Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2023 | Jul. 25, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2023 | |
Document Transition Report | false | |
Entity File Number | 000-12247 | |
Entity Registrant Name | SOUTHSIDE BANCSHARES, INC. | |
Entity Incorporation, State or Country Code | TX | |
Entity Tax Identification Number | 75-1848732 | |
Entity Address, Address Line One | 1201 S. Beckham Avenue, | |
Entity Address, City or Town | Tyler, | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 75701 | |
City Area Code | 903 | |
Local Phone Number | 531-7111 | |
Title of 12(b) Security | Common Stock, $1.25 par value | |
Trading Symbol | SBSI | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 30,531,805 | |
Entity Central Index Key | 0000705432 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
CONSOLIDATED BALANCE SHEETS (UN
CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) | Jun. 30, 2023 | Dec. 31, 2022 | |
ASSETS | |||
Cash and due from banks | $ 114,707,000 | $ 106,143,000 | |
Interest earning deposits | 14,059,000 | 9,276,000 | |
Federal funds sold | 78,347,000 | 83,833,000 | |
Total cash and cash equivalents | 207,113,000 | 199,252,000 | |
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 1,339,821,000 | 1,299,014,000 | |
Securities HTM (estimated fair value of $1,148,815 and $1,149,156, respectively) | 1,308,472,000 | 1,326,729,000 | |
FHLB stock, at cost | 10,801,000 | 9,190,000 | |
Equity investments | 9,572,000 | 11,181,000 | |
Loans held for sale | 1,666,000 | 667,000 | |
Loans: | |||
Loans | 4,329,043,000 | 4,147,691,000 | |
Less: Allowance for loan losses | (36,303,000) | (36,515,000) | |
Net loans | 4,292,740,000 | 4,111,176,000 | |
Premises and equipment, net | 139,801,000 | 141,256,000 | |
Operating lease ROU assets | 15,273,000 | 15,314,000 | |
Goodwill | 201,116,000 | 201,116,000 | |
Other intangible assets, net | 3,702,000 | 4,622,000 | |
Interest receivable | 48,265,000 | 49,350,000 | |
Deferred tax asset, net | 29,226,000 | 34,695,000 | |
Unsettled trades to sell securities | 31,548,000 | 0 | |
BOLI | 134,951,000 | 133,911,000 | |
Other assets | 33,185,000 | 21,163,000 | |
Total assets | 7,807,252,000 | 7,558,636,000 | |
Deposits: | |||
Noninterest bearing | 1,466,756,000 | 1,671,562,000 | |
Interest bearing | 4,650,931,000 | 4,526,457,000 | |
Total deposits | 6,117,687,000 | 6,198,019,000 | |
Other borrowings | 500,341,000 | 221,153,000 | |
FHLB borrowings | 183,007,000 | 153,358,000 | |
Subordinated notes, net of unamortized debt issuance costs | [1] | 93,796,000 | 98,674,000 |
Trust preferred subordinated debentures, net of unamortized debt issuance costs | 60,267,000 | 60,265,000 | |
Operating lease liabilities | 17,103,000 | 17,070,000 | |
Other liabilities | 69,890,000 | 64,100,000 | |
Total liabilities | 7,042,091,000 | 6,812,639,000 | |
Off-balance-sheet arrangements, commitments and contingencies (Note 12) | |||
Shareholders’ equity: | |||
Common stock: ($1.25 par value, 80,000,000 shares authorized, 38,019,238 shares issued at June 30, 2023 and 38,000,822 shares issued at December 31, 2022) | 47,524,000 | 47,501,000 | |
Paid-in capital | 787,027,000 | 784,545,000 | |
Retained earnings | 268,643,000 | 239,610,000 | |
Treasury stock: (shares at cost, 7,487,433 at June 30, 2023 and 6,454,192 at December 31, 2022) | (222,340,000) | (188,203,000) | |
AOCI | (115,693,000) | (137,456,000) | |
Total shareholders’ equity | 765,161,000 | 745,997,000 | |
Total liabilities and shareholders’ equity | $ 7,807,252,000 | $ 7,558,636,000 | |
[1]This debt consists of subordinated notes with a remaining maturity greater than one year that qualify under the risk-based capital guidelines as Tier 2 capital, subject to certain limitations. |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Available-for-sale [Abstract] | ||
Securities AFS, at estimated fair value | $ 1,409,568 | $ 1,387,874 |
Held-to-maturity Securities, Other Disclosure Items [Abstract] | ||
Securities held-to-maturity, fair value | $ 1,148,815 | $ 1,149,156 |
Shareholders' equity: | ||
Common stock, par value (in dollars per share) | $ 1.25 | $ 1.25 |
Common stock, shares authorized (in shares) | 80,000,000 | 80,000,000 |
Common stock, shares issued (in shares) | 38,019,238 | 38,000,822 |
Shares purchased (in shares) | 7,487,433 | 6,454,192 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Interest income: | ||||
Loans | $ 58,684 | $ 38,344 | $ 113,460 | $ 73,232 |
Taxable investment securities | 8,773 | 4,632 | 14,485 | 9,240 |
Tax-exempt investment securities | 13,720 | 10,605 | 27,636 | 20,824 |
MBS | 3,830 | 3,238 | 8,159 | 7,255 |
FHLB stock and equity investments | 379 | 77 | 624 | 190 |
Other interest earning assets | 1,490 | 204 | 3,360 | 232 |
Total interest income | 86,876 | 57,100 | 167,724 | 110,973 |
Interest expense: | ||||
Deposits | 21,679 | 4,264 | 41,585 | 7,501 |
FHLB borrowings | 1,032 | 224 | 4,173 | 590 |
Subordinated notes | 994 | 1,000 | 1,993 | 1,998 |
Trust preferred subordinated debentures | 1,100 | 471 | 2,131 | 827 |
Other borrowings | 8,155 | 63 | 10,573 | 73 |
Total interest expense | 32,960 | 6,022 | 60,455 | 10,989 |
Net interest income | 53,916 | 51,078 | 107,269 | 99,984 |
Provision for (reversal of) credit losses | (74) | (633) | (114) | (339) |
Net interest income after provision for credit losses | 53,990 | 51,711 | 107,383 | 100,323 |
Noninterest income: | ||||
Deposit services | 6,291 | 6,496 | 12,713 | 13,124 |
Net gain (loss) on sale of securities AFS | (3,455) | (2,177) | (5,601) | (3,720) |
Net gain on sale of equity securities | 2,642 | 0 | 5,058 | 0 |
Gain on sale of loans | 185 | 208 | 289 | 386 |
Trust fees | 1,490 | 1,520 | 2,957 | 3,014 |
BOLI | 756 | 720 | 2,431 | 1,411 |
Brokerage services | 904 | 1,098 | 1,601 | 1,907 |
Other | 1,651 | 1,232 | 3,049 | 3,700 |
Total noninterest income | 10,464 | 9,097 | 22,497 | 19,822 |
Noninterest expense: | ||||
Salaries and employee benefits | 21,376 | 20,329 | 43,232 | 40,298 |
Net occupancy | 3,690 | 3,654 | 7,424 | 7,310 |
Advertising, travel & entertainment | 854 | 716 | 1,904 | 1,453 |
ATM expense | 320 | 356 | 675 | 637 |
Professional fees | 1,192 | 1,147 | 2,564 | 2,074 |
Software and data processing | 2,264 | 1,739 | 4,319 | 3,370 |
Communications | 348 | 509 | 675 | 1,012 |
FDIC insurance | 1,220 | 477 | 1,764 | 949 |
Amortization of intangibles | 442 | 586 | 920 | 1,208 |
Other | 3,287 | 2,593 | 6,365 | 4,990 |
Total noninterest expense | 34,993 | 32,106 | 69,842 | 63,301 |
Income before income tax expense | 29,461 | 28,702 | 60,038 | 56,844 |
Income tax expense | 4,568 | 3,297 | 9,111 | 6,443 |
Net income | $ 24,893 | $ 25,405 | $ 50,927 | $ 50,401 |
Earnings per common share - basic (in dollars per share) | $ 0.81 | $ 0.79 | $ 1.64 | $ 1.56 |
Earnings per common share - diluted (in dollars per share) | 0.81 | 0.79 | 1.64 | 1.56 |
Cash dividends paid per common share (in dollars per share) | $ 0.35 | $ 0.34 | $ 0.70 | $ 0.68 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 24,893 | $ 25,405 | $ 50,927 | $ 50,401 |
Securities AFS and transferred securities: | ||||
Change in unrealized holding gain (loss) on AFS securities during the period | 6,831 | (33,523) | 19,850 | (195,424) |
Change in net unrealized loss on securities transferred from AFS to HTM | 0 | (52,360) | 0 | (91,504) |
Reclassification adjustment for amortization related to AFS and HTM debt securities | 1,989 | 1,310 | 3,981 | 1,553 |
Reclassification adjustment for net (gain) loss on sale of AFS securities, included in net income | 3,455 | 2,177 | 5,601 | 3,720 |
Derivatives: | ||||
Change in net unrealized gain (loss) on effective cash flow hedge interest rate swap derivatives | 15,876 | 7,047 | 8,900 | 27,593 |
Reclassification adjustment of net (gain) loss related to derivatives designated as cash flow hedges | (6,054) | 344 | (11,162) | 1,666 |
Pension plans: | ||||
Amortization of net actuarial loss, included in net periodic benefit cost | 205 | 241 | 378 | 447 |
Other comprehensive income (loss), before tax | 22,302 | (74,764) | 27,548 | (251,949) |
Income tax (expense) benefit related to items of other comprehensive income (loss) | (4,683) | 15,700 | (5,785) | 52,909 |
Other comprehensive income (loss), net of tax | 17,619 | (59,064) | 21,763 | (199,040) |
Comprehensive income (loss) | $ 42,512 | $ (33,659) | $ 72,690 | $ (148,639) |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Thousands | Total | Common Stock | Paid In Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Income (Loss) |
Beginning balance, net of tax at Dec. 31, 2021 | $ 912,172 | $ 47,461 | $ 780,501 | $ 179,813 | $ (155,308) | $ 59,705 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 24,996 | 24,996 | ||||
Other comprehensive income (loss) | (139,976) | (139,976) | ||||
Issuance of common stock for dividend reinvestment plan | 322 | 10 | 312 | |||
Purchase of common stock | (3,358) | (3,358) | ||||
Stock compensation expense | 819 | 819 | ||||
Net issuance of common stock under employee stock plans | 269 | 182 | (67) | 154 | ||
Cash dividends paid on common stock | (11,003) | (11,003) | ||||
Ending balance, net of tax at Mar. 31, 2022 | 784,241 | 47,471 | 781,814 | 193,739 | (158,512) | (80,271) |
Beginning balance, net of tax at Dec. 31, 2021 | 912,172 | 47,461 | 780,501 | 179,813 | (155,308) | 59,705 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 50,401 | |||||
Other comprehensive income (loss) | (199,040) | |||||
Ending balance, net of tax at Jun. 30, 2022 | 731,782 | 47,481 | 782,511 | 208,171 | (167,046) | (139,335) |
Beginning balance, net of tax at Mar. 31, 2022 | 784,241 | 47,471 | 781,814 | 193,739 | (158,512) | (80,271) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 25,405 | 25,405 | ||||
Other comprehensive income (loss) | (59,064) | (59,064) | ||||
Issuance of common stock for dividend reinvestment plan | 313 | 10 | 303 | |||
Purchase of common stock | (8,842) | (8,842) | ||||
Stock compensation expense | 847 | 847 | ||||
Net issuance of common stock under employee stock plans | (212) | (453) | (67) | 308 | ||
Cash dividends paid on common stock | (10,906) | (10,906) | ||||
Ending balance, net of tax at Jun. 30, 2022 | 731,782 | 47,481 | 782,511 | 208,171 | (167,046) | (139,335) |
Beginning balance, net of tax at Dec. 31, 2022 | 745,997 | 47,501 | 784,545 | 239,610 | (188,203) | (137,456) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 26,034 | 26,034 | ||||
Other comprehensive income (loss) | 4,144 | 4,144 | ||||
Issuance of common stock for dividend reinvestment plan | 302 | 10 | 292 | |||
Purchase of common stock | (15,945) | (15,945) | ||||
Stock compensation expense | 914 | 914 | ||||
Net issuance of common stock under employee stock plans | 572 | 368 | (91) | 295 | ||
Cash dividends paid on common stock | (10,988) | (10,988) | ||||
Ending balance, net of tax at Mar. 31, 2023 | 751,030 | 47,511 | 786,119 | 254,565 | (203,853) | (133,312) |
Beginning balance, net of tax at Dec. 31, 2022 | 745,997 | 47,501 | 784,545 | 239,610 | (188,203) | (137,456) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 50,927 | |||||
Other comprehensive income (loss) | 21,763 | |||||
Ending balance, net of tax at Jun. 30, 2023 | 765,161 | 47,524 | 787,027 | 268,643 | (222,340) | (115,693) |
Beginning balance, net of tax at Mar. 31, 2023 | 751,030 | 47,511 | 786,119 | 254,565 | (203,853) | (133,312) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 24,893 | 24,893 | ||||
Other comprehensive income (loss) | 17,619 | 17,619 | ||||
Issuance of common stock for dividend reinvestment plan | 299 | 13 | 286 | |||
Purchase of common stock | (18,725) | (18,725) | ||||
Stock compensation expense | 924 | 924 | ||||
Net issuance of common stock under employee stock plans | (159) | (302) | (95) | 238 | ||
Cash dividends paid on common stock | (10,720) | (10,720) | ||||
Ending balance, net of tax at Jun. 30, 2023 | $ 765,161 | $ 47,524 | $ 787,027 | $ 268,643 | $ (222,340) | $ (115,693) |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY (UNAUDITED) (Parenthetical) - $ / shares | 3 Months Ended | |||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||||
Issuance of common stock for dividend reinvestment plan (in shares) | 10,390 | 8,026 | 7,717 | 7,671 |
Common stock purchased (in shares) | 618,831 | 457,394 | 223,901 | 82,285 |
Net issuance of common stock under employee stock plans (in shares) | 19,065 | 23,919 | 30,162 | 16,551 |
Cash dividends paid on common stock (in dollars per share) | $ 0.35 | $ 0.35 | $ 0.34 | $ 0.34 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
OPERATING ACTIVITIES: | ||
Net income | $ 50,927,000 | $ 50,401,000 |
Adjustments to reconcile net income to net cash provided by operations: | ||
Depreciation and net amortization | 5,289,000 | 5,561,000 |
Securities premium amortization (discount accretion), net | 3,698,000 | 9,346,000 |
Loan (discount accretion) premium amortization, net | 187,000 | (323,000) |
Provision for (reversal of) credit losses | (114,000) | (339,000) |
Stock compensation expense | 1,838,000 | 1,666,000 |
Deferred tax expense (benefit) | (316,000) | 643,000 |
Net (gain) loss on sale of AFS securities | 5,601,000 | 3,720,000 |
Net (gain) loss on sale of equity securities | (5,058,000) | 0 |
Loss on impairment of investments | 0 | 38,000 |
Net loss on premises and equipment | 88,000 | 433,000 |
Gross proceeds from sales of loans held for sale | 9,025,000 | 15,835,000 |
Gross originations of loans held for sale | (10,024,000) | (14,966,000) |
Net (gain) loss on OREO | (53,000) | (12,000) |
Gain on purchase of subordinated notes | (587,000) | 0 |
Net change in: | ||
Interest receivable | 1,085,000 | (2,394,000) |
Other assets | 74,402,000 | (3,472,000) |
Interest payable | 4,962,000 | (346,000) |
Other liabilities | (82,917,000) | 62,242,000 |
Net cash provided by (used in) operating activities | 58,033,000 | 128,033,000 |
Securities AFS: | ||
Purchases | (717,315,000) | (523,339,000) |
Sales | 642,230,000 | 264,792,000 |
Maturities, calls and principal repayments | 15,069,000 | 78,779,000 |
Securities HTM: | ||
Maturities, calls and principal repayments | 19,705,000 | 6,097,000 |
Proceeds from sales of equity securities | 6,679,000 | 0 |
Proceeds from redemption of FHLB stock and equity investments | 27,525,000 | 11,041,000 |
Purchases of FHLB stock and equity investments | (29,148,000) | (9,833,000) |
Net loan paydowns (originations) | (182,187,000) | (317,731,000) |
Purchases of premises and equipment | (3,195,000) | (4,965,000) |
Proceeds from BOLI | 951,000 | 0 |
Proceeds from sales of premises and equipment | 370,000 | 7,000 |
Net proceeds from sales of OREO | 146,000 | 34,000 |
Proceeds from sales of repossessed assets | 102,000 | 47,000 |
Net cash provided by (used in) investing activities | (219,068,000) | (495,071,000) |
FINANCING ACTIVITIES: | ||
Net change in deposits | (80,402,000) | 526,069,000 |
Net change in other borrowings | 279,188,000 | 35,259,000 |
Proceeds from FHLB borrowings | 1,328,000,000 | 1,050,000,000 |
Repayment of FHLB borrowings | (1,298,351,000) | (1,240,337,000) |
Purchase of subordinated notes | (4,365,000) | 0 |
Proceeds from stock option exercises | 640,000 | 409,000 |
Cash paid to tax authority related to tax withholding on share-based awards | (227,000) | (352,000) |
Purchase of common stock | (34,480,000) | (12,200,000) |
Proceeds from the issuance of common stock for dividend reinvestment plan | 601,000 | 635,000 |
Cash dividends paid | (21,708,000) | (21,909,000) |
Net cash provided by (used in) financing activities | 168,896,000 | 337,574,000 |
Net increase (decrease) in cash and cash equivalents | 7,861,000 | (29,464,000) |
Cash and cash equivalents at beginning of period | 199,252,000 | 201,753,000 |
Cash and cash equivalents at end of period | 207,113,000 | 172,289,000 |
SUPPLEMENTAL DISCLOSURES FOR CASH FLOW INFORMATION: | ||
Interest paid | 55,493,000 | 11,334,000 |
Income taxes paid | 8,000,000 | 5,200,000 |
SUPPLEMENTAL DISCLOSURES OF NONCASH INVESTING AND FINANCING ACTIVITIES: | ||
Loans transferred to other repossessed assets and real estate through foreclosure | 61,000 | 197,000 |
Transfer of AFS to HTM securities | 0 | 1,089,978,000 |
Unsettled trades to purchase securities | 0 | (174,038,000) |
Unsettled trades to sell securities | $ 31,548,000 | $ 72,001,000 |
Summary of Significant Accounti
Summary of Significant Accounting and Reporting Policies | 6 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Significant Accounting and Reporting Policies | Summary of Significant Accounting and Reporting Policies Basis of Presentation In this report, the words “the Company,” “we,” “us,” and “our” refer to the combined entities of Southside Bancshares, Inc. and its subsidiaries, including Southside Bank. The words “Southside” and “Southside Bancshares” refer to Southside Bancshares, Inc. The words “Southside Bank” and “the Bank” refer to Southside Bank. The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, not all information required by GAAP for complete financial statements is included in these interim statements. In the opinion of management, all adjustments necessary for a fair presentation of such financial statements have been included. Such adjustments consisted only of normal recurring items. The preparation of these consolidated financial statements in accordance with GAAP requires the use of management’s estimates. These estimates are subjective in nature and involve matters of judgment. Actual amounts could differ from these estimates. Interim results are not necessarily indicative of results for a full year. These financial statements should be read in conjunction with the financial statements and notes thereto in our Annual Report on Form 10-K for the year ended December 31, 2022. Accounting Changes and Reclassifications Certain prior period amounts may be reclassified to conform to current year presentation. Current Expected Credit Losses - Troubled Debt Restructurings and Vintage Disclosures We adopted ASU 2022-02, “Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures” on January 1, 2023, the effective date of the guidance, on a prospective basis. ASU 2022-02 eliminated the accounting guidance for TDRs, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Specifically, rather than applying the recognition and measurement guidance for TDRs, an entity must apply the loan refinancing and restructuring guidance to determine whether a modification results in a new loan or a continuation of an existing loan. Additionally, ASU 2022-02 requires an entity to disclose current-period gross write-offs by year of origination for financing receivables within the scope of Subtopic 326-20, “Financial Instruments—Credit Losses—Measured at Amortized Cost.” ASU 2022-02 did not have a material impact on our consolidated financial statements. Accounting Pronouncements In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” ASU 2020-04 is intended to provide relief for companies preparing for discontinuation of interest rates based on LIBOR. The ASU provides optional expedients and exceptions for applying GAAP to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or other reference rates expected to be discontinued. ASU 2020-04 also provides for a one-time sale and/or transfer to AFS or trading to be made for HTM debt securities that both reference an eligible reference rate and were classified as HTM before January 1, 2020. ASU 2020-04 was effective for all entities as of March 12, 2020 and through December 31, 2022. Companies can apply the ASU as of the beginning of the interim period that includes March 12, 2020 or any date thereafter. The guidance requires companies to apply the guidance prospectively to contract modifications and hedging relationships while the one-time election to sell and/or transfer debt securities classified as HTM may be made any time after March 12, 2020. Additionally, in January 2021, the FASB issued ASU 2021-01, “Reference Rate Reform (Topic 848): Scope,” which provided additional clarification that certain optional expedients and exceptions noted above apply to derivative instruments that use an interest rate for margining, discounting or contract price alignment that is modified as a result of reference rate reform. In December 2022, the FASB issued ASU 2022-06, “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848,” which was effective upon issuance and deferred the sunset date in Topic 848 from December 31, 2022 to December 31, 2024. We established an officer level committee to guide our transition from LIBOR in October 2019 and are transitioning to alternative rates consistent with industry timelines. We continue to evaluate our LIBOR exposure. Our trust preferred subordinated debentures will transition to an adjusted SOFR index in accordance with the Federal Reserve final rule implementing the Adjustable Interest Rate Act. Our cash flow hedges will transition to an adjusted SOFR index in accordance with the ISDA 2020 IBOR Fallbacks Protocol. We have identified our products that utilize LIBOR and have implemented enhanced fallback language to facilitate the transition to alternative reference rates. We have evaluated our systems and are offering alternative rates. We are no longer |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share Earnings per share on a basic and diluted basis are calculated as follows (in thousands, except per share amounts): Three Months Ended Six Months Ended 2023 2022 2023 2022 Basic and Diluted Earnings: Net income $ 24,893 $ 25,405 $ 50,927 $ 50,401 Basic weighted-average shares outstanding 30,721 32,119 31,045 32,237 Add: Stock awards 33 132 54 157 Diluted weighted-average shares outstanding 30,754 32,251 31,099 32,394 Basic earnings per share: Net income $ 0.81 $ 0.79 $ 1.64 $ 1.56 Diluted earnings per share: Net income $ 0.81 $ 0.79 $ 1.64 $ 1.56 For the three and six months ended June 30, 2023, there were approximately 686,000 and 578,000 anti-dilutive shares, respectively. For the three and six months ended June 30, 2022, there were 18,000 and 1,000 anti-dilutive shares, respectively. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The changes in accumulated other comprehensive income (loss) by component are as follows (in thousands): Three Months Ended June 30, 2023 Unrealized Gains (Losses) on Securities Unrealized Gains (Losses) on Derivatives Retirement Plans Total Beginning balance, net of tax $ (135,627) $ 21,680 $ (19,365) $ (133,312) Other comprehensive income (loss): Other comprehensive income (loss) before reclassifications 6,831 15,876 — 22,707 Reclassification adjustments included in net income 5,444 (6,054) 205 (405) Income tax (expense) benefit (2,577) (2,063) (43) (4,683) Net current-period other comprehensive income (loss), net of tax 9,698 7,759 162 17,619 Ending balance, net of tax $ (125,929) $ 29,439 $ (19,203) $ (115,693) Six Months Ended June 30, 2023 Retirement Plans Unrealized Gains (Losses) on Securities Unrealized Gains (Losses) on Derivatives Retirement Plans Total Beginning balance, net of tax $ (149,181) $ 31,227 $ (19,502) $ (137,456) Other comprehensive income (loss): Other comprehensive (loss) income before reclassifications 19,850 8,900 — 28,750 Reclassification adjustments included in net income 9,582 (11,162) 378 (1,202) Income tax (expense) benefit (6,180) 474 (79) (5,785) Net current-period other comprehensive income (loss), net of tax 23,252 (1,788) 299 21,763 Ending balance, net of tax $ (125,929) $ 29,439 $ (19,203) $ (115,693) Three Months Ended June 30, 2022 Unrealized Gains (Losses) on Securities Unrealized Gains (Losses) on Derivatives Retirement Plans Total Beginning balance, net of tax $ (72,699) $ 16,018 $ (23,590) $ (80,271) Other comprehensive income (loss): Other comprehensive income (loss) before reclassifications (85,883) 7,047 — (78,836) Reclassification adjustments included in net income 3,487 344 241 4,072 Income tax (expense) benefit 17,303 (1,552) (51) 15,700 Net current-period other comprehensive income (loss), net of tax (65,093) 5,839 190 (59,064) Ending balance, net of tax $ (137,792) $ 21,857 $ (23,400) $ (139,335) Six Months Ended June 30, 2022 Unrealized Gains (Losses) on Securities Unrealized Gains (Losses) on Derivatives Retirement Plans Total Beginning balance, net of tax $ 84,716 $ (1,257) $ (23,754) $ 59,705 Other comprehensive income (loss): Other comprehensive income (loss) before reclassifications (286,928) 27,593 — (259,335) Reclassification adjustments included in net income 5,273 1,666 447 7,386 Income tax (expense) benefit 59,147 (6,145) (93) 52,909 Net current-period other comprehensive income (loss), net of tax (222,508) 23,114 354 (199,040) Ending balance, net of tax $ (137,792) $ 21,857 $ (23,400) $ (139,335) The reclassification adjustments out of accumulated other comprehensive income (loss) included in net income are presented below (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Unrealized gains and losses on securities transferred: Amortization of unrealized gains and losses (1) $ (1,989) $ (1,310) $ (3,981) $ (1,553) Tax benefit 418 275 836 326 Net of tax (1,571) (1,035) (3,145) (1,227) Unrealized gains and losses on available for sale securities: Realized net gain (loss) on sale of securities (2) (3,455) (2,177) (5,601) (3,720) Tax (expense) benefit 725 457 1,176 781 Net of tax (2,730) (1,720) (4,425) (2,939) Derivatives: Realized net gain (loss) on interest rate swap derivatives (3) 6,054 (344) 11,162 (1,666) Tax benefit (1,272) 72 (2,344) 350 Net of tax 4,782 (272) 8,818 (1,316) Amortization of pension plan: Net actuarial loss (4) (205) (241) (378) (447) Tax benefit 43 51 79 93 Net of tax (162) (190) (299) (354) Total reclassifications for the period, net of tax $ 319 $ (3,217) $ 949 $ (5,836) (1) Included in interest income on the consolidated statements of income. (2) Listed as net gain (loss) on sale of securities AFS on the consolidated statements of income. (3) Included in interest expense for FHLB borrowings, other borrowings and deposits on the consolidated statements of income. (4) These AOCI components are included in the computation of net periodic pension cost (income) presented in “Note 8 – Employee Benefit Plans.” |
Securities
Securities | 6 Months Ended |
Jun. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities Debt securities The amortized cost, gross unrealized gains and losses and estimated fair value of investment and mortgage-backed AFS and HTM securities as of June 30, 2023 and December 31, 2022 are reflected in the tables below (in thousands): June 30, 2023 Amortized Gross Unrealized Gross Unrealized Estimated AVAILABLE FOR SALE Cost Gains Losses Fair Value Investment securities: U.S. Treasury $ 298,907 $ 91 $ — $ 298,998 State and political subdivisions 826,193 750 56,660 770,283 Corporate bonds and other 14,532 18 1,559 12,991 MBS: (1) Residential 258,683 171 11,621 247,233 Commercial 11,253 47 984 10,316 Total $ 1,409,568 $ 1,077 $ 70,824 $ 1,339,821 HELD TO MATURITY Investment securities: State and political subdivisions $ 1,038,551 $ 7,093 $ 139,616 $ 906,028 Corporate bonds and other 146,371 421 16,895 129,897 MBS: (1) Residential 92,920 9 8,225 84,704 Commercial 30,630 — 2,444 28,186 Total $ 1,308,472 $ 7,523 $ 167,180 $ 1,148,815 December 31, 2022 Amortized Gross Unrealized Gross Unrealized Estimated AVAILABLE FOR SALE Cost Gains Losses Fair Value Investment securities: State and political subdivisions $ 1,039,453 $ 956 $ 75,557 $ 964,852 Corporate bonds and other 8,692 26 14 8,704 MBS: (1) Residential 328,400 250 13,623 315,027 Commercial 11,329 50 948 10,431 Total $ 1,387,874 $ 1,282 $ 90,142 $ 1,299,014 HELD TO MATURITY Investment securities: State and political subdivisions $ 1,037,556 $ 3,969 $ 163,283 $ 878,242 Corporate bonds and other 152,552 575 7,993 145,134 MBS: (1) Residential 93,796 21 8,343 85,474 Commercial 42,825 — 2,519 40,306 Total $ 1,326,729 $ 4,565 $ 182,138 $ 1,149,156 (1) All MBS are issued and/or guaranteed by U.S. government agencies or U.S. GSEs. From time to time, we transfer securities from AFS to HTM due to overall balance sheet strategies. We did not transfer any securities from AFS to HTM during the six months ended June 30, 2023. We transferred securities from AFS to HTM with an estimated fair value of $1.25 billion during the year ended December 31, 2022. The remaining net unamortized, unrealized loss on the transferred securities included in AOCI in the accompanying balance sheets totaled $117.6 million ($92.9 million, net of tax) at June 30, 2023 and $121.5 million ($96.0 million, net of tax) at December 31, 2022. Any net unrealized gain or loss on the transferred securities included in AOCI at the time of transfer will be amortized over the remaining life of the underlying security as an adjustment to the yield on those securities. Securities transferred with losses included in AOCI continue to be included in management’s assessment for impairment for each individual security. We transferred these securities due to overall balance sheet strategies, and our management has the current intent and ability to hold these securities until maturity. Investment securities and MBS with carrying values of $2.24 billion and $1.82 billion were pledged as of June 30, 2023 and December 31, 2022, respectively, to collateralize FHLB borrowings, borrowings from the FRDW, including from the BTFP, repurchase agreements and public fund deposits, for potential liquidity needs or other purposes as required by law. The following tables present the fair value and unrealized losses on AFS and HTM investment securities and MBS, if applicable, for which an allowance for credit losses has not been recorded as of June 30, 2023 and December 31, 2022, segregated by major security type and length of time in a continuous loss position (in thousands): June 30, 2023 Less Than 12 Months More Than 12 Months Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss AVAILABLE FOR SALE Investment securities: State and political subdivisions $ 116,217 $ 1,862 $ 602,120 $ 54,798 $ 718,337 $ 56,660 Corporate bonds and other 12,786 1,559 — — 12,786 1,559 MBS: Residential 169,577 6,585 61,126 5,036 230,703 11,621 Commercial — — 8,047 984 8,047 984 Total $ 298,580 $ 10,006 $ 671,293 $ 60,818 $ 969,873 $ 70,824 HELD TO MATURITY Investment securities: State and political subdivisions $ 140,247 $ 7,452 $ 606,783 $ 132,164 $ 747,030 $ 139,616 Corporate bonds and other 29,119 4,522 98,082 12,373 127,201 16,895 MBS: Residential 18,021 1,267 66,019 6,958 84,040 8,225 Commercial — — 28,186 2,444 28,186 2,444 Total $ 187,387 $ 13,241 $ 799,070 $ 153,939 $ 986,457 $ 167,180 December 31, 2022 Less Than 12 Months More Than 12 Months Total Fair Value Unrealized Fair Value Unrealized Fair Value Unrealized AVAILABLE FOR SALE Investment securities: State and political subdivisions $ 859,270 $ 68,683 $ 26,620 $ 6,874 $ 885,890 $ 75,557 Corporate bonds and other 3,678 14 — — 3,678 14 MBS: Residential 306,294 13,623 — — 306,294 13,623 Commercial 5,613 318 2,545 630 8,158 948 Total $ 1,174,855 $ 82,638 $ 29,165 $ 7,504 $ 1,204,020 $ 90,142 HELD TO MATURITY Investment securities: State and political subdivisions $ 426,382 $ 66,898 $ 323,385 $ 96,385 $ 749,767 $ 163,283 Corporate bonds and other 125,250 6,660 12,738 1,333 137,988 7,993 Mortgage-backed securities: Residential 80,801 7,799 3,932 544 84,733 8,343 Commercial 40,306 2,519 — — 40,306 2,519 Total $ 672,739 $ 83,876 $ 340,055 $ 98,262 $ 1,012,794 $ 182,138 For those AFS debt securities in an unrealized loss position (i) where management has the intent to sell or (ii) where it will more-likely-than-not be required to sell the security before the recovery of its amortized cost basis, we recognize the loss in earnings. For those AFS debt securities in an unrealized loss position that do not meet either of these criteria, management assesses whether the decline in fair value has resulted from credit-related factors, using both qualitative and quantitative criteria. Determining the allowance under the credit loss method requires the use of a discounted cash flow method to assess the credit losses. Any credit-related impairment will be recognized in allowance for credit losses on the balance sheet with a corresponding adjustment to earnings. Noncredit-related temporary impairment, the portion of the impairment relating to factors other than credit (such as changes in market interest rates), is recognized in other comprehensive income, net of tax. As of June 30, 2023 and December 31, 2022, we did not have an allowance for credit losses on our AFS securities, based on our consideration of the qualitative factors associated with each security type in our AFS portfolio. The unrealized losses on our investment and MBS are due to changes in interest rates and spreads and other market conditions. At June 30, 2023, we had 524 AFS debt securities in an unrealized loss position. Our state and political subdivisions are highly rated municipal securities with a long history of no credit losses. Our AFS MBS are highly rated securities which are either explicitly or implicitly backed by the U.S. Government through its agencies which are highly rated by major ratings agencies and also have a long history of no credit losses. Our corporate bonds and other investment securities consist of investment grade bonds and private placement bonds. We assess the likelihood of default and the potential amount of default when assessing our HTM securities for credit losses. We utilize term structures and, due to no prior loss exposure on our state and political subdivision securities or our corporate securities, we currently apply a third-party average loss given default rate to model these securities. We elected to use the specific identification method to model our HTM securities which aligns with our third-party fair value measurement process. The model determined any expected credit loss over the life of these securities to be insignificant. Management further evaluated the remote expectation of loss along with the qualitative factors associated with these securities and concluded that, due to the securities being highly rated municipals and investment grade corporates and private placement bonds with a long history of no credit losses, no credit loss should be recognized for these securities for the three and six months ended June 30, 2023 or 2022. The accrued interest receivable on our debt securities is excluded from the credit loss estimate and is included in interest receivable on our consolidated balance sheets. As of June 30, 2023, accrued interest receivable on AFS and HTM debt securities totaled $16.3 million and $13.4 million, respectively. As of December 31, 2022, accrued interest receivable on AFS and HTM debt securities totaled $16.9 million and $13.6 million, respectively. No HTM debt securities were past-due or on nonaccrual status as of June 30, 2023 or December 31, 2022. The following table reflects interest income recognized on securities for the periods presented (in thousands): Three Months Ended 2023 2022 U.S. Treasury $ 3,826 $ 59 State and political subdivisions 16,901 13,788 Corporate bonds and other 1,766 1,390 MBS 3,830 3,238 Total interest income on securities $ 26,323 $ 18,475 Six Months Ended 2023 2022 U.S. Treasury $ 4,523 $ 227 State and political subdivisions 34,000 27,120 Corporate bonds and other 3,598 2,717 MBS 8,159 7,255 Total interest income on securities $ 50,280 $ 37,319 There was a $5.6 million net realized loss as a result of sales from the AFS securities portfolio for the six months ended June 30, 2023, which consisted of $7.0 million in realized losses and $1.4 million in realized gains. There was a $3.7 million net realized loss as a result of sales from the AFS securities portfolio for the six months ended June 30, 2022, which consisted of $4.0 million in realized losses and $290,000 in realized gains. There were no sales from the HTM portfolio during the three and six months ended June 30, 2023 or 2022. We calculate realized gains and losses on sales of securities under the specific identification method. Expected maturities on our securities may differ from contractual maturities because issuers may have the right to call or prepay obligations. MBS are presented in total by category since MBS are typically issued with stated principal amounts and are backed by pools of mortgages that have loans with varying maturities. The characteristics of the underlying pool of mortgages, such as fixed-rate or adjustable-rate, as well as prepayment risk, are passed on to the security holder. The term of a mortgage-backed pass-through security thus approximates the term of the underlying mortgages and can vary significantly due to prepayments. The amortized cost and estimated fair value of AFS and HTM securities at June 30, 2023, are presented below by contractual maturity (in thousands): June 30, 2023 Amortized Cost Fair Value AVAILABLE FOR SALE Investment securities: Due in one year or less $ 299,118 $ 299,208 Due after one year through five years 1,564 1,591 Due after five years through ten years 32,280 30,881 Due after ten years 806,670 750,592 1,139,632 1,082,272 MBS: 269,936 257,549 Total $ 1,409,568 $ 1,339,821 June 30, 2023 Amortized Cost Fair Value HELD TO MATURITY Investment securities: Due in one year or less $ 125 $ 124 Due after one year through five years 20,809 20,016 Due after five years through ten years 136,422 120,546 Due after ten years 1,027,566 895,239 1,184,922 1,035,925 MBS: 123,550 112,890 Total $ 1,308,472 $ 1,148,815 Equity Investments Equity investments on our consolidated balance sheets include Community Reinvestment Act funds with a readily determinable fair value as well as equity investments without readily determinable fair values. At June 30, 2023 and December 31, 2022, we had equity investments recorded in our consolidated balance sheets of $9.6 million and $11.2 million, respectively. Any realized and unrealized gains and losses on equity investments are reported in income. Equity investments without readily determinable fair values are recorded at cost less impairment, if any. For the three and six months ended June 30, 2023, there was a net gain on the sale of equity securities of $2.6 million and $5.1 million, respectively. The following is a summary of unrealized and realized gains and losses on equity investments recognized in other noninterest income in the consolidated statements of income during the periods presented (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Net gains (losses) recognized during the period on equity investments $ 2,558 $ (191) $ 5,058 $ (466) Less: Net gains recognized during the period on equity investments sold during the period 2,642 — 5,058 — Unrealized gains (losses) recognized during the reporting period on equity investments held at the reporting date $ (84) $ (191) $ — $ (466) Equity investments are assessed quarterly for other-than-temporary impairment. Based upon that evaluation, management does not consider any of our equity investments to be other-than-temporarily impaired at June 30, 2023. FHLB Stock Our FHLB stock, which has limited marketability, is carried at cost and is assessed quarterly for other-than-temporary impairment. Based upon evaluation by management at June 30, 2023, our FHLB stock was not impaired and thus was not considered to be other-than-temporarily impaired. |
Loans and Allowance for Loan Lo
Loans and Allowance for Loan Losses | 6 Months Ended |
Jun. 30, 2023 | |
Receivables [Abstract] | |
Loans and Allowance for Loan Losses | Loans and Allowance for Loan Losses Loans in the accompanying consolidated balance sheets are classified as follows (in thousands): June 30, 2023 December 31, 2022 Real estate loans: Construction $ 657,354 $ 559,681 1-4 family residential 684,878 663,519 Commercial 2,100,338 1,987,707 Commercial loans 383,724 412,064 Municipal loans 435,211 450,067 Loans to individuals 67,538 74,653 Total loans 4,329,043 4,147,691 Less: Allowance for loan losses 36,303 36,515 Net loans $ 4,292,740 $ 4,111,176 Construction Real Estate Loans Our construction loans are collateralized by property located primarily in or near the market areas we serve. A number of our construction loans will be owner occupied upon completion. Construction loans for non-owner occupied projects are financed, but these typically have cash flows from leases with tenants, secondary sources of repayment, and in some cases, additional collateral. Our construction loans have both adjustable and fixed interest rates during the construction period. Construction loans to individuals are typically priced and made with the intention of granting the permanent loan on the completed property. Commercial construction loans are subject to underwriting standards similar to that of the commercial portfolio. Owner occupied 1-4 family residential construction loans are subject to the underwriting standards of the permanent loan. 1-4 Family Residential Real Estate Loans Residential loan originations are generated by our loan officers, in-house origination staff, marketing efforts, present customers, walk-in customers and referrals from real estate agents and builders. We focus our lending efforts primarily on the origination of loans secured by first mortgages on owner occupied 1-4 family residences. Substantially all of our 1-4 family residential originations are secured by properties located in or near our market areas. Our 1-4 family residential loans generally have maturities ranging from 15 to 30 years. These loans are typically fully amortizing with monthly payments sufficient to repay the total amount of the loan. Our 1-4 family residential loans are made at both fixed and adjustable interest rates. Underwriting for 1-4 family residential loans includes debt-to-income analysis, credit history analysis, appraised value and down payment considerations. Changes in the market value of real estate can affect the potential losses in the residential portfolio. Commercial Real Estate Loans Commercial real estate loans as of June 30, 2023 consisted of $1.73 billion of owner and non-owner occupied real estate, $338.1 million of loans secured by multi-family properties and $27.8 million of loans secured by farmland. Commercial real estate loans primarily include loans collateralized by retail, commercial office buildings, multi-family residential buildings, medical facilities and offices, senior living, assisted living and skilled nursing facilities, warehouse facilities, hotels and churches. In determining whether to originate commercial real estate loans, we generally consider such factors as the financial condition of the borrower and the debt service coverage of the property. Commercial real estate loans are made at both fixed and adjustable interest rates for terms generally up to 20 years. Commercial Loans Our commercial loans are diversified loan types including short-term working capital loans for inventory and accounts receivable and short- and medium-term loans for equipment or other business capital expansion. In our commercial loan underwriting, we assess the creditworthiness, ability to repay and the value and liquidity of the collateral being offered. Terms of commercial loans are generally commensurate with the useful life of the collateral offered. Municipal Loans We make loans to municipalities and school districts primarily throughout the state of Texas, with a small percentage originating outside of the state. The majority of the loans to municipalities and school districts have tax or revenue pledges and in some cases are additionally supported by collateral. Municipal loans made without a direct pledge of taxes or revenues are usually made based on some type of collateral that represents an essential service. Lending money directly to these municipalities allows us to earn a higher yield than we could if we purchased municipal securities for similar durations. Loans to Individuals Substantially all originations of our loans to individuals are made to consumers in our market areas. The majority of loans to individuals are collateralized by titled equipment, which are primarily automobiles. Loan terms vary according to the type and value of collateral, length of contract and creditworthiness of the borrower. The underwriting standards we employ for consumer loans include an application, a determination of the applicant’s payment history on other debts, with the greatest weight being given to payment history with us and an assessment of the borrower’s ability to meet existing obligations and payments on the proposed loan. Although creditworthiness of the applicant is a primary consideration, the underwriting process also includes a comparison of the value of the collateral, if any, in relation to the proposed loan amount. Most of our loans to individuals are collateralized, which management believes assists in limiting our exposure. Credit Quality Indicators We categorize loans into risk categories on an ongoing basis based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information and current economic trends, among other factors. We use the following definitions for risk ratings: • Pass (Rating 1 – 4) – This rating is assigned to all satisfactory loans. This category, by definition, consists of acceptable credit. Credit and collateral exceptions should not be present, although their presence would not necessarily prohibit a loan from being rated Pass, if deficiencies are in the process of correction. These loans are not included in the Watch List. • Pass Watch (Rating 5) – These loans require some degree of special treatment, but not due to credit quality. This category does not include loans specially mentioned or adversely classified; however, particular attention is warranted to characteristics such as: ▪ A lack of, or abnormally extended payment program; ▪ A heavy degree of concentration of collateral without sufficient margin; ▪ A vulnerability to competition through lesser or extensive financial leverage; and ▪ A dependence on a single or few customers or sources of supply and materials without suitable substitutes or alternatives. • Special Mention (Rating 6) – A Special Mention loan has potential weaknesses that deserve management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or in our credit position at some future date. Special Mention loans are not adversely classified and do not expose us to sufficient risk to warrant adverse classification. • Substandard (Rating 7) – Substandard loans are inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified must have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Bank will sustain some loss if the deficiencies are not corrected. • Doubtful (Rating 8) – Loans classified as Doubtful have all the weaknesses inherent in those classified Substandard with the added characteristic that the weaknesses make collection or liquidation, in full, on the basis of currently known facts, conditions and values, highly questionable and improbable. The following tables set forth the amortized cost basis by class of financing receivable and credit quality indicator for the periods presented (in thousands): June 30, 2023 Term Loans Amortized Cost Basis by Origination Year Revolving Loans Amortized Cost Basis Total 2023 2022 2021 2020 2019 Prior Construction real estate: Pass $ 67,993 $ 190,372 $ 177,651 $ 31,227 $ 4,291 $ 6,267 $ 159,462 $ 637,263 Pass watch — 2,444 1,557 — — — 14,785 18,786 Special mention 161 395 — — 9 — — 565 Substandard — — 136 — — 225 — 361 Doubtful — — 42 — 337 — — 379 Total construction real estate $ 68,154 $ 193,211 $ 179,386 $ 31,227 $ 4,637 $ 6,492 $ 174,247 $ 657,354 Current period gross charge-offs $ — $ 63 $ — $ — $ — $ — $ — $ 63 1-4 family residential real estate: Pass $ 25,409 $ 105,843 $ 144,970 $ 122,025 $ 66,539 $ 212,648 $ 2,205 $ 679,639 Pass watch — — — 1,099 — 1,364 — 2,463 Special mention — — 63 206 123 2,150 — 2,542 Substandard — — — — — 234 — 234 Doubtful — — — — — — — — Total 1-4 family residential real estate $ 25,409 $ 105,843 $ 145,033 $ 123,330 $ 66,662 $ 216,396 $ 2,205 $ 684,878 Current period gross charge-offs $ — $ — $ — $ — $ — $ 71 $ — $ 71 Commercial real estate: Pass $ 268,423 $ 756,424 $ 524,837 $ 152,119 $ 98,968 $ 224,529 $ 15,889 $ 2,041,189 Pass watch 15,690 — 265 — 7,964 11,563 — 35,482 Special mention 2,019 — — — 223 188 — 2,430 Substandard — — 100 274 14,304 6,386 — 21,064 Doubtful — — — — 72 101 — 173 Total commercial real estate $ 286,132 $ 756,424 $ 525,202 $ 152,393 $ 121,531 $ 242,767 $ 15,889 $ 2,100,338 Current period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Commercial loans: Pass $ 36,239 $ 88,384 $ 57,919 $ 14,309 $ 5,897 $ 5,441 $ 161,472 $ 369,661 Pass watch 26 193 134 — — — 200 553 Special mention — 180 4,890 23 — 249 6,709 12,051 Substandard 168 395 87 — 61 8 20 739 Doubtful — 328 164 — 75 153 — 720 Total commercial loans $ 36,433 $ 89,480 $ 63,194 $ 14,332 $ 6,033 $ 5,851 $ 168,401 $ 383,724 Current period gross charge-offs $ — $ 290 $ 29 $ 22 $ 23 $ 5 $ — $ 369 Municipal loans: Pass $ 11,835 $ 62,834 $ 72,572 $ 52,677 $ 44,579 $ 190,714 $ — $ 435,211 Pass watch — — — — — — — — Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total municipal loans $ 11,835 $ 62,834 $ 72,572 $ 52,677 $ 44,579 $ 190,714 $ — $ 435,211 Current period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Loans to individuals: Pass $ 14,071 $ 21,029 $ 15,872 $ 9,246 $ 3,284 $ 1,410 $ 2,582 $ 67,494 Pass watch — — — — — 1 — 1 Special mention — — — — — — — — Substandard — — 17 — 20 — — 37 Doubtful — — 6 — — — — 6 Total loans to individuals $ 14,071 $ 21,029 $ 15,895 $ 9,246 $ 3,304 $ 1,411 $ 2,582 $ 67,538 Current period gross charge-offs (1) $ 729 $ 31 $ 22 $ 6 $ 2 $ 77 $ — $ 867 Total loans $ 442,034 $ 1,228,821 $ 1,001,282 $ 383,205 $ 246,746 $ 663,631 $ 363,324 $ 4,329,043 Total current period gross charge-offs (1) $ 729 $ 384 $ 51 $ 28 $ 25 $ 153 $ — $ 1,370 (1) Includes $729,000 in charged off demand deposit overdrafts reported as 2023 originations. December 31, 2022 Term Loans Amortized Cost Basis by Origination Year Revolving Loans Amortized Cost Basis Total 2022 2021 2020 2019 2018 Prior Construction real estate: Pass $ 169,652 $ 184,501 $ 34,537 $ 7,091 $ 1,844 $ 6,434 $ 152,530 $ 556,589 Pass watch 299 — — — — — — 299 Special mention 1,858 290 — — — — — 2,148 Substandard — — — 10 42 194 — 246 Doubtful — 44 — 355 — — — 399 Total construction real estate $ 171,809 $ 184,835 $ 34,537 $ 7,456 $ 1,886 $ 6,628 $ 152,530 $ 559,681 1-4 family residential real estate: Pass $ 82,847 $ 144,424 $ 128,666 $ 70,142 $ 36,710 $ 194,490 $ 2,160 $ 659,439 Pass watch — — — — — — — — Special mention — — 79 — 1,397 — — 1,476 Substandard 3 — 217 54 32 1,942 43 2,291 Doubtful — — — — 173 140 — 313 Total 1-4 family residential real estate $ 82,850 $ 144,424 $ 128,962 $ 70,196 $ 38,312 $ 196,572 $ 2,203 $ 663,519 Commercial real estate: Pass $ 798,653 $ 546,938 $ 168,607 $ 136,440 $ 55,480 $ 233,509 $ 12,315 $ 1,951,942 Pass watch — 9,219 — — — — — 9,219 Special mention — — 1,832 330 115 1,849 — 4,126 Substandard — — 281 14,603 260 6,992 — 22,136 Doubtful — — — 76 — 208 — 284 Total commercial real estate $ 798,653 $ 556,157 $ 170,720 $ 151,449 $ 55,855 $ 242,558 $ 12,315 $ 1,987,707 Commercial loans: Pass $ 113,678 $ 68,509 $ 17,852 $ 8,249 $ 4,820 $ 3,313 $ 178,951 $ 395,372 Pass watch 208 13 56 — — — — 277 Special mention — 5,109 31 — 288 — 9,986 15,414 Substandard 220 116 70 110 12 9 — 537 Doubtful 68 100 — 86 210 — — 464 Total commercial loans $ 114,174 $ 73,847 $ 18,009 $ 8,445 $ 5,330 $ 3,322 $ 188,937 $ 412,064 Municipal loans: Pass $ 65,258 $ 74,617 $ 57,147 $ 47,636 $ 24,576 $ 173,919 $ — $ 443,153 Pass watch — — — 508 403 6,003 — 6,914 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total municipal loans $ 65,258 $ 74,617 $ 57,147 $ 48,144 $ 24,979 $ 179,922 $ — $ 450,067 Loans to individuals: Pass $ 29,579 $ 21,480 $ 12,651 $ 5,261 $ 1,665 $ 1,005 $ 2,935 $ 74,576 Pass watch — — — — — — — — Special mention — — — — — — — — Substandard — 1 — 6 — 2 — 9 Doubtful 7 — — 18 40 3 — 68 Total loans to individuals $ 29,586 $ 21,481 $ 12,651 $ 5,285 $ 1,705 $ 1,010 $ 2,935 $ 74,653 Total loans $ 1,262,330 $ 1,055,361 $ 422,026 $ 290,975 $ 128,067 $ 630,012 $ 358,920 $ 4,147,691 Watchlisted loans reported as 2023 originations as of June 30, 2023 and watchlisted loans reported as 2022 originations as of December 31, 2022 were, for the majority, first originated in various years prior to 2023 and 2022, respectively, but were renewed in the respective year. The following tables present the aging of the amortized cost basis in past due loans by class of loans (in thousands): June 30, 2023 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Past Due Total Past Due Current Total Real estate loans: Construction $ 122 $ 6 $ 136 $ 264 $ 657,090 $ 657,354 1-4 family residential 1,406 1,371 585 3,362 681,516 684,878 Commercial 708 143 38 889 2,099,449 2,100,338 Commercial loans 593 416 103 1,112 382,612 383,724 Municipal loans — — — — 435,211 435,211 Loans to individuals 387 19 — 406 67,132 67,538 Total $ 3,216 $ 1,955 $ 862 $ 6,033 $ 4,323,010 $ 4,329,043 December 31, 2022 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Total Past Due Current Total Real estate loans: Construction $ 43 $ 21 $ — $ 64 $ 559,617 $ 559,681 1-4 family residential 3,529 368 214 4,111 659,408 663,519 Commercial 105 153 415 673 1,987,034 1,987,707 Commercial loans 515 277 247 1,039 411,025 412,064 Municipal loans — — — — 450,067 450,067 Loans to individuals 203 3 40 246 74,407 74,653 Total $ 4,395 $ 822 $ 916 $ 6,133 $ 4,141,558 $ 4,147,691 The following table sets forth the amortized cost basis of nonperforming assets for the periods presented (in thousands): June 30, 2023 December 31, 2022 Nonaccrual loans: Real estate loans: Construction $ 521 $ 405 1-4 family residential 1,005 848 Commercial 554 762 Commercial loans 930 757 Loans to individuals 7 74 Total nonaccrual loans (1) 3,017 2,846 Accruing loans past due more than 90 days — — Restructured loans (2) — 7,849 OREO — 93 Repossessed assets 42 74 Total nonperforming assets $ 3,059 $ 10,862 (1) Includes $314,000 and $897,000 of restructured loans as of June 30, 2023 and December 31, 2022, respectively. (2) Pursuant to our adoption of ASU 2022-02, effective January 1, 2023, we prospectively discontinued the recognition and measurement guidance previously required on troubled debt restructures. As a result, “restructured” loans as of March 31, 2023 exclude any loan modifications that are performing but would have previously required disclosure as troubled debt restructures. We reversed $11,000 and $30,000 of interest income on nonaccrual loans during the three and six months ended June 30, 2023, and $24,000 and $35,000 for the three and six months ended June 30, 2022. We had $1.2 million and $1.6 million of loans on nonaccrual for which there was no related allowance for credit losses as of June 30, 2023 and December 31, 2022, respectively. Collateral-dependent loans are loans that we expect the repayment to be provided substantially through the operation or sale of the collateral of the loan and we have determined that the borrower is experiencing financial difficulty. In such cases, expected credit losses are based on the fair value of the collateral at the measurement date, adjusted for selling costs. As of June 30, 2023 and December 31, 2022, we had $7.9 million and $8.1 million, respectively, of collateral-dependent loans, secured mainly by real estate and equipment. There have been no significant changes to the collateral that secures the collateral-dependent assets. Foreclosed assets include OREO and repossessed assets. For 1-4 family residential real estate properties, a loan is recognized as a foreclosed property once legal title to the real estate property has been received upon completion of foreclosure or the borrower has conveyed all interest in the residential property through a deed in lieu of foreclosure. There were $54,000 loans secured by 1-4 family residential properties for which formal foreclosure proceedings were in process as of June 30, 2023. There were no loans secured by 1-4 family residential properties for which formal foreclosure proceedings were in process as of December 31, 2022. Restructured Loans Pursuant to our adoption of ASU 2022-02 effective January 1, 2023, we prospectively discontinued the recognition and measurement of TDRs. This guidance eliminated TDR accounting for loans in which the borrower was experiencing financial difficulty and the creditor granted a concession. See “Note 1 - Summary of Significant Accounting and Reporting Policies” to our consolidated financial statements included in this report. A loan is now considered restructured if the borrower is experiencing financial difficulties and the loan has been modified. Modifications may include interest rate reductions or below market interest rates, restructuring amortization schedules and other actions intended to minimize potential losses. We may provide a combination of modifications which may include an extension of the amortization period, interest rate reduction and/or converting the loan to interest-only for a limited period of time. In most instances, interest will continue to be charged on principal balances outstanding during the extended term. Therefore, the financial effects of the recorded investment of loans restructured during the six months ended June 30, 2023 were not significant. There were two commercial loans totaling $314,000 that were restructured with an extension of amortization period as of June 30, 2023 and are included in our nonaccrual loans in nonperforming assets. On an ongoing basis, the performance of the restructured loans is monitored for subsequent payment default. Payment default is recognized when the borrower is 90 days or more past due. As of June 30, 2023, there were no restructured loans in default. Payment defaults for restructured loans did not significantly impact the determination of the allowance for loan losses in the periods presented. At June 30, 2023, there were no commitments to lend additional funds to borrowers whose loans had been restructured. Allowance for Loan Losses The following tables detail activity in the allowance for loan losses by portfolio segment for the periods presented (in thousands): Three Months Ended June 30, 2023 Real Estate Construction 1-4 Family Residential Commercial Commercial Loans Municipal Loans Loans to Individuals Total Balance at beginning of period $ 3,152 $ 2,314 $ 28,721 $ 1,901 $ 44 $ 200 $ 36,332 Loans charged-off (63) (22) — (260) — (392) (737) Recoveries of loans charged-off — 41 1 143 — 245 430 Net loans (charged-off) recovered (63) 19 1 (117) — (147) (307) Provision for (reversal of) loan losses 306 327 (710) 233 (7) 129 278 Balance at end of period $ 3,395 $ 2,660 $ 28,012 $ 2,017 $ 37 $ 182 $ 36,303 Six Months Ended June 30, 2023 Real Estate Construction 1-4 Family Residential Commercial Commercial Loans Municipal Loans Loans to Individuals Total Balance at beginning of period $ 3,164 $ 2,173 $ 28,701 $ 2,235 $ 45 $ 197 $ 36,515 Loans charged-off (63) (71) — (369) — (867) (1,370) Recoveries of loans charged-off 1 46 1 203 — 541 792 Net loans (charged-off) recovered (62) (25) 1 (166) — (326) (578) Provision for (reversal of) loan losses 293 512 (690) (52) (8) 311 366 Balance at end of period $ 3,395 $ 2,660 $ 28,012 $ 2,017 $ 37 $ 182 $ 36,303 Three Months Ended June 30, 2022 Real Estate Construction 1-4 Family Residential Commercial Commercial Loans Municipal Loans Loans to Individuals Total Balance at beginning of period $ 3,604 $ 1,982 $ 27,225 $ 2,454 $ 48 $ 211 $ 35,524 Loans charged-off — — — (46) — (433) (479) Recoveries of loans charged-off 1 53 34 114 — 314 516 Net loans (charged-off) recovered 1 53 34 68 — (119) 37 Provision for (reversal of) loan losses (206) (11) (38) 36 (2) 109 (112) Balance at end of period $ 3,399 $ 2,024 $ 27,221 $ 2,558 $ 46 $ 201 $ 35,449 Six Months Ended June 30, 2022 Real Estate Construction 1-4 Family Residential Commercial Commercial Loans Municipal Loans Loans to Individuals Total Balance at beginning of period $ 3,787 $ 1,866 $ 26,980 $ 2,397 $ 47 $ 196 $ 35,273 Loans charged-off — — — (177) — (857) (1,034) Recoveries of loans charged-off 1 92 81 330 — 552 1,056 Net loans (charged-off) recovered 1 92 81 153 — (305) 22 Provision for (reversal of) loan losses (389) 66 160 8 (1) 310 154 Balance at end of period $ 3,399 $ 2,024 $ 27,221 $ 2,558 $ 46 $ 201 $ 35,449 The accrued interest receivable on our loan receivables is excluded from the allowance for credit loss estimate and is included in interest receivable on our consolidated balance sheets. As of June 30, 2023 and December 31, 2022, the accrued interest on our loan portfolio was $18.5 million and $18.8 million, respectively. |
Borrowing Arrangements
Borrowing Arrangements | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Borrowing Arrangements | Borrowing Arrangements Information related to borrowings is provided in the table below (dollars in thousands): June 30, 2023 December 31, 2022 Other borrowings: Balance at end of period $ 500,341 $ 221,153 Average amount outstanding during the period (1) 467,205 77,845 Maximum amount outstanding during the period (2) 1,030,421 316,563 Weighted average interest rate during the period (3) 4.6 % 2.4 % Interest rate at end of period (4) 4.5 % 4.1 % FHLB borrowings: Balance at end of period $ 183,007 $ 153,358 Average amount outstanding during the period (1) 307,221 135,926 Maximum amount outstanding during the period (2) 533,242 423,645 Weighted average interest rate during the period (3) 2.7 % 2.4 % Interest rate at end of period (5) 0.9 % 0.7 % (1) The average amount outstanding during the period was computed by dividing the total daily outstanding principal balances by the number of days in the period. (2) The maximum amount outstanding at any month-end during the period. (3) The weighted average interest rate during the period was computed by dividing the actual interest expense (annualized for interim periods) by the average amount outstanding during the period. The weighted average interest rate on other borrowings and FHLB borrowings includes the effect of interest rate swaps. (4) Stated rate. (5) The interest rate on FHLB borrowings includes the effect of interest rate swaps. Maturities of the obligations associated with our borrowing arrangements based on scheduled repayments at June 30, 2023 are as follows (in thousands): Payments Due by Period Less than 1-2 Years 2-3 Years 3-4 Years 4-5 Years Thereafter Total Other borrowings $ 495,380 $ 3,611 $ 1,350 $ — $ — $ — $ 500,341 FHLB borrowings 180,725 756 679 396 416 35 183,007 Total obligations $ 676,105 $ 4,367 $ 2,029 $ 396 $ 416 $ 35 $ 683,348 Other borrowings may include federal funds purchased, repurchase agreements and borrowings from the Federal Reserve through the FRDW and BTFP. Southside Bank has three unsecured lines of credit for the purchase of overnight federal funds at prevailing rates with Frost Bank, TIB – The Independent Bankers Bank and Comerica Bank for $40.0 million, $15.0 million and $7.5 million, respectively. There were no federal funds purchased at June 30, 2023 or December 31, 2022. To provide more liquidity in response to economic conditions in recent years, the Federal Reserve has encouraged broader use of the discount window. At June 30, 2023, the amount of additional funding the Bank could obtain from the FRDW, collateralized by securities, was approximately $593.6 million. There were $100.0 million and $188.0 million in borrowings from the FRDW at June 30, 2023 and December 31, 2022, respectively. To provide more stability and to assure banks have the ability to meet the needs of all their depositors, the Federal Reserve created the BTFP in the first quarter of 2023. At June 30, 2023, the amount of additional funding the Bank could obtain from the BTFP, collateralized by securities, was approximately $708,000. There were $296.2 million in borrowings from the BTFP at June 30, 2023. Southside Bank has a $5.0 million line of credit with Frost Bank to be used to issue letters of credit, and at June 30, 2023, the line had one outstanding letter of credit for $155,000. Southside Bank currently has no outstanding letters of credit from FHLB held as collateral for its public fund deposits. Southside Bank enters into sales of securities under repurchase agreements. These repurchase agreements totaled $104.2 million at June 30, 2023 and $33.2 million at December 31, 2022, and had maturities of less than 3.0 years. Repurchase |
Long-term Debt
Long-term Debt | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Long-term Debt | Long-term Debt Information related to our long-term debt is summarized as follows for the periods presented (in thousands): June 30, 2023 December 31, 2022 Subordinated notes: (1) 3.875% Subordinated notes, net of unamortized debt issuance costs (2) $ 93,796 $ 98,674 Total Subordinated notes 93,796 98,674 Trust preferred subordinated debentures: (3) Southside Statutory Trust III, net of unamortized debt issuance costs (4) 20,575 20,573 Southside Statutory Trust IV 23,196 23,196 Southside Statutory Trust V 12,887 12,887 Magnolia Trust Company I 3,609 3,609 Total Trust preferred subordinated debentures 60,267 60,265 Total Long-term debt $ 154,063 $ 158,939 (1) This debt consists of subordinated notes with a remaining maturity greater than one year that qualify under the risk-based capital guidelines as Tier 2 capital, subject to certain limitations. (2) The unamortized discount and debt issuance costs reflected in the carrying amount of the subordinated notes totaled approximately $1.2 million at June 30, 2023 and $1.3 million at December 31, 2022. (3) This debt consists of trust preferred securities that qualify under the risk-based capital guidelines as Tier 1 capital, subject to certain limitations. (4) The unamortized debt issuance costs reflected in the carrying amount of the Southside Statutory Trust III junior subordinated debentures totaled $44,000 at June 30, 2023 and $46,000 at December 31, 2022. As of June 30, 2023, the details of the subordinated notes and the trust preferred subordinated debentures are summarized below (dollars in thousands): Date Issued Amount Issued Fixed or Floating Rate Interest Rate Maturity Date 3.875% Subordinated Notes (1) November 6, 2020 $ 100,000 Fixed-to-Floating 3.875% November 15, 2030 Southside Statutory Trust III (2) September 4, 2003 $ 20,619 Floating 3 month LIBOR + 2.94% September 4, 2033 Southside Statutory Trust IV (2) August 8, 2007 $ 23,196 Floating 3 month LIBOR + 1.30% October 30, 2037 Southside Statutory Trust V (2) August 10, 2007 $ 12,887 Floating 3 month LIBOR + 2.25% September 15, 2037 Magnolia Trust Company I (2) (3) May 20, 2005 $ 3,609 Floating 3 month LIBOR + 1.80% November 23, 2035 (1) On June 14, 2023, the Company repurchased $5.0 million of the $100 million fixed-to-floating rate subordinated notes that mature on November 15, 2030. (2) Effective July 1, 2023, the Company began utilizing SOFR to reset rates on our floating rate trust preferred subordinated debentures, due to the fact that LIBOR ceased to be published as of June 30, 2023. (3) On October 10, 2007, as part of an acquisition we assumed $3.6 million of floating rate junior subordinated debentures issued in 2005 to Magnolia Trust Company I. On November 6, 2020, the Company issued $100.0 million in aggregate principal amount of fixed-to-floating rate subordinated notes that mature on November 15, 2030. This debt initially bears interest at a fixed rate of 3.875% per year through November 14, 2025 and thereafter, adjusts quarterly at a floating rate equal to the then current three-month term SOFR, as published by the FRBNY, plus 366 basis points. The proceeds from the sale of the subordinated notes were used for general corporate purposes. |
Employee Benefit Plans
Employee Benefit Plans | 6 Months Ended |
Jun. 30, 2023 | |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans The components of net periodic benefit cost (income) related to our employee benefit plans are as follows (in thousands): Three Months Ended June 30, Retirement Plan Acquired Retirement Plan Restoration Plan 2023 2022 2023 2022 2023 2022 Interest cost $ 961 $ 691 $ 31 $ 25 $ 209 $ 150 Expected return on assets (1,144) (1,462) (46) (57) — — Net loss amortization 197 169 — — 8 72 Net periodic benefit cost (income) $ 14 $ (602) $ (15) $ (32) $ 217 $ 222 Six Months Ended June 30, Retirement Plan Acquired Retirement Plan Restoration Plan 2023 2022 2023 2022 2023 2022 Interest cost $ 1,886 $ 1,371 $ 63 $ 51 $ 415 $ 289 Expected return on assets (2,287) (2,923) (93) (116) — — Net loss amortization 363 320 — — 15 127 Net periodic benefit cost (income) $ (38) $ (1,232) $ (30) $ (65) $ 430 $ 416 The noncash adjustment to the employee benefit plan liabilities, consisting of changes in net loss, was $378,000 and $447,000 for the six months ended June 30, 2023 and 2022, respectively. |
Derivative Financial Instrument
Derivative Financial Instruments and Hedging Activities | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments and Hedging Activities | Derivative Financial Instruments and Hedging Activities Our hedging policy allows the use of interest rate derivative instruments to manage our exposure to interest rate risk or hedge specified assets and liabilities. These instruments may include interest rate swaps and interest rate caps and floors. All derivative instruments are carried on the balance sheet at their estimated fair value and are recorded in other assets or other liabilities, as appropriate. Derivative instruments may be designated as cash flow hedges of variable rate assets or liabilities, cash flow hedges of forecasted transactions, fair value hedges of a recognized asset or liability or as non-hedging instruments. Gains and losses on derivative instruments designated as cash flow hedges are recorded in AOCI to the extent they are effective. If the hedge is effective, the amount recorded in other comprehensive income is reclassified to earnings in the same periods that the hedged cash flows impact earnings. The ineffective portion of changes in fair value is reported in current earnings. Gains and losses on derivative instruments designated as fair value hedges, as well as the change in fair value on the hedged item, are recorded in interest income in the consolidated statements of income. Gains and losses due to changes in fair value of the interest rate swap agreements completely offset changes in the fair value of the hedged portion of the hedged item. For derivative instruments not designated as hedging instruments, the gain or loss is recognized in current earnings during the period of change. We have entered into certain interest rate swap contracts on specific variable rate agreements and fixed rate short-term pay agreements with third-parties. These interest rate swap contracts were designated as hedging instruments in cash flow hedges under ASC Topic 815. The objective of the interest rate swap contracts is to manage the expected future cash flows on $760.0 million of Bank liabilities. The cash flows from the swap contracts are expected to be effective in hedging the variability in future cash flows attributable to fluctuations in the underlying LIBOR interest rate or SOFR rate. In accordance with ASC Topic 815, if a hedging item is terminated prior to maturity for a cash settlement, the existing gain or loss within AOCI will continue to be reclassified into earnings during the period or periods in which the hedged forecasted transaction affects earnings unless it is probable the forecasted transaction will not occur by the end of the originally specified time period. These transactions are reevaluated on a monthly basis to determine if the hedged forecasted transactions are still probable of occurring. If at a subsequent evaluation, it is determined that the transactions will not occur, any related gains or losses recorded in AOCI are immediately recognized in earnings. During the second quarter of 2023, we terminated one interest rate swap contract designated as a cash flow hedge. At the time of termination, we determined the underlying hedged forecasted transactions were still probable of occurring. The existing loss in AOCI will be reclassified into earnings in the same periods the hedged forecasted transaction affects earnings. During 2022, we entered into partial term fair value hedges, as allowed under ASU 2017-12, for certain of our fixed rate callable AFS municipal securities. The instruments are designated as fair value hedges as the changes in the fair value of the interest rate swap are expected to offset changes in the fair value of the hedged item attributable to changes in the SOFR swap rate, the designated benchmark interest rate. As of June 30, 2023, hedged securities with a carrying amount of $661.1 million are included in our AFS securities portfolio in our consolidated balance sheets. These derivative contracts involve the receipt of floating rate interest from a counterparty in exchange for us making fixed-rate payments over the life of the agreement, without the exchange of the underlying notional value. The change in the fair value of these hedging instruments is recorded in AOCI and is subsequently reclassified into earnings in the period that the hedged transactions affects earnings. During the second quarter of 2023, we terminated some of our fair value hedging relationships and sold the hedged items. As a result of the sale, the cumulative adjustments to the carrying amount was a fair value gain recognized in earnings and recorded in noninterest income. From time to time, we may enter into certain interest rate swaps, cap and floor contracts that are not designated as hedging instruments. These interest rate derivative contracts relate to transactions in which we enter into an interest rate swap, cap or floor with a customer while concurrently entering into an offsetting interest rate swap, cap or floor with a third-party financial institution. We agree to pay interest to the customer on a notional amount at a variable rate and receive interest from the customer on a similar notional amount at a fixed interest rate. At the same time, we agree to pay a third-party financial institution the same fixed interest rate on the same notional amount and receive the same variable interest rate on the same notional amount. These interest rate derivative contracts allow our customers to effectively convert a variable rate loan to a fixed rate loan. The changes in the fair value of the underlying derivative contracts primarily offset each other and do not significantly impact our results of operations. We recognized swap fee income associated with these derivative contracts immediately based upon the difference in the bid/ask spread of the underlying transactions with the customer and the third-party financial institution. The swap fee income is included in other noninterest income in our consolidated statements of income. At June 30, 2023 and December 31, 2022, net derivative assets included $78.3 million and $82.1 million, respectively, of cash collateral received from counterparties under master netting agreements. The notional amounts of the derivative instruments represent the contractual cash flows pertaining to the underlying agreements. These amounts are not exchanged and are not reflected in the consolidated balance sheets. The fair value of the interest rate swaps are presented at net in other assets and other liabilities and in the net change in each of these financial statement line items in the accompanying consolidated statements of cash flows when a right of offset exists, based on transactions with a single counterparty that are subject to a legally enforceable master netting agreement. The following tables present the notional and estimated fair value amount of derivative positions outstanding (in thousands): June 30, 2023 December 31, 2022 Estimated Fair Value Estimated Fair Value Notional (1) Asset Derivative Liability Derivative Notional (1) Asset Derivative Liability Derivative Derivatives designated as hedging instruments Interest rate contracts: Swaps-Cash Flow Hedge-Financial institution counterparties $ 760,000 $ 38,507 $ — $ 575,000 $ 39,527 $ — Swaps-Fair Value Hedge-Financial institution counterparties 654,870 27,910 — 742,675 21,733 171 Derivatives designated as non-hedging instruments Interest rate contracts: Swaps-Financial institution counterparties 218,901 21,282 — 223,124 21,046 — Swaps-Customer counterparties 218,901 — 21,282 223,124 — 21,046 Gross derivatives 87,699 21,282 82,306 21,217 Offsetting derivative assets/liabilities — — (171) (171) Cash collateral received/posted (78,260) — (82,135) — Net derivatives included in the consolidated balance sheets (2) $ 9,439 $ 21,282 $ — $ 21,046 (1) Notional amounts, which represent the extent of involvement in the derivatives market, are used to determine the contractual cash flows required in accordance with the terms of the agreement. These amounts are typically not exchanged, significantly exceed amounts subject to credit or market risk and are not reflected in the consolidated balance sheets. (2) Net derivative assets are included in other assets and net derivative liabilities are included in other liabilities on the consolidated balance sheets. Included in the fair value of net derivative assets and net derivative liabilities are credit valuation adjustments reflecting counterparty credit risk and our credit risk. We had $9.4 million credit exposure related to interest rate swaps with financial institutions and none related to interest rate swaps with customers at June 30, 2023. We had no credit exposure related to interest rate swaps with financial institutions and none related to interest rate swaps with customers at December 31, 2022. The credit risk associated with customer transactions is partially mitigated as these are generally secured by the non-cash collateral securing the underlying transaction being hedged. The summarized expected weighted average remaining maturity of the notional amount of interest rate swaps and the weighted average interest rates associated with the amounts expected to be received or paid on interest rate swap agreements are presented below (dollars in thousands). Variable rates received on fixed pay swaps are based on one-month or three-month LIBOR or overnight SOFR rates in effect at June 30, 2023 and December 31, 2022: June 30, 2023 December 31, 2022 Weighted Average Weighted Average Notional Amount Remaining Maturity Receive Rate Pay Rate Notional Amount Remaining Maturity Receive Rate Pay Swaps-Cash Flow hedge Financial institution counterparties $ 760,000 2.6 5.23 % 2.02 % $ 575,000 2.3 4.44 % 1.13 % Swaps-Fair Value hedge Financial institution counterparties 654,870 5.8 4.91 % 3.19 % 742,675 6.3 3.42 % 3.21 % Swaps-Non-hedging Financial institution counterparties 218,901 8.6 5.71 % 2.67 % 223,124 9.0 4.83 % 2.69 % Customer counterparties 218,901 8.6 2.67 % 5.71 % 223,124 9.0 2.69 % 4.83 % |
Fair Value Measurement
Fair Value Measurement | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | Fair Value Measurement Fair value is the price that would be received upon the sale of an asset or paid to transfer a liability (exit price) in an orderly transaction between market participants. A fair value measurement assumes the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or, in the absence of a principal market, the most advantageous market for the asset or liability. The price in the principal (or most advantageous) market used to measure the fair value of the asset or liability is not adjusted for transaction costs. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets and liabilities; it is not a forced transaction. Market participants are buyers and sellers in the principal market that are (i) independent, (ii) knowledgeable, (iii) able to transact and (iv) willing to transact. Valuation techniques including the market approach, the income approach and/or the cost approach are utilized to determine fair value. Inputs to valuation techniques refer to the assumptions market participants would use in pricing the asset or liability. Valuation policies and procedures are determined by our investment department and reported to our ALCO for review. An entity must consider all aspects of nonperforming risk, including the entity’s own credit standing, when measuring fair value of a liability. Inputs may be observable, meaning those that reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from independent sources, or unobservable, meaning those that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. A fair value hierarchy for valuation inputs gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: Level 1 Inputs - Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. Level 2 Inputs - Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. These might include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (such as interest rates, volatilities, prepayment speeds, credit risks, etc.) or inputs that are derived principally from or corroborated by market data by correlation or other means. Level 3 Inputs - Unobservable inputs for determining the fair values of assets or liabilities that reflect an entity’s own assumptions about the assumptions that market participants would use in pricing the assets or liabilities. Certain financial assets are measured at fair value in accordance with GAAP. Adjustments to the fair value of these assets usually result from the application of fair value accounting or write-downs of individual assets. A description of the valuation methodologies used for assets and liabilities measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. Securities AFS and Equity Investments with readily determinable fair values – U.S. Treasury securities and equity investments with readily determinable fair values are reported at fair value utilizing Level 1 inputs. Other securities classified as AFS are reported at fair value utilizing Level 2 inputs. For most of these securities, we obtain fair value measurements from independent pricing services and obtain an understanding of the pricing methodologies used by these independent pricing services. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond’s terms and conditions, among other things, as stated in the pricing methodologies of the independent pricing services. We review and validate the prices supplied by the independent pricing services for reasonableness by comparison to prices obtained from, in some cases, two additional third-party sources. For securities where prices are outside a reasonable range, we further review those securities, based on internal ALCO approved procedures, to determine what a reasonable fair value measurement is for those securities, given available data. Derivatives – Derivatives are reported at fair value utilizing Level 2 inputs. We obtain fair value measurements from two sources including an independent pricing service and the counterparty to the derivatives designated as hedges. The fair value measurements consider observable data that may include dealer quotes, market spreads, the U.S. Treasury yield curve, live trading levels, trade execution data, credit information and the derivatives’ terms and conditions, among other things. We review the prices supplied by the sources for reasonableness. In addition, we obtain a basic understanding of their underlying pricing methodology. We validate prices supplied by the sources by comparison to one another. Certain nonfinancial assets and nonfinancial liabilities measured at fair value on a recurring basis include reporting units measured at fair value and tested for goodwill impairment. Certain financial assets and financial liabilities are measured at fair value on a nonrecurring basis, which means that the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment). Financial assets and financial liabilities measured at fair value on a nonrecurring basis included foreclosed assets and collateral-dependent loans at June 30, 2023 and December 31, 2022. Foreclosed Assets – Foreclosed assets are initially recorded at fair value less costs to sell. The fair value measurements of foreclosed assets can include Level 2 measurement inputs such as real estate appraisals and comparable real estate sales information, in conjunction with Level 3 measurement inputs such as cash flow projections, qualitative adjustments and sales cost estimates. As a result, the categorization of foreclosed assets is Level 3 of the fair value hierarchy. In connection with the measurement and initial recognition of certain foreclosed assets, we may recognize charge-offs through the allowance for credit losses. Collateral-Dependent Loans – Certain loans may be reported at the fair value of the underlying collateral if repayment is expected substantially from the operation or sale of the collateral. Collateral values are estimated using Level 3 inputs based on customized discounting criteria or appraisals. At June 30, 2023 and December 31, 2022, the impact of the fair value of collateral-dependent loans was reflected in our allowance for loan losses. The fair value estimate of financial instruments for which quoted market prices are unavailable is dependent upon the assumptions used. Consequently, those estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in immediate settlement of the instruments. Accordingly, the aggregate fair value amounts presented in the fair value tables do not necessarily represent their underlying value. The following tables summarize assets measured at fair value on a recurring and nonrecurring basis segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value (in thousands): Fair Value Measurements at the End of the Reporting Period Using June 30, 2023 Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Recurring fair value measurements Investment securities: U.S. Treasury $ 298,998 $ 298,998 $ — $ — State and political subdivisions 770,283 — 770,283 — Corporate bonds and other 12,991 — 12,991 — MBS: (1) Residential 247,233 — 247,233 — Commercial 10,316 — 10,316 — Equity investments: Equity investments 5,235 5,235 — — Derivative assets: Interest rate swaps 87,699 — 87,699 — Total asset recurring fair value measurements $ 1,432,755 $ 304,233 $ 1,128,522 $ — Derivative liabilities: Interest rate swaps $ 21,282 $ — $ 21,282 $ — Total liability recurring fair value measurements $ 21,282 $ — $ 21,282 $ — Nonrecurring fair value measurements Foreclosed assets $ 42 $ — $ — $ 42 Collateral-dependent loans (2) 7,539 — — 7,539 Total asset nonrecurring fair value measurements $ 7,581 $ — $ — $ 7,581 Fair Value Measurements at the End of the Reporting Period Using December 31, 2022 Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Recurring fair value measurements Investment securities: State and political subdivisions $ 964,852 $ — $ 964,852 $ — Corporate bonds and other 8,704 — 8,704 — MBS: (1) Residential 315,027 — 315,027 — Commercial 10,431 — 10,431 — Equity investments: Equity investments 5,235 5,235 — — Derivative assets: Interest rate swaps 82,306 — 82,306 — Total asset recurring fair value measurements $ 1,386,555 $ 5,235 $ 1,381,320 $ — Derivative liabilities: Interest rate swaps $ 21,217 $ — $ 21,217 $ — Total liability recurring fair value measurements $ 21,217 $ — $ 21,217 $ — Nonrecurring fair value measurements Foreclosed assets $ 167 $ — $ — $ 167 Collateral-dependent loans (2) 7,815 — — 7,815 Total asset nonrecurring fair value measurements $ 7,982 $ — $ — $ 7,982 (1) All MBS are issued and/or guaranteed by U.S. government agencies or U.S. GSEs. (2) Consists of individually evaluated loans. Loans for which the fair value of the collateral and commercial real estate fair value of the properties is less than cost basis are presented net of allowance. Losses on these loans represent charge-offs which are netted against the allowance for loan losses. Disclosure of fair value information about financial instruments, whether or not recognized in the balance sheet, is required when it is practicable to estimate that value. In cases where quoted market prices are not available, fair values are based on estimates using present value or other estimation techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. Such techniques and assumptions, as they apply to individual categories of our financial instruments, are as follows: Cash and cash equivalents – The carrying amount for cash and cash equivalents is a reasonable estimate of those assets’ fair value. Investment and MBS HTM – Fair values for these securities are based on quoted market prices, where available. If quoted market prices are not available, fair values are based on quoted market prices for similar securities or estimates from independent pricing services. FHLB stock – The carrying amount of FHLB stock is a reasonable estimate of the fair value of those assets. Equity investments – The carrying value of equity investments without readily determinable fair values are measured at cost less impairment, if any, adjusted for observable price changes for an identical or similar investment of the same issuer. This carrying value is a reasonable estimate of the fair value of those assets. Loans receivable – We estimate the fair value of our loan portfolio to an exit price notion with adjustments for liquidity, credit and prepayment factors. Nonperforming loans continue to be estimated using discounted cash flow analyses or the underlying value of the collateral where applicable. Loans held for sale – The fair value of loans held for sale is determined based on expected proceeds, which are based on sales contracts and commitments. Deposit liabilities – The fair value of demand deposits, savings accounts and certain money market deposits is the amount on demand at the reporting date, which is the carrying value. Fair values for fixed rate CDs are estimated using a discounted cash flow calculation that applies interest rates currently being offered for deposits of similar remaining maturities. Other borrowings – Federal funds purchased generally have original terms to maturity of one day and repurchase agreements generally have terms of less than one year, and therefore both are considered short-term borrowings. Consequently, their carrying value is a reasonable estimate of fair value. Borrowings from the Federal Reserve through the FRDW and BTFP have original maturities of one year or less, and the fair value is estimated by discounting the future cash flows using rates at which borrowings would be made to borrowers with similar credit ratings and for the same remaining maturities. FHLB borrowings – The fair value of these borrowings is estimated by discounting the future cash flows using rates at which borrowings would be made to borrowers with similar credit ratings and for the same remaining maturities. Subordinated notes – The fair value of the subordinated notes is estimated by discounting future cash flows using estimated rates at which long-term debt would be made to borrowers with similar credit ratings and for the remaining maturities. Trust preferred subordinated debentures – The fair value of the long-term debt is estimated by discounting future cash flows using estimated rates at which long-term debt would be made to borrowers with similar credit ratings and for the remaining maturities. The following tables present our financial assets and financial liabilities measured on a nonrecurring basis at both their respective carrying amounts and estimated fair value (in thousands): Estimated Fair Value June 30, 2023 Carrying Total Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 207,113 $ 207,113 $ 207,113 $ — $ — Investment securities: HTM, at carrying value 1,184,922 1,035,925 — 1,035,925 — MBS: HTM, at carrying value 123,550 112,890 — 112,890 — FHLB stock, at cost 10,801 10,801 — 10,801 — Equity investments 4,337 4,337 — 4,337 — Loans, net of allowance for loan losses 4,292,740 3,989,515 — — 3,989,515 Loans held for sale 1,666 1,666 — 1,666 — Financial liabilities: Deposits $ 6,117,687 $ 6,081,139 $ — $ 6,081,139 $ — Other borrowings 500,341 502,199 — 502,199 — FHLB borrowings 183,007 169,942 — 169,942 — Subordinated notes, net of unamortized debt issuance costs 93,796 85,323 — 85,323 — Trust preferred subordinated debentures, net of unamortized debt issuance costs 60,267 54,964 — 54,964 — Estimated Fair Value December 31, 2022 Carrying Total Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 199,252 $ 199,252 $ 199,252 $ — $ — Investment securities: HTM, at carrying value 1,190,108 1,023,376 — 1,023,376 — Mortgage-backed securities: HTM, at carrying value 136,621 125,780 — 125,780 — FHLB stock, at cost 9,190 9,190 — 9,190 — Equity investments 5,946 5,946 — 5,946 — Loans, net of allowance for loan losses 4,111,176 3,880,664 — — 3,880,664 Loans held for sale 667 667 — 667 — Financial liabilities: Deposits $ 6,198,019 $ 6,158,517 $ — $ 6,158,517 $ — Other borrowings 221,153 221,153 — 221,153 — FHLB borrowings 153,358 140,976 — 140,976 — Subordinated notes, net of unamortized debt issuance costs 98,674 91,357 — 91,357 — Trust preferred subordinated debentures, net of unamortized debt issuance costs 60,265 60,594 — 60,594 — |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The income tax expense included in the accompanying consolidated statements of income consists of the following (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Current income tax expense $ 4,690 $ 2,939 $ 9,427 $ 5,800 Deferred income tax expense (benefit) (122) 358 (316) 643 Income tax expense $ 4,568 $ 3,297 $ 9,111 $ 6,443 The net deferred tax asset totaled $29.2 million at June 30, 2023 as compared to $34.7 million at December 31, 2022. The decrease in the net deferred tax asset is primarily the result of a decrease in unrealized losses in the AFS securities portfolio. No valuation allowance was recorded at June 30, 2023 or December 31, 2022, as management believes it is more likely than not that all of the deferred tax asset items will be realized in future years. Unrecognized tax benefits were not material at June 30, 2023 or December 31, 2022. |
Off-Balance-Sheet Arrangements,
Off-Balance-Sheet Arrangements, Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Off-Balance-Sheet Arrangements, Commitments and Contingencies | Off-Balance-Sheet Arrangements, Commitments and Contingencies Financial Instruments with Off-Balance-Sheet Risk . In the normal course of business, we are a party to certain financial instruments with off-balance-sheet risk to meet the financing needs of our customers. These off-balance-sheet instruments include commitments to extend credit and standby letters of credit. These instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount reflected in the financial statements. The contract or notional amounts of these instruments reflect the extent of involvement and exposure to credit loss that we have in these particular classes of financial instruments. The allowance for credit losses on these off-balance-sheet credit exposures is calculated using the same methodology as loans including a conversion or usage factor to anticipate ultimate exposure and expected losses and is included in other liabilities on our consolidated balance sheets. Allowance for off-balance-sheet credit exposures were as follows (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Balance at beginning of period $ 3,559 $ 2,412 $ 3,687 $ 2,384 Provision for (reversal of) off-balance-sheet credit exposures (352) (521) (480) (493) Balance at end of period $ 3,207 $ 1,891 $ 3,207 $ 1,891 Contractual commitments to extend credit are agreements to lend to a customer provided the terms established in the contract are met. Commitments to extend credit generally have fixed expiration dates and may require the payment of fees. Since some commitments are expected to expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. Standby letters of credit are conditional commitments issued to guarantee the performance of a customer to a third party. These guarantees are primarily issued to support public and private borrowing arrangements. The credit risk involved in issuing letters of credit is essentially the same as that involved in commitments to extend credit and similarly do not necessarily represent future cash obligations. Financial instruments with off-balance-sheet risk were as follows (in thousands): June 30, 2023 December 31, 2022 Commitments to extend credit $ 1,240,994 $ 1,296,773 Standby letters of credit 12,646 26,844 Total $ 1,253,640 $ 1,323,617 We apply the same credit policies in making commitments to extend credit and standby letters of credit as we do for on-balance-sheet instruments. We evaluate each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary, upon extension of credit is based on management’s credit evaluation of the borrower. Collateral held varies but may include cash or cash equivalents, negotiable instruments, real estate, accounts receivable, inventory, oil, gas and mineral interests, property, plant and equipment. Leases . During the three and six months ended June 30, 2023, there were $411,000 and $603,000, respectively, operating lease ROU assets obtained in exchange for new operating lease liabilities. During the three and six months ended June 30, 2022, there were no operating lease ROU assets obtained in exchange for new operating lease liabilities. Securities . In the normal course of business we buy and sell securities. At June 30, 2023, there were no unsettled trades to purchase securities and $31.5 million unsettled trades to sell securities. At December 31, 2022, there were no unsettled trades to purchase securities and no unsettled trades to sell securities. Deposits . There were no unsettled issuances of brokered CDs at June 30, 2023 or December 31, 2022. Litigation . We are involved with various litigation in the normal course of business. Management, after consulting with our legal counsel, believes that any liability resulting from litigation will not have a material effect on our financial position, results of operations or liquidity. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Pay vs Performance Disclosure | ||||||
Net income | $ 24,893 | $ 26,034 | $ 25,405 | $ 24,996 | $ 50,927 | $ 50,401 |
Summary of Significant Accoun_2
Summary of Significant Accounting and Reporting Policies (Policies) | 6 Months Ended |
Jun. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation In this report, the words “the Company,” “we,” “us,” and “our” refer to the combined entities of Southside Bancshares, Inc. and its subsidiaries, including Southside Bank. The words “Southside” and “Southside Bancshares” refer to Southside Bancshares, Inc. The words “Southside Bank” and “the Bank” refer to Southside Bank. The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. GAAP for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, not all information required by GAAP for complete financial statements is included in these interim statements. In the opinion of management, all adjustments necessary for a fair presentation of such financial statements have been included. Such adjustments consisted only of normal recurring items. The preparation of these consolidated financial statements in accordance with GAAP requires the use of management’s estimates. These estimates are subjective in nature and involve matters of judgment. Actual amounts could differ from these estimates. |
Reclassifications | Certain prior period amounts may be reclassified to conform to current year presentation. Current Expected Credit Losses - Troubled Debt Restructurings and Vintage Disclosures We adopted ASU 2022-02, “Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures” on January 1, 2023, the effective date of the guidance, on a prospective basis. ASU 2022-02 eliminated the accounting guidance for TDRs, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. Specifically, rather than applying the recognition and measurement guidance for TDRs, an entity must apply the loan refinancing and restructuring guidance to determine whether a modification results in a new loan or a continuation of an existing loan. Additionally, ASU 2022-02 requires an entity to disclose current-period gross write-offs by year of origination for financing receivables within the scope of Subtopic 326-20, “Financial Instruments—Credit Losses—Measured at Amortized Cost.” ASU 2022-02 did not have a material impact on our consolidated financial statements. |
Accounting Changes and Reclassifications and Accounting Pronouncements | Accounting Pronouncements In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” ASU 2020-04 is intended to provide relief for companies preparing for discontinuation of interest rates based on LIBOR. The ASU provides optional expedients and exceptions for applying GAAP to contract modifications and hedging relationships, subject to meeting certain criteria, that reference LIBOR or other reference rates expected to be discontinued. ASU 2020-04 also provides for a one-time sale and/or transfer to AFS or trading to be made for HTM debt securities that both reference an eligible reference rate and were classified as HTM before January 1, 2020. ASU 2020-04 was effective for all entities as of March 12, 2020 and through December 31, 2022. Companies can apply the ASU as of the beginning of the interim period that includes March 12, 2020 or any date thereafter. The guidance requires companies to apply the guidance prospectively to contract modifications and hedging relationships while the one-time election to sell and/or transfer debt securities classified as HTM may be made any time after March 12, 2020. Additionally, in January 2021, the FASB issued ASU 2021-01, “Reference Rate Reform (Topic 848): Scope,” which provided additional clarification that certain optional expedients and exceptions noted above apply to derivative instruments that use an interest rate for margining, discounting or contract price alignment that is modified as a result of reference rate reform. In December 2022, the FASB issued ASU 2022-06, “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848,” which was effective upon issuance and deferred the sunset date in Topic 848 from December 31, 2022 to December 31, 2024. We established an officer level committee to guide our transition from LIBOR in October 2019 and are transitioning to alternative rates consistent with industry timelines. We continue to evaluate our LIBOR exposure. Our trust preferred subordinated debentures will transition to an adjusted SOFR index in accordance with the Federal Reserve final rule implementing the Adjustable Interest Rate Act. Our cash flow hedges will transition to an adjusted SOFR index in accordance with the ISDA 2020 IBOR Fallbacks Protocol. We have identified our products that utilize LIBOR and have implemented enhanced fallback language to facilitate the transition to alternative reference rates. We have evaluated our systems and are offering alternative rates. We are no longer |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings per share on a basic and diluted basis | Earnings per share on a basic and diluted basis are calculated as follows (in thousands, except per share amounts): Three Months Ended Six Months Ended 2023 2022 2023 2022 Basic and Diluted Earnings: Net income $ 24,893 $ 25,405 $ 50,927 $ 50,401 Basic weighted-average shares outstanding 30,721 32,119 31,045 32,237 Add: Stock awards 33 132 54 157 Diluted weighted-average shares outstanding 30,754 32,251 31,099 32,394 Basic earnings per share: Net income $ 0.81 $ 0.79 $ 1.64 $ 1.56 Diluted earnings per share: Net income $ 0.81 $ 0.79 $ 1.64 $ 1.56 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of accumulated other comprehensive income (loss) by component | The changes in accumulated other comprehensive income (loss) by component are as follows (in thousands): Three Months Ended June 30, 2023 Unrealized Gains (Losses) on Securities Unrealized Gains (Losses) on Derivatives Retirement Plans Total Beginning balance, net of tax $ (135,627) $ 21,680 $ (19,365) $ (133,312) Other comprehensive income (loss): Other comprehensive income (loss) before reclassifications 6,831 15,876 — 22,707 Reclassification adjustments included in net income 5,444 (6,054) 205 (405) Income tax (expense) benefit (2,577) (2,063) (43) (4,683) Net current-period other comprehensive income (loss), net of tax 9,698 7,759 162 17,619 Ending balance, net of tax $ (125,929) $ 29,439 $ (19,203) $ (115,693) Six Months Ended June 30, 2023 Retirement Plans Unrealized Gains (Losses) on Securities Unrealized Gains (Losses) on Derivatives Retirement Plans Total Beginning balance, net of tax $ (149,181) $ 31,227 $ (19,502) $ (137,456) Other comprehensive income (loss): Other comprehensive (loss) income before reclassifications 19,850 8,900 — 28,750 Reclassification adjustments included in net income 9,582 (11,162) 378 (1,202) Income tax (expense) benefit (6,180) 474 (79) (5,785) Net current-period other comprehensive income (loss), net of tax 23,252 (1,788) 299 21,763 Ending balance, net of tax $ (125,929) $ 29,439 $ (19,203) $ (115,693) Three Months Ended June 30, 2022 Unrealized Gains (Losses) on Securities Unrealized Gains (Losses) on Derivatives Retirement Plans Total Beginning balance, net of tax $ (72,699) $ 16,018 $ (23,590) $ (80,271) Other comprehensive income (loss): Other comprehensive income (loss) before reclassifications (85,883) 7,047 — (78,836) Reclassification adjustments included in net income 3,487 344 241 4,072 Income tax (expense) benefit 17,303 (1,552) (51) 15,700 Net current-period other comprehensive income (loss), net of tax (65,093) 5,839 190 (59,064) Ending balance, net of tax $ (137,792) $ 21,857 $ (23,400) $ (139,335) Six Months Ended June 30, 2022 Unrealized Gains (Losses) on Securities Unrealized Gains (Losses) on Derivatives Retirement Plans Total Beginning balance, net of tax $ 84,716 $ (1,257) $ (23,754) $ 59,705 Other comprehensive income (loss): Other comprehensive income (loss) before reclassifications (286,928) 27,593 — (259,335) Reclassification adjustments included in net income 5,273 1,666 447 7,386 Income tax (expense) benefit 59,147 (6,145) (93) 52,909 Net current-period other comprehensive income (loss), net of tax (222,508) 23,114 354 (199,040) Ending balance, net of tax $ (137,792) $ 21,857 $ (23,400) $ (139,335) |
Reclassifications out of accumulated other comprehensive income | The reclassification adjustments out of accumulated other comprehensive income (loss) included in net income are presented below (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Unrealized gains and losses on securities transferred: Amortization of unrealized gains and losses (1) $ (1,989) $ (1,310) $ (3,981) $ (1,553) Tax benefit 418 275 836 326 Net of tax (1,571) (1,035) (3,145) (1,227) Unrealized gains and losses on available for sale securities: Realized net gain (loss) on sale of securities (2) (3,455) (2,177) (5,601) (3,720) Tax (expense) benefit 725 457 1,176 781 Net of tax (2,730) (1,720) (4,425) (2,939) Derivatives: Realized net gain (loss) on interest rate swap derivatives (3) 6,054 (344) 11,162 (1,666) Tax benefit (1,272) 72 (2,344) 350 Net of tax 4,782 (272) 8,818 (1,316) Amortization of pension plan: Net actuarial loss (4) (205) (241) (378) (447) Tax benefit 43 51 79 93 Net of tax (162) (190) (299) (354) Total reclassifications for the period, net of tax $ 319 $ (3,217) $ 949 $ (5,836) (1) Included in interest income on the consolidated statements of income. (2) Listed as net gain (loss) on sale of securities AFS on the consolidated statements of income. (3) Included in interest expense for FHLB borrowings, other borrowings and deposits on the consolidated statements of income. (4) These AOCI components are included in the computation of net periodic pension cost (income) presented in “Note 8 – Employee Benefit Plans.” |
Securities (Tables)
Securities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Investments, Debt and Equity Securities [Abstract] | |
Amortized cost and estimated fair value of investment and mortgage-backed securities | The amortized cost, gross unrealized gains and losses and estimated fair value of investment and mortgage-backed AFS and HTM securities as of June 30, 2023 and December 31, 2022 are reflected in the tables below (in thousands): June 30, 2023 Amortized Gross Unrealized Gross Unrealized Estimated AVAILABLE FOR SALE Cost Gains Losses Fair Value Investment securities: U.S. Treasury $ 298,907 $ 91 $ — $ 298,998 State and political subdivisions 826,193 750 56,660 770,283 Corporate bonds and other 14,532 18 1,559 12,991 MBS: (1) Residential 258,683 171 11,621 247,233 Commercial 11,253 47 984 10,316 Total $ 1,409,568 $ 1,077 $ 70,824 $ 1,339,821 HELD TO MATURITY Investment securities: State and political subdivisions $ 1,038,551 $ 7,093 $ 139,616 $ 906,028 Corporate bonds and other 146,371 421 16,895 129,897 MBS: (1) Residential 92,920 9 8,225 84,704 Commercial 30,630 — 2,444 28,186 Total $ 1,308,472 $ 7,523 $ 167,180 $ 1,148,815 December 31, 2022 Amortized Gross Unrealized Gross Unrealized Estimated AVAILABLE FOR SALE Cost Gains Losses Fair Value Investment securities: State and political subdivisions $ 1,039,453 $ 956 $ 75,557 $ 964,852 Corporate bonds and other 8,692 26 14 8,704 MBS: (1) Residential 328,400 250 13,623 315,027 Commercial 11,329 50 948 10,431 Total $ 1,387,874 $ 1,282 $ 90,142 $ 1,299,014 HELD TO MATURITY Investment securities: State and political subdivisions $ 1,037,556 $ 3,969 $ 163,283 $ 878,242 Corporate bonds and other 152,552 575 7,993 145,134 MBS: (1) Residential 93,796 21 8,343 85,474 Commercial 42,825 — 2,519 40,306 Total $ 1,326,729 $ 4,565 $ 182,138 $ 1,149,156 (1) All MBS are issued and/or guaranteed by U.S. government agencies or U.S. GSEs. |
Unrealized loss on securities | The following tables present the fair value and unrealized losses on AFS and HTM investment securities and MBS, if applicable, for which an allowance for credit losses has not been recorded as of June 30, 2023 and December 31, 2022, segregated by major security type and length of time in a continuous loss position (in thousands): June 30, 2023 Less Than 12 Months More Than 12 Months Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss AVAILABLE FOR SALE Investment securities: State and political subdivisions $ 116,217 $ 1,862 $ 602,120 $ 54,798 $ 718,337 $ 56,660 Corporate bonds and other 12,786 1,559 — — 12,786 1,559 MBS: Residential 169,577 6,585 61,126 5,036 230,703 11,621 Commercial — — 8,047 984 8,047 984 Total $ 298,580 $ 10,006 $ 671,293 $ 60,818 $ 969,873 $ 70,824 HELD TO MATURITY Investment securities: State and political subdivisions $ 140,247 $ 7,452 $ 606,783 $ 132,164 $ 747,030 $ 139,616 Corporate bonds and other 29,119 4,522 98,082 12,373 127,201 16,895 MBS: Residential 18,021 1,267 66,019 6,958 84,040 8,225 Commercial — — 28,186 2,444 28,186 2,444 Total $ 187,387 $ 13,241 $ 799,070 $ 153,939 $ 986,457 $ 167,180 December 31, 2022 Less Than 12 Months More Than 12 Months Total Fair Value Unrealized Fair Value Unrealized Fair Value Unrealized AVAILABLE FOR SALE Investment securities: State and political subdivisions $ 859,270 $ 68,683 $ 26,620 $ 6,874 $ 885,890 $ 75,557 Corporate bonds and other 3,678 14 — — 3,678 14 MBS: Residential 306,294 13,623 — — 306,294 13,623 Commercial 5,613 318 2,545 630 8,158 948 Total $ 1,174,855 $ 82,638 $ 29,165 $ 7,504 $ 1,204,020 $ 90,142 HELD TO MATURITY Investment securities: State and political subdivisions $ 426,382 $ 66,898 $ 323,385 $ 96,385 $ 749,767 $ 163,283 Corporate bonds and other 125,250 6,660 12,738 1,333 137,988 7,993 Mortgage-backed securities: Residential 80,801 7,799 3,932 544 84,733 8,343 Commercial 40,306 2,519 — — 40,306 2,519 Total $ 672,739 $ 83,876 $ 340,055 $ 98,262 $ 1,012,794 $ 182,138 |
Interest income recognized on securities | The following table reflects interest income recognized on securities for the periods presented (in thousands): Three Months Ended 2023 2022 U.S. Treasury $ 3,826 $ 59 State and political subdivisions 16,901 13,788 Corporate bonds and other 1,766 1,390 MBS 3,830 3,238 Total interest income on securities $ 26,323 $ 18,475 Six Months Ended 2023 2022 U.S. Treasury $ 4,523 $ 227 State and political subdivisions 34,000 27,120 Corporate bonds and other 3,598 2,717 MBS 8,159 7,255 Total interest income on securities $ 50,280 $ 37,319 |
Amortized cost, carrying value and fair value of securities presented by contractual maturity | The amortized cost and estimated fair value of AFS and HTM securities at June 30, 2023, are presented below by contractual maturity (in thousands): June 30, 2023 Amortized Cost Fair Value AVAILABLE FOR SALE Investment securities: Due in one year or less $ 299,118 $ 299,208 Due after one year through five years 1,564 1,591 Due after five years through ten years 32,280 30,881 Due after ten years 806,670 750,592 1,139,632 1,082,272 MBS: 269,936 257,549 Total $ 1,409,568 $ 1,339,821 June 30, 2023 Amortized Cost Fair Value HELD TO MATURITY Investment securities: Due in one year or less $ 125 $ 124 Due after one year through five years 20,809 20,016 Due after five years through ten years 136,422 120,546 Due after ten years 1,027,566 895,239 1,184,922 1,035,925 MBS: 123,550 112,890 Total $ 1,308,472 $ 1,148,815 |
Unrealized and realized gains (losses) recognized in net income on equity investments | The following is a summary of unrealized and realized gains and losses on equity investments recognized in other noninterest income in the consolidated statements of income during the periods presented (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Net gains (losses) recognized during the period on equity investments $ 2,558 $ (191) $ 5,058 $ (466) Less: Net gains recognized during the period on equity investments sold during the period 2,642 — 5,058 — Unrealized gains (losses) recognized during the reporting period on equity investments held at the reporting date $ (84) $ (191) $ — $ (466) |
Loans and Allowance for Loan _2
Loans and Allowance for Loan Losses (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Receivables [Abstract] | |
Loans by Portfolio Segment | Loans in the accompanying consolidated balance sheets are classified as follows (in thousands): June 30, 2023 December 31, 2022 Real estate loans: Construction $ 657,354 $ 559,681 1-4 family residential 684,878 663,519 Commercial 2,100,338 1,987,707 Commercial loans 383,724 412,064 Municipal loans 435,211 450,067 Loans to individuals 67,538 74,653 Total loans 4,329,043 4,147,691 Less: Allowance for loan losses 36,303 36,515 Net loans $ 4,292,740 $ 4,111,176 |
Summary of loans by credit quality indicators and origination year | The following tables set forth the amortized cost basis by class of financing receivable and credit quality indicator for the periods presented (in thousands): June 30, 2023 Term Loans Amortized Cost Basis by Origination Year Revolving Loans Amortized Cost Basis Total 2023 2022 2021 2020 2019 Prior Construction real estate: Pass $ 67,993 $ 190,372 $ 177,651 $ 31,227 $ 4,291 $ 6,267 $ 159,462 $ 637,263 Pass watch — 2,444 1,557 — — — 14,785 18,786 Special mention 161 395 — — 9 — — 565 Substandard — — 136 — — 225 — 361 Doubtful — — 42 — 337 — — 379 Total construction real estate $ 68,154 $ 193,211 $ 179,386 $ 31,227 $ 4,637 $ 6,492 $ 174,247 $ 657,354 Current period gross charge-offs $ — $ 63 $ — $ — $ — $ — $ — $ 63 1-4 family residential real estate: Pass $ 25,409 $ 105,843 $ 144,970 $ 122,025 $ 66,539 $ 212,648 $ 2,205 $ 679,639 Pass watch — — — 1,099 — 1,364 — 2,463 Special mention — — 63 206 123 2,150 — 2,542 Substandard — — — — — 234 — 234 Doubtful — — — — — — — — Total 1-4 family residential real estate $ 25,409 $ 105,843 $ 145,033 $ 123,330 $ 66,662 $ 216,396 $ 2,205 $ 684,878 Current period gross charge-offs $ — $ — $ — $ — $ — $ 71 $ — $ 71 Commercial real estate: Pass $ 268,423 $ 756,424 $ 524,837 $ 152,119 $ 98,968 $ 224,529 $ 15,889 $ 2,041,189 Pass watch 15,690 — 265 — 7,964 11,563 — 35,482 Special mention 2,019 — — — 223 188 — 2,430 Substandard — — 100 274 14,304 6,386 — 21,064 Doubtful — — — — 72 101 — 173 Total commercial real estate $ 286,132 $ 756,424 $ 525,202 $ 152,393 $ 121,531 $ 242,767 $ 15,889 $ 2,100,338 Current period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Commercial loans: Pass $ 36,239 $ 88,384 $ 57,919 $ 14,309 $ 5,897 $ 5,441 $ 161,472 $ 369,661 Pass watch 26 193 134 — — — 200 553 Special mention — 180 4,890 23 — 249 6,709 12,051 Substandard 168 395 87 — 61 8 20 739 Doubtful — 328 164 — 75 153 — 720 Total commercial loans $ 36,433 $ 89,480 $ 63,194 $ 14,332 $ 6,033 $ 5,851 $ 168,401 $ 383,724 Current period gross charge-offs $ — $ 290 $ 29 $ 22 $ 23 $ 5 $ — $ 369 Municipal loans: Pass $ 11,835 $ 62,834 $ 72,572 $ 52,677 $ 44,579 $ 190,714 $ — $ 435,211 Pass watch — — — — — — — — Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total municipal loans $ 11,835 $ 62,834 $ 72,572 $ 52,677 $ 44,579 $ 190,714 $ — $ 435,211 Current period gross charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Loans to individuals: Pass $ 14,071 $ 21,029 $ 15,872 $ 9,246 $ 3,284 $ 1,410 $ 2,582 $ 67,494 Pass watch — — — — — 1 — 1 Special mention — — — — — — — — Substandard — — 17 — 20 — — 37 Doubtful — — 6 — — — — 6 Total loans to individuals $ 14,071 $ 21,029 $ 15,895 $ 9,246 $ 3,304 $ 1,411 $ 2,582 $ 67,538 Current period gross charge-offs (1) $ 729 $ 31 $ 22 $ 6 $ 2 $ 77 $ — $ 867 Total loans $ 442,034 $ 1,228,821 $ 1,001,282 $ 383,205 $ 246,746 $ 663,631 $ 363,324 $ 4,329,043 Total current period gross charge-offs (1) $ 729 $ 384 $ 51 $ 28 $ 25 $ 153 $ — $ 1,370 (1) Includes $729,000 in charged off demand deposit overdrafts reported as 2023 originations. December 31, 2022 Term Loans Amortized Cost Basis by Origination Year Revolving Loans Amortized Cost Basis Total 2022 2021 2020 2019 2018 Prior Construction real estate: Pass $ 169,652 $ 184,501 $ 34,537 $ 7,091 $ 1,844 $ 6,434 $ 152,530 $ 556,589 Pass watch 299 — — — — — — 299 Special mention 1,858 290 — — — — — 2,148 Substandard — — — 10 42 194 — 246 Doubtful — 44 — 355 — — — 399 Total construction real estate $ 171,809 $ 184,835 $ 34,537 $ 7,456 $ 1,886 $ 6,628 $ 152,530 $ 559,681 1-4 family residential real estate: Pass $ 82,847 $ 144,424 $ 128,666 $ 70,142 $ 36,710 $ 194,490 $ 2,160 $ 659,439 Pass watch — — — — — — — — Special mention — — 79 — 1,397 — — 1,476 Substandard 3 — 217 54 32 1,942 43 2,291 Doubtful — — — — 173 140 — 313 Total 1-4 family residential real estate $ 82,850 $ 144,424 $ 128,962 $ 70,196 $ 38,312 $ 196,572 $ 2,203 $ 663,519 Commercial real estate: Pass $ 798,653 $ 546,938 $ 168,607 $ 136,440 $ 55,480 $ 233,509 $ 12,315 $ 1,951,942 Pass watch — 9,219 — — — — — 9,219 Special mention — — 1,832 330 115 1,849 — 4,126 Substandard — — 281 14,603 260 6,992 — 22,136 Doubtful — — — 76 — 208 — 284 Total commercial real estate $ 798,653 $ 556,157 $ 170,720 $ 151,449 $ 55,855 $ 242,558 $ 12,315 $ 1,987,707 Commercial loans: Pass $ 113,678 $ 68,509 $ 17,852 $ 8,249 $ 4,820 $ 3,313 $ 178,951 $ 395,372 Pass watch 208 13 56 — — — — 277 Special mention — 5,109 31 — 288 — 9,986 15,414 Substandard 220 116 70 110 12 9 — 537 Doubtful 68 100 — 86 210 — — 464 Total commercial loans $ 114,174 $ 73,847 $ 18,009 $ 8,445 $ 5,330 $ 3,322 $ 188,937 $ 412,064 Municipal loans: Pass $ 65,258 $ 74,617 $ 57,147 $ 47,636 $ 24,576 $ 173,919 $ — $ 443,153 Pass watch — — — 508 403 6,003 — 6,914 Special mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total municipal loans $ 65,258 $ 74,617 $ 57,147 $ 48,144 $ 24,979 $ 179,922 $ — $ 450,067 Loans to individuals: Pass $ 29,579 $ 21,480 $ 12,651 $ 5,261 $ 1,665 $ 1,005 $ 2,935 $ 74,576 Pass watch — — — — — — — — Special mention — — — — — — — — Substandard — 1 — 6 — 2 — 9 Doubtful 7 — — 18 40 3 — 68 Total loans to individuals $ 29,586 $ 21,481 $ 12,651 $ 5,285 $ 1,705 $ 1,010 $ 2,935 $ 74,653 Total loans $ 1,262,330 $ 1,055,361 $ 422,026 $ 290,975 $ 128,067 $ 630,012 $ 358,920 $ 4,147,691 |
Aging of past due loans by class of loan | The following tables present the aging of the amortized cost basis in past due loans by class of loans (in thousands): June 30, 2023 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Past Due Total Past Due Current Total Real estate loans: Construction $ 122 $ 6 $ 136 $ 264 $ 657,090 $ 657,354 1-4 family residential 1,406 1,371 585 3,362 681,516 684,878 Commercial 708 143 38 889 2,099,449 2,100,338 Commercial loans 593 416 103 1,112 382,612 383,724 Municipal loans — — — — 435,211 435,211 Loans to individuals 387 19 — 406 67,132 67,538 Total $ 3,216 $ 1,955 $ 862 $ 6,033 $ 4,323,010 $ 4,329,043 December 31, 2022 30-59 Days Past Due 60-89 Days Past Due Greater than 90 Days Total Past Due Current Total Real estate loans: Construction $ 43 $ 21 $ — $ 64 $ 559,617 $ 559,681 1-4 family residential 3,529 368 214 4,111 659,408 663,519 Commercial 105 153 415 673 1,987,034 1,987,707 Commercial loans 515 277 247 1,039 411,025 412,064 Municipal loans — — — — 450,067 450,067 Loans to individuals 203 3 40 246 74,407 74,653 Total $ 4,395 $ 822 $ 916 $ 6,133 $ 4,141,558 $ 4,147,691 |
Nonperforming assets by asset class | The following table sets forth the amortized cost basis of nonperforming assets for the periods presented (in thousands): June 30, 2023 December 31, 2022 Nonaccrual loans: Real estate loans: Construction $ 521 $ 405 1-4 family residential 1,005 848 Commercial 554 762 Commercial loans 930 757 Loans to individuals 7 74 Total nonaccrual loans (1) 3,017 2,846 Accruing loans past due more than 90 days — — Restructured loans (2) — 7,849 OREO — 93 Repossessed assets 42 74 Total nonperforming assets $ 3,059 $ 10,862 (1) Includes $314,000 and $897,000 of restructured loans as of June 30, 2023 and December 31, 2022, respectively. (2) Pursuant to our adoption of ASU 2022-02, effective January 1, 2023, we prospectively discontinued the recognition and measurement guidance previously required on troubled debt restructures. As a result, “restructured” loans as of March 31, 2023 exclude any loan modifications that are performing but would have previously required disclosure as troubled debt restructures. |
Allowance for loan losses activity by portfolio segment | The following tables detail activity in the allowance for loan losses by portfolio segment for the periods presented (in thousands): Three Months Ended June 30, 2023 Real Estate Construction 1-4 Family Residential Commercial Commercial Loans Municipal Loans Loans to Individuals Total Balance at beginning of period $ 3,152 $ 2,314 $ 28,721 $ 1,901 $ 44 $ 200 $ 36,332 Loans charged-off (63) (22) — (260) — (392) (737) Recoveries of loans charged-off — 41 1 143 — 245 430 Net loans (charged-off) recovered (63) 19 1 (117) — (147) (307) Provision for (reversal of) loan losses 306 327 (710) 233 (7) 129 278 Balance at end of period $ 3,395 $ 2,660 $ 28,012 $ 2,017 $ 37 $ 182 $ 36,303 Six Months Ended June 30, 2023 Real Estate Construction 1-4 Family Residential Commercial Commercial Loans Municipal Loans Loans to Individuals Total Balance at beginning of period $ 3,164 $ 2,173 $ 28,701 $ 2,235 $ 45 $ 197 $ 36,515 Loans charged-off (63) (71) — (369) — (867) (1,370) Recoveries of loans charged-off 1 46 1 203 — 541 792 Net loans (charged-off) recovered (62) (25) 1 (166) — (326) (578) Provision for (reversal of) loan losses 293 512 (690) (52) (8) 311 366 Balance at end of period $ 3,395 $ 2,660 $ 28,012 $ 2,017 $ 37 $ 182 $ 36,303 Three Months Ended June 30, 2022 Real Estate Construction 1-4 Family Residential Commercial Commercial Loans Municipal Loans Loans to Individuals Total Balance at beginning of period $ 3,604 $ 1,982 $ 27,225 $ 2,454 $ 48 $ 211 $ 35,524 Loans charged-off — — — (46) — (433) (479) Recoveries of loans charged-off 1 53 34 114 — 314 516 Net loans (charged-off) recovered 1 53 34 68 — (119) 37 Provision for (reversal of) loan losses (206) (11) (38) 36 (2) 109 (112) Balance at end of period $ 3,399 $ 2,024 $ 27,221 $ 2,558 $ 46 $ 201 $ 35,449 Six Months Ended June 30, 2022 Real Estate Construction 1-4 Family Residential Commercial Commercial Loans Municipal Loans Loans to Individuals Total Balance at beginning of period $ 3,787 $ 1,866 $ 26,980 $ 2,397 $ 47 $ 196 $ 35,273 Loans charged-off — — — (177) — (857) (1,034) Recoveries of loans charged-off 1 92 81 330 — 552 1,056 Net loans (charged-off) recovered 1 92 81 153 — (305) 22 Provision for (reversal of) loan losses (389) 66 160 8 (1) 310 154 Balance at end of period $ 3,399 $ 2,024 $ 27,221 $ 2,558 $ 46 $ 201 $ 35,449 |
Borrowing Arrangements (Tables)
Borrowing Arrangements (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | Information related to borrowings is provided in the table below (dollars in thousands): June 30, 2023 December 31, 2022 Other borrowings: Balance at end of period $ 500,341 $ 221,153 Average amount outstanding during the period (1) 467,205 77,845 Maximum amount outstanding during the period (2) 1,030,421 316,563 Weighted average interest rate during the period (3) 4.6 % 2.4 % Interest rate at end of period (4) 4.5 % 4.1 % FHLB borrowings: Balance at end of period $ 183,007 $ 153,358 Average amount outstanding during the period (1) 307,221 135,926 Maximum amount outstanding during the period (2) 533,242 423,645 Weighted average interest rate during the period (3) 2.7 % 2.4 % Interest rate at end of period (5) 0.9 % 0.7 % (1) The average amount outstanding during the period was computed by dividing the total daily outstanding principal balances by the number of days in the period. (2) The maximum amount outstanding at any month-end during the period. (3) The weighted average interest rate during the period was computed by dividing the actual interest expense (annualized for interim periods) by the average amount outstanding during the period. The weighted average interest rate on other borrowings and FHLB borrowings includes the effect of interest rate swaps. (4) Stated rate. (5) The interest rate on FHLB borrowings includes the effect of interest rate swaps. |
Schedule of Maturities of Borrowings | Maturities of the obligations associated with our borrowing arrangements based on scheduled repayments at June 30, 2023 are as follows (in thousands): Payments Due by Period Less than 1-2 Years 2-3 Years 3-4 Years 4-5 Years Thereafter Total Other borrowings $ 495,380 $ 3,611 $ 1,350 $ — $ — $ — $ 500,341 FHLB borrowings 180,725 756 679 396 416 35 183,007 Total obligations $ 676,105 $ 4,367 $ 2,029 $ 396 $ 416 $ 35 $ 683,348 |
Long-term Debt (Tables)
Long-term Debt (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Information related to our long-term debt is summarized as follows for the periods presented (in thousands): June 30, 2023 December 31, 2022 Subordinated notes: (1) 3.875% Subordinated notes, net of unamortized debt issuance costs (2) $ 93,796 $ 98,674 Total Subordinated notes 93,796 98,674 Trust preferred subordinated debentures: (3) Southside Statutory Trust III, net of unamortized debt issuance costs (4) 20,575 20,573 Southside Statutory Trust IV 23,196 23,196 Southside Statutory Trust V 12,887 12,887 Magnolia Trust Company I 3,609 3,609 Total Trust preferred subordinated debentures 60,267 60,265 Total Long-term debt $ 154,063 $ 158,939 (1) This debt consists of subordinated notes with a remaining maturity greater than one year that qualify under the risk-based capital guidelines as Tier 2 capital, subject to certain limitations. (2) The unamortized discount and debt issuance costs reflected in the carrying amount of the subordinated notes totaled approximately $1.2 million at June 30, 2023 and $1.3 million at December 31, 2022. (3) This debt consists of trust preferred securities that qualify under the risk-based capital guidelines as Tier 1 capital, subject to certain limitations. |
Schedule of Subordinated Borrowing | As of June 30, 2023, the details of the subordinated notes and the trust preferred subordinated debentures are summarized below (dollars in thousands): Date Issued Amount Issued Fixed or Floating Rate Interest Rate Maturity Date 3.875% Subordinated Notes (1) November 6, 2020 $ 100,000 Fixed-to-Floating 3.875% November 15, 2030 Southside Statutory Trust III (2) September 4, 2003 $ 20,619 Floating 3 month LIBOR + 2.94% September 4, 2033 Southside Statutory Trust IV (2) August 8, 2007 $ 23,196 Floating 3 month LIBOR + 1.30% October 30, 2037 Southside Statutory Trust V (2) August 10, 2007 $ 12,887 Floating 3 month LIBOR + 2.25% September 15, 2037 Magnolia Trust Company I (2) (3) May 20, 2005 $ 3,609 Floating 3 month LIBOR + 1.80% November 23, 2035 (1) On June 14, 2023, the Company repurchased $5.0 million of the $100 million fixed-to-floating rate subordinated notes that mature on November 15, 2030. (2) Effective July 1, 2023, the Company began utilizing SOFR to reset rates on our floating rate trust preferred subordinated debentures, due to the fact that LIBOR ceased to be published as of June 30, 2023. (3) On October 10, 2007, as part of an acquisition we assumed $3.6 million of floating rate junior subordinated debentures issued in 2005 to Magnolia Trust Company I. |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | |
The components of net periodic benefit cost | The components of net periodic benefit cost (income) related to our employee benefit plans are as follows (in thousands): Three Months Ended June 30, Retirement Plan Acquired Retirement Plan Restoration Plan 2023 2022 2023 2022 2023 2022 Interest cost $ 961 $ 691 $ 31 $ 25 $ 209 $ 150 Expected return on assets (1,144) (1,462) (46) (57) — — Net loss amortization 197 169 — — 8 72 Net periodic benefit cost (income) $ 14 $ (602) $ (15) $ (32) $ 217 $ 222 Six Months Ended June 30, Retirement Plan Acquired Retirement Plan Restoration Plan 2023 2022 2023 2022 2023 2022 Interest cost $ 1,886 $ 1,371 $ 63 $ 51 $ 415 $ 289 Expected return on assets (2,287) (2,923) (93) (116) — — Net loss amortization 363 320 — — 15 127 Net periodic benefit cost (income) $ (38) $ (1,232) $ (30) $ (65) $ 430 $ 416 |
Derivative Financial Instrume_2
Derivative Financial Instruments and Hedging Activities (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The following tables present the notional and estimated fair value amount of derivative positions outstanding (in thousands): June 30, 2023 December 31, 2022 Estimated Fair Value Estimated Fair Value Notional (1) Asset Derivative Liability Derivative Notional (1) Asset Derivative Liability Derivative Derivatives designated as hedging instruments Interest rate contracts: Swaps-Cash Flow Hedge-Financial institution counterparties $ 760,000 $ 38,507 $ — $ 575,000 $ 39,527 $ — Swaps-Fair Value Hedge-Financial institution counterparties 654,870 27,910 — 742,675 21,733 171 Derivatives designated as non-hedging instruments Interest rate contracts: Swaps-Financial institution counterparties 218,901 21,282 — 223,124 21,046 — Swaps-Customer counterparties 218,901 — 21,282 223,124 — 21,046 Gross derivatives 87,699 21,282 82,306 21,217 Offsetting derivative assets/liabilities — — (171) (171) Cash collateral received/posted (78,260) — (82,135) — Net derivatives included in the consolidated balance sheets (2) $ 9,439 $ 21,282 $ — $ 21,046 (1) Notional amounts, which represent the extent of involvement in the derivatives market, are used to determine the contractual cash flows required in accordance with the terms of the agreement. These amounts are typically not exchanged, significantly exceed amounts subject to credit or market risk and are not reflected in the consolidated balance sheets. |
Weighted Average Maturity And Interest Rates On Risk Management Interest Rate Swaps | The summarized expected weighted average remaining maturity of the notional amount of interest rate swaps and the weighted average interest rates associated with the amounts expected to be received or paid on interest rate swap agreements are presented below (dollars in thousands). Variable rates received on fixed pay swaps are based on one-month or three-month LIBOR or overnight SOFR rates in effect at June 30, 2023 and December 31, 2022: June 30, 2023 December 31, 2022 Weighted Average Weighted Average Notional Amount Remaining Maturity Receive Rate Pay Rate Notional Amount Remaining Maturity Receive Rate Pay Swaps-Cash Flow hedge Financial institution counterparties $ 760,000 2.6 5.23 % 2.02 % $ 575,000 2.3 4.44 % 1.13 % Swaps-Fair Value hedge Financial institution counterparties 654,870 5.8 4.91 % 3.19 % 742,675 6.3 3.42 % 3.21 % Swaps-Non-hedging Financial institution counterparties 218,901 8.6 5.71 % 2.67 % 223,124 9.0 4.83 % 2.69 % Customer counterparties 218,901 8.6 2.67 % 5.71 % 223,124 9.0 2.69 % 4.83 % |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Summary of fair value measurement on recurring and nonrecurring basis segregated by level of valuation inputs within fair value hierarchy utilized to measure fair value | The following tables summarize assets measured at fair value on a recurring and nonrecurring basis segregated by the level of the valuation inputs within the fair value hierarchy utilized to measure fair value (in thousands): Fair Value Measurements at the End of the Reporting Period Using June 30, 2023 Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Recurring fair value measurements Investment securities: U.S. Treasury $ 298,998 $ 298,998 $ — $ — State and political subdivisions 770,283 — 770,283 — Corporate bonds and other 12,991 — 12,991 — MBS: (1) Residential 247,233 — 247,233 — Commercial 10,316 — 10,316 — Equity investments: Equity investments 5,235 5,235 — — Derivative assets: Interest rate swaps 87,699 — 87,699 — Total asset recurring fair value measurements $ 1,432,755 $ 304,233 $ 1,128,522 $ — Derivative liabilities: Interest rate swaps $ 21,282 $ — $ 21,282 $ — Total liability recurring fair value measurements $ 21,282 $ — $ 21,282 $ — Nonrecurring fair value measurements Foreclosed assets $ 42 $ — $ — $ 42 Collateral-dependent loans (2) 7,539 — — 7,539 Total asset nonrecurring fair value measurements $ 7,581 $ — $ — $ 7,581 Fair Value Measurements at the End of the Reporting Period Using December 31, 2022 Carrying Amount Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Recurring fair value measurements Investment securities: State and political subdivisions $ 964,852 $ — $ 964,852 $ — Corporate bonds and other 8,704 — 8,704 — MBS: (1) Residential 315,027 — 315,027 — Commercial 10,431 — 10,431 — Equity investments: Equity investments 5,235 5,235 — — Derivative assets: Interest rate swaps 82,306 — 82,306 — Total asset recurring fair value measurements $ 1,386,555 $ 5,235 $ 1,381,320 $ — Derivative liabilities: Interest rate swaps $ 21,217 $ — $ 21,217 $ — Total liability recurring fair value measurements $ 21,217 $ — $ 21,217 $ — Nonrecurring fair value measurements Foreclosed assets $ 167 $ — $ — $ 167 Collateral-dependent loans (2) 7,815 — — 7,815 Total asset nonrecurring fair value measurements $ 7,982 $ — $ — $ 7,982 (1) All MBS are issued and/or guaranteed by U.S. government agencies or U.S. GSEs. (2) Consists of individually evaluated loans. Loans for which the fair value of the collateral and commercial real estate fair value of the properties is less than cost basis are presented net of allowance. Losses on these loans represent charge-offs which are netted against the allowance for loan losses. |
Financial assets, financial liabilities, and unrecognized financial instruments at carrying amount and fair value | The following tables present our financial assets and financial liabilities measured on a nonrecurring basis at both their respective carrying amounts and estimated fair value (in thousands): Estimated Fair Value June 30, 2023 Carrying Total Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 207,113 $ 207,113 $ 207,113 $ — $ — Investment securities: HTM, at carrying value 1,184,922 1,035,925 — 1,035,925 — MBS: HTM, at carrying value 123,550 112,890 — 112,890 — FHLB stock, at cost 10,801 10,801 — 10,801 — Equity investments 4,337 4,337 — 4,337 — Loans, net of allowance for loan losses 4,292,740 3,989,515 — — 3,989,515 Loans held for sale 1,666 1,666 — 1,666 — Financial liabilities: Deposits $ 6,117,687 $ 6,081,139 $ — $ 6,081,139 $ — Other borrowings 500,341 502,199 — 502,199 — FHLB borrowings 183,007 169,942 — 169,942 — Subordinated notes, net of unamortized debt issuance costs 93,796 85,323 — 85,323 — Trust preferred subordinated debentures, net of unamortized debt issuance costs 60,267 54,964 — 54,964 — Estimated Fair Value December 31, 2022 Carrying Total Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 199,252 $ 199,252 $ 199,252 $ — $ — Investment securities: HTM, at carrying value 1,190,108 1,023,376 — 1,023,376 — Mortgage-backed securities: HTM, at carrying value 136,621 125,780 — 125,780 — FHLB stock, at cost 9,190 9,190 — 9,190 — Equity investments 5,946 5,946 — 5,946 — Loans, net of allowance for loan losses 4,111,176 3,880,664 — — 3,880,664 Loans held for sale 667 667 — 667 — Financial liabilities: Deposits $ 6,198,019 $ 6,158,517 $ — $ 6,158,517 $ — Other borrowings 221,153 221,153 — 221,153 — FHLB borrowings 153,358 140,976 — 140,976 — Subordinated notes, net of unamortized debt issuance costs 98,674 91,357 — 91,357 — Trust preferred subordinated debentures, net of unamortized debt issuance costs 60,265 60,594 — 60,594 — |
Income Taxes Income Taxes (Tabl
Income Taxes Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | The income tax expense included in the accompanying consolidated statements of income consists of the following (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Current income tax expense $ 4,690 $ 2,939 $ 9,427 $ 5,800 Deferred income tax expense (benefit) (122) 358 (316) 643 Income tax expense $ 4,568 $ 3,297 $ 9,111 $ 6,443 |
Off-Balance-Sheet Arrangement_2
Off-Balance-Sheet Arrangements, Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Off-balance-sheet, Allowance for off-balance-sheet credit exposures | Allowance for off-balance-sheet credit exposures were as follows (in thousands): Three Months Ended Six Months Ended 2023 2022 2023 2022 Balance at beginning of period $ 3,559 $ 2,412 $ 3,687 $ 2,384 Provision for (reversal of) off-balance-sheet credit exposures (352) (521) (480) (493) Balance at end of period $ 3,207 $ 1,891 $ 3,207 $ 1,891 |
Schedule of unused commitments | Financial instruments with off-balance-sheet risk were as follows (in thousands): June 30, 2023 December 31, 2022 Commitments to extend credit $ 1,240,994 $ 1,296,773 Standby letters of credit 12,646 26,844 Total $ 1,253,640 $ 1,323,617 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Mar. 31, 2023 | Jun. 30, 2022 | Mar. 31, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Basic and Diluted Earnings: | ||||||
Net income | $ 24,893 | $ 26,034 | $ 25,405 | $ 24,996 | $ 50,927 | $ 50,401 |
Basic weighted-average shares outstanding (in shares) | 30,721 | 32,119 | 31,045 | 32,237 | ||
Add: Stock awards (in shares) | 33 | 132 | 54 | 157 | ||
Diluted weighted-average shares outstanding (in shares) | 30,754 | 32,251 | 31,099 | 32,394 | ||
Basic earnings per share: | ||||||
Earnings per common share - basic (in dollars per share) | $ 0.81 | $ 0.79 | $ 1.64 | $ 1.56 | ||
Diluted earnings per share: | ||||||
Earnings per common share - diluted (in dollars per share) | $ 0.81 | $ 0.79 | $ 1.64 | $ 1.56 | ||
Number of antidilutive options (in shares) | 686 | 18 | 578 | 1 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Accumulated Other Comprehensive Income, Changes In (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
AOCI Attributable to Parent, Net of Tax | ||||
Beginning balance, net of tax | $ 751,030 | $ 784,241 | $ 745,997 | $ 912,172 |
Income tax (expense) benefit | (4,683) | 15,700 | (5,785) | 52,909 |
Ending balance, net of tax | 765,161 | 731,782 | 765,161 | 731,782 |
Unrealized Gains (Losses) on Securities | ||||
AOCI Attributable to Parent, Net of Tax | ||||
Beginning balance, net of tax | (135,627) | (72,699) | (149,181) | 84,716 |
Other comprehensive (loss) income before reclassifications | 6,831 | (85,883) | 19,850 | (286,928) |
Reclassification adjustments included in net income | 5,444 | 3,487 | 9,582 | 5,273 |
Income tax (expense) benefit | (2,577) | 17,303 | (6,180) | 59,147 |
Net current-period other comprehensive income (loss), net of tax | 9,698 | (65,093) | 23,252 | (222,508) |
Ending balance, net of tax | (125,929) | (137,792) | (125,929) | (137,792) |
Unrealized Gains (Losses) on Derivatives | ||||
AOCI Attributable to Parent, Net of Tax | ||||
Beginning balance, net of tax | 21,680 | 16,018 | 31,227 | (1,257) |
Other comprehensive (loss) income before reclassifications | 15,876 | 7,047 | 8,900 | 27,593 |
Reclassification adjustments included in net income | (6,054) | 344 | (11,162) | 1,666 |
Income tax (expense) benefit | (2,063) | (1,552) | 474 | (6,145) |
Net current-period other comprehensive income (loss), net of tax | 7,759 | 5,839 | (1,788) | 23,114 |
Ending balance, net of tax | 29,439 | 21,857 | 29,439 | 21,857 |
Retirement Plans | ||||
AOCI Attributable to Parent, Net of Tax | ||||
Beginning balance, net of tax | (19,365) | (23,590) | (19,502) | (23,754) |
Other comprehensive (loss) income before reclassifications | 0 | 0 | 0 | 0 |
Reclassification adjustments included in net income | 205 | 241 | 378 | 447 |
Income tax (expense) benefit | (43) | (51) | (79) | (93) |
Net current-period other comprehensive income (loss), net of tax | 162 | 190 | 299 | 354 |
Ending balance, net of tax | (19,203) | (23,400) | (19,203) | (23,400) |
Total | ||||
AOCI Attributable to Parent, Net of Tax | ||||
Beginning balance, net of tax | (133,312) | (80,271) | (137,456) | 59,705 |
Other comprehensive (loss) income before reclassifications | 22,707 | (78,836) | 28,750 | (259,335) |
Reclassification adjustments included in net income | (405) | 4,072 | (1,202) | 7,386 |
Income tax (expense) benefit | (4,683) | 15,700 | (5,785) | 52,909 |
Net current-period other comprehensive income (loss), net of tax | 17,619 | (59,064) | 21,763 | (199,040) |
Ending balance, net of tax | $ (115,693) | $ (139,335) | $ (115,693) | $ (139,335) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Reclassifications out of Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Amortization of unrealized gains and losses | $ 1,989 | $ 1,310 | $ 3,981 | $ 1,553 | |
Tax benefit (expense) | (4,568) | (3,297) | (9,111) | (6,443) | |
Realized net gain (loss) on sale of securities | (3,455) | (2,177) | (5,601) | (3,720) | |
Total reclassifications for the period, net of tax | 319 | (3,217) | 949 | (5,836) | |
Unrealized gains (losses) | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Reclassified from accumulated other comprehensive income | (5,444) | (3,487) | (9,582) | (5,273) | |
Realized net gain (loss) on interest rate swap derivatives | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Reclassified from accumulated other comprehensive income | 6,054 | (344) | 11,162 | (1,666) | |
Net actuarial loss | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Reclassified from accumulated other comprehensive income | [1] | (205) | (241) | (378) | (447) |
Amortization of pension plan | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Reclassified from accumulated other comprehensive income | (205) | (241) | (378) | (447) | |
Tax benefit | 43 | 51 | 79 | 93 | |
Total reclassifications for the period, net of tax | (162) | (190) | (299) | (354) | |
Unrealized gains and losses on securities transferred | Reclassification out of accumulated other comprehensive income | Unrealized gains (losses) | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Amortization of unrealized gains and losses | [2] | (1,989) | (1,310) | (3,981) | (1,553) |
Tax benefit (expense) | 418 | 275 | 836 | 326 | |
Net of tax | (1,571) | (1,035) | (3,145) | (1,227) | |
Unrealized gains and losses on available for sale securities | Reclassification out of accumulated other comprehensive income | Unrealized gains (losses) | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Tax benefit (expense) | 725 | 457 | 1,176 | 781 | |
Net of tax | (2,730) | (1,720) | (4,425) | (2,939) | |
Realized net gain (loss) on sale of securities | [3] | (3,455) | (2,177) | (5,601) | (3,720) |
Interest rate swap derivatives | Reclassification out of accumulated other comprehensive income | Realized net gain (loss) on interest rate swap derivatives | |||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||
Tax benefit (expense) | (1,272) | 72 | (2,344) | 350 | |
Net of tax | 4,782 | (272) | 8,818 | (1,316) | |
Realized net (loss) gain on interest rate swap derivatives | [4] | $ 6,054 | $ (344) | $ 11,162 | $ (1,666) |
[1]These AOCI components are included in the computation of net periodic pension cost (income) presented in “Note 8 – Employee Benefit Plans.”[2]Included in interest income on the consolidated statements of income.[3]Listed as net gain (loss) on sale of securities AFS on the consolidated statements of income.[4]Included in interest expense for FHLB borrowings, other borrowings and deposits on the consolidated statements of income. |
Securities - Schedule of Debt S
Securities - Schedule of Debt Securities Components (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 | |
Available-for-sale [Abstract] | |||
Amortized Cost | $ 1,409,568 | $ 1,387,874 | |
Gross unrealized gains | 1,077 | 1,282 | |
Gross unrealized losses | 70,824 | 90,142 | |
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 1,339,821 | 1,299,014 | |
HELD TO MATURITY | |||
Amortized cost | 1,308,472 | 1,326,729 | |
Gross unrealized gains | 7,523 | 4,565 | |
Gross unrealized losses | 167,180 | 182,138 | |
Estimated Fair Value | 1,148,815 | 1,149,156 | |
US Treasury Securities | |||
Available-for-sale [Abstract] | |||
Amortized Cost | 298,907 | ||
Gross unrealized gains | 91 | ||
Gross unrealized losses | 0 | ||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 298,998 | ||
State and political subdivisions | |||
Available-for-sale [Abstract] | |||
Amortized Cost | 826,193 | 1,039,453 | |
Gross unrealized gains | 750 | 956 | |
Gross unrealized losses | 56,660 | 75,557 | |
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 770,283 | 964,852 | |
HELD TO MATURITY | |||
Amortized cost | 1,038,551 | 1,037,556 | |
Gross unrealized gains | 7,093 | 3,969 | |
Gross unrealized losses | 139,616 | 163,283 | |
Estimated Fair Value | 906,028 | 878,242 | |
Corporate bonds and other | |||
Available-for-sale [Abstract] | |||
Amortized Cost | 14,532 | 8,692 | |
Gross unrealized gains | 18 | 26 | |
Gross unrealized losses | 1,559 | 14 | |
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 12,991 | 8,704 | |
HELD TO MATURITY | |||
Amortized cost | 146,371 | 152,552 | |
Gross unrealized gains | 421 | 575 | |
Gross unrealized losses | 16,895 | 7,993 | |
Estimated Fair Value | 129,897 | 145,134 | |
Residential | |||
Available-for-sale [Abstract] | |||
Amortized Cost | [1] | 258,683 | 328,400 |
Gross unrealized gains | [1] | 171 | 250 |
Gross unrealized losses | [1] | 11,621 | 13,623 |
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [1] | 247,233 | 315,027 |
HELD TO MATURITY | |||
Amortized cost | [1] | 92,920 | 93,796 |
Gross unrealized gains | [1] | 9 | 21 |
Gross unrealized losses | [1] | 8,225 | 8,343 |
Estimated Fair Value | [1] | 84,704 | 85,474 |
Commercial | |||
Available-for-sale [Abstract] | |||
Amortized Cost | [1] | 11,253 | 11,329 |
Gross unrealized gains | [1] | 47 | 50 |
Gross unrealized losses | [1] | 984 | 948 |
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [1] | 10,316 | 10,431 |
HELD TO MATURITY | |||
Amortized cost | [1] | 30,630 | 42,825 |
Gross unrealized gains | [1] | 0 | 0 |
Gross unrealized losses | [1] | 2,444 | 2,519 |
Estimated Fair Value | [1] | $ 28,186 | $ 40,306 |
[1]All MBS are issued and/or guaranteed by U.S. government agencies or U.S. GSEs. |
Securities - Unrealized Loss on
Securities - Unrealized Loss on Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
AVAILABLE FOR SALE | ||
Less than 12 Months, fair value | $ 298,580 | $ 1,174,855 |
Less than 12 Months, unrealized loss | 10,006 | 82,638 |
More than 12 Months, fair value | 671,293 | 29,165 |
More than 12 Months, unrealized Loss | 60,818 | 7,504 |
Total fair value | 969,873 | 1,204,020 |
Total unrealized loss | 70,824 | 90,142 |
HELD TO MATURITY | ||
Less than 12 months, fair value | 187,387 | 672,739 |
Less than 12 months, unrealized loss | 13,241 | 83,876 |
More than 12 months, fair value | 799,070 | 340,055 |
More than 12 months, unrealized loss | 153,939 | 98,262 |
Total fair value | 986,457 | 1,012,794 |
Total unrealized loss | 167,180 | 182,138 |
State and political subdivisions | ||
AVAILABLE FOR SALE | ||
Less than 12 Months, fair value | 116,217 | 859,270 |
Less than 12 Months, unrealized loss | 1,862 | 68,683 |
More than 12 Months, fair value | 602,120 | 26,620 |
More than 12 Months, unrealized Loss | 54,798 | 6,874 |
Total fair value | 718,337 | 885,890 |
Total unrealized loss | 56,660 | 75,557 |
HELD TO MATURITY | ||
Less than 12 months, fair value | 140,247 | 426,382 |
Less than 12 months, unrealized loss | 7,452 | 66,898 |
More than 12 months, fair value | 606,783 | 323,385 |
More than 12 months, unrealized loss | 132,164 | 96,385 |
Total fair value | 747,030 | 749,767 |
Total unrealized loss | 139,616 | 163,283 |
Corporate bonds and other | ||
AVAILABLE FOR SALE | ||
Less than 12 Months, fair value | 12,786 | 3,678 |
Less than 12 Months, unrealized loss | 1,559 | 14 |
More than 12 Months, fair value | 0 | 0 |
More than 12 Months, unrealized Loss | 0 | 0 |
Total fair value | 12,786 | 3,678 |
Total unrealized loss | 1,559 | 14 |
HELD TO MATURITY | ||
Less than 12 months, fair value | 29,119 | 125,250 |
Less than 12 months, unrealized loss | 4,522 | 6,660 |
More than 12 months, fair value | 98,082 | 12,738 |
More than 12 months, unrealized loss | 12,373 | 1,333 |
Total fair value | 127,201 | 137,988 |
Total unrealized loss | 16,895 | 7,993 |
Residential | ||
AVAILABLE FOR SALE | ||
Less than 12 Months, fair value | 169,577 | 306,294 |
Less than 12 Months, unrealized loss | 6,585 | 13,623 |
More than 12 Months, fair value | 61,126 | 0 |
More than 12 Months, unrealized Loss | 5,036 | 0 |
Total fair value | 230,703 | 306,294 |
Total unrealized loss | 11,621 | 13,623 |
HELD TO MATURITY | ||
Less than 12 months, fair value | 18,021 | 80,801 |
Less than 12 months, unrealized loss | 1,267 | 7,799 |
More than 12 months, fair value | 66,019 | 3,932 |
More than 12 months, unrealized loss | 6,958 | 544 |
Total fair value | 84,040 | 84,733 |
Total unrealized loss | 8,225 | 8,343 |
Commercial | ||
AVAILABLE FOR SALE | ||
Less than 12 Months, fair value | 0 | 5,613 |
Less than 12 Months, unrealized loss | 0 | 318 |
More than 12 Months, fair value | 8,047 | 2,545 |
More than 12 Months, unrealized Loss | 984 | 630 |
Total fair value | 8,047 | 8,158 |
Total unrealized loss | 984 | 948 |
HELD TO MATURITY | ||
Less than 12 months, fair value | 0 | 40,306 |
Less than 12 months, unrealized loss | 0 | 2,519 |
More than 12 months, fair value | 28,186 | 0 |
More than 12 months, unrealized loss | 2,444 | 0 |
Total fair value | 28,186 | 40,306 |
Total unrealized loss | $ 2,444 | $ 2,519 |
Securities - Interest Income on
Securities - Interest Income on Securities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Investments, Debt Securities [Abstract] | ||||
US Treasury | $ 3,826 | $ 59 | $ 4,523 | $ 227 |
State and political subdivisions | 16,901 | 13,788 | 34,000 | 27,120 |
Corporate bonds and other | 1,766 | 1,390 | 3,598 | 2,717 |
MBS | 3,830 | 3,238 | 8,159 | 7,255 |
Total interest income on securities | $ 26,323 | $ 18,475 | $ 50,280 | $ 37,319 |
Securities - Amortized Cost and
Securities - Amortized Cost and Estimated Fair Value of Investments in Debt Securities by Contractual Maturity (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Available for sale, Amortized Cost | ||
Due in one year or less | $ 299,118 | |
Due after one year through five years | 1,564 | |
Due after five years through ten years | 32,280 | |
Due after ten years | 806,670 | |
Total available-for-sale investment securities | 1,139,632 | |
MBS: | 269,936 | |
Amortized Cost | 1,409,568 | $ 1,387,874 |
Available for sale, Fair Value | ||
Due in one year or less | 299,208 | |
Due after one year through five years | 1,591 | |
Due after five years through ten years | 30,881 | |
Due after ten years | 750,592 | |
Total available-for-sale investment securities | 1,082,272 | |
MBS: | 257,549 | |
Total | 1,339,821 | 1,299,014 |
Held to maturity, Amortized Cost | ||
Due in one year or less | 125 | |
Due after one year through five years | 20,809 | |
Due after five years through ten years | 136,422 | |
Due after ten years | 1,027,566 | |
Total held-to-maturity investment securities | 1,184,922 | |
Mortgage-backed securities | 123,550 | |
Amortized cost | 1,308,472 | 1,326,729 |
Held to maturity, Fair Value | ||
Due in one year or less | 124 | |
Due after one year through five years | 20,016 | |
Due after five years through ten years | 120,546 | |
Due after ten years | 895,239 | |
Total held-to-maturity investment securities | 1,035,925 | |
Mortgage-backed securities | 112,890 | |
Total | $ 1,148,815 | $ 1,149,156 |
Securities - Unrealized and Rea
Securities - Unrealized and Realized Gain (Loss) Recognized in Net Income on Equity Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Investments, All Other Investments [Abstract] | ||||
Net gains (losses) recognized during the period on equity investments | $ 2,558 | $ (191) | $ 5,058 | $ (466) |
Less: Net gains recognized during the period on equity investments sold during the period | 2,642 | 0 | 5,058 | 0 |
Unrealized gains (losses) recognized during the reporting period on equity investments held at the reporting date | $ (84) | $ (191) | $ 0 | $ (466) |
Securities - Narrative (Details
Securities - Narrative (Details) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2023 USD ($) debt_security | Jun. 30, 2022 USD ($) | Jun. 30, 2023 USD ($) debt_security | Jun. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Schedule of Investments [Line Items] | ||||||
Debt Securities, Available-for-sale, Allowance for Credit Loss | $ 0 | $ 0 | $ 0 | |||
Transferred Securities, Unrealized Loss, Before Tax | 117,600,000 | 117,600,000 | 121,500,000 | |||
Securities transferred, Unrealized Loss, Net of Tax | 92,900,000 | 92,900,000 | 96,000,000 | |||
Fair value of securities transferred from AFS to HTM | 0 | 1,250,000,000 | ||||
Available-for-sale Securities, Gross Realized Gain (Loss) [Abstract] | ||||||
Net gain (loss) on sale of securities AFS | 3,455,000 | $ 2,177,000 | 5,601,000 | $ 3,720,000 | ||
Gross realized gains on AFS securities | 1,400,000 | 4,000,000 | ||||
Gross realized losses on AFS securities | 7,000,000 | 290,000 | ||||
Equity investments | 9,572,000 | 9,572,000 | 11,181,000 | |||
Debt Securities, Held-to-maturity, Sale or Transfer of Investment [Abstract] | ||||||
Sale of HTM portfolio | 0 | 0 | ||||
Interest receivable | 48,265,000 | 48,265,000 | 49,350,000 | |||
Debt Securities, Held-to-maturity, Nonaccrual | 0 | 0 | 0 | |||
FHLB stock with other-than-temporary impairment | 0 | 0 | ||||
Other-than-temporarily impaired equity investments | $ 0 | $ 0 | ||||
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | debt_security | 524 | 524 | ||||
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | $ 207,113,000 | 172,289,000 | $ 207,113,000 | 172,289,000 | 199,252,000 | $ 201,753,000 |
Less: Net gains recognized during the period on equity investments sold during the period | 2,642,000 | 0 | 5,058,000 | 0 | ||
State and political subdivisions | ||||||
Debt Securities, Held-to-maturity, Sale or Transfer of Investment [Abstract] | ||||||
Debt Securities, Held-to-Maturity, Excluding Accrued Interest, Credit Loss Expense (Reversal) | 0 | 0 | 0 | 0 | ||
Corporate bonds and other | ||||||
Debt Securities, Held-to-maturity, Sale or Transfer of Investment [Abstract] | ||||||
Debt Securities, Held-to-Maturity, Excluding Accrued Interest, Credit Loss Expense (Reversal) | 0 | $ 0 | 0 | $ 0 | ||
Asset Pledged as Collateral | ||||||
Debt Securities, Held-to-maturity, Sale or Transfer of Investment [Abstract] | ||||||
Debt Securities | 2,240,000,000 | 2,240,000,000 | 1,820,000,000 | |||
Financial Asset, Past Due | ||||||
Debt Securities, Held-to-maturity, Sale or Transfer of Investment [Abstract] | ||||||
Securities held to maturity (estimated fair value of $138,879) | 0 | 0 | 0 | |||
Available-for-sale Securities | ||||||
Debt Securities, Held-to-maturity, Sale or Transfer of Investment [Abstract] | ||||||
Interest receivable | 16,300,000 | 16,300,000 | 16,900,000 | |||
Held-to-maturity Securities | ||||||
Debt Securities, Held-to-maturity, Sale or Transfer of Investment [Abstract] | ||||||
Interest receivable | $ 13,400,000 | $ 13,400,000 | $ 13,600,000 |
Loans and Allowance for Loan _3
Loans and Allowance for Loan Losses - Loans by Portfolio Segment (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 |
Loans and Leases Receivable Disclosure [Abstract] | ||||||
Loans | $ 4,329,043 | $ 4,147,691 | ||||
Less: Allowance for loan losses | 36,303 | $ 36,332 | 36,515 | $ 35,449 | $ 35,524 | $ 35,273 |
Total loans | 4,292,740 | 4,111,176 | ||||
Construction Real Estate Loans | ||||||
Loans and Leases Receivable Disclosure [Abstract] | ||||||
Loans | 657,354 | 559,681 | ||||
Less: Allowance for loan losses | 3,395 | 3,152 | 3,164 | 3,399 | 3,604 | 3,787 |
1-4 Family Residential Real Estate Loans | ||||||
Loans and Leases Receivable Disclosure [Abstract] | ||||||
Loans | 684,878 | 663,519 | ||||
Less: Allowance for loan losses | 2,660 | 2,314 | 2,173 | 2,024 | 1,982 | 1,866 |
Commercial Real Estate Loans | ||||||
Loans and Leases Receivable Disclosure [Abstract] | ||||||
Loans | 2,100,338 | 1,987,707 | ||||
Less: Allowance for loan losses | 28,012 | 28,721 | 28,701 | 27,221 | 27,225 | 26,980 |
Commercial loans | ||||||
Loans and Leases Receivable Disclosure [Abstract] | ||||||
Loans | 383,724 | 412,064 | ||||
Less: Allowance for loan losses | 2,017 | 1,901 | 2,235 | 2,558 | 2,454 | 2,397 |
Municipal loans | ||||||
Loans and Leases Receivable Disclosure [Abstract] | ||||||
Loans | 435,211 | 450,067 | ||||
Less: Allowance for loan losses | 37 | 44 | 45 | 46 | 48 | 47 |
Loans to individuals | ||||||
Loans and Leases Receivable Disclosure [Abstract] | ||||||
Loans | 67,538 | 74,653 | ||||
Less: Allowance for loan losses | $ 182 | $ 200 | $ 197 | $ 201 | $ 211 | $ 196 |
Loans and Allowance for Loan _4
Loans and Allowance for Loan Losses - Loans by Credit Quality Indicator and Origination Year (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | $ 442,034 | $ 442,034 | $ 1,262,330 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 1,228,821 | 1,228,821 | 1,055,361 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 1,001,282 | 1,001,282 | 422,026 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 383,205 | 383,205 | 290,975 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 246,746 | 246,746 | 128,067 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 663,631 | 663,631 | 630,012 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 363,324 | 363,324 | 358,920 | |||
Loans | 4,329,043 | 4,329,043 | 4,147,691 | |||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff | [1] | 729 | ||||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Current Fiscal Year, Writeoff | 384 | |||||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Current Fiscal Year, Writeoff | 51 | |||||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Current Fiscal Year, Writeoff | 28 | |||||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Current Fiscal Year, Writeoff | 25 | |||||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff | 153 | |||||
Financing Receivable, Excluding Accrued Interest, Revolving, Writeoff | 0 | |||||
Loans charged-off | 737 | $ 479 | 1,370 | $ 1,034 | ||
Construction Real Estate Loans | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 68,154 | 68,154 | 171,809 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 193,211 | 193,211 | 184,835 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 179,386 | 179,386 | 34,537 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 31,227 | 31,227 | 7,456 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 4,637 | 4,637 | 1,886 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 6,492 | 6,492 | 6,628 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 174,247 | 174,247 | 152,530 | |||
Loans | 657,354 | 657,354 | 559,681 | |||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Current Fiscal Year, Writeoff | 63 | |||||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Revolving, Writeoff | 0 | |||||
Loans charged-off | 63 | 0 | 63 | 0 | ||
Construction Real Estate Loans | Pass | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 67,993 | 67,993 | 169,652 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 190,372 | 190,372 | 184,501 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 177,651 | 177,651 | 34,537 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 31,227 | 31,227 | 7,091 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 4,291 | 4,291 | 1,844 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 6,267 | 6,267 | 6,434 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 159,462 | 159,462 | 152,530 | |||
Loans | 637,263 | 637,263 | 556,589 | |||
Construction Real Estate Loans | Pass Watch | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 299 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 2,444 | 2,444 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 1,557 | 1,557 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 14,785 | 14,785 | 0 | |||
Loans | 18,786 | 18,786 | 299 | |||
Construction Real Estate Loans | Special Mention | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 161 | 161 | 1,858 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 395 | 395 | 290 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 9 | 9 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 565 | 565 | 2,148 | |||
Construction Real Estate Loans | Substandard | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 136 | 136 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 10 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 42 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 225 | 225 | 194 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 361 | 361 | 246 | |||
Construction Real Estate Loans | Doubtful | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 44 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 42 | 42 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 355 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 337 | 337 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 379 | 379 | 399 | |||
1-4 Family Residential Real Estate Loans | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 25,409 | 25,409 | 82,850 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 105,843 | 105,843 | 144,424 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 145,033 | 145,033 | 128,962 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 123,330 | 123,330 | 70,196 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 66,662 | 66,662 | 38,312 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 216,396 | 216,396 | 196,572 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 2,205 | 2,205 | 2,203 | |||
Loans | 684,878 | 684,878 | 663,519 | |||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff | 71 | |||||
Financing Receivable, Excluding Accrued Interest, Revolving, Writeoff | 0 | |||||
Loans charged-off | 22 | 0 | 71 | 0 | ||
1-4 Family Residential Real Estate Loans | Pass | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 25,409 | 25,409 | 82,847 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 105,843 | 105,843 | 144,424 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 144,970 | 144,970 | 128,666 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 122,025 | 122,025 | 70,142 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 66,539 | 66,539 | 36,710 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 212,648 | 212,648 | 194,490 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 2,205 | 2,205 | 2,160 | |||
Loans | 679,639 | 679,639 | 659,439 | |||
1-4 Family Residential Real Estate Loans | Pass Watch | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 1,099 | 1,099 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 1,364 | 1,364 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 2,463 | 2,463 | 0 | |||
1-4 Family Residential Real Estate Loans | Special Mention | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 63 | 63 | 79 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 206 | 206 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 123 | 123 | 1,397 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 2,150 | 2,150 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 2,542 | 2,542 | 1,476 | |||
1-4 Family Residential Real Estate Loans | Substandard | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 3 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 217 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 54 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 32 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 234 | 234 | 1,942 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 43 | |||
Loans | 234 | 234 | 2,291 | |||
1-4 Family Residential Real Estate Loans | Doubtful | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 173 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 140 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 0 | 0 | 313 | |||
Commercial Real Estate Loans | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 286,132 | 286,132 | 798,653 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 756,424 | 756,424 | 556,157 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 525,202 | 525,202 | 170,720 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 152,393 | 152,393 | 151,449 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 121,531 | 121,531 | 55,855 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 242,767 | 242,767 | 242,558 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 15,889 | 15,889 | 12,315 | |||
Loans | 2,100,338 | 2,100,338 | 1,987,707 | |||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Revolving, Writeoff | 0 | |||||
Loans charged-off | 0 | 0 | 0 | 0 | ||
Commercial Real Estate Loans | Pass | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 268,423 | 268,423 | 798,653 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 756,424 | 756,424 | 546,938 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 524,837 | 524,837 | 168,607 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 152,119 | 152,119 | 136,440 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 98,968 | 98,968 | 55,480 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 224,529 | 224,529 | 233,509 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 15,889 | 15,889 | 12,315 | |||
Loans | 2,041,189 | 2,041,189 | 1,951,942 | |||
Commercial Real Estate Loans | Pass Watch | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 15,690 | 15,690 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 9,219 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 265 | 265 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 7,964 | 7,964 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 11,563 | 11,563 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 35,482 | 35,482 | 9,219 | |||
Commercial Real Estate Loans | Special Mention | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 2,019 | 2,019 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 1,832 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 330 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 223 | 223 | 115 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 188 | 188 | 1,849 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 2,430 | 2,430 | 4,126 | |||
Commercial Real Estate Loans | Substandard | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 100 | 100 | 281 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 274 | 274 | 14,603 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 14,304 | 14,304 | 260 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 6,386 | 6,386 | 6,992 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 21,064 | 21,064 | 22,136 | |||
Commercial Real Estate Loans | Doubtful | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 76 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 72 | 72 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 101 | 101 | 208 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 173 | 173 | 284 | |||
Commercial loans | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 36,433 | 36,433 | 114,174 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 89,480 | 89,480 | 73,847 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 63,194 | 63,194 | 18,009 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 14,332 | 14,332 | 8,445 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 6,033 | 6,033 | 5,330 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 5,851 | 5,851 | 3,322 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 168,401 | 168,401 | 188,937 | |||
Loans | 383,724 | 383,724 | 412,064 | |||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Current Fiscal Year, Writeoff | 290 | |||||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Current Fiscal Year, Writeoff | 29 | |||||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Current Fiscal Year, Writeoff | 22 | |||||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Current Fiscal Year, Writeoff | 23 | |||||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff | 5 | |||||
Financing Receivable, Excluding Accrued Interest, Revolving, Writeoff | 0 | |||||
Loans charged-off | 260 | 46 | 369 | 177 | ||
Commercial loans | Pass | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 36,239 | 36,239 | 113,678 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 88,384 | 88,384 | 68,509 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 57,919 | 57,919 | 17,852 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 14,309 | 14,309 | 8,249 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 5,897 | 5,897 | 4,820 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 5,441 | 5,441 | 3,313 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 161,472 | 161,472 | 178,951 | |||
Loans | 369,661 | 369,661 | 395,372 | |||
Commercial loans | Pass Watch | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 26 | 26 | 208 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 193 | 193 | 13 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 134 | 134 | 56 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 200 | 200 | 0 | |||
Loans | 553 | 553 | 277 | |||
Commercial loans | Special Mention | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 180 | 180 | 5,109 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 4,890 | 4,890 | 31 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 23 | 23 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 288 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 249 | 249 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 6,709 | 6,709 | 9,986 | |||
Loans | 12,051 | 12,051 | 15,414 | |||
Commercial loans | Substandard | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 168 | 168 | 220 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 395 | 395 | 116 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 87 | 87 | 70 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 110 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 61 | 61 | 12 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 8 | 8 | 9 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 20 | 20 | 0 | |||
Loans | 739 | 739 | 537 | |||
Commercial loans | Doubtful | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 68 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 328 | 328 | 100 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 164 | 164 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 86 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 75 | 75 | 210 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 153 | 153 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 720 | 720 | 464 | |||
Municipal loans | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 11,835 | 11,835 | 65,258 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 62,834 | 62,834 | 74,617 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 72,572 | 72,572 | 57,147 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 52,677 | 52,677 | 48,144 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 44,579 | 44,579 | 24,979 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 190,714 | 190,714 | 179,922 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 435,211 | 435,211 | 450,067 | |||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff | 0 | |||||
Financing Receivable, Excluding Accrued Interest, Revolving, Writeoff | 0 | |||||
Loans charged-off | 0 | 0 | 0 | 0 | ||
Municipal loans | Pass | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 11,835 | 11,835 | 65,258 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 62,834 | 62,834 | 74,617 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 72,572 | 72,572 | 57,147 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 52,677 | 52,677 | 47,636 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 44,579 | 44,579 | 24,576 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 190,714 | 190,714 | 173,919 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 435,211 | 435,211 | 443,153 | |||
Municipal loans | Pass Watch | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 508 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 403 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 6,003 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 0 | 0 | 6,914 | |||
Municipal loans | Special Mention | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 0 | 0 | 0 | |||
Municipal loans | Substandard | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 0 | 0 | 0 | |||
Municipal loans | Doubtful | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 0 | 0 | 0 | |||
Loans to individuals | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 14,071 | 14,071 | 29,586 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 21,029 | 21,029 | 21,481 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 15,895 | 15,895 | 12,651 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 9,246 | 9,246 | 5,285 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 3,304 | 3,304 | 1,705 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 1,411 | 1,411 | 1,010 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 2,582 | 2,582 | 2,935 | |||
Loans | 67,538 | 67,538 | 74,653 | |||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff | [1] | 729 | ||||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Current Fiscal Year, Writeoff | 31 | |||||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Current Fiscal Year, Writeoff | 22 | |||||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Current Fiscal Year, Writeoff | 6 | |||||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Current Fiscal Year, Writeoff | 2 | |||||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year, Writeoff | 77 | |||||
Financing Receivable, Excluding Accrued Interest, Revolving, Writeoff | 0 | |||||
Loans charged-off | 392 | $ 433 | 867 | $ 857 | ||
Loans to individuals | Pass | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 14,071 | 14,071 | 29,579 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 21,029 | 21,029 | 21,480 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 15,872 | 15,872 | 12,651 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 9,246 | 9,246 | 5,261 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 3,284 | 3,284 | 1,665 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 1,410 | 1,410 | 1,005 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 2,582 | 2,582 | 2,935 | |||
Loans | 67,494 | 67,494 | 74,576 | |||
Loans to individuals | Pass Watch | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 1 | 1 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 1 | 1 | 0 | |||
Loans to individuals | Special Mention | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 0 | 0 | 0 | |||
Loans to individuals | Substandard | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 1 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 17 | 17 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 6 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 20 | 20 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 2 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | 37 | 37 | 9 | |||
Loans to individuals | Doubtful | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year | 0 | 0 | 7 | |||
Financing Receivable, Excluding Accrued Interest, Year Two, Originated, Fiscal Year before Current Fiscal Year | 0 | 0 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Three, Originated, Two Years before Current Fiscal Year | 6 | 6 | 0 | |||
Financing Receivable, Excluding Accrued Interest, Year Four, Originated, Three Years before Current Fiscal Year | 0 | 0 | 18 | |||
Financing Receivable, Excluding Accrued Interest, Year Five, Originated, Four Years before Current Fiscal Year | 0 | 0 | 40 | |||
Financing Receivable, Excluding Accrued Interest, Originated, More than Five Years before Current Fiscal Year | 0 | 0 | 3 | |||
Financing Receivable, Excluding Accrued Interest, Revolving | 0 | 0 | 0 | |||
Loans | $ 6 | 6 | $ 68 | |||
Demand Deposit Overdrafts | ||||||
Financing Receivable, Credit Quality Indicator [Line Items] | ||||||
Financing Receivable, Excluding Accrued Interest, Year One, Originated, Current Fiscal Year, Writeoff | $ 729 | |||||
[1]Includes $729,000 in charged off demand deposit overdrafts reported as 2023 originations. |
Loans and Allowance for Loan _5
Loans and Allowance for Loan Losses - Aging of Past Due Loans by Class of Loan (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 4,329,043 | $ 4,147,691 |
Financial Asset, Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 4,323,010 | 4,141,558 |
30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 3,216 | 4,395 |
60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,955 | 822 |
Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 862 | 916 |
Financial Asset, Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 6,033 | 6,133 |
Construction Real Estate Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 657,354 | 559,681 |
Construction Real Estate Loans | Financial Asset, Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 657,090 | 559,617 |
Construction Real Estate Loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 122 | 43 |
Construction Real Estate Loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 6 | 21 |
Construction Real Estate Loans | Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 136 | 0 |
Construction Real Estate Loans | Financial Asset, Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 264 | 64 |
1-4 Family Residential Real Estate Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 684,878 | 663,519 |
1-4 Family Residential Real Estate Loans | Financial Asset, Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 681,516 | 659,408 |
1-4 Family Residential Real Estate Loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,406 | 3,529 |
1-4 Family Residential Real Estate Loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,371 | 368 |
1-4 Family Residential Real Estate Loans | Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 585 | 214 |
1-4 Family Residential Real Estate Loans | Financial Asset, Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 3,362 | 4,111 |
Commercial Real Estate Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 2,100,338 | 1,987,707 |
Commercial Real Estate Loans | Financial Asset, Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 2,099,449 | 1,987,034 |
Commercial Real Estate Loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 708 | 105 |
Commercial Real Estate Loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 143 | 153 |
Commercial Real Estate Loans | Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 38 | 415 |
Commercial Real Estate Loans | Financial Asset, Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 889 | 673 |
Commercial loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 383,724 | 412,064 |
Commercial loans | Financial Asset, Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 382,612 | 411,025 |
Commercial loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 593 | 515 |
Commercial loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 416 | 277 |
Commercial loans | Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 103 | 247 |
Commercial loans | Financial Asset, Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 1,112 | 1,039 |
Municipal loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 435,211 | 450,067 |
Municipal loans | Financial Asset, Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 435,211 | 450,067 |
Municipal loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 0 | 0 |
Municipal loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 0 | 0 |
Municipal loans | Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 0 | 0 |
Municipal loans | Financial Asset, Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 0 | 0 |
Loans to individuals | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 67,538 | 74,653 |
Loans to individuals | Financial Asset, Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 67,132 | 74,407 |
Loans to individuals | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 387 | 203 |
Loans to individuals | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 19 | 3 |
Loans to individuals | Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | 0 | 40 |
Loans to individuals | Financial Asset, Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans | $ 406 | $ 246 |
Loans and Allowance for Loan _6
Loans and Allowance for Loan Losses - Nonperforming Assets by Asset Class (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | ||
Nonperforming Assets [Line Items] | |||
Restructured loans | $ 897 | ||
Extended Amortization Period | |||
Nonperforming Assets [Line Items] | |||
Restructured loans | $ 314 | ||
Commercial loans | Extended Amortization Period | |||
Nonperforming Assets [Line Items] | |||
Restructured loans | 314 | ||
Nonperforming Assets | |||
Nonperforming Assets [Line Items] | |||
Nonaccrual loans | [1] | 3,017 | 2,846 |
Accruing loans past due more than 90 days | 0 | 0 | |
Restructured loans | [2] | 0 | 7,849 |
OREO | 0 | 93 | |
Repossessed assets | 42 | 74 | |
Total nonperforming assets | 3,059 | 10,862 | |
Nonperforming Assets | Construction Real Estate Loans | |||
Nonperforming Assets [Line Items] | |||
Nonaccrual loans | 521 | 405 | |
Nonperforming Assets | 1-4 Family Residential Real Estate Loans | |||
Nonperforming Assets [Line Items] | |||
Nonaccrual loans | 1,005 | 848 | |
Nonperforming Assets | Commercial Real Estate Loans | |||
Nonperforming Assets [Line Items] | |||
Nonaccrual loans | 554 | 762 | |
Nonperforming Assets | Commercial loans | |||
Nonperforming Assets [Line Items] | |||
Nonaccrual loans | 930 | 757 | |
Nonperforming Assets | Loans to individuals | |||
Nonperforming Assets [Line Items] | |||
Nonaccrual loans | $ 7 | $ 74 | |
[1]Includes $314,000 and $897,000 of restructured loans as of June 30, 2023 and December 31, 2022, respectively.[2]Pursuant to our adoption of ASU 2022-02, effective January 1, 2023, we prospectively discontinued the recognition and measurement guidance previously required on troubled debt restructures. As a result, “restructured” loans as of March 31, 2023 exclude any loan modifications that are performing but would have previously required disclosure as troubled debt restructures. |
Loans and Allowance for Loan _7
Loans and Allowance for Loan Losses - Allowance for Loan Losses Activity by Portfolio Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Allowances for Loan Losses [Roll Forward] | ||||
Balance at beginning of period | $ 36,332 | $ 35,524 | $ 36,515 | $ 35,273 |
Loans charged-off | (737) | (479) | (1,370) | (1,034) |
Recoveries of loans charged-off | 430 | 516 | 792 | 1,056 |
Net loans (charged-off) recovered | (307) | 37 | (578) | 22 |
Provision for (reversal of) loan losses | 278 | (112) | 366 | 154 |
Balance at end of period | 36,303 | 35,449 | 36,303 | 35,449 |
Construction Real Estate Loans | ||||
Allowances for Loan Losses [Roll Forward] | ||||
Balance at beginning of period | 3,152 | 3,604 | 3,164 | 3,787 |
Loans charged-off | (63) | 0 | (63) | 0 |
Recoveries of loans charged-off | 0 | 1 | 1 | 1 |
Net loans (charged-off) recovered | (63) | 1 | (62) | 1 |
Provision for (reversal of) loan losses | 306 | (206) | 293 | (389) |
Balance at end of period | 3,395 | 3,399 | 3,395 | 3,399 |
1-4 Family Residential Real Estate Loans | ||||
Allowances for Loan Losses [Roll Forward] | ||||
Balance at beginning of period | 2,314 | 1,982 | 2,173 | 1,866 |
Loans charged-off | (22) | 0 | (71) | 0 |
Recoveries of loans charged-off | 41 | 53 | 46 | 92 |
Net loans (charged-off) recovered | 19 | 53 | (25) | 92 |
Provision for (reversal of) loan losses | 327 | (11) | 512 | 66 |
Balance at end of period | 2,660 | 2,024 | 2,660 | 2,024 |
Commercial Real Estate Loans | ||||
Allowances for Loan Losses [Roll Forward] | ||||
Balance at beginning of period | 28,721 | 27,225 | 28,701 | 26,980 |
Loans charged-off | 0 | 0 | 0 | 0 |
Recoveries of loans charged-off | 1 | 34 | 1 | 81 |
Net loans (charged-off) recovered | 1 | 34 | 1 | 81 |
Provision for (reversal of) loan losses | (710) | (38) | (690) | 160 |
Balance at end of period | 28,012 | 27,221 | 28,012 | 27,221 |
Commercial loans | ||||
Allowances for Loan Losses [Roll Forward] | ||||
Balance at beginning of period | 1,901 | 2,454 | 2,235 | 2,397 |
Loans charged-off | (260) | (46) | (369) | (177) |
Recoveries of loans charged-off | 143 | 114 | 203 | 330 |
Net loans (charged-off) recovered | (117) | 68 | (166) | 153 |
Provision for (reversal of) loan losses | 233 | 36 | (52) | 8 |
Balance at end of period | 2,017 | 2,558 | 2,017 | 2,558 |
Municipal loans | ||||
Allowances for Loan Losses [Roll Forward] | ||||
Balance at beginning of period | 44 | 48 | 45 | 47 |
Loans charged-off | 0 | 0 | 0 | 0 |
Recoveries of loans charged-off | 0 | 0 | 0 | 0 |
Net loans (charged-off) recovered | 0 | 0 | 0 | 0 |
Provision for (reversal of) loan losses | (7) | (2) | (8) | (1) |
Balance at end of period | 37 | 46 | 37 | 46 |
Loans to individuals | ||||
Allowances for Loan Losses [Roll Forward] | ||||
Balance at beginning of period | 200 | 211 | 197 | 196 |
Loans charged-off | (392) | (433) | (867) | (857) |
Recoveries of loans charged-off | 245 | 314 | 541 | 552 |
Net loans (charged-off) recovered | (147) | (119) | (326) | (305) |
Provision for (reversal of) loan losses | 129 | 109 | 311 | 310 |
Balance at end of period | $ 182 | $ 201 | $ 182 | $ 201 |
Loans and Allowance for Loan _8
Loans and Allowance for Loan Losses - Narrative (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2023 USD ($) loans | Jun. 30, 2022 USD ($) | Jun. 30, 2023 USD ($) loans | Jun. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Mortgage Loans in Process of Foreclosure, Amount | $ 54 | $ 54 | $ 0 | ||
Reversal of interest income on nonaccrual loans | 11 | $ 24 | 30 | $ 35 | |
Nonaccrual loans, no allowance | 1,200 | 1,200 | 1,600 | ||
Collateral-dependent loans | 7,900 | 7,900 | 8,100 | ||
Restructured loans | 897 | ||||
Accrued interest receivable on our loan portfolio | 18,500 | 18,500 | $ 18,800 | ||
Extended Amortization Period | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Restructured loans | $ 314 | ||||
Commercial Real Estate Loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
General Loan Term | 20 years | ||||
Owner and nonowner-occupied real estate | 1,730,000 | $ 1,730,000 | |||
Loans secured by multi-family properties | 338,100 | 338,100 | |||
Loans secured by farmland | $ 27,800 | $ 27,800 | |||
Commercial loans | Extended Amortization Period | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Number of loans modified | loans | 2 | 2 | |||
Restructured loans | $ 314 | ||||
1-4 Family Residential Real Estate Loans | Minimum | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
General Loan Term | 15 years | ||||
1-4 Family Residential Real Estate Loans | Maximum | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
General Loan Term | 30 years |
Borrowing Arrangements (Details
Borrowing Arrangements (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | ||
Debt Instrument [Line Items] | |||
Other borrowings | $ 500,341 | $ 221,153 | |
FHLB borrowings | 183,007 | 153,358 | |
Other borrowings: | |||
Debt Instrument [Line Items] | |||
Other borrowings | 500,341 | 221,153 | |
Average amount outstanding during the period | [1] | 467,205 | 77,845 |
Maximum amount outstanding during the period | [2] | $ 1,030,421 | $ 316,563 |
Weighted average interest rate during the period | [3] | 4.60% | 2.40% |
Interest rate at end of the period | [4] | 4.50% | 4.10% |
FHLB borrowings: | |||
Debt Instrument [Line Items] | |||
FHLB borrowings | $ 183,007 | $ 153,358 | |
Average amount outstanding during the period | [1] | 307,221 | 135,926 |
Maximum amount outstanding during the period | [2] | $ 533,242 | $ 423,645 |
Weighted average interest rate during the period | [3] | 2.70% | 2.40% |
Interest rate at end of the period | [5] | 0.90% | 0.70% |
[1]The average amount outstanding during the period was computed by dividing the total daily outstanding principal balances by the number of days in the period.[2]The maximum amount outstanding at any month-end during the period.[3]The weighted average interest rate during the period was computed by dividing the actual interest expense (annualized for interim periods) by the average amount outstanding during the period. The weighted average interest rate on other borrowings and FHLB borrowings includes the effect of interest rate swaps.[4]Stated rate.[5]The interest rate on FHLB borrowings includes the effect of interest rate swaps. |
Borrowings Maturities Table (De
Borrowings Maturities Table (Details) $ in Thousands | Jun. 30, 2023 USD ($) |
Debt Instrument [Line Items] | |
Less than 1 Year | $ 676,105 |
1-2 Years | 4,367 |
2-3 Years | 2,029 |
3-4 Years | 396 |
4-5 Years | 416 |
Thereafter | 35 |
Total | 683,348 |
Other borrowings: | |
Debt Instrument [Line Items] | |
Less than 1 Year | 495,380 |
1-2 Years | 3,611 |
2-3 Years | 1,350 |
3-4 Years | 0 |
4-5 Years | 0 |
Thereafter | 0 |
Total | 500,341 |
FHLB borrowings: | |
Debt Instrument [Line Items] | |
Less than 1 Year | 180,725 |
1-2 Years | 756 |
2-3 Years | 679 |
3-4 Years | 396 |
4-5 Years | 416 |
Thereafter | 35 |
Total | $ 183,007 |
Borrowing Arrangements Narrativ
Borrowing Arrangements Narrative (Details) | 6 Months Ended | |
Jun. 30, 2023 USD ($) credit_line oustanding_letters_of_credit | Dec. 31, 2022 USD ($) | |
Line of Credit Facility [Line Items] | ||
Number of credit lines maintained by the Company | credit_line | 3 | |
Federal funds purchased | $ 0 | $ 0 |
Letters of Credit, Federal Home Loan Bank, as collateral | $ 0 | |
Maturity of repurchase agreements (less than) | 3 years | |
Securities sold under repurchase agreements | $ 104,200,000 | 33,200,000 |
Federal Home Loan Bank borrowings, additional funding available | 1,800,000,000 | |
Frost Bank | ||
Line of Credit Facility [Line Items] | ||
Line of credit, maximum borrowing capacity | 40,000,000 | |
Line of credit, capacity available for issuance of letters of credit | $ 5,000,000 | |
Number of outstanding letters of credit | oustanding_letters_of_credit | 1 | |
Letters of Credit Outstanding, Amount | $ 155,000 | |
TIB - The Independent Bankers Bank | ||
Line of Credit Facility [Line Items] | ||
Line of credit, maximum borrowing capacity | 15,000,000 | |
Comerica Bank | ||
Line of Credit Facility [Line Items] | ||
Line of credit, maximum borrowing capacity | 7,500,000 | |
Federal Reserve Discount Window | ||
Line of Credit Facility [Line Items] | ||
Additional funding available | 593,600,000 | |
Federal Reserve Bank Term Funding Program | ||
Line of Credit Facility [Line Items] | ||
Additional funding available | $ 708,000 | |
Minimum | ||
Line of Credit Facility [Line Items] | ||
Federal Home Loan Bank borrowings interest rates | 3.73% | |
Federal Home Loan Bank borrowings maturities | 20 days | |
Maximum | ||
Line of Credit Facility [Line Items] | ||
Federal Home Loan Bank borrowings interest rates | 5.53% | |
Federal Home Loan Bank borrowings maturities | 5 years | |
Federal Reserve Discount Window | ||
Line of Credit Facility [Line Items] | ||
Other borrowings | $ 100,000,000 | $ 188,000,000 |
Federal Reserve Bank Term Funding Program | ||
Line of Credit Facility [Line Items] | ||
Other borrowings | $ 296,200,000 |
Long-term Debt Other Long-term
Long-term Debt Other Long-term Debt (Details) - USD ($) $ in Thousands | 6 Months Ended | |||||||||||
Jun. 30, 2023 | Dec. 31, 2022 | Nov. 06, 2020 | Oct. 10, 2007 | Aug. 10, 2007 | Aug. 08, 2007 | May 20, 2005 | [4] | Sep. 04, 2003 | ||||
Debt Instruments [Abstract] | ||||||||||||
Subordinated notes, net of unamortized debt issuance costs: | [1] | $ 93,796 | $ 98,674 | |||||||||
Trust preferred subordinated debentures | [2] | 60,267 | 60,265 | |||||||||
Total long-term debt | 154,063 | 158,939 | ||||||||||
Southside Statutory Trust III, net of unamortized debt issuance costs | ||||||||||||
Debt Instruments [Abstract] | ||||||||||||
Trust preferred subordinated debentures | 20,575 | [2],[3] | 20,573 | [2],[3] | $ 20,619 | |||||||
Unamortized Debt Issuance Expense | 44 | 46 | ||||||||||
Southside Statutory Trust IV | ||||||||||||
Debt Instruments [Abstract] | ||||||||||||
Trust preferred subordinated debentures | 23,196 | [2] | 23,196 | [2] | $ 23,196 | |||||||
Southside Statutory Trust V | ||||||||||||
Debt Instruments [Abstract] | ||||||||||||
Trust preferred subordinated debentures | 12,887 | [2] | 12,887 | [2] | $ 12,887 | |||||||
Magnolia Trust Company I | ||||||||||||
Debt Instruments [Abstract] | ||||||||||||
Trust preferred subordinated debentures | 3,609 | [2] | 3,609 | [2] | $ 3,600 | $ 3,609 | ||||||
3.875% Subordinated Notes | ||||||||||||
Debt Instruments [Abstract] | ||||||||||||
Subordinated notes, net of unamortized debt issuance costs: | [1],[5] | 93,796 | 98,674 | |||||||||
Unamortized Debt Issuance Expense | $ 1,200 | $ 1,300 | ||||||||||
Stated interest rate | 3.875% | 3.875% | ||||||||||
Minimum | ||||||||||||
Debt Instruments [Abstract] | ||||||||||||
Subordinated notes, remaining maturity, greater than | 1 year | |||||||||||
[1]This debt consists of subordinated notes with a remaining maturity greater than one year that qualify under the risk-based capital guidelines as Tier 2 capital, subject to certain limitations.[2]This debt consists of trust preferred securities that qualify under the risk-based capital guidelines as Tier 1 capital, subject to certain limitations.[3]The unamortized debt issuance costs reflected in the carrying amount of the Southside Statutory Trust III junior subordinated debentures totaled $44,000 at June 30, 2023 and $46,000 at December 31, 2022.[4]On October 10, 2007, as part of an acquisition we assumed $3.6 million of floating rate junior subordinated debentures issued in 2005 to Magnolia Trust Company I[5]The unamortized discount and debt issuance costs reflected in the carrying amount of the subordinated notes totaled approximately $1.2 million at June 30, 2023 and $1.3 million at December 31, 2022. |
Long-term Debt LT Debt Interest
Long-term Debt LT Debt Interest Rates (Details) - USD ($) $ in Thousands | Nov. 14, 2025 | Aug. 10, 2007 | Aug. 08, 2007 | May 20, 2005 | Sep. 04, 2003 | Jun. 30, 2023 | Jun. 14, 2023 | Dec. 31, 2022 | Nov. 06, 2020 | Oct. 10, 2007 | ||||
Debt Instrument [Line Items] | ||||||||||||||
Other long-term debt | [1] | $ 60,267 | $ 60,265 | |||||||||||
Southside Statutory Trust III (2) | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Other long-term debt | $ 20,619 | 20,575 | [1],[2] | 20,573 | [1],[2] | |||||||||
Southside Statutory Trust III (2) | Three-Month London Interbank Offered Rate (LIBOR) | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis on variable rate | [3] | 2.94% | ||||||||||||
Southside Statutory Trust IV | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Other long-term debt | $ 23,196 | 23,196 | [1] | 23,196 | [1] | |||||||||
Southside Statutory Trust IV | Three-Month London Interbank Offered Rate (LIBOR) | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis on variable rate | [3] | 1.30% | ||||||||||||
Southside Statutory Trust V | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Other long-term debt | $ 12,887 | 12,887 | [1] | 12,887 | [1] | |||||||||
Southside Statutory Trust V | Three-Month London Interbank Offered Rate (LIBOR) | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis on variable rate | [3] | 2.25% | ||||||||||||
Magnolia Trust Company I | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Other long-term debt | $ 3,609 | [4] | $ 3,609 | [1] | $ 3,609 | [1] | $ 3,600 | |||||||
Magnolia Trust Company I | Three-Month London Interbank Offered Rate (LIBOR) | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis on variable rate | [3],[4] | 1.80% | ||||||||||||
3.875% Subordinated Notes | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Debt face amount | [5] | $ 100,000 | ||||||||||||
Stated interest rate | 3.875% | 3.875% | ||||||||||||
Debt instrument repurchase | $ 5,000 | |||||||||||||
Forecast | 3.875% Subordinated Notes | Secured Overnight Financing Rate (SOFR) Overnight Index Swap Rate | ||||||||||||||
Debt Instrument [Line Items] | ||||||||||||||
Basis on variable rate | 3.66% | |||||||||||||
[1]This debt consists of trust preferred securities that qualify under the risk-based capital guidelines as Tier 1 capital, subject to certain limitations.[2]The unamortized debt issuance costs reflected in the carrying amount of the Southside Statutory Trust III junior subordinated debentures totaled $44,000 at June 30, 2023 and $46,000 at December 31, 2022.[3]Effective July 1, 2023, the Company began utilizing SOFR to reset rates on our floating rate trust preferred subordinated debentures, due to the fact that LIBOR ceased to be published as of June 30, 2023.[4]On October 10, 2007, as part of an acquisition we assumed $3.6 million of floating rate junior subordinated debentures issued in 2005 to Magnolia Trust Company I[5]On June 14, 2023, the Company repurchased $5.0 million of the $100 million fixed-to-floating rate subordinated notes that mature on November 15, 2030. |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Retirement Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Interest cost | $ 961 | $ 691 | $ 1,886 | $ 1,371 |
Expected return on assets | (1,144) | (1,462) | (2,287) | (2,923) |
Net loss amortization | 197 | 169 | 363 | 320 |
Net periodic benefit cost (income) | 14 | (602) | (38) | (1,232) |
Retirement Plan Acquired | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Interest cost | 31 | 25 | 63 | 51 |
Expected return on assets | (46) | (57) | (93) | (116) |
Net loss amortization | 0 | 0 | 0 | 0 |
Net periodic benefit cost (income) | (15) | (32) | (30) | (65) |
Restoration Plan | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Interest cost | 209 | 150 | 415 | 289 |
Expected return on assets | 0 | 0 | 0 | 0 |
Net loss amortization | 8 | 72 | 15 | 127 |
Net periodic benefit cost (income) | $ 217 | $ 222 | $ 430 | $ 416 |
Employee Benefit Plans Narrativ
Employee Benefit Plans Narrative (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Noncash adjustment to employee benefit plan liabilities, consisting of changes in net loss | $ 378 | $ 447 |
Derivative Financial Instrume_3
Derivative Financial Instruments and Hedging Activities - Schedule Of Derivative Instruments (Details) - USD ($) | Jun. 30, 2023 | Dec. 31, 2022 | |
Asset Derivative | |||
Gross derivatives | $ 87,699,000 | $ 82,306,000 | |
Offsetting derivative assets | 0 | (171,000) | |
Cash collateral received/posted | (78,260,000) | (82,135,000) | |
Net derivatives included in the consolidated balance sheets | [1] | 9,439,000 | 0 |
Liability Derivative | |||
Gross derivatives | 21,282,000 | 21,217,000 | |
Offsetting derivative liabilities | 0 | (171,000) | |
Cash collateral received/posted | 0 | 0 | |
Net derivatives included in the consolidated balance sheets | [1] | 21,282,000 | 21,046,000 |
Cash Flow Hedging | Interest Rate Swap | |||
Derivatives, Fair Value [Line Items] | |||
Derivative, Notional Amount | 760,000,000 | ||
Financial Institution Counterparties | |||
Derivatives, Fair Value [Line Items] | |||
Credit exposure related to interest rate swaps | 9,400,000 | 0 | |
Financial Institution Counterparties | Designated as Hedging Instrument | Cash Flow Hedging | Interest Rate Swap | |||
Derivatives, Fair Value [Line Items] | |||
Derivative, Notional Amount | [2] | 760,000,000 | 575,000,000 |
Asset Derivative | |||
Gross derivatives | 38,507,000 | 39,527,000 | |
Liability Derivative | |||
Gross derivatives | 0 | 0 | |
Financial Institution Counterparties | Designated as Hedging Instrument | Fair Value Hedging | Interest Rate Swap | |||
Derivatives, Fair Value [Line Items] | |||
Derivative, Notional Amount | [2] | 654,870,000 | 742,675,000 |
Asset Derivative | |||
Gross derivatives | 27,910,000 | 21,733,000 | |
Liability Derivative | |||
Gross derivatives | 0 | 171,000 | |
Financial Institution Counterparties | Not Designated as Hedging Instrument | Interest Rate Swap | |||
Derivatives, Fair Value [Line Items] | |||
Derivative, Notional Amount | [2] | 218,901,000 | 223,124,000 |
Asset Derivative | |||
Gross derivatives | 21,282,000 | 21,046,000 | |
Liability Derivative | |||
Gross derivatives | 0 | 0 | |
Customer Counterparties | |||
Derivatives, Fair Value [Line Items] | |||
Credit exposure related to interest rate swaps | 0 | 0 | |
Customer Counterparties | Not Designated as Hedging Instrument | Interest Rate Swap | |||
Derivatives, Fair Value [Line Items] | |||
Derivative, Notional Amount | [2] | 218,901,000 | 223,124,000 |
Asset Derivative | |||
Gross derivatives | 0 | 0 | |
Liability Derivative | |||
Gross derivatives | $ 21,282,000 | $ 21,046,000 | |
[1]Net derivative assets are included in other assets and net derivative liabilities are included in other liabilities on the consolidated balance sheets. Included in the fair value of net derivative assets and net derivative liabilities are credit valuation adjustments reflecting counterparty credit risk and our credit risk. We had $9.4 million credit exposure related to interest rate swaps with financial institutions and none related to interest rate swaps with customers at June 30, 2023. We had no credit exposure related to interest rate swaps with financial institutions and none related to interest rate swaps with customers at December 31, 2022. The credit risk associated with customer transactions is partially mitigated as these are generally secured by the non-cash collateral securing the underlying transaction being hedged.[2]Notional amounts, which represent the extent of involvement in the derivatives market, are used to determine the contractual cash flows required in accordance with the terms of the agreement. These amounts are typically not exchanged, significantly exceed amounts subject to credit or market risk and are not reflected in the consolidated balance sheets. |
Derivative Financial Instrume_4
Derivative Financial Instruments and Hedging Activities - Weighted Average Remaining Maturity, Lives, and Rates of Interest Rate Swaps (Details) - Interest Rate Swap - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Dec. 31, 2022 | ||
Cash Flow Hedging | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | $ 760,000,000 | ||
Financial Institution Counterparties | Not Designated as Hedging Instrument | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | [1] | $ 218,901,000 | $ 223,124,000 |
Remaining Maturity | 8 years 7 months 6 days | 9 years | |
Weighted Average Receive Rate | 5.71% | 4.83% | |
Weighted Average Pay Rate | 2.67% | 2.69% | |
Financial Institution Counterparties | Cash Flow Hedging | Designated as Hedging Instrument | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | [1] | $ 760,000,000 | $ 575,000,000 |
Remaining Maturity | 2 years 7 months 6 days | 2 years 3 months 18 days | |
Weighted Average Receive Rate | 5.23% | 4.44% | |
Weighted Average Pay Rate | 2.02% | 1.13% | |
Financial Institution Counterparties | Fair Value Hedging | Designated as Hedging Instrument | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | [1] | $ 654,870,000 | $ 742,675,000 |
Remaining Maturity | 5 years 9 months 18 days | 6 years 3 months 18 days | |
Weighted Average Receive Rate | 4.91% | 3.42% | |
Weighted Average Pay Rate | 3.19% | 3.21% | |
Customer Counterparties | Not Designated as Hedging Instrument | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | [1] | $ 218,901,000 | $ 223,124,000 |
Remaining Maturity | 8 years 7 months 6 days | 9 years | |
Weighted Average Receive Rate | 2.67% | 2.69% | |
Weighted Average Pay Rate | 5.71% | 4.83% | |
[1]Notional amounts, which represent the extent of involvement in the derivatives market, are used to determine the contractual cash flows required in accordance with the terms of the agreement. These amounts are typically not exchanged, significantly exceed amounts subject to credit or market risk and are not reflected in the consolidated balance sheets. |
Derivative Financial Instrume_5
Derivative Financial Instruments and Hedging Activities - Narrative (Details) | Jun. 30, 2023 USD ($) derivative_instrument | Dec. 31, 2022 USD ($) |
Derivative [Line Items] | ||
Securities AFS, at estimated fair value | $ 1,339,821,000 | $ 1,299,014,000 |
Cash collateral received from counterparties under master netting agreements | 78,260,000 | $ 82,135,000 |
Fair Value Hedging | ||
Derivative [Line Items] | ||
Securities AFS, at estimated fair value | $ 661,100,000 | |
Interest Rate Swap | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Number of instruments terminated | derivative_instrument | 1 | |
Interest Rate Swap | Cash Flow Hedging | ||
Derivative [Line Items] | ||
Derivative, Notional Amount | $ 760,000,000 |
Fair Value Measurement - Recurr
Fair Value Measurement - Recurring and Nonrecurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | $ 1,339,821 | $ 1,299,014 | |
Derivative assets | [1] | 9,439 | 0 |
Derivative liabilities | [1] | 21,282 | 21,046 |
US Treasury Securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 298,998 | ||
State and political subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 770,283 | 964,852 | |
Corporate bonds and other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 12,991 | 8,704 | |
Residential MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [2] | 247,233 | 315,027 |
Commercial MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [2] | 10,316 | 10,431 |
Fair Value, Recurring | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity investments | 5,235 | 5,235 | |
Total asset fair value measurements | 1,432,755 | 1,386,555 | |
Total liability fair value measurements | 21,282 | 21,217 | |
Fair Value, Recurring | US Treasury Securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 298,998 | ||
Fair Value, Recurring | State and political subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 770,283 | 964,852 | |
Fair Value, Recurring | Corporate bonds and other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 12,991 | 8,704 | |
Fair Value, Recurring | Residential MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [3] | 247,233 | 315,027 |
Fair Value, Recurring | Commercial MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [3] | 10,316 | 10,431 |
Fair Value, Recurring | Interest Rate Swap | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets | 87,699 | 82,306 | |
Derivative liabilities | 21,282 | 21,217 | |
Fair Value, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity investments | 5,235 | 5,235 | |
Total asset fair value measurements | 304,233 | 5,235 | |
Total liability fair value measurements | 0 | 0 | |
Fair Value, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | US Treasury Securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 298,998 | ||
Fair Value, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | State and political subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 0 | 0 | |
Fair Value, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate bonds and other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 0 | 0 | |
Fair Value, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Residential MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [3] | 0 | 0 |
Fair Value, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [3] | 0 | 0 |
Fair Value, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest Rate Swap | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets | 0 | 0 | |
Derivative liabilities | 0 | 0 | |
Fair Value, Recurring | Significant Other Observable Inputs (Level 2) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity investments | 0 | 0 | |
Total asset fair value measurements | 1,128,522 | 1,381,320 | |
Total liability fair value measurements | 21,282 | 21,217 | |
Fair Value, Recurring | Significant Other Observable Inputs (Level 2) | US Treasury Securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 0 | ||
Fair Value, Recurring | Significant Other Observable Inputs (Level 2) | State and political subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 770,283 | 964,852 | |
Fair Value, Recurring | Significant Other Observable Inputs (Level 2) | Corporate bonds and other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 12,991 | 8,704 | |
Fair Value, Recurring | Significant Other Observable Inputs (Level 2) | Residential MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [3] | 247,233 | 315,027 |
Fair Value, Recurring | Significant Other Observable Inputs (Level 2) | Commercial MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [3] | 10,316 | 10,431 |
Fair Value, Recurring | Significant Other Observable Inputs (Level 2) | Interest Rate Swap | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets | 87,699 | 82,306 | |
Derivative liabilities | 21,282 | 21,217 | |
Fair Value, Recurring | Significant Unobservable Inputs (Level 3) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Equity investments | 0 | 0 | |
Total asset fair value measurements | 0 | 0 | |
Total liability fair value measurements | 0 | 0 | |
Fair Value, Recurring | Significant Unobservable Inputs (Level 3) | US Treasury Securities | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 0 | ||
Fair Value, Recurring | Significant Unobservable Inputs (Level 3) | State and political subdivisions | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 0 | 0 | |
Fair Value, Recurring | Significant Unobservable Inputs (Level 3) | Corporate bonds and other | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | 0 | 0 | |
Fair Value, Recurring | Significant Unobservable Inputs (Level 3) | Residential MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [3] | 0 | 0 |
Fair Value, Recurring | Significant Unobservable Inputs (Level 3) | Commercial MBS | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Securities AFS, at estimated fair value (amortized cost of $1,409,568 and $1,387,874, respectively) | [3] | 0 | 0 |
Fair Value, Recurring | Significant Unobservable Inputs (Level 3) | Interest Rate Swap | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Derivative assets | 0 | 0 | |
Derivative liabilities | 0 | 0 | |
Fair Value, Nonrecurring | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Foreclosed assets | 42 | 167 | |
Total asset fair value measurements | 7,581 | 7,982 | |
Fair Value, Nonrecurring | Collateral-dependent loans | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Collateral-dependent loans | [4] | 7,539 | 7,815 |
Fair Value, Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Foreclosed assets | 0 | 0 | |
Total asset fair value measurements | 0 | 0 | |
Fair Value, Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateral-dependent loans | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Collateral-dependent loans | [4] | 0 | 0 |
Fair Value, Nonrecurring | Significant Other Observable Inputs (Level 2) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Foreclosed assets | 0 | 0 | |
Total asset fair value measurements | 0 | 0 | |
Fair Value, Nonrecurring | Significant Other Observable Inputs (Level 2) | Collateral-dependent loans | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Collateral-dependent loans | [4] | 0 | 0 |
Fair Value, Nonrecurring | Significant Unobservable Inputs (Level 3) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Foreclosed assets | 42 | 167 | |
Total asset fair value measurements | 7,581 | 7,982 | |
Fair Value, Nonrecurring | Significant Unobservable Inputs (Level 3) | Collateral-dependent loans | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Collateral-dependent loans | [4] | $ 7,539 | $ 7,815 |
[1]Net derivative assets are included in other assets and net derivative liabilities are included in other liabilities on the consolidated balance sheets. Included in the fair value of net derivative assets and net derivative liabilities are credit valuation adjustments reflecting counterparty credit risk and our credit risk. We had $9.4 million credit exposure related to interest rate swaps with financial institutions and none related to interest rate swaps with customers at June 30, 2023. We had no credit exposure related to interest rate swaps with financial institutions and none related to interest rate swaps with customers at December 31, 2022. The credit risk associated with customer transactions is partially mitigated as these are generally secured by the non-cash collateral securing the underlying transaction being hedged.[2]All MBS are issued and/or guaranteed by U.S. government agencies or U.S. GSEs.[3]All MBS are issued and/or guaranteed by U.S. government agencies or U.S. GSEs.[4]Consists of individually evaluated loans. Loans for which the fair value of the collateral and commercial real estate fair value of the properties is less than cost basis are presented net of allowance. Losses on these loans represent charge-offs which are netted against the allowance for loan losses. |
Fair Value Measurement - Balanc
Fair Value Measurement - Balance Sheet Grouping (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Carrying Amount | ||
Financial assets: | ||
Cash and cash equivalents | $ 207,113 | $ 199,252 |
Investment securities: | ||
HTM, at carrying value | 1,184,922 | 1,190,108 |
Mortgage-backed securities: | ||
HTM, at carrying value | 123,550 | 136,621 |
FHLB stock, at cost | 10,801 | 9,190 |
Equity investments | 4,337 | 5,946 |
Loans, net of allowance for loan losses | 4,292,740 | 4,111,176 |
Loans held for sale | 1,666 | 667 |
Financial liabilities: | ||
Deposits | 6,117,687 | 6,198,019 |
Other borrowings | 500,341 | 221,153 |
FHLB borrowings | 183,007 | 153,358 |
Subordinated notes, net of unamortized debt issuance costs | 93,796 | 98,674 |
Trust preferred subordinated debentures, net of unamortized debt issuance costs | 60,267 | 60,265 |
Estimated Fair Value | ||
Financial assets: | ||
Cash and cash equivalents | 207,113 | 199,252 |
Investment securities: | ||
HTM, at carrying value | 1,035,925 | 1,023,376 |
Mortgage-backed securities: | ||
HTM, at carrying value | 112,890 | 125,780 |
FHLB stock, at cost | 10,801 | 9,190 |
Equity investments | 4,337 | 5,946 |
Loans, net of allowance for loan losses | 3,989,515 | 3,880,664 |
Loans held for sale | 1,666 | 667 |
Financial liabilities: | ||
Deposits | 6,081,139 | 6,158,517 |
Other borrowings | 502,199 | 221,153 |
FHLB borrowings | 169,942 | 140,976 |
Subordinated notes, net of unamortized debt issuance costs | 85,323 | 91,357 |
Trust preferred subordinated debentures, net of unamortized debt issuance costs | 54,964 | 60,594 |
Estimated Fair Value | Level 1 | ||
Financial assets: | ||
Cash and cash equivalents | 207,113 | 199,252 |
Investment securities: | ||
HTM, at carrying value | 0 | 0 |
Mortgage-backed securities: | ||
HTM, at carrying value | 0 | 0 |
FHLB stock, at cost | 0 | 0 |
Equity investments | 0 | 0 |
Loans, net of allowance for loan losses | 0 | 0 |
Loans held for sale | 0 | 0 |
Financial liabilities: | ||
Deposits | 0 | 0 |
Other borrowings | 0 | 0 |
FHLB borrowings | 0 | 0 |
Subordinated notes, net of unamortized debt issuance costs | 0 | 0 |
Trust preferred subordinated debentures, net of unamortized debt issuance costs | 0 | 0 |
Estimated Fair Value | Level 2 | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Investment securities: | ||
HTM, at carrying value | 1,035,925 | 1,023,376 |
Mortgage-backed securities: | ||
HTM, at carrying value | 112,890 | 125,780 |
FHLB stock, at cost | 10,801 | 9,190 |
Equity investments | 4,337 | 5,946 |
Loans, net of allowance for loan losses | 0 | 0 |
Loans held for sale | 1,666 | 667 |
Financial liabilities: | ||
Deposits | 6,081,139 | 6,158,517 |
Other borrowings | 502,199 | 221,153 |
FHLB borrowings | 169,942 | 140,976 |
Subordinated notes, net of unamortized debt issuance costs | 85,323 | 91,357 |
Trust preferred subordinated debentures, net of unamortized debt issuance costs | 54,964 | 60,594 |
Estimated Fair Value | Level 3 | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Investment securities: | ||
HTM, at carrying value | 0 | 0 |
Mortgage-backed securities: | ||
HTM, at carrying value | 0 | 0 |
FHLB stock, at cost | 0 | 0 |
Equity investments | 0 | 0 |
Loans, net of allowance for loan losses | 3,989,515 | 3,880,664 |
Loans held for sale | 0 | 0 |
Financial liabilities: | ||
Deposits | 0 | 0 |
Other borrowings | 0 | 0 |
FHLB borrowings | 0 | 0 |
Subordinated notes, net of unamortized debt issuance costs | 0 | 0 |
Trust preferred subordinated debentures, net of unamortized debt issuance costs | $ 0 | $ 0 |
Fair Value Measurement Narrativ
Fair Value Measurement Narrative (Details) | 6 Months Ended |
Jun. 30, 2023 source | |
Available-for-sale Securities | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Number of third party sources used to validate prices, in some cases | 2 |
Derivative | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Number of third party sources used to validate prices, in some cases | 2 |
Income Taxes - Provision for In
Income Taxes - Provision for Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Income Tax Disclosure [Abstract] | ||||
Current income tax expense | $ 4,690 | $ 2,939 | $ 9,427 | $ 5,800 |
Deferred income tax expense (benefit) | (122) | 358 | (316) | 643 |
Income tax expense | $ 4,568 | $ 3,297 | $ 9,111 | $ 6,443 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |||||
Deferred tax assets, net | $ 29,200,000 | $ 29,200,000 | $ 34,700,000 | ||
Deferred tax assets, valuation allowance | 0 | 0 | $ 0 | ||
Income tax expense | $ 4,568,000 | $ 3,297,000 | $ 9,111,000 | $ 6,443,000 | |
Effective income tax rate, percent | 15.50% | 11.50% | 15.20% | 11.30% |
Off-Balance-Sheet Arrangement_3
Off-Balance-Sheet Arrangements, Allowance for off-balance-sheet credit exposures (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | |
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | ||||
Balance at beginning of period | $ 3,559 | $ 2,412 | $ 3,687 | $ 2,384 |
Provision for (reversal of) off-balance-sheet credit exposures | (352) | (521) | (480) | (493) |
Balance at end of period | $ 3,207 | $ 1,891 | $ 3,207 | $ 1,891 |
Off-Balance-Sheet Arrangement_4
Off-Balance-Sheet Arrangements, Commitments and Contingencies (Details) - USD ($) $ in Thousands | Jun. 30, 2023 | Dec. 31, 2022 |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instruments with off-balance-sheet risk, at fair value | $ 1,253,640 | $ 1,323,617 |
Commitments to extend credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instruments with off-balance-sheet risk, at fair value | 1,240,994 | 1,296,773 |
Standby letters of credit | ||
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | ||
Financial instruments with off-balance-sheet risk, at fair value | $ 12,646 | $ 26,844 |
Off-Balance-Sheet Arrangement_5
Off-Balance-Sheet Arrangements, Commitments and Contingencies Narrative (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2023 | Jun. 30, 2022 | Jun. 30, 2023 | Jun. 30, 2022 | Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |||||
Operating lease right-of-use assets obtained in exchange for new operating lease liabilities | $ 411,000 | $ 0 | $ 603,000 | $ 0 | |
Operating lease ROU assets | 15,273,000 | 15,273,000 | $ 15,314,000 | ||
Unsettled trades to purchase securities | 0 | 174,038,000 | 0 | 174,038,000 | 0 |
Unsettled trades to sell securities | 31,548,000 | $ 72,001,000 | 31,548,000 | $ 72,001,000 | 0 |
Unsettled Issuances of Brokered CDs | $ 0 | $ 0 | $ 0 |