Document and Entity Information
Document and Entity Information - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 28, 2020 | Jun. 30, 2019 | |
Cover page. | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 000-16772 | ||
Entity Registrant Name | PEOPLES BANCORP INC. | ||
Entity Incorporation, State or Country Code | OH | ||
Entity Tax Identification Number | 31-0987416 | ||
Entity Address, Address Line One | 138 Putnam Street, P.O. Box 738, | ||
Entity Address, City or Town | Marietta, | ||
Entity Address, State or Province | OH | ||
Entity Address, Postal Zip Code | 45750-0738 | ||
City Area Code | (740) | ||
Local Phone Number | 373-3155 | ||
Title of 12(b) Security | Common shares, without par value | ||
Trading Symbol | PEBO | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 20,740,200 | ||
Entity Central Index Key | 0000318300 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Public Float | $ 638,289 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Cash and cash equivalents: | ||
Cash and due from banks | $ 53,263 | $ 61,775 |
Interest-bearing deposits in other banks | 61,930 | 15,837 |
Total cash and cash equivalents | 115,193 | 77,612 |
Available-for-sale investment securities, at fair value (amortized cost of $929,395 at December 31, 2019 and $804,655 at December 31, 2018) | 936,101 | 791,891 |
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | 31,747 | 36,961 |
Other investment securities | 42,730 | 42,985 |
Total investment securities | 1,010,578 | 871,837 |
Loans, net of deferred fees and costs (a) | 2,873,525 | 2,728,778 |
Allowance for loan losses | (21,556) | (20,195) |
Net loans | 2,851,969 | 2,708,583 |
Trade and Loans Receivables Held-for-sale, Net, Not Part of Disposal Group | 6,499 | 5,470 |
Bank premises and equipment, net of accumulated depreciation | 61,846 | 56,542 |
Bank owned life insurance | 69,722 | 68,934 |
Goodwill | 165,701 | 151,245 |
Other intangible assets | 11,802 | 10,840 |
Other assets | 60,855 | 40,391 |
Total assets | 4,354,165 | 3,991,454 |
Deposits: | ||
Non-interest-bearing | 671,208 | 607,877 |
Interest-bearing | 2,620,204 | 2,347,588 |
Total deposits | 3,291,412 | 2,955,465 |
Short-term borrowings | 316,977 | 356,198 |
Long-term borrowings | 83,123 | 109,644 |
Accrued expenses and other liabilities | 68,260 | 50,007 |
Total liabilities | 3,759,772 | 3,471,314 |
Stockholders’ Equity | ||
Preferred stock, no par value, 50,000 shares authorized, no shares issued at December 31, 2019 and December 31, 2018 | 0 | 0 |
Common stock, no par value, 24,000,000 shares authorized, 21,156,143 shares issued at December 31, 2019 and 20,124,378 shares issued at December 31, 2018, including shares held in treasury | 420,876 | 386,814 |
Retained earnings | 187,149 | 160,346 |
Accumulated other comprehensive loss, net of deferred income taxes | (1,425) | (12,933) |
Treasury stock, at cost, 504,182 shares at December 31, 2019 and 601,289 shares at December 31, 2018 | (12,207) | (14,087) |
Total stockholders’ equity | 594,393 | 520,140 |
Total liabilities and stockholders’ equity | $ 4,354,165 | $ 3,991,454 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) $ in Thousands | Dec. 31, 2019USD ($)shares |
Statement of Financial Position [Abstract] | |
Available for sale securities, amortized cost | $ | $ 929,395 |
Held-to-maturity securities, fair value | $ | $ 32,541 |
Preferred stock, shares authorized | 50,000 |
Common stock, shares authorized | 24,000,000 |
Common stock, shares issued | 21,156,143 |
Treasury stock, shares | 504,182 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Interest income: | |||
Interest and fees on loans | $ 143,340,000 | $ 125,263,000 | $ 103,043,000 |
Interest and dividends on taxable investment securities | 23,205,000 | 23,132,000 | 20,415,000 |
Interest on tax-exempt investment securities | 2,631,000 | 2,467,000 | 2,923,000 |
Other interest income | 919,000 | 402,000 | 144,000 |
Total interest income | 170,095,000 | 151,264,000 | 126,525,000 |
Interest expense: | |||
Interest on deposits | 22,210,000 | 13,705,000 | 7,154,000 |
Interest on short-term borrowings | 4,712,000 | 5,238,000 | 1,534,000 |
Interest on long-term borrowings | 2,335,000 | 2,709,000 | 4,460,000 |
Total interest expense | 29,257,000 | 21,652,000 | 13,148,000 |
Net interest income | 140,838,000 | 129,612,000 | 113,377,000 |
Provision for loan losses | 2,504,000 | 5,448,000 | 3,772,000 |
Net interest income after provision for loan losses | 138,334,000 | 124,164,000 | 109,605,000 |
Non-interest income: | |||
Insurance income | 14,802,000 | 14,812,000 | 14,204,000 |
Mortgage banking income | 4,328,000 | 3,333,000 | 1,872,000 |
Bank owned life insurance income | 2,430,000 | 1,955,000 | 1,950,000 |
Net gain (loss) on investment securities | 164,000 | (146,000) | 2,983,000 |
Net loss on asset disposals and other transactions | (782,000) | (334,000) | (63,000) |
Other non-interest income (a) | 2,565,000 | 2,655,000 | 1,865,000 |
Total non-interest income | 64,274,000 | 56,754,000 | 55,573,000 |
Non-interest expense: | |||
Salaries and employee benefit costs | 77,860,000 | 69,308,000 | 60,276,000 |
Net occupancy and equipment expense | 12,431,000 | 11,272,000 | 10,633,000 |
Electronic banking expense | 7,186,000 | 6,057,000 | 5,874,000 |
Professional fees | 7,095,000 | 7,862,000 | 6,575,000 |
Data processing and software expense | 6,332,000 | 5,419,000 | 4,441,000 |
Amortization of other intangible assets | 3,359,000 | 3,338,000 | 3,516,000 |
Franchise tax expense | 3,071,000 | 2,771,000 | 2,246,000 |
Marketing expense | 2,291,000 | 1,962,000 | 1,714,000 |
Foreclosed real estate and other loan expenses | 1,956,000 | 1,431,000 | 873,000 |
Communication expense | 1,181,000 | 1,265,000 | 1,475,000 |
FDIC insurance expense | 602,000 | 1,546,000 | 1,816,000 |
Other non-interest expense | 13,886,000 | 13,746,000 | 8,536,000 |
Total non-interest expense | 137,250,000 | 125,977,000 | 107,975,000 |
Income before income taxes | 65,358,000 | 54,941,000 | 57,203,000 |
Income tax expense | 11,663,000 | 8,686,000 | 18,732,000 |
Net income | $ 53,695,000 | $ 46,255,000 | $ 38,471,000 |
Earnings per common share – basic | $ 2.65 | $ 2.42 | $ 2.12 |
Earnings per common share – diluted | $ 2.63 | $ 2.41 | $ 2.10 |
Weighted-average number of common shares outstanding – basic | 20,120,119 | 18,991,768 | 18,050,189 |
Weighted-average number of common shares outstanding – diluted | 20,273,725 | 19,122,260 | 18,208,684 |
Fiduciary and Trust [Member] | |||
Non-interest income: | |||
Revenue from contract with customer, including assessed tax | $ 13,159,000 | $ 12,543,000 | $ 11,558,000 |
Credit and Debit Card [Member] | |||
Non-interest income: | |||
Revenue from contract with customer, including assessed tax | 13,680,000 | 11,477,000 | 10,358,000 |
Deposit Account [Member] | |||
Non-interest income: | |||
Revenue from contract with customer, including assessed tax | 11,700,000 | 9,778,000 | 9,614,000 |
Interest Rate Swap | transaction fee [Member] | |||
Non-interest income: | |||
Revenue from contract with customer, including assessed tax | 2,228,000 | 681,000 | 1,232,000 |
Adjustments for New Accounting Pronouncement [Member] | |||
Non-interest expense: | |||
Income tax expense | 700,000 | 700,000 | $ 900,000 |
Fair value adjustment on equity investment securities | $ (831,000) | $ (207,000) |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Other comprehensive income (loss): | |||
Net income | $ 53,695 | $ 46,255 | $ 38,471 |
Available-for-sale investment securities: | |||
Gross unrealized holding gain (loss) arising in the period | 19,635 | (3,910) | (555) |
Related tax (expense) benefit | 4,123 | 821 | 195 |
Less: reclassification adjustment for net gain (loss) included in net income | 164 | (146) | 2,983 |
Related tax (expense) benefit | (34) | 31 | (1,044) |
Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2018-02 | (370) | ||
Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2016-01 | 0 | (5,020) | |
Net effect on other comprehensive income (loss) | 15,382 | (7,994) | (2,669) |
Defined benefit plans: | |||
Net (loss) gain arising during the period | (385) | 325 | (616) |
Related tax benefit (expense) | 81 | (69) | 216 |
Amortization of unrecognized gain on service benefit plans | 72 | 99 | 96 |
Related tax expense | (15) | (21) | (34) |
Recognition of loss due to settlement and curtailment | 0 | 267 | 242 |
Related tax expense | 0 | (56) | (85) |
Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2018-02 | (754) | ||
Net effect on other comprehensive (loss) income | (247) | 545 | (935) |
Net loss arising during the period | (4,591) | (341) | (395) |
Related tax benefit | 964 | 72 | 138 |
Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2018-02 | 200 | ||
Net effect on other comprehensive (loss) income | (3,627) | (269) | (57) |
Total other comprehensive income (loss), net of tax | 11,508 | (7,718) | (3,661) |
Total comprehensive income | 65,203 | 38,537 | 34,810 |
Income tax expense | 11,663 | 8,686 | 18,732 |
Adjustments for New Accounting Pronouncement [Member] | |||
Available-for-sale investment securities: | |||
Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2016-01 | (5,000) | ||
Defined benefit plans: | |||
Income tax expense | $ 700 | $ 700 | $ 900 |
Consolidated Statement of Share
Consolidated Statement of Shareholders' Equity - USD ($) $ in Thousands | Total | Retained Earnings | Common Stock | Accumulated Other Comprehensive Loss | Treasury Stock | ASB Financial Corp.Common Stock | FIRST PRESTONSBURG BANCSHARES INC. [Member]Common Stock | Restricted Shares | Restricted SharesCommon Stock | Restricted SharesTreasury Stock | New Accounting Pronouncement, Early Adoption, Effect [Member]Retained Earnings |
Common stockholders' equity | $ 435,261 | $ 110,294 | $ 344,404 | $ (1,554) | $ (17,883) | ||||||
Income tax expense | 18,732 | ||||||||||
Income tax expense | Adjustments for New Accounting Pronouncement [Member] | 900 | ||||||||||
Cumulative Effect on Retained Earnings, Net of Tax | 3,700 | ||||||||||
Net income | 38,471 | 38,471 | |||||||||
Common shares issued under compensation plan for Board of Directors | 295 | 88 | 207 | ||||||||
Stock-based compensation | 0 | ||||||||||
Common shares issued under employee stock purchase plan | 365 | 109 | 256 | ||||||||
Common shares issued under dividend reinvestment plan | 525 | 525 | |||||||||
Stock Issued During Period, Value, Treasury Stock Reissued | 500 | 500 | $ 0 | $ (1,455) | $ 1,455 | ||||||
Other comprehensive income, net of tax | (2,737) | ||||||||||
Repurchase of common shares in connection with employee incentive and director compensation plans | 508 | 508 | |||||||||
Stock Issued During Period, Value, Stock Options Exercised | 0 | (6) | 6 | ||||||||
Dividends, Common Stock, Cash | 15,327 | 15,327 | |||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (955) | $ 924 | |||||||||
Other comprehensive income, net of tax | (3,661) | (3,661) | |||||||||
Share-based compensation expense | 1,747 | 1,747 | |||||||||
Deferred Revenue | Adjustments for New Accounting Pronouncement [Member] | 4,700 | ||||||||||
Common stockholders' equity | 458,592 | 134,362 | 345,412 | (5,215) | (15,967) | ||||||
Income tax expense | 8,686 | ||||||||||
Income tax expense | Adjustments for New Accounting Pronouncement [Member] | 700 | ||||||||||
Cumulative Effect on Retained Earnings, Net of Tax | Adjustments for New Accounting Pronouncement [Member] | 3,700 | ||||||||||
Net income | 46,255 | 46,255 | |||||||||
Common shares issued under compensation plan for Board of Directors | 298 | 104 | 194 | ||||||||
Issuance of common shares related to acquisition of ASB | 40,898 | $ 40,898 | |||||||||
Common shares issued under employee stock purchase plan | 393 | 123 | 270 | ||||||||
Common shares issued under dividend reinvestment plan | 668 | 668 | |||||||||
Stock Issued During Period, Value, Treasury Stock Reissued | 46 | 46 | 0 | (2,748) | 2,748 | ||||||
Other comprehensive income, net of tax | (2,698) | ||||||||||
Amounts reclassified out of retained earnings, net of tax, per ASU 2014-09 (c) | Accounting Standards Update 2014-09 [Member] | (3,713) | ||||||||||
Repurchase of common shares in connection with employee incentive and director compensation plans | 1,380 | 1,380 | |||||||||
Stock Issued During Period, Value, Stock Options Exercised | 0 | (2) | 2 | ||||||||
Dividends, Common Stock, Cash | 21,578 | 21,578 | |||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | (3,024) | $ 5,020 | |||||||||
Other comprehensive income, net of tax | (7,718) | (7,718) | |||||||||
Other comprehensive income, net of tax | 5,020 | ||||||||||
Other comprehensive income, net of tax | Adjustments for New Accounting Pronouncement [Member] | 5,000 | ||||||||||
Share-based compensation expense | 2,359 | 2,359 | |||||||||
Common stockholders' equity | 520,140 | 160,346 | 386,814 | (12,933) | (14,087) | ||||||
Income tax expense | 11,663 | ||||||||||
Income tax expense | Adjustments for New Accounting Pronouncement [Member] | 700 | ||||||||||
Net income | 53,695 | 53,695 | |||||||||
Common shares issued under compensation plan for Board of Directors | 313 | 78 | 235 | ||||||||
Issuance of common shares related to acquisition of ASB | 32,437 | $ 32,437 | |||||||||
Common shares issued under employee stock purchase plan | 423 | 112 | 311 | ||||||||
Common shares issued under dividend reinvestment plan | 904 | 904 | |||||||||
Stock Issued During Period, Value, Treasury Stock Reissued | 53 | 53 | $ 0 | $ (2,931) | $ 2,931 | ||||||
Other comprehensive income, net of tax | 11,508 | 11,508 | |||||||||
Repurchase of common shares in connection with employee incentive and director compensation plans | 845 | 845 | |||||||||
Dividends, Common Stock, Cash | 26,892 | 26,892 | |||||||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 11,638 | ||||||||||
Other comprehensive income, net of tax | 11,508 | ||||||||||
Other comprehensive income, net of tax | 0 | ||||||||||
Purchase of treasury stock | (805) | ||||||||||
Share-based compensation expense | 3,462 | 3,462 | |||||||||
Deferred Revenue | 5,190 | ||||||||||
Common stockholders' equity | $ 594,393 | $ 187,149 | $ 420,876 | $ (1,425) | $ (12,207) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating activities: | |||
Net income | $ 53,695,000 | $ 46,255,000 | $ 38,471,000 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation, amortization and accretion, net | 17,861,000 | 18,204,000 | 18,142,000 |
Provision for loan losses | 2,504,000 | 5,448,000 | 3,772,000 |
Bank owned life insurance income | (2,430,000) | (1,955,000) | (1,950,000) |
Net (gain) loss on investment securities | (164,000) | 146,000 | (2,983,000) |
Loss on debt extinguishment | 0 | 13,000 | 0 |
Loans originated for sale | (156,058,000) | (123,134,000) | (63,730,000) |
Proceeds from sales of loans | 157,752,000 | 124,796,000 | 66,025,000 |
Net gains on sales of loans | (3,667,000) | (2,846,000) | (1,445,000) |
Deferred income tax expense (benefit) | 109,000 | (309,000) | (2,779,000) |
Increase in accrued expenses | 366,000 | 147,000 | 950,000 |
Decrease (increase) in interest receivable | 613,000 | (854,000) | (807,000) |
(Increase) decrease in other assets | (1,227,000) | (533,000) | 6,050,000 |
Non cash lease expense | 55,000 | ||
Other, net | (1,421,000) | 10,072,000 | 1,311,000 |
Net cash provided by operating activities | 67,157,000 | 75,243,000 | 61,027,000 |
Available-for-sale investment securities: | |||
Purchases | (271,924,000) | (137,818,000) | (180,109,000) |
Proceeds from sales | 72,706,000 | 14,489,000 | 8,355,000 |
Proceeds from principal payments, calls and prepayments | 199,870,000 | 122,986,000 | 143,000,000 |
Held-to-maturity investment securities: | |||
Purchases | 0 | 0 | (1,310,000) |
Proceeds from principal payments | 4,945,000 | 4,281,000 | 3,142,000 |
Other investment securities: | |||
Purchases | (3,114,000) | (2,689,000) | |
Proceeds from sales | 7,340,000 | 7,622,000 | |
Proceeds from insurance claim | 26,000 | ||
Net increase in loans held for investment | 10,661,000 | 134,071,000 | 130,397,000 |
Net expenditures for premises and equipment | (2,809,000) | (4,531,000) | (4,865,000) |
Proceeds from sales of other real estate owned | 239,000 | 278,000 | 556,000 |
Proceeds from bank owned life insurance | 1,642,000 | ||
Business acquisitions, net of cash received | 7,814,000 | 4,695,000 | (1,069,000) |
(Investment in) return of limited partnership and tax credit funds | (5,021,000) | (5,398,000) | 9,000 |
Net cash provided by (used in) investing activities | 1,053,000 | (130,156,000) | (162,688,000) |
Financing activities: | |||
Net increase (decrease) in non-interest-bearing deposits | 4,832,000 | 22,380,000 | (178,411,000) |
Net increase in interest-bearing deposits | 72,841,000 | 3,449,000 | 398,991,000 |
Net (decrease) increase in short-term borrowings | (76,809,000) | 61,883,000 | (146,721,000) |
Proceeds from long-term borrowings | 0 | 0 | 55,000,000 |
Payments on long-term borrowings | (3,501,000) | (4,591,000) | (5,738,000) |
Cash dividends paid | (25,942,000) | (20,915,000) | (14,706,000) |
Repurchase of treasury stock under share repurchase program | (805,000) | 0 | 0 |
Purchase of treasury stock in connection with employee incentive program and compensation plan for Boards of Directors to be held as treasury stock | 845,000 | 1,380,000 | 508,000 |
Proceeds from issuance of common shares | 6,000 | 25,000 | 9,000 |
Contingent consideration payments made after a business acquisition | (406,000) | (520,000) | (207,000) |
Net cash (used in) provided by financing activities | (30,629,000) | 60,331,000 | 107,709,000 |
Net increase in cash, cash equivalents and restricted cash | 37,581,000 | 5,418,000 | 6,048,000 |
Cash, cash equivalents and restricted cash at beginning of period | 77,612,000 | 72,194,000 | 66,146,000 |
Cash, cash equivalents, and restricted cash at end of period | 115,193,000 | 77,612,000 | 72,194,000 |
Supplemental cash flow information: | |||
Interest paid | 28,887,000 | 19,920,000 | 13,001,000 |
Income taxes paid | 11,450,000 | 6,135,000 | 14,036,000 |
Cash Flow, Noncash Investing and Financing Activities Disclosure [Abstract] | |||
Transfers from loans to other real estate owned | 153,000 | 90,000 | 219,000 |
Lease right-of-use assets obtained in exchange for lessee operating lease liabilities | 3,701,000 | ||
Adjustments for New Accounting Pronouncement [Member] | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Fair value adjustment on equity investment securities | $ (831,000) | $ (207,000) | |
Subsequent receipt of proceeds [Member] | |||
Cash Flow, Noncash Investing and Financing Activities Disclosure [Abstract] | |||
Available-for-sale investment security sales settled in a subsequent period | $ 229,000 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies The accounting and reporting policies of Peoples Bancorp Inc. and subsidiaries ("Peoples" refers to Peoples Bancorp Inc. and its consolidated subsidiaries collectively, except where the context indicates the reference relates solely to Peoples Bancorp Inc.) conform to generally accepted accounting principles in the United States of America ("US GAAP") and to general practices within the banking industry. The preparation of the financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Certain items in prior financial statements have been reclassified to conform to the current presentation, which had no impact on net income, total comprehensive income, net cash provided by operating activities or total stockholders' equity. The following is a summary of significant accounting policies followed in the preparation of the financial statements: Consolidation: Peoples' Consolidated Financial Statements include subsidiaries in which Peoples has a controlling financial interest, principally defined as owning a voting interest of greater than 50%. In addition, entities not controlled by voting interest or in which the equity investors do not bear the residual economic risks, but for which Peoples is the primary beneficiary are also consolidated. The Consolidated Financial Statements include the accounts of Peoples and its consolidated subsidiaries, Peoples Bank (along with its wholly-owned subsidiaries) Peoples Investment Company, Peoples Risk Management, Inc. and NB&T Statutory Trust III, for which Peoples holds all of the common securities. All significant intercompany accounts and transactions have been eliminated. Cash and Cash Equivalents: Cash and cash equivalents include cash on hand, balances due from other banks, interest-bearing deposits in other banks, federal funds sold and other short-term investments with original maturities of ninety days or less. Peoples had $20.0 million of restricted funds at December 31, 2019, and no restricted funds at December 31, 2018, held in interest-bearing deposits in other banks, which were being used as collateral and not available for withdrawal. Investment Securities: Investment securities are recorded initially at cost, which includes premiums and discounts if purchased at other than par or face value. Peoples amortizes premiums and accretes discounts as an adjustment to interest income on a level yield basis. The cost of investment securities sold, excluding equity investment securities, and any resulting gain or loss, is based on the specific identification method and recognized as of the trade date. The cost of equity investment securities is based on the weighted-average method. Peoples determines the appropriate classification of investment securities at the time of purchase. Held-to-maturity securities are those securities that Peoples has the positive intent and ability to hold to maturity and are recorded at amortized cost. Available-for-sale securities are those securities that would be available to be sold in the future in response to Peoples' liquidity needs, changes in market interest rates, and asset-liability management strategies, among other considerations. Available-for-sale securities are reported at fair value, with unrealized gains and losses reported in total stockholders' equity as a separate component of accumulated other comprehensive income or loss, net of applicable deferred income taxes. Certain restricted equity investment securities that do not have readily determinable fair values and for which Peoples does not exercise significant influence, are carried at cost. These cost method securities are reported in other investment securities on the Consolidated Balance Sheets and consist primarily of shares of the Federal Home Loan Bank of Cincinnati (the "FHLB") and the Federal Reserve Bank of Cleveland (the "FRB"). Peoples systematically evaluates investment securities for other-than-temporary declines in fair value on a quarterly basis. This analysis requires management to consider various factors, which include (1) the duration and magnitude of the decline in value, (2) the financial condition of the issuer or issuers, and (3) the structure of the security. An impairment loss is recognized in earnings only when (1) Peoples intends to sell the debt security, (2) it is more likely than not that Peoples will be required to sell the security before recovery of its amortized cost basis, or (3) Peoples does not expect to recover the entire amortized cost basis of the security. In situations where Peoples intends to sell or when it is more likely than not that Peoples will be required to sell the security, the entire impairment loss must be recognized in earnings. In all other situations, only the portion of the impairment loss representing the credit loss must be recognized in earnings, with the remaining portion being recognized in total stockholders' equity as a component of accumulated other comprehensive income, net of applicable deferred income taxes. Fair Value Measurements: The measurement of fair value under US GAAP uses a hierarchy intended to maximize the use of observable inputs and minimize the use of unobservable inputs. This hierarchy uses three levels of inputs to measure the fair value of assets and liabilities as follows: Level 1: Quoted prices in active exchange markets for identical assets or liabilities; also includes certain U.S. Treasury and other U.S. government and agency securities actively traded in over-the-counter markets. Level 2: Observable inputs other than Level 1 including quoted prices for similar assets or liabilities, quoted prices in less active markets, or other observable inputs that can be corroborated by observable market data; also includes derivative financial instruments whose value is determined using a pricing model with observable market inputs or can be derived principally from, or corroborated by, observable market data. This category generally includes certain U.S. government and agency securities, corporate debt securities, derivative instruments, and residential mortgage loans held for sale. Level 3: Unobservable inputs supported by little or no market activity for financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as financial instruments for which the determination of fair value requires significant management judgment or estimation; also includes observable inputs for single dealer nonbinding quotes not corroborated by observable market data. This category generally includes certain private equity investments, retained interests from securitizations, and certain collateralized debt obligations. Securities Sold Under Agreements to Repurchase ("Repurchase Agreements"): Peoples enters into Repurchase Agreements with customers and other financial services companies, which are considered financings. As such, these obligations are recorded as a liability on the Consolidated Balance Sheets and disclosed in "Note 8 Short-Term Borrowings" and "Note 9 Long-Term Borrowings," as appropriate. Securities pledged as collateral under Repurchase Agreements are included in investment securities on the Consolidated Balance Sheets and are disclosed in "Note 3 Investment Securities." The fair value of the collateral pledged to a third party is continually monitored and additional collateral is pledged or returned, as deemed appropriate. Loans: Loans originated that Peoples has the positive intent and ability to hold for the foreseeable future or to maturity or payoff are reported at recorded investment, which represents the principal balance outstanding, net of deferred loan fees and costs, and premiums or discounts on purchased loans. The foreseeable future is based upon current market conditions and business strategies, as well as balance sheet management and liquidity. As the conditions change, so may management's view of the foreseeable future. Net deferred loan origination costs were $9.8 million and $9.5 million at December 31, 2019 and 2018, respectively. A loan is considered impaired when information and events indicate it is probable that collection of all contractual principal and interest payments is doubtful. Impairment is evaluated collectively for smaller balance loans of a similar nature, primarily consumer and residential real estate loans, and on an individual loan basis for all loans to borrowers with an aggregate unpaid principal balance in excess of $1.0 million, for which an annual evaluation is performed for possible credit deterioration. This loan review process provides Peoples with opportunities to identify potential problem loans and take proactive actions to assure repayment of the loan or minimize Peoples' risk of loss, such as reviewing the relationship more frequently based upon the loan quality rating and aggregate debt outstanding. Upon detection of the reduced ability of a borrower to meet cash flow obligations, the loan is reviewed for possible downgrade or placement on nonaccrual status. Loan relationships whose aggregate debt to Peoples is equal to or less than $1.0 million are reviewed on an event driven basis. Triggers for review include knowledge of adverse events affecting the business, receipt of financial statements indicating deteriorating credit quality and other events. Peoples also completes evaluation procedures for a selection of larger loan relationships on a quarterly basis. Peoples typically places any loan deemed to be impaired on nonaccrual status and allocates a specific portion of the allowance for loan losses, if necessary, to reduce the net carrying value of the loan to its estimated net realizable value. Impaired loans, or portions thereof, are charged off when deemed uncollectable. Upon detection of the reduced ability of a borrower to meet cash flow obligations, consumer and residential real estate loans typically are charged down to the net realizable value, with the residual balance placed on nonaccrual status. Loans acquired in a business combination that have evidence of deterioration of credit quality, commonly referred to as "purchased credit impaired" loans, since origination and for which it is probable, at acquisition, that Peoples will be unable to collect all contractually required payments are initially recorded at fair value (the present value of the amounts expected to be collected) with no valuation allowance. The difference between the undiscounted cash flows expected at acquisition and the investment in the loan is recognized as interest income on a level yield method over the life of the loan. Contractually required payments for interest and principal that exceed the undiscounted cash flows expected at acquisition are not recognized. Over the life of these acquired loans, management continues to monitor each acquired purchased credit impaired loan portfolio for changes in credit quality. Increases in expected cash flows subsequent to acquisition are recognized prospectively over the remaining life of the acquired purchased credit impaired loans as a yield adjustment on the loans. Subsequent decreases in expected cash flows are recognized as an impairment, with the amount of the expected loss included in provision for loan losses in the period in which it is identified, and Peoples establishes an allowance for loan losses for the expected losses. These purchased credit impaired loans are considered to be accruing and performing even though collection of contractual payments on the loans may be in doubt, as income continues to be accreted as long as expected cash flows can be reasonably estimated. Loans acquired in a business combination that are not impaired are recorded at fair value, with no valuation allowance, and the difference between the acquisition date fair value and the contractual amounts due at the acquisition date represents the discount or premium to a loan's cost basis and is accreted or amortized to interest income over the loan's remaining life using the level yield method. Subsequent to the acquisition date, the method utilized to estimate the required allowance for loan losses for these loans is similar to originated loans; however, Peoples records a provision for loan losses only when the required allowance exceeds the remaining fair value adjustment. Loans Held for Sale: Loans originated and intended to be sold in the secondary market, generally one-to-four family residential loans, are carried at the lower of cost or estimated fair value determined on an aggregate basis. Gains and losses on sales of loans held for sale are included in mortgage banking income. Loans originated with the intent to be held in the portfolio are subsequently transferred to held for sale when a decision is made to sell these loans. At the time of a loan's transfer to the held for sale classification, the loan is recorded at the lower of cost or its fair value. Any reduction in the loan's fair value is reflected as a write-down of the recorded investment resulting in a new cost basis, with a corresponding charge against the allowance for loan losses. If the fair value of a loan classified as held for sale in subsequent periods is less than its cost basis, the carrying value of the loan is adjusted accordingly, with the corresponding loss recognized in earnings. Interest Rate Lock Commitments: Peoples enters into interest rate lock commitments with borrowers and best efforts commitments with investors on mortgage loans originated for sale into the secondary markets to manage the inherent interest rate and pricing risk associated with selling loans. An interest rate lock commitment generally terminates once the loan is funded, the lock period expires or the borrower decides not to contract for the loan. A best efforts commitment generally terminates once the loan is sold, the commitment period expires or the borrower decides not to contract for the loan. These commitments are considered derivatives, which are generally accounted for by recognizing their estimated fair value on the Consolidated Balance Sheets in either other assets or accrued expenses and other liabilities. The valuation of such commitments does not consider expected cash flows related to the servicing of the future loan. Management has determined these derivatives do not have a material effect on Peoples' financial position, results of operations or cash flows. Allowance for Loan Losses: The allowance for loan losses is a valuation reserve established through provisions for loan losses charged against income. The allowance for loan losses is maintained at a level that management deems sufficient to absorb probable losses inherent in the loan portfolio. Loans deemed to be uncollectable are charged against the allowance for loan losses, while recoveries of previously charged off amounts are credited to the allowance for loan losses. The allowance for loan losses is comprised of specific valuation allowances for loans evaluated individually for impairment and general allocations for pools of homogeneous loans with similar risk characteristics and trends. Peoples' homogenous loan pools include similarly risk-graded commercial and industrial loans, similarly risk-graded commercial real estate loans, real estate construction loans (both commercial and residential), residential real estate loans, consumer home equity loans, and indirect and other consumer loans. Peoples' evaluation of the appropriateness of the allowance for loan losses and the related provision for loan losses is based upon a quarterly analysis of the portfolio. While portions of the allowance for loan losses may be allocated to specific loans, the entire allowance for loan losses is available for any loan charged off by management. The allowance for loan losses related to specific loans is based on management's estimate of potential losses on impaired loans as determined by (1) the present value of expected future cash flows, (2) the fair value of collateral if the loan is determined to be collateral dependent, or (3) the loan's observable market price. The general allocations to specific loan pools are based on the historical loss rates for specific loan types and the internal risk grade, if applicable, adjusted for both internal and external qualitative risk factors. The calculation of historical loss rates for pools of similar loans with similar characteristics is based upon the proportion of actual charge-offs experienced to the total population of loans in the pool. The historical loss rates are periodically updated based on actual charge-off experience. The qualitative economic and business conditions and developments that affect the collectibility of the portfolio, including the condition of various market segments, which are considered by management include, among other factors: (1) changes in international, national, regional and local economic and business conditions, (2) changes in asset quality, (3) changes in loan portfolio volume, (4) the composition and concentrations of credit, (5) changes in the value of underlying collateral due to economic or market conditions, and (6) effectiveness of Peoples' loan policies, procedures and internal controls. The allowance for loan losses established for each homogenous loan pool represents the product of the historical loss rate, adjusted for qualitative factors, and the total dollar amount of the loans in the pool. Peoples categorizes loans involving commercial borrowers into risk categories based upon an established grading matrix. This system is used to manage the risk within its commercial lending activities, evaluate changes in the overall credit quality of the loan portfolio and evaluate the appropriateness of the allowance for loan losses. Loan grades are assigned at the time a new loan or lending commitment is extended by Peoples and may be changed at any time when circumstances warrant. Loans to borrowers with an aggregate unpaid principal balance in excess of $1.0 million are reviewed on an annual basis for possible credit deterioration. Loan relationships whose aggregate credit exposure to Peoples is equal to or less than $1.0 million are reviewed on an event driven basis. Triggers for review include knowledge of adverse events affecting the borrower's business, receipt of financial statements indicating deteriorating credit quality or other similar events. Adversely classified loans are generally reviewed on a quarterly basis. The primary factors considered when assigning a risk grade to a loan include (1) reliability and sustainability of the primary source of repayment, (2) past, present and projected financial condition of the borrower, and (3) current economic and industry conditions. Other factors that could influence the risk grade assigned include the type and quality of collateral and the strength of any guarantors. The primary source of repayment for commercial real estate loans and commercial and industrial loans is normally the operating cash flow of the business available to repay debt. Management's analysis of operating cash flow for commercial real estate loans secured by non-owner occupied properties takes into account factors such as rent rolls and vacancy statistics. Management's analysis of operating cash flow for commercial real estate loans secured by owner occupied properties and all commercial and industrial loans considers the profitability, liquidity and leverage of the business. The evaluation of construction loans includes consideration of the borrower's ability to complete construction within the established budget. The primary factors considered when classifying residential real estate, home equity lines of credit and consumer loans include the loan's past due status and declaration of bankruptcy by the borrower(s). The classification of residential real estate and home equity lines of credit also takes into consideration the current value of the underlying collateral. Peoples also evaluates unfunded commitments for construction loans, floor plan lines of credit, home equity lines of credit, other credit lines and letters of credit on a quarterly basis. The calculation of the reserve for unfunded commitments utilizes the same look back period as the allowance for loan losses, and is based on the reported losses on unfunded commitments during this look back period. This annualized loss rate is then applied to the probable drawn amount of the pooled unfunded commitments to determine the required reserve. Peoples also evaluates classified credit exposures with unfunded commitments individually to determine if a loss is both probable and reasonably estimable. Troubled Debt Restructuring ("TDR"): The restructuring of a loan is considered a TDR if both (1) the borrower is experiencing financial difficulties and (2) the creditor has granted a concession. Loans acquired that are restructured after acquisition are not considered TDRs if the loans evidenced credit deterioration as of the acquisition date and are accounted for in pools of purchased credit impaired loans. In assessing whether or not a borrower is experiencing financial difficulties, Peoples considers information currently available regarding the financial condition of the borrower. This information includes, but is not limited to, whether (1) the borrower is currently in payment default on any of the borrower's debt; (2) a payment default is probable in the foreseeable future without the modification; (3) the borrower has declared or is in the process of declaring bankruptcy; and (4) the borrower's projected cash flow is insufficient to satisfy contractual payments due under the original terms of the loan without a modification. Peoples considers all aspects of the modification to loan terms to determine whether or not a concession has been granted to the borrower. Key factors considered by Peoples include the borrower's ability to access funds at a market rate for loans with similar risk characteristics, the significance of the modification relative to the unpaid principal loan balance or collateral value underlying the loan, and the significance of a delay in the timing of payments relative to the original contractual terms of the loan. The most common concessions granted by Peoples generally include one or more modifications to the terms of the loan, such as (1) a reduction in the interest rate for the remaining life of the loan, (2) an extension of the maturity date at an interest rate lower than the current market rate for a new loan with similar risk, (3) a temporary period of interest-only payments, and (4) a reduction in the contractual payment amount for either a short period or the remaining term of the loan. All TDRs are considered impaired loans and are evaluated individually to determine if a write-down is required and if they should be on accrual or nonaccrual status. Bank Premises and Equipment: Bank premises and equipment are stated at cost less accumulated depreciation. Depreciation is computed on the straight-line method over the estimated useful lives of the related assets owned. Major improvements to leased facilities are capitalized and included in bank premises at cost less accumulated depreciation, which is calculated on the straight-line method over the lesser of the remaining term of the leased facility or the estimated economic life of the improvement. Investments in Affordable Housing Limited Partnerships: Investments in affordable housing consist of investments in limited partnerships that operate qualified affordable housing projects or that invest in other limited partnerships formed to operate affordable housing projects. These investments are considered variable interest entities for which Peoples is not the primary beneficiary. Peoples generally utilizes the effective yield method to account for these investments with the tax credits, net of the amortization of the investment, reflected in the Consolidated Statements of Income as a reduction in income tax expense. The unamortized amount of the investments is recorded in other assets and totaled $13.9 million and $9.6 million at December 31, 2019 and 2018, respectively. Other Real Estate Owned ("OREO"): OREO, included in other assets on the Consolidated Balance Sheets, is comprised primarily of commercial and residential real estate properties acquired by Peoples in satisfaction of a loan. OREO obtained in satisfaction of a loan is recorded at the lower of cost or estimated fair value, less estimated costs to sell the property. Peoples had OREO totaling $227,000 at December 31, 2019 and $94,000 at December 31, 2018. Business Combinations: Business combinations are accounted for using the acquisition method of accounting. Under this accounting method, the acquired company's net assets are recorded at fair value on the date of acquisition, and the results of operations of the acquired company are combined with Peoples' from the acquisition date forward. Costs related to the acquisition are expensed as incurred. The purchase price paid over the fair value of the net assets acquired, including intangible assets with finite lives, is recorded as goodwill. Goodwill and Other Intangible Assets: Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired in the business combination. Goodwill is not amortized but is tested for impairment when indicators of impairment exist, or at least annually on October 1. Based upon the most recently completed goodwill impairment test, Peoples concluded the recorded value of goodwill was not impaired as of December 31, 2019, based upon the estimated fair value of Peoples' single reporting unit. Peoples' other intangible assets include customer relationship intangible assets, core deposit intangible assets and servicing rights representing the net present value of future economic benefit to be earned from acquired customer relationships with definite useful lives. These intangible assets are amortized on an accelerated basis over their estimated lives ranging from 7 to 10 years. Servicing Rights: Servicing rights represent the right to service loans sold to third-party investors. Loans that are sold are primarily mortgage loans, but also include small business and agricultural loans. Servicing rights are recognized separately as a servicing asset whenever Peoples undertakes an obligation to service financial assets. Servicing rights are reported in other intangible assets on the Consolidated Balance Sheets. Serviced loans that have been completely sold are not included on the Consolidated Balance Sheets. Loan servicing income included in mortgage banking income includes servicing fees received from the third-party investors and certain charges collected from the borrowers. Peoples initially records servicing rights at fair value at the time of the sale of the loans to the third-party investor. Peoples follows the amortization method for the subsequent measurement of each class of separately recognized servicing assets and liabilities. Under the amortization method, Peoples amortizes the value of servicing assets or liabilities utilizing a straight-line basis approach over the period of estimated net servicing income or net servicing loss, and assesses servicing assets or liabilities for impairment or increased obligation based on the fair value at each reporting date. The fair value of the servicing rights is determined by using a discounted cash flow model, which estimates the present value of the future net cash flows of the servicing portfolio based on various factors, such as servicing costs, expected prepayment speeds and discount rates. Trust Assets Under Administration and Management: Peoples manages certain assets held in a fiduciary or agency capacity for customers. These assets under administration and management, other than cash on deposit at Peoples, are not included in the Consolidated Balance Sheets since they are not assets of Peoples. Interest Income Recognition: Interest income on loans and investment securities is recognized by methods that result in level rates of return on principal amounts outstanding, including yield adjustments resulting from the amortization of loan costs and premiums on investment securities, and accretion of loan fees and discounts on investment securities. Since mortgage-backed securities comprise a sizable portion of Peoples' investment portfolio, a significant increase in principal payments on those securities can impact interest income due to the corresponding acceleration of premium amortization or discount accretion. Peoples discontinues the accrual of interest on a loan when conditions cause management to believe collection of all or any portion of the loan's contractual interest is doubtful. Such conditions may include the borrower being 90 days or more past due on any contractual payments, or current information regarding the borrower's financial condition and repayment ability. All unpaid accrued interest deemed uncollectable is reversed, which reduces Peoples' net interest income. Interest received on nonaccrual loans is included in income only if principal recovery is reasonably assured. Revenue Recognition: Peoples recognizes revenues as they are earned based on contractual terms, or as services are provided and collectability is reasonably assured. Peoples’ principal source of revenue is interest income, which is recognized on an accrual basis primarily according to formulas in written contracts, such as loan agreements or securities contracts. As of January 1, 2018, Peoples adopted ASU 2014-09 – Revenue from Contracts with Customers (Topic 606), and all subsequent updates that modified Accounting Standards Codification ("ASC") 606. Peoples elected to adopt this new accounting guidance using the modified retrospective approach. The modified retrospective approach uses a cumulative-effect adjustment to retained earnings to reflect uncompleted contracts in the initial application of the guidance. As of January 1, 2018, Peoples recorded a cumulative-effect adjustment for uncompleted contracts, which resulted in a reduction to retained earnings and an increase in accrued expenses and other liabilities of $3.7 million, which was net of federal income taxes. The impact during 2018 was an increase in insurance income and a decrease in retained earnings of $305,000 as a result of applying ASC 606. Prior period amounts are not adjusted and continue to be reported under the accounting standards in effect for those respective periods. Estimates of variable consideration are included in revenue to the extent that it is probable that a significant reversal of cumulative revenue will not occur, once the uncertainty is resolved. Peoples' contracts with customers are short-term in nature, and are recognized under the following revenue streams: Insurance Income: Insurance income generally consists of commissions and fees from the sale of insurance policies, fees related to third-party administration services and performance-based commissions from insurance companies. Peoples recognizes commission income from the sale of insurance policies when it acts as an agent between the insurance carrier and policyholder, arranging for the insurance carrier to provide policies to policyholders, and acts on behalf of the insurance carrier by providing customer service to the policyholders during the respective policy periods. Commission income is recognized over time, using the output method of time elapsed, which corresponds with the underlying insurance policy period, during which Peoples is obligated to perform under contract with the insurance carrier. Commission income is variable, as it is comprised of a certain percentage of the underlying policy premium. Peoples estimates the variable consideration based upon the "most likely amount" method, and does not expect or anticipate a significant reversal of revenue in future periods, based upon historical experience. Payment is due from the insurance carrier for commission income once the insurance policy has been sold. Peoples has elected to apply a practical expedient related to capitalizable costs, which are the commissions paid to insurance producers, and will expense these commissions paid to insurance producers as incurred, as these costs are related to the commission income and would have been amortized within one year or less if they had been capital |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair value represents the amount expected to be received to sell an asset or paid to transfer a liability in its principal or most advantageous market in an orderly transaction between market participants at the measurement date. In accordance with fair value accounting guidance, Peoples measures, records and reports various types of assets and liabilities at fair value on either a recurring or a non-recurring basis in the Consolidated Financial Statements. Those assets and liabilities are presented below in the sections entitled "Assets and Liabilities Required to be Measured and Reported at Fair Value on a Recurring Basis" and "Assets and Liabilities Required to be Measured and Reported at Fair Value on a Non-Recurring Basis." Depending on the nature of the asset or liability, Peoples uses various valuation methodologies and assumptions to estimate fair value. The measurement of fair value under US GAAP uses a hierarchy, which is described in "Note 1 Summary of Significant Accounting Policies." Assets and liabilities are assigned to a level within the fair value hierarchy based on the lowest level of significant input used to measure fair value. Assets and liabilities may change levels within the fair value hierarchy due to market conditions or other circumstances. Those transfers are recognized on the date of the event that prompted the transfer. There were no transfers of assets or liabilities required to be measured at fair value on a recurring basis between levels of the fair value hierarchy during the periods presented in the Consolidated Financial Statements. Assets and Liabilities Required to be Measured and Reported at Fair Value on a Recurring Basis The following table provides the fair value for assets and liabilities required to be measured and reported at fair value on a recurring basis on the Consolidated Balance Sheets by level in the fair value hierarchy. Recurring Fair Value Measurements at Reporting Date December 31, 2019 December 31, 2018 (Dollars in thousands) Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Assets: Available-for-sale investment securities: Obligations of: U.S. government sponsored agencies $ — $ 8,209 $ — $ — $ — $ — States and political subdivisions — 114,104 — — 88,587 — Residential mortgage-backed securities — 791,009 — — 692,608 — Commercial mortgage-backed securities — 18,088 — — 6,707 — Bank-issued trust preferred securities — 4,691 — — 3,989 — Total available-for-sale securities — 936,101 — — 791,891 — Equity investment securities (a) 123 198 — 94 183 — Derivative assets (b) — 11,419 — — 4,544 — Liabilities: Derivative liabilities (c) $ — $ 15,116 $ — $ — $ 3,562 $ — (a) Included in other investment securities on the Consolidated Balance Sheets. For additional information, see "Note 3 Investment Securities." (b) Included in other assets on the Consolidated Balance Sheets. For additional information, see "Note 14 Derivative Financial Instruments." (c) Included in accrued expenses and other liabilities on the Consolidated Balance Sheets. For additional information, see "Note 14 Derivative Financial Instruments." Available-for-Sale Investment Securities: The fair values used by Peoples are obtained from an independent pricing service and represent either quoted market prices for the identical securities (Level 1) or fair values determined by pricing models using a market approach that considers observable market data, such as interest rate volatility, LIBOR yield curves, credit spreads and prices from market makers and live trading systems (Level 2). Management reviews the valuation methodology and quality controls utilized by the pricing services in management's overall assessment of the reasonableness of the fair values provided, and challenges prices when management believes a material discrepancy in pricing exists. Equity Investment Securities: The fair values of Peoples' equity investment securities are obtained from q uoted prices in active exchange markets for identical assets or liabilities (Level 1) or quoted prices in less active markets (Level 2). Derivative Assets and Liabilities : Derivative assets and liabilities are recognized on the Consolidated Balance Sheets at their fair value within other assets, and accrued expenses and other liabilities, respectively. The fair value for derivative financial instruments is determined based on market prices, broker-dealer quotations on similar products, or other related input parameters (Level 2). Assets and Liabilities Required to be Measured and Reported at Fair Value on a Non-Recurring Basis The following table provides the fair value for each class of assets and liabilities required to be measured and reported at fair value on a non-recurring basis on the Consolidated Balance Sheets by level in the fair value hierarchy. Non-Recurring Fair Value Measurements at Reporting Date December 31, 2019 December 31, 2018 (Dollars in thousands) Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Impaired loans $ — $ — $ 29,100 $ — $ — $ 24,129 OREO — — 227 — — 94 Impaired Loans: Impaired loans are measured and reported at fair value when the amounts to be received are less than the carrying value of the loans. One of the allowable methods for determining the amount of impairment is estimating fair value using the fair value of the collateral for collateral-dependent loans. Management’s determination of the fair value for these loans uses a market approach representing the estimated net proceeds to be received from the sale of the collateral based on observable market prices or the market value provided by independent, licensed or certified appraisers (Level 3), less estimated selling costs. At December 31, 2019, impaired loans with an aggregate outstanding principal balance of $38.6 million were measured and reported at a fair value of $29.1 million. For the year ended December 31, 2019, Peoples recognized an increase of $1.6 million in the specific reserve on impaired loans, through the allowance for loan losses. Other Real Estate Owned: OREO, included in other assets on the Consolidated Balance Sheets, is comprised primarily of commercial and residential real estate properties acquired by Peoples in satisfaction of a loan. OREO obtained in satisfaction of a loan is recorded at the lower of cost or estimated fair value, less estimated costs to sell the property. The carrying value of OREO is not re-measured to fair value on a recurring basis, but is based on recent real estate appraisals and is updated at least annually. These appraisals may utilize a single valuation approach or a combination of approaches including the comparable sales approach and the income approach. Adjustments are routinely made in the appraisal process by the independent appraisers to adjust for differences between the comparable sales and income data available (Level 3). Financial Instruments Not Required to be Measured and Reported at Fair Value The following table provides the carrying amount for each class of assets and liabilities, and the fair value for certain financial instruments that are not required to be measured or reported at fair value on the Consolidated Balance Sheets. Fair Value Measurements of Other Financial Instruments (Dollars in thousands) Fair Value Hierarchy Level December 31, 2019 December 31, 2018 Carrying Amount Fair Value Carrying Amount Fair Value Assets: Cash and cash equivalents 1 $ 115,193 $ 115,193 $ 77,612 $ 77,612 Held-to-maturity investment securities: Obligations of: States and political subdivisions 2 4,346 4,791 4,403 4,896 Residential mortgage-backed securities 2 21,494 21,569 29,044 28,603 Commercial mortgage-backed securities 2 5,907 6,181 3,514 3,464 Total held-to-maturity securities 31,747 32,541 36,961 36,963 Other investment securities: FHLB stock 2 27,235 27,235 29,367 29,367 FRB stock 2 13,310 13,310 12,294 12,294 Nonqualified deferred compensation 2 1,499 1,499 987 987 Other investment securities 2 365 365 60 60 Other investment securities (a) 42,409 42,409 42,708 42,708 Net loans 3 2,851,969 3,147,190 2,708,583 2,907,537 Loans held for sale 2 6,499 6,553 5,470 5,492 Bank owned life insurance 3 69,722 69,722 68,934 68,934 Servicing rights (b) 3 2,742 3,881 2,655 4,568 Financial liabilities: Deposits 2 $ 3,291,412 $ 3,292,950 $ 2,955,465 $ 2,953,452 Short-term borrowings 2 316,977 317,973 356,198 349,994 Long-term borrowings 2 83,123 82,701 109,644 107,696 (a) Other investment securities, as reported on the Consolidated Balance Sheets, also includes equity investment securities for 2019 and 2018, which are reported in the Assets and Liabilities Required to be Measured and Reported at Fair Value on a Recurring Basis table above. (b) Included in other intangible assets on the Consolidated Balance Sheets. Servicing rights are carried at the lower of cost or market value. For certain financial assets and liabilities, carrying value approximates fair value due to the nature of the financial instrument. These financial instruments include cash and cash equivalents, demand and other non-fixed-maturity deposits, and overnight borrowings. Peoples used the following methods and assumptions in estimating the fair value of the following financial instruments: Cash and Cash Equivalents: Cash and cash equivalents include cash on hand, balances due from other banks, interest-bearing deposits in other banks, federal funds sold and other short-term investments with original maturities of ninety days or less. The carrying amount for cash on hand and balances due from banks is a reasonable estimate of fair value (Level 1). Held-to-Maturity Investment Securities: The fair values used by Peoples are obtained from an independent pricing service and represent fair values determined by pricing models using a market approach that considers observable market data, such as interest rate volatility, LIBOR yield curves, credit spreads and prices from market makers and live trading systems (Level 2). Management reviews the valuation methodology and quality controls utilized by the pricing services in management's overall assessment of the reasonableness of the fair values provided, and challenges prices when management believes a material discrepancy in pricing exists. Other Investment Securities: Other investment securities are measured at their respective redemption values (Level 2). Net Loans: The fair value of portfolio loans assumes the sale of the notes to a third-party financial investor. Accordingly, this value is not necessarily the value to Peoples if the notes were held to maturity. Peoples considered interest rate, credit and market factors in estimating the fair value of loans (Level 3). Fair values for loans are estimated using a discounted cash flow methodology. The discount rates take into account interest rates currently being offered to customers for loans with similar terms, the credit risk associated with the loan and other market factors, including liquidity. Loans Held for Sale: Loans originated and intended to be sold in the secondary market, generally one-to-four family residential loans, are carried, in aggregate, at the lower of cost or estimated fair value. The use of a valuation model using quoted prices of similar instruments are significant inputs in arriving at the fair value (Level 2). Bank Owned Life Insurance: Peoples' bank owned life insurance policies are recorded at their cash surrender value (Level 3). Peoples recognizes tax-exempt income from the periodic increases in the cash surrender value of these policies and from death benefits. Servicing Rights : The fair value of the servicing rights is determined by using a discounted cash flow model, which estimates the present value of the future net cash flows of the servicing portfolio based on various factors, such as servicing costs, expected prepayment speeds and discount rates (Level 3). Deposits: The fair value of fixed-maturity certificates of deposit ("CDs") is estimated using a discounted cash flow calculation based on current rates offered for deposits of similar remaining maturities (Level 2). Short-term Borrowings: The fair value of short-term borrowings is estimated using a discounted cash flow analysis based on rates currently available to Peoples for borrowings with similar terms (Level 2). Long-term Borrowings: The fair value of long-term borrowings is estimated using a discounted cash flow analysis based on rates currently available to Peoples for borrowings with similar terms (Level 2). Certain financial assets and financial liabilities that are not required to be measured or reported at fair value can be subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). These financial assets and liabilities include the following: customer relationships, the deposit base, and other information required to compute Peoples’ aggregate fair value, which are not included in the above information. Accordingly, the above fair values are not intended to represent the aggregate fair value of Peoples. |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2019 | |
Investments [Abstract] | |
Investment Securities | Investment Securities Available-for-sale The following table summarizes Peoples’ available-for-sale investment securities at December 31: (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value 2019 Obligations of: U.S. government sponsored agencies $ 7,917 $ 292 $ — $ 8,209 States and political subdivisions 111,217 3,018 (131) 114,104 Residential mortgage-backed securities 787,430 7,763 (4,184) 791,009 Commercial mortgage-backed securities 18,135 88 (135) 18,088 Bank-issued trust preferred securities 4,696 137 (142) 4,691 Total available-for-sale securities $ 929,395 $ 11,298 $ (4,592) $ 936,101 2018 Obligations of: States and political subdivisions $ 88,358 $ 787 $ (558) $ 88,587 Residential mortgage-backed securities 705,289 2,720 (15,401) 692,608 Commercial mortgage-backed securities 6,812 — (105) 6,707 Bank-issued trust preferred securities 4,196 75 (282) 3,989 Total available-for-sale securities $ 804,655 $ 3,582 $ (16,346) $ 791,891 The unrealized losses related to residential mortgage-backed securities at December 31, 2019 and 2018 were attributable to changes in market interest rates and spreads since the securities were purchased. The gross gains and gross losses realized by Peoples from sales of available-for-sale securities for the years ended December 31 were as follows: (Dollars in thousands) 2019 2018 2017 Gross gains realized $ 252 $ 6 $ 2,999 Gross losses realized 88 152 16 Net gain (loss) realized $ 164 $ (146) $ 2,983 The cost of investment securities sold, and any resulting gain or loss, were based on the specific identification method and recognized as of the trade date. The following table presents a summary of available-for-sale investment securities that had an unrealized loss at December 31: Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrealized Loss No. of Securities Fair Value Unrealized Loss No. of Securities Fair Value Unrealized Loss 2019 Obligations of: States and political subdivisions $ 6,226 $ 74 2 $ 2,441 $ 57 1 $ 8,667 $ 131 Residential mortgage-backed securities 284,096 2,527 62 88,993 1,657 39 373,089 4,184 Commercial mortgage-backed securities 970 21 1 2,409 114 3 3,379 135 Bank-issued trust preferred securities — — — 1,858 142 2 1,858 142 Total $ 291,292 $ 2,622 65 $ 95,701 $ 1,970 45 $ 386,993 $ 4,592 2018 Obligations of: States and political subdivisions $ 10,173 $ 18 17 $ 19,918 $ 540 20 $ 30,091 $ 558 Residential mortgage-backed securities 47,562 226 50 517,335 15,175 170 564,897 15,401 Commercial mortgage-backed securities — — — 6,707 105 3 6,707 105 Bank-issued trust preferred securities — — — 1,718 282 2 1,718 282 Total $ 57,735 $ 244 67 $ 545,678 $ 16,102 195 $ 603,413 $ 16,346 Management systematically evaluates available-for-sale investment securities for other-than-temporary declines in fair value on a quarterly basis. At December 31, 2019, management concluded no individual securities were other-than-temporarily impaired since Peoples did not have the intent to sell, nor was it more likely than not that Peoples would be required to sell, any of the securities with an unrealized loss prior to recovery. Further, the unrealized losses at both December 31, 2019 and 2018 were largely attributable to changes in market interest rates and spreads since the securities were purchased. At December 31, 2019, approximately 99% of the fair value of mortgage-backed securities that had been at an unrealized loss position for twelve months or more were issued by U.S. government sponsored agencies. The remaining 1%, or two positions, consisted of privately issued mortgage-backed securities with all of the underlying mortgages originated prior to 2004. Both of these two positions had a fair value of less than 90% of their book value, with an aggregate book and fair value of $205,000 and $144,000, respectively. Management has analyzed the underlying credit quality of these securities and concluded the unrealized losses were primarily attributable to the floating rate nature of these investments and the low number of loans remaining in these securities. The unrealized losses with respect to the two bank-issued trust preferred securities that had been in an unrealized loss position for twelve months or more at December 31, 2019 were primarily attributable to the subordinated nature of the debt. The table below presents the amortized cost, fair value and total weighted-average yield of available-for-sale securities by contractual maturity at December 31, 2019. The weighted-average yields are based on the amortized cost and are computed on a fully taxable-equivalent basis using a statutory federal corporate income tax rate of 21%. In some cases, the issuers may have the right to call or prepay obligations without call or prepayment penalties prior to the contractual maturity date. (Dollars in thousands) Within 1 Year 1 to 5 Years 5 to 10 Years Over 10 Years Total Amortized cost Obligations of: U.S. government sponsored agencies $ — $ 1,993 $ 5,924 $ — $ 7,917 States and political subdivisions 4,303 24,842 43,699 38,373 111,217 Residential mortgage-backed securities 1 1,860 77,441 708,128 787,430 Commercial mortgage-backed securities 2,372 11,267 982 3,514 18,135 Bank-issued trust preferred securities — — 4,696 — 4,696 Total available-for-sale securities $ 6,676 $ 39,962 $ 132,742 $ 750,015 $ 929,395 Fair value Obligations of: U.S. government sponsored agencies $ — $ 2,045 $ 6,164 $ — $ 8,209 States and political subdivisions 4,316 25,224 45,445 39,119 114,104 Residential mortgage-backed securities 1 1,890 77,076 712,042 791,009 Commercial mortgage-backed securities 2,374 11,325 1,010 3,379 18,088 Bank-issued trust preferred securities — — 4,691 — 4,691 Total available-for-sale securities $ 6,691 $ 40,484 $ 134,386 $ 754,540 $ 936,101 Total weighted-average yield 2.32 % 2.63 % 2.71 % 2.67 % 2.68 % Held-to-Maturity The following table summarizes Peoples’ held-to-maturity investment securities at December 31: (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value 2019 Obligations of: States and political subdivisions $ 4,346 $ 445 $ — $ 4,791 Residential mortgage-backed securities 21,494 169 (94) 21,569 Commercial mortgage-backed securities 5,907 275 (1) 6,181 Total held-to-maturity securities $ 31,747 $ 889 $ (95) $ 32,541 2018 Obligations of: States and political subdivisions $ 4,403 $ 493 $ — $ 4,896 Residential mortgage-backed securities 29,044 191 (632) 28,603 Commercial mortgage-backed securities 3,514 — (50) 3,464 Total held-to-maturity securities $ 36,961 $ 684 $ (682) $ 36,963 There were no gross gains or gross losses realized by Peoples from sales of held-to-maturity securities for the years ended December 31, 2019, 2018 and 2017. The following table presents a summary of held-to-maturity investment securities that had an unrealized loss at December 31: Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrealized Loss No. of Securities Fair Value Unrealized Loss No. of Securities Fair Value Unrealized Loss 2019 Residential mortgage-backed securities $ 7,731 $ 67 1 $ 890 $ 27 1 $ 8,621 $ 94 Commercial mortgage-backed securities 1,666 1 1 — — — 1,666 1 Total $ 9,397 $ 68 2 $ 890 $ 27 1 $ 10,287 $ 95 2018 Residential mortgage-backed securities $ — $ — — $ 13,102 $ 632 5 $ 13,102 $ 632 Commercial mortgage-backed securities — — — 3,464 50 1 3,464 50 Total $ — $ — — $ 16,566 $ 682 6 $ 16,566 $ 682 The table below presents the amortized cost, fair value and total weighted-average yield of held-to-maturity securities by contractual maturity at December 31, 2019. The weighted-average yields are based on the amortized cost and are computed on a fully taxable-equivalent basis using a statutory federal corporate income tax rate of 21%. In some cases, the issuers may have the right to call or prepay obligations without call or prepayment penalties prior to the contractual maturity date. (Dollars in thousands) Within 1 Year 1 to 5 Years 5 to 10 Years Over 10 Years Total Amortized cost Obligations of: States and political subdivisions $ 302 $ — $ 3,543 $ 501 $ 4,346 Residential mortgage-backed securities — — 3,648 17,846 21,494 Commercial mortgage-backed securities — 398 3,842 1,667 5,907 Total held-to-maturity securities $ 302 $ 398 $ 11,033 $ 20,014 $ 31,747 Fair value Obligations of: States and political subdivisions $ 303 $ — $ 3,986 $ 502 $ 4,791 Residential mortgage-backed securities — — 3,715 17,854 21,569 Commercial mortgage-backed securities — 402 4,113 1,666 6,181 Total held-to-maturity securities $ 303 $ 402 $ 11,814 $ 20,022 $ 32,541 Total weighted-average yield 2.61 % 2.29 % 2.79 % 2.82 % 2.80 % Other Investment Securities Peoples' other investment securities on the Consolidated Balance Sheets consist largely of shares of FHLB of Cincinnati and FRB of Cleveland stock, and other equity investment securities. The following table summarizes the carrying value of Peoples' other investment securities at December 31: (Dollars in thousands) 2019 2018 FHLB stock $ 27,235 $ 29,367 FRB stock 13,310 12,294 Nonqualified deferred compensation 1,499 987 Equity investment securities 321 277 Other investment securities 365 60 Total other investment securities $ 42,730 $ 42,985 During 2019, Peoples redeemed $4.9 million of FHLB stock in order to be in compliance with the requirements of the FHLB of Cincinnati, and acquired $2.8 million of FHLB stock through the First Prestonsburg acquisition. As of January 1, 2018, Peoples adopted ASU 2016-01, which requires changes in the fair value of equity investment securities to be recognized in net income. Prior to 2018, changes in the fair value of equity investment securities were recognized through accumulated other comprehensive income. During the year ended December 31, 2019, Peoples recorded the change in the fair value of equity investment securities held at December 31, 2019 in other non-interest income, resulting in unrealized gain of $44,000. During the year ended December 31, 2018, Peoples recorded the change in the fair value of equity investment securities held at December 31, 2018 in other non-interest income, resulting in unrealized gain of $619,000. Additionally, the adoption of ASU 2016-01 resulted in the reclassification of equity investment securities from available-for-sale investment securities to other investment securities. Consequently, as of January 1, 2018, net realized gains on the sale of equity investment securities are included in other non-interest income on the Consolidated Statements of Income. Net realized gains on sales of equity investment securities, included in other non-interest income during 2019, consisted of a realized gain of $787,000 related to the sale of restricted Class B Visa stock, which had been held at a carrying cost and fair value of zero due to the litigation liability associated with the stock. During 2018, there was a $413,000 realized loss on the sale of equity investment securities, included in other non-interest income. At December 31, 2019, Peoples' investment in equity investment securities was comprised largely of common stocks issued by various unrelated bank holding companies. There were no equity investment securities of a single issuer that exceeded 10% of Peoples' stockholders' equity. Pledged Securities Peoples had pledged available-for-sale investment securities and held-to-maturity investment securities to secure public and trust department deposits, and Repurchase Agreements in accordance with federal and state requirements. Peoples also pledged available-for-sale investment securities and held-to-maturity securities to secure additional borrowing capacity at the FHLB and the FRB. The following table summarizes the carrying value of Peoples' pledged investment securities as of December 31: Carrying Amount (Dollars in thousands) 2019 2018 Securing public and trust department deposits, and Repurchase Agreements: Available-for-sale $ 527,655 $ 429,987 Held-to-maturity 12,975 16,928 Securing additional borrowing capacity at the FHLB and the FRB: Available-for-sale 44,618 60,058 Held-to-maturity 14,155 16,731 |
Loans
Loans | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Loans | Loans Peoples' loan portfolio consists of various types of loans originated primarily as a result of lending opportunities within Peoples' primary market areas of northeastern, central, southwestern and southeastern Ohio, and eastern and central Kentucky, and west central West Virginia. Acquired loans consist of loans purchased in 2012 or thereafter. Loans that were acquired and subsequently re-underwritten, are reported as originated upon execution of such credit actions (for example, renewals and increases in lines of credit). The major classifications of loan balances (in each case, net of deferred fees and costs), excluding loans held for sale, were as follows at December 31: (Dollars in thousands) 2019 2018 Originated loans: Construction $ 83,283 $ 124,013 Commercial real estate, other 671,576 632,200 Commercial real estate 754,859 756,213 Commercial and industrial 622,175 530,207 Residential real estate 314,935 296,860 Home equity lines of credit 93,013 93,326 Consumer, indirect 417,127 407,167 Consumer, direct 70,852 71,674 Consumer 487,979 478,841 Deposit account overdrafts 878 583 Total originated loans $ 2,273,839 $ 2,156,030 Acquired loans: Construction $ 5,235 $ 12,404 Commercial real estate, other 161,662 184,711 Commercial real estate 166,897 197,115 Commercial and industrial 40,818 35,537 Residential real estate 346,541 296,937 Home equity lines of credit 39,691 40,653 Consumer, indirect 58 136 Consumer, direct 5,681 2,370 Consumer 5,739 2,506 Total acquired loans $ 599,686 $ 572,748 Total loans $ 2,873,525 $ 2,728,778 Peoples has acquired various loans through business combinations for which there was, at acquisition, evidence of deterioration of credit quality since origination, and for which it was probable that all contractually required payments would not be collected. The carrying amounts of these purchased credit impaired loans included in the loan balances above are summarized as follows at December 31: (Dollars in thousands) 2019 2018 Commercial real estate $ 9,150 $ 11,955 Commercial and industrial 3,689 1,287 Residential real estate 23,814 20,062 Consumer 385 58 Total outstanding balance $ 37,038 $ 33,362 Net carrying amount $ 23,750 $ 22,475 Changes in the accretable yield for purchased credit impaired loans during the year ended December 31 were as follows: (Dollars in thousands) 2019 2018 Balance, beginning of period $ 8,955 $ 6,704 Reclassification from nonaccretable to accretable 199 2,019 Additions: ASB — 2,047 First Prestonsburg 3,860 — Accretion (2,955) (1,815) Balance, December 31 $ 10,059 $ 8,955 The fair value of newly acquired loans is determined at the time of acquisition and Peoples completes annual re-estimations of cash flows on acquired purchased credit impaired loans in August of each year. At the end of each quarter, Peoples evaluates factors to determine if a material change has occurred in acquired purchased credit impaired loans, and if a re-estimation is needed. Factors evaluated to determine if a re-estimation is needed include changes in: risk ratings, maturity dates, charge-offs, payoffs, nonaccrual status, loans that have become past due and actual cash flows compared to the projected cash flows from the last re-estimation. Peoples evaluates these changes quarterly and compares the current status or activity to those at the previous cash flow re-estimation date, and the related materiality of the changes. As of December 31, 2019, these changes, when compared to the total loan portfolio and the factors at the last re-estimation date, would not have a material impact on amounts recorded since the last re-estimation. Peoples completed a re-estimation of cash flows on purchased credit impaired loans in August 2019, resulting in a reclassification from nonaccretable to accretable yield as shown in the table above. Cash flows expected to be collected on purchased credit impaired loans are estimated by incorporating several key assumptions, similar to those used in the initial estimate of fair value. These key assumptions include probability of default, and the amount of actual prepayments after the acquisition date. Prepayments affect the estimated life of the loans and could change the amount of interest income and possibly the principal expected to be collected. In reforecasting future estimated cash flows, credit loss expectations are adjusted as necessary. Pledged Loans Peoples has pledged certain loans secured by one-to-four family and multifamily residential mortgages under a blanket collateral agreement to secure borrowings from the FHLB of Cincinnati. FHLB of Cincinnati also has a blanket collateral lien on home equity lines of credit totaling $132.7 million; however, none of these loans were pledged as of December 31, 2019. Peoples also has pledged commercial loans to secure borrowings with the FRB of Cleveland. Loans pledged are summarized as follows at December 31: (Dollars in thousands) 2019 2018 Loans pledged to FHLB of Cincinnati $ 458,227 $ 505,676 Loans pledged to FRB of Cleveland 172,693 180,909 Related Party Loans In the normal course of its business, Peoples Bank has granted loans to certain directors and officers of Peoples, including their affiliates, families and entities in which they are principal owners. At December 31, 2019, no related party loan was past due 90 or more days, renegotiated or on nonaccrual status. Activity in related party loans is presented in the table below. Other changes primarily consist of changes in related party status, and the addition and exit of directors during the year, as applicable. (Dollars in thousands) Balance, December 31, 2018 $ 16,789 New loans and disbursements 4,198 Repayments (5,607) Balance, December 31, 2019 $ 15,380 Nonaccrual and Past Due Loans A loan is considered past due if any required principal and interest payments have not been received as of the date such payments were required to be made under the terms of the loan agreement. A loan may be placed on nonaccrual status regardless of whether or not such loan is considered past due. The recorded investments in loans on nonaccrual status and loans delinquent for 90 days or more and accruing were as follows at December 31: Loans 90+ Days Past Due and Accruing Nonaccrual Loans (Dollars in thousands) 2019 2018 2019 2018 Originated loans: Construction $ — $ 710 $ — $ — Commercial real estate, other 6,626 6,565 — 786 Commercial real estate 6,626 7,275 — 786 Commercial and industrial 2,060 1,673 — — Residential real estate 4,365 4,105 755 398 Home equity lines of credit 458 596 51 7 Consumer, indirect 840 480 — — Consumer, direct 43 56 — — Consumer 883 536 — — Total originated loans $ 14,392 $ 14,185 $ 806 $ 1,191 Acquired loans: Construction $ 411 $ — $ — $ — Commercial real estate, other 175 319 907 15 Commercial real estate 586 319 907 15 Commercial and industrial 95 36 155 18 Residential real estate 1,996 1,921 1,922 1,032 Home equity lines of credit 707 637 57 — Consumer, direct 5 — 85 — Total acquired loans $ 3,389 $ 2,913 $ 3,126 $ 1,065 Total loans $ 17,781 $ 17,098 $ 3,932 $ 2,256 The following tables present the aging of the recorded investment in past due loans at December 31: Loans Past Due Current Total (Dollars in thousands) 30 – 59 days 60 – 89 days 90 + Days Total 2019 Originated loans: Construction $ — $ — $ — $ — $ 83,283 $ 83,283 Commercial real estate, other 75 12 6,432 6,519 665,057 671,576 Commercial real estate 75 12 6,432 6,519 748,340 754,859 Commercial and industrial 2,477 292 994 3,763 618,412 622,175 Residential real estate 4,487 1,231 3,104 8,822 306,113 314,935 Home equity lines of credit 396 267 405 1,068 91,945 93,013 Consumer, indirect 3,574 714 370 4,658 412,469 417,127 Consumer, direct 459 53 27 539 70,313 70,852 Consumer 4,033 767 397 5,197 482,782 487,979 Deposit account overdrafts — — — — 878 878 Total originated loans $ 11,468 $ 2,569 $ 11,332 $ 25,369 $ 2,248,470 $ 2,273,839 Acquired loans: Construction $ 5 $ — $ 411 $ 416 $ 4,819 $ 5,235 Commercial real estate, other 301 325 1,069 1,695 159,967 161,662 Commercial real estate 306 325 1,480 2,111 164,786 166,897 Commercial and industrial 303 20 250 573 40,245 40,818 Residential real estate 6,051 1,687 2,768 10,506 336,035 346,541 Home equity lines of credit 246 243 628 1,117 38,574 39,691 Consumer, indirect — — — — 58 58 Consumer, other 160 64 85 309 5,372 5,681 Consumer 160 64 85 309 5,430 5,739 Total acquired loans $ 7,066 $ 2,339 $ 5,211 $ 14,616 $ 585,070 $ 599,686 Total loans $ 18,534 $ 4,908 $ 16,543 $ 39,985 $ 2,833,540 $ 2,873,525 Loans Past Due Current Total (Dollars in thousands) 30 – 59 days 60 – 89 days 90 + Days Total 2018 Originated loans: Construction $ — $ — $ 710 $ 710 $ 123,303 $ 124,013 Commercial real estate, other 12 736 7,151 7,899 624,301 632,200 Commercial real estate 12 736 7,861 8,609 747,604 756,213 Commercial and industrial 1,678 3,520 1,297 6,495 523,712 530,207 Residential real estate 4,457 1,319 2,595 8,371 288,489 296,860 Home equity lines of credit 531 30 431 992 92,334 93,326 Consumer, indirect 3,266 488 165 3,919 403,248 407,167 Consumer, direct 308 50 42 400 71,274 71,674 Consumer 3,574 538 207 4,319 474,522 478,841 Deposit account overdrafts — — — — 583 583 Total originated loans $ 10,252 $ 6,143 $ 12,391 $ 28,786 $ 2,127,244 $ 2,156,030 Acquired loans: Construction $ 511 $ — $ — $ 511 $ 11,893 $ 12,404 Commercial real estate, other 523 457 233 1,213 183,498 184,711 Commercial real estate 1,034 457 233 1,724 195,391 197,115 Commercial and industrial 111 13 18 142 35,395 35,537 Residential real estate 6,124 1,823 1,885 9,832 287,105 296,937 Home equity lines of credit 238 233 534 1,005 39,648 40,653 Consumer, indirect — — — — 136 136 Consumer, direct 23 6 — 29 2,341 2,370 Consumer 23 6 — 29 2,477 2,506 Total acquired loans $ 7,530 $ 2,532 $ 2,670 $ 12,732 $ 560,016 $ 572,748 Total loans $ 17,782 $ 8,675 $ 15,061 $ 41,518 $ 2,687,260 $ 2,728,778 Delinquency trends remained stable as 98.6% of Peoples' portfolio was considered "current" at December 31, 2019, compared to 98.5% at December 31, 2018. Credit Quality Indicators As discussed in "Note 1 Summary of Significant Accounting Policies," Peoples categorizes the majority of its loans into risk categories based upon an established risk grading matrix using a scale of 1 to 8. A description of the general characteristics of the risk grades used by Peoples follows: "Pass" (grades 1 through 4): Loans in this risk category are to borrowers of acceptable-to-strong credit quality and risk who have the apparent ability to satisfy their loan obligations. Loans in this risk category would possess sufficient mitigating factors, such as adequate collateral or strong guarantors possessing the capacity to repay the loans if required, for any weakness that may exist. "Special Mention" (grade 5): Loans in this risk category are the equivalent of the regulatory "Other Assets Especially Mentioned" classification. Loans in this risk category possess some credit deficiency or potential weakness, which requires a high level of management attention. Potential weaknesses include declining trends in operating earnings and cash flows and/or reliance on the secondary source of repayment. If left uncorrected, these potential weaknesses may result in noticeable deterioration of the repayment prospects for the loans or in Peoples' credit position. "Substandard" (grade 6): Loans in this risk category are inadequately protected by the borrower's current financial condition and payment capability, or by the collateral pledged, if any. Loans so classified have one or more well-defined weaknesses that jeopardize the orderly repayment of the loans. They are characterized by the distinct possibility that Peoples will sustain some loss if the deficiencies are not corrected. "Doubtful" (grade 7): Loans in this risk category have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or orderly repayment in full, on the basis of current existing facts, conditions and values, highly questionable and improbable. Possibility of loss is extremely high, but because of certain important and reasonably specific factors that may work to the advantage and strengthening of the exposure, classification of these loans as an estimate loss is deferred until their more exact status may be determined. "Loss" (grade 8): Loans in this risk category are considered to be non-collectible and of such little value that their continuance as bankable assets is not warranted. This does not mean each such loan has absolutely no recovery value, but rather it is neither practical nor desirable to defer writing off the loan, even though partial recovery may be obtained in the future. Charge-offs against the allowance for loan losses are taken in the period in which the loan becomes uncollectable. Consequently, Peoples typically does not maintain a recorded investment in loans within this risk category. Consumer loans and other smaller-balance loans are evaluated and categorized as "substandard," "doubtful" or "loss" based upon the regulatory definition of these classes and consistent with regulatory requirements. All other loans not evaluated individually, nor meeting the regulatory conditions to be categorized as described above, would be considered as being "not rated." The following tables summarize the risk category of Peoples' loan portfolio based upon the most recent analysis performed at December 31: Pass Rated Special Mention Substandard Doubtful Not Rated Total (Dollars in thousands) (Grades 1 – 4) (Grade 5) (Grade 6) (Grade 7) 2019 Originated loans: Construction $ 81,771 $ — $ — $ — $ 1,512 $ 83,283 Commercial real estate, other 640,745 12,130 18,694 7 — 671,576 Commercial real estate 722,516 12,130 18,694 7 1,512 754,859 Commercial and industrial 601,578 7,821 12,776 — — 622,175 Residential real estate 17,713 916 15,488 159 280,659 314,935 Home equity lines of credit 1,348 — — — 91,665 93,013 Consumer, indirect — — — — 417,127 417,127 Consumer, direct 26 — — — 70,826 70,852 Consumer 26 — — — 487,953 487,979 Deposit account overdrafts — — — — 878 878 Total originated loans $ 1,343,181 $ 20,867 $ 46,958 $ 166 $ 862,667 $ 2,273,839 Pass Rated Special Mention Substandard Doubtful Not Rated Total (Dollars in thousands) (Grades 1 – 4) (Grade 5) (Grade 6) (Grade 7) 2019 Acquired loans: Construction $ 3,578 $ 150 $ 1,507 $ — $ — $ 5,235 Commercial real estate, other 146,973 5,442 9,164 83 — 161,662 Commercial real estate 150,551 5,592 10,671 83 — 166,897 Commercial and industrial 35,508 1,595 3,715 — — 40,818 Residential real estate 32,193 2,468 4,436 125 307,319 346,541 Home equity lines of credit 1,812 154 — — 37,725 39,691 Consumer, indirect — — — — 58 58 Consumer, direct 26 — — — 5,655 5,681 Consumer 26 — — — 5,713 5,739 Total acquired loans $ 220,090 $ 9,809 $ 18,822 $ 208 $ 350,757 $ 599,686 Total loans $ 1,563,271 $ 30,676 $ 65,780 $ 374 $ 1,213,424 $ 2,873,525 2018 Originated loans: Construction $ 121,457 $ — $ 1,472 $ — $ 1,084 $ 124,013 Commercial real estate, other 612,099 10,898 9,203 — — 632,200 Commercial real estate 733,556 10,898 10,675 — 1,084 756,213 Commercial and industrial 476,290 45,990 7,692 — 235 530,207 Residential real estate 14,229 500 11,971 409 269,751 296,860 Home equity lines of credit 453 — — — 92,873 93,326 Consumer, indirect 8 — — — 407,159 407,167 Consumer, direct 30 — — — 71,644 71,674 Consumer 38 — — — 478,803 478,841 Deposit account overdrafts — — — — 583 583 Total originated loans $ 1,224,566 $ 57,388 $ 30,338 $ 409 $ 843,329 $ 2,156,030 Acquired loans: Construction $ 8,976 $ 1,795 $ 1,633 $ — $ — $ 12,404 Commercial real estate, other 169,260 7,241 8,114 96 — 184,711 Commercial real estate 178,236 9,036 9,747 96 — 197,115 Commercial and industrial 32,471 2,008 1,058 — — 35,537 Residential real estate 17,370 1,938 2,033 137 275,459 296,937 Home equity lines of credit 33 — — — 40,620 40,653 Consumer, indirect 4 — — — 132 136 Consumer, direct 31 — — — 2,339 2,370 Consumer 35 — — — 2,471 2,506 Total acquired loans $ 228,145 $ 12,982 $ 12,838 $ 233 $ 318,550 $ 572,748 Total loans $ 1,452,711 $ 70,370 $ 43,176 $ 642 $ 1,161,879 $ 2,728,778 During 2019, Peoples' classified loans, which are loans categorized as substandard or doubtful, increased compared to the balances at December 31, 2018 mostly due three large originated commercial loans being downgraded during 2019 to substandard, coupled with an increase in acquired loans related to the First Prestonsburg acquisition. At December 31, 2019, Peoples had a total of $1.9 million of loans secured by residential real estate mortgages that were in the process of foreclosure compared to $1.8 million at December 31, 2018. Impaired Loans The following table summarizes loans classified as impaired at December 31: Unpaid Principal Balance Recorded Investment Total Recorded Investment Average Recorded Investment Interest Income Recognized With Without Related Allowance (Dollars in thousands) Allowance Allowance 2019 Construction $ 1,509 $ — $ 1,423 $ 1,423 $ — $ 1,297 $ 44 Commercial real estate, other 14,519 4,754 8,829 13,583 430 13,210 475 Commercial real estate 16,028 4,754 10,252 15,006 430 14,507 519 Commercial and industrial 6,018 2,294 2,829 5,123 698 3,205 160 Residential real estate 26,581 123 24,566 24,689 15 23,370 1,436 Home equity lines of credit 1,583 414 1,170 1,584 9 1,384 92 Consumer, indirect 767 298 494 792 53 359 33 Consumer, direct 387 55 329 384 7 200 21 Consumer 1,154 353 823 1,176 60 559 54 Total $ 51,364 $ 7,938 $ 39,640 $ 47,578 $ 1,212 $ 43,025 $ 2,261 2018 Construction $ 2,376 $ — $ 2,376 2,376 $ — $ 1,732 $ 74 Commercial real estate, other 15,464 274 14,946 15,220 119 14,043 455 Commercial real estate 17,840 274 17,322 17,596 119 15,775 529 Commercial and industrial 3,305 790 2,436 3,226 157 2,423 72 Residential real estate 25,990 644 24,034 24,678 154 22,769 1,134 Home equity lines of credit 2,291 424 1,869 2,293 73 1,832 109 Consumer, indirect 496 — 503 503 — 278 15 Consumer, direct 79 22 57 79 6 63 20 Consumer 575 22 560 582 6 341 35 Total $ 50,001 $ 2,154 $ 46,221 $ 48,375 $ 509 $ 43,140 $ 1,879 Peoples' loans classified as impaired and shown in the table above, included loans that were classified as TDRs. The following table summarizes the loans that were modified as TDRs during the years ended December 31, 2019 and 2018. Recorded Investment (1) (Dollars in thousands) Number of Contracts Pre-Modification Post-Modification Remaining Recorded Investment 2019 Originated loans: Commercial and industrial 2 $ 38 $ 38 $ 32 Residential real estate 3 437 440 431 Home equity lines of credit 4 139 139 136 Consumer, indirect 17 260 260 234 Consumer, direct 3 52 52 45 Consumer 20 312 312 279 Total 29 $ 926 $ 929 $ 878 Acquired loans: Commercial real estate 3 $ 101 $ 76 $ 76 Commercial and industrial 5 1,557 1,557 1,464 Residential real estate 38 2,069 2,069 1,967 Home equity lines of credit 8 172 173 164 Consumer, direct 10 124 124 114 Total 64 $ 4,023 $ 3,999 $ 3,785 2018 Originated loans: Commercial and industrial 1 $ 714 $ 714 $ 714 Residential real estate 9 904 904 899 Home equity lines of credit 8 666 666 660 Consumer, indirect 27 485 485 412 Consumer, direct 5 32 32 29 Consumer 32 517 517 441 Total 50 $ 2,801 $ 2,801 $ 2,714 Acquired loans: Construction 1 $ 50 $ 50 $ 45 Residential real estate 15 1,258 1,258 1,226 Home equity lines of credit 6 196 196 193 Total 22 $ 1,504 $ 1,504 $ 1,464 (1) The amounts shown are inclusive of all partial paydowns and charge-offs. Loans modified in a TDR that were fully paid down, charged-off or foreclosed upon by period end are not reported. The following table presents those loans modified into a TDR during the year that subsequently defaulted (i.e., 90 days or more past due following a modification during 2018. There were no loans modified into a TDR during the year ended December 31, 2019. 2018 (Dollars in thousands) Number of Contracts Recorded Investment (1) Impact on the Allowance for Loan Losses Originated loans: Residential real estate 1 $ 56 $ — Home equity lines of credit 1 32 — Total 2 $ 88 $ — Acquired loans: Home equity lines of credit 1 $ 10 $ — Total 1 $ 10 $ — (1) The amounts shown are inclusive of all partial paydowns and charge-offs. Loans modified in a TDR that were fully paid down, charged-off or foreclosed upon by period end are not reported. Peoples had no commitments to lend additional funds to the related borrowers whose loan terms have been modified in a TDR. Allowance for Loan Losses Changes in the allowance for loan losses in the periods ended December 31 were as follows: (Dollars in thousands) Commercial Real Estate Commercial and Industrial Residential Real Estate Home Equity Lines of Credit Consumer, indirect Consumer, direct Deposit Account Overdrafts Total Balance, January 1, 2019 $ 8,003 $ 6,178 $ 1,214 $ 618 $ 3,214 $ 351 $ 81 $ 19,659 Charge-offs (153) (1,062) (312) (55) (1,829) (211) (851) (4,473) Recoveries 151 2,415 229 11 270 52 205 3,333 Net (charge-offs) recoveries (2) 1,353 (83) (44) (1,559) (159) (646) (1,140) (Recovery of) provision for loan losses (668) 901 60 (28) 1,282 102 659 2,308 Balance, December 31, 2019 $ 7,333 $ 8,432 $ 1,191 $ 546 $ 2,937 $ 294 $ 94 $ 20,827 Balance, January 1, 2018 $ 7,797 $ 5,813 $ 904 $ 693 $ 2,944 $ 464 $ 70 $ 18,685 Charge-offs (849) (38) (355) (107) (2,515) (358) (965) (5,187) Recoveries 60 18 232 14 474 140 205 1,143 Net charge-offs (789) (20) (123) (93) (2,041) (218) (760) (4,044) Provision for loan losses 995 385 433 18 2,311 105 771 5,018 Balance, December 31, 2018 $ 8,003 $ 6,178 $ 1,214 $ 618 $ 3,214 $ 351 $ 81 $ 19,659 The increase in total allowance for loan losses in 2019 was primarily due to total loan growth of 5%, or $144.7 million, driven by growth in commercial and industrial loan balances, partially offset by a reduction in commercial real estate loan balances. The following table details the recorded investment and allowance for originated loan losses disaggregated based on impairment method: (Dollars in thousands) Commercial Real Estate Commercial and Industrial Residential Real Estate Home Equity Lines of Credit Consumer Indirect Consumer Direct Deposit Account Overdrafts Total 2019 Allowance for loan losses allocated to: Loans individually evaluated for impairment $ 430 $ 698 $ 15 $ 9 $ 53 $ 7 $ — $ 1,212 Loans collectively evaluated for impairment 6,903 7,734 1,176 537 2,884 287 94 19,615 Ending balance $ 7,333 $ 8,432 $ 1,191 $ 546 $ 2,937 $ 294 $ 94 $ 20,827 Recorded investment in: Loans individually evaluated for impairment $ 15,006 $ 5,123 $ 24,689 $ 1,584 $ 792 $ 384 $ — $ 47,578 Loans collectively evaluated for impairment 739,853 617,052 290,246 91,429 416,335 70,468 878 2,226,261 Ending balance $ 754,859 $ 622,175 $ 314,935 $ 93,013 $ 417,127 $ 70,852 $ 878 $ 2,273,839 2018 Allowance for loan losses allocated to: Loans individually evaluated for impairment $ 119 $ 157 $ 154 $ 73 $ — $ 6 $ — $ 509 Loans collectively evaluated for impairment 7,884 6,021 1,060 545 3,214 345 81 19,150 Ending balance $ 8,003 $ 6,178 $ 1,214 $ 618 $ 3,214 $ 351 $ 81 $ 19,659 Recorded investment in: Loans individually evaluated for impairment $ 17,596 $ 3,226 $ 24,678 $ 2,293 $ 503 $ 79 $ — $ 48,375 Loans collectively evaluated for impairment 738,617 526,981 272,182 91,033 406,664 71,595 583 2,107,655 Ending balance $ 756,213 $ 530,207 $ 296,860 $ 93,326 $ 407,167 $ 71,674 $ 583 $ 2,156,030 Allowance for Acquired Loan Losses Acquired loans are recorded at their fair value as of the acquisition date with no valuation allowance, and monitored for changes in credit quality and subsequent increases or decreases in expected cash flows. Decreases in expected cash flows of acquired purchased credit impaired loans are recognized as an impairment, with the amount of the expected loss included in management's evaluation of the appropriateness of the allowance for loan losses. The methods utilized to estimate the required allowance for loan losses for nonimpaired acquired loans are similar to those utilized for originated loans; however, Peoples records a provision for loan losses only when the computed allowance for loan losses exceeds the remaining fair value adjustment. The following table presents activity in the allowance for loan losses for acquired loans as of December 31: (Dollars in thousands) 2019 2018 Nonimpaired loans: Balance, January 1 $ 383 $ — Charge-offs (3) — Provision for loan losses 215 383 Balance, December 31 $ 595 $ 383 Purchased credit impaired loans: Balance, January 1 $ 153 $ 108 Charge-offs — (2) (Recovery of) provision for loan losses (19) 47 Balance, December 31 $ 134 $ 153 During 2019, Peoples recorded an additional provision for loan losses for nonimpaired loans of $215,000 related to prior acquisitions. During 2018, Peoples recorded provision for loan losses of $383,000 for nonimpaired loans. The additional provision was primarily the result of the ASB acquisition. The remaining fair value adjustment recorded for the nonimpaired loans acquired from ASB was not sufficient based on the calculation of the allowance for loan losses as of December 31, 2018. |
Bank Premises and Equipment
Bank Premises and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Bank Premises and Equipment | Bank Premises and Equipment The major categories of bank premises and equipment, net of accumulated depreciation, at December 31 are summarized as follows: (Dollars in thousands) 2019 2018 Land $ 15,317 $ 13,776 Building and premises 73,097 68,245 Furniture, fixtures and equipment 30,268 28,523 Total bank premises and equipment 118,682 110,544 Accumulated depreciation (56,836) (54,002) Net book value $ 61,846 $ 56,542 Peoples depreciates its building and premises, and furniture, fixtures and equipment over estimated useful lives generally ranging from five to forty years and two to ten years, respectively. Depreciation expense was $5.7 million in 2019 and $4.9 million in each of 2018 and 2017. Leases Peoples leases certain banking facilities and equipment under various agreements with original terms providing for fixed monthly payments over periods generally ranging from two thirty Peoples elected certain practical expedients, in accordance with the adoption of ASC 842. Peoples elected to recognize a cumulative-effect adjustment to the opening balance of retained earnings on January 1, 2019 for the implementation of ASU 2016-02. Peoples also made an accounting policy election to account for each separate lease component of a contract and its associated non-lease components as a single lease component for all leases subject to ASC 842. The table below details Peoples' lease expense, which is included in net occupancy and equipment expense in the Consolidated Statements of Income: (Dollars in thousands) 2019 Operating lease expense $ 1,227 Short-term lease expense 137 Total lease expense $ 1,364 Peoples utilizes an incremental borrowing rate to determine the present value of lease payments for each lease, as the lease agreements do not provide an implicit rate. The estimated incremental borrowing rate reflects a secured rate and is based on the term of the lease and the interest rate environment at the lease commencement or remeasurement date. The following table details the ROU asset, the lease liability and other information related to Peoples' operating leases: (Dollars in thousands) December 31, 2019 Right-of-use asset: Other assets $ 7,606 Lease liability: Accrued expenses and other liabilities $ 7,813 Other information: Weighted-average remaining lease term 12.4 years Weighted-average discount rate 3.16 % Cash paid during the year for operating leases $ 1,172 Additions for right-of-use assets obtained during the year ended $ 3,701 The following table summarizes the future lease payments of operating leases: (Dollars in thousands) Payments Year ending December 31, 2020 $ 1,237 Year ending December 31, 2021 1,137 Year ending December 31, 2022 1,067 Year ending December 31, 2023 882 Year ending December 31, 2024 629 Thereafter 4,750 Total undiscounted lease payments $ 9,702 Imputed Interest (1,889) Total lease liability $ 7,813 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Other Intangible Assets [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The following table details changes in the recorded amount of goodwill for the years ended December 31: (Dollars in thousands) 2019 2018 Goodwill, beginning of year $ 151,245 $ 133,111 Goodwill recorded from acquisitions 14,456 18,134 Goodwill, end of year $ 165,701 $ 151,245 Peoples performed the required annual goodwill impairment test as of October 1, 2019, and concluded there was no impairment in the recorded value of goodwill as of December 31, 2019, based upon the estimated fair value of the single reporting unit. Peoples elected to perform the quantitative impairment test to corroborate the findings of its qualitative analysis. During the annual goodwill impairment test, Peoples assessed qualitative factors, including relevant events and circumstances, in addition to completing the quantitative assessment, and determined that the fair value of the reporting unit exceeded the carrying value. On April 12, 2019, Peoples completed its acquisition of First Prestonsburg, for which Peoples recorded $14.5 million of goodwill. On April 13, 2018, Peoples completed its acquisition of ASB, for which Peoples recorded $18.1 million of goodwill. For additional information on the First Prestonsburg acquisition, refer to "Note 19 Acquisitions." Other intangible assets Other intangible assets were comprised of the following at December 31: (Dollars in thousands) Core Deposits Customer Relationships Total 2019 Gross intangibles $ 17,999 $ 7,480 $ 25,479 Intangibles recorded from acquisitions 4,234 — 4,234 Accumulated amortization (15,120) (5,533) (20,653) Total acquisition-related intangibles $ 7,113 $ 1,947 $ 9,060 Servicing rights 2,742 Total other intangibles $ 11,802 2018 Gross intangibles $ 15,636 $ 7,480 $ 23,116 Intangibles recorded from acquisitions 2,363 — 2,363 Accumulated amortization (12,540) (4,754) (17,294) Total acquisition-related intangibles $ 5,459 $ 2,726 $ 8,185 Servicing rights 2,655 Total other intangibles $ 10,840 Peoples performed other intangible assets impairment testing as of October 1, 2019 and concluded there was no impairment in the recorded value of other intangible assets as of December 31, 2019, based upon estimated fair value. During the annual other intangible assets impairment test, Peoples assessed qualitative factors, including relevant events and circumstances, to determine that it was more likely than not that the fair value of other intangible assets exceeded the carrying value. Other intangible assets recorded from the First Prestonsburg acquisition in 2019 were $4.2 million of core deposit intangible assets. Refer to "Note 19 Acquisitions" for additional information. As a result of the ASB acquisition, Peoples recorded other intangible assets of $2.6 million in 2018, which included $2.4 million in core deposit intangible assets and $276,000 in servicing rights. The following table details estimated aggregate future amortization of other intangible assets at December 31, 2019: (Dollars in thousands) Core Deposits Customer Relationships Total 2020 $ 2,178 $ 629 $ 2,807 2021 1,568 470 2,038 2022 1,011 318 1,329 2023 727 217 944 2024 587 149 736 Thereafter 1,042 164 1,206 Total $ 7,113 $ 1,947 $ 9,060 The weighted average amortization period of other intangibles is 7.6 years. The following is an analysis of activity of servicing rights for the years ended December 31: (Dollars in thousands) 2019 2018 2017 Balance, beginning of year $ 2,655 $ 2,305 $ 2,305 Amortization (871) (1,155) (663) Servicing rights originated 958 1,229 663 Servicing rights acquired — 276 — Balance, end of year $ 2,742 $ 2,655 $ 2,305 No valuation allowances were required at December 31, 2019, 2018 and 2017 for Peoples’ servicing rights since, at each date, the fair value equaled or exceeded the book value. The fair value of servicing rights was $3.9 million and $4.6 million at December 31, 2019 and 2018, respectively. Fair value at December 31, 2019 was determined using discount rates ranging from 9.8% to 12.3%, and prepayment speeds ranging from 8.9% to 12.8%, depending on the stratification of the specific right, utilizing state delinquency to calculate the default rate. Fair value at |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2019 | |
Deposits [Abstract] | |
Deposit Disclosure | Deposits Peoples’ deposit balances were comprised of the following at December 31: (Dollars in thousands) 2019 2018 Retail CDs: $100,000 or more $ 242,476 $ 182,717 Less than $100,000 248,354 211,618 Retail CDs 490,830 394,335 Interest-bearing deposit accounts 635,720 573,702 Savings accounts 521,914 468,500 Money market deposit accounts 469,893 379,878 Governmental deposit accounts 293,908 267,319 Brokered CDs 207,939 263,854 Total interest-bearing deposits 2,620,204 2,347,588 Non-interest-bearing deposits 671,208 607,877 Total deposits $ 3,291,412 $ 2,955,465 Time deposits that meet or exceed the Federal Deposit Insurance Corporation ("FDIC") limit of $250 thousand were $100.8 million and $81.6 million at December 31, 2019 and 2018, respectively. The contractual maturities of CDs for each of the next five years and thereafter are as follows: (Dollars in thousands) Retail Brokered Total 2020 $ 275,443 $ 197,905 $ 473,348 2021 88,596 5,413 94,009 2022 69,216 4,136 73,352 2023 24,270 485 24,755 2024 33,275 — 33,275 Thereafter 30 — 30 Total CDs $ 490,830 $ 207,939 $ 698,769 Deposits from related parties were $11.5 million and $11.3 million at December 31, 2019 and 2018, respectively. As of December 31, 2019, Peoples had seventeen effective interest rate swaps, with an aggregate notional value of $160.0 million, $50.0 million of which were funded by 90-day brokered CDs, which are expected to be extended every 90 days through the maturity dates of the swaps. Additional information regarding Peoples' interest rate swaps can be found in "Note 14 Derivative Financial Instruments." |
Short-Term Borrowings
Short-Term Borrowings | 12 Months Ended |
Dec. 31, 2019 | |
Short-term Debt [Abstract] | |
Short-term Borrowings Disclosure | Note 8 Short-Term Borrowings Peoples utilizes various short-term borrowings as sources of funds, which are summarized as follows at December 31: (Dollars in thousands) Retail Repurchase Agreements FHLB Advances National Market Repurchase Agreements Other (a) 2019 Ending balance $ 42,968 $ 274,009 $ — $ — Average balance 46,686 197,987 — 126 Highest month-end balance 49,081 274,009 — 2,200 Interest expense $ 266 $ 4,455 $ — $ — Weighted-average interest rate: End of year 0.37 % 1.74 % — % — % During the year 0.57 % 2.25 % — % NM 2018 Ending balance $ 51,202 $ 305,000 $ — $ (4) Average balance 64,519 219,897 14,329 301 Highest month-end balance 72,822 307,561 30,000 1,553 Interest expense $ 194 $ 4,494 $ 527 $ 23 Weighted-average interest rate: End of year 0.48 % 2.32 % — % — % During the year 0.30 % 2.04 % 3.68 % NM 2017 Ending balance $ 76,899 $ 92,592 $ 40,000 $ — Average balance 75,344 100,205 6,685 13 Highest month-end balance 80,649 208,000 40,000 — Interest expense $ 128 $ 1,160 $ 246 $ — Weighted-average interest rate: End of year 0.17 % 1.91 % 3.68 % — % During the year 0.17 % 1.16 % 3.68 % 1.30 % (a) NM = not meaningful. Peoples’ retail Repurchase Agreements consist of overnight agreements with Peoples’ commercial customers and serve as a cash management tool. The FHLB advances consist of overnight borrowings, 90-day advances used to fund interest rate swaps, other advances with an original maturity of one year or less, and the current portion of long-term advances due in less than one year. These advances, along with the long-term advances disclosed in "Note 9 Long-Term Borrowings," are collateralized by residential mortgage loans and investment securities. Peoples’ borrowing capacity with the FHLB is based on the amount of collateral pledged and the amount of FHLB common stock owned. Peoples reclassified $23.2 million and $30.0 million of FHLB advances from long-term borrowings to short-term borrowings in 2019 and 2018, respectively, due to maturity dates of less than one year. Peoples' FHLB advances of $42.2 million and $79.1 million matured in 2019 and 2018, respectively. As of December 31, 2019, Peoples had seventeen effective interest rate swaps, with an aggregate notional value of $160.0 million, $110.0 million of which were funded by FHLB 90-day advances, which are expected to be extended every 90 days through the maturity dates of the swaps. Additional information regarding Peoples' interest rate swaps can be found in "Note 14 Derivative Financial Instruments." Peoples' national market Repurchase Agreements consisted of agreements with unrelated financial service companies. All $40.0 million of national market Repurchase Agreements matured in 2018. Other short-term borrowings consisted primarily of federal funds purchased and advances from the Federal Reserve Discount Window. Federal funds purchased are short-term borrowings from correspondent banks that typically mature within one to ninety days. Interest on federal funds purchased is set daily by the correspondent bank based on prevailing market rates. The Federal Reserve Discount Window provides credit facilities to financial institutions, which are designed to ensure adequate liquidity by providing a source of short-term funds. Federal Reserve Discount Window advances are typically overnight and must be secured by collateral acceptable to the FRB. At December 31, 2019, Peoples had available Federal Reserve Discount Window credit of $86.8 million. Other short-term borrowings at December 31, 2018 and 2017 also included the unamortized debt issuance costs related to the costs associated with the Credit Agreement (the "RJB Credit Agreement") with Raymond James Bank, N.A. which was terminated effective April 3, 2019. For further information on the RJB Credit Agreement, refer to "Note 9 Long-Term Borrowings." As of April 3, 2019, Peoples entered into a Loan Agreement (the “U.S. Bank Loan Agreement”) with U.S. Bank National Association. The U.S. Bank Loan Agreement has a one-year term and provides Peoples with a revolving line of credit in the maximum aggregate principal amount of $20.0 million that may be used: (i) for working capital purposes; (ii) to finance dividends or other distributions (other than stock dividends and stock splits) on or in respect of Peoples’ capital stock and redemptions, repurchases or other acquisitions of any of Peoples’ capital stock permitted under the U.S. Bank Loan Agreement and (iii) to finance acquisitions permitted under the U.S. Bank Loan Agreement. The U.S. Bank Loan Agreement is unsecured. However, the U.S. Bank Loan Agreement contains negative covenants which preclude Peoples from: (i) taking any action which could, directly or indirectly, decrease Peoples' ownership (alone or together with any of Peoples' subsidiaries) interest in Peoples Bank (Peoples' Ohio state-chartered subsidiary bank) or any of Peoples Bank's subsidiaries to a level below the percentage of equity interests held as of April 3, 2019; (ii) taking any action to or allowing Peoples Bank or any of Peoples Bank's subsidiaries to take any action to directly or indirectly create, assume, incur, suffer or permit to exist any pledge, encumbrance, security interest, assignment, lien or charge of any kind or character on the equity interests of Peoples Bank or any of Peoples Bank's subsidiaries; or (iii) taking any action to or allow Peoples Bank or any of Peoples Bank's subsidiaries to sell, transfer, issue, reissue or exchange, or grant any option with respect to, any equity interest of Peoples Bank or any of Peoples Bank's subsidiaries. There are also negative covenants limiting the actions which may be taken with respect to the authorization or issuance of additional shares of any class of equity interests of Peoples Bank or any of Peoples Bank's subsidiaries or the grant to any person other than U.S. Bank of any proxy for existing equity interests of Peoples Bank or any of Peoples Bank's subsidiaries. The U.S. Bank Loan Agreement contains affirmative and negative covenants, which are usual and customary for comparable transactions, applicable to Peoples and its subsidiaries including limitations on the ability to incur additional indebtedness, create liens on property, enter into mergers or consolidations, sell property other than in the ordinary course of business, and make investments, all subject to permitted exceptions as more fully set forth in the U.S. Bank Loan Agreement. The U.S. Bank Loan Agreement also precludes Peoples from: (i) taking any action which would result in Peoples Bank no longer being a wholly-owned subsidiary of Peoples; and (ii) declaring and making dividends or stock repurchases if an Event of Default (as defined in the U.S. Bank Loan Agreement) has occurred and is continuing under the U.S. Bank Loan Agreement. Peoples and Peoples Bank are also required to satisfy certain financial covenants including: (i) Peoples (on a consolidated basis) and Peoples Bank must be "well capitalized" at all times, as defined and determined by the applicable governmental authority having jurisdiction over Peoples or Peoples Bank; (ii) Peoples (on a consolidated basis) must maintain a total risk-based capital ratio (as defined by the applicable governmental authority having regulatory authority over Peoples or Peoples Bank) of at least 12.0% at all times; (iii) Peoples (on a consolidated basis) must maintain a ratio of "Non-Performing Assets" to "Primary Capital" of not more than 15% as of the last day of each fiscal quarter; (iv) Peoples (on a consolidated basis) must maintain a ratio of "Return on Average Assets" of at least 1.0% as of the end of each fiscal quarter, with the items used in this ratio being determined on a trailing four-fiscal quarter basis. As of December 31, 2019, Peoples was in compliance with the applicable covenants imposed by the U.S. Bank Loan Agreement. The U.S. Bank Loan Agreement matures on April 2, 2020. Peoples is in the process of renewing this facility and expects that it will be renewed prior to its expiration. |
Long-Term Borrowings
Long-Term Borrowings | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Long-Term Borrowings | Long-Term Borrowings Long-term borrowings consisted of the following at December 31: 2019 2018 (Dollars in thousands) Balance Weighted- Average Rate Balance Weighted- Average Rate FHLB putable, non-amortizing, fixed rate advances $ 65,000 2.18 % $ 85,000 2.05 % FHLB amortizing, fixed rate advances 10,672 1.74 % 17,361 2.09 % Junior subordinated debt securities 7,451 6.55 % 7,283 7.83 % Long-term borrowings $ 83,123 2.51 % $ 109,644 2.44 % The FHLB putable, non-amortizing, fixed rate advances have maturities ranging f rom one may be repaid prior to maturity, subject to the payment of termination fees. The FHLB has the option, at its sole discretion, to terminate each advance after the initial fixed rate period of three months , requiring full repayment of the advance by Peoples, prior to the stated maturity. If an advance is terminated prior to maturity, the FHLB will offer Peoples replacement funding at the then-prevailing rate on an advance product then offered by the FHLB, subject to normal FHLB credit and collateral requirements. These advances require monthly interest payments, with no repayment of principal until the earlier of either an option to terminate being exercised by the FHLB or the stated maturity. The FHLB amortizing, fixed rate advances have a fixed rate for the term of each advance, with maturities ranging from six to eleven years. Th ese advances require monthly principal and interest payments, with some having a constant prepayment rate requiring an additional principal payment annually. These advances are not eligible for optional prepayment prior to maturity. Long-term FHLB advances are collateralized by assets owned by Peoples. Peoples continually evaluates its overall balance sheet position given the interest rate environment. During 2019, Peoples borrowed no additional long-term advances from the FHLB. At December 31, 2019, outstanding long-term FHLB non-amortizing advances, which have interest rates ranging from 1.40% to 3.20%, mature between 2021 and 2027. During 2019, $20.0 million of long-term FHLB non-amortizing advances and $3.2 million long-term FHLB amortizing advances were reclassified to short-term borrowings as the time to maturity became less than one year. During 2018, Peoples borrowed no additional long-term advances from the FHLB. At December 31, 2018, then outstanding long-term FHLB non-amortizing advances, which had interest rates ranging from 1.26% to 2.17%, were to mature between 2020 and 2027. During 2018, $30.0 million of long-term FHLB non-amortizing advances were reclassified to short-term borrowings as the time to maturity became less than one year. Effective April 3, 2019, Peoples terminated the Credit Agreement, dated as of March 4, 2016, between Peoples, as Borrower, and Raymond James Bank, N.A., as Lender (the "RJB Credit Agreement"), which represented a revolving line of credit in the maximum aggregate principal amount of $15.0 million. Peoples replaced the RJB Credit Agreement with a short-term revolving line of credit with U.S. Bank National Association. For further information on the U.S. Bank Loan Agreement, refer to "Note 8 Short-Term Borrowings." On March 6, 2015, Peoples completed its acquisition of NB&T Financial Group, Inc. ("NB&T"), which included the assumption of Fixed/Floating Rate Junior Subordinated Debt Securities due in 2037 (the "junior subordinated debt securities") at an acquisition-date fair value of $6.6 million, held in a wholly-owned statutory trust whose common securities were wholly-owned by NB&T. The sole assets of the statutory trust are the junior subordinated debt securities and related payments. The junior subordinated debt securities and the back-up obligations, in the aggregate, constitute a full and unconditional guarantee of the obligations of the statutory trust under the Capital Securities held by third-party investors. Distributions on the Capital Securities are payable at the annual rate of 1.50% over the 3-month LIBOR rate. Distributions on the Capital Securities are included in interest expense in the Consolidated Financial Statements. These securities are considered tier I capital (with certain limitations applicable) under current regulatory guidelines. The junior subordinated debt securities are subject to mandatory redemption, in whole or in part, upon repayment of the Capital Securities at maturity or their earlier redemption at the liquidation amount. Subject to prior approval of the FRB, the Capital Securities are redeemable prior to the maturity date of September 6, 2037, and are redeemable at par. Since September 6, 2012, the Capital Securities have been redeemable at par, subject to such approval. Distributions on the Capital Securities can be deferred from time to time for a period not to exceed 20 consecutive quarterly periods. At December 31, 2019, the aggregate minimum annual retirements of long-term borrowings in future periods were as follows: (Dollars in thousands) Balance Weighted-Average Rate (a) 2020 $ 2,555 1.42 % 2021 21,979 1.75 % 2022 16,521 1.97 % 2023 1,157 1.27 % 2024 869 1.19 % Thereafter 40,042 2.86 % Total long-term borrowings $ 83,123 2.31 % |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2019 | |
Stockholders' Equity Attributable to Parent [Abstract] | |
Stockholders' Equity | Stockholders’ Equity The following table details the activity in Peoples’ common stock and treasury stock during the years ended December 31: Common Stock Treasury Stock Shares at December 31, 2016 18,939,091 795,758 Changes related to stock-based compensation awards: Grant of restricted common shares — (68,707) Release of restricted common shares — 10,452 Cancellation of restricted common shares (3,554) 5,050 Exercise of stock options for common shares — (266) Grant of common shares — (300) Changes related to deferred compensation plan for Boards of Directors: Purchase of treasury stock — 5,413 Disbursed out of treasury stock — (24,634) Common shares issued under dividend reinvestment plan 16,848 — Common shares issued under compensation plan for Boards of Directors — (9,092) Common shares issued under employee stock purchase plan — (11,225) Shares at December 31, 2017 18,952,385 702,449 Changes related to stock-based compensation awards: Grant of restricted common shares — (106,805) Release of restricted common shares — 32,082 Cancellation of restricted common shares — 2,011 Exercise of stock options for common shares — (102) Grant of common shares — (16,544) Changes related to deferred compensation plan for Boards of Directors: Purchase of treasury stock — 6,526 Sale of treasury stock — (10) Disbursed out of treasury stock — (2,089) Common shares issued under dividend reinvestment plan 19,282 — Common shares issued under compensation plan for Board of Directors — (4,699) Common shares issued under employee stock purchase plan — (11,530) Issuance of common shares related to acquisition of ASB 1,152,711 — Shares at December 31, 2018 20,124,378 601,289 Changes related to stock-based compensation awards: Grant of restricted common shares — (133,926) Release of restricted common shares — 19,174 Cancellation of restricted common shares — 11,113 Grant of common shares — (5,130) Changes related to deferred compensation plan for Board of Directors: Purchase of treasury stock — 7,227 Disbursed out of treasury stock — (2,187) Common shares repurchased under repurchase program — 26,427 Common shares issued under dividend reinvestment plan 26,287 — Common shares issued under compensation plan for Board of Directors — (6,755) Common shares issued under employee stock purchase plan — (13,050) Issuance of common shares related to acquisition of First Prestonsburg 1,005,478 — Shares at December 31, 2019 21,156,143 504,182 On February 28, 2020, Peoples announced that on February 27, 2020, Peoples' Board of Directors authorized a share repurchase program authorizing Peoples to purchase up to an aggregate of $40.0 million of its outstanding common shares, replacing the previous share repurchase program which had authorized Peoples to purchase up to an aggregate of $20 million of its outstanding common shares and was terminated on February 27, 2020 with an aggregate of $6.3 million of Peoples' common shares having been purchased through the termination date. During 2019, Peoples repurchased 26,427 of its common shares through the share repurchase program. No common shares were repurchased in 2017 and 2018. Under its Amended Articles of Incorporation, Peoples is authorized to issue up to 50,000 preferred shares, in one or more series, having such voting powers, designations, preferences, rights, qualifications, limitations and restrictions as determined by Peoples' Board of Directors. At December 31, 2019, Peoples had no preferred shares issued or outstanding. The following table details the cash dividends declared per common share for the year ended December 31: 2019 2018 First Quarter $ 0.30 $ 0.26 Second Quarter 0.34 0.28 Third Quarter 0.34 0.28 Fourth Quarter 0.34 0.30 Total dividends declared $ 1.32 $ 1.12 Accumulated Other Comprehensive (Loss) Income The following details the change in the components of Peoples’ accumulated other comprehensive (loss) income for the years ended December 31: (Dollars in thousands) Unrealized Gain (Loss) on Securities Unrecognized Net Pension and Postretirement Costs Unrealized Gain (Loss) on Cash Flow Hedge Accumulated Other Comprehensive (Loss) Income Balance, December 31, 2016 $ 581 $ (3,321) $ 1,186 $ (1,554) Reclassification adjustments to net income: Realized gain on sale of securities, net of tax (1,939) — — (1,939) Realized loss due to settlement and curtailment, net of tax — 157 — 157 Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2018-02 (370) (754) 200 (924) Other comprehensive loss, net of reclassifications and tax (360) (338) (257) (955) Balance, December 31, 2017 $ (2,088) $ (4,256) $ 1,129 $ (5,215) Reclassification adjustments to net income: Realized loss on sale of securities, net of tax 115 — — 115 Realized loss due to settlement and curtailment, net of tax — 211 — 211 Amounts reclassified out of accumulated other comprehensive loss per ASU 2016-01 (5,020) — — (5,020) Other comprehensive (loss) income, net of reclassifications and tax (3,089) 334 (269) (3,024) Balance, December 31, 2018 $ (10,082) $ (3,711) $ 860 $ (12,933) Reclassification adjustments to net income: Realized gain on sale of securities, net of tax (130) — — (130) Other comprehensive income (loss), net of reclassifications and tax 15,512 (247) (3,627) 11,638 Balance, December 31, 2019 $ 5,300 $ (3,958) $ (2,767) $ (1,425) As of December 31, 2017, Peoples elected to early adopt and retrospectively apply the reclassification of stranded income tax effects from accumulated other comprehensive loss to retained earnings, as permitted under ASU 2018-02. As of January 1, 2018, Peoples adopted ASU 2016-01, which resulted in the reclassification of $5.0 million in net unrealized gains on equity investment securities from accumulated other comprehensive loss to retained earnings. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2019 | |
Defined Benefit Plan [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans Peoples sponsors a noncontributory defined benefit pension plan that covers substantially all employees hired before January 1, 2010. The plan provides retirement benefits based on an employee’s years of service and compensation. For employees hired before January 1, 2003, the amount of postretirement benefit is based on the employee’s average monthly compensation over the highest five Peoples also provides post-retirement health and life insurance benefits to former employees and directors. Only those individuals who retired before January 27, 2012 were eligible for life insurance benefits. As of January 1, 2011, all retirees who desire to participate in the Peoples Bank medical plan do so by electing COBRA, which provides up to 18 months of coverage; retirees over the age of 65 also have the option to pay to participate in a group Medicare supplemental plan. Peoples only pays 100% of the cost for those individuals who retired before January 1, 1993. For all others, the retiree is responsible for most, if not all, of the cost of the health benefits. Peoples’ policy is to fund the cost of the benefits as they arise. The following tables provide a reconciliation of the changes in the benefit obligations and fair value of assets of the plans for the years ended December 31, 2019 and 2018, and a statement of the funded status as of December 31, 2019 and 2018: Pension Benefits Post-retirement Benefits (Dollars in thousands) 2019 2018 2019 2018 Change in benefit obligation: Obligation at January 1 $ 10,995 $ 12,991 $ 83 $ 91 Interest cost 438 423 3 3 Plan participants’ contributions — — 121 46 Actuarial loss (gain) 1,696 (1,519) — — Benefit payments (461) (197) (132) (57) Settlements — (703) — — Obligation at December 31 $ 12,668 $ 10,995 $ 75 $ 83 Accumulated benefit obligation at December 31 $ 12,668 $ 10,995 $ 75 $ 83 Change in plan assets: Fair value of plan assets at January 1 $ 10,234 $ 8,493 $ — $ — Actual return (loss) on plan assets 2,093 (554) — — Employer contributions — 3,195 11 11 Plan participants’ contributions — — 121 46 Benefit payments (461) (197) (132) (57) Settlements — (703) — — Fair value of plan assets at December 31 $ 11,866 $ 10,234 $ — $ — Funded status at December 31 $ (802) $ (761) $ (75) $ (83) Amounts recognized in Consolidated Balance Sheets: Accrued benefit liability $ (802) $ (761) $ (75) $ (83) Net amount recognized $ (802) $ (761) $ (75) $ (83) Amounts recognized in Accumulated Other Comprehensive Loss: Unrecognized prior service cost $ — $ — $ — $ (1) Unrecognized net loss (gain) 4,004 3,761 (48) (52) Total $ 4,004 $ 3,761 $ (48) $ (53) Weighted-average assumptions at year-end: Discount rate 4.20 % 3.55 % 4.20 % 3.40 % The estimated costs relating to Peoples’ pension benefits that will be amortized from accumulated other comprehensive loss into net periodic cost over the next fiscal year are $123,000. Net Periodic (Benefit) Cost The following table details the components of the net periodic (benefit) cost for the plans at December 31: Pension Benefits Post-retirement Benefits (Dollars in thousands) 2019 2018 2017 2019 2018 2017 Interest cost $ 438 $ 423 $ 451 $ 3 $ 3 $ 3 Expected return on plan assets (782) (640) (553) — — — Amortization of prior service credit — — — (1) — — Amortization of net loss (gain) 78 104 102 (5) (5) (6) Settlement of benefit obligation — 267 242 — — — Net periodic (benefit) cost $ (266) $ 154 $ 242 $ (3) $ (2) $ (3) Weighted-average assumptions: Discount rate 4.20 % 3.55 % 3.80 % 4.20 % 3.40 % 3.80 % Expected return on plan assets 7.50 % 7.50 % 7.50 % n/a n/a n/a Rate of compensation increase n/a n/a n/a n/a n/a n/a For measurement purposes, a 4.0% annual rate of increase in the per capita cost of covered benefits (i.e., health care cost trend rate) was assumed for 2019, which will increase to 5.0% in 2022, and grade down to an ultimate rate of 4.0% in 2070. The health care trend rate assumption does not have a significant effect on the contributory defined benefit postretirement plan; therefore, a one percentage point increase or decrease in the trend rate is not material in the determination of the accumulated postretirement benefit obligation or the ongoing expense. Under US GAAP, Peoples is required to recognize a settlement gain or loss when the aggregate amount of lump-sum distributions to participants equals or exceeds the sum of the service and interest cost components of the net periodic pension cost. The amount of settlement gain or loss recognized is the pro rata amount of the unrealized gain or loss existing immediately prior to the settlement. In general, both the projected benefit obligation and the fair value of plan assets are required to be remeasured in order to determine the settlement gain or loss. There were no settlement charges recorded in 2019, compared to $267,000 recorded in 2018, and $242,000 recorded in 2017. Determination of Expected Long-term Rate of Return The expected long-term rate of return on the pension plan's total assets is based on the expected return of each category of the pension plan's assets. Peoples' investment strategy for the pension plan's assets continues to allocate 60%-75% to equity securities. Plan Assets Peoples' investment strategy, as established by Peoples' Retirement Plan Committee, is to invest assets of the pension plan based upon established target allocations, which include a target range of 60-75% allocation in equity securities, 20-40% in debt securities and 0-15% of other investments. The assets are reallocated periodically to meet the target allocations. The investment policy is reviewed periodically, under the advisement of a certified investment advisor, to determine if the policy should be changed. The following table provides the fair values of investments held in Peoples' pension plan at December 31, by major asset category: (Dollars in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) 2019 Equity securities: Mutual funds – equity $ 8,443 $ 8,443 $ — Debt securities: Mutual funds – taxable income 3,163 3,163 — Total fair value of pension assets $ 11,606 $ 11,606 $ — 2018 Equity securities: Mutual funds – equity $ 6,750 $ 6,750 $ — Debt securities: Mutual funds – taxable income 2,746 2,746 — Total fair value of pension assets $ 9,496 $ 9,496 $ — Pension plan assets also included cash and cash equivalents of $257,000 and accrued income of $2,000 at December 31, 2019. Cash and cash equivalents were $680,000 and accrued income was $58,000 at December 31, 2018. For further information regarding levels of input used to measure fair value, refer to "Note 2 Fair Value of Financial Instruments." Equity securities held as investments in Peoples' pension plan did not include any securities of Peoples or related parties in 2019 or 2018. Cash Flows Peoples expects to make between $10,000 to $15,000 of contributions to its pension plan in 2020; however, actual contributions are made at the discretion of the Retirement Plan Committee and Peoples' Board of Directors. During 2018, Peoples elected to make an additional contribution to take advantage of tax savings related to the TCJ Act that was enacted on December 22, 2017. Estimated future benefit payments, which reflect benefits attributable to estimated future service, for the years ending December 31 are as follows: (Dollars in thousands) Pension Benefits Post-retirement Benefits 2020 $ 1,545 $ 11 2021 1,610 10 2022 854 9 2023 775 9 2024 822 8 2025 to 2029 3,128 26 Total $ 8,734 $ 73 Retirement Savings Plan Peoples also maintains a retirement savings plan, or 401(k) plan, which covers substantially all employees. The plan provides participants with the opportunity to save for retirement on a tax-deferred basis. Since January 1, 2011, matching contributions have equaled 100% of participants' contributions that did not exceed 3% of the participants' compensation, plus 50% of participants' contributions between 3% and 5% of the participants' compensation. Matching contributions made by Peoples totaled $2.0 million in 2019, $1.7 million in 2018 and $1.5 million in 2017. Beginning January 1, 2020, Peoples began matching 100% of participants' contributions that did not exceed 4% of the participants' compensation, plus 50% of participants' contributions between 4% and 6% of the participants' compensation. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure | Income Taxes The TCJ Act was enacted on December 22, 2017 and required Peoples to reflect the changes associated with the TCJ Act’s provisions in the fourth quarter of 2017. As of December 31, 2017, Peoples was not able to make reasonable estimates for all items based on its knowledge of accounting under ASC 740, and the provisions of the tax laws that were in effect immediately prior to enactment. As of December 31, 2018, Peoples finalized the remeasurement of its net deferred tax assets and net deferred tax liabilities at the new statutory federal corporate income tax rate of 21%, which resulted in a reduction to income tax expense of $0.7 million in 2018. The final adjustment was mainly due to Peoples' contribution of $3.2 million to Peoples' defined benefit pension plan during 2018. As of December 31, 2017, Peoples had made reasonable estimates for the reduced statutory federal corporate income tax rate on its deferred tax balances and recognized a provisional amount of $0.9 million, which was included as a component of income tax expense from continuing operations for 2017. The reported income tax expense and effective tax rate in the Consolidated Statements of Income differ from the amounts computed by applying the statutory federal corporate income tax rate as follows for the years ended December 31: (Dollars in thousands) 2019 2018 2017 Amount Rate Amount Rate Amount Rate Income tax computed at statutory federal corporate income tax rate $ 13,725 21.0 % $ 11,505 21.0 % $ 20,045 35.0 % Differences in rate resulting from: Tax-exempt interest income (659) (1.0) % (554) (1.0) % (1,092) (1.9) % Investments in tax credit funds (530) (0.8) % (125) (0.2) % (221) (0.4) % Bank owned life insurance (510) (0.8) % (393) (0.7) % (683) (1.2) % Stock awards (135) (0.2) % (332) (0.6) % (154) (0.3) % Release of valuation allowance — — % (805) (1.5) % — — % TCJ Act — — % (705) (1.3) % 897 1.6 % Other, net (228) (0.4) % 95 0.2 % (60) (0.1) % Income tax expense $ 11,663 17.8 % $ 8,686 15.9 % $ 18,732 32.7 % On January 1, 2018, Peoples began recognizing income tax expense at the 21% statutory federal corporate income tax rate, which resulted in lower income tax expense for 2018 and 2019, compared to the income tax expense recognition at the 35% statutory federal corporate income tax rate for 2017. During 2018, Peoples released a valuation allowance which reduced income tax expense by $0.8 million. The valuation allowance was related to a historic tax credit that Peoples had invested in during 2015. Peoples sold $6.7 million of equity investment securities in 2018, which resulted in a capital gain for tax purposes. This capital gain was large enough to offset an anticipated future capital loss expected to be recognized due to the structure of the historic tax credit investment, resulting in the release of the valuation allowance. Peoples' reported income tax expense consisted of the following for the years ended December 31: (Dollars in thousands) 2019 2018 2017 Current income tax expense $ 11,554 $ 8,995 $ 21,511 Deferred income tax expense (benefit) 109 (309) (2,779) Income tax expense $ 11,663 $ 8,686 $ 18,732 The significant components of Peoples' deferred tax assets and deferred tax liabilities consisted of the following at December 31: (Dollars in thousands) 2019 2018 Deferred tax assets: Allowance for loan losses $ 9,714 $ 8,559 Available-for-sale securities — $ 2,678 Accrued employee benefits 2,039 1,843 Lease obligation 1,640 — Tax credit investments 1,130 805 Derivative instruments 736 — Other 14 73 Total deferred tax assets $ 15,273 $ 13,958 Deferred tax liabilities: Purchase accounting adjustments $ 5,970 $ 5,839 Bank premises and equipment (a) 3,300 2,047 Deferred loan income 3,120 3,061 Lease right-of-use assets 1,597 Available-for-sale securities 1,410 — Derivative instruments — 228 Tax credit investments — 82 Other 797 673 Total deferred tax liabilities $ 16,194 $ 11,930 Net deferred tax (liability) asset $ (921) $ 2,028 (a) Peoples elected Internal Revenue Code Section 179 bonus depreciation, which increased the bonus depreciation percentage from 50% to 100% for qualified properties acquired and placed in service after September 27, 2017, and before January 1, 2023. As of December 31, 2019, Peoples had no operating loss carryforwards for tax purposes. The federal income tax benefit from sales of investment securities was $34,000 in 2019 and $31,000 in 2018. Sales of investment securities resulted in tax expense of $1.0 million in 2017. Income tax benefits are recognized in the Consolidated Financial Statements for a tax position only if it is considered "more likely than not" of being sustained in an audit, based solely on the technical merits of the income tax position. If the recognition criteria are met, the amount of income tax benefits to be recognized are measured based on the largest income tax benefit that is more than 50 percent likely to be realized on ultimate resolution of the tax position. The following table provides a reconciliation of uncertain tax positions at December 31: (Dollars in thousands) 2019 2018 Uncertain tax positions, beginning of year $ 423 $ 550 Gross increase based on tax positions related to current year $ 39 $ 55 Gross increase for tax position taken during prior years $ 8 $ 13 Gross decrease due to the statute of limitations $ (220) $ (195) Uncertain tax positions, end of year $ 250 $ 423 Peoples is subject to U.S. federal income tax, as well as to tax in various state income tax jurisdictions. Peoples' income tax returns are subject to review and examination by federal and state taxing authorities. Peoples is currently open to audit under the applicable statutes of limitations by the Internal Revenue Service for the years ended December 31, 2016 through 2018. The years open to examination by state taxing authorities vary by jurisdiction. |
Earnings Per Common Share
Earnings Per Common Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | Earnings Per Common Share The calculations of basic and diluted earnings per common share for the years ended December 31 were as follows: (Dollars in thousands, except per common share data) 2019 2018 2017 Distributed earnings allocated to common shareholders $ 26,503 $ 21,334 $ 15,159 Undistributed earnings allocated to common shareholders 26,796 24,660 23,115 Net earnings allocated to common shareholders $ 53,299 $ 45,994 $ 38,274 Weighted-average common shares outstanding 20,120,119 18,991,768 18,050,189 Effect of potentially dilutive common shares 153,606 130,492 158,495 Total weighted-average diluted common shares outstanding 20,273,725 19,122,260 18,208,684 Earnings per common share: Basic $ 2.65 $ 2.42 $ 2.12 Diluted $ 2.63 $ 2.41 $ 2.10 Anti-dilutive common shares excluded from calculation: Restricted shares, stock options and stock appreciation rights — 1,748 453 |
Derivative Financial Instrument
Derivative Financial Instrument (Notes) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | Derivative Financial Instruments Peoples utilizes interest rate swap agreements as part of its asset/liability management strategy to help manage its interest rate risk position. The notional amount of the interest rate swaps does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual interest rate swap agreements. The fair value of derivative financial instruments is included in other assets and accrued expenses and other liabilities in the accompanying Consolidated Balance Sheets and in the net other adjustments to reconcile net income to net cash provided by operating activities in the Consolidated Statements of Cash Flows. Derivative Financial Instruments and Hedging Activities – Risk Management Objective of Using Derivative Financial Instruments Peoples is exposed to certain risks arising from both its business operations and economic conditions. Peoples principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. Peoples manages economic risks, including interest rate, liquidity and credit risk, primarily by managing the amount, sources and duration of its assets and liabilities, and through the use of derivative financial instruments. Specifically, Peoples enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known or expected cash amounts, the value of which is determined by interest rates. Peoples’ derivative financial instruments are used to manage differences in the amount, timing and duration of Peoples' known or expected cash receipts and its known or expected cash payments principally related to certain variable rate borrowings. Peoples also has interest rate derivative financial instruments that result from a service provided to certain qualifying customers and, therefore, are not used to manage interest rate risk in Peoples' assets or liabilities. Peoples manages a matched book with respect to customer-related derivative financial instruments in order to minimize its net risk exposure resulting from such transactions. Cash Flow Hedges of Interest Rate Risk Peoples' objectives in using interest rate derivative financial instruments are to add stability to interest income and expense, and to manage its exposure to interest rate movements. To accomplish these objectives, Peoples has entered into interest rate swaps as part of its interest rate risk management strategy. These interest rate swaps were designated as cash flow hedges and involve the receipt of variable rate amounts from a counterparty in exchange for Peoples making fixed payments. As of December 31, 2019, Peoples had entered into seventeen interest rate swaps with an aggregate notional value of $160.0 million. Peoples will pay a fixed rate of interest for up to ten 2019 and December 31, 2018, Peoples had reclassifications of loss to earnings of $133,000 and $38,000, respectively. During the next twelve months, Peoples estimates that minimal interest expense will be reclassified. For derivative financial instruments designated as cash flow hedges, the effective portion of changes in the fair value of each derivative financial instrument is reported in AOCL (outside of earnings), net of tax, and subsequently reclassified to earnings when the hedged transaction affects earnings, and the ineffective portion of changes in the fair value of the derivative financial instrument is recognized directly in earnings. Peoples assesses the effectiveness of each hedging relationship by comparing the changes in cash flows of the derivative hedging instrument with the changes in cash flows of the designated hedged transaction. The reset dates and the payment dates on the 90-day advances or brokered CDs used to fund the swaps are matched to the reset dates and payment dates on the receipt of the three-month LIBOR floating rate portion of the swaps to ensure effectiveness of the cash flow hedge. Effectiveness is measured by ensuring that reset dates and payment dates are matched. The following table summarizes information about the interest rate swaps designated as cash flow hedges at December 31: (Dollars in thousands) 2019 2018 Notional amount $ 160,000 $ 110,000 Weighted average pay rates 2.18 % 2.37 % Weighted average receive rates 1.73 % 2.57 % Weighted average maturity 5.4 years 6.2 years Pre-tax unrealized (losses) gains included in AOCL (3,503) 1,088 The following table presents net losses or gains recorded in AOCL and in the Consolidated Statements of Income related to the cash flow hedges for the years ended December 31: (Dollars in thousands) 2019 2018 Amount of loss recognized in AOCL, pre-tax $ 4,591 $ 341 Amount of (loss) gain recognized in earnings (19) 18 The following table reflects the cash flow hedges, which are included in the Consolidated Balance Sheets at fair value, at December 31: (Dollars in thousands) 2019 2018 Notional Amount Fair Value Notional Amount Fair Value Included in other assets: Interest rate swaps related to debt $ 55,000 $ 644 $ 60,000 $ 2,093 Total included in other assets $ 55,000 $ 644 $ 60,000 $ 2,093 Included in accrued expenses and other liabilities: Interest rate swaps related to debt $ 105,000 $ 4,340 $ 50,000 $ 1,111 Total included in accrued expenses and other liabilities $ 105,000 $ 4,340 $ 50,000 $ 1,111 Non-Designated Hedges Peoples Bank maintains an interest rate protection program for commercial loan customers, which was established in 2010. Under this program, Peoples Bank originates variable rate loans with interest rate swaps, where the customer enters into an interest rate swap with Peoples Bank on terms that match the terms of the loan. By entering into the interest rate swap with the customer, Peoples Bank effectively provides the customer with a fixed rate loan while creating a variable rate asset for Peoples Bank. Peoples Bank offsets its exposure in the swap by entering into an offsetting interest rate swap with an unaffiliated institution. These interest rate swaps do not qualify as designated hedges; therefore, each swap is accounted for as a standalone derivative financial instrument. These interest rate swaps did not have a material impact on Peoples' results of operation or financial condition. The following table reflects the non-designated hedges, which are included in the Consolidated Balance Sheets at fair value, at December 31: (Dollars in thousands) 2019 2018 Notional Amount Fair Value Notional Amount Fair Value Included in other assets: Interest rate swaps related to commercial loans $ 321,394 $ 10,776 $ 226,662 $ 2,451 Total included in other assets 321,394 10,776 226,662 2,451 Included in accrued expenses and other liabilities: Interest rate swaps related to commercial loans $ 321,394 $ 10,776 $ 226,662 $ 2,451 Total included in accrued expenses and other liabilities 321,394 10,776 226,662 2,451 Pledged Collateral When the fair value of Peoples' interest rate swaps are in a net liability position, Peoples must pledge collateral and when the interest rate swaps are in a net asset position, the counterparties must pledge collateral. At December 31, 2019, Peoples had $20.0 million of cash pledged, while the counterparties had no amount of cash pledged. At December 31, 2018, Peoples had no amount of cash pledged, while the counterparties had pledged $130,000 of cash. Cash pledged is included in interest-bearing deposits in other banks on the Consolidated Balance Sheets. |
Financial Instruments with Off-
Financial Instruments with Off-Balance Sheet Risk | 12 Months Ended |
Dec. 31, 2019 | |
Financial Instruments with Off-Balance Sheet Risk [Abstract] | |
Financial Instruments Disclosure [Text Block] | Off-Balance Sheet Risk Loan Commitments and Standby Letters of Credit Loan commitments are made to accommodate the financial needs of Peoples' customers. Standby letters of credit are instruments issued by Peoples Bank guaranteeing the beneficiary payment by Peoples Bank in the event of default by Peoples Bank's customer in the nonperformance of an obligation or service. Historically, most loan commitments and standby letters of credit expire unused. Peoples' exposure to credit loss in the event of nonperformance by the counter-party to the financial instrument for loan commitments and standby letters of credit is represented by the contractual amount of those instruments. Peoples uses the same underwriting standards in making commitments and conditional obligations as it does for on-balance sheet instruments. The amount of collateral obtained is based on management's credit evaluation of the customer. Collateral held varies, but may include accounts receivable; inventory; property, plant, and equipment; and income-producing commercial properties. The total amounts of loan commitments and standby letters of credit at December 31 were: (Dollars in thousands) 2019 2018 Home equity lines of credit $ 112,464 $ 101,265 Unadvanced construction loans 102,491 74,734 Other loan commitments 353,137 314,271 Loan commitments 568,092 490,270 Standby letters of credit $ 12,498 $ 10,214 |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Dec. 31, 2019 | |
Regulatory Matters [Abstract] | |
Regulatory Capital Requirements under Banking Regulations | Regulatory Matters The following is a summary of certain regulatory matters affecting Peoples and its subsidiaries: Federal Reserve Board Requirements Peoples Bank is required to maintain a minimum level of reserves, consisting of cash on hand and non-interest-bearing balances with the FRB of Cleveland, based on the amount of total deposits. Average required reserve balances were approximately $16.5 million and $16.4 million in 2019 and 2018, respectively. Limits on Dividends The primary source of funds for the dividends paid by Peoples is dividends received from Peoples Bank. The payment of dividends by Peoples Bank is subject to various banking regulations. The most restrictive provision requires regulatory approval if dividends declared in any calendar year exceed the total net profits of that year plus the retained net profits of the preceding two years. At December 31, 2019, Peoples Bank had approximately $70.9 million of net profits available for distribution to Peoples as dividends without regulatory approval. Capital Requirements Peoples and Peoples Bank are subject to various regulatory capital guidelines administered by the banking regulatory agencies. Under capital adequacy requirements and the regulatory framework for prompt corrective action, Peoples and Peoples Bank must meet specific capital guidelines that involve quantitative measures of each entity's assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. Peoples' and Peoples Bank's capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Failure to meet future minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by the regulators that, if undertaken, could have a material effect on Peoples' financial results. Quantitative measures established by regulation to ensure capital adequacy, and in effect at December 31, 2019, required Peoples and Peoples Bank to maintain minimum amounts and ratios of common equity tier 1 capital, tier 1 capital and total capital (each as defined in the applicable regulations) to risk-weighted assets (as defined), and of tier I capital (as defined) to average assets (as defined). Peoples and Peoples Bank met all capital adequacy requirements at December 31, 2019. As of December 31, 2019, the most recent notification from the banking regulatory agencies categorized Peoples Bank as well capitalized under the regulatory framework for prompt corrective action applicable to Peoples Bank. Peoples maintained the capital required by the Federal Reserve Board to be deemed well capitalized and remain a financial holding company. To be categorized as well capitalized, Peoples and Peoples Bank must maintain minimum common equity tier 1, tier 1 risk-based, total risk-based and tier I leverage ratios as set forth in the table below. There are no conditions or events since this notification that management believes have changed Peoples' or Peoples Bank's category. Peoples' and Peoples Bank's actual capital amounts and ratios as of December 31 are also presented in the following table: 2019 2018 (Dollars in thousands) Amount Ratio Amount Ratio PEOPLES Common Equity Tier 1 (a) Actual $ 427,415 14.59 % $ 378,855 13.66 % For capital adequacy 131,866 4.50 % 124,802 4.50 % To be well capitalized 190,473 6.50 % 180,270 6.50 % Tier 1 (b) Actual $ 434,866 14.84 % $ 386,138 13.92 % For capital adequacy 175,821 6.00 % 166,403 6.00 % To be well capitalized 234,428 8.00 % 221,871 8.00 % Total Capital (c) Actual $ 456,422 15.58 % $ 406,333 14.65 % For capital adequacy 234,428 8.00 % 221,871 8.00 % To be well capitalized 293,036 10.00 % 277,338 10.00 % Tier 1 Leverage (d) Actual $ 434,866 10.41 % $ 386,138 9.99 % For capital adequacy 167,037 4.00 % 154,614 4.00 % To be well capitalized 208,796 5.00 % 193,267 5.00 % Capital Conservation Buffer $ 221,994 7.58 % $ 184,462 6.65 % Fully phased in 73,259 2.50 % 69,335 2.50 % Net Risk-Weighted Assets $ 2,930,355 $ 2,773,383 PEOPLES BANK Common Equity Tier 1 (a) Actual $ 406,612 13.89 % $ 365,063 13.19 % For capital adequacy 131,757 4.50 % 124,552 4.50 % To be well capitalized 190,316 6.50 % 179,908 6.50 % Tier 1 (b) Actual $ 406,612 13.89 % $ 365,063 13.19 % For capital adequacy 175,676 6.00 % 166,069 6.00 % To be well capitalized 234,235 8.00 % 221,425 8.00 % Total Capital (c) Actual $ 428,168 14.62 % $ 385,258 13.92 % For capital adequacy 234,235 8.00 % 221,425 8.00 % To be well capitalized 292,794 10.00 % 276,781 10.00 % Tier 1 Leverage (d) Actual $ 406,612 9.75 % $ 365,063 9.46 % For capital adequacy 166,898 4.00 % 154,357 4.00 % To be well capitalized 208,622 5.00 % 192,947 5.00 % Capital Conservation Buffer $ 193,933 6.62 % $ 163,833 5.92 % Fully phased in 73,199 2.50 % 69,195 2.50 % Net Risk-Weighted Assets $ 2,927,941 $ 2,767,813 (a) Ratio represents common equity tier 1 capital to net risk-weighted assets (b) Ratio represents tier 1 capital to net risk-weighted assets (c) Ratio represents total capital to net risk-weighted assets (d) Ratio represents tier 1 capital to average assets |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation Under the Peoples Bancorp Inc. Third Amended and Restated 2006 Equity Plan (the "2006 Equity Plan"), Peoples may grant, among other awards, nonqualified stock options, incentive stock options, restricted common share awards, stock appreciation rights, performance units and unrestricted common share awards to employees and non-employee directors. The total number of common shares available under the 2006 Equity Plan is 891,340. The maximum number of common shares that can be issued for incentive stock options is 500,000 common shares. Since February 2009, Peoples has granted restricted common shares to employees, and periodically to non-employee directors, subject to the terms and conditions prescribed by the 2006 Equity Plan. Additionally, in 2017, Peoples granted performance units to certain officers. In general, common shares issued in connection with stock-based awards are issued from treasury shares to the extent available. If no treasury shares are available, common shares are issued from authorized but unissued common shares. Restricted Common Shares Under the 2006 Equity Plan, Peoples may award restricted common shares to officers, key employees and non-employee directors. In general, the restrictions on the restricted common shares awarded to employees expire after periods ranging from one The following summarizes the changes to Peoples’ outstanding restricted common shares for the year ended December 31, 2019: Time-Based Vesting Performance-Based Vesting Number of Common Shares Weighted-Average Grant Date Fair Value Number of Common Shares Weighted-Average Grant Date Fair Value Outstanding at January 1 43,679 $ 29.64 175,772 $ 31.08 Awarded 16,153 31.35 117,773 32.20 Released 22,750 24.73 33,400 17.86 Forfeited 4,852 35.87 6,261 33.21 Outstanding at December 31 32,230 $ 33.05 253,884 $ 33.29 The total intrinsic value of restricted common shares released was $1.8 million, $2.8 million and $1.1 million in 2019, 2018 and 2017, respectively. Performance Unit Awards Under the 2006 Equity Plan, Peoples may grant performance unit awards to officers, key employees and non-employee directors. On July 26, 2017, Peoples granted a total of seven performance unit awards to officers, with a maximum aggregate dollar amount of $1.3 million represented by the performance units subject to such awards and each performance unit representing $1.00. During 2019, one of the seven performance unit awards was forfeited as the individual to whom the performance unit award was granted left Peoples before meeting the minimum service requirement to retain the performance unit award. The performance unit awards granted cover the performance period beginning January 1, 2018 and ending on December 31, 2019, and are subject to two performance goals. Twenty-five percent of the performance units subject to each award will vest if, but only if, the related company-specific target performance goal is achieved. As of December 31, 2019, the target level of achievement for the company-specific target performance goal was reached for the performance period. The remaining 75% of the performance units subject to each award will vest based on the relative performance of Peoples compared to a defined peer group (measured by percentile ranking) with respect to the related maximum performance goal. As of December 31, 2019, Peoples did not achieve the second performance goal. On February 27, 2020, the Compensation Committee of the Board of Directors certified the level of achievement of the performance goals that had been satisfied and a portion of the performance unit awards vested based on the performance achieved. The vested performance unit awards were settled in common shares of Peoples equal to (i) the aggregate number of the participant's performance units (and equivalent dollar value of such performance units) that vested based on the performance achieved under both performance goals (ii) divided by the fair market value of a common share of Peoples on the date the performance units were deemed to have vested (which was the certification date) and rounded down to the nearest whole common share. Stock-Based Compensation Peoples recognizes stock-based compensation, which is included as a component of Peoples’ salaries and employee benefit costs, for restricted common shares and performance unit awards, as well as purchases made by participants in the employee stock purchase plan. For restricted common shares, Peoples recognizes stock-based compensation based on the estimated fair value of the awards expected to vest on the grant date. The estimated fair value is then expensed over the vesting period, which is normally three years. For performance unit awards, Peoples recognizes stock-based compensation, over the performance period, based on the portion of the awards that is expected to vest based on the expected level of achievement of the two performance goals. Peoples also has an employee stock purchase plan whereby employees can purchase Peoples' common shares at a discount of up to 15%. The following summarizes the amount of stock-based compensation and related tax benefit recognized for the years ended December 31: (Dollars in thousands) 2019 2018 2017 Employee stock-based compensation expense: Stock grant expense $ 3,462 $ 2,359 $ 1,747 Employee stock purchase plan expense 63 60 55 Performance stock unit expense 130 156 — Total employee stock-based compensation expense 3,655 2,575 1,802 Non-employee director stock-based compensation expense 308 345 322 Total stock-based compensation expense 3,963 2,920 2,124 Recognized tax benefit (832) (613) (446) Net expense recognized $ 3,131 $ 2,307 $ 1,678 Restricted common shares were the primary form of stock-based compensation awards granted by Peoples in 2019, 2018 and 2017. The fair value of restricted common share awards on the grant date is the market price of Peoples' common shares. Total unrecognized stock-based compensation related to unvested restricted common share awards was $2.8 million at December 31, 2019, which will be recognized over a weighted-average period of 1.9 years. In 2019, the Board of Directors granted 3,200 unrestricted common shares to non-employee directors, with related stock-based compensation of $102,400. |
Revenue (Notes)
Revenue (Notes) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Deferred Revenue Disclosure [Text Block] | Revenue The following table details Peoples' revenue from contracts with customers for the year ended December 31: (Dollars in thousands) 2019 2018 Insurance income: Commission and fees from sale of insurance policies (a) $ 12,670 $ 12,787 Fees related to third-party administration services (a) 602 573 Performance-based commissions (b) 1,530 1,452 Trust and investment income (a) 13,159 12,543 Electronic banking income: Interchange income (a) 10,797 9,721 Promotional and usage income (a) 2,883 1,756 Deposit account service charges: Ongoing maintenance fees for deposit accounts (a) 3,832 2,718 Transactional-based fees (b) 7,868 7,060 Commercial loan swap fees (b) 2,228 681 Other non-interest income transactional-based fees (b) 716 961 Total $ 56,285 $ 50,252 Timing of revenue recognition: Services transferred over time $ 43,943 $ 40,098 Services transferred at a point in time 12,342 10,154 Total $ 56,285 $ 50,252 (a) Services transferred over time. (b) Services transferred at a point in time. Peoples records contract assets for income that has been recognized over a period of time for the fulfillment of performance obligations, but has not yet been received, related to electronic banking income. This income typically relates to bonuses for which Peoples is eligible, but will not receive until a certain time in the future. Peoples records contract liabilities for payments received for commission income related to the sale of insurance policies, for which the performance obligations have not yet been fulfilled. The contract liabilities are recognized as income over time, during the period in which the performance obligations are fulfilled, which is over the insurance policy period. Peoples also records contract liabilities for bonuses received related to electronic banking income, for which income is recognized during the period in which the performance obligations are fulfilled. The following table details the change in Peoples' contract assets and contract liabilities for the period ended December 31, 2019: (Dollars in thousands) Contract Assets Contract Liabilities Balance, January 1, 2019 $ 207 $ 5,055 Additional income receivable 404 — Additional deferred income — 4,525 Receipt of income previously receivable (11) — Recognition of income previously deferred — (4,390) Balance, December 31, 2019 $ 600 $ 5,190 From more information on Peoples' revenue recognition policies, see "Note 1 Summary of Significant Accounting Policies." |
Acquisitions (Notes)
Acquisitions (Notes) | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | Acquisitions On April 12, 2019, Peoples completed the acquisition of First Prestonsburg, which merged into Peoples and First Prestonsburg's wholly-owned subsidiary, The First Commonwealth Bank of Prestonsburg, Inc. ("First Commonwealth"), which operated nine full-service branches located in eastern and central Kentucky, merged into Peoples Bank. First Prestonsburg shareholders received merger consideration of $32.4 million paid by Peoples in the form of 12.512 Peoples common shares for each share of First Prestonsburg common stock they owned, which resulted in the issuance of 1,005,478 Peoples common shares. In addition, immediately prior to the closing of the merger, First Prestonsburg paid a special cash distribution of $140.30 per share of First Prestonsburg common stock (for an aggregate amount of $11.3 million), which was deemed to be part of the total merger consideration paid to its shareholders. As a result, First Prestonsburg shareholders received total merger consideration of $43.7 million. The following table provides the purchase price calculation as of the date of acquisition of First Prestonsburg, and the assets acquired and liabilities assumed at their estimated fair values. (Dollars in thousands, except per share data) Consideration Common shares 80,362 Number of common shares of Peoples issued for each common share of acquired company 12.512 Price per Peoples common share, based at closing date $ 32.26 Common share consideration $ 32,437 Net Assets at Fair Value Assets Cash and due from banks $ 5,016 Interest-bearing deposits in other banks 2,797 Total cash and cash equivalents 7,813 Available-for-sale investment securities 136,596 Other investment securities 3,077 Total investment securities 139,673 Loans 129,365 Bank premises and equipment, net of accumulated depreciation 7,407 Other intangible assets 4,234 Other assets 2,415 Total assets $ 290,907 Liabilities Deposits: Non-interest-bearing $ 40,089 Interest-bearing 217,151 Total deposits 257,240 Short-term borrowings 14,400 Accrued expenses and other liabilities 1,286 Total liabilities $ 272,926 Net assets $ 17,981 Goodwill $ 14,456 The accounting for the acquisition of First Prestonsburg has been completed. The estimated fair values presented in the above table reflect additional information that was obtained during the three months ended December 31, 2019, which resulted in changes to certain fair value estimates made as of the date of acquisition. Adjustments to acquisition date estimated fair values are recorded during the period in which they occur and, as a result, previously recorded results have changed. The below table reflects the changes in the estimated fair value at December 31, 2019 from balances reported at September 30, 2019: (Dollars in thousands) Change in Fair Value Net Assets Bank premises and equipment, net of accumulated depreciation $ (190) Other assets 208 Accrued expenses and other liabilities (775) Change in Goodwill $ 793 Acquired loans, excluding acquired overdrafts of $375,000, are reported net of the unamortized fair value adjustment. The following table details the fair value adjustment for acquired loans as of the acquisition date: (Dollars in thousands, except per share data) First Prestonsburg Nonimpaired Loans Contractual cash flows $ 168,729 Nonaccretable difference 19,745 Expected cash flows 148,984 Accretable yield 28,269 Fair value $ 120,715 Credit Impaired Loans Contractual cash flows $ 17,847 Nonaccretable difference 5,337 Expected cash flows 12,510 Accretable yield 3,860 Fair value $ 8,650 Peoples recorded non-interest expense related to the First Prestonsburg acquisition of $7.3 million and net loss on asset disposals and other transactions of $243,000 in the Consolidated Statement of Income for the year ended December 31, 2019. The $7.3 million was included in the following line items: $2.4 million of salaries and employee benefit costs, $631,000 of professional fees, $94,000 of data processing and software expense, $162,000 of marketing expense, and $3.9 million of other non-interest expense. The $2.4 million of salaries and employee benefit costs related to change in control agreements, retention and severance bonuses, and regular payroll and taxes after conversion. |
Parent Company Only Financial I
Parent Company Only Financial Information | 12 Months Ended |
Dec. 31, 2019 | |
Parent Company Only Financial Information [Abstract] | |
Condensed Financial Information of Parent Company Only Disclosure | Parent Company Only Financial Information Condensed Balance Sheets December 31, (Dollars in thousands) 2019 2018 Assets: Cash and due from other banks $ 50 $ 50 Interest-bearing deposits in subsidiary bank 20,094 13,750 Due from subsidiary bank 140 584 Other investment securities 237 216 Investments in subsidiaries: Bank 573,429 506,200 Non-bank 9,418 8,298 Other assets 3,067 2,808 Total assets $ 606,435 $ 531,906 Liabilities: Accrued expenses and other liabilities $ 1,955 $ 1,898 Dividends payable 342 291 Mandatorily redeemable capital securities of subsidiary trust 9,745 9,577 Total liabilities 12,042 11,766 Total stockholders' equity 594,393 520,140 Total liabilities and stockholders' equity $ 606,435 $ 531,906 Condensed Statements of Income Year Ended December 31, (Dollars in thousands) 2019 2018 2017 Income: Dividends from subsidiary bank $ 37,000 $ 13,500 $ 27,000 Dividends from non-bank subsidiary — 2,500 20,000 Net gain on investment securities — — 2,602 Interest and other income 81 357 237 Total income 37,081 16,357 49,839 Expense: Trust preferred securities expense 534 520 346 Intercompany management fees 1,607 1,561 1,361 Other expense 5,432 4,647 3,380 Total expense 7,573 6,728 5,087 Income before federal income taxes and equity in undistributed earnings of subsidiaries 29,508 9,629 44,752 Applicable income tax expense (1,670) (2,511) (1,309) Equity in (excess dividends from) undistributed earnings of subsidiaries 22,517 34,115 (7,590) Net income $ 53,695 $ 46,255 $ 38,471 Statements of Cash Flows Year Ended December 31, (Dollars in thousands) 2019 2018 2017 Operating activities Net income $ 53,695 $ 46,255 $ 38,471 Adjustments to reconcile net income to cash provided by operations: Depreciation, amortization and accretion, net 168 9,177 (6,525) (Equity in) excess dividends from undistributed earnings of subsidiaries (22,517) (34,115) 7,590 Gain on investment securities — — (2,602) Other, net 3,801 31 2,810 Net cash provided by operating activities 35,147 21,348 39,744 Investing activities Net proceeds from sales and maturities of investment securities — 5,388 2,359 Investment in subsidiaries (18,874) (31,813) (50,883) Decrease in receivable from subsidiary 18,869 32,236 25,496 Business combinations, net of cash received (1,438) (637) — Other, net 226 228 (229) Net cash (used in) provided by investing activities (1,217) 5,402 (23,257) Financing activities Purchase of treasury stock (1,650) (1,380) (508) Proceeds from issuance of common stock 6 25 9 Cash dividends paid (25,942) (20,915) (14,706) Net cash used in financing activities (27,586) (22,270) (15,205) Net increase in cash and cash equivalents 6,344 4,480 1,282 Cash and cash equivalents at the beginning of year 13,800 9,320 8,038 Cash and cash equivalents at the end of year $ 20,144 $ 13,800 $ 9,320 Supplemental cash flow information: Interest paid $ 544 $ 513 $ 364 |
Summarized Quarterly Informatio
Summarized Quarterly Information (Unaudited) | 12 Months Ended |
Dec. 31, 2019 | |
Summarized Quarterly Information (Unaudited) [Abstract] | |
Quarterly Financial Information | Summarized Quarterly Information (Unaudited) 2019 (Dollars in thousands, except per share data) First Quarter Second Quarter Third Quarter Fourth Quarter Total interest income $ 40,576 $ 43,621 $ 43,609 $ 42,289 Total interest expense 6,662 7,572 7,855 7,168 Net interest income 33,914 36,049 35,754 35,121 (Recoveries of) provision for loan losses (263) 626 1,005 1,136 Net gain (loss) on investment securities (a) 30 (57) 97 94 Net loss on asset disposals and other transactions (a) (182) (293) (78) (229) Total non-interest income excluding net gains and losses (a) 15,581 15,639 16,374 17,298 Amortization of other intangible assets 694 824 953 888 Acquisition-related expenses 253 6,770 199 65 Total non-interest expense excluding amortization of other intangible assets and acquisition-related expenses 30,913 31,282 31,841 32,568 Income tax expense 3,377 2,238 3,281 2,767 Net income $ 14,369 $ 9,598 $ 14,868 $ 14,860 Earnings per common share – basic $ 0.74 $ 0.47 $ 0.72 $ 0.72 Earnings per common share – diluted $ 0.73 $ 0.46 $ 0.72 $ 0.72 Weighted-average common shares outstanding – basic 19,366,008 20,277,028 20,415,245 20,407,505 Weighted-average common shares outstanding – diluted 19,508,868 20,442,366 20,595,769 20,599,127 2018 (Dollars in thousands, except per share data) First Quarter Second Quarter Third Quarter Fourth Quarter Total interest income $ 33,226 $ 37,769 $ 39,631 $ 40,638 Total interest expense 3,867 4,961 6,307 6,517 Net interest income 29,359 32,808 33,324 34,121 Provision for loan losses 1,983 1,188 1,302 975 Net gain (loss) on investment securities (a) 1 (147) — — Net gain (loss) on asset disposals and other transactions (a) 74 (405) 12 (15) Total non-interest income excluding net gains and losses (a) 14,894 13,807 14,341 14,192 Amortization of other intangible assets 754 861 862 861 Acquisition-related expenses 149 6,056 675 382 Total non-interest expense excluding amortization of other intangible and acquisition-related expenses 27,318 29,054 29,292 29,713 Income tax expense 2,383 1,012 2,821 2,470 Net income $ 11,741 $ 7,892 $ 12,725 $ 13,897 Earnings per common share – basic $ 0.64 $ 0.41 $ 0.65 $ 0.71 Earnings per common share – diluted $ 0.64 $ 0.41 $ 0.65 $ 0.71 Weighted-average common shares outstanding – basic 18,126,089 19,160,728 19,325,457 19,337,403 Weighted-average common shares outstanding – diluted 18,256,035 19,293,381 19,466,865 19,483,452 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | The accounting and reporting policies of Peoples Bancorp Inc. and subsidiaries ("Peoples" refers to Peoples Bancorp Inc. and its consolidated subsidiaries collectively, except where the context indicates the reference relates solely to Peoples Bancorp Inc.) conform to generally accepted accounting principles in the United States of America ("US GAAP") and to general practices within the banking industry. The preparation of the financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Certain items in prior financial statements have been reclassified to conform to the current presentation, which had no impact on net income, total comprehensive income, net cash provided by operating activities or total stockholders' equity. |
Consolidation | Consolidation: Peoples' Consolidated Financial Statements include subsidiaries in which Peoples has a controlling financial interest, principally defined as owning a voting interest of greater than 50%. In addition, entities not controlled by voting interest or in which the equity investors do not bear the residual economic risks, but for which Peoples is the primary beneficiary are also consolidated. The Consolidated Financial Statements include the accounts of Peoples and its consolidated subsidiaries, Peoples Bank (along with its wholly-owned subsidiaries) Peoples Investment Company, Peoples Risk Management, Inc. and NB&T Statutory Trust III, for which Peoples holds all of the common securities. All significant intercompany accounts and transactions have been eliminated. |
Cash and Cash Equivalents | Cash and Cash Equivalents: Cash and cash equivalents include cash on hand, balances due from other banks, interest-bearing deposits in other banks, federal funds sold and other short-term investments with original maturities of ninety days or less. Peoples had $20.0 million of restricted funds at December 31, 2019, and no restricted funds at December 31, 2018, held in interest-bearing deposits in other banks, which were being used as collateral and not available for withdrawal. |
Investment Securities | Investment Securities: Investment securities are recorded initially at cost, which includes premiums and discounts if purchased at other than par or face value. Peoples amortizes premiums and accretes discounts as an adjustment to interest income on a level yield basis. The cost of investment securities sold, excluding equity investment securities, and any resulting gain or loss, is based on the specific identification method and recognized as of the trade date. The cost of equity investment securities is based on the weighted-average method. Peoples determines the appropriate classification of investment securities at the time of purchase. Held-to-maturity securities are those securities that Peoples has the positive intent and ability to hold to maturity and are recorded at amortized cost. Available-for-sale securities are those securities that would be available to be sold in the future in response to Peoples' liquidity needs, changes in market interest rates, and asset-liability management strategies, among other considerations. Available-for-sale securities are reported at fair value, with unrealized gains and losses reported in total stockholders' equity as a separate component of accumulated other comprehensive income or loss, net of applicable deferred income taxes. Certain restricted equity investment securities that do not have readily determinable fair values and for which Peoples does not exercise significant influence, are carried at cost. These cost method securities are reported in other investment securities on the Consolidated Balance Sheets and consist primarily of shares of the Federal Home Loan Bank of Cincinnati (the "FHLB") and the Federal Reserve Bank of Cleveland (the "FRB"). Peoples systematically evaluates investment securities for other-than-temporary declines in fair value on a quarterly basis. This analysis requires management to consider various factors, which include (1) the duration and magnitude of the decline in value, (2) the financial condition of the issuer or issuers, and (3) the structure of the security. An impairment loss is recognized in earnings only when (1) Peoples intends to sell the debt security, (2) it is more likely than not that Peoples will be required to sell the security before recovery of its amortized cost basis, or (3) Peoples does not expect to recover the entire amortized cost basis of the security. In situations where Peoples intends to sell or when it is more likely than not that Peoples will be required to sell the security, the entire impairment loss must be recognized in earnings. In all other situations, only the portion of the impairment loss representing the credit loss must be recognized in earnings, with the remaining |
Fair Value Measurements | Fair Value Measurements: The measurement of fair value under US GAAP uses a hierarchy intended to maximize the use of observable inputs and minimize the use of unobservable inputs. This hierarchy uses three levels of inputs to measure the fair value of assets and liabilities as follows: Level 1: Quoted prices in active exchange markets for identical assets or liabilities; also includes certain U.S. Treasury and other U.S. government and agency securities actively traded in over-the-counter markets. Level 2: Observable inputs other than Level 1 including quoted prices for similar assets or liabilities, quoted prices in less active markets, or other observable inputs that can be corroborated by observable market data; also includes derivative financial instruments whose value is determined using a pricing model with observable market inputs or can be derived principally from, or corroborated by, observable market data. This category generally includes certain U.S. government and agency securities, corporate debt securities, derivative instruments, and residential mortgage loans held for sale. Level 3: Unobservable inputs supported by little or no market activity for financial instruments whose value is determined using pricing models, discounted cash flow methodologies, or similar techniques, as well as financial instruments for which the determination of fair value requires significant management judgment or estimation; also includes observable inputs for single dealer nonbinding quotes not corroborated by observable market data. This category generally includes certain private equity investments, retained interests from securitizations, and certain collateralized debt obligations. |
Securities Sold Under Agreements to Repurchase | Securities Sold Under Agreements to Repurchase ("Repurchase Agreements"): Peoples enters into Repurchase Agreements with customers and other financial services companies, which are considered financings. As such, these obligations are recorded as a liability on the Consolidated Balance Sheets and disclosed in "Note 8 Short-Term Borrowings" and "Note 9 Long-Term Borrowings," as appropriate. Securities pledged as collateral under Repurchase Agreements are included in investment securities on the Consolidated Balance Sheets and are disclosed in "Note 3 Investment Securities." The fair value of the collateral pledged to a third party is continually monitored and additional collateral is pledged or returned, as deemed appropriate. |
Loans and Loans Held-For-Sale | Loans: Loans originated that Peoples has the positive intent and ability to hold for the foreseeable future or to maturity or payoff are reported at recorded investment, which represents the principal balance outstanding, net of deferred loan fees and costs, and premiums or discounts on purchased loans. The foreseeable future is based upon current market conditions and business strategies, as well as balance sheet management and liquidity. As the conditions change, so may management's view of the foreseeable future. Net deferred loan origination costs were $9.8 million and $9.5 million at December 31, 2019 and 2018, respectively. A loan is considered impaired when information and events indicate it is probable that collection of all contractual principal and interest payments is doubtful. Impairment is evaluated collectively for smaller balance loans of a similar nature, primarily consumer and residential real estate loans, and on an individual loan basis for all loans to borrowers with an aggregate unpaid principal balance in excess of $1.0 million, for which an annual evaluation is performed for possible credit deterioration. This loan review process provides Peoples with opportunities to identify potential problem loans and take proactive actions to assure repayment of the loan or minimize Peoples' risk of loss, such as reviewing the relationship more frequently based upon the loan quality rating and aggregate debt outstanding. Upon detection of the reduced ability of a borrower to meet cash flow obligations, the loan is reviewed for possible downgrade or placement on nonaccrual status. Loan relationships whose aggregate debt to Peoples is equal to or less than $1.0 million are reviewed on an event driven basis. Triggers for review include knowledge of adverse events affecting the business, receipt of financial statements indicating deteriorating credit quality and other events. Peoples also completes evaluation procedures for a selection of larger loan relationships on a quarterly basis. Peoples typically places any loan deemed to be impaired on nonaccrual status and allocates a specific portion of the allowance for loan losses, if necessary, to reduce the net carrying value of the loan to its estimated net realizable value. Impaired loans, or portions thereof, are charged off when deemed uncollectable. Upon detection of the reduced ability of a borrower to meet cash flow obligations, consumer and residential real estate loans typically are charged down to the net realizable value, with the residual balance placed on nonaccrual status. Loans acquired in a business combination that have evidence of deterioration of credit quality, commonly referred to as "purchased credit impaired" loans, since origination and for which it is probable, at acquisition, that Peoples will be unable to collect all contractually required payments are initially recorded at fair value (the present value of the amounts expected to be collected) with no valuation allowance. The difference between the undiscounted cash flows expected at acquisition and the investment in the loan is recognized as interest income on a level yield method over the life of the loan. Contractually required payments for interest and principal that exceed the undiscounted cash flows expected at acquisition are not recognized. Over the life of these acquired loans, management continues to monitor each acquired purchased credit impaired loan portfolio for changes in credit quality. Increases in expected cash flows subsequent to acquisition are recognized prospectively over the remaining life of the acquired purchased credit impaired loans as a yield adjustment on the loans. Subsequent decreases in expected cash flows are recognized as an impairment, with the amount of the expected loss included in provision for loan losses in the period in which it is identified, and Peoples establishes an allowance for loan losses for the expected losses. These purchased credit impaired loans are considered to be accruing and performing even though collection of contractual payments on the loans may be in doubt, as income continues to be accreted as long as expected cash flows can be reasonably estimated. Loans acquired in a business combination that are not impaired are recorded at fair value, with no valuation allowance, and the difference between the acquisition date fair value and the contractual amounts due at the acquisition date represents the discount or premium to a loan's cost basis and is accreted or amortized to interest income over the loan's remaining life using the level yield method. Subsequent to the acquisition date, the method utilized to estimate the required allowance for loan losses for these loans is similar to originated loans; however, Peoples records a provision for loan losses only when the required allowance exceeds the remaining fair value adjustment. Loans Held for Sale: Loans originated and intended to be sold in the secondary market, generally one-to-four family residential loans, are carried at the lower of cost or estimated fair value determined on an aggregate basis. Gains and losses on sales of loans held for sale are included in mortgage banking income. |
Interest Rate Lock Commitments | Interest Rate Lock Commitments: Peoples enters into interest rate lock commitments with borrowers and best efforts commitments with investors on mortgage loans originated for sale into the secondary markets to manage the inherent interest rate and pricing risk associated with selling loans. An interest rate lock commitment generally terminates once the loan is funded, the lock period expires or the borrower decides not to contract for the loan. A best efforts commitment generally terminates once the loan is sold, the commitment period expires or the borrower decides not to contract for the loan. These commitments are considered derivatives, which are generally accounted for by recognizing their estimated fair value on the Consolidated Balance Sheets in either other assets or accrued expenses and other liabilities. The valuation of such commitments does not consider expected cash flows related to the servicing of the future loan. Management has determined these derivatives do not have a material effect on Peoples' financial position, results of operations or cash flows. |
Allowance for Loan Losses | Allowance for Loan Losses: The allowance for loan losses is a valuation reserve established through provisions for loan losses charged against income. The allowance for loan losses is maintained at a level that management deems sufficient to absorb probable losses inherent in the loan portfolio. Loans deemed to be uncollectable are charged against the allowance for loan losses, while recoveries of previously charged off amounts are credited to the allowance for loan losses. The allowance for loan losses is comprised of specific valuation allowances for loans evaluated individually for impairment and general allocations for pools of homogeneous loans with similar risk characteristics and trends. Peoples' homogenous loan pools include similarly risk-graded commercial and industrial loans, similarly risk-graded commercial real estate loans, real estate construction loans (both commercial and residential), residential real estate loans, consumer home equity loans, and indirect and other consumer loans. Peoples' evaluation of the appropriateness of the allowance for loan losses and the related provision for loan losses is based upon a quarterly analysis of the portfolio. While portions of the allowance for loan losses may be allocated to specific loans, the entire allowance for loan losses is available for any loan charged off by management. The allowance for loan losses related to specific loans is based on management's estimate of potential losses on impaired loans as determined by (1) the present value of expected future cash flows, (2) the fair value of collateral if the loan is determined to be collateral dependent, or (3) the loan's observable market price. The general allocations to specific loan pools are based on the historical loss rates for specific loan types and the internal risk grade, if applicable, adjusted for both internal and external qualitative risk factors. The calculation of historical loss rates for pools of similar loans with similar characteristics is based upon the proportion of actual charge-offs experienced to the total population of loans in the pool. The historical loss rates are periodically updated based on actual charge-off experience. The qualitative economic and business conditions and developments that affect the collectibility of the portfolio, including the condition of various market segments, which are considered by management include, among other factors: (1) changes in international, national, regional and local economic and business conditions, (2) changes in asset quality, (3) changes in loan portfolio volume, (4) the composition and concentrations of credit, (5) changes in the value of underlying collateral due to economic or market conditions, and (6) effectiveness of Peoples' loan policies, procedures and internal controls. The allowance for loan losses established for each homogenous loan pool represents the product of the historical loss rate, adjusted for qualitative factors, and the total dollar amount of the loans in the pool. Peoples categorizes loans involving commercial borrowers into risk categories based upon an established grading matrix. This system is used to manage the risk within its commercial lending activities, evaluate changes in the overall credit quality of the loan portfolio and evaluate the appropriateness of the allowance for loan losses. Loan grades are assigned at the time a new loan or lending commitment is extended by Peoples and may be changed at any time when circumstances warrant. Loans to borrowers with an aggregate unpaid principal balance in excess of $1.0 million are reviewed on an annual basis for possible credit deterioration. Loan relationships whose aggregate credit exposure to Peoples is equal to or less than $1.0 million are reviewed on an event driven basis. Triggers for review include knowledge of adverse events affecting the borrower's business, receipt of financial statements indicating deteriorating credit quality or other similar events. Adversely classified loans are generally reviewed on a quarterly basis. The primary factors considered when assigning a risk grade to a loan include (1) reliability and sustainability of the primary source of repayment, (2) past, present and projected financial condition of the borrower, and (3) current economic and industry conditions. Other factors that could influence the risk grade assigned include the type and quality of collateral and the strength of any guarantors. The primary source of repayment for commercial real estate loans and commercial and industrial loans is normally the operating cash flow of the business available to repay debt. Management's analysis of operating cash flow for commercial real estate loans secured by non-owner occupied properties takes into account factors such as rent rolls and vacancy statistics. Management's analysis of operating cash flow for commercial real estate loans secured by owner occupied properties and all commercial and industrial loans considers the profitability, liquidity and leverage of the business. The evaluation of construction loans includes consideration of the borrower's ability to complete construction within the established budget. The primary factors considered when classifying residential real estate, home equity lines of credit and consumer loans include the loan's past due status and declaration of bankruptcy by the borrower(s). The classification of residential real estate and home equity lines of credit also takes into consideration the current value of the underlying collateral. |
Troubled Debt Restructuring | Troubled Debt Restructuring ("TDR"): The restructuring of a loan is considered a TDR if both (1) the borrower is experiencing financial difficulties and (2) the creditor has granted a concession. Loans acquired that are restructured after acquisition are not considered TDRs if the loans evidenced credit deterioration as of the acquisition date and are accounted for in pools of purchased credit impaired loans. In assessing whether or not a borrower is experiencing financial difficulties, Peoples considers information currently available regarding the financial condition of the borrower. This information includes, but is not limited to, whether (1) the borrower is currently in payment default on any of the borrower's debt; (2) a payment default is probable in the foreseeable future without the modification; (3) the borrower has declared or is in the process of declaring bankruptcy; and (4) the borrower's projected cash flow is insufficient to satisfy contractual payments due under the original terms of the loan without a modification. |
Bank Premises and Equipment | Bank Premises and Equipment: Bank premises and equipment are stated at cost less accumulated depreciation. Depreciation is computed on the straight-line method over the estimated useful lives of the related assets owned. Major improvements to leased facilities are capitalized and included in bank premises at cost less accumulated depreciation, which is calculated on the straight-line method over the lesser of the remaining term of the leased facility or the estimated economic life of the improvement. |
Investments in Affordable Housing Limited Partnerships | Investments in Affordable Housing Limited Partnerships: Investments in affordable housing consist of investments in limited partnerships that operate qualified affordable housing projects or that invest in other limited partnerships formed to operate affordable housing projects. These investments are considered variable interest entities for which Peoples is not the primary beneficiary. Peoples generally utilizes the effective yield method to account for these investments with the tax credits, net of the amortization of the investment, reflected in the Consolidated Statements of Income as a reduction in income tax expense. The unamortized amount of the investments is recorded in other assets and totaled $13.9 million and $9.6 million at December 31, 2019 and 2018, respectively. |
Other Real Estate Owned | Other Real Estate Owned ("OREO"): OREO, included in other assets on the Consolidated Balance Sheets, is comprised primarily of commercial and residential real estate properties acquired by Peoples in satisfaction of a loan. OREO obtained in satisfaction of a loan is recorded at the lower of cost or estimated fair value, less estimated costs to sell the property. Peoples had OREO totaling $227,000 at December 31, 2019 and $94,000 at December 31, 2018. |
Business Combinations Policy | Business Combinations: Business combinations are accounted for using the acquisition method of accounting. Under this accounting method, the acquired company's net assets are recorded at fair value on the date of acquisition, and the results of operations of the acquired company are combined with Peoples' from the acquisition date forward. Costs related to the acquisition are expensed as incurred. The purchase price paid over the fair value of the net assets acquired, including intangible assets with finite lives, is recorded as goodwill. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets: Goodwill represents the excess of the cost of an acquisition over the fair value of the net assets acquired in the business combination. Goodwill is not amortized but is tested for impairment when indicators of impairment exist, or at least annually on October 1. Based upon the most recently completed goodwill impairment test, Peoples concluded the recorded value of goodwill was not impaired as of December 31, 2019, based upon the estimated fair value of Peoples' single reporting unit. |
Servicing Rights | Servicing Rights: Servicing rights represent the right to service loans sold to third-party investors. Loans that are sold are primarily mortgage loans, but also include small business and agricultural loans. Servicing rights are recognized separately as a servicing asset whenever Peoples undertakes an obligation to service financial assets. Servicing rights are reported in other intangible assets on the Consolidated Balance Sheets. Serviced loans that have been completely sold are not included on the Consolidated Balance Sheets. Loan servicing income included in mortgage banking income includes servicing fees received from the third-party investors and certain charges collected from the borrowers. |
Trust Assets Under Management | Trust Assets Under Administration and Management: Peoples manages certain assets held in a fiduciary or agency capacity for customers. These assets under administration and management, other than cash on deposit at Peoples, are not included in the Consolidated Balance Sheets since they are not assets of Peoples. |
Interest Income Recognition | Interest Income Recognition: Interest income on loans and investment securities is recognized by methods that result in level rates of return on principal amounts outstanding, including yield adjustments resulting from the amortization of loan costs and premiums on investment securities, and accretion of loan fees and discounts on investment securities. Since mortgage-backed securities comprise a sizable portion of Peoples' investment portfolio, a significant increase in principal payments on those securities can impact interest income due to the corresponding acceleration of premium amortization or discount accretion. Peoples discontinues the accrual of interest on a loan when conditions cause management to believe collection of all or any portion of the loan's contractual interest is doubtful. Such conditions may include the borrower being 90 days or more past due on any contractual payments, or current information regarding the borrower's financial condition and repayment ability. All unpaid accrued interest deemed uncollectable is reversed, which reduces Peoples' net interest income. Interest received on nonaccrual loans is included in income only if principal recovery is reasonably assured. |
Revenue Recognition | Revenue Recognition: Peoples recognizes revenues as they are earned based on contractual terms, or as services are provided and collectability is reasonably assured. Peoples’ principal source of revenue is interest income, which is recognized on an accrual basis primarily according to formulas in written contracts, such as loan agreements or securities contracts. As of January 1, 2018, Peoples adopted ASU 2014-09 – Revenue from Contracts with Customers (Topic 606), and all subsequent updates that modified Accounting Standards Codification ("ASC") 606. Peoples elected to adopt this new accounting guidance using the modified retrospective approach. The modified retrospective approach uses a cumulative-effect adjustment to retained earnings to reflect uncompleted contracts in the initial application of the guidance. As of January 1, 2018, Peoples recorded a cumulative-effect adjustment for uncompleted contracts, which resulted in a reduction to retained earnings and an increase in accrued expenses and other liabilities of $3.7 million, which was net of federal income taxes. The impact during 2018 was an increase in insurance income and a decrease in retained earnings of $305,000 as a result of applying ASC 606. Prior period amounts are not adjusted and continue to be reported under the accounting standards in effect for those respective periods. Estimates of variable consideration are included in revenue to the extent that it is probable that a significant reversal of cumulative revenue will not occur, once the uncertainty is resolved. Peoples' contracts with customers are short-term in nature, and are recognized under the following revenue streams: Insurance Income: Insurance income generally consists of commissions and fees from the sale of insurance policies, fees related to third-party administration services and performance-based commissions from insurance companies. Peoples recognizes commission income from the sale of insurance policies when it acts as an agent between the insurance carrier and policyholder, arranging for the insurance carrier to provide policies to policyholders, and acts on behalf of the insurance carrier by providing customer service to the policyholders during the respective policy periods. Commission income is recognized over time, using the output method of time elapsed, which corresponds with the underlying insurance policy period, during which Peoples is obligated to perform under contract with the insurance carrier. Commission income is variable, as it is comprised of a certain percentage of the underlying policy premium. Peoples estimates the variable consideration based upon the "most likely amount" method, and does not expect or anticipate a significant reversal of revenue in future periods, based upon historical experience. Payment is due from the insurance carrier for commission income once the insurance policy has been sold. Peoples has elected to apply a practical expedient related to capitalizable costs, which are the commissions paid to insurance producers, and will expense these commissions paid to insurance producers as incurred, as these costs are related to the commission income and would have been amortized within one year or less if they had been capitalized, the same period over which the commission income was earned. Fees related to third-party administration services performed are recognized over time, during the period in which services have been provided, and are recognized monthly in the month the services were performed. Performance-based commissions from insurance companies are recognized at a point in time, when received, and no contingencies remain. Electronic Banking Income: Electronic banking income consists of two revenue streams related to interchange income, and promotional and usage income. Peoples recognizes interchange income over time, on a monthly basis, which is based on the transactional volume of debit card activity completed by its customers during the month in which income is recognized. Peoples is obligated, based on its contracts with third parties, to meet certain volumes of debit card activities, which are performed by Peoples' customers, over a certain period of time. Interchange income is variable as it is based on the transaction volume of debit card activity completed by Peoples' customers. Peoples estimates the variable consideration based upon the most likely amount method, and does not expect or anticipate a significant reversal of revenue in future periods. Payment is due for all PIN transactions from the vendor within one month of the completed customer debit card activity, while all other interchange transaction fees are earned and recorded on a daily basis. Peoples has elected to apply a practical expedient of right to invoice when recognizing interchange income, as Peoples has fulfilled the required performance obligations, the vendor has consumed the service, and Peoples has a right to the related income. Peoples also recognizes promotional and usage income over time, on a monthly basis, which is related to branding of debit cards and promotion or use of certain services provided by third-party vendors. Peoples is obligated to brand its debit cards in a certain manner, and promote and use services provided by third-party vendors. Promotional and usage income is variable as it is based on certain metrics achieved for promotion and usage of services provided by the third-party vendors. Peoples estimates the variable consideration based upon the most likely amount method, and does not expect or anticipate a significant reversal of revenue in future periods. Payment is due from the third-party vendors within 45 days of the monthly fulfillment of Peoples' performance obligation. Peoples has elected to apply a practical expedient of right to invoice when recognizing promotional and usage income, as Peoples has fulfilled the required performance obligations, the vendor has consumed the service, and Peoples has a right to the related income. Trust and Investment Income: Trust and investment income consists of revenue from fiduciary and brokerage activities, which includes fees for services such as asset management, record keeping, retirement services and estate management, and investment commissions and fees related to the sale of investments. Trust and investment income is recognized over time, which reflects the duration of the contract period for which services have been provided. Trust and investment income is variable as it is based on the value of assets under administration and management, and specific transactions. Peoples estimates the variable consideration based upon the most likely amount method, and does not expect or anticipate a significant reversal of revenue in future periods. Payment is due from the customer when billed, which is typically a monthly or quarterly billing for services rendered in the most recent period, for which the performance obligation has been satisfied. Peoples has elected to apply a practical expedient of right to invoice when recognizing trust and investment income, as Peoples has fulfilled the performance obligation, the customer has consumed the service, and Peoples has a right to the related income. Peoples has also elected to apply a practical expedient related to capitalizable costs, which are the commissions paid to financial advisors, and will expense these commissions paid to financial advisors as incurred, as these costs are related to the trust and investment income and would have been amortized within one year or less if they had been capitalized, the same period over which the income was earned. Deposit Account Service Charges: Deposit account service charges consist of two revenue streams related to ongoing maintenance fees for deposit accounts and transactional-based fees. Ongoing maintenance fees are recognized on a monthly basis, generally with the monthly period beginning on the day of the month on which the account was opened. Ongoing maintenance fee income is variable as these fees can be reduced if a customer meets certain qualifying metrics. Peoples estimates the variable consideration based upon the most likely amount method, and does not expect or anticipate a significant reversal of revenue in future periods. For accounts that are assessed maintenance fees through the account analysis process, payment is due from the customer within one month after the monthly period in which the account activity occurred. For all other accounts, monthly maintenance fees are assessed to the account on the last day of the monthly period. Peoples has elected to apply a practical expedient of right to invoice when recognizing ongoing maintenance fees for deposit accounts, as Peoples has fulfilled the required performance obligations, the customer has consumed the service, and Peoples has a right to the related income. Transactional-based fees are recognized at a point in time, which is at the completion of the relevant transaction. Peoples is obligated to perform certain transactions as requested by its consumer and business deposit account customers, which are outside of the normal maintenance requirements. Transactional-based fee income is variable as these fees are directly related to a service request from the customer. Peoples estimates the variable consideration based upon the most likely amount method, and does not expect or anticipate a significant reversal of revenue in future periods. Payment is due from the customer at the time of completion of the requested transaction. Commercial Loan Swap Fees: Commercial loan swap fees consist of income related to transactions in which Peoples Bank originates variable rate loans with interest rate swaps, where the customer enters into an interest rate swap with Peoples Bank on terms that match the terms of the loan. By entering into the interest rate swap with the customer, Peoples Bank effectively provides the customer with a fixed rate loan while creating a variable rate asset for Peoples Bank. Peoples Bank offsets its exposure in the swap by entering into an offsetting interest rate swap with an unaffiliated institution. Commercial loan swap fees are recognized at a point in time, when the transaction has been completed, and there is no recourse or further performance obligation required of Peoples. Commercial loan swap fees are variable as these fees are a certain percentage of the total swap fee collected on a completed transaction. Peoples estimates the variable consideration based upon the most likely amount method, and does not expect or anticipate a significant reversal of revenue in future periods. Payment is due from the customer at the time of completion of the requested transaction. Other Non-Interest Income: Other non-interest income includes certain revenues that are transactional-based, such as wire transfer fees, money order fees and other ancillary fees or services. These transactional-based fees are recognized as income at a point in time, at the completion of the relevant transaction. Transactional-based fee income is variable as these fees are directly related to a service request from the customer. Peoples estimates the variable consideration based upon the most likely amount method, and does not expect or anticipate a significant reversal of revenue in future periods. Payment is due from the customer at the time of completion of the requested transaction. |
Income Taxes | Income Taxes: Peoples and its subsidiaries file a consolidated federal income tax return. Deferred income tax assets and liabilities are provided as temporary differences between the tax basis of an asset or liability and its reported amount in the Consolidated Financial Statements at the statutory federal corporate income tax rate. A valuation allowance, if needed, reduces deferred tax assets to the expected amount most likely to be realized. Realization of deferred tax assets is dependent upon the generation of a sufficient level of future taxable income and recoverable taxes paid in prior years. The Tax Cuts and Jobs Act (the "TCJ Act") was enacted on December 22, 2017, and Peoples' Consolidated Financial Statements fully reflect the impact of the TCJ Act as of December 31, 2018. As a result of the final impact of this guidance, Peoples recorded a reduction to income tax expense of $0.7 million during 2018. At December 31, 2017, Peoples had completed the accounting for the tax effects of enactment of the TCJ Act; however, in certain cases, Peoples made reasonable estimates of the effects of a reduced statutory federal corporate income tax rate on its existing deferred tax balances. Peoples also early adopted and retrospectively applied the reclassification of stranded income tax effects from accumulated other comprehensive loss to retained earnings as of December 31, 2017, as permitted by ASU 2018-02. A tax position is initially recognized in the financial statements when it is more likely than not the position will be sustained upon examination by the tax authorities. Such tax positions are initially and subsequently measured as the largest amount of tax benefit that is greater than 50% likely of being realized upon ultimate settlement with the tax authority assuming full knowledge of the position and all relevant facts. Penalties and interest incurred under the applicable tax law are classified as income tax expense. The amount of Peoples' uncertain income tax positions and unrecognized benefits are disclosed in "Note 12 Income Taxes." |
Advertising Costs | Advertising Costs: Advertising costs are expensed as incurred. |
Earnings Per Share | Earnings per Share ("EPS"): Basic and diluted EPS are calculated using the two-class method since Peoples has issued share-based payment awards considered participating securities because they entitle holders the rights to dividends during the vesting term. The two-class method is an earnings allocation formula that determines net income per share for each class of common |
Operating Segments | Operating Segments: Peoples' business activities are currently confined to one reporting unit and reportable segment, which is community banking. As a community banking entity, Peoples offers its customers a full range of products including a complete line of banking, insurance, investment and trust solutions. |
Stock-Based Compensation | Stock-Based Compensation: Stock-based compensation for restricted stock awards is measured at the fair value of these awards on their grant date. Stock-based compensation is recognized over the restriction period for restricted stock awards. Only the expense for the portion of the awards expected to vest is recognized. For service-based awards, stock-based compensation for awards granted to employees who are eligible for retirement is recognized on the date the employee is first eligible to retire. |
New Accounting Pronouncements | New Accounting Pronouncements: From time to time, new accounting pronouncements are issued by the FASB or other standard setting bodies that are adopted by Peoples as of the required effective dates. Unless otherwise discussed, management believes the impact of any recently issued standards, including those issued but not yet effective, will not have a material impact on Peoples' financial statements taken as a whole. Accounting Standards Update ("ASU") 2017-04 – Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. The amendments in this ASU simplify how an entity is required to test goodwill for impairment by eliminating the requirement to calculate the implied fair value of goodwill to measure a goodwill impairment charge. This accounting guidance will be effective for interim and annual reporting periods beginning after December 15, 2019 (effective January 1, 2020 for Peoples). Peoples early adopted this new accounting guidance as of January 1, 2019, and it was incorporated in the October 1, 2019 annual goodwill and intangible assets impairment analysis, and did not have a material impact on Peoples' consolidated financial statements. |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Assets measured on recurring basis | Recurring Fair Value Measurements at Reporting Date December 31, 2019 December 31, 2018 (Dollars in thousands) Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Assets: Available-for-sale investment securities: Obligations of: U.S. government sponsored agencies $ — $ 8,209 $ — $ — $ — $ — States and political subdivisions — 114,104 — — 88,587 — Residential mortgage-backed securities — 791,009 — — 692,608 — Commercial mortgage-backed securities — 18,088 — — 6,707 — Bank-issued trust preferred securities — 4,691 — — 3,989 — Total available-for-sale securities — 936,101 — — 791,891 — Equity investment securities (a) 123 198 — 94 183 — Derivative assets (b) — 11,419 — — 4,544 — Liabilities: Derivative liabilities (c) $ — $ 15,116 $ — $ — $ 3,562 $ — (a) Included in other investment securities on the Consolidated Balance Sheets. For additional information, see "Note 3 Investment Securities." (b) Included in other assets on the Consolidated Balance Sheets. For additional information, see "Note 14 Derivative Financial Instruments." (c) Included in accrued expenses and other liabilities on the Consolidated Balance Sheets. For additional information, see "Note 14 Derivative Financial Instruments." |
Fair Values of Financial Assets and Liabilities on Balance Sheets | Fair Value Measurements of Other Financial Instruments (Dollars in thousands) Fair Value Hierarchy Level December 31, 2019 December 31, 2018 Carrying Amount Fair Value Carrying Amount Fair Value Assets: Cash and cash equivalents 1 $ 115,193 $ 115,193 $ 77,612 $ 77,612 Held-to-maturity investment securities: Obligations of: States and political subdivisions 2 4,346 4,791 4,403 4,896 Residential mortgage-backed securities 2 21,494 21,569 29,044 28,603 Commercial mortgage-backed securities 2 5,907 6,181 3,514 3,464 Total held-to-maturity securities 31,747 32,541 36,961 36,963 Other investment securities: FHLB stock 2 27,235 27,235 29,367 29,367 FRB stock 2 13,310 13,310 12,294 12,294 Nonqualified deferred compensation 2 1,499 1,499 987 987 Other investment securities 2 365 365 60 60 Other investment securities (a) 42,409 42,409 42,708 42,708 Net loans 3 2,851,969 3,147,190 2,708,583 2,907,537 Loans held for sale 2 6,499 6,553 5,470 5,492 Bank owned life insurance 3 69,722 69,722 68,934 68,934 Servicing rights (b) 3 2,742 3,881 2,655 4,568 Financial liabilities: Deposits 2 $ 3,291,412 $ 3,292,950 $ 2,955,465 $ 2,953,452 Short-term borrowings 2 316,977 317,973 356,198 349,994 Long-term borrowings 2 83,123 82,701 109,644 107,696 |
Fair Value Measurements, Nonrecurring | The following table provides the fair value for each class of assets and liabilities required to be measured and reported at fair value on a non-recurring basis on the Consolidated Balance Sheets by level in the fair value hierarchy. Non-Recurring Fair Value Measurements at Reporting Date December 31, 2019 December 31, 2018 (Dollars in thousands) Level 1 Level 2 Level 3 Level 1 Level 2 Level 3 Impaired loans $ — $ — $ 29,100 $ — $ — $ 24,129 OREO — — 227 — — 94 |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investment Disclosures | |
Summary of Available-for-sale Investment Securities | Available-for-sale The following table summarizes Peoples’ available-for-sale investment securities at December 31: (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value 2019 Obligations of: U.S. government sponsored agencies $ 7,917 $ 292 $ — $ 8,209 States and political subdivisions 111,217 3,018 (131) 114,104 Residential mortgage-backed securities 787,430 7,763 (4,184) 791,009 Commercial mortgage-backed securities 18,135 88 (135) 18,088 Bank-issued trust preferred securities 4,696 137 (142) 4,691 Total available-for-sale securities $ 929,395 $ 11,298 $ (4,592) $ 936,101 2018 Obligations of: States and political subdivisions $ 88,358 $ 787 $ (558) $ 88,587 Residential mortgage-backed securities 705,289 2,720 (15,401) 692,608 Commercial mortgage-backed securities 6,812 — (105) 6,707 Bank-issued trust preferred securities 4,196 75 (282) 3,989 Total available-for-sale securities $ 804,655 $ 3,582 $ (16,346) $ 791,891 |
Schedule of Gross Gains and Losses from Sales of Available-for-sale Securities | The gross gains and gross losses realized by Peoples from sales of available-for-sale securities for the years ended December 31 were as follows: (Dollars in thousands) 2019 2018 2017 Gross gains realized $ 252 $ 6 $ 2,999 Gross losses realized 88 152 16 Net gain (loss) realized $ 164 $ (146) $ 2,983 |
Summary of Available-for-sale Securities with Unrealized Loss | The following table presents a summary of available-for-sale investment securities that had an unrealized loss at December 31: Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrealized Loss No. of Securities Fair Value Unrealized Loss No. of Securities Fair Value Unrealized Loss 2019 Obligations of: States and political subdivisions $ 6,226 $ 74 2 $ 2,441 $ 57 1 $ 8,667 $ 131 Residential mortgage-backed securities 284,096 2,527 62 88,993 1,657 39 373,089 4,184 Commercial mortgage-backed securities 970 21 1 2,409 114 3 3,379 135 Bank-issued trust preferred securities — — — 1,858 142 2 1,858 142 Total $ 291,292 $ 2,622 65 $ 95,701 $ 1,970 45 $ 386,993 $ 4,592 2018 Obligations of: States and political subdivisions $ 10,173 $ 18 17 $ 19,918 $ 540 20 $ 30,091 $ 558 Residential mortgage-backed securities 47,562 226 50 517,335 15,175 170 564,897 15,401 Commercial mortgage-backed securities — — — 6,707 105 3 6,707 105 Bank-issued trust preferred securities — — — 1,718 282 2 1,718 282 Total $ 57,735 $ 244 67 $ 545,678 $ 16,102 195 $ 603,413 $ 16,346 |
Summary of Held-to-maturity Investment Securities | The following table summarizes Peoples’ held-to-maturity investment securities at December 31: (Dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value 2019 Obligations of: States and political subdivisions $ 4,346 $ 445 $ — $ 4,791 Residential mortgage-backed securities 21,494 169 (94) 21,569 Commercial mortgage-backed securities 5,907 275 (1) 6,181 Total held-to-maturity securities $ 31,747 $ 889 $ (95) $ 32,541 2018 Obligations of: States and political subdivisions $ 4,403 $ 493 $ — $ 4,896 Residential mortgage-backed securities 29,044 191 (632) 28,603 Commercial mortgage-backed securities 3,514 — (50) 3,464 Total held-to-maturity securities $ 36,961 $ 684 $ (682) $ 36,963 |
Other Investment Securities | The following table summarizes the carrying value of Peoples' other investment securities at December 31: (Dollars in thousands) 2019 2018 FHLB stock $ 27,235 $ 29,367 FRB stock 13,310 12,294 Nonqualified deferred compensation 1,499 987 Equity investment securities 321 277 Other investment securities 365 60 Total other investment securities $ 42,730 $ 42,985 |
Schedule of Financial Instruments Owned and Pledged as Collateral | The following table summarizes the carrying value of Peoples' pledged investment securities as of December 31: Carrying Amount (Dollars in thousands) 2019 2018 Securing public and trust department deposits, and Repurchase Agreements: Available-for-sale $ 527,655 $ 429,987 Held-to-maturity 12,975 16,928 Securing additional borrowing capacity at the FHLB and the FRB: Available-for-sale 44,618 60,058 Held-to-maturity 14,155 16,731 |
Available-for-sale securities | |
Investment Disclosures | |
Summary of Investment Securities by Contractual Maturity | The table below presents the amortized cost, fair value and total weighted-average yield of available-for-sale securities by contractual maturity at December 31, 2019. The weighted-average yields are based on the amortized cost and are computed on a fully taxable-equivalent basis using a statutory federal corporate income tax rate of 21%. In some cases, the issuers may have the right to call or prepay obligations without call or prepayment penalties prior to the contractual maturity date. (Dollars in thousands) Within 1 Year 1 to 5 Years 5 to 10 Years Over 10 Years Total Amortized cost Obligations of: U.S. government sponsored agencies $ — $ 1,993 $ 5,924 $ — $ 7,917 States and political subdivisions 4,303 24,842 43,699 38,373 111,217 Residential mortgage-backed securities 1 1,860 77,441 708,128 787,430 Commercial mortgage-backed securities 2,372 11,267 982 3,514 18,135 Bank-issued trust preferred securities — — 4,696 — 4,696 Total available-for-sale securities $ 6,676 $ 39,962 $ 132,742 $ 750,015 $ 929,395 Fair value Obligations of: U.S. government sponsored agencies $ — $ 2,045 $ 6,164 $ — $ 8,209 States and political subdivisions 4,316 25,224 45,445 39,119 114,104 Residential mortgage-backed securities 1 1,890 77,076 712,042 791,009 Commercial mortgage-backed securities 2,374 11,325 1,010 3,379 18,088 Bank-issued trust preferred securities — — 4,691 — 4,691 Total available-for-sale securities $ 6,691 $ 40,484 $ 134,386 $ 754,540 $ 936,101 Total weighted-average yield 2.32 % 2.63 % 2.71 % 2.67 % 2.68 % |
Held-to-maturity securities | |
Investment Disclosures | |
Summary of Investment Securities by Contractual Maturity | The table below presents the amortized cost, fair value and total weighted-average yield of held-to-maturity securities by contractual maturity at December 31, 2019. The weighted-average yields are based on the amortized cost and are computed on a fully taxable-equivalent basis using a statutory federal corporate income tax rate of 21%. In some cases, the issuers may have the right to call or prepay obligations without call or prepayment penalties prior to the contractual maturity date. (Dollars in thousands) Within 1 Year 1 to 5 Years 5 to 10 Years Over 10 Years Total Amortized cost Obligations of: States and political subdivisions $ 302 $ — $ 3,543 $ 501 $ 4,346 Residential mortgage-backed securities — — 3,648 17,846 21,494 Commercial mortgage-backed securities — 398 3,842 1,667 5,907 Total held-to-maturity securities $ 302 $ 398 $ 11,033 $ 20,014 $ 31,747 Fair value Obligations of: States and political subdivisions $ 303 $ — $ 3,986 $ 502 $ 4,791 Residential mortgage-backed securities — — 3,715 17,854 21,569 Commercial mortgage-backed securities — 402 4,113 1,666 6,181 Total held-to-maturity securities $ 303 $ 402 $ 11,814 $ 20,022 $ 32,541 Total weighted-average yield 2.61 % 2.29 % 2.79 % 2.82 % 2.80 % |
Summary of Held-to-maturity Securities with Unrealized Loss | The following table presents a summary of held-to-maturity investment securities that had an unrealized loss at December 31: Less than 12 Months 12 Months or More Total (Dollars in thousands) Fair Value Unrealized Loss No. of Securities Fair Value Unrealized Loss No. of Securities Fair Value Unrealized Loss 2019 Residential mortgage-backed securities $ 7,731 $ 67 1 $ 890 $ 27 1 $ 8,621 $ 94 Commercial mortgage-backed securities 1,666 1 1 — — — 1,666 1 Total $ 9,397 $ 68 2 $ 890 $ 27 1 $ 10,287 $ 95 2018 Residential mortgage-backed securities $ — $ — — $ 13,102 $ 632 5 $ 13,102 $ 632 Commercial mortgage-backed securities — — — 3,464 50 1 3,464 50 Total $ — $ — — $ 16,566 $ 682 6 $ 16,566 $ 682 |
Loans (Tables)
Loans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Loan Classification by Type | The major classifications of loan balances (in each case, net of deferred fees and costs), excluding loans held for sale, were as follows at December 31: (Dollars in thousands) 2019 2018 Originated loans: Construction $ 83,283 $ 124,013 Commercial real estate, other 671,576 632,200 Commercial real estate 754,859 756,213 Commercial and industrial 622,175 530,207 Residential real estate 314,935 296,860 Home equity lines of credit 93,013 93,326 Consumer, indirect 417,127 407,167 Consumer, direct 70,852 71,674 Consumer 487,979 478,841 Deposit account overdrafts 878 583 Total originated loans $ 2,273,839 $ 2,156,030 Acquired loans: Construction $ 5,235 $ 12,404 Commercial real estate, other 161,662 184,711 Commercial real estate 166,897 197,115 Commercial and industrial 40,818 35,537 Residential real estate 346,541 296,937 Home equity lines of credit 39,691 40,653 Consumer, indirect 58 136 Consumer, direct 5,681 2,370 Consumer 5,739 2,506 Total acquired loans $ 599,686 $ 572,748 Total loans $ 2,873,525 $ 2,728,778 |
Purchased Credit Impaired Loans | The carrying amounts of these purchased credit impaired loans included in the loan balances above are summarized as follows at December 31: (Dollars in thousands) 2019 2018 Commercial real estate $ 9,150 $ 11,955 Commercial and industrial 3,689 1,287 Residential real estate 23,814 20,062 Consumer 385 58 Total outstanding balance $ 37,038 $ 33,362 Net carrying amount $ 23,750 $ 22,475 |
Accretable Yield Rollforward | Changes in the accretable yield for purchased credit impaired loans during the year ended December 31 were as follows: (Dollars in thousands) 2019 2018 Balance, beginning of period $ 8,955 $ 6,704 Reclassification from nonaccretable to accretable 199 2,019 Additions: ASB — 2,047 First Prestonsburg 3,860 — Accretion (2,955) (1,815) Balance, December 31 $ 10,059 $ 8,955 Acquired loans, excluding acquired overdrafts of $375,000, are reported net of the unamortized fair value adjustment. The following table details the fair value adjustment for acquired loans as of the acquisition date: (Dollars in thousands, except per share data) First Prestonsburg Nonimpaired Loans Contractual cash flows $ 168,729 Nonaccretable difference 19,745 Expected cash flows 148,984 Accretable yield 28,269 Fair value $ 120,715 Credit Impaired Loans Contractual cash flows $ 17,847 Nonaccretable difference 5,337 Expected cash flows 12,510 Accretable yield 3,860 Fair value $ 8,650 |
Related Party Loans | Activity in related party loans is presented in the table below. Other changes primarily consist of changes in related party status, and the addition and exit of directors during the year, as applicable. (Dollars in thousands) Balance, December 31, 2018 $ 16,789 New loans and disbursements 4,198 Repayments (5,607) Balance, December 31, 2019 $ 15,380 |
Nonaccrual and Past Due Loans | The recorded investments in loans on nonaccrual status and loans delinquent for 90 days or more and accruing were as follows at December 31: Loans 90+ Days Past Due and Accruing Nonaccrual Loans (Dollars in thousands) 2019 2018 2019 2018 Originated loans: Construction $ — $ 710 $ — $ — Commercial real estate, other 6,626 6,565 — 786 Commercial real estate 6,626 7,275 — 786 Commercial and industrial 2,060 1,673 — — Residential real estate 4,365 4,105 755 398 Home equity lines of credit 458 596 51 7 Consumer, indirect 840 480 — — Consumer, direct 43 56 — — Consumer 883 536 — — Total originated loans $ 14,392 $ 14,185 $ 806 $ 1,191 Acquired loans: Construction $ 411 $ — $ — $ — Commercial real estate, other 175 319 907 15 Commercial real estate 586 319 907 15 Commercial and industrial 95 36 155 18 Residential real estate 1,996 1,921 1,922 1,032 Home equity lines of credit 707 637 57 — Consumer, direct 5 — 85 — Total acquired loans $ 3,389 $ 2,913 $ 3,126 $ 1,065 Total loans $ 17,781 $ 17,098 $ 3,932 $ 2,256 |
Aging Of The Recorded Investment In Past Due Loans And Leases | The following tables present the aging of the recorded investment in past due loans at December 31: Loans Past Due Current Total (Dollars in thousands) 30 – 59 days 60 – 89 days 90 + Days Total 2019 Originated loans: Construction $ — $ — $ — $ — $ 83,283 $ 83,283 Commercial real estate, other 75 12 6,432 6,519 665,057 671,576 Commercial real estate 75 12 6,432 6,519 748,340 754,859 Commercial and industrial 2,477 292 994 3,763 618,412 622,175 Residential real estate 4,487 1,231 3,104 8,822 306,113 314,935 Home equity lines of credit 396 267 405 1,068 91,945 93,013 Consumer, indirect 3,574 714 370 4,658 412,469 417,127 Consumer, direct 459 53 27 539 70,313 70,852 Consumer 4,033 767 397 5,197 482,782 487,979 Deposit account overdrafts — — — — 878 878 Total originated loans $ 11,468 $ 2,569 $ 11,332 $ 25,369 $ 2,248,470 $ 2,273,839 Acquired loans: Construction $ 5 $ — $ 411 $ 416 $ 4,819 $ 5,235 Commercial real estate, other 301 325 1,069 1,695 159,967 161,662 Commercial real estate 306 325 1,480 2,111 164,786 166,897 Commercial and industrial 303 20 250 573 40,245 40,818 Residential real estate 6,051 1,687 2,768 10,506 336,035 346,541 Home equity lines of credit 246 243 628 1,117 38,574 39,691 Consumer, indirect — — — — 58 58 Consumer, other 160 64 85 309 5,372 5,681 Consumer 160 64 85 309 5,430 5,739 Total acquired loans $ 7,066 $ 2,339 $ 5,211 $ 14,616 $ 585,070 $ 599,686 Total loans $ 18,534 $ 4,908 $ 16,543 $ 39,985 $ 2,833,540 $ 2,873,525 Loans Past Due Current Total (Dollars in thousands) 30 – 59 days 60 – 89 days 90 + Days Total 2018 Originated loans: Construction $ — $ — $ 710 $ 710 $ 123,303 $ 124,013 Commercial real estate, other 12 736 7,151 7,899 624,301 632,200 Commercial real estate 12 736 7,861 8,609 747,604 756,213 Commercial and industrial 1,678 3,520 1,297 6,495 523,712 530,207 Residential real estate 4,457 1,319 2,595 8,371 288,489 296,860 Home equity lines of credit 531 30 431 992 92,334 93,326 Consumer, indirect 3,266 488 165 3,919 403,248 407,167 Consumer, direct 308 50 42 400 71,274 71,674 Consumer 3,574 538 207 4,319 474,522 478,841 Deposit account overdrafts — — — — 583 583 Total originated loans $ 10,252 $ 6,143 $ 12,391 $ 28,786 $ 2,127,244 $ 2,156,030 Acquired loans: Construction $ 511 $ — $ — $ 511 $ 11,893 $ 12,404 Commercial real estate, other 523 457 233 1,213 183,498 184,711 Commercial real estate 1,034 457 233 1,724 195,391 197,115 Commercial and industrial 111 13 18 142 35,395 35,537 Residential real estate 6,124 1,823 1,885 9,832 287,105 296,937 Home equity lines of credit 238 233 534 1,005 39,648 40,653 Consumer, indirect — — — — 136 136 Consumer, direct 23 6 — 29 2,341 2,370 Consumer 23 6 — 29 2,477 2,506 Total acquired loans $ 7,530 $ 2,532 $ 2,670 $ 12,732 $ 560,016 $ 572,748 Total loans $ 17,782 $ 8,675 $ 15,061 $ 41,518 $ 2,687,260 $ 2,728,778 |
Loans By Risk Category | The following tables summarize the risk category of Peoples' loan portfolio based upon the most recent analysis performed at December 31: Pass Rated Special Mention Substandard Doubtful Not Rated Total (Dollars in thousands) (Grades 1 – 4) (Grade 5) (Grade 6) (Grade 7) 2019 Originated loans: Construction $ 81,771 $ — $ — $ — $ 1,512 $ 83,283 Commercial real estate, other 640,745 12,130 18,694 7 — 671,576 Commercial real estate 722,516 12,130 18,694 7 1,512 754,859 Commercial and industrial 601,578 7,821 12,776 — — 622,175 Residential real estate 17,713 916 15,488 159 280,659 314,935 Home equity lines of credit 1,348 — — — 91,665 93,013 Consumer, indirect — — — — 417,127 417,127 Consumer, direct 26 — — — 70,826 70,852 Consumer 26 — — — 487,953 487,979 Deposit account overdrafts — — — — 878 878 Total originated loans $ 1,343,181 $ 20,867 $ 46,958 $ 166 $ 862,667 $ 2,273,839 Pass Rated Special Mention Substandard Doubtful Not Rated Total (Dollars in thousands) (Grades 1 – 4) (Grade 5) (Grade 6) (Grade 7) 2019 Acquired loans: Construction $ 3,578 $ 150 $ 1,507 $ — $ — $ 5,235 Commercial real estate, other 146,973 5,442 9,164 83 — 161,662 Commercial real estate 150,551 5,592 10,671 83 — 166,897 Commercial and industrial 35,508 1,595 3,715 — — 40,818 Residential real estate 32,193 2,468 4,436 125 307,319 346,541 Home equity lines of credit 1,812 154 — — 37,725 39,691 Consumer, indirect — — — — 58 58 Consumer, direct 26 — — — 5,655 5,681 Consumer 26 — — — 5,713 5,739 Total acquired loans $ 220,090 $ 9,809 $ 18,822 $ 208 $ 350,757 $ 599,686 Total loans $ 1,563,271 $ 30,676 $ 65,780 $ 374 $ 1,213,424 $ 2,873,525 2018 Originated loans: Construction $ 121,457 $ — $ 1,472 $ — $ 1,084 $ 124,013 Commercial real estate, other 612,099 10,898 9,203 — — 632,200 Commercial real estate 733,556 10,898 10,675 — 1,084 756,213 Commercial and industrial 476,290 45,990 7,692 — 235 530,207 Residential real estate 14,229 500 11,971 409 269,751 296,860 Home equity lines of credit 453 — — — 92,873 93,326 Consumer, indirect 8 — — — 407,159 407,167 Consumer, direct 30 — — — 71,644 71,674 Consumer 38 — — — 478,803 478,841 Deposit account overdrafts — — — — 583 583 Total originated loans $ 1,224,566 $ 57,388 $ 30,338 $ 409 $ 843,329 $ 2,156,030 Acquired loans: Construction $ 8,976 $ 1,795 $ 1,633 $ — $ — $ 12,404 Commercial real estate, other 169,260 7,241 8,114 96 — 184,711 Commercial real estate 178,236 9,036 9,747 96 — 197,115 Commercial and industrial 32,471 2,008 1,058 — — 35,537 Residential real estate 17,370 1,938 2,033 137 275,459 296,937 Home equity lines of credit 33 — — — 40,620 40,653 Consumer, indirect 4 — — — 132 136 Consumer, direct 31 — — — 2,339 2,370 Consumer 35 — — — 2,471 2,506 Total acquired loans $ 228,145 $ 12,982 $ 12,838 $ 233 $ 318,550 $ 572,748 Total loans $ 1,452,711 $ 70,370 $ 43,176 $ 642 $ 1,161,879 $ 2,728,778 |
Schedule Of Impaired Loans | The following table summarizes loans classified as impaired at December 31: Unpaid Principal Balance Recorded Investment Total Recorded Investment Average Recorded Investment Interest Income Recognized With Without Related Allowance (Dollars in thousands) Allowance Allowance 2019 Construction $ 1,509 $ — $ 1,423 $ 1,423 $ — $ 1,297 $ 44 Commercial real estate, other 14,519 4,754 8,829 13,583 430 13,210 475 Commercial real estate 16,028 4,754 10,252 15,006 430 14,507 519 Commercial and industrial 6,018 2,294 2,829 5,123 698 3,205 160 Residential real estate 26,581 123 24,566 24,689 15 23,370 1,436 Home equity lines of credit 1,583 414 1,170 1,584 9 1,384 92 Consumer, indirect 767 298 494 792 53 359 33 Consumer, direct 387 55 329 384 7 200 21 Consumer 1,154 353 823 1,176 60 559 54 Total $ 51,364 $ 7,938 $ 39,640 $ 47,578 $ 1,212 $ 43,025 $ 2,261 2018 Construction $ 2,376 $ — $ 2,376 2,376 $ — $ 1,732 $ 74 Commercial real estate, other 15,464 274 14,946 15,220 119 14,043 455 Commercial real estate 17,840 274 17,322 17,596 119 15,775 529 Commercial and industrial 3,305 790 2,436 3,226 157 2,423 72 Residential real estate 25,990 644 24,034 24,678 154 22,769 1,134 Home equity lines of credit 2,291 424 1,869 2,293 73 1,832 109 Consumer, indirect 496 — 503 503 — 278 15 Consumer, direct 79 22 57 79 6 63 20 Consumer 575 22 560 582 6 341 35 Total $ 50,001 $ 2,154 $ 46,221 $ 48,375 $ 509 $ 43,140 $ 1,879 |
Troubled Debt Restructurings on Financing Receivables | The following table summarizes the loans that were modified as TDRs during the years ended December 31, 2019 and 2018. Recorded Investment (1) (Dollars in thousands) Number of Contracts Pre-Modification Post-Modification Remaining Recorded Investment 2019 Originated loans: Commercial and industrial 2 $ 38 $ 38 $ 32 Residential real estate 3 437 440 431 Home equity lines of credit 4 139 139 136 Consumer, indirect 17 260 260 234 Consumer, direct 3 52 52 45 Consumer 20 312 312 279 Total 29 $ 926 $ 929 $ 878 Acquired loans: Commercial real estate 3 $ 101 $ 76 $ 76 Commercial and industrial 5 1,557 1,557 1,464 Residential real estate 38 2,069 2,069 1,967 Home equity lines of credit 8 172 173 164 Consumer, direct 10 124 124 114 Total 64 $ 4,023 $ 3,999 $ 3,785 2018 Originated loans: Commercial and industrial 1 $ 714 $ 714 $ 714 Residential real estate 9 904 904 899 Home equity lines of credit 8 666 666 660 Consumer, indirect 27 485 485 412 Consumer, direct 5 32 32 29 Consumer 32 517 517 441 Total 50 $ 2,801 $ 2,801 $ 2,714 Acquired loans: Construction 1 $ 50 $ 50 $ 45 Residential real estate 15 1,258 1,258 1,226 Home equity lines of credit 6 196 196 193 Total 22 $ 1,504 $ 1,504 $ 1,464 (1) The amounts shown are inclusive of all partial paydowns and charge-offs. Loans modified in a TDR that were fully paid down, charged-off or foreclosed upon by period end are not reported. |
Summary Of Activity In Allowance For Loan And Lease Losses | Changes in the allowance for loan losses in the periods ended December 31 were as follows: (Dollars in thousands) Commercial Real Estate Commercial and Industrial Residential Real Estate Home Equity Lines of Credit Consumer, indirect Consumer, direct Deposit Account Overdrafts Total Balance, January 1, 2019 $ 8,003 $ 6,178 $ 1,214 $ 618 $ 3,214 $ 351 $ 81 $ 19,659 Charge-offs (153) (1,062) (312) (55) (1,829) (211) (851) (4,473) Recoveries 151 2,415 229 11 270 52 205 3,333 Net (charge-offs) recoveries (2) 1,353 (83) (44) (1,559) (159) (646) (1,140) (Recovery of) provision for loan losses (668) 901 60 (28) 1,282 102 659 2,308 Balance, December 31, 2019 $ 7,333 $ 8,432 $ 1,191 $ 546 $ 2,937 $ 294 $ 94 $ 20,827 Balance, January 1, 2018 $ 7,797 $ 5,813 $ 904 $ 693 $ 2,944 $ 464 $ 70 $ 18,685 Charge-offs (849) (38) (355) (107) (2,515) (358) (965) (5,187) Recoveries 60 18 232 14 474 140 205 1,143 Net charge-offs (789) (20) (123) (93) (2,041) (218) (760) (4,044) Provision for loan losses 995 385 433 18 2,311 105 771 5,018 Balance, December 31, 2018 $ 8,003 $ 6,178 $ 1,214 $ 618 $ 3,214 $ 351 $ 81 $ 19,659 |
Allowance for Loan Losses Acquired Loans [Table Text Block] | The following table presents activity in the allowance for loan losses for acquired loans as of December 31: (Dollars in thousands) 2019 2018 Nonimpaired loans: Balance, January 1 $ 383 $ — Charge-offs (3) — Provision for loan losses 215 383 Balance, December 31 $ 595 $ 383 Purchased credit impaired loans: Balance, January 1 $ 153 $ 108 Charge-offs — (2) (Recovery of) provision for loan losses (19) 47 Balance, December 31 $ 134 $ 153 |
Allowance for loan losses and recorded investment in loans disaggregated based on impairment method | The following table details the recorded investment and allowance for originated loan losses disaggregated based on impairment method: (Dollars in thousands) Commercial Real Estate Commercial and Industrial Residential Real Estate Home Equity Lines of Credit Consumer Indirect Consumer Direct Deposit Account Overdrafts Total 2019 Allowance for loan losses allocated to: Loans individually evaluated for impairment $ 430 $ 698 $ 15 $ 9 $ 53 $ 7 $ — $ 1,212 Loans collectively evaluated for impairment 6,903 7,734 1,176 537 2,884 287 94 19,615 Ending balance $ 7,333 $ 8,432 $ 1,191 $ 546 $ 2,937 $ 294 $ 94 $ 20,827 Recorded investment in: Loans individually evaluated for impairment $ 15,006 $ 5,123 $ 24,689 $ 1,584 $ 792 $ 384 $ — $ 47,578 Loans collectively evaluated for impairment 739,853 617,052 290,246 91,429 416,335 70,468 878 2,226,261 Ending balance $ 754,859 $ 622,175 $ 314,935 $ 93,013 $ 417,127 $ 70,852 $ 878 $ 2,273,839 2018 Allowance for loan losses allocated to: Loans individually evaluated for impairment $ 119 $ 157 $ 154 $ 73 $ — $ 6 $ — $ 509 Loans collectively evaluated for impairment 7,884 6,021 1,060 545 3,214 345 81 19,150 Ending balance $ 8,003 $ 6,178 $ 1,214 $ 618 $ 3,214 $ 351 $ 81 $ 19,659 Recorded investment in: Loans individually evaluated for impairment $ 17,596 $ 3,226 $ 24,678 $ 2,293 $ 503 $ 79 $ — $ 48,375 Loans collectively evaluated for impairment 738,617 526,981 272,182 91,033 406,664 71,595 583 2,107,655 Ending balance $ 756,213 $ 530,207 $ 296,860 $ 93,326 $ 407,167 $ 71,674 $ 583 $ 2,156,030 |
Bank Premises and Equipment (Ta
Bank Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment [Table Text Block] | The major categories of bank premises and equipment, net of accumulated depreciation, at December 31 are summarized as follows: (Dollars in thousands) 2019 2018 Land $ 15,317 $ 13,776 Building and premises 73,097 68,245 Furniture, fixtures and equipment 30,268 28,523 Total bank premises and equipment 118,682 110,544 Accumulated depreciation (56,836) (54,002) Net book value $ 61,846 $ 56,542 |
Lease, Cost | The table below details Peoples' lease expense, which is included in net occupancy and equipment expense in the Consolidated Statements of Income: (Dollars in thousands) 2019 Operating lease expense $ 1,227 Short-term lease expense 137 Total lease expense $ 1,364 |
Lessee, Operating Lease, Disclosure | The following table details the ROU asset, the lease liability and other information related to Peoples' operating leases: (Dollars in thousands) December 31, 2019 Right-of-use asset: Other assets $ 7,606 Lease liability: Accrued expenses and other liabilities $ 7,813 Other information: Weighted-average remaining lease term 12.4 years Weighted-average discount rate 3.16 % Cash paid during the year for operating leases $ 1,172 Additions for right-of-use assets obtained during the year ended $ 3,701 |
Lessee, Operating Lease, Liability, Maturity | he following table summarizes the future lease payments of operating leases: (Dollars in thousands) Payments Year ending December 31, 2020 $ 1,237 Year ending December 31, 2021 1,137 Year ending December 31, 2022 1,067 Year ending December 31, 2023 882 Year ending December 31, 2024 629 Thereafter 4,750 Total undiscounted lease payments $ 9,702 Imputed Interest (1,889) Total lease liability $ 7,813 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Other Intangible Assets [Abstract] | |
Schedule of Goodwill [Table Text Block] | The following table details changes in the recorded amount of goodwill for the years ended December 31: (Dollars in thousands) 2019 2018 Goodwill, beginning of year $ 151,245 $ 133,111 Goodwill recorded from acquisitions 14,456 18,134 Goodwill, end of year $ 165,701 $ 151,245 |
Schedule of Other Intangible Assets | Other intangible assets were comprised of the following at December 31: (Dollars in thousands) Core Deposits Customer Relationships Total 2019 Gross intangibles $ 17,999 $ 7,480 $ 25,479 Intangibles recorded from acquisitions 4,234 — 4,234 Accumulated amortization (15,120) (5,533) (20,653) Total acquisition-related intangibles $ 7,113 $ 1,947 $ 9,060 Servicing rights 2,742 Total other intangibles $ 11,802 2018 Gross intangibles $ 15,636 $ 7,480 $ 23,116 Intangibles recorded from acquisitions 2,363 — 2,363 Accumulated amortization (12,540) (4,754) (17,294) Total acquisition-related intangibles $ 5,459 $ 2,726 $ 8,185 Servicing rights 2,655 Total other intangibles $ 10,840 |
Schedule of Future Amortization of Other Intangible Assets | The following table details estimated aggregate future amortization of other intangible assets at December 31, 2019: (Dollars in thousands) Core Deposits Customer Relationships Total 2020 $ 2,178 $ 629 $ 2,807 2021 1,568 470 2,038 2022 1,011 318 1,329 2023 727 217 944 2024 587 149 736 Thereafter 1,042 164 1,206 Total $ 7,113 $ 1,947 $ 9,060 |
Servicing Rights Activity | The following is an analysis of activity of servicing rights for the years ended December 31: (Dollars in thousands) 2019 2018 2017 Balance, beginning of year $ 2,655 $ 2,305 $ 2,305 Amortization (871) (1,155) (663) Servicing rights originated 958 1,229 663 Servicing rights acquired — 276 — Balance, end of year $ 2,742 $ 2,655 $ 2,305 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Deposits [Abstract] | |
Deposit Balances | Peoples’ deposit balances were comprised of the following at December 31: (Dollars in thousands) 2019 2018 Retail CDs: $100,000 or more $ 242,476 $ 182,717 Less than $100,000 248,354 211,618 Retail CDs 490,830 394,335 Interest-bearing deposit accounts 635,720 573,702 Savings accounts 521,914 468,500 Money market deposit accounts 469,893 379,878 Governmental deposit accounts 293,908 267,319 Brokered CDs 207,939 263,854 Total interest-bearing deposits 2,620,204 2,347,588 Non-interest-bearing deposits 671,208 607,877 Total deposits $ 3,291,412 $ 2,955,465 Time deposits that meet or exceed the Federal Deposit Insurance Corporation ("FDIC") limit of $250 thousand were $100.8 million and $81.6 million at December 31, 2019 and 2018, respectively. |
Schedule of Maturities of Certificates of Deposit | The contractual maturities of CDs for each of the next five years and thereafter are as follows: (Dollars in thousands) Retail Brokered Total 2020 $ 275,443 $ 197,905 $ 473,348 2021 88,596 5,413 94,009 2022 69,216 4,136 73,352 2023 24,270 485 24,755 2024 33,275 — 33,275 Thereafter 30 — 30 Total CDs $ 490,830 $ 207,939 $ 698,769 |
Short-Term Borrowings (Tables)
Short-Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Short-term Debt [Abstract] | |
Schedule of Short-term Borrowings | Peoples utilizes various short-term borrowings as sources of funds, which are summarized as follows at December 31: (Dollars in thousands) Retail Repurchase Agreements FHLB Advances National Market Repurchase Agreements Other (a) 2019 Ending balance $ 42,968 $ 274,009 $ — $ — Average balance 46,686 197,987 — 126 Highest month-end balance 49,081 274,009 — 2,200 Interest expense $ 266 $ 4,455 $ — $ — Weighted-average interest rate: End of year 0.37 % 1.74 % — % — % During the year 0.57 % 2.25 % — % NM 2018 Ending balance $ 51,202 $ 305,000 $ — $ (4) Average balance 64,519 219,897 14,329 301 Highest month-end balance 72,822 307,561 30,000 1,553 Interest expense $ 194 $ 4,494 $ 527 $ 23 Weighted-average interest rate: End of year 0.48 % 2.32 % — % — % During the year 0.30 % 2.04 % 3.68 % NM 2017 Ending balance $ 76,899 $ 92,592 $ 40,000 $ — Average balance 75,344 100,205 6,685 13 Highest month-end balance 80,649 208,000 40,000 — Interest expense $ 128 $ 1,160 $ 246 $ — Weighted-average interest rate: End of year 0.17 % 1.91 % 3.68 % — % During the year 0.17 % 1.16 % 3.68 % 1.30 % |
Long-Term Borrowings (Tables)
Long-Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Borrowings | Long-term borrowings consisted of the following at December 31: 2019 2018 (Dollars in thousands) Balance Weighted- Average Rate Balance Weighted- Average Rate FHLB putable, non-amortizing, fixed rate advances $ 65,000 2.18 % $ 85,000 2.05 % FHLB amortizing, fixed rate advances 10,672 1.74 % 17,361 2.09 % Junior subordinated debt securities 7,451 6.55 % 7,283 7.83 % Long-term borrowings $ 83,123 2.51 % $ 109,644 2.44 % |
Schedule of Aggregate Minimum Annual Retirements of Long-Term Borrowings | At December 31, 2019, the aggregate minimum annual retirements of long-term borrowings in future periods were as follows: (Dollars in thousands) Balance Weighted-Average Rate (a) 2020 $ 2,555 1.42 % 2021 21,979 1.75 % 2022 16,521 1.97 % 2023 1,157 1.27 % 2024 869 1.19 % Thereafter 40,042 2.86 % Total long-term borrowings $ 83,123 2.31 % |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Stockholders' Equity Attributable to Parent [Abstract] | |
Dividends Declared [Table Text Block] | The following table details the cash dividends declared per common share for the year ended December 31: 2019 2018 First Quarter $ 0.30 $ 0.26 Second Quarter 0.34 0.28 Third Quarter 0.34 0.28 Fourth Quarter 0.34 0.30 Total dividends declared $ 1.32 $ 1.12 |
Schedule of Preferred, Common and Treasury Stock | The following table details the activity in Peoples’ common stock and treasury stock during the years ended December 31: Common Stock Treasury Stock Shares at December 31, 2016 18,939,091 795,758 Changes related to stock-based compensation awards: Grant of restricted common shares — (68,707) Release of restricted common shares — 10,452 Cancellation of restricted common shares (3,554) 5,050 Exercise of stock options for common shares — (266) Grant of common shares — (300) Changes related to deferred compensation plan for Boards of Directors: Purchase of treasury stock — 5,413 Disbursed out of treasury stock — (24,634) Common shares issued under dividend reinvestment plan 16,848 — Common shares issued under compensation plan for Boards of Directors — (9,092) Common shares issued under employee stock purchase plan — (11,225) Shares at December 31, 2017 18,952,385 702,449 Changes related to stock-based compensation awards: Grant of restricted common shares — (106,805) Release of restricted common shares — 32,082 Cancellation of restricted common shares — 2,011 Exercise of stock options for common shares — (102) Grant of common shares — (16,544) Changes related to deferred compensation plan for Boards of Directors: Purchase of treasury stock — 6,526 Sale of treasury stock — (10) Disbursed out of treasury stock — (2,089) Common shares issued under dividend reinvestment plan 19,282 — Common shares issued under compensation plan for Board of Directors — (4,699) Common shares issued under employee stock purchase plan — (11,530) Issuance of common shares related to acquisition of ASB 1,152,711 — Shares at December 31, 2018 20,124,378 601,289 Changes related to stock-based compensation awards: Grant of restricted common shares — (133,926) Release of restricted common shares — 19,174 Cancellation of restricted common shares — 11,113 Grant of common shares — (5,130) Changes related to deferred compensation plan for Board of Directors: Purchase of treasury stock — 7,227 Disbursed out of treasury stock — (2,187) Common shares repurchased under repurchase program — 26,427 Common shares issued under dividend reinvestment plan 26,287 — Common shares issued under compensation plan for Board of Directors — (6,755) Common shares issued under employee stock purchase plan — (13,050) Issuance of common shares related to acquisition of First Prestonsburg 1,005,478 — Shares at December 31, 2019 21,156,143 504,182 |
Schedule of Accumulated Other Comprehensive (Loss) Income | The following details the change in the components of Peoples’ accumulated other comprehensive (loss) income for the years ended December 31: (Dollars in thousands) Unrealized Gain (Loss) on Securities Unrecognized Net Pension and Postretirement Costs Unrealized Gain (Loss) on Cash Flow Hedge Accumulated Other Comprehensive (Loss) Income Balance, December 31, 2016 $ 581 $ (3,321) $ 1,186 $ (1,554) Reclassification adjustments to net income: Realized gain on sale of securities, net of tax (1,939) — — (1,939) Realized loss due to settlement and curtailment, net of tax — 157 — 157 Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2018-02 (370) (754) 200 (924) Other comprehensive loss, net of reclassifications and tax (360) (338) (257) (955) Balance, December 31, 2017 $ (2,088) $ (4,256) $ 1,129 $ (5,215) Reclassification adjustments to net income: Realized loss on sale of securities, net of tax 115 — — 115 Realized loss due to settlement and curtailment, net of tax — 211 — 211 Amounts reclassified out of accumulated other comprehensive loss per ASU 2016-01 (5,020) — — (5,020) Other comprehensive (loss) income, net of reclassifications and tax (3,089) 334 (269) (3,024) Balance, December 31, 2018 $ (10,082) $ (3,711) $ 860 $ (12,933) Reclassification adjustments to net income: Realized gain on sale of securities, net of tax (130) — — (130) Other comprehensive income (loss), net of reclassifications and tax 15,512 (247) (3,627) 11,638 Balance, December 31, 2019 $ 5,300 $ (3,958) $ (2,767) $ (1,425) |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Defined Benefit Plan [Abstract] | |
Schedule of Changes in Projected Benefit Obligations and Fair Value of Assets | The following tables provide a reconciliation of the changes in the benefit obligations and fair value of assets of the plans for the years ended December 31, 2019 and 2018, and a statement of the funded status as of December 31, 2019 and 2018: Pension Benefits Post-retirement Benefits (Dollars in thousands) 2019 2018 2019 2018 Change in benefit obligation: Obligation at January 1 $ 10,995 $ 12,991 $ 83 $ 91 Interest cost 438 423 3 3 Plan participants’ contributions — — 121 46 Actuarial loss (gain) 1,696 (1,519) — — Benefit payments (461) (197) (132) (57) Settlements — (703) — — Obligation at December 31 $ 12,668 $ 10,995 $ 75 $ 83 Accumulated benefit obligation at December 31 $ 12,668 $ 10,995 $ 75 $ 83 Change in plan assets: Fair value of plan assets at January 1 $ 10,234 $ 8,493 $ — $ — Actual return (loss) on plan assets 2,093 (554) — — Employer contributions — 3,195 11 11 Plan participants’ contributions — — 121 46 Benefit payments (461) (197) (132) (57) Settlements — (703) — — Fair value of plan assets at December 31 $ 11,866 $ 10,234 $ — $ — Funded status at December 31 $ (802) $ (761) $ (75) $ (83) Amounts recognized in Consolidated Balance Sheets: Accrued benefit liability $ (802) $ (761) $ (75) $ (83) Net amount recognized $ (802) $ (761) $ (75) $ (83) Amounts recognized in Accumulated Other Comprehensive Loss: Unrecognized prior service cost $ — $ — $ — $ (1) Unrecognized net loss (gain) 4,004 3,761 (48) (52) Total $ 4,004 $ 3,761 $ (48) $ (53) Weighted-average assumptions at year-end: Discount rate 4.20 % 3.55 % 4.20 % 3.40 % |
Schedule of Net Periodic Benefit Costs | The following table details the components of the net periodic (benefit) cost for the plans at December 31: Pension Benefits Post-retirement Benefits (Dollars in thousands) 2019 2018 2017 2019 2018 2017 Interest cost $ 438 $ 423 $ 451 $ 3 $ 3 $ 3 Expected return on plan assets (782) (640) (553) — — — Amortization of prior service credit — — — (1) — — Amortization of net loss (gain) 78 104 102 (5) (5) (6) Settlement of benefit obligation — 267 242 — — — Net periodic (benefit) cost $ (266) $ 154 $ 242 $ (3) $ (2) $ (3) Weighted-average assumptions: Discount rate 4.20 % 3.55 % 3.80 % 4.20 % 3.40 % 3.80 % Expected return on plan assets 7.50 % 7.50 % 7.50 % n/a n/a n/a Rate of compensation increase n/a n/a n/a n/a n/a n/a |
Schedule of Allocation of Plan Assets | The following table provides the fair values of investments held in Peoples' pension plan at December 31, by major asset category: (Dollars in thousands) Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) 2019 Equity securities: Mutual funds – equity $ 8,443 $ 8,443 $ — Debt securities: Mutual funds – taxable income 3,163 3,163 — Total fair value of pension assets $ 11,606 $ 11,606 $ — 2018 Equity securities: Mutual funds – equity $ 6,750 $ 6,750 $ — Debt securities: Mutual funds – taxable income 2,746 2,746 — Total fair value of pension assets $ 9,496 $ 9,496 $ — |
Schedule of Estimated Future Benefit Payments | Estimated future benefit payments, which reflect benefits attributable to estimated future service, for the years ending December 31 are as follows: (Dollars in thousands) Pension Benefits Post-retirement Benefits 2020 $ 1,545 $ 11 2021 1,610 10 2022 854 9 2023 775 9 2024 822 8 2025 to 2029 3,128 26 Total $ 8,734 $ 73 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Summary of Income Tax Contingencies [Table Text Block] | The following table provides a reconciliation of uncertain tax positions at December 31: (Dollars in thousands) 2019 2018 Uncertain tax positions, beginning of year $ 423 $ 550 Gross increase based on tax positions related to current year $ 39 $ 55 Gross increase for tax position taken during prior years $ 8 $ 13 Gross decrease due to the statute of limitations $ (220) $ (195) Uncertain tax positions, end of year $ 250 $ 423 |
Schedule of Effective Income Tax Rate Reconciliation | The reported income tax expense and effective tax rate in the Consolidated Statements of Income differ from the amounts computed by applying the statutory federal corporate income tax rate as follows for the years ended December 31: (Dollars in thousands) 2019 2018 2017 Amount Rate Amount Rate Amount Rate Income tax computed at statutory federal corporate income tax rate $ 13,725 21.0 % $ 11,505 21.0 % $ 20,045 35.0 % Differences in rate resulting from: Tax-exempt interest income (659) (1.0) % (554) (1.0) % (1,092) (1.9) % Investments in tax credit funds (530) (0.8) % (125) (0.2) % (221) (0.4) % Bank owned life insurance (510) (0.8) % (393) (0.7) % (683) (1.2) % Stock awards (135) (0.2) % (332) (0.6) % (154) (0.3) % Release of valuation allowance — — % (805) (1.5) % — — % TCJ Act — — % (705) (1.3) % 897 1.6 % Other, net (228) (0.4) % 95 0.2 % (60) (0.1) % Income tax expense $ 11,663 17.8 % $ 8,686 15.9 % $ 18,732 32.7 % |
Schedule of Components of Income Tax Expense (Benefit) | Peoples' reported income tax expense consisted of the following for the years ended December 31: (Dollars in thousands) 2019 2018 2017 Current income tax expense $ 11,554 $ 8,995 $ 21,511 Deferred income tax expense (benefit) 109 (309) (2,779) Income tax expense $ 11,663 $ 8,686 $ 18,732 |
Schedule of Deferred Tax Assets and Liabilities | The significant components of Peoples' deferred tax assets and deferred tax liabilities consisted of the following at December 31: (Dollars in thousands) 2019 2018 Deferred tax assets: Allowance for loan losses $ 9,714 $ 8,559 Available-for-sale securities — $ 2,678 Accrued employee benefits 2,039 1,843 Lease obligation 1,640 — Tax credit investments 1,130 805 Derivative instruments 736 — Other 14 73 Total deferred tax assets $ 15,273 $ 13,958 Deferred tax liabilities: Purchase accounting adjustments $ 5,970 $ 5,839 Bank premises and equipment (a) 3,300 2,047 Deferred loan income 3,120 3,061 Lease right-of-use assets 1,597 Available-for-sale securities 1,410 — Derivative instruments — 228 Tax credit investments — 82 Other 797 673 Total deferred tax liabilities $ 16,194 $ 11,930 Net deferred tax (liability) asset $ (921) $ 2,028 |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Calculations of Basic and Diluted Earnings per Common Share | The calculations of basic and diluted earnings per common share for the years ended December 31 were as follows: (Dollars in thousands, except per common share data) 2019 2018 2017 Distributed earnings allocated to common shareholders $ 26,503 $ 21,334 $ 15,159 Undistributed earnings allocated to common shareholders 26,796 24,660 23,115 Net earnings allocated to common shareholders $ 53,299 $ 45,994 $ 38,274 Weighted-average common shares outstanding 20,120,119 18,991,768 18,050,189 Effect of potentially dilutive common shares 153,606 130,492 158,495 Total weighted-average diluted common shares outstanding 20,273,725 19,122,260 18,208,684 Earnings per common share: Basic $ 2.65 $ 2.42 $ 2.12 Diluted $ 2.63 $ 2.41 $ 2.10 Anti-dilutive common shares excluded from calculation: Restricted shares, stock options and stock appreciation rights — 1,748 453 |
Derivative Financial Instrume_2
Derivative Financial Instrument (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Interest Rate Derivatives [Table Text Block] | The following table summarizes information about the interest rate swaps designated as cash flow hedges at December 31: (Dollars in thousands) 2019 2018 Notional amount $ 160,000 $ 110,000 Weighted average pay rates 2.18 % 2.37 % Weighted average receive rates 1.73 % 2.57 % Weighted average maturity 5.4 years 6.2 years Pre-tax unrealized (losses) gains included in AOCL (3,503) 1,088 |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following table presents net losses or gains recorded in AOCL and in the Consolidated Statements of Income related to the cash flow hedges for the years ended December 31: (Dollars in thousands) 2019 2018 Amount of loss recognized in AOCL, pre-tax $ 4,591 $ 341 Amount of (loss) gain recognized in earnings (19) 18 |
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] | The following table reflects the cash flow hedges, which are included in the Consolidated Balance Sheets at fair value, at December 31: (Dollars in thousands) 2019 2018 Notional Amount Fair Value Notional Amount Fair Value Included in other assets: Interest rate swaps related to debt $ 55,000 $ 644 $ 60,000 $ 2,093 Total included in other assets $ 55,000 $ 644 $ 60,000 $ 2,093 Included in accrued expenses and other liabilities: Interest rate swaps related to debt $ 105,000 $ 4,340 $ 50,000 $ 1,111 Total included in accrued expenses and other liabilities $ 105,000 $ 4,340 $ 50,000 $ 1,111 |
Derivatives Not Designated as Hedging Instruments [Table Text Block] | The following table reflects the non-designated hedges, which are included in the Consolidated Balance Sheets at fair value, at December 31: (Dollars in thousands) 2019 2018 Notional Amount Fair Value Notional Amount Fair Value Included in other assets: Interest rate swaps related to commercial loans $ 321,394 $ 10,776 $ 226,662 $ 2,451 Total included in other assets 321,394 10,776 226,662 2,451 Included in accrued expenses and other liabilities: Interest rate swaps related to commercial loans $ 321,394 $ 10,776 $ 226,662 $ 2,451 Total included in accrued expenses and other liabilities 321,394 10,776 226,662 2,451 |
Financial Instruments with Of_2
Financial Instruments with Off-Balance Sheet Risk (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Financial Instruments with Off-Balance Sheet Risk [Abstract] | |
Loan Commitments and Standby Letters of Credit [Table Text Block] | The total amounts of loan commitments and standby letters of credit at December 31 were: (Dollars in thousands) 2019 2018 Home equity lines of credit $ 112,464 $ 101,265 Unadvanced construction loans 102,491 74,734 Other loan commitments 353,137 314,271 Loan commitments 568,092 490,270 Standby letters of credit $ 12,498 $ 10,214 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Regulatory Matters [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | Peoples' and Peoples Bank's actual capital amounts and ratios as of December 31 are also presented in the following table: 2019 2018 (Dollars in thousands) Amount Ratio Amount Ratio PEOPLES Common Equity Tier 1 (a) Actual $ 427,415 14.59 % $ 378,855 13.66 % For capital adequacy 131,866 4.50 % 124,802 4.50 % To be well capitalized 190,473 6.50 % 180,270 6.50 % Tier 1 (b) Actual $ 434,866 14.84 % $ 386,138 13.92 % For capital adequacy 175,821 6.00 % 166,403 6.00 % To be well capitalized 234,428 8.00 % 221,871 8.00 % Total Capital (c) Actual $ 456,422 15.58 % $ 406,333 14.65 % For capital adequacy 234,428 8.00 % 221,871 8.00 % To be well capitalized 293,036 10.00 % 277,338 10.00 % Tier 1 Leverage (d) Actual $ 434,866 10.41 % $ 386,138 9.99 % For capital adequacy 167,037 4.00 % 154,614 4.00 % To be well capitalized 208,796 5.00 % 193,267 5.00 % Capital Conservation Buffer $ 221,994 7.58 % $ 184,462 6.65 % Fully phased in 73,259 2.50 % 69,335 2.50 % Net Risk-Weighted Assets $ 2,930,355 $ 2,773,383 PEOPLES BANK Common Equity Tier 1 (a) Actual $ 406,612 13.89 % $ 365,063 13.19 % For capital adequacy 131,757 4.50 % 124,552 4.50 % To be well capitalized 190,316 6.50 % 179,908 6.50 % Tier 1 (b) Actual $ 406,612 13.89 % $ 365,063 13.19 % For capital adequacy 175,676 6.00 % 166,069 6.00 % To be well capitalized 234,235 8.00 % 221,425 8.00 % Total Capital (c) Actual $ 428,168 14.62 % $ 385,258 13.92 % For capital adequacy 234,235 8.00 % 221,425 8.00 % To be well capitalized 292,794 10.00 % 276,781 10.00 % Tier 1 Leverage (d) Actual $ 406,612 9.75 % $ 365,063 9.46 % For capital adequacy 166,898 4.00 % 154,357 4.00 % To be well capitalized 208,622 5.00 % 192,947 5.00 % Capital Conservation Buffer $ 193,933 6.62 % $ 163,833 5.92 % Fully phased in 73,199 2.50 % 69,195 2.50 % Net Risk-Weighted Assets $ 2,927,941 $ 2,767,813 (a) Ratio represents common equity tier 1 capital to net risk-weighted assets (b) Ratio represents tier 1 capital to net risk-weighted assets (c) Ratio represents total capital to net risk-weighted assets (d) Ratio represents tier 1 capital to average assets |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Schedule of Restricted Shares Activity | The following summarizes the changes to Peoples’ outstanding restricted common shares for the year ended December 31, 2019: Time-Based Vesting Performance-Based Vesting Number of Common Shares Weighted-Average Grant Date Fair Value Number of Common Shares Weighted-Average Grant Date Fair Value Outstanding at January 1 43,679 $ 29.64 175,772 $ 31.08 Awarded 16,153 31.35 117,773 32.20 Released 22,750 24.73 33,400 17.86 Forfeited 4,852 35.87 6,261 33.21 Outstanding at December 31 32,230 $ 33.05 253,884 $ 33.29 |
Summary of Stock-Based Compensation and Related Tax Benefit | The following summarizes the amount of stock-based compensation and related tax benefit recognized for the years ended December 31: (Dollars in thousands) 2019 2018 2017 Employee stock-based compensation expense: Stock grant expense $ 3,462 $ 2,359 $ 1,747 Employee stock purchase plan expense 63 60 55 Performance stock unit expense 130 156 — Total employee stock-based compensation expense 3,655 2,575 1,802 Non-employee director stock-based compensation expense 308 345 322 Total stock-based compensation expense 3,963 2,920 2,124 Recognized tax benefit (832) (613) (446) Net expense recognized $ 3,131 $ 2,307 $ 1,678 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue Recognition and Deferred Revenue [Abstract] | |
Disaggregation of Revenue [Table Text Block] | The following table details Peoples' revenue from contracts with customers for the year ended December 31: (Dollars in thousands) 2019 2018 Insurance income: Commission and fees from sale of insurance policies (a) $ 12,670 $ 12,787 Fees related to third-party administration services (a) 602 573 Performance-based commissions (b) 1,530 1,452 Trust and investment income (a) 13,159 12,543 Electronic banking income: Interchange income (a) 10,797 9,721 Promotional and usage income (a) 2,883 1,756 Deposit account service charges: Ongoing maintenance fees for deposit accounts (a) 3,832 2,718 Transactional-based fees (b) 7,868 7,060 Commercial loan swap fees (b) 2,228 681 Other non-interest income transactional-based fees (b) 716 961 Total $ 56,285 $ 50,252 Timing of revenue recognition: Services transferred over time $ 43,943 $ 40,098 Services transferred at a point in time 12,342 10,154 Total $ 56,285 $ 50,252 (a) Services transferred over time. (b) Services transferred at a point in time. |
Contract with Customer, Asset and Liability [Table Text Block] | The following table details the change in Peoples' contract assets and contract liabilities for the period ended December 31, 2019: (Dollars in thousands) Contract Assets Contract Liabilities Balance, January 1, 2019 $ 207 $ 5,055 Additional income receivable 404 — Additional deferred income — 4,525 Receipt of income previously receivable (11) — Recognition of income previously deferred — (4,390) Balance, December 31, 2019 $ 600 $ 5,190 From more information on Peoples' revenue recognition policies, see "Note 1 Summary of Significant Accounting Policies." |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period [Table Text Block] | Changes in the accretable yield for purchased credit impaired loans during the year ended December 31 were as follows: (Dollars in thousands) 2019 2018 Balance, beginning of period $ 8,955 $ 6,704 Reclassification from nonaccretable to accretable 199 2,019 Additions: ASB — 2,047 First Prestonsburg 3,860 — Accretion (2,955) (1,815) Balance, December 31 $ 10,059 $ 8,955 Acquired loans, excluding acquired overdrafts of $375,000, are reported net of the unamortized fair value adjustment. The following table details the fair value adjustment for acquired loans as of the acquisition date: (Dollars in thousands, except per share data) First Prestonsburg Nonimpaired Loans Contractual cash flows $ 168,729 Nonaccretable difference 19,745 Expected cash flows 148,984 Accretable yield 28,269 Fair value $ 120,715 Credit Impaired Loans Contractual cash flows $ 17,847 Nonaccretable difference 5,337 Expected cash flows 12,510 Accretable yield 3,860 Fair value $ 8,650 |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed [Table Text Block] | The following table provides the purchase price calculation as of the date of acquisition of First Prestonsburg, and the assets acquired and liabilities assumed at their estimated fair values. (Dollars in thousands, except per share data) Consideration Common shares 80,362 Number of common shares of Peoples issued for each common share of acquired company 12.512 Price per Peoples common share, based at closing date $ 32.26 Common share consideration $ 32,437 Net Assets at Fair Value Assets Cash and due from banks $ 5,016 Interest-bearing deposits in other banks 2,797 Total cash and cash equivalents 7,813 Available-for-sale investment securities 136,596 Other investment securities 3,077 Total investment securities 139,673 Loans 129,365 Bank premises and equipment, net of accumulated depreciation 7,407 Other intangible assets 4,234 Other assets 2,415 Total assets $ 290,907 Liabilities Deposits: Non-interest-bearing $ 40,089 Interest-bearing 217,151 Total deposits 257,240 Short-term borrowings 14,400 Accrued expenses and other liabilities 1,286 Total liabilities $ 272,926 Net assets $ 17,981 Goodwill $ 14,456 (Dollars in thousands) Change in Fair Value Net Assets Bank premises and equipment, net of accumulated depreciation $ (190) Other assets 208 Accrued expenses and other liabilities (775) Change in Goodwill $ 793 |
Parent Company Only Financial_2
Parent Company Only Financial Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Parent Company Only Financial Information [Abstract] | |
Schedule of Condensed Balance Sheet | Condensed Balance Sheets December 31, (Dollars in thousands) 2019 2018 Assets: Cash and due from other banks $ 50 $ 50 Interest-bearing deposits in subsidiary bank 20,094 13,750 Due from subsidiary bank 140 584 Other investment securities 237 216 Investments in subsidiaries: Bank 573,429 506,200 Non-bank 9,418 8,298 Other assets 3,067 2,808 Total assets $ 606,435 $ 531,906 Liabilities: Accrued expenses and other liabilities $ 1,955 $ 1,898 Dividends payable 342 291 Mandatorily redeemable capital securities of subsidiary trust 9,745 9,577 Total liabilities 12,042 11,766 Total stockholders' equity 594,393 520,140 Total liabilities and stockholders' equity $ 606,435 $ 531,906 |
Schedule of Condensed Income Statement | Condensed Statements of Income Year Ended December 31, (Dollars in thousands) 2019 2018 2017 Income: Dividends from subsidiary bank $ 37,000 $ 13,500 $ 27,000 Dividends from non-bank subsidiary — 2,500 20,000 Net gain on investment securities — — 2,602 Interest and other income 81 357 237 Total income 37,081 16,357 49,839 Expense: Trust preferred securities expense 534 520 346 Intercompany management fees 1,607 1,561 1,361 Other expense 5,432 4,647 3,380 Total expense 7,573 6,728 5,087 Income before federal income taxes and equity in undistributed earnings of subsidiaries 29,508 9,629 44,752 Applicable income tax expense (1,670) (2,511) (1,309) Equity in (excess dividends from) undistributed earnings of subsidiaries 22,517 34,115 (7,590) Net income $ 53,695 $ 46,255 $ 38,471 |
Schedule of Condensed Cash Flow Statement | Statements of Cash Flows Year Ended December 31, (Dollars in thousands) 2019 2018 2017 Operating activities Net income $ 53,695 $ 46,255 $ 38,471 Adjustments to reconcile net income to cash provided by operations: Depreciation, amortization and accretion, net 168 9,177 (6,525) (Equity in) excess dividends from undistributed earnings of subsidiaries (22,517) (34,115) 7,590 Gain on investment securities — — (2,602) Other, net 3,801 31 2,810 Net cash provided by operating activities 35,147 21,348 39,744 Investing activities Net proceeds from sales and maturities of investment securities — 5,388 2,359 Investment in subsidiaries (18,874) (31,813) (50,883) Decrease in receivable from subsidiary 18,869 32,236 25,496 Business combinations, net of cash received (1,438) (637) — Other, net 226 228 (229) Net cash (used in) provided by investing activities (1,217) 5,402 (23,257) Financing activities Purchase of treasury stock (1,650) (1,380) (508) Proceeds from issuance of common stock 6 25 9 Cash dividends paid (25,942) (20,915) (14,706) Net cash used in financing activities (27,586) (22,270) (15,205) Net increase in cash and cash equivalents 6,344 4,480 1,282 Cash and cash equivalents at the beginning of year 13,800 9,320 8,038 Cash and cash equivalents at the end of year $ 20,144 $ 13,800 $ 9,320 Supplemental cash flow information: Interest paid $ 544 $ 513 $ 364 |
Summarized Quarterly Informat_2
Summarized Quarterly Information (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Summarized Quarterly Information (Unaudited) [Abstract] | |
Schedule of Quarterly Financial Information | 2019 (Dollars in thousands, except per share data) First Quarter Second Quarter Third Quarter Fourth Quarter Total interest income $ 40,576 $ 43,621 $ 43,609 $ 42,289 Total interest expense 6,662 7,572 7,855 7,168 Net interest income 33,914 36,049 35,754 35,121 (Recoveries of) provision for loan losses (263) 626 1,005 1,136 Net gain (loss) on investment securities (a) 30 (57) 97 94 Net loss on asset disposals and other transactions (a) (182) (293) (78) (229) Total non-interest income excluding net gains and losses (a) 15,581 15,639 16,374 17,298 Amortization of other intangible assets 694 824 953 888 Acquisition-related expenses 253 6,770 199 65 Total non-interest expense excluding amortization of other intangible assets and acquisition-related expenses 30,913 31,282 31,841 32,568 Income tax expense 3,377 2,238 3,281 2,767 Net income $ 14,369 $ 9,598 $ 14,868 $ 14,860 Earnings per common share – basic $ 0.74 $ 0.47 $ 0.72 $ 0.72 Earnings per common share – diluted $ 0.73 $ 0.46 $ 0.72 $ 0.72 Weighted-average common shares outstanding – basic 19,366,008 20,277,028 20,415,245 20,407,505 Weighted-average common shares outstanding – diluted 19,508,868 20,442,366 20,595,769 20,599,127 2018 (Dollars in thousands, except per share data) First Quarter Second Quarter Third Quarter Fourth Quarter Total interest income $ 33,226 $ 37,769 $ 39,631 $ 40,638 Total interest expense 3,867 4,961 6,307 6,517 Net interest income 29,359 32,808 33,324 34,121 Provision for loan losses 1,983 1,188 1,302 975 Net gain (loss) on investment securities (a) 1 (147) — — Net gain (loss) on asset disposals and other transactions (a) 74 (405) 12 (15) Total non-interest income excluding net gains and losses (a) 14,894 13,807 14,341 14,192 Amortization of other intangible assets 754 861 862 861 Acquisition-related expenses 149 6,056 675 382 Total non-interest expense excluding amortization of other intangible and acquisition-related expenses 27,318 29,054 29,292 29,713 Income tax expense 2,383 1,012 2,821 2,470 Net income $ 11,741 $ 7,892 $ 12,725 $ 13,897 Earnings per common share – basic $ 0.64 $ 0.41 $ 0.65 $ 0.71 Earnings per common share – diluted $ 0.64 $ 0.41 $ 0.65 $ 0.71 Weighted-average common shares outstanding – basic 18,126,089 19,160,728 19,325,457 19,337,403 Weighted-average common shares outstanding – diluted 18,256,035 19,293,381 19,466,865 19,483,452 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Narrative) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Restricted Cash | $ 20,000,000 | $ 0 | |
Deferred Loan Costs | 9,800,000 | 9,500,000 | |
Individual review of impairment of unpaid principal balances in excess of | 1,000,000 | ||
Annual review of loan relationships in excess of | 1,000,000 | ||
Unamortized Amount of Investments in Affordable Housing Limited Partnerships | 13,900,000 | 9,600,000 | |
Other Real Estate Owned | 227,000 | 94,000 | |
Cumulative Effect on Retained Earnings, Net of Tax | $ 3,700,000 | ||
Other non-interest income (a) | $ 2,565,000 | 2,655,000 | $ 1,865,000 |
Minimum | |||
Estimated lives | 7 years | ||
Maximum | |||
Estimated lives | 10 years | ||
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | |||
Other non-interest income (a) | 305,000 | ||
Adjustments for New Accounting Pronouncement [Member] | |||
Cumulative Effect on Retained Earnings, Net of Tax | $ 3,700,000 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments Recurring basis (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Investments | ||
Total available-for-sale securities | $ 936,101 | $ 791,891 |
US Government-sponsored Enterprises Debt Securities | ||
Investments | ||
Total available-for-sale securities | 8,209 | |
States and political subdivisions | ||
Investments | ||
Total available-for-sale securities | 114,104 | 88,587 |
Residential mortgage-backed securities | ||
Investments | ||
Total available-for-sale securities | 791,009 | 692,608 |
Commercial mortgage-backed securities | ||
Investments | ||
Total available-for-sale securities | 18,088 | 6,707 |
Bank-issued trust preferred securities | ||
Investments | ||
Total available-for-sale securities | 4,691 | 3,989 |
Equity investment securities (a) | ||
Investments | ||
Other investment securities | 321 | 277 |
Level 1 | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | 0 |
Level 1 | States and political subdivisions | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | 0 |
Level 1 | Residential mortgage-backed securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | 0 |
Level 1 | Commercial mortgage-backed securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | 0 |
Level 1 | Bank-issued trust preferred securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | 0 |
Level 1 | Equity investment securities (a) | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | |
Other investment securities | 123 | 94 |
Level 2 | ||
Investments | ||
Other investment securities | 42,409 | 42,708 |
Level 2 | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 936,101 | 791,891 |
Derivative assets (b) | 11,419 | 4,544 |
Derivative liabilities (c) | 15,116 | 3,562 |
Level 2 | US Government-sponsored Enterprises Debt Securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 8,209 | |
Level 2 | States and political subdivisions | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 114,104 | 88,587 |
Level 2 | Residential mortgage-backed securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 791,009 | 692,608 |
Level 2 | Commercial mortgage-backed securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 18,088 | 6,707 |
Level 2 | Bank-issued trust preferred securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 4,691 | 3,989 |
Level 2 | Equity investment securities (a) | Recurring Basis | ||
Investments | ||
Other investment securities | 198 | 183 |
Level 3 | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | 0 |
Level 3 | States and political subdivisions | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | 0 |
Level 3 | Residential mortgage-backed securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | 0 |
Level 3 | Commercial mortgage-backed securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | 0 | 0 |
Level 3 | Bank-issued trust preferred securities | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | $ 0 | 0 |
Level 3 | Equity investment securities (a) | Recurring Basis | ||
Investments | ||
Total available-for-sale securities | $ 0 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments Nonrecurring Basis (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | |
Assets measured on nonrecurring basis | |||||||||
OREO | $ 227,000 | $ 94,000 | $ 227,000 | ||||||
Losses on impaired loans charged through allowance for loan losses | 1,136,000 | $ 1,005,000 | $ 626,000 | $ (263,000) | 975,000 | $ 1,302,000 | $ 1,188,000 | $ 1,983,000 | |
Nonrecurring Basis | |||||||||
Assets measured on nonrecurring basis | |||||||||
Losses on impaired loans charged through allowance for loan losses | 1,600,000 | ||||||||
Nonrecurring Basis | Level 3 | |||||||||
Assets measured on nonrecurring basis | |||||||||
Impaired loans | 29,100,000 | 24,129,000 | 29,100,000 | ||||||
OREO | 227,000 | $ 94,000 | 227,000 | ||||||
Nonrecurring Basis | Level 2 | |||||||||
Assets measured on nonrecurring basis | |||||||||
Impaired loans, aggregate outstanding principal balance | $ 38,600,000 | $ 38,600,000 |
Fair Value of Financial Instr_5
Fair Value of Financial Instruments (Fair Values of Financial Assets and Liabilities on Balance Sheets) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | $ 31,747 | $ 36,961 | ||
Held-to-maturity securities, fair value | 32,541 | 36,963 | ||
Trade and Loans Receivables Held-for-sale, Net, Not Part of Disposal Group | 6,499 | 5,470 | ||
Bank owned life insurance | 69,722 | 68,934 | ||
Servicing rights (b) | 2,742 | 2,655 | $ 2,305 | $ 2,305 |
Level 2 | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity securities, fair value | 32,541 | 36,963 | ||
Other investment securities | 42,409 | 42,708 | ||
Level 2 | Recurring Basis | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Investment in Federal Home Loan Bank Stock, Fair Value Disclosure | 27,235 | 29,367 | ||
FRB stock | 13,310 | 12,294 | ||
Loans Held-for-sale, Fair Value Disclosure | 6,553 | 5,492 | ||
States and political subdivisions | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity securities, fair value | 4,791 | 4,896 | ||
States and political subdivisions | Level 2 | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity securities, fair value | 4,791 | 4,896 | ||
Residential mortgage-backed securities | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity securities, fair value | 21,569 | 28,603 | ||
Residential mortgage-backed securities | Level 2 | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity securities, fair value | 21,569 | 28,603 | ||
Commercial mortgage-backed securities | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity securities, fair value | 6,181 | 3,464 | ||
Commercial mortgage-backed securities | Level 2 | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity securities, fair value | 6,181 | 3,464 | ||
Nonqualified Plan [Member] | Recurring Basis | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Other investment securities | 1,499 | 987 | ||
FHLMC Stock [Member] | Recurring Basis | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Other investment securities | 365 | |||
FHLMC Stock [Member] | Level 2 | Recurring Basis | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Other investment securities | 60 | |||
Reported Value Measurement [Member] | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 115,193 | 77,612 | ||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | 31,747 | 36,961 | ||
FHLB stock | 27,235 | 29,367 | ||
FRB stock | 13,310 | 12,294 | ||
Other investment securities | 42,409 | 42,708 | ||
Net loans | 2,851,969 | 2,708,583 | ||
Servicing rights (b) | 2,742 | 2,655 | ||
Deposits | 3,291,412 | 2,955,465 | ||
Short-term borrowings | 316,977 | 356,198 | ||
Long-term borrowings | 83,123 | 109,644 | ||
Reported Value Measurement [Member] | Nonqualified Plan [Member] | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Other investment securities | 1,499 | 987 | ||
Reported Value Measurement [Member] | Other [Member] | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Other investment securities | 365 | 60 | ||
Reported Value Measurement [Member] | States and political subdivisions | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | 4,346 | 4,403 | ||
Reported Value Measurement [Member] | Residential mortgage-backed securities | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | 21,494 | 29,044 | ||
Reported Value Measurement [Member] | Commercial mortgage-backed securities | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | 5,907 | 3,514 | ||
Estimate of Fair Value Measurement [Member] | ||||
Fair Values of financial Assets and Liabilities on Balance Sheets | ||||
Cash and Cash Equivalents, Fair Value Disclosure | 115,193 | 77,612 | ||
Net loans | 3,147,190 | 2,907,537 | ||
Servicing rights (b) | 3,881 | 4,568 | ||
Deposits | 3,292,950 | 2,953,452 | ||
Short-term borrowings | 317,973 | 349,994 | ||
Long-term borrowings | $ 82,701 | $ 107,696 |
Investment Securities Available
Investment Securities Available-for-sale Securities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Schedule of Available-for-sale Securities | |||
Amortized Cost | $ 929,395 | $ 804,655 | |
Gross Unrealized Gains | 11,298 | 3,582 | |
Gross Unrealized Losses | (4,592) | (16,346) | |
Fair Value | $ 936,101 | $ 791,891 | |
Federal income tax rate | 21.00% | 21.00% | 35.00% |
US Government-sponsored Enterprises Debt Securities | |||
Schedule of Available-for-sale Securities | |||
Amortized Cost | $ 7,917 | ||
Gross Unrealized Gains | 292 | ||
Gross Unrealized Losses | 0 | ||
Fair Value | 8,209 | ||
States and political subdivisions | |||
Schedule of Available-for-sale Securities | |||
Amortized Cost | 111,217 | $ 88,358 | |
Gross Unrealized Gains | 3,018 | 787 | |
Gross Unrealized Losses | (131) | (558) | |
Fair Value | 114,104 | 88,587 | |
Residential mortgage-backed securities | |||
Schedule of Available-for-sale Securities | |||
Amortized Cost | 787,430 | 705,289 | |
Gross Unrealized Gains | 7,763 | 2,720 | |
Gross Unrealized Losses | (4,184) | (15,401) | |
Fair Value | 791,009 | 692,608 | |
Commercial mortgage-backed securities | |||
Schedule of Available-for-sale Securities | |||
Amortized Cost | 18,135 | 6,812 | |
Gross Unrealized Gains | 88 | 0 | |
Gross Unrealized Losses | (135) | (105) | |
Fair Value | 18,088 | 6,707 | |
Bank-issued trust preferred securities | |||
Schedule of Available-for-sale Securities | |||
Amortized Cost | 4,696 | 4,196 | |
Gross Unrealized Gains | 137 | 75 | |
Gross Unrealized Losses | (142) | (282) | |
Fair Value | $ 4,691 | $ 3,989 |
Investment Securities Availab_2
Investment Securities Available-for-sale gross gains and losses realized (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Gross gains and gross losses realized from sales of available-for-sale securities: | |||
Gross gains realized | $ 252 | $ 6 | $ 2,999 |
Gross losses realized | 88 | 152 | 16 |
Net gain realized | $ 164 | $ (146) | $ 2,983 |
Investment Securities Availab_3
Investment Securities Available-for-sale Securities with Unrealized Losses (Details) | 12 Months Ended | |
Dec. 31, 2019USD ($)securities | Dec. 31, 2018USD ($)securities | |
Schedule of Available-for-sale Securities | ||
Fair value of securities in unrealized loss position less than 12 months | $ 291,292,000 | $ 57,735,000 |
Unrealized loss less than 12 months | $ 2,622,000 | $ 244,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | securities | 65 | 67 |
Fair value of securities in unrealized loss more than 12 months | $ 95,701,000 | $ 545,678,000 |
Unrealized loss more than 12 months | $ 1,970,000 | $ 16,102,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | securities | 45 | 195 |
Fair value of securities in unrealized loss | $ 386,993,000 | $ 603,413,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 4,592,000 | 16,346,000 |
Other-than-temporary impairments | 0 | |
States and political subdivisions | ||
Schedule of Available-for-sale Securities | ||
Fair value of securities in unrealized loss position less than 12 months | 6,226,000 | 10,173,000 |
Unrealized loss less than 12 months | $ 74,000 | $ 18,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | securities | 2 | 17 |
Fair value of securities in unrealized loss more than 12 months | $ 2,441,000 | $ 19,918,000 |
Unrealized loss more than 12 months | $ 57,000 | $ 540,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | securities | 1 | 20 |
Fair value of securities in unrealized loss | $ 8,667,000 | $ 30,091,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 131,000 | 558,000 |
Residential mortgage-backed securities | ||
Schedule of Available-for-sale Securities | ||
Fair value of securities in unrealized loss position less than 12 months | 284,096,000 | 47,562,000 |
Unrealized loss less than 12 months | $ 2,527,000 | $ 226,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | securities | 62 | 50 |
Fair value of securities in unrealized loss more than 12 months | $ 88,993,000 | $ 517,335,000 |
Unrealized loss more than 12 months | $ 1,657,000 | $ 15,175,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | securities | 39 | 170 |
Fair value of securities in unrealized loss | $ 373,089,000 | $ 564,897,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 4,184,000 | 15,401,000 |
Commercial mortgage-backed securities | ||
Schedule of Available-for-sale Securities | ||
Fair value of securities in unrealized loss position less than 12 months | 970,000 | 0 |
Unrealized loss less than 12 months | $ 21,000 | $ 0 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | securities | 1 | 0 |
Fair value of securities in unrealized loss more than 12 months | $ 2,409,000 | $ 6,707,000 |
Unrealized loss more than 12 months | $ 114,000 | $ 105,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | securities | 3 | 3 |
Fair value of securities in unrealized loss | $ 3,379,000 | $ 6,707,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | 135,000 | 105,000 |
Bank-issued trust preferred securities | ||
Schedule of Available-for-sale Securities | ||
Fair value of securities in unrealized loss position less than 12 months | 0 | 0 |
Unrealized loss less than 12 months | $ 0 | $ 0 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Less than One Year | securities | 0 | 0 |
Fair value of securities in unrealized loss more than 12 months | $ 1,858,000 | $ 1,718,000 |
Unrealized loss more than 12 months | $ 142,000 | $ 282,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year | securities | 2 | 2 |
Fair value of securities in unrealized loss | $ 1,858,000 | $ 1,718,000 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ 142,000 | $ 282,000 |
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions | securities | 2 | |
Mortgage-backed securities issued by US Government sponsored agencies | ||
Schedule of Available-for-sale Securities | ||
Percentage of mortgage-backed securities in unrealized loss position for less than 12 months | 99.00% | |
Mortgage-backed securities privately issued | ||
Schedule of Available-for-sale Securities | ||
Percentage of mortgage-backed securities in unrealized loss position for less than 12 months | 1.00% | |
Number of securities at an unrealized loss position less than 12 months | securities | 2 | |
Fair value within book value | 90.00% | |
Mortgage-backed securities privately issued | Fair Value Less Than 90 Percent of Book Value | ||
Schedule of Available-for-sale Securities | ||
Fair value of securities in unrealized loss more than 12 months | $ 144,000 | |
Mortgage-backed securities in unrealized loss position for less than 12 months, aggregate book value | $ 205,000 |
Investment Securities Availab_4
Investment Securities Available-for-sale Securities by Maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Available-for-sale Securities | ||
Amortized cost of securities maturing within 1 year | $ 6,676 | |
Amortized cost of securities maturing in 1-5 years | 39,962 | |
Amortized cost of securities maturing in 5-10 years | 132,742 | |
Amortized cost of securities maturing in over 10 years | 750,015 | |
Amortized Cost | 929,395 | $ 804,655 |
Fair value of securities maturing within 1 year | 6,691 | |
Fair value of securities maturing in 1-5 years | 40,484 | |
Fair value of securities maturing in 5-10 years | 134,386 | |
Fair value of securities maturing in over 10 years | 754,540 | |
Fair Value | $ 936,101 | 791,891 |
Average yield of securities maturing within 1 year | 2.32% | |
Average yield of securities maturing in 1-5 years | 2.63% | |
Average yield of securities maturing in 5-10 years | 2.71% | |
Average yield of securities maturing in over 10 years | 2.67% | |
Total average yield | 2.68% | |
US Government-sponsored Enterprises Debt Securities | ||
Schedule of Available-for-sale Securities | ||
Amortized cost of securities maturing within 1 year | $ 0 | |
Amortized cost of securities maturing in 1-5 years | 1,993 | |
Amortized cost of securities maturing in 5-10 years | 5,924 | |
Amortized cost of securities maturing in over 10 years | 0 | |
Total amortized cost | 7,917 | |
Amortized Cost | 7,917 | |
Fair value of securities maturing within 1 year | 0 | |
Fair value of securities maturing in 1-5 years | 2,045 | |
Fair value of securities maturing in 5-10 years | 6,164 | |
Fair value of securities maturing in over 10 years | 0 | |
Total fair value | 8,209 | |
Fair Value | 8,209 | |
States and political subdivisions | ||
Schedule of Available-for-sale Securities | ||
Amortized cost of securities maturing within 1 year | 4,303 | |
Amortized cost of securities maturing in 1-5 years | 24,842 | |
Amortized cost of securities maturing in 5-10 years | 43,699 | |
Amortized cost of securities maturing in over 10 years | 38,373 | |
Total amortized cost | 111,217 | |
Amortized Cost | 111,217 | 88,358 |
Fair value of securities maturing within 1 year | 4,316 | |
Fair value of securities maturing in 1-5 years | 25,224 | |
Fair value of securities maturing in 5-10 years | 45,445 | |
Fair value of securities maturing in over 10 years | 39,119 | |
Total fair value | 114,104 | |
Fair Value | 114,104 | 88,587 |
Residential mortgage-backed securities | ||
Schedule of Available-for-sale Securities | ||
Amortized cost of securities maturing within 1 year | 1 | |
Amortized cost of securities maturing in 1-5 years | 1,860 | |
Amortized cost of securities maturing in 5-10 years | 77,441 | |
Amortized cost of securities maturing in over 10 years | 708,128 | |
Total amortized cost | 787,430 | |
Amortized Cost | 787,430 | 705,289 |
Fair value of securities maturing within 1 year | 1 | |
Fair value of securities maturing in 1-5 years | 1,890 | |
Fair value of securities maturing in 5-10 years | 77,076 | |
Fair value of securities maturing in over 10 years | 712,042 | |
Total fair value | 791,009 | |
Fair Value | 791,009 | 692,608 |
Commercial mortgage-backed securities | ||
Schedule of Available-for-sale Securities | ||
Amortized cost of securities maturing within 1 year | 2,372 | |
Amortized cost of securities maturing in 1-5 years | 11,267 | |
Amortized cost of securities maturing in 5-10 years | 982 | |
Amortized cost of securities maturing in over 10 years | 3,514 | |
Total amortized cost | 18,135 | |
Amortized Cost | 18,135 | 6,812 |
Fair value of securities maturing within 1 year | 2,374 | |
Fair value of securities maturing in 1-5 years | 11,325 | |
Fair value of securities maturing in 5-10 years | 1,010 | |
Fair value of securities maturing in over 10 years | 3,379 | |
Total fair value | 18,088 | |
Fair Value | 18,088 | 6,707 |
Bank-issued trust preferred securities | ||
Schedule of Available-for-sale Securities | ||
Amortized cost of securities maturing in 5-10 years | 4,696 | |
Amortized cost of securities maturing in over 10 years | 0 | |
Total amortized cost | 4,696 | |
Amortized Cost | 4,696 | 4,196 |
Fair value of securities maturing in 5-10 years | 4,691 | |
Fair value of securities maturing in over 10 years | 0 | |
Total fair value | 4,691 | |
Fair Value | $ 4,691 | $ 3,989 |
Investment Securities Held-to-m
Investment Securities Held-to-maturity Securities (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Schedule of Held-to-maturity Securities | |||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | $ 31,747,000 | $ 36,961,000 | |
Amortized Cost | 31,747,000 | 36,961,000 | |
Gross Unrealized Gains | 889,000 | 684,000 | |
Gross Unrealized Losses | 95,000 | 682,000 | |
Fair Value | 32,541,000 | 36,963,000 | |
Gross realized gains or losses | 0 | 0 | $ 0 |
Reported Value Measurement [Member] | |||
Schedule of Held-to-maturity Securities | |||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | 31,747,000 | 36,961,000 | |
States and political subdivisions | |||
Schedule of Held-to-maturity Securities | |||
Amortized Cost | 4,346,000 | ||
Gross Unrealized Gains | 445,000 | 493,000 | |
Gross Unrealized Losses | 0 | 0 | |
Fair Value | 4,791,000 | 4,896,000 | |
States and political subdivisions | Reported Value Measurement [Member] | |||
Schedule of Held-to-maturity Securities | |||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | 4,346,000 | 4,403,000 | |
Residential mortgage-backed securities | |||
Schedule of Held-to-maturity Securities | |||
Amortized Cost | 21,494,000 | ||
Gross Unrealized Gains | 169,000 | 191,000 | |
Gross Unrealized Losses | 94,000 | 632,000 | |
Fair Value | 21,569,000 | 28,603,000 | |
Residential mortgage-backed securities | Reported Value Measurement [Member] | |||
Schedule of Held-to-maturity Securities | |||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | 21,494,000 | 29,044,000 | |
Commercial mortgage-backed securities | |||
Schedule of Held-to-maturity Securities | |||
Amortized Cost | 5,907,000 | ||
Gross Unrealized Gains | 275,000 | 0 | |
Gross Unrealized Losses | 1,000 | 50,000 | |
Fair Value | 6,181,000 | 3,464,000 | |
Commercial mortgage-backed securities | Reported Value Measurement [Member] | |||
Schedule of Held-to-maturity Securities | |||
Held-to-maturity investment securities, at amortized cost (fair value of $32,541 at December 31, 2019 and $36,963 at December 31, 2018) | $ 5,907,000 | $ 3,514,000 |
Investment Securities Held-to_2
Investment Securities Held-to-maturity Securities with Unrealized Loss (Details) $ in Thousands | Dec. 31, 2019USD ($)securities | Dec. 31, 2018USD ($)securities |
Schedule of Held-to-maturity Securities | ||
Fair value of securities in unrealized loss position less than 12 months | $ 9,397 | $ 0 |
Unrealized loss less than 12 months | $ 68 | $ 0 |
Number of securities at an unrealized loss position less than 12 months | securities | 2 | 0 |
Fair value of securities in unrealized loss more than 12 months | $ 890 | $ 16,566 |
Unrealized loss more than 12 months | $ 27 | $ 682 |
Number of securities at an unrealized loss position more than 12 months | securities | 1 | 6 |
Total fair value | $ 10,287 | $ 16,566 |
Debt Securities, Held-to-maturity, Accumulated Unrecognized Loss | 95 | 682 |
States and political subdivisions | ||
Schedule of Held-to-maturity Securities | ||
Debt Securities, Held-to-maturity, Accumulated Unrecognized Loss | 0 | 0 |
Residential mortgage-backed securities | ||
Schedule of Held-to-maturity Securities | ||
Fair value of securities in unrealized loss position less than 12 months | 7,731 | 0 |
Unrealized loss less than 12 months | $ 67 | $ 0 |
Number of securities at an unrealized loss position less than 12 months | securities | 1 | 0 |
Fair value of securities in unrealized loss more than 12 months | $ 890 | $ 13,102 |
Unrealized loss more than 12 months | $ 27 | $ 632 |
Number of securities at an unrealized loss position more than 12 months | securities | 1 | 5 |
Total fair value | $ 8,621 | $ 13,102 |
Debt Securities, Held-to-maturity, Accumulated Unrecognized Loss | 94 | 632 |
Commercial mortgage-backed securities | ||
Schedule of Held-to-maturity Securities | ||
Fair value of securities in unrealized loss position less than 12 months | 1,666 | 0 |
Unrealized loss less than 12 months | $ 1 | $ 0 |
Number of securities at an unrealized loss position less than 12 months | securities | 1 | 0 |
Fair value of securities in unrealized loss more than 12 months | $ 0 | $ 3,464 |
Unrealized loss more than 12 months | $ 0 | $ 50 |
Number of securities at an unrealized loss position more than 12 months | securities | 0 | 1 |
Total fair value | $ 1,666 | $ 3,464 |
Debt Securities, Held-to-maturity, Accumulated Unrecognized Loss | $ 1 | $ 50 |
Investment Securities Held-to_3
Investment Securities Held-to-maturity Securities by Maturities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Schedule of Held-to-maturity Securities | |||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling within One Year, Amortized Cost | $ 302 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after One Through Five Years, Amortized Cost | 398 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after Five Through Ten Years, Amortized Cost | 11,033 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after 10 Years, Amortized Cost | 20,014 | ||
Amortized Cost | 31,747 | $ 36,961 | |
Fair value of securities maturing within 1 year | 303 | ||
Fair value of securities maturing in 1-5 years | 402 | ||
Fair value of securities maturing in 5-10 years | 11,814 | ||
Fair value of securities maturing in over 10 years | 20,022 | ||
Fair Value | $ 32,541 | $ 36,963 | |
Average yield of securities maturing within 1 year | 2.61% | ||
Average yield of securities maturing in over 10 years | 2.82% | ||
Total average yield | 2.80% | ||
Debt Securities, Held-to-maturity, Maturity, Rolling after Five Through Ten Years, Weighted Average Yield | 2.79% | ||
Debt Securities, Held-to-maturity, Maturity, Rolling after One Through Five Years, Weighted Average Yield | 2.29% | ||
Federal income tax rate | 21.00% | 21.00% | 35.00% |
States and political subdivisions | |||
Schedule of Held-to-maturity Securities | |||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling within One Year, Amortized Cost | $ 302 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after One Through Five Years, Amortized Cost | 0 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after Five Through Ten Years, Amortized Cost | 3,543 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after 10 Years, Amortized Cost | 501 | ||
Amortized Cost | 4,346 | ||
Fair value of securities maturing within 1 year | 303 | ||
Fair value of securities maturing in 1-5 years | 0 | ||
Fair value of securities maturing in 5-10 years | 3,986 | ||
Fair value of securities maturing in over 10 years | 502 | ||
Fair Value | 4,791 | $ 4,896 | |
Residential mortgage-backed securities | |||
Schedule of Held-to-maturity Securities | |||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling within One Year, Amortized Cost | 0 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after One Through Five Years, Amortized Cost | 0 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after Five Through Ten Years, Amortized Cost | 3,648 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after 10 Years, Amortized Cost | 17,846 | ||
Amortized Cost | 21,494 | ||
Fair value of securities maturing within 1 year | 0 | ||
Fair value of securities maturing in 1-5 years | 0 | ||
Fair value of securities maturing in 5-10 years | 3,715 | ||
Fair value of securities maturing in over 10 years | 17,854 | ||
Fair Value | 21,569 | 28,603 | |
Commercial mortgage-backed securities | |||
Schedule of Held-to-maturity Securities | |||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling within One Year, Amortized Cost | 0 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after One Through Five Years, Amortized Cost | 398 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after Five Through Ten Years, Amortized Cost | 3,842 | ||
Debt Securities, Held-to-maturity, Maturity, Allocated and Single Maturity Date, Rolling after 10 Years, Amortized Cost | 1,667 | ||
Amortized Cost | 5,907 | ||
Fair value of securities maturing within 1 year | 0 | ||
Fair value of securities maturing in 1-5 years | 402 | ||
Fair value of securities maturing in 5-10 years | 4,113 | ||
Fair value of securities maturing in over 10 years | 1,666 | ||
Fair Value | $ 6,181 | $ 3,464 |
Investment Securities Other Inv
Investment Securities Other Investments (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Reported Value Measurement [Member] | ||
Investment [Line Items] | ||
FHLB stock | $ 27,235,000 | $ 29,367,000 |
FRB stock | 13,310,000 | 12,294,000 |
Other investment securities | 42,409,000 | 42,708,000 |
Securities of a single issuer, other than US Treasury, government agencies and US government sponsored agencies exceeding 10% of Stockholders' Equity | 0 | |
Other investment securities | 42,730,000 | 42,985,000 |
Trading Securities, Change in Unrealized Holding Gain (Loss) | 44,000,000 | 619,000,000 |
Gain (Loss) on Sale of Equity Investments | 787,000,000 | 413,000,000 |
Proceeds from Sale of Federal Home Loan Bank Stock | 4,900,000 | |
FIRST PRESTONSBURG BANCSHARES INC. [Member] | ||
Investment [Line Items] | ||
FRB stock | 2,800,000 | |
Equity investment securities (a) | ||
Investment [Line Items] | ||
Other investment securities | 321,000 | 277,000 |
Nonqualified Plan [Member] | Reported Value Measurement [Member] | ||
Investment [Line Items] | ||
Other investment securities | 1,499,000 | 987,000 |
Other [Member] | Reported Value Measurement [Member] | ||
Investment [Line Items] | ||
Other investment securities | $ 365,000 | $ 60,000 |
Investment Securities Pledged S
Investment Securities Pledged Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
federal home loan bank and federal reserve bank [Member] | Available-for-sale securities | ||
Investment [Line Items] | ||
Pledged Financial Instruments, Not Separately Reported, Other Debt Securities Available-for-sale or Held-for-investment | $ 44,618 | $ 60,058 |
federal home loan bank and federal reserve bank [Member] | Held-to-maturity securities | ||
Investment [Line Items] | ||
Pledged Financial Instruments, Not Separately Reported, Other Debt Securities Available-for-sale or Held-for-investment | 14,155 | 16,731 |
deposits and repurchase agreements [Member] | Available-for-sale securities | ||
Investment [Line Items] | ||
Pledged Financial Instruments, Not Separately Reported, Other Debt Securities Available-for-sale or Held-for-investment | 527,655 | 429,987 |
deposits and repurchase agreements [Member] | Held-to-maturity securities | ||
Investment [Line Items] | ||
Pledged Financial Instruments, Not Separately Reported, Other Debt Securities Available-for-sale or Held-for-investment | $ 12,975 | $ 16,928 |
Loans (Narrative) (Details)
Loans (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Loans | ||
Mortgage Loans in Process of Foreclosure, Amount | $ 1,900 | $ 1,800 |
Residential real estate | ||
Loans | ||
Pledged commercial and residential loans to secure borrowings from FHLB and FRB | 458,227 | 505,676 |
Commerical Loans | ||
Loans | ||
Pledged commercial and residential loans to secure borrowings from FHLB and FRB | 172,693 | 180,909 |
Home equity lines of credit | ||
Loans | ||
Pledged commercial and residential loans to secure borrowings from FHLB and FRB | 132,700 | |
Consumer, indirect | ||
Loans | ||
Charge-offs | 1,829 | 2,515 |
Commerical Loans | ||
Loans | ||
Charge-offs | $ 1,062 | $ 38 |
Loans Loan Balances By Classifi
Loans Loan Balances By Classification (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loans | ||
Balance | $ 2,873,525 | $ 2,728,778 |
Loan Type | ||
Loans | ||
Balance | 2,873,525 | 2,728,778 |
Financial Asset Originated [Member] | ||
Loans | ||
Balance | 2,273,839 | 2,156,030 |
Financial Asset Originated [Member] | Loan Type | ||
Loans | ||
Balance | 2,273,839 | 2,156,030 |
Financial Asset Originated [Member] | Construction | ||
Loans | ||
Balance | 83,283 | 124,013 |
Financial Asset Originated [Member] | Commercial real estate | ||
Loans | ||
Balance | 754,859 | 756,213 |
Financial Asset Originated [Member] | Commercial and industrial | ||
Loans | ||
Balance | 622,175 | 530,207 |
Financial Asset Originated [Member] | Residential real estate | ||
Loans | ||
Balance | 314,935 | 296,860 |
Financial Asset Originated [Member] | Home equity lines of credit | ||
Loans | ||
Balance | 93,013 | 93,326 |
Financial Asset Originated [Member] | Consumer, indirect | ||
Loans | ||
Balance | 417,127 | 407,167 |
Financial Asset Originated [Member] | Consumer, direct | ||
Loans | ||
Balance | 70,852 | 71,674 |
Financial Asset Originated [Member] | Consumer | ||
Loans | ||
Balance | 487,979 | 478,841 |
Financial Asset Originated [Member] | Deposit account overdrafts | ||
Loans | ||
Balance | 878 | 583 |
Acquired Loans | Loan Type | ||
Loans | ||
Balance | 599,686 | 572,748 |
Acquired Loans | Construction | ||
Loans | ||
Balance | 5,235 | 12,404 |
Acquired Loans | Commercial real estate | ||
Loans | ||
Balance | 166,897 | 197,115 |
Acquired Loans | Commercial and industrial | ||
Loans | ||
Balance | 40,818 | 35,537 |
Acquired Loans | Residential real estate | ||
Loans | ||
Balance | 346,541 | 296,937 |
Acquired Loans | Home equity lines of credit | ||
Loans | ||
Balance | 39,691 | 40,653 |
Acquired Loans | Consumer, indirect | ||
Loans | ||
Balance | 58 | 136 |
Acquired Loans | Consumer, direct | ||
Loans | ||
Balance | 5,681 | 2,370 |
Acquired Loans | Consumer | ||
Loans | ||
Balance | $ 5,739 | $ 2,506 |
Loans Purchased credit impaired
Loans Purchased credit impaired loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Purchased credit impaired loans | ||
Carrying Amount | $ 23,750 | $ 22,475 |
Loan Type | ||
Purchased credit impaired loans | ||
Outstanding Balance | 37,038 | 33,362 |
Commercial real estate, other | ||
Purchased credit impaired loans | ||
Outstanding Balance | 9,150 | 11,955 |
Commercial and industrial | ||
Purchased credit impaired loans | ||
Outstanding Balance | 3,689 | 1,287 |
Residential real estate | ||
Purchased credit impaired loans | ||
Outstanding Balance | 23,814 | 20,062 |
Consumer | ||
Purchased credit impaired loans | ||
Outstanding Balance | $ 385 | $ 58 |
Loans Accretable Yield Rollforw
Loans Accretable Yield Rollforward (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Loans | |||
Balance, beginning of period | $ 6,704 | $ 8,955 | $ 6,704 |
Reclassification from nonaccretable to accretable | 2,019 | 199 | |
ASB | $ 6,704 | 8,955 | 8,955 |
Balance, December 31 | 10,059 | 8,955 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Accretion | 2,955 | 1,815 | |
ASB Financial Corp. | |||
Loans | |||
Balance, beginning of period | 2,047 | ||
ASB | 2,047 | 2,047 | |
Balance, December 31 | $ 2,047 | ||
FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||
Loans | |||
ASB | 3,860 | ||
Balance, December 31 | $ 3,860 |
Loans Related Party Loans (Deta
Loans Related Party Loans (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Loans | |
Loans and Leases Receivable, Related Parties | $ 16,789 |
Loans and Leases Receivable, Related Parties, Additions | 4,198 |
Proceeds from (Repayments of) Related Party Debt | (5,607) |
Loans and Leases Receivable, Related Parties | $ 15,380 |
Loans Nonaccrual and Past Due L
Loans Nonaccrual and Past Due Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loans | ||
Nonaccrual Loans | $ 17,781 | $ 17,098 |
Loans 90+ Days Past Due and Accruing | 3,932 | 2,256 |
Financial Asset Originated [Member] | ||
Loans | ||
Nonaccrual Loans | 14,392 | 14,185 |
Loans 90+ Days Past Due and Accruing | 806 | 1,191 |
Financial Asset Originated [Member] | Construction | ||
Loans | ||
Nonaccrual Loans | 0 | 710 |
Loans 90+ Days Past Due and Accruing | 0 | 0 |
Financial Asset Originated [Member] | Commercial real estate, other | ||
Loans | ||
Nonaccrual Loans | 6,626 | 6,565 |
Loans 90+ Days Past Due and Accruing | 0 | 786 |
Financial Asset Originated [Member] | Commercial real estate | ||
Loans | ||
Nonaccrual Loans | 6,626 | 7,275 |
Loans 90+ Days Past Due and Accruing | 0 | 786 |
Financial Asset Originated [Member] | Commercial and industrial | ||
Loans | ||
Nonaccrual Loans | 2,060 | 1,673 |
Loans 90+ Days Past Due and Accruing | 0 | 0 |
Financial Asset Originated [Member] | Residential real estate | ||
Loans | ||
Nonaccrual Loans | 4,365 | 4,105 |
Loans 90+ Days Past Due and Accruing | 755 | 398 |
Financial Asset Originated [Member] | Home equity lines of credit | ||
Loans | ||
Nonaccrual Loans | 458 | 596 |
Loans 90+ Days Past Due and Accruing | 51 | 7 |
Financial Asset Originated [Member] | Consumer, indirect | ||
Loans | ||
Nonaccrual Loans | 840 | 480 |
Loans 90+ Days Past Due and Accruing | 0 | 0 |
Financial Asset Originated [Member] | Consumer, direct | ||
Loans | ||
Nonaccrual Loans | 43 | 56 |
Loans 90+ Days Past Due and Accruing | 0 | 0 |
Financial Asset Originated [Member] | Consumer | ||
Loans | ||
Nonaccrual Loans | 883 | 536 |
Loans 90+ Days Past Due and Accruing | 0 | 0 |
Acquired Loans | ||
Loans | ||
Nonaccrual Loans | 3,389 | 2,913 |
Loans 90+ Days Past Due and Accruing | 3,126 | 1,065 |
Acquired Loans | Construction | ||
Loans | ||
Nonaccrual Loans | 411 | 0 |
Loans 90+ Days Past Due and Accruing | 0 | 0 |
Acquired Loans | Commercial real estate, other | ||
Loans | ||
Nonaccrual Loans | 175 | 319 |
Loans 90+ Days Past Due and Accruing | 907 | 15 |
Acquired Loans | Commercial real estate | ||
Loans | ||
Nonaccrual Loans | 586 | 319 |
Loans 90+ Days Past Due and Accruing | 907 | 15 |
Acquired Loans | Commercial and industrial | ||
Loans | ||
Nonaccrual Loans | 95 | 36 |
Loans 90+ Days Past Due and Accruing | 155 | 18 |
Acquired Loans | Residential real estate | ||
Loans | ||
Nonaccrual Loans | 1,996 | 1,921 |
Loans 90+ Days Past Due and Accruing | 1,922 | 1,032 |
Acquired Loans | Home equity lines of credit | ||
Loans | ||
Nonaccrual Loans | 707 | 637 |
Loans 90+ Days Past Due and Accruing | 57 | 0 |
Acquired Loans | Consumer, direct | ||
Loans | ||
Nonaccrual Loans | 5 | 0 |
Loans 90+ Days Past Due and Accruing | $ 85 | $ 0 |
Loans Aging Of The Recorded Inv
Loans Aging Of The Recorded Investment In Past Due Loans And Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loans | ||
Percent of Loans Considered Current | 98.60% | 98.50% |
Loans, net of deferred fees and costs (a) | $ 2,873,525 | $ 2,728,778 |
Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 39,985 | 41,518 |
Current | 2,833,540 | 2,687,260 |
Loans, net of deferred fees and costs (a) | 2,873,525 | 2,728,778 |
Financial Asset Originated [Member] | ||
Loans | ||
Loans, net of deferred fees and costs (a) | 2,273,839 | 2,156,030 |
Financial Asset Originated [Member] | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 25,369 | 28,786 |
Current | 2,248,470 | 2,127,244 |
Loans, net of deferred fees and costs (a) | 2,273,839 | 2,156,030 |
Financial Asset Originated [Member] | Construction | ||
Loans | ||
Financing Receivable, Past Due | 0 | 710 |
Current | 83,283 | 123,303 |
Loans, net of deferred fees and costs (a) | 83,283 | 124,013 |
Financial Asset Originated [Member] | Commercial real estate, other | ||
Loans | ||
Financing Receivable, Past Due | 6,519 | 7,899 |
Current | 665,057 | 624,301 |
Loans, net of deferred fees and costs (a) | 671,576 | 632,200 |
Financial Asset Originated [Member] | Commercial real estate | ||
Loans | ||
Financing Receivable, Past Due | 6,519 | 8,609 |
Current | 748,340 | 747,604 |
Loans, net of deferred fees and costs (a) | 754,859 | 756,213 |
Financial Asset Originated [Member] | Commercial and industrial | ||
Loans | ||
Financing Receivable, Past Due | 3,763 | 6,495 |
Current | 618,412 | 523,712 |
Loans, net of deferred fees and costs (a) | 622,175 | 530,207 |
Financial Asset Originated [Member] | Residential real estate | ||
Loans | ||
Financing Receivable, Past Due | 8,822 | 8,371 |
Current | 306,113 | 288,489 |
Loans, net of deferred fees and costs (a) | 314,935 | 296,860 |
Financial Asset Originated [Member] | Home equity lines of credit | ||
Loans | ||
Financing Receivable, Past Due | 1,068 | 992 |
Current | 91,945 | 92,334 |
Loans, net of deferred fees and costs (a) | 93,013 | 93,326 |
Financial Asset Originated [Member] | Consumer, indirect | ||
Loans | ||
Financing Receivable, Past Due | 4,658 | 3,919 |
Current | 412,469 | 403,248 |
Loans, net of deferred fees and costs (a) | 417,127 | 407,167 |
Financial Asset Originated [Member] | Consumer, direct | ||
Loans | ||
Financing Receivable, Past Due | 539 | 400 |
Current | 70,313 | 71,274 |
Loans, net of deferred fees and costs (a) | 70,852 | 71,674 |
Financial Asset Originated [Member] | Consumer | ||
Loans | ||
Financing Receivable, Past Due | 5,197 | 4,319 |
Current | 482,782 | 474,522 |
Loans, net of deferred fees and costs (a) | 487,979 | 478,841 |
Financial Asset Originated [Member] | Deposit account overdrafts | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
Current | 878 | 583 |
Loans, net of deferred fees and costs (a) | 878 | 583 |
Acquired Loans | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 14,616 | 12,732 |
Current | 585,070 | 560,016 |
Loans, net of deferred fees and costs (a) | 599,686 | 572,748 |
Acquired Loans | Construction | ||
Loans | ||
Financing Receivable, Past Due | 416 | 511 |
Current | 4,819 | 11,893 |
Loans, net of deferred fees and costs (a) | 5,235 | 12,404 |
Acquired Loans | Commercial real estate, other | ||
Loans | ||
Financing Receivable, Past Due | 1,695 | 1,213 |
Current | 159,967 | 183,498 |
Loans, net of deferred fees and costs (a) | 161,662 | 184,711 |
Acquired Loans | Commercial real estate | ||
Loans | ||
Financing Receivable, Past Due | 2,111 | 1,724 |
Current | 164,786 | 195,391 |
Loans, net of deferred fees and costs (a) | 166,897 | 197,115 |
Acquired Loans | Commercial and industrial | ||
Loans | ||
Financing Receivable, Past Due | 573 | 142 |
Current | 40,245 | 35,395 |
Loans, net of deferred fees and costs (a) | 40,818 | 35,537 |
Acquired Loans | Residential real estate | ||
Loans | ||
Financing Receivable, Past Due | 10,506 | 9,832 |
Current | 336,035 | 287,105 |
Loans, net of deferred fees and costs (a) | 346,541 | 296,937 |
Acquired Loans | Home equity lines of credit | ||
Loans | ||
Financing Receivable, Past Due | 1,117 | 1,005 |
Current | 38,574 | 39,648 |
Loans, net of deferred fees and costs (a) | 39,691 | 40,653 |
Acquired Loans | Consumer, indirect | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
Current | 58 | 136 |
Loans, net of deferred fees and costs (a) | 58 | 136 |
Acquired Loans | Consumer, direct | ||
Loans | ||
Financing Receivable, Past Due | 309 | 29 |
Current | 5,372 | 2,341 |
Loans, net of deferred fees and costs (a) | 5,681 | 2,370 |
Acquired Loans | Consumer | ||
Loans | ||
Financing Receivable, Past Due | 309 | 29 |
Current | 5,430 | 2,477 |
Loans, net of deferred fees and costs (a) | 5,739 | 2,506 |
30 – 59 days | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 18,534 | 17,782 |
30 – 59 days | Financial Asset Originated [Member] | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 11,468 | 10,252 |
30 – 59 days | Financial Asset Originated [Member] | Construction | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
30 – 59 days | Financial Asset Originated [Member] | Commercial real estate, other | ||
Loans | ||
Financing Receivable, Past Due | 75 | 12 |
30 – 59 days | Financial Asset Originated [Member] | Commercial real estate | ||
Loans | ||
Financing Receivable, Past Due | 75 | 12 |
30 – 59 days | Financial Asset Originated [Member] | Commercial and industrial | ||
Loans | ||
Financing Receivable, Past Due | 2,477 | 1,678 |
30 – 59 days | Financial Asset Originated [Member] | Residential real estate | ||
Loans | ||
Financing Receivable, Past Due | 4,487 | 4,457 |
30 – 59 days | Financial Asset Originated [Member] | Home equity lines of credit | ||
Loans | ||
Financing Receivable, Past Due | 396 | 531 |
30 – 59 days | Financial Asset Originated [Member] | Consumer, indirect | ||
Loans | ||
Financing Receivable, Past Due | 3,574 | 3,266 |
30 – 59 days | Financial Asset Originated [Member] | Consumer, direct | ||
Loans | ||
Financing Receivable, Past Due | 459 | 308 |
30 – 59 days | Financial Asset Originated [Member] | Consumer | ||
Loans | ||
Financing Receivable, Past Due | 4,033 | 3,574 |
30 – 59 days | Financial Asset Originated [Member] | Deposit account overdrafts | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
30 – 59 days | Acquired Loans | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 7,066 | 7,530 |
30 – 59 days | Acquired Loans | Construction | ||
Loans | ||
Financing Receivable, Past Due | 5 | 511 |
30 – 59 days | Acquired Loans | Commercial real estate, other | ||
Loans | ||
Financing Receivable, Past Due | 301 | 523 |
30 – 59 days | Acquired Loans | Commercial real estate | ||
Loans | ||
Financing Receivable, Past Due | 306 | 1,034 |
30 – 59 days | Acquired Loans | Commercial and industrial | ||
Loans | ||
Financing Receivable, Past Due | 303 | 111 |
30 – 59 days | Acquired Loans | Residential real estate | ||
Loans | ||
Financing Receivable, Past Due | 6,051 | 6,124 |
30 – 59 days | Acquired Loans | Home equity lines of credit | ||
Loans | ||
Financing Receivable, Past Due | 246 | 238 |
30 – 59 days | Acquired Loans | Consumer, indirect | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
30 – 59 days | Acquired Loans | Consumer, direct | ||
Loans | ||
Financing Receivable, Past Due | 160 | 23 |
30 – 59 days | Acquired Loans | Consumer | ||
Loans | ||
Financing Receivable, Past Due | 160 | 23 |
60 – 89 days | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 4,908 | 8,675 |
60 – 89 days | Financial Asset Originated [Member] | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 2,569 | 6,143 |
60 – 89 days | Financial Asset Originated [Member] | Construction | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
60 – 89 days | Financial Asset Originated [Member] | Commercial real estate, other | ||
Loans | ||
Financing Receivable, Past Due | 12 | 736 |
60 – 89 days | Financial Asset Originated [Member] | Commercial real estate | ||
Loans | ||
Financing Receivable, Past Due | 12 | 736 |
60 – 89 days | Financial Asset Originated [Member] | Commercial and industrial | ||
Loans | ||
Financing Receivable, Past Due | 292 | 3,520 |
60 – 89 days | Financial Asset Originated [Member] | Residential real estate | ||
Loans | ||
Financing Receivable, Past Due | 1,231 | 1,319 |
60 – 89 days | Financial Asset Originated [Member] | Home equity lines of credit | ||
Loans | ||
Financing Receivable, Past Due | 267 | 30 |
60 – 89 days | Financial Asset Originated [Member] | Consumer, indirect | ||
Loans | ||
Financing Receivable, Past Due | 714 | 488 |
60 – 89 days | Financial Asset Originated [Member] | Consumer, direct | ||
Loans | ||
Financing Receivable, Past Due | 53 | 50 |
60 – 89 days | Financial Asset Originated [Member] | Consumer | ||
Loans | ||
Financing Receivable, Past Due | 767 | 538 |
60 – 89 days | Financial Asset Originated [Member] | Deposit account overdrafts | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
60 – 89 days | Acquired Loans | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 2,339 | 2,532 |
60 – 89 days | Acquired Loans | Construction | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
60 – 89 days | Acquired Loans | Commercial real estate, other | ||
Loans | ||
Financing Receivable, Past Due | 325 | 457 |
60 – 89 days | Acquired Loans | Commercial real estate | ||
Loans | ||
Financing Receivable, Past Due | 325 | 457 |
60 – 89 days | Acquired Loans | Commercial and industrial | ||
Loans | ||
Financing Receivable, Past Due | 20 | 13 |
60 – 89 days | Acquired Loans | Residential real estate | ||
Loans | ||
Financing Receivable, Past Due | 1,687 | 1,823 |
60 – 89 days | Acquired Loans | Home equity lines of credit | ||
Loans | ||
Financing Receivable, Past Due | 243 | 233 |
60 – 89 days | Acquired Loans | Consumer, indirect | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
60 – 89 days | Acquired Loans | Consumer, direct | ||
Loans | ||
Financing Receivable, Past Due | 64 | 6 |
60 – 89 days | Acquired Loans | Consumer | ||
Loans | ||
Financing Receivable, Past Due | 64 | 6 |
90 + Days | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 16,543 | 15,061 |
90 + Days | Financial Asset Originated [Member] | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 11,332 | 12,391 |
90 + Days | Financial Asset Originated [Member] | Construction | ||
Loans | ||
Financing Receivable, Past Due | 0 | 710 |
90 + Days | Financial Asset Originated [Member] | Commercial real estate, other | ||
Loans | ||
Financing Receivable, Past Due | 6,432 | 7,151 |
90 + Days | Financial Asset Originated [Member] | Commercial real estate | ||
Loans | ||
Financing Receivable, Past Due | 6,432 | 7,861 |
90 + Days | Financial Asset Originated [Member] | Commercial and industrial | ||
Loans | ||
Financing Receivable, Past Due | 994 | 1,297 |
90 + Days | Financial Asset Originated [Member] | Residential real estate | ||
Loans | ||
Financing Receivable, Past Due | 3,104 | 2,595 |
90 + Days | Financial Asset Originated [Member] | Home equity lines of credit | ||
Loans | ||
Financing Receivable, Past Due | 405 | 431 |
90 + Days | Financial Asset Originated [Member] | Consumer, indirect | ||
Loans | ||
Financing Receivable, Past Due | 370 | 165 |
90 + Days | Financial Asset Originated [Member] | Consumer, direct | ||
Loans | ||
Financing Receivable, Past Due | 27 | 42 |
90 + Days | Financial Asset Originated [Member] | Consumer | ||
Loans | ||
Financing Receivable, Past Due | 397 | 207 |
90 + Days | Financial Asset Originated [Member] | Deposit account overdrafts | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
90 + Days | Acquired Loans | Loan Type | ||
Loans | ||
Financing Receivable, Past Due | 5,211 | 2,670 |
90 + Days | Acquired Loans | Construction | ||
Loans | ||
Financing Receivable, Past Due | 411 | 0 |
90 + Days | Acquired Loans | Commercial real estate, other | ||
Loans | ||
Financing Receivable, Past Due | 1,069 | 233 |
90 + Days | Acquired Loans | Commercial real estate | ||
Loans | ||
Financing Receivable, Past Due | 1,480 | 233 |
90 + Days | Acquired Loans | Commercial and industrial | ||
Loans | ||
Financing Receivable, Past Due | 250 | 18 |
90 + Days | Acquired Loans | Residential real estate | ||
Loans | ||
Financing Receivable, Past Due | 2,768 | 1,885 |
90 + Days | Acquired Loans | Home equity lines of credit | ||
Loans | ||
Financing Receivable, Past Due | 628 | 534 |
90 + Days | Acquired Loans | Consumer, indirect | ||
Loans | ||
Financing Receivable, Past Due | 0 | 0 |
90 + Days | Acquired Loans | Consumer, direct | ||
Loans | ||
Financing Receivable, Past Due | 85 | 0 |
90 + Days | Acquired Loans | Consumer | ||
Loans | ||
Financing Receivable, Past Due | $ 85 | $ 0 |
Loans Loans By Risk Category (D
Loans Loans By Risk Category (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loans | ||
Total Loans | $ 2,851,969 | $ 2,708,583 |
Balance | 2,873,525 | 2,728,778 |
Mortgage Loans in Process of Foreclosure, Amount | 1,900 | 1,800 |
Loan Type | ||
Loans | ||
Balance | 2,873,525 | 2,728,778 |
Pass Rated | Loan Type | ||
Loans | ||
Balance | 1,563,271 | 1,452,711 |
Special Mention | Loan Type | ||
Loans | ||
Balance | 30,676 | 70,370 |
Substandard | Loan Type | ||
Loans | ||
Balance | 65,780 | 43,176 |
Doubtful | Loan Type | ||
Loans | ||
Balance | 374 | 642 |
Not Rated | Loan Type | ||
Loans | ||
Balance | 1,213,424 | 1,161,879 |
Financial Asset Originated [Member] | ||
Loans | ||
Balance | 2,273,839 | 2,156,030 |
Financial Asset Originated [Member] | Loan Type | ||
Loans | ||
Balance | 2,273,839 | 2,156,030 |
Financial Asset Originated [Member] | Construction | ||
Loans | ||
Balance | 83,283 | 124,013 |
Financial Asset Originated [Member] | Commercial real estate, other | ||
Loans | ||
Balance | 671,576 | 632,200 |
Financial Asset Originated [Member] | Commercial real estate | ||
Loans | ||
Balance | 754,859 | 756,213 |
Financial Asset Originated [Member] | Commercial and industrial | ||
Loans | ||
Balance | 622,175 | 530,207 |
Financial Asset Originated [Member] | Residential real estate | ||
Loans | ||
Balance | 314,935 | 296,860 |
Financial Asset Originated [Member] | Home equity lines of credit | ||
Loans | ||
Balance | 93,013 | 93,326 |
Financial Asset Originated [Member] | Consumer, indirect | ||
Loans | ||
Balance | 417,127 | 407,167 |
Financial Asset Originated [Member] | Consumer, direct | ||
Loans | ||
Balance | 70,852 | 71,674 |
Financial Asset Originated [Member] | Consumer | ||
Loans | ||
Balance | 487,979 | 478,841 |
Financial Asset Originated [Member] | Deposit account overdrafts | ||
Loans | ||
Balance | 878 | 583 |
Financial Asset Originated [Member] | Pass Rated | Loan Type | ||
Loans | ||
Balance | 1,343,181 | 1,224,566 |
Financial Asset Originated [Member] | Pass Rated | Construction | ||
Loans | ||
Balance | 81,771 | 121,457 |
Financial Asset Originated [Member] | Pass Rated | Commercial real estate, other | ||
Loans | ||
Balance | 640,745 | 612,099 |
Financial Asset Originated [Member] | Pass Rated | Commercial real estate | ||
Loans | ||
Balance | 722,516 | 733,556 |
Financial Asset Originated [Member] | Pass Rated | Commercial and industrial | ||
Loans | ||
Balance | 601,578 | 476,290 |
Financial Asset Originated [Member] | Pass Rated | Residential real estate | ||
Loans | ||
Balance | 17,713 | 14,229 |
Financial Asset Originated [Member] | Pass Rated | Home equity lines of credit | ||
Loans | ||
Balance | 1,348 | 453 |
Financial Asset Originated [Member] | Pass Rated | Consumer, indirect | ||
Loans | ||
Balance | 0 | 8 |
Financial Asset Originated [Member] | Pass Rated | Consumer, direct | ||
Loans | ||
Balance | 26 | 30 |
Financial Asset Originated [Member] | Pass Rated | Consumer | ||
Loans | ||
Balance | 26 | 38 |
Financial Asset Originated [Member] | Pass Rated | Deposit account overdrafts | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Special Mention | Loan Type | ||
Loans | ||
Balance | 20,867 | 57,388 |
Financial Asset Originated [Member] | Special Mention | Construction | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Special Mention | Commercial real estate, other | ||
Loans | ||
Balance | 12,130 | 10,898 |
Financial Asset Originated [Member] | Special Mention | Commercial real estate | ||
Loans | ||
Balance | 12,130 | 10,898 |
Financial Asset Originated [Member] | Special Mention | Commercial and industrial | ||
Loans | ||
Balance | 7,821 | 45,990 |
Financial Asset Originated [Member] | Special Mention | Residential real estate | ||
Loans | ||
Balance | 916 | 500 |
Financial Asset Originated [Member] | Special Mention | Home equity lines of credit | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Special Mention | Consumer, indirect | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Special Mention | Consumer, direct | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Special Mention | Consumer | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Special Mention | Deposit account overdrafts | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Substandard | Loan Type | ||
Loans | ||
Balance | 46,958 | 30,338 |
Financial Asset Originated [Member] | Substandard | Construction | ||
Loans | ||
Balance | 0 | 1,472 |
Financial Asset Originated [Member] | Substandard | Commercial real estate, other | ||
Loans | ||
Balance | 18,694 | 9,203 |
Financial Asset Originated [Member] | Substandard | Commercial real estate | ||
Loans | ||
Balance | 18,694 | 10,675 |
Financial Asset Originated [Member] | Substandard | Commercial and industrial | ||
Loans | ||
Balance | 12,776 | 7,692 |
Financial Asset Originated [Member] | Substandard | Residential real estate | ||
Loans | ||
Balance | 15,488 | 11,971 |
Financial Asset Originated [Member] | Substandard | Home equity lines of credit | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Substandard | Consumer, indirect | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Substandard | Consumer, direct | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Substandard | Consumer | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Substandard | Deposit account overdrafts | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Doubtful | Loan Type | ||
Loans | ||
Balance | 166 | 409 |
Financial Asset Originated [Member] | Doubtful | Construction | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Doubtful | Commercial real estate, other | ||
Loans | ||
Balance | 7 | 0 |
Financial Asset Originated [Member] | Doubtful | Commercial real estate | ||
Loans | ||
Balance | 7 | 0 |
Financial Asset Originated [Member] | Doubtful | Commercial and industrial | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Doubtful | Residential real estate | ||
Loans | ||
Balance | 159 | 409 |
Financial Asset Originated [Member] | Doubtful | Home equity lines of credit | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Doubtful | Consumer, indirect | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Doubtful | Consumer, direct | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Doubtful | Consumer | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Doubtful | Deposit account overdrafts | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Not Rated | Loan Type | ||
Loans | ||
Balance | 862,667 | 843,329 |
Financial Asset Originated [Member] | Not Rated | Construction | ||
Loans | ||
Balance | 1,512 | 1,084 |
Financial Asset Originated [Member] | Not Rated | Commercial real estate, other | ||
Loans | ||
Balance | 0 | 0 |
Financial Asset Originated [Member] | Not Rated | Commercial real estate | ||
Loans | ||
Balance | 1,512 | 1,084 |
Financial Asset Originated [Member] | Not Rated | Commercial and industrial | ||
Loans | ||
Balance | 0 | 235 |
Financial Asset Originated [Member] | Not Rated | Residential real estate | ||
Loans | ||
Balance | 280,659 | 269,751 |
Financial Asset Originated [Member] | Not Rated | Home equity lines of credit | ||
Loans | ||
Balance | 91,665 | 92,873 |
Financial Asset Originated [Member] | Not Rated | Consumer, indirect | ||
Loans | ||
Balance | 417,127 | 407,159 |
Financial Asset Originated [Member] | Not Rated | Consumer, direct | ||
Loans | ||
Balance | 70,826 | 71,644 |
Financial Asset Originated [Member] | Not Rated | Consumer | ||
Loans | ||
Balance | 487,953 | 478,803 |
Financial Asset Originated [Member] | Not Rated | Deposit account overdrafts | ||
Loans | ||
Balance | 878 | 583 |
Acquired Loans | Loan Type | ||
Loans | ||
Balance | 599,686 | 572,748 |
Acquired Loans | Construction | ||
Loans | ||
Balance | 5,235 | 12,404 |
Acquired Loans | Commercial real estate, other | ||
Loans | ||
Balance | 161,662 | 184,711 |
Acquired Loans | Commercial real estate | ||
Loans | ||
Balance | 166,897 | 197,115 |
Acquired Loans | Commercial and industrial | ||
Loans | ||
Balance | 40,818 | 35,537 |
Acquired Loans | Residential real estate | ||
Loans | ||
Balance | 346,541 | 296,937 |
Acquired Loans | Home equity lines of credit | ||
Loans | ||
Balance | 39,691 | 40,653 |
Acquired Loans | Consumer, indirect | ||
Loans | ||
Balance | 58 | 136 |
Acquired Loans | Consumer, direct | ||
Loans | ||
Balance | 5,681 | 2,370 |
Acquired Loans | Consumer | ||
Loans | ||
Balance | 5,739 | 2,506 |
Acquired Loans | Pass Rated | Loan Type | ||
Loans | ||
Balance | 220,090 | 228,145 |
Acquired Loans | Pass Rated | Construction | ||
Loans | ||
Balance | 3,578 | 8,976 |
Acquired Loans | Pass Rated | Commercial real estate, other | ||
Loans | ||
Balance | 146,973 | 169,260 |
Acquired Loans | Pass Rated | Commercial real estate | ||
Loans | ||
Balance | 150,551 | 178,236 |
Acquired Loans | Pass Rated | Commercial and industrial | ||
Loans | ||
Balance | 35,508 | 32,471 |
Acquired Loans | Pass Rated | Residential real estate | ||
Loans | ||
Balance | 32,193 | 17,370 |
Acquired Loans | Pass Rated | Home equity lines of credit | ||
Loans | ||
Balance | 1,812 | 33 |
Acquired Loans | Pass Rated | Consumer, indirect | ||
Loans | ||
Balance | 0 | 4 |
Acquired Loans | Pass Rated | Consumer, direct | ||
Loans | ||
Balance | 26 | 31 |
Acquired Loans | Pass Rated | Consumer | ||
Loans | ||
Balance | 26 | 35 |
Acquired Loans | Special Mention | Loan Type | ||
Loans | ||
Balance | 9,809 | 12,982 |
Acquired Loans | Special Mention | Construction | ||
Loans | ||
Balance | 150 | 1,795 |
Acquired Loans | Special Mention | Commercial real estate, other | ||
Loans | ||
Balance | 5,442 | 7,241 |
Acquired Loans | Special Mention | Commercial real estate | ||
Loans | ||
Balance | 5,592 | 9,036 |
Acquired Loans | Special Mention | Commercial and industrial | ||
Loans | ||
Balance | 1,595 | 2,008 |
Acquired Loans | Special Mention | Residential real estate | ||
Loans | ||
Balance | 2,468 | 1,938 |
Acquired Loans | Special Mention | Home equity lines of credit | ||
Loans | ||
Balance | 154 | 0 |
Acquired Loans | Special Mention | Consumer, indirect | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Special Mention | Consumer, direct | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Special Mention | Consumer | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Substandard | Loan Type | ||
Loans | ||
Balance | 18,822 | 12,838 |
Acquired Loans | Substandard | Construction | ||
Loans | ||
Balance | 1,507 | 1,633 |
Acquired Loans | Substandard | Commercial real estate, other | ||
Loans | ||
Balance | 9,164 | 8,114 |
Acquired Loans | Substandard | Commercial real estate | ||
Loans | ||
Balance | 10,671 | 9,747 |
Acquired Loans | Substandard | Commercial and industrial | ||
Loans | ||
Balance | 3,715 | 1,058 |
Acquired Loans | Substandard | Residential real estate | ||
Loans | ||
Balance | 4,436 | 2,033 |
Acquired Loans | Substandard | Home equity lines of credit | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Substandard | Consumer, indirect | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Substandard | Consumer, direct | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Substandard | Consumer | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Doubtful | Loan Type | ||
Loans | ||
Balance | 208 | 233 |
Acquired Loans | Doubtful | Construction | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Doubtful | Commercial real estate, other | ||
Loans | ||
Balance | 83 | 96 |
Acquired Loans | Doubtful | Commercial real estate | ||
Loans | ||
Balance | 83 | 96 |
Acquired Loans | Doubtful | Commercial and industrial | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Doubtful | Residential real estate | ||
Loans | ||
Balance | 125 | 137 |
Acquired Loans | Doubtful | Home equity lines of credit | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Doubtful | Consumer, indirect | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Doubtful | Consumer, direct | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Doubtful | Consumer | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Not Rated | Loan Type | ||
Loans | ||
Balance | 350,757 | 318,550 |
Acquired Loans | Not Rated | Construction | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Not Rated | Commercial real estate, other | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Not Rated | Commercial real estate | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Not Rated | Commercial and industrial | ||
Loans | ||
Balance | 0 | 0 |
Acquired Loans | Not Rated | Residential real estate | ||
Loans | ||
Balance | 307,319 | 275,459 |
Acquired Loans | Not Rated | Home equity lines of credit | ||
Loans | ||
Balance | 37,725 | 40,620 |
Acquired Loans | Not Rated | Consumer, indirect | ||
Loans | ||
Balance | 58 | 132 |
Acquired Loans | Not Rated | Consumer, direct | ||
Loans | ||
Balance | 5,655 | 2,339 |
Acquired Loans | Not Rated | Consumer | ||
Loans | ||
Balance | $ 5,713 | $ 2,471 |
Loans Schedule Of Impaired Loan
Loans Schedule Of Impaired Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Loan Type | ||
Impaired Loans | ||
Unpaid Principal Balance | $ 51,364 | $ 50,001 |
Recorded Investment With Allowance | 7,938 | 2,154 |
Recorded Investment Without Allowance | 39,640 | 46,221 |
Total Recorded Investment | 47,578 | 48,375 |
Related Allowance | 1,212 | 509 |
Average Recorded Investment | 43,025 | 43,140 |
Interest Income Recognized | 2,261 | 1,879 |
Construction | ||
Impaired Loans | ||
Unpaid Principal Balance | 1,509 | 2,376 |
Recorded Investment With Allowance | 0 | 0 |
Recorded Investment Without Allowance | 1,423 | 2,376 |
Total Recorded Investment | 1,423 | 2,376 |
Related Allowance | 0 | 0 |
Average Recorded Investment | 1,297 | 1,732 |
Interest Income Recognized | 44 | 74 |
Commercial real estate, other | ||
Impaired Loans | ||
Unpaid Principal Balance | 14,519 | 15,464 |
Recorded Investment With Allowance | 4,754 | 274 |
Recorded Investment Without Allowance | 8,829 | 14,946 |
Total Recorded Investment | 13,583 | 15,220 |
Related Allowance | 430 | 119 |
Average Recorded Investment | 13,210 | 14,043 |
Interest Income Recognized | 475 | 455 |
Commercial real estate | ||
Impaired Loans | ||
Unpaid Principal Balance | 16,028 | 17,840 |
Recorded Investment With Allowance | 4,754 | 274 |
Recorded Investment Without Allowance | 10,252 | 17,322 |
Total Recorded Investment | 15,006 | 17,596 |
Related Allowance | 430 | 119 |
Average Recorded Investment | 14,507 | 15,775 |
Interest Income Recognized | 519 | 529 |
Commercial and industrial | ||
Impaired Loans | ||
Unpaid Principal Balance | 6,018 | 3,305 |
Recorded Investment With Allowance | 2,294 | 790 |
Recorded Investment Without Allowance | 2,829 | 2,436 |
Total Recorded Investment | 5,123 | 3,226 |
Related Allowance | 698 | 157 |
Average Recorded Investment | 3,205 | 2,423 |
Interest Income Recognized | 160 | 72 |
Residential real estate | ||
Impaired Loans | ||
Unpaid Principal Balance | 26,581 | 25,990 |
Recorded Investment With Allowance | 123 | 644 |
Recorded Investment Without Allowance | 24,566 | 24,034 |
Total Recorded Investment | 24,689 | 24,678 |
Related Allowance | 15 | 154 |
Average Recorded Investment | 23,370 | 22,769 |
Interest Income Recognized | 1,436 | 1,134 |
Home equity lines of credit | ||
Impaired Loans | ||
Unpaid Principal Balance | 1,583 | 2,291 |
Recorded Investment With Allowance | 414 | 424 |
Recorded Investment Without Allowance | 1,170 | 1,869 |
Total Recorded Investment | 1,584 | 2,293 |
Related Allowance | 9 | 73 |
Average Recorded Investment | 1,384 | 1,832 |
Interest Income Recognized | 92 | 109 |
Consumer, indirect | ||
Impaired Loans | ||
Unpaid Principal Balance | 767 | 496 |
Recorded Investment With Allowance | 298 | 0 |
Recorded Investment Without Allowance | 494 | 503 |
Total Recorded Investment | 792 | 503 |
Related Allowance | 53 | 0 |
Average Recorded Investment | 359 | 278 |
Interest Income Recognized | 33 | 15 |
Consumer, direct | ||
Impaired Loans | ||
Unpaid Principal Balance | 387 | 79 |
Recorded Investment With Allowance | 55 | 22 |
Recorded Investment Without Allowance | 329 | 57 |
Total Recorded Investment | 384 | 79 |
Related Allowance | 7 | 6 |
Average Recorded Investment | 200 | 63 |
Interest Income Recognized | 21 | 20 |
Consumer | ||
Impaired Loans | ||
Unpaid Principal Balance | 1,154 | 575 |
Recorded Investment With Allowance | 353 | 22 |
Recorded Investment Without Allowance | 823 | 560 |
Total Recorded Investment | 1,176 | 582 |
Related Allowance | 60 | 6 |
Average Recorded Investment | 559 | 341 |
Interest Income Recognized | $ 54 | $ 35 |
Loans Troubled Debt Restructuri
Loans Troubled Debt Restructurings (Details) | 12 Months Ended | |
Dec. 31, 2019USD ($)contract | Dec. 31, 2018USD ($)contract | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Impact on allowance for loan losses for loans modified as a TDR that subsequently defaulted | Troubled Debt Restructuring ("TDR"): The restructuring of a loan is considered a TDR if both (1) the borrower is experiencing financial difficulties and (2) the creditor has granted a concession. Loans acquired that are restructured after acquisition are not considered TDRs if the loans evidenced credit deterioration as of the acquisition date and are accounted for in pools of purchased credit impaired loans. In assessing whether or not a borrower is experiencing financial difficulties, Peoples considers information currently available regarding the financial condition of the borrower. This information includes, but is not limited to, whether (1) the borrower is currently in payment default on any of the borrower's debt; (2) a payment default is probable in the foreseeable future without the modification; (3) the borrower has declared or is in the process of declaring bankruptcy; and (4) the borrower's projected cash flow is insufficient to satisfy contractual payments due under the original terms of the loan without a modification. | |
Additional commitments to lend funds to debtors whose terms have been modified in a TDR | $ 0 | |
Financial Asset Originated [Member] | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 29 | 50 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 926,000 | $ 2,801,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 929,000 | 2,801,000 |
Financing Receivable, Troubled Debt Restructuring | $ 878,000 | $ 2,714,000 |
Number of contracts modified as a TDR that subsequently defaulted | contract | 2 | |
Recorded investment in loans modified as a TDR that subsequently defaulted | $ 88,000 | |
Financial Asset Originated [Member] | Commercial and industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 2 | 1 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 38,000 | $ 714,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 38,000 | 714,000 |
Financing Receivable, Troubled Debt Restructuring | $ 32,000 | $ 714,000 |
Financial Asset Originated [Member] | Residential real estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 3 | 9 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 437,000 | $ 904,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 440,000 | 904,000 |
Financing Receivable, Troubled Debt Restructuring | $ 431,000 | $ 899,000 |
Number of contracts modified as a TDR that subsequently defaulted | contract | 1 | |
Recorded investment in loans modified as a TDR that subsequently defaulted | $ 56,000 | |
Financial Asset Originated [Member] | Home equity lines of credit | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 4 | 8 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 139,000 | $ 666,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 139,000 | 666,000 |
Financing Receivable, Troubled Debt Restructuring | $ 136,000 | $ 660,000 |
Number of contracts modified as a TDR that subsequently defaulted | contract | 1 | |
Recorded investment in loans modified as a TDR that subsequently defaulted | $ 32,000 | |
Financial Asset Originated [Member] | Consumer, indirect | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 17 | 27 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 260,000 | $ 485,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 260,000 | 485,000 |
Financing Receivable, Troubled Debt Restructuring | $ 234,000 | $ 412,000 |
Financial Asset Originated [Member] | Consumer, direct | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 3 | 5 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 52,000 | $ 32,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 52,000 | 32,000 |
Financing Receivable, Troubled Debt Restructuring | $ 45,000 | $ 29,000 |
Financial Asset Originated [Member] | Consumer | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 20 | 32 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 312,000 | $ 517,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 312,000 | 517,000 |
Financing Receivable, Troubled Debt Restructuring | $ 279,000 | $ 441,000 |
Acquired Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 64 | 22 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 4,023,000 | $ 1,504,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 3,999,000 | 1,504,000 |
Financing Receivable, Troubled Debt Restructuring | $ 3,785,000 | $ 1,464,000 |
Number of contracts modified as a TDR that subsequently defaulted | contract | 1 | |
Recorded investment in loans modified as a TDR that subsequently defaulted | $ 10,000 | |
Acquired Loans | Commercial real estate, other | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 3 | |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 101,000 | |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 76,000 | |
Financing Receivable, Troubled Debt Restructuring | $ 76,000 | |
Acquired Loans | Construction | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 1 | |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 50,000 | |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 50,000 | |
Financing Receivable, Troubled Debt Restructuring | $ 45,000 | |
Acquired Loans | Commercial and industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 5 | |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 1,557,000 | |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 1,557,000 | |
Financing Receivable, Troubled Debt Restructuring | $ 1,464,000 | |
Acquired Loans | Residential real estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 38 | 15 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 2,069,000 | $ 1,258,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 2,069,000 | 1,258,000 |
Financing Receivable, Troubled Debt Restructuring | $ 1,967,000 | $ 1,226,000 |
Acquired Loans | Home equity lines of credit | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 8 | 6 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 172,000 | $ 196,000 |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 173,000 | 196,000 |
Financing Receivable, Troubled Debt Restructuring | $ 164,000 | $ 193,000 |
Number of contracts modified as a TDR that subsequently defaulted | contract | 1 | |
Recorded investment in loans modified as a TDR that subsequently defaulted | $ 10,000 | |
Acquired Loans | Consumer, direct | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Modifications, Number of Contracts | contract | 10 | |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 124,000 | |
Financing Receivable, Troubled Debt Restructuring, Postmodification | 124,000 | |
Financing Receivable, Troubled Debt Restructuring | $ 114,000 |
Loans Allowance For Loan Losses
Loans Allowance For Loan Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Provision for loan losses | $ 2,504 | $ 5,448 | $ 3,772 | ||
Period-end amount allocated to: | |||||
Percentage Growth in Loans and Leases Receivable, Net of Deferred Income | 5.00% | ||||
Growth in Loans and Leases Receivable, Net of Deferred Income | $ 144,700 | ||||
Individual review of impairment of unpaid principal balances in excess of | $ 1,000 | ||||
Loans, net of deferred fees and costs (a) | 2,873,525 | $ 2,728,778 | |||
Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 2,273,839 | 2,156,030 | |||
Financial Asset Acquired and No Credit Deterioration [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 383 | ||||
Charge-offs | (3) | ||||
Ending balance | 383 | 595 | 383 | ||
Period-end amount allocated to: | |||||
Ending balance | 383 | 595 | 383 | ||
(Recovery of) provision for loan losses | 215 | 383 | |||
Consumer | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 487,979 | 478,841 | |||
Loan Type | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 19,659 | 18,685 | |||
Charge-offs | (4,473) | (5,187) | |||
Recoveries | 3,333 | 1,143 | |||
Allowance for Loan and Lease Losses Write-offs, Net | (1,140) | (4,044) | |||
Provision for loan losses | 2,308 | 5,018 | |||
Ending balance | 19,659 | 18,685 | 18,685 | 20,827 | 19,659 |
Period-end amount allocated to: | |||||
Loans individually evaluated for impairment | 1,212 | 509 | |||
Loans collectively evaluated for impairment | 19,615 | 19,150 | |||
Ending balance | 19,659 | 18,685 | 18,685 | 20,827 | 19,659 |
Individual review of impairment of unpaid principal balances in excess of | 47,578 | 48,375 | |||
Financing Receivable, Collectively Evaluated for Impairment | 2,226,261 | 2,107,655 | |||
Loans, net of deferred fees and costs (a) | 2,873,525 | 2,728,778 | |||
Loan Type | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 2,273,839 | 2,156,030 | |||
Commercial real estate, other | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 8,003 | 7,797 | |||
Charge-offs | (153) | (849) | |||
Recoveries | 151 | 60 | |||
Allowance for Loan and Lease Losses Write-offs, Net | (2) | (789) | |||
Provision for loan losses | (668) | 995 | |||
Ending balance | 8,003 | 7,797 | 7,797 | 7,333 | 8,003 |
Period-end amount allocated to: | |||||
Ending balance | 8,003 | 7,797 | 7,797 | 7,333 | 8,003 |
Commercial real estate, other | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 671,576 | 632,200 | |||
Commercial and industrial | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 6,178 | 5,813 | |||
Charge-offs | (1,062) | (38) | |||
Recoveries | 2,415 | 18 | |||
Allowance for Loan and Lease Losses Write-offs, Net | 1,353 | (20) | |||
Provision for loan losses | 901 | 385 | |||
Ending balance | 6,178 | 5,813 | 5,813 | 8,432 | 6,178 |
Period-end amount allocated to: | |||||
Loans individually evaluated for impairment | 698 | 157 | |||
Loans collectively evaluated for impairment | 7,734 | 6,021 | |||
Ending balance | 6,178 | 5,813 | 5,813 | 8,432 | 6,178 |
Individual review of impairment of unpaid principal balances in excess of | 5,123 | 3,226 | |||
Financing Receivable, Collectively Evaluated for Impairment | 617,052 | 526,981 | |||
Commercial and industrial | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 622,175 | 530,207 | |||
Residential real estate | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 1,214 | 904 | |||
Charge-offs | (312) | (355) | |||
Recoveries | 229 | 232 | |||
Allowance for Loan and Lease Losses Write-offs, Net | (83) | (123) | |||
Provision for loan losses | 60 | 433 | |||
Ending balance | 1,214 | 904 | 904 | 1,191 | 1,214 |
Period-end amount allocated to: | |||||
Loans individually evaluated for impairment | 15 | 154 | |||
Loans collectively evaluated for impairment | 1,176 | 1,060 | |||
Ending balance | 1,214 | 904 | 904 | 1,191 | 1,214 |
Individual review of impairment of unpaid principal balances in excess of | 24,689 | 24,678 | |||
Financing Receivable, Collectively Evaluated for Impairment | 290,246 | 272,182 | |||
Residential real estate | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 314,935 | 296,860 | |||
Home equity lines of credit | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 618 | 693 | |||
Charge-offs | (55) | (107) | |||
Recoveries | 11 | 14 | |||
Allowance for Loan and Lease Losses Write-offs, Net | (44) | (93) | |||
Provision for loan losses | (28) | 18 | |||
Ending balance | 618 | 693 | 693 | 546 | 618 |
Period-end amount allocated to: | |||||
Loans individually evaluated for impairment | 9 | 73 | |||
Loans collectively evaluated for impairment | 537 | 545 | |||
Ending balance | 618 | 693 | 693 | 546 | 618 |
Individual review of impairment of unpaid principal balances in excess of | 1,584 | 2,293 | |||
Financing Receivable, Collectively Evaluated for Impairment | 91,429 | 91,033 | |||
Home equity lines of credit | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 93,013 | 93,326 | |||
Consumer, indirect | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 3,214 | 2,944 | |||
Charge-offs | (1,829) | (2,515) | |||
Recoveries | 270 | 474 | |||
Allowance for Loan and Lease Losses Write-offs, Net | (1,559) | (2,041) | |||
Provision for loan losses | 1,282 | 2,311 | |||
Ending balance | 3,214 | 2,944 | 2,944 | 2,937 | 3,214 |
Period-end amount allocated to: | |||||
Loans individually evaluated for impairment | 53 | 0 | |||
Loans collectively evaluated for impairment | 2,884 | 3,214 | |||
Ending balance | 3,214 | 2,944 | 2,944 | 2,937 | 3,214 |
Individual review of impairment of unpaid principal balances in excess of | 792 | 503 | |||
Financing Receivable, Collectively Evaluated for Impairment | 416,335 | 406,664 | |||
Consumer, indirect | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 417,127 | 407,167 | |||
Consumer, direct | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 351 | 464 | |||
Charge-offs | (211) | (358) | |||
Recoveries | 52 | 140 | |||
Allowance for Loan and Lease Losses Write-offs, Net | (159) | (218) | |||
Provision for loan losses | 102 | 105 | |||
Ending balance | 351 | 464 | 464 | 294 | 351 |
Period-end amount allocated to: | |||||
Loans individually evaluated for impairment | 7 | 6 | |||
Loans collectively evaluated for impairment | 287 | 345 | |||
Ending balance | 351 | 464 | 464 | 294 | 351 |
Individual review of impairment of unpaid principal balances in excess of | 384 | ||||
Financing Receivable, Collectively Evaluated for Impairment | 70,468 | 71,595 | |||
Consumer, direct | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 70,852 | 71,674 | |||
Deposit account overdrafts | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 81 | 70 | |||
Charge-offs | (851) | (965) | |||
Recoveries | 205 | 205 | |||
Allowance for Loan and Lease Losses Write-offs, Net | (646) | (760) | |||
Provision for loan losses | 659 | 771 | |||
Ending balance | 81 | 70 | 70 | 94 | 81 |
Period-end amount allocated to: | |||||
Loans individually evaluated for impairment | 0 | ||||
Loans collectively evaluated for impairment | 94 | 81 | |||
Ending balance | 81 | 70 | 70 | 94 | 81 |
Individual review of impairment of unpaid principal balances in excess of | 0 | 0 | |||
Financing Receivable, Collectively Evaluated for Impairment | 878 | 583 | |||
Deposit account overdrafts | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | 878 | 583 | |||
Financial Asset Acquired with Credit Deterioration [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 153 | 108 | |||
Ending balance | 153 | 108 | 108 | 134 | 153 |
Period-end amount allocated to: | |||||
Ending balance | 153 | 108 | $ 108 | 134 | 153 |
(Recovery of) provision for loan losses | (19) | 47 | |||
Acquired Purchased Credit Impaired Loans [Member] | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Charge-offs | 0 | $ (2) | |||
Commercial real estate | |||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||
Beginning balance | 8,003 | ||||
Ending balance | 8,003 | 7,333 | 8,003 | ||
Period-end amount allocated to: | |||||
Loans individually evaluated for impairment | 430 | 119 | |||
Loans collectively evaluated for impairment | 6,903 | 7,884 | |||
Ending balance | $ 8,003 | 7,333 | 8,003 | ||
Individual review of impairment of unpaid principal balances in excess of | 15,006 | 17,596 | |||
Financing Receivable, Collectively Evaluated for Impairment | 739,853 | 738,617 | |||
Commercial real estate | Financial Asset Originated [Member] | |||||
Period-end amount allocated to: | |||||
Loans, net of deferred fees and costs (a) | $ 754,859 | $ 756,213 |
Loans Allowance for Loan Loss_2
Loans Allowance for Loan Losses Acquired Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Financial Asset Acquired and No Credit Deterioration [Member] | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Beginning balance | $ 383 | |
(Recovery of) provision for loan losses | 215 | $ 383 |
Charge-offs | 3 | |
Ending balance | 595 | 383 |
Financial Asset Acquired with Credit Deterioration [Member] | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Beginning balance | 153 | 108 |
(Recovery of) provision for loan losses | (19) | 47 |
Ending balance | 134 | 153 |
Acquired Purchased Credit Impaired Loans [Member] | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Charge-offs | $ 0 | $ 2 |
Bank Premises and Equipment Dep
Bank Premises and Equipment Depreciation Expense (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Bank Premises and Equipment | |||
Depreciation expense | $ 5.7 | $ 4.9 | $ 4.9 |
Building and premises | Minimum | |||
Bank Premises and Equipment | |||
Building and premises and furniture, fixtures and equipment | five | ||
Building and premises | Maximum | |||
Bank Premises and Equipment | |||
Building and premises and furniture, fixtures and equipment | forty | ||
Furniture, fixtures and equipment | Minimum | |||
Bank Premises and Equipment | |||
Building and premises and furniture, fixtures and equipment | two | ||
Furniture, fixtures and equipment | Maximum | |||
Bank Premises and Equipment | |||
Building and premises and furniture, fixtures and equipment | ten |
Bank Premises and Equipment Lea
Bank Premises and Equipment Leases (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Property, Plant and Equipment [Abstract] | |
Operating Leases, Rent Expense | $ 1,227 |
Short-term Lease Payments | 137 |
Lease, Cost | $ 1,364 |
Bank Premises and Equipment Net
Bank Premises and Equipment Net Book Value (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Bank Premises and Equipment | ||
Total bank premises and equipment | $ 118,682 | $ 110,544 |
Accumulated depreciation | (56,836) | (54,002) |
Bank premises and equipment, net | 61,846 | 56,542 |
Land | ||
Bank Premises and Equipment | ||
Total bank premises and equipment | 15,317 | 13,776 |
Building and premises | ||
Bank Premises and Equipment | ||
Total bank premises and equipment | 73,097 | 68,245 |
Furniture, fixtures and equipment | ||
Bank Premises and Equipment | ||
Total bank premises and equipment | $ 30,268 | $ 28,523 |
Bank Premises and Equipment L_2
Bank Premises and Equipment Lease (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Operating Leased Assets [Line Items] | |
Operating Lease, Right-of-Use Asset | $ 7,606 |
Operating Lease, Liability | $ 7,813 |
Operating Lease, Weighted Average Remaining Lease Term | 12 years 4 months 24 days |
Operating Lease, Weighted Average Discount Rate, Percent | 3.16% |
Lessee, Operating Lease, Liability, Payments, Due | $ 9,702 |
Lease, Cost | 1,364 |
Imputed interest operating lease liability | 1,889 |
Operating Lease, Payments | 1,172 |
Lease right-of-use assets obtained in exchange for lessee operating lease liabilities | 3,701 |
Lessee, Operating Lease, Liability, Payments, Due Next Rolling Twelve Months | 1,237 |
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Four | 882 |
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Five | 629 |
Lessee, Operating Lease, Liability, Payments, Due after Rolling Year Five | 4,750 |
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Two | 1,137 |
Lessee, Operating Lease, Liability, Payments, Due in Rolling Year Three | $ 1,067 |
Minimum | |
Operating Leased Assets [Line Items] | |
Lessee, Operating Lease, Term of Contract | 2 years |
Maximum | |
Operating Leased Assets [Line Items] | |
Lessee, Operating Lease, Term of Contract | 30 years |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets (Goodwill) (Details) - USD ($) | Apr. 13, 2018 | Dec. 31, 2019 |
Goodwill [Line Items] | ||
Goodwill, Impairment Loss | $ 0 | |
Goodwill | ||
Goodwill, beginning of year | 151,245,000 | |
Goodwill, end of year | $ 165,701,000 | |
ASB Financial Corp. | ||
Goodwill | ||
Goodwill recorded from acquisitions | $ 18,134,000 | |
FIRST PRESTONSBURG BANCSHARES INC. [Member] | ||
Goodwill | ||
Goodwill, end of year | $ 18,100,000 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets (Other Intangibles) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Other Intangible Assets | ||||
Gross intangibles | $ 25,479 | $ 23,116 | ||
Intangibles recorded from acquisitions | 4,234 | 2,363 | ||
Accumulated amortization | (20,653) | (17,294) | ||
Total acquisition-related intangibles | 9,060 | 8,185 | ||
Other intangible assets | 11,802 | 10,840 | ||
Servicing rights | $ 2,742 | 2,655 | $ 2,305 | $ 2,305 |
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 7 years 7 months 6 days | |||
ASB Financial Corp. | ||||
Other Intangible Assets | ||||
Intangibles recorded from acquisitions | 2,600 | |||
Servicing rights | 276 | |||
Core Deposits | ||||
Other Intangible Assets | ||||
Gross intangibles | $ 17,999 | 15,636 | ||
Accumulated amortization | (15,120) | (12,540) | ||
Total acquisition-related intangibles | 7,113 | 5,459 | ||
Core Deposits | FIRST PRESTONSBURG BANCSHARES INC. [Member] | ||||
Other Intangible Assets | ||||
Intangibles recorded from acquisitions | 4,200 | |||
Core Deposits | ASB Financial Corp. | ||||
Other Intangible Assets | ||||
Intangibles recorded from acquisitions | 2,400 | |||
Customer Relationships | ||||
Other Intangible Assets | ||||
Gross intangibles | 7,480 | 7,480 | ||
Intangibles recorded from acquisitions | 0 | 0 | ||
Accumulated amortization | (5,533) | (4,754) | ||
Total acquisition-related intangibles | $ 1,947 | $ 2,726 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets (Estimated Aggregated Future Amortization Expense) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Other Intangible Assets | ||
2020 | $ 2,807 | |
2021 | 2,038 | |
2022 | 1,329 | |
2023 | 944 | |
2024 | 736 | |
Thereafter | 1,206 | |
Total acquisition-related intangibles | 9,060 | $ 8,185 |
Core Deposits | ||
Other Intangible Assets | ||
2020 | 2,178 | |
2021 | 1,568 | |
2022 | 1,011 | |
2023 | 727 | |
2024 | 587 | |
Thereafter | 1,042 | |
Total acquisition-related intangibles | 7,113 | 5,459 |
Customer Relationships | ||
Other Intangible Assets | ||
2020 | 629 | |
2021 | 470 | |
2022 | 318 | |
2023 | 217 | |
2024 | 149 | |
Thereafter | 164 | |
Total acquisition-related intangibles | $ 1,947 | $ 2,726 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets (Mortgage Servicing Rights Activity) (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Other Intangible Assets | ||||
Servicing rights (b) | $ 2,742,000 | $ 2,655,000 | $ 2,305,000 | $ 2,305,000 |
Valuation allowance for servicing rights | 0 | 0 | 0 | |
Estimate of Fair Value Measurement [Member] | ||||
Other Intangible Assets | ||||
Servicing rights (b) | 3,881,000 | 4,568,000 | ||
ASB Financial Corp. | ||||
Other Intangible Assets | ||||
Servicing rights (b) | 276,000 | |||
Servicing rights | ||||
Other Intangible Assets | ||||
Amortization | 871,000 | 1,155,000 | 663,000 | |
Servicing rights originated | $ 958,000 | $ 1,229,000 | $ 663,000 | |
Minimum | ||||
Other Intangible Assets | ||||
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Discount Rate | 9.80% | 10.50% | ||
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Prepayment Speed | 8.90% | 8.70% | ||
Maximum | ||||
Other Intangible Assets | ||||
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Discount Rate | 12.30% | 13.00% | ||
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Prepayment Speed | 12.80% | 11.60% |
Deposits (Deposits) (Details)
Deposits (Deposits) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deposit Type | ||
Total | $ 698,769 | |
Interest-bearing deposit accounts | 635,720 | $ 573,702 |
Savings accounts | 521,914 | 468,500 |
Money market deposit accounts | 469,893 | 379,878 |
Governmental deposit accounts | 293,908 | 267,319 |
Total interest-bearing deposits | 2,620,204 | 2,347,588 |
Non-interest-bearing | 671,208 | 607,877 |
Total deposits | 3,291,412 | 2,955,465 |
Related Party Deposits | 11,500 | 11,300 |
Time Deposits, at or Above FDIC Insurance Limit | 100,800 | 81,600 |
Brokered CD's | ||
Deposit Type | ||
Total | 207,939 | 263,854 |
Retail CD's | ||
Deposit Type | ||
Retail CD's $100,000 or More | 242,476 | 182,717 |
Retail CD's Less than $100,000 | 248,354 | 211,618 |
Total | $ 490,830 | $ 394,335 |
Deposits (Schedule of Maturitie
Deposits (Schedule of Maturities of Certificates of Deposit) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deposit Type | ||
2020 | $ 473,348 | |
2021 | 94,009 | |
2022 | 73,352 | |
2023 | 24,755 | |
2024 | 33,275 | |
Thereafter | 30 | |
Total | 698,769 | |
Brokered CD's | ||
Deposit Type | ||
2020 | 197,905 | |
2021 | 5,413 | |
2022 | 4,136 | |
2023 | 485 | |
2024 | 0 | |
Thereafter | 0 | |
Total | 207,939 | $ 263,854 |
Retail CD's | ||
Deposit Type | ||
2020 | 275,443 | |
2021 | 88,596 | |
2022 | 69,216 | |
2023 | 24,270 | |
2024 | 33,275 | |
Thereafter | 30 | |
Total | $ 490,830 | $ 394,335 |
Deposits (Details) Swaps
Deposits (Details) Swaps $ in Thousands | Dec. 31, 2019USD ($) |
Text Block [Abstract] | |
Total | $ 698,769 |
Short-Term Borrowings (Narrativ
Short-Term Borrowings (Narrative) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Short-term Borrowings | |||
Federal Funds Available from Correspondent Banks | $ 86,800 | ||
Short-term borrowings | 316,977 | $ 356,198 | |
Line of Credit Facility, Maximum Borrowing Capacity | $ 20,000 | ||
Total Risk-Based Capital Ratio Minimum Under Debt Covenant | 12.00% | ||
Nonperforming Assets to Tangible Capital plus Allowance for Loan Losses Maximum Under Debt Covenant | 15.00% | ||
Fixed charge coverage ratio minimum required by debt covenant | 1.00% | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 20,000 | ||
Brokered CD's | |||
Short-term Borrowings | |||
Derivative, Notional Amount | 50,000 | ||
Interest Rate Swap | |||
Short-term Borrowings | |||
Derivative, Notional Amount | 160,000 | 110,000 | |
FHLB Advances | |||
Short-term Borrowings | |||
Long-term borrowings reclassified to short-term based on maturity date | 23,200 | 30,000 | |
Short-term borrowings | 274,009 | 305,000 | $ 92,592 |
FHLB Advances | Matured Debt [Member] | |||
Short-term Borrowings | |||
Long-term borrowings reclassified to short-term based on maturity date | 42,200 | 79,100 | |
National Market Repurchase Agreements | |||
Short-term Borrowings | |||
Long-term borrowings reclassified to short-term based on maturity date | 40,000 | ||
Short-term borrowings | 0 | $ 0 | $ 40,000 |
Federal Home Loan Bank Borrowings [Member] | |||
Short-term Borrowings | |||
Derivative, Notional Amount | $ 110,000 |
Short-Term Borrowings (Short Te
Short-Term Borrowings (Short Term Borrowing) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Short-term Borrowings | |||
Short-term borrowings | $ (316,977) | $ (356,198) | |
Interest on short-term borrowings | 4,712 | 5,238 | $ 1,534 |
Retail Repurchase Agreements | |||
Short-term Borrowings | |||
Short-term borrowings | (42,968) | (51,202) | (76,899) |
Average balance | 46,686 | 64,519 | 75,344 |
Highest month-end balance | 49,081 | 72,822 | 80,649 |
Interest on short-term borrowings | $ 266 | $ 194 | $ 128 |
Weighted Average Interest Rate, End of Year | 0.37% | 0.48% | 0.17% |
Short-term Debt, Weighted Average Interest Rate, over Time | 0.57% | 0.30% | 0.17% |
FHLB Advances | |||
Short-term Borrowings | |||
Short-term borrowings | $ (274,009) | $ (305,000) | $ (92,592) |
Average balance | 197,987 | 219,897 | 100,205 |
Highest month-end balance | 274,009 | 307,561 | 208,000 |
Interest on short-term borrowings | $ 4,455 | $ 4,494 | $ 1,160 |
Weighted Average Interest Rate, End of Year | 1.74% | 2.32% | 1.91% |
Short-term Debt, Weighted Average Interest Rate, over Time | 2.25% | 2.04% | 1.16% |
National Market Repurchase Agreements | |||
Short-term Borrowings | |||
Short-term borrowings | $ 0 | $ 0 | $ (40,000) |
Average balance | 0 | 14,329 | 6,685 |
Highest month-end balance | 0 | 30,000 | 40,000 |
Interest on short-term borrowings | $ 0 | $ 527 | $ 246 |
Weighted Average Interest Rate, End of Year | 0.00% | 0.00% | 3.68% |
Short-term Debt, Weighted Average Interest Rate, over Time | 0.00% | 3.68% | 3.68% |
Other | |||
Short-term Borrowings | |||
Short-term borrowings | $ 0 | $ (4) | $ 0 |
Average balance | 126 | 301 | 13 |
Highest month-end balance | 2,200 | 1,553 | 0 |
Interest on short-term borrowings | $ 0 | $ 23 | $ 0 |
Weighted Average Interest Rate, End of Year | 0.00% | 0.00% | 0.00% |
Short-term Debt, Weighted Average Interest Rate, over Time | 1.30% |
Long-Term Borrowings (Narrative
Long-Term Borrowings (Narrative) (Details) $ in Thousands | Mar. 06, 2015USD ($)semi_annual_period | Dec. 31, 2019USD ($)contract | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) |
Long-term borrowings | ||||
Long-term borrowings | $ 83,123 | $ 109,644 | ||
Long-term Federal Home Loan Bank Advances, Current | 30,000 | |||
Revolving Line of Credit | 15,000 | |||
Net loss on other transactions | 0 | (13) | $ 0 | |
Interest rate on capital securities | 1.50% | |||
Maximum | ||||
Long-term borrowings | ||||
Distributions on Capital Securities, Deferred, Number of Consecutive Semiannual Periods | semi_annual_period | 20 | |||
FHLB putable, non-amortizing, fixed rate advances | ||||
Long-term borrowings | ||||
Long-term Federal Home Loan Bank Advances | $ 65,000 | $ 85,000 | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Conversion Features | three months | |||
FHLB putable, non-amortizing, fixed rate advances | Minimum | ||||
Long-term borrowings | ||||
FHLB advances, maturities period | 1 year | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate | 140.00% | 1.26% | ||
FHLB putable, non-amortizing, fixed rate advances | Maximum | ||||
Long-term borrowings | ||||
FHLB advances, maturities period | 7 years | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Interest Rate | 320.00% | 2.17% | ||
Junior subordinated debt securities | ||||
Long-term borrowings | ||||
Long-term Federal Home Loan Bank Advances | $ 10,672 | $ 17,361 | ||
Junior subordinated debt securities | Minimum | ||||
Long-term borrowings | ||||
FHLB advances, maturities period | 6 years | |||
Junior subordinated debt securities | Maximum | ||||
Long-term borrowings | ||||
FHLB advances, maturities period | 11 years | |||
NB&T Financial Group, Inc. | ||||
Long-term borrowings | ||||
Junior subordinated debt securities | $ 6,600 | |||
Interest Rate Swap | ||||
Long-term borrowings | ||||
Derivative, Number of Instruments Held | contract | 17 | |||
National Market Repurchase Agreements | ||||
Long-term borrowings | ||||
Long-term borrowings reclassified to short-term based on maturity date | 40,000 | |||
FHLB Advances | ||||
Long-term borrowings | ||||
Long-term borrowings reclassified to short-term based on maturity date | $ 23,200 | $ 30,000 | ||
FHLB putable, non-amortizing, fixed rate advances | ||||
Long-term borrowings | ||||
Long-term Federal Home Loan Bank Advances, Current | 20,000 | |||
Junior subordinated debt securities | ||||
Long-term borrowings | ||||
Long-term Federal Home Loan Bank Advances, Current | $ 3,200 |
Long-Term Borrowings (Long Term
Long-Term Borrowings (Long Term Borrowing) (Details) $ in Thousands | Mar. 06, 2015USD ($)semi_annual_period | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) |
Long-term borrowings: | |||
Long-term borrowings | $ 83,123 | $ 109,644 | |
Total long-term borrowings, Weighted-Average Rate | 2.51% | 2.44% | |
Interest rate on capital securities | 1.50% | ||
Federal Home Loan Bank, Advances, Weighted Average Interest Rate, Maturing in Next Twelve Rolling Months | 1.71% | ||
Federal Home Loan Bank Advances, Weighted Average Interest Rate, Maturing in Rolling Year Two | 1.78% | ||
Federal Home Loan Bank Advances, Weighted Average Interest Rate, Maturing in Rolling Year Three | 2.00% | ||
Federal Home Loan Bank, Advances, Weighted Average Interest Rate, Maturing in Rolling Year Four | 1.73% | ||
Federal Home Loan Bank, Advances, Weighted Average Interest Rate, Maturing in Rolling Year Five | 1.74% | ||
Federal Home Loan Bank, Advances, Weighted Average Interest Rate, Maturing after Rolling Year Five | 2.47% | ||
NB&T Financial Group, Inc. | |||
Long-term borrowings: | |||
Junior subordinated debt securities | $ 6,600 | ||
FHLB putable non-amortizing, fixed rate advances | |||
Long-term borrowings: | |||
Long-term Federal Home Loan Bank Advances | $ 65,000 | $ 85,000 | |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 2.18% | 2.05% | |
Junior subordinated debt securities | |||
Long-term borrowings: | |||
Long-term Federal Home Loan Bank Advances | $ 10,672 | $ 17,361 | |
Federal Home Loan Bank, Advances, Weighted Average Interest Rate | 1.74% | 2.09% | |
Junior Subordinated Debt [Member] | |||
Long-term borrowings: | |||
Junior subordinated debt securities | $ 7,451 | $ 7,283 | |
Debt, Weighted Average Interest Rate | 6.55% | 7.83% | |
Maximum | |||
Long-term borrowings: | |||
Distributions on Capital Securities, Deferred, Number of Consecutive Semiannual Periods | semi_annual_period | 20 | ||
Maximum | FHLB putable non-amortizing, fixed rate advances | |||
Long-term borrowings | |||
FHLB advances, maturities period | 7 years | ||
Maximum | Junior subordinated debt securities | |||
Long-term borrowings | |||
FHLB advances, maturities period | 11 years | ||
Minimum | FHLB putable non-amortizing, fixed rate advances | |||
Long-term borrowings | |||
FHLB advances, maturities period | 1 year | ||
Minimum | Junior subordinated debt securities | |||
Long-term borrowings | |||
FHLB advances, maturities period | 6 years |
Long-Term Borrowings (Minimum A
Long-Term Borrowings (Minimum Annual Retirements of Long-Term Borrowings) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Aggregate minimum annual retirements of long-term borrowings in future periods: | ||
2020 | $ 2,555 | |
2021 | 21,979 | |
2022 | 16,521 | |
2023 | 1,157 | |
2024 | 869 | |
Thereafter | 40,042 | |
Long-term borrowings | $ 83,123 | $ 109,644 |
Weighted average interest rate, 2020 retirements | 1.42% | |
Weighted average interest rate, 2021 retirements | 1.75% | |
Weighted average interest rate, 2022 retirements | 1.97% | |
Weighted average interest rate, 2023 retirements | 1.27% | |
Weighted average interest rate, 2024 retirements | 1.19% | |
Weighted average interest rate, thereafter | 2.86% | |
Total long-term borrowings, Weighted-Average Rate | 2.51% | 2.44% |
Long-term Debt, Weighted Average Interest Rate, over Time | 2.31% |
Stockholders' Equity (Narrative
Stockholders' Equity (Narrative) (Details) - USD ($) $ in Thousands | Feb. 27, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Class of Stock | ||||
Issuance of common shares related to acquisition of NB&T Financial Group, Inc. | $ 32,437 | $ 40,898 | ||
Stock Repurchase Program, Authorized Amount | $ 40,000 | $ 20,000 | ||
Purchase of treasury stock | 0 | 0 | ||
Preferred stock, shares authorized | 50,000 | |||
Preferred stock, shares issued | 0 | |||
Common Stock | ||||
Class of Stock | ||||
Common shares issued under dividend reinvestment plan | 26,287 | 19,282 | 16,848 | |
Treasury Stock | ||||
Class of Stock | ||||
Purchase of treasury stock | 7,227 | 6,526 | 5,413 | |
Stock Repurchased During Period, Shares | 6,300,000 | 26,427 |
Stockholders' Equity (Stock Rol
Stockholders' Equity (Stock Rollforward) (Details) - shares | Feb. 27, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Increase (Decrease) in Stock by Class | |||||
Common stock, shares issued, beginning of period | 20,124,378 | 20,124,378 | |||
Treasury stock, shares, beginning of period | 601,289 | 601,289 | |||
Changes related to deferred compensation plan: | |||||
Purchase of treasury stock | 0 | 0 | |||
Changes related to Board Compensation: | |||||
Common shares issued under compensation plan for Board of Directors | (3,200) | ||||
Changes related to stock issued in acquisitions: | |||||
Common stock, shares issued, end of period | 21,156,143 | 20,124,378 | |||
Treasury stock, shares, end of period | 504,182 | 601,289 | |||
Common Stock | |||||
Increase (Decrease) in Stock by Class | |||||
Common stock, shares issued, beginning of period | 20,124,378 | 20,124,378 | 18,952,385 | 18,939,091 | |
Changes related to stock-based compensation awards: | |||||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 0 | 0 | |||
Stock Issued During Period, Shares, Restricted Stock Award, Forfeited | 0 | 0 | 3,554 | ||
Shares Issued, Shares, Share-based Payment Arrangement, before Forfeiture | 0 | 0 | |||
Changes related to dividend reinvestment plan: | |||||
Common shares issued under dividend reinvestment plan | 26,287 | 19,282 | 16,848 | ||
Changes related to stock issued in acquisitions: | |||||
Common stock, shares issued, end of period | 21,156,143 | 20,124,378 | 18,952,385 | ||
Treasury Stock | |||||
Increase (Decrease) in Stock by Class | |||||
Treasury stock, shares, beginning of period | 601,289 | 601,289 | 702,449 | 795,758 | |
Changes related to stock-based compensation awards: | |||||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | (133,926) | (106,805) | (68,707) | ||
Release of restricted common shares | 19,174 | 32,082 | 10,452 | ||
Stock Issued During Period, Shares, Restricted Stock Award, Forfeited | 11,113 | 2,011 | 5,050 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period | (102) | (266) | |||
Shares Issued, Shares, Share-based Payment Arrangement, after Forfeiture | (5,130) | (16,544) | |||
Shares Issued, Shares, Share-based Payment Arrangement, before Forfeiture | (300) | ||||
Changes related to deferred compensation plan: | |||||
Purchase of treasury stock | 7,227 | 6,526 | 5,413 | ||
Disbursed out of treasury stock | (2,187) | (2,089) | (24,634) | ||
Stock Repurchased During Period, Shares | 6,300,000 | 26,427 | |||
Changes related to Board Compensation: | |||||
Common shares issued under compensation plan for Board of Directors | (6,755) | (4,699) | (9,092) | ||
Stock Issued During Period, Shares, Employee Stock Purchase Plans | (13,050) | (11,530) | (11,225) | ||
Changes related to stock issued in acquisitions: | |||||
Treasury stock, shares, end of period | 504,182 | 601,289 | 702,449 | ||
Treasury Stock, Common | |||||
Changes related to deferred compensation plan: | |||||
Proceeds from Sale of Treasury Stock | (10) | ||||
ASB Financial Corp. | Common Stock | |||||
Changes related to stock issued in acquisitions: | |||||
Stock Issued During Period, Shares, Acquisitions | 1,152,711 | ||||
FIRST PRESTONSBURG BANCSHARES INC. [Member] | Common Stock | |||||
Changes related to stock issued in acquisitions: | |||||
Stock Issued During Period, Shares, Acquisitions | 1,005,478 |
Stockholders' Equity (Accumulat
Stockholders' Equity (Accumulated Other Comprehensive (Loss) Income) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI, Debt Securities, Available-for-sale, Adjustment, after Tax | $ 5,300 | $ (10,082) | $ (2,088) | $ 581 |
Accumulated Other Comprehensive (Income) Loss, Defined Benefit Plan, after Tax | (3,958) | (3,711) | (4,256) | (3,321) |
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | (2,767) | 860 | 1,129 | 1,186 |
Accumulated other comprehensive loss, net of deferred income taxes | (1,425) | (12,933) | (5,215) | $ (1,554) |
Realized gain on sale of securities, net of tax | (130) | 115 | (1,939) | |
Realized loss due to settlement and curtailment, net of tax | 211 | 157 | ||
Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2018-02, available-for-sale investment securities | 370 | |||
Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2018-02, defined benefit plans | 754 | |||
Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2018-02, cash flow hedges | (200) | |||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 11,638 | (3,024) | (955) | |
Other comprehensive income (loss), net of reclassifications and tax | 15,512 | (3,089) | (360) | |
Other Comprehensive (Income) Loss, Defined Benefit Plan, before Reclassification Adjustment, after Tax | 247 | (334) | 338 | |
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | (3,627) | (269) | (257) | |
Amounts reclassified out of accumulated other comprehensive (loss) income per ASU 2016-01 | $ 0 | (5,020) | ||
Accounting Standards Update 2018-02 [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | $ (924) | |||
Accounting Standards Update 2016-01 [Member] | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | $ (5,020) |
Stockholders' Equity Dividends
Stockholders' Equity Dividends (Details) - $ / shares | 3 Months Ended | 12 Months Ended | ||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | |
Dividends [Abstract] | ||||||||||
Common Stock, Dividends, Per Share, Declared | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.30 | $ 0.30 | $ 0.28 | $ 0.28 | $ 0.26 | $ 1.32 | $ 1.12 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) | Jan. 01, 2020 | Dec. 31, 2022 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Defined Benefit Plan Disclosure | ||||||
Pension benefits to be amortized from accumulated other comprehensive income (loss) into net periodic cost over the next fiscal year | $ 123,000 | |||||
Ultimate Health Care Cost Trend Rate | 4.00% | |||||
Cash and Cash Equivalents | $ 115,193,000 | $ 77,612,000 | $ 72,194,000 | $ 66,146,000 | ||
Defined Contribution Plan, Employer Discretionary Contribution Amount | $ 2,000,000 | 1,700,000 | 1,500,000 | |||
Components of net periodic benefit costs: | ||||||
Defined Benefit Plan Health Care Cost Trend Rate Assumed | 5.00% | 4.00% | ||||
Pension benefits | ||||||
Defined Benefit Plan Disclosure | ||||||
Cash and Cash Equivalents | $ 257,000 | 680,000 | ||||
Accrued Investment Income Receivable | 2,000 | 58,000 | ||||
Components of net periodic benefit costs: | ||||||
Interest cost | 438,000 | 423,000 | 451,000 | |||
Expected return on plan assets | (782,000) | (640,000) | (553,000) | |||
Defined Benefit Plan, Amortization of Gain (Loss) | (78,000) | (104,000) | (102,000) | |||
Settlement of benefit obligation | 0 | 267,000 | 242,000 | |||
Net periodic (benefit) cost | $ (266,000) | $ 154,000 | $ 242,000 | |||
Discount rate | 4.20% | 3.55% | 3.80% | |||
Defined Benefit Plan, Assumptions Used Calculating Net Periodic Benefit Cost, Expected Long-term Rate of Return on Plan Assets | 7.50% | 7.50% | 7.50% | |||
Postretirement benefits | ||||||
Components of net periodic benefit costs: | ||||||
Interest cost | $ 3,000 | $ 3,000 | $ 3,000 | |||
Expected return on plan assets | 0 | 0 | 0 | |||
Defined Benefit Plan, Amortization of Gain (Loss) | 5,000 | 5,000 | 6,000 | |||
Settlement of benefit obligation | 0 | 0 | 0 | |||
Net periodic (benefit) cost | $ (3,000) | $ (2,000) | $ (3,000) | |||
Discount rate | 4.20% | 3.40% | 3.80% | |||
Defined Benefit Plan, Amortization of Prior Service Cost (Credit) | $ 1,000 | |||||
Postretirement benefits | Employees hired before January 1, 2003 | ||||||
Defined Benefit Plan Disclosure | ||||||
Contribution per eligible employee, coverage basis, consecutive period of highest average monthly compensation | 5 years | |||||
Contribution per eligible employee, coverage basis, lastest service period | 10 years | |||||
Postretirement benefits | Employees hired on or after January 1, 2003 | ||||||
Defined Benefit Plan Disclosure | ||||||
Percentage of annual contribution per eligible employee | 2.00% | |||||
Postretirement Health Coverage [Member] | Employees retired before January 1, 1993 | ||||||
Defined Benefit Plan Disclosure | ||||||
Maximum coverage per eligible retiree | 100.00% | |||||
Minimum | ||||||
Defined Benefit Plan Disclosure | ||||||
Defined Contribution Plan, Employer Matching Contribution, Percent | 4.00% | 3.00% | ||||
Defined Contribution Plan, Maximum Annual Contribution Per Employee, Percent | 4.00% | 3.00% | ||||
Components of net periodic benefit costs: | ||||||
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | $ 10,000 | |||||
Minimum | Equity investment securities (a) | ||||||
Defined Benefit Plan Disclosure | ||||||
Actual Plan Asset Allocations | 60.00% | |||||
Minimum | Investment securities | ||||||
Defined Benefit Plan Disclosure | ||||||
Actual Plan Asset Allocations | 2000.00% | |||||
Minimum | Other Investments [Member] | ||||||
Defined Benefit Plan Disclosure | ||||||
Actual Plan Asset Allocations | 0.00% | |||||
Maximum | ||||||
Defined Benefit Plan Disclosure | ||||||
Defined Contribution Plan, Maximum Annual Contribution Per Employee, Percent | 6.00% | 5.00% | ||||
Components of net periodic benefit costs: | ||||||
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | $ 15,000 | |||||
Maximum | Equity investment securities (a) | ||||||
Defined Benefit Plan Disclosure | ||||||
Actual Plan Asset Allocations | 75.00% | |||||
Maximum | Investment securities | ||||||
Defined Benefit Plan Disclosure | ||||||
Actual Plan Asset Allocations | 40.00% | |||||
Maximum | Other Investments [Member] | ||||||
Defined Benefit Plan Disclosure | ||||||
Actual Plan Asset Allocations | 15.00% |
Employee Benefit Plans (Changes
Employee Benefit Plans (Changes in Benefit Obligation, Fair Value of Assets and Funded Status) (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Change in plan assets: | ||||
Beginning balance | $ 9,496 | |||
Ending balance | 11,606 | $ 9,496 | ||
Amounts recognized in Accumulated Other Comprehensive Loss: | ||||
Total | 3,958 | 3,711 | $ 4,256 | $ 3,321 |
Pension benefits | ||||
Change in benefit obligation: | ||||
Beginning balance | 10,995 | 12,991 | ||
Interest cost | 438 | 423 | 451 | |
Plan participants’ contributions | 0 | 0 | ||
Actuarial loss (gain) | 1,696 | (1,519) | ||
Benefit payments | 461 | 197 | ||
Settlements | 0 | (703) | ||
Ending balance | 12,668 | 10,995 | 12,991 | |
Change in plan assets: | ||||
Beginning balance | 10,234 | 8,493 | ||
Actual return (loss) on plan assets | 2,093 | (554) | ||
Employer contributions | 0 | 3,195 | ||
Benefit payments | (461) | (197) | ||
Settlements | 0 | (703) | ||
Ending balance | 11,866 | 10,234 | 8,493 | |
Funded status at December 31 | (802) | (761) | ||
Amounts recognized in Consolidated Balance Sheets: | ||||
Accrued benefit liability | (802) | (761) | ||
Net amount recognized | (802) | (761) | ||
Amounts recognized in Accumulated Other Comprehensive Loss: | ||||
Unrecognized prior service cost | 0 | 0 | ||
Total | $ 4,004 | $ 3,761 | ||
Discount Rate | 4.20% | 3.55% | ||
Defined Benefit Plan, Accumulated Benefit Obligation | $ 12,668 | $ 10,995 | ||
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), Gain (Loss), before Tax | 4,004 | 3,761 | ||
Other Postretirement Benefit Plans, Defined Benefit [Member] | ||||
Change in benefit obligation: | ||||
Beginning balance | 83 | 91 | ||
Interest cost | 3 | 3 | 3 | |
Plan participants’ contributions | 121 | 46 | ||
Actuarial loss (gain) | 0 | 0 | ||
Benefit payments | 132 | 57 | ||
Settlements | 0 | 0 | ||
Ending balance | 75 | 83 | 91 | |
Change in plan assets: | ||||
Beginning balance | 0 | 0 | ||
Actual return (loss) on plan assets | 0 | 0 | ||
Employer contributions | 11 | 11 | ||
Benefit payments | (132) | (57) | ||
Settlements | 0 | 0 | ||
Ending balance | 0 | 0 | $ 0 | |
Funded status at December 31 | (75) | (83) | ||
Amounts recognized in Consolidated Balance Sheets: | ||||
Accrued benefit liability | (75) | (83) | ||
Net amount recognized | (75) | (83) | ||
Amounts recognized in Accumulated Other Comprehensive Loss: | ||||
Unrecognized prior service cost | 0 | (1) | ||
Total | $ (48) | $ (53) | ||
Discount Rate | 4.20% | 3.40% | ||
Defined Benefit Plan, Accumulated Benefit Obligation | $ 75 | $ 83 | ||
Defined Benefit Plan, Accumulated Other Comprehensive Income (Loss), Gain (Loss), before Tax | (48) | (52) | ||
Mutual funds - taxable income | ||||
Change in plan assets: | ||||
Beginning balance | 2,746 | |||
Ending balance | 3,163 | 2,746 | ||
Mutual Funds - Equity [Member] | ||||
Change in plan assets: | ||||
Beginning balance | 6,750 | |||
Ending balance | 8,443 | 6,750 | ||
Level 1 | Recurring Basis | ||||
Change in plan assets: | ||||
Beginning balance | 9,496 | |||
Ending balance | 11,606 | 9,496 | ||
Level 1 | Recurring Basis | Mutual funds - taxable income | ||||
Change in plan assets: | ||||
Beginning balance | 2,746 | |||
Ending balance | 3,163 | 2,746 | ||
Level 1 | Recurring Basis | Mutual Funds - Equity [Member] | ||||
Change in plan assets: | ||||
Beginning balance | 6,750 | |||
Ending balance | 8,443 | 6,750 | ||
Level 2 | Recurring Basis | ||||
Change in plan assets: | ||||
Beginning balance | 0 | |||
Ending balance | 0 | 0 | ||
Level 2 | Recurring Basis | Mutual funds - taxable income | ||||
Change in plan assets: | ||||
Beginning balance | 0 | |||
Ending balance | 0 | 0 | ||
Level 2 | Recurring Basis | Mutual Funds - Equity [Member] | ||||
Change in plan assets: | ||||
Beginning balance | 0 | |||
Ending balance | $ 0 | $ 0 |
Employee Benefit Plans (Cash Fl
Employee Benefit Plans (Cash Flows) (Details) | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Pension benefits | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2020 | $ 1,545,000 |
2021 | 1,610,000 |
2022 | 854,000 |
2023 | 775,000 |
2024 | 822,000 |
2025-2029 | 3,128,000 |
Total | 8,734,000 |
Other Postretirement Benefit Plans, Defined Benefit [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2020 | 11,000 |
2021 | 10,000 |
2022 | 9,000 |
2023 | 9,000 |
2024 | 8,000 |
2025-2029 | 26,000 |
Total | 73,000 |
Defined Benefit Plan, Amortization of Prior Service Cost (Credit) | 1,000 |
Minimum | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | 10,000 |
Maximum | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Defined Benefit Plan, Expected Future Employer Contributions, Next Fiscal Year | $ 15,000 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Valuation Allowance [Line Items] | |||||||||||
Operating Loss Carryforwards | $ 0 | $ 0 | |||||||||
Income tax expense | 2,767,000 | $ 3,281,000 | $ 2,238,000 | $ 3,377,000 | $ 2,470,000 | $ 2,821,000 | $ 1,012,000 | $ 2,383,000 | 11,663,000 | $ 8,686,000 | $ 18,732,000 |
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | 0 | (805,000) | |||||||||
Gain (Loss) on Sale of Equity Investments | 787,000,000 | 413,000,000 | |||||||||
Deferred Tax Liabilities, Investments | 82,000 | 82,000 | |||||||||
Deferred Tax Liabilities, Net | (921,000) | (921,000) | |||||||||
Federal Income Tax Expense on Securities Transactions | 31,000 | 1,000,000 | |||||||||
Available-for-sale securities | 0 | $ 2,678,000 | 0 | 2,678,000 | |||||||
Investments, Owned, Federal Income Tax Note [Line Items] | |||||||||||
Value of Equity Trading Securities Sold for Capital Gain | 6,700,000 | ||||||||||
Available-for-sale securities | |||||||||||
Valuation Allowance [Line Items] | |||||||||||
Deferred Tax Liabilities, Investments | $ 1,410,000 | 1,410,000 | |||||||||
Adjustments for New Accounting Pronouncement [Member] | |||||||||||
Valuation Allowance [Line Items] | |||||||||||
Income tax expense | 700,000 | 700,000 | $ 900,000 | ||||||||
Pension benefits | |||||||||||
Valuation Allowance [Line Items] | |||||||||||
Employer contributions | $ 0 | $ 3,195,000 |
Income Taxes (Effective Tax Rat
Income Taxes (Effective Tax Rate) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Amount | |||||||||||
Income tax computed at statutory federal corporate income tax rate | $ 13,725 | $ 11,505 | $ 20,045 | ||||||||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | 0 | (805) | |||||||||
Tax-exempt interest income | (659) | (554) | (1,092) | ||||||||
Effective Income Tax Rate Reconciliation, Tax Credit, Investment, Amount | (530) | (125) | (221) | ||||||||
Other, net | (228) | 95 | (60) | ||||||||
Income tax expense | $ 2,767 | $ 3,281 | $ 2,238 | $ 3,377 | $ 2,470 | $ 2,821 | $ 1,012 | $ 2,383 | $ 11,663 | $ 8,686 | $ 18,732 |
Effective Income Tax Rate Reconciliation, Percent | 17.80% | 15.90% | 32.70% | ||||||||
Rate | |||||||||||
Federal income tax rate | 21.00% | 21.00% | 35.00% | ||||||||
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Percent | 0.00% | (1.50%) | |||||||||
Tax-exempt interest income | (1.00%) | (1.00%) | (1.90%) | ||||||||
Bank owned life insurance | (0.80%) | (0.70%) | (1.20%) | ||||||||
Effective Income Tax Rate Reconciliation, Tax Credit, Investment, Percent | (0.80%) | (0.20%) | (0.40%) | ||||||||
Other, net | (0.40%) | 0.20% | (0.10%) | ||||||||
Tax Cuts and Jobs Act, Income Tax Expense (Benefit) | $ (705) | $ 897 | |||||||||
Effective Income Tax Rate Reconciliation, Tax Cuts and Jobs Act, Percent | (0.013) | 0.016 | |||||||||
Bank owned life insurance [Member] | |||||||||||
Amount | |||||||||||
Bank owned life insurance | $ (510) | $ (393) | $ (683) | ||||||||
Tax cuts and jobs act [Member] | |||||||||||
Amount | |||||||||||
Other, net | $ 0 | ||||||||||
Rate | |||||||||||
Other, net | 0.00% | ||||||||||
Award Type [Member] | |||||||||||
Amount | |||||||||||
Other, net | $ (135) | $ (332) | $ (154) | ||||||||
Rate | |||||||||||
Other, net | (0.20%) | (0.60%) | (0.30%) |
Income Taxes (Income Tax Expens
Income Taxes (Income Tax Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||||||||||
Current income tax expense | $ 11,554 | $ 8,995 | $ 21,511 | ||||||||
Deferred income tax expense (benefit) | 109 | (309) | (2,779) | ||||||||
Income tax expense | $ 2,767 | $ 3,281 | $ 2,238 | $ 3,377 | $ 2,470 | $ 2,821 | $ 1,012 | $ 2,383 | $ 11,663 | $ 8,686 | $ 18,732 |
Income Taxes (Deferred Tax Asse
Income Taxes (Deferred Tax Assets and Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Investments, Owned, Federal Income Tax Note [Line Items] | ||
Allowance for loan losses | $ 9,714 | $ 8,559 |
Available-for-sale securities | 0 | 2,678 |
Accrued employee benefits | 2,039 | 1,843 |
Deferred tax asset lease liabilities under operating leases | 1,640 | |
Tax credit investments | 1,130 | 805 |
Deferred Tax Assets, Derivative Instruments | 736 | |
Other | 14 | 73 |
Deferred Tax Assets, Net of Valuation Allowance | 15,273 | 13,958 |
Other | 797 | 673 |
Bank premises and equipment (a) | 3,300 | 2,047 |
Deferred loan income | 3,120 | 3,061 |
Deferred tax liability, right-of-use assets, under operating leases | 1,597 | |
Deferred Tax Liabilities, Investments | 82 | |
Derivative instruments | 0 | 228 |
Deferred Tax Liabilities, Gross | 16,194 | 11,930 |
Deferred Tax Liabilities, Net | (921) | |
Deferred Tax Assets, Net | 2,028 | |
Available-for-sale securities | ||
Investments, Owned, Federal Income Tax Note [Line Items] | ||
Deferred Tax Liabilities, Investments | 1,410 | |
Purchase accounting adjustments | ||
Investments, Owned, Federal Income Tax Note [Line Items] | ||
Other | $ 5,970 | $ 5,839 |
Income Taxes (Uncertain Tax Pos
Income Taxes (Uncertain Tax Positions) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Uncertain tax positions, beginning of year | $ 423 | $ 550 |
Gross increase based on tax positions related to current year | 39 | 55 |
Gross increase for tax position taken during prior years | 8 | 13 |
Gross decrease due to the statute of limitations | (220) | (195) |
Uncertain tax positions, end of year | $ 250 | $ 423 |
Income Taxes (Valuation Allowan
Income Taxes (Valuation Allowance) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income tax expense | $ 2,767 | $ 3,281 | $ 2,238 | $ 3,377 | $ 2,470 | $ 2,821 | $ 1,012 | $ 2,383 | $ 11,663 | $ 8,686 | $ 18,732 |
Related tax (expense) benefit | (34) | 31 | (1,044) | ||||||||
Adjustments for New Accounting Pronouncement [Member] | |||||||||||
Income tax expense | $ 700 | $ 700 | $ 900 |
Earnings Per Common Share (Calc
Earnings Per Common Share (Calculations of Basic and Diluted Earnings per Common Share) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |||||||||||
Distributed earnings allocated to common shareholders | $ 26,503 | $ 21,334 | $ 15,159 | ||||||||
Undistributed earnings allocated to common shareholders | 26,796 | 24,660 | 23,115 | ||||||||
Net earnings allocated to common shareholders | $ 53,299 | $ 45,994 | $ 38,274 | ||||||||
Weighted-average number of common shares outstanding – basic | 20,407,505 | 20,415,245 | 20,277,028 | 19,366,008 | 19,337,403 | 19,325,457 | 19,160,728 | 18,126,089 | 20,120,119 | 18,991,768 | 18,050,189 |
Effect of potentially dilutive common shares | 153,606 | 130,492 | 158,495 | ||||||||
Total weighted-average diluted common shares outstanding | 20,599,127 | 20,595,769 | 20,442,366 | 19,508,868 | 19,483,452 | 19,466,865 | 19,293,381 | 18,256,035 | 20,273,725 | 19,122,260 | 18,208,684 |
Earnings per common share – basic | $ 0.72 | $ 0.72 | $ 0.47 | $ 0.74 | $ 0.71 | $ 0.65 | $ 0.41 | $ 0.64 | $ 2.65 | $ 2.42 | $ 2.12 |
Earnings per common share – diluted | $ 0.72 | $ 0.72 | $ 0.46 | $ 0.73 | $ 0.71 | $ 0.65 | $ 0.41 | $ 0.64 | $ 2.63 | $ 2.41 | $ 2.10 |
Antidilutive Securities Excluded from Computation of Earnings Per Share | |||||||||||
Restricted shares, stock options and stock appreciation rights | 0 | 1,748 | 453 |
Derivative Financial Instrume_3
Derivative Financial Instrument (Details) | 12 Months Ended | |
Dec. 31, 2019USD ($)contract | Dec. 31, 2018USD ($) | |
Derivative [Line Items] | ||
Derivative, Average Fixed Interest Rate | 2.18% | 2.37% |
Derivative, Average Variable Interest Rate | 1.73% | 2.57% |
Derivative, Gain (Loss) on Derivative, Net | $ (3,503,000) | $ 1,088,000 |
Unrealized Gain (Loss) on Interest Rate Cash Flow Hedges, Pretax, Accumulated Other Comprehensive Income (Loss) | 4,591,000 | 341,000 |
Gain (Loss) on Interest Rate Cash Flow Hedge Ineffectiveness | (19,000) | 18,000 |
Interest Rate Contract [Member] | ||
Derivative [Line Items] | ||
Derivative assets (b) | 10,776,000 | 2,451,000 |
Derivative liabilities (c) | 10,776,000 | 2,451,000 |
Derivative Asset, Notional Amount | 321,394,000 | 226,662,000 |
Derivative Liability, Notional Amount | $ 321,394,000 | 226,662,000 |
Interest Rate Swap | ||
Derivative [Line Items] | ||
Derivative, Number of Instruments Held | contract | 17 | |
Derivative Asset, Notional Amount | $ 55,000,000 | 60,000,000 |
Derivative Liability, Notional Amount | 105,000,000 | 50,000,000 |
Other Assets [Member] | Interest Rate Swap | ||
Derivative [Line Items] | ||
Derivative assets (b) | 644,000 | 2,093,000 |
Liability [Member] | Interest Rate Swap | ||
Derivative [Line Items] | ||
Derivative liabilities (c) | $ 4,340,000 | $ 1,111,000 |
Derivative Financial Instrume_4
Derivative Financial Instrument Interest Rate Swaps (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Derivative [Line Items] | ||
Derivative, Average Fixed Interest Rate | 2.18% | 2.37% |
Derivative, Average Variable Interest Rate | 1.73% | 2.57% |
Derivative, Average Remaining Maturity | 5 years 4 months 24 days | 6 years 2 months 12 days |
Derivative, Gain (Loss) on Derivative, Net | $ (3,503) | $ 1,088 |
Interest Rate Swap | ||
Derivative [Line Items] | ||
Restricted Cash | 20,000 | 0 |
Interest Rate Swap | ||
Derivative [Line Items] | ||
Derivative, Notional Amount | $ 160,000 | $ 110,000 |
Derivative Financial Instrume_5
Derivative Financial Instrument Derivatives in Accumulated Other Comprehensive Income (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Derivative [Line Items] | ||
Unrealized Gain (Loss) on Interest Rate Cash Flow Hedges, Pretax, Accumulated Other Comprehensive Income (Loss) | $ 4,591,000 | $ 341,000 |
Gain (Loss) on Interest Rate Cash Flow Hedge Ineffectiveness | $ (19,000) | $ 18,000 |
Derivative Financial Instrume_6
Derivative Financial Instrument Cash Flow Hedges (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Derivative [Line Items] | ||
cash pledged to Peoples from counterparties | $ 0 | $ 130,000,000 |
Maximum Length of Time Hedged in Interest Rate Cash Flow Hedge | 10 years | |
Reclassifications into Interest expense on cash flow hedge | $ 133,000 | 38,000 |
Federal Home Loan Bank Borrowings [Member] | ||
Derivative [Line Items] | ||
Derivative, Notional Amount | 110,000,000 | |
Brokered CD's | ||
Derivative [Line Items] | ||
Derivative, Notional Amount | 50,000,000 | |
Interest Rate Swap | ||
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | 55,000,000 | 60,000,000 |
Derivative Liability, Notional Amount | 105,000,000 | 50,000,000 |
Derivative, Notional Amount | 160,000,000 | 110,000,000 |
Interest Rate Contract [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | 321,394,000 | 226,662,000 |
Derivative Liability, Notional Amount | 321,394,000 | 226,662,000 |
Derivative liabilities (c) | 10,776,000 | 2,451,000 |
Derivative assets (b) | 10,776,000 | 2,451,000 |
Other Assets [Member] | Interest Rate Swap | ||
Derivative [Line Items] | ||
Derivative assets (b) | 644,000 | 2,093,000 |
Liability [Member] | Interest Rate Swap | ||
Derivative [Line Items] | ||
Derivative liabilities (c) | $ 4,340,000 | $ 1,111,000 |
Financial Instruments with Of_3
Financial Instruments with Off-Balance Sheet Risk (Loan Commitments and Standby Letters of Credit) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loan Commitments and Standby Letters of Credit [Line Items] | ||
Contractual Loan Commitments | $ 15,000 | |
Unused Commitments to Extend Credit | 568,092 | $ 490,270 |
Standby letters of credit | 12,498 | 10,214 |
Home equity lines of credit | ||
Loan Commitments and Standby Letters of Credit [Line Items] | ||
Unused Commitments to Extend Credit | 112,464 | 101,265 |
Construction | ||
Loan Commitments and Standby Letters of Credit [Line Items] | ||
Unused Commitments to Extend Credit | 102,491 | 74,734 |
Other loan commitments | ||
Loan Commitments and Standby Letters of Credit [Line Items] | ||
Unused Commitments to Extend Credit | $ 353,137 | $ 314,271 |
Regulatory Matters (Details)
Regulatory Matters (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Regulatory Capital Requirements [Line Items] | ||
Required Reserve Balances with Federal Reserve Bank | $ 16,500,000 | $ 16,400,000 |
Statutory Accounting Practices, Statutory Amount Available for Dividend Payments without Regulatory Approval | 70,900,000 | |
Holding Company | ||
Regulatory Capital Requirements [Line Items] | ||
Common Equity Tier One Capital | $ 427,415,000 | $ 378,855,000 |
Common Equity Tier 1 Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 4.50% | 4.50% |
Common Equity Tier 1 Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 6.50% | 6.50% |
Tier One Risk Based Capital | $ 434,866,000 | $ 386,138,000 |
Tier One Risk Based Capital to Risk Weighted Assets | 14.84% | 13.92% |
Tier One Risk Based Capital Required for Capital Adequacy | $ 175,821,000 | $ 166,403,000 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 6.00% | 6.00% |
Tier One Risk Based Capital Required to be Well Capitalized | $ 234,428,000 | $ 221,871,000 |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 8.00% | 8.00% |
Capital | $ 456,422,000 | $ 406,333,000 |
Capital to Risk Weighted Assets | 15.58% | 14.65% |
Capital Required for Capital Adequacy | $ 234,428,000 | $ 221,871,000 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 8.00% | 8.00% |
Capital Required to be Well Capitalized | $ 293,036,000 | $ 277,338,000 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Tier One Leverage Capital | $ 434,866,000 | $ 386,138,000 |
Tier One Leverage Capital to Average Assets | 10.41% | 9.99% |
Tier One Leverage Capital Required for Capital Adequacy | $ 167,037,000 | $ 154,614,000 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets | 4.00% | 4.00% |
Tier One Leverage Capital Required to be Well Capitalized | $ 208,796,000 | $ 193,267,000 |
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | 5.00% | 5.00% |
Regulatory Capital Conservation Buffer | $ 221,994,000 | $ 184,462,000 |
Regulatory Capital Conservation Buffer Ratio | 0.0758 | 0.0665 |
Risk Weighted Assets | 2,930,355,000 | 2,773,383,000 |
Common Equity Tier One Capital Required for Capital Adequacy | 131,866,000 | 124,802,000 |
Common Equity Tier One Capital Required to be Well-Capitalized | $ 190,473,000 | $ 180,270,000 |
Common Equity Tier One Capital Ratio | 14.59% | 13.66% |
Bank | ||
Regulatory Capital Requirements [Line Items] | ||
Common Equity Tier One Capital | $ 406,612,000 | $ 365,063,000 |
Common Equity Tier 1 Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 4.50% | 4.50% |
Common Equity Tier 1 Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 6.50% | 6.50% |
Tier One Risk Based Capital | $ 406,612,000 | $ 365,063,000 |
Tier One Risk Based Capital to Risk Weighted Assets | 13.89% | 13.19% |
Tier One Risk Based Capital Required for Capital Adequacy | $ 175,676,000 | $ 166,069,000 |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 6.00% | 6.00% |
Tier One Risk Based Capital Required to be Well Capitalized | $ 234,235,000 | $ 221,425,000 |
Tier One Risk Based Capital Required to be Well Capitalized to Risk Weighted Assets | 8.00% | 8.00% |
Capital | $ 428,168,000 | $ 385,258,000 |
Capital to Risk Weighted Assets | 14.62% | 13.92% |
Capital Required for Capital Adequacy | $ 234,235,000 | $ 221,425,000 |
Capital Required for Capital Adequacy to Risk Weighted Assets | 8.00% | 8.00% |
Capital Required to be Well Capitalized | $ 292,794,000 | $ 276,781,000 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Tier One Leverage Capital | $ 406,612,000 | $ 365,063,000 |
Tier One Leverage Capital to Average Assets | 9.75% | 9.46% |
Tier One Leverage Capital Required for Capital Adequacy | $ 166,898,000 | $ 154,357,000 |
Tier One Leverage Capital Required for Capital Adequacy to Average Assets | 4.00% | 4.00% |
Tier One Leverage Capital Required to be Well Capitalized | $ 208,622,000 | $ 192,947,000 |
Tier One Leverage Capital Required to be Well Capitalized to Average Assets | 5.00% | 5.00% |
Regulatory Capital Conservation Buffer | $ 193,933,000 | $ 163,833,000 |
Regulatory Capital Conservation Buffer Ratio | 0.0662 | 0.0592 |
Risk Weighted Assets | 2,927,941,000 | 2,767,813,000 |
Common Equity Tier One Capital Required for Capital Adequacy | 131,757,000 | 124,552,000 |
Common Equity Tier One Capital Required to be Well-Capitalized | $ 190,316,000 | $ 179,908,000 |
Common Equity Tier One Capital Ratio | 13.89% | 13.19% |
Minimum | Holding Company | ||
Regulatory Capital Requirements [Line Items] | ||
Regulatory Capital Conservation Buffer | $ 73,259,000 | $ 69,335,000 |
Regulatory Capital Conservation Buffer Ratio | 0.0250 | 0.0250 |
Minimum | Bank | ||
Regulatory Capital Requirements [Line Items] | ||
Regulatory Capital Conservation Buffer | 73,199,000 | 69,195,000 |
Regulatory Capital Conservation Buffer Ratio | $ 0.0250 | $ 0.0250 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares authorized under 2006 Equity Plan | 891,340 | |||
Common shares authorized under the 2006 Equity Plan | 500,000 | |||
Unrecognized stock-based compensation expense related to unvested awards, amount | $ 2,800,000 | |||
Unrecognized stock-based compensation expense related to unvested awards, weighted-average period of recognition | 1 year 10 months 24 days | |||
Common shares issued under compensation plan for Board of Directors | $ 313,000 | $ 298,000 | $ 295,000 | |
Share-based Payment Arrangement, Expense | 3,963,000 | 2,920,000 | 2,124,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Shares Issued in Period | 3,200 | |||
Share-based Payment Arrangement, Expense, Tax Benefit | 832,000 | 613,000 | 446,000 | |
Share-based Payment Arrangement, Expense, after Tax | 3,131,000 | 2,307,000 | 1,678,000 | |
Treasury Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Common shares issued under compensation plan for Board of Directors | 235,000 | 194,000 | 207,000 | |
Stock-based compensation | 0 | |||
Restricted Shares | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total intrinsic value of awards released in period | $ 1,800,000 | 2,800,000 | 1,100,000 | |
Restricted Shares | Employees | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards expiration period | 1 year | |||
Restricted Shares | Employees | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awards expiration period | 5 years | |||
Performance-based vesting restricted stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awarded | 117,773 | |||
Time-based vesting restricted stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Awarded | 16,153 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Shares Issued in Period | 16,153 | |||
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Expense | $ 3,462,000 | 2,359,000 | 1,747,000 | |
Employee Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Expense | $ 63,000 | $ 60,000 | $ 55,000 |
Stock-Based Compensation (Restr
Stock-Based Compensation (Restricted Shares) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Weighted - Average Grant Date Fair Value | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Shares Issued in Period | 3,200 | |||
Share-based Payment Arrangement, Expense | $ 3,963 | $ 2,920 | $ 2,124 | |
Performance-based vesting restricted stock [Member] | ||||
Number of Shares | ||||
Outstanding at January 1 (in shares) | 175,772 | 175,772 | ||
Awarded | 117,773 | |||
Released | 33,400 | |||
Forfeited (in shares) | 6,261 | |||
Outstanding at December 31 (in shares) | 253,884 | 175,772 | ||
Weighted - Average Grant Date Fair Value | ||||
Outstanding at January 1 (in dollars per share) | $ 31.08 | $ 31.08 | ||
Awarded (usd per share) | 32.20 | |||
Released (usd per share) | 17.86 | |||
Forfeited (in dollars per share) | 33.21 | |||
Outstanding at December 31 (in dollars per share) | $ 33.29 | $ 31.08 | ||
Time-based vesting restricted stock [Member] | ||||
Number of Shares | ||||
Outstanding at January 1 (in shares) | 43,679 | 43,679 | ||
Awarded | 16,153 | |||
Released | 22,750 | |||
Forfeited (in shares) | 4,852 | |||
Outstanding at December 31 (in shares) | 32,230 | 43,679 | ||
Weighted - Average Grant Date Fair Value | ||||
Outstanding at January 1 (in dollars per share) | $ 29.64 | $ 29.64 | ||
Awarded (usd per share) | 31.35 | |||
Released (usd per share) | 24.73 | |||
Forfeited (in dollars per share) | 35.87 | |||
Outstanding at December 31 (in dollars per share) | $ 33.05 | $ 29.64 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Shares Issued in Period | 16,153 | |||
Performance Shares [Member] | ||||
Weighted - Average Grant Date Fair Value | ||||
Share-based Payment Arrangement, Expense | $ 3,462 | $ 2,359 | $ 1,747 |
Stock-Based Compensation (Stock
Stock-Based Compensation (Stock-Based Compensation and Related Tax Benefit) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Shares Issued in Period | 3,200 | |||
Share-based Payment Arrangement, Expense | $ 3,963,000 | $ 2,920,000 | $ 2,124,000 | |
Total stock-based compensation | 3,963,000 | 2,920,000 | 2,124,000 | |
Recognized tax benefit | (832,000) | (613,000) | (446,000) | |
Performance Shares [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Expense | 3,462,000 | 2,359,000 | 1,747,000 | |
Total stock-based compensation | 3,462,000 | 2,359,000 | 1,747,000 | |
Non-employee directors | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Expense | 308,000 | 345,000 | 322,000 | |
Total stock-based compensation | 308,000 | 345,000 | 322,000 | |
Restricted Stock Units (RSUs) | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Expense | 130,000 | 156,000 | 0 | |
Total stock-based compensation | 130,000 | 156,000 | 0 | |
Employees | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Payment Arrangement, Expense | 3,655,000 | 2,575,000 | 1,802,000 | |
Total stock-based compensation | 3,655,000 | $ 2,575,000 | 1,802,000 | |
Treasury Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation | $ 0 | |||
Treasury Stock | Director [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation | $ 102,400 |
Stock-Based Compensation Perfor
Stock-Based Compensation Performance Unit Awards (Details) $ in Millions | Dec. 31, 2019USD ($) |
Performance Unit Awards [Abstract] | |
Maximum Aggregate Value of Performance Unit Award Outstanding | $ 1.3 |
Revenue (Details)
Revenue (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2018 | |
Revenue Recognition and Deferred Revenue [Abstract] | ||||
Commission and fees from sale of insurance policies | $ 12,670 | $ 12,787 | ||
Cumulative Effect on Retained Earnings, Net of Tax | $ 3,700 | |||
Deferred Revenue | 5,190 | $ 5,055 | ||
Revenues | $ 404 |
Revenue Revenue from Contract w
Revenue Revenue from Contract with Customers (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Commission and fees from sale of insurance policies | $ 12,670 | $ 12,787 | |
Fees related to third party insurance administration services | 602 | 573 | |
Performance-based insurance commissions | 1,530 | 1,452 | |
Interchange electronic banking income | 10,797 | 9,721 | |
Promotional and usage electronic banking income | 2,883 | 1,756 | |
Ongoing maintenance fees for deposit accounts | 3,832 | 2,718 | |
Transactional-based fees for deposit accounts | 7,868 | 7,060 | |
Transactional-based fees included in other non-interest income | 716 | 961 | |
Revenue from Contract with Customer, Excluding Assessed Tax | 56,285 | 50,252 | |
Fiduciary and Trust [Member] | |||
Commercial loan swap fees | 13,159 | 12,543 | $ 11,558 |
Interest Rate Swap | transaction fee [Member] | |||
Commercial loan swap fees | 2,228 | 681 | $ 1,232 |
Transferred over Time [Member] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | 43,943 | 40,098 | |
Transferred at Point in Time [Member] | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 12,342 | $ 10,154 |
Revenue Contract Assets and Lia
Revenue Contract Assets and Liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Jan. 01, 2018 | |
Revenue Recognition and Deferred Revenue [Abstract] | ||
Revenues | $ 404 | |
Deferred Revenue, Additions | 4,525 | |
Increase (Decrease) in Deferred Revenue | (11) | |
Deferred Revenue, Revenue Recognized | 4,390 | |
Accrued Fees and Other Revenue Receivable | 600 | $ 207 |
Balance, December 31, 2019 | $ 5,190 |
Acquisitions (Details)
Acquisitions (Details) - USD ($) | Jan. 01, 2020 | Apr. 12, 2019 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Jun. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Apr. 13, 2018 |
Business Acquisition [Line Items] | |||||||||||||||
Trade and Loans Receivables Held-for-sale, Net, Not Part of Disposal Group | $ 6,499,000 | $ 5,470,000 | $ 6,499,000 | $ 5,470,000 | |||||||||||
Bank owned life insurance | 69,722,000 | 68,934,000 | 69,722,000 | 68,934,000 | |||||||||||
Goodwill | 165,701,000 | 151,245,000 | 165,701,000 | 151,245,000 | $ 133,111,000 | ||||||||||
Noninterest Expense | 137,250,000 | 125,977,000 | 107,975,000 | ||||||||||||
Net loss on asset disposals and other transactions | (229,000) | $ (78,000) | $ (293,000) | $ (182,000) | (15,000) | $ 12,000 | $ (405,000) | $ 74,000 | (782,000) | (334,000) | (63,000) | ||||
Salaries and employee benefit costs | 77,860,000 | 69,308,000 | 60,276,000 | ||||||||||||
Professional fees | 7,095,000 | 7,862,000 | 6,575,000 | ||||||||||||
Data processing and software expense | 6,332,000 | 5,419,000 | 4,441,000 | ||||||||||||
Other non-interest expense | 13,886,000 | 13,746,000 | 8,536,000 | ||||||||||||
Cash and due from banks | 53,263,000 | 61,775,000 | 53,263,000 | 61,775,000 | |||||||||||
Interest-bearing deposits in other banks | 61,930,000 | $ 15,837,000 | 61,930,000 | 15,837,000 | |||||||||||
Share-based Payment Arrangement, Expense | 3,963,000 | 2,920,000 | 2,124,000 | ||||||||||||
Non-employee directors | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Share-based Payment Arrangement, Expense | 308,000 | $ 345,000 | $ 322,000 | ||||||||||||
FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Business Acquisition, Share Price | $ 32.26 | ||||||||||||||
Common share consideration | $ 32,437,000 | ||||||||||||||
Business Combination, Consideration Transferred | $ 32,400,000 | $ 43,700,000 | |||||||||||||
Cash and due from banks | 7,813,000 | ||||||||||||||
Bank premises and equipment, net of accumulated depreciation | 7,407,000 | ||||||||||||||
Other intangible assets | 4,234,000 | ||||||||||||||
Other assets | 2,415,000 | ||||||||||||||
Total assets | 290,907,000 | ||||||||||||||
Deposits | 257,240,000 | ||||||||||||||
Short-term borrowings | 14,400,000 | ||||||||||||||
Accrued expenses and other liabilities | 1,286,000 | ||||||||||||||
Total liabilities | 272,926,000 | ||||||||||||||
Net assets | 17,981,000 | ||||||||||||||
Goodwill | $ 14,456,000 | $ 18,100,000 | |||||||||||||
Shares, Outstanding | 80,362,000 | ||||||||||||||
Goodwill, Purchase Accounting Adjustments | 793,000 | ||||||||||||||
Noninterest Expense | 7,300,000 | ||||||||||||||
Net loss on asset disposals and other transactions | 243,000 | ||||||||||||||
Salaries and employee benefit costs | 2,400,000 | ||||||||||||||
Professional fees | 631,000,000 | ||||||||||||||
Data processing and software expense | 94,000 | ||||||||||||||
Marketing Expense | 162,000 | ||||||||||||||
Other non-interest expense | $ 3,900,000 | ||||||||||||||
Cash and due from banks | $ 5,016,000 | ||||||||||||||
Interest-bearing deposits in other banks | $ 2,797,000 | ||||||||||||||
Common Shares Issued in Business Combination | 12.512 | ||||||||||||||
Business Acquisition Cost of Acquired Entity Purchase Price Total | $ 11,300,000 | ||||||||||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 12.512 | ||||||||||||||
FIRST PRESTONSBURG BANCSHARES INC. [Member] | Common Stock | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Stock Issued During Period, Shares, Acquisitions | 1,005,478 | ||||||||||||||
FIRST PRESTONSBURG BANCSHARES INC. [Member] | Non-interest-bearing deposits [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Deposits | $ 40,089,000 | ||||||||||||||
FIRST PRESTONSBURG BANCSHARES INC. [Member] | Interest-bearing Deposits [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Deposits | 217,151,000 | ||||||||||||||
ASB Financial Corp. | Common Stock | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Stock Issued During Period, Shares, Acquisitions | 1,152,711 | ||||||||||||||
Sciotoville OH Insurance Agency Member [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Business Combination, Consideration Transferred | $ 866,000 | ||||||||||||||
Cash [Member] | FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Business Combination, Consideration Transferred | $ 140.30 | ||||||||||||||
Property, Plant and Equipment [Member] | FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Goodwill, Purchase Accounting Adjustments | (190,000) | ||||||||||||||
Other Assets [Member] | FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Goodwill, Purchase Accounting Adjustments | 208,000 | ||||||||||||||
Other Liabilities [Member] | FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Goodwill, Purchase Accounting Adjustments | (775,000) | ||||||||||||||
Available-for-sale securities | FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Fair value | 136,596,000 | ||||||||||||||
Investment in Federal Home Loan Bank Stock [Member] | FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Fair value | 3,077,000 | ||||||||||||||
Investment securities | FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Fair value | 139,673,000 | ||||||||||||||
Loans [Member] | FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Fair value | $ 129,365,000 | ||||||||||||||
Bank Overdrafts [Member] | FIRST PRESTONSBURG BANCSHARES INC. [Member] | |||||||||||||||
Business Acquisition [Line Items] | |||||||||||||||
Fair value | $ 375,000 | $ 375,000 |
Acquisitions Acquired loans (De
Acquisitions Acquired loans (Details) - FIRST PRESTONSBURG BANCSHARES INC. [Member] - USD ($) $ in Thousands | Apr. 12, 2019 | Dec. 31, 2019 |
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 12.512 | |
Financial Asset Acquired and No Credit Deterioration [Member] | ||
Contractual cash flows | $ 168,729 | |
Nonaccretable difference | 19,745 | |
Expected cash flows | 148,984 | |
Fair value | 120,715 | |
Certain Loans Acquired in Transfer, Accretable Yield | 28,269 | |
Financial Asset Acquired with Credit Deterioration [Member] | ||
Nonaccretable difference | 5,337 | |
Contractual cash flows | 17,847 | |
Expected cash flows | 12,510 | |
Accretable yield | 3,860 | |
Fair value | $ 8,650 |
Parent Company Only Financial_3
Parent Company Only Financial Information (Condensed Balance Sheet) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||||
Cash and due from banks | $ 53,263 | $ 61,775 | ||
Due from subsidiary bank | 140 | 584 | ||
Total available-for-sale securities | 936,101 | 791,891 | ||
Other assets | 60,855 | 40,391 | ||
Total assets | 4,354,165 | 3,991,454 | ||
Liabilities | ||||
Accrued expenses and other liabilities | 68,260 | 50,007 | ||
Total liabilities | 3,759,772 | 3,471,314 | ||
Common stockholders' equity | 594,393 | 520,140 | $ 458,592 | $ 435,261 |
Total liabilities and stockholders' equity | 4,354,165 | 3,991,454 | ||
Bank | ||||
Assets | ||||
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 573,429 | 506,200 | ||
Non-Bank | ||||
Assets | ||||
Investments in and Advance to Affiliates, Subsidiaries, Associates, and Joint Ventures | 9,418 | 8,298 | ||
Holding Company | ||||
Assets | ||||
Cash and due from banks | 50 | 50 | ||
Interest-bearing deposits in subsidiary bank | 20,094 | 13,750 | ||
Other investment securities | 237 | 216 | ||
Other assets | 3,067 | 2,808 | ||
Total assets | 606,435 | 531,906 | ||
Liabilities | ||||
Accrued expenses and other liabilities | 1,955 | 1,898 | ||
Dividends payable | 342 | 291 | ||
Junior subordinated debt securities | 9,745 | 9,577 | ||
Total liabilities | 12,042 | 11,766 | ||
Common stockholders' equity | 594,393 | 520,140 | ||
Total liabilities and stockholders' equity | $ 606,435 | $ 531,906 |
Parent Company Only Financial_4
Parent Company Only Financial Information (Condensed Statements of Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Financial Statements | |||||||||||
Net gain on investment securities | $ 94 | $ 97 | $ (57) | $ 30 | $ 0 | $ 0 | $ (147) | $ 1 | $ 164 | $ (146) | $ 2,983 |
Total interest income | 170,095 | 151,264 | 126,525 | ||||||||
Other expense | 32,568 | 31,841 | 31,282 | 30,913 | 29,713 | 29,292 | 29,054 | 27,318 | |||
Applicable income tax expense | 2,767 | 3,281 | 2,238 | 3,377 | 2,470 | 2,821 | 1,012 | 2,383 | 11,663 | 8,686 | 18,732 |
Net income | $ 14,860 | $ 14,868 | $ 9,598 | $ 14,369 | $ 13,897 | $ 12,725 | $ 7,892 | $ 11,741 | 53,695 | 46,255 | 38,471 |
Bank | |||||||||||
Condensed Financial Statements | |||||||||||
Dividends from subsidiary bank | 37,000 | 13,500 | 27,000 | ||||||||
Non-Bank | |||||||||||
Condensed Financial Statements | |||||||||||
Dividends from subsidiary bank | 0 | 2,500 | 20,000 | ||||||||
Holding Company | |||||||||||
Condensed Financial Statements | |||||||||||
Net gain on investment securities | 0 | 0 | 2,602 | ||||||||
Interest and other income | 81 | 357 | 237 | ||||||||
Total interest income | 37,081 | 16,357 | 49,839 | ||||||||
Interest on junior subordinated debentures held by subsidiary trust | 534 | 520 | 346 | ||||||||
Payment for Administrative Fees | 1,607 | 1,561 | 1,361 | ||||||||
Other expense | 5,432 | 4,647 | 3,380 | ||||||||
Total expense | 7,573 | 6,728 | 5,087 | ||||||||
Income before federal income taxes and equity in undistributed earnings of subsidiaries | 29,508 | 9,629 | 44,752 | ||||||||
Applicable income tax expense | (1,670) | (2,511) | (1,309) | ||||||||
Equity in (excess dividends from) undistributed earnings of subsidiaries | 22,517 | 34,115 | (7,590) | ||||||||
Net income | $ 53,695 | $ 46,255 | $ 38,471 |
Parent Company Only Financial_5
Parent Company Only Financial Information (Statement of Cash Flow) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Operating activities: | ||||||||||||
Net income | $ 14,860 | $ 14,868 | $ 9,598 | $ 14,369 | $ 13,897 | $ 12,725 | $ 7,892 | $ 11,741 | $ 53,695 | $ 46,255 | $ 38,471 | |
Depreciation, amortization and accretion, net | 17,861 | 18,204 | 18,142 | |||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||
Gain on investment securities | (94) | $ (97) | $ 57 | (30) | 0 | $ 0 | $ 147 | (1) | (164) | 146 | (2,983) | |
Net cash provided by operating activities | 67,157 | 75,243 | 61,027 | |||||||||
Investing activities: | ||||||||||||
Business acquisitions, net of cash received | 7,814 | 4,695 | (1,069) | |||||||||
Financing activities: | ||||||||||||
Payments on long-term borrowings | (3,501) | (4,591) | (5,738) | |||||||||
Proceeds from issuance of common shares | 6 | 25 | 9 | |||||||||
Cash dividends paid | (25,942) | (20,915) | (14,706) | |||||||||
Net cash (used in) provided by financing activities | (30,629) | 60,331 | 107,709 | |||||||||
Net increase in cash, cash equivalents and restricted cash | 37,581 | 5,418 | 6,048 | |||||||||
Cash, cash equivalents and restricted cash at beginning of period | 77,612 | 72,194 | 77,612 | 72,194 | 66,146 | |||||||
Cash, cash equivalents, and restricted cash at end of period | 115,193 | 77,612 | 115,193 | 77,612 | 72,194 | |||||||
Supplemental cash flow information: | ||||||||||||
Payments for Repurchase of Common Stock | 805 | 0 | 0 | |||||||||
Holding Company | ||||||||||||
Operating activities: | ||||||||||||
Net income | 53,695 | 46,255 | 38,471 | |||||||||
Depreciation, amortization and accretion, net | 168 | 9,177 | (6,525) | |||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | ||||||||||||
(Equity in) excess dividends from undistributed earnings of subsidiaries | (22,517) | (34,115) | 7,590 | |||||||||
Gain on investment securities | 0 | 0 | (2,602) | |||||||||
Other, net | 3,801 | 31 | 2,810 | |||||||||
Net cash provided by operating activities | 35,147 | 21,348 | 39,744 | |||||||||
Investing activities: | ||||||||||||
Proceeds from Sale, Maturity and Collection of Investments | 0 | 5,388 | 2,359 | |||||||||
Investment in subsidiaries | (18,874) | (31,813) | (50,883) | |||||||||
Decrease in receivable from subsidiary | 18,869 | 32,236 | 25,496 | |||||||||
Business acquisitions, net of cash received | (1,438) | (637) | 0 | |||||||||
Payments for (Proceeds from) Other Investing Activities | 226 | 228 | (229) | |||||||||
Net cash provided by (used in) investing activities | (1,217) | 5,402 | (23,257) | |||||||||
Financing activities: | ||||||||||||
Purchase of treasury stock | (1,380) | (508) | ||||||||||
Proceeds from issuance of common shares | 6 | 25 | 9 | |||||||||
Cash dividends paid | (25,942) | (20,915) | (14,706) | |||||||||
Net cash (used in) provided by financing activities | (27,586) | (22,270) | (15,205) | |||||||||
Net increase in cash, cash equivalents and restricted cash | 6,344 | 4,480 | 1,282 | |||||||||
Cash and cash equivalents at the beginning of year | 13,800 | 13,800 | 9,320 | $ 8,038 | ||||||||
Cash, cash equivalents and restricted cash at beginning of period | $ 13,800 | $ 9,320 | 13,800 | 9,320 | ||||||||
Cash, cash equivalents, and restricted cash at end of period | $ 20,144 | $ 13,800 | 20,144 | 13,800 | 9,320 | |||||||
Supplemental cash flow information: | ||||||||||||
Interest paid | 544 | $ 513 | $ 364 | |||||||||
Payments for Repurchase of Common Stock | $ (1,650) |
Summarized Quarterly Informat_3
Summarized Quarterly Information (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Summarized Quarterly Information (Unaudited) [Abstract] | |||||||||||
Total interest income | $ 42,289 | $ 43,609 | $ 43,621 | $ 40,576 | $ 40,638 | $ 39,631 | $ 37,769 | $ 33,226 | |||
Total interest expense | 7,168 | 7,855 | 7,572 | 6,662 | 6,517 | 6,307 | 4,961 | 3,867 | $ 29,257 | $ 21,652 | $ 13,148 |
Net interest income | 35,121 | 35,754 | 36,049 | 33,914 | 34,121 | 33,324 | 32,808 | 29,359 | 140,838 | 129,612 | 113,377 |
(Recoveries of) provision for loan losses | 1,136 | 1,005 | 626 | (263) | 975 | 1,302 | 1,188 | 1,983 | |||
Net gain on investment securities | 94 | 97 | (57) | 30 | 0 | 0 | (147) | 1 | 164 | (146) | 2,983 |
Net loss on asset disposals and other transactions | (229) | (78) | (293) | (182) | (15) | 12 | (405) | 74 | (782) | (334) | (63) |
Total non-interest income excluding net gains and losses (a) | 17,298 | 16,374 | 15,639 | 15,581 | 14,192 | 14,341 | 13,807 | 14,894 | |||
Amortization of other intangible assets | 888 | 953 | 824 | 694 | 861 | 862 | 861 | 754 | 3,359 | 3,338 | 3,516 |
Acquisition-related expenses | 65 | 199 | 6,770 | 253 | 382 | 675 | 6,056 | 149 | |||
Other expense | 32,568 | 31,841 | 31,282 | 30,913 | 29,713 | 29,292 | 29,054 | 27,318 | |||
Applicable income tax expense | 2,767 | 3,281 | 2,238 | 3,377 | 2,470 | 2,821 | 1,012 | 2,383 | 11,663 | 8,686 | 18,732 |
Net income | $ 14,860 | $ 14,868 | $ 9,598 | $ 14,369 | $ 13,897 | $ 12,725 | $ 7,892 | $ 11,741 | $ 53,695 | $ 46,255 | $ 38,471 |
Earnings per common share – basic | $ 0.72 | $ 0.72 | $ 0.47 | $ 0.74 | $ 0.71 | $ 0.65 | $ 0.41 | $ 0.64 | $ 2.65 | $ 2.42 | $ 2.12 |
Earnings per common share – diluted | $ 0.72 | $ 0.72 | $ 0.46 | $ 0.73 | $ 0.71 | $ 0.65 | $ 0.41 | $ 0.64 | $ 2.63 | $ 2.41 | $ 2.10 |
Weighted-average number of common shares outstanding – basic | 20,407,505 | 20,415,245 | 20,277,028 | 19,366,008 | 19,337,403 | 19,325,457 | 19,160,728 | 18,126,089 | 20,120,119 | 18,991,768 | 18,050,189 |
Weighted-average number of common shares outstanding – diluted | 20,599,127 | 20,595,769 | 20,442,366 | 19,508,868 | 19,483,452 | 19,466,865 | 19,293,381 | 18,256,035 | 20,273,725 | 19,122,260 | 18,208,684 |