL adoption-date cumulative effect adjustment, reserves for PCD loans acquired from MSB and quarter-to-date provisions for credit losses, net of quarter-to-date charge-offs.

•

At September 30, 2020, the Company’s liquid assets included $145.8 million of short-term cash and equivalents supplemented by $1.51 billion of investment securities classified as available for sale.  In addition, the Company had the capacity to borrow additional funds totaling $615.0 million via unsecured lines of credit and $1.57 billion and $296.3 million, without pledging additional collateral, from the Federal Home Loan Bank of New York and Federal Reserve Bank, respectively.

•

On October 19, 2020, the Company announced the resumption of its current stock repurchase plan, which has 761,030 shares of common stock remaining to be repurchased. In addition, the Company announced the approval of a new repurchase plan totaling 4,475,523 shares, or 5% of the Company’s outstanding common stock. Through September 30, 2020, the Company had repurchased 8,457,294 shares, or 91.7% of the shares authorized for repurchase under the current repurchase plan, at a cost of $111.1 million, or an average of $13.14 per share.  

•

For the quarter ended September 30, 2020, the Company maintained its quarterly cash dividend of $0.08 per share.  

•

Tangible book value per share decreased by $0.24 to $10.15 at September 30, 2020. This decrease was largely attributable to the combined effects of the July 1, 2020 adoption of CECL and the July 10, 2020 acquisition of MSB.

•

At September 30, 2020 the Company’s ratio of tangible equity to tangible assets equaled 12.81%.  The regulatory capital ratios, of both the Company and the Bank, at September 30, 2020, were in excess of the levels required by federal banking regulators to be classified as “well-capitalized” under regulatory guidelines.

Linked-Quarter Comparative Financial Analysis

Summary Balance Sheet

At

Variance

(Dollars and Shares in Thousands,

September 30,

June 30,

Variance

or Change

Except Per Share Data, Unaudited)

2020

2020

or Change

Pct.

Assets

Cash and cash equivalents

$

145,818

$

180,967

$

(35,149

)

-19.4

%

Securities available for sale

1,508,542

1,385,703

122,839

8.9

%

Securities held to maturity

31,576

32,556

(980

)

-3.0

%

Loans held-for-sale

20,170

20,789

(619

)

-3.0

%

Loans receivable, including yield adjustments

4,954,750

4,498,397

456,353

10.1

%

Less allowance for credit losses on loans

(64,860

)

(37,327

)

(27,533

)

73.8

%

Net loans receivable

4,889,890

4,461,070

428,820

9.6

%

Premises and equipment

61,808

57,389

4,419

7.7

%

Federal Home Loan Bank stock

55,118

58,654

(3,536

)

-6.0

%

Accrued interest receivable

20,368

17,373

2,995

17.2

%

Goodwill

210,895

210,895

-

0.0

%

Core deposit intangible

4,420

3,995

425

10.6

%

Bank owned life insurance

278,639

262,380

16,259

6.2

%

Deferred income taxes, net

33,319

25,480

7,839

30.8

%

Other real estate owned

178

178

-

0.0

%

Other assets

49,468

40,746

8,722

21.4

%

Total assets

$

7,310,209

$

6,758,175

$

552,034

8.2

%

Liabilities

Deposits

$

5,039,912

$

4,430,282

$

609,630

13.8

%

Borrowings

1,077,540

1,173,165

(95,625

)

-8.2

%

Advance payments by borrowers for taxes

17,008

16,569

439

2.6

%

Other liabilities

51,689

53,982

(2,293

)

-4.2

%

Total liabilities

6,186,149

5,673,998

512,151

9.0

%

Stockholders' Equity

Common stock

895

837

58

6.9

%

Paid-in capital

769,269

722,871

46,398

6.4

%

Retained earnings

378,134

387,911

(9,777

)

-2.5

%

Unearned ESOP shares

(28,212

)

(28,699

)

487

-1.7

%

Accumulated other comprehensive income, net

3,974

1,257

2,717

216.1

%

Total stockholders' equity

1,124,060

1,084,177

39,883

3.7

%

Total liabilities and stockholders' equity

$

7,310,209

$

6,758,175

$

552,034

8.2

%

Consolidated capital ratios

Equity to assets

15.38

%

16.04

%

-0.66

%

Tangible equity to tangible assets

12.81

%

13.29

%

-0.48

%

Share data

Outstanding shares

89,510

83,663

5,847

7.0

%

Book value per share

$

12.56

$

12.96

$

(0.40

)

-3.1

%

Tangible book value per share ⁽¹⁾

$

10.15

$

10.39

$

(0.24

)

-2.3

%

(1)

Tangible book value equals total stockholders' equity reduced by goodwill and core deposit intangible assets.

Summary Income Statement

For the three months ended

Variance

(Dollars and Shares in Thousands,

September 30,

June 30,

Variance

or Change

Except Per Share Data, Unaudited)

2020

2020

or Change

Pct.

Interest income

Loans

$

52,180

$

46,192

$

5,988

13.0

%

Taxable investment securities

7,336

9,769

(2,433

)

-24.9

%

Tax-exempt investment securities

454

487

(33

)

-6.8

%

Other interest-earning assets

914

903

11

1.2

%

Total Interest Income

60,884

57,351

3,533

6.2

%

Interest expense

Deposits

11,062

12,439

(1,377

)

-11.1

%

Borrowings

5,660

4,462

1,198

26.8

%

Total interest expense

16,722

16,901

(179

)

-1.1

%

Net interest income

44,162

40,450

3,712

9.2

%

Provision for credit losses on loans

4,059

174

3,885

2232.8

%

Net interest income after provision for

credit losses on loans

40,103

40,276

(173

)

-0.4

%

Non-interest income

Fees and service charges

1,076

1,696

(620

)

-36.6

%

(Loss) gain on sale and call of securities

(377

)

19

(396

)

-2084.2

%

Gain on sale of loans

1,890

1,348

542

40.2

%

Income from bank owned life insurance

1,596

1,537

59

3.8

%

Electronic banking fees and charges

405

325

80

24.6

%

Bargain purchase gain

3,053

-

3,053

0.0

%

Other income

90

77

13

16.9

%

Total non-interest income

7,733

5,002

2,731

54.6

%

Non-interest expense

Salaries and employee benefits

16,977

15,527

1,450

9.3

%

Net occupancy expense of premises

3,122

2,688

434

16.1

%

Equipment and systems

3,570

2,948

622

21.1

%

Advertising and marketing

500

751

(251

)

-33.4

%

Federal deposit insurance premium

472

286

186

65.0

%

Directors' compensation

748

769

(21

)

-2.7

%

Merger-related expenses

4,349

447

3,902

872.9

%

Other expense

3,835

3,475

360

10.4

%

Total non-interest expense

33,573

26,891

6,682

24.8

%

Income before income taxes

14,263

18,387

(4,124

)

-22.4

%

Income taxes

2,884

4,698

(1,814

)

-38.6

%

Net income

$

11,379

$

13,689

$

(2,310

)

-16.9

%

Net income per common share (EPS)

Basic

$

0.13

$

0.17

$

(0.04

)

Diluted

$

0.13

$

0.17

$

(0.04

)

Dividends declared

Cash dividends declared per common share

$

0.08

$

0.08

$

-

Cash dividends declared

$

6,917

$

6,449

$

468

Dividend payout ratio

60.8

%

47.1

%

13.7

%

Weighted average number of  common

shares outstanding

Basic

86,008

80,678

5,330

Diluted

86,009

80,680

5,329

For the three months ended

Variance

Average Balance Sheet Data

September 30,

June 30,

Variance

or Change

(Dollars in Thousands, Unaudited)

2020

2020

or Change

Pct.

Assets

Interest-earning assets:

Loans receivable, including loans held for sale

$

4,958,293

$

4,567,229

$

391,064

8.6

%

Taxable investment securities

1,350,511

1,369,014

(18,503

)

-1.4

%

Tax-exempt investment securities

82,603

89,263

(6,660

)

-7.5

%

Other interest-earning assets

247,543

141,964

105,579

74.4

%

Total interest-earning assets

6,638,950

6,167,470

471,480

7.6

%

Non-interest-earning assets

624,252

605,876

18,376

3.0

%

Total assets

$

7,263,202

$

6,773,346

$

489,856

7.2

%

Liabilities and Stockholders' Equity

Interest-bearing liabilities:

Deposits:

Interest-bearing demand

$

1,464,238

$

1,189,044

$

275,194

23.1

%

Savings

1,006,075

876,580

129,495

14.8

%

Certificates of deposit

1,988,689

1,879,039

109,650

5.8

%

Total interest-bearing deposits

4,459,002

3,944,663

514,339

13.0

%

Borrowings:

Federal Home Loan Bank advances

1,130,836

1,202,522

(71,686

)

-6.0

%

Other borrowings

3,568

96,770

(93,202

)

-96.3

%

Total borrowings

1,134,404

1,299,292

(164,888

)

-12.7

%

Total interest-bearing liabilities

5,593,406

5,243,955

349,451

6.7

%

Non-interest-bearing liabilities:

Non-interest-bearing deposits

479,141

380,067

99,074

26.1

%

Other non-interest-bearing liabilities

79,620

72,007

7,613

10.6

%

Total non-interest-bearing liabilities

558,761

452,074

106,687

23.6

%

Total liabilities

6,152,167

5,696,029

456,138

8.0

%

Stockholders' equity

1,111,035

1,077,317

33,718

3.1

%

Total liabilities and stockholders' equity

$

7,263,202

$

6,773,346

$

489,856

7.2

%

Average interest-earning assets to average

interest-bearing liabilities

118.69

%

117.61

%

1.08

%

0.9

%

For the three months ended

September 30,

June 30,

Variance

Performance Ratio Highlights

2020

2020

or Change

Average yield on interest-earning assets:

Loans receivable, including loans held for sale

4.21

%

4.05

%

0.16

%

Taxable investment securities

2.17

%

2.85

%

-0.68

%

Tax-exempt investment securities ⁽¹⁾

2.20

%

2.18

%

0.02

%

Other interest-earning assets

1.48

%

2.54

%

-1.06

%

Total interest-earning assets

3.67

%

3.72

%

-0.05

%

Average cost of interest-bearing liabilities:

Deposits:

Interest-bearing demand

0.60

%

0.72

%

-0.12

%

Savings

0.57

%

0.81

%

-0.24

%

Certificates of deposit

1.50

%

1.82

%

-0.32

%

Total interest-bearing deposits

0.99

%

1.26

%

-0.27

%

Borrowings:

Federal Home Loan Bank advances

2.00

%

1.47

%

0.53

%

Other borrowings

0.04

%

0.13

%

-0.09

%

Total borrowings

2.00

%

1.37

%

0.63

%

Total interest-bearing liabilities

1.20

%

1.29

%

-0.09

%

Interest rate spread ⁽²⁾

2.47

%

2.43

%

0.04

%

Net interest margin ⁽³⁾

2.66

%

2.62

%

0.04

%

Non-interest income to average assets

(annualized)

0.43

%

0.30

%

0.13

%

Non-interest expense to average assets

(annualized)

1.85

%

1.59

%

0.26

%

Efficiency ratio ⁽⁴⁾

64.69

%

59.16

%

5.53

%

Return on average assets (annualized)

0.63

%

0.81

%

-0.18

%

Return on average equity (annualized)

4.10

%

5.08

%

-0.98

%

Return on average tangible equity (annualized) ⁽⁵⁾

5.08

%

6.35

%

-1.27

%

(1)

The yield on tax-exempt investment securities has not been adjusted to reflect their tax-effective yield.

(2)

Interest income divided by average interest-earning assets less interest expense divided by average interest-bearing liabilities.

(3)

Net interest income divided by average interest-earning assets.

(4)

Non-interest expense divided by the sum of net interest income and non-interest income.

(5)

Average tangible equity equals total average stockholders’ equity reduced by average goodwill and average core deposit intangible assets.

Five-Quarter Financial Trend Analysis

Summary Balance Sheet

At

(Dollars and Shares in Thousands,

September 30,

June 30,

March 31,

December 31,

September 30,

Except Per Share Data, Unaudited)

2020

2020

2020

2019

2019

Assets

Cash and cash equivalents

$

145,818

$

180,967

$

59,452

$

41,796

$

129,305

Securities available for sale

1,508,542

1,385,703

1,476,344

1,402,206

1,231,691

Securities held to maturity

31,576

32,556

34,618

36,073

37,888

Loans held-for-sale

20,170

20,789

11,245

5,952

10,495

Loans receivable, including yield adjustments

4,954,750

4,498,397

4,562,512

4,492,697

4,604,738

Less allowance for credit losses on loans

(64,860

)

(37,327

)

(37,191

)

(30,937

)

(32,432

)

Net loans receivable

4,889,890

4,461,070

4,525,321

4,461,760

4,572,306

Premises and equipment

61,808

57,389

58,985

56,542

56,599

Federal Home Loan Bank stock

55,118

58,654

59,324

62,838

63,739

Accrued interest receivable

20,368

17,373

19,036

18,261

19,393

Goodwill

210,895

210,895

210,895

210,895

210,895

Core deposit intangible

4,420

3,995

4,242

4,545

4,852

Bank owned life insurance

278,639

262,380

260,843

259,312

257,735

Deferred income taxes, net

33,319

25,480

27,150

20,438

21,742

Other real estate owned

178

178

178

178

-

Other assets

49,468

40,746

26,200

29,605

24,366

Total assets

$

7,310,209

$

6,758,175

$

6,773,833

$

6,610,401

$

6,641,006

Liabilities

Deposits

$

5,039,912

$

4,430,282

$

4,253,254

$

4,188,822

$

4,197,250

Borrowings

1,077,540

1,173,165

1,384,025

1,275,049

1,281,118

Advance payments by borrowers for taxes

17,008

16,569

16,492

16,585

16,102

Other liabilities

51,689

53,982

50,390

35,375

35,747

Total liabilities

6,186,149

5,673,998

5,704,161

5,515,831

5,530,217

Stockholders' Equity

Common stock

895

837

837

851

868

Paid-in capital

769,269

722,871

721,474

737,539

758,385

Retained earnings

378,134

387,911

380,671

377,896

373,004

Unearned ESOP shares

(28,212

)

(28,699

)

(29,185

)

(29,671

)

(30,158

)

Accumulated other comprehensive income (loss), net

3,974

1,257

(4,125

)

7,955

8,690

Total stockholders' equity

1,124,060

1,084,177

1,069,672

1,094,570

1,110,789

Total liabilities and stockholders' equity

$

7,310,209

$

6,758,175

$

6,773,833

$

6,610,401

$

6,641,006

Consolidated capital ratios

Equity to assets

15.38

%

16.04

%

15.79

%

16.56

%

16.73

%

Tangible equity to tangible assets

12.81

%

13.29

%

13.03

%

13.75

%

13.93

%

Share data

Outstanding shares

89,510

83,663

83,664

85,150

86,786

Book value per share

$

12.56

$

12.96

$

12.79

$

12.85

$

12.80

Tangible book value per share ⁽¹⁾

$

10.15

$

10.39

$

10.21

$

10.32

$

10.31

(1)

Tangible book value equals total stockholders' equity reduced by goodwill and core deposit intangible assets.

At

Supplemental Balance Sheet Highlights

September 30,

June 30,

March 31,

December 31,

September 30,

(Dollars in Thousands, Unaudited)

2020

2020

2020

2019

2019

Cash and cash equivalents

Cash and due from depository institutions

$

18,628

$

20,391

$

20,200

$

17,843

$

16,106

Interest-bearing deposits in other banks

127,190

160,576

39,252

23,953

113,199

Total cash and cash equivalents

$

145,818

$

180,967

$

59,452

$

41,796

$

129,305

Securities available for sale

Debt securities:

U.S. agency securities

$

-

$

-

$

-

$

606

$

694

Municipal and state obligations

50,877

54,054

58,151

88,057

91,050

Asset-backed securities

258,801

172,447

169,102

177,676

181,068

Collateralized loan obligations

196,398

193,788

189,565

198,324

198,549

Corporate bonds

122,276

143,639

163,715

192,074

191,241

Trust preferred securities

2,773

2,627

2,852

3,795

3,775

Debt securities

631,125

566,555

583,385

660,532

666,377

Mortgage-backed securities:

Collateralized mortgage obligations

25,770

30,903

34,671

57,839

63,594

Residential pass-through securities

625,715

561,954

607,113

360,900

202,858

Commercial pass-through securities

225,932

226,291

251,175

322,935

298,862

Mortgage-backed securities

877,417

819,148

892,959

741,674

565,314

Total securities available for sale

$

1,508,542

$

1,385,703

$

1,476,344

$

1,402,206

$

1,231,691

Securities held to maturity