Annual report pursuant to Section 13 and 15(d)

REVENUE

v3.20.4
REVENUE
 12 Months Ended
Dec. 31, 2020
Revenue from Contract with Customer [Abstract]  
REVENUE

15. REVENUE

The majority of the Company’s noninterest income comes from short term contracts associated with fees for services provided on deposit accounts, credit cards, and wealth management accounts, and mortgage banking and is being accounted for in accordance with Topic 606. Typically, the duration of a contract does not extend beyond the services performed; therefore, the Company concluded that discussion regarding contract balances is immaterial.

The Company’s performance obligations on revenue from interchange fees and deposit accounts are generally satisfied immediately, when the transaction occurs, or by month-end. Performance obligations on revenue from fiduciary and asset management fees are generally satisfied monthly or quarterly. For a majority of fee income on deposit accounts the Company is a principal, controlling the promised good or service before transferring it to the customer. For the majority of income related to wealth management income, the Company is an agent, responsible for arranging for the provision of goods and services by another party. Mortgage banking income is earned when the originated loans are sold to an investor on the secondary market. The loans are classified as loans held for sale prior to being sold. Additionally, the changes in fair value of the loans held for sale, loan commitments, and related derivatives are included in mortgage banking income.

Noninterest income disaggregated by major source for the years ended December 31, 2020, 2019, and 2018 consisted of the following (dollars in thousands):

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2020

​

2019

​

2018

Noninterest income:

 

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​

  

 

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Deposit Service Charges (1):

 

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Overdraft fees

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$

17,792

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$

24,092

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$

21,052

Maintenance fees & other

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7,459

​

 

6,110

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4,387

Other service charges, commissions, and fees (1)

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6,292

​

 

6,423

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5,603

Interchange fees (1)

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7,184

​

 

14,619

​

 

18,803

Fiduciary and asset management fees (1):

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​

​

 

  

​

 

  

Trust asset management fees

​

 

10,804

​

 

9,141

​

 

5,536

Registered advisor management fees

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8,657

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10,107

​

 

6,589

Brokerage management fees

​

 

4,189

​

 

4,117

​

 

4,025

Mortgage banking income

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25,857

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10,303

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—

Gains on securities transactions

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12,294

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7,675

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383

Bank owned life insurance income

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9,554

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8,311

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7,198

Loan-related interest rate swap fees

​

 

15,306

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14,126

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3,554

Gain on Shore Premier sale

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—

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—

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19,966

Other operating income (2)(3)

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6,098

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17,791

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7,145

Total noninterest income (4)

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$

131,486

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$

132,815

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$

104,241
(1) Income within scope of Topic 606.
(2) Includes income within the scope of Topic 606 of $3.5 million, $4.0 million and $4.4 million for the years ended December 31, 2020, 2019, and 2018, respectively. The remaining balance is outside the scope of Topic 606.
(3) For the year ended December 31, 2019, the remaining balance outside the scope of Topic 606 includes $9.8 million in life insurance proceeds related to a Xenith-acquired loan that had been charged off prior to the Company’s acquisition of Xenith.
(4) Noninterest income for the discontinued mortgage segment is reported in Note 19 “Segment Reporting & Discontinued Operations.”

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