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Document and Entity Information - USD ($)	12 Months Ended
Document and Entity Information - USD ($)	Dec. 31, 2017	Feb. 14, 2018	Jun. 30, 2017
Document and Entity Information
Entity Registrant Name	BANK OF HAWAII CORP
Entity Central Index Key	0000046195
Document Type	10-K
Document Period End Date	Dec. 31, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Large Accelerated Filer
Entity Public Float			$ 3,441,510,556
Entity Common Stock, Shares Outstanding		42,325,091
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	FY

Consolidated Statements of Income - USD ($) $ in Thousands	12 Months Ended
Consolidated Statements of Income - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Interest Income
Interest and Fees on Loans and Leases	$ 370,441	$ 333,239	$ 298,522
Income on Investment Securities
Available-for-Sale	46,772	41,892	41,492
Held-to-Maturity	81,740	79,087	89,650
Deposits	15	9	8
Funds Sold	3,882	2,861	1,133
Other	944	812	1,305
Total Interest Income	503,794	457,900	432,110
Interest Expense
Deposits	22,332	12,647	9,626
Securities Sold Under Agreements to Repurchase	19,592	23,406	25,364
Funds Purchased	123	12	12
Short-term Borrowings	64	0	0
Other Debt	4,445	4,256	3,021
Total Interest Expense	46,556	40,321	38,023
Net Interest Income	457,238	417,579	394,087
Provision for Credit Losses	16,900	4,750	1,000
Net Interest Income After Provision for Credit Losses	440,338	412,829	393,087
Noninterest Income
Trust and Asset Management	45,430	46,203	47,685
Mortgage Banking	12,949	19,895	11,583
Service Charges on Deposit Accounts	32,575	33,654	34,072
Fees, Exchange, and Other Service Charges	54,845	55,176	53,353
Investment Securities Gains (Losses), Net	10,430	10,203	10,160
Annuity and Insurance	6,858	7,017	7,664
Bank-Owned Life Insurance	6,517	6,561	7,039
Other	15,813	18,634	14,663
Total Noninterest Income	185,417	197,343	186,219
Noninterest Expense
Salaries and Benefits	205,536	201,150	191,963
Net Occupancy	32,536	30,252	30,217
Net Equipment	22,078	20,578	20,162
Data Processing	15,483	15,208	16,472
Professional Fees	11,681	10,072	9,660
FDIC Insurance	8,666	8,615	8,669
Other	61,711	64,703	70,961
Total Noninterest Expense	357,691	350,578	348,104
Income Before Provision for Income Taxes	268,064	259,594	231,202
Provision for Income Taxes	83,392	78,133	70,498
Net Income	$ 184,672	$ 181,461	$ 160,704
Basic Earnings Per Share (in dollars per share)	$ 4.37	$ 4.26	$ 3.72
Diluted Earnings Per Share (in dollars per share)	4.33	4.23	3.70
Dividends Declared Per Share (in dollars per share)	$ 2.04	$ 1.89	$ 1.80
Basic Weighted Average Shares (in shares)	42,280,931	42,644,100	43,217,818
Diluted Weighted Average Shares (in shares)	42,607,057	42,879,783	43,454,877

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Statement of Comprehensive Income [Abstract]
Net Income	$ 184,672	$ 181,461	$ 160,704
Other Comprehensive Income (Loss), Net of Tax:
Net Unrealized Gains (Losses) on Investment Securities	(1,986)	(10,318)	(2,125)
Defined Benefit Plans, Net	1,177	(31)	5,254
Other Comprehensive Income (Loss)	(809)	(10,349)	3,129
Comprehensive Income	$ 183,863	$ 171,112	$ 163,833

Consolidated Statements of Condition - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Assets
Interest-Bearing Deposits in Other Banks	$ 3,421	$ 3,187
Funds Sold	181,413	707,343
Investment Securities
Available-for-Sale	2,232,979	2,186,041
Held-to-Maturity (Fair Value of $3,894,121 and $3,827,527)	3,928,170	3,832,997
Loans Held for Sale	19,231	62,499
Loans and Leases	9,796,947	8,949,785
Allowance for Loan and Lease Losses	(107,346)	(104,273)
Net Loans and Leases	9,689,601	8,845,512
Total Earning Assets	16,054,815	15,637,579
Cash and Due From Banks	263,017	169,077
Premises and Equipment, Net	130,926	113,505
Accrued Interest Receivable	50,485	46,444
Foreclosed Real Estate	1,040	1,686
Mortgage Servicing Rights	24,622	23,663
Goodwill	31,517	31,517
Bank-Owned Life Insurance	280,034	274,188
Other Assets	252,596	194,708
Total Assets	17,089,052	16,492,367
Deposits
Noninterest-Bearing Demand	4,724,300	4,772,727
Interest-Bearing Demand	3,082,563	2,934,107
Savings	5,389,013	5,395,699
Time	1,688,092	1,217,707
Total Deposits	14,883,968	14,320,240
Funds Purchased	0	9,616
Securities Sold Under Agreements to Repurchase	505,293	523,378
Other Debt	260,716	267,938
Retirement Benefits Payable	37,312	48,451
Accrued Interest Payable	6,946	5,334
Taxes Payable and Deferred Taxes	24,009	21,674
Other Liabilities	138,940	134,199
Total Liabilities	15,857,184	15,330,830
Commitments, Contingencies, and Guarantees (Note 20)
Shareholders' Equity
Common Stock ($.01 par value; authorized 500,000,000 shares; issued / outstanding: December 31, 2017 - 57,959,074 / 42,401,443 and December 31, 2016 - 57,856,672 / 42,635,978)	576	576
Capital Surplus	561,161	551,628
Accumulated Other Comprehensive Loss	(34,715)	(33,906)
Retained Earnings	1,512,218	1,415,440
Treasury Stock, at Cost (Shares: December 31, 2017 - 15,557,631 and December 31, 2016 - 15,220,694)	(807,372)	(772,201)
Total Shareholders' Equity	1,231,868	1,161,537
Total Liabilities and Shareholders' Equity	$ 17,089,052	$ 16,492,367

Consolidated Statements of Condition (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Held-to-Maturity, Fair Value	$ 3,894,121	$ 3,827,527
Common Stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common Stock, authorized shares	500,000,000	500,000,000
Common Stock, issued shares	57,959,074	57,856,672
Common Stock, outstanding shares	42,401,443	42,635,978
Treasury Stock, Shares	15,444,852	15,220,694

Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Capital Surplus	Accumulated Other Comprehensive Income (Loss)	Retained Earnings	Treasury Stock
Balance at Beginning of Period at Dec. 31, 2014	$ 1,055,086	$ 574	$ 531,932	$ (26,686)	$ 1,234,801	$ (685,535)
Beginning Balance (in shares) at Dec. 31, 2014		43,724,208
Increase (decrease) in shareholders' equity
Net Income	160,704				160,704
Other Comprehensive Income (Loss)	3,129			3,129
Share-Based Compensation	7,689		7,689
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits	21,000	$ 1	2,420		(878)	19,457
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits (in shares)		401,904
Common Stock Repurchased	(52,981)					(52,981)
Common Stock Repurchased (in shares)		(843,959)
Cash Dividends Declared ($1.80 per share)	(78,367)				(78,367)
Balance at End of Period at Dec. 31, 2015	1,116,260	$ 575	542,041	(23,557)	1,316,260	(719,059)
Ending Balance (in shares) at Dec. 31, 2015		43,282,153
Increase (decrease) in shareholders' equity
Net Income	181,461				181,461
Other Comprehensive Income (Loss)	(10,349)			(10,349)
Share-Based Compensation	6,786		6,786
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits	10,343	$ 1	2,801		(1,124)	8,665
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits (in shares)		259,985
Common Stock Repurchased	(61,807)					(61,807)
Common Stock Repurchased (in shares)		(906,160)
Cash Dividends Declared ($1.80 per share)	(81,157)				(81,157)
Balance at End of Period at Dec. 31, 2016	$ 1,161,537	$ 576	551,628	(33,906)	1,415,440	(772,201)
Ending Balance (in shares) at Dec. 31, 2016	42,635,978	42,635,978
Increase (decrease) in shareholders' equity
Net Income	$ 184,672				184,672
Other Comprehensive Income (Loss)	(809)			(809)
Share-Based Compensation	7,369		7,369
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits	13,241	$ 0	2,164		(828)	11,905
Common Stock Issued under Purchase and Equity Compensation Plans and Related Tax Benefits (in shares)		337,091
Common Stock Repurchased	$ (47,076)					(47,076)
Common Stock Repurchased (in shares)	(549,199)	(571,626)
Cash Dividends Declared ($1.80 per share)	$ (87,066)				(87,066)
Balance at End of Period at Dec. 31, 2017	$ 1,231,868	$ 576	$ 561,161	$ (34,715)	$ 1,512,218	$ (807,372)
Ending Balance (in shares) at Dec. 31, 2017	42,401,443	42,401,443

Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Statement of Stockholders' Equity [Abstract]
Dividends Declared Per Share (in dollars per share)	$ 2.04	$ 1.89	$ 1.80

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Operating Activities
Net Income	$ 184,672	$ 181,461	$ 160,704
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Provision for Credit Losses	16,900	4,750	1,000
Impairment of Equipment Held for Sale	0	0	9,453
Depreciation and Amortization	13,048	12,871	12,785
Amortization of Deferred Loan and Lease Fees	(1,031)	(1,467)	(1,896)
Amortization and Accretion of Premiums/Discounts on Investment Securities, Net	39,186	43,728	49,698
Share-Based Compensation	7,369	6,786	7,689
Benefit Plan Contributions	(11,454)	(1,284)	(1,974)
Deferred Income Taxes	4,177	7,187	(6,517)
Net Gains (Losses) on Sale of Loans and Leases	(6,780)	(11,113)	(4,139)
Net Losses (Gains) on Investment Securities	(10,430)	(10,203)	(10,160)
Proceeds from Sales of Loans Held for Sale	323,784	273,597	86,338
Originations of Loans Held for Sale	(326,195)	(280,391)	(81,224)
Net Tax Benefits from Share-based Compensation	2,521	0	0
Tax Benefits from Share-Based Compensation	0	(1,153)	(1,076)
Net Change in Other Assets and Other Liabilities	(60,622)	1,760	13,331
Net Cash Provided by Operating Activities	175,145	226,529	234,012
Investment Securities Available-for-Sale:
Proceeds from Prepayments and Maturities	354,804	398,405	413,587
Proceeds from Sales	10,435	10,430	67,985
Purchases	(427,061)	(367,346)	(468,573)
Investment Securities Held-to-Maturity:
Proceeds from Prepayments and Maturities	882,748	806,339	979,007
Purchases	(995,076)	(677,652)	(518,664)
Net Change in Loans and Leases	(954,984)	(1,263,749)	(1,092,118)
Proceeds from Sale of Loans and Leases Held-for-investment	137,717	147,898	101,803
Premises and Equipment, Net	(30,470)	(15,177)	(14,130)
Net Cash Provided by (Used in) Investing Activities	(1,021,887)	(960,852)	(531,103)
Financing Activities
Net Change in Deposits	563,728	1,069,137	618,014
Net Change in Short-Term Borrowings	(27,701)	(103,196)	(60,870)
Proceeds from Long-Term Debt	0	75,000	175,000
Repayments of Other Debt	0	(50,000)	(100,000)
Tax Benefits from Share-Based Compensation	0	1,153	1,076
Proceeds from Issuance of Common Stock	13,101	9,079	15,364
Repurchase of Common Stock	(47,076)	(61,807)	(52,981)
Cash Dividends Paid	(87,066)	(81,157)	(78,367)
Net Cash Provided by (Used in) Financing Activities	414,986	858,209	517,236
Net Change in Cash and Cash Equivalents	(431,756)	123,886	220,145
Cash and Cash Equivalents at End of Period	447,851	879,607	755,721
Cash and Cash Equivalents at Beginning of Period	879,607	755,721	535,576
Supplemental Information
Cash Paid for Interest	44,945	39,482	37,419
Cash Paid for Income Taxes	67,883	57,005	72,740
Non-Cash Investing and Financing Activities:
Transfer from Loans to Foreclosed Real Estate	2,559	1,058	676
Transfer of Loans to Loans Held for Sale	$ 86,625	$ 189,972	$ 101,803

Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2017

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Basis of Presentation

Bank of Hawaii Corporation (the “Parent”) is a Delaware corporation and a bank holding company headquartered in Honolulu, Hawaii. Bank of Hawaii Corporation and its subsidiaries (collectively, the “Company”) provide a broad range of financial products and services to customers in Hawaii, Guam, and other Pacific Islands. The majority of the Company’s operations consist of customary commercial and consumer banking services including, but not limited to, lending, leasing, deposit services, trust and investment activities, brokerage services, and trade financing.

The accounting and reporting principles of the Company conform to U.S. generally accepted accounting principles (“GAAP”) and prevailing practices within the financial services industry. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts in the financial statements and accompanying notes. Actual results may differ from those estimates and such differences could be material to the financial statements.

Certain prior period information has been reclassified to conform to the current year presentation.

The following is a summary of the Company’s significant accounting policies:

Consolidation

The accompanying consolidated financial statements include the accounts of the Parent and its subsidiaries. The Parent’s principal operating subsidiary is Bank of Hawaii (the “Bank”). All significant intercompany accounts and transactions have been eliminated in consolidation.

Variable Interest Entities

Variable interests are defined as contractual ownership or other interests in an entity that change with fluctuations in an entity’s net asset value. The primary beneficiary consolidates the variable interest entity (“VIE”). The primary beneficiary is defined as the enterprise that has both the power to direct the activities of the VIE that most significantly impact the entity’s economic performance and the obligation to absorb losses or the right to receive benefits that could be significant to the VIE.

The Company has limited partnership interests in several low-income housing partnerships. These partnerships provide funds for the construction and operation of apartment complexes that provide affordable housing to lower-income households. If these developments successfully attract a specified percentage of residents falling in that lower income range, state and/or federal income tax credits are made available to the partners. The tax credits are generally recognized over 10 years. In order to continue receiving the tax credits each year over the life of the partnership, the low-income residency targets must be maintained.

Prior to January 1, 2015, the Company utilized the effective yield method whereby the Company recognized tax credits generally over 10 years and amortized the initial cost of the investment to provide a constant effective yield over the period that tax credits are allocated to the Company. On January 1, 2015, the Company adopted ASU No. 2014-01, “Accounting for Investments in Qualified Affordable Housing Projects” prospectively for new investments. ASU No. 2014-01 permits reporting entities to make an accounting policy election to account for their investments in qualified affordable housing projects using the proportional amortization method if certain conditions are met. As permitted by ASU No. 2014-01, the Company elected to continue to utilize the effective yield method for investments made prior to January 1, 2015.

Unfunded commitments to fund these low-income housing partnerships were $17.5 million and $16.2 million as of December 31, 2017 and 2016, respectively. These unfunded commitments are unconditional and legally binding and are recorded in other liabilities in the consolidated statements of condition. See Note 18 Affordable Housing Projects Tax Credit Partnerships for more information.

The Company also has limited partnership interests in solar energy tax credit partnership investments. These partnerships develop, build, own and operate solar renewable energy projects. Over the course of these investments, the Company expects to receive federal and state tax credits, tax-related benefits, and excess cash available for distribution, if any. The Company may be called to sell its interest in the limited partnerships through a call option once all investment tax credits have been recognized. Tax benefits associated with these investments are generally recognized over 6 years.

These entities meet the definition of a VIE; however, the Company is not the primary beneficiary of the entities, as the general partner has both the power to direct the activities that most significantly impact the economic performance of the entities and the obligation to absorb losses or the right to receive benefits that could be significant to the entities. While the partnership agreements allow the limited partners, through a majority vote, to remove the general partner, this right is not deemed to be substantive as the general partner can only be removed for cause.

The investments in these entities are initially recorded at cost, which approximates the maximum exposure to loss as a result of the Company’s involvement with these unconsolidated entities. The balance of the Company’s investments in these entities was $87.6 million and $78.9 million as of December 31, 2017 and 2016, respectively, and is included in other assets in the consolidated statements of condition.

Investment Securities

Investment securities are accounted for according to their purpose and holding period. Trading securities are those that are bought and held principally for the purpose of selling them in the near term. The Company held no trading securities as of December 31, 2017 and 2016. Available-for-sale investment securities, comprised of debt and mortgage-backed securities, are those that may be sold before maturity due to changes in the Company’s interest rate risk profile or funding needs, and are reported at fair value with unrealized gains and losses, net of taxes, reported as a component of other comprehensive income. Held-to-maturity investment securities, comprised of debt and mortgage-backed securities, are those that management has the positive intent and ability to hold to maturity and are reported at amortized cost.

Realized gains and losses are recorded in noninterest income and are determined on a trade date basis using the specific identification method. Interest and dividends on investment securities are recognized in interest income on an accrual basis. Premiums and discounts are amortized or accreted into interest income using the interest method over the expected lives of the individual securities.

Transfers of debt securities from the available-for-sale category to the held-to-maturity category are made at fair value at the date of transfer. The unrealized holding gain or loss at the date of transfer remains in accumulated other comprehensive income and in the carrying value of the held-to-maturity investment security. Premiums or discounts on investment securities are amortized or accreted as an adjustment of yield using the interest method over the estimated life of the security. Unrealized holding gains or losses that remain in accumulated other comprehensive income are also amortized or accreted over the estimated life of the security as an adjustment of yield, offsetting the related amortization of the premium or accretion of the discount.

Other-Than-Temporary-Impairments of Investment Securities

The Company conducts an other-than-temporary-impairment (“OTTI”) analysis of investment securities on a quarterly basis or more often if a potential loss-triggering event occurs. A write-down of a debt security is recorded when fair value is below amortized cost in circumstances where: (1) the Company has the intent to sell a security; (2) it is more likely than not that the Company will be required to sell the security before recovery of its amortized cost basis; or (3) the Company does not expect to recover the entire amortized cost basis of the security. If the Company intends to sell a security or if it is more likely than not that the Company will be required to sell the security before recovery, an OTTI write-down is recognized in earnings equal to the entire difference between the security’s amortized cost basis and its fair value. If the Company does not intend to sell the security or it is not more likely than not that it will be required to sell the security before recovery, the OTTI write-down is separated into an amount representing credit loss, which is recognized in earnings, and an amount related to all other factors, which is recognized in other comprehensive income. To determine the amount related to credit loss on a debt security, the Company applies a methodology similar to that used for evaluating the impairment of loans. As of December 31, 2017, management determined that the Company did not own any investment securities that were other-than-temporarily-impaired.

Loans Held for Sale

Residential mortgage loans with the intent to be sold in the secondary market are accounted for on an aggregate basis under the fair value option. Fair value is primarily determined based on quoted prices for similar loans in active markets. Non-refundable fees and direct loan origination costs related to residential mortgage loans held for sale are recognized as part of the cost basis of the loan at the time of sale. Gains and losses on sales of residential mortgage loans (sales proceeds minus carrying value) are recorded in the mortgage banking component of noninterest income.

Commercial loans that management has an active plan to sell are valued on an individual basis at the lower-of-cost-or fair value. Fair value is primarily determined based on quoted prices for similar loans in active markets or agreed upon sales prices. Any reduction in the loan’s value, prior to being transferred to the held-for-sale category, is reflected as a charge-off of the recorded investment in the loan resulting in a new cost basis, with a corresponding reduction in the allowance for loan and lease losses. Further decreases in the fair value of the loan are recognized in noninterest expense.

Loans and Leases

Loans are reported at the principal amount outstanding, net of unearned income including unamortized deferred loan fees and costs, and cumulative net charge-offs. Interest income is recognized on an accrual basis. Loan origination fees, certain direct costs, and unearned discounts and premiums, if any, are deferred and are generally amortized into interest income as yield adjustments using the interest method over the contractual life of the loan. Loan commitment fees are generally recognized into noninterest income. Other credit-related fees are recognized as fee income, a component of noninterest income, when earned.

Direct financing leases are carried at the aggregate of lease payments receivable plus the estimated residual value of leased property, less unearned income. Leveraged leases, which are a form of direct financing leases, are carried net of non-recourse debt. Unearned income on direct financing and leveraged leases is amortized over the lease term by methods that approximate the interest method. Residual values on leased assets are periodically reviewed for impairment.

Portfolio segments are defined as the level at which an entity develops and documents a systematic methodology to determine its allowance for loan and lease losses (the “Allowance”). Management has determined that the Company has two portfolio segments of loans and leases (commercial and consumer) in determining the Allowance. Both quantitative and qualitative factors are used by management at the portfolio segment level in determining the adequacy of the Allowance for the Company. Classes of loans and leases are a disaggregation of a Company’s portfolio segments. Classes are defined as a group of loans and leases which share similar initial measurement attributes, risk characteristics, and methods for monitoring and assessing credit risk. Management has determined that the Company has eight classes of loans and leases (commercial and industrial, commercial mortgage, construction, lease financing, residential mortgage, home equity, automobile, and other). The “other” class of loans and leases is comprised of revolving credit, credit cards, installment, and lease financing arrangements.

Non-Performing Loans and Leases

Generally, all classes of commercial loans and leases are placed on non-accrual status upon becoming contractually past due 90 days as to principal or interest (unless loans and leases are adequately secured by collateral, are in the process of collection, and are reasonably expected to result in repayment), when terms are renegotiated below market levels, or where substantial doubt about full repayment of principal or interest is evident. For residential mortgage and home equity loan classes, loans past due 120 days as to principal or interest may be placed on non-accrual status, and a partial charge-off may be recorded, depending on the collateral value and/or the collectability of the loan. For automobile and other consumer loan classes, the entire outstanding balance of the loan is charged off when the loan becomes 120 days past due (180 days past due for credit cards) as to principal or interest.

When a loan or lease is placed on non-accrual status, the accrued and unpaid interest receivable is reversed and the loan or lease is accounted for on the cash or cost recovery method until qualifying for return to accrual status. All payments received on non-accrual loans and leases are applied against the principal balance of the loan or lease. A loan or lease may be returned to accrual status when all delinquent interest and principal become current in accordance with the terms of the loan or lease agreement and when doubt about repayment is resolved.

Generally, for all classes of loans and leases, a charge-off is recorded when it is probable that a loss has been incurred and when it is possible to determine a reasonable estimate of the loss. For all classes of commercial loans and leases, a charge-off is determined on a judgmental basis after due consideration of the debtor’s prospects for repayment and the fair value of collateral. For the pooled segment of the Company’s commercial and industrial loan class, which consists of small business loans, the entire outstanding balance of the loan remains on accrual status until it is charged off during the month that the loan becomes 120 days past due as to principal or interest. As previously mentioned, for residential mortgage and home equity loan classes, a partial charge-off may be recorded at 120 days past due as to principal or interest depending on the collateral value and/or the collectability of the loan. In the event that a loan or line in the home equity loan class is behind another financial institution’s first mortgage, the entire outstanding balance of the loan is charged off when the loan becomes 120 days past due as to principal or interest, unless the combined loan-to-value ratio is 60% or less. As noted above, loans in the automobile and other consumer loan classes are charged off in its entirety upon the loan becoming 120 days past due (180 days past due for credit cards) as to principal or interest.

Impaired Loans

A loan is considered impaired when, based on current information and events, it is probable that the Company will not be able to collect all amounts due from the borrower in accordance with the contractual terms of the loan, including scheduled interest payments. Impaired loans include all classes of commercial non-accruing loans (except lease financing and small business loans), and all loans modified in a troubled debt restructuring. Impaired loans exclude lease financing and smaller balance homogeneous loans (consumer and small business non-accruing loans) that are collectively evaluated for impairment.

For all classes of commercial loans, a quarterly evaluation of individual commercial borrowers is performed to identify impaired loans. The identification of specific borrowers for review is based on a review of non-accrual loans as well as those loans specifically identified by management as exhibiting above average levels of risk.

When a loan has been identified as being impaired, the amount of impairment is measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price, or the estimated fair value of the collateral, less any selling costs, if the loan is collateral-dependent. If the measurement of the impaired loan is less than the recorded investment in the loan (including accrued interest, net of deferred loan fees or costs, and unamortized premiums or discounts), impairment is recognized by establishing or adjusting an existing allocation of the Allowance, or by recording a partial charge-off of the loan to its fair value. Interest payments made on impaired loans are typically applied to principal unless collectability of the principal amount is reasonably assured, in which case interest income may be accrued or recognized on a cash basis.

Loans Modified in a Troubled Debt Restructuring

Loans are considered to have been modified in a troubled debt restructuring when, due to a borrower’s financial difficulties, the Company makes certain concessions to the borrower that it would not otherwise consider. Modifications may include interest rate reductions, principal or interest forgiveness, forbearance, and other actions intended to minimize economic loss and to avoid foreclosure or repossession of collateral. Generally, a non-accrual loan that has been modified in a troubled debt restructuring remains on non-accrual status for a period of at least 6 months to demonstrate that the borrower is able to meet the terms of the modified loan. However, performance prior to the modification, or significant events that coincide with the modification, are included in assessing whether the borrower can meet the new terms and may result in the loan being returned to accrual status at the time of loan modification or after a shorter performance period. If the borrower’s ability to meet the revised payment schedule is uncertain, the loan remains on non-accrual status.

Reserve for Credit Losses

The Company’s reserve for credit losses is comprised of two components, the Allowance and the reserve for unfunded commitments (the “Unfunded Reserve”).

Allowance for Loan and Lease Losses

The Company maintains an Allowance adequate to cover management’s estimate of probable credit losses as of the balance sheet date. Loans and leases that are charged off reduce the Allowance while recoveries of loans and leases previously charged off increase the Allowance. Other changes to the level of the Allowance are recognized through charges or credits to the provision for credit losses (the “Provision”). The Allowance considers both unimpaired and impaired loans and is developed and documented at the portfolio segment level (commercial and consumer).

The level of the Allowance related to the Company’s commercial portfolio segment is generally based on the credit risk ratings and historical loss experience of individual borrowers. This is supplemented as necessary by credit judgment to address observed changes in trends and conditions, and other relevant environmental and economic factors that may affect the collectability of loans and leases. Excluding those loans and leases evaluated individually for impairment, the Company’s remaining commercial loans and leases are pooled and collectively evaluated for impairment based on business unit and internal risk rating segmentation.

The level of the Allowance related to the Company’s consumer portfolio segment is generally based on analyses of homogeneous pools of loans and leases. Loans and leases are pooled based on similar loan and lease risk characteristics for collective evaluation of impairment. Loss estimates are calculated based on historical rolling average loss rates and average delinquency flows to loss. Consumer loans that have been individually evaluated for impairment or modified in a troubled debt restructuring are excluded from the homogeneous pools. Impairment related to such loans is generally determined based on the present value of expected future cash flows discounted at the loan’s original effective interest rate.

The Allowance also includes an estimate for inherent losses not reflected in the historical analyses. Relevant factors include, but are not limited to, concentrations of credit risk (geographic, large borrower, and industry), economic trends and conditions, changes in underwriting standards, experience and depth of lending staff, trends in delinquencies, and the level of net charge-offs. In addition, the Company uses a variety of other tools to estimate probable credit losses including, but not limited to, a rolling quarterly forecast of asset quality metrics; stress testing; and performance indicators based on the Company’s own experience, peers, or other industry sources.

Reserve for Unfunded Commitments

The Unfunded Reserve is a component of other liabilities and represents the estimate for probable credit losses inherent in unfunded commitments to extend credit. Unfunded commitments to extend credit include banker’s acceptances, and standby and commercial letters of credit. The process used to determine the Unfunded Reserve is consistent with the process for determining the Allowance, as adjusted for estimated funding probabilities or loan and lease equivalency factors. The level of the Unfunded Reserve is adjusted by recording an expense or recovery in other noninterest expense.

Cash and Cash Equivalents

Cash and cash equivalents include cash and due from banks, interest-bearing deposits in other banks, and funds sold. All amounts are readily convertible to cash and have maturities of less than 90 days.

Premises and Equipment

Premises and equipment, including leasehold improvements, are stated at cost, less accumulated depreciation and amortization. Capital leases are included in premises and equipment at the capitalized amount less accumulated amortization.

Premises and equipment are depreciated using the straight-line method over the estimated useful lives of the respective assets. Estimated useful lives generally range up to 30 years for buildings and up to 10 years for equipment. Capitalized leased assets and leasehold improvements are amortized over the shorter of the estimated useful life of the asset or the lease term. Repairs and maintenance are charged to expense as incurred, while improvements which extend the estimated useful life of the asset are capitalized and depreciated over the estimated remaining life of the asset.

Premises and equipment are periodically evaluated for impairment when events or changes in circumstances indicate the carrying amount may not be recoverable. Impairment exists when the expected undiscounted future cash flows of premises and equipment are less than its carrying amount. In that event, the Company records a loss for the difference between the carrying amount and the fair value of the asset based on quoted market prices, if applicable, or a discounted cash flow analysis.

Foreclosed Real Estate

Foreclosed real estate consists of properties acquired through foreclosure proceedings or acceptance of a deed-in-lieu of foreclosure. These properties are recorded at fair value less estimated costs to sell the property. If the recorded investment in the loan exceeds the property’s fair value at the time of acquisition, a charge-off is recorded against the Allowance. If the fair value of the property at the time of acquisition exceeds the carrying amount of the loan, the excess is recorded either as a recovery to the Allowance if a charge-off had previously been recorded, or as a gain on initial transfer in other noninterest income. Subsequent decreases in the property’s fair value and operating expenses of the property are recognized through charges to other noninterest expense. The fair value of the property acquired is based on third party appraisals, broker price opinions, recent sales activity, or a combination thereof, subject to management judgment.

Mortgage Servicing Rights

Mortgage servicing rights are recognized as assets when mortgage loans are sold and the rights to service those loans are retained. Mortgage servicing rights are initially recorded at fair value by using a discounted cash flow model to calculate the present value of estimated future net servicing income.

The Company’s mortgage servicing rights accounted for under the fair value method are carried on the statements of condition at fair value with changes in fair value recorded in mortgage banking income in the period in which the change occurs. Changes in the fair value of mortgage servicing rights are primarily due to changes in valuation inputs, assumptions, and the collection and realization of expected cash flows.

The Company’s mortgage servicing rights accounted for under the amortization method are initially recorded at fair value. However, these mortgage servicing rights are amortized in proportion to and over the period of estimated net servicing income. An impairment analysis is prepared on a quarterly basis by estimating the fair value of the mortgage servicing rights and comparing that value to the carrying amount. A valuation allowance is established when the carrying amount of these mortgage servicing rights exceeds fair value.

Goodwill

Goodwill is initially recorded as the excess of the purchase price over the fair value of the net assets acquired in a business combination and is subsequently evaluated at least annually for impairment. Goodwill impairment testing is performed at the reporting unit level, equivalent to a business segment or one level below. The Company has goodwill assigned to the following reporting units: Investment Services and Retail Banking.

The Company performs its annual evaluation of goodwill impairment in the fourth quarter of each year and on an interim basis if events or changes in circumstances indicate that there may be impairment. The Company performs a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. The qualitative factors considered include, but are not limited to, macroeconomic and State of Hawaii economic conditions, industry and market conditions and trends, the Company’s financial performance, market capitalization, stock price, and any Company-specific events relevant to the assessment. If the assessment of qualitative factors indicates that it is not more likely than not that an impairment exists, no further testing is performed; otherwise an impairment test is performed. Prior to 2017, the goodwill impairment test was a two-step test. The first step compared the estimated fair value of identified reporting units with their carrying amount, including goodwill. If the estimated fair value of a reporting unit was less than the carrying value, the second step was required to determine the implied fair value of the reporting unit’s goodwill and the amount of goodwill impairment, if any. In 2017, the Company elected to early adopt ASU No. 2017-04, “Simplifying the Test for Goodwill Impairment.” The guidance removed Step 2 of the goodwill impairment test. Goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. All other goodwill impairment guidance remained largely unchanged. Subsequent reversals of goodwill impairment are prohibited. For the year ended December 31, 2017, the Company’s goodwill impairment evaluation, based on its qualitative assessment, indicated there was no impairment.

Non-Marketable Equity Securities

The Company is required to own Federal Home Loan Bank (“FHLB”) of Des Moines and Federal Reserve Bank (“FRB”) stock as a condition of membership. These non-marketable equity securities are accounted for at cost which equals par or redemption value. These securities do not have a readily determinable fair value as their ownership is restricted and there is no market for these securities. These securities can only be redeemed or sold at their par value and only to the respective issuing government supported institution or to another member institution. The Company records these non-marketable equity securities as a component of other assets and are periodically evaluated for impairment. Management considers these non-marketable equity securities to be long-term investments. Accordingly, when evaluating these securities for impairment, management considers the ultimate recoverability of the par value rather than by recognizing temporary declines in value.

Securities Sold Under Agreements to Repurchase

The Company enters into agreements under which it sells securities subject to an obligation to repurchase the same or similar securities. Under these arrangements, the Company may transfer legal control over the assets but still retain effective control through an agreement that both entitles and obligates the Company to repurchase the assets. As a result, securities sold under agreements to repurchase are accounted for as collateralized financing arrangements (i.e., secured borrowings) and not as a sale and subsequent repurchase of securities. The obligation to repurchase the securities is reflected as a liability in the Company’s consolidated statements of condition, while the securities underlying the securities sold under agreements to repurchase remain in the respective asset accounts. See Note 19 Balance Sheet Offsetting for more information.

Pension and Postretirement Benefit Plans

The Company incurs certain employment-related expenses associated with its two frozen pension plans and a postretirement benefit plan (the “Plans”). In order to measure the expense associated with the Plans, various assumptions are made including the discount rate, expected return on plan assets, anticipated mortality rates, and expected future healthcare costs. The assumptions are based on historical experience as well as current facts and circumstances. The Company uses a December 31 measurement date for its Plans. As of the measurement date, plan assets are determined based on fair value, generally representing observable market prices. The projected benefit obligation is primarily determined based on the present value of projected benefit distributions at an assumed discount rate.

Net periodic pension benefit costs include interest costs based on an assumed discount rate, the expected return on plan assets based on actuarially derived market-related values, and the amortization of net actuarial gains or losses. Net periodic postretirement benefit costs include service costs, interest costs based on an assumed discount rate, and the amortization of prior service credits and net actuarial gains or losses. Differences between expected and actual results in each year are included in the net actuarial gain or loss amount, which is recognized in other comprehensive income. The net actuarial gain or loss in excess of a 10% corridor is amortized in net periodic benefit cost over the average remaining expected lives of the pension plan participants and over the average remaining future service years of the postretirement benefit plan participants. The prior service credit is amortized over the average remaining service period to full eligibility for participating employees expected to receive benefits.

The Company recognizes in its consolidated statements of condition an asset for a plan’s overfunded status or a liability for a plan’s underfunded status. The Company also measures the Plans’ assets and obligations that determine its funded status as of the end of the year and recognizes those changes in other comprehensive income, net of tax.

Income Taxes

The Parent files a consolidated federal income tax return with the Bank and its subsidiaries. Calculation of the Company’s provision for income taxes requires the interpretation of income tax laws and regulations and the use of estimates and judgments in its determination. The Company is subject to examination by governmental authorities that may give rise to income tax issues due to differing interpretations. Changes to the liability for income taxes also occur due to changes in income tax rates, implementation of new business strategies, resolution of issues with taxing authorities, and newly enacted statutory, judicial, and regulatory guidance.

Deferred income taxes are provided to reflect the tax effect of temporary differences between financial statement carrying amounts and the corresponding tax basis of assets and liabilities. Deferred income taxes are calculated by applying enacted statutory tax rates and tax laws to future years in which temporary differences are expected to reverse. The impact on deferred tax assets and liabilities from a change in tax rates is recognized in income in the period that the tax rate change is enacted. A deferred tax valuation allowance is established if it is more likely than not that a deferred tax asset will not be realized.

The Company’s tax sharing policy provides for the settlement of income taxes between each relevant subsidiary as if the subsidiary had filed a separate return. Payments are made to the Parent by subsidiaries with tax liabilities and subsidiaries that generate tax benefits receive payments for those benefits as used.

The Company maintains reserves for certain tax positions that arise in the normal course of business. As of December 31, 2017, these positions were evaluated based on an assessment of probabilities as to the likelihood of whether a liability had been incurred. Such assessments are reviewed as events occur and adjustments to the reserves are made as appropriate. In evaluating a tax position for recognition, the Company evaluates whether it is more likely than not that a tax position will be sustained upon examination, including resolution of related appeals or litigation processes, based on the technical merits of the position. If the tax position meets the more likely than not recognition threshold, the tax position is measured and recognized in the Company’s Consolidated Financial Statements as the largest amount of tax benefit that, in management’s judgment, is greater than 50% likely of being realized upon ultimate settlement.

Public law No. 115-97, known as the Tax Cuts and Jobs Act (the "Act"), enacted on December 22, 2017, reduced the U.S. federal corporate tax rate from 35% to 21%. Also on December 22, 2017, the Securities and Exchange Commission issued Staff Accounting Bulletin No. 118 (SAB 118), which provides guidance on accounting for tax effects of the Act. SAB 118 provides a measurement period of up to one year from the enactment date to complete the accounting. Any adjustments during this measurement period will be included in net earnings from continuing operations as an adjustment to income tax expense in the reporting period when such adjustments are determined. Based on the information available and current interpretation of the rules, the Company has made estimates of the impact of the reduction in the corporate tax rate and remeasurement of certain deferred tax assets and liabilities. The provisional amount recorded related to the remeasurement of the Company's deferred tax balance was $3.6 million. The final impact of the Act may differ from these estimates as a result of changes in management’s interpretations and assumptions, as well as new guidance that may be issued by the Internal Revenue Service (IRS). Such estimates include but are not limited to the impact of the Act on certain low income housing investments and certain employment contracts. See Note 16 Income Taxes for more information.

Treasury Stock

Shares of the Parent’s common stock that are repurchased are recorded in treasury stock at cost. On the date of subsequent re-issuance, the treasury stock account is reduced by the cost of such stock on a first-in, first-out basis.

Earnings Per Share

Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted earnings per share is computed by dividing net income by the weighted average number of common shares outstanding for the period, assuming conversion of all potentially dilutive common stock equivalents.

Derivative Financial Instruments

In the ordinary course of business, the Company enters into derivative financial instruments as an end-user in connection with its risk management activities and to accommodate the needs of its customers. The Company has elected not to qualify for hedge accounting methods addressed under current provisions of GAAP. Derivative financial instruments are stated at fair value on the consolidated statements of condition with changes in fair value reported in current period earnings.

Share-Based Compensation

The Company may grant share-based compensation to employees and non-employee directors in the form of restricted stock, restricted stock units and stock options. The fair value of restricted stock is determined based on the closing price of the Parent’s common stock on the date of grant. The Company recognizes compensation expense related to restricted stock on a straight-line basis over the vesting period for service-based awards, plus additional recognition of costs associated with accelerated vesting based on the projected attainment of Company performance measures. Restricted stock units (“RSUs”) are payable solely in cash which are accounted for as other liabilities in the consolidated statements of condition. The fair value of RSUs is initially valued based on the closing price of the Parent’s common stock on the date of grant and is amortized in the statement of income over the vesting period. The RSUs are subsequently remeasured in the same manner described above at the end of each reporting period until settlement. The fair value of stock options is estimated at the date of grant using the Black-Scholes option pricing model and related assumptions. The Company uses historical data to predict option exercise and employee termination behavior. Expected volatilities are based on the historical volatility of the Parent’s common stock. The expected term of options granted is derived from actual historical exercise activity and represents the period of time that options granted are expected to be outstanding. The risk-free rate is derived from the U.S. Treasury yield curve in effect at the time of grant based on the expected life of the option. The dividend yield is equal to the dividend yield of the Parent’s common stock at the time of grant. The amortization of the expense related to stock options reflects estimated forfeitures, adjusted for actual forfeiture experience. Amortization expense related to stock options is recorded in the statements of income as a component of salaries and benefits for employees and as a component of other noninterest expense for non-employee directors, with a corresponding increase to capital surplus in shareholders’ equity. As the expense related to stock options is recognized, a deferred tax asset is established that represents an estimate of future income tax deductions from the release of restrictions or the exercise of stock options.

Advertising Costs

Advertising costs are expensed as incurred. Advertising costs were $6.0 million for the years ended December 31, 2017 and 2016, and $5.3 million for the year ended December 31, 2015.

International Operations

The Bank has operations that are conducted in certain Pacific Islands that are denominated in U.S. dollars. These operations are classified as domestic.

Fair Value Measurements

Fair value measurements apply whenever GAAP requires or permits assets or liabilities to be measured at fair value either on a recurring or nonrecurring basis. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for an asset or liability in an orderly transaction between market participants at the measurement date. Fair value is based on the assumptions that management believes market participants would use when pricing an asset or liability. Fair value measurement and disclosure guidance established a three-level fair value hierarchy that prioritizes the use of inputs used in valuation methodologies. Management maximizes the use of observable inputs and minimizes the use of unobservable inputs when determining fair value measurements. Management reviews and updates the fair value hierarchy classifications of the Company’s assets and liabilities on a quarterly basis. The three-level fair value hierarchy is as follows:



Level 1:	Inputs to the valuation methodology are quoted prices, unadjusted, for identical assets or liabilities in active markets. A quoted price in an active market provides the most reliable evidence of fair value and shall be used to measure fair value whenever available. A contractually binding sales price also provides reliable evidence of fair value.
Level 2:	Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets; inputs to the valuation methodology include quoted prices for identical or similar assets or liabilities in markets that are not active; or inputs to the valuation methodology that utilize model-based techniques for which all significant assumptions are observable in the market.
Level 3:	Inputs to the valuation methodology are unobservable and significant to the fair value measurement; inputs to the valuation methodology that utilize model-based techniques for which significant assumptions are not observable in the market; or inputs to the valuation methodology that requires significant management judgment or estimation, some of which may be internally developed.

In determining fair value measurements, management assesses whether the volume and level of activity for an asset or liability have significantly decreased. In such instances, management determines whether recent quoted prices are associated with illiquid or inactive markets. If management concludes that quoted prices are associated with illiquid or inactive markets, adjustments to quoted prices may be necessary or management may conclude that a change in valuation technique or the use of multiple valuation techniques may be appropriate to estimate an asset or liability’s fair value. See Note 14 Employee Benefits and Note 21 Fair Value of Assets and Liabilities for the required fair value measurement disclosures.

Accounting Standards Adopted in 2017

In March 2016, the FASB issued ASU No. 2016-09, “Improvements to Employee Share-Based Payment Accounting.” This ASU includes provisions intended to simplify various aspects related to how share-based payments are accounted for and presented in the financial statements. Some of the key provisions of this new ASU include: (1) companies will no longer record excess tax benefits and certain tax deficiencies in additional paid-in capital (“APIC”). Instead, they will record all excess tax benefits and tax deficiencies as income tax expense or benefit in the income statement, and APIC pools will be eliminated. The guidance also eliminates the requirement that excess tax benefits be realized before companies can recognize them. In addition, the guidance requires companies to present excess tax benefits as an operating activity on the statement of cash flows rather than as a financing activity; (2) increase the amount an employer can withhold to cover income taxes on awards and still qualify for the exception to liability classification for shares used to satisfy the employer’s statutory income tax withholding obligation. The new guidance will also require an employer to classify the cash paid to a tax authority when shares are withheld to satisfy its statutory income tax withholding obligation as a financing activity on its statement of cash flows (current guidance did not specify how these cash flows should be classified); and (3) permit companies to make an accounting policy election for the impact of forfeitures on the recognition of expense for share-based payment awards. Forfeitures can be estimated, as required today, or recognized when they occur. ASU No. 2016-09 is effective for interim and annual reporting periods beginning after December 15, 2016. The Company adopted ASU No. 2016-09 on January 1, 2017 and elected to recognize forfeitures as they occur. As allowed by the ASU, the Company’s adoption was prospective; therefore, prior periods have not been adjusted. The adoption of ASU No. 2016-09 could result in increased volatility to reported income tax expense related to excess tax benefits and tax deficiencies for employee share-based transactions. However, the actual amounts recognized in income tax expense will be dependent on the amount of employee share-based transactions and the stock price at the time of vesting or exercise. In 2017, the adoption of ASU No. 2016-09 resulted in a decrease to the provision for income taxes primarily due to the tax benefit from the exercise of stock options and the vesting of restricted stock.

In May 2017, the FASB issued ASU No. 2017-09, “Stock Compensation, Scope of Modification Accounting.” This ASU clarifies when changes to the terms of conditions of a share-based payment award must be accounted for as modifications. Companies will apply the modification accounting guidance if the value, vesting conditions or classification of the award changes. The new guidance should reduce diversity in practice and result in fewer changes to the terms of an award being accounted for as modifications, as the guidance will allow companies to make certain non-substantive changes to awards without accounting for them as modifications. It does not change the accounting for modifications. ASU No. 2017-09 is effective for interim and annual reporting periods beginning after December 15, 2017; early adoption is permitted. The Company elected to early adopt ASU No. 2017-09 in 2017. ASU No. 2017-09 did not have a material impact on the Company’s Consolidated Financial Statements.

In January 2017, the FASB issued ASU No. 2017-04, “Simplifying the Test for Goodwill Impairment.” The guidance removes Step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. All other goodwill impairment guidance will remain largely unchanged. ASU No. 2017-04 is effective for interim and annual reporting periods beginning after December 15, 2019, applied prospectively. Early adoption is permitted for any impairment tests performed after January 1, 2017. The Company elected to early adopt ASU No. 2017-04 in the fourth quarter of 2017. ASU No. 2017-04 did not have a material impact on the Company’s Consolidated Financial Statements.

In March 2017, the FASB issued ASU No. 2017-08, “Premium Amortization on Purchased Callable Debt Securities.” This ASU shortens the amortization period for the premium on certain purchased callable debt securities to the earliest call date. Today, entities generally amortize the premium over the contractual life of the security. The new guidance does not change the accounting for purchased callable debt securities held at a discount; the discount continues to be amortized to maturity. ASU 2017-08 is effective for interim and annual reporting periods beginning after December 15, 2018; early adoption is permitted. The guidance calls for a modified retrospective transition approach under which a cumulative-effect adjustment will be made to retained earnings as of the beginning of the first reporting period in which the guidance is adopted. The Company elected to early adopt ASU No. 2017-08 in the fourth quarter of 2017. Since the adoption of ASU 2017-08 did not result in a material change to current accounting practice, a cumulative-effect adjustment to beginning retained earnings was deemed not necessary.

Accounting Standards Pending Adoption

In May 2014, the FASB issued ASU No. 2014-09, “Revenue from Contracts with Customers.” The standard’s core principle is that a company will recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies generally will be required to use more judgment and make more estimates than under current guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. Subsequent to the issuance of ASU 2014-09, the FASB issued targeted updates to clarify specific implementation issues including ASU No. 2016-08, “Principal versus Agent Considerations (Reporting Revenue Gross versus Net),” ASU No. 2016-10, “Identifying Performance Obligations and Licensing,” ASU No. 2016-12, “Narrow-Scope Improvements and Practical Expedients,” and ASU No. 2016-20 “Technical Corrections and Improvements to Topic 606, Revenue from Contracts with Customers.” For financial reporting purposes, the standard allows for either full retrospective adoption, meaning the standard is applied to all of the periods presented, or modified retrospective adoption, meaning the standard is applied only to the most current period presented in the financial statements with the cumulative effect of initially applying the standard recognized at the date of initial application. Since the guidance does not apply to revenue associated with financial instruments, including loans and securities that are accounted for under other GAAP, the Company does not expect the new guidance to have a material impact on revenue most closely associated with financial instruments, including interest income and expense. The Company has substantially completed its overall assessment of revenue streams and review of related contracts potentially affected by the ASU, including trust and asset management fees, deposit related fees, interchange fees, merchant income, and annuity and insurance commissions. Based on this assessment, the Company concluded that ASU 2014-09 does not materially change the method in which the Company currently recognizes revenue for these revenue streams. The Company also completed its evaluation of certain costs related to these revenue streams to determine whether such costs should be presented as expenses or contra-revenue (i.e., gross vs. net). Based on its evaluation, the Company determined that the classification of certain debit and credit card related costs should change (i.e., costs previously recorded as expense will be recorded as contra-revenue, and vice versa). These classification changes are expected to result in an immaterial net reduction of both revenue and expense. The Company also determined that certain costs related to ATMs should be recorded as an expense rather than a reduction of revenue. This change is not expected to have a material effect to noninterest income or expense. The Company adopted ASU 2014-09 on its required effective date of January 1, 2018 utilizing the modified retrospective approach. Since there was no net income impact upon adoption of the new guidance, a cumulative effect adjustment to opening retained earnings was not deemed necessary. Consistent with the modified retrospective approach, the Company did not adjust prior period amounts for the debit and credit card costs and the ATM costs noted above. The Company is completing its evaluation of the ASU’s expanded disclosure requirement effective for the March 31, 2018 Form 10-Q. The Company expects the expanded disclosures to be primarily qualitative in nature (e.g., providing greater detail on our revenue streams and related performance obligations). The Company does not expect material additions or revisions to our quantitative disclosures.

In January 2016, the FASB issued ASU No. 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities.” This ASU addresses certain aspects of recognition, measurement, presentation, and disclosure of financial instruments by making targeted improvements to GAAP as follows: (1) require equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income. However, an entity may choose to measure equity investments that do not have readily determinable fair values at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer; (2) simplify the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment. When a qualitative assessment indicates that impairment exists, an entity is required to measure the investment at fair value; (3) eliminate the requirement to disclose the fair value of financial instruments measured at amortized cost for entities that are not public business entities; (4) eliminate the requirement for public business entities to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; (5) require public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; (6) require an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments; (7) require separate presentation of financial assets and financial liabilities by measurement category and form of financial asset (that is, securities or loans and receivables) on the balance sheet or the accompanying notes to the financial statements; and (8) clarify that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale securities in combination with the entity’s other deferred tax assets. ASU No. 2016-01 is effective for interim and annual reporting periods beginning after December 15, 2017. The adoption of ASU No. 2016-01 on January 1, 2018 did not have a material impact on the Company’s Consolidated Financial Statements. The Company is currently evaluating methods of measuring fair value of its loan portfolio using an exit price notion as noted in (5) above.

In February 2016, the FASB issued ASU No. 2016-02, “Leases.” Under the new guidance, lessees will be required to recognize the following for all leases (with the exception of short-term leases): 1) a lease liability, which is the present value of a lessee’s obligation to make lease payments, and 2) a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Lessor accounting under the new guidance remains largely unchanged as it is substantially equivalent to existing guidance for sales-type leases, direct financing leases, and operating leases. Leveraged leases have been eliminated, although lessors can continue to account for existing leveraged leases using the current accounting guidance. Other limited changes were made to align lessor accounting with the lessee accounting model and the new revenue recognition standard. All entities will classify leases to determine how to recognize lease-related revenue and expense. Quantitative and qualitative disclosures will be required by lessees and lessors to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. The intention is to require enough information to supplement the amounts recorded in the financial statements so that users can understand more about the nature of an entity’s leasing activities. ASU No. 2016-02 is effective for interim and annual reporting periods beginning after December 15, 2018; early adoption is permitted. All entities are required to use a modified retrospective approach for leases that exist or are entered into after the beginning of the earliest comparative period in the financial statements. They have the option to use certain relief; full retrospective application is prohibited. The Company has several lease agreements, such as branch locations, which are currently considered operating leases, and therefore, not recognized on the Company’s consolidated statements of condition. The Company expects the new guidance will require these lease agreements to be recognized on the consolidated statements of condition as a right-of-use asset and a corresponding lease liability. Therefore, the Company’s preliminary evaluation indicates the provisions of ASU No. 2016-02 are expected to impact the Company’s consolidated statements of condition, along with our regulatory capital ratios. However, the Company continues to evaluate the extent of potential impact the new guidance will have on the Company’s Consolidated Financial Statements. The Company is in the process of developing an inventory of all leases and accumulating the lease data necessary to apply the amended guidance. In addition, the Company has obtained new software to aid in the transition to the new leasing guidance.

In June 2016, the FASB issued ASU No. 2016-13, “Measurement of Credit Losses on Financial Instruments.” This ASU significantly changes how entities will measure credit losses for most financial assets and certain other instruments that aren’t measured at fair value through net income. In issuing the standard, the FASB is responding to criticism that today’s guidance delays recognition of credit losses. The standard will replace today’s “incurred loss” approach with an “expected loss” model. The new model, referred to as the current expected credit loss (“CECL”) model, will apply to: (1) financial assets subject to credit losses and measured at amortized cost, and (2) certain off-balance sheet credit exposures. This includes, but is not limited to, loans, leases, held-to-maturity securities, loan commitments, and financial guarantees. The CECL model does not apply to available-for-sale (“AFS”) debt securities. For AFS debt securities with unrealized losses, entities will measure credit losses in a manner similar to what they do today, except that the credit losses will be recognized as allowances rather than reductions in the amortized cost of the securities. As a result, entities will recognize improvements to estimated credit losses immediately in earnings rather than as interest income over time, as they do today. The ASU also simplifies the accounting model for purchased credit-impaired debt securities and loans. ASU 2016-13 also expands the disclosure requirements regarding an entity’s assumptions, models, and methods for estimating the allowance for loan and lease losses. In addition, entities will need to disclose the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by the year of origination. ASU No. 2016-13 is effective for interim and annual reporting periods beginning after December 15, 2019; early adoption is permitted for interim and annual reporting periods beginning after December 15, 2018. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (i.e., modified retrospective approach). The Company is continuing its implementation efforts through its Company-wide implementation team. This team has assigned roles and responsibilities, key tasks to complete, and a general timeline to be followed. The implementation team meets periodically to discuss the latest developments and ensure progress is being made. The team also keeps current on evolving interpretations and industry practices related to ASU 2016-13 via webcasts, publications, conferences, and peer bank meetings. Currently the team has substantially validated historical credit data and is continuing its evaluation of different loss methodologies. The Company’s preliminary evaluation indicates the provisions of ASU No. 2016-13 are expected to impact the Company’s Consolidated Financial Statements, in particular the level of the reserve for credit losses. However, the Company continues to evaluate the extent of the potential impact.

In August 2016, the FASB issued ASU No. 2016-15, “Classification of Certain Cash Receipts and Cash Payments.” Current GAAP is unclear or does not include specific guidance on how to classify certain transactions in the statement of cash flows. This ASU is intended to reduce diversity in practice in how eight particular transactions are classified in the statement of cash flows. ASU No. 2016-15 is effective for interim and annual reporting periods beginning after December 15, 2017. Entities will be required to apply the guidance retrospectively. If it is impracticable to apply the guidance retrospectively for an issue, the amendments related to that issue would be applied prospectively. As this guidance only affects the classification within the statement of cash flows, ASU No. 2016-15 is not expected to have a material impact on the Company’s Consolidated Financial Statements.

In March 2017, the FASB issued ASU No. 2017-07, “Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost.” Under the new guidance, employers will present the service cost component of the net periodic benefit cost in the same income statement line item (e.g., Salaries and Benefits) as other employee compensation costs arising from services rendered during the period. In addition, only the service cost component will be eligible for capitalization in assets. Employers will present the other components separately (e.g., Other Noninterest Expense) from the line item that includes the service cost. ASU No. 2017-07 is effective for interim and annual reporting periods beginning after December 15, 2017. Employers will apply the guidance on the presentation of the components of net periodic benefit cost in the income statement retrospectively. The guidance limiting the capitalization of net periodic benefit cost in assets to the service cost component will be applied prospectively. The Company expects to utilize the ASU’s practical expedient allowing entities to estimate amounts for comparative periods using the information previously disclosed in their pension and other postretirement benefit plan footnote. ASU No. 2017-07 is not expected to have a material impact on the Company’s Consolidated Financial Statements.

In August 2017, the FASB issued ASU No. 2017-12, “Targeted Improvements to Accounting for Hedging Activities.” This ASU’s objectives are to (1) improve the transparency and understandability of information conveyed to financial statement users about an entity’s risk management activities by better aligning the entity’s financial reporting for hedging relationships with those risk management activities; and (2) reduce the complexity of and simplify the application of hedge accounting by preparers. ASU No. 2017-12 is effective for interim and annual reporting periods beginning after December 15, 2018; early adoption is permitted. The Company currently does not designate any derivative financial instruments as formal hedging relationships, and therefore, does not utilize hedge accounting. However, the Company is currently evaluating this ASU to determine whether its provisions will enhance the Company’s ability to employ risk management strategies, while improving the transparency and understanding of those strategies for financial statement users.

In February 2018, the FASB issued ASU No. 2018-02, “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income.” This ASU allows a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Cuts and Jobs Act. Consequently, the amendments eliminate the stranded tax effects resulting from the Tax Cuts and Jobs Act and will improve the usefulness of information reported to financial statement users. However, because the amendments only relate to the reclassification of the income tax effects of the Tax Cuts and Jobs Act, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. The Company expects to early adopt ASU No. 2018-02 for the March 31, 2018 Form 10-Q. Upon adoption the reclassifiaiton will result in a $7.5 million credit to retained earnings.

Restrictions on Cash	12 Months Ended
Restrictions on Cash	Dec. 31, 2017
Cash and Cash Equivalents [Abstract]
Restrictions on Cash	The Company is required to maintain cash on hand or on deposit with the Federal Reserve Bank based on the amount of certain customer deposits, mainly checking accounts. The Bank’s average required reserve balances were $73.2 million and $153.4 million as of December 31, 2017 and 2016, respectively.

- Definition

The entire disclosure for cash and cash equivalent footnotes, which may include the types of deposits and money market instruments, applicable carrying amounts, restricted amounts and compensating balance arrangements. Cash and equivalents include: (1) currency on hand (2) demand deposits with banks or financial institutions (3) other kinds of accounts that have the general characteristics of demand deposits (4) short-term, highly liquid investments that are both readily convertible to known amounts of cash and so near their maturity that they present insignificant risk of changes in value because of changes in interest rates. Generally, only investments maturing within three months from the date of acquisition qualify.

+ References + Details

Investment Securities

12 Months Ended

Dec. 31, 2017

Investments, Debt and Equity Securities [Abstract]

Investment Securities

The amortized cost, gross unrealized gains and losses, and fair value of the Company’s investment securities as of December 31, 2017, 2016, and 2015 were as follows:



(dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
December 31, 2017
Available-for-Sale:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	424,912	$	2,053	$	(1,035	)	$	425,930
Debt Securities Issued by States and Political Subdivisions	618,167		9,894		(1,042		)	627,019
Debt Securities Issued by Corporations	268,003		199		(2,091		)	266,111
Mortgage-Backed Securities:
Residential - Government Agencies	233,268		3,129		(1,037		)	235,360
Residential - U.S. Government-Sponsored Enterprises	619,795		420		(10,403		)	609,812
Commercial - Government Agencies	71,999		—		(3,252		)	68,747
Total Mortgage-Backed Securities	925,062		3,549		(14,692		)	913,919
Total	$	2,236,144	$	15,695	$	(18,860	)	$	2,232,979
Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	375,074	$	18	$	(1,451	)	$	373,641
Debt Securities Issued by States and Political Subdivisions	238,504		9,125		—			247,629
Debt Securities Issued by Corporations	119,635		123		(1,591		)	118,167
Mortgage-Backed Securities:
Residential - Government Agencies	2,229,985		9,975		(37,047		)	2,202,913
Residential - U.S. Government-Sponsored Enterprises	763,312		911		(11,255		)	752,968
Commercial - Government Agencies	201,660		797		(3,654		)	198,803
Total Mortgage-Backed Securities	3,194,957		11,683		(51,956		)	3,154,684
Total	$	3,928,170	$	20,949	$	(54,998	)	$	3,894,121

December 31, 2016
Available-for-Sale:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	407,478	$	2,531	$	(1,294	)	$	408,715
Debt Securities Issued by States and Political Subdivisions	662,231		11,455		(1,887		)	671,799
Debt Securities Issued by Corporations	273,044		5		(3,870		)	269,179
Mortgage-Backed Securities:
Residential - Government Agencies	240,412		4,577		(1,145		)	243,844
Residential - U.S. Government-Sponsored Enterprises	511,234		971		(5,218		)	506,987
Commercial - Government Agencies	89,544		—		(4,027		)	85,517
Total Mortgage-Backed Securities	841,190		5,548		(10,390		)	836,348
Total	$	2,183,943	$	19,539	$	(17,441	)	$	2,186,041
Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	530,149	$	1,562	$	(771	)	$	530,940
Debt Securities Issued by States and Political Subdivisions	242,295		9,991		—			252,286
Debt Securities Issued by Corporations	135,620		416		(1,528		)	134,508
Mortgage-Backed Securities:
Residential - Government Agencies	1,940,076		20,567		(23,861		)	1,936,782
Residential - U.S. Government-Sponsored Enterprises	752,768		798		(10,919		)	742,647
Commercial - Government Agencies	232,089		940		(2,665		)	230,364
Total Mortgage-Backed Securities	2,924,933		22,305		(37,445		)	2,909,793
Total	$	3,832,997	$	34,274	$	(39,744	)	$	3,827,527

December 31, 2015
Available-for-Sale:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	356,260	$	3,472	$	(838	)	$	358,894
Debt Securities Issued by States and Political Subdivisions	709,724		22,498		(304		)	731,918
Debt Securities Issued by Corporations	313,136		236		(4,502		)	308,870
Mortgage-Backed Securities:
Residential - Government Agencies	310,966		6,546		(1,267		)	316,245
Residential - U.S. Government-Sponsored Enterprises	442,760		1,368		(2,264		)	441,864
Commercial - Government Agencies	103,227		—		(4,200		)	99,027
Total Mortgage-Backed Securities	856,953		7,914		(7,731		)	857,136
Total	$	2,236,073	$	34,120	$	(13,375	)	$	2,256,818
Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	489,747	$	1,359	$	(1,139	)	$	489,967
Debt Securities Issued by States and Political Subdivisions	245,980		17,114		—			263,094
Debt Securities Issued by Corporations	151,301		368		(2,041		)	149,628
Mortgage-Backed Securities:
Residential - Government Agencies	2,191,138		27,893		(19,067		)	2,199,964
Residential - U.S. Government-Sponsored Enterprises	647,762		1,656		(2,616		)	646,802
Commercial - Government Agencies	256,808		2,381		(2,232		)	256,957
Total Mortgage-Backed Securities	3,095,708		31,930		(23,915		)	3,103,723
Total	$	3,982,736	$	50,771	$	(27,095	)	$	4,006,412

The table below presents an analysis of the contractual maturities of the Company’s investment securities as of December 31, 2017. Debt securities issued by government agencies (Small Business Administration securities) and mortgage-backed securities are disclosed separately in the table below as these investment securities may prepay prior to their scheduled contractual maturity dates.



(dollars in thousands)	Amortized Cost		Fair Value
Available-for-Sale:
Due in One Year or Less	$	88,977	$	89,096
Due After One Year Through Five Years	624,650		625,547
Due After Five Years Through Ten Years	149,994		154,890
Due After Ten Years	23,100		24,134
	886,721		893,667

Debt Securities Issued by Government Agencies	424,361		425,393
Mortgage-Backed Securities:
Residential - Government Agencies	233,268		235,360
Residential - U.S. Government-Sponsored Enterprises	619,795		609,812
Commercial - Government Agencies	71,999		68,747
Total Mortgage-Backed Securities	925,062		913,919
Total	$	2,236,144	$	2,232,979

Held-to-Maturity:
Due in One Year or Less	$	259,939	$	259,478
Due After One Year Through Five Years	206,180		207,551
Due After Five Years Through Ten Years	239,550		243,623
Due After Ten Years	27,544		28,785
	733,213		739,437
Mortgage-Backed Securities:
Residential - Government Agencies	2,229,985		2,202,913
Residential - U.S. Government-Sponsored Enterprises	763,312		752,968
Commercial - Government Agencies	201,660		198,803
Total Mortgage-Backed Securities	3,194,957		3,154,684
Total	$	3,928,170	$	3,894,121

Investment securities with carrying values of $2.4 billion, $2.4 billion, and $2.5 billion as of December 31, 2017, 2016, and 2015, respectively, were pledged to secure deposits of governmental entities and securities sold under agreements to repurchase.

The table below presents the gains and losses from the sales of investment securities for the years ended December 31, 2017, 2016, and 2015.



(dollars in thousands)	2017			2016			2015
Gross Gains on Sales of Investment Securities	$	12,467		$	11,180		$	11,640
Gross Losses on Sales of Investment Securities	(2,037		)	(977		)	(1,480		)
Net Gains on Sales of Investment Securities	$	10,430		$	10,203		$	10,160

The losses during the year ended December 31, 2017 and December 31, 2016 were due to fees paid to the counterparties of our prior Visa Class B share sale transactions which are expensed as incurred. The securities sold for losses in 2015 were government agency commercial mortgage-backed securities categorized as available-for-sale. These securities were sold to reduce our allocation to the sector and did not represent an overall change in strategy.

The income tax expense related to the Company’s net realized gains on the sales of investment securities was $4.1 million in 2017 and $4.0 million in 2016 and 2015.

The Company’s investment securities in an unrealized loss position, segregated by continuous length of impairment, were as follows:



	Less Than 12 Months					12 Months or Longer					Total
(dollars in thousands)	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
December 31, 2017
Available-for-Sales:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	103,842	$	(599	)	$	132,071	$	(436	)	$	235,913	$	(1,035	)
Debt Securities Issued by States and Political Subdivisions	172,343		(1,032		)	734		(10		)	173,077		(1,042		)
Debt Securities Issued by Corporations	12,985		(15		)	192,927		(2,076		)	205,912		(2,091		)
Mortgage-Backed Securities:
Residential - Government Agencies	11,035		(4		)	10,618		(1,033		)	21,653		(1,037		)
Residential - U.S. Government-Sponsored Enterprises	429,342		(5,720		)	150,887		(4,683		)	580,229		(10,403		)
Commercial - Government Agencies	—		—			68,747		(3,252		)	68,747		(3,252		)
Total Mortgage-Backed Securities	440,377		(5,724		)	230,252		(8,968		)	670,629		(14,692		)
Total	$	729,547	$	(7,370	)	$	555,984	$	(11,490	)	$	1,285,531	$	(18,860	)

Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	254,283	$	(532	)	$	89,391	$	(919	)	$	343,674	$	(1,451	)
Debt Securities Issued by Corporations	25,490		(110		)	58,869		(1,481		)	84,359		(1,591		)
Mortgage-Backed Securities:
Residential - Government Agencies	1,030,472		(12,262		)	704,545		(24,785		)	1,735,017		(37,047		)
Residential - U.S. Government-Sponsored Enterprises	293,530		(3,106		)	339,232		(8,149		)	632,762		(11,255		)
Commercial - Government Agencies	497		(5		)	82,288		(3,649		)	82,785		(3,654		)
Total Mortgage-Backed Securities	1,324,499		(15,373		)	1,126,065		(36,583		)	2,450,564		(51,956		)
Total	$	1,604,272	$	(16,015	)	$	1,274,325	$	(38,983	)	$	2,878,597	$	(54,998	)

December 31, 2016
Available-for-Sales:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	143,715	$	(562	)	$	89,211	$	(732	)	$	232,926	$	(1,294	)
Debt Securities Issued by States and Political Subdivisions	211,188		(1,873		)	6,725		(14		)	217,913		(1,887		)
Debt Securities Issued by Corporations	67,332		(714		)	196,838		(3,156		)	264,170		(3,870		)
Mortgage-Backed Securities:
Residential - Government Agencies	38,355		(89		)	11,185		(1,056		)	49,540		(1,145		)
Residential - U.S. Government-Sponsored Enterprises	397,385		(5,218		)	—		—			397,385		(5,218		)
Commercial - Government Agencies	5,097		(164		)	80,420		(3,863		)	85,517		(4,027		)
Total Mortgage-Backed Securities	440,837		(5,471		)	91,605		(4,919		)	532,442		(10,390		)
Total	$	863,072	$	(8,620	)	$	384,379	$	(8,821	)	$	1,247,451	$	(17,441	)

Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	169,926	$	(771	)	$	—	$	—		$	169,926	$	(771	)
Debt Securities Issued by Corporations	69,601		(971		)	15,933		(557		)	85,534		(1,528		)
Mortgage-Backed Securities:
Residential - Government Agencies	835,227		(15,313		)	231,377		(8,548		)	1,066,604		(23,861		)
Residential - U.S. Government-Sponsored Enterprises	693,047		(10,919		)	—		—			693,047		(10,919		)
Commercial - Government Agencies	87,586		(2,597		)	18,653		(68		)	106,239		(2,665		)
Total Mortgage-Backed Securities	1,615,860		(28,829		)	250,030		(8,616		)	1,865,890		(37,445		)
Total	$	1,855,387	$	(30,571	)	$	265,963	$	(9,173	)	$	2,121,350	$	(39,744	)

The Company does not believe that the investment securities that were in an unrealized loss position as of December 31, 2017, which were comprised of 410 securities, represent an other-than-temporary impairment. Total gross unrealized losses were primarily attributable to changes in interest rates, relative to when the investment securities were purchased, and not due to the credit quality of the investment securities. As of December 31, 2017, the gross unrealized losses reported for mortgage-backed securities were mostly related to investment securities issued by the Government National Mortgage Association. The Company does not intend to sell the investment securities that were in an unrealized loss position and it is not more likely than not that the Company will be required to sell the investment securities before recovery of their amortized cost bases, which may be at maturity.

Interest income from taxable and non-taxable investment securities for the years ended December 31, 2017, 2016, and 2015 were as follows:



	Year Ended December 31,
(dollars in thousands)	2017		2016		2015
Taxable	$	108,787	$	100,541	$	109,912
Non-Taxable	19,725		20,438		21,230
Total Interest Income from Investment Securities	$	128,512	$	120,979	$	131,142

As of December 31, 2017, included in the Company’s investment securities portfolio were debt securities issued by political subdivisions within the State of Hawaii of $496.8 million, representing 57% of the total fair value of the Company’s municipal debt securities. Of the entire Hawaii municipal bond portfolio, 95% were credit-rated Aa2 or better by Moody’s while the remaining Hawaii municipal bonds were credit-rated A2 or better by at least one nationally recognized statistical rating organization. Of the Company’s total Hawaii municipal bond holdings, 78% were general obligation issuances. As of December 31, 2017, there were no other holdings of municipal debt securities that were issued by a single state or political subdivision which comprised more than 10% of the total fair value of the Company’s municipal debt securities.

As of December 31, 2017 and 2016, the carrying value of the Company’s Federal Home Loan Bank of Des Moines (“FHLB Des Moines”) stock and Federal Reserve Bank stock was as follows:



	December 31,
(dollars in thousands)	2017		2016
Federal Home Loan Bank Stock	$	20,000	$	20,000
Federal Reserve Bank Stock	20,645		20,063
Total	$	40,645	$	40,063

These securities can only be redeemed or sold at their par value and only to the respective issuing government-supported institution or to another member institution. The Company records these non-marketable equity securities as a component of other assets and periodically evaluates these securities for impairment. Management considers these non-marketable equity securities to be long-term investments. Accordingly, when evaluating these securities for impairment, management considers the ultimate recoverability of the par value rather than by recognizing temporary declines in value.

Visa Class B Restricted Shares

In 2008, the Company received Visa Class B restricted shares as part of Visa’s initial public offering. These shares are transferable only under limited circumstances until they can be converted into the publicly traded Class A common shares. This conversion will not occur until the settlement of certain litigation which is indemnified by Visa members, including the Company. Visa funded an escrow account from its initial public offering to settle these litigation claims. Should this escrow account not be sufficient to cover these litigation claims, Visa is entitled to fund additional amounts to the escrow account by reducing each member bank’s Class B conversion ratio to unrestricted Class A shares. As of December 31, 2017, the conversion ratio was 1.6483.

During the first quarter of 2017, the Company recorded an $12.1 million net gain on the sale of 90,000 Visa Class B shares. Concurrent with this sale, the Company entered into an agreement with the buyer that requires payment to the buyer in the event Visa further reduces the conversion ratio. Based on the existing transfer restriction and the uncertainty of the outcome of the Visa litigation mentioned above, the remaining 86,614 Class B shares (142,766 Class A equivalents) that the Company owns as of December 31, 2017 are carried at a zero cost basis.

- Definition

The entire disclosure for investments in certain debt and equity securities.

+ References + Details

Loans and Leases and the Allowance for Loan and Lease Losses

12 Months Ended

Dec. 31, 2017

Loans and Leases and Allowance for Loan and Lease Losses [Abstract]

Loans and Leases and the Allowance for Loan and Lease Losses

Loans and Leases

The Company’s loan and lease portfolio was comprised of the following as of December 31, 2017 and 2016:



	December 31,
(dollars in thousands)	2017		2016
Commercial
Commercial and Industrial	$	1,279,347	$	1,249,791
Commercial Mortgage	2,103,967		1,889,551
Construction	202,253		270,018
Lease Financing	180,931		208,332
Total Commercial	3,766,498		3,617,692
Consumer
Residential Mortgage	3,466,773		3,163,073
Home Equity	1,585,455		1,334,163
Automobile	528,474		454,333
Other¹	449,747		380,524
Total Consumer	6,030,449		5,332,093
Total Loans and Leases	$	9,796,947	$	8,949,785

¹Comprised of other revolving credit, installment, and lease financing.

Total loans and leases were reported net of unearned income of $20.2 million and $36.3 million as of December 31, 2017 and 2016, respectively.

Commercial loans and residential mortgage loans of $1.0 billion and $1.1 billion were pledged to secure an undrawn FRB line of credit as of December 31, 2017 and 2016, respectively.

As of December 31, 2017 and 2016, residential mortgage loans of $2.9 billion and $2.3 billion, respectively, were pledged under a blanket pledge arrangement to secure FHLB advances. See Note 10 Other Debt for FHLB advances outstanding as of December 31, 2017 and 2016.

Net gains related to sales of residential mortgage loans, recorded as a component of mortgage banking income, were $4.9 million, $11.8 million, and $5.9 million for the years ended December 31, 2017, 2016, and 2015, respectively. Net gains on sales of commercial loans were not material for the years ended December 31, 2017, 2016, and 2015.

Substantially all of the Company’s lending activity is with customers located in Hawaii. A substantial portion of the Company’s real estate loans are secured by real estate in Hawaii.

Allowance for Loan and Lease Losses

The following presents by portfolio segment, the activity in the Allowance for the years ended December 31, 2017, 2016, and 2015. The following also presents by portfolio segment, the balance in the Allowance disaggregated on the basis of the Company’s impairment measurement method and the related recorded investment in loans and leases as of December 31, 2017, 2016, and 2015.



(dollars in thousands)	Commercial			Consumer			Total
For the Year Ended December 31, 2017
Allowance for Loan and Lease Losses:
Balance at Beginning of Period	$	65,680		$	38,593		$	104,273
Loans and Leases Charged-Off	(1,408		)	(21,847		)	(23,255		)
Recoveries on Loans and Leases Previously Charged-Off	1,485			7,943			9,428
Net Loans and Leases Recovered (Charged-Off)	77			(13,904		)	(13,827		)
Provision for Credit Losses	65			16,835			16,900
Balance at End of Period	$	65,822		$	41,524		$	107,346
As of December 31, 2017
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment	$	141		$	3,775		$	3,916
Collectively Evaluated for Impairment	65,681			37,749			103,430
Total	$	65,822		$	41,524		$	107,346
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment	$	20,216		$	41,002		$	61,218
Collectively Evaluated for Impairment	3,746,282			5,989,447			9,735,729
Total	$	3,766,498		$	6,030,449		$	9,796,947

For the Year Ended December 31, 2016
Allowance for Loan and Lease Losses:
Balance at Beginning of Period	$	60,714		$	42,166		$	102,880
Loans and Leases Charged-Off	(865		)	(17,644		)	(18,509		)
Recoveries on Loans and Leases Previously Charged-Off	8,137			7,015			15,152
Net Loans and Leases Recovered (Charged-Off)	7,272			(10,629		)	(3,357		)
Provision for Credit Losses	(2,306		)	7,056			4,750
Balance at End of Period	$	65,680		$	38,593		$	104,273
As of December 31, 2016
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment	$	45		$	3,510		$	3,555
Collectively Evaluated for Impairment	65,635			35,083			100,718
Total	$	65,680		$	38,593		$	104,273
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment	$	21,572		$	39,126		$	60,698
Collectively Evaluated for Impairment	3,596,120			5,292,967			8,889,087
Total	$	3,617,692		$	5,332,093		$	8,949,785

For the Year Ended December 31, 2015
Allowance for Loan and Lease Losses:
Balance at Beginning of Period	$	64,551		$	44,137		$	108,688
Loans and Leases Charged-Off	(954		)	(15,485		)	(16,439		)
Recoveries on Loans and Leases Previously Charged-Off	2,173			7,458			9,631
Net Loans and Leases Recovered (Charged-Off)	1,219			(8,027		)	(6,808		)
Provision for Credit Losses	(5,056		)	6,056			1,000
Balance at End of Period	$	60,714		$	42,166		$	102,880
As of December 31, 2015
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment	$	205		$	3,373		$	3,578
Collectively Evaluated for Impairment	60,509			38,793			99,302
Total	$	60,714		$	42,166		$	102,880
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment	$	27,950		$	38,747		$	66,697
Collectively Evaluated for Impairment	3,125,902			4,686,386			7,812,288
Total	$	3,153,852		$	4,725,133		$	7,878,985

Credit Quality Indicators

The Company uses several credit quality indicators to manage credit risk in an ongoing manner. The Company uses an internal credit risk rating system that categorizes loans and leases into pass, special mention, or classified categories. Credit risk ratings are applied individually to those classes of loans and leases that have significant or unique credit characteristics that benefit from a case-by-case evaluation. These are typically loans and leases to businesses or individuals in the classes which comprise the commercial portfolio segment. Groups of loans and leases that are underwritten and structured using standardized criteria and characteristics, such as statistical models (e.g., credit scoring or payment performance), are typically risk-rated and monitored collectively. These are typically loans and leases to individuals in the classes which comprise the consumer portfolio segment.

The following are the definitions of the Company’s credit quality indicators:


Pass:	Loans and leases in all classes within the commercial and consumer portfolio segments that are not adversely rated, are contractually current as to principal and interest, and are otherwise in compliance with the contractual terms of the loan or lease agreement. Management believes that there is a low likelihood of loss related to those loans and leases that are considered pass.


Special Mention:	Loans and leases that have potential weaknesses that deserve management’s close attention. If not addressed, these potential weaknesses may result in deterioration of the repayment prospects for the loan or lease. Management believes that there is a moderate likelihood of some loss related to those loans and leases that are considered special mention.

Classified:

Loans and leases in the classes within the commercial portfolio segment that are inadequately protected by the sound worth and paying capacity of the borrower or of the collateral pledged, if any. Classified loans and leases are also those in the classes within the consumer portfolio segment that are past due 90 days or more as to principal or interest. Residential mortgage loans that are past due 90 days or more as to principal or interest may be considered pass if the Company is in the process of collection and the current loan-to-value ratio is 60% or less. Home equity loans that are past due 90 days or more as to principal or interest may be considered pass if the Company is in the process of collection, the first mortgage is with the Company, and the current combined loan-to-value ratio is 60% or less. Residential mortgage and home equity loans may be current as to principal and interest, but may be considered classified for a period of up to six months following a loan modification. Following a period of demonstrated performance in accordance with the modified contractual terms, the loan may be removed from classified status. Management believes that there is a distinct possibility that the Company will sustain some loss if the deficiencies related to classified loans and leases are not corrected in a timely manner.

The Company’s credit quality indicators are periodically updated on a case-by-case basis. The following presents by class and by credit quality indicator, the recorded investment in the Company’s loans and leases as of December 31, 2017 and 2016.



	December 31, 2017
(dollars in thousands)	Commercial and Industrial		Commercial Mortgage		Construction		Lease Financing		Total Commercial
Pass	$	1,234,738	$	2,046,745	$	198,926	$	180,522	$	3,660,931
Special Mention	15,394		35,762		6		11		51,173
Classified	29,215		21,460		3,321		398		54,394
Total	$	1,279,347	$	2,103,967	$	202,253	$	180,931	$	3,766,498



(dollars in thousands)	Residential Mortgage		Home Equity		Automobile		Other ¹		Total Consumer
Pass	$	3,457,531	$	1,580,917	527,587		$	449,008	$	6,015,043
Classified	9,242		4,538		887		739		15,406
Total	$	3,466,773	$	1,585,455	$	528,474	$	449,747	$	6,030,449
Total Recorded Investment in Loans and Leases									$	9,796,947



	December 31, 2016
(dollars in thousands)	Commercial and Industrial		Commercial Mortgage		Construction		Lease Financing		Total Commercial
Pass	$	1,203,025	$	1,792,119	$	264,287	$	207,386	$	3,466,817
Special Mention	20,253		66,734		4,218		5		91,210
Classified	26,513		30,698		1,513		941		59,665
Total	$	1,249,791	$	1,889,551	$	270,018	$	208,332	$	3,617,692



(dollars in thousands)	Residential Mortgage		Home Equity		Automobile		Other ¹		Total Consumer
Pass	$	3,149,294	$	1,327,676	$	453,439	$	379,793	$	5,310,202
Special Mention	—		2,964		—		—		2,964
Classified	13,779		3,523		894		731		18,927
Total	$	3,163,073	$	1,334,163	$	454,333	$	380,524	$	5,332,093
Total Recorded Investment in Loans and Leases									$	8,949,785

¹ Comprised of other revolving credit, installment, and lease financing.

Aging Analysis

The following presents by class, an aging analysis of the Company’s loan and lease portfolio as of December 31, 2017 and 2016.



(dollars in thousands)	30 - 59 Days Past Due		60 - 89 Days Past Due		Past Due 90 Days or More		Non- Accrual		Total Past Due and Non-Accrual		Current		Total Loans and Leases		Non-Accrual Loans and Leases that are Current ²
As of December 31, 2017
Commercial
Commercial and Industrial	$	4,196	$	641	$	—	$	448	$	5,285	$	1,274,062	$	1,279,347	$	313
Commercial Mortgage	187		404		—		1,398		1,989		2,101,978		2,103,967		465
Construction	—		—		—		—		—		202,253		202,253		—
Lease Financing	—		—		—		—		—		180,931		180,931		—
Total Commercial	4,383		1,045		—		1,846		7,274		3,759,224		3,766,498		778
Consumer
Residential Mortgage	7,815		2,008		2,703		9,243		21,769		3,445,004		3,466,773		806
Home Equity	2,532		2,736		1,624		3,991		10,883		1,574,572		1,585,455		1,312
Automobile	11,728		2,232		886		—		14,846		513,628		528,474		—
Other ¹	3,007		1,639		1,934		—		6,580		443,167		449,747		—
Total Consumer	25,082		8,615		7,147		13,234		54,078		5,976,371		6,030,449		2,118
Total	$	29,465	$	9,660	$	7,147	$	15,080	$	61,352	$	9,735,595	$	9,796,947	$	2,896

As of December 31, 2016
Commercial
Commercial and Industrial	$	10,698	$	1,016	$	—	$	151	$	11,865	$	1,237,926	$	1,249,791	$	—
Commercial Mortgage	128		17		—		997		1,142		1,888,409		1,889,551		416
Construction	—		—		—		—		—		270,018		270,018		—
Lease Financing	—		—		—		—		—		208,332		208,332		—
Total Commercial	10,826		1,033		—		1,148		13,007		3,604,685		3,617,692		416
Consumer
Residential Mortgage	6,491		106		3,127		13,780		23,504		3,139,569		3,163,073		1,628
Home Equity	3,063		2,244		1,457		3,147		9,911		1,324,252		1,334,163		1,015
Automobile	11,692		2,162		894		—		14,748		439,585		454,333		—
Other¹	3,200		1,532		1,592		—		6,324		374,200		380,524		—
Total Consumer	24,446		6,044		7,070		16,927		54,487		5,277,606		5,332,093		2,643
Total	$	35,272	$	7,077	$	7,070	$	18,075	$	67,494	$	8,882,291	$	8,949,785	$	3,059

¹Comprised of other revolving credit, installment, and lease financing.

²Represents non-accrual loans that are not past due 30 days or more; however, full payment of principal and interest is still not expected.

Impaired Loans

The following presents by class, information related to impaired loans as of December 31, 2017 and 2016.



(dollars in thousands)	Recorded Investment		Unpaid Principal Balance		Related Allowance for Loan Losses
December 31, 2017
Impaired Loans with No Related Allowance Recorded:
Commercial
Commercial and Industrial	$	8,094	$	15,747	$	—
Commercial Mortgage	8,696		12,196		—
Construction	1,415		1,415		—
Total Commercial	18,205		29,358		—
Total Impaired Loans with No Related Allowance Recorded	$	18,205	$	29,358	$	—

Impaired Loans with an Allowance Recorded:
Commercial
Commercial and Industrial	$	811	$	811	$	21
Commercial Mortgage	1,200		1,200		120
Total Commercial	2,011		2,011		141
Consumer
Residential Mortgage	21,581		26,324		3,118
Home Equity	1,965		1,965		276
Automobile	14,811		14,811		305
Other ¹	2,645		2,645		76
Total Consumer	41,002		45,745		3,775
Total Impaired Loans with an Allowance Recorded	$	43,013	$	47,756	$	3,916

Impaired Loans:
Commercial	$	20,216	$	31,369	$	141
Consumer	41,002		45,745		3,775
Total Impaired Loans	$	61,218	$	77,114	$	3,916

December 31, 2016
Impaired Loans with No Related Allowance Recorded:
Commercial
Commercial and Industrial	$	9,556	$	16,518	$	—
Commercial Mortgage	9,373		12,873		—
Construction	1,513		1,513		—
Total Commercial	20,442		30,904		—
Total Impaired Loans with No Related Allowance Recorded	$	20,442	$	30,904	$	—

Impaired Loans with an Allowance Recorded:
Commercial
Commercial and Industrial	$	765	$	765	$	24
Commercial Mortgage	365		365		21
Total Commercial	1,130		1,130		45
Consumer
Residential Mortgage	25,625		30,615		3,224
Home Equity	1,516		1,516		15
Automobile	9,660		9,660		206
Other ¹	2,325		2,325		65
Total Consumer	39,126		44,116		3,510
Total Impaired Loans with an Allowance Recorded	$	40,256	$	45,246	$	3,555

Impaired Loans:
Commercial	$	21,572	$	32,034	$	45
Consumer	39,126		44,116		3,510
Total Impaired Loans	$	60,698	$	76,150	$	3,555

¹Comprised of other revolving credit and installment financing.

The following presents by class, information related to the average recorded investment and interest income recognized on impaired loans for the years ended December 31, 2017 and 2016.



	Year Ended December 31, 2017				Year Ended December 31, 2016
(dollars in thousands)	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Impaired Loans with No Related Allowance Recorded:
Commercial
Commercial and Industrial	$	8,810	$	351	$	10,760	$	463
Commercial Mortgage	9,251		299		9,906		339
Construction	1,464		94		1,559		101
Total Commercial	19,525		744		22,225		903
Total Impaired Loans with No Related Allowance Recorded	$	19,525	$	744	$	22,225	$	903

Impaired Loans with an Allowance Recorded:
Commercial
Commercial and Industrial	$	709	$	42	$	939	$	72
Commercial Mortgage	690		54		151		9
Total Commercial	1,399		96		1,090		81
Consumer
Residential Mortgage	22,981		845		27,436		962
Home Equity	1,707		82		1,395		66
Automobile	12,235		825		7,974		522
Other ¹	2,571		215		2,003		174
Total Consumer	39,494		1,967		38,808		1,724
Total Impaired Loans with an Allowance Recorded	$	40,893	$	2,063	$	39,898	$	1,805

Impaired Loans:
Commercial	$	20,924	$	840	$	23,315	$	984
Consumer	39,494		1,967		38,808		1,724
Total Impaired Loans	$	60,418	$	2,807	$	62,123	$	2,708

¹ Comprised of other revolving credit and installment financing.

For the year ended December 31, 2015, the average recorded investment in impaired loans was $66.4 million and the interest income recognized on impaired loans was $2.6 million. For the years ended December 31, 2017, 2016, and 2015, the amount of interest income recognized by the Company within the period that the loans were impaired were primarily related to loans modified in a troubled debt restructuring that were on accrual status. For the years ended December 31, 2017, 2016, and 2015, the amount of interest income recognized using a cash-basis method of accounting during the time within that period that the loans were impaired was not material.

Modifications

A modification of a loan constitutes a troubled debt restructuring (“TDR”) when the Company for economic or legal reasons related to a borrower’s financial difficulties grants a concession to the borrower that it would not otherwise consider. Loans modified in a TDR were $60.1 million and $60.0 million as of December 31, 2017 and 2016, respectively. As of December 31, 2017, there were $1.5 million commitments to lend additional funds on loans modified in a TDR. As of December 31, 2016, there were $0.4 million commitments to lend additional funds on loans modified in a TDR.

The Company offers various types of concessions when modifying a loan or lease. Commercial and industrial loans modified in a TDR often involve temporary interest-only payments, term extensions, and converting revolving credit lines to term loans. Additional collateral, a co-borrower, or a guarantor is often requested. Commercial mortgage and construction loans modified in a TDR often involve reducing the interest rate for the remaining term of the loan, extending the maturity date at an interest rate lower than the current market rate for new debt with similar risk, or substituting or adding a co-borrower or guarantor. Construction loans modified in a TDR may also involve extending the interest-only payment period. Residential mortgage loans modified in a TDR generally include a lower interest rate and the loan being fully amortized for up to 40 years from the modification effective date. In some cases, the Company may forbear a portion of the unpaid principal balance with a balloon payment due upon maturity or pay-off of the loan. Land loans are also included in the class of residential mortgage loans. Land loans are typically structured as interest-only monthly payments with a balloon payment due at maturity. Land loan modifications usually involve extending the interest-only payments up to an additional five years with a balloon payment due at maturity, or re-amortizing the remaining balance over a period up to 360 months. Interest rates are not changed for land loan modifications. Home equity modifications are made infrequently and uniquely designed to meet the specific needs of each borrower. Automobile loans modified in a TDR are primarily comprised of loans where the Company has lowered monthly payments by extending the term.

Loans modified in a TDR are typically already on non-accrual status and partial charge-offs have in some cases already been taken against the outstanding loan balance. As a result, loans modified in a TDR may have the financial effect of increasing the specific Allowance associated with the loan. An Allowance for impaired commercial and consumer loans that have been modified in a TDR is measured based on the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price, or the estimated fair value of the collateral, less any selling costs, if the loan is collateral dependent. Management exercises significant judgment in developing these estimates.

The following presents by class, information related to loans modified in a TDR during the years ended December 31, 2017 and 2016.



	Loans Modified as a TDR for the Year Ended December 31, 2017					Loans Modified as a TDR for the Year Ended December 31, 2016
Troubled Debt Restructurings (dollars in thousands)	Number of Contracts	Recorded Investment (as of period end)¹		Increase in Allowance (as of period end)		Number of Contracts	Recorded Investment (as of period end)¹		Increase in Allowance (as of period end)
Commercial
Commercial and Industrial	13	$	7,299	$	11	6	$	3,525	$	21
Commercial Mortgage	4	2,336		93		1	204		20
Total Commercial	17	9,635		104		7	3,729		41
Consumer
Residential Mortgage	2	368		1		10	3,146		522
Home Equity	4	604		13		2	651		7
Automobile	424	8,623		177		267	5,451		116
Other ²	171	1,395		35		199	1,404		37
Total Consumer	601	10,990		226		478	10,652		682
Total	618	$	20,625	$	330	485	$	14,381	$	723


¹	The period end balances reflect all partial paydowns and charge-offs since the modification date. TDRs fully paid off, charged off, or foreclosed upon by period end are not included.


²	Comprised of other revolving credit and installment financing.

The following presents by class, loans modified in a TDR that defaulted during the year ended December 31, 2017 and 2016, and within twelve months of their modification date. A TDR is considered to be in default once it becomes 60 days or more past due following a modification.



	Year Ended December 31, 2017			Year Ended December 31, 2016
TDRs that Defaulted During the Period, Within Twelve Months of their Modification Date (dollars in thousands)	Number of Contracts	Recorded Investment (as of period end) ¹		Number of Contracts	Recorded Investment (as of period end) ¹
Commercial
Commercial and Industrial	1	$	48	—	$	—
Commercial Mortgage	1	341		—	—
Total Commercial	2	389		—	—
Consumer
Residential Mortgage	1	94		4	1,445
Home Equity	1	237		1	157
Automobile	28	515		19	373
Other ²	36	208		40	278
Total Consumer	66	1,054		64	2,253
Total	68	$	1,443	64	$	2,253

¹ The period end balances reflect all paydowns and charge-offs since the modification date. TDRs fully paid off, charged off, or foreclosed upon by period end are not included.


²	Comprised of other revolving credit and installment financing.

Loans modified in a TDR are closely monitored for delinquency as an early indicator of possible future default. If loans modified in a TDR subsequently default, the Company evaluates the loan for possible further impairment. The specific Allowance associated with the loan may be increased, adjustments may be made in the allocation of the Allowance, or partial charge-offs may be taken to further write-down the carrying value of the loan.

Foreclosure Proceedings

Consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure totaled $6.2 million as of December 31, 2017.

Mortgage Servicing Rights

12 Months Ended

Dec. 31, 2017

Transfers and Servicing of Financial Assets [Abstract]

Mortgage Servicing Rights

The Company’s portfolio of residential mortgage loans serviced for third parties was $2.9 billion as of December 31, 2017, and $2.7 billion as of December 31, 2016 and 2015. Substantially all of these loans were originated by the Company and sold to third parties on a non-recourse basis with servicing rights retained. These retained servicing rights are recorded as a servicing asset and are initially recorded at fair value (see Note 21 Fair Value of Assets and Liabilities for more information). Changes to the balance of mortgage servicing rights are recorded in mortgage banking income in the Company’s consolidated statements of income.

The Company’s mortgage servicing activities include collecting principal, interest, and escrow payments from borrowers; making tax and insurance payments on behalf of borrowers; monitoring delinquencies and executing foreclosure proceedings; and accounting for and remitting principal and interest payments to investors. Servicing income, including late and ancillary fees, was $7.1 million, $6.9 million, and $7.2 million for the years ended December 31, 2017, 2016, and 2015, respectively. Servicing income is recorded in mortgage banking income in the Company’s consolidated statements of income. The Company’s residential mortgage investor loan servicing portfolio is primarily comprised of fixed rate loans concentrated in Hawaii.

For the years ended December 31, 2017, 2016, and 2015, the change in the fair value of the Company’s mortgage servicing rights accounted for under the fair value measurement method was as follows:



(dollars in thousands)	2017			2016			2015
Balance at Beginning of Year	$	1,655		$	1,970		$	2,604
Changes in Fair Value:
Due to Change in Valuation Assumptions ¹	—			—			(251		)
Due to Payoffs	(201		)	(315		)	(383		)
Total Changes in Fair Value of Mortgage Servicing Rights	(201		)	(315		)	(634		)
Balance at End of Year	$	1,454		$	1,655		$	1,970


¹	Primarily represents changes in discount rates and loan repayment rate assumptions, mostly due to changes in interest rates.

For the years ended December 31, 2017, 2016, and 2015, the change in the carrying value of the Company’s mortgage servicing rights accounted for under the amortization method, net of valuation allowance was as follows:



(dollars in thousands)	2017			2016			2015
Balance at Beginning of Year	$	22,008		$	21,032		$	22,091
Servicing Rights that Resulted From Asset Transfers	3,976			3,847			1,737
Amortization	(2,816		)	(2,892		)	(2,832		)
Valuation Allowance Recovery (Provision)	—			21			36
Balance at End of Year	$	23,168		$	22,008		$	21,032

Valuation Allowance:
Balance at Beginning of Year	$	—		$	(21	)	$	(57	)
Valuation Allowance Recovery (Provision)	—			21			36
Balance at End of Year	$	—		$	—		$	(21	)

Fair Value:
Balance at Beginning of Year	$	25,148		$	24,804		$	22,837
Balance at End of Year	$	26,716		$	25,148		$	24,804

The key data and assumptions used in estimating the fair value of the Company’s mortgage servicing rights as of December 31, 2017 and 2016 were as follows:



	December 31,
	2017		2016
Weighted-Average Constant Prepayment Rate ¹	8.50	%	8.13	%
Weighted-Average Life (in years)	7.09		7.43
Weighted-Average Note Rate	4.04	%	4.10	%
Weighted-Average Discount Rate²	8.87	%	9.33	%


¹	Represents annualized loan prepayment rate assumption.


²	Derived from multiple interest rate scenarios that incorporate a spread to a market yield curve and market volatilities.

A sensitivity analysis of the Company’s fair value of mortgage servicing rights to changes in certain key assumptions as of December 31, 2017 and 2016 is presented in the following table.



	December 31,
(dollars in thousands)	2017			2016
Constant Prepayment Rate
Decrease in fair value from 25 basis points (“bps”) adverse change	$	(332	)	$	(321	)
Decrease in fair value from 50 bps adverse change	(657		)	(636		)
Discount Rate
Decrease in fair value from 25 bps adverse change	(289		)	(288		)
Decrease in fair value from 50 bps adverse change	(572		)	(570		)

This analysis generally cannot be extrapolated because the relationship of a change in one key assumption to the change in the fair value of the Company’s mortgage servicing rights usually is not linear. Also, the effect of changing one key assumption without changing other assumptions is not realistic.

- Definition

The entire disclosure for a transferor's continuing involvement in financial assets that it has transferred in a securitization or asset-backed financing arrangement, the nature of any restrictions on assets reported by an entity in its statement of financial position that relate to a transferred financial asset (including the carrying amounts of such assets), how servicing assets and servicing liabilities are reported, and (for securitization or asset-backed financing arrangements accounted for as sales) when a transferor has continuing involvement with the transferred financial assets and transfers of financial assets accounted for as secured borrowings, how the transfer of financial assets affects an entity's financial position, financial performance, and cash flows.

+ References + Details

Premises and Equipment

12 Months Ended

Dec. 31, 2017

Property, Plant and Equipment [Abstract]

Premises and Equipment

The components of the Company’s premises and equipment as of December 31, 2017 and 2016 were as follows:



(dollars in thousands)	Cost		Accumulated Depreciation and Amortization				Net Book Value
December 31, 2017
Premises	$	331,566		$	(243,069	)		$	88,497
Equipment	130,228			(90,319		)		39,909
Capital Leases	6,593			(4,073		)		2,520
Total	$	468,387		$	(337,461	)		$	130,926

December 31, 2016
Premises	$	321,144		$	(240,567	)		$	80,577
Equipment	117,356			(87,021		)		30,335
Capital Leases	6,594			(4,001		)		2,593
Total	$	445,094		$	(331,589	)		$	113,505

Depreciation and amortization (including capital lease amortization) included in noninterest expense was $13.0 million, $12.9 million, and $12.8 million for the years ended December 31, 2017, 2016, and 2015, respectively.

There was no impairment of the Company’s premises and equipment for the years ended December 31, 2017, 2016 and 2015.

Other Assets

12 Months Ended

Dec. 31, 2017

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Other Assets

The components of the Company’s other assets as of December 31, 2017 and 2016 were as follows:



	December 31,
(dollars in thousands)	2017		2016
Federal Home Loan Bank and Federal Reserve Bank Stock	$	40,645	$	40,063
Derivative Financial Instruments	10,518		13,731
Low-Income Housing and Other Equity Investments	87,632		78,900
Deferred Compensation Plan Assets	29,230		21,952
Prepaid Expenses	7,944		7,355
Accounts Receivable	43,195		12,584
Other	33,432		20,123
Total Other Assets	$	252,596	$	194,708

Deposits

12 Months Ended

Dec. 31, 2017

Deposits [Abstract]

Deposits

Time Deposits

As of December 31, 2017 and 2016, the Company’s total time deposits were $1.7 billion and $1.2 billion respectively. As of December 31, 2017, the contractual maturities of these time deposits were as follows:



(dollars in thousands)	Amount
2018	$	1,398,406
2019	89,687
2020	56,400
2021	99,993
2022	34,847
Thereafter	8,759
Total	$	1,688,092

The amount of time deposits with balances of $100,000 or more was $1.4 billion and $1.0 billion as of December 31, 2017 and 2016, respectively. As of December 31, 2017, the contractual maturities of these time deposits were as follows:



(dollars in thousands)	Amount
Three Months or Less	$	589,189
Over Three Months through Six Months	366,737
Over Six Months through Twelve Months	318,193
Over Twelve Months	167,306
Total	$	1,441,425

Public Deposits

As of December 31, 2017 and 2016, deposits of governmental entities of $1.3 billion and $1.1 billion, respectively, required collateralization by acceptable investment securities of the Company.

Borrowings

12 Months Ended

Dec. 31, 2017

Borrowings Disclosure Abstract

Borrowings

Details of the Company’s short-term borrowings (original term of one year or less) as of December 31, 2017 and 2016 were as follows:



	December 31,
(dollars in thousands)	2017			2016
Funds Purchased ¹
Amounts Outstanding	$	—		$	9,616
Weighted-Average Interest Rate	—		%	0.15		%
Securities Sold Under Agreements to Repurchase (short-term) ²
Amounts Outstanding	$	1,603		$	23,278
Weighted-Average Interest Rate	0.14		%	0.31		%


¹	Federal funds purchased generally mature on the next business day following the date of purchase.


²	Consists entirely of repurchase agreements with government entities. Excludes long-term repurchase agreements with government entities of $3.7 million and $0.1 million as of December 31, 2017, and 2016, respectively, and long-term repurchase agreements with private institutions of $500.0 million as of December 31, 2017 and 2016.

The Company’s total securities sold under agreements to repurchase were $505.3 million and $523.4 million as of December 31, 2017 and 2016, respectively. As of December 31, 2017, all of our repurchase agreements were at fixed interest rates.

As of December 31, 2017, long-term repurchase agreements (original term over one year) placed with government entities were $3.7 million with a weighted-average interest rate of 0.82% and a weighted-average maturity of 181 days.

As of December 31, 2017, long-term repurchase agreements placed with private institutions were $500.0 million with a weighted-average interest rate of 3.64%. Remaining terms ranged from 2020 to 2022 with a weighted-average maturity of 3.6 years. Some of our repurchase agreements with private institutions may be terminated at earlier specified dates by the private institution or in some cases by either the private institution or the Company. If all such agreements were to terminate at the earliest possible date, the weighted-average maturity for our repurchase agreements with private institutions would decrease to 2.6 years.

Other Debt

12 Months Ended

Dec. 31, 2017

Debt Disclosure [Abstract]

Other Debt

The Company’s other debt as of December 31, 2017 and 2016 were as follows:



	December 31,
(dollars in thousands)	2017		2016
Federal Home Loan Bank Advances	$	250,000	$	250,000
Non-Recourse Debt	—		7,153
Capital Lease Obligations	10,716		10,785
Total	$	260,716	$	267,938

As a member of the FHLB, the Bank may borrow funds from the FHLB in amounts up to 35% of the Bank’s total assets, provided the Bank is able to pledge an adequate amount of qualified assets to secure the borrowings. As of December 31, 2017, FHLB advances totaled $250.0 million with a weighted-average interest rate of 1.28% and maturity dates ranging from 2018 to 2020. As of December 31, 2017, the Company had a remaining line of credit with the FHLB of $2.0 billion. See Note 4 Loans and Leases and the Allowance for Loan and Lease Losses for loans pledged to the FHLB as of December 31, 2017 and 2016.

Capital lease obligations relate to office space at the Company’s headquarters. The lease began in 1993 and has a 60 year term. Lease payments are fixed at $0.8 million per year through December 2022 (one-time inflation adjustment on January 1, 2018) and are negotiable thereafter.

As of December 31, 2017, the Company had an undrawn line of credit with the FRB of $529.8 million. See Note 4 Loans and Leases and the Allowance for Loan and Lease Losses for loans pledged to the FRB as of December 31, 2017 and 2016.

As of December 31, 2017, the annual maturities of the Company’s other debt, exclusive of capital lease obligations, were expected to be as follows:



(dollars in thousands)	Amount
2018	$	175,000
2019	50,000
2020	25,000
2021	—
2022	—
Thereafter	—
Total	$	250,000

Shareholders' Equity

12 Months Ended

Dec. 31, 2017

Stockholders' Equity Note [Abstract]

Shareholders' Equity

Shareholders’ Equity

Regulatory Capital

The table below sets forth the minimum required capital amounts and ratios for well capitalized institutions and the actual capital amounts and ratios for the Company and the Bank as of December 31, 2017 and 2016:



(dollars in thousands)	Well Capitalized Minimum Ratio		Company			Bank
As of December 31, 2017
Shareholders’ Equity			$	1,231,868		$	1,161,037
Common Equity Tier 1 Capital			1,238,063			1,178,804
Tier 1 Capital			1,238,063			1,178,804
Total Capital			1,352,231			1,292,972
Common Equity Tier 1 Capital Ratio	6.5	%	13.24		%	12.62		%
Tier 1 Capital Ratio	8.0	%	13.24		%	12.62		%
Total Capital Ratio	10.0	%	14.46		%	13.85		%
Tier 1 Leverage Ratio	5.0	%	7.26		%	6.92		%

As of December 31, 2016
Shareholders’ Equity			$	1,161,537		$	1,094,461
Common Equity Tier 1 Capital			1,168,228			1,111,525
Tier 1 Capital			1,168,228			1,111,525
Total Capital			1,278,528			1,221,683
Common Equity Tier 1 Capital Ratio	6.5	%	13.24		%	12.61		%
Tier 1 Capital Ratio	8.0	%	13.24		%	12.61		%
Total Capital Ratio	10.0	%	14.49		%	13.86		%
Tier 1 Leverage Ratio	5.0	%	7.21		%	6.86		%

The Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can result in certain mandatory, and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classifications are also subject to qualitative judgments by regulators about the components of regulatory capital, risk weightings, and other factors.

Quantitative measures established by regulation to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios of Common Equity Tier 1, Tier 1 and Total Capital. Both Common Equity Tier 1 Capital and Tier 1 Capital are common shareholders’ equity, reduced by certain intangible assets, postretirement benefit liability adjustments, and unrealized gains and losses on investment securities. Total Capital is Tier 1 Capital plus an allowable amount of the reserve for credit losses. Risk-weighted assets are calculated by taking assets and credit equivalent amounts of off-balance-sheet items and assigning them to one of several broad risk categories. Four capital ratios are used to measure capital adequacy: Common Equity Tier 1 Capital divided by risk-weighted assets, as defined; Tier 1 Capital divided by risk-weighted assets; Total Capital divided by risk-weighted assets; and the Tier 1 Leverage ratio, which is Tier 1 Capital divided by quarterly adjusted average total assets.

As of December 31, 2017, the Company and the Bank were well capitalized as defined in the regulatory framework for prompt corrective action. There were no conditions or events since December 31, 2017 that management believes have changed the Company or the Bank’s capital classifications.

Dividends

Dividends paid by the Parent are substantially funded from dividends received from the Bank. The Bank is subject to federal and state regulatory restrictions that limit cash dividends and loans to the Parent. These restrictions generally require advanced approval from the Bank’s regulator for payment of dividends in excess of the sum of net income for the current calendar year and the retained net income of the prior two calendar years.

Common Stock Repurchase Program

The Parent has a common stock repurchase program in which shares repurchased are held in treasury stock for reissuance in connection with share-based compensation plans and for general corporate purposes. For the year ended December 31, 2017, the Parent repurchased 549,199 shares of common stock under its share repurchase program at an average cost per share of $81.91 and total cost of $45.0 million. From the beginning of the stock repurchase program in July 2001 through December 31, 2017, the Parent repurchased a total of 54.2 million shares of common stock at an average cost of $38.29 per share and total cost over $2.0 billion. From January 1, 2018 through February 16, 2018, the Parent repurchased an additional 80,000 shares of common stock at an average cost of $84.27 per share for a total of $6.7 million. The actual amount and timing of future share repurchases, if any, will depend on market conditions, applicable SEC rules and various other factors.

Accumulated Other Comprehensive Income

The following table presents the components of other comprehensive income (loss), net of tax:



(dollars in thousands)	Before Tax			Tax Effect			Net of Tax
Year Ended December 31, 2017
Net Unrealized Gains (Losses) on Investment Securities:
Net Unrealized Gains (Losses) Arising During the Period	$	(5,263	)	$	(2,078	)	$	(3,185	)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) that (Increase) Decrease Net Income:
Amortization of Unrealized Holding (Gains) Losses on Held-to-Maturity Securities ¹	1,982			783			1,199
Net Unrealized Gains (Losses) on Investment Securities	(3,281		)	(1,295		)	(1,986		)
Defined Benefit Plans:
Net Actuarial Gains (Losses) Arising During the Period	884			349			535
Amortization of Net Actuarial Losses (Gains)	1,382			545			837
Amortization of Prior Service Credit	(322		)	(127		)	(195		)
Defined Benefit Plans, Net	1,944			767			1,177
Other Comprehensive Income (Loss)	$	(1,337	)	$	(528	)	$	(809	)

Year Ended December 31, 2016
Net Unrealized Gains (Losses) on Investment Securities:
Net Unrealized Gains (Losses) Arising During the Period	$	(18,647	)	$	(7,358	)	$	(11,289	)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) that (Increase) Decrease Net Income:
Amortization of Unrealized Holding (Gains) Losses on Held-to-Maturity Securities ¹	1,605			634			971
Net Unrealized Gains (Losses) on Investment Securities	(17,042		)	(6,724		)	(10,318		)
Defined Benefit Plans:
Net Actuarial Gains (Losses) Arising During the Period	(954		)	(377		)	(577		)
Amortization of Net Actuarial Losses (Gains)	1,224			483			741
Amortization of Prior Service Credit	(322		)	(127		)	(195		)
Defined Benefit Plans, Net	(52		)	(21		)	(31		)
Other Comprehensive Income (Loss)	$	(17,094	)	$	(6,745	)	$	(10,349	)

Year Ended December 31, 2015
Net Unrealized Gains (Losses) on Investment Securities:
Net Unrealized Gains (Losses) Arising During the Period	$	(5,448	)	$	(2,138	)	$	(3,310	)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) that (Increase) Decrease Net Income:
(Gain) Loss on Sale	(190		)	(75		)	(115		)
Amortization of Unrealized Holding (Gains) Losses on Held-to-Maturity Securities ¹	2,136			836			1,300
Net Unrealized Gains (Losses) on Investment Securities	(3,502		)	(1,377		)	(2,125		)
Defined Benefit Plans:
Net Actuarial Gains (Losses) Arising During the Period	7,335			2,869			4,466
Amortization of Net Actuarial Losses (Gains)	1,624			641			983
Amortization of Prior Service Credit	(322		)	(127		)	(195		)
Defined Benefit Plans, Net	8,637			3,383			5,254
Other Comprehensive Income (Loss)	$	5,135		$	2,006		$	3,129


¹	The amount relates to the amortization/accretion of unrealized gains and losses related to the Company's reclassification of available-for-sale investment securities to the held-to-maturity category. The unrealized net gains/losses will be amortized/accreted over the remaining life of the investment securities as an adjustment of yield.

The following table presents the changes in each component of accumulated other comprehensive income (loss), net of tax:



(dollars in thousands)	Investment Securities-Available-For-Sale			Investment Securities-Held-To-Maturities			Defined Benefit Plans			Accumulated Other Comprehensive Income (Loss)
Year Ended December 31, 2017
Balance at Beginning of Period	$	1,270		$	(6,284	)	$	(28,892	)	$	(33,906	)
Other Comprehensive Income (Loss) Before Reclassifications	(3,185		)	—			535			(2,650		)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss)	—			1,199			642			1,841
Total Other Comprehensive Income (Loss)	(3,185		)	1,199			1,177			(809		)
Balance at End of Period	$	(1,915	)	$	(5,085	)	$	(27,715	)	$	(34,715	)

Year Ended December 31, 2016
Balance at Beginning Period	$	12,559		$	(7,255	)	$	(28,861	)	$	(23,557	)
Other Comprehensive Income (Loss) Before Reclassifications	(11,289		)	—			(577		)	(11,866		)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss)	—			971			546			1,517
Total Other Comprehensive Income (Loss)	(11,289		)	971			(31		)	(10,349		)
Balance at End of Period	$	1,270		$	(6,284	)	$	(28,892	)	$	(33,906	)

Year Ended December 31, 2015
Balance at Beginning Period	$	15,984		$	(8,555	)	$	(34,115	)	$	(26,686	)
Other Comprehensive Income (Loss) Before Reclassifications	(3,310		)	—			4,466			1,156
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss)	(115		)	1,300			788			1,973
Total Other Comprehensive Income (Loss)	(3,425		)	1,300			5,254			3,129
Balance at End of Period	$	12,559		$	(7,255	)	$	(28,861	)	$	(23,557	)



The following table presents the amounts reclassified out of each component of accumulated other comprehensive income (loss):
Details about Accumulated Other Comprehensive Income (Loss) Components	Amount Reclassified from Accumulated Other Comprehensive Income (Loss)¹									Affected Line Item in the Statement Where Net Income Is Presented
(dollars in thousands)	Year Ended December 31,
	2017			2016			2015
Amortization of Unrealized Holding Gains (Losses) on Investment Securities Held-to-Maturity	$	(1,982	)	$	(1,605	)	$	(2,136	)	Interest Income
	783			634			836			Provision for Income Tax
	(1,199		)	(971		)	(1,300		)	Net of Tax
Sales of Investment Securities Available-for-Sale	—			—			190			Investment Securities Gains (Losses), Net
	—			—			(75		)	Provision for Income Tax
	—			—			115			Net of Tax

Amortization of Defined Benefit Plans Items
Prior Service Credit ²	322			322			322
Net Actuarial Losses²	(1,382		)	(1,224		)	(1,624		)
	(1,060		)	(902		)	(1,302		)	Total Before Tax
	418			356			514			Provision for Income Tax
	(642		)	(546		)	(788		)	Net of Tax

Total Reclassifications for the Period	$	(1,841	)	$	(1,517	)	$	(1,973	)	Net of Tax


¹	Amounts in parentheses indicate reductions to net income.


²	These accumulated other comprehensive income (loss) components are included in the computation of net periodic benefit cost and are included in Salaries and Benefits on the consolidated statements of income. See Note 14 Employee Benefits for additional details.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-Section S99
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
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-Publisher FASB
-Name Accounting Standards Codification
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Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Preferred Stock
-URI http://asc.fasb.org/extlink&oid=6521494

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-Publisher FASB
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+ Details

Earnings Per Share

12 Months Ended

Dec. 31, 2017

Earnings Per Share [Abstract]

Earnings Per Share

There were no adjustments to net income, the numerator, for purposes of computing basic earnings per share. The following is a reconciliation of the weighted average number of common shares outstanding for computing diluted earnings per share and antidilutive stock options and restricted stock outstanding for the years ended December 31, 2017, 2016, and 2015:



	Weighted Average Shares
	2017	2016	2015
Denominator for Basic Earnings Per Share	42,280,931	42,644,100	43,217,818
Dilutive Effect of Equity Based Awards	326,126	235,683	237,059
Denominator for Diluted Earnings Per Share	42,607,057	42,879,783	43,454,877

Antidilutive Stock Options and Restricted Stock Outstanding	—	—	—

Business Segments

12 Months Ended

Dec. 31, 2017

Segment Reporting [Abstract]

Business Segments

The Company’s business segments are defined as Retail Banking, Commercial Banking, Investment Services and Private Banking, and Treasury and Other. The Company’s internal management accounting process measures the performance of these business segments. This process, which is not necessarily comparable with the process used by for any other financial institution, uses various techniques to assign balance sheet and income statement amounts to the business segments, including allocations of income, expense, the provision for credit losses, and capital. This process is dynamic and requires certain allocations based on judgment and other subjective factors. Unlike financial accounting, there is no comprehensive authoritative guidance for management accounting that is equivalent to GAAP. Previously reported results have been reclassified to conform to the current reporting structure.

The net interest income of the business segments reflects the results of a funds transfer pricing process that matches assets and liabilities with similar interest rate sensitivity and maturity characteristics and reflects the allocation of net interest income related to the Company’s overall asset and liability management activities on a proportionate basis. The basis for the allocation of net interest income is a function of the Company’s assumptions that are subject to change based on changes in current interest rates and market conditions. Funds transfer pricing also serves to transfer interest rate risk to Treasury. However, the other business segments have some latitude to retain certain interest rate exposures related to customer pricing decisions within guidelines.

The provision for credit losses reflects the actual net charge-offs of the business segments. The amount of the consolidated provision for loan and lease losses is based on the methodology that we use to estimate our consolidated Allowance. The residual provision for credit losses to arrive at the consolidated provision for credit losses is included in Treasury and Other.

Noninterest income and expense includes allocations from support units to business units. These allocations are based on actual usage where practicably calculated or by management’s estimate of such usage.

The provision for income taxes is allocated to business segments using a 37% effective income tax rate. However, the provision for income taxes for our Leasing business unit (included in the Commercial Banking segment) and Auto Leasing portfolio and Pacific Century Life Insurance business unit (both included in the Retail Banking segment) are assigned their actual effective income tax rates due to the unique relationship that income taxes have with their products. The residual income tax expense or benefit to arrive at the consolidated effective tax rate is included in Treasury and Other.

Retail Banking

Retail Banking offers a broad range of financial products and services to consumers and small businesses. Loan and lease products include residential mortgage loans, home equity lines of credit, automobile loans and leases, personal lines of credit, installment loans, small business loans and leases, and credit cards. Deposit products include checking, savings, and time deposit accounts. Retail Banking also offers retail insurance products. Products and services from Retail Banking are delivered to customers through 69 branch locations and 387 ATMs throughout Hawaii and the Pacific Islands, e-Bankoh (on-line banking service), a 24-hour customer service center, and a mobile banking service.

Commercial Banking

Commercial Banking offers products including corporate banking, commercial real estate loans, commercial lease financing, auto dealer financing, and deposit products. Commercial lending and deposit products are offered to middle-market and large companies in Hawaii and the Pacific Islands. In addition, Commercial Banking offers deposit products to government entities in Hawaii. Commercial real estate mortgages focus on customers that include investors, developers, and builders predominantly domiciled in Hawaii. Commercial Banking also includes international banking and provides merchant services to its customers.

Investment Services and Private Banking

Investment Services and Private Banking includes private banking and international client banking services, trust services,

investment management, and institutional investment advisory services. A significant portion of this segment’s income is

derived from fees, which are generally based on the market values of assets under management. The private banking and

personal trust groups assist individuals and families in building and preserving their wealth by providing investment, credit, and

trust services to high-net-worth individuals. The investment management group manages portfolios utilizing a variety of

investment products. Institutional client services offer investment advice to corporations, government entities, and foundations.

This segment also provides a full service brokerage offering equities, mutual funds, life insurance, and annuity products

Treasury and Other

Treasury consists of corporate asset and liability management activities, including interest rate risk management and a foreign currency exchange business. This segment’s assets and liabilities (and related interest income and expense) consist of interest-bearing deposits, investment securities, federal funds sold and purchased, and short and long-term borrowings. The primary sources of noninterest income are from bank-owned life insurance, net gains from the sale of investment securities, and foreign exchange income related to customer-driven currency requests from merchants and island visitors. The net residual effect of the transfer pricing of assets and liabilities is included in Treasury, along with the elimination of intercompany transactions.

Other organizational units (Technology, Operations, Marketing, Human Resources, Finance, Credit and Risk Management, and Corporate and Regulatory Administration) provide a wide-range of support to the Company’s other income earning segments. Expenses incurred by these support units are charged to the business segments through an internal cost allocation process.

Selected business segment financial information as of and for the years ended December 31, 2017, 2016, and 2015 were as follows:



(dollars in thousands)	Retail Banking			Commercial Banking			Investment Services and Private Banking			Treasury and Other			Consolidated Total
Year Ended December 31, 2017
Net Interest Income	$	264,041		$	171,038		$	29,693		$	(7,534	)	$	457,238
Provision for Credit Losses	14,008			(160		)	(21		)	3,073			16,900
Net Interest Income After Provision for Credit Losses	250,033			171,198			29,714			(10,607		)	440,338
Noninterest Income	85,042			21,670			57,105			21,600			185,417
Noninterest Expense	(209,807		)	(74,209		)	(61,674		)	(12,001		)	(357,691		)
Income Before Provision for Income Taxes	125,268			118,659			25,145			(1,008		)	268,064
Provision for Income Taxes	(44,545		)	(41,797		)	(9,303		)	12,253			(83,392		)
Net Income	$	80,723		$	76,862		$	15,842		$	11,245		$	184,672
Total Assets as of December 31, 2017	$	5,936,568		$	3,742,991		$	336,455		$	7,073,038		$	17,089,052

Year Ended December 31, 2016
Net Interest Income	$	242,967		$	156,080		$	24,714		$	(6,182	)	$	417,579
Provision for Credit Losses	10,700			(7,322		)	(23		)	1,395			4,750
Net Interest Income After Provision for Credit Losses	232,267			163,402			24,737			(7,577		)	412,829
Noninterest Income	91,824			26,967			57,396			21,156			197,343
Noninterest Expense	(208,389		)	(70,405		)	(59,782		)	(12,002		)	(350,578		)
Income Before Provision for Income Taxes	115,702			119,964			22,351			1,577			259,594
Provision for Income Taxes	(41,067		)	(42,667		)	(8,270		)	13,871			(78,133		)
Net Income	$	74,635		$	77,297		$	14,081		$	15,448		$	181,461
Total Assets as of December 31, 2016	$	5,342,078		$	3,565,912		$	280,410		$	7,303,967		$	16,492,367

Year Ended December 31, 2015
Net Interest Income	$	202,259		$	143,944		$	18,494		$	29,390		$	394,087
Provision for Credit Losses	8,033			(1,165		)	(43		)	(5,825		)	1,000
Net Interest Income After Provision for Credit Losses	194,226			145,109			18,537			35,215			393,087
Noninterest Income	82,391			22,191			58,835			22,802			186,219
Noninterest Expense	(199,572		)	(77,500		)	(57,852		)	(13,180		)	(348,104		)
Income Before Provision for Income Taxes	77,045			89,800			19,520			44,837			231,202
Provision for Income Taxes	(27,330		)	(31,375		)	(7,222		)	(4,571		)	(70,498		)
Net Income	$	49,715		$	58,425		$	12,298		$	40,266		$	160,704
Total Assets as of December 31, 2015	$	4,680,888		$	3,099,175		$	274,469		$	7,400,484		$	15,455,016

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9038-108599

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8971-108599

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8595-108599

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-SubTopic 10
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-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8380-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-SubTopic 10
-Section 50
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8933-108599

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 26
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8844-108599

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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-Section 50
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8984-108599

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9054-108599

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8538-108599

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Section 50
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8864-108599

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8924-108599

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e8906-108599

+ Details

Employee Benefits

12 Months Ended

Dec. 31, 2017

Compensation and Retirement Disclosure [Abstract]

Employee Benefits

The Company has defined contribution plans, defined benefit plans, and a postretirement benefit plan.

Defined Contribution Plans

The Bank of Hawaii Retirement Savings Plan (the “Savings Plan”) has three Company contribution components in addition to employee contributions: 1) 401(k) matching, as described below; 2) a 3% fixed amount based on eligible compensation; and 3) a discretionary value-sharing contribution.

Under the 401(k) matching component, participating employees may contribute up to 50% of their eligible compensation (within federal limits) to the Savings Plan. The Company makes matching contributions on behalf of participants equal to $1.25 for each $1.00 contributed by participants, up to 2% of the participants’ eligible compensation, and $0.50 for every $1.00 contributed by participants over 2%, up to 5% of the participants’ eligible compensation. A 3% fixed contribution and a discretionary value-sharing contribution, that is linked to the Company’s financial goals, are made regardless of whether the participating employee contributes to the Savings Plan and are invested in accordance with the participant’s selection of investment options available under the Savings Plan. The Company also has a non-qualified savings plan which covers certain employees with compensation exceeding Internal Revenue Service (“IRS”) limits on pay amounts in the allocation of the Savings Plan’s benefits. Total expense for all components of the Company’s defined contribution plans was $13.5 million, $12.8 million, and $12.0 million for the years ended December 31, 2017, 2016, and 2015, respectively.

Defined Benefit Plans

The Company has two defined benefit plans (the “Pension Plans”). In 1995, the Company froze its non-contributory, qualified defined benefit retirement plan (the “Retirement Plan”) and the excess retirement plan (the “Excess Plan”), which covered employees of the Company and participating subsidiaries who met certain eligibility requirements. Beginning January 1, 2001, the Pension Plans no longer provided for compensation increases in the determination of benefits. The projected benefit obligation is equal to the accumulated benefit obligation due to the frozen status of the Pension Plans.

The assets of the Retirement Plan primarily consist of equity and fixed income mutual funds.

The Excess Plan is a non-qualified excess retirement benefit plan which covers certain employees of the Company and participating subsidiaries with compensation exceeding IRS limits on pay amounts applicable to the Pension Plan’s benefit formula. The Excess Plan has no plan assets. The Excess Plan’s projected benefit obligation and accumulated benefit obligation were $3.9 million and $4.0 million as of December 31, 2017 and 2016, respectively.

Postretirement Benefit Plan

The Company’s postretirement benefit plan provides retirees hired before January 1, 2012 with medical and dental insurance coverage. For eligible participants that retired before 2008 and met certain age requirements, the Company and retiree share in the cost of providing postretirement benefits where both the employer and retiree pay a portion of the insurance premiums. Eligible participants who retired before 2008 who did not meet certain age requirements continued on the Company’s benefit plans, but pay for their full insurance premiums. Participants who retired on or after January 1, 2008, who had medical or dental coverage under the Company’s plans immediately before retirement and meet certain age and years of service requirements as of December 31, 2008 are also eligible to participate in the Company’s benefit plans, but must pay for their full insurance premiums. Retirees age 65 and older are provided with a Medicare supplemental plan subsidy. Most employees of the Company who have met certain eligibility requirements are covered by this plan. Participants who retired on or after January 1, 2008 who met certain age and/or years of service requirements are eligible for the Health Reimbursement Account (“HRA”) program. The HRA program provides retirees with an initial credit based on years of service. Thereafter, an annual credit up to a maximum of $1,200 is provided into the HRA. The retiree may use the HRA for medical, vision, prescription drug and dental premiums, co-payments, and medically necessary health care expenses that are not covered by any medical or dental insurance program or flexible health spending account. The plan was amended to provide access-only coverage for employees hired on or after January 1, 2012, and lowered eligibility for access from age 55 to age 50. These retirees continue on the medical and dental plan until age 65 paying the full premium. As of December 31, 2017 and 2016, the Company had no segregated assets to provide for postretirement benefits.

The following table provides a reconciliation of changes in benefit obligation and fair value of plan assets, as well as the funded status recognized in the Company’s consolidated statements of condition for the Pension Plans and postretirement benefit plan for the years ended December 31, 2017 and 2016.



	Pension Benefits						Postretirement Benefits
(dollars in thousands)	2017			2016			2017			2016
Benefit Obligation at Beginning of Year	$	107,593		$	105,993		$	24,308		$	25,307
Service Cost	—			—			453			513
Interest Cost	4,665			4,882			1,093			1,134
Plan Amendment ³	—			—			(2,730		)	—
Actuarial Losses (Gains)	6,828			2,708			2,052			(1,846		)
Employer Benefits Paid ¹	(9,006		)	(5,990		)	(970		)	(800		)
Benefit Obligation at End of Year	$	110,080		$	107,593		$	24,206		$	24,308
Fair Value of Plan Assets at Beginning of Year	$	83,383		$	83,858		$	—		$	—
Actual Return on Plan Assets	12,047			5,031			—			—
Employer Contributions	10,484			484			970			800
Employer Benefits Paid ¹	(9,006		)	(5,990		)	(970		)	(800		)
Fair Value of Plan Assets at End of Year	$	96,908		$	83,383		$	—		$	—
Funded Status at End of Year ²	$	(13,172	)	$	(24,210	)	$	(24,206	)	$	(24,308	)


¹	Participants' contributions relative to the postretirement benefit plan were offset against employer benefits paid in the table above. Participants' contributions for postretirement benefits were $0.5 million and $0.8 million for the years ended December 31, 2017 and 2016, respectively.


²	Amounts are recognized in Retirement Benefits Payable in the consolidated statements of condition.


³	For certain retirees, medical premiums were changed to a full retiree rate instead of a blended rate.

The following presents the amounts recognized in the Company’s accumulated other comprehensive income for the Pension Plans and postretirement benefit plan as of December 31, 2017 and 2016.



	Pension Benefits						Postretirement Benefits
(dollars in thousands)	2017			2016			2017		2016
Amounts Recognized in Accumulated Other Comprehensive Income (Loss), Net of Tax
Net Actuarial Gains (Losses)	$	(32,730	)	$	(33,954	)	$	3,143	$	4,647
Net Prior Service Credit	—			—			1,872		415
Total Amounts Recognized in Accumulated Other Comprehensive Income (Loss), Net of Tax	$	(32,730	)	$	(33,954	)	$	5,015	$	5,062

Components of net periodic benefit cost for the Company’s Pension Plans and the postretirement benefit plan are presented in the following table for the years ended December 31, 2017, 2016, and 2015.



	Pension Benefits									Postretirement Benefits
(dollars in thousands)	2017			2016			2015			2017			2016			2015
Service Cost	$	—		$	—		$	—		$	453		$	513		$	621
Interest Cost	4,665			4,882			4,655			1,093			1,134			1,155
Expected Return on Plan Assets	(5,011		)	(5,121		)	(5,222		)	—			—			—
Amortization of:
Prior Service Credit¹	—			—			—			(322		)	(322		)	(322		)
Net Actuarial Losses (Gains) ¹	1,817			1,617			1,713			(435		)	(393		)	(89		)
Net Periodic Benefit Cost	$	1,471		$	1,378		$	1,146		$	789		$	932		$	1,365


¹	Represents reclassification adjustments from accumulated other comprehensive income during the period.

The estimated net actuarial loss related to the Company’s Pension Plans that is expected to be amortized from accumulated other comprehensive income into net periodic benefit cost for the year ending December 31, 2018 is approximately $2.0 million. The estimated net actuarial gain and prior service credit related to the Company’s postretirement benefit plan that is expected to be amortized from accumulated other comprehensive income into net periodic benefit cost for the year ending December 31, 2018 is approximately $0.8 million.

Assumptions used to determine the benefit obligations as of December 31, 2017 and 2016 for the Company’s Pension Plans and postretirement benefit plan were as follows:



	Pension Benefits				Postretirement Benefits
	2017		2016		2017		2016
Weighted Average Assumptions as of December 31:
Discount Rate	3.90	%	4.45	%	3.96	%	4.57	%
Health Care Cost Trend Rate Assumed For Next Year	—		—		6.30	%	6.50	%

The health care cost trend rate is assumed to decrease annually, until reaching the ultimate trend rate of 4.5% in 2036.

Assumptions used to determine the net periodic benefit cost for the Company’s Pension Plans and postretirement benefit plan for the years ended December 31, 2017, 2016, and 2015 were as follows:



	Pension Benefits						Postretirement Benefits
	2017		2016		2015		2017		2016		2015
Weighted Average Assumptions as of December 31:
Discount Rate	4.45	%	4.70	%	4.25	%	4.57	%	4.74	%	4.28	%
Expected Long-Term Rate of Return on Plan Assets	5.75	%	6.00	%	6.00	%	—		—		—
Health Care Cost Trend Rate	—		—		—		6.50	%	6.70	%	7.00	%

A combination of factors is used by management in determining the expected long-term rate of return on plan assets. Historical return experience for major asset categories are evaluated and current market factors, such as inflation and interest rates, are considered in determining the expected long-term rate of return assumption.

A one percent change in the health care cost trend rate assumption (with all other assumptions remaining constant) would have impacted the service and interest cost components of the net periodic postretirement benefit cost and the postretirement benefit obligation as of and for the year ended December 31, 2017 as follows:



(dollars in thousands)	One Percent Increase			One Percent Decrease
Effect on the Total of Service and Interest Cost Component of Net Periodic Postretirement Benefit Cost		$	99		$	(88	)
Effect on the Postretirement Benefit Obligation		1,020			(1,022		)

The Company expects to contribute $0.5 million to the Pension Plans and $0.9 million to the postretirement benefit plan for the year ending December 31, 2018.

As of December 31, 2017, expected benefits to be paid in each of the next five years and in the aggregate for the five years thereafter were as follows:



(dollars in thousands)	Pension Benefits			Postretirement Benefits
2018		$	6,629		$	886
2019		6,812			926
2020		6,944			995
2021		7,070			1,074
2022		7,095			1,181
Years 2023-2027		35,416			7,619

Retirement Plan Assets

The Company’s overall investment strategy is to maintain the purchasing power of the current assets and all future contributions by producing positive rates of return on plan assets; achieve capital growth towards the attainment of full funding of the Retirement Plan’s termination liability; maximize returns within reasonable and prudent levels of risk; and control costs of administering the plan and managing the investments. The long-term investment objective is to achieve an overall annualized total return, gross of fees, above the blended benchmark index comprised of 36% MSCI USA IMI Index, 24% MSCI ACWI ex-US Index, and 40% Barclays Capital Aggregate Bond Index.

Subject to liquidity requirements, the asset allocation targets are 60% for equity securities, 40% for fixed income securities with a 10% to 20% range permitted from the strategic targets, and zero to 20% for cash. Within the equity securities portfolio, the range for domestic securities is from 50% to 100% and the range for international securities is from 0% to 50%. All assets selected for the Retirement Plan must have a readily ascertainable market value and must be readily marketable.

Due to market fluctuations or cash flows, the allocation for each asset class may be breached by as much as 5% on a temporary basis. However, asset allocations are expected to conform to target ranges within 90 days of such an occurrence.

The fair values of the Retirement Plan assets as of December 31, 2017 and 2016 by asset category were as follows:



	Fair Value Measurements
Asset Category (dollars in thousands)	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Other Unobservable Inputs (Level 3)			Total as of Dec. 31, 2017		Total as of Dec. 31, 2016
Cash		$	2,156		$	—		$	—	$	2,156	$	1,898
Equity Securities – Mutual Funds:
Large-Cap		1,748			—			—		1,748		—
Mixed-Cap		29,459			—			—		29,459		29,593
International		24,539			—			—		24,539		18,040
Emerging Market		2,305			—			—		2,305		2,043
Fixed Income Securities – Mutual Funds		36,701			—			—		36,701		31,809
Total		$	96,908		$	—		$	—	$	96,908	$	83,383

Quoted prices for these investments were available in active markets, and therefore were classified as Level 1 measurements in the fair value hierarchy.

Share-Based Compensation

12 Months Ended

Dec. 31, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Share-Based Compensation

The Company has share-based compensation plans which allow grants of stock options, restricted stock, stock appreciation rights, and restricted stock units to its employees and non-employee directors. The Company’s employee stock option plans are shareholder approved and administered by the Human Resources and Compensation Committee of the Board of Directors. Stock options provide grantees the option to purchase shares of the Parent’s common stock at a specified exercise price and, generally, expire 10 years from the date of grant. Stock option grants include incentive and non-qualified stock options whose vesting may be subject to one or more criteria, including employment or achievement of Company performance measures. Stock option exercise prices were equal to the quoted market price of the Parent’s common stock on the date of grant. Restricted stock provides grantees with rights to shares of common stock upon completion of one or more criteria, including service period, performance or other conditions as established by the Compensation Committee, such as vesting tied to the Company’s financial performances relative to the peer group or achievement of an absolute financial performance target. During the restriction period, all shares are considered outstanding and dividends are paid on the restricted stock. Generally, restricted stock vests over periods ranging from one to four years from the date of grant. Restricted stock and dividends may be forfeited if an employee terminates prior to vesting.

As of December 31, 2017, total shares authorized under the plans were 2.1 million shares, of which 1.9 million shares were available for future grants.

The Company recognizes compensation expense, measured as the fair value of the share-based award on the date of grant, on a straight-line basis over the requisite service period. Share-based compensation is recorded in the statements of income as a component of salaries and benefits for employees and as a component of other noninterest expense for non-employee directors, with a corresponding increase to capital surplus in shareholders’ equity. For the years ended December 31, 2017, 2016, and 2015, compensation expense and the related income tax benefit recognized for stock options and restricted stock were as follows:



(dollars in thousands)	2017		2016		2015
Compensation Expense	$	7,369	$	6,787	$	7,689
Income Tax Benefit	2,910		2,680		3,036

Restricted Stock

As of December 31, 2017, unrecognized compensation expense related to unvested restricted stock was $9.8 million. The unrecognized compensation expense is expected to be recognized over a weighted average period of 1.83 years.

The following table presents the activity for restricted stock:



	Number of Shares		Weighted Average Grant Date Fair Value			Grant Date Fair Value of Restricted Stock that Vested During the Year (in thousands)
Unvested as of December 31, 2014	263,446			$	53.04
Granted	116,331			57.31
Vested	(108,949	)		52.47			$	5,759
Forfeited	(2,015	)		54.17
Unvested as of December 31, 2015	268,813			$	55.92
Granted	121,495			64.40
Vested	(105,891	)		53.46			$	5,661
Forfeited	(13,894	)		58.14
Unvested as of December 31, 2016	270,523			$	60.58
Granted	124,460			84.53
Vested	(52,822	)		60.06			$	4,493
Forfeited	(22,058	)		69.46
Unvested as of December 31, 2017 ¹	320,103			$	69.36

¹ As of December 31, 2017, 31,397 shares were unvested from service-based grants.

Restricted Stock Units

There were no RSUs granted during 2017. During 2016, and 2015, the Company granted RSUs payable solely in cash. The RSUs vest over periods ranging from three to four years from the date of grant and are subject to forfeiture until performance and employment targets are achieved. Upon vesting, the RSUs are converted to cash based on the closing stock price on the vesting date. Total recognized compensation expense related to the RSUs was $3.4 million, $5.9 million, and $3.3 million for the years ended December 31, 2017, 2016, and 2015, respectively.

The following table presents the activity for RSU:



	Number of Units		Weighted Average Grant Date Fair Value			Fair Value of Restricted Stock Unit that Vested During the Year (in thousands)
Balance as of December 31, 2014	105,405			$	55.17
Granted	61,751			56.68
Vested	(31,651	)		55.17			$	1,940
Balance as of December 31, 2015	135,505			$	55.86
Granted	58,541			63.92
Vested	(31,660	)		55.17			$	1,897
Forfeited	(7,554	)		56.08
Balance as of December 31, 2016	154,832			$	59.04
Vested	(29,281	)		58.74			$	2,516
Forfeited	(9,062	)		60.17
Balance as of December 31, 2017	116,489			$	60.22

Stock Options

There were no stock options granted for the years ended December 31, 2017, 2016, and 2015. All stock options granted were fully vested prior to December 31, 2015. The Company reissues treasury stock to satisfy stock option exercises.

The following table presents the activity related to stock options under all plans for the year ended December 31, 2017:



	Stock Options		Weighted Average Exercise Price			Weighted Average Remaining Contractual Term (in years)	Aggregate Intrinsic Value (in thousands)
Stock Options Outstanding as of January 1, 2017	478,889			$	45.14
Exercised	(166,838	)		44.96
Forfeited	(8,499	)		44.38
Stock Options Outstanding as of December 31, 2017	303,552			45.26		4.0		$	12,277
Stock Options Vested and Exercisable as of December 31, 2017	303,552			45.26		4.0		12,277

The following summarizes certain stock option activity of the Company for the years ended December 31, 2017, 2016, and 2015:



(dollars in thousands)	2017		2016		2015
Intrinsic Value of Stock Options Exercised	$	5,991	$	1,990	$	2,754
Cash Received from Stock Options Exercised	7,502		3,546		9,704
Tax Benefits Realized from Stock Options Exercised	2,003		384		330

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References + Details

Income Taxes

12 Months Ended

Dec. 31, 2017

Income Tax Disclosure [Abstract]

Income Taxes

Provision for Income Taxes

The components of the Company’s provision for income taxes for the years ended December 31, 2017, 2016, and 2015 were as follows:



(dollars in thousands)	2017			2016		2015
Current:
Federal	$	73,176		$	69,061	$	73,278
State	6,039			1,885		3,737
Total Current	79,215			70,946		77,015
Deferred:
Federal	5,042			6,947		(6,801		)
State	(865		)	240		284
Total Deferred	4,177			7,187		(6,517		)
Provision for Income Taxes	$	83,392		$	78,133	$	70,498

The tax effects of fair value adjustments on available-for-sale investment securities, the amortization of unrealized gains and losses related to investment securities transferred to held-to-maturity, the minimum pension liability adjustment, and tax benefits related to stock options are recorded directly to consolidated shareholders’ equity. The net tax benefit recorded directly to consolidated shareholders’ equity was $0.5 million and $7.9 million for the year ended December 31, 2017 and December 31, 2016, respectively. The net tax charge recorded directly to consolidated shareholders’ equity was $1.0 million for the year ended December 31, 2015.

Deferred Tax Liabilities and Assets

As of December 31, 2017 and 2016, significant components of the Company’s deferred tax liabilities and assets were as follows:



	December 31,
(dollars in thousands)	2017			2016
Deferred Tax Liabilities:
Accrued Pension Cost	$	(11,245	)	$	(13,292	)
Federal Home Loan Bank Stock	(3,408		)	(5,088		)
Lease Transactions	(57,458		)	(87,454		)
Energy Tax Credits	(8,821		)	(10,476		)
Investment in Variable Interest Entities	(3,407		)	(1,883		)
Deferred Loan Fees	(6,903		)	(9,088		)
Originated Mortgage Servicing Rights	(6,646		)	(9,588		)
Other	(1,883		)	(691		)
Gross Deferred Tax Liabilities	(99,771		)	(137,560		)
Deferred Tax Assets:
Accelerated Depreciation	1,844			6,027
Allowance for Loan Losses	30,148			43,705
Minimum Pension Liability	12,114			18,852
Accrued Expenses	9,937			18,693
Postretirement Benefit Obligations	8,595			12,900
Capital Lease Expenses	2,168			3,235
Restricted Stock	6,223			7,955
Net Unrealized Losses on Investments Securities	3,059			3,271
Deductible State and Local Taxes	2,461			3,956
Other	5,183			7,596
Gross Deferred Tax Assets Before Valuation Allowance	81,732			126,190
Valuation Allowance	(955		)	(3,655		)
Gross Deferred Tax Assets After Valuation Allowance	80,777			122,535
Net Deferred Tax Liabilities	$	(18,994	)	$	(15,025	)

Accounting Standards Codification (ASC) 740, Income Taxes, requires the effects of changes in tax rates and laws on deferred tax balances to be recognized in the period in which the legislation is enacted. Since the Tax Cuts and Jobs Act was enacted on December, 22 2017, the Company revalued and adjusted its deferred taxes by recording an additional $3.6 million tax expense in December 2017. The Company’s deferred tax balances as of December 31, 2017 are based on the 21% federal tax rate which is expected to be in effect during the periods in which the temporary differences reverse, while deferred tax balances as of December 31, 2016 are based on the 35% federal tax rate.

Both positive and negative evidence was considered by management in determining the need for a valuation allowance. Negative evidence included the uncertainty regarding the generation of capital gains in future years and restrictions on the ability to sell low-income housing investments during periods when carrybacks of capital losses are allowed. Positive evidence included capital gains in the current year and carryback years. After considering all available evidence, management determined that a valuation allowance to offset deferred tax assets related to low-income housing investments that can only be used to offset capital gains was appropriate. Management determined that a valuation allowance was not required for the remaining deferred tax assets because it is more likely than not these assets will be realized through future reversals of existing taxable temporary differences, future taxable income exclusive of reversing temporary differences, and taxable income in prior carryback years.

Certain events covered by Internal Revenue Code Section 593(e) will trigger a recapture of base year reserves of acquired thrift institutions. The base year reserves of acquired thrift institutions would be recaptured if an entity ceases to qualify as a bank for federal income tax purposes. The base year reserves of thrift institutions also remain subject to income tax penalty provisions that, in general, require recapture upon certain stock redemptions of, and excess distributions to, shareholders. As of December 31, 2017, retained earnings included $18.2 million of base year reserves for which the deferred federal income tax liability of $4.8 million has not been recognized.

Effective Tax Rate

The following is a reconciliation of the statutory federal income tax rate to the Company’s effective tax rate for the years ended December 31, 2017, 2016, and 2015:



	2017		2016		2015
Statutory Federal Income Tax Rate	35.00	%	35.00	%	35.00	%
Increase (Decrease) in Income Tax Rate Resulting From:
State Taxes, Net of Federal Income Tax	1.50		0.60		1.23
Tax Reserve Adjustments	0.09		(0.18	)	0.38
Low-Income Housing Investments	(1.18	)	(0.69	)	(0.78	)
Investment Tax Credits	(1.03	)	(0.85	)	(0.89	)
Bank-Owned Life Insurance	(0.85	)	(0.88	)	(1.06	)
Tax-Exempt Income	(2.57	)	(2.71	)	(3.03	)
Excess Tax Benefits - Stock Compensation	(0.83	)	—		—
Deferred Tax Adjustment for Tax Rate Change	1.25		—		—
Other	(0.27	)	(0.19	)	(0.36	)
Effective Tax Rate	31.11	%	30.10	%	30.49	%

The Tax Cuts and Jobs Act changed the corporate tax rate from 35% to 21%, effective January 1, 2018. The impact on deferred tax assets and liabilities was recognized as an additional income tax expense of $3.6 million in the fourth quarter of 2017, when the act was signed into law.

Unrecognized Tax Benefits

The Company is required to record a liability, referred to as an unrecognized tax benefit (“UTB”), for the entire amount of benefit taken in a prior or future income tax return when the Company determines that a tax position has a less than 50% likelihood of being accepted by the taxing authority. The following presents a reconciliation of the Company’s liability for UTBs for the years ended December 31, 2017, 2016, and 2015:



(dollars in thousands)	2017			2016			2015
Unrecognized Tax Benefits at Beginning of Year	$	6,574		$	11,602		$	12,229
Gross Increases, Related to Tax Positions Taken in a Prior Period	273			145			398
Gross Decreases, Related to Tax Positions Taken in a Prior Period	—			(230		)	(98		)
Gross Increases, Related to Current Period Tax Positions	1,124			395			573
Settlement with Taxing Authority	—			(1,002		)	—
Lapse of Statute of Limitations	(2,679		)	(4,336		)	(1,500		)
Unrecognized Tax Benefits at End of Year	$	5,292		$	6,574		$	11,602

As of December 31, 2017 and 2016, $5.3 million and $5.8 million, respectively, in liabilities for UTBs was related to UTBs that if reversed would have an impact on the Company’s effective tax rate.

Management believes that it is reasonably possible that the Company’s liability for UTBs could further decrease as a result of the expiration of statutes of limitations within the next 12 months. However, management is currently not able to estimate a range of possible change in the amount of the liability for UTBs recorded as of December 31, 2017.

The Company classifies interest and penalties, if any, related to the liability for UTBs as a component of the provision for income taxes. For the years ended December 31, 2017, 2016, and 2015, the Company recorded a net tax benefit of $0.1 million, and $1.1 million, and a net tax provision of less than $0.1 million, respectively, for interest and penalties. As of December 31, 2017 and 2016, the Company had accrued $0.9 million and $1.0 million, respectively, for the payment of possible interest and penalties.

The federal tax returns for 2014 through 2016 remain subject to examination. The Company's State of Hawaii income tax returns for 2014 through 2016 remain subject to examination by the taxing authorities.

Derivative Financial Instruments

12 Months Ended

Dec. 31, 2017

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

The notional amount and fair value of the Company’s derivative financial instruments as of December 31, 2017 and 2016 were as follows:



		December 31, 2017						December 31, 2016
(dollars in thousands)	Notional Amount			Fair Value			Notional Amount			Fair Value
Interest Rate Lock Commitments		$	35,422	$	789			$	55,223	$	1,067
Forward Commitments		45,143		(56		)		104,962		847
Interest Rate Swap Agreements
Receive Fixed/Pay Variable Swaps		374,670		(1,331		)		357,441		1,381
Pay Fixed/Receive Variable Swaps		374,670		1,436				357,441		(1,395		)
Foreign Exchange Contracts		54,332		(13		)		38,172		(757		)

The following table presents the Company’s derivative financial instruments, their fair values, and their location in the consolidated statements of condition as of December 31, 2017 and 2016:



	December 31, 2017				December 31, 2016
Derivative Financial Instruments Not Designated as Hedging Instruments ¹ (dollars in thousands)	Asset Derivatives		Liability Derivatives		Asset Derivatives		Liability Derivatives
Interest Rate Lock Commitments	$	789	$	—	$	1,236	$	169
Forward Commitments	14		70		873		26
Interest Rate Swap Agreements	9,583		9,478		11,569		11,583
Foreign Exchange Contracts	132		145		53		810
Total	$	10,518	$	9,693	$	13,731	$	12,588

¹Asset derivatives are included in other assets and liability derivatives are included in other liabilities in the consolidated statements of condition.

The following table presents the Company’s derivative financial instruments and the amount and location of the net gains or losses recognized in the consolidated statements of income for the years ended December 31, 2017, 2016, and 2015:



	Location of Net Gains (Losses)Recognized in the Statements of Income	Year Ended December 31,
Derivative Financial Instruments Not Designated as Hedging Instruments (dollars in thousands)		2017			2016		2015
Interest Rate Lock Commitments	Mortgage Banking	$	5,643		$	7,834	$	2,779
Forward Commitments	Mortgage Banking	(1,275		)	1,741		27
Interest Rate Swap Agreements	Other Noninterest Income	698			2,987		1,085
Foreign Exchange Contracts	Other Noninterest Income	3,296			2,962		2,783
Total		$	8,362		$	15,524	$	6,674

Management has received authorization from the Bank’s Board of Directors to use derivative financial instruments as an end-user in connection with the Bank’s risk management activities and to accommodate the needs of the Bank’s customers. As with any financial instrument, derivative financial instruments have inherent risks. Market risk is defined as the risk of adverse financial impact due to fluctuations in interest rates, foreign exchange rates, and equity prices. Market risks associated with derivative financial instruments are balanced with the expected returns to enhance earnings performance and shareholder value, while limiting the volatility of each. The Company uses various processes to monitor its overall market risk exposure, including sensitivity analysis, value-at-risk calculations, and other methodologies.

Derivative financial instruments are also subject to credit and counterparty risk, which is defined as the risk of financial loss if a borrower or counterparty is either unable or unwilling to repay borrowings or settle transactions in accordance with the underlying contractual terms. Credit and counterparty risks associated with derivative financial instruments are similar to those relating to traditional financial instruments. The Company manages derivative credit and counterparty risk by evaluating the creditworthiness of each borrower or counterparty, adhering to the same credit approval process used for commercial lending activities.

As of December 31, 2017 and 2016, the Company did not designate any derivative financial instruments as formal hedging relationships. The Company’s free-standing derivative financial instruments are required to be carried at their fair value on the Company’s consolidated statements of condition. These financial instruments have been limited to interest rate lock commitments (“IRLCs”), forward commitments, interest rate swap agreements, foreign exchange contracts, and conversion rate swap agreements.

The Company enters into IRLCs for residential mortgage loans which commit us to lend funds to a potential borrower at a specific interest rate and within a specified period of time. IRLCs that relate to the origination of mortgage loans that will be held for sale are considered derivative financial instruments under applicable accounting guidance. Outstanding IRLCs expose the Company to the risk that the price of the mortgage loans underlying the commitments may decline due to increases in mortgage interest rates from inception of the rate lock to the funding of the loan. To mitigate this risk, the Company utilizes forward commitments as economic hedges against the potential decreases in the values of the loans held for sale. IRLCs and forward commitments are free-standing derivatives which are carried at fair value with changes recorded in the mortgage banking component of noninterest income in the Company’s consolidated statements of income.

The Company enters into interest rate swap agreements to facilitate the risk management strategies of a small number of commercial banking customers. The Company mitigates the interest rate risk of entering into these agreements by entering into equal and offsetting interest rate swap agreements with highly rated third party financial institutions. The interest rate swap agreements are free-standing derivatives and are recorded at fair value in the Company’s consolidated statements of condition. Fair value changes are recorded in other noninterest income in the Company’s consolidated statements of income. The Company is party to master netting arrangements with its financial institution counterparties; however, the Company does not offset assets and liabilities under these arrangements for financial statement presentation purposes. Collateral, usually in the form of cash or marketable securities, is posted by the counterparty with net liability positions in accordance with contract thresholds. See Note 19 Balance Sheet Offsetting for more information.

The Company’s interest rate swap agreements with financial institution counterparties may contain credit-risk-related contingent features tied to a specified credit rating of the Company. Under these provisions, should the Company’s specified rating fall below a particular level (e.g., investment grade), or if the Company no longer obtains the specified rating, the counterparty may require the Company to pledge collateral on an immediate and ongoing basis (subject to the requirement that such swaps are in a net liability position beyond the level specified in the contract), or require immediate settlement of the swap agreement. Other credit-risk-related contingent features may also allow the counterparty to require immediate settlement of the swap agreement if the Company fails to maintain a specified minimum level of capitalization.

With regard to derivative contracts not centrally cleared through a clearinghouse, new regulations require collateral to be posted by the party with a net liability position (i.e., the threshold for posting collateral was reduced to zero, subject to certain minimum transfer amounts). The requirements generally apply to new derivative contracts entered into after the applicable compliance date of the regulation (March 1, 2017 for the Company), although certain counterparties may elect to apply lower thresholds to existing contracts.

Parties to a centrally cleared over-the-counter derivative exchange daily payments that reflect the daily change in value of the derivative. These payments are commonly referred to as variation margin. Historically, variation margin payments have typically been treated as collateral against the derivative position. Effective 2017, the Chicago Mercantile Exchange and LCH.Clearnet Limited (collectively, the “clearinghouses”) amended their rulebooks to legally characterize variation margin payments for over-the-counter derivatives they clear as settlements of the derivatives’ mark-to-market exposure rather than collateral against the exposures. This rule change effectively results in any derivative cleared through the clearinghouses to have a fair value that approximates zero on a daily basis. During the second quarter of 2017, the Company executed its first swap agreements cleared through the clearinghouses. As of December 31, 2017, the application of the rule change reduced the swap agreement liability by $0.1 million, as reflected in the table above. Going forward, the Company expects most of the swap agreements executed with third party financial institutions will be required to be cleared through the clearinghouses. The uncleared swap agreements executed with third party financial institutions will remain subject to the collateral requirements and credit-risk-related contingent features described in the previous paragraphs, and therefore, are not subject to the variation margin rule change. Likewise, the swap agreements executed with the Company’s commercial banking customers will remain uncleared and will also not be subject to the variation margin rule change.

The Company utilizes foreign exchange contracts to offset risks related to transactions executed on behalf of customers. The foreign exchange contracts are free-standing derivatives which are carried at fair value with changes included in other noninterest income in the Company’s consolidated statements of income.

As each sale of Visa Class B restricted shares was completed, the Company entered into a conversion rate swap agreement with the buyer that requires payment to the buyer in the event Visa further reduces the conversion ratio of Class B into Class A unrestricted common shares. In the event of Visa increasing the conversion ratio, the buyer would be required to make payment to the Company. As of December 31, 2017, the conversion rate swap agreement was valued at zero (i.e., no contingent liability recorded) as further reductions to the conversion ratio were deemed neither probable nor reasonably estimable by management. See Note 3 Investment Securities for more information.

- Definition

The entire disclosure for derivative instruments and hedging activities including, but not limited to, risk management strategies, non-hedging derivative instruments, assets, liabilities, revenue and expenses, and methodologies and assumptions used in determining the amounts.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 2: http://www.xbrl.org/2003/role/presentationRef
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Publisher FASB
-Name Accounting Standards Codification
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Reference 14: http://www.xbrl.org/2003/role/presentationRef
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Reference 15: http://www.xbrl.org/2003/role/presentationRef
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+ Details

Affordable Housing Projects Tax Credit Partnerships Affordable Housing Projects Tax Credit Partnerships

12 Months Ended

Dec. 31, 2017

Equity Method Investments and Joint Ventures [Abstract]

Affordable Housing Projects Tax Credit Partnerships

The Company makes equity investments in various limited partnerships that sponsor affordable housing projects utilizing the Low Income Housing Tax Credit (LIHTC) pursuant to Section 42 of the Internal Revenue Code. The purpose of these investments is to achieve a satisfactory return on capital, to facilitate the sale of affordable housing product offerings, and to assist in achieving goals associated with the Community Reinvestment Act. The primary activities of the limited partnerships include the identification, development, and operation of multi-family housing that is leased to qualifying residential tenants. Generally, these types of investments are funded through a combination of debt and equity.

The Company is a limited partner in each LIHTC limited partnership. Each limited partnership is managed by an unrelated third party general partner who exercises full control over the affairs of the limited partnership. The general partner has all the rights, powers and authority granted or permitted to be granted to a general partner of a limited partnership. Duties entrusted to the general partner of each limited partnership include, but are not limited to: investment in operating companies, company expenditures, investment of excess funds, borrowing funds, employment of agents, disposition of fund property, prepayment and refinancing of liabilities, votes and consents, contract authority, disbursement of funds, accounting methods, tax elections, bank accounts, insurance, litigation, cash reserve, and use of working capital reserve funds. Except for limited rights granted to the limited partner(s) relating to the approval of certain transactions, the limited partner(s) may not participate in the operation, management, or control of the limited partnership’s business, transact any business in the limited partnership’s name or have any power to sign documents for or otherwise bind the limited partnership. In addition, the general partner may only be removed by the limited partner(s) in the event the general partner fails to comply with the terms of the agreement or is negligent in performing its duties.

The general partner of each limited partnership has both the power to direct the activities which most significantly affect the performance of each partnership and the obligation to absorb losses or the right to receive benefits that could be significant to the entities. Therefore, the Company has determined that it is not the primary beneficiary of any LIHTC partnership. The Company uses the effective yield method to account for its pre-2015 investments in these entities. Beginning January 1, 2015, any new investments that meet the requirements of the proportional amortization method are recognized using the proportional amortization method. The Company’s net affordable housing tax credit investments and related unfunded commitments were $71.7 million and $66.6 million as of December 31, 2017 and 2016, respectively, and are included in other assets in the consolidated statements of condition.

Unfunded Commitments

As of December 31, 2017, the expected payments for unfunded affordable housing commitments were as follows:



(dollars in thousands)	Amount
2018	$	13,647
2019	2,893
2020	51
2021	27
2022	33
Thereafter	802
Total Unfunded Commitments	$	17,453

The following table presents tax credits and other tax benefits recognized and amortization expense related to affordable housing for the years ended December 31, 2017, 2016, and 2015.



(dollars in thousands)	2017		2016		2015
Effective Yield Method
Tax credits and other tax benefits recognized	$	13,569	$	13,996	$	13,448
Amortization Expense in Provision for Income Taxes	8,373		7,886		7,735

Proportional Amortization Method
Tax credits and other tax benefits recognized	$	1,040	$	—	$	—
Amortization Expense in Provision for Income Taxes	800		—		—

There were no impairment losses related to LIHTC investments for the years ended December 31, 2017, 2016, and 2015.

Balance Sheet Offsetting

12 Months Ended

Dec. 31, 2017

Offsetting [Abstract]

Balance Sheet Offsetting

Interest Rate Swap Agreements (“Swap Agreements”)

The Company enters into swap agreements to facilitate the risk management strategies of a small number of commercial banking customers. The Company mitigates the risk of entering into these agreements by entering into equal and offsetting swap agreements with highly-rated third party financial institutions. The swap agreements are free-standing derivatives and are recorded at fair value in the Company’s consolidated statements of condition (asset positions are included in other assets and liability positions are included in other liabilities). The Company is party to master netting arrangements with its financial institution counterparties; however, the Company does not offset assets and liabilities under these arrangements for financial statement presentation purposes. The master netting arrangements provide for a single net settlement of all swap agreements, as well as collateral, in the event of default on, or termination of, any one contract. Collateral, usually in the form of marketable securities, is posted by the party (i.e., the Company or the financial institution counterparty) with net liability positions in accordance with contract thresholds. The Company had a net liability positions with its financial institution counterparties totaling $3.2 million and $5.5 million as of December 31, 2017 and 2016, respectively. See Note 17 Derivative Financial Instruments for more information.

Parties to a centrally cleared over-the-counter derivative exchange daily payments that reflect the daily change in value of the derivative. Effective 2017, these payments, commonly referred to as variation margin, will be recorded as settlements of the derivatives’ mark-to-market exposure rather than collateral against the exposures. During the second quarter of 2017, the Company executed its first centrally cleared swap agreements. This rule change effectively results in any centrally cleared derivative having a fair value that approximates zero on a daily basis, and therefore, these swap agreements were not included in the offsetting table at the end of this section. See Note 17 Derivative Financial Instruments for more information.

Securities Sold Under Agreements to Repurchase (“Repurchase Agreements”)

The Company enters into agreements under which it sells securities subject to an obligation to repurchase the same or similar securities. Under these arrangements, the Company may transfer legal control over the assets but still retain effective control through an agreement that both entitles and obligates the Company to repurchase the assets. As a result, these repurchase agreements are accounted for as collateralized financing arrangements (i.e., secured borrowings) and not as sales and subsequent repurchases of securities. The obligation to repurchase the securities is reflected as a liability in the Company’s consolidated statements of condition, while the securities underlying the repurchase agreements remain in the respective investment securities asset accounts. As a result, there is no offsetting or netting of the investment securities assets with the repurchase agreement liabilities. In addition, as the Company does not enter into reverse repurchase agreements, there is no such offsetting to be done with the repurchase agreements.

The right of setoff for a repurchase agreement resembles a secured borrowing, whereby the collateral pledged by the Company would be used to settle the fair value of the repurchase agreement should the Company be in default (e.g., fail to make an interest payment to the counterparty). For private institution repurchase agreements, if the private institution counterparty were to default (e.g., declare bankruptcy), the Company could cancel the repurchase agreement (i.e., cease payment of principal and interest) and attempt collection on the amount of collateral value in excess of the repurchase agreement fair value. The collateral is held by a third party financial institution in the counterparty’s custodial account. The counterparty has the right to sell or repledge the investment securities. For government entity repurchase agreements, the collateral is held by the Company in a segregated custodial account under a tri-party agreement. The Company is required by the counterparty to maintain adequate collateral levels. In the event the collateral fair value falls below stipulated levels, the Company will pledge additional securities. The Company closely monitors collateral levels to ensure adequate levels are maintained, while mitigating the potential risk of over-collateralization in the event of counterparty default.

The following table presents the remaining contractual maturities of the Company’s repurchase agreements as of December 31, 2017 and 2016, disaggregated by the class of collateral pledged.



	Remaining Contractual Maturity of Repurchase Agreements
(dollars in thousands)	Up to 90 days		91-365 days		1-3 Years		After 3 Years		Total
December 31, 2017
Class of Collateral Pledged:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	—	$	—	$	110,392	$	202,484	$	312,876
Debt Securities Issued by States and Political Subdivisions	1,200		2,590		—		—		3,790
Mortgage-Backed Securities:
Residential - Government Agencies	1,503		—		18,793		80,960		101,256
Residential - U.S. Government-Sponsored Enterprises	—		—		20,815		66,556		87,371
Total	$	2,703	$	2,590	$	150,000	$	350,000	$	505,293

December 31, 2016
Class of Collateral Pledged:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	—	$	—	$	200,000	$	104,681	$	304,681
Debt Securities Issued by States and Political Subdivisions	22,050		590		—		—		22,640
Mortgage-Backed Securities:
Residential - Government Agencies	738		—		—		97,281		98,019
Residential - U.S. Government-Sponsored Enterprises	—		—		—		98,038		98,038
Total	$	22,788	$	590	$	200,000	$	300,000	$	523,378

The following table presents the assets and liabilities subject to an enforceable master netting arrangement, or repurchase agreements, as of December 31, 2017 and 2016. The swap agreements we have with our commercial banking customers are not subject to an enforceable master netting arrangement, and therefore, are excluded from this table. As previously mentioned, centrally cleared swap agreements between the Company and institutional counterparties are also excluded from this table.



	(i)		(ii)		(iii) = (i)-(ii)		(iv)				(v) = (iii)-(iv)
	Gross Amounts Recognized in the Statements of Condition		Gross Amounts Offset in the Statements of Condition		Net Amounts Presented in the Statements of Condition		Gross Amounts Not Offset in the Statements of Condition
(dollars in thousands)							Netting Adjustments per Master Netting Arrangements		Fair Value of Collateral Pledged ¹		Net Amount
December 31, 2017
Assets:
Interest Rate Swap Agreements:
Institutional Counterparties	$	5,453	$	—	$	5,453	$	4,017	$	—	$	1,436

Liabilities:
Interest Rate Swap Agreements:
Institutional Counterparties	4,017		—		4,017		4,017		—		—

Repurchase Agreements:
Private Institutions	500,000		—		500,000		—		500,000		—
Government Entities	5,293		—		5,293		—		5,293		—
Total Repurchase Agreements	$	505,293	$	—	$	505,293	$	—	$	505,293	$	—

December 31, 2016
Assets:
Interest Rate Swap Agreements:
Institutional Counterparties	$	5,094	$	—	$	5,094	$	5,094	$	—	$	—

Liabilities:
Interest Rate Swap Agreements:
Institutional Counterparties	6,489		—		6,489		5,094		500		895

Repurchase Agreements:
Private Institutions	500,000		—		500,000		—		500,000		—
Government Entities	23,378		—		23,378		—		23,378		—
Total Repurchase Agreements	$	523,378	$	—	$	523,378	$	—	$	523,378	$	—

The application of collateral cannot reduce the net amount below zero. Therefore, excess collateral is not reflected in this table. For swap agreements with institutional counterparties, the fair value of investment securities pledged was $3.5 million as of December 31, 2017. For repurchase agreements with private institutions, the fair value of investment securities pledged was $563.3 million and $559.3 million as of December 31, 2017 and 2016, respectively. For repurchase agreements with government entities, the fair value of investment securities pledged was $6.9 million and $28.9 million as of December 31, 2017 and 2016, respectively.

Commitments, Contingencies, and Guarantees

12 Months Ended

Dec. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

Commitments, Contingencies, and Guarantees

The Company’s credit commitments as of December 31, 2017 were as follows:



(dollars in thousands)	December 31, 2017
Unfunded Commitments to Extend Credit	$	2,780,724
Standby Letters of Credit	60,519
Commercial Letters of Credit	18,036
Total	$	2,859,279

Unfunded Commitments to Extend Credit

Commitments to extend credit are agreements to lend to a customer as long as there is no violation of the terms or conditions established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since commitments may expire without being drawn, the total commitment amount does not necessarily represent future cash requirements.

Standby and Commercial Letters of Credit

Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Standby letters of credit generally become payable upon the failure of the customer to perform according to the terms of the underlying contract with the third party, while commercial letters of credit are issued specifically to facilitate commerce and typically result in the commitment being drawn on when the underlying transaction is consummated between the customer and a third party. The contractual amount of these letters of credit represents the maximum potential future payments guaranteed by the Company. The Company has recourse against the customer for any amount it is required to pay to a third party under a standby letter of credit, and generally holds cash or deposits as collateral on those standby letters of credit for which collateral is deemed necessary. Assets valued at $39.8 million secured certain specifically identified standby letters of credit as of December 31, 2017. As of December 31, 2017, the standby and commercial letters of credit had remaining terms ranging from 1 to 24 months.

Lease Commitments

A portion of the Company’s headquarters’ building is leased with a lease term through 2052. The Company leases certain other branch premises and equipment with lease terms extending through 2048. Most of the leases for premises provide for a base rent over a specified period with renewal options thereafter. Portions of certain properties are subleased for periods expiring in various years through 2033. Lease terms generally specify that the Company is to pay for taxes, maintenance, and other operating costs. Rental expense for all operating leases for the years ended December 31, 2017, 2016, and 2015 were as follows:



(dollars in thousands)	2017			2016			2015
Minimum Rentals	$	18,331		$	18,377		$	18,826
Sublease Rental Income	(7,056		)	(6,551		)	(6,212		)
Total	$	11,275		$	11,826		$	12,614

Future minimum payments for capital leases and non-cancelable operating leases with initial or remaining terms of one year or more consisted of the following as of December 31, 2017:



(dollars in thousands)	Capital Leases			Operating Leases
2018	$	825		$	12,521
2019	825			10,756
2020	825			10,111
2021	825			9,300
2022	825			8,959
Thereafter	24,755			97,836
Total Future Minimum Lease Payments	28,880			$	149,483
Amounts Representing Interest	(18,164		)
Present Value of Net Future Minimum Lease Payments	$	10,716

Minimum future rental income receivable under non-cancelable subleases was $13.2 million as of December 31, 2017.

Contingencies

The Company, along with other members of Visa, are parties to Loss and Judgment Sharing Agreements (the “Agreements”), which provide that the Company along with other member banks of Visa, will share, based on its proportionate interest in Visa, in any losses from certain litigation specified in the Agreements. In March 2008, Visa funded an escrow account from its initial public offering to settle claims covered under the Agreements. In connection with the initial public offering, the Company received restricted Class B common stock in Visa. Should the escrow account established by Visa not be sufficient to cover litigation claims specified in the Agreements, Visa is entitled to fund additional amounts to the escrow account by reducing each member bank’s Class B conversion ratio to unrestricted Class A shares. As of December 31, 2017, management believes that the Company’s indemnification of Visa, related to the costs of these lawsuits, will be sufficiently funded from the escrow account or through future reductions in the conversion ratio. See Note 3 Investment Securities and Note 17 Derivative Financial Instruments for more information.

On September 9, 2016, a purported class action lawsuit was filed by a Bank customer primarily alleging Bank of Hawaii’s practice of determining whether consumer deposit accounts were overdrawn based on “available balance” (which deducts debit card transactions that have taken place but which have not yet been posted) was not properly applied or disclosed to customers. Additionally, on January 20, 2017, another purported class action lawsuit was filed by a Bank customer alleging Bank of Hawaii’s practice of assessing a continuous negative balance overdraft fee on accounts remaining in a negative balance for extended periods of time beyond the date of the initial overdraft constituted a usurious interest charge and a breach of contract with the customer.

These lawsuits are similar to lawsuits filed against other financial institutions pertaining to available balance overdraft fee disclosures and continuing negative balance overdraft fees. Because of the many questions of fact and law that may arise in the future, the outcome of these legal proceedings are uncertain at this point. Based on information available to us at present, we cannot reasonably estimate a range of potential loss, if any, for these actions because, among other things, our potential liability depends on whether a class is certified and, if so, the composition and size of any such class, the applicable time period at issue, as well as an assessment of the appropriate measure of damages if we were to be found liable. Accordingly, we have not recognized any liability associated with these actions. Management disputes any wrongdoing and the cases are being vigorously defended.

In addition to the litigation noted above, the Company is subject to various other pending and threatened legal proceedings arising out of the normal course of business or operations. On at least a quarterly basis, the Company assesses its liabilities and contingencies in connection with outstanding legal proceedings utilizing the most recent information available. On a case-by-case basis, reserves are established for those legal claims for which it is probable that a loss will be incurred and the amount of such loss can be reasonably estimated. Based on information currently available, management believes that the eventual outcome of these claims against the Company will not be materially in excess of such amounts reserved by the Company. However, in the event of unexpected future developments, it is possible that the ultimate resolution of these matters may result in a loss that materially exceeds the reserves established by the Company.

Risks Related to Representation and Warranty Provisions

The Company sells residential mortgage loans in the secondary market primarily to the Federal National Mortgage Association (“Fannie Mae”). The Company also pools Federal Housing Administration (“FHA”) insured and U.S. Department of Veterans Affairs (“VA”) guaranteed residential mortgage loans for sale to the Government National Mortgage Corporation (“Ginnie Mae”). These pools of FHA-insured and VA-guaranteed residential mortgage loans are securitized by Ginnie Mae. The agreements under which the Company sells residential mortgage loans to Fannie Mae or Ginnie Mae and the insurance or guaranty agreements with FHA and VA contain provisions that include various representations and warranties regarding the origination and characteristics of the residential mortgage loans. Although the specific representations and warranties vary among investors, insurance or guarantee agreements, they typically cover ownership of the loan, validity of the lien securing the loan, the absence of delinquent taxes or liens against the property securing the loan, compliance with loan criteria set forth in the applicable agreement, compliance with applicable federal, state, and local laws, and other matters. As of December 31, 2017, the unpaid principal balance of residential mortgage loans sold by the Company was $2.7 billion. The agreements under which the Company sells residential mortgage loans require delivery of various documents to the investor or its document custodian. Although these loans are primarily sold on a non-recourse basis, the Company may be obligated to repurchase residential mortgage loans or reimburse investors for losses incurred if a loan review reveals that underwriting and documentation standards were potentially not met. Some agreements may require the Company to repurchase delinquent loans. Upon receipt of a repurchase request, the Company works with investors or insurers to arrive at a mutually agreeable resolution. Repurchase demands are typically reviewed on an individual loan by loan basis to validate the claims made by the investor or insurer and to determine if a contractually required repurchase event has occurred. The Company manages the risk associated with potential repurchases or other forms of settlement through its underwriting and quality assurance practices and by servicing mortgage loans to meet investor and secondary market standards. For the year ended December 31, 2017, the Company repurchased one residential mortgage loan with an aggregate unpaid principal balance totaling $0.2 million as a result of the representation and warranty provisions contained in these contracts. This loan was delinquent as to principal and interest at the time of repurchase, however, no losses were incurred related to this repurchase. As of December 31, 2017, there were no pending repurchase requests related to representation and warranty provisions.

Risks Relating to Residential Mortgage Loan Servicing Activities

In addition to servicing loans in the Company’s portfolio, substantially all of the loans the Company sells to investors are sold with servicing rights retained. The Company also services loans originated by other mortgage loan originators. As servicer, the Company’s primary duties are to: (1) collect payments due from borrowers; (2) advance certain delinquent payments of principal and interest; (3) maintain and administer any hazard, title, or primary mortgage insurance policies relating to the mortgage loans; (4) maintain any required escrow accounts for payment of taxes and insurance and administer escrow payments; and (5) foreclose on defaulted mortgage loans or, to the extent consistent with the documents governing a securitization, consider alternatives to foreclosure, such as loan modifications or short sales. Each agreement under which the Company acts as servicer generally specifies a standard of responsibility for actions taken by the Company in such capacity and provides protection against expenses and liabilities incurred by the Company when acting in compliance with the respective servicing agreements. However, if the Company commits a material breach of obligations as servicer, the Company may be subject to termination if the breach is not cured within a specified period following notice. The standards governing servicing and the possible remedies for violations of such standards vary by investor. These standards and remedies are determined by servicing guides issued by the investors as well as the contract provisions established between the investors and the Company. Remedies could include repurchase of an affected loan. For the year ended December 31, 2017, the Company had no repurchase requests related to loan servicing activities. As of December 31, 2017, there were no pending repurchase requests related to loan servicing activities.

Although to date repurchase requests related to representation and warranty provisions, and servicing activities have been limited, it is possible that requests to repurchase mortgage loans may increase in frequency as investors more aggressively pursue all means of recovering losses on their purchased loans. However, as of December 31, 2017, management believes that this exposure is not material due to the historical level of repurchase requests and loss trends and thus has not established a liability for losses related to mortgage loan repurchases. As of December 31, 2017, 99% of the Company’s residential mortgage loans serviced for investors were current. The Company maintains ongoing communications with investors and continues to evaluate this exposure by monitoring the level and number of repurchase requests as well as the delinquency rates in the loans sold to investors.

Fair Value of Assets and Liabilities

12 Months Ended

Dec. 31, 2017

Fair Value Disclosures [Abstract]

Fair Value of Assets and Liabilities

The following is a description of the valuation methodologies and key inputs used to measure assets and liabilities recorded at fair value on a recurring basis.

Assets and Liabilities Measured at Fair Value on a Recurring Basis

Investment Securities Available-for-Sale

Fair values of investment securities available-for-sale were primarily measured using information from a third-party pricing service. This service provides pricing information by utilizing evaluated pricing models supported with market data information. Standard inputs include benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, and reference data from market research publications. Level 1 investment securities are comprised of debt securities issued by the U.S. Treasury, as quoted prices were available, unadjusted, for identical securities in active markets. Level 2 investment securities were primarily comprised of debt securities issued by the Small Business Administration, states and municipalities, corporations, as well as mortgage-backed securities issued by government agencies and government-sponsored enterprises. Fair values were estimated primarily by obtaining quoted prices for similar assets in active markets or through the use of pricing models. In cases where there may be limited or less transparent information provided by the Company’s third-party pricing service, fair value may be estimated by the use of secondary pricing services or through the use of non-binding third-party broker quotes.

On a quarterly basis, management reviews the pricing information received from the Company’s third-party pricing service. This review process includes a comparison to non-binding third-party broker quotes, as well as a review of market-related conditions impacting the information provided by the Company’s third-party pricing service. Management primarily identifies investment securities which may have traded in illiquid or inactive markets by identifying instances of a significant decrease in the volume or frequency of trades, relative to historical levels, as well as instances of a significant widening of the bid-ask spread in the brokered markets. Investment securities that are deemed to have been trading in illiquid or inactive markets may require the use of significant unobservable inputs to determine fair value. As of December 31, 2017 and 2016, management did not make adjustments to prices provided by the third-party pricing service as a result of illiquid or inactive markets. On a quarterly basis, management also reviews a sample of securities priced by the Company’s third-party pricing service to review the significant assumptions and valuation methodologies used by the service. Based on this review, management determines whether the current placement of the security in the fair value hierarchy is appropriate or whether transfers may be warranted. The Company’s third-party pricing service has also established processes for us to submit inquiries regarding quoted prices. Periodically, we will challenge the quoted prices provided by our third-party pricing service. The Company’s third-party pricing service will review the inputs to the evaluation in light of the new market data presented by us. The Company’s third-party pricing service may then affirm the original quoted price or may update the evaluation on a going-forward basis.

Loans Held for Sale

The fair value of the Company’s residential mortgage loans held for sale was determined based on quoted prices for similar loans in active markets, and therefore, is classified as a Level 2 measurement.

Mortgage Servicing Rights

Mortgage servicing rights do not trade in an active market with readily observable market data. As a result, the Company estimates the fair value of mortgage servicing rights by using a discounted cash flow model to calculate the present value of estimated future net servicing income. The Company stratifies its mortgage servicing portfolio on the basis of loan type. The assumptions used in the discounted cash flow model are those that we believe market participants would use in estimating future net servicing income. Significant assumptions in the valuation of mortgage servicing rights include estimated loan repayment rates, the discount rate, servicing costs, and the timing of cash flows, among other factors. Mortgage servicing rights are classified as Level 3 measurements due to the use of significant unobservable inputs, as well as significant management judgment and estimation.

Other Assets

Other assets recorded at fair value on a recurring basis are primarily comprised of investments related to deferred compensation arrangements. Quoted prices for these investments, primarily in mutual funds, are available in active markets. Thus, the Company’s investments related to deferred compensation arrangements are classified as Level 1 measurements in the fair value hierarchy.

Derivative Financial Instruments

Derivative financial instruments recorded at fair value on a recurring basis are comprised of interest rate lock commitments (“IRLCs”), forward commitments, interest rate swap agreements, foreign exchange contracts, and Visa Class B to Class A shares conversion rate swap agreements. The fair values of IRLCs are calculated based on the value of the underlying loan held for sale, which in turn is based on quoted prices for similar loans in the secondary market. However, this value is adjusted by a factor which considers the likelihood that the loan in a locked position will ultimately close. This factor, the closing ratio, is derived from the Bank’s internal data and is adjusted using significant management judgment. As such, IRLCs are classified as Level 3 measurements. Forward commitments are classified as Level 2 measurements as they are primarily based on quoted prices from the secondary market based on the settlement date of the contracts, interpolated or extrapolated, if necessary, to estimate a fair value as of the end of the reporting period. The fair values of interest rate swap agreements are calculated using a discounted cash flow approach and utilize Level 2 observable inputs such as a market yield curve, effective date, maturity date, notional amount, and stated interest rate. In addition, the Company includes in its fair value calculation a credit factor adjustment which is based primarily on management judgment. Thus, interest rate swap agreements are classified as a Level 3 measurement. The fair values of foreign exchange contracts are calculated using the Bank’s multi-currency accounting system which utilizes contract specific information such as currency, maturity date, contractual amount, and strike price, along with market data information such as the spot rates of specific currency and yield curves. Foreign exchange contracts are classified as Level 2 measurements because while they are valued using the Bank’s multi-currency accounting system, significant management judgment or estimation is not required. The fair value of the Visa Class B restricted shares to Class A unrestricted common shares conversion rate swap agreements represent the amount owed by the Company to the buyer of the Visa Class B shares as a result of a reduction of the conversion ratio subsequent to the sales date. As of December 31, 2017 and 2016, the conversion rate swap agreements were valued at zero as reductions to the conversion ratio were neither probable nor reasonably estimable by management. See Note 17 Derivative Financial Instruments for more information.

The Company is exposed to credit risk if borrowers or counterparties fail to perform. The Company seeks to minimize credit risk through credit approvals, limits, monitoring procedures, and collateral requirements. The Company generally enters into transactions with borrowers and counterparties that carry high quality credit ratings. Credit risk associated with borrowers or counterparties as well as the Company’s non-performance risk is factored into the determination of the fair value of derivative financial instruments.

The table below presents the balances of assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 and 2016:



(dollars in thousands)	Quoted Prices In Active Markets for Identical Assets or Liabilities (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Total
December 31, 2017
Assets:
Investment Securities Available-for-Sale
Debt Securities Issued by the U.S. Treasury and Government Agencies		$	538		$	425,392		$	—	$	425,930
Debt Securities Issued by States and Political Subdivisions		—			627,019			—		627,019
Debt Securities Issued by Corporations		—			266,111			—		266,111
Mortgage-Backed Securities:
Residential - Government Agencies		—			235,360			—		235,360
Residential - U.S. Government-Sponsored Enterprises		—			609,812			—		609,812
Commercial - Government Agencies		—			68,747			—		68,747
Total Mortgage-Backed Securities		—			913,919			—		913,919
Total Investment Securities Available-for-Sale		538			2,232,441			—		2,232,979
Loans Held for Sale		—			19,231			—		19,231
Mortgage Servicing Rights		—			—			1,454		1,454
Other Assets		29,230			—			—		29,230
Derivatives¹		—			146			10,372		10,518
Total Assets Measured at Fair Value on a Recurring Basis as of December 31, 2017		$	29,768		$	2,251,818		$	11,826	$	2,293,412

Liabilities:
Derivatives¹		$	—		$	215		$	9,478	$	9,693
Total Liabilities Measured at Fair Value on a Recurring Basis as of December 31, 2017		$	—		$	215		$	9,478	$	9,693

December 31, 2016
Assets:
Investment Securities Available-for-Sale
Debt Securities Issued by the U.S. Treasury and Government Agencies		$	539		$	408,176		$	—	$	408,715
Debt Securities Issued by States and Political Subdivisions		—			671,799			—		671,799
Debt Securities Issued by Corporations		—			269,179			—		269,179
Mortgage-Backed Securities:
Residential - Government Agencies		—			243,844			—		243,844
Residential - U.S. Government-Sponsored Enterprises		—			506,987			—		506,987
Commercial - Government Agencies		—			85,517			—		85,517
Total Mortgage-Backed Securities		—			836,348			—		836,348
Total Investment Securities Available-for-Sale		539			2,185,502			—		2,186,041
Loans Held for Sale		—			62,499			—		62,499
Mortgage Servicing Rights		—			—			1,655		1,655
Other Assets		21,952			—			—		21,952
Derivatives¹		—			926			12,805		13,731
Total Assets Measured at Fair Value on a Recurring Basis as of December 31, 2016		$	22,491		$	2,248,927		$	14,460	$	2,285,878

Liabilities:
Derivatives¹		$	—		$	836		$	11,752	$	12,588
Total Liabilities Measured at Fair Value on a Recurring Basis as of December 31, 2016		$	—		$	836		$	11,752	$	12,588

¹The fair value of each class of derivatives is shown in Note 17 Derivative Financial Instruments.

For the years ended December 31, 2017 and 2016, the changes in Level 3 assets and liabilities measured at fair value on a recurring basis were as follows:



(dollars in thousands)	Mortgage Servicing Rights ¹				Net Derivative Assets and Liabilities ²
Year Ended December 31, 2017
Balance as of January 1, 2017		$	1,655			$	1,053
Realized and Unrealized Net Gains (Losses):
Included in Net Income		(201		)		5,648
Transfers to Loans Held for Sale		—				(5,921		)
Variation Margin Payments		—				114
Balance as of December 31, 2017		$	1,454			$	894
Total Unrealized Net Gains (Losses) Included in Net Income Related to Assets Still Held as of December 31, 2017		$	—			$	894

Year Ended December 31, 2016
Balance as of January 1, 2016		$	1,970			$	240
Realized and Unrealized Net Gains (Losses):
Included in Net Income		(315		)		7,850
Transfers to Loans Held for Sale		—				(7,037		)
Balance as of December 31, 2016		$	1,655			$	1,053
Total Unrealized Net Gains (Losses) Included in Net Income Related to Assets Still Held as of December 31, 2016		$	—			$	1,053


¹	Realized and unrealized gains and losses related to mortgage servicing rights are reported as a component of mortgage banking income in the Company’s consolidated statements of income.


²	Realized and unrealized gains and losses related to interest rate lock commitments are reported as a component of mortgage banking income in the Company’s consolidated statements of income. Realized and unrealized gains and losses related to interest rate swap agreements are reported as a component of other noninterest income in the Company’s consolidated statements of income.

For Level 3 assets and liabilities measured at fair value on a recurring or nonrecurring basis as of December 31, 2017 and 2016, the significant unobservable inputs used in the fair value measurements were as follows:



		Significant Unobservable Inputs (weighted-average)					Fair Value
			December 31,				December 31,
(dollars in thousands)	Valuation Technique	Description	2017		2016		2017		2016
Mortgage Servicing Rights	Discounted Cash Flow	Constant Prepayment Rate ¹	8.50	%	8.13	%	$	28,170	$	26,803
		Discount Rate ²	8.87	%	9.33	%

Net Derivative Assets and Liabilities:
Interest Rate Lock Commitments	Pricing Model	Closing Ratio	93.25	%	92.26	%	$	789	$	1,067
Interest Rate Swap Agreements	Discounted Cash Flow	Credit Factor	0.10	%	0.13	%	$	105	$	(14	)

¹Represents annualized loan prepayment rate assumption.

²Derived from multiple interest rate scenarios that incorporate a spread to a market yield curve and market volatilities.

The significant unobservable inputs used in the fair value measurement of the Company’s mortgage servicing rights are the weighted-average constant prepayment rate and weighted-average discount rate. Significant increases (decreases) in any of those inputs in isolation could result in a significantly lower (higher) fair value measurement. Although the constant prepayment rate and the discount rate are not directly interrelated, they generally move in opposite directions of each other.

The Company estimates the fair value of mortgage servicing rights by using a discounted cash flow model to calculate the present value of estimated future net servicing income. The Company’s Treasury Division enters observable and unobservable inputs into the model to arrive at an estimated fair value. To assess the reasonableness of the fair value measurement, the Treasury Division performs a back-test by comparing the model to historical prepayment data. The Treasury Division also compares the fair value of the Company’s mortgage servicing rights to a value calculated by an independent third party. Discussions are held with members from the Treasury, Mortgage Banking, and Controllers Divisions, along with the independent third party to discuss and reconcile the fair value estimates and key assumptions used by the respective parties in arriving at those estimates. A subcommittee of the Company’s Asset/Liability Management Committee is responsible for providing oversight over the valuation methodology and key assumptions.

The significant unobservable input used in the fair value measurement of the Company’s IRLCs is the closing ratio, which represents the percentage of loans currently in a lock position which management estimates will ultimately close. Generally, the fair value of an IRLC is positive (negative) if the prevailing interest rate is lower (higher) than the IRLC rate. Therefore, an increase in the closing ratio (i.e., higher percentage of loans are estimated to close) will increase the gain or loss. The closing ratio is largely dependent on the loan processing stage that a loan is currently in and the change in prevailing interest rates from the time of the rate lock. The closing ratio is computed by our secondary marketing system using historical data and the ratio is periodically reviewed by the Company’s Secondary Marketing Department of the Mortgage Banking Division for reasonableness.

The unobservable input used in the fair value measurement of the Company’s interest rate swap agreements is the credit factor. This factor represents the risk that a counterparty is either unable or unwilling to settle a transaction in accordance with the underlying contractual terms. A significant increase (decrease) in the credit factor could result in a significantly lower (higher) fair value measurement. The credit factor is determined by the Treasury Division based on the risk rating assigned to each counterparty in which the Company holds a net asset position. The Company’s Credit Policy Committee periodically reviews and approves the Expected Default Frequency of the Economic Capital Model for Credit Risk. The Expected Default Frequency is used as the credit factor for interest rate swap agreements.

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis

The Company may be required periodically to measure certain assets and liabilities at fair value on a nonrecurring basis in accordance with GAAP. These adjustments to fair value usually result from the application of lower-of-cost-or-fair value accounting or impairment write-downs of individual assets. For the years ended December 31, 2017 and 2016, there were no material adjustments to fair value for the Company’s assets and liabilities measured at fair value on a nonrecurring basis in accordance with GAAP.

Fair Value Option

The Company elects the fair value option for all residential mortgage loans held for sale. This election allows for a more effective offset of the changes in fair values of the loans held for sale and the derivative financial instruments used to financially hedge them without having to apply complex hedge accounting requirements. As noted above, the fair value of the Company’s residential mortgage loans held for sale was determined based on quoted prices for similar loans in active markets.

The following table reflects the difference between the aggregate fair value and the aggregate unpaid principal balance of the Company’s residential mortgage loans held for sale as of December 31, 2017 and 2016.



(dollars in thousands)	Aggregate Fair Value		Aggregate Unpaid Principal			Aggregate Fair Value Less Aggregate Unpaid Principal
December 31, 2017
Loans Held for Sale	$	19,231		$	18,854		$	377

December 31, 2016
Loans Held for Sale	$	62,499		$	61,782		$	717

Changes in the estimated fair value of residential mortgage loans held for sale are reported as a component of mortgage banking income in the Company’s consolidated statements of income. For the years ended December 31, 2017 and 2016, the net gains or losses from the change in fair value of the Company’s residential mortgage loans held for sale were not material.

Financial Instruments Not Recorded at Fair Value on a Recurring Basis

The assumptions used below are expected to approximate those that market participants would use in valuing these financial instruments.

Investment Securities Held-to-Maturity

The fair value of the Company’s investment securities held-to-maturity was primarily measured using information from a third-party pricing service. Level 1 investment securities are comprised of debt securities issued by the U.S. Treasury as quoted prices were available, unadjusted, for identical securities in active markets. If quoted prices were not available, fair values were estimated primarily by obtaining quoted prices for similar assets in active markets or through the use of pricing models. In cases where there may be limited or less transparent information provided by the Company’s third-party pricing service, fair value may be estimated by the use of secondary pricing services or through the use of non-binding third-party broker quotes.

Loans

The fair value of the Company’s loans was estimated by discounting the expected future cash flows using the current interest rates at which similar loans would be made to borrowers for the same remaining maturities. Loans were first segregated by type such as commercial, real estate, and consumer, and were then further segmented into fixed and variable rate. Expected future cash flows were projected based on contractual cash flows, adjusted for estimated prepayments.

Time Deposits

The fair value of the Company’s time deposits was calculated using discounted cash flow analyses, applying discount rates based on market yield curve rates for similar maturities. The fair values of the Company’s time deposit liabilities do not take into consideration the value of the Company’s long-term relationships with depositors, which may have significant value.

Securities Sold Under Agreements to Repurchase

The fair value of the Company’s securities sold under agreements to repurchase was calculated using discounted cash flow analyses, applying discount rates based on market yield curve rates for similar maturities.

Other Debt

The fair value of the Company’s other debt was calculated using a discounted cash flow analyses, applying discount rates based on market yield curve rates for similar maturities.

The following presents the carrying amount, fair value, and placement in the fair value hierarchy of the Company’s financial instruments not recorded at fair value on a recurring basis as of December 31, 2017 and 2016. This table excludes financial instruments for which the carrying amount approximates fair value. For short-term financial assets such as cash and cash equivalents, the carrying amount is a reasonable estimate of fair value due to the relatively short time between the origination of the instrument and its expected realization. For non-marketable equity securities such as Federal Home Loan Bank and Federal Reserve Bank stock, the carrying amount is a reasonable estimate of fair value as these securities can only be redeemed or sold at their par value and only to the respective issuing government supported institution or to another member institution. For financial liabilities such as noninterest-bearing demand, interest-bearing demand, and savings deposits, the carrying amount is a reasonable estimate of fair value due to these products having no stated maturity.



					Fair Value Measurements
(dollars in thousands)	Carrying Amount		Fair Value		Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
December 31, 2017
Financial Instruments – Assets
Investment Securities Held-to-Maturity	$	3,928,170	$	3,894,121	$	373,640	$	3,520,481	$	—
Loans ¹	9,436,506		9,519,369		—		—		9,519,369

Financial Instruments – Liabilities
Time Deposits	1,688,092		1,679,684		—		1,679,684		—
Securities Sold Under Agreements to Repurchase	505,293		505,278		—		505,278		—
Other Debt ²	250,000		248,520		—		248,520		—

December 31, 2016
Financial Instruments – Assets
Investment Securities Held-to-Maturity	$	3,832,997	$	3,827,527	$	530,940	$	3,296,587	$	—
Loans ¹	8,583,726		8,743,191		—		—		8,743,191

Financial Instruments – Liabilities
Time Deposits	1,217,707		1,213,705		—		1,213,705		—
Securities Sold Under Agreements to Repurchase	523,378		523,374		—		523,374		—
Other Debt ²	257,153		256,718		—		256,718		—


¹	Net of unearned income and the Allowance.


²	Excludes capitalized lease obligations.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Bank of Hawaii Corporation Financial Statements

12 Months Ended

Dec. 31, 2017

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Bank of Hawaii Corporation Financial Statements

Condensed financial statements of the Parent were as follows:

Condensed Statements of Comprehensive Income



	Year Ended December 31,
(dollars in thousands)	2017			2016			2015
Income
Dividends from Bank of Hawaii	$	130,000		$	120,000		$	115,000
Investment Securities Gains (Losses), Net	12,027			(340		)	9,870
Other Income	204			279			973
Total Income	142,231			119,939			125,843
Noninterest Expense
Intercompany Salaries and Services	720			705			651
Other Expenses	1,401			1,392			2,325
Total Noninterest Expense	2,121			2,097			2,976
Income Before Income Tax Benefit and Equity in Undistributed Income of Subsidiaries	140,110			117,842			122,867
Income Tax Benefit (Expense)	(3,557		)	2,137			(1,670		)
Equity in Undistributed Income of Subsidiaries	48,119			61,482			39,507
Net Income	$	184,672		$	181,461		$	160,704
Comprehensive Income	$	183,863		$	171,112		$	163,833

Condensed Statements of Condition



(dollars in thousands)	December 31, 2017		December 31, 2016
Assets
Cash with Bank of Hawaii	$	49,669	$	51,915
Investment Securities Held-to-Maturity	4,986		4,973
Goodwill	14,129		14,129
Income Taxes Receivable and Deferred Tax Assets	2,567		2,071
Other Assets	8,233		7,744
Equity in Net Assets of Subsidiaries	1,161,037		1,095,077
Total Assets	$	1,240,621	$	1,175,909

Liabilities
Income Taxes Payable	$	517	$	6,273
Other Liabilities	8,236		8,099
Total Liabilities	8,753		14,372
Shareholders' Equity	1,231,868		1,161,537
Total Liabilities and Shareholders' Equity	$	1,240,621	$	1,175,909

Condensed Statements of Cash Flows



	Year Ended December 31,
(dollars in thousands)	2017			2016			2015
Operating Activities
Net Income	$	184,672		$	181,461		$	160,704
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Share-Based Compensation	573			558			639
Net (Gains) Losses on Sales of Investment Securities	(12,027		)	340			(9,870		)
Equity in Undistributed Income of Subsidiaries	(48,119		)	(61,482		)	(39,507		)
Net Change in Other Assets and Other Liabilities	(6,477		)	1,508			(481		)
Net Cash Provided by Operating Activities	118,622			122,385			111,485

Investing Activities
Capital Distribution from BOHC Investment Fund LLC	613			—			—
Capital Contributions to the Bank	(12,467		)	—			(10,179		)
Proceeds from (Expenses related to) Sales of Investment Securities	12,027			(340		)	9,870
Net Cash Provided by (Used in) Investing Activities	173			(340		)	(309		)

Financing Activities
Proceeds from Issuance of Common Stock	13,101			9,079			15,364
Repurchase of Common Stock	(47,076		)	(61,807		)	(52,981		)
Cash Dividends Paid	(87,066		)	(81,157		)	(78,367		)
Net Cash Used in Financing Activities	(121,041		)	(133,885		)	(115,984		)

Net Change in Cash and Cash Equivalents	(2,246		)	(11,840		)	(4,808		)
Cash and Cash Equivalents at Beginning of Period	51,915			63,755			68,563
Cash and Cash Equivalents at End of Period	$	49,669		$	51,915		$	63,755

- Definition

The entire disclosure for condensed financial information, including the financial position, cash flows, and the results of operations of the registrant (parent company) as of the same dates or for the same periods for which audited consolidated financial statements are being presented. Alternatively, the details of this disclosure can be reported by the specific parent company taxonomy elements, indicating the appropriate date and period contexts in an instance document.

+ References + Details

Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2017

Accounting Policies [Abstract]

Basis of Presentation

The accounting and reporting principles of the Company conform to U.S. generally accepted accounting principles (“GAAP”) and prevailing practices within the financial services industry.

Use of Estimates in the Preparation of Financial Statements

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts in the financial statements and accompanying notes. Actual results may differ from those estimates and such differences could be material to the financial statements.

Consolidation

Variable Interest Entities

Investment Securities

Other-Than-Temporary Impairments of Investment Securities

Other-Than-Temporary-Impairments of Investment Securities

Loans Held for Sale

Loans and Leases

Non-Performing Loans and Leases

Impaired Loans

Loans Modified in a Troubled Debt Restructuring

Reserve for Credit Losses

The Company’s reserve for credit losses is comprised of two components, the Allowance and the reserve for unfunded commitments (the “Unfunded Reserve”).

Allowance for Loan and Lease Losses

Reserve for Unfunded Commitments

Cash and Cash Equivalents

Premises and Equipment

Foreclosed Real Estate

Mortgage Servicing Rights

Goodwill

Non-Marketable Equity Securities

Securities Sold Under Agreements to Repurchase

Pension and Postretirement Benefit Plans

Income Taxes

Treasury Stock

Earnings Per Share

Derivative Financial Instruments

Share-Based Compensation

Advertising Costs

Advertising costs are expensed as incurred

International Operations

The Bank has operations that are conducted in certain Pacific Islands that are denominated in U.S. dollars. These operations are classified as domestic.

Fair Value Measurements



Level 1:	Inputs to the valuation methodology are quoted prices, unadjusted, for identical assets or liabilities in active markets. A quoted price in an active market provides the most reliable evidence of fair value and shall be used to measure fair value whenever available. A contractually binding sales price also provides reliable evidence of fair value.
Level 2:	Inputs to the valuation methodology include quoted prices for similar assets or liabilities in active markets; inputs to the valuation methodology include quoted prices for identical or similar assets or liabilities in markets that are not active; or inputs to the valuation methodology that utilize model-based techniques for which all significant assumptions are observable in the market.
Level 3:	Inputs to the valuation methodology are unobservable and significant to the fair value measurement; inputs to the valuation methodology that utilize model-based techniques for which significant assumptions are not observable in the market; or inputs to the valuation methodology that requires significant management judgment or estimation, some of which may be internally developed.

Accounting Standards Adopted in the Current Year or Pending Adoption

Accounting Standards Adopted in 2017

Accounting Standards Pending Adoption

Investment Securities (Tables)

12 Months Ended

Dec. 31, 2017

Investments, Debt and Equity Securities [Abstract]

Schedule of Amortized Cost, Gross Unrealized Gains and Losses, and Fair Value of Investment Securities

The amortized cost, gross unrealized gains and losses, and fair value of the Company’s investment securities as of December 31, 2017, 2016, and 2015 were as follows:



(dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
December 31, 2017
Available-for-Sale:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	424,912	$	2,053	$	(1,035	)	$	425,930
Debt Securities Issued by States and Political Subdivisions	618,167		9,894		(1,042		)	627,019
Debt Securities Issued by Corporations	268,003		199		(2,091		)	266,111
Mortgage-Backed Securities:
Residential - Government Agencies	233,268		3,129		(1,037		)	235,360
Residential - U.S. Government-Sponsored Enterprises	619,795		420		(10,403		)	609,812
Commercial - Government Agencies	71,999		—		(3,252		)	68,747
Total Mortgage-Backed Securities	925,062		3,549		(14,692		)	913,919
Total	$	2,236,144	$	15,695	$	(18,860	)	$	2,232,979
Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	375,074	$	18	$	(1,451	)	$	373,641
Debt Securities Issued by States and Political Subdivisions	238,504		9,125		—			247,629
Debt Securities Issued by Corporations	119,635		123		(1,591		)	118,167
Mortgage-Backed Securities:
Residential - Government Agencies	2,229,985		9,975		(37,047		)	2,202,913
Residential - U.S. Government-Sponsored Enterprises	763,312		911		(11,255		)	752,968
Commercial - Government Agencies	201,660		797		(3,654		)	198,803
Total Mortgage-Backed Securities	3,194,957		11,683		(51,956		)	3,154,684
Total	$	3,928,170	$	20,949	$	(54,998	)	$	3,894,121

December 31, 2016
Available-for-Sale:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	407,478	$	2,531	$	(1,294	)	$	408,715
Debt Securities Issued by States and Political Subdivisions	662,231		11,455		(1,887		)	671,799
Debt Securities Issued by Corporations	273,044		5		(3,870		)	269,179
Mortgage-Backed Securities:
Residential - Government Agencies	240,412		4,577		(1,145		)	243,844
Residential - U.S. Government-Sponsored Enterprises	511,234		971		(5,218		)	506,987
Commercial - Government Agencies	89,544		—		(4,027		)	85,517
Total Mortgage-Backed Securities	841,190		5,548		(10,390		)	836,348
Total	$	2,183,943	$	19,539	$	(17,441	)	$	2,186,041
Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	530,149	$	1,562	$	(771	)	$	530,940
Debt Securities Issued by States and Political Subdivisions	242,295		9,991		—			252,286
Debt Securities Issued by Corporations	135,620		416		(1,528		)	134,508
Mortgage-Backed Securities:
Residential - Government Agencies	1,940,076		20,567		(23,861		)	1,936,782
Residential - U.S. Government-Sponsored Enterprises	752,768		798		(10,919		)	742,647
Commercial - Government Agencies	232,089		940		(2,665		)	230,364
Total Mortgage-Backed Securities	2,924,933		22,305		(37,445		)	2,909,793
Total	$	3,832,997	$	34,274	$	(39,744	)	$	3,827,527

December 31, 2015
Available-for-Sale:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	356,260	$	3,472	$	(838	)	$	358,894
Debt Securities Issued by States and Political Subdivisions	709,724		22,498		(304		)	731,918
Debt Securities Issued by Corporations	313,136		236		(4,502		)	308,870
Mortgage-Backed Securities:
Residential - Government Agencies	310,966		6,546		(1,267		)	316,245
Residential - U.S. Government-Sponsored Enterprises	442,760		1,368		(2,264		)	441,864
Commercial - Government Agencies	103,227		—		(4,200		)	99,027
Total Mortgage-Backed Securities	856,953		7,914		(7,731		)	857,136
Total	$	2,236,073	$	34,120	$	(13,375	)	$	2,256,818
Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	489,747	$	1,359	$	(1,139	)	$	489,967
Debt Securities Issued by States and Political Subdivisions	245,980		17,114		—			263,094
Debt Securities Issued by Corporations	151,301		368		(2,041		)	149,628
Mortgage-Backed Securities:
Residential - Government Agencies	2,191,138		27,893		(19,067		)	2,199,964
Residential - U.S. Government-Sponsored Enterprises	647,762		1,656		(2,616		)	646,802
Commercial - Government Agencies	256,808		2,381		(2,232		)	256,957
Total Mortgage-Backed Securities	3,095,708		31,930		(23,915		)	3,103,723
Total	$	3,982,736	$	50,771	$	(27,095	)	$	4,006,412

Schedule of Analysis of the Contractual Maturities of Investment Securities



(dollars in thousands)	Amortized Cost		Fair Value
Available-for-Sale:
Due in One Year or Less	$	88,977	$	89,096
Due After One Year Through Five Years	624,650		625,547
Due After Five Years Through Ten Years	149,994		154,890
Due After Ten Years	23,100		24,134
	886,721		893,667

Debt Securities Issued by Government Agencies	424,361		425,393
Mortgage-Backed Securities:
Residential - Government Agencies	233,268		235,360
Residential - U.S. Government-Sponsored Enterprises	619,795		609,812
Commercial - Government Agencies	71,999		68,747
Total Mortgage-Backed Securities	925,062		913,919
Total	$	2,236,144	$	2,232,979

Held-to-Maturity:
Due in One Year or Less	$	259,939	$	259,478
Due After One Year Through Five Years	206,180		207,551
Due After Five Years Through Ten Years	239,550		243,623
Due After Ten Years	27,544		28,785
	733,213		739,437
Mortgage-Backed Securities:
Residential - Government Agencies	2,229,985		2,202,913
Residential - U.S. Government-Sponsored Enterprises	763,312		752,968
Commercial - Government Agencies	201,660		198,803
Total Mortgage-Backed Securities	3,194,957		3,154,684
Total	$	3,928,170	$	3,894,121

Schedule of Gross Gains and Losses from Sale of Investment Securities

gains and losses from the sales of investment securities for the years ended December 31, 2017, 2016, and 2015.



(dollars in thousands)	2017			2016			2015
Gross Gains on Sales of Investment Securities	$	12,467		$	11,180		$	11,640
Gross Losses on Sales of Investment Securities	(2,037		)	(977		)	(1,480		)
Net Gains on Sales of Investment Securities	$	10,430		$	10,203		$	10,160

Schedule of Investment Securities in an Unrealized Loss Position

The Company’s investment securities in an unrealized loss position, segregated by continuous length of impairment, were as follows:



	Less Than 12 Months					12 Months or Longer					Total
(dollars in thousands)	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
December 31, 2017
Available-for-Sales:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	103,842	$	(599	)	$	132,071	$	(436	)	$	235,913	$	(1,035	)
Debt Securities Issued by States and Political Subdivisions	172,343		(1,032		)	734		(10		)	173,077		(1,042		)
Debt Securities Issued by Corporations	12,985		(15		)	192,927		(2,076		)	205,912		(2,091		)
Mortgage-Backed Securities:
Residential - Government Agencies	11,035		(4		)	10,618		(1,033		)	21,653		(1,037		)
Residential - U.S. Government-Sponsored Enterprises	429,342		(5,720		)	150,887		(4,683		)	580,229		(10,403		)
Commercial - Government Agencies	—		—			68,747		(3,252		)	68,747		(3,252		)
Total Mortgage-Backed Securities	440,377		(5,724		)	230,252		(8,968		)	670,629		(14,692		)
Total	$	729,547	$	(7,370	)	$	555,984	$	(11,490	)	$	1,285,531	$	(18,860	)

Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	254,283	$	(532	)	$	89,391	$	(919	)	$	343,674	$	(1,451	)
Debt Securities Issued by Corporations	25,490		(110		)	58,869		(1,481		)	84,359		(1,591		)
Mortgage-Backed Securities:
Residential - Government Agencies	1,030,472		(12,262		)	704,545		(24,785		)	1,735,017		(37,047		)
Residential - U.S. Government-Sponsored Enterprises	293,530		(3,106		)	339,232		(8,149		)	632,762		(11,255		)
Commercial - Government Agencies	497		(5		)	82,288		(3,649		)	82,785		(3,654		)
Total Mortgage-Backed Securities	1,324,499		(15,373		)	1,126,065		(36,583		)	2,450,564		(51,956		)
Total	$	1,604,272	$	(16,015	)	$	1,274,325	$	(38,983	)	$	2,878,597	$	(54,998	)

December 31, 2016
Available-for-Sales:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	143,715	$	(562	)	$	89,211	$	(732	)	$	232,926	$	(1,294	)
Debt Securities Issued by States and Political Subdivisions	211,188		(1,873		)	6,725		(14		)	217,913		(1,887		)
Debt Securities Issued by Corporations	67,332		(714		)	196,838		(3,156		)	264,170		(3,870		)
Mortgage-Backed Securities:
Residential - Government Agencies	38,355		(89		)	11,185		(1,056		)	49,540		(1,145		)
Residential - U.S. Government-Sponsored Enterprises	397,385		(5,218		)	—		—			397,385		(5,218		)
Commercial - Government Agencies	5,097		(164		)	80,420		(3,863		)	85,517		(4,027		)
Total Mortgage-Backed Securities	440,837		(5,471		)	91,605		(4,919		)	532,442		(10,390		)
Total	$	863,072	$	(8,620	)	$	384,379	$	(8,821	)	$	1,247,451	$	(17,441	)

Held-to-Maturity:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	169,926	$	(771	)	$	—	$	—		$	169,926	$	(771	)
Debt Securities Issued by Corporations	69,601		(971		)	15,933		(557		)	85,534		(1,528		)
Mortgage-Backed Securities:
Residential - Government Agencies	835,227		(15,313		)	231,377		(8,548		)	1,066,604		(23,861		)
Residential - U.S. Government-Sponsored Enterprises	693,047		(10,919		)	—		—			693,047		(10,919		)
Commercial - Government Agencies	87,586		(2,597		)	18,653		(68		)	106,239		(2,665		)
Total Mortgage-Backed Securities	1,615,860		(28,829		)	250,030		(8,616		)	1,865,890		(37,445		)
Total	$	1,855,387	$	(30,571	)	$	265,963	$	(9,173	)	$	2,121,350	$	(39,744	)

Schedule of Interest Income from Taxable and Non-Taxable Investment Securities.

Interest income from taxable and non-taxable investment securities for the years ended December 31, 2017, 2016, and 2015 were as follows:



	Year Ended December 31,
(dollars in thousands)	2017		2016		2015
Taxable	$	108,787	$	100,541	$	109,912
Non-Taxable	19,725		20,438		21,230
Total Interest Income from Investment Securities	$	128,512	$	120,979	$	131,142

Schedule of Carrying Value of the Company's Federal Home Loan Bank and Federal Reserve Bank

As of December 31, 2017 and 2016, the carrying value of the Company’s Federal Home Loan Bank of Des Moines (“FHLB Des Moines”) stock and Federal Reserve Bank stock was as follows:



	December 31,
(dollars in thousands)	2017		2016
Federal Home Loan Bank Stock	$	20,000	$	20,000
Federal Reserve Bank Stock	20,645		20,063
Total	$	40,645	$	40,063

- Definition

Tabular disclosure of the realized and unrealized gains and losses reported in the statement of income which have resulted from the sale and holding of marketable securities, respectively, as well as the sale or disposal of cost method investments. Such amounts would include realized gains and losses on the sale or disposal of trading, available-for-sale, and held-to-maturity securities, unrealized gains and losses on trading securities, unrealized gains and losses on available-for-sale and held-to-maturity securities transferred to the trading securities category, realized gains and losses on the sale or disposal of cost method investments, and losses recognized for other than temporary impairments (OTTI) of such investments.

+ References + Details

Loans and Leases and the Allowance for Loan and Lease Losses (Tables)

12 Months Ended

Dec. 31, 2017

Loans and Leases and Allowance for Loan and Lease Losses [Abstract]

Schedule of Loan and Lease portfolio

The Company’s loan and lease portfolio was comprised of the following as of December 31, 2017 and 2016:



	December 31,
(dollars in thousands)	2017		2016
Commercial
Commercial and Industrial	$	1,279,347	$	1,249,791
Commercial Mortgage	2,103,967		1,889,551
Construction	202,253		270,018
Lease Financing	180,931		208,332
Total Commercial	3,766,498		3,617,692
Consumer
Residential Mortgage	3,466,773		3,163,073
Home Equity	1,585,455		1,334,163
Automobile	528,474		454,333
Other¹	449,747		380,524
Total Consumer	6,030,449		5,332,093
Total Loans and Leases	$	9,796,947	$	8,949,785

¹Comprised of other revolving credit, installment, and lease financing.

Schedule of Portfolio Segment and Balance in Allowance Disaggregated on the Basis of Impairment Measurement Method



(dollars in thousands)	Commercial			Consumer			Total
For the Year Ended December 31, 2017
Allowance for Loan and Lease Losses:
Balance at Beginning of Period	$	65,680		$	38,593		$	104,273
Loans and Leases Charged-Off	(1,408		)	(21,847		)	(23,255		)
Recoveries on Loans and Leases Previously Charged-Off	1,485			7,943			9,428
Net Loans and Leases Recovered (Charged-Off)	77			(13,904		)	(13,827		)
Provision for Credit Losses	65			16,835			16,900
Balance at End of Period	$	65,822		$	41,524		$	107,346
As of December 31, 2017
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment	$	141		$	3,775		$	3,916
Collectively Evaluated for Impairment	65,681			37,749			103,430
Total	$	65,822		$	41,524		$	107,346
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment	$	20,216		$	41,002		$	61,218
Collectively Evaluated for Impairment	3,746,282			5,989,447			9,735,729
Total	$	3,766,498		$	6,030,449		$	9,796,947

For the Year Ended December 31, 2016
Allowance for Loan and Lease Losses:
Balance at Beginning of Period	$	60,714		$	42,166		$	102,880
Loans and Leases Charged-Off	(865		)	(17,644		)	(18,509		)
Recoveries on Loans and Leases Previously Charged-Off	8,137			7,015			15,152
Net Loans and Leases Recovered (Charged-Off)	7,272			(10,629		)	(3,357		)
Provision for Credit Losses	(2,306		)	7,056			4,750
Balance at End of Period	$	65,680		$	38,593		$	104,273
As of December 31, 2016
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment	$	45		$	3,510		$	3,555
Collectively Evaluated for Impairment	65,635			35,083			100,718
Total	$	65,680		$	38,593		$	104,273
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment	$	21,572		$	39,126		$	60,698
Collectively Evaluated for Impairment	3,596,120			5,292,967			8,889,087
Total	$	3,617,692		$	5,332,093		$	8,949,785

For the Year Ended December 31, 2015
Allowance for Loan and Lease Losses:
Balance at Beginning of Period	$	64,551		$	44,137		$	108,688
Loans and Leases Charged-Off	(954		)	(15,485		)	(16,439		)
Recoveries on Loans and Leases Previously Charged-Off	2,173			7,458			9,631
Net Loans and Leases Recovered (Charged-Off)	1,219			(8,027		)	(6,808		)
Provision for Credit Losses	(5,056		)	6,056			1,000
Balance at End of Period	$	60,714		$	42,166		$	102,880
As of December 31, 2015
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment	$	205		$	3,373		$	3,578
Collectively Evaluated for Impairment	60,509			38,793			99,302
Total	$	60,714		$	42,166		$	102,880
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment	$	27,950		$	38,747		$	66,697
Collectively Evaluated for Impairment	3,125,902			4,686,386			7,812,288
Total	$	3,153,852		$	4,725,133		$	7,878,985

Schedule of Recorded Investment in Loans and Leases by Class and by Credit Quality Indicator

The following presents by class and by credit quality indicator, the recorded investment in the Company’s loans and leases as of December 31, 2017 and 2016.



	December 31, 2017
(dollars in thousands)	Commercial and Industrial		Commercial Mortgage		Construction		Lease Financing		Total Commercial
Pass	$	1,234,738	$	2,046,745	$	198,926	$	180,522	$	3,660,931
Special Mention	15,394		35,762		6		11		51,173
Classified	29,215		21,460		3,321		398		54,394
Total	$	1,279,347	$	2,103,967	$	202,253	$	180,931	$	3,766,498



(dollars in thousands)	Residential Mortgage		Home Equity		Automobile		Other ¹		Total Consumer
Pass	$	3,457,531	$	1,580,917	527,587		$	449,008	$	6,015,043
Classified	9,242		4,538		887		739		15,406
Total	$	3,466,773	$	1,585,455	$	528,474	$	449,747	$	6,030,449
Total Recorded Investment in Loans and Leases									$	9,796,947



	December 31, 2016
(dollars in thousands)	Commercial and Industrial		Commercial Mortgage		Construction		Lease Financing		Total Commercial
Pass	$	1,203,025	$	1,792,119	$	264,287	$	207,386	$	3,466,817
Special Mention	20,253		66,734		4,218		5		91,210
Classified	26,513		30,698		1,513		941		59,665
Total	$	1,249,791	$	1,889,551	$	270,018	$	208,332	$	3,617,692



(dollars in thousands)	Residential Mortgage		Home Equity		Automobile		Other ¹		Total Consumer
Pass	$	3,149,294	$	1,327,676	$	453,439	$	379,793	$	5,310,202
Special Mention	—		2,964		—		—		2,964
Classified	13,779		3,523		894		731		18,927
Total	$	3,163,073	$	1,334,163	$	454,333	$	380,524	$	5,332,093
Total Recorded Investment in Loans and Leases									$	8,949,785

¹ Comprised of other revolving credit, installment, and lease financing.

Schedule of Aging Analysis by Class of Loan and Lease Portfolio

The following presents by class, an aging analysis of the Company’s loan and lease portfolio as of December 31, 2017 and 2016.



(dollars in thousands)	30 - 59 Days Past Due		60 - 89 Days Past Due		Past Due 90 Days or More		Non- Accrual		Total Past Due and Non-Accrual		Current		Total Loans and Leases		Non-Accrual Loans and Leases that are Current ²
As of December 31, 2017
Commercial
Commercial and Industrial	$	4,196	$	641	$	—	$	448	$	5,285	$	1,274,062	$	1,279,347	$	313
Commercial Mortgage	187		404		—		1,398		1,989		2,101,978		2,103,967		465
Construction	—		—		—		—		—		202,253		202,253		—
Lease Financing	—		—		—		—		—		180,931		180,931		—
Total Commercial	4,383		1,045		—		1,846		7,274		3,759,224		3,766,498		778
Consumer
Residential Mortgage	7,815		2,008		2,703		9,243		21,769		3,445,004		3,466,773		806
Home Equity	2,532		2,736		1,624		3,991		10,883		1,574,572		1,585,455		1,312
Automobile	11,728		2,232		886		—		14,846		513,628		528,474		—
Other ¹	3,007		1,639		1,934		—		6,580		443,167		449,747		—
Total Consumer	25,082		8,615		7,147		13,234		54,078		5,976,371		6,030,449		2,118
Total	$	29,465	$	9,660	$	7,147	$	15,080	$	61,352	$	9,735,595	$	9,796,947	$	2,896

As of December 31, 2016
Commercial
Commercial and Industrial	$	10,698	$	1,016	$	—	$	151	$	11,865	$	1,237,926	$	1,249,791	$	—
Commercial Mortgage	128		17		—		997		1,142		1,888,409		1,889,551		416
Construction	—		—		—		—		—		270,018		270,018		—
Lease Financing	—		—		—		—		—		208,332		208,332		—
Total Commercial	10,826		1,033		—		1,148		13,007		3,604,685		3,617,692		416
Consumer
Residential Mortgage	6,491		106		3,127		13,780		23,504		3,139,569		3,163,073		1,628
Home Equity	3,063		2,244		1,457		3,147		9,911		1,324,252		1,334,163		1,015
Automobile	11,692		2,162		894		—		14,748		439,585		454,333		—
Other¹	3,200		1,532		1,592		—		6,324		374,200		380,524		—
Total Consumer	24,446		6,044		7,070		16,927		54,487		5,277,606		5,332,093		2,643
Total	$	35,272	$	7,077	$	7,070	$	18,075	$	67,494	$	8,882,291	$	8,949,785	$	3,059

¹Comprised of other revolving credit, installment, and lease financing.

²Represents non-accrual loans that are not past due 30 days or more; however, full payment of principal and interest is still not expected.

Schedule of Information Related to Impaired Loans

The following presents by class, information related to impaired loans as of December 31, 2017 and 2016.



(dollars in thousands)	Recorded Investment		Unpaid Principal Balance		Related Allowance for Loan Losses
December 31, 2017
Impaired Loans with No Related Allowance Recorded:
Commercial
Commercial and Industrial	$	8,094	$	15,747	$	—
Commercial Mortgage	8,696		12,196		—
Construction	1,415		1,415		—
Total Commercial	18,205		29,358		—
Total Impaired Loans with No Related Allowance Recorded	$	18,205	$	29,358	$	—

Impaired Loans with an Allowance Recorded:
Commercial
Commercial and Industrial	$	811	$	811	$	21
Commercial Mortgage	1,200		1,200		120
Total Commercial	2,011		2,011		141
Consumer
Residential Mortgage	21,581		26,324		3,118
Home Equity	1,965		1,965		276
Automobile	14,811		14,811		305
Other ¹	2,645		2,645		76
Total Consumer	41,002		45,745		3,775
Total Impaired Loans with an Allowance Recorded	$	43,013	$	47,756	$	3,916

Impaired Loans:
Commercial	$	20,216	$	31,369	$	141
Consumer	41,002		45,745		3,775
Total Impaired Loans	$	61,218	$	77,114	$	3,916

December 31, 2016
Impaired Loans with No Related Allowance Recorded:
Commercial
Commercial and Industrial	$	9,556	$	16,518	$	—
Commercial Mortgage	9,373		12,873		—
Construction	1,513		1,513		—
Total Commercial	20,442		30,904		—
Total Impaired Loans with No Related Allowance Recorded	$	20,442	$	30,904	$	—

Impaired Loans with an Allowance Recorded:
Commercial
Commercial and Industrial	$	765	$	765	$	24
Commercial Mortgage	365		365		21
Total Commercial	1,130		1,130		45
Consumer
Residential Mortgage	25,625		30,615		3,224
Home Equity	1,516		1,516		15
Automobile	9,660		9,660		206
Other ¹	2,325		2,325		65
Total Consumer	39,126		44,116		3,510
Total Impaired Loans with an Allowance Recorded	$	40,256	$	45,246	$	3,555

Impaired Loans:
Commercial	$	21,572	$	32,034	$	45
Consumer	39,126		44,116		3,510
Total Impaired Loans	$	60,698	$	76,150	$	3,555

¹Comprised of other revolving credit and installment financing.

Schedule of the Average Recorded Investment and Interest Income Recognized on Impaired Loans

The following presents by class, information related to the average recorded investment and interest income recognized on impaired loans for the years ended December 31, 2017 and 2016.



	Year Ended December 31, 2017				Year Ended December 31, 2016
(dollars in thousands)	Average Recorded Investment		Interest Income Recognized		Average Recorded Investment		Interest Income Recognized
Impaired Loans with No Related Allowance Recorded:
Commercial
Commercial and Industrial	$	8,810	$	351	$	10,760	$	463
Commercial Mortgage	9,251		299		9,906		339
Construction	1,464		94		1,559		101
Total Commercial	19,525		744		22,225		903
Total Impaired Loans with No Related Allowance Recorded	$	19,525	$	744	$	22,225	$	903

Impaired Loans with an Allowance Recorded:
Commercial
Commercial and Industrial	$	709	$	42	$	939	$	72
Commercial Mortgage	690		54		151		9
Total Commercial	1,399		96		1,090		81
Consumer
Residential Mortgage	22,981		845		27,436		962
Home Equity	1,707		82		1,395		66
Automobile	12,235		825		7,974		522
Other ¹	2,571		215		2,003		174
Total Consumer	39,494		1,967		38,808		1,724
Total Impaired Loans with an Allowance Recorded	$	40,893	$	2,063	$	39,898	$	1,805

Impaired Loans:
Commercial	$	20,924	$	840	$	23,315	$	984
Consumer	39,494		1,967		38,808		1,724
Total Impaired Loans	$	60,418	$	2,807	$	62,123	$	2,708

¹ Comprised of other revolving credit and installment financing.

Schedule of Loans Modified in a TDR and TDRs that Defaulted During the Period Within 12 mos of Modification Date

The following presents by class, information related to loans modified in a TDR during the years ended December 31, 2017 and 2016.



	Loans Modified as a TDR for the Year Ended December 31, 2017					Loans Modified as a TDR for the Year Ended December 31, 2016
Troubled Debt Restructurings (dollars in thousands)	Number of Contracts	Recorded Investment (as of period end)¹		Increase in Allowance (as of period end)		Number of Contracts	Recorded Investment (as of period end)¹		Increase in Allowance (as of period end)
Commercial
Commercial and Industrial	13	$	7,299	$	11	6	$	3,525	$	21
Commercial Mortgage	4	2,336		93		1	204		20
Total Commercial	17	9,635		104		7	3,729		41
Consumer
Residential Mortgage	2	368		1		10	3,146		522
Home Equity	4	604		13		2	651		7
Automobile	424	8,623		177		267	5,451		116
Other ²	171	1,395		35		199	1,404		37
Total Consumer	601	10,990		226		478	10,652		682
Total	618	$	20,625	$	330	485	$	14,381	$	723


¹	The period end balances reflect all partial paydowns and charge-offs since the modification date. TDRs fully paid off, charged off, or foreclosed upon by period end are not included.


²	Comprised of other revolving credit and installment financing.



	Year Ended December 31, 2017			Year Ended December 31, 2016
TDRs that Defaulted During the Period, Within Twelve Months of their Modification Date (dollars in thousands)	Number of Contracts	Recorded Investment (as of period end) ¹		Number of Contracts	Recorded Investment (as of period end) ¹
Commercial
Commercial and Industrial	1	$	48	—	$	—
Commercial Mortgage	1	341		—	—
Total Commercial	2	389		—	—
Consumer
Residential Mortgage	1	94		4	1,445
Home Equity	1	237		1	157
Automobile	28	515		19	373
Other ²	36	208		40	278
Total Consumer	66	1,054		64	2,253
Total	68	$	1,443	64	$	2,253

¹ The period end balances reflect all paydowns and charge-offs since the modification date. TDRs fully paid off, charged off, or foreclosed upon by period end are not included.


²	Comprised of other revolving credit and installment financing.

Mortgage Servicing Rights (Tables)

12 Months Ended

Dec. 31, 2017

Transfers and Servicing of Financial Assets [Abstract]

Analysis of mortgage servicing rights accounted for under the fair value measurement method

For the years ended December 31, 2017, 2016, and 2015, the change in the fair value of the Company’s mortgage servicing rights accounted for under the fair value measurement method was as follows:



(dollars in thousands)	2017			2016			2015
Balance at Beginning of Year	$	1,655		$	1,970		$	2,604
Changes in Fair Value:
Due to Change in Valuation Assumptions ¹	—			—			(251		)
Due to Payoffs	(201		)	(315		)	(383		)
Total Changes in Fair Value of Mortgage Servicing Rights	(201		)	(315		)	(634		)
Balance at End of Year	$	1,454		$	1,655		$	1,970


¹	Primarily represents changes in discount rates and loan repayment rate assumptions, mostly due to changes in interest rates.

Analysis of mortgage servicing rights accounted for under the amortization method



(dollars in thousands)	2017			2016			2015
Balance at Beginning of Year	$	22,008		$	21,032		$	22,091
Servicing Rights that Resulted From Asset Transfers	3,976			3,847			1,737
Amortization	(2,816		)	(2,892		)	(2,832		)
Valuation Allowance Recovery (Provision)	—			21			36
Balance at End of Year	$	23,168		$	22,008		$	21,032

Valuation Allowance:
Balance at Beginning of Year	$	—		$	(21	)	$	(57	)
Valuation Allowance Recovery (Provision)	—			21			36
Balance at End of Year	$	—		$	—		$	(21	)

Fair Value:
Balance at Beginning of Year	$	25,148		$	24,804		$	22,837
Balance at End of Year	$	26,716		$	25,148		$	24,804

Schedule of key data and assumptions used in estimating the fair value of mortgage servicing rights

The key data and assumptions used in estimating the fair value of the Company’s mortgage servicing rights as of December 31, 2017 and 2016 were as follows:



	December 31,
	2017		2016
Weighted-Average Constant Prepayment Rate ¹	8.50	%	8.13	%
Weighted-Average Life (in years)	7.09		7.43
Weighted-Average Note Rate	4.04	%	4.10	%
Weighted-Average Discount Rate²	8.87	%	9.33	%


¹	Represents annualized loan prepayment rate assumption.


²	Derived from multiple interest rate scenarios that incorporate a spread to a market yield curve and market volatilities.

Schedule of sensitivity analysis of the fair value of mortgage servicing rights

A sensitivity analysis of the Company’s fair value of mortgage servicing rights to changes in certain key assumptions as of December 31, 2017 and 2016 is presented in the following table.



	December 31,
(dollars in thousands)	2017			2016
Constant Prepayment Rate
Decrease in fair value from 25 basis points (“bps”) adverse change	$	(332	)	$	(321	)
Decrease in fair value from 50 bps adverse change	(657		)	(636		)
Discount Rate
Decrease in fair value from 25 bps adverse change	(289		)	(288		)
Decrease in fair value from 50 bps adverse change	(572		)	(570		)

Premises and Equipment (Tables)

12 Months Ended

Dec. 31, 2017

Property, Plant and Equipment [Abstract]

Schedule of premises and equipment

The components of the Company’s premises and equipment as of December 31, 2017 and 2016 were as follows:



(dollars in thousands)	Cost		Accumulated Depreciation and Amortization				Net Book Value
December 31, 2017
Premises	$	331,566		$	(243,069	)		$	88,497
Equipment	130,228			(90,319		)		39,909
Capital Leases	6,593			(4,073		)		2,520
Total	$	468,387		$	(337,461	)		$	130,926

December 31, 2016
Premises	$	321,144		$	(240,567	)		$	80,577
Equipment	117,356			(87,021		)		30,335
Capital Leases	6,594			(4,001		)		2,593
Total	$	445,094		$	(331,589	)		$	113,505

Other Assets (Tables)

12 Months Ended

Dec. 31, 2017

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Schedule of other assets

The components of the Company’s other assets as of December 31, 2017 and 2016 were as follows:



	December 31,
(dollars in thousands)	2017		2016
Federal Home Loan Bank and Federal Reserve Bank Stock	$	40,645	$	40,063
Derivative Financial Instruments	10,518		13,731
Low-Income Housing and Other Equity Investments	87,632		78,900
Deferred Compensation Plan Assets	29,230		21,952
Prepaid Expenses	7,944		7,355
Accounts Receivable	43,195		12,584
Other	33,432		20,123
Total Other Assets	$	252,596	$	194,708

Deposits (Tables)

12 Months Ended

Dec. 31, 2017

Deposits [Abstract]

Schedule of time deposits with contractual maturities

Time Deposits



(dollars in thousands)	Amount
2018	$	1,398,406
2019	89,687
2020	56,400
2021	99,993
2022	34,847
Thereafter	8,759
Total	$	1,688,092

Schedule of time deposits with balances of $100,000 or more with contractual maturities



(dollars in thousands)	Amount
Three Months or Less	$	589,189
Over Three Months through Six Months	366,737
Over Six Months through Twelve Months	318,193
Over Twelve Months	167,306
Total	$	1,441,425

Borrowings (Tables)

12 Months Ended

Dec. 31, 2017

Borrowings Disclosure Abstract

Schedule of details of short-term borrowings

Details of the Company’s short-term borrowings (original term of one year or less) as of December 31, 2017 and 2016 were as follows:



	December 31,
(dollars in thousands)	2017			2016
Funds Purchased ¹
Amounts Outstanding	$	—		$	9,616
Weighted-Average Interest Rate	—		%	0.15		%
Securities Sold Under Agreements to Repurchase (short-term) ²
Amounts Outstanding	$	1,603		$	23,278
Weighted-Average Interest Rate	0.14		%	0.31		%


¹	Federal funds purchased generally mature on the next business day following the date of purchase.


²	Consists entirely of repurchase agreements with government entities. Excludes long-term repurchase agreements with government entities of $3.7 million and $0.1 million as of December 31, 2017, and 2016, respectively, and long-term repurchase agreements with private institutions of $500.0 million as of December 31, 2017 and 2016.

Other Debt (Tables)

12 Months Ended

Dec. 31, 2017

Debt Disclosure [Abstract]

Schedule of Other Debt

The Company’s other debt as of December 31, 2017 and 2016 were as follows:



	December 31,
(dollars in thousands)	2017		2016
Federal Home Loan Bank Advances	$	250,000	$	250,000
Non-Recourse Debt	—		7,153
Capital Lease Obligations	10,716		10,785
Total	$	260,716	$	267,938

Schedule of Annual Maturities of Long-Term Debt, Exclusive of Capital Lease Obligations

As of December 31, 2017, the annual maturities of the Company’s other debt, exclusive of capital lease obligations, were expected to be as follows:



(dollars in thousands)	Amount
2018	$	175,000
2019	50,000
2020	25,000
2021	—
2022	—
Thereafter	—
Total	$	250,000

- Definition

Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.22)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 942
-SubTopic 470
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6479336&loc=d3e64711-112823

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(e),(f))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 55
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=64930739&loc=d3e28878-108400

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21538-112644

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28541-108399

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 835
-SubTopic 30
-Section 45
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=64930785&loc=d3e28551-108399

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 7
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21521-112644

+ Details

Shareholders' Equity (Tables)

12 Months Ended

Dec. 31, 2017

Stockholders' Equity Note [Abstract]

Schedule of minimum required capital amounts and ratios for well capitalized institutions and the actual capital amounts and ratios for the Company and the Bank



(dollars in thousands)	Well Capitalized Minimum Ratio		Company			Bank
As of December 31, 2017
Shareholders’ Equity			$	1,231,868		$	1,161,037
Common Equity Tier 1 Capital			1,238,063			1,178,804
Tier 1 Capital			1,238,063			1,178,804
Total Capital			1,352,231			1,292,972
Common Equity Tier 1 Capital Ratio	6.5	%	13.24		%	12.62		%
Tier 1 Capital Ratio	8.0	%	13.24		%	12.62		%
Total Capital Ratio	10.0	%	14.46		%	13.85		%
Tier 1 Leverage Ratio	5.0	%	7.26		%	6.92		%

As of December 31, 2016
Shareholders’ Equity			$	1,161,537		$	1,094,461
Common Equity Tier 1 Capital			1,168,228			1,111,525
Tier 1 Capital			1,168,228			1,111,525
Total Capital			1,278,528			1,221,683
Common Equity Tier 1 Capital Ratio	6.5	%	13.24		%	12.61		%
Tier 1 Capital Ratio	8.0	%	13.24		%	12.61		%
Total Capital Ratio	10.0	%	14.49		%	13.86		%
Tier 1 Leverage Ratio	5.0	%	7.21		%	6.86		%

Components of other comprehensive income

The following table presents the components of other comprehensive income (loss), net of tax:



(dollars in thousands)	Before Tax			Tax Effect			Net of Tax
Year Ended December 31, 2017
Net Unrealized Gains (Losses) on Investment Securities:
Net Unrealized Gains (Losses) Arising During the Period	$	(5,263	)	$	(2,078	)	$	(3,185	)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) that (Increase) Decrease Net Income:
Amortization of Unrealized Holding (Gains) Losses on Held-to-Maturity Securities ¹	1,982			783			1,199
Net Unrealized Gains (Losses) on Investment Securities	(3,281		)	(1,295		)	(1,986		)
Defined Benefit Plans:
Net Actuarial Gains (Losses) Arising During the Period	884			349			535
Amortization of Net Actuarial Losses (Gains)	1,382			545			837
Amortization of Prior Service Credit	(322		)	(127		)	(195		)
Defined Benefit Plans, Net	1,944			767			1,177
Other Comprehensive Income (Loss)	$	(1,337	)	$	(528	)	$	(809	)

Year Ended December 31, 2016
Net Unrealized Gains (Losses) on Investment Securities:
Net Unrealized Gains (Losses) Arising During the Period	$	(18,647	)	$	(7,358	)	$	(11,289	)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) that (Increase) Decrease Net Income:
Amortization of Unrealized Holding (Gains) Losses on Held-to-Maturity Securities ¹	1,605			634			971
Net Unrealized Gains (Losses) on Investment Securities	(17,042		)	(6,724		)	(10,318		)
Defined Benefit Plans:
Net Actuarial Gains (Losses) Arising During the Period	(954		)	(377		)	(577		)
Amortization of Net Actuarial Losses (Gains)	1,224			483			741
Amortization of Prior Service Credit	(322		)	(127		)	(195		)
Defined Benefit Plans, Net	(52		)	(21		)	(31		)
Other Comprehensive Income (Loss)	$	(17,094	)	$	(6,745	)	$	(10,349	)

Year Ended December 31, 2015
Net Unrealized Gains (Losses) on Investment Securities:
Net Unrealized Gains (Losses) Arising During the Period	$	(5,448	)	$	(2,138	)	$	(3,310	)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss) that (Increase) Decrease Net Income:
(Gain) Loss on Sale	(190		)	(75		)	(115		)
Amortization of Unrealized Holding (Gains) Losses on Held-to-Maturity Securities ¹	2,136			836			1,300
Net Unrealized Gains (Losses) on Investment Securities	(3,502		)	(1,377		)	(2,125		)
Defined Benefit Plans:
Net Actuarial Gains (Losses) Arising During the Period	7,335			2,869			4,466
Amortization of Net Actuarial Losses (Gains)	1,624			641			983
Amortization of Prior Service Credit	(322		)	(127		)	(195		)
Defined Benefit Plans, Net	8,637			3,383			5,254
Other Comprehensive Income (Loss)	$	5,135		$	2,006		$	3,129


¹	The amount relates to the amortization/accretion of unrealized gains and losses related to the Company's reclassification of available-for-sale investment securities to the held-to-maturity category.

Schedule of accumulated other comprehensive income (loss)

The following table presents the changes in each component of accumulated other comprehensive income (loss), net of tax:



(dollars in thousands)	Investment Securities-Available-For-Sale			Investment Securities-Held-To-Maturities			Defined Benefit Plans			Accumulated Other Comprehensive Income (Loss)
Year Ended December 31, 2017
Balance at Beginning of Period	$	1,270		$	(6,284	)	$	(28,892	)	$	(33,906	)
Other Comprehensive Income (Loss) Before Reclassifications	(3,185		)	—			535			(2,650		)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss)	—			1,199			642			1,841
Total Other Comprehensive Income (Loss)	(3,185		)	1,199			1,177			(809		)
Balance at End of Period	$	(1,915	)	$	(5,085	)	$	(27,715	)	$	(34,715	)

Year Ended December 31, 2016
Balance at Beginning Period	$	12,559		$	(7,255	)	$	(28,861	)	$	(23,557	)
Other Comprehensive Income (Loss) Before Reclassifications	(11,289		)	—			(577		)	(11,866		)
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss)	—			971			546			1,517
Total Other Comprehensive Income (Loss)	(11,289		)	971			(31		)	(10,349		)
Balance at End of Period	$	1,270		$	(6,284	)	$	(28,892	)	$	(33,906	)

Year Ended December 31, 2015
Balance at Beginning Period	$	15,984		$	(8,555	)	$	(34,115	)	$	(26,686	)
Other Comprehensive Income (Loss) Before Reclassifications	(3,310		)	—			4,466			1,156
Amounts Reclassified from Accumulated Other Comprehensive Income (Loss)	(115		)	1,300			788			1,973
Total Other Comprehensive Income (Loss)	(3,425		)	1,300			5,254			3,129
Balance at End of Period	$	12,559		$	(7,255	)	$	(28,861	)	$	(23,557	)

Reclassification out of accumulated other comprehensive income



The following table presents the amounts reclassified out of each component of accumulated other comprehensive income (loss):
Details about Accumulated Other Comprehensive Income (Loss) Components	Amount Reclassified from Accumulated Other Comprehensive Income (Loss)¹									Affected Line Item in the Statement Where Net Income Is Presented
(dollars in thousands)	Year Ended December 31,
	2017			2016			2015
Amortization of Unrealized Holding Gains (Losses) on Investment Securities Held-to-Maturity	$	(1,982	)	$	(1,605	)	$	(2,136	)	Interest Income
	783			634			836			Provision for Income Tax
	(1,199		)	(971		)	(1,300		)	Net of Tax
Sales of Investment Securities Available-for-Sale	—			—			190			Investment Securities Gains (Losses), Net
	—			—			(75		)	Provision for Income Tax
	—			—			115			Net of Tax

Amortization of Defined Benefit Plans Items
Prior Service Credit ²	322			322			322
Net Actuarial Losses²	(1,382		)	(1,224		)	(1,624		)
	(1,060		)	(902		)	(1,302		)	Total Before Tax
	418			356			514			Provision for Income Tax
	(642		)	(546		)	(788		)	Net of Tax

Total Reclassifications for the Period	$	(1,841	)	$	(1,517	)	$	(1,973	)	Net of Tax


¹	Amounts in parentheses indicate reductions to net income.


²	These accumulated other comprehensive income (loss) components are included in the computation of net periodic benefit cost and are included in Salaries and Benefits on the consolidated statements of income. See Note 14 Employee Benefits for additional details.

Earnings Per Share (Tables)

12 Months Ended

Dec. 31, 2017

Earnings Per Share [Abstract]

Reconciliation of the weighted average number of common shares outstanding for computing diluted earnings per share and antidilutive stock options and restricted stock outstanding

The following is a reconciliation of the weighted average number of common shares outstanding for computing diluted earnings per share and antidilutive stock options and restricted stock outstanding for the years ended December 31, 2017, 2016, and 2015:



	Weighted Average Shares
	2017	2016	2015
Denominator for Basic Earnings Per Share	42,280,931	42,644,100	43,217,818
Dilutive Effect of Equity Based Awards	326,126	235,683	237,059
Denominator for Diluted Earnings Per Share	42,607,057	42,879,783	43,454,877

Antidilutive Stock Options and Restricted Stock Outstanding	—	—	—

Business Segments (Tables)

12 Months Ended

Dec. 31, 2017

Segment Reporting [Abstract]

Selected business segment financial information

Selected business segment financial information as of and for the years ended December 31, 2017, 2016, and 2015 were as follows:



(dollars in thousands)	Retail Banking			Commercial Banking			Investment Services and Private Banking			Treasury and Other			Consolidated Total
Year Ended December 31, 2017
Net Interest Income	$	264,041		$	171,038		$	29,693		$	(7,534	)	$	457,238
Provision for Credit Losses	14,008			(160		)	(21		)	3,073			16,900
Net Interest Income After Provision for Credit Losses	250,033			171,198			29,714			(10,607		)	440,338
Noninterest Income	85,042			21,670			57,105			21,600			185,417
Noninterest Expense	(209,807		)	(74,209		)	(61,674		)	(12,001		)	(357,691		)
Income Before Provision for Income Taxes	125,268			118,659			25,145			(1,008		)	268,064
Provision for Income Taxes	(44,545		)	(41,797		)	(9,303		)	12,253			(83,392		)
Net Income	$	80,723		$	76,862		$	15,842		$	11,245		$	184,672
Total Assets as of December 31, 2017	$	5,936,568		$	3,742,991		$	336,455		$	7,073,038		$	17,089,052

Year Ended December 31, 2016
Net Interest Income	$	242,967		$	156,080		$	24,714		$	(6,182	)	$	417,579
Provision for Credit Losses	10,700			(7,322		)	(23		)	1,395			4,750
Net Interest Income After Provision for Credit Losses	232,267			163,402			24,737			(7,577		)	412,829
Noninterest Income	91,824			26,967			57,396			21,156			197,343
Noninterest Expense	(208,389		)	(70,405		)	(59,782		)	(12,002		)	(350,578		)
Income Before Provision for Income Taxes	115,702			119,964			22,351			1,577			259,594
Provision for Income Taxes	(41,067		)	(42,667		)	(8,270		)	13,871			(78,133		)
Net Income	$	74,635		$	77,297		$	14,081		$	15,448		$	181,461
Total Assets as of December 31, 2016	$	5,342,078		$	3,565,912		$	280,410		$	7,303,967		$	16,492,367

Year Ended December 31, 2015
Net Interest Income	$	202,259		$	143,944		$	18,494		$	29,390		$	394,087
Provision for Credit Losses	8,033			(1,165		)	(43		)	(5,825		)	1,000
Net Interest Income After Provision for Credit Losses	194,226			145,109			18,537			35,215			393,087
Noninterest Income	82,391			22,191			58,835			22,802			186,219
Noninterest Expense	(199,572		)	(77,500		)	(57,852		)	(13,180		)	(348,104		)
Income Before Provision for Income Taxes	77,045			89,800			19,520			44,837			231,202
Provision for Income Taxes	(27,330		)	(31,375		)	(7,222		)	(4,571		)	(70,498		)
Net Income	$	49,715		$	58,425		$	12,298		$	40,266		$	160,704
Total Assets as of December 31, 2015	$	4,680,888		$	3,099,175		$	274,469		$	7,400,484		$	15,455,016

Employee Benefits (Tables)

12 Months Ended

Dec. 31, 2017

Compensation and Retirement Disclosure [Abstract]

Schedule of Defined Benefit Plan Assumptions Used in Calculating Net Periodic Benefit Cost [Table Text Block]

Assumptions used to determine the net periodic benefit cost for the Company’s Pension Plans and postretirement benefit plan for the years ended December 31, 2017, 2016, and 2015 were as follows:



	Pension Benefits						Postretirement Benefits
	2017		2016		2015		2017		2016		2015
Weighted Average Assumptions as of December 31:
Discount Rate	4.45	%	4.70	%	4.25	%	4.57	%	4.74	%	4.28	%
Expected Long-Term Rate of Return on Plan Assets	5.75	%	6.00	%	6.00	%	—		—		—
Health Care Cost Trend Rate	—		—		—		6.50	%	6.70	%	7.00	%

Schedule of reconciliation of changes in the benefit obligation and the fair value of plan assets, as well as the funded status recognized in the consolidated statements of condition for the pension plans and postretirement benefit plan



	Pension Benefits						Postretirement Benefits
(dollars in thousands)	2017			2016			2017			2016
Benefit Obligation at Beginning of Year	$	107,593		$	105,993		$	24,308		$	25,307
Service Cost	—			—			453			513
Interest Cost	4,665			4,882			1,093			1,134
Plan Amendment ³	—			—			(2,730		)	—
Actuarial Losses (Gains)	6,828			2,708			2,052			(1,846		)
Employer Benefits Paid ¹	(9,006		)	(5,990		)	(970		)	(800		)
Benefit Obligation at End of Year	$	110,080		$	107,593		$	24,206		$	24,308
Fair Value of Plan Assets at Beginning of Year	$	83,383		$	83,858		$	—		$	—
Actual Return on Plan Assets	12,047			5,031			—			—
Employer Contributions	10,484			484			970			800
Employer Benefits Paid ¹	(9,006		)	(5,990		)	(970		)	(800		)
Fair Value of Plan Assets at End of Year	$	96,908		$	83,383		$	—		$	—
Funded Status at End of Year ²	$	(13,172	)	$	(24,210	)	$	(24,206	)	$	(24,308	)


¹	Participants' contributions relative to the postretirement benefit plan were offset against employer benefits paid in the table above. Participants' contributions for postretirement benefits were $0.5 million and $0.8 million for the years ended December 31, 2017 and 2016, respectively.


²	Amounts are recognized in Retirement Benefits Payable in the consolidated statements of condition.

Schedule of amounts recognized in accumulated other comprehensive income (loss)

The following presents the amounts recognized in the Company’s accumulated other comprehensive income for the Pension Plans and postretirement benefit plan as of December 31, 2017 and 2016.



	Pension Benefits						Postretirement Benefits
(dollars in thousands)	2017			2016			2017		2016
Amounts Recognized in Accumulated Other Comprehensive Income (Loss), Net of Tax
Net Actuarial Gains (Losses)	$	(32,730	)	$	(33,954	)	$	3,143	$	4,647
Net Prior Service Credit	—			—			1,872		415
Total Amounts Recognized in Accumulated Other Comprehensive Income (Loss), Net of Tax	$	(32,730	)	$	(33,954	)	$	5,015	$	5,062

Schedule of components of net periodic benefit cost



	Pension Benefits									Postretirement Benefits
(dollars in thousands)	2017			2016			2015			2017			2016			2015
Service Cost	$	—		$	—		$	—		$	453		$	513		$	621
Interest Cost	4,665			4,882			4,655			1,093			1,134			1,155
Expected Return on Plan Assets	(5,011		)	(5,121		)	(5,222		)	—			—			—
Amortization of:
Prior Service Credit¹	—			—			—			(322		)	(322		)	(322		)
Net Actuarial Losses (Gains) ¹	1,817			1,617			1,713			(435		)	(393		)	(89		)
Net Periodic Benefit Cost	$	1,471		$	1,378		$	1,146		$	789		$	932		$	1,365


¹	Represents reclassification adjustments from accumulated other comprehensive income during the period.

Schedule of assumptions used to determine the benefit obligations/net periodic cost

Assumptions used to determine the benefit obligations as of December 31, 2017 and 2016 for the Company’s Pension Plans and postretirement benefit plan were as follows:



	Pension Benefits				Postretirement Benefits
	2017		2016		2017		2016
Weighted Average Assumptions as of December 31:
Discount Rate	3.90	%	4.45	%	3.96	%	4.57	%
Health Care Cost Trend Rate Assumed For Next Year	—		—		6.30	%	6.50	%

Schedule of impact of one percent change in the health care cost trend rate assumption



(dollars in thousands)	One Percent Increase			One Percent Decrease
Effect on the Total of Service and Interest Cost Component of Net Periodic Postretirement Benefit Cost		$	99		$	(88	)
Effect on the Postretirement Benefit Obligation		1,020			(1,022		)

Schedule of expected benefits to be paid in each of the next five years and in the aggregate for the five years thereafter

As of December 31, 2017, expected benefits to be paid in each of the next five years and in the aggregate for the five years thereafter were as follows:



(dollars in thousands)	Pension Benefits			Postretirement Benefits
2018		$	6,629		$	886
2019		6,812			926
2020		6,944			995
2021		7,070			1,074
2022		7,095			1,181
Years 2023-2027		35,416			7,619

Schedule of the fair values of the retirement plan assets by asset category



	Fair Value Measurements
Asset Category (dollars in thousands)	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Other Unobservable Inputs (Level 3)			Total as of Dec. 31, 2017		Total as of Dec. 31, 2016
Cash		$	2,156		$	—		$	—	$	2,156	$	1,898
Equity Securities – Mutual Funds:
Large-Cap		1,748			—			—		1,748		—
Mixed-Cap		29,459			—			—		29,459		29,593
International		24,539			—			—		24,539		18,040
Emerging Market		2,305			—			—		2,305		2,043
Fixed Income Securities – Mutual Funds		36,701			—			—		36,701		31,809
Total		$	96,908		$	—		$	—	$	96,908	$	83,383

Share-Based Compensation (Tables)

12 Months Ended

Dec. 31, 2017

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of compensation expense and the related income tax benefit recognized for all share-based awards

For the years ended December 31, 2017, 2016, and 2015, compensation expense and the related income tax benefit recognized for stock options and restricted stock were as follows:



(dollars in thousands)	2017		2016		2015
Compensation Expense	$	7,369	$	6,787	$	7,689
Income Tax Benefit	2,910		2,680		3,036

Schedule of activity for restricted stock

The following table presents the activity for restricted stock:



	Number of Shares		Weighted Average Grant Date Fair Value			Grant Date Fair Value of Restricted Stock that Vested During the Year (in thousands)
Unvested as of December 31, 2014	263,446			$	53.04
Granted	116,331			57.31
Vested	(108,949	)		52.47			$	5,759
Forfeited	(2,015	)		54.17
Unvested as of December 31, 2015	268,813			$	55.92
Granted	121,495			64.40
Vested	(105,891	)		53.46			$	5,661
Forfeited	(13,894	)		58.14
Unvested as of December 31, 2016	270,523			$	60.58
Granted	124,460			84.53
Vested	(52,822	)		60.06			$	4,493
Forfeited	(22,058	)		69.46
Unvested as of December 31, 2017 ¹	320,103			$	69.36

Schedule of activity for restricted stock units

The following table presents the activity for RSU:



	Number of Units		Weighted Average Grant Date Fair Value			Fair Value of Restricted Stock Unit that Vested During the Year (in thousands)
Balance as of December 31, 2014	105,405			$	55.17
Granted	61,751			56.68
Vested	(31,651	)		55.17			$	1,940
Balance as of December 31, 2015	135,505			$	55.86
Granted	58,541			63.92
Vested	(31,660	)		55.17			$	1,897
Forfeited	(7,554	)		56.08
Balance as of December 31, 2016	154,832			$	59.04
Vested	(29,281	)		58.74			$	2,516
Forfeited	(9,062	)		60.17
Balance as of December 31, 2017	116,489			$	60.22

Schedule of activity related to stock options

The following table presents the activity related to stock options under all plans for the year ended December 31, 2017:



	Stock Options		Weighted Average Exercise Price			Weighted Average Remaining Contractual Term (in years)	Aggregate Intrinsic Value (in thousands)
Stock Options Outstanding as of January 1, 2017	478,889			$	45.14
Exercised	(166,838	)		44.96
Forfeited	(8,499	)		44.38
Stock Options Outstanding as of December 31, 2017	303,552			45.26		4.0		$	12,277
Stock Options Vested and Exercisable as of December 31, 2017	303,552			45.26		4.0		12,277

Summary of certain stock option activity of the Company

The following summarizes certain stock option activity of the Company for the years ended December 31, 2017, 2016, and 2015:



(dollars in thousands)	2017		2016		2015
Intrinsic Value of Stock Options Exercised	$	5,991	$	1,990	$	2,754
Cash Received from Stock Options Exercised	7,502		3,546		9,704
Tax Benefits Realized from Stock Options Exercised	2,003		384		330

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Income Tax Disclosure [Abstract]

Schedule of the Company's Provision for Income Taxes

The components of the Company’s provision for income taxes for the years ended December 31, 2017, 2016, and 2015 were as follows:



(dollars in thousands)	2017			2016		2015
Current:
Federal	$	73,176		$	69,061	$	73,278
State	6,039			1,885		3,737
Total Current	79,215			70,946		77,015
Deferred:
Federal	5,042			6,947		(6,801		)
State	(865		)	240		284
Total Deferred	4,177			7,187		(6,517		)
Provision for Income Taxes	$	83,392		$	78,133	$	70,498

Schedule of significant components of the Company's Deferred Tax Liabilities and Assets

As of December 31, 2017 and 2016, significant components of the Company’s deferred tax liabilities and assets were as follows:



	December 31,
(dollars in thousands)	2017			2016
Deferred Tax Liabilities:
Accrued Pension Cost	$	(11,245	)	$	(13,292	)
Federal Home Loan Bank Stock	(3,408		)	(5,088		)
Lease Transactions	(57,458		)	(87,454		)
Energy Tax Credits	(8,821		)	(10,476		)
Investment in Variable Interest Entities	(3,407		)	(1,883		)
Deferred Loan Fees	(6,903		)	(9,088		)
Originated Mortgage Servicing Rights	(6,646		)	(9,588		)
Other	(1,883		)	(691		)
Gross Deferred Tax Liabilities	(99,771		)	(137,560		)
Deferred Tax Assets:
Accelerated Depreciation	1,844			6,027
Allowance for Loan Losses	30,148			43,705
Minimum Pension Liability	12,114			18,852
Accrued Expenses	9,937			18,693
Postretirement Benefit Obligations	8,595			12,900
Capital Lease Expenses	2,168			3,235
Restricted Stock	6,223			7,955
Net Unrealized Losses on Investments Securities	3,059			3,271
Deductible State and Local Taxes	2,461			3,956
Other	5,183			7,596
Gross Deferred Tax Assets Before Valuation Allowance	81,732			126,190
Valuation Allowance	(955		)	(3,655		)
Gross Deferred Tax Assets After Valuation Allowance	80,777			122,535
Net Deferred Tax Liabilities	$	(18,994	)	$	(15,025	)

Schedule of reconciliation of the statutory federal income tax rate to the Company's Effective Tax Rate

The following is a reconciliation of the statutory federal income tax rate to the Company’s effective tax rate for the years ended December 31, 2017, 2016, and 2015:



	2017		2016		2015
Statutory Federal Income Tax Rate	35.00	%	35.00	%	35.00	%
Increase (Decrease) in Income Tax Rate Resulting From:
State Taxes, Net of Federal Income Tax	1.50		0.60		1.23
Tax Reserve Adjustments	0.09		(0.18	)	0.38
Low-Income Housing Investments	(1.18	)	(0.69	)	(0.78	)
Investment Tax Credits	(1.03	)	(0.85	)	(0.89	)
Bank-Owned Life Insurance	(0.85	)	(0.88	)	(1.06	)
Tax-Exempt Income	(2.57	)	(2.71	)	(3.03	)
Excess Tax Benefits - Stock Compensation	(0.83	)	—		—
Deferred Tax Adjustment for Tax Rate Change	1.25		—		—
Other	(0.27	)	(0.19	)	(0.36	)
Effective Tax Rate	31.11	%	30.10	%	30.49	%

Schedule of reconciliation of the Company's Liability for Unrecognized Tax Benefits

December 31, 2017, 2016, and 2015:



(dollars in thousands)	2017			2016			2015
Unrecognized Tax Benefits at Beginning of Year	$	6,574		$	11,602		$	12,229
Gross Increases, Related to Tax Positions Taken in a Prior Period	273			145			398
Gross Decreases, Related to Tax Positions Taken in a Prior Period	—			(230		)	(98		)
Gross Increases, Related to Current Period Tax Positions	1,124			395			573
Settlement with Taxing Authority	—			(1,002		)	—
Lapse of Statute of Limitations	(2,679		)	(4,336		)	(1,500		)
Unrecognized Tax Benefits at End of Year	$	5,292		$	6,574		$	11,602

Derivative Financial Instruments (Tables)

12 Months Ended

Dec. 31, 2017

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of the notional amount and fair value of the derivative financial instruments

The notional amount and fair value of the Company’s derivative financial instruments as of December 31, 2017 and 2016 were as follows:



		December 31, 2017						December 31, 2016
(dollars in thousands)	Notional Amount			Fair Value			Notional Amount			Fair Value
Interest Rate Lock Commitments		$	35,422	$	789			$	55,223	$	1,067
Forward Commitments		45,143		(56		)		104,962		847
Interest Rate Swap Agreements
Receive Fixed/Pay Variable Swaps		374,670		(1,331		)		357,441		1,381
Pay Fixed/Receive Variable Swaps		374,670		1,436				357,441		(1,395		)
Foreign Exchange Contracts		54,332		(13		)		38,172		(757		)

Derivative financial instruments, their fair values, and balance sheet location

The following table presents the Company’s derivative financial instruments, their fair values, and their location in the consolidated statements of condition as of December 31, 2017 and 2016:



	December 31, 2017				December 31, 2016
Derivative Financial Instruments Not Designated as Hedging Instruments ¹ (dollars in thousands)	Asset Derivatives		Liability Derivatives		Asset Derivatives		Liability Derivatives
Interest Rate Lock Commitments	$	789	$	—	$	1,236	$	169
Forward Commitments	14		70		873		26
Interest Rate Swap Agreements	9,583		9,478		11,569		11,583
Foreign Exchange Contracts	132		145		53		810
Total	$	10,518	$	9,693	$	13,731	$	12,588

¹Asset derivatives are included in other assets and liability derivatives are included in other liabilities in the consolidated statements of condition

Derivative financial instruments and the amount and location of the net gains or losses recognized in the statements of income



	Location of Net Gains (Losses)Recognized in the Statements of Income	Year Ended December 31,
Derivative Financial Instruments Not Designated as Hedging Instruments (dollars in thousands)		2017			2016		2015
Interest Rate Lock Commitments	Mortgage Banking	$	5,643		$	7,834	$	2,779
Forward Commitments	Mortgage Banking	(1,275		)	1,741		27
Interest Rate Swap Agreements	Other Noninterest Income	698			2,987		1,085
Foreign Exchange Contracts	Other Noninterest Income	3,296			2,962		2,783
Total		$	8,362		$	15,524	$	6,674

- Definition

Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=64837297&loc=d3e41641-113959

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4B
-URI http://asc.fasb.org/extlink&oid=64837297&loc=SL5624163-113959

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=64837297&loc=d3e41678-113959

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=64837297&loc=d3e41638-113959

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1B
-URI http://asc.fasb.org/extlink&oid=64837297&loc=SL5580258-113959

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1A
-URI http://asc.fasb.org/extlink&oid=64837297&loc=SL5579245-113959

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 4C
-URI http://asc.fasb.org/extlink&oid=64837297&loc=SL5624171-113959

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=64837297&loc=SL5579240-113959

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 815
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=64837297&loc=d3e41620-113959

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(n)(2))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

+ Details

Affordable Housing Projects Tax Credit Partnerships (Tables)

12 Months Ended

Dec. 31, 2017

Equity Method Investments and Joint Ventures [Abstract]

Equity Method Investments

As of December 31, 2017, the expected payments for unfunded affordable housing commitments were as follows:



(dollars in thousands)	Amount
2018	$	13,647
2019	2,893
2020	51
2021	27
2022	33
Thereafter	802
Total Unfunded Commitments	$	17,453

The following table presents tax credits and other tax benefits recognized and amortization expense related to affordable housing for the years ended December 31, 2017, 2016, and 2015.



(dollars in thousands)	2017		2016		2015
Effective Yield Method
Tax credits and other tax benefits recognized	$	13,569	$	13,996	$	13,448
Amortization Expense in Provision for Income Taxes	8,373		7,886		7,735

Proportional Amortization Method
Tax credits and other tax benefits recognized	$	1,040	$	—	$	—
Amortization Expense in Provision for Income Taxes	800		—		—

Balance Sheet Offsetting (Tables)

12 Months Ended

Dec. 31, 2017

Offsetting [Abstract]

Schedule of Repurchase Agreements - by maturity date and collateral type

The following table presents the remaining contractual maturities of the Company’s repurchase agreements as of December 31, 2017 and 2016, disaggregated by the class of collateral pledged.



	Remaining Contractual Maturity of Repurchase Agreements
(dollars in thousands)	Up to 90 days		91-365 days		1-3 Years		After 3 Years		Total
December 31, 2017
Class of Collateral Pledged:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	—	$	—	$	110,392	$	202,484	$	312,876
Debt Securities Issued by States and Political Subdivisions	1,200		2,590		—		—		3,790
Mortgage-Backed Securities:
Residential - Government Agencies	1,503		—		18,793		80,960		101,256
Residential - U.S. Government-Sponsored Enterprises	—		—		20,815		66,556		87,371
Total	$	2,703	$	2,590	$	150,000	$	350,000	$	505,293

December 31, 2016
Class of Collateral Pledged:
Debt Securities Issued by the U.S. Treasury and Government Agencies	$	—	$	—	$	200,000	$	104,681	$	304,681
Debt Securities Issued by States and Political Subdivisions	22,050		590		—		—		22,640
Mortgage-Backed Securities:
Residential - Government Agencies	738		—		—		97,281		98,019
Residential - U.S. Government-Sponsored Enterprises	—		—		—		98,038		98,038
Total	$	22,788	$	590	$	200,000	$	300,000	$	523,378

Schedule of assets and liabilities subject to an enforceable master netting arrangement



	(i)		(ii)		(iii) = (i)-(ii)		(iv)				(v) = (iii)-(iv)
	Gross Amounts Recognized in the Statements of Condition		Gross Amounts Offset in the Statements of Condition		Net Amounts Presented in the Statements of Condition		Gross Amounts Not Offset in the Statements of Condition
(dollars in thousands)							Netting Adjustments per Master Netting Arrangements		Fair Value of Collateral Pledged ¹		Net Amount
December 31, 2017
Assets:
Interest Rate Swap Agreements:
Institutional Counterparties	$	5,453	$	—	$	5,453	$	4,017	$	—	$	1,436

Liabilities:
Interest Rate Swap Agreements:
Institutional Counterparties	4,017		—		4,017		4,017		—		—

Repurchase Agreements:
Private Institutions	500,000		—		500,000		—		500,000		—
Government Entities	5,293		—		5,293		—		5,293		—
Total Repurchase Agreements	$	505,293	$	—	$	505,293	$	—	$	505,293	$	—

December 31, 2016
Assets:
Interest Rate Swap Agreements:
Institutional Counterparties	$	5,094	$	—	$	5,094	$	5,094	$	—	$	—

Liabilities:
Interest Rate Swap Agreements:
Institutional Counterparties	6,489		—		6,489		5,094		500		895

Repurchase Agreements:
Private Institutions	500,000		—		500,000		—		500,000		—
Government Entities	23,378		—		23,378		—		23,378		—
Total Repurchase Agreements	$	523,378	$	—	$	523,378	$	—	$	523,378	$	—

Commitments, Contingencies, and Guarantees (Tables)

12 Months Ended

Dec. 31, 2017

Commitments and Contingencies Disclosure [Abstract]

Credit commitments

The Company’s credit commitments as of December 31, 2017 were as follows:



(dollars in thousands)	December 31, 2017
Unfunded Commitments to Extend Credit	$	2,780,724
Standby Letters of Credit	60,519
Commercial Letters of Credit	18,036
Total	$	2,859,279

Schedule of rental expense

Rental expense for all operating leases for the years ended December 31, 2017, 2016, and 2015 were as follows:



(dollars in thousands)	2017			2016			2015
Minimum Rentals	$	18,331		$	18,377		$	18,826
Sublease Rental Income	(7,056		)	(6,551		)	(6,212		)
Total	$	11,275		$	11,826		$	12,614

Schedule of future minimum payments for capital leases and non-cancelable operating leases

Future minimum payments for capital leases and non-cancelable operating leases with initial or remaining terms of one year or more consisted of the following as of December 31, 2017:



(dollars in thousands)	Capital Leases			Operating Leases
2018	$	825		$	12,521
2019	825			10,756
2020	825			10,111
2021	825			9,300
2022	825			8,959
Thereafter	24,755			97,836
Total Future Minimum Lease Payments	28,880			$	149,483
Amounts Representing Interest	(18,164		)
Present Value of Net Future Minimum Lease Payments	$	10,716

Fair Value of Assets and Liabilities (Tables)

12 Months Ended

Dec. 31, 2017

Fair Value Disclosures [Abstract]

Balances of assets and liabilities measured at fair value on a recurring basis

The table below presents the balances of assets and liabilities measured at fair value on a recurring basis as of December 31, 2017 and 2016:



(dollars in thousands)	Quoted Prices In Active Markets for Identical Assets or Liabilities (Level 1)			Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)			Total
December 31, 2017
Assets:
Investment Securities Available-for-Sale
Debt Securities Issued by the U.S. Treasury and Government Agencies		$	538		$	425,392		$	—	$	425,930
Debt Securities Issued by States and Political Subdivisions		—			627,019			—		627,019
Debt Securities Issued by Corporations		—			266,111			—		266,111
Mortgage-Backed Securities:
Residential - Government Agencies		—			235,360			—		235,360
Residential - U.S. Government-Sponsored Enterprises		—			609,812			—		609,812
Commercial - Government Agencies		—			68,747			—		68,747
Total Mortgage-Backed Securities		—			913,919			—		913,919
Total Investment Securities Available-for-Sale		538			2,232,441			—		2,232,979
Loans Held for Sale		—			19,231			—		19,231
Mortgage Servicing Rights		—			—			1,454		1,454
Other Assets		29,230			—			—		29,230
Derivatives¹		—			146			10,372		10,518
Total Assets Measured at Fair Value on a Recurring Basis as of December 31, 2017		$	29,768		$	2,251,818		$	11,826	$	2,293,412

Liabilities:
Derivatives¹		$	—		$	215		$	9,478	$	9,693
Total Liabilities Measured at Fair Value on a Recurring Basis as of December 31, 2017		$	—		$	215		$	9,478	$	9,693

December 31, 2016
Assets:
Investment Securities Available-for-Sale
Debt Securities Issued by the U.S. Treasury and Government Agencies		$	539		$	408,176		$	—	$	408,715
Debt Securities Issued by States and Political Subdivisions		—			671,799			—		671,799
Debt Securities Issued by Corporations		—			269,179			—		269,179
Mortgage-Backed Securities:
Residential - Government Agencies		—			243,844			—		243,844
Residential - U.S. Government-Sponsored Enterprises		—			506,987			—		506,987
Commercial - Government Agencies		—			85,517			—		85,517
Total Mortgage-Backed Securities		—			836,348			—		836,348
Total Investment Securities Available-for-Sale		539			2,185,502			—		2,186,041
Loans Held for Sale		—			62,499			—		62,499
Mortgage Servicing Rights		—			—			1,655		1,655
Other Assets		21,952			—			—		21,952
Derivatives¹		—			926			12,805		13,731
Total Assets Measured at Fair Value on a Recurring Basis as of December 31, 2016		$	22,491		$	2,248,927		$	14,460	$	2,285,878

Liabilities:
Derivatives¹		$	—		$	836		$	11,752	$	12,588
Total Liabilities Measured at Fair Value on a Recurring Basis as of December 31, 2016		$	—		$	836		$	11,752	$	12,588

¹The fair value of each class of derivatives is shown in Note 17 Derivative Financial Instruments.

Changes in Level 3 assets and liabilities measured at fair value on a recurring basis

For the years ended December 31, 2017 and 2016, the changes in Level 3 assets and liabilities measured at fair value on a recurring basis were as follows:



(dollars in thousands)	Mortgage Servicing Rights ¹				Net Derivative Assets and Liabilities ²
Year Ended December 31, 2017
Balance as of January 1, 2017		$	1,655			$	1,053
Realized and Unrealized Net Gains (Losses):
Included in Net Income		(201		)		5,648
Transfers to Loans Held for Sale		—				(5,921		)
Variation Margin Payments		—				114
Balance as of December 31, 2017		$	1,454			$	894
Total Unrealized Net Gains (Losses) Included in Net Income Related to Assets Still Held as of December 31, 2017		$	—			$	894

Year Ended December 31, 2016
Balance as of January 1, 2016		$	1,970			$	240
Realized and Unrealized Net Gains (Losses):
Included in Net Income		(315		)		7,850
Transfers to Loans Held for Sale		—				(7,037		)
Balance as of December 31, 2016		$	1,655			$	1,053
Total Unrealized Net Gains (Losses) Included in Net Income Related to Assets Still Held as of December 31, 2016		$	—			$	1,053


¹	Realized and unrealized gains and losses related to mortgage servicing rights are reported as a component of mortgage banking income in the Company’s consolidated statements of income.


²	Realized and unrealized gains and losses related to interest rate lock commitments are reported as a component of mortgage banking income in the Company’s consolidated statements of income. Realized and unrealized gains and losses related to interest rate swap agreements are reported as a component of other noninterest income in the Company’s consolidated statements of income.

Summary of the significant unobservable inputs



		Significant Unobservable Inputs (weighted-average)					Fair Value
			December 31,				December 31,
(dollars in thousands)	Valuation Technique	Description	2017		2016		2017		2016
Mortgage Servicing Rights	Discounted Cash Flow	Constant Prepayment Rate ¹	8.50	%	8.13	%	$	28,170	$	26,803
		Discount Rate ²	8.87	%	9.33	%

Net Derivative Assets and Liabilities:
Interest Rate Lock Commitments	Pricing Model	Closing Ratio	93.25	%	92.26	%	$	789	$	1,067
Interest Rate Swap Agreements	Discounted Cash Flow	Credit Factor	0.10	%	0.13	%	$	105	$	(14	)

¹Represents annualized loan prepayment rate assumption.

²Derived from multiple interest rate scenarios that incorporate a spread to a market yield curve and market volatilities.

Assets and liabilities measured at fair value on a nonrecurring basis

For the years ended December 31, 2017 and 2016, there were no material adjustments to fair value for the Company’s assets and liabilities measured at fair value on a nonrecurring basis in accordance with GAAP.

Schedule of difference between the aggregate fair value and the aggregate unpaid principal balance of the Company's residential mortgage loans held for sale



(dollars in thousands)	Aggregate Fair Value		Aggregate Unpaid Principal			Aggregate Fair Value Less Aggregate Unpaid Principal
December 31, 2017
Loans Held for Sale	$	19,231		$	18,854		$	377

December 31, 2016
Loans Held for Sale	$	62,499		$	61,782		$	717

Schedule of carrying amount, fair value, and fair value hierarchy of financial instruments



					Fair Value Measurements
(dollars in thousands)	Carrying Amount		Fair Value		Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)
December 31, 2017
Financial Instruments – Assets
Investment Securities Held-to-Maturity	$	3,928,170	$	3,894,121	$	373,640	$	3,520,481	$	—
Loans ¹	9,436,506		9,519,369		—		—		9,519,369

Financial Instruments – Liabilities
Time Deposits	1,688,092		1,679,684		—		1,679,684		—
Securities Sold Under Agreements to Repurchase	505,293		505,278		—		505,278		—
Other Debt ²	250,000		248,520		—		248,520		—

December 31, 2016
Financial Instruments – Assets
Investment Securities Held-to-Maturity	$	3,832,997	$	3,827,527	$	530,940	$	3,296,587	$	—
Loans ¹	8,583,726		8,743,191		—		—		8,743,191

Financial Instruments – Liabilities
Time Deposits	1,217,707		1,213,705		—		1,213,705		—
Securities Sold Under Agreements to Repurchase	523,378		523,374		—		523,374		—
Other Debt ²	257,153		256,718		—		256,718		—


¹	Net of unearned income and the Allowance.


²	Excludes capitalized lease obligations.

- Definition

Tabular disclosure of the application of the fair value option for measurement and reporting of eligible financial assets and liabilities (as defined), as well as certain other eligible items (as defined) included in the statement of financial position, whether such option is elected for a single eligible item or a group of similar eligible items and is in addition to other disclosures concerning fair value which the company may be required to provide. Such disclosure might be expected to include: (1) for items included in the statement of financial position: (a) for each line item in the statement of financial position that includes an item or items for which the fair value option has been elected, provide the aggregate carrying amount of ineligible items included in each line item in the balance sheet, if any; (b) the difference between the aggregate fair value and the aggregate unpaid principal balance (assuming contractual principal amounts and fair value option elected) of: (i) loans and long-term receivables (other than securities otherwise reported at fair value) and (ii) long-term debt instruments; (c) for loans held as assets for which the fair value option has been elected: (i) the aggregate fair value of loans that are 90 days or more past due, (ii) if the policy is to recognize interest income separately from other changes in fair value, the aggregate fair value of loans in nonaccrual status, and (iii) the difference between the aggregate fair value and the aggregate unpaid principal balance for loans that are 90 days or more past due, in nonaccrual status, or both; (2) for items included in the income statement: (a) the amounts of gains and losses from fair value changes included in earnings and in which line in the income statement those gains and losses are reported whether or not combined with gains and losses from items required to be accounted for at fair value; (b) for loans and other receivables held as assets, the estimated amount of gains or losses included in earnings attributable to changes in instrument-specific credit risk; (c) for liabilities with fair values that have been significantly affected during the reporting period by changes in the instrument-specific credit risk, the estimated amount of gains and losses from fair value changes included in earnings that are attributable to changes in the instrument-specific credit risk; and (3) certain other disclosures as required or determined to be provided.

+ References + Details

Bank of Hawaii Corporation Financial Statements (Tables)

12 Months Ended

Dec. 31, 2017

Condensed Financial Information of Parent Company Only Disclosure [Abstract]

Schedule of condensed statements of income

Condensed Statements of Comprehensive Income



	Year Ended December 31,
(dollars in thousands)	2017			2016			2015
Income
Dividends from Bank of Hawaii	$	130,000		$	120,000		$	115,000
Investment Securities Gains (Losses), Net	12,027			(340		)	9,870
Other Income	204			279			973
Total Income	142,231			119,939			125,843
Noninterest Expense
Intercompany Salaries and Services	720			705			651
Other Expenses	1,401			1,392			2,325
Total Noninterest Expense	2,121			2,097			2,976
Income Before Income Tax Benefit and Equity in Undistributed Income of Subsidiaries	140,110			117,842			122,867
Income Tax Benefit (Expense)	(3,557		)	2,137			(1,670		)
Equity in Undistributed Income of Subsidiaries	48,119			61,482			39,507
Net Income	$	184,672		$	181,461		$	160,704
Comprehensive Income	$	183,863		$	171,112		$	163,833

Schedule of condensed statements of condition

Condensed Statements of Condition



(dollars in thousands)	December 31, 2017		December 31, 2016
Assets
Cash with Bank of Hawaii	$	49,669	$	51,915
Investment Securities Held-to-Maturity	4,986		4,973
Goodwill	14,129		14,129
Income Taxes Receivable and Deferred Tax Assets	2,567		2,071
Other Assets	8,233		7,744
Equity in Net Assets of Subsidiaries	1,161,037		1,095,077
Total Assets	$	1,240,621	$	1,175,909

Liabilities
Income Taxes Payable	$	517	$	6,273
Other Liabilities	8,236		8,099
Total Liabilities	8,753		14,372
Shareholders' Equity	1,231,868		1,161,537
Total Liabilities and Shareholders' Equity	$	1,240,621	$	1,175,909

Schedule of condensed statements of cash flows

Condensed Statements of Cash Flows



	Year Ended December 31,
(dollars in thousands)	2017			2016			2015
Operating Activities
Net Income	$	184,672		$	181,461		$	160,704
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Share-Based Compensation	573			558			639
Net (Gains) Losses on Sales of Investment Securities	(12,027		)	340			(9,870		)
Equity in Undistributed Income of Subsidiaries	(48,119		)	(61,482		)	(39,507		)
Net Change in Other Assets and Other Liabilities	(6,477		)	1,508			(481		)
Net Cash Provided by Operating Activities	118,622			122,385			111,485

Investing Activities
Capital Distribution from BOHC Investment Fund LLC	613			—			—
Capital Contributions to the Bank	(12,467		)	—			(10,179		)
Proceeds from (Expenses related to) Sales of Investment Securities	12,027			(340		)	9,870
Net Cash Provided by (Used in) Investing Activities	173			(340		)	(309		)

Financing Activities
Proceeds from Issuance of Common Stock	13,101			9,079			15,364
Repurchase of Common Stock	(47,076		)	(61,807		)	(52,981		)
Cash Dividends Paid	(87,066		)	(81,157		)	(78,367		)
Net Cash Used in Financing Activities	(121,041		)	(133,885		)	(115,984		)

Net Change in Cash and Cash Equivalents	(2,246		)	(11,840		)	(4,808		)
Cash and Cash Equivalents at Beginning of Period	51,915			63,755			68,563
Cash and Cash Equivalents at End of Period	$	49,669		$	51,915		$	63,755

Summary of Significant Accounting Policies (VIEs, Receivables and loans, Cash Equivalents) (Details 1) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($) class segment component	Dec. 31, 2016 USD ($)
Variable Interest Entity [Line Items]
Unfunded commitments to fund low-income housing partnerships	$ 17,453
Loans and Leases
Number of portfolio segments of loans and leases (commercial and consumer) \| segment	2
Number of classes of loans and leases determined by management \| class	8
Loans modified in a troubled debt restructuring
Period during which non-accrual loan that has been modified in a troubled debt restructuring remains on non-accrual status (in months)	6 months
Number of components of company's reserve for credit losses \| component	2
Cash and Cash Equivalents
Maximum original maturity period of cash and cash equivalents (in days)	90 days
Low-income housing partnerships
Variable Interest Entity [Line Items]
Period over which tax credits or benefits are generally recognized (in years)	10 years
Solar energy partnerships
Variable Interest Entity [Line Items]
Period over which tax credits or benefits are generally recognized (in years)	6 years
Commercial
Non-Performing Loans and Leases
Minimum maturity period to be considered to place loans and leases on non-accrual status (in days)	90 days
Residential mortgage and home equity loan
Non-Performing Loans and Leases
Minimum maturity period to be considered to place loans and leases on non-accrual status (in days)	120 days
Home Equity
Non-Performing Loans and Leases
Minimum maturity period to be considered for loans and leases to be charged off (in days)	120 days
Home Equity \| Maximum
Non-Performing Loans and Leases
Combined loan-to-value ratio, considered in determining whether the entire outstanding balance on the loan is to be charged-off or not (as a percent)	60.00%
Automobile and Other consumer
Non-Performing Loans and Leases
Minimum maturity period to be considered for loans and leases to be charged off (in days)	120 days
Credit Cards
Non-Performing Loans and Leases
Minimum maturity period to be considered for loans and leases to be charged off (in days)	180 days
Commercial and Industrial
Non-Performing Loans and Leases
Minimum maturity period to be considered for loans and leases to be charged off (in days)	120 days
Other Assets
Variable Interest Entity [Line Items]
Variable Interest Entity, Nonconsolidated, Carrying Amount, Assets	$ 87,600	$ 78,900
Other Liabilities
Variable Interest Entity [Line Items]
Unfunded commitments to fund low-income housing partnerships	$ 17,500	$ 16,200

Summary of Significant Accounting Policies (Property and equipment and other) (Details 2) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) plan	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Pension and Postretirement Benefit Plans
Number of company's pension plans \| plan	2
Minimum percentage of net acturial gain (loss) will be amortized in net periodic benefit cost	10.00%
Income Taxes
Minimum percentage of likelihood of tax position being realized upon ultimate settlement according to management's judgment	50.00%
Advertising Costs
Advertising costs \| $	$ 6.0	$ 6.0	$ 5.3
Maximum \| Building
Premises and Equipment
Estimated useful lives (in years)	30 years
Maximum \| Equipment
Premises and Equipment
Estimated useful lives (in years)	10 years

Restrictions on Cash (Details 1) - USD ($) $ in Millions	Dec. 31, 2017	Dec. 31, 2016
Cash and Cash Equivalents [Abstract]
Required minimum average reserve balance based on the amount of deposits held with the Federal Reserve Bank	$ 73.2	$ 153.4

Investment Securities (Amortization Cost, Unrealized Gains/Losses, and Fair Value) (Details 1) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Held-to-Maturity Securities [Abstract]
Held-to-Maturity: Amortized Cost	$ 3,928,170	$ 3,832,997	$ 3,982,736
Held-to-Maturity: Gross Unrealized Gains	20,949	34,274	50,771
Held-to-Maturity: Gross Unrealized Losses	(54,998)	(39,744)	(27,095)
Held-to-Maturity: Fair Value	3,894,121	3,827,527	4,006,412
Held-to-maturity Securities, Amortized Cost before Other than Temporary Impairment	3,928,170
Available-for-Sale Securities [Abstract]:
Available-for-Sale: Amortized Cost	2,236,144	2,183,943	2,236,073
Available-for-Sale: Gross Unrealized Gains	15,695	19,539	34,120
Available-for-Sale: Gross Unrealized Losses	(18,860)	(17,441)	(13,375)
Available-for-Sale	2,232,979	2,186,041	2,256,818
Debt Securities Issued by the U.S. Treasury and Government Agencies
Available-for-Sale Securities [Abstract]:
Available-for-Sale: Amortized Cost	424,912	407,478	356,260
Available-for-Sale: Gross Unrealized Gains	2,053	2,531	3,472
Available-for-Sale: Gross Unrealized Losses	(1,035)	(1,294)	(838)
Available-for-Sale	425,930	408,715	358,894
Debt Securities Issued by States and Political Subdivisions
Available-for-Sale Securities [Abstract]:
Available-for-Sale: Amortized Cost	618,167	662,231	709,724
Available-for-Sale: Gross Unrealized Gains	9,894	11,455	22,498
Available-for-Sale: Gross Unrealized Losses	(1,042)	(1,887)	(304)
Available-for-Sale	627,019	671,799	731,918
Debt Securities Issued by Corporations
Available-for-Sale Securities [Abstract]:
Available-for-Sale: Amortized Cost	268,003	273,044	313,136
Available-for-Sale: Gross Unrealized Gains	199	5	236
Available-for-Sale: Gross Unrealized Losses	(2,091)	(3,870)	(4,502)
Available-for-Sale	266,111	269,179	308,870
Residential - Government Agencies
Available-for-Sale Securities [Abstract]:
Available-for-Sale: Amortized Cost	233,268	240,412	310,966
Available-for-Sale: Gross Unrealized Gains	3,129	4,577	6,546
Available-for-Sale: Gross Unrealized Losses	(1,037)	(1,145)	(1,267)
Available-for-Sale	235,360	243,844	316,245
Residential - U.S. Government Sponsored Enterprises
Available-for-Sale Securities [Abstract]:
Available-for-Sale: Amortized Cost	619,795	511,234	442,760
Available-for-Sale: Gross Unrealized Gains	420	971	1,368
Available-for-Sale: Gross Unrealized Losses	(10,403)	(5,218)	(2,264)
Available-for-Sale	609,812	506,987	441,864
Commercial - Government Agencies
Available-for-Sale Securities [Abstract]:
Available-for-Sale: Amortized Cost	71,999	89,544	103,227
Available-for-Sale: Gross Unrealized Gains	0	0	0
Available-for-Sale: Gross Unrealized Losses	(3,252)	(4,027)	(4,200)
Available-for-Sale	68,747	85,517	99,027
Mortgage-Backed Securities
Available-for-Sale Securities [Abstract]:
Available-for-Sale: Amortized Cost	925,062	841,190	856,953
Available-for-Sale: Gross Unrealized Gains	3,549	5,548	7,914
Available-for-Sale: Gross Unrealized Losses	(14,692)	(10,390)	(7,731)
Available-for-Sale	913,919	836,348	857,136
Debt Securities Issued by the U.S. Treasury and Government Agencies
Held-to-Maturity Securities [Abstract]
Held-to-Maturity: Amortized Cost	375,074	530,149	489,747
Held-to-Maturity: Gross Unrealized Gains	18	1,562	1,359
Held-to-Maturity: Gross Unrealized Losses	(1,451)	(771)	(1,139)
Held-to-Maturity: Fair Value	373,641	530,940	489,967
Debt Securities Issued by States and Political Subdivisions
Held-to-Maturity Securities [Abstract]
Held-to-Maturity: Amortized Cost	238,504	242,295	245,980
Held-to-Maturity: Gross Unrealized Gains	9,125	9,991	17,114
Held-to-Maturity: Gross Unrealized Losses	0	0	0
Held-to-Maturity: Fair Value	247,629	252,286	263,094
Debt Securities Issued by Corporations
Held-to-Maturity Securities [Abstract]
Held-to-Maturity: Amortized Cost	119,635	135,620	151,301
Held-to-Maturity: Gross Unrealized Gains	123	416	368
Held-to-Maturity: Gross Unrealized Losses	(1,591)	(1,528)	(2,041)
Held-to-Maturity: Fair Value	118,167	134,508	149,628
Residential - Government Agencies
Held-to-Maturity Securities [Abstract]
Held-to-Maturity: Amortized Cost	2,229,985	1,940,076	2,191,138
Held-to-Maturity: Gross Unrealized Gains	9,975	20,567	27,893
Held-to-Maturity: Gross Unrealized Losses	(37,047)	(23,861)	(19,067)
Held-to-Maturity: Fair Value	2,202,913	1,936,782	2,199,964
Residential - U.S. Government Sponsored Enterprises
Held-to-Maturity Securities [Abstract]
Held-to-Maturity: Amortized Cost	763,312	752,768	647,762
Held-to-Maturity: Gross Unrealized Gains	911	798	1,656
Held-to-Maturity: Gross Unrealized Losses	(11,255)	(10,919)	(2,616)
Held-to-Maturity: Fair Value	752,968	742,647	646,802
Commercial - Government Agencies
Held-to-Maturity Securities [Abstract]
Held-to-Maturity: Amortized Cost	201,660	232,089
Held-to-Maturity: Gross Unrealized Gains	797	940	2,381
Held-to-Maturity: Gross Unrealized Losses	(3,654)	(2,665)	(2,232)
Held-to-Maturity: Fair Value	198,803	230,364	256,957
Held-to-maturity Securities, Amortized Cost before Other than Temporary Impairment			256,808
Mortgage-Backed Securities
Held-to-Maturity Securities [Abstract]
Held-to-Maturity: Amortized Cost	3,194,957	2,924,933	3,095,708
Held-to-Maturity: Gross Unrealized Gains	11,683	22,305	31,930
Held-to-Maturity: Gross Unrealized Losses	(51,956)	(37,445)	(23,915)
Held-to-Maturity: Fair Value	$ 3,154,684	$ 2,909,793	$ 3,103,723

Investment Securities (Contractual Maturities and Narrative) (Details 2) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Available-for-Sale Securities, Debt Maturities, Single Maturity Date, Amortized Cost Basis Rolling Maturity [Abstract]
Due in One Year or Less	$ 88,977
Due After One Year Through Five Years	624,650
Due After Five Years Through Ten Years	149,994
Due After Ten Years	23,100
Available-for-Sale, Total	886,721
Available-for-Sale Securities, Debt Maturities, Single Maturity Date, Rolling Maturities [Abstract]
Due in One Year or Less	89,096
Due After One Year Through Five Years	625,547
Due After Five Years Through Ten Years	154,890
Due After Ten Years	24,134
Fair Value, Total	893,667
Available-for-Sale: Amortized Cost	2,236,144	$ 2,183,943	$ 2,236,073
Available-for-Sale: Fair Value	2,232,979	2,186,041	2,256,818
Held-to-Maturity Securities, Debt Maturities, Single Maturity Date, Amortized Cost Basis, Rolling Maturity [Abstract]
Due in One Year or Less	259,939
Due After One Year Through Five Years	206,180
Due After Five Years Through Ten Years	239,550
Due After Ten Years	27,544
Amortized Cost, Total	733,213
Held-to-Maturity Securities, Debt Maturities, Single Maturity Date, Fair Value, Rolling Maturities [Abstract]
Due in One Year or Less	259,478
Due After One Year Through Five Years	207,551
Due After Five Years Through Ten Years	243,623
Due After Ten Years	28,785
Fair Value, Total	739,437
Held-to-Maturity: Amortized Cost	3,928,170
Held-to-Maturity: Fair Value	3,894,121	3,827,527	4,006,412
Carrying value of investment securities which were pledged to secure deposits of gov't entities and repos	2,400,000	2,400,000	2,500,000
Debt Securities Issued by Government Agencies
Available-for-Sale Securities, Debt Maturities, Single Maturity Date, Rolling Maturities [Abstract]
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed Securities: Amortized Cost	424,361
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed-Securities: Fair Value	425,393
Mortgage-Backed Securities
Available-for-Sale Securities, Debt Maturities, Single Maturity Date, Rolling Maturities [Abstract]
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed Securities: Amortized Cost	925,062
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed-Securities: Fair Value	913,919
Available-for-Sale: Amortized Cost	925,062	841,190	856,953
Available-for-Sale: Fair Value	913,919	836,348	857,136
Residential - Government Agencies
Available-for-Sale Securities, Debt Maturities, Single Maturity Date, Rolling Maturities [Abstract]
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed Securities: Amortized Cost	233,268
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed-Securities: Fair Value	235,360
Available-for-Sale: Amortized Cost	233,268	240,412	310,966
Available-for-Sale: Fair Value	235,360	243,844	316,245
Residential - U.S. Government Sponsored Enterprises
Available-for-Sale Securities, Debt Maturities, Single Maturity Date, Rolling Maturities [Abstract]
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed Securities: Amortized Cost	619,795
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed-Securities: Fair Value	609,812
Available-for-Sale: Amortized Cost	619,795	511,234	442,760
Available-for-Sale: Fair Value	609,812	506,987	441,864
Commercial - Government Agencies
Available-for-Sale Securities, Debt Maturities, Single Maturity Date, Rolling Maturities [Abstract]
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed Securities: Amortized Cost	71,999
Available-for-sale Securities, Debt Securities Issued by Government Agencies and Mortgage-Backed-Securities: Fair Value	68,747
Available-for-Sale: Amortized Cost	71,999	89,544	103,227
Available-for-Sale: Fair Value	68,747	85,517	99,027
Residential - Government Agencies
Held-to-Maturity Securities, Debt Maturities, Single Maturity Date, Fair Value, Rolling Maturities [Abstract]
Held-to-Maturity: Mortgage-Backed-Securities: Amortized Cost	2,229,985
Held-to-Maturity: Mortgage-Backed-Securities: Fair Value	2,202,913
Held-to-Maturity: Fair Value	2,202,913	1,936,782	2,199,964
Residential - U.S. Government Sponsored Enterprises
Held-to-Maturity Securities, Debt Maturities, Single Maturity Date, Fair Value, Rolling Maturities [Abstract]
Held-to-Maturity: Mortgage-Backed-Securities: Amortized Cost	763,312
Held-to-Maturity: Mortgage-Backed-Securities: Fair Value	752,968
Held-to-Maturity: Fair Value	752,968	742,647	646,802
Commercial - Government Agencies
Held-to-Maturity Securities, Debt Maturities, Single Maturity Date, Fair Value, Rolling Maturities [Abstract]
Held-to-Maturity: Mortgage-Backed-Securities: Amortized Cost	201,660
Held-to-Maturity: Mortgage-Backed-Securities: Fair Value	198,803
Held-to-Maturity: Amortized Cost			256,808
Held-to-Maturity: Fair Value	198,803	230,364	256,957
Mortgage-Backed Securities
Held-to-Maturity Securities, Debt Maturities, Single Maturity Date, Fair Value, Rolling Maturities [Abstract]
Held-to-Maturity: Mortgage-Backed-Securities: Amortized Cost	3,194,957
Held-to-Maturity: Mortgage-Backed-Securities: Fair Value	3,154,684
Held-to-Maturity: Fair Value	$ 3,154,684	$ 2,909,793	$ 3,103,723

Investment Securities (Gains and Losses on Sales) (Details 3) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Investments, Debt and Equity Securities [Abstract]
Gross Gains on Sales of Investment Securities	$ 12,467	$ 11,180	$ 11,640
Gross Losses on Sales of Investment Securities	(2,037)	(977)	(1,480)
Net Gains on Sales of Investment Securities	10,430	10,203	10,160
Tax on Sale of Investment Securities	$ 4,100	$ 4,000	$ 4,000

Investment Securities (Unrealized Position - Less than 12 Mos., 12 Mos. or Longer) (Details 4) $ in Thousands	Dec. 31, 2017 USD ($) security	Dec. 31, 2016 USD ($)
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	$ 729,547	$ 863,072
Less Than 12 Months, Gross Unrealized Losses	(7,370)	(8,620)
12 Months or Longer, Fair Value	555,984	384,379
12 Months or Longer, Gross Unrealized Losses	(11,490)	(8,821)
Total Fair Value	1,285,531	1,247,451
Total Gross Unrealized Losses	(18,860)	(17,441)
Held-to-Maturity Securities, Continuous Unrealized Loss Position [Abstract]
Due in One Year or Less	88,977
Less Than 12 Months, Fair Value	1,604,272	1,855,387
Less than 12 Months, Gross Unrealized Losses	(16,015)	(30,571)
12 Months or Longer, Fair Value	1,274,325	265,963
12 Months or Longer, Gross Unrealized Losses	(38,983)	(9,173)
Total, Fair Value	2,878,597	2,121,350
Total Gross Unrealized Losses	$ (54,998)	(39,744)
Number of Investment Securities in Unrealized Loss Position \| security	410
Debt Securities Issued by the U.S. Treasury and Government Agencies
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	$ 103,842	143,715
Less Than 12 Months, Gross Unrealized Losses	(599)	(562)
12 Months or Longer, Fair Value	132,071	89,211
12 Months or Longer, Gross Unrealized Losses	(436)	(732)
Total Fair Value	235,913	232,926
Total Gross Unrealized Losses	(1,035)	(1,294)
Debt Securities Issued by States and Political Subdivisions
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	172,343	211,188
Less Than 12 Months, Gross Unrealized Losses	(1,032)	(1,873)
12 Months or Longer, Fair Value	734	6,725
12 Months or Longer, Gross Unrealized Losses	(10)	(14)
Total Fair Value	173,077	217,913
Total Gross Unrealized Losses	(1,042)	(1,887)
Debt Securities Issued by Corporations
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	12,985	67,332
Less Than 12 Months, Gross Unrealized Losses	(15)	(714)
12 Months or Longer, Fair Value	192,927	196,838
12 Months or Longer, Gross Unrealized Losses	(2,076)	(3,156)
Total Fair Value	205,912	264,170
Total Gross Unrealized Losses	(2,091)	(3,870)
Mortgage-Backed Securities
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	440,377	440,837
Less Than 12 Months, Gross Unrealized Losses	(5,724)	(5,471)
12 Months or Longer, Fair Value	230,252	91,605
12 Months or Longer, Gross Unrealized Losses	(8,968)	(4,919)
Total Fair Value	670,629	532,442
Total Gross Unrealized Losses	(14,692)	(10,390)
Residential - Government Agencies
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	11,035	38,355
Less Than 12 Months, Gross Unrealized Losses	(4)	(89)
12 Months or Longer, Fair Value	10,618	11,185
12 Months or Longer, Gross Unrealized Losses	(1,033)	(1,056)
Total Fair Value	21,653	49,540
Total Gross Unrealized Losses	(1,037)	(1,145)
Residential - U.S. Government Sponsored Enterprises
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	429,342	397,385
Less Than 12 Months, Gross Unrealized Losses	(5,720)	(5,218)
12 Months or Longer, Fair Value	150,887	0
12 Months or Longer, Gross Unrealized Losses	(4,683)	0
Total Fair Value	580,229	397,385
Total Gross Unrealized Losses	(10,403)	(5,218)
Commercial - Government Agencies
Available-for-sale Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	0	5,097
Less Than 12 Months, Gross Unrealized Losses	0	(164)
12 Months or Longer, Fair Value	68,747	80,420
12 Months or Longer, Gross Unrealized Losses	(3,252)	(3,863)
Total Fair Value	68,747	85,517
Total Gross Unrealized Losses	(3,252)	(4,027)
Debt Securities Issued by the U.S. Treasury and Government Agencies
Held-to-Maturity Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	254,283	169,926
Less than 12 Months, Gross Unrealized Losses	(532)	(771)
12 Months or Longer, Fair Value	89,391	0
12 Months or Longer, Gross Unrealized Losses	(919)	0
Total, Fair Value	343,674	169,926
Total Gross Unrealized Losses	(1,451)	(771)
Debt Securities Issued by Corporations
Held-to-Maturity Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	25,490	69,601
Less than 12 Months, Gross Unrealized Losses	(110)	(971)
12 Months or Longer, Fair Value	58,869	15,933
12 Months or Longer, Gross Unrealized Losses	(1,481)	(557)
Total, Fair Value	84,359	85,534
Total Gross Unrealized Losses	(1,591)	(1,528)
Mortgage-Backed Securities
Held-to-Maturity Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	1,324,499	1,615,860
Less than 12 Months, Gross Unrealized Losses	(15,373)	(28,829)
12 Months or Longer, Fair Value	1,126,065	250,030
12 Months or Longer, Gross Unrealized Losses	(36,583)	(8,616)
Total, Fair Value	2,450,564	1,865,890
Total Gross Unrealized Losses	(51,956)	(37,445)
Residential - Government Agencies
Held-to-Maturity Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	1,030,472	835,227
Less than 12 Months, Gross Unrealized Losses	(12,262)	(15,313)
12 Months or Longer, Fair Value	704,545	231,377
12 Months or Longer, Gross Unrealized Losses	(24,785)	(8,548)
Total, Fair Value	1,735,017	1,066,604
Total Gross Unrealized Losses	(37,047)	(23,861)
Residential - U.S. Government Sponsored Enterprises
Held-to-Maturity Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	293,530	693,047
Less than 12 Months, Gross Unrealized Losses	(3,106)	(10,919)
12 Months or Longer, Fair Value	339,232	0
12 Months or Longer, Gross Unrealized Losses	(8,149)	0
Total, Fair Value	632,762	693,047
Total Gross Unrealized Losses	(11,255)	(10,919)
Commercial - Government Agencies
Held-to-Maturity Securities, Continuous Unrealized Loss Position [Abstract]
Less Than 12 Months, Fair Value	497	87,586
Less than 12 Months, Gross Unrealized Losses	(5)	(2,597)
12 Months or Longer, Fair Value	82,288	18,653
12 Months or Longer, Gross Unrealized Losses	(3,649)	(68)
Total, Fair Value	82,785	106,239
Total Gross Unrealized Losses	$ (3,654)	$ (2,665)

Investment Securities (Interest Income - Taxable/Non-Taxable Invest. Sec.) (Details 5) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Investments, Debt and Equity Securities [Abstract]
Interest Income from Investment Securities, Taxable	$ 108,787	$ 100,541	$ 109,912
Interest Income from Investment Securities, Non-Taxable	19,725	20,438	21,230
Total Interest Income from Investment Securities	$ 128,512	$ 120,979	$ 131,142

Investment Securities (Municipal Bond Narrative) (Details 6) $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($)
Schedule of Available-for-sale Securities [Line Items]
Municipal Debt Securities Issued by One Single State or Political Subdivision as Percentage of Total Fair Value of Entire Municipal Debt Securities Threshold	10.00%
HAWAII \| Debt Securities Issued by States and Political Subdivisions
Schedule of Available-for-sale Securities [Line Items]
Debt Securities Issued by State and Political Subdivision, State of Hawaii	$ 496.8
Municipal Debt Securities \| Geographic Concentration Risk \| HAWAII \| Debt Securities Issued by States and Political Subdivisions
Schedule of Available-for-sale Securities [Line Items]
Concentration Risk, Percentage	57.00%
Hawaiian Municipal Debt Securities \| Investment Concentration Risk \| HAWAII \| General Obligation Bond
Schedule of Available-for-sale Securities [Line Items]
Concentration Risk, Percentage	78.00%
Moody's, Aa2 or Better Rating \| Hawaiian Municipal Debt Securities \| Investment Concentration Risk \| HAWAII \| Debt Securities Issued by States and Political Subdivisions
Schedule of Available-for-sale Securities [Line Items]
Concentration Risk, Percentage	95.00%

Investment Securities (FHLB and FRB Stocks) (Details 7) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Investments, Debt and Equity Securities [Abstract]
Federal Home Loan Bank Stock	$ 20,000	$ 20,000
Federal Reserve Bank Stock	20,645	20,063
Total	$ 40,645	$ 40,063

Investment Securities (Visa Class B Restricted Shares Narrative) (Details 8) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($) shares	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Net Investment Income [Line Items]
Net Gains on Sales of Investment Securities \| $	$ 10,430	$ 10,203	$ 10,160
Visa Class B Restricted Securities
Net Investment Income [Line Items]
Conversion ratio to Class A shares	1.6483
Net Gains on Sales of Investment Securities \| $	$ 12,100
Sale of investment securities, shares	90,000
Equity securities remaining, shares	86,614
Visa Class A Unrestricted Securities
Net Investment Income [Line Items]
Equity securities remaining, shares	142,766

Loans and Leases and the Allowance for Loan and Lease Losses (Loans and Leases Portolio & Narrative) (Details 1) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Loan and lease portfolio
Loans and Leases	$ 9,796,947	$ 8,949,785	$ 7,878,985
Unearned income on loans and leases	20,200	36,300
Commercial loans and residential mortgage loans pledged to secure an undrawn FRB line of credit	1,000,000	1,100,000
Residential mortgage loans pledged under a blanket pledge arrangement to secure FHLB advance	2,900,000	2,300,000
Net gains related to sales of residential mortgage loans	4,900	11,800	5,900
Commercial
Loan and lease portfolio
Loans and Leases	3,766,498	3,617,692	3,153,852
Commercial \| Commercial and Industrial
Loan and lease portfolio
Loans and Leases	1,279,347	1,249,791
Commercial \| Commercial Mortgage
Loan and lease portfolio
Loans and Leases	2,103,967	1,889,551
Commercial \| Construction
Loan and lease portfolio
Loans and Leases	202,253	270,018
Commercial \| Lease Financing
Loan and lease portfolio
Loans and Leases	180,931	208,332
Consumer
Loan and lease portfolio
Loans and Leases	6,030,449	5,332,093	$ 4,725,133
Consumer \| Residential Mortgage
Loan and lease portfolio
Loans and Leases	3,466,773	3,163,073
Consumer \| Home Equity
Loan and lease portfolio
Loans and Leases	1,585,455	1,334,163
Consumer \| Automobile
Loan and lease portfolio
Loans and Leases	528,474	454,333
Consumer \| Other
Loan and lease portfolio
Loans and Leases	$ 449,747	$ 380,524

Loans and Leases and the Allowance for Loan and Lease Losses (Allowance for Loan and Lease Losses) (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Allowance for Loan and Lease Losses:
Balance at the Beginning of Period	$ 104,273	$ 102,880	$ 108,688
Loans and Leases Charged-Off	(23,255)	(18,509)	(16,439)
Recoveries on Loans and Leases Previously Charged-Off	9,428	15,152	9,631
Net Loans and Leases Recovered (Charged-Off)	(13,827)	(3,357)	(6,808)
Provision for Credit Losses	16,900	4,750	1,000
Balance at End of Period	107,346	104,273	102,880
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment				$ 3,916	$ 3,555	$ 3,578
Collectively Evaluated for Impairment				103,430	100,718	99,302
Total	104,273	102,880	108,688	107,346	104,273	102,880
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment				61,218	60,698	66,697
Collectively Evaluated for Impairment				9,735,729	8,889,087	7,812,288
Total Loans and Leases				9,796,947	8,949,785	7,878,985
Commercial
Allowance for Loan and Lease Losses:
Balance at the Beginning of Period	65,680	60,714	64,551
Loans and Leases Charged-Off	(1,408)	(865)	(954)
Recoveries on Loans and Leases Previously Charged-Off	1,485	8,137	2,173
Net Loans and Leases Recovered (Charged-Off)	77	7,272	1,219
Provision for Credit Losses	65	(2,306)	(5,056)
Balance at End of Period	65,822	65,680	60,714
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment				141	45	205
Collectively Evaluated for Impairment				65,681	65,635	60,509
Total	65,680	60,714	64,551	65,822	65,680	60,714
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment				20,216	21,572	27,950
Collectively Evaluated for Impairment				3,746,282	3,596,120	3,125,902
Total Loans and Leases				3,766,498	3,617,692	3,153,852
Consumer
Allowance for Loan and Lease Losses:
Balance at the Beginning of Period	38,593	42,166	44,137
Loans and Leases Charged-Off	(21,847)	(17,644)	(15,485)
Recoveries on Loans and Leases Previously Charged-Off	7,943	7,015	7,458
Net Loans and Leases Recovered (Charged-Off)	(13,904)	(10,629)	(8,027)
Provision for Credit Losses	16,835	7,056	6,056
Balance at End of Period	41,524	38,593	42,166
Allowance for Loan and Lease Losses:
Individually Evaluated for Impairment				3,775	3,510	3,373
Collectively Evaluated for Impairment				37,749	35,083	38,793
Total	$ 38,593	$ 42,166	$ 44,137	41,524	38,593	42,166
Recorded Investment in Loans and Leases:
Individually Evaluated for Impairment				41,002	39,126	38,747
Collectively Evaluated for Impairment				5,989,447	5,292,967	4,686,386
Total Loans and Leases				$ 6,030,449	$ 5,332,093	$ 4,725,133

Loans and Leases and the Allowance for Loan and Lease Losses (Aging Analysis) (Details 4) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	$ 15,080	$ 18,075
Total Past Due and Non-Accrual	61,352	67,494
Current	9,735,595	8,882,291
Total Loans and Leases	9,796,947	8,949,785	$ 7,878,985
Non-Accrual Loans and Leases that are Current	$ 2,896	3,059
Number of days non-accrual loans and leases are not past due	30 days
30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	$ 29,465	35,272
60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	9,660	7,077
Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	7,147	7,070
Commercial
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	1,846	1,148
Total Past Due and Non-Accrual	7,274	13,007
Current	3,759,224	3,604,685
Total Loans and Leases	3,766,498	3,617,692	3,153,852
Non-Accrual Loans and Leases that are Current	778	416
Commercial \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	4,383	10,826
Commercial \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	1,045	1,033
Commercial \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	0	0
Commercial \| Commercial and Industrial
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	448	151
Total Past Due and Non-Accrual	5,285	11,865
Current	1,274,062	1,237,926
Total Loans and Leases	1,279,347	1,249,791
Non-Accrual Loans and Leases that are Current	313	0
Commercial \| Commercial and Industrial \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	4,196	10,698
Commercial \| Commercial and Industrial \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	641	1,016
Commercial \| Commercial and Industrial \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	0	0
Commercial \| Commercial Mortgage
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	1,398	997
Total Past Due and Non-Accrual	1,989	1,142
Current	2,101,978	1,888,409
Total Loans and Leases	2,103,967	1,889,551
Non-Accrual Loans and Leases that are Current	465	416
Commercial \| Commercial Mortgage \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	187	128
Commercial \| Commercial Mortgage \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	404	17
Commercial \| Commercial Mortgage \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	0	0
Commercial \| Construction
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	0	0
Total Past Due and Non-Accrual	0	0
Current	202,253	270,018
Total Loans and Leases	202,253	270,018
Non-Accrual Loans and Leases that are Current	0	0
Commercial \| Construction \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	0	0
Commercial \| Construction \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	0	0
Commercial \| Construction \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	0	0
Commercial \| Lease Financing
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	0	0
Total Past Due and Non-Accrual	0	0
Current	180,931	208,332
Total Loans and Leases	180,931	208,332
Non-Accrual Loans and Leases that are Current	0	0
Commercial \| Lease Financing \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	0	0
Commercial \| Lease Financing \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	0	0
Commercial \| Lease Financing \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	0	0
Consumer
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	13,234	16,927
Total Past Due and Non-Accrual	54,078	54,487
Current	5,976,371	5,277,606
Total Loans and Leases	6,030,449	5,332,093	$ 4,725,133
Non-Accrual Loans and Leases that are Current	2,118	2,643
Consumer \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	25,082	24,446
Consumer \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	8,615	6,044
Consumer \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	7,147	7,070
Consumer \| Residential Mortgage
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	9,243	13,780
Total Past Due and Non-Accrual	21,769	23,504
Current	3,445,004	3,139,569
Total Loans and Leases	3,466,773	3,163,073
Non-Accrual Loans and Leases that are Current	806	1,628
Consumer \| Residential Mortgage \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	7,815	6,491
Consumer \| Residential Mortgage \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	2,008	106
Consumer \| Residential Mortgage \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	2,703	3,127
Consumer \| Home Equity
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	3,991	3,147
Total Past Due and Non-Accrual	10,883	9,911
Current	1,574,572	1,324,252
Total Loans and Leases	1,585,455	1,334,163
Non-Accrual Loans and Leases that are Current	1,312	1,015
Consumer \| Home Equity \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	2,532	3,063
Consumer \| Home Equity \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	2,736	2,244
Consumer \| Home Equity \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	1,624	1,457
Consumer \| Automobile
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	0	0
Total Past Due and Non-Accrual	14,846	14,748
Current	513,628	439,585
Total Loans and Leases	528,474	454,333
Non-Accrual Loans and Leases that are Current	0	0
Consumer \| Automobile \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	11,728	11,692
Consumer \| Automobile \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	2,232	2,162
Consumer \| Automobile \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	886	894
Consumer \| Other
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Non-Accrual	0	0
Total Past Due and Non-Accrual	6,580	6,324
Current	443,167	374,200
Total Loans and Leases	449,747	380,524
Non-Accrual Loans and Leases that are Current	0	0
Consumer \| Other \| 30 to 59 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	3,007	3,200
Consumer \| Other \| 60 to 89 Days Past Due
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	1,639	1,532
Consumer \| Other \| Past Due 90 Days or More
Aging Analysis of Accruing and Non-Accruing Loans and Leases
Days Past Due	$ 1,934	$ 1,592

Loans and Leases and the Allowance for Loan and Lease Losses (Impaired Loans) (Details 5) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Impaired Loans Information:
Impaired Loans with No Related Allowance, Recorded Investment	$ 18,205	$ 20,442
Impaired Loans with No Related Allowance, Unpaid Principal Balance	29,358	30,904
Impaired Loans with Related Allowance, Recorded Investment	43,013	40,256
Impaired Loans with Related Allowance, Unpaid Principal Balance	47,756	45,246
Related Allowance for Loan Losses	3,916	3,555
Recorded Investment	61,218	60,698
Unpaid Principal Balance	77,114	76,150
Impaired Loans with No Related Allowance, Average Recorded Investment	19,525	22,225
Impaired Loans with No Related Allowance, Interest Income Recognized	744	903
Impaired Loans with Related Allowance, Average Recorded Investment	40,893	39,898
Impaired Loans with Related Allowance, Interest Income Recognized	2,063	1,805
Average Recorded Investment	60,418	62,123	$ 66,400
Interest Income Recognized	2,807	2,708	$ 2,600
Commercial
Impaired Loans Information:
Impaired Loans with No Related Allowance, Recorded Investment	18,205	20,442
Impaired Loans with No Related Allowance, Unpaid Principal Balance	29,358	30,904
Impaired Loans with Related Allowance, Recorded Investment	2,011	1,130
Impaired Loans with Related Allowance, Unpaid Principal Balance	2,011	1,130
Related Allowance for Loan Losses	141	45
Recorded Investment	20,216	21,572
Unpaid Principal Balance	31,369	32,034
Impaired Loans with No Related Allowance, Average Recorded Investment	19,525	22,225
Impaired Loans with No Related Allowance, Interest Income Recognized	744	903
Impaired Loans with Related Allowance, Average Recorded Investment	1,399	1,090
Impaired Loans with Related Allowance, Interest Income Recognized	96	81
Average Recorded Investment	20,924	23,315
Interest Income Recognized	840	984
Commercial \| Commercial and Industrial
Impaired Loans Information:
Impaired Loans with No Related Allowance, Recorded Investment	8,094	9,556
Impaired Loans with No Related Allowance, Unpaid Principal Balance	15,747	16,518
Impaired Loans with Related Allowance, Recorded Investment	811	765
Impaired Loans with Related Allowance, Unpaid Principal Balance	811	765
Related Allowance for Loan Losses	21	24
Impaired Loans with No Related Allowance, Average Recorded Investment	8,810	10,760
Impaired Loans with No Related Allowance, Interest Income Recognized	351	463
Impaired Loans with Related Allowance, Average Recorded Investment	709	939
Impaired Loans with Related Allowance, Interest Income Recognized	42	72
Commercial \| Commercial Mortgage
Impaired Loans Information:
Impaired Loans with No Related Allowance, Recorded Investment	8,696	9,373
Impaired Loans with No Related Allowance, Unpaid Principal Balance	12,196	12,873
Impaired Loans with Related Allowance, Recorded Investment	1,200
Impaired Loans with Related Allowance, Unpaid Principal Balance	1,200
Related Allowance for Loan Losses	120
Impaired Loans with No Related Allowance, Average Recorded Investment	9,251	9,906
Impaired Loans with No Related Allowance, Interest Income Recognized	299	339
Impaired Loans with Related Allowance, Average Recorded Investment	690	151
Impaired Loans with Related Allowance, Interest Income Recognized	54	9
Commercial \| Construction
Impaired Loans Information:
Impaired Loans with No Related Allowance, Recorded Investment	1,415	1,513
Impaired Loans with No Related Allowance, Unpaid Principal Balance	1,415	1,513
Impaired Loans with No Related Allowance, Average Recorded Investment	1,464	1,559
Impaired Loans with No Related Allowance, Interest Income Recognized	94	101
Consumer
Impaired Loans Information:
Impaired Loans with Related Allowance, Recorded Investment	41,002	39,126
Impaired Loans with Related Allowance, Unpaid Principal Balance	45,745	44,116
Related Allowance for Loan Losses	3,775	3,510
Recorded Investment	41,002	39,126
Unpaid Principal Balance	45,745	44,116
Impaired Loans with Related Allowance, Average Recorded Investment	39,494	38,808
Impaired Loans with Related Allowance, Interest Income Recognized	1,967	1,724
Average Recorded Investment	39,494	38,808
Interest Income Recognized	1,967	1,724
Consumer \| Residential Mortgage
Impaired Loans Information:
Impaired Loans with Related Allowance, Recorded Investment	21,581	25,625
Impaired Loans with Related Allowance, Unpaid Principal Balance	26,324	30,615
Related Allowance for Loan Losses	3,118	3,224
Impaired Loans with Related Allowance, Average Recorded Investment	22,981	27,436
Impaired Loans with Related Allowance, Interest Income Recognized	845	962
Consumer \| Home Equity
Impaired Loans Information:
Impaired Loans with Related Allowance, Recorded Investment	1,965	1,516
Impaired Loans with Related Allowance, Unpaid Principal Balance	1,965	1,516
Related Allowance for Loan Losses	276	15
Impaired Loans with Related Allowance, Average Recorded Investment	1,707	1,395
Impaired Loans with Related Allowance, Interest Income Recognized	82	66
Consumer \| Automobile
Impaired Loans Information:
Impaired Loans with Related Allowance, Recorded Investment	14,811	9,660
Impaired Loans with Related Allowance, Unpaid Principal Balance	14,811	9,660
Related Allowance for Loan Losses	305	206
Impaired Loans with Related Allowance, Average Recorded Investment	12,235	7,974
Impaired Loans with Related Allowance, Interest Income Recognized	825	522
Consumer \| Other
Impaired Loans Information:
Impaired Loans with Related Allowance, Recorded Investment	2,645	2,325
Impaired Loans with Related Allowance, Unpaid Principal Balance	2,645	2,325
Related Allowance for Loan Losses	76	65
Impaired Loans with Related Allowance, Average Recorded Investment	2,571	2,003
Impaired Loans with Related Allowance, Interest Income Recognized	$ 215	174
Commercial Mortgage [Member]
Impaired Loans Information:
Impaired Loans with Related Allowance, Recorded Investment		365
Impaired Loans with Related Allowance, Unpaid Principal Balance		365
Related Allowance for Loan Losses		$ 21

Loans and Leases and the Allowance for Loan and Lease Losses (Troubled Debt Restrucuring & Narrative) (Details 6) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($) contract	Dec. 31, 2016 USD ($) contract
Information related to loans modified as a TDR
Recorded Investment (narrative)	$ 60,100	$ 60,000
Available Commitments to Lend Additional Funds on Loans Modified as TDR	$ 1,500	$ 400
Number of Contracts \| contract	618	485
Recorded Investment (as of period end)	$ 20,625	$ 14,381
Increase in Allowance (as of period end)	$ 330	$ 723
Residential Mortgage \| Maximum
Information related to loans modified as a TDR
Period of Time Loan Being Fully amortized	40 years
Land Loans \| Maximum
Information related to loans modified as a TDR
Period of Time Loan Being Fully amortized	360 months
Extending balloon payments	5 years
Commercial
Information related to loans modified as a TDR
Number of Contracts \| contract	17	7
Recorded Investment (as of period end)	$ 9,635	$ 3,729
Increase in Allowance (as of period end)	$ 104	$ 41
Commercial \| Commercial and Industrial
Information related to loans modified as a TDR
Number of Contracts \| contract	13	6
Recorded Investment (as of period end)	$ 7,299	$ 3,525
Increase in Allowance (as of period end)	$ 11	$ 21
Commercial \| Commercial Mortgage
Information related to loans modified as a TDR
Number of Contracts \| contract	4	1
Recorded Investment (as of period end)	$ 2,336	$ 204
Increase in Allowance (as of period end)	$ 93	$ 20
Consumer
Information related to loans modified as a TDR
Number of Contracts \| contract	601	478
Recorded Investment (as of period end)	$ 10,990	$ 10,652
Increase in Allowance (as of period end)	$ 226	$ 682
Consumer \| Residential Mortgage
Information related to loans modified as a TDR
Number of Contracts \| contract	2	10
Recorded Investment (as of period end)	$ 368	$ 3,146
Increase in Allowance (as of period end)	$ 1	$ 522
Consumer \| Home Equity
Information related to loans modified as a TDR
Number of Contracts \| contract	4	2
Recorded Investment (as of period end)	$ 604	$ 651
Increase in Allowance (as of period end)	$ 13	$ 7
Consumer \| Automobile
Information related to loans modified as a TDR
Number of Contracts \| contract	424	267
Recorded Investment (as of period end)	$ 8,623	$ 5,451
Increase in Allowance (as of period end)	$ 177	$ 116
Consumer \| Other
Information related to loans modified as a TDR
Number of Contracts \| contract	171	199
Recorded Investment (as of period end)	$ 1,395	$ 1,404
Increase in Allowance (as of period end)	$ 35	$ 37

Loans and Leases and the Allowance for Loan and Lease Losses (Troubled Debt Restructuring's that Defaulted During the Period) (Details 7) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($) contract	Dec. 31, 2016 USD ($) contract
Information related to loans modified as a TDR
Number of Contracts, TDRs that Defaulted \| contract	68	64
Recorded Investment (as of period ended), TDRs that Defaulted \| $	$ 1,443	$ 2,253
Minimum
Information related to loans modified as a TDR
Default period past due following modification of loans in TDR (in days)	60 days
Commercial
Information related to loans modified as a TDR
Number of Contracts, TDRs that Defaulted \| contract	2	0
Recorded Investment (as of period ended), TDRs that Defaulted \| $	$ 389	$ 0
Commercial \| Commercial and Industrial
Information related to loans modified as a TDR
Number of Contracts, TDRs that Defaulted \| contract	1	0
Recorded Investment (as of period ended), TDRs that Defaulted \| $	$ 48	$ 0
Commercial \| Commercial Mortgage
Information related to loans modified as a TDR
Number of Contracts, TDRs that Defaulted \| contract	1	0
Recorded Investment (as of period ended), TDRs that Defaulted \| $	$ 341	$ 0
Consumer
Information related to loans modified as a TDR
Number of Contracts, TDRs that Defaulted \| contract	66	64
Recorded Investment (as of period ended), TDRs that Defaulted \| $	$ 1,054	$ 2,253
Consumer \| Residential Mortgage
Information related to loans modified as a TDR
Number of Contracts, TDRs that Defaulted \| contract	1	4
Recorded Investment (as of period ended), TDRs that Defaulted \| $	$ 94	$ 1,445
Consumer \| Home Equity
Information related to loans modified as a TDR
Number of Contracts, TDRs that Defaulted \| contract	1	1
Recorded Investment (as of period ended), TDRs that Defaulted \| $	$ 237	$ 157
Consumer \| Automobile
Information related to loans modified as a TDR
Number of Contracts, TDRs that Defaulted \| contract	28	19
Recorded Investment (as of period ended), TDRs that Defaulted \| $	$ 515	$ 373
Consumer \| Other
Information related to loans modified as a TDR
Number of Contracts, TDRs that Defaulted \| contract	36	40
Recorded Investment (as of period ended), TDRs that Defaulted \| $	$ 208	$ 278

Loans and Leases and the Allowance for Loan and Lease Losses (Foreclosure Proceedings Narrative) (Details 8) $ in Millions	Dec. 31, 2017 USD ($)
Loans and Leases and Allowance for Loan and Lease Losses [Abstract]
Consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure	$ 6.2

Mortgage Servicing Rights (Narrative) (Details 1) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Transfers and Servicing of Financial Assets [Abstract]
Residential Mortgage Loans Serviced for Third Parties	$ 2,900.0	$ 2,700.0	$ 2,700.0
Servicing income, including late and ancillary fees	$ 7.1	$ 6.9	$ 7.2

Mortgage Servicing Rights (Fair value method rollforward) (Details 2) - Mortgage Servicing Rights - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Change in fair value of the mortgage servicing rights accounted for under the fair value measurement method
Balance at Beginning of Year	$ 1,655	$ 1,970	$ 2,604
Changes in Fair Value:
Due to Change in Valuation Assumptions	0	0	(251)
Due to Payoffs	(201)	(315)	(383)
Total Changes in Fair Value of Mortgage Servicing Rights	(201)	(315)	(634)
Balance at End of Year	$ 1,454	$ 1,655	$ 1,970

Mortgage Servicing Rights (Amortization method rollforward) (Details 3) - Mortgage Servicing Rights - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Change in Carrying Value of Mortgage Servicing Rights Accounted for Under the Amortization Method, Net of a Valuation Allowance
Balance at beginning of Year	$ 22,008	$ 21,032	$ 22,091
Servicing Rights that Resulted From Asset Transfers	3,976	3,847	1,737
Amortization	(2,816)	(2,892)	(2,832)
Valuation Allowance Provision	0	21	36
Balance at end of Year	23,168	22,008	21,032
Valuation Allowance [Roll Forward]
Balance at Beginning of Year	0	(21)	(57)
Valuation Allowance Provision	0	21	36
Balance at End of Year	0	0	(21)
Fair Value:
Balance at Beginning of Year	25,148	24,804	22,837
Balance at End of Year	$ 26,716	$ 25,148	$ 24,804

Mortgage Servicing Rights (Key assumptions) (Details 4) - Mortgage Servicing Rights	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Key assumptions used in estimating the fair value of mortgage servicing rights
Weighted-Average Constant Prepayment Rate (as a percent)	8.50%	8.13%
Weighted-Average Life (in years)	7 years 1 month 4 days	7 years 5 months 5 days
Weighted-Average Note Rate (as a percent)	4.04%	4.10%
Weighted-Average Discount Rate (as a percent)	8.87%	9.33%

Mortgage Servicing Rights (Sensitivity analysis) (Details 5) - Mortgage Servicing Rights - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Constant Prepayment Rate
Decrease in fair value from 25 basis points ("bps") adverse change	$ (332)	$ (321)
Decrease in fair value from 50 bps adverse change	(657)	(636)
Discount Rate
Decrease in fair value from 25 bps adverse change	(289)	(288)
Decrease in fair value from 50 bps adverse change	$ (572)	$ (570)

Premises and Equipment (Details 1) - USD ($) $ in Thousands	12 Months Ended
Premises and Equipment (Details 1) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Premises and Equipment
Cost	$ 468,387	$ 445,094
Accumulated Depreciation and Amortization	(337,461)	(331,589)
Net Book Value	130,926	113,505
Depreciation and amortization (including capital lease amortization) included in noninterest expense	13,000	12,900	$ 12,800
Premises
Premises and Equipment
Cost	331,566	321,144
Accumulated Depreciation and Amortization	(243,069)	(240,567)
Net Book Value	88,497	80,577
Impairment charge	0	0	$ 0
Equipment
Premises and Equipment
Cost	130,228	117,356
Accumulated Depreciation and Amortization	(90,319)	(87,021)
Net Book Value	39,909	30,335
Capital leases
Premises and Equipment
Cost	6,593	6,594
Accumulated Depreciation and Amortization	(4,073)	(4,001)
Net Book Value	$ 2,520	$ 2,593

Other Assets (Details 1) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Components of Other Assets
Federal Home Loan Bank and Federal Reserve Bank Stock	$ 40,645	$ 40,063
Derivative Financial Instruments	10,518	13,731
Low-Income Housing and Other Equity Investments	87,632	78,900
Deferred Compensation Plan Assets	29,230	21,952
Prepaid Expenses	7,944	7,355
Accounts Receivable	43,195	12,584
Other	33,432	20,123
Total Other Assets	$ 252,596	$ 194,708

Time Deposits (Details 1) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Time deposits classified according to the contractual maturities
2018	$ 1,398,406
2019	89,687
2020	56,400
2021	99,993
2022	34,847
Thereafter	8,759
Total	1,688,092	$ 1,217,707
Time deposits with balances of $100,000 or more, classified according to the contractual maturities
Three Months or Less	589,189
Over Three Months through Six Months	366,737
Over Six Months through Twelve Months	318,193
Over Twelve Months	167,306
Total	1,441,425	1,000,000
Government entity deposits	$ 1,300,000	$ 1,100,000

Borrowings (Short-term borrowings) (Details 1) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Short-term Borrowings
Securities Sold Under Agreements to Repurchase	$ 505,293	$ 523,378
Funds Purchased
Short-term Borrowings
Amounts Outstanding	$ 0	$ 9,616
Weighted Average Interest Rate (as a percent)	0.00%	0.15%
Securities Sold Under Agreements to Repurchase
Short-term Borrowings
Amounts Outstanding	$ 1,603	$ 23,278
Weighted Average Interest Rate (as a percent)	0.14%	0.31%
Long-term Repurchase Agreements with Government Entities
Short-term Borrowings
Securities Sold Under Agreements to Repurchase	$ 3,700	$ 100
Long-term Repurchase Agreements with Private Institutions
Short-term Borrowings
Securities Sold Under Agreements to Repurchase	$ 500,000	$ 500,000

- Definition

Amount, after the effects of master netting arrangements, of funds outstanding borrowed in the form of a security repurchase agreement between the entity and another party for the sale and repurchase of identical or substantially the same securities at a date certain for a specified price. Includes liabilities not subject to a master netting arrangement and not elected to be offset.

+ References + Details

Borrowings (Narrative) (Details 2) $ in Thousands	Dec. 31, 2017 USD ($) D Y	Dec. 31, 2016 USD ($)
Securities sold under repurchase agreements
Securities Sold Under Agreements to Repurchase	$ 505,293	$ 523,378
Long-term Repurchase Agreements with Government Entities
Securities sold under repurchase agreements
Securities Sold Under Agreements to Repurchase	$ 3,700	100
Repurchase agreements, Weighted average interest rate (as a percent)	0.82%
Repurchase agreements, Weighted average maturity period (in days or years) \| D	181
Long-term Repurchase Agreements with Private Institutions
Securities sold under repurchase agreements
Securities Sold Under Agreements to Repurchase	$ 500,000	$ 500,000
Repurchase agreements, Weighted average interest rate (as a percent)	3.64%
Repurchase agreements, Weighted average maturity period (in days or years) \| Y	3.6
Repurchase agreements, Decreased weighted average maturity period if agreements terminated at earlier specified dates (in years) \| Y	2.6

- Definition

+ References + Details

Other Debt (Details 1) - USD ($) $ in Thousands	12 Months Ended
Other Debt (Details 1) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Other Debt
Federal Home Loan Bank, Advances, Weighted Average Interest Rate (as a percent)	1.28%
Total	$ 260,716	$ 267,938
Maximum percentage of the total assets that can be borrowed from the FHLB by the entity	35.00%
Federal Home Loan Bank Advance
Other Debt
Federal Home Loan Bank Advances	$ 250,000	250,000
Undrawn line of credit with the FHLB or FRB	2,000,000
Non-Recourse Debt
Other Debt
Non-Recourse Debt	0	7,153
Capital Lease Obligations
Other Debt
Capital Lease Obligations	$ 10,716	$ 10,785
Lease term (in years)	60 years
Fixed lease payments through December 2022	$ 800
Federal Reserve Bank Advance
Other Debt
Undrawn line of credit with the FHLB or FRB	$ 529,800

Other Debt (Excluding capital lease obligation, annual maturities) (Details 2) - Non-Recourse Debt and Federal Home Loan Bank Advance $ in Thousands	Dec. 31, 2017 USD ($)
Annual Maturities of Other Debt Exclusive of Capital Lease Obligations
2018	$ 175,000
2019	50,000
2020	25,000
2021	0
2022	0
Thereafter	0
Total	$ 250,000

Shareholders' Equity (Capital) (Details 1) $ / shares in Units, $ in Thousands	2 Months Ended	12 Months Ended			198 Months Ended
	Feb. 14, 2018 USD ($) $ / shares shares	Dec. 31, 2017 USD ($) Y $ / shares shares	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2017 USD ($) $ / shares shares	Dec. 31, 2014 USD ($)
Minimum required capital amounts and ratios for well capitalized institutions and the actual capital amounts [Line Items]
Shareholders' Equity		$ 1,231,868	$ 1,161,537	$ 1,116,260	$ 1,231,868	$ 1,055,086
Common Equity Tier One Capital		1,238,063	1,168,228		1,238,063
Tier 1 Capital		1,238,063	1,168,228		1,238,063
Total Capital		$ 1,352,231	$ 1,278,528		$ 1,352,231
Well Capitalized Minimum Common Equity Tier One Ratio (as a percent)		6.50%	6.50%		6.50%
Common Equity Tier One Ratio		13.24%	13.24%		13.24%
Well Capitalized Minimum Tier 1 Capital Ratio (as a percent)		8.00%	8.00%		8.00%
Tier 1 Capital Ratio (as a percent)		13.24%	13.24%		13.24%
Well Capitalized Minimum Total Capital Ratio (as a percent)		10.00%	10.00%		10.00%
Total Capital Ratio (as a percent)		14.46%	14.49%		14.46%
Well Capitalized Minimum Tier 1 Leverage Ratio (as a percent)		5.00%	5.00%		5.00%
Tier 1 Leverage Ratio (as a percent)		7.26%	7.21%		7.26%
Dividends
Number of prior calendar years considered for payment of dividends in excess of the sum of net income \| Y		2
Common Stock Repurchase Program
Number of shares of common stock repurchased \| shares		549,199			54,200,000
Amount returned to shareholders on stock repurchase		$ 47,076	$ 61,807	$ 52,981	$ 2,000,000
Average cost of shares repurchased (in dollars per share) \| $ / shares		$ 81.91			$ 38.29
Treasury Stock Value Acquired Cost Method Share Repurchase Program		$ 45,000
Bank
Minimum required capital amounts and ratios for well capitalized institutions and the actual capital amounts [Line Items]
Shareholders' Equity		1,161,037	1,094,461		$ 1,161,037
Common Equity Tier One Capital		1,178,804	1,111,525		1,178,804
Tier 1 Capital		1,178,804	1,111,525		1,178,804
Total Capital		$ 1,292,972	$ 1,221,683		$ 1,292,972
Common Equity Tier One Ratio		12.62%	12.61%		12.62%
Tier 1 Capital Ratio (as a percent)		12.62%	12.61%		12.62%
Total Capital Ratio (as a percent)		13.85%	13.86%		13.85%
Tier 1 Leverage Ratio (as a percent)		6.92%	6.86%		6.92%
Subsequent Event
Common Stock Repurchase Program
Number of shares of common stock repurchased \| shares	80,000
Amount returned to shareholders on stock repurchase	$ 6,700
Average cost of shares repurchased (in dollars per share) \| $ / shares	$ 84.27

Shareholders' Equity (AOCI tax effect) (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Other Comprehensive Income, Before Tax:
Net Unrealized Gains (Losses) Arising During the Period	$ (5,263)	$ (18,647)	$ (5,448)
(Gain) Loss on Sale, before Tax			(190)
Amortization of Unrealized Holding (Gains) Losses on HTM Securities	1,982	1,605	2,136
Net Unrealized Gains (Losses) on Investment Securities	(3,281)	(17,042)	(3,502)
Net Actuarial Gains (Losses) Arising During the Period	884	(954)	7,335
Amortization of Net Actuarial Losses (Gains)	1,382	1,224	1,624
Amortization of Prior Service Credit, before tax	(322)	(322)	(322)
Defined Benefit Plans, Net	1,944	(52)	8,637
Other Comprehensive Income (Loss)	(1,337)	(17,094)	5,135
Other Comprehensive Income, Tax Effect:
Net Unrealized Gains Arising During the Period	(2,078)	(7,358)	(2,138)
(Gain) Loss on Sale, Tax			(75)
Amortization of Unrealized Holding (Gains) Losses on HTM Securities	783	634	836
Net Unrealized Gains (Losses) on Investment Securities	(1,295)	(6,724)	(1,377)
Net Actuarial Gains (Losses) Arising During the Period	349	(377)	2,869
Amortization of Net Actuarial Losses (Gains)	545	483	641
Amortization of Prior Service Credit	(127)	(127)	(127)
Defined Benefit Plans, Net	767	(21)	3,383
Other Comprehensive Income (Loss)	(528)	(6,745)	2,006
Other Comprehensive Income, Net of Tax:
Net Unrealized Gains (Losses) Arising During the Period	(3,185)	(11,289)	(3,310)
(Gain) Loss on Sale, Net of Tax			(115)
Amortization of Unrealized Holding (Gains) Losses on HTM Securities after Tax	1,199	971	1,300
Net Unrealized Gains (Losses) on Investment Securities	(1,986)	(10,318)	(2,125)
Net Actuarial Losses Arising During the Period	535	(577)	4,466
Amortization of Net Actuarial Losses (Gains)	837	741	983
Amortization of Prior Service Credit	(195)	(195)	(195)
Defined Benefit Plans, Net	1,177	(31)	5,254
Other Comprehensive Income (Loss)	$ (809)	$ (10,349)	$ 3,129

Shareholders' Equity (AOCI rollforward) (Details 3) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance at Beginning of Period	$ 1,161,537	$ 1,116,260	$ 1,055,086
Other Comprehensive Income (Loss)	(809)	(10,349)	3,129
Balance at End of Period	1,231,868	1,161,537	1,116,260
Defined Benefit Plans
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance at Beginning of Period	(28,892)	(28,861)	(34,115)
Other Comprehensive Income (Loss) Before Reclassification	535	(577)	4,466
Amounts Reclassified from Accumulated Other Comprehensive Income	642	546	788
Other Comprehensive Income (Loss)	1,177	(31)	5,254
Balance at End of Period	(27,715)	(28,892)	(28,861)
Accumulated Other Comprehensive Income (Loss)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance at Beginning of Period	(33,906)	(23,557)	(26,686)
Other Comprehensive Income (Loss) Before Reclassification	(2,650)	(11,866)	1,156
Amounts Reclassified from Accumulated Other Comprehensive Income	1,841	1,517	1,973
Other Comprehensive Income (Loss)	(809)	(10,349)	3,129
Balance at End of Period	(34,715)	(33,906)	(23,557)
Available-for-sale Securities \| Unrealized Gains and Losses on Net Investment Securities
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance at Beginning of Period	1,270	12,559	15,984
Other Comprehensive Income (Loss) Before Reclassification	(3,185)	(11,289)	(3,310)
Amounts Reclassified from Accumulated Other Comprehensive Income	0	0	(115)
Other Comprehensive Income (Loss)	(3,185)	(11,289)	(3,425)
Balance at End of Period	(1,915)	1,270	12,559
Held-to-maturity Securities \| Unrealized Gains and Losses on Net Investment Securities
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Balance at Beginning of Period	(6,284)	(7,255)	(8,555)
Other Comprehensive Income (Loss) Before Reclassification	0	0	0
Amounts Reclassified from Accumulated Other Comprehensive Income	1,199	971	1,300
Other Comprehensive Income (Loss)	1,199	971	1,300
Balance at End of Period	$ (5,085)	$ (6,284)	$ (7,255)

Shareholders' Equity (Income statement reclass) (Details 4) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Provision for Income Taxes	$ (83,392)	$ (78,133)	$ (70,498)
Salaries and Benefits	(205,536)	(201,150)	(191,963)
Net Income	184,672	181,461	160,704
Reclassification out of Accumulated Other Comprehensive Income
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Net Income	(1,841)	(1,517)	(1,973)
Amortization of Unrealized Gains(Losses) of Investment Securities Transferred from AFS to HTM [Member] \| Reclassification out of Accumulated Other Comprehensive Income
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Investment Income, Interest	(1,982)	(1,605)	(2,136)
Provision for Income Taxes	783	634	836
Net Income	(1,199)	(971)	(1,300)
Sale of Investment Securities Available-for-Sale \| Reclassification out of Accumulated Other Comprehensive Income
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Provision for Income Taxes	0	0	(75)
Available-for-sale Securities, Gross Realized Gain (Loss)	0	0	190
Net Income	0	0	115
Amortization of Defined Benefit Pension Items \| Reclassification out of Accumulated Other Comprehensive Income
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Provision for Income Taxes	418	356	514
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Extraordinary Items, Noncontrolling Interest	(1,060)	(902)	(1,302)
Net Income	(642)	(546)	(788)
Prior Service Credit \| Reclassification out of Accumulated Other Comprehensive Income
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Salaries and Benefits	322	322	322
Net Actuarial Losses \| Reclassification out of Accumulated Other Comprehensive Income
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Salaries and Benefits	$ (1,382)	$ (1,224)	$ (1,624)

Earnings Per Share (Details 1) - shares	12 Months Ended
Earnings Per Share (Details 1) - shares	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Earnings Per Share [Abstract]
Denominator for Basic Earnings Per Share (in shares)	42,280,931	42,644,100	43,217,818
Dilutive Effect of Equity Based Awards (in shares)	326,126	235,683	237,059
Denominator for Diluted Earnings Per Share (in shares)	42,607,057	42,879,783	43,454,877
Antidilutive Stock Options and Restricted Stock Outstanding (in shares)	0	0	0

Business Segments (Details 1) $ in Thousands	12 Months Ended
Business Segments (Details 1) $ in Thousands	Dec. 31, 2017 USD ($) atm branch	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Business segment financial information
Federal and State Effective Tax Rate used for Segment Reporting	37.00%
Net Interest Income	$ 457,238	$ 417,579	$ 394,087
Provision for Credit Losses	16,900	4,750	1,000
Net Interest Income After Provision for Credit Losses	440,338	412,829	393,087
Noninterest Income	185,417	197,343	186,219
Noninterest Expense	(357,691)	(350,578)	(348,104)
Income Before Provision for Income Taxes	268,064	259,594	231,202
Provision for Income Taxes	(83,392)	(78,133)	(70,498)
Net Income	184,672	181,461	160,704
Total Assets	$ 17,089,052	16,492,367	15,455,016
Retail Banking
Business segment financial information
Number of branch locations through which products and services are delivered to customers \| branch	69
Number of A T M s through which products and services delivered to customers \| atm	387
Net Interest Income	$ 264,041	242,967	202,259
Provision for Credit Losses	14,008	10,700	8,033
Net Interest Income After Provision for Credit Losses	250,033	232,267	194,226
Noninterest Income	85,042	91,824	82,391
Noninterest Expense	(209,807)	(208,389)	(199,572)
Income Before Provision for Income Taxes	125,268	115,702	77,045
Provision for Income Taxes	(44,545)	(41,067)	(27,330)
Net Income	80,723	74,635	49,715
Total Assets	5,936,568	5,342,078	4,680,888
Commercial Banking
Business segment financial information
Net Interest Income	171,038	156,080	143,944
Provision for Credit Losses	(160)	(7,322)	(1,165)
Net Interest Income After Provision for Credit Losses	171,198	163,402	145,109
Noninterest Income	21,670	26,967	22,191
Noninterest Expense	(74,209)	(70,405)	(77,500)
Income Before Provision for Income Taxes	118,659	119,964	89,800
Provision for Income Taxes	(41,797)	(42,667)	(31,375)
Net Income	76,862	77,297	58,425
Total Assets	3,742,991	3,565,912	3,099,175
Investment Services
Business segment financial information
Net Interest Income	29,693	24,714	18,494
Provision for Credit Losses	(21)	(23)	(43)
Net Interest Income After Provision for Credit Losses	29,714	24,737	18,537
Noninterest Income	57,105	57,396	58,835
Noninterest Expense	(61,674)	(59,782)	(57,852)
Income Before Provision for Income Taxes	25,145	22,351	19,520
Provision for Income Taxes	(9,303)	(8,270)	(7,222)
Net Income	15,842	14,081	12,298
Total Assets	336,455	280,410	274,469
Treasury and Other
Business segment financial information
Net Interest Income	(7,534)	(6,182)	29,390
Provision for Credit Losses	3,073	1,395	(5,825)
Net Interest Income After Provision for Credit Losses	(10,607)	(7,577)	35,215
Noninterest Income	21,600	21,156	22,802
Noninterest Expense	(12,001)	(12,002)	(13,180)
Income Before Provision for Income Taxes	(1,008)	1,577	44,837
Provision for Income Taxes	12,253	13,871	(4,571)
Net Income	11,245	15,448	40,266
Total Assets	$ 7,073,038	$ 7,303,967	$ 7,400,484

Employee Benefits (Defined contribution plans) (Details1 )	12 Months Ended
	Dec. 31, 2017 USD ($) components	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Defined Contribution Plans
Number of company contribution components, Retirement Savings Plan \| components	3
Fixed percentage of employer's contribution based on eligible compensation	3.00%
Employee contribution limit per calendar year (as a percent of compensation)	50.00%
Employee's contribution matched by employer (in dollars)	$ 1.00
Employer match of employee contributions upto 2% of eligible compensation	$ 1.25
Percentage of eligible compensation, matched $1.25 for by employer for each dollar amount contributed by participants	2.00%
Employer match of employee contributions over 2% upto 5% of eligible compensation	$ 0.50
Percentage of eligible compensation, matched $0.50 for by employer for each dollar amount contributed by participants, low end of range	2.00%
Percentage of eligible compensation, matched $0.50 for by employer for each dollar amount contributed by participants, high end of range	5.00%
Total expense for all components of the company's defined contribution plans	$ 13,500,000	$ 12,800,000	$ 12,000,000

Employee Benefits (Defined benefit and postretirement benefit plans) (Details 2)	12 Months Ended
	Dec. 31, 2017 USD ($) plan Y	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)
Pension Benefits
Employee benefits
Number of defined benefit plans \| plan	2
Reconciliation of changes in benefit obligations
Benefit Obligation at Beginning of Year	$ 107,593,000	$ 105,993,000
Service Cost	0	0	$ 0
Interest Cost	4,665,000	4,882,000	4,655,000
Defined Benefit Plan, Plan Amendments	0	0
Actuarial Losses (Gains)	6,828,000	2,708,000
Benefit Obligation at End of Year	110,080,000	107,593,000	105,993,000
Reconciliation of changes in fair value of plan assets
Fair Value of Plan Assets at Beginning of Year	83,383,000	83,858,000
Actual Return on Plan Assets	12,047,000	5,031,000
Employer Contributions	10,484,000	484,000
Employer Benefits Paid	(9,006,000)	(5,990,000)
Fair Value of Plan Assets at End of Year	96,908,000	83,383,000	83,858,000
Funded Status at End of Year	(13,172,000)	(24,210,000)
Amounts Recognized in Accumulated Other Comprehensive Income (Loss), Net of Tax
Net Actuarial Gains (Losses)	32,730,000	33,954,000
Prior Service Credit	0	0
Total Amounts Recognized in Accumulated Other Comprehensive Income, Net of Tax	$ (32,730,000)	(33,954,000)
Postretirement Benefits
Employee benefits
Retirees' age and above which Medicare supplemental plan subsidy is provided (in years) \| Y	65
Limit on annual credit provided in HRA to eligible employees	$ 1,200
Reconciliation of changes in benefit obligations
Benefit Obligation at Beginning of Year	24,308,000	25,307,000
Service Cost	453,000	513,000	621,000
Interest Cost	1,093,000	1,134,000	1,155,000
Defined Benefit Plan, Plan Amendments	(2,730,000)	0
Actuarial Losses (Gains)	2,052,000	(1,846,000)
Benefit Obligation at End of Year	24,206,000	24,308,000	25,307,000
Reconciliation of changes in fair value of plan assets
Fair Value of Plan Assets at Beginning of Year	0	0
Actual Return on Plan Assets	0	0
Employer Contributions	970,000	800,000
Employer Benefits Paid	(970,000)	(800,000)
Fair Value of Plan Assets at End of Year	0	0	$ 0
Funded Status at End of Year	(24,206,000)	(24,308,000)
Participants contributions	500,000	800,000
Amounts Recognized in Accumulated Other Comprehensive Income (Loss), Net of Tax
Net Actuarial Gains (Losses)	(3,143,000)	(4,647,000)
Prior Service Credit	1,872,000	415,000
Total Amounts Recognized in Accumulated Other Comprehensive Income, Net of Tax	5,015,000	5,062,000
Excess retirement Plan \| Pension Benefits
Employee benefits
Accumulated benefit obligation	$ 3,900,000	$ 4,000,000

Employee Benefits (Components fo net Periodic benefit cost) (Details 3) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Pension Benefits
Net periodic benefit cost for pension plans and the postretirement benefit plan
Service Cost	$ 0	$ 0	$ 0
Interest Cost	4,665	4,882	4,655
Expected Return on Plan Assets	(5,011)	(5,121)	(5,222)
Amortization of Prior Service Credit	0	0	0
Amortization of Net Actuarial Losses (Gains)	1,817	1,617	1,713
Net Periodic Benefit Cost	1,471	$ 1,378	$ 1,146
Estimated amount expected to be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost in next fiscal year
Net actuarial loss	$ 2,000
Weighted average assumptions used to determine the benefit obligations
Discount Rate (as a percent)	3.90%	4.45%
Weighted average assumptions used to determine the net periodic benefit cost
Discount rate (as a percent)	4.45%	4.70%	4.25%
Expected Long-Term Rate of Return on Plan Assets (as a percent)	5.75%	6.00%	6.00%
Health Care Cost Trend Rate (as a percent)	0.00%	0.00%	0.00%
Expected benefits to be paid in each of the next five years and in the aggregate for the five years thereafter
2015	$ 6,629
2016	6,812
2017	6,944
2018	7,070
2019	7,095
Years 2020-2024	35,416
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year	500
Postretirement Benefits
Net periodic benefit cost for pension plans and the postretirement benefit plan
Service Cost	453	$ 513	$ 621
Interest Cost	1,093	1,134	1,155
Expected Return on Plan Assets	0	0	0
Amortization of Prior Service Credit	(322)	(322)	(322)
Amortization of Net Actuarial Losses (Gains)	(435)	(393)	(89)
Net Periodic Benefit Cost	789	$ 932	$ 1,365
Estimated amount expected to be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost in next fiscal year
Net gain and prior service credit	$ 800
Weighted average assumptions used to determine the benefit obligations
Discount Rate (as a percent)	3.96%	4.57%
Health Care Cost Trend Rate Assumed For Next Year (as a percent)	6.30%	6.50%
Ultimate health care cost trend rate (as a percent)	4.50%
Year that reaches the ultimate health care cost trend rate	2036
Weighted average assumptions used to determine the net periodic benefit cost
Discount rate (as a percent)	4.57%	4.74%	4.28%
Expected Long-Term Rate of Return on Plan Assets (as a percent)	0.00%	0.00%	0.00%
Health Care Cost Trend Rate (as a percent)	6.50%	6.70%	7.00%
A one percent change in the health care cost trend rate assumption impact on cost
Effect of one percentage increase on the total of service and interest cost components of net periodic postretirement benefit cost	$ 99
Effect of one percentage increase on the postretirement benefit obligation	1,020
Effect of one percentage decrease on the total of service and interest cost components of net periodic postretirement benefit cost	(88)
Effect of one percentage decrease on the postretirement benefit obligation	(1,022)
Expected benefits to be paid in each of the next five years and in the aggregate for the five years thereafter
2015	886
2016	926
2017	995
2018	1,074
2019	1,181
Years 2020-2024	7,619
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year	$ 900

Employee Benefits (Retirement plan assets) (Details 4)	12 Months Ended
Employee Benefits (Retirement plan assets) (Details 4)	Dec. 31, 2017 D
Asset allocation guidelines
Effect of market fluctuations in cash flow on target allocation limits (as a percent)	5.00%
Period during which asset allocation is expected to conform to range limits (in days)	90
Minimum
Asset allocation guidelines
Fixed income securities, percentage of variable component in strategic targets (as a percent)	10.00%
Maximum
Asset allocation guidelines
Fixed income securities, percentage of variable component in strategic targets (as a percent)	20.00%
S&P 500 Index
Defined benefit pension plan disclosure
Performance benchmark (as a percent)	36.00%
MSCI EAFE Index
Defined benefit pension plan disclosure
Performance benchmark (as a percent)	24.00%
Barclays Capital Aggregate Bond Index
Defined benefit pension plan disclosure
Performance benchmark (as a percent)	40.00%
Equity Securities
Defined benefit pension plan disclosure
Target plan asset allocations	60.00%
Equity Securities, Domestic \| Minimum
Defined benefit pension plan disclosure
Target plan asset allocations	50.00%
Equity Securities, Domestic \| Maximum
Defined benefit pension plan disclosure
Target plan asset allocations	100.00%
Equity Securities, International \| Minimum
Defined benefit pension plan disclosure
Target plan asset allocations	0.00%
Equity Securities, International \| Maximum
Defined benefit pension plan disclosure
Target plan asset allocations	50.00%
Fixed Income Securities
Defined benefit pension plan disclosure
Target plan asset allocations	40.00%
Cash \| Minimum
Defined benefit pension plan disclosure
Target plan asset allocations	0.00%
Cash \| Maximum
Defined benefit pension plan disclosure
Target plan asset allocations	20.00%

Employee Benefits (Fair values of retirement plan assets) (Details 5) - Pension Benefits - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Defined benefit pension plan disclosure
Fair value of plan assets	$ 96,908	$ 83,383	$ 83,858
Quoted Prices in Active Markets for Identical Assets (Level 1)
Defined benefit pension plan disclosure
Fair value of plan assets	96,908
Cash
Defined benefit pension plan disclosure
Fair value of plan assets	2,156	1,898
Cash \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Defined benefit pension plan disclosure
Fair value of plan assets	2,156
Equity Security - Mutual Funds: Large-Cap
Defined benefit pension plan disclosure
Fair value of plan assets	1,748	0
Equity Security - Mutual Funds: Large-Cap \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Defined benefit pension plan disclosure
Fair value of plan assets	1,748
Equity Security - Mutual Funds: Mixed-Cap
Defined benefit pension plan disclosure
Fair value of plan assets	29,459	29,593
Equity Security - Mutual Funds: Mixed-Cap \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Defined benefit pension plan disclosure
Fair value of plan assets	29,459
Equity Security - Mutual Funds: International
Defined benefit pension plan disclosure
Fair value of plan assets	24,539	18,040
Equity Security - Mutual Funds: International \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Defined benefit pension plan disclosure
Fair value of plan assets	24,539
Equity Security - Mutual Funds: Emerging Market
Defined benefit pension plan disclosure
Fair value of plan assets	2,305	2,043
Equity Security - Mutual Funds: Emerging Market \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Defined benefit pension plan disclosure
Fair value of plan assets	2,305
Fixed Income - Mutual Funds
Defined benefit pension plan disclosure
Fair value of plan assets	36,701	$ 31,809
Fixed Income - Mutual Funds \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Defined benefit pension plan disclosure
Fair value of plan assets	$ 36,701

Share-Based Compensation (Details 1) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Share-based Compensation [Line Items]
Total shares authorized	2,100,000
Shares available for future grants of stock options or restricted stock	1,900,000
Compensation Expense	$ 7,369	$ 6,787	$ 7,689
Income Tax Benefit	$ 2,910	$ 2,680	3,036
Stock Options [Roll Forward]
Outstanding at the beginning of the period (in shares)	478,889
Exercised (in shares)	(166,838)
Forfeited ( in shares)	(8,499)
Outstanding at the end of the period (in shares)	303,552.000	478,889
Vested and Exercisable at the end of the period (in shares)	303,552
Weighted Average Exercise Price
Outstanding at the beginning of the period (in dollars per share)	$ 45.14
Exercised (in dollars per share)	44.96
Forfeited ( in dollars per share)	44.38
Outstanding at the end of the period (in dollars per share)	45.26	$ 45.14
Vested and Exercisable at the end of period (in dollars per share)	$ 45.26
Weighted Average Remaining Contractual Term
Outstanding at the end of the period (in years)	4 years
Vested and Exercisable at the end of period (in years)	4 years
Aggregate Intrinsic Value
Outstanding at the end of the period	$ 12,277
Vested and Exercisable at the end of the period	12,277
Stock options activity
Intrinsic Value of Stock Options Exercised	5,991	$ 1,990	2,754
Cash Received from Stock Options Exercised	7,502	3,546	9,704
Tax Benefits Realized from Stock Options Exercised	$ 2,003	$ 384	$ 330
Stock Options
Share-based Compensation [Line Items]
Expiration period	10 years
Restricted Stock
Restricted Stock
Unrecognized compensation cost related to unvested restricted stock	$ 9,800
Weighted average period during which unrecognized compensation cost is expected to be recognized (in years)	1 year 10 months
Number of Shares
Unvested at the beginning of the period (in shares)	270,523	268,813	263,446
Granted (in shares)	124,460	121,495	116,331
Vested (in shares)	(52,822)	(105,891)	(108,949)
Forfeited (in shares)	(22,058)	(13,894)	(2,015)
Unvested at the end of the period (in shares)	320,103	270,523	268,813
Weighted Average Grant Date Fair Value
Unvested at the beginning of the period (in dollars per share)	$ 60.58	$ 55.92	$ 53.04
Granted (in dollars per share)	84.53	64.40	57.31
Vested (in dollars per share)	60.06	53.46	52.47
Forfeited (in dollars per share)	69.46	58.14	54.17
Unvested at the end of the period (in dollars per share)	$ 69.36	$ 60.58	$ 55.92
Grant Date Fair Value of Restricted Stock that Vested During the Year
Vested (in dollars)	$ 4,493	$ 5,661	$ 5,759
Service-Based Restricted Stock
Number of Shares
Unvested at the end of the period (in shares)	31,397
Restricted Stock Units (RSUs)
Share-based Compensation [Line Items]
Compensation Expense	$ 3,400	$ 5,900
Number of Shares
Unvested at the beginning of the period (in shares)	154,832	135,505	105,405
Granted (in shares)		58,541	61,751
Vested (in shares)	(29,281)	(31,660)	(31,651)
Forfeited (in shares)	(9,062)	(7,554)
Unvested at the end of the period (in shares)	116,489	154,832	135,505
Weighted Average Grant Date Fair Value
Unvested at the beginning of the period (in dollars per share)	$ 59.04	$ 55.86	$ 55.17
Granted (in dollars per share)		63.92	56.68
Vested (in dollars per share)	58.74	55.17	55.17
Forfeited (in dollars per share)	60.17	56.08
Unvested at the end of the period (in dollars per share)	$ 60.22	$ 59.04	$ 55.86
Grant Date Fair Value of Restricted Stock that Vested During the Year
Vested (in dollars)	$ 2,516	$ 1,897	$ 1,940
Minimum \| Restricted Stock
Share-based Compensation [Line Items]
Vesting period (in years)	1 year
Minimum \| Restricted Stock Units (RSUs)
Share-based Compensation [Line Items]
Vesting period (in years)	3 years
Maximum \| Restricted Stock
Share-based Compensation [Line Items]
Vesting period (in years)	4 years
Maximum \| Restricted Stock Units (RSUs)
Share-based Compensation [Line Items]
Vesting period (in years)	4 years

Income Taxes (Deferred tax liabilities & assets and reconciliation of statutory federal income taxes to the company's effective tax rate) (Details 1) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2017	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income Tax Disclosure [Abstract]
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Change in Tax Rate, Deferred Tax Liability, Provisional Income Tax (Expense) Benefit	$ 3,600	$ 3,600
Current:
Federal			$ 73,176	$ 69,061	$ 73,278
State			6,039	1,885	3,737
Total Current			79,215	70,946	77,015
Deferred:
Federal			5,042	6,947	(6,801)
State			(865)	240	284
Total Deferred			4,177	7,187	(6,517)
Provision for Income Taxes			83,392	78,133	70,498
Net tax charge/(benefit) recorded directly to consolidated shareholders' equity			500	7,900	$ 1,000
Deferred Tax Liabilities:
Accrued Pension Cost	(11,245)	(11,245)	(11,245)	(13,292)
Federal Home Loan Bank Stock	(3,408)	(3,408)	(3,408)	(5,088)
Lease Transactions	(57,458)	(57,458)	(57,458)	(87,454)
Energy Tax Credits	(8,821)	(8,821)	(8,821)	(10,476)
Investment in Variable Interest Entities	(3,407)	(3,407)	(3,407)	(1,883)
Deferred Loan Fees	(6,903)	(6,903)	(6,903)	(9,088)
Originated Mortgage Servicing Rights	(6,646)	(6,646)	(6,646)	(9,588)
Other	(1,883)	(1,883)	(1,883)	(691)
Gross Deferred Tax Liabilities	(99,771)	(99,771)	(99,771)	(137,560)
Deferred Tax Assets:
Accelerated Depreciation	1,844	1,844	1,844	6,027
Allowance for Loan Losses	30,148	30,148	30,148	43,705
Minimum Pension Liability	12,114	12,114	12,114	18,852
Accrued Expenses	9,937	9,937	9,937	18,693
Postretirement Benefit Obligations	8,595	8,595	8,595	12,900
Capital Lease Expenses	2,168	2,168	2,168	3,235
Restricted Stock	6,223	6,223	6,223	7,955
Net Unrealized Losses on Investment Securities	3,059	3,059	3,059	3,271
Deductible State and Local Taxes	2,461	2,461	2,461	3,956
Other	5,183	5,183	5,183	7,596
Gross Deferred Tax Assets Before Valuation Allowance	81,732	81,732	81,732	126,190
Valuation Allowance	(955)	(955)	(955)	(3,655)
Gross Deferred Tax Assets After Valuation Allowance	80,777	80,777	80,777	122,535
Net Deferred Tax Liabilities	(18,994)	(18,994)	(18,994)	$ (15,025)
Base year reserves included in retained earnings	18,200	18,200	18,200
Unrecognized deferred federal income tax liability	$ 4,800	$ 4,800	$ 4,800
Reconciliation of the Statutory Federal Income Tax Rate to the Company's Effective Tax Rate
Statutory Federal Income Tax Rate			35.00%	35.00%	35.00%
Increase (Decrease) in Income Tax Rate Resulting From:
State Taxes, Net of Federal Income Tax (Percent)			1.50%	0.60%	1.23%
Tax Reserve Adjustments (Percent)			0.09%	(0.18%)	0.38%
Low-Income Housing Investments (Percent)			(1.18%)	(0.69%)	(0.78%)
Investment Tax Credits (Percent)			(1.03%)	(0.85%)	(0.89%)
Bank-Owned Life Insurance (Percent)			(0.85%)	(0.88%)	(1.06%)
Tax-Exempt Income (Percent)			(2.57%)	(2.71%)	(3.03%)
Excess Tax Benefits - Stock Compensation (Percent)			(0.83%)	(0.00%)	(0.00%)
Deferred Tax Adjustment for Tax Rate Change (Percent)			1.25%	0.00%	0.00%
Other (Percent)			(0.27%)	(0.19%)	(0.36%)
Effective Tax Rate (as a percent)			31.11%	30.10%	30.49%

Income Taxes (Unrecognized tax benefits) (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Reconciliation of liability for Unrecognized Tax Benefits
Unrecognized Tax Benefits at the Beginning of Year	$ 6,574	$ 11,602	$ 12,229
Gross Increases, Related to Tax Positions Taken in a Prior Period	273	145	398
Gross Decreases, Related to Tax Positions Taken in a Prior Period	0	(230)	(98)
Gross Increases, Related to Current Period Tax Positions	1,124	395	573
Settlements with Taxing Authorities	0	(1,002)	0
Lapse of Statute of Limitations	(2,679)	(4,336)	(1,500)
Unrecognized Tax Benefits at the End of Year	5,292	6,574	11,602
Amount related to unrecognized tax benefits that if reversed would impact effective tax rate	5,300	5,800
Interest and penalties expense/(benefit) related to the liability for unrecognized tax benefits	100	1,100	$ 100
Accrued interest and penalties related to the liability for unrecognized tax benefits	$ 900	$ 1,000

Derivative Financial Instruments (Notional and fair value amounts) (Details 1) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Interest Rate Lock Commitments
Derivative Financial Instruments Not Designated as Hedging Instruments
Notional Amount	$ 35,422	$ 55,223
Fair Value	789	1,067
Forward Commitments
Derivative Financial Instruments Not Designated as Hedging Instruments
Notional Amount	45,143	104,962
Fair Value	(56)	847
Interest Rate Swap Agreements Receive Fixed/Pay Variable Swaps
Derivative Financial Instruments Not Designated as Hedging Instruments
Notional Amount	374,670	357,441
Fair Value	(1,331)	1,381
Interest Rate Swap Agreements Pay Fixed/Receive Variable Swaps
Derivative Financial Instruments Not Designated as Hedging Instruments
Notional Amount	374,670	357,441
Fair Value	1,436	(1,395)
Foreign Exchange Contracts
Derivative Financial Instruments Not Designated as Hedging Instruments
Notional Amount	54,332	38,172
Fair Value	$ (13)	$ (757)

Derivative Financial Instruments (Assets and liabilities) (Details 2) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Derivative Financial Instruments Not Designated as Hedging Instruments
Asset Derivatives	$ 10,518	$ 13,731
Liability Derivatives	9,693	12,588
Interest Rate Lock Commitments
Derivative Financial Instruments Not Designated as Hedging Instruments
Asset Derivatives	789	1,236
Liability Derivatives	0	169
Forward Commitments
Derivative Financial Instruments Not Designated as Hedging Instruments
Asset Derivatives	14	873
Liability Derivatives	70	26
Interest Rate Swap Agreements
Derivative Financial Instruments Not Designated as Hedging Instruments
Asset Derivatives	9,583	11,569
Liability Derivatives	9,478	11,583
Foreign Exchange Contracts
Derivative Financial Instruments Not Designated as Hedging Instruments
Asset Derivatives	132	53
Liability Derivatives	$ 145	$ 810

Derivative Financial Instruments (Net gains or losses) (Details 3) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Net Gains (Losses) Recognized in the Statements of Income	$ 8,362	$ 15,524	$ 6,674
Interest Rate Lock Commitments \| Mortgage Banking Income
Derivative Instruments, Gain (Loss) [Line Items]
Net Gains (Losses) Recognized in the Statements of Income	5,643	7,834	2,779
Forward Commitments \| Mortgage Banking Income
Derivative Instruments, Gain (Loss) [Line Items]
Net Gains (Losses) Recognized in the Statements of Income	(1,275)	1,741	27
Interest Rate Swap Agreements \| Other Noninterest Income
Derivative Instruments, Gain (Loss) [Line Items]
Net Gains (Losses) Recognized in the Statements of Income	698	2,987	1,085
Foreign Exchange Contracts \| Other Noninterest Income
Derivative Instruments, Gain (Loss) [Line Items]
Net Gains (Losses) Recognized in the Statements of Income	$ 3,296	$ 2,962	$ 2,783

Derivative Financial Instruments (Conversion rate swap agreement narrative) (Details 4) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Derivative [Line Items]
Reduction of swap liabilities resulting from variation margin payments	$ 100
Liability Derivatives	9,693	$ 12,588
Visa Conversion Rate Swap Agreement
Derivative [Line Items]
Liability Derivatives	$ 0

Affordable Housing Projects Tax Credit Partnerships (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Equity Method Investments and Joint Ventures [Abstract]
Net affordable housing tax credit investments and related unfunded commitments	$ 71,700	$ 66,600
Affordable Housing Tax Credit Investments, Unfunded Commitments [Abstract]
2018	13,647
2019	2,893
2020	51
2021	27
2022	33
Thereafter	802
Total Unfunded Commitments	17,453
Effective Yield Method [Abstract]
Tax Credits and Other Tax Benefits Recognized	13,569	13,996	$ 13,448
Amortization Expense in Provision for Income Taxes	8,373	7,886	7,735
Proportional Amortization Method [Abstract]
Tax credits and other tax benefits recognized	1,040	0	0
Amortization Expense in Provision for Income Taxes	$ 800	$ 0	$ 0

Balance Sheet Offsetting (Assets and liabilities subject to MNA, or repurchase agreements) (Details 2) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Liabilities:
Repurchase Agreements, Gross Amounts of Recognized Liabilities	$ 505,293	$ 523,378
Repurchase Agreements, Gross Amounts Offset in the Statements of Condition	0	0
Repurchase Agreements, Net Amounts of Liabilities Presented in the Statements of Condition	505,293	523,378
Repurchase Agreements, Fair Value of Collateral Pledged	505,293	523,378
Securities Sold under Agreements to Repurchase, Net Amount Offset Against Collateral	0	0
Interest Rate Swap Agreements
Offsetting Assets and Liabilities [Line items]
Net liability positions, aggregate fair value	3,200	5,500
Institutional Counterparties \| Interest Rate Swap Agreements
Offsetting Assets and Liabilities [Line items]
Derivative Liability, Fair Value of Collateral	3,500
Assets:
Derivative Assets, Gross Amounts Recognized in the Statements of Condition	5,453	5,094
Derivative Assets, Gross Amounts Offset in the Statements of Condition	0	0
Derivative Assets, Net Amount Presented in the Statements of Condition	5,453	5,094
Derivative Assets, Not Offset in the Statements of Condition - Netting Adjustments	4,017	5,094
Gross Amounts Not Offset in the Statements of Condition - FV of collateral pledged	0	0
Derivative Assets, Net Amount	1,436	0
Liabilities:
Derivative Liability, Gross Amounts Recognized in the Statements of Condition	4,017	6,489
Derivative Liability, Gross Amounts Offset in the Statements of Condition	0	0
Derivative Liability, Net Amounts Presented in the Statements of Condition	4,017	6,489
Derivative Liability, Not Offset in the Statements of Condition - Netting Adjustments	4,017	5,094
Derivative Liability, Not Offset in the Statements of Condition - FV of collateral pledged	0	500
Derivative Liabilities, Net Amount	0	895
Private Institutions
Offsetting Assets and Liabilities [Line items]
Securities Sold under Agreements to Repurchase, Fair Value of Collateral	563,300	559,300
Liabilities:
Repurchase Agreements, Gross Amounts of Recognized Liabilities	500,000	500,000
Repurchase Agreements, Gross Amounts Offset in the Statements of Condition	0	0
Repurchase Agreements, Net Amounts of Liabilities Presented in the Statements of Condition	500,000	500,000
Repurchase Agreements, Fair Value of Collateral Pledged	500,000	500,000
Securities Sold under Agreements to Repurchase, Net Amount Offset Against Collateral	0	0
Government Entities
Offsetting Assets and Liabilities [Line items]
Securities Sold under Agreements to Repurchase, Fair Value of Collateral	6,900	28,900
Liabilities:
Repurchase Agreements, Gross Amounts of Recognized Liabilities	5,293	23,378
Repurchase Agreements, Gross Amounts Offset in the Statements of Condition	0	0
Repurchase Agreements, Net Amounts of Liabilities Presented in the Statements of Condition	5,293	23,378
Repurchase Agreements, Fair Value of Collateral Pledged	5,293	23,378
Securities Sold under Agreements to Repurchase, Net Amount Offset Against Collateral	$ 0	$ 0

Commitments, Contingencies, and Guarantees (Credit commitments) (Details 1) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($)
Credit Commitments [Line Items]
Credit Commitments	$ 2,859,279
Unfunded Commitments to Extend Credit
Credit Commitments [Line Items]
Credit Commitments	2,780,724
Standby Letters of Credit
Credit Commitments [Line Items]
Credit Commitments	60,519
Assets secured for standby letters of credit	39,800
Commercial Letters of Credit
Credit Commitments [Line Items]
Credit Commitments	$ 18,036
Standby and Commercial Letters of Credit \| Minimum
Credit Commitments [Line Items]
Standby and commercial letters of credit, remaining term (in months)	1 month
Standby and Commercial Letters of Credit \| Maximum
Credit Commitments [Line Items]
Standby and commercial letters of credit, remaining term (in months)	24 months

Commitments, Contingencies, and Guarantees (Rental expense and future minimum payments) (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Rental expense
Minimum Rentals	$ 18,331	$ 18,377	$ 18,826
Sublease Rental Income	(7,056)	(6,551)	(6,212)
Total	11,275	$ 11,826	$ 12,614
Future minimum payments for capital leases
2018	825
2019	825
2020	825
2021	825
2022	825
Thereafter	24,755
Total Future Minimum Lease Payments	28,880
Amounts Representing Interest	(18,164)
Present Value of Net Future Minimum Lease Payments	10,716
Future minimum payments for operating leases
2018	12,521
2019	10,756
2020	10,111
2021	9,300
2022	8,959
Thereafter	97,836
Total Future Minimum Lease Payments	149,483
Minimum future rental income receivable under subleases from non-cancelable operating leases	$ 13,200

Commitments, Contingencies, and Guarantees (Representations and warranties) (Details 3) - Residential Mortgage $ in Millions	12 Months Ended
	Dec. 31, 2017 USD ($) Loan
Representations and Warranties
Unpaid principal balance of mortgage loans sold \| $	$ 2,700.0
Number of mortgage loans repurchased	1
Unpaid principal balance of repurchased mortgage loan \| $	$ 0.2
Number of Mortgage Loans Repurchased, Pending	0
Number of Mortgage Loans Repurchased due to Loan Servicing Activities	0
Number of Mortgage Loans Repurchased due to Loan Servicing Activities, Pending	0
Current residential mortgage loans serviced for investors as percentage of total	99.00%

Fair Value of Assets and Liabilities (Narrative) (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Derivative [Line Items]
Liability Derivatives	$ 9,693	$ 12,588
Visa Conversion Rate Swap Agreement
Derivative [Line Items]
Liability Derivatives	$ 0

Fair Value of Assets and Liabilities (Fair value on recurring basis) (Details 1) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Assets:
Available-for-Sale: Fair Value	$ 2,232,979	$ 2,186,041	$ 2,256,818
Loans Held for Sale	19,231	62,499
Derivative Assets	10,518	13,731
Fair Value, Measurements, Recurring [Member]
Assets:
Available-for-Sale: Fair Value	2,232,979	2,186,041
Loans Held for Sale	19,231	62,499
Mortgage Servicing Rights	1,454	1,655
Other Assets	29,230	21,952
Derivative Assets	10,518	13,731
Total Assets Measured at Fair Value on a Recurring Basis	2,293,412	2,285,878
Liabilities:
Derivative Liabilities	9,693	12,588
Total Liabilities Measured at Fair Value on a Recurring Basis	9,693	12,588
Fair Value, Measurements, Recurring [Member] \| Debt Securities Issued by the U.S. Treasury and Government Agencies
Assets:
Available-for-Sale: Fair Value	425,930	408,715
Fair Value, Measurements, Recurring [Member] \| Debt Securities Issued by States and Political Subdivisions
Assets:
Available-for-Sale: Fair Value	627,019	671,799
Fair Value, Measurements, Recurring [Member] \| Debt Securities Issued by Corporations
Assets:
Available-for-Sale: Fair Value	266,111	269,179
Fair Value, Measurements, Recurring [Member] \| Mortgage-Backed Securities
Assets:
Available-for-Sale: Fair Value	913,919	836,348
Fair Value, Measurements, Recurring [Member] \| Residential - Government Agencies
Assets:
Available-for-Sale: Fair Value	235,360	243,844
Fair Value, Measurements, Recurring [Member] \| Residential - U.S. Government Sponsored Enterprises
Assets:
Available-for-Sale: Fair Value	609,812	506,987
Fair Value, Measurements, Recurring [Member] \| Commercial - Government Agencies
Assets:
Available-for-Sale: Fair Value	68,747	85,517
Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Assets:
Available-for-Sale: Fair Value	538	539
Loans Held for Sale	0	0
Mortgage Servicing Rights	0	0
Other Assets	29,230	21,952
Derivative Assets	0	0
Total Assets Measured at Fair Value on a Recurring Basis	29,768	22,491
Liabilities:
Derivative Liabilities	0	0
Total Liabilities Measured at Fair Value on a Recurring Basis	0	0
Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) \| Debt Securities Issued by the U.S. Treasury and Government Agencies
Assets:
Available-for-Sale: Fair Value	538	539
Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) \| Debt Securities Issued by States and Political Subdivisions
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) \| Debt Securities Issued by Corporations
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) \| Mortgage-Backed Securities
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) \| Residential - Government Agencies
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) \| Residential - U.S. Government Sponsored Enterprises
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Quoted Prices in Active Markets for Identical Assets (Level 1) \| Commercial - Government Agencies
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2)
Assets:
Available-for-Sale: Fair Value	2,232,441	2,185,502
Loans Held for Sale	19,231	62,499
Mortgage Servicing Rights	0	0
Other Assets	0	0
Derivative Assets	146	926
Total Assets Measured at Fair Value on a Recurring Basis	2,251,818	2,248,927
Liabilities:
Derivative Liabilities	215	836
Total Liabilities Measured at Fair Value on a Recurring Basis	215	836
Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) \| Debt Securities Issued by the U.S. Treasury and Government Agencies
Assets:
Available-for-Sale: Fair Value	425,392	408,176
Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) \| Debt Securities Issued by States and Political Subdivisions
Assets:
Available-for-Sale: Fair Value	627,019	671,799
Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) \| Debt Securities Issued by Corporations
Assets:
Available-for-Sale: Fair Value	266,111	269,179
Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) \| Mortgage-Backed Securities
Assets:
Available-for-Sale: Fair Value	913,919	836,348
Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) \| Residential - Government Agencies
Assets:
Available-for-Sale: Fair Value	235,360	243,844
Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) \| Residential - U.S. Government Sponsored Enterprises
Assets:
Available-for-Sale: Fair Value	609,812	506,987
Fair Value, Measurements, Recurring [Member] \| Significant Other Observable Inputs (Level 2) \| Commercial - Government Agencies
Assets:
Available-for-Sale: Fair Value	68,747	85,517
Fair Value, Measurements, Recurring [Member] \| Significant Other Unobservable Inputs (Level 3)
Assets:
Available-for-Sale: Fair Value	0	0
Loans Held for Sale	0	0
Mortgage Servicing Rights	1,454	1,655
Other Assets	0	0
Derivative Assets	10,372	12,805
Total Assets Measured at Fair Value on a Recurring Basis	11,826	14,460
Liabilities:
Derivative Liabilities	9,478	11,752
Total Liabilities Measured at Fair Value on a Recurring Basis	9,478	11,752
Fair Value, Measurements, Recurring [Member] \| Significant Other Unobservable Inputs (Level 3) \| Debt Securities Issued by the U.S. Treasury and Government Agencies
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Significant Other Unobservable Inputs (Level 3) \| Debt Securities Issued by States and Political Subdivisions
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Significant Other Unobservable Inputs (Level 3) \| Debt Securities Issued by Corporations
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Significant Other Unobservable Inputs (Level 3) \| Mortgage-Backed Securities
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Significant Other Unobservable Inputs (Level 3) \| Residential - Government Agencies
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Significant Other Unobservable Inputs (Level 3) \| Residential - U.S. Government Sponsored Enterprises
Assets:
Available-for-Sale: Fair Value	0	0
Fair Value, Measurements, Recurring [Member] \| Significant Other Unobservable Inputs (Level 3) \| Commercial - Government Agencies
Assets:
Available-for-Sale: Fair Value	$ 0	$ 0

Fair Value of Assets and Liabilities (FV on recurring basis-Level 3 rollforward) (Details 2) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Fair Value, Mortgage Servicing Rights Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]
Fair Value, Mortgage Servicing Rights, Beginning Balance	$ 1,655	$ 1,970
Fair Value, Mortgage Servicing Rights, Realized and Unrealized Net Gains (Losses) Included in Net Income	(201)	(315)
Fair Value, Mortgage Servicing Rights, Ending Balance	1,454	1,655
Fair Value, Mortgage Service Rights, Total Unrealized Net Gains (Losses) Included in Net Income Related to Assets Still Held	0	0
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward]
Fair Value, Net Derivative Assets and Liabilities, Beginning Balance	1,053	240
Fair Value, Net Derivative Assets and Liabilities, Realized and Unrealized Net Gains (Losses) Included in Net Income	5,648	7,850
Fair Value, Net Derivative Assets and Liabilities, Transfers to Loans Held for Sale	(5,921)	(7,037)
Fair Value, Net Derivative Assets and Liabilities, Ending Balance	894	1,053
Fair Value, Net Derivative Assets and Liabilities,Total Unrealized Net Gains (Losses) Included in Net Income Related to Assets Still Held	894	$ 1,053
Variation margin payments for swap liabilities	$ 114

Fair Value of Assets and Liabilities (FV on recurring or nonrecurring basis-level 3 inputs) (Details 3) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016
Interest Rate Lock Commitments \| Pricing Model
Level 3 Assets and Liabilities, Fair Value and Fair Value Unobservable Inputs
Weighted Average Closing Ratio (as a percent)	93.25%	92.26%
Interest Rate Derivative Instruments Not Designated as Hedging Instruments at Fair Value, Net	$ 789	$ 1,067
Interest Rate Swap Agreements \| Discounted Cash Flow
Level 3 Assets and Liabilities, Fair Value and Fair Value Unobservable Inputs
Weighted Average Credit Factor (as a percent)	0.10%	0.13%
Interest Rate Derivative Instruments Not Designated as Hedging Instruments at Fair Value, Net	$ 105	$ (14)
Mortgage Servicing Rights \| Discounted Cash Flow
Level 3 Assets and Liabilities, Fair Value and Fair Value Unobservable Inputs
Weighted Average Constant Prepayment Rate (as a percent)	8.50%	8.13%
Weighted Average Discount Rate (as a percent)	8.87%	9.33%
Mortgage Servicing Rights, at Fair Value	$ 28,170	$ 26,803

Fair Value of Assets and Liabilities (FV option) (Details 4) - Residential Mortgage Loans Held For Sale - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Fair Value Option
Aggregate Fair Value	$ 19,231	$ 62,499
Aggregate Unpaid Principal	18,854	61,782
Aggregate Fair Value less Aggregate Unpaid Principal	$ 377	$ 717

Fair Value of Assets and Liabilities (Financial instruments not recorded at FV on recurring basis) (Details 5) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Financial Instruments - Assets
Held-to-Maturity, Fair Value	$ 3,894,121	$ 3,827,527	$ 4,006,412
Carrying Amount
Financial Instruments - Assets
Held-to-Maturity, Fair Value	3,928,170	3,832,997
Loans	9,436,506	8,583,726
Financial Instruments - Liabilities
Time Deposits	1,688,092	1,217,707
Securities Sold Under Agreements to Repurchase	505,293	523,378
Other Debt	250,000	257,153
Fair value
Financial Instruments - Assets
Held-to-Maturity, Fair Value	3,894,121	3,827,527
Loans	9,519,369	8,743,191
Financial Instruments - Liabilities
Time Deposits	1,679,684	1,213,705
Securities Sold Under Agreements to Repurchase	505,278	523,374
Other Debt	248,520	256,718
Fair value \| Quoted Prices in Active Markets for Identical Assets (Level 1)
Financial Instruments - Assets
Held-to-Maturity, Fair Value	373,640	530,940
Loans	0	0
Financial Instruments - Liabilities
Time Deposits	0	0
Securities Sold Under Agreements to Repurchase	0	0
Other Debt	0	0
Fair value \| Significant Other Observable Inputs (Level 2)
Financial Instruments - Assets
Held-to-Maturity, Fair Value	3,520,481	3,296,587
Loans	0	0
Financial Instruments - Liabilities
Time Deposits	1,679,684	1,213,705
Securities Sold Under Agreements to Repurchase	505,278	523,374
Other Debt	248,520	256,718
Fair value \| Significant Other Unobservable Inputs (Level 3)
Financial Instruments - Assets
Held-to-Maturity, Fair Value	0	0
Loans	9,519,369	8,743,191
Financial Instruments - Liabilities
Time Deposits	0	0
Securities Sold Under Agreements to Repurchase	0	0
Other Debt	$ 0	$ 0

Bank of Hawaii Corporation Financial Statements (Condensed Statements of Comprehensive Income) (Details 1) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income
Investment Securities Gains (Losses), Net	$ 10,430	$ 10,203	$ 10,160
Noninterest Expense
Total Noninterest Expense	357,691	350,578	348,104
Income Before Income Tax Benefit and Equity in Undistributed Income of Subsidiaries	268,064	259,594	231,202
Income Tax Benefit (Expense)	(83,392)	(78,133)	(70,498)
Comprehensive Income	183,863	171,112	163,833
Parent
Income
Cash Dividends Paid to Parent Company by Consolidated Subsidiaries and Interest Income	130,000	120,000	115,000
Investment Securities Gains (Losses), Net	12,027	(340)	9,870
Other Income	204	279	973
Total Income	142,231	119,939	125,843
Noninterest Expense
Intercompany Salaries and Services	720	705	651
Other Expenses	1,401	1,392	2,325
Total Noninterest Expense	2,121	2,097	2,976
Income Before Income Tax Benefit and Equity in Undistributed Income of Subsidiaries	140,110	117,842	122,867
Income Tax Benefit (Expense)	(3,557)	2,137	(1,670)
Equity in Undistributed Income of Subsidiaries	48,119	61,482	39,507
Net Income	184,672	181,461	160,704
Comprehensive Income	$ 183,863	$ 171,112	$ 163,833

Bank of Hawaii Corporation Financial Statements (Condensed Statements of Condition) (Details 2) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Assets
Investment Securities Held-to-Maturity	$ 3,928,170	$ 3,832,997	$ 3,982,736
Goodwill	31,517	31,517
Other Assets	252,596	194,708
Total Assets	17,089,052	16,492,367	15,455,016
Liabilities
Other Liabilities	138,940	134,199
Total Liabilities	15,857,184	15,330,830
Shareholders' Equity	1,231,868	1,161,537	$ 1,116,260	$ 1,055,086
Total Liabilities and Shareholders' Equity	17,089,052	16,492,367
Parent
Assets
Cash with Bank of Hawaii	49,669	51,915
Investment Securities Held-to-Maturity	4,986	4,973
Goodwill	14,129	14,129
Income Taxes Receivable and Deferred Tax Assets	2,567	2,071
Other Assets	8,233	7,744
Equity in Net Assets of Subsidiaries	1,161,037	1,095,077
Total Assets	1,240,621	1,175,909
Liabilities
Income Taxes Payable	517	6,273
Other Liabilities	8,236	8,099
Total Liabilities	8,753	14,372
Shareholders' Equity	1,231,868	1,161,537
Total Liabilities and Shareholders' Equity	$ 1,240,621	$ 1,175,909

Bank of Hawaii Corporation Financial Statements (Condensed Statements of Cash Flows) (Details 3) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Share-Based Compensation	$ 7,369	$ 6,786	$ 7,689
Net Losses (Gains) on Investment Securities	(10,430)	(10,203)	(10,160)
Net Change in Other Assets and Other Liabilities	(60,622)	1,760	13,331
Net Cash Provided by Operating Activities	175,145	226,529	234,012
Investing Activities
Proceeds from Sales of Investment Securities	10,435	10,430	67,985
Purchase of Investment Securities Held-to-Maturity Securities	(995,076)	(677,652)	(518,664)
Net Cash Provided by (Used in) Investing Activities	(1,021,887)	(960,852)	(531,103)
Financing Activities
Proceeds from Issuance of Common Stock	13,101	9,079	15,364
Repurchase of Common Stock	(47,076)	(61,807)	(52,981)
Cash Dividends Paid	(87,066)	(81,157)	(78,367)
Net Cash Provided by (Used in) Financing Activities	414,986	858,209	517,236
Cash and Cash Equivalents at Beginning of Period	879,607	755,721	535,576
Cash and Cash Equivalents at End of Period	447,851	879,607	755,721
Parent
Operating Activities
Net Income	184,672	181,461	160,704
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:
Share-Based Compensation	573	558	639
Net Losses (Gains) on Investment Securities	(12,027)	340	(9,870)
Equity in Undistributed Income of Subsidiaries	(48,119)	(61,482)	(39,507)
Net Change in Other Assets and Other Liabilities	(6,477)	1,508	(481)
Net Cash Provided by Operating Activities	118,622	122,385	111,485
Investing Activities
Capital Distribution from BOHC Inv Fund	613	0	0
Capital Contributions to the Bank	(12,467)	0	(10,179)
Proceeds from Sales of Investment Securities	12,027	(340)	9,870
Net Cash Provided by (Used in) Investing Activities	173	(340)	(309)
Financing Activities
Proceeds from Issuance of Common Stock	13,101	9,079	15,364
Repurchase of Common Stock	(47,076)	(61,807)	(52,981)
Cash Dividends Paid	(87,066)	(81,157)	(78,367)
Net Cash Provided by (Used in) Financing Activities	(121,041)	(133,885)	(115,984)
Net Change in Cash and Cash Equivalents	(2,246)	(11,840)	(4,808)
Cash and Cash Equivalents at Beginning of Period	51,915	63,755	68,563
Cash and Cash Equivalents at End of Period	$ 49,669	$ 51,915	$ 63,755