Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2020 | Nov. 01, 2020 | |
Cover [Abstract] | ||
Entity Central Index Key | 0001730984 | |
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-38483 | |
Entity Registrant Name | BAYCOM CORP | |
Entity Incorporation, State or Country Code | CA | |
Entity Tax Identification Number | 37-1849111 | |
Entity Address, Address Line One | 500 Ygnacio Valley Road | |
Entity Address, Address Line Two | Suite 200 | |
Entity Address, City or Town | Walnut Creek | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 94596 | |
City Area Code | 925 | |
Local Phone Number | 476-1800 | |
Title of 12(b) Security | Common Stock, no par value per share | |
Trading Symbol | BCML | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 11,833,115 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
ASSETS | ||
Cash and due from banks | $ 319,835 | $ 23,476 |
Federal funds sold | 271,906 | |
Cash and cash equivalents | 319,835 | 295,382 |
Interest bearing deposits in banks | 8,714 | 1,739 |
Investment securities available-for-sale | 113,708 | 119,889 |
Federal Home Loan Bank ("FHLB") stock, at par | 7,737 | 7,174 |
Federal Reserve Bank ("FRB") stock, at par | 7,594 | 6,731 |
Loans held for sale | 12,044 | 2,226 |
Loans, net of allowance for loan losses of $15,800 and $7,400 at September 30, 2020 and December 31, 2019, respectively | 1,678,295 | 1,450,229 |
Premises and equipment, net | 15,623 | 10,529 |
Other real estate owned ("OREO") | 296 | 574 |
Core deposit intangible | 8,755 | 9,185 |
Cash surrender value of bank owned life insurance ("BOLI") policies, net | 20,745 | 20,244 |
Right-of-use assets ("ROU") | 13,061 | 15,291 |
Goodwill | 38,838 | 35,466 |
Interest receivable and other assets | 26,486 | 19,518 |
Total assets | 2,271,731 | 1,994,177 |
LIABILITIES AND SHAREHOLDERS' EQUITY | ||
Noninterest and interest bearing deposits | 1,908,646 | 1,701,183 |
Lease liabilities | 13,097 | 15,599 |
Salary continuation plan | 3,923 | 3,658 |
Interest payable and other liabilities | 9,074 | 11,275 |
Subordinated debt | 63,340 | |
Other borrowings | 10,000 | |
Junior subordinated deferrable interest debentures, net | 8,302 | 8,242 |
Total liabilities | 2,016,382 | 1,739,957 |
Commitments and contingencies (Note 16) | ||
Shareholders' equity | ||
Preferred stock - no par value; 10,000,000 shares authorized; no shares issued and outstanding at both September 30, 2020 and December 31, 2019 | ||
Common stock - no par value; 100,000,000 shares authorized; 11,833,115 and 12,444,632 shares issued and outstanding at September 30, 2020 and December 31, 2019, respectively | 174,357 | 184,043 |
Additional paid in capital | 287 | 287 |
Accumulated other comprehensive income, net of tax | 2,880 | 1,251 |
Retained earnings | 77,825 | 68,639 |
Total shareholders' equity | 255,349 | 254,220 |
Total liabilities and shareholders' equity | $ 2,271,731 | $ 1,994,177 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
CONDENSED CONSOLIDATED BALANCE SHEETS | ||
Allowance for loan losses | $ 15,800 | $ 7,400 |
Preferred Stock, No Par Value | $ 0 | $ 0 |
Preferred Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Preferred Stock, Shares Issued | 0 | 0 |
Preferred Stock, Shares Outstanding | 0 | 0 |
Common Stock, No Par Value | $ 0 | $ 0 |
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 |
Common Stock, Shares, Issued | 11,833,115 | 12,444,632 |
Common Stock, Shares, Outstanding | 11,833,115 | 12,444,632 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Interest income: | ||||
Loans, including fees | $ 20,136 | $ 17,524 | $ 62,511 | $ 46,194 |
Investment securities and interest bearing deposits in banks | 875 | 2,662 | 3,400 | 7,990 |
FHLB dividends | 95 | 141 | 274 | 325 |
FRB dividends | 117 | 63 | 339 | 186 |
Total interest and dividend income | 21,223 | 20,390 | 66,524 | 54,695 |
Interest expense: | ||||
Deposits | 1,562 | 2,493 | 5,564 | 5,623 |
Subordinated debt | 600 | 140 | 818 | 433 |
Other borrowings | 56 | 150 | ||
Total interest expense | 2,218 | 2,633 | 6,532 | 6,056 |
Net interest income | 19,005 | 17,757 | 59,992 | 48,639 |
Provision for loan losses | 2,293 | 479 | 8,404 | 1,201 |
Net interest income after provision for loan losses | 16,712 | 17,278 | 51,588 | 47,438 |
Noninterest income: | ||||
Gain on sale of loans | 176 | 689 | 1,030 | 1,782 |
Loan servicing and other loan fees | 608 | 443 | 1,849 | 1,367 |
(Loss) gain on sale of premises | (25) | (25) | 187 | |
Income on investment in SBIC fund | 188 | 131 | 223 | 599 |
Other income | 233 | 246 | 668 | 839 |
Total noninterest income | 1,828 | 2,114 | 5,708 | 6,774 |
Noninterest expense: | ||||
Salaries and employee benefits | 8,482 | 7,440 | 25,442 | 20,600 |
Occupancy and equipment | 1,749 | 1,396 | 5,334 | 3,570 |
Data processing | 1,642 | 1,036 | 6,716 | 5,643 |
Other expense | 2,283 | 1,792 | 7,118 | 6,394 |
Total noninterest expense | 14,156 | 11,664 | 44,610 | 36,207 |
Income before provision for income taxes | 4,384 | 7,728 | 12,686 | 18,005 |
Provision for income taxes | 1,135 | 2,165 | 3,500 | 5,274 |
Net income | $ 3,249 | $ 5,563 | $ 9,186 | $ 12,731 |
Earnings per common share : | ||||
Basic earnings per common share (in dollars per share) | $ 0.27 | $ 0.46 | $ 0.76 | $ 1.11 |
Weighted average shares outstanding (in shares) | 11,865,058 | 12,061,616 | 12,078,407 | 11,450,108 |
Diluted earnings per common share (in dollars per share) | $ 0.27 | $ 0.46 | $ 0.76 | $ 1.11 |
Weighted average shares outstanding (in shares) | 11,865,058 | 12,061,616 | 12,078,407 | 11,450,108 |
Bank Servicing and Other | ||||
Noninterest income: | ||||
Revenue from contract with customer, excluding assessed tax | $ 648 | $ 605 | $ 1,963 | $ 2,000 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | ||||
Net income | $ 3,249 | $ 5,563 | $ 9,186 | $ 12,731 |
Other comprehensive income: | ||||
Change in unrealized (loss) gain on available-for-sale securities | (13) | 446 | 2,288 | 2,391 |
Deferred tax benefit (expense) | 4 | (128) | (659) | (684) |
Other comprehensive (loss) income, net of tax | (9) | 318 | 1,629 | 1,707 |
Total comprehensive income | $ 3,240 | $ 5,881 | $ 10,815 | $ 14,438 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY - USD ($) $ in Thousands | Common Stock | Additional Paid in Capital | Accumulated Other Comprehensive Income/(Loss) | Retained Earnings | Total |
Balance at Dec. 31, 2018 | $ 149,248 | $ 287 | $ (103) | $ 51,321 | $ 200,753 |
Balance (in shares) at Dec. 31, 2018 | 10,869,275 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 4,941 | 4,941 | |||
Other comprehensive (loss) income, net | 597 | 597 | |||
Restricted stock granted (in shares) | 22,289 | ||||
Stock based compensation | $ 120 | 120 | |||
Balance at Mar. 31, 2019 | $ 149,368 | 287 | 494 | 56,262 | 206,411 |
Balance (in shares) at Mar. 31, 2019 | 10,891,564 | ||||
Balance at Dec. 31, 2018 | $ 149,248 | 287 | (103) | 51,321 | 200,753 |
Balance (in shares) at Dec. 31, 2018 | 10,869,275 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 12,731 | ||||
Other comprehensive (loss) income, net | 1,707 | ||||
Balance at Sep. 30, 2019 | $ 174,942 | 287 | 1,604 | 64,052 | 240,885 |
Balance (in shares) at Sep. 30, 2019 | 12,061,616 | ||||
Balance at Mar. 31, 2019 | $ 149,368 | 287 | 494 | 56,262 | 206,411 |
Balance (in shares) at Mar. 31, 2019 | 10,891,564 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 2,227 | 2,227 | |||
Other comprehensive (loss) income, net | 792 | 792 | |||
Restricted stock granted (in shares) | 45,696 | ||||
Stock based compensation | $ 320 | 320 | |||
Stock issued in acquisition | $ 24,887 | 24,887 | |||
Stock issued in acquisition (in shares) | 1,115,006 | ||||
Balance at Jun. 30, 2019 | $ 174,575 | 287 | 1,286 | 58,489 | 234,637 |
Balance (in shares) at Jun. 30, 2019 | 12,052,266 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 5,563 | 5,563 | |||
Other comprehensive (loss) income, net | 318 | 318 | |||
Restricted stock granted (in shares) | 9,350 | ||||
Stock based compensation | $ 367 | 367 | |||
Balance at Sep. 30, 2019 | $ 174,942 | 287 | 1,604 | 64,052 | 240,885 |
Balance (in shares) at Sep. 30, 2019 | 12,061,616 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 4,587 | 4,587 | |||
Other comprehensive (loss) income, net | (353) | (353) | |||
Stock based compensation | $ 347 | 347 | |||
Issuance of shares | $ 19,711 | 19,711 | |||
Issuance of shares (in shares) | 876,803 | ||||
Repurchase of shares | $ (10,957) | (10,957) | |||
Repurchase of shares (in shares) | (493,787) | ||||
Balance at Dec. 31, 2019 | $ 184,043 | 287 | 1,251 | 68,639 | $ 254,220 |
Balance (in shares) at Dec. 31, 2019 | 12,444,632 | 12,444,632 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 2,818 | $ 2,818 | |||
Other comprehensive (loss) income, net | 810 | 810 | |||
Restricted stock granted (in shares) | 15,173 | ||||
Restricted stock forfeited (in shares) | (1,432) | ||||
Stock based compensation | $ 309 | 309 | |||
Repurchase of shares | $ (4,596) | (4,596) | |||
Repurchase of shares (in shares) | (228,525) | ||||
Balance at Mar. 31, 2020 | $ 179,756 | 287 | 2,061 | 71,457 | 253,561 |
Balance (in shares) at Mar. 31, 2020 | 12,229,848 | ||||
Balance at Dec. 31, 2019 | $ 184,043 | 287 | 1,251 | 68,639 | $ 254,220 |
Balance (in shares) at Dec. 31, 2019 | 12,444,632 | 12,444,632 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | $ 9,186 | ||||
Other comprehensive (loss) income, net | 1,629 | ||||
Balance at Sep. 30, 2020 | $ 174,357 | 287 | 2,880 | 77,825 | $ 255,349 |
Balance (in shares) at Sep. 30, 2020 | 11,833,115 | 11,833,115 | |||
Balance at Mar. 31, 2020 | $ 179,756 | 287 | 2,061 | 71,457 | $ 253,561 |
Balance (in shares) at Mar. 31, 2020 | 12,229,848 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 3,119 | 3,119 | |||
Other comprehensive (loss) income, net | 828 | 828 | |||
Restricted stock granted (in shares) | 92,294 | ||||
Stock based compensation | $ 363 | 363 | |||
Repurchase of shares | $ (5,463) | (5,463) | |||
Repurchase of shares (in shares) | (451,978) | ||||
Balance at Jun. 30, 2020 | $ 174,656 | 287 | 2,889 | 74,576 | 252,408 |
Balance (in shares) at Jun. 30, 2020 | 11,870,164 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 3,249 | 3,249 | |||
Other comprehensive (loss) income, net | (9) | (9) | |||
Restricted stock granted (in shares) | 21,599 | ||||
Stock based compensation | $ 385 | 385 | |||
Repurchase of shares | $ (684) | (684) | |||
Repurchase of shares (in shares) | (58,648) | ||||
Balance at Sep. 30, 2020 | $ 174,357 | $ 287 | $ 2,880 | $ 77,825 | $ 255,349 |
Balance (in shares) at Sep. 30, 2020 | 11,833,115 | 11,833,115 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) shares in Thousands, $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash flows from operating activities: | ||
Net income | $ 9,186 | $ 12,731 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Increase in deferred tax asset | (1,888) | (1,148) |
Accretion on acquired loans | (4,339) | (2,683) |
Gain on sale of loans | (1,030) | (1,782) |
Proceeds from sale of loans | 14,993 | 24,317 |
Loans originated for sale | (20,036) | (33,551) |
Loss (gain) on sale of premises | 25 | (187) |
Gain on sale of OREO | (28) | (112) |
Accretion on junior subordinated debentures | 60 | 60 |
Increase in cash surrender value of life insurance policies securities | (501) | (484) |
Provision for loan losses | 8,404 | 1,201 |
Amortization/accretion of premium/discount on investment securities | 543 | 340 |
Depreciation and amortization | 1,198 | 859 |
Core deposit intangible amortization | 1,379 | 1,177 |
Stock based compensation expense | 1,057 | 807 |
Increase in deferred loan origination fees, net | 4,124 | 212 |
Increase in interest receivable and other assets | (1,854) | (6,889) |
Increase in salary continuation plan, net | 265 | 213 |
(Decrease) increase in interest payable and other liabilities | (5,401) | 10,300 |
Net cash provided by operating activities | 6,157 | 5,381 |
Cash flows from investing activities: | ||
Proceeds from maturities of interest bearing deposits in banks | 9,065 | 1,497 |
Purchase of investment securities | (9,920) | (13,260) |
Proceeds from the maturity and repayment of investment securities | 22,228 | 21,173 |
Purchase of Federal Home Loan Bank stock | (398) | (477) |
Purchase of Federal Reserve Bank stock | (863) | (88) |
(Increase) decrease in loans, net | (141,802) | 29,362 |
Proceeds from sale of premises | 431 | 4,961 |
Proceeds from sale of OREO | 518 | 354 |
Purchase of equipment and leasehold improvements | (2,869) | (704) |
Net cash paid out for acquisition | (8,432) | (9,342) |
Net cash (used in) provided by investing activities | (132,042) | 33,476 |
Cash flows from financing activities: | ||
Increase (decrease) in noninterest and interest bearing deposits, net | 175,055 | (10,410) |
Decrease in time deposits, net | (85,739) | (14,950) |
Repurchase of common stock | (10,743) | |
Repayment of junior subordinated debentures | (1,575) | |
Proceeds from Issuance of subordinated debt, net | 63,340 | |
Increase in other borrowings | 116,000 | |
Repayment of other borrowings | (106,000) | |
Net cash provided by (used in) financing activities | 150,338 | (25,360) |
Increase in cash and cash equivalents | 24,453 | 13,497 |
Cash and cash equivalents at beginning of period | 295,382 | 323,581 |
Cash and cash equivalents at end of period | 319,835 | 337,078 |
Cash paid during the year for: | ||
Interest expense | 7,137 | 4,745 |
Cash paid during the year for: | ||
Income tax, net of refunds | 5,940 | 4,866 |
Non-cash investing and financing activities: | ||
Change in unrealized gain on available-for-sale securities, net of tax | 1,629 | 1,707 |
Transfer of loans to other real estate owned | 212 | |
Recognition of ROU assets | 760 | 11,411 |
Recognition of lease liability | 707 | 11,727 |
Acquisition: | ||
Assets acquired, net of cash received | 109,429 | 289,546 |
Liabilities assumed | 120,409 | 267,172 |
Cash consideration | 13,886 | $ 37,814 |
Common stock issued | 24,887 | |
Goodwill | $ 3,372 | $ 11,855 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2020 | |
BASIS OF PRESENTATION | |
BASIS OF PRESENTATION | NOTE 1 – BASIS OF PRESENTATION BayCom Corp (the “Company”) is a bank holding company headquartered in Walnut Creek, California. United Business Bank (the “Bank”), the Company’s wholly owned banking subsidiary, is a California state-chartered bank which provides a broad range of financial services primarily to local small and mid-sized businesses, service professionals and individuals. In the 16 years of operation, the Bank has grown to 34 full-service banking branches. The main headquarters and a branch office are located in Walnut Creek, California and additional branch offices are located in Oakland, Castro Valley, Mountain View, Napa, Stockton ( 2 All intercompany transactions and balances have been eliminated in consolidation. The condensed consolidated financial statements include all adjustments of a normal and recurring nature, which are, in the opinion of management, necessary for a fair presentation of the financial position and results of operations for the periods presented. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and, therefore, do not include all information and footnotes normally included in annual financial statements prepared in conformity with accounting principles generally accepted in the United States of America. Accordingly, these condensed consolidated financial statements should be read in conjunction with the consolidated audited financial statements and notes thereto for the year ended December 31, 2019. Results of operations for interim periods are not necessarily indicative of results for the full year. Certain prior year information has been reclassified to conform to the current year presentation. None of the reclassifications impacted consolidated net income, earnings per share or shareholders’ equity. On April 5, 2012, the JOBS Act was signed into law. The JOBS Act contains provisions that, among other things, reduce certain reporting requirements for qualifying public companies. As an “emerging growth company” we may delay adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. We intend to take advantage of the benefits of this extended transition period. Accordingly, our condensed consolidated financial statements may not be comparable to companies that comply with such new or revised accounting standards. On May 24, 2019, the Company completed the acquisition of Uniti Financial Corporation ("UFC”) and its wholly owned subsidiary, Uniti Bank, headquartered in Buena Park, California ("UFC Merger"). On October 21, 2019, the Company completed its acquisition of TIG Bancorp (“TIG”) and its wholly owned subsidiary, First State Bank of Colorado, headquartered in Greenwood Village, Colorado (“TIG Merger”). On February 4, 2020, the Company completed its acquisition of Grand Mountain Bancshares, Inc. (“GMB”) and its wholly owned subsidiary Grand Mountain Bank, headquartered in Granby, Colorado (“GMB Merger”). See “Note 3 – Acquisitions” for additional information on the Uniti Merger, TIG Merger and GMB Merger. |
ACCOUNTING GUIDANCE NOT YET EFF
ACCOUNTING GUIDANCE NOT YET EFFECTIVE AND ADOPTED ACCOUNTING GUIDANCE | 9 Months Ended |
Sep. 30, 2020 | |
ACCOUNTING GUIDANCE NOT YET EFFECTIVE AND ADOPTED ACCOUNTING GUIDANCE | |
ACCOUNTING GUIDANCE NOT YET EFFECTIVE AND ADOPTED ACCOUNTING GUIDANCE | NOTE 2 - ACCOUNTING GUIDANCE NOT YET EFFECTIVE AND ADOPTED ACCOUNTING GUIDANCE In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-13, Measurement of Credit Losses on Financial Instruments (Topic 326) and subsequent amendment to the initial guidance in November 2018, ASU No. 2018-19, Codification Improvements to Topic 326, Financial Instruments other instruments that are not measured at fair value through net income. In issuing the standard, the FASB is responding to criticism that today’s guidance delays recognition of credit losses. The standard will replace today’s “incurred loss” approach with an “expected loss” model. The new model, referred to as the current expected credit loss (“CECL”) model, will apply to: (1) financial assets subject to credit losses and measured at amortized cost, and (2) certain off-balance sheet credit exposures. This includes, but is not limited to, loans, leases, held-to-maturity securities, loan commitments, and financial guarantees. The CECL model does not apply to available-for-sale (“AFS”) debt securities. For AFS debt securities with unrealized losses, entities will measure credit losses in a manner similar to what they do today, except that the losses will be recognized as allowances rather than reductions in the amortized cost of the securities. As a result, entities will recognize improvements to estimated credit losses immediately in earnings rather than as interest income over time, as they do today. The ASU also simplifies the accounting model for purchased credit-impaired (“PCI”) debt securities and loans. ASU 2016-13 also expands the disclosure requirements regarding an entity’s assumptions, models, and methods for estimating the allowance for loan and lease losses. In addition, public business entities will need to disclose the amortized cost balance for each class of financial asset by credit quality indicator, disaggregated by the year of origination. ASU 2018-19 clarifies that receivables arising from operating leases are accounted for using lease guidance and not as financial instruments. ASU 2019-04, “Codification Improvements to Topic 326, Financial Instruments — Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments,” affects a variety of topics in the Codification and applies to all reporting entities within the scope of the affected accounting guidance. ASU 2019-05 allows entities to irrevocably elect, upon adoption of ASU 2016-13, the fair value option on financial instruments that (1) were previously recorded at amortized cost and (2) are within the scope of ASC 326-20 if the instruments are eligible for the fair value option under ASC 825-10. The fair value option election does not apply to held-to-maturity debt securities. Entities are required to make this election on an instrument-by-instrument basis. The amendments in these ASUs are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2022, with early adoption permitted for smaller reporting companies, such as the Company. Entities will apply the standard’s provisions as a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (i.e., modified retrospective approach). The Company is reviewing the requirements of these ASUs and expects to begin developing and implementing processes and procedures to ensure it is fully compliant with the amendments at the adoption date. Upon adoption, the Company expects changes in the processes and procedures used to calculate the allowance for loan losses, including changes in assumptions and estimates to consider expected credit losses over the life of the loan versus the current accounting practice that utilizes the incurred loss model. The new guidance may result in an increase in the allowance for loan losses which will also reflect the new requirement to include the nonaccretable principal differences on purchased credit-impaired loans; however, the Company is still in the process of determining the magnitude of the change and its impact on the Company's consolidated financial statements. In January 2017, the FASB issued ASU No. 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Accounting for Goodwill Impairment. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement In March 2019, the FASB issued ASU No. 2019-01, Leases (Topic 842) - Codification Improvements. In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of reference Rate Reform on Financial Reporting On March 22, 2020, federal banking regulators issued an interagency statement that included guidance on their approach for the accounting of loan modifications in light of the economic impact of the novel coronavirus of 2019 (“COVID-19”) pandemic. The guidance interprets current accounting standards and indicates that a lender can conclude that a borrower is not experiencing financial difficulty if short-term modifications are made in response to COVID-19, such as payment deferrals, fee waivers, extensions of repayment terms, or other delays in payment that are insignificant related to the loans in which the borrower is less than 30 days past due on its contractual payments at the time a modification program is implemented. The agencies confirmed in working with the staff of the FASB that short-term modifications made on a good faith basis in response to COVID-19 to borrowers who were current prior to any relief are not troubled debt restructurings. In October 2020, the FASB issued ASU 2020-08, “Receivables – Nonrefundable Fees and Other Costs” (“ASU 2020-08”). ASU 2020-08 clarifies that the Company should reevaluate whether a callable debt security is within the scope of paragraph 310-20-35-33 for each reporting period. ASU 2020-08 is effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. The Company does not expect the adoption of ASU 2020-08 to have a material impact on its consolidated financial statements. |
ACQUISITIONS
ACQUISITIONS | 9 Months Ended |
Sep. 30, 2020 | |
ACQUISITIONS | |
ACQUISITIONS | NOTE 3 – ACQUISITIONS On February 4, 2020, the Company completed the GMB Merger. As of the acquisition date, GMB merged into the Company and Grand Mountain Bank, GMB’s wholly owned bank subsidiary, merged into United Business Bank. The acquisition expanded the Company’s market share in Colorado with the addition of four branches located in Grand County, Colorado. Under the terms of the merger agreement, the Company paid GMB shareholders $3.40 in cash for each share or approximately $13.9 million. On October 21, 2019, the Company completed the TIG Merger. As of the acquisition date, TIG merged into the Company and First State Bank of Colorado, TIG’s wholly owned bank subsidiary, merged into United Business Bank. The acquisition expanded the Company’s market area into the State of Colorado with the addition of seven branches throughout Colorado. The Company paid TIG shareholders an aggregate of 876,803 shares of its common stock and paid an aggregate cash consideration of $20.2 million. The total consideration transferred was $39.9 million. On May 24, 2019, the Company completed the UFC Merger. As of the acquisition date, UFC merged into the Company and Uniti Bank, UFC’s wholly owned bank subsidiary, merged into United Business Bank. The acquisition expanded the Company’s market share in California through the addition of three branch offices located in Southern California. The Company paid UFC shareholders an aggregate of 1,115,006 shares of its common stock and paid aggregate cash consideration of $37.8 million. The total consideration transferred was $62.7 million. The following table summarizes the fair value of the assets acquired and liabilities assumed at the acquisition date: GMB TIG UFC Acquisition Acquisition Acquisition Date Date Date February 4, 2020 October 21, 2019 May 24, 2019 Fair value of assets: Cash and due from banks $ 5,494 $ 6,146 $ 6,392 Federal funds sold — 55,955 22,080 Total cash and cash equivalents 5,494 62,101 28,472 Interest bearing deposits in banks 16,040 — — Investment securities available-for-sale 4,369 26,382 5,096 FHLB stock, at par 165 241 1,535 FRB stock, at par — 792 — Loans, net 98,410 137,183 276,719 Premises and equipment, net 3,879 3,480 463 OREO — 42 76 Core deposit intangible 949 3,038 566 Deferred tax assets, net 728 308 234 Servicing asset — — 1,824 Interest receivable and other assets 929 2,079 3,033 Total assets acquired 130,923 235,646 318,018 Liabilities: Deposits Noninterest bearing 30,937 77,157 143,082 Interest bearing 87,210 125,597 122,704 Total Deposits 118,147 202,754 265,786 Interest payable and other liabilities 687 2,014 1,386 Junior subordinated debentures, net 1,575 — — Total liabilities assumed 120,409 204,768 267,172 Stock issued — 19,711 24,887 Cash consideration 13,886 20,184 37,814 Goodwill $ 3,372 $ 9,017 $ 11,855 The following table presents the net assets acquired and the estimated fair value adjustments, which resulted in goodwill at the acquisition date: GMB TIG UFC Acquisition Acquisition Acquisition Date Date Date February 4, 2020 October 21, 2019 May 24, 2019 Book value of net assets acquired $ 10,348 $ 29,164 $ 47,445 Fair value adjustments: Investments available-for-sale (10) (627) — Loans, net 484 382 4,617 Premises and equipment, net (1,000) 180 — Write-down on OREO — (18) (32) Core deposit intangible 949 3,038 566 Tax assets (139) (774) (695) Time deposits (25) (308) (250) Write-down on servicing assets — — (805) Junior subordinated debentures, net (98) — — Write-down other (assets) liabilities 5 (159) — Total purchase accounting adjustments 166 1,714 3,401 Fair value of net assets acquired 10,514 30,878 50,846 Price paid: Common stock issued — 19,711 24,887 Cash paid 13,886 20,184 37,814 Total price paid 13,886 39,895 62,701 Goodwill $ 3,372 $ 9,017 $ 11,855 Pro Forma Results of Operations The operating results of the Company for the three and nine months ended September 30, 2020 in the condensed consolidated statements of income include the operating results of UFC, TIG and GMB, since their respective acquisition dates. The following table represents the net interest income, net income, basic and diluted earnings per share, as if the mergers with UFC, TIG and GMB were effective January 1, 2019. The unaudited pro forma information in the following table is intended for informational purposes only and is not necessarily indicative of future operating results or operating results that would have occurred had the mergers been completed at the beginning of the respective years. No assumptions have been applied to the pro forma results of operation regarding possible revenue enhancements, expense efficiencies or asset dispositions. Unaudited pro forma net interest income, net income and earnings per share are presented below: Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Net interest income $ 19,005 $ 21,328 $ 60,394 $ 65,778 Net income 3,249 6,238 8,389 14,394 Basic earnings per share $ 0.27 $ 0.48 $ 0.69 $ 1.11 Diluted earnings per share 0.27 0.48 0.69 1.11 These amounts include the third-party acquisition related-expenses, accretion of the discounts on acquired loans and amortization of the fair value mark adjustments on core deposit intangible. Acquisition expenses Third-party acquisition-related expenses are recognized as incurred and continue until the acquired system is converted and operational functions become fully integrated. The Company incurred third-party acquisition-related expenses in the condensed consolidated statements of income for the periods indicated are as follows: Nine months ended September 30, 2020 2019 GMB Merger UFC Merger Professional fees $ 369 $ 535 Data processing 2,000 2,657 Severance expense 266 578 Other expenses 383 365 Total $ 3,018 $ 4,135 During the three months ended September 30, 2020 and 2019, no acquisition-related expenses were incurred. |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 9 Months Ended |
Sep. 30, 2020 | |
INVESTMENT SECURITIES | |
INVESTMENT SECURITIES | NOTE 4 – INVESTMENT SECURITIES The amortized cost, gross unrealized gains and losses, and estimated fair values of securities available-for-sale at the dates indicated are summarized as follows: Gross Gross Amortized unrealized unrealized Estimated cost gains losses fair value September 30, 2020 U.S. Treasuries $ — $ — $ — $ — U.S. Government Agencies 6,029 53 (5) 6,077 Municipal securities 16,954 685 — 17,639 Mortgage-backed securities 60,364 2,247 (15) 62,596 Collateralized mortgage obligations 3,935 1,150 (11) 5,074 SBA securities 7,959 60 (50) 7,969 Corporate bonds 14,422 65 (134) 14,353 Total $ 109,663 $ 4,260 $ (215) $ 113,708 Gross Gross Amortized unrealized unrealized Estimated cost gains losses fair value December 31, 2019 U.S. Treasuries $ 999 $ — $ — $ 999 U.S. Government Agencies 10,033 64 (7) 10,090 Municipal securities 17,888 408 (5) 18,291 Mortgage-backed securities 42,931 860 (48) 43,743 Collateralized mortgage obligations 28,197 476 (68) 28,605 SBA securities 9,550 2 (66) 9,486 Corporate bonds 8,534 141 — 8,675 Total $ 118,132 $ 1,951 $ (194) $ 119,889 During the three and nine months ended September 30, 2020 and 2019, the Company did not sell any securities available-for-sale. The estimated fair value and gross unrealized losses for securities available-for-sale aggregated by the length of time that individual securities have been in a continuous unrealized loss position at the dates indicated are as follows: Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized fair value loss fair value loss fair value loss September 30, 2020 U.S. Treasuries $ — $ — $ — $ — $ — $ — U.S. Government Agencies — — 1,511 (5) 1,511 (5) Municipal securities — — — — — — Mortgage-backed securities 208 (3) 506 (12) 714 (15) Collateralized mortgage obligations 2,308 (5) 832 (6) 3,140 (11) SBA securities 1,036 (2) 3,737 (48) 4,773 (50) Corporate bonds 6,372 (134) — — 6,372 (134) Total $ 9,924 $ (144) $ 6,586 $ (71) $ 16,510 $ (215) Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized fair value loss fair value loss fair value loss December 31, 2019 U.S. Treasuries $ — $ — $ — $ — $ — $ — U.S. Government Agencies 1,497 (1) 1,514 (6) 3,011 (7) Municipal securities 3,147 (5) — — 3,147 (5) Mortgage-backed securities 7,772 (47) 81 (1) 7,853 (48) Collateralized mortgage obligations 4,155 (56) 883 (12) 5,038 (68) SBA securities 6,937 (24) 1,530 (42) 8,467 (66) Corporate bonds — — — — — — Total $ 23,508 $ (133) $ 4,008 $ (61) $ 27,516 $ (194) At September 30, 2020, the Company held 288 investment securities, of which 21 were in an unrealized loss position for more than twelve months and 22 were in an unrealized loss position for less than twelve months. These temporary unrealized losses relate principally to current interest rates for similar types of securities. The Company anticipates full recovery of amortized cost with respect to these securities at maturity or sooner in the event of a more favorable market interest rate environment. Additional deterioration in market and economic conditions related to the COVID-19 pandemic may, however, have an adverse impact on credit quality in the future and result in other-than-temporary impairment charges. The amortized cost and estimated fair value of securities available-for-sale at the dates indicated by contractual maturity are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. September 30, 2020 December 31, 2019 Amortized Estimated Amortized Estimated cost fair value cost fair value Available-for-sale Due in one year or less $ 10,244 $ 10,351 $ 10,737 $ 10,781 Due after one through five years 19,866 20,839 24,078 24,560 Due after five years through ten years 27,207 27,847 22,914 23,366 Due after ten years 52,346 54,671 60,403 61,182 Total $ 109,663 $ 113,708 $ 118,132 $ 119,889 |
LOANS
LOANS | 9 Months Ended |
Sep. 30, 2020 | |
LOANS | |
LOANS | NOTE 5 - LOANS The Company’s loan portfolio at the dates indicated is summarized below: September 30, December 31, 2020 2019 Commercial and industrial $ 326,329 $ 169,291 Construction and land 41,082 36,321 Commercial real estate 1,142,735 1,093,142 Residential 182,434 156,764 Consumer 6,090 2,562 Total loans 1,698,670 1,458,080 Net deferred loan fees (4,575) (451) Allowance for loan losses (15,800) (7,400) Net loans $ 1,678,295 $ 1,450,229 The Company’s total impaired loans, including nonaccrual loans, loans modified as troubled debt restructurings (“TDR loans”), and accreting purchase credit impaired (“PCI”) loans that have experienced post-acquisition declines in cash flows expected to be collected are summarized as follows: Commercial Construction Commercial and industrial and land real estate Residential Consumer Total September 30, 2020 Recorded investment in impaired loans: With no specific allowance recorded $ 870 $ 2,383 $ 2,511 $ 1,545 $ — $ 7,309 With a specific allowance recorded 526 80 266 156 — 1,028 Total recorded investment in impaired loans $ 1,396 $ 2,463 $ 2,777 $ 1,701 $ — $ 8,337 Specific allowance on impaired loans 475 25 71 20 — 591 December 31, 2019 Recorded investment in impaired loans: With no specific allowance recorded $ 436 $ 2,737 $ 2,505 $ 1,488 $ 1 $ 7,167 With a specific allowance recorded 182 — 270 — 12 464 Total recorded investment in impaired loans $ 618 $ 2,737 $ 2,775 $ 1,488 $ 13 $ 7,631 Specific allowance on impaired loans 95 — 64 — 12 171 Three months ended September 30, 2020 Average recorded investment in impaired loans $ 1,136 $ 2,692 $ 2,814 $ 1,710 $ — $ 8,352 Interest recognized — — 7 — — 7 Nine months ended September 30, 2020 Average recorded investment in impaired loans 769 2,763 3,304 1,689 3 8,528 Interest recognized 4 151 37 — — 192 Three months ended September 30, 2019 Average recorded investment in impaired loans 2,283 1,369 1,634 124 — 5,410 Interest recognized — — — — — — Nine months ended September 30, 2019 Average recorded investment in impaired loans 3,330 782 1,779 494 — 6,385 Interest recognized 34 — 20 1 — 55 Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. Impaired loans on accrual are comprised solely of TDR loans performing under modified loan agreements, whose principal and interest is determined to be collectible. Nonaccrual loans are loans where principal and interest have been determined to not be fully collectible. In situations where, for economic or legal reasons related to a borrower’s financial difficulties, the Company grants a concession to the borrower that it would not otherwise consider, the related loan is classified as a TDR loan. TDR loans are generally placed on nonaccrual status at the time of restructuring and included in impaired loans. These loans are returned to accrual status after the borrower demonstrates performance with the modified terms for a sustained period of time (generally six months) and has the capacity to continue to perform in accordance with the modified terms of the restructured debt. At September 30, 2020, TDR loans totaled $3.7 million, compared to $4.4 million at December 31, 2019. At September 30, 2020 and at December 31, 2019, $775,000 and $789,000, respectively, of TDR loans were accruing and performing in accordance with their modified terms. There are no commitments to lend additional amounts to borrowers with outstanding loans that are classified as TDR loans at September 30, 2020. All TDR loans are also included in the loans individually evaluated for impairment as part of the calculation of the allowance for loan losses. The following tables present loans by class, modified as TDR loans, for the periods indicated: Number of Rate Term Interest only Rate & term loans modification modification modification modification Total Three months ended September 30, 2020 Commercial and industrial — $ — $ — $ — $ — $ — Construction and land — — — — — — Commercial real estate — — — — — — Residential 1 — 156 — — 156 Consumer — — — — — — Total 1 $ — $ 156 $ — $ — $ 156 Number of Rate Term Interest only Rate & term loans modification modification modification modification Total Nine months ended September 30, 2020 Commercial and industrial 1 $ — $ 24 $ — $ — $ 24 Construction and land — — — — — — Commercial real estate — — — — — — Residential 1 — 156 — — 156 Consumer — — — — — — Total 2 $ — $ 180 $ — $ — $ 180 Number of Rate Term Interest only Rate & term loans modification modification modification modification Total Three months ended September 30, 2019 Commercial and industrial — $ — $ — $ — $ — $ — Construction and land — — — — — — Commercial real estate — — — — — — Residential — — — — — — Consumer — — — — — — Total — $ — $ — $ — $ — $ — Number of Rate Term Interest only Rate & term loans modification modification modification modification Total Nine months ended September 30, 2019 Commercial and industrial 2 $ — $ 176 $ — $ 321 $ 497 Construction and land — — — — — — Commercial real estate — — — — — — Residential — — — — — — Consumer — — — — — — Total 2 $ — $ 176 $ — $ 321 $ 497 For the three and nine months ended September 30, 2020 and 2019, the Company recorded no charge-offs related to TDR loans. During the three and nine months ended September 30, 2020, there were no TDR loans for which there was a payment default within the first 12 months of the modification. The Coronavirus Aid, Relief, and Economic Security Act of 2020 (“CARES Act”), signed into law on March 27, 2020, provided guidance around the modification of loans as a result of the COVID-19 pandemic, which outlined, among other criteria, that short-term modifications made on a good faith basis to borrowers who were current as defined under the CARES Act prior to any relief, are not TDR loans. This includes short-term (e.g. six months) modifications such as payment deferrals, fee waivers, extensions of repayment terms, or other delays in payment that are insignificant. To qualify as an eligible loan under the CARES Act, a loan modification must be (1) related to COVID-19 pandemic; (2) executed on a loan that was not more than 30 days past due as of December 31, 2019; and (3) executed between March 1, 2020, and the earlier of (A) 60 days after the date of termination of the National Emergency by the President, or (B) December 31, 2020. Loan modifications in accordance with the CARES Act and related regulatory guidance are still subject to an evaluation in regard to determining whether or not a loan is deemed to be impaired. See Note 2 – Accounting Guidance Not Yet Effective and Adopted Accounting Guidance. Risk Rating System The Company evaluates and assigns a risk grade to each loan based on certain criteria to assess the credit quality of each loan. The assignment of a risk rating is done for each individual loan. Loans are graded from inception and on a continuing basis until the debt is repaid. Any adverse or beneficial trends will trigger a review of the loan risk rating. Each loan is assigned a risk grade based on its characteristics. Loans with low to average credit risk are assigned a lower risk grade than those with higher credit risk as determined by the individual loan characteristics. The Company’s Pass loans includes loans with acceptable business or individual credit risk where the borrower’s operations, cash flow or financial condition provides evidence of low to average levels of risk. Loans that are assigned higher risk grades are loans that exhibit the following characteristics: Special Mention loans have potential weaknesses that deserve close attention. If left uncorrected, these potential weaknesses may result in a deterioration of the repayment prospects for the loan or in the Company’s credit position at some future date. Special Mention loans are not adversely classified and do not expose the Company to sufficient risk to warrant adverse classification. A Special Mention rating is a temporary rating, pending the occurrence of an event that would cause the risk rating either to improve or to be downgraded. Loans in this category would be characterized by any of the following situations: ● Credit that is currently protected but is potentially a weak asset; ● Credit that is difficult to manage because of an inadequate loan agreement, the condition of and/or control over collateral, failure to obtain proper documentation, or any other deviation from product lending practices; and ● Adverse financial trends. Substandard loans are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged. Loans classified substandard must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. Loans are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. The potential loss does not have to be recognizable in an individual credit for that credit to be risk rated Substandard. A loan can be fully and adequately secured and still be considered Substandard. Some characteristics of Substandard loans are: ● Inability to service debt from ordinary and recurring cash flow; ● Chronic delinquency; ● Reliance upon alternative sources of repayment; ● Term loans that are granted on liberal terms because the borrower cannot service normal payments for that type of debt; ● Repayment dependent upon the liquidation of collateral; ● Inability to perform as agreed, but adequately protected by collateral; ● Necessity to renegotiate payments to a non-standard level to ensure performance; and ● The borrower is bankrupt, or for any other reason, future repayment is dependent on court action. Doubtful loans have all the weaknesses inherent in loans classified as Substandard with the added characteristic that the weaknesses make collection or liquidation in full, based on currently existing facts, conditions, and value, highly questionable and improbable. Doubtful loans have a high probability of loss, yet certain important and reasonably specific pending factors may work toward the strengthening of the credit. Losses are recognized as charges to the allowance when the loan or portion of the loan is considered uncollectible or at the time of foreclosure. Recoveries on loans previously charged off are credited to the allowance for loan losses. The following tables present the internally assigned risk grade by class of loans at the dates indicated: Special Pass mention Substandard Doubtful Total September 30, 2020 Commercial and industrial $ 318,497 $ 5,564 $ 2,268 $ — $ 326,329 Construction and land 38,303 315 2,464 — 41,082 Commercial real estate 1,124,741 12,653 5,341 — 1,142,735 Residential 179,418 852 2,164 — 182,434 Consumer 6,086 — 4 — 6,090 Total $ 1,667,045 $ 19,384 $ 12,241 $ — $ 1,698,670 Special Pass mention Substandard Doubtful Total December 31, 2019 Commercial and industrial $ 166,613 $ 1,166 $ 1,512 $ — $ 169,291 Construction and land 32,879 93 3,349 — 36,321 Commercial real estate 1,071,771 16,021 5,350 — 1,093,142 Residential 153,484 1,215 2,065 — 156,764 Consumer 2,541 — 21 — 2,562 Total $ 1,427,288 $ 18,495 $ 12,297 $ — $ 1,458,080 The following tables provide an aging of the Company’s loans receivable as of the dates indicated: Recorded 90 Days investment > 30–59 Days 60–89 Days or more Total Total loans 90 days and past due past due past due past due Current PCI loans receivable accruing September 30, 2020 Commercial and industrial $ 80 $ 601 $ 231 $ 912 $ 324,743 $ 674 $ 326,329 $ — Construction and land 21 — 2,463 2,484 38,408 190 41,082 — Commercial real estate 91 346 1,524 1,961 1,128,134 12,640 1,142,735 — Residential 3 — — 3 179,419 3,012 182,434 — Consumer 148 473 990 1,611 4,479 — 6,090 — Total $ 343 $ 1,420 $ 5,208 $ 6,971 $ 1,675,183 $ 16,516 $ 1,698,670 $ — Recorded 90 Days investment > 30–59 Days 60–89 Days or more Total Total loans 90 days and past due past due past due past due Current PCI loans receivable accruing December 31, 2019 Commercial and industrial $ 923 $ 1,480 $ 207 $ 2,610 $ 166,137 $ 544 $ 169,291 $ 26 Construction and land 325 88 2,961 3,374 32,724 223 36,321 224 Commercial real estate 4,668 4,698 1,460 10,826 1,068,211 14,105 1,093,142 — Residential 531 122 1,392 2,045 152,261 2,458 156,764 — Consumer 14 — 13 27 2,533 2 2,562 — Total $ 6,461 $ 6,388 $ 6,033 $ 18,882 $ 1,421,866 $ 17,332 $ 1,458,080 $ 250 At September 30, 2020, there were no loans greater than 90 days past due and still accruing interest, compared to $250,000 at December 31, 2019. The balance of nonaccrual loans guaranteed by a government agency, which reduces the Company’s credit exposure, was $872,000 at both September 30, 2020 and December 31, 2019. Interest foregone on nonaccrual loans was approximately $117,500 and $338,500 for the three and nine months ended September 30, 2020 compared to $66,500 and $155,000 for the three and nine months ended September 30, 2019, respectively. At September 30, 2020, there were three loans totaling $546,000 in the process of foreclosure compared to none at December 31, 2019. Purchase Credit Impaired Loans As part of acquisitions, the Company has purchased loans, some of which have shown evidence of credit deterioration since origination and it is probable at the acquisition that all contractually requirement payments would not be collected. The unpaid principal balance and carrying value of the Company’s PCI loans at the dates indicated are as follows: September 30, 2020 December 31, 2019 Unpaid Unpaid principal Carrying principal Carrying balance value balance value Commercial and industrial $ 1,061 $ 674 $ 1,225 $ 544 Construction and land 271 190 338 223 Commercial real estate 14,481 12,640 15,930 14,105 Residential 3,754 3,012 3,238 2,458 Consumer — — 8 2 Total $ 19,567 $ 16,516 $ 20,739 $ 17,332 The following table summarized the accretable yield on the purchased credit impaired loans for the periods indicated: Three months ended Nine months ended September 30, September 30, 2020 2019 2020 2019 Balance at beginning of period $ 571 $ 557 $ 554 $ 256 Additions 25 190 247 540 Removals — (346) (51) (349) Accretion (62) (15) (216) (61) Balance at end of period $ 534 $ 386 $ 534 $ 386 |
ALLOWANCE FOR LOAN LOSSES
ALLOWANCE FOR LOAN LOSSES | 9 Months Ended |
Sep. 30, 2020 | |
ALLOWANCE FOR LOAN LOSSES | |
ALLOWANCE FOR LOAN LOSSES | NOTE 6 – ALLOWANCE FOR LOAN LOSSES The following table provides additional information on the allowance for loan losses and loan balances individually and collectively evaluated for impairment at or for the three and nine months ended September 30, 2020: Commercial Construction Commercial and industrial and land real estate Residential Consumer Unallocated Total Three months ended September 30, 2020 Allowance for loan losses Beginning balance $ 3,330 $ 336 $ 7,892 $ 1,367 $ 2 $ 573 $ 13,500 Charge-offs — — — — — — — Recoveries 3 — 4 — — — 7 Provision for loan losses 495 249 1,236 192 2 119 2,293 Ending balance $ 3,828 $ 585 $ 9,132 $ 1,559 $ 4 $ 692 $ 15,800 Nine months ended September 30, 2020 Allowance for loan losses Beginning balance $ 1,762 $ 164 $ 4,926 $ 421 $ 14 $ 113 $ 7,400 Charge-offs — — — (1) (17) — (18) Recoveries 10 — 4 — — — 14 Provision for loan losses 2,056 421 4,202 1,139 7 579 8,404 Ending balance $ 3,828 $ 585 $ 9,132 $ 1,559 $ 4 $ 692 $ 15,800 September 30, 2020 Allowance for loan losses related to: Loans individually evaluated for impairment $ 475 $ 25 $ 71 $ 20 $ — $ — $ 591 Loans collectively evaluated for impairment 3,353 560 9,061 1,539 4 692 15,209 PCI loans — — — — — — — Loans receivable: Individually evaluated for impairment $ 1,396 $ 2,463 $ 2,777 $ 1,701 $ — $ — $ 8,337 Collectively evaluated for impairment 324,259 38,429 1,127,318 177,721 6,090 — 1,673,817 PCI loans 674 190 12,640 3,012 — — 16,516 Total loans $ 326,329 $ 41,082 $ 1,142,735 $ 182,434 $ 6,090 $ — $ 1,698,670 The following table provides additional information on the allowance for loan losses and loan balances individually and collectively evaluated for impairment at or for the three and nine months ended September 30, 2019: Commercial Construction Commercial and industrial and land real estate Residential Consumer Unallocated Total Three months ended September 30, 2019 Allowance for loan losses Beginning balance $ 1,250 $ 266 $ 3,853 $ 225 $ 2 $ 284 $ 5,880 Charge-offs — — — (1) — — (1) Recoveries 2 — — — — — 2 Provision (reclassification) for loan losses 46 (59) 147 137 115 93 479 Ending balance $ 1,298 $ 207 $ 4,000 $ 361 $ 117 $ 377 $ 6,360 Nine months ended September 30, 2019 Allowance for loan losses Beginning balance $ 1,017 $ 327 $ 3,214 $ 215 $ 3 $ 364 $ 5,140 Charge-offs — — (17) (1) (4) — (22) Recoveries 41 — — — — — 41 Provision (reclassification) for loan losses 240 (120) 803 147 118 13 1,201 Ending balance $ 1,298 $ 207 $ 4,000 $ 361 $ 117 $ 377 $ 6,360 September 30, 2019 Allowance for loan losses related to: Loans individually evaluated for impairment $ 28 $ — $ — $ — $ — $ — $ 28 Loans collectively evaluated for impairment 1,270 207 4,000 361 117 377 6,332 PCI loans — — — — — — — Loans receivable: Individually evaluated for impairment $ 2,317 $ 2,737 $ 2,192 $ 119 $ — $ — $ 7,365 Collectively evaluated for impairment 157,335 21,694 898,100 131,706 1,375 — 1,210,210 PCI loans 521 192 12,330 1,641 — — 14,684 Total loans $ 160,173 $ 24,623 $ 912,622 $ 133,466 $ 1,375 $ — $ 1,232,259 |
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT | 9 Months Ended |
Sep. 30, 2020 | |
PREMISES AND EQUIPMENT | |
PREMISES AND EQUIPMENT | NOTE 7 – PREMISES AND EQUIPMENT Premises and equipment consisted of the following at the dates indicated: September 30, December 31, 2020 2019 Premises owned $ 11,024 $ 7,906 Leasehold improvements 3,089 2,362 Furniture, fixtures and equipment 7,500 5,053 Less accumulated depreciation and amortization (5,990) (4,792) Total premises and equipment, net $ 15,623 $ 10,529 Depreciation and amortization included in occupancy and equipment expense totaled $445,000 and $1.3 million for the three and nine months ended September 30, 2020 compared to $297,000 and $859,000, for the three and nine months ended September 30, 2019, respectively. On March 29, 2019, the Company sold a commercial building in Oakland, California with a carrying value of $4.6 million. In connection with the sale, the Company leased back 4,021 square feet, representing 11.1% of the total square footage. The sale resulted in a $78,000 gain. The Company leases its headquarters and 19 branches and administration offices under noncancelable operating leases. These leases expire on various dates through 2030. The Company’s leases often have an option to renew one or more times, at the Company’s discretion, following the expiration of the initial term. If at lease inception, the Company considers the exercising of a renewal option to be reasonably certain, the Company will include the extended term in the calculation of the ROU asset and lease liability. The Company uses the rate implicit in the lease whenever this rate is readily determinable. As this rate is rarely determinable, the Company utilizes its incremental borrowing rate at lease inception, on a collateralized basis, over a similar term. For operating leases existing prior to January 1, 2019, the rate for the remaining lease term as of January 1, 2019 was used. The Company adopted the requirements of Topic 842 effective January 1, 2019, which required the Company record a right of use lease asset and a lease liability for leases with an initial term of more than 12 months for leases that existed as of January 1, 2019. Future minimum lease payments at September 30, 2020 are for the periods indicated as follows: For the remainder of 2020 $ 3,224 2021 2,636 2022 2,239 2023 1,489 2024 1,106 Thereafter 3,560 Total lease payments 14,254 Less: interest (1,157) Present value of lease liabilities $ 13,097 The following table presents the weighted average operating lease term and discount rate at the date indicated: September 30, 2020 Weighted-average remaining lease term 6.15 years Weighted-average discount rate 2.72 % Rental expense included in occupancy and equipment on the consolidated statements of income totaled $829,000 and $2.5 million for the three and nine months ended September 30, 2020 compared to $824,000 and $2.1 million for the three and nine months ended September 30, 2019, respectively. |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS | 9 Months Ended |
Sep. 30, 2020 | |
GOODWILL AND INTANGIBLE ASSETS | |
GOODWILL AND INTANGIBLE ASSETS | NOTE 8 – GOODWILL AND INTANGIBLE ASSETS Goodwill is determined as the excess of the fair value of the consideration transferred, plus the fair value of any noncontrolling interests in the acquiree, over the fair value of the net assets acquired and the liabilities assumed as of the acquisition date. The Company’s goodwill is assigned to the Bank and is evaluated for impairment at the Bank level (reporting unit). Goodwill that arises from a business combination is evaluated for impairment at least annually, at the reporting unit level. Intangible assets with definite useful lives are amortized over their estimated useful lives to their estimated residual values. Core deposit intangible represents the estimated future benefit of deposits related to an acquisition and is booked separately from the related deposits and amortized over an estimated useful live of seven to ten years. As of September 30, 2020 and December 31, 2019, goodwill totaled $38.8 million and $35.5 million, respectively. At September 30, 2020 and December 31, 2019, core deposit intangible from business combinations totaled $8.8 million and $9.2 million, respectively. A significant decline in expected future cash flows, a significant adverse change in the business climate, slower growth rates or a significant decline in the price of our common stock could necessitate taking charges in the future related to the impairment of goodwill or core deposit intangibles. The core deposit intangible assets represent the value ascribed to the long-term deposit relationships acquired and is being amortized over an estimated average useful life of seven Changes in the Company's goodwill for the periods indicated are as follows: September 30, December 31, 2020 2019 Balance at beginning of period $ 35,466 $ 14,594 Acquired goodwill 3,372 20,872 Impairment — — Balance at end of period $ 38,838 $ 35,466 Impairment exists when a reporting unit’s carrying value of goodwill exceeds its fair value. As of September 30, 2020, the Company had positive equity, however, as a result of the potential credit losses and adverse economic impacts resulting from the COVID-19 pandemic, the Company elected to perform a qualitative assessment to determine if it was more likely than not that the fair value of the Company exceeded its carrying value, including goodwill. The qualitative assessment, which considered that the Company’s continued profitability, average community bank merger deal values realized during 2020, net interest margin levels, total expected loan losses as of September 30, 2020, and the continued growth in our core deposit portfolio, indicated that it was more likely than not that its fair value exceeded its carrying value, resulting in no impairment. If adverse economic conditions or the recent decrease in our stock price and market capitalization as a result of the COVID-19 pandemic were to be deemed sustained rather than temporary, it may significantly affect the fair value of our goodwill and may require impairment charges. Any impairment charge could have a material adverse effect on our results of operations and financial condition. Changes in the Company’s core deposit intangible for the periods indicated were as follows: September 30, December 31, 2020 2019 Balance at beginning of period $ 9,185 $ 7,205 Additions 949 3,604 Less amortization (1,379) (1,624) Balance at end of period $ 8,755 $ 9,185 Amortization expense in other noninterest expense on the condensed consolidated statements of income totaled $453,000 and $1.4 million for the three and nine months ended September 30, 2020 compared to $396,000 and $1.2 million for the three and nine months ended September 30, 2019, respectively. The following table presents the estimated amortization expense with respect to core deposit intangibles as of September 30, 2020 for the periods indicated: For the remainder of 2020 $ 453 2021 1,813 2022 1,813 2023 1,034 2024 970 Thereafter 2,672 Total $ 8,755 |
INTEREST RECEIVABLE AND OTHER A
INTEREST RECEIVABLE AND OTHER ASSETS | 9 Months Ended |
Sep. 30, 2020 | |
INTEREST RECEIVABLE AND OTHER ASSETS | |
INTEREST RECEIVABLE AND OTHER ASSETS | NOTE 9 – INTEREST RECEIVABLE AND OTHER ASSETS The Company’s interest receivable and other assets at the dates indicated consisted of the following: September 30, December 31, 2020 2019 Tax assets, net $ 7,423 $ 5,922 Accrued interest receivable 8,996 5,495 Investment in SBIC Funds 2,846 2,272 Prepaid assets 1,638 1,160 Servicing assets 1,747 2,097 Low income housing partnerships, net 2,167 1,171 Investment in statutory trusts 479 475 All other 1,190 926 Total $ 26,486 $ 19,518 |
DEPOSITS
DEPOSITS | 9 Months Ended |
Sep. 30, 2020 | |
Deposits [Abstract] | |
DEPOSITS | NOTE 10 – DEPOSITS The Company’s deposits consisted of the following at the dates indicated: September 30, December 31, 2020 2019 Demand deposits $ 713,328 $ 572,341 NOW accounts and savings 393,203 314,125 Money market 551,816 489,206 Time deposits under $250,000 139,778 189,063 Time deposits over $250,000 110,521 136,448 Total $ 1,908,646 $ 1,701,183 At September 30, 2020 and December 31, 2019, the weighted average stated rate on the Company’s interest bearing deposits were 0.52% and 0.86%, respectively. |
BORROWINGS
BORROWINGS | 9 Months Ended |
Sep. 30, 2020 | |
BORROWINGS | |
BORROWINGS | NOTE 11 - BORROWINGS On August 6, 2020, the Company issued and sold $65.0 million aggregate principal amount of 5.25% Fixed-to-Floating Rate Subordinated Notes due 2030 (the “Notes”) at a public offering price equal to 100% of the aggregate principal amount of the Notes. The offering of the Notes closed on August 10, 2020. The net proceeds to the Company from the sale of the Notes were approximately $63.3 million, after deducting underwriting discounts and offering expenses. The Company used $6.0 million of the net proceeds of the offering to repay other borrowings with the remainder to be used for general corporate purposes, which may include providing capital to support its growth organically or through strategic acquisitions, repayment or redemption of outstanding indebtedness, the payment of dividends, financing investments and capital expenditures, repurchasing shares of the Company’s common stock and for investments in United Business Bank, as regulatory capital. The Company has not historically paid dividends. The Bank has an approved secured borrowing facility with the Federal Home Loan Bank of San Francisco (the “FHLB”) for up to 25% of total assets for a term not to exceed five years under a blanket lien of certain types of loans. In May 2020, the Bank secured a $10.0 million advance from the FHLB of San Francisco comprised of two $5.0 million tranches, at no cost, maturing on November 9, 2020 and May 7, 2021, respectively. At December 31, 2019, there were no FHLB advances outstanding. The Bank has a Federal Funds line with four corresponding banks. Cumulative available commitments totaled $75.0 million and $55.0 million at September 30, 2020 and December 31, 2019, respectively. There were no amounts outstanding under these facilities at September 30, 2020 and December 31, 2019. |
INTEREST PAYABLE AND OTHER LIAB
INTEREST PAYABLE AND OTHER LIABILITIES | 9 Months Ended |
Sep. 30, 2020 | |
INTEREST PAYABLE AND OTHER LIABILITIES | |
INTEREST PAYABLE AND OTHER LIABILITIES | NOTE 12 - INTEREST PAYABLE AND OTHER LIABILITIES The Company’s interest payable and other liabilities at the dates indicated consisted of the following: September 30, December 31, 2020 2019 Accrued expenses $ 6,253 $ 6,241 CDARs deferred fees 129 320 Accounts payable 724 2,175 Reserve for unfunded commitments 415 415 Accrued interest payable 710 1,607 All other 843 517 Total $ 9,074 $ 11,275 |
OTHER EXPENSES
OTHER EXPENSES | 9 Months Ended |
Sep. 30, 2020 | |
OTHER EXPENSES | |
OTHER EXPENSES | NOTE 13 – OTHER EXPENSES The Company’s other expenses for the periods indicated consisted of the following: Three months ended Nine months ended September 30, September 30, 2020 2019 2020 2019 Professional fees $ 531 $ 379 $ 2,055 $ 1,643 Core deposit premium amortization 453 396 1,379 1,177 Marketing and promotions 200 271 639 877 Stationery and supplies 167 138 440 436 Insurance (including FDIC premiums) 212 30 377 345 Communication and postage 176 142 494 349 Loan default related expense 97 38 309 188 Director fees and stock compensation 81 175 239 671 Bank service charges 49 9 125 40 Courier expense 176 128 490 359 Other 141 86 571 309 Total $ 2,283 $ 1,792 $ 7,118 $ 6,394 |
EQUITY INCENTIVE PLANS
EQUITY INCENTIVE PLANS | 9 Months Ended |
Sep. 30, 2020 | |
EQUITY INCENTIVE PLANS | |
EQUITY INCENTIVE PLANS | NOTE 14 – EQUITY INCENTIVE PLANS 2017 Omnibus Equity Incentive Plan The shareholders approved the Omnibus Equity Incentive Plan (“2017 Plan”) in November 2017. The 2017 Plan provides for the awarding by the Company’s Board of Directors of equity incentive awards to employees and non-employee directors. An equity incentive award may be an option, stock appreciation rights, restricted stock units, stock award, other stock-based award or performance award granted under the 2017 Plan. Factors considered by the Board in awarding equity incentives to officers and employees include the performance of the Company, the employee’s or officer’s job performance, the importance of his or her position, and his or her contribution to the organization’s goals for the award period. Generally, awards are restricted and have a vesting period of no longer than ten years. Subject to adjustment as provided in the 2017 Plan, the maximum number of shares of common stock that may be delivered pursuant to awards granted under the 2017 Plan is 450,000 . The 2017 Plan provides for an annual restricted stock grant limits to officers, employees and directors. The annual stock grant limit per person for officers and employees is the lessor of 50,000 shares or a value of $2.0 million, and per person for directors, the maximum is 25,000 shares. All unvested restricted shares outstanding vest in the event of a change in control of the Company. Awarded shares of restricted stock vest over (i) a one-year period following the date of grant, in the case of the non-employee directors, and (ii) a three-year or five-year period following the date of grant, with the initial vesting occurring on the one-year anniversary of the date of grant, in the case of the executive officers. As of September 30, 2020, a total of 151,247 shares are available for future issuance under the 2017 Plan. 2014 Omnibus Equity Incentive Plan In 2014, the shareholders approved the Omnibus Equity Incentive Plan (the “2014 Plan”). A total of 148,962 equity incentive awards were granted under the 2014 Plan. The awards are shares of restricted stock and have a vesting period of one The Company recognizes compensation expense for the restricted stock awards based on the fair value of the shares at the award date. For the three and nine months ended September 30, 2020, total compensation expense for these plans was $385,000 and $1.1 million, respectively, compared to $367,000 and $807,000 for the three and nine months ended September 30, 2019, respectively. As of September 30, 2020, there was $2.6 million of total unrecognized compensation cost related to non-vested shares granted as restricted stock awards. The cost is expected to be recognized over the remaining weighted-average vesting period of approximately two years. The following table provides the restricted stock grant activity for the periods indicated: 2020 2019 Weighted-average Weighted-average grant date grant date Shares fair value Shares fair value Non-vested at January 1, 142,103 $ 20.76 131,000 $ 19.18 Granted 15,173 22.60 22,289 22.38 Vested (23,435) 19.62 (19,253) 19.51 Forfeited (1,432) 18.93 — — Non-Vested, at March 31, 132,409 $ 22.10 134,036 $ 20.76 Granted 92,294 12.18 45,696 24.60 Vested (32,264) 23.30 (36,582) 19.55 Non-Vested, at June 30, 192,439 $ 17.14 143,150 $ 21.63 Granted 21,599 10.28 9,350 21.40 Vested (9,523) 21.34 (9,723) 10.96 Non-Vested, at September 30, 204,515 $ 16.22 142,777 $ 22.60 |
FAIR VALUE MEASUREMENT
FAIR VALUE MEASUREMENT | 9 Months Ended |
Sep. 30, 2020 | |
FAIR VALUE MEASUREMENT | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | NOTE 15 – FAIR VALUE MEASUREMENT The following tables have information about the Company’s assets and liabilities measured at fair value and the fair value techniques used to determine such fair value. The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels (Level 1, Level 2, and Level 3). Level 1 Level 2 Level 3 In certain cases, the inputs used to measure fair value may fall into different levels of the hierarchy. In such cases, the lowest level of inputs that is significant to the measurement is used to determine the hierarchy for the entire asset or liability. Transfers between levels of the fair value hierarchy are recognized on the actual date of the event or circumstances that caused the transfer, which generally coincides with our quarterly valuation process. There were no transfers between levels during 2020 or 2019. The following assets are measured at fair value on a recurring basis at the dates indicated: Total Level 1 Level 2 Level 3 September 30, 2020 U.S. Treasuries $ — $ — $ — $ — U.S. Government Agencies 6,077 — 6,077 — Municipal securities 17,639 — 17,639 — Mortgage-backed securities 62,596 — 62,596 — Collateralized mortgage obligations 5,074 — 5,074 — SBA securities 7,969 — 7,969 — Corporate bonds 14,353 — 14,353 — Total $ 113,708 $ — $ 113,708 $ — Total Level 1 Level 2 Level 3 December 31, 2019 U.S. Treasuries $ 999 $ 999 $ — $ — U.S. Government Agencies 10,090 — 10,090 — Municipal securities 18,291 — 18,291 — Mortgage-backed securities 43,743 — 43,743 — Collateralized mortgage obligations 28,605 — 28,605 — SBA securities 9,486 — 9,486 — Corporate bonds 8,675 — 8,675 — Total $ 119,889 $ 999 $ 118,890 $ — The following assets are measured at fair value on a nonrecurring basis as of the dates indicated: Total Level 1 Level 2 Level 3 September 30, 2020 Performing impaired loans $ 775 $ — $ — $ 775 Nonperforming impaired loans 7,562 — — 7,562 OREO 296 — — 296 Total $ 8,633 $ — $ — $ 8,633 Total Level 1 Level 2 Level 3 December 31, 2019 Performing impaired loans $ 789 $ — $ — $ 789 Nonperforming impaired loans 6,842 — — 6,842 OREO 574 — — 574 Total $ 8,205 $ — $ — $ 8,205 The Company does not record loans at fair value on a recurring basis. However, from time to time, a loan may be considered impaired and an allowance for loan losses is established. Loans for which it is probable that payment of interest and principal will not be made in accordance with the contractual terms of the loan agreement are considered impaired. The fair value of impaired loans is estimated using one of several methods, including collateral value, market value of similar debt, enterprise and liquidation value and discounted cash flows. Those impaired loans not requiring an allowance represent loans for which the fair value of the expected repayments or collateral exceed the recorded investments in such loans. When the fair value of the collateral is based on an observable market price or a current appraised value, which uses substantially observable data, the Company records the impaired loan as nonrecurring Level 2. When an appraised value is not available or management determines the fair value of the collateral is further impaired below the appraised value or the appraised value contains a significant assumption and there is no observable market price, the Company records the impaired loan as nonrecurring Level 3. The Company records OREO at fair value on a nonrecurring basis based on the collateral value of the property. When the fair value of the collateral is based on an observable market price or a current appraised value, which uses substantially observable data, the Company records the OREO as nonrecurring Level 2. When an appraised value is not available or management determines the fair value of the collateral is further impaired below the appraised value or the appraised value contains a significant assumption, and there is no observable market price, the Company records the impaired loan as nonrecurring Level 3. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Management also incorporates assumptions regarding market trends or other relevant factors and selling and commission costs ranging from 5% to 7%. Such adjustments and assumptions are typically significant and result in a Level 3 classification of the inputs for determining fair value. The carrying amounts and fair values of the Company’s financial instruments at the dates indicated are presented below: Carrying Fair Fair value measurements amount value Level 1 Level 2 Level 3 September 30, 2020 Financial assets: Cash and cash equivalents $ 319,835 $ 319,835 $ 319,835 $ — $ — Interest bearing deposits in banks 8,714 8,714 8,714 — — Investment securities available-for-sale 109,663 113,708 — 113,708 — Loans held for sale 12,044 12,044 — 12,044 — Loans, net 1,678,295 1,707,874 — — 1,707,874 Other equity securities 15,331 15,331 15,331 — — Accrued interest receivable 8,996 8,996 — 8,996 — Financial liabilities: Deposits 1,908,646 1,910,260 — 1,910,260 — Subordinated debt, net 63,340 63,340 — 63,340 — Other borrowings 10,000 10,000 — 10,000 — Junior subordinated deferrable interest debentures, net 8,302 8,018 — — 8,018 Accrued interest payable 710 710 — 710 — Off-balance sheet liabilities: Undisbursed loan commitments, lines of credit, standby letters of credit 107,441 107,026 — — 107,026 Carrying Fair Fair value measurements amount value Level 1 Level 2 Level 3 December 31, 2019 Financial assets: Cash and cash equivalents $ 295,382 $ 295,382 $ 295,382 $ — $ — Interest bearing deposits in banks 1,739 1,739 1,739 — — Investment securities available-for-sale 118,132 119,889 999 118,890 — Loans held for sale 2,226 2,226 — 2,226 — Loans, net 1,450,229 1,453,067 — — 1,453,067 Other equity securities 13,905 13,905 13,905 — — Accrued interest receivable 5,495 5,495 — 5,495 — Financial liabilities: Deposits 1,701,183 1,704,428 — 1,704,428 — Junior subordinated deferrable interest debentures, net 8,242 8,086 — — 8,086 Accrued interest payable 1,607 1,607 — 1,607 — Off-balance sheet liabilities: Undisbursed loan commitments, lines of credit, standby letters of credit 128,934 128,519 — — 128,519 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 9 Months Ended |
Sep. 30, 2020 | |
COMMITMENTS AND CONTINGENCIES | |
COMMITMENTS AND CONTINGENCIES | NOTE 16 – COMMITMENTS AND CONTINGENCIES Lending and Letter of Credit Commitments In the normal course of business, the Company enters into various commitments to extend credit, which are not reflected in the financial statements. These commitments consist of the undisbursed balance on personal, commercial lines, including commercial real estate secured lines of credit, and of undisbursed funds on construction and development loans. At September 30, 2020 and December 31, 2019, undisbursed commitments totaled $105.2 million and $126.6 million, respectively. In addition, at both September 30, 2020 and December 31, 2019, the Company has issued standby letter of credit commitments, primarily issued for the third-party performance obligations of clients totaling $2.3 million. There were no outstanding balances at both September 30, 2020 and December 31, 2019. Commitments generally have fixed expiration dates or other termination clauses. The actual liquidity needs or the credit risk that the Company will experience will be lower than the contractual amount of commitments to extend credit because a significant portion of these commitments are expected to expire without being drawn upon. The commitments are generally variable rate and include unfunded home equity lines of credit, commercial real estate construction where disbursement is made over the course of construction, commercial revolving lines of credit, and unsecured personal lines of credit. The Company’s outstanding loan commitments are made using the same underwriting standards as comparable outstanding loans. The reserve associated with these commitments included in interest payable and other liabilities on the consolidated balance sheets was $415,000 at both September 30, 2020 and December 31, 2019. Commercial Real Estate Concentrations At September 30, 2020 and December 31, 2019, in management’s judgment, a concentration of loans existed in commercial real estate related loans. The Company’s commercial real estate loans are secured by owner occupied and non-owner occupied commercial real estate and multifamily properties. Although management believes that loans within these concentrations have no more than the normal risk of collectability, a decline in the performance of the economy in general or a decline in real estate value in the Company’s primary market areas in particular, could have an adverse impact on collectability. Other Assets The Company has commitments to fund Low Income Housing Tax Credit Partnerships (“LIHTC”) and a Small Business Investment Company (“SBIC”). At both September 30, 2020 and December 31, 2019, the remaining commitments to the LIHTC and SBIC were approximately $1.8 million and $122,000, respectively. Deposits At September 30, 2020, approximately $238.2 million, or 12.1%, of the Company's deposits were derived from its top ten depositors. At December 31, 2019, approximately $157.0 million, or 9.2%, of the Company's deposits were derived from its top ten depositors. Local Agency Deposits and Other Advances In the normal course of business, the Company accepts deposits from local agencies. The Company is required to provide collateral for certain local agency deposits in the states of California, Colorado, New Mexico and Washington. As of September 30, 2020 and December 31, 2019, the FHLB issued letters of credit on behalf of the Company totaling $31.5 million and $21.5 million, respectively, as collateral for local agency deposits. |
BASIS OF PRESENTATION (Policies
BASIS OF PRESENTATION (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
BASIS OF PRESENTATION | |
Revenue Recognition | On April 5, 2012, the JOBS Act was signed into law. The JOBS Act contains provisions that, among other things, reduce certain reporting requirements for qualifying public companies. As an “emerging growth company” we may delay adoption of new or revised accounting pronouncements applicable to public companies until such pronouncements are made applicable to private companies. We intend to take advantage of the benefits of this extended transition period. Accordingly, our condensed consolidated financial statements may not be comparable to companies that comply with such new or revised accounting standards. |
ACQUISITIONS (Tables)
ACQUISITIONS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
ACQUISITIONS | |
Schedule of fair value of the assets acquired and liabilities assumed | The following table summarizes the fair value of the assets acquired and liabilities assumed at the acquisition date: GMB TIG UFC Acquisition Acquisition Acquisition Date Date Date February 4, 2020 October 21, 2019 May 24, 2019 Fair value of assets: Cash and due from banks $ 5,494 $ 6,146 $ 6,392 Federal funds sold — 55,955 22,080 Total cash and cash equivalents 5,494 62,101 28,472 Interest bearing deposits in banks 16,040 — — Investment securities available-for-sale 4,369 26,382 5,096 FHLB stock, at par 165 241 1,535 FRB stock, at par — 792 — Loans, net 98,410 137,183 276,719 Premises and equipment, net 3,879 3,480 463 OREO — 42 76 Core deposit intangible 949 3,038 566 Deferred tax assets, net 728 308 234 Servicing asset — — 1,824 Interest receivable and other assets 929 2,079 3,033 Total assets acquired 130,923 235,646 318,018 Liabilities: Deposits Noninterest bearing 30,937 77,157 143,082 Interest bearing 87,210 125,597 122,704 Total Deposits 118,147 202,754 265,786 Interest payable and other liabilities 687 2,014 1,386 Junior subordinated debentures, net 1,575 — — Total liabilities assumed 120,409 204,768 267,172 Stock issued — 19,711 24,887 Cash consideration 13,886 20,184 37,814 Goodwill $ 3,372 $ 9,017 $ 11,855 |
Schedule of net assets acquired and the estimated fair value adjustments, which resulted in goodwill at the acquisition date | The following table presents the net assets acquired and the estimated fair value adjustments, which resulted in goodwill at the acquisition date: GMB TIG UFC Acquisition Acquisition Acquisition Date Date Date February 4, 2020 October 21, 2019 May 24, 2019 Book value of net assets acquired $ 10,348 $ 29,164 $ 47,445 Fair value adjustments: Investments available-for-sale (10) (627) — Loans, net 484 382 4,617 Premises and equipment, net (1,000) 180 — Write-down on OREO — (18) (32) Core deposit intangible 949 3,038 566 Tax assets (139) (774) (695) Time deposits (25) (308) (250) Write-down on servicing assets — — (805) Junior subordinated debentures, net (98) — — Write-down other (assets) liabilities 5 (159) — Total purchase accounting adjustments 166 1,714 3,401 Fair value of net assets acquired 10,514 30,878 50,846 Price paid: Common stock issued — 19,711 24,887 Cash paid 13,886 20,184 37,814 Total price paid 13,886 39,895 62,701 Goodwill $ 3,372 $ 9,017 $ 11,855 |
Schedule of unaudited proforma net interest income, net income and earnings per share | Unaudited pro forma net interest income, net income and earnings per share are presented below: Three months ended September 30, Nine months ended September 30, 2020 2019 2020 2019 Net interest income $ 19,005 $ 21,328 $ 60,394 $ 65,778 Net income 3,249 6,238 8,389 14,394 Basic earnings per share $ 0.27 $ 0.48 $ 0.69 $ 1.11 Diluted earnings per share 0.27 0.48 0.69 1.11 |
Schedule of Acquisition Related Expenses | Nine months ended September 30, 2020 2019 GMB Merger UFC Merger Professional fees $ 369 $ 535 Data processing 2,000 2,657 Severance expense 266 578 Other expenses 383 365 Total $ 3,018 $ 4,135 |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
INVESTMENT SECURITIES | |
Schedule of amortized cost and estimated fair values of securities available-for-sale | The amortized cost, gross unrealized gains and losses, and estimated fair values of securities available-for-sale at the dates indicated are summarized as follows: Gross Gross Amortized unrealized unrealized Estimated cost gains losses fair value September 30, 2020 U.S. Treasuries $ — $ — $ — $ — U.S. Government Agencies 6,029 53 (5) 6,077 Municipal securities 16,954 685 — 17,639 Mortgage-backed securities 60,364 2,247 (15) 62,596 Collateralized mortgage obligations 3,935 1,150 (11) 5,074 SBA securities 7,959 60 (50) 7,969 Corporate bonds 14,422 65 (134) 14,353 Total $ 109,663 $ 4,260 $ (215) $ 113,708 Gross Gross Amortized unrealized unrealized Estimated cost gains losses fair value December 31, 2019 U.S. Treasuries $ 999 $ — $ — $ 999 U.S. Government Agencies 10,033 64 (7) 10,090 Municipal securities 17,888 408 (5) 18,291 Mortgage-backed securities 42,931 860 (48) 43,743 Collateralized mortgage obligations 28,197 476 (68) 28,605 SBA securities 9,550 2 (66) 9,486 Corporate bonds 8,534 141 — 8,675 Total $ 118,132 $ 1,951 $ (194) $ 119,889 |
Schedule of available-for-sale securities, continuous unrealized loss position, fair value | The estimated fair value and gross unrealized losses for securities available-for-sale aggregated by the length of time that individual securities have been in a continuous unrealized loss position at the dates indicated are as follows: Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized fair value loss fair value loss fair value loss September 30, 2020 U.S. Treasuries $ — $ — $ — $ — $ — $ — U.S. Government Agencies — — 1,511 (5) 1,511 (5) Municipal securities — — — — — — Mortgage-backed securities 208 (3) 506 (12) 714 (15) Collateralized mortgage obligations 2,308 (5) 832 (6) 3,140 (11) SBA securities 1,036 (2) 3,737 (48) 4,773 (50) Corporate bonds 6,372 (134) — — 6,372 (134) Total $ 9,924 $ (144) $ 6,586 $ (71) $ 16,510 $ (215) Less than 12 months 12 months or more Total Estimated Unrealized Estimated Unrealized Estimated Unrealized fair value loss fair value loss fair value loss December 31, 2019 U.S. Treasuries $ — $ — $ — $ — $ — $ — U.S. Government Agencies 1,497 (1) 1,514 (6) 3,011 (7) Municipal securities 3,147 (5) — — 3,147 (5) Mortgage-backed securities 7,772 (47) 81 (1) 7,853 (48) Collateralized mortgage obligations 4,155 (56) 883 (12) 5,038 (68) SBA securities 6,937 (24) 1,530 (42) 8,467 (66) Corporate bonds — — — — — — Total $ 23,508 $ (133) $ 4,008 $ (61) $ 27,516 $ (194) |
Schedule of investments classified by contractual maturity date | September 30, 2020 December 31, 2019 Amortized Estimated Amortized Estimated cost fair value cost fair value Available-for-sale Due in one year or less $ 10,244 $ 10,351 $ 10,737 $ 10,781 Due after one through five years 19,866 20,839 24,078 24,560 Due after five years through ten years 27,207 27,847 22,914 23,366 Due after ten years 52,346 54,671 60,403 61,182 Total $ 109,663 $ 113,708 $ 118,132 $ 119,889 |
LOANS (Tables)
LOANS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
LOANS | |
Schedule of accounts, notes, loans and financing receivable | The Company’s loan portfolio at the dates indicated is summarized below: September 30, December 31, 2020 2019 Commercial and industrial $ 326,329 $ 169,291 Construction and land 41,082 36,321 Commercial real estate 1,142,735 1,093,142 Residential 182,434 156,764 Consumer 6,090 2,562 Total loans 1,698,670 1,458,080 Net deferred loan fees (4,575) (451) Allowance for loan losses (15,800) (7,400) Net loans $ 1,678,295 $ 1,450,229 |
Schedule of impaired financing receivables | The Company’s total impaired loans, including nonaccrual loans, loans modified as troubled debt restructurings (“TDR loans”), and accreting purchase credit impaired (“PCI”) loans that have experienced post-acquisition declines in cash flows expected to be collected are summarized as follows: Commercial Construction Commercial and industrial and land real estate Residential Consumer Total September 30, 2020 Recorded investment in impaired loans: With no specific allowance recorded $ 870 $ 2,383 $ 2,511 $ 1,545 $ — $ 7,309 With a specific allowance recorded 526 80 266 156 — 1,028 Total recorded investment in impaired loans $ 1,396 $ 2,463 $ 2,777 $ 1,701 $ — $ 8,337 Specific allowance on impaired loans 475 25 71 20 — 591 December 31, 2019 Recorded investment in impaired loans: With no specific allowance recorded $ 436 $ 2,737 $ 2,505 $ 1,488 $ 1 $ 7,167 With a specific allowance recorded 182 — 270 — 12 464 Total recorded investment in impaired loans $ 618 $ 2,737 $ 2,775 $ 1,488 $ 13 $ 7,631 Specific allowance on impaired loans 95 — 64 — 12 171 Three months ended September 30, 2020 Average recorded investment in impaired loans $ 1,136 $ 2,692 $ 2,814 $ 1,710 $ — $ 8,352 Interest recognized — — 7 — — 7 Nine months ended September 30, 2020 Average recorded investment in impaired loans 769 2,763 3,304 1,689 3 8,528 Interest recognized 4 151 37 — — 192 Three months ended September 30, 2019 Average recorded investment in impaired loans 2,283 1,369 1,634 124 — 5,410 Interest recognized — — — — — — Nine months ended September 30, 2019 Average recorded investment in impaired loans 3,330 782 1,779 494 — 6,385 Interest recognized 34 — 20 1 — 55 |
Schedule of debtor troubled debt restructuring, current period | The following tables present loans by class, modified as TDR loans, for the periods indicated: Number of Rate Term Interest only Rate & term loans modification modification modification modification Total Three months ended September 30, 2020 Commercial and industrial — $ — $ — $ — $ — $ — Construction and land — — — — — — Commercial real estate — — — — — — Residential 1 — 156 — — 156 Consumer — — — — — — Total 1 $ — $ 156 $ — $ — $ 156 Number of Rate Term Interest only Rate & term loans modification modification modification modification Total Nine months ended September 30, 2020 Commercial and industrial 1 $ — $ 24 $ — $ — $ 24 Construction and land — — — — — — Commercial real estate — — — — — — Residential 1 — 156 — — 156 Consumer — — — — — — Total 2 $ — $ 180 $ — $ — $ 180 Number of Rate Term Interest only Rate & term loans modification modification modification modification Total Three months ended September 30, 2019 Commercial and industrial — $ — $ — $ — $ — $ — Construction and land — — — — — — Commercial real estate — — — — — — Residential — — — — — — Consumer — — — — — — Total — $ — $ — $ — $ — $ — Number of Rate Term Interest only Rate & term loans modification modification modification modification Total Nine months ended September 30, 2019 Commercial and industrial 2 $ — $ 176 $ — $ 321 $ 497 Construction and land — — — — — — Commercial real estate — — — — — — Residential — — — — — — Consumer — — — — — — Total 2 $ — $ 176 $ — $ 321 $ 497 |
Schedule of financing receivable credit quality indicators | The following tables present the internally assigned risk grade by class of loans at the dates indicated: Special Pass mention Substandard Doubtful Total September 30, 2020 Commercial and industrial $ 318,497 $ 5,564 $ 2,268 $ — $ 326,329 Construction and land 38,303 315 2,464 — 41,082 Commercial real estate 1,124,741 12,653 5,341 — 1,142,735 Residential 179,418 852 2,164 — 182,434 Consumer 6,086 — 4 — 6,090 Total $ 1,667,045 $ 19,384 $ 12,241 $ — $ 1,698,670 Special Pass mention Substandard Doubtful Total December 31, 2019 Commercial and industrial $ 166,613 $ 1,166 $ 1,512 $ — $ 169,291 Construction and land 32,879 93 3,349 — 36,321 Commercial real estate 1,071,771 16,021 5,350 — 1,093,142 Residential 153,484 1,215 2,065 — 156,764 Consumer 2,541 — 21 — 2,562 Total $ 1,427,288 $ 18,495 $ 12,297 $ — $ 1,458,080 |
Schedule of past due financing receivables | The following tables provide an aging of the Company’s loans receivable as of the dates indicated: Recorded 90 Days investment > 30–59 Days 60–89 Days or more Total Total loans 90 days and past due past due past due past due Current PCI loans receivable accruing September 30, 2020 Commercial and industrial $ 80 $ 601 $ 231 $ 912 $ 324,743 $ 674 $ 326,329 $ — Construction and land 21 — 2,463 2,484 38,408 190 41,082 — Commercial real estate 91 346 1,524 1,961 1,128,134 12,640 1,142,735 — Residential 3 — — 3 179,419 3,012 182,434 — Consumer 148 473 990 1,611 4,479 — 6,090 — Total $ 343 $ 1,420 $ 5,208 $ 6,971 $ 1,675,183 $ 16,516 $ 1,698,670 $ — Recorded 90 Days investment > 30–59 Days 60–89 Days or more Total Total loans 90 days and past due past due past due past due Current PCI loans receivable accruing December 31, 2019 Commercial and industrial $ 923 $ 1,480 $ 207 $ 2,610 $ 166,137 $ 544 $ 169,291 $ 26 Construction and land 325 88 2,961 3,374 32,724 223 36,321 224 Commercial real estate 4,668 4,698 1,460 10,826 1,068,211 14,105 1,093,142 — Residential 531 122 1,392 2,045 152,261 2,458 156,764 — Consumer 14 — 13 27 2,533 2 2,562 — Total $ 6,461 $ 6,388 $ 6,033 $ 18,882 $ 1,421,866 $ 17,332 $ 1,458,080 $ 250 |
Schedule of purchase credit impaired loans | The unpaid principal balance and carrying value of the Company’s PCI loans at the dates indicated are as follows: September 30, 2020 December 31, 2019 Unpaid Unpaid principal Carrying principal Carrying balance value balance value Commercial and industrial $ 1,061 $ 674 $ 1,225 $ 544 Construction and land 271 190 338 223 Commercial real estate 14,481 12,640 15,930 14,105 Residential 3,754 3,012 3,238 2,458 Consumer — — 8 2 Total $ 19,567 $ 16,516 $ 20,739 $ 17,332 |
Schedule of changes in the accretable yield of PCI loans | The following table summarized the accretable yield on the purchased credit impaired loans for the periods indicated: Three months ended Nine months ended September 30, September 30, 2020 2019 2020 2019 Balance at beginning of period $ 571 $ 557 $ 554 $ 256 Additions 25 190 247 540 Removals — (346) (51) (349) Accretion (62) (15) (216) (61) Balance at end of period $ 534 $ 386 $ 534 $ 386 |
ALLOWANCE FOR LOAN LOSSES (Tabl
ALLOWANCE FOR LOAN LOSSES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
ALLOWANCE FOR LOAN LOSSES | |
Schedule of Allowance for loan losses for loan losses | The following table provides additional information on the allowance for loan losses and loan balances individually and collectively evaluated for impairment at or for the three and nine months ended September 30, 2020: Commercial Construction Commercial and industrial and land real estate Residential Consumer Unallocated Total Three months ended September 30, 2020 Allowance for loan losses Beginning balance $ 3,330 $ 336 $ 7,892 $ 1,367 $ 2 $ 573 $ 13,500 Charge-offs — — — — — — — Recoveries 3 — 4 — — — 7 Provision for loan losses 495 249 1,236 192 2 119 2,293 Ending balance $ 3,828 $ 585 $ 9,132 $ 1,559 $ 4 $ 692 $ 15,800 Nine months ended September 30, 2020 Allowance for loan losses Beginning balance $ 1,762 $ 164 $ 4,926 $ 421 $ 14 $ 113 $ 7,400 Charge-offs — — — (1) (17) — (18) Recoveries 10 — 4 — — — 14 Provision for loan losses 2,056 421 4,202 1,139 7 579 8,404 Ending balance $ 3,828 $ 585 $ 9,132 $ 1,559 $ 4 $ 692 $ 15,800 September 30, 2020 Allowance for loan losses related to: Loans individually evaluated for impairment $ 475 $ 25 $ 71 $ 20 $ — $ — $ 591 Loans collectively evaluated for impairment 3,353 560 9,061 1,539 4 692 15,209 PCI loans — — — — — — — Loans receivable: Individually evaluated for impairment $ 1,396 $ 2,463 $ 2,777 $ 1,701 $ — $ — $ 8,337 Collectively evaluated for impairment 324,259 38,429 1,127,318 177,721 6,090 — 1,673,817 PCI loans 674 190 12,640 3,012 — — 16,516 Total loans $ 326,329 $ 41,082 $ 1,142,735 $ 182,434 $ 6,090 $ — $ 1,698,670 The following table provides additional information on the allowance for loan losses and loan balances individually and collectively evaluated for impairment at or for the three and nine months ended September 30, 2019: Commercial Construction Commercial and industrial and land real estate Residential Consumer Unallocated Total Three months ended September 30, 2019 Allowance for loan losses Beginning balance $ 1,250 $ 266 $ 3,853 $ 225 $ 2 $ 284 $ 5,880 Charge-offs — — — (1) — — (1) Recoveries 2 — — — — — 2 Provision (reclassification) for loan losses 46 (59) 147 137 115 93 479 Ending balance $ 1,298 $ 207 $ 4,000 $ 361 $ 117 $ 377 $ 6,360 Nine months ended September 30, 2019 Allowance for loan losses Beginning balance $ 1,017 $ 327 $ 3,214 $ 215 $ 3 $ 364 $ 5,140 Charge-offs — — (17) (1) (4) — (22) Recoveries 41 — — — — — 41 Provision (reclassification) for loan losses 240 (120) 803 147 118 13 1,201 Ending balance $ 1,298 $ 207 $ 4,000 $ 361 $ 117 $ 377 $ 6,360 September 30, 2019 Allowance for loan losses related to: Loans individually evaluated for impairment $ 28 $ — $ — $ — $ — $ — $ 28 Loans collectively evaluated for impairment 1,270 207 4,000 361 117 377 6,332 PCI loans — — — — — — — Loans receivable: Individually evaluated for impairment $ 2,317 $ 2,737 $ 2,192 $ 119 $ — $ — $ 7,365 Collectively evaluated for impairment 157,335 21,694 898,100 131,706 1,375 — 1,210,210 PCI loans 521 192 12,330 1,641 — — 14,684 Total loans $ 160,173 $ 24,623 $ 912,622 $ 133,466 $ 1,375 $ — $ 1,232,259 |
PREMISES AND EQUIPMENT (Tables)
PREMISES AND EQUIPMENT (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
PREMISES AND EQUIPMENT | |
Schedule of Premises and Equipment | Premises and equipment consisted of the following at the dates indicated: September 30, December 31, 2020 2019 Premises owned $ 11,024 $ 7,906 Leasehold improvements 3,089 2,362 Furniture, fixtures and equipment 7,500 5,053 Less accumulated depreciation and amortization (5,990) (4,792) Total premises and equipment, net $ 15,623 $ 10,529 |
Schedule of Lease payments | For the remainder of 2020 $ 3,224 2021 2,636 2022 2,239 2023 1,489 2024 1,106 Thereafter 3,560 Total lease payments 14,254 Less: interest (1,157) Present value of lease liabilities $ 13,097 |
Schedule of Weighted average operating lease term and discount rate | The following table presents the weighted average operating lease term and discount rate at the date indicated: September 30, 2020 Weighted-average remaining lease term 6.15 years Weighted-average discount rate 2.72 % |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
GOODWILL AND INTANGIBLE ASSETS | |
Schedule of company's goodwill | Changes in the Company's goodwill for the periods indicated are as follows: September 30, December 31, 2020 2019 Balance at beginning of period $ 35,466 $ 14,594 Acquired goodwill 3,372 20,872 Impairment — — Balance at end of period $ 38,838 $ 35,466 |
Schedule of finite-lived intangible assets | September 30, December 31, 2020 2019 Balance at beginning of period $ 9,185 $ 7,205 Additions 949 3,604 Less amortization (1,379) (1,624) Balance at end of period $ 8,755 $ 9,185 |
Schedule of estimated core deposit intangible amortization | For the remainder of 2020 $ 453 2021 1,813 2022 1,813 2023 1,034 2024 970 Thereafter 2,672 Total $ 8,755 |
INTEREST RECEIVABLE AND OTHER_2
INTEREST RECEIVABLE AND OTHER ASSETS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
INTEREST RECEIVABLE AND OTHER ASSETS | |
Schedule of Interest receivable and other assets | The Company’s interest receivable and other assets at the dates indicated consisted of the following: September 30, December 31, 2020 2019 Tax assets, net $ 7,423 $ 5,922 Accrued interest receivable 8,996 5,495 Investment in SBIC Funds 2,846 2,272 Prepaid assets 1,638 1,160 Servicing assets 1,747 2,097 Low income housing partnerships, net 2,167 1,171 Investment in statutory trusts 479 475 All other 1,190 926 Total $ 26,486 $ 19,518 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Deposits [Abstract] | |
Schedule of Deposits | The Company’s deposits consisted of the following at the dates indicated: September 30, December 31, 2020 2019 Demand deposits $ 713,328 $ 572,341 NOW accounts and savings 393,203 314,125 Money market 551,816 489,206 Time deposits under $250,000 139,778 189,063 Time deposits over $250,000 110,521 136,448 Total $ 1,908,646 $ 1,701,183 |
OTHER EXPENSES (Tables)
OTHER EXPENSES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
OTHER EXPENSES | |
Schedule of other expenses | The Company’s other expenses for the periods indicated consisted of the following: Three months ended Nine months ended September 30, September 30, 2020 2019 2020 2019 Professional fees $ 531 $ 379 $ 2,055 $ 1,643 Core deposit premium amortization 453 396 1,379 1,177 Marketing and promotions 200 271 639 877 Stationery and supplies 167 138 440 436 Insurance (including FDIC premiums) 212 30 377 345 Communication and postage 176 142 494 349 Loan default related expense 97 38 309 188 Director fees and stock compensation 81 175 239 671 Bank service charges 49 9 125 40 Courier expense 176 128 490 359 Other 141 86 571 309 Total $ 2,283 $ 1,792 $ 7,118 $ 6,394 |
EQUITY INCENTIVE PLANS (Tables)
EQUITY INCENTIVE PLANS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
EQUITY INCENTIVE PLANS | |
Schedule of nonvested restricted stock units activity | The following table provides the restricted stock grant activity for the periods indicated: 2020 2019 Weighted-average Weighted-average grant date grant date Shares fair value Shares fair value Non-vested at January 1, 142,103 $ 20.76 131,000 $ 19.18 Granted 15,173 22.60 22,289 22.38 Vested (23,435) 19.62 (19,253) 19.51 Forfeited (1,432) 18.93 — — Non-Vested, at March 31, 132,409 $ 22.10 134,036 $ 20.76 Granted 92,294 12.18 45,696 24.60 Vested (32,264) 23.30 (36,582) 19.55 Non-Vested, at June 30, 192,439 $ 17.14 143,150 $ 21.63 Granted 21,599 10.28 9,350 21.40 Vested (9,523) 21.34 (9,723) 10.96 Non-Vested, at September 30, 204,515 $ 16.22 142,777 $ 22.60 |
FAIR VALUE MEASUREMENT (Tables)
FAIR VALUE MEASUREMENT (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
FAIR VALUE MEASUREMENT | |
Schedule of fair value, assets measured on recurring basis | The following assets are measured at fair value on a recurring basis at the dates indicated: Total Level 1 Level 2 Level 3 September 30, 2020 U.S. Treasuries $ — $ — $ — $ — U.S. Government Agencies 6,077 — 6,077 — Municipal securities 17,639 — 17,639 — Mortgage-backed securities 62,596 — 62,596 — Collateralized mortgage obligations 5,074 — 5,074 — SBA securities 7,969 — 7,969 — Corporate bonds 14,353 — 14,353 — Total $ 113,708 $ — $ 113,708 $ — Total Level 1 Level 2 Level 3 December 31, 2019 U.S. Treasuries $ 999 $ 999 $ — $ — U.S. Government Agencies 10,090 — 10,090 — Municipal securities 18,291 — 18,291 — Mortgage-backed securities 43,743 — 43,743 — Collateralized mortgage obligations 28,605 — 28,605 — SBA securities 9,486 — 9,486 — Corporate bonds 8,675 — 8,675 — Total $ 119,889 $ 999 $ 118,890 $ — |
Schedule of fair value measurements, nonrecurring | The following assets are measured at fair value on a nonrecurring basis as of the dates indicated: Total Level 1 Level 2 Level 3 September 30, 2020 Performing impaired loans $ 775 $ — $ — $ 775 Nonperforming impaired loans 7,562 — — 7,562 OREO 296 — — 296 Total $ 8,633 $ — $ — $ 8,633 Total Level 1 Level 2 Level 3 December 31, 2019 Performing impaired loans $ 789 $ — $ — $ 789 Nonperforming impaired loans 6,842 — — 6,842 OREO 574 — — 574 Total $ 8,205 $ — $ — $ 8,205 |
Schedule of estimated fair value of financial instruments | The carrying amounts and fair values of the Company’s financial instruments at the dates indicated are presented below: Carrying Fair Fair value measurements amount value Level 1 Level 2 Level 3 September 30, 2020 Financial assets: Cash and cash equivalents $ 319,835 $ 319,835 $ 319,835 $ — $ — Interest bearing deposits in banks 8,714 8,714 8,714 — — Investment securities available-for-sale 109,663 113,708 — 113,708 — Loans held for sale 12,044 12,044 — 12,044 — Loans, net 1,678,295 1,707,874 — — 1,707,874 Other equity securities 15,331 15,331 15,331 — — Accrued interest receivable 8,996 8,996 — 8,996 — Financial liabilities: Deposits 1,908,646 1,910,260 — 1,910,260 — Subordinated debt, net 63,340 63,340 — 63,340 — Other borrowings 10,000 10,000 — 10,000 — Junior subordinated deferrable interest debentures, net 8,302 8,018 — — 8,018 Accrued interest payable 710 710 — 710 — Off-balance sheet liabilities: Undisbursed loan commitments, lines of credit, standby letters of credit 107,441 107,026 — — 107,026 Carrying Fair Fair value measurements amount value Level 1 Level 2 Level 3 December 31, 2019 Financial assets: Cash and cash equivalents $ 295,382 $ 295,382 $ 295,382 $ — $ — Interest bearing deposits in banks 1,739 1,739 1,739 — — Investment securities available-for-sale 118,132 119,889 999 118,890 — Loans held for sale 2,226 2,226 — 2,226 — Loans, net 1,450,229 1,453,067 — — 1,453,067 Other equity securities 13,905 13,905 13,905 — — Accrued interest receivable 5,495 5,495 — 5,495 — Financial liabilities: Deposits 1,701,183 1,704,428 — 1,704,428 — Junior subordinated deferrable interest debentures, net 8,242 8,086 — — 8,086 Accrued interest payable 1,607 1,607 — 1,607 — Off-balance sheet liabilities: Undisbursed loan commitments, lines of credit, standby letters of credit 128,934 128,519 — — 128,519 |
BASIS OF PRESENTATION - General
BASIS OF PRESENTATION - General Information (Details) | 9 Months Ended |
Sep. 30, 2020location | |
Years of Operation | 16 years |
Number of Stores | 34 |
CALIFORNIA | |
Number of Stores | 16 |
WASHINGTON | |
Number of Stores | 2 |
NEW MEXICO | |
Number of Stores | 5 |
COLORADO | |
Number of Stores | 11 |
BASIS OF PRESENTATION - Acquisi
BASIS OF PRESENTATION - Acquisitions (Details) | Feb. 04, 2020 | Oct. 21, 2019 | May 24, 2019 |
Grand Mountain Bancshares, Inc. | |||
Business Acquisition, Date of Acquisition [Abstract] | |||
Business Acquisition, Effective Date of Acquisition | Feb. 4, 2020 | ||
TIG Bancorp | |||
Business Acquisition, Date of Acquisition [Abstract] | |||
Business Acquisition, Effective Date of Acquisition | Oct. 21, 2019 | ||
Uniti Financial Corporation | |||
Business Acquisition, Date of Acquisition [Abstract] | |||
Business Acquisition, Effective Date of Acquisition | May 24, 2019 |
ACCOUNTING GUIDANCE NOT YET E_2
ACCOUNTING GUIDANCE NOT YET EFFECTIVE AND ADOPTED ACCOUNTING GUIDANCE (Details) | Sep. 30, 2020 |
Accounting Standards Update 2016-13 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted | false |
Change in Accounting Principle, Accounting Standards Update, Early Adoption | false |
Accounting Standards Update 2017-04 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted | true |
Change in Accounting Principle, Accounting Standards Update, Adoption Date | Jan. 1, 2020 |
Accounting Standards Update 2018-13 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted | true |
Change in Accounting Principle, Accounting Standards Update, Adoption Date | Jan. 1, 2020 |
Accounting Standards Update 2019-01 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted | true |
Change in Accounting Principle, Accounting Standards Update, Adoption Date | Jan. 1, 2020 |
Accounting Standards Update 2019-12 [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Change in Accounting Principle, Accounting Standards Update, Adopted | false |
ACQUISITIONS - General informat
ACQUISITIONS - General information (Details) $ / shares in Units, $ in Thousands | Feb. 04, 2020USD ($)location$ / shares | Oct. 21, 2019USD ($)locationshares | May 24, 2019USD ($)locationshares | Sep. 30, 2020location |
Business Combination, Description [Abstract] | ||||
Number of Stores | location | 34 | |||
Grand Mountain Bancshares, Inc. | ||||
Business Acquisition, Date of Acquisition [Abstract] | ||||
Business Acquisition, Effective Date of Acquisition | Feb. 4, 2020 | |||
Business Combination, Description [Abstract] | ||||
Number of Stores | location | 4 | |||
Business Acquisition, Share Price | $ / shares | $ 3.40 | |||
Payments to Acquire Businesses, Gross | $ 13,886 | |||
Business Combination, Consideration Transferred | $ 13,886 | |||
TIG Bancorp | ||||
Business Acquisition, Date of Acquisition [Abstract] | ||||
Business Acquisition, Effective Date of Acquisition | Oct. 21, 2019 | |||
Business Combination, Description [Abstract] | ||||
Number of Stores | location | 7 | |||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | shares | 876,803 | |||
Payments to Acquire Businesses, Gross | $ 20,184 | |||
Business Combination, Consideration Transferred | $ 39,895 | |||
Uniti Financial Corporation | ||||
Business Acquisition, Date of Acquisition [Abstract] | ||||
Business Acquisition, Effective Date of Acquisition | May 24, 2019 | |||
Business Combination, Description [Abstract] | ||||
Number of Stores | location | 3 | |||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | shares | 1,115,006 | |||
Payments to Acquire Businesses, Gross | $ 37,814 | |||
Business Combination, Consideration Transferred | $ 62,701 |
ACQUISITIONS - Fair value of as
ACQUISITIONS - Fair value of assets acquired and liabilities assumed (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Feb. 04, 2020 | Dec. 31, 2019 | Oct. 21, 2019 | May 24, 2019 | Dec. 31, 2018 |
Liabilities: | ||||||
Goodwill | $ 38,838 | $ 35,466 | $ 14,594 | |||
Grand Mountain Bancshares, Inc. | ||||||
Liabilities: | ||||||
Fair value of net assets acquired | $ 10,348 | |||||
Goodwill | 3,372 | |||||
Grand Mountain Bancshares, Inc. | Previously Reported | ||||||
Fair value of assets: | ||||||
Cash and due from banks | 5,494 | |||||
Total cash and cash equivalents | 5,494 | |||||
Interest bearing deposits in banks | 16,040 | |||||
Investment securities available-for-sale | 4,369 | |||||
FHLB stock, at par | 165 | |||||
Loans, net | 98,410 | |||||
Premises and equipment, net | 3,879 | |||||
Core deposit intangible | 949 | |||||
Deferred tax assets, net | 728 | |||||
Interest receivable and other assets | 929 | |||||
Total assets acquired | 130,923 | |||||
Liabilities: | ||||||
Noninterest bearing | 30,937 | |||||
Interest bearing | 87,210 | |||||
Total Deposits | 118,147 | |||||
Interest payable and other liabilities | 687 | |||||
Other borrowings | 1,575 | |||||
Total liabilities assumed | 120,409 | |||||
Fair value of net assets acquired | 10,514 | |||||
Grand Mountain Bancshares, Inc. | Revision of Prior Period, Adjustment | ||||||
Fair value of assets: | ||||||
Investment securities available-for-sale | 10 | |||||
Loans, net | 484 | |||||
Premises and equipment, net | (1,000) | |||||
Core deposit intangible | 949 | |||||
Deferred tax assets, net | 139 | |||||
Time deposits | (25) | |||||
Liabilities: | ||||||
Other borrowings | (98) | |||||
Other (assets) liabilities | 5 | |||||
Fair value of net assets acquired | $ 166 | |||||
TIG Bancorp | ||||||
Liabilities: | ||||||
Fair value of net assets acquired | $ 29,164 | |||||
Goodwill | 9,017 | |||||
TIG Bancorp | Previously Reported | ||||||
Fair value of assets: | ||||||
Cash and due from banks | 6,146 | |||||
Federal funds sold | 55,955 | |||||
Total cash and cash equivalents | 62,101 | |||||
Investment securities available-for-sale | 26,382 | |||||
FHLB stock, at par | 241 | |||||
FRB stock, at par | 792 | |||||
Loans, net | 137,183 | |||||
Premises and equipment, net | 3,480 | |||||
OREO | 42 | |||||
Core deposit intangible | 3,038 | |||||
Deferred tax assets, net | 308 | |||||
Interest receivable and other assets | 2,079 | |||||
Total assets acquired | 235,646 | |||||
Liabilities: | ||||||
Noninterest bearing | 77,157 | |||||
Interest bearing | 125,597 | |||||
Total Deposits | 202,754 | |||||
Interest payable and other liabilities | 2,014 | |||||
Total liabilities assumed | 204,768 | |||||
Fair value of net assets acquired | 30,878 | |||||
TIG Bancorp | Revision of Prior Period, Adjustment | ||||||
Fair value of assets: | ||||||
Investment securities available-for-sale | 627 | |||||
Loans, net | 382 | |||||
Premises and equipment, net | 180 | |||||
OREO | 18 | |||||
Core deposit intangible | 3,038 | |||||
Deferred tax assets, net | 774 | |||||
Time deposits | (308) | |||||
Liabilities: | ||||||
Other (assets) liabilities | (159) | |||||
Fair value of net assets acquired | $ 1,714 | |||||
Uniti Financial Corporation | ||||||
Liabilities: | ||||||
Fair value of net assets acquired | $ 47,445 | |||||
Goodwill | 11,855 | |||||
Uniti Financial Corporation | Previously Reported | ||||||
Fair value of assets: | ||||||
Cash and due from banks | 6,392 | |||||
Federal funds sold | 22,080 | |||||
Total cash and cash equivalents | 28,472 | |||||
Investment securities available-for-sale | 5,096 | |||||
FHLB stock, at par | 1,535 | |||||
Loans, net | 276,719 | |||||
Premises and equipment, net | 463 | |||||
OREO | 76 | |||||
Core deposit intangible | 566 | |||||
Deferred tax assets, net | 234 | |||||
Servicing asset | 1,824 | |||||
Interest receivable and other assets | 3,033 | |||||
Total assets acquired | 318,018 | |||||
Liabilities: | ||||||
Noninterest bearing | 143,082 | |||||
Interest bearing | 122,704 | |||||
Total Deposits | 265,786 | |||||
Interest payable and other liabilities | 1,386 | |||||
Total liabilities assumed | 267,172 | |||||
Fair value of net assets acquired | 50,846 | |||||
Uniti Financial Corporation | Revision of Prior Period, Adjustment | ||||||
Fair value of assets: | ||||||
Loans, net | 4,617 | |||||
OREO | 32 | |||||
Core deposit intangible | 566 | |||||
Deferred tax assets, net | 695 | |||||
Time deposits | (250) | |||||
Servicing asset | 805 | |||||
Liabilities: | ||||||
Fair value of net assets acquired | $ 3,401 |
ACQUISITIONS - Consideration tr
ACQUISITIONS - Consideration transferred (Details) - USD ($) $ in Thousands | Feb. 04, 2020 | Oct. 21, 2019 | May 24, 2019 |
Grand Mountain Bancshares, Inc. | |||
Business Combination, Consideration Transferred [Abstract] | |||
Cash paid | $ 13,886 | ||
Total price paid | $ 13,886 | ||
TIG Bancorp | |||
Business Combination, Consideration Transferred [Abstract] | |||
Common stock issued | $ 19,711 | ||
Cash paid | 20,184 | ||
Total price paid | $ 39,895 | ||
Uniti Financial Corporation | |||
Business Combination, Consideration Transferred [Abstract] | |||
Common stock issued | $ 24,887 | ||
Cash paid | 37,814 | ||
Total price paid | $ 62,701 |
ACQUISITIONS - Pro forma result
ACQUISITIONS - Pro forma results of operations (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Business Acquisition, Pro Forma Information [Abstract] | ||||
Net interest income | $ 19,005 | $ 21,328 | $ 60,394 | $ 65,778 |
Net income | $ 3,249 | $ 6,238 | $ 8,389 | $ 14,394 |
Basic earnings per share (in dollars per share) | $ 0.27 | $ 0.48 | $ 0.69 | $ 1.11 |
Diluted earnings per share (in dollars per share) | $ 0.27 | $ 0.48 | $ 0.69 | $ 1.11 |
ACQUISITIONS - Acquisition expe
ACQUISITIONS - Acquisition expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
ACQUISITIONS | ||||
Business Combination, Acquisition Related Costs, Professional Fees | $ 369 | $ 535 | ||
Business Combination, Acquisition Related Costs, Data Processing | 2,000 | 2,657 | ||
Business Combination, Acquisition Related Costs, Severance Expense | 266 | 578 | ||
Business Combination, Acquisition Related Costs, Other Expense | 383 | 365 | ||
Total | $ 0 | $ 0 | $ 3,018 | $ 4,135 |
INVESTMENT SECURITIES - Amortiz
INVESTMENT SECURITIES - Amortized Cost, Gross Unrealized Gains and Losses, and Estimated Fair Values of Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized cost | $ 109,663 | $ 118,132 |
Gross unrealized gains | 4,260 | 1,951 |
Gross unrealized losses | (215) | (194) |
Securities available for sale, fair value | 113,708 | 119,889 |
U.S. Treasuries | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized cost | 0 | 999 |
Gross unrealized gains | 0 | 0 |
Gross unrealized losses | 0 | 0 |
Securities available for sale, fair value | 0 | 999 |
U.S. Government Agencies | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized cost | 6,029 | 10,033 |
Gross unrealized gains | 53 | 64 |
Gross unrealized losses | (5) | (7) |
Securities available for sale, fair value | 6,077 | 10,090 |
Municipal securities | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized cost | 16,954 | 17,888 |
Gross unrealized gains | 685 | 408 |
Gross unrealized losses | 0 | (5) |
Securities available for sale, fair value | 17,639 | 18,291 |
Mortgage-backed securities | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized cost | 60,364 | 42,931 |
Gross unrealized gains | 2,247 | 860 |
Gross unrealized losses | (15) | (48) |
Securities available for sale, fair value | 62,596 | 43,743 |
Collateralized mortgage obligation | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized cost | 3,935 | 28,197 |
Gross unrealized gains | 1,150 | 476 |
Gross unrealized losses | (11) | (68) |
Securities available for sale, fair value | 5,074 | 28,605 |
SBA securities | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized cost | 7,959 | 9,550 |
Gross unrealized gains | 60 | 2 |
Gross unrealized losses | (50) | (66) |
Securities available for sale, fair value | 7,969 | 9,486 |
Corporate Bonds | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized cost | 14,422 | 8,534 |
Gross unrealized gains | 65 | 141 |
Gross unrealized losses | (134) | 0 |
Securities available for sale, fair value | $ 14,353 | $ 8,675 |
INVESTMENT SECURITIES - Estimat
INVESTMENT SECURITIES - Estimated Fair Value (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Estimated fair value | $ 9,924 | $ 23,508 |
12 months or more, Estimated fair value | 6,586 | 4,008 |
Total, Estimated fair value | 16,510 | 27,516 |
U.S. Treasuries | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Estimated fair value | 0 | 0 |
12 months or more, Estimated fair value | 0 | 0 |
Total, Estimated fair value | 0 | 0 |
U.S. Government Agencies | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Estimated fair value | 0 | 1,497 |
12 months or more, Estimated fair value | 1,511 | 1,514 |
Total, Estimated fair value | 1,511 | 3,011 |
Municipal securities | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Estimated fair value | 0 | 3,147 |
12 months or more, Estimated fair value | 0 | 0 |
Total, Estimated fair value | 0 | 3,147 |
Mortgage-backed securities | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Estimated fair value | 208 | 7,772 |
12 months or more, Estimated fair value | 506 | 81 |
Total, Estimated fair value | 714 | 7,853 |
Collateralized mortgage obligation | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Estimated fair value | 2,308 | 4,155 |
12 months or more, Estimated fair value | 832 | 883 |
Total, Estimated fair value | 3,140 | 5,038 |
SBA securities | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Estimated fair value | 1,036 | 6,937 |
12 months or more, Estimated fair value | 3,737 | 1,530 |
Total, Estimated fair value | 4,773 | 8,467 |
Corporate Bonds | ||
Debt Securities, Available-for-sale, Unrealized Loss Position [Line Items] | ||
Less than 12 months, Estimated fair value | 6,372 | 0 |
12 months or more, Estimated fair value | 0 | 0 |
Total, Estimated fair value | $ 6,372 | $ 0 |
INVESTMENT SECURITIES - Gross U
INVESTMENT SECURITIES - Gross Unrealized Losses (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 months, Unrealized loss | $ (144) | $ (133) |
12 months or more, Unrealized loss | (71) | (61) |
Total, Unrealized loss | (215) | (194) |
U.S. Treasuries | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 months, Unrealized loss | 0 | 0 |
12 months or more, Unrealized loss | 0 | 0 |
Total, Unrealized loss | 0 | 0 |
U.S. Government Agencies | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 months, Unrealized loss | 0 | (1) |
12 months or more, Unrealized loss | (5) | (6) |
Total, Unrealized loss | (5) | (7) |
Municipal securities | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 months, Unrealized loss | 0 | (5) |
12 months or more, Unrealized loss | 0 | 0 |
Total, Unrealized loss | 0 | (5) |
Mortgage-backed securities | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 months, Unrealized loss | (3) | (47) |
12 months or more, Unrealized loss | (12) | (1) |
Total, Unrealized loss | (15) | (48) |
Collateralized mortgage obligation | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 months, Unrealized loss | (5) | (56) |
12 months or more, Unrealized loss | (6) | (12) |
Total, Unrealized loss | (11) | (68) |
SBA securities | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 months, Unrealized loss | (2) | (24) |
12 months or more, Unrealized loss | (48) | (42) |
Total, Unrealized loss | (50) | (66) |
Corporate Bonds | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss [Abstract] | ||
Less than 12 months, Unrealized loss | (134) | 0 |
12 months or more, Unrealized loss | 0 | 0 |
Total, Unrealized loss | $ (134) | $ 0 |
INVESTMENT SECURITIES - Unreali
INVESTMENT SECURITIES - Unrealized Loss Positions (Details) | Sep. 30, 2020security |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Number of Positions [Abstract] | |
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | 288 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Number of Positions | 21 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Number of Positions | 22 |
INVESTMENT SECURITIES - Amort_2
INVESTMENT SECURITIES - Amortized Cost and Estimated Fair Value of Available-for-Sale Securities by Contractual Maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Available-for-sale: Amortized Cost | ||
Due in one year or less (remainder of year) | $ 10,244 | |
Due in one year or less | 0 | $ 10,737 |
Due after one through five years | 19,866 | 24,078 |
Due after five years through ten years | 27,207 | 22,914 |
Due after ten years | 52,346 | 60,403 |
Total | 109,663 | 118,132 |
Available-for-sale: Fair Value | ||
Due in one year or less (remainder of year) | 10,351 | |
Due in one year or less | 0 | 10,781 |
Due after one through five years | 20,839 | 24,560 |
Due after five years through ten years | 27,847 | 23,366 |
Due after ten years | 54,671 | 61,182 |
Total | $ 113,708 | $ 119,889 |
LOANS - Summary of Loans (Detai
LOANS - Summary of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | $ 1,698,670 | $ 1,458,080 | $ 1,232,259 | |||
Total Loans | 1,698,670 | 1,458,080 | ||||
Net deferred loan fees | (4,575) | (451) | ||||
Allowance for loan losses | (15,800) | $ (13,500) | (7,400) | (6,360) | $ (5,880) | $ (5,140) |
Net Loans | 1,678,295 | 1,450,229 | ||||
Commercial Portfolio Segment | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 326,329 | 169,291 | 160,173 | |||
Total Loans | 326,329 | 169,291 | ||||
Allowance for loan losses | (3,828) | (3,330) | (1,762) | (1,298) | (1,250) | (1,017) |
Construction and Land Portfolio Segment | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 41,082 | 36,321 | 24,623 | |||
Total Loans | 41,082 | 36,321 | ||||
Allowance for loan losses | (585) | (336) | (164) | (207) | (266) | (327) |
Commercial Real Estate Portfolio Segment | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 1,142,735 | 1,093,142 | 912,622 | |||
Total Loans | 1,142,735 | 1,093,142 | ||||
Allowance for loan losses | (9,132) | (7,892) | (4,926) | (4,000) | (3,853) | (3,214) |
Residential Portfolio Segment | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 182,434 | 156,764 | 133,466 | |||
Total Loans | 182,434 | 156,764 | ||||
Allowance for loan losses | (1,559) | (1,367) | (421) | (361) | (225) | (215) |
Consumer Portfolio Segment | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 6,090 | 2,562 | 1,375 | |||
Total Loans | 6,090 | 2,562 | ||||
Allowance for loan losses | $ (4) | $ (2) | $ (14) | $ (117) | $ (2) | $ (3) |
LOANS - Total Impaired Loans In
LOANS - Total Impaired Loans Including Non-Accrual Loans, Accruing TDR Loans and Accreting PCI Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Financing Receivable, Impaired [Line Items] | |||||
With no specific allowance recorded | $ 7,309 | $ 7,309 | $ 7,167 | ||
With a specific allowance recorded | 1,028 | 1,028 | 464 | ||
Total recorded investment in impaired loans | 8,337 | 8,337 | 7,631 | ||
Specific allowance on impaired loans | 591 | 591 | 171 | ||
Average recorded investment in impaired loans | 8,352 | $ 5,410 | 8,528 | $ 6,385 | |
Interest recognized | 7 | 192 | 55 | ||
Commercial Portfolio Segment | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no specific allowance recorded | 870 | 870 | 436 | ||
With a specific allowance recorded | 526 | 526 | 182 | ||
Total recorded investment in impaired loans | 1,396 | 1,396 | 618 | ||
Specific allowance on impaired loans | 475 | 475 | 95 | ||
Average recorded investment in impaired loans | 1,136 | 2,283 | 769 | 3,330 | |
Interest recognized | 4 | 34 | |||
Construction and Land Portfolio Segment | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no specific allowance recorded | 2,383 | 2,383 | 2,737 | ||
With a specific allowance recorded | 80 | 80 | 0 | ||
Total recorded investment in impaired loans | 2,463 | 2,463 | 2,737 | ||
Specific allowance on impaired loans | 25 | 25 | 0 | ||
Average recorded investment in impaired loans | 2,692 | 1,369 | 2,763 | 782 | |
Interest recognized | 0 | 0 | 151 | 0 | |
Commercial Real Estate Portfolio Segment | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no specific allowance recorded | 2,511 | 2,511 | 2,505 | ||
With a specific allowance recorded | 266 | 266 | 270 | ||
Total recorded investment in impaired loans | 2,777 | 2,777 | 2,775 | ||
Specific allowance on impaired loans | 71 | 71 | 64 | ||
Average recorded investment in impaired loans | 2,814 | 1,634 | 3,304 | 1,779 | |
Interest recognized | 7 | 0 | 37 | 20 | |
Residential Portfolio Segment | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no specific allowance recorded | 1,545 | 1,545 | 1,488 | ||
With a specific allowance recorded | 156 | 156 | |||
Total recorded investment in impaired loans | 1,701 | 1,701 | 1,488 | ||
Specific allowance on impaired loans | 20 | 20 | |||
Average recorded investment in impaired loans | 1,710 | 124 | 1,689 | 494 | |
Interest recognized | 1 | ||||
Consumer Portfolio Segment | |||||
Financing Receivable, Impaired [Line Items] | |||||
With no specific allowance recorded | 0 | 0 | 1 | ||
With a specific allowance recorded | 0 | 0 | 12 | ||
Total recorded investment in impaired loans | 0 | 0 | 13 | ||
Specific allowance on impaired loans | 0 | 0 | $ 12 | ||
Average recorded investment in impaired loans | 0 | 0 | 3 | 0 | |
Interest recognized | $ 0 | $ 0 | $ 0 | $ 0 |
LOANS - Loans by Class Modified
LOANS - Loans by Class Modified as Troubled Debt Restructuring (Details) - Troubled Debt Restructurings $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2020USD ($)loan | Sep. 30, 2020USD ($)loan | Sep. 30, 2019USD ($)loan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of loans | loan | 1,000 | 2,000 | 2 |
Term modification | $ 156 | $ 180 | $ 176 |
Rate & term modification | 321 | ||
Total | $ 156 | $ 180 | $ 497 |
Commercial Portfolio Segment | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of loans | loan | 1,000 | 2 | |
Term modification | $ 24 | $ 176 | |
Rate & term modification | 321 | ||
Total | $ 24 | $ 497 | |
Residential Portfolio Segment | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of loans | loan | 1,000 | 1,000 | |
Term modification | $ 156 | $ 156 | |
Total | $ 156 | $ 156 |
LOANS - Internally Assigned Gra
LOANS - Internally Assigned Grade by Class of Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Total loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | $ 1,698,670 | $ 1,458,080 |
Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 1,667,045 | 1,427,288 |
Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 19,384 | 18,495 |
Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 12,241 | 12,297 |
Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 0 | 0 |
Commercial Portfolio Segment | Total loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 326,329 | 169,291 |
Commercial Portfolio Segment | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 318,497 | 166,613 |
Commercial Portfolio Segment | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 5,564 | 1,166 |
Commercial Portfolio Segment | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 2,268 | 1,512 |
Commercial Portfolio Segment | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 0 | 0 |
Construction and Land Portfolio Segment | Total loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 41,082 | 36,321 |
Construction and Land Portfolio Segment | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 38,303 | 32,879 |
Construction and Land Portfolio Segment | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 315 | 93 |
Construction and Land Portfolio Segment | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 2,464 | 3,349 |
Construction and Land Portfolio Segment | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 0 | 0 |
Commercial Real Estate Portfolio Segment | Total loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 1,142,735 | 1,093,142 |
Commercial Real Estate Portfolio Segment | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 1,124,741 | 1,071,771 |
Commercial Real Estate Portfolio Segment | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 12,653 | 16,021 |
Commercial Real Estate Portfolio Segment | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 5,341 | 5,350 |
Commercial Real Estate Portfolio Segment | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 0 | 0 |
Residential Portfolio Segment | Total loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 182,434 | 156,764 |
Residential Portfolio Segment | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 179,418 | 153,484 |
Residential Portfolio Segment | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 852 | 1,215 |
Residential Portfolio Segment | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 2,164 | 2,065 |
Residential Portfolio Segment | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 0 | 0 |
Consumer Portfolio Segment | Total loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 6,090 | 2,562 |
Consumer Portfolio Segment | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 6,086 | 2,541 |
Consumer Portfolio Segment | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 0 | |
Consumer Portfolio Segment | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | 4 | 21 |
Consumer Portfolio Segment | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Risk category of loans by class | $ 0 | $ 0 |
LOANS - Aging of the Company's
LOANS - Aging of the Company's Loan Receivable (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 |
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | $ 6,971 | $ 18,882 | |
Current | 1,675,183 | 1,421,866 | |
PCI Loans | 16,516 | 17,332 | |
Total loans | 1,698,670 | 1,458,080 | $ 1,232,259 |
Recorded Investment > 90 Days and Accruing | 0 | 250 | |
Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 343 | 6,461 | |
Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 1,420 | 6,388 | |
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 5,208 | 6,033 | |
Recorded Investment > 90 Days and Accruing | 0 | 250 | |
Commercial Portfolio Segment | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 912 | 2,610 | |
Current | 324,743 | 166,137 | |
PCI Loans | 674 | 544 | |
Total loans | 326,329 | 169,291 | 160,173 |
Recorded Investment > 90 Days and Accruing | 0 | 26 | |
Commercial Portfolio Segment | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 80 | 923 | |
Commercial Portfolio Segment | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 601 | 1,480 | |
Commercial Portfolio Segment | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 231 | 207 | |
Construction and Land Portfolio Segment | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 2,484 | 3,374 | |
Current | 38,408 | 32,724 | |
PCI Loans | 190 | 223 | |
Total loans | 41,082 | 36,321 | 24,623 |
Recorded Investment > 90 Days and Accruing | 0 | 224 | |
Construction and Land Portfolio Segment | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 21 | 325 | |
Construction and Land Portfolio Segment | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 88 | |
Construction and Land Portfolio Segment | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 2,463 | 2,961 | |
Commercial Real Estate Portfolio Segment | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 1,961 | 10,826 | |
Current | 1,128,134 | 1,068,211 | |
PCI Loans | 12,640 | 14,105 | |
Total loans | 1,142,735 | 1,093,142 | 912,622 |
Recorded Investment > 90 Days and Accruing | 0 | 0 | |
Commercial Real Estate Portfolio Segment | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 91 | 4,668 | |
Commercial Real Estate Portfolio Segment | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 346 | 4,698 | |
Commercial Real Estate Portfolio Segment | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 1,524 | 1,460 | |
Residential Portfolio Segment | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 3 | 2,045 | |
Current | 179,419 | 152,261 | |
PCI Loans | 3,012 | 2,458 | |
Total loans | 182,434 | 156,764 | 133,466 |
Recorded Investment > 90 Days and Accruing | 0 | 0 | |
Residential Portfolio Segment | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 3 | 531 | |
Residential Portfolio Segment | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 122 | |
Residential Portfolio Segment | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 1,392 | |
Consumer Portfolio Segment | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 1,611 | 27 | |
Current | 4,479 | 2,533 | |
PCI Loans | 0 | 2 | |
Total loans | 6,090 | 2,562 | $ 1,375 |
Recorded Investment > 90 Days and Accruing | 0 | 0 | |
Consumer Portfolio Segment | Financial Asset, 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 148 | 14 | |
Consumer Portfolio Segment | Financial Asset, 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 473 | 0 | |
Consumer Portfolio Segment | Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | $ 990 | $ 13 |
LOANS - Carrying Amount and Unp
LOANS - Carrying Amount and Unpaid Balance of PCI Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Unpaid Principal Balance | $ 19,567 | $ 20,739 |
Carrying Value | 16,516 | 17,332 |
Commercial Portfolio Segment | ||
Unpaid Principal Balance | 1,061 | 1,225 |
Carrying Value | 674 | 544 |
Construction and Land Portfolio Segment | ||
Unpaid Principal Balance | 271 | 338 |
Carrying Value | 190 | 223 |
Commercial Real Estate Portfolio Segment | ||
Unpaid Principal Balance | 14,481 | 15,930 |
Carrying Value | 12,640 | 14,105 |
Residential Portfolio Segment | ||
Unpaid Principal Balance | 3,754 | 3,238 |
Carrying Value | $ 3,012 | 2,458 |
Consumer Portfolio Segment | ||
Unpaid Principal Balance | 8 | |
Carrying Value | $ 2 |
LOANS - Accretable Yield on PCI
LOANS - Accretable Yield on PCI Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | ||||
Balance at beginning of period | $ 571 | $ 557 | $ 554 | $ 256 |
Additions | 25 | 190 | 247 | 540 |
Removals | (346) | (51) | (349) | |
Accretion | (62) | (15) | (216) | (61) |
Balance at end of period | $ 534 | $ 386 | $ 534 | $ 386 |
LOANS - Additional Information
LOANS - Additional Information (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020USD ($)loan | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)loan | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Loans and Leases Receivable, Impaired, Interest Lost on Nonaccrual Loans | $ 117,500 | $ 66,500 | $ 338,500 | $ 155,000 | |
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 | $ 250,000 | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 16,516,000 | 16,516,000 | 17,332,000 | ||
Financing Receivable, Troubled Debt Restructuring | 3,700,000 | 3,700,000 | 4,400,000 | ||
Financing Receivables, Impaired, Troubled Debt Restructuring, Write-down | 0 | 0 | |||
Financing Receivable, Troubled Debt Restructuring, Subsequent Default | $ 0 | $ 0 | |||
Mortgage Loans in Process of Foreclosure, Number of Loans | loan | 3 | 3 | |||
Mortgage Loans in Process of Foreclosure, Amount | $ 546,000 | $ 546,000 | 0 | ||
Financial Asset, Equal to or Greater than 90 Days Past Due [Member] | |||||
Financing Receivable, Recorded Investment, 90 Days Past Due and Still Accruing | 0 | 0 | 250,000 | ||
Performing Financial Instruments [Member] | |||||
Financing Receivable, Troubled Debt Restructuring | 775,000 | 775,000 | 789,000 | ||
Loans Insured or Guaranteed by US Government Authorities [Member] | |||||
Financing Receivable, Recorded Investment, Nonaccrual Status | $ 872,000,000,000 | $ 872,000,000,000 | $ 872,000,000,000 |
ALLOWANCE FOR LOAN LOSSES - Rol
ALLOWANCE FOR LOAN LOSSES - Roll Forward (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Allowance for loan losses Beginning balance | $ 13,500 | $ 5,880 | $ 7,400 | $ 5,140 |
Allowance for loan losses Charge-offs | 0 | (1) | (18) | (22) |
Allowance for loan losses Recoveries | 7 | 2 | 14 | 41 |
Allowance for loan losses provision (reclassification) for loan losses | 2,293 | 479 | 8,404 | 1,201 |
Allowance for loan losses Ending balance | 15,800 | 6,360 | 15,800 | 6,360 |
Commercial Portfolio Segment | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Allowance for loan losses Beginning balance | 3,330 | 1,250 | 1,762 | 1,017 |
Allowance for loan losses Charge-offs | 0 | 0 | 0 | 0 |
Allowance for loan losses Recoveries | 3 | 2 | 10 | 41 |
Allowance for loan losses provision (reclassification) for loan losses | 495 | 46 | 2,056 | 240 |
Allowance for loan losses Ending balance | 3,828 | 1,298 | 3,828 | 1,298 |
Construction and Land Portfolio Segment | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Allowance for loan losses Beginning balance | 336 | 266 | 164 | 327 |
Allowance for loan losses Charge-offs | 0 | 0 | 0 | 0 |
Allowance for loan losses Recoveries | 0 | 0 | 0 | 0 |
Allowance for loan losses provision (reclassification) for loan losses | 249 | (59) | 421 | (120) |
Allowance for loan losses Ending balance | 585 | 207 | 585 | 207 |
Commercial Real Estate Portfolio Segment | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Allowance for loan losses Beginning balance | 7,892 | 3,853 | 4,926 | 3,214 |
Allowance for loan losses Charge-offs | 0 | 0 | 0 | (17) |
Allowance for loan losses Recoveries | 4 | 0 | 4 | 0 |
Allowance for loan losses provision (reclassification) for loan losses | 1,236 | 147 | 4,202 | 803 |
Allowance for loan losses Ending balance | 9,132 | 4,000 | 9,132 | 4,000 |
Residential Portfolio Segment | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Allowance for loan losses Beginning balance | 1,367 | 225 | 421 | 215 |
Allowance for loan losses Charge-offs | 0 | (1) | (1) | (1) |
Allowance for loan losses Recoveries | 0 | 0 | 0 | 0 |
Allowance for loan losses provision (reclassification) for loan losses | 192 | 137 | 1,139 | 147 |
Allowance for loan losses Ending balance | 1,559 | 361 | 1,559 | 361 |
Consumer Portfolio Segment | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Allowance for loan losses Beginning balance | 2 | 2 | 14 | 3 |
Allowance for loan losses Charge-offs | 0 | 0 | (17) | (4) |
Allowance for loan losses Recoveries | 0 | 0 | 0 | 0 |
Allowance for loan losses provision (reclassification) for loan losses | 2 | 115 | 7 | 118 |
Allowance for loan losses Ending balance | 4 | 117 | 4 | 117 |
Unallocated Financing Receivables | ||||
Allowance for Loan and Lease Losses [Roll Forward] | ||||
Allowance for loan losses Beginning balance | 573 | 284 | 113 | 364 |
Allowance for loan losses Charge-offs | 0 | 0 | 0 | 0 |
Allowance for loan losses Recoveries | 0 | 0 | 0 | 0 |
Allowance for loan losses provision (reclassification) for loan losses | 119 | 93 | 579 | 13 |
Allowance for loan losses Ending balance | $ 692 | $ 377 | $ 692 | $ 377 |
ALLOWANCE FOR LOAN LOSSES - Add
ALLOWANCE FOR LOAN LOSSES - Additional Information (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans individually evaluated for impairment | $ 591 | $ 28 | ||||
Loans collectively evaluated for impairment | 15,209 | 6,332 | ||||
Loans and Leases Receivable, Allowance, Total | 15,800 | $ 13,500 | $ 7,400 | 6,360 | $ 5,880 | $ 5,140 |
Individually evaluated for impairment | 8,337 | 7,365 | ||||
Collectively evaluated for impairment | 1,673,817 | 1,210,210 | ||||
Total loans | 1,698,670 | 1,458,080 | 1,232,259 | |||
Nonperforming Financial Instruments [Member] | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans and Leases Receivable, Allowance, Total | 0 | 0 | ||||
Total loans | 16,516 | 14,684 | ||||
Commercial Portfolio Segment | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans individually evaluated for impairment | 475 | 28 | ||||
Loans collectively evaluated for impairment | 3,353 | 1,270 | ||||
Loans and Leases Receivable, Allowance, Total | 3,828 | 3,330 | 1,762 | 1,298 | 1,250 | 1,017 |
Individually evaluated for impairment | 1,396 | 2,317 | ||||
Collectively evaluated for impairment | 324,259 | 157,335 | ||||
Total loans | 326,329 | 169,291 | 160,173 | |||
Commercial Portfolio Segment | Nonperforming Financial Instruments [Member] | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans and Leases Receivable, Allowance, Total | 0 | 0 | ||||
Total loans | 674 | 521 | ||||
Construction and Land Portfolio Segment | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans individually evaluated for impairment | 25 | 0 | ||||
Loans collectively evaluated for impairment | 560 | 207 | ||||
Loans and Leases Receivable, Allowance, Total | 585 | 336 | 164 | 207 | 266 | 327 |
Individually evaluated for impairment | 2,463 | 2,737 | ||||
Collectively evaluated for impairment | 38,429 | 21,694 | ||||
Total loans | 41,082 | 36,321 | 24,623 | |||
Construction and Land Portfolio Segment | Nonperforming Financial Instruments [Member] | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans and Leases Receivable, Allowance, Total | 0 | 0 | ||||
Total loans | 190 | 192 | ||||
Commercial Real Estate Portfolio Segment | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans individually evaluated for impairment | 71 | 0 | ||||
Loans collectively evaluated for impairment | 9,061 | 4,000 | ||||
Loans and Leases Receivable, Allowance, Total | 9,132 | 7,892 | 4,926 | 4,000 | 3,853 | 3,214 |
Individually evaluated for impairment | 2,777 | 2,192 | ||||
Collectively evaluated for impairment | 1,127,318 | 898,100 | ||||
Total loans | 1,142,735 | 1,093,142 | 912,622 | |||
Commercial Real Estate Portfolio Segment | Nonperforming Financial Instruments [Member] | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans and Leases Receivable, Allowance, Total | 0 | 0 | ||||
Total loans | 12,640 | 12,330 | ||||
Residential Portfolio Segment | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans individually evaluated for impairment | 20 | 0 | ||||
Loans collectively evaluated for impairment | 1,539 | 361 | ||||
Loans and Leases Receivable, Allowance, Total | 1,559 | 1,367 | 421 | 361 | 225 | 215 |
Individually evaluated for impairment | 1,701 | 119 | ||||
Collectively evaluated for impairment | 177,721 | 131,706 | ||||
Total loans | 182,434 | 156,764 | 133,466 | |||
Residential Portfolio Segment | Nonperforming Financial Instruments [Member] | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans and Leases Receivable, Allowance, Total | 0 | 0 | ||||
Total loans | 3,012 | 1,641 | ||||
Consumer Portfolio Segment | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans individually evaluated for impairment | 0 | 0 | ||||
Loans collectively evaluated for impairment | 4 | 117 | ||||
Loans and Leases Receivable, Allowance, Total | 4 | 2 | 14 | 117 | 2 | 3 |
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 6,090 | 1,375 | ||||
Total loans | 6,090 | 2,562 | 1,375 | |||
Consumer Portfolio Segment | Nonperforming Financial Instruments [Member] | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans and Leases Receivable, Allowance, Total | 0 | 0 | ||||
Total loans | 0 | 0 | ||||
Unallocated Financing Receivables | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans individually evaluated for impairment | 0 | 0 | ||||
Loans collectively evaluated for impairment | 692 | 377 | ||||
Loans and Leases Receivable, Allowance, Total | 692 | $ 573 | $ 113 | 377 | $ 284 | $ 364 |
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 0 | 0 | ||||
Total loans | 0 | 0 | ||||
Unallocated Financing Receivables | Nonperforming Financial Instruments [Member] | ||||||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | ||||||
Loans and Leases Receivable, Allowance, Total | 0 | 0 | ||||
Total loans | $ 0 | $ 0 |
PREMISES AND EQUIPMENT - Tabula
PREMISES AND EQUIPMENT - Tabular Disclosure (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Property, Plant and Equipment [Line Items] | ||
Less accumulated depreciation and amortization | $ (5,990) | $ (4,792) |
Total premises and equipment, net | 15,623 | 10,529 |
Land, Buildings and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 11,024 | 7,906 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | 3,089 | 2,362 |
Furniture Fixtures and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 7,500 | $ 5,053 |
PREMISES AND EQUIPMENT - Lease
PREMISES AND EQUIPMENT - Lease Payments (Details) $ in Thousands | Sep. 30, 2020USD ($) |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |
For the remainder of 2020 | $ 3,224 |
2021 | 2,636 |
2022 | 2,239 |
2023 | 1,489 |
2024 | 1,106 |
Thereafter | 3,560 |
Total lease payments | $ 14,254 |
PREMISES AND EQUIPMENT - Gross
PREMISES AND EQUIPMENT - Gross Difference (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Operating Lease Liabilities, Gross Difference, Amount [Abstract] | ||
Total lease payments | $ 14,254 | |
Less: interest | (1,157) | |
Present value of lease liabilities | $ 13,097 | $ 15,599 |
PREMISES AND EQUIPMENT - Weight
PREMISES AND EQUIPMENT - Weighted Average Operating Lease Term and Discount Rate (Details) | Sep. 30, 2020 |
PREMISES AND EQUIPMENT | |
Weighted-average remaining lease term | 6 years 1 month 24 days |
Weighted-average discount rate | 2.72% |
PREMISES AND EQUIPMENT - Additi
PREMISES AND EQUIPMENT - Additional Information (Details) $ in Thousands | Mar. 29, 2019USD ($)ft² | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) |
PREMISES AND EQUIPMENT | |||||
Depreciation, Depletion and Amortization | $ 445 | $ 297 | $ 1,300 | $ 859 | |
Sale Leaseback Transaction, Net Book Value | $ 4,600 | ||||
Land Subject to Ground Leases | ft² | 4,021 | ||||
Percentage of Leased Land | 11.10% | ||||
Sale Leaseback Transaction, Deferred Gain, Net | $ 78 | ||||
Operating Leases, Rent Expense, Net | $ 829 | $ 824 | $ 2,500 | $ 2,100 |
GOODWILL AND INTANGIBLE ASSET_2
GOODWILL AND INTANGIBLE ASSETS - Goodwill Balance (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
GOODWILL AND INTANGIBLE ASSETS | |||
Goodwill | $ 38,838 | $ 35,466 | $ 14,594 |
GOODWILL AND INTANGIBLE ASSET_3
GOODWILL AND INTANGIBLE ASSETS - Core Deposits (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Finite-Lived Intangible Assets, Net [Abstract] | |||
Core deposit intangible | $ 8,755 | $ 9,185 | |
Minimum | |||
Finite-Lived Intangible Assets, Net [Abstract] | |||
Finite-Lived Intangible Asset, Useful Life | 7 years | ||
Maximum | |||
Finite-Lived Intangible Assets, Net [Abstract] | |||
Finite-Lived Intangible Asset, Useful Life | 10 years | ||
Core Deposits [Member] | |||
Finite-Lived Intangible Assets, Net [Abstract] | |||
Core deposit intangible | $ 8,755 | $ 9,185 | $ 7,205 |
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 3 years 8 months 12 days |
GOODWILL AND INTANGIBLE ASSET_4
GOODWILL AND INTANGIBLE ASSETS - Changes in Goodwill (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Goodwill [Roll Forward] | ||
Balance at beginning of period | $ 35,466 | $ 14,594 |
Acquired goodwill | 3,372 | 20,872 |
Impairment | 0 | 0 |
Balance at end of period | $ 38,838 | $ 35,466 |
GOODWILL AND INTANGIBLE ASSET_5
GOODWILL AND INTANGIBLE ASSETS - Changes in Core Deposits (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Finite-lived Intangible Assets [Roll Forward] | |||||
Balance at beginning of period | $ 9,185 | ||||
Less amortization | $ (453) | $ (396) | (1,379) | $ (1,177) | |
Balance at end of period | 8,755 | 8,755 | $ 9,185 | ||
Core Deposits [Member] | |||||
Finite-lived Intangible Assets [Roll Forward] | |||||
Balance at beginning of period | 9,185 | $ 7,205 | 7,205 | ||
Additions | 949 | 3,604 | |||
Less amortization | (1,379) | (1,624) | |||
Balance at end of period | $ 8,755 | $ 8,755 | $ 9,185 |
GOODWILL AND INTANGIBLE ASSET_6
GOODWILL AND INTANGIBLE ASSETS - Amortization Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
GOODWILL AND INTANGIBLE ASSETS | ||||
Amortization of Intangible Assets | $ 453 | $ 396 | $ 1,379 | $ 1,177 |
GOODWILL AND INTANGIBLE ASSET_7
GOODWILL AND INTANGIBLE ASSETS - Estimated Annual Amortization (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
GOODWILL AND INTANGIBLE ASSETS | ||
For the remainder of 2020 | $ 453 | |
2021 | 1,813 | |
2022 | 1,813 | |
2023 | 1,034 | |
2024 | 970 | |
Thereafter | 2,672 | |
Total | $ 8,755 | $ 9,185 |
INTEREST RECEIVABLE AND OTHER_3
INTEREST RECEIVABLE AND OTHER ASSETS (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
INTEREST RECEIVABLE AND OTHER ASSETS | ||
Tax assets, net | $ 7,423 | $ 5,922 |
Accrued interest receivable | 8,996 | 5,495 |
Investment in SBIC Funds | 2,846 | 2,272 |
Prepaid assets | 1,638 | 1,160 |
Servicing asset | 1,747 | 2,097 |
Low income housing partnership, net | 2,167 | 1,171 |
Investment in statutory trusts | 479 | 475 |
Miscellaneous other assets | 1,190 | 926 |
Total | $ 26,486 | $ 19,518 |
DEPOSITS - Tabular Disclosure (
DEPOSITS - Tabular Disclosure (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Deposits [Abstract] | ||
Demand deposits | $ 713,328 | $ 572,341 |
NOW accounts and savings | 393,203 | 314,125 |
Money market | 551,816 | 489,206 |
Time deposits under $250,000 | 139,778 | 189,063 |
Time deposits $250,000 and over | 110,521 | 136,448 |
Total | $ 1,908,646 | $ 1,701,183 |
DEPOSITS - Additional Informati
DEPOSITS - Additional Information (Details) | Sep. 30, 2020 | Dec. 31, 2019 |
Deposits [Abstract] | ||
Weighted Average Rate Domestic Deposit, Time Deposits | 0.52% | 0.86% |
BORROWINGS - Subordinated Notes
BORROWINGS - Subordinated Notes (Details) - USD ($) $ in Thousands | Aug. 06, 2020 | Sep. 30, 2020 |
Debt Instrument [Line Items] | ||
Proceeds from Issuance of Subordinated Long-term Debt, Net of Underwriting Discounts and Offering Expenses | $ 63,340 | |
Repayment of other borrowings | $ 6,000 | $ 106,000 |
Subordinated Debt [Member] | Fixed-to-Floating Rate Subordinated Notes, 5.25 Percent, Due 2030 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Face Amount | $ 65,000 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.25% | |
Debt Instrument, Face Amount, Debt Issued, Percentage of Par | 100.00% | |
Proceeds from Issuance of Subordinated Long-term Debt, Net of Underwriting Discounts and Offering Expenses | $ 63,300 |
BORROWINGS - Federal Home Loan
BORROWINGS - Federal Home Loan Bank (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2020 | May 31, 2020 | Dec. 31, 2019 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Advances from Federal Home Loan Banks | $ 0 | $ 0 | |
Federal Home Loan Bank of San Francisco [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Amount of Advances | $ 10,000 | ||
Federal Home Loan Bank of San Francisco [Member] | Federal Home Loan Bank of San Francisco, Secured Borrowing Facility [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, General Description of Terms | The Bank has an approved secured borrowing facility with the Federal Home Loan Bank of San Francisco (the “FHLB”) for up to 25% of total assets for a term not to exceed five years under a blanket lien of certain types of loans. | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Percentage of Total Assets | 25.00% | ||
Debt Instrument, Term | 5 years | ||
Federal Home Loan Bank of San Francisco [Member] | Federal Home Loan Bank of San Francisco, Advance, Maturing November 9, 2020 [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Amount of Advances | $ 2,000 | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Due Date | 2020 | ||
Federal Home Loan Bank of San Francisco [Member] | Federal Home Loan Bank of San Francisco, Advance, Maturing May 7, 2021 [Member] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Amount of Advances | $ 5,000 | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Due Date | 2021 |
BORROWINGS - Federal Funds Line
BORROWINGS - Federal Funds Line - Commitments (Details) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Federal Funds Line, Cumulative Available Commitments [Member] | ||
Other Commitments [Line Items] | ||
Other Commitment | $ 75 | $ 55 |
BORROWINGS - Federal Funds Li_2
BORROWINGS - Federal Funds Line - Outstanding (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Federal Funds Purchased [Member] | ||
Short-term Debt [Line Items] | ||
Short-term Debt | $ 0 | $ 0 |
INTEREST PAYABLE AND OTHER LI_2
INTEREST PAYABLE AND OTHER LIABILITIES (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
INTEREST PAYABLE AND OTHER LIABILITIES | ||
Accrued expenses | $ 6,253 | $ 6,241 |
CDARs deferred fees | 129 | 320 |
Accounts payable | 724 | 2,175 |
Reserve for unfunded commitments | 415 | 415 |
Accrued interest payable | 710 | 1,607 |
All other | 843 | 517 |
Total | $ 9,074 | $ 11,275 |
OTHER EXPENSES (Details)
OTHER EXPENSES (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
OTHER EXPENSES | ||||
Professional fees | $ 531 | $ 379 | $ 2,055 | $ 1,643 |
Core deposit premium amortization | 453 | 396 | 1,379 | 1,177 |
Marketing and promotions | 200 | 271 | 639 | 877 |
Stationery and supplies | 167 | 138 | 440 | 436 |
Insurance (including FDIC premiums) | 212 | 30 | 377 | 345 |
Communication and postage | 176 | 142 | 494 | 349 |
Loan default related expense | 97 | 38 | 309 | 188 |
Director fees and stock compensation | 81 | 175 | 239 | 671 |
Bank service charges | 49 | 9 | 125 | 40 |
Courier expense | 176 | 128 | 490 | 359 |
Other | 141 | 86 | 571 | 309 |
Total | $ 2,283 | $ 1,792 | $ 7,118 | $ 6,394 |
EQUITY INCENTIVE PLANS - Restri
EQUITY INCENTIVE PLANS - Restricted Stock Grant Activity (Details) - $ / shares | 3 Months Ended | |||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||||||
Non-vested (in shares) | 192,439 | 132,409 | 142,103 | 143,150 | 134,036 | 131,000 |
Granted (in shares) | 21,599 | 92,294 | 15,173 | 9,350 | 45,696 | 22,289 |
Vested (in shares) | (9,523) | (32,264) | (23,435) | (9,723) | (36,582) | (19,253) |
Forfeited (in shares) | (1,432) | |||||
Non-vested (in shares) | 204,515 | 192,439 | 132,409 | 142,777 | 143,150 | 134,036 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract] | ||||||
Non-vested (in dollars per share) | $ 17.14 | $ 22.10 | $ 20.76 | $ 21.63 | $ 20.76 | $ 19.18 |
Granted (in dollars per share) | 10.28 | 12.18 | 22.60 | 21.40 | 24.60 | 22.38 |
Vested (in dollars per share) | 21.34 | 23.30 | 19.62 | 10.96 | 19.55 | 19.51 |
Forfeited (in dollars per share) | 18.93 | 0 | ||||
Non-vested (in dollars per share) | $ 16.22 | $ 17.14 | $ 22.10 | $ 22.60 | $ 21.63 | $ 20.76 |
EQUITY INCENTIVE PLANS - Additi
EQUITY INCENTIVE PLANS - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 148,962 | |||||||||
Share Based Compensation | $ 385 | $ 363 | $ 309 | $ 347 | $ 367 | $ 320 | $ 120 | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | 2,600 | $ 2,600 | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized | 450,000 | |||||||||
2017 Omnibus Equity Incentive Plan [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 151,247 | |||||||||
2017 Omnibus Equity Incentive Plan [Member] | Maximum | Officers And Employees [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 50,000 | |||||||||
2017 Omnibus Equity Incentive Plan [Member] | Restricted Stock [Member] | Maximum | Officers And Employees [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Stock Issued During Period, Value, Restricted Stock Award, Gross | $ 2,000 | |||||||||
2017 Omnibus Equity Incentive Plan [Member] | Restricted Stock [Member] | Maximum | Directors [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 25,000 | |||||||||
2014 Omnibus Equity Incentive Plan [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share Based Compensation | $ 385 | $ 367 | $ 1,100 | $ 807 | ||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 2 years | |||||||||
2014 Omnibus Equity Incentive Plan [Member] | Minimum | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | |||||||||
2014 Omnibus Equity Incentive Plan [Member] | Maximum | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years |
FAIR VALUE MEASUREMENT - Assets
FAIR VALUE MEASUREMENT - Assets Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | $ 113,708 | $ 119,889 |
U.S. Treasuries | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 999 |
U.S. Government Agencies | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 6,077 | 10,090 |
Municipal securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 17,639 | 18,291 |
Mortgage-backed securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 62,596 | 43,743 |
Collateralized mortgage obligation | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 5,074 | 28,605 |
SBA securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 7,969 | 9,486 |
Corporate Bonds | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 14,353 | 8,675 |
Fair Value, Inputs, Level 1 [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 999 |
Fair Value, Inputs, Level 2 [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 113,708 | 118,890 |
Fair Value, Inputs, Level 3 [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 113,708 | 119,889 |
Fair Value, Measurements, Recurring [Member] | U.S. Treasuries | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 999 |
Fair Value, Measurements, Recurring [Member] | U.S. Government Agencies | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 6,077 | 10,090 |
Fair Value, Measurements, Recurring [Member] | Municipal securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 17,639 | 18,291 |
Fair Value, Measurements, Recurring [Member] | Mortgage-backed securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 62,596 | 43,743 |
Fair Value, Measurements, Recurring [Member] | Collateralized mortgage obligation | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 5,074 | 28,605 |
Fair Value, Measurements, Recurring [Member] | SBA securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 7,969 | 9,486 |
Fair Value, Measurements, Recurring [Member] | Corporate Bonds | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 14,353 | 8,675 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 999 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | U.S. Treasuries | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 999 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | U.S. Government Agencies | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Municipal securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Mortgage-backed securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Collateralized mortgage obligation | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | SBA securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 1 [Member] | Corporate Bonds | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 113,708 | 118,890 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | U.S. Treasuries | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | U.S. Government Agencies | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 6,077 | 10,090 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Municipal securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 17,639 | 18,291 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Mortgage-backed securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 62,596 | 43,743 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Collateralized mortgage obligation | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 5,074 | 28,605 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | SBA securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 7,969 | 9,486 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member] | Corporate Bonds | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 14,353 | 8,675 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | U.S. Treasuries | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | U.S. Government Agencies | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Municipal securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Mortgage-backed securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Collateralized mortgage obligation | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | SBA securities | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | 0 | 0 |
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 3 [Member] | Corporate Bonds | ||
Investments, Fair Value Disclosure [Abstract] | ||
Investment securities available-for-sale | $ 0 | $ 0 |
FAIR VALUE MEASUREMENT - Asse_2
FAIR VALUE MEASUREMENT - Assets Measured at Fair Value on a Nonrecurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Assets, Fair Value Disclosure [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | $ 8,337 | $ 7,631 |
OREO | 296 | 574 |
Fair Value, Measurements, Nonrecurring [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
OREO | 296 | 574 |
Total | 8,633 | 8,205 |
Fair Value, Measurements, Nonrecurring [Member] | Performing Financial Instruments [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | 775 | 789 |
Fair Value, Measurements, Nonrecurring [Member] | Nonperforming Financial Instruments [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | 7,562 | 6,842 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
OREO | 0 | 0 |
Total | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | Performing Financial Instruments [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 1 [Member] | Nonperforming Financial Instruments [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
OREO | 0 | 0 |
Total | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | Performing Financial Instruments [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 2 [Member] | Nonperforming Financial Instruments [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | 0 | 0 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
OREO | 296 | 574 |
Total | 8,633 | 8,205 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Performing Financial Instruments [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | 775 | 789 |
Fair Value, Measurements, Nonrecurring [Member] | Fair Value, Inputs, Level 3 [Member] | Nonperforming Financial Instruments [Member] | ||
Assets, Fair Value Disclosure [Abstract] | ||
Impaired Financing Receivable, Recorded Investment | $ 7,562 | $ 6,842 |
FAIR VALUE MEASUREMENT - Carryi
FAIR VALUE MEASUREMENT - Carrying Amounts and Fair Values (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Interest bearing deposits in banks | $ 8,714 | $ 1,739 |
Investment securities available-for-sale | 113,708 | 119,889 |
Accrued interest receivable | 8,996 | 5,495 |
Fair Value, Inputs, Level 1 [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | 319,835 | 295,382 |
Interest bearing deposits in banks | 8,714 | 1,739 |
Investment securities available-for-sale | 0 | 999 |
Loans held for sale | 0 | 0 |
Loans, net | 0 | 0 |
Other equity securities | 15,331 | 13,905 |
Accrued interest receivable | 0 | 0 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 0 | 0 |
Accrued interest payable | 0 | 0 |
Undisbursed loan commitments, lines of credit, standby letters of credit | 0 | 0 |
Fair Value, Inputs, Level 1 [Member] | Fixed-to-Floating Rate Subordinated Notes, 5.25 Percent, Due 2030 [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 0 | |
Fair Value, Inputs, Level 1 [Member] | Other Borrowings [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 0 | |
Fair Value, Inputs, Level 1 [Member] | Floating Rate Junior Subordinated Deferrable Interest Debentures [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Interest bearing deposits in banks | 0 | 0 |
Investment securities available-for-sale | 113,708 | 118,890 |
Loans held for sale | 12,044 | 2,226 |
Loans, net | 0 | 0 |
Other equity securities | 0 | 0 |
Accrued interest receivable | 8,996 | 5,495 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 1,910,260 | 1,704,428 |
Accrued interest payable | 710 | 1,607 |
Undisbursed loan commitments, lines of credit, standby letters of credit | 0 | 0 |
Fair Value, Inputs, Level 2 [Member] | Fixed-to-Floating Rate Subordinated Notes, 5.25 Percent, Due 2030 [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 63,340 | |
Fair Value, Inputs, Level 2 [Member] | Other Borrowings [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 10,000 | |
Fair Value, Inputs, Level 2 [Member] | Floating Rate Junior Subordinated Deferrable Interest Debentures [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | 0 | 0 |
Interest bearing deposits in banks | 0 | 0 |
Investment securities available-for-sale | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans, net | 1,707,874 | 1,453,067 |
Other equity securities | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 0 | 0 |
Accrued interest payable | 0 | 0 |
Undisbursed loan commitments, lines of credit, standby letters of credit | 107,026 | 128,519 |
Fair Value, Inputs, Level 3 [Member] | Fixed-to-Floating Rate Subordinated Notes, 5.25 Percent, Due 2030 [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 0 | |
Fair Value, Inputs, Level 3 [Member] | Other Borrowings [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 0 | |
Fair Value, Inputs, Level 3 [Member] | Floating Rate Junior Subordinated Deferrable Interest Debentures [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 8,018 | 8,086 |
Reported Value Measurement [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | 319,835 | 295,382 |
Interest bearing deposits in banks | 8,714 | 1,739 |
Investment securities available-for-sale | 109,663 | 118,132 |
Loans held for sale | 12,044 | 2,226 |
Loans, net | 1,678,295 | 1,450,229 |
Other equity securities | 15,331 | 13,905 |
Accrued interest receivable | 8,996 | 5,495 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 1,908,646 | 1,701,183 |
Accrued interest payable | 710 | 1,607 |
Undisbursed loan commitments, lines of credit, standby letters of credit | 107,441 | 128,934 |
Reported Value Measurement [Member] | Fixed-to-Floating Rate Subordinated Notes, 5.25 Percent, Due 2030 [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 63,340 | |
Reported Value Measurement [Member] | Other Borrowings [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 10,000 | |
Reported Value Measurement [Member] | Floating Rate Junior Subordinated Deferrable Interest Debentures [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 8,302 | 8,242 |
Estimate of Fair Value Measurement [Member] | ||
Financial Instruments, Financial Assets, Balance Sheet Groupings [Abstract] | ||
Cash and cash equivalents | 319,835 | 295,382 |
Interest bearing deposits in banks | 8,714 | 1,739 |
Investment securities available-for-sale | 113,708 | 119,889 |
Loans held for sale | 12,044 | 2,226 |
Loans, net | 1,707,874 | 1,453,067 |
Other equity securities | 15,331 | 13,905 |
Accrued interest receivable | 8,996 | 5,495 |
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Deposits | 1,910,260 | 1,704,428 |
Accrued interest payable | 710 | 1,607 |
Undisbursed loan commitments, lines of credit, standby letters of credit | 107,026 | 128,519 |
Estimate of Fair Value Measurement [Member] | Fixed-to-Floating Rate Subordinated Notes, 5.25 Percent, Due 2030 [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 63,340 | |
Estimate of Fair Value Measurement [Member] | Other Borrowings [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | 10,000 | |
Estimate of Fair Value Measurement [Member] | Floating Rate Junior Subordinated Deferrable Interest Debentures [Member] | ||
Financial Instruments, Financial Liabilities, Balance Sheet Groupings [Abstract] | ||
Debt | $ 8,018 | $ 8,086 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Loss Contingencies [Line Items] | ||
Loans and Leases Receivable, Loans in Process | $ 105,200 | $ 126,600 |
Guarantor Obligations, Maximum Exposure, Undiscounted | 2,300 | 2,300 |
Outstanding balances | 0 | 0 |
Federal Home Loan Bank, Letters of Credit | 31,500 | 21,500 |
Customer Concentration Risk [Member] | ||
Loss Contingencies [Line Items] | ||
Deposits | 238,200 | 157,000 |
Interest Payable And Other Liabilities [Member] | ||
Loss Contingencies [Line Items] | ||
Loss Contingency Accrual | $ 415 | $ 415 |
Deposit [Member] | ||
Loss Contingencies [Line Items] | ||
Concentration Risk, Percentage | 12.10% | 9.20% |
Low Income Housing Tax Credit Partnerships [Member] | ||
Loss Contingencies [Line Items] | ||
Loans and Leases Receivable, Loans in Process | $ 1,800 | $ 1,800 |
Small Business Investment Company [Member] | ||
Loss Contingencies [Line Items] | ||
Loans and Leases Receivable, Loans in Process | $ 122 | $ 122 |