First Busey (BUSE) 10-Q5 Nov 202020 Q3 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2020	Nov. 05, 2020
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Sep. 30, 2020
Entity File Number	0-15950
Entity Registrant Name	FIRST BUSEY CORPORATION
Entity Incorporation, State or Country Code	NV
Entity Tax Identification Number	37-1078406
Entity Address, Address Line One	100 W. University Ave.
Entity Address, City or Town	Champaign
Entity Address, State or Province	IL
Entity Address, Postal Zip Code	61820
City Area Code	217
Local Phone Number	365-4544
Title of 12(b) Security	Common Stock, $.001 par value
Trading Symbol	BUSE
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		54,522,231
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2020
Document Fiscal Period Focus	Q3
Entity Central Index Key	0000314489
Amendment Flag	false

CONSOLIDATED BALANCE SHEETS (Un

CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Assets
Cash and due from banks	$ 182,555	$ 136,546
Interest-bearing deposits	297,166	392,742
Total cash and cash equivalents	479,721	529,288
Debt securities available for sale	2,080,849	1,648,257
Equity securities	17,808	5,952
Loans held for sale, at fair value	87,772	68,699
Portfolio loans (net of allowance 2020 $98,841; 2019 $53,748)	7,022,470	6,633,501
Premises and equipment, net	144,001	151,267
Right of use asset	7,251	9,490
Goodwill	311,536	311,536
Other intangible assets, net	54,424	61,593
Cash surrender value of bank owned life insurance	175,570	173,595
Other assets	158,226	102,551
Total assets	10,539,628	9,695,729
Deposits:
Noninterest-bearing	2,595,075	1,832,619
Interest-bearing	6,047,626	6,069,777
Total deposits	8,642,701	7,902,396
Securities sold under agreements to repurchase	201,641	205,491
Short-term borrowings	4,651	8,551
Long-term debt	4,931	83,600
Senior notes, net of unamortized issuance costs	39,775	39,674
Subordinated notes, net of unamortized issuance costs	182,095	59,248
Junior subordinated debt owed to unconsolidated trusts	71,427	71,308
Lease liability	7,342	9,552
Other liabilities	129,360	95,475
Total liabilities	9,283,923	8,475,295
Outstanding commitments and contingent liabilities (see Notes 10 and 15)
Stockholders' Equity
Common stock, $.001 par value, authorized 2020 100,000,000 shares; authorized 2019 66,666,667 shares; 55,910,733 shares issued	56	56
Additional paid-in capital	1,250,391	1,248,216
Retained earnings (accumulated deficit)	4,718	(14,813)
Accumulated other comprehensive income (loss)	35,525	14,960
Total stockholders' equity before treasury stock	1,290,690	1,248,419
Treasury stock at cost, 2020 1,388,502 shares; 2019 1,121,961 shares	(34,985)	(27,985)
Total stockholders' equity	1,255,705	1,220,434
Total liabilities and stockholders' equity	$ 10,539,628	$ 9,695,729
Common shares outstanding at period end	54,522,231	54,788,772

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
CONSOLIDATED BALANCE SHEETS (Unaudited)
Portfolio Loans, allowance for loan losses (in dollars)	$ 98,841	$ 53,748
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	66,666,667
Common stock, shares issued	55,910,733	55,910,733
Treasury Stock, Shares	1,388,502	1,121,961

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Interest income:
Interest and fees on loans	$ 69,809	$ 78,083	$ 213,434	$ 227,903
Interest and dividends on investment securities:
Taxable interest income	8,466	10,247	26,807	31,583
Non-taxable interest income	1,141	1,180	3,458	3,456
Other interest income	213	2,181	1,596	4,496
Total interest income	79,629	91,691	245,295	267,438
Interest expense:
Deposits	6,105	14,753	26,053	41,407
Federal funds purchased and securities sold under agreements to repurchase	88	579	596	1,789
Short-term borrowings	30	200	215	885
Long-term debt	38	700	495	2,020
Senior notes	400	400	1,199	1,199
Subordinated notes	2,475	731	4,518	2,193
Junior subordinated debt owed to unconsolidated trusts	740	852	2,220	2,658
Total interest expense	9,876	18,215	35,296	52,151
Net interest income	69,753	73,476	209,999	215,287
Provision for credit losses	5,549	3,411	35,656	8,039
Net interest income after provision for credit losses	64,204	70,065	174,343	207,248
Non-interest income:
Mortgage revenue	5,793	3,331	9,879	8,127
Income on bank owned life insurance	1,022	1,573	4,361	4,653
Net gains (losses) on sales of securities	11	296	1,710	112
Unrealized gains (losses) recognized on equity securities	(437)	65	(1,234)	(735)
Other income	3,339	3,228	5,888	6,370
Total non-interest income	32,285	30,936	87,766	84,777
Non-interest expense:
Salaries, wages and employee benefits	32,839	38,747	95,397	105,356
Data processing	3,937	5,032	12,383	15,049
Net occupancy expense of premises	4,256	4,652	13,419	13,365
Furniture and equipment expenses	2,325	2,489	7,311	6,936
Professional fees	1,698	2,622	5,508	9,001
Amortization of intangible assets	2,493	2,360	7,569	6,866
Other expense	8,994	12,219	28,537	36,731
Total non-interest expense	56,542	68,121	170,124	193,304
Income before income taxes	39,947	32,880	91,985	98,721
Income taxes	9,118	8,052	19,986	24,339
Net income	$ 30,829	$ 24,828	$ 71,999	$ 74,382
Basic earnings per common share (in dollars per share)	$ 0.56	$ 0.45	$ 1.32	$ 1.36
Diluted earnings per common share (in dollars per share)	0.56	0.45	1.31	1.35
Dividends declared per share of common stock (in dollars per share)	$ 0.22	$ 0.21	$ 0.66	$ 0.63
Wealth management fees
Non-interest income:
Non-interest income	$ 10,548	$ 8,821	$ 32,296	$ 27,338
Fees for customer services
Non-interest income:
Non-interest income	8,014	9,842	23,400	27,635
Remittance processing
Non-interest income:
Non-interest income	$ 3,995	$ 3,780	$ 11,466	$ 11,277

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited)
Net income	$ 30,829	$ 24,828	$ 71,999	$ 74,382
Unrealized gains (losses) on debt securities available for sale:
Net unrealized holding gains (losses) on debt securities available for sale, net of taxes of $682, $(1,423), $(9,577) and $(8,552), respectively	(1,710)	3,568	23,974	21,453
Net unrealized losses on debt securities transferred from held to maturity to available for sale, net of taxes of $- , $-, $- and $(1,363), respectively				3,417
Reclassification adjustment for realized (gains) losses on debt securities available for sale included in net income, net of taxes of $3, $85, $492 and $29, respectively	(8)	(212)	(1,218)	(75)
Net change in unrealized gains (losses) on debt securities available for sale	(1,718)	3,356	22,756	24,795
Unrealized gains (losses) on cash flow hedges:
Net unrealized holding (losses) gains on cash flow hedges, net of taxes of $(6), $239, $890 and $239, respectively	14	(598)	(2,233)	(598)
Reclassification adjustment for realized losses (gains) on cash flow hedges included in net income, net of taxes of $(76), $(3), $(16) and $(3), respectively	192	6	42	6
Net change in unrealized gains (losses) on derivative instruments	206	(592)	(2,191)	(592)
Net change in accumulated other comprehensive income (loss)	(1,512)	2,764	20,565	24,203
Total comprehensive income	$ 29,317	$ 27,592	$ 92,564	$ 98,585

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited)
Unrealized holding gains (losses) on debt securities available for sale, Tax Effect	$ 682	$ (1,423)	$ (9,577)	$ (8,552)
Unrealized gains (losses) on debt securities transferred from held to maturity to available for sale, Tax Effect				(1,363)
Amounts reclassified from accumulated other comprehensive income, Tax Effect	3	85	492	29
Tax expense on unrealized holding (losses) gains on cash flow hedges	(6)	239	890	239
Tax expense on reclassification adjustment for realized losses (gains) on cash flow hedges included in net income	$ (76)	$ (3)	$ (16)	$ (3)

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Retained Earnings (Accumulated Deficit).Cumulative Effect, Period of Adoption, Adjustment	Retained Earnings (Accumulated Deficit).	Accumulated Other Comprehensive Income (Loss)	Treasury Stock	Cumulative Effect, Period of Adoption, Adjustment	Total
Beginning balance at Dec. 31, 2018	$ 49	$ 1,080,084		$ (72,167)	$ (6,812)	$ (6,190)		$ 994,964
Beginning Balance (in shares) at Dec. 31, 2018	48,874,836
Increase (decrease) in shareholders' equity
Net income				74,382				74,382
Other comprehensive income (loss)					24,203			24,203
Repurchase of stock						(13,323)		(13,323)
Repurchase of stock (in shares)	(527,396)
Issuance of treasury stock for employee stock purchase plan		100				389		489
Issuance of treasury stock for employee stock purchase plan (in shares)	20,528
Net issuance of treasury stock for restricted/deferred stock unit vesting and related tax		(2,541)				345		(2,196)
Net issuance of treasury stock for restricted/deferred stock unit vesting and related tax (in shares)	91,032
Net issuance of treasury stock for stock options exercised, net of shares redeemed and related tax		(97)				1,621		1,524
Net issuance of treasury stock for stock options exercised, net of shares redeemed and related tax (in shares)	13,125
Cash dividends common stock				(33,579)				(33,579)
Stock dividend equivalents restricted stock units		504		(504)
Stock-based compensation		3,236						3,236
Stock issued in acquisition of Banc Ed, net of stock issuance costs	$ 7	166,274						166,281
Stock issued in acquisition of Banc Ed, net of stock issuance costs (in shares)	6,725,152
Ending balance at Sep. 30, 2019	$ 56	1,247,560		(31,868)	17,391	(17,158)		1,215,981
Ending Balance (in shares) at Sep. 30, 2019	55,197,277
Beginning balance at Jun. 30, 2019	$ 56	1,246,160		(44,878)	14,627	(12,357)		1,203,608
Beginning Balance (in shares) at Jun. 30, 2019	55,386,636
Increase (decrease) in shareholders' equity
Net income				24,828				24,828
Other comprehensive income (loss)					2,764			2,764
Repurchase of stock						(4,890)		(4,890)
Repurchase of stock (in shares)	(194,062)
Issuance of treasury stock for employee stock purchase plan		21				83		104
Issuance of treasury stock for employee stock purchase plan (in shares)	4,378
Net issuance of treasury stock for restricted/deferred stock unit vesting and related tax		(6)						(6)
Net issuance of treasury stock for stock options exercised, net of shares redeemed and related tax		(6)				6
Net issuance of treasury stock for stock options exercised, net of shares redeemed and related tax (in shares)	325
Cash dividends common stock				(11,632)				(11,632)
Stock dividend equivalents restricted stock units		186		(186)
Stock-based compensation		1,205						1,205
Ending balance at Sep. 30, 2019	$ 56	1,247,560		(31,868)	17,391	(17,158)		1,215,981
Ending Balance (in shares) at Sep. 30, 2019	55,197,277
Beginning balance at Dec. 31, 2019	$ 56	1,248,216		(14,813)	14,960	(27,985)		1,220,434
Beginning Balance (in shares) at Dec. 31, 2019	54,788,772
Increase (decrease) in shareholders' equity
Net income				71,999				71,999
Other comprehensive income (loss)					20,565			20,565
Repurchase of stock						(9,669)		(9,669)
Repurchase of stock (in shares)	(407,850)
Issuance of treasury stock for employee stock purchase plan		(68)				504		436
Issuance of treasury stock for employee stock purchase plan (in shares)	26,651
Net issuance of treasury stock for restricted/deferred stock unit vesting and related tax		(2,648)				2,013		(635)
Net issuance of treasury stock for restricted/deferred stock unit vesting and related tax (in shares)	106,589
Net issuance of treasury stock for stock options exercised, net of shares redeemed and related tax		(51)				152		101
Net issuance of treasury stock for stock options exercised, net of shares redeemed and related tax (in shares)	8,069
Cash dividends common stock				(36,017)				(36,017)
Stock dividend equivalents restricted stock units		529		(529)
Stock-based compensation		4,413						4,413
Ending balance at Sep. 30, 2020	$ 56	1,250,391	$ (15,922)	4,718	35,525	(34,985)	$ (15,922)	1,255,705
Ending Balance (in shares) at Sep. 30, 2020	54,522,231
Beginning balance at Jun. 30, 2020	$ 56	1,248,045		(13,951)	37,037	(35,103)		1,236,084
Beginning Balance (in shares) at Jun. 30, 2020	54,516,000
Increase (decrease) in shareholders' equity
Net income				30,829				30,829
Other comprehensive income (loss)					(1,512)			(1,512)
Issuance of treasury stock for employee stock purchase plan		(23)				116		93
Issuance of treasury stock for employee stock purchase plan (in shares)	6,119
Net issuance of treasury stock for restricted/deferred stock unit vesting and related tax		(2)				2
Net issuance of treasury stock for restricted/deferred stock unit vesting and related tax (in shares)	112
Cash dividends common stock				(11,994)				(11,994)
Stock dividend equivalents restricted stock units		166		(166)
Stock-based compensation		2,205						2,205
Ending balance at Sep. 30, 2020	$ 56	$ 1,250,391	$ (15,922)	$ 4,718	$ 35,525	$ (34,985)	$ (15,922)	$ 1,255,705
Ending Balance (in shares) at Sep. 30, 2020	54,522,231

CONSOLIDATED STATEMENTS OF ST_2

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited)
Cash dividends, common stock (in dollars per share)	$ 0.22	$ 0.21	$ 0.66	$ 0.63
Stock dividends, restricted stock units (in dollars per share)	$ 0.22	$ 0.21	$ 0.66	$ 0.63

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Cash Flows from Operating Activities
Net income	$ 71,999	$ 74,382
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for credit losses	35,656	8,039
Amortization of intangible assets	7,569	6,866
Amortization of mortgage servicing rights	3,932	2,061
Depreciation and amortization of premises and equipment	9,384	8,701
Net amortization (accretion) of premium (discount) on portfolio loans	(7,015)	(8,300)
Net amortization (accretion) of premium (discount) on investment securities	6,698	4,514
Net amortization (accretion) of premium (discount) on time deposits	(662)	(1,236)
Net amortization (accretion) of premium (discount) on Federal Home Loan Bank ("FHLB") advances and other borrowings	387	216
Impairment of other real estate owned ("OREO")	43	62
Impairment of fixed assets held for sale	36
Impairment of mortgage servicing rights	604	1,822
Impairment of leases		415
Change in fair value of equity securities, net	1,234	735
(Gain) loss on equity securities		(8)
(Gain) loss on sales of debt securities, net	(1,710)	(104)
(Gain) loss on sale of loans, net	(21,357)	(11,022)
(Gain) loss on sale of OREO	47	(84)
(Gain) loss on sale of premises and equipment	198	114
(Gain) loss on life insurance proceeds	(1,256)	(1,509)
Provision for deferred income taxes	(2,730)	1,820
Stock-based and non-cash compensation	4,413	3,236
Decrease in deferred compensation		(6,781)
Increase in cash surrender value of bank owned life insurance	(3,105)	(3,144)
Mortgage loans originated for sale	(770,186)	(469,249)
Proceeds from sales of mortgage loans	771,039	437,525
Net change in operating assets and liabilities:
Decrease (increase) in other assets	(3,435)	3,412
(Decrease) increase in other liabilities	(369)	(161)
Net cash (used in) provided by operating activities	101,414	52,322
Cash Flows from Investing Activities
Purchase of equity securities	(13,123)
Purchases of debt securities available for sale	(907,094)	(296,806)
Purchase of FHLB stock		(3,700)
Proceeds from sales of equity securities	33	958
Proceeds from sales of debt securities available for sale		227,371
Proceeds from paydowns and maturities of debt securities held to maturity		14,422
Proceeds from paydowns and maturities of debt securities available for sale	477,370	366,624
Proceeds from the redemption of FHLB stock		3,720
Net cash (received) paid in acquisitions		(61,481)
Net change in loans	(439,679)	(227,069)
Cash paid for premiums on bank-owned life insurance	(120)	(3)
Purchases of premises and equipment	(3,158)	(10,746)
Proceeds from life insurance	2,512	3,915
Proceeds from disposition of premises and equipment	806	393
Capitalized expenditures on OREO		(2)
Proceeds from sale of OREO	492	2,071
Net cash (used in) provided by investing activities	(881,961)	19,667
Cash Flows from Financing Activities
Net change in deposits	740,967	243,177
Net change in federal funds purchased and securities sold under agreements to repurchase	(3,850)	(33,895)
Proceeds from other borrowings	142,634	60,000
Repayment of other borrowings	(74,000)	(4,500)
Proceeds from FHLB advances	4,000
Repayment of FHLB advances	(32,551)	(3,479)
Cash dividends paid	(36,017)	(33,579)
Purchase of treasury stock	(9,669)	(13,323)
Cash paid for withholding taxes on share-based payments	(635)	(841)
Proceeds from stock options exercised	101	169
Common stock issuance costs		(234)
Net cash (used in) provided by financing activities	730,980	213,495
Net (decrease) increase in cash and cash equivalents	(49,567)	285,484
Cash and cash equivalents, beginning of period	529,288	239,973
Cash and cash equivalents, ending of period	479,721	525,457
Cash Payments for:
Interest	41,987	51,230
Income taxes	19,395	15,205
Non-cash Investing and Financing Activities:
OREO acquired in settlement of loans	$ 2,482	2,349
Transfer of debt securities held to maturity to available for sale		$ 573,639

Significant Accounting Policies

Significant Accounting Policies	9 Months Ended
Significant Accounting Policies	Sep. 30, 2020
Significant Accounting Policies
Significant Accounting Policies	Note 1: Significant Accounting Policies Basis of Financial Statement Presentation When preparing these unaudited consolidated financial statements of First Busey Corporation, a Nevada corporation, and its subsidiaries (collectively, “First Busey,” “Company,” “we,” or “our”), we have assumed that you have read the audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2019 (“2019 Form 10-K”). These interim unaudited consolidated financial statements serve to update our 2019 Form 10-K and may not include all information and notes necessary to constitute a complete set of financial statements. We prepared these unaudited consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“GAAP”). We have eliminated intercompany accounts and transactions. We have also reclassified certain prior year amounts to conform to the current period presentation. These reclassifications did not have a material impact on our consolidated financial condition or results of operations. In our opinion, the unaudited consolidated financial statements reflect all normal, recurring adjustments needed to present fairly our results for the interim periods. The results of operations for interim periods are not necessarily indicative of the results that may be expected for the full year or any other interim period. Impacts of COVID-19 First Busey continues to operate as an essential community resource during these challenging and unprecedented times. The coronavirus disease 2019 (“COVID-19”) is not only impacting health and safety around the world, it is causing significant economic disruption for both individuals and businesses, making the Company’s supportive role even more important to its customers. The Company entered this crisis from a position of strength and remains resolute in its focus on protecting its balance sheet. To further enhance the Company’s strong liquidity position, during the second quarter, the Company completed a successful public offering of $125.0 million of its 5.25% fixed-to-floating rate subordinated notes due in 2030. The progression of the COVID-19 pandemic in the United States began to negatively impact the Company’s results of operations starting in the first quarter of 2020. In future quarters, COVID-19 is expected to have a complex and continued adverse impact on the economy, the banking industry and First Busey, all subject to a high degree of uncertainty as it relates to both timing and severity. Primary areas of potential future impact for First Busey may include continued margin compression, increased provision expense, a deterioration in asset quality and lower fees for customer services. The Company elected to participate in the Paycheck Protection Program (“PPP”) and at September 30, 2020 had $749.4 million in PPP loans outstanding, with an amortized cost of $736.4 million, representing 4,569 new and existing customers. The Company received fees totaling approximately $25.4 million and incurred incremental direct origination costs of $5.1 million, both of which have been deferred and are being amortized over the contractual life of these loans, subject to prepayment. The Company recognized $4.2 million and $3.0 million of this net amount in interest income in the third and second quarters of 2020, respectively. PPP loans contain a forgiveness feature for funds spent on covered expenses, including both principal and accrued interest. Any remaining balance after loan forgiveness maintains a 100% government guarantee for the remaining term of the loan. The Company has implemented an online portal designed to streamline the PPP loan forgiveness process, providing an intuitive and easy-to-use tool borrowers can use to apply for forgiveness. As of September 30, 2020, no loans were yet approved for forgiveness by the SBA. As these loans are forgiven, the recognition of these fees and direct origination costs will be accelerated. Subsequent Events The Company has evaluated subsequent events for potential recognition and/or disclosure through the date the unaudited consolidated financial statements included in this Quarterly Report on Form 10-Q were issued. Subsequent to quarter end, the Company closed 12 banking centers. The Company anticipates additional one-time restructuring expenses related to its banking center consolidation plan in the fourth quarter of 2020 as we finalize the fair value estimates related to the disposition of these banking centers. We currently estimate those remaining non-operating pre-tax expenses related to the banking center consolidation plan to be in the range of $7.0 million to $7.5 million. There were no other significant subsequent events for the quarter ended September 30, 2020 through the issuance date of these unaudited consolidated financial statements that warranted adjustment to or disclosure in the unaudited consolidated financial statements. Use of Estimates In preparing the accompanying unaudited consolidated financial statements in conformity with GAAP, the Company’s management is required to make estimates and assumptions that affect the amounts reported in the financial statements and the disclosures provided. Actual results could differ from those estimates. Material estimates which are particularly susceptible to significant change in the near term relate to the fair value of investment securities, fair value of assets acquired and liabilities assumed in business combinations, goodwill, income taxes and the determination of the allowance for credit losses. Impact of recently adopted accounting standards On January 1, 2020, First Busey adopted Accounting Standards Update (“ASU”) 2016-13 Financial Instruments – Credit Losses (“Topic 326”): Measurement of Credit Losses on Financial Instruments , as amended, which replaces the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (“CECL”) methodology. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance-sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments) and net investments in leases recognized by a lessor in accordance with Topic 842 on leases. In addition, Accounting Standards Codification (“ASC”) 326 made changes to the accounting for available-for-sale debt securities. One such change is to require credit losses to be presented as an allowance rather than as a write-down on available-for-sale debt securities management does not intend to sell or believes that it is more likely than not they will not be required to sell before recovery of its amortized cost basis. First Busey adopted ASC 326 using the modified retrospective method for all financial assets measured at amortized cost and off-balance-sheet credit exposures. Results for reporting periods beginning after January 1, 2020 are presented under ASC 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP which includes a change in terminology from ‘Allowance/Provision for Loan Losses” to “Allowance/Provision for Credit Losses.” First Busey recorded an after tax decrease to retained earnings of $15.9 million as of January 1, 2020 for the cumulative effect of adopting ASC 326. This transition adjustment included $12.0 million in allowance for credit losses on loans and $3.9 million in reserve for off-balance-sheet credit exposures. First Busey adopted ASC 326 using the prospective transition approach for financial assets purchased with credit deterioration (“PCD”) that were previously classified as purchased credit impaired (“PCI”) and accounted for under ASC 310-30. In accordance with the standard, management did not reassess whether PCI assets met the criteria of PCD assets as of the date of adoption. In accordance with ASC 326, the amortized cost basis of PCD assets were adjusted to reflect an allowance for credit losses for any remaining credit discount. Subsequent changes in expected cash flows will be adjusted through the allowance for credit losses. The noncredit discount will be accreted into interest income at the effective interest rate as of January 1, 2020. The following table illustrates the impact of ASC 326 (dollars in thousands) : January 1, 2020 Pre-tax Post ASC 326 Pre-ASC 326 impact of ASC 326 Adoption Adoption Adoption Assets: Allowance Commercial $ 19,006 $ 18,291 $ 715 Commercial real estate 30,496 21,190 9,306 Real estate construction 6,158 3,204 2,954 Retail real estate 13,787 10,495 3,292 Retail other 1,134 568 566 Total allowance for credit losses $ 70,581 $ 53,748 $ 16,833 Liabilities: Reserve for off-balance-sheet credit exposures $ 5,492 — $ 5,492 Allowance-debt securities available for sale Debt securities available for sale are not within the scope of CECL, however, the accounting for credit losses on these securities is affected by ASC 326-30. A debt security available for sale is impaired if the fair value of the security declines below its amortized cost basis. To determine the appropriate accounting, the Company must first determine if it intends to sell the security or if it is more likely than not that it will be required to sell the security before the fair value increases to at least the amortized cost basis. If either of those selling events is expected, the Company will write down the amortized cost basis of the security to its fair value. This is achieved by writing off any previously recorded allowance, if applicable, and recognizing any incremental impairment through earnings. If the Company does not intend to sell the security nor believes it more likely than not will be required to sell the security before the fair value recovers to the amortized cost basis, the Company must determine whether any of the decline in fair value has resulted from a credit loss, or if it is entirely the result of noncredit factors. The Company considers the following factors in assessing whether the decline is due to a credit loss: ● Extent to which the fair value is less than the amortized cost basis. ● Adverse conditions specifically related to the security, an industry, or a geographic area (for example, changes in the financial condition of the issuer of the security, or in the case of an asset-backed debt security, in the financial condition of the underlying loan obligors). ● Payment structure of the debt security and the likelihood of the issuer being able to make payments that increase in the future. ● Failure of the issuer of the security to make scheduled interest or principal payments. ● Any changes to the rating of the security by a rating agency. Impairment related to a credit loss must be measured using the discounted cash flow method. Credit loss recognition is limited to the fair value of the security. The impairment is recognized by establishing an allowance for credit losses through provision for credit losses. Impairment related to noncredit factors is recognized in accumulated other comprehensive income, net of applicable taxes. Accrued interest receivable for debt securities available for sale totaled $6.9 million at September 30, 2020 and is excluded from the estimate of credit losses. Accrued interest receivable is reported in Other Assets on the unaudited Consolidated Balance Sheets. Allowance – portfolio loans The allowance for credit losses is a significant estimate in the Company’s unaudited Consolidated Balance Sheet, affecting both earnings and capital. The allowance for credit losses is a valuation account that is deducted from the portfolio loans’ amortized cost bases to present the net amount expected to be collected on the portfolio loans. Portfolio loans are charged off against the allowance when management believes the uncollectibility of a loan balance is confirmed. Recoveries will be recognized up to the aggregate amount of previously charged-off balances. The allowance for credit losses is established through provision for credit loss expense charged to income. A loan’s amortized cost basis is comprised of the unpaid principal balance of the loan, accrued interest receivable, purchase premiums or discounts, and net deferred origination fees or costs. The Company has estimated its allowance on the amortized cost basis, exclusive of government guaranteed loans and accrued interest receivable. The Company writes-off uncollectible accrued interest receivable in a timely manner and has elected to not measure an allowance for accrued interest receivable. The Company presents the aggregate amount of accrued interest receivable for all financial instruments in other assets on the unaudited Consolidated Balance Sheets and the balance of accrued interest receivable is disclosed in “Note 14: Fair Value Measurements.” Our methodology influences, and is influenced by, the Company’s overall credit risk management processes. The allowance for credit losses is managed in accordance with GAAP to provide an adequate reserve for expected credit losses that is reflective of management’s best estimate of what is expected to be collected. The allowance for credit losses is measured on a collective pool basis when similar risk characteristics exist. Loans that do not share risk characteristics are evaluated on an individual basis. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions and reasonable and supportable forecasts that affect the collectability of the amortized cost basis. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as for changes in environmental conditions such as changes in unemployment rates, property values and other relevant factors. The calculation also contemplates that the Company may not be able to make or obtain such forecasts for the entire life of the financial assets and requires a reversion to historical credit loss information. At implementation, the Company selected an eight-quarter forecast period with an immediate reversion to historical loss rates as management felt this period could be reasonably forecasted and was consistent with forecast periods used in other areas of finance. During the first quarter of 2020, the Company reduced its reasonable and supportable forecast period from eight quarters to four quarters. Due to rapidly changing forecasts around the impact of COVID-19, the Company does not believe it has the current ability to incorporate reasonable and supportable forecasts into its CECL models extending beyond four quarters. Ongoing impacts of the CECL methodology will be dependent upon changes in economic conditions and forecasts, originated and acquired loan portfolio composition, credit performance trends, portfolio duration, and other factors. Reserve for Off-balance-sheet credit exposures In estimating expected credit losses for off-balance-sheet credit exposures, the Company is required to estimate expected credit losses over the contractual period in which it is exposed to credit risk via a present contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the issuer. To be considered unconditionally cancelable for accounting purposes, the Company must have the ability to, at any time, with or without cause, refuse to extend credit under the commitment. Off-balance-sheet credit exposure segments share the same risk characteristics as portfolio loans. The Company incorporates a probability of funding and utilizes the allowance for credit losses loss rates to calculate the reserve. The reserve for off-balance-sheet credit exposure is carried on the balance sheet in other liabilities rather than as a component of the allowance. The reserve for off-balance-sheet credit exposure is adjusted as a provision for off-balance-sheet credit exposure reported as a component of non-interest expense in the accompanying unaudited Consolidated Statement of Income.

Acquisitions

Acquisitions	9 Months Ended
Acquisitions	Sep. 30, 2020
Acquisitions
Acquisitions	Note 2: Acquisitions The Banc Ed Corp. On January 31, 2019, the Company completed its acquisition of The Banc Ed Corp. (“Banc Ed”). TheBANK of Edwardsville (“TheBANK”), Banc Ed’s wholly-owned bank subsidiary, was operated as a separate subsidiary from the completion of the acquisition until October 4, 2019 when it was merged with and into Busey Bank. At that time, TheBANK’s banking centers became banking centers of Busey Bank. Under the terms of the merger agreement with Banc Ed, at the effective time of the acquisition, each share of Banc Ed common stock issued and outstanding was converted into the right to receive 8.2067 shares of the Company’s common stock, cash in lieu of fractional shares and $111.53 in cash consideration per share. The market value of the 6.7 million shares of First Busey common stock issued at the effective time of the acquisition was approximately $166.5 million based on First Busey’s closing stock price of $24.76 on January 31, 2019. This transaction was accounted for using the acquisition method of accounting and, accordingly, assets acquired, liabilities assumed, and consideration exchanged was recorded at estimated fair values on the date of acquisition. As the total consideration paid for Banc Ed exceeded the net assets acquired, goodwill of $41.4 million was recorded as a result of the acquisition. Goodwill recorded in the transaction, which reflected the synergies expected from the acquisition and expansion within the St. Louis MSA, is not tax deductible and was assigned to the Banking operating segment. First Busey incurred $0.2 million in pre-tax expenses related to the acquisition of Banc Ed for the three and nine months ended September 30, 2020 related to a lease termination, which is reported as a component of non-interest expense in the accompanying unaudited Consolidated Statement of Income. First Busey incurred $6.5 million and $11.5 million in pre-tax expenses related to the acquisition of Banc Ed for the three and nine months ended September 30, 2019, respectively, primarily for salaries, wages and employee benefits, professional and legal fees and deconversion expenses, all of which are reported as a component of non-interest expense in the accompanying unaudited Consolidated Statement of Income. The following table presents the estimated fair value of Banc Ed’s assets acquired and liabilities assumed as of January 31, 2019 (dollars in thousands) : Fair Value Assets acquired: Cash and cash equivalents $ 42,013 Securities 692,716 Loans held for sale 2,157 Portfolio loans 873,336 Premises and equipment 32,156 Other intangible assets 32,617 Mortgage servicing rights 6,946 Other assets 57,332 Total assets acquired 1,739,273 Liabilities assumed: Deposits 1,439,203 Other borrowings 63,439 Other liabilities 20,153 Total liabilities assumed 1,522,795 Net assets acquired $ 216,478 Consideration paid: Cash $ 91,400 Common stock 166,515 Total consideration paid $ 257,915 Goodwill $ 41,437 The following table provides the unaudited pro forma information for the results of operations for the three and nine months ended September 30, 2019, as if the acquisition had occurred on January 1, 2019. The pro forma results combine the historical results of Banc Ed into the Company’s unaudited Consolidated Statements of Income, including the impact of purchase accounting adjustments including loan discount accretion, intangible assets amortization, deposit accretion and premises accretion, net of taxes. The pro forma results have been prepared for comparative purposes only and are not necessarily indicative of the results that would have been obtained had the acquisition actually occurred on January 1, 2019. No assumptions have been applied to the pro forma results of operations regarding possible revenue enhancements, expense efficiencies or asset dispositions ( dollars in thousands, except per share amounts) : Pro Forma Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Total revenues (net interest income plus non-interest income) $ 104,543 $ 305,709 Net income 30,811 84,742 Diluted earnings per common share 0.55 1.51 Investors’ Security Trust Company On August 31, 2019, the Company completed the previously announced acquisition by Busey Bank of Investors’ Security Trust Company (“IST”), a Fort Myers, Florida wealth management firm. While the partnership is expected to add to the Company’s wealth management offerings, it is not expected to have any immediate, material impact on the Company’s earnings or overall business. This transaction was accounted for using the acquisition method of accounting and, accordingly, assets acquired, liabilities assumed, and consideration exchanged was recorded at estimated fair values on the date of acquisition. First Busey incurred $0.1 million and $0.4 million in pre-tax expenses related to the acquisition of IST for the three and nine months ended September 30, 2020, respectively, primarily for contingent earn-out payments owed under the purchase agreement, which are reported as components of non-interest expense in the accompanying unaudited Consolidated Statements of Income. First Busey incurred $0.5 million and $0.7 million in pre-tax expenses related to the acquisition of IST for the three and nine months ended September 30, 2019, respectively, primarily for professional and legal fees, which are reported as a component of non-interest expense in the accompanying unaudited Consolidated Statements of Income.

Securities

Securities	9 Months Ended
Securities	Sep. 30, 2020
Securities
Securities	Note 3: Securities The table below provides the amortized cost, unrealized gains and losses and fair values of debt securities summarized by major category (dollars in thousands) : Gross Gross Allowance Amortized Unrealized Unrealized for Credit Fair September 30, 2020: Cost Gains Losses Losses Value Debt securities available for sale U.S. Treasury securities $ 29,442 $ 495 $ — $ — $ 29,937 Obligations of U.S. government corporations and agencies 76,021 2,512 (55) — 78,478 Obligations of states and political subdivisions 304,749 11,380 (9) — 316,120 Commercial mortgage-backed securities 346,543 10,804 (104) — 357,243 Residential mortgage-backed securities 1,192,131 26,699 (304) — 1,218,526 Corporate debt securities 78,930 1,619 (4) — 80,545 Total $ 2,027,816 $ 53,509 $ (476) $ — $ 2,080,849 Gross Gross Amortized Unrealized Unrealized Fair December 31, 2019: Cost Gains Losses Value Debt securities available for sale U.S. Treasury securities $ 51,472 $ 265 $ — $ 51,737 Obligations of U.S. government corporations and agencies 160,364 2,684 (48) 163,000 Obligations of states and political subdivisions 262,492 5,810 (11) 268,291 Commercial mortgage-backed securities 137,733 1,700 (146) 139,287 Residential mortgage-backed securities 912,308 10,282 (624) 921,966 Corporate debt securities 102,696 1,280 — 103,976 Total $ 1,627,065 $ 22,021 $ (829) $ 1,648,257 The amortized cost and fair value of debt securities, by contractual maturity or pre-refunded date, are shown below. Mortgages underlying mortgage-backed securities may be called or prepaid; therefore, actual maturities could differ from the contractual maturities. All mortgage-backed securities were issued by U.S. government corporations and agencies (dollars in thousands) . Debt securities available for sale Amortized Fair September 30, 2020: Cost Value Due in one year or less $ 148,312 $ 149,872 Due after one year through five years 210,254 219,106 Due after five years through ten years 260,947 272,794 Due after ten years 1,408,303 1,439,077 Total $ 2,027,816 $ 2,080,849 Realized gains and losses related to sales and calls of debt securities available for sale are summarized as follows (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Gross security gains $ 11 $ 298 $ 1,718 $ 689 Gross security (losses) — (1) (8) (585) Net gains (losses) on sales of securities (1) $ 11 $ 297 $ 1,710 $ 104 (1) Net gains (losses) on sales of securities reported on the unaudited Consolidated Statements of Income includes sale of equity securities, excluded in this table. Debt securities with carrying amounts of $591.7 million and $704.4 million on September 30, 2020 and December 31, 2019, respectively, were pledged as collateral for public deposits, securities sold under agreements to repurchase and for other purposes as required or permitted by law. The following information pertains to debt securities with gross unrealized losses, aggregated by investment category and the length of time that individual securities have been in a continuous loss position (dollars in thousands): Less than 12 months, gross 12 months or more, gross Total, gross Fair Unrealized Fair Unrealized Fair Unrealized September 30, 2020: Value Losses Value Losses Value Losses Debt securities available for sale U.S. Treasury securities $ — $ — $ — $ — $ — $ — Obligations of U.S. government corporations and agencies — — 5,479 (55) 5,479 (55) Obligations of states and political subdivisions 3,810 (9) — — 3,810 (9) Commercial mortgage-backed securities 53,690 (104) — — 53,690 (104) Residential mortgage-backed securities 152,298 (301) 838 (3) 153,136 (304) Corporate debt securities 7,563 (4) — — 7,563 (4) Total temporarily impaired securities $ 217,361 $ (418) $ 6,317 $ (58) $ 223,678 $ (476) Less than 12 months, gross 12 months or more, gross Total, gross Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2019: Value Losses Value Losses Value Losses Debt securities available for sale U.S. Treasury securities $ — $ — $ — $ — $ — $ — Obligations of U.S. government corporations and agencies 6,362 (48) — — 6,362 (48) Obligations of states and political subdivisions (1) 4,981 (11) 1,548 — 6,529 (11) Commercial mortgage-backed securities 33,322 (144) 2,044 (2) 35,366 (146) Residential mortgage-backed securities 78,326 (245) 50,259 (379) 128,585 (624) Corporate debt securities — — — — — — Total temporarily impaired securities $ 122,991 $ (448) $ 53,851 $ (381) $ 176,842 $ (829) (1) Unrealized losses for 12 months or more, gross, was less than one thousand dollars. Debt securities available for sale are not within the scope of CECL, however, the accounting for credit losses on these securities is affected by ASC 326-30. As of September 30, 2020, the Company’s debt security portfolio consisted of 1,190 securities. The total number of debt securities in the investment portfolio in an unrealized loss position as of September 30, 2020 was 37 and represented an unrealized loss of 0.21% of the aggregate fair value. The unrealized losses relate to changes in market interest rates and market conditions that do not represent credit-related impairments. Furthermore, the Company does not intend to sell such securities and it is more likely than not that the Company will recover the amortized cost prior to being required to sell the debt securities. Full collection of the amounts due according to the contractual terms of the debt securities is expected; therefore, the impairment related to noncredit factors is recognized in accumulated other comprehensive income (loss), net of applicable taxes, at September 30, 2020. As of September 30, 2020, the Company did not hold general obligation bonds of any single issuer, the aggregate of which exceeded 10% of the Company’s stockholders’ equity.

Portfolio loans

Portfolio loans	9 Months Ended
Portfolio loans	Sep. 30, 2020
Portfolio loans
Portfolio loans	Note 4: Portfolio loans The distribution of portfolio loans is as follows (dollars in thousands) : September 30, 2020 December 31, 2019 Commercial $ 2,281,031 $ 1,748,368 Commercial real estate 2,912,408 2,793,417 Real estate construction 407,266 401,861 Retail real estate 1,480,520 1,693,769 Retail other 40,086 49,834 Portfolio loans $ 7,121,311 $ 6,687,249 Allowance (98,841) (53,748) Portfolio loans, net $ 7,022,470 $ 6,633,501 Net deferred loan origination fees included in the balances above were $(6.0) million as of September 30, 2020 compared to $6.2 million of net deferred loan origination costs as of December 31, 2019. Net accretable purchase accounting adjustments included in the balances above reduced loans by $13.2 million as of September 30, 2020 and $20.2 million as of December 31, 2019. The September 30, 2020 commercial balance includes loans originated under PPP with an amortized cost of $736.4 million. During the first quarter of 2020, the Company purchased $43.9 million of retail real estate loans. There were no purchases during the second or third quarters of 2020. The Company utilizes a loan grading scale to assign a risk grade to all of its loans. A description of the general characteristics of each grade is as follows: ● Pass - This category includes loans that are all considered acceptable credits, ranging from investment or near investment grade, to loans made to borrowers who exhibit credit fundamentals that meet or exceed industry standards. ● Watch- This category includes loans that warrant a higher than average level of monitoring to ensure that weaknesses do not cause the inability of the credit to perform as expected. These loans are not necessarily a problem due to other inherent strengths of the credit, such as guarantor strength, but have above average concern and monitoring. ● Special mention- This category is for “Other Assets Specially Mentioned” loans that have potential weaknesses, which may, if not checked or corrected, weaken the asset or inadequately protect the Company’s credit position at some future date. ● Substandard- This category includes “Substandard” loans, determined in accordance with regulatory guidelines, for which the accrual of interest has not been stopped. Assets so classified must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. ● Substandard Non-accrual- This category includes loans that have all the characteristics of a “Substandard” loan with additional factors that make collection in full highly questionable and improbable. Such loans are placed on non-accrual status and may be dependent on collateral with a value that is difficult to determine. All loans are graded at their inception. Most commercial lending relationships that are $1.0 million or less are processed through an expedited underwriting process. Most commercial loans greater than $1.0 million are included in a portfolio review at least annually. Commercial loans greater than $0.35 million that have a grading of special mention or worse are reviewed on a quarterly basis. Interim reviews may take place if circumstances of the borrower warrant a more timely review. The following table is a summary of risk grades segregated by category of portfolio loans. September 30, 2020 includes purchase discounts and clearings in the pass rating. December 31, 2019 excludes purchase discounts and clearings. (dollars in thousands) : September 30, 2020 Special Substandard Pass Watch Mention Substandard Non-accrual Commercial $ 2,011,113 $ 145,817 $ 82,942 $ 33,247 $ 7,912 Commercial real estate 2,541,455 255,447 71,315 37,052 7,139 Real estate construction 376,787 26,820 603 2,797 259 Retail real estate 1,452,145 10,960 4,069 4,848 8,498 Retail other 39,996 — — — 90 Total $ 6,421,496 $ 439,044 $ 158,929 $ 77,944 $ 23,898 December 31, 2019 Special Substandard Pass Watch Mention Substandard Non-accrual Commercial $ 1,458,416 $ 172,526 $ 66,337 $ 41,273 $ 9,096 Commercial real estate 2,477,398 186,963 105,487 26,204 9,178 Real estate construction 351,923 45,262 3,928 737 630 Retail real estate 1,661,691 9,125 5,355 7,001 8,935 Retail other 47,698 — — — 57 Total $ 5,997,126 $ 413,876 $ 181,107 $ 75,215 $ 27,896 Risk grades of portfolio loans, further sorted by origination year at September 30, 2020 is as follows (dollars in thousand) : Term Loans Amortized Cost Basis by Origination Year Revolving As of September 30, 2020 2020 2019 2018 2017 2016 Prior loans Total Commercial: Risk rating Pass $ 1,029,324 $ 173,103 $ 117,434 $ 100,388 $ 67,473 $ 87,096 $ 436,295 $ 2,011,113 Watch 24,601 21,566 16,918 14,606 3,488 13,653 50,985 145,817 Special Mention 6,011 2,572 2,166 7,181 6,853 14,949 43,210 82,942 Substandard 8,450 3,578 2,528 4,437 935 1,292 12,027 33,247 Substandard non-accrual 348 3,076 586 540 792 70 2,500 7,912 Total commercial $ 1,068,734 $ 203,895 $ 139,632 $ 127,152 $ 79,541 $ 117,060 $ 545,017 $ 2,281,031 Commercial real estate: Risk rating Pass $ 557,205 $ 565,460 $ 425,448 $ 439,438 $ 215,498 $ 315,026 $ 23,380 $ 2,541,455 Watch 52,304 71,844 62,609 28,787 21,629 18,186 88 255,447 Special Mention 8,429 14,981 5,479 12,664 6,096 23,170 496 71,315 Substandard 19,809 4,662 1,197 7,165 2,137 1,587 495 37,052 Substandard non-accrual 923 795 1,939 1,475 287 1,720 — 7,139 Total commercial real estate $ 638,670 $ 657,742 $ 496,672 $ 489,529 $ 245,647 $ 359,689 $ 24,459 $ 2,912,408 Real estate construction: Risk rating Pass $ 107,927 $ 188,254 $ 60,326 $ 1,188 $ 568 $ 1,868 $ 16,656 $ 376,787 Watch 17,661 4,266 2,515 2,205 173 26,820 Special Mention 592 11 — — — — — 603 Substandard 2,577 — 47 25 148 — — 2,797 Substandard non-accrual — — 256 — — 3 — 259 Total real estate construction $ 128,757 $ 192,531 $ 63,144 $ 3,418 $ 889 $ 1,871 $ 16,656 $ 407,266 Retail real estate: Risk rating Pass $ 273,752 $ 180,799 $ 152,772 $ 158,192 $ 157,611 $ 293,570 $ 235,449 $ 1,452,145 Watch 1,570 2,090 1,255 320 570 255 4,900 10,960 Special Mention 516 — 70 589 1,975 919 — 4,069 Substandard 1,642 100 330 82 770 1,655 269 4,848 Substandard non-accrual 275 81 697 688 239 4,929 1,589 8,498 Total retail real estate $ 277,755 $ 183,070 $ 155,124 $ 159,871 $ 161,165 $ 301,328 $ 242,207 $ 1,480,520 Retail other: Risk rating Pass $ 6,974 $ 10,695 $ 6,798 $ 3,336 $ 961 $ 777 $ 10,455 $ 39,996 Watch — — — — — — — — Special Mention — — — — — — — — Substandard — — — — — — — — Substandard non-accrual 15 7 — 2 1 64 1 90 Total retail other $ 6,989 $ 10,702 $ 6,798 $ 3,338 $ 962 $ 841 $ 10,456 $ 40,086 An analysis of the amortized cost basis of portfolio loans that are past due and still accruing or on a non-accrual status is as follows (dollars in thousands) : September 30, 2020 Loans past due, still accruing Non-accrual 30-59 Days 60-89 Days 90+Days Loans Commercial $ 53 $ — $ — $ 7,912 Commercial real estate 74 294 — 7,139 Real estate construction — — — 259 Retail real estate 4,606 1,558 262 8,498 Retail other 98 25 17 90 Total $ 4,831 $ 1,877 $ 279 $ 23,898 December 31, 2019 Loans past due, still accruing Non-accrual 30-59 Days 60-89 Days 90+Days Loans Commercial $ 1,075 $ 1,014 $ 199 $ 9,096 Commercial real estate 2,653 3,121 584 9,178 Real estate construction 19 — — 630 Retail real estate 5,021 1,248 828 8,935 Retail other 52 68 — 57 Total $ 8,820 $ 5,451 $ 1,611 $ 27,896 The gross interest income that would have been recorded in the three months ended September 30, 2020 and 2019 if non-accrual loans and 90+ days past due loans had been current in accordance with their original terms was $0.5 million. The gross interest income that would have been recorded in the nine months ended September 30, 2020 and 2019 if non-accrual loans and 90+ days past due loans had been current in accordance with their original terms was $1.4 million and $1.6 million, respectively. The amount of interest collected on those loans and recognized on a cash basis that was included in interest income was insignificant for the three and nine months ended September 30, 2020 and 2019. A summary of troubled debt restructurings (“TDR”) loans is as follows (dollars in thousands) : September 30, December 31, 2020 2019 In compliance with modified terms $ 3,927 $ 5,005 30 — 89 days past due 291 — Included in non-performing loans 1,253 702 Total $ 5,471 $ 5,707 Loans newly classified as a TDR in compliance with modified terms during the three months ended September 30, 2020, included one retail real estate loan for payment modification with a recorded investment of $0.2 million. Loans newly classified as a TDR in compliance with modified terms during the nine months ended September 30, 2020, included two retail real estate loans for payment modifications with a recorded investment of $0.4 million. Loans newly classified as a TDR in compliance with modified terms during the three months ended September 30, 2019, included one commercial loan for short-term interest rate relief, with a recorded investment of $0.3 million. Loans newly classified as a TDR in compliance with modified terms during the nine months ended September 30, 2019, included one commercial loan for payment modification with a recorded investment of $0.6 million and one commercial loan for short-term interest rate relief, with a recorded investment of $0.3 million. The gross interest income that would have been recorded in the three and nine months ended September 30, 2020 and 2019 if TDRs had performed in accordance with their original terms compared with their modified terms was insignificant. There were no TDRs that were entered into during the last 12 months that were subsequently classified as non-performing and had payment defaults (a default occurs when a loan is 90 days or more past due or transferred to non-accrual) during the three and nine months ended September 30, 2020. One commercial real estate TDR, with a recorded investment of $3.2 million, that was entered into during the prior 12 months, was subsequently classified as non-performing and had payment defaults during the nine months ended September 30, 2019. Modified loans with payment deferrals that fall under the Coronavirus Aid, Relief and Economic Security Act (“CARES Act”) or revised Interagency Statement on Loan Modifications and Reporting for Financial Institutions that suspended requirements under GAAP related to TDR classification are not included in the Company’s TDR totals. At September 30, 2020, the Company had $1.2 million of residential real estate in the process of foreclosure. The Company has elected to follow the Federal Housing Finance Agency guidelines on single-family foreclosures and real estate owned evictions on portfolio loans. The agency has extended the moratoriums on single-family foreclosures and real estate owned evictions until at least December 31, 2020 which will delay many foreclosures into 2021. The following tables provide details of loans evaluated individually, segregated by category. With the adoption of CECL, the Company only evaluated loans with disparate risk characteristics on an individual basis. The unpaid contractual principal balance represents the customer outstanding balance excluding any partial charge-offs. The amortized cost represents customer balances net of any partial charge-offs recognized on the loan. The average amortized cost is calculated using the most recent four quarters (dollars in thousands) . September 30, 2020 Unpaid Amortized Contractual Cost Amortized Total Average Principal with No Cost Amortized Related Amortized Balance Allowance with Allowance Cost Allowance Cost Commercial $ 15,464 $ 2,554 $ 5,205 $ 7,759 $ 1,694 $ 8,746 Commercial real estate 9,047 7,737 594 8,331 236 11,613 Real estate construction 569 552 — 552 — 709 Retail real estate 5,285 4,578 474 5,052 474 9,059 Retail other — — — — — 23 Total $ 30,365 $ 15,421 $ 6,273 $ 21,694 $ 2,404 $ 30,150 December 31, 2019 Unpaid Amortized Contractual Cost Amortized Total Average Principal with No Cost Amortized Related Amortized Balance Allowance with Allowance Cost Allowance Cost Commercial $ 14,415 $ 4,727 $ 5,026 $ 9,753 $ 3,330 $ 13,774 Commercial real estate 14,487 9,883 2,039 11,922 1,049 16,678 Real estate construction 1,116 974 — 974 — 873 Retail real estate 15,581 13,898 474 14,372 474 14,003 Retail other 87 58 — 58 — 42 Total $ 45,686 $ 29,540 $ 7,539 $ 37,079 $ 4,853 $ 45,370 Management's evaluation as to the ultimate collectability of loans includes estimates regarding future cash flows from operations and the value of property, real and personal, pledged as collateral. These estimates are affected by changing economic conditions and the economic prospects of borrowers. Collateral dependent loans are loans in which repayment is expected to be provided solely by the underlying collateral and there are no other available and reliable sources of repayment. Loans are written down to the lower of cost or fair value of underlying collateral, less estimated costs to sell. As of September 30, 2020, there were $17.5 million of collateral dependent loans which are secured by real estate or business assets. Management estimates the allowance balance using relevant available information from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience provides the basis for the estimation of expected credit losses. The cumulative loss rate used as the basis for the estimate of credit losses is comprised of the Company’s historical loss experience beginning in 2010. As of September 30, 2020, the Company expects the markets in which it operates to experience declines in economic conditions and increases in the unemployment rates and levels of delinquencies over the next 12 months. Management adjusted the historical loss experience for these expectations with an immediate reversion to historical loss rate beyond this forecast period. PPP loans were excluded from the allowance calculation as they are 100% government guaranteed. The following table details activity in the allowance. Allocation of a portion of the allowance to one category does not preclude its availability to absorb losses in other categories (dollars in thousands) : As of and for the Three Months Ended September 30, 2020 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Beginning balance $ 24,146 $ 42,680 $ 7,792 $ 20,405 $ 1,023 $ 96,046 Provision for credit losses 2,593 3,703 (381) (383) 17 5,549 Charged-off (2,500) (569) (18) (139) (171) (3,397) Recoveries 124 103 26 301 89 643 Ending balance $ 24,363 $ 45,917 $ 7,419 $ 20,184 $ 958 $ 98,841 As of and for the Nine Months Ended September 30, 2020 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Beginning balance, prior to adoption of ASC 326 $ 18,291 $ 21,190 $ 3,204 $ 10,495 $ 568 $ 53,748 Adoption of ASC 326 715 9,306 2,954 3,292 566 16,833 Provision for credit losses 10,739 17,090 1,082 6,635 110 35,656 Charged-off (5,682) (1,833) (18) (1,139) (575) (9,247) Recoveries 300 164 197 901 289 1,851 Ending balance $ 24,363 $ 45,917 $ 7,419 $ 20,184 $ 958 $ 98,841 As of and for the Three Months Ended September 30, 2019 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Beginning balance $ 16,733 $ 20,188 $ 3,305 $ 10,613 536 $ 51,375 Provision for loan losses 463 3,167 (359) (86) 226 3,411 Charged-off (817) (1,168) — (226) (288) (2,499) Recoveries 147 33 164 221 113 678 Ending balance $ 16,526 $ 22,220 $ 3,110 $ 10,522 $ 587 $ 52,965 As of and for the Nine Months Ended September 30, 2019 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Beginning balance $ 17,829 $ 21,137 $ 2,723 $ 8,471 $ 488 $ 50,648 Provision for loan losses 3,417 1,981 54 2,212 375 8,039 Charged-off (5,187) (1,183) — (943) (596) (7,909) Recoveries 467 285 333 782 320 2,187 Ending balance $ 16,526 $ 22,220 $ 3,110 $ 10,522 $ 587 $ 52,965 The following table presents the allowance and amortized cost of portfolio loans by category (dollars in thousands) : As of September 30, 2020 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Allowance Ending balance attributed to: Loans individually evaluated for impairment $ 1,694 $ 236 $ — $ 474 $ — $ 2,404 Loans collectively evaluated for impairment 22,669 45,681 7,419 19,710 958 96,437 Ending balance $ 24,363 $ 45,917 $ 7,419 $ 20,184 $ 958 $ 98,841 Loans: Loans individually evaluated for impairment $ 7,759 $ 6,415 $ 297 $ 4,666 $ — $ 19,137 Loans collectively evaluated for impairment 2,273,272 2,904,077 406,714 1,475,468 40,086 7,099,617 PCD loans evaluated for impairment — 1,916 255 386 — 2,557 Ending balance $ 2,281,031 $ 2,912,408 $ 407,266 $ 1,480,520 $ 40,086 $ 7,121,311 As of December 31, 2019 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Allowance Ending balance attributed to: Loans individually evaluated for impairment $ 3,330 $ 1,049 $ — $ 474 $ — $ 4,853 Loans collectively evaluated for impairment 14,961 20,141 3,204 10,021 568 48,895 Ending balance $ 18,291 $ 21,190 $ 3,204 $ 10,495 $ 568 $ 53,748 Loans: Loans individually evaluated for impairment $ 9,740 $ 10,018 $ 539 $ 13,676 $ 58 $ 34,031 Loans collectively evaluated for impairment 1,738,615 2,781,495 400,887 1,679,397 49,776 6,650,170 PCI loans evaluated for impairment 13 1,904 435 696 — 3,048 Ending balance $ 1,748,368 $ 2,793,417 $ 401,861 $ 1,693,769 $ 49,834 $ 6,687,249

Deposits

Deposits	9 Months Ended
Deposits	Sep. 30, 2020
Deposits
Deposits	Note 5: Deposits The composition of deposits is as follows (dollars in thousands) : September 30, 2020 December 31, 2019 Demand deposits, noninterest-bearing $ 2,595,075 $ 1,832,619 Interest-bearing transaction deposits 2,266,338 1,989,854 Saving deposits and money market deposits 2,553,521 2,545,073 Time deposits 1,227,767 1,534,850 Total $ 8,642,701 $ 7,902,396 The Company held brokered saving deposits and money market deposits of $11.0 million and $12.5 million at September 30, 2020 and December 31, 2019, respectively. The aggregate amount of time deposits with a minimum denomination of $100,000 was approximately $641.0 million and $854.1 million at September 30, 2020 and December 31, 2019, respectively. The aggregate amount of time deposits with a minimum denomination that meets or exceeds the Federal Deposit Insurance Corporation (“FDIC”) insurance limit of $250,000 was approximately $234.1 million and $297.4 million at September 30, 2020 and December 31, 2019, respectively. The Company held brokered time deposits of $5.3 million and $5.5 million at September 30, 2020 and December 31, 2019, respectively. As of September 30, 2020, the scheduled maturities of time deposits are as follows (dollars in thousands) : October 1, 2020 - September 30, 2021 $ 803,854 October 1, 2021 - September 30, 2022 260,163 October 1, 2022 - September 30, 2023 81,550 October 1, 2023 - September 30, 2024 63,121 October 1, 2024 - September 30, 2025 19,065 Thereafter 14 $ 1,227,767

Borrowings

Borrowings	9 Months Ended
Borrowings	Sep. 30, 2020
Borrowings
Borrowings	Note 6: Borrowings Securities sold under agreements to repurchase, which are classified as secured borrowings, generally mature daily. Securities sold under agreements to repurchase are reflected at the amount of cash received in connection with the transaction. The underlying securities are held by the Company’s safekeeping agent. The Company may be required to provide additional collateral based on fluctuations in the fair value of the underlying securities. Securities sold under agreements to repurchase were $201.6 million at September 30, 2020 with a weighted average rate of 0.17% . Short-term borrowings include $4.7 million of FHLB advances which mature in less than one year from date of origination. On January 29, 2019, the Company entered into an Amended and Restated Credit Agreement providing for a $60.0 million term loan (the “Term Loan”) with a maturity date of November 30, 2023. The Term Loan had an annual interest rate of one-month LIBOR plus a spread of 1.50% . The proceeds of the Term Loan were used to fund the cash consideration related to the acquisition of Banc Ed. The Company, at its option, repaid the balance of the Term Loan during the first quarter of 2020. The Amended and Restated Credit Agreement also retained the Company’s $20.0 million revolving facility with a maturity date of April 30, 2019. On April 19, 2019, the Company entered into an amendment to the Amended and Restated Credit Agreement to extend the maturity of its revolving loan facility to April 30, 2020. On April 24, 2020, the revolving loan facility maturity was extended one year to April 30, 2021 with an annual interest rate of one-month LIBOR plus a spread of 1.75% . The revolving facility incurs a non-usage fee based on the undrawn amount. The Company had no outstanding balance under the revolving facility on September 30, 2020 or December 31, 2019. Long-term debt is summarized as follows (dollars in thousands) : September 30, December 31, 2020 2019 Notes payable, FHLB, original maturity of 5 years , collateralized by FHLB deposits, residential and commercial real estate loans and FHLB stock. $ 4,931 $ 35,600 Term Loan — 48,000 Total long-term debt $ 4,931 $ 83,600 As of September 30, 2020, long-term debt from the FHLB consisted of a variable-rate note maturing May 2023, with an interest rate of 3.04% . As of December 31, 2019, funds borrowed from the FHLB, listed above, consisted of variable-rate notes maturing through September 2024, with interest rates ranging from 1.25% to 3.04% . The weighted average rate on the long-term advances was 1.53% as of December 31, 2019. On May 25, 2017, the Company issued $40.0 million of 3.75% senior notes that mature on May 25, 2022. The senior notes are payable semi-annually on each May 25 and November 25, commencing on November 25, 2017. The senior notes are not subject to optional redemption by the Company. Additionally, on May 25, 2017, the Company issued $60.0 million of fixed-to-floating rate subordinated notes that mature on May 25, 2027. The subordinated notes, which qualify as Tier 2 capital for First Busey, bear interest at an annual rate of 4.75% for the first five years after issuance and thereafter bear interest at a floating rate equal to three-month LIBOR plus a spread of 2.919% , as calculated on each applicable determination date. The subordinated notes are payable semi-annually on each May 25 and November 25, commencing on November 25, 2017, during the five-year fixed-term and thereafter on February 25, May 25, August 25 and November 25 of each year, commencing on August 25, 2022. The subordinated notes have an optional redemption in whole or in part on any interest payment date on or after May 25, 2022. The senior notes and subordinated notes are unsecured obligations of the Company. Unamortized debt issuance costs related to the senior notes and subordinated notes issued in 2017 totaled $0.2 million and $0.7 million, respectively, at September 30, 2020. Unamortized debt issuance costs related to the senior notes and subordinated notes issued in 2017 totaled $0.3 million and $0.8 million, respectively, at December 31, 2019. To further enhance the Company’s strong capital and liquidity positions, on June 1, 2020, the Company issued $125.0 million of fixed-to-floating rate subordinated notes that mature on June 1, 2030. The subordinated notes, which qualify as Tier 2 capital for First Busey, bear interest at an annual rate of 5.25% for the first five years after issuance and thereafter bear interest at a floating rate equal to a three-month benchmark rate plus a spread of 5.11% , as calculated on each applicable determination date. The subordinated notes are payable semi-annually on each June 1 and December 1, during the five-year fixed-term, and thereafter on March 1, June 1, September 1 and December 1 of each year, commencing on September 1, 2025. The subordinated notes have an optional redemption in whole or in part on any interest payment date on or after June 1, 2025. The subordinated notes are unsecured obligations of the Company. Unamortized debt issuance costs related to the subordinated notes issued in 2020 totaled $2.2 million at September 30, 2020.

Earnings Per Common Share

Earnings Per Common Share	9 Months Ended
Earnings Per Common Share	Sep. 30, 2020
Earnings Per Common Share
Earnings Per Common Share	Note 7: Earnings Per Common Share Earnings per common share have been computed as follows (in thousands, except per share data) : Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Net income $ 30,829 $ 24,828 $ 71,999 $ 74,382 Shares: Weighted average common shares outstanding 54,586 55,410 54,579 54,783 Dilutive effect of outstanding options, warrants and restricted stock units as determined by the application of the treasury stock method 152 236 217 275 Weighted average common shares outstanding, as adjusted for diluted earnings per share calculation 54,738 55,646 54,796 55,058 Basic earnings per common share $ 0.56 $ 0.45 $ 1.32 $ 1.36 Diluted earnings per common share $ 0.56 $ 0.45 $ 1.31 $ 1.35 Common stock equivalents excluded from the earning per common share calculations because their effect would have been anti-dilutive 300 237 300 385 Basic earnings per share is computed by dividing net income for the period by the weighted average number of common shares outstanding, which include deferred stock units that are vested but not delivered. Diluted earnings per common share is computed using the treasury stock method and reflects the potential dilution that could occur if the Company’s outstanding stock options and warrants were exercised and restricted stock units were vested.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	9 Months Ended
Accumulated Other Comprehensive Income (Loss)	Sep. 30, 2020
Accumulated Other Comprehensive Income (Loss).
Accumulated Other Comprehensive Income (Loss).	Note 8: Accumulated Other Comprehensive Income (Loss) The following table represents changes in accumulated other comprehensive income (loss) by component, net of tax, for the periods below (dollars in thousands) : Three Months Ended September 30, 2020 2019 Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Unrealized gains (losses) on debt securities available for sale: Balance at beginning of period $ 55,436 $ (15,802) $ 39,634 $ 20,459 $ (5,832) $ 14,627 Unrealized holding gains (losses) on debt securities available for sale, net (2,392) 682 (1,710) 4,991 (1,423) 3,568 Amounts reclassified from accumulated other comprehensive income, net (11) 3 (8) (297) 85 (212) Balance at end of period $ 53,033 $ (15,117) $ 37,916 $ 25,153 $ (7,170) $ 17,983 Unrealized gains (losses) on cash flow hedges: Balance at beginning of period $ (3,633) $ 1,036 $ (2,597) $ — $ — $ — Unrealized holding gains (losses) on cash flow hedges, net 20 (6) 14 (837) 239 (598) Amounts reclassified from accumulated other comprehensive income, net 268 (76) 192 9 (3) 6 Balance at end of period $ (3,345) $ 954 $ (2,391) $ (828) $ 236 $ (592) Total accumulated other comprehensive income (loss) $ 49,688 $ (14,163) $ 35,525 $ 24,325 $ (6,934) $ 17,391 Nine Months Ended September 30, 2020 2019 Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Unrealized gains (losses) on debt securities available for sale: Balance at beginning of period $ 21,192 $ (6,032) $ 15,160 $ (9,528) $ 2,716 $ (6,812) Unrealized holding gains (losses) on debt securities available for sale, net 33,551 (9,577) 23,974 30,005 (8,552) 21,453 Unrealized losses on debt securities transferred from held to maturity to available for sale — — — 4,780 (1,363) 3,417 Amounts reclassified from accumulated other comprehensive income, net (1,710) 492 (1,218) (104) 29 (75) Balance at end of period $ 53,033 $ (15,117) $ 37,916 $ 25,153 $ (7,170) $ 17,983 Unrealized gains (losses) on cash flow hedges: Balance at beginning of period $ (280) $ 80 $ (200) $ — $ — $ — Unrealized holding gains (losses) on cash flow hedges, net (3,123) 890 (2,233) (837) 239 (598) Amounts reclassified from accumulated other comprehensive income, net 58 (16) 42 9 (3) 6 Balance at end of period $ (3,345) $ 954 $ (2,391) $ (828) $ 236 $ (592) Total accumulated other comprehensive income (loss) $ 49,688 $ (14,163) $ 35,525 $ 24,325 $ (6,934) $ 17,391

Share-based Compensation

Share-based Compensation	9 Months Ended
Share-based Compensation	Sep. 30, 2020
Share-based Compensation
Share-based Compensation	Note 9: Share-based Compensation The First Busey 2020 Equity Incentive Plan (the “2020 Equity Plan”) was approved by stockholders at the 2020 Annual Meeting of Stockholders. A description of the 2020 Equity Plan can be found in the Company’s Proxy Statement for the 2020 Annual Meeting of Stockholders filed on April 9, 2020. The 2020 Equity Plan replaces the 2010 Equity Incentive Plan and the First Community Financial Partners, Inc. 2016 Equity Incentive Plan, which from time to time, the Company used to grant equity awards to legacy employees of First Community Financial Partners, Inc. Under the terms of the 2020 Equity Plan, the Company has granted restricted stock units, deferred stock units and performance-based restricted stock unit awards. The Company grants restricted stock units to members of management periodically throughout the year. Each restricted stock unit is equivalent to one share of the Company’s common stock. These units have requisite service periods ranging from one to five years , subject to accelerated vesting upon eligible retirement from the Company. Recipients earn quarterly dividend equivalents on their respective units which entitle the recipients to additional units. Therefore, dividends earned each quarter compound based upon the updated unit balances. The Company grants deferred stock units, which are restricted stock units with a deferred settlement date, to its directors and advisory directors. Each deferred stock unit is equivalent to one share of the Company’s common stock. The deferred stock units vest over a one-year period following the grant date. These units generally are subject to the same terms as restricted stock units under the Company’s 2020 Equity Plan, except that, following vesting, settlement occurs within 30 days following the earlier of separation from the board or a change in control of the Company. After vesting and prior to delivery, these units will continue to earn dividend equivalents. The Company also grants performance-based restricted stock unit awards to members of management periodically throughout the year. Each performance-based restricted stock unit is equivalent to one share of the Company’s common stock. The number of units that ultimately vest will be determined based on the achievement of the market performance goal, subject to accelerated vesting upon eligible retirement from the Company. The Company has outstanding stock options assumed from acquisitions. Upon vesting/delivery, shares are expected (though not required) to be issued from treasury. Stock Option Plan A summary of the status of and changes in the Company's stock option awards for the nine months ended September 30, 2020 follows: Weighted- Weighted- Average Average Exercise Remaining Contractual Shares Price Term Outstanding at beginning of period 53,185 $ 22.00 Exercised (12,956) 22.73 Forfeited — — Expired (1,144) 21.35 Outstanding at end of period 39,085 $ 23.53 6.13 Exercisable at end of period 39,085 $ 23.53 6.13 The Company did not record any stock option compensation expense for the three or nine months ended September 30, 2020. The Company recorded an insignificant amount and $0.1 million of stock option compensation expense for the three and nine months ended September 30, 2019, respectively, related to the converted options from First Community Financial Partners, Inc. Restricted Stock Unit, Deferred Stock Unit and Performance-Based Restricted Stock Unit Awards A summary of the changes in the Company’s restricted stock unit and deferred stock unit awards for the nine months ended September 30, 2020, is as follows: Weighted- Director Weighted- Restricted Average Deferred Average Stock Grant Date Stock Grant Date Units Fair Value Units Fair Value Non-vested at beginning of period 778,317 $ 27.27 21,261 $ 26.78 Granted 384,343 17.26 33,419 17.17 Dividend equivalents earned 29,265 19.21 3,235 19.35 Vested (117,641) 21.38 (24,066) 25.95 Forfeited (66,132) 26.42 — — Non-vested at end of period 1,008,152 $ 23.97 33,849 $ 17.17 Outstanding at end of period 1,008,152 $ 23.97 70,186 $ 24.41 On February 5, 2020, under the terms of the 2010 Equity Incentive Plan, the Company granted 3,808 restricted stock units to a member of management. The grant date fair value of the award totaled $0.1 million and will be recognized as compensation expense over the three-year requisite service period. Subsequent to the requisite service period, the awards will become 100% vested. On July 7, 2020, under the terms of the 2020 Equity Incentive Plan, the Company granted 380,535 restricted stock units to members of management, including the Vice-Chairman of the Board. The grant date fair value of the award totaled $6.5 million and will be recognized as compensation expense over the requisite service period ranging from one year to five years . The terms of these awards included an accelerated vesting provision upon eligible retirement from the Company and added the accelerated vesting provision to all previously issued and outstanding awards. Subsequent to the requisite service period, the awards will become 100% vested. Further, the Company granted 33,419 deferred stock units to directors and advisory directors. The grant date fair value of the award totaled $0.6 million and will be recognized as compensation expense over the requisite service period of one year . Subsequent to the requisite service period, the awards will become 100% vested. The Company recognized $2.2 million and $1.2 million of compensation expense related to non-vested restricted stock units and deferred stock units for the three months ended September 30, 2020 and 2019, respectively. The Company recognized $4.4 million and $3.1 million of compensation expense related to non-vested restricted stock units and deferred stock units for the nine months ended September 30, 2020 and 2019, respectively. The expense for the three and nine months ended September 30, 2020 increased over the same period of 2019, primarily as a result of the addition of the retirement vesting provision which resulted in acceleration of compensation expense related to participants who met the retirement eligibility criteria. As of September 30, 2020, there was $13.4 million of total unrecognized compensation cost related to these non-vested stock awards. This cost is expected to be recognized over a weighted average period of 3.0 years. D uring the third quarter of 2020, the Company granted a target of 15,724 performance-based restricted stock units with a maximum of 25,158 units. The actual number of units issued at the vest date could range from 0% to 160% of the initial grant, depending on attaining the market performance goal. The grant date fair value of the award is estimated to be $0.3 million, and will be recognized in compensation expense over the performance period ending December 31, 2022. The Company expects to finalize the grant date fair value of these awards in the fourth quarter of 2020. As of September 30, 2020, 1,429,696 shares remain available for issuance pursuant to the Company’s 2020 Equity Incentive Plan and 18,711 shares remain available for issuance pursuant to the Company’s Employee Stock Purchase Plan.

Outstanding Commitments and Con

Outstanding Commitments and Contingent Liabilities	9 Months Ended
Outstanding Commitments and Contingent Liabilities	Sep. 30, 2020
Outstanding Commitments and Contingent Liabilities
Outstanding Commitments and Contingent Liabilities	Note 10: Outstanding Commitments and Contingent Liabilities Legal Matters The Company is a party to legal actions which arise in the normal course of its business activities. In the opinion of management, the ultimate resolution of these matters is not expected to have a material effect on the financial position or the results of operations of the Company. Credit Commitments and Contingencies A summary of the contractual amount of the Company’s exposure to off-balance-sheet risk relating to the Company’s commitments to extend credit and standby letters of credit follows (dollars in thousands) : September 30, 2020 December 31, 2019 Financial instruments whose contract amounts represent credit risk: Commitments to extend credit $ 1,721,099 $ 1,649,565 Standby letters of credit 41,791 42,581 Upon adoption of CECL, the Company recorded a $5.5 million reserve for unfunded commitments. The Company recorded provision expense of $0.3 million and $1.8 million in the three and nine months ended September 30, 2020, respectively, in other non-interest expense for a total unfunded reserve of $7.3 million as of September 30, 2020.

Regulatory Capital

Regulatory Capital	9 Months Ended
Regulatory Capital	Sep. 30, 2020
Regulatory Capital
Regulatory Capital	Note 11: Regulatory Capital The Company and Busey Bank are subject to various regulatory capital requirements administered by federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory—and possibly additional discretionary—actions by regulators that, if undertaken, could have a direct material effect on the Company's consolidated financial statements. The capital amounts and classification also are subject to qualitative judgments by the regulators about components, risk weightings and other factors. Banking regulations identify five capital categories for insured depository institutions: well capitalized, adequately capitalized, undercapitalized, significantly undercapitalized and critically undercapitalized. As of September 30, 2020 and December 31, 2019, all capital ratios of the Company and Busey Bank exceeded the well capitalized levels under the applicable regulatory capital adequacy guidelines. Management believes that no events or changes have occurred subsequent to September 30, 2020 that would change this designation. On March 27, 2020, the FDIC and other federal banking agencies published an interim final rule that provides those banking organizations adopting CECL during 2020 with the option to delay for two years the estimated impact of CECL on regulatory capital and to phase in the aggregate impact of the deferral on regulatory capital over a subsequent three year period. On August 26, 2020, the CECL final rule was finalized and was substantially similar to the interim final rule. Under this final rule, because the Company has elected to use the deferral option, the regulatory capital impact of our transition adjustments recorded on January 1, 2020 from the adoption of CECL will be deferred for two years. In addition, 25 percent of the ongoing impact of CECL on our allowance for credit losses, retained earnings, and average total consolidated assets from January 1, 2020 through the end of the two-year deferral period, each as reported for regulatory capital purposes, will be added to the deferred transition amounts (“adjusted transition amounts”) and deferred for the two-year period. At the conclusion of the two-year period (January 1, 2022), the adjusted transition amounts will be phased-in for regulatory capital purposes at a rate of 25 percent per year, with the phased-in amounts included in regulatory capital at the beginning of each year. On June 1, 2020, the Company issued $125.0 million of fixed-to-floating rate subordinated notes that mature on June 1, 2030, which qualify as Tier 2 capital for regulatory purposes. The following tables summarize the applicable holding company and bank regulatory capital requirements (dollars in thousands) : Minimum Minimum To Be Well Actual Capital Requirement Capitalized Amount Ratio Amount Ratio Amount Ratio As of September 30, 2020: Total Capital (to Risk Weighted Assets) Consolidated $ 1,225,719 16.63 % $ 589,691 8.00 % $ 737,114 10.00 % Busey Bank $ 1,095,863 14.89 % $ 588,690 8.00 % $ 735,862 10.00 % Tier 1 Capital (to Risk Weighted Assets) Consolidated $ 964,399 13.08 % $ 442,268 6.00 % $ 589,691 8.00 % Busey Bank $ 1,019,543 13.86 % $ 441,517 6.00 % $ 588,690 8.00 % Common Equity Tier 1 Capital (to Risk Weighted Assets) Consolidated $ 890,399 12.08 % $ 331,701 4.50 % $ 479,124 6.50 % Busey Bank $ 1,019,543 13.86 % $ 331,138 4.50 % $ 478,310 6.50 % Tier 1 Capital (to Average Assets) Consolidated $ 964,399 9.39 % $ 410,850 4.00 % N/A N/A Busey Bank $ 1,019,543 9.93 % $ 410,669 4.00 % $ 513,336 5.00 % Minimum Minimum To Be Well Actual Capital Requirement Capitalized Amount Ratio Amount Ratio Amount Ratio As of December 31, 2019: Total Capital (to Risk Weighted Assets) Consolidated $ 1,036,143 14.03 % $ 590,826 8.00 % $ 738,532 10.00 % Busey Bank $ 1,099,449 14.92 % $ 589,681 8.00 % $ 737,101 10.00 % Tier 1 Capital (to Risk Weighted Assets) Consolidated $ 922,395 12.49 % $ 443,120 6.00 % $ 590,826 8.00 % Busey Bank $ 1,045,701 14.19 % $ 442,261 6.00 % $ 589,681 8.00 % Common Equity Tier 1 Capital (to Risk Weighted Assets) Consolidated $ 848,395 11.49 % $ 332,340 4.50 % $ 480,046 6.50 % Busey Bank $ 1,045,701 14.19 % $ 331,696 4.50 % $ 479,116 6.50 % Tier 1 Capital (to Average Assets) Consolidated $ 922,395 9.88 % $ 373,360 4.00 % N/A N/A Busey Bank $ 1,045,701 11.19 % $ 373,639 4.00 % $ 467,049 5.00 % In July 2013, the U.S. federal banking authorities approved the Basel III Rule for strengthening international capital standards. The Basel III Rule introduced a capital conservation buffer, composed entirely of Common Equity Tier 1 Capital (“CET1”), which is added to the minimum risk-weighted asset ratios. The capital conservation buffer is not a minimum capital requirement; however, banking institutions with a ratio of CET1 to risk-weighted assets below the capital conservation buffer will face constraints on dividends, equity repurchases and discretionary bonus payments based on the amount of the shortfall. In order to refrain from restrictions on dividends, equity repurchases and discretionary bonus payments, banking institutions must maintain minimum ratios of (i) CET1 to risk-weighted assets of at least 7.00%, (ii) tier 1 capital to risk-weighted assets of at least 8.50%, and (iii) total capital to risk-weighted assets of at least 10.50%.

Operating Segments and Related

Operating Segments and Related Information	9 Months Ended
Operating Segments and Related Information	Sep. 30, 2020
Operating Segments and Related Information
Operating Segments and Related Information	Note 12: Operating Segments and Related Information The Company has three reportable operating segments: Banking, Remittance Processing and Wealth Management. The Banking operating segment provides a full range of banking services to individual and corporate customers through its banking center network in Illinois, the St. Louis, Missouri metropolitan area, southwest Florida and through its banking center in Indianapolis, Indiana. The Remittance Processing operating segment provides for online bill payments, lockbox and walk-in payments. The Wealth Management operating segment provides a full range of asset management, investment and fiduciary services to individuals, businesses and foundations, tax preparation, philanthropic advisory services and farm and brokerage services. The Company’s three operating segments are strategic business units that are separately managed as they offer different products and services and have different marketing strategies. The “other” category consists of the Parent Company and the elimination of intercompany transactions. The segment financial information provided below has been derived from information used by management to monitor and manage the financial performance of the Company. The accounting policies of the three segments are the same as those described in the summary of significant accounting policies in the “Note 1. Significant Accounting Policies” to Form 10-K. The Company accounts for intersegment revenue and transfers at current market value. Following is a summary of selected financial information for the Company’s operating segments (dollars in thousands) : Goodwill Total Assets September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 Banking $ 288,436 $ 288,436 $ 10,457,479 $ 9,632,368 Remittance Processing 8,992 8,992 46,124 44,209 Wealth Management 14,108 14,108 42,593 32,760 Other — — (6,568) (13,608) Totals $ 311,536 $ 311,536 $ 10,539,628 $ 9,695,729 Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Net interest income: Banking $ 73,330 $ 75,955 $ 218,221 $ 222,537 Remittance Processing 21 20 59 56 Wealth Management — — — — Other (3,598) (2,499) (8,281) (7,306) Total net interest income $ 69,753 $ 73,476 $ 209,999 $ 215,287 Non-interest income: Banking $ 18,523 $ 18,301 $ 45,717 $ 46,743 Remittance Processing 4,287 4,088 12,318 12,386 Wealth Management 10,662 8,994 32,681 27,721 Other (1,187) (447) (2,950) (2,073) Total non-interest income $ 32,285 $ 30,936 $ 87,766 $ 84,777 Non-interest expense: Banking $ 44,863 $ 56,593 $ 135,037 $ 158,659 Remittance Processing 3,523 2,746 9,669 8,099 Wealth Management 6,497 6,043 19,725 17,356 Other 1,659 2,739 5,693 9,190 Total non-interest expense $ 56,542 $ 68,121 $ 170,124 $ 193,304 Income before income taxes: Banking $ 41,441 $ 34,252 $ 93,245 $ 102,582 Remittance Processing 785 1,362 2,708 4,343 Wealth Management 4,165 2,951 12,956 10,365 Other (6,444) (5,685) (16,924) (18,569) Total income before income taxes $ 39,947 $ 32,880 $ 91,985 $ 98,721 Net income: Banking $ 31,744 $ 25,731 $ 72,653 $ 76,837 Remittance Processing 578 972 1,966 3,102 Wealth Management 3,166 2,184 9,847 7,670 Other (4,659) (4,059) (12,467) (13,227) Total net income $ 30,829 $ 24,828 $ 71,999 $ 74,382

Derivative Financial Instrument

Derivative Financial Instruments	9 Months Ended
Derivative Financial Instruments	Sep. 30, 2020
Derivative Financial Instruments
Derivative Financial Instruments	Note 13: Derivative Financial Instruments The Company utilizes interest rate swap agreements as part of its asset liability management strategy to help manage its interest rate risk position. Additionally, the Company enters into derivative financial instruments, including interest rate lock commitments issued to residential loan customers for loans that will be held for sale, forward sales commitments to sell residential mortgage loans to investors and interest rate swaps with customers and other third parties. See “Note 14: Fair Value Measurements” for further discussion of the fair value measurement of such derivatives. Interest Rate Swaps Designated as Cash Flow Hedges: Starting in the third quarter of 2019, the Company entered into derivative instruments designated as cash flow hedges. For derivative instruments that are designated and qualify as a cash flow hedge, the change in fair value of the derivative instrument is reported as a component of other comprehensive income (loss) and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Change in fair value of components excluded from the assessment of effectiveness are recognized in current earnings. Interest rate swaps with notional amounts totaling $70.0 million as of September 30, 2020 and December 31, 2019 were designated as cash flow hedges to hedge the risk of variability in cash flows (future interest payments) attributable to changes in the contractually specified 3 month LIBOR benchmark interest rate on the Company’s junior subordinated debt owed to unconsolidated trusts and were determined to be highly effective during the period. The gross aggregate fair value of the swaps of $3.3 million and $0.3 million is recorded in other liabilities in the unaudited Consolidated Balance Sheets at September 30, 2020 and December 31, 2019, respectively, with changes in fair value recorded net of tax in other comprehensive income (loss). The Company expects the hedges to remain highly effective during the remaining terms of the swaps. A summary of the interest-rate swaps designated as cash flow hedges is presented below (dollars in thousands) : September 30, 2020 December 31, 2019 Notional amount $ 70,000 $ 70,000 Weighted average fixed pay rates 1.80 % 1.80 % Weighted average variable 3 month LIBOR receive rates 0.25 % 1.90 % Weighted average maturity 3.11 yrs 3.86 yrs Unrealized gains (losses), net of tax $ (2,391) $ (200) Interest expense recorded on these swap transactions were $0.3 million and $0.5 million during the three and nine months ended September 30, 2020, respectively. The Company expects $0.3 million of the unrealized loss to be reclassified from Other Comprehensive Income (Loss) (“OCI”) to interest expense during the next 3 months. This reclassified amount could differ from amounts actually recognized due to changes in interest rates, hedge de-designations and the addition of other hedges subsequent to September 30, 2020. The following table presents the net gains (losses) recorded in accumulated other comprehensive income (loss) and the unaudited Consolidated Statements of Income relating to cash flow derivative instruments for the period presented (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, Interest rate contracts 2020 2019 2020 2019 Amount of gain (loss) recognized in OCI $ 14 $ (598) $ (2,233) $ (598) Amount of (gain) loss reclassified from OCI to interest expense 192 6 42 6 The Company pledged $3.5 million and $0.3 million in cash to secure its obligation under these contracts at September 30, 2020 and December 31, 2019, respectively. Interest Rate Lock Commitments . At September 30, 2020 and December 31, 2019, the Company had issued $57.8 million and $69.1 million, respectively, of unexpired interest rate lock commitments to loan customers. Such interest rate lock commitments that meet the definition of derivative financial instruments under ASC Topic 815, Derivatives and Hedging , are carried at their fair values in other assets or other liabilities in the unaudited consolidated financial statements, with changes in the fair values of the corresponding derivative financial assets or liabilities recorded as either a charge or credit to current earnings during the period in which the changes occurred. Forward Sales Commitments . At September 30, 2020 and December 31, 2019, the Company had issued $141.9 million and $135.3 million, respectively, of unexpired forward sales commitments to mortgage loan investors. Typically, the Company economically hedges mortgage loans held for sale and interest rate lock commitments issued to its residential loan customers related to loans that will be held for sale by obtaining corresponding best-efforts forward sales commitments with an investor to sell the loans at an agreed-upon price at the time the interest rate locks are issued to the customers. Forward sales commitments that meet the definition of derivative financial instruments under ASC Topic 815, Derivatives and Hedging , are carried at their fair values in other assets or other liabilities in the unaudited consolidated financial statements. While such forward sales commitments generally serve as an economic hedge to the mortgage loans held for sale and interest rate lock commitments, the Company did not designate them for hedge accounting treatment. Changes in fair value of the corresponding derivative financial asset or liability were recorded as either a charge or credit to current earnings during the period in which the changes occurred. The fair values of derivative assets and liabilities related to interest rate lock commitments and forward sales commitments recorded in the unaudited Consolidated Balance Sheets are summarized as follows (dollars in thousands) : September 30, 2020 December 31, 2019 Fair value recorded in other assets $ 1,567 $ 1,046 Fair value recorded in other liabilities 4,036 2,187 The gross gains and losses on these derivative assets and liabilities related to interest rate lock commitments and forward sales commitments recorded in non-interest income in the unaudited Consolidated Statements of Income are summarized as follows (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Gross gains $ 4,014 $ 1,655 $ 15,379 $ 4,662 Gross (losses) (4,036) (1,706) (16,354) (4,773) Net gains (losses) $ (22) $ (51) $ (975) $ (111) The impact of the net gains or losses on derivative financial instruments related to interest rate lock commitments issued to residential loan customers for loans that will be held for sale and forward sales commitments to sell residential mortgage loans to loan investors are almost entirely offset by a corresponding change in the fair value of loans held for sale. Interest Rate Swaps Not Designated as Hedges. The Company may offer derivative contracts to its customers in connection with their risk management needs. The Company manages the risk associated with these contracts by entering into an equal and offsetting derivative with a third-party dealer. With notional values of $791.1 million and $580.8 million at September 30, 2020 and December 31, 2019, respectively, these contracts support variable rate, commercial loan relationships totaling $395.5 million and $290.4 million, respectively. These derivatives generally worked together as an economic interest rate hedge, but the Company did not designate them for hedge accounting treatment. Consequently, changes in fair value of the corresponding derivative financial asset or liability were recorded as either a charge or credit to current earnings during the period in which the changes occurred. The fair values of derivative assets and liabilities related to derivatives for customers for interest rate swaps recorded in the unaudited Consolidated Balance Sheets are summarized as follows (dollars in thousands) : September 30, 2020 December 31, 2019 Fair value recorded in other assets $ 38,144 $ 12,354 Fair value recorded in other liabilities 38,144 12,354 The changes in fair value of these derivative assets and liabilities is recorded in non-interest expense in the unaudited Consolidated Statements of Income and summarized as follows (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Interest rate swaps - pay floating, receive fixed $ (549) $ 4,695 $ 25,790 $ 15,205 Interest rate swaps - pay fixed, receive floating 549 (4,695) (25,790) (15,205) Total $ — $ — $ — $ — The Company pledged $40.1 million and $18.1 million in cash to secure its obligation under these contracts at September 30, 2020 and December 31, 2019, respectively.

Fair Value Measurements

Fair Value Measurements	9 Months Ended
Fair Value Measurements	Sep. 30, 2020
Fair Value Measurements
Fair Value Measurements	Note 14: Fair Value Measurements The fair value of an asset or liability is the price that would be received by selling that asset or paid in transferring that liability (exit price) in an orderly transaction occurring in the principal market (or most advantageous market in the absence of a principal market) for such asset or liability. ASC Topic 820, Fair Value Measurement , establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: Level 1 Inputs - Unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. Level 2 Inputs - Inputs other than quoted prices included in level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, volatilities, prepayment speeds, credit risks, etc.) or inputs that are derived principally from or corroborated by market data by correlation or other means. Level 3 Inputs - Unobservable inputs for determining the fair values of assets or liabilities that reflect the Company’s own assumptions about the assumptions that market participants would use in pricing the assets or liabilities. A description of the valuation methodologies used for instruments measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. These valuation methodologies were applied to those Company assets and liabilities that are carried at fair value. In general, fair value is based upon quoted market prices, when available. If such quoted market prices are not available, fair values are measured utilizing independent valuation techniques of identical or similar securities for which significant assumptions are derived primarily from or corroborated by observable data. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. These adjustments may include amounts to reflect, among other things, counterparty credit quality and the company's creditworthiness as well as unobservable parameters. Any such valuation adjustments are applied consistently over time. While management believes the Company's valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Debt Securities Available for Sale. Debt securities classified as available for sale are reported at fair value utilizing level 2 measurements. The Company obtains fair value measurements from an independent pricing service. The independent pricing service utilizes evaluated pricing models that vary by asset class and incorporate available trade, bid and other market information. Because many fixed income securities do not trade on a daily basis, the independent pricing service applies available information, focusing on observable market data such as benchmark curves, benchmarking of like securities, sector groupings, and matrix pricing, to prepare evaluations. The independent pricing service uses model processes, such as the Option Adjusted Spread model, to assess interest rate impact and develop prepayment scenarios. The models and processes take into account market conventions. For each asset class, a team of evaluators gathers information from market sources and integrates relevant credit information, perceived market movements and sector news into the evaluated pricing applications and models. The market inputs that the independent pricing service normally seeks for evaluations of securities, listed in approximate order of priority, include: benchmark yields, reported trades, broker/dealer quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data including market research publications. The independent pricing service also monitors market indicators, industry and economic events. For certain security types, additional inputs may be used or some of the market inputs may not be applicable. Evaluators may prioritize inputs differently on any given day for any security based on market conditions, and not all inputs listed are available for use in the evaluation process for each security evaluation on a given day. Because the data utilized was observable, the securities have been classified as level 2. Equity Securities. Equity securities are reported at fair value utilizing level 1 or level 2 measurements. For mutual funds, unadjusted quoted prices in active markets for identical assets are utilized to determine fair value at the measurement date and have been classified as level 1. For stock, quoted prices for identical or similar assets in markets that are not active are utilized and classified as level 2. Loans Held for Sale. Loans held for sale are reported at fair value utilizing level 2 measurements. The fair value of the mortgage loans held for sale are measured using observable quoted market or contract prices or market price equivalents and are classified as level 2. Derivative Assets and Derivative Liabilities . Derivative assets and derivative liabilities are reported at fair value utilizing level 2 measurements. The fair value of derivative assets and liabilities is determined based on prices that are obtained from a third-party which uses observable market inputs. Derivative assets and liabilities are classified as level 2. The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value (dollars in thousands) : Level 1 Level 2 Level 3 Total September 30, 2020 Inputs Inputs Inputs Fair Value Debt securities available for sale U.S. Treasury securities $ — $ 29,937 $ — $ 29,937 Obligations of U.S. government corporations and agencies — 78,478 — 78,478 Obligations of states and political subdivisions — 316,120 — 316,120 Commercial mortgage-backed securities — 357,243 — 357,243 Residential mortgage-backed securities — 1,218,526 — 1,218,526 Corporate debt securities — 80,545 — 80,545 Equity securities 13,119 4,689 — 17,808 Loans held for sale — 87,772 — 87,772 Derivative assets — 39,711 — 39,711 Derivative liabilities — 45,525 — 45,525 Level 1 Level 2 Level 3 Total December 31, 2019 Inputs Inputs Inputs Fair Value Debt securities available for sale U.S. Treasury securities $ — $ 51,737 $ — $ 51,737 Obligations of U.S. government corporations and agencies — 163,000 — 163,000 Obligations of states and political subdivisions — 268,291 — 268,291 Commercial mortgage-backed securities — 139,287 — 139,287 Residential mortgage-backed securities — 921,966 — 921,966 Corporate debt securities — 103,976 — 103,976 Equity securities — 5,952 — 5,952 Loans held for sale — 68,699 — 68,699 Derivative assets — 13,400 — 13,400 Derivative liabilities — 14,821 — 14,821 Certain financial assets and financial liabilities are measured at fair value on a non-recurring basis; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). Loans Evaluated Individually . The Company does not record portfolio loans at fair value on a recurring basis. However, periodically, a loan is evaluated individually and is reported at the fair value of the underlying collateral, less estimated costs to sell, if repayment is expected solely from the collateral. If the collateral value is not sufficient, a specific reserve is recorded. Collateral values are estimated using a combination of observable inputs, including recent appraisals, and unobservable inputs based on customized discounting criteria. Due to the significance of the unobservable inputs, the fair value of individually evaluated collateral dependent loans have been classified as level 3. OREO. Non-financial assets measured at fair value include OREO (upon initial recognition or subsequent impairment). OREO properties are measured using a combination of observable inputs, including recent appraisals, and unobservable inputs. Due to the significance of the unobservable inputs, all OREO fair values have been classified as level 3. Bank Property Held for Sale. Bank property held for sale represents certain banking center office buildings which the Company has closed and consolidated with other existing banking centers. Bank property held for sale is measured at the lower of amortized cost or fair value less estimated costs to sell. The fair values were based upon discounted appraisals or real estate listing price. Due to the significance of the unobservable inputs, all bank property held for sale fair values have been classified as level 3. The following table summarizes assets and liabilities measured at fair value on a non-recurring basis, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value (dollars in thousands) : Level 1 Level 2 Level 3 Total Inputs Inputs Inputs Fair Value September 30, 2020 Loans evaluated individually $ — $ — $ 3,869 $ 3,869 OREO — — 79 79 Bank property held for sale — — 3,594 3,594 December 31, 2019 Loans evaluated individually $ — $ — $ 2,686 $ 2,686 OREO — — 55 55 Bank property held for sale — — 4,004 4,004 The following table presents additional quantitative information about assets measured at fair value on a non-recurring basis for which the Company has utilized level 3 inputs to determine fair value (dollars in thousands) : Quantitative Information about Level 3 Fair Value Measurements Fair Value Valuation Unobservable Range Estimate Techniques Input (Weighted Average) September 30, 2020 Loans evaluated individually $ 3,869 Appraisal of collateral Appraisal adjustments -20.0% to -100% (-38.3)% OREO 79 Appraisal of collateral Appraisal adjustments -25.0% to -100% (-64.5)% Bank property held for sale 3,594 Appraisal of collateral or real estate listing price Appraisal adjustments -6.2% to -64.9% (-23.9)% December 31, 2019 Loans evaluated individually $ 2,686 Appraisal of collateral Appraisal adjustments -2.9% to -100% (-57.8)% OREO 55 Appraisal of collateral Appraisal adjustments -25.0% to -100% (-65.0)% Bank property held for sale 4,004 Appraisal of collateral or real estate listing price Appraisal adjustments -6.2% to -71.3% (-40.7)% The estimated fair values of financial instruments that are reported at amortized cost in the Company’s unaudited Consolidated Balance Sheets, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value, were as follows (dollars in thousands) : September 30, 2020 December 31, 2019 Carrying Fair Carrying Fair Amount Value Amount Value Financial assets: Level 1 inputs: Cash and cash equivalents $ 479,721 $ 479,721 $ 529,288 $ 529,288 Level 2 inputs: Accrued interest receivable 37,609 37,609 27,109 27,109 Level 3 inputs: Portfolio loans, net 7,022,470 7,055,886 6,633,501 6,648,560 Mortgage servicing rights 11,982 12,570 12,326 18,193 Other servicing rights 1,199 1,696 1,071 1,740 Financial liabilities: Level 2 inputs: Time deposits $ 1,227,767 $ 1,243,305 $ 1,534,850 $ 1,538,597 Securities sold under agreements to repurchase 201,641 201,641 205,491 205,491 Short-term borrowings 4,651 4,651 8,551 8,552 Long-term debt 4,931 5,218 83,600 83,614 Junior subordinated debt owed to unconsolidated trusts 71,427 57,793 71,308 74,153 Accrued interest payable 6,648 6,648 5,000 5,000 Level 3 inputs: Senior notes, net of unamortized issuance costs 39,775 40,099 39,674 40,099 Subordinated notes, net of unamortized issuance costs 182,095 184,944 59,248 61,514

Leases

Leases	9 Months Ended
Leases	Sep. 30, 2020
Leases
Leases	Note 15: Leases The Company has operating leases consisting primarily of equipment leases and real estate leases. The Company leases real estate property for banking centers, ATM locations, and office space with terms extending through 2032. As of September 30, 2020, the Company reported $7.3 million of right-of-use asset and $7.3 million lease liability in its unaudited Consolidated Balance Sheets. The following tables represents lease costs and other lease information for the periods presented (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, Lease Costs 2020 2019 2020 2019 Operating lease costs $ 622 $ 619 $ 1,877 $ 1,736 Variable lease costs 99 133 401 363 Short-term lease costs 15 46 45 69 Sublease income - - - - Net lease cost $ 736 $ 798 $ 2,323 $ 2,168 Other information Cash paid for amounts included in the measurement of lease liabilities: Operating lease cash flows – Fixed payments $ 616 $ 605 $ 1,839 $ 1,688 Operating lease cash flows – Liability reduction 546 526 1,610 1,479 Right of use assets obtained during the period in exchange for operating lease liabilities — 159 128 923 Weighted average lease term (in years) 6.43 6.73 6.43 6.73 Weighted average discount rate 3.08% 3.04% 3.08% 3.04% At September 30, 2020, the Company was obligated under noncancelable operating leases for office space and other commitments. Rent expense under operating leases, included in net occupancy and equipment expense, was $0.7 million and $0.8 million for the three months ended September 30, 2020 and 2019, respectively and $2.3 million and $2.2 million for the nine months ended September 30, 2020 and 2019, respectively. Rent commitments were as follows (dollars in thousands) : As of September 30, 2020 Remainder of 2020 $ 542 2021 1,693 2022 1,288 2023 1,129 2024 894 Thereafter 2,647 Amounts representing interest (851) Present value of net future minimum lease payments $ 7,342

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	9 Months Ended
Significant Accounting Policies (Policies)	Sep. 30, 2020
Significant Accounting Policies
Impacts of COVID-19	Impacts of COVID-19 First Busey continues to operate as an essential community resource during these challenging and unprecedented times. The coronavirus disease 2019 (“COVID-19”) is not only impacting health and safety around the world, it is causing significant economic disruption for both individuals and businesses, making the Company’s supportive role even more important to its customers. The Company entered this crisis from a position of strength and remains resolute in its focus on protecting its balance sheet. To further enhance the Company’s strong liquidity position, during the second quarter, the Company completed a successful public offering of $125.0 million of its 5.25% fixed-to-floating rate subordinated notes due in 2030. The progression of the COVID-19 pandemic in the United States began to negatively impact the Company’s results of operations starting in the first quarter of 2020. In future quarters, COVID-19 is expected to have a complex and continued adverse impact on the economy, the banking industry and First Busey, all subject to a high degree of uncertainty as it relates to both timing and severity. Primary areas of potential future impact for First Busey may include continued margin compression, increased provision expense, a deterioration in asset quality and lower fees for customer services. The Company elected to participate in the Paycheck Protection Program (“PPP”) and at September 30, 2020 had $749.4 million in PPP loans outstanding, with an amortized cost of $736.4 million, representing 4,569 new and existing customers. The Company received fees totaling approximately $25.4 million and incurred incremental direct origination costs of $5.1 million, both of which have been deferred and are being amortized over the contractual life of these loans, subject to prepayment. The Company recognized $4.2 million and $3.0 million of this net amount in interest income in the third and second quarters of 2020, respectively. PPP loans contain a forgiveness feature for funds spent on covered expenses, including both principal and accrued interest. Any remaining balance after loan forgiveness maintains a 100% government guarantee for the remaining term of the loan. The Company has implemented an online portal designed to streamline the PPP loan forgiveness process, providing an intuitive and easy-to-use tool borrowers can use to apply for forgiveness. As of September 30, 2020, no loans were yet approved for forgiveness by the SBA. As these loans are forgiven, the recognition of these fees and direct origination costs will be accelerated.
Subsequent Events	Subsequent Events The Company has evaluated subsequent events for potential recognition and/or disclosure through the date the unaudited consolidated financial statements included in this Quarterly Report on Form 10-Q were issued. Subsequent to quarter end, the Company closed 12 banking centers. The Company anticipates additional one-time restructuring expenses related to its banking center consolidation plan in the fourth quarter of 2020 as we finalize the fair value estimates related to the disposition of these banking centers. We currently estimate those remaining non-operating pre-tax expenses related to the banking center consolidation plan to be in the range of $7.0 million to $7.5 million. There were no other significant subsequent events for the quarter ended September 30, 2020 through the issuance date of these unaudited consolidated financial statements that warranted adjustment to or disclosure in the unaudited consolidated financial statements.
Use of Estimates	Use of Estimates In preparing the accompanying unaudited consolidated financial statements in conformity with GAAP, the Company’s management is required to make estimates and assumptions that affect the amounts reported in the financial statements and the disclosures provided. Actual results could differ from those estimates. Material estimates which are particularly susceptible to significant change in the near term relate to the fair value of investment securities, fair value of assets acquired and liabilities assumed in business combinations, goodwill, income taxes and the determination of the allowance for credit losses.
Impact of recently adopted accounting standards	Impact of recently adopted accounting standards Allowance-debt securities available for sale Debt securities available for sale are not within the scope of CECL, however, the accounting for credit losses on these securities is affected by ASC 326-30. A debt security available for sale is impaired if the fair value of the security declines below its amortized cost basis. To determine the appropriate accounting, the Company must first determine if it intends to sell the security or if it is more likely than not that it will be required to sell the security before the fair value increases to at least the amortized cost basis. If either of those selling events is expected, the Company will write down the amortized cost basis of the security to its fair value. This is achieved by writing off any previously recorded allowance, if applicable, and recognizing any incremental impairment through earnings. If the Company does not intend to sell the security nor believes it more likely than not will be required to sell the security before the fair value recovers to the amortized cost basis, the Company must determine whether any of the decline in fair value has resulted from a credit loss, or if it is entirely the result of noncredit factors. The Company considers the following factors in assessing whether the decline is due to a credit loss: ● Extent to which the fair value is less than the amortized cost basis. ● Adverse conditions specifically related to the security, an industry, or a geographic area (for example, changes in the financial condition of the issuer of the security, or in the case of an asset-backed debt security, in the financial condition of the underlying loan obligors). ● Payment structure of the debt security and the likelihood of the issuer being able to make payments that increase in the future. ● Failure of the issuer of the security to make scheduled interest or principal payments. ● Any changes to the rating of the security by a rating agency. Impairment related to a credit loss must be measured using the discounted cash flow method. Credit loss recognition is limited to the fair value of the security. The impairment is recognized by establishing an allowance for credit losses through provision for credit losses. Impairment related to noncredit factors is recognized in accumulated other comprehensive income, net of applicable taxes. Accrued interest receivable for debt securities available for sale totaled $6.9 million at September 30, 2020 and is excluded from the estimate of credit losses. Accrued interest receivable is reported in Other Assets on the unaudited Consolidated Balance Sheets. Allowance – portfolio loans The allowance for credit losses is a significant estimate in the Company’s unaudited Consolidated Balance Sheet, affecting both earnings and capital. The allowance for credit losses is a valuation account that is deducted from the portfolio loans’ amortized cost bases to present the net amount expected to be collected on the portfolio loans. Portfolio loans are charged off against the allowance when management believes the uncollectibility of a loan balance is confirmed. Recoveries will be recognized up to the aggregate amount of previously charged-off balances. The allowance for credit losses is established through provision for credit loss expense charged to income. A loan’s amortized cost basis is comprised of the unpaid principal balance of the loan, accrued interest receivable, purchase premiums or discounts, and net deferred origination fees or costs. The Company has estimated its allowance on the amortized cost basis, exclusive of government guaranteed loans and accrued interest receivable. The Company writes-off uncollectible accrued interest receivable in a timely manner and has elected to not measure an allowance for accrued interest receivable. The Company presents the aggregate amount of accrued interest receivable for all financial instruments in other assets on the unaudited Consolidated Balance Sheets and the balance of accrued interest receivable is disclosed in “Note 14: Fair Value Measurements.” Our methodology influences, and is influenced by, the Company’s overall credit risk management processes. The allowance for credit losses is managed in accordance with GAAP to provide an adequate reserve for expected credit losses that is reflective of management’s best estimate of what is expected to be collected. The allowance for credit losses is measured on a collective pool basis when similar risk characteristics exist. Loans that do not share risk characteristics are evaluated on an individual basis. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions and reasonable and supportable forecasts that affect the collectability of the amortized cost basis. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term as well as for changes in environmental conditions such as changes in unemployment rates, property values and other relevant factors. The calculation also contemplates that the Company may not be able to make or obtain such forecasts for the entire life of the financial assets and requires a reversion to historical credit loss information. At implementation, the Company selected an eight-quarter forecast period with an immediate reversion to historical loss rates as management felt this period could be reasonably forecasted and was consistent with forecast periods used in other areas of finance. During the first quarter of 2020, the Company reduced its reasonable and supportable forecast period from eight quarters to four quarters. Due to rapidly changing forecasts around the impact of COVID-19, the Company does not believe it has the current ability to incorporate reasonable and supportable forecasts into its CECL models extending beyond four quarters. Ongoing impacts of the CECL methodology will be dependent upon changes in economic conditions and forecasts, originated and acquired loan portfolio composition, credit performance trends, portfolio duration, and other factors. Reserve for Off-balance-sheet credit exposures In estimating expected credit losses for off-balance-sheet credit exposures, the Company is required to estimate expected credit losses over the contractual period in which it is exposed to credit risk via a present contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the issuer. To be considered unconditionally cancelable for accounting purposes, the Company must have the ability to, at any time, with or without cause, refuse to extend credit under the commitment. Off-balance-sheet credit exposure segments share the same risk characteristics as portfolio loans. The Company incorporates a probability of funding and utilizes the allowance for credit losses loss rates to calculate the reserve. The reserve for off-balance-sheet credit exposure is carried on the balance sheet in other liabilities rather than as a component of the allowance. The reserve for off-balance-sheet credit exposure is adjusted as a provision for off-balance-sheet credit exposure reported as a component of non-interest expense in the accompanying unaudited Consolidated Statement of Income.

Significant Accounting Polici_3

Significant Accounting Policies (Tables)	9 Months Ended
Significant Accounting Policies (Tables)	Sep. 30, 2020
Significant Accounting Policies
Impact of ASC Topic 326	The following table illustrates the impact of ASC 326 (dollars in thousands) : January 1, 2020 Pre-tax Post ASC 326 Pre-ASC 326 impact of ASC 326 Adoption Adoption Adoption Assets: Allowance Commercial $ 19,006 $ 18,291 $ 715 Commercial real estate 30,496 21,190 9,306 Real estate construction 6,158 3,204 2,954 Retail real estate 13,787 10,495 3,292 Retail other 1,134 568 566 Total allowance for credit losses $ 70,581 $ 53,748 $ 16,833 Liabilities: Reserve for off-balance-sheet credit exposures $ 5,492 — $ 5,492

Acquisitions (Tables)

Acquisitions (Tables) - Banc Ed	9 Months Ended
Acquisitions (Tables) - Banc Ed	Sep. 30, 2020
Schedule of fair value estimates of assets acquired and liabilities assumed	The following table presents the estimated fair value of Banc Ed’s assets acquired and liabilities assumed as of January 31, 2019 (dollars in thousands) : Fair Value Assets acquired: Cash and cash equivalents $ 42,013 Securities 692,716 Loans held for sale 2,157 Portfolio loans 873,336 Premises and equipment 32,156 Other intangible assets 32,617 Mortgage servicing rights 6,946 Other assets 57,332 Total assets acquired 1,739,273 Liabilities assumed: Deposits 1,439,203 Other borrowings 63,439 Other liabilities 20,153 Total liabilities assumed 1,522,795 Net assets acquired $ 216,478 Consideration paid: Cash $ 91,400 Common stock 166,515 Total consideration paid $ 257,915 Goodwill $ 41,437
Schedule of unaudited pro forma results of operations for the acquisition	Pro Forma Three Months Ended Nine Months Ended September 30, 2019 September 30, 2019 Total revenues (net interest income plus non-interest income) $ 104,543 $ 305,709 Net income 30,811 84,742 Diluted earnings per common share 0.55 1.51

Securities (Tables)

Securities (Tables)	9 Months Ended
Securities (Tables)	Sep. 30, 2020
Securities
Schedule of amortized cost, unrealized gains and losses and fair values of securities classified available for sale and held to maturity	The table below provides the amortized cost, unrealized gains and losses and fair values of debt securities summarized by major category (dollars in thousands) : Gross Gross Allowance Amortized Unrealized Unrealized for Credit Fair September 30, 2020: Cost Gains Losses Losses Value Debt securities available for sale U.S. Treasury securities $ 29,442 $ 495 $ — $ — $ 29,937 Obligations of U.S. government corporations and agencies 76,021 2,512 (55) — 78,478 Obligations of states and political subdivisions 304,749 11,380 (9) — 316,120 Commercial mortgage-backed securities 346,543 10,804 (104) — 357,243 Residential mortgage-backed securities 1,192,131 26,699 (304) — 1,218,526 Corporate debt securities 78,930 1,619 (4) — 80,545 Total $ 2,027,816 $ 53,509 $ (476) $ — $ 2,080,849 Gross Gross Amortized Unrealized Unrealized Fair December 31, 2019: Cost Gains Losses Value Debt securities available for sale U.S. Treasury securities $ 51,472 $ 265 $ — $ 51,737 Obligations of U.S. government corporations and agencies 160,364 2,684 (48) 163,000 Obligations of states and political subdivisions 262,492 5,810 (11) 268,291 Commercial mortgage-backed securities 137,733 1,700 (146) 139,287 Residential mortgage-backed securities 912,308 10,282 (624) 921,966 Corporate debt securities 102,696 1,280 — 103,976 Total $ 1,627,065 $ 22,021 $ (829) $ 1,648,257
Schedule of amortized cost and fair value of debt securities available for sale and held to maturity by contractual maturity	The amortized cost and fair value of debt securities, by contractual maturity or pre-refunded date, are shown below. Mortgages underlying mortgage-backed securities may be called or prepaid; therefore, actual maturities could differ from the contractual maturities. All mortgage-backed securities were issued by U.S. government corporations and agencies (dollars in thousands) . Debt securities available for sale Amortized Fair September 30, 2020: Cost Value Due in one year or less $ 148,312 $ 149,872 Due after one year through five years 210,254 219,106 Due after five years through ten years 260,947 272,794 Due after ten years 1,408,303 1,439,077 Total $ 2,027,816 $ 2,080,849
Schedule of realized gains and losses related to sales of securities	Realized gains and losses related to sales and calls of debt securities available for sale are summarized as follows (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Gross security gains $ 11 $ 298 $ 1,718 $ 689 Gross security (losses) — (1) (8) (585) Net gains (losses) on sales of securities (1) $ 11 $ 297 $ 1,710 $ 104 (1) Net gains (losses) on sales of securities reported on the unaudited Consolidated Statements of Income includes sale of equity securities, excluded in this table.
Schedule of securities with gross unrealized losses aggregated by investment category and length of time that individual securities have been in a continuous loss position	The following information pertains to debt securities with gross unrealized losses, aggregated by investment category and the length of time that individual securities have been in a continuous loss position (dollars in thousands): Less than 12 months, gross 12 months or more, gross Total, gross Fair Unrealized Fair Unrealized Fair Unrealized September 30, 2020: Value Losses Value Losses Value Losses Debt securities available for sale U.S. Treasury securities $ — $ — $ — $ — $ — $ — Obligations of U.S. government corporations and agencies — — 5,479 (55) 5,479 (55) Obligations of states and political subdivisions 3,810 (9) — — 3,810 (9) Commercial mortgage-backed securities 53,690 (104) — — 53,690 (104) Residential mortgage-backed securities 152,298 (301) 838 (3) 153,136 (304) Corporate debt securities 7,563 (4) — — 7,563 (4) Total temporarily impaired securities $ 217,361 $ (418) $ 6,317 $ (58) $ 223,678 $ (476) Less than 12 months, gross 12 months or more, gross Total, gross Fair Unrealized Fair Unrealized Fair Unrealized December 31, 2019: Value Losses Value Losses Value Losses Debt securities available for sale U.S. Treasury securities $ — $ — $ — $ — $ — $ — Obligations of U.S. government corporations and agencies 6,362 (48) — — 6,362 (48) Obligations of states and political subdivisions (1) 4,981 (11) 1,548 — 6,529 (11) Commercial mortgage-backed securities 33,322 (144) 2,044 (2) 35,366 (146) Residential mortgage-backed securities 78,326 (245) 50,259 (379) 128,585 (624) Corporate debt securities — — — — — — Total temporarily impaired securities $ 122,991 $ (448) $ 53,851 $ (381) $ 176,842 $ (829) (1) Unrealized losses for 12 months or more, gross, was less than one thousand dollars.

Portfolio loans (Tables)

Portfolio loans (Tables)	9 Months Ended
Portfolio loans (Tables)	Sep. 30, 2020
Portfolio loans
Distribution of portfolio loans	The distribution of portfolio loans is as follows (dollars in thousands) : September 30, 2020 December 31, 2019 Commercial $ 2,281,031 $ 1,748,368 Commercial real estate 2,912,408 2,793,417 Real estate construction 407,266 401,861 Retail real estate 1,480,520 1,693,769 Retail other 40,086 49,834 Portfolio loans $ 7,121,311 $ 6,687,249 Allowance (98,841) (53,748) Portfolio loans, net $ 7,022,470 $ 6,633,501
Summary of risk grades segregated by category of portfolio loans (excluding accretable purchase accounting adjustments and clearings)	The following table is a summary of risk grades segregated by category of portfolio loans. September 30, 2020 includes purchase discounts and clearings in the pass rating. December 31, 2019 excludes purchase discounts and clearings. (dollars in thousands) : September 30, 2020 Special Substandard Pass Watch Mention Substandard Non-accrual Commercial $ 2,011,113 $ 145,817 $ 82,942 $ 33,247 $ 7,912 Commercial real estate 2,541,455 255,447 71,315 37,052 7,139 Real estate construction 376,787 26,820 603 2,797 259 Retail real estate 1,452,145 10,960 4,069 4,848 8,498 Retail other 39,996 — — — 90 Total $ 6,421,496 $ 439,044 $ 158,929 $ 77,944 $ 23,898 December 31, 2019 Special Substandard Pass Watch Mention Substandard Non-accrual Commercial $ 1,458,416 $ 172,526 $ 66,337 $ 41,273 $ 9,096 Commercial real estate 2,477,398 186,963 105,487 26,204 9,178 Real estate construction 351,923 45,262 3,928 737 630 Retail real estate 1,661,691 9,125 5,355 7,001 8,935 Retail other 47,698 — — — 57 Total $ 5,997,126 $ 413,876 $ 181,107 $ 75,215 $ 27,896
Risk grades of portfolio loans, further sorted by origination	Risk grades of portfolio loans, further sorted by origination year at September 30, 2020 is as follows (dollars in thousand) : Term Loans Amortized Cost Basis by Origination Year Revolving As of September 30, 2020 2020 2019 2018 2017 2016 Prior loans Total Commercial: Risk rating Pass $ 1,029,324 $ 173,103 $ 117,434 $ 100,388 $ 67,473 $ 87,096 $ 436,295 $ 2,011,113 Watch 24,601 21,566 16,918 14,606 3,488 13,653 50,985 145,817 Special Mention 6,011 2,572 2,166 7,181 6,853 14,949 43,210 82,942 Substandard 8,450 3,578 2,528 4,437 935 1,292 12,027 33,247 Substandard non-accrual 348 3,076 586 540 792 70 2,500 7,912 Total commercial $ 1,068,734 $ 203,895 $ 139,632 $ 127,152 $ 79,541 $ 117,060 $ 545,017 $ 2,281,031 Commercial real estate: Risk rating Pass $ 557,205 $ 565,460 $ 425,448 $ 439,438 $ 215,498 $ 315,026 $ 23,380 $ 2,541,455 Watch 52,304 71,844 62,609 28,787 21,629 18,186 88 255,447 Special Mention 8,429 14,981 5,479 12,664 6,096 23,170 496 71,315 Substandard 19,809 4,662 1,197 7,165 2,137 1,587 495 37,052 Substandard non-accrual 923 795 1,939 1,475 287 1,720 — 7,139 Total commercial real estate $ 638,670 $ 657,742 $ 496,672 $ 489,529 $ 245,647 $ 359,689 $ 24,459 $ 2,912,408 Real estate construction: Risk rating Pass $ 107,927 $ 188,254 $ 60,326 $ 1,188 $ 568 $ 1,868 $ 16,656 $ 376,787 Watch 17,661 4,266 2,515 2,205 173 26,820 Special Mention 592 11 — — — — — 603 Substandard 2,577 — 47 25 148 — — 2,797 Substandard non-accrual — — 256 — — 3 — 259 Total real estate construction $ 128,757 $ 192,531 $ 63,144 $ 3,418 $ 889 $ 1,871 $ 16,656 $ 407,266 Retail real estate: Risk rating Pass $ 273,752 $ 180,799 $ 152,772 $ 158,192 $ 157,611 $ 293,570 $ 235,449 $ 1,452,145 Watch 1,570 2,090 1,255 320 570 255 4,900 10,960 Special Mention 516 — 70 589 1,975 919 — 4,069 Substandard 1,642 100 330 82 770 1,655 269 4,848 Substandard non-accrual 275 81 697 688 239 4,929 1,589 8,498 Total retail real estate $ 277,755 $ 183,070 $ 155,124 $ 159,871 $ 161,165 $ 301,328 $ 242,207 $ 1,480,520 Retail other: Risk rating Pass $ 6,974 $ 10,695 $ 6,798 $ 3,336 $ 961 $ 777 $ 10,455 $ 39,996 Watch — — — — — — — — Special Mention — — — — — — — — Substandard — — — — — — — — Substandard non-accrual 15 7 — 2 1 64 1 90 Total retail other $ 6,989 $ 10,702 $ 6,798 $ 3,338 $ 962 $ 841 $ 10,456 $ 40,086
Summary of portfolio loans that are past due and still accruing or on a non-accrual status	An analysis of the amortized cost basis of portfolio loans that are past due and still accruing or on a non-accrual status is as follows (dollars in thousands) : September 30, 2020 Loans past due, still accruing Non-accrual 30-59 Days 60-89 Days 90+Days Loans Commercial $ 53 $ — $ — $ 7,912 Commercial real estate 74 294 — 7,139 Real estate construction — — — 259 Retail real estate 4,606 1,558 262 8,498 Retail other 98 25 17 90 Total $ 4,831 $ 1,877 $ 279 $ 23,898 December 31, 2019 Loans past due, still accruing Non-accrual 30-59 Days 60-89 Days 90+Days Loans Commercial $ 1,075 $ 1,014 $ 199 $ 9,096 Commercial real estate 2,653 3,121 584 9,178 Real estate construction 19 — — 630 Retail real estate 5,021 1,248 828 8,935 Retail other 52 68 — 57 Total $ 8,820 $ 5,451 $ 1,611 $ 27,896
Summary of restructured loans	A summary of troubled debt restructurings (“TDR”) loans is as follows (dollars in thousands) : September 30, December 31, 2020 2019 In compliance with modified terms $ 3,927 $ 5,005 30 — 89 days past due 291 — Included in non-performing loans 1,253 702 Total $ 5,471 $ 5,707
Schedule of details of impaired loans, segregated by category	September 30, 2020 Unpaid Amortized Contractual Cost Amortized Total Average Principal with No Cost Amortized Related Amortized Balance Allowance with Allowance Cost Allowance Cost Commercial $ 15,464 $ 2,554 $ 5,205 $ 7,759 $ 1,694 $ 8,746 Commercial real estate 9,047 7,737 594 8,331 236 11,613 Real estate construction 569 552 — 552 — 709 Retail real estate 5,285 4,578 474 5,052 474 9,059 Retail other — — — — — 23 Total $ 30,365 $ 15,421 $ 6,273 $ 21,694 $ 2,404 $ 30,150 December 31, 2019 Unpaid Amortized Contractual Cost Amortized Total Average Principal with No Cost Amortized Related Amortized Balance Allowance with Allowance Cost Allowance Cost Commercial $ 14,415 $ 4,727 $ 5,026 $ 9,753 $ 3,330 $ 13,774 Commercial real estate 14,487 9,883 2,039 11,922 1,049 16,678 Real estate construction 1,116 974 — 974 — 873 Retail real estate 15,581 13,898 474 14,372 474 14,003 Retail other 87 58 — 58 — 42 Total $ 45,686 $ 29,540 $ 7,539 $ 37,079 $ 4,853 $ 45,370
Schedule of activity on the allowance for loan losses	The following table details activity in the allowance. Allocation of a portion of the allowance to one category does not preclude its availability to absorb losses in other categories (dollars in thousands) : As of and for the Three Months Ended September 30, 2020 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Beginning balance $ 24,146 $ 42,680 $ 7,792 $ 20,405 $ 1,023 $ 96,046 Provision for credit losses 2,593 3,703 (381) (383) 17 5,549 Charged-off (2,500) (569) (18) (139) (171) (3,397) Recoveries 124 103 26 301 89 643 Ending balance $ 24,363 $ 45,917 $ 7,419 $ 20,184 $ 958 $ 98,841 As of and for the Nine Months Ended September 30, 2020 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Beginning balance, prior to adoption of ASC 326 $ 18,291 $ 21,190 $ 3,204 $ 10,495 $ 568 $ 53,748 Adoption of ASC 326 715 9,306 2,954 3,292 566 16,833 Provision for credit losses 10,739 17,090 1,082 6,635 110 35,656 Charged-off (5,682) (1,833) (18) (1,139) (575) (9,247) Recoveries 300 164 197 901 289 1,851 Ending balance $ 24,363 $ 45,917 $ 7,419 $ 20,184 $ 958 $ 98,841 As of and for the Three Months Ended September 30, 2019 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Beginning balance $ 16,733 $ 20,188 $ 3,305 $ 10,613 536 $ 51,375 Provision for loan losses 463 3,167 (359) (86) 226 3,411 Charged-off (817) (1,168) — (226) (288) (2,499) Recoveries 147 33 164 221 113 678 Ending balance $ 16,526 $ 22,220 $ 3,110 $ 10,522 $ 587 $ 52,965 As of and for the Nine Months Ended September 30, 2019 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Beginning balance $ 17,829 $ 21,137 $ 2,723 $ 8,471 $ 488 $ 50,648 Provision for loan losses 3,417 1,981 54 2,212 375 8,039 Charged-off (5,187) (1,183) — (943) (596) (7,909) Recoveries 467 285 333 782 320 2,187 Ending balance $ 16,526 $ 22,220 $ 3,110 $ 10,522 $ 587 $ 52,965
Schedule of allowance for loan losses and recorded investments in portfolio loans, by category	The following table presents the allowance and amortized cost of portfolio loans by category (dollars in thousands) : As of September 30, 2020 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Allowance Ending balance attributed to: Loans individually evaluated for impairment $ 1,694 $ 236 $ — $ 474 $ — $ 2,404 Loans collectively evaluated for impairment 22,669 45,681 7,419 19,710 958 96,437 Ending balance $ 24,363 $ 45,917 $ 7,419 $ 20,184 $ 958 $ 98,841 Loans: Loans individually evaluated for impairment $ 7,759 $ 6,415 $ 297 $ 4,666 $ — $ 19,137 Loans collectively evaluated for impairment 2,273,272 2,904,077 406,714 1,475,468 40,086 7,099,617 PCD loans evaluated for impairment — 1,916 255 386 — 2,557 Ending balance $ 2,281,031 $ 2,912,408 $ 407,266 $ 1,480,520 $ 40,086 $ 7,121,311 As of December 31, 2019 Commercial Real Estate Retail Real Commercial Real Estate Construction Estate Retail Other Total Allowance Ending balance attributed to: Loans individually evaluated for impairment $ 3,330 $ 1,049 $ — $ 474 $ — $ 4,853 Loans collectively evaluated for impairment 14,961 20,141 3,204 10,021 568 48,895 Ending balance $ 18,291 $ 21,190 $ 3,204 $ 10,495 $ 568 $ 53,748 Loans: Loans individually evaluated for impairment $ 9,740 $ 10,018 $ 539 $ 13,676 $ 58 $ 34,031 Loans collectively evaluated for impairment 1,738,615 2,781,495 400,887 1,679,397 49,776 6,650,170 PCI loans evaluated for impairment 13 1,904 435 696 — 3,048 Ending balance $ 1,748,368 $ 2,793,417 $ 401,861 $ 1,693,769 $ 49,834 $ 6,687,249

Deposits (Tables)

Deposits (Tables)	9 Months Ended
Deposits (Tables)	Sep. 30, 2020
Deposits
Schedule of composition of deposits	The composition of deposits is as follows (dollars in thousands) : September 30, 2020 December 31, 2019 Demand deposits, noninterest-bearing $ 2,595,075 $ 1,832,619 Interest-bearing transaction deposits 2,266,338 1,989,854 Saving deposits and money market deposits 2,553,521 2,545,073 Time deposits 1,227,767 1,534,850 Total $ 8,642,701 $ 7,902,396
Schedule of maturities of time deposits	As of September 30, 2020, the scheduled maturities of time deposits are as follows (dollars in thousands) : October 1, 2020 - September 30, 2021 $ 803,854 October 1, 2021 - September 30, 2022 260,163 October 1, 2022 - September 30, 2023 81,550 October 1, 2023 - September 30, 2024 63,121 October 1, 2024 - September 30, 2025 19,065 Thereafter 14 $ 1,227,767

Borrowings (Tables)

Borrowings (Tables)	9 Months Ended
Borrowings (Tables)	Sep. 30, 2020
Borrowings
Summary of long-term debt	Long-term debt is summarized as follows (dollars in thousands) : September 30, December 31, 2020 2019 Notes payable, FHLB, original maturity of 5 years , collateralized by FHLB deposits, residential and commercial real estate loans and FHLB stock. $ 4,931 $ 35,600 Term Loan — 48,000 Total long-term debt $ 4,931 $ 83,600

Earnings Per Common Share (Tabl

Earnings Per Common Share (Tables)	9 Months Ended
Earnings Per Common Share (Tables)	Sep. 30, 2020
Earnings Per Common Share
Schedule of computation of earnings per common share	Earnings per common share have been computed as follows (in thousands, except per share data) : Three Months Ended Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Net income $ 30,829 $ 24,828 $ 71,999 $ 74,382 Shares: Weighted average common shares outstanding 54,586 55,410 54,579 54,783 Dilutive effect of outstanding options, warrants and restricted stock units as determined by the application of the treasury stock method 152 236 217 275 Weighted average common shares outstanding, as adjusted for diluted earnings per share calculation 54,738 55,646 54,796 55,058 Basic earnings per common share $ 0.56 $ 0.45 $ 1.32 $ 1.36 Diluted earnings per common share $ 0.56 $ 0.45 $ 1.31 $ 1.35 Common stock equivalents excluded from the earning per common share calculations because their effect would have been anti-dilutive 300 237 300 385

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	9 Months Ended
Accumulated Other Comprehensive Income (Loss) (Tables)	Sep. 30, 2020
Accumulated Other Comprehensive Income (Loss).
Accumulated Other Comprehensive Income (Loss)	The following table represents changes in accumulated other comprehensive income (loss) by component, net of tax, for the periods below (dollars in thousands) : Three Months Ended September 30, 2020 2019 Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Unrealized gains (losses) on debt securities available for sale: Balance at beginning of period $ 55,436 $ (15,802) $ 39,634 $ 20,459 $ (5,832) $ 14,627 Unrealized holding gains (losses) on debt securities available for sale, net (2,392) 682 (1,710) 4,991 (1,423) 3,568 Amounts reclassified from accumulated other comprehensive income, net (11) 3 (8) (297) 85 (212) Balance at end of period $ 53,033 $ (15,117) $ 37,916 $ 25,153 $ (7,170) $ 17,983 Unrealized gains (losses) on cash flow hedges: Balance at beginning of period $ (3,633) $ 1,036 $ (2,597) $ — $ — $ — Unrealized holding gains (losses) on cash flow hedges, net 20 (6) 14 (837) 239 (598) Amounts reclassified from accumulated other comprehensive income, net 268 (76) 192 9 (3) 6 Balance at end of period $ (3,345) $ 954 $ (2,391) $ (828) $ 236 $ (592) Total accumulated other comprehensive income (loss) $ 49,688 $ (14,163) $ 35,525 $ 24,325 $ (6,934) $ 17,391 Nine Months Ended September 30, 2020 2019 Before Tax Tax Effect Net of Tax Before Tax Tax Effect Net of Tax Unrealized gains (losses) on debt securities available for sale: Balance at beginning of period $ 21,192 $ (6,032) $ 15,160 $ (9,528) $ 2,716 $ (6,812) Unrealized holding gains (losses) on debt securities available for sale, net 33,551 (9,577) 23,974 30,005 (8,552) 21,453 Unrealized losses on debt securities transferred from held to maturity to available for sale — — — 4,780 (1,363) 3,417 Amounts reclassified from accumulated other comprehensive income, net (1,710) 492 (1,218) (104) 29 (75) Balance at end of period $ 53,033 $ (15,117) $ 37,916 $ 25,153 $ (7,170) $ 17,983 Unrealized gains (losses) on cash flow hedges: Balance at beginning of period $ (280) $ 80 $ (200) $ — $ — $ — Unrealized holding gains (losses) on cash flow hedges, net (3,123) 890 (2,233) (837) 239 (598) Amounts reclassified from accumulated other comprehensive income, net 58 (16) 42 9 (3) 6 Balance at end of period $ (3,345) $ 954 $ (2,391) $ (828) $ 236 $ (592) Total accumulated other comprehensive income (loss) $ 49,688 $ (14,163) $ 35,525 $ 24,325 $ (6,934) $ 17,391

Share-based Compensation (Table

Share-based Compensation (Tables)	9 Months Ended
Share-based Compensation (Tables)	Sep. 30, 2020
Share-based Compensation
Schedule of status of and changes in the Company's stock option awards	A summary of the status of and changes in the Company's stock option awards for the nine months ended September 30, 2020 follows: Weighted- Weighted- Average Average Exercise Remaining Contractual Shares Price Term Outstanding at beginning of period 53,185 $ 22.00 Exercised (12,956) 22.73 Forfeited — — Expired (1,144) 21.35 Outstanding at end of period 39,085 $ 23.53 6.13 Exercisable at end of period 39,085 $ 23.53 6.13
Summary of the changes in company deferred stock units	A summary of the changes in the Company’s restricted stock unit and deferred stock unit awards for the nine months ended September 30, 2020, is as follows: Weighted- Director Weighted- Restricted Average Deferred Average Stock Grant Date Stock Grant Date Units Fair Value Units Fair Value Non-vested at beginning of period 778,317 $ 27.27 21,261 $ 26.78 Granted 384,343 17.26 33,419 17.17 Dividend equivalents earned 29,265 19.21 3,235 19.35 Vested (117,641) 21.38 (24,066) 25.95 Forfeited (66,132) 26.42 — — Non-vested at end of period 1,008,152 $ 23.97 33,849 $ 17.17 Outstanding at end of period 1,008,152 $ 23.97 70,186 $ 24.41

Outstanding Commitments and C_2

Outstanding Commitments and Contingent Liabilities (Tables)	9 Months Ended
Outstanding Commitments and Contingent Liabilities (Tables)	Sep. 30, 2020
Outstanding Commitments and Contingent Liabilities
Schedule of contractual amount of exposure to off-balance-sheet risk	A summary of the contractual amount of the Company’s exposure to off-balance-sheet risk relating to the Company’s commitments to extend credit and standby letters of credit follows (dollars in thousands) : September 30, 2020 December 31, 2019 Financial instruments whose contract amounts represent credit risk: Commitments to extend credit $ 1,721,099 $ 1,649,565 Standby letters of credit 41,791 42,581

Regulatory Capital (Tables)

Regulatory Capital (Tables)	9 Months Ended
Regulatory Capital (Tables)	Sep. 30, 2020
Regulatory Capital
Schedule of applicable holding company and bank regulatory capital requirements	The following tables summarize the applicable holding company and bank regulatory capital requirements (dollars in thousands) : Minimum Minimum To Be Well Actual Capital Requirement Capitalized Amount Ratio Amount Ratio Amount Ratio As of September 30, 2020: Total Capital (to Risk Weighted Assets) Consolidated $ 1,225,719 16.63 % $ 589,691 8.00 % $ 737,114 10.00 % Busey Bank $ 1,095,863 14.89 % $ 588,690 8.00 % $ 735,862 10.00 % Tier 1 Capital (to Risk Weighted Assets) Consolidated $ 964,399 13.08 % $ 442,268 6.00 % $ 589,691 8.00 % Busey Bank $ 1,019,543 13.86 % $ 441,517 6.00 % $ 588,690 8.00 % Common Equity Tier 1 Capital (to Risk Weighted Assets) Consolidated $ 890,399 12.08 % $ 331,701 4.50 % $ 479,124 6.50 % Busey Bank $ 1,019,543 13.86 % $ 331,138 4.50 % $ 478,310 6.50 % Tier 1 Capital (to Average Assets) Consolidated $ 964,399 9.39 % $ 410,850 4.00 % N/A N/A Busey Bank $ 1,019,543 9.93 % $ 410,669 4.00 % $ 513,336 5.00 % Minimum Minimum To Be Well Actual Capital Requirement Capitalized Amount Ratio Amount Ratio Amount Ratio As of December 31, 2019: Total Capital (to Risk Weighted Assets) Consolidated $ 1,036,143 14.03 % $ 590,826 8.00 % $ 738,532 10.00 % Busey Bank $ 1,099,449 14.92 % $ 589,681 8.00 % $ 737,101 10.00 % Tier 1 Capital (to Risk Weighted Assets) Consolidated $ 922,395 12.49 % $ 443,120 6.00 % $ 590,826 8.00 % Busey Bank $ 1,045,701 14.19 % $ 442,261 6.00 % $ 589,681 8.00 % Common Equity Tier 1 Capital (to Risk Weighted Assets) Consolidated $ 848,395 11.49 % $ 332,340 4.50 % $ 480,046 6.50 % Busey Bank $ 1,045,701 14.19 % $ 331,696 4.50 % $ 479,116 6.50 % Tier 1 Capital (to Average Assets) Consolidated $ 922,395 9.88 % $ 373,360 4.00 % N/A N/A Busey Bank $ 1,045,701 11.19 % $ 373,639 4.00 % $ 467,049 5.00 %

Operating Segments and Relate_2

Operating Segments and Related Information (Tables)	9 Months Ended
Operating Segments and Related Information (Tables)	Sep. 30, 2020
Operating Segments and Related Information
Summary of information relating to operating segments	Following is a summary of selected financial information for the Company’s operating segments (dollars in thousands) : Goodwill Total Assets September 30, 2020 December 31, 2019 September 30, 2020 December 31, 2019 Banking $ 288,436 $ 288,436 $ 10,457,479 $ 9,632,368 Remittance Processing 8,992 8,992 46,124 44,209 Wealth Management 14,108 14,108 42,593 32,760 Other — — (6,568) (13,608) Totals $ 311,536 $ 311,536 $ 10,539,628 $ 9,695,729 Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Net interest income: Banking $ 73,330 $ 75,955 $ 218,221 $ 222,537 Remittance Processing 21 20 59 56 Wealth Management — — — — Other (3,598) (2,499) (8,281) (7,306) Total net interest income $ 69,753 $ 73,476 $ 209,999 $ 215,287 Non-interest income: Banking $ 18,523 $ 18,301 $ 45,717 $ 46,743 Remittance Processing 4,287 4,088 12,318 12,386 Wealth Management 10,662 8,994 32,681 27,721 Other (1,187) (447) (2,950) (2,073) Total non-interest income $ 32,285 $ 30,936 $ 87,766 $ 84,777 Non-interest expense: Banking $ 44,863 $ 56,593 $ 135,037 $ 158,659 Remittance Processing 3,523 2,746 9,669 8,099 Wealth Management 6,497 6,043 19,725 17,356 Other 1,659 2,739 5,693 9,190 Total non-interest expense $ 56,542 $ 68,121 $ 170,124 $ 193,304 Income before income taxes: Banking $ 41,441 $ 34,252 $ 93,245 $ 102,582 Remittance Processing 785 1,362 2,708 4,343 Wealth Management 4,165 2,951 12,956 10,365 Other (6,444) (5,685) (16,924) (18,569) Total income before income taxes $ 39,947 $ 32,880 $ 91,985 $ 98,721 Net income: Banking $ 31,744 $ 25,731 $ 72,653 $ 76,837 Remittance Processing 578 972 1,966 3,102 Wealth Management 3,166 2,184 9,847 7,670 Other (4,659) (4,059) (12,467) (13,227) Total net income $ 30,829 $ 24,828 $ 71,999 $ 74,382

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	9 Months Ended
Derivative Financial Instruments (Tables)	Sep. 30, 2020
Summary of the interest-rate swaps designated as cash flow hedges	A summary of the interest-rate swaps designated as cash flow hedges is presented below (dollars in thousands) : September 30, 2020 December 31, 2019 Notional amount $ 70,000 $ 70,000 Weighted average fixed pay rates 1.80 % 1.80 % Weighted average variable 3 month LIBOR receive rates 0.25 % 1.90 % Weighted average maturity 3.11 yrs 3.86 yrs Unrealized gains (losses), net of tax $ (2,391) $ (200)
Interest rate swap
Summary of fair values of derivative assets and liabilities recorded in consolidated balance sheet	The fair values of derivative assets and liabilities related to derivatives for customers for interest rate swaps recorded in the unaudited Consolidated Balance Sheets are summarized as follows (dollars in thousands) : September 30, 2020 December 31, 2019 Fair value recorded in other assets $ 38,144 $ 12,354 Fair value recorded in other liabilities 38,144 12,354
Summary of gross gains and losses on derivative assets and liabilities recorded in non-interest income and expense in consolidated statements of income	The changes in fair value of these derivative assets and liabilities is recorded in non-interest expense in the unaudited Consolidated Statements of Income and summarized as follows (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Interest rate swaps - pay floating, receive fixed $ (549) $ 4,695 $ 25,790 $ 15,205 Interest rate swaps - pay fixed, receive floating 549 (4,695) (25,790) (15,205) Total $ — $ — $ — $ —
Interest rate contract
Summary of gross gains and losses on derivative assets and liabilities recorded in non-interest income and expense in consolidated statements of income	The following table presents the net gains (losses) recorded in accumulated other comprehensive income (loss) and the unaudited Consolidated Statements of Income relating to cash flow derivative instruments for the period presented (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, Interest rate contracts 2020 2019 2020 2019 Amount of gain (loss) recognized in OCI $ 14 $ (598) $ (2,233) $ (598) Amount of (gain) loss reclassified from OCI to interest expense 192 6 42 6
Interest rate lock commitments and forward sales commitments
Summary of fair values of derivative assets and liabilities recorded in consolidated balance sheet	The fair values of derivative assets and liabilities related to interest rate lock commitments and forward sales commitments recorded in the unaudited Consolidated Balance Sheets are summarized as follows (dollars in thousands) : September 30, 2020 December 31, 2019 Fair value recorded in other assets $ 1,567 $ 1,046 Fair value recorded in other liabilities 4,036 2,187
Summary of gross gains and losses on derivative assets and liabilities recorded in non-interest income and expense in consolidated statements of income	The gross gains and losses on these derivative assets and liabilities related to interest rate lock commitments and forward sales commitments recorded in non-interest income in the unaudited Consolidated Statements of Income are summarized as follows (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, 2020 2019 2020 2019 Gross gains $ 4,014 $ 1,655 $ 15,379 $ 4,662 Gross (losses) (4,036) (1,706) (16,354) (4,773) Net gains (losses) $ (22) $ (51) $ (975) $ (111)

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	9 Months Ended
Fair Value Measurements (Tables)	Sep. 30, 2020
Fair Value Measurements
Schedule of financial assets and financial liabilities measured at fair value on a recurring basis	The following table summarizes financial assets and financial liabilities measured at fair value on a recurring basis, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value (dollars in thousands) : Level 1 Level 2 Level 3 Total September 30, 2020 Inputs Inputs Inputs Fair Value Debt securities available for sale U.S. Treasury securities $ — $ 29,937 $ — $ 29,937 Obligations of U.S. government corporations and agencies — 78,478 — 78,478 Obligations of states and political subdivisions — 316,120 — 316,120 Commercial mortgage-backed securities — 357,243 — 357,243 Residential mortgage-backed securities — 1,218,526 — 1,218,526 Corporate debt securities — 80,545 — 80,545 Equity securities 13,119 4,689 — 17,808 Loans held for sale — 87,772 — 87,772 Derivative assets — 39,711 — 39,711 Derivative liabilities — 45,525 — 45,525 Level 1 Level 2 Level 3 Total December 31, 2019 Inputs Inputs Inputs Fair Value Debt securities available for sale U.S. Treasury securities $ — $ 51,737 $ — $ 51,737 Obligations of U.S. government corporations and agencies — 163,000 — 163,000 Obligations of states and political subdivisions — 268,291 — 268,291 Commercial mortgage-backed securities — 139,287 — 139,287 Residential mortgage-backed securities — 921,966 — 921,966 Corporate debt securities — 103,976 — 103,976 Equity securities — 5,952 — 5,952 Loans held for sale — 68,699 — 68,699 Derivative assets — 13,400 — 13,400 Derivative liabilities — 14,821 — 14,821
Schedule of assets and liabilities measured at fair value on a non-recurring basis	The following table summarizes assets and liabilities measured at fair value on a non-recurring basis, segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value (dollars in thousands) : Level 1 Level 2 Level 3 Total Inputs Inputs Inputs Fair Value September 30, 2020 Loans evaluated individually $ — $ — $ 3,869 $ 3,869 OREO — — 79 79 Bank property held for sale — — 3,594 3,594 December 31, 2019 Loans evaluated individually $ — $ — $ 2,686 $ 2,686 OREO — — 55 55 Bank property held for sale — — 4,004 4,004
Schedule of quantitative information about Level 3 fair value measurements	The following table presents additional quantitative information about assets measured at fair value on a non-recurring basis for which the Company has utilized level 3 inputs to determine fair value (dollars in thousands) : Quantitative Information about Level 3 Fair Value Measurements Fair Value Valuation Unobservable Range Estimate Techniques Input (Weighted Average) September 30, 2020 Loans evaluated individually $ 3,869 Appraisal of collateral Appraisal adjustments -20.0% to -100% (-38.3)% OREO 79 Appraisal of collateral Appraisal adjustments -25.0% to -100% (-64.5)% Bank property held for sale 3,594 Appraisal of collateral or real estate listing price Appraisal adjustments -6.2% to -64.9% (-23.9)% December 31, 2019 Loans evaluated individually $ 2,686 Appraisal of collateral Appraisal adjustments -2.9% to -100% (-57.8)% OREO 55 Appraisal of collateral Appraisal adjustments -25.0% to -100% (-65.0)% Bank property held for sale 4,004 Appraisal of collateral or real estate listing price Appraisal adjustments -6.2% to -71.3% (-40.7)%
Schedule of estimated fair values of financial instruments	Quantitative Information about Level 3 Fair Value Measurements Fair Value Valuation Unobservable Range Estimate Techniques Input (Weighted Average) September 30, 2020 Loans evaluated individually $ 3,869 Appraisal of collateral Appraisal adjustments -20.0% to -100% (-38.3)% OREO 79 Appraisal of collateral Appraisal adjustments -25.0% to -100% (-64.5)% Bank property held for sale 3,594 Appraisal of collateral or real estate listing price Appraisal adjustments -6.2% to -64.9% (-23.9)% December 31, 2019 Loans evaluated individually $ 2,686 Appraisal of collateral Appraisal adjustments -2.9% to -100% (-57.8)% OREO 55 Appraisal of collateral Appraisal adjustments -25.0% to -100% (-65.0)% Bank property held for sale 4,004 Appraisal of collateral or real estate listing price Appraisal adjustments -6.2% to -71.3% (-40.7)%

Leases (Tables)

Leases (Tables)	9 Months Ended
Leases (Tables)	Sep. 30, 2020
Leases
Schedule of lease costs and other lease information	The following tables represents lease costs and other lease information for the periods presented (dollars in thousands) : Three Months Ended September 30, Nine Months Ended September 30, Lease Costs 2020 2019 2020 2019 Operating lease costs $ 622 $ 619 $ 1,877 $ 1,736 Variable lease costs 99 133 401 363 Short-term lease costs 15 46 45 69 Sublease income - - - - Net lease cost $ 736 $ 798 $ 2,323 $ 2,168 Other information Cash paid for amounts included in the measurement of lease liabilities: Operating lease cash flows – Fixed payments $ 616 $ 605 $ 1,839 $ 1,688 Operating lease cash flows – Liability reduction 546 526 1,610 1,479 Right of use assets obtained during the period in exchange for operating lease liabilities — 159 128 923 Weighted average lease term (in years) 6.43 6.73 6.43 6.73 Weighted average discount rate 3.08% 3.04% 3.08% 3.04%
Schedule of future rent commitments	Rent commitments were as follows (dollars in thousands) : As of September 30, 2020 Remainder of 2020 $ 542 2021 1,693 2022 1,288 2023 1,129 2024 894 Thereafter 2,647 Amounts representing interest (851) Present value of net future minimum lease payments $ 7,342

Significant Accounting Polici_4

Significant Accounting Policies - Impacts of COVID-19 (Details) $ in Millions	Jun. 01, 2020USD ($)	Sep. 30, 2020USD ($)	Jun. 30, 2020USD ($)	Sep. 30, 2020USD ($)customer
Paycheck Protection Program
Paycheck Protection Program ("PPP")
Loans outstanding		$ 749.4		$ 749.4
Amortized cost of the loans outstanding		736.4		$ 736.4
New and existing customers \| customer				4,569
Loans outstanding, fees received				$ 25.4
Incurred incremental direct origination costs		5.1		$ 5.1
Net interest income		$ 4.2	$ 3
Percentage of remaining loan maintains government guarantee		100.00%		100.00%
Loan forgiveness				$ 0
5.25% fixed-to-floating rate notes due 2030 \| Subordinated debt
Impacts of COVID-19
Proceeds from public offering	$ 125		$ 125
Interest rate (as a percent)			5.25%

Significant Accounting Polici_5

Significant Accounting Policies - Subsequent Events (Details) - Subsequent event $ in Millions	3 Months Ended
	Dec. 31, 2020USD ($)Center
Subsequent Event [Line Items]
Number of banking centers consolidated \| Center	12
Minimum
Subsequent Event [Line Items]
Non-operating pre-tax expenses	$ 7
Maximum
Subsequent Event [Line Items]
Non-operating pre-tax expenses	$ 7.5

Significant Accounting Polici_6

Significant Accounting Policies - Impact of new financial accounting standards (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Jun. 30, 2020	Jan. 01, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Recently Issued Accounting Standards
Change in Accounting Principle, Accounting Standards Update, Adopted [true false]			true
Stockholders' Equity Attributable to Parent	$ 1,255,705	$ 1,236,084		$ 1,220,434	$ 1,215,981	$ 1,203,608	$ 994,964
Right of use asset	7,251			9,490
Lease liability	7,342			9,552
Retained Earnings (Accumulated Deficit)	4,718			$ (14,813)
Cumulative Effect, Period of Adoption, Adjustment
Recently Issued Accounting Standards
Stockholders' Equity Attributable to Parent	$ (15,922)
Retained Earnings (Accumulated Deficit)			$ (15,900)
Cumulative Effect, Period of Adoption, Adjustment \| Allowance for credit losses on loans
Recently Issued Accounting Standards
Retained Earnings (Accumulated Deficit)			(12,000)
Cumulative Effect, Period of Adoption, Adjustment \| Reserve for off-balance-sheet credit exposures
Recently Issued Accounting Standards
Retained Earnings (Accumulated Deficit)			$ (3,900)

Significant Accounting Polici_7

Significant Accounting Policies - Impact of Topic 326 (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Jan. 01, 2020
Allowance-debt securities available for sale
Accrued interest receivable for debt securities available for sale debt	$ 6,900
Accounting Standards Update 2016-13
Assets
Portfolio Loans, allowance for loan losses (in dollars)		$ 53,748
Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjusted Balance
Assets
Portfolio Loans, allowance for loan losses (in dollars)		70,581
Liabilities
Reserve for off-balance-sheet credit exposures		5,492
Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Assets
Portfolio Loans, allowance for loan losses (in dollars)		16,833
Liabilities
Reserve for off-balance-sheet credit exposures		5,492
Commercial Loans \| Accounting Standards Update 2016-13
Assets
Portfolio Loans, allowance for loan losses (in dollars)		18,291
Commercial Loans \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjusted Balance
Assets
Portfolio Loans, allowance for loan losses (in dollars)		19,006
Commercial Loans \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Assets
Portfolio Loans, allowance for loan losses (in dollars)		715
Commercial Real Estate Loans \| Accounting Standards Update 2016-13
Assets
Portfolio Loans, allowance for loan losses (in dollars)		21,190
Commercial Real Estate Loans \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjusted Balance
Assets
Portfolio Loans, allowance for loan losses (in dollars)		30,496
Commercial Real Estate Loans \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Assets
Portfolio Loans, allowance for loan losses (in dollars)		9,306
Real Estate Construction \| Accounting Standards Update 2016-13
Assets
Portfolio Loans, allowance for loan losses (in dollars)		3,204
Real Estate Construction \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjusted Balance
Assets
Portfolio Loans, allowance for loan losses (in dollars)		6,158
Real Estate Construction \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Assets
Portfolio Loans, allowance for loan losses (in dollars)		2,954
Retail Real Estate \| Accounting Standards Update 2016-13
Assets
Portfolio Loans, allowance for loan losses (in dollars)		10,495
Retail Real Estate \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjusted Balance
Assets
Portfolio Loans, allowance for loan losses (in dollars)		13,787
Retail Real Estate \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Assets
Portfolio Loans, allowance for loan losses (in dollars)		3,292
Retail Other \| Accounting Standards Update 2016-13
Assets
Portfolio Loans, allowance for loan losses (in dollars)		568
Retail Other \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjusted Balance
Assets
Portfolio Loans, allowance for loan losses (in dollars)		1,134
Retail Other \| Accounting Standards Update 2016-13 \| Cumulative Effect, Period of Adoption, Adjustment
Assets
Portfolio Loans, allowance for loan losses (in dollars)		$ 566

Acquisitions - The Banc Ed Corp

Acquisitions - The Banc Ed Corp. (Details) $ / shares in Units, $ in Thousands, shares in Millions	Aug. 21, 2019$ / shares	Jan. 31, 2019USD ($)$ / sharesshares	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)$ / shares	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)$ / shares	Dec. 31, 2019USD ($)
Consideration paid
Goodwill			$ 311,536		$ 311,536		$ 311,536
Non-interest expense
Merger agreement
Business acquisition expenses			200		200
Banc Ed
Merger agreement
Share consideration conversion ratio	8.2067
Per share cash consideration entitled (in dollars per share) \| $ / shares	$ 111.53
Number of common shares issued for acquisition \| shares		6.7
Market value of common stock issued		$ 166,500
Share price \| $ / shares		$ 24.76
Goodwill acquired		$ 41,400
Business acquisition expenses				$ 6,500		$ 11,500
Assets acquired:
Cash and cash equivalents		42,013
Securities		692,716
Loans held for sale		2,157
Portfolio loans		873,336
Premises and equipment		32,156
Other intangible assets		32,617
Mortgage servicing rights		6,946
Other assets		57,332
Total assets acquired		1,739,273
Liabilities assumed:
Deposits		1,439,203
Other borrowings		63,439
Other liabilities		20,153
Total liabilities assumed		1,522,795
Net assets acquired		216,478
Consideration paid
Cash		91,400
Common stock		166,515
Total consideration paid		257,915
Goodwill		$ 41,437
Banc Ed \| Pro Forma
Consideration paid
Total revenues (net interest income plus non-interest income)				104,543		305,709
Net income				$ 30,811		$ 84,742
Diluted earnings per common share (in dollars per share) \| $ / shares				$ 0.55		$ 1.51
IST \| Non-interest expense
Merger agreement
Business acquisition expenses			$ 100	$ 500	$ 400	$ 700

Securities - General Disclosure

Securities - General Disclosures (Details) - USD ($)	3 Months Ended		9 Months Ended
Securities - General Disclosures (Details) - USD ($)	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Debt Securities
Equity securities consisting of common stock and money market mutual funds, fair value	$ 17,808,000		$ 17,808,000		$ 5,952,000
Unrealized gains (losses) recognized on equity securities	(437,000)	$ 65,000	(1,234,000)	$ (735,000)
Debt securities available for sale
Amortized Cost	2,027,816,000		2,027,816,000		1,627,065,000
Gross Unrealized Gains	53,509,000		53,509,000		22,021,000
Gross Unrealized Losses	(476,000)		(476,000)		(829,000)
Fair Value	2,080,849,000		2,080,849,000		1,648,257,000
Debt securities available for sale, Amortized Cost
Due in one year or less	148,312,000		148,312,000
Due after one year through five years	210,254,000		210,254,000
Due after five years through ten years	260,947,000		260,947,000
Due after ten years	1,408,303,000		1,408,303,000
Amortized Cost	2,027,816,000		2,027,816,000		1,627,065,000
Debt securities available for sale, Fair Value
Due in one year or less	149,872,000		149,872,000
Due after one year through five years	219,106,000		219,106,000
Due after five years through ten years	272,794,000		272,794,000
Due after ten years	1,439,077,000		1,439,077,000
Fair Value	2,080,849,000		2,080,849,000		1,648,257,000
Realized gains and losses related to sales and calls of securities AFS
Gross security gains	11,000	298,000	1,718,000	689,000
Gross security (losses)		(1,000)	(8,000)	(585,000)
Net gains (losses) on sales of securities	11,000	$ 297,000	1,710,000	$ 104,000
Debt securities available for sale, Fair Value
Continuous unrealized losses existing for less than 12 months, gross	217,361,000		217,361,000		122,991,000
Continuous unrealized losses existing for greater than 12 months, gross	6,317,000		6,317,000		53,851,000
Total, gross	223,678,000		223,678,000		176,842,000
Debt securities available for sale, Unrealized Losses
Continuous unrealized losses existing for less than 12 months, gross	(418,000)		(418,000)		(448,000)
Continuous unrealized losses existing greater than 12 months, gross	(58,000)		(58,000)		(381,000)
Total, gross	$ (476,000)		$ (476,000)		(829,000)
Security portfolio evaluated for other-than-temporary impairment	1,190		1,190
Number of securities in unrealized loss position	37		37
Securities in unrealized loss position as a percentage of aggregate carrying value of investments	0.21%		0.21%
Collateral
Realized gains and losses related to sales and calls of securities AFS
Carrying amount of investment securities pledged as collateral	$ 591,700,000		$ 591,700,000		704,400,000
U.S. Treasury securities
Debt securities available for sale
Amortized Cost	29,442,000		29,442,000		51,472,000
Gross Unrealized Gains	495,000		495,000		265,000
Fair Value	29,937,000		29,937,000		51,737,000
Debt securities available for sale, Amortized Cost
Amortized Cost	29,442,000		29,442,000		51,472,000
Debt securities available for sale, Fair Value
Fair Value	29,937,000		29,937,000		51,737,000
Obligations of U.S. government corporations and agencies
Debt securities available for sale
Amortized Cost	76,021,000		76,021,000		160,364,000
Gross Unrealized Gains	2,512,000		2,512,000		2,684,000
Gross Unrealized Losses	(55,000)		(55,000)		(48,000)
Fair Value	78,478,000		78,478,000		163,000,000
Debt securities available for sale, Amortized Cost
Amortized Cost	76,021,000		76,021,000		160,364,000
Debt securities available for sale, Fair Value
Fair Value	78,478,000		78,478,000		163,000,000
Debt securities available for sale, Fair Value
Continuous unrealized losses existing for less than 12 months, gross					6,362,000
Continuous unrealized losses existing for greater than 12 months, gross	5,479,000		5,479,000
Total, gross	5,479,000		5,479,000		6,362,000
Debt securities available for sale, Unrealized Losses
Continuous unrealized losses existing for less than 12 months, gross					(48,000)
Continuous unrealized losses existing greater than 12 months, gross	(55,000)		(55,000)
Total, gross	(55,000)		(55,000)		(48,000)
Obligations of states and political subdivisions
Debt securities available for sale
Amortized Cost	304,749,000		304,749,000		262,492,000
Gross Unrealized Gains	11,380,000		11,380,000		5,810,000
Gross Unrealized Losses	(9,000)		(9,000)		(11,000)
Fair Value	316,120,000		316,120,000		268,291,000
Debt securities available for sale, Amortized Cost
Amortized Cost	304,749,000		304,749,000		262,492,000
Debt securities available for sale, Fair Value
Fair Value	316,120,000		316,120,000		268,291,000
Debt securities available for sale, Fair Value
Continuous unrealized losses existing for less than 12 months, gross	3,810,000		3,810,000		4,981,000
Continuous unrealized losses existing for greater than 12 months, gross					1,548,000
Total, gross	3,810,000		3,810,000		6,529,000
Debt securities available for sale, Unrealized Losses
Continuous unrealized losses existing for less than 12 months, gross	(9,000)		(9,000)		(11,000)
Total, gross	(9,000)		(9,000)		(11,000)
Commercial mortgage-backed securities
Debt securities available for sale
Amortized Cost	346,543,000		346,543,000		137,733,000
Gross Unrealized Gains	10,804,000		10,804,000		1,700,000
Gross Unrealized Losses	(104,000)		(104,000)		(146,000)
Fair Value	357,243,000		357,243,000		139,287,000
Debt securities available for sale, Amortized Cost
Amortized Cost	346,543,000		346,543,000		137,733,000
Debt securities available for sale, Fair Value
Fair Value	357,243,000		357,243,000		139,287,000
Debt securities available for sale, Fair Value
Continuous unrealized losses existing for less than 12 months, gross	53,690,000		53,690,000		33,322,000
Continuous unrealized losses existing for greater than 12 months, gross					2,044,000
Total, gross	53,690,000		53,690,000		35,366,000
Debt securities available for sale, Unrealized Losses
Continuous unrealized losses existing for less than 12 months, gross	(104,000)		(104,000)		(144,000)
Continuous unrealized losses existing greater than 12 months, gross					(2,000)
Total, gross	(104,000)		(104,000)		(146,000)
Residential mortgage-backed securities
Debt securities available for sale
Amortized Cost	1,192,131,000		1,192,131,000		912,308,000
Gross Unrealized Gains	26,699,000		26,699,000		10,282,000
Gross Unrealized Losses	(304,000)		(304,000)		(624,000)
Fair Value	1,218,526,000		1,218,526,000		921,966,000
Debt securities available for sale, Amortized Cost
Amortized Cost	1,192,131,000		1,192,131,000		912,308,000
Debt securities available for sale, Fair Value
Fair Value	1,218,526,000		1,218,526,000		921,966,000
Debt securities available for sale, Fair Value
Continuous unrealized losses existing for less than 12 months, gross	152,298,000		152,298,000		78,326,000
Continuous unrealized losses existing for greater than 12 months, gross	838,000		838,000		50,259,000
Total, gross	153,136,000		153,136,000		128,585,000
Debt securities available for sale, Unrealized Losses
Continuous unrealized losses existing for less than 12 months, gross	(301,000)		(301,000)		(245,000)
Continuous unrealized losses existing greater than 12 months, gross	(3,000)		(3,000)		(379,000)
Total, gross	(304,000)		(304,000)		(624,000)
Corporate debt securities
Debt securities available for sale
Amortized Cost	78,930,000		78,930,000		102,696,000
Gross Unrealized Gains	1,619,000		1,619,000		1,280,000
Gross Unrealized Losses	(4,000)		(4,000)
Fair Value	80,545,000		80,545,000		103,976,000
Debt securities available for sale, Amortized Cost
Amortized Cost	78,930,000		78,930,000		102,696,000
Debt securities available for sale, Fair Value
Fair Value	80,545,000		80,545,000		$ 103,976,000
Debt securities available for sale, Fair Value
Continuous unrealized losses existing for less than 12 months, gross	7,563,000		7,563,000
Total, gross	7,563,000		7,563,000
Debt securities available for sale, Unrealized Losses
Continuous unrealized losses existing for less than 12 months, gross	(4,000)		(4,000)
Total, gross	$ (4,000)		$ (4,000)

Portfolio loans - Distribution

Portfolio loans - Distribution of portfolio loans (Details) - USD ($) $ in Thousands	3 Months Ended			9 Months Ended	12 Months Ended
	Sep. 30, 2020	Jun. 30, 2020	Mar. 31, 2020	Sep. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Jun. 30, 2019	Dec. 31, 2018
Distributions of portfolio loans
Portfolio loans	$ 7,121,311			$ 7,121,311	$ 6,687,249
Allowance for loan losses	(98,841)	$ (96,046)		(98,841)	(53,748)	$ (52,965)	$ (51,375)	$ (50,648)
Portfolio loans, net	7,022,470			7,022,470	6,633,501
Net deferred loan origination costs	6,000			6,000	6,200
Net accretable purchase accounting adjustments				13,200	20,200
Commercial Loans
Distributions of portfolio loans
Portfolio loans	2,281,031			2,281,031	1,748,368
Allowance for loan losses	(24,363)	(24,146)		(24,363)	(18,291)	(16,526)	(16,733)	(17,829)
Commercial Real Estate Loans
Distributions of portfolio loans
Portfolio loans	2,912,408			2,912,408	2,793,417
Allowance for loan losses	(45,917)	(42,680)		(45,917)	(21,190)	(22,220)	(20,188)	(21,137)
Real Estate Construction
Distributions of portfolio loans
Portfolio loans	407,266			407,266	401,861
Allowance for loan losses	(7,419)	(7,792)		(7,419)	(3,204)	(3,110)	(3,305)	(2,723)
Retail Real Estate
Distributions of portfolio loans
Portfolio loans	1,480,520			1,480,520	1,693,769
Allowance for loan losses	(20,184)	(20,405)		(20,184)	(10,495)	(10,522)	(10,613)	(8,471)
Loans purchased	0	0	$ 43,900
Retail Other
Distributions of portfolio loans
Portfolio loans	40,086			40,086	49,834
Allowance for loan losses	(958)	$ (1,023)		(958)	$ (568)	$ (587)	$ (536)	$ (488)
Paycheck Protection Program
Distributions of portfolio loans
Amortized cost of the loans outstanding	$ 736,400			$ 736,400

Portfolio loans - Narrative (De

Portfolio loans - Narrative (Details) $ in Thousands	3 Months Ended		9 Months Ended
Portfolio loans - Narrative (Details) $ in Thousands	Sep. 30, 2020USD ($)loan	Sep. 30, 2019USD ($)loan	Sep. 30, 2020USD ($)loan	Sep. 30, 2019USD ($)loan
Distributions of portfolio loans
Gross interest income that would have been recorded if impaired loans had been current	$ 500	$ 500	$ 1,400	$ 1,600
TDRs subsequently classified as non-performing and had payment defaults \| loan	0		0
Commercial Real Estate Loans
Distributions of portfolio loans
Loans classified as a TDR				$ 3,200
TDRs subsequently classified as non-performing and had payment defaults \| loan				1
Retail Real Estate
Distributions of portfolio loans
Loans in the process of foreclosure			$ 1,200
Maximum \| Commercial Real Estate Loans
Distributions of portfolio loans
Limit where loans are processed through an expedited underwriting process			1,000
Watch \| Commercial Loans
Distributions of portfolio loans
Limit above which loans are annually reviewed			1,000
Special Mention
Distributions of portfolio loans
Limit above which loans are annually reviewed			350
In compliance with modified terms \| Commercial Loans
Distributions of portfolio loans
Loans classified as a TDR				$ 600
Performing loans classified as TDRs \| loan				1
In compliance with modified terms \| Commercial Loans \| Short Term Interest Rate Relief
Distributions of portfolio loans
Loans classified as a TDR		$ 300		$ 300
Performing loans classified as TDRs \| loan		1		1
In compliance with modified terms \| Retail Real Estate
Distributions of portfolio loans
Loans classified as a TDR	$ 200		$ 400
Performing loans classified as TDRs \| loan	1		2

Portfolio loans - Summary of ri

Portfolio loans - Summary of risk grades segregated by category (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans
Portfolio loans	$ 7,121,311	$ 6,687,249
Pass
Loans
Portfolio loans	6,421,496	5,997,126
Watch
Loans
Portfolio loans	439,044	413,876
Special Mention
Loans
Portfolio loans	158,929	181,107
Substandard
Loans
Portfolio loans	77,944	75,215
Substandard Non-accrual
Loans
Portfolio loans	23,898	27,896
Commercial
Loans
Portfolio loans	2,281,031
Commercial \| Pass
Loans
Portfolio loans	2,011,113	1,458,416
Commercial \| Watch
Loans
Portfolio loans	145,817	172,526
Commercial \| Special Mention
Loans
Portfolio loans	82,942	66,337
Commercial \| Substandard
Loans
Portfolio loans	33,247	41,273
Commercial \| Substandard Non-accrual
Loans
Portfolio loans	7,912	9,096
Commercial real estate
Loans
Portfolio loans	2,912,408
Commercial real estate \| Pass
Loans
Portfolio loans	2,541,455	2,477,398
Commercial real estate \| Watch
Loans
Portfolio loans	255,447	186,963
Commercial real estate \| Special Mention
Loans
Portfolio loans	71,315	105,487
Commercial real estate \| Substandard
Loans
Portfolio loans	37,052	26,204
Commercial real estate \| Substandard Non-accrual
Loans
Portfolio loans	7,139	9,178
Real estate construction
Loans
Portfolio loans	407,266
Real estate construction \| Pass
Loans
Portfolio loans	376,787	351,923
Real estate construction \| Watch
Loans
Portfolio loans	26,820	45,262
Real estate construction \| Special Mention
Loans
Portfolio loans	603	3,928
Real estate construction \| Substandard
Loans
Portfolio loans	2,797	737
Real estate construction \| Substandard Non-accrual
Loans
Portfolio loans	259	630
Retail Real Estate
Loans
Portfolio loans	1,480,520
Retail Real Estate \| Pass
Loans
Portfolio loans	1,452,145	1,661,691
Retail Real Estate \| Watch
Loans
Portfolio loans	10,960	9,125
Retail Real Estate \| Special Mention
Loans
Portfolio loans	4,069	5,355
Retail Real Estate \| Substandard
Loans
Portfolio loans	4,848	7,001
Retail Real Estate \| Substandard Non-accrual
Loans
Portfolio loans	8,498	8,935
Retail Other
Loans
Portfolio loans	40,086
Retail Other \| Pass
Loans
Portfolio loans	39,996	47,698
Retail Other \| Substandard Non-accrual
Loans
Portfolio loans	90	57
Commercial Loans
Loans
Portfolio loans	2,281,031	1,748,368
Commercial Real Estate Loans
Loans
Portfolio loans	2,912,408	2,793,417
Real Estate Construction
Loans
Portfolio loans	407,266	401,861
Retail Real Estate
Loans
Portfolio loans	1,480,520	1,693,769
Retail Other
Loans
Portfolio loans	$ 40,086	$ 49,834

Portfolio loans - Risk grades o

Portfolio loans - Risk grades of portfolio loans by origination year (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans
Ending balance	$ 7,121,311	$ 6,687,249
Pass
Loans
Ending balance	6,421,496	5,997,126
Watch
Loans
Ending balance	439,044	413,876
Special Mention
Loans
Ending balance	158,929	181,107
Substandard
Loans
Ending balance	77,944	75,215
Substandard Non-accrual
Loans
Ending balance	23,898	27,896
Commercial
Loans
2020	1,068,734
2019	203,895
2018	139,632
2017	127,152
2016	79,541
Prior	117,060
Revolving loans	545,017
Ending balance	2,281,031
Commercial \| Pass
Loans
2020	1,029,324
2019	173,103
2018	117,434
2017	100,388
2016	67,473
Prior	87,096
Revolving loans	436,295
Ending balance	2,011,113	1,458,416
Commercial \| Watch
Loans
2020	24,601
2019	21,566
2018	16,918
2017	14,606
2016	3,488
Prior	13,653
Revolving loans	50,985
Ending balance	145,817	172,526
Commercial \| Special Mention
Loans
2020	6,011
2019	2,572
2018	2,166
2017	7,181
2016	6,853
Prior	14,949
Revolving loans	43,210
Ending balance	82,942	66,337
Commercial \| Substandard
Loans
2020	8,450
2019	3,578
2018	2,528
2017	4,437
2016	935
Prior	1,292
Revolving loans	12,027
Ending balance	33,247	41,273
Commercial \| Substandard Non-accrual
Loans
2020	348
2019	3,076
2018	586
2017	540
2016	792
Prior	70
Revolving loans	2,500
Ending balance	7,912	9,096
Commercial real estate
Loans
2020	638,670
2019	657,742
2018	496,672
2017	489,529
2016	245,647
Prior	359,689
Revolving loans	24,459
Ending balance	2,912,408
Commercial real estate \| Pass
Loans
2020	557,205
2019	565,460
2018	425,448
2017	439,438
2016	215,498
Prior	315,026
Revolving loans	23,380
Ending balance	2,541,455	2,477,398
Commercial real estate \| Watch
Loans
2020	52,304
2019	71,844
2018	62,609
2017	28,787
2016	21,629
Prior	18,186
Revolving loans	88
Ending balance	255,447	186,963
Commercial real estate \| Special Mention
Loans
2020	8,429
2019	14,981
2018	5,479
2017	12,664
2016	6,096
Prior	23,170
Revolving loans	496
Ending balance	71,315	105,487
Commercial real estate \| Substandard
Loans
2020	19,809
2019	4,662
2018	1,197
2017	7,165
2016	2,137
Prior	1,587
Revolving loans	495
Ending balance	37,052	26,204
Commercial real estate \| Substandard Non-accrual
Loans
2020	923
2019	795
2018	1,939
2017	1,475
2016	287
Prior	1,720
Ending balance	7,139	9,178
Real estate construction
Loans
2020	128,757
2019	192,531
2018	63,144
2017	3,418
2016	889
Prior	1,871
Revolving loans	16,656
Ending balance	407,266
Real estate construction \| Pass
Loans
2020	107,927
2019	188,254
2018	60,326
2017	1,188
2016	568
Prior	1,868
Revolving loans	16,656
Ending balance	376,787	351,923
Real estate construction \| Watch
Loans
2020	17,661
2019	4,266
2018	2,515
2017	2,205
2016	173
Ending balance	26,820	45,262
Real estate construction \| Special Mention
Loans
2020	592
2019	11
Ending balance	603	3,928
Real estate construction \| Substandard
Loans
2020	2,577
2018	47
2017	25
2016	148
Ending balance	2,797	737
Real estate construction \| Substandard Non-accrual
Loans
2018	256
Prior	3
Ending balance	259	630
Retail Real Estate
Loans
2020	277,755
2019	183,070
2018	155,124
2017	159,871
2016	161,165
Prior	301,328
Revolving loans	242,207
Ending balance	1,480,520
Retail Real Estate \| Pass
Loans
2020	273,752
2019	180,799
2018	152,772
2017	158,192
2016	157,611
Prior	293,570
Revolving loans	235,449
Ending balance	1,452,145	1,661,691
Retail Real Estate \| Watch
Loans
2020	1,570
2019	2,090
2018	1,255
2017	320
2016	570
Prior	255
Revolving loans	4,900
Ending balance	10,960	9,125
Retail Real Estate \| Special Mention
Loans
2020	516
2018	70
2017	589
2016	1,975
Prior	919
Ending balance	4,069	5,355
Retail Real Estate \| Substandard
Loans
2020	1,642
2019	100
2018	330
2017	82
2016	770
Prior	1,655
Revolving loans	269
Ending balance	4,848	7,001
Retail Real Estate \| Substandard Non-accrual
Loans
2020	275
2019	81
2018	697
2017	688
2016	239
Prior	4,929
Revolving loans	1,589
Ending balance	8,498	8,935
Retail Other
Loans
2020	6,989
2019	10,702
2018	6,798
2017	3,338
2016	962
Prior	841
Revolving loans	10,456
Ending balance	40,086
Retail Other \| Pass
Loans
2020	6,974
2019	10,695
2018	6,798
2017	3,336
2016	961
Prior	777
Revolving loans	10,455
Ending balance	39,996	47,698
Retail Other \| Substandard Non-accrual
Loans
2020	15
2019	7
2017	2
2016	1
Prior	64
Revolving loans	1
Ending balance	90	57
Commercial Loans
Loans
Ending balance	2,281,031	1,748,368
Commercial Real Estate Loans
Loans
Ending balance	2,912,408	2,793,417
Real Estate Construction
Loans
Ending balance	407,266	401,861
Retail Real Estate
Loans
Ending balance	1,480,520	1,693,769
Retail Other
Loans
Ending balance	$ 40,086	$ 49,834

Portfolio loans - Analysis of l

Portfolio loans - Analysis of loans past due and still accruing or non-accrual status (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Loans past due
90+Days	$ 279	$ 1,611
Non-accrual Loans	23,898	27,896
30 to 59 Days
Loans past due
Loans past due, still accruing	4,831	8,820
60 to 89 Days
Loans past due
Loans past due, still accruing	1,877	5,451
Commercial
Loans past due
90+Days		199
Non-accrual Loans	7,912	9,096
Commercial \| 30 to 59 Days
Loans past due
Loans past due, still accruing	53	1,075
Commercial \| 60 to 89 Days
Loans past due
Loans past due, still accruing		1,014
Commercial real estate
Loans past due
90+Days		584
Non-accrual Loans	7,139	9,178
Commercial real estate \| 30 to 59 Days
Loans past due
Loans past due, still accruing	74	2,653
Commercial real estate \| 60 to 89 Days
Loans past due
Loans past due, still accruing	294	3,121
Real estate construction
Loans past due
Non-accrual Loans	259	630
Real estate construction \| 30 to 59 Days
Loans past due
Loans past due, still accruing		19
Retail Real Estate
Loans past due
90+Days	262	828
Non-accrual Loans	8,498	8,935
Retail Real Estate \| 30 to 59 Days
Loans past due
Loans past due, still accruing	4,606	5,021
Retail Real Estate \| 60 to 89 Days
Loans past due
Loans past due, still accruing	1,558	1,248
Retail Other
Loans past due
90+Days	17
Non-accrual Loans	90	57
Retail Other \| 30 to 59 Days
Loans past due
Loans past due, still accruing	98	52
Retail Other \| 60 to 89 Days
Loans past due
Loans past due, still accruing	$ 25	$ 68

Portfolio loans - Summary of TD

Portfolio loans - Summary of TDR loans (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Restructured loans
Total loans	$ 5,471	$ 5,707
In compliance with modified terms
Restructured loans
Total loans	3,927	5,005
30-89 days past due
Restructured loans
Total loans	291
Included in non-performing loans
Restructured loans
Total loans	$ 1,253	$ 702

Portfolio loans - Loans identif

Portfolio loans - Loans identified as impaired, segregated by category (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Loans identified as impaired
Unpaid Contractual Principal Balance	$ 30,365	$ 45,686
Recorded Investment with No Allowance	15,421	29,540
Recorded Investment with Allowance	6,273	7,539
Total Recorded Investment	21,694	37,079
Related Allowance	2,404	4,853
Average Recorded Investment	30,150	45,370
Collateral dependent loans secured by real estate or business assets	17,500
Commercial Loans
Loans identified as impaired
Unpaid Contractual Principal Balance	15,464	14,415
Recorded Investment with No Allowance	2,554	4,727
Recorded Investment with Allowance	5,205	5,026
Total Recorded Investment	7,759	9,753
Related Allowance	1,694	3,330
Average Recorded Investment	8,746	13,774
Commercial Real Estate Loans
Loans identified as impaired
Unpaid Contractual Principal Balance	9,047	14,487
Recorded Investment with No Allowance	7,737	9,883
Recorded Investment with Allowance	594	2,039
Total Recorded Investment	8,331	11,922
Related Allowance	236	1,049
Average Recorded Investment	11,613	16,678
Real Estate Construction
Loans identified as impaired
Unpaid Contractual Principal Balance	569	1,116
Recorded Investment with No Allowance	552	974
Total Recorded Investment	552	974
Average Recorded Investment	709	873
Retail Real Estate
Loans identified as impaired
Unpaid Contractual Principal Balance	5,285	15,581
Recorded Investment with No Allowance	4,578	13,898
Recorded Investment with Allowance	474	474
Total Recorded Investment	5,052	14,372
Related Allowance	474	474
Average Recorded Investment	9,059	14,003
Retail Other
Loans identified as impaired
Unpaid Contractual Principal Balance		87
Recorded Investment with No Allowance		58
Total Recorded Investment		58
Average Recorded Investment	$ 23	$ 42

Portfolio loans - Activity in t

Portfolio loans - Activity in the allowance for loan losses (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Dec. 31, 2019
Activity in the allowance for loan losses
Beginning balance	$ 96,046	$ 51,375	$ 53,748	$ 50,648
Provision for loan losses	5,549	3,411	35,656	8,039
Charged-off	(3,397)	(2,499)	(9,247)	(7,909)
Recoveries	643	678	1,851	2,187
Ending balance	98,841	52,965	98,841	52,965
Allowance for loan losses Ending balance attributed to:
Loans individually evaluated for impairment					$ 2,404	$ 4,853
Loans collectively evaluated for impairment					96,437	48,895
Ending balance	96,046	52,965	53,748	52,965	98,841	53,748
Loans:
Loans individually evaluated for impairment					19,137	34,031
Loans collectively evaluated for impairment					7,099,617	6,650,170
PCI loans evaluated for impairment					2,557	3,048
Ending balance					7,121,311	6,687,249
Commercial Loans
Activity in the allowance for loan losses
Beginning balance	24,146	16,733	18,291	17,829
Provision for loan losses	2,593	463	10,739	3,417
Charged-off	(2,500)	(817)	(5,682)	(5,187)
Recoveries	124	147	300	467
Ending balance	24,363	16,526	24,363	16,526
Allowance for loan losses Ending balance attributed to:
Loans individually evaluated for impairment					1,694	3,330
Loans collectively evaluated for impairment					22,669	14,961
Ending balance	24,363	16,526	18,291	17,829	24,363	18,291
Loans:
Loans individually evaluated for impairment					7,759	9,740
Loans collectively evaluated for impairment					2,273,272	1,738,615
PCI loans evaluated for impairment						13
Ending balance					2,281,031	1,748,368
Commercial Real Estate Loans
Activity in the allowance for loan losses
Beginning balance	42,680	20,188	21,190	21,137
Provision for loan losses	3,703	3,167	17,090	1,981
Charged-off	(569)	(1,168)	(1,833)	(1,183)
Recoveries	103	33	164	285
Ending balance	45,917	22,220	45,917	22,220
Allowance for loan losses Ending balance attributed to:
Loans individually evaluated for impairment					236	1,049
Loans collectively evaluated for impairment					45,681	20,141
Ending balance	45,917	22,220	45,917	22,220	45,917	21,190
Loans:
Loans individually evaluated for impairment					6,415	10,018
Loans collectively evaluated for impairment					2,904,077	2,781,495
PCI loans evaluated for impairment					1,916	1,904
Ending balance					2,912,408	2,793,417
Real Estate Construction
Activity in the allowance for loan losses
Beginning balance	7,792	3,305	3,204	2,723
Provision for loan losses	(381)	(359)	1,082	54
Charged-off	(18)		(18)
Recoveries	26	164	197	333
Ending balance	7,419	3,110	7,419	3,110
Allowance for loan losses Ending balance attributed to:
Loans collectively evaluated for impairment					7,419	3,204
Ending balance	7,419	3,110	3,204	2,723	7,419	3,204
Loans:
Loans individually evaluated for impairment					297	539
Loans collectively evaluated for impairment					406,714	400,887
PCI loans evaluated for impairment					255	435
Ending balance					407,266	401,861
Retail Real Estate
Activity in the allowance for loan losses
Beginning balance	20,405	10,613	10,495	8,471
Provision for loan losses	(383)	(86)	6,635	2,212
Charged-off	(139)	(226)	(1,139)	(943)
Recoveries	301	221	901	782
Ending balance	20,184	10,522	20,184	10,522
Allowance for loan losses Ending balance attributed to:
Loans individually evaluated for impairment					474	474
Loans collectively evaluated for impairment					19,710	10,021
Ending balance	20,184	10,522	20,184	8,471	20,184	10,495
Loans:
Loans individually evaluated for impairment					4,666	13,676
Loans collectively evaluated for impairment					1,475,468	1,679,397
PCI loans evaluated for impairment					386	696
Ending balance					1,480,520	1,693,769
Retail Other
Activity in the allowance for loan losses
Beginning balance	1,023	536	568	488
Provision for loan losses	17	226	110	375
Charged-off	(171)	(288)	(575)	(596)
Recoveries	89	113	289	320
Ending balance	958	587	958	587
Allowance for loan losses Ending balance attributed to:
Loans collectively evaluated for impairment					958	568
Ending balance	$ 958	$ 587	568	$ 587	958	568
Loans:
Loans individually evaluated for impairment						58
Loans collectively evaluated for impairment					40,086	49,776
Ending balance					$ 40,086	49,834
Cumulative Effect, Period of Adoption, Adjustment
Activity in the allowance for loan losses
Beginning balance			16,833
Allowance for loan losses Ending balance attributed to:
Ending balance			16,833			16,833
Cumulative Effect, Period of Adoption, Adjustment \| Commercial Loans
Activity in the allowance for loan losses
Beginning balance			715
Allowance for loan losses Ending balance attributed to:
Ending balance			715			715
Cumulative Effect, Period of Adoption, Adjustment \| Commercial Real Estate Loans
Activity in the allowance for loan losses
Beginning balance			9,306
Allowance for loan losses Ending balance attributed to:
Ending balance			9,306			9,306
Cumulative Effect, Period of Adoption, Adjustment \| Real Estate Construction
Activity in the allowance for loan losses
Beginning balance			2,954
Allowance for loan losses Ending balance attributed to:
Ending balance			2,954			2,954
Cumulative Effect, Period of Adoption, Adjustment \| Retail Real Estate
Activity in the allowance for loan losses
Beginning balance			3,292
Allowance for loan losses Ending balance attributed to:
Ending balance			3,292			3,292
Cumulative Effect, Period of Adoption, Adjustment \| Retail Other
Activity in the allowance for loan losses
Beginning balance			566
Allowance for loan losses Ending balance attributed to:
Ending balance			$ 566			$ 566

Deposits (Details)

Deposits (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Deposits
Demand deposits, noninterest-bearing	$ 2,595,075	$ 1,832,619
Interest-bearing transaction deposits	2,266,338	1,989,854
Saving deposits and money market deposits	2,553,521	2,545,073
Time deposits	1,227,767	1,534,850
Total deposits	8,642,701	7,902,396
Brokered saving deposits and money market deposits	11,000	12,500
Aggregate amount of time deposits (minimum denomination of $100,000)	641,000	854,100
Time deposits minimum denomination of $250,000 or more	234,100	297,400
Brokered deposits included in the balance of time deposits	5,300	5,500
Deposits
Total	1,227,767	$ 1,534,850
Maturities of time deposits
October 1, 2020 - September 30, 2021	803,854
October 1, 2021 - September 30, 2022	260,163
October 1, 2022 - September 30, 2023	81,550
October 1, 2023 - September 30, 2024	63,121
October 1, 2024 - September 30, 2025	19,065
Thereafter	$ 14

Borrowings - Short-term borrowi

Borrowings - Short-term borrowings (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Maturity period
Securities sold under agreements to repurchase	$ 201,641	$ 205,491
Securities sold under agreements to repurchase, weighted average rate	0.17%
Short-term borrowings (FHLB advances)	$ 4,700
Maximum maturity period of short-term debt	1 year

Borrowings - Amended and Restat

Borrowings - Amended and Restated Credit Agreement (Details) - USD ($)	Apr. 24, 2020	Jan. 29, 2019	Sep. 30, 2020	Dec. 31, 2019
Revolving loan facility
Borrowings
Maximum borrowing capacity		$ 20,000,000
Outstanding amounts			$ 0	$ 0
Floating interest rate margin (as a percent)	1.75%
Term of the maturity extension	1 year
Term Loan
Borrowings
Maximum borrowing capacity		$ 60,000,000
Floating interest rate margin (as a percent)		1.50%

Borrowings - Long-term Debt (De

Borrowings - Long-term Debt (Details) - USD ($) $ in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Long-term debt
Notes payable, FHLB, original maturity of 5 years, collateralized by FHLB deposits, residential and commercial real estate loans and FHLB stock.	$ 4,931	$ 35,600
Term Loan		48,000
Total long-term debt	$ 4,931	$ 83,600
FHLB advances
Long-term debt
Notes payable original maturity term	5 years	5 years
Interest rate (as a percent)	3.04%
Weighted average rate (as a percent)		1.53%
FHLB advances \| Minimum
Long-term debt
Interest rate (as a percent)		1.25%
FHLB advances \| Maximum
Long-term debt
Interest rate (as a percent)		3.04%

Borrowings - Senior notes and S

Borrowings - Senior notes and Subordinate Notes (Details) - USD ($) $ in Millions	Jun. 01, 2020	May 25, 2017	Sep. 30, 2020	Dec. 31, 2019
3.75% notes maturing May 25, 2022 \| Senior notes
Long-term debt
Issuance of debt		$ 40
Interest rate (as a percent)		3.75%
Unamortized debt issuance cost			$ 0.2	$ 0.3
4.75% notes maturing May 25, 2027 \| Subordinated debt
Long-term debt
Issuance of debt		$ 60
Fixed payment term of note		5 years
Duration Of Fixed Interest Rate		5 years
Unamortized debt issuance cost			0.7	$ 0.8
4.75% notes maturing May 25, 2027 \| First Five Years \| Subordinated debt
Long-term debt
Interest rate (as a percent)		4.75%
4.75% notes maturing May 25, 2027 \| Three-month LIBOR \| Subordinated debt
Long-term debt
Floating interest rate margin (as a percent)		2.919%
5.25% notes maturing June 1, 2030 \| Subordinated debt
Long-term debt
Issuance of debt	$ 125
Duration Of Fixed Interest Rate	5 years
Floating interest rate margin (as a percent)	5.11%
Unamortized debt issuance cost			$ 2.2
5.25% notes maturing June 1, 2030 \| First Five Years \| Subordinated debt
Long-term debt
Interest rate (as a percent)	5.25%

Earnings Per Common Share (Deta

Earnings Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Net income per share calculations for basic and diluted methods
Net income available to common stockholders	$ 30,829	$ 24,828	$ 71,999	$ 74,382
Shares:
Weighted average common shares outstanding	54,586	55,410	54,579	54,783
Dilutive effect of outstanding options, warrants and restricted stock units as determined by the application of the treasury stock method (in shares)	152	236	217	275
Weighted average common shares outstanding, as adjusted for diluted earnings per share calculation	54,738	55,646	54,796	55,058
Basic earnings per common share (in dollars per share)	$ 0.56	$ 0.45	$ 1.32	$ 1.36
Diluted earnings per common share (in dollars per share)	$ 0.56	$ 0.45	$ 1.31	$ 1.35
Common Stock
Shares:
Number of anti-dilutive securities (in shares)	300	237	300	385

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Changes in accumulated other comprehensive income (loss) by component, net of tax
Beginning balance	$ 1,236,084	$ 1,203,608	$ 1,220,434	$ 994,964
Unrealized gains (losses) on debt securities available for sale:
Unrealized holding gains (losses) on debt securities available for sale, Tax Effect	682	(1,423)	(9,577)	(8,552)
Unrealized holding gains (losses) on debt securities available for sale, Net of Tax	(1,710)	3,568	23,974	21,453
Unrealized gains on debt securities transferred from held to maturity to available for sale, Tax Effect				1,363
Unrealized gains on debt securities transferred from held to maturity to available for sale, Net of Tax				3,417
Amounts reclassified from accumulated other comprehensive income, Before Tax			(1,710)	(104)
Amounts reclassified from accumulated other comprehensive income, Tax Effect	3	85	492	29
Amounts reclassified from accumulated other comprehensive income, Net of Tax	(8)	(212)	(1,218)	(75)
Unrealized gains (losses) on cash flow hedges:
Unrealized holding gains (losses) on cash flow hedges, Tax Effect	6	(239)	(890)	(239)
Unrealized holding gains (losses) on cash flow hedges, Net of Tax	14	(598)	(2,233)	(598)
Amounts reclassified from accumulated other comprehensive income, Tax Effect	76	3	16	3
Amounts reclassified from accumulated other comprehensive income, Net of Tax	192	6	42	6
Ending balance	1,255,705	1,215,981	1,255,705	1,215,981
Accumulated Other Comprehensive Income (Loss)
Changes in accumulated other comprehensive income (loss) by component, net of tax
Beginning balance	37,037	14,627	14,960	(6,812)
Unrealized gains (losses) on cash flow hedges:
Accumulated other comprehensive income (loss) ending balance period, Before Tax	49,688	24,325	49,688	24,325
Accumulated other comprehensive income (loss) ending balance period, Tax Effect	(14,163)	(6,934)	(14,163)	(6,934)
Ending balance	35,525	17,391	35,525	17,391
Unrealized gains (losses) on debt securities available for sale
Changes in accumulated other comprehensive income (loss) by component, net of tax
Accumulated other comprehensive income (loss) beginning balance period, Before Tax	55,436	20,459	21,192	(9,528)
Accumulated other comprehensive income (loss) beginning balance period, Tax Effect	(15,802)	(5,832)	(6,032)	2,716
Beginning balance	39,634	14,627	15,160	(6,812)
Unrealized gains (losses) on debt securities available for sale:
Unrealized holding gains (losses) on debt securities available for sale, Before Tax	(2,392)	4,991	33,551	30,005
Unrealized holding gains (losses) on debt securities available for sale, Tax Effect	682	(1,423)	(9,577)	(8,552)
Unrealized holding gains (losses) on debt securities available for sale, Net of Tax	(1,710)	3,568	23,974	21,453
Unrealized gains on debt securities transferred from held to maturity to available for sale, Before Tax				4,780
Unrealized gains on debt securities transferred from held to maturity to available for sale, Tax Effect				(1,363)
Unrealized gains on debt securities transferred from held to maturity to available for sale, Net of Tax				3,417
Amounts reclassified from accumulated other comprehensive income, Before Tax	11	297
Amounts reclassified from accumulated other comprehensive income, Tax Effect	3	85
Amounts reclassified from accumulated other comprehensive income, Net of Tax	(8)	(212)
Unrealized gains (losses) on cash flow hedges:
Accumulated other comprehensive income (loss) ending balance period, Before Tax	53,033	25,153	53,033	25,153
Accumulated other comprehensive income (loss) ending balance period, Tax Effect	(15,117)	(7,170)	(15,117)	(7,170)
Ending balance	37,916	17,983	37,916	17,983
Unrealized gains (losses) on cash flow hedges
Changes in accumulated other comprehensive income (loss) by component, net of tax
Accumulated other comprehensive income (loss) beginning balance period, Before Tax	(3,633)		(280)
Accumulated other comprehensive income (loss) beginning balance period, Tax Effect	1,036		80
Beginning balance	(2,597)		(200)
Unrealized gains (losses) on cash flow hedges:
Unrealized holding gains (losses) on cash flow hedges, Before Tax	20	(837)	(3,123)	(837)
Unrealized holding gains (losses) on cash flow hedges, Tax Effect	(6)	(239)	890	239
Unrealized holding gains (losses) on cash flow hedges, Net of Tax	14	(598)	(2,233)	(598)
Amounts reclassified from accumulated other comprehensive income, Before Tax	268	9	58	9
Amounts reclassified from accumulated other comprehensive income, Tax Effect	(76)	(3)	(16)	(3)
Amounts reclassified from accumulated other comprehensive income, Net of Tax	192	6	42	6
Accumulated other comprehensive income (loss) ending balance period, Before Tax	(3,345)	(828)	(3,345)	(828)
Accumulated other comprehensive income (loss) ending balance period, Tax Effect	954	236	954	236
Ending balance	$ (2,391)	$ (592)	$ (2,391)	$ (592)

Share-based Compensation (Detai

Share-based Compensation (Details)	9 Months Ended
Share-based Compensation (Details)	Sep. 30, 2020shares
Performance based restricted stock unit
Share-based Compensation
Number of shares of common stock per award	1
Restricted stock unit
Share-based Compensation
Number of shares of common stock per award	1
Deferred stock units
Share-based Compensation
Number of shares of common stock per award	1
Vesting period	1 year
Settlement period	30 days
Minimum \| Restricted stock unit
Share-based Compensation
Requisite service periods	1 year
Maximum \| Restricted stock unit
Share-based Compensation
Requisite service periods	5 years

Share-based Compensation - Awar

Share-based Compensation - Award Status (Details) - Stock option awards	9 Months Ended
	Sep. 30, 2020$ / sharesshares
Shares
Outstanding at beginning of year (in shares) \| shares	53,185
Exercised (in shares) \| shares	(12,956)
Expired (in shares) \| shares	(1,144)
Outstanding at end of year (in shares) \| shares	39,085
Exercisable at end of year (in shares) \| shares	39,085
Weighted-Average Exercise Price
Outstanding at beginning of year (in dollars per share) \| $ / shares	$ 22
Exercised (in dollars per share) \| $ / shares	22.73
Expired (in dollars per share) \| $ / shares	21.35
Outstanding at end of year (in dollars per share) \| $ / shares	23.53
Exercisable at end of year (in dollars per share) \| $ / shares	$ 23.53
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercisable, Weighted Average Remaining Contractual Term	6 years 1 month 17 days
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Remaining Contractual Term	6 years 1 month 17 days

Share-based Compensation - Opti

Share-based Compensation - Options Outstanding (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Stock option awards
Additional disclosures
Compensation expense recognized	$ 0		$ 0	$ 100,000

Share-based Compensation - Rest

Share-based Compensation - Restricted and Deferred Stock Units (Details) - USD ($)	Jul. 07, 2020	Feb. 05, 2020	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Restricted stock unit
Shares
Non-vested at beginning of year (in shares)					778,317
Granted (in shares)					384,343
Dividend equivalents earned (in shares)					29,265
Vested (in shares)					(117,641)
Forfeited (in shares)					(66,132)
Non-vested at end of year (in shares)			1,008,152		1,008,152
Outstanding at end of year (in shares)			1,008,152		1,008,152
Weighted-Average Grant Date Fair Value
Non-vested at beginning of year (in dollars per share)					$ 27.27
Granted (in dollars per share)					17.26
Dividend equivalents earned (in dollars per share)					19.21
Vested (in dollars per share)					21.38
Forfeited (in dollars per share)					26.42
Non-vested at end of year (in dollars per share)			$ 23.97		23.97
Outstanding at end of year (in dollars per share)			$ 23.97		$ 23.97
Deferred stock units
Shares
Non-vested at beginning of year (in shares)					21,261
Granted (in shares)					33,419
Dividend equivalents earned (in shares)					3,235
Vested (in shares)					(24,066)
Non-vested at end of year (in shares)			33,849		33,849
Outstanding at end of year (in shares)			70,186		70,186
Weighted-Average Grant Date Fair Value
Non-vested at beginning of year (in dollars per share)					$ 26.78
Granted (in dollars per share)					17.17
Dividend equivalents earned (in dollars per share)					19.35
Vested (in dollars per share)					25.95
Non-vested at end of year (in dollars per share)			$ 17.17		17.17
Outstanding at end of year (in dollars per share)			$ 24.41		$ 24.41
Performance based restricted stock unit
Shares
Granted (in shares)			15,724
Additional disclosures
Compensation expense recognized			$ 300,000
Performance based restricted stock unit \| Minimum
Additional disclosures
Vesting percentage (as a percent)			0.00%
Performance based restricted stock unit \| Maximum
Shares
Granted (in shares)			25,158
Additional disclosures
Vesting percentage (as a percent)			160.00%
RSUs and DSUs
Additional disclosures
Compensation expense recognized			$ 2,200,000	$ 1,200,000	$ 4,400,000	$ 3,100,000
Amount of compensation cost to be recognized			$ 13,400,000		$ 13,400,000
Period over which cost will be recognized					3 years
Employee stock purchase plan
Additional disclosures
Remaining shares available for issuance			18,711		18,711
Stock option awards
Additional disclosures
Compensation expense recognized			$ 0		$ 0	$ 100,000
2010 Equity Incentive Plan \| Restricted stock unit \| Members of management
Shares
Granted (in shares)		3,808
Additional disclosures
Compensation expense recognized		$ 100,000
Period over which cost will be recognized		3 years
Vesting percentage (as a percent)		100.00%
2020 Equity Incentive Plan
Additional disclosures
Remaining shares available for issuance			1,429,696		1,429,696
2020 Equity Incentive Plan \| Restricted stock unit \| Management, Vice Chairman of Board
Shares
Granted (in shares)	380,535
Additional disclosures
Compensation expense recognized	$ 6,500,000
Vesting percentage (as a percent)	100.00%
2020 Equity Incentive Plan \| Restricted stock unit \| Management, Vice Chairman of Board \| Minimum
Additional disclosures
Period over which cost will be recognized	1 year
2020 Equity Incentive Plan \| Restricted stock unit \| Management, Vice Chairman of Board \| Maximum
Additional disclosures
Period over which cost will be recognized	5 years
2020 Equity Incentive Plan \| Deferred stock units \| Directors and Advisory Directors
Shares
Granted (in shares)	33,419
Additional disclosures
Compensation expense recognized	$ 600,000
Period over which cost will be recognized	1 year
Vesting percentage (as a percent)	100.00%

Outstanding Commitments and C_3

Outstanding Commitments and Contingent Liabilities (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2020	Jan. 01, 2020	Dec. 31, 2019
Credit Commitments and Contingencies
Adoption of CECL, reserve for unfunded commitments	$ 7,300	$ 7,300	$ 5,500
Adoption of CECL, additional provision	300	1,800
Commitments to extend credit
Credit Commitments and Contingencies
Financial instruments whose contract amounts represent credit risk:	1,721,099	1,721,099		$ 1,649,565
Standby letters of credit
Credit Commitments and Contingencies
Financial instruments whose contract amounts represent credit risk:	$ 41,791	$ 41,791		$ 42,581

Regulatory Capital (Details)

Regulatory Capital (Details) $ in Thousands	Jun. 01, 2020USD ($)	Jun. 30, 2020USD ($)	Sep. 30, 2020USD ($)	Dec. 31, 2019USD ($)
Total Capital (to Risk Weighted Assets), Amount
Actual, Amount			$ 1,225,719	$ 1,036,143
Minimum Capital Requirement, Amount			589,691	590,826
Minimum To Be Well Capitalized, Amount			$ 737,114	$ 738,532
Total Capital (to Risk Weighted Assets), Ratio
Actual, Ratio (as a percent)			16.63	14.03
Minimum Capital Requirement, Ratio (as a percent)			8	8
Minimum To Be Well Capitalized, Ratio (as a percent)			10	10
Tier 1 Capital (to Risk Weighted Assets), Amount
Actual, Amount			$ 964,399	$ 922,395
Minimum Capital Requirement, Amount			442,268	443,120
Minimum To Be Well Capitalized, Amount			$ 589,691	$ 590,826
Tier 1 Capital (to Risk Weighted Assets), Ratio
Actual, Ratio (as a percent)			13.08	12.49
Minimum Capital Requirement, Ratio (as a percent)			6	6
Minimum To Be Well Capitalized, Ratio (as a percent)			8	8
Common Equity Tier 1 Capital (to Risk Weighted Assets), Amount
Actual, Amount			$ 890,399	$ 848,395
Minimum Capital Requirement, Amount			331,701	332,340
Minimum To Be Well Capitalized, Amount			$ 479,124	$ 480,046
Common Equity Tier 1 Capital (to Risk Weighted Assets), Ratio
Actual, Ratio (as a percent)			12.08%	11.49%
Minimum Capital Requirement, Ratio (as a percent)			4.50%	4.50%
Minimum To Be Well Capitalized, Ratio (as a percent)			6.50%	6.50%
Tier 1 Capital (to Average Assets), Amount
Actual, Amount			$ 964,399	$ 922,395
Minimum Capital Requirement, Amount			$ 410,850	$ 373,360
Tier 1 Capital (to Average Assets), Ratio
Actual, Ratio (as a percent)			9.39	9.88
Minimum Capital Requirement, Ratio (as a percent)			4	4
Busey Bank
Total Capital (to Risk Weighted Assets), Amount
Actual, Amount			$ 1,095,863	$ 1,099,449
Minimum Capital Requirement, Amount			588,690	589,681
Minimum To Be Well Capitalized, Amount			$ 735,862	$ 737,101
Total Capital (to Risk Weighted Assets), Ratio
Actual, Ratio (as a percent)			14.89	14.92
Minimum Capital Requirement, Ratio (as a percent)			8	8
Minimum To Be Well Capitalized, Ratio (as a percent)			10	10
Tier 1 Capital (to Risk Weighted Assets), Amount
Actual, Amount			$ 1,019,543	$ 1,045,701
Minimum Capital Requirement, Amount			441,517	442,261
Minimum To Be Well Capitalized, Amount			$ 588,690	$ 589,681
Tier 1 Capital (to Risk Weighted Assets), Ratio
Actual, Ratio (as a percent)			13.86	14.19
Minimum Capital Requirement, Ratio (as a percent)			6	6
Minimum To Be Well Capitalized, Ratio (as a percent)			8	8
Common Equity Tier 1 Capital (to Risk Weighted Assets), Amount
Actual, Amount			$ 1,019,543	$ 1,045,701
Minimum Capital Requirement, Amount			331,138	331,696
Minimum To Be Well Capitalized, Amount			$ 478,310	$ 479,116
Common Equity Tier 1 Capital (to Risk Weighted Assets), Ratio
Actual, Ratio (as a percent)			13.86%	14.19%
Minimum Capital Requirement, Ratio (as a percent)			4.50%	4.50%
Minimum To Be Well Capitalized, Ratio (as a percent)			6.50%	6.50%
Tier 1 Capital (to Average Assets), Amount
Actual, Amount			$ 1,019,543	$ 1,045,701
Minimum Capital Requirement, Amount			410,669	373,639
Minimum To Be Well Capitalized, Amount			$ 513,336	$ 467,049
Tier 1 Capital (to Average Assets), Ratio
Actual, Ratio (as a percent)			9.93	11.19
Minimum Capital Requirement, Ratio (as a percent)			4	4
Minimum To Be Well Capitalized, Ratio (as a percent)			5	5
Subordinated debt \| 5.25% fixed-to-floating rate notes due 2030
Regulatory Capital
Proceeds from public offering	$ 125,000	$ 125,000

Operating Segments and Relate_3

Operating Segments and Related Information (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)segment	Sep. 30, 2019USD ($)	Dec. 31, 2019USD ($)
Operating Segments and Related Information
Number of reportable segments \| segment			3
Number of operating segments \| segment			3
Goodwill	$ 311,536		$ 311,536		$ 311,536
Total Assets	10,539,628		10,539,628		9,695,729
Net interest income	69,753	$ 73,476	209,999	$ 215,287
Non-interest income:	32,285	30,936	87,766	84,777
Non-interest expense:	56,542	68,121	170,124	193,304
Income before income taxes	39,947	32,880	91,985	98,721
Net income:	30,829	24,828	71,999	74,382
Operating segments \| Banking
Operating Segments and Related Information
Goodwill	288,436		288,436		288,436
Total Assets	10,457,479		10,457,479		9,632,368
Net interest income	73,330	75,955	218,221	222,537
Non-interest income:	18,523	18,301	45,717	46,743
Non-interest expense:	44,863	56,593	135,037	158,659
Income before income taxes	41,441	34,252	93,245	102,582
Net income:	31,744	25,731	72,653	76,837
Operating segments \| Remittance Processing
Operating Segments and Related Information
Goodwill	8,992		8,992		8,992
Total Assets	46,124		46,124		44,209
Net interest income	21	20	59	56
Non-interest income:	4,287	4,088	12,318	12,386
Non-interest expense:	3,523	2,746	9,669	8,099
Income before income taxes	785	1,362	2,708	4,343
Net income:	578	972	1,966	3,102
Operating segments \| Wealth Management
Operating Segments and Related Information
Goodwill	14,108		14,108		14,108
Total Assets	42,593		42,593		32,760
Non-interest income:	10,662	8,994	32,681	27,721
Non-interest expense:	6,497	6,043	19,725	17,356
Income before income taxes	4,165	2,951	12,956	10,365
Net income:	3,166	2,184	9,847	7,670
Other
Operating Segments and Related Information
Total Assets	(6,568)		(6,568)		$ (13,608)
Net interest income	(3,598)	(2,499)	(8,281)	(7,306)
Non-interest income:	(1,187)	(447)	(2,950)	(2,073)
Non-interest expense:	1,659	2,739	5,693	9,190
Income before income taxes	(6,444)	(5,685)	(16,924)	(18,569)
Net income:	$ (4,659)	$ (4,059)	$ (12,467)	$ (13,227)

Derivative Financial Instrume_3

Derivative Financial Instruments - Interest Rate Swaps Designated as Cash Flow Hedges (Details) - Cash Flow Hedging - Interest rate swap - USD ($) $ in Thousands	3 Months Ended	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Sep. 30, 2020	Dec. 31, 2019
Derivative [Line Items]
Notional amount	$ 70,000	$ 70,000	$ 70,000
Weighted average fixed pay rates	1.80%	1.80%	1.80%
Weighted average variable 3 month LIBOR receive rates	0.25%	0.25%	1.90%
Weighted average maturity		3 years 1 month 9 days	3 years 10 months 9 days
Unrealized gains (losses), net of tax		$ (2,391)	$ (200)
Interest expense on swap transactions	$ 300	500
Unrealized loss to be reclassified from OCI to interest expense during next twelve months		300
Other liabilities
Derivative [Line Items]
Fair value recorded in other liabilities	$ 3,300	$ 3,300	$ 300

Derivative Financial Instrume_4

Derivative Financial Instruments - Net Gains (Losses) Recorded in Accumulated Other Comprehensive Income (Loss) (Details) - Interest rate contract - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Derivative [Line Items]
Cash pledged to secure obligations	$ 3,500		$ 3,500		$ 300
Cash Flow Hedging
Derivative [Line Items]
Amount of (gain) loss recognized in OCI	14	$ (598)	(2,233)	$ (598)
Amount of (gain) loss reclassified from OCI to interest expense	$ 192	$ 6	$ 42	$ 6

Derivative Financial Instrume_5

Derivative Financial Instruments - Interest Rate Lock Commitments (Details) - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Interest Rate Lock Commitments
Derivative Financial Instruments
Unexpired interest rate lock commitments	$ 57.8	$ 69.1

Derivative Financial Instrume_6

Derivative Financial Instruments - Forward Sales Commitments (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
Forward sales commitments
Derivative Financial Instruments
Notional amount	$ 141,900		$ 141,900		$ 135,300
Interest rate lock commitments and forward sales commitments
Gross gains and losses on derivative assets and liabilities recorded in Consolidated Statements of Income
Net gains (losses)	(22)	$ (51)	(975)	$ (111)
Interest rate lock commitments and forward sales commitments \| Other assets
Fair values of derivative assets and liabilities recorded in consolidated balance sheets
Fair value recorded in other assets	1,567		1,567		1,046
Interest rate lock commitments and forward sales commitments \| Other liabilities
Fair values of derivative assets and liabilities recorded in consolidated balance sheets
Fair value recorded in other liabilities	4,036		4,036		$ 2,187
Non-interest income \| Interest rate lock commitments and forward sales commitments
Gross gains and losses on derivative assets and liabilities recorded in Consolidated Statements of Income
Gross gains	4,014	1,655	15,379	4,662
Non-interest expense \| Interest rate lock commitments and forward sales commitments
Gross gains and losses on derivative assets and liabilities recorded in Consolidated Statements of Income
Gross (losses)	$ (4,036)	$ (1,706)	$ (16,354)	$ (4,773)

Derivative Financial Instrume_7

Derivative Financial Instruments - Interest Rate Swaps Not Designated as Hedges (Details) - Interest rate swap - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Gains and losses on these derivative assets and liabilities recorded in non-interest expense in the unaudited Consolidated Statements of Income
Net gains (losses)	$ 0	$ 0	$ 0	$ 0
Cash pledged to secure obligations	40,100		40,100		$ 18,100
Not designated as hedging
Derivative Financial Instruments
Notional amount	791,100		791,100		580,800
Variable rate, commercial loans that are supported by the interest rate swap contracts	395,500		395,500		290,400
Non-interest income
Gains and losses on these derivative assets and liabilities recorded in non-interest expense in the unaudited Consolidated Statements of Income
Gain (loss) pay, floating receive fixed	(549)	4,695	25,790	15,205
Non-interest expense
Gains and losses on these derivative assets and liabilities recorded in non-interest expense in the unaudited Consolidated Statements of Income
Gain (loss) pay fixed receive floating	549	$ (4,695)	(25,790)	$ (15,205)
Other assets
Fair values of derivative assets and liabilities recorded in consolidated balance sheets
Fair value recorded in other assets	38,144		38,144		12,354
Other liabilities
Fair values of derivative assets and liabilities recorded in consolidated balance sheets
Fair value recorded in other liabilities	$ 38,144		$ 38,144		$ 12,354

Fair Value Measurements - Gener

Fair Value Measurements - General Disclosures (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	$ 2,080,849	$ 1,648,257
Equity securities	17,808	5,952
Loans held for sale, at fair value	87,772	68,699
U.S. Treasury securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	29,937	51,737
Obligations of U.S. government corporations and agencies
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	78,478	163,000
Obligations of states and political subdivisions
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	316,120	268,291
Commercial mortgage-backed securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	357,243	139,287
Residential mortgage-backed securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	1,218,526	921,966
Corporate debt securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	80,545	103,976
Recurring basis
Financial assets and financial liabilities measured at fair value
Equity securities	17,808	5,952
Loans held for sale, at fair value	87,772	68,699
Recurring basis \| Derivative assets
Financial assets and financial liabilities measured at fair value
Derivative asset	39,711	13,400
Recurring basis \| Derivative liabilities
Financial assets and financial liabilities measured at fair value
Derivative liability	45,525	14,821
Recurring basis \| U.S. Treasury securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	29,937	51,737
Recurring basis \| Obligations of U.S. government corporations and agencies
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	78,478	163,000
Recurring basis \| Obligations of states and political subdivisions
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	316,120	268,291
Recurring basis \| Commercial mortgage-backed securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	357,243	139,287
Recurring basis \| Residential mortgage-backed securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	1,218,526	921,966
Recurring basis \| Corporate debt securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	80,545	103,976
Recurring basis \| Level 1
Financial assets and financial liabilities measured at fair value
Equity securities	13,119
Recurring basis \| Level 2
Financial assets and financial liabilities measured at fair value
Equity securities	4,689	5,952
Loans held for sale, at fair value	87,772	68,699
Recurring basis \| Level 2 \| Derivative assets
Financial assets and financial liabilities measured at fair value
Derivative asset	39,711	13,400
Recurring basis \| Level 2 \| Derivative liabilities
Financial assets and financial liabilities measured at fair value
Derivative liability	45,525	14,821
Recurring basis \| Level 2 \| U.S. Treasury securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	29,937	51,737
Recurring basis \| Level 2 \| Obligations of U.S. government corporations and agencies
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	78,478	163,000
Recurring basis \| Level 2 \| Obligations of states and political subdivisions
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	316,120	268,291
Recurring basis \| Level 2 \| Commercial mortgage-backed securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	357,243	139,287
Recurring basis \| Level 2 \| Residential mortgage-backed securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	1,218,526	921,966
Recurring basis \| Level 2 \| Corporate debt securities
Financial assets and financial liabilities measured at fair value
Debt securities available for sale	$ 80,545	$ 103,976

Fair Value Measurements - Addit

Fair Value Measurements - Additional Quantitative Information (Details) $ in Thousands	Sep. 30, 2020USD ($)	Dec. 31, 2019USD ($)
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans	$ 21,694	$ 37,079
Level 3 \| Appraisal of collateral \| OREO \| Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
OREO (percent)	(25)	(25)
Level 3 \| Appraisal of collateral \| OREO \| Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
OREO (percent)	(100)	(100)
Level 3 \| Appraisal of collateral \| OREO \| Weighted Average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
OREO (percent)	(64.5)	(65)
Level 3 \| Appraisal of collateral or real estate listing price \| Bank property held for sale \| Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Bank property held for sale (percent)	(6.2)	(6.2)
Level 3 \| Appraisal of collateral or real estate listing price \| Bank property held for sale \| Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Bank property held for sale (percent)	(64.9)	(71.3)
Level 3 \| Appraisal of collateral or real estate listing price \| Bank property held for sale \| Weighted Average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Bank property held for sale (percent)	(23.9)	(40.7)
Non-recurring basis
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans	$ 3,869	$ 2,686
OREO	79	55
Bank property held for sale	3,594	4,004
Non-recurring basis \| Level 3
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans	3,869	2,686
OREO	79	55
Bank property held for sale	3,594	4,004
Non-recurring basis \| Level 3 \| Appraisal of collateral \| Loans evaluated individually
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Impaired loans	$ 3,869	$ 2,686
Non-recurring basis \| Level 3 \| Appraisal of collateral \| Loans evaluated individually \| Minimum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans evaluated individually	(20)	(2.9)
Non-recurring basis \| Level 3 \| Appraisal of collateral \| Loans evaluated individually \| Maximum
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans evaluated individually	(100)	(100)
Non-recurring basis \| Level 3 \| Appraisal of collateral \| Loans evaluated individually \| Weighted Average
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Loans evaluated individually	(38.3)	(57.8)
Non-recurring basis \| Level 3 \| Appraisal of collateral \| OREO
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
OREO	$ 79	$ 55
Non-recurring basis \| Level 3 \| Appraisal of collateral or real estate listing price \| Bank property held for sale
Fair Value Measurement Inputs and Valuation Techniques [Line Items]
Bank property held for sale	$ 3,594	$ 4,004

Fair Value Measurements - Segre

Fair Value Measurements - Segregated by Level of Valuation Inputs (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Financial assets:
Portfolio loans, net	$ 7,022,470	$ 6,633,501
Financial liabilities:
Short-term borrowings	4,651	8,551
Junior subordinated debt owed to unconsolidated trusts	71,427	71,308
Level 1 \| Carrying Amount
Financial assets:
Cash and cash equivalents	479,721	529,288
Level 1 \| Fair Value
Financial assets:
Cash and cash equivalents	479,721	529,288
Level 2 \| Carrying Amount
Financial assets:
Accrued interest receivable	37,609	27,109
Financial liabilities:
Time deposits	1,227,767	1,534,850
Securities sold under agreements to repurchase	201,641	205,491
Short-term borrowings	4,651	8,551
Long-term debt	4,931	83,600
Junior subordinated debt owed to unconsolidated trusts	71,427	71,308
Accrued interest payable	6,648	5,000
Level 2 \| Fair Value
Financial assets:
Accrued interest receivable	37,609	27,109
Financial liabilities:
Time deposits	1,243,305	1,538,597
Securities sold under agreements to repurchase	201,641	205,491
Short-term borrowings	4,651	8,552
Long-term debt	5,218	83,614
Junior subordinated debt owed to unconsolidated trusts	57,793	74,153
Accrued interest payable	6,648	5,000
Level 3 \| Carrying Amount
Financial assets:
Portfolio loans, net	7,022,470	6,633,501
Mortgage servicing rights	11,982	12,326
Other servicing rights	1,199	1,071
Level 3 \| Fair Value
Financial assets:
Portfolio loans, net	7,055,886	6,648,560
Mortgage servicing rights	12,570	18,193
Other servicing rights	1,696	1,740
Level 3 \| Senior notes \| Carrying Amount
Financial liabilities:
Long-term debt	39,775	39,674
Level 3 \| Senior notes \| Fair Value
Financial liabilities:
Long-term debt	40,099	40,099
Level 3 \| Subordinated debt \| Carrying Amount
Financial liabilities:
Long-term debt	182,095	59,248
Level 3 \| Subordinated debt \| Fair Value
Financial liabilities:
Long-term debt	$ 184,944	$ 61,514

Leases - Narrative (Details)

Leases - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Leases - Narrative (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Leases
Right of use asset	$ 7,251		$ 7,251		$ 9,490
Lease liability	7,342		7,342		$ 9,552
Rent expense under operating leases, included in net occupancy and equipment expense	$ 736	$ 798	$ 2,323	$ 2,168

Leases - Lease Cost and Other L

Leases - Lease Cost and Other Lease Information (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Lease Costs
Operating lease costs	$ 622	$ 619	$ 1,877	$ 1,736
Variable lease costs	99	133	401	363
Short-term lease costs	15	46	45	69
Net lease cost	736	798	2,323	2,168
Cash paid for amounts included in the measurement of lease liabilities
Operating lease cash flows - Fixed payments	616	605	1,839	1,688
Operating lease cash flows - Liability reduction	$ 546	526	1,610	1,479
Right of use assets obtained during the period in exchange for operating lease liabilities		$ 159	$ 128	$ 923
Weighted average lease term (in years)	6 years 5 months 4 days	6 years 8 months 23 days	6 years 5 months 4 days	6 years 8 months 23 days
Weighted average discount rate (in percent)	3.08%	3.04%	3.08%	3.04%

Leases - Future Rent Commitment

Leases - Future Rent Commitments (Details) $ in Thousands	Sep. 30, 2020USD ($)
Projected minimum rental payments under the terms of leases
Remainder of 2020	$ 542
2021	1,693
2022	1,288
2023	1,129
2024	894
Thereafter	2,647
Amounts representing interest	(851)
Present value of net future minimum lease payments	$ 7,342