Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2025

Fair Value Assets And Liabilities Measured On A Recurring Basis [Table Text Block]

The fair value of financial assets and liabilities measured on a recurring basis was as follows as of June 30, 2025 (in thousands):


	Total		Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Trading securities:
U.S. government securities	$	997	$	—	$	997	$	—
Residential agency mortgage-backed securities	5,450,517		—		5,450,517		—
Municipal securities	64,653		—		64,653		—

Other trading securities	43,250		—		43,250		—
Total trading securities	5,559,417		—		5,559,417		—
Available-for-sale securities:
U.S. Treasury	964		964		—		—
Municipal securities	208,350		—		208,350		—
Residential agency mortgage-backed securities	9,102,658		—		9,102,658		—
Residential non-agency mortgage-backed securities	743,519		—		743,519		—
Commercial agency mortgage-backed securities	3,291,857		—		3,291,857		—
Other debt securities	473		—		—		473
Total available-for-sale securities	13,347,821		964		13,346,384		473


Fair value option securities — Residential agency mortgage-backed securities	107,702		—		107,702		—

Residential mortgage loans held for sale1	101,437		—		94,823		6,614
Mortgage servicing rights2	334,644		—		—		334,644
Derivative contracts, net of cash collateral3	362,908		7,058		355,850		—
Liabilities:
Derivative contracts, net of cash collateral3	$	285,417	$	2,790	$	282,627	$	—

1Residential mortgage loans held for sale measured at fair value on a recurring basis using significant unobservable inputs (Level 3) consist of residential mortgage loans intended for sale to U.S. government agencies that fail to meet conforming standards and are valued at 81.03% of the unpaid principal balance.

2A reconciliation of the beginning and ending fair value of mortgage servicing rights and disclosures of significant assumptions used to determine fair value are presented in Note 5, Mortgage Banking Activities.

3See Note 3 for detail of fair value of derivative contracts by contract type. Derivative contracts in asset and liability positions that were valued based on quoted prices in active markets for identical instruments (Level 1) are primarily exchange-traded interest rate derivative contracts held for trading and internal risk management purposes.

The fair value of financial assets and liabilities measured on a recurring basis was as follows as of December 31, 2024 (in thousands):


	Total		Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Assets:
Trading securities:
U.S. government securities	$	21,275	$	1,494	$	19,781	$	—
Residential agency mortgage-backed securities	4,792,695		—		4,792,695		—
Municipal securities	62,230		—		62,230		—
Other trading securities	22,890		—		22,890		—
Total trading securities	4,899,090		1,494		4,897,596		—
Available-for-sale securities:
U.S. Treasury	945		945		—		—
Municipal securities	225,568		—		225,568		—
Residential agency mortgage-backed securities	8,639,389		—		8,639,389		—
Residential non-agency mortgage-backed securities	781,209		—		781,209		—
Commercial agency mortgage-backed securities	3,204,016		—		3,204,016		—
Other debt securities	473		—		—		473
Total available-for-sale securities	12,851,600		945		12,850,182		473



Fair value option securities — Residential agency mortgage-backed securities	17,876		—		17,876		—
Residential mortgage loans held for sale1	77,561		—		70,564		6,997
Mortgage servicing rights2	338,145		—		—		338,145
Derivative contracts, net of cash collateral3	242,809		656		242,153		—
Liabilities:
Derivative contracts, net of cash collateral3	$	237,582	$	3,391	$	234,191	$	—

Fair Value Assets Measured on Nonrecurring Basis [Table Text Block]

The following represents the carrying value of assets measured at fair value on a non-recurring basis (and related losses) during the period. The carrying value represents only those assets with a balance at June 30, 2025, for which the fair value was adjusted during the six months ended June 30, 2025 (in thousands):


							Fair Value Adjustments for the
	Carrying Value at June 30, 2025						Three Months Ended June 30, 2025 Recognized in:				Six Months Ended June 30, 2025 Recognized in:
	Quoted Prices in Active Markets for Identical Instruments		Significant Other Observable Inputs		Significant Unobservable Inputs		Gross charge-offs against allowance for loan losses		Other gains (losses), net		Gross charge-offs against allowance for loan losses		Other gains (losses), net

Real estate and other repossessed assets	$	—	$	—	$	1,636	$	—	$	(1)	$	—	$	(357)

The following represents the carrying value of assets measured at fair value on a non-recurring basis (and related losses) during the period. The carrying value represents only those assets with a balance at June 30, 2024, for which the fair value was adjusted during the six months ended June 30, 2024 (in thousands):


							Fair Value Adjustments for the
	Carrying Value at June 30, 2024						Three Months Ended June 30, 2024 Recognized in:				Six Months Ended June 30, 2024 Recognized in:
	Quoted Prices in Active Markets for Identical Instruments		Significant Other Observable Inputs		Significant Unobservable Inputs		Gross charge-offs against allowance for loan losses		Other gains (losses), net		Gross charge-offs against allowance for loan losses		Other gains (losses), net
Nonaccruing loans	$	—	$	65	$	10,065	$	6,349	$	—	$	10,033	$	—

Fair Value Inputs, Fair Value Measured On a Nonrecurring Basis, Quantitative Information [Table Text Block]

Fair Value

Valuation Technique(s)

Unobservable Input

Range
(Weighted Average)

Real estate and other repossessed assets

1,636

Discounted cash flows

Marketability adjustments off appraised value1

70% - 98% (96%)

1 Marketability adjustments include consideration of estimated costs to sell which is approximately 10% of the fair value.

A summary of quantitative information about Non-recurring Fair Value Measurements based on Significant Unobservable Inputs (Level 3) as of June 30, 2024 follows (dollars in thousands):

Fair Value

Valuation Technique(s)

Unobservable Input

Range
(Weighted Average)

Nonaccruing loans

10,065

Discounted cash flows

Management knowledge of industry and non-real estate collateral

4% - 90% (45%)1

1 Represents fair value as a percentage of the unpaid principal balance.

Fair Value of Financial Instruments [Table Text Block]

The following table presents the carrying values and estimated fair values of all financial instruments, including those financial assets and liabilities that are not measured and reported at fair value on a recurring basis or are measured at fair value on a non-recurring basis as of June 30, 2025 (in thousands):


	Carrying Value		Estimated Fair Value		Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Cash and due from banks	$	1,074,130	$	1,074,130	$	1,074,130	$	—	$	—
Interest-bearing cash and cash equivalents	284,933		284,933		284,933		—		—
Trading securities:
U.S. government securities	997		997		—		997		—
Residential agency mortgage-backed securities	5,450,517		5,450,517		—		5,450,517		—
Municipal securities	64,653		64,653		—		64,653		—

Other trading securities	43,250		43,250		—		43,250		—
Total trading securities	5,559,417		5,559,417		—		5,559,417		—
Investment securities:
Municipal securities	91,243		93,080		—		11,607		81,473
Residential agency mortgage-backed securities	1,773,725		1,626,429		—		1,626,429		—
Commercial agency mortgage-backed securities	16,368		15,878		—		15,878		—
Other debt securities	16,038		15,048		—		15,048		—
Total investment securities	1,897,374		1,750,435		—		1,668,962		81,473
Allowance for credit losses	(196)		—		—		—		—
Investment securities, net of allowance	1,897,178		1,750,435		—		1,668,962		81,473
Available-for-sale securities:
U.S. Treasury	964		964		964		—		—
Municipal securities	208,350		208,350		—		208,350		—
Residential agency mortgage-backed securities	9,102,658		9,102,658		—		9,102,658		—
Residential non-agency mortgage-backed securities	743,519		743,519		—		743,519		—
Commercial agency mortgage-backed securities	3,291,857		3,291,857		—		3,291,857		—
Other debt securities	473		473		—		—		473
Total available-for-sale securities	13,347,821		13,347,821		964		13,346,384		473


Fair value option securities — Residential agency mortgage-backed securities	107,702		107,702		—		107,702		—

Residential mortgage loans held for sale	101,437		101,437		—		94,823		6,614
Loans:
Commercial	14,384,182		14,403,967		—		—		14,403,967
Commercial real estate	5,521,441		5,444,131		—		—		5,444,131

Loans to individuals	4,386,588		4,277,310		—		—		4,277,310
Total loans	24,292,211		24,125,408		—		—		24,125,408
Allowance for loan losses	(277,049)		—		—		—		—
Loans, net of allowance	24,015,162		24,125,408		—		—		24,125,408
Mortgage servicing rights	334,644		334,644		—		—		334,644
Derivative instruments with positive fair value, net of cash collateral	362,908		362,908		7,058		355,850		—
Deposits with no stated maturity	34,696,441		34,696,441		—		34,696,441		—
Time deposits	3,549,668		3,532,978		—		—		3,532,978
Other borrowed funds	4,822,181		4,822,087		—		—		4,822,087
Subordinated debentures	—		—		—		—		—
Derivative instruments with negative fair value, net of cash collateral	285,417		285,417		2,790		282,627		—


	Carrying Value		Estimated Fair Value		Quoted Prices in Active Markets for Identical Instruments (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
Cash and due from banks	$	1,043,969	$	1,043,969	$	1,043,969	$	—	$	—
Interest-bearing cash and cash equivalents	390,732		390,732		390,732		—		—
Trading securities:
U.S. government securities	21,275		21,275		1,494		19,781		—
Residential agency mortgage-backed securities	4,792,695		4,792,695		—		4,792,695		—
Municipal securities	62,230		62,230		—		62,230		—
Other trading securities	22,890		22,890		—		22,890		—
Total trading securities	4,899,090		4,899,090		1,494		4,897,596		—
Investment securities:
Municipal securities	104,467		106,489		—		11,674		94,815
Residential agency mortgage-backed securities	1,880,473		1,680,800		—		1,680,800		—
Commercial agency mortgage-backed securities	16,220		15,357		—		15,357		—
Other debt securities	16,288		15,283		—		15,283		—
Total investment securities	2,017,448		1,817,929		—		1,723,114		94,815
Allowance for credit losses	(223)		—		—		—		—
Investment securities, net of allowance	2,017,225		1,817,929		—		1,723,114		94,815
Available-for-sale securities:
U.S. Treasury	945		945		945		—		—
Municipal securities	225,568		225,568		—		225,568		—
Residential agency mortgage-backed securities	8,639,389		8,639,389		—		8,639,389		—
Residential non-agency mortgage-backed securities	781,209		781,209		—		781,209		—
Commercial agency mortgage-backed securities	3,204,016		3,204,016		—		3,204,016		—
Other debt securities	473		473		—		—		473
Total available-for-sale securities	12,851,600		12,851,600		945		12,850,182		473



Fair value option securities — Residential agency mortgage-backed securities	17,876		17,876		—		17,876		—
Residential mortgage loans held for sale	77,561		77,561		—		70,564		6,997
Loans:
Commercial	15,030,136		14,903,851		—		—		14,903,851
Commercial real estate	5,058,452		4,933,396		—		—		4,933,396

Loans to individuals	4,026,136		3,872,299		—		—		3,872,299
Total loans	24,114,724		23,709,546		—		—		23,709,546
Allowance for loan losses	(280,035)		—		—		—		—
Loans, net of allowance	23,834,689		23,709,546		—		—		23,709,546
Mortgage servicing rights	338,145		338,145		—		—		338,145
Derivative instruments with positive fair value, net of cash collateral	242,809		242,809		656		242,153		—
Deposits with no stated maturity	34,655,820		34,655,820		—		—		34,655,820
Time deposits	3,535,410		3,522,242		—		—		3,522,242
Other borrowed funds	4,322,979		4,323,174		—		—		4,323,174
Subordinated debentures	131,200		121,057		—		121,057		—
Derivative instruments with negative fair value, net of cash collateral	237,582		237,582		3,391		234,191		—