Note 8 - Loan Receivable and Credit Disclosures | 9 Months Ended |
Sep. 30, 2014 |
Receivables [Abstract] | ' |
Financing Receivables [Text Block] | ' |
| 8 | Loan Receivable and Credit Disclosures | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
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Activity in the allowance for loan losses, on a disaggregated basis, for the three and nine months ended September 30, 2014 and 2013 is as follows: (in thousands) |
|
| | Three Months Ended September 30, 2014 | |
| | | | | | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Residential | | | Commercial | | | Agricultural | | | | | | | | | | | Consumer | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | and Other | | | Total | |
Balance, June 30 2014 | | $ | 514 | | | $ | 1,503 | | | $ | 3,144 | | | $ | 694 | | | $ | 1,396 | | | $ | 1,106 | | | $ | 160 | | | $ | 8,517 | |
Provision (credit) for loan losses | | | (3 | ) | | | 97 | | | | 12 | | | | (2 | ) | | | (75 | ) | | | 5 | | | | 21 | | | | 55 | |
Recoveries of loans charged-off | | | - | | | | 2 | | | | 15 | | | | - | | | | 1 | | | | - | | | | 4 | | | | 22 | |
Loans charged-off | | | - | | | | (35 | ) | | | - | | | | - | | | | (17 | ) | | | - | | | | (12 | ) | | | (64 | ) |
Balance, September 30 2014 | | $ | 511 | | | $ | 1,567 | | | $ | 3,171 | | | $ | 692 | | | $ | 1,305 | | | $ | 1,111 | | | $ | 173 | | | $ | 8,530 | |
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| | Nine Months Ended September 30 2014 | |
| | | | | | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Residential | | | Commercial | | | Agricultural | | | | | | | | | | | Consumer | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | and Other | | | Total | |
Balance, December 31, 2013 | | $ | 392 | | | $ | 1,523 | | | $ | 3,230 | | | $ | 686 | | | $ | 1,435 | | | $ | 1,165 | | | $ | 141 | | | $ | 8,572 | |
Provision (credit) for loan losses | | | 119 | | | | 178 | | | | (74 | ) | | | 6 | | | | (130 | ) | | | (54 | ) | | | 85 | | | | 130 | |
Recoveries of loans charged-off | | | - | | | | 9 | | | | 15 | | | | - | | | | 17 | | | | - | | | | 15 | | | | 56 | |
Loans charged-off | | | - | | | | (143 | ) | | | - | | | | - | | | | (17 | ) | | | - | | | | (68 | ) | | | (228 | ) |
Balance, September 30, 2014 | | $ | 511 | | | $ | 1,567 | | | $ | 3,171 | | | $ | 692 | | | $ | 1,305 | | | $ | 1,111 | | | $ | 173 | | | $ | 8,530 | |
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| | Three Months Ended September 30, 2013 | |
| | | | | | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Residential | | | Commercial | | | Agricultural | | | | | | | | | | | Consumer | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | and Other | | | Total | |
Balance, June 30, 2013 | | $ | 332 | | | $ | 1,456 | | | $ | 3,002 | | | $ | 591 | | | $ | 1,343 | | | $ | 921 | | | $ | 174 | | | $ | 7,819 | |
Provision (credit) for loan losses | | | (111 | ) | | | 40 | | | | 162 | | | | 21 | | | | (78 | ) | | | 68 | | | | (10 | ) | | | 92 | |
Recoveries of loans charged-off | | | - | | | | 2 | | | | 17 | | | | - | | | | 1 | | | | - | | | | 4 | | | | 24 | |
Loans charged-off | | | - | | | | (18 | ) | | | - | | | | - | | | | - | | | | - | | | | (14 | ) | | | (32 | ) |
Balance, September 30, 2013 | | $ | 221 | | | $ | 1,480 | | | $ | 3,181 | | | $ | 612 | | | $ | 1,266 | | | $ | 989 | | | $ | 154 | | | $ | 7,903 | |
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| | Nine Months Ended September 30, 2013 | |
| | | | | | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Residential | | | Commercial | | | Agricultural | | | | | | | | | | | Consumer | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | and Other | | | Total | |
Balance, December 31, 2012 | | $ | 375 | | | $ | 1,433 | | | $ | 2,859 | | | $ | 523 | | | $ | 1,461 | | | $ | 945 | | | $ | 177 | | | $ | 7,773 | |
Provision (credit) for loan losses | | | (154 | ) | | | 88 | | | | 305 | | | | 89 | | | | (198 | ) | | | 44 | | | | (8 | ) | | | 166 | |
Recoveries of loans charged-off | | | - | | | | 40 | | | | 17 | | | | - | | | | 3 | | | | - | | | | 12 | | | | 72 | |
Loans charged-off | | | - | | | | (81 | ) | | | - | | | | - | | | | - | | | | - | | | | (27 | ) | | | (108 | ) |
Balance, September 30, 2013 | | $ | 221 | | | $ | 1,480 | | | $ | 3,181 | | | $ | 612 | | | $ | 1,266 | | | $ | 989 | | | $ | 154 | | | $ | 7,903 | |
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Allowance for loan losses disaggregated on the basis of impairment analysis method as of September 30, 2014 and December 31, 2013 is as follows: (in thousands) |
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2014 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Residential | | | Commercial | | | Agricultural | | | | | | | | | | | Consumer | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | and Other | | | Total | |
Individually evaluated for impairment | | $ | - | | | $ | 47 | | | $ | 34 | | | $ | - | | | $ | 190 | | | $ | - | | | $ | 3 | | | $ | 274 | |
Collectively evaluated for impairment | | | 511 | | | | 1,520 | | | | 3,137 | | | | 692 | | | | 1,115 | | | | 1,111 | | | | 170 | | | | 8,256 | |
Balance September 30, 2014 | | $ | 511 | | | $ | 1,567 | | | $ | 3,171 | | | $ | 692 | | | $ | 1,305 | | | $ | 1,111 | | | $ | 173 | | | $ | 8,530 | |
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2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Residential | | | Commercial | | | Agricultural | | | | | | | | | | | Consumer | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | and Other | | | Total | |
Individually evaluated for impairment | | $ | - | | | $ | 122 | | | $ | 20 | | | $ | - | | | $ | 330 | | | $ | 5 | | | $ | - | | | $ | 477 | |
Collectively evaluated for impairment | | | 392 | | | | 1,401 | | | | 3,210 | | | | 686 | | | | 1,105 | | | | 1,160 | | | | 141 | | | | 8,095 | |
Balance December 31, 2013 | | $ | 392 | | | $ | 1,523 | | | $ | 3,230 | | | $ | 686 | | | $ | 1,435 | | | $ | 1,165 | | | $ | 141 | | | $ | 8,572 | |
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Loans receivable disaggregated on the basis of impairment analysis method as of September 30, 2014 and December 31, 2013 is as follows (in thousands): |
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2014 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Residential | | | Commercial | | | Agricultural | | | | | | | | | | | Consumer | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | and Other | | | Total | |
Individually evaluated for impairment | | $ | 412 | | | $ | 503 | | | $ | 864 | | | $ | - | | | $ | 724 | | | $ | 19 | | | $ | 11 | | | $ | 2,533 | |
Collectively evaluated for impairment | | | 32,974 | | | | 134,784 | | | | 222,248 | | | | 55,297 | | | | 88,215 | | | | 73,575 | | | | 14,670 | | | | 621,763 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Balance September 30, 2014 | | $ | 33,386 | | | $ | 135,287 | | | $ | 223,112 | | | $ | 55,297 | | | $ | 88,939 | | | $ | 73,594 | | | $ | 14,681 | | | $ | 624,296 | |
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2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Residential | | | Commercial | | | Agricultural | | | | | | | | | | | Consumer | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | and Other | | | Total | |
Individually evaluated for impairment | | $ | 510 | | | $ | 784 | | | $ | 526 | | | $ | - | | | $ | 816 | | | $ | 24 | | | $ | 61 | | | $ | 2,721 | |
Collectively evaluated for impairment | | | 23,418 | | | | 107,506 | | | | 205,585 | | | | 53,834 | | | | 86,007 | | | | 81,302 | | | | 12,734 | | | | 570,386 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Balance December 31, 2013 | | $ | 23,928 | | | $ | 108,290 | | | $ | 206,111 | | | $ | 53,834 | | | $ | 86,823 | | | $ | 81,326 | | | $ | 12,795 | | | $ | 573,107 | |
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A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payment of principal and interest when due according to the contractual terms of the loan agreement. The credit deteriorated loans acquired as a part of the Acquisition have been included in the following information. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. The Company will apply its normal loan review procedures to identify loans that should be evaluated for impairment. |
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The following is a recap of impaired loans, on a disaggregated basis, at September 30, 2014 and December 31, 2013: (in thousands) |
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| | 2014 | | | 2013 | | | | | | | | | |
| | | | | | Unpaid | | | | | | | | | | | Unpaid | | | | | | | | | | | | | |
| | Recorded | | | Principal | | | Related | | | Recorded | | | Principal | | | Related | | | | | | | | | |
| | Investment | | | Balance | | | Allowance | | | Investment | | | Balance | | | Allowance | | | | | | | | | |
With no specific reserve recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | $ | 412 | | | $ | 412 | | | $ | - | | | $ | 510 | | | $ | 510 | | | $ | - | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 304 | | | | 304 | | | | - | | | | 483 | | | | 483 | | | | - | | | | | | | | | |
Real estate - commercial | | | 705 | | | | 705 | | | | - | | | | 480 | | | | 480 | | | | - | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
Commercial | | | 514 | | | | 514 | | | | - | | | | 43 | | | | 43 | | | | - | | | | | | | | | |
Agricultural | | | 19 | | | | 19 | | | | - | | | | 19 | | | | 19 | | | | - | | | | | | | | | |
Consumer and other | | | 8 | | | | 8 | | | | - | | | | 61 | | | | 61 | | | | - | | | | | | | | | |
Total loans with no specific reserve: | | | 1,962 | | | | 1,962 | | | | - | | | | 1,596 | | | | 1,596 | | | | - | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
With an allowance recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 199 | | | | 214 | | | | 47 | | | | 301 | | | | 301 | | | | 122 | | | | | | | | | |
Real estate - commercial | | | 159 | | | | 159 | | | | 34 | | | | 46 | | | | 46 | | | | 20 | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
Commercial | | | 210 | | | | 210 | | | | 190 | | | | 773 | | | | 773 | | | | 330 | | | | | | | | | |
Agricultural | | | - | | | | - | | | | - | | | | 5 | | | | 5 | | | | 5 | | | | | | | | | |
Consumer and other | | | 3 | | | | 3 | | | | 3 | | | | - | | | | - | | | | - | | | | | | | | | |
Total loans with specific reserve: | | | 571 | | | | 586 | | | | 274 | | | | 1,125 | | | | 1,125 | | | | 477 | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | | 412 | | | | 412 | | | | - | | | | 510 | | | | 510 | | | | - | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 503 | | | | 518 | | | | 47 | | | | 784 | | | | 784 | | | | 122 | | | | | | | | | |
Real estate - commercial | | | 864 | | | | 864 | | | | 34 | | | | 526 | | | | 526 | | | | 20 | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
Commercial | | | 724 | | | | 724 | | | | 190 | | | | 816 | | | | 816 | | | | 330 | | | | | | | | | |
Agricultural | | | 19 | | | | 19 | | | | - | | | | 24 | | | | 24 | | | | 5 | | | | | | | | | |
Consumer and other | | | 11 | | | | 11 | | | | 3 | | | | 61 | | | | 61 | | | | - | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 2,533 | | | $ | 2,548 | | | $ | 274 | | | $ | 2,721 | | | $ | 2,721 | | | $ | 477 | | | | | | | | | |
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The following is a recap of the average recorded investment and interest income recognized on impaired loans for the three and nine months ended September 30, 2014 and 2013: (in thousands) |
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| | Three Months Ended September 30, | | | | | | | | | | | | | | | | | |
| | 2014 | | | 2013 | | | | | | | | | | | | | | | | | |
| | Average | | | Interest | | | Average | | | Interest | | | | | | | | | | | | | | | | | |
| | Recorded | | | Income | | | Recorded | | | Income | | | | | | | | | | | | | | | | | |
| | Investment | | | Recognized | | | Investment | | | Recognized | | | | | | | | | | | | | | | | | |
With no specific reserve recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | $ | 419 | | | $ | - | | | $ | 805 | | | $ | - | | | | | | | | | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 185 | | | | 7 | | | | 478 | | | | 8 | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 374 | | | | - | | | | 1,382 | | | | 207 | | | | | | | | | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Commercial | | | 274 | | | | - | | | | 41 | | | | 12 | | | | | | | | | | | | | | | | | |
Agricultural | | | 19 | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Consumer and other | | | 8 | | | | - | | | | 7 | | | | - | | | | | | | | | | | | | | | | | |
Total loans with no specific reserve: | | | 1,279 | | | | 7 | | | | 2,713 | | | | 227 | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
With an allowance recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | | - | | | | - | | | | 195 | | | | 93 | | | | | | | | | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 209 | | | | - | | | | 334 | | | | - | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 160 | | | | - | | | | 46 | | | | - | | | | | | | | | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Commercial | | | 274 | | | | - | | | | 813 | | | | - | | | | | | | | | | | | | | | | | |
Agricultural | | | 2 | | | | - | | | | 5 | | | | - | | | | | | | | | | | | | | | | | |
Consumer and other | | | 4 | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Total loans with specific reserve: | | | 649 | | | | - | | | | 1,393 | | | | 93 | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | | 419 | | | | - | | | | 1,000 | | | | 93 | | | | | | | | | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 394 | | | | 7 | | | | 812 | | | | 8 | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 534 | | | | - | | | | 1,428 | | | | 207 | | | | | | | | | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Commercial | | | 548 | | | | - | | | | 854 | | | | 12 | | | | | | | | | | | | | | | | | |
Agricultural | | | 21 | | | | - | | | | 5 | | | | - | | | | | | | | | | | | | | | | | |
Consumer and other | | | 12 | | | | - | | | | 7 | | | | - | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 1,928 | | | $ | 7 | | | $ | 4,106 | | | $ | 320 | | | | | | | | | | | | | | | | | |
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| | Nine Months Ended September 30, | | | | | | | | | | | | | | | | | |
| | 2014 | | | 2013 | | | | | | | | | | | | | | | | | |
| | Average | | | Interest | | | Average | | | Interest | | | | | | | | | | | | | | | | | |
| | Recorded | | | Income | | | Recorded | | | Income | | | | | | | | | | | | | | | | | |
| | Investment | | | Recognized | | | Investment | | | Recognized | | | | | | | | | | | | | | | | | |
With no specific reserve recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | $ | 461 | | | $ | - | | | $ | 919 | | | $ | - | | | | | | | | | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 230 | | | | 12 | | | | 569 | | | | 8 | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 318 | | | | 206 | | | | 1,189 | | | | 209 | | | | | | | | | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Commercial | | | 158 | | | | - | | | | 58 | | | | 12 | | | | | | | | | | | | | | | | | |
Agricultural | | | 19 | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Consumer and other | | | 23 | | | | - | | | | 5 | | | | - | | | | | | | | | | | | | | | | | |
Total loans with no specific reserve: | | | 1,209 | | | | 218 | | | | 2,740 | | | | 229 | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
With an allowance recorded: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | | - | | | | - | | | | 313 | | | | 93 | | | | | | | | | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 279 | | | | - | | | | 420 | | | | - | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 103 | | | | - | | | | 1,147 | | | | - | | | | | | | | | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Commercial | | | 519 | | | | 70 | | | | 745 | | | | - | | | | | | | | | | | | | | | | | |
Agricultural | | | 3 | | | | - | | | | 6 | | | | - | | | | | | | | | | | | | | | | | |
Consumer and other | | | 2 | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Total loans with specific reserve: | | | 906 | | | | 70 | | | | 2,631 | | | | 93 | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Total | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | | 461 | | | | - | | | | 1,232 | | | | 93 | | | | | | | | | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 509 | | | | 12 | | | | 989 | | | | 8 | | | | | | | | | | | | | | | | | |
Real estate - commercial | | | 421 | | | | 206 | | | | 2,336 | | | | 209 | | | | | | | | | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | | | | | | | | | | | | | | |
Commercial | | | 677 | | | | 70 | | | | 803 | | | | 12 | | | | | | | | | | | | | | | | | |
Agricultural | | | 22 | | | | - | | | | 6 | | | | - | | | | | | | | | | | | | | | | | |
Consumer and other | | | 25 | | | | - | | | | 5 | | | | - | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 2,115 | | | $ | 288 | | | $ | 5,371 | | | $ | 322 | | | | | | | | | | | | | | | | | |
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The interest foregone on nonaccrual loans for the three months ended September 30, 2014 and 2013 was approximately $34,000 and $73,000, respectively. The interest foregone on nonaccrual loans for the nine months ended September 30, 2014 and 2013 was approximately $95,000 and $239,000, respectively. |
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The Company had loans meeting the definition of a troubled debt restructuring (TDR) of $723,000 as of September 30, 2014, of which all were included in impaired loans and nonaccrual loans. The Company had TDRs of $1,424,000 as of December 31, 2013, all of which were included in impaired loans, $1,237,000 was included as nonaccrual loans and $187,000 was on accrual status. |
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The following table sets forth information on the Company’s TDRs, on a disaggregated basis, occurring in the three and nine months ended September 30, 2014 and 2013: (dollars in thousands) |
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| | Three Months Ended September 30, | | | | | | | | | |
| | 2014 | | | 2013 | | | | | | | | | |
| | | | | | Pre-Modification | | | Post-Modification | | | | | | | Pre-Modification | | | Post-Modification | | | | | | | | | |
| | | | | | Outstanding | | | Outstanding | | | | | | | Outstanding | | | Outstanding | | | | | | | | | |
| | Number of | | | Recorded | | | Recorded | | | Number of | | | Recorded | | | Recorded | | | | | | | | | |
| | Contracts | | | Investment | | | Investment | | | Contracts | | | Investment | | | Investment | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | | - | | | $ | - | | | $ | - | | | | - | | | $ | - | | | $ | - | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 1 | | | | 25 | | | | 25 | | | | - | | | | - | | | | - | | | | | | | | | |
Real estate - commercial | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
Commercial | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
Agricultural | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
Consumer and other | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 1 | | | $ | 25 | | | $ | 25 | | | | - | | | $ | - | | | $ | - | | | | | | | | | |
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| | Nine Months Ended September 30, | | | | | | | | | |
| | 2014 | | | 2013 | | | | | | | | | |
| | | | | | Pre-Modification | | | Post-Modification | | | | | | | Pre-Modification | | | Post-Modification | | | | | | | | | |
| | | | | | Outstanding | | | Outstanding | | | | | | | Outstanding | | | Outstanding | | | | | | | | | |
| | Number of | | | Recorded | | | Recorded | | | Number of | | | Recorded | | | Recorded | | | | | | | | | |
| | Contracts | | | Investment | | | Investment | | | Contracts | | | Investment | | | Investment | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | | - | | | $ | - | | | $ | - | | | | - | | | $ | - | | | $ | - | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 1 | | | | 25 | | | | 25 | | | | - | | | | - | | | | - | | | | | | | | | |
Real estate - commercial | | | 1 | | | | 43 | | | | 43 | | | | - | | | | - | | | | - | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | - | | | | - | | | | - | | | | | | | | | |
Commercial | | | - | | | | - | | | | - | | | | 1 | | | | 130 | | | | 130 | | | | | | | | | |
Agricultural | | | 1 | | | | 19 | | | | 19 | | | | - | | | | - | | | | - | | | | | | | | | |
Consumer and other | | | 1 | | | | 6 | | | | 6 | | | | - | | | | - | | | | - | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | 4 | | | $ | 93 | | | $ | 93 | | | | 1 | | | $ | 130 | | | $ | 130 | | | | | | | | | |
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The Company restructured one loan during the three months ended September 30, 2014. During the nine months ended September 30, 2014, the Company granted concessions to three borrowers experiencing financial difficulties. A commercial real estate loan was restructured as an interest only loan for a period of time. An agricultural and consumer loans maturity date was extended one year with interest only until maturity. A 1-4 family residential loans terms were extended beyond normal terms. |
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There was no new TDR activity in the three months ended September 30, 2013. However, during the nine months ended September 30, 2013, the Company restructured one loan by granting concessions to a borrower experiencing financial difficulties. The loan was restricted with a collateral shortfall. |
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A TDR loan is considered to have payment default when it is past due 60 days or more. |
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No TDR loan modified during the twelve months ended September 30, 2014 had a payment default. Two TDR loans modified during the twelve months ended September 30, 2013 had payment defaults. These modified TDR loans had a balance as of September 30, 2013 of $132,000. |
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There was two charge-off related to TDRs for the nine months ended September 30, 2014 in the amount of $48,000 and no charge-offs related to TDRs for the nine months ended September 30, 2013. For the nine months ended September 30, 2014, the specific reserves were reduced by $100,000 as a result of one TDR that is no longer considered impaired. For the nine months ended September 30, 2013, there was no impact on specific reserves due to TDRs. |
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An aging analysis of the recorded investments in loans, on a disaggregated basis, as of September 30, 2014 and December 31, 2013, is as follows: (in thousands) |
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2014 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | 90 Days | | | | | | | | | | | | | | | 90 Days | | | | | | | | | |
| | 30-89 | | | or Greater | | | Total | | | | | | | | | | | or Greater | | | | | | | | | |
| | Past Due | | | Past Due | | | Past Due | | | Current | | | Total | | | Accruing | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | $ | - | | | $ | - | | | $ | - | | | $ | 33,386 | | | $ | 33,386 | | | $ | - | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 1,031 | | | | 114 | | | | 1,145 | | | | 134,142 | | | | 135,287 | | | | - | | | | | | | | | |
Real estate - commercial | | | 277 | | | | 159 | | | | 436 | | | | 222,676 | | | | 223,112 | | | | - | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | 55,297 | | | | 55,297 | | | | - | | | | | | | | | |
Commercial | | | 822 | | | | 89 | | | | 911 | | | | 88,028 | | | | 88,939 | | | | - | | | | | | | | | |
Agricultural | | | - | | | | - | | | | - | | | | 73,594 | | | | 73,594 | | | | - | | | | | | | | | |
Consumer and other | | | 40 | | | | - | | | | 40 | | | | 14,641 | | | | 14,681 | | | | - | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 2,170 | | | $ | 362 | | | $ | 2,532 | | | $ | 621,764 | | | $ | 624,296 | | | $ | - | | | | | | | | | |
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2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | 90 Days | | | | | | | | | | | | | | | 90 Days | | | | | | | | | |
| | 30-89 | | | or Greater | | | Total | | | | | | | | | | | or Greater | | | | | | | | | |
| | Past Due | | | Past Due | | | Past Due | | | Current | | | Total | | | Accruing | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Real estate - construction | | $ | - | | | $ | - | | | $ | - | | | $ | 23,928 | | | $ | 23,928 | | | $ | - | | | | | | | | | |
Real estate - 1 to 4 family residential | | | 1,059 | | | | 4,000 | | | | 5,059 | | | | 103,231 | | | | 108,290 | | | | 27 | | | | | | | | | |
Real estate - commercial | | | - | | | | 46 | | | | 46 | | | | 206,065 | | | | 206,111 | | | | - | | | | | | | | | |
Real estate - agricultural | | | - | | | | - | | | | - | | | | 53,834 | | | | 53,834 | | | | - | | | | | | | | | |
Commercial | | | 88 | | | | 375 | | | | 463 | | | | 86,360 | | | | 86,823 | | | | - | | | | | | | | | |
Agricultural | | | - | | | | - | | | | - | | | | 81,326 | | | | 81,326 | | | | - | | | | | | | | | |
Consumer and other | | | 35 | | | | - | | | | 35 | | | | 12,760 | | | | 12,795 | | | | - | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 1,182 | | | $ | 4,421 | | | $ | 5,603 | | | $ | 567,504 | | | $ | 573,107 | | | $ | 27 | | | | | | | | | |
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The credit risk profile by internally assigned grade, on a disaggregated basis, as of September 30, 2014 and December 31, 2013 is as follows: (in thousands) |
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2014 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Commercial | | | Agricultural | | | | | | | | | | | | | | | | | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | Total | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Pass | | $ | 27,123 | | | $ | 187,646 | | | $ | 51,819 | | | $ | 74,659 | | | $ | 69,265 | | | $ | 410,512 | | | | | | | | | |
Watch | | | 2,826 | | | | 19,371 | | | | 3,367 | | | | 10,310 | | | | 4,056 | | | | 39,930 | | | | | | | | | |
Special Mention | | | - | | | | 1,130 | | | | - | | | | 567 | | | | 88 | | | | 1,785 | | | | | | | | | |
Substandard | | | 3,025 | | | | 14,101 | | | | 111 | | | | 2,679 | | | | 166 | | | | 20,082 | | | | | | | | | |
Substandard-Impaired | | | 412 | | | | 864 | | | | - | | | | 724 | | | | 19 | | | | 2,019 | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 33,386 | | | $ | 223,112 | | | $ | 55,297 | | | $ | 88,939 | | | $ | 73,594 | | | $ | 474,328 | | | | | | | | | |
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2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Construction | | | Commercial | | | Agricultural | | | | | | | | | | | | | | | | | | | | | |
| | Real Estate | | | Real Estate | | | Real Estate | | | Commercial | | | Agricultural | | | Total | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Pass | | $ | 16,887 | | | $ | 169,659 | | | $ | 51,486 | | | $ | 73,073 | | | $ | 78,476 | | | $ | 389,581 | | | | | | | | | |
Watch | | | 3,545 | | | | 20,267 | | | | 2,051 | | | | 10,717 | | | | 1,963 | | | | 38,543 | | | | | | | | | |
Special Mention | | | - | | | | 798 | | | | - | | | | 796 | | | | 9 | | | | 1,603 | | | | | | | | | |
Substandard | | | 2,986 | | | | 14,862 | | | | 297 | | | | 1,421 | | | | 854 | | | | 20,420 | | | | | | | | | |
Substandard-Impaired | | | 510 | | | | 526 | | | | - | | | | 816 | | | | 24 | | | | 1,876 | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 23,928 | | | $ | 206,112 | | | $ | 53,834 | | | $ | 86,823 | | | $ | 81,326 | | | $ | 452,023 | | | | | | | | | |
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The credit risk profile based on payment activity, on a disaggregated basis, as of September 30, 2014 and December 31, 2013 is as follows: |
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2014 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Residential | | | Consumer | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Real Estate | | | and Other | | | Total | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Performing | | $ | 134,817 | | | $ | 14,672 | | | $ | 149,489 | | | | | | | | | | | | | | | | | | | | | |
Non-performing | | | 470 | | | | 9 | | | | 479 | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 135,287 | | | $ | 14,681 | | | $ | 149,968 | | | | | | | | | | | | | | | | | | | | | |
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2013 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | 1-4 Family | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Residential | | | Consumer | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Real Estate | | | and Other | | | Total | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
Performing | | $ | 107,667 | | | $ | 12,740 | | | $ | 120,407 | | | | | | | | | | | | | | | | | | | | | |
Non-performing | | | 623 | | | | 55 | | | | 678 | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | $ | 108,290 | | | $ | 12,795 | | | $ | 121,085 | | | | | | | | | | | | | | | | | | | | | |
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