Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 04, 2022 | |
Cover page [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 001-37661 | |
Entity Registrant Name | SMARTFINANCIAL INC. | |
Entity Incorporation, State or Country Code | TN | |
Entity Tax Identification Number | 62-1173944 | |
Entity Address, Address Line One | 5401 Kingston Pike, Suite 600 | |
Entity Address, City or Town | Knoxville | |
Entity Address, State or Province | TN | |
City Area Code | 865 | |
Entity Address, Postal Zip Code | 37919 | |
Local Phone Number | 437-5700 | |
Title of 12(b) Security | Common Stock, par value $1.00 | |
Trading Symbol | SMBK | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 16,898,405 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0001038773 | |
Current Fiscal Year End Date | --12-31 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
ASSETS: | ||
Cash and due from banks | $ 64,189 | $ 110,333 |
Interest-bearing deposits with banks | 525,556 | 897,244 |
Federal funds sold | 65,200 | 37,500 |
Total cash and cash equivalents | 654,945 | 1,045,077 |
Securities available-for-sale, at fair value | 524,864 | 482,453 |
Securities held-to-maturity, at amortized cost | 288,363 | 76,969 |
Other investments | 16,569 | 16,494 |
Loans held for sale | 1,707 | 5,103 |
Loans and leases | 2,994,074 | 2,693,397 |
Less: Allowance for loan and leases losses | (21,938) | (19,352) |
Loans and leases, net | 2,972,136 | 2,674,045 |
Premises and equipment, net | 89,950 | 85,958 |
Other real estate owned | 1,612 | 1,780 |
Goodwill and other intangibles, net | 104,582 | 105,852 |
Bank owned life insurance | 80,537 | 79,619 |
Other assets | 52,848 | 38,229 |
Total assets | 4,788,113 | 4,611,579 |
Deposits: | ||
Noninterest-bearing demand | 1,162,843 | 1,055,125 |
Interest-bearing demand | 999,893 | 899,158 |
Money market and savings | 1,607,714 | 1,493,007 |
Time deposits | 511,182 | 574,648 |
Total deposits | 4,281,632 | 4,021,938 |
Borrowings | 12,549 | 87,585 |
Subordinated debt | 41,973 | 41,930 |
Other liabilities | 31,532 | 30,696 |
Total liabilities | 4,367,686 | 4,182,149 |
Stockholders' equity: | ||
Preferred stock, $1 par value; 2,000,000 shares authorized; No shares issued and outstanding | ||
Common stock, $1 par value; 40,000,000 shares authorized; 16,898,405 and 16,802,990 shares issued and outstanding, respectively | 16,898 | 16,803 |
Additional paid-in capital | 293,815 | 292,937 |
Retained earnings | 134,362 | 118,247 |
Accumulated other comprehensive income (loss) | (24,648) | 1,443 |
Total stockholders' equity | 420,427 | 429,430 |
Total liabilities and shareholders' equity | $ 4,788,113 | $ 4,611,579 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Securities held to maturity, fair value | $ 267,678 | $ 76,946 |
Preferred stock, par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 40,000,000 | 40,000,000 |
Common stock, shares issued (in shares) | 16,898,405 | 16,802,990 |
Common stock, shares outstanding (in shares) | 16,898,405 | 16,802,990 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Interest Income: | ||||
Loans and leases, including fees | $ 31,530 | $ 28,323 | $ 61,172 | $ 56,341 |
Securities available-for-sale: | ||||
Taxable | 2,908 | 916 | 5,327 | 1,640 |
Tax-exempt | 441 | 304 | 809 | 563 |
Federal funds sold and other earning assets | 1,430 | 309 | 1,916 | 600 |
Total interest income | 36,309 | 29,852 | 69,224 | 59,144 |
Interest Expense: | ||||
Deposits | 2,504 | 2,248 | 4,518 | 4,579 |
Borrowings | 117 | 123 | 274 | 241 |
Subordinated debt | 626 | 584 | 1,252 | 1,167 |
Total interest expense | 3,247 | 2,955 | 6,044 | 5,987 |
Net interest income | 33,062 | 26,897 | 63,180 | 53,157 |
Provision for loan and lease losses | 1,250 | (5) | 2,256 | 62 |
Net interest income after provision for loan losses | 31,812 | 26,902 | 60,924 | 53,095 |
Noninterest Income: | ||||
Service charges on deposit accounts | 1,446 | 1,048 | 2,765 | 2,057 |
Mortgage banking | 471 | 1,105 | 1,305 | 2,244 |
Investment services | 1,065 | 567 | 2,135 | 1,098 |
Insurance commissions | 598 | 557 | 1,499 | 2,023 |
Interchange and debit card transaction fees, net | 1,467 | 922 | 2,751 | 1,761 |
Other | 2,182 | 944 | 3,885 | 1,652 |
Total noninterest income | 7,229 | 5,143 | 14,340 | 10,835 |
Noninterest Expense: | ||||
Salaries and employee benefits | 15,673 | 12,203 | 30,719 | 23,072 |
Occupancy and equipment | 2,793 | 2,294 | 5,852 | 4,635 |
FDIC insurance | 676 | 371 | 1,317 | 741 |
Other real estate and loan related expenses | 636 | 506 | 1,365 | 1,108 |
Advertising and marketing | 327 | 230 | 697 | 419 |
Data processing and technology | 1,728 | 1,509 | 3,314 | 2,889 |
Professional services | 745 | 849 | 1,987 | 1,490 |
Amortization of intangibles | 633 | 441 | 1,270 | 886 |
Merger related and restructuring expenses | 81 | 372 | 520 | 475 |
Other | 2,634 | 2,022 | 4,602 | 4,547 |
Total noninterest expenses | 25,926 | 20,797 | 51,643 | 40,262 |
Income before income tax expense | 13,115 | 11,248 | 23,621 | 23,668 |
Income tax expense | 2,900 | 2,470 | 5,146 | 5,134 |
Net income | $ 10,215 | $ 8,778 | $ 18,475 | $ 18,534 |
Earnings per common share: | ||||
Basic (in dollars per share) | $ 0.61 | $ 0.59 | $ 1.11 | $ 1.24 |
Diluted (in dollars per share) | $ 0.61 | $ 0.58 | $ 1.10 | $ 1.23 |
Weighted average common shares outstanding: | ||||
Basic (in shares) | 16,734,930 | 15,003,657 | 16,726,696 | 15,007,593 |
Diluted (in shares) | 16,867,774 | 15,126,184 | 16,863,299 | 15,118,924 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income (Loss) [Abstract] | ||||
Net income | $ 10,215 | $ 8,778 | $ 18,475 | $ 18,534 |
Other comprehensive income (loss): | ||||
Unrealized holding gains (losses) on securities available-for-sale | (11,404) | 1,554 | (31,752) | (1,255) |
Tax effect | 2,945 | (401) | 8,201 | 338 |
Reclassification of unrealized loss on securities transferred from available-for-sale to held-to-maturity | (2,009) | |||
Tax effect | 519 | |||
Amortization of unrealized gains on investment securities transferred from available-for-sale to held-to-maturity | 38 | 27 | ||
Tax effect | (9) | (6) | ||
Unrealized gains (losses) on securities available-for-sale, net of tax | (8,430) | 1,153 | (25,020) | (917) |
Unrealized gains (losses) on fair value municipal security hedges | (892) | 139 | (1,443) | 1,451 |
Tax effect | 230 | (37) | 372 | (379) |
Unrealized gains (losses) on fair value municipal security hedge instruments arising during the period, net of tax | (662) | 102 | (1,071) | 1,072 |
Total other comprehensive income (loss) | (9,092) | 1,255 | (26,091) | 155 |
Comprehensive income (loss) | $ 1,123 | $ 10,033 | $ (7,616) | $ 18,689 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
BALANCE at Dec. 31, 2020 | $ 15,107 | $ 252,693 | $ 87,185 | $ 2,183 | $ 357,168 |
BALANCE (in shares) at Dec. 31, 2020 | 15,107,214 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 18,534 | 18,534 | |||
Other comprehensive income (loss) | 155 | 155 | |||
Stock options exercised | $ 19 | 175 | $ 194 | ||
Stock options exercised (in shares) | 19,165 | 19,040 | |||
Restricted stock | $ 43 | (43) | |||
Restricted stock (in shares) | 42,967 | ||||
Stock compensation expense | 363 | $ 363 | |||
Common stock dividends | (1,813) | (1,813) | |||
Repurchases of common stock | $ (59) | (1,149) | (1,208) | ||
Repurchases of common stock (in shares) | (59,610) | ||||
BALANCE at Jun. 30, 2021 | $ 15,110 | 252,039 | 103,906 | 2,338 | 373,393 |
BALANCE (in shares) at Jun. 30, 2021 | 15,109,736 | ||||
BALANCE at Mar. 31, 2021 | $ 15,105 | 251,836 | 96,034 | 1,083 | 364,058 |
BALANCE (in shares) at Mar. 31, 2021 | 15,104,536 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 8,778 | 8,778 | |||
Other comprehensive income (loss) | 1,255 | 1,255 | |||
Stock options exercised | $ 3 | 43 | $ 46 | ||
Stock options exercised (in shares) | 3,200 | 3,075 | |||
Restricted stock | $ 2 | (2) | |||
Restricted stock (in shares) | 2,000 | ||||
Stock compensation expense | 162 | $ 162 | |||
Common stock dividends | (906) | (906) | |||
BALANCE at Jun. 30, 2021 | $ 15,110 | 252,039 | 103,906 | 2,338 | 373,393 |
BALANCE (in shares) at Jun. 30, 2021 | 15,109,736 | ||||
BALANCE at Dec. 31, 2021 | $ 16,803 | 292,937 | 118,247 | 1,443 | 429,430 |
BALANCE (in shares) at Dec. 31, 2021 | 16,802,990 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 18,475 | 18,475 | |||
Other comprehensive income (loss) | (26,091) | (26,091) | |||
Stock options exercised | $ 31 | 232 | $ 263 | ||
Stock options exercised (in shares) | 31,400 | 31,400 | |||
Restricted stock | $ 64 | (64) | |||
Restricted stock (in shares) | 64,015 | ||||
Stock compensation expense | 710 | $ 710 | |||
Common stock dividends | (2,360) | (2,360) | |||
BALANCE at Jun. 30, 2022 | $ 16,898 | 293,815 | 134,362 | (24,648) | 420,427 |
BALANCE (in shares) at Jun. 30, 2022 | 16,898,405 | ||||
BALANCE at Mar. 31, 2022 | $ 16,893 | 293,376 | 125,329 | (15,556) | 420,042 |
BALANCE (in shares) at Mar. 31, 2022 | 16,893,282 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 10,215 | 10,215 | |||
Other comprehensive income (loss) | (9,092) | (9,092) | |||
Stock options exercised | $ 4 | 42 | $ 46 | ||
Stock options exercised (in shares) | 3,850 | 3,850 | |||
Restricted stock | $ 1 | (1) | |||
Restricted stock (in shares) | 1,273 | ||||
Stock compensation expense | 398 | $ 398 | |||
Common stock dividends | (1,182) | (1,182) | |||
BALANCE at Jun. 30, 2022 | $ 16,898 | $ 293,815 | $ 134,362 | $ (24,648) | $ 420,427 |
BALANCE (in shares) at Jun. 30, 2022 | 16,898,405 |
CONSOLIDATED STATEMENT OF CHA_2
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||||
Common stock dividend, per share | $ 0.07 | $ 0.06 | $ 0.14 | $ 0.12 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Cash flows from operating activities: | ||
Net income | $ 18,475 | $ 18,534 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 4,918 | 3,132 |
Accretion of fair value purchase accounting adjustments, net | (552) | (2,397) |
Provision for loan and lease losses | 2,256 | 62 |
Stock compensation expense | 710 | 363 |
Deferred income tax expense | 328 | 147 |
Increase in cash surrender value of bank owned life insurance | (918) | (797) |
Net losses from sale and write downs of other real estate owned | 59 | 170 |
Net gains from mortgage banking | (1,305) | (2,244) |
Origination of loans held for sale | (42,712) | (65,896) |
Proceeds from sales of loans held for sale | 47,413 | 75,528 |
Net gain from sale of fixed assets | (253) | |
Net change in: | ||
Accrued interest receivable | (1,597) | 1,309 |
Accrued interest payable | (224) | (218) |
Other assets | (12,081) | (1,015) |
Other liabilities | 13,890 | 4,503 |
Net cash provided by operating activities | 28,407 | 31,181 |
Cash flows from investing activities: | ||
Proceeds from maturities, calls and paydowns | 21,247 | 27,264 |
Purchases of securities available-for-sale | (266,872) | (65,180) |
Proceeds from maturities, calls and paydowns | 634 | |
Purchases of securities held-to-maturity | (50,575) | |
Proceeds from sales of other investments | 290 | |
Purchase of other investments | (75) | (80) |
Purchases of bank owned life insurance | (40,000) | |
Net increase in loans and leases | (299,793) | (31,545) |
Proceeds from sale of fixed assets | 1,278 | |
Purchase of premises and equipment | (7,358) | (1,633) |
Proceeds from sale of other real estate owned | 108 | 1,662 |
Net cash (paid) received from business combination | (59,381) | |
Net cash used in investing activities | (601,406) | (168,603) |
Cash flow from financing activities: | ||
Net increase in deposits | 260,000 | 334,410 |
Net (decrease) in securities sold under agreements to repurchase | (36) | (1,969) |
Repayment borrowings | (75,000) | (396) |
Cash dividends paid | (2,360) | (1,813) |
Issuance of common stock | 263 | 194 |
Repurchases of common stock | (1,208) | |
Net cash provided by financing activities | 182,867 | 329,218 |
Net change in cash and cash equivalents | (390,132) | 191,796 |
Cash and cash equivalents, beginning of period | 1,045,077 | 481,719 |
Cash and cash equivalents, end of period | 654,945 | 673,515 |
Supplemental disclosures of cash flow information: | ||
Cash paid during the period for interest | 6,267 | 6,205 |
Net cash paid/received during the period for income taxes | 3,640 | 7,720 |
Noncash investing and financing activities: | ||
Acquisition of real estate through foreclosure | 151 | |
Transfer of securities from available-for-sale to held-to-maturity | $ 162,378 | |
Change in goodwill due to acquisitions and sale of a portfolio of loans | $ 2,723 |
Presentation of Financial Infor
Presentation of Financial Information | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Presentation of Financial Information | Note 1. Presentation of Financial Information Nature of Business: SmartFinancial, Inc. (the "Company," “SmartFinancial,” “we,” “our” or “us”) is a bank holding company whose principal activity is the ownership and management of its wholly owned subsidiary, SmartBank (the "Bank"). The Company provides a variety of financial services to individuals and corporate customers through its offices in East and Middle Tennessee, Alabama, and the Florida Panhandle. The Bank’s primary deposit products are noninterest-bearing and interest-bearing demand deposits, savings and money market deposits, and time deposits. Its primary lending products are commercial, residential, and consumer loans. Basis of Presentation and Accounting Estimates: The accounting and financial reporting policies of the Company and its wholly owned subsidiary conform to U.S. generally accepted accounting principles (“GAAP”) and reporting guidelines of banking regulatory authorities and regulators. The accompanying interim consolidated financial statements for the Company and its wholly owned subsidiary have not been audited. All material intercompany balances and transactions have been eliminated. In management’s opinion, all accounting adjustments necessary to accurately reflect the financial position and results of operations on the accompanying financial statements have been made. These adjustments are normal and recurring accruals considered necessary for a fair and accurate presentation. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan and lease losses, the valuation of foreclosed assets and deferred taxes, other than temporary impairments of securities, the fair value of financial instruments, goodwill, and the fair value of assets acquired, and liabilities assumed in acquisitions. The results for interim periods are not necessarily indicative of results for the full year or any other interim periods. The accompanying unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and related notes appearing in the Company’s annual report on Form 10-K for the year ended December 31, 2021. Recently Issued and Adopted Accounting Pronouncements: In March 2020, the FASB issued ASU 2020-04 , Reference Rate Reform (Topic 848): Recently Issued Not Yet Effective Accounting Pronouncements: During interim periods, the Company follows the accounting policies set forth in its annual audited financial statements for the year ended December 31, 2021, as filed in its Annual Report on Form 10-K with the Securities and Exchange Commission ("SEC"). The following is a summary of recent authoritative pronouncements issued but not yet effective that could impact the accounting, reporting, and/or disclosure of financial information by the Company. In October 2019, the Financial Accounting Standards Board approved a delay for the implementation of ASU 2016-13, Financial Instruments - Credit Losses model will be effective for larger Public Business Entities ("PBEs") that are SEC filers, excluding Smaller Reporting Companies ("SRCs") as currently defined by the SEC, for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. For calendar-year-end companies that are not SRCs, this will be January 1, 2020. The determination of whether an entity is an SRC will be based on an entity’s most recent assessment in accordance with SEC regulations and the Company meets the regulations as an SRC. For SRCs and other entities, the Board decided that CECL will be effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. For all entities, early adoption will continue to be permitted; that is, early adoption is allowed for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years (that is, effective January 1, 2019, for calendar-year-end companies). The Company does not plan to adopt this standard early and being that the Company is an SRC, adoption is required for fiscal years beginning after December 15, 2022. Under the CECL model, we will be required to present certain financial assets carried at amortized cost, such as loans held for investment and held-to-maturity debt securities, at the net amount expected to be collected. The measurement of expected credit losses is to be based on information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. This measurement will take place at the time the financial asset is first added to the balance sheet and periodically thereafter. This differs significantly from the “incurred loss” model currently required under GAAP, which delays recognition until it is probable a loss has been incurred. Accordingly, we expect that the adoption of the CECL model will materially affect how we determine our allowance for loan losses and could require us to significantly increase our allowance. Moreover, the CECL model may create more volatility in the level of our allowance for loan losses. If we are required to materially increase our level of allowance for loan losses for any reason, such increase could adversely affect our business, financial condition and results of operations. A cross-functional working group comprised of individuals from credit administration, risk management and accounting and finance are in place implementing and developing the data, forecast, processes, and portfolio segmentation that will be used in the models that will estimate the expected credit loss for each loan segment. The Company has contracted with a third party vendor solution to assist us in the application, analysis, and model development required with implementation of ASU 2016-13. The Company is currently unable to reasonably estimate the impact of adopting ASU 2016-13, and it will be influenced by the composition, characteristics and quality of our loan and securities portfolio, as well as the economic conditions and forecasts as of each reporting period. These economic conditions and forecasts could be significantly different in future periods. In March 2022, the FASB issued ASU 2022-01, Derivatives and Hedging (Topic 815): Fair Value Hedging - Portfolio Layer Method , which allows multiple hedged layers to be designated for a single closed portfolio of financial assets resulting in a greater portion of the interest rate risk in the closed portfolio being eligible to be hedged. The amendments allow the flexibility to use different types of derivatives or combinations of derivatives to better align with risk management strategies. Furthermore, among other things, the amendments clarify that basis adjustments of hedged items in the closed portfolio should be allocated at the portfolio level and not the individual assets within the portfolio. The guidance is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2022. Early adoption is permitted, including early adoption in an interim period. An entity should apply ASU 2022-01 prospectively. If an entity elects to early adopt ASU 2022-01 in an interim period, the guidance should be applied as of the beginning of the fiscal year that includes the interim period. The Company is assessing ASU 2022-01 and its impact on its accounting and disclosures. In March 2022, the FASB issued ASU 2022-02, Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures , which removes the accounting guidance for troubled debt restructurings and requires entities to evaluate whether a modification provided to a borrower results in a new loan or continuation of an existing loan. The amendments enhance existing disclosures and require new disclosures for receivables when there has been a modification in contractual cash flows due to a borrower experiencing financial difficulties. Additionally, the amendments require public business entities to disclose gross charge-off information by year of origination in the vintage disclosures. The guidance is effective for entities that have adopted ASU 2016-13 for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2022. Early adoption is permitted, including early adoption in an interim period. An entity should apply ASU 2022-02 prospectively. If an entity elects to early adopt ASU 2022-02 in an interim period, the guidance should be applied as of the beginning of the fiscal year that includes the interim period. The Company will adopt its impact on its accounting and disclosures In June 2022, the FASB issued ASU 2022-03, Fair Value Measurement (Topic 820): Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions , which clarifies that a contractual sale restriction should not be considered in measuring fair value. It also requires entities with investments in equity securities subject to contractual sale restrictions to disclose certain qualitative and quantitative information about such securities. The guidance is effective for public companies for fiscal years beginning after December 15, 2023. All other entities have an extra year to adopt; early adoption is permitted. The Company is assessing ASU 2022-03 and its impact on its accounting and disclosures. |
Business Combinations
Business Combinations | 6 Months Ended |
Jun. 30, 2022 | |
Business Combinations [Abstract] | |
Business Combinations | Note 2. Business Combinations Sevier County Bancshares, Inc. On September 1, 2021, the Company completed the acquisition of Sevier County Bancshares, Inc., a Tennessee corporation (“SCB”), pursuant to an Agreement and Plan of Merger dated April 13, 2021 (the “Merger Agreement”). In connection with the merger, the Company acquired $484.9 million of assets and assumed $443.1 million of liabilities. Pursuant to the Merger Agreement, at the effective time of the merger, SCB shareholders were entitled to receive for each share of SCB common stock, no par value per share, outstanding immediately prior to the Merger, either (i) $10.17 in cash (the “Per Share Cash Consideration”), or (ii) 0.4116 shares of Company common stock, par value $1.00 (the “Per Share Stock Consideration”). Pursuant to the terms of the Merger Agreement, (i) each SCB shareholder holding 20,000 shares or more of SCB common stock will receive the Per Share Stock Consideration and (ii) each SCB shareholder holding fewer than 20,000 shares of SCB common stock may elect to receive either the Per Share Stock Consideration or the Per Share Cash Consideration. The purchased assets and assumed liabilities were recorded at their acquisition date fair values (1) and are summarized in the table below . Initial As recorded Fair value Subsequent As recorded by SCB adjustments Adjustments by the Company Assets: Cash & cash equivalents $ 84,313 $ — $ — $ 84,313 Investment securities available-for-sale 64,219 (614) — 63,605 Restricted investments 533 — — 533 Loans 304,620 (4,551) (3,049) 297,020 Allowance for loan losses (3,644) 3,644 — — Premises and equipment, net 15,579 (295) (22) 15,262 Bank owned life insurance 7,116 — — 7,116 Deferred tax asset, net 10,340 (4,007) 769 7,102 Core deposit intangible — 1,550 — 1,550 Interest Receivable 884 — — 884 Other assets 920 (272) (533) 115 Total assets acquired $ 484,880 $ (4,545) $ (2,835) $ 477,500 Liabilities: Deposits $ 435,036 $ — $ — $ 435,036 Time deposit premium — 888 — 888 Subordinated debt 2,500 — — 2,500 Payables and other liabilities 5,563 115 (1,254) 4,424 Total liabilities assumed 443,099 1,003 (1,254) 442,848 Excess of assets acquired over liabilities assumed $ 41,781 Aggregate fair value adjustments $ (5,548) $ (1,581) Total identifiable net assets 34,652 Consideration transferred: Cash 9,568 Common stock issued ( 42,255 Total fair value of consideration transferred 51,823 Goodwill $ 17,171 (1) The following table presents additional information related to the purchased credit impaired loans (ASC 310-30) of the acquired loan portfolio at the acquisition date (in thousands) September 1, 2021 Accounted for pursuant to ASC 310-30: Contractually required principal and interest $ 30,293 Non-accretable differences 7,609 Cash flows expected to be collected 22,684 Accretable yield 3,552 Fair value $ 19,132 Fountain Leasing, LLC On May 3, 2021, the Company completed the acquisition of Fountain Leasing, LLC, a Tennessee limited liability company, pursuant to the Purchase Agreement (the “Purchase Agreement”), dated May 2, 2021, by and among the Bank and the members of Fountain Leasing, LLC. Following the closing of the acquisition, on May 4, 2021, the Company changed the name of Fountain Leasing, LLC to Fountain Equipment Finance, LLC (“Fountain”). In connection with the acquisition, the Company acquired $54.1 million of assets and assumed $683 thousand of liabilities. Pursuant to the Purchase Agreement, the Company paid an aggregate amount of consideration to the Fountain members of $14.0 million in cash at closing, and the Company repaid approximately $45.8 million of Fountain’s indebtedness. In addition to the closing consideration, the Purchase Agreement contains a performance-based earnout, pursuant to which the former members of Fountain could be entitled to up to $6.0 million, which is excluded from consideration pursuant to ASC 805, in future cash payments from the Company based on future results of the acquired business over various periods through December 31, 2026. liabilities acquired and resulted in the establishment of goodwill in the amount of $2.4 million, representing the intangible value of Fountains business and reputation within the markets it served. The goodwill recognized is expected to be deductible for income tax purposes. The Company established an intangible asset related to customer relationships of $2.7 million, amortizing sum-of-the-years digits over 96 months (8 years). The purchased assets and assumed liabilities were recorded at their acquisition date fair values (1) and are summarized in the table below . As recorded Fair value Subsequent As recorded by Fountain adjustments Adjustments by the Company Assets: Cash & cash equivalents $ 413 $ — $ — $ 413 Leases 54,945 (720) — 54,225 Allowance for lease losses (1,796) 1,796 — — Customer list intangible — 2,658 — 2,658 Other repossessed assets 319 — — 319 Other assets 233 — — 233 Total assets acquired $ 54,114 $ 3,734 $ — $ 57,848 Liabilities: Payables and other liabilities $ 683 $ (229) $ — $ 454 Total liabilities assumed 683 (229) — 454 Excess of assets acquired over liabilities assumed $ 53,431 Aggregate fair value adjustments $ 3,963 $ — Total identifiable net assets 57,394 Consideration transferred: Cash 59,794 Total fair value of consideration transferred 59,794 Goodwill $ 2,400 (1) The following table presents additional information related to the purchased credit impaired financing leases (ASC 310-30) of the acquired lease portfolio at the acquisition date (in thousands) May 3, 2021 Accounted for pursuant to ASC 310-30: Contractually required principal and interest $ 6,018 Non-accretable differences 447 Cash flows expected to be collected 5,571 Accretable yield 649 Fair value $ 4,922 |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 3. Earnings Per Share Basic earnings per common share is computed by dividing net income available to common shareholders by the weighted-average number of common shares outstanding. Diluted earnings per common share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding and dilutive common share equivalents using the treasury stock method. Dilutive common share equivalents include common shares issuable upon exercise of outstanding stock options and restricted stock. The effect from the stock options and restricted stock on incremental shares from the assumed conversions for net income per share-basic and net income per share-diluted are presented below. There were no antidilutive shares for the three and six months ended June 30, 2022, and June 30, 2021, respectively. The following is a summary of the basic and diluted earnings per share computation (dollars in thousands, except share and per share data) Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Basic earnings per share computation: Net income available to common shareholders $ 10,215 $ 8,778 $ 18,475 $ 18,534 Average common shares outstanding – basic 16,734,930 15,003,657 16,726,696 15,007,593 Basic earnings per share $ 0.61 $ 0.59 $ 1.11 $ 1.24 Diluted earnings per share computation: Net income available to common shareholders $ 10,215 $ 8,778 $ 18,475 $ 18,534 Average common shares outstanding – basic 16,734,930 15,003,657 16,726,696 15,007,593 Incremental shares from assumed conversions: Stock options and restricted stock 132,844 122,527 136,603 111,331 Average common shares outstanding - diluted 16,867,774 15,126,184 16,863,299 15,118,924 Diluted earnings per common share $ 0.61 $ 0.58 $ 1.10 $ 1.23 |
Securities
Securities | 6 Months Ended |
Jun. 30, 2022 | |
Securities [Abstract] | |
Securities | Note 4. Securities The amortized cost, gross unrealized gains and losses and fair value of securities available-for-sale and held-to-maturity are summarized as follows (in thousands) June 30, 2022 Gross Gross Amortized Unrealized Unrealized Fair Available-for-sale: Cost Gains Losses Value U.S. Treasury $ 238,546 $ — $ (13,525) $ 225,021 U.S. Government-sponsored enterprises (GSEs) 428 — (5) 423 Municipal securities 53,575 95 (513) 53,157 Other debt securities 28,974 — (1,123) 27,851 Mortgage-backed securities (GSEs) 235,060 4 (16,652) 218,412 Total $ 556,583 $ 99 $ (31,818) $ 524,864 June 30, 2022 Gross Gross Amortized Unrealized Unrealized Fair Held-to-maturity: Cost Gains Losses Value U.S. Treasury $ 150,413 $ — $ (3,694) $ 146,719 U.S. Government-sponsored enterprises (GSEs) 51,135 — (6,120) 45,015 Municipal securities 54,166 — (7,684) 46,482 Mortgage-backed securities (GSEs) 32,649 — (3,187) 29,462 Total $ 288,363 $ — $ (20,685) $ 267,678 December 31, 2021 Gross Gross Amortized Unrealized Unrealized Fair Available-for-sale: Cost Gains Losses Value U.S. Treasury $ 138,212 $ 64 $ (518) $ 137,758 U.S. Government-sponsored enterprises (GSEs) 21,898 76 (173) 21,801 Municipal securities 67,310 512 (2) 67,820 Other debt securities 26,989 313 (82) 27,220 Mortgage-backed securities (GSEs) 228,011 971 (1,128) 227,854 Total $ 482,420 $ 1,936 $ (1,903) $ 482,453 December 31, 2021 Gross Gross Amortized Unrealized Unrealized Fair Held-to-maturity: Cost Gains Losses Value U.S. Government-sponsored enterprises (GSEs) $ 31,023 $ 20 $ (87) $ 30,956 Municipal securities 45,946 63 (19) 45,990 Total $ 76,969 $ 83 $ (106) $ 76,946 At June 30, 2022 and December 31, 2021, securities with a carrying value totaling approximately $257.0 million and $201.2 million, respectively, were pledged to secure public funds and securities sold under agreements to repurchase. During the first quarter of 2022, the Company transferred $162.4 million of available-for-sale securities to the held-to-maturity category, reflecting the Company’s intent to hold those securities to maturity. Transfers of investment securities into the held-to-maturity category from the available-for-sale category are made at fair value at the date of transfer. The related $2.0 million of unrealized holding loss that was included in the transfer is retained in accumulated other comprehensive income, net of tax, and in the carrying value of the held-to-maturity securities. This amount will be amortized as an adjustment to interest income over the remaining life of the securities. This will offset the impact of amortization of the net premium created in the transfer. There were no gains or losses recognized as a result of this transfer. The Company has entered-into-various fair value hedging transactions to mitigate the impact of changing interest rates on the fair values of available for sale securities. See Note 11 – Derivatives Financial Instruments The amortized cost and estimated fair value of securities at June 30, 2022 by contractual maturity for non-mortgage backed securities are shown below (in thousands) June 30, 2022 Amortized Fair Available-for-sale: Cost Value Due in one year or less $ 346 $ 345 Due from one year to five years 177,974 170,268 Due from five years to ten years 99,298 92,108 Due after ten years 43,905 43,731 321,523 306,452 Mortgage-backed securities 235,060 218,412 Total $ 556,583 $ 524,864 Held-to-maturity: Due in one year or less $ — $ — Due from one year to five years 150,413 146,719 Due from five years to ten years 30,283 27,432 Due after ten years 75,018 64,065 255,714 238,216 Mortgage-backed securities 32,649 29,462 Total $ 288,363 $ 267,678 The following tables present the gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities available-for-sale and held-to-maturity have been in a continuous unrealized loss position (in thousands) June 30, 2022 Less than 12 Months 12 Months or Greater Total Gross Number Gross Number Gross Number Fair Unrealized of Fair Unrealized of Fair Unrealized of Available-for-sale: Value Losses Securities Value Losses Securities Value Losses Securities U.S. Treasury $ 225,022 $ (13,525) 19 $ — $ — — $ 225,022 $ (13,525) 19 U.S. Government-sponsored enterprises (GSEs) — — — 423 (5) 2 423 (5) 2 Municipal securities 39,081 (513) 32 — — — 39,081 (513) 32 Other debt securities 26,402 (1,073) 23 1,450 (50) 1 27,852 (1,123) 24 Mortgage-backed securities (GSEs) 210,200 (16,427) 96 7,459 (225) 6 217,659 (16,652) 102 Total $ 500,705 $ (31,538) 170 $ 9,332 $ (280) 9 $ 510,037 $ (31,818) 179 June 30, 2022 Less than 12 Months 12 Months or Greater Total Gross Number Gross Number Gross Number Fair Unrealized of Fair Unrealized of Fair Unrealized of Held-to-maturity: Value Losses Securities Value Losses Securities Value Losses Securities U.S. Treasury $ 146,919 $ (3,694) 4 $ — $ — — $ 146,919 $ (3,694) 4 U.S. Government-sponsored enterprises (GSEs) 22,393 (2,777) 6 22,622 (3,343) 7 45,015 (6,120) 13 Municipal securities 46,482 (7,684) 35 — — — 46,482 (7,684) 35 Mortgage-backed securities (GSEs) 29,462 (3,187) 5 — — — 29,462 (3,187) 5 Total $ 245,256 $ (17,342) 50 $ 22,622 $ (3,343) 7 $ 267,878 $ (20,685) 57 December 31, 2021 Less than 12 Months 12 Months or Greater Total Gross Number Gross Number Gross Number Fair Unrealized of Fair Unrealized of Fair Unrealized of Available-for-sale: Value Losses Securities Value Losses Securities Value Losses Securities U.S. Treasury $ 99,959 $ (518) 11 $ — $ — — $ 99,959 $ (518) 11 U.S. Government-sponsored enterprises (GSEs) 14,156 (168) 2 579 (5) 2 14,735 (173) 4 Municipal securities 2,519 (2) 1 — — — 2,519 (2) 1 Other debt securities 5,983 (82) 6 — — — 5,983 (82) 6 Mortgage-backed securities (GSEs) 159,725 (1,002) 31 8,233 (126) 6 167,958 (1,128) 37 Total $ 282,342 $ (1,772) 51 $ 8,812 $ (131) 8 $ 291,154 $ (1,903) 59 December 31, 2021 Less than 12 Months 12 Months or Greater Total Gross Number Gross Number Gross Number Fair Unrealized of Fair Unrealized of Fair Unrealized of Held-to-maturity: Value Losses Securities Value Losses Securities Value Losses Securities U.S. Government-sponsored enterprises (GSEs) $ 21,901 $ (87) 8 $ — $ — — $ 21,901 $ (87) 8 Municipal securities 4,173 (19) 6 — — — 4,173 (19) 6 Total $ 26,074 $ (106) 14 $ — $ — — $ 26,074 $ (106) 14 The Company reviews the securities portfolio on a quarterly basis to monitor its exposure to other-than-temporary impairment. A determination as to whether a security’s decline in fair value is other-than-temporary takes into consideration numerous factors and the relative significance of any single factor can vary by security. Some factors the Company may consider in the other-than-temporary impairment analysis include the length of time and extent to which the security has been in an unrealized loss position, changes in security ratings, financial condition and near-term prospects of the issuer, as well as security and industry specific economic conditions. Based on this evaluation, the Company concluded that any unrealized losses at June 30, 2022, represented a temporary impairment, as these unrealized losses are primarily attributable to changes in interest rates and current market conditions, and not credit deterioration of the issuers. As of June 30, 2022, the Company does not intend, or be required, to sell any of the securities, and expects to recover the entire amortized cost of all of the securities. Other Investments: Our other investments consist of restricted non-marketable equity securities that have no readily determinable market value. Accordingly, when evaluating these securities for impairment, management considers the ultimate recoverability of the par value rather than recognizing temporary declines in value. As of June 30, 2022, the Company determined that there was no impairment on its other investment securities. The following is the amortized cost and carrying value of other investments (in thousands) June 30, December 31, 2022 2021 Federal Reserve Bank stock $ 9,768 $ 9,693 Federal Home Loan Bank stock 6,451 6,451 First National Bankers Bank stock 350 350 Total $ 16,569 $ 16,494 |
Loans and Leases and Allowance
Loans and Leases and Allowance for Loan and Lease Losses | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
Loans and Leases and Allowance for Loan and Lease Losses | Note 5. Loans and Leases and Allowance for Loan and Lease Losses Portfolio Segmentation: Major categories of loans and leases are summarized as follows (in thousands) June 30, 2022 December 31, 2021 PCI All Other PCI All Other Loans and Leases 1 Loans and Leases Total Loans and Leases 1 Loans and Leases Total Commercial real estate $ 18,689 $ 1,515,899 $ 1,534,588 $ 20,875 $ 1,363,281 $ 1,384,156 Consumer real estate 9,396 524,186 533,582 11,833 465,439 477,272 Construction and land development 2,440 361,928 364,368 2,882 275,504 278,386 Commercial and industrial 2,518 481,070 483,588 2,516 485,508 488,024 Leases 1,975 61,289 63,264 3,170 50,538 53,708 Consumer and other 14 14,670 14,684 71 11,780 11,851 Total loans and leases 35,032 2,959,042 2,994,074 41,347 2,652,050 2,693,397 Less: Allowance for loan and lease losses (178) (21,760) (21,938) (179) (19,173) (19,352) Loans and leases, net $ 34,854 $ 2,937,282 $ 2,972,136 $ 41,168 $ 2,632,877 $ 2,674,045 1 For purposes of the disclosures required pursuant to ASC 310, the loan and lease portfolio was disaggregated into segments. A portfolio segment is defined as the level at which an entity develops and documents a systematic method for determining its allowance for loan and lease losses. There are six loan and lease portfolio segments that include commercial real estate, consumer real estate, construction and land development, commercial and industrial, leases, and consumer and other. The following describe risk characteristics relevant to each of the portfolio segments: Commercial Real Estate: Consumer Real Estate: Construction and Land Development: Commercial and Industrial: Leases: Consumer and Other: Credit Risk Management: The Company employs a credit risk management process with defined policies, accountability and routine reporting to manage credit risk in the loan and lease portfolio segments. Credit risk management is guided by credit policies that provide for a consistent and prudent approach to underwriting and approvals of credits. Within the Credit Policy, procedures exist that elevate the approval requirements as credits become larger and more complex. All loans and leases are individually underwritten, risk-rated, approved, and monitored. Responsibility and accountability for adherence to underwriting policies and accurate risk ratings lies in each portfolio segment. For the consumer real estate and consumer and other portfolio segments, the risk management process focuses on managing customers who become delinquent in their payments. For the other portfolio segments, the risk management process focuses on underwriting new business and, on an ongoing basis, monitoring the credit of the portfolios, including a third party review of the largest credits on an annual basis or more frequently, as needed. To ensure problem credits are identified on a timely basis, several specific portfolio reviews occur periodically to assess the larger adversely rated credits for proper risk rating and accrual status. Credit quality and trends in the loan and lease portfolio segments are measured and monitored regularly. Detailed reports, by product, collateral, accrual status, etc., are reviewed by Director, Management and Loan Committees. The allowance for loan and lease losses is a valuation reserve established through provisions for loan and lease losses charged against income. The allowance for loan and lease losses, which is evaluated quarterly, is maintained at a level that management deems sufficient to absorb probable losses inherent in the loan and lease portfolio. Loans and leases deemed to be uncollectible are charged against the allowance for loan and lease losses, while recoveries of previously charged-off amounts are credited to the allowance for loan and lease losses. The allowance for loan and lease losses is comprised of specific valuation allowances for loans and leases evaluated individually for impairment and general allocations for pools of homogeneous loans and leases with similar risk characteristics and trends. The allowance for loan and lease losses related to specific loans and leases is based on management’s estimate of potential losses on impaired loans and leases as determined by (1) the present value of expected future cash flows; (2) the fair value of collateral if the loan or lease is determined to be collateral dependent or (3) the loans’ or leases’ observable market price. The Company’s homogeneous loan and lease pools include commercial real estate loans, consumer real estate loans, construction and land development loans, commercial and industrial loans, leases and consumer and other loans. The general allocations to these loan and lease pools are based on the historical loss rates for specific loan and lease types and the internal risk grade, if applicable, adjusted for both internal and external qualitative risk factors. The qualitative factors considered by management include, among other factors, (1) changes in local and national economic conditions; (2) changes in asset quality; (3) changes in loan and lease portfolio volume; (4) the composition and concentrations of credit; (5) the impact of competition on loan and lease structuring and pricing; (6) the impact of the regulatory environment and changes in laws; (7) effectiveness of the Company’s loan and lease policies, procedures and internal controls; The total allowance established for each homogeneous loan and lease pool represents the product of the historical loss ratio adjusted for qualitative factors and the total dollar amount of the loans and leases in the pool. The determination of the adequacy of the allowance for loan and lease losses is based on estimates that are particularly susceptible to significant changes in the economic environment and market conditions. In connection with the determination of the estimated losses on loans and leases, management obtains independent appraisals for significant collateral. The Company’s loans and leases are generally secured by specific items of collateral including real property, consumer assets, and business assets. Although the Company has a diversified loan and lease portfolio, a substantial portion of its debtors’ ability to honor their contracts is dependent on local economic conditions. While management uses available information to recognize losses on loans and leases, further reductions in the carrying amounts of loans and leases may be necessary based on changes in local economic conditions. In addition, regulatory agencies, as an integral part of their examination process, periodically review the estimated losses on loans and leases. Such agencies may require the Company to recognize additional losses based on their judgments about information available to them at the time of their examination. Because of these factors, it is reasonably possible that the estimated losses on loans and leases may change materially in the near term. The composition of loans and leases by loan classification for performing, impaired and PCI loan and leases status is summarized in the tables below (in thousands) Construction Commercial Commercial Consumer and Land and Consumer Real Estate Real Estate Development Industrial Leases and Other Total June 30, 2022: Performing loans and leases $ 1,515,596 $ 522,338 $ 361,070 $ 481,070 $ 61,289 $ 14,670 $ 2,956,033 Impaired loans and leases 303 1,848 858 — — — 3,009 1,515,899 524,186 361,928 481,070 61,289 14,670 2,959,042 PCI loans and leases 18,689 9,396 2,440 2,518 1,975 14 35,032 Total loans and leases $ 1,534,588 $ 533,582 $ 364,368 $ 483,588 $ 63,264 $ 14,684 $ 2,994,074 December 31, 2021: Performing loans and leases $ 1,362,423 $ 463,374 $ 275,504 $ 485,411 $ 50,538 $ 11,780 $ 2,649,030 Impaired loans and leases 858 2,065 — 97 — — 3,020 1,363,281 465,439 275,504 485,508 50,538 11,780 2,652,050 PCI loans and leases 20,875 11,833 2,882 2,516 3,170 71 41,347 Total loans and leases $ 1,384,156 $ 477,272 $ 278,386 $ 488,024 $ 53,708 $ 11,851 $ 2,693,397 The following tables show the allowance for loan and lease losses allocation by loan and lease classification for impaired, PCI, and performing (in thousands) Construction Commercial Consumer Commercial Consumer and Land and and Real Estate Real Estate Development Industrial Leases Other Total June 30, 2022: Performing loans and leases $ 10,565 $ 3,693 $ 2,509 $ 3,659 $ 807 $ 132 $ 21,365 Impaired loans and leases — — 395 — — — 395 10,565 3,693 2,904 3,659 807 132 21,760 PCI loans and leases 35 142 — — — 1 178 Total loans and leases $ 10,600 $ 3,835 $ 2,904 $ 3,659 $ 807 $ 133 $ 21,938 December 31, 2021: Performing loans and leases $ 9,355 $ 3,237 $ 1,882 $ 3,685 $ 330 $ 123 $ 18,612 Impaired loans and leases 396 69 — 96 — — 561 9,751 3,306 1,882 3,781 330 123 19,173 PCI loans and leases 30 148 — — — 1 179 Total loans and leases $ 9,781 $ 3,454 $ 1,882 $ 3,781 $ 330 $ 124 $ 19,352 The following tables detail the changes in the allowance for loan and lease losses by loan and lease classification (in thousands) Three Months Ended June 30, 2022 Consumer Construction Commercial Commercial Real and Land and Consumer Real Estate Estate Development Industrial Leases and Other Total Beginning balance $ 10,405 $ 3,388 $ 2,120 $ 3,501 $ 548 $ 116 $ 20,078 Charged-off loans and leases — — — — (23) (120) (143) Recoveries of charge-offs 2 547 — 126 6 72 753 Provision charged to expense 193 (100) 784 32 276 65 1,250 Ending balance $ 10,600 $ 3,835 $ 2,904 $ 3,659 $ 807 $ 133 $ 21,938 Three Months Ended June 30, 2021 Consumer Construction Commercial Commercial Real and Land and Consumer Real Estate Estate Development Industrial Leases and Other Total Beginning balance $ 7,636 $ 3,309 $ 1,968 $ 5,347 $ — $ 110 $ 18,370 Charged-off loans and leases — (60) — (4) — (89) (153) Recoveries of charge-offs 3 5 — 7 — 83 98 Provision charged to expense 743 69 93 (908) — (2) (5) Ending balance $ 8,382 $ 3,323 $ 2,061 $ 4,442 $ — $ 102 $ 18,310 Six Months Ended June 30, 2022 Consumer Construction Commercial Commercial Real and Land and Consumer Real Estate Estate Development Industrial Leases and Other Total Beginning balance $ 9,781 $ 3,454 $ 1,882 $ 3,781 $ 330 $ 124 $ 19,352 Charged-off loans and leases — (33) — (188) (108) (302) (631) Recoveries of charge-offs 3 554 — 143 163 98 961 Provision charged to expense 816 (140) 1,022 (77) 422 213 2,256 Ending balance $ 10,600 $ 3,835 $ 2,904 $ 3,659 $ 807 $ 133 $ 21,938 Six Months Ended June 30, 2021 Consumer Construction Commercial Commercial Real and Land and Consumer Real Estate Estate Development Industrial Leases and Other Total Beginning balance $ 7,579 $ 3,471 $ 2,076 $ 5,107 $ — $ 113 $ 18,346 Charged-off loans and leases — (60) — (4) — (209) (273) Recoveries of charge-offs 6 21 — 10 — 138 175 Provision charged to expense 797 (109) (15) (671) — 60 62 Ending balance $ 8,382 $ 3,323 $ 2,061 $ 4,442 $ — $ 102 $ 18,310 We maintain the allowance at a level that we deem appropriate to adequately cover the probable losses inherent in the loan and lease portfolio. Our provision for loan and lease losses for the three and six months ended June 30, 2022, is $1.3 million and $2.3 million, respectively and ($5) thousand and $62 thousand, during the three and six months ended June 30, 2021, respectively. As of June 30, 2022, and December 31, 2021, our allowance for loan and lease losses was $21.9 million and $19.4 million, respectively, which we deemed to be adequate at each of the respective dates. Our allowance for loan and lease losses as a percentage of total loans and leases was 0.73% at June 30, 2022 and 0.72% at December 31, 2021. A description of the general characteristics of the risk grades used by the Company is as follows: Pass: Watch: Special Mention: Substandard: Doubtful: Uncollectible: The Company evaluates the loan risk grading system definitions and allowance for loan loss methodology on an ongoing basis. No significant changes have been made. The following tables outline the amount of each loan and lease classification and the amount categorized into each risk rating (in thousands) June 30, 2022 Construction Commercial Commercial Consumer and Land and Consumer Non PCI Loans and Leases: Real Estate Real Estate Development Industrial Leases and Other Total Pass $ 1,481,916 $ 518,828 $ 360,763 $ 476,149 $ 61,289 $ 14,638 $ 2,913,583 Watch 24,997 1,669 231 4,758 — 22 31,677 Special mention 8,603 1,492 68 87 — — 10,250 Substandard 383 2,197 866 76 — 10 3,532 Doubtful — — — — — — — Total 1,515,899 524,186 361,928 481,070 61,289 14,670 2,959,042 PCI Loans and Leases: Pass 13,769 8,105 1,954 2,518 1,975 14 28,335 Watch 1,230 126 44 — — — 1,400 Special mention 12 56 — — — — 68 Substandard 3,678 1,109 442 — — — 5,229 Doubtful — — — — — — — Total 18,689 9,396 2,440 2,518 1,975 14 35,032 Total loans and leases $ 1,534,588 $ 533,582 $ 364,368 $ 483,588 $ 63,264 $ 14,684 $ 2,994,074 December 31, 2021 Construction Commercial Commercial Consumer and Land and Consumer Non PCI Loans and Leases: Real Estate Real Estate Development Industrial Leases and Other Total Pass $ 1,330,888 $ 460,190 $ 275,124 $ 480,677 $ 50,538 $ 11,724 $ 2,609,141 Watch 27,246 1,334 237 4,345 — 42 33,204 Special mention 4,120 1,525 70 228 — — 5,943 Substandard 1,027 2,390 73 213 — 14 3,717 Doubtful — — — 45 — — 45 Total 1,363,281 465,439 275,504 485,508 50,538 11,780 2,652,050 PCI Loans and Leases: Pass 16,019 9,714 2,335 2,516 3,170 71 33,825 Watch 1,271 539 91 — — — 1,901 Special mention 15 68 — — — — 83 Substandard 3,570 1,512 456 — — — 5,538 Doubtful — — — — — — — Total 20,875 11,833 2,882 2,516 3,170 71 41,347 Total loans and leases $ 1,384,156 $ 477,272 $ 278,386 $ 488,024 $ 53,708 $ 11,851 $ 2,693,397 Past Due Loans and Leases: A loan or lease is considered past due if any required principal and interest payments have not been received as of the date such payments were required to be made under the terms of the loan or lease agreement. Generally, management places a loan or lease on nonaccrual when there is a clear indicator that the borrower’s cash flow may not be sufficient to meet payments as they become due, which is generally when a loan or lease is 90 days past due. The following tables present an aging analysis of our loan and lease portfolio (in thousands) June 30, 2022 30-60 Days 61-89 Days Past Due 90 Total Past Due and Past Due and Days or More Past Due and Accruing Accruing and Accruing Nonaccrual Nonaccrual PCI Current Total Commercial real estate $ 41 $ — $ — $ 303 $ 344 $ 18,689 $ 1,515,555 $ 1,534,588 Consumer real estate 858 — — 2,171 3,029 9,396 521,157 533,582 Construction and land development 43 — — 858 901 2,440 361,027 364,368 Commercial and industrial 327 20 — 43 390 2,518 480,680 483,588 Leases 154 — — 29 183 1,975 61,106 63,264 Consumer and other 155 2 — 9 166 14 14,504 14,684 Total $ 1,578 $ 22 $ — $ 3,413 $ 5,013 $ 35,032 $ 2,954,029 $ 2,994,074 December 31, 2021 30-60 Days 61-89 Days Past Due 90 Total Past Due and Past Due and Days or More Past Due and Accruing Accruing and Accruing Nonaccrual Nonaccrual PCI Current Total Commercial real estate $ 172 $ — $ — $ 858 $ 1,030 $ 20,875 $ 1,362,251 $ 1,384,156 Consumer real estate 884 10 — 2,139 3,033 11,833 462,406 477,272 Construction and land development 91 — — — 91 2,882 275,413 278,386 Commercial and industrial 1,191 119 45 116 1,471 2,516 484,037 488,024 Leases 361 — — — 361 3,170 50,177 53,708 Consumer and other 99 4 19 11 133 71 11,647 11,851 Total $ 2,798 $ 133 $ 64 $ 3,124 $ 6,119 $ 41,347 $ 2,645,931 $ 2,693,397 Impaired Loans and Leases: A loan or lease held for investment is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due (both principal and interest) according to the terms of the loan or lease agreement. The following is an analysis of the impaired loan and lease portfolio, including PCI loans and leases, detailing the related allowance recorded (in thousands) June 30, 2022 December 31, 2021 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance Impaired loans and leases without a valuation allowance: Commercial real estate $ 303 $ 303 $ — $ — $ — $ — Consumer real estate 1,848 1,848 — 1,805 1,806 — Construction and land development — — — — — — Commercial and industrial — — — — — — Leases — — — — — — Consumer and other — — — — — — 2,151 2,151 — 1,805 1,806 — Impaired loans and leases with a valuation allowance: Commercial real estate — — — 858 859 396 Consumer real estate — — — 260 262 69 Construction and land development 858 858 395 — — — Commercial and industrial — — — 97 96 96 Leases — — — — — — Consumer and other — — — — — — 858 858 395 1,215 1,217 561 PCI loans and leases: Commercial real estate 528 603 35 707 926 30 Consumer real estate 887 850 142 1,129 1,251 148 Construction and land development — — — — — — Commercial and industrial — — — — — — Leases — — — — — — Consumer and other 2 1 1 5 3 1 1,417 1,454 178 1,841 2,180 179 Total impaired loans and leases $ 4,426 $ 4,463 $ 573 $ 4,861 $ 5,203 $ 740 Three Months Ended June 30, 2022 2021 Average Interest Average Interest Recorded Income Recorded Income Investment Recognized Investment Recognized Impaired loans and leases without a valuation allowance: Commercial real estate $ 152 $ — $ 65 $ — Consumer real estate 1,957 3 2,033 8 Construction and land development — — — — Commercial and industrial — — — — Leases — — — — Consumer and other — — — — 2,109 3 2,098 8 Impaired loans and leases with a valuation allowance: Commercial real estate 429 — 2,007 2 Consumer real estate — — 360 3 Construction and land development 429 — — — Commercial and industrial — — 159 3 Leases — — — — Consumer and other — — — — 858 — 2,526 8 PCI loans and leases: Commercial real estate 538 11 — — Consumer real estate 855 12 1,115 21 Construction and land development — — — — Commercial and industrial — — 263 1 Leases — — — — Consumer and other 3 — 16 — 1,396 23 1,394 22 Total impaired loans and leases $ 4,363 $ 26 $ 6,018 $ 38 Six Months Ended June 30, 2022 2021 Average Interest Average Interest Recorded Income Recorded Income Investment Recognized Investment Recognized Impaired loans and leases without a valuation allowance: Commercial real estate $ 101 $ — $ 1,334 $ 1 Consumer real estate 1,907 20 1,651 20 Construction and land development — — — — Commercial and industrial — — — — Leases — — — — Consumer and other — — — — 2,008 20 2,985 21 Impaired loans and leases with a valuation allowance: Commercial real estate 572 — 1,338 104 Consumer real estate 87 — 383 8 Construction and land development 286 — — — Commercial and industrial 32 — 154 5 Leases — — — — Consumer and other — — — — 977 — 1,875 117 PCI loans and leases: Commercial real estate 885 35 — — Consumer real estate 878 28 1,165 43 Construction and land development — — — — Commercial and industrial — — 266 2 Leases — — — — Consumer and other 3 — 18 — 1,766 63 1,449 45 Total impaired loans and leases $ 4,751 $ 83 $ 6,309 $ 183 Troubled Debt Restructurings: For the periods presented, impaired loans included loans that were classified as troubled debt restructurings (“TDRs”). The restructuring of a loan is considered a TDR if both (i) the borrower is experiencing financial difficulties and (ii) the creditor has granted a concession. In assessing whether or not a borrower is experiencing financial difficulties, the Company considers information currently available regarding the financial condition of the borrower. This information includes, but is not limited to, whether (i) the debtor is currently in payment default on any of its debt; (ii) a payment default is probable in the foreseeable future without the modification; (iii) the debtor has declared or is in the process of declaring bankruptcy; and (iv) the debtor’s projected cash flow is sufficient to satisfy contractual payments due under the original terms of the loan without a modification. The Company considers all aspects of the modification to loan terms to determine whether or not a concession has been granted to the borrower. Key factors considered by the Company include the debtor’s ability to access funds at a market rate for debt with similar risk characteristics, the significance of the modification relative to unpaid principal balance or collateral value of the debt, and the significance of a delay in the timing of payments relative to the original contractual terms of the loan. The most common concessions granted by the Company generally include one or more modifications to the terms of the debt, such as (i) a reduction in the interest rate for the remaining life of the debt; (ii) an extension of the maturity date at an interest rate lower than the current market rate for new debt with similar risk; (iii) a temporary period of interest-only payments; and (iv) a reduction in the contractual payment amount for either a short period or remaining term of the loan. As of June 30, 2022, and December 31, 2021, management had approximately $678 thousand and $206 thousand, respectively, in loans that met the criteria for TDR, none of which were on nonaccrual. A loan is placed back on accrual status when both principal and interest are current, and it is probable that the Company will be able to collect all amounts due (both principal and interest) according to the terms of the loan agreement. There were three loans for $568 thousand that was modified as a TDR during the six months ended June 30, 2022, and no loans were modified during the six months ended June 30, 2021. There were no loans that were modified as TDRs during the past six months and for which there was a subsequent payment default. Foreclosure Proceedings and Balances : As of June 30, 2022, there were no residential properties secured by real estate included in other real estate owned and there was one residential real estate loan in the process of foreclosure. Purchased Credit Impaired Loans and Leases: The Company has acquired loans and leases where there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The carrying amount of those loans and leases are as follows (in thousands) June 30, December 31, 2022 2021 Commercial real estate $ 29,312 $ 31,600 Consumer real estate 11,438 14,215 Construction and land development 3,357 3,699 Commercial and industrial 3,072 3,424 Leases 2,272 3,557 Consumer and other 52 125 Total loans and leases 49,503 56,620 Less: Remaining purchase discount (14,471) (15,273) Total loans and leases, net of purchase discount 35,032 41,347 Less: Allowance for loan and leases losses (178) (179) Carrying amount, net of allowance $ 34,854 $ 41,168 Activity related to the accretable yield on loans and leases acquired with deteriorated credit quality is as follows (in thousands) Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Accretable yield, beginning of period $ 21,281 $ 14,705 $ 14,618 $ 16,889 Additions — 649 — 649 Accretion income (845) (1,098) (1,941) (3,029) Reclassification 129 1,340 398 1,677 Other changes, net (4,829) (1,074) 2,661 (1,664) Accretable yield, end of period $ 15,736 $ 14,522 $ 15,736 $ 14,522 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Note 6. Goodwill and Intangible Assets In accordance with FASB ASC 350, Goodwill and Other The Company’s other intangible assets consist of core deposit, customer relationships and tradename. They are initially recognized based on a valuation performed as of the consummation date. The core deposit intangible is amortized over the average remaining life of the acquired customer deposits, the customer relationships are amortized over a weighted average of 8.6 years The carrying amount of goodwill and other intangible assets as of the dates indicated is summarized below (in thousands) June 30, December 31, 2022 2021 Goodwill: Balance, beginning of period $ 91,565 $ 74,135 Acquisition of PFG — 323 Acquisition of Fountain — 2,400 Acquisition of SCB — 17,171 Adjustment, due to Sale — (2,464) Balance, end of the period $ 91,565 $ 91,565 Core Deposit Customer Relationships Tradename Amortized other intangible assets: Intangibles Intangibles Intangibles Total June 30, 2022: Beginning balance January 1, 2022, gross $ 17,470 $ 3,722 $ 63 $ 21,255 Less: accumulated amortization (7,125) (1,084) (29) (8,238) Balance, June 30, 2022, other intangible assets, net $ 10,345 $ 2,638 $ 34 $ 13,017 December 31, 2021: Beginning balance January 1, 2021, gross $ 15,920 $ 1,064 $ 63 $ 17,047 Acquisition of Fountain - 2,658 - 2,658 Acquisition of SCB 1,550 - - 1,550 Balance, December 31, 2021, other intangible assets, gross 17,470 3,722 63 21,255 Less: accumulated amortization (6,212) (733) (23) (6,968) Balance, December 31, 2021, other intangible assets, net $ 11,258 $ 2,989 $ 40 $ 14,287 The aggregate amortization expense for other intangible assets for the three and six months ended June 30, 2022, was $633 thousand and $1.3 million, respectively, and for the three and six months ended June 30, 2021, was $441 thousand and $886 thousand, respectively, The estimated aggregate amortization expense for future periods for intangibles is as follows (in thousands) Remainder of 2022 $ 1,251 2023 2,356 2024 2,203 2025 2,041 2026 1,888 Thereafter 3,278 Total $ 13,017 |
Borrowings, Line of Credit and
Borrowings, Line of Credit and Subordinated Debt | 6 Months Ended |
Jun. 30, 2022 | |
Borrowings, Line of Credit and Subordinated Debt [Abstract] | |
Borrowings, Line of Credit and Subordinated Debt | Note 7. Borrowings, Line of Credit and Subordinated Debt Borrowings: At June 30, 2022, total borrowings were $12.5 million compared to $87.6 million at December 31, 2021. During the six month period ending June 30, 2022, the FHLB called two advances totaling $75 million. Borrowings consist of the following (dollars in thousands) June 30, December 31, 2022 2021 Securities sold under customer repurchase agreements $ 5,049 $ 5,085 FHLB borrowings — 75,000 Other borrowings 7,500 7,500 Total $ 12,549 $ 87,585 Securities Sold Under Agreements to Repurchase: Securities sold under repurchase agreements, which are secured borrowings, generally mature within one to four days from the transaction date. Securities sold under repurchase agreements are reflected at the amount of cash received in connection with the transaction. The Company may be required to provide additional collateral based on the fair value of the underlying securities. The Company monitors the fair value of the underlying securities on a daily basis. The Company had securities sold under agreements to repurchase with commercial checking customers which were secured by government agency securities. The carrying value of investment securities pledged as collateral under repurchase agreements was $9.5 million and $10.1 million at June 30, 2022 and December 31, 2021, respectively. The average balance during the six month period June 30, 2022, and 2021 was $5.1 million and $5.8 million, respectively. The maximum month-end outstanding balance for the six month period ended June 30, 2022, and 2021 was $5.5 million and $7.2 million, respectively. Line of Credit: The Company has a Loan and Security Agreement and revolving note with ServisFirst Bank, pursuant to which ServisFirst Bank has made a $25.0 million revolving line of credit available to the Company. The maturity of the line of credit is March 24, 2023. At June 30, 2022, $7.5 million was outstanding under the line of credit, and $17.5 million of the line of credit remained available to the Company. Subordinated Debt: On September 28, 2018, the Company issued $40 million of 5.625% fixed-to-floating rate subordinated notes (the "Notes"), which was outstanding as of June 30, 2022 and December 31, 2021. Unamortized debt issuance cost was $527 thousand and $570 thousand at June 30, 2022 and December 31, 2021, respectively. The Notes initially bears interest at a rate of 5.625% per annum from and including September 28, 2018, to but excluding October 2, 2023, with interest during this period payable semi-annually in arrears. From and including October 2, 2023, to but excluding the maturity date or early redemption date, the interest rate will reset quarterly to an annual floating rate equal to three-month LIBOR, or an alternative rate determined in accordance with the terms of the Notes if three-month LIBOR cannot be determined, plus 255 basis points, with interest during this period payable quarterly in arrears. The Notes are redeemable by the Company, in whole or in part, on or after October 2, 2023, and at any time, in whole but not in part, upon the occurrence of certain events. The Notes have been structured to qualify initially as Tier 2 capital for the Company for regulatory capital purposes. The Notes unamortized debt issuance costs totaled $527 thousand at June 30, 2022, and will be amortized through the Notes’ maturity date. Amortization expense totaled $21 thousand and $42 thousand for the three and six months ended June 30, 2022, and 2021, respectively. On September 1, 2021, the Company acquired $2.5 million of subordinated notes (“sub-debt”) from the acquisition of SCB. The sub-debt bears interest at a rate of 6.75% per annum until August 14, 2024, with the interest during this period payable semi-annually in arrears. From and including August 14, 2024, to but excluding the maturity date or early redemption date, the interest rate will reset quarterly to an annual floating rate equal to three-month LIBOR, or an alternative rate determined in accordance with the terms of the sub-debt if three-month LIBOR cannot be determined, plus 530.25 basis points, with interest during this period payable quarterly in arrears. The sub-debt is redeemable by the Company, in whole or in part, on or after August 14, 2024, and at any time, in whole but not in part, upon the occurrence of certain events. The sub-debt has been structured to qualify initially as Tier 2 capital for the Company for regulatory capital purposes. |
Employee Benefit Plans
Employee Benefit Plans | 6 Months Ended |
Jun. 30, 2022 | |
Defined Benefit Plan [Abstract] | |
Employee Benefit Plans | Note 8. Employee Benefit Plans 401(k) Plan: The Company provides a deferred salary reduction plan (“Plan”) under Section 401(k) of the Internal Revenue Code covering substantially all employees. After 90 days of service, the Company matches 100% of employee contributions up to 3% of compensation and 50% of employee contributions on the next 2% of compensation. The Company’s contribution to the Plan for the three and six month periods ending June 30, 2022, was $453 thousand and $847 thousand, respectively. The Company’s contribution to the Plan for the three and six months ended June 30, 2021, was $350 thousand and $638 thousand, respectively. Equity Incentive Plans: The Compensation Committee of the Company’s Board of Directors may grant or award eligible participants stock options, restricted stock, restricted stock units, stock appreciation rights, and other stock-based awards or any combination of awards (collectively referred to herein as "Rights"). At June 30, 2022, the Company had one active equity incentive plan available for future grants, the 2015 Stock Incentive Plan, which has 1,766,245 Rights available for future grants or awards. In addition, the Company has 31,290 Rights issued from the Cornerstone Non-Qualified Plan Options, and 2,266 Rights issued from the Capstone Stock Option Plan. These plans do not have any Rights available for future grants or awards. Stock Options: A summary of the status of stock option plans is presented in the following table: Weighted Average Exercisable Number Price Outstanding at December 31, 2021 79,667 $ 10.17 Granted — — Exercised (31,400) 8.39 Forfeited — — Outstanding at June 30, 2022 48,267 $ 11.33 Information pertaining to stock options outstanding at June 30, 2022, is as follows: Options Outstanding Options Exercisable Weighted- Average Weighted- Weighted- Remaining Average Average Exercise Number Contractual Exercise Number Exercise Prices Outstanding Life Price Exercisable Price $ 9.48 14,540 0.70 years $ 9.48 14,540 $ 9.48 9.60 16,750 1.44 years 9.60 16,750 9.60 11.76 2,266 0.00 years 11.76 2,266 11.76 15.05 14,711 2.93 years 15.05 14,711 15.05 Outstanding, end of period 48,267 1.60 years $ 11.33 48,267 $ 11.33 The Company did not recognize any stock option-based compensation expense during the three and six months ended June 30, 2022 and 2021, respectively, as all stock options issued are fully vested, and no future compensation cost will be recognized related to nonvested stock-based compensation arrangements granted under the Plans. The intrinsic value of options exercised during the three and six months ended June 30, 2022, was $50 thousand and $555 thousand, and $27 thousand and $220 thousand, during the three and six months ended June 30, 2021, respectively. The aggregate intrinsic value of total options outstanding and exercisable options at June 30, 2022, was $619 thousand. Cash received from options exercised under all share-based payment arrangements for the six months ended June 30, 2022, was $263 thousand. Stock options of 3,850 and 31,400 shares were exercised during the three and six month periods ended June 30, 2022, respectively. Stock options of 3,075 and 19,040 shares were exercised during the three and six month periods ended June 30, 2021, respectively. The income tax benefit recognized for the exercise of options during the three and six months ended June 30, 2022, was a benefit of $8 thousand and $84 thousand, respectively, and for the three and six months ended June 30, 2021, was a benefit of $8 thousand and a benefit of $9 thousand, respectively. Restricted Stock Awards: A summary of the activity of the Company’s unvested restricted stock awards for the period ended June 30, 2022, is presented below: Weighted Average Grant-Date Number Fair Value Balance at December 31, 2021 144,367 $ 19.49 Granted 23,115 26.57 Vested (6,646) 22.25 Forfeited/expired — — Balance at June 30, 2022 160,836 $ 20.39 The Company measures the fair value of restricted stock awards based on the price of the Company’s common stock on the grant date, and compensation expense is recorded over the vesting period. The compensation expense for restricted stock awards during the three and six months ended June 30, 2022, was $398 thousand and $710 thousand, respectively, and was $162 thousand and $363 thousand, during the three and six months ended June 30, 2021, respectively. As of June 30, 2022, there was $1.5 million of unrecognized compensation cost related to non-vested restricted stock awards granted under the plan. The cost is expected to be recognized over a weighted average period of 1.96 years Stock Appreciation Rights ("SARs"): A summary of the status of SARs plans is presented in the following table: Weighted Average Number Exercisable Price Outstanding at December 31, 2021 55,000 $ 18.21 Granted — — Exercised (6,500) 18.12 Forfeited — — Outstanding at June 30, 2022 48,500 $ 18.22 Information pertaining to SARs outstanding at June 30, 2022, is as follows: SARs Outstanding SARs Exercisable Weighted- Average Weighted- Remaining Average Weighted- Average Exercise Number Contractual Exercise Number Exercise Prices Outstanding Life Price Exercisable Price $ 15.19 16,000 1.50 years $ 15.19 — $ — 18.12 12,500 0.50 years 18.12 12,500 18.12 20.70 20,000 2.51 years 20.70 — — Outstanding, end of period 48,500 1.66 years $ 18.22 12,500 $ 18.12 SARs compensation expense of ($17) thousand and ($43) thousand was recognized for the three and six months ended June 30, 2022, respectively, and $64 thousand and $113 thousand for the three and six months ended June 30, 2021. The credit in expense for the six month period ended June 30, 2022, was due to adjustments related to the fair value evaluation of SARs. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 9. Commitments and Contingent Liabilities The Company is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing and depository needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. Such commitments involve, to varying degrees, elements of credit risk and interest rate risk in excess of the amount recognized on the balance sheet. The majority of all commitments to extend credit are variable rate instruments while the standby letters of credit are primarily fixed rate instruments. The Company’s exposure to credit loss is represented by the contractual amount of those instruments. The Company uses the same credit policies in making commitments as it does for on-balance sheet instruments. A summary of the Company’s total contractual amount for all off-balance sheet commitments are as follows (in thousands) June 30, December 31, 2022 2021 Commitments to extend credit $ 747,309 $ 669,770 Standby letters of credit 17,474 17,868 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Since many of the commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the customer. Collateral held varies, but may include accounts receivable, inventory, property and equipment, residential real estate, and income-producing commercial properties. Standby letters of credit issued by the Company are conditional commitments to guarantee the performance of a customer to a third party. Those letters of credit are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. Collateral held varies and is required in instances which the Company deems necessary. At June 30, 2022 and December 31, 2021, the carrying amount of liabilities related to the Company’s obligation to perform under standby letters of credit was insignificant. The Company is subject in the normal course of business to various pending and threatened legal proceedings in which claims for monetary damages are asserted. Management, after consultation with legal counsel, does not anticipate that the aggregate ultimate liability arising out of litigation pending or threatened against the Company will be material to the Company’s consolidated financial position. On an on-going basis, the Company assesses any potential liabilities or contingencies in connection with such legal proceedings. For those matters where it is deemed probable that the Company will incur losses and the amount of the losses can be reasonably estimated, the Company would record an expense and corresponding liability in its consolidated financial statements. |
Fair Value Disclosures
Fair Value Disclosures | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | Note 10. Fair Value Disclosures Determination of Fair Value: The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to determine fair value disclosures. In accordance with the “Fair Value Measurements and Disclosures” ASC Topic 820, the fair value of a financial instrument is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value is best determined based upon quoted market prices. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Accordingly, the fair value estimates may not be realized in an immediate settlement of the instrument. ASC Topic 820 provides a consistent definition of fair value, which focuses on exit price in an orderly transaction between market participants at the measurement date under current market conditions. If there has been a significant decrease in the volume and level of activity for the asset or liability, a change in valuation technique or the use of multiple valuation techniques may be appropriate. In such instances, determining the price at which willing market participants would transact business at the measurement date under current market conditions depends on the facts and circumstances and requires the use of significant judgment. The fair value is a reasonable point within the range that is most representative of fair value under current market conditions. Fair Value Hierarchy: In accordance with this guidance, the Company groups its financial assets and financial liabilities generally measured at fair value in three levels, based on the markets in which the assets and liabilities are traded and the reliability of the assumptions used to determine fair value. Level 1 Level 2 - Level 3 - A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The following methodologies were used by the Company in estimating fair value disclosures for financial instruments: Securities available-for-sale Derivative financial instruments Recurring Measurements of Fair Value: The tables below present the recorded amount of assets and liabilities measured at fair value on a recurring basis (in thousands) Quoted Prices in Significant Significant Active Markets Other Other for Identical Observable Unobservable Assets Inputs Inputs Description Fair Value (Level 1) (Level 2) (Level 3) June 30, 2022: Assets: Securities available-for-sale: U.S. Treasury $ 225,021 $ — $ 225,021 $ — U.S. Government-sponsored enterprises (GSEs) 423 — 423 — Municipal securities 53,157 — 53,157 — Other debt securities 27,851 — 27,851 — Mortgage-backed securities (GSEs) 218,412 — 218,412 — Total securities available-for-sale 524,864 — 524,864 — Interest rate swaps agreements for customer loans 5,021 — 5,021 — Total assets at fair value $ 529,885 $ — $ 529,885 $ — Liabilities: Derivative financial instruments and interest rate swap agreements $ 5,077 $ — $ 5,077 $ — December 31, 2021: Assets: Securities available-for-sale: U.S. Treasury $ 137,758 $ 137,758 $ — U.S. Government-sponsored enterprises (GSEs) 21,801 — 21,801 — Municipal securities 67,820 — 67,820 — Other debt securities 27,220 — 27,220 — Mortgage-backed securities (GSEs) 227,854 — 227,854 — Total securities available-for-sale 482,453 — 482,453 — Interest rate swaps agreements for customer loans 1,326 — 1,326 — Total assets at fair value $ 483,779 $ — $ 483,779 $ — Liabilities: Derivative financial instruments and interest rate swap agreements $ 4,893 $ — $ 4,893 $ — During the six months ending June 30, 2022, there were no transfers between Level 1 and Level 2 in the fair value hierarchy. Assets Measured at Fair Value on a Nonrecurring Basis: Under certain circumstances management adjusts fair value for assets and liabilities although they are not measured at fair value on an ongoing basis. The following tables present the financial instruments carried on the consolidated balance sheets by caption and by level in the fair value hierarchy, for which a nonrecurring change in fair value has been recorded (in thousands) Quoted Prices in Significant Significant Active Markets Other Other for Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) June 30, 2022: Collateral dependent loans $ 1,702 $ — $ — $ 1,702 Other real estate owned — — — — December 31, 2021: Collateral dependent loans $ 2,280 $ — $ — $ 2,280 Other real estate owned 367 — — 367 For Level 3 assets measured at fair value on a non-recurring basis, the significant unobservable inputs used in the fair value measurements are presented below (dollars in thousands) Weighted Valuation Significant Other Average of Fair Value Technique Unobservable Input Input June 30, 2022: Collateral dependent loans $ 1,702 Appraisal Appraisal discounts 25 % Other real estate owned — Appraisal Appraisal discounts — % December 31, 2021: Collateral dependent loans $ 2,280 Appraisal Appraisal discounts 25 % Other real estate owned 367 Appraisal Appraisal discounts 13 % Collateral dependent loans: Other real estate owned: the customer’s business. Such discounts are typically significant unobservable inputs for determining fair value. In cases where the carrying amount exceeds the fair value, less estimated costs to sell, the difference is recognized in noninterest expense. Carrying value and estimated fair value: The carrying amount and estimated fair value of the Company’s financial instruments are as follows (in thousands) Fair Value Measurements Using Carrying Estimated Amount Level 1 Level 2 Level 3 Fair Value June 30, 2022: Assets: Cash and cash equivalents $ 654,945 $ 654,945 $ — $ — $ 654,945 Securities available-for-sale 524,864 — 524,864 — 524,864 Securities held-to-maturity 288,363 — 267,678 — 267,678 Other investments 16,569 N/A N/A N/A N/A Loans and leases, net and loans held for sale 2,973,843 — — 2,905,098 2,905,098 Interest rate swaps agreements for customer loans 5,021 — 5,021 — 5,021 Liabilities: Noninterest-bearing demand deposits 1,162,843 — 1,162,843 — 1,162,843 Interest-bearing demand deposits 999,893 — 999,893 — 999,893 Money market and savings deposits 1,607,714 — 1,607,714 — 1,607,714 Time deposits 511,182 — 511,091 — 511,091 Borrowings 12,549 — 12,549 — 12,549 Subordinated debt 41,973 — — 41,851 41,851 Derivative financial instruments and interest rate swap agreements 5,077 — 5,077 — 5,077 December 31, 2021: Assets: Cash and cash equivalents $ 1,045,077 $ 1,045,077 $ — $ — $ 1,045,077 Securities available-for-sale 482,453 — 482,453 — 482,453 Securities held-to-maturity 76,969 — 76,946 76,946 Other investments 16,494 N/A N/A N/A N/A Loans and leases, net and loans held for sale 2,679,148 — — 2,676,181 2,676,181 Interest rate swaps agreements for customer loans 1,326 — 1,326 — 1,326 Liabilities: Noninterest-bearing demand deposits 1,055,125 — 1,055,125 — 1,055,125 Interest-bearing demand deposits 899,158 — 899,158 — 899,158 Money market and savings deposits 1,493,007 — 1,493,007 — 1,493,007 Time deposits 574,648 — 576,598 — 576,598 Borrowings 87,585 — 88,082 — 88,082 Subordinated debt 41,930 — — 43,374 43,374 Derivative financial instruments and interest rate swap agreements 4,893 — 4,893 — 4,893 Limitations: Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. Fair value estimates are based on existing on and off-balance sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. Significant assets and liabilities that are not considered financial instruments include deferred income taxes and premises and equipment. In addition, the tax ramifications related to the realization of unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. |
Derivatives Financial Instrumen
Derivatives Financial Instruments | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives Financial Instruments | Note 11. Derivatives designated as fair value hedges: Financial derivatives are reported at fair value in other assets or other liabilities. The accounting for changes in the fair value of a derivative depends on whether it has been designated and qualifies as part of a hedging relationship. For derivative instruments that are designated and qualify as a fair value hedge, the gain or loss on the derivative net investment hedge instrument, as well as the offsetting gain or loss on the hedged asset or liability attributable to the hedged risk, are recognized in current earnings. The gain or loss on the derivative instrument is presented on the same income statement line item as the earnings effect of the hedged item. The Company utilizes interest rate swaps designated as fair value hedges to mitigate the effect of changing interest rates on the fair values of fixed rate tax-exempt callable securities available-for-sale. The hedging strategy on securities converts the fixed interest rates to LIBOR-based variable interest rates. These derivatives are designated as partial term hedges of selected cash flows covering specified periods of time prior to the call dates of the hedged securities. The Company has adopted ASU 2017-12, Derivatives and Hedging (Topic 815) - Targeted Improvements to Accounting for Hedging Activities, A summary of the Company’s fair value hedge relationships for the periods presented are as follows (dollars in thousands) Weighted Average Balance Remaining Weighted Sheet Maturity Average Receive Notional Estimated Liability derivatives Location (In Years) Pay Rate Rate Amount Fair Value June 30, 2022: Interest rate swap agreements - securities Other liabilities 5.70 3.09 % 3 month LIBOR $ 36,000 $ (56) December 31, 2021: Interest rate swap agreements - securities Other liabilities 6.20 3.09 % 3 month LIBOR $ 36,000 $ (3,567) The effects of the Company’s fair value hedge relationships reported in interest income on tax-exempt available-for-sale securities on the consolidated income statement were as follows (in thousands) Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Interest income on tax-exempt securities $ 387 $ 562 $ 780 $ 1,126 Effects of fair value hedge relationships (190) (258) (444) (563) Reported interest income on tax-exempt securities $ 197 $ 304 $ 336 $ 563 Three Months Ended Six Months Ended June 30, June 30, Gain (loss) on fair value hedging relationship 2022 2021 2022 2021 Interest rate swap agreements - securities: Hedged items $ 1,662 $ (459) $ 3,511 $ 1,706 Derivative designated as hedging instruments $ (1,662) $ 459 $ (3,511) $ (1,706) Carry amount of hedged assets - securities available-for-sale $ 37,977 $ 43,580 $ 37,977 $ 43,580 Non-hedged derivatives: During the second quarter of 2021, the Company initiated a loan hedging program to certain loan customers. Through this program, the Company originates a variable rate loan with the customer. The Company and the customer will then enter into a fixed interest rate swap. Lastly, an identical offsetting swap is entered into by the Company with a dealer bank. These “back-to-back” swap arrangements are intended to offset each other and allow the Company to book a variable rate loan, while providing the customer with a contract for fixed interest payments. In these arrangements, the Company’s net cash flow is equal to the interest income received from the variable rate loan originated with the customer. These customer swaps are not designated as hedging At June 30, 2022 and December 31, 2021, interest rate swaps related to the Company’s loan hedging program that were outstanding are presented in the following table (in thousands) June 30, 2022 December 31, 2021 Notional Estimated Notional Estimated Amount Fair Value Amount Fair Value Interest rate swap agreements: Assets $ 146,639 $ 5,021 $ 48,125 $ 1,326 Liabilities 146,639 (5,021) 48,125 (1,326) The Company establishes limits and monitors exposures for customer swap positions. Any fees received to enter the swap agreements at inception are recognized in earnings when received and is included in noninterest income. Such fees were as follows (in thousands) : Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Interest rate swap agreements $ 876 $ 10 $ 1,396 $ 10 |
Leases
Leases | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Leases | Note 12. Leases A lease is defined as a contract, or part of a contract, that conveys the right to control the use of identified property, plant or equipment for a period of time in exchange for consideration. The Company follows the guidance of ASU No. 2016-02 and all subsequent ASUs that modified this topic (collectively referred to as "Topic 842"). Substantially all of the leases in which the Company is the lessee are comprised of real estate for branches and office space with terms extending through 2034. All of our leases are classified as operating leases. Operating lease agreements are required to be recognized on the consolidated balance sheet as a right-of-use (“ROU”) asset and a corresponding lease liability. The following table represents the consolidated balance sheet classification of the Company’s ROU assets and lease liabilities. The Company elected not to include short-term leases (i.e., leases with initial terms of twelve months or less), or equipment leases (deemed immaterial) on the consolidated balance sheet (in thousands) June 30, December 31, Classification 2022 2021 Assets: Operating lease right-of-use assets Other assets $ 9,145 $ 9,812 Liabilities: Operating lease liabilities Other liabilities $ 9,252 $ 9,881 The calculated amount of the ROU assets and lease liabilities in the table above are impacted by the length of the lease term and the discount rate used to present value the minimum lease payments. The Company’s lease agreements often include one or more options to renew at the Company’s discretion. If, at lease inception, the Company considers the exercising of a renewal option to be reasonably certain, the Company will include the extended term in the calculation of the ROU asset and lease liability. Regarding the discount rate, Topic 842 requires the use of the rate implicit in the lease whenever this rate is readily determinable. As this rate is rarely determinable, the Company utilizes its incremental borrowing rate at lease inception, on a collateralized basis, over a similar term. As of June 30, 2022, the weighted average remaining lease term was 9.66 years and the weighted average discount rate was 2.12%. The following table represents lease costs and other lease information. As the Company elected, for all classes of underlying assets, not to separate lease and non-lease components and instead to account for them as a single lease component, the variable lease cost primarily represents variable payments such as common area maintenance (in thousands) Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Lease costs: Operating lease costs $ 403 $ 254 $ 817 $ 494 Variable lease costs 25 24 50 48 Total $ 428 $ 278 $ 867 $ 542 Other information: Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 382 $ 250 $ 778 $ 483 Future minimum payments for operating leases with initial or remaining terms of one year or more as of June 30, 2022, were as follows (in thousands) Amounts June 30, 2023 $ 759 June 30, 2024 1,290 June 30, 2025 1,079 June 30, 2026 1,047 June 30, 2027 946 Thereafter 5,250 Total future minimum lease payments 10,371 Amounts representing interest (1,119) Present value of net future minimum lease payments $ 9,252 |
Regulatory Matters
Regulatory Matters | 6 Months Ended |
Jun. 30, 2022 | |
Banking and Thrift [Abstract] | |
Regulatory Matters | Note 13. Regulatory Matters Regulatory Capital Requirements: The final rules implementing the Basel Committee on Banking Supervision's capital guidelines for U.S. banks (Basel III rules) became effective January 1, 2015. In order to avoid restrictions on capital distributions and discretionary bonus payments to executives, under the new rules a covered banking organization is also required to maintain a “capital conservation buffer” in addition to its minimum risk-based capital requirements. This buffer is required to consist solely of common equity Tier 1, and the buffer applies to all three risk-based measurements (CET1, Tier 1 capital and total capital). As of January 1, 2019, an additional amount of Tier 1 common equity equal to 2.5% of risk-weighted assets is required for compliance with the capital conservation buffer. The ratios for the Company and the Bank are currently sufficient to satisfy the fully phased-in conservation buffer. At June 30, 2022, the Company and the Bank exceeded the minimum regulatory requirements and exceeded the threshold for the "well capitalized" regulatory classification. Regulatory Restrictions on Dividends: Pursuant to Tennessee banking law, the Bank may not, without the prior consent of the Commissioner of the Tennessee Department of Financial Institutions (the “TDFI”), pay any dividends to the Company in a calendar year in excess of the total of the Bank’s retained net income for that year plus the retained net income for the preceding two years. Because this test involves a measure of net income, any charge on the Bank’s income statement, such as an impairment of goodwill, could impair the Bank’s ability to pay dividends to the Company. Under Tennessee corporate law, the Company is not permitted to pay dividends if, after giving effect to such payment, it would not be able to pay its debts as they become due in the usual course of business, or its total assets would be less than the sum of its total liabilities plus any amounts needed to satisfy any preferential rights if it were dissolving. In addition, in deciding whether to declare a dividend of any particular size, the Company’s board of directors must consider its and the Bank’s current and prospective capital, liquidity, and other needs. In addition to state law limitations on the Company’s ability to pay dividends, the Federal Reserve imposes limitations on the Company’s ability to pay dividends. Federal Reserve regulations limit dividends, stock repurchases and discretionary bonuses to executive officers if the Company’s regulatory capital is below the level of regulatory minimums plus the applicable capital conservation buffer. During the three and six months ended June 30, 2022, the Bank did not pay a dividend to the Company and since the first quarter of 2022, the Company has paid a quarterly common stock dividend of $0.07 per share. The amount and timing of all future dividend payments by the Company, if any, is subject to discretion of the Company’s board of directors and will depend on the Company’s earnings, capital position, financial condition and other factors, including new regulatory capital requirements, as they become known to the Company. Regulatory Capital Levels: Actual and required capital levels at June 30, 2022, and December 31, 2021 are presented below (dollars in thousands) Minimum to be well capitalized under Minimum for prompt capital corrective action Actual adequacy purposes provisions 1 Amount Ratio Amount Ratio Amount Ratio June 30, 2022 SmartFinancial: Total Capital (to Risk Weighted Assets) $ 407,413 11.80 % $ 276,136 8.00 % N/A N/A Tier 1 Capital (to Risk Weighted Assets) 343,502 9.95 % 207,102 6.00 % N/A N/A Common Equity Tier 1 Capital (to Risk Weighted Assets) 343,502 9.95 % 155,326 4.50 % N/A N/A Tier 1 Capital (to Average Assets) 2 343,502 7.48 % 183,749 4.00 % N/A N/A SmartBank: Total Capital (to Risk Weighted Assets) $ 404,412 11.72 % $ 276,138 8.00 % $ 345,173 10.00 % Tier 1 Capital (to Risk Weighted Assets) 382,474 11.08 % 207,104 6.00 % 276,138 8.00 % Common Equity Tier 1 Capital (to Risk Weighted Assets) 382,474 11.08 % 155,328 4.50 % 224,362 6.50 % Tier 1 Capital (to Average Assets) 2 382,474 8.33 % 183,745 4.00 % 229,682 5.00 % December 31, 2021 SmartFinancial: Total Capital (to Risk Weighted Assets) $ 386,627 12.55 % $ 246,483 8.00 % N/A N/A Tier 1 Capital (to Risk Weighted Assets) 325,345 10.56 % 184,862 6.00 % N/A N/A Common Equity Tier 1 Capital (to Risk Weighted Assets) 325,345 10.56 % 138,647 4.50 % N/A N/A Tier 1 Capital (to Average Assets) 325,345 7.45 % 174,578 4.00 % N/A N/A SmartBank: Total Capital (to Risk Weighted Assets) $ 378,055 12.29 % $ 246,053 8.00 % $ 307,566 10.00 % Tier 1 Capital (to Risk Weighted Assets) 358,703 11.66 % 184,539 6.00 % 246,053 8.00 % Common Equity Tier 1 Capital (to Risk Weighted Assets) 358,703 11.66 % 138,405 4.50 % 199,918 6.50 % Tier 1 Capital (to Average Assets) 358,703 8.23 % 174,384 4.00 % 217,980 5.00 % 1 2 |
Other comprehensive income (los
Other comprehensive income (loss) | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
Other comprehensive income (loss) | Note 14. Other Comprehensive Income (Loss) The changes in each component of accumulated other comprehensive income (loss), net of tax, were as follows (in thousands) Three Months Ended June 30, 2022 Accumulated Securities Securities Fair Value Other Available-for- Transferred to Municipal Comprehensive Sale Held-to-Maturity Security Hedges Income (Loss) Beginning balance, March 31, 2022 $ (15,067) $ (833) $ 344 $ (15,556) Other comprehensive income (8,459) — (662) (9,121) Reclassification of amounts included in net income — 29 — 29 Net other comprehensive income during period (8,459) 29 (662) (9,092) Ending balance, June 30, 2022 $ (23,526) (804) $ (318) $ (24,648) Three Months Ended June 30, 2021 Accumulated Securities Securities Fair Value Other Available-for- Transferred to Municipal Comprehensive Sale Held-to-Maturity Security Hedges Income (Loss) Beginning balance, March 31, 2021 $ 898 — $ 185 $ 1,083 Other comprehensive income 1,153 — 102 1,255 Reclassification of amounts included in net income — — — — Net other comprehensive income during period 1,153 — 102 1,255 Ending balance, June 30, 2021 $ 2,051 — $ 287 $ 2,338 Six Months Ended June 30, 2022 Accumulated Securities Securities Fair Value Other Available-for- Transferred to Municipal Comprehensive Sale Held-to-Maturity Security Hedges Income (Loss) Beginning balance, December 31, 2021 $ 25 665 $ 753 $ 1,443 Other comprehensive income (loss) (23,551) (1,490) (1,071) (26,112) Reclassification of amounts included in net income — 21 — 21 Net other comprehensive income (loss) during period (23,551) (1,469) (1,071) (26,091) Ending balance, June 30, 2022 $ (23,526) (804) $ (318) $ (24,648) Six Months Ended June 30, 2021 Accumulated Securities Securities Fair Value Other Available-for- Transferred to Municipal Comprehensive Sale Held-to-Maturity Security Hedges Income (Loss) Beginning balance, December 31, 2020 $ 2,968 — $ (785) $ 2,183 Other comprehensive income (loss) (917) — 1,072 155 Reclassification of amounts included in net income — — — — Net other comprehensive income (loss) during period (917) — 1,072 155 Ending balance, June 30, 2021 $ 2,051 — $ 287 $ 2,338 |
Presentation of Financial Inf_2
Presentation of Financial Information (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Earnings Per Share | Basic earnings per common share is computed by dividing net income available to common shareholders by the weighted-average number of common shares outstanding. Diluted earnings per common share is computed by dividing net income available to common shareholders by the weighted average number of common shares outstanding and dilutive common share equivalents using the treasury stock method. Dilutive common share equivalents include common shares issuable upon exercise of outstanding stock options and restricted stock. |
Business Combinations (Tables)
Business Combinations (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Sevier County Bancshares Inc [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions | The purchased assets and assumed liabilities were recorded at their acquisition date fair values (1) and are summarized in the table below . Initial As recorded Fair value Subsequent As recorded by SCB adjustments Adjustments by the Company Assets: Cash & cash equivalents $ 84,313 $ — $ — $ 84,313 Investment securities available-for-sale 64,219 (614) — 63,605 Restricted investments 533 — — 533 Loans 304,620 (4,551) (3,049) 297,020 Allowance for loan losses (3,644) 3,644 — — Premises and equipment, net 15,579 (295) (22) 15,262 Bank owned life insurance 7,116 — — 7,116 Deferred tax asset, net 10,340 (4,007) 769 7,102 Core deposit intangible — 1,550 — 1,550 Interest Receivable 884 — — 884 Other assets 920 (272) (533) 115 Total assets acquired $ 484,880 $ (4,545) $ (2,835) $ 477,500 Liabilities: Deposits $ 435,036 $ — $ — $ 435,036 Time deposit premium — 888 — 888 Subordinated debt 2,500 — — 2,500 Payables and other liabilities 5,563 115 (1,254) 4,424 Total liabilities assumed 443,099 1,003 (1,254) 442,848 Excess of assets acquired over liabilities assumed $ 41,781 Aggregate fair value adjustments $ (5,548) $ (1,581) Total identifiable net assets 34,652 Consideration transferred: Cash 9,568 Common stock issued ( 42,255 Total fair value of consideration transferred 51,823 Goodwill $ 17,171 (1) |
Loans Acquired in Acquisition | The following table presents additional information related to the purchased credit impaired loans (ASC 310-30) of the acquired loan portfolio at the acquisition date (in thousands) September 1, 2021 Accounted for pursuant to ASC 310-30: Contractually required principal and interest $ 30,293 Non-accretable differences 7,609 Cash flows expected to be collected 22,684 Accretable yield 3,552 Fair value $ 19,132 |
Fountain [Member] | |
Business Acquisition [Line Items] | |
Schedule of Business Acquisitions | The purchased assets and assumed liabilities were recorded at their acquisition date fair values (1) and are summarized in the table below . As recorded Fair value Subsequent As recorded by Fountain adjustments Adjustments by the Company Assets: Cash & cash equivalents $ 413 $ — $ — $ 413 Leases 54,945 (720) — 54,225 Allowance for lease losses (1,796) 1,796 — — Customer list intangible — 2,658 — 2,658 Other repossessed assets 319 — — 319 Other assets 233 — — 233 Total assets acquired $ 54,114 $ 3,734 $ — $ 57,848 Liabilities: Payables and other liabilities $ 683 $ (229) $ — $ 454 Total liabilities assumed 683 (229) — 454 Excess of assets acquired over liabilities assumed $ 53,431 Aggregate fair value adjustments $ 3,963 $ — Total identifiable net assets 57,394 Consideration transferred: Cash 59,794 Total fair value of consideration transferred 59,794 Goodwill $ 2,400 (1) |
Loans Acquired in Acquisition | The following table presents additional information related to the purchased credit impaired financing leases (ASC 310-30) of the acquired lease portfolio at the acquisition date (in thousands) May 3, 2021 Accounted for pursuant to ASC 310-30: Contractually required principal and interest $ 6,018 Non-accretable differences 447 Cash flows expected to be collected 5,571 Accretable yield 649 Fair value $ 4,922 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Basic earnings per share computation: Net income available to common shareholders $ 10,215 $ 8,778 $ 18,475 $ 18,534 Average common shares outstanding – basic 16,734,930 15,003,657 16,726,696 15,007,593 Basic earnings per share $ 0.61 $ 0.59 $ 1.11 $ 1.24 Diluted earnings per share computation: Net income available to common shareholders $ 10,215 $ 8,778 $ 18,475 $ 18,534 Average common shares outstanding – basic 16,734,930 15,003,657 16,726,696 15,007,593 Incremental shares from assumed conversions: Stock options and restricted stock 132,844 122,527 136,603 111,331 Average common shares outstanding - diluted 16,867,774 15,126,184 16,863,299 15,118,924 Diluted earnings per common share $ 0.61 $ 0.58 $ 1.10 $ 1.23 |
Securities (Tables)
Securities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Securities [Abstract] | |
Schedule of Available-for-sale Securities Reconciliation | June 30, 2022 Gross Gross Amortized Unrealized Unrealized Fair Available-for-sale: Cost Gains Losses Value U.S. Treasury $ 238,546 $ — $ (13,525) $ 225,021 U.S. Government-sponsored enterprises (GSEs) 428 — (5) 423 Municipal securities 53,575 95 (513) 53,157 Other debt securities 28,974 — (1,123) 27,851 Mortgage-backed securities (GSEs) 235,060 4 (16,652) 218,412 Total $ 556,583 $ 99 $ (31,818) $ 524,864 June 30, 2022 Gross Gross Amortized Unrealized Unrealized Fair Held-to-maturity: Cost Gains Losses Value U.S. Treasury $ 150,413 $ — $ (3,694) $ 146,719 U.S. Government-sponsored enterprises (GSEs) 51,135 — (6,120) 45,015 Municipal securities 54,166 — (7,684) 46,482 Mortgage-backed securities (GSEs) 32,649 — (3,187) 29,462 Total $ 288,363 $ — $ (20,685) $ 267,678 December 31, 2021 Gross Gross Amortized Unrealized Unrealized Fair Available-for-sale: Cost Gains Losses Value U.S. Treasury $ 138,212 $ 64 $ (518) $ 137,758 U.S. Government-sponsored enterprises (GSEs) 21,898 76 (173) 21,801 Municipal securities 67,310 512 (2) 67,820 Other debt securities 26,989 313 (82) 27,220 Mortgage-backed securities (GSEs) 228,011 971 (1,128) 227,854 Total $ 482,420 $ 1,936 $ (1,903) $ 482,453 December 31, 2021 Gross Gross Amortized Unrealized Unrealized Fair Held-to-maturity: Cost Gains Losses Value U.S. Government-sponsored enterprises (GSEs) $ 31,023 $ 20 $ (87) $ 30,956 Municipal securities 45,946 63 (19) 45,990 Total $ 76,969 $ 83 $ (106) $ 76,946 |
Investments Classified by Contractual Maturity Date | The amortized cost and estimated fair value of securities at June 30, 2022 by contractual maturity for non-mortgage backed securities are shown below (in thousands) June 30, 2022 Amortized Fair Available-for-sale: Cost Value Due in one year or less $ 346 $ 345 Due from one year to five years 177,974 170,268 Due from five years to ten years 99,298 92,108 Due after ten years 43,905 43,731 321,523 306,452 Mortgage-backed securities 235,060 218,412 Total $ 556,583 $ 524,864 Held-to-maturity: Due in one year or less $ — $ — Due from one year to five years 150,413 146,719 Due from five years to ten years 30,283 27,432 Due after ten years 75,018 64,065 255,714 238,216 Mortgage-backed securities 32,649 29,462 Total $ 288,363 $ 267,678 |
Schedule of Unrealized Loss on Investments | The following tables present the gross unrealized losses and fair value, aggregated by investment category and length of time that individual securities available-for-sale and held-to-maturity have been in a continuous unrealized loss position (in thousands) June 30, 2022 Less than 12 Months 12 Months or Greater Total Gross Number Gross Number Gross Number Fair Unrealized of Fair Unrealized of Fair Unrealized of Available-for-sale: Value Losses Securities Value Losses Securities Value Losses Securities U.S. Treasury $ 225,022 $ (13,525) 19 $ — $ — — $ 225,022 $ (13,525) 19 U.S. Government-sponsored enterprises (GSEs) — — — 423 (5) 2 423 (5) 2 Municipal securities 39,081 (513) 32 — — — 39,081 (513) 32 Other debt securities 26,402 (1,073) 23 1,450 (50) 1 27,852 (1,123) 24 Mortgage-backed securities (GSEs) 210,200 (16,427) 96 7,459 (225) 6 217,659 (16,652) 102 Total $ 500,705 $ (31,538) 170 $ 9,332 $ (280) 9 $ 510,037 $ (31,818) 179 June 30, 2022 Less than 12 Months 12 Months or Greater Total Gross Number Gross Number Gross Number Fair Unrealized of Fair Unrealized of Fair Unrealized of Held-to-maturity: Value Losses Securities Value Losses Securities Value Losses Securities U.S. Treasury $ 146,919 $ (3,694) 4 $ — $ — — $ 146,919 $ (3,694) 4 U.S. Government-sponsored enterprises (GSEs) 22,393 (2,777) 6 22,622 (3,343) 7 45,015 (6,120) 13 Municipal securities 46,482 (7,684) 35 — — — 46,482 (7,684) 35 Mortgage-backed securities (GSEs) 29,462 (3,187) 5 — — — 29,462 (3,187) 5 Total $ 245,256 $ (17,342) 50 $ 22,622 $ (3,343) 7 $ 267,878 $ (20,685) 57 December 31, 2021 Less than 12 Months 12 Months or Greater Total Gross Number Gross Number Gross Number Fair Unrealized of Fair Unrealized of Fair Unrealized of Available-for-sale: Value Losses Securities Value Losses Securities Value Losses Securities U.S. Treasury $ 99,959 $ (518) 11 $ — $ — — $ 99,959 $ (518) 11 U.S. Government-sponsored enterprises (GSEs) 14,156 (168) 2 579 (5) 2 14,735 (173) 4 Municipal securities 2,519 (2) 1 — — — 2,519 (2) 1 Other debt securities 5,983 (82) 6 — — — 5,983 (82) 6 Mortgage-backed securities (GSEs) 159,725 (1,002) 31 8,233 (126) 6 167,958 (1,128) 37 Total $ 282,342 $ (1,772) 51 $ 8,812 $ (131) 8 $ 291,154 $ (1,903) 59 December 31, 2021 Less than 12 Months 12 Months or Greater Total Gross Number Gross Number Gross Number Fair Unrealized of Fair Unrealized of Fair Unrealized of Held-to-maturity: Value Losses Securities Value Losses Securities Value Losses Securities U.S. Government-sponsored enterprises (GSEs) $ 21,901 $ (87) 8 $ — $ — — $ 21,901 $ (87) 8 Municipal securities 4,173 (19) 6 — — — 4,173 (19) 6 Total $ 26,074 $ (106) 14 $ — $ — — $ 26,074 $ (106) 14 |
Schedule of Other Investments | The following is the amortized cost and carrying value of other investments (in thousands) June 30, December 31, 2022 2021 Federal Reserve Bank stock $ 9,768 $ 9,693 Federal Home Loan Bank stock 6,451 6,451 First National Bankers Bank stock 350 350 Total $ 16,569 $ 16,494 |
Loans and Leases and Allowanc_2
Loans and Leases and Allowance for Loan and Lease Losses (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
Schedule of Loans | Major categories of loans and leases are summarized as follows (in thousands) June 30, 2022 December 31, 2021 PCI All Other PCI All Other Loans and Leases 1 Loans and Leases Total Loans and Leases 1 Loans and Leases Total Commercial real estate $ 18,689 $ 1,515,899 $ 1,534,588 $ 20,875 $ 1,363,281 $ 1,384,156 Consumer real estate 9,396 524,186 533,582 11,833 465,439 477,272 Construction and land development 2,440 361,928 364,368 2,882 275,504 278,386 Commercial and industrial 2,518 481,070 483,588 2,516 485,508 488,024 Leases 1,975 61,289 63,264 3,170 50,538 53,708 Consumer and other 14 14,670 14,684 71 11,780 11,851 Total loans and leases 35,032 2,959,042 2,994,074 41,347 2,652,050 2,693,397 Less: Allowance for loan and lease losses (178) (21,760) (21,938) (179) (19,173) (19,352) Loans and leases, net $ 34,854 $ 2,937,282 $ 2,972,136 $ 41,168 $ 2,632,877 $ 2,674,045 1 |
Schedule of Impaired and Performing Loans Receivable | The composition of loans and leases by loan classification for performing, impaired and PCI loan and leases status is summarized in the tables below (in thousands) Construction Commercial Commercial Consumer and Land and Consumer Real Estate Real Estate Development Industrial Leases and Other Total June 30, 2022: Performing loans and leases $ 1,515,596 $ 522,338 $ 361,070 $ 481,070 $ 61,289 $ 14,670 $ 2,956,033 Impaired loans and leases 303 1,848 858 — — — 3,009 1,515,899 524,186 361,928 481,070 61,289 14,670 2,959,042 PCI loans and leases 18,689 9,396 2,440 2,518 1,975 14 35,032 Total loans and leases $ 1,534,588 $ 533,582 $ 364,368 $ 483,588 $ 63,264 $ 14,684 $ 2,994,074 December 31, 2021: Performing loans and leases $ 1,362,423 $ 463,374 $ 275,504 $ 485,411 $ 50,538 $ 11,780 $ 2,649,030 Impaired loans and leases 858 2,065 — 97 — — 3,020 1,363,281 465,439 275,504 485,508 50,538 11,780 2,652,050 PCI loans and leases 20,875 11,833 2,882 2,516 3,170 71 41,347 Total loans and leases $ 1,384,156 $ 477,272 $ 278,386 $ 488,024 $ 53,708 $ 11,851 $ 2,693,397 |
Schedule of Allowance for Loan Losses for Impaired and Performing Loans Receivable | The following tables show the allowance for loan and lease losses allocation by loan and lease classification for impaired, PCI, and performing (in thousands) Construction Commercial Consumer Commercial Consumer and Land and and Real Estate Real Estate Development Industrial Leases Other Total June 30, 2022: Performing loans and leases $ 10,565 $ 3,693 $ 2,509 $ 3,659 $ 807 $ 132 $ 21,365 Impaired loans and leases — — 395 — — — 395 10,565 3,693 2,904 3,659 807 132 21,760 PCI loans and leases 35 142 — — — 1 178 Total loans and leases $ 10,600 $ 3,835 $ 2,904 $ 3,659 $ 807 $ 133 $ 21,938 December 31, 2021: Performing loans and leases $ 9,355 $ 3,237 $ 1,882 $ 3,685 $ 330 $ 123 $ 18,612 Impaired loans and leases 396 69 — 96 — — 561 9,751 3,306 1,882 3,781 330 123 19,173 PCI loans and leases 30 148 — — — 1 179 Total loans and leases $ 9,781 $ 3,454 $ 1,882 $ 3,781 $ 330 $ 124 $ 19,352 |
Schedule of Allowance for Loan Losses | The following tables detail the changes in the allowance for loan and lease losses by loan and lease classification (in thousands) Three Months Ended June 30, 2022 Consumer Construction Commercial Commercial Real and Land and Consumer Real Estate Estate Development Industrial Leases and Other Total Beginning balance $ 10,405 $ 3,388 $ 2,120 $ 3,501 $ 548 $ 116 $ 20,078 Charged-off loans and leases — — — — (23) (120) (143) Recoveries of charge-offs 2 547 — 126 6 72 753 Provision charged to expense 193 (100) 784 32 276 65 1,250 Ending balance $ 10,600 $ 3,835 $ 2,904 $ 3,659 $ 807 $ 133 $ 21,938 Three Months Ended June 30, 2021 Consumer Construction Commercial Commercial Real and Land and Consumer Real Estate Estate Development Industrial Leases and Other Total Beginning balance $ 7,636 $ 3,309 $ 1,968 $ 5,347 $ — $ 110 $ 18,370 Charged-off loans and leases — (60) — (4) — (89) (153) Recoveries of charge-offs 3 5 — 7 — 83 98 Provision charged to expense 743 69 93 (908) — (2) (5) Ending balance $ 8,382 $ 3,323 $ 2,061 $ 4,442 $ — $ 102 $ 18,310 Six Months Ended June 30, 2022 Consumer Construction Commercial Commercial Real and Land and Consumer Real Estate Estate Development Industrial Leases and Other Total Beginning balance $ 9,781 $ 3,454 $ 1,882 $ 3,781 $ 330 $ 124 $ 19,352 Charged-off loans and leases — (33) — (188) (108) (302) (631) Recoveries of charge-offs 3 554 — 143 163 98 961 Provision charged to expense 816 (140) 1,022 (77) 422 213 2,256 Ending balance $ 10,600 $ 3,835 $ 2,904 $ 3,659 $ 807 $ 133 $ 21,938 Six Months Ended June 30, 2021 Consumer Construction Commercial Commercial Real and Land and Consumer Real Estate Estate Development Industrial Leases and Other Total Beginning balance $ 7,579 $ 3,471 $ 2,076 $ 5,107 $ — $ 113 $ 18,346 Charged-off loans and leases — (60) — (4) — (209) (273) Recoveries of charge-offs 6 21 — 10 — 138 175 Provision charged to expense 797 (109) (15) (671) — 60 62 Ending balance $ 8,382 $ 3,323 $ 2,061 $ 4,442 $ — $ 102 $ 18,310 |
Loan Credit Quality Indicators | The following tables outline the amount of each loan and lease classification and the amount categorized into each risk rating (in thousands) June 30, 2022 Construction Commercial Commercial Consumer and Land and Consumer Non PCI Loans and Leases: Real Estate Real Estate Development Industrial Leases and Other Total Pass $ 1,481,916 $ 518,828 $ 360,763 $ 476,149 $ 61,289 $ 14,638 $ 2,913,583 Watch 24,997 1,669 231 4,758 — 22 31,677 Special mention 8,603 1,492 68 87 — — 10,250 Substandard 383 2,197 866 76 — 10 3,532 Doubtful — — — — — — — Total 1,515,899 524,186 361,928 481,070 61,289 14,670 2,959,042 PCI Loans and Leases: Pass 13,769 8,105 1,954 2,518 1,975 14 28,335 Watch 1,230 126 44 — — — 1,400 Special mention 12 56 — — — — 68 Substandard 3,678 1,109 442 — — — 5,229 Doubtful — — — — — — — Total 18,689 9,396 2,440 2,518 1,975 14 35,032 Total loans and leases $ 1,534,588 $ 533,582 $ 364,368 $ 483,588 $ 63,264 $ 14,684 $ 2,994,074 December 31, 2021 Construction Commercial Commercial Consumer and Land and Consumer Non PCI Loans and Leases: Real Estate Real Estate Development Industrial Leases and Other Total Pass $ 1,330,888 $ 460,190 $ 275,124 $ 480,677 $ 50,538 $ 11,724 $ 2,609,141 Watch 27,246 1,334 237 4,345 — 42 33,204 Special mention 4,120 1,525 70 228 — — 5,943 Substandard 1,027 2,390 73 213 — 14 3,717 Doubtful — — — 45 — — 45 Total 1,363,281 465,439 275,504 485,508 50,538 11,780 2,652,050 PCI Loans and Leases: Pass 16,019 9,714 2,335 2,516 3,170 71 33,825 Watch 1,271 539 91 — — — 1,901 Special mention 15 68 — — — — 83 Substandard 3,570 1,512 456 — — — 5,538 Doubtful — — — — — — — Total 20,875 11,833 2,882 2,516 3,170 71 41,347 Total loans and leases $ 1,384,156 $ 477,272 $ 278,386 $ 488,024 $ 53,708 $ 11,851 $ 2,693,397 |
Past Due Loans and Leases | The following tables present an aging analysis of our loan and lease portfolio (in thousands) June 30, 2022 30-60 Days 61-89 Days Past Due 90 Total Past Due and Past Due and Days or More Past Due and Accruing Accruing and Accruing Nonaccrual Nonaccrual PCI Current Total Commercial real estate $ 41 $ — $ — $ 303 $ 344 $ 18,689 $ 1,515,555 $ 1,534,588 Consumer real estate 858 — — 2,171 3,029 9,396 521,157 533,582 Construction and land development 43 — — 858 901 2,440 361,027 364,368 Commercial and industrial 327 20 — 43 390 2,518 480,680 483,588 Leases 154 — — 29 183 1,975 61,106 63,264 Consumer and other 155 2 — 9 166 14 14,504 14,684 Total $ 1,578 $ 22 $ — $ 3,413 $ 5,013 $ 35,032 $ 2,954,029 $ 2,994,074 December 31, 2021 30-60 Days 61-89 Days Past Due 90 Total Past Due and Past Due and Days or More Past Due and Accruing Accruing and Accruing Nonaccrual Nonaccrual PCI Current Total Commercial real estate $ 172 $ — $ — $ 858 $ 1,030 $ 20,875 $ 1,362,251 $ 1,384,156 Consumer real estate 884 10 — 2,139 3,033 11,833 462,406 477,272 Construction and land development 91 — — — 91 2,882 275,413 278,386 Commercial and industrial 1,191 119 45 116 1,471 2,516 484,037 488,024 Leases 361 — — — 361 3,170 50,177 53,708 Consumer and other 99 4 19 11 133 71 11,647 11,851 Total $ 2,798 $ 133 $ 64 $ 3,124 $ 6,119 $ 41,347 $ 2,645,931 $ 2,693,397 |
Impaired Loans | The following is an analysis of the impaired loan and lease portfolio, including PCI loans and leases, detailing the related allowance recorded (in thousands) June 30, 2022 December 31, 2021 Unpaid Unpaid Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment Balance Allowance Impaired loans and leases without a valuation allowance: Commercial real estate $ 303 $ 303 $ — $ — $ — $ — Consumer real estate 1,848 1,848 — 1,805 1,806 — Construction and land development — — — — — — Commercial and industrial — — — — — — Leases — — — — — — Consumer and other — — — — — — 2,151 2,151 — 1,805 1,806 — Impaired loans and leases with a valuation allowance: Commercial real estate — — — 858 859 396 Consumer real estate — — — 260 262 69 Construction and land development 858 858 395 — — — Commercial and industrial — — — 97 96 96 Leases — — — — — — Consumer and other — — — — — — 858 858 395 1,215 1,217 561 PCI loans and leases: Commercial real estate 528 603 35 707 926 30 Consumer real estate 887 850 142 1,129 1,251 148 Construction and land development — — — — — — Commercial and industrial — — — — — — Leases — — — — — — Consumer and other 2 1 1 5 3 1 1,417 1,454 178 1,841 2,180 179 Total impaired loans and leases $ 4,426 $ 4,463 $ 573 $ 4,861 $ 5,203 $ 740 Three Months Ended June 30, 2022 2021 Average Interest Average Interest Recorded Income Recorded Income Investment Recognized Investment Recognized Impaired loans and leases without a valuation allowance: Commercial real estate $ 152 $ — $ 65 $ — Consumer real estate 1,957 3 2,033 8 Construction and land development — — — — Commercial and industrial — — — — Leases — — — — Consumer and other — — — — 2,109 3 2,098 8 Impaired loans and leases with a valuation allowance: Commercial real estate 429 — 2,007 2 Consumer real estate — — 360 3 Construction and land development 429 — — — Commercial and industrial — — 159 3 Leases — — — — Consumer and other — — — — 858 — 2,526 8 PCI loans and leases: Commercial real estate 538 11 — — Consumer real estate 855 12 1,115 21 Construction and land development — — — — Commercial and industrial — — 263 1 Leases — — — — Consumer and other 3 — 16 — 1,396 23 1,394 22 Total impaired loans and leases $ 4,363 $ 26 $ 6,018 $ 38 Six Months Ended June 30, 2022 2021 Average Interest Average Interest Recorded Income Recorded Income Investment Recognized Investment Recognized Impaired loans and leases without a valuation allowance: Commercial real estate $ 101 $ — $ 1,334 $ 1 Consumer real estate 1,907 20 1,651 20 Construction and land development — — — — Commercial and industrial — — — — Leases — — — — Consumer and other — — — — 2,008 20 2,985 21 Impaired loans and leases with a valuation allowance: Commercial real estate 572 — 1,338 104 Consumer real estate 87 — 383 8 Construction and land development 286 — — — Commercial and industrial 32 — 154 5 Leases — — — — Consumer and other — — — — 977 — 1,875 117 PCI loans and leases: Commercial real estate 885 35 — — Consumer real estate 878 28 1,165 43 Construction and land development — — — — Commercial and industrial — — 266 2 Leases — — — — Consumer and other 3 — 18 — 1,766 63 1,449 45 Total impaired loans and leases $ 4,751 $ 83 $ 6,309 $ 183 |
Certain Loans Acquired In Transfer Not Accounted For As Debt Securities, Acquired During Period Carrying Amount Of Loans | The Company has acquired loans and leases where there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The carrying amount of those loans and leases are as follows (in thousands) June 30, December 31, 2022 2021 Commercial real estate $ 29,312 $ 31,600 Consumer real estate 11,438 14,215 Construction and land development 3,357 3,699 Commercial and industrial 3,072 3,424 Leases 2,272 3,557 Consumer and other 52 125 Total loans and leases 49,503 56,620 Less: Remaining purchase discount (14,471) (15,273) Total loans and leases, net of purchase discount 35,032 41,347 Less: Allowance for loan and leases losses (178) (179) Carrying amount, net of allowance $ 34,854 $ 41,168 |
Schedule of Certain Loans Acquired in Transfer Accounted for as Debt Securities, Accretable Yield Movement | Activity related to the accretable yield on loans and leases acquired with deteriorated credit quality is as follows (in thousands) Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Accretable yield, beginning of period $ 21,281 $ 14,705 $ 14,618 $ 16,889 Additions — 649 — 649 Accretion income (845) (1,098) (1,941) (3,029) Reclassification 129 1,340 398 1,677 Other changes, net (4,829) (1,074) 2,661 (1,664) Accretable yield, end of period $ 15,736 $ 14,522 $ 15,736 $ 14,522 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The carrying amount of goodwill and other intangible assets as of the dates indicated is summarized below (in thousands) June 30, December 31, 2022 2021 Goodwill: Balance, beginning of period $ 91,565 $ 74,135 Acquisition of PFG — 323 Acquisition of Fountain — 2,400 Acquisition of SCB — 17,171 Adjustment, due to Sale — (2,464) Balance, end of the period $ 91,565 $ 91,565 |
Finite-lived Intangible Assets Amortization Expense | Core Deposit Customer Relationships Tradename Amortized other intangible assets: Intangibles Intangibles Intangibles Total June 30, 2022: Beginning balance January 1, 2022, gross $ 17,470 $ 3,722 $ 63 $ 21,255 Less: accumulated amortization (7,125) (1,084) (29) (8,238) Balance, June 30, 2022, other intangible assets, net $ 10,345 $ 2,638 $ 34 $ 13,017 December 31, 2021: Beginning balance January 1, 2021, gross $ 15,920 $ 1,064 $ 63 $ 17,047 Acquisition of Fountain - 2,658 - 2,658 Acquisition of SCB 1,550 - - 1,550 Balance, December 31, 2021, other intangible assets, gross 17,470 3,722 63 21,255 Less: accumulated amortization (6,212) (733) (23) (6,968) Balance, December 31, 2021, other intangible assets, net $ 11,258 $ 2,989 $ 40 $ 14,287 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The estimated aggregate amortization expense for future periods for intangibles is as follows (in thousands) Remainder of 2022 $ 1,251 2023 2,356 2024 2,203 2025 2,041 2026 1,888 Thereafter 3,278 Total $ 13,017 |
Borrowings, Line of Credit an_2
Borrowings, Line of Credit and Subordinated Debt (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Borrowings, Line of Credit and Subordinated Debt [Abstract] | |
Schedule of debt | June 30, December 31, 2022 2021 Securities sold under customer repurchase agreements $ 5,049 $ 5,085 FHLB borrowings — 75,000 Other borrowings 7,500 7,500 Total $ 12,549 $ 87,585 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Defined Benefit Plan [Abstract] | |
Schedule of Option Activity | A summary of the status of stock option plans is presented in the following table: Weighted Average Exercisable Number Price Outstanding at December 31, 2021 79,667 $ 10.17 Granted — — Exercised (31,400) 8.39 Forfeited — — Outstanding at June 30, 2022 48,267 $ 11.33 |
Schedule of Options Outstanding by Exercise Price Range | Options Outstanding Options Exercisable Weighted- Average Weighted- Weighted- Remaining Average Average Exercise Number Contractual Exercise Number Exercise Prices Outstanding Life Price Exercisable Price $ 9.48 14,540 0.70 years $ 9.48 14,540 $ 9.48 9.60 16,750 1.44 years 9.60 16,750 9.60 11.76 2,266 0.00 years 11.76 2,266 11.76 15.05 14,711 2.93 years 15.05 14,711 15.05 Outstanding, end of period 48,267 1.60 years $ 11.33 48,267 $ 11.33 |
Schedule of Non-vested Restricted Stock Awards | Weighted Average Grant-Date Number Fair Value Balance at December 31, 2021 144,367 $ 19.49 Granted 23,115 26.57 Vested (6,646) 22.25 Forfeited/expired — — Balance at June 30, 2022 160,836 $ 20.39 |
Share-based Payment Arrangement, Stock Appreciation Right, Activity | Weighted Average Number Exercisable Price Outstanding at December 31, 2021 55,000 $ 18.21 Granted — — Exercised (6,500) 18.12 Forfeited — — Outstanding at June 30, 2022 48,500 $ 18.22 SARs Outstanding SARs Exercisable Weighted- Average Weighted- Remaining Average Weighted- Average Exercise Number Contractual Exercise Number Exercise Prices Outstanding Life Price Exercisable Price $ 15.19 16,000 1.50 years $ 15.19 — $ — 18.12 12,500 0.50 years 18.12 12,500 18.12 20.70 20,000 2.51 years 20.70 — — Outstanding, end of period 48,500 1.66 years $ 18.22 12,500 $ 18.12 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
Other Commitments | A summary of the Company’s total contractual amount for all off-balance sheet commitments are as follows (in thousands) June 30, December 31, 2022 2021 Commitments to extend credit $ 747,309 $ 669,770 Standby letters of credit 17,474 17,868 |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | The tables below present the recorded amount of assets and liabilities measured at fair value on a recurring basis (in thousands) Quoted Prices in Significant Significant Active Markets Other Other for Identical Observable Unobservable Assets Inputs Inputs Description Fair Value (Level 1) (Level 2) (Level 3) June 30, 2022: Assets: Securities available-for-sale: U.S. Treasury $ 225,021 $ — $ 225,021 $ — U.S. Government-sponsored enterprises (GSEs) 423 — 423 — Municipal securities 53,157 — 53,157 — Other debt securities 27,851 — 27,851 — Mortgage-backed securities (GSEs) 218,412 — 218,412 — Total securities available-for-sale 524,864 — 524,864 — Interest rate swaps agreements for customer loans 5,021 — 5,021 — Total assets at fair value $ 529,885 $ — $ 529,885 $ — Liabilities: Derivative financial instruments and interest rate swap agreements $ 5,077 $ — $ 5,077 $ — December 31, 2021: Assets: Securities available-for-sale: U.S. Treasury $ 137,758 $ 137,758 $ — U.S. Government-sponsored enterprises (GSEs) 21,801 — 21,801 — Municipal securities 67,820 — 67,820 — Other debt securities 27,220 — 27,220 — Mortgage-backed securities (GSEs) 227,854 — 227,854 — Total securities available-for-sale 482,453 — 482,453 — Interest rate swaps agreements for customer loans 1,326 — 1,326 — Total assets at fair value $ 483,779 $ — $ 483,779 $ — Liabilities: Derivative financial instruments and interest rate swap agreements $ 4,893 $ — $ 4,893 $ — |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis | Quoted Prices in Significant Significant Active Markets Other Other for Identical Observable Unobservable Assets Inputs Inputs Fair Value (Level 1) (Level 2) (Level 3) June 30, 2022: Collateral dependent loans $ 1,702 $ — $ — $ 1,702 Other real estate owned — — — — December 31, 2021: Collateral dependent loans $ 2,280 $ — $ — $ 2,280 Other real estate owned 367 — — 367 |
Fair Value Measurement Inputs and Valuation Techniques | For Level 3 assets measured at fair value on a non-recurring basis, the significant unobservable inputs used in the fair value measurements are presented below (dollars in thousands) Weighted Valuation Significant Other Average of Fair Value Technique Unobservable Input Input June 30, 2022: Collateral dependent loans $ 1,702 Appraisal Appraisal discounts 25 % Other real estate owned — Appraisal Appraisal discounts — % December 31, 2021: Collateral dependent loans $ 2,280 Appraisal Appraisal discounts 25 % Other real estate owned 367 Appraisal Appraisal discounts 13 % |
Fair Value, by Balance Sheet Grouping | The carrying amount and estimated fair value of the Company’s financial instruments are as follows (in thousands) Fair Value Measurements Using Carrying Estimated Amount Level 1 Level 2 Level 3 Fair Value June 30, 2022: Assets: Cash and cash equivalents $ 654,945 $ 654,945 $ — $ — $ 654,945 Securities available-for-sale 524,864 — 524,864 — 524,864 Securities held-to-maturity 288,363 — 267,678 — 267,678 Other investments 16,569 N/A N/A N/A N/A Loans and leases, net and loans held for sale 2,973,843 — — 2,905,098 2,905,098 Interest rate swaps agreements for customer loans 5,021 — 5,021 — 5,021 Liabilities: Noninterest-bearing demand deposits 1,162,843 — 1,162,843 — 1,162,843 Interest-bearing demand deposits 999,893 — 999,893 — 999,893 Money market and savings deposits 1,607,714 — 1,607,714 — 1,607,714 Time deposits 511,182 — 511,091 — 511,091 Borrowings 12,549 — 12,549 — 12,549 Subordinated debt 41,973 — — 41,851 41,851 Derivative financial instruments and interest rate swap agreements 5,077 — 5,077 — 5,077 December 31, 2021: Assets: Cash and cash equivalents $ 1,045,077 $ 1,045,077 $ — $ — $ 1,045,077 Securities available-for-sale 482,453 — 482,453 — 482,453 Securities held-to-maturity 76,969 — 76,946 76,946 Other investments 16,494 N/A N/A N/A N/A Loans and leases, net and loans held for sale 2,679,148 — — 2,676,181 2,676,181 Interest rate swaps agreements for customer loans 1,326 — 1,326 — 1,326 Liabilities: Noninterest-bearing demand deposits 1,055,125 — 1,055,125 — 1,055,125 Interest-bearing demand deposits 899,158 — 899,158 — 899,158 Money market and savings deposits 1,493,007 — 1,493,007 — 1,493,007 Time deposits 574,648 — 576,598 — 576,598 Borrowings 87,585 — 88,082 — 88,082 Subordinated debt 41,930 — — 43,374 43,374 Derivative financial instruments and interest rate swap agreements 4,893 — 4,893 — 4,893 |
Derivatives Financial Instrum_2
Derivatives Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Fair Value Hedge Relationships in Balance Sheet | A summary of the Company’s fair value hedge relationships for the periods presented are as follows (dollars in thousands) Weighted Average Balance Remaining Weighted Sheet Maturity Average Receive Notional Estimated Liability derivatives Location (In Years) Pay Rate Rate Amount Fair Value June 30, 2022: Interest rate swap agreements - securities Other liabilities 5.70 3.09 % 3 month LIBOR $ 36,000 $ (56) December 31, 2021: Interest rate swap agreements - securities Other liabilities 6.20 3.09 % 3 month LIBOR $ 36,000 $ (3,567) |
Schedule of Fair Value Hedge Relationships on Income Statement | The effects of the Company’s fair value hedge relationships reported in interest income on tax-exempt available-for-sale securities on the consolidated income statement were as follows (in thousands) Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Interest income on tax-exempt securities $ 387 $ 562 $ 780 $ 1,126 Effects of fair value hedge relationships (190) (258) (444) (563) Reported interest income on tax-exempt securities $ 197 $ 304 $ 336 $ 563 Three Months Ended Six Months Ended June 30, June 30, Gain (loss) on fair value hedging relationship 2022 2021 2022 2021 Interest rate swap agreements - securities: Hedged items $ 1,662 $ (459) $ 3,511 $ 1,706 Derivative designated as hedging instruments $ (1,662) $ 459 $ (3,511) $ (1,706) Carry amount of hedged assets - securities available-for-sale $ 37,977 $ 43,580 $ 37,977 $ 43,580 |
Schedule of interest rate swaps related to loan hedging program | At June 30, 2022 and December 31, 2021, interest rate swaps related to the Company’s loan hedging program that were outstanding are presented in the following table (in thousands) June 30, 2022 December 31, 2021 Notional Estimated Notional Estimated Amount Fair Value Amount Fair Value Interest rate swap agreements: Assets $ 146,639 $ 5,021 $ 48,125 $ 1,326 Liabilities 146,639 (5,021) 48,125 (1,326) |
Schedule of interest rate swap to facilitate customer's transactions | The Company establishes limits and monitors exposures for customer swap positions. Any fees received to enter the swap agreements at inception are recognized in earnings when received and is included in noninterest income. Such fees were as follows (in thousands) : Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Interest rate swap agreements $ 876 $ 10 $ 1,396 $ 10 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Leases [Abstract] | |
Summary of Lease Assets and Liabilities | The following table represents the consolidated balance sheet classification of the Company’s ROU assets and lease liabilities. The Company elected not to include short-term leases (i.e., leases with initial terms of twelve months or less), or equipment leases (deemed immaterial) on the consolidated balance sheet (in thousands) June 30, December 31, Classification 2022 2021 Assets: Operating lease right-of-use assets Other assets $ 9,145 $ 9,812 Liabilities: Operating lease liabilities Other liabilities $ 9,252 $ 9,881 |
Summary of Lease Costs and Other Information | The following table represents lease costs and other lease information. As the Company elected, for all classes of underlying assets, not to separate lease and non-lease components and instead to account for them as a single lease component, the variable lease cost primarily represents variable payments such as common area maintenance (in thousands) Three Months Ended Six Months Ended June 30, June 30, 2022 2021 2022 2021 Lease costs: Operating lease costs $ 403 $ 254 $ 817 $ 494 Variable lease costs 25 24 50 48 Total $ 428 $ 278 $ 867 $ 542 Other information: Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 382 $ 250 $ 778 $ 483 |
Schedule of Remaining Minimum Lease Payments | Future minimum payments for operating leases with initial or remaining terms of one year or more as of June 30, 2022, were as follows (in thousands) Amounts June 30, 2023 $ 759 June 30, 2024 1,290 June 30, 2025 1,079 June 30, 2026 1,047 June 30, 2027 946 Thereafter 5,250 Total future minimum lease payments 10,371 Amounts representing interest (1,119) Present value of net future minimum lease payments $ 9,252 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Banking and Thrift [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | Actual and required capital levels at June 30, 2022, and December 31, 2021 are presented below (dollars in thousands) Minimum to be well capitalized under Minimum for prompt capital corrective action Actual adequacy purposes provisions 1 Amount Ratio Amount Ratio Amount Ratio June 30, 2022 SmartFinancial: Total Capital (to Risk Weighted Assets) $ 407,413 11.80 % $ 276,136 8.00 % N/A N/A Tier 1 Capital (to Risk Weighted Assets) 343,502 9.95 % 207,102 6.00 % N/A N/A Common Equity Tier 1 Capital (to Risk Weighted Assets) 343,502 9.95 % 155,326 4.50 % N/A N/A Tier 1 Capital (to Average Assets) 2 343,502 7.48 % 183,749 4.00 % N/A N/A SmartBank: Total Capital (to Risk Weighted Assets) $ 404,412 11.72 % $ 276,138 8.00 % $ 345,173 10.00 % Tier 1 Capital (to Risk Weighted Assets) 382,474 11.08 % 207,104 6.00 % 276,138 8.00 % Common Equity Tier 1 Capital (to Risk Weighted Assets) 382,474 11.08 % 155,328 4.50 % 224,362 6.50 % Tier 1 Capital (to Average Assets) 2 382,474 8.33 % 183,745 4.00 % 229,682 5.00 % December 31, 2021 SmartFinancial: Total Capital (to Risk Weighted Assets) $ 386,627 12.55 % $ 246,483 8.00 % N/A N/A Tier 1 Capital (to Risk Weighted Assets) 325,345 10.56 % 184,862 6.00 % N/A N/A Common Equity Tier 1 Capital (to Risk Weighted Assets) 325,345 10.56 % 138,647 4.50 % N/A N/A Tier 1 Capital (to Average Assets) 325,345 7.45 % 174,578 4.00 % N/A N/A SmartBank: Total Capital (to Risk Weighted Assets) $ 378,055 12.29 % $ 246,053 8.00 % $ 307,566 10.00 % Tier 1 Capital (to Risk Weighted Assets) 358,703 11.66 % 184,539 6.00 % 246,053 8.00 % Common Equity Tier 1 Capital (to Risk Weighted Assets) 358,703 11.66 % 138,405 4.50 % 199,918 6.50 % Tier 1 Capital (to Average Assets) 358,703 8.23 % 174,384 4.00 % 217,980 5.00 % 1 2 |
Other comprehensive income (l_2
Other comprehensive income (loss) (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
Summary of Accumulated Other Comprehensive Income (Loss) | The changes in each component of accumulated other comprehensive income (loss), net of tax, were as follows (in thousands) Three Months Ended June 30, 2022 Accumulated Securities Securities Fair Value Other Available-for- Transferred to Municipal Comprehensive Sale Held-to-Maturity Security Hedges Income (Loss) Beginning balance, March 31, 2022 $ (15,067) $ (833) $ 344 $ (15,556) Other comprehensive income (8,459) — (662) (9,121) Reclassification of amounts included in net income — 29 — 29 Net other comprehensive income during period (8,459) 29 (662) (9,092) Ending balance, June 30, 2022 $ (23,526) (804) $ (318) $ (24,648) Three Months Ended June 30, 2021 Accumulated Securities Securities Fair Value Other Available-for- Transferred to Municipal Comprehensive Sale Held-to-Maturity Security Hedges Income (Loss) Beginning balance, March 31, 2021 $ 898 — $ 185 $ 1,083 Other comprehensive income 1,153 — 102 1,255 Reclassification of amounts included in net income — — — — Net other comprehensive income during period 1,153 — 102 1,255 Ending balance, June 30, 2021 $ 2,051 — $ 287 $ 2,338 Six Months Ended June 30, 2022 Accumulated Securities Securities Fair Value Other Available-for- Transferred to Municipal Comprehensive Sale Held-to-Maturity Security Hedges Income (Loss) Beginning balance, December 31, 2021 $ 25 665 $ 753 $ 1,443 Other comprehensive income (loss) (23,551) (1,490) (1,071) (26,112) Reclassification of amounts included in net income — 21 — 21 Net other comprehensive income (loss) during period (23,551) (1,469) (1,071) (26,091) Ending balance, June 30, 2022 $ (23,526) (804) $ (318) $ (24,648) Six Months Ended June 30, 2021 Accumulated Securities Securities Fair Value Other Available-for- Transferred to Municipal Comprehensive Sale Held-to-Maturity Security Hedges Income (Loss) Beginning balance, December 31, 2020 $ 2,968 — $ (785) $ 2,183 Other comprehensive income (loss) (917) — 1,072 155 Reclassification of amounts included in net income — — — — Net other comprehensive income (loss) during period (917) — 1,072 155 Ending balance, June 30, 2021 $ 2,051 — $ 287 $ 2,338 |
Business Combinations (Narrativ
Business Combinations (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 10 Months Ended | 14 Months Ended | ||||||
Sep. 01, 2021 | May 03, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Business Acquisition [Line Items] | ||||||||||
Common stock, par value (in dollars per share) | $ 1 | $ 1 | $ 1 | $ 1 | $ 1 | $ 1 | ||||
Goodwill | $ 91,565 | $ 91,565 | $ 91,565 | $ 91,565 | $ 91,565 | $ 74,135 | ||||
Merger-related costs | 81 | $ 372 | $ 520 | $ 475 | ||||||
Sevier County Bancshares Inc [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Common stock, par value (in dollars per share) | 0 | |||||||||
Sevier County Bancshares Inc [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Cash to be paid upon conversion (in dollars per share) | $ 10.17 | |||||||||
Common shares to be converted (in shares) | 0.4116 | |||||||||
Number of shares issued (in shares) | 1,692,168 | 1,692,168 | ||||||||
Cash | $ 9,600 | 9,568 | ||||||||
Assets acquired | 484,880 | 477,500 | $ 477,500 | 477,500 | 477,500 | |||||
Liabilities assumed | 443,099 | 442,848 | 442,848 | 442,848 | 442,848 | |||||
Goodwill | 17,200 | 17,171 | 17,171 | 17,171 | 17,171 | |||||
Sevier County Bancshares Inc [Member] | Core Deposits [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Intangible assets acquired | $ 1,600 | |||||||||
Useful life | 10 years | |||||||||
Sevier County Bancshares Inc [Member] | Sevier County Bancshares Inc [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Threshold number of shares to be held by a shareholder to receive the per share stock consideration | 20,000 | |||||||||
Fountain [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Cash | $ 14,000 | 59,794 | ||||||||
Repayment of indebtedness | 45,800 | |||||||||
Future cash payments of performance-based earnout | 6,000 | |||||||||
Assets acquired | 54,114 | 57,848 | 57,848 | 57,848 | 57,848 | |||||
Liabilities assumed | 683 | 454 | 454 | 454 | 454 | |||||
Goodwill | 2,400 | $ 2,400 | $ 2,400 | $ 2,400 | $ 2,400 | |||||
Fountain [Member] | Customer Relationships [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Intangible assets acquired | $ 2,700 | |||||||||
Useful life | 8 years |
Business Combinations (Allocati
Business Combinations (Allocation of Purchase Price) (Details) - USD ($) $ in Thousands | 6 Months Ended | 10 Months Ended | 14 Months Ended | ||||
Sep. 01, 2021 | May 03, 2021 | Jun. 30, 2022 | Jun. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Consideration transferred: | |||||||
Goodwill | $ 91,565 | $ 91,565 | $ 91,565 | $ 91,565 | $ 74,135 | ||
Sevier County Bancshares Inc [Member] | |||||||
Assets: | |||||||
Cash and cash equivalents | $ 84,313 | 84,313 | 84,313 | 84,313 | |||
Investment securities available-for-sale | 64,219 | 63,605 | 63,605 | 63,605 | |||
Restricted investments | 533 | 533 | 533 | 533 | |||
Loans | 304,620 | 297,020 | 297,020 | 297,020 | |||
Allowance for loan losses | (3,644) | ||||||
Premises and equipment | 15,579 | 15,262 | 15,262 | 15,262 | |||
Core deposit intangible | 1,550 | 1,550 | 1,550 | ||||
Bank owned life insurance | 7,116 | 7,116 | 7,116 | 7,116 | |||
Deferred tax asset, net | 10,340 | 7,102 | 7,102 | 7,102 | |||
Interest Receivable | 884 | 884 | 884 | 884 | |||
Other assets | 920 | 115 | 115 | 115 | |||
Total assets acquired | 484,880 | 477,500 | 477,500 | 477,500 | |||
Liabilities: | |||||||
Deposits | 435,036 | 435,036 | 435,036 | 435,036 | |||
Time deposit premium | 888 | 888 | 888 | ||||
Subordinated debt | 2,500 | 2,500 | 2,500 | 2,500 | |||
Payables and other liabilities | 5,563 | 4,424 | 4,424 | 4,424 | |||
Total liabilities assumed | 443,099 | 442,848 | 442,848 | 442,848 | |||
Excess of assets acquired over liabilities assumed | 41,781 | $ 34,652 | 34,652 | 34,652 | |||
Cash | $ 9,600 | 9,568 | |||||
Common stock issued | 42,255 | ||||||
Number of shares issued (in shares) | 1,692,168 | 1,692,168 | |||||
Total fair value of consideration transferred | 51,823 | ||||||
Assets: | |||||||
Investment securities available-for-sale | $ (614) | ||||||
Loans | (4,551) | (3,049) | |||||
Allowance for loan losses | 3,644 | ||||||
Premises and equipment, net | (295) | (22) | |||||
Deferred tax asset, net | (4,007) | 769 | |||||
Core deposit intangible | 1,550 | ||||||
Other assets | (272) | (533) | |||||
Total assets acquired | (4,545) | (2,835) | |||||
Liabilities: | |||||||
Time deposit premium | 888 | ||||||
Payables and other liabilities | 115 | (1,254) | |||||
Total liabilities assumed | 1,003 | (1,254) | |||||
Consideration transferred: | |||||||
Aggregate fair value adjustments | (5,548) | (1,581) | |||||
Goodwill | $ 17,200 | $ 17,171 | 17,171 | 17,171 | |||
Fountain [Member] | |||||||
Assets: | |||||||
Cash and cash equivalents | $ 413 | 413 | 413 | 413 | |||
Leases | 54,945 | 54,225 | 54,225 | 54,225 | |||
Allowance for loan losses | (1,796) | ||||||
Intangibles | 2,658 | 2,658 | 2,658 | ||||
Other repossessed assets | 319 | 319 | 319 | 319 | |||
Other assets | 233 | 233 | 233 | 233 | |||
Total assets acquired | 54,114 | 57,848 | 57,848 | 57,848 | |||
Liabilities: | |||||||
Payables and other liabilities | 683 | 454 | 454 | 454 | |||
Total liabilities assumed | 683 | 454 | 454 | 454 | |||
Excess of assets acquired over liabilities assumed | 53,431 | 57,394 | 57,394 | 57,394 | |||
Cash | 14,000 | 59,794 | |||||
Total fair value of consideration transferred | 59,794 | ||||||
Assets: | |||||||
Leases | (720) | ||||||
Allowance for loan losses | 1,796 | ||||||
Intangibles | 2,658 | ||||||
Total assets acquired | 3,734 | ||||||
Liabilities: | |||||||
Payables and other liabilities | (229) | ||||||
Total liabilities assumed | (229) | ||||||
Consideration transferred: | |||||||
Aggregate fair value adjustments | 3,963 | ||||||
Goodwill | $ 2,400 | $ 2,400 | $ 2,400 | $ 2,400 |
Business Combinations (Loans Ac
Business Combinations (Loans Acquired) (Details) - Purchased Credit Impaired Loans [Member] - USD ($) $ in Thousands | Sep. 01, 2021 | May 03, 2021 |
Sevier County Bancshares Inc [Member] | ||
Business Acquisition [Line Items] | ||
Contractually required principal and interest | $ 30,293 | |
Non-accretable differences | 7,609 | |
Cash flows expected to be collected | 22,684 | |
Accretable yield | 3,552 | |
Fair value | $ 19,132 | |
Fountain [Member] | ||
Business Acquisition [Line Items] | ||
Contractually required principal and interest | $ 6,018 | |
Non-accretable differences | 447 | |
Cash flows expected to be collected | 5,571 | |
Accretable yield | 649 | |
Fair value | $ 4,922 |
Earnings per Share (Narrative)
Earnings per Share (Narrative) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Earnings Per Share [Abstract] | ||||
Anti-dilutive securities excluded from computation of earnings per share (in shares) | 0 | 0 | 0 | 0 |
Earnings per Share (Schedule of
Earnings per Share (Schedule of Earnings Per Share, Basic and Diluted) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Basic earnings per share computation: | ||||
Net income available to common shareholders | $ 10,215 | $ 8,778 | $ 18,475 | $ 18,534 |
Average common shares outstanding - basic (in shares) | 16,734,930 | 15,003,657 | 16,726,696 | 15,007,593 |
Basic earnings per share (in dollars per share) | $ 0.61 | $ 0.59 | $ 1.11 | $ 1.24 |
Diluted earnings per share computation: | ||||
Net income available to common shareholders | $ 10,215 | $ 8,778 | $ 18,475 | $ 18,534 |
Average common shares outstanding - basic (in shares) | 16,734,930 | 15,003,657 | 16,726,696 | 15,007,593 |
Incremental shares from assumed conversions: | ||||
Stock options and restricted stock (in shares) | 132,844,000 | 122,527,000 | 136,603,000 | 111,331,000 |
Average common shares outstanding - diluted | 16,867,774 | 15,126,184 | 16,863,299 | 15,118,924 |
Diluted earnings per share (in dollars per share) | $ 0.61 | $ 0.58 | $ 1.10 | $ 1.23 |
Securities (Narrative) (Details
Securities (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |
Mar. 31, 2022 | Jun. 30, 2022 | Dec. 31, 2021 | |
Loans and Leases Receivable Disclosure [Line Items] | |||
Debt Securities, Available-for-sale | $ 524,864,000 | $ 482,453,000 | |
Available for sale securities transferred to held-to-maturity securities | $ 162,400,000 | ||
Reclassification of unrealized gain on securities transferred from available-for-sale to held-to-maturity | 2,000,000 | 2,009,000 | |
Gains or losses recognized as result of transfer | $ 0 | ||
Asset Pledged as Collateral [Member] | Secure Public Funds and Securities Sold under Agreements to Repurchase [Member] | |||
Loans and Leases Receivable Disclosure [Line Items] | |||
Debt Securities, Available-for-sale | $ 257,000,000 | $ 201,200,000 |
Securities (Schedule of Availab
Securities (Schedule of Available-for-sale Securities Reconciliation) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||
Total | $ 556,583 | $ 482,420 |
Gross Unrealized Gains | 99 | 1,936 |
Gross Unrealized Losses | (31,818) | (1,903) |
Fair Value | 524,864 | 482,453 |
US Treasury Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 238,546 | 138,212 |
Gross Unrealized Gains | 64 | |
Gross Unrealized Losses | (13,525) | (518) |
Fair Value | 225,021 | 137,758 |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 428 | 21,898 |
Gross Unrealized Gains | 76 | |
Gross Unrealized Losses | (5) | (173) |
Fair Value | 423 | 21,801 |
Municipal securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 53,575 | 67,310 |
Gross Unrealized Gains | 95 | 512 |
Gross Unrealized Losses | (513) | (2) |
Fair Value | 53,157 | 67,820 |
Other Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 28,974 | 26,989 |
Gross Unrealized Gains | 313 | |
Gross Unrealized Losses | (1,123) | (82) |
Fair Value | 27,851 | 27,220 |
Mortgage-backed securities (GSEs) [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 235,060 | 228,011 |
Gross Unrealized Gains | 4 | 971 |
Gross Unrealized Losses | (16,652) | (1,128) |
Fair Value | $ 218,412 | $ 227,854 |
Securities (Schedule of Held-to
Securities (Schedule of Held-to-maturity Securities Reconciliation) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Held-to-maturity | ||
Amortized Cost | $ 288,363 | $ 76,969 |
Gross Unrealized Gains | 83 | |
Gross Unrealized Losses | (20,685) | (106) |
Fair Value | 267,678 | 76,946 |
US Treasury Securities [Member] | ||
Held-to-maturity | ||
Amortized Cost | 150,413 | |
Gross Unrealized Losses | (3,694) | |
Fair Value | 146,719 | |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Held-to-maturity | ||
Amortized Cost | 51,135 | 31,023 |
Gross Unrealized Gains | 20 | |
Gross Unrealized Losses | (6,120) | (87) |
Fair Value | 45,015 | 30,956 |
Municipal securities [Member] | ||
Held-to-maturity | ||
Amortized Cost | 54,166 | 45,946 |
Gross Unrealized Gains | 63 | |
Gross Unrealized Losses | (7,684) | (19) |
Fair Value | 46,482 | $ 45,990 |
Mortgage-backed securities (GSEs) [Member] | ||
Held-to-maturity | ||
Amortized Cost | 32,649 | |
Gross Unrealized Losses | (3,187) | |
Fair Value | $ 29,462 |
Securities (Available-for-sale
Securities (Available-for-sale by Contractual Maturity Date) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Amortized Cost | ||
Due in one year or less | $ 346 | |
Due from one year to five years | 177,974 | |
Due from five years to ten years | 99,298 | |
Due after ten years | 43,905 | |
Securities available for sale, amortized cost | 321,523 | |
Mortgage-backed securities | 235,060 | |
Total | 556,583 | $ 482,420 |
Fair Value | ||
Due in one year or less | 345 | |
Due from one year to five years | 170,268 | |
Due from five years to ten years | 92,108 | |
Due after ten years | 43,731 | |
Securities available for sale, fair value | 306,452 | |
Mortgage-backed securities | 218,412 | |
Total | $ 524,864 | $ 482,453 |
Securities (Held-to-maturity by
Securities (Held-to-maturity by Contractual Maturity Date) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Amortized Cost | ||
Due from one year to five years | $ 150,413 | |
Due from five years to ten years | 30,283 | |
Due after ten years | 75,018 | |
Securities held to maturity, amortized cost | 255,714 | |
Mortgage-backed securities | 32,649 | |
Total | 288,363 | $ 76,969 |
Fair Value | ||
Due from one year to five years | 146,719 | |
Due from five years to ten years | 27,432 | |
Due after ten years | 64,065 | |
Securities held to maturity, fair value | 238,216 | |
Mortgage-backed securities | 29,462 | |
Total | $ 267,678 | $ 76,946 |
Securities (Schedule of Avail_2
Securities (Schedule of Available-for-sale, Unrealized Loss on Investments) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 Months, Fair Value | $ 500,705 | $ 282,342 |
Less than 12 Months, Gross Unrealized Losses | $ (31,538) | $ (1,772) |
Less than 12 Months, Number of Securities | 170 | 51 |
12 Months or Greater, Fair Value | $ 9,332 | $ 8,812 |
12 Months or Greater, Gross Unrealized Losses | $ (280) | $ (131) |
12 Months or Greater, Number of Securities | 9 | 8 |
Total, Fair Value | $ 510,037 | $ 291,154 |
Total, Gross Unrealized Losses | $ (31,818) | $ (1,903) |
Total, Number of Securities | 179 | 59 |
US Treasury Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 Months, Fair Value | $ 225,022 | $ 99,959 |
Less than 12 Months, Gross Unrealized Losses | $ (13,525) | $ (518) |
Less than 12 Months, Number of Securities | 19 | 11 |
Total, Fair Value | $ 225,022 | $ 99,959 |
Total, Gross Unrealized Losses | $ (13,525) | $ (518) |
Total, Number of Securities | 19 | 11 |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 Months, Fair Value | $ 14,156 | |
Less than 12 Months, Gross Unrealized Losses | $ (168) | |
Less than 12 Months, Number of Securities | 2 | |
12 Months or Greater, Fair Value | $ 423 | $ 579 |
12 Months or Greater, Gross Unrealized Losses | $ (5) | $ (5) |
12 Months or Greater, Number of Securities | 2 | 2 |
Total, Fair Value | $ 423 | $ 14,735 |
Total, Gross Unrealized Losses | $ (5) | $ (173) |
Total, Number of Securities | 2 | 4 |
Municipal securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 Months, Fair Value | $ 39,081 | $ 2,519 |
Less than 12 Months, Gross Unrealized Losses | $ (513) | $ (2) |
Less than 12 Months, Number of Securities | 32 | 1 |
Total, Fair Value | $ 39,081 | $ 2,519 |
Total, Gross Unrealized Losses | $ (513) | $ (2) |
Total, Number of Securities | 32 | 1 |
Other Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 Months, Fair Value | $ 26,402 | $ 5,983 |
Less than 12 Months, Gross Unrealized Losses | $ (1,073) | $ (82) |
Less than 12 Months, Number of Securities | 23 | 6 |
12 Months or Greater, Fair Value | $ 1,450 | |
12 Months or Greater, Gross Unrealized Losses | $ (50) | |
12 Months or Greater, Number of Securities | 1 | |
Total, Fair Value | $ 27,852 | $ 5,983 |
Total, Gross Unrealized Losses | $ (1,123) | $ (82) |
Total, Number of Securities | 24 | 6 |
Mortgage-backed securities (GSEs) [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Less than 12 Months, Fair Value | $ 210,200 | $ 159,725 |
Less than 12 Months, Gross Unrealized Losses | $ (16,427) | $ (1,002) |
Less than 12 Months, Number of Securities | 96 | 31 |
12 Months or Greater, Fair Value | $ 7,459 | $ 8,233 |
12 Months or Greater, Gross Unrealized Losses | $ (225) | $ (126) |
12 Months or Greater, Number of Securities | 6 | 6 |
Total, Fair Value | $ 217,659 | $ 167,958 |
Total, Gross Unrealized Losses | $ (16,652) | $ (1,128) |
Total, Number of Securities | 102 | 37 |
Securities (Schedule of Held-_2
Securities (Schedule of Held-to-maturity, Unrealized Loss on Investments) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Held-to-maturity: | ||
Less than 12 Months, Fair Value | $ 245,256 | $ 26,074 |
Less than 12 Months, Gross Unrealized Losses | $ (17,342) | $ (106) |
Less than 12 Months, Number of Securities | 50 | 14 |
12 Months or Greater, Fair Value | $ 22,622 | |
12 Months or Greater, Gross Unrealized Losses | $ (3,343) | |
12 Months or Greater, Number of Securities | 7 | |
Total, Fair Value | $ 267,878 | $ 26,074 |
Total, Gross Unrealized Losses | $ (20,685) | $ (106) |
Total, Number of Securities | 57 | 14 |
US Treasury Securities [Member] | ||
Held-to-maturity: | ||
Less than 12 Months, Fair Value | $ 146,919 | |
Less than 12 Months, Gross Unrealized Losses | $ (3,694) | |
Less than 12 Months, Number of Securities | 4 | |
Total, Fair Value | $ 146,919 | |
Total, Gross Unrealized Losses | $ (3,694) | |
Total, Number of Securities | 4 | |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Held-to-maturity: | ||
Less than 12 Months, Fair Value | $ 22,393 | $ 21,901 |
Less than 12 Months, Gross Unrealized Losses | $ (2,777) | $ (87) |
Less than 12 Months, Number of Securities | 6 | 8 |
12 Months or Greater, Fair Value | $ 22,622 | |
12 Months or Greater, Gross Unrealized Losses | $ (3,343) | |
12 Months or Greater, Number of Securities | 7 | |
Total, Fair Value | $ 45,015 | $ 21,901 |
Total, Gross Unrealized Losses | $ (6,120) | $ (87) |
Total, Number of Securities | 13 | 8 |
Municipal securities [Member] | ||
Held-to-maturity: | ||
Less than 12 Months, Fair Value | $ 46,482 | $ 4,173 |
Less than 12 Months, Gross Unrealized Losses | $ (7,684) | $ (19) |
Less than 12 Months, Number of Securities | 35 | 6 |
Total, Fair Value | $ 46,482 | $ 4,173 |
Total, Gross Unrealized Losses | $ (7,684) | $ (19) |
Total, Number of Securities | 35 | 6 |
Mortgage-backed securities (GSEs) [Member] | ||
Held-to-maturity: | ||
Less than 12 Months, Fair Value | $ 29,462 | |
Less than 12 Months, Gross Unrealized Losses | $ (3,187) | |
Less than 12 Months, Number of Securities | 5 | |
Total, Fair Value | $ 29,462 | |
Total, Gross Unrealized Losses | $ (3,187) | |
Total, Number of Securities | 5 |
Securities (Other Investments)
Securities (Other Investments) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Debt Securities, Available-for-sale [Line Items] | ||
Other investments | $ 16,569 | $ 16,494 |
Federal Reserve Bank Stock [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Other investments | 9,768 | 9,693 |
Federal Home Loan Bank stock [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Other investments | 6,451 | 6,451 |
First National Bankers Bank Stock [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Other investments | $ 350 | $ 350 |
Loans and Leases and Allowanc_3
Loans and Leases and Allowance for Loan and Lease Losses (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | $ 2,994,074 | $ 2,693,397 |
Less: Allowance for loan and leases losses | (21,938) | (19,352) |
Loans and leases, net | 2,972,136 | 2,674,045 |
Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 35,032 | 41,347 |
Less: Allowance for loan and leases losses | (178) | (179) |
Loans and leases, net | 34,854 | 41,168 |
All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 2,959,042 | 2,652,050 |
Less: Allowance for loan and leases losses | (21,760) | (19,173) |
Loans and leases, net | 2,937,282 | 2,632,877 |
Commercial Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 1,534,588 | 1,384,156 |
Commercial Real Estate [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 18,689 | 20,875 |
Commercial Real Estate [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 1,515,899 | 1,363,281 |
Consumer Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 533,582 | 477,272 |
Consumer Real Estate [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 9,396 | 11,833 |
Consumer Real Estate [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 524,186 | 465,439 |
Construction and Land Development [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 364,368 | 278,386 |
Construction and Land Development [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 2,440 | 2,882 |
Construction and Land Development [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 361,928 | 275,504 |
Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 483,588 | 488,024 |
Commercial and Industrial [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 2,518 | 2,516 |
Commercial and Industrial [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 481,070 | 485,508 |
Consumer and Other [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 14,684 | 11,851 |
Consumer and Other [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 14 | 71 |
Consumer and Other [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 14,670 | 11,780 |
Leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 63,264 | 53,708 |
Leases [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | 1,975 | 3,170 |
Leases [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and leases | $ 61,289 | $ 50,538 |
Loans and Allowance for Loan Lo
Loans and Allowance for Loan Losses - Narrative (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 USD ($) loan property | Jun. 30, 2021 USD ($) | Jun. 30, 2022 USD ($) loan property segment | Jun. 30, 2021 USD ($) loan | Dec. 31, 2021 USD ($) loan | |
Financing Receivable, Modifications [Line Items] | |||||
Loan portfolio segments | segment | 6 | ||||
Troubled debt restructuring | $ 568 | $ 568 | |||
Number of contracts | loan | 3 | 0 | |||
Number of loans modified as troubled debt restructurings with subsequent default | loan | 0 | ||||
Provision (recovery) charged to expense | 1,250 | $ (5) | $ 2,256 | $ 62 | |
Allowance for loan losses | $ 21,938 | $ 21,938 | $ 19,352 | ||
Percentage of allowance for credit losses to aggregate loans | 0.73% | 0.73% | 0.72% | ||
Consumer Real Estate [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Number of properties in other real estate owned | property | 0 | 0 | |||
Provision (recovery) charged to expense | $ (100) | $ 69 | $ (140) | $ (109) | |
Trouble Debt Restructuring [Member] | |||||
Financing Receivable, Modifications [Line Items] | |||||
Troubled debt restructuring | $ 678 | $ 678 | $ 206 | ||
Number of contracts, nonaccrual | loan | 0 | 0 | 0 |
Loans and Leases and Allowanc_4
Loans and Leases and Allowance for Loan and Lease Losses - Performing and Impaired Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 2,994,074 | $ 2,693,397 |
All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 2,959,042 | 2,652,050 |
Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 35,032 | 41,347 |
Commercial Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,534,588 | 1,384,156 |
Commercial Real Estate [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,515,899 | 1,363,281 |
Commercial Real Estate [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 18,689 | 20,875 |
Consumer Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 533,582 | 477,272 |
Consumer Real Estate [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 524,186 | 465,439 |
Consumer Real Estate [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 9,396 | 11,833 |
Construction and Land Development [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 364,368 | 278,386 |
Construction and Land Development [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 361,928 | 275,504 |
Construction and Land Development [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 2,440 | 2,882 |
Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 483,588 | 488,024 |
Commercial and Industrial [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 481,070 | 485,508 |
Commercial and Industrial [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 2,518 | 2,516 |
Leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 63,264 | 53,708 |
Leases [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 61,289 | 50,538 |
Leases [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,975 | 3,170 |
Consumer and Other [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 14,684 | 11,851 |
Consumer and Other [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 14,670 | 11,780 |
Consumer and Other [Member] | Purchased Credit Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 14 | 71 |
Performing [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 2,956,033 | 2,649,030 |
Performing [Member] | Commercial Real Estate [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,515,596 | 1,362,423 |
Performing [Member] | Consumer Real Estate [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 522,338 | 463,374 |
Performing [Member] | Construction and Land Development [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 361,070 | 275,504 |
Performing [Member] | Commercial and Industrial [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 481,070 | 485,411 |
Performing [Member] | Leases [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 61,289 | 50,538 |
Performing [Member] | Consumer and Other [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 14,670 | 11,780 |
Impaired Loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 3,009 | |
Impaired Loans [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 3,020 | |
Impaired Loans [Member] | Commercial Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 303 | |
Impaired Loans [Member] | Commercial Real Estate [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 858 | |
Impaired Loans [Member] | Consumer Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,848 | |
Impaired Loans [Member] | Consumer Real Estate [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 2,065 | |
Impaired Loans [Member] | Construction and Land Development [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 858 | |
Impaired Loans [Member] | Commercial and Industrial [Member] | All Other Loans and leases [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 97 |
Loans and Leases and Allowanc_5
Loans and Leases and Allowance for Loan and Lease Losses - ALL by Loan Classification (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | $ 21,938 | $ 20,078 | $ 19,352 | $ 18,310 | $ 18,370 | $ 18,346 |
All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 21,760 | 19,173 | ||||
Purchased Credit Impaired Loans [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 178 | 179 | ||||
Performing [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 21,365 | 18,612 | ||||
Impaired Loans [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 395 | 561 | ||||
Commercial Real Estate [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 10,600 | 10,405 | 9,781 | 8,382 | 7,636 | 7,579 |
Commercial Real Estate [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 10,565 | 9,751 | ||||
Commercial Real Estate [Member] | Purchased Credit Impaired Loans [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 35 | 30 | ||||
Commercial Real Estate [Member] | Performing [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 10,565 | 9,355 | ||||
Commercial Real Estate [Member] | Impaired Loans [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 396 | |||||
Consumer Real Estate [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 3,835 | 3,388 | 3,454 | 3,323 | 3,309 | 3,471 |
Consumer Real Estate [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 3,693 | 3,306 | ||||
Consumer Real Estate [Member] | Purchased Credit Impaired Loans [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 142 | 148 | ||||
Consumer Real Estate [Member] | Performing [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 3,693 | 3,237 | ||||
Consumer Real Estate [Member] | Impaired Loans [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 69 | |||||
Construction and Land Development [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 2,904 | 2,120 | 1,882 | 2,061 | 1,968 | 2,076 |
Construction and Land Development [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 2,904 | 1,882 | ||||
Construction and Land Development [Member] | Performing [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 2,509 | 1,882 | ||||
Construction and Land Development [Member] | Impaired Loans [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 395 | |||||
Commercial and Industrial [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 3,659 | 3,501 | 3,781 | 4,442 | 5,347 | 5,107 |
Commercial and Industrial [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 3,659 | 3,781 | ||||
Commercial and Industrial [Member] | Performing [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 3,659 | 3,685 | ||||
Commercial and Industrial [Member] | Impaired Loans [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 96 | |||||
Leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 807 | 548 | 330 | |||
Leases [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 807 | 330 | ||||
Leases [Member] | Performing [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 807 | 330 | ||||
Consumer and Other [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 133 | $ 116 | 124 | $ 102 | $ 110 | $ 113 |
Consumer and Other [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 132 | 123 | ||||
Consumer and Other [Member] | Purchased Credit Impaired Loans [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | 1 | 1 | ||||
Consumer and Other [Member] | Performing [Member] | All Other Loans and leases [Member] | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Allowance for loan and lease losses | $ 132 | $ 123 |
Loans and Leases and Allowanc_6
Loans and Leases and Allowance for Loan and Lease Losses - ALL Roll Forward (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | $ 20,078 | $ 18,370 | $ 19,352 | $ 18,346 |
Charged off loans | (143) | (153) | (631) | (273) |
Recoveries of charge-offs | 753 | 98 | 961 | 175 |
Provision (recovery) charged to expense | 1,250 | (5) | 2,256 | 62 |
Ending balance | 21,938 | 18,310 | 21,938 | 18,310 |
Commercial Real Estate [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 10,405 | 7,636 | 9,781 | 7,579 |
Recoveries of charge-offs | 2 | 3 | 3 | 6 |
Provision (recovery) charged to expense | 193 | 743 | 816 | 797 |
Ending balance | 10,600 | 8,382 | 10,600 | 8,382 |
Consumer Real Estate [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 3,388 | 3,309 | 3,454 | 3,471 |
Charged off loans | (60) | (33) | (60) | |
Recoveries of charge-offs | 547 | 5 | 554 | 21 |
Provision (recovery) charged to expense | (100) | 69 | (140) | (109) |
Ending balance | 3,835 | 3,323 | 3,835 | 3,323 |
Construction and Land Development [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 2,120 | 1,968 | 1,882 | 2,076 |
Provision (recovery) charged to expense | 784 | 93 | 1,022 | (15) |
Ending balance | 2,904 | 2,061 | 2,904 | 2,061 |
Commercial and Industrial [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 3,501 | 5,347 | 3,781 | 5,107 |
Charged off loans | (4) | (188) | (4) | |
Recoveries of charge-offs | 126 | 7 | 143 | 10 |
Provision (recovery) charged to expense | 32 | (908) | (77) | (671) |
Ending balance | 3,659 | 4,442 | 3,659 | 4,442 |
Leases [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 548 | 330 | ||
Charged off loans | (23) | (108) | ||
Recoveries of charge-offs | 6 | 163 | ||
Provision (recovery) charged to expense | 276 | 422 | ||
Ending balance | 807 | 807 | ||
Consumer and Other [Member] | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Beginning balance | 116 | 110 | 124 | 113 |
Charged off loans | (120) | (89) | (302) | (209) |
Recoveries of charge-offs | 72 | 83 | 98 | 138 |
Provision (recovery) charged to expense | 65 | (2) | 213 | 60 |
Ending balance | $ 133 | $ 102 | $ 133 | $ 102 |
Loans and Leases and Allowanc_7
Loans and Leases and Allowance for Loan and Lease Losses - Loan Risk Rating (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | $ 2,994,074 | $ 2,693,397 |
Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,534,588 | 1,384,156 |
Consumer Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 533,582 | 477,272 |
Construction and Land Development [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 364,368 | 278,386 |
Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 483,588 | 488,024 |
Leases [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 63,264 | 53,708 |
Consumer and Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 14,684 | 11,851 |
All Other Loans and leases [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 2,959,042 | 2,652,050 |
All Other Loans and leases [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 2,913,583 | 2,609,141 |
All Other Loans and leases [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 31,677 | 33,204 |
All Other Loans and leases [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 10,250 | 5,943 |
All Other Loans and leases [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 3,532 | 3,717 |
All Other Loans and leases [Member] | Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 45 | |
All Other Loans and leases [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,515,899 | 1,363,281 |
All Other Loans and leases [Member] | Commercial Real Estate [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,481,916 | 1,330,888 |
All Other Loans and leases [Member] | Commercial Real Estate [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 24,997 | 27,246 |
All Other Loans and leases [Member] | Commercial Real Estate [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 8,603 | 4,120 |
All Other Loans and leases [Member] | Commercial Real Estate [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 383 | 1,027 |
All Other Loans and leases [Member] | Consumer Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 524,186 | 465,439 |
All Other Loans and leases [Member] | Consumer Real Estate [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 518,828 | 460,190 |
All Other Loans and leases [Member] | Consumer Real Estate [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,669 | 1,334 |
All Other Loans and leases [Member] | Consumer Real Estate [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,492 | 1,525 |
All Other Loans and leases [Member] | Consumer Real Estate [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 2,197 | 2,390 |
All Other Loans and leases [Member] | Construction and Land Development [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 361,928 | 275,504 |
All Other Loans and leases [Member] | Construction and Land Development [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 360,763 | 275,124 |
All Other Loans and leases [Member] | Construction and Land Development [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 231 | 237 |
All Other Loans and leases [Member] | Construction and Land Development [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 68 | 70 |
All Other Loans and leases [Member] | Construction and Land Development [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 866 | 73 |
All Other Loans and leases [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 481,070 | 485,508 |
All Other Loans and leases [Member] | Commercial and Industrial [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 476,149 | 480,677 |
All Other Loans and leases [Member] | Commercial and Industrial [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 4,758 | 4,345 |
All Other Loans and leases [Member] | Commercial and Industrial [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 87 | 228 |
All Other Loans and leases [Member] | Commercial and Industrial [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 76 | 213 |
All Other Loans and leases [Member] | Commercial and Industrial [Member] | Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 45 | |
All Other Loans and leases [Member] | Leases [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 61,289 | 50,538 |
All Other Loans and leases [Member] | Leases [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 61,289 | 50,538 |
All Other Loans and leases [Member] | Consumer and Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 14,670 | 11,780 |
All Other Loans and leases [Member] | Consumer and Other [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 14,638 | 11,724 |
All Other Loans and leases [Member] | Consumer and Other [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 22 | 42 |
All Other Loans and leases [Member] | Consumer and Other [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 10 | 14 |
Purchased Credit Impaired Loans [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 35,032 | 41,347 |
Purchased Credit Impaired Loans [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 28,335 | 33,825 |
Purchased Credit Impaired Loans [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,400 | 1,901 |
Purchased Credit Impaired Loans [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 68 | 83 |
Purchased Credit Impaired Loans [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 5,229 | 5,538 |
Purchased Credit Impaired Loans [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 18,689 | 20,875 |
Purchased Credit Impaired Loans [Member] | Commercial Real Estate [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 13,769 | 16,019 |
Purchased Credit Impaired Loans [Member] | Commercial Real Estate [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,230 | 1,271 |
Purchased Credit Impaired Loans [Member] | Commercial Real Estate [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 12 | 15 |
Purchased Credit Impaired Loans [Member] | Commercial Real Estate [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 3,678 | 3,570 |
Purchased Credit Impaired Loans [Member] | Consumer Real Estate [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 9,396 | 11,833 |
Purchased Credit Impaired Loans [Member] | Consumer Real Estate [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 8,105 | 9,714 |
Purchased Credit Impaired Loans [Member] | Consumer Real Estate [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 126 | 539 |
Purchased Credit Impaired Loans [Member] | Consumer Real Estate [Member] | Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 56 | 68 |
Purchased Credit Impaired Loans [Member] | Consumer Real Estate [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,109 | 1,512 |
Purchased Credit Impaired Loans [Member] | Construction and Land Development [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 2,440 | 2,882 |
Purchased Credit Impaired Loans [Member] | Construction and Land Development [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,954 | 2,335 |
Purchased Credit Impaired Loans [Member] | Construction and Land Development [Member] | Watch [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 44 | 91 |
Purchased Credit Impaired Loans [Member] | Construction and Land Development [Member] | Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 442 | 456 |
Purchased Credit Impaired Loans [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 2,518 | 2,516 |
Purchased Credit Impaired Loans [Member] | Commercial and Industrial [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 2,518 | 2,516 |
Purchased Credit Impaired Loans [Member] | Leases [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,975 | 3,170 |
Purchased Credit Impaired Loans [Member] | Leases [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 1,975 | 3,170 |
Purchased Credit Impaired Loans [Member] | Consumer and Other [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | 14 | 71 |
Purchased Credit Impaired Loans [Member] | Consumer and Other [Member] | Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total loans | $ 14 | $ 71 |
Loans and Leases and Allowanc_8
Loans and Leases and Allowance for Loan and Lease Losses - Past Due Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual restructured loans | $ 3,413 | $ 3,124 |
Total Past Due | 5,013 | 6,119 |
Total loans | 2,994,074 | 2,693,397 |
Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 2,954,029 | 2,645,931 |
Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 1,578 | 2,798 |
Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 22 | 133 |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 64 | |
Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual restructured loans | 303 | 858 |
Total Past Due | 344 | 1,030 |
Total loans | 1,534,588 | 1,384,156 |
Commercial Real Estate [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 1,515,555 | 1,362,251 |
Commercial Real Estate [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 41 | 172 |
Consumer Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual restructured loans | 2,171 | 2,139 |
Total Past Due | 3,029 | 3,033 |
Total loans | 533,582 | 477,272 |
Consumer Real Estate [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 521,157 | 462,406 |
Consumer Real Estate [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 858 | 884 |
Consumer Real Estate [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 10 | |
Construction and Land Development [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual restructured loans | 858 | |
Total Past Due | 901 | 91 |
Total loans | 364,368 | 278,386 |
Construction and Land Development [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 361,027 | 275,413 |
Construction and Land Development [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 43 | 91 |
Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual restructured loans | 43 | 116 |
Total Past Due | 390 | 1,471 |
Total loans | 483,588 | 488,024 |
Commercial and Industrial [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 480,680 | 484,037 |
Commercial and Industrial [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 327 | 1,191 |
Commercial and Industrial [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 20 | 119 |
Commercial and Industrial [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 45 | |
Leases [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual restructured loans | 29 | |
Total Past Due | 183 | 361 |
Total loans | 63,264 | 53,708 |
Leases [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 61,106 | 50,177 |
Leases [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 154 | 361 |
Consumer and Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual restructured loans | 9 | 11 |
Total Past Due | 166 | 133 |
Total loans | 14,684 | 11,851 |
Consumer and Other [Member] | Financial Asset, Not Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 14,504 | 11,647 |
Consumer and Other [Member] | Financial Asset, 30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 155 | 99 |
Consumer and Other [Member] | Financial Asset, 60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 2 | 4 |
Consumer and Other [Member] | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 19 | |
Purchased Credit Impaired Loans [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 35,032 | 41,347 |
Total loans | 35,032 | 41,347 |
Purchased Credit Impaired Loans [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 18,689 | 20,875 |
Total loans | 18,689 | 20,875 |
Purchased Credit Impaired Loans [Member] | Consumer Real Estate [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 9,396 | 11,833 |
Total loans | 9,396 | 11,833 |
Purchased Credit Impaired Loans [Member] | Construction and Land Development [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 2,440 | 2,882 |
Total loans | 2,440 | 2,882 |
Purchased Credit Impaired Loans [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 2,518 | 2,516 |
Total loans | 2,518 | 2,516 |
Purchased Credit Impaired Loans [Member] | Leases [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 1,975 | 3,170 |
Total loans | 1,975 | 3,170 |
Purchased Credit Impaired Loans [Member] | Consumer and Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Accruing and Current Loans | 14 | 71 |
Total loans | $ 14 | $ 71 |
Loans and Leases and Allowanc_9
Loans and Leases and Allowance for Loan and Lease Losses - Impaired Loan Portfolio (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans with a valuation allowance, Related Allowance | $ 573 | $ 573 | $ 740 | ||
Total impaired loans, Recorded Investment | 4,426 | 4,426 | 4,861 | ||
Total impaired loans, Unpaid Principal Balance | 4,463 | 4,463 | 5,203 | ||
Total impaired loans, Average Recorded Investment | 4,363 | $ 6,018 | 4,751 | $ 6,309 | |
Total impaired loans, Interest Income Recognized | 26 | 38 | 83 | 183 | |
All Other Loans and leases [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans without a valuation allowance, Recorded Investment | 2,151 | 2,151 | 1,805 | ||
Impaired loans without a valuation allowance, Unpaid Principal Balance | 2,151 | 2,151 | 1,806 | ||
Impaired loans with a valuation allowance, Recorded Investment | 858 | 858 | 1,215 | ||
Impaired loans with a valuation allowance, Unpaid Principal Balance | 858 | 858 | 1,217 | ||
Impaired loans with a valuation allowance, Related Allowance | 395 | 395 | 561 | ||
Impaired loans without a valuation allowance, Average Recorded Investment | 2,109 | 2,098 | 2,008 | 2,985 | |
Impaired loans without a valuation allowance, Interest Income Recognized | 3 | 8 | 20 | 21 | |
Impaired loans with a valuation allowance, Average Recorded Investment | 858 | 2,526 | 977 | 1,875 | |
Impaired loans with a valuation allowance, Interest Income Recognized | 8 | 117 | |||
All Other Loans and leases [Member] | Commercial Real Estate [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans without a valuation allowance, Recorded Investment | 303 | 303 | |||
Impaired loans without a valuation allowance, Unpaid Principal Balance | 303 | 303 | |||
Impaired loans with a valuation allowance, Recorded Investment | 858 | ||||
Impaired loans with a valuation allowance, Unpaid Principal Balance | 859 | ||||
Impaired loans with a valuation allowance, Related Allowance | 396 | ||||
Impaired loans without a valuation allowance, Average Recorded Investment | 152 | 65 | 101 | 1,334 | |
Impaired loans without a valuation allowance, Interest Income Recognized | 1 | ||||
Impaired loans with a valuation allowance, Average Recorded Investment | 429 | 2,007 | 572 | 1,338 | |
Impaired loans with a valuation allowance, Interest Income Recognized | 2 | 104 | |||
All Other Loans and leases [Member] | Consumer Real Estate [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans without a valuation allowance, Recorded Investment | 1,848 | 1,848 | 1,805 | ||
Impaired loans without a valuation allowance, Unpaid Principal Balance | 1,848 | 1,848 | 1,806 | ||
Impaired loans with a valuation allowance, Recorded Investment | 260 | ||||
Impaired loans with a valuation allowance, Unpaid Principal Balance | 262 | ||||
Impaired loans with a valuation allowance, Related Allowance | 69 | ||||
Impaired loans without a valuation allowance, Average Recorded Investment | 1,957 | 2,033 | 1,907 | 1,651 | |
Impaired loans without a valuation allowance, Interest Income Recognized | 3 | 8 | 20 | 20 | |
Impaired loans with a valuation allowance, Average Recorded Investment | 360 | 87 | 383 | ||
Impaired loans with a valuation allowance, Interest Income Recognized | 3 | 8 | |||
All Other Loans and leases [Member] | Construction and Land Development [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans with a valuation allowance, Recorded Investment | 858 | 858 | |||
Impaired loans with a valuation allowance, Unpaid Principal Balance | 858 | 858 | |||
Impaired loans with a valuation allowance, Related Allowance | 395 | 395 | |||
Impaired loans with a valuation allowance, Average Recorded Investment | 429 | 286 | |||
All Other Loans and leases [Member] | Commercial and Industrial [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans with a valuation allowance, Recorded Investment | 97 | ||||
Impaired loans with a valuation allowance, Unpaid Principal Balance | 96 | ||||
Impaired loans with a valuation allowance, Related Allowance | 96 | ||||
Impaired loans with a valuation allowance, Average Recorded Investment | 159 | 32 | 154 | ||
Impaired loans with a valuation allowance, Interest Income Recognized | 3 | 5 | |||
Purchased Credit Impaired Loans [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans without a valuation allowance, Recorded Investment | 1,417 | 1,417 | 1,841 | ||
Impaired loans with a valuation allowance, Unpaid Principal Balance | 1,454 | 1,454 | 2,180 | ||
Impaired loans with a valuation allowance, Related Allowance | 178 | 178 | 179 | ||
Impaired loans with a valuation allowance, Average Recorded Investment | 1,396 | 1,394 | 1,766 | 1,449 | |
Impaired loans with a valuation allowance, Interest Income Recognized | 23 | 22 | 63 | 45 | |
Purchased Credit Impaired Loans [Member] | Commercial Real Estate [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans without a valuation allowance, Recorded Investment | 528 | 528 | 707 | ||
Impaired loans with a valuation allowance, Unpaid Principal Balance | 603 | 603 | 926 | ||
Impaired loans with a valuation allowance, Related Allowance | 35 | 35 | 30 | ||
Impaired loans with a valuation allowance, Average Recorded Investment | 538 | 885 | |||
Impaired loans with a valuation allowance, Interest Income Recognized | 11 | 35 | |||
Purchased Credit Impaired Loans [Member] | Consumer Real Estate [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans without a valuation allowance, Recorded Investment | 887 | 887 | 1,129 | ||
Impaired loans with a valuation allowance, Unpaid Principal Balance | 850 | 850 | 1,251 | ||
Impaired loans with a valuation allowance, Related Allowance | 142 | 142 | 148 | ||
Impaired loans with a valuation allowance, Average Recorded Investment | 855 | 1,115 | 878 | 1,165 | |
Impaired loans with a valuation allowance, Interest Income Recognized | 12 | 21 | 28 | 43 | |
Purchased Credit Impaired Loans [Member] | Commercial and Industrial [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans with a valuation allowance, Average Recorded Investment | 263 | 266 | |||
Impaired loans with a valuation allowance, Interest Income Recognized | 1 | 2 | |||
Purchased Credit Impaired Loans [Member] | Consumer and Other [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
Impaired loans without a valuation allowance, Recorded Investment | 2 | 2 | 5 | ||
Impaired loans with a valuation allowance, Unpaid Principal Balance | 1 | 1 | 3 | ||
Impaired loans with a valuation allowance, Related Allowance | 1 | 1 | $ 1 | ||
Impaired loans with a valuation allowance, Average Recorded Investment | $ 3 | $ 16 | $ 3 | $ 18 |
Loans and Leases and Allowan_10
Loans and Leases and Allowance for Loan and Lease Losses - Purchased Credit Impaired Loans (Details) - Purchased Credit Impaired Loans [Member] - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||
Total loans | $ 49,503 | $ 56,620 |
Less remaining purchase discount | (14,471) | (15,273) |
Total loans, net of purchase discount | 35,032 | 41,347 |
Less: Allowance for loan losses | (178) | (179) |
Carrying amount, net of allowance | 34,854 | 41,168 |
Commercial Real Estate [Member] | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||
Total loans | 29,312 | 31,600 |
Consumer Real Estate [Member] | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||
Total loans | 11,438 | 14,215 |
Construction and Land Development [Member] | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||
Total loans | 3,357 | 3,699 |
Commercial and Industrial [Member] | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||
Total loans | 3,072 | 3,424 |
Leases [Member] | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||
Total loans | 2,272 | 3,557 |
Consumer and Other [Member] | ||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Line Items] | ||
Total loans | $ 52 | $ 125 |
Loans and Leases and Allowan_11
Loans and Leases and Allowance for Loan and Lease Losses - Accretable Yield Roll Forward (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | ||||
Accretable yield, beginning of period | $ 21,281 | $ 14,705 | ||
Additions | 649 | |||
Accretion income | (845) | (1,098) | ||
Reclassification | 129 | 1,340 | ||
Other changes, net | (4,829) | (1,074) | ||
Accretable yield, end of period | 15,736 | 14,522 | $ 15,736 | $ 14,522 |
Purchased Credit Impaired Loans [Member] | ||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | ||||
Accretable yield, beginning of period | 14,618 | 16,889 | ||
Additions | 649 | |||
Accretion income | (1,941) | (3,029) | ||
Reclassification | 398 | 1,677 | ||
Other changes, net | 2,661 | (1,664) | ||
Accretable yield, end of period | $ 15,736 | $ 14,522 | $ 15,736 | $ 14,522 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | |
Amortization of intangibles | $ 633 | $ 441 | $ 1,270 | $ 886 | ||
Goodwill | 91,565 | 91,565 | $ 91,565 | $ 74,135 | ||
Adjustment, due to Sale | $ 2,464 | |||||
Other Intangible Assets [Member] | ||||||
Amortization of intangibles | $ 633 | $ 441 | $ 1,300 | $ 886 | ||
Customer Relationships [Member] | ||||||
Intangible asset, useful life | 8 years 7 months 6 days | |||||
Trade Names [Member] | ||||||
Intangible asset, useful life | 5 years |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Schedule of Goodwill (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2021 USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, Beginning Balance | $ 74,135 |
Adjustment, due to Sale | (2,464) |
Goodwill, Ending Balance | 91,565 |
Fountain Leasing Limited Liability Company [Member] | |
Goodwill [Roll Forward] | |
Acquisition of business | 2,400 |
Progressive Financial Group Inc. [Member] | |
Goodwill [Roll Forward] | |
Acquisition of business | 323 |
Sevier County Bancshares Inc [Member] | |
Goodwill [Roll Forward] | |
Acquisition of business | $ 17,171 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Schedule of Finite-Lived Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Jun. 30, 2022 | |
Finite-lived Intangible Assets [Roll Forward] | ||
Balance, beginning of period | $ 17,047 | |
Balance, end of period | 21,255 | |
Less: accumulated amortization | (6,968) | $ (8,238) |
Total | 14,287 | 13,017 |
Fountain Leasing Limited Liability Company [Member] | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Acquisition of business | 2,658 | |
Sevier County Bancshares Inc [Member] | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Acquisition of business | 1,550 | |
Core Deposits [Member] | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Balance, beginning of period | 15,920 | |
Balance, end of period | 17,470 | |
Less: accumulated amortization | (6,212) | (7,125) |
Total | 11,258 | 10,345 |
Core Deposits [Member] | Sevier County Bancshares Inc [Member] | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Acquisition of business | 1,550 | |
Customer Relationships [Member] | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Balance, beginning of period | 1,064 | |
Balance, end of period | 3,722 | |
Less: accumulated amortization | (733) | (1,084) |
Total | 2,989 | 2,638 |
Customer Relationships [Member] | Fountain Leasing Limited Liability Company [Member] | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Acquisition of business | 2,658 | |
Trade Names [Member] | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Balance, beginning of period | 63 | |
Balance, end of period | 63 | |
Less: accumulated amortization | (23) | (29) |
Total | $ 40 | $ 34 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Schedule of Finite-Lived Intangible Assets, Future Amortization Expense (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2022 | $ 1,251 | |
2023 | 2,356 | |
2024 | 2,203 | |
2025 | 2,041 | |
2026 | 1,888 | |
Thereafter | 3,278 | |
Total | $ 13,017 | $ 14,287 |
Borrowings, Line of Credit an_3
Borrowings, Line of Credit and Subordinated Debt - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Sep. 01, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | Sep. 28, 2018 | |
Debt Instrument [Line Items] | |||||||
Borrowings | $ 12,500 | $ 12,500 | $ 87,600 | ||||
Other borrowings | 7,500 | 7,500 | 7,500 | ||||
Securities sold under agreements to repurchase | 5,049 | 5,049 | 5,085 | ||||
Repayment borrowings | 75,000 | $ 396 | |||||
Securities sold under agreements to repurchase, average balance | 5,100 | $ 5,800 | 5,100 | 5,800 | |||
Securities sold under agreements to repurchase, maximum month-end balance | 5,500 | 7,200 | 5,500 | 7,200 | |||
Amortization expense of debt issuance costs | 42 | $ 42 | |||||
Securities available-for-sale, at fair value | 524,864 | 524,864 | 482,453 | ||||
US Government-sponsored Enterprises Debt Securities [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Securities available-for-sale, at fair value | 423 | 423 | 21,801 | ||||
US Government-sponsored Enterprises Debt Securities [Member] | Asset Pledged as Collateral [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Securities available-for-sale, at fair value | 9,500 | 9,500 | 10,100 | ||||
Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Line of credit facility, maximum borrowing capacity | 25,000 | 25,000 | |||||
Outstanding borrowings | 7,500 | 7,500 | |||||
Remaining borrowing capacity | 17,500 | 17,500 | |||||
Federal Home Loan Bank Advances [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Repayment borrowings | 75,000 | ||||||
Subordinated Debt [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Principal amount | $ 40,000 | ||||||
Interest rate | 5.625% | ||||||
Debt issuance costs | 527 | $ 527 | $ 570 | ||||
Amortization expense of debt issuance costs | $ 21 | $ 21 | |||||
Subordinated Debt [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate (as a percent) | 2.55% | ||||||
Subordinated Debt [Member] | Sevier County Bancshares Inc [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate | 6.75% | ||||||
Subordinated Debt [Member] | Sevier County Bancshares Inc [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread on variable rate (as a percent) | 5.3025% |
Borrowings, Line of Credit an_4
Borrowings, Line of Credit and Subordinated Debt - Schedule of debt (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Borrowings, Line of Credit and Subordinated Debt [Abstract] | ||
Securities sold under agreements to repurchase | $ 5,049 | $ 5,085 |
Long-term federal home loan bank advances | 75,000 | |
Other Borrowings | 7,500 | 7,500 |
Total | $ 12,549 | $ 87,585 |
Employee Benefit Plans (Narrati
Employee Benefit Plans (Narrative) (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 USD ($) shares | Jun. 30, 2021 USD ($) shares | Jun. 30, 2022 USD ($) plan $ / shares shares | Jun. 30, 2021 USD ($) shares | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Number of stock option plans | plan | 1 | |||
Deferred tax benefit from stock options exercised | $ 8 | $ 8 | $ 84 | $ 9 |
Options, exercises in period, intrinsic value | $ 50 | $ 27 | $ 555 | $ 220 |
Exercise of options | shares | 3,850 | 3,075 | 31,400 | 19,040 |
Deferred Salary Reduction Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Contribution to the Plan | $ 453 | $ 350 | $ 847 | $ 638 |
Stock Options [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Options, outstanding, intrinsic value | 619,000 | 619,000 | ||
Proceeds from options exercised | 263 | |||
Stock Appreciation Rights (SARs) [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Share-based compensation expense | 64 | 113 | ||
Share-based compensation income | 17 | $ 43 | ||
Exercise of options | shares | 6,500 | |||
Restricted Stock [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Share-based compensation expense | 398 | $ 162 | $ 710 | $ 363 |
Unrecognized compensation cost | $ 1,500 | $ 1,500 | ||
Unrecognized compensation costs, period for recognition | 1 year 11 months 15 days | |||
Grant-date fair value | $ 148 | |||
Vested (in shares) | shares | 6,646 | |||
Nonvested, beginning of period (in shares) | shares | 144,367 | |||
Nonvested, beginning balance (in dollars per share) | $ / shares | $ 19.49 | |||
2015 Stock Incentive Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Rights available for grant (in shares) | shares | 1,766,245 | 1,766,245 | ||
Cornerstone Non-Qualified Plan Options [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Rights issued (in shares) | shares | 31,290 | |||
Capstone Stock Option Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Rights issued (in shares) | shares | 2,266 | |||
401 (k) Matching Range One [Member] | Deferred Salary Reduction Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Employer matching contribution, percent of match | 100% | |||
Employer matching contribution, percent of employees gross pay | 3% | |||
401 (k) Matching Range Two [Member] | Deferred Salary Reduction Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Employer matching contribution, percent of match | 50% | |||
Employer matching contribution, percent of employees gross pay | 2% |
Employee Benefit Plans - Stock
Employee Benefit Plans - Stock Option Activity (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Number | ||||
Exercised (in shares) | (3,850) | (3,075) | (31,400) | (19,040) |
Officer and Employee Plans [Member] | ||||
Number | ||||
Outstanding (in shares) | 79,667 | |||
Exercised (in shares) | (31,400) | |||
Outstanding (in shares) | 48,267 | 48,267 | ||
Weighted Average Exercisable Price | ||||
Weighted Average Exercisable Price, Outstanding (in dollars per share) | $ 10.17 | |||
Weighted Average Exercisable Price Exercised (in dollars per share) | 8.39 | |||
Weighted Average Exercise Price, Outstanding (in dollars per share) | $ 11.33 | $ 11.33 |
Employee Benefit Plans (Options
Employee Benefit Plans (Options Outstanding by Exercise Price Range) (Details) - Officer and Employee Plans [Member] - $ / shares | 6 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise Prices (in dollars per share) | $ 11.33 | $ 10.17 |
Number Outstanding (in shares) | 48,267 | 79,667 |
Options Outstanding, Weighted Average Remaining Life | 1 year 7 months 6 days | |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 11.33 | |
Exercisable (in shares) | 48,267 | |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 11.33 | |
9.48 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise Prices (in dollars per share) | $ 9.48 | |
Number Outstanding (in shares) | 14,540 | |
Options Outstanding, Weighted Average Remaining Life | 8 months 12 days | |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 9.48 | |
Exercisable (in shares) | 14,540 | |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 9.48 | |
9.60 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise Prices (in dollars per share) | $ 9.60 | |
Number Outstanding (in shares) | 16,750 | |
Options Outstanding, Weighted Average Remaining Life | 1 year 5 months 8 days | |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 9.60 | |
Exercisable (in shares) | 16,750 | |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 9.60 | |
11.76 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise Prices (in dollars per share) | $ 11.76 | |
Number Outstanding (in shares) | 2,266 | |
Options Outstanding, Weighted Average Remaining Life | 0 years | |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 11.76 | |
Exercisable (in shares) | 2,266 | |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 11.76 | |
15.05 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise Prices (in dollars per share) | $ 15.05 | |
Number Outstanding (in shares) | 14,711 | |
Options Outstanding, Weighted Average Remaining Life | 2 years 11 months 4 days | |
Options Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 15.05 | |
Exercisable (in shares) | 14,711 | |
Options Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 15.05 |
Employee Benefit Plans (Schedul
Employee Benefit Plans (Schedule of Non-vested Restricted Stock) (Details) - Restricted Stock [Member] | 6 Months Ended |
Jun. 30, 2022 $ / shares shares | |
Number | |
Nonvested, beginning of period (in shares) | shares | 144,367 |
Granted (in shares) | shares | 23,115 |
Vested (in shares) | shares | (6,646) |
Nonvested, end of period (in shares) | shares | 160,836 |
Weighted Average Grant-Date Fair Value | |
Nonvested, beginning balance (in dollars per share) | $ / shares | $ 19.49 |
Granted (in dollars per share) | $ / shares | 26.57 |
Vested (in dollars per share) | $ / shares | 22.25 |
Nonvested, ending balance (in dollars per share) | $ / shares | $ 20.39 |
Employee Benefit Plans - Stoc_2
Employee Benefit Plans - Stock Appreciation Right Activity (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Number | ||||
Exercised (in shares) | (3,850) | (3,075) | (31,400) | (19,040) |
Stock Appreciation Rights (SARs) [Member] | ||||
Number | ||||
Outstanding (in shares) | 55,000 | |||
Exercised (in shares) | (6,500) | |||
Outstanding (in shares) | 48,500 | 48,500 | ||
Weighted Average Exercisable Price | ||||
Weighted Average Exercisable Price, Outstanding (in dollars per share) | $ 18.21 | |||
Weighted Average Exercisable Price Exercised (in dollars per share) | 18.12 | |||
Weighted Average Exercise Price, Outstanding (in dollars per share) | $ 18.22 | $ 18.22 |
Employee Benefit Plans - SARs O
Employee Benefit Plans - SARs Outstanding by Exercise Price Range (Details) - Stock Appreciation Rights (SARs) [Member] - $ / shares | 6 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise Prices (in dollars per share) | $ 18.22 | $ 18.21 |
Number Outstanding (in shares) | 48,500 | 55,000 |
SARs Outstanding, Weighted Average Remaining Life | 1 year 7 months 28 days | |
SARs Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 18.22 | |
SARs Exercisable, Number Exercisable (in shares) | 12,500 | |
SARs Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 18.12 | |
15.19 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise Prices (in dollars per share) | $ 15.19 | |
Number Outstanding (in shares) | 16,000 | |
SARs Outstanding, Weighted Average Remaining Life | 1 year 6 months | |
SARs Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 15.19 | |
18.12 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise Prices (in dollars per share) | $ 18.12 | |
Number Outstanding (in shares) | 12,500 | |
SARs Outstanding, Weighted Average Remaining Life | 6 months | |
SARs Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 18.12 | |
SARs Exercisable, Number Exercisable (in shares) | 12,500 | |
SARs Exercisable, Weighted Average Exercise Price (in dollars per share) | $ 18.12 | |
20.70 [Member] | ||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||
Exercise Prices (in dollars per share) | $ 20.70 | |
Number Outstanding (in shares) | 20,000 | |
SARs Outstanding, Weighted Average Remaining Life | 2 years 6 months 3 days | |
SARs Outstanding, Weighted Average Exercise Price (in dollars per share) | $ 20.70 |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Commitments and Contingencies Disclosure [Abstract] | ||
Commitments to extend credit | $ 747,309 | $ 669,770 |
Standby letters of credit | $ 17,474 | $ 17,868 |
Fair Value Disclosures - Assets
Fair Value Disclosures - Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | $ 524,864 | $ 482,453 |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Other Liabilities | |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | $ 524,864 | 482,453 |
Interest rate swaps agreements for customer loans | 5,021 | 1,326 |
Derivative financial instruments and interest rate swap agreements | 5,077 | 4,893 |
US Treasury Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 225,021 | 137,758 |
US Government-sponsored Enterprises Debt Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 423 | 21,801 |
Municipal securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 53,157 | 67,820 |
Other Debt Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 27,851 | 27,220 |
Mortgage-backed securities (GSEs) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | $ 218,412 | $ 227,854 |
Interest Rate Swap [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets | Other Assets |
Fair Value, Recurring [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | $ 524,864 | $ 482,453 |
Total assets at fair value | 529,885 | 483,779 |
Derivative financial instruments and interest rate swap agreements | 5,077 | 4,893 |
Fair Value, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 524,864 | 482,453 |
Total assets at fair value | 529,885 | 483,779 |
Derivative financial instruments and interest rate swap agreements | 5,077 | 4,893 |
Fair Value, Recurring [Member] | US Treasury Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 225,021 | 137,758 |
Fair Value, Recurring [Member] | US Treasury Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 225,021 | 137,758 |
Fair Value, Recurring [Member] | US Government-sponsored Enterprises Debt Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 423 | 21,801 |
Fair Value, Recurring [Member] | US Government-sponsored Enterprises Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 423 | 21,801 |
Fair Value, Recurring [Member] | Municipal securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 53,157 | 67,820 |
Fair Value, Recurring [Member] | Municipal securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 53,157 | 67,820 |
Fair Value, Recurring [Member] | Other Debt Securities [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 27,851 | 27,220 |
Fair Value, Recurring [Member] | Other Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 27,851 | 27,220 |
Fair Value, Recurring [Member] | Mortgage-backed securities (GSEs) [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 218,412 | 227,854 |
Fair Value, Recurring [Member] | Mortgage-backed securities (GSEs) [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 218,412 | 227,854 |
Fair Value, Recurring [Member] | Interest Rate Swap [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | 1,326 | |
Interest rate swaps agreements for customer loans | 5,021 | |
Fair Value, Recurring [Member] | Interest Rate Swap [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Securities available-for-sale, at fair value | $ 1,326 | |
Interest rate swaps agreements for customer loans | $ 5,021 |
Fair Value Disclosures (Assets
Fair Value Disclosures (Assets and Liabilities Measured on Nonrecurring Basis) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
OREO | $ 367 | |
Collateral dependent loans | $ 1,702 | 2,280 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
OREO | 367 | |
Collateral dependent loans | $ 1,702 | $ 2,280 |
Fair Value Disclosures - Unobse
Fair Value Disclosures - Unobservable Inputs (Details) $ in Thousands | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Collateral dependent loans | $ 1,702 | $ 2,280 |
OREO | 367 | |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Collateral dependent loans | 1,702 | 2,280 |
OREO | 367 | |
Appraisal And Discounted Cash Flow [Member] | Fair Value, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Collateral dependent loans | $ 1,702 | 2,280 |
OREO | $ 367 | |
Appraisal And Discounted Cash Flow [Member] | Measurement Input, Discount Rate [Member] | Weighted Average [Member] | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Collateral dependent, measurement input | 25 | 25 |
OREO, measurement input | 13 |
Fair Value Disclosures - Carryi
Fair Value Disclosures - Carrying Amount and Estimated Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Assets: | ||
Securities available-for-sale, at fair value | $ 524,864 | $ 482,453 |
Securities held to maturity, fair value | 267,678 | 76,946 |
Liabilities: | ||
Noninterest-bearing demand deposits | 1,162,843 | 1,055,125 |
Interest-bearing demand deposits | 999,893 | 899,158 |
Time deposits | 511,182 | 574,648 |
Carrying Amount [Member] | ||
Assets: | ||
Cash and cash equivalents | 654,945 | 1,045,077 |
Securities available-for-sale, at fair value | 524,864 | 482,453 |
Securities held to maturity, fair value | 288,363 | 76,969 |
Other investments | 16,569 | 16,494 |
Loans, net and loans held for sale | 2,973,843 | 2,679,148 |
Interest rate swaps agreements for customer loans | 5,021 | 1,326 |
Liabilities: | ||
Noninterest-bearing demand deposits | 1,162,843 | 1,055,125 |
Interest-bearing demand deposits | 999,893 | 899,158 |
Money market and savings deposits | 1,607,714 | 1,493,007 |
Time deposits | 511,182 | 574,648 |
Borrowings | 12,549 | 87,585 |
Subordinated debt | 41,973 | 41,930 |
Derivative financial instruments and interest rate swap agreements | 5,077 | 4,893 |
Estimated Fair Value [Member] | ||
Assets: | ||
Cash and cash equivalents | 654,945 | 1,045,077 |
Securities available-for-sale, at fair value | 524,864 | 482,453 |
Securities held to maturity, fair value | 267,678 | 76,946 |
Loans, net and loans held for sale | 2,905,098 | 2,676,181 |
Interest rate swaps agreements for customer loans | 5,021 | 1,326 |
Liabilities: | ||
Noninterest-bearing demand deposits | 1,162,843 | 1,055,125 |
Interest-bearing demand deposits | 999,893 | 899,158 |
Money market and savings deposits | 1,607,714 | 1,493,007 |
Time deposits | 511,091 | 576,598 |
Borrowings | 12,549 | 88,082 |
Subordinated debt | 41,851 | 43,374 |
Derivative financial instruments and interest rate swap agreements | 5,077 | 4,893 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets: | ||
Cash and cash equivalents | 654,945 | 1,045,077 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets: | ||
Securities available-for-sale, at fair value | 524,864 | 482,453 |
Securities held to maturity, fair value | 267,678 | 76,946 |
Interest rate swaps agreements for customer loans | 5,021 | 1,326 |
Liabilities: | ||
Noninterest-bearing demand deposits | 1,162,843 | 1,055,125 |
Interest-bearing demand deposits | 999,893 | 899,158 |
Money market and savings deposits | 1,607,714 | 1,493,007 |
Time deposits | 511,091 | 576,598 |
Borrowings | 12,549 | 88,082 |
Derivative financial instruments and interest rate swap agreements | 5,077 | 4,893 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets: | ||
Loans, net and loans held for sale | 2,905,098 | 2,676,181 |
Liabilities: | ||
Subordinated debt | $ 41,851 | $ 43,374 |
Derivatives Financial Instrum_3
Derivatives Financial Instruments - Fair Value Hedges on Balance Sheet (Details) - Interest Rate Swap Liability [Member] - Designated as Hedging Instrument [Member] - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 | Dec. 31, 2021 | |
Derivatives, Fair Value [Line Items] | ||
Weighted Average Remaining Maturity (In Years) | 5 years 8 months 12 days | 6 years 2 months 12 days |
Weighted Average Pay Rate | 3.09% | 3.09% |
Notional Amount | $ 36,000 | $ 36,000 |
Estimated Fair Value | $ (56) | $ (3,567) |
Derivatives Financial Instrum_4
Derivatives Financial Instruments - Fair Value Hedges on Income Statement (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Reported interest income on tax-exempt securities | $ 441 | $ 304 | $ 809 | $ 563 |
Carrying amount of hedged asset | 37,977 | 43,580 | 37,977 | 43,580 |
Interest Rate Swap [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (loss) on fair value hedging relationship | 1,662 | (459) | 3,511 | 1,706 |
Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest income on tax-exempt securities | 387 | 562 | 780 | 1,126 |
Effects of fair value hedge relationships | (190) | (258) | (444) | (563) |
Reported interest income on tax-exempt securities | 197 | 304 | 336 | 563 |
Gain (loss) on fair value hedging relationship | $ (1,662) | $ 459 | $ (3,511) | $ (1,706) |
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Reported interest income on tax-exempt securities | Reported interest income on tax-exempt securities | Reported interest income on tax-exempt securities | Reported interest income on tax-exempt securities |
Derivatives Financial Instrum_5
Derivatives Financial Instruments - Interest Rate Swaps related to Loan Hedging Program (Details) - Interest Rate Swap [Member] - Non-hedged derivatives [Member] - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Derivatives, Fair Value [Line Items] | ||
Notional Amount, Asset | $ 146,639 | $ 48,125 |
Estimated Fair Value, Asset | 5,021 | 1,326 |
Notional Amount, Liability | 146,639 | 48,125 |
Estimated Fair Value, Liability | $ (5,021) | $ (1,326) |
Derivatives Financial Instrum_6
Derivatives Financial Instruments - Interest Rate Swaps to Facilitate Customer's Transactions (Details) - Interest Rate Swap [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Transaction on income statement | $ 1,662 | $ (459) | $ 3,511 | $ 1,706 |
Non-hedged derivatives [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Transaction on income statement | $ 876 | $ 10 | $ 1,396 | $ 10 |
Leases - Lease Assets and Liabi
Leases - Lease Assets and Liabilities (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 9,145 | $ 9,812 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Other Assets | Other Assets |
Operating lease liabilities | $ 9,252 | $ 9,881 |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | Other Liabilities | Other Liabilities |
Lessee, Operating Lease, Existence of Option to Extend [true false] | true |
Leases (Narrative) (Details)
Leases (Narrative) (Details) | Jun. 30, 2022 |
Leases [Abstract] | |
Weighted average remaining lease term | 9 years 7 months 28 days |
Weighted average discount rate | 2.12% |
Leases - Lease Costs and Other
Leases - Lease Costs and Other Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Lease costs: | ||||
Operating lease costs | $ 403 | $ 254 | $ 817 | $ 494 |
Variable lease costs | 25 | 24 | 50 | 48 |
Total | 428 | 278 | 867 | 542 |
Cash paid for amounts included in the measurement of lease liabilities: | ||||
Operating cash flows from operating leases | $ 382 | $ 250 | $ 778 | $ 483 |
Leases - Future Minimum Payment
Leases - Future Minimum Payments (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Leases [Abstract] | ||
June 30, 2023 | $ 759 | |
June 30, 2024 | 1,290 | |
June 30, 2025 | 1,079 | |
June 30, 2026 | 1,047 | |
June 30, 2027 | 946 | |
Thereafter | 5,250 | |
Total future minimum lease payments | 10,371 | |
Amounts representing interest | (1,119) | |
Present value of net future minimum lease payments | $ 9,252 | $ 9,881 |
Regulatory Matters (Narrative)
Regulatory Matters (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2022 $ / shares | |
Banking and Thrift [Abstract] | |
Common stock dividends, quarterly (in dollars per share) | $ 0.07 |
Regulatory Matters (Regulatory
Regulatory Matters (Regulatory Capital Levels) (Details) $ in Thousands | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) |
SmartFinancial, Inc. [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to Risk-Weighted Assets), Actual Amount | $ 407,413 | $ 386,627 |
Tier 1 Capital (to Risk-Weighted Assets), Actual Amount | 343,502 | 325,345 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Actual Amount | 343,502 | 325,345 |
Tier 1 Capital (to Average Assets), Actual Amount | $ 343,502 | $ 325,345 |
Total Capital (to Risk-Weighted Assets), Actual Ratio (as a percent) | 11.80 | 12.55 |
Tier 1 Capital (to Risk-Weighted Assets), Actual Ratio (as a percent) | 9.95 | 10.56 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Actual Ratio (as a percent) | 9.95% | 10.56% |
Tier 1 Capital (to Average Assets), Actual Ratio (as a percent) | 7.48 | 7.45 |
Total Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Amount | $ 276,136 | $ 246,483 |
Tier 1 Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Amount | 207,102 | 184,862 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Amount | 155,326 | 138,647 |
Tier 1 Capital (to Average Assets), Minimum for capital adequacy purposes Amount | $ 183,749 | $ 174,578 |
Total Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Ratio (as a percent) | 8 | 8 |
Tier 1 Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Ratio (as a percent) | 6 | 6 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Ratio (as a percent) | 4.50% | 4.50% |
Tier 1 Capital (to Average Assets), Minimum for capital adequacy purposes Ratio (as a percent) | 4 | 4 |
Smart Bank [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to Risk-Weighted Assets), Actual Amount | $ 404,412 | $ 378,055 |
Tier 1 Capital (to Risk-Weighted Assets), Actual Amount | 382,474 | 358,703 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Actual Amount | 382,474 | 358,703 |
Tier 1 Capital (to Average Assets), Actual Amount | $ 382,474 | $ 358,703 |
Total Capital (to Risk-Weighted Assets), Actual Ratio (as a percent) | 11.72 | 12.29 |
Tier 1 Capital (to Risk-Weighted Assets), Actual Ratio (as a percent) | 11.08 | 11.66 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Actual Ratio (as a percent) | 11.08% | 11.66% |
Tier 1 Capital (to Average Assets), Actual Ratio (as a percent) | 8.33 | 8.23 |
Total Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Amount | $ 276,138 | $ 246,053 |
Tier 1 Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Amount | 207,104 | 184,539 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Amount | 155,328 | 138,405 |
Tier 1 Capital (to Average Assets), Minimum for capital adequacy purposes Amount | $ 183,745 | $ 174,384 |
Total Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Ratio (as a percent) | 8 | 8 |
Tier 1 Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Ratio (as a percent) | 6 | 6 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Minimum for capital adequacy purposes Ratio (as a percent) | 4.50% | 4.50% |
Tier 1 Capital (to Average Assets), Minimum for capital adequacy purposes Ratio (as a percent) | 4 | 4 |
Total Capital (to Risk-Weighted Assets), Minimum to be well capitalized under prompt corrective action provisions Amount | $ 345,173 | $ 307,566 |
Tier 1 Capital (to Risk-Weighted Assets), Minimum to be well capitalized under prompt corrective action provisions Amount | 276,138 | 246,053 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Minimum to be well capitalized under prompt corrective action provisions Amount | 224,362 | 199,918 |
Tier 1 Capital (to Average Assets), Minimum to be well capitalized under prompt corrective action provisions Amount | $ 229,682 | $ 217,980 |
Total Capital (to Risk-Weighted Assets), Minimum to be well capitalized under prompt corrective action provisions Ratio (as a percent) | 10 | 10 |
Tier 1 Capital (to Risk-Weighted Assets), Minimum to be well capitalized under prompt corrective action provisions Ratio (as a percent) | 8 | 8 |
Common Equity Tier 1 Capital (to Risk-Weighted Assets), Minimum to be well capitalized under prompt corrective action provisions Ratio (as a percent) | 6.50% | 6.50% |
Tier 1 Capital (to Average Assets), Minimum to be well capitalized under prompt corrective action provisions Ratio (as a percent) | 5 | 5 |
Other comprehensive income (l_3
Other comprehensive income (loss) (Activity in Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
BALANCE | $ 420,042 | $ 364,058 | $ 429,430 | $ 357,168 |
BALANCE | 420,427 | 373,393 | 420,427 | 373,393 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent [Member] | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
BALANCE | (15,067) | 898 | 25 | 2,968 |
Other comprehensive income (loss) | (8,459) | 1,153 | (23,551) | (917) |
Net other comprehensive income (loss) during period | (8,459) | 1,153 | (23,551) | (917) |
BALANCE | (23,526) | 2,051 | (23,526) | 2,051 |
AOCI, Available-for-Sale Securities Transfer to Held-to-Maturity [Member] | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
BALANCE | (833) | 665 | ||
Other comprehensive income (loss) | (1,490) | |||
Reclassification of amounts included in net income | 29 | 21 | ||
Net other comprehensive income (loss) during period | 29 | (1,469) | ||
BALANCE | (804) | (804) | ||
Accumulated Gain (Loss), Net, Cash Flow Hedge, Parent [Member] | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
BALANCE | 344 | 185 | 753 | (785) |
Other comprehensive income (loss) | (662) | 102 | (1,071) | 1,072 |
Net other comprehensive income (loss) during period | (662) | 102 | (1,071) | 1,072 |
BALANCE | (318) | 287 | (318) | 287 |
AOCI Attributable to Parent [Member] | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
BALANCE | (15,556) | 1,083 | 1,443 | 2,183 |
Other comprehensive income (loss) | (9,121) | 1,255 | (26,112) | 155 |
Reclassification of amounts included in net income | 29 | 21 | ||
Net other comprehensive income (loss) during period | (9,092) | 1,255 | (26,091) | 155 |
BALANCE | $ (24,648) | $ 2,338 | $ (24,648) | $ 2,338 |