Loans | NOTE 6: Loans The following table sets forth information concerning the loan portfolio by collateral types as of the dates indicated. September 30, 2018 December 31, 2017 Loans excluding PCI loans Real estate loans Residential $ 1,713,093 $ 1,025,303 Commercial 4,395,351 2,546,143 Land, development and construction 645,885 235,816 Total real estate 6,754,329 3,807,262 Commercial 1,104,392 693,501 Consumer and other loans 194,603 107,480 Loans before unearned fees and deferred cost 8,053,324 4,608,243 Net unearned fees and costs 2,097 820 Total loans excluding PCI loans 8,055,421 4,609,063 PCI loans (note 1) Real estate loans Residential 62,507 59,975 Commercial 92,444 92,791 Land, development and construction 6,955 6,656 Total real estate 161,906 159,422 Commercial 5,479 4,444 Consumer and other loans 286 292 Total PCI loans 167,671 164,158 Total loans 8,223,092 4,773,221 Allowance for loan losses for loans that are not PCI loans (38,595 ) (32,530 ) Allowance for loan losses for PCI loans (216 ) (295 ) Total loans, net of allowance for loan losses $ 8,184,281 $ 4,740,396 N ote 1: Purchased credit impaired (“PCI”) loans are being accounted for pursuant to ASC Topic 310-30. The table below set forth the activity in the allowance for loan losses for the periods presented. Allowance for loan losses for loans that are not PCI loans Allowance for loan losses on PCI loans Total Three months ended September 30, 2018 Balance at beginning of period $ 37,209 $ 275 $ 37,484 Loans charged-off (1,178 ) — (1,178 ) Recoveries of loans previously charged-off 555 — 555 Net charge-offs (623 ) — (623 ) Provision for loan losses 2,009 (59 ) 1,950 Balance at end of period $ 38,595 $ 216 $ 38,811 Three months ended September 30, 2017 Balance at beginning of period $ 29,769 $ 363 $ 30,132 Loans charged-off (472 ) — (472 ) Recoveries of loans previously charged-off 1,072 — 1,072 Net recoveries 600 — 600 Provision for loan losses 1,174 (78 ) 1,096 Balance at end of period $ 31,543 $ 285 $ 31,828 Allowance for loan losses for loans that are not PCI loans Allowance for loan losses on PCI loans Total Nine months ended September 30, 2018 Balance at beginning of period $ 32,530 $ 295 $ 32,825 Loans charged-off (2,170 ) — (2,170 ) Recoveries of loans previously charged-off 1,898 75 1,973 Net (charge-offs) recoveries (272 ) 75 (197 ) Provision for loan losses 6,337 (154 ) 6,183 Balance at end of period $ 38,595 216 $ 38,811 Nine months ended September 30, 2017 Balance at beginning of period $ 26,569 $ 472 $ 27,041 Loans charged-off (1,722 ) — (1,722 ) Recoveries of loans previously charged-off 2,454 65 2,519 Net recoveries 732 65 797 Provision for loan losses 4,242 (252 ) 3,990 Balance at end of period $ 31,543 $ 285 $ 31,828 The following tables present the activity in the allowance for loan losses by portfolio segment for the periods presented. Real Estate Loans Residential Commercial Land, develop., constr. Comm. & industrial Consumer & other Total Allowance for loan losses for loans that are not PCI loans: Three months ended September 30, 2018 Beginning of the period $ 5,847 $ 21,921 $ 1,629 $ 5,412 $ 2,400 $ 37,209 Charge-offs (283 ) — (62 ) (327 ) (506 ) (1,178 ) Recoveries 217 113 2 152 71 555 Provision for loan losses 71 916 21 404 597 2,009 Balance at end of period $ 5,852 $ 22,950 $ 1,590 $ 5,641 $ 2,562 $ 38,595 Three months ended September 30, 2017 Beginning of the period $ 6,134 $ 17,238 $ 1,175 $ 3,590 $ 1,632 $ 29,769 Charge-offs (108 ) (8 ) — (140 ) (216 ) $ (472 ) Recoveries 290 320 353 82 27 $ 1,072 Provision for loan losses (292 ) 1,074 (393 ) 458 327 $ 1,174 Balance at end of period $ 6,024 $ 18,624 $ 1,135 $ 3,990 $ 1,770 $ 31,543 Real Estate Loans Residential Commercial Land, develop., constr. Comm. & industrial Consumer & other Total Allowance for loan losses for loans that are PCI loans: Three months ended September 30, 2018 Beginning of the period $ — $ 59 $ 202 $ — $ 14 $ 275 Charge-offs — — — — — — Recoveries — — — — — — Provision for loan losses — (59 ) — — — (59 ) Balance at end of period $ — $ — $ 202 $ — $ 14 $ 216 Three months ended September 30, 2017 Beginning of the period $ 50 $ 123 $ 176 $ — $ 14 $ 363 Charge-offs — — — — — — Recoveries — — — — — — Provision for loan losses (50 ) (65 ) 37 — — (78 ) Balance at end of period $ — $ 58 $ 213 $ — $ 14 $ 285 Real Estate Loans Residential Commercial Land, develop., constr. Comm. & industrial Consumer & other Total Allowance for loan losses for loans that are not PCI loans: Nine months ended September 30, 2018 Beginning of the period $ 6,003 $ 19,304 $ 1,179 $ 4,130 $ 1,914 $ 32,530 Charge-offs (419 ) — (62 ) (555 ) (1,134 ) (2,170 ) Recoveries 855 569 3 214 257 1,898 Provision for loan losses (587 ) 3,077 470 1,852 1,525 6,337 Balance at end of period $ 5,852 $ 22,950 $ 1,590 $ 5,641 $ 2,562 $ 38,595 Nine months ended September 30, 2017 Beginning of the period $ 5,640 $ 14,713 $ 883 $ 3,785 $ 1,548 $ 26,569 Charge-offs (250 ) (72 ) — (677 ) (723 ) (1,722 ) Recoveries 816 626 596 254 162 2,454 Provision for loan losses (182 ) 3,357 (344 ) 628 783 4,242 Balance at end of period $ 6,024 $ 18,624 $ 1,135 $ 3,990 $ 1,770 $ 31,543 Real Estate Loans Residential Commercial Land, develop., constr. Comm. & industrial Consumer & other Total Allowance for loan losses for loans that are PCI loans: Nine months ended September 30, 2018 Beginning of the period $ — $ 59 $ 222 $ — $ 14 $ 295 Charge-offs — — — — — — Recoveries — — — 75 — 75 Provision for loan losses — (59 ) (20 ) (75 ) — (154 ) Balance at end of period $ — $ — $ 202 $ — $ 14 $ 216 Nine months ended September 30, 2017 Beginning of the period $ 54 $ 92 $ 312 $ — $ 14 $ 472 Charge-offs — — — — — — Recoveries — 65 — — — 65 Provision for loan losses (54 ) (99 ) (99 ) — — (252 ) Balance at end of period $ — $ 58 $ 213 $ — $ 14 $ 285 The following tables present the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method as of September 30, 2018 and December 31, 2017. Accrued interest receivable and unearned loan fees and costs are not included in the recorded investment because they are not material. Real Estate Loans As of September 30, 2018 Residential Commercial Land, develop., constr. Comm. & industrial Consumer & other Total Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 417 $ 445 $ — $ 546 $ 5 $ 1,413 Collectively evaluated for impairment 5,435 22,505 1,590 5,095 2,557 37,182 Purchased credit impaired — — 202 — 14 216 Total ending allowance balance $ 5,852 $ 22,950 $ 1,792 $ 5,641 $ 2,576 $ 38,811 Loans: Individually evaluated for impairment $ 7,055 $ 7,686 $ 971 $ 1,292 $ 164 $ 17,168 Collectively evaluated for impairment 1,706,038 4,387,665 644,914 1,103,100 194,439 8,036,156 Purchased credit impaired 62,507 92,444 6,955 5,479 286 167,671 Total ending loan balances $ 1,775,600 $ 4,487,795 $ 652,840 $ 1,109,871 $ 194,889 $ 8,220,995 Real Estate Loans As of December 31, 2017 Residential Commercial Land, develop., constr. Comm. & industrial Consumer & other Total Allowance for loan losses: Ending allowance balance attributable to loans: Individually evaluated for impairment $ 586 $ — $ 4 $ 206 $ 8 $ 804 Collectively evaluated for impairment 5,417 19,304 1,175 3,924 1,906 31,726 Purchased credit impaired — 59 222 — 14 295 Total ending allowance balance $ 6,003 $ 19,363 $ 1,401 $ 4,130 $ 1,928 $ 32,825 Loans: Individually evaluated for impairment $ 8,101 $ 8,218 $ 331 $ 3,497 $ 198 $ 20,345 Collectively evaluated for impairment 1,017,202 2,537,925 235,485 690,004 107,282 4,587,898 Purchased credit impaired 59,975 92,791 6,656 4,444 292 164,158 Total ending loan balance $ 1,085,278 $ 2,638,934 $ 242,472 $ 697,945 $ 107,772 $ 4,772,401 The table below summarizes impaired loan data for the periods presented. Sep. 30, 2018 Dec. 31, 2017 Performing TDRs (these are not included in nonperforming loans ("NPLs")) $ 9,204 $ 12,081 Nonperforming TDRs (these are included in NPLs) 1,284 698 Total TDRs (these are included in impaired loans) 10,488 12,779 Impaired loans that are not TDRs 6,680 7,566 Total impaired loans $ 17,168 $ 20,345 In certain situations it is common to restructure or modify the terms of troubled loans (i.e. troubled debt restructure or “TDRs”). In those circumstances it may be beneficial to restructure the terms of a loan and work with the borrower for the benefit of both parties, versus forcing the property into foreclosure and having to dispose of it in a distressed sale. When the terms of a loan have been modified, usually the monthly payment and/or interest rate is reduced for generally twelve to twenty-four months. Material principal amounts on any loan modifications have not been forgiven to date. TDRs as of September 30, 2018 and December 31, 2017 quantified by loan type classified separately as accrual (performing loans) and non-accrual (non performing loans) are presented in the tables below. As of September 30, 2018 Accruing Non-Accrual Total Real estate loans: Residential $ 6,525 $ 530 $ 7,055 Commercial 1,855 687 2,542 Land, development, construction 81 41 122 Total real estate loans 8,461 1,258 9,719 Commercial 605 — 605 Consumer and other 138 26 164 Total TDRs $ 9,204 $ 1,284 $ 10,488 As of December 31, 2017 Accruing Non-Accrual Total Real estate loans: Residential $ 7,737 $ 364 $ 8,101 Commercial 3,286 306 3,592 Land, development, construction 332 — 332 Total real estate loans 11,355 670 12,025 Commercial 556 — 556 Consumer and other 170 28 198 Total TDRs $ 12,081 $ 698 $ 12,779 Our policy is to return non-accrual TDR loans to accrual status when all the principal and interest amounts contractually due, pursuant to its modified terms, are brought current and future payments are reasonably assured. Our policy also considers the payment history of the borrower, but is not dependent upon a specific number of payments. The Company recorded a provision for loan loss expense of $54 and $82 and partial charge offs of $11 and $32 on the TDR loans described above during the three and nine month periods ending September 30, 2018. The Company recorded a provision Loans are modified to minimize loan losses when we believe the modification will improve the borrower’s financial condition and ability to repay the loan. We typically do not forgive principal. We generally either reduce interest rates or decrease monthly payments for a temporary period of time and those reductions of cash flows are capitalized into the loan balance. We may also extend maturities, convert balloon loans to longer term amortizing loans, or vice versa, or change interest rates between variable and fixed rate. Each borrower and situation is unique and we try to accommodate the borrower and minimize the Company’s potential losses. Approximately 88% of our TDRs are current pursuant to their modified terms, and $1,284, or approximately 12% of our total TDRs are not performing pursuant to their modified terms. There does not appear to be any significant difference in success rates with one type of concession versus another. Loans modified as TDRs during the three and nine month periods ending September 30, 2018 were $616 and $1,838. The Company recorded loan loss provision of $16 and $33 for loans modified during the three and nine month periods ending September 30, 2018. Loans modified as TDRs during the three and nine month periods ending September 30, 2017 were $85 and $784. The Company recorded a loan loss provision of $0 and $8 for loans modified during the three and nine month periods ending September 30, 2017. The following table presents loans by class modified and for which there was a payment default within twelve months following the modification during the periods ending September 30, 2018 and 2017. Period ending Period ending September 30, 2018 September 30, 2017 Number Recorded Number Recorded of loans investment of loans investment Residential 1 $ 191 1 $ 72 Commercial real estate 1 116 2 616 Land, development, construction — — — — Commercial and Industrial — — — — Consumer and other — — — — Total 2 $ 307 3 $ 688 The Company recorded a provision for loan loss expense of $18 and $24 and partial charge offs of $5 and $10 on TDR loans that subsequently defaulted as described above during the three and nine month periods ending September 30, 2018. The Company recorded a provision for loan loss expense of $8 and $24 and partial charge offs of $8 and $24 on TDR loans that subsequently defaulted as described above during the three and nine month period ending September 30, 2017, respectively. The following tables present loans individually evaluated for impairment by class of loans as of September 30, 2018 and December 31, 2017, excluding purchased credit impaired loans accounted for pursuant to ASC Topic 310-30. The recorded investment is less than the unpaid principal balance due to partial charge-offs. As of September 30, 2018 Unpaid principal balance Recorded investment Allowance for loan losses allocated With no related allowance recorded: Residential real estate $ 4,105 $ 3,977 $ — Commercial real estate 6,634 6,090 — Land, development, construction 1,009 971 — Commercial and industrial 427 416 — Consumer, other 111 111 — With an allowance recorded: Residential real estate 3,235 3,078 417 Commercial real estate 1,600 1,596 445 Land, development, construction — — — Commercial and industrial 880 876 546 Consumer, other 72 53 5 Total $ 18,073 $ 17,168 $ 1,413 As of December 31, 2017 Unpaid principal balance Recorded investment Allowance for loan losses allocated With no related allowance recorded: Residential real estate $ 4,945 $ 4,818 $ — Commercial real estate 8,973 8,218 — Land, development, construction 260 210 — Commercial and industrial 3,374 2,968 — Consumer, other 142 127 — With an allowance recorded: Residential real estate 3,426 3,283 586 Commercial real estate — — — Land, development, construction 140 121 4 Commercial and industrial 531 529 206 Consumer, other 78 71 8 Total $ 21,869 $ 20,345 $ 804 Three months ended September 30, 2018 Average of impaired loans Interest income recognized during impairment Cash basis interest income recognized Real estate loans: Residential $ 7,328 $ 79 $ — Commercial 7,674 25 — Land, development, construction 961 2 — Total real estate loans 15,963 106 — Commercial and industrial 1,596 9 — Consumer and other loans 165 2 — Total $ 17,724 $ 117 $ — Nine months ended September 30, 2018 Average of impaired loans Interest income recognized during impairment Cash basis interest income recognized Real estate loans: Residential $ 15,306 $ 308 $ — Commercial 2,586 25 — Land, development, construction 324 2 — Total real estate loans 18,216 335 — Commercial and industrial 538 9 — Consumer and other loans 56 2 — Total $ 18,810 $ 346 $ — Three months ended September 30, 2017 Average of impaired loans Interest income recognized during impairment Cash basis interest income recognized Real estate loans: Residential $ 7,536 $ 70 $ — Commercial 9,200 35 — Land, development, construction 343 5 — Total real estate loans 17,079 110 — Commercial and industrial 1,859 7 — Consumer and other loans 262 3 — Total $ 19,200 $ 120 $ — Nine months ended September 30, 2017 Average of impaired loans Interest income recognized during impairment Cash basis interest income recognized Real estate loans: Residential $ 7,767 $ 207 $ — Commercial 8,979 104 — Land, development, construction 465 13 — Total real estate loans 17,211 324 — Commercial and industrial 1,702 22 — Consumer and other loans 245 8 — Total $ 19,158 $ 354 $ — Nonperforming loans include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans, excluding purchased credit impaired loans accounted for pursuant to ASC Topic 310-30. Nonperforming loans were as follows: Sep. 30, 2018 Dec. 31, 2017 Non accrual loans $ 23,450 $ 17,288 Loans past due over 90 days and still accruing interest — — Total non performing loans $ 23,450 $ 17,288 The following table presents the recorded investment in nonaccrual loans and loans past due over 90 days still on accrual by class of loans as of September 30, 2018 and December 31, 2017, excluding purchased credit impaired loans: As of September 30, 2018 Nonaccrual Loans past due over 90 days still accruing Residential real estate $ 9,234 $ — Commercial real estate 9,108 — Land, development, construction 2,441 — Commercial 2,237 — Consumer, other 430 — Total $ 23,450 $ — As of December 31, 2017 Nonaccrual Loans past due over 90 days still accruing Residential real estate $ 7,107 $ — Commercial real estate 6,549 — Land, development, construction 138 — Commercial 3,121 — Consumer, other 373 — Total $ 17,288 $ — The following table presents the aging of the recorded investment in past due loans as of September 30, 2018 and December 31, 2017, excluding purchased credit impaired loans: Accruing Loans Total 30 - 59 days past due 60 - 89 days past due Greater than 90 days past due Total Past Due Loans Not Past Due Nonaccrual Loans As of September 30, 2018 Residential real estate $ 1,713,093 $ 4,011 $ 4,177 $ — $ 8,188 $ 1,695,671 $ 9,234 Commercial real estate 4,395,351 8,556 5,907 — 14,463 4,371,780 9,108 Land/dev/construction 645,885 796 526 — 1,322 642,122 2,441 Commercial 1,104,392 2,327 970 — 3,297 1,098,858 2,237 Consumer 194,603 929 191 — 1,120 193,053 430 $ 8,053,324 $ 16,619 $ 11,771 $ — $ 28,390 $ 8,001,484 $ 23,450 Accruing Loans Total 30 - 59 days past due 60 - 89 days past due Greater than 90 days past due Total Past Due Loans Not Past Due Nonaccrual Loans As of December 31, 2017 Residential real estate $ 1,025,303 $ 3,568 $ 1,821 $ — $ 5,389 $ 1,012,807 $ 7,107 Commercial real estate 2,546,143 1,158 2,272 — 3,430 2,536,164 6,549 Land/dev/construction 235,816 2,807 189 — 2,996 232,682 138 Commercial 693,501 568 763 — 1,331 689,049 3,121 Consumer 107,480 471 48 — 519 106,588 373 $ 4,608,243 $ 8,572 $ 5,093 $ — $ 13,665 $ 4,577,290 $ 17,288 Credit Quality Indicators: The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis is performed on at least an annual basis. The Company uses the following definitions for risk ratings: Special Mention: Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. Substandard: Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Doubtful: Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Loans not meeting the criteria above that are analyzed individually as part of the above described process are considered to be pass rated loans. The following table presents the risk category of loans by class of loans based on the most recent analysis performed, excluding purchased credit impaired loans accounted for pursuant to ASC Topic 310-30, as of September 30, 2018 and December 31, 2017. The increase in loans categorized as special mention and substandard between the periods presented is due to the acquisitions of Sunshine and Harbor on January 1, 2018 and Charter on September 1, 2018. As of September 30, 2018 Loan Category Pass Special Mention Substandard Doubtful Residential real estate $ 1,639,770 $ 46,373 $ 26,950 $ — Commercial real estate 4,181,026 167,606 46,719 — Land/dev/construction 604,023 36,933 4,929 — Commercial 1,076,627 23,896 3,869 — Consumer 193,671 263 669 — Total $ 7,695,117 $ 275,071 $ 83,136 $ — As of December 31, 2017 Loan Category Pass Special Mention Substandard Doubtful Residential real estate $ 987,472 $ 20,435 $ 17,396 $ — Commercial real estate 2,411,085 115,942 19,116 — Land/dev/construction 217,555 17,699 562 — Commercial 674,764 14,186 4,551 — Consumer 106,735 139 606 — Total $ 4,397,611 $ 168,401 $ 42,231 $ — The Company considers the performance of the loan portfolio and its impact on the allowance for loan losses. For residential and consumer loan classes, the Company also evaluates credit quality based on the aging status of the loan, which was previously presented, and by payment activity. The following table presents the recorded investment in residential and consumer loans, excluding purchased credit impaired loans, based on payment activity as of September 30, 2018 and December 31, 2017: As of September 30, 2018 Residential Consumer Performing $ 1,703,859 $ 194,173 Nonperforming 9,234 430 Total $ 1,713,093 $ 194,603 As of December 31, 2017 Residential Consumer Performing $ 1,018,196 $ 107,107 Nonperforming 7,107 373 Total $ 1,025,303 $ 107,480 Purchased Credit Impaired (“PCI”) loans: Income is recognized on PCI loans pursuant to ASC Topic 310-30. A portion of the fair value discount has been ascribed as an accretable yield that is accreted into interest income over the estimated remaining life of the loans. The remaining non-accretable difference represents cash flows not expected to be collected. The table below summarizes the total contractually required principal and interest cash payments, management’s estimate of expected total cash payments and carrying value of the loans as of September 30, 2018 and December 31, 2017. Contractually required principal and interest payments have been adjusted for estimated prepayments. Sep. 30, 2018 Dec. 31, 2017 Contractually required principal and interest $ 294,278 $ 248,283 Non-accretable difference (59,433 ) (13,183 ) Cash flows expected to be collected 234,845 235,100 Accretable yield (67,174 ) (70,942 ) Carrying value of acquired loans 167,671 164,158 Allowance for loan losses (216 ) (295 ) Carrying value less allowance for loan losses $ 167,455 $ 163,863 The Company adjusted its estimates of future expected losses, cash flows and renewal assumptions during the current quarter. These adjustments resulted in an increase in expected cash flows and accretable yield, and a decrease in the non-accretable difference. The Company reclassified $4,529, $2,286, $8,443 and $8,364 from non-accretable difference to accretable yield during the three and nine month periods ending September 30, 2018 and 2017 to reflect its adjusted estimates of future expected cash flows. The table below summarizes the changes in total contractually required principal and interest cash payments, management’s estimate of expected total cash payments and carrying value of the loans during the three and nine month periods ending September 30, 2018 and 2017. Activity during the Effect of income all other three month period ending September 30, 2018 Jun. 30, 2018 acquisitions accretion adjustments Sep. 30, 2018 Contractually required principal and interest $ 285,576 $ 33,687 $ — $ (24,985 ) $ 294,278 Non-accretable difference (44,166 ) (20,763 ) — 5,496 (59,433 ) Cash flows expected to be collected 241,410 12,924 — (19,489 ) 234,845 Accretable yield (67,460 ) (1,492 ) 7,682 (5,904 ) (67,174 ) Carry value of acquired loans $ 173,950 $ 11,432 $ 7,682 $ (25,393 ) $ 167,671 Activity during the Effect of income all other nine month period ending September 30, 2018 Dec. 31, 2017 acquisitions accretion adjustments Sep. 30, 2018 Contractually required principal and interest $ 248,283 $ 122,392 $ — $ (76,397 ) $ 294,278 Non-accretable difference (13,183 ) (58,927 ) — 12,677 (59,433 ) Cash flows expected to be collected 235,100 63,465 — (63,720 ) 234,845 Accretable yield (70,942 ) (7,770 ) 26,496 (14,958 ) (67,174 ) Carry value of acquired loans $ 164,158 $ 55,695 $ 26,496 $ (78,678 ) $ 167,671 Activity during the Effect of income all other three month period ending September 30, 2017 Jun. 30, 2017 acquisitions accretion adjustments Sep. 30, 2018 Contractually required principal and interest $ 280,114 $ — $ — $ (21,776 ) $ 258,338 Non-accretable difference (14,047 ) — — 1,148 (12,899 ) Cash flows expected to be collected 266,067 — — (20,628 ) 245,439 Accretable yield (86,703 ) — 7,696 (2,457 ) (81,464 ) Carry value of acquired loans $ 179,364 $ — $ 7,696 $ (23,085 ) $ 163,975 Activity during the Effect of income all other nine month period ending September 30, 2017 Dec. 31, 2016 acquisitions accretion adjustments Sep. 30, 2018 Contractually required principal and interest $ 297,821 $ 20,729 $ — $ (60,212 ) $ 258,338 Non-accretable difference (18,372 ) (6,347 ) — 11,820 (12,899 ) Cash flows expected to be collected 279,449 14,382 — (48,392 ) 245,439 Accretable yield (93,525 ) (3,266 ) 24,780 (9,453 ) (81,464 ) Carry value of acquired loans $ 185,924 $ 11,116 $ 24,780 $ (57,845 ) $ 163,975 |