þ
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ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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Delaware
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46-4702118
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(State or other jurisdiction of
incorporation or organization)
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(I.R.S. Employer
Identification Number)
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101 JFK Parkway, Short Hills, New Jersey
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07078
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(Address of Principal Executive Offices)
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Zip Code
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Common Stock, par value $0.01 per share
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The NASDAQ Stock Market LLC
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(Title of Class)
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(Name of each exchange on which registered)
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Large accelerated filer
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þ
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Accelerated filer
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Non-accelerated filer
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(Do not check if a smaller reporting company)
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Smaller reporting company
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Page
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Part I.
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Item 1.
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Item 1A.
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Item 1B.
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Item 2.
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Item 3.
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Item 4.
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Part II.
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Item 5.
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Item 6.
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Item 7.
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Item 7A.
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Item 8.
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Item 9.
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Item 9A.
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Item 9B.
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Part III.
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Item 10.
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Item 11.
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Item 12.
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Item 13.
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Item 14.
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Part IV.
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Item 15.
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Item 16.
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•
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the timing and occurrence or non-occurrence of events may be subject to circumstances beyond our control;
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•
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there may be increases in competitive pressure among financial institutions or from non-financial institutions;
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•
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changes in the interest rate environment may reduce interest margins or affect the value of our investments;
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•
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changes in deposit flows, loan demand or real estate values may adversely affect our business;
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•
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changes in accounting principles, policies or guidelines may cause our financial condition to be perceived differently;
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•
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general economic conditions, either nationally or locally in some or all areas in which we do business, or conditions in the real estate or securities markets or the banking industry may be less favorable than we currently anticipate;
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•
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legislative or regulatory changes may adversely affect our business;
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•
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technological changes may be more difficult or expensive than we anticipate;
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•
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success or consummation of new business initiatives may be more difficult or expensive than we anticipate;
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•
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litigation or other matters before regulatory agencies, whether currently existing or commencing in the future, may be determined adverse to us or may delay the occurrence or non-occurrence of events longer than we anticipate;
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•
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the risks associated with continued diversification and growth of assets and adverse changes to credit quality;
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•
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difficulties associated with achieving expected future financial results;
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•
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impact on our financial performance associated with the effective deployment of capital raised in our second step conversion offering; and
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•
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the risk of an economic slowdown that would adversely affect credit quality and loan originations.
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ITEM 1.
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BUSINESS
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•
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Gateway Community Financial Corp., completed January 2014 ($254.7 million of deposits and 4 branches in Gloucester County, New Jersey)
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•
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Roma Financial Corporation, completed December 2013 ($1.34 billion of deposits and 26 branches in the Philadelphia suburbs of New Jersey)
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•
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Marathon Banking Corporation, completed October 2012 ($777.5 million in deposits and 13 branches in Brooklyn, Queens, Staten Island, Manhattan and Long Island)
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•
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Brooklyn Federal Bancorp, completed January 2012 ($385.9 million in deposits and 5 branches in Brooklyn and Long Island)
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December 31,
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||||||||||||||||||||||||||||
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2016
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2015
|
|
2014
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2013
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2012
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||||||||||||||||||||
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Amount
|
%
|
|
Amount
|
%
|
|
Amount
|
%
|
|
Amount
|
%
|
|
Amount
|
%
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|
|||||||||||||||
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(Dollars in thousands )
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|||||||||||||||||||||||||||||
Commercial loans:
|
|
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|
|
|
|
|
|
|
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|||||||||||||||
Multi-family loans
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$
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7,459,131
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39.65
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%
|
$
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6,255,904
|
|
37.04
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%
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$
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5,049,114
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|
33.44
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%
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$
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3,986,208
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|
30.51
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%
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$
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2,995,471
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28.70
|
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%
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Commercial real estate loans
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4,452,300
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|
23.67
|
|
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3,829,099
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|
22.67
|
|
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3,147,153
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|
20.84
|
|
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2,505,327
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19.18
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1,971,689
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18.89
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|||||
Commercial and industrial loans
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1,275,283
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6.78
|
|
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1,044,385
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6.18
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544,458
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3.61
|
|
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268,422
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2.05
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169,258
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1.62
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|||||
Construction loans
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314,843
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1.67
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225,843
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1.34
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148,396
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0.98
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202,261
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1.55
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224,816
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2.15
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|||||
Total commercial loans
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13,501,557
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71.77
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11,355,231
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67.23
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8,889,121
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58.87
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6,962,218
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53.29
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5,361,234
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51.36
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|||||
Residential mortgage loans
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4,711,880
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25.05
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5,039,543
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29.83
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5,769,477
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38.21
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5,698,351
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43.62
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4,838,315
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46.35
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|
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|||||
Consumer and other loans:
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|||||||||||||||
Home equity loans
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161,356
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0.86
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201,063
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1.19
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222,871
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1.48
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245,653
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1.88
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101,163
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0.97
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|||||
Home equity credit lines
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240,518
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1.28
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220,357
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1.30
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200,066
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1.32
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150,796
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1.15
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131,808
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1.26
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|||||
Other
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195,391
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1.04
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75,136
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0.45
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18,017
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0.12
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7,600
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0.06
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5,951
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0.06
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|||||
Total consumer and other loans
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597,265
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3.18
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496,556
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2.94
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440,954
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2.92
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404,049
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3.09
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238,922
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2.29
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|||||
Total loans
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$
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18,810,702
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100.00
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%
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$
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16,891,330
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100.00
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%
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$
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15,099,552
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100.00
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%
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$
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13,064,618
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100.00
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%
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$
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10,438,471
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100.00
|
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%
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Net unamortized premiums and deferred loan costs
(1)
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(12,474
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)
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(11,692
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)
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(11,698
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)
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|
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(8,146
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)
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10,487
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|
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|
||||||||||
Allowance for loan losses
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(228,373
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)
|
|
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(218,505
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)
|
|
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(200,284
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)
|
|
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(173,928
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)
|
|
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(142,172
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)
|
|
|
||||||||||
Net loans
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$
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18,569,855
|
|
|
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$
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16,661,133
|
|
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$
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14,887,570
|
|
|
|
$
|
12,882,544
|
|
|
|
$
|
10,306,786
|
|
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At December 31, 2016
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||||||||||||||||||||||||||
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Multi-Family Loans
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|
Commercial
Real Estate Loans
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Commercial and
Industrial Loans
|
|
Construction
Loans
|
|
Residential
Mortgage Loans
|
|
Consumer and
Other Loans
|
|
Total
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||||||||||||||
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(In thousands)
|
||||||||||||||||||||||||||
Amounts Due:
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||||||||||||||
One year or less
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$
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170,954
|
|
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$
|
376,561
|
|
|
$
|
378,410
|
|
|
$
|
296,192
|
|
|
$
|
294,430
|
|
|
$
|
153,023
|
|
|
$
|
1,669,570
|
|
After one year:
|
|
|
|
|
|
|
|
|
|
|
|
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|
||||||||||||||
One to three years
|
1,067,202
|
|
|
754,567
|
|
|
88,733
|
|
|
18,425
|
|
|
353,948
|
|
|
106,046
|
|
|
2,388,921
|
|
|||||||
Three to five years
|
2,560,439
|
|
|
1,338,433
|
|
|
210,010
|
|
|
—
|
|
|
447,052
|
|
|
123,036
|
|
|
4,678,970
|
|
|||||||
Five to ten years
|
3,237,622
|
|
|
1,656,287
|
|
|
412,492
|
|
|
226
|
|
|
612,232
|
|
|
65,203
|
|
|
5,984,062
|
|
|||||||
Ten to twenty years
|
422,914
|
|
|
320,230
|
|
|
155,124
|
|
|
—
|
|
|
1,080,251
|
|
|
77,866
|
|
|
2,056,385
|
|
|||||||
Over twenty years
|
—
|
|
|
6,222
|
|
|
30,514
|
|
|
—
|
|
|
1,923,967
|
|
|
72,091
|
|
|
2,032,794
|
|
|||||||
Total due after one year
|
7,288,177
|
|
|
4,075,739
|
|
|
896,873
|
|
|
18,651
|
|
|
4,417,450
|
|
|
444,242
|
|
|
17,141,132
|
|
|||||||
Total loans
|
$
|
7,459,131
|
|
|
$
|
4,452,300
|
|
|
$
|
1,275,283
|
|
|
$
|
314,843
|
|
|
$
|
4,711,880
|
|
|
$
|
597,265
|
|
|
$
|
18,810,702
|
|
Premiums on purchased loans and deferred loan fees, net
|
|
|
|
|
|
|
|
|
|
|
|
|
(12,474
|
)
|
|||||||||||||
Allowance for loan losses
|
|
|
|
|
|
|
|
|
|
|
|
|
(228,373
|
)
|
|||||||||||||
Net loans
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
18,569,855
|
|
|
Due After December 31, 2017
|
||||||||||
|
Fixed
|
|
Adjustable
|
|
Total
|
||||||
|
(In thousands)
|
||||||||||
Commercial loans:
|
|
|
|
|
|
||||||
Multi-family loans
|
$
|
2,136,382
|
|
|
$
|
5,151,795
|
|
|
$
|
7,288,177
|
|
Commercial real estate loans
|
1,516,306
|
|
|
2,559,433
|
|
|
4,075,739
|
|
|||
Commercial and industrial loans
|
607,219
|
|
|
289,654
|
|
|
896,873
|
|
|||
Construction loans
|
10,918
|
|
|
7,733
|
|
|
18,651
|
|
|||
Total commercial loans
|
4,270,825
|
|
|
8,008,615
|
|
|
12,279,440
|
|
|||
Residential mortgage loans
|
3,116,926
|
|
|
1,300,524
|
|
|
4,417,450
|
|
|||
Consumer and other loans:
|
|
|
|
|
|
||||||
Home equity loans
|
159,509
|
|
|
—
|
|
|
159,509
|
|
|||
Home equity credit lines
|
—
|
|
|
92,497
|
|
|
92,497
|
|
|||
Other
|
298
|
|
|
191,938
|
|
|
192,236
|
|
|||
Total consumer and other loans
|
159,807
|
|
|
284,435
|
|
|
444,242
|
|
|||
Total loans
|
$
|
7,547,558
|
|
|
$
|
9,593,574
|
|
|
$
|
17,141,132
|
|
|
Years Ended December 31,
|
||||||||||
|
2016
|
|
2015
|
|
2014
|
||||||
|
(In thousands)
|
||||||||||
Loan originations and purchases
|
|
|
|
|
|
||||||
Loan originations:
|
|
|
|
|
|
||||||
Commercial loans:
|
|
|
|
|
|
||||||
Multi-family loans
|
$
|
2,162,447
|
|
|
$
|
2,079,201
|
|
|
$
|
1,671,514
|
|
Commercial real estate loans
|
1,078,601
|
|
|
936,889
|
|
|
869,705
|
|
|||
Commercial and industrial loans
|
608,899
|
|
|
930,777
|
|
|
445,360
|
|
|||
Construction loans
|
451,505
|
|
|
82,455
|
|
|
44,817
|
|
|||
Total commercial loans
|
4,301,452
|
|
|
4,029,322
|
|
|
3,031,396
|
|
|||
Residential mortgage loans
|
523,342
|
|
|
646,521
|
|
|
608,076
|
|
|||
Consumer and other loans:
|
|
|
|
|
|
||||||
Home equity loans
|
14,614
|
|
|
23,177
|
|
|
19,742
|
|
|||
Home equity credit lines
|
145,147
|
|
|
131,533
|
|
|
103,689
|
|
|||
Other
|
100,262
|
|
|
93,081
|
|
|
842
|
|
|||
Total consumer and other loans
|
260,023
|
|
|
247,791
|
|
|
124,273
|
|
|||
Total loan originations
|
5,084,817
|
|
|
4,923,634
|
|
|
3,763,745
|
|
|||
Loan purchases:
|
|
|
|
|
|
||||||
Commercial loans:
|
|
|
|
|
|
||||||
Multi-family loans
|
—
|
|
|
2,760
|
|
|
—
|
|
|||
Commercial real estate loans
|
—
|
|
|
141,564
|
|
|
—
|
|
|||
Commercial and industrial loans
|
—
|
|
|
—
|
|
|
—
|
|
|||
Construction loans
|
—
|
|
|
—
|
|
|
—
|
|
|||
Total commercial loans
|
—
|
|
|
144,324
|
|
|
—
|
|
|||
Residential mortgage loans
|
141,563
|
|
|
54,300
|
|
|
233,856
|
|
|||
Consumer and other loans
|
—
|
|
|
—
|
|
|
—
|
|
|||
Total loan purchases
|
141,563
|
|
|
198,624
|
|
|
233,856
|
|
|||
Loans sold
|
(9,752
|
)
|
|
(394,742
|
)
|
|
(32,412
|
)
|
|||
Principal repayments
|
(3,302,546
|
)
|
|
(2,945,853
|
)
|
|
(2,139,676
|
)
|
|||
Other items, net(1)
|
(5,360
|
)
|
|
(8,100
|
)
|
|
(24,562
|
)
|
|||
Net loans acquired in acquisition
|
—
|
|
|
—
|
|
|
204,075
|
|
|||
Net increase in loan portfolio
|
$
|
1,908,722
|
|
|
$
|
1,773,563
|
|
|
$
|
2,005,026
|
|
|
Loans Delinquent For
|
|
|
|
|
|||||||||||||||
|
60-89 Days
|
|
90 Days and Over
|
|
Total
|
|||||||||||||||
|
Number
|
|
Amount
|
|
Number
|
|
Amount
|
|
Number
|
|
Amount
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||
At December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Multi-family loans
|
1
|
|
|
$
|
1,099
|
|
|
1
|
|
|
$
|
234
|
|
|
2
|
|
|
$
|
1,333
|
|
Commercial real estate loans
|
8
|
|
|
31,964
|
|
|
14
|
|
|
6,445
|
|
|
22
|
|
|
38,409
|
|
|||
Commercial and industrial loans
|
4
|
|
|
885
|
|
|
6
|
|
|
2,971
|
|
|
10
|
|
|
3,856
|
|
|||
Construction loans
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Total commercial loans
|
13
|
|
|
33,948
|
|
|
21
|
|
|
9,650
|
|
|
34
|
|
|
43,598
|
|
|||
Residential mortgage loans
|
52
|
|
|
10,930
|
|
|
286
|
|
|
58,119
|
|
|
338
|
|
|
69,049
|
|
|||
Consumer and other loans
|
10
|
|
|
719
|
|
|
115
|
|
|
7,065
|
|
|
125
|
|
|
7,784
|
|
|||
Total
|
75
|
|
|
$
|
45,597
|
|
|
422
|
|
|
$
|
74,834
|
|
|
497
|
|
|
$
|
120,431
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
At December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Multi-family loans
|
—
|
|
|
$
|
—
|
|
|
2
|
|
|
$
|
1,886
|
|
|
2
|
|
|
$
|
1,886
|
|
Commercial real estate loans
|
3
|
|
|
352
|
|
|
18
|
|
|
6,429
|
|
|
21
|
|
|
6,781
|
|
|||
Commercial and industrial loans
|
2
|
|
|
—
|
|
|
13
|
|
|
4,386
|
|
|
15
|
|
|
4,386
|
|
|||
Construction loans
|
—
|
|
|
—
|
|
|
4
|
|
|
792
|
|
|
4
|
|
|
792
|
|
|||
Total commercial loans
|
5
|
|
|
352
|
|
|
37
|
|
|
13,493
|
|
|
42
|
|
|
13,845
|
|
|||
Residential mortgage loans
|
60
|
|
|
14,956
|
|
|
301
|
|
|
68,560
|
|
|
361
|
|
|
83,516
|
|
|||
Consumer and other loans
|
31
|
|
|
427
|
|
|
137
|
|
|
8,976
|
|
|
168
|
|
|
9,403
|
|
|||
Total
|
96
|
|
|
$
|
15,735
|
|
|
475
|
|
|
$
|
91,029
|
|
|
571
|
|
|
$
|
106,764
|
|
|
December 31,
|
||||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
|
|
|
(Dollars in thousands)
|
||||||||||||||||
Non-accrual loans:
|
|
|
|
|
|
|
|
|
|
||||||||||
Multi-family loans
|
$
|
482
|
|
|
$
|
3,467
|
|
|
$
|
2,989
|
|
|
$
|
5,905
|
|
|
$
|
11,143
|
|
Commercial real estate loans
|
9,205
|
|
|
10,820
|
|
|
13,940
|
|
|
2,711
|
|
|
753
|
|
|||||
Commercial and industrial loans
|
4,659
|
|
|
9,225
|
|
|
2,903
|
|
|
1,281
|
|
|
375
|
|
|||||
Construction loans
|
—
|
|
|
792
|
|
|
4,345
|
|
|
16,181
|
|
|
25,764
|
|
|||||
Total commercial loans
|
14,346
|
|
|
24,304
|
|
|
24,177
|
|
|
26,078
|
|
|
38,035
|
|
|||||
Residential mortgage loans
|
72,593
|
|
|
81,816
|
|
|
79,971
|
|
|
72,309
|
|
|
81,295
|
|
|||||
Consumer and other loans
|
7,335
|
|
|
9,306
|
|
|
4,211
|
|
|
1,973
|
|
|
1,238
|
|
|||||
Total non-accrual loans
|
94,274
|
|
|
115,426
|
|
|
108,359
|
|
|
100,360
|
|
|
120,568
|
|
|||||
Real estate owned
|
4,492
|
|
|
6,283
|
|
|
7,839
|
|
|
8,516
|
|
|
8,093
|
|
|||||
Performing troubled debt restructurings
|
9,445
|
|
|
22,489
|
|
|
35,624
|
|
|
39,570
|
|
|
15,756
|
|
|||||
Total non-performing assets
|
$
|
108,211
|
|
|
$
|
144,198
|
|
|
$
|
151,822
|
|
|
$
|
148,446
|
|
|
$
|
144,417
|
|
Total non-accrual loans to total loans
|
0.50
|
%
|
|
0.68
|
%
|
|
0.72
|
%
|
|
0.77
|
%
|
|
1.16
|
%
|
|||||
Total non-performing assets to total assets
|
0.47
|
%
|
|
0.69
|
%
|
|
0.81
|
%
|
|
0.95
|
%
|
|
1.14
|
%
|
|
Years Ended December 31,
|
||||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||
Allowance balance (beginning of period)
|
$
|
218,505
|
|
|
$
|
200,284
|
|
|
$
|
173,928
|
|
|
$
|
142,172
|
|
|
$
|
117,242
|
|
Provision for loan losses
|
19,750
|
|
|
26,000
|
|
|
37,500
|
|
|
50,500
|
|
|
65,000
|
|
|||||
Charge-offs:
|
|
|
|
|
|
|
|
|
|
||||||||||
Multi-family loans
|
(161
|
)
|
|
(284
|
)
|
|
(323
|
)
|
|
(1,266
|
)
|
|
(9,058
|
)
|
|||||
Commercial real estate loans
|
(455
|
)
|
|
(1,021
|
)
|
|
(6,147
|
)
|
|
(1,101
|
)
|
|
(479
|
)
|
|||||
Commercial and industrial loans
|
(4,485
|
)
|
|
(516
|
)
|
|
(2,447
|
)
|
|
(516
|
)
|
|
(99
|
)
|
|||||
Construction loans
|
(52
|
)
|
|
(466
|
)
|
|
(640
|
)
|
|
(3,424
|
)
|
|
(13,227
|
)
|
|||||
Residential mortgage loans
|
(9,425
|
)
|
|
(9,526
|
)
|
|
(7,715
|
)
|
|
(15,508
|
)
|
|
(20,180
|
)
|
|||||
Consumer and other loans
|
(419
|
)
|
|
(403
|
)
|
|
(972
|
)
|
|
(795
|
)
|
|
(1,107
|
)
|
|||||
Total charge-offs
|
(14,997
|
)
|
|
(12,216
|
)
|
|
(18,244
|
)
|
|
(22,610
|
)
|
|
(44,150
|
)
|
|||||
Recoveries:
|
|
|
|
|
|
|
|
|
|
||||||||||
Multi-family loans
|
1,885
|
|
|
445
|
|
|
3,784
|
|
|
219
|
|
|
—
|
|
|||||
Commercial real estate loans
|
689
|
|
|
807
|
|
|
201
|
|
|
65
|
|
|
43
|
|
|||||
Commercial and industrial loans
|
541
|
|
|
295
|
|
|
516
|
|
|
604
|
|
|
23
|
|
|||||
Construction loans
|
267
|
|
|
317
|
|
|
799
|
|
|
315
|
|
|
3,387
|
|
|||||
Residential mortgage loans
|
1,631
|
|
|
2,295
|
|
|
1,783
|
|
|
2,528
|
|
|
593
|
|
|||||
Consumer and other loans
|
102
|
|
|
278
|
|
|
17
|
|
|
135
|
|
|
34
|
|
|||||
Total recoveries
|
5,115
|
|
|
4,437
|
|
|
7,100
|
|
|
3,866
|
|
|
4,080
|
|
|||||
Net charge-offs
|
(9,882
|
)
|
|
(7,779
|
)
|
|
(11,144
|
)
|
|
(18,744
|
)
|
|
(40,070
|
)
|
|||||
Allowance balance (end of period)
|
$
|
228,373
|
|
|
$
|
218,505
|
|
|
$
|
200,284
|
|
|
$
|
173,928
|
|
|
$
|
142,172
|
|
Total loans outstanding
|
$
|
18,810,702
|
|
|
$
|
16,891,330
|
|
|
$
|
15,099,552
|
|
|
$
|
13,064,618
|
|
|
$
|
10,438,471
|
|
Average loans outstanding
|
17,479,932
|
|
|
15,716,010
|
|
|
13,776,250
|
|
|
11,065,190
|
|
|
9,271,550
|
|
|||||
Allowance for loan losses as a percent of total loans outstanding
|
1.21
|
%
|
|
1.29
|
%
|
|
1.33
|
%
|
|
1.33
|
%
|
|
1.36
|
%
|
|||||
Net loans charged off as a percent of average loans outstanding
|
0.06
|
%
|
|
0.05
|
%
|
|
0.08
|
%
|
|
0.17
|
%
|
|
0.43
|
%
|
|||||
Allowance for loan losses to non-performing loans
(1)
|
220.18
|
%
|
|
158.43
|
%
|
|
139.10
|
%
|
|
124.30
|
%
|
|
104.29
|
%
|
|
December 31,
|
||||||||||||||||||||||||
|
2016
|
2015
|
2014
|
2013
|
2012
|
||||||||||||||||||||
|
Allowance
for Loan
Losses
|
Percent of
Loans in
Each
Category to
Total Loans
|
Allowance
for Loan Losses |
Percent of
Loans in Each Category to Total Loans |
Allowance
for Loan Losses |
Percent of
Loans in Each Category to Total Loans |
Allowance
for Loan Losses |
Percent of
Loans in Each Category to Total Loans |
Allowance
for Loan Losses |
Percent of
Loans in Each Category to Total Loans |
|||||||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||||||
End of period allocated to:
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Multi-family loans
|
$
|
95,561
|
|
39.6
|
%
|
$
|
88,223
|
|
37.0
|
%
|
$
|
71,147
|
|
33.4
|
%
|
$
|
42,103
|
|
30.5
|
%
|
$
|
29,853
|
|
28.7
|
%
|
Commercial real estate loans
|
52,796
|
|
23.7
|
|
46,999
|
|
22.7
|
|
44,030
|
|
20.8
|
|
46,657
|
|
19.2
|
|
33,347
|
|
18.9
|
|
|||||
Commercial and industrial loans
|
43,492
|
|
6.8
|
|
40,585
|
|
6.2
|
|
20,759
|
|
3.6
|
|
9,273
|
|
2.1
|
|
4,094
|
|
1.6
|
|
|||||
Construction loans
|
11,653
|
|
1.7
|
|
6,794
|
|
1.3
|
|
6,488
|
|
1.0
|
|
8,947
|
|
1.6
|
|
16,062
|
|
2.2
|
|
|||||
Residential mortgage loans
|
19,831
|
|
25.0
|
|
31,443
|
|
29.8
|
|
47,936
|
|
38.2
|
|
51,760
|
|
43.6
|
|
45,369
|
|
46.4
|
|
|||||
Consumer and other loans
|
2,850
|
|
3.2
|
|
3,155
|
|
2.9
|
|
3,347
|
|
2.9
|
|
2,161
|
|
3.1
|
|
2,086
|
|
2.3
|
|
|||||
Unallocated
|
2,190
|
|
|
1,306
|
|
|
6,577
|
|
|
13,027
|
|
|
11,361
|
|
|
||||||||||
Total allowance
|
$
|
228,373
|
|
100.0
|
%
|
$
|
218,505
|
|
100.0
|
%
|
$
|
200,284
|
|
100.0
|
%
|
$
|
173,928
|
|
100.0
|
%
|
$
|
142,172
|
|
100.0
|
%
|
|
|
At December 31,
|
|||||||||||||||||||||||
|
|
2016
|
|
2015
|
|
2014
|
|
||||||||||||||||||
|
|
Carrying Value
|
|
Estimated
Fair Value
|
|
Carrying Value
|
|
Estimated
Fair Value
|
|
Carrying Value
|
|
Estimated
Fair Value
|
|
||||||||||||
|
|
(In thousands)
|
|||||||||||||||||||||||
Available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Equity securities
|
|
$
|
5,825
|
|
|
$
|
6,660
|
|
|
$
|
5,778
|
|
|
$
|
6,495
|
|
|
$
|
6,887
|
|
|
$
|
8,523
|
|
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal National Mortgage Association
|
|
1,022,383
|
|
|
1,008,587
|
|
|
724,851
|
|
|
726,072
|
|
|
675,535
|
|
|
681,992
|
|
|
||||||
Federal Home Loan Mortgage Corporation
|
|
603,774
|
|
|
598,439
|
|
|
546,652
|
|
|
547,451
|
|
|
503,268
|
|
|
507,283
|
|
|
||||||
Government National Mortgage Association
|
|
47,538
|
|
|
46,747
|
|
|
24,841
|
|
|
24,679
|
|
|
125
|
|
|
126
|
|
|
||||||
Total mortgage-backed securities available for sale
|
|
1,673,695
|
|
|
1,653,773
|
|
|
1,296,344
|
|
|
1,298,202
|
|
|
1,178,928
|
|
|
1,189,401
|
|
|
||||||
Total available-for-sale securities
|
|
$
|
1,679,520
|
|
|
$
|
1,660,433
|
|
|
$
|
1,302,122
|
|
|
$
|
1,304,697
|
|
|
$
|
1,185,815
|
|
|
$
|
1,197,924
|
|
|
Held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Government sponsored enterprises
|
|
$
|
2,128
|
|
|
$
|
2,140
|
|
|
$
|
4,232
|
|
|
$
|
4,243
|
|
|
$
|
4,388
|
|
|
$
|
4,403
|
|
|
Municipal bonds
|
|
37,978
|
|
|
39,493
|
|
|
43,058
|
|
|
44,365
|
|
|
24,320
|
|
|
25,321
|
|
|
||||||
Corporate and other debt securities
|
|
44,092
|
|
|
84,245
|
|
|
35,113
|
|
|
77,817
|
|
|
33,440
|
|
|
65,236
|
|
|
||||||
Total debt securities
|
|
84,198
|
|
|
125,878
|
|
|
82,403
|
|
|
126,425
|
|
|
62,148
|
|
|
94,960
|
|
|
||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Federal National Mortgage Association
|
|
1,244,833
|
|
|
1,233,079
|
|
|
1,226,140
|
|
|
1,227,325
|
|
|
974,376
|
|
|
984,787
|
|
|
||||||
Federal Home Loan Mortgage Corporation
|
|
410,133
|
|
|
407,424
|
|
|
514,339
|
|
|
513,470
|
|
|
500,637
|
|
|
502,320
|
|
|
||||||
Government National Mortgage Association
|
|
16,392
|
|
|
16,420
|
|
|
21,330
|
|
|
21,455
|
|
|
27,136
|
|
|
27,116
|
|
|
||||||
Federal housing authorities
|
|
—
|
|
|
—
|
|
|
11
|
|
|
11
|
|
|
182
|
|
|
182
|
|
|
||||||
Total mortgage-backed securities held-to-maturity
|
|
1,671,358
|
|
|
1,656,923
|
|
|
1,761,820
|
|
|
1,762,261
|
|
|
1,502,331
|
|
|
1,514,405
|
|
|
||||||
Total held-to-maturity securities
|
|
$
|
1,755,556
|
|
|
$
|
1,782,801
|
|
|
$
|
1,844,223
|
|
|
$
|
1,888,686
|
|
|
$
|
1,564,479
|
|
|
$
|
1,609,365
|
|
|
Total securities
|
|
$
|
3,435,076
|
|
|
$
|
3,443,234
|
|
|
$
|
3,146,345
|
|
|
$
|
3,193,383
|
|
|
$
|
2,750,294
|
|
|
$
|
2,807,289
|
|
|
|
|
One Year or Less
|
|
More than One Year
through Five Years
|
|
More than Five Years
through Ten Years
|
|
More than Ten Years
|
|
Total Securities
|
|||||||||||||||||||||||||||||
|
|
Carrying Value
|
|
Weighted
Average
Coupon
|
|
Carrying Value
|
|
Weighted
Average
Coupon
|
|
Carrying Value
|
|
Weighted
Average
Coupon
|
|
Carrying Value
|
|
Weighted
Average
Coupon
|
|
Carrying Value
|
|
Fair
Value
|
|
Weighted
Average
Coupon
|
|||||||||||||||||
|
|
(Dollars in thousands)
|
|||||||||||||||||||||||||||||||||||||
Available-for-Sale:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Equity securities
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
5,825
|
|
|
—
|
%
|
|
$
|
5,825
|
|
|
$
|
6,660
|
|
|
—
|
%
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Federal Home Loan Mortgage Corporation
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
75,639
|
|
|
2.74
|
|
|
528,135
|
|
|
2.01
|
|
|
603,774
|
|
|
598,439
|
|
|
2.10
|
|
||||||
Federal National Mortgage Association
|
|
—
|
|
|
—
|
|
|
14,972
|
|
|
2.55
|
|
|
142,704
|
|
|
2.16
|
|
|
864,707
|
|
|
1.94
|
|
|
1,022,383
|
|
|
1,008,587
|
|
|
1.98
|
|
||||||
Government National Mortgage Association
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
47,538
|
|
|
1.84
|
|
|
47,538
|
|
|
46,747
|
|
|
1.84
|
|
||||||
Total mortgage-backed securities
|
|
—
|
|
|
—
|
|
|
14,972
|
|
|
2.55
|
|
|
218,343
|
|
|
2.36
|
|
|
1,440,380
|
|
|
1.96
|
|
|
1,673,695
|
|
|
1,653,773
|
|
|
2.02
|
|
||||||
Total available-for- sale securities
|
|
$
|
—
|
|
|
—
|
%
|
|
$
|
14,972
|
|
|
2.55
|
%
|
|
$
|
218,343
|
|
|
2.36
|
%
|
|
$
|
1,446,205
|
|
|
1.95
|
%
|
|
$
|
1,679,520
|
|
|
$
|
1,660,433
|
|
|
2.01
|
%
|
Held-to-Maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Government sponsored enterprises
|
|
$
|
—
|
|
|
—
|
|
|
$
|
2,128
|
|
|
1.55
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
—
|
|
|
—
|
|
|
$
|
2,128
|
|
|
$
|
2,140
|
|
|
1.55
|
|
Municipal bonds
|
|
33,348
|
|
|
1.54
|
|
|
75
|
|
|
3.63
|
|
|
—
|
|
|
—
|
|
|
4,555
|
|
|
9.13
|
|
|
37,978
|
|
|
39,493
|
|
|
2.45
|
|
||||||
Corporate and other debt securities
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,000
|
|
|
5.13
|
|
|
39,092
|
|
|
2.28
|
|
|
44,092
|
|
|
84,245
|
|
|
2.60
|
|
||||||
|
|
33,348
|
|
|
1.54
|
|
|
2,203
|
|
|
1.62
|
|
|
5,000
|
|
|
5.13
|
|
|
43,647
|
|
|
2.99
|
|
|
84,198
|
|
|
125,878
|
|
|
2.51
|
|
||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||
Federal Home Loan Mortgage Corporation
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
18,121
|
|
|
2.06
|
|
|
392,012
|
|
|
2.17
|
|
|
410,133
|
|
|
407,424
|
|
|
2.17
|
|
||||||
Federal National Mortgage Association
|
|
—
|
|
|
—
|
|
|
25,084
|
|
|
1.77
|
|
|
56,314
|
|
|
1.89
|
|
|
1,163,435
|
|
|
2.32
|
|
|
1,244,833
|
|
|
1,233,079
|
|
|
2.29
|
|
||||||
Government National Mortgage Association
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
16,392
|
|
|
2.27
|
|
|
16,392
|
|
|
16,420
|
|
|
2.27
|
|
||||||
Total mortgage-backed securities
|
|
—
|
|
|
—
|
|
|
25,084
|
|
|
1.77
|
|
|
74,435
|
|
|
1.93
|
|
|
1,571,839
|
|
|
2.28
|
|
|
1,671,358
|
|
|
1,656,923
|
|
|
2.26
|
|
||||||
Total held-to-maturity securities
|
|
$
|
33,348
|
|
|
1.54
|
%
|
|
$
|
27,287
|
|
|
1.76
|
%
|
|
$
|
79,435
|
|
|
2.13
|
%
|
|
$
|
1,615,486
|
|
|
2.30
|
%
|
|
$
|
1,755,556
|
|
|
$
|
1,782,801
|
|
|
2.27
|
%
|
|
At December 31,
|
||||||||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
||||||||||||||||||
|
Balance
|
Percent
of Total
Deposits
|
Weighted
Average
Rate
|
|
Balance
|
Percent
of Total
Deposits
|
Weighted
Average
Rate
|
|
Balance
|
Percent
of Total
Deposits
|
Weighted
Average
Rate
|
||||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||||
Non-interest bearing:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Checking accounts
|
$
|
2,173,493
|
|
14.2
|
%
|
—
|
%
|
|
$
|
1,890,536
|
|
13.4
|
%
|
—
|
%
|
|
$
|
1,249,070
|
|
10.3
|
%
|
—
|
%
|
Interest-bearing:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Checking accounts
|
3,916,208
|
|
25.6
|
|
0.45
|
|
|
2,745,489
|
|
19.5
|
|
0.29
|
|
|
2,643,769
|
|
21.7
|
|
0.29
|
|
|||
Money market deposits
|
4,150,583
|
|
27.2
|
|
0.65
|
|
|
3,861,317
|
|
27.5
|
|
0.67
|
|
|
3,390,238
|
|
27.9
|
|
0.71
|
|
|||
Savings
|
2,092,989
|
|
13.7
|
|
0.29
|
|
|
2,150,004
|
|
15.3
|
|
0.29
|
|
|
2,318,911
|
|
19.1
|
|
0.27
|
|
|||
Certificates of deposit
|
2,947,560
|
|
19.3
|
|
0.91
|
|
|
3,416,310
|
|
24.3
|
|
1.14
|
|
|
2,570,338
|
|
21.1
|
|
1.00
|
|
|||
Total deposits
|
$
|
15,280,833
|
|
100.0
|
%
|
0.51
|
%
|
|
$
|
14,063,656
|
|
100.0
|
%
|
0.56
|
%
|
|
$
|
12,172,326
|
|
100.0
|
%
|
0.53
|
%
|
|
At December 31,
|
||||||||||
|
2016
|
|
2015
|
|
2014
|
||||||
|
(Dollars in thousands)
|
||||||||||
Certificates of Deposits
|
|
|
|
|
|
||||||
0.00% - 0.25%
|
$
|
639,425
|
|
|
$
|
606,970
|
|
|
$
|
703,630
|
|
0.26% - 0.50%
|
194,827
|
|
|
304,458
|
|
|
511,058
|
|
|||
0.51% - 1.00%
|
643,526
|
|
|
384,941
|
|
|
389,815
|
|
|||
1.01% - 2.00%
|
1,427,999
|
|
|
1,791,549
|
|
|
512,383
|
|
|||
2.01% - 3.00%
|
31,956
|
|
|
301,930
|
|
|
386,775
|
|
|||
Over 3.00%
|
9,827
|
|
|
26,462
|
|
|
66,677
|
|
|||
Total
|
$
|
2,947,560
|
|
|
$
|
3,416,310
|
|
|
$
|
2,570,338
|
|
|
|
Within
Three
Months
|
|
Over
Three to
Six Months
|
|
Over
Six Months to
One Year
|
|
Over
One Year to
Two Years
|
|
Over
Two Years to
Three Years
|
|
Over
Three
Years
|
|
Total
|
||||||||||||||
|
|
(Dollars in thousands)
|
||||||||||||||||||||||||||
Certificates of Deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
0.00% - 0.25%
|
|
$
|
245,644
|
|
|
$
|
135,462
|
|
|
$
|
206,213
|
|
|
$
|
24,500
|
|
|
$
|
8,503
|
|
|
$
|
19,103
|
|
|
$
|
639,425
|
|
0.26% - 0.50%
|
|
45,038
|
|
|
17,677
|
|
|
38,379
|
|
|
93,428
|
|
|
236
|
|
|
69
|
|
|
194,827
|
|
|||||||
0.51% - 1.00%
|
|
49,876
|
|
|
169,049
|
|
|
210,713
|
|
|
84,423
|
|
|
40,490
|
|
|
88,975
|
|
|
643,526
|
|
|||||||
1.01% - 2.00%
|
|
154,188
|
|
|
316,340
|
|
|
254,241
|
|
|
471,009
|
|
|
183,506
|
|
|
48,715
|
|
|
1,427,999
|
|
|||||||
2.01% - 3.00%
|
|
12,959
|
|
|
301
|
|
|
1,413
|
|
|
561
|
|
|
4,661
|
|
|
12,061
|
|
|
31,956
|
|
|||||||
Over 3.00%
|
|
3,081
|
|
|
4,273
|
|
|
1,153
|
|
|
631
|
|
|
110
|
|
|
579
|
|
|
9,827
|
|
|||||||
Total
|
|
$
|
510,786
|
|
|
$
|
643,102
|
|
|
$
|
712,112
|
|
|
$
|
674,552
|
|
|
$
|
237,506
|
|
|
$
|
169,502
|
|
|
$
|
2,947,560
|
|
|
|
|
At December 31, 2016
|
|
(In thousands)
|
Three months or less
|
$254,540
|
Over three months through six months
|
446,897
|
Over six months through one year
|
475,175
|
Over one year
|
761,698
|
Total
|
$1,938,310
|
|
At or for the Year Ended December 31,
|
||||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||
Balance at end of period
|
$
|
4,391,420
|
|
|
$
|
3,106,783
|
|
|
$
|
2,598,186
|
|
|
$
|
3,099,593
|
|
|
$
|
2,650,652
|
|
Average balance during period
|
3,663,087
|
|
|
2,997,873
|
|
|
2,548,744
|
|
|
3,015,058
|
|
|
2,068,006
|
|
|||||
Maximum outstanding at any month end
|
4,391,420
|
|
|
3,548,000
|
|
|
3,230,000
|
|
|
3,586,000
|
|
|
2,650,652
|
|
|||||
Weighted average interest rate at end of period
|
1.79
|
%
|
|
2.12
|
%
|
|
2.24
|
%
|
|
1.83
|
%
|
|
2.14
|
%
|
|||||
Average interest rate during period
|
1.86
|
%
|
|
2.06
|
%
|
|
2.19
|
%
|
|
1.90
|
%
|
|
2.60
|
%
|
|
At or for the Year Ended December 31,
|
||||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||
Balance at end of period
|
$
|
154,831
|
|
|
$
|
156,307
|
|
|
$
|
167,918
|
|
|
$
|
267,681
|
|
|
$
|
55,000
|
|
Average balance during period
|
153,000
|
|
|
159,438
|
|
|
192,865
|
|
|
164,415
|
|
|
156,120
|
|
|||||
Maximum outstanding at any month end
|
154,831
|
|
|
163,000
|
|
|
261,205
|
|
|
267,681
|
|
|
250,000
|
|
|||||
Weighted average interest rate at end of period
|
2.19
|
%
|
|
2.21
|
%
|
|
2.28
|
%
|
|
1.60
|
%
|
|
3.94
|
%
|
|||||
Average interest rate during period
|
2.16
|
%
|
|
2.25
|
%
|
|
2.02
|
%
|
|
1.50
|
%
|
|
3.93
|
%
|
•
|
real estate mortgages;
|
•
|
consumer and commercial loans;
|
•
|
specific types of debt securities, including certain corporate debt securities and obligations of federal, state and local governments and agencies;
|
•
|
certain types of corporate equity securities; and
|
•
|
certain other assets.
|
•
|
the quality of the bank’s interest rate risk management process;
|
•
|
the overall financial condition of the bank; and
|
•
|
the level of other risks at the bank for which capital is needed.
|
|
|
As of December 31, 2016 (1)
|
|||||
|
|
Amount
|
|
Ratio
|
|||
|
|
(Dollars in thousands)
|
|||||
Bank:
|
|
|
|
|
|||
Tier 1 Leverage Ratio
|
|
$
|
2,736,173
|
|
|
12.03
|
%
|
Common Equity Tier 1 Risk-Based Capital
|
|
2,736,173
|
|
|
14.75
|
|
|
Tier 1 Risk-Based Capital
|
|
2,736,173
|
|
|
14.75
|
|
|
Total Risk-Based Capital
|
|
2,965,720
|
|
|
15.99
|
|
|
|
|
|
|
|
|||
Investors Bancorp, Inc.:
|
|
|
|
|
|||
Tier 1 Leverage Ratio
|
|
$
|
3,066,401
|
|
|
13.48
|
%
|
Common Equity Tier 1 Risk-Based Capital
|
|
3,066,401
|
|
|
16.52
|
|
|
Tier 1 Risk-Based Capital
|
|
3,066,401
|
|
|
16.52
|
|
|
Total Risk-Based Capital
|
|
3,295,948
|
|
|
17.75
|
|
(1)
|
For purposes of calculating Tier 1 leverage ratio, assets are based on adjusted total average assets. In calculating Tier 1 risk-based capital and Total risk-based capital, assets are based on total risk-weighted assets.
|
•
|
limits the extent to which a bank or its subsidiaries may engage in “covered transactions” with any one affiliate to an amount equal to 10% of such bank’s capital stock and retained earnings, and limits all such transactions with all affiliates to an amount equal to 20% of such capital stock and retained earnings; and
|
•
|
requires that all such transactions be on terms that are consistent with safe and sound banking practices.
|
•
|
a lending test, to evaluate the institution’s record of making loans in its service areas;
|
•
|
an investment test, to evaluate the institution’s record of investing in community development projects, affordable housing, and programs benefiting low or moderate income individuals and/or census tracts and businesses; and
|
•
|
a service test, to evaluate the institution’s delivery of services through its branches, ATMs and other offices.
|
•
|
Establishment of anti-money laundering compliance programs that includes policies, procedures, and internal controls; the appointment of an anti-money laundering compliance officer; an effective training program; and independent testing;
|
•
|
Making of certain reports to FinCEN and law enforcement that are designated to assist in the detection and prevention of money laundering and terrorist financing activities;
|
•
|
Establishment of a program specifying procedures for obtaining and maintaining certain records from customers seeking to open new accounts, including verifying the identity of customers within a reasonable period of time;
|
•
|
Establishment of enhanced due diligence policies, procedures and controls designed to detect and report money-laundering, terrorist financing and other suspicious activity;
|
•
|
Monitoring account activity for suspicious transactions; and
|
•
|
Impose a heightened level of review for certain high risk customers or accounts.
|
•
|
making or servicing loans;
|
•
|
performing certain data processing services;
|
•
|
providing discount brokerage services; or acting as fiduciary, investment or financial advisor;
|
•
|
leasing personal or real property;
|
•
|
making investments in corporations or projects designed primarily to promote community welfare; and
|
•
|
acquiring a savings and loan association.
|
•
|
each of its depository institution subsidiaries is “well capitalized”;
|
•
|
each of its depository institution subsidiaries is “well managed”;
|
•
|
each of its depository institution subsidiaries has at least a “satisfactory” Community Reinvestment Act rating at its most recent examination; and
|
•
|
the bank holding company has filed a certification with the Federal Reserve Board stating that it elects to become a financial holding company.
|
ITEM 1A.
|
RISK FACTORS
|
•
|
excessive upfront points and fees (those exceeding 3% of the total loan amount, less "bona fide discount points" for prime loans);
|
ITEM 1B.
|
UNRESOLVED STAFF COMMENTS
|
ITEM 2.
|
PROPERTIES
|
ITEM 3.
|
LEGAL PROCEEDINGS
|
ITEM 4.
|
MINE SAFETY DISCLOSURES
|
ITEM 5.
|
MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES
|
|
|
Year Ended
December 31, 2016
|
|
Year Ended
December 31, 2015
|
|
||||||||||||||||||
|
|
High
|
|
Low
|
Dividends Declared
|
|
High
|
|
Low
|
Dividends Declared
|
|
||||||||||||
First Quarter
|
|
$
|
12.37
|
|
|
$
|
10.77
|
|
$
|
0.06
|
|
|
$
|
11.98
|
|
|
$
|
10.70
|
|
$
|
0.10
|
|
(1)
|
Second Quarter
|
|
12.05
|
|
|
10.67
|
|
0.06
|
|
|
12.72
|
|
|
11.55
|
|
0.05
|
|
|
||||||
Third Quarter
|
|
12.30
|
|
|
10.71
|
|
0.06
|
|
|
12.59
|
|
|
11.27
|
|
0.05
|
|
|
||||||
Fourth Quarter
|
|
14.39
|
|
|
11.58
|
|
0.08
|
|
|
13.13
|
|
|
11.99
|
|
0.05
|
|
|
Index
|
12/31/2011
|
|
|
12/31/2012
|
|
|
12/31/2013
|
|
|
12/31/2014
|
|
|
12/31/2015
|
|
|
12/31/2016
|
|
Investors Bancorp, Inc.
|
100.00
|
|
|
132.26
|
|
|
192.11
|
|
|
217.44
|
|
|
246.04
|
|
|
282.11
|
|
SNL U.S. Bank and Thrift
|
100.00
|
|
|
134.28
|
|
|
183.86
|
|
|
205.25
|
|
|
209.39
|
|
|
264.35
|
|
SNL U.S. Thrift
|
100.00
|
|
|
121.63
|
|
|
156.09
|
|
|
167.88
|
|
|
188.78
|
|
|
231.33
|
|
Period
|
|
Total Number of Shares Purchased (1)
|
|
Average Price paid Per Share
|
|
As part of Publicly Announced Plans or Programs
|
|
Yet to be Purchased Under the Plans or Programs
|
||||||
October 1, 2016 through October 31, 2016
|
|
1,750,000
|
|
|
$
|
11.96
|
|
|
$
|
20,926,090
|
|
|
21,660,643
|
|
November 1, 2016 through November 30, 2016
|
|
401,472
|
|
|
$
|
12.45
|
|
|
$
|
4,996,671
|
|
|
21,259,171
|
|
December 1, 2016 through December 31, 2016
|
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
21,259,171
|
|
Total
|
|
2,151,472
|
|
|
|
|
25,922,761
|
|
|
|
ITEM 6.
|
SELECTED FINANCIAL DATA
|
|
At December 31,
|
||||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Selected Financial Condition Data:
|
|
|
|
|
|
|
|
|
|
||||||||||
Total assets
|
$
|
23,174,675
|
|
|
$
|
20,888,684
|
|
|
$
|
18,773,639
|
|
|
$
|
15,623,070
|
|
|
$
|
12,722,574
|
|
Loans receivable, net
|
18,569,855
|
|
|
16,661,133
|
|
|
14,887,570
|
|
|
12,882,544
|
|
|
10,306,786
|
|
|||||
Loans held-for-sale
|
38,298
|
|
|
7,431
|
|
|
6,868
|
|
|
8,273
|
|
|
28,233
|
|
|||||
Securities held to maturity
|
1,755,556
|
|
|
1,844,223
|
|
|
1,564,479
|
|
|
831,819
|
|
|
179,922
|
|
|||||
Securities available for sale, at estimated fair value
|
1,660,433
|
|
|
1,304,697
|
|
|
1,197,924
|
|
|
785,032
|
|
|
1,385,328
|
|
|||||
Bank owned life insurance
|
161,940
|
|
|
159,152
|
|
|
161,609
|
|
|
152,788
|
|
|
113,941
|
|
|||||
Deposits
|
15,280,833
|
|
|
14,063,656
|
|
|
12,172,326
|
|
|
10,718,811
|
|
|
8,768,857
|
|
|||||
Borrowed funds
|
4,546,251
|
|
|
3,263,090
|
|
|
2,766,104
|
|
|
3,367,274
|
|
|
2,705,652
|
|
|||||
Goodwill
|
77,571
|
|
|
77,571
|
|
|
77,571
|
|
|
77,571
|
|
|
77,063
|
|
|||||
Stockholders’ equity
|
3,123,245
|
|
|
3,311,647
|
|
|
3,577,855
|
|
|
1,334,327
|
|
|
1,066,817
|
|
|
Year Ended December 31,
|
||||||||||||||||||
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
|
(In thousands)
|
||||||||||||||||||
Selected Operating Data:
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest and dividend income
|
$
|
793,521
|
|
|
$
|
731,723
|
|
|
$
|
660,862
|
|
|
$
|
545,068
|
|
|
$
|
496,189
|
|
Interest expense
|
153,336
|
|
|
136,639
|
|
|
118,891
|
|
|
109,642
|
|
|
123,444
|
|
|||||
Net interest income
|
640,185
|
|
|
595,084
|
|
|
541,971
|
|
|
435,426
|
|
|
372,745
|
|
|||||
Provision for loan losses
|
19,750
|
|
|
26,000
|
|
|
37,500
|
|
|
50,500
|
|
|
65,000
|
|
|||||
Net interest income after provision for loan losses
|
620,435
|
|
|
569,084
|
|
|
504,471
|
|
|
384,926
|
|
|
307,745
|
|
|||||
Non-interest income
|
37,201
|
|
|
40,125
|
|
|
41,861
|
|
|
36,571
|
|
|
44,112
|
|
|||||
Non-interest expenses
|
358,564
|
|
|
328,332
|
|
|
339,860
|
|
|
245,711
|
|
|
207,007
|
|
|||||
Income before income tax expense
|
299,072
|
|
|
280,877
|
|
|
206,472
|
|
|
175,786
|
|
|
144,850
|
|
|||||
Income tax expense
|
106,947
|
|
|
99,372
|
|
|
74,751
|
|
|
63,755
|
|
|
56,083
|
|
|||||
Net income
|
$
|
192,125
|
|
|
$
|
181,505
|
|
|
$
|
131,721
|
|
|
$
|
112,031
|
|
|
$
|
88,767
|
|
Earnings per share — basic
|
$
|
0.65
|
|
|
$
|
0.55
|
|
|
$
|
0.38
|
|
|
$
|
0.40
|
|
|
$
|
0.32
|
|
Earnings per share — diluted
|
$
|
0.64
|
|
|
$
|
0.55
|
|
|
$
|
0.38
|
|
|
$
|
0.40
|
|
|
$
|
0.32
|
|
|
|
At or for the Year Ended
December 31,
|
||||||||||||||||||
|
|
2016
|
|
2015
|
|
2014
|
|
2013
|
|
2012
|
||||||||||
Selected Financial Ratios and Other Data:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Performance Ratios:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Return on assets (ratio of net income to average total assets)
|
|
0.88
|
%
|
|
0.92
|
%
|
|
0.76
|
%
|
|
0.83
|
%
|
|
0.77
|
%
|
|||||
Return on equity (ratio of net income to average equity)
|
|
6.06
|
%
|
|
5.26
|
%
|
|
4.71
|
%
|
|
10.00
|
%
|
|
8.68
|
%
|
|||||
Net interest rate spread(1)
|
|
2.83
|
%
|
|
2.91
|
%
|
|
3.08
|
%
|
|
3.24
|
%
|
|
3.26
|
%
|
|||||
Net interest margin(2)
|
|
3.04
|
%
|
|
3.12
|
%
|
|
3.27
|
%
|
|
3.37
|
%
|
|
3.40
|
%
|
|||||
Efficiency ratio(3)
|
|
52.93
|
%
|
|
51.69
|
%
|
|
58.21
|
%
|
|
52.06
|
%
|
|
49.66
|
%
|
|||||
Efficiency ratio - Adjusted (4)
|
|
52.60
|
%
|
|
51.48
|
%
|
|
52.45
|
%
|
|
50.66
|
%
|
|
46.47
|
%
|
|||||
Non-interest expenses to average total assets
|
|
1.64
|
%
|
|
1.66
|
%
|
|
1.96
|
%
|
|
1.82
|
%
|
|
1.81
|
%
|
|||||
Average interest-earning assets to average interest-bearing liabilities
|
|
1.29x
|
|
|
1.30x
|
|
|
1.28x
|
|
|
1.15x
|
|
|
1.13x
|
|
|||||
Dividend payout ratio (5)
|
|
40.00
|
%
|
|
45.45
|
%
|
|
31.58
|
%
|
|
19.61
|
%
|
|
6.02
|
%
|
|||||
Asset Quality Ratios:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Non-performing assets to total assets
|
|
0.47
|
%
|
|
0.69
|
%
|
|
0.81
|
%
|
|
0.95
|
%
|
|
1.14
|
%
|
|||||
Non-accrual loans to total loans
|
|
0.50
|
%
|
|
0.68
|
%
|
|
0.72
|
%
|
|
0.77
|
%
|
|
1.16
|
%
|
|||||
Allowance for loan losses to non-performing loans (6)
|
|
220.18
|
%
|
|
158.43
|
%
|
|
139.10
|
%
|
|
124.30
|
%
|
|
104.29
|
%
|
|||||
Allowance for loan losses to total loans
|
|
1.21
|
%
|
|
1.29
|
%
|
|
1.33
|
%
|
|
1.33
|
%
|
|
1.36
|
%
|
|||||
Capital Ratios:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Tier 1 leverage ratio (7)
|
|
12.03
|
%
|
|
12.41
|
%
|
|
12.79
|
%
|
|
8.20
|
%
|
|
7.59
|
%
|
|||||
Common equity tier 1 risk-based (7)
|
|
14.75
|
%
|
|
15.87
|
%
|
|
n/a
|
|
|
n/a
|
|
|
n/a
|
|
|||||
Tier 1 risk-based capital (7)
|
|
14.75
|
%
|
|
15.87
|
%
|
|
17.01
|
%
|
|
10.14
|
%
|
|
9.98
|
%
|
|||||
Total-risk-based capital (7)
|
|
15.99
|
%
|
|
17.12
|
%
|
|
18.26
|
%
|
|
11.39
|
%
|
|
11.24
|
%
|
|||||
Equity to total assets
|
|
13.48
|
%
|
|
15.85
|
%
|
|
19.06
|
%
|
|
8.54
|
%
|
|
8.39
|
%
|
|||||
Tangible equity to tangible assets (8)
|
|
13.10
|
%
|
|
15.43
|
%
|
|
18.60
|
%
|
|
7.90
|
%
|
|
7.67
|
%
|
|||||
Average equity to average assets
|
|
14.52
|
%
|
|
17.41
|
%
|
|
16.16
|
%
|
|
8.32
|
%
|
|
8.92
|
%
|
|||||
Other Data:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Book value per common share (8)
|
|
$
|
10.53
|
|
|
$
|
10.30
|
|
|
$
|
10.39
|
|
|
$
|
9.85
|
|
|
$
|
9.81
|
|
Tangible book value per common share (8)
|
|
$
|
10.18
|
|
|
$
|
9.97
|
|
|
$
|
10.08
|
|
|
$
|
9.04
|
|
|
$
|
8.89
|
|
Number of full service offices
|
|
151
|
|
|
140
|
|
|
132
|
|
|
129
|
|
|
101
|
|
|||||
Full time equivalent employees
|
|
1,829
|
|
|
1,734
|
|
|
1,682
|
|
|
1,541
|
|
|
1,193
|
|
(1)
|
The net interest rate spread represents the difference between the weighted-average yield on interest-earning assets and the weighted- average cost of interest-bearing liabilities for the period.
|
(2)
|
The net interest margin represents net interest income as a percent of average interest-earning assets for the period.
|
(3)
|
The efficiency ratio represents non-interest expense divided by the sum of net interest income and non-interest income.
|
(4)
|
The adjusted efficiency ratio represents non-interest expense divided by the sum of net interest income and non-interest income adjusted. For the year ended December 31, 2016, adjustments were related to the accelerated vesting of equity awards upon the death of a director ($1.5 million) and professional fees associated with the termination of the Bank of Princeton acquisition ($840,000). For the year ended December 31, 2015, a one time item related to a payout under an employment agreement with a former executive was excluded. For the year ended December 31, 2014, $13.0 million of compensation expense related to the accelerated vesting of all stock option and restricted stock plans upon the completion of the second step capital transaction, the contribution of $20 million to the Investors Charitable Foundation and one-time items related to the acquisition of Gateway, completed in January 2014, were excluded. For the year
|
(5)
|
The dividend payout ratio represents dividends paid per share divided by net income per share.
|
(6)
|
Non-performing loans include non-accrual loans and performing troubled debt restructured loans.
|
(7)
|
Ratios are for Investors Bank and do not include capital retained at the holding company level. The information presented prior to December 31, 2015 reflect the requirements in effect at that time, as the Basel III requirements became effective on January 1, 2015, see "Item 1. Business - Supervision and Regulation".
|
(8)
|
Excludes goodwill and intangible assets for the calculation of tangible book value and tangible equity. For common share calculation, excludes treasury shares and unallocated ESOP shares.
|
ITEM 7.
|
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
|
|
December 31, 2016
|
|
December 31, 2015
|
||||
|
(Dollars in thousands)
|
||||||
Commercial Loans:
|
|
|
|
||||
Multi-family loans
|
$
|
7,459,131
|
|
|
6,255,904
|
|
|
Commercial real estate loans
|
4,452,300
|
|
|
3,829,099
|
|
||
Commercial and industrial loans
|
1,275,283
|
|
|
1,044,385
|
|
||
Construction loans
|
314,843
|
|
|
225,843
|
|
||
Total commercial loans
|
13,501,557
|
|
|
11,355,231
|
|
||
Residential mortgage loans
|
4,711,880
|
|
|
5,039,543
|
|
||
Consumer and other
|
597,265
|
|
|
496,556
|
|
||
Total Loans
|
18,810,702
|
|
|
16,891,330
|
|
||
Net unamortized premiums and deferred loan costs
|
(12,474
|
)
|
|
(11,692
|
)
|
||
Allowance for loan losses
|
(228,373
|
)
|
|
(218,505
|
)
|
||
Net loans
|
$
|
18,569,855
|
|
|
$
|
16,661,133
|
|
|
December 31, 2016
|
|
September 30, 2016
|
|
June 30, 2016
|
|
March 31, 2016
|
|
December 31, 2015
|
||||||||||||||||||||
|
# of Loans
|
Amount
|
|
# of Loans
|
Amount
|
|
# of Loans
|
Amount
|
|
# of Loans
|
Amount
|
|
# of Loans
|
Amount
|
|||||||||||||||
|
(Dollars in millions)
|
||||||||||||||||||||||||||||
Multi-family
|
2
|
|
$
|
0.5
|
|
|
1
|
|
$
|
0.2
|
|
|
2
|
|
$
|
1.2
|
|
|
3
|
|
$
|
2.9
|
|
|
4
|
|
$
|
3.5
|
|
Commercial real estate
|
24
|
|
9.2
|
|
|
29
|
|
8.9
|
|
|
33
|
|
11.7
|
|
|
35
|
|
10.3
|
|
|
37
|
|
10.8
|
|
|||||
Commercial and industrial
|
8
|
|
4.7
|
|
|
6
|
|
2.3
|
|
|
6
|
|
0.7
|
|
|
10
|
|
5.6
|
|
|
17
|
|
9.2
|
|
|||||
Construction
|
0
|
|
—
|
|
|
0
|
|
—
|
|
|
1
|
|
0.2
|
|
|
3
|
|
0.5
|
|
|
4
|
|
0.8
|
|
|||||
Total commercial loans
|
34
|
|
14.4
|
|
|
36
|
|
11.4
|
|
|
42
|
|
13.8
|
|
|
51
|
|
19.3
|
|
|
62
|
|
24.3
|
|
|||||
Residential and consumer
|
478
|
|
79.9
|
|
|
481
|
|
86.1
|
|
|
471
|
|
86.5
|
|
|
488
|
|
85.9
|
|
|
500
|
|
91.1
|
|
|||||
Total non-accrual loans
|
512
|
|
$
|
94.3
|
|
|
517
|
|
$
|
97.5
|
|
|
513
|
|
$
|
100.3
|
|
|
539
|
|
$
|
105.2
|
|
|
562
|
|
$
|
115.4
|
|
Accruing troubled debt restructured loans
|
42
|
|
$
|
9.4
|
|
|
31
|
|
$
|
8.8
|
|
|
29
|
|
$
|
12.1
|
|
|
30
|
|
$
|
10.7
|
|
|
39
|
|
$
|
22.5
|
|
Non-accrual loans to total loans
|
|
0.50
|
%
|
|
|
0.53
|
%
|
|
|
0.57
|
%
|
|
|
0.61
|
%
|
|
|
0.68
|
%
|
||||||||||
Allowance for loan loss as a percent of non-accrual loans
|
|
242.24
|
%
|
|
|
229.31
|
%
|
|
|
219.6
|
%
|
|
|
205.83
|
%
|
|
|
189.30
|
%
|
||||||||||
Allowance for loan loss as a percent of total loans
|
|
1.21
|
%
|
|
|
1.22
|
%
|
|
|
1.25
|
%
|
|
|
1.26
|
%
|
|
|
1.29
|
%
|
|
|
For the Year Ended December 31,
|
|||||||||||||||||||||||||||||||
|
|
2016
|
|
2015
|
|
2014
|
|||||||||||||||||||||||||||
|
|
Average
Outstanding
Balance
|
|
Interest
Earned/
Paid
|
|
Average
Yield/
Rate
|
|
Average
Outstanding
Balance
|
|
Interest
Earned/
Paid
|
|
Average
Yield/
Rate
|
|
Average
Outstanding
Balance
|
|
Interest
Earned/
Paid
|
|
Average
Yield/
Rate
|
|||||||||||||||
|
|
(Dollars in thousands)
|
|||||||||||||||||||||||||||||||
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing deposits
|
|
$
|
144,610
|
|
|
$
|
342
|
|
|
0.24
|
%
|
|
$
|
207,331
|
|
|
$
|
225
|
|
|
0.11
|
%
|
|
371,636
|
|
|
$
|
552
|
|
|
0.15
|
%
|
|
Securities available-for-sale
|
|
1,398,373
|
|
|
25,515
|
|
|
1.82
|
|
|
1,245,745
|
|
|
22,646
|
|
|
1.82
|
|
|
965,969
|
|
|
18,164
|
|
|
1.88
|
|
||||||
Securities held-to-maturity
|
|
1,836,692
|
|
|
42,643
|
|
|
2.32
|
|
|
1,708,176
|
|
|
38,547
|
|
|
2.26
|
|
|
1,315,604
|
|
|
31,847
|
|
|
2.42
|
|
||||||
Net loans
|
|
17,479,932
|
|
|
715,901
|
|
|
4.10
|
|
|
15,716,010
|
|
|
663,424
|
|
|
4.22
|
|
|
13,776,250
|
|
|
603,438
|
|
|
4.38
|
|
||||||
Stock in FHLB
|
|
204,735
|
|
|
9,120
|
|
|
4.45
|
|
|
172,367
|
|
|
6,881
|
|
|
3.99
|
|
|
152,330
|
|
|
6,861
|
|
|
4.50
|
|
||||||
Total interest-earning assets
|
|
21,064,342
|
|
|
793,521
|
|
|
3.77
|
|
|
19,049,629
|
|
|
731,723
|
|
|
3.84
|
|
|
16,581,789
|
|
|
660,862
|
|
|
3.99
|
|
||||||
Non-interest-earning assets
|
|
779,138
|
|
|
|
|
|
|
770,262
|
|
|
|
|
|
|
732,469
|
|
|
|
|
|
||||||||||||
Total assets
|
|
$
|
21,843,480
|
|
|
|
|
|
|
$
|
19,819,891
|
|
|
|
|
|
|
$
|
17,314,258
|
|
|
|
|
|
|||||||||
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Savings deposits
|
|
$
|
2,096,769
|
|
|
$
|
6,304
|
|
|
0.30
|
%
|
|
$
|
2,235,703
|
|
|
$
|
6,402
|
|
|
0.29
|
%
|
|
$
|
2,241,747
|
|
|
$
|
6,638
|
|
|
0.30
|
%
|
Interest-bearing checking
|
|
3,381,909
|
|
|
16,268
|
|
|
0.48
|
|
|
2,735,513
|
|
|
9,642
|
|
|
0.35
|
|
|
2,478,047
|
|
|
8,755
|
|
|
0.35
|
|
||||||
Money market accounts
|
|
3,925,095
|
|
|
25,621
|
|
|
0.65
|
|
|
3,564,311
|
|
|
24,136
|
|
|
0.68
|
|
|
2,355,982
|
|
|
13,664
|
|
|
0.58
|
|
||||||
Certificates of deposit
|
|
3,161,843
|
|
|
33,864
|
|
|
1.07
|
|
|
2,972,611
|
|
|
31,234
|
|
|
1.05
|
|
|
3,180,032
|
|
|
30,149
|
|
|
0.95
|
|
||||||
Total interest-bearing deposits
|
|
12,565,616
|
|
|
82,057
|
|
|
0.65
|
|
|
11,508,138
|
|
|
71,414
|
|
|
0.62
|
|
|
10,255,808
|
|
|
59,206
|
|
|
0.58
|
|
||||||
Borrowed funds
|
|
3,816,087
|
|
|
71,279
|
|
|
1.87
|
|
|
3,157,311
|
|
|
65,225
|
|
|
2.07
|
|
|
2,741,609
|
|
|
59,685
|
|
|
2.18
|
|
||||||
Total interest-bearing liabilities
|
|
16,381,703
|
|
|
153,336
|
|
|
0.94
|
|
|
14,665,449
|
|
|
136,639
|
|
|
0.93
|
|
|
12,997,417
|
|
|
118,891
|
|
|
0.91
|
|
||||||
Non-interest-bearing liabilities
|
|
2,289,036
|
|
|
|
|
|
|
1,702,945
|
|
|
|
|
|
|
1,518,331
|
|
|
|
|
|
||||||||||||
Total liabilities
|
|
18,670,739
|
|
|
|
|
|
|
16,368,394
|
|
|
|
|
|
|
14,515,748
|
|
|
|
|
|
||||||||||||
Stockholders’ equity
|
|
3,172,741
|
|
|
|
|
|
|
3,451,497
|
|
|
|
|
|
|
2,798,510
|
|
|
|
|
|
||||||||||||
Total liabilities and stockholders’ equity
|
|
$
|
21,843,480
|
|
|
|
|
|
|
$
|
19,819,891
|
|
|
|
|
|
|
$
|
17,314,258
|
|
|
|
|
|
|||||||||
Net interest income
|
|
|
|
$
|
640,185
|
|
|
|
|
|
|
$
|
595,084
|
|
|
|
|
|
|
$
|
541,971
|
|
|
|
|||||||||
Net interest rate spread(1)
|
|
|
|
|
|
2.83
|
%
|
|
|
|
|
|
2.91
|
%
|
|
|
|
|
|
3.08
|
%
|
||||||||||||
Net interest-earning assets(2)
|
|
$
|
4,682,639
|
|
|
|
|
|
|
$
|
4,384,180
|
|
|
|
|
|
|
$
|
3,584,372
|
|
|
|
|
|
|||||||||
Net interest margin(3)
|
|
|
|
|
|
3.04
|
%
|
|
|
|
|
|
3.12
|
%
|
|
|
|
|
|
3.27
|
%
|
||||||||||||
Ratio of interest-earning assets to total interest-bearing liabilities
|
|
1.29
|
|
|
|
|
|
|
1.30
|
|
|
|
|
|
|
1.28
|
|
|
|
|
|
(1)
|
Net interest rate spread represents the difference between the yield on average interest-earning assets and the cost of average interest-bearing liabilities.
|
(2)
|
Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.
|
(3)
|
Net interest margin represents net interest income divided by average total interest-earning assets.
|
|
|
Years Ended December 31,
2016 vs. 2015
|
|
Years Ended December 31,
2015 vs. 2014
|
||||||||||||||||
|
|
Increase (Decrease)
Due to
|
|
Net
Increase
(Decrease)
|
|
Increase (Decrease)
Due to
|
|
Net
Increase
(Decrease)
|
||||||||||||
|
|
Volume
|
|
Rate
|
|
|
Volume
|
|
Rate
|
|
||||||||||
|
|
(In thousands)
|
||||||||||||||||||
Interest-earning assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing deposits
|
|
$
|
(86
|
)
|
|
203
|
|
|
117
|
|
|
$
|
(203
|
)
|
|
(124
|
)
|
|
(327
|
)
|
Securities available-for-sale
|
|
2,772
|
|
|
97
|
|
|
2,869
|
|
|
5,112
|
|
|
(630
|
)
|
|
4,482
|
|
||
Securities held-to-maturity
|
|
3,103
|
|
|
993
|
|
|
4,096
|
|
|
8,367
|
|
|
(1,667
|
)
|
|
6,700
|
|
||
Net loans
|
|
77,752
|
|
|
(25,275
|
)
|
|
52,477
|
|
|
87,885
|
|
|
(27,899
|
)
|
|
59,986
|
|
||
Stock in FHLB
|
|
1,387
|
|
|
852
|
|
|
2,239
|
|
|
847
|
|
|
(827
|
)
|
|
20
|
|
||
Total interest-earning assets
|
|
84,928
|
|
|
(23,130
|
)
|
|
61,798
|
|
|
102,008
|
|
|
(31,147
|
)
|
|
70,861
|
|
||
Interest-bearing liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Savings deposits
|
|
(351
|
)
|
|
253
|
|
|
(98
|
)
|
|
(45
|
)
|
|
(191
|
)
|
|
(236
|
)
|
||
Interest-bearing checking
|
|
2,576
|
|
|
4,050
|
|
|
6,626
|
|
|
908
|
|
|
(21
|
)
|
|
887
|
|
||
Money market accounts
|
|
2,524
|
|
|
(1,039
|
)
|
|
1,485
|
|
|
8,229
|
|
|
2,243
|
|
|
10,472
|
|
||
Certificates of deposit
|
|
2,024
|
|
|
606
|
|
|
2,630
|
|
|
(2,047
|
)
|
|
3,132
|
|
|
1,085
|
|
||
Total deposits
|
|
6,773
|
|
|
3,870
|
|
|
10,643
|
|
|
7,045
|
|
|
5,163
|
|
|
12,208
|
|
||
Borrowed funds
|
|
12,607
|
|
|
(6,553
|
)
|
|
6,054
|
|
|
8,668
|
|
|
(3,128
|
)
|
|
5,540
|
|
||
Total interest-bearing liabilities
|
|
19,380
|
|
|
(2,683
|
)
|
|
16,697
|
|
|
15,713
|
|
|
2,035
|
|
|
17,748
|
|
||
Increase in net interest income
|
|
$
|
65,548
|
|
|
(20,447
|
)
|
|
45,101
|
|
|
$
|
86,295
|
|
|
(33,182
|
)
|
|
53,113
|
|
|
|
EVE (1) (2)
|
|
Net Interest Income (3)
|
|||||||||||||||||
Change in
Interest Rates
(basis points)
|
|
Estimated
EVE
|
|
Estimated Increase (Decrease)
|
|
Estimated Net
Interest
Income
|
|
Estimated Increase (Decrease)
|
|||||||||||||
Amount
|
|
Percent
|
|
Amount
|
|
Percent
|
|||||||||||||||
|
|
(Dollars in thousands)
|
|||||||||||||||||||
+ 200bp
|
|
$
|
4,240,906
|
|
|
|
(550,731
|
)
|
|
(11.5
|
)%
|
|
$
|
615,745
|
|
|
(40,933
|
)
|
|
(6.2
|
)%
|
0bp
|
|
$
|
4,791,637
|
|
|
|
—
|
|
|
—
|
|
|
$
|
656,677
|
|
|
—
|
|
|
—
|
|
-100bp
|
|
$
|
4,743,206
|
|
|
|
(48,431
|
)
|
|
(1.0
|
)%
|
|
$
|
658,461
|
|
|
1,784
|
|
|
0.3
|
%
|
(1)
|
Assumes an instantaneous and parallel shift in interest rates at all maturities.
|
(2)
|
EVE is the net present value of expected cash flows from assets, liabilities and off-balance sheet contracts.
|
(3)
|
Assumes a gradual change in interest rates over a one year period at all maturities.
|
|
|
Payments Due by Period
|
||||||||||||||||||
Contractual Obligations
|
|
Less than
One Year
|
|
One to
Three Years
|
|
Three to
Five Years
|
|
More than
Five Years
|
|
Total
|
||||||||||
|
|
(In thousands)
|
||||||||||||||||||
Other borrowed funds
|
|
$
|
960,000
|
|
|
$
|
1,350,567
|
|
|
$
|
1,375,000
|
|
|
$
|
705,853
|
|
|
$
|
4,391,420
|
|
Repurchase agreements
|
|
23,629
|
|
|
131,202
|
|
|
—
|
|
|
—
|
|
|
154,831
|
|
|||||
Operating leases
|
|
23,004
|
|
|
66,891
|
|
|
53,484
|
|
|
94,649
|
|
|
238,028
|
|
|||||
Total
|
|
$
|
1,006,633
|
|
|
$
|
1,548,660
|
|
|
$
|
1,428,484
|
|
|
$
|
800,502
|
|
|
$
|
4,784,279
|
|
ITEM 7A.
|
QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK
|
ITEM 8.
|
FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
|
ITEM 9.
|
CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
|
ITEM 9A.
|
CONTROLS AND PROCEDURES
|
ITEM 9B.
|
OTHER INFORMATION
|
ITEM 10.
|
DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE
|
ITEM 11.
|
EXECUTIVE COMPENSATION
|
ITEM 12.
|
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS
|
ITEM 13.
|
CERTAIN RELATIONSHIPS, RELATED TRANSACTIONS AND DIRECTOR INDEPENDENCE
|
ITEM 14.
|
PRINCIPAL ACCOUNTANT FEES AND SERVICES
|
ITEM 15.
|
EXHIBITS AND FINANCIAL STATEMENT SCHEDULES
|
|
December 31,
2016 |
|
December 31,
2015 |
|||
|
(In thousands except share data)
|
|||||
ASSETS
|
|
|
|
|||
Cash and cash equivalents
|
$
|
164,178
|
|
|
148,904
|
|
Securities available-for-sale, at estimated fair value
|
1,660,433
|
|
|
1,304,697
|
|
|
Securities held-to-maturity, net (estimated fair value of $1,782,801 and $1,888,686 at December 31, 2016 and 2015, respectively)
|
1,755,556
|
|
|
1,844,223
|
|
|
Loans receivable, net
|
18,569,855
|
|
|
16,661,133
|
|
|
Loans held-for-sale
|
38,298
|
|
|
7,431
|
|
|
Federal Home Loan Bank stock
|
237,878
|
|
|
178,437
|
|
|
Accrued interest receivable
|
65,969
|
|
|
58,563
|
|
|
Other real estate owned
|
4,492
|
|
|
6,283
|
|
|
Office properties and equipment, net
|
177,417
|
|
|
172,519
|
|
|
Net deferred tax asset
|
222,277
|
|
|
237,367
|
|
|
Bank owned life insurance
|
161,940
|
|
|
159,152
|
|
|
Goodwill and intangible assets
|
101,839
|
|
|
105,311
|
|
|
Other assets
|
14,543
|
|
|
4,664
|
|
|
Total assets
|
$
|
23,174,675
|
|
|
20,888,684
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
|||
Liabilities:
|
|
|
|
|||
Deposits
|
$
|
15,280,833
|
|
|
14,063,656
|
|
Borrowed funds
|
4,546,251
|
|
|
3,263,090
|
|
|
Advance payments by borrowers for taxes and insurance
|
105,851
|
|
|
108,721
|
|
|
Other liabilities
|
118,495
|
|
|
141,570
|
|
|
Total liabilities
|
20,051,430
|
|
|
17,577,037
|
|
|
Commitments and contingencies
|
|
|
|
|||
Stockholders’ equity:
|
|
|
|
|||
Preferred stock, $0.01 par value, 100,000,000 authorized shares; none issued
|
—
|
|
|
—
|
|
|
Common stock, $0.01 par value, 1,000,000,000 shares authorized; 359,070,852 issued at December 31, 2016 and 2015; 309,449,388 and 334,894,181 outstanding at December 31, 2016 and 2015, respectively
|
3,591
|
|
|
3,591
|
|
|
Additional paid-in capital
|
2,765,732
|
|
|
2,785,503
|
|
|
Retained earnings
|
1,053,750
|
|
|
936,040
|
|
|
Treasury stock, at cost; 49,621,464 and 24,176,671 shares at December 31, 2016 and 2015, respectively
|
(587,974
|
)
|
|
(295,412
|
)
|
|
Unallocated common stock held by the employee stock ownership plan
|
(87,254
|
)
|
|
(90,250
|
)
|
|
Accumulated other comprehensive loss
|
(24,600
|
)
|
|
(27,825
|
)
|
|
Total stockholders’ equity
|
3,123,245
|
|
|
3,311,647
|
|
|
Total liabilities and stockholders’ equity
|
$
|
23,174,675
|
|
|
20,888,684
|
|
|
For the Years Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(Dollars in thousands, except per share data)
|
||||||||
Interest and dividend income:
|
|
|
|
|
|
||||
Loans receivable and loans held-for-sale
|
$
|
715,901
|
|
|
663,424
|
|
|
603,438
|
|
Securities:
|
|
|
|
|
|
||||
Equity
|
198
|
|
|
123
|
|
|
115
|
|
|
Government-sponsored enterprise obligations
|
36
|
|
|
45
|
|
|
46
|
|
|
Mortgage-backed securities
|
60,211
|
|
|
55,096
|
|
|
44,183
|
|
|
Municipal bonds and other debt
|
7,713
|
|
|
5,929
|
|
|
5,667
|
|
|
Interest-bearing deposits
|
342
|
|
|
225
|
|
|
552
|
|
|
Federal Home Loan Bank stock
|
9,120
|
|
|
6,881
|
|
|
6,861
|
|
|
Total interest and dividend income
|
793,521
|
|
|
731,723
|
|
|
660,862
|
|
|
Interest expense:
|
|
|
|
|
|
||||
Deposits
|
82,057
|
|
|
71,414
|
|
|
59,206
|
|
|
Borrowed Funds
|
71,279
|
|
|
65,225
|
|
|
59,685
|
|
|
Total interest expense
|
153,336
|
|
|
136,639
|
|
|
118,891
|
|
|
Net interest income
|
640,185
|
|
|
595,084
|
|
|
541,971
|
|
|
Provision for loan losses
|
19,750
|
|
|
26,000
|
|
|
37,500
|
|
|
Net interest income after provision for loan losses
|
620,435
|
|
|
569,084
|
|
|
504,471
|
|
|
Non-interest income
|
|
|
|
|
|
||||
Fees and service charges
|
17,148
|
|
|
17,119
|
|
|
19,399
|
|
|
Income on bank owned life insurance
|
4,423
|
|
|
3,948
|
|
|
4,652
|
|
|
Gain on loans, net
|
4,787
|
|
|
7,786
|
|
|
5,257
|
|
|
Gain on securities transactions, net
|
3,100
|
|
|
1,036
|
|
|
1,546
|
|
|
Gain on sale of other real estate owned, net
|
96
|
|
|
1,631
|
|
|
809
|
|
|
Other income
|
7,647
|
|
|
8,605
|
|
|
10,198
|
|
|
Total non-interest income
|
37,201
|
|
|
40,125
|
|
|
41,861
|
|
|
Non-interest expense
|
|
|
|
|
|
||||
Compensation and fringe benefits
|
206,698
|
|
|
186,320
|
|
|
172,068
|
|
|
Advertising and promotional expense
|
8,644
|
|
|
10,988
|
|
|
12,238
|
|
|
Office occupancy and equipment expense
|
56,220
|
|
|
50,865
|
|
|
49,668
|
|
|
Federal deposit insurance premiums
|
12,183
|
|
|
9,050
|
|
|
14,390
|
|
|
General and administrative
|
3,131
|
|
|
4,372
|
|
|
4,238
|
|
|
Professional fees
|
20,104
|
|
|
16,104
|
|
|
14,672
|
|
|
Data processing and communication
|
21,043
|
|
|
22,366
|
|
|
25,333
|
|
|
Contribution to charitable foundation
|
—
|
|
|
—
|
|
|
20,000
|
|
|
Other operating expenses
|
30,541
|
|
|
28,267
|
|
|
27,253
|
|
|
Total non-interest expenses
|
358,564
|
|
|
328,332
|
|
|
339,860
|
|
|
Income before income tax expense
|
299,072
|
|
|
280,877
|
|
|
206,472
|
|
|
Income tax expense
|
106,947
|
|
|
99,372
|
|
|
74,751
|
|
|
Net income
|
$
|
192,125
|
|
|
181,505
|
|
|
131,721
|
|
Basic earnings per share
|
$
|
0.65
|
|
|
0.55
|
|
|
0.38
|
|
Diluted earnings per share
|
$
|
0.64
|
|
|
0.55
|
|
|
0.38
|
|
Weighted average shares outstanding
|
|
|
|
|
|
||||
Basic
|
297,580,834
|
|
|
329,763,527
|
|
|
344,389,259
|
|
|
Diluted
|
300,954,885
|
|
|
332,933,448
|
|
|
347,731,571
|
|
|
For the Years Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(In thousands)
|
||||||||
Net income
|
$
|
192,125
|
|
|
181,505
|
|
|
131,721
|
|
Other comprehensive income (loss), net of tax:
|
|
|
|
|
|
||||
Change in funded status of retirement obligations
|
7,471
|
|
|
(1,455
|
)
|
|
(5,042
|
)
|
|
Unrealized (loss) gain on securities available-for-sale
|
(12,284
|
)
|
|
(4,933
|
)
|
|
5,952
|
|
|
Accretion of loss on securities reclassified to held to maturity
|
1,092
|
|
|
1,448
|
|
|
1,726
|
|
|
Reclassification adjustment for security gains included in net income
|
(1,358
|
)
|
|
(1,547
|
)
|
|
(138
|
)
|
|
Other-than-temporary impairment accretion on debt securities
|
880
|
|
|
1,066
|
|
|
794
|
|
|
Net gains on derivatives arising during the period
|
7,424
|
|
|
—
|
|
|
—
|
|
|
Total other comprehensive income (loss)
|
3,225
|
|
|
(5,421
|
)
|
|
3,292
|
|
|
Total comprehensive income
|
$
|
195,350
|
|
|
176,084
|
|
|
135,013
|
|
|
Common
stock
|
|
Additional
paid-in
capital
|
|
Retained
earnings
|
|
Treasury
stock
|
|
Unallocated
Common Stock
Held by ESOP
|
|
Accumulated
other
comprehensive
loss
|
|
Total
stockholders’
equity
|
||||||||
|
(In thousands except share data)
|
||||||||||||||||||||
Balance at December 31, 2013
|
$
|
1,519
|
|
|
720,766
|
|
|
734,563
|
|
|
(67,046
|
)
|
|
(29,779
|
)
|
|
(25,696
|
)
|
|
1,334,327
|
|
Net income
|
—
|
|
|
—
|
|
|
131,721
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
131,721
|
|
|
Other comprehensive income, net of tax
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,292
|
|
|
3,292
|
|
|
Corporate Reorganization
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Conversion of Investors Bancorp, MHC (213,963,274 shares)
|
2,140
|
|
|
2,091,579
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,093,719
|
|
|
Purchase by ESOP (6,617,421 shares)
|
66
|
|
|
66,108
|
|
|
—
|
|
|
—
|
|
|
(66,174
|
)
|
|
—
|
|
|
—
|
|
|
Treasury stock retired (14,293,439 shares)
|
(143
|
)
|
|
(64,126
|
)
|
|
—
|
|
|
64,269
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Contribution of MHC
|
—
|
|
|
—
|
|
|
12,652
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
12,652
|
|
|
Equity from Gateway acquisition
|
—
|
|
|
22,000
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
22,000
|
|
|
Purchase of treasury stock (1,295,193 shares)
|
—
|
|
|
—
|
|
|
—
|
|
|
(13,523
|
)
|
|
—
|
|
|
—
|
|
|
(13,523
|
)
|
|
Treasury stock allocated to restricted stock plan
|
—
|
|
|
(390
|
)
|
|
258
|
|
|
132
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Compensation cost for stock options and restricted stock
|
—
|
|
|
13,701
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
13,701
|
|
|
Net tax benefit from stock-based compensation
|
—
|
|
|
3,710
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
3,710
|
|
|
Option Exercise
|
9
|
|
|
8,764
|
|
|
—
|
|
|
5,037
|
|
|
—
|
|
|
—
|
|
|
13,810
|
|
|
Cash dividend paid ($0.12 per common share)
|
—
|
|
|
—
|
|
|
(42,555
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(42,555
|
)
|
|
ESOP shares allocated or committed to be released
|
—
|
|
|
2,294
|
|
|
—
|
|
|
—
|
|
|
2,707
|
|
|
—
|
|
|
5,001
|
|
|
Balance at December 31, 2014
|
3,591
|
|
|
2,864,406
|
|
|
836,639
|
|
|
(11,131
|
)
|
|
(93,246
|
)
|
|
(22,404
|
)
|
|
3,577,855
|
|
|
Net income
|
—
|
|
|
—
|
|
|
181,505
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
181,505
|
|
|
Other comprehensive loss, net of tax
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(5,421
|
)
|
|
(5,421
|
)
|
|
Purchase of treasury stock (31,576,421 shares)
|
—
|
|
|
—
|
|
|
—
|
|
|
(382,922
|
)
|
|
—
|
|
|
—
|
|
|
(382,922
|
)
|
|
Treasury stock allocated to restricted stock plan (6,849,832 shares)
|
—
|
|
|
(85,897
|
)
|
|
5,472
|
|
|
80,425
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Compensation cost for stock options and restricted stock
|
—
|
|
|
9,220
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
9,220
|
|
|
Net tax benefit from stock-based compensation
|
—
|
|
|
2,985
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,985
|
|
|
Option exercise
|
—
|
|
|
(9,045
|
)
|
|
—
|
|
|
19,164
|
|
|
—
|
|
|
—
|
|
|
10,119
|
|
|
Common stock repurchased for restricted stock plan (90,000 shares)
|
—
|
|
|
1,129
|
|
|
(181
|
)
|
|
(948
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
|
For the Years Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(In thousands)
|
||||||||
Cash flows from operating activities:
|
|
|
|
|
|
||||
Net income
|
$
|
192,125
|
|
|
181,505
|
|
|
131,721
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
||||
Contribution of stock to charitable foundation
|
—
|
|
|
—
|
|
|
10,000
|
|
|
ESOP and stock-based compensation expense
|
27,632
|
|
|
14,921
|
|
|
18,702
|
|
|
Amortization of premiums and accretion of discounts on securities, net
|
13,702
|
|
|
13,943
|
|
|
10,173
|
|
|
Amortization of premiums and accretion of fees and costs on loans, net
|
(4,508
|
)
|
|
(10,122
|
)
|
|
(1,794
|
)
|
|
Amortization of intangible assets
|
2,881
|
|
|
3,350
|
|
|
3,806
|
|
|
Provision for loan losses
|
19,750
|
|
|
26,000
|
|
|
37,500
|
|
|
Depreciation and amortization of office properties and equipment
|
16,190
|
|
|
13,930
|
|
|
13,151
|
|
|
Gain on securities transactions, net
|
(3,100
|
)
|
|
(1,036
|
)
|
|
(1,546
|
)
|
|
Mortgage loans originated for sale
|
(245,792
|
)
|
|
(238,608
|
)
|
|
(150,099
|
)
|
|
Proceeds from mortgage loan sales
|
219,078
|
|
|
590,636
|
|
|
186,747
|
|
|
Gain on sales of mortgage loans, net
|
(4,154
|
)
|
|
(5,258
|
)
|
|
(2,832
|
)
|
|
Gain on sale of other real estate owned
|
(96
|
)
|
|
(1,631
|
)
|
|
(809
|
)
|
|
Gain on bargain purchase of acquisitions
|
—
|
|
|
—
|
|
|
(1,482
|
)
|
|
Income on bank owned life insurance
|
(4,423
|
)
|
|
(3,948
|
)
|
|
(4,652
|
)
|
|
Increase in accrued interest receivable
|
(7,406
|
)
|
|
(3,296
|
)
|
|
(7,100
|
)
|
|
Deferred tax expense (benefit)
|
11,640
|
|
|
(3,180
|
)
|
|
(9,786
|
)
|
|
Decrease in other assets
|
3,479
|
|
|
4,245
|
|
|
4,425
|
|
|
Net tax benefit from stock-based compensation
|
10,414
|
|
|
—
|
|
|
—
|
|
|
(Decrease) increase in other liabilities
|
(20,276
|
)
|
|
(48,317
|
)
|
|
41,263
|
|
|
Total adjustments
|
35,011
|
|
|
351,629
|
|
|
145,667
|
|
|
Net cash provided by operating activities
|
227,136
|
|
|
533,134
|
|
|
277,388
|
|
|
Cash flows from investing activities:
|
|
|
|
|
|
||||
Purchases of loans receivable
|
(141,562
|
)
|
|
(198,623
|
)
|
|
(233,856
|
)
|
|
Net originations of loans receivable
|
(1,795,505
|
)
|
|
(1,990,008
|
)
|
|
(1,650,629
|
)
|
|
Proceeds from sale of loans held for investment
|
10,398
|
|
|
49,938
|
|
|
2,425
|
|
|
Gain on disposition of loans held for investment
|
(646
|
)
|
|
(2,528
|
)
|
|
(2,425
|
)
|
|
Net proceeds from sale of foreclosed real estate
|
5,021
|
|
|
7,104
|
|
|
7,614
|
|
|
Proceeds from principal repayments/calls/maturities of securities available for sale
|
302,769
|
|
|
252,683
|
|
|
174,255
|
|
|
Proceeds from sales of securities available for sale
|
57,879
|
|
|
—
|
|
|
51,093
|
|
|
Proceeds from principal repayments/calls/maturities of securities held to maturity
|
368,543
|
|
|
300,549
|
|
|
183,482
|
|
|
Proceeds from sales of securities held to maturity
|
14,348
|
|
|
—
|
|
|
19,177
|
|
|
Purchases of securities available for sale
|
(744,380
|
)
|
|
(375,605
|
)
|
|
(587,952
|
)
|
|
Purchases of securities held to maturity
|
(295,157
|
)
|
|
(582,337
|
)
|
|
(930,256
|
)
|
Proceeds from redemptions of Federal Home Loan Bank stock
|
215,142
|
|
|
157,342
|
|
|
143,707
|
|
|
Purchases of Federal Home Loan Bank stock
|
(274,583
|
)
|
|
(184,492
|
)
|
|
(116,403
|
)
|
|
Purchases of office properties and equipment
|
(21,088
|
)
|
|
(25,550
|
)
|
|
(31,655
|
)
|
|
Death benefit proceeds from bank owned life insurance
|
875
|
|
|
6,405
|
|
|
5,455
|
|
|
Cash received from MHC for merger
|
—
|
|
|
—
|
|
|
11,307
|
|
|
Cash received, net of cash consideration paid for acquisitions
|
—
|
|
|
—
|
|
|
17,917
|
|
|
Net cash used in investing activities
|
(2,297,946
|
)
|
|
(2,585,122
|
)
|
|
(2,936,744
|
)
|
|
Cash flows from financing activities:
|
|
|
|
|
|
||||
Net increase in deposits
|
1,217,177
|
|
|
1,891,330
|
|
|
1,198,843
|
|
|
Net proceeds from sale of common stock
|
—
|
|
|
—
|
|
|
2,149,893
|
|
|
Loan to ESOP for purchase of common stock
|
—
|
|
|
—
|
|
|
(66,174
|
)
|
|
Repayments of funds borrowed under other repurchase agreements
|
—
|
|
|
(10,000
|
)
|
|
(98,205
|
)
|
|
Net increase (decrease) in other borrowings
|
1,283,161
|
|
|
506,986
|
|
|
(508,150
|
)
|
|
Net (decrease) increase in advance payments by borrowers for taxes and insurance
|
(2,870
|
)
|
|
38,828
|
|
|
1,979
|
|
|
Dividends paid
|
(82,291
|
)
|
|
(87,395
|
)
|
|
(42,555
|
)
|
|
Exercise of stock options
|
34,317
|
|
|
10,119
|
|
|
13,810
|
|
|
Purchase of treasury stock
|
(363,410
|
)
|
|
(382,922
|
)
|
|
(13,523
|
)
|
|
Net tax benefit from stock-based compensation
|
—
|
|
|
2,985
|
|
|
3,710
|
|
|
Net cash provided by financing activities
|
2,086,084
|
|
|
1,969,931
|
|
|
2,639,628
|
|
|
Net increase (decrease) in cash and cash equivalents
|
15,274
|
|
|
(82,057
|
)
|
|
(19,728
|
)
|
|
Cash and cash equivalents at beginning of period
|
148,904
|
|
|
230,961
|
|
|
250,689
|
|
|
Cash and cash equivalents at end of period
|
$
|
164,178
|
|
|
148,904
|
|
|
230,961
|
|
Supplemental cash flow information:
|
|
|
|
|
|
||||
Non-cash investing activities:
|
|
|
|
|
|
||||
Real estate acquired through foreclosure
|
3,351
|
|
|
4,448
|
|
|
6,404
|
|
|
Transfer of loans to loans held for sale
|
—
|
|
|
347,955
|
|
|
32,411
|
|
|
Cash paid during the year for:
|
|
|
|
|
|
||||
Interest
|
152,807
|
|
|
135,930
|
|
|
118,140
|
|
|
Income taxes
|
117,127
|
|
|
88,169
|
|
|
85,796
|
|
|
Acquisitions:
|
|
|
|
|
|
||||
Non-cash assets acquired:
|
|
|
|
|
|
||||
Investment securities available for sale
|
$
|
—
|
|
|
—
|
|
|
50,347
|
|
Loans
|
—
|
|
|
—
|
|
|
195,062
|
|
|
Goodwill and other intangible assets, net
|
—
|
|
|
—
|
|
|
1,853
|
|
|
Other assets
|
—
|
|
|
—
|
|
|
21,343
|
|
|
Total non-cash assets acquired
|
—
|
|
|
—
|
|
|
268,605
|
|
|
Liabilities assumed:
|
|
|
|
|
|
||||
Deposits
|
—
|
|
|
—
|
|
|
254,672
|
|
|
Borrowings
|
—
|
|
|
—
|
|
|
5,185
|
|
|
Other liabilities
|
—
|
|
|
—
|
|
|
3,184
|
|
|
Total liabilities assumed
|
—
|
|
|
—
|
|
|
263,041
|
|
|
Net non-cash assets acquired
|
—
|
|
|
—
|
|
|
5,564
|
|
|
Common stock issued for acquisitions
|
—
|
|
|
—
|
|
|
—
|
|
(a)
|
Basis of Presentation
|
(b)
|
Cash Equivalents
|
(c)
|
Securities
|
(d)
|
Loans Receivable, Net
|
(e)
|
Loans Held-for-Sale
|
(f)
|
Stock in the Federal Home Loan Bank
|
(g)
|
Office Properties and Equipment, Net
|
(h)
|
Bank Owned Life Insurance
|
(i)
|
Intangible Assets
|
(j)
|
Other Real Estate Owned
|
(k)
|
Borrowed Funds
|
(l)
|
Income Taxes
|
(m)
|
Employee Benefits
|
(n)
|
Earnings Per Share
|
(o)
|
Derivative Financial Instruments
|
|
At December 31, 2016
|
|||||||||||
|
Carrying value
|
|
Gross
unrealized
gains
|
|
Gross
unrealized
losses
|
|
Estimated
fair value
|
|||||
|
(In thousands)
|
|||||||||||
Available-for-sale:
|
|
|
|
|
|
|
|
|||||
Equity securities
|
$
|
5,825
|
|
|
918
|
|
|
83
|
|
|
6,660
|
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|||||
Federal Home Loan Mortgage Corporation
|
603,774
|
|
|
1,971
|
|
|
7,306
|
|
|
598,439
|
|
|
Federal National Mortgage Association
|
1,022,383
|
|
|
2,678
|
|
|
16,474
|
|
|
1,008,587
|
|
|
Government National Mortgage Association
|
47,538
|
|
|
—
|
|
|
791
|
|
|
46,747
|
|
|
Total mortgage-backed securities available-for-sale
|
1,673,695
|
|
|
4,649
|
|
|
24,571
|
|
|
1,653,773
|
|
|
Total available-for-sale securities
|
$
|
1,679,520
|
|
|
5,567
|
|
|
24,654
|
|
|
1,660,433
|
|
|
At December 31, 2016
|
|||||||||||||||||
|
Amortized cost
|
|
Net unrealized losses (1)
|
|
Carrying value
|
|
Gross
unrecognized
gains (2)
|
|
Gross
unrecognized
losses (2)
|
|
Estimated
fair value
|
|||||||
|
(In thousands)
|
|||||||||||||||||
Held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Government-sponsored enterprises
|
$
|
2,128
|
|
|
—
|
|
|
2,128
|
|
|
12
|
|
|
—
|
|
|
2,140
|
|
Municipal bonds
|
37,978
|
|
|
—
|
|
|
37,978
|
|
|
1,515
|
|
|
—
|
|
|
39,493
|
|
|
Corporate and other debt securities
|
65,852
|
|
|
21,760
|
|
|
44,092
|
|
|
40,153
|
|
|
—
|
|
|
84,245
|
|
|
Total debt securities held-to-maturity
|
105,958
|
|
|
21,760
|
|
|
84,198
|
|
|
41,680
|
|
|
—
|
|
|
125,878
|
|
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Federal Home Loan Mortgage Corporation
|
411,692
|
|
|
1,559
|
|
|
410,133
|
|
|
793
|
|
|
3,502
|
|
|
407,424
|
|
|
Federal National Mortgage Association
|
1,246,635
|
|
|
1,802
|
|
|
1,244,833
|
|
|
3,635
|
|
|
15,389
|
|
|
1,233,079
|
|
|
Government National Mortgage Association
|
16,392
|
|
|
—
|
|
|
16,392
|
|
|
28
|
|
|
—
|
|
|
16,420
|
|
|
Total mortgage-backed securities held-to-maturity
|
1,674,719
|
|
|
3,361
|
|
|
1,671,358
|
|
|
4,456
|
|
|
18,891
|
|
|
1,656,923
|
|
|
Total held-to-maturity securities
|
$
|
1,780,677
|
|
|
25,121
|
|
|
1,755,556
|
|
|
46,136
|
|
|
18,891
|
|
|
1,782,801
|
|
|
At December 31, 2015
|
|||||||||||
|
Carrying value
|
|
Gross
unrealized
gains
|
|
Gross
unrealized
losses
|
|
Estimated
fair value
|
|||||
|
(In thousands)
|
|||||||||||
Available-for-sale:
|
|
|
|
|
|
|
|
|||||
Equity securities
|
$
|
5,778
|
|
|
733
|
|
|
16
|
|
|
6,495
|
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|||||
Federal Home Loan Mortgage Corporation
|
546,652
|
|
|
3,242
|
|
|
2,443
|
|
|
547,451
|
|
|
Federal National Mortgage Association
|
724,851
|
|
|
4,520
|
|
|
3,299
|
|
|
726,072
|
|
|
Government National Mortgage Association
|
24,841
|
|
|
1
|
|
|
163
|
|
|
24,679
|
|
|
Total mortgage-backed securities available-for-sale
|
1,296,344
|
|
|
7,763
|
|
|
5,905
|
|
|
1,298,202
|
|
|
Total available-for-sale securities
|
$
|
1,302,122
|
|
|
8,496
|
|
|
5,921
|
|
|
1,304,697
|
|
|
At December 31, 2015
|
|||||||||||||||||
|
Amortized cost
|
|
Net unrealized losses (1)
|
|
Carrying Value
|
|
Gross
unrecognized
gains (2)
|
|
Gross
unrecognized
losses (2)
|
|
Estimated
fair value
|
|||||||
|
(In thousands)
|
|||||||||||||||||
Held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Debt securities:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Government-sponsored enterprises
|
$
|
4,232
|
|
|
—
|
|
|
4,232
|
|
|
11
|
|
|
—
|
|
|
4,243
|
|
Municipal bonds
|
43,058
|
|
|
—
|
|
|
43,058
|
|
|
1,307
|
|
|
—
|
|
|
44,365
|
|
|
Corporate and other debt securities
|
58,358
|
|
|
23,245
|
|
|
35,113
|
|
|
42,704
|
|
|
—
|
|
|
77,817
|
|
|
Total debt securities held-to-maturity
|
105,648
|
|
|
23,245
|
|
|
82,403
|
|
|
44,022
|
|
|
—
|
|
|
126,425
|
|
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Federal Home Loan Mortgage Corporation
|
516,841
|
|
|
2,502
|
|
|
514,339
|
|
|
2,213
|
|
|
3,082
|
|
|
513,470
|
|
|
Federal National Mortgage Association
|
1,228,845
|
|
|
2,705
|
|
|
1,226,140
|
|
|
7,305
|
|
|
6,120
|
|
|
1,227,325
|
|
|
Government National Mortgage Association
|
21,330
|
|
|
—
|
|
|
21,330
|
|
|
125
|
|
|
—
|
|
|
21,455
|
|
|
Federal housing authorities
|
11
|
|
|
—
|
|
|
11
|
|
|
—
|
|
|
—
|
|
|
11
|
|
|
Total mortgage-backed securities held-to-maturity
|
1,767,027
|
|
|
5,207
|
|
|
1,761,820
|
|
|
9,643
|
|
|
9,202
|
|
|
1,762,261
|
|
|
Total held-to-maturity securities
|
$
|
1,872,675
|
|
|
28,452
|
|
|
1,844,223
|
|
|
53,665
|
|
|
9,202
|
|
|
1,888,686
|
|
|
December 31, 2016
|
|||||
|
Carrying Value
|
|
Estimated
fair value
|
|||
|
(In thousands)
|
|||||
Due in one year or less
|
$
|
33,348
|
|
|
33,348
|
|
Due after one year through five years
|
2,203
|
|
|
2,215
|
|
|
Due after five years through ten years
|
5,000
|
|
|
5,003
|
|
|
Due after ten years
|
43,647
|
|
|
85,312
|
|
|
Total
|
$
|
84,198
|
|
|
125,878
|
|
|
December 31, 2016
|
|||||||||||||||||
|
Less than 12 months
|
|
12 months or more
|
|
Total
|
|||||||||||||
|
Estimated
fair value
|
|
Unrealized
losses
|
|
Estimated
fair value
|
|
Unrealized
losses
|
|
Estimated
fair value
|
|
Unrealized
losses
|
|||||||
|
(In thousands)
|
|||||||||||||||||
Available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity Securities
|
$
|
4,722
|
|
|
83
|
|
|
—
|
|
|
—
|
|
|
4,722
|
|
|
83
|
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Federal Home Loan Mortgage Corporation
|
406,878
|
|
|
7,220
|
|
|
12,756
|
|
|
86
|
|
|
419,634
|
|
|
7,306
|
|
|
Federal National Mortgage Association
|
762,272
|
|
|
15,977
|
|
|
25,089
|
|
|
497
|
|
|
787,361
|
|
|
16,474
|
|
|
Government National Mortgage Association
|
46,747
|
|
|
791
|
|
|
—
|
|
|
—
|
|
|
46,747
|
|
|
791
|
|
|
Total mortgage-backed securities available-for-sale
|
1,215,897
|
|
|
23,988
|
|
|
37,845
|
|
|
583
|
|
|
1,253,742
|
|
|
24,571
|
|
|
Total available-for-sale securities
|
1,220,619
|
|
|
24,071
|
|
|
37,845
|
|
|
583
|
|
|
1,258,464
|
|
|
24,654
|
|
|
Held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Federal Home Loan Mortgage Corporation
|
339,666
|
|
|
3,354
|
|
|
3,623
|
|
|
148
|
|
|
343,289
|
|
|
3,502
|
|
|
Federal National Mortgage Association
|
970,194
|
|
|
15,389
|
|
|
—
|
|
|
—
|
|
|
970,194
|
|
|
15,389
|
|
|
Total held-to-maturity securities
|
$
|
1,309,860
|
|
|
18,743
|
|
|
3,623
|
|
|
148
|
|
|
1,313,483
|
|
|
18,891
|
|
Total
|
$
|
2,530,479
|
|
|
42,814
|
|
|
41,468
|
|
|
731
|
|
|
2,571,947
|
|
|
43,545
|
|
|
December 31, 2015
|
|||||||||||||||||
|
Less than 12 months
|
|
12 months or more
|
|
Total
|
|||||||||||||
|
Estimated
fair value
|
|
Unrealized
losses
|
|
Estimated
fair value
|
|
Unrealized
losses
|
|
Estimated
fair value
|
|
Unrealized
losses
|
|||||||
|
(In thousands)
|
|||||||||||||||||
Available-for-sale:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Equity Securities
|
$
|
4,692
|
|
|
16
|
|
|
—
|
|
|
—
|
|
|
4,692
|
|
|
16
|
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Federal Home Loan Mortgage Corporation
|
263,255
|
|
|
2,443
|
|
|
—
|
|
|
—
|
|
|
263,255
|
|
|
2,443
|
|
|
Federal National Mortgage Association
|
375,792
|
|
|
2,850
|
|
|
14,821
|
|
|
449
|
|
|
390,613
|
|
|
3,299
|
|
|
Government National Mortgage Association
|
24,874
|
|
|
163
|
|
|
—
|
|
|
—
|
|
|
24,874
|
|
|
163
|
|
|
Total mortgage-backed securities available-for-sale
|
663,921
|
|
|
5,456
|
|
|
14,821
|
|
|
449
|
|
|
678,742
|
|
|
5,905
|
|
|
Total available-for-sale securities
|
668,613
|
|
|
5,472
|
|
|
14,821
|
|
|
449
|
|
|
683,434
|
|
|
5,921
|
|
|
Held-to-maturity:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Federal Home Loan Mortgage Corporation
|
342,702
|
|
|
2,804
|
|
|
4,887
|
|
|
278
|
|
|
347,589
|
|
|
3,082
|
|
|
Federal National Mortgage Association
|
547,326
|
|
|
5,477
|
|
|
29,013
|
|
|
643
|
|
|
576,339
|
|
|
6,120
|
|
|
Total held-to-maturity securities
|
$
|
890,028
|
|
|
8,281
|
|
|
33,900
|
|
|
921
|
|
|
923,928
|
|
|
9,202
|
|
Total
|
$
|
1,558,641
|
|
|
13,753
|
|
|
48,721
|
|
|
1,370
|
|
|
1,607,362
|
|
|
15,123
|
|
|
For the Years Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(In thousands)
|
||||||||
Balance of credit related OTTI, beginning of period
|
$
|
100,200
|
|
|
108,817
|
|
|
112,235
|
|
Additions:
|
|
|
|
|
|
||||
Initial credit impairments
|
—
|
|
|
—
|
|
|
—
|
|
|
Subsequent credit impairments
|
—
|
|
|
—
|
|
|
—
|
|
|
Reductions:
|
|
|
|
|
|
||||
Accretion of credit loss impairment due to an increase in expected cash flows
|
(4,457
|
)
|
|
(3,804
|
)
|
|
(3,418
|
)
|
|
Reduction for securities sold or paid off during the period
|
—
|
|
|
(4,813
|
)
|
|
—
|
|
|
Balance of credit related OTTI, end of period
|
$
|
95,743
|
|
|
100,200
|
|
|
108,817
|
|
|
December 31,
2016 |
|
December 31,
2015 |
|||
|
(In thousands)
|
|||||
Multi-family loans
|
$
|
7,459,131
|
|
|
6,255,904
|
|
Commercial real estate loans
|
4,445,194
|
|
|
3,821,950
|
|
|
Commercial and industrial loans
|
1,275,283
|
|
|
1,044,329
|
|
|
Construction loans
|
314,843
|
|
|
224,057
|
|
|
Total commercial loans
|
13,494,451
|
|
|
11,346,240
|
|
|
Residential mortgage loans
|
4,710,373
|
|
|
5,037,898
|
|
|
Consumer and other loans
|
596,922
|
|
|
496,103
|
|
|
Total loans excluding PCI loans
|
18,801,746
|
|
|
16,880,241
|
|
|
PCI loans
|
8,956
|
|
|
11,089
|
|
|
Net unamortized premiums and deferred loan costs (1)
|
(12,474
|
)
|
|
(11,692
|
)
|
|
Allowance for loan losses
|
(228,373
|
)
|
|
(218,505
|
)
|
|
Net loans
|
$
|
18,569,855
|
|
|
16,661,133
|
|
|
Years Ended December 31,
|
|||||
|
2016
|
|
2015
|
|||
|
(In thousands)
|
|||||
Balance, beginning of period
|
$
|
449
|
|
|
971
|
|
Acquisitions
|
—
|
|
|
—
|
|
|
Accretion
|
(219
|
)
|
|
(522
|
)
|
|
Net reclassification from non-accretable difference (1)
|
1,221
|
|
|
—
|
|
|
Balance, end of period
|
$
|
1,451
|
|
|
449
|
|
|
Years Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(In thousands)
|
||||||||
Balance at beginning of the period
|
$
|
218,505
|
|
|
200,284
|
|
|
173,928
|
|
Loans charged off
|
(14,997
|
)
|
|
(12,216
|
)
|
|
(18,244
|
)
|
|
Recoveries
|
5,115
|
|
|
4,437
|
|
|
7,100
|
|
|
Net charge-offs
|
(9,882
|
)
|
|
(7,779
|
)
|
|
(11,144
|
)
|
|
Provision for loan losses
|
19,750
|
|
|
26,000
|
|
|
37,500
|
|
|
Balance at end of the period
|
$
|
228,373
|
|
|
218,505
|
|
|
200,284
|
|
|
December 31, 2016
|
|||||||||||||||||||||||
|
Multi-
Family Loans
|
|
Commercial
Real Estate Loans
|
|
Commercial
and Industrial
Loans
|
|
Construction
Loans
|
|
Residential
Mortgage Loans
|
|
Consumer
and Other
Loans
|
|
Unallocated
|
|
Total
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||||||
Allowance for loan losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Beginning balance-December 31, 2015
|
$
|
88,223
|
|
|
46,999
|
|
|
40,585
|
|
|
6,794
|
|
|
31,443
|
|
|
3,155
|
|
|
1,306
|
|
|
218,505
|
|
Charge-offs
|
(161
|
)
|
|
(455
|
)
|
|
(4,485
|
)
|
|
(52
|
)
|
|
(9,425
|
)
|
|
(419
|
)
|
|
—
|
|
|
(14,997
|
)
|
|
Recoveries
|
1,885
|
|
|
689
|
|
|
541
|
|
|
267
|
|
|
1,631
|
|
|
102
|
|
|
—
|
|
|
5,115
|
|
|
Provision
|
5,614
|
|
|
5,563
|
|
|
6,851
|
|
|
4,644
|
|
|
(3,818
|
)
|
|
12
|
|
|
884
|
|
|
19,750
|
|
|
Ending balance-December 31, 2016
|
$
|
95,561
|
|
|
52,796
|
|
|
43,492
|
|
|
11,653
|
|
|
19,831
|
|
|
2,850
|
|
|
2,190
|
|
|
228,373
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Individually evaluated for impairment
|
$
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
1,581
|
|
|
20
|
|
|
—
|
|
|
1,601
|
|
Collectively evaluated for impairment
|
95,561
|
|
|
52,796
|
|
|
43,492
|
|
|
11,653
|
|
|
18,250
|
|
|
2,830
|
|
|
2,190
|
|
|
226,772
|
|
|
Loans acquired with deteriorated credit quality
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Balance at December 31, 2016
|
$
|
95,561
|
|
|
52,796
|
|
|
43,492
|
|
|
11,653
|
|
|
19,831
|
|
|
2,850
|
|
|
2,190
|
|
|
228,373
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Individually evaluated for impairment
|
$
|
248
|
|
|
5,962
|
|
|
3,370
|
|
|
—
|
|
|
24,453
|
|
|
371
|
|
|
—
|
|
|
34,404
|
|
Collectively evaluated for impairment
|
7,458,883
|
|
|
4,439,232
|
|
|
1,271,913
|
|
|
314,843
|
|
|
4,685,920
|
|
|
596,551
|
|
|
—
|
|
|
18,767,342
|
|
|
Loans acquired with deteriorated credit quality
|
—
|
|
|
7,106
|
|
|
—
|
|
|
—
|
|
|
1,507
|
|
|
343
|
|
|
—
|
|
|
8,956
|
|
|
Balance at December 31, 2016
|
$
|
7,459,131
|
|
|
4,452,300
|
|
|
1,275,283
|
|
|
314,843
|
|
|
4,711,880
|
|
|
597,265
|
|
|
—
|
|
|
18,810,702
|
|
|
December 31, 2015
|
|||||||||||||||||||||||
|
Multi-
Family Loans
|
|
Commercial
Real Estate Loans
|
|
Commercial
and Industrial
Loans
|
|
Construction
Loans
|
|
Residential
Mortgage Loans
|
|
Consumer
and Other
Loans
|
|
Unallocated
|
|
Total
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||||||
Allowance for loan losses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Beginning balance-December 31, 2014
|
$
|
71,147
|
|
|
44,030
|
|
|
20,759
|
|
|
6,488
|
|
|
47,936
|
|
|
3,347
|
|
|
6,577
|
|
|
200,284
|
|
Charge-offs
|
(284
|
)
|
|
(1,021
|
)
|
|
(516
|
)
|
|
(466
|
)
|
|
(9,526
|
)
|
|
(403
|
)
|
|
—
|
|
|
(12,216
|
)
|
|
Recoveries
|
445
|
|
|
807
|
|
|
295
|
|
|
317
|
|
|
2,295
|
|
|
278
|
|
|
—
|
|
|
4,437
|
|
|
Provision
|
16,915
|
|
|
3,183
|
|
|
20,047
|
|
|
455
|
|
|
(9,262
|
)
|
|
(67
|
)
|
|
(5,271
|
)
|
|
26,000
|
|
|
Ending balance-December 31, 2015
|
$
|
88,223
|
|
|
46,999
|
|
|
40,585
|
|
|
6,794
|
|
|
31,443
|
|
|
3,155
|
|
|
1,306
|
|
|
218,505
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Individually evaluated for impairment
|
$
|
—
|
|
|
—
|
|
|
2,409
|
|
|
—
|
|
|
1,773
|
|
|
9
|
|
|
—
|
|
|
4,191
|
|
Collectively evaluated for impairment
|
88,223
|
|
|
46,999
|
|
|
38,176
|
|
|
6,794
|
|
|
29,670
|
|
|
3,146
|
|
|
1,306
|
|
|
214,314
|
|
|
Loans acquired with deteriorated credit quality
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Balance at December 31, 2015
|
$
|
88,223
|
|
|
46,999
|
|
|
40,585
|
|
|
6,794
|
|
|
31,443
|
|
|
3,155
|
|
|
1,306
|
|
|
218,505
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Individually evaluated for impairment
|
$
|
3,219
|
|
|
18,941
|
|
|
9,395
|
|
|
2,504
|
|
|
22,539
|
|
|
389
|
|
|
—
|
|
|
56,987
|
|
Collectively evaluated for impairment
|
6,252,685
|
|
|
3,803,009
|
|
|
1,034,934
|
|
|
221,553
|
|
|
5,015,359
|
|
|
495,714
|
|
|
—
|
|
|
16,823,254
|
|
|
Loans acquired with deteriorated credit quality
|
—
|
|
|
7,149
|
|
|
56
|
|
|
1,786
|
|
|
1,645
|
|
|
453
|
|
|
—
|
|
|
11,089
|
|
|
Balance at December 31, 2015
|
$
|
6,255,904
|
|
|
3,829,099
|
|
|
1,044,385
|
|
|
225,843
|
|
|
5,039,543
|
|
|
496,556
|
|
|
—
|
|
|
16,891,330
|
|
|
December 31, 2016
|
||||||||||||||||||||
|
Pass
|
|
Watch
|
|
Special Mention
|
|
Substandard
|
|
Doubtful
|
|
Loss
|
|
Total
|
||||||||
|
(In thousands)
|
||||||||||||||||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Multi-family
|
$
|
6,961,809
|
|
|
276,858
|
|
|
165,948
|
|
|
54,516
|
|
|
—
|
|
|
—
|
|
|
7,459,131
|
|
Commercial real estate
|
3,900,988
|
|
|
373,319
|
|
|
134,154
|
|
|
36,733
|
|
|
—
|
|
|
—
|
|
|
4,445,194
|
|
|
Commercial and industrial
|
900,190
|
|
|
344,628
|
|
|
23,588
|
|
|
6,877
|
|
|
—
|
|
|
—
|
|
|
1,275,283
|
|
|
Construction
|
230,630
|
|
|
76,773
|
|
|
3,200
|
|
|
4,240
|
|
|
—
|
|
|
—
|
|
|
314,843
|
|
|
Total commercial loans
|
11,993,617
|
|
|
1,071,578
|
|
|
326,890
|
|
|
102,366
|
|
|
—
|
|
|
—
|
|
|
13,494,451
|
|
|
Residential mortgage
|
4,600,611
|
|
|
21,873
|
|
|
10,239
|
|
|
77,650
|
|
|
—
|
|
|
—
|
|
|
4,710,373
|
|
|
Consumer and other
|
583,140
|
|
|
5,627
|
|
|
719
|
|
|
7,436
|
|
|
—
|
|
|
—
|
|
|
596,922
|
|
|
Total
|
$
|
17,177,368
|
|
|
1,099,078
|
|
|
337,848
|
|
|
187,452
|
|
|
—
|
|
|
—
|
|
|
18,801,746
|
|
|
December 31, 2015
|
||||||||||||||||||||
|
Pass
|
|
Watch
|
|
Special Mention
|
|
Substandard
|
|
Doubtful
|
|
Loss
|
|
Total
|
||||||||
|
(In thousands)
|
||||||||||||||||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Multi-family
|
$
|
5,876,425
|
|
|
325,414
|
|
|
17,033
|
|
|
37,032
|
|
|
—
|
|
|
—
|
|
|
6,255,904
|
|
Commercial real estate
|
3,411,876
|
|
|
331,429
|
|
|
38,265
|
|
|
40,380
|
|
|
—
|
|
|
—
|
|
|
3,821,950
|
|
|
Commercial and industrial
|
793,527
|
|
|
223,474
|
|
|
13,782
|
|
|
13,546
|
|
|
—
|
|
|
—
|
|
|
1,044,329
|
|
|
Construction
|
207,499
|
|
|
12,833
|
|
|
—
|
|
|
3,725
|
|
|
—
|
|
|
—
|
|
|
224,057
|
|
|
Total commercial loans
|
10,289,327
|
|
|
893,150
|
|
|
69,080
|
|
|
94,683
|
|
|
—
|
|
|
—
|
|
|
11,346,240
|
|
|
Residential mortgage
|
4,930,961
|
|
|
24,584
|
|
|
13,796
|
|
|
68,557
|
|
|
—
|
|
|
—
|
|
|
5,037,898
|
|
|
Consumer and other
|
482,715
|
|
|
3,987
|
|
|
427
|
|
|
8,974
|
|
|
—
|
|
|
—
|
|
|
496,103
|
|
|
Total
|
$
|
15,703,003
|
|
|
921,721
|
|
|
83,303
|
|
|
172,214
|
|
|
—
|
|
|
—
|
|
|
16,880,241
|
|
|
December 31, 2016
|
|||||||||||||||||
|
30-59 Days
|
|
60-89 Days
|
|
Greater
than 90
Days
|
|
Total Past
Due
|
|
Current
|
|
Total
Loans
Receivable
|
|||||||
|
(In thousands)
|
|||||||||||||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Multi-family
|
$
|
5,272
|
|
|
1,099
|
|
|
234
|
|
|
6,605
|
|
|
7,452,526
|
|
|
7,459,131
|
|
Commercial real estate
|
6,568
|
|
|
31,964
|
|
|
6,445
|
|
|
44,977
|
|
|
4,400,217
|
|
|
4,445,194
|
|
|
Commercial and industrial
|
864
|
|
|
885
|
|
|
2,971
|
|
|
4,720
|
|
|
1,270,563
|
|
|
1,275,283
|
|
|
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
314,843
|
|
|
314,843
|
|
|
Total commercial loans
|
12,704
|
|
|
33,948
|
|
|
9,650
|
|
|
56,302
|
|
|
13,438,149
|
|
|
13,494,451
|
|
|
Residential mortgage
|
24,052
|
|
|
10,930
|
|
|
58,119
|
|
|
93,101
|
|
|
4,617,272
|
|
|
4,710,373
|
|
|
Consumer and other
|
5,627
|
|
|
719
|
|
|
7,065
|
|
|
13,411
|
|
|
583,511
|
|
|
596,922
|
|
|
Total
|
$
|
42,383
|
|
|
45,597
|
|
|
74,834
|
|
|
162,814
|
|
|
18,638,932
|
|
|
18,801,746
|
|
|
December 31, 2015
|
|||||||||||||||||
|
30-59 Days
|
|
60-89 Days
|
|
Greater
than 90
Days
|
|
Total Past
Due
|
|
Current
|
|
Total
Loans
Receivable
|
|||||||
|
(In thousands)
|
|||||||||||||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Multi-family
|
$
|
14,236
|
|
|
—
|
|
|
1,886
|
|
|
16,122
|
|
|
6,239,782
|
|
|
6,255,904
|
|
Commercial real estate
|
4,171
|
|
|
352
|
|
|
6,429
|
|
|
10,952
|
|
|
3,810,998
|
|
|
3,821,950
|
|
|
Commercial and industrial
|
957
|
|
|
—
|
|
|
4,386
|
|
|
5,343
|
|
|
1,038,986
|
|
|
1,044,329
|
|
|
Construction
|
—
|
|
|
—
|
|
|
792
|
|
|
792
|
|
|
223,265
|
|
|
224,057
|
|
|
Total commercial loans
|
19,364
|
|
|
352
|
|
|
13,493
|
|
|
33,209
|
|
|
11,313,031
|
|
|
11,346,240
|
|
|
Residential mortgage
|
27,092
|
|
|
14,956
|
|
|
68,560
|
|
|
110,608
|
|
|
4,927,290
|
|
|
5,037,898
|
|
|
Consumer and other
|
3,987
|
|
|
427
|
|
|
8,976
|
|
|
13,390
|
|
|
482,713
|
|
|
496,103
|
|
|
Total
|
$
|
50,443
|
|
|
15,735
|
|
|
91,029
|
|
|
157,207
|
|
|
16,723,034
|
|
|
16,880,241
|
|
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||
|
# of loans
|
|
amount
|
|
# of loans
|
|
amount
|
||||||
|
(Dollars in thousands)
|
||||||||||||
Non-accrual:
|
|
||||||||||||
Multi-family
|
2
|
|
|
$
|
482
|
|
|
4
|
|
|
$
|
3,467
|
|
Commercial real estate
|
24
|
|
|
9,205
|
|
|
37
|
|
|
10,820
|
|
||
Commercial and industrial
|
8
|
|
|
4,659
|
|
|
17
|
|
|
9,225
|
|
||
Construction
|
—
|
|
|
—
|
|
|
4
|
|
|
792
|
|
||
Total commercial loans
|
34
|
|
|
14,346
|
|
|
62
|
|
|
24,304
|
|
||
Residential and consumer
|
478
|
|
|
79,928
|
|
|
500
|
|
|
91,122
|
|
||
Total non-accrual loans
|
512
|
|
|
$
|
94,274
|
|
|
562
|
|
|
$
|
115,426
|
|
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||
|
# of loans
|
|
Amount
|
|
# of loans
|
|
Amount
|
||||||
|
(Dollars in thousands)
|
||||||||||||
Current TDR classified as non-accrual:
|
|
|
|
|
|
|
|
||||||
Multi-family
|
1
|
|
|
$
|
248
|
|
|
1
|
|
|
$
|
1,032
|
|
Commercial real estate
|
1
|
|
|
63
|
|
|
2
|
|
|
240
|
|
||
Commercial and industrial
|
1
|
|
|
286
|
|
|
2
|
|
|
2,226
|
|
||
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||
Total commercial loans
|
3
|
|
|
597
|
|
|
5
|
|
|
3,498
|
|
||
Residential mortgage and consumer
|
23
|
|
|
5,721
|
|
|
15
|
|
|
3,378
|
|
||
Total current TDR classified as non-accrual
|
26
|
|
|
$
|
6,318
|
|
|
20
|
|
|
$
|
6,876
|
|
|
December 31, 2016
|
|
December 31, 2015
|
||||||||||
|
# of loans
|
|
Amount
|
|
# of loans
|
|
Amount
|
||||||
|
(Dollars in thousands)
|
||||||||||||
TDR 30-89 days delinquent classified as non-accrual:
|
|
|
|
|
|
|
|
||||||
Multi-family
|
—
|
|
|
$
|
—
|
|
|
1
|
|
|
$
|
548
|
|
Commercial real estate
|
2
|
|
|
169
|
|
|
5
|
|
|
2,309
|
|
||
Commercial and industrial
|
—
|
|
|
—
|
|
|
1
|
|
|
360
|
|
||
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||
Total commercial loans
|
2
|
|
|
169
|
|
|
7
|
|
|
3,217
|
|
||
Residential mortgage and consumer
|
14
|
|
|
2,869
|
|
|
11
|
|
|
3,338
|
|
||
Total current TDR classified as non-accrual
|
16
|
|
|
$
|
3,038
|
|
|
18
|
|
|
$
|
6,555
|
|
|
December 31, 2016
|
||||||||||||||
|
Recorded
Investment
|
|
Unpaid Principal
Balance
|
|
Related
Allowance
|
|
Average
Recorded
Investment
|
|
Interest
Income
Recognized
|
||||||
|
(In thousands)
|
||||||||||||||
With no related allowance:
|
|
|
|
|
|
|
|
|
|
||||||
Multi-family
|
$
|
248
|
|
|
248
|
|
|
—
|
|
|
252
|
|
|
20
|
|
Commercial real estate
|
5,962
|
|
|
9,265
|
|
|
—
|
|
|
5,790
|
|
|
301
|
|
|
Commercial and industrial
|
3,370
|
|
|
3,972
|
|
|
—
|
|
|
3,953
|
|
|
169
|
|
|
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Total commercial loans
|
9,580
|
|
|
13,485
|
|
|
—
|
|
|
9,995
|
|
|
490
|
|
|
Residential mortgage and consumer
|
11,030
|
|
|
14,565
|
|
|
—
|
|
|
9,899
|
|
|
483
|
|
|
With an allowance recorded:
|
|
|
|
|
|
|
|
|
|
||||||
Multi-family
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Commercial real estate
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Commercial and industrial
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Total commercial loans
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Residential mortgage and consumer
|
13,794
|
|
|
14,382
|
|
|
1,601
|
|
|
13,689
|
|
|
479
|
|
|
Total:
|
|
|
|
|
|
|
|
|
|
||||||
Multi-family
|
248
|
|
|
248
|
|
|
—
|
|
|
252
|
|
|
20
|
|
|
Commercial real estate
|
5,962
|
|
|
9,265
|
|
|
—
|
|
|
5,790
|
|
|
301
|
|
|
Commercial and industrial
|
3,370
|
|
|
3,972
|
|
|
—
|
|
|
3,953
|
|
|
169
|
|
|
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Total commercial loans
|
9,580
|
|
|
13,485
|
|
|
—
|
|
|
9,995
|
|
|
490
|
|
|
Residential mortgage and consumer
|
24,824
|
|
|
28,947
|
|
|
1,601
|
|
|
23,588
|
|
|
962
|
|
|
Total impaired loans
|
$
|
34,404
|
|
|
42,432
|
|
|
1,601
|
|
|
33,583
|
|
|
1,452
|
|
|
December 31, 2015
|
||||||||||||||
|
Recorded
Investment
|
|
Unpaid Principal
Balance
|
|
Related
Allowance
|
|
Average
Recorded
Investment
|
|
Interest
Income
Recognized
|
||||||
|
(In thousands)
|
||||||||||||||
With no related allowance:
|
|
|
|
|
|
|
|
|
|
||||||
Multi-family
|
$
|
3,219
|
|
|
6,806
|
|
|
—
|
|
|
2,872
|
|
|
119
|
|
Commercial real estate
|
18,941
|
|
|
27,961
|
|
|
—
|
|
|
19,025
|
|
|
1,136
|
|
|
Commercial and industrial
|
5,155
|
|
|
5,160
|
|
|
—
|
|
|
3,575
|
|
|
200
|
|
|
Construction
|
2,504
|
|
|
6,412
|
|
|
—
|
|
|
4,288
|
|
|
226
|
|
|
Total commercial loans
|
29,819
|
|
|
46,339
|
|
|
—
|
|
|
29,760
|
|
|
1,681
|
|
|
Residential mortgage and consumer
|
8,020
|
|
|
12,433
|
|
|
—
|
|
|
7,611
|
|
|
463
|
|
|
With an allowance recorded:
|
|
|
|
|
|
|
|
|
|
||||||
Multi-family
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Commercial real estate
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Commercial and industrial
|
4,240
|
|
|
4,271
|
|
|
2,409
|
|
|
4,389
|
|
|
194
|
|
|
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Total commercial loans
|
4,240
|
|
|
4,271
|
|
|
2,409
|
|
|
4,389
|
|
|
194
|
|
|
Residential mortgage and consumer
|
14,908
|
|
|
13,695
|
|
|
1,782
|
|
|
16,424
|
|
|
476
|
|
|
Total:
|
|
|
|
|
|
|
|
|
|
||||||
Multi-family
|
3,219
|
|
|
6,806
|
|
|
—
|
|
|
2,872
|
|
|
119
|
|
|
Commercial real estate
|
18,941
|
|
|
27,961
|
|
|
—
|
|
|
19,025
|
|
|
1,136
|
|
|
Commercial and industrial
|
9,395
|
|
|
9,431
|
|
|
2,409
|
|
|
7,964
|
|
|
394
|
|
|
Construction
|
2,504
|
|
|
6,412
|
|
|
—
|
|
|
4,288
|
|
|
226
|
|
|
Total commercial loans
|
34,059
|
|
|
50,610
|
|
|
2,409
|
|
|
34,149
|
|
|
1,875
|
|
|
Residential mortgage and consumer
|
22,928
|
|
|
26,128
|
|
|
1,782
|
|
|
24,035
|
|
|
939
|
|
|
Total impaired loans
|
$
|
56,987
|
|
|
76,738
|
|
|
4,191
|
|
|
58,184
|
|
|
2,814
|
|
|
December 31, 2016
|
|||||||||||||||||||
|
Accrual
|
|
Non-accrual
|
|
Total
|
|||||||||||||||
|
# of loans
|
|
Amount
|
|
# of loans
|
|
Amount
|
|
# of loans
|
|
Amount
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Multi-family
|
—
|
|
|
$
|
—
|
|
|
1
|
|
|
$
|
248
|
|
|
1
|
|
|
$
|
248
|
|
Commercial real estate
|
2
|
|
|
352
|
|
|
4
|
|
|
3,240
|
|
|
6
|
|
|
3,592
|
|
|||
Commercial and industrial
|
—
|
|
|
—
|
|
|
2
|
|
|
1,688
|
|
|
2
|
|
|
1,688
|
|
|||
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
Total commercial loans
|
2
|
|
|
352
|
|
|
7
|
|
|
5,176
|
|
|
9
|
|
|
5,528
|
|
|||
Residential mortgage and consumer
|
40
|
|
|
9,093
|
|
|
61
|
|
|
15,731
|
|
|
101
|
|
|
24,824
|
|
|||
Total
|
42
|
|
|
$
|
9,445
|
|
|
68
|
|
|
$
|
20,907
|
|
|
110
|
|
|
$
|
30,352
|
|
|
December 31, 2015
|
|||||||||||||||||||
|
Accrual
|
|
Non-accrual
|
|
Total
|
|||||||||||||||
|
# of loans
|
|
Amount
|
|
# of loans
|
|
Amount
|
|
# of loans
|
|
Amount
|
|||||||||
|
(Dollars in thousands)
|
|||||||||||||||||||
Commercial loans:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Multi-family
|
—
|
|
|
$
|
—
|
|
|
2
|
|
|
$
|
1,580
|
|
|
2
|
|
|
$
|
1,580
|
|
Commercial real estate
|
5
|
|
|
13,161
|
|
|
9
|
|
|
5,826
|
|
|
14
|
|
|
18,987
|
|
|||
Commercial and industrial
|
1
|
|
|
640
|
|
|
3
|
|
|
2,586
|
|
|
4
|
|
|
3,226
|
|
|||
Construction
|
1
|
|
|
313
|
|
|
2
|
|
|
405
|
|
|
3
|
|
|
718
|
|
|||
Total commercial loans
|
7
|
|
|
14,114
|
|
|
16
|
|
|
10,397
|
|
|
23
|
|
|
24,511
|
|
|||
Residential mortgage and consumer
|
32
|
|
|
8,375
|
|
|
49
|
|
|
14,553
|
|
|
81
|
|
|
22,928
|
|
|||
Total
|
39
|
|
|
$
|
22,489
|
|
|
65
|
|
|
$
|
24,950
|
|
|
104
|
|
|
$
|
47,439
|
|
|
Years Ended December 31,
|
||||||||||||||||||||
|
2016
|
|
2015
|
||||||||||||||||||
|
Number of
Loans
|
|
Pre-modification
Recorded
Investment
|
|
Post-
modification
Recorded
Investment
|
|
Number of
Loans
|
|
Pre-modification
Recorded
Investment
|
|
Post-
modification
Recorded
Investment
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||
Troubled Debt Restructings:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Multi-family
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
1
|
|
|
$
|
1,115
|
|
|
$
|
1,115
|
|
Commercial real estate
|
6
|
|
|
1,289
|
|
|
1,289
|
|
|
4
|
|
|
824
|
|
|
824
|
|
||||
Construction
|
—
|
|
|
—
|
|
|
—
|
|
|
2
|
|
|
1,508
|
|
|
1,508
|
|
||||
Commercial and industrial
|
—
|
|
|
—
|
|
|
—
|
|
|
2
|
|
|
2,246
|
|
|
2,246
|
|
||||
Residential mortgage
|
27
|
|
|
4,538
|
|
|
4,538
|
|
|
19
|
|
|
3,413
|
|
|
3,413
|
|
|
Years Ended December 31,
|
||||||||||||||||
|
2016
|
|
2015
|
||||||||||||||
|
Number of
Loans
|
|
Pre-modification
Interest Yield
|
|
Post-
modification
Interest Yield
|
|
Number of
Loans
|
|
Pre-modification
Interest Yield
|
|
Post-
modification
Interest Yield
|
||||||
|
|
||||||||||||||||
Troubled Debt Restructurings:
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Multi-family
|
—
|
|
|
—
|
%
|
|
—
|
%
|
|
1
|
|
|
3.88
|
%
|
|
3.88
|
%
|
Commercial real estate
|
6
|
|
|
5.11
|
%
|
|
5.20
|
%
|
|
4
|
|
|
4.53
|
%
|
|
5.35
|
%
|
Construction
|
—
|
|
|
—
|
%
|
|
—
|
%
|
|
2
|
|
|
4.97
|
%
|
|
4.97
|
%
|
Commercial and industrial
|
—
|
|
|
—
|
%
|
|
—
|
%
|
|
2
|
|
|
6.24
|
%
|
|
6.24
|
%
|
Residential mortgage
|
27
|
|
|
6.18
|
%
|
|
3.61
|
%
|
|
19
|
|
|
4.84
|
%
|
|
3.40
|
%
|
|
|
December 31,
|
|||||
|
|
2016
|
|
2015
|
|||
|
|
(In thousands)
|
|||||
Land
|
|
$
|
20,006
|
|
|
20,569
|
|
Office buildings
|
|
83,699
|
|
|
87,832
|
|
|
Leasehold improvements
|
|
95,489
|
|
|
79,898
|
|
|
Furniture, fixtures and equipment
|
|
83,246
|
|
|
77,096
|
|
|
Construction in process
|
|
13,070
|
|
|
12,075
|
|
|
|
|
295,510
|
|
|
277,470
|
|
|
Less accumulated depreciation and amortization
|
|
118,093
|
|
|
104,951
|
|
|
|
|
$
|
177,417
|
|
|
172,519
|
|
|
|
December 31, 2016
|
|
December 31, 2015
|
|||
|
|
(In thousands)
|
|||||
Mortgage servicing rights
|
|
$
|
14,889
|
|
|
16,248
|
|
Core deposit premiums
|
|
8,451
|
|
|
11,332
|
|
|
Other
|
|
928
|
|
|
160
|
|
|
Total other intangible assets
|
|
24,268
|
|
|
27,740
|
|
|
Goodwill
|
|
77,571
|
|
|
77,571
|
|
|
Goodwill and intangible assets
|
|
$
|
101,839
|
|
|
105,311
|
|
|
|
Gross Intangible Asset
|
|
Accumulated Amortization
|
|
Valuation Allowance
|
|
Net Intangible Assets
|
|||||
|
|
(In thousands)
|
|||||||||||
December 31, 2016
|
|
|
|
|
|
|
|
|
|||||
Mortgage Servicing Rights
|
|
$
|
24,340
|
|
|
(9,286
|
)
|
|
(165
|
)
|
|
14,889
|
|
Core Deposit Premiums
|
|
25,058
|
|
|
(16,607
|
)
|
|
—
|
|
|
8,451
|
|
|
Other
|
|
1,150
|
|
|
(222
|
)
|
|
—
|
|
|
928
|
|
|
Total other intangible assets
|
|
$
|
50,548
|
|
|
(26,115
|
)
|
|
(165
|
)
|
|
24,268
|
|
|
|
|
|
|
|
|
|
|
|||||
December 31, 2015
|
|
|
|
|
|
|
|
|
|||||
Mortgage Servicing Rights
|
|
$
|
23,411
|
|
|
(7,042
|
)
|
|
(121
|
)
|
|
16,248
|
|
Core Deposit Premiums
|
|
25,058
|
|
|
(13,726
|
)
|
|
—
|
|
|
11,332
|
|
|
Other
|
|
300
|
|
|
(140
|
)
|
|
—
|
|
|
160
|
|
|
Total other intangible assets
|
|
$
|
48,769
|
|
|
(20,908
|
)
|
|
(121
|
)
|
|
27,740
|
|
|
Mortgage Servicing Rights
|
|
Core Deposit Premiums
|
|
Other
|
||||||
|
(In thousands)
|
||||||||||
2017
|
$
|
461
|
|
|
$
|
2,427
|
|
|
$
|
87
|
|
2018
|
491
|
|
|
1,974
|
|
|
87
|
|
|||
2019
|
508
|
|
|
1,521
|
|
|
87
|
|
|||
2020
|
524
|
|
|
1,112
|
|
|
87
|
|
|||
2021
|
541
|
|
|
756
|
|
|
67
|
|
|
December 31,
|
||||||||||||||||||
|
2016
|
|
2015
|
||||||||||||||||
|
Weighted Average Rate
|
|
Amount
|
|
% of Total
|
|
Weighted Average Rate
|
|
Amount
|
|
% of Total
|
||||||||
|
(In thousands)
|
||||||||||||||||||
Non-interest bearing:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Checking accounts
|
—
|
%
|
|
$
|
2,173,493
|
|
|
14.22
|
%
|
|
—
|
%
|
|
$
|
1,890,536
|
|
|
13.44
|
%
|
Interest-bearing:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Checking accounts
|
0.45
|
%
|
|
3,916,208
|
|
|
25.63
|
%
|
|
0.29
|
%
|
|
2,745,489
|
|
|
19.52
|
%
|
||
Money market deposits
|
0.65
|
%
|
|
4,150,583
|
|
|
27.16
|
%
|
|
0.67
|
%
|
|
3,861,317
|
|
|
27.46
|
%
|
||
Savings
|
0.29
|
%
|
|
2,092,989
|
|
|
13.70
|
%
|
|
0.29
|
%
|
|
2,150,004
|
|
|
15.29
|
%
|
||
Certificates of deposit
|
0.91
|
%
|
|
2,947,560
|
|
|
19.29
|
%
|
|
1.14
|
%
|
|
3,416,310
|
|
|
24.29
|
%
|
||
Total Deposits
|
0.51
|
%
|
|
$
|
15,280,833
|
|
|
100.00
|
%
|
|
0.56
|
%
|
|
$
|
14,063,656
|
|
|
100.00
|
%
|
|
|
December 31,
|
|||||
|
|
2016
|
|
2015
|
|||
|
|
(In thousands)
|
|||||
Within one year
|
|
$
|
1,866,000
|
|
|
2,586,076
|
|
One to two years
|
|
674,552
|
|
|
496,288
|
|
|
Two to three years
|
|
237,506
|
|
|
167,028
|
|
|
Three to four years
|
|
62,500
|
|
|
57,443
|
|
|
After four years
|
|
107,002
|
|
|
109,475
|
|
|
|
|
$
|
2,947,560
|
|
|
3,416,310
|
|
|
For the Years Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(In thousands)
|
||||||||
Checking accounts
|
$
|
16,268
|
|
|
9,642
|
|
|
8,755
|
|
Money market deposits
|
25,621
|
|
|
24,136
|
|
|
13,664
|
|
|
Savings
|
6,304
|
|
|
6,402
|
|
|
6,639
|
|
|
Certificates of deposit
|
33,864
|
|
|
31,234
|
|
|
30,148
|
|
|
Total
|
$
|
82,057
|
|
|
71,414
|
|
|
59,206
|
|
|
|
December 31,
|
||||||||||
|
|
2016
|
|
2015
|
||||||||
|
|
Principal
|
|
Weighted
Average
Rate
|
|
Principal
|
|
Weighted
Average
Rate
|
||||
|
|
|
|
(Dollars in thousands)
|
|
|
||||||
Funds borrowed under repurchase agreements:
|
|
|
|
|
|
|
|
|
||||
FHLB
|
|
$
|
23,629
|
|
|
3.90%
|
|
$
|
24,383
|
|
|
3.90%
|
Other brokers
|
|
131,202
|
|
|
1.88%
|
|
131,924
|
|
|
1.89%
|
||
Total funds borrowed under repurchase agreements
|
|
154,831
|
|
|
2.19%
|
|
156,307
|
|
|
2.21%
|
||
Other borrowed funds:
|
|
|
|
|
|
|
|
|
||||
FHLB advances
|
|
4,391,420
|
|
|
1.79%
|
|
3,106,783
|
|
|
2.12%
|
||
Total borrowed funds
|
|
$
|
4,546,251
|
|
|
1.81%
|
|
$
|
3,263,090
|
|
|
2.13%
|
|
|
December 31,
|
||||||||||
|
|
2016
|
|
2015
|
||||||||
|
|
Principal
|
|
Weighted
Average
Rate
|
|
Principal
|
|
Weighted
Average
Rate
|
||||
|
|
(Dollars in thousands)
|
||||||||||
Within one year
|
|
$
|
983,629
|
|
|
1.26%
|
|
$
|
500,000
|
|
|
1.99%
|
One to two years
|
|
862,202
|
|
|
2.12%
|
|
249,383
|
|
|
3.00%
|
||
Two to three years
|
|
619,567
|
|
|
1.80%
|
|
862,924
|
|
|
2.13%
|
||
Three to four years
|
|
775,000
|
|
|
1.96%
|
|
469,782
|
|
|
1.78%
|
||
Four to five years
|
|
600,000
|
|
|
2.01%
|
|
650,000
|
|
|
1.99%
|
||
After five years
|
|
705,853
|
|
|
1.84%
|
|
531,001
|
|
|
2.30%
|
||
Total borrowed funds
|
|
$
|
4,546,251
|
|
|
1.81%
|
|
$
|
3,263,090
|
|
|
2.13%
|
|
|
December 31,
|
|||||
|
|
2016
|
|
2015
|
|||
|
|
(Dollars in thousands)
|
|||||
Amortized cost of collateral:
|
|
|
|
|
|||
Mortgage-backed securities
|
|
$
|
468,159
|
|
|
475,984
|
|
Total amortized cost of collateral
|
|
$
|
468,159
|
|
|
475,984
|
|
Fair value of collateral:
|
|
|
|
|
|||
Mortgage-backed securities
|
|
$
|
469,200
|
|
|
481,401
|
|
Total fair value of collateral
|
|
$
|
469,200
|
|
|
481,401
|
|
|
|
Years Ended December 31,
|
||||||||
|
|
2016
|
|
2015
|
|
2014
|
||||
|
|
(In thousands)
|
||||||||
Current tax expense:
|
|
|
|
|
|
|
||||
Federal
|
|
$
|
82,708
|
|
|
87,748
|
|
|
77,029
|
|
State
|
|
12,599
|
|
|
14,804
|
|
|
7,508
|
|
|
|
|
95,307
|
|
|
102,552
|
|
|
84,537
|
|
|
Deferred tax expense (benefit):
|
|
|
|
|
|
|
||||
Federal
|
|
8,107
|
|
|
4,310
|
|
|
(3,846
|
)
|
|
State
|
|
3,533
|
|
|
(7,490
|
)
|
|
(5,940
|
)
|
|
|
|
11,640
|
|
|
(3,180
|
)
|
|
(9,786
|
)
|
|
Total income tax expense
|
|
$
|
106,947
|
|
|
99,372
|
|
|
74,751
|
|
|
|
Years Ended December 31,
|
||||||||
|
|
2016
|
|
2015
|
|
2014
|
||||
|
|
|
|
(In thousands)
|
|
|
||||
“Expected” federal income tax expense
|
|
$
|
104,675
|
|
|
98,307
|
|
|
72,265
|
|
State tax, net
|
|
9,887
|
|
|
4,753
|
|
|
1,019
|
|
|
Bank owned life insurance
|
|
(1,548
|
)
|
|
(1,382
|
)
|
|
(1,628
|
)
|
|
Excess tax benefits from employee share-based payments
|
|
(7,735
|
)
|
|
—
|
|
|
—
|
|
|
Acquisition related net operating loss
|
|
—
|
|
|
(4,076
|
)
|
|
—
|
|
|
ESOP fair market value adjustment
|
|
931
|
|
|
947
|
|
|
349
|
|
|
Non-deductible compensation
|
|
1,602
|
|
|
276
|
|
|
3,334
|
|
|
Expiration of stock options
|
|
—
|
|
|
19
|
|
|
2
|
|
|
Other
|
|
(865
|
)
|
|
528
|
|
|
(590
|
)
|
|
Total income tax expense
|
|
$
|
106,947
|
|
|
99,372
|
|
|
74,751
|
|
|
|
December 31,
|
|||||
|
|
2016
|
|
2015
|
|||
|
|
(In thousands)
|
|||||
Deferred tax asset:
|
|
|
|
|
|||
Employee benefits
|
|
$
|
34,218
|
|
|
36,372
|
|
Deferred compensation
|
|
1,596
|
|
|
1,417
|
|
|
Premises and equipment
|
|
1,587
|
|
|
2,262
|
|
|
Allowance for loan losses
|
|
92,738
|
|
|
88,894
|
|
|
Net unrealized loss on securities
|
|
17,078
|
|
|
10,420
|
|
|
Net other than temporary impairment loss on securities
|
|
40,228
|
|
|
42,085
|
|
|
ESOP
|
|
4,333
|
|
|
3,695
|
|
|
Allowance for delinquent interest
|
|
14,539
|
|
|
13,071
|
|
|
Fair value adjustments related to acquisitions
|
|
20,823
|
|
|
31,986
|
|
|
Charitable contribution carryforward
|
|
406
|
|
|
5,823
|
|
|
Loan origination costs
|
|
9,599
|
|
|
7,127
|
|
|
Intangible assets
|
|
—
|
|
|
45
|
|
|
Other
|
|
1,305
|
|
|
1,409
|
|
|
Gross deferred tax asset
|
|
238,450
|
|
|
244,606
|
|
|
Valuation allowance
|
|
(346
|
)
|
|
(346
|
)
|
|
|
|
238,104
|
|
|
244,260
|
|
|
Deferred tax liability:
|
|
|
|
|
|||
Intangible assets
|
|
363
|
|
|
—
|
|
|
Discount accretion
|
|
4,080
|
|
|
—
|
|
|
Mortgage servicing rights
|
|
6,257
|
|
|
6,893
|
|
|
Net unrealized gain on hedging activities
|
|
5,127
|
|
|
—
|
|
|
Gross deferred tax liability
|
|
15,827
|
|
|
6,893
|
|
|
Net deferred tax asset
|
|
$
|
222,277
|
|
|
237,367
|
|
|
December 31,
|
|||||
|
2016
|
|
2015
|
|||
|
(In thousands)
|
|||||
Change in benefit obligation:
|
|
|
|
|||
Benefit obligation at beginning of year
|
$
|
47,887
|
|
|
40,522
|
|
Service cost
|
2,088
|
|
|
3,096
|
|
|
Interest cost
|
1,895
|
|
|
1,497
|
|
|
Gain due to change in mortality assumption
|
(468
|
)
|
|
(778
|
)
|
|
Loss (gain) due to change in discount rate
|
1,035
|
|
|
(1,587
|
)
|
|
(Gain) loss due to demographic changes
|
(6,716
|
)
|
|
6,008
|
|
|
Settlements
|
(233
|
)
|
|
—
|
|
|
Actuarial gain
|
(27
|
)
|
|
—
|
|
|
Curtailment
|
(4,294
|
)
|
|
—
|
|
|
Benefits paid
|
(871
|
)
|
|
(871
|
)
|
|
Benefit obligation at end of year
|
40,296
|
|
|
47,887
|
|
|
Funded status
|
$
|
(40,296
|
)
|
|
(47,887
|
)
|
|
December 31,
|
|||||
|
2016
|
|
2015
|
|||
|
(In thousands)
|
|||||
Prior service cost
|
$
|
—
|
|
|
—
|
|
Net actuarial gain
|
6,759
|
|
|
19,284
|
|
|
Total amounts recognized in accumulated other comprehensive income
|
$
|
6,759
|
|
|
19,284
|
|
|
December 31,
|
||||
|
2016
|
|
2015
|
||
Discount rate
|
3.80
|
%
|
|
3.99
|
%
|
Rate of compensation increase
|
—
|
%
|
|
4.36
|
%
|
|
Years Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(In thousands)
|
||||||||
Service cost
|
$
|
2,088
|
|
|
3,096
|
|
|
2,319
|
|
Interest cost
|
1,895
|
|
|
1,497
|
|
|
1,322
|
|
|
Amortization of:
|
|
|
|
|
|
||||
Prior service cost
|
—
|
|
|
49
|
|
|
98
|
|
|
Net loss
|
2,055
|
|
|
1,282
|
|
|
633
|
|
|
Total net periodic benefit cost
|
$
|
6,038
|
|
|
5,924
|
|
|
4,372
|
|
|
Years Ended December 31,
|
|||||||
|
2016
|
|
2015
|
|
2014
|
|||
|
|
|
|
|
|
|||
Discount rate
|
3.99
|
%
|
|
3.71
|
%
|
|
4.53
|
%
|
Rate of compensation increase
|
4.36
|
%
|
|
4.19
|
%
|
|
4.00
|
%
|
|
Amount
|
||
|
(In thousands)
|
||
2017
|
$
|
942
|
|
2018
|
921
|
|
|
2019
|
899
|
|
|
2020
|
2,092
|
|
|
2021
|
2,728
|
|
|
2022 through 2026
|
14,146
|
|
|
Year ended December 31, 2016
|
|
Year ended December 31, 2015
|
||||
|
|
|
|
||||
Weighted average expected life (in years)
|
7.00
|
|
|
7.43
|
|
||
Weighted average risk-free rate of return
|
1.67
|
%
|
|
1.96
|
%
|
||
Weighted average volatility
|
24.05
|
%
|
|
25.33
|
%
|
||
Dividend yield
|
1.93
|
%
|
|
1.59
|
%
|
||
Weighted average fair value of options granted
|
$
|
2.80
|
|
|
$
|
3.12
|
|
Total stock options granted
|
201,440
|
|
|
11,576,611
|
|
|
Years Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(Dollars in thousands)
|
||||||||
Stock option expense
|
$
|
6,556
|
|
|
2,905
|
|
|
1,800
|
|
Restricted stock expense
|
15,419
|
|
|
6,315
|
|
|
11,901
|
|
|
Total share based compensation expense
|
$
|
21,975
|
|
|
9,220
|
|
|
13,701
|
|
|
|
Number of
Shares
Awarded
|
|
Weighted
Average
Grant Date
Fair Value
|
|||
Non-vested at December 31, 2015
|
|
6,759,832
|
|
|
$
|
12.64
|
|
Granted
|
|
276,890
|
|
|
11.69
|
|
|
Vested
|
|
(1,060,026
|
)
|
|
12.54
|
|
|
Forfeited
|
|
(100,205
|
)
|
|
12.03
|
|
|
Non-vested at December 31, 2016
|
|
5,876,491
|
|
|
$
|
12.51
|
|
|
|
Number of
Stock
Options
|
|
Weighted
Average
Exercise
Price
|
|
Weighted
Average
Remaining
Contractual
Life (in years)
|
|
Aggregate
Intrinsic
Value
|
|||||
Outstanding at December 31, 2015
|
|
18,804,816
|
|
|
$
|
10.00
|
|
|
6.8
|
|
$
|
46,996
|
|
Granted
|
|
201,440
|
|
|
11.76
|
|
|
9.7
|
|
|
|||
Exercised
|
|
(5,714,890
|
)
|
|
6.00
|
|
|
0.3
|
|
|
|||
Forfeited
|
|
(125,931
|
)
|
|
12.54
|
|
|
|
|
|
|||
Expired
|
|
(102
|
)
|
|
8.08
|
|
|
|
|
|
|||
Outstanding at December 31, 2016
|
|
13,165,333
|
|
|
$
|
11.74
|
|
|
8.2
|
|
$
|
29,101
|
|
Exercisable at December 31, 2016
|
|
3,735,974
|
|
|
$
|
9.77
|
|
|
6.2
|
|
$
|
15,631
|
|
|
|
||
|
Amount
|
||
|
(In thousands)
|
||
2017
|
$
|
23,004
|
|
2018
|
23,367
|
|
|
2019
|
22,554
|
|
|
2020
|
20,970
|
|
|
2021
|
19,467
|
|
|
Thereafter
|
128,666
|
|
|
|
$
|
238,028
|
|
|
Asset Derivatives
|
|
Liability Derivatives
|
||||||||||||||||
|
At December 31, 2016
|
|
At December 31, 2015
|
|
At December 31, 2016
|
|
At December 31, 2015
|
||||||||||||
|
Balance Sheet Location
|
Fair Value
|
|
Balance Sheet Location
|
Fair Value
|
|
Balance Sheet Location
|
Fair Value
|
|
Balance Sheet Location
|
Fair Value
|
||||||||
|
(In thousands)
|
||||||||||||||||||
Derivatives designated as hedging instruments:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest Rate Swaps
|
Other assets
|
$
|
12,550
|
|
|
Other assets
|
$
|
—
|
|
|
Other liabilities
|
$
|
—
|
|
|
Other liabilities
|
$
|
—
|
|
Total derivatives designated as hedging instruments
|
|
$
|
12,550
|
|
|
|
$
|
—
|
|
|
|
$
|
—
|
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross Amounts Not Offset
|
|
|
||||||||||||||
|
Gross Amounts Recognized
|
|
Gross Amounts Offset
|
|
Net Amounts Presented
|
|
Financial Instruments
|
|
Cash Collateral Posted
|
|
Net Amount
|
||||||||||||
|
(In thousands)
|
||||||||||||||||||||||
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest Rate Swaps
|
$
|
12,550
|
|
|
$
|
—
|
|
|
$
|
12,550
|
|
|
$
|
—
|
|
|
$
|
(12,550
|
)
|
|
$
|
—
|
|
Total
|
$
|
12,550
|
|
|
$
|
—
|
|
|
$
|
12,550
|
|
|
$
|
—
|
|
|
$
|
(12,550
|
)
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
December 31, 2015
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Interest Rate Swaps
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Total
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
•
|
Level 1 – Valuation is based upon quoted prices for identical instruments traded in active markets.
|
•
|
Level 2 – Valuation is based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market.
|
•
|
Level 3 – Valuation is generated from model-based techniques that use significant assumptions not observable in the market. These unobservable assumptions reflect our own estimates of assumptions that market participants would use in pricing the asset or liability. Valuation techniques include the use of option pricing models, discounted cash flow models and similar techniques. The results cannot be determined with precision and may not be realized in an actual sale or immediate settlement of the asset or liability.
|
|
Carrying Value at December 31, 2016
|
|||||||||||
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|||||
|
(In thousands)
|
|||||||||||
Securities available for sale:
|
|
|
|
|
|
|
|
|||||
Equity securities
|
$
|
6,660
|
|
|
6,660
|
|
|
—
|
|
|
—
|
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|||||
Federal Home Loan Mortgage Corporation
|
598,439
|
|
|
—
|
|
|
598,439
|
|
|
—
|
|
|
Federal National Mortgage Association
|
1,008,587
|
|
|
—
|
|
|
1,008,587
|
|
|
—
|
|
|
Government National Mortgage Association
|
46,747
|
|
|
—
|
|
|
46,747
|
|
|
—
|
|
|
Total mortgage-backed securities available-for-sale
|
1,653,773
|
|
|
—
|
|
|
1,653,773
|
|
|
—
|
|
|
Total securities available-for-sale
|
$
|
1,660,433
|
|
|
6,660
|
|
|
1,653,773
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|||||
Derivative financial instruments
|
$
|
12,550
|
|
|
—
|
|
|
12,550
|
|
|
—
|
|
|
Carrying Value at December 31, 2015
|
|||||||||||
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|||||
|
(In thousands)
|
|||||||||||
Securities available for sale:
|
|
|
|
|
|
|
|
|||||
Equity securities
|
$
|
6,495
|
|
|
6,495
|
|
|
—
|
|
|
—
|
|
Mortgage-backed securities:
|
|
|
|
|
|
|
|
|||||
Federal Home Loan Mortgage Corporation
|
547,451
|
|
|
—
|
|
|
547,451
|
|
|
—
|
|
|
Federal National Mortgage Association
|
726,072
|
|
|
—
|
|
|
726,072
|
|
|
—
|
|
|
Government National Mortgage Association
|
24,679
|
|
|
—
|
|
|
24,679
|
|
|
—
|
|
|
Total mortgage-backed securities available-for-sale
|
1,298,202
|
|
|
—
|
|
|
1,298,202
|
|
|
—
|
|
|
Total securities available-for-sale
|
$
|
1,304,697
|
|
|
6,495
|
|
|
1,298,202
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|||||
Derivative financial instruments
|
$
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Security Type
|
Valuation Technique
|
Unobservable Input
|
Range
|
Weighted Average Input
|
Carrying Value at December 31, 2015
|
||||||||
|
|
|
|
|
Total
|
Level 1
|
Level 2
|
Level 3
|
|||||
|
|
|
|
|
(In thousands)
|
||||||||
Other real estate owned
|
Market comparable
|
Lack of marketability
|
0.0% - 25.0%
|
8.90%
|
$
|
510
|
|
—
|
|
—
|
|
510
|
|
|
|
|
|
|
$
|
510
|
|
—
|
|
—
|
|
510
|
|
|
December 31, 2016
|
||||||||||||||
|
Carrying
|
|
Estimated Fair Value
|
||||||||||||
|
value
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||
|
(In thousands)
|
||||||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
||||||
Cash and cash equivalents
|
$
|
164,178
|
|
|
164,178
|
|
|
164,178
|
|
|
—
|
|
|
—
|
|
Securities available-for-sale
|
1,660,433
|
|
|
1,660,433
|
|
|
6,660
|
|
|
1,653,773
|
|
|
—
|
|
|
Securities held-to-maturity
|
1,755,556
|
|
|
1,782,801
|
|
|
—
|
|
|
1,703,559
|
|
|
79,242
|
|
|
Stock in FHLB
|
237,878
|
|
|
237,878
|
|
|
237,878
|
|
|
—
|
|
|
—
|
|
|
Loans held for sale
|
38,298
|
|
|
38,298
|
|
|
—
|
|
|
38,298
|
|
|
—
|
|
|
Net loans
|
18,569,855
|
|
|
18,391,018
|
|
|
—
|
|
|
—
|
|
|
18,391,018
|
|
|
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
||||||
Deposits, other than time deposits
|
$
|
12,333,273
|
|
|
12,333,273
|
|
|
12,333,273
|
|
|
—
|
|
|
—
|
|
Time deposits
|
2,947,560
|
|
|
2,938,137
|
|
|
—
|
|
|
2,938,137
|
|
|
—
|
|
|
Borrowed funds
|
4,546,251
|
|
|
4,545,745
|
|
|
—
|
|
|
4,545,745
|
|
|
—
|
|
|
December 31, 2015
|
||||||||||||||
|
Carrying
|
|
Estimated Fair Value
|
||||||||||||
|
value
|
|
Total
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
||||||
|
(In thousands)
|
||||||||||||||
Financial assets:
|
|
|
|
|
|
|
|
|
|
||||||
Cash and cash equivalents
|
$
|
148,904
|
|
|
148,904
|
|
|
148,904
|
|
|
—
|
|
|
—
|
|
Securities available-for-sale
|
1,304,697
|
|
|
1,304,697
|
|
|
6,495
|
|
|
1,298,202
|
|
|
—
|
|
|
Securities held-to-maturity
|
1,844,223
|
|
|
1,888,686
|
|
|
—
|
|
|
1,810,869
|
|
|
77,817
|
|
|
Stock in FHLB
|
178,437
|
|
|
178,437
|
|
|
178,437
|
|
|
—
|
|
|
—
|
|
|
Loans held for sale
|
7,431
|
|
|
7,431
|
|
|
—
|
|
|
7,431
|
|
|
—
|
|
|
Net loans
|
16,661,133
|
|
|
16,650,529
|
|
|
—
|
|
|
—
|
|
|
16,650,529
|
|
|
Financial liabilities:
|
|
|
|
|
|
|
|
|
|
||||||
Deposits, other than time deposits
|
$
|
10,647,346
|
|
|
10,647,346
|
|
|
10,647,346
|
|
|
—
|
|
|
—
|
|
Time deposits
|
3,416,310
|
|
|
3,414,528
|
|
|
—
|
|
|
3,414,528
|
|
|
—
|
|
|
Borrowed funds
|
3,263,090
|
|
|
3,277,983
|
|
|
—
|
|
|
3,277,983
|
|
|
—
|
|
|
|
Actual
|
|
Minimum Capital Requirement
|
|
To be Well Capitalized
Under Prompt
Corrective Action
Provisions (1)
|
|||||||||||||||
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|||||||||
|
|
(Dollars in thousands)
|
|||||||||||||||||||
As of December 31, 2016:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Bank:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Tier 1 Leverage Ratio
|
|
$
|
2,736,173
|
|
|
12.03
|
%
|
|
$
|
909,534
|
|
|
4.00
|
%
|
|
$
|
1,136,917
|
|
|
5.00
|
%
|
Common equity tier 1 risk-based
|
|
2,736,173
|
|
|
14.75
|
%
|
|
950,740
|
|
|
5.125
|
%
|
|
1,205,817
|
|
|
6.50
|
%
|
|||
Tier 1 Risk-Based Capital
|
|
2,736,173
|
|
|
14.75
|
%
|
|
1,229,006
|
|
|
6.625
|
%
|
|
1,484,082
|
|
|
8.00
|
%
|
|||
Total Risk-Based Capital
|
|
2,965,720
|
|
|
15.99
|
%
|
|
1,600,026
|
|
|
8.625
|
%
|
|
1,855,103
|
|
|
10.00
|
%
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Investors Bancorp, Inc:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Tier 1 Leverage Ratio
|
|
$
|
3,066,401
|
|
|
13.48
|
%
|
|
$
|
910,058
|
|
|
4.00
|
%
|
|
n/a
|
|
|
n/a
|
|
|
Common equity tier 1 risk-based
|
|
3,066,401
|
|
|
16.52
|
%
|
|
951,411
|
|
|
5.125
|
%
|
|
n/a
|
|
|
n/a
|
|
|||
Tier 1 Risk-Based Capital
|
|
3,066,401
|
|
|
16.52
|
%
|
|
1,229,872
|
|
|
6.625
|
%
|
|
n/a
|
|
|
n/a
|
|
|||
Total Risk-Based Capital
|
|
3,295,948
|
|
|
17.75
|
%
|
|
1,601,155
|
|
|
8.625
|
%
|
|
n/a
|
|
|
n/a
|
|
|
|
Actual
|
|
Minimum Capital Requirement
|
|
To be Well Capitalized
Under Prompt
Corrective Action
Provisions (1)
|
|||||||||||||||
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|
Amount
|
|
Ratio
|
|||||||||
|
|
(Dollars in thousands)
|
|||||||||||||||||||
As of December 31, 2015:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Bank:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Tier 1 Leverage Ratio
|
|
$
|
2,558,334
|
|
|
12.41
|
%
|
|
$
|
824,607
|
|
|
4.00
|
%
|
|
$
|
1,030,759
|
|
|
5.00
|
%
|
Common equity tier 1 risk-based
|
|
2,558,334
|
|
|
15.87
|
%
|
|
725,523
|
|
|
4.50
|
%
|
|
1,047,978
|
|
|
6.50
|
%
|
|||
Tier 1 Risk-Based Capital
|
|
2,558,334
|
|
|
15.87
|
%
|
|
967,364
|
|
|
6.00
|
%
|
|
1,289,819
|
|
|
8.00
|
%
|
|||
Total Risk-Based Capital
|
|
2,760,081
|
|
|
17.12
|
%
|
|
1,289,819
|
|
|
8.00
|
%
|
|
1,612,274
|
|
|
10.00
|
%
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Investors Bancorp, Inc:
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Tier 1 Leverage Ratio
|
|
$
|
3,259,928
|
|
|
15.80
|
%
|
|
$
|
825,139
|
|
|
4.00
|
%
|
|
n/a
|
|
|
n/a
|
|
|
Common equity tier 1 risk-based
|
|
3,259,928
|
|
|
20.20
|
%
|
|
726,146
|
|
|
4.50
|
%
|
|
n/a
|
|
|
n/a
|
|
|||
Tier 1 Risk-Based Capital
|
|
3,259,928
|
|
|
20.20
|
%
|
|
968,194
|
|
|
6.00
|
%
|
|
n/a
|
|
|
n/a
|
|
|||
Total Risk-Based Capital
|
|
3,461,649
|
|
|
21.45
|
%
|
|
1,290,926
|
|
|
8.00
|
%
|
|
n/a
|
|
|
n/a
|
|
|
|
December 31,
|
|||||
|
|
2016
|
|
2015
|
|||
|
|
(In thousands)
|
|||||
Assets:
|
|
|
|
|
|||
Cash and due from bank
|
|
$
|
195,114
|
|
|
569,513
|
|
Securities available-for-sale, at estimated fair value
|
|
6,918
|
|
|
1,733
|
|
|
Investment in subsidiary
|
|
2,792,474
|
|
|
2,611,080
|
|
|
ESOP loan receivable
|
|
92,839
|
|
|
94,889
|
|
|
Other assets
|
|
43,711
|
|
|
45,898
|
|
|
Total Assets
|
|
$
|
3,131,056
|
|
|
3,323,113
|
|
Liabilities and Stockholders’ Equity:
|
|
|
|
|
|||
Total liabilities
|
|
$
|
7,811
|
|
|
11,466
|
|
Total stockholders’ equity
|
|
3,123,245
|
|
|
3,311,647
|
|
|
Total Liabilities and Stockholders’ Equity
|
|
$
|
3,131,056
|
|
|
3,323,113
|
|
|
Year Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(In thousands)
|
||||||||
Income:
|
|
|
|
|
|
||||
Interest on ESOP loan receivable
|
$
|
3,084
|
|
|
3,151
|
|
|
2,499
|
|
Dividend from subsidiary
|
30,000
|
|
|
—
|
|
|
—
|
|
|
Interest on deposit with subsidiary
|
2
|
|
|
2
|
|
|
2
|
|
|
Interest and dividends on investments
|
132
|
|
|
65
|
|
|
64
|
|
|
Gain on securities transactions
|
72
|
|
|
1,682
|
|
|
145
|
|
|
|
33,290
|
|
|
4,900
|
|
|
2,710
|
|
|
Expenses:
|
|
|
|
|
|
||||
Interest expense
|
120
|
|
|
54
|
|
|
43
|
|
|
Other expenses
|
3,933
|
|
|
3,170
|
|
|
12,197
|
|
|
Income (loss) before income tax expense
|
29,237
|
|
|
1,676
|
|
|
(9,530
|
)
|
|
Income tax (benefit) expense
|
452
|
|
|
540
|
|
|
(3,675
|
)
|
|
Income (loss) before undistributed earnings of subsidiary
|
28,785
|
|
|
1,136
|
|
|
(5,855
|
)
|
|
Equity in undistributed earnings of subsidiary
|
163,340
|
|
|
180,370
|
|
|
137,576
|
|
|
Net income
|
$
|
192,125
|
|
|
181,506
|
|
|
131,721
|
|
|
Year Ended December 31,
|
||||||||
|
2016
|
|
2015
|
|
2014
|
||||
|
(In thousands)
|
||||||||
Net income
|
$
|
192,125
|
|
|
181,506
|
|
|
131,721
|
|
Other comprehensive income, net of tax:
|
|
|
|
|
|
||||
Unrealized gain on securities available-for-sale
|
543
|
|
|
433
|
|
|
1,482
|
|
|
Total other comprehensive income
|
543
|
|
|
433
|
|
|
1,482
|
|
|
Total comprehensive income
|
$
|
192,668
|
|
|
181,939
|
|
|
133,203
|
|
|
|
Year Ended December 31,
|
||||||||
|
|
2016
|
|
2015
|
|
2014
|
||||
|
|
(In thousands)
|
||||||||
Cash flows from operating activities:
|
|
|
|
|
|
|
||||
Net income
|
|
$
|
192,125
|
|
|
181,506
|
|
|
131,721
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
||||
(Equity in undistributed earnings of subsidiary)
|
|
(163,340
|
)
|
|
(180,370
|
)
|
|
(137,576
|
)
|
|
Contribution in stock to charitable foundation
|
|
—
|
|
|
—
|
|
|
10,000
|
|
|
Gain on securities transactions
|
|
(72
|
)
|
|
1,682
|
|
|
145
|
|
|
Decrease (increase) in other assets
|
|
14,805
|
|
|
2,107
|
|
|
2,227
|
|
|
(Decrease) increase in other liabilities
|
|
(3,655
|
)
|
|
4,927
|
|
|
525
|
|
|
Net cash provided by operating activities
|
|
39,863
|
|
|
9,852
|
|
|
7,042
|
|
|
Cash flows from investing activities:
|
|
|
|
|
|
|
||||
Capital contributed to the Bank
|
|
—
|
|
|
—
|
|
|
(1,074,947
|
)
|
|
Cash received net of cash paid for acquisition
|
|
—
|
|
|
—
|
|
|
48
|
|
|
Purchase of investments available-for-sale
|
|
—
|
|
|
—
|
|
|
(493
|
)
|
|
Purchase of investments held-to-maturity
|
|
(5,000
|
)
|
|
—
|
|
|
—
|
|
|
Redemption of equity securities available-for-sale
|
|
72
|
|
|
2,700
|
|
|
467
|
|
|
Principal collected on ESOP loan
|
|
2,050
|
|
|
2,062
|
|
|
3,093
|
|
|
Cash received from MHC merger
|
|
—
|
|
|
—
|
|
|
11,307
|
|
|
Net cash (used in) provided by investing activities
|
|
(2,878
|
)
|
|
4,762
|
|
|
(1,060,525
|
)
|
|
Cash flows from financing activities:
|
|
|
|
|
|
|
||||
Loan to ESOP
|
|
—
|
|
|
—
|
|
|
(66,553
|
)
|
|
Proceeds from issuance of common stock
|
|
—
|
|
|
—
|
|
|
2,149,893
|
|
|
Proceeds from sale of treasury stock
|
|
—
|
|
|
—
|
|
|
38,227
|
|
|
Purchase of treasury stock
|
|
(363,410
|
)
|
|
(382,922
|
)
|
|
(13,523
|
)
|
|
Option exercise
|
|
34,317
|
|
|
2,985
|
|
|
3,710
|
|
|
Dividends paid
|
|
(82,291
|
)
|
|
(87,395
|
)
|
|
(42,555
|
)
|
|
Net cash (used in) provided by financing activities
|
|
(411,384
|
)
|
|
(467,332
|
)
|
|
2,069,199
|
|
|
Net (decrease) increase in cash and due from bank
|
|
(374,399
|
)
|
|
(452,718
|
)
|
|
1,015,716
|
|
|
Cash and due from bank at beginning of year
|
|
569,513
|
|
|
1,022,231
|
|
|
6,515
|
|
|
Cash and due from bank at end of year
|
|
$
|
195,114
|
|
|
569,513
|
|
|
1,022,231
|
|
|
|
2016 Quarter Ended
|
|||||||||||
|
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
|||||
|
|
(In thousands, except per share data)
|
|||||||||||
Interest and dividend income
|
|
$
|
192,107
|
|
|
194,960
|
|
|
198,374
|
|
|
208,079
|
|
Interest expense
|
|
37,544
|
|
|
37,655
|
|
|
38,768
|
|
|
39,369
|
|
|
Net interest income
|
|
154,563
|
|
|
157,305
|
|
|
159,606
|
|
|
168,710
|
|
|
Provision for loan losses
|
|
5,000
|
|
|
5,000
|
|
|
5,000
|
|
|
4,750
|
|
|
Net interest income after provision for loan losses
|
|
149,563
|
|
|
152,305
|
|
|
154,606
|
|
|
163,960
|
|
|
Non-interest income
|
|
8,707
|
|
|
11,469
|
|
|
8,520
|
|
|
8,504
|
|
|
Non-interest expenses
|
|
87,146
|
|
|
91,009
|
|
|
91,398
|
|
|
89,010
|
|
|
Income before income tax expense
|
|
71,124
|
|
|
72,765
|
|
|
71,728
|
|
|
83,454
|
|
|
Income tax expense
|
|
26,455
|
|
|
27,625
|
|
|
21,878
|
|
|
30,989
|
|
|
Net income
|
|
$
|
44,669
|
|
|
45,140
|
|
|
49,850
|
|
|
52,465
|
|
Basic earnings per common share
|
|
$
|
0.14
|
|
|
0.15
|
|
|
0.17
|
|
|
0.18
|
|
Diluted earnings per common share
|
|
$
|
0.14
|
|
|
0.15
|
|
|
0.17
|
|
|
0.18
|
|
|
|
2015 Quarter Ended
|
|||||||||||
|
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
|||||
|
|
(In thousands, except per share data)
|
|||||||||||
Interest and dividend income
|
|
$
|
175,159
|
|
|
181,529
|
|
|
186,897
|
|
|
188,138
|
|
Interest expense
|
|
30,717
|
|
|
32,977
|
|
|
35,623
|
|
|
37,322
|
|
|
Net interest income
|
|
144,442
|
|
|
148,552
|
|
|
151,274
|
|
|
150,816
|
|
|
Provision for loan losses
|
|
9,000
|
|
|
7,000
|
|
|
5,000
|
|
|
5,000
|
|
|
Net interest income after provision for loan losses
|
|
135,442
|
|
|
141,552
|
|
|
146,274
|
|
|
145,816
|
|
|
Non-interest income
|
|
8,534
|
|
|
11,585
|
|
|
11,306
|
|
|
8,700
|
|
|
Non-interest expenses
|
|
76,909
|
|
|
79,836
|
|
|
85,921
|
|
|
85,666
|
|
|
Income before income tax expense
|
|
67,067
|
|
|
73,301
|
|
|
71,659
|
|
|
68,850
|
|
|
Income tax expense
|
|
25,120
|
|
|
26,939
|
|
|
22,865
|
|
|
24,448
|
|
|
Net income
|
|
$
|
41,947
|
|
|
46,362
|
|
|
48,794
|
|
|
44,402
|
|
Basic earnings per common share
|
|
$
|
0.12
|
|
|
0.14
|
|
|
0.15
|
|
|
0.14
|
|
Diluted earnings per common share
|
|
0.12
|
|
|
0.14
|
|
|
0.15
|
|
|
0.14
|
|
|
For the Year Ended December 31,
|
||||||||||
|
2016
|
|
2015
|
|
2014
|
||||||
Earnings for basic and diluted earnings per common share
|
(Dollars in thousands, except per share data)
|
||||||||||
|
|
|
|
|
|
||||||
Earnings applicable to common stockholders
|
$
|
192,125
|
|
|
$
|
181,505
|
|
|
$
|
131,721
|
|
|
|
|
|
|
|
||||||
Shares
|
|
|
|
|
|
||||||
Weighted-average common shares outstanding - basic
|
297,580,834
|
|
|
329,763,527
|
|
|
344,389,259
|
|
|||
Effect of dilutive common stock equivalents (1)
|
3,374,051
|
|
|
3,169,921
|
|
|
3,342,312
|
|
|||
Weighted-average common shares outstanding - diluted
|
300,954,885
|
|
|
332,933,448
|
|
|
347,731,571
|
|
|||
|
|
|
|
|
|
||||||
Earnings per common share
|
|
|
|
|
|
||||||
Basic
|
$
|
0.65
|
|
|
$
|
0.55
|
|
|
$
|
0.38
|
|
Diluted
|
$
|
0.64
|
|
|
$
|
0.55
|
|
|
$
|
0.38
|
|
|
Year ended December 31, 2016
|
|
Year ended December 31, 2015
|
|
Year ended December 31, 2014
|
||||||||||||||||||||||
|
Gross
|
|
Tax
|
|
Net
|
|
Gross
|
|
Tax
|
|
Net
|
|
Gross
|
|
Tax
|
|
Net
|
||||||||||
|
(Dollars in thousands)
|
||||||||||||||||||||||||||
Net income
|
$
|
299,072
|
|
|
(106,947
|
)
|
|
192,125
|
|
|
280,877
|
|
|
(99,372
|
)
|
|
181,505
|
|
|
206,472
|
|
|
(74,751
|
)
|
|
131,721
|
|
Other comprehensive income (loss):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Change in funded status of retirement obligations
|
12,452
|
|
|
(4,981
|
)
|
|
7,471
|
|
|
(2,425
|
)
|
|
970
|
|
|
(1,455
|
)
|
|
(8,402
|
)
|
|
3,360
|
|
|
(5,042
|
)
|
|
Unrealized (loss) gain on securities available-for-sale
|
(19,399
|
)
|
|
7,115
|
|
|
(12,284
|
)
|
|
(7,982
|
)
|
|
3,049
|
|
|
(4,933
|
)
|
|
9,836
|
|
|
(3,884
|
)
|
|
5,952
|
|
|
Accretion of loss on securities reclassified to held to maturity available for sale
|
1,846
|
|
|
(754
|
)
|
|
1,092
|
|
|
2,448
|
|
|
(1,000
|
)
|
|
1,448
|
|
|
2,918
|
|
|
(1,192
|
)
|
|
1,726
|
|
|
Reclassification adjustment for security gains included in net income
|
(2,264
|
)
|
|
906
|
|
|
(1,358
|
)
|
|
(1,553
|
)
|
|
6
|
|
|
(1,547
|
)
|
|
(233
|
)
|
|
95
|
|
|
(138
|
)
|
|
Other-than-temporary impairment accretion on debt securities
|
1,488
|
|
|
(608
|
)
|
|
880
|
|
|
1,802
|
|
|
(736
|
)
|
|
1,066
|
|
|
1,343
|
|
|
(549
|
)
|
|
794
|
|
|
Net gains on derivatives arising during the period
|
12,550
|
|
|
(5,126
|
)
|
|
7,424
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Total other comprehensive (loss) income
|
6,673
|
|
|
(3,448
|
)
|
|
3,225
|
|
|
(7,710
|
)
|
|
2,289
|
|
|
(5,421
|
)
|
|
5,462
|
|
|
(2,170
|
)
|
|
3,292
|
|
|
Total comprehensive income
|
$
|
305,745
|
|
|
(110,395
|
)
|
|
195,350
|
|
|
273,167
|
|
|
(97,083
|
)
|
|
176,084
|
|
|
211,934
|
|
|
(76,921
|
)
|
|
135,013
|
|
|
Change in
funded status of
retirement
obligations
|
|
Accretion of loss on securities reclassified to held to maturity
|
|
Unrealized gains
on securities
available-for-sale and gains included in net income
|
|
Other-than-
temporary
impairment
accretion on debt
securities
|
|
Unrealized gains on derivatives
|
|
Total
accumulated
other
comprehensive
loss
|
|||||||
|
(Dollars in thousands)
|
|||||||||||||||||
Balance - December 31, 2015
|
$
|
(12,366
|
)
|
|
(3,080
|
)
|
|
1,371
|
|
|
(13,750
|
)
|
|
—
|
|
|
(27,825
|
)
|
Net change
|
7,471
|
|
|
1,092
|
|
|
(13,642
|
)
|
|
880
|
|
|
7,424
|
|
|
3,225
|
|
|
Balance - December 31, 2016
|
$
|
(4,895
|
)
|
|
(1,988
|
)
|
|
(12,271
|
)
|
|
(12,870
|
)
|
|
7,424
|
|
|
(24,600
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Balance - December 31, 2014
|
$
|
(10,911
|
)
|
|
(4,528
|
)
|
|
7,851
|
|
|
(14,816
|
)
|
|
—
|
|
|
(22,404
|
)
|
Net change
|
(1,455
|
)
|
|
1,448
|
|
|
(6,480
|
)
|
|
1,066
|
|
|
—
|
|
|
(5,421
|
)
|
|
Balance - December 31, 2015
|
$
|
(12,366
|
)
|
|
(3,080
|
)
|
|
1,371
|
|
|
(13,750
|
)
|
|
—
|
|
|
(27,825
|
)
|
|
Year Ended December 31,
|
|||||
|
2016
|
|
2015
|
|||
|
(In thousands)
|
|||||
Reclassification adjustment for gains included in net income
|
|
|
|
|||
Gain on security transactions
|
$
|
(2,264
|
)
|
|
(1,553
|
)
|
Change in funded status of retirement obligations (1)
|
|
|
|
|||
Compensation and fringe benefits:
|
|
|
|
|||
Adjustment of net obligation
|
249
|
|
|
2,512
|
|
|
Amortization of net obligation or asset
|
—
|
|
|
—
|
|
|
Amortization of prior service cost
|
—
|
|
|
49
|
|
|
Amortization of net gain
|
1,610
|
|
|
1,354
|
|
|
Compensation and fringe benefits
|
1,859
|
|
|
3,915
|
|
|
Interest Expense:
|
|
|
|
|||
Reclassification adjustment for unrealized losses on derivatives
|
440
|
|
|
—
|
|
|
Total before tax
|
35
|
|
|
2,362
|
|
|
Income tax benefit
|
1,179
|
|
|
976
|
|
|
Net of tax
|
$
|
(1,144
|
)
|
|
1,386
|
|
(a)(3)
|
Exhibits
|
3.1
|
|
|
Certificate of Incorporation of Investors Bancorp, Inc. (1)
|
|
|
|
|
3.2
|
|
|
Bylaws of Investors Bancorp, Inc. (1)
|
|
|
|
|
4
|
|
|
Form of Common Stock Certificate of Investors Bancorp, Inc. (1)
|
|
|
|
|
10.1
|
|
|
Amended and Restated Employment Agreement between Investors Bancorp, Inc. and Kevin Cummings (1)
|
|
|
|
|
10.2
|
|
|
Amended and Restated Employment Agreement between Investors Bancorp, Inc. and Domenick A. Cama (1)
|
|
|
|
|
10.3
|
|
|
Amended and Restated Employment Agreement Investors Bancorp, Inc. and Richard S. Spengler (2)
|
|
|
|
|
10.4
|
|
|
Amendment to Amended and Restated Employment Agreement with Richard S. Spengler (3)
|
|
|
|
|
10.5
|
|
|
Amended and Restated Employment Agreement Investors Bancorp, Inc. and Paul Kalamaras (4)
|
|
|
|
|
10.6
|
|
|
Amendment to Amended and Restated Employment Agreement with Paul Kalamaras (3)
|
|
|
|
|
10.7
|
|
|
Employment Agreement Investors Bancorp, Inc. and Sean Burke (5)
|
|
|
|
|
10.8
|
|
|
Amendment to Employment Agreement with Sean Burke (3)
|
|
|
|
|
10.9
|
|
|
Investors Bancorp, Inc. 2015 Equity Incentive Plan (6)
|
|
|
|
|
10.10
|
|
|
Investors Bancorp, Inc. 2006 Equity Incentive Plan (7)
|
|
|
|
|
10.11
|
|
|
Roma Financial Corporation 2008 Equity Incentive Plan (8)
|
|
|
|
|
10.12
|
|
|
Investors Bank Executive Officer Annual Incentive Plan (9)
|
|
|
|
|
10.13
|
|
|
Investors Bank Amended and restated Supplemental ESOP and Retirement Plan (1)
|
|
|
|
|
10.14
|
|
|
Amended and Restated Investors Bank Executive Supplemental Retirement Wage Replacement Plan (1)
|
|
|
|
|
10.15
|
|
|
Amendment to Amended and Restated Investors Bank Executive Supplemental Retirement Wage Replacement Plan dated December 19, 2016
|
|
|
|
|
10.16
|
|
|
Amendment to Amended and Restated Investors Bank Executive Supplemental Retirement Wage Replacement Plan dated February 29, 2016
|
|
|
|
|
10.17
|
|
|
Investors Bank Amended and Restated Director Retirement Plan (1)
|
|
|
|
|
10.18
|
|
|
Investors Bancorp, Inc. Deferred Directors Fee Plan (1)
|
|
|
|
|
10.19
|
|
|
Investors Bank Deferred Directors Fee Plan (1)
|
10.20
|
|
|
Split Dollar Life Insurance Agreement between Roma Bank and Robert C. Albanese, as assumed by Investors Bank (10)
|
|
|
|
|
10.21
|
|
|
Split Dollar Life Insurance Agreement between Roma Bank and Dennis M. Bone, assumed by Investors Bank (10)
|
|
|
|
|
10.22
|
|
|
Split Dollar Life Insurance Agreement between Roma Bank and Michele N. Siekerka, as assumed by Investors Bank (10)
|
21
|
|
|
Subsidiaries of Registrant
|
|
|
|
|
23.1
|
|
|
Consent of Independent Registered Public Accounting Firm
|
|
|
|
|
31.1
|
|
|
Certification of Principal Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
|
|
|
|
31.2
|
|
|
Certification of Principal Financial and Accounting Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
|
|
|
|
|
32.1
|
|
|
Certification of Principal Executive Officer and Principal Financial and Accounting Officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
|
|
|
|
|
101
|
|
|
Interactive data files pursuant to Rule 405 of Regulation S-T: (i) the Consolidated Balance Sheets, (ii) the Consolidated Statements of Income, (iii) the Consolidated Statements of Comprehensive Income, (iv) the Consolidated Statements of Stockholders’ Equity, (v) the Consolidated Statements of Cash Flows, and (vi) related notes to these financial statements
|
(1)
|
Incorporated by reference to the Registration Statement on Form S-1 of Investors Bancorp, Inc. (Commission File no. 333-192966), originally filed with the Securities and Exchange Commission on December 20, 2013.
|
(2)
|
Incorporated by reference to Exhibit 10.1 to the Current Report on Form 8-K of Investors Bancorp, Inc. (Commission File No. 000-51557) filed with the Securities and Exchange Commission on April 1, 2010.
|
(3)
|
Incorporated by reference to Exhibit 10.1, 10.2 and 10.3 to the Quarterly Report on 10-Q of Investors Bancorp, Inc. (Commission File No. 001-36441) filed with the Securities and Exchange Commission on May 10, 2016.
|
(4)
|
Incorporated by reference to Exhibit 10.2 to the Current Report on Form 8-K of Investors Bancorp, Inc. (Commission File No. 000-51557) filed with the Securities and Exchange Commission on April 1, 2010.
|
(5)
|
Incorporated by reference to Exhibit 10.5 to the Annual Report on Form 10-K of Investors Bancorp, Inc. (Commission File No. 001-36441) filed with the Securities and Exchange Commission on March 3, 2015.
|
(6)
|
Incorporated by reference to Appendix A to the Definitive Proxy Statement for Investors Bancorp, Inc.'s 2015 Annual Meeting of Stockholders (Commission File No. 001-36441) filed with the Securities and Exchange Commission on April 30, 2015.
|
(7)
|
Incorporated by reference to Appendix B to the Definitive Proxy Statement for Investors Bancorp, Inc.’s 2006 Annual Meeting of Stockholders (Commission File No. 000-51557) filed with the Securities and Exchange Commission on September 15, 2006.
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(8)
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Incorporated by reference to Exhibit 10.1 to the Registration Statement on Form S-8 of Investors Bancorp, Inc. (Commission File No. 333-192717) filed with the Securities and Exchange Commission on December 9, 2013.
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(9)
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Incorporated by reference to Annex D to the Definitive Proxy Statement for Investors Bancorp, Inc.’s 2013 Annual Meeting of Stockholders (Commission File No. 000-51557) filed with the Securities and Exchange Commission on April 29, 2013.
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(10)
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Incorporated by reference to the Amended Registration Statement on Form S-1 of Investors Bancorp, Inc. (Commission File no. 333-192966) filed with the Securities and Exchange Commission on February 11, 2014.
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ITEM 16.
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FORM 10-K SUMMARY
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INVESTORS BANCORP, INC.
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Date: March 1, 2017
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By:
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/s/ Kevin Cummings
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Kevin Cummings
Chief Executive Officer and President
(Principal Executive Officer)
(Duly Authorized Representative)
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Signatures
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Title
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Date
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/s/ Kevin Cummings
Kevin Cummings
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Director, Chief Executive Officer and President
(Principal Executive Officer)
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March 1, 2017
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/s/ Domenick Cama
Domenick Cama
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Director, Chief Operating Officer
and Senior Executive Vice President
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March 1, 2017
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/s/ Sean Burke
Sean Burke
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Chief Financial Officer and
Senior Vice President
(Principal Financial and Accounting Officer)
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March 1, 2017
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/s/ Robert M. Cashill
Robert M. Cashill
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Director, Chairman
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March 1, 2017
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/s/ Robert C. Albanese
Robert C. Albanese
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Director
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March 1, 2017
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/s/ Dennis M. Bone
Dennis M. Bone
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Director
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March 1, 2017
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/s/ Doreen R. Byrnes
Doreen R. Byrnes
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Director
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March 1, 2017
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/s/ William Cosgrove
William Cosgrove
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Director
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March 1, 2017
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/s/ Brian D. Dittenhafer
Brian D. Dittenhafer
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Director
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March 1, 2017
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/s/ James Garibaldi
James Garibaldi
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Director
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March 1, 2017
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/s/ Michele N. Siekerka
Michele N. Siekerka
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Director
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March 1, 2017
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/s/ James H. Ward III
James H. Ward III
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Director
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March 1, 2017
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