Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Aug. 07, 2020 | |
Cover [Abstract] | ||
Entity Registrant Name | COUNTY BANCORP, INC. | |
Entity Central Index Key | 0001470205 | |
Trading Symbol | ICBK | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Shell Company | false | |
Entity Ex Transition Period | false | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2020 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity File Number | 001-36808 | |
Entity Tax Identification Number | 39-1850431 | |
Entity Address, Address Line One | 2400 South 44th Street | |
Entity Address, City or Town | Manitowoc | |
Entity Address, State or Province | WI | |
Entity Address, Postal Zip Code | 54221 | |
City Area Code | 920 | |
Local Phone Number | 686-9998 | |
Entity Incorporation, State or Country Code | WI | |
Title of 12(b) Security | Common stock, $0.01 par value | |
Security Exchange Name | NASDAQ | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Common Stock, Shares Outstanding | 6,317,890 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
ASSETS | ||
Cash and cash equivalents | $ 127,016 | $ 108,457 |
Interest earning cash at other financial institutions | 416 | 20,554 |
Securities available-for-sale, at fair value | 226,971 | 158,733 |
FHLB Stock | 5,758 | 1,628 |
Loans held for sale | 11,847 | 2,151 |
Loans, net of allowance for loan losses of $18,569 as of June 30, 2020; $15,267 as of December 31, 2019 | 1,068,955 | 1,020,506 |
Premises and equipment, net | 14,314 | 13,603 |
Loan servicing rights | 16,486 | 12,509 |
Other real estate owned, net | 2,629 | 5,521 |
Cash surrender value of bank owned life insurance | 28,646 | 18,302 |
Deferred tax asset, net | 1,453 | |
Goodwill | 5,038 | |
Accrued interest receivable and other assets | 10,754 | 10,099 |
Total assets | 1,513,917 | 1,378,779 |
Deposits: | ||
Noninterest-bearing | 149,963 | 138,489 |
Interest-bearing | 923,090 | 962,953 |
Total deposits | 1,073,053 | 1,101,442 |
Other borrowings | 101,847 | 794 |
Advances from FHLB | 93,400 | 44,400 |
Subordinated debentures | 61,910 | 44,858 |
Deferred tax liability, net | 384 | |
Accrued interest payable and other liabilities | 14,798 | 15,256 |
Total liabilities | 1,345,392 | 1,206,750 |
SHAREHOLDERS' EQUITY | ||
Preferred stock- $1,000 stated value; 15,000 shares authorized; 8,000 shares issued | 8,000 | 8,000 |
Common stock - $0.01 par value; 50,000,000 authorized; 7,202,000 shares issued and 6,375,150 shares outstanding as of June 30, 2020; 7,178,052 shares issued and 6,734,132 shares outstanding as of December 31, 2019 | 28 | 28 |
Surplus | 54,813 | 54,122 |
Retained earnings | 112,012 | 113,111 |
Treasury stock, at cost; 826,850 shares at June 30, 2020; 443,920 shares at December 31, 2019 | (13,443) | (5,030) |
Accumulated other comprehensive income | 7,115 | 1,798 |
Total shareholders' equity | 168,525 | 172,029 |
Total liabilities and shareholders' equity | 1,513,917 | 1,378,779 |
Core Deposit | ||
ASSETS | ||
Core deposit intangible, net | $ 125 | $ 225 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Statement Of Financial Position [Abstract] | ||
Allowance for loan losses | $ 18,569 | $ 15,267 |
Preferred Stock, stated value | $ 1,000 | $ 1,000 |
Preferred Stock, shares authorized | 15,000 | 15,000 |
Preferred Stock, shares issued | 8,000 | 8,000 |
Common Stock, par value | $ 0.01 | $ 0.01 |
Common Stock, shares authorized | 50,000,000 | 50,000,000 |
Common Stock, shares issued | 7,202,000 | 7,178,052 |
Common Stock, shares outstanding | 6,375,150 | 6,734,132 |
Treasury Stock, shares | 826,850 | 443,920 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
INTEREST AND DIVIDEND INCOME | ||||
Loans, including fees | $ 12,130 | $ 15,484 | $ 24,712 | $ 30,985 |
Taxable securities | 1,283 | 1,177 | 2,565 | 2,363 |
Tax-exempt securities | 162 | 82 | 168 | 257 |
Federal funds sold and other | 111 | 465 | 336 | 729 |
Total interest and dividend income | 13,686 | 17,208 | 27,781 | 34,334 |
INTEREST EXPENSE | ||||
Deposits | 3,721 | 5,678 | 8,068 | 11,102 |
FHLB advances and other borrowed funds | 343 | 415 | 587 | 879 |
Subordinated debentures | 736 | 683 | 1,442 | 1,361 |
Total interest expense | 4,800 | 6,776 | 10,097 | 13,342 |
Net interest income | 8,886 | 10,432 | 17,684 | 20,992 |
Provision for loan losses | 1,142 | 876 | 3,360 | 1,628 |
Net interest income after provision for loan losses | 7,744 | 9,556 | 14,324 | 19,364 |
NON-INTEREST INCOME | ||||
Gain on sale of loans, net | 4 | 26 | 42 | 25 |
Other | 811 | 545 | 1,014 | 1,196 |
Total non-interest income | 3,380 | 2,887 | 6,083 | 5,637 |
NON-INTEREST EXPENSE | ||||
Employee compensation and benefits | 4,594 | 4,199 | 9,854 | 8,681 |
Occupancy | 305 | 283 | 659 | 672 |
Information processing | 663 | 591 | 1,333 | 1,154 |
Professional fees | 480 | 417 | 881 | 816 |
Writedown of other real estate owned | 250 | 1,360 | 250 | |
Goodwill impairment | 5,038 | |||
Other | 1,423 | 1,706 | 3,357 | 3,178 |
Total non-interest expense | 7,465 | 7,446 | 22,482 | 14,751 |
Income (loss) before income taxes | 3,659 | 4,997 | (2,075) | 10,250 |
Income tax expense | 926 | 1,293 | 379 | 2,784 |
NET INCOME (LOSS) | $ 2,733 | $ 3,704 | $ (2,454) | $ 7,466 |
NET INCOME (LOSS) PER SHARE: | ||||
Basic | $ 0.40 | $ 0.53 | $ (0.40) | $ 1.07 |
Diluted | 0.40 | 0.53 | (0.40) | 1.07 |
Dividends paid per share | $ 0.07 | $ 0.05 | $ 0.14 | $ 0.10 |
Services Charges | ||||
NON-INTEREST INCOME | ||||
Non-interest income | $ 368 | $ 407 | $ 710 | $ 760 |
Loan Servicing Fees | ||||
NON-INTEREST INCOME | ||||
Non-interest income | $ 2,197 | $ 1,909 | $ 4,317 | $ 3,656 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 2,733 | $ 3,704 | $ (2,454) | $ 7,466 |
Other comprehensive income: | ||||
Unrealized gain on securities available-for-sale | 5,685 | 2,717 | 9,132 | 6,369 |
Income tax expense | (1,548) | (740) | (2,487) | (1,735) |
Reclassification for realized gains on securities | (570) | (341) | (570) | (341) |
Income tax expense | 154 | 93 | 154 | 93 |
Total other comprehensive income on securities available-for-sale | 3,721 | 1,729 | 6,229 | 4,386 |
Unrealized loss on derivatives arising during the period | (60) | (656) | (1,254) | (1,137) |
Income tax benefit | 17 | 180 | 342 | 309 |
Total other comprehensive loss on derivatives | (43) | (476) | (912) | (828) |
Total other comprehensive income | 3,678 | 1,253 | 5,317 | 3,558 |
Comprehensive income | $ 6,411 | $ 4,957 | $ 2,863 | $ 11,024 |
CONSOLIDATED STATEMENTS OF SHAR
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands | Total | Cumulative Effect, Period of Adoption, Adjustment | [1] | Cumulative Effect, Period of Adoption, Adjusted Balance | Preferred Stock | Preferred StockCumulative Effect, Period of Adoption, Adjusted Balance | Common Stock | Common StockCumulative Effect, Period of Adoption, Adjusted Balance | Surplus | SurplusCumulative Effect, Period of Adoption, Adjusted Balance | Retained Earnings | Retained EarningsCumulative Effect, Period of Adoption, Adjustment | [1] | Retained EarningsCumulative Effect, Period of Adoption, Adjusted Balance | Treasury Stock | Treasury StockCumulative Effect, Period of Adoption, Adjusted Balance | Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss)Cumulative Effect, Period of Adoption, Adjusted Balance |
Balance at Dec. 31, 2018 | $ 152,284 | $ 8,000 | $ 28 | $ 53,162 | $ 98,475 | $ (5,030) | $ (2,351) | |||||||||||
Net income (loss) | 3,762 | 3,762 | ||||||||||||||||
Other comprehensive income (loss) | 2,305 | 2,305 | ||||||||||||||||
Stock compensation expense | 118 | 118 | ||||||||||||||||
Cash dividends declared on common stock | (335) | (335) | ||||||||||||||||
Cash dividends declared on preferred stock | (117) | (117) | ||||||||||||||||
Balance at Mar. 31, 2019 | 158,017 | 8,000 | 28 | 53,280 | 101,785 | (5,030) | (46) | |||||||||||
Balance at Dec. 31, 2018 | 152,284 | 8,000 | 28 | 53,162 | 98,475 | (5,030) | (2,351) | |||||||||||
Net income (loss) | 7,466 | |||||||||||||||||
Other comprehensive income (loss) | 3,558 | |||||||||||||||||
Balance at Jun. 30, 2019 | 162,724 | 8,000 | 28 | 53,484 | 105,035 | (5,030) | 1,207 | |||||||||||
Balance at Mar. 31, 2019 | 158,017 | 8,000 | 28 | 53,280 | 101,785 | (5,030) | (46) | |||||||||||
Net income (loss) | 3,704 | 3,704 | ||||||||||||||||
Other comprehensive income (loss) | 1,253 | 1,253 | ||||||||||||||||
Stock compensation expense | 144 | 144 | ||||||||||||||||
Cash dividends declared on common stock | (336) | (336) | ||||||||||||||||
Cash dividends declared on preferred stock | (118) | (118) | ||||||||||||||||
Proceeds from exercise of common stock options | 60 | 60 | ||||||||||||||||
Balance at Jun. 30, 2019 | 162,724 | 8,000 | 28 | 53,484 | 105,035 | (5,030) | 1,207 | |||||||||||
Balance at Dec. 31, 2019 | 172,029 | $ 2,484 | $ 174,513 | 8,000 | $ 8,000 | 28 | $ 28 | 54,122 | $ 54,122 | 113,111 | $ 2,484 | $ 115,595 | (5,030) | $ (5,030) | 1,798 | $ 1,798 | ||
Net income (loss) | (5,188) | (5,188) | ||||||||||||||||
Other comprehensive income (loss) | 1,639 | 1,639 | ||||||||||||||||
Stock compensation expense | 314 | 314 | ||||||||||||||||
Cash dividends declared on common stock | (466) | (466) | ||||||||||||||||
Cash dividends declared on preferred stock | (108) | (108) | ||||||||||||||||
Treasury stock purchases | (5,853) | (5,853) | ||||||||||||||||
Proceeds from exercise of common stock options | 195 | 195 | ||||||||||||||||
Balance at Mar. 31, 2020 | 165,046 | 8,000 | 28 | 54,631 | 109,833 | (10,883) | 3,437 | |||||||||||
Balance at Dec. 31, 2019 | 172,029 | $ 2,484 | $ 174,513 | 8,000 | $ 8,000 | 28 | $ 28 | 54,122 | $ 54,122 | 113,111 | $ 2,484 | $ 115,595 | (5,030) | $ (5,030) | 1,798 | $ 1,798 | ||
Net income (loss) | (2,454) | |||||||||||||||||
Other comprehensive income (loss) | 5,317 | |||||||||||||||||
Balance at Jun. 30, 2020 | 168,525 | 8,000 | 28 | 54,813 | 112,012 | (13,443) | 7,115 | |||||||||||
Balance at Mar. 31, 2020 | 165,046 | 8,000 | 28 | 54,631 | 109,833 | (10,883) | 3,437 | |||||||||||
Net income (loss) | 2,733 | 2,733 | ||||||||||||||||
Other comprehensive income (loss) | 3,678 | 3,678 | ||||||||||||||||
Stock compensation expense | 182 | 182 | ||||||||||||||||
Cash dividends declared on common stock | (455) | (455) | ||||||||||||||||
Cash dividends declared on preferred stock | (99) | (99) | ||||||||||||||||
Treasury stock purchases | (2,560) | (2,560) | ||||||||||||||||
Balance at Jun. 30, 2020 | $ 168,525 | $ 8,000 | $ 28 | $ 54,813 | $ 112,012 | $ (13,443) | $ 7,115 | |||||||||||
[1] | Related to the change in accounting principle for the value of loan servicing rights, net of tax effects. See Note 1 for additional discussion. |
CONSOLIDATED STATEMENTS OF SH_2
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Parenthetical) - shares | 3 Months Ended | |
Jun. 30, 2020 | Mar. 31, 2020 | |
Statement Of Stockholders Equity [Abstract] | ||
Treasury stock purchase, shares | 127,280 | 255,650 |
Options, exercised | 14,590 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Cash flows from operating activities | ||
Net income (loss) | $ (2,454) | $ 7,466 |
Adjustments to reconcile net income to cash provided by operating activities: | ||
Depreciation and amortization of premises and equipment | 676 | 687 |
Amortization of core deposit intangible | 100 | 159 |
Amortization of subordinated debentures discount | 76 | 78 |
Impairment of goodwill | 5,038 | |
Provision for loan losses | 3,360 | 1,628 |
Realized gain on sales of securities available-for-sale | (570) | (341) |
Realized loss (gain) on sales of premises and equipment | 236 | (2) |
Realized loss (gain) on sales of other real estate owned | 4 | (127) |
Writedown of other real estate owned | 1,360 | 250 |
Increase in cash surrender value of bank owned life insurance | (344) | (225) |
Deferred income tax expense (benefit) | (240) | 762 |
Stock compensation expense | 496 | 262 |
Net amortization of securities | 443 | 243 |
Net change in: | ||
Accrued interest receivable and other assets | (655) | (1,357) |
Loans held for sale | (9,696) | (4,499) |
Loan servicing rights | (1,493) | (574) |
Accrued interest payable and other liabilities | (1,628) | 462 |
Net cash provided by (used in) operating activities | (5,291) | 4,872 |
Cash flows from investing activities | ||
Proceeds from maturities, principal repayments, and call of securities available-for-sale | 13,000 | 14,149 |
Purchases of securities available-for-sale | (100,339) | |
Proceeds from sales of securities available-for-sale | 27,790 | 29,361 |
Purchase (redemption) of FHLB stock | (4,130) | 800 |
Purchase of bank owned life insurance | (10,000) | |
Loan originations and principal collections, net | (51,809) | 52,295 |
Proceeds from sales of premises and equipment | 2,199 | 4 |
Purchases of premises and equipment | (3,822) | (327) |
Proceeds from sales of other real estate owned | 1,528 | 3,044 |
Net cash provided by (used in) investing activities | (125,583) | 99,326 |
Cash flows from financing activities | ||
Net increase in demand and savings deposits | 86,554 | 13,319 |
Net decrease in certificates of deposits | (114,943) | (31,489) |
Net change in other borrowings | 101,054 | (18) |
Proceeds from FHLB advances | 516,000 | 115,000 |
Repayment of FHLB advances | (467,000) | (145,000) |
Payments to acquire treasury stock | (8,413) | |
Proceeds from issuance of subordinated debt | 16,976 | |
Proceeds from issuance of common stock | 195 | 60 |
Dividends paid on common stock | (921) | (671) |
Dividends paid on preferred stock | (207) | (235) |
Net cash provided by (used in) financing activities | 129,295 | (49,034) |
Net change in cash and cash equivalents | (1,579) | 55,164 |
Cash and cash equivalents, beginning of period | 129,011 | 61,087 |
Cash and cash equivalents, end of period | 127,432 | 116,251 |
Cash paid during the period for: | ||
Interest | 12,729 | 12,346 |
Income taxes | 350 | |
Noncash operating activities: | ||
Change in accounting principle | 2,484 | |
Noncash investing activities: | ||
Transfer from loans to other real estate owned | 5,292 | |
Loans charged off | $ 144 | $ 3,584 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
BASIS OF PRESENTATION | NOTE 1 – BASIS OF PRESENTATION The unaudited consolidated financial statements of County Bancorp, Inc. (“we,” “us,” ”our,” or the “Company”) and its subsidiaries, including Investors Community Bank (the “Bank”), have been prepared, in the opinion of management, to reflect all adjustments necessary for a fair presentation of the financial position, results of operations, and cash flows as of and for the period ended June 30, 2020 . The results of operations for the three and six months ended June 30, 2020 may not necessarily be indicative of the results to be expected for the year ending December 31, 2020, or for any other period. Management of the Company is required to make estimates and assumptions which affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, as well as the reported amounts of income and expenses during the reported periods. Actual results could differ significantly from those estimates. These unaudited interim financial statements have been prepared in conformity with U.S. generally accepted accounting principles (“GAAP”). Certain information in footnote disclosure normally included in financial statements prepared in accordance with GAAP has been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019 filed with the SEC on March 13, 2020. The Company qualifies as an “emerging growth company” under the Jumpstart Our Business Startups Act (the “JOBS Act”). Section 107 of the JOBS Act provides that an emerging growth company can take advantage of the extended transition period provided in Section 7(a)(2)(B) of the Securities Act of 1933, as amended (the “Securities Act”), for complying with new or revised accounting standards. As an emerging growth company, the Company can delay the adoption of certain accounting standards until those standards would otherwise apply to private companies. The Company elected to take advantage of the benefits of this extended transition period. New Accounting Pronouncements On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was signed into law. Section 4013 of the CARES Act allows financial institutions to elect to suspend troubled debt restructuring accounting under certain circumstances when the temporary restructuring is related to the Coronavirus Disease 2019 (COVID-19) pandemic. The Company has elected to implement Section 4013, and for the three months and six months ended June 30, 2020, the Company has processed 184 requests with loan balances totaling $200.7 million. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848) In June 2016, the Financial Accounting Standards Board (the “FASB”) issued ASU No. 2016-13, Financial Instruments – Credit Losses In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820) – Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement financial statements. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. The amendment became effective on January 1, 2020, and the adoption did not have a material effect on the Company’s financial statements . Change in Accounting Principle As of January 1, 2020, the Company elected to make an accounting principle change for the valuation of the loan servicing assets from amortized cost to fair market value. Under the amortized cost method, servicing rights were amortized in proportion to and over the period of estimated net servicing income. The amortized cost of these assets was assessed for impairment at each reporting date. Under the fair market value method, the value of the asset is based on market prices for comparable servicing contracts, when available, or alternatively, is based on a valuation model that calculates the present value of estimated future net servicing income. The valuation model incorporates assumptions that market participants would use in estimating future net servicing income, such as the discount rate, the custodial earnings rate, prepayment speeds and default rates and losses. We believe that the fair value method is the preferred method of presenting these assets and is more widely recognized by current and potential investors. These assets represent the value of future net revenue streams. Updating the estimate of these cash flow streams based on both observable and unobservable trends and inputs at each reporting period provides meaningful changes to the economic value to shareholders. The amortized cost approach requires a periodic impairment test; however, it does not provide any transparency if the portfolio, or certain tranches within the portfolio, have significant increases in value. Therefore, the fair value method provides a balanced, measurement policy for the benefit of the investing public. As a result of this accounting principle change, servicing assets increased by $3.4 million and deferred tax assets decreased by $0.9 million. The adoption of the change was recorded through a cumulative effect adjustment to retained earnings as of January 1, 2020, of $2.5 million. All future adjustments to fair value will be reflected in the income statement. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | NOTE 2 – EARNINGS PER SHARE Earnings per common share is computed using the two-class method. Basic earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding during the applicable period. Diluted earnings per share is computed using the weighted-average number of shares determined for the basic earnings per common share plus the dilutive effect of share-based compensation using the treasury stock method. For the Three Months Ended For the Six Months Ended June 30, June 30, 2020 2019 2020 2019 (dollars in thousands) Net income (loss) from continuing operations $ 2,733 $ 3,704 $ (2,454 ) $ 7,466 Less: preferred stock dividends 99 118 207 235 Income (loss) available to common shareholders for basic earnings per common share $ 2,634 $ 3,586 $ (2,661 ) $ 7,231 Weighted average number of common shares issued 7,198,901 7,159,072 7,190,923 7,156,139 Less: weighted average treasury shares 759,294 443,920 639,017 443,825 Plus: weighted average of participating restricted stock units 65,291 30,483 52,281 23,411 Weighted average number of common shares and participating securities outstanding 6,504,898 6,745,635 6,604,187 6,735,725 Effect of dilutive options 28,511 20,731 39,548 21,170 Weighted average number of common shares outstanding used to calculate diluted earnings per common share 6,533,409 6,766,366 6,643,735 6,756,895 Weighted average of anti-dilutive options 62,313 133,147 55,764 131,729 |
SECURITIES AVAILABLE-FOR-SALE
SECURITIES AVAILABLE-FOR-SALE | 6 Months Ended |
Jun. 30, 2020 | |
Investments Debt And Equity Securities [Abstract] | |
SECURITIES AVAILABLE-FOR-SALE | NOTE 3 – SECURITIES AVAILABLE-FOR-SALE The amortized cost and fair value of securities available-for-sale as of June 30, 2020 and December 31, 2019 were as follows: Amortized Unrealized Unrealized Fair Cost Gains Losses Value (dollars in thousands) June 30, 2020 U.S. government and agency securities $ 15,817 $ — $ (214 ) $ 15,603 Asset-backed securities 17,082 — (516 ) 16,566 Municipal securities 48,460 3,180 — 51,640 Mortgage-backed securities 133,608 9,570 (16 ) 143,162 $ 214,967 $ 12,750 $ (746 ) $ 226,971 December 31, 2019 U.S. government and agency securities $ 3,490 $ — $ (32 ) $ 3,458 U.S. treasury securities 2,499 7 — 2,506 Mortgage-backed securities 149,302 3,633 (166 ) 152,769 $ 155,291 $ 3,640 $ (198 ) $ 158,733 The amortized cost and fair value of securities at June 30, 2020 and December 31, 2019, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Fair Cost Value (dollars in thousands) June 30, 2020 Due in one year or less $ — $ — Due from one to five years — — Due from five to ten years 17,847 17,760 Due after ten years 46,430 49,483 Asset-backed securities 17,082 16,566 Mortgage-backed securities 133,608 143,162 $ 214,967 $ 226,971 December 31, 2019 Due in one year or less $ 2,499 $ 2,506 Due from one to five years — — Due from five to ten years 3,490 3,458 Due after ten years — — Mortgage-backed securities 149,302 152,769 $ 155,291 $ 158,733 Proceeds from the sale of available-for-sale securities were $27.8 million and $29.4 million for the three and six months ended June 30, 2020 and 2019, respectively which resulted in gains of $0.6 million and $0.3 million, respectively. At June 30, 2020 and December 31, 2019, there were $43.0 million and $63.0 million, respectively, of securities pledged at the Federal Reserve Bank to secure municipial customer deposits. Federal Home Loan Bank (FHLB) advances were secured by $5.8 million and $1.6 million FHLB stock at June 30, 2020 and December 31, 2019, respectively. The following table shows the gross unrealized losses and fair value of the Company’s investments with unrealized losses that are not deemed to be other-than-temorarily impaired, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2020 and December 31, 2019: Less Than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (dollars in thousands) June 30, 2020 U.S. government and agency securities $ 13,035 $ (184 ) $ 2,568 $ (30 ) $ 15,603 $ (214 ) Asset-backed securities 16,566 (516 ) — — 16,566 (516 ) Mortgage-backed securities — — 5,956 (16 ) 5,956 (16 ) $ 29,601 $ (700 ) $ 8,524 $ (46 ) $ 38,125 $ (746 ) December 31, 2019 U.S. government and agency securities $ — $ — $ 3,458 $ (32 ) $ 3,458 $ (32 ) Mortgage-backed securities 9,873 (41 ) 11,867 (125 ) 21,740 (166 ) $ 9,873 $ (41 ) $ 15,325 $ (157 ) $ 25,198 $ (198 ) The unrealized losses on the investments at June 30, 2020 and December 31, 2019 were due to market conditions as well as normal fluctuations and pricing inefficiencies. The contractual terms of the investments do not permit the issuers to settle the securities at a price less than the amortized cost basis of the investment. Because the Company does not intend to sell the investments and it is not more-likely-than-not that the Company will be required to sell the investments before recovery of the amortized cost basis, which may be maturity, the Company did not consider these investments to be other-than-temporarily impaired at June 30, 2020 and December 31, 2019. |
LOANS
LOANS | 6 Months Ended |
Jun. 30, 2020 | |
Receivables [Abstract] | |
LOANS | NOTE 4 – LOANS The components of loans were as follows: June 30, December 31, 2020 2019 (dollars in thousands) Agricultural loans $ 624,339 $ 659,725 Commercial real estate loans 247,149 235,936 Commercial loans 184,537 95,787 Residential real estate loans 31,414 43,958 Installment and consumer other 85 367 Total gross loans 1,087,524 1,035,773 Allowance for loan losses (18,569 ) (15,267 ) Net loans $ 1,068,955 $ 1,020,506 Changes in the allowance for loan losses by portfolio segment for the three and six months ended June 30, 2020 and 2019 were as follows: Agricultural Commercial Real Estate Commercial Residential Real Estate Installment and Consumer Other Total (dollars in thousands) For the Three Months Ended June 30, 2020 Balance, beginning of period $ 12,685 $ 2,577 $ 2,173 $ 112 $ — $ 17,547 Provision for loan losses (38 ) 1,281 (75 ) (27 ) 1 1,142 Loans charged off — — (144 ) — — (144 ) Recoveries 23 1 — — — 24 Balance, end of period $ 12,670 $ 3,859 $ 1,954 $ 85 $ 1 $ 18,569 For the Six Months Ended June 30, 2020 Balance, beginning of year $ 11,737 $ 1,913 $ 1,599 $ 15 $ 3 $ 15,267 Provision for loan losses 910 1,884 498 70 (2 ) 3,360 Loans charged off — — (144 ) — — (144 ) Recoveries 23 62 1 — — 86 Balance, end of period $ 12,670 $ 3,859 $ 1,954 $ 85 $ 1 $ 18,569 For the Three Months Ended June 30, 2019 Balance, beginning of period $ 12,123 $ 4,152 $ 1,201 $ 16 $ 1 $ 17,493 Provision for loan losses 1,509 (1,003 ) 367 3 — 876 Loans charged off — (2,234 ) (960 ) — — (3,194 ) Recoveries 15 967 101 — — 1,083 Balance, end of period $ 13,647 $ 1,882 $ 709 $ 19 $ 1 $ 16,258 For the Six Months Ended June 30, 2019 Balance, beginning of year $ 12,258 $ 2,779 $ 1,414 $ 53 $ 1 $ 16,505 Provision for loan losses 1,374 135 153 (34 ) — 1,628 Loans charged off — (2,624 ) (960 ) — — (3,584 ) Recoveries 15 1,592 102 — — 1,709 Balance, end of period $ 13,647 $ 1,882 $ 709 $ 19 $ 1 $ 16,258 The following tables present the balances in the allowance for loan losses and the recorded balance in loans by portfolio segment and based on impairment method as of June 30, 2020 and December 31, 2019: June 30, 2020 Individually Evaluated for Impairment Collectively Evaluated for Impairment Total (dollars in thousands) Allowance for loan losses: Agricultural loans $ 3,826 $ 8,844 $ 12,670 Commercial real estate loans 2,471 1,388 3,859 Commercial loans 1,226 728 1,954 Residential real estate loans — 85 85 Installment and consumer other — 1 1 Total ending allowance for loan losses 7,523 11,046 18,569 Loans: Agricultural loans 58,895 565,444 624,339 Commercial real estate loans 9,351 237,798 247,149 Commercial loans 2,882 181,655 184,537 Residential real estate loans 60 31,354 31,414 Installment and consumer other — 85 85 Total loans 71,188 1,016,336 1,087,524 Net loans $ 63,665 $ 1,005,290 $ 1,068,955 December 31, 2019 Individually Evaluated for Impairment Collectively Evaluated for Impairment Total (dollars in thousands) Allowance for loan losses: Agricultural loans $ 3,515 $ 8,222 $ 11,737 Commercial real estate loans 836 1,077 1,913 Commercial loans 1,238 361 1,599 Residential real estate loans — 15 15 Installment and consumer other — 3 3 Total ending allowance for loan losses 5,589 9,678 15,267 Loans: Agricultural loans 58,833 600,892 659,725 Commercial real estate loans 3,682 232,254 235,936 Commercial loans 1,862 93,925 95,787 Residential real estate loans 62 43,896 43,958 Installment and consumer other — 367 367 Total loans 64,439 971,334 1,035,773 Net loans $ 58,850 $ 961,656 $ 1,020,506 The following tables present loans individually evaluated for impairment by class of loans at June 30, 2020 and December 31, 2019: June 30, 2020 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated (dollars in thousands) With no related allowance: Agricultural loans $ 15,059 $ 14,977 $ — Commercial real estate loans 288 288 — Commercial loans 1,229 1,202 — Residential real estate loans — 60 — $ 16,576 $ 16,527 $ — With an allowance recorded: Agricultural loans $ 47,209 $ 43,918 $ 3,826 Commercial real estate loans 9,132 9,063 2,471 Commercial loans 1,733 1,680 1,226 Residential real estate loans — — — $ 58,074 $ 54,661 $ 7,523 Total $ 74,650 $ 71,188 $ 7,523 December 31, 2019 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated (dollars in thousands) With no related allowance: Agricultural loans $ 14,151 $ 14,131 $ — Commercial real estate loans — — — Commercial loans — — — Residential real estate loans 62 62 — $ 14,213 $ 14,193 $ — With an allowance recorded: Agricultural loans $ 47,225 $ 44,702 $ 3,515 Commercial real estate loans 3,681 3,682 836 Commercial loans 2,155 1,862 1,238 Residential real estate loans — — — $ 53,061 $ 50,246 $ 5,589 Total $ 67,274 $ 64,439 $ 5,589 The following table presents the aging of the recorded investment in past due loans at June 30, 2020 and December 31, 2019: 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Loans Not Past Due Total Loans (dollars in thousands) June 30, 2020 Agricultural loans $ 2,736 $ — $ 6,633 $ 9,369 $ 614,970 $ 624,339 Commercial real estate loans — — 361 361 246,788 247,149 Commercial loans 43 — 107 150 184,387 184,537 Residential real estate loans — — 60 60 31,354 31,414 Installment and consumer other — — — — 85 85 Total $ 2,779 $ — $ 7,161 $ 9,940 $ 1,077,584 $ 1,087,524 December 31, 2019 Agricultural loans $ 1,489 $ 71 $ 4,974 $ 6,534 $ 653,191 $ 659,725 Commercial real estate loans — 288 - 288 235,648 235,936 Commercial loans — 28 228 256 95,531 95,787 Residential real estate loans — — 62 62 43,896 43,958 Installment and consumer other — — — — 367 367 Total $ 1,489 $ 387 $ 5,264 $ 7,140 $ 1,028,633 $ 1,035,773 The following table presents the recorded investment in nonaccrual loans by class of loan: June 30, December 31, 2020 2019 (dollars in thousands) Agricultural loans $ 25,398 $ 26,415 Commercial real estate loans 8,348 2,673 Commercial loans 1,650 1,818 Residential real estate loans 60 62 Total $ 35,456 $ 30,968 The following tables present the average recorded investment and interest income recognized on impaired loans by portfolio segment for the three and six months ended June 30, 2020 and 2019: As of and for the Three Months Ended June 30, 2020 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized (dollars in thousands) Agricultural loans $ 62,268 $ 58,895 $ 3,826 $ 59,565 $ 1,060 Commercial real estate loans 9,420 9,351 2,471 6,496 115 Commercial loans 2,962 2,882 1,226 2,360 21 Residential real estate loans — 60 — 60 — Total $ 74,650 $ 71,188 $ 7,523 $ 68,480 $ 1,196 As of and for the Six Months Ended June 30, 2020 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized (dollars in thousands) Agricultural loans $ 62,268 $ 58,895 $ 3,826 $ 58,864 $ 2,370 Commercial real estate loans 9,420 9,351 2,471 6,517 140 Commercial loans 2,962 2,882 1,226 2,372 69 Residential real estate loans — 60 — 61 1 Total $ 74,650 $ 71,188 $ 7,523 $ 67,814 $ 2,580 As of and for the Three Months Ended June 30, 2019 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized (dollars in thousands) Agricultural loans $ 62,271 $ 59,876 $ 3,415 $ 57,064 $ 1,531 Commercial real estate loans 539 1,022 5 3,527 7 Commercial loans 1,022 532 290 834 1 Total $ 63,832 $ 61,430 $ 3,710 $ 61,425 $ 1,539 As of and for the Six Months Ended June 30, 2019 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized (dollars in thousands) Agricultural loans $ 62,271 $ 59,876 $ 3,415 $ 56,412 $ 2,704 Commercial real estate loans 539 1,022 5 1,530 31 Commercial loans 1,022 532 290 1,153 3 Total $ 63,832 $ 61,430 $ 3,710 $ 59,095 $ 2,738 Impaired loans include nonaccrual loans, troubled debt restructured loans, and loans that are 90 days or more past due and still accruing. For nonaccrual loans included in impaired loans, the interest income that would have been recognized had those loans been performing in accordance with their original terms would have been approximately $2.1 million and $0.4 million for the three months ended June 30, 2020 and 2019, respectively, and $2.8 million and $1.0 million for the six months ended June 30, 2020 and 2019, respectively. Troubled Debt Restructurings The Company allocated approximately $3.8 million and $3.5 million of specific reserves to customers whose loan terms have been modified in troubled debt restructurings (“TDR”) at June 30, 2020 and December 31, 2019, respectively. The Company had no additional lending commitments at June 30, 2020 or December 31, 2019 to customers with outstanding loans that were classified as TDRs. A TDR on nonaccrual status is classified as a nonaccrual loan until evaluation supports reasonable assurance of repayment and there has been a satisfactory period of performance according to the modified terms of the loan. Once this assurance is reached, the TDR is returned to a ccrual status . The following table presents the TDRs and related allowance for loan losses by loan class at June 30, 2020 and December 31, 2019 : Non-Accrual Restructured and Accruing Total Allowance for Loan Losses Allocated (dollars in thousands) June 30, 2020 Agricultural loans $ 18,672 $ 20,940 $ 39,612 $ 3,807 Commercial real estate loans — 1,002 1,002 31 Commercial loans 79 43 122 4 Total $ 18,751 $ 21,985 $ 40,736 $ 3,842 December 31, 2019 Agricultural loans $ 19,033 $ 20,731 $ 39,764 $ 3,436 Commercial real estate loans — 1,009 $ 1,009 $ 32 Commercial loans 228 44 272 60 Total $ 19,261 $ 21,784 $ 41,045 $ 3,528 The following table s provide the number of loans modified in a troubled debt restructuring investment by class for the three and six months ended June 30, 2020 and 2019: For the Three Months Ended June 30, 2020 June 30, 2019 Number of Loans Recorded Investment Number of Loans Recorded Investment (dollars in thousands) Troubled debt restructurings: Agricultural loans 6 $ 2,640 25 $ 12,125 Commercial real estate loans — — — — Commercial loans — — — — Total 6 $ 2,640 25 $ 12,125 For the Six Months Ended June 30, 2020 June 30, 2019 Number of Loans Recorded Investment Number of Loans Recorded Investment (dollars in thousands) Troubled debt restructurings: Agricultural loans 8 $ 2,872 33 $ 13,829 Commercial real estate loans — — 1 1,021 Commercial loans — — 2 1,046 Total 8 $ 2,872 36 $ 15,896 The following table s provide the troubled debt restructurings for the six months ended June 30, 2020 and 2019 grouped by type of concession: For the Three Months Ended June 30, 2020 June 30, 2019 Number of Loans Recorded Investment Number of Loans Recorded Investment (dollars in thousands) Agricultural loans Payment concessions 1 $ 231 4 $ 441 Term concessions — 435 2 453 Rate concessions — — 1 85 Extension of interest-only payments 2 75 17 10,994 Capitalized interest 1 153 1 152 Combination of extension of term and interest rate concessions 2 1,746 — — Total 6 $ 2,640 25 $ 12,125 For the Six Months Ended June 30, 2020 June 30, 2019 Number of Loans Recorded Investment Number of Loans Recorded Investment (dollars in thousands) Agricultural loans Payment concessions 1 $ 231 5 $ 703 Term concessions 1 484 2 453 Rate concessions — — 1 85 Extension of interest-only payments 2 75 24 12,436 Capitalized interest 1 153 1 152 Combination of extension of term and interest rate concessions 3 1,929 — — Commercial real estate loans Payment concessions — — 1 1,021 Commercial loans Combination of extension of term and interest rate concessions — — 2 1,046 Total 8 $ 2,872 36 $ 15,896 No troubled debt restructurings defaulted within twelve months of the restructure date during the three and six months ended June 30, 2020 and June 30, 2019, respectively. Section 4013 of the CARES Act allows financial institutions to elect to suspend troubled debt restructuring accounting under certain circumstances when the temporary restructuring is related to the Coronavirus Disease 2019 (COVID-19) pandemic. The Company has elected to implement Section 4013, and for the three months and six months ended June 30, 2020, the Company has processed 184 requests with loan balances totaling $200.7 million. Credit Quality Indicators The Company categorizes loans into risk categories based on relevant information about the ability of the borrowers to service their debt, such as current financial information, historical payment experience, credit documentation, public information and current economic trends, among other factors. The Company analyzes agricultural, commercial, and commercial real estate loans individually by classifying the credits as to credit risk. The process of analyzing loans for changes in risk rating is ongoing through routine monitoring of the portfolio and annual internal credit reviews for credits with total exposure in excess of $300,000. The Company uses the following definitions for credit risk ratings: Sound. Credits classified as sound show very good probability of ongoing ability to meet and/or exceed obligations. Acceptable. Credits classified as acceptable show a good probability of ongoing ability to meet and/or exceed obligations. Satisfactory. Credits classified as satisfactory show fair probability of ongoing ability to meet and/or exceed obligations. Low Satisfactory . Credits classified as low satisfactory show fair probability of ongoing ability to meet and/or exceed obligations. Low satisfactory credits may be newer or have a less established track record of financial performance, inconsistent earnings, or may be going through an expansion. Watch. Credits classified as watch show some questionable probability of ongoing ability to meet and/or exceed obligations. Special Mention. Credits classified as special mention show potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loans or of the institution’s credit position at some future date. Substandard – Performing. Credits classified as substandard – performing generally have well-defined weaknesses. Collateral coverage is adequate and the loans are not considered impaired. Payments are being made and the loans are on accrual status. Substandard - Impaired . Credits classified as substandard generally have well-defined weaknesses that jeopardize the repayment of the debt. They have a distinct possibility that a loss will be sustained if the deficiencies are not corrected. Loans are considered impaired. Loans are either exhibiting signs of delinquency, are on non-accrual or are identified as a TDR. Doubtful. Credits classified as doubtful have all the weaknesses inherent in those classified as substandard with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable. The Company categorizes residential real estate, installment and consumer other loans as satisfactory at the time of origination based on information obtained as to the ability of the borrower(s) to service their debt, such as current financial information, employment status and history, historical payment experience, credit scores and type and amount of collateral among other factors. The Company updates relevant information on these types of loans at the time of refinance, troubled debt restructuring or other indications of financial difficulty, downgrading as needed using the same category descriptions as for agricultural, commercial, and commercial real estate loans. In addition, the Company further considers current payment status as an indicator of which risk category to assign the borrower. The greater the level of deteriorated risk as indicated by a loan’s assigned risk category, the greater the likelihood a loss will occur in the future. If the loan is substandard - impaired, then the loan loss reserves for the loan are recorded at the loss level of impairment. If the loan is not impaired, then its loan loss reserves are determined by the application of a loss rate that increases with risk in accordance with the allowance for loan loss analysis. The bank will not accrue interest on any loan past due 90-days or more. Furthermore, the bank will place any loan on non-accrual status for which payment in full of principal and interest is not expected. A loan shall be placed on non-accrual as soon as it is determined that payment in full of interest and/or principal is unlikely. The CCO may approve the placement of a loan on non-accrual prior to 90-days past due. Based on the most recent analysis performed by management, the risk category of loans by class of loans was as follows as of June 30, 2020 and December 31, 2019: As of June 30, 2020 Sound/ Acceptable/ Satisfactory/ Low Satisfactory Watch Special Mention Substandard Performing Substandard Impaired Total Loans (dollars in thousands) Agricultural loans $ 372,030 $ 175,072 $ 1,856 $ 44,502 $ 30,879 $ 624,339 Commercial real estate loans 221,979 14,560 — 2,261 8,349 247,149 Commercial loans 173,901 8,175 — 811 1,650 184,537 Residential real estate loans 30,950 237 — 167 60 31,414 Installment and consumer other 85 — — — — 85 Total $ 798,945 $ 198,044 $ 1,856 $ 47,741 $ 40,938 $ 1,087,524 As of December 31, 2019 (1) Sound/ Acceptable/ Satisfactory/ Low Satisfactory Watch Special Mention Substandard Performing Substandard Impaired Total Loans (dollars in thousands) Agricultural loans $ 388,184 $ 184,050 $ 9,239 $ 46,587 $ 31,665 $ 659,725 Commercial real estate loans 209,279 21,703 — 2,281 2,673 235,936 Commercial loans 83,141 10,091 — 737 1,818 95,787 Residential real estate loans 43,473 254 — 169 62 43,958 Installment and consumer other 367 — — — — 367 Total $ 724,444 $ 216,098 $ 9,239 $ 49,774 $ 36,218 $ 1,035,773 (1) Performing troubled debt restructurings have been reclassified to be reflected in their internal risk rating category rather than Substandard Impaired as previously reported. |
LOAN SERVICING RIGHTS
LOAN SERVICING RIGHTS | 6 Months Ended |
Jun. 30, 2020 | |
Transfers And Servicing [Abstract] | |
LOAN SERVICING RIGHTS | NOTE 5 – LOAN SERVICING RIGHTS Loans serviced for others are not included in the accompanying consolidated balance sheets. The risks inherent in servicing assets relate primarily to changes in prepayments that result from shifts in interest rates. The unpaid principal balances of loans serviced for others were approximately $762.1 million and $751.7 million at June 30, 2020 and December 31, 2019, respectively. The fair value of these rights were approximately $16.5 million and $15.9 million at June 30, 2020 and December 31, 2019 The fair value of servicing rights is highly sensitive to changes in underlying assumptions. The Company’s portfolio of loan serviced for others is mostly comprised of fixed rate loans. Generally, as market interest rates rise, prepayments on fixed rate loans decrease due to a decline in refinancing activity, which results in an increase in the fair value of servicing rights. However, due to the cross-collateralization of loans in the portfolio and the government guarantee programs under which many of the loans were originated, prepayments on the portfolio tend to be muted in comparison to those of other types of loans, such as mortgage loans. Measurement of fair value is limited to the conditions existing and the assumptions used as of a particular point in time, and those assumptions may not be appropriate if they applied at a different time. The fair value of servicing rights at December 31, 2019 was determined using an assumed discount rate of 14 percent and weighted average prepayment speed of 7.33%, ranging from 5.00% to 10.00%, depending upon the stratification of the specific right, and nominal credit losses. The fair value of servicing rights at June 30, 2020 was determined using an assumed discount rate of 14 percent and a weighted average prepayment speed of 9.77%, primarily ranging from 9.70% to 9.78%, depending upon loan type, the stratification of the specific right, and nominal credit losses. Changes to the fair value are reported in loan servicing fees within the consolidated statements of operations. The following tables summarize servicing rights capitalized, along with the aggregate activity in related valuation allowances. The six months ended June 30, 2020 is presented at fair value, and the six months ended June 30, 2019 is presented using the amortized cost method. For the Three Months Ended June 30, 2020 (dollars in thousands) Balance at March 31, 2020 $ 16,211 Additions, net 1,041 Fair value changes: Decay due to increases in principal paydowns or runoff (727 ) Due to changes in valuation inputs or assumptions (39 ) Balance, June 30, 2020 $ 16,486 For the Six Months Ended June 30, 2020 (dollars in thousands) Balance at December 31, 2019 $ 12,509 Impact of cumulative effect of change in accounting principle 3,412 Balance at January 1, 2020 $ 15,921 Additions, net 1,546 Fair value changes: Decay due to increases in principal paydowns or runoff (992 ) Due to changes in valuation inputs or assumptions 11 Balance, June 30, 2020 $ 16,486 For the Three Months Ended For the Six Months Ended June 30, 2019 June 30, 2019 (dollars in thousands) Balance, beginning of period $ 9,275 $ 9,047 Additions related to new loans 1,320 1,941 Impairment due to prepayment (190 ) (263 ) Amortization of existing asset (1,014 ) (1,334 ) Reduction of valuation allowance 230 230 Balance, June 30, 2019 $ 9,621 $ 9,621 |
GOODWILL AND CORE DEPOSIT INTAN
GOODWILL AND CORE DEPOSIT INTANGIBLE | 6 Months Ended |
Jun. 30, 2020 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
GOODWILL AND CORE DEPOSIT INTANGIBLE | NOTE 6 – GOODWILL AND CORE DEPOSIT INTANGIBLE The excess of the purchase price in an acquisition over the fair value of net assets acquired consists primarily of goodwill and the core deposit intangible. Goodwill is not amortized but is instead subject to impairment tests on at least an annual basis. Core deposit intangible, which arose from value ascribed to the deposit base of a bank acquired, has an estimated finite life and is amortized on an accelerated basis to expense over a 66-month period. Management will periodically review the carrying value of its long-lived and intangible assets to determine if any impairment has occurred, in which case an impairment charge would be recorded as an expense in the period of impairment, or whether changes in circumstances have occurred that would require a revision to the remaining useful life which would impact expense prospectively. In making such determination, management evaluates whether there are any adverse qualitative factors indicating that an impairment may exist, as well as the performance, on an undiscounted basis, of the underlying operations or assets which give rise to the intangible. During the first quarter of 2020, goodwill was evaluated for impairment due to economic disruption and unknown growth and credit risk related to the COVID-19 pandemic. Management provided to a third party its updated income projections. Three valuation models were weighted and evaluated: discounted cash flow model (60%), guideline public company method (30%) and transaction method (10%). The transaction method was weighted the lowest as most, if not all, of the identified transactions happened prior to the COVID-19 pandemic and could not be relied upon as comparable values as of March 31, 2020. More weighting was put toward cash flows as management believes the value of the Company is still tied to overall earnings. For the discounted cash flow method, the analysis discounted projected earnings by 14.5% based on an evaluation of required returns for similar public companies adjusted for an expected size and company-specific premium. Through this evaluation, it was determined that as of March 31, 2020, the fair value of the Company did not exceed the current carrying value by an amount in excess of the carrying amount of the goodwill; therefore, the full amount of goodwill was deemed to be impaired. Core deposit intangible: Core deposit intangible, primarily related to acquired customer relationships, is amortized over its estimated finite life. The core deposit intangible related to the Fox River Valley Bancorp, Inc. (“Fox River Valley”) acquisition in 2016 had a gross carrying amount of $1.8 million. There was no impairment charge to core deposit intangible for the three or six months ended June 30, 2020. June 30, 2020 December 31, 2019 (dollars in thousands) Core deposit intangible: Gross carrying amount $ 1,801 $ 1,801 Accumulated amortization (1,676 ) (1,576 ) Net book value $ 125 $ 225 |
DEPOSITS
DEPOSITS | 6 Months Ended |
Jun. 30, 2020 | |
Deposits [Abstract] | |
DEPOSITS | NOTE 7 – DEPOSITS Deposits are summarized as follows at June 30, 2020 and December 31, 2019: June 30, December 31, 2020 2019 (dollars in thousands) Demand deposits $ 149,963 $ 138,489 NOW and interest checking 81,656 67,805 Savings 8,369 6,395 Money market accounts 307,083 247,828 Certificates of deposit 346,482 375,100 National time deposits 57,997 99,485 Brokered deposits 121,503 166,340 Total deposits $ 1,073,053 $ 1,101,442 |
ADVANCES FROM FHLB AND OTHER BO
ADVANCES FROM FHLB AND OTHER BORROWINGS | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
ADVANCES FROM FHLB AND OTHER BORROWINGS | NOTE 8—ADVANCES FROM FHLB AND OTHER BORROWINGS The Bank had advances outstanding from the FHLB in the amount of $93.4 million and $44.4 million on June 30, 2020 and December 31, 2019, respectively. These advances, rates, and maturities were as follows: June 30, December 31, Maturity Rate 2020 2019 (dollars in thousands) Fixed rate, fixed term 02/20/2020 1.71 % $ — $ 5,000 Fixed rate, fixed term 07/16/2020 1.85 % 800 800 Fixed rate, fixed term 08/25/2020 1.84 % 3,000 3,000 Fixed rate, fixed term 08/27/2020 1.88 % 5,000 5,000 Fixed rate, fixed term 12/30/2020 2.09 % 4,000 4,000 Fixed rate, fixed term 12/31/2020 1.94 % 600 600 Fixed rate, fixed term 04/12/2021 1.92 % 8,000 8,000 Fixed rate, fixed term 05/03/2021 0.00 % 4,000 — Fixed rate, fixed term 06/15/2021 1.39 % 5,000 5,000 Fixed rate, fixed term 08/16/2021 2.29 % 3,000 3,000 Fixed rate, fixed term 12/30/2021 2.29 % 2,000 2,000 Fixed rate, fixed term 03/18/2022 1.03 % 15,000 — Fixed rate, fixed term 03/25/2022 0.75 % 10,000 — Fixed rate, putable, no call 2 years 01/12/2023 2.03 % 8,000 8,000 Fixed rate, fixed term 03/23/2023 1.26 % 10,000 — Fixed rate, fixed term 03/27/2023 0.82 % 15,000 — $ 93,400 $ 44,400 The terms of security agreements with the FHLB require the Bank to pledge collateral for its borrowings. The collateral consists of qualifying first mortgage loans and stock of the FHLB. At June 30, 2020 and December 31, 2019, the Bank had pledged qualifying mortgage loans of $368.6 million and $393.7 million, respectively. As of June 30, 2020 and December 31, 2019, the Bank also had a line-of-credit available with the Federal Reserve Bank of Chicago. Borrowings under this line of credit are limited by the amount of collateral pledged by the Bank, which totaled $111.3 million and $127.3 million in loans at June 30, 2020 and December 31, 2019, respectively. There were no outstanding advances included in other borrowings at June 30, 2020 and December 31, 2019. As of June 30, 2020 and December 31, 2019, the Company had an unsecured credit agreement with U.S. Bank National Association for a $10.0 million revolving line of credit with an interest rate of the one-month LIBOR rate plus 2.25%. The line also bears a non-usage fee of 0.275% per annum. The line did not have an outstanding balance as of June 30, 2020 and December 31, 2019. Other borrowings are borrowings as a result of sold loans that do not qualify for sale accounting. These agreements are recorded as financing transactions as the Bank maintains effective control over the transferred loans. The dollar amount of the loans underlying the sale agreements continues to be carried in the Bank’s loan portfolio, and the transfer is reported as a secured borrowing with pledge of collateral. At June 30, 2020 and December 31, 2019, the amounts of these borrowings was $0.8 million. Also included in other borrowings is the financing lease for our full service banking location in Manitowoc, Wisconsin. This branch location was owned by the Bank, and was sold to a third party in March 2020. The Bank is leasing back a portion of the building for its full service branch. Under the terms of the current lease which began on March 2, 2020, the Company is obligated to pay monthly rent of $16 thousand with an initial lease term of ten years with two renewal options of five years each. As of June 30, 2020, the liability remaining under the financing lease was $1.4 million. There was no financing lease obligation as of December 31, 2019. During the second quarter of 2020, the Company largely funded the Small Business Administration’s Paycheck Protection Program (“PPP”) loans through the Federal Reserve’s PPP Liquidity Facility, which allowed for 12-month advances collateralized by PPP loans at an interest rate of 0.35%. The balance of these advances was $99.7 million at June 30, 2020. The following table sets forth information concerning balances and interest rates on other borrowings as of and for the periods indicated: June 30, December 31, 2020 2019 (dollars in thousands) Balance outstanding at end of period $ 101,847 $ 794 Average amount outstanding during the period 66,910 800 Maximum amount outstanding at any month end 101,860 1,412 Weighted average interest rate during the period 0.42 % 4.60 % Weighted average interest rate at end of period 2.65 % 4.51 % |
SUBORDINATED DEBENTURES
SUBORDINATED DEBENTURES | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
SUBORDINATED DEBENTURES | NOTE 9 — SUBORDINATED DEBENTURES In September 2005 and June 2006, the Company formed wholly owned subsidiary business trusts, County Bancorp Statutory Trust II (“Trust II”) and County Bancorp Statutory Trust III (“Trust III”) (together, the “Trusts”), which are both Delaware statutory trusts, for the purpose of issuing capital securities which qualify as Tier 1 capital of the Company. Trust II issued at par $6.0 million of floating rate capital securities in an exempt offering. The capital securities are nonvoting, mandatorily redeemable in 2035, and guaranteed by the Company. Trust III issued at par $6.0 million of floating rate capital securities in an exempt offering. The capital securities are nonvoting, mandatorily redeemable in 2036, and guaranteed by the Company. The capital securities carry an interest rate identical to that of the related debentures. For Trust II, holders of capital securities are entitled to receive cumulative cash distributions at a rate based on the three month LIBOR plus 1.53% thereafter through maturity, which was 1.84% and 3.44% as of June 30, 2020 and December 31, 2019, respectively. For Trust III, holders of capital securities are entitled to receive cumulative cash distributions at a rate based on the three month LIBOR plus 1.69% through maturity, which was 2.00% and 3.60% as of June 30, 2020 and December 31, 2019, respectively. Interest was current through the most recent interest payment date of June 15, 2020. The distribution rate payable on the capital securities is cumulative and payable quarterly in arrears. The Company owns all of the outstanding common securities of Trust II and Trust III. The Trusts used the proceeds from the issuance of their capital securities to buy floating rate junior subordinated deferrable interest debentures (“debentures”) issued by the Company. These debentures are the Trusts’ only assets, and interest payments from these debentures finance the distributions paid on the capital securities. These debentures are unsecured, rank junior, and are subordinate in the right of payment to all senior debt of the Company. The Company has the right, subject to events of default, to defer payments of interest on the debentures at any time by extending the interest payment period for a period not exceeding 20 consecutive quarters with respect to each deferral period, provided that no extension period may extend beyond the redemption or maturity dates of the debentures. The capital securities are subject to mandatory redemption upon payment of the debentures. The debentures issued to Trust II and Trust III mature on September 15, 2035 and June 15, 2036, respectively, and may be redeemed if certain conditions are met or at any time within 180 days following the occurrence and continuation of certain changes in either tax treatment or the capital treatment of Trust II and Trust III, the debentures, or the capital securities. If the debentures are redeemed before they mature, the redemption price will be the principal amount plus any accrued but unpaid interest. The capital securities of Trust II and Trust III have been structured to qualify as Tier 1 capital for regulatory purposes. However, the securities cannot be used to constitute more than 25 percent of the Company’s “core” Tier 1 capital according to regulatory requirements. The Company utilized the proceeds of the Trust II issuances for general corporate purposes and Trust III issuances to redeem the securities of County Bancorp Statutory Trust I. In connection with the merger with Fox River Valley, the Company also acquired all of the common securities of Fox River Valley’s wholly-owned subsidiary, Fox River Valley Capital Trust I, a Delaware statutory trust (the “FRV Trust I”), which issued capital securities that qualify for Tier I capital of the Company. The Company assumed the $3.6 million of floating rate, junior subordinated debentures, of which the Company owns $0.1 million. The capital securities are non-voting, mandatorily redeemable in 2033 and guaranteed by the Company. The distribution rate payable on the debentures is cumulative and payable quarterly in arrears. The Company has the right, subject to events of default, to defer payments of interest on the debentures at any time by extending the interest payment period not exceeding 20 consecutive quarters with respect to each deferral period, provided that no extension period may extend beyond the redemption or maturity date of the debentures. Interest was current through the most recent interest payment date of May 28, 2020. The FRV Trust I may redeem some or all of the capital securities, at par, with 30 days advance notice, on or after November 30, 2008, but only on May 30 or November 30 of any given year, and only in a minimum amount of $500,000 and in increments of $10,000 thereafter, or the full amount of the capital securities. The FRV Trust I may redeem all of the capital securities at any time upon the occurrence and during the continuation of a Tax Event, an Investment Company Event or a Capital Treatment Event (each as defined in the trust agreement for the FRV Trust I), at any time within 90 days following such event. The FRV Trust I debentures carry an interest rate equal to 5-year LIBOR plus 3.40%, which resets every five years. The current rate is equal to 6.40% through November 30, 2023. Interest payments are due quarterly. On May 30, 2018, the Company entered into a Subordinated Note Purchase Agreement with certain institutional investors pursuant to which the Company sold and issued $30.0 million in aggregate principal amount of its 5.875% fixed-to-floating rate subordinated notes due 2028 (the “Notes”). The Notes were issued by the Company to the purchasers at a price equal to 100% of their face amount. The Notes have a stated maturity of June 1, 2028, are redeemable, in whole or in part, on or after June 1, 2023, and at any time upon the occurrences of certain events. The Notes will bear interest at a fixed rate of 5.875% per year, from and including May 30, 2018 to, but excluding, June 1, 2023. From and including June 1, 2023 to, but excluding, the maturity date or early redemption date, the interest rate will reset quarterly at a variable rate equal to the then current 3-month LIBOR plus 2.88%. The notes qualify as Tier II capital of the Company. The Company incurred $0.9 million of costs related to the issuance of the Notes. These costs have been capitalized are being amortized over the life of the Notes. On June 30, 2020, the Company entered into a Subordinated Note Purchase Agreement with certain institutional or accredited investors pursuant to which the Company sold and issued $17.4 million in aggregate principal amount of its 7.00% fixed-to-floating rate subordinated notes due 2030 (the “2030 Notes”). The 2030 Notes were issued by the Company to the purchasers at a price equal to 100% of their face amount. The 2030 Notes have a stated maturity of June 30, 2030, are redeemable, in whole or in part, on or after June 30, 2025, and at any time upon the occurrences of certain events. The 2030 Notes will bear interest at a fixed rate of 7.00% per year, from and including June 30, 2020 to, but excluding, June 30, 2025. From and including June 30, 2025 to, but excluding, the maturity date or early redemption date, the interest rate will reset quarterly at a variable rate equal to the then current three-month term secured overnight financing rate (SOFR) plus 687.5 basis points. The 2030 Notes qualify as Tier II capital of the Company. The Company incurred $0.5 million of costs related to the issuance of the 2030 Notes. These costs have been capitalized and are being amortized over the call date of the 2030 Notes. On July 21, 2020, the Company entered into a Subordinated Note Purchase Agreement with an accredited investor (the “Purchaser”) pursuant to which the Company sold and issued $5.0 million in principal amount of a 7.00% fixed-to-floating rate subordinated note due June 30, 2030 (the “Note”). The Note was issued by the Company to the Purchaser at a price equal to 100% of its face amount. The Note has a stated maturity of June 30, 2030, is redeemable by the Company at its option, in whole or in part, after July 21, 2025, and at any time upon the occurrences of certain events. The Note will bear interest at a fixed rate of 7.00% per year, from and including July 21, 2020 to, but excluding, June 30, 2025. From and including June 30, 2025 to, but excluding the maturity date or early redemption date, the interest rate will reset quarterly at a variable rate equal to the then current three-month term SOFR plus 687.5 basis points . |
EQUITY INCENTIVE PLAN
EQUITY INCENTIVE PLAN | 6 Months Ended |
Jun. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
EQUITY INCENTIVE PLAN | NOTE 10 – EQUITY INCENTIVE PLAN Under the Company’s 2016 Long Term Incentive Plan (the “Plan”), the Company may grant options to purchase shares of common stock and issue restricted stock to its directors, officers, and employees. Both qualified and non-qualified stock options and restricted stock may be granted and issued, respectively, under the Plan. As of June 30, 2020, 60,974 options or shares of restricted stock remained available under the Plan. The exercise price of each option equals the market price of the Company’s stock on the date of grant and an option’s maximum term is ten years. Vesting periods range from one to five years from the date of grant. The restricted stock vesting periods range from one to five years from the date of issuance The status of the Plan as of June 30, 2020 and changes in the Plan during the six months ended June 30, 2020 were as follows: June 30, 2020 Number of Options Weighted-Average Exercise Price Aggregate Intrinsic Value (1) (dollars in thousands except option and per share data) Outstanding, beginning of year 214,904 $ 18.94 Granted 54,746 19.51 Exercised (14,590 ) 13.38 Forfeited/expired — — Outstanding, end of period 255,060 $ 19.38 $ 677 Options exercisable at period-end 162,623 $ 18.82 $ 493 Weighted-average fair value of options granted during the period (2) $ 6.01 (1) The aggregate intrinsic value of a stock option in the table above represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on June 30, 2020. This amount changes based on changes in the market value of the Company’s stock. (2) The fair value (present value of the estimated future benefit to the option holder) of each option grant is estimated on the date of grant using the Black-Scholes option pricing model. Activity in restricted stock awards and restricted stock units for the six months ended June 30, 2020 was as follows: June 30, 2020 Restricted Stock Awards (1) Weighted Average Grant Price Outstanding, beginning of year 20,668 $ 21.86 Granted — — Vested (14,369 ) 20.57 Forfeited/expired — — Outstanding, end of period 6,299 $ 24.80 June 30, 2020 Restricted Stock Units Weighted Average Grant Price Outstanding, beginning of year 32,125 $ 19.80 Granted 43,725 18.66 Vested (14,615 ) 19.37 Forfeited/expired — — Outstanding, end of period 61,235 $ 19.07 Restricted shares vested not yet issued, end of period 5,257 $ 25.39 (1) The beginning of year amounts have been reclassified to include restricted stock awards and units for individuals that have reached retirement age as defined by the Plan. Previously, these units were considered vested and removed from the schedule; however the Plan only accelerates the vesting of these options if the participant leaves employment. For the three months ended June 30, 2020 and 2019, share-based compensation expense, including options and restricted stock awards and units, applicable to the Plan was $0.3 million and $0.2 million, respectively. For the six months ended June 30, 2020 and 2019, share-based compensation expense, including options and restricted stock awards and units, applicable to the Plan was $0.5 million and $0.3 million, respectively. As of June 30, 2020, unrecognized share-based compensation expense related to nonvested share-based compensation instruments amounted to $1.1 million and is expected to be recognized over a weighted average period of 2.05 years. |
REGULATORY MATTERS
REGULATORY MATTERS | 6 Months Ended |
Jun. 30, 2020 | |
Regulatory Capital Requirements [Abstract] | |
REGULATORY MATTERS | NOTE 11 – REGULATORY MATTERS The Company (on a consolidated basis) and Bank are each subject to various regulatory capital requirements administered by the federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s and Bank’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action (applicable only to the Bank), the Company and Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities, and certain off-balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Prompt corrective action provisions are not applicable to bank holding companies. Quantitative measures established by regulation to ensure capital adequacy require the Company and Bank to maintain minimum amounts and ratios (set forth in the following table) of Total and Tier 1 capital (as defined in the regulations) to risk-weighted assets (as defined in the regulations), of Tier 1 capital (as defined in the regulations) to average assets (as defined in the regulations), and of Tier 1 Common Equity (as defined in the regulations) to risk-weighted assets. Management believed, as of June 30, 2020 and December 31, 2019, that the Company and the Bank met all capital adequacy requirements to which they were subject. As of June 30, 2020, the Bank’s capital ratios met those required to be considered as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized, the Bank must maintain minimum total risk-based, Tier 1 risk-based, Tier 1 Common Equity risk-based, and Tier 1 leverage ratios as set forth in the following table. The Company and Bank’s actual capital amounts and ratios are presented in the following table: Actual Minimum For Capital Adequacy Purposes: Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions: Amount Ratio Amount Ratio Amount Ratio (dollars in thousands) June 30, 2020 Total Capital (to risk weighted assets): Consolidated $ 237,743 20.42 % $ 122,222 10.50 % Not applicable 10.00 % Bank 207,319 17.88 % 121,773 10.50 % $ 115,974 10.00 % Tier 1 Capital (to risk weighted assets): Consolidated 176,966 15.20 % $ 98,942 8.50 % Not applicable 8.00 % Bank 192,772 16.62 % 98,578 8.50 % 92,779 8.00 % Tier 1 Capital (to average assets): Consolidated 176,966 12.69 % 55,795 4.00 % Not applicable 5.00 % Bank 192,772 13.88 % 55,538 4.00 % 69,423 5.00 % Tier 1 Common Equity Ratio (to risk weighted assets): Consolidated 176,966 15.20 % $ 81,482 7.00 % Not applicable 6.50 % Bank 192,772 16.62 % 81,182 7.00 % 75,383 6.50 % December 31, 2019 Total Capital (to risk weighted assets): Consolidated $ 225,094 19.41 % $ 121,746 10.500 % Not applicable Bank 216,198 18.70 % 121,396 10.500 % $ 115,615 10.00 % Tier 1 Capital (to risk weighted assets): Consolidated 180,620 15.58 % 98,557 8.500 % Not applicable Bank 201,735 17.45 % 98,273 8.500 % 92,492 8.00 % Tier 1 Capital (to average assets): Consolidated 180,620 12.42 % 58,182 4.00 % Not applicable Bank 201,735 14.68 % 54,962 4.00 % 68,702 5.00 % Tier 1 Common Equity Ratio (to risk weighted assets): Consolidated 156,969 13.54 % 81,164 7.000 % Not applicable Bank 201,735 17.45 % 80,930 7.000 % 75,150 6.50 % The Basel III Rule implemented a capital conservation buffer, equal to 2.5% of Tier 1 Common Equity, which is added to the minimum requirements for capital adequacy purposes. As of June 30, 2020 and December 31, 2019, the ratios for the Company and the Bank exceeded the 2.5% capital conservation buffer. Failure to exceed the capital conservation buffer would result in limitations on certain capital distributions, including dividend payments, and certain discretionary bonus payment to executive officers. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENTS | NOTE 12 – FAIR VALUE MEASUREMENTS ASC 820-10 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability is not adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are independent, knowledgeable, and both able and willing to transact. ASC 820-10 requires the use of valuation techniques that are consistent with the market approach, the income approach, and/or the cost approach. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets and liabilities. The income approach uses valuation techniques to convert future amounts, such as cash flows or earnings, to a single present amount on a discounted basis. The cost approach is based on the amount that currently would be required to replace the service capacity of an asset (replacement cost). Valuation techniques should be consistently applied. Inputs to valuation techniques refer to the assumptions that market participants would use in pricing the asset or liability. Inputs may be observable or unobservable. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources. Unobservable inputs reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. In that regard, ASC 820-10 establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: Level 1—Valuation is based on quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 1 assets and liabilities generally include debt and equity securities that are traded in an active exchange market. Valuations are obtained from readily available pricing sources for market transactions involving identical assets or liabilities. Level 2—Valuation is based on inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. The valuation may be based on quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability. Level 3—Valuation is based on unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as instruments for which determination of fair value requires significant management judgment or estimation. A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The following methods and assumptions were used by the Company in estimating the fair value disclosures for financial instruments recorded at fair value on a recurring basis: Securities Available-for-Sale Where quoted prices are available in an active market, the Company classifies the securities within Level 1 of the valuation hierarchy. Securities are defined as both long and short positions. Level 1 securities include highly liquid government bonds and exchange-traded equities. If quoted market prices are not available, the Company estimates fair values using pricing models and discounted cash flows that consider standard input factors such as observable market data, benchmark yields, interest rate volatilities, broker/dealer quotes and credit spreads. Examples of such instruments, which would generally be classified within Level 2 of the valuation hierarchy, include U.S. government and agency securities, corporate bonds and other securities. Mortgage-backed securities are included in Level 2 if observable inputs are available. In certain cases where there is limited activity or less transparency around inputs to the valuation, the Company classifies those securities in Level 3. Loan Servicing Rights The Company’s loan servicing rights do not trade in an active, open market with readily observable prices. Accordingly, fair value is estimated using discounted cash flow models having significant inputs of discount rate, prepayment speed, and default rate. Due to the nature of the valuation inputs, loan servicing rights are classified in Level 3 of the valuation hierarchy. Derivative Instruments The Company's derivative instruments consist of interest rate swaps, which are accounted for as cash flow hedges. The Company's derivative positions are classified within Level 2 of the fair value hierarchy and are valued using models generally accepted in the financial services industry and that use actively quoted or observable market input values from external market data providers and/or non-binding broker-dealer quotations. The fair value of the derivatives is determined using discounted cash flow models. These models’ key assumptions include the contractual terms of the respective contract along with significant observable inputs, including interest rates, yield curves, nonperformance risk and volatility. Assets and liabilities measured at fair value on a recurring basis are summarized below: Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (dollars in thousands) June 30, 2020 Securities available for sale: U.S. government and agency securities $ — $ 15,603 $ — $ 15,603 Asset backed securities — 16,566 — 16,566 Municipal securities — 51,640 — 51,640 Mortgage-backed securities — 143,162 — 143,162 Loan servicing rights (1) — — 16,486 16,486 Total assets at fair value $ — $ 226,971 $ 16,486 $ 243,457 Derivative instruments, interest rate swaps — 2,226 — 2,226 Total liabilities at fair value $ — $ 2,226 $ — $ 2,226 December 31, 2019 Securities available for sale: U.S. government and agency securities $ — $ 3,458 $ — $ 3,458 U.S. treasury Securities — 2,506 — 2,506 Mortgage-backed securities — 152,769 — 152,769 Total assets at fair value $ — $ 158,733 $ — $ 158,733 Derivative instruments, interest rate swaps — 972 — 972 Total liabilities at fair value $ — $ 972 $ — $ 972 (1) See Note 5 for a rollforward of recurring Level 3 fair values for servicing assets. Certain assets are measured at fair value on a nonrecurring basis; that is, they are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). The following table presents the financial instruments carried on the consolidated balance sheet by caption and by level in the fair value hierarchy for which a nonrecurring change in fair value has been recorded: Level 1 Inputs Level 2 Inputs Level 3 Inputs (dollars in thousands) June 30, 2020 Impaired loans $ — $ — $ 47,138 Other real estate owned — — 2,629 Total assets at fair value $ — $ — $ 49,767 December 31, 2019 Impaired loans $ — $ — $ 44,657 Other real estate owned — — 5,521 Total assets at fair value $ — $ — $ 50,178 The significant inputs used in the fair value measurements for Level 3 assets measured at fair value on a nonrecurring basis were as follows: June 30, 2020 Valuation Techniques Unobservable Inputs Range (Average) Impaired loans Evaluation of collateral Estimation of value NM* Other real estate owned Appraisal Appraisal adjustment 5%-64% (24%) December 31, 2019 Valuation Techniques Unobservable Inputs Range (Average) Impaired loans Evaluation of collateral Estimation of value NM* Other real estate owned Appraisal Appraisal adjustment 5%-64% (29%) * Not Meaningful. The estimated fair values, and related carrying or notional amounts, of the Company’s financial instruments were as follows: June 30, December 31, 2020 2019 Carrying Amount Fair Value Carrying Amount Fair Value Input Level (dollars in thousands) Financial assets: Cash and cash equivalents $ 127,016 $ 127,016 $ 108,457 $ 108,457 1 Interest earning cash at other financial institutions 416 416 20,554 20,554 1 FHLB Stock 5,758 5,758 1,628 1,628 2 Securities available for sale 226,971 226,971 158,733 158,733 2 Loans, net of allowance for loan losses 1,068,955 1,080,610 1,020,506 1,024,062 3 Loans held for sale 11,847 11,847 2,151 2,151 3 Accrued interest receivable 3,222 3,222 2,571 2,571 2 Loan servicing rights 16,486 16,486 12,509 15,921 3 Financial liabilities: Deposits: Time 525,982 526,560 640,925 635,558 2 Other deposits 547,071 547,071 460,517 460,517 1 Other borrowings 101,847 101,847 794 794 3 Advances from FHLB 93,400 94,926 44,400 44,578 2 Subordinated debentures 61,910 61,910 44,858 44,858 3 Accrued interest payable 3,101 3,101 4,769 4,769 2 Derivative instruments, interest rate swaps 2,226 2,226 972 972 2 |
OTHER REAL ESTATE OWNED
OTHER REAL ESTATE OWNED | 6 Months Ended |
Jun. 30, 2020 | |
Real Estate Owned Disclosure Of Detailed Components [Abstract] | |
OTHER REAL ESTATE OWNED | NOTE 13 – OTHER REAL ESTATE OWNED Changes in other real estate owned were as follows: For the Three Months Ended For the Six Months Ended June 30, June 30, 2020 2019 2020 2019 (dollars in thousands) Balance, beginning of period $ 3,247 $ 5,019 $ 5,521 $ 6,568 Assets foreclosed — 4,145 — 5,292 Write-down of other real estate owned — (250 ) (1,360 ) (250 ) Net gain (loss) on sales of other real estate owned — (9 ) (4 ) 127 Proceeds from sale of other real estate owned (618 ) (212 ) (1,528 ) (3,044 ) Balance, end of period $ 2,629 $ 8,693 $ 2,629 $ 8,693 Expenses applicable to other real estate owned included in non-interest expense included the following: For the Three Months Ended For the Six Months Ended June 30, June 30, 2020 2019 2020 2019 (dollars in thousands) Net gain (loss) on sales of other real estate owned $ — $ (9 ) $ (4 ) $ 127 Write-down of other real estate owned — (250 ) (1,360 ) (250 ) Operating expenses, net of rental income (50 ) (85 ) (166 ) (110 ) $ (50 ) $ (344 ) $ (1,530 ) $ (233 ) |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 6 Months Ended |
Jun. 30, 2020 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | NOTE 14 – DERIVATIVE FINANCIAL INSTRUMENTS On June 15, 2018, the Company executed an interest rate swap to manage interest rate risk on two sets of its trust preferred securities. This derivative contract involves the receipt of floating rate interest from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreement, without the exchange of the underlying notional value. This instrument is designated as a cash flow hedge as the receipt of floating rate interest from the counterparty is used to manage interest rate risk associated with three month LIBOR advances. The change in the fair value of this hedging instrument is recorded in accumulated other comprehensive income and is subsequently reclassified into earnings in the period that the hedged transaction affects earnings. The Company had two outstanding interest rate swaps designated as a cash flow hedge each with an aggregate notional value of $6.0 million at June 30, 2020 and December 31, 2019. Both interest rate swaps mature on June 15, 2028. A pre-tax unrealized loss of $1.3 and $1.1 million was recognized in accumulated other comprehensive income for the six months ended June 30, 2020 and 2019, respectively and there was no ineffective portion of this hedge. The Company is exposed to credit risk in the event of nonperformance by the interest rate swaps counterparty. The Company minimizes this risk by entering into derivative contracts with only large, stable financial institutions, and the Company has not experienced, and does not expect, any losses from counterparty nonperformance on the interest rate swaps. The Company monitors counterparty risk in accordance with the provisions of FASB ASC 815. In addition, the interest rate swap agreements contain language outlining collateral-pledging requirements for each counterparty. Collateral must be posted when the market value exceeds certain threshold limits. Derivative contracts are executed with a Credit Support Annex, which is a bilateral ratings-sensitive agreement that requires collateral postings at established credit threshold levels. These agreements protect the interests of the Company and its counterparties should either party suffer a credit rating deterioration. The Company was required to pledge $2.4 million of cash as collateral to the counterparty as of June 30, 2020. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2020 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | NOTE 15 – SUBSEQUENT EVENTS Management evaluated subsequent events through the date the financial statements were issued. On July 21, 2020, the Company sold an additional $5.0 million of subordinated notes. See Note 9 —Subordinated Debentures for additional information. There were other no significant events or transactions occurring after June 30, 2020, but prior to August 7, 2020, that provided additional evidence about conditions that existed at June 30, 2020. |
BASIS OF PRESENTATION (Policies
BASIS OF PRESENTATION (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Accounting Policies [Abstract] | |
New Accounting Pronouncements | New Accounting Pronouncements On March 27, 2020, the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) was signed into law. Section 4013 of the CARES Act allows financial institutions to elect to suspend troubled debt restructuring accounting under certain circumstances when the temporary restructuring is related to the Coronavirus Disease 2019 (COVID-19) pandemic. The Company has elected to implement Section 4013, and for the three months and six months ended June 30, 2020, the Company has processed 184 requests with loan balances totaling $200.7 million. In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848) In June 2016, the Financial Accounting Standards Board (the “FASB”) issued ASU No. 2016-13, Financial Instruments – Credit Losses In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820) – Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement financial statements. The amendments on changes in unrealized gains and losses, the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and the narrative description of measurement uncertainty should be applied prospectively for only the most recent interim or annual period presented in the initial fiscal year of adoption. All other amendments should be applied retrospectively to all periods presented upon their effective date. The amendment became effective on January 1, 2020, and the adoption did not have a material effect on the Company’s financial statements . Change in Accounting Principle As of January 1, 2020, the Company elected to make an accounting principle change for the valuation of the loan servicing assets from amortized cost to fair market value. Under the amortized cost method, servicing rights were amortized in proportion to and over the period of estimated net servicing income. The amortized cost of these assets was assessed for impairment at each reporting date. Under the fair market value method, the value of the asset is based on market prices for comparable servicing contracts, when available, or alternatively, is based on a valuation model that calculates the present value of estimated future net servicing income. The valuation model incorporates assumptions that market participants would use in estimating future net servicing income, such as the discount rate, the custodial earnings rate, prepayment speeds and default rates and losses. We believe that the fair value method is the preferred method of presenting these assets and is more widely recognized by current and potential investors. These assets represent the value of future net revenue streams. Updating the estimate of these cash flow streams based on both observable and unobservable trends and inputs at each reporting period provides meaningful changes to the economic value to shareholders. The amortized cost approach requires a periodic impairment test; however, it does not provide any transparency if the portfolio, or certain tranches within the portfolio, have significant increases in value. Therefore, the fair value method provides a balanced, measurement policy for the benefit of the investing public. As a result of this accounting principle change, servicing assets increased by $3.4 million and deferred tax assets decreased by $0.9 million. The adoption of the change was recorded through a cumulative effect adjustment to retained earnings as of January 1, 2020, of $2.5 million. All future adjustments to fair value will be reflected in the income statement. |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Earnings Per Share | Earnings per common share is computed using the two-class method. Basic earnings per common share is computed by dividing net income by the weighted-average number of common shares outstanding during the applicable period. Diluted earnings per share is computed using the weighted-average number of shares determined for the basic earnings per common share plus the dilutive effect of share-based compensation using the treasury stock method. For the Three Months Ended For the Six Months Ended June 30, June 30, 2020 2019 2020 2019 (dollars in thousands) Net income (loss) from continuing operations $ 2,733 $ 3,704 $ (2,454 ) $ 7,466 Less: preferred stock dividends 99 118 207 235 Income (loss) available to common shareholders for basic earnings per common share $ 2,634 $ 3,586 $ (2,661 ) $ 7,231 Weighted average number of common shares issued 7,198,901 7,159,072 7,190,923 7,156,139 Less: weighted average treasury shares 759,294 443,920 639,017 443,825 Plus: weighted average of participating restricted stock units 65,291 30,483 52,281 23,411 Weighted average number of common shares and participating securities outstanding 6,504,898 6,745,635 6,604,187 6,735,725 Effect of dilutive options 28,511 20,731 39,548 21,170 Weighted average number of common shares outstanding used to calculate diluted earnings per common share 6,533,409 6,766,366 6,643,735 6,756,895 Weighted average of anti-dilutive options 62,313 133,147 55,764 131,729 |
SECURITIES AVAILABLE-FOR-SALE (
SECURITIES AVAILABLE-FOR-SALE (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Investments Debt And Equity Securities [Abstract] | |
Schedule of Amortized Cost and Fair Value of Available-for-Sale of Securities | The amortized cost and fair value of securities available-for-sale as of June 30, 2020 and December 31, 2019 were as follows: Amortized Unrealized Unrealized Fair Cost Gains Losses Value (dollars in thousands) June 30, 2020 U.S. government and agency securities $ 15,817 $ — $ (214 ) $ 15,603 Asset-backed securities 17,082 — (516 ) 16,566 Municipal securities 48,460 3,180 — 51,640 Mortgage-backed securities 133,608 9,570 (16 ) 143,162 $ 214,967 $ 12,750 $ (746 ) $ 226,971 December 31, 2019 U.S. government and agency securities $ 3,490 $ — $ (32 ) $ 3,458 U.S. treasury securities 2,499 7 — 2,506 Mortgage-backed securities 149,302 3,633 (166 ) 152,769 $ 155,291 $ 3,640 $ (198 ) $ 158,733 |
Schedule of Amortized Cost and Fair Value of Securities Available for Sale by Contractual Maturity | The amortized cost and fair value of securities at June 30, 2020 and December 31, 2019, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Amortized Fair Cost Value (dollars in thousands) June 30, 2020 Due in one year or less $ — $ — Due from one to five years — — Due from five to ten years 17,847 17,760 Due after ten years 46,430 49,483 Asset-backed securities 17,082 16,566 Mortgage-backed securities 133,608 143,162 $ 214,967 $ 226,971 December 31, 2019 Due in one year or less $ 2,499 $ 2,506 Due from one to five years — — Due from five to ten years 3,490 3,458 Due after ten years — — Mortgage-backed securities 149,302 152,769 $ 155,291 $ 158,733 |
Schedule of Fair Value and Gross Unrealized Losses of Entity's Investment | The following table shows the gross unrealized losses and fair value of the Company’s investments with unrealized losses that are not deemed to be other-than-temorarily impaired, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position at June 30, 2020 and December 31, 2019: Less Than 12 Months 12 Months or Greater Total Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (dollars in thousands) June 30, 2020 U.S. government and agency securities $ 13,035 $ (184 ) $ 2,568 $ (30 ) $ 15,603 $ (214 ) Asset-backed securities 16,566 (516 ) — — 16,566 (516 ) Mortgage-backed securities — — 5,956 (16 ) 5,956 (16 ) $ 29,601 $ (700 ) $ 8,524 $ (46 ) $ 38,125 $ (746 ) December 31, 2019 U.S. government and agency securities $ — $ — $ 3,458 $ (32 ) $ 3,458 $ (32 ) Mortgage-backed securities 9,873 (41 ) 11,867 (125 ) 21,740 (166 ) $ 9,873 $ (41 ) $ 15,325 $ (157 ) $ 25,198 $ (198 ) |
LOANS (Tables)
LOANS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Receivables [Abstract] | |
Components of Loans | The components of loans were as follows: June 30, December 31, 2020 2019 (dollars in thousands) Agricultural loans $ 624,339 $ 659,725 Commercial real estate loans 247,149 235,936 Commercial loans 184,537 95,787 Residential real estate loans 31,414 43,958 Installment and consumer other 85 367 Total gross loans 1,087,524 1,035,773 Allowance for loan losses (18,569 ) (15,267 ) Net loans $ 1,068,955 $ 1,020,506 |
Changes in Allowance for Loan Losses by Portfolio Segment | Changes in the allowance for loan losses by portfolio segment for the three and six months ended June 30, 2020 and 2019 were as follows: Agricultural Commercial Real Estate Commercial Residential Real Estate Installment and Consumer Other Total (dollars in thousands) For the Three Months Ended June 30, 2020 Balance, beginning of period $ 12,685 $ 2,577 $ 2,173 $ 112 $ — $ 17,547 Provision for loan losses (38 ) 1,281 (75 ) (27 ) 1 1,142 Loans charged off — — (144 ) — — (144 ) Recoveries 23 1 — — — 24 Balance, end of period $ 12,670 $ 3,859 $ 1,954 $ 85 $ 1 $ 18,569 For the Six Months Ended June 30, 2020 Balance, beginning of year $ 11,737 $ 1,913 $ 1,599 $ 15 $ 3 $ 15,267 Provision for loan losses 910 1,884 498 70 (2 ) 3,360 Loans charged off — — (144 ) — — (144 ) Recoveries 23 62 1 — — 86 Balance, end of period $ 12,670 $ 3,859 $ 1,954 $ 85 $ 1 $ 18,569 For the Three Months Ended June 30, 2019 Balance, beginning of period $ 12,123 $ 4,152 $ 1,201 $ 16 $ 1 $ 17,493 Provision for loan losses 1,509 (1,003 ) 367 3 — 876 Loans charged off — (2,234 ) (960 ) — — (3,194 ) Recoveries 15 967 101 — — 1,083 Balance, end of period $ 13,647 $ 1,882 $ 709 $ 19 $ 1 $ 16,258 For the Six Months Ended June 30, 2019 Balance, beginning of year $ 12,258 $ 2,779 $ 1,414 $ 53 $ 1 $ 16,505 Provision for loan losses 1,374 135 153 (34 ) — 1,628 Loans charged off — (2,624 ) (960 ) — — (3,584 ) Recoveries 15 1,592 102 — — 1,709 Balance, end of period $ 13,647 $ 1,882 $ 709 $ 19 $ 1 $ 16,258 |
Balances in Allowance for Loan Losses and Recorded Balance in Loans by Portfolio Segment and Based on Impairment Method | The following tables present the balances in the allowance for loan losses and the recorded balance in loans by portfolio segment and based on impairment method as of June 30, 2020 and December 31, 2019: June 30, 2020 Individually Evaluated for Impairment Collectively Evaluated for Impairment Total (dollars in thousands) Allowance for loan losses: Agricultural loans $ 3,826 $ 8,844 $ 12,670 Commercial real estate loans 2,471 1,388 3,859 Commercial loans 1,226 728 1,954 Residential real estate loans — 85 85 Installment and consumer other — 1 1 Total ending allowance for loan losses 7,523 11,046 18,569 Loans: Agricultural loans 58,895 565,444 624,339 Commercial real estate loans 9,351 237,798 247,149 Commercial loans 2,882 181,655 184,537 Residential real estate loans 60 31,354 31,414 Installment and consumer other — 85 85 Total loans 71,188 1,016,336 1,087,524 Net loans $ 63,665 $ 1,005,290 $ 1,068,955 December 31, 2019 Individually Evaluated for Impairment Collectively Evaluated for Impairment Total (dollars in thousands) Allowance for loan losses: Agricultural loans $ 3,515 $ 8,222 $ 11,737 Commercial real estate loans 836 1,077 1,913 Commercial loans 1,238 361 1,599 Residential real estate loans — 15 15 Installment and consumer other — 3 3 Total ending allowance for loan losses 5,589 9,678 15,267 Loans: Agricultural loans 58,833 600,892 659,725 Commercial real estate loans 3,682 232,254 235,936 Commercial loans 1,862 93,925 95,787 Residential real estate loans 62 43,896 43,958 Installment and consumer other — 367 367 Total loans 64,439 971,334 1,035,773 Net loans $ 58,850 $ 961,656 $ 1,020,506 |
Schedule of Loans Individually Evaluated for Impairment | The following tables present loans individually evaluated for impairment by class of loans at June 30, 2020 and December 31, 2019: June 30, 2020 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated (dollars in thousands) With no related allowance: Agricultural loans $ 15,059 $ 14,977 $ — Commercial real estate loans 288 288 — Commercial loans 1,229 1,202 — Residential real estate loans — 60 — $ 16,576 $ 16,527 $ — With an allowance recorded: Agricultural loans $ 47,209 $ 43,918 $ 3,826 Commercial real estate loans 9,132 9,063 2,471 Commercial loans 1,733 1,680 1,226 Residential real estate loans — — — $ 58,074 $ 54,661 $ 7,523 Total $ 74,650 $ 71,188 $ 7,523 December 31, 2019 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated (dollars in thousands) With no related allowance: Agricultural loans $ 14,151 $ 14,131 $ — Commercial real estate loans — — — Commercial loans — — — Residential real estate loans 62 62 — $ 14,213 $ 14,193 $ — With an allowance recorded: Agricultural loans $ 47,225 $ 44,702 $ 3,515 Commercial real estate loans 3,681 3,682 836 Commercial loans 2,155 1,862 1,238 Residential real estate loans — — — $ 53,061 $ 50,246 $ 5,589 Total $ 67,274 $ 64,439 $ 5,589 |
Schedule of Aging of Recorded Investment in Past Due Loans | The following table presents the aging of the recorded investment in past due loans at June 30, 2020 and December 31, 2019: 30-59 Days Past Due 60-89 Days Past Due 90+ Days Past Due Total Past Due Loans Not Past Due Total Loans (dollars in thousands) June 30, 2020 Agricultural loans $ 2,736 $ — $ 6,633 $ 9,369 $ 614,970 $ 624,339 Commercial real estate loans — — 361 361 246,788 247,149 Commercial loans 43 — 107 150 184,387 184,537 Residential real estate loans — — 60 60 31,354 31,414 Installment and consumer other — — — — 85 85 Total $ 2,779 $ — $ 7,161 $ 9,940 $ 1,077,584 $ 1,087,524 December 31, 2019 Agricultural loans $ 1,489 $ 71 $ 4,974 $ 6,534 $ 653,191 $ 659,725 Commercial real estate loans — 288 - 288 235,648 235,936 Commercial loans — 28 228 256 95,531 95,787 Residential real estate loans — — 62 62 43,896 43,958 Installment and consumer other — — — — 367 367 Total $ 1,489 $ 387 $ 5,264 $ 7,140 $ 1,028,633 $ 1,035,773 |
Recorded Investment in Nonaccrual Loans | The following table presents the recorded investment in nonaccrual loans by class of loan: June 30, December 31, 2020 2019 (dollars in thousands) Agricultural loans $ 25,398 $ 26,415 Commercial real estate loans 8,348 2,673 Commercial loans 1,650 1,818 Residential real estate loans 60 62 Total $ 35,456 $ 30,968 |
Average Recorded Investment and Interest Income Recognized on Impaired Loans by Portfolio Segment | The following tables present the average recorded investment and interest income recognized on impaired loans by portfolio segment for the three and six months ended June 30, 2020 and 2019: As of and for the Three Months Ended June 30, 2020 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized (dollars in thousands) Agricultural loans $ 62,268 $ 58,895 $ 3,826 $ 59,565 $ 1,060 Commercial real estate loans 9,420 9,351 2,471 6,496 115 Commercial loans 2,962 2,882 1,226 2,360 21 Residential real estate loans — 60 — 60 — Total $ 74,650 $ 71,188 $ 7,523 $ 68,480 $ 1,196 As of and for the Six Months Ended June 30, 2020 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized (dollars in thousands) Agricultural loans $ 62,268 $ 58,895 $ 3,826 $ 58,864 $ 2,370 Commercial real estate loans 9,420 9,351 2,471 6,517 140 Commercial loans 2,962 2,882 1,226 2,372 69 Residential real estate loans — 60 — 61 1 Total $ 74,650 $ 71,188 $ 7,523 $ 67,814 $ 2,580 As of and for the Three Months Ended June 30, 2019 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized (dollars in thousands) Agricultural loans $ 62,271 $ 59,876 $ 3,415 $ 57,064 $ 1,531 Commercial real estate loans 539 1,022 5 3,527 7 Commercial loans 1,022 532 290 834 1 Total $ 63,832 $ 61,430 $ 3,710 $ 61,425 $ 1,539 As of and for the Six Months Ended June 30, 2019 Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Allocated Average Recorded Investment Interest Income Recognized (dollars in thousands) Agricultural loans $ 62,271 $ 59,876 $ 3,415 $ 56,412 $ 2,704 Commercial real estate loans 539 1,022 5 1,530 31 Commercial loans 1,022 532 290 1,153 3 Total $ 63,832 $ 61,430 $ 3,710 $ 59,095 $ 2,738 |
TDRs and Related Allowance for Loan Losses by Loan Class | The following table presents the TDRs and related allowance for loan losses by loan class at June 30, 2020 and December 31, 2019 : Non-Accrual Restructured and Accruing Total Allowance for Loan Losses Allocated (dollars in thousands) June 30, 2020 Agricultural loans $ 18,672 $ 20,940 $ 39,612 $ 3,807 Commercial real estate loans — 1,002 1,002 31 Commercial loans 79 43 122 4 Total $ 18,751 $ 21,985 $ 40,736 $ 3,842 December 31, 2019 Agricultural loans $ 19,033 $ 20,731 $ 39,764 $ 3,436 Commercial real estate loans — 1,009 $ 1,009 $ 32 Commercial loans 228 44 272 60 Total $ 19,261 $ 21,784 $ 41,045 $ 3,528 The following table s provide the number of loans modified in a troubled debt restructuring investment by class for the three and six months ended June 30, 2020 and 2019: For the Three Months Ended June 30, 2020 June 30, 2019 Number of Loans Recorded Investment Number of Loans Recorded Investment (dollars in thousands) Troubled debt restructurings: Agricultural loans 6 $ 2,640 25 $ 12,125 Commercial real estate loans — — — — Commercial loans — — — — Total 6 $ 2,640 25 $ 12,125 For the Six Months Ended June 30, 2020 June 30, 2019 Number of Loans Recorded Investment Number of Loans Recorded Investment (dollars in thousands) Troubled debt restructurings: Agricultural loans 8 $ 2,872 33 $ 13,829 Commercial real estate loans — — 1 1,021 Commercial loans — — 2 1,046 Total 8 $ 2,872 36 $ 15,896 |
Summary of Troubled Debt Restructurings Grouped by Type of Concession | The following table s provide the troubled debt restructurings for the six months ended June 30, 2020 and 2019 grouped by type of concession: For the Three Months Ended June 30, 2020 June 30, 2019 Number of Loans Recorded Investment Number of Loans Recorded Investment (dollars in thousands) Agricultural loans Payment concessions 1 $ 231 4 $ 441 Term concessions — 435 2 453 Rate concessions — — 1 85 Extension of interest-only payments 2 75 17 10,994 Capitalized interest 1 153 1 152 Combination of extension of term and interest rate concessions 2 1,746 — — Total 6 $ 2,640 25 $ 12,125 For the Six Months Ended June 30, 2020 June 30, 2019 Number of Loans Recorded Investment Number of Loans Recorded Investment (dollars in thousands) Agricultural loans Payment concessions 1 $ 231 5 $ 703 Term concessions 1 484 2 453 Rate concessions — — 1 85 Extension of interest-only payments 2 75 24 12,436 Capitalized interest 1 153 1 152 Combination of extension of term and interest rate concessions 3 1,929 — — Commercial real estate loans Payment concessions — — 1 1,021 Commercial loans Combination of extension of term and interest rate concessions — — 2 1,046 Total 8 $ 2,872 36 $ 15,896 |
Risk Category of Loans by Class of Loans | Based on the most recent analysis performed by management, the risk category of loans by class of loans was as follows as of June 30, 2020 and December 31, 2019: As of June 30, 2020 Sound/ Acceptable/ Satisfactory/ Low Satisfactory Watch Special Mention Substandard Performing Substandard Impaired Total Loans (dollars in thousands) Agricultural loans $ 372,030 $ 175,072 $ 1,856 $ 44,502 $ 30,879 $ 624,339 Commercial real estate loans 221,979 14,560 — 2,261 8,349 247,149 Commercial loans 173,901 8,175 — 811 1,650 184,537 Residential real estate loans 30,950 237 — 167 60 31,414 Installment and consumer other 85 — — — — 85 Total $ 798,945 $ 198,044 $ 1,856 $ 47,741 $ 40,938 $ 1,087,524 As of December 31, 2019 (1) Sound/ Acceptable/ Satisfactory/ Low Satisfactory Watch Special Mention Substandard Performing Substandard Impaired Total Loans (dollars in thousands) Agricultural loans $ 388,184 $ 184,050 $ 9,239 $ 46,587 $ 31,665 $ 659,725 Commercial real estate loans 209,279 21,703 — 2,281 2,673 235,936 Commercial loans 83,141 10,091 — 737 1,818 95,787 Residential real estate loans 43,473 254 — 169 62 43,958 Installment and consumer other 367 — — — — 367 Total $ 724,444 $ 216,098 $ 9,239 $ 49,774 $ 36,218 $ 1,035,773 (1) Performing troubled debt restructurings have been reclassified to be reflected in their internal risk rating category rather than Substandard Impaired as previously reported. |
LOAN SERVICING RIGHTS (Tables)
LOAN SERVICING RIGHTS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Transfers And Servicing [Abstract] | |
Summary of Servicing Rights Capitalized along with the Aggregate Activity in Related Valuation Allowances | The following tables summarize servicing rights capitalized, along with the aggregate activity in related valuation allowances. The six months ended June 30, 2020 is presented at fair value, and the six months ended June 30, 2019 is presented using the amortized cost method. For the Three Months Ended June 30, 2020 (dollars in thousands) Balance at March 31, 2020 $ 16,211 Additions, net 1,041 Fair value changes: Decay due to increases in principal paydowns or runoff (727 ) Due to changes in valuation inputs or assumptions (39 ) Balance, June 30, 2020 $ 16,486 For the Six Months Ended June 30, 2020 (dollars in thousands) Balance at December 31, 2019 $ 12,509 Impact of cumulative effect of change in accounting principle 3,412 Balance at January 1, 2020 $ 15,921 Additions, net 1,546 Fair value changes: Decay due to increases in principal paydowns or runoff (992 ) Due to changes in valuation inputs or assumptions 11 Balance, June 30, 2020 $ 16,486 For the Three Months Ended For the Six Months Ended June 30, 2019 June 30, 2019 (dollars in thousands) Balance, beginning of period $ 9,275 $ 9,047 Additions related to new loans 1,320 1,941 Impairment due to prepayment (190 ) (263 ) Amortization of existing asset (1,014 ) (1,334 ) Reduction of valuation allowance 230 230 Balance, June 30, 2019 $ 9,621 $ 9,621 |
GOODWILL AND CORE DEPOSIT INT_2
GOODWILL AND CORE DEPOSIT INTANGIBLE (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Core Deposit | |
Finite Lived Intangible Assets [Line Items] | |
Core Deposit Intangible | June 30, 2020 December 31, 2019 (dollars in thousands) Core deposit intangible: Gross carrying amount $ 1,801 $ 1,801 Accumulated amortization (1,676 ) (1,576 ) Net book value $ 125 $ 225 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Deposits [Abstract] | |
Summary of Deposits | Deposits are summarized as follows at June 30, 2020 and December 31, 2019: June 30, December 31, 2020 2019 (dollars in thousands) Demand deposits $ 149,963 $ 138,489 NOW and interest checking 81,656 67,805 Savings 8,369 6,395 Money market accounts 307,083 247,828 Certificates of deposit 346,482 375,100 National time deposits 57,997 99,485 Brokered deposits 121,503 166,340 Total deposits $ 1,073,053 $ 1,101,442 |
ADVANCES FROM FHLB AND OTHER _2
ADVANCES FROM FHLB AND OTHER BORROWINGS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Advances Outstanding from FHLB | The Bank had advances outstanding from the FHLB in the amount of $93.4 million and $44.4 million on June 30, 2020 and December 31, 2019, respectively. These advances, rates, and maturities were as follows: June 30, December 31, Maturity Rate 2020 2019 (dollars in thousands) Fixed rate, fixed term 02/20/2020 1.71 % $ — $ 5,000 Fixed rate, fixed term 07/16/2020 1.85 % 800 800 Fixed rate, fixed term 08/25/2020 1.84 % 3,000 3,000 Fixed rate, fixed term 08/27/2020 1.88 % 5,000 5,000 Fixed rate, fixed term 12/30/2020 2.09 % 4,000 4,000 Fixed rate, fixed term 12/31/2020 1.94 % 600 600 Fixed rate, fixed term 04/12/2021 1.92 % 8,000 8,000 Fixed rate, fixed term 05/03/2021 0.00 % 4,000 — Fixed rate, fixed term 06/15/2021 1.39 % 5,000 5,000 Fixed rate, fixed term 08/16/2021 2.29 % 3,000 3,000 Fixed rate, fixed term 12/30/2021 2.29 % 2,000 2,000 Fixed rate, fixed term 03/18/2022 1.03 % 15,000 — Fixed rate, fixed term 03/25/2022 0.75 % 10,000 — Fixed rate, putable, no call 2 years 01/12/2023 2.03 % 8,000 8,000 Fixed rate, fixed term 03/23/2023 1.26 % 10,000 — Fixed rate, fixed term 03/27/2023 0.82 % 15,000 — $ 93,400 $ 44,400 |
Balances and Interest Rates on Other Borrowings | The following table sets forth information concerning balances and interest rates on other borrowings as of and for the periods indicated: June 30, December 31, 2020 2019 (dollars in thousands) Balance outstanding at end of period $ 101,847 $ 794 Average amount outstanding during the period 66,910 800 Maximum amount outstanding at any month end 101,860 1,412 Weighted average interest rate during the period 0.42 % 4.60 % Weighted average interest rate at end of period 2.65 % 4.51 % |
EQUITY INCENTIVE PLAN (Tables)
EQUITY INCENTIVE PLAN (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Status and Changes in Stock Option 2016 Plan | The status of the Plan as of June 30, 2020 and changes in the Plan during the six months ended June 30, 2020 were as follows: June 30, 2020 Number of Options Weighted-Average Exercise Price Aggregate Intrinsic Value (1) (dollars in thousands except option and per share data) Outstanding, beginning of year 214,904 $ 18.94 Granted 54,746 19.51 Exercised (14,590 ) 13.38 Forfeited/expired — — Outstanding, end of period 255,060 $ 19.38 $ 677 Options exercisable at period-end 162,623 $ 18.82 $ 493 Weighted-average fair value of options granted during the period (2) $ 6.01 (1) The aggregate intrinsic value of a stock option in the table above represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on June 30, 2020. This amount changes based on changes in the market value of the Company’s stock. (2) The fair value (present value of the estimated future benefit to the option holder) of each option grant is estimated on the date of grant using the Black-Scholes option pricing model. |
Activity in Restricted Stock Awards and Restricted Stock Units | Activity in restricted stock awards and restricted stock units for the six months ended June 30, 2020 was as follows: June 30, 2020 Restricted Stock Awards (1) Weighted Average Grant Price Outstanding, beginning of year 20,668 $ 21.86 Granted — — Vested (14,369 ) 20.57 Forfeited/expired — — Outstanding, end of period 6,299 $ 24.80 June 30, 2020 Restricted Stock Units Weighted Average Grant Price Outstanding, beginning of year 32,125 $ 19.80 Granted 43,725 18.66 Vested (14,615 ) 19.37 Forfeited/expired — — Outstanding, end of period 61,235 $ 19.07 Restricted shares vested not yet issued, end of period 5,257 $ 25.39 (1) The beginning of year amounts have been reclassified to include restricted stock awards and units for individuals that have reached retirement age as defined by the Plan. Previously, these units were considered vested and removed from the schedule; however the Plan only accelerates the vesting of these options if the participant leaves employment. |
REGULATORY MATTERS (Tables)
REGULATORY MATTERS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Regulatory Capital Requirements [Abstract] | |
Summary of Actual Capital Amounts and Ratios of Company and Bank's | The Company and Bank’s actual capital amounts and ratios are presented in the following table: Actual Minimum For Capital Adequacy Purposes: Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions: Amount Ratio Amount Ratio Amount Ratio (dollars in thousands) June 30, 2020 Total Capital (to risk weighted assets): Consolidated $ 237,743 20.42 % $ 122,222 10.50 % Not applicable 10.00 % Bank 207,319 17.88 % 121,773 10.50 % $ 115,974 10.00 % Tier 1 Capital (to risk weighted assets): Consolidated 176,966 15.20 % $ 98,942 8.50 % Not applicable 8.00 % Bank 192,772 16.62 % 98,578 8.50 % 92,779 8.00 % Tier 1 Capital (to average assets): Consolidated 176,966 12.69 % 55,795 4.00 % Not applicable 5.00 % Bank 192,772 13.88 % 55,538 4.00 % 69,423 5.00 % Tier 1 Common Equity Ratio (to risk weighted assets): Consolidated 176,966 15.20 % $ 81,482 7.00 % Not applicable 6.50 % Bank 192,772 16.62 % 81,182 7.00 % 75,383 6.50 % December 31, 2019 Total Capital (to risk weighted assets): Consolidated $ 225,094 19.41 % $ 121,746 10.500 % Not applicable Bank 216,198 18.70 % 121,396 10.500 % $ 115,615 10.00 % Tier 1 Capital (to risk weighted assets): Consolidated 180,620 15.58 % 98,557 8.500 % Not applicable Bank 201,735 17.45 % 98,273 8.500 % 92,492 8.00 % Tier 1 Capital (to average assets): Consolidated 180,620 12.42 % 58,182 4.00 % Not applicable Bank 201,735 14.68 % 54,962 4.00 % 68,702 5.00 % Tier 1 Common Equity Ratio (to risk weighted assets): Consolidated 156,969 13.54 % 81,164 7.000 % Not applicable Bank 201,735 17.45 % 80,930 7.000 % 75,150 6.50 % |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized below: Level 1 Inputs Level 2 Inputs Level 3 Inputs Total Fair Value (dollars in thousands) June 30, 2020 Securities available for sale: U.S. government and agency securities $ — $ 15,603 $ — $ 15,603 Asset backed securities — 16,566 — 16,566 Municipal securities — 51,640 — 51,640 Mortgage-backed securities — 143,162 — 143,162 Loan servicing rights (1) — — 16,486 16,486 Total assets at fair value $ — $ 226,971 $ 16,486 $ 243,457 Derivative instruments, interest rate swaps — 2,226 — 2,226 Total liabilities at fair value $ — $ 2,226 $ — $ 2,226 December 31, 2019 Securities available for sale: U.S. government and agency securities $ — $ 3,458 $ — $ 3,458 U.S. treasury Securities — 2,506 — 2,506 Mortgage-backed securities — 152,769 — 152,769 Total assets at fair value $ — $ 158,733 $ — $ 158,733 Derivative instruments, interest rate swaps — 972 — 972 Total liabilities at fair value $ — $ 972 $ — $ 972 (1) See Note 5 for a rollforward of recurring Level 3 fair values for servicing assets. |
Financial Instruments Carried on Consolidated Balance Sheet for Which Nonrecurring Change in Fair Value Has Been Recorded | The following table presents the financial instruments carried on the consolidated balance sheet by caption and by level in the fair value hierarchy for which a nonrecurring change in fair value has been recorded: Level 1 Inputs Level 2 Inputs Level 3 Inputs (dollars in thousands) June 30, 2020 Impaired loans $ — $ — $ 47,138 Other real estate owned — — 2,629 Total assets at fair value $ — $ — $ 49,767 December 31, 2019 Impaired loans $ — $ — $ 44,657 Other real estate owned — — 5,521 Total assets at fair value $ — $ — $ 50,178 |
Significant Inputs Used in Fair Value Measurements for Level 3 Assets Measured on Nonrecurring Basis | The significant inputs used in the fair value measurements for Level 3 assets measured at fair value on a nonrecurring basis were as follows: June 30, 2020 Valuation Techniques Unobservable Inputs Range (Average) Impaired loans Evaluation of collateral Estimation of value NM* Other real estate owned Appraisal Appraisal adjustment 5%-64% (24%) December 31, 2019 Valuation Techniques Unobservable Inputs Range (Average) Impaired loans Evaluation of collateral Estimation of value NM* Other real estate owned Appraisal Appraisal adjustment 5%-64% (29%) Not Meaningful. |
Estimated Fair Values and Related Carrying or Notional Amounts of Financial Instruments | The estimated fair values, and related carrying or notional amounts, of the Company’s financial instruments were as follows: June 30, December 31, 2020 2019 Carrying Amount Fair Value Carrying Amount Fair Value Input Level (dollars in thousands) Financial assets: Cash and cash equivalents $ 127,016 $ 127,016 $ 108,457 $ 108,457 1 Interest earning cash at other financial institutions 416 416 20,554 20,554 1 FHLB Stock 5,758 5,758 1,628 1,628 2 Securities available for sale 226,971 226,971 158,733 158,733 2 Loans, net of allowance for loan losses 1,068,955 1,080,610 1,020,506 1,024,062 3 Loans held for sale 11,847 11,847 2,151 2,151 3 Accrued interest receivable 3,222 3,222 2,571 2,571 2 Loan servicing rights 16,486 16,486 12,509 15,921 3 Financial liabilities: Deposits: Time 525,982 526,560 640,925 635,558 2 Other deposits 547,071 547,071 460,517 460,517 1 Other borrowings 101,847 101,847 794 794 3 Advances from FHLB 93,400 94,926 44,400 44,578 2 Subordinated debentures 61,910 61,910 44,858 44,858 3 Accrued interest payable 3,101 3,101 4,769 4,769 2 Derivative instruments, interest rate swaps 2,226 2,226 972 972 2 |
OTHER REAL ESTATE OWNED (Tables
OTHER REAL ESTATE OWNED (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Real Estate Owned Disclosure Of Detailed Components [Abstract] | |
Schedule of Other Real Estate Owned | Changes in other real estate owned were as follows: For the Three Months Ended For the Six Months Ended June 30, June 30, 2020 2019 2020 2019 (dollars in thousands) Balance, beginning of period $ 3,247 $ 5,019 $ 5,521 $ 6,568 Assets foreclosed — 4,145 — 5,292 Write-down of other real estate owned — (250 ) (1,360 ) (250 ) Net gain (loss) on sales of other real estate owned — (9 ) (4 ) 127 Proceeds from sale of other real estate owned (618 ) (212 ) (1,528 ) (3,044 ) Balance, end of period $ 2,629 $ 8,693 $ 2,629 $ 8,693 |
Expenses Applicable to Other Real Estate Owned Included in Non-Interest Expense | Expenses applicable to other real estate owned included in non-interest expense included the following: For the Three Months Ended For the Six Months Ended June 30, June 30, 2020 2019 2020 2019 (dollars in thousands) Net gain (loss) on sales of other real estate owned $ — $ (9 ) $ (4 ) $ 127 Write-down of other real estate owned — (250 ) (1,360 ) (250 ) Operating expenses, net of rental income (50 ) (85 ) (166 ) (110 ) $ (50 ) $ (344 ) $ (1,530 ) $ (233 ) |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Detail) $ in Thousands | Jan. 01, 2020USD ($) | Jun. 30, 2020USD ($)Loan | Jun. 30, 2019USD ($)Loan | Jun. 30, 2020USD ($)Loan | Jun. 30, 2019USD ($)Loan | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Basis Of Presentation [Line Items] | ||||||||||
Number of Loans | Loan | 6 | 25 | 8 | 36 | ||||||
After tax effect of change in servicing assets and retained earnings | $ 168,525 | $ 162,724 | $ 168,525 | $ 162,724 | $ 165,046 | $ 172,029 | $ 158,017 | $ 152,284 | ||
Cumulative Effect, Period of Adoption, Adjustment | ||||||||||
Basis Of Presentation [Line Items] | ||||||||||
After tax effect of change in servicing assets and retained earnings | [1] | $ 2,484 | ||||||||
Accounting Method Change for Valuing Servicing Assets from Amortizing Cost to Fair Market Value | ||||||||||
Basis Of Presentation [Line Items] | ||||||||||
Change in accounting method resulting in increased servicing assets | $ 3,400 | |||||||||
Change in accounting method resulting in decrease in deferred tax assets | 900 | |||||||||
Accounting Method Change for Valuing Servicing Assets from Amortizing Cost to Fair Market Value | Cumulative Effect, Period of Adoption, Adjustment | ||||||||||
Basis Of Presentation [Line Items] | ||||||||||
After tax effect of change in servicing assets and retained earnings | $ 2,500 | |||||||||
CARES Act | ||||||||||
Basis Of Presentation [Line Items] | ||||||||||
Number of Loans | Loan | 184 | 184 | ||||||||
Recorded Investment | $ 200,700 | $ 200,700 | ||||||||
[1] | Related to the change in accounting principle for the value of loan servicing rights, net of tax effects. See Note 1 for additional discussion. |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2020 | Mar. 31, 2020 | Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Earnings Per Share [Abstract] | ||||||
Net income (loss) from continuing operations | $ 2,733 | $ (5,188) | $ 3,704 | $ 3,762 | $ (2,454) | $ 7,466 |
Less: preferred stock dividends | 99 | 118 | 207 | 235 | ||
Income (loss) available to common shareholders for basic earnings per common share | $ 2,634 | $ 3,586 | $ (2,661) | $ 7,231 | ||
Weighted average number of common shares issued | 7,198,901 | 7,159,072 | 7,190,923 | 7,156,139 | ||
Less: weighted average treasury shares | 759,294 | 443,920 | 639,017 | 443,825 | ||
Plus: weighted average of participating restricted stock units | 65,291 | 30,483 | 52,281 | 23,411 | ||
Weighted average number of common shares and participating securities outstanding | 6,504,898 | 6,745,635 | 6,604,187 | 6,735,725 | ||
Effect of dilutive options | 28,511 | 20,731 | 39,548 | 21,170 | ||
Weighted average number of common shares outstanding used to calculate diluted earnings per common share | 6,533,409 | 6,766,366 | 6,643,735 | 6,756,895 | ||
Weighted average of anti-dilutive options | 62,313 | 133,147 | 55,764 | 131,729 |
Securities Available-for-Sale -
Securities Available-for-Sale - Schedule of Amortized Cost and Fair Value of Available-for-Sale of Securities (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | $ 214,967 | $ 155,291 |
Unrealized Gains | 12,750 | 3,640 |
Unrealized Losses | (746) | (198) |
Fair Value | 226,971 | 158,733 |
U.S. Government and Agency Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 15,817 | 3,490 |
Unrealized Losses | (214) | (32) |
Fair Value | 15,603 | 3,458 |
Asset Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 17,082 | |
Unrealized Losses | (516) | |
Fair Value | 16,566 | |
Municipal Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 48,460 | |
Unrealized Gains | 3,180 | |
Fair Value | 51,640 | |
Mortgage-backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 133,608 | 149,302 |
Unrealized Gains | 9,570 | 3,633 |
Unrealized Losses | (16) | (166) |
Fair Value | $ 143,162 | 152,769 |
US Treasury Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 2,499 | |
Unrealized Gains | 7 | |
Fair Value | $ 2,506 |
Securities Available-for-Sale_2
Securities Available-for-Sale - Schedule of Amortized Cost and Fair Value of Securities Available for Sale by Contractual Maturity (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Available For Sale Securities [Line Items] | ||
Due in one year or less, Amortized Cost | $ 2,499 | |
Due from five to ten years, Amortized Cost | $ 17,847 | 3,490 |
Due after ten years, Amortized Cost | 46,430 | 0 |
Amortized Cost | 214,967 | 155,291 |
Due in one year or less, Fair Value | 2,506 | |
Due from five to ten years, Fair Value | 17,760 | 3,458 |
Due after ten years, Fair Value | 49,483 | 0 |
Fair Value | 226,971 | 158,733 |
Asset Backed Securities | ||
Available For Sale Securities [Line Items] | ||
Debt securities, Amortized Cost | 17,082 | |
Amortized Cost | 17,082 | |
Debt securities, Fair Value | 16,566 | |
Fair Value | 16,566 | |
Mortgage-backed Securities | ||
Available For Sale Securities [Line Items] | ||
Debt securities, Amortized Cost | 133,608 | 149,302 |
Amortized Cost | 133,608 | 149,302 |
Debt securities, Fair Value | 143,162 | 152,769 |
Fair Value | $ 143,162 | $ 152,769 |
Securities Available-for-Sale_3
Securities Available-for-Sale - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Schedule Of Available For Sale Securities [Line Items] | |||||
Proceeds from sales of securities available-for-sale | $ 27,800 | $ 29,400 | $ 27,790 | $ 29,361 | |
Gross realized gain on available for sale securities | 600 | $ 300 | 600 | $ 300 | |
FHLB Stock, at cost | 5,758 | 5,758 | $ 1,628 | ||
Reported Value Measurement | |||||
Schedule Of Available For Sale Securities [Line Items] | |||||
FHLB Stock, at cost | 5,800 | 5,800 | 1,600 | ||
Reported Value Measurement | Municipal Customer Deposits | |||||
Schedule Of Available For Sale Securities [Line Items] | |||||
Available-for-sale Securities Pledged as Collateral | $ 43,000 | $ 43,000 | $ 63,000 |
Securities Available-for-Sale_4
Securities Available-for-Sale - Schedule of Fair Value and Gross Unrealized Losses of Entity's Investments (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Jun. 30, 2019 |
Schedule Of Available For Sale Securities [Line Items] | ||
Investments with unrealized losses less than 12 months, fair value | $ 9,873 | $ 29,601 |
Investments with unrealized losses less than 12 months, unrealized losses | (41) | (700) |
Investments with unrealized losses 12 months or greater, fair value | 15,325 | 8,524 |
Investments with unrealized losses 12 months or greater, unrealized losses | (157) | (46) |
Investments with unrealized losses, fair value | 25,198 | 38,125 |
Investments with unrealized losses, unrealized losses | (198) | (746) |
U.S. Government and Agency Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investments with unrealized losses less than 12 months, fair value | 13,035 | |
Investments with unrealized losses less than 12 months, unrealized losses | (184) | |
Investments with unrealized losses 12 months or greater, fair value | 3,458 | 2,568 |
Investments with unrealized losses 12 months or greater, unrealized losses | (32) | (30) |
Investments with unrealized losses, fair value | 3,458 | 15,603 |
Investments with unrealized losses, unrealized losses | (32) | (214) |
Asset Backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investments with unrealized losses less than 12 months, fair value | 16,566 | |
Investments with unrealized losses less than 12 months, unrealized losses | (516) | |
Investments with unrealized losses, fair value | 16,566 | |
Investments with unrealized losses, unrealized losses | (516) | |
Mortgage-backed Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Investments with unrealized losses less than 12 months, fair value | 9,873 | |
Investments with unrealized losses less than 12 months, unrealized losses | (41) | |
Investments with unrealized losses 12 months or greater, fair value | 11,867 | 5,956 |
Investments with unrealized losses 12 months or greater, unrealized losses | (125) | (16) |
Investments with unrealized losses, fair value | 21,740 | 5,956 |
Investments with unrealized losses, unrealized losses | $ (166) | $ (16) |
Loans - Components of Loans (De
Loans - Components of Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | |
Accounts Notes And Loans Receivable [Line Items] | |||
Total gross loans | $ 1,087,524 | $ 1,035,773 | [1] |
Allowance for loan losses | (18,569) | (15,267) | |
Net loans | 1,068,955 | 1,020,506 | |
Agricultural Loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total gross loans | 624,339 | 659,725 | [1] |
Commercial Real Estate Loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total gross loans | 247,149 | 235,936 | [1] |
Commercial Loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total gross loans | 184,537 | 95,787 | [1] |
Residential Real Estate Loans | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total gross loans | 31,414 | 43,958 | [1] |
Installment and Consumer Other | |||
Accounts Notes And Loans Receivable [Line Items] | |||
Total gross loans | $ 85 | $ 367 | [1] |
[1] | Performing troubled debt restructurings have been reclassified to be reflected in their internal risk rating category rather than Substandard Impaired as previously reported. |
Loans - Changes in Allowance fo
Loans - Changes in Allowance for Loan Losses by Portfolio Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Accounts Notes And Loans Receivable [Line Items] | ||||
Balance, beginning of period | $ 17,547 | $ 17,493 | $ 15,267 | $ 16,505 |
Provision for loan losses | 1,142 | 876 | 3,360 | 1,628 |
Loans charged off | (144) | (3,194) | (144) | (3,584) |
Recoveries | 24 | 1,083 | 86 | 1,709 |
Balance, end of period | 18,569 | 16,258 | 18,569 | 16,258 |
Agricultural | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Balance, beginning of period | 12,685 | 12,123 | 11,737 | 12,258 |
Provision for loan losses | (38) | 1,509 | 910 | 1,374 |
Recoveries | 23 | 15 | 23 | 15 |
Balance, end of period | 12,670 | 13,647 | 12,670 | 13,647 |
Commercial Real Estate | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Balance, beginning of period | 2,577 | 4,152 | 1,913 | 2,779 |
Provision for loan losses | 1,281 | (1,003) | 1,884 | 135 |
Loans charged off | (2,234) | (2,624) | ||
Recoveries | 1 | 967 | 62 | 1,592 |
Balance, end of period | 3,859 | 1,882 | 3,859 | 1,882 |
Commercial | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Balance, beginning of period | 2,173 | 1,201 | 1,599 | 1,414 |
Provision for loan losses | (75) | 367 | 498 | 153 |
Loans charged off | (144) | (960) | (144) | (960) |
Recoveries | 101 | 1 | 102 | |
Balance, end of period | 1,954 | 709 | 1,954 | 709 |
Residential Real Estate | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Balance, beginning of period | 112 | 16 | 15 | 53 |
Provision for loan losses | (27) | 3 | 70 | (34) |
Balance, end of period | 85 | 19 | 85 | 19 |
Installment and Consumer Other | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Balance, beginning of period | 1 | 3 | 1 | |
Provision for loan losses | 1 | (2) | ||
Balance, end of period | $ 1 | $ 1 | $ 1 | $ 1 |
Loans - Balances in Allowance f
Loans - Balances in Allowance for Loan Losses and Recorded Balance in Loans by Portfolio Segment and Based on Impairment Method (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable Allowance For Credit Losses [Line Items] | |||
Loans individually evaluated for impairment | $ 63,665 | $ 58,850 | |
Loans collectively evaluated for impairment | 1,005,290 | 961,656 | |
Loans, net | 1,068,955 | 1,020,506 | |
Allowance for loan losses: | |||
Allowance for loan losses individually evaluated for impairment | 7,523 | 5,589 | |
Allowance for loan losses collectively evaluated for impairment | 11,046 | 9,678 | |
Total | 18,569 | 15,267 | |
Loans: | |||
Loans individually evaluated for impairment | 71,188 | $ 64,439 | |
Loans collectively evaluated for impairment | 1,016,336 | 971,334 | |
Total Loans | 1,087,524 | 1,035,773 | 1,035,773 |
Agricultural Loans | |||
Allowance for loan losses: | |||
Allowance for loan losses individually evaluated for impairment | 3,826 | 3,515 | |
Allowance for loan losses collectively evaluated for impairment | 8,844 | 8,222 | |
Total | 12,670 | 11,737 | |
Loans: | |||
Loans individually evaluated for impairment | 58,895 | 58,833 | |
Loans collectively evaluated for impairment | 565,444 | 600,892 | |
Total Loans | 624,339 | 659,725 | 659,725 |
Commercial Real Estate Loans | |||
Allowance for loan losses: | |||
Allowance for loan losses individually evaluated for impairment | 2,471 | 836 | |
Allowance for loan losses collectively evaluated for impairment | 1,388 | 1,077 | |
Total | 3,859 | 1,913 | |
Loans: | |||
Loans individually evaluated for impairment | 9,351 | 3,682 | |
Loans collectively evaluated for impairment | 237,798 | 232,254 | |
Total Loans | 247,149 | 235,936 | 235,936 |
Commercial Loans | |||
Allowance for loan losses: | |||
Allowance for loan losses individually evaluated for impairment | 1,226 | 1,238 | |
Allowance for loan losses collectively evaluated for impairment | 728 | 361 | |
Total | 1,954 | 1,599 | |
Loans: | |||
Loans individually evaluated for impairment | 2,882 | 1,862 | |
Loans collectively evaluated for impairment | 181,655 | 93,925 | |
Total Loans | 184,537 | 95,787 | 95,787 |
Residential Real Estate Loans | |||
Allowance for loan losses: | |||
Allowance for loan losses collectively evaluated for impairment | 85 | 15 | |
Total | 85 | 15 | |
Loans: | |||
Loans individually evaluated for impairment | 60 | 62 | |
Loans collectively evaluated for impairment | 31,354 | 43,896 | |
Total Loans | 31,414 | 43,958 | 43,958 |
Installment and Consumer Other | |||
Allowance for loan losses: | |||
Allowance for loan losses collectively evaluated for impairment | 1 | 3 | |
Total | 1 | 3 | |
Loans: | |||
Loans collectively evaluated for impairment | 85 | 367 | |
Total Loans | $ 85 | $ 367 | $ 367 |
Loans - Impairment by Class of
Loans - Impairment by Class of Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2019 |
Loans Receivable Evaluated For Impairment [Line Items] | |||
Impaired Loans with No Related Allowance Recorded, unpaid principal balance | $ 16,576 | $ 14,213 | |
Impaired Loans with No Related Allowance Recorded, recorded investment | 16,527 | 14,193 | |
Impaired Loans with No Related Allowance Recorded, allowance for loan losses allocated | 0 | 0 | |
Impaired Loans with an Allowance Recorded, unpaid principal balance | 58,074 | 53,061 | |
Impaired Loans with an Allowance Recorded, recorded investment | 54,661 | 50,246 | |
Impaired Loans with an Allowance Recorded, allowance for loan losses allocated | 7,523 | 5,589 | |
Unpaid principal balance | 74,650 | 67,274 | $ 63,832 |
Recorded investment | 71,188 | 64,439 | 61,430 |
Allowance for loan losses allocated | 7,523 | 5,589 | $ 3,710 |
Agricultural Loans | |||
Loans Receivable Evaluated For Impairment [Line Items] | |||
Impaired Loans with No Related Allowance Recorded, unpaid principal balance | 15,059 | 14,151 | |
Impaired Loans with No Related Allowance Recorded, recorded investment | 14,977 | 14,131 | |
Impaired Loans with No Related Allowance Recorded, allowance for loan losses allocated | 0 | 0 | |
Impaired Loans with an Allowance Recorded, unpaid principal balance | 47,209 | 47,225 | |
Impaired Loans with an Allowance Recorded, recorded investment | 43,918 | 44,702 | |
Impaired Loans with an Allowance Recorded, allowance for loan losses allocated | 3,826 | 3,515 | |
Commercial Real Estate Loans | |||
Loans Receivable Evaluated For Impairment [Line Items] | |||
Impaired Loans with No Related Allowance Recorded, unpaid principal balance | 288 | 0 | |
Impaired Loans with No Related Allowance Recorded, recorded investment | 288 | 0 | |
Impaired Loans with No Related Allowance Recorded, allowance for loan losses allocated | 0 | 0 | |
Impaired Loans with an Allowance Recorded, unpaid principal balance | 9,132 | 3,681 | |
Impaired Loans with an Allowance Recorded, recorded investment | 9,063 | 3,682 | |
Impaired Loans with an Allowance Recorded, allowance for loan losses allocated | 2,471 | 836 | |
Commercial Loans | |||
Loans Receivable Evaluated For Impairment [Line Items] | |||
Impaired Loans with No Related Allowance Recorded, unpaid principal balance | 1,229 | ||
Impaired Loans with No Related Allowance Recorded, recorded investment | 1,202 | ||
Impaired Loans with No Related Allowance Recorded, allowance for loan losses allocated | 0 | 0 | |
Impaired Loans with an Allowance Recorded, unpaid principal balance | 1,733 | 2,155 | |
Impaired Loans with an Allowance Recorded, recorded investment | 1,680 | 1,862 | |
Impaired Loans with an Allowance Recorded, allowance for loan losses allocated | 1,226 | 1,238 | |
Residential Real Estate Loans | |||
Loans Receivable Evaluated For Impairment [Line Items] | |||
Impaired Loans with No Related Allowance Recorded, unpaid principal balance | 0 | 62 | |
Impaired Loans with No Related Allowance Recorded, recorded investment | 60 | 62 | |
Impaired Loans with No Related Allowance Recorded, allowance for loan losses allocated | 0 | 0 | |
Impaired Loans with an Allowance Recorded, unpaid principal balance | 0 | 0 | |
Impaired Loans with an Allowance Recorded, recorded investment | 0 | 0 | |
Impaired Loans with an Allowance Recorded, allowance for loan losses allocated | $ 0 | $ 0 |
Loans - Schedule of Aging of Re
Loans - Schedule of Aging of Recorded Investment in Past Due Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | $ 9,940 | $ 7,140 | |
Loans Not Past Due | 1,077,584 | 1,028,633 | |
Total Loans | 1,087,524 | 1,035,773 | $ 1,035,773 |
Financing Receivables 30 To 59 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 2,779 | 1,489 | |
Financing Receivables 60 To 89 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 387 | ||
Financing Receivables Equal To Greater Than 90 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 7,161 | 5,264 | |
Agricultural Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 9,369 | 6,534 | |
Loans Not Past Due | 614,970 | 653,191 | |
Total Loans | 624,339 | 659,725 | 659,725 |
Agricultural Loans | Financing Receivables 30 To 59 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 2,736 | 1,489 | |
Agricultural Loans | Financing Receivables 60 To 89 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 71 | ||
Agricultural Loans | Financing Receivables Equal To Greater Than 90 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 6,633 | 4,974 | |
Commercial Real Estate Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 361 | 288 | |
Loans Not Past Due | 246,788 | 235,648 | |
Total Loans | 247,149 | 235,936 | 235,936 |
Commercial Real Estate Loans | Financing Receivables 60 To 89 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 288 | ||
Commercial Real Estate Loans | Financing Receivables Equal To Greater Than 90 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 361 | ||
Commercial Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 150 | 256 | |
Loans Not Past Due | 184,387 | 95,531 | |
Total Loans | 184,537 | 95,787 | 95,787 |
Commercial Loans | Financing Receivables 30 To 59 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 43 | ||
Commercial Loans | Financing Receivables 60 To 89 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 28 | ||
Commercial Loans | Financing Receivables Equal To Greater Than 90 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 107 | 228 | |
Residential Real Estate Loans | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 60 | 62 | |
Loans Not Past Due | 31,354 | 43,896 | |
Total Loans | 31,414 | 43,958 | 43,958 |
Residential Real Estate Loans | Financing Receivables Equal To Greater Than 90 Days Past Due | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Past Due | 60 | 62 | |
Installment and Consumer Other | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans Not Past Due | 85 | 367 | |
Total Loans | $ 85 | $ 367 | $ 367 |
Loans - Recorded Investment in
Loans - Recorded Investment in Nonaccrual Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Recorded investment in nonaccrual and loans past due 90 days or more | $ 35,456 | $ 30,968 |
Agricultural Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Recorded investment in nonaccrual and loans past due 90 days or more | 25,398 | 26,415 |
Commercial Real Estate Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Recorded investment in nonaccrual and loans past due 90 days or more | 8,348 | 2,673 |
Commercial Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Recorded investment in nonaccrual and loans past due 90 days or more | 1,650 | 1,818 |
Residential Real Estate Loans | ||
Financing Receivable Recorded Investment Past Due [Line Items] | ||
Recorded investment in nonaccrual and loans past due 90 days or more | $ 60 | $ 62 |
Loans - Average Recorded Invest
Loans - Average Recorded Investment and Interest Income Recognized on Impaired Loans by Portfolio Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Financing Receivable Impaired [Line Items] | |||||
Unpaid Principal Balance | $ 74,650 | $ 63,832 | $ 74,650 | $ 63,832 | $ 67,274 |
Recorded Investment | 71,188 | 61,430 | 71,188 | 61,430 | 64,439 |
Allowance for Loan Losses Allocated | 7,523 | 3,710 | 7,523 | 3,710 | $ 5,589 |
Average Recorded Investment | 68,480 | 61,425 | 67,814 | 59,095 | |
Interest Income Recognized | 1,196 | 1,539 | 2,580 | 2,738 | |
Agricultural Loans | |||||
Financing Receivable Impaired [Line Items] | |||||
Unpaid Principal Balance | 62,268 | 62,271 | 62,268 | 62,271 | |
Recorded Investment | 58,895 | 59,876 | 58,895 | 59,876 | |
Allowance for Loan Losses Allocated | 3,826 | 3,415 | 3,826 | 3,415 | |
Average Recorded Investment | 59,565 | 57,064 | 58,864 | 56,412 | |
Interest Income Recognized | 1,060 | 1,531 | 2,370 | 2,704 | |
Commercial Real Estate Loans | |||||
Financing Receivable Impaired [Line Items] | |||||
Unpaid Principal Balance | 9,420 | 539 | 9,420 | 539 | |
Recorded Investment | 9,351 | 1,022 | 9,351 | 1,022 | |
Allowance for Loan Losses Allocated | 2,471 | 5 | 2,471 | 5 | |
Average Recorded Investment | 6,496 | 3,527 | 6,517 | 1,530 | |
Interest Income Recognized | 115 | 7 | 140 | 31 | |
Commercial Loans | |||||
Financing Receivable Impaired [Line Items] | |||||
Unpaid Principal Balance | 2,962 | 1,022 | 2,962 | 1,022 | |
Recorded Investment | 2,882 | 532 | 2,882 | 532 | |
Allowance for Loan Losses Allocated | 1,226 | 290 | 1,226 | 290 | |
Average Recorded Investment | 2,360 | 834 | 2,372 | 1,153 | |
Interest Income Recognized | 21 | $ 1 | 69 | $ 3 | |
Residential Real Estate Loans | |||||
Financing Receivable Impaired [Line Items] | |||||
Recorded Investment | 60 | 60 | |||
Average Recorded Investment | $ 60 | 61 | |||
Interest Income Recognized | $ 1 |
Loans - Additional Information
Loans - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020USD ($)Loan | Jun. 30, 2019USD ($)Loan | Jun. 30, 2020USD ($)Loan | Jun. 30, 2019USD ($)Loan | Dec. 31, 2019USD ($) | |
Accounts Notes And Loans Receivable [Line Items] | |||||
Impaired loans on nonaccrual and restructured loans that are past due and still accruing | 90 days | ||||
Interest income recognized for nonaccrual loans | $ 2,100,000 | $ 400,000 | $ 2,800,000 | $ 1,000,000 | |
Specific reserve to customers whose loan terms have been modified in TDR | $ 3,800,000 | $ 3,800,000 | $ 3,500,000 | ||
Additional lending commitments to customers with outstanding loans that are classified as TDRs | $ 0 | $ 0 | $ 0 | ||
Number of Loans | Loan | 6 | 25 | 8 | 36 | |
Recorded Investment | $ 2,640,000 | $ 12,125,000 | $ 2,872,000 | $ 15,896,000 | |
Minimum exposure for annual internal credit review | $ 300,000 | $ 300,000 | |||
Financing receivable on nonaccrual loans past due period description | prior to 90-days past due | ||||
CARES Act | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Number of Loans | Loan | 184 | 184 | |||
Recorded Investment | $ 200,700,000 | $ 200,700,000 |
Loans - TDRs and Related Allowa
Loans - TDRs and Related Allowance for Loan Losses by Loan Class (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Non-Accrual | $ 35,456 | $ 30,968 |
TDR Loans | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Non-Accrual | 18,751 | 19,261 |
Restructured and Accruing | 21,985 | 21,784 |
Total | 40,736 | 41,045 |
Allowance for Loan Losses Allocated | 3,842 | 3,528 |
Agricultural Loans | TDR Loans | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Non-Accrual | 18,672 | 19,033 |
Restructured and Accruing | 20,940 | 20,731 |
Total | 39,612 | 39,764 |
Allowance for Loan Losses Allocated | 3,807 | 3,436 |
Commercial Real Estate Loans | TDR Loans | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Restructured and Accruing | 1,002 | 1,009 |
Total | 1,002 | 1,009 |
Allowance for Loan Losses Allocated | 31 | 32 |
Commercial Loans | TDR Loans | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Non-Accrual | 79 | 228 |
Restructured and Accruing | 43 | 44 |
Total | 122 | 272 |
Allowance for Loan Losses Allocated | $ 4 | $ 60 |
Loans - Number of Loans Modifie
Loans - Number of Loans Modified in Troubled Debt Restructuring Investment by Class (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020USD ($)Loan | Jun. 30, 2019USD ($)Loan | Jun. 30, 2020USD ($)Loan | Jun. 30, 2019USD ($)Loan | |
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of Loans | Loan | 6 | 25 | 8 | 36 |
Recorded Investment | $ | $ 2,640 | $ 12,125 | $ 2,872 | $ 15,896 |
Agricultural Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of Loans | Loan | 6 | 25 | 8 | 33 |
Recorded Investment | $ | $ 2,640 | $ 12,125 | $ 2,872 | $ 13,829 |
Commercial Real Estate Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of Loans | Loan | 1 | |||
Recorded Investment | $ | $ 1,021 | |||
Commercial Loans | ||||
Accounts Notes And Loans Receivable [Line Items] | ||||
Number of Loans | Loan | 2 | |||
Recorded Investment | $ | $ 1,046 |
Loans - Summary of Troubled Deb
Loans - Summary of Troubled Debt Restructurings Grouped by Type of Concession (Detail) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020USD ($)Loan | Jun. 30, 2019USD ($)Loan | Jun. 30, 2020USD ($)Loan | Jun. 30, 2019USD ($)Loan | |
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 6 | 25 | 8 | 36 |
Recorded Investment | $ | $ 2,640 | $ 12,125 | $ 2,872 | $ 15,896 |
Agricultural Loans | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 6 | 25 | 8 | 33 |
Recorded Investment | $ | $ 2,640 | $ 12,125 | $ 2,872 | $ 13,829 |
Agricultural Loans | Payment Concessions | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 1 | 4 | 1 | 5 |
Recorded Investment | $ | $ 231 | $ 441 | $ 231 | $ 703 |
Agricultural Loans | Term concessions | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 2 | 1 | 2 | |
Recorded Investment | $ | $ 435 | $ 453 | $ 484 | $ 453 |
Agricultural Loans | Rate concessions | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 1 | 1 | ||
Recorded Investment | $ | $ 85 | $ 85 | ||
Agricultural Loans | Extension of Interest-Only Payments | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 2 | 17 | 2 | 24 |
Recorded Investment | $ | $ 75 | $ 10,994 | $ 75 | $ 12,436 |
Agricultural Loans | Combination of Extension of Term and Interest Rate Concessions | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 2 | 3 | ||
Recorded Investment | $ | $ 1,746 | $ 1,929 | ||
Agricultural Loans | Capitalized interest | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 1 | 1 | 1 | 1 |
Recorded Investment | $ | $ 153 | $ 152 | $ 153 | $ 152 |
Commercial Real Estate Loans | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 1 | |||
Recorded Investment | $ | $ 1,021 | |||
Commercial Real Estate Loans | Payment Concessions | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 1 | |||
Recorded Investment | $ | $ 1,021 | |||
Commercial Loans | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 2 | |||
Recorded Investment | $ | $ 1,046 | |||
Commercial Loans | Combination of Extension of Term and Interest Rate Concessions | ||||
Financing Receivable Allowance For Credit Losses [Line Items] | ||||
Number of Loans | Loan | 2 | |||
Recorded Investment | $ | $ 1,046 |
Loans - Risk Category of Loans
Loans - Risk Category of Loans by Class of Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | [1] |
Long Term Debt [Line Items] | |||
Total gross loans | $ 1,087,524 | $ 1,035,773 | |
Agricultural Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 624,339 | 659,725 | |
Commercial Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 247,149 | 235,936 | |
Commercial Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 184,537 | 95,787 | |
Residential Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 31,414 | 43,958 | |
Installment and Consumer Other | |||
Long Term Debt [Line Items] | |||
Total gross loans | 85 | 367 | |
Sound/ Acceptable/ Satisfactory/ Low Satisfactory | |||
Long Term Debt [Line Items] | |||
Total gross loans | 798,945 | 724,444 | |
Sound/ Acceptable/ Satisfactory/ Low Satisfactory | Agricultural Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 372,030 | 388,184 | |
Sound/ Acceptable/ Satisfactory/ Low Satisfactory | Commercial Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 221,979 | 209,279 | |
Sound/ Acceptable/ Satisfactory/ Low Satisfactory | Commercial Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 173,901 | 83,141 | |
Sound/ Acceptable/ Satisfactory/ Low Satisfactory | Residential Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 30,950 | 43,473 | |
Sound/ Acceptable/ Satisfactory/ Low Satisfactory | Installment and Consumer Other | |||
Long Term Debt [Line Items] | |||
Total gross loans | 85 | 367 | |
Watch | |||
Long Term Debt [Line Items] | |||
Total gross loans | 198,044 | 216,098 | |
Watch | Agricultural Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 175,072 | 184,050 | |
Watch | Commercial Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 14,560 | 21,703 | |
Watch | Commercial Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 8,175 | 10,091 | |
Watch | Residential Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 237 | 254 | |
Special Mention | |||
Long Term Debt [Line Items] | |||
Total gross loans | 1,856 | 9,239 | |
Special Mention | Agricultural Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 1,856 | 9,239 | |
Substandard Performing | |||
Long Term Debt [Line Items] | |||
Total gross loans | 47,741 | 49,774 | |
Substandard Performing | Agricultural Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 44,502 | 46,587 | |
Substandard Performing | Commercial Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 2,261 | 2,281 | |
Substandard Performing | Commercial Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 811 | 737 | |
Substandard Performing | Residential Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 167 | 169 | |
Substandard Impaired | |||
Long Term Debt [Line Items] | |||
Total gross loans | 40,938 | 36,218 | |
Substandard Impaired | Agricultural Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 30,879 | 31,665 | |
Substandard Impaired | Commercial Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 8,349 | 2,673 | |
Substandard Impaired | Commercial Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | 1,650 | 1,818 | |
Substandard Impaired | Residential Real Estate Loans | |||
Long Term Debt [Line Items] | |||
Total gross loans | $ 60 | $ 62 | |
[1] | Performing troubled debt restructurings have been reclassified to be reflected in their internal risk rating category rather than Substandard Impaired as previously reported. |
Loan Servicing Rights - Additio
Loan Servicing Rights - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | Mar. 31, 2020 | |
Servicing Assets at Fair Value [Line Items] | |||
Unpaid principal balance of loan | $ 762,100 | $ 751,700 | |
Loan servicing rights, fair value | $ 16,486 | $ 12,509 | $ 16,211 |
Servicing assets and servicing liabilities at fair value, assumptions used to estimate fair value, discount rate | 14.00% | 14.00% | |
Weighted Average | |||
Servicing Assets at Fair Value [Line Items] | |||
Servicing assets and servicing liabilities at fair value, assumptions used to estimate fair value, Prepayment speed | 9.77% | 7.33% | |
Minimum | |||
Servicing Assets at Fair Value [Line Items] | |||
Servicing assets and servicing liabilities at fair value, assumptions used to estimate fair value, Prepayment speed | 9.70% | 5.00% | |
Maximum | |||
Servicing Assets at Fair Value [Line Items] | |||
Servicing assets and servicing liabilities at fair value, assumptions used to estimate fair value, Prepayment speed | 9.78% | 10.00% | |
Level 3 Inputs | |||
Servicing Assets at Fair Value [Line Items] | |||
Loan servicing rights, fair value | $ 16,500 | $ 15,900 |
Loan Servicing Rights - Summary
Loan Servicing Rights - Summary of Servicing Rights Capitalized along with the Aggregate Activity in Related Valuation Allowances (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Transfers And Servicing [Abstract] | ||||
Balance, beginning of period | $ 16,211 | $ 12,509 | ||
Impact of cumulative effect of change in accounting principle | 3,412 | |||
Balance, beginning of period | 15,921 | |||
Additions, net | 1,041 | 1,546 | ||
Fair value changes: | ||||
Decay due to increases in principal paydowns or runoff | (727) | (992) | ||
Due to changes in valuation inputs or assumptions | (39) | 11 | ||
Balance, end of period | 16,486 | 16,486 | ||
Balance, beginning of period | $ 9,275 | 12,509 | $ 9,047 | |
Additions related to new loans | 1,320 | 1,941 | ||
Impairment due to prepayment | (190) | (263) | ||
Amortization of existing asset | (1,014) | (1,334) | ||
Reduction of valuation allowance | 230 | 230 | ||
Balance, end of period | $ 16,486 | $ 9,621 | $ 16,486 | $ 9,621 |
Goodwill and Core Deposit Int_3
Goodwill and Core Deposit Intangible - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) | |
Goodwill And Intangible Assets [Line Items] | |||
Goodwill impairment description | Three valuation models were weighted and evaluated: discounted cash flow model (60%), guideline public company method (30%) and transaction method (10%). | ||
Measurement Input Discount Rate | COVID-19 | |||
Goodwill And Intangible Assets [Line Items] | |||
Discount rate | 0.145 | 0.145 | |
Core Deposit | |||
Goodwill And Intangible Assets [Line Items] | |||
Intangible assets, amortization period on accelerated basis | 66 months | ||
Impairment charge to intangible assets | $ 0 | $ 0 | |
Core Deposit | Fox River Valley | |||
Goodwill And Intangible Assets [Line Items] | |||
Gross carrying amount of intangible assets | $ 1,801,000 | $ 1,801,000 | $ 1,801,000 |
Goodwill and Core Deposit Int_4
Goodwill and Core Deposit Intangible - Core Deposit Intangible (Detail) - Core Deposit - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Core deposit intangible: | ||
Net book value | $ 125 | $ 225 |
Fox River Valley | ||
Core deposit intangible: | ||
Gross carrying amount | 1,801 | 1,801 |
Accumulated amortization | (1,676) | (1,576) |
Net book value | $ 125 | $ 225 |
Deposits - Summary of Deposits
Deposits - Summary of Deposits (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Deposits [Abstract] | ||
Demand deposits | $ 149,963 | $ 138,489 |
NOW and interest checking | 81,656 | 67,805 |
Savings | 8,369 | 6,395 |
Money market accounts | 307,083 | 247,828 |
Certificates of deposit | 346,482 | 375,100 |
National time deposits | 57,997 | 99,485 |
Brokered deposits | 121,503 | 166,340 |
Total deposits | $ 1,073,053 | $ 1,101,442 |
Advances From FHLB and Other _3
Advances From FHLB and Other Borrowings - Additional Information (Detail) | Mar. 02, 2020USD ($)Option | Jun. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) |
Debt Instrument [Line Items] | ||||
Advances from FHLB | $ 93,400,000 | $ 93,400,000 | $ 44,400,000 | |
Other borrowings | $ 101,847,000 | 101,847,000 | 794,000 | |
Federal Reserve’s PPP Liquidity Facility | ||||
Debt Instrument [Line Items] | ||||
Interest rate | 0.35% | |||
Balance of advances | $ 99,700,000 | 99,700,000 | ||
Collateralized Loan Obligations | ||||
Debt Instrument [Line Items] | ||||
Other borrowings | 800,000 | 800,000 | 800,000 | |
Federal Reserve Bank Of Chicago | ||||
Debt Instrument [Line Items] | ||||
Line of credit amount outstanding | 111,300,000 | 111,300,000 | 127,300,000 | |
Other borrowings | 0 | 0 | 0 | |
U S Bank National Association | Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Line of credit amount outstanding | 0 | 0 | 0 | |
Line of credit facility maximum borrowing capacity | 10,000,000 | $ 10,000,000 | $ 10,000,000 | |
Line of credit, non-usage fee percentage per annum | 0.275% | 0.275% | ||
U S Bank National Association | Revolving Credit Facility | One month LIBOR | ||||
Debt Instrument [Line Items] | ||||
Basis spread on variable rate | 2.25% | 2.25% | ||
Mortgage Loans | ||||
Debt Instrument [Line Items] | ||||
Pledged qualifying mortgage loans | 368,600,000 | $ 368,600,000 | $ 393,700,000 | |
Manitowoc, Wisconsin | ||||
Debt Instrument [Line Items] | ||||
Lease monthly rental payments | $ 16,000 | |||
Lease term | 10 years | |||
Number of lease renewal options | Option | 2 | |||
Lease renewal term | 5 years | |||
Lease option to extend | true | |||
Finance lease liability | $ 1,400,000 | $ 1,400,000 | $ 0 |
Advances from FHLB and Other _4
Advances from FHLB and Other Borrowings - Advances Outstanding from FHLB (Detail) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Debt Instrument [Line Items] | ||
Advances from FHLB | $ 93,400 | $ 44,400 |
Fixed rate, short term, Advance for FHLB, 1 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Feb. 20, 2020 | |
Advances from FHLB, Rate | 1.71% | |
Advances from FHLB | 5,000 | |
Fixed rate, fixed term, Advance for FHLB, 2 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Jul. 16, 2020 | |
Advances from FHLB, Rate | 1.85% | |
Advances from FHLB | $ 800 | 800 |
Fixed rate, fixed term, Advance for FHLB, 3 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Aug. 25, 2020 | |
Advances from FHLB, Rate | 1.84% | |
Advances from FHLB | $ 3,000 | 3,000 |
Fixed rate, fixed term, Advance for FHLB, 4 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Aug. 27, 2020 | |
Advances from FHLB, Rate | 1.88% | |
Advances from FHLB | $ 5,000 | 5,000 |
Fixed rate, fixed term, Advance for FHLB, 5 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Dec. 30, 2020 | |
Advances from FHLB, Rate | 2.09% | |
Advances from FHLB | $ 4,000 | 4,000 |
Fixed rate, fixed term, Advance for FHLB, 6 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Dec. 31, 2020 | |
Advances from FHLB, Rate | 1.94% | |
Advances from FHLB | $ 600 | 600 |
Fixed rate, fixed term, Advance for FHLB, 7 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Apr. 12, 2021 | |
Advances from FHLB, Rate | 1.92% | |
Advances from FHLB | $ 8,000 | 8,000 |
Fixed rate, fixed term, Advance for FHLB, 8 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | May 3, 2021 | |
Advances from FHLB, Rate | 0.00% | |
Advances from FHLB | $ 4,000 | |
Fixed rate, fixed term, Advance for FHLB, 9 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Jun. 15, 2021 | |
Advances from FHLB, Rate | 1.39% | |
Advances from FHLB | $ 5,000 | 5,000 |
Fixed rate, fixed term, Advance for FHLB, 10 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Aug. 16, 2021 | |
Advances from FHLB, Rate | 2.29% | |
Advances from FHLB | $ 3,000 | 3,000 |
Fixed rate, fixed term, Advance for FHLB, 11 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Dec. 30, 2021 | |
Advances from FHLB, Rate | 2.29% | |
Advances from FHLB | $ 2,000 | 2,000 |
Fixed rate, fixed term, Advance for FHLB, 12 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Mar. 18, 2022 | |
Advances from FHLB, Rate | 1.03% | |
Advances from FHLB | $ 15,000 | |
Fixed rate, fixed term, Advance for FHLB, 13 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Mar. 25, 2022 | |
Advances from FHLB, Rate | 0.75% | |
Advances from FHLB | $ 10,000 | |
Fixed rate, fixed term, Advance for FHLB, 14 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Mar. 23, 2023 | |
Advances from FHLB, Rate | 1.26% | |
Advances from FHLB | $ 10,000 | |
Fixed rate, fixed term, Advance for FHLB, 15 | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Mar. 27, 2023 | |
Advances from FHLB, Rate | 0.82% | |
Advances from FHLB | $ 15,000 | |
Fixed rate, putable, no call 2 years | ||
Debt Instrument [Line Items] | ||
Advances from FHLB, Maturity | Jan. 12, 2023 | |
Advances from FHLB, Rate | 2.03% | |
Advances from FHLB | $ 8,000 | $ 8,000 |
Advances from FHLB and Other _5
Advances from FHLB and Other Borrowings - Balances and Interest Rates on Other Borrowings (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Other Borrowings: | ||
Balance outstanding at end of period | $ 101,847 | $ 794 |
Average amount outstanding during the period | 66,910 | 800 |
Maximum amount outstanding at any month end | $ 101,860 | $ 1,412 |
Weighted average interest rate during the period | 0.42% | 4.60% |
Weighted average interest rate at end of period | 2.65% | 4.51% |
Subordinated Debentures - Addit
Subordinated Debentures - Additional Information (Detail) - USD ($) | Jul. 21, 2020 | May 30, 2018 | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2006 | Sep. 30, 2005 |
Debt Instrument [Line Items] | ||||||
Time period after occurrence and continuation of certain changes which debt redemption may occur | 180 days | |||||
7.00% Subordinated Note Due June 30, 2030 | ||||||
Debt Instrument [Line Items] | ||||||
Description of variable rate basis | SOFR plus 687.5 basis points | |||||
Interest rate term | three-month | |||||
Subsequent Event | 7.00% Subordinated Note Due June 30, 2030 | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate | 6.875% | |||||
Maturity date | Jun. 30, 2030 | |||||
Aggregate principal amount of note sold and issued | $ 5,000,000 | |||||
Debt instrument interest rate percentage | 7.00% | |||||
Debt instrument face amount percentage | 100.00% | |||||
Fox River Valley Capital Trust I | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate | 6.40% | |||||
Junior subordinated debentures owned amount | $ 100,000 | |||||
Minimum | ||||||
Debt Instrument [Line Items] | ||||||
Percentage ownership constituting triggering event | 25.00% | |||||
5-year LIBOR | Fox River Valley Capital Trust I | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate | 3.40% | |||||
Trust Preferred Securities Subject to Mandatory Redemption | Fox River Valley Capital Trust I | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate junior subordinated debentures | $ 3,600,000 | |||||
Incremental redeemable capital securities | 10,000 | |||||
Trust Preferred Securities Subject to Mandatory Redemption | Minimum | Fox River Valley Capital Trust I | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate capital securities | $ 500,000 | |||||
Trust II | ||||||
Debt Instrument [Line Items] | ||||||
Maturity date | Sep. 15, 2035 | |||||
Trust II | Three month LIBOR | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate | 1.53% | 1.53% | ||||
Interest rate | 1.84% | 3.44% | ||||
Trust II | Trust Preferred Securities Subject to Mandatory Redemption | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate capital securities | $ 6,000,000 | |||||
Trust III | ||||||
Debt Instrument [Line Items] | ||||||
Interest rate | 2.00% | 3.60% | ||||
Maturity date | Jun. 15, 2036 | |||||
Trust III | Three month LIBOR | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate | 1.69% | 1.69% | ||||
Trust III | Trust Preferred Securities Subject to Mandatory Redemption | ||||||
Debt Instrument [Line Items] | ||||||
Floating rate capital securities | $ 6,000,000 | |||||
Subordinated Notes | ||||||
Debt Instrument [Line Items] | ||||||
Aggregate principal amount of note sold and issued | $ 30,000,000 | $ 17,400,000 | ||||
Fixed-to-floating rate | 5.875% | 7.00% | ||||
Maturity date | Jun. 1, 2028 | Jun. 30, 2030 | ||||
Debt instrument sale price to face amount percentage | 100.00% | 100.00% | ||||
Fixed interest rate | 5.875% | 7.00% | ||||
Frequency of interest payment | quarterly | |||||
Costs incurred related to the issuance of the Notes | $ 900,000 | $ 500,000 | ||||
Subordinated Notes | LIBOR | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate | 2.88% | |||||
Description of variable rate basis | 3-month LIBOR | |||||
Subordinated Notes | SOFR | ||||||
Debt Instrument [Line Items] | ||||||
Basis spread on variable rate | 6.875% | |||||
Description of variable rate basis | three-month term secured overnight financing rate (SOFR) |
Equity Incentive Plan - Additio
Equity Incentive Plan - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 48 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Share-based compensation expense | $ 496 | $ 262 | |||
Unrecognized share-based compensation expense related to nonvested share-based compensation instruments amounted | $ 1,100 | $ 1,100 | $ 1,100 | ||
Maximum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Option term | 10 years | ||||
Maximum | Equity Option | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Vesting period | 5 years | ||||
Minimum | Equity Option | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Vesting period | 1 year | ||||
Restricted Stock Awards | Maximum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Vesting period | 5 years | ||||
Restricted Stock Awards | Minimum | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Vesting period | 1 year | ||||
Stock Options, Restricted Stock Awards and Units | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Share-based compensation expense | $ 300 | $ 200 | $ 500 | $ 300 | |
Employee Stock Option | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Unrecognized share-based compensation expense related to nonvested share-based compensation instruments amounted, weighted average period of recognition | 2 years 18 days | ||||
2016 Long Term Incentive Plan | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Number of options granted under plan | 54,746 | 60,974 | |||
2016 Long Term Incentive Plan | Restricted Stock Awards | |||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||
Number of restricted stock granted under plan | 60,974 |
Equity Incentive Plan - Status
Equity Incentive Plan - Status and Changes in Stock Option Plan (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 48 Months Ended | ||
Mar. 31, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2020 | ||
Number of Options | |||||
Options, Exercised | (14,590) | (5,000) | |||
2016 Long Term Incentive Plan | |||||
Number of Options | |||||
Options, Outstanding beginning of year | 214,904 | 214,904 | |||
Options, Granted | 54,746 | 60,974 | |||
Options, Exercised | (14,590) | ||||
Options, Outstanding end of period | 255,060 | 255,060 | |||
Options exercisable at period-end | 162,623 | 162,623 | |||
Weighted-Average Exercise Price | |||||
Weighted Average Exercise price, Outstanding, beginning of year | $ 18.94 | $ 18.94 | |||
Weighted Average Exercise Price, Granted | 19.51 | ||||
Weighted Average Exercise Price, Exercised | 13.38 | ||||
Weighted Average Exercise Price, Outstanding, end of period | 19.38 | $ 19.38 | |||
Weighted Average Exercise Price, Options exercisable at period-end | $ 18.82 | $ 18.82 | |||
Aggregate Intrinsic Value | |||||
Aggregate Intrinsic Value, Outstanding, end of period | [1] | $ 677 | $ 677 | ||
Aggregate Intrinsic Value, Options exercisable at period-end | [1] | $ 493 | $ 493 | ||
2016 Long Term Incentive Plan | Black-Scholes Option Pricing Model | |||||
Weighted-Average Exercise Price | |||||
Weighted-average fair value of options granted during the period | [2] | $ 6.01 | |||
[1] | The aggregate intrinsic value of a stock option in the table above represents the total pre-tax intrinsic value (the amount by which the current market value of the underlying stock exceeds the exercise price of the option) that would have been received by the option holders had all option holders exercised their options on June 30, 2020. This amount changes based on changes in the market value of the Company’s stock. | ||||
[2] | The fair value (present value of the estimated future benefit to the option holder) of each option grant is estimated on the date of grant using the Black-Scholes option pricing model. |
Equity Incentive Plan - Activit
Equity Incentive Plan - Activity in Restricted Stock Awards and Restricted Stock Units (Detail) | 6 Months Ended | |
Jun. 30, 2020$ / sharesshares | ||
Restricted Stock Awards | ||
Number of Non-Vested Shares | ||
Outstanding, beginning of year | shares | 20,668 | [1] |
Vested | shares | (14,369) | [1] |
Outstanding, end of period | shares | 6,299 | [1] |
Weighted Average Grant Date Fair Value | ||
Weighted Average Grant Price Outstanding, Beginning of year | $ / shares | $ 21.86 | |
Weighted Average Grant Price, Vested | $ / shares | 20.57 | |
Weighted Average Grant Price Outstanding, End of year | $ / shares | $ 24.80 | |
Restricted Stock Units | ||
Number of Non-Vested Shares | ||
Outstanding, beginning of year | shares | 32,125 | |
Granted | shares | 43,725 | |
Vested | shares | (14,615) | |
Outstanding, end of period | shares | 61,235 | |
Restricted shares vested not yet issued, end of period | shares | 5,257 | |
Weighted Average Grant Date Fair Value | ||
Weighted Average Grant Price Outstanding, Beginning of year | $ / shares | $ 19.80 | |
Weighted Average Grant Price Outstanding, Granted | $ / shares | 18.66 | |
Weighted Average Grant Price, Vested | $ / shares | 19.37 | |
Weighted Average Grant Price Outstanding, End of year | $ / shares | 19.07 | |
Weighted Average Grant Price Outstanding, Restricted shares vested not yet issued, end of period | $ / shares | $ 25.39 | |
[1] | The beginning of year amounts have been reclassified to include restricted stock awards and units for individuals that have reached retirement age as defined by the Plan. Previously, these units were considered vested and removed from the schedule; however the Plan only accelerates the vesting of these options if the participant leaves employment. |
Regulatory Matters - Summary of
Regulatory Matters - Summary of Actual Capital Amounts and Ratios of Company and Bank's (Detail) $ in Thousands | Jun. 30, 2020USD ($) | Dec. 31, 2019USD ($) |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to risk weighted assets), Actual Amount | $ 237,743 | $ 225,094 |
Total Capital (to risk weighted assets), Actual Ratio | 0.2042 | 0.1941 |
Total Capital (to risk weighted assets), Minimum For Capital Adequacy Purpose, Amount | $ 122,222 | $ 121,746 |
Total Capital (to risk weighted assets), Minimum For Capital Adequacy Purpose, Ratio | 0.1050 | 0.10500 |
Total Capital (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 0 | $ 0 |
Total Capital (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.1000 | |
Tier 1 Capital (to risk weighted assets), Actual Amount | $ 176,966 | $ 180,620 |
Tier 1 Capital (to risk weighted assets), Actual Ratio | 0.1520 | 0.1558 |
Tier 1 Capital (to risk weighted assets), Minimum For Capital Adequacy Purposes, Amount | $ 98,942 | $ 98,557 |
Tier 1 Capital (to risk weighted assets), Minimum For Capital Adequacy Purposes, Ratio | 0.0850 | 0.08500 |
Tier 1 Capital (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 0 | $ 0 |
Tier 1 Capital (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.0800 | |
Tier 1 Capital (to average assets), Actual Amount | $ 176,966 | $ 180,620 |
Tier 1 Capital (to average assets), Actual Ratio | 0.1269 | 0.1242 |
Tier 1 Capital (to average assets), Minimum To Be Adequately Capitalized Under Prompt Corrective Action Provisions, Amount | $ 55,795 | $ 58,182 |
Tier 1 Capital (to average assets), Minimum To Be Adequately Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.0400 | 0.0400 |
Tier 1 Capital (to average assets), Minimum To Be Adequately Capitalized Under Prompt Corrective Action Provisions, Amount | $ 0 | $ 0 |
Tier 1 Capital (to average assets), Minimum To Be Adequately Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.0500 | |
Tier 1 Common Equity (to risk weighted assets), Actual Amount | $ 176,966 | $ 156,969 |
Tier 1 Common Equity (to risk weighted assets), Actual Ratio | 15.20% | 13.54% |
Tier 1 Common Equity (to risk weighted assets), Minimum For Capital Adequacy Purposes, Amount | $ 81,482 | $ 81,164 |
Tier 1 Common Equity (to risk weighted assets), Minimum For Capital Adequacy Purposes, Ratio | 7.00% | 7.00% |
Tier 1 Common Equity (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 0 | $ 0 |
Tier 1 Common Equity (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 6.50% | |
Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total Capital (to risk weighted assets), Actual Amount | $ 207,319 | $ 216,198 |
Total Capital (to risk weighted assets), Actual Ratio | 0.1788 | 0.1870 |
Total Capital (to risk weighted assets), Minimum For Capital Adequacy Purpose, Amount | $ 121,773 | $ 121,396 |
Total Capital (to risk weighted assets), Minimum For Capital Adequacy Purpose, Ratio | 0.1050 | 0.10500 |
Total Capital (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 115,974 | $ 115,615 |
Total Capital (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.1000 | 0.1000 |
Tier 1 Capital (to risk weighted assets), Actual Amount | $ 192,772 | $ 201,735 |
Tier 1 Capital (to risk weighted assets), Actual Ratio | 0.1662 | 0.1745 |
Tier 1 Capital (to risk weighted assets), Minimum For Capital Adequacy Purposes, Amount | $ 98,578 | $ 98,273 |
Tier 1 Capital (to risk weighted assets), Minimum For Capital Adequacy Purposes, Ratio | 0.0850 | 0.08500 |
Tier 1 Capital (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 92,779 | $ 92,492 |
Tier 1 Capital (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.0800 | 0.0800 |
Tier 1 Capital (to average assets), Actual Amount | $ 192,772 | $ 201,735 |
Tier 1 Capital (to average assets), Actual Ratio | 0.1388 | 0.1468 |
Tier 1 Capital (to average assets), Minimum To Be Adequately Capitalized Under Prompt Corrective Action Provisions, Amount | $ 55,538 | $ 54,962 |
Tier 1 Capital (to average assets), Minimum To Be Adequately Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.0400 | 0.0400 |
Tier 1 Capital (to average assets), Minimum To Be Adequately Capitalized Under Prompt Corrective Action Provisions, Amount | $ 69,423 | $ 68,702 |
Tier 1 Capital (to average assets), Minimum To Be Adequately Capitalized Under Prompt Corrective Action Provisions, Ratio | 0.0500 | 0.0500 |
Tier 1 Common Equity (to risk weighted assets), Actual Amount | $ 192,772 | $ 201,735 |
Tier 1 Common Equity (to risk weighted assets), Actual Ratio | 16.62% | 17.45% |
Tier 1 Common Equity (to risk weighted assets), Minimum For Capital Adequacy Purposes, Amount | $ 81,182 | $ 80,930 |
Tier 1 Common Equity (to risk weighted assets), Minimum For Capital Adequacy Purposes, Ratio | 7.00% | 7.00% |
Tier 1 Common Equity (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | $ 75,383 | $ 75,150 |
Tier 1 Common Equity (to risk weighted assets), Minimum To Be Well Capitalized Under Prompt Corrective Action Provisions, Ratio | 6.50% | 6.50% |
Regulatory Matters - Additional
Regulatory Matters - Additional Information (Detail) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Regulatory Capital Requirements [Abstract] | ||
Capital conservative buffer percentage | 2.50% | 2.50% |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | $ 226,971 | $ 158,733 | |||
Loan servicing rights | 16,486 | 12,509 | $ 9,621 | $ 9,275 | $ 9,047 |
Fair Value on a Recurring Basis | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 243,457 | 158,733 | |||
Loan servicing rights | 16,486 | ||||
Total liabilities at fair value | 2,226 | 972 | |||
Fair Value on a Recurring Basis | Derivative Instruments, Interest Rate Swaps | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Total liabilities at fair value | 2,226 | 972 | |||
Fair Value on a Recurring Basis | U.S. Government and Agency Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 15,603 | 3,458 | |||
Fair Value on a Recurring Basis | US Treasury Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 2,506 | ||||
Fair Value on a Recurring Basis | Asset Backed Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 16,566 | ||||
Fair Value on a Recurring Basis | Mortgage-backed Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 143,162 | 152,769 | |||
Fair Value on a Recurring Basis | Municipal Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 51,640 | ||||
Fair Value on a Recurring Basis | Level 2 Inputs | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 226,971 | 158,733 | |||
Total liabilities at fair value | 2,226 | 972 | |||
Fair Value on a Recurring Basis | Level 2 Inputs | Derivative Instruments, Interest Rate Swaps | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Total liabilities at fair value | 2,226 | 972 | |||
Fair Value on a Recurring Basis | Level 2 Inputs | U.S. Government and Agency Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 15,603 | 3,458 | |||
Fair Value on a Recurring Basis | Level 2 Inputs | US Treasury Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 2,506 | ||||
Fair Value on a Recurring Basis | Level 2 Inputs | Asset Backed Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 16,566 | ||||
Fair Value on a Recurring Basis | Level 2 Inputs | Mortgage-backed Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 143,162 | $ 152,769 | |||
Fair Value on a Recurring Basis | Level 2 Inputs | Municipal Securities | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 51,640 | ||||
Fair Value on a Recurring Basis | Level 3 Inputs | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair Value | 16,486 | ||||
Loan servicing rights | $ 16,486 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Instruments Carried on Consolidated Balance Sheet for Which Nonrecurring Change in Fair Value Has Been Recorded (Detail) - Fair Value on a Nonrecurring Basis - Level 3 Inputs - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets at fair value | $ 49,767 | $ 50,178 |
Impaired Loans | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 47,138 | 44,657 |
Other Real Estate Owned | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Total assets at fair value | $ 2,629 | $ 5,521 |
Fair Value Measurements - Signi
Fair Value Measurements - Significant Inputs Used in Fair Value Measurements for Level 3 Assets Measured on Nonrecurring Basis (Detail) - Level 3 Inputs | 6 Months Ended | 12 Months Ended |
Jun. 30, 2020 | Dec. 31, 2019 | |
Impaired Loans | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Valuation Techniques | icbk:EvaluationOfCollateralMember | icbk:EvaluationOfCollateralMember |
Unobservable Inputs | Estimation of value | Estimation of value |
Other Real Estate Owned | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Valuation Techniques | icbk:AppraisalMember | icbk:AppraisalMember |
Unobservable Inputs | Appraisal adjustment | Appraisal adjustment |
Other Real Estate Owned | Minimum | Measurement Input, Comparability Adjustment | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Range (Average) | 0.05 | 0.05 |
Other Real Estate Owned | Maximum | Measurement Input, Comparability Adjustment | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Range (Average) | 0.64 | 0.64 |
Other Real Estate Owned | Weighted Average | Measurement Input, Comparability Adjustment | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Range (Average) | 0.24 | 0.29 |
Fair Value Measurements - Estim
Fair Value Measurements - Estimated Fair Values and Related Carrying or Notional Amounts of Financial Instruments (Detail) - USD ($) $ in Thousands | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
Financial assets: | |||
Interest earning cash at other financial institutions | $ 416 | $ 20,554 | |
Securities available for sale | 226,971 | 158,733 | |
Loan servicing rights | 16,486 | $ 16,211 | 12,509 |
Level 3 Inputs | |||
Financial assets: | |||
Loan servicing rights | 16,500 | 15,900 | |
Carrying Amount | Level 1 Inputs | |||
Financial assets: | |||
Cash and cash equivalents | 127,016 | 108,457 | |
Interest earning cash at other financial institutions | 416 | 20,554 | |
Carrying Amount | Level 2 Inputs | |||
Financial assets: | |||
FHLB Stock | 5,758 | 1,628 | |
Securities available for sale | 226,971 | 158,733 | |
Accrued interest receivable | 3,222 | 2,571 | |
Financial liabilities: | |||
Advances from FHLB | 93,400 | 44,400 | |
Accrued interest payable | 3,101 | 4,769 | |
Derivative instruments, interest rate swaps | 2,226 | 972 | |
Carrying Amount | Level 3 Inputs | |||
Financial assets: | |||
Loans, net of allowance for loan losses | 1,068,955 | 1,020,506 | |
Loans held for sale | 11,847 | 2,151 | |
Loan servicing rights | 16,486 | 12,509 | |
Financial liabilities: | |||
Other borrowings | 101,847 | 794 | |
Subordinated debentures | 61,910 | 44,858 | |
Fair Value | Level 1 Inputs | |||
Financial assets: | |||
Cash and cash equivalents | 127,016 | 108,457 | |
Interest earning cash at other financial institutions | 416 | 20,554 | |
Fair Value | Level 2 Inputs | |||
Financial assets: | |||
FHLB Stock | 5,758 | 1,628 | |
Securities available for sale | 226,971 | 158,733 | |
Accrued interest receivable | 3,222 | 2,571 | |
Financial liabilities: | |||
Advances from FHLB | 94,926 | 44,578 | |
Accrued interest payable | 3,101 | 4,769 | |
Derivative instruments, interest rate swaps | 2,226 | 972 | |
Fair Value | Level 3 Inputs | |||
Financial assets: | |||
Loans, net of allowance for loan losses | 1,080,610 | 1,024,062 | |
Loans held for sale | 11,847 | 2,151 | |
Loan servicing rights | 16,486 | 15,921 | |
Financial liabilities: | |||
Other borrowings | 101,847 | 794 | |
Subordinated debentures | 61,910 | 44,858 | |
Bank Time Deposits | Carrying Amount | Level 2 Inputs | |||
Financial liabilities: | |||
Deposits | 525,982 | 640,925 | |
Bank Time Deposits | Fair Value | Level 2 Inputs | |||
Financial liabilities: | |||
Deposits | 526,560 | 635,558 | |
Other Deposits | Carrying Amount | Level 1 Inputs | |||
Financial liabilities: | |||
Deposits | 547,071 | 460,517 | |
Other Deposits | Fair Value | Level 1 Inputs | |||
Financial liabilities: | |||
Deposits | $ 547,071 | $ 460,517 |
Other Real Estate Owned - Summa
Other Real Estate Owned - Summary of Changes in Other Real Estate Owned (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Real Estate Owned Disclosure Of Detailed Components [Abstract] | ||||
Balance, beginning of period | $ 3,247 | $ 5,019 | $ 5,521 | $ 6,568 |
Assets foreclosed | 4,145 | 5,292 | ||
Write-down of other real estate owned | (250) | (1,360) | (250) | |
Net gain (loss) on sales of other real estate owned | (9) | (4) | 127 | |
Proceeds from sale of other real estate owned | (618) | (212) | (1,528) | (3,044) |
Balance, end of period | $ 2,629 | $ 8,693 | $ 2,629 | $ 8,693 |
Other Real Estate Owned - Expen
Other Real Estate Owned - Expenses Applicable to Other Real Estate Owned Included in Non-Interest Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Real Estate Owned Disclosure Of Detailed Components [Abstract] | ||||
Net gain (loss) on sales of other real estate owned | $ (9) | $ (4) | $ 127 | |
Write-down of other real estate owned | (250) | (1,360) | (250) | |
Operating expenses, net of rental income | $ (50) | (85) | (166) | (110) |
Total Expenses | $ (50) | $ (344) | $ (1,530) | $ (233) |
Derivative Financial Instrume_2
Derivative Financial Instruments - Additional Information (Detail) | Jun. 15, 2018Security | Jun. 30, 2020USD ($)Swap | Jun. 30, 2019USD ($) | Dec. 31, 2019USD ($) |
Interest Rate Swap | ||||
Derivative [Line Items] | ||||
Number of trust preferred securities | Security | 2 | |||
Number of outstanding interest rate swap | Swap | 2 | |||
Interest Rate Swap | Designated as Hedging Instrument | Cash Flow Hedging | ||||
Derivative [Line Items] | ||||
Pre-tax unrealized loss recognized in accumulated other comprehensive income | $ (1,300,000) | $ (1,100,000) | ||
Ineffective portion of cash flow hedge | 0 | $ 0 | ||
Cash collateral for derivative instrument | 2,400,000 | |||
Interest Rate Swap One | Designated as Hedging Instrument | Cash Flow Hedging | ||||
Derivative [Line Items] | ||||
Aggregate notional value | $ 6,000,000 | |||
Maturity date | Jun. 15, 2028 | |||
Interest Rate Swap Two | Designated as Hedging Instrument | Cash Flow Hedging | ||||
Derivative [Line Items] | ||||
Aggregate notional value | $ 6,000,000 | |||
Maturity date | Jun. 15, 2028 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) $ in Millions | Jul. 21, 2020USD ($) |
Subsequent Event | 7.00% Subordinated Note Due June 30, 2030 | |
Subsequent Event [Line Items] | |
Aggregate principal amount of note sold and issued | $ 5 |