Delaware | 94-3327828 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
111 W. Pine Street, Lodi, California | 95240 | |
(Address of principal executive offices) | (Zip Code) |
Large accelerated filer ☐ | Accelerated filer ☒ | |
Non-accelerated filer ☐ | ||
Smaller Reporting Company ☐ | ||
Emerging growth company ☐ |
Title of each class: | Trading Symbol(s) | Name of each exchange on which registered: | ||
Common Stock | FMCB | OTCQX |
PART I. - FINANCIAL INFORMATION | Page | ||
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Item 1 - Financial Statements | |||
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6 | |||
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7 | |||
8 | |||
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PART II. - OTHER INFORMATION | |||
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(in thousands except share data) | ||||||||||||||||||||||||
March 31, 2019 | December 31, 2018 | March 31, 2018 | June 30, 2019 | December 31, 2018 | June 30, 2018 | |||||||||||||||||||
Assets | (Unaudited) | (Unaudited) | ||||||||||||||||||||||
Cash and Cash Equivalents: | ||||||||||||||||||||||||
Cash and Due from Banks | $ | 54,444 | $ | 61,058 | $ | 37,974 | $ | 64,476 | $ | 61,058 | $ | 51,491 | ||||||||||||
Interest Bearing Deposits with Banks | 43,366 | 84,506 | 97,010 | 50,241 | 84,506 | 55,408 | ||||||||||||||||||
Total Cash and Cash Equivalents | 97,810 | 145,564 | 134,984 | 114,717 | 145,564 | 106,899 | ||||||||||||||||||
Investment Securities: | ||||||||||||||||||||||||
Available-for-Sale | 491,289 | 495,396 | 495,814 | 488,093 | 495,396 | 450,174 | ||||||||||||||||||
Held-to-Maturity | 54,412 | 53,566 | 53,527 | 60,310 | 53,566 | 52,210 | ||||||||||||||||||
Total Investment Securities | 545,701 | 548,962 | 549,341 | 548,403 | 548,962 | 502,384 | ||||||||||||||||||
Loans & Leases: | 2,563,968 | 2,571,241 | 2,235,083 | 2,598,898 | 2,571,241 | 2,344,448 | ||||||||||||||||||
Less: Allowance for Credit Losses | 54,907 | 55,266 | 50,677 | 55,125 | 55,266 | 51,137 | ||||||||||||||||||
Loans & Leases, Net | 2,509,061 | 2,515,975 | 2,184,406 | 2,543,773 | 2,515,975 | 2,293,311 | ||||||||||||||||||
Premises and Equipment, Net | 32,380 | 32,623 | 28,491 | 31,864 | 32,623 | 29,254 | ||||||||||||||||||
Bank Owned Life Insurance | 65,609 | 65,117 | 60,035 | 66,114 | 65,117 | 60,495 | ||||||||||||||||||
Interest Receivable and Other Assets | 145,354 | 126,002 | 102,726 | 129,929 | 126,002 | 105,480 | ||||||||||||||||||
Total Assets | $ | 3,395,915 | $ | 3,434,243 | $ | 3,059,983 | $ | 3,434,800 | $ | 3,434,243 | $ | 3,097,823 | ||||||||||||
Liabilities | ||||||||||||||||||||||||
Deposits: | ||||||||||||||||||||||||
Demand | $ | 915,164 | $ | 974,756 | $ | 797,435 | $ | 949,817 | $ | 974,756 | $ | 815,575 | ||||||||||||
Interest Bearing Transaction | 655,117 | 694,384 | 589,883 | 656,211 | 694,384 | 603,494 | ||||||||||||||||||
Savings and Money Market | 912,977 | 903,665 | 831,324 | 899,741 | 903,665 | 812,083 | ||||||||||||||||||
Time | 524,782 | 490,027 | 482,763 | 519,507 | 490,027 | 466,121 | ||||||||||||||||||
Total Deposits | 3,008,040 | 3,062,832 | 2,701,405 | 3,025,276 | 3,062,832 | 2,697,273 | ||||||||||||||||||
Subordinated Debentures | 10,310 | 10,310 | 10,310 | 10,310 | 10,310 | 10,310 | ||||||||||||||||||
Interest Payable and Other Liabilities | 47,247 | 49,886 | 42,392 | 57,705 | 49,886 | 74,748 | ||||||||||||||||||
Total Liabilities | 3,065,597 | 3,123,028 | 2,754,107 | 3,093,291 | 3,123,028 | 2,782,331 | ||||||||||||||||||
Shareholders' Equity | ||||||||||||||||||||||||
Shareholders’ Equity | ||||||||||||||||||||||||
Preferred Stock: No Par Value, 1,000,000 Shares Authorized, None Issued or Outstanding | - | - | - | - | - | - | ||||||||||||||||||
Common Stock: Par Value $0.01, 7,500,000 Shares Authorized, 787,307, 783,721 and 812,304, Shares Issued and Outstanding at March 31, 2019, December 31, 2018 and March 31, 2018, Respectively | 8 | 8 | 8 | |||||||||||||||||||||
Common Stock: Par Value $0.01, 7,500,000 Shares Authorized, 787,307, 783,721, and 821,073 Shares Issued and Outstanding at June 30, 2019, December 31, 2018 and June 30, 2018, Respectively | 8 | 8 | 8 | |||||||||||||||||||||
Additional Paid-In Capital | 75,538 | 72,974 | 93,624 | 75,538 | 72,974 | 99,192 | ||||||||||||||||||
Retained Earnings | 254,770 | 241,221 | 216,786 | 263,325 | 241,221 | 221,671 | ||||||||||||||||||
Accumulated Other Comprehensive Loss | 2 | (2,988 | ) | (4,542 | ) | |||||||||||||||||||
Total Shareholders' Equity | 330,318 | 311,215 | 305,876 | |||||||||||||||||||||
Total Liabilities and Shareholders' Equity | $ | 3,395,915 | $ | 3,434,243 | $ | 3,059,983 | ||||||||||||||||||
Accumulated Other Comprehensive Income (Loss) | 2,638 | (2,988 | ) | (5,379 | ) | |||||||||||||||||||
Total Shareholders’ Equity | 341,509 | 311,215 | 315,492 | |||||||||||||||||||||
Total Liabilities and Shareholders’ Equity | $ | 3,434,800 | $ | 3,434,243 | $ | 3,097,823 |
(in thousands except per share data) | Three Months Ended March 31, | |||||||
2019 | 2018 | |||||||
Interest Income | ||||||||
Interest and Fees on Loans & Leases | $ | 33,177 | $ | 27,044 | ||||
Interest on Deposits with Banks | 1,125 | 585 | ||||||
Interest on Investment Securities: | ||||||||
Taxable | 2,427 | 2,381 | ||||||
Exempt from Federal Tax | 444 | 418 | ||||||
Total Interest Income | 37,173 | 30,428 | ||||||
Interest Expense | ||||||||
Deposits | 2,821 | 1,405 | ||||||
Subordinated Debentures | 145 | 117 | ||||||
Total Interest Expense | 2,966 | 1,522 | ||||||
Net Interest Income | 34,207 | 28,906 | ||||||
Provision for Credit Losses | - | 333 | ||||||
Net Interest Income After Provision for Credit Losses | 34,207 | 28,573 | ||||||
Non-Interest Income | ||||||||
Service Charges on Deposit Accounts | 876 | 817 | ||||||
Increase in Cash Surrender Value of Life Insurance | 492 | 452 | ||||||
Debit Card and ATM Fees | 1,177 | 1,016 | ||||||
Net Gain on Deferred Compensation Investments | 1,045 | 782 | ||||||
Other | 874 | 1,598 | ||||||
Total Non-Interest Income | 4,464 | 4,665 | ||||||
Non-Interest Expense | ||||||||
Salaries and Employee Benefits | 13,424 | 13,527 | ||||||
Net Gain on Deferred Compensation Investments | 1,045 | 782 | ||||||
Occupancy | 1,040 | 942 | ||||||
Equipment | 1,177 | 1,023 | ||||||
Marketing | 380 | 329 | ||||||
Legal | 869 | 440 | ||||||
FDIC Insurance | 241 | 239 | ||||||
Other | 2,269 | 2,654 | ||||||
Total Non-Interest Expense | 20,445 | 19,936 | ||||||
Income Before Income Taxes | 18,226 | 13,302 | ||||||
Provision for Income Taxes | 4,677 | 3,361 | ||||||
Net Income | $ | 13,549 | $ | 9,941 | ||||
Basic and Diluted Earnings Per Common Share | $ | 17.27 | $ | 12.24 |
(in thousands except per share data) | Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||||||
Interest Income | ||||||||||||||||
Interest and Fees on Loans & Leases | $ | 34,716 | $ | 28,927 | $ | 67,893 | $ | 55,971 | ||||||||
Interest on Deposits with Banks | 1,161 | 514 | 2,286 | 1,099 | ||||||||||||
Interest on Investment Securities: | ||||||||||||||||
Taxable | 2,244 | 2,315 | 4,671 | 4,696 | ||||||||||||
Exempt from Federal Tax | 505 | 405 | 949 | 823 | ||||||||||||
Total Interest Income | 38,626 | 32,161 | 75,799 | 62,589 | ||||||||||||
Interest Expense | ||||||||||||||||
Deposits | 3,112 | 1,529 | 5,933 | 2,934 | ||||||||||||
Subordinated Debentures | 141 | 131 | 286 | 248 | ||||||||||||
Total Interest Expense | 3,253 | 1,660 | 6,219 | 3,182 | ||||||||||||
Net Interest Income | 35,373 | 30,501 | 69,580 | 59,407 | ||||||||||||
Provision for Credit Losses | 200 | 500 | 200 | 833 | ||||||||||||
Net Interest Income After Provision for Credit Losses | 35,173 | 30,001 | 69,380 | 58,574 | ||||||||||||
Non-Interest Income | ||||||||||||||||
Service Charges on Deposit Accounts | 901 | 842 | 1,777 | 1,659 | ||||||||||||
Net (Loss) on Sale of Investment Securities | - | (1,330 | ) | - | (1,330 | ) | ||||||||||
Increase in Cash Surrender Value of Bank Owned Life Insurance | 505 | 460 | 997 | 912 | ||||||||||||
Debit Card and ATM Fees | 1,291 | 1,096 | 2,468 | 2,112 | ||||||||||||
Net Gain on Deferred Compensation Investments | 818 | 407 | 1,863 | 1,189 | ||||||||||||
Other | 885 | 808 | 1,759 | 2,406 | ||||||||||||
Total Non-Interest Income | 4,400 | 2,283 | 8,864 | 6,948 | ||||||||||||
Non-Interest Expense | ||||||||||||||||
Salaries and Employee Benefits | 13,439 | 11,653 | 26,863 | 25,180 | ||||||||||||
Net Gain on Deferred Compensation Investments | 818 | 407 | 1,863 | 1,189 | ||||||||||||
Occupancy | 1,014 | 907 | 2,054 | 1,849 | ||||||||||||
Equipment | 1,176 | 1,018 | 2,353 | 2,041 | ||||||||||||
Marketing | 233 | 390 | 613 | 719 | ||||||||||||
Legal | 851 | 852 | 1,720 | 1,292 | ||||||||||||
FDIC Insurance | 230 | 227 | 471 | 466 | ||||||||||||
Other | 2,804 | 2,691 | 5,073 | 5,345 | ||||||||||||
Total Non-Interest Expense | 20,565 | 18,145 | 41,010 | 38,081 | ||||||||||||
Income Before Provision for Income Taxes | 19,008 | 14,139 | 37,234 | 27,441 | ||||||||||||
Provision for Income Taxes | 4,903 | 3,589 | 9,580 | 6,950 | ||||||||||||
Net Income | $ | 14,105 | $ | 10,550 | $ | 27,654 | $ | 20,491 | ||||||||
Basic and Diluted Earnings Per Common Share | $ | 17.92 | $ | 12.90 | $ | 35.19 | $ | 25.14 |
(in thousands) | Three Months Ended March 31, | |||||||
2019 | 2018 | |||||||
Net Income | $ | 13,549 | $ | 9,941 | ||||
Other Comprehensive Income | ||||||||
Increase in Net Unrealized Gain (Loss) on Available-for-Sale Securities | 4,246 | (5,288 | ) | |||||
Deferred Tax (Expense) Benefit Related to Unrealized (Gains) Losses | (1,256 | ) | 1,563 | |||||
Change in Net Unrealized Gain (Loss) on Available-for-Sale Securities, Net of Tax | 2,990 | (3,725 | ) | |||||
Total Other Comprehensive Income (Loss) | 2,990 | (3,725 | ) | |||||
Comprehensive Income | $ | 16,539 | $ | 6,216 |
(in thousands) | Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2019 | 2018 | 2019 | 2018 | |||||||||||||
Net Income | $ | 14,105 | $ | 10,550 | $ | 27,654 | $ | 20,491 | ||||||||
Other Comprehensive Income | ||||||||||||||||
Increase in Net Unrealized Gain (Loss) on Available-for-Sale Securities | 3,741 | (2,519 | ) | 7,987 | (7,807 | ) | ||||||||||
Deferred Tax (Expense) Benefit Related to net Unrealized Gains (loss) | (1,105 | ) | 757 | (2,361 | ) | 2,320 | ||||||||||
Reclassification Adjustment for Realized Losses (Gains) on Available-for-Sale Securities Included in Net Income | - | 1,330 | - | 1,330 | ||||||||||||
Deferred Tax (Expense) Benefit Related to Reclassification Adjustment | - | (405 | ) | - | (405 | ) | ||||||||||
Total Other Comprehensive Income (Loss) | 2,636 | (837 | ) | 5,626 | (4,562 | ) | ||||||||||
Comprehensive Income | $ | 16,741 | $ | 9,713 | $ | 33,280 | $ | 15,929 |
(in thousands except share data) | Common Shares Outstanding | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss, net | Total Shareholders' Equity | ||||||||||||||||||
Balance, January 1, 2018 | 812,304 | $ | 8 | $ | 93,624 | $ | 206,845 | $ | (817 | ) | $ | 299,660 | ||||||||||||
Net Income | - | - | 9,941 | - | 9,941 | |||||||||||||||||||
Change in Net Unrealized Loss on Securities Available-for-Sale, net of tax | - | - | - | (3,725 | ) | (3,725 | ) | |||||||||||||||||
Balance, March 31, 2018 | 812,304 | $ | 8 | $ | 93,624 | $ | 216,786 | $ | (4,542 | ) | $ | 305,876 | ||||||||||||
Balance, January 1, 2019 | 783,721 | $ | 8 | $ | 72,974 | $ | 241,221 | $ | (2,988 | ) | $ | 311,215 | ||||||||||||
Net Income | - | - | 13,549 | - | 13,549 | |||||||||||||||||||
Issuance of Common Stock | 3,586 | - | 2,564 | - | - | 2,564 | ||||||||||||||||||
Change in Net Unrealized Gain on Securities Available-for-Sale, net of tax | - | - | - | 2,990 | 2,990 | |||||||||||||||||||
Balance, March 31, 2019 | 787,307 | $ | 8 | $ | 75,538 | $ | 254,770 | $ | 2 | $ | 330,318 |
For the three and six months ended June 30, 2019 and 2018 | ||||||||||||||||||||||||
(in thousands except share data) | Common Shares Outstanding | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive (Loss) Income, net | Total Shareholders’ Equity | ||||||||||||||||||
Three Months Ended June 30, 2019 | ||||||||||||||||||||||||
Balance, April 1, 2019 | 787,307 | $ | 8 | $ | 75,538 | $ | 254,770 | $ | 2 | $ | 330,318 | |||||||||||||
Net Income | - | 14,105 | - | 14,105 | ||||||||||||||||||||
Cash Dividends Declared on | - | |||||||||||||||||||||||
Common Stock ($7.05 per share) | - | - | (5,550 | ) | - | (5,550 | ) | |||||||||||||||||
Issuance of Common Stock | - | - | - | - | - | - | ||||||||||||||||||
Change in Net Unrealized Loss on Securities Available-for-Sale, net of tax | - | - | - | 2,636 | 2,636 | |||||||||||||||||||
Balance, June 30, 2019 | 787,307 | $ | 8 | $ | 75,538 | $ | 263,325 | $ | 2,638 | $ | 341,509 | |||||||||||||
Three Months Ended June 30, 2018 | ||||||||||||||||||||||||
Balance, April 1, 2018 | 812,304 | $ | 8 | $ | 93,624 | $ | 216,786 | $ | (4,542 | ) | $ | 305,876 | ||||||||||||
Net Income | - | 10,550 | - | 10,550 | ||||||||||||||||||||
Cash Dividends Declared on | - | |||||||||||||||||||||||
Common Stock ($6.90 per share) | - | - | (5,665 | ) | - | (5,665 | ) | |||||||||||||||||
Issuance of Common Stock | 8,769 | - | 5,568 | - | - | 5,568 | ||||||||||||||||||
Change in Net Unrealized Loss on Securities Available-for-Sale, net of tax | - | - | - | (837 | ) | (837 | ) | |||||||||||||||||
Balance, June 30, 2018 | 821,073 | $ | 8 | $ | 99,192 | $ | 221,671 | $ | (5,379 | ) | $ | 315,492 | ||||||||||||
Six Months Ended June 30, 2019 | ||||||||||||||||||||||||
Balance, January 1, 2019 | 783,721 | $ | 8 | $ | 72,974 | $ | 241,221 | $ | (2,988 | ) | $ | 311,215 | ||||||||||||
Net Income | - | 27,654 | - | 27,654 | ||||||||||||||||||||
Cash Dividends Declared on | - | |||||||||||||||||||||||
Common Stock ($7.05 per share) | - | - | (5,550 | ) | - | (5,550 | ) | |||||||||||||||||
Issuance of Common Stock | 3,586 | - | 2,564 | - | - | 2,564 | ||||||||||||||||||
Change in Net Unrealized Loss on Securities Available-for-Sale, net of tax | - | - | - | 5,626 | 5,626 | |||||||||||||||||||
Balance, June 30, 2019 | 787,307 | $ | 8 | $ | 75,538 | $ | 263,325 | $ | 2,638 | $ | 341,509 | |||||||||||||
Six Months Ended June 30, 2018 | ||||||||||||||||||||||||
Balance, January 1, 2018 | 812,304 | $ | 8 | $ | 93,624 | $ | 206,845 | $ | (817 | ) | $ | 299,660 | ||||||||||||
Net Income | - | 20,491 | - | 20,491 | ||||||||||||||||||||
Cash Dividends Declared on | - | |||||||||||||||||||||||
Common Stock ($6.90 per share) | - | - | (5,665 | ) | - | (5,665 | ) | |||||||||||||||||
Issuance of Common Stock | 8,769 | - | 5,568 | - | - | 5,568 | ||||||||||||||||||
Change in Net Unrealized Loss on Securities Available-for-Sale, net of tax | - | - | - | (4,562 | ) | (4,562 | ) | |||||||||||||||||
Balance, June 30, 2018 | 821,073 | $ | 8 | $ | 99,192 | $ | 221,671 | $ | (5,379 | ) | $ | 315,492 |
FARMERS & MERCHANTS BANCORP |
Three Months Ended | ||||||||
(in thousands) | March 31, 2019 | March 31, 2018 | ||||||
Operating Activities: | ||||||||
Net Income | $ | 13,549 | $ | 9,941 | ||||
Adjustments to Reconcile Net Income to Net | ||||||||
Cash Provided by Operating Activities: | ||||||||
Provision for Credit Losses | - | 333 | ||||||
Depreciation and Amortization | 692 | 582 | ||||||
Net Amortization of Investment Security Premiums & Discounts | 115 | 277 | ||||||
Amortization of Core Deposit Intangible | 160 | 27 | ||||||
Accretion of Discount on Acquired Loans | (5 | ) | (18 | ) | ||||
Net (Gain) on Sale of Property & Equipment | - | (292 | ) | |||||
Net Change in Operating Assets & Liabilities: | ||||||||
Net (Increase) Decrease in Interest Receivable and Other Assets | 6,456 | (2,525 | ) | |||||
Net (Decrease) Increase in Interest Payable and Other Liabilities | (2,080 | ) | 682 | |||||
Net Cash Provided by Operating Activities | 18,887 | 9,007 | ||||||
Investing Activities: | ||||||||
Purchase of Investment Securities Available-for-Sale | (155,798 | ) | (109,482 | ) | ||||
Proceeds from Sold, Matured or Called Securities Available-for-Sale | 138,952 | 89,724 | ||||||
Purchase of Investment Securities Held-to-Maturity | (2,025 | ) | (1,952 | ) | ||||
Proceeds from Matured or Called Securities Held-to-Maturity | 1,160 | 2,870 | ||||||
Net Loans & Leases Paid, Originated or Acquired | 6,877 | (19,791 | ) | |||||
Principal Collected on Loans & Leases Previously Charged Off | 42 | 23 | ||||||
Additions to Premises and Equipment | (449 | ) | (1,085 | ) | ||||
Purchase of Other Investments | (608 | ) | (639 | ) | ||||
Proceeds from Sale of Property & Equipment | - | 983 | ||||||
Net Cash Used in Investing Activities | (11,849 | ) | (39,349 | ) | ||||
Financing Activities: | ||||||||
Net Decrease in Deposits | (54,792 | ) | (21,823 | ) | ||||
Net Cash Used in Financing Activities | (54,792 | ) | (21,823 | ) | ||||
Decrease in Cash and Cash Equivalents | (47,754 | ) | (52,165 | ) | ||||
Cash and Cash Equivalents at Beginning of Period | 145,564 | 187,149 | ||||||
Cash and Cash Equivalents at End of Period | $ | 97,810 | $ | 134,984 | ||||
Supplementary Data | ||||||||
Issuance of Common Stock to the Bank's Non-Qualified Retirement Plans | $ | 2,564 | $ | - | ||||
Interest Paid | $ | 2,128 | $ | 1,750 | ||||
Supplementary Noncash Disclosure | ||||||||
Security (purchases) sales settled in subsequent period | $ | 25,000 | $ | - |
Six Months Ended | ||||||||
(in thousands) | June 30, 2019 | June 30, 2018 | ||||||
Operating Activities: | ||||||||
Net Income | $ | 27,654 | $ | 20,491 | ||||
Adjustments to Reconcile Net Income to Net | ||||||||
Cash Provided by Operating Activities: | ||||||||
Provision for Credit Losses | 200 | 833 | ||||||
Depreciation and Amortization | 1,387 | 1,155 | ||||||
Net Amortization of Investment Security Premiums & Discounts | 222 | 568 | ||||||
Amortization of Core Deposit Intangible | 319 | 54 | ||||||
Accretion of Discount on Acquired Loans | (6 | ) | (87 | ) | ||||
Net Loss on Sale of Investment Securities | - | 1,330 | ||||||
Net (Gain) on Sale of Property & Equipment | - | (292 | ) | |||||
Earnings from Equity Investment | - | (164 | ) | |||||
Dividends from Equity Investment | - | 63 | ||||||
Net Change in Operating Assets & Liabilities: | ||||||||
Net Decrease in Interest Receivable and Other Assets | 810 | 218 | ||||||
Net Increase in Interest Payable and Other Liabilities | 4,175 | 1,788 | ||||||
Net Cash Provided by Operating Activities | 34,761 | 25,957 | ||||||
Investing Activities: | ||||||||
Purchase of Investment Securities Available-for-Sale | (316,054 | ) | (169,467 | ) | ||||
Proceeds from Sold, Matured or Called Securities Available-for-Sale | 330,902 | 227,072 | ||||||
Purchase of Investment Securities Held-to-Maturity | (11,606 | ) | (2,770 | ) | ||||
Proceeds from Matured or Called Securities Held-to-Maturity | 4,823 | 4,990 | ||||||
Net Loans & Leases Paid, Originated or Acquired | (28,069 | ) | (129,154 | ) | ||||
Principal Collected on Loans & Leases Previously Charged Off | 77 | 50 | ||||||
Additions to Premises and Equipment | (628 | ) | (2,497 | ) | ||||
Purchase of Other Investments | (1,947 | ) | (3,794 | ) | ||||
Proceeds from Sale of Property & Equipment | - | 983 | ||||||
Net Cash Used in Investing Activities | (22,502 | ) | (74,587 | ) | ||||
Financing Activities: | ||||||||
Net Decrease in Deposits | (37,556 | ) | (25,955 | ) | ||||
Cash Dividends | (5,550 | ) | (5,665 | ) | ||||
Net Cash Used in Financing Activities | (43,106 | ) | (31,620 | ) | ||||
Decrease in Cash and Cash Equivalents | (30,847 | ) | (80,250 | ) | ||||
Cash and Cash Equivalents at Beginning of Period | 145,564 | 187,149 | ||||||
Cash and Cash Equivalents at End of Period | $ | 114,717 | $ | 106,899 | ||||
Supplementary Data | ||||||||
Cash Payments Made for Income Taxes | $ | 4,631 | $ | 3,051 | ||||
Issuance of Common Stock to the Bank’s Non-Qualified Retirement Plans | $ | 2,564 | $ | 5,568 | ||||
Interest Paid | $ | 5,109 | $ | 3,492 |
(in thousands) | 2019 | 2020 | 2021 | 2022 | 2023 | Thereafter | Total | 2019 | 2020 | 2021 | 2022 | 2023 | Thereafter | Total | ||||||||||||||||||||||||||||||||||||||||||
Core Deposit Intangible Amortization | $ | 480 | $ | 626 | $ | 611 | $ | 593 | $ | 573 | $ | 2,236 | $ | 5,119 | $ | 320 | $ | 626 | $ | 611 | $ | 593 | $ | 573 | $ | 2,236 | $ | 4,959 |
Amortized | Gross Unrealized | Fair/Book | Amortized | Gross Unrealized | Fair/Book | |||||||||||||||||||||||||||
March 31, 2019 | Cost | Gains | Losses | Value | ||||||||||||||||||||||||||||
June 30, 2019 | Cost | Gains | Losses | Value | ||||||||||||||||||||||||||||
Government Agency & Government-Sponsored Entities | $ | 3,021 | $ | 6 | $ | - | $ | 3,027 | $ | 3,009 | $ | 5 | $ | - | $ | 3,014 | ||||||||||||||||
US Treasury Notes | 164,660 | 48 | 34 | 164,674 | 174,688 | 245 | 25 | 174,908 | ||||||||||||||||||||||||
US Govt SBA | 14,554 | 5 | 147 | 14,412 | ||||||||||||||||||||||||||||
US Government Agency SBA | 13,289 | 23 | 114 | 13,198 | ||||||||||||||||||||||||||||
Mortgage Backed Securities (1) | 303,895 | 1,764 | 1,639 | 304,020 | 288,550 | 3,727 | 116 | 292,161 | ||||||||||||||||||||||||
Other | 5,156 | - | - | 5,156 | 4,812 | - | - | 4,812 | ||||||||||||||||||||||||
Total | $ | 491,286 | $ | 1,823 | $ | 1,820 | $ | 491,289 | $ | 484,348 | $ | 4,000 | $ | 255 | $ | 488,093 |
Amortized | Gross Unrealized | Fair/Book | Amortized | Gross Unrealized | Fair/Book | |||||||||||||||||||||||||||
December 31, 2018 | Cost | Gains | Losses | Value | Cost | Gains | Losses | Value | ||||||||||||||||||||||||
Government Agency & Government-Sponsored Entities | $ | 3,033 | $ | 6 | $ | - | $ | 3,039 | $ | 3,033 | $ | 6 | $ | - | $ | 3,039 | ||||||||||||||||
US Treasury Notes | 164,672 | - | 158 | 164,514 | 164,672 | - | 158 | 164,514 | ||||||||||||||||||||||||
US Govt SBA | 15,601 | 6 | 160 | 15,447 | ||||||||||||||||||||||||||||
US Government Agency SBA | 15,601 | 6 | 160 | 15,447 | ||||||||||||||||||||||||||||
Mortgage Backed Securities (1) | 310,982 | 1,196 | 5,133 | 307,045 | 310,982 | 1,196 | 5,133 | 307,045 | ||||||||||||||||||||||||
Other | 5,351 | - | - | 5,351 | 5,351 | - | - | 5,351 | ||||||||||||||||||||||||
Total | $ | 499,639 | $ | 1,208 | $ | 5,451 | $ | 495,396 | $ | 499,639 | $ | 1,208 | $ | 5,451 | $ | 495,396 |
Amortized | Gross Unrealized | Fair/Book | Amortized | Gross Unrealized | Fair/Book | |||||||||||||||||||||||||||
March 31, 2018 | Cost | Gains | Losses | Value | ||||||||||||||||||||||||||||
June 30, 2018 | Cost | Gains | Losses | Value | ||||||||||||||||||||||||||||
Government Agency & Government-Sponsored Entities | $ | 3,068 | $ | 27 | $ | - | $ | 3,095 | $ | 3,056 | $ | 15 | $ | - | $ | 3,071 | ||||||||||||||||
US Treasury Notes | 144,147 | 3 | 741 | 143,409 | 139,689 | 2 | 416 | 139,275 | ||||||||||||||||||||||||
US Govt SBA | 27,786 | 12 | 261 | 27,537 | ||||||||||||||||||||||||||||
US Government Agency SBA | 18,583 | 8 | 188 | 18,403 | ||||||||||||||||||||||||||||
Mortgage Backed Securities (1) | 324,251 | 393 | 5,881 | 318,763 | 293,473 | 337 | 7,396 | 286,414 | ||||||||||||||||||||||||
Other | 3,010 | - | - | 3,010 | 3,011 | - | - | 3,011 | ||||||||||||||||||||||||
Total | $ | 502,262 | $ | 435 | $ | 6,883 | $ | 495,814 | $ | 457,812 | $ | 362 | $ | 8,000 | $ | 450,174 |
Book | Gross Unrealized | Fair | Book | Gross Unrealized | Fair | |||||||||||||||||||||||||||
March 31, 2019 | Value | Gains | Losses | Value | ||||||||||||||||||||||||||||
June 30, 2019 | Value | Gains | Losses | Value | ||||||||||||||||||||||||||||
Obligations of States and Political Subdivisions | $ | 54,412 | $ | 571 | $ | 1 | $ | 54,982 | $ | 60,310 | $ | 845 | $ | - | $ | 61,155 | ||||||||||||||||
Total | $ | 54,412 | $ | 571 | $ | 1 | $ | 54,982 | $ | 60,310 | $ | 845 | $ | - | $ | 61,155 |
Book | Gross Unrealized | Fair | ||||||||||||||
December 31, 2018 | Value | Gains | Losses | Value | ||||||||||||
Obligations of States and Political Subdivisions | $ | 53,566 | $ | 211 | $ | 39 | $ | 53,738 | ||||||||
Total | $ | 53,566 | $ | 211 | $ | 39 | $ | 53,738 |
Book | Gross Unrealized | Fair | Book | Gross Unrealized | Fair | |||||||||||||||||||||||||||
March 31, 2018 | Value | Gains | Losses | Value | ||||||||||||||||||||||||||||
June 30, 2018 | Value | Gains | Losses | Value | ||||||||||||||||||||||||||||
Obligations of States and Political Subdivisions | $ | 53,527 | $ | 274 | $ | 56 | $ | 53,745 | $ | 52,210 | $ | 227 | $ | 79 | $ | 52,358 | ||||||||||||||||
Total | $ | 53,527 | $ | 274 | $ | 56 | $ | 53,745 | $ | 52,210 | $ | 227 | $ | 79 | $ | 52,358 |
Available-for-Sale | Held-to-Maturity | Available-for-Sale | Held-to-Maturity | |||||||||||||||||||||||||||||
March 31, 2019 | Amortized Cost | Fair/Book Value | Book Value | Fair Value | ||||||||||||||||||||||||||||
June 30, 2019 | Amortized Cost | Fair/Book Value | Book Value | Fair Value | ||||||||||||||||||||||||||||
Within one year | $ | 156,785 | $ | 156,762 | $ | 760 | $ | 761 | $ | 166,665 | $ | 166,644 | $ | 562 | $ | 563 | ||||||||||||||||
After one year through five years | 16,814 | 16,856 | 3,329 | 3,330 | 16,515 | 16,760 | 3,513 | 3,520 | ||||||||||||||||||||||||
After five years through ten years | 1,387 | 1,386 | 24,797 | 25,189 | 1,239 | 1,241 | 24,440 | 25,048 | ||||||||||||||||||||||||
After ten years | 12,405 | 12,265 | 25,526 | 25,702 | 11,380 | 11,287 | 31,795 | 32,024 | ||||||||||||||||||||||||
187,391 | 187,269 | 54,412 | 54,982 | 195,799 | 195,932 | 60,310 | 61,155 | |||||||||||||||||||||||||
Investment securities not due at a single maturity date: | ||||||||||||||||||||||||||||||||
Mortgage-backed securities | 303,895 | 304,020 | - | - | 288,549 | 292,161 | - | - | ||||||||||||||||||||||||
Total | $ | 491,286 | $ | 491,289 | $ | 54,412 | $ | 54,982 | $ | 484,348 | $ | 488,093 | $ | 60,310 | $ | 61,155 |
Less Than 12 Months | 12 Months or More | Total | ||||||||||||||||||||||
March 31, 2019 | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||||||
Securities Available-for-Sale | ||||||||||||||||||||||||
US Treasury Notes | $ | 149,962 | $ | 28 | $ | 4,909 | $ | 6 | $ | 154,871 | $ | 34 | ||||||||||||
US Govt SBA | 1,310 | - | 10,823 | 147 | 12,133 | 147 | ||||||||||||||||||
Mortgage Backed Securities | 5,434 | 25 | 190,452 | 1,614 | 195,886 | 1,639 | ||||||||||||||||||
Total | $ | 156,706 | $ | 53 | $ | 206,184 | $ | 1,767 | $ | 362,890 | $ | 1,820 | ||||||||||||
Securities Held-to-Maturity | ||||||||||||||||||||||||
Obligations of States and Political Subdivisions | $ | 229 | $ | 1 | $ | 360 | $ | - | $ | 589 | $ | 1 | ||||||||||||
Total | $ | 229 | $ | 1 | $ | 360 | $ | - | $ | 589 | $ | 1 |
Less Than 12 Months | 12 Months or More | Total | Less Than 12 Months | 12 Months or More | Total | |||||||||||||||||||||||||||||||||||||||||||
December 31, 2018 | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||||||||||||||||||||||||||||||
June 30, 2019 | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||||||||||||||||||||||||||||||
Securities Available-for-Sale | ||||||||||||||||||||||||||||||||||||||||||||||||
US Treasury Notes | $ | 124,985 | $ | 7 | $ | 39,529 | $ | 151 | $ | 164,514 | $ | 158 | $ | 159,966 | $ | 25 | $ | - | $ | - | $ | 159,966 | $ | 25 | ||||||||||||||||||||||||
US Govt SBA | 3,250 | 28 | 8,618 | 132 | 11,868 | 160 | ||||||||||||||||||||||||||||||||||||||||||
US Government Agency SBA | 60 | - | 6,750 | 114 | 6,810 | 114 | ||||||||||||||||||||||||||||||||||||||||||
Mortgage Backed Securities | 52,289 | 528 | 207,271 | 4,605 | 259,560 | 5,133 | 1,331 | 1 | 35,247 | 115 | 36,578 | 116 | ||||||||||||||||||||||||||||||||||||
Total | $ | 180,524 | $ | 563 | $ | 255,418 | $ | 4,888 | $ | 435,942 | $ | 5,451 | $ | 161,357 | $ | 26 | $ | 41,997 | $ | 229 | $ | 203,354 | $ | 255 | ||||||||||||||||||||||||
Securities Held-to-Maturity | ||||||||||||||||||||||||||||||||||||||||||||||||
Obligations of States and Political Subdivisions | $ | 6,052 | $ | 23 | $ | 849 | $ | 16 | $ | 6,901 | $ | 39 | ||||||||||||||||||||||||||||||||||||
Total | $ | 6,052 | $ | 23 | $ | 849 | $ | 16 | $ | 6,901 | $ | 39 |
Less Than 12 Months | 12 Months or More | Total | ||||||||||||||||||||||
December 31, 2018 | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||||||
Securities Available-for-Sale | ||||||||||||||||||||||||
US Treasury Notes | $ | 124,985 | $ | 7 | $ | 39,529 | $ | 151 | $ | 164,514 | $ | 158 | ||||||||||||
US Government Agency SBA | 3,250 | 28 | 8,618 | 132 | 11,868 | 160 | ||||||||||||||||||
Mortgage Backed Securities | 52,289 | 528 | 207,271 | 4,605 | 259,560 | 5,133 | ||||||||||||||||||
Total | $ | 180,524 | $ | 563 | $ | 255,418 | $ | 4,888 | $ | 435,942 | $ | 5,451 | ||||||||||||
Securities Held-to-Maturity | ||||||||||||||||||||||||
Obligations of States and Political Subdivisions | $ | 6,052 | $ | 23 | $ | 849 | $ | 16 | $ | 6,901 | $ | 39 | ||||||||||||
Total | $ | 6,052 | $ | 23 | $ | 849 | $ | 16 | $ | 6,901 | $ | 39 |
Less Than 12 Months | 12 Months or More | Total | Less Than 12 Months | 12 Months or More | Total | |||||||||||||||||||||||||||||||||||||||||||
March 31, 2018 | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||||||||||||||||||||||||||||||
June 30, 2018 | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | Fair Value | Unrealized Loss | ||||||||||||||||||||||||||||||||||||||||||
Securities Available-for-Sale | ||||||||||||||||||||||||||||||||||||||||||||||||
US Treasury Notes | $ | 23,551 | $ | 436 | $ | 59,866 | $ | 305 | $ | 83,417 | $ | 741 | $ | 14,412 | $ | 178 | $ | 29,876 | $ | 238 | $ | 44,288 | $ | 416 | ||||||||||||||||||||||||
US Govt SBA | 10,848 | 82 | 11,737 | 179 | 22,585 | 261 | ||||||||||||||||||||||||||||||||||||||||||
US Government Agency SBA | 5,589 | 68 | 9,023 | 120 | 14,612 | 188 | ||||||||||||||||||||||||||||||||||||||||||
Mortgage Backed Securities | 259,314 | 4,606 | 41,230 | 1,275 | 300,544 | 5,881 | 214,949 | 5,464 | 58,148 | 1,932 | 273,097 | 7,396 | ||||||||||||||||||||||||||||||||||||
Total | $ | 293,713 | $ | 5,124 | $ | 112,833 | $ | 1,759 | $ | 406,546 | $ | 6,883 | $ | 234,950 | $ | 5,710 | $ | 97,047 | $ | 2,290 | $ | 331,997 | $ | 8,000 | ||||||||||||||||||||||||
Securities Held-to-Maturity | ||||||||||||||||||||||||||||||||||||||||||||||||
Obligations of States and Political Subdivisions | $ | 7,654 | $ | 56 | $ | - | $ | - | $ | 7,654 | $ | 56 | $ | 8,543 | $ | 79 | $ | - | $ | - | $ | 8,543 | $ | 79 | ||||||||||||||||||||||||
Total | $ | 7,654 | $ | 56 | $ | - | $ | - | $ | 7,654 | $ | 56 | $ | 8,543 | $ | 79 | $ | - | $ | - | $ | 8,543 | $ | 79 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
(in thousands) | 2019 | 2018 | 2019 | 2018 | ||||||||||||
Proceeds | $ | 1,310 | $ | 31,370 | $ | 1,310 | $ | 31,370 | ||||||||
Gains | - | 8 | - | 8 | ||||||||||||
Losses | - | 1,338 | - | 1,338 |
March 31, 2019 | Commercial Real Estate | Agricultural Real Estate | Real Estate Construction | Residential 1st Mortgages | Home Equity Lines & Loans | Agricultural | Commercial | Consumer & Other | Leases | Unallocated | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2019 | Commercial Real Estate | Agricultural Real Estate | Real Estate Construction | Residential 1st Mortgages | Home Equity Lines & Loans | Agricultural | Commercial | Consumer & Other | Leases | Unallocated | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Year-To-Date Allowance for Credit Losses: | Year-To-Date Allowance for Credit Losses: | Year-To-Date Allowance for Credit Losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance- January 1, 2019 | $ | 11,609 | $ | 14,092 | $ | 1,249 | $ | 880 | $ | 2,761 | $ | 8,242 | $ | 11,656 | $ | 494 | $ | 4,022 | $ | 261 | $ | 55,266 | $ | 11,609 | $ | 14,092 | $ | 1,249 | $ | 880 | $ | 2,761 | $ | 8,242 | $ | 11,656 | $ | 494 | $ | 4,022 | $ | 261 | $ | 55,266 | ||||||||||||||||||||||||||||||||||||||||||||
Charge-Offs | - | - | - | - | - | - | (379 | ) | (21 | ) | - | - | (400 | ) | - | - | - | - | - | - | (379 | ) | (39 | ) | - | - | (418 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | - | - | - | 3 | 6 | 6 | 12 | 14 | - | - | 41 | - | - | - | 6 | 11 | 11 | 23 | 26 | - | - | 77 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision | (209 | ) | 401 | (42 | ) | (20 | ) | (29 | ) | (800 | ) | 644 | (20 | ) | (14 | ) | 89 | - | (929 | ) | 480 | 448 | (22 | ) | (29 | ) | (772 | ) | 967 | (17 | ) | (922 | ) | 996 | 200 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance- March 31, 2019 | $ | 11,400 | $ | 14,493 | $ | 1,207 | $ | 863 | $ | 2,738 | $ | 7,448 | $ | 11,933 | $ | 467 | $ | 4,008 | $ | 350 | $ | 54,907 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance- June 30, 2019 | $ | 10,680 | $ | 14,572 | $ | 1,697 | $ | 864 | $ | 2,743 | $ | 7,481 | $ | 12,267 | $ | 464 | $ | 3,100 | $ | 1,257 | $ | 55,125 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Second Quarter Allowance for Credit Losses: | Second Quarter Allowance for Credit Losses: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance- April 1, 2019 | $ | 11,400 | $ | 14,493 | $ | 1,207 | $ | 863 | $ | 2,738 | $ | 7,448 | $ | 11,933 | $ | 467 | $ | 4,008 | $ | 350 | $ | 54,907 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-Offs | - | - | - | - | - | - | - | (18 | ) | - | - | (18 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | - | - | - | 3 | 5 | 4 | 12 | 12 | - | - | 36 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision | (720 | ) | 79 | 490 | (2 | ) | - | 29 | 322 | 3 | (908 | ) | 907 | 200 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance- June 30, 2019 | $ | 10,680 | $ | 14,572 | $ | 1,697 | $ | 864 | $ | 2,743 | $ | 7,481 | $ | 12,267 | $ | 464 | $ | 3,100 | $ | 1,257 | $ | 55,125 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance Individually Evaluated for Impairment | 214 | - | - | 124 | 13 | 98 | 172 | 6 | - | - | 627 | 201 | - | - | 122 | 12 | 99 | 158 | 6 | - | - | 598 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance Collectively Evaluated for Impairment | 11,186 | 14,493 | 1,207 | 739 | 2,725 | 7,350 | 11,761 | 461 | 4,008 | 350 | 54,280 | 10,479 | 14,572 | 1,697 | 742 | 2,731 | 7,382 | 12,109 | 458 | 3,100 | 1,257 | 54,527 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans & Leases: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance | $ | 815,366 | $ | 603,601 | $ | 99,837 | $ | 258,359 | $ | 40,072 | $ | 257,004 | $ | 364,439 | $ | 18,418 | $ | 106,872 | $ | - | $ | 2,563,968 | $ | 813,750 | $ | 605,776 | $ | 93,539 | $ | 257,408 | $ | 40,210 | $ | 284,858 | $ | 382,192 | $ | 17,844 | $ | 103,321 | $ | - | $ | 2,598,898 | ||||||||||||||||||||||||||||||||||||||||||||
Ending Balance Individually Evaluated for Impairment | 4,638 | 7,238 | - | 2,469 | 255 | 200 | 1,591 | 6 | - | - | 16,397 | 4,601 | 5,702 | - | 2,444 | 247 | 196 | 1,579 | 6 | - | - | 14,775 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance Collectively Evaluated for Impairment | $ | 810,728 | $ | 596,363 | $ | 99,837 | $ | 255,890 | $ | 39,817 | $ | 256,804 | $ | 362,848 | $ | 18,412 | $ | 106,872 | $ | - | $ | 2,547,571 | $ | 809,149 | $ | 600,074 | $ | 93,539 | $ | 254,964 | $ | 39,963 | $ | 284,662 | $ | 380,613 | $ | 17,838 | $ | 103,321 | $ | - | $ | 2,584,123 |
December 31, 2018 | Commercial Real Estate | Agricultural Real Estate | Real Estate Construction | Residential 1st Mortgages | Home Equity Lines & Loans | Agricultural | Commercial | Consumer & Other | Leases | Unallocated | Total | |||||||||||||||||||||||||||||||||
Year-To-Date Allowance for Credit Losses: | ||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance- January 1, 2018 | $ | 10,922 | $ | 12,085 | $ | 1,846 | $ | 815 | $ | 2,324 | $ | 8,159 | $ | 9,197 | $ | 209 | $ | 3,363 | $ | 1,422 | $ | 50,342 | ||||||||||||||||||||||
Charge-Offs | - | - | - | (31 | ) | (8 | ) | - | (613 | ) | (115 | ) | - | - | (767 | ) | ||||||||||||||||||||||||||||
Recoveries | 2 | - | - | 15 | 6 | 61 | 20 | 54 | - | - | 158 | |||||||||||||||||||||||||||||||||
Provision | 685 | 2,007 | (597 | ) | 81 | 439 | 22 | 3,052 | 346 | 659 | (1,161 | ) | 5,533 | |||||||||||||||||||||||||||||||
Ending Balance- December 31, 2018 | $ | 11,609 | $ | 14,092 | $ | 1,249 | $ | 880 | $ | 2,761 | $ | 8,242 | $ | 11,656 | $ | 494 | $ | 4,022 | $ | 261 | $ | 55,266 | ||||||||||||||||||||||
Ending Balance Individually Evaluated for Impairment | 234 | - | - | 125 | 15 | - | 185 | 6 | - | - | 565 | |||||||||||||||||||||||||||||||||
Ending Balance Collectively Evaluated for Impairment | 11,375 | 14,092 | 1,249 | 755 | 2,746 | 8,242 | 11,471 | 488 | 4,022 | 261 | 54,701 | |||||||||||||||||||||||||||||||||
Loans & Leases: | ||||||||||||||||||||||||||||||||||||||||||||
Ending Balance | $ | 826,549 | $ | 584,625 | $ | 98,568 | $ | 259,736 | $ | 40,789 | $ | 290,463 | $ | 343,834 | $ | 19,412 | $ | 107,265 | $ | - | $ | 2,571,241 | ||||||||||||||||||||||
Ending Balance Individually Evaluated for Impairment | 4,676 | 7,238 | - | 2,491 | 297 | - | 1,639 | 6 | - | - | 16,347 | |||||||||||||||||||||||||||||||||
Ending Balance Collectively Evaluated for Impairment | 821,873 | 577,387 | 98,568 | 257,245 | 40,492 | 290,463 | 342,195 | 19,406 | 107,265 | - | 2,554,894 |
March 31, 2018 | Commercial Real Estate | Agricultural Real Estate | Real Estate Construction | Residential 1st Mortgages | Home Equity Lines & Loans | Agricultural | Commercial | Consumer & Other | Leases | Unallocated | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2018 | Commercial Real Estate | Agricultural Real Estate | Real Estate Construction | Residential 1st Mortgages | Home Equity Lines & Loans | Agricultural | Commercial | Consumer & Other | Leases | Unallocated | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Year-To-Date Allowance for Credit Losses: | Year-To-Date Allowance for Credit Losses: | Year-To-Date Allowance for Credit Losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance- January 1, 2018 | $ | 10,922 | $ | 12,085 | $ | 1,846 | $ | 815 | $ | 2,324 | $ | 8,159 | $ | 9,197 | $ | 209 | $ | 3,363 | $ | 1,422 | $ | 50,342 | $ | 10,922 | $ | 12,085 | $ | 1,846 | $ | 815 | $ | 2,324 | $ | 8,159 | $ | 9,197 | $ | 209 | $ | 3,363 | $ | 1,422 | $ | 50,342 | ||||||||||||||||||||||||||||||||||||||||||||
Charge-Offs | - | - | - | - | (4 | ) | - | - | (17 | ) | - | - | (21 | ) | - | - | - | (12 | ) | (4 | ) | - | (14 | ) | (58 | ) | - | - | (88 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | - | - | - | 3 | 1 | 6 | 2 | 11 | - | - | 23 | - | - | - | 6 | 2 | 13 | 3 | 26 | - | - | 50 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision | 156 | 157 | 27 | 9 | 22 | (297 | ) | 175 | 36 | 27 | 21 | 333 | (139 | ) | 1,229 | (230 | ) | 55 | 226 | (514 | ) | 250 | 93 | 37 | (174 | ) | 833 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance- March 31, 2018 | $ | 11,078 | $ | 12,242 | $ | 1,873 | $ | 827 | $ | 2,343 | $ | 7,868 | $ | 9,374 | $ | 239 | $ | 3,390 | $ | 1,443 | $ | 50,677 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance- June 30, 2018 | $ | 10,783 | $ | 13,314 | $ | 1,616 | $ | 864 | $ | 2,548 | $ | 7,658 | $ | 9,436 | $ | 270 | $ | 3,400 | $ | 1,248 | $ | 51,137 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Second Quarter Allowance for Credit Losses: | Second Quarter Allowance for Credit Losses: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance- April 1, 2018 | $ | 11,078 | $ | 12,242 | $ | 1,873 | $ | 827 | $ | 2,343 | $ | 7,868 | $ | 9,374 | $ | 239 | $ | 3,390 | $ | 1,443 | $ | 50,677 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-Offs | - | - | - | (12 | ) | - | - | (14 | ) | (41 | ) | - | - | (67 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | - | - | - | 3 | 1 | 7 | 1 | 15 | - | - | 27 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision | (295 | ) | 1,072 | (257 | ) | 46 | 204 | (217 | ) | 75 | 57 | 10 | (195 | ) | 500 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance- June 30, 2018 | $ | 10,783 | $ | 13,314 | $ | 1,616 | $ | 864 | $ | 2,548 | $ | 7,658 | $ | 9,436 | $ | 270 | $ | 3,400 | $ | 1,248 | $ | 51,137 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance Individually Evaluated for Impairment | 335 | - | - | 76 | 17 | - | 205 | 8 | - | - | 641 | 333 | - | - | 131 | 16 | - | 487 | 7 | - | - | 974 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance Collectively Evaluated for Impairment | 10,743 | 12,242 | 1,873 | 751 | 2,326 | 7,868 | 9,169 | 231 | 3,390 | 1,443 | 50,036 | 10,450 | 13,314 | 1,616 | 733 | 2,532 | 7,658 | 8,949 | 263 | 3,400 | 1,248 | 50,163 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans & Leases: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance | $ | 698,349 | $ | 508,400 | $ | 96,315 | $ | 264,137 | $ | 34,691 | $ | 261,427 | $ | 274,682 | $ | 6,685 | $ | 90,397 | $ | - | $ | 2,235,083 | $ | 752,043 | $ | 540,852 | $ | 94,223 | $ | 261,804 | $ | 37,669 | $ | 273,170 | $ | 286,651 | $ | 7,390 | $ | 90,646 | $ | - | $ | 2,344,448 | ||||||||||||||||||||||||||||||||||||||||||||
Ending Balance Individually Evaluated for Impairment | 4,784 | - | - | 2,427 | 332 | - | 1,713 | 9 | - | - | 9,265 | 4,749 | - | - | 2,628 | 324 | - | 2,290 | 7 | - | - | 9,998 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance Collectively Evaluated for Impairment | $ | 693,565 | $ | 508,400 | $ | 96,315 | $ | 261,710 | $ | 34,359 | $ | 261,427 | $ | 272,969 | $ | 6,676 | $ | 90,397 | $ | - | $ | 2,225,818 | $ | 747,294 | $ | 540,852 | $ | 94,223 | $ | 259,176 | $ | 37,345 | $ | 273,170 | $ | 284,361 | $ | 7,383 | $ | 90,646 | $ | - | $ | 2,334,450 |
March 31, 2019 | Pass | Special Mention | Substandard | Total Loans & Leases | ||||||||||||||||||||||||||||
June 30, 2019 | Pass | Special Mention | Substandard | Total Loans & Leases | ||||||||||||||||||||||||||||
Loans & Leases: | ||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 813,090 | $ | 2,276 | $ | - | $ | 815,366 | $ | 811,627 | $ | 2,123 | $ | - | $ | 813,750 | ||||||||||||||||
Agricultural Real Estate | 587,444 | 2,847 | 13,310 | 603,601 | 591,191 | 2,523 | 12,062 | 605,776 | ||||||||||||||||||||||||
Real Estate Construction | 99,837 | - | - | 99,837 | 93,539 | - | - | 93,539 | ||||||||||||||||||||||||
Residential 1st Mortgages | 257,878 | - | 481 | 258,359 | 257,102 | - | 306 | 257,408 | ||||||||||||||||||||||||
Home Equity Lines & Loans | 40,028 | - | 44 | 40,072 | 40,178 | - | 32 | 40,210 | ||||||||||||||||||||||||
Agricultural | 250,630 | 6,167 | 207 | 257,004 | 278,794 | 5,254 | 810 | 284,858 | ||||||||||||||||||||||||
Commercial | 360,525 | 2,983 | 931 | 364,439 | 377,794 | 3,212 | 1,186 | 382,192 | ||||||||||||||||||||||||
Consumer & Other | 18,263 | - | 155 | 18,418 | 17,660 | - | 184 | 17,844 | ||||||||||||||||||||||||
Leases | 106,872 | - | - | 106,872 | 103,321 | - | - | 103,321 | ||||||||||||||||||||||||
Total | $ | 2,534,567 | $ | 14,273 | $ | 15,128 | $ | 2,563,968 | $ | 2,571,206 | $ | 13,112 | $ | 14,580 | $ | 2,598,898 |
December 31, 2018 | Pass | Special Mention | Substandard | Total Loans | Pass | Special Mention | Substandard | Total Loans & Leases | ||||||||||||||||||||||||
Loans & Leases: | ||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 823,983 | $ | 2,566 | $ | - | $ | 826,549 | $ | 823,983 | $ | 2,566 | $ | - | $ | 826,549 | ||||||||||||||||
Agricultural Real Estate | 566,612 | 4,703 | 13,310 | 584,625 | 566,612 | 4,703 | 13,310 | 584,625 | ||||||||||||||||||||||||
Real Estate Construction | 98,568 | - | - | 98,568 | 98,568 | - | - | 98,568 | ||||||||||||||||||||||||
Residential 1st Mortgages | 259,208 | - | 528 | 259,736 | 259,208 | - | 528 | 259,736 | ||||||||||||||||||||||||
Home Equity Lines and Loans | 40,744 | - | 45 | 40,789 | ||||||||||||||||||||||||||||
Home Equity Lines & Loans | 40,744 | - | 45 | 40,789 | ||||||||||||||||||||||||||||
Agricultural | 284,561 | 5,433 | 469 | 290,463 | 284,561 | 5,433 | 469 | 290,463 | ||||||||||||||||||||||||
Commercial | 343,085 | 163 | 586 | 343,834 | 343,085 | 163 | 586 | 343,834 | ||||||||||||||||||||||||
Consumer & Other | 19,229 | - | 183 | 19,412 | 19,229 | - | 183 | 19,412 | ||||||||||||||||||||||||
Leases | 107,265 | - | - | 107,265 | 107,265 | - | - | 107,265 | ||||||||||||||||||||||||
Total | $ | 2,543,255 | $ | 12,865 | $ | 15,121 | $ | 2,571,241 | $ | 2,543,255 | $ | 12,865 | $ | 15,121 | $ | 2,571,241 |
March 31, 2018 | Pass | Special Mention | Substandard | Total Loans & Leases | ||||||||||||||||||||||||||||
June 30, 2018 | Pass | Special Mention | Substandard | Total Loans & Leases | ||||||||||||||||||||||||||||
Loans & Leases: | ||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 691,537 | $ | 6,812 | $ | - | $ | 698,349 | $ | 749,467 | $ | 2,576 | $ | - | $ | 752,043 | ||||||||||||||||
Agricultural Real Estate | 495,936 | 8,537 | 3,927 | 508,400 | 524,259 | 10,521 | 6,072 | 540,852 | ||||||||||||||||||||||||
Real Estate Construction | 86,779 | 9,536 | - | 96,315 | 85,638 | 8,585 | - | 94,223 | ||||||||||||||||||||||||
Residential 1st Mortgages | 263,101 | - | 1,036 | 264,137 | 261,112 | - | 692 | 261,804 | ||||||||||||||||||||||||
Home Equity Lines & Loans | 34,643 | - | 48 | 34,691 | 37,622 | - | 47 | 37,669 | ||||||||||||||||||||||||
Agricultural | 252,553 | 6,286 | 2,588 | 261,427 | 266,837 | 5,050 | 1,283 | 273,170 | ||||||||||||||||||||||||
Commercial | 268,745 | 5,460 | 477 | 274,682 | 285,113 | 283 | 1,255 | 286,651 | ||||||||||||||||||||||||
Consumer & Other | 6,565 | - | 120 | 6,685 | 7,245 | - | 145 | 7,390 | ||||||||||||||||||||||||
Leases | 88,320 | 2,077 | - | 90,397 | 88,677 | 1,969 | - | 90,646 | ||||||||||||||||||||||||
Total | $ | 2,188,179 | $ | 38,708 | $ | 8,196 | $ | 2,235,083 | $ | 2,305,970 | $ | 28,984 | $ | 9,494 | $ | 2,344,448 |
March 31, 2019 | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days and Still Accruing | Nonaccrual | Total Past Due | Current | Total Loans & Leases | |||||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2019 | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days and Still Accruing | Nonaccrual | Total Past Due | Current | Total Loans & Leases | |||||||||||||||||||||||||||||||||||||||||||||||||
Loans & Leases: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 815,366 | $ | 815,366 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 813,750 | $ | 813,750 | ||||||||||||||||||||||||||||
Agricultural Real Estate | - | - | - | - | - | 603,601 | 603,601 | - | - | - | - | - | 605,776 | 605,776 | ||||||||||||||||||||||||||||||||||||||||||
Real Estate Construction | - | - | - | - | - | 99,837 | 99,837 | - | - | - | - | - | 93,539 | 93,539 | ||||||||||||||||||||||||||||||||||||||||||
Residential 1st Mortgages | 707 | - | - | - | 707 | 257,652 | 258,359 | 8 | - | - | - | 8 | 257,400 | 257,408 | ||||||||||||||||||||||||||||||||||||||||||
Home Equity Lines & Loans | - | - | - | - | - | 40,072 | 40,072 | - | - | - | - | - | 40,210 | 40,210 | ||||||||||||||||||||||||||||||||||||||||||
Agricultural | - | - | - | - | - | 257,004 | 257,004 | - | - | - | - | - | 284,858 | 284,858 | ||||||||||||||||||||||||||||||||||||||||||
Commercial | - | - | - | - | - | 364,439 | 364,439 | 75 | 150 | - | - | 225 | 381,967 | 382,192 | ||||||||||||||||||||||||||||||||||||||||||
Consumer & Other | 20 | - | - | - | 20 | 18,398 | 18,418 | 18 | - | - | - | 18 | 17,826 | 17,844 | ||||||||||||||||||||||||||||||||||||||||||
Leases | - | - | - | - | - | 106,872 | 106,872 | - | - | - | - | - | 103,321 | 103,321 | ||||||||||||||||||||||||||||||||||||||||||
Total | $ | 727 | $ | - | $ | - | $ | - | $ | 727 | $ | 2,563,241 | $ | 2,563,968 | $ | 101 | $ | 150 | $ | - | $ | - | $ | 251 | $ | 2,598,647 | $ | 2,598,898 |
December 31, 2018 | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days and Still Accruing | Nonaccrual | Total Past Due | Current | Total Loans & Leases | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days and Still Accruing | Nonaccrual | Total Past Due | Current | Total Loans & Leases | ||||||||||||||||||||||||||||||||||||||||||
Loans & Leases: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | - | $ | 731 | $ | - | $ | - | $ | 731 | $ | 825,818 | $ | 826,549 | $ | - | $ | 731 | $ | - | $ | - | $ | 731 | $ | 825,818 | $ | 826,549 | ||||||||||||||||||||||||||||
Agricultural Real Estate | - | - | - | - | - | 584,625 | 584,625 | - | - | - | - | - | 584,625 | 584,625 | ||||||||||||||||||||||||||||||||||||||||||
Real Estate Construction | 327 | - | - | - | 327 | 98,241 | 98,568 | 327 | - | - | - | 327 | 98,241 | 98,568 | ||||||||||||||||||||||||||||||||||||||||||
Residential 1st Mortgages | 367 | - | - | - | 367 | 259,369 | 259,736 | 367 | - | - | - | 367 | 259,369 | 259,736 | ||||||||||||||||||||||||||||||||||||||||||
Home Equity Lines and Loans | - | - | - | - | - | 40,789 | 40,789 | |||||||||||||||||||||||||||||||||||||||||||||||||
Home Equity Lines & Loans | - | - | - | - | - | 40,789 | 40,789 | |||||||||||||||||||||||||||||||||||||||||||||||||
Agricultural | - | - | - | - | - | 290,463 | 290,463 | - | - | - | - | - | 290,463 | 290,463 | ||||||||||||||||||||||||||||||||||||||||||
Commercial | - | - | - | - | - | 343,834 | 343,834 | - | - | - | - | - | 343,834 | 343,834 | ||||||||||||||||||||||||||||||||||||||||||
Consumer & Other | 13 | - | - | - | 13 | 19,399 | 19,412 | 13 | - | - | - | 13 | 19,399 | 19,412 | ||||||||||||||||||||||||||||||||||||||||||
Leases | - | - | - | - | - | 107,265 | 107,265 | - | - | - | - | - | 107,265 | 107,265 | ||||||||||||||||||||||||||||||||||||||||||
Total | $ | 707 | $ | 731 | $ | - | $ | - | $ | 1,438 | $ | 2,569,803 | $ | 2,571,241 | $ | 707 | $ | 731 | $ | - | $ | - | $ | 1,438 | $ | 2,569,803 | $ | 2,571,241 |
March 31, 2018 | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days and Still Accruing | Nonaccrual | Total Past Due | Current | Total Loans & Leases | |||||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2018 | 30-59 Days Past Due | 60-89 Days Past Due | 90 Days and Still Accruing | Nonaccrual | Total Past Due | Current | Total Loans & Leases | |||||||||||||||||||||||||||||||||||||||||||||||||
Loans & Leases: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 698,349 | $ | 698,349 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 752,043 | $ | 752,043 | ||||||||||||||||||||||||||||
Agricultural Real Estate | - | - | - | - | - | 508,400 | 508,400 | - | - | - | - | - | 540,852 | 540,852 | ||||||||||||||||||||||||||||||||||||||||||
Real Estate Construction | - | - | - | - | - | 96,315 | 96,315 | 277 | - | - | - | 277 | 93,946 | 94,223 | ||||||||||||||||||||||||||||||||||||||||||
Residential 1st Mortgages | 14 | 49 | - | 81 | 144 | 263,993 | 264,137 | 107 | - | - | 130 | 237 | 261,567 | 261,804 | ||||||||||||||||||||||||||||||||||||||||||
Home Equity Lines & Loans | 20 | - | - | - | 20 | 34,671 | 34,691 | 19 | - | - | - | 19 | 37,650 | 37,669 | ||||||||||||||||||||||||||||||||||||||||||
Agricultural | - | - | - | - | - | 261,427 | 261,427 | - | - | - | - | - | 273,170 | 273,170 | ||||||||||||||||||||||||||||||||||||||||||
Commercial | - | 14 | - | - | 14 | 274,668 | 274,682 | - | - | - | 599 | 599 | 286,052 | 286,651 | ||||||||||||||||||||||||||||||||||||||||||
Consumer & Other | 8 | - | - | - | 8 | 6,677 | 6,685 | 6 | - | - | 6 | 7,384 | 7,390 | |||||||||||||||||||||||||||||||||||||||||||
Leases | - | - | - | - | - | 90,397 | 90,397 | - | - | - | - | 90,646 | 90,646 | |||||||||||||||||||||||||||||||||||||||||||
Total | $ | 42 | $ | 63 | $ | - | $ | 81 | $ | 186 | $ | 2,234,897 | $ | 2,235,083 | $ | 409 | $ | - | $ | - | $ | 729 | $ | 1,138 | $ | 2,343,310 | $ | 2,344,448 |
March 31, 2019 | Recorded Investment | Unpaid Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||||||||||||||||||||
Three Months Ended June 30, 2019 | Six Months Ended June 30, 2019 | |||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2019 | Recorded Investment | Unpaid Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 93 | $ | 93 | $ | - | $ | 94 | $ | 2 | $ | 91 | $ | 91 | $ | - | $ | 92 | $ | 2 | $ | 93 | $ | 4 | ||||||||||||||||||||||||
Agricultural Real Estate | 7,239 | 7,238 | - | 7,239 | 73 | 5,702 | 5,702 | - | 6,471 | 128 | 6,855 | 201 | ||||||||||||||||||||||||||||||||||||
Commercial | 32 | 32 | - | 16 | 1 | 8 | 1 | |||||||||||||||||||||||||||||||||||||||||
$ | 7,332 | $ | 7,331 | $ | - | $ | 7,333 | $ | 75 | $ | 5,825 | $ | 5,825 | $ | - | $ | 6,579 | $ | 131 | $ | 6,956 | $ | 206 | |||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 2,883 | $ | 2,875 | $ | 214 | $ | 2,893 | $ | 23 | $ | 2,857 | $ | 2,857 | $ | 201 | $ | 2,874 | $ | 24 | 2,884 | $ | 47 | |||||||||||||||||||||||||
Residential 1st Mortgages | 1,625 | 1,829 | 81 | 1,633 | 21 | 1,614 | 1,820 | 81 | 1,620 | 17 | 1,627 | 38 | ||||||||||||||||||||||||||||||||||||
Home Equity Lines & Loans | 73 | 83 | 4 | 74 | 1 | 71 | 82 | 3 | 72 | 1 | 73 | 2 | ||||||||||||||||||||||||||||||||||||
Agricultural | 201 | 200 | 98 | 101 | - | 196 | 196 | 98 | 199 | 2 | 150 | 2 | ||||||||||||||||||||||||||||||||||||
Commercial | 1,596 | 1,590 | 172 | 1,620 | 14 | 1,548 | 1,548 | 158 | 1,574 | 13 | 1,597 | 27 | ||||||||||||||||||||||||||||||||||||
Consumer & Other | 6 | 7 | 6 | 6 | - | 6 | 6 | 6 | 6 | - | 6 | - | ||||||||||||||||||||||||||||||||||||
$ | 6,384 | $ | 6,584 | $ | 575 | $ | 6,327 | $ | 59 | $ | 6,292 | $ | 6,509 | $ | 547 | $ | 6,345 | $ | 57 | 6,337 | $ | 116 | ||||||||||||||||||||||||||
Total | $ | 13,716 | $ | 13,915 | $ | 575 | $ | 13,660 | $ | 134 | $ | 12,117 | $ | 12,334 | $ | 547 | $ | 12,924 | $ | 188 | $ | 13,293 | $ | 322 |
December 31, 2018 | Recorded Investment | Unpaid Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized | Recorded Investment | Unpaid PrincipalBalance | Related Allowance | Average RecordedInvestment | Interest IncomeRecognized | ||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 95 | $ | 96 | $ | - | $ | 99 | $ | 8 | $ | 95 | $ | 96 | $ | - | $ | 99 | $ | 8 | ||||||||||||||||||||
Agricultural Real Estate | 7,239 | 7,238 | - | 3,620 | 119 | 7,239 | 7,238 | - | 3,620 | 119 | ||||||||||||||||||||||||||||||
Residential 1st Mortgages | - | - | - | 226 | 8 | - | - | - | 226 | 8 | ||||||||||||||||||||||||||||||
$ | 7,334 | $ | 7,334 | $ | - | $ | 3,945 | $ | 135 | $ | 7,334 | $ | 7,334 | $ | - | $ | 3,945 | $ | 135 | |||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 2,902 | $ | 2,892 | $ | 234 | $ | 2,929 | $ | 96 | $ | 2,902 | $ | 2,892 | $ | 234 | $ | 2,929 | $ | 96 | ||||||||||||||||||||
Residential 1st Mortgages | 1,640 | 1,838 | 82 | 1,371 | 48 | 1,640 | 1,838 | 82 | 1,371 | 48 | ||||||||||||||||||||||||||||||
Home Equity Lines and Loans | 74 | 84 | 4 | 76 | 4 | |||||||||||||||||||||||||||||||||||
Home Equity Lines & Loans | 74 | 84 | 4 | 76 | 4 | |||||||||||||||||||||||||||||||||||
Commercial | 1,644 | 1,639 | 185 | 1,834 | 58 | 1,644 | 1,639 | 185 | 1,834 | 58 | ||||||||||||||||||||||||||||||
Consumer & Other | 6 | 7 | 6 | 7 | - | 6 | 7 | 6 | 7 | - | ||||||||||||||||||||||||||||||
$ | 6,266 | $ | 6,460 | $ | 511 | $ | 6,217 | $ | 206 | $ | 6,266 | $ | 6,460 | $ | 511 | $ | 6,217 | $ | 206 | |||||||||||||||||||||
Total | $ | 13,600 | $ | 13,794 | $ | 511 | $ | 10,162 | $ | 341 | $ | 13,600 | $ | 13,794 | $ | 511 | $ | 10,162 | $ | 341 |
March 31, 2018 | Recorded Investment | Unpaid Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||||||||||||||||||||
Three Months Ended June 30, 2018 | Six Months Ended June 30, 2018 | |||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2018 | Recorded Investment | Unpaid Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 102 | $ | 102 | $ | - | $ | 103 | $ | 2 | $ | 100 | $ | 100 | $ | - | $ | 101 | $ | 2 | $ | 102 | $ | 4 | ||||||||||||||||||||||||
Residential 1st Mortgages | 903 | 1,005 | - | 907 | 8 | - | - | - | 452 | - | 680 | 8 | ||||||||||||||||||||||||||||||||||||
$ | 1,005 | $ | 1,107 | $ | - | $ | 1,010 | $ | 10 | $ | 100 | $ | 100 | $ | - | $ | 553 | $ | 2 | $ | 782 | $ | 12 | |||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 2,955 | $ | 2,943 | $ | 335 | $ | 2,964 | $ | 24 | $ | 2,938 | $ | 2,927 | $ | 333 | $ | 2,947 | $ | 24 | 2,956 | $ | 48 | |||||||||||||||||||||||||
Residential 1st Mortgages | 583 | 649 | 29 | 546 | 7 | 1,698 | 1,877 | 85 | 1,141 | 13 | 844 | 20 | ||||||||||||||||||||||||||||||||||||
Home Equity Lines & Loans | 78 | 88 | 4 | 76 | 1 | 76 | 86 | 3 | 77 | 1 | 77 | 2 | ||||||||||||||||||||||||||||||||||||
Commercial | 1,720 | 1,713 | 205 | 1,731 | 15 | 2,297 | 2,290 | 487 | 2,009 | 15 | 1,870 | 30 | ||||||||||||||||||||||||||||||||||||
Consumer & Other | 8 | 8 | 8 | 8 | - | 7 | 8 | 7 | 8 | - | 8 | - | ||||||||||||||||||||||||||||||||||||
$ | 5,344 | $ | 5,401 | $ | 581 | $ | 5,325 | $ | 47 | $ | 7,016 | $ | 7,188 | $ | 915 | $ | 6,182 | $ | 53 | 5,755 | $ | 100 | ||||||||||||||||||||||||||
Total | $ | 6,349 | $ | 6,508 | $ | 581 | $ | 6,335 | $ | 57 | $ | 7,116 | $ | 7,288 | $ | 915 | $ | 6,735 | $ | 55 | $ | 6,537 | $ | 112 |
March 31, 2019 | ||||||||||||
Troubled Debt Restructurings | Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | |||||||||
Agricultural | 1 | $ | 201 | $ | 201 | |||||||
Total | 1 | $ | 201 | $ | 201 |
Three Months Ended June 30, 2019 | Six Months Ended June 30, 2019 | |||||||||||||||||||||||
Troubled Debt Restructurings | Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | ||||||||||||||||||
Agricultural | - | $ | - | $ | - | 1 | $ | 201 | $ | 201 | ||||||||||||||
Total | - | $ | - | $ | - | 1 | $ | 201 | $ | 201 |
December 31, 2018 | Year ended December 31, 2018 | |||||||||||||||||||||||
Troubled Debt Restructurings | Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | ||||||||||||||||||
Agricultural Real Estate | 1 | $ | 7,239 | $ | 7,239 | 1 | $ | 7,239 | $ | 7,239 | ||||||||||||||
Residential 1st Mortgages | 2 | 286 | 255 | 2 | 286 | 255 | ||||||||||||||||||
Total | 3 | $ | 7,525 | $ | 7,494 | 3 | $ | 7,525 | $ | 7,494 |
Three Months Ended June 30, 2018 | Six Months Ended June 30, 2018 | |||||||||||||||||||||||
Troubled Debt Restructurings | Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | Number of Loans | Pre-Modification Outstanding Recorded Investment | Post-Modification Outstanding Recorded Investment | ||||||||||||||||||
Residential 1st Mortgages | 1 | $ | 175 | $ | 163 | 1 | $ | 175 | $ | 163 | ||||||||||||||
Total | 1 | $ | 175 | $ | 163 | 1 | $ | 175 | $ | 163 |
Fair Value Measurements At March 31, 2019, Using | Fair Value Measurements At June 30, 2019, Using | |||||||||||||||||||||||||||||||
(in thousands) | Fair Value Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Fair Value Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||||||||||
Government Agency & Government-Sponsored Entities | $ | 3,027 | $ | - | $ | 3,027 | $ | - | $ | 3,014 | $ | - | $ | 3,014 | $ | - | ||||||||||||||||
US Treasury Notes | 164,674 | 164,674 | - | - | 174,908 | 174,908 | - | - | ||||||||||||||||||||||||
US Govt SBA | 14,412 | - | 14,412 | - | ||||||||||||||||||||||||||||
US Government Agency SBA | 13,198 | - | 13,198 | - | ||||||||||||||||||||||||||||
Mortgage Backed Securities | 304,020 | - | 304,020 | - | 292,161 | - | 292,161 | - | ||||||||||||||||||||||||
Other | 5,156 | 203 | 310 | 4,643 | 4,812 | 203 | 310 | 4,299 | ||||||||||||||||||||||||
Total Assets Measured at Fair Value On a Recurring Basis | $ | 491,289 | $ | 164,877 | $ | 321,769 | $ | 4,643 | $ | 488,093 | $ | 175,111 | $ | 308,683 | $ | 4,299 |
Fair Value Measurements At December 31, 2018, Using | Fair Value Measurements At December 31, 2018, Using | |||||||||||||||||||||||||||||||
(in thousands) | Fair Value Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Fair Value Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||||||||||
Government Agency & Government-Sponsored Entities | $ | 3,039 | $ | - | $ | 3,039 | $ | - | $ | 3,039 | $ | - | $ | 3,039 | $ | - | ||||||||||||||||
US Treasury Notes | 164,514 | 164,514 | - | - | 164,514 | 164,514 | - | - | ||||||||||||||||||||||||
US Govt SBA | 15,447 | - | 15,447 | - | ||||||||||||||||||||||||||||
US Government Agency SBA | 15,447 | - | 15,447 | - | ||||||||||||||||||||||||||||
Mortgage Backed Securities | 307,045 | - | 307,045 | - | 307,045 | - | 307,045 | - | ||||||||||||||||||||||||
Other | 5,351 | 202 | 310 | 4,839 | 5,351 | 202 | 310 | 4,839 | ||||||||||||||||||||||||
Total Assets Measured at Fair Value On a Recurring Basis | $ | 495,396 | $ | 164,716 | $ | 325,841 | $ | 4,839 | $ | 495,396 | $ | 164,716 | $ | 325,841 | $ | 4,839 |
Fair Value Measurements At March 31, 2018, Using | Fair Value Measurements At June 30, 2018, Using | |||||||||||||||||||||||||||||||
(in thousands) | Fair Value Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Fair Value Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||
Available-for-Sale Securities: | ||||||||||||||||||||||||||||||||
Government Agency & Government-Sponsored Entities | $ | 3,095 | $ | - | $ | 3,095 | $ | - | $ | 3,071 | $ | - | $ | 3,071 | $ | - | ||||||||||||||||
US Treasury Notes | 143,409 | 143,409 | - | - | 139,275 | 139,275 | - | - | ||||||||||||||||||||||||
US Govt SBA | 27,537 | - | 27,537 | - | ||||||||||||||||||||||||||||
US Government Agency SBA | 18,403 | - | 18,403 | - | ||||||||||||||||||||||||||||
Mortgage Backed Securities | 318,763 | - | 318,763 | - | 286,414 | - | 286,414 | - | ||||||||||||||||||||||||
Other | 3,010 | 200 | 310 | 2,500 | 3,011 | 201 | 310 | 2,500 | ||||||||||||||||||||||||
Total Assets Measured at Fair Value On a Recurring Basis | $ | 495,814 | $ | 143,609 | $ | 349,705 | $ | 2,500 | $ | 450,174 | $ | 139,476 | $ | 308,198 | $ | 2,500 |
Net Realized / Unrealized Gains (Losses) | ||||||||||||||||||||||||
(in thousands) | Balance at Beginning of Period | Purchases /Additions | Sales / Reductions | Realized | Unrealized | Balance at End of Period | ||||||||||||||||||
Three months ended June 30, 2019 | ||||||||||||||||||||||||
Available-for-sale debt securities: | $ | 1,397 | $ | 219 | $ | 453 | $ | - | $ | - | $ | 1,163 | ||||||||||||
Equity securities: | $ | 3,246 | $ | 80 | $ | 190 | $ | - | $ | - | $ | 3,136 | ||||||||||||
Total | $ | 4,643 | $ | 299 | $ | 643 | $ | - | $ | - | $ | 4,299 | ||||||||||||
Six months ended June 30, 2019 | ||||||||||||||||||||||||
Available-for-sale debt securities: | $ | 1,593 | $ | 698 | $ | 1,128 | $ | - | $ | - | $ | 1,163 | ||||||||||||
Equity securities: | $ | 3,246 | $ | 80 | $ | 190 | $ | - | $ | - | $ | 3,136 | ||||||||||||
Total | $ | 4,839 | $ | 778 | $ | 1,318 | $ | - | $ | - | $ | 4,299 |
Net Realized / Unrealized Gains (Losses) | ||||||||||||||||||||||||
(in thousands) | Balance at Beginning of Period | Purchases / Additions | Sales / Reductions | Realized | Unrealized | Balance at End of Period | ||||||||||||||||||
Three months ended March 31, 2019 | ||||||||||||||||||||||||
Available-for-sale debt securities: | $ | 1,593 | $ | 479 | $ | 675 | $ | - | $ | - | $ | 1,397 | ||||||||||||
Equity securities: | $ | 3,246 | $ | - | $ | - | $ | - | $ | - | $ | 3,246 | ||||||||||||
Total | $ | 4,839 | $ | 479 | $ | 675 | $ | - | $ | - | $ | 4,643 |
Fair Value Measurements At March 31, 2019, Using | ||||||||||||||||||||||||||||||||
Fair Value | Quoted Prices in Active Markets for Identical Assets | Other Observable Inputs | Significant Unobservable Inputs | Fair Value Measurements At June 30, 2019, Using | ||||||||||||||||||||||||||||
(in thousands) | Total | (Level 1) | (Level 2) | (Level 3) | Fair Value Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||
Impaired Loans | ||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 2,660 | $ | - | $ | - | $ | 2,660 | $ | 2,656 | $ | - | $ | - | $ | 2,656 | ||||||||||||||||
Residential 1st Mortgage | 1,540 | - | - | 1,540 | 1,530 | - | - | 1,530 | ||||||||||||||||||||||||
Home Equity Lines and Loans | 69 | - | - | 69 | 67 | - | - | 67 | ||||||||||||||||||||||||
Agricultural | 102 | - | - | 102 | 98 | - | - | 98 | ||||||||||||||||||||||||
Commercial | 1,418 | - | - | 1,418 | 1,390 | - | - | 1,390 | ||||||||||||||||||||||||
Total Impaired Loans | 5,789 | - | - | 5,789 | 5,741 | - | - | 5,741 | ||||||||||||||||||||||||
Other Real Estate | ||||||||||||||||||||||||||||||||
Real Estate Construction | 873 | - | - | 873 | 873 | - | - | 873 | ||||||||||||||||||||||||
Total Other Real Estate | 873 | - | - | 873 | 873 | - | - | 873 | ||||||||||||||||||||||||
Total Assets Measured at Fair Value On a Non-Recurring Basis | $ | 6,662 | $ | - | $ | - | $ | 6,662 | $ | 6,614 | $ | - | $ | - | $ | 6,614 |
Fair Value Measurements At December 31, 2018, Using | ||||||||||||||||||||||||||||||||
Fair Value | Quoted Prices in Active Markets for Identical Assets | Other Observable Inputs | Significant Unobservable Inputs | Fair Value Measurements At December 31, 2018, Using | ||||||||||||||||||||||||||||
(in thousands) | Total | (Level 1) | (Level 2) | (Level 3) | Fair Value Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||
Impaired Loans: | ||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 2,658 | $ | - | $ | - | $ | 2,658 | $ | 2,658 | $ | - | $ | - | $ | 2,658 | ||||||||||||||||
Residential 1st Mortgage | 1,550 | - | - | 1,550 | 1,550 | - | - | 1,550 | ||||||||||||||||||||||||
Home Equity Lines and Loans | 70 | - | - | 70 | 70 | - | - | 70 | ||||||||||||||||||||||||
Commercial | 1,454 | - | - | 1,454 | 1,454 | - | - | 1,454 | ||||||||||||||||||||||||
Total Impaired Loans | 5,732 | - | - | 5,732 | 5,732 | - | - | 5,732 | ||||||||||||||||||||||||
Other Real Estate: | ||||||||||||||||||||||||||||||||
Real Estate Construction | 873 | - | - | 873 | 873 | - | - | 873 | ||||||||||||||||||||||||
Total Other Real Estate | 873 | - | - | 873 | 873 | - | - | 873 | ||||||||||||||||||||||||
Total Assets Measured at Fair Value On a Non-Recurring Basis | $ | 6,605 | $ | - | $ | - | $ | 6,605 | $ | 6,605 | $ | - | $ | - | $ | 6,605 |
Fair Value Measurements At March 31, 2018, Using | ||||||||||||||||||||||||||||||||
Fair Value | Quoted Prices in Active Markets for Identical Assets | Other Observable Inputs | Significant Unobservable Inputs | Fair Value Measurements At June 30, 2018, Using | ||||||||||||||||||||||||||||
(in thousands) | Total | (Level 1) | (Level 2) | (Level 3) | Fair Value Total | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||||||||||||||
Impaired Loans | ||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 2,608 | $ | - | $ | - | $ | 2,608 | $ | 2,594 | $ | - | $ | - | $ | 2,594 | ||||||||||||||||
Residential 1st Mortgage | 475 | - | - | 475 | 1,485 | - | - | 1,485 | ||||||||||||||||||||||||
Home Equity Lines and Loans | 74 | - | - | 74 | 72 | - | - | 72 | ||||||||||||||||||||||||
Commercial | 1,508 | - | - | 1,508 | 1,490 | - | - | 1,490 | ||||||||||||||||||||||||
Total Impaired Loans | 4,665 | - | - | 4,665 | 5,641 | - | - | 5,641 | ||||||||||||||||||||||||
Other Real Estate | ||||||||||||||||||||||||||||||||
Real Estate Construction | 873 | - | - | 873 | 873 | - | - | 873 | ||||||||||||||||||||||||
Total Other Real Estate | 873 | - | - | 873 | 873 | - | - | 873 | ||||||||||||||||||||||||
Total Assets Measured at Fair Value On a Non-Recurring Basis | $ | 5,538 | $ | - | $ | - | $ | 5,538 | $ | 6,514 | $ | - | $ | - | $ | 6,514 |
(in thousands) | Fair Value | Valuation Technique | Unobservable Inputs | Range, Weighted Avg. | ||||||||||||||||
June 30, 2019 (in thousands) | Fair Value | Valuation Technique | Unobservable Inputs | Range, Weighted Avg. | ||||||||||||||||
Impaired Loans | ||||||||||||||||||||
Commercial Real Estate | $ | 2,660 | Income Approach | Capitalization Rate | 3.25%, 3.25 | % | $ | 2,656 | Income Approach | Capitalization Rate | 3.25%, 3.25 | % | ||||||||
Residential 1st Mortgage | $ | 1,540 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 1% - 4%, 2.85 | % | $ | 1,530 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 1% - 4%, 2.83 | % | ||||||||
Home Equity Lines and Loans | $ | 69 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 1% - 2%, 1.50 | % | $ | 67 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 1% - 2%, 1.40 | % | ||||||||
Agricultural | $ | 102 | Income Approach | Capitalization Rate | 5.10%, 5.10 | % | $ | 98 | Income Approach | Capitalization Rate | 5.10%, 5.10 | % | ||||||||
Commercial | $ | 1,418 | Income Approach | Capitalization Rate | 3.25% - 8.70%, 3.40 | % | $ | 1,390 | Income Approach | Capitalization Rate | 3.25%, 3.25 | % | ||||||||
Other Real Estate | ||||||||||||||||||||
Real Estate Construction | $ | 873 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 10%, 10 | % | $ | 873 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 10%, 10 | % |
December 31, 2018 (in thousands) | Fair Value | Valuation Technique | Unobservable Inputs | Range, Weighted Avg. | ||||||
Impaired Loans: | ||||||||||
Commercial Real Estate | $ | 2,658 | Income Approach | Capitalization Rate | 3.25%, 3.25 | % | ||||
Residential 1st Mortgages | $ | 1,550 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 1% - 4%, 3 | % | ||||
Home Equity Lines and Loans | $ | 70 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 1% - 2%, 2 | % | ||||
Commercial | $ | 1,454 | Income Approach | Capitalization Rate | 2.95% - 8.70%, 3.40 | % | ||||
Other Real Estate: | ||||||||||
Real Estate Construction | $ | 873 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 10%, 10 | % |
June 30, 2018 (in thousands) | Fair Value | Valuation Technique | Unobservable Inputs | Range, Weighted Avg. | ||||||
Impaired Loans | ||||||||||
Commercial Real Estate | $ | 2,594 | Income Approach | Capitalization Rate | 3.25%, 3.25 | % | ||||
Residential 1st Mortgage | $ | 1,485 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 1% -4%, 3 | % | ||||
Home Equity Lines and Loans | $ | 72 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 1% - 2%, 1 | % | ||||
Commercial | $ | 1,490 | Income Approach | Capitalization Rate | 2.95% - 8.70%, 3.40 | % | ||||
Other Real Estate | ||||||||||
Real Estate Construction | $ | 873 | Sales Comparison Approach | Adjustment for Difference Between Comparable Sales | 10%, 10 | % |
5. Fair Value of Financial Instruments |
Fair Value of Financial Instruments Using | Fair Value of Financial Instruments Using | |||||||||||||||||||||||||||||||||||||||
March 31, 2019 (in thousands) | Carrying Amount | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Estimated Fair Value | |||||||||||||||||||||||||||||||||||
June 30, 2019 (in thousands) | Carrying Amount | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Estimated Fair Value | |||||||||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||||||||||
Cash and Cash Equivalents | $ | 97,810 | $ | 97,810 | $ | - | $ | - | $ | 97,810 | $ | 114,717 | $ | 114,717 | $ | - | $ | - | $ | 114,717 | ||||||||||||||||||||
Investment Securities Available-for-Sale | 491,289 | 164,877 | 321,769 | 4,643 | 491,289 | 488,093 | 175,111 | 308,683 | 4,299 | 488,093 | ||||||||||||||||||||||||||||||
Investment Securities Held-to-Maturity | 54,412 | - | 36,705 | 18,276 | 54,981 | 60,310 | - | 25,754 | 35,400 | 61,154 | ||||||||||||||||||||||||||||||
Loans & Leases, Net of Deferred Fees & Allowance | 2,509,061 | - | - | 2,490,197 | 2,490,197 | 2,543,773 | - | - | 2,527,799 | 2,527,799 | ||||||||||||||||||||||||||||||
Accrued Interest Receivable | 12,524 | - | 12,524 | - | 12,524 | 15,688 | - | 15,688 | - | 15,688 | ||||||||||||||||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||||||||||
Deposits | 3,008,040 | 2,483,258 | 521,321 | - | 3,004,579 | 3,025,276 | 2,505,769 | 517,607 | - | 3,023,376 | ||||||||||||||||||||||||||||||
Subordinated Debentures | 10,310 | - | 7,600 | - | 7,600 | 10,310 | - | 7,431 | - | 7,431 | ||||||||||||||||||||||||||||||
Accrued Interest Payable | 2,193 | - | 2,193 | - | 2,193 | 2,465 | - | 2,465 | - | 2,465 |
Fair Value of Financial Instruments Using | ||||||||||||||||||||
December 31, 2018 (in thousands) | Carrying Amount | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Estimated Fair Value | |||||||||||||||
Assets: | ||||||||||||||||||||
Cash and Cash Equivalents | $ | 145,564 | $ | 145,564 | $ | - | $ | - | $ | 145,564 | ||||||||||
Investment Securities Available-for-Sale | 495,396 | 164,716 | 325,841 | 4,839 | 495,396 | |||||||||||||||
Investment Securities Held-to-Maturity | 53,566 | - | 35,083 | 18,655 | 53,738 | |||||||||||||||
Loans & Leases, Net of Deferred Fees & Allowance | 2,515,975 | - | - | 2,485,182 | 2,485,182 | |||||||||||||||
Accrued Interest Receivable | 14,098 | - | 14,098 | - | 14,098 | |||||||||||||||
Liabilities: | ||||||||||||||||||||
Deposits | 3,062,832 | 2,572,805 | 485,766 | - | 3,058,571 | |||||||||||||||
Subordinated Debentures | 10,310 | - | 7,745 | - | 7,745 | |||||||||||||||
Accrued Interest Payable | 1,365 | - | 1,365 | - | 1,365 |
Fair Value of Financial Instruments Using | ||||||||||||||||||||
June 30, 2018 (in thousands) | Carrying Amount | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Estimated Fair Value | |||||||||||||||
Assets: | �� | |||||||||||||||||||
Cash and Cash Equivalents | $ | 106,899 | $ | 106,899 | $ | - | $ | - | $ | 106,899 | ||||||||||
Investment Securities Available-for-Sale | 450,174 | 139,476 | 308,198 | 2,500 | 450,174 | |||||||||||||||
Investment Securities Held-to-Maturity | 52,210 | - | 36,693 | 15,665 | 52,358 | |||||||||||||||
Loans & Leases, Net of Deferred Fees & Allowance | 2,293,311 | - | - | 2,253,733 | 2,253,733 | |||||||||||||||
Accrued Interest Receivable | 11,548 | - | 11,548 | - | 11,548 | |||||||||||||||
Liabilities: | ||||||||||||||||||||
Deposits | 2,697,273 | 2,231,153 | 462,040 | - | 2,693,193 | |||||||||||||||
Subordinated Debentures | 10,310 | - | 7,639 | - | 7,639 | |||||||||||||||
Accrued Interest Payable | 827 | - | 827 | - | 827 |
Fair Value of Financial Instruments Using | ||||||||||||||||||||
March 31, 2018 (in thousands) | Carrying Amount | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Estimated Fair Value | |||||||||||||||
Assets: | ||||||||||||||||||||
Cash and Cash Equivalents | $ | 134,984 | $ | 134,984 | $ | - | $ | - | $ | 134,984 | ||||||||||
Investment Securities Available-for-Sale | 495,814 | 143,609 | 349,705 | 2,500 | 495,814 | |||||||||||||||
Investment Securities Held-to-Maturity | 53,527 | - | 37,028 | 16,717 | 53,745 | |||||||||||||||
Loans & Leases, Net of Deferred Fees & Allowance | 2,184,406 | - | - | 2,152,504 | 2,152,504 | |||||||||||||||
Accrued Interest Receivable | 9,237 | - | 9,237 | - | 9,237 | |||||||||||||||
Liabilities: | ||||||||||||||||||||
Deposits | 2,701,405 | 2,218,642 | 478,846 | - | 2,697,488 | |||||||||||||||
Subordinated Debentures | 10,310 | - | 7,751 | - | 7,751 | |||||||||||||||
Accrued Interest Payable | 909 | - | 909 | - | 909 |
6. Dividends and Basic Earnings Per Common Share |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||
(net income in thousands) | 2019 | 2018 | 2019 | 2018 | 2019 | 2018 | ||||||||||||||||||
Net Income | $ | 13,549 | $ | 9,941 | $ | 14,105 | $ | 10,550 | $ | 27,654 | $ | 20,491 | ||||||||||||
Weighted Average Number of Common Shares Outstanding | 784,438 | 812,304 | 787,307 | 817,893 | 785,881 | 815,114 | ||||||||||||||||||
Basic Earnings Per Common Share Amount | $ | 17.27 | $ | 12.24 | $ | 17.92 | $ | 12.90 | $ | 35.19 | $ | 25.14 |
7. Leases |
(in thousands except for percent and period data) | Three Months ended March 31, 2019 | Three Months Ended June 30, 2019 | Six Months Ended June 30, 2019 | |||||||||
Cash Paid for Amounts Included in the Measurement of Lease Liabilities | ||||||||||||
Operating Cash Flow from Operating Leases | $ | 196 | $ | 197 | $ | 393 | ||||||
Right-of-Use Assets Obtained in Exchange for New Operating Lease Liabilities | 4,729 | $ | 916 | $ | 5,645 | |||||||
Weighted-Average Remaining Lease Term - Operating Leases, in Years | 7.70 | 8.30 | 8.30 | |||||||||
Weighted-Average Discount Rate - Operating Leases | 2.8 | % | 3.2 | % | 3.2 | % |
(in thousands) | March 31, 2019 | June 30, 2019 | ||||||
2019 | $ | 587 | $ | 390 | ||||
2020 | 792 | 795 | ||||||
2021 | 694 | 719 | ||||||
2022 | 548 | 686 | ||||||
2023 | 542 | 697 | ||||||
2024 and thereafter | 1,916 | 2,811 | ||||||
Total Lease Payments | 5,079 | 6,098 | ||||||
Less: Interest | (515 | ) | (760 | ) | ||||
Present Value of Lease Liabilities | $ | 4,564 | $ | 5,338 |
35 8. Recent Accounting Pronouncements |
Three Months Ended June 30, 2019 | Three Months Ended June 30, 2018 | |||||||||||||||||||||||
Assets | Balance | Interest | Rate | Balance | Interest | Rate | ||||||||||||||||||
Interest Bearing Deposits with Banks | $ | 193,623 | $ | 1,161 | 2.41 | % | $ | 114,300 | $ | 515 | 1.81 | % | ||||||||||||
Investment Securities: | ||||||||||||||||||||||||
U.S. Treasuries | 23,360 | 131 | 2.24 | % | 66,953 | 250 | 1.49 | % | ||||||||||||||||
U.S. Govt SBA | 14,098 | 97 | 2.75 | % | 26,906 | 119 | 1.77 | % | ||||||||||||||||
Government Agency & Government-Sponsored Entities | 3,016 | 22 | 2.92 | % | 3,064 | 22 | 2.87 | % | ||||||||||||||||
Obligations of States and Political Subdivisions - Non-Taxable (1) | 60,387 | 638 | 4.23 | % | 53,037 | 510 | 3.85 | % | ||||||||||||||||
Mortgage Backed Securities | 297,467 | 1,952 | 2.62 | % | 316,991 | 1,904 | 2.40 | % | ||||||||||||||||
Other | 4,968 | 42 | 3.38 | % | 3,010 | 20 | 2.66 | % | ||||||||||||||||
Total Investment Securities | 403,296 | 2,882 | 2.86 | % | 469,961 | 2,825 | 2.40 | % | ||||||||||||||||
Loans & Leases: (2) | ||||||||||||||||||||||||
Real Estate | 1,761,806 | 23,556 | 5.36 | % | 1,604,920 | 20,152 | 5.05 | % | ||||||||||||||||
Home Equity Lines & Loans | 39,996 | 605 | 6.07 | % | 35,697 | 483 | 5.44 | % | ||||||||||||||||
Agricultural | 269,980 | 3,848 | 5.72 | % | 262,230 | 3,339 | 5.12 | % | ||||||||||||||||
Commercial | 373,910 | 5,027 | 5.39 | % | 286,123 | 3,755 | 5.28 | % | ||||||||||||||||
Consumer | 17,277 | 255 | 5.92 | % | 5,783 | 66 | 4.59 | % | ||||||||||||||||
Other | 1,079 | 6 | 2.23 | % | 1,382 | 7 | 2.04 | % | ||||||||||||||||
Leases | 105,953 | 1,419 | 5.37 | % | 90,836 | 1,125 | 4.98 | % | ||||||||||||||||
Total Loans & Leases | 2,570,001 | 34,716 | 5.42 | % | 2,286,971 | 28,927 | 5.09 | % | ||||||||||||||||
Total Earning Assets | 3,166,920 | $ | 38,759 | 4.91 | % | 2,871,232 | $ | 32,267 | 4.52 | % | ||||||||||||||
Unrealized Gain on Securities Available-for-Sale | (437 | ) | (8,660 | ) | ||||||||||||||||||||
Allowance for Credit Losses | (55,056 | ) | (50,882 | ) | ||||||||||||||||||||
Cash and Due From Banks | 54,382 | 45,430 | ||||||||||||||||||||||
All Other Assets | 223,249 | 193,197 | ||||||||||||||||||||||
Total Assets | $ | 3,389,058 | $ | 3,050,317 | ||||||||||||||||||||
Liabilities & Shareholders’ Equity | ||||||||||||||||||||||||
Interest Bearing Deposits: | ||||||||||||||||||||||||
Interest Bearing DDA | $ | 649,230 | 574 | 0.35 | % | $ | 585,363 | 305 | 0.21 | % | ||||||||||||||
Savings and Money Market | 900,327 | 797 | 0.36 | % | 814,536 | 333 | 0.16 | % | ||||||||||||||||
Time Deposits | 517,896 | 1,741 | 1.35 | % | 471,320 | 891 | 0.76 | % | ||||||||||||||||
Total Interest Bearing Deposits | 2,067,453 | 3,112 | 0.60 | % | 1,871,219 | 1,529 | 0.33 | % | ||||||||||||||||
Subordinated Debentures | 10,310 | 141 | 5.49 | % | 10,310 | 131 | 5.11 | % | ||||||||||||||||
Total Interest Bearing Liabilities | 2,077,763 | $ | 3,253 | 0.63 | % | 1,881,529 | $ | 1,660 | 0.35 | % | ||||||||||||||
Interest Rate Spread (3) | 4.28 | % | 4.17 | % | ||||||||||||||||||||
Demand Deposits (Non-Interest Bearing) | 920,627 | 810,962 | ||||||||||||||||||||||
All Other Liabilities | 56,473 | 47,971 | ||||||||||||||||||||||
Total Liabilities | 3,054,863 | 2,740,462 | ||||||||||||||||||||||
Shareholders’ Equity | 334,195 | 309,855 | ||||||||||||||||||||||
Total Liabilities & Shareholders’ Equity | $ | 3,389,058 | $ | 3,050,317 | ||||||||||||||||||||
Net Interest Income and Margin on Total Earning Assets (4) | 35,506 | 4.50 | % | 30,607 | 4.29 | % | ||||||||||||||||||
Tax Equivalent Adjustment | (132 | ) | (106 | ) | ||||||||||||||||||||
Net Interest Income | $ | 35,374 | 4.48 | % | $ | 30,501 | 4.27 | % |
Three Months Ended March 31, | Three Months Ended March 31, | |||||||||||||||||||||||||||||||||||||||||||||||
2019 | 2018 | Six Months Ended June 30, 2019 | Six Months Ended June 30, 2018 | |||||||||||||||||||||||||||||||||||||||||||||
Assets | Balance | Interest | Annualized Yield/Rate | Balance | Interest | Annualized Yield/Rate | Balance | Interest | Rate | Balance | Interest | Rate | ||||||||||||||||||||||||||||||||||||
Interest Bearing Deposits With Banks | $ | 187,461 | $ | 1,125 | 2.43 | % | $ | 152,936 | $ | 585 | 1.54 | % | ||||||||||||||||||||||||||||||||||||
Investment Securities | ||||||||||||||||||||||||||||||||||||||||||||||||
Interest Bearing Deposits with Banks | $ | 190,559 | $ | 2,286 | 2.42 | % | $ | 133,512 | $ | 1,100 | 1.66 | % | ||||||||||||||||||||||||||||||||||||
Investment Securities: | ||||||||||||||||||||||||||||||||||||||||||||||||
U.S. Treasuries | 46,617 | 195 | 1.67 | % | 92,107 | 297 | 1.29 | % | 34,924 | 326 | 1.87 | % | 79,461 | 547 | 1.38 | % | ||||||||||||||||||||||||||||||||
U.S. Govt SBA | 15,251 | 99 | 2.60 | % | 28,750 | 123 | 1.71 | % | 14,671 | 196 | 2.67 | % | 27,823 | 242 | 1.74 | % | ||||||||||||||||||||||||||||||||
Government Agency & Government-Sponsored Entities | 3,028 | 22 | 2.91 | % | 3,074 | 22 | 2.86 | % | 3,022 | 44 | 2.91 | % | 3,069 | 44 | 2.87 | % | ||||||||||||||||||||||||||||||||
Obligations of States and Political Subdivisions - Non-Taxable | 54,079 | 559 | 4.13 | % | 54,689 | 529 | 3.87 | % | ||||||||||||||||||||||||||||||||||||||||
Obligations of States and Political Subdivisions - Non-Taxable (1) | 57,251 | 1,197 | 4.18 | % | 53,858 | 1,039 | 3.86 | % | ||||||||||||||||||||||||||||||||||||||||
Mortgage Backed Securities | 307,072 | 2,044 | 2.66 | % | 322,296 | 1,920 | 2.38 | % | 302,244 | 3,996 | 2.64 | % | 319,628 | 3,824 | 2.39 | % | ||||||||||||||||||||||||||||||||
Other | 5,183 | 67 | 5.17 | % | 3,010 | 18 | 2.39 | % | 5,075 | 109 | 4.30 | % | 3,010 | 38 | 2.52 | % | ||||||||||||||||||||||||||||||||
Total Investment Securities | 431,230 | 2,986 | 2.77 | % | 503,926 | 2,909 | 2.31 | % | 417,187 | 5,868 | 2.81 | % | 486,849 | 5,734 | 2.36 | % | ||||||||||||||||||||||||||||||||
Loans & Leases | ||||||||||||||||||||||||||||||||||||||||||||||||
Loans & Leases: (2) | ||||||||||||||||||||||||||||||||||||||||||||||||
Real Estate | 1,778,866 | 22,694 | 5.17 | % | 1,548,359 | 19,044 | 4.95 | % | 1,770,288 | 46,249 | 5.27 | % | 1,576,795 | 39,196 | 5.01 | % | ||||||||||||||||||||||||||||||||
Home Equity Line & Loans | 39,610 | 596 | 6.10 | % | 34,735 | 448 | 5.19 | % | ||||||||||||||||||||||||||||||||||||||||
Home Equity Lines & Loans | 39,804 | 1,201 | 6.08 | % | 35,219 | 931 | 5.33 | % | ||||||||||||||||||||||||||||||||||||||||
Agricultural | 259,108 | 3,628 | 5.68 | % | 251,784 | 3,028 | 4.84 | % | 264,574 | 7,476 | 5.70 | % | 257,036 | 6,367 | 5.00 | % | ||||||||||||||||||||||||||||||||
Commercial | 343,448 | 4,521 | 5.34 | % | 268,032 | 3,311 | 4.97 | % | 358,763 | 9,548 | 5.37 | % | 277,128 | 7,066 | 5.14 | % | ||||||||||||||||||||||||||||||||
Consumer | 17,773 | 254 | 5.80 | % | 5,293 | 76 | 5.77 | % | 17,524 | 509 | 5.86 | % | 5,539 | 142 | 5.17 | % | ||||||||||||||||||||||||||||||||
Other | 1,079 | 6 | 2.26 | % | 1,382 | 8 | 2.33 | % | 1,079 | 12 | 2.24 | % | 1,382 | 15 | 2.19 | % | ||||||||||||||||||||||||||||||||
Leases | 107,867 | 1,479 | 5.56 | % | 91,222 | 1,129 | 4.98 | % | 106,905 | 2,898 | 5.47 | % | 91,028 | 2,254 | 4.99 | % | ||||||||||||||||||||||||||||||||
Total Loans & Leases | 2,547,751 | 33,178 | 5.28 | % | 2,200,807 | 27,044 | 4.94 | % | 2,558,937 | 67,893 | 5.35 | % | 2,244,127 | 55,971 | 5.03 | % | ||||||||||||||||||||||||||||||||
Total Earning Assets | 3,166,442 | $ | 37,289 | 4.78 | % | 2,857,669 | $ | 30,538 | 4.30 | % | 3,166,683 | $ | 76,047 | 4.84 | % | 2,864,488 | $ | 62,805 | 4.42 | % | ||||||||||||||||||||||||||||
Unrealized (Loss) Gain on Securities Available-for-Sale | (4,019 | ) | (4,832 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Unrealized Gain on Securities Available-for-Sale | (2,219 | ) | (6,756 | ) | ||||||||||||||||||||||||||||||||||||||||||||
Allowance for Credit Losses | (55,238 | ) | (50,612 | ) | (55,147 | ) | (50,748 | ) | ||||||||||||||||||||||||||||||||||||||||
Cash and Due From Banks | 56,206 | 46,527 | 55,289 | 45,975 | ||||||||||||||||||||||||||||||||||||||||||||
All Other Assets | 217,842 | 187,290 | 220,571 | 190,269 | ||||||||||||||||||||||||||||||||||||||||||||
Total Assets | $ | 3,381,233 | $ | 3,036,042 | $ | 3,385,177 | $ | 3,043,228 | ||||||||||||||||||||||||||||||||||||||||
Liabilities & Shareholders' Equity | ||||||||||||||||||||||||||||||||||||||||||||||||
Interest Bearing Deposits | ||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities & Shareholders’ Equity | ||||||||||||||||||||||||||||||||||||||||||||||||
Interest Bearing Deposits: | ||||||||||||||||||||||||||||||||||||||||||||||||
Interest Bearing DDA | $ | 667,465 | $ | 552 | 0.34 | % | $ | 585,176 | $ | 272 | 0.19 | % | $ | 658,297 | $ | 1,126 | 0.34 | % | $ | 585,270 | $ | 577 | 0.20 | % | ||||||||||||||||||||||||
Savings and Money Market | 910,793 | 730 | 0.33 | % | 825,514 | 330 | 0.16 | % | 905,531 | 1,527 | 0.34 | % | 819,995 | 663 | 0.16 | % | ||||||||||||||||||||||||||||||||
Time Deposits | 513,853 | 1,539 | 1.21 | % | 478,740 | 803 | 0.67 | % | 515,886 | 3,280 | 1.28 | % | 475,010 | 1,694 | 0.72 | % | ||||||||||||||||||||||||||||||||
Total Interest Bearing Deposits | 2,092,111 | 2,821 | 0.55 | % | 1,889,430 | 1,405 | 0.30 | % | 2,079,714 | 5,933 | 0.58 | % | 1,880,275 | 2,934 | 0.31 | % | ||||||||||||||||||||||||||||||||
Federal Home Loan Bank Advances | 4 | - | 0.00 | % | 4 | - | 0.00 | % | 2 | - | 0.00 | % | 2 | - | 0.00 | % | ||||||||||||||||||||||||||||||||
Subordinated Debentures | 10,310 | 145 | 5.70 | % | 10,310 | 117 | 4.56 | % | 10,310 | 286 | 5.59 | % | 10,310 | 248 | 4.85 | % | ||||||||||||||||||||||||||||||||
Total Interest Bearing Liabilities | 2,102,425 | $ | 2,966 | 0.57 | % | 1,899,744 | $ | 1,522 | 0.32 | % | 2,090,026 | $ | 6,219 | 0.60 | % | 1,890,587 | $ | 3,182 | 0.34 | % | ||||||||||||||||||||||||||||
Interest Rate Spread | 4.20 | % | 3.98 | % | ||||||||||||||||||||||||||||||||||||||||||||
Interest Rate Spread (3) | 4.24 | % | 4.08 | % | ||||||||||||||||||||||||||||||||||||||||||||
Demand Deposits (Non-Interest Bearing) | 915,907 | 795,261 | 918,280 | 803,155 | ||||||||||||||||||||||||||||||||||||||||||||
All Other Liabilities | 43,375 | 38,464 | 50,006 | 43,279 | ||||||||||||||||||||||||||||||||||||||||||||
Total Liabilities | 3,061,707 | 2,733,469 | 3,058,312 | 2,737,021 | ||||||||||||||||||||||||||||||||||||||||||||
Shareholders' Equity | 319,526 | 302,573 | ||||||||||||||||||||||||||||||||||||||||||||||
Total Liabilities & Shareholders' Equity | $ | 3,381,233 | $ | 3,036,042 | ||||||||||||||||||||||||||||||||||||||||||||
Net Interest Income and Margin on Total Earning Assets | 34,323 | 4.40 | % | 29,016 | 4.12 | % | ||||||||||||||||||||||||||||||||||||||||||
Shareholders’ Equity | 326,865 | 306,207 | ||||||||||||||||||||||||||||||||||||||||||||||
Total Liabilities & Shareholders’ Equity | $ | 3,385,177 | $ | 3,043,228 | ||||||||||||||||||||||||||||||||||||||||||||
Net Interest Income and Margin on Total Earning Assets (4) | 69,828 | 4.45 | % | 59,623 | 4.20 | % | ||||||||||||||||||||||||||||||||||||||||||
Tax Equivalent Adjustment | (116 | ) | (110 | ) | (248 | ) | (216 | ) | ||||||||||||||||||||||||||||||||||||||||
Net Interest Income | $ | 34,207 | 4.38 | % | $ | 28,906 | 4.07 | % | $ | 69,580 | 4.43 | % | $ | 59,407 | 4.18 | % |
(in thousands) | Three Months Ended Mar. 31, 2019 compared to Mar. 31, 2018 | Three Months Ended June 30, 2019 compared to June 30, 2018 | Six Months Ended June 30, 2019 compared to June 30, 2018 | |||||||||||||||||||||||||||||||||
Interest Earning Assets | Volume | Rate | Net Chg. | Volume | Rate | Net Chg. | Volume | Rate | Net Chg. | |||||||||||||||||||||||||||
Interest Bearing Deposits With Banks | $ | 153 | 387 | $ | 540 | |||||||||||||||||||||||||||||||
Investment Securities | ||||||||||||||||||||||||||||||||||||
Interest Bearing Deposits with Banks | $ | 437 | $ | 209 | $ | 646 | $ | 573 | $ | 613 | $ | 1,186 | ||||||||||||||||||||||||
Investment Securities: | ||||||||||||||||||||||||||||||||||||
U.S. Treasuries | (174 | ) | 72 | (102 | ) | (209 | ) | 90 | (119 | ) | (374 | ) | 153 | (221 | ) | |||||||||||||||||||||
U.S. Govt SBA | (72 | ) | 48 | (24 | ) | (71 | ) | 49 | (22 | ) | (142 | ) | 96 | (46 | ) | |||||||||||||||||||||
Government Agency & Government-Sponsored Entities | - | - | - | - | - | - | (1 | ) | 1 | - | ||||||||||||||||||||||||||
Obligations of States and Political Subdivisions - Non-Taxable | (6 | ) | 36 | 30 | 75 | 53 | 128 | 68 | 90 | 158 | ||||||||||||||||||||||||||
Mortgage Backed Securities | (93 | ) | 217 | 124 | (121 | ) | 169 | 48 | (216 | ) | 388 | 172 | ||||||||||||||||||||||||
Other | 19 | 30 | 49 | 16 | 6 | 22 | 35 | 36 | 71 | |||||||||||||||||||||||||||
Total Investment Securities | (326 | ) | 404 | 77 | (310 | ) | 367 | 57 | (630 | ) | 764 | 134 | ||||||||||||||||||||||||
Loans & Leases | ||||||||||||||||||||||||||||||||||||
Loans & Leases: | �� | |||||||||||||||||||||||||||||||||||
Real Estate | 2,920 | 730 | 3,650 | 2,084 | 1,319 | 3,403 | 4,984 | 2,069 | 7,053 | |||||||||||||||||||||||||||
Home Equity Line & Loans | 68 | 80 | 148 | |||||||||||||||||||||||||||||||||
Home Equity Lines & Loans | 62 | 60 | 122 | 129 | 141 | 270 | ||||||||||||||||||||||||||||||
Agricultural | 91 | 509 | 600 | 103 | 406 | 509 | 191 | 918 | 1,109 | |||||||||||||||||||||||||||
Commercial | 981 | 229 | 1,210 | 1,188 | 84 | 1,272 | 2,161 | 321 | 2,482 | |||||||||||||||||||||||||||
Consumer | 178 | - | 178 | 165 | 24 | 189 | 346 | 21 | 367 | |||||||||||||||||||||||||||
Other | (2 | ) | - | (2 | ) | (2 | ) | 1 | (1 | ) | (3 | ) | - | (3 | ) | |||||||||||||||||||||
Leases | 220 | 130 | 350 | 200 | 94 | 294 | 417 | 227 | 644 | |||||||||||||||||||||||||||
Total Loans & Leases | 4,455 | 1,678 | 6,134 | 3,800 | 1,988 | 5,788 | 8,225 | 3,697 | 11,922 | |||||||||||||||||||||||||||
Total Earning Assets | 4,282 | 2,469 | 6,751 | 3,927 | 2,564 | 6,491 | 8,168 | 5,074 | 13,242 | |||||||||||||||||||||||||||
Interest Bearing Liabilities | ||||||||||||||||||||||||||||||||||||
Interest Bearing Deposits | ||||||||||||||||||||||||||||||||||||
Transaction | 42 | 238 | 280 | |||||||||||||||||||||||||||||||||
Interest Bearing Deposits: | ||||||||||||||||||||||||||||||||||||
Interest Bearing DDA | 37 | 232 | 269 | 80 | 469 | 549 | ||||||||||||||||||||||||||||||
Savings and Money Market | 37 | 363 | 400 | 39 | 425 | 464 | 76 | 788 | 864 | |||||||||||||||||||||||||||
Time Deposits | 64 | 672 | 736 | |||||||||||||||||||||||||||||||||
Time | 96 | 754 | 850 | 157 | 1,429 | 1,586 | ||||||||||||||||||||||||||||||
Total Interest Bearing Deposits | 143 | 1,273 | 1,416 | 172 | 1,411 | 1,583 | 313 | 2,686 | 2,999 | |||||||||||||||||||||||||||
Other Borrowed Funds | - | - | - | |||||||||||||||||||||||||||||||||
Subordinated Debentures | - | 28 | 28 | - | 10 | 10 | - | 38 | 38 | |||||||||||||||||||||||||||
Total Interest Bearing Liabilities | 143 | 1,301 | 1,444 | 172 | 1,421 | 1,593 | 313 | 2,724 | 3,037 | |||||||||||||||||||||||||||
Total Change | $ | 4,139 | $ | 1,168 | $ | 5,307 | ||||||||||||||||||||||||||||||
Total Change on a Tax Equivalent Basis | $ | 3,755 | $ | 1,143 | $ | 4,898 | $ | 7,855 | $ | 2,350 | $ | 10,205 |
Three Months Ended March 31, | ||||||||
Allowance for Credit Losses (in thousands) | 2019 | 2018 | ||||||
Balance at Beginning of Period | $ | 55,266 | $ | 50,342 | ||||
Loans or Leases Charged Off | (400 | ) | (21 | ) | ||||
Recoveries of Loans or Leases Previously Charged Off | 41 | 23 | ||||||
Provision Charged to Expense | 0 | 333 | ||||||
Balance at End of Period | $ | 54,907 | $ | 50,677 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
(in thousands) | 2019 | 2018 | 2019 | 2018 | ||||||||||||
Balance at Beginning of Period | $ | 54,907 | $ | 50,677 | $ | 55,266 | $ | 50,342 | ||||||||
Charge-Offs | (18 | ) | (67 | ) | (418 | ) | (88 | ) | ||||||||
Recoveries | 36 | 27 | 77 | 50 | ||||||||||||
Provision | 200 | 500 | 200 | 833 | ||||||||||||
Balance at End of Period | $ | 55,125 | $ | 51,137 | $ | 55,125 | $ | 51,137 |
March 31, 2019 | Commercial Real Estate | Agricultural Real Estate | Real Estate Construction | Residential 1st Mortgages | Home Equity Lines & Loans | Agricultural | Commercial | Consumer & Other | Leases | Unallocated | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
June 30, 2019 | Commercial Real Estate | Agricultural Real Estate | Real Estate Construction | Residential 1st Mortgages | Home Equity Lines & Loans | Agricultural | Commercial | Consumer & Other | Leases | Unallocated | Total | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Year-To-Date Allowance for Credit Losses: | Year-To-Date Allowance for Credit Losses: | Year-To-Date Allowance for Credit Losses: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance- January 1, 2019 | $ | 11,609 | $ | 14,092 | $ | 1,249 | $ | 880 | $ | 2,761 | $ | 8,242 | $ | 11,656 | $ | 494 | $ | 4,022 | $ | 261 | $ | 55,266 | $ | 11,609 | $ | 14,092 | $ | 1,249 | $ | 880 | $ | 2,761 | $ | 8,242 | $ | 11,656 | $ | 494 | $ | 4,022 | $ | 261 | $ | 55,266 | ||||||||||||||||||||||||||||||||||||||||||||
Charge-Offs | - | - | - | - | - | - | (379 | ) | (21 | ) | - | - | (400 | ) | - | - | - | - | - | - | (379 | ) | (39 | ) | - | - | (418 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | - | - | - | 3 | 6 | 6 | 12 | 14 | - | - | 41 | - | - | - | 6 | 11 | 11 | 23 | 26 | - | - | 77 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision | (209 | ) | 401 | (42 | ) | (20 | ) | (29 | ) | (800 | ) | 644 | (20 | ) | (14 | ) | 89 | - | (929 | ) | 480 | 448 | (22 | ) | (29 | ) | (772 | ) | 967 | (17 | ) | (922 | ) | 996 | 200 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance- March 31, 2019 | $ | 11,400 | $ | 14,493 | $ | 1,207 | $ | 863 | $ | 2,738 | $ | 7,448 | $ | 11,933 | $ | 467 | $ | 4,008 | $ | 350 | $ | 54,907 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance- June 30, 2019 | $ | 10,680 | $ | 14,572 | $ | 1,697 | $ | 864 | $ | 2,743 | $ | 7,481 | $ | 12,267 | $ | 464 | $ | 3,100 | $ | 1,257 | $ | 55,125 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Second Quarter Allowance for Credit Losses: | Second Quarter Allowance for Credit Losses: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Beginning Balance- April 1, 2019 | $ | 11,400 | $ | 14,493 | $ | 1,207 | $ | 863 | $ | 2,738 | $ | 7,448 | $ | 11,933 | $ | 467 | $ | 4,008 | $ | 350 | $ | 54,907 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Charge-Offs | - | - | - | - | - | - | - | (18 | ) | - | - | (18 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Recoveries | - | - | - | 3 | 5 | 4 | 12 | 12 | - | - | 36 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Provision | (720 | ) | 79 | 490 | (2 | ) | - | 29 | 322 | 3 | (908 | ) | 907 | 200 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Ending Balance- June 30, 2019 | $ | 10,680 | $ | 14,572 | $ | 1,697 | $ | 864 | $ | 2,743 | $ | 7,481 | $ | 12,267 | $ | 464 | $ | 3,100 | $ | 1,257 | $ | 55,125 |
Loan & Lease Portfolio | March 31, 2019 | December 31, 2018 | March 31, 2018 | June 30, 2019 | December 31, 2018 | June 30, 2018 | ||||||||||||||||||||||||||||||||||||||||||
(in thousands) | $ | % | $ | % | $ | % | $ | % | $ | % | $ | % | ||||||||||||||||||||||||||||||||||||
Commercial Real Estate | $ | 823,028 | 32.0 | % | $ | 834,476 | 32.4 | % | $ | 705,063 | 31.5 | % | $ | 821,472 | 31.5 | % | $ | 834,476 | 32.4 | % | $ | 759,389 | 32.3 | % | ||||||||||||||||||||||||
Agricultural Real Estate | 603,601 | 23.5 | % | 584,625 | 22.7 | % | 508,400 | 22.7 | % | 605,776 | 23.2 | % | 584,625 | 22.7 | % | 540,852 | 23.0 | % | ||||||||||||||||||||||||||||||
Real Estate Construction | 99,837 | 3.9 | % | 98,568 | 3.8 | % | 96,315 | 4.3 | % | 93,539 | 3.6 | % | 98,568 | 3.8 | % | 94,223 | 4.0 | % | ||||||||||||||||||||||||||||||
Residential 1st Mortgages | 258,359 | 10.1 | % | 259,736 | 10.1 | % | 264,137 | 11.8 | % | 257,408 | 9.9 | % | 259,736 | 10.1 | % | 261,804 | 11.1 | % | ||||||||||||||||||||||||||||||
Home Equity Lines and Loans | 40,072 | 1.6 | % | 40,789 | 1.6 | % | 34,691 | 1.5 | % | 40,210 | 1.5 | % | 40,789 | 1.6 | % | 37,669 | 1.6 | % | ||||||||||||||||||||||||||||||
Agricultural | 257,004 | 10.0 | % | 290,463 | 11.3 | % | 261,427 | 11.7 | % | 284,858 | 10.9 | % | 290,463 | 11.3 | % | 273,170 | 11.6 | % | ||||||||||||||||||||||||||||||
Commercial | 364,439 | 14.2 | % | 343,834 | 13.3 | % | 274,682 | 12.3 | % | 382,192 | 14.7 | % | 343,834 | 13.3 | % | 286,651 | 12.2 | % | ||||||||||||||||||||||||||||||
Consumer & Other | 18,418 | 0.7 | % | 19,412 | 0.8 | % | 6,685 | 0.3 | % | 17,844 | 0.7 | % | 19,412 | 0.8 | % | 7,390 | 0.3 | % | ||||||||||||||||||||||||||||||
Leases | 105,823 | 4.0 | % | 106,217 | 4.0 | % | 89,678 | 3.9 | % | 102,300 | 4.0 | % | 106,217 | 4.0 | % | 89,928 | 3.9 | % | ||||||||||||||||||||||||||||||
Total Gross Loans & Leases | 2,570,581 | 100.0 | % | 2,578,120 | 100.0 | % | 2,241,078 | 100.0 | % | 2,605,599 | 100.0 | % | 2,578,120 | 100.0 | % | 2,351,076 | 100.0 | % | ||||||||||||||||||||||||||||||
Less: Unearned Income | 6,613 | 6,879 | 5,995 | 6,701 | 6,879 | 6,628 | ||||||||||||||||||||||||||||||||||||||||||
Subtotal | 2,563,968 | 2,571,241 | 2,235,083 | 2,598,898 | 2,571,241 | 2,344,448 | ||||||||||||||||||||||||||||||||||||||||||
Less: Allowance for Credit Losses | 54,907 | 55,266 | 50,677 | 55,125 | 55,266 | 51,337 | ||||||||||||||||||||||||||||||||||||||||||
Net Loans & Leases | $ | 2,509,061 | $ | 2,515,975 | $ | 2,184,406 | $ | 2,543,773 | $ | 2,515,975 | $ | 2,293,111 |
(in thousands) | June 30, 2019 | Dec. 31, 2018 | June 30, 2018 | |||||||||
Non-Performing Loans & Leases | $ | - | $ | - | $ | 729 | ||||||
Other Real Estate | 873 | 873 | 873 | |||||||||
Total Non-Performing Assets | $ | 873 | $ | 873 | $ | 1,602 | ||||||
Non-Performing Loans & Leases as a % of Total Loans & Leases | 0.00 | % | 0.00 | % | 0.03 | % | ||||||
Restructured Loans & Leases (Performing) | $ | 12,113 | $ | 13,577 | $ | 6,365 |
(in thousands) | March 31, 2019 | Dec. 31, 2018 | March 31, 2018 | |||||||||
Non-Performing Loans & Leases | $ | 0 | $ | 0 | $ | 81 | ||||||
Other Real Estate | 873 | 873 | 873 | |||||||||
Total Non-Performing Assets | $ | 873 | $ | 873 | $ | 954 | ||||||
Non-Performing Loans & Leases as a % of Total Loans & Leases | 0.00 | % | 0.00 | % | 0.00 | % | ||||||
Restructured Loans & Leases (Performing) | $ | 13,697 | $ | 13,577 | $ | 6,246 |
(in thousands) | Actual | Current Regulatory Capital Requirements | Well Capitalized Under Prompt Corrective Action | Actual | Current Regulatory Capital Requirements | Well Capitalized Under Prompt Corrective Action | ||||||||||||||||||||||||||||||||||||||||||
The Company: | Amount | Ratio | Amount | Ratio | Amount | Ratio | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||||||||||||||||||||||||
As of March 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||
As of June 30, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total Capital Ratio | $ | 363,213 | 11.89 | % | $ | 244,342 | 8.0 | % | N/A | N/A | $ | 372,319 | 12.05 | % | $ | 247,101 | 8.0 | % | N/A | N/A | ||||||||||||||||||||||||||||
Common Equity Tier 1 Capital Ratio | $ | 314,824 | 10.31 | % | $ | 137,443 | 4.5 | % | N/A | N/A | $ | 323,502 | 10.47 | % | $ | 138,995 | 4.5 | % | N/A | N/A | ||||||||||||||||||||||||||||
Tier 1 Capital Ratio | $ | 324,824 | 10.64 | % | $ | 183,257 | 6.0 | % | N/A | N/A | $ | 333,502 | 10.80 | % | $ | 185,326 | 6.0 | % | N/A | N/A | ||||||||||||||||||||||||||||
Tier 1 Leverage Ratio | $ | 324,824 | 9.64 | % | $ | 134,786 | 3.0 | % | N/A | N/A | $ | 333,502 | 9.87 | % | $ | 135,131 | 3.0 | % | N/A | N/A |
(in thousands) | Actual | Current Regulatory Capital Requirements | Well Capitalized Under Prompt Corrective Action | |||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Actual | Current Regulatory Capital Requirements | Well Capitalized Under Prompt Corrective Action | |||||||||||||||||||||||||||||||||||||||||||||
The Bank: | Amount | Ratio | Amount | Ratio | Amount | Ratio | Amount | Ratio | Amount | Ratio | Amount | Ratio | ||||||||||||||||||||||||||||||||||||
As of March 31, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||
As of June 30, 2019 | ||||||||||||||||||||||||||||||||||||||||||||||||
Total Capital Ratio | $ | 362,846 | 11.88 | % | $ | 244,329 | 8.0 | % | $ | 305,411 | 10.0 | % | $ | 370,938 | 12.01 | % | $ | 247,073 | 8.0 | % | $ | 308,841 | 10.0 | % | ||||||||||||||||||||||||
Common Equity Tier 1 Capital Ratio | $ | 324,459 | 10.62 | % | $ | 137,435 | 4.5 | % | $ | 198,517 | 6.5 | % | $ | 332,125 | 10.75 | % | $ | 138,978 | 4.5 | % | $ | 200,747 | 6.5 | % | ||||||||||||||||||||||||
Tier 1 Capital Ratio | $ | 324,459 | 10.62 | % | $ | 183,247 | 6.0 | % | $ | 244,329 | 8.0 | % | $ | 332,125 | 10.75 | % | $ | 185,305 | 6.0 | % | $ | 247,073 | 8.0 | % | ||||||||||||||||||||||||
Tier 1 Leverage Ratio | $ | 324,459 | 9.63 | % | $ | 134,758 | 3.0 | % | $ | 168,448 | 5.0 | % | $ | 332,125 | 9.84 | % | $ | 134,964 | 3.0 | % | $ | 168,705 | 5.0 | % |
(in thousands) | March 31, 2019 | December 31, 2018 | March 31, 2018 | June 30, 2019 | December 31, 2018 | June 30, 2018 | ||||||||||||||||||
Commitments to Extend Credit | $ | 829,080 | $ | 828,539 | $ | 767,718 | $ | 835,230 | $ | 828,539 | $ | 797,006 | ||||||||||||
Letters of Credit | 19,192 | 19,108 | 19,729 | 20,340 | 19,108 | 18,873 | ||||||||||||||||||
Performance Guarantees Under Interest Rate Swap Contracts Entered Into Between Our Borrowing Customers and Third Parties | 472 | - | - | |||||||||||||||||||||
Performance Guarantees Under Interest Rate Swap Contracts Entered | ||||||||||||||||||||||||
Into Between Our Borrowing Customers and Third Parties | 1,485 | - | 747 |
general economic and business conditions affecting the key service areas of the Company; |
credit quality trends (including trends in collateral values, delinquencies and non-performing loans & leases); |
loan & lease volumes, growth rates and concentrations; |
loan & lease portfolio seasoning; |
specific industry and crop conditions; |
recent loss experience; and |
duration of the current business cycle. |
PART II. OTHER INFORMATION |
Exhibit No. | Description | ||
Amended and Restated Employment Agreement effective August 1, 2019, between Farmers & Merchants Bank of Central California and Kent A. Steinwert, filed on Registrant’s Form 10-Q for the quarter ended June 30, 2019. | |||
Amended and Restated Employment Agreement effective August 1, 2019, between Farmers & Merchants Bank of Central California and Deborah E. Skinner, filed on Registrant’s Form 10-Q for the quarter ended June 30, 2019. | |||
Amended and Restated Employment Agreement effective August 1, 2019, between Farmers & Merchants Bank of Central California and Kenneth W. Smith, filed on Registrant’s Form 10-Q for the quarter ended June 30, 2019. | |||
Amended and Restated Employment Agreement effective August 1, 2019, between Farmers & Merchants Bank of Central California and Stephen W. Haley, filed on Registrant’s Form 10-Q for the quarter ended June 30, 2019. | |||
Amended and Restated Employment Agreement effective August 1, 2019, between Farmers & Merchants Bank of Central California and Jay J. Colombini, filed on Registrant’s Form 10-Q for the quarter ended June 30, 2019. | |||
Amended and Restated Employment Agreement effective August 1, 2019, between Farmers & Merchants Bank of Central California and Ryan J. Misasi, filed on Registrant’s Form 10-Q for the quarter ended June 30, 2019. | |||
Certification of the Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. | |||
Certification of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. | |||
Certifications of the Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | |||
101.INS | XBRL Instance Document | ||
101.SCH | XBRL Schema Document | ||
101.CAL | XBRL Calculation Linkbase Document | ||
101.LAB | XBRL Label Linkbase Document | ||
101.PRE XBRL | Presentation Linkbase Document | ||
101.DEF | XBRL Definition Linkbase Document |
FARMERS & MERCHANTS BANCORP | ||
Date: August 9, 2019 | /s/ Kent A. Steinwert | |
Kent A. Steinwert | ||
Chairman, President | ||
& Chief Executive Officer | ||
(Principal Executive Officer) |
Date: August 9, 2019 | /s/ Stephen W. Haley | |
Stephen W. Haley | ||
Executive Vice President and | ||
Chief Financial Officer | ||
(Principal Financial & Accounting Officer) |