Company: NWBI
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001471265-25-000077
Chunk: 44

Company: Northwest Bancshares, Inc.
Filing Date: 2025-05-06
Form: 10-Q
Item: Item 1
Chunk 44
---
, by a specified date, or the commitment must be paired off. These forward commitments entered into on a mandatory delivery basis meet the definition of a derivative financial instrument. All closed loans to be sold on a mandatory delivery basis are classified as held-for-sale on the Consolidated Statement of Financial Condition. Changes to the fair value of the interest rate lock commitments and the forward commitments are recorded in mortgage banking income in the Consolidated Statements of Income.We enter into risk participation agreements with financial institution counterparties for interest rate swaps related to loans in which we are a participant. The risk participation agreements provide credit protection to the financial institution should the borrower fail to perform on its interest rate derivative contract with the financial institution. These risk participation agreements are recorded within other liabilities on the Consolidated Statement of Financial Condition at their estimated fair value. Changes to the fair value of the risk participation agreements are included in other operating income in the Consolidated Statement of Income.    

32

The following table presents information regarding our derivative financial instruments at the dates indicated (in thousands):Asset derivativesLiability derivativesNotional amountFair valueNotional amountFair valueAt March 31, 2025Derivatives designated as hedging instruments:Interest rate swap agreements$75,000 585 100,000 727 Derivatives not designated as hedging instruments:Interest rate swap agreements845,371 33,100 845,371 33,255 Foreign exchange swap agreements2,709 4 5,445 91 Interest rate lock commitments19,425 433 — — Forward commitments1,954 71 — — Risk participation agreements— — 137,270 31 Total Derivatives$944,459 34,193 1,088,086 34,104 At December 31, 2024Derivatives designated as hedging instruments:Interest rate swap agreements$125,000 1,529 50,000 32 Derivatives not designated as hedging instruments: Interest rate swap agreements 780,177 37,697 780,177 37,767 Foreign exchange swap agreements5,724 199 2,690 4 Interest rate lock commitments17,426 342 — — Forward commitments1,509 34 — — Risk participation agreements— — 129,439 16 Total derivatives $929,836 39,801 962,306 37,819 The following table presents income