v3.26.1
LOANS AND LEASES RECEIVABLE AND ALLOWANCE FOR CREDIT LOSSES ON LOANS AND LEASES (Tables)
 3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Schedule of Loans and Leases Receivable
The following table presents loans and leases receivable as of March 31, 2026 and December 31, 2025:
(amounts in thousands)March 31, 2026December 31, 2025
Loans and leases receivable:
Commercial:
Commercial and industrial:
Specialized lending (1)
$7,398,205 $7,090,087 
Other commercial and industrial
1,076,473 1,121,087 
Multifamily2,510,697 2,490,336 
Commercial real estate owner occupied1,279,501 1,135,119 
Commercial real estate non-owner occupied1,742,989 1,738,821 
Construction204,999 162,966 
Total commercial loans and leases receivable14,212,864 13,738,416 
Consumer:
Residential real estate495,458 497,567 
Manufactured housing26,065 27,452 
Installment:
Personal599,302 581,340 
Other185,804 196,565 
Total consumer loans receivable1,306,629 1,302,924 
Loans and leases receivable15,519,493 15,041,340 
Loans receivable, mortgage finance, at fair value1,758,685 1,612,997 
Loans receivable, installment, at fair value93,086 102,077 
Allowance for credit losses on loans and leases(160,962)(155,656)
Total loans and leases receivable, net of allowance for credit losses on loans and leases (2)
$17,210,302 $16,600,758 
(1)Includes direct finance and sales-type equipment leases of $316.9 million and $306.5 million at March 31, 2026 and December 31, 2025, respectively.
(2)Includes deferred (fees) costs and unamortized (discounts) premiums, net of $(29.0) million and $(30.3) million at March 31, 2026 and December 31, 2025, respectively.
Loans and Leases Receivable by Loan Type and Performance Status
The following tables summarize loans and leases receivable by loan and lease type and performance status as of March 31, 2026 and December 31, 2025:
 March 31, 2026
(amounts in thousands)
30-59 Days past due (1)
60-89 Days past due (1)
90 Days or more past due (2)
Total past due
Loans and leases not past due (3)(4)
Total loans and leases (4)
Commercial and industrial, including specialized lending$4,858 $— $18,263 $23,121 $8,447,378 $8,470,499 
Multifamily29,665 — — 29,665 2,481,032 2,510,697 
Commercial real estate owner occupied2,880 1,662 4,001 8,543 1,270,958 1,279,501 
Commercial real estate non-owner occupied10,000 — 135 10,135 1,732,854 1,742,989 
Construction— — — — 204,999 204,999 
Residential real estate13,634 1,709 2,944 18,287 477,171 495,458 
Manufactured housing287 104 1,396 1,787 24,278 26,065 
Installment8,356 3,182 3,736 15,274 769,832 785,106 
Total$69,680 $6,657 $30,475 $106,812 $15,408,502 $15,515,314 
 December 31, 2025
(amounts in thousands)
30-59 Days past due (1)
60-89 Days past due (1)
90 Days or more past due (2)
Total past due
Loans and leases not past due (3)(4)
Total loans and leases (4)
Commercial and industrial, including specialized lending
$9,212 $12,888 $7,359 $29,459 $8,177,047 $8,206,506 
Multifamily17,506 — 2,092 19,598 2,470,738 2,490,336 
Commercial real estate owner occupied3,124 158 3,875 7,157 1,127,962 1,135,119 
Commercial real estate non-owner occupied65 — 168 233 1,738,588 1,738,821 
Construction— — — — 162,966 162,966 
Residential real estate11,259 4,376 5,197 20,832 476,735 497,567 
Manufactured housing533 205 1,466 2,204 25,248 27,452 
Installment8,744 3,519 4,483 16,746 761,159 777,905 
Total$50,443 $21,146 $24,640 $96,229 $14,940,443 $15,036,672 
(1)Includes past due loans and leases that are accruing interest because collection is considered probable.
(2)Includes loans amounting to $3.9 million and $4.0 million as of March 31, 2026 and December 31, 2025, respectively, that are still accruing interest because collection is considered probable.
(3)Loans and leases where next payment due is less than 30 days from the report date.
(4)Includes PCD loans of $120.0 million and $118.5 million at March 31, 2026 and December 31, 2025, respectively.
Amortized Cost of Loans and Leases on Nonaccrual Status
The following table presents the amortized cost of loans and leases held for investment on non-accrual status:
 March 31, 2026December 31, 2025
(amounts in thousands)Non-accrual loans with no related allowanceNon-accrual loans with related allowanceTotal non-accrual loansNon-accrual loans with no related allowanceNon-accrual loans with related allowanceTotal non-accrual loans
Commercial and industrial, including specialized lending$6,916 $11,672 $18,588 $8,108 $11,682 $19,790 
Multifamily9,090 — 9,090 2,092 — 2,092 
Commercial real estate owner occupied5,740 — 5,740 3,876 — 3,876 
Commercial real estate non-owner occupied135 — 135 168 — 168 
Residential real estate7,354 155 7,509 9,513 158 9,671 
Manufactured housing— 1,143 1,143 — 1,192 1,192 
Installment— 3,736 3,736 — 4,483 4,483 
Total$29,235 $16,706 $45,941 $23,757 $17,515 $41,272 
Schedule of Allowance for Credit Losses on Loans and Leases
The changes in the ACL on loans and leases by loan and lease type for the three months ended March 31, 2026 and 2025 are presented in the tables below:
(amounts in thousands)
Commercial and industrial (1)
MultifamilyCommercial real estate owner occupiedCommercial real estate non-owner occupiedConstructionResidential real estateManufactured housingInstallmentTotal
Three Months Ended
March 31, 2026
Ending Balance,
December 31, 2025
$37,683 $19,333 $10,431 $18,928 $2,225 $6,499 $3,391 $57,166 $155,656 
Charge-offs(4,479)(2,630)(30)— — (1)— (9,932)(17,072)
Recoveries1,903 — 35 — — 1 — 1,878 3,817 
Provision (benefit) for credit losses on loans and leases6,107 2,738 120 (458)447 (786)(53)10,446 18,561 
Ending Balance,
March 31, 2026		$41,214 $19,441 $10,556 $18,470 $2,672 $5,713 $3,338 $59,558 $160,962 
(amounts in thousands)
Commercial and industrial (1)
MultifamilyCommercial real estate owner occupiedCommercial real estate non-owner occupiedConstructionResidential real estateManufactured housingInstallmentTotal
Three Months Ended
March 31, 2025
Ending Balance,
December 31, 2024
$29,379 $18,511 $10,755 $17,405 $1,250 $5,968 $3,829 $49,678 $136,775 
Charge-offs(4,507)(3,834)(19)— — — — (12,403)(20,763)
Recoveries1,276 — 3 — 3 — — 2,337 3,619 
Provision (benefit) for credit losses on loans and leases4,436 4,113 41 653 11 195 (29)12,025 21,445 
Ending Balance,
March 31, 2025		$30,584 $18,790 $10,780 $18,058 $1,264 $6,163 $3,800 $51,637 $141,076 
(1)    Includes specialized lending.
Summary of Loans Modified in Troubled Debt Restructurings and Related Recorded Investment
The following tables present the amortized cost of loans that were modified to borrowers experiencing financial difficulty for the three months ended March 31, 2026 and 2025, disaggregated by class of financing receivable and type of modification granted:
Three Months Ended March 31, 2026
(dollars in thousands)Interest Rate ReductionTerm ExtensionPayment DeferralDebt ForgivenessInterest Rate Reduction and Term ExtensionTotalPercentage of Total by Financing Class
Commercial and industrial, including specialized lending
$— $6,440 $— $— $— $6,440 0.08 %
Manufactured housing— — — — 42 42 0.16 %
Personal installment99 803 565 620 — 2,087 0.35 %
Total$99 $7,243 $565 $620 $42 $8,569 

Three Months Ended March 31, 2025
(dollars in thousands)Term ExtensionPayment DeferralDebt ForgivenessInterest Rate Reduction and Term ExtensionTotalPercentage of Total by Financing Class
Commercial and industrial, including specialized lending
$731 $766 $— $— $1,497 0.02 %
Personal installment2,616 1,440 118 128 4,302 0.87 %
Total$3,347 $2,206 $118 $128 $5,799 
The following table summarizes the impacts of loan modifications made to borrowers experiencing financial difficulty for the three months ended March 31, 2026 and 2025:
Three Months Ended March 31, 2026Three Months Ended March 31, 2025
Weighted AverageWeighted Average
(dollars in thousands)Interest Rate Reduction (%)Term Extension
(in months)		Payment Deferral
(in months)		Debt ForgivenInterest Rate Reduction (%)Term Extension
(in months)		Payment Deferral
(in months)		Debt Forgiven
Commercial and industrial, including specialized lending—%130$— —%116$— 
Manufactured housing4.3400— —00— 
Personal installment13.3510306 13.25773 
The performance of loans made to borrowers experiencing financial difficulty in which modifications were made is closely monitored to understand the effectiveness of modification efforts. Loans are considered to be in payment default at 90 days or more past due. The following tables present an aging analysis of loan modifications made to borrowers experiencing financial difficulty in the twelve months ended March 31, 2026 and 2025:
March 31, 2026
(dollars in thousands)30-59 Days past due60-89 Days past due90 Days or more past dueCurrentTotal
Commercial and industrial, including specialized lending
$1,325 $— $— $17,304 $18,629 
Manufactured housing— — — 42 42 
Personal installment621 315 444 4,674 6,054 
Total$1,946 $315 $444 $22,020 $24,725 
March 31, 2025
(dollars in thousands)30-59 Days past due60-89 Days past due90 Days or more past dueCurrentTotal
Commercial and industrial, including specialized lending
$— $— $— $11,179 $11,179 
Residential real estate— — — 302 302 
Manufactured housing— — 17 299 316 
Personal installment188 347 136 5,951 6,622 
Total$188 $347 $153 $17,731 $18,419 
Credit Ratings of Covered and Non-Covered Loan Portfolio
The following tables present the credit ratings of loans and leases receivable and current period gross write-offs as of March 31, 2026 and December 31, 2025:
Term Loans Amortized Cost Basis by Origination Year as of
March 31, 2026
(amounts in thousands)20262025202420232022PriorRevolving loans amortized cost basisRevolving loans converted to termTotal
Commercial and industrial loans and leases, including specialized lending:
Pass$858,546 $2,094,727 $1,153,593 $482,935 $787,170 $320,169 $2,349,720 $219,819 $8,266,679 
Special mention— 15,831 4,444 — 17,956 2,526 9,077 7,766 57,600 
Substandard— 151 13,924 1,749 30,218 96,829 497 2,852 146,220 
Doubtful— — — — — — — — — 
Total commercial and industrial loans and leases$858,546 $2,110,709 $1,171,961 $484,684 $835,344 $419,524 $2,359,294 $230,437 $8,470,499 
Commercial and industrial loans and leases charge-offs:
Three Months Ended March 31, 2026$— $3,616 $— $— $82 $781 $— $— $4,479 
Multifamily loans:
Pass$84,962 $455,473 $233,082 $764 $1,138,332 $484,184 $— $— $2,396,797 
Special mention— — — — 14,474 23,536 — — 38,010 
Substandard— — — — 7,149 68,741 — — 75,890 
Doubtful— — — — — — — — — 
Total multifamily loans$84,962 $455,473 $233,082 $764 $1,159,955 $576,461 $— $— $2,510,697 
Multifamily loans charge-offs:
Three Months Ended March 31, 2026$— $— $— $— $— $2,630 $— $— $2,630 
Commercial real estate owner occupied loans:
Pass$101,158 $277,885 $334,237 $45,951 $192,272 $270,532 $7,604 $31 $1,229,670 
Special mention— 17,706 — 2,920 10,314 134 — — 31,074 
Substandard— — — 4,863 2,828 11,066 — — 18,757 
Doubtful— — — — — — — — — 
Total commercial real estate owner occupied loans$101,158 $295,591 $334,237 $53,734 $205,414 $281,732 $7,604 $31 $1,279,501 
Commercial real estate owner occupied loans charge-offs:
Three Months Ended March 31, 2026$— $— $— $— $30 $— $— $— $30 
Commercial real estate non-owner occupied loans:
Pass$90,722 $522,973 $163,429 $14,073 $333,976 $578,275 $350 $2,000 $1,705,798 
Special mention— — — 24,041 3,540 5,449 — — 33,030 
Substandard— — — — 3,153 1,008 — — 4,161 
Doubtful— — — — — — — — — 
Total commercial real estate non-owner occupied loans$90,722 $522,973 $163,429 $38,114 $340,669 $584,732 $350 $2,000 $1,742,989 
Commercial real estate non-owner occupied loans charge-offs:
Three Months Ended March 31, 2026$— $— $— $— $— $— $— $— $— 
Term Loans Amortized Cost Basis by Origination Year as of
March 31, 2026
(amounts in thousands)20262025202420232022PriorRevolving loans amortized cost basisRevolving loans converted to termTotal
Construction loans:
Pass$11,285 $57,836 $60,806 $53,608 $21,464 $— $— $— $204,999 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Total construction loans$11,285 $57,836 $60,806 $53,608 $21,464 $— $— $— $204,999 
Construction loans charge-offs:
Three Months Ended March 31, 2026$— $— $— $— $— $— $— $— $— 
Total commercial loans and leases receivable$1,146,673 $3,442,582 $1,963,515 $630,904 $2,562,846 $1,862,449 $2,367,248 $232,468 $14,208,685 
Total commercial loans and leases receivable charge-offs:
Three Months Ended March 31, 2026$— $3,616 $— $— $112 $3,411 $— $— $7,139 
Residential real estate loans:
Performing$3,581 $49,360 $32,216 $18,022 $151,794 $188,287 $44,956 $— $488,216 
Non-performing— — 130 974 491 5,480 167 — 7,242 
Total residential real estate loans$3,581 $49,360 $32,346 $18,996 $152,285 $193,767 $45,123 $— $495,458 
Residential real estate loans charge-offs:
Three Months Ended March 31, 2026$— $— $— $— $1 $— $— $— $1 
Manufactured housing loans:
Performing$— $— $— $— $— $24,499 $— $— $24,499 
Non-performing— — — — — 1,566 — — 1,566 
Total manufactured housing loans$— $— $— $— $— $26,065 $— $— $26,065 
Manufactured housing loans charge-offs:
Three Months Ended March 31, 2026$— $— $— $— $— $— $— $— $— 
Installment loans:
Performing$105,112 $226,706 $65,468 $156,478 $130,444 $58,564 $38,824 $— $781,596 
Non-performing— 446 359 1,555 739 307 104 — 3,510 
Total installment loans$105,112 $227,152 $65,827 $158,033 $131,183 $58,871 $38,928 $— $785,106 
Installment loans charge-offs:
Three Months Ended March 31, 2026$622 $1,522 $1,338 $2,530 $2,904 $1,016 $— $— $9,932 
Total consumer loans$108,693 $276,512 $98,173 $177,029 $283,468 $278,703 $84,051 $— $1,306,629 
Total consumer loans charge-offs:
Three Months Ended March 31, 2026$622 $1,522 $1,338 $2,530 $2,905 $1,016 $— $— $9,933 
Loans and leases receivable$1,255,366 $3,719,094 $2,061,688 $807,933 $2,846,314 $2,141,152 $2,451,299 $232,468 $15,515,314 
Loans and leases receivable charge-offs:
Three Months Ended March 31, 2026$622 $5,138 $1,338 $2,530 $3,017 $4,427 $— $— $17,072 


Term Loans Amortized Cost Basis by Origination Year as of
December 31, 2025
(amounts in thousands)20252024202320222021PriorRevolving loans amortized cost basisRevolving loans converted to termTotal
Commercial and industrial loans and leases, including specialized lending:
Pass$2,609,580 $1,280,152 $609,744 $839,184 $233,753 $129,958 $2,131,707 $167,916 $8,001,994 
Special mention7,511 4,778 — 37,976 3,633 — 9,658 7,150 70,706 
Substandard— 10,267 1,116 18,927 15,226 84,462 797 3,011 133,806 
Doubtful— — — — — — — — — 
Total commercial and industrial loans and leases$2,617,091 $1,295,197 $610,860 $896,087 $252,612 $214,420 $2,142,162 $178,077 $8,206,506 
Commercial and industrial loans and leases charge-offs:
For the Year Ended December 31, 2025
$— $1,064 $881 $10,880 $600 $1,307 $— $— $14,732 
Multifamily loans:
Pass$467,366 $233,998 $775 $1,148,681 $242,865 $290,416 $— $— $2,384,101 
Special mention— — — 14,556 20,471 16,920 — — 51,947 
Substandard— — — 7,182 16,974 30,132 — — 54,288 
Doubtful— — — — — — — — — 
Total multifamily loans$467,366 $233,998 $775 $1,170,419 $280,310 $337,468 $— $— $2,490,336 
Multifamily loans charge-offs:
For the Year Ended December 31, 2025
$— $— $— $— $— $8,446 $— $— $8,446 
Commercial real estate owner occupied loans:
Pass$217,893 $335,437 $52,517 $195,951 $161,739 $124,346 $7,604 $32 $1,095,519 
Special mention17,785 — — 10,676 1,214 43 — — 29,718 
Substandard— — 2,928 170 — 6,784 — — 9,882 
Doubtful— — — — — — — — — 
Total commercial real estate owner occupied loans$235,678 $335,437 $55,445 $206,797 $162,953 $131,173 $7,604 $32 $1,135,119 
Commercial real estate owner occupied loans charge-offs:
For the Year Ended December 31, 2025
$— $— $15 $417 $361 $393 $— $— $1,186 
Commercial real estate non-owner occupied loans:
Pass$524,297 $163,771 $14,136 $354,528 $86,017 $525,878 $3,300 $— $1,671,927 
Special mention— — 24,048 28,407 6,010 5,626 — — 64,091 
Substandard— — — 1,754 — 1,049 — — 2,803 
Doubtful— — — — — — — — — 
Total commercial real estate non-owner occupied loans$524,297 $163,771 $38,184 $384,689 $92,027 $532,553 $3,300 $— $1,738,821 
Commercial real estate non-owner occupied loans charge-offs:
For the Year Ended December 31, 2025
$— $— $— $— $— $3,073 $— $— $3,073 
Construction loans:
Pass$36,844 $55,389 $49,156 $21,577 $— $— $— $— $162,966 
Special mention— — — — — — — — — 
Substandard— — — — — — — — — 
Doubtful— — — — — — — — — 
Total construction loans$36,844 $55,389 $49,156 $21,577 $— $— $— $— $162,966 
Construction loans charge-offs:
For the Year Ended December 31, 2025
$— $— $— $— $— $— $— $— $— 
Total commercial loans and leases receivable$3,881,276 $2,083,792 $754,420 $2,679,569 $787,902 $1,215,614 $2,153,066 $178,109 $13,733,748 
Term Loans Amortized Cost Basis by Origination Year as of
December 31, 2025
(amounts in thousands)20252024202320222021PriorRevolving loans amortized cost basisRevolving loans converted to termTotal
Total commercial loans and leases receivable charge-offs:
For the Year Ended December 31, 2025
$— $1,064 $896 $11,297 $961 $13,219 $— $— $27,437 
Residential real estate loans:
Performing$49,521 $32,347 $18,124 $152,771 $114,934 $75,589 $44,794 $— $488,080 
Non-performing— 133 962 1,225 1,040 4,990 1,137 — 9,487 
Total residential real estate loans$49,521 $32,480 $19,086 $153,996 $115,974 $80,579 $45,931 $— $497,567 
Residential real estate loans charge-offs:
For the Year Ended December 31, 2025
$— $— $53 $— $— $3 $— $— $56 
Manufactured housing loans:
Performing$— $— $— $— $— $25,845 $— $— $25,845 
Non-performing— — — — — 1,607 — — 1,607 
Total manufactured housing loans$— $— $— $— $— $27,452 $— $— $27,452 
Manufactured housing loans charge-offs:
For the Year Ended December 31, 2025
$— $— $— $— $— $— $— $— $— 
Installment loans:
Performing$245,697 $76,563 $178,863 $159,650 $40,057 $32,671 $39,981 $1 $773,483 
Non-performing364 467 1,532 1,610 258 61 130 — 4,422 
Total installment loans$246,061 $77,030 $180,395 $161,260 $40,315 $32,732 $40,111 $1 $777,905 
Installment loans charge-offs:
For the Year Ended December 31, 2025
$2,621 $4,713 $12,790 $15,413 $6,457 $2,809 $— $— $44,803 
Total consumer loans$295,582 $109,510 $199,481 $315,256 $156,289 $140,763 $86,042 $1 $1,302,924 
Total consumer loans charge-offs:
For the Year Ended December 31, 2025
$2,621 $4,713 $12,843 $15,413 $6,457 $2,812 $— $— $44,859 
Loans and leases receivable$4,176,858 $2,193,302 $953,901 $2,994,825 $944,191 $1,356,377 $2,239,108 $178,110 $15,036,672 
Loans and leases receivable charge-offs:
For the Year Ended December 31, 2025
$2,621 $5,777 $13,739 $26,710 $7,418 $16,031 $— $— $72,296 
Schedule of Loan Purchases and Sales
Purchases and sales of loans held for investment were as follows for the three months ended March 31, 2026 and 2025:
Three Months Ended March 31,
(amounts in thousands)20262025
Purchases (1)
Other commercial and industrial$— $1,079 
Personal installment (2)
57,826 104,941 
Total$57,826 $106,020 
Sales (3)
Specialized lending
$1,039 $— 
Other commercial and industrial (4)
14,130 — 
Multifamily— 8,000 
Commercial real estate owner occupied (4)
4,025 — 
Personal installment
— 281 
Total$19,194 $8,281 
(1)Amounts reported in the above table are the unpaid principal balance at time of purchase. The purchase price was 99.0% and 99.5% of the loans’ unpaid principal balance for the three months ended March 31, 2026 and 2025, respectively.
(2)Installment loan purchases for the three months ended March 31, 2026 and 2025 consist of third-party originated unsecured consumer loans. None of the loans held for investment are considered sub-prime at the time of origination. Customers considers sub-prime borrowers to be those with FICO scores below 660.
(3)The gain on sales of loans held for investment included in net gain (loss) on sale of loans and leases in the consolidated statement of income was $1.0 million for the three months ended March 31, 2026. The gain on sales of loans held for investment included in net gain (loss) on sale of loans and leases in the consolidated statement of income was insignificant for the three months ended March 31, 2025.
(4)Primarily sales of SBA loans.