Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Aug. 02, 2017 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | Southern National Bancorp of Virginia Inc | |
Entity Central Index Key | 1,325,670 | |
Trading Symbol | sona | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 23,910,353 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2017 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Cash and cash equivalents: | ||
Cash and due from financial institutions | $ 6,813 | $ 4,656 |
Interest-bearing deposits in other financial institutions | 37,787 | 42,736 |
Total cash and cash equivalents | 44,600 | 47,392 |
Securities available for sale, at fair value | 166,976 | 3,918 |
Securities held to maturity, at amortized cost (fair value of $101,661 and $83,344, respectively) | 103,055 | 85,300 |
Total loans | 2,033,160 | 930,415 |
Less allowance for loan losses | (9,197) | (8,610) |
Net loans | 2,023,963 | 921,805 |
Loans held for sale | 16,726 | |
Stock in Federal Reserve Bank and Federal Home Loan Bank | 13,808 | 7,929 |
Equity investment in mortgage affiliate | 4,700 | 4,629 |
Preferred investment in mortgage affiliate | 3,305 | 2,555 |
Bank premises and equipment, net | 36,756 | 8,227 |
Goodwill | 99,166 | 10,514 |
Core deposit intangibles, net | 11,647 | 874 |
FDIC indemnification asset | 1,698 | 2,111 |
Bank-owned life insurance | 50,187 | 23,826 |
Other real estate owned | 8,478 | 8,617 |
Deferred tax assets, net | 22,573 | 6,780 |
Other assets | 23,128 | 7,966 |
Total assets | 2,630,766 | 1,142,443 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Noninterest-bearing demand deposits | 328,300 | 88,783 |
Interest-bearing deposits: | ||
NOW accounts | 328,410 | 26,338 |
Cash management accounts | 10,003 | 9,658 |
Money market accounts | 380,479 | 129,835 |
Savings accounts | 168,029 | 52,755 |
Time deposits | 804,938 | 605,613 |
Total interest-bearing deposits | 1,691,859 | 824,199 |
Total deposits | 2,020,159 | 912,982 |
Securities sold under agreements to repurchase | 8,143 | |
Federal Home Loan Bank (FHLB) advances - short term | 201,475 | 95,000 |
Junior subordinated debt | 9,460 | |
Senior subordinated notes | 47,150 | |
Other liabilities | 21,113 | 8,117 |
Total liabilities | 2,307,500 | 1,016,099 |
Commitments and contingencies (See Note 6) | ||
Stockholders' equity: | ||
Preferred stock, $.01 par value. Authorized 5,000,000 shares; no shares issued and outstanding | ||
Common stock, $.01 par value. Authorized 45,000,000 shares; issued and outstanding, 23,910,353 shares at June 30, 2017 and 12,263,643 at December 31, 2016 | 239 | 123 |
Additional paid in capital | 304,562 | 104,884 |
Retained earnings | 19,366 | 22,126 |
Accumulated other comprehensive loss | (901) | (789) |
Total stockholders' equity | 323,266 | 126,344 |
Total liabilities and stockholders' equity | 2,630,766 | 1,142,443 |
Covered loans | ||
Cash and cash equivalents: | ||
Total loans | 24,668 | 28,180 |
Less allowance for loan losses | ||
Loans held for sale | ||
Non-covered loans | ||
Cash and cash equivalents: | ||
Total loans | 2,008,492 | 902,235 |
Less allowance for loan losses | (9,197) | (8,610) |
Loans held for sale | $ 16,726 |
CONSOLIDATED BALANCE SHEETS (U3
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parentheticals) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Statement Of Financial Position [Abstract] | ||
Securities held to maturity fair value (in dollars) | $ 101,661 | $ 83,344 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 45,000,000 | 45,000,000 |
Common stock, shares issued | 23,910,353 | 12,263,643 |
Common stock, shares outstanding | 23,910,353 | 12,263,643 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Interest and dividend income: | ||||
Interest and fees on loans | $ 13,332 | $ 11,241 | $ 25,093 | $ 21,998 |
Interest and dividends on taxable securities | 618 | 797 | 1,156 | 1,478 |
Interest and dividends on tax exempt securities | 90 | 84 | 174 | 168 |
Interest and dividends on other earning assets | 209 | 169 | 371 | 320 |
Total interest and dividend income | 14,249 | 12,291 | 26,794 | 23,964 |
Interest expense: | ||||
Interest on deposits | 2,258 | 1,978 | 4,418 | 3,790 |
Interest on repurchase agreements | 1 | 1 | ||
Interest on junior subordinated debt | 9 | 9 | ||
Interest on senior subordinated notes | 442 | 771 | ||
Interest on other borrowings | 334 | 139 | 499 | 288 |
Total interest expense | 3,044 | 2,117 | 5,698 | 4,078 |
Net interest income | 11,205 | 10,174 | 21,096 | 19,886 |
Provision for loan losses | 1,050 | 1,387 | 1,600 | 2,012 |
Net interest income after provision for loan losses | 10,155 | 8,787 | 19,496 | 17,874 |
Noninterest income: | ||||
Account maintenance and deposit service fees | 367 | 228 | 580 | 451 |
Income from bank-owned life insurance | 163 | 175 | 326 | 349 |
Equity income (loss) from mortgage affiliate | 112 | 552 | (367) | 632 |
Gain on sales of investment securities | 257 | 257 | ||
Other | (17) | 37 | 19 | 61 |
Total noninterest income | 882 | 992 | 815 | 1,493 |
Noninterest expenses: | ||||
Salaries and benefits | 3,106 | 2,926 | 6,004 | 6,054 |
Occupancy expenses | 844 | 785 | 1,635 | 1,594 |
Furniture and equipment expenses | 247 | 248 | 494 | 437 |
Amortization of core deposit intangible | 74 | 62 | 123 | 124 |
Virginia franchise tax expense | 130 | 97 | 241 | 194 |
FDIC assessment | 68 | 168 | 205 | 313 |
Data processing expense | 210 | 177 | 418 | 349 |
Telephone and communication expense | 183 | 198 | 345 | 385 |
Amortization of FDIC indemnification asset | 176 | 203 | 367 | 419 |
Net loss (gain) on other real estate owned | 266 | (38) | 319 | 83 |
Merger expenses | 8,603 | 8,926 | ||
Other operating expenses | 934 | 771 | 1,817 | 1,678 |
Total noninterest expenses | 14,841 | 5,597 | 20,894 | 11,630 |
(Loss) income before income taxes | (3,804) | 4,182 | (583) | 7,737 |
Income tax (benefit) expense | (962) | 1,393 | 205 | 2,382 |
Net (loss) income | (2,842) | 2,789 | (788) | 5,355 |
Other comprehensive income (loss): | ||||
Unrealized (loss) gain on available for sale securities | (241) | (147) | 81 | (484) |
Realized amounts on securities sold, net | (257) | (257) | ||
Accretion of amounts previously recorded upon transfer to held-to-maturity from available-for-sale | 3 | 4 | 6 | 7 |
Net unrealized (loss) | (495) | (143) | (170) | (477) |
Tax effect | 168 | 48 | 58 | 162 |
Other comprehensive (loss) | (327) | (95) | (112) | (315) |
Comprehensive (loss) income | $ (3,169) | $ 2,694 | $ (900) | $ 5,040 |
(Loss) earnings per share, basic (in dollars per share) | $ (0.21) | $ 0.23 | $ (0.06) | $ 0.44 |
(Loss) earnings per share, diluted (in dollars per share) | $ (0.21) | $ 0.23 | $ (0.06) | $ 0.43 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - 6 months ended Jun. 30, 2017 - USD ($) $ in Thousands | Common Stock | Additional Paid in Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Total |
Balance at Dec. 31, 2016 | $ 123 | $ 104,884 | $ 22,126 | $ (789) | $ 126,344 |
Comprehensive (loss): | |||||
Net (loss) | (788) | (788) | |||
Change in unrealized loss on securities available for sale (net of tax benefit, $60) | (116) | (116) | |||
Change in unrecognized loss on securities held to maturity for which a portion of OTTI has been recognized (net of tax, $2 and accretion, $4 and amounts recorded into other comprehensive income at transfer) | 4 | 4 | |||
Dividends on common stock ($0.16 per share) | (1,972) | (1,972) | |||
Issuance of common stock for warrants exercised (49,500 shares) | 449 | 449 | |||
Issuance of common stock under Stock Incentive Plan (39,450 shares) | 335 | 335 | |||
Issuance of common stock in connection with Eastern Virginia Bankshares, Inc. merger (11,557,760 shares) | 116 | 198,793 | 198,909 | ||
Stock-based compensation expense | 101 | 101 | |||
Balance at Jun. 30, 2017 | $ 239 | $ 304,562 | $ 19,366 | $ (901) | $ 323,266 |
CONSOLIDATED STATEMENT OF CHAN6
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) (Parentheticals) $ in Thousands | 6 Months Ended |
Jun. 30, 2017USD ($)$ / sharesshares | |
Statement Of Stockholders Equity [Abstract] | |
Tax on change in unrealized loss on securities available for sale | $ | $ 60 |
Tax on change in unrecognized loss on securities held to maturity, portion of OTTI | $ | 2 |
Accretion in changes in unrecognized loss on securities held to maturity, portion of OTTI | $ | $ 4 |
Common stock dividends per share (in dollars per share) | $ / shares | $ 0.16 |
Issuance of common stock for warrants exercised (in shares) | shares | 49,500 |
Issuance of common shares under Stock Incentive Plan (in shares) | shares | 39,450 |
Issuance of common stock in connection with Eastern Virginia Bankshares, Inc. merger (in shares) | shares | 11,557,760 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Operating activities: | ||
Net (loss) income | $ (788) | $ 5,355 |
Adjustments to reconcile net (loss) income to net cash and cash equivalents provided by operating activities: | ||
Depreciation | 426 | 415 |
Amortization of core deposit intangible | 123 | 124 |
Other amortization, net | 110 | (97) |
Accretion of loan discount | (848) | (993) |
Amortization of FDIC indemnification asset | 367 | 419 |
Provision for loan losses | 1,600 | 2,012 |
Earnings on bank-owned life insurance | (326) | (349) |
Equity loss (income) on mortgage affiliate | 367 | (632) |
Stock-based compensation expense | 101 | 136 |
Net gain on sales of investment securities | (257) | |
Net loss on other real estate owned | 319 | 83 |
Net increase in other assets | (338) | (1,720) |
Net (decrease) increase in other liabilities | (490) | 690 |
Net cash and cash equivalents provided by operating activities | 366 | 5,443 |
Investing activities: | ||
Proceeds from sales of investment securities | 4,767 | |
Purchases of held to maturity investment securities | (9,950) | (25,063) |
Proceeds from paydowns, maturities and calls of held to maturity investment securities | 7,141 | 29,679 |
Loan originations and payments, net | (63,223) | (78,074) |
Distribution from mortgage affiliate | 48 | 396 |
Net decrease (increase) in stock in Federal Reserve Bank and Federal Home Loan Bank | 855 | (681) |
Proceeds from sales of other real estate owned | 383 | 1,042 |
Purchases of bank premises and equipment | (339) | (93) |
Acquisition of Eastern Virginia Bankshares, Inc. | (10) | |
Cash acquired in acquisition of Eastern Virginia Bankshares, Inc. | 24,025 | |
Net cash and cash equivalents used in investing activities | (36,303) | (72,794) |
Financing activities: | ||
Net (decrease) increase in deposits | (40,742) | 67,075 |
Cash dividends paid - common stock | (1,972) | (1,959) |
Issuance of common stock for warrants exercised | 449 | |
Issuance of common stock under Stock Incentive Plan | 335 | 104 |
Issuance of subordinated notes net of cost | 26,075 | |
Net increase in short-term borrowings | 49,000 | 18,500 |
Net decrease in long-term borrowings | (5,000) | |
Net cash and cash equivalents provided by financing activities | 33,145 | 78,720 |
(Decrease) Increase in cash and cash equivalents | (2,792) | 11,369 |
Cash and cash equivalents at beginning of period | 47,392 | 30,336 |
Cash and cash equivalents at end of period | 44,600 | 41,705 |
Cash payments for: | ||
Interest | 4,633 | 4,089 |
Income taxes | 2,390 | 2,658 |
Supplemental schedule of noncash investing and financing activities | ||
Transfer from covered loans to other real estate owned | $ 144 | |
Assets acquired, excluding cash and cash equivalents of $24,025 | 1,343,767 | |
Liabilities assumed | $ 1,257,533 |
ACCOUNTING POLICIES
ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
ACCOUNTING POLICIES | 1. ACCOUNTING POLICIES Southern National Bancorp of Virginia, Inc. (“Southern National” or “SNBV” or the “Company”) is a corporation that was formed on July 28, 2004 under the laws of the Commonwealth of Virginia and is the holding company for Sonabank (“Sonabank” or the “Bank”) a Virginia state-chartered bank which commenced operations on April 14, 2005. As of the close of business on June 23, 2017, SNBV completed its previously announced merger of Eastern Virginia Bankshares, Inc. (“EVBS”) with and into SNBV and the completion of the merger of EVBS’s wholly-owned subsidiary, EVB, with and into SNBV’s wholly-owned subsidiary, Sonabank (see Note 2 - Business Combinations). This combination brings together two banking companies with complementary business lines, creating one of the premier banking institutions headquartered in the Commonwealth of Virginia. EVBS was the holding company for EVB, a Virginia state-chartered bank which traced its beginnings to 1910. Sonabank provides a range of financial services to individuals and small and medium sized businesses. At June 30, 2017, Sonabank had thirty-nine retail branches in Virginia, located in the counties of Essex (2), Fairfax (Reston, McLean and Fairfax), Gloucester (2), Hanover (3), King William, Lancaster, Middlesex (3), New Kent, Northumberland (3), Southampton, Surry, Sussex, and in Charlottesville, Clifton Forge, Colonial Heights, Front Royal, Hampton, Haymarket, Leesburg (2), Middleburg, New Market, Newport News, Richmond (2), South Riding, Warrenton (2), and Williamsburg, and eight retail branches in Maryland, in Rockville, Shady Grove, Frederick, Bethesda, Upper Marlboro, Brandywine, Owings and Huntingtown. The consolidated financial statements include the accounts of Southern National and its subsidiaries Sonabank and EVB Statutory Trust I (the “Trust”). Significant inter-company accounts and transactions have been eliminated in consolidation. The unaudited consolidated financial statements have been prepared in accordance with U. S. generally accepted accounting principles (“U. S. GAAP”) for interim financial information and instructions for Form 10-Q and follow general practice within the banking industry. Accordingly, the unaudited consolidated financial statements do not include all of the information and footnotes required by U. S. GAAP for complete financial statements. However, in the opinion of management, all adjustments (consisting only of normal recurring accruals) necessary for a fair presentation of the results of the interim periods presented have been made. The results of operations for the interim periods are not necessarily indicative of the results that may be expected for the full year. For further information, refer to the consolidated financial statements and footnotes thereto included in Southern National’s Form 10-K for the year ended December 31, 2016. Use of Estimates The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the carrying value of investment securities, other than temporary impairment of investment securities, the valuation of goodwill and intangible assets, the FDIC indemnification asset, mortgage servicing rights, other real estate owned, deferred tax assets, and fair value measurements related to assets acquired and liabilities assumed from business combinations. Recent Accounting Pronouncements In January 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-1, Financial Instruments Overall (Topic 825): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU 2016-07 , Investments – Equity Method and Joint Ventures (Topic 323), Simplifying the Transition to the Equity Method of Accounting In May 2014, the FASB issued ASU No. 2014-09, Revenue From Contracts With Customers (Topic 606). In March 2016, the FASB issued ASU 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In June 2016 , Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments sets forth a “current expected credit loss” ("CECL") model requiring the Company to measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions and reasonable supportable forecasts. This replaces the existing incurred loss model and is applicable to the measurement of credit losses on financial assets measured at amortized cost and applies to some off-balance sheet credit exposures. For public business entities that are U.S. Securities and Exchange Commission filers, the amendments in this update are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. SNBV is currently assessing the impact of the adoption of this ASU on its consolidated financial statements and is collecting data that will be needed to produce historical inputs into any models created as a result of adopting this ASU . In August 2016, the FASB issued new guidance related to the Statement of Cash Flows In January 2017, the FASB issued ASU 2017-04 , Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment , In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business, In January 2017, the FASB issued ASU 2017-03, Accounting Changes and Error Corrections Investments – Equity Method and Joint Ventures – Amendments to SEC Paragraphs Pursuant to Staff Announcements at the September 22, 2016 and November 17, 2016 EITF Meetings. In March 2017, the FASB issued ASU 2017-08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20), Premium Amortization on Purchased Callable Debt Securities, In May 2017, the FASB issued ASU 2017-09, Compensation - Stock Compensation (Topic 718) Scope of Modification Accounting |
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS | 6 Months Ended |
Jun. 30, 2017 | |
Business Combinations [Abstract] | |
BUSINESS COMBINATIONS | 2. BUSINESS COMBINATIONS On June 23, 2017, SNBV completed its acquisition of EVBS and its subsidiaries, the Trust and EVB. Pursuant to the Agreement and Plan of Merger, dated December 13, 2016, as amended, holders of EVBS common stock received 0.6313 shares of SNBV common stock for each outstanding share of EVBS common stock held immediately prior to the effective time of the Merger and holders of Non-Voting Mandatorily Convertible Non-Cumulative Preferred Stock, Series B of EVBS (“EVBS Series B Preferred Stock”) received 0.6313 shares of SNBV common stock for each share of EVBS Series B Preferred Stock held immediately prior to the effective time of the Merger, which totaled approximately $198.9 million based on SNBV’s closing common stock price on June 23, 2017 of $17.21 per share. EVBS was a bank holding company organized and chartered under the laws of the Commonwealth of Virginia on September 5, 1997, commenced operations on December 29, 1997 and was headquartered in Glen Allen, Virginia. EVBS operated twenty-four retail branches, which served diverse markets that primarily are in the counties of Essex, Gloucester, Hanover, Henrico, King and Queen, King William, Lancaster, Middlesex, New Kent, Northumberland, Southampton, Surry, Sussex and the cities of Colonial Heights, Hampton, Newport News, Richmond and Williamsburg. SNBV accounted for the acquisition using the acquisition method of accounting in accordance with FASB Accounting Standards Codification (“ASC”) 805, “Business Combinations.” The following table details the total consideration paid by SNBV on June 23, 2017 in connection with the acquisition of EVBS, the fair values of the assets acquired and liabilities assumed, and the resulting goodwill. As Recorded Fair Value As Recorded (dollars in thousands)(unaudited) by EVBS Adjustments by the Company Consideration paid: Cash $ 10 SNBV common stock 198,909 Total consideration paid $ 198,919 Identifiable assets acquired: Cash and due from banks $ 4,350 $ - $ 4,350 Interest bearing deposits with banks 18,993 - 18,993 Federal funds sold 682 - 682 Securities available for sale, at fair value 163,029 262 163,291 Securities held to maturity, at carrying value 19,036 508 19,544 Restricted securities, at cost 6,734 - 6,734 Loans 1,048,563 (8,876 ) 1,039,687 Loans held for sale 16,726 - 16,726 Deferred income taxes 15,735 - 15,735 Bank premises and equipment 24,242 4,352 28,594 Assets held for sale 2,970 (1,285 ) 1,685 Accrued interest receivable 4,272 - 4,272 Other real estate owned 563 - 563 Core deposit intangible 435 10,462 10,897 Bank owned life insurance 26,035 - 26,035 Other assets 10,004 - 10,004 Total identifiable assets acquired 1,362,369 5,423 1,367,792 Identifiable liabilities assumed: Noninterest-bearing demand accounts 226,637 - 226,637 Interest-bearing deposits 920,743 1,081 921,824 Federal funds purchased and repurchase agreements 7,598 - 7,598 Federal Home Loan Bank advances 57,475 - 57,475 Junior subordinated debt 10,310 (851 ) 9,459 Senior subordinated notes 19,175 1,879 21,054 Accrued interest payable 902 - 902 Other liabilities 12,584 - 12,584 Total identifiable liabilities assumed 1,255,424 2,109 1,257,533 Net identifiable assets acquired $ 106,945 $ 3,314 $ 110,259 Goodwill resulting from acquisition $ 88,660 The net effect of the amortization and accretion of premiums and discounts associated with the Company’s acquisition accounting adjustments to assets acquired and liabilities assumed from EVBS had the following impact on the consolidated statements of operations during the three and six months ended June 30, 2017: Three and Six Months (dollars in thousands) Ended June 30, 2017 Loans (1) $ 91 Time deposits (2) 4 Junior and senior subordinated debt (3) 2 Core deposit intangible (4) (26 ) Net impact to income before income taxes $ 71 (1) Loan discount accretion is included in the “Interest and fees on loans” section of “Interest and dividend income” in the Consolidated Statements of Operations. (2) Time deposit premium amortization is included in the "Interest on deposits" section of "Interest expense" in the Consolidated Statements of Operations. (3) The junior subordinated debt discount accretion and senior subordinated debt premium amortization are included in the “Interest on junior subordinated debt” and “Interest on senior subordinated notes” section of “Interest expense”, respectively, in the Consolidated Statements of Operations. (4) Core deposit intangible premium amortization is included in the "Other operating expenses" section of "Noninterest expenses" in the Consolidated Statements of Operations. Fair values of the major categories of assets acquired and liabilities assumed were determined as follows: Loans Loans Held for Sale Premises and Equipment and Assets Held for Sale Core Deposit Intangible Time Deposits FHLB Advances Junior Subordinated Debt and Senior Subordinated Notes: Deferred Income Taxes The table below illustrates the unaudited pro forma revenue and net income of the combined entities had the acquisition taken place on January 1, 2016. The unaudited combined pro forma revenue and net income combines the historical results of EVBS with the Company's consolidated statements of operations for the periods listed below and, while certain adjustments were made for the estimated effect of certain fair value adjustments and other acquisition-related activity, they are not indicative of what would have occurred had the acquisition actually taken place on January 1, 2016. Acquisition-related expenses of $8.6 million and $8.9 million were included in the Company's actual consolidated statements of operations for the three and six months ended June 30, 2017, but were excluded from the unaudited pro forma information listed below. While the majority of the acquisition-related expenses have been recognized in the first half of 2017, the Company believes that additional legal and other transition expenses related to this acquisition will be likely throughout the remainder of 2017. Additionally, the Company expects to achieve further operational cost savings and other efficiencies as a result of the acquisition which are not reflected in the unaudited pro forma amounts below: Unaudited Unaudited Unaudited Unaudited Pro Forma Pro Forma Pro Forma Pro Forma Three Months Ended Three Months Ended Six Months Ended Six Months Ended June 30, June 30, June 30, June 30, (dollars in thousands) 2017 2016 2017 2016 Net interest income $ 21,584 $ 21,139 $ 43,421 $ 41,866 Net income 6,585 5,706 12,218 11,506 |
STOCK- BASED COMPENSATION
STOCK- BASED COMPENSATION | 6 Months Ended |
Jun. 30, 2017 | |
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract] | |
STOCK-BASED COMPENSATION | 3. STOCK-BASED COMPENSATION In 2004, the Board of Directors adopted a stock option plan that authorized the reservation of up to 302,500 shares of common stock and provided for the granting of stock options to certain directors, officers and employees. The 2010 Stock Awards and Incentive Plan (the “2010 Plan”) was approved by the Board of Directors in January 2010 and approved by the stockholders at the Annual Meeting in April 2010. The 2010 plan authorized the reservation of an additional 700,000 shares of common stock for the granting of stock awards. The options granted to officers and employees are incentive stock options and the options granted to non-employee directors are non-qualified stock options. The purpose of the plan is to afford key employees an incentive to remain in the employ of Southern National and to assist in the attracting and retaining of non-employee directors by affording them an opportunity to share in Southern National’s future success. Under the plan, the option’s price cannot be less than the fair market value of the stock on the grant date. The maximum term of the options is ten years and options granted may be subject to a graded vesting schedule. At the June 21, 2017 Annual Meeting of Stockholders of Southern National, the 2017 Equity Compensation Plan (the “2017 Plan”) was approved as recommended by the Board of Directors. The 2017 Plan replaces the 2010 Plan and has a maximum number of 750,000 shares reserved for issuance. The purpose of the 2017 Plan is to promote the success of the Company by providing greater incentive to employees, non-employee directors, consultants and advisors to associate their personal interests with the long-term financial success of the Company, including its subsidiaries, and with growth in stockholder value, consistent with the Company’s risk management practices. Because the 2017 Plan was approved, shares under the 2004 stock-option plan or 2010 Plan will no longer be awarded. Southern National granted no regular options during the first six months of 2017, but did issue 22,559 options in connection with the merger with EVBS. Immediately prior to the effective time of the merger, each option to purchase shares of EVBS common stock granted under an EVBS stock plan vested and was converted into and became an option to purchase shares of common stock of SNBV (each, an “Assumed Option”), which was adjusted (i) by multiplying the number of shares of common stock that could be purchased under the Assumed Option by the 0.6313 exchange ratio and rounding down to the nearest share and (ii) by dividing the per share exercise price of the option by the 0.6313 exchange ratio and rounding up to the nearest cent. SNBV assumed each Assumed Option in accordance with the terms of the EVBS stock plan and award agreement by which it is evidenced. For the three and six months ended June 30, 2017, stock-based compensation expense was $41 thousand and $101 thousand, respectively, compared to $58 thousand and $136 thousand for the same periods last year. As of June 30, 2017, unrecognized compensation expense associated with the stock options was $349 thousand, which is expected to be recognized over a weighted average period of 2.1 years. A summary of the activity in the stock option plan during the six months ended June 30, 2017 follows (dollars in thousands): Weighted Weighted Average Aggregate Average Remaining Intrinsic Exercise Contractual Value Shares Price Term (in thousands) Options outstanding, beginning of period 782,200 $ 9.56 Granted - - Options issued in connection with EVBS merger 22,559 24.54 Forfeited (2,200 ) 14.73 Exercised (39,450 ) 8.50 Options outstanding, end of period 763,109 $ 10.04 6.0 $ 5,926 Vested or expected to vest 763,109 $ 10.04 6.0 $ 5,926 Exercisable at end of period 413,839 $ 7.75 4.4 $ 3,646 |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 6 Months Ended |
Jun. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENT SECURITIES | 4. INVESTMENT SECURITIES The amortized cost and fair value of available for sale investment securities and the related gross unrealized gains and losses recognized in accumulated other comprehensive income (loss) were as follows (in thousands): Amortized Gross Unrealized Fair June 30, 2017 Cost Gains Losses Value Agency residential mortgage-backed securities (fixed and variable rate) $ 33,487 $ - $ (188 ) $ 33,299 Obligations of states and political subdivisions 18,719 19 (126 ) 18,612 Corporate securities 2,015 - - 2,015 Trust preferred securities 2,589 - (313 ) 2,276 Residential government-sponsored collateralized mortgage obligations 56,020 1 (270 ) 55,751 Agency commercial mortgage-backed securities 28,346 - (228 ) 28,118 SBA pool securities 26,929 6 (30 ) 26,905 $ 168,105 $ 26 $ (1,155 ) $ 166,976 Amortized Gross Unrealized Fair December 31, 2016 Cost Gains Losses Value Obligations of states and political subdivisions $ 2,280 $ 9 $ (30 ) $ 2,259 Trust preferred securities 2,590 - (931 ) 1,659 $ 4,870 $ 9 $ (961 ) $ 3,918 The amortized cost, unrecognized gains and losses, and fair value of investment securities held to maturity were as follows (in thousands): Amortized Gross Unrecognized Fair June 30, 2017 Cost Gains Losses Value Residential government-sponsored mortgage-backed securities $ 12,718 $ 33 $ (62 ) $ 12,689 Residential government-sponsored collateralized mortgage obligations 10,312 - (51 ) 10,261 Government-sponsored agency securities 52,927 52 (1,425 ) 51,554 Obligations of states and political subdivisions 23,656 135 (64 ) 23,727 Trust preferred securities 3,442 13 (25 ) 3,430 $ 103,055 $ 233 $ (1,627 ) $ 101,661 Amortized Gross Unrecognized Fair December 31, 2016 Cost Gains Losses Value Residential government-sponsored mortgage-backed securities $ 18,594 $ 308 $ (118 ) $ 18,784 Residential government-sponsored collateralized mortgage obligations 2,371 - (54 ) 2,317 Government-sponsored agency securities 47,975 28 (1,865 ) 46,138 Obligations of states and political subdivisions 12,706 53 (162 ) 12,597 Trust preferred securities 3,654 - (146 ) 3,508 $ 85,300 $ 389 $ (2,345 ) $ 83,344 The amortized cost amounts are net of recognized other than temporary impairment. The fair value and carrying amount, if different, of debt investment securities as of June 30, 2017, by contractual maturity were as follows (in thousands). Investment securities not due at a single maturity date are shown separately. Held to Maturity Available for Sale Amortized Amortized Cost Fair Value Cost Fair Value Due in one to five years $ 1,457 $ 1,474 $ 1,960 $ 1,955 Due in five to ten years 12,056 11,987 4,866 4,855 Due after ten years 66,512 65,250 16,497 16,093 Agency residential mortgage-backed securities (fixed and variable rate) 12,718 12,689 33,487 33,299 Residential government-sponsored collateralized mortgage obligations 10,312 10,261 56,020 55,751 Agency commercial mortgage-backed securities - - 28,346 28,118 SBA pool securities - - 26,929 26,905 Total $ 103,055 $ 101,661 $ 168,105 $ 166,976 Investment securities with a carrying amount of approximately $69.6 million and $73.9 million at June 30, 2017 and December 31, 2016, respectively, were pledged to secure public deposits, certain other deposits, a line of credit for advances from the Federal Home Loan Bank of Atlanta (“FHLB”), and repurchase agreements. Southern National monitors the portfolio for indicators of other than temporary impairment. At June 30, 2017 and December 31, 2016, certain investment securities’ fair values were below cost. As outlined in the table below, there were investment securities with fair values totaling approximately $227.7 million in the portfolio with the carrying value exceeding the estimated fair value that are considered temporarily impaired at June 30, 2017. Because the decline in fair value is attributable to changes in interest rates and market illiquidity, and not credit quality, and because we do not have the intent to sell these investment securities and it is likely that we will not be required to sell the investment securities before their anticipated recovery, management does not consider these investment securities to be other-than-temporarily impaired as of June 30, 2017. The following tables present information regarding investment securities in a continuous unrealized loss position as of June 30, 2017 and December 31, 2016 (in thousands) by duration of time in a loss position: June 30, 2017 Less than 12 months 12 Months or More Total Available for Sale Fair value Unrealized Fair value Unrealized Fair value Unrealized Agency residential mortgage-backed securities (fixed and variable rate) $ 33,299 $ (188 ) $ - $ - $ 33,299 $ (188 ) Obligations of states and political subdivisions 15,901 (126 ) - - 15,901 (126 ) Trust preferred securities - - 2,276 (313 ) 2,276 (313 ) Residential government-sponsored collateralized mortgage obligations 55,333 (270 ) - - 55,333 (270 ) Agency commercial mortgage-backed securities 28,118 (228 ) - - 28,118 (228 ) SBA pool securities 24,271 (30 ) - - 24,271 (30 ) $ 156,922 $ (842 ) $ 2,276 $ (313 ) $ 159,198 $ (1,155 ) Less than 12 months 12 Months or More Total Held to Maturity Fair value Unrecognized Fair value Unrecognized Fair value Unrecognized Residential government-sponsored mortgage-backed securities $ 6,576 $ (53 ) $ 421 $ (9 ) $ 6,997 $ (62 ) Residential government-sponsored collateralized mortgage obligations 9,404 (30 ) 857 (21 ) 10,261 (51 ) Government-sponsored agency securities 25,080 (896 ) 14,471 (529 ) 39,551 (1,425 ) Obligations of states and political subdivisions 10,368 (38 ) 1,100 (26 ) 11,468 (64 ) Trust preferred securities - - 236 (25 ) 236 (25 ) $ 51,428 $ (1,017 ) $ 17,085 $ (610 ) $ 68,513 $ (1,627 ) December 31, 2016 Less than 12 months 12 Months or More Total Available for Sale Fair value Unrealized Fair value Unrealized Fair value Unrealized Obligations of states and political subdivisions $ 1,706 $ (30 ) $ - $ - $ 1,706 $ (30 ) Trust preferred securities - - 1,658 (931 ) 1,658 (931 ) $ 1,706 $ (30 ) $ 1,658 $ (931 ) $ 3,364 $ (961 ) Less than 12 months 12 Months or More Total Held to Maturity Fair value Unrecognized Fair value Unrecognized Fair value Unrecognized Residential government-sponsored mortgage-backed securities $ 10,238 $ (110 ) $ 457 $ (8 ) $ 10,695 $ (118 ) Residential government-sponsored collateralized mortgage obligations 1,346 (27 ) 971 (27 ) 2,317 (54 ) Government-sponsored agency securities 41,110 (1,865 ) - - 41,110 (1,865 ) Obligations of states and political subdivisions 3,578 (98 ) 1,065 (64 ) 4,643 (162 ) Trust preferred securities - - 3,508 (146 ) 3,508 (146 ) $ 56,272 $ (2,100 ) $ 6,001 $ (245 ) $ 62,273 $ (2,345 ) As of June 30, 2017, we owned pooled trust preferred securities as follows: Previously % of Current Recognized Defaults and Cumulative Ratings Estimated Deferrals to Other Tranche When Purchased Current Ratings Fair Total Comprehensive Security Level Moody's Fitch Moody's Fitch Par Value Book Value Value Collateral Loss (1) Held to Maturity (in thousands) ALESCO VII A1B Senior Aaa AAA Aa2 A $ 3,454 $ 3,181 $ 3,195 11 % $ 233 MMCF III B Senior Sub A3 A- Ba1 BB 265 261 235 32 % 4 3,719 3,442 3,430 $ 237 Cumulative OTTI Available for Sale Related to Other Than Temporarily Impaired: Credit Loss (2) TPREF FUNDING II Mezzanine A1 A- Caa3 C 1,500 1,099 847 37 % $ 400 ALESCO V C1 Mezzanine A2 A Caa2 C 2,150 1,490 1,429 10 % 660 3,650 2,589 2,276 $ 1,060 Total $ 7,369 $ 6,031 $ 5,706 (1) Pre-tax, and represents unrealized losses at date of transfer from available-for-sale to held-to-maturity, net of accretion (2) Pre-tax Each of these securities has been evaluated for other-than-temporary-impairment. In performing a detailed cash flow analysis of each security, Sonabank works with independent third parties to estimate expected cash flows and assist with the evaluation of other than temporary impairment. The cash flow analyses performed included the following assumptions: · 0.5% of the remaining performing collateral will default or defer per annum. · Recoveries of 9% with a two year lag on all defaults and deferrals. · No prepayments for 10 years and then 1% per annum for the remaining life of the security. · Our securities have been modeled using the above assumptions by independent third parties using the forward LIBOR curve to discount projected cash flows to present values. We recognized no other-than-temporary impairment charges during the three and six months ended June 30, 2017 and 2016, respectively. The following table presents a roll forward of the credit losses on our investment securities previously classified as held to maturity and now classified as available for sale recognized in earnings for the six months ended June 30, 2017 and 2016 (in thousands): 2017 2016 Amount of cumulative other-than-temporary impairment related to credit loss prior to January 1 $ 1,060 $ 1,060 Amounts related to credit loss for which an other-than-temporary impairment was not previously recognized - - Amounts related to credit loss for which an other-than-temporary impairment was previously recognized - - Reductions due to realized losses - - Amount of cumulative other-than-temporary impairment related to credit loss as of June 30 $ 1,060 $ 1,060 Changes in accumulated other comprehensive income by component for the three and six months ended June 30, 2017 and 2016 are shown in the table below. All amounts are net of tax (in thousands). Unrealized Holding For the three months ended June 30, 2017 (Losses) on Held to Maturity Available for Sale Securities Securities Total Beginning balance $ (414 ) $ (160 ) $ (574 ) Other comprehensive (loss) income before reclassifications (329 ) 2 (327 ) Net current-period other comprehensive (loss) income (329 ) 2 (327 ) Ending balance $ (743 ) $ (158 ) $ (901 ) Unrealized Holding For the six months ended June 30, 2017 (Losses) on Held to Maturity Available for Sale Securities Securities Total Beginning balance $ (627 ) $ (162 ) $ (789 ) Other comprehensive (loss) income before reclassifications (116 ) 4 (112 ) Net current-period other comprehensive (loss) income (116 ) 4 (112 ) Ending balance $ (743 ) $ (158 ) $ (901 ) Unrealized Holding For the three months ended June 30, 2016 (Losses) on Held to Maturity Available for Sale Securities Securities Total Beginning balance $ (662 ) $ (168 ) $ (830 ) Other comprehensive (loss) income before reclassifications (98 ) 3 (95 ) Net current-period other comprehensive (loss) income (98 ) 3 (95 ) Ending balance $ (760 ) $ (165 ) $ (925 ) Unrealized Holding For the six months ended June 30, 2016 (Losses) on Held to Maturity Available for Sale Securities Securities Total Beginning balance $ (440 ) $ (170 ) $ (610 ) Other comprehensive (loss) income before reclassifications (320 ) 5 (315 ) Net current-period other comprehensive (loss) income (320 ) 5 (315 ) Ending balance $ (760 ) $ (165 ) $ (925 ) |
LOANS AND ALLOWANCE FOR LOAN LO
LOANS AND ALLOWANCE FOR LOAN LOSSES | 6 Months Ended |
Jun. 30, 2017 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
LOANS AND ALLOWANCE FOR LOAN LOSSES | 5. LOANS AND ALLOWANCE FOR LOAN LOSSES The following table summarizes the composition of our loan portfolio as of June 30, 2017 and December 31, 2016: Covered Non-covered Total Covered Non-covered Total Loans (1) Loans Loans Loans (1) Loans Loans June 30, 2017 December 31, 2016 Loans secured by real estate: Commercial real estate - owner-occupied $ - $ 396,489 $ 396,489 $ - $ 154,807 $ 154,807 Commercial real estate - non-owner-occupied - 465,065 465,065 - 279,634 279,634 Secured by farmland - 13,405 13,405 - 541 541 Construction and land loans - 188,093 188,093 - 91,067 91,067 Residential 1-4 family 9,808 446,303 456,111 10,519 220,291 230,810 Multi- family residential - 72,014 72,014 - 30,021 30,021 Home equity lines of credit 14,860 138,082 152,942 17,661 11,542 29,203 Total real estate loans 24,668 1,719,451 1,744,119 28,180 787,903 816,083 Commercial loans - 249,343 249,343 - 115,365 115,365 Consumer loans - 41,405 41,405 - 856 856 Gross loans 24,668 2,010,199 2,034,867 28,180 904,124 932,304 Less deferred fees on loans - (1,707 ) (1,707 ) - (1,889 ) (1,889 ) Loans, net of deferred fees $ 24,668 $ 2,008,492 $ 2,033,160 $ 28,180 $ 902,235 $ 930,415 Loans held for sale $ - $ 16,726 $ 16,726 $ - $ - $ - (1) Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering single family loans expires in December 2019. Accounting policy related to the allowance for loan losses is considered a critical policy given the level of estimation, judgment, and uncertainty in the levels of the allowance required to account for the inherent probable losses in the loan portfolio and the material effect such estimation, judgment, and uncertainty can have on the consolidated financial results. On June 23, 2017, in connection with the merger with EVBS, SNBV acquired loans held for sale with a fair value of $16.7 million and loans held for investment with an unpaid principal balance of $1.06 billion and an estimated fair value of $1.04 billion, which created an accretable discount of $15.4 million at acquisition. Accretion of $91 thousand associated with these acquired loans held for investment was recognized in the second quarter of 2017. Loans held for sale represent the potentially credit-impaired loans acquired in the EVBS acquisition that were moved out of loans held for investment and marked to fair value by EVBS just prior to the merger with the intent to sell the loans to a third party. As part of the Greater Atlantic Bank acquisition, the Bank and the FDIC entered into loss sharing agreements on approximately $143.4 million (contractual basis) of Greater Atlantic Bank’s assets. There were two agreements with the FDIC: one for single family loans which is a 10-year agreement expiring in December 2019, and one for non-single family (commercial) assets which was a 5-year agreement which expired in December 2014. The Bank will share in the losses on the loans and foreclosed loan collateral with the FDIC as specified in the loss sharing agreements; we refer to these assets collectively as “covered assets.” Loans that are not covered in the loss sharing agreement are referred to as “non-covered loans”. As of June 30, 2017, non-covered loans included $22.1 million of loans acquired in the HarVest acquisition and $38.8 million acquired in the Prince Georges Federal Savings Bank (“PGFSB”) acquisition. Accretable discount on the acquired EVBS, Greater Atlantic Bank, PGFSB, and the HarVest loans totaled $21.1 million and $6.5 million at June 30, 2017 and December 31, 2016, respectively. Credit-impaired covered loans are those loans which presented evidence of credit deterioration at the date of acquisition and it is probable that Southern National would not collect all contractually required principal and interest payments. Generally, acquired loans that meet Southern National’s definition for nonaccrual status fell within the definition of credit-impaired covered loans. Impaired loans for the covered and non-covered portfolios were as follows (in thousands): June 30, 2017 Covered Loans Non-covered Loans Total Loans Unpaid Unpaid Unpaid Recorded Principal Related Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment (1) Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 2,043 2,610 - 2,043 2,610 - Residential 1-4 family (3) 1,285 1,495 - - - - 1,285 1,495 - Other consumer loans - - - - - - - - - Total $ 1,285 $ 1,495 $ - $ 2,043 $ 2,610 $ - $ 3,328 $ 4,105 $ - With an allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 1,220 $ 1,326 $ 250 $ 1,220 $ 1,326 $ 250 Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - - - - - - - Residential 1-4 family (3) - - - 376 517 100 376 517 100 Other consumer loans - - - - - - - - - Total $ - $ - $ - $ 1,596 $ 1,843 $ 350 $ 1,596 $ 1,843 $ 350 Grand total $ 1,285 $ 1,495 $ - $ 3,639 $ 4,453 $ 350 $ 4,924 $ 5,948 $ 350 (1) Recorded investment is after cumulative prior charge offs of $814 thousand. These loans also have aggregate SBA guarantees of $2.0 million. (2) Includes loans secured by farmland and multi-family residential loans. (3) Includes home equity lines of credit. December 31, 2016 Covered Loans Non-covered Loans Total Loans Unpaid Unpaid Unpaid Recorded Principal Related Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment (1) Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 5,583 $ 5,592 $ - $ 5,583 $ 5,592 $ - Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 3,002 3,603 - 3,002 3,603 - Residential 1-4 family (3) 963 1,113 - - - - 963 1,113 - Other consumer loans - - - - - - - - - Total $ 963 $ 1,113 $ - $ 8,585 $ 9,195 $ - $ 9,548 $ 10,308 $ - With an allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 688 $ 688 $ 150 $ 688 $ 688 $ 150 Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 3,378 5,798 750 3,378 5,798 750 Residential 1-4 family (3) - - - - - - - - - Other consumer loans - - - - - - - - - Total $ - $ - $ - $ 4,066 $ 6,486 $ 900 $ 4,066 $ 6,486 $ 900 Grand total $ 963 $ 1,113 $ - $ 12,651 $ 15,681 $ 900 $ 13,614 $ 16,794 $ 900 (1) Recorded investment is after cumulative prior charge offs of $3.0 million. These loans also have aggregate SBA guarantees of $2.2 million. (2) Includes loans secured by farmland and multi-family residential loans. (3) Includes home equity lines of credit. The following tables present the average recorded investment and interest income for impaired loans recognized by class of loans for the three and six months ended June 30, 2017 and 2016 (in thousands): Three months ended June 30, 2017 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 2,052 - 2,052 - Residential 1-4 family (2) 1,287 9 - - 1,287 9 Other consumer loans - - - - - - Total $ 1,287 $ 9 $ 2,052 $ - $ 3,339 $ 9 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 1,271 $ 8 $ 1,271 $ 8 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - - - - - Residential 1-4 family (2) - - 430 - 430 - Other consumer loans - - - - - - Total $ - $ - $ 1,701 $ 8 $ 1,701 $ 8 Grand total $ 1,287 $ 9 $ 3,753 $ 8 $ 5,040 $ 17 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Three months ended June 30, 2016 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,826 $ 73 $ 6,826 $ 73 Commercial real estate - non-owner occupied (1) - - 133 3 133 3 Construction and land development - - - - - - Commercial loans - - 3,031 14 3,031 14 Residential 1-4 family (2) 1,047 9 - - 1,047 9 Other consumer loans - - - - - - Total $ 1,047 $ 9 $ 9,990 $ 90 $ 11,037 $ 99 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 695 $ 8 $ 695 $ 8 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 3,494 39 3,494 39 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 4,189 $ 47 $ 4,189 $ 47 Grand total $ 1,047 $ 9 $ 14,179 $ 137 $ 15,226 $ 146 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Six months ended June 30, 2017 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 2,085 - 2,085 - Residential 1-4 family (2) 1,288 17 - - 1,288 17 Other consumer loans - - - - - - Total $ 1,288 $ 17 $ 2,085 $ - $ 3,373 $ 17 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 1,297 $ 16 $ 1,297 $ 16 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - - - - - Residential 1-4 family (2) - - 336 - 336 - Other consumer loans - - - - - - Total $ - $ - $ 1,633 $ 16 $ 1,633 $ 16 Grand total $ 1,288 $ 17 $ 3,718 $ 16 $ 5,006 $ 33 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Six months ended June 30, 2016 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,166 $ 146 $ 6,166 $ 146 Commercial real estate - non-owner occupied (1) - - 135 5 135 5 Construction and land development - - - - - - Commercial loans - - 2,959 28 2,959 28 Residential 1-4 family (2) 1,012 17 - - 1,012 17 Other consumer loans - - - - - - Total $ 1,012 $ 17 $ 9,260 $ 179 $ 10,272 $ 196 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 697 $ 16 $ 697 $ 16 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 2,942 78 2,942 78 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 3,639 $ 94 $ 3,639 $ 94 Grand total $ 1,012 $ 17 $ 12,899 $ 273 $ 13,911 $ 290 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. The following tables present the aging of the recorded investment in past due loans by class of loans as of June 30, 2017 and December 31, 2016 (in thousands): June 30, 2017 30 - 59 60 - 89 Days Days 90 Days Total Nonaccrual Loans Not Total Past Due Past Due or More Past Due Loans Past Due Loans Covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - - Construction and land development - - - - - - - Commercial loans - - - - - - - Residential 1-4 family (2) 268 87 - 355 850 23,463 24,668 Other consumer loans - - - - - - - Total $ 268 $ 87 $ - $ 355 $ 850 $ 23,463 $ 24,668 Non-covered loans: Commercial real estate - owner occupied $ 1,033 $ - $ - $ 1,033 $ 633 $ 394,823 $ 396,489 Commercial real estate - non-owner occupied (1) - - - - - 550,484 550,484 Construction and land development 18 - - 18 - 188,075 188,093 Commercial loans 796 9,984 - 10,780 2,043 236,520 249,343 Residential 1-4 family (2) 1,566 767 - 2,333 431 581,621 584,385 Other consumer loans 16 - - 16 - 41,389 41,405 Total $ 3,429 $ 10,751 $ - $ 14,180 $ 3,107 $ 1,992,912 $ 2,010,199 Total loans: Commercial real estate - owner occupied $ 1,033 $ - $ - $ 1,033 $ 633 $ 394,823 $ 396,489 Commercial real estate - non-owner occupied (1) - - - - - 550,484 550,484 Construction and land development 18 - - 18 - 188,075 188,093 Commercial loans 796 9,984 - 10,780 2,043 236,520 249,343 Residential 1-4 family (2) 1,834 854 - 2,688 1,281 605,084 609,053 Other consumer loans 16 - - 16 - 41,389 41,405 Total $ 3,697 $ 10,838 $ - $ 14,535 $ 3,957 $ 2,016,375 $ 2,034,867 December 31, 2016 30 - 59 60 - 89 Days Days 90 Days Total Nonaccrual Loans Not Total Past Due Past Due or More Past Due Loans Past Due Loans Covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - - Construction and land development - - - - - - - Commercial loans - - - - - - - Residential 1-4 family (2) 221 95 - 316 850 27,014 28,180 Other consumer loans - - - - - - - Total $ 221 $ 95 $ - $ 316 $ 850 $ 27,014 $ 28,180 Non-covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ 637 $ 154,170 $ 154,807 Commercial real estate - non-owner occupied (1) - - - - - 310,196 310,196 Construction and land development - - - - - 91,067 91,067 Commercial loans 1,349 - - 1,349 3,158 110,858 115,365 Residential 1-4 family (2) 1,011 - - 1,011 - 230,822 231,833 Other consumer loans - - - - - 856 856 Total $ 2,360 $ - $ - $ 2,360 $ 3,795 $ 897,969 $ 904,124 Total loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ 637 $ 154,170 $ 154,807 Commercial real estate - non-owner occupied (1) - - - - - 310,196 310,196 Construction and land development - - - - - 91,067 91,067 Commercial loans 1,349 - - 1,349 3,158 110,858 115,365 Residential 1-4 family (2) 1,232 95 - 1,327 850 257,836 260,013 Other consumer loans - - - - - 856 856 Total $ 2,581 $ 95 $ - $ 2,676 $ 4,645 $ 924,983 $ 932,304 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Non-covered nonaccrual loans include SBA guaranteed amounts totaling $2.0 million and $2.2 million at June 30, 2017 and December 31, 2016, respectively. Activity in the allowance for non-covered loan and lease losses for the three and six months ended June 30, 2017 and 2016 is summarized below (in thousands): Commercial Commercial Real Estate Real Estate Construction Other Non-covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Three months ended June 30, 2017 Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total Allowance for loan losses: Beginning balance $ 1,188 $ 1,546 $ 801 $ 3,007 $ 1,254 $ 74 $ 808 $ 8,678 Charge offs - (100 ) - (467 ) (307 ) (5 ) - (879 ) Recoveries 11 299 - 36 2 - - 348 Provision (261 ) 45 295 115 474 15 367 1,050 Ending balance $ 938 $ 1,790 $ 1,096 $ 2,691 $ 1,423 $ 84 $ 1,175 $ 9,197 Three months ended June 30, 2016 Allowance for loan losses: Beginning balance $ 1,251 $ 1,553 $ 716 $ 2,892 $ 1,556 $ 82 $ 640 $ 8,690 Charge offs - - (449 ) (1,156 ) (22 ) (69 ) - (1,696 ) Recoveries - - - 37 2 1 - 40 Provision (530 ) (150 ) 588 1,572 (274 ) 108 73 1,387 Ending balance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Commercial Commercial Real Estate Real Estate Construction Other Non-covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Six months ended June 30, 2017 Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total Allowance for loan losses: Beginning balance $ 905 $ 1,484 $ 752 $ 3,366 $ 1,279 $ 78 $ 746 $ 8,610 Charge offs - (100 ) - (967 ) (319 ) (5 ) - (1,391 ) Recoveries 21 299 - 51 5 2 - 378 Provision 12 107 344 241 458 9 429 1,600 Ending balance $ 938 $ 1,790 $ 1,096 $ 2,691 $ 1,423 $ 84 $ 1,175 $ 9,197 Six months ended June 30, 2016 Allowance for loan losses: Beginning balance $ 1,185 $ 1,222 $ 865 $ 3,041 $ 1,408 $ 48 $ 652 $ 8,421 Charge offs - - (449 ) (1,271 ) (22 ) (322 ) - (2,064 ) Recoveries - - - 46 4 2 - 52 Provision (464 ) 181 439 1,529 (128 ) 394 61 2,012 Ending balance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. No activity in the allowance for covered loan and lease losses was recorded during the three and six months ended June 30, 2017 and 2016. The following tables present the balance in the allowance for loan losses and the recorded investment in non-covered loans by portfolio segment and based on impairment method as of June 30, 2017 and December 31, 2016 (in thousands): Commercial Commercial Real Estate Real Estate Construction Other Owner Non-owner and Land Commercial 1-4 Family Consumer Non-covered loans: Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total June 30, 2017 Ending allowance balance attributable to loans: Individually evaluated for impairment $ 250 $ - $ - $ - $ 100 $ - $ - $ 350 Collectively evaluated for impairment 688 1,790 1,096 2,691 1,323 84 1,175 8,847 Total ending allowance $ 938 $ 1,790 $ 1,096 $ 2,691 $ 1,423 $ 84 $ 1,175 $ 9,197 Loans: Individually evaluated for impairment $ 1,220 $ - $ - $ 2,043 $ 376 $ - $ - $ 3,639 Collectively evaluated for impairment 395,269 550,484 188,093 247,300 584,009 41,405 - 2,006,560 Total ending loan balances $ 396,489 $ 550,484 $ 188,093 $ 249,343 $ 584,385 $ 41,405 $ - $ 2,010,199 December 31, 2016 Ending allowance balance attributable to loans: Individually evaluated for impairment $ 150 $ - $ - $ 750 $ - $ - $ - $ 900 Collectively evaluated for impairment 755 1,484 752 2,616 1,279 78 746 7,710 Total ending allowance $ 905 $ 1,484 $ 752 $ 3,366 $ 1,279 $ 78 $ 746 $ 8,610 Loans: Individually evaluated for impairment $ 6,271 $ - $ - $ 6,380 $ - $ - $ - $ 12,651 Collectively evaluated for impairment 148,536 310,196 91,067 108,985 231,833 856 - 891,473 Total ending loan balances $ 154,807 $ 310,196 $ 91,067 $ 115,365 $ 231,833 $ 856 $ - $ 904,124 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. The following tables present the balance in the allowance for covered loan losses and the recorded investment in covered loans by portfolio segment and based on impairment method as of June 30, 2017 and December 31, 2016 (in thousands): Commercial Commercial Real Estate Real Estate Construction Other Owner Non-owner and Land Commercial 1-4 Family Consumer Covered loans: Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total June 30, 2017 Ending allowance balance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment - - - - - - - - Total ending allowance $ - $ - $ - $ - $ - $ - $ - $ - Loans: Individually evaluated for impairment $ - $ - $ - $ - $ 1,285 $ - $ - $ 1,285 Collectively evaluated for impairment - - - - 23,383 - - 23,383 Total ending loan balances $ - $ - $ - $ - $ 24,668 $ - $ - $ 24,668 December 31, 2016 Ending allowance balance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment - - - - - - - - Total ending allowance $ - $ - $ - $ - $ - $ - $ - $ - Loans: Individually evaluated for impairment $ - $ - $ - $ - $ 963 $ - $ - $ 963 Collectively evaluated for impairment - - - - 27,217 - - 27,217 Total ending loan balances $ - $ - $ - $ - $ 28,180 $ - $ - $ 28,180 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Troubled Debt Restructurings A modification is classified as a troubled debt restructuring (“TDR”) if both of the following exist: (1) the borrower is experiencing financial difficulty and (2) the Bank has granted a concession to the borrower. The Bank determines that a borrower may be experiencing financial difficulty if the borrower is currently delinquent on any of its debt, or if the Bank is concerned that the borrower may not be able to perform in accordance with the current terms of the loan agreement in the foreseeable future. Many aspects of the borrower’s financial situation are assessed when determining whether they are experiencing financial difficulty, particularly as it relates to commercial borrowers due to the complex nature of the loan structure, business/industry risk and borrower/guarantor structures. Concessions may include the reduction of an interest rate at a rate lower than current market rate for a new loan with similar risk, extension of the maturity date, reduction of accrued interest, or principal forgiveness. When evaluating whether a concession has been granted, the Bank also considers whether the borrower has provided additional collateral or guarantors and whether such additions adequately compensate the Bank for the restructured terms, or if the revised terms are consistent with those currently being offered to new loan customers. The assessments of whether a borrower is experiencing (or is likely to experience) financial difficulty and whether a concession has been granted is subjective in nature and management’s judgment is required when determining whether a modification is a TDR. Although each occurrence is unique to the borrower and is evaluated separately, for all portfolio segments, TDRs are typically modified through reduction in interest rates, reductions in payments, changing the payment terms from principal and interest to interest only, and/or extensions in term maturity. During the three and six months ending June 30, 2017, there were no loans modified in TDRs. One TDR which had been modified in 2013 defaulted during the second quarter of 2015. This loan, in the amount of $680 thousand, was current as of June 30, 2017. During the three and six months ending June 30, 2016, there were no loans modified in TDRs. One TDR which had been modified in 2013 defaulted during the second quarter of 2015. This loan, in the amount of $695 thousand, was current as of June 30, 2016. Credit Quality Indicators Through its system of internal controls, Southern National evaluates and segments loan portfolio credit quality on a quarterly basis using regulatory definitions for Special Mention, Substandard and Doubtful. Special Mention loans are considered to be criticized. Substandard and Doubtful loans are considered to be classified. Southern National had no loans classified Doubtful at June 30, 2017 or December 31, 2016. Special Mention loans are loans that 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. Substandard loans may be 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 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. As of June 30, 2017 and December 31, 2016, and based on the most recent analysis performed, the risk category of loans by class of loans is as follows (in thousands): June 30, 2017 Covered Loans Non-covered Loans Total Loans Classified/ Special Classified/ Criticized (1) Pass Total Mention Substandard (3) Pass Total Criticized Pass Total Commercial real estate - owner occupied $ - $ - $ - $ 4,885 $ 1,220 $ 390,384 $ 396,489 $ 6,105 $ 390,384 $ 396,489 Commercial real estate - non-owner occupied (2) - - - - - 550,484 550,484 - 550,484 550,484 Construction and land development - - - 9,984 - 178,109 188,093 9,984 178,109 188,093 Commercial loans - - - 3,270 2,043 244,030 249,343 5,313 244,030 249,343 Residential 1-4 family (4) 1,285 23,383 24,668 - 376 584,009 584,385 1,661 607,392 609,053 Other consumer loans - - - - - 41,405 41,405 - 41,405 41,405 Total $ 1,285 $ 23,383 $ 24,668 $ 18,139 $ 3,639 $ 1,988,421 $ 2,010,199 $ 23,063 $ 2,011,804 $ 2,034,867 December 31, 2016 Covered Loans Non-covered Loans Total Loans Classified/ Special Classified/ Criticized (1) Pass Total Mention Substandard (3) Pass Total Criticized Pass Total Commercial real estate - owner occupied $ - $ - $ - $ - $ 6,271 $ 148,536 $ 154,807 $ 6,271 $ 148,536 $ 154,807 Commercial real estate - non-owner occupied (2) - - - - - 310,196 310,196 - 310,196 310,196 Construction and land development - - - - - 91,067 91,067 - 91,067 91,067 Commercial loans - - - 28 6,380 108,957 115,365 6,408 108,957 115,365 Residential 1-4 family (4) 963 27,217 28,180 - - 231,833 231,833 963 259,050 260,013 Other consumer loans - - - - - 856 856 - 856 856 Total $ 963 $ 27,217 $ 28,180 $ 28 $ 12,651 $ 891,445 $ 904,124 $ 13,642 $ 918,662 $ 932,304 (1) Credit quality is enhanced by a loss sharing agreement with the FDIC in the covered portfolio. The same credit quality indicators used in the non-covered portfolio are combined. (2) Includes loans secured by farmland and multi-family residential loans. (3) Includes SBA guarantees of $2.0 million and $2.2 million as of June 30, 2017 and December 31, 2016. (4) Includes home equity lines of credit. The amount of foreclosed residential real estate property held at June 30, 2017 and December 31, 2016 was $4.0 million and $3.4 million, respectively. The recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure was $1.6 million and $1.8 million at June 30, 2017 and December 31, 2016, respectively. |
FINANCIAL INSTRUMENTS WITH OFF-
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK | 6 Months Ended |
Jun. 30, 2017 | |
Financial Instruments With Off Balance Sheet Risk [Abstract] | |
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK | 6. FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK Southern National is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit, standby letters of credit and guarantees of credit card accounts sold by EVBS premerger. These instruments involve elements of credit and funding risk in excess of the amount recognized in the consolidated balance sheet. Letters of credit are written conditional commitments issued by Southern National to guarantee the performance of a customer to a third party. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loans to customers. We had letters of credit outstanding totaling $14.9 million and $6.4 million as of June 30, 2017 and December 31, 2016, respectively. Our exposure to credit loss in the event of nonperformance by the other party to the financial instruments for commitments to extend credit and letters of credit is based on the contractual amount of these instruments. We use the same credit policies in making commitments and conditional obligations as we do for on-balance sheet instruments. Unless noted otherwise, we do not require collateral or other security to support financial instruments with credit risk. 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 are made predominately for adjustable rate loans, and generally have fixed expiration dates of up to three months or other termination clauses and usually require payment of a fee. Since many of the commitments may expire without being completely drawn upon, the total commitment amounts do not necessarily represent future cash requirements. We evaluate each customer's creditworthiness on a case-by-case basis. At June 30, 2017 and December 31, 2016, we had unfunded lines of credit and undisbursed construction loan funds totaling $375.5 million and $135.8 million, respectively. Virtually all of our unfunded lines of credit and undisbursed construction loan funds are variable rate. Premerger, EVBS sold its credit card portfolio. With that sale, EVBS guaranteed the credit card accounts of certain customers to the bank that issues the cards. In connection with the merger with EVBS, Southern National now is the guarantor. The fair value of guarantees of credit card accounts previously sold is based on the estimated cost to settle the obligations with the counterparty are not considered significant as of June 30, 2017. |
EARNINGS (LOSS) PER SHARE
EARNINGS (LOSS) PER SHARE | 6 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
EARNINGS (LOSS) PER SHARE | 7. EARNINGS (LOSS) PER SHARE The following is a reconciliation of the denominators of the basic and diluted earnings (loss) per share (“EPS”) computations (dollars in thousands, except per share data): Weighted Average Income (Loss) Shares Per Share (Numerator) (Denominator) Amount For the three months ended June 30, 2017 Basic EPS $ (2,842 ) 13,231 $ (0.21 ) Effect of dilutive stock options and warrants - - - Diluted EPS $ (2,842 ) 13,231 $ (0.21 ) For the three months ended June 30, 2016 Basic EPS $ 2,789 12,249 $ 0.23 Effect of dilutive stock options and warrants - 146 - Diluted EPS $ 2,789 12,395 $ 0.23 For the six months ended June 30, 2017 Basic EPS $ (788 ) 12,772 $ (0.06 ) Effect of dilutive stock options and warrants - - - Diluted EPS $ (788 ) 12,772 $ (0.06 ) For the six months ended June 30, 2016 Basic EPS $ 5,355 12,243 $ 0.44 Effect of dilutive stock options and warrants - 151 - Diluted EPS $ 5,355 12,394 $ 0.43 There were 466,655 and 172,819 anti-dilutive options and warrants outstanding for the three and six months ended June 30, 2017, respectively. There were 585,605 and 580,935 anti-dilutive options and warrants outstanding for the three and six months ended June 30, 2016, respectively. |
FAIR VALUE
FAIR VALUE | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE | 8. FAIR VALUE ASC 820-10 establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The standard describes three levels of inputs that may be used to measure fair value: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date Level 2: Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability The following is a description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy: Investment Securities Available for Sale Where quoted prices are available in an active market, investment securities are classified within Level 1 of the valuation hierarchy. Level 1 investment securities would include highly liquid government bonds, mortgage products and exchange traded equities. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of investment securities with similar characteristics or discounted cash flow. Level 2 investment securities would include U. S. agency securities, mortgage-backed securities, obligations of states and political subdivisions and certain corporate, asset-backed and other securities. In certain cases where there is limited activity or less transparency around inputs to the valuation, investment securities are classified within Level 3 of the valuation hierarchy. Currently, all of Southern National’s available-for-sale debt investment securities are considered to be Level 2 investment securities. Assets measured at fair value on a recurring basis are summarized below: Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) June 30, 2017 (Level 1) (Level 2) (Level 3) Financial assets: Available for sale securities Agency residential mortgage-backed securities (fixed and variable rate) $ 33,299 $ - $ 33,299 $ - Obligations of states and political subdivisions 18,612 - 18,612 - Corporate securities 2,015 - 2,015 - Trust preferred securities 2,276 - 2,276 - Agency CMO securities 55,751 - 55,751 - Agency commercial mortgage-backed securities 28,118 - 28,118 - SBA pool securities 26,905 - 26,905 - $ 166,976 $ - $ 166,976 $ - Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) December 31, 2016 (Level 1) (Level 2) (Level 3) Financial assets: Available for sale securities Obligations of states and political subdivisions $ 2,259 $ - $ 2,259 $ - Trust preferred securities 1,659 - 1,659 - $ 3,918 $ - $ 3,918 $ - Assets and Liabilities Measured on a Non-recurring Basis: Impaired Loans Generally, we measure the impairment for impaired loans considering the fair value of the loan’s collateral (if the loan is collateral dependent). Fair value of the loan’s collateral is determined by an independent appraisal or evaluation less estimated costs related to selling the collateral. In some cases appraised value is net of costs to sell. Estimated selling costs range from 6% to 10% of collateral valuation at June 30, 2017 and December 31, 2016. Fair value is classified as Level 3 in the fair value hierarchy. Non-covered loans identified as impaired totaled $3.6 million (including SBA guarantees of $2.0 million) as of June 30, 2017 with an allocated allowance for loan losses totaling $350 thousand compared to a carrying amount of $12.7 million (including SBA guarantees of $2.2 million) with an allocated allowance for loan losses totaling $900 thousand at December 31, 2016. Loans held for sale In connection with the merger with EVBS, SNBV acquired loans held for sale of $16.7 million. Acquired loans held for sale represent the potentially credit impaired loans that were marked to fair value just prior to the closing of the merger. Fair value was determined using quoted prices from an independent, third party buyer. Subsequent to quarter end, acquired loans held for sale were sold to an independent third party. The fair value is considered Level 3. Assets held for sale In connection with the merger with EVBS, SNBV acquired four properties that were either former EVBS administrative locations or previously anticipated to be future EVBS administrative locations. Assets held for sale are measured at fair value less cost to sell, based on appraisals conducted by an independent, licensed appraiser outside of the Company using observable market data. If the fair value is significantly adjusted due to differences in the comparable properties, or is discounted by the Company because of marketability, then the fair value is considered Level 3. Assets held for sale are measured at fair value on a non-recurring basis. Subsequent fair value adjustments are recorded in the period incurred and included in other noninterest expense on the consolidated statements of operations. Other Real Estate Owned (“OREO”) OREO is evaluated at the time of acquisition and recorded at fair value as determined by independent appraisal or evaluation less cost to sell. In some cases appraised value is net of costs to sell. Selling costs have been in the range from 6.0% to 7.6% of collateral valuation at June 30, 2017 and December 31, 2016. Fair value is classified as Level 3 in the fair value hierarchy. OREO is further evaluated quarterly for any additional impairment. At June 30, 2017, the total amount of non-covered OREO was $8.5 million, and there was no covered OREO. As of December 31, 2016, the total amount of OREO was $8.6 million, and there was no covered OREO. Assets measured at fair value on a non-recurring basis are summarized below: Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) June 30, 2017 (Level 1) (Level 2) (Level 3) Impaired non-covered loans: Commercial real estate - owner occupied $ 970 $ - $ - $ 970 Commercial loans 2,043 - - 2,043 Residential 1-4 family 276 - - 276 Impaired covered loans: Residential 1-4 family 1,285 - - 1,285 Loans held for sale 16,726 - - 16,726 Assets held for sale 1,685 - - 1,685 Non-covered other real estate owned: Commercial real estate - owner occupied 1,060 - - 1,060 Construction and land development 3,448 - - 3,448 Residential 1-4 family 3,970 - - 3,970 Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) December 31, 2016 (Level 1) (Level 2) (Level 3) Impaired non-covered loans: Commercial real estate - owner occupied $ 6,121 $ - $ - $ 6,121 Commercial loans 5,630 - - 5,630 Impaired covered loans: Residential 1-4 family 963 - - 963 Non-covered other real estate owned: Commercial real estate - owner occupied 1,110 - - 1,110 Commercial real estate - non-owner occupied (1) 237 - - 237 Construction and land development 3,863 - - 3,863 Residential 1-4 family 3,407 - - 3,407 (1) Includes loans secured by farmland and multi-family residential loans. Fair Value of Financial Instruments The carrying amount, estimated fair values and fair value hierarchy levels (previously defined) of financial instruments were as follows (in thousands): June 30, 2017 December 31, 2016 Fair Value Carrying Fair Carrying Fair Hierarchy Level Amount Value Amount Value Financial assets: Cash and cash equivalents Level 1 $ 44,600 $ 44,600 $ 47,392 $ 47,392 Securities available for sale See previous table 166,976 166,976 3,918 3,918 Securities held to maturity Level 2 103,055 101,661 85,300 83,344 Stock in Federal Reserve Bank and Federal Home Loan Bank n/a 13,808 n/a 7,929 n/a Equity investment in mortgage affiliate Level 3 4,700 4,700 4,629 4,629 Preferred investment in mortgage affiliate Level 3 3,305 3,305 2,555 2,555 Net non-covered loans Level 3 1,999,295 2,014,082 893,625 903,085 Net covered loans Level 3 24,668 24,850 28,180 32,173 Accrued interest receivable Level 2 & Level 3 7,589 7,589 3,202 3,202 FDIC indemnification asset Level 3 1,698 528 2,111 528 Financial liabilities: Demand deposits Level 1 666,713 666,713 124,779 124,779 Money market and savings accounts Level 1 548,508 548,508 182,590 182,590 Certificates of deposit Level 3 804,938 801,103 605,613 605,394 Securities sold under agreements to repurchase Level 1 8,143 8,143 - - FHLB short term advances Level 1 201,475 201,475 95,000 95,000 Junior subordinated debt Level 2 9,460 9,459 - - Senior subordinated notes Level 2 47,150 54,211 - - Accrued interest payable Level 1 & Level 3 2,260 2,260 1,190 1,190 Carrying amount is the estimated fair value for cash and cash equivalents, equity investment in mortgage affiliate, preferred investment in mortgage affiliate, accrued interest receivable and payable, demand deposits, savings accounts, money market accounts, securities sold under agreements to repurchase, short-term debt, and variable rate loans that reprice frequently and fully. For fixed rate loans or deposits and for variable rate loans with infrequent repricing or repricing limits, fair value is based on discounted cash flows using current market rates applied to the estimated life. A discount for liquidity risk was not considered necessary in estimating the fair value of loans. It was not practicable to determine the fair value of Federal Reserve Bank and Federal Home Loan Bank stock due to restrictions placed on its transferability. Carrying amount is the estimated fair value for the equity investment and the preferred investment in the mortgage affiliate. Fair value of long-term debt is based on current rates for similar financing. The fair value of the FDIC indemnification asset was determined by discounting estimated future cash flows using the long-term risk free rate plus a premium and represents the present value of our current expectation for recoveries from the FDIC on covered loans. The fair value of off-balance-sheet items is not considered material. The fair value of loans is not presented on an exit price basis. |
SECURITIES SOLD UNDER AGREEMENT
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND OTHER SHORT-TERM BORROWINGS | 6 Months Ended |
Jun. 30, 2017 | |
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Abstract] | |
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND OTHER SHORT-TERM BORROWINGS | 9. SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND OTHER SHORT-TERM BORROWINGS Other short-term borrowings can consist of Federal Home Loan Bank (“FHLB”) overnight advances, other FHLB advances maturing within one year, federal funds purchased and securities sold under agreements to repurchase (“repo”) that mature within one year, which are secured transactions with customers. In the second quarter of 2016, the Company discontinued offering repo accounts. However, repo accounts totaling $8.1 million at June 30, 2017 were assumed in the merger with EVBS. It is undetermined if the Company will continue to offer repo accounts. |
JUNIOR SUBORDINATED DEBT AND SE
JUNIOR SUBORDINATED DEBT AND SENIOR SUBORDINATED NOTES | 6 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
JUNIOR SUBORDINATED DEBT AND SENIOR SUBORDINATED NOTES | 10. JUNIOR SUBORDINATED DEBT AND SENIOR SUBORDINATED NOTES In connection with our merger with EVBS, the Company assumed $10 million of trust preferred securities that were issued on September 17, 2003 and placed through the Trust in a pooled underwriting totaling approximately $650 million. The trust issuer has invested the total proceeds from the sale of the trust preferred securities in Floating Rate Junior Subordinated Deferrable Interest Debentures (“Junior Subordinated Debt”) issued by EVBS. The trust preferred securities pay cumulative cash distributions quarterly at a variable rate per annum, reset quarterly, equal to the 3-month LIBOR plus 2.95%. As of June 30, 2017 and December 31, 2016, the interest rate was 4.22% and 3.94%, respectively. The dividends paid to holders of the trust preferred securities, which are recorded as interest expense, are deductible for income tax purposes. The trust preferred securities have a mandatory redemption date of September 17, 2033, and became subject to varying call provisions beginning September 17, 2008. The Company has fully and unconditionally guaranteed the trust preferred securities through the combined operation of the Junior Subordinated Debt and other related documents. The Company’s obligation under the guarantee is unsecured and subordinate to senior and subordinated indebtedness of the Company. The trust preferred securities may be included in Tier 1 capital for regulatory capital adequacy determination purposes up to 25% of Tier 1 capital after its inclusion. At June 30, 2017, all of the trust preferred securities qualified as Tier 1 capital. Subject to certain exceptions and limitations, the Company is permitted to elect from time to time to defer regularly scheduled interest payments on its outstanding Junior Subordinated Debt relating to its trust preferred securities. If the Company defers interest payments on the Junior Subordinated Debt for more than 20 consecutive quarters, the Company would be in default under the governing agreements for such notes and the amount due under such agreements would be immediately due and payable. On January 20, 2017, Southern National completed the sale of $27.0 million of its fixed-to-floating rate Subordinated Notes due 2027 (the “SNBV Senior Subordinated Notes”). The SNBV Senior Subordinated Notes will initially bear interest at 5.875% per annum until January 31, 2022; thereafter, the SNBV Senior Subordinated Notes will be payable at an annual floating rate equal to three-month LIBOR plus a spread of 3.95% until maturity or early redemption. At June 30, 2017, all of the SNBV Senior Subordinated Notes qualified as Tier 2 capital. At June 30, 2017, the remaining unamortized debt issuance costs related to the SNBV Senior Subordinated Notes totaled $901 thousand. Also in connection with our merger with EVBS, the Company assumed the Senior Subordinated Note Purchase Agreement previously entered into by EVBS on April 22, 2015 with certain institutional accredited investors pursuant to which EVBS sold $20.0 million in aggregate principal amount of its 6.50% Fixed-to-Floating Rate Subordinated Notes due 2025 (the “EVBS Senior Subordinated Notes”) to the investors at a price equal to 100% of the aggregate principal amount of the EVBS Senior Subordinated Notes. The EVBS Senior Subordinated Notes bear interest at an annual rate of 6.50%, payable semi-annually in arrears on May 1 and November 1 of each year ending on May 1, 2020. From and including May 1, 2020 to, but excluding, the maturity date, the EVBS Senior Subordinated Notes will bear interest at an annual rate, reset quarterly, equal to LIBOR determined on the determination date of the applicable interest period plus 502 basis points, payable quarterly in arrears on February 1, May 1, August 1 and November 1 of each year, beginning on August 1, 2020. The Company may, at its option, redeem, in whole or in part, the EVBS Senior Subordinated Notes as early as May 1, 2020, and any partial redemption would be made pro rata among all of the holders. At June 30, 2017 all of the EVBS Senior Subordinated Notes qualified as Tier 2 capital. |
ACCOUNTING POLICIES (Policies)
ACCOUNTING POLICIES (Policies) | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of the consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from these estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the carrying value of investment securities, other than temporary impairment of investment securities, the valuation of goodwill and intangible assets, the FDIC indemnification asset, mortgage servicing rights, other real estate owned, deferred tax assets, and fair value measurements related to assets acquired and liabilities assumed from business combinations. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In January 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-1, Financial Instruments Overall (Topic 825): Recognition and Measurement of Financial Assets and Financial Liabilities In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In March 2016, the FASB issued ASU 2016-07 , Investments – Equity Method and Joint Ventures (Topic 323), Simplifying the Transition to the Equity Method of Accounting In May 2014, the FASB issued ASU No. 2014-09, Revenue From Contracts With Customers (Topic 606). In March 2016, the FASB issued ASU 2016-09, Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting In June 2016 , Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments In August 2016, the FASB issued new guidance related to the Statement of Cash Flows In January 2017, the FASB issued ASU 2017-04 , Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment , In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business, In January 2017, the FASB issued ASU 2017-03, Accounting Changes and Error Corrections Investments – Equity Method and Joint Ventures – Amendments to SEC Paragraphs Pursuant to Staff Announcements at the September 22, 2016 and November 17, 2016 EITF Meetings. In March 2017, the FASB issued ASU 2017-08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20), Premium Amortization on Purchased Callable Debt Securities, In May 2017, the FASB issued ASU 2017-09, Compensation - Stock Compensation (Topic 718) Scope of Modification Accounting |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Business Combinations [Abstract] | |
Schedule of fair values of the assets acquired and liabilities assumed, and the resulting goodwill. | As Recorded Fair Value As Recorded (dollars in thousands)(unaudited) by EVBS Adjustments by the Company Consideration paid: Cash $ 10 SNBV common stock 198,909 Total consideration paid $ 198,919 Identifiable assets acquired: Cash and due from banks $ 4,350 $ - $ 4,350 Interest bearing deposits with banks 18,993 - 18,993 Federal funds sold 682 - 682 Securities available for sale, at fair value 163,029 262 163,291 Securities held to maturity, at carrying value 19,036 508 19,544 Restricted securities, at cost 6,734 - 6,734 Loans 1,048,563 (8,876 ) 1,039,687 Loans held for sale 16,726 - 16,726 Deferred income taxes 15,735 - 15,735 Bank premises and equipment 24,242 4,352 28,594 Assets held for sale 2,970 (1,285 ) 1,685 Accrued interest receivable 4,272 - 4,272 Other real estate owned 563 - 563 Core deposit intangible 435 10,462 10,897 Bank owned life insurance 26,035 - 26,035 Other assets 10,004 - 10,004 Total identifiable assets acquired 1,362,369 5,423 1,367,792 Identifiable liabilities assumed: Noninterest-bearing demand accounts 226,637 - 226,637 Interest-bearing deposits 920,743 1,081 921,824 Federal funds purchased and repurchase agreements 7,598 - 7,598 Federal Home Loan Bank advances 57,475 - 57,475 Junior subordinated debt 10,310 (851 ) 9,459 Senior subordinated notes 19,175 1,879 21,054 Accrued interest payable 902 - 902 Other liabilities 12,584 - 12,584 Total identifiable liabilities assumed 1,255,424 2,109 1,257,533 Net identifiable assets acquired $ 106,945 $ 3,314 $ 110,259 Goodwill resulting from acquisition $ 88,660 |
Schedule of amortization and Accretion of premiums and discounts associated with acquisition accounting adjustments to assets acquired and liabilities | Three and Six Months (dollars in thousands) Ended June 30, 2017 Loans (1) $ 91 Time deposits (2) 4 Junior and senior subordinated debt (3) 2 Core deposit intangible (4) (26 ) Net impact to income before income taxes $ 71 (1) Loan discount accretion is included in the “Interest and fees on loans” section of “Interest and dividend income” in the Consolidated Statements of Operations. (2) Time deposit premium amortization is included in the "Interest on deposits" section of "Interest expense" in the Consolidated Statements of Operations. (3) The junior subordinated debt discount accretion and senior subordinated debt premium amortization are included in the “Interest on junior subordinated debt” and “Interest on senior subordinated notes” section of “Interest expense”, respectively, in the Consolidated Statements of Operations. (4) Core deposit intangible premium amortization is included in the "Other operating expenses" section of "Noninterest expenses" in the Consolidated Statements of Operations. |
Schedule of unaudited pro forma | Unaudited Unaudited Unaudited Unaudited Pro Forma Pro Forma Pro Forma Pro Forma Three Months Ended Three Months Ended Six Months Ended Six Months Ended June 30, June 30, June 30, June 30, (dollars in thousands) 2017 2016 2017 2016 Net interest income $ 21,584 $ 21,139 $ 43,421 $ 41,866 Net income 6,585 5,706 12,218 11,506 |
STOCK- BASED COMPENSATION (Tabl
STOCK- BASED COMPENSATION (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Disclosure Of Compensation Related Costs, Share-Based Payments [Abstract] | |
Schedule of activity in the stock option plan | Weighted Weighted Average Aggregate Average Remaining Intrinsic Exercise Contractual Value Shares Price Term (in thousands) Options outstanding, beginning of period 782,200 $ 9.56 Granted - - Options issued in connection with EVBS merger 22,559 24.54 Forfeited (2,200 ) 14.73 Exercised (39,450 ) 8.50 Options outstanding, end of period 763,109 $ 10.04 6.0 $ 5,926 Vested or expected to vest 763,109 $ 10.04 6.0 $ 5,926 Exercisable at end of period 413,839 $ 7.75 4.4 $ 3,646 |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of amortized cost and fair value for sale investment securities | Amortized Gross Unrealized Fair June 30, 2017 Cost Gains Losses Value Agency residential mortgage-backed securities (fixed and variable rate) $ 33,487 $ - $ (188 ) $ 33,299 Obligations of states and political subdivisions 18,719 19 (126 ) 18,612 Corporate securities 2,015 - - 2,015 Trust preferred securities 2,589 - (313 ) 2,276 Residential government-sponsored collateralized mortgage obligations 56,020 1 (270 ) 55,751 Agency commercial mortgage-backed securities 28,346 - (228 ) 28,118 SBA pool securities 26,929 6 (30 ) 26,905 $ 168,105 $ 26 $ (1,155 ) $ 166,976 Amortized Gross Unrealized Fair December 31, 2016 Cost Gains Losses Value Obligations of states and political subdivisions $ 2,280 $ 9 $ (30 ) $ 2,259 Trust preferred securities 2,590 - (931 ) 1,659 $ 4,870 $ 9 $ (961 ) $ 3,918 |
Schedule of amortized cost, unrecognized gains and losses, and fair value of held to maturity securities | Amortized Gross Unrecognized Fair June 30, 2017 Cost Gains Losses Value Residential government-sponsored mortgage-backed securities $ 12,718 $ 33 $ (62 ) $ 12,689 Residential government-sponsored collateralized mortgage obligations 10,312 - (51 ) 10,261 Government-sponsored agency securities 52,927 52 (1,425 ) 51,554 Obligations of states and political subdivisions 23,656 135 (64 ) 23,727 Trust preferred securities 3,442 13 (25 ) 3,430 $ 103,055 $ 233 $ (1,627 ) $ 101,661 Amortized Gross Unrecognized Fair December 31, 2016 Cost Gains Losses Value Residential government-sponsored mortgage-backed securities $ 18,594 $ 308 $ (118 ) $ 18,784 Residential government-sponsored collateralized mortgage obligations 2,371 - (54 ) 2,317 Government-sponsored agency securities 47,975 28 (1,865 ) 46,138 Obligations of states and political subdivisions 12,706 53 (162 ) 12,597 Trust preferred securities 3,654 - (146 ) 3,508 $ 85,300 $ 389 $ (2,345 ) $ 83,344 |
Schedule of fair value and carrying amount, if different, of debt securities, by contractual maturity | Held to Maturity Available for Sale Amortized Amortized Cost Fair Value Cost Fair Value Due in one to five years $ 1,457 $ 1,474 $ 1,960 $ 1,955 Due in five to ten years 12,056 11,987 4,866 4,855 Due after ten years 66,512 65,250 16,497 16,093 Agency residential mortgage-backed securities (fixed and variable rate) 12,718 12,689 33,487 33,299 Residential government-sponsored collateralized mortgage obligations 10,312 10,261 56,020 55,751 Agency commercial mortgage-backed securities - - 28,346 28,118 SBA pool securities - - 26,929 26,905 Total $ 103,055 $ 101,661 $ 168,105 $ 166,976 |
Schedule of present information regarding securities in a continuous unrealized loss position by duration of time in a loss position | June 30, 2017 Less than 12 months 12 Months or More Total Available for Sale Fair value Unrealized Fair value Unrealized Fair value Unrealized Agency residential mortgage-backed securities (fixed and variable rate) $ 33,299 $ (188 ) $ - $ - $ 33,299 $ (188 ) Obligations of states and political subdivisions 15,901 (126 ) - - 15,901 (126 ) Trust preferred securities - - 2,276 (313 ) 2,276 (313 ) Residential government-sponsored collateralized mortgage obligations 55,333 (270 ) - - 55,333 (270 ) Agency commercial mortgage-backed securities 28,118 (228 ) - - 28,118 (228 ) SBA pool securities 24,271 (30 ) - - 24,271 (30 ) $ 156,922 $ (842 ) $ 2,276 $ (313 ) $ 159,198 $ (1,155 ) Less than 12 months 12 Months or More Total Held to Maturity Fair value Unrecognized Fair value Unrecognized Fair value Unrecognized Residential government-sponsored mortgage-backed securities $ 6,576 $ (53 ) $ 421 $ (9 ) $ 6,997 $ (62 ) Residential government-sponsored collateralized mortgage obligations 9,404 (30 ) 857 (21 ) 10,261 (51 ) Government-sponsored agency securities 25,080 (896 ) 14,471 (529 ) 39,551 (1,425 ) Obligations of states and political subdivisions 10,368 (38 ) 1,100 (26 ) 11,468 (64 ) Trust preferred securities - - 236 (25 ) 236 (25 ) $ 51,428 $ (1,017 ) $ 17,085 $ (610 ) $ 68,513 $ (1,627 ) December 31, 2016 Less than 12 months 12 Months or More Total Available for Sale Fair value Unrealized Fair value Unrealized Fair value Unrealized Obligations of states and political subdivisions $ 1,706 $ (30 ) $ - $ - $ 1,706 $ (30 ) Trust preferred securities - - 1,658 (931 ) 1,658 (931 ) $ 1,706 $ (30 ) $ 1,658 $ (931 ) $ 3,364 $ (961 ) Less than 12 months 12 Months or More Total Held to Maturity Fair value Unrecognized Fair value Unrecognized Fair value Unrecognized Residential government-sponsored mortgage-backed securities $ 10,238 $ (110 ) $ 457 $ (8 ) $ 10,695 $ (118 ) Residential government-sponsored collateralized mortgage obligations 1,346 (27 ) 971 (27 ) 2,317 (54 ) Government-sponsored agency securities 41,110 (1,865 ) - - 41,110 (1,865 ) Obligations of states and political subdivisions 3,578 (98 ) 1,065 (64 ) 4,643 (162 ) Trust preferred securities - - 3,508 (146 ) 3,508 (146 ) $ 56,272 $ (2,100 ) $ 6,001 $ (245 ) $ 62,273 $ (2,345 ) |
Schedule of owned pooled trust preferred securities | Previously % of Current Recognized Defaults and Cumulative Ratings Estimated Deferrals to Other Tranche When Purchased Current Ratings Fair Total Comprehensive Security Level Moody's Fitch Moody's Fitch Par Value Book Value Value Collateral Loss (1) Held to Maturity (in thousands) ALESCO VII A1B Senior Aaa AAA Aa2 A $ 3,454 $ 3,181 $ 3,195 11 % $ 233 MMCF III B Senior Sub A3 A- Ba1 BB 265 261 235 32 % 4 3,719 3,442 3,430 $ 237 Cumulative OTTI Available for Sale Related to Other Than Temporarily Impaired: Credit Loss (2) TPREF FUNDING II Mezzanine A1 A- Caa3 C 1,500 1,099 847 37 % $ 400 ALESCO V C1 Mezzanine A2 A Caa2 C 2,150 1,490 1,429 10 % 660 3,650 2,589 2,276 $ 1,060 Total $ 7,369 $ 6,031 $ 5,706 (1) Pre-tax, and represents unrealized losses at date of transfer from available-for-sale to held-to-maturity, net of accretion (2) Pre-tax |
Schedule of credit losses recognized in earnings | 2017 2016 Amount of cumulative other-than-temporary impairment related to credit loss prior to January 1 $ 1,060 $ 1,060 Amounts related to credit loss for which an other-than-temporary impairment was not previously recognized - - Amounts related to credit loss for which an other-than-temporary impairment was previously recognized - - Reductions due to realized losses - - Amount of cumulative other-than-temporary impairment related to credit loss as of June 30 $ 1,060 $ 1,060 |
Schedule of changes in accumulated other comprehensive income by component | Unrealized Holding For the three months ended June 30, 2017 (Losses) on Held to Maturity Available for Sale Securities Securities Total Beginning balance $ (414 ) $ (160 ) $ (574 ) Other comprehensive (loss) income before reclassifications (329 ) 2 (327 ) Net current-period other comprehensive (loss) income (329 ) 2 (327 ) Ending balance $ (743 ) $ (158 ) $ (901 ) Unrealized Holding For the six months ended June 30, 2017 (Losses) on Held to Maturity Available for Sale Securities Securities Total Beginning balance $ (627 ) $ (162 ) $ (789 ) Other comprehensive (loss) income before reclassifications (116 ) 4 (112 ) Net current-period other comprehensive (loss) income (116 ) 4 (112 ) Ending balance $ (743 ) $ (158 ) $ (901 ) Unrealized Holding For the three months ended June 30, 2016 (Losses) on Held to Maturity Available for Sale Securities Securities Total Beginning balance $ (662 ) $ (168 ) $ (830 ) Other comprehensive (loss) income before reclassifications (98 ) 3 (95 ) Net current-period other comprehensive (loss) income (98 ) 3 (95 ) Ending balance $ (760 ) $ (165 ) $ (925 ) Unrealized Holding For the six months ended June 30, 2016 (Losses) on Held to Maturity Available for Sale Securities Securities Total Beginning balance $ (440 ) $ (170 ) $ (610 ) Other comprehensive (loss) income before reclassifications (320 ) 5 (315 ) Net current-period other comprehensive (loss) income (320 ) 5 (315 ) Ending balance $ (760 ) $ (165 ) $ (925 ) |
LOANS AND ALLOWANCE FOR LOAN 22
LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Accounts, Notes, Loans and Financing Receivable, Gross, Allowance, and Net [Abstract] | |
Schedule of composition of loan portfolio | Covered Non-covered Total Covered Non-covered Total Loans (1) Loans Loans Loans (1) Loans Loans June 30, 2017 December 31, 2016 Loans secured by real estate: Commercial real estate - owner-occupied $ - $ 396,489 $ 396,489 $ - $ 154,807 $ 154,807 Commercial real estate - non-owner-occupied - 465,065 465,065 - 279,634 279,634 Secured by farmland - 13,405 13,405 - 541 541 Construction and land loans - 188,093 188,093 - 91,067 91,067 Residential 1-4 family 9,808 446,303 456,111 10,519 220,291 230,810 Multi- family residential - 72,014 72,014 - 30,021 30,021 Home equity lines of credit 14,860 138,082 152,942 17,661 11,542 29,203 Total real estate loans 24,668 1,719,451 1,744,119 28,180 787,903 816,083 Commercial loans - 249,343 249,343 - 115,365 115,365 Consumer loans - 41,405 41,405 - 856 856 Gross loans 24,668 2,010,199 2,034,867 28,180 904,124 932,304 Less deferred fees on loans - (1,707 ) (1,707 ) - (1,889 ) (1,889 ) Loans, net of deferred fees $ 24,668 $ 2,008,492 $ 2,033,160 $ 28,180 $ 902,235 $ 930,415 Loans held for sale $ - $ 16,726 $ 16,726 $ - $ - $ - (1) Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering single family loans expires in December 2019. |
Schedule of summary of impaired loans | June 30, 2017 Covered Loans Non-covered Loans Total Loans Unpaid Unpaid Unpaid Recorded Principal Related Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment (1) Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 2,043 2,610 - 2,043 2,610 - Residential 1-4 family (3) 1,285 1,495 - - - - 1,285 1,495 - Other consumer loans - - - - - - - - - Total $ 1,285 $ 1,495 $ - $ 2,043 $ 2,610 $ - $ 3,328 $ 4,105 $ - With an allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 1,220 $ 1,326 $ 250 $ 1,220 $ 1,326 $ 250 Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - - - - - - - Residential 1-4 family (3) - - - 376 517 100 376 517 100 Other consumer loans - - - - - - - - - Total $ - $ - $ - $ 1,596 $ 1,843 $ 350 $ 1,596 $ 1,843 $ 350 Grand total $ 1,285 $ 1,495 $ - $ 3,639 $ 4,453 $ 350 $ 4,924 $ 5,948 $ 350 (1) Recorded investment is after cumulative prior charge offs of $814 thousand. These loans also have aggregate SBA guarantees of $2.0 million. (2) Includes loans secured by farmland and multi-family residential loans. (3) Includes home equity lines of credit. December 31, 2016 Covered Loans Non-covered Loans Total Loans Unpaid Unpaid Unpaid Recorded Principal Related Recorded Principal Related Recorded Principal Related Investment Balance Allowance Investment (1) Balance Allowance Investment Balance Allowance With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 5,583 $ 5,592 $ - $ 5,583 $ 5,592 $ - Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 3,002 3,603 - 3,002 3,603 - Residential 1-4 family (3) 963 1,113 - - - - 963 1,113 - Other consumer loans - - - - - - - - - Total $ 963 $ 1,113 $ - $ 8,585 $ 9,195 $ - $ 9,548 $ 10,308 $ - With an allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ 688 $ 688 $ 150 $ 688 $ 688 $ 150 Commercial real estate - non-owner occupied (2) - - - - - - - - - Construction and land development - - - - - - - - - Commercial loans - - - 3,378 5,798 750 3,378 5,798 750 Residential 1-4 family (3) - - - - - - - - - Other consumer loans - - - - - - - - - Total $ - $ - $ - $ 4,066 $ 6,486 $ 900 $ 4,066 $ 6,486 $ 900 Grand total $ 963 $ 1,113 $ - $ 12,651 $ 15,681 $ 900 $ 13,614 $ 16,794 $ 900 (1) Recorded investment is after cumulative prior charge offs of $3.0 million. These loans also have aggregate SBA guarantees of $2.2 million. (2) Includes loans secured by farmland and multi-family residential loans. (3) Includes home equity lines of credit. |
Schedule of details of average recorded investment and interest income for impaired loans recognized by class of loans | Three months ended June 30, 2017 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 2,052 - 2,052 - Residential 1-4 family (2) 1,287 9 - - 1,287 9 Other consumer loans - - - - - - Total $ 1,287 $ 9 $ 2,052 $ - $ 3,339 $ 9 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 1,271 $ 8 $ 1,271 $ 8 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - - - - - Residential 1-4 family (2) - - 430 - 430 - Other consumer loans - - - - - - Total $ - $ - $ 1,701 $ 8 $ 1,701 $ 8 Grand total $ 1,287 $ 9 $ 3,753 $ 8 $ 5,040 $ 17 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Three months ended June 30, 2016 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,826 $ 73 $ 6,826 $ 73 Commercial real estate - non-owner occupied (1) - - 133 3 133 3 Construction and land development - - - - - - Commercial loans - - 3,031 14 3,031 14 Residential 1-4 family (2) 1,047 9 - - 1,047 9 Other consumer loans - - - - - - Total $ 1,047 $ 9 $ 9,990 $ 90 $ 11,037 $ 99 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 695 $ 8 $ 695 $ 8 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 3,494 39 3,494 39 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 4,189 $ 47 $ 4,189 $ 47 Grand total $ 1,047 $ 9 $ 14,179 $ 137 $ 15,226 $ 146 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Six months ended June 30, 2017 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 2,085 - 2,085 - Residential 1-4 family (2) 1,288 17 - - 1,288 17 Other consumer loans - - - - - - Total $ 1,288 $ 17 $ 2,085 $ - $ 3,373 $ 17 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 1,297 $ 16 $ 1,297 $ 16 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - - - - - Residential 1-4 family (2) - - 336 - 336 - Other consumer loans - - - - - - Total $ - $ - $ 1,633 $ 16 $ 1,633 $ 16 Grand total $ 1,288 $ 17 $ 3,718 $ 16 $ 5,006 $ 33 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Six months ended June 30, 2016 Covered Loans Non-covered Loans Total Loans Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized With no related allowance recorded Commercial real estate - owner occupied $ - $ - $ 6,166 $ 146 $ 6,166 $ 146 Commercial real estate - non-owner occupied (1) - - 135 5 135 5 Construction and land development - - - - - - Commercial loans - - 2,959 28 2,959 28 Residential 1-4 family (2) 1,012 17 - - 1,012 17 Other consumer loans - - - - - - Total $ 1,012 $ 17 $ 9,260 $ 179 $ 10,272 $ 196 With an allowance recorded Commercial real estate - owner occupied $ - $ - $ 697 $ 16 $ 697 $ 16 Commercial real estate - non-owner occupied (1) - - - - - - Construction and land development - - - - - - Commercial loans - - 2,942 78 2,942 78 Residential 1-4 family (2) - - - - - - Other consumer loans - - - - - - Total $ - $ - $ 3,639 $ 94 $ 3,639 $ 94 Grand total $ 1,012 $ 17 $ 12,899 $ 273 $ 13,911 $ 290 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. |
Schedule of details of aging of the recorded investment in past due loans by class of loans | June 30, 2017 30 - 59 60 - 89 Days Days 90 Days Total Nonaccrual Loans Not Total Past Due Past Due or More Past Due Loans Past Due Loans Covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - - Construction and land development - - - - - - - Commercial loans - - - - - - - Residential 1-4 family (2) 268 87 - 355 850 23,463 24,668 Other consumer loans - - - - - - - Total $ 268 $ 87 $ - $ 355 $ 850 $ 23,463 $ 24,668 Non-covered loans: Commercial real estate - owner occupied $ 1,033 $ - $ - $ 1,033 $ 633 $ 394,823 $ 396,489 Commercial real estate - non-owner occupied (1) - - - - - 550,484 550,484 Construction and land development 18 - - 18 - 188,075 188,093 Commercial loans 796 9,984 - 10,780 2,043 236,520 249,343 Residential 1-4 family (2) 1,566 767 - 2,333 431 581,621 584,385 Other consumer loans 16 - - 16 - 41,389 41,405 Total $ 3,429 $ 10,751 $ - $ 14,180 $ 3,107 $ 1,992,912 $ 2,010,199 Total loans: Commercial real estate - owner occupied $ 1,033 $ - $ - $ 1,033 $ 633 $ 394,823 $ 396,489 Commercial real estate - non-owner occupied (1) - - - - - 550,484 550,484 Construction and land development 18 - - 18 - 188,075 188,093 Commercial loans 796 9,984 - 10,780 2,043 236,520 249,343 Residential 1-4 family (2) 1,834 854 - 2,688 1,281 605,084 609,053 Other consumer loans 16 - - 16 - 41,389 41,405 Total $ 3,697 $ 10,838 $ - $ 14,535 $ 3,957 $ 2,016,375 $ 2,034,867 December 31, 2016 30 - 59 60 - 89 Days Days 90 Days Total Nonaccrual Loans Not Total Past Due Past Due or More Past Due Loans Past Due Loans Covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ - $ - $ - Commercial real estate - non-owner occupied (1) - - - - - - - Construction and land development - - - - - - - Commercial loans - - - - - - - Residential 1-4 family (2) 221 95 - 316 850 27,014 28,180 Other consumer loans - - - - - - - Total $ 221 $ 95 $ - $ 316 $ 850 $ 27,014 $ 28,180 Non-covered loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ 637 $ 154,170 $ 154,807 Commercial real estate - non-owner occupied (1) - - - - - 310,196 310,196 Construction and land development - - - - - 91,067 91,067 Commercial loans 1,349 - - 1,349 3,158 110,858 115,365 Residential 1-4 family (2) 1,011 - - 1,011 - 230,822 231,833 Other consumer loans - - - - - 856 856 Total $ 2,360 $ - $ - $ 2,360 $ 3,795 $ 897,969 $ 904,124 Total loans: Commercial real estate - owner occupied $ - $ - $ - $ - $ 637 $ 154,170 $ 154,807 Commercial real estate - non-owner occupied (1) - - - - - 310,196 310,196 Construction and land development - - - - - 91,067 91,067 Commercial loans 1,349 - - 1,349 3,158 110,858 115,365 Residential 1-4 family (2) 1,232 95 - 1,327 850 257,836 260,013 Other consumer loans - - - - - 856 856 Total $ 2,581 $ 95 $ - $ 2,676 $ 4,645 $ 924,983 $ 932,304 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. |
Schedule of activity in the allowance for non-covered and covered loan and lease losses by class of loan | Commercial Commercial Real Estate Real Estate Construction Other Non-covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Three months ended June 30, 2017 Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total Allowance for loan losses: Beginning balance $ 1,188 $ 1,546 $ 801 $ 3,007 $ 1,254 $ 74 $ 808 $ 8,678 Charge offs - (100 ) - (467 ) (307 ) (5 ) - (879 ) Recoveries 11 299 - 36 2 - - 348 Provision (261 ) 45 295 115 474 15 367 1,050 Ending balance $ 938 $ 1,790 $ 1,096 $ 2,691 $ 1,423 $ 84 $ 1,175 $ 9,197 Three months ended June 30, 2016 Allowance for loan losses: Beginning balance $ 1,251 $ 1,553 $ 716 $ 2,892 $ 1,556 $ 82 $ 640 $ 8,690 Charge offs - - (449 ) (1,156 ) (22 ) (69 ) - (1,696 ) Recoveries - - - 37 2 1 - 40 Provision (530 ) (150 ) 588 1,572 (274 ) 108 73 1,387 Ending balance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Commercial Commercial Real Estate Real Estate Construction Other Non-covered loans: Owner Non-owner and Land Commercial 1-4 Family Consumer Six months ended June 30, 2017 Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total Allowance for loan losses: Beginning balance $ 905 $ 1,484 $ 752 $ 3,366 $ 1,279 $ 78 $ 746 $ 8,610 Charge offs - (100 ) - (967 ) (319 ) (5 ) - (1,391 ) Recoveries 21 299 - 51 5 2 - 378 Provision 12 107 344 241 458 9 429 1,600 Ending balance $ 938 $ 1,790 $ 1,096 $ 2,691 $ 1,423 $ 84 $ 1,175 $ 9,197 Six months ended June 30, 2016 Allowance for loan losses: Beginning balance $ 1,185 $ 1,222 $ 865 $ 3,041 $ 1,408 $ 48 $ 652 $ 8,421 Charge offs - - (449 ) (1,271 ) (22 ) (322 ) - (2,064 ) Recoveries - - - 46 4 2 - 52 Provision (464 ) 181 439 1,529 (128 ) 394 61 2,012 Ending balance $ 721 $ 1,403 $ 855 $ 3,345 $ 1,262 $ 122 $ 713 $ 8,421 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. |
Schedule of allowance for non-covered loan and covered loan losses and the recorded investment by portfolio segment | Commercial Commercial Real Estate Real Estate Construction Other Owner Non-owner and Land Commercial 1-4 Family Consumer Non-covered loans: Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total June 30, 2017 Ending allowance balance attributable to loans: Individually evaluated for impairment $ 250 $ - $ - $ - $ 100 $ - $ - $ 350 Collectively evaluated for impairment 688 1,790 1,096 2,691 1,323 84 1,175 8,847 Total ending allowance $ 938 $ 1,790 $ 1,096 $ 2,691 $ 1,423 $ 84 $ 1,175 $ 9,197 Loans: Individually evaluated for impairment $ 1,220 $ - $ - $ 2,043 $ 376 $ - $ - $ 3,639 Collectively evaluated for impairment 395,269 550,484 188,093 247,300 584,009 41,405 - 2,006,560 Total ending loan balances $ 396,489 $ 550,484 $ 188,093 $ 249,343 $ 584,385 $ 41,405 $ - $ 2,010,199 December 31, 2016 Ending allowance balance attributable to loans: Individually evaluated for impairment $ 150 $ - $ - $ 750 $ - $ - $ - $ 900 Collectively evaluated for impairment 755 1,484 752 2,616 1,279 78 746 7,710 Total ending allowance $ 905 $ 1,484 $ 752 $ 3,366 $ 1,279 $ 78 $ 746 $ 8,610 Loans: Individually evaluated for impairment $ 6,271 $ - $ - $ 6,380 $ - $ - $ - $ 12,651 Collectively evaluated for impairment 148,536 310,196 91,067 108,985 231,833 856 - 891,473 Total ending loan balances $ 154,807 $ 310,196 $ 91,067 $ 115,365 $ 231,833 $ 856 $ - $ 904,124 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. Commercial Commercial Real Estate Real Estate Construction Other Owner Non-owner and Land Commercial 1-4 Family Consumer Covered loans: Occupied Occupied (1) Development Loans Residential (2) Loans Unallocated Total June 30, 2017 Ending allowance balance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment - - - - - - - - Total ending allowance $ - $ - $ - $ - $ - $ - $ - $ - Loans: Individually evaluated for impairment $ - $ - $ - $ - $ 1,285 $ - $ - $ 1,285 Collectively evaluated for impairment - - - - 23,383 - - 23,383 Total ending loan balances $ - $ - $ - $ - $ 24,668 $ - $ - $ 24,668 December 31, 2016 Ending allowance balance attributable to loans: Individually evaluated for impairment $ - $ - $ - $ - $ - $ - $ - $ - Collectively evaluated for impairment - - - - - - - - Total ending allowance $ - $ - $ - $ - $ - $ - $ - $ - Loans: Individually evaluated for impairment $ - $ - $ - $ - $ 963 $ - $ - $ 963 Collectively evaluated for impairment - - - - 27,217 - - 27,217 Total ending loan balances $ - $ - $ - $ - $ 28,180 $ - $ - $ 28,180 (1) Includes loans secured by farmland and multi-family residential loans. (2) Includes home equity lines of credit. |
Schedule of the risk category of loans by class of loans | June 30, 2017 Covered Loans Non-covered Loans Total Loans Classified/ Special Classified/ Criticized (1) Pass Total Mention Substandard (3) Pass Total Criticized Pass Total Commercial real estate - owner occupied $ - $ - $ - $ 4,885 $ 1,220 $ 390,384 $ 396,489 $ 6,105 $ 390,384 $ 396,489 Commercial real estate - non-owner occupied (2) - - - - - 550,484 550,484 - 550,484 550,484 Construction and land development - - - 9,984 - 178,109 188,093 9,984 178,109 188,093 Commercial loans - - - 3,270 2,043 244,030 249,343 5,313 244,030 249,343 Residential 1-4 family (4) 1,285 23,383 24,668 - 376 584,009 584,385 1,661 607,392 609,053 Other consumer loans - - - - - 41,405 41,405 - 41,405 41,405 Total $ 1,285 $ 23,383 $ 24,668 $ 18,139 $ 3,639 $ 1,988,421 $ 2,010,199 $ 23,063 $ 2,011,804 $ 2,034,867 December 31, 2016 Covered Loans Non-covered Loans Total Loans Classified/ Special Classified/ Criticized (1) Pass Total Mention Substandard (3) Pass Total Criticized Pass Total Commercial real estate - owner occupied $ - $ - $ - $ - $ 6,271 $ 148,536 $ 154,807 $ 6,271 $ 148,536 $ 154,807 Commercial real estate - non-owner occupied (2) - - - - - 310,196 310,196 - 310,196 310,196 Construction and land development - - - - - 91,067 91,067 - 91,067 91,067 Commercial loans - - - 28 6,380 108,957 115,365 6,408 108,957 115,365 Residential 1-4 family (4) 963 27,217 28,180 - - 231,833 231,833 963 259,050 260,013 Other consumer loans - - - - - 856 856 - 856 856 Total $ 963 $ 27,217 $ 28,180 $ 28 $ 12,651 $ 891,445 $ 904,124 $ 13,642 $ 918,662 $ 932,304 (1) Credit quality is enhanced by a loss sharing agreement with the FDIC in the covered portfolio. The same credit quality indicators used in the non-covered portfolio are combined. (2) Includes loans secured by farmland and multi-family residential loans. (3) Includes SBA guarantees of $2.0 million and $2.2 million as of June 30, 2017 and December 31, 2016. (4) Includes home equity lines of credit. |
EARNINGS (LOSS) PER SHARE (Tabl
EARNINGS (LOSS) PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of reconciliation of the denominators of the basic and diluted earnings per share | Weighted Average Income (Loss) Shares Per Share (Numerator) (Denominator) Amount For the three months ended June 30, 2017 Basic EPS $ (2,842 ) 13,231 $ (0.21 ) Effect of dilutive stock options and warrants - - - Diluted EPS $ (2,842 ) 13,231 $ (0.21 ) For the three months ended June 30, 2016 Basic EPS $ 2,789 12,249 $ 0.23 Effect of dilutive stock options and warrants - 146 - Diluted EPS $ 2,789 12,395 $ 0.23 For the six months ended June 30, 2017 Basic EPS $ (788 ) 12,772 $ (0.06 ) Effect of dilutive stock options and warrants - - - Diluted EPS $ (788 ) 12,772 $ (0.06 ) For the six months ended June 30, 2016 Basic EPS $ 5,355 12,243 $ 0.44 Effect of dilutive stock options and warrants - 151 - Diluted EPS $ 5,355 12,394 $ 0.43 |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets measured at fair value on a recurring basis | Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) June 30, 2017 (Level 1) (Level 2) (Level 3) Financial assets: Available for sale securities Agency residential mortgage-backed securities (fixed and variable rate) $ 33,299 $ - $ 33,299 $ - Obligations of states and political subdivisions 18,612 - 18,612 - Corporate securities 2,015 - 2,015 - Trust preferred securities 2,276 - 2,276 - Agency CMO securities 55,751 - 55,751 - Agency commercial mortgage-backed securities 28,118 - 28,118 - SBA pool securities 26,905 - 26,905 - $ 166,976 $ - $ 166,976 $ - Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) December 31, 2016 (Level 1) (Level 2) (Level 3) Financial assets: Available for sale securities Obligations of states and political subdivisions $ 2,259 $ - $ 2,259 $ - Trust preferred securities 1,659 - 1,659 - $ 3,918 $ - $ 3,918 $ - |
Schedule of assets measured at fair value on non recurring basis | Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) June 30, 2017 (Level 1) (Level 2) (Level 3) Impaired non-covered loans: Commercial real estate - owner occupied $ 970 $ - $ - $ 970 Commercial loans 2,043 - - 2,043 Residential 1-4 family 276 - - 276 Impaired covered loans: Residential 1-4 family 1,285 - - 1,285 Loans held for sale 16,726 - - 16,726 Assets held for sale 1,685 - - 1,685 Non-covered other real estate owned: Commercial real estate - owner occupied 1,060 - - 1,060 Construction and land development 3,448 - - 3,448 Residential 1-4 family 3,970 - - 3,970 Fair Value Measurements Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Total at Identical Assets Inputs Inputs (dollars in thousands) December 31, 2016 (Level 1) (Level 2) (Level 3) Impaired non-covered loans: Commercial real estate - owner occupied $ 6,121 $ - $ - $ 6,121 Commercial loans 5,630 - - 5,630 Impaired covered loans: Residential 1-4 family 963 - - 963 Non-covered other real estate owned: Commercial real estate - owner occupied 1,110 - - 1,110 Commercial real estate - non-owner occupied (1) 237 - - 237 Construction and land development 3,863 - - 3,863 Residential 1-4 family 3,407 - - 3,407 (1) Includes loans secured by farmland and multi-family residential loans. |
Schedule of estimated fair values and fair value hierarchy levels of financial instruments | June 30, 2017 December 31, 2016 Fair Value Carrying Fair Carrying Fair Hierarchy Level Amount Value Amount Value Financial assets: Cash and cash equivalents Level 1 $ 44,600 $ 44,600 $ 47,392 $ 47,392 Securities available for sale See previous table 166,976 166,976 3,918 3,918 Securities held to maturity Level 2 103,055 101,661 85,300 83,344 Stock in Federal Reserve Bank and Federal Home Loan Bank n/a 13,808 n/a 7,929 n/a Equity investment in mortgage affiliate Level 3 4,700 4,700 4,629 4,629 Preferred investment in mortgage affiliate Level 3 3,305 3,305 2,555 2,555 Net non-covered loans Level 3 1,999,295 2,014,082 893,625 903,085 Net covered loans Level 3 24,668 24,850 28,180 32,173 Accrued interest receivable Level 2 & Level 3 7,589 7,589 3,202 3,202 FDIC indemnification asset Level 3 1,698 528 2,111 528 Financial liabilities: Demand deposits Level 1 666,713 666,713 124,779 124,779 Money market and savings accounts Level 1 548,508 548,508 182,590 182,590 Certificates of deposit Level 3 804,938 801,103 605,613 605,394 Securities sold under agreements to repurchase Level 1 8,143 8,143 - - FHLB short term advances Level 1 201,475 201,475 95,000 95,000 Junior subordinated debt Level 2 9,460 9,459 - - Senior subordinated notes Level 2 47,150 54,211 - - Accrued interest payable Level 1 & Level 3 2,260 2,260 1,190 1,190 |
ACCOUNTING POLICIES (Detail Tex
ACCOUNTING POLICIES (Detail Textuals) - Sonabank | 6 Months Ended |
Jun. 30, 2017Branch | |
Virginia | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 39 |
Essex | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 2 |
Fairfax And Gloucester | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 2 |
Hanover | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 3 |
King William, Lancaster and Middlesex | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 3 |
New Kent and Northumberland | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 3 |
Southampton, Surry, Sussex, And In Charlottesville, Clifton Forge, Colonial Heights, Front Royal, Hampton, Haymarket and Leesburg | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 2 |
Middleburg, New Market, Newport News and Richmond | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 2 |
South Riding and Warrenton | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 2 |
Williamsburg | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 8 |
Maryland | Rockville | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Shady Grove | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Frederick | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Bethesda | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Upper Marlboro | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Brandywine | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Owings | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
Maryland | Huntingtown | |
Organization And Significant Accounting Policies [Line Items] | |
Number of branches | 1 |
BUSINESS COMBINATIONS (Details)
BUSINESS COMBINATIONS (Details) - USD ($) $ in Thousands | 1 Months Ended | 6 Months Ended | |
Jun. 23, 2017 | Jun. 30, 2017 | Dec. 31, 2016 | |
Consideration paid: | |||
Cash | $ 10 | ||
Identifiable liabilities assumed: | |||
Goodwill resulting from acquisition | $ 99,166 | $ 10,514 | |
EVBS | |||
Consideration paid: | |||
Cash | $ 10 | ||
SNBV common stock | 198,909 | ||
Total consideration paid | 198,919 | ||
Identifiable assets acquired: | |||
Cash and due from banks | 4,350 | ||
Interest bearing deposits with banks | 18,993 | ||
Federal funds sold | 682 | ||
Securities available for sale, at fair value | 163,291 | ||
Securities held to maturity, at carrying value | 19,544 | ||
Restricted securities, at cost | 6,734 | ||
Loans | 1,039,687 | ||
Loans held for sale | 16,726 | ||
Deferred income taxes | 15,735 | ||
Bank premises and equipment | 28,594 | ||
Assets held for sale | 1,685 | ||
Accrued interest receivable | 4,272 | ||
Other real estate owned | 563 | ||
Core deposit intangible | 10,897 | ||
Bank owned life insurance | 26,035 | ||
Other assets | 10,004 | ||
Total identifiable assets acquired | 1,367,792 | ||
Identifiable liabilities assumed: | |||
Noninterest-bearing demand accounts | 226,637 | ||
Interest-bearing deposits | 921,824 | ||
Federal funds purchased and repurchase agreements | 7,598 | ||
Federal Home Loan Bank advances | 57,475 | ||
Junior subordinated debt | 9,459 | ||
Senior subordinated notes | 21,054 | ||
Accrued interest payable | 902 | ||
Other liabilities | 12,584 | ||
Total identifiable liabilities assumed | 1,257,533 | ||
Net identifiable assets acquired | 110,259 | ||
Goodwill resulting from acquisition | 88,660 | ||
EVBS | As Recorded by EVBS | |||
Identifiable assets acquired: | |||
Cash and due from banks | 4,350 | ||
Interest bearing deposits with banks | 18,993 | ||
Federal funds sold | 682 | ||
Securities available for sale, at fair value | 163,029 | ||
Securities held to maturity, at carrying value | 19,036 | ||
Restricted securities, at cost | 6,734 | ||
Loans | 1,048,563 | ||
Loans held for sale | 16,726 | ||
Deferred income taxes | 15,735 | ||
Bank premises and equipment | 24,242 | ||
Assets held for sale | 2,970 | ||
Accrued interest receivable | 4,272 | ||
Other real estate owned | 563 | ||
Core deposit intangible | 435 | ||
Bank owned life insurance | 26,035 | ||
Other assets | 10,004 | ||
Total identifiable assets acquired | 1,362,369 | ||
Identifiable liabilities assumed: | |||
Noninterest-bearing demand accounts | 226,637 | ||
Interest-bearing deposits | 920,743 | ||
Federal funds purchased and repurchase agreements | 7,598 | ||
Federal Home Loan Bank advances | 57,475 | ||
Junior subordinated debt | 10,310 | ||
Senior subordinated notes | 19,175 | ||
Accrued interest payable | 902 | ||
Other liabilities | 12,584 | ||
Total identifiable liabilities assumed | 1,255,424 | ||
Net identifiable assets acquired | 106,945 | ||
EVBS | Fair Value Adjustments | |||
Identifiable assets acquired: | |||
Cash and due from banks | |||
Interest bearing deposits with banks | |||
Federal funds sold | |||
Securities available for sale, at fair value | 262 | ||
Securities held to maturity, at carrying value | 508 | ||
Restricted securities, at cost | |||
Loans | (8,876) | ||
Loans held for sale | |||
Deferred income taxes | |||
Bank premises and equipment | 4,352 | ||
Assets held for sale | (1,285) | ||
Accrued interest receivable | |||
Other real estate owned | |||
Core deposit intangible | 10,462 | ||
Bank owned life insurance | |||
Other assets | |||
Total identifiable assets acquired | 5,423 | ||
Identifiable liabilities assumed: | |||
Noninterest-bearing demand accounts | |||
Interest-bearing deposits | 1,081 | ||
Federal funds purchased and repurchase agreements | |||
Federal Home Loan Bank advances | |||
Junior subordinated debt | (851) | ||
Senior subordinated notes | 1,879 | ||
Accrued interest payable | |||
Other liabilities | |||
Total identifiable liabilities assumed | 2,109 | ||
Net identifiable assets acquired | $ 3,314 |
BUSINESS COMBINATIONS (Details
BUSINESS COMBINATIONS (Details 1) - EVBS - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2017 | ||
Business Acquisition [Line Items] | |||
Loans | [1] | $ 91 | $ 91 |
Time deposits | [2] | 4 | 4 |
Junior and senior subordinated debt | [3] | (26) | (26) |
Core deposit intangible | [4] | 2 | 2 |
Net impact to income before income taxes | $ 71 | $ 71 | |
[1] | Loan discount accretion is included in the "Interest and fees on loans" section of "Interest and dividend income" in the Consolidated Statements of Operations. | ||
[2] | Time deposit premium amortization is included in the "Interest on deposits" section of "Interest expense" in the Consolidated Statements of Operations. | ||
[3] | The junior subordinated debt discount accretion and senior subordinated debt premium amortization are included in the "Interest on junior subordinated debt" and "Interest on senior subordinated notes" section of "Interest expense", respectively, in the Consolidated Statements of Operations. | ||
[4] | Core deposit intangible premium amortization is included in the "Other operating expenses" section of "Noninterest expenses" in the Consolidated Statements of Operations. |
BUSINESS COMBINATIONS (Detail28
BUSINESS COMBINATIONS (Details 2) - EVBS - Unaudited Pro Forma - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Business Acquisition [Line Items] | ||||
Net interest income | $ 21,584 | $ 21,139 | $ 43,421 | $ 41,866 |
Net income | $ 6,585 | $ 5,706 | $ 12,218 | $ 11,506 |
BUSINESS COMBINATIONS (Detail T
BUSINESS COMBINATIONS (Detail Textuals) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | |
Jun. 23, 2017 | Jun. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 | |
Business Acquisition [Line Items] | ||||
Goodwill resulting from acquisition | $ 99,166 | $ 99,166 | $ 10,514 | |
Unpaid principal balance of loans | 4,105 | 4,105 | $ 10,308 | |
Acquisition-related expenses | $ 8,603 | $ 8,926 | ||
EVBS | ||||
Business Acquisition [Line Items] | ||||
Value of SNBV common stock | $ 198,909 | |||
Goodwill resulting from acquisition | 88,660 | |||
Amount of loans | 1,039,687 | |||
Unpaid principal balance of loans | 1,060,000 | |||
Amount of discount | 15,400 | |||
Loans held for sale | 16,726 | |||
Fair value of bank-owned real estate | 3,100 | |||
Core deposit intangible | $ 10,897 | |||
Percentage of core deposits to total deposits | 1.00% | |||
Weighted average life of Core Deposit Intangible | 96 months | |||
EVBS | EVBS Series B Preferred Stock | ||||
Business Acquisition [Line Items] | ||||
Number of shares issued for each outstanding share of EVBS | 0.6313 | |||
EVBS | Common Stock | ||||
Business Acquisition [Line Items] | ||||
Number of shares issued for each outstanding share of EVBS | 0.6313 | |||
Closing common stock price | $ 17.21 |
STOCK- BASED COMPENSATION - Act
STOCK- BASED COMPENSATION - Activity in stock option plan (Details) - Stock Options $ / shares in Units, $ in Thousands | 6 Months Ended |
Jun. 30, 2017USD ($)$ / sharesshares | |
Shares | |
Options outstanding, beginning of period | shares | 782,200 |
Granted | shares | |
Options issued in connection with EVBS merger | shares | 22,559 |
Forfeited | shares | (2,200) |
Exercised | shares | (39,450) |
Options outstanding, end of period | shares | 763,109 |
Vested or expected to vest | shares | 763,109 |
Exercisable at end of period | shares | 413,839 |
Weighted Average Exercise Price | |
Options outstanding, beginning of period | $ / shares | $ 9.56 |
Granted | $ / shares | |
Options issued in connection with EVBS merger | $ / shares | 24.54 |
Forfeited | $ / shares | 14.73 |
Exercised | $ / shares | 8.50 |
Options outstanding, end of period | $ / shares | 10.04 |
Vested or expected to vest | $ / shares | 10.04 |
Exercisable at end of period | $ / shares | $ 7.75 |
Weighted Average Remaining Contractual Term | |
Options outstanding, end of period | 6 years |
Vested or expected to vest | 6 years |
Exercisable at end of period | 4 years 4 months 24 days |
Options outstanding, end of period - Aggregate Intrinsic Value | $ | $ 5,926 |
Vested or expected to vest - Aggregate Intrinsic Value | $ | 5,926 |
Exercisable at end of period - Aggregate Intrinsic Value | $ | $ 3,646 |
STOCK- BASED COMPENSATION (Deta
STOCK- BASED COMPENSATION (Detail Textuals) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2017USD ($)shares | Jun. 30, 2016USD ($) | Jun. 30, 2017USD ($)shares | Jun. 30, 2016USD ($) | Apr. 30, 2010shares | Dec. 31, 2004shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ | $ 41 | $ 58 | $ 101 | $ 136 | ||
Stock Options | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Options issued in connection with EVBS merger | 22,559 | |||||
Unrecognized compensation expense associated with the stock options | $ | $ 349 | $ 349 | ||||
Unrecognized compensation cost weighted average recognition period | 2 years 1 month 6 days | |||||
Stock Options | Maximum | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Maximum term of options | 10 years | |||||
2004 Stock Option Plan | Stock Options | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized for reservation (in shares) | 302,500 | |||||
2010 Stock Awards and Incentive Plan | Stock Options | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized for reservation (in shares) | 700,000 | |||||
2017 Stock Option Plan | Stock Options | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares authorized for reservation (in shares) | 750,000 | 750,000 | ||||
2017 Stock Option Plan | Stock Options | EVBS | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Options issued in connection with EVBS merger | 22,559 | |||||
Exchange ratio | 0.6313 | 0.6313 |
SECURITIES - Amortized cost and
SECURITIES - Amortized cost and fair value of securities (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 168,105 | $ 4,870 |
Gross Unrealized Gains | 26 | 9 |
Gross Unrealized Losses | (1,155) | (961) |
Fair value | 166,976 | 3,918 |
Agency residential mortgage-backed securities (fixed and variable rate) | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 33,487 | |
Gross Unrealized Gains | ||
Gross Unrealized Losses | (188) | |
Fair value | 33,299 | |
Obligations of states and political subdivisions | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 18,719 | 2,280 |
Gross Unrealized Gains | 19 | 9 |
Gross Unrealized Losses | (126) | (30) |
Fair value | 18,612 | 2,259 |
Trust preferred securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 2,589 | 2,590 |
Gross Unrealized Gains | ||
Gross Unrealized Losses | (313) | (931) |
Fair value | 2,276 | $ 1,659 |
Residential government-sponsored collateralized mortgage obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 56,020 | |
Gross Unrealized Gains | 1 | |
Gross Unrealized Losses | (270) | |
Fair value | 55,751 | |
Corporate securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 2,015 | |
Gross Unrealized Gains | ||
Gross Unrealized Losses | ||
Fair value | 2,015 | |
Agency commercial mortgage-backed securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 28,346 | |
Gross Unrealized Gains | ||
Gross Unrealized Losses | (228) | |
Fair value | 28,118 | |
SBA pool securities | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 26,929 | |
Gross Unrealized Gains | 6 | |
Gross Unrealized Losses | (30) | |
Fair value | $ 26,905 |
SECURITIES - Carrying amount an
SECURITIES - Carrying amount and fair value of securities (Details 1) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 103,055 | $ 85,300 |
Gross Unrecognized Gains | 233 | 389 |
Gross Unrecognized Losses | (1,627) | (2,345) |
Securities held to maturity fair value (in dollars) | 101,661 | 83,344 |
Residential government-sponsored mortgage-backed securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 12,718 | 18,594 |
Gross Unrecognized Gains | 33 | 308 |
Gross Unrecognized Losses | (62) | (118) |
Securities held to maturity fair value (in dollars) | 12,689 | 18,784 |
Residential government-sponsored collateralized mortgage obligations | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 10,312 | 2,371 |
Gross Unrecognized Gains | ||
Gross Unrecognized Losses | (51) | (54) |
Securities held to maturity fair value (in dollars) | 10,261 | 2,317 |
Government-sponsored agency securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 52,927 | 47,975 |
Gross Unrecognized Gains | 52 | 28 |
Gross Unrecognized Losses | (1,425) | (1,865) |
Securities held to maturity fair value (in dollars) | 51,554 | 46,138 |
Obligations of states and political subdivisions | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 23,656 | 12,706 |
Gross Unrecognized Gains | 135 | 53 |
Gross Unrecognized Losses | (64) | (162) |
Securities held to maturity fair value (in dollars) | 23,727 | 12,597 |
Trust preferred securities | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | 3,442 | 3,654 |
Gross Unrecognized Gains | 13 | |
Gross Unrecognized Losses | (25) | (146) |
Securities held to maturity fair value (in dollars) | $ 3,430 | $ 3,508 |
SECURITIES - Contractual maturi
SECURITIES - Contractual maturity (Details 2) $ in Thousands | Jun. 30, 2017USD ($) |
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | |
Held to maturity, due in one to five years, amortized cost | $ 1,457 |
Held to maturity, due in one to five years, fair value | 1,474 |
Held to maturity, due in five to ten years, amortized cost | 12,056 |
Held to maturity, due in five to ten years, fair value | 11,987 |
Held to maturity, due after ten years, amortized cost | 66,512 |
Held to maturity, due after ten years, fair value | 65,250 |
Held to maturity, amortized cost | 103,055 |
Held to maturity, fair value | 101,661 |
Available for sale, due in one to five years, amortized cost | 1,960 |
Available for sale, due in one to five years, fair value | 1,955 |
Available for sale, due in five to ten years, amortized cost | 4,866 |
Available for sale, due in five to ten years, fair value | 4,855 |
Available for sale, due after ten years, amortized cost | 16,497 |
Available for sale, due after ten years, fair value | 16,093 |
Available for sale, amortized cost | 168,105 |
Available for sale, fair value | 166,976 |
Agency residential mortgage-backed securities (fixed and variable rate) | |
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | |
Held to maturity, amortized cost | 12,718 |
Held to maturity, fair value | 12,689 |
Available for sale, amortized cost | 33,487 |
Available for sale, fair value | 33,299 |
Residential government-sponsored collateralized mortgage obligations | |
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | |
Held to maturity, amortized cost | 10,312 |
Held to maturity, fair value | 10,261 |
Available for sale, amortized cost | 56,020 |
Available for sale, fair value | 55,751 |
Agency commercial mortgage-backed securities | |
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | |
Held to maturity, amortized cost | |
Held to maturity, fair value | |
Available for sale, amortized cost | 28,346 |
Available for sale, fair value | 28,118 |
SBA pool securities | |
Schedule Of Available For Sale and Held To Maturity Securities [Line Items] | |
Held to maturity, amortized cost | |
Held to maturity, fair value | |
Available for sale, amortized cost | 26,929 |
Available for sale, fair value | $ 26,905 |
SECURITIES - Securities in cont
SECURITIES - Securities in continuous unrealized loss position (Details 3) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Schedule Of Available For Sale and Held To Maturity Securities | ||
Available for sale, less than 12 months, fair value | $ 156,922 | $ 1,706 |
Available for sale, less than 12 months, unrealized losses | (842) | (30) |
Available for sale, 12 months or more, fair value | 2,276 | 1,658 |
Available for sale, 12 months or more, unrealized losses | (313) | (931) |
Available for sale, total fair value | 159,198 | 3,364 |
Available for sale, total unrealized losses | (1,155) | (961) |
Held to maturity, less than 12 months, fair value | 51,428 | 56,272 |
Held to Maturity, less than 12 months unrecognized losses | (1,017) | (2,100) |
Held to maturity, 12 months or more, fair value | 17,085 | 6,001 |
Held to Maturity, 12 months or more, unrecognized losses | (610) | (245) |
Held to maturity, total fair value | 68,513 | 62,273 |
Held to maturity, total unrecognized losses | (1,627) | (2,345) |
Agency residential mortgage-backed securities (fixed and variable rate) | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Available for sale, less than 12 months, fair value | 33,299 | |
Available for sale, less than 12 months, unrealized losses | (188) | |
Available for sale, 12 months or more, fair value | ||
Available for sale, 12 months or more, unrealized losses | ||
Available for sale, total fair value | 33,299 | |
Available for sale, total unrealized losses | (188) | |
Residential government-sponsored collateralized mortgage obligations | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Available for sale, less than 12 months, fair value | 55,333 | |
Available for sale, less than 12 months, unrealized losses | (270) | |
Available for sale, 12 months or more, fair value | ||
Available for sale, 12 months or more, unrealized losses | ||
Available for sale, total fair value | 55,333 | |
Available for sale, total unrealized losses | (270) | |
Held to maturity, less than 12 months, fair value | 9,404 | 1,346 |
Held to Maturity, less than 12 months unrecognized losses | (30) | (27) |
Held to maturity, 12 months or more, fair value | 857 | 971 |
Held to Maturity, 12 months or more, unrecognized losses | (21) | (27) |
Held to maturity, total fair value | 10,261 | 2,317 |
Held to maturity, total unrecognized losses | (51) | (54) |
Government-Sponsored Agency Securities | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Held to maturity, less than 12 months, fair value | 25,080 | 41,110 |
Held to Maturity, less than 12 months unrecognized losses | (896) | (1,865) |
Held to maturity, 12 months or more, fair value | 14,471 | |
Held to Maturity, 12 months or more, unrecognized losses | (529) | |
Held to maturity, total fair value | 39,551 | 41,110 |
Held to maturity, total unrecognized losses | (1,425) | (1,865) |
Obligations of states and political subdivisions | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Available for sale, less than 12 months, fair value | 15,901 | 1,706 |
Available for sale, less than 12 months, unrealized losses | (126) | (30) |
Available for sale, 12 months or more, fair value | ||
Available for sale, 12 months or more, unrealized losses | ||
Available for sale, total fair value | 15,901 | 1,706 |
Available for sale, total unrealized losses | (126) | (30) |
Held to maturity, less than 12 months, fair value | 10,368 | 3,578 |
Held to Maturity, less than 12 months unrecognized losses | (38) | (98) |
Held to maturity, 12 months or more, fair value | 1,100 | 1,065 |
Held to Maturity, 12 months or more, unrecognized losses | (26) | (64) |
Held to maturity, total fair value | 11,468 | 4,643 |
Held to maturity, total unrecognized losses | (64) | (162) |
Trust preferred securities | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Available for sale, less than 12 months, fair value | ||
Available for sale, less than 12 months, unrealized losses | ||
Available for sale, 12 months or more, fair value | 2,276 | 1,658 |
Available for sale, 12 months or more, unrealized losses | (313) | (931) |
Available for sale, total fair value | 2,276 | 1,658 |
Available for sale, total unrealized losses | (313) | (931) |
Held to maturity, less than 12 months, fair value | ||
Held to Maturity, less than 12 months unrecognized losses | ||
Held to maturity, 12 months or more, fair value | 236 | 3,508 |
Held to Maturity, 12 months or more, unrecognized losses | (25) | (146) |
Held to maturity, total fair value | 236 | 3,508 |
Held to maturity, total unrecognized losses | (25) | (146) |
Residential government-sponsored mortgage-backed securities | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Held to maturity, less than 12 months, fair value | 6,576 | 10,238 |
Held to Maturity, less than 12 months unrecognized losses | (53) | (110) |
Held to maturity, 12 months or more, fair value | 421 | 457 |
Held to Maturity, 12 months or more, unrecognized losses | (9) | (8) |
Held to maturity, total fair value | 6,997 | 10,695 |
Held to maturity, total unrecognized losses | (62) | $ (118) |
Agency commercial mortgage-backed securities | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Available for sale, less than 12 months, fair value | 28,118 | |
Available for sale, less than 12 months, unrealized losses | (228) | |
Available for sale, 12 months or more, fair value | ||
Available for sale, 12 months or more, unrealized losses | ||
Available for sale, total fair value | 28,118 | |
Available for sale, total unrealized losses | (228) | |
SBA pool securities | ||
Schedule Of Available For Sale and Held To Maturity Securities | ||
Available for sale, less than 12 months, fair value | 24,271 | |
Available for sale, less than 12 months, unrealized losses | (30) | |
Available for sale, 12 months or more, fair value | ||
Available for sale, 12 months or more, unrealized losses | ||
Available for sale, total fair value | 24,271 | |
Available for sale, total unrealized losses | $ (30) |
SECURITIES - Owned pooled trust
SECURITIES - Owned pooled trust preferred securities (Details 4) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017USD ($) | ||
Available for Sale other than temporarily impaired | ||
Cumulative OTTI related to credit loss | ||
Trust preferred securities | ||
Security | ||
Par value - security | 3,719 | |
Book value - security | 3,442 | |
Estimated fair value - security | 3,430 | |
Previously recognized cumulative other comprehensive loss | 237 | [1] |
Available for Sale other than temporarily impaired | ||
Par value - Available for Sale other than temporarily impaired | 3,650 | |
Book value - Available for Sale other than temporarily impaired | 2,589 | |
Estimated fair value - Available for Sale other than temporarily impaired | 2,276 | |
Cumulative OTTI related to credit loss | 1,060 | [2] |
Par value | 7,369 | |
Book value | 6,031 | |
Estimated Fair Value | 5,706 | |
Trust preferred securities | ALESCO VII A1B Senior | Rating Of Moody Aaa Fitch AAA When Purchased And Current Moody Aa2 Fitch A | ||
Security | ||
Par value - security | 3,454 | |
Book value - security | 3,181 | |
Estimated fair value - security | $ 3,195 | |
% of Current Defaults and Deferrals to Total Collateral - security | 11.00% | |
Previously recognized cumulative other comprehensive loss | $ 233 | [1] |
Trust preferred securities | MMCF III B Senior Sub | Rating Of Moody A3 Fitch A- When Purchased and Current Moody Ba1 Fitch BB | ||
Security | ||
Par value - security | 265 | |
Book value - security | 261 | |
Estimated fair value - security | $ 235 | |
% of Current Defaults and Deferrals to Total Collateral - security | 32.00% | |
Previously recognized cumulative other comprehensive loss | $ 4 | [1] |
Trust preferred securities | TPREF FUNDING II Mezzanine | Rating Of Moody A1 Fitch A- When Purchased and Current Moody Caa3 Fitch C | ||
Available for Sale other than temporarily impaired | ||
Par value - Available for Sale other than temporarily impaired | 1,500 | |
Book value - Available for Sale other than temporarily impaired | 1,099 | |
Estimated fair value - Available for Sale other than temporarily impaired | $ 847 | |
% of Current Defaults and Deferrals to Total Collateral - Available for Sale other than temporarily impaired | 37.00% | |
Cumulative OTTI related to credit loss | $ 400 | [2] |
Trust preferred securities | ALESCO V C1 Mezzanine | Rating Of Moody A2 Fitch A When Purchased and Current Moody Caa3 Fitch C | ||
Available for Sale other than temporarily impaired | ||
Par value - Available for Sale other than temporarily impaired | 2,150 | |
Book value - Available for Sale other than temporarily impaired | 1,490 | |
Estimated fair value - Available for Sale other than temporarily impaired | $ 1,429 | |
% of Current Defaults and Deferrals to Total Collateral - Available for Sale other than temporarily impaired | 10.00% | |
Cumulative OTTI related to credit loss | $ 660 | [2] |
[1] | Pre-tax, and represents unrealized losses at date of transfer from available-for-sale to held-to-maturity, net of accretion | |
[2] | Pre-tax |
SECURITIES - Roll forward of cr
SECURITIES - Roll forward of credit losses (Details 5) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward] | ||
Amount of cumulative other-than-temporary impairment related to credit loss prior to January 1 | $ 1,060 | $ 1,060 |
Amounts related to credit loss for which an other-than-temporary impairment was not previously recognized | ||
Amounts related to credit loss for which an other-than-temporary impairment was previously recognized | ||
Reductions due to realized losses | ||
Amount of cumulative other-than-temporary impairment related to credit loss as of June 30 | $ 1,060 | $ 1,060 |
SECURITIES - Changes in accumul
SECURITIES - Changes in accumulated other comprehensive income by component (Details 6) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | $ (574) | $ (830) | $ (789) | $ (610) |
Other comprehensive (loss) income before reclassifications | (327) | (95) | (112) | (315) |
Net current-period other comprehensive (loss) income | (327) | (95) | (112) | (315) |
Ending balance | (901) | (925) | (901) | (925) |
Unrealized Holding (Losses) on Available for Sale Securities | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (414) | (662) | (627) | (440) |
Other comprehensive (loss) income before reclassifications | (329) | (98) | (116) | (320) |
Net current-period other comprehensive (loss) income | (329) | (98) | (116) | (320) |
Ending balance | (743) | (760) | (743) | (760) |
Held to Maturity Securities | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (160) | (168) | (162) | (170) |
Other comprehensive (loss) income before reclassifications | 2 | 3 | 4 | 5 |
Net current-period other comprehensive (loss) income | 2 | 3 | 4 | 5 |
Ending balance | $ (158) | $ (165) | $ (158) | $ (165) |
SECURITIES (Detail Textuals)
SECURITIES (Detail Textuals) - Federal Home Loan Bank of Atlanta - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2017 | Dec. 31, 2016 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||
Securities with a carrying amount pledged to secure public deposits | $ 69.6 | $ 73.9 |
Temporarily impaired securities | $ 227.7 |
SECURITIES (Detail Textuals 1)
SECURITIES (Detail Textuals 1) | 6 Months Ended |
Jun. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Other than temporary impairment performing collateral will default or defer per annum | 0.50% |
Recoveries ranging | 9.00% |
Period of no prepayments for security | 10 years |
Percentage of prepayments for remaining life of the security | 1.00% |
LOANS AND ALLOWANCE FOR LOAN 41
LOANS AND ALLOWANCE FOR LOAN LOSSES - Summary (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | ||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | $ 1,744,119 | $ 816,083 | ||
Gross loans | 2,034,867 | 932,304 | ||
Less deferred fees on loans | (1,707) | (1,889) | ||
Loans, net of deferred fees | 2,033,160 | 930,415 | ||
Loans Receivable Held-for-sale, Amount | 16,726 | |||
Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 396,489 | 154,807 | ||
Gross loans | 396,489 | 154,807 | ||
Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 465,065 | 279,634 | ||
Gross loans | [1] | 550,484 | 310,196 | |
Secured by farmland | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 13,405 | 541 | ||
Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 188,093 | 91,067 | ||
Gross loans | 188,093 | 91,067 | ||
Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 456,111 | 230,810 | ||
Gross loans | [2] | 609,053 | 260,013 | |
Multi- family residential | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 72,014 | 30,021 | ||
Home equity lines of credit | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 152,942 | 29,203 | ||
Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Gross loans | 249,343 | 115,365 | ||
Consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Gross loans | 41,405 | 856 | ||
Covered loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | [3] | 24,668 | 28,180 | |
Gross loans | [3] | 24,668 | 28,180 | |
Less deferred fees on loans | [3] | |||
Loans, net of deferred fees | 24,668 | 28,180 | ||
Loans Receivable Held-for-sale, Amount | ||||
Covered loans | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | [3] | |||
Gross loans | [1] | |||
Covered loans | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | [3] | |||
Gross loans | [1] | |||
Covered loans | Secured by farmland | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | [3] | |||
Covered loans | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | [3] | |||
Gross loans | ||||
Covered loans | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | [3] | 9,808 | 10,519 | |
Gross loans | [2] | 24,668 | 28,180 | |
Covered loans | Multi- family residential | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | [3] | |||
Covered loans | Home equity lines of credit | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | [3] | 14,860 | 17,661 | |
Covered loans | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Gross loans | [3] | |||
Covered loans | Consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Gross loans | [3] | |||
Non-covered Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 1,719,451 | 787,903 | ||
Gross loans | 2,010,199 | 904,124 | ||
Less deferred fees on loans | (1,707) | (1,889) | ||
Loans, net of deferred fees | 2,008,492 | 902,235 | ||
Loans Receivable Held-for-sale, Amount | 16,726 | |||
Non-covered Loans | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 396,489 | 154,807 | ||
Gross loans | 396,489 | 154,807 | ||
Non-covered Loans | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 465,065 | 279,634 | ||
Gross loans | [1] | 550,484 | 310,196 | |
Non-covered Loans | Secured by farmland | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 13,405 | 541 | ||
Non-covered Loans | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 188,093 | 91,067 | ||
Gross loans | 188,093 | 91,067 | ||
Non-covered Loans | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 446,303 | 220,291 | ||
Gross loans | [2] | 584,385 | 231,833 | |
Non-covered Loans | Multi- family residential | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 72,014 | 30,021 | ||
Non-covered Loans | Home equity lines of credit | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total real estate loans | 138,082 | 11,542 | ||
Non-covered Loans | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Gross loans | 249,343 | 115,365 | ||
Non-covered Loans | Consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Gross loans | $ 41,405 | $ 856 | ||
[1] | Includes loans secured by farmland and multi-family residential loans. | |||
[2] | Includes home equity lines of credit. | |||
[3] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering single family loans expires in December 2019. |
LOANS AND ALLOWANCE FOR LOAN 42
LOANS AND ALLOWANCE FOR LOAN LOSSES - Impaired loans (Details 1) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | |||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | $ 3,328 | $ 9,548 | |||
With no related allowance recorded - Unpaid Principal Balance | 4,105 | 10,308 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 1,596 | 4,066 | |||
With an allowance recorded - Unpaid Principal Balance | 1,843 | 6,486 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 350 | 900 | |||
Recorded Investment, Grand total | 4,924 | 13,614 | |||
Unpaid Principal Balance, Grand total | 5,948 | 16,794 | |||
Related Allowance, Grand total | 350 | 900 | |||
Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 5,583 | ||||
With no related allowance recorded - Unpaid Principal Balance | 5,592 | ||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 1,220 | 688 | |||
With an allowance recorded - Unpaid Principal Balance | 1,326 | 688 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 250 | 150 | |||
Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [1] | ||||
With no related allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [1] | ||||
With an allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [1] | ||||
Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 2,043 | 3,002 | |||
With no related allowance recorded - Unpaid Principal Balance | 2,610 | 3,603 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 3,378 | ||||
With an allowance recorded - Unpaid Principal Balance | 5,798 | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | 750 | ||||
Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [2] | 1,285 | 963 | ||
With no related allowance recorded - Unpaid Principal Balance | [2] | 1,495 | 1,113 | ||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [2] | 376 | |||
With an allowance recorded - Unpaid Principal Balance | [2] | 517 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | [2] | 100 | |||
Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Covered loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 1,285 | 963 | |||
With no related allowance recorded - Unpaid Principal Balance | 1,495 | 1,113 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Recorded Investment, Grand total | 1,285 | 963 | |||
Unpaid Principal Balance, Grand total | 1,495 | 1,113 | |||
Related Allowance, Grand total | |||||
Covered loans | Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Covered loans | Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [1] | ||||
With no related allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [1] | ||||
With an allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [1] | ||||
Covered loans | Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Covered loans | Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Covered loans | Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [2] | 1,285 | 963 | ||
With no related allowance recorded - Unpaid Principal Balance | [2] | 1,495 | 1,113 | ||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [2] | ||||
With an allowance recorded - Unpaid Principal Balance | [2] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [2] | ||||
Covered loans | Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | |||||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | |||||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Non-covered Loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 2,043 | [3] | 8,585 | [4] | |
With no related allowance recorded - Unpaid Principal Balance | 2,610 | 9,195 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 1,596 | [3] | 4,066 | [4] | |
With an allowance recorded - Unpaid Principal Balance | 1,843 | 6,486 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 350 | 900 | |||
Recorded Investment, Grand total | 3,639 | [3] | 12,651 | [4] | |
Unpaid Principal Balance, Grand total | 4,453 | 15,681 | |||
Related Allowance, Grand total | 350 | 900 | |||
Non-covered Loans | Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [3] | 5,583 | [4] | ||
With no related allowance recorded - Unpaid Principal Balance | 5,592 | ||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | 1,220 | [3] | 688 | [4] | |
With an allowance recorded - Unpaid Principal Balance | 1,326 | 688 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | 250 | 150 | |||
Non-covered Loans | Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [1] | [3] | [4] | ||
With no related allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [1] | [3] | [4] | ||
With an allowance recorded - Unpaid Principal Balance | [1] | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | [1] | ||||
Non-covered Loans | Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [3] | [4] | |||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [3] | [4] | |||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
Non-covered Loans | Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | 2,043 | [3] | 3,002 | [4] | |
With no related allowance recorded - Unpaid Principal Balance | 2,610 | 3,603 | |||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [3] | 3,378 | [4] | ||
With an allowance recorded - Unpaid Principal Balance | 5,798 | ||||
With an allowance recorded - Allowance for Loan Losses Allocated | 750 | ||||
Non-covered Loans | Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [2] | [3] | [4] | ||
With no related allowance recorded - Unpaid Principal Balance | [2] | ||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [2] | 376 | [3] | [4] | |
With an allowance recorded - Unpaid Principal Balance | [2] | 517 | |||
With an allowance recorded - Allowance for Loan Losses Allocated | [2] | 100 | |||
Non-covered Loans | Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded - Recorded Investment | [3] | [4] | |||
With no related allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded | |||||
With an allowance recorded - Recorded Investment | [3] | [4] | |||
With an allowance recorded - Unpaid Principal Balance | |||||
With an allowance recorded - Allowance for Loan Losses Allocated | |||||
[1] | Includes loans secured by farmland and multi-family residential loans. | ||||
[2] | Includes home equity lines of credit. | ||||
[3] | Recorded investment is after cumulative prior charge offs of $814 thousand. These loans also have aggregate SBA guarantees of $2.0 million. | ||||
[4] | Recorded investment is after cumulative prior charge offs of $3.0 million. These loans also have aggregate SBA guarantees of $2.2 million. |
LOANS AND ALLOWANCE FOR LOAN 43
LOANS AND ALLOWANCE FOR LOAN LOSSES - Average recorded investment and interest income for impaired loans (Details 2) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | ||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | $ 3,339 | $ 11,037 | $ 3,373 | $ 10,272 | |
With no related allowance recorded, Interest Income Recognized | 9 | 99 | 17 | 196 | |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 1,701 | 4,189 | 1,633 | 3,639 | |
With an allowance recorded, Interest Income Recognized | 8 | 47 | 16 | 94 | |
Average Recorded Investment, Grand total | 5,040 | 15,226 | 5,006 | 13,911 | |
Interest Income Recognized, Grand total | 17 | 146 | 33 | 290 | |
Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 6,826 | 6,166 | |||
With no related allowance recorded, Interest Income Recognized | 73 | 146 | |||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 1,271 | 695 | 1,297 | 697 | |
With an allowance recorded, Interest Income Recognized | 8 | 8 | 16 | 16 | |
Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [1] | 133 | 135 | ||
With no related allowance recorded, Interest Income Recognized | [1] | 3 | 5 | ||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [1] | ||||
With an allowance recorded, Interest Income Recognized | [1] | ||||
Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 2,052 | 3,031 | 2,085 | 2,959 | |
With no related allowance recorded, Interest Income Recognized | 14 | 28 | |||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 3,494 | 2,942 | |||
With an allowance recorded, Interest Income Recognized | 39 | 78 | |||
Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [2] | 1,287 | 1,047 | 1,288 | 1,012 |
With no related allowance recorded, Interest Income Recognized | [2] | 9 | 9 | 17 | 17 |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [2] | 430 | 336 | ||
With an allowance recorded, Interest Income Recognized | [2] | ||||
Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Covered loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 1,287 | 1,047 | 1,288 | 1,012 | |
With no related allowance recorded, Interest Income Recognized | 9 | 9 | 17 | 17 | |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Average Recorded Investment, Grand total | 1,287 | 1,047 | 1,288 | 1,012 | |
Interest Income Recognized, Grand total | 9 | 9 | 17 | 17 | |
Covered loans | Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Covered loans | Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [1] | ||||
With no related allowance recorded, Interest Income Recognized | [1] | ||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [1] | ||||
With an allowance recorded, Interest Income Recognized | [1] | ||||
Covered loans | Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Covered loans | Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Covered loans | Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [2] | 1,287 | 1,047 | 1,288 | 1,012 |
With no related allowance recorded, Interest Income Recognized | [2] | 9 | 9 | 17 | 17 |
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [2] | ||||
With an allowance recorded, Interest Income Recognized | [2] | ||||
Covered loans | Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Non-covered Loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 2,052 | 9,990 | 2,085 | 9,260 | |
With no related allowance recorded, Interest Income Recognized | 90 | 179 | |||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 1,701 | 4,189 | 1,633 | 3,639 | |
With an allowance recorded, Interest Income Recognized | 8 | 47 | 16 | 94 | |
Average Recorded Investment, Grand total | 3,753 | 14,179 | 3,718 | 12,899 | |
Interest Income Recognized, Grand total | 8 | 137 | 16 | 273 | |
Non-covered Loans | Commercial real estate - owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 6,826 | 6,166 | |||
With no related allowance recorded, Interest Income Recognized | 73 | 146 | |||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 1,271 | 695 | 1,297 | 697 | |
With an allowance recorded, Interest Income Recognized | 8 | 8 | 16 | 16 | |
Non-covered Loans | Commercial real estate - non-owner occupied | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [1] | 133 | 135 | ||
With no related allowance recorded, Interest Income Recognized | [1] | 3 | 5 | ||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [1] | ||||
With an allowance recorded, Interest Income Recognized | [1] | ||||
Non-covered Loans | Construction and land development | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
Non-covered Loans | Commercial loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | 2,052 | 3,031 | 2,085 | 2,959 | |
With no related allowance recorded, Interest Income Recognized | 14 | 28 | |||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | 3,494 | 2,942 | |||
With an allowance recorded, Interest Income Recognized | 39 | 78 | |||
Non-covered Loans | Residential 1-4 family | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | [2] | ||||
With no related allowance recorded, Interest Income Recognized | [2] | ||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | [2] | 430 | 336 | ||
With an allowance recorded, Interest Income Recognized | [2] | ||||
Non-covered Loans | Other consumer loans | |||||
With no related allowance recorded | |||||
With no related allowance recorded, Average Recorded Investment | |||||
With no related allowance recorded, Interest Income Recognized | |||||
With an allowance recorded | |||||
With an allowance recorded, Average Recorded Investment | |||||
With an allowance recorded, Interest Income Recognized | |||||
[1] | Includes loans secured by farmland and multi-family residential loans. | ||||
[2] | Includes home equity lines of credit. |
LOANS AND ALLOWANCE FOR LOAN 44
LOANS AND ALLOWANCE FOR LOAN LOSSES - Aging of recorded investment (Details 3) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | ||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | $ 14,535 | $ 2,676 | ||
Recorded investment, Nonaccrual Loans | 3,957 | 4,645 | ||
Recorded Investment, Loans Not Past Due | 2,016,375 | 924,983 | ||
Total Loans | 2,034,867 | 932,304 | ||
30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 3,697 | |||
60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 10,838 | |||
90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 1,033 | |||
Recorded investment, Nonaccrual Loans | 633 | 637 | ||
Recorded Investment, Loans Not Past Due | 394,823 | 154,170 | ||
Total Loans | 396,489 | 154,807 | ||
Commercial real estate - owner occupied | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 1,033 | |||
Commercial real estate - owner occupied | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Commercial real estate - owner occupied | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Recorded investment, Nonaccrual Loans | [1] | |||
Recorded Investment, Loans Not Past Due | [1] | 550,484 | 310,196 | |
Total Loans | [1] | 550,484 | 310,196 | |
Commercial real estate - non-owner occupied | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Commercial real estate - non-owner occupied | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Commercial real estate - non-owner occupied | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 18 | |||
Recorded investment, Nonaccrual Loans | ||||
Recorded Investment, Loans Not Past Due | 188,075 | 91,067 | ||
Total Loans | 188,093 | 91,067 | ||
Construction and land development | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 18 | |||
Construction and land development | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Construction and land development | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 10,780 | 1,349 | ||
Recorded investment, Nonaccrual Loans | 2,043 | 3,158 | ||
Recorded Investment, Loans Not Past Due | 236,520 | 110,858 | ||
Total Loans | 249,343 | 115,365 | ||
Commercial loans | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 796 | 1,349 | ||
Commercial loans | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 9,984 | |||
Commercial loans | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | 2,688 | 1,327 | |
Recorded investment, Nonaccrual Loans | [2] | 1,281 | 850 | |
Recorded Investment, Loans Not Past Due | [2] | 605,084 | 257,836 | |
Total Loans | [2] | 609,053 | 260,013 | |
Residential 1-4 family | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | 1,834 | 1,232 | |
Residential 1-4 family | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | 854 | 95 | |
Residential 1-4 family | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | |||
Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 16 | |||
Recorded investment, Nonaccrual Loans | ||||
Recorded Investment, Loans Not Past Due | 41,389 | 856 | ||
Total Loans | 41,405 | 856 | ||
Other consumer loans | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 16 | |||
Other consumer loans | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Other consumer loans | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 355 | 316 | ||
Recorded investment, Nonaccrual Loans | 850 | 850 | ||
Recorded Investment, Loans Not Past Due | 23,463 | 27,014 | ||
Total Loans | [3] | 24,668 | 28,180 | |
Covered loans | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 268 | 221 | ||
Covered loans | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 87 | 95 | ||
Covered loans | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Recorded investment, Nonaccrual Loans | ||||
Recorded Investment, Loans Not Past Due | ||||
Total Loans | [1] | |||
Covered loans | Commercial real estate - owner occupied | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Commercial real estate - owner occupied | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Commercial real estate - owner occupied | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Recorded investment, Nonaccrual Loans | [1] | |||
Recorded Investment, Loans Not Past Due | [1] | |||
Total Loans | [1] | |||
Covered loans | Commercial real estate - non-owner occupied | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Covered loans | Commercial real estate - non-owner occupied | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Covered loans | Commercial real estate - non-owner occupied | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Covered loans | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Recorded investment, Nonaccrual Loans | ||||
Recorded Investment, Loans Not Past Due | ||||
Total Loans | ||||
Covered loans | Construction and land development | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Construction and land development | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Construction and land development | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Recorded investment, Nonaccrual Loans | ||||
Recorded Investment, Loans Not Past Due | ||||
Total Loans | [3] | |||
Covered loans | Commercial loans | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Commercial loans | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Commercial loans | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | 355 | 316 | |
Recorded investment, Nonaccrual Loans | [2] | 850 | 850 | |
Recorded Investment, Loans Not Past Due | [2] | 23,463 | 27,014 | |
Total Loans | [2] | 24,668 | 28,180 | |
Covered loans | Residential 1-4 family | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | 268 | 221 | |
Covered loans | Residential 1-4 family | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | 87 | 95 | |
Covered loans | Residential 1-4 family | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | |||
Covered loans | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Recorded investment, Nonaccrual Loans | ||||
Recorded Investment, Loans Not Past Due | ||||
Total Loans | [3] | |||
Covered loans | Other consumer loans | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Other consumer loans | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Covered loans | Other consumer loans | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Non-covered Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 14,180 | 2,360 | ||
Recorded investment, Nonaccrual Loans | 3,107 | 3,795 | ||
Recorded Investment, Loans Not Past Due | 1,992,912 | 897,969 | ||
Total Loans | 2,010,199 | 904,124 | ||
Non-covered Loans | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 3,429 | 2,360 | ||
Non-covered Loans | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 10,751 | |||
Non-covered Loans | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Non-covered Loans | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 1,033 | |||
Recorded investment, Nonaccrual Loans | 633 | 637 | ||
Recorded Investment, Loans Not Past Due | 394,823 | 154,170 | ||
Total Loans | 396,489 | 154,807 | ||
Non-covered Loans | Commercial real estate - owner occupied | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 1,033 | |||
Non-covered Loans | Commercial real estate - owner occupied | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Non-covered Loans | Commercial real estate - owner occupied | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Non-covered Loans | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Recorded investment, Nonaccrual Loans | [1] | |||
Recorded Investment, Loans Not Past Due | [1] | 550,484 | 310,196 | |
Total Loans | [1] | 550,484 | 310,196 | |
Non-covered Loans | Commercial real estate - non-owner occupied | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Non-covered Loans | Commercial real estate - non-owner occupied | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Non-covered Loans | Commercial real estate - non-owner occupied | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [1] | |||
Non-covered Loans | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 18 | |||
Recorded investment, Nonaccrual Loans | ||||
Recorded Investment, Loans Not Past Due | 188,075 | 91,067 | ||
Total Loans | 188,093 | 91,067 | ||
Non-covered Loans | Construction and land development | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 18 | |||
Non-covered Loans | Construction and land development | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Non-covered Loans | Construction and land development | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Non-covered Loans | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 10,780 | 1,349 | ||
Recorded investment, Nonaccrual Loans | 2,043 | 3,158 | ||
Recorded Investment, Loans Not Past Due | 236,520 | 110,858 | ||
Total Loans | 249,343 | 115,365 | ||
Non-covered Loans | Commercial loans | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 796 | 1,349 | ||
Non-covered Loans | Commercial loans | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 9,984 | |||
Non-covered Loans | Commercial loans | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Non-covered Loans | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | 2,333 | 1,011 | |
Recorded investment, Nonaccrual Loans | [2] | 431 | ||
Recorded Investment, Loans Not Past Due | [2] | 581,621 | 230,822 | |
Total Loans | [2] | 584,385 | 231,833 | |
Non-covered Loans | Residential 1-4 family | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | 1,566 | 1,011 | |
Non-covered Loans | Residential 1-4 family | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | 767 | ||
Non-covered Loans | Residential 1-4 family | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | [2] | |||
Non-covered Loans | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 16 | |||
Recorded investment, Nonaccrual Loans | ||||
Recorded Investment, Loans Not Past Due | 41,389 | 856 | ||
Total Loans | 41,405 | 856 | ||
Non-covered Loans | Other consumer loans | 30 - 59 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | 16 | |||
Non-covered Loans | Other consumer loans | 60 - 89 Days Past Due | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
Non-covered Loans | Other consumer loans | 90 Days or More | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Recorded Investment, Total Past Due | ||||
[1] | Includes loans secured by farmland and multi-family residential loans. | |||
[2] | Includes home equity lines of credit. | |||
[3] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering single family loans expires in December 2019. |
LOANS AND ALLOWANCE FOR LOAN 45
LOANS AND ALLOWANCE FOR LOAN LOSSES - Allowance for loan and lease losses (Details 4) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | ||
Allowance for loan losses: | |||||
Beginning balance | $ 8,610 | ||||
Provision | $ 1,050 | $ 1,387 | 1,600 | $ 2,012 | |
Ending balance | 9,197 | 9,197 | |||
Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 8,678 | 8,690 | 8,610 | 8,421 | |
Charge offs | (879) | (1,696) | (1,391) | (2,064) | |
Recoveries | 348 | 40 | 378 | 52 | |
Provision | 1,050 | 1,387 | 1,600 | 2,012 | |
Ending balance | 9,197 | 8,421 | 9,197 | 8,421 | |
Commercial real estate - owner occupied | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 1,188 | 1,251 | 905 | 1,185 | |
Charge offs | |||||
Recoveries | 11 | 21 | |||
Provision | 261 | 530 | 12 | 464 | |
Ending balance | 938 | 721 | 938 | 721 | |
Commercial Real Estate Non-owner Occupied | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | [1] | 1,546 | 1,553 | 1,484 | 1,222 |
Charge offs | [1] | (100) | (100) | ||
Recoveries | [1] | 299 | 299 | ||
Provision | [1] | 45 | 150 | 107 | 181 |
Ending balance | [1] | 1,790 | 1,403 | 1,790 | 1,403 |
Construction and Land Loans | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 801 | 716 | 752 | 865 | |
Charge offs | (449) | (449) | |||
Recoveries | |||||
Provision | 295 | 588 | 344 | 439 | |
Ending balance | 1,096 | 855 | 1,096 | 855 | |
Commercial loans | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 3,007 | 2,892 | 3,366 | 3,041 | |
Charge offs | (467) | (1,156) | (967) | (1,271) | |
Recoveries | 36 | 37 | 51 | 46 | |
Provision | 115 | 1,572 | 241 | 1,529 | |
Ending balance | 2,691 | 3,345 | 2,691 | 3,345 | |
1-4 Family Residential | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | [2] | 1,254 | 1,556 | 1,279 | 1,408 |
Charge offs | [2] | (307) | (22) | (319) | (22) |
Recoveries | [2] | 2 | 2 | 5 | 4 |
Provision | [2] | 474 | 274 | 458 | (128) |
Ending balance | [2] | 1,423 | 1,262 | 1,423 | 1,262 |
Other consumer loans | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 74 | 82 | 78 | 48 | |
Charge offs | (5) | (69) | (5) | (322) | |
Recoveries | 1 | 2 | 2 | ||
Provision | 15 | 108 | 9 | 394 | |
Ending balance | 84 | 122 | 84 | 122 | |
Unallocated | Non-covered Loans | |||||
Allowance for loan losses: | |||||
Beginning balance | 808 | 640 | 746 | 652 | |
Charge offs | |||||
Recoveries | |||||
Provision | 367 | 73 | 429 | 61 | |
Ending balance | $ 1,175 | $ 713 | $ 1,175 | $ 713 | |
[1] | Includes loans secured by farmland and multi-family residential loans. | ||||
[2] | Includes home equity lines of credit. |
LOANS AND ALLOWANCE FOR LOAN 46
LOANS AND ALLOWANCE FOR LOAN LOSSES -Allowance for loan losses and recorded investment in non covered loans by portfolio segment (Details 5) - USD ($) $ in Thousands | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | ||
Ending allowance balance attributable to loans: | ||||||||
Total ending allowance | $ 9,197 | $ 8,610 | ||||||
Loans: | ||||||||
Total ending loan balances | 2,034,867 | 932,304 | ||||||
Commercial real estate - owner occupied | ||||||||
Loans: | ||||||||
Total ending loan balances | 396,489 | 154,807 | ||||||
Commercial real estate - non-owner occupied | ||||||||
Loans: | ||||||||
Total ending loan balances | [1] | 550,484 | 310,196 | |||||
Construction and land development | ||||||||
Loans: | ||||||||
Total ending loan balances | 188,093 | 91,067 | ||||||
Commercial loans | ||||||||
Loans: | ||||||||
Total ending loan balances | 249,343 | 115,365 | ||||||
1-4 Family Residential | ||||||||
Loans: | ||||||||
Total ending loan balances | [2] | 609,053 | 260,013 | |||||
Other consumer loans | ||||||||
Loans: | ||||||||
Total ending loan balances | 41,405 | 856 | ||||||
Non-covered Loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | 350 | 900 | ||||||
Collectively evaluated for impairment | 8,847 | 7,710 | ||||||
Total ending allowance | 9,197 | $ 8,678 | 8,610 | $ 8,421 | $ 8,690 | $ 8,421 | ||
Loans: | ||||||||
Individually evaluated for impairment | 3,639 | 12,651 | ||||||
Collectively evaluated for impairment | 2,006,560 | 891,473 | ||||||
Total ending loan balances | 2,010,199 | 904,124 | ||||||
Non-covered Loans | Commercial real estate - owner occupied | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | 250 | 150 | ||||||
Collectively evaluated for impairment | 688 | 755 | ||||||
Total ending allowance | 938 | 1,188 | 905 | 721 | 1,251 | 1,185 | ||
Loans: | ||||||||
Individually evaluated for impairment | 1,220 | 6,271 | ||||||
Collectively evaluated for impairment | 395,269 | 148,536 | ||||||
Total ending loan balances | 396,489 | 154,807 | ||||||
Non-covered Loans | Commercial real estate - non-owner occupied | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | [1] | |||||||
Collectively evaluated for impairment | [1] | 1,790 | 1,484 | |||||
Total ending allowance | [1] | 1,790 | 1,546 | 1,484 | 1,403 | 1,553 | 1,222 | |
Loans: | ||||||||
Individually evaluated for impairment | [1] | |||||||
Collectively evaluated for impairment | [1] | 550,484 | 310,196 | |||||
Total ending loan balances | [1] | 550,484 | 310,196 | |||||
Non-covered Loans | Construction and land development | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 1,096 | 752 | ||||||
Total ending allowance | 1,096 | 801 | 752 | 855 | 716 | 865 | ||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 188,093 | 91,067 | ||||||
Total ending loan balances | 188,093 | 91,067 | ||||||
Non-covered Loans | Commercial loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | 750 | |||||||
Collectively evaluated for impairment | 2,691 | 2,616 | ||||||
Total ending allowance | 2,691 | 3,007 | 3,366 | 3,345 | 2,892 | 3,041 | ||
Loans: | ||||||||
Individually evaluated for impairment | 2,043 | 6,380 | ||||||
Collectively evaluated for impairment | 247,300 | 108,985 | ||||||
Total ending loan balances | 249,343 | 115,365 | ||||||
Non-covered Loans | 1-4 Family Residential | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | [2] | 100 | ||||||
Collectively evaluated for impairment | [2] | 1,323 | 1,279 | |||||
Total ending allowance | [2] | 1,423 | 1,254 | 1,279 | 1,262 | 1,556 | 1,408 | |
Loans: | ||||||||
Individually evaluated for impairment | [2] | 376 | ||||||
Collectively evaluated for impairment | [2] | 584,009 | 231,833 | |||||
Total ending loan balances | [2] | 584,385 | 231,833 | |||||
Non-covered Loans | Other consumer loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 84 | 78 | ||||||
Total ending allowance | 84 | 74 | 78 | 122 | 82 | 48 | ||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 41,405 | 856 | ||||||
Total ending loan balances | 41,405 | 856 | ||||||
Non-covered Loans | Unallocated | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | 1,175 | 746 | ||||||
Total ending allowance | 1,175 | $ 808 | 746 | $ 713 | $ 640 | $ 652 | ||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending loan balances | ||||||||
Covered loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending allowance | ||||||||
Loans: | ||||||||
Individually evaluated for impairment | 1,285 | 963 | ||||||
Collectively evaluated for impairment | 23,383 | 27,217 | ||||||
Total ending loan balances | [3] | 24,668 | 28,180 | |||||
Covered loans | Commercial real estate - owner occupied | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | [1] | |||||||
Collectively evaluated for impairment | [1] | |||||||
Total ending allowance | [1] | |||||||
Loans: | ||||||||
Individually evaluated for impairment | [1] | |||||||
Collectively evaluated for impairment | [1] | |||||||
Total ending loan balances | [1] | |||||||
Covered loans | Commercial real estate - non-owner occupied | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | [1] | |||||||
Collectively evaluated for impairment | [1] | |||||||
Total ending allowance | [1] | |||||||
Loans: | ||||||||
Individually evaluated for impairment | [1] | |||||||
Collectively evaluated for impairment | [1] | |||||||
Total ending loan balances | [1] | |||||||
Covered loans | Construction and land development | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending allowance | ||||||||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending loan balances | ||||||||
Covered loans | Commercial loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending allowance | ||||||||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending loan balances | [3] | |||||||
Covered loans | 1-4 Family Residential | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | [2] | |||||||
Collectively evaluated for impairment | [2] | |||||||
Total ending allowance | [2] | |||||||
Loans: | ||||||||
Individually evaluated for impairment | [2] | 1,285 | 963 | |||||
Collectively evaluated for impairment | [2] | 23,383 | 27,217 | |||||
Total ending loan balances | [2] | 24,668 | 28,180 | |||||
Covered loans | Other consumer loans | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending allowance | ||||||||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending loan balances | [3] | |||||||
Covered loans | Unallocated | ||||||||
Ending allowance balance attributable to loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending allowance | ||||||||
Loans: | ||||||||
Individually evaluated for impairment | ||||||||
Collectively evaluated for impairment | ||||||||
Total ending loan balances | ||||||||
[1] | Includes loans secured by farmland and multi-family residential loans. | |||||||
[2] | Includes home equity lines of credit. | |||||||
[3] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering single family loans expires in December 2019. |
LOANS AND ALLOWANCE FOR LOAN 47
LOANS AND ALLOWANCE FOR LOAN LOSSES - Risk category of loans by class of loans (Details 6) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | ||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | $ 2,034,867 | $ 932,304 | ||
Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 396,489 | 154,807 | ||
Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | 550,484 | 310,196 | |
Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 188,093 | 91,067 | ||
Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 249,343 | 115,365 | ||
Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [2] | 609,053 | 260,013 | |
Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 41,405 | 856 | ||
Classified/Criticized | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 23,063 | 13,642 | ||
Classified/Criticized | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 6,105 | 6,271 | ||
Classified/Criticized | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | |||
Classified/Criticized | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 9,984 | |||
Classified/Criticized | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 5,313 | 6,408 | ||
Classified/Criticized | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [2] | 1,661 | 963 | |
Classified/Criticized | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | ||||
Pass | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 2,011,804 | 918,662 | ||
Pass | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 390,384 | 148,536 | ||
Pass | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | 550,484 | 310,196 | |
Pass | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 178,109 | 91,067 | ||
Pass | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 244,030 | 108,957 | ||
Pass | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [2] | 607,392 | 259,050 | |
Pass | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 41,405 | 856 | ||
Covered loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [3] | 24,668 | 28,180 | |
Covered loans | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | |||
Covered loans | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | |||
Covered loans | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | ||||
Covered loans | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [3] | |||
Covered loans | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [2] | 24,668 | 28,180 | |
Covered loans | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [3] | |||
Covered loans | Classified/Criticized | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [4] | 1,285 | 963 | |
Covered loans | Classified/Criticized | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [4] | |||
Covered loans | Classified/Criticized | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1],[4] | |||
Covered loans | Classified/Criticized | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [4] | |||
Covered loans | Classified/Criticized | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [4] | |||
Covered loans | Classified/Criticized | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [2],[4] | 1,285 | 963 | |
Covered loans | Classified/Criticized | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [4] | |||
Covered loans | Pass | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 23,383 | 27,217 | ||
Covered loans | Pass | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | ||||
Covered loans | Pass | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | |||
Covered loans | Pass | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | ||||
Covered loans | Pass | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | ||||
Covered loans | Pass | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [2] | 23,383 | 27,217 | |
Covered loans | Pass | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | ||||
Non-covered Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 2,010,199 | 904,124 | ||
Non-covered Loans | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 396,489 | 154,807 | ||
Non-covered Loans | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | 550,484 | 310,196 | |
Non-covered Loans | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 188,093 | 91,067 | ||
Non-covered Loans | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 249,343 | 115,365 | ||
Non-covered Loans | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [2] | 584,385 | 231,833 | |
Non-covered Loans | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 41,405 | 856 | ||
Non-covered Loans | Special Mention | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 18,139 | 28 | ||
Non-covered Loans | Special Mention | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 4,885 | |||
Non-covered Loans | Special Mention | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | |||
Non-covered Loans | Special Mention | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 9,984 | |||
Non-covered Loans | Special Mention | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 3,270 | 28 | ||
Non-covered Loans | Special Mention | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [2] | |||
Non-covered Loans | Special Mention | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | ||||
Non-covered Loans | Substandard | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [5] | 3,639 | 12,651 | |
Non-covered Loans | Substandard | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [5] | 1,220 | 6,271 | |
Non-covered Loans | Substandard | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1],[5] | |||
Non-covered Loans | Substandard | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [5] | |||
Non-covered Loans | Substandard | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [5] | 2,043 | 6,380 | |
Non-covered Loans | Substandard | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [5] | 376 | [2] | |
Non-covered Loans | Substandard | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [5] | |||
Non-covered Loans | Pass | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 1,988,421 | 891,445 | ||
Non-covered Loans | Pass | Commercial real estate - owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 390,384 | 148,536 | ||
Non-covered Loans | Pass | Commercial real estate - non-owner occupied | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | 550,484 | 310,196 | |
Non-covered Loans | Pass | Construction and land development | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 178,109 | 91,067 | ||
Non-covered Loans | Pass | Commercial loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 244,030 | 108,957 | ||
Non-covered Loans | Pass | Residential 1-4 family | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [2] | 584,009 | 231,833 | |
Non-covered Loans | Pass | Other consumer loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | $ 41,405 | $ 856 | ||
[1] | Includes loans secured by farmland and multi-family residential loans. | |||
[2] | Includes home equity lines of credit. | |||
[3] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering single family loans expires in December 2019. | |||
[4] | Credit quality is enhanced by a loss sharing agreement with the FDIC in the covered portfolio. The same credit quality indicators used in the non-covered portfolio are combined. | |||
[5] | Includes SBA guarantees of $2.0 million and $2.2 million as of June 30, 2017 and December 31, 2016. |
LOANS AND ALLOWANCE FOR LOAN 48
LOANS AND ALLOWANCE FOR LOAN LOSSES (Detail Textuals) $ in Thousands | 6 Months Ended | |||
Jun. 30, 2017USD ($)Agreement | Jun. 23, 2017USD ($) | Dec. 31, 2016USD ($) | ||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | $ 2,034,867 | $ 932,304 | ||
Greater Atlantic Bank | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Accretable discount on the acquired covered loans | 21,100 | 6,500 | ||
HarVest Bank of Maryland | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Accretable discount on the acquired covered loans | 21,100 | 6,500 | ||
PGFSB | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Accretable discount on the acquired covered loans | 21,100 | 6,500 | ||
EVBS | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Accretable discount on the acquired covered loans | 21,100 | $ 91 | 6,500 | |
Covered loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | [1] | 24,668 | 28,180 | |
Non-covered Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 2,010,199 | 904,124 | ||
Charge off on recorded investment | 814 | 3,000 | ||
SBA guarantees | $ 2,000 | $ 2,200 | ||
FDIC | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of agreements | Agreement | 2 | |||
FDIC | Covered loans | Greater Atlantic Bank | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loss sharing agreement | $ 143,400 | |||
FDIC | Non-covered Loans | HarVest Bank of Maryland | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | 22,100 | |||
FDIC | Non-covered Loans | PGFSB | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Total loans | $ 38,800 | |||
FDIC | Single family loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Term loan agreement expiring | 10 years | |||
FDIC | Non-Single Family (Commercial) | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Term loan agreement expiring | 5 years | |||
[1] | Covered Loans were acquired in the Greater Atlantic transaction and are covered under an FDIC loss-share agreement. The agreement covering single family loans expires in December 2019. |
LOANS AND ALLOWANCE FOR LOAN 49
LOANS AND ALLOWANCE FOR LOAN LOSSESS (Detail Textuals 1) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | Jun. 23, 2017 | |
Accounts Notes And Loans Receivable [Line Items] | ||||
Post-modification troubled debt restructurings | $ 680 | $ 695 | ||
Foreclosure expense of real estate property | 4,000 | $ 3,400 | ||
In process recorded investment in consumer mortgage | 1,600 | 1,800 | ||
Unpaid principal balance of loans | 4,105 | 10,308 | ||
EVBS | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Loans held for sale | $ 16,726 | |||
Unpaid principal balance of loans | 1,060,000 | |||
Amount of loans | 1,039,687 | |||
Amount of discount | 15,400 | |||
Accretable discount on the acquired covered loans | 21,100 | 6,500 | $ 91 | |
Non-covered Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
SBA guarantees | 2,000 | 2,200 | ||
Unpaid principal balance of loans | $ 2,610 | $ 9,195 |
FINANCIAL INSTRUMENTS WITH OF50
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK (Detail Textuals) - USD ($) $ in Millions | Jun. 30, 2017 | Dec. 31, 2016 |
Letter of Credit | ||
Line of Credit Facility [Line Items] | ||
Letters of credit outstanding | $ 14.9 | $ 6.4 |
FINANCIAL INSTRUMENTS WITH OF51
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK (Detail Textuals 1) - USD ($) $ in Millions | Jun. 30, 2017 | Dec. 31, 2016 |
Unfunded Lines Of Credit and Undisbursed Construction Loan Funds | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Unfunded lines of credit and undisbursed construction loan funds | $ 375.5 | $ 135.8 |
EARNINGS (LOSS) PER SHARE - Rec
EARNINGS (LOSS) PER SHARE - Reconciliation of the denominators of the basic and diluted EPS computations (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Earnings Per Share [Abstract] | ||||
Basic EPS - Income (Loss) (Numerator) (in dollars) | $ (2,842) | $ 2,789 | $ (788) | $ 5,355 |
Effect of dilutive stock options and warrants - Income (Loss) (Numerator) (in dollars) | ||||
Diluted EPS - Income (Loss) (Numerator) (in dollars) | $ (2,842) | $ 2,789 | $ (788) | $ 5,355 |
Basic EPS - Weighted Average Shares (Denominator) (in shares) | 13,231 | 12,249 | 12,772 | 12,243 |
Effect of dilutive stock options and warrants - Weighted Average Shares (Denominator) (in shares) | 146 | 151 | ||
Diluted EPS - Weighted Average Shares (Denominator) (in shares) | 13,231 | 12,395 | 12,772 | 12,394 |
Basic EPS - Per Share Amount (in dollars per share) | $ (0.21) | $ 0.23 | $ (0.06) | $ 0.44 |
Effect of dilutive stock options and warrants - Per Share Amount (in dollars per share) | ||||
Diluted EPS - Per Share Amount (in dollars per share) | $ (0.21) | $ 0.23 | $ (0.06) | $ 0.43 |
EARNINGS (LOSS) PER SHARE (Deta
EARNINGS (LOSS) PER SHARE (Detail Textuals) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Stock Options and Warrants | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Anti-dilutive options and warrants (in shares) | 466,655 | 585,605 | 172,819 | 580,935 |
FAIR VALUE - Assets measured at
FAIR VALUE - Assets measured at fair value on recurring basis (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Available-For-Sale Securities [Abstract] | ||
Fair value | $ 166,976 | $ 3,918 |
Corporate securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 2,015 | |
Agency commercial mortgage-backed securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 28,118 | |
SBA pool securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 26,905 | |
Total | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 166,976 | 3,918 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Trust preferred securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency residential mortgage-backed securities (fixed and variable rate) | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Obligations of states and political subdivisions | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency CMO securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Agency commercial mortgage-backed securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | SBA pool securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 166,976 | 3,918 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Trust preferred securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 2,276 | 1,659 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Agency residential mortgage-backed securities (fixed and variable rate) | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 33,299 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Obligations of states and political subdivisions | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 18,612 | 2,259 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Corporate securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 2,015 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Agency CMO securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 55,751 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Agency commercial mortgage-backed securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 28,118 | |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | SBA pool securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 26,905 | |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Trust preferred securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Agency residential mortgage-backed securities (fixed and variable rate) | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Obligations of states and political subdivisions | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Corporate securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Agency CMO securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Agency commercial mortgage-backed securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | SBA pool securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | ||
Fair Value, Measurements, Recurring | Total | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 166,976 | 3,918 |
Fair Value, Measurements, Recurring | Total | Trust preferred securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 2,276 | 1,659 |
Fair Value, Measurements, Recurring | Total | Agency residential mortgage-backed securities (fixed and variable rate) | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 33,299 | |
Fair Value, Measurements, Recurring | Total | Obligations of states and political subdivisions | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 18,612 | $ 2,259 |
Fair Value, Measurements, Recurring | Total | Corporate securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 2,015 | |
Fair Value, Measurements, Recurring | Total | Agency CMO securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 55,751 | |
Fair Value, Measurements, Recurring | Total | Agency commercial mortgage-backed securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | 28,118 | |
Fair Value, Measurements, Recurring | Total | SBA pool securities | ||
Available-For-Sale Securities [Abstract] | ||
Fair value | $ 26,905 |
FAIR VALUE - Assets measured 55
FAIR VALUE - Assets measured at fair value on non-recurring basis (Details 1) - Fair Value, Measurements, Nonrecurring - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Impaired covered loans: | |||
Loans held for sale | |||
Assets held for sale | |||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial real estate - owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial real estate - non-owner occupied | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | [1] | ||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Construction and land development | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial loans | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Quoted Prices in Active Markets for Identical Assets (Level 1) | Residential 1-4 family | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Impaired covered loans: | |||
Impaired covered loans | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Significant Other Observable Inputs (Level 2) | |||
Impaired covered loans: | |||
Loans held for sale | |||
Assets held for sale | |||
Significant Other Observable Inputs (Level 2) | Commercial real estate - owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Significant Other Observable Inputs (Level 2) | Commercial real estate - non-owner occupied | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | [1] | ||
Significant Other Observable Inputs (Level 2) | Construction and land development | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Significant Other Observable Inputs (Level 2) | Commercial loans | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Significant Other Observable Inputs (Level 2) | Residential 1-4 family | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | |||
Impaired covered loans: | |||
Impaired covered loans | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | |||
Significant Unobservable Inputs (Level 3) | |||
Impaired covered loans: | |||
Loans held for sale | 16,726 | ||
Assets held for sale | 1,685 | ||
Significant Unobservable Inputs (Level 3) | Commercial real estate - owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | 970 | 6,121 | |
Non covered other real estate owned: | |||
Non-covered other real estate owned | 1,060 | 1,110 | |
Significant Unobservable Inputs (Level 3) | Commercial real estate - non-owner occupied | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | [1] | 237 | |
Significant Unobservable Inputs (Level 3) | Construction and land development | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | 3,448 | 3,863 | |
Significant Unobservable Inputs (Level 3) | Commercial loans | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | 2,043 | 5,630 | |
Significant Unobservable Inputs (Level 3) | Residential 1-4 family | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | 276 | ||
Impaired covered loans: | |||
Impaired covered loans | 1,285 | 963 | |
Non covered other real estate owned: | |||
Non-covered other real estate owned | 3,970 | 3,407 | |
Total | |||
Impaired covered loans: | |||
Loans held for sale | 16,726 | ||
Assets held for sale | 1,685 | ||
Total | Commercial real estate - owner occupied | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | 970 | 6,121 | |
Non covered other real estate owned: | |||
Non-covered other real estate owned | 1,060 | 1,110 | |
Total | Commercial real estate - non-owner occupied | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | [1] | 237 | |
Total | Construction and land development | |||
Non covered other real estate owned: | |||
Non-covered other real estate owned | 3,448 | 3,863 | |
Total | Commercial loans | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | 2,043 | 5,630 | |
Total | Residential 1-4 family | |||
Impaired non-covered loans: | |||
Impaired non-covered loans | 276 | ||
Impaired covered loans: | |||
Impaired covered loans | 1,285 | 963 | |
Non covered other real estate owned: | |||
Non-covered other real estate owned | $ 3,970 | $ 3,407 | |
[1] | Includes loans secured by farmland and multi-family residential loans. |
FAIR VALUE - Fair Value of Fina
FAIR VALUE - Fair Value of Financial Instruments (Details 2) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Dec. 31, 2015 | |
Financial assets: | |||||
Cash and cash equivalents | $ 44,600 | $ 47,392 | $ 41,705 | $ 30,336 | |
Securities available for sale | 166,976 | 3,918 | |||
Securities held to maturity | 103,055 | 85,300 | |||
Stock in Federal Reserve Bank and Federal Home Loan Bank | 13,808 | 7,929 | |||
Equity investment in mortgage affiliate | 4,700 | 4,629 | |||
Preferred investment in mortgage affiliate | 3,305 | 2,555 | |||
FDIC indemnification asset | 1,698 | 2,111 | |||
Financial liabilities: | |||||
Certificates of deposit | 804,938 | 605,613 | |||
Securities sold under agreements to repurchase | 8,100 | ||||
FHLB short term advances | 201,475 | 95,000 | |||
Junior subordinated debt | 9,460 | ||||
Senior subordinated notes | 47,150 | ||||
Carrying Amount | |||||
Financial assets: | |||||
Cash and cash equivalents | [1] | 44,600 | 47,392 | ||
Securities available for sale | 166,976 | 3,918 | |||
Securities held to maturity | [2] | 103,055 | 85,300 | ||
Stock in Federal Reserve Bank and Federal Home Loan Bank | 13,808 | 7,929 | |||
Equity investment in mortgage affiliate | [3] | 4,700 | 4,629 | ||
Preferred investment in mortgage affiliate | [3] | 3,305 | 2,555 | ||
Net non-covered loans | [3] | 1,999,295 | 893,625 | ||
Net covered loans | [3] | 24,668 | 28,180 | ||
Accrued interest receivable | [4] | 7,589 | 3,202 | ||
FDIC indemnification asset | [3] | 1,698 | 2,111 | ||
Financial liabilities: | |||||
Demand deposits | [1] | 666,713 | 124,779 | ||
Money market and savings accounts | [1] | 548,508 | 182,590 | ||
Certificates of deposit | [3] | 804,938 | 605,613 | ||
Securities sold under agreements to repurchase | [1] | 8,143 | |||
FHLB short term advances | [1] | 201,475 | 95,000 | ||
Junior subordinated debt | [2] | 9,460 | |||
Senior subordinated notes | [2] | 47,150 | |||
Accrued interest payable | [5] | 2,260 | 1,190 | ||
Fair Value | |||||
Financial assets: | |||||
Cash and cash equivalents | [1] | 44,600 | 47,392 | ||
Securities available for sale | 166,976 | 3,918 | |||
Securities held to maturity | [2] | 101,661 | 83,344 | ||
Equity investment in mortgage affiliate | [3] | 4,700 | 4,629 | ||
Preferred investment in mortgage affiliate | [3] | 3,305 | 2,555 | ||
Net non-covered loans | [3] | 2,014,082 | 903,085 | ||
Net covered loans | [3] | 24,850 | 32,173 | ||
Accrued interest receivable | [4] | 7,589 | 3,202 | ||
FDIC indemnification asset | [3] | 528 | 528 | ||
Financial liabilities: | |||||
Demand deposits | [1] | 666,713 | 124,779 | ||
Money market and savings accounts | [1] | 548,508 | 182,590 | ||
Certificates of deposit | [3] | 801,103 | 605,394 | ||
Securities sold under agreements to repurchase | [1] | 8,143 | |||
FHLB short term advances | [1] | 201,475 | 95,000 | ||
Junior subordinated debt | [2] | 9,459 | |||
Senior subordinated notes | [2] | 54,211 | |||
Accrued interest payable | [5] | $ 2,260 | $ 1,190 | ||
[1] | Level 1 | ||||
[2] | Level 2 | ||||
[3] | Level 3 | ||||
[4] | Level 2 & Level 3 | ||||
[5] | Level 1 & Level 3 |
FAIR VALUE (Detail Textuals)
FAIR VALUE (Detail Textuals) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||||
Jun. 30, 2017 | Dec. 31, 2016 | Mar. 31, 2017 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | |
Accounts Notes And Loans Receivable [Line Items] | ||||||
Allowances for loan losses | $ 9,197 | $ 8,610 | ||||
Minimum | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
Fair value of estimated costs related to selling the collateral | 6.00% | 6.00% | ||||
Maximum | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
Fair value of estimated costs related to selling the collateral | 10.00% | 10.00% | ||||
Non-covered Loans | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
Non covered Impaired loans | $ 3,600 | $ 12,700 | ||||
SBA guarantees | 2,000 | 2,200 | ||||
Allowances for loan losses | 9,197 | 8,610 | $ 8,678 | $ 8,421 | $ 8,690 | $ 8,421 |
SBA guaranteed | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
SBA guarantees | 2,000 | 2,200 | ||||
Total Loans | ||||||
Accounts Notes And Loans Receivable [Line Items] | ||||||
Allowances for loan losses | $ 350 | $ 900 |
FAIR VALUE (Detail Textuals 1)
FAIR VALUE (Detail Textuals 1) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Dec. 31, 2016 | |
Fair Value, Assets Measured On Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Loans held for sale | $ 16,726 | |
Description of other real estate owned loan collateral liquidation expenses | Fair value is classified as Level 3 in the fair value hierarchy. OREO is further evaluated quarterly for any additional impairment. | |
Minimum | ||
Fair Value, Assets Measured On Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Selling costs percentage of collateral valuation | 6.00% | 6.00% |
Maximum | ||
Fair Value, Assets Measured On Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Selling costs percentage of collateral valuation | 7.60% | 7.60% |
FAIR VALUE (Detail Textuals 2)
FAIR VALUE (Detail Textuals 2) - USD ($) $ in Millions | Jun. 30, 2017 | Dec. 31, 2016 |
Non-covered Loans | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Non covered other real estate owned | $ 8.5 | $ 8.6 |
Covered loans | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Covered other real estate owned |
SECURITIES SOLD UNDER AGREEME60
SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE AND OTHER SHORT-TERM BORROWINGS (Detail Textuals) $ in Millions | Jun. 30, 2017USD ($) |
Securities Sold Under Agreements To Repurchase And Other Short Term Borrowings [Abstract] | |
Securities sold under agreements to repurchase and other short term borrowings | $ 8.1 |
JUNIOR SUBORDINATED DEBT AND 61
JUNIOR SUBORDINATED DEBT AND SENIOR SUBORDINATED NOTES (Detail Textuals) - EVBS $ in Thousands | 1 Months Ended | 6 Months Ended | |||
Jan. 20, 2017USD ($) | Apr. 22, 2015USD ($) | Sep. 17, 2003USD ($) | Jun. 30, 2017Quarter | Dec. 31, 2016 | |
Junior Subordinated Debt | |||||
Debt Instrument [Line Items] | |||||
Notes assumed in merger | $ 10,000 | ||||
Pooled underwriting amount | $ 650,000 | ||||
Interest rate percentage | 4.22% | 3.94% | |||
Description of variable rate basis | 3-month LIBOR | ||||
Basis spread on LIBOR | 2.95% | ||||
Percentage of tier one capital for regulatory capital adequacy | 25.00% | ||||
Minimum number of consecutive quarters defers interest payment for default | Quarter | 20 | ||||
Senior Subordinated Notes | |||||
Debt Instrument [Line Items] | |||||
Proceeds from subordinated notes | $ 27,000 | $ 20,000 | |||
Interest rate percentage | 5.875% | 6.50% | |||
Description of variable rate basis | three-month LIBOR | ||||
Basis spread on LIBOR | 3.95% | 5.02% | |||
Unamortized debt issuance costs | $ 901 | ||||
Percentage of aggregate principle amount | 100.00% |