v3.25.2
BUSINESS COMBINATIONS (Tables)
 6 Months Ended
Jun. 30, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract]  
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed
The following table summarizes the consideration paid for Northway and the estimated fair value of the assets acquired and liabilities assumed as of the date of the Northway acquisition:
(In thousands except shares)
As Acquired
Purchase Accounting Adjustments
As Recorded at Acquisition
Consideration Paid:
   
Company common stock (2,283,782 shares at $42.25 per share)
$96,490 
Recognized Identified Assets Acquired and Liabilities Assumed, at Fair Value:
   
Assets
Loans and loans held for sale(1)
$864,031 $(91,439)$772,592 
Investments229,222 732 229,954 
Cash and due from banks
48,261 — 48,261 
Deferred tax assets
14,006 6,909 20,915 
Premises and equipment
9,303 7,547 16,850 
Core deposit intangible assets
— 48,058 48,058 
Bank-owned life insurance
4,372 — 4,372 
Other assets
14,394 1,059 15,453 
Total Assets
1,183,589 (27,134)1,156,455 
Liabilities
Deposits
971,899 (226)971,673 
Short-term borrowings65,499 — 65,499 
Long-term borrowings
45,000 184 45,184 
Junior subordinated debentures20,620 (3,736)16,884 
Other liabilities17,940 (407)17,533 
Total Liabilities
1,120,958 (4,185)1,116,773 
Total identified assets acquired and liabilities assumed, at fair value
$62,631 $(22,949)39,682 
Goodwill
$56,808 
(1)    The purchase accounting adjustment on loans and loans held for sale is net of the acquired allowance for credit losses (“ACL”) on loans of $10.2 million and acquired net deferred origination costs of $2.0 million, as these balances were eliminated in purchase accounting. Additionally, the Company established an ACL on acquired loans designated as purchase credit deteriorated (“PCD”) of $3.1 million and this has been included in the loan and loans held for sale fair value adjustment. The purchase accounting adjustment on loans and loans held for sale before the adjustments for ACL on acquired loans and net deferred origination costs was a discount on the acquired loan balance of $96.7 million.
Business Acquisition, Pro Forma Information The unaudited pro forma information below does not reflect management’s estimate of any revenue-enhancing opportunities or anticipated cost-savings.
Pro Forma (Unaudited)
Three Months Ended
June 30,
Pro Forma (Unaudited)
Six Months Ended
June 30,
(In thousands)2025202420252024
Total revenues(1)
$62,276 $56,929 $122,330 $112,638 
Net income
15,185 14,859 30,627 23,995 
(1) Revenue is defined as the sum of net interest income plus non-interest income.
Fair Value Option, Disclosures
The following table provides details related to the fair value of acquired PCD loans:
(In thousands)
As of
January 2, 2025
Unpaid principal balance of acquired PCD loans
$103,048 
Interest and liquidity discount
(9,407)
ACL on PCD loans
(3,071)
Fair value of acquired PCD loans
$90,570 
The following table provides details related to the fair value of acquired non-PCD loans:
(In thousands)
As of
January 2, 2025
Unpaid principal balance of acquired non-PCD loans
$769,036 
Interest and liquidity discount
(80,771)
Credit risk discount
(6,243)
Fair value of acquired non-PCD loans
$682,022