Cover Page
Cover Page - shares | 6 Months Ended | |
Jun. 30, 2022 | Aug. 05, 2022 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 0-10792 | |
Entity Registrant Name | HORIZON BANCORP, INC. | |
Entity Incorporation, State or Country Code | IN | |
Entity Tax Identification Number | 35-1562417 | |
Entity Address, Address Line One | 515 Franklin Street | |
Entity Address, City or Town | Michigan City | |
Entity Address, State or Province | IN | |
Entity Address, Postal Zip Code | 46360 | |
City Area Code | 219 | |
Local Phone Number | 879-0211 | |
Title of 12(b) Security | Common stock, no par value | |
Trading Symbol | HBNC | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 43,572,796 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0000706129 | |
Current Fiscal Year End Date | --12-31 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and due from banks | $ 108,848 | $ 593,508 |
Interest earning time deposits | 3,799 | 4,782 |
Investment securities, available for sale | 1,041,020 | 1,160,812 |
Investment securities, held to maturity (fair value of $1,754,214 and $1,559,991) | 2,052,772 | 1,552,443 |
Loans held for sale | 2,943 | 12,579 |
Loans, net of allowance for credit losses of $52,350 and $54,286 | 3,885,460 | 3,590,331 |
Premises and equipment, net | 93,778 | 93,441 |
Federal Home Loan Bank stock | 26,677 | 24,440 |
Goodwill | 154,572 | 154,572 |
Other intangible assets | 19,090 | 20,941 |
Interest receivable | 28,996 | 26,137 |
Cash value of life insurance | 94,625 | 97,150 |
Other assets | 128,356 | 80,753 |
Total assets | 7,640,936 | 7,411,889 |
Deposits | ||
Non–interest bearing | 1,328,213 | 1,360,338 |
Interest bearing | 4,517,372 | 4,442,653 |
Total deposits | 5,845,585 | 5,802,991 |
Borrowings | 959,222 | 712,739 |
Subordinated notes | 58,823 | 58,750 |
Junior subordinated debentures issued to capital trusts | 56,907 | 56,785 |
Interest payable | 2,402 | 2,235 |
Other liabilities | 60,132 | 55,180 |
Total liabilities | 6,983,071 | 6,688,680 |
Commitments and contingent liabilities | ||
Stockholders’ Equity | ||
Preferred stock, Authorized, 1,000,000 shares, Issued 0 shares | 0 | 0 |
Common stock, no par value, Authorized 99,000,000 shares | 0 | 0 |
Additional paid-in capital | 352,412 | 352,122 |
Retained earnings | 398,517 | 363,742 |
Accumulated other comprehensive income (loss) | (93,064) | 7,345 |
Total stockholders’ equity | 657,865 | 723,209 |
Total liabilities and stockholders’ equity | $ 7,640,936 | $ 7,411,889 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Investment securities, held to maturity fair value | $ 1,754,214 | $ 1,559,991 |
Loans, net of allowance for credit losses | $ 52,350 | $ 54,286 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, shares authorized (in shares) | 99,000,000 | 99,000,000 |
Common stock, shares issued (in shares) | 43,883,415 | 43,766,931 |
Common stock, shares outstanding (in shares) | 43,572,796 | 43,547,942 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Interest Income | ||||
Loans receivable | $ 41,549 | $ 39,236 | $ 79,428 | $ 80,054 |
Investment securities – taxable | 8,716 | 2,528 | 16,222 | 4,076 |
Investment securities – tax exempt | 7,307 | 5,656 | 14,004 | 10,879 |
Total interest income | 57,572 | 47,420 | 109,654 | 95,009 |
Interest Expense | ||||
Deposits | 1,677 | 2,053 | 3,173 | 4,396 |
Borrowed funds | 1,450 | 1,296 | 2,530 | 2,565 |
Subordinated notes | 881 | 881 | 1,761 | 1,761 |
Junior subordinated debentures issued to capital trusts | 556 | 558 | 1,011 | 1,117 |
Total interest expense | 4,564 | 4,788 | 8,475 | 9,839 |
Net Interest Income | 53,008 | 42,632 | 101,179 | 85,170 |
Credit loss expense (recovery) | 240 | (1,492) | (1,146) | (1,125) |
Net Interest Income after Credit Loss Expense (Recovery) | 52,768 | 44,124 | 102,325 | 86,295 |
Non–interest Income | ||||
Service charges on deposit accounts | 2,833 | 2,157 | 5,628 | 4,391 |
Wire transfer fees | 170 | 222 | 329 | 477 |
Interchange fees | 3,582 | 2,892 | 6,362 | 5,232 |
Fiduciary activities | 1,405 | 1,961 | 2,908 | 3,704 |
Gains on sale of investment securities (includes $0 and $0 for the three months ended June 30, 2022 and 2021, respectively, and $0 and $914 for the six months ended June 30, 2022 and 2021, respectively, related to accumulated other comprehensive earnings reclassifications) | 0 | 0 | 0 | 914 |
Gain on sale of mortgage loans | 2,501 | 5,612 | 4,528 | 10,908 |
Mortgage servicing income net of impairment or recovery | 319 | 1,503 | 3,808 | 1,716 |
Increase in cash value of bank owned life insurance | 519 | 502 | 1,029 | 1,013 |
Death benefit on bank owned life insurance | 644 | 266 | 644 | 266 |
Other income | 461 | 92 | 1,353 | 459 |
Total non–interest income | 12,434 | 15,207 | 26,589 | 29,080 |
Non–interest Expense | ||||
Salaries and employee benefits | 19,957 | 17,730 | 39,692 | 34,601 |
Net occupancy expenses | 3,190 | 3,084 | 6,751 | 6,402 |
Data processing | 2,607 | 2,388 | 5,144 | 4,764 |
Professional fees | 283 | 588 | 597 | 1,132 |
Outside services and consultants | 2,485 | 2,220 | 5,010 | 3,922 |
Loan expense | 2,497 | 3,107 | 5,042 | 5,929 |
FDIC insurance expense | 775 | 500 | 1,500 | 1,300 |
Other losses | 362 | 6 | 530 | 289 |
Other expense | 4,212 | 3,765 | 8,712 | 7,221 |
Total non–interest expense | 36,368 | 33,388 | 72,978 | 65,560 |
Income Before Income Taxes | 28,834 | 25,943 | 55,936 | 49,815 |
Income tax expense (includes $0 and $0 for the three months ended June 30, 2022 and 2021, respectively, and $0 and $192 for the six months ended June 30, 2022 and 2021, respectively, related to income tax expense from reclassification items) | 3,975 | 3,770 | 7,514 | 7,220 |
Net Income | $ 24,859 | $ 22,173 | $ 48,422 | $ 42,595 |
Basic earnings per share (in USD per share) | $ 0.57 | $ 0.50 | $ 1.11 | $ 0.97 |
Diluted earnings per share (in USD per share) | $ 0.57 | $ 0.50 | $ 1.11 | $ 0.97 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Income (Unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Income Statement [Abstract] | ||||
Accumulated other comprehensive earnings reclassifications | $ 0 | $ 0 | $ 0 | $ 914 |
Income tax expense from reclassification | $ 0 | $ 0 | $ 0 | $ 192 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 24,859 | $ 22,173 | $ 48,422 | $ 42,595 |
Change in fair value of derivative instruments: | ||||
Change in fair value of derivative instruments for the period | 1,043 | (18) | 3,789 | 3,035 |
Income tax effect | (219) | 4 | (796) | (637) |
Changes from derivative instruments | 824 | (14) | 2,993 | 2,398 |
Change in securities: | ||||
Unrealized depreciation for the period on AFS securities | (48,333) | 10,069 | (129,157) | (13,816) |
Accretion (amortization) from transfer of securities from available for sale to held to maturity securities | (1,181) | 14 | (1,732) | 31 |
Reclassification adjustment for securities gains realized in income | 0 | 0 | 0 | (914) |
Income tax effect | 10,398 | (2,117) | 27,487 | 3,087 |
Unrealized losses on securities | (39,116) | 7,966 | (103,402) | (11,612) |
Other Comprehensive Loss, Net of Tax | (38,292) | 7,952 | (100,409) | (9,214) |
Comprehensive Income (Loss) | $ (13,433) | $ 30,125 | $ (51,987) | $ 33,381 |
Condensed Consolidated Statem_4
Condensed Consolidated Statement of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income |
Beginning balances at Dec. 31, 2020 | $ 692,216 | $ 0 | $ 0 | $ 362,945 | $ 301,419 | $ 27,852 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 42,595 | 42,595 | ||||
Other comprehensive loss, net of tax | (9,214) | (9,214) | ||||
Amortization of unearned compensation | 784 | 784 | ||||
Exercise of stock options | 769 | 769 | ||||
Stock option expense | 42 | 42 | ||||
Net settlement of share awards | (1,347) | (1,347) | ||||
Stock retirement plans | (3,966) | (3,966) | ||||
Cash dividends on common stock | (11,505) | (11,505) | ||||
Ending balances at Jun. 30, 2021 | 710,374 | 0 | 0 | 359,227 | 332,509 | 18,638 |
Beginning balances at Mar. 31, 2021 | 689,379 | 0 | 0 | 362,613 | 316,080 | 10,686 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 22,173 | 22,173 | ||||
Other comprehensive loss, net of tax | 7,952 | 7,952 | ||||
Amortization of unearned compensation | 449 | 449 | ||||
Exercise of stock options | 116 | 116 | ||||
Stock option expense | 15 | 15 | ||||
Stock retirement plans | (3,966) | (3,966) | ||||
Cash dividends on common stock | (5,744) | (5,744) | ||||
Ending balances at Jun. 30, 2021 | 710,374 | 0 | 0 | 359,227 | 332,509 | 18,638 |
Beginning balances at Dec. 31, 2021 | 723,209 | 0 | 0 | 352,122 | 363,742 | 7,345 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 48,422 | 48,422 | ||||
Other comprehensive loss, net of tax | (100,409) | (100,409) | ||||
Amortization of unearned compensation | 1,143 | 1,143 | ||||
Exercise of stock options | 94 | 94 | ||||
Stock option expense | 13 | 13 | ||||
Net settlement of share awards | (1,696) | (1,696) | ||||
Stock retirement plans | 736 | 736 | ||||
Cash dividends on common stock | (13,647) | (13,647) | ||||
Ending balances at Jun. 30, 2022 | 657,865 | 0 | 0 | 352,412 | 398,517 | (93,064) |
Beginning balances at Mar. 31, 2022 | 677,450 | 0 | 0 | 351,522 | 380,700 | (54,772) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 24,859 | 24,859 | ||||
Other comprehensive loss, net of tax | (38,292) | (38,292) | ||||
Amortization of unearned compensation | 627 | 627 | ||||
Net settlement of share awards | (25) | (25) | ||||
Stock retirement plans | 288 | 288 | ||||
Cash dividends on common stock | (7,042) | (7,042) | ||||
Ending balances at Jun. 30, 2022 | $ 657,865 | $ 0 | $ 0 | $ 352,412 | $ 398,517 | $ (93,064) |
Condensed Consolidated Statem_5
Condensed Consolidated Statement of Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Statement of Stockholders' Equity [Abstract] | ||||
Cash dividends on common stock (in USD per share) | $ 0.16 | $ 0.13 | $ 0.31 | $ 0.26 |
Condensed Consolidated Statem_6
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Operating Activities | ||
Net income | $ 48,422 | $ 42,595 |
Items not requiring (providing) cash | ||
Provision for (recovery of) credit losses | (1,146) | (1,125) |
Depreciation and amortization | 5,205 | 4,610 |
Share based compensation | 1,156 | 826 |
Amortization of mortgage servicing rights | 1,394 | 2,014 |
Mortgage servicing rights net impairment | (2,594) | (1,843) |
Premium amortization on securities, net | 6,211 | 4,573 |
Gain on sale of investment securities | 0 | (914) |
Gain on sale of mortgage loans | (4,528) | (10,908) |
Proceeds from sales of loans | 162,849 | 256,395 |
Loans originated for sale | (148,685) | (239,177) |
Change in cash value life insurance | (1,029) | (1,013) |
Gain on sale of other real estate owned | (618) | 19 |
Net change in: | ||
Interest receivable | (2,859) | (306) |
Interest payable | 167 | (282) |
Other assets | (11,986) | 9,895 |
Other liabilities | (578) | (4,581) |
Net cash provided by operating activities | 51,381 | 60,778 |
Investing Activities | ||
Purchases of securities available for sale | (179,849) | (700,359) |
Proceeds from sales, maturities, calls and principal repayments of securities available for sale | 40,558 | 125,616 |
Purchases of securities held to maturity | (413,093) | 0 |
Proceeds from maturities of securities held to maturity | 34,747 | 14,617 |
Net change in interest earning time deposits | 983 | 1,971 |
Change in FHLB stock | (2,237) | 0 |
Net change in loans | (294,325) | 343,698 |
Proceeds on the sale of OREO and repossessed assets | 3,017 | 873 |
Premises and equipment expenditures | (3,224) | 997 |
Proceeds from bank owned life insurance | 2,910 | 0 |
Death benefit on bank owned life insurance | 644 | 266 |
Net cash used in investing activities | (809,869) | (212,321) |
Financing Activities | ||
Net change in deposits | 42,594 | 250,493 |
Proceeds from borrowings | 533,587 | 3,395 |
Repayment of borrowings | (300,000) | (54,980) |
Net change in repurchase agreements | 12,896 | 19,178 |
Net settlement of share awards | (1,696) | (1,347) |
Exercise of stock options | 94 | 769 |
Dividends paid on common stock | (13,647) | (11,505) |
Net cash provided by financing activities | 273,828 | 206,003 |
Net Change in Cash and Cash Equivalents | (484,660) | 54,460 |
Cash and Cash Equivalents, Beginning of Period | 593,508 | 249,711 |
Cash and Cash Equivalents, End of Period | 108,848 | 304,171 |
Additional Supplemental Information | ||
Interest paid | 8,308 | 10,121 |
Income taxes paid | 650 | 725 |
Transfer of loans to other real estate and repossessed assets | $ 342 | $ 601 |
Accounting Policies
Accounting Policies | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Accounting Policies | Accounting Policies The accompanying unaudited condensed consolidated financial statements include the accounts of Horizon Bancorp, Inc. (“Horizon” or the “Company”) and its wholly-owned subsidiaries, including Horizon Bank (“Horizon Bank” or the “Bank”), which is an Indiana commercial bank. All inter–company balances and transactions have been eliminated. The results of operations for the periods ended June 30, 2022 and June 30, 2021 are not necessarily indicative of the operating results for the full year of 2022 or 2021. The accompanying unaudited condensed consolidated financial statements reflect all adjustments that are, in the opinion of Horizon’s management, necessary to fairly present the financial position, results of operations and cash flows of Horizon for the periods presented. Those adjustments consist only of normal recurring adjustments. Certain information and note disclosures normally included in Horizon’s annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in Horizon’s Annual Report on Form 10–K for 2021 filed with the Securities and Exchange Commission on March 9, 2022. The condensed consolidated balance sheet of Horizon as of December 31, 2021 has been derived from the audited balance sheet as of that date. On July 16, 2019, the Board of Directors of the Company authorized a stock repurchase program for up to 2,250,000 shares of Horizon’s issued and outstanding common stock, no par value. As of June 30, 2022, Horizon had repurchased a total of 803,349 shares at an average price per share of $16.89. Basic earnings per share is computed by dividing net income available to common shareholders (net income less dividend requirements for preferred stock and accretion of preferred stock discount) by the weighted–average number of common shares outstanding. Diluted earnings per share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. The following table shows computation of basic and diluted earnings per share. Three Months Ended Six Months Ended June 30 June 30 2022 2021 2022 2021 Basic earnings per share Net income $ 24,859 $ 22,173 $ 48,422 $ 42,595 Weighted average common shares outstanding 43,572,796 43,950,501 43,563,804 43,935,111 Basic earnings per share $ 0.57 $ 0.50 $ 1.11 $ 0.97 Diluted earnings per share Net income $ 24,859 $ 22,173 $ 48,422 $ 42,595 Weighted average common shares outstanding 43,572,796 43,950,501 43,563,804 43,935,111 Effect of dilutive securities: Restricted stock 77,296 106,175 107,122 104,421 Stock options 34,599 54,427 40,896 53,045 Weighted average common shares outstanding 43,684,691 44,111,103 43,711,822 44,092,577 Diluted earnings per share $ 0.57 $ 0.50 $ 1.11 $ 0.97 There were 319,692 and 206,421 shares for the three and six months ended June 30, 2022, respectively, which were not included in the computation of diluted earnings per share because they were non–dilutive. There were 137,705 shares for the three and six months ended June 30, 2021, which were not included in the computation of diluted earnings per share because they were non–dilutive. Horizon has share–based employee compensation plans, which are described in the notes to the financial statements included in the December 31, 2021 Annual Report on Form 10–K. Also, the Company's shareholders approved the 2021 Omnibus Equity Incentive Plan at its Annual Meeting on May 6, 2021, adding 1.4 million additional shares to the plan and with no other significant changes from the Company's previous plan. Revision of Previously Issued Financial Statements We have revised amounts reported in previously issued financial statements for the periods presented in this Quarterly Report on Form 10–Q related to immaterial errors. The errors relate to sold commercial loan participation balances which do not qualify under accounting guidance as sales transactions under Accounting Standards Codification Topic 860 – Transfers and Servicing . The correction of this error resulted in an increase in loans, net of allowance for credit losses and borrowings on the Company's condensed consolidated balance sheet. We evaluated the aggregate effects of the errors to our previously issued financial statements in accordance with SEC Staff Accounting Bulletins No. 99 and No. 108 and, based upon quantitative and qualitative factors, determined that the errors were not material to the previously issued financial statements and disclosures included in our Annual Report on Form 10–K for the year ended December 31, 2021, or for any quarterly periods included therein. The following tables present the revisions to the line items of our previously issued financial statements to reflect the correction of the errors: Consolidated Balance Sheet As of December 31, 2021 As Reported Adjustment As Revised Loans, net of allowance for credit losses $ 3,553,345 $ 36,986 $ 3,590,331 Total assets 7,374,903 36,986 7,411,889 Borrowings 675,753 36,986 712,739 Total liabilities 6,651,694 36,986 6,688,680 Total liabilities and stockholders' equity 7,374,903 36,986 7,411,889 Consolidated Statements of Cash Flows Six Months Ended June 30, 2021 As Reported Adjustment As Revised Net change in loans $ 347,010 $ (3,312) $ 343,698 Net cash provided by investing activities (209,009) (3,312) (212,321) Proceeds from borrowings 83 3,312 3,395 Net cash provided by financing activities 202,691 3,312 206,003 Net Change in Cash and Cash Equivalents 54,460 — 54,460 We have revised amounts reported in previously issued financial statements for the periods presented in this Quarterly Report on Form 10–Q related to immaterial errors. The errors relate to the classification of certain available for sale (“AFS“) and held to maturity (“HTM”) securities. The correction of this error resulted in an increase in AFS and HTM federal agency mortgage–backed pool securities and a decrease in AFS and HTM private labeled mortgage–backed pool securities in Note 3 – Securities. The following tables present the revisions to the line items of our previously issued financial statements to reflect the correction of the errors: Note 3 – Securities As of December 31, 2021 Amortized Cost As Reported Adjustment As Revised Federal agency mortgage–backed pools $ 225,329 31,856 257,185 Private labeled mortgage–backed pools 31,856 (31,856) — Total available for sale investment securities $ 257,185 — 257,185 Federal agency mortgage–backed pools $ 188,426 59,511 247,937 Private labeled mortgage–backed pools 99,958 (59,511) 40,447 Total held to maturity investment securities $ 288,384 — 288,384 Gross Unrealized Gains As Reported Adjustment As Revised Federal agency mortgage–backed pools $ 1,777 137 1,914 Private labeled mortgage–backed pools 137 (137) — Total available for sale investment securities $ 1,914 — 1,914 Federal agency mortgage–backed pools $ 151 58 209 Private labeled mortgage–backed pools 58 (58) — Total held to maturity investment securities $ 209 — 209 Gross Unrealized Losses As Reported Adjustment As Revised Federal agency mortgage–backed pools $ (1,032) (376) (1,408) Private labeled mortgage–backed pools (376) 376 — Total available for sale investment securities $ (1,408) — (1,408) Federal agency mortgage–backed pools $ (2,612) (1,398) (4,010) Private labeled mortgage–backed pools (1,840) 1,398 (442) Total held to maturity investment securities $ (4,452) — (4,452) Fair Value As Reported Adjustment As Revised Federal agency mortgage–backed pools $ 226,074 31,617 257,691 Private labeled mortgage–backed pools 31,617 (31,617) — Total available for sale investment securities $ 257,691 — 257,691 Federal agency mortgage–backed pools $ 185,965 58,171 244,136 Private labeled mortgage–backed pools 98,176 (58,171) 40,005 Total held to maturity investment securities $ 284,141 — 284,141 Accounting Guidance Issued But Not Yet Adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No. 2022–02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures The FASB has issued ASU 2022–02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures , in March 2022. These amendments eliminate the TDR recognition and measurement guidance and, instead, require that an entity evaluate (consistent with the accounting for other loan modifications) whether the modification represents a new loan or a continuation of an existing loan. The amendments also enhance existing disclosure requirements and introduce new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. Additionally, these amendments require that an entity disclose current–period gross write–offs by year of origination for financing receivables and net investment in leases within the scope of Subtopic 326–20. The guidance is effective for entities that have adopted ASU 2016–13 for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. These amendments should be applied prospectively. If an entity elects to early adopt ASU 2022–02 in an interim period, the guidance should be applied as of the beginning of the fiscal year that includes the interim period. An entity may elect to early adopt the amendments about TDRs and related disclosure enhancements separately from the amendments related to vintage disclosures. The Company is assessing ASU 2022–02 and its impact on its accounting and disclosures. FASB ASU No. 2020–04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting The FASB has issued ASU 2020–04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , which provides temporary, optional guidance to ease the potential burden in accounting for, or recognizing the effects of, the transition away from the LIBOR or other interbank offered rates on financial reporting. To help with the transition to new reference rates, the ASU provides optional expedients and exceptions for applying GAAP to affected contract modifications and hedge accounting relationships. The main provisions include: • A change in a contract's reference interest rate would be accounted for as a continuation of that contract rather than as the creation of a new one for contracts, including loans, debt, leases, and other arrangements, that meet specific criteria. • When updating its hedging strategies in response to reference rate reform, an entity would be allowed to preserve its hedge accounting. The guidance is applicable only to contracts or hedge accounting relationships that reference LIBOR or another reference rate expected to be discontinued. Because the guidance is meant to help entities through the transition period, it will be in effect for a limited time and will not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, except for hedging relationships existing as of December 31, 2022, for which an entity has elected certain optional expedients that are retained through the end of the hedging relationship. The amendments in this ASU are effective March 12, 2020 through December 31, 2022. ASU 2020–04 permits relief solely for reference rate reform actions and permits different elections over the effective date for legacy and new activity. Accordingly, the Company is evaluating and reassessing the elections on a quarterly basis. For current elections in effect regarding the assertion of the probability of forecasted transactions, the Company elects the expedient to assert the probability of the hedged interest payments and receipts regardless of any expected modification in terms related to reference rate reform. The Company conducted monthly meetings to address contracts and hedge accounting relationships that reference LIBOR. All contracts referencing LIBOR as an interest rate have been identified and have been rewritten or refinanced as of March 31, 2022, except for commercial loan interest rate swaps. Hedge accounting relationships referencing LIBOR will be modified by the counter parties. The Company believes the adoption of this guidance on activities subsequent to December 31, 2020 through December 31, 2022 will not have a material impact on the consolidated financial statements. |
Acquisitions
Acquisitions | 6 Months Ended |
Jun. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisitions | Acquisitions On September 17, 2021, Horizon Bank completed the purchase and assumption of certain assets and liabilities of 14 former TCF National Bank (“TCF”) branches in 11 Michigan counties. Net cash of $618.2 million was received in the transaction, representing the deposit balances assumed at closing, net of amounts paid for loans of $212.0 million, fixed assets of $6.9 million, cash of $4.0 million and a 1.75% premium on deposits. Customer deposit balances were recorded at $846.4 million and a core deposit intangible of $1.6 million was recorded in the transaction, which will be amortized over 10 years on a straight line basis. Goodwill of $3.3 million was generated in the transaction. Under the acquisition method of accounting, the total purchase price is allocated to net tangible and intangible assets based on their current estimated fair values on the date of the acquisition. Based on preliminary valuations of the fair value of tangible and intangible assets acquired and liabilities assumed, which are based on estimates and assumptions that are subject to change, the purchase price for the TCF branches is detailed in the following table. Prior to the end of the one year measurement period for finalizing the purchase price allocation, if information becomes available which would indicate adjustments are required to the purchase price allocation, such adjustments will be included in the purchase price allocation prospectively. Assets Liabilities Cash and due from banks $ 4,012 Deposits Loans Non-interest bearing $ 181,403 Commercial 101,327 NOW accounts 303,050 Residential mortgage 56,499 Savings and money market 262,488 Consumer 54,212 Certificates of deposit 99,468 Total loans 212,038 Total deposits 846,409 Premises and equipment, net 6,901 Interest payable 16 Goodwill 3,334 Other liabilities 1,278 Core deposit intangible 1,630 Interest receivable 519 Other assets 1,102 Total assets purchased $ 229,536 Total liabilities assumed $ 847,703 Net cash received $ (618,167) Loans purchased with evidence of credit deterioration since origination and for which it is probable that all contractually required payments will not be collected are considered to be credit impaired. Evidence of credit quality deterioration as of the purchase date may include information such as past due and non–accrual status, borrower credit scores and recent loan–to–value percentages. Management continues to complete its evaluation to determine if any loans were purchased with credit deterioration. |
Securities
Securities | 6 Months Ended |
Jun. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities | Securities The fair value of securities is as follows: June 30, 2022 Amortized Gross Gross Fair Available for sale U.S. Treasury and federal agencies $ 294,793 $ — $ (19,617) $ 275,176 State and municipal 507,128 256 (69,217) 438,167 Federal agency collateralized mortgage obligations 41,329 — (1,043) 40,286 Federal agency mortgage-backed pools 235,337 8 (24,860) 210,485 Corporate notes 84,389 198 (7,681) 76,906 Total available for sale investment securities $ 1,162,976 $ 462 $ (122,418) $ 1,041,020 Held to maturity U.S. Treasury and federal agencies $ 295,386 $ — $ (34,138) $ 261,248 State and municipal 1,135,751 456 (184,215) 951,992 Federal agency collateralized mortgage obligations 59,694 — (6,160) 53,534 Federal agency mortgage-backed pools 360,446 — (46,620) 313,826 Private labeled mortgage-backed pools 37,101 — (4,346) 32,755 Corporate notes 164,394 — (23,535) 140,859 Total held to maturity investment securities $ 2,052,772 $ 456 $ (299,014) $ 1,754,214 December 31, 2021 Amortized Gross Gross Fair Available for sale U.S. Treasury and federal agencies $ 118,595 $ 82 $ (1,698) $ 116,979 State and municipal 632,652 12,802 (5,708) 639,746 Federal agency collateralized mortgage obligations 60,600 989 (12) 61,577 Federal agency mortgage-backed pools 257,185 1,914 (1,408) 257,691 Corporate notes 84,579 1,013 (773) 84,819 Total available for sale investment securities $ 1,153,611 $ 16,800 $ (9,599) $ 1,160,812 Held to maturity U.S. Treasury and federal agencies $ 195,429 $ 12 $ (1,215) $ 194,226 State and municipal 862,461 20,719 (4,263) 878,917 Federal agency collateralized mortgage obligations 48,482 3 (1,020) 47,465 Federal agency mortgage-backed pools 247,937 209 (4,010) 244,136 Private labeled mortgage-backed pools 40,447 — (442) 40,005 Corporate notes 157,687 11 (2,456) 155,242 Total held to maturity investment securities $ 1,552,443 $ 20,954 $ (13,406) $ 1,559,991 The amortized cost and fair value of securities available for sale and held to maturity at June 30, 2022 and December 31, 2021, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. June 30, 2022 December 31, 2021 Amortized Fair Amortized Fair Available for sale Within one year $ 1,228 $ 1,225 $ 22,980 $ 22,984 One to five years 293,825 276,489 156,677 156,397 Five to ten years 281,389 251,923 315,630 316,125 After ten years 309,868 260,612 340,539 346,038 886,310 790,249 835,826 841,544 Federal agency collateralized mortgage obligations 41,329 40,286 60,600 61,577 Federal agency mortgage–backed pools 235,337 210,485 257,185 257,691 Total available for sale investment securities $ 1,162,976 $ 1,041,020 $ 1,153,611 $ 1,160,812 Held to maturity Within one year $ 36,037 $ 35,818 $ 5,222 $ 5,265 One to five years 202,480 195,376 65,739 66,982 Five to ten years 349,467 313,467 273,720 275,308 After ten years 1,007,547 809,438 870,896 880,830 1,595,531 1,354,099 1,215,577 1,228,385 Federal agency collateralized mortgage obligations 59,694 53,534 48,482 47,465 Federal agency mortgage–backed pools 360,446 313,826 247,937 244,136 Private labeled mortgage–backed pools 37,101 32,755 40,447 40,005 Total held to maturity investment securities $ 2,052,772 $ 1,754,214 $ 1,552,443 $ 1,559,991 The following table shows the gross unrealized losses and the fair value of the Company’s investments, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position. June 30, 2022 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Investment Securities U.S. Treasury and federal agencies $ 478,535 $ (45,494) $ 57,639 $ (8,261) $ 536,174 $ (53,755) State and municipal 1,122,880 (212,110) 153,945 (41,323) 1,276,825 (253,433) Federal agency collateralized mortgage obligations 93,150 (7,203) — — 93,150 (7,203) Federal agency mortgage–backed pools 483,127 (66,195) 39,318 (5,284) 522,445 (71,479) Private labeled mortgage–backed pools 32,755 (4,346) — — 32,755 (4,346) Corporate notes 199,987 (28,492) 17,133 (2,724) 217,120 (31,216) Total temporarily impaired securities $ 2,410,434 $ (363,840) $ 268,035 $ (57,592) $ 2,678,469 $ (421,432) December 31, 2021 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Investment Securities U.S. Treasury and federal agencies $ 268,732 $ (2,483) $ 15,820 $ (430) $ 284,552 $ (2,913) State and municipal 539,882 (9,389) 19,461 (582) 559,343 (9,971) Federal agency collateralized mortgage obligations 56,027 (1,032) — — 56,027 (1,032) Federal agency mortgage–backed pools 406,540 (5,418) — — 406,540 (5,418) Private labeled mortgage–backed pools 40,005 (442) — — 40,005 (442) Corporate notes 189,500 (3,229) — — 189,500 (3,229) Total temporarily impaired securities $ 1,500,686 $ (21,993) $ 35,281 $ (1,012) $ 1,535,967 $ (23,005) No allowance for credit losses for available for sale debt securities or held to maturity securities was needed at June 30, 2022 or December 31, 2021. Accrued interest receivable on available for sale debt securities and held to maturity securities totaled $17.3 million at June 30, 2022 and $14.6 million at December 31, 2021 and is excluded from the estimate of credit losses. The U.S. government sponsored entities and agencies and mortgage–backed securities are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major credit rating agencies, and have a long history of no credit losses. Therefore, for those securities, we do not record expected credit losses. Based on an evaluation of available evidence, management believes the unrealized losses on state and municipal securities, private labeled mortgage–backed pools and corporate notes were due to changes in interest rates. Due to the contractual terms, the issuers of state and municipal securities are not allowed to settle for less than the amortized cost of the security. In addition, the Company does not intend to sell these securities prior to the recovery of the amortized cost, which may not occur until maturity. Information regarding security proceeds, gross gains and gross losses are presented below. Three Months Ended Six Months Ended June 30 June 30 2022 2021 2022 2021 Sales of securities available for sale Proceeds $ — $ — $ — $ 27,514 Gross gains — — — 914 Gross losses — — — — |
Loans
Loans | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
Loans | Loans The table below identifies the Company’s loan portfolio segments and classes. Portfolio Segment Class of Financing Receivable Commercial Owner occupied real estate Non-owner occupied real estate Residential spec homes Development & spec land Commercial and industrial Real estate Residential mortgage Residential construction Mortgage warehouse Mortgage warehouse Consumer Direct installment Indirect installment Home equity Portfolio segment is defined as a level at which an entity develops and documents a systematic methodology to determine its allowance for credit losses. Class of financing receivable is defined as a group of financing receivables determined on the basis of both of the following, 1) risk characteristics of the financing receivable, and 2) an entity’s method for monitoring and assessing credit risk. Generally, the Bank does not move loans from a revolving loan to a term loan other than residential construction loans. Residential construction loans are reviewed and rewritten prior to being originated as a term loan. The following table presents total loans outstanding by portfolio class, as of June 30, 2022 and December 31, 2021: June 30, December 31, Commercial Owner occupied real estate $ 585,648 $ 560,887 Non–owner occupied real estate 1,159,808 1,088,470 Residential spec homes 11,320 9,907 Development & spec land 24,913 24,473 Commercial and industrial 582,302 530,208 Total commercial 2,363,991 2,213,945 Real estate Residential mortgage 576,353 563,811 Residential construction 32,229 30,571 Mortgage warehouse 116,488 109,031 Total real estate 725,070 703,413 Consumer Direct installment 59,833 63,714 Indirect installment 466,267 372,575 Home equity 322,649 290,970 Total consumer 848,749 727,259 Total loans 3,937,810 3,644,617 Allowance for credit losses (52,350) (54,286) Net loans $ 3,885,460 $ 3,590,331 As of June 30, 2022 and December 31, 2021, Federal Paycheck Protection Program (“PPP”) loans totaled approximately $2.3 million and $25.8 million, respectively, and are included with commercial loans. Total loans include net deferred loan costs of $2.6 million at June 30, 2022 and $1.9 million at December 31, 2021, respectively. The risk characteristics of each loan portfolio segment are as follows: Commercial Commercial loans are primarily based on the identified cash flows of the borrower and secondarily on the underlying collateral provided by the borrower. The cash flows of borrowers, however, may not be as expected, and the collateral securing these loans may fluctuate in value. Most commercial loans are secured by the assets being financed or other business assets such as accounts receivable or inventory and may incorporate a personal guarantee; however, some short–term loans may be made on an unsecured basis. In the case of loans secured by accounts receivable, the availability of funds for the repayment of these loans may be substantially dependent on the ability of the borrower to collect amounts due from its customers. Commercial real estate loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Commercial real estate lending typically involves larger loan principal amounts and the repayment of these loans is generally dependent on the successful operation of the property securing the loan or the business conducted on the property securing the loan. Commercial real estate loans may be more adversely affected by conditions in the real estate markets, the general economy or fluctuations in interest rates. The properties securing the Company's commercial real estate portfolio are diverse in terms of property type, and are monitored for concentrations of credit. Management monitors and evaluates commercial real estate loans based on collateral, cash flow and risk grade criteria. As a general rule, the Company avoids financing single purpose projects unless other underwriting factors are present to help mitigate risk. In addition, management tracks the level of owner–occupied commercial real estate loans versus non–owner occupied loans. Real Estate and Consumer With respect to residential loans that are secured by 1–4 family residences and are generally owner occupied, the Company generally establishes a maximum loan–to–value ratio and requires private mortgage insurance if that ratio is exceeded. Home equity loans are typically secured by a subordinate interest in 1–4 family residences, and consumer loans are secured by consumer assets such as automobiles or recreational vehicles. Some consumer loans are unsecured such as small installment loans and certain lines of credit. Repayment of these loans is primarily dependent on the personal income of the borrowers, which can be impacted by economic conditions in their market areas such as unemployment levels. Repayment can also be impacted by changes in property values on residential properties. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. Mortgage Warehousing Horizon's mortgage warehouse lending has specific mortgage companies as customers of Horizon Bank. Individual mortgage loans originated by these mortgage companies are funded as a secured borrowing with a pledge of collateral under Horizon's agreement with the mortgage company. Each mortgage loan funded by Horizon undergoes an underwriting review by Horizon to the end investor guidelines and is assigned to Horizon until the loan is sold to the secondary market by the mortgage company. In addition, Horizon takes possession of each original note and forwards such note to the end investor once the mortgage company has sold the loan. At the time a loan is transferred to the secondary market, the mortgage company reacquires the loan under its option within the agreement. Due to the reacquire feature contained in the agreement, the transaction does not qualify as a sale and therefore is accounted for as a secured borrowing with a pledge of collateral pursuant to the agreement with the mortgage company. When the individual loan is sold to the end investor by the mortgage company, the proceeds from the sale of the loan are received by Horizon and used to pay off the loan balance with Horizon along with any accrued interest and any related fees. The remaining balance from the sale is forwarded to the mortgage company. These individual loans typically are sold by the mortgage company within 30 days and are seldom held more than 90 days. Interest income is accrued during this period and collected at the time each loan is sold. Fee income for each loan sold is collected when the loan is sold, and no costs are deferred due to the term between each loan funding and related payoff, which is typically less than 30 days. Based on these agreements with each mortgage company, at any time a mortgage company can reacquire from Horizon its outstanding loan balance on an individual mortgage and regain possession of the original note. Horizon also has the option to request that the mortgage company reacquire an individual mortgage. Should this occur, Horizon would return the original note and reassign the assignment of the mortgage to the mortgage company. Also, in the event that the end investor would not be able to honor the purchase commitment and the mortgage company would not be able to reacquire its loan on an individual mortgage, Horizon would be able to exercise its rights under the agreement. Non–performing Loans The following table presents non–accrual loans, loans past due over 90 days still on accrual, and troubled debt restructurings (“TDRs”) by class of loans: June 30, 2022 Non–accrual Loans Past Non–performing Performing Total Non–performing Commercial Owner occupied real estate $ 4,229 $ — $ — $ 568 $ 4,797 $ 2,557 Non–owner occupied real estate 619 — — 277 896 896 Residential spec homes 101 — — — 101 101 Development & spec land 815 — — — 815 65 Commercial and industrial 1,399 — — — 1,399 859 Total commercial 7,163 — — 845 8,008 4,478 Real estate Residential mortgage 6,113 — 998 1,358 8,469 8,469 Residential construction — — — — — — Mortgage warehouse — — — — — — Total real estate 6,113 — 998 1,358 8,469 8,469 Consumer Direct installment 132 — — — 132 132 Indirect installment 479 210 — — 689 689 Home equity 2,229 — 347 332 2,908 2,908 Total consumer 2,840 210 347 332 3,729 3,729 Total $ 16,116 $ 210 $ 1,345 $ 2,535 $ 20,206 $ 16,676 December 31, 2021 Non–accrual Loans Past Non–performing Performing Total Non–performing Commercial Owner occupied real estate $ 4,247 $ — $ — $ 603 $ 4,850 $ 2,796 Non–owner occupied real estate 761 — 285 — 1,046 1,046 Residential spec homes — — — — — — Development & spec land 919 — — — 919 919 Commercial and industrial 694 — — — 694 456 Total commercial 6,621 — 285 603 7,509 5,217 Real estate Residential mortgage 5,626 66 892 1,421 8,005 8,005 Residential construction — — — — — — Mortgage warehouse — — — — — — Total real estate 5,626 66 892 1,421 8,005 8,005 Consumer Direct installment 7 — — — 7 7 Indirect installment 538 15 — — 553 553 Home equity 2,170 64 344 367 2,945 2,945 Total consumer 2,715 79 344 367 3,505 3,505 Total $ 14,962 $ 145 $ 1,521 $ 2,391 $ 19,019 $ 16,727 There was no interest income recognized on non–accrual loans during the six months ended June 30, 2022 and 2021, respectively, while the loans were in non–accrual status. Included in the $16.1 million of non–accrual loans and the $1.3 million of non–performing TDRs at June 30, 2022 were $2.0 million and $261,000, respectively, of loans acquired for which there were accretable yields recognized. The following table presents the payment status by class of loan, excluding non–accrual loans of $16.1 million and non–performing TDRs of $1.3 million at June 30, 2022: June 30, 2022 Current 30–59 Days 60–89 Days 90 Days or Total Total Commercial Owner occupied real estate $ 580,910 $ 480 $ 29 $ — $ 509 $ 581,419 Non–owner occupied real estate 1,159,079 110 — — 110 1,159,189 Residential spec homes 11,219 — — — — 11,219 Development & spec land 24,085 — 13 — 13 24,098 Commercial and industrial 580,465 280 158 — 438 580,903 Total commercial 2,355,758 870 200 — 1,070 2,356,828 Real estate Residential mortgage 567,058 1,866 318 — 2,184 569,242 Residential construction 32,229 — — — — 32,229 Mortgage warehouse 116,488 — — — — 116,488 Total real estate 715,775 1,866 318 — 2,184 717,959 Consumer Direct installment 59,585 113 3 — 116 59,701 Indirect installment 463,474 1,586 518 210 2,314 465,788 Home equity 318,808 761 504 — 1,265 320,073 Total consumer 841,867 2,460 1,025 210 3,695 845,562 Total $ 3,913,400 $ 5,196 $ 1,543 $ 210 $ 6,949 $ 3,920,349 The following table presents the payment status by class of loan, excluding non–accrual loans of $15.0 million and non–performing TDRs of $1.5 million at December 31, 2021: December 31, 2021 Current 30–59 Days 60–89 Days 90 Days or Total Total Commercial Owner occupied real estate $ 555,851 $ 789 $ — $ — $ 789 $ 556,640 Non–owner occupied real estate 1,085,716 1,708 — — 1,708 1,087,424 Residential spec homes 9,907 — — — — 9,907 Development & spec land 23,496 58 — — 58 23,554 Commercial and industrial 528,461 974 79 — 1,053 529,514 Total commercial 2,203,431 3,529 79 — 3,608 2,207,039 Real estate Residential mortgage 556,128 834 265 66 1,165 557,293 Residential construction 30,571 — — — — 30,571 Mortgage warehouse 109,031 — — — — 109,031 Total real estate 695,730 834 265 66 1,165 696,895 Consumer Direct installment 63,295 409 3 — 412 63,707 Indirect installment 369,615 2,271 136 15 2,422 372,037 Home equity 287,382 849 161 64 1,074 288,456 Total consumer 720,292 3,529 300 79 3,908 724,200 Total $ 3,619,453 $ 7,892 $ 644 $ 145 $ 8,681 $ 3,628,134 The entire balance of a loan is considered delinquent if the minimum payment contractually required to be made is not received by the specified due date. Troubled Debt Restructurings Loans modified as TDRs generally consist of allowing borrowers to defer scheduled principal payments and make interest only payments for a specified period of time at the stated interest rate of the original loan agreement or lower payments due to a modification of the loans' contractual terms. TDRs that continue to accrue interest are individually monitored on a monthly basis and evaluated for impairment annually and transferred to non–accrual status when it is probable that any remaining principal and interest payments due on the loan will not be collected in accordance with the contractual terms of the loan. TDRs that subsequently default are individually evaluated for impairment at the time of default. At June 30, 2022, the types of concessions the Company has made on restructured loans have been temporary rate reductions and/or reductions in monthly payments, and there have been no restructured loans with modified recorded balances. Any modification to a loan that is a concession and is not in the normal course of lending is considered a restructured loan. A restructured loan is returned to accruing status after six consecutive payments but is still reported as a TDR unless the loan bears interest at a market rate. As of June 30, 2022, the Company had $3.9 million in TDRs and $2.5 million were performing according to the restructured terms and two TDRs were returned to accrual status during 2022. There were no specific reserves allocated to TDRs at June 30, 2022 based on the discounted cash flows or, when appropriate, the fair value of the collateral. These TDRs are exclusive of loans modified under the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”). The following table presents TDRs by class of loan: June 30, 2022 December 31, 2021 Non–accrual Accruing Total Non–accrual Accruing Total Commercial Owner occupied real estate $ — $ 568 $ 568 $ — $ 603 $ 603 Non–owner occupied real estate — 277 277 285 — 285 Residential spec homes — — — — — — Development & spec land — — — — — — Commercial and industrial — — — — — — Total commercial — 845 845 285 603 888 Real estate Residential mortgage 998 1,358 2,356 892 1,421 2,313 Residential construction — — — — — — Mortgage warehouse — — — — — — Total real estate 998 1,358 2,356 892 1,421 2,313 Consumer Direct installment — — — — — — Indirect installment — — — — — — Home equity 347 332 679 344 367 711 Total consumer 347 332 679 344 367 711 Total $ 1,345 $ 2,535 $ 3,880 $ 1,521 $ 2,391 $ 3,912 Loans Modified under the CARES Act The Bank has elected (i) to suspend the requirements under GAAP for loan modifications related to the COVID–19 pandemic that would otherwise be categorized as a TDR; and (ii) to suspend any determination of a loan modified as a result of the effects of COVID–19 pandemic as being a TDR, including impairment for accounting purposes. At June 30, 2022 and December 31, 2021, the Bank modified loans totaling $771,000 and $10.9 million, respectively, which qualify for treatment under the CARES Act. Collateral Dependent Financial Assets A collateral dependent financial loan relies solely on the operation or sale of the collateral for repayment. In evaluating the overall risk associated with the loan, the Company considers character, overall financial condition and resources, and payment record of the borrower; the prospects for support from any financially responsible guarantors; and the nature and degree of protection provided by the cash flow and value of any underlying collateral. However, as other sources of repayment become inadequate over time, the significance of the collateral's value increases and the loan may become collateral dependent. The table below presents the amortized cost basis and allowance for credit losses (“ACL”) allocated for collateral dependent loans in accordance with ASC 326, which are individually evaluated to determine expected credit losses. June 30, 2022 Real Estate Accounts Receivable/Equipment Other Total ACL Commercial Owner occupied real estate $ 4,863 $ 510 $ — $ 5,373 $ 751 Non–owner occupied real estate 2,630 — — 2,630 — Residential spec homes 101 — — 101 — Development & spec land 815 — — 815 72 Commercial and industrial 536 1,045 10 1,591 242 Total commercial 8,945 1,555 10 10,510 1,065 Total collateral dependent loans $ 8,945 $ 1,555 $ 10 $ 10,510 $ 1,065 December 31, 2021 Real Estate Accounts Receivable/Equipment Other Total ACL Commercial Owner occupied real estate $ 11,201 $ 103 $ — $ 11,304 $ 632 Non–owner occupied real estate 2,068 — — 2,068 — Residential spec homes — — — — — Development & spec land 919 — — 919 — Commercial and industrial 427 1,218 — 1,645 128 Total commercial 14,615 1,321 — 15,936 760 Total collateral dependent loans $ 14,615 $ 1,321 $ — $ 15,936 $ 760 Credit Quality Indicators Horizon Bank's processes for determining credit quality differ slightly depending on whether a new loan or a renewed loan is being underwritten, or whether an existing loan is being re–evaluated for credit quality. The latter usually occurs upon receipt of current financial information or other pertinent data that would trigger a change in the loan grade. • For new and renewed commercial loans, the Bank's Credit Department, which acts independently of the loan officer, assigns the credit quality grade of the loans. Loan grades for loans with an aggregate credit exposure that exceeds the authorities in the respective regions (ranging from $3,000,000 to $6,000,000) are validated by the Loan Committee, which is chaired by the Chief Commercial Banking Officer (“CCBO”). • Commercial loan officers are responsible for reviewing their loan portfolios and reporting any adverse material change to the CCBO or Loan Committee. When circumstances warrant a change in the credit quality grade, loan officers are required to notify the CCBO and the Credit Department of the change in the loan grade. Downgrades are accepted immediately by the CCBO, however, lenders must present their factual information to either the Loan Committee or the CCBO when recommending an upgrade. • The CCBO, or a designee, meets periodically with loan officers to discuss the status of past due loans and classified loans. These meetings are also designed to give the loan officers an opportunity to identify an existing loan that should be downgraded to a classified grade. • Monthly, senior management meets as members of the Watch Committee, which reviews all of the past due, classified, and impaired loans and the relative trends of these assets. This committee also reviews the actions taken by management regarding foreclosure mitigation, loan extensions, troubled debt restructures, other real estate owned and personal property repossessions. The information reviewed in this meeting acts as a precursor for developing management's analysis of the adequacy of the Allowance for Credit Losses. For residential real estate and consumer loans, Horizon uses a grading system based on delinquency. Loans that are 90 days or more past due, on non–accrual, or are classified as a TDR are graded “Substandard.” After being 90 to 120 days delinquent a loan is charged off unless it is well secured and in the process of collection. If the latter case exists, the loan is placed on non–accrual. Occasionally a mortgage loan may be graded as “Special Mention.” When this situation arises, it is because the characteristics of the loan and the borrower fit the definition of a Risk Grade 5 described below, which is normally used for grading commercial loans. Loans not graded Substandard are considered Pass. Horizon Bank employs a nine–grade rating system to determine the credit quality of commercial loans. The first five grades represent acceptable quality, and the last four grades mirror the criticized and classified grades used by the bank regulatory agencies (special mention, substandard, doubtful, and loss). The loan grade definitions are detailed below. Risk Grade 1: Excellent (Pass) Loans secured by liquid collateral, such as certificates of deposit, reputable bank letters of credit, or other cash equivalents or loans to any publicly held company with a current long–term debt rating of A or better and meeting defined key financial metric ranges. Risk Grade 2: Good (Pass) Loans to businesses that have strong financial statements containing an unmodified opinion from a CPA firm and at least three years consecutive years of profits; loans supported by unaudited financial statements containing strong balance sheets, five years consecutive years of profits, a five years satisfactory relationship with the Bank, and key balance sheet and income statement trends that are either stable or positive; loans secured by publicly traded marketable securities with required margins where there is no impediment to liquidation; loans to individuals backed by liquid personal assets and unblemished credit histories; or loans to publicly held companies with current long–term debt ratings of Baa or better and meeting defined key financial metric ranges. Risk Grade 3: Satisfactory (Pass) Loans supported by financial statements (audited or unaudited) that indicate average or slightly below average risk and having some deficiency or vulnerability to changing economic conditions; loans with some weakness but offsetting features of other support are readily available; loans that are meeting the terms of repayment, but which may be susceptible to deterioration if adverse factors are encountered and meeting defined key financial metric ranges. Loans may be graded Satisfactory when there is no recent information on which to base a current risk evaluation and the following conditions apply: • At inception, the loan was properly underwritten, did not possess an unwanted level of credit risk, and the loan met the above criteria for a risk grade of Excellent, Good, or Satisfactory. • At inception, the loan was secured with collateral possessing a loan value adequate to protect the Bank from loss. • The loan has exhibited two • During the period that the loan has been outstanding, there has been no evidence of any credit weakness. Some examples of weakness include slow payment, lack of cooperation by the borrower, breach of loan covenants, or the borrower is in an industry known to be experiencing problems. If any of these credit weaknesses is observed, a lower risk grade may be warranted. Risk Grade 4: Satisfactory/Monitored (Pass) Loans in this category are considered to be of acceptable credit quality, but contain greater credit risk than Satisfactory rated loans and meet defined key financial metric ranges. Borrower displays acceptable liquidity, leverage, and earnings performance within the Bank's minimum underwriting guidelines. The level of risk is acceptable but conditioned on the proper level of loan officer supervision. Loans that normally fall into this grade include acquisition, construction and development loans and income producing properties that have not reached stabilization. Risk Grade 4W: Management Watch (Pass) Loans in this category are considered to be of acceptable quality and meet defined key financial metric ranges, but with above normal risk. Borrower displays potential indicators of weakness in the primary source of repayment resulting in a higher reliance on secondary sources of repayment. Balance sheet may exhibit weak liquidity and/or high leverage. There is inconsistent earnings performance without the ability to sustain adverse economic conditions. Borrower may be operating in a declining industry or the property type, as for a commercial real estate loan, may be high risk or in decline. These loans require an increased level of loan officer supervision and monitoring to assure that any deterioration is addressed in a timely fashion. Commercial construction loans are graded as 4W Management Watch until the projects are completed and stabilized. Risk Grade 5: Special Mention Loans which possess some temporary (normally less than one year) credit deficiency or potential weakness which deserves close attention. Such loans pose an unwarranted financial risk that, if not corrected, could weaken the loan by adversely impacting the future repayment ability of the borrower. The key distinctions of a Special Mention classification are that (1) it is indicative of an unwarranted level of risk and (2) weaknesses are considered “potential,” not “defined,“ impairments to the primary source of repayment. These loans may be to borrowers with adverse trends in financial performance, collateral value and/or marketability, or balance sheet strength and must meet defined key financial metric ranges. Risk Grade 6: Substandard One or more of the following characteristics may be exhibited in loans classified Substandard: • Loans which possess a defined credit weakness. The likelihood that a loan will be paid from the primary source of repayment is uncertain. Financial deterioration is under way and very close attention is warranted to ensure that the loan is collected without loss. • Loans are inadequately protected by the current net worth and paying capacity of the obligor. • The primary source of repayment is gone, and the Bank is forced to rely on a secondary source of repayment, such as collateral liquidation or guarantees. • Loans have a distinct possibility that the Bank will sustain some loss if deficiencies are not corrected. • Unusual courses of action are need to maintain a high probability of repayment. • The borrower is not generating enough cash flow to repay loan principal; however, it continues to make interest payments. • The lender is forced into a subordinated or unsecured position due to flaws in documentation. • Loans have been restructured so that payment schedules, terms, and collateral represent concessions to the borrower when compared to the normal loan terms. • The lender is seriously contemplating foreclosure or legal action due to the apparent deterioration in the loan. • There is a significant deterioration in market conditions to which the borrower is highly vulnerable. • The borrower meets defined key financial metric ranges. Risk Grade 7: Doubtful One or more of the following characteristics may be present in loans classified Doubtful: • Loans have all of the weaknesses of those classified as Substandard; however, based on existing conditions, these weaknesses make full collection of principal highly improbable. • The primary source of repayment is gone, and there is considerable doubt as to the quality of the secondary source of repayment. • The possibility of loss is high but because of certain important pending factors which may strengthen the loan, loss classification is deferred until the exact status of repayment is known. • The borrower meets defined key financial metric ranges. Risk Grade 8: Loss Loans are considered uncollectible and of such little value that continuing to carry them as assets is not feasible. Loans will be classified Loss when it is neither practical nor desirable to defer writing off or reserving all of a portion of a basically worthless asset, even though partial recovery may be possible at some time in the future. The following tables present loans by credit grades and origination year at June 30, 2022. June 30, 2022 2022 2021 2020 2019 2018 Prior Revolving Loans Total Commercial Owner occupied real estate Pass $ 59,036 $ 83,995 $ 53,337 $ 51,638 $ 42,377 $ 196,669 $ 58,971 $ 546,023 Special Mention — 6,775 — 2,130 599 6,908 — 16,412 Substandard 500 257 993 1,010 3,126 11,436 5,891 23,213 Doubtful — — — — — — — — Total owner occupied real estate $ 59,536 $ 91,027 $ 54,330 $ 54,778 $ 46,102 $ 215,013 $ 64,862 $ 585,648 Non–owner occupied real estate Pass $ 119,235 $ 178,883 $ 127,999 $ 114,899 $ 54,785 $ 328,530 $ 168,576 $ 1,092,907 Special Mention — — 271 6,847 39,724 9,206 4,071 60,119 Substandard — 709 — — 3,575 2,498 — 6,782 Doubtful — — — — — — — — Total non–owner occupied real estate $ 119,235 $ 179,592 $ 128,270 $ 121,746 $ 98,084 $ 340,234 $ 172,647 $ 1,159,808 Residential spec homes Pass $ 305 $ 3,519 $ 66 $ — $ — $ 2,087 $ 5,242 $ 11,219 Special Mention — — — — — — — — Substandard — — — — — — 101 101 Doubtful — — — — — — — — Total residential spec homes $ 305 $ 3,519 $ 66 $ — $ — $ 2,087 $ 5,343 $ 11,320 Development & spec land Pass $ 369 $ 1,459 $ 477 $ 408 $ 8 $ 11,852 $ 9,236 $ 23,809 Special Mention — — — — — 161 — 161 Substandard — — — — — 195 748 943 Doubtful — — — — — — — — Total development & spec land $ 369 $ 1,459 $ 477 $ 408 $ 8 $ 12,208 $ 9,984 $ 24,913 Commercial & industrial Pass $ 103,523 $ 153,070 $ 38,644 $ 36,734 $ 43,168 $ 119,929 $ 48,587 $ 543,655 Special Mention 263 2,526 30 1,321 10,558 6,009 1,800 22,507 Substandard 90 529 3,024 1,472 3,763 4,637 2,625 16,140 Doubtful — — — — — — — — Total commercial & industrial $ 103,876 $ 156,125 $ 41,698 $ 39,527 $ 57,489 $ 130,575 $ 53,012 $ 582,302 Total commercial $ 283,321 $ 431,722 $ 224,841 $ 216,459 $ 201,683 $ 700,117 $ 305,848 $ 2,363,991 June 30, 2022 2022 2021 2020 2019 2018 Prior Revolving Loans Total Real estate Residential mortgage Performing $ 53,519 $ 140,003 $ 98,753 $ 35,766 $ 39,693 $ 199,933 $ 217 $ 567,884 Non–performing — 132 366 552 947 6,472 — 8,469 Total residential mortgage $ 53,519 $ 140,135 $ 99,119 $ 36,318 $ 40,640 $ 206,405 $ 217 $ 576,353 Residential construction Performing $ 4 $ — $ — $ — $ — $ — $ 32,225 $ 32,229 Non–performing — — — — — — — — Total residential construction $ 4 $ — $ — $ — $ — $ — $ 32,225 $ 32,229 Mortgage warehouse Performing $ — $ — $ — $ — $ — $ — $ 116,488 $ 116,488 Non–performing — — — — — — — — Total mortgage warehouse $ — $ — $ — $ — $ — $ — $ 116,488 $ 116,488 Total real estate $ 53,523 $ 140,135 $ 99,119 $ 36,318 $ 40,640 $ 206,405 $ 148,930 $ 725,070 June 30, 2022 2022 2021 2020 2019 2018 Prior Revolving Loans Total Consumer Direct installment Performing $ 13,448 $ 15,123 $ 9,099 $ 9,923 $ 5,117 $ 6,983 $ 8 $ 59,701 Non–performing — 39 — 39 — 54 — 132 Total direct installment $ 13,448 $ 15,162 $ 9,099 $ 9,962 $ 5,117 $ 7,037 $ 8 $ 59,833 Indirect installment Performing $ 171,661 $ 136,528 $ 72,333 $ 44,473 $ 27,624 $ 12,959 $ — $ 465,578 Non–performing — 129 138 232 76 114 — 689 Total indirect installment $ 171,661 $ 136,657 $ 72,471 $ 44,705 $ 27,700 $ 13,073 $ — $ 466,267 Home equity Performing $ 57,170 $ 82,698 $ 46,638 $ 30,724 $ 23,593 $ 72,350 $ 6,568 $ 319,741 Non–performing 19 8 105 132 33 1,295 1,316 2,908 Total home equity $ 57,189 $ 82,706 $ 46,743 $ 30,856 $ 23,626 $ 73,645 $ 7,884 $ 322,649 Total consumer $ 242,298 $ 234,525 $ 128,313 $ 85,523 $ 56,443 $ 93,755 $ 7,892 $ 848,749 The following tables present loans by credit grades and origination year at December 31, 2021. December 31, 2021 2021 2020 2019 2018 2017 Prior Revolving Loans Total Commercial Owner occupied real estate Pass $ 86,798 $ 58,789 $ 61,134 $ 43,903 $ 46,530 $ 159,351 $ 60,539 $ 517,044 Special Mention — 72 2,685 3,194 7,279 11,451 1,345 26,026 Substandard — 1,003 1,312 3,192 1,957 9,579 774 17,817 Doubtful — — — — — — — — Total owner occupied real estate $ 86,798 $ 59,864 $ 65,131 $ 50,289 $ 55,766 $ 180,381 $ 62,658 $ 560,887 Non–owner occupied real estate Pass $ 175,538 $ 108,465 $ 120,561 $ 59,596 $ 126,334 $ 260,362 $ 178,928 $ 1,029,784 Special Mention — 839 1,192 34,412 999 3,850 515 41,807 Substandard 720 — 6,045 1,096 425 7,793 800 16,879 Doubtful — — — — — — — — Total non–owner occupied real estate $ 176,258 $ 109,304 $ 127,798 $ 95,104 $ 127,758 $ 272,005 $ 180,243 $ 1,088,470 Residential spec homes Pass $ 1,115 $ 254 $ 155 $ — $ — $ 1,346 $ 7,037 $ 9,907 Special Mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total residential spec homes $ 1,115 $ 254 $ 155 $ — $ — $ 1,346 $ 7,037 $ 9,907 Development & spec land Pass $ 2,282 $ 536 $ 503 $ 11 $ 3,583 $ 8,496 $ 7,837 $ 23,248 Special Mention — — — — — 177 — 177 Substandard — — — — 11 289 748 1,048 Doubtful — — — — — — — — Total development & spec land $ 2,282 $ 536 $ 503 $ 11 $ 3,594 $ 8,962 $ 8,585 $ 24,473 Commercial & industrial Pass $ 198,482 $ 48,245 $ 43,003 $ 47,986 $ 64,292 $ 69,589 $ 23,647 $ 495,244 Special Mention 592 3,278 2,090 4,588 3,781 7,427 3,295 25,051 Substandard 111 143 1,211 3,936 1,313 1,847 1,352 9,913 Doubtful — — — — — — — — Total commercial & industrial $ 199,185 $ 51,666 $ 46,304 $ 56,510 $ 69,386 $ 78,863 $ 28,294 $ 530,208 Total commercial $ 465,638 $ 221,624 $ 239,891 $ 201,914 $ 256,504 $ 541,557 $ 286,817 $ 2,213,945 December 31, 2021 2021 2020 2019 2018 2017 Prior Revolving Loans Total Real estate Residential mortgage Performing $ 116,118 $ 105,051 $ 44,691 $ 50,778 $ 56,330 $ 182,838 $ — $ 555,806 Non–performing — 78 448 854 66 6,559 — 8,005 Total residential mortgage $ 116,118 $ 105,129 $ 45,139 $ 51,632 $ 56,396 $ 189,397 $ — $ 5 |
Allowance for Credit and Loan L
Allowance for Credit and Loan Losses | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
Allowance for Credit and Loan Losses | Allowance for Credit and Loan Losses The following tables represent, by loan portfolio segment, a summary of changes in the ACL on loans for the six months ended June 30, 2022 and 2021: Three Months Ended June 30, 2022 Commercial Real Estate Mortgage Warehouse Consumer Total Balance, beginning of period $ 37,789 $ 4,351 $ 1,055 $ 9,313 $ 52,508 Provision for credit losses on loans (2,948) 111 12 3,065 240 PCD loan charge–offs (114) — — — (114) Charge–offs (57) (58) — (726) (841) Recoveries 132 18 — 407 557 Balance, end of period $ 34,802 $ 4,422 $ 1,067 $ 12,059 $ 52,350 Three Months Ended June 30, 2021 Commercial Real Estate Mortgage Warehouse Consumer Total Balance, beginning of period $ 42,980 $ 4,229 $ 1,163 $ 8,814 $ 57,186 Provision for credit losses on loans (1,168) (144) (8) (172) (1,492) Charge–offs (67) — — (237) (304) Recoveries 27 23 — 215 265 Balance, end of period $ 41,772 $ 4,108 $ 1,155 $ 8,620 $ 55,655 Six Months Ended June 30, 2022 Commercial Real Estate Mortgage Warehouse Consumer Total Balance, beginning of period $ 40,775 $ 3,856 $ 1,059 $ 8,596 $ 54,286 Provision for credit losses on loans (5,640) 596 8 3,890 (1,146) PCD loan charge–offs (370) — — — (370) Charge–offs (137) (58) — (1,013) (1,208) Recoveries 174 28 — 586 788 Balance, end of period $ 34,802 $ 4,422 $ 1,067 $ 12,059 $ 52,350 Six Months Ended June 30, 2021 Commercial Real Estate Mortgage Warehouse Consumer Total Balance, beginning of period $ 42,210 $ 4,620 $ 1,267 $ 8,930 $ 57,027 Provision for credit losses on loans (240) (600) (112) (173) (1,125) Charge–offs (263) — — (472) (735) Recoveries 65 88 — 335 488 Balance, end of period $ 41,772 $ 4,108 $ 1,155 $ 8,620 $ 55,655 The Company utilized the Cumulative Loss Rate method in determining expected future credit losses. The loss rate method measures the amount of loan charge–offs, net of recoveries, (“loan losses”) recognized over the life of a pool and compares those loan losses to the outstanding loan balance of that pool as of a specific point in time (“pool date”). To estimate a CECL loss rate for the pool, management first identifies the loan losses recognized between the pool date and the reporting date for the pool and determines which loan losses were related to loans outstanding at the pool date. The loss rate method then divides the loan losses recognized on loans outstanding as of the pool date by the outstanding loan balance as of the pool date. The Company’s expected loss estimate is anchored in historical credit loss experience, with an emphasis on all available portfolio data. The Company's historical look–back period includes January 2012 through the current period, on a monthly basis. When historical credit loss experience is not sufficient for a specific portfolio, the Company may supplement its own portfolio data with external models or data. Qualitative reserves reflect management’s overall estimate of the extent to which current expected credit losses on collectively evaluated loans will differ from historical loss experience. The analysis takes into consideration other analytics performed within the organization, such as enterprise and concentration management, along with other credit–related analytics as deemed appropriate. Management attempts to quantify qualitative reserves whenever possible. The Company’s CECL estimate applies to a forecast that incorporates macroeconomic trends and other environmental factors. Management utilized National, Regional and Local Leading Economic Indexes, as well as management judgment, as the basis for the forecast period. The historical loss rate was utilized as the base rate, and qualitative adjustments were utilized to reflect the forecast and other relevant factors. The Company segments the loan portfolio into pools based on the following risk characteristics: financial asset type, loan purpose, collateral type, loan characteristics, credit characteristics, outstanding loan balances, contractual terms and prepayment assumptions, industry of the borrower and concentrations, and historical or expected credit loss patterns. |
Loan Servicing
Loan Servicing | 6 Months Ended |
Jun. 30, 2022 | |
Payments for (Proceeds from) Mortgage Servicing Rights [Abstract] | |
Loan Servicing | Loan Servicing Loans serviced for others are not included in the accompanying condensed consolidated balance sheets. The unpaid principal balances of loans serviced for others totaled approximately $1.6 billion and $1.5 billion at June 30, 2022 and December 31, 2021. The aggregate fair value of capitalized mortgage servicing rights was approximately $18.8 million and $15.2 million at June 30, 2022 and December 31, 2021, compared to the carrying values of $18.8 million and $15.2 million at June 30, 2022 and December 31, 2021, respectively. Comparable market values and a valuation model that calculates the present value of future cash flows were used to estimate fair value. For purposes of measuring impairment, risk characteristics including product type, investor type and interest rates, were used to stratify the originated mortgage servicing rights. Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2022 2021 2022 2021 Mortgage servicing rights Balance, beginning of period $ 18,592 $ 17,812 $ 17,780 $ 17,644 Servicing rights capitalized 813 1,031 2,375 2,161 Amortization of servicing rights (644) (1,052) (1,394) (2,014) Balance, end of period 18,761 17,791 18,761 17,791 Impairment allowance Balance, beginning of period — (4,937) (2,594) (5,172) Additions — — — — Reductions — 1,608 2,594 1,843 Balance, end of period — (3,329) — (3,329) Mortgage servicing rights, net $ 18,761 $ 14,462 $ 18,761 $ 14,462 |
Goodwill
Goodwill | 6 Months Ended |
Jun. 30, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | GoodwillAs of June 30, 2022 and December 31, 2021, the carrying amount of goodwill was $154.6 million. There have been no changes in the carrying amount of goodwill for the three and six months ended June 30, 2022 or 2021. Goodwill is assessed for impairment annually, or more frequently if events occur or circumstances change that indicate an impairment may exist. When assessing goodwill for impairment, first, a qualitative assessment can be made to determine whether it is more likely than not that the estimated fair value of a reporting unit is less than its estimated carrying value. If the results of the qualitative assessment are not conclusive, a quantitative goodwill test is performed. Alternatively, a quantitative goodwill test can be performed without performing a qualitative assessment. Goodwill was assessed for impairment using a qualitative analysis as of June 30, 2022 which resulted in no goodwill impairment charges for the six months ended June 30, 2022. |
Repurchase Agreements
Repurchase Agreements | 6 Months Ended |
Jun. 30, 2022 | |
Disclosure of Repurchase Agreements [Abstract] | |
Repurchase Agreements | Repurchase Agreements The Company transfers various securities to customers in exchange for cash at the end of each business day and agrees to acquire the securities at the end of the next business day for the cash exchanged plus interest. The process is repeated at the end of each business day until the agreement is terminated. The securities underlying the agreement remained under the Company’s control. The following table shows repurchase agreements accounted for as secured borrowings and the related securities, at fair value, pledged for repurchase agreements: June 30, 2022 Remaining Contractual Maturity of the Agreements Overnight Up to one One to three Three to five Five to ten Beyond ten Total Repurchase Agreements and repurchase-to-maturity transactions Repurchase Agreements $ 143,694 $ — $ — $ — $ — $ — $ 143,694 Securities pledged for Repurchase Agreements Federal agency collateralized mortgage obligations $ 18,526 $ — $ — $ — $ — $ — $ 18,526 Federal agency mortgage–backed pools 125,688 — — — — — 125,688 Private labeled mortgage–backed pools 10,817 — — — — — 10,817 Total $ 155,031 $ — $ — $ — $ — $ — $ 155,031 |
Subordinated Notes
Subordinated Notes | 6 Months Ended |
Jun. 30, 2022 | |
Debt Disclosure [Abstract] | |
Subordinated Notes | Subordinated NotesOn June 24, 2020, Horizon issued $60.0 million in aggregate principal amount of 5.625% fixed–to–floating rate subordinated notes (the “Notes”). The Notes were offered in denominations of $1,000 and integral multiples of $1,000 in excess thereof. The Notes mature on July 1, 2030 (the “Maturity Date”). From and including the date of original issuance to, but excluding, July 1, 2025 or the date of earlier redemption (the “fixed rate period”), the Notes bear interest at an initial rate of 5.625% per annum, payable semi–annually in arrears on January 1 and July 1 of each year, commencing on January 1, 2021. The last interest payment date for the fixed rate period will be July 1, 2025. From and including July 1, 2025 to, but excluding, the Maturity Date or the date of earlier redemption (the “floating rate period”), the Notes bear interest at a floating rate per annum equal to the benchmark rate, which is expected to be Three–Month Term SOFR (the “Benchmark Rate”), plus 549 basis points, payable quarterly in arrears on January 1, April 1, July 1, and October 1 of each year, commencing on October 1, 2025. Notwithstanding the foregoing, in the event that the Benchmark Rate is less than zero, the Benchmark Rate shall be deemed to be zero. Horizon may, at its option, beginning with the interest payment date of July 1, 2025 and on any interest payment date thereafter, redeem the Notes, in whole or in part. The Notes will not otherwise be redeemable by Horizon prior to maturity, unless certain events occur. The redemption price for any redemption is 100% of the principal amount of the Notes, plus accrued and unpaid interest thereon to, but excluding, the date of redemption. Any early redemption of the Notes will be subject to the receipt of the approval of the Board of Governors of the Federal Reserve System to the extent then required under applicable laws or regulations, including capital regulations. |
Derivative Financial Instrument
Derivative Financial Instruments | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments Cash Flow Hedges – As a strategy to maintain acceptable levels of exposure to the risk of changes in future cash flow due to interest rate fluctuations, the Company entered into an interest rate swap agreement for a portion of its floating rate debt which matured on December 16, 2021. The agreement provided for the Company to receive interest from the counterparty at three months LIBOR and to pay interest to the counterparty at a fixed rate of 4.20% on a notional amount of $12.0 million. Under the agreement, the Company paid or received the net interest amount monthly, with the monthly settlements included in interest expense. The Company assumed an additional interest rate swap agreement as the result of the LaPorte acquisition in July 2016 which matured on March 15, 2021. The agreement provided for the Company to receive interest from the counterparty at one month LIBOR and to pay interest to the counterparty at a fixed rate of 2.62% on a notional amount of $10.0 million. Under the agreement, the Company paid or received the net interest amount monthly, with the monthly settlements included in interest expense. On July 20, 2018, the Company entered into an interest rate swap agreement for an additional portion of its floating rate debt. The agreement provides for the Company to receive interest from the counterparty at one month LIBOR and to pay interest to the counterparty at a fixed rate of 2.81% on a notional amount of $50.0 million at June 30, 2022 and December 31, 2021. Under the agreement, the Company pays or receives the net interest amount monthly, with the monthly settlements included in interest expense. This interest rate swap agreement matures on July 19, 2026. Management has designated the interest rate swap agreement as a cash flow hedging instrument. For derivative instruments that are designated and qualify as a cash flow hedge, the effective portion of the gain or loss on the derivative is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Gains and losses on the derivative representing either hedge ineffectiveness or hedge components excluded from the assessment of effectiveness are recognized in current earnings. At June 30, 2022, the Company’s cash flow hedge was effective and is not expected to have a significant impact on the Company’s net income over the next 12 months. Fair Value Hedges – Fair value hedges are intended to reduce the interest rate risk associated with the underlying hedged item. The Company enters into fixed rate loan agreements as part of its lending policy. To mitigate the risk of changes in fair value based on fluctuations in interest rates, the Company has entered into interest rate swap agreements on individual loans, converting the fixed rate loans to a variable rate. For derivative instruments that are designated and qualify as a fair value hedge, the gain or loss on the derivative as well as the offsetting gain or loss on the hedged item attributable to the hedged risk are recognized in current earnings. At June 30, 2022, the Company’s fair value hedges were effective and are not expected to have a significant impact on the Company’s net income over the next 12 months. The change in fair value of both the hedge instruments and the underlying loan agreements are recorded as gains or losses in non–interest income. The fair value hedges are considered to be highly effective and any hedge ineffectiveness was deemed not material. The notional amounts of the loan and security agreements being hedged were $496.8 million at June 30, 2022 and $489.0 million at December 31, 2021. Other Derivative Instruments – The Company enters into non–hedging derivatives in the form of mortgage loan forward sale commitments with investors and commitments to originate mortgage loans as part of its mortgage banking business. At June 30, 2022, the Company’s fair value of these derivatives were recorded and over the next 12 months are not expected to have a significant impact on the Company’s net income. The change in fair value of both the forward sale commitments and commitments to originate mortgage loans were recorded and the net gains or losses included in the Company’s gain on sale of loans. The following tables summarize the fair value of derivative financial instruments utilized by Horizon: Asset Derivatives Liability Derivatives June 30, 2022 June 30, 2022 Notional Fair Notional Fair Derivatives designated as hedging instruments Interest rate contracts – cash flow hedges $ 50,000 $ 116 $ — $ — Total derivatives designated as hedging instruments 50,000 116 — — Derivatives not designated as hedging instruments Interest rate contracts – fair value hedges 496,820 24,281 496,820 24,281 Mortgage loan contracts — — 24,273 151 Commitments to originate mortgage loans 12,172 281 — — Total derivatives not designated as hedging instruments 508,992 24,562 521,093 24,432 Total derivatives $ 508,992 $ 24,678 $ 521,093 $ 24,432 Asset Derivatives Liability Derivatives December 31, 2021 December 31, 2021 Notional Amount Fair Notional Amount Fair Derivatives designated as hedging instruments Interest rate contracts – cash flow hedges $ — $ — $ 50,000 $ 3,673 Total derivatives designated as hedging instruments — — 50,000 3,673 Derivatives not designated as hedging instruments Interest rate contracts – fair value hedges 488,967 14,419 488,967 14,419 Mortgage loan contracts — — 43,630 238 Commitments to originate mortgage loans 32,584 1,037 — — Total derivatives not designated as hedging instruments 521,551 15,456 532,597 14,657 Total derivatives $ 521,551 $ 15,456 $ 532,597 $ 18,330 The effect of the derivative instruments on the condensed consolidated statements of comprehensive income for the six–month periods ending June 30 is as follows: Amount of Gain Recognized in Other Comprehensive Income on Derivative Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Derivatives in cash flow hedging relationship Interest rate contracts $ 824 $ (14) $ 2,993 $ 2,398 The effect of the derivative instruments on the condensed consolidated statements of income for the six–month periods ending June 30 is as follows: Location of gain Amount of Gain (Loss) Recognized on Derivative Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Derivative designated as hedging instruments Interest rate contracts – cash flow hedges Interest expense – Borrowings $ 275 $ 475 $ 615 $ 984 Total $ 275 $ 475 $ 615 $ 984 Location of loss Amount of Gain (Loss) Recognized on Derivative Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Derivative not designated as hedging instruments Mortgage loan contracts Non–interest income – Gain on sale of loans $ 434 $ (5) $ 87 $ (545) Commitments to originate mortgage loans Non–interest income – Gain on sale of loans (81) 701 (756) — Total $ 353 $ 696 $ (669) $ (545) |
Disclosures about Fair Value of
Disclosures about Fair Value of Assets and Liabilities | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Disclosures about Fair Value of Assets and Liabilities | Disclosures about Fair Value of Assets and Liabilities The Fair Value Measurements topic of the FASB ASC defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. There are three levels of inputs that may be used to measure fair value: Level 1 – Quoted prices in active markets for identical assets or liabilities Level 2 – Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities Following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis and recognized in the accompanying condensed consolidated financial statements, as well as the general classification of such instruments pursuant to the valuation hierarchy. There have been no significant changes in the valuation techniques during the period ended June 30, 2022. For assets classified within Level 3 of the fair value hierarchy, the process used to develop the reported fair value is described below. Available for sale securities When quoted market prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. Level 2 securities include U.S. Treasury and federal agency securities, state and municipal securities, federal agency collateralized mortgage obligations and mortgage–backed pools and corporate notes. Level 2 securities are valued by a third party pricing service commonly used in the banking industry utilizing observable inputs. Observable inputs include dealer quotes, market spreads, cash flow analysis, the U.S. Treasury yield curve, trade execution data, market consensus prepayment spreads and available credit information and the bond’s terms and conditions. The pricing provider utilizes evaluated pricing models that vary based on asset class. These models incorporate available market information including quoted prices of securities with similar characteristics and, because many fixed–income securities do not trade on a daily basis, apply available information through processes such as benchmark curves, benchmarking of like securities, sector grouping, and matrix pricing. In addition, model processes, such as an option adjusted spread model, is used to develop prepayment and interest rate scenarios for securities with prepayment features. Hedged loans Certain fixed rate loans have been converted to variable rate loans by entering into interest rate swap agreements. The fair value of those fixed rate loans is based on discounting the estimated cash flows using interest rates determined by the respective interest rate swap agreement. Loans are classified within Level 2 of the valuation hierarchy based on the unobservable inputs used. Interest rate swap agreements The fair value of the Company’s interest rate swap agreements is estimated by a third party using inputs that are primarily unobservable including a yield curve, adjusted for liquidity and credit risk, contracted terms and discounted cash flow analysis, and therefore, are classified within Level 2 of the valuation hierarchy. The following table presents the fair value measurements of assets and liabilities recognized in the accompanying condensed consolidated financial statements measured at fair value on a recurring basis and the level within the FASB ASC fair value hierarchy in which the fair value measurements fall at the following: June 30, 2022 Fair Value Quoted Prices in Active Markets Significant Significant Available for sale securities U.S. Treasury and federal agencies $ 275,176 $ — $ 275,176 $ — State and municipal 438,167 — 438,167 — Federal agency collateralized mortgage obligations 40,286 — 40,286 — Federal agency mortgage–backed pools 210,485 — 210,485 — Corporate notes 76,906 — 76,906 — Total available for sale securities 1,041,020 — 1,041,020 — Interest rate swap agreements asset 24,281 — 24,281 — Commitments to originate mortgage loans 281 — 281 — Interest rate swap agreements liability (24,281) — (24,281) — Mortgage loan contracts (151) — (151) — December 31, 2021 Fair Value Quoted Prices in Active Markets Significant Significant Available for sale securities U.S. Treasury and federal agencies $ 116,979 $ — $ 116,979 $ — State and municipal 639,746 — 519,282 120,464 Federal agency collateralized mortgage obligations 61,577 — 61,577 — Federal agency mortgage–backed pools 257,691 — 257,691 — Corporate notes 84,819 — 79,787 5,032 Total available for sale securities 1,160,812 — 1,035,316 125,496 Interest rate swap agreements asset 14,419 — 14,419 — Commitments to originate mortgage loans 1,037 — 1,037 — Interest rate swap agreements liability (18,092) — (18,092) — Mortgage loan contracts (238) — (238) — Certain other assets are measured at fair value on a non-recurring basis in the ordinary course of business and are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment): Fair Value Quoted Prices in Active Markets Significant Significant June 30, 2022 Collateral dependent loans $ 9,445 $ — $ — $ 9,445 Mortgage servicing rights 18,761 — — 18,761 December 31, 2021 Collateral dependent loans $ 15,176 $ — $ — $ 15,176 Mortgage servicing rights 15,186 — — 15,186 Collateral Dependent Loans: For loans identified as collateral dependent, then the fair value method of measuring the amount of impairment is utilized. This method requires obtaining a current independent appraisal of the collateral and applying a discount factor to the value. Collateral dependent loans are classified within Level 3 of the fair value hierarchy when impairment is determined using the fair value method. Mortgage Servicing Rights (MSRs): MSRs do not trade in an active market with readily observable prices. Accordingly, the fair value of these assets is classified as Level 3. The Company determines the fair value of MSRs using an income approach model based upon the Company’s month–end interest rate curve and prepayment assumptions. The model utilizes assumptions to estimate future net servicing income cash flows, including estimates of time decay, payoffs and changes in valuation inputs and assumptions. The Company reviews the valuation assumptions against this market data for reasonableness and adjusts the assumptions if deemed appropriate. The carrying amount of the MSRs’ fair value due to impairment increased by $2.6 million during the first six months of 2022 and increased by $1.8 million during the first six months of 2021. The following table presents qualitative information about unobservable inputs used in recurring and non–recurring Level 3 fair value measurements, other than goodwill. June 30, 2022 Fair Valuation Unobservable Range Collateral dependent loans $ 9,445 Collateral based measurement Discount to reflect current market conditions and ultimate collectibility 0.0%-100.0% (10.1%) Mortgage servicing rights 18,761 Discounted cash flows Discount rate, Constant prepayment rate, Probability of default 9.3%-9.3% (9.3%), 7.3%-16.0% (7.4%), 0.0%-0.6%(0.5%) December 31, 2021 Fair Valuation Unobservable Range Collateral dependent loans $ 15,176 Collateral based measurement Discount to reflect current market conditions and ultimate collectibility 0.0%-54.0%(4.8%) Mortgage servicing rights 15,186 Discounted cash flows Discount rate, 8.0%-8.0% (8.0%), 8.4%-14.6%(11.6%), 0.0%-2.0%(0.4%) |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The estimated fair value amounts of the Company’s financial instruments were determined using available market information, current pricing information applicable to Horizon and various valuation methodologies. Where market quotations were not available, considerable management judgment was involved in the determination of estimated fair values. Therefore, the estimated fair value of financial instruments shown below may not be representative of the amounts at which they could be exchanged in a current or future transaction. Due to the inherent uncertainties of expected cash flows of financial instruments, the use of alternate valuation assumptions and methods could have a significant effect on the estimated fair value amounts. The estimated fair values of financial instruments, as shown below, are not intended to reflect the estimated liquidation or market value of Horizon taken as a whole. The disclosed fair value estimates are limited to Horizon’s significant financial instruments at June 30, 2022 and December 31, 2021. These include financial instruments recognized as assets and liabilities on the condensed consolidated balance sheets as well as certain off–balance sheet financial instruments. The estimated fair values shown below do not include any valuation of assets and liabilities, which are not financial instruments as defined by the FASB ASC fair value hierarchy. The following methods and assumptions were used to estimate the fair value of each class of financial instrument: Cash and Due from Banks – The carrying amounts approximate fair value. Interest-earning time deposits – The fair values of the Company’s interest–earning time deposits are estimated using discounted cash flow analyses based on current rates for similar types of interest–earning time deposits. Held–to–Maturity Securities – For debt securities held to maturity, fair values are based on quoted market prices or dealer quotes. For those securities where a quoted market price is not available, carrying amount is a reasonable estimate of fair value based upon comparison with similar securities. Loans Held for Sale – The carrying amounts approximate fair value. Net Loans – The fair value of net loans are estimated on an exit price basis incorporating discounts for credit, liquidity and marketability factors. FHLB Stock – Fair value of FHLB stock is based on the price at which it may be resold to the FHLB. Interest Receivable/Payable – The carrying amounts approximate fair value. Deposits – The fair value of demand deposits, savings accounts, interest–bearing checking accounts and money market deposits is the amount payable on demand at the reporting date. The fair value of fixed maturity certificates of deposit is estimated by discounting the future cash flows using rates currently offered for deposits of similar remaining maturity. Borrowings – Rates currently available to Horizon for debt with similar terms and remaining maturities are used to estimate fair values of existing borrowings. Subordinated Notes – The fair value of subordinated notes is based on discounted cash flows based on current borrowing rates for similar types of instruments. Junior Subordinated Debentures Issued to Capital Trusts – Rates currently available for debentures with similar terms and remaining maturities are used to estimate fair values of existing debentures. Commitments to Extend Credit and Standby Letters of Credit – The fair value of commitments is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed–rate loan commitments, fair value also considers the difference between current levels of interest rates and the committed rates. The fair value of letters of credit is based on fees currently charged for similar agreements or on the estimated cost to terminate them or otherwise settle the obligations with the counterparties at the reporting date. Due to the short–term nature of these agreements, carrying amounts approximate fair value. The following table presents estimated fair values of the Company’s financial instruments and the level within the fair value hierarchy in which the fair value measurements fall. June 30, 2022 Carrying Quoted Prices in Active Markets Significant Significant Assets Cash and due from banks $ 108,848 $ 108,848 $ — $ — Interest–earning time deposits 3,799 — 3,788 — Investment securities, held to maturity 2,052,722 — 1,754,214 — Loans held for sale 2,943 — — 2,943 Loans (excluding loan level hedges), net 3,885,460 — — 3,686,899 Stock in FHLB 26,677 — 26,677 — Interest receivable 28,996 — 28,996 — Mortgage servicing rights 18,761 — — 18,761 Liabilities Non–interest bearing deposits $ 1,328,213 $ 1,328,213 $ — $ — Interest bearing deposits 4,517,372 — 4,144,515 — Borrowings 959,222 — 936,205 — Subordinated notes 58,823 — 53,386 — Junior subordinated debentures issued to capital trusts 56,907 — 51,448 — Interest payable 2,402 — 2,402 — December 31, 2021 Carrying Quoted Prices in Active Markets Significant Significant Assets Cash and due from banks $ 593,508 $ 593,508 $ — $ — Interest–earning time deposits 4,782 — 4,861 — Investment securities, held to maturity 1,552,443 — 1,513,520 46,471 Loans held for sale 12,579 — — 12,579 Loans (excluding loan level hedges), net 3,590,331 — — 3,479,958 Stock in FHLB 24,440 — 24,440 — Interest receivable 26,137 — 26,137 — Mortgage servicing rights 15,186 — — 15,186 Liabilities Non–interest bearing deposits $ 1,360,338 $ 1,360,338 $ — $ — Interest bearing deposits 4,442,653 — 4,369,011 — Borrowings 712,739 — 708,275 — Subordinated notes 58,750 — 57,906 — Junior subordinated debentures issued to capital trusts 56,785 — 53,420 — Interest payable 2,235 — 2,235 — |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) June 30, December 31, Unrealized gain (loss) on securities available for sale $ (121,956) $ 7,201 Unamortized loss on securities held to maturity, previously transferred from AFS 4,038 5,770 Unrealized loss on derivative instruments 116 (3,673) Tax effect 24,738 (1,953) Total accumulated other comprehensive income (loss) $ (93,064) $ 7,345 |
Regulatory Capital
Regulatory Capital | 6 Months Ended |
Jun. 30, 2022 | |
Banking and Thrift, Interest [Abstract] | |
Regulatory Capital | Regulatory CapitalHorizon and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. These capital requirements implement changes arising from the Dodd–Frank Wall Street Reform and Consumer Protection Act and the U.S. Basel Committee on Banking Supervision’s capital framework (known as “Basel III”). Failure to meet the minimum regulatory capital requirements can initiate certain mandatory and possible additional discretionary actions by regulators, which if undertaken, could have a direct material effect on the Company’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective actions, the Company and Bank must meet specific capital guidelines involving quantitative measures of the Bank’s assets, liabilities, and certain off–balance–sheet items as calculated under regulatory accounting practices. The Company’s and Bank’s capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. The Company and Bank are subject to minimum regulatory capital requirements as defined and calculated in accordance with the Basel III–based regulations. As allowed under Basel III rules, the Company made the decision to opt–out of including accumulated other comprehensive income in regulatory capital. The minimum regulatory capital requirements are set forth in the table below. In addition, to be categorized as well capitalized, the Company and Bank must maintain Total risk–based, Tier I risk–based, common equity Tier I risk–based and Tier I leverage ratios as set forth in the table below. As of June 30, 2022 and December 31, 2021, the Company and Bank met all capital adequacy requirements to be considered well capitalized. There have been no conditions or events since the end of the second quarter of 2022 that management believes have changed the Bank’s classification as well capitalized. There is no threshold for well capitalized status for bank holding companies. As of March 31, 2020, the Company and Bank elected the transition option of the 2019 CECL Rule which allows banking organizations to phase in over a three–year period the day–one adverse effects of CECL on their regulatory capital ratios. Horizon and the Bank’s actual and required capital ratios as of June 30, 2022 and December 31, 2021 were as follows: Actual Required for Capital Adequacy Purposes (1) Required For Capital Adequacy Purposes with Capital Buffer (1) Well Capitalized Under Prompt Corrective Action Provisions (1) Amount Ratio Amount Ratio Amount Ratio Amount Ratio June 30, 2022 Total capital (to risk–weighted assets) (1) Consolidated $ 748,079 14.82 % $ 403,785 8.00 % $ 529,967 10.50 % N/A N/A Bank 698,970 13.83 % 404,265 8.00 % 530,598 10.50 % $ 505,331 10.00 % Tier 1 capital (to risk–weighted assets) (1) Consolidated 699,753 13.86 % 302,838 6.00 % 429,021 8.50 % N/A N/A Bank 650,529 12.87 % 303,199 6.00 % 429,532 8.50 % 404,265 8.00 % Common equity tier 1 capital (to risk–weighted assets) (1) Consolidated 576,271 11.42 % 227,129 4.50 % 353,311 7.00 % N/A N/A Bank 650,529 12.87 % 227,399 4.50 % 353,732 7.00 % 328,465 6.50 % Tier 1 capital (to average assets) (1) Consolidated 699,753 9.54 % 293,288 4.00 % 293,288 4.00 % N/A N/A Bank 650,529 8.85 % 293,881 4.00 % 293,881 4.00 % 367,351 5.00 % December 31, 2021 Total capital (to risk–weighted assets) (1) Consolidated $ 708,198 15.71 % $ 360,737 8.00 % $ 473,468 10.50 % N/A N/A Bank 664,061 14.72 % 361,015 8.00 % 473,832 10.50 % $ 451,269 10.00 % Tier 1 capital (to risk–weighted assets) (1) Consolidated 661,729 14.68 % 270,553 6.00 % 383,284 8.50 % N/A N/A Bank 617,592 13.69 % 270,761 6.00 % 383,578 8.50 % 361,015 8.00 % Common equity tier 1 capital (to risk–weighted assets) (1) Consolidated 541,920 12.02 % 202,915 4.50 % 315,645 7.00 % N/A N/A Bank 617,592 13.69 % 203,071 4.50 % 315,888 7.00 % 293,325 6.50 % Tier 1 capital (to average assets) (1) Consolidated 661,729 9.05 % 292,335 4.00 % 292,335 4.00 % N/A N/A Bank 617,592 8.50 % 290,646 4.00 % 290,646 4.00 % 363,307 5.00 % (1) As defined by regulatory agencies |
General Litigation
General Litigation | 6 Months Ended |
Jun. 30, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
General Litigation | General LitigationThe Company is subject to claims and lawsuits that arise primarily in the ordinary course of business. It is the opinion of management that the disposition or ultimate resolution of such claims and lawsuits will not have a material adverse effect on the consolidated financial position, results of operation and cash flows of the Company. |
Accounting Policies (Policies)
Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Earnings per Common Share | Basic earnings per share is computed by dividing net income available to common shareholders (net income less dividend requirements for preferred stock and accretion of preferred stock discount) by the weighted–average number of common shares outstanding. Diluted earnings per share reflect the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. |
Accounting Guidance Issued But Not Yet Adopted | Accounting Guidance Issued But Not Yet Adopted Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) No. 2022–02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures The FASB has issued ASU 2022–02, Financial Instruments – Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures , in March 2022. These amendments eliminate the TDR recognition and measurement guidance and, instead, require that an entity evaluate (consistent with the accounting for other loan modifications) whether the modification represents a new loan or a continuation of an existing loan. The amendments also enhance existing disclosure requirements and introduce new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. Additionally, these amendments require that an entity disclose current–period gross write–offs by year of origination for financing receivables and net investment in leases within the scope of Subtopic 326–20. The guidance is effective for entities that have adopted ASU 2016–13 for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. These amendments should be applied prospectively. If an entity elects to early adopt ASU 2022–02 in an interim period, the guidance should be applied as of the beginning of the fiscal year that includes the interim period. An entity may elect to early adopt the amendments about TDRs and related disclosure enhancements separately from the amendments related to vintage disclosures. The Company is assessing ASU 2022–02 and its impact on its accounting and disclosures. FASB ASU No. 2020–04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting The FASB has issued ASU 2020–04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , which provides temporary, optional guidance to ease the potential burden in accounting for, or recognizing the effects of, the transition away from the LIBOR or other interbank offered rates on financial reporting. To help with the transition to new reference rates, the ASU provides optional expedients and exceptions for applying GAAP to affected contract modifications and hedge accounting relationships. The main provisions include: • A change in a contract's reference interest rate would be accounted for as a continuation of that contract rather than as the creation of a new one for contracts, including loans, debt, leases, and other arrangements, that meet specific criteria. • When updating its hedging strategies in response to reference rate reform, an entity would be allowed to preserve its hedge accounting. The guidance is applicable only to contracts or hedge accounting relationships that reference LIBOR or another reference rate expected to be discontinued. Because the guidance is meant to help entities through the transition period, it will be in effect for a limited time and will not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, except for hedging relationships existing as of December 31, 2022, for which an entity has elected certain optional expedients that are retained through the end of the hedging relationship. The amendments in this ASU are effective March 12, 2020 through December 31, 2022. ASU 2020–04 permits relief solely for reference rate reform actions and permits different elections over the effective date for legacy and new activity. Accordingly, the Company is evaluating and reassessing the elections on a quarterly basis. For current elections in effect regarding the assertion of the probability of forecasted transactions, the Company elects the expedient to assert the probability of the hedged interest payments and receipts regardless of any expected modification in terms related to reference rate reform. The Company conducted monthly meetings to address contracts and hedge accounting relationships that reference LIBOR. All contracts referencing LIBOR as an interest rate have been identified and have been rewritten or refinanced as of March 31, 2022, except for commercial loan interest rate swaps. Hedge accounting relationships referencing LIBOR will be modified by the counter parties. The Company believes the adoption of this guidance on activities subsequent to December 31, 2020 through December 31, 2022 will not have a material impact on the consolidated financial statements. |
Accounting Policies (Tables)
Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Accounting Policies [Abstract] | |
Summary of Computation of Basic and Diluted Earnings Per Share | The following table shows computation of basic and diluted earnings per share. Three Months Ended Six Months Ended June 30 June 30 2022 2021 2022 2021 Basic earnings per share Net income $ 24,859 $ 22,173 $ 48,422 $ 42,595 Weighted average common shares outstanding 43,572,796 43,950,501 43,563,804 43,935,111 Basic earnings per share $ 0.57 $ 0.50 $ 1.11 $ 0.97 Diluted earnings per share Net income $ 24,859 $ 22,173 $ 48,422 $ 42,595 Weighted average common shares outstanding 43,572,796 43,950,501 43,563,804 43,935,111 Effect of dilutive securities: Restricted stock 77,296 106,175 107,122 104,421 Stock options 34,599 54,427 40,896 53,045 Weighted average common shares outstanding 43,684,691 44,111,103 43,711,822 44,092,577 Diluted earnings per share $ 0.57 $ 0.50 $ 1.11 $ 0.97 |
Schedule of Error Corrections and Prior Period Adjustments | The following tables present the revisions to the line items of our previously issued financial statements to reflect the correction of the errors: Consolidated Balance Sheet As of December 31, 2021 As Reported Adjustment As Revised Loans, net of allowance for credit losses $ 3,553,345 $ 36,986 $ 3,590,331 Total assets 7,374,903 36,986 7,411,889 Borrowings 675,753 36,986 712,739 Total liabilities 6,651,694 36,986 6,688,680 Total liabilities and stockholders' equity 7,374,903 36,986 7,411,889 Consolidated Statements of Cash Flows Six Months Ended June 30, 2021 As Reported Adjustment As Revised Net change in loans $ 347,010 $ (3,312) $ 343,698 Net cash provided by investing activities (209,009) (3,312) (212,321) Proceeds from borrowings 83 3,312 3,395 Net cash provided by financing activities 202,691 3,312 206,003 Net Change in Cash and Cash Equivalents 54,460 — 54,460 The following tables present the revisions to the line items of our previously issued financial statements to reflect the correction of the errors: Note 3 – Securities As of December 31, 2021 Amortized Cost As Reported Adjustment As Revised Federal agency mortgage–backed pools $ 225,329 31,856 257,185 Private labeled mortgage–backed pools 31,856 (31,856) — Total available for sale investment securities $ 257,185 — 257,185 Federal agency mortgage–backed pools $ 188,426 59,511 247,937 Private labeled mortgage–backed pools 99,958 (59,511) 40,447 Total held to maturity investment securities $ 288,384 — 288,384 Gross Unrealized Gains As Reported Adjustment As Revised Federal agency mortgage–backed pools $ 1,777 137 1,914 Private labeled mortgage–backed pools 137 (137) — Total available for sale investment securities $ 1,914 — 1,914 Federal agency mortgage–backed pools $ 151 58 209 Private labeled mortgage–backed pools 58 (58) — Total held to maturity investment securities $ 209 — 209 Gross Unrealized Losses As Reported Adjustment As Revised Federal agency mortgage–backed pools $ (1,032) (376) (1,408) Private labeled mortgage–backed pools (376) 376 — Total available for sale investment securities $ (1,408) — (1,408) Federal agency mortgage–backed pools $ (2,612) (1,398) (4,010) Private labeled mortgage–backed pools (1,840) 1,398 (442) Total held to maturity investment securities $ (4,452) — (4,452) Fair Value As Reported Adjustment As Revised Federal agency mortgage–backed pools $ 226,074 31,617 257,691 Private labeled mortgage–backed pools 31,617 (31,617) — Total available for sale investment securities $ 257,691 — 257,691 Federal agency mortgage–backed pools $ 185,965 58,171 244,136 Private labeled mortgage–backed pools 98,176 (58,171) 40,005 Total held to maturity investment securities $ 284,141 — 284,141 |
Acquisitions (Tables)
Acquisitions (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Purchase Price of Assets Acquired and Liabilities Assumed | Under the acquisition method of accounting, the total purchase price is allocated to net tangible and intangible assets based on their current estimated fair values on the date of the acquisition. Based on preliminary valuations of the fair value of tangible and intangible assets acquired and liabilities assumed, which are based on estimates and assumptions that are subject to change, the purchase price for the TCF branches is detailed in the following table. Prior to the end of the one year measurement period for finalizing the purchase price allocation, if information becomes available which would indicate adjustments are required to the purchase price allocation, such adjustments will be included in the purchase price allocation prospectively. Assets Liabilities Cash and due from banks $ 4,012 Deposits Loans Non-interest bearing $ 181,403 Commercial 101,327 NOW accounts 303,050 Residential mortgage 56,499 Savings and money market 262,488 Consumer 54,212 Certificates of deposit 99,468 Total loans 212,038 Total deposits 846,409 Premises and equipment, net 6,901 Interest payable 16 Goodwill 3,334 Other liabilities 1,278 Core deposit intangible 1,630 Interest receivable 519 Other assets 1,102 Total assets purchased $ 229,536 Total liabilities assumed $ 847,703 Net cash received $ (618,167) |
Securities (Tables)
Securities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Fair Value of Securities | The fair value of securities is as follows: June 30, 2022 Amortized Gross Gross Fair Available for sale U.S. Treasury and federal agencies $ 294,793 $ — $ (19,617) $ 275,176 State and municipal 507,128 256 (69,217) 438,167 Federal agency collateralized mortgage obligations 41,329 — (1,043) 40,286 Federal agency mortgage-backed pools 235,337 8 (24,860) 210,485 Corporate notes 84,389 198 (7,681) 76,906 Total available for sale investment securities $ 1,162,976 $ 462 $ (122,418) $ 1,041,020 Held to maturity U.S. Treasury and federal agencies $ 295,386 $ — $ (34,138) $ 261,248 State and municipal 1,135,751 456 (184,215) 951,992 Federal agency collateralized mortgage obligations 59,694 — (6,160) 53,534 Federal agency mortgage-backed pools 360,446 — (46,620) 313,826 Private labeled mortgage-backed pools 37,101 — (4,346) 32,755 Corporate notes 164,394 — (23,535) 140,859 Total held to maturity investment securities $ 2,052,772 $ 456 $ (299,014) $ 1,754,214 December 31, 2021 Amortized Gross Gross Fair Available for sale U.S. Treasury and federal agencies $ 118,595 $ 82 $ (1,698) $ 116,979 State and municipal 632,652 12,802 (5,708) 639,746 Federal agency collateralized mortgage obligations 60,600 989 (12) 61,577 Federal agency mortgage-backed pools 257,185 1,914 (1,408) 257,691 Corporate notes 84,579 1,013 (773) 84,819 Total available for sale investment securities $ 1,153,611 $ 16,800 $ (9,599) $ 1,160,812 Held to maturity U.S. Treasury and federal agencies $ 195,429 $ 12 $ (1,215) $ 194,226 State and municipal 862,461 20,719 (4,263) 878,917 Federal agency collateralized mortgage obligations 48,482 3 (1,020) 47,465 Federal agency mortgage-backed pools 247,937 209 (4,010) 244,136 Private labeled mortgage-backed pools 40,447 — (442) 40,005 Corporate notes 157,687 11 (2,456) 155,242 Total held to maturity investment securities $ 1,552,443 $ 20,954 $ (13,406) $ 1,559,991 |
Schedule of Amortized Cost and Fair Value of Securities Available for Sale and Held to Maturity | The amortized cost and fair value of securities available for sale and held to maturity at June 30, 2022 and December 31, 2021, by contractual maturity, are shown below. Expected maturities will differ from contractual maturities because issuers may have the right to call or prepay obligations with or without call or prepayment penalties. June 30, 2022 December 31, 2021 Amortized Fair Amortized Fair Available for sale Within one year $ 1,228 $ 1,225 $ 22,980 $ 22,984 One to five years 293,825 276,489 156,677 156,397 Five to ten years 281,389 251,923 315,630 316,125 After ten years 309,868 260,612 340,539 346,038 886,310 790,249 835,826 841,544 Federal agency collateralized mortgage obligations 41,329 40,286 60,600 61,577 Federal agency mortgage–backed pools 235,337 210,485 257,185 257,691 Total available for sale investment securities $ 1,162,976 $ 1,041,020 $ 1,153,611 $ 1,160,812 Held to maturity Within one year $ 36,037 $ 35,818 $ 5,222 $ 5,265 One to five years 202,480 195,376 65,739 66,982 Five to ten years 349,467 313,467 273,720 275,308 After ten years 1,007,547 809,438 870,896 880,830 1,595,531 1,354,099 1,215,577 1,228,385 Federal agency collateralized mortgage obligations 59,694 53,534 48,482 47,465 Federal agency mortgage–backed pools 360,446 313,826 247,937 244,136 Private labeled mortgage–backed pools 37,101 32,755 40,447 40,005 Total held to maturity investment securities $ 2,052,772 $ 1,754,214 $ 1,552,443 $ 1,559,991 |
Schedule of Debt Securities, Available-for-sale, Unrealized Loss Position, Fair Value | The following table shows the gross unrealized losses and the fair value of the Company’s investments, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position. June 30, 2022 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Investment Securities U.S. Treasury and federal agencies $ 478,535 $ (45,494) $ 57,639 $ (8,261) $ 536,174 $ (53,755) State and municipal 1,122,880 (212,110) 153,945 (41,323) 1,276,825 (253,433) Federal agency collateralized mortgage obligations 93,150 (7,203) — — 93,150 (7,203) Federal agency mortgage–backed pools 483,127 (66,195) 39,318 (5,284) 522,445 (71,479) Private labeled mortgage–backed pools 32,755 (4,346) — — 32,755 (4,346) Corporate notes 199,987 (28,492) 17,133 (2,724) 217,120 (31,216) Total temporarily impaired securities $ 2,410,434 $ (363,840) $ 268,035 $ (57,592) $ 2,678,469 $ (421,432) December 31, 2021 Less than 12 Months 12 Months or More Total Fair Unrealized Fair Unrealized Fair Unrealized Investment Securities U.S. Treasury and federal agencies $ 268,732 $ (2,483) $ 15,820 $ (430) $ 284,552 $ (2,913) State and municipal 539,882 (9,389) 19,461 (582) 559,343 (9,971) Federal agency collateralized mortgage obligations 56,027 (1,032) — — 56,027 (1,032) Federal agency mortgage–backed pools 406,540 (5,418) — — 406,540 (5,418) Private labeled mortgage–backed pools 40,005 (442) — — 40,005 (442) Corporate notes 189,500 (3,229) — — 189,500 (3,229) Total temporarily impaired securities $ 1,500,686 $ (21,993) $ 35,281 $ (1,012) $ 1,535,967 $ (23,005) |
Schedule of Sales of Securities Available for Sale | Information regarding security proceeds, gross gains and gross losses are presented below. Three Months Ended Six Months Ended June 30 June 30 2022 2021 2022 2021 Sales of securities available for sale Proceeds $ — $ — $ — $ 27,514 Gross gains — — — 914 Gross losses — — — — |
Loans (Tables)
Loans (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
Schedule of Loan Portfolio Segments and Classes | The table below identifies the Company’s loan portfolio segments and classes. Portfolio Segment Class of Financing Receivable Commercial Owner occupied real estate Non-owner occupied real estate Residential spec homes Development & spec land Commercial and industrial Real estate Residential mortgage Residential construction Mortgage warehouse Mortgage warehouse Consumer Direct installment Indirect installment Home equity |
Schedule of Loans Outstanding by Portfolio Class | The following table presents total loans outstanding by portfolio class, as of June 30, 2022 and December 31, 2021: June 30, December 31, Commercial Owner occupied real estate $ 585,648 $ 560,887 Non–owner occupied real estate 1,159,808 1,088,470 Residential spec homes 11,320 9,907 Development & spec land 24,913 24,473 Commercial and industrial 582,302 530,208 Total commercial 2,363,991 2,213,945 Real estate Residential mortgage 576,353 563,811 Residential construction 32,229 30,571 Mortgage warehouse 116,488 109,031 Total real estate 725,070 703,413 Consumer Direct installment 59,833 63,714 Indirect installment 466,267 372,575 Home equity 322,649 290,970 Total consumer 848,749 727,259 Total loans 3,937,810 3,644,617 Allowance for credit losses (52,350) (54,286) Net loans $ 3,885,460 $ 3,590,331 |
Schedule of Non-accrual, Loans Past Due Over 90 Days Still on Accrual, and Troubled Debt Restructured ("TDRs") by Class of Loans | The following table presents non–accrual loans, loans past due over 90 days still on accrual, and troubled debt restructurings (“TDRs”) by class of loans: June 30, 2022 Non–accrual Loans Past Non–performing Performing Total Non–performing Commercial Owner occupied real estate $ 4,229 $ — $ — $ 568 $ 4,797 $ 2,557 Non–owner occupied real estate 619 — — 277 896 896 Residential spec homes 101 — — — 101 101 Development & spec land 815 — — — 815 65 Commercial and industrial 1,399 — — — 1,399 859 Total commercial 7,163 — — 845 8,008 4,478 Real estate Residential mortgage 6,113 — 998 1,358 8,469 8,469 Residential construction — — — — — — Mortgage warehouse — — — — — — Total real estate 6,113 — 998 1,358 8,469 8,469 Consumer Direct installment 132 — — — 132 132 Indirect installment 479 210 — — 689 689 Home equity 2,229 — 347 332 2,908 2,908 Total consumer 2,840 210 347 332 3,729 3,729 Total $ 16,116 $ 210 $ 1,345 $ 2,535 $ 20,206 $ 16,676 December 31, 2021 Non–accrual Loans Past Non–performing Performing Total Non–performing Commercial Owner occupied real estate $ 4,247 $ — $ — $ 603 $ 4,850 $ 2,796 Non–owner occupied real estate 761 — 285 — 1,046 1,046 Residential spec homes — — — — — — Development & spec land 919 — — — 919 919 Commercial and industrial 694 — — — 694 456 Total commercial 6,621 — 285 603 7,509 5,217 Real estate Residential mortgage 5,626 66 892 1,421 8,005 8,005 Residential construction — — — — — — Mortgage warehouse — — — — — — Total real estate 5,626 66 892 1,421 8,005 8,005 Consumer Direct installment 7 — — — 7 7 Indirect installment 538 15 — — 553 553 Home equity 2,170 64 344 367 2,945 2,945 Total consumer 2,715 79 344 367 3,505 3,505 Total $ 14,962 $ 145 $ 1,521 $ 2,391 $ 19,019 $ 16,727 |
Schedule of Payment Status by Class of Loan | The following table presents the payment status by class of loan, excluding non–accrual loans of $16.1 million and non–performing TDRs of $1.3 million at June 30, 2022: June 30, 2022 Current 30–59 Days 60–89 Days 90 Days or Total Total Commercial Owner occupied real estate $ 580,910 $ 480 $ 29 $ — $ 509 $ 581,419 Non–owner occupied real estate 1,159,079 110 — — 110 1,159,189 Residential spec homes 11,219 — — — — 11,219 Development & spec land 24,085 — 13 — 13 24,098 Commercial and industrial 580,465 280 158 — 438 580,903 Total commercial 2,355,758 870 200 — 1,070 2,356,828 Real estate Residential mortgage 567,058 1,866 318 — 2,184 569,242 Residential construction 32,229 — — — — 32,229 Mortgage warehouse 116,488 — — — — 116,488 Total real estate 715,775 1,866 318 — 2,184 717,959 Consumer Direct installment 59,585 113 3 — 116 59,701 Indirect installment 463,474 1,586 518 210 2,314 465,788 Home equity 318,808 761 504 — 1,265 320,073 Total consumer 841,867 2,460 1,025 210 3,695 845,562 Total $ 3,913,400 $ 5,196 $ 1,543 $ 210 $ 6,949 $ 3,920,349 The following table presents the payment status by class of loan, excluding non–accrual loans of $15.0 million and non–performing TDRs of $1.5 million at December 31, 2021: December 31, 2021 Current 30–59 Days 60–89 Days 90 Days or Total Total Commercial Owner occupied real estate $ 555,851 $ 789 $ — $ — $ 789 $ 556,640 Non–owner occupied real estate 1,085,716 1,708 — — 1,708 1,087,424 Residential spec homes 9,907 — — — — 9,907 Development & spec land 23,496 58 — — 58 23,554 Commercial and industrial 528,461 974 79 — 1,053 529,514 Total commercial 2,203,431 3,529 79 — 3,608 2,207,039 Real estate Residential mortgage 556,128 834 265 66 1,165 557,293 Residential construction 30,571 — — — — 30,571 Mortgage warehouse 109,031 — — — — 109,031 Total real estate 695,730 834 265 66 1,165 696,895 Consumer Direct installment 63,295 409 3 — 412 63,707 Indirect installment 369,615 2,271 136 15 2,422 372,037 Home equity 287,382 849 161 64 1,074 288,456 Total consumer 720,292 3,529 300 79 3,908 724,200 Total $ 3,619,453 $ 7,892 $ 644 $ 145 $ 8,681 $ 3,628,134 |
Schedule of TDRs by Loan Portfolio | The following table presents TDRs by class of loan: June 30, 2022 December 31, 2021 Non–accrual Accruing Total Non–accrual Accruing Total Commercial Owner occupied real estate $ — $ 568 $ 568 $ — $ 603 $ 603 Non–owner occupied real estate — 277 277 285 — 285 Residential spec homes — — — — — — Development & spec land — — — — — — Commercial and industrial — — — — — — Total commercial — 845 845 285 603 888 Real estate Residential mortgage 998 1,358 2,356 892 1,421 2,313 Residential construction — — — — — — Mortgage warehouse — — — — — — Total real estate 998 1,358 2,356 892 1,421 2,313 Consumer Direct installment — — — — — — Indirect installment — — — — — — Home equity 347 332 679 344 367 711 Total consumer 347 332 679 344 367 711 Total $ 1,345 $ 2,535 $ 3,880 $ 1,521 $ 2,391 $ 3,912 |
Schedule of Allowance for Credit Loss Allocated for Collateral Dependent Loans | The table below presents the amortized cost basis and allowance for credit losses (“ACL”) allocated for collateral dependent loans in accordance with ASC 326, which are individually evaluated to determine expected credit losses. June 30, 2022 Real Estate Accounts Receivable/Equipment Other Total ACL Commercial Owner occupied real estate $ 4,863 $ 510 $ — $ 5,373 $ 751 Non–owner occupied real estate 2,630 — — 2,630 — Residential spec homes 101 — — 101 — Development & spec land 815 — — 815 72 Commercial and industrial 536 1,045 10 1,591 242 Total commercial 8,945 1,555 10 10,510 1,065 Total collateral dependent loans $ 8,945 $ 1,555 $ 10 $ 10,510 $ 1,065 December 31, 2021 Real Estate Accounts Receivable/Equipment Other Total ACL Commercial Owner occupied real estate $ 11,201 $ 103 $ — $ 11,304 $ 632 Non–owner occupied real estate 2,068 — — 2,068 — Residential spec homes — — — — — Development & spec land 919 — — 919 — Commercial and industrial 427 1,218 — 1,645 128 Total commercial 14,615 1,321 — 15,936 760 Total collateral dependent loans $ 14,615 $ 1,321 $ — $ 15,936 $ 760 |
Schedule of Loans by Credit Grades | The following tables present loans by credit grades and origination year at June 30, 2022. June 30, 2022 2022 2021 2020 2019 2018 Prior Revolving Loans Total Commercial Owner occupied real estate Pass $ 59,036 $ 83,995 $ 53,337 $ 51,638 $ 42,377 $ 196,669 $ 58,971 $ 546,023 Special Mention — 6,775 — 2,130 599 6,908 — 16,412 Substandard 500 257 993 1,010 3,126 11,436 5,891 23,213 Doubtful — — — — — — — — Total owner occupied real estate $ 59,536 $ 91,027 $ 54,330 $ 54,778 $ 46,102 $ 215,013 $ 64,862 $ 585,648 Non–owner occupied real estate Pass $ 119,235 $ 178,883 $ 127,999 $ 114,899 $ 54,785 $ 328,530 $ 168,576 $ 1,092,907 Special Mention — — 271 6,847 39,724 9,206 4,071 60,119 Substandard — 709 — — 3,575 2,498 — 6,782 Doubtful — — — — — — — — Total non–owner occupied real estate $ 119,235 $ 179,592 $ 128,270 $ 121,746 $ 98,084 $ 340,234 $ 172,647 $ 1,159,808 Residential spec homes Pass $ 305 $ 3,519 $ 66 $ — $ — $ 2,087 $ 5,242 $ 11,219 Special Mention — — — — — — — — Substandard — — — — — — 101 101 Doubtful — — — — — — — — Total residential spec homes $ 305 $ 3,519 $ 66 $ — $ — $ 2,087 $ 5,343 $ 11,320 Development & spec land Pass $ 369 $ 1,459 $ 477 $ 408 $ 8 $ 11,852 $ 9,236 $ 23,809 Special Mention — — — — — 161 — 161 Substandard — — — — — 195 748 943 Doubtful — — — — — — — — Total development & spec land $ 369 $ 1,459 $ 477 $ 408 $ 8 $ 12,208 $ 9,984 $ 24,913 Commercial & industrial Pass $ 103,523 $ 153,070 $ 38,644 $ 36,734 $ 43,168 $ 119,929 $ 48,587 $ 543,655 Special Mention 263 2,526 30 1,321 10,558 6,009 1,800 22,507 Substandard 90 529 3,024 1,472 3,763 4,637 2,625 16,140 Doubtful — — — — — — — — Total commercial & industrial $ 103,876 $ 156,125 $ 41,698 $ 39,527 $ 57,489 $ 130,575 $ 53,012 $ 582,302 Total commercial $ 283,321 $ 431,722 $ 224,841 $ 216,459 $ 201,683 $ 700,117 $ 305,848 $ 2,363,991 June 30, 2022 2022 2021 2020 2019 2018 Prior Revolving Loans Total Real estate Residential mortgage Performing $ 53,519 $ 140,003 $ 98,753 $ 35,766 $ 39,693 $ 199,933 $ 217 $ 567,884 Non–performing — 132 366 552 947 6,472 — 8,469 Total residential mortgage $ 53,519 $ 140,135 $ 99,119 $ 36,318 $ 40,640 $ 206,405 $ 217 $ 576,353 Residential construction Performing $ 4 $ — $ — $ — $ — $ — $ 32,225 $ 32,229 Non–performing — — — — — — — — Total residential construction $ 4 $ — $ — $ — $ — $ — $ 32,225 $ 32,229 Mortgage warehouse Performing $ — $ — $ — $ — $ — $ — $ 116,488 $ 116,488 Non–performing — — — — — — — — Total mortgage warehouse $ — $ — $ — $ — $ — $ — $ 116,488 $ 116,488 Total real estate $ 53,523 $ 140,135 $ 99,119 $ 36,318 $ 40,640 $ 206,405 $ 148,930 $ 725,070 June 30, 2022 2022 2021 2020 2019 2018 Prior Revolving Loans Total Consumer Direct installment Performing $ 13,448 $ 15,123 $ 9,099 $ 9,923 $ 5,117 $ 6,983 $ 8 $ 59,701 Non–performing — 39 — 39 — 54 — 132 Total direct installment $ 13,448 $ 15,162 $ 9,099 $ 9,962 $ 5,117 $ 7,037 $ 8 $ 59,833 Indirect installment Performing $ 171,661 $ 136,528 $ 72,333 $ 44,473 $ 27,624 $ 12,959 $ — $ 465,578 Non–performing — 129 138 232 76 114 — 689 Total indirect installment $ 171,661 $ 136,657 $ 72,471 $ 44,705 $ 27,700 $ 13,073 $ — $ 466,267 Home equity Performing $ 57,170 $ 82,698 $ 46,638 $ 30,724 $ 23,593 $ 72,350 $ 6,568 $ 319,741 Non–performing 19 8 105 132 33 1,295 1,316 2,908 Total home equity $ 57,189 $ 82,706 $ 46,743 $ 30,856 $ 23,626 $ 73,645 $ 7,884 $ 322,649 Total consumer $ 242,298 $ 234,525 $ 128,313 $ 85,523 $ 56,443 $ 93,755 $ 7,892 $ 848,749 The following tables present loans by credit grades and origination year at December 31, 2021. December 31, 2021 2021 2020 2019 2018 2017 Prior Revolving Loans Total Commercial Owner occupied real estate Pass $ 86,798 $ 58,789 $ 61,134 $ 43,903 $ 46,530 $ 159,351 $ 60,539 $ 517,044 Special Mention — 72 2,685 3,194 7,279 11,451 1,345 26,026 Substandard — 1,003 1,312 3,192 1,957 9,579 774 17,817 Doubtful — — — — — — — — Total owner occupied real estate $ 86,798 $ 59,864 $ 65,131 $ 50,289 $ 55,766 $ 180,381 $ 62,658 $ 560,887 Non–owner occupied real estate Pass $ 175,538 $ 108,465 $ 120,561 $ 59,596 $ 126,334 $ 260,362 $ 178,928 $ 1,029,784 Special Mention — 839 1,192 34,412 999 3,850 515 41,807 Substandard 720 — 6,045 1,096 425 7,793 800 16,879 Doubtful — — — — — — — — Total non–owner occupied real estate $ 176,258 $ 109,304 $ 127,798 $ 95,104 $ 127,758 $ 272,005 $ 180,243 $ 1,088,470 Residential spec homes Pass $ 1,115 $ 254 $ 155 $ — $ — $ 1,346 $ 7,037 $ 9,907 Special Mention — — — — — — — — Substandard — — — — — — — — Doubtful — — — — — — — — Total residential spec homes $ 1,115 $ 254 $ 155 $ — $ — $ 1,346 $ 7,037 $ 9,907 Development & spec land Pass $ 2,282 $ 536 $ 503 $ 11 $ 3,583 $ 8,496 $ 7,837 $ 23,248 Special Mention — — — — — 177 — 177 Substandard — — — — 11 289 748 1,048 Doubtful — — — — — — — — Total development & spec land $ 2,282 $ 536 $ 503 $ 11 $ 3,594 $ 8,962 $ 8,585 $ 24,473 Commercial & industrial Pass $ 198,482 $ 48,245 $ 43,003 $ 47,986 $ 64,292 $ 69,589 $ 23,647 $ 495,244 Special Mention 592 3,278 2,090 4,588 3,781 7,427 3,295 25,051 Substandard 111 143 1,211 3,936 1,313 1,847 1,352 9,913 Doubtful — — — — — — — — Total commercial & industrial $ 199,185 $ 51,666 $ 46,304 $ 56,510 $ 69,386 $ 78,863 $ 28,294 $ 530,208 Total commercial $ 465,638 $ 221,624 $ 239,891 $ 201,914 $ 256,504 $ 541,557 $ 286,817 $ 2,213,945 December 31, 2021 2021 2020 2019 2018 2017 Prior Revolving Loans Total Real estate Residential mortgage Performing $ 116,118 $ 105,051 $ 44,691 $ 50,778 $ 56,330 $ 182,838 $ — $ 555,806 Non–performing — 78 448 854 66 6,559 — 8,005 Total residential mortgage $ 116,118 $ 105,129 $ 45,139 $ 51,632 $ 56,396 $ 189,397 $ — $ 563,811 Residential construction Performing $ — $ — $ — $ — $ — $ — $ 30,571 $ 30,571 Non–performing — — — — — — — — Total residential construction $ — $ — $ — $ — $ — $ — $ 30,571 $ 30,571 Mortgage warehouse Performing $ — $ — $ — $ — $ — $ — $ 109,031 $ 109,031 Non–performing — — — — — — — — Total mortgage warehouse $ — $ — $ — $ — $ — $ — $ 109,031 $ 109,031 Total real estate $ 116,118 $ 105,129 $ 45,139 $ 51,632 $ 56,396 $ 189,397 $ 139,602 $ 703,413 December 31, 2021 2021 2020 2019 2018 2017 Prior Revolving Loans Total Consumer Direct installment Performing $ 18,826 $ 12,756 $ 13,390 $ 7,027 $ 6,036 $ 5,577 $ 95 $ 63,707 Non–performing — — — — 1 6 — 7 Total direct installment $ 18,826 $ 12,756 $ 13,390 $ 7,027 $ 6,037 $ 5,583 $ 95 $ 63,714 Indirect installment Performing $ 160,194 $ 91,416 $ 58,907 $ 39,956 $ 17,014 $ 4,535 $ — $ 372,022 Non–performing 46 93 162 92 88 72 — 553 Total indirect installment $ 160,240 $ 91,509 $ 59,069 $ 40,048 $ 17,102 $ 4,607 $ — $ 372,575 Home equity Performing $ 80,389 $ 51,856 $ 34,603 $ 26,924 $ 22,495 $ 65,059 $ 6,699 $ 288,025 Non–performing 9 114 37 90 166 1,321 1,208 2,945 Total home equity $ 80,398 $ 51,970 $ 34,640 $ 27,014 $ 22,661 $ 66,380 $ 7,907 $ 290,970 Total consumer $ 259,464 $ 156,235 $ 107,099 $ 74,089 $ 45,800 $ 76,570 $ 8,002 $ 727,259 |
Allowance for Credit and Loan_2
Allowance for Credit and Loan Losses (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Receivables [Abstract] | |
Schedule of Allowance for Loan Losses | The following tables represent, by loan portfolio segment, a summary of changes in the ACL on loans for the six months ended June 30, 2022 and 2021: Three Months Ended June 30, 2022 Commercial Real Estate Mortgage Warehouse Consumer Total Balance, beginning of period $ 37,789 $ 4,351 $ 1,055 $ 9,313 $ 52,508 Provision for credit losses on loans (2,948) 111 12 3,065 240 PCD loan charge–offs (114) — — — (114) Charge–offs (57) (58) — (726) (841) Recoveries 132 18 — 407 557 Balance, end of period $ 34,802 $ 4,422 $ 1,067 $ 12,059 $ 52,350 Three Months Ended June 30, 2021 Commercial Real Estate Mortgage Warehouse Consumer Total Balance, beginning of period $ 42,980 $ 4,229 $ 1,163 $ 8,814 $ 57,186 Provision for credit losses on loans (1,168) (144) (8) (172) (1,492) Charge–offs (67) — — (237) (304) Recoveries 27 23 — 215 265 Balance, end of period $ 41,772 $ 4,108 $ 1,155 $ 8,620 $ 55,655 Six Months Ended June 30, 2022 Commercial Real Estate Mortgage Warehouse Consumer Total Balance, beginning of period $ 40,775 $ 3,856 $ 1,059 $ 8,596 $ 54,286 Provision for credit losses on loans (5,640) 596 8 3,890 (1,146) PCD loan charge–offs (370) — — — (370) Charge–offs (137) (58) — (1,013) (1,208) Recoveries 174 28 — 586 788 Balance, end of period $ 34,802 $ 4,422 $ 1,067 $ 12,059 $ 52,350 Six Months Ended June 30, 2021 Commercial Real Estate Mortgage Warehouse Consumer Total Balance, beginning of period $ 42,210 $ 4,620 $ 1,267 $ 8,930 $ 57,027 Provision for credit losses on loans (240) (600) (112) (173) (1,125) Charge–offs (263) — — (472) (735) Recoveries 65 88 — 335 488 Balance, end of period $ 41,772 $ 4,108 $ 1,155 $ 8,620 $ 55,655 |
Loan Servicing (Tables)
Loan Servicing (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Payments for (Proceeds from) Mortgage Servicing Rights [Abstract] | |
Schedule of Originated Mortgage Servicing Rights | Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, 2022 2021 2022 2021 Mortgage servicing rights Balance, beginning of period $ 18,592 $ 17,812 $ 17,780 $ 17,644 Servicing rights capitalized 813 1,031 2,375 2,161 Amortization of servicing rights (644) (1,052) (1,394) (2,014) Balance, end of period 18,761 17,791 18,761 17,791 Impairment allowance Balance, beginning of period — (4,937) (2,594) (5,172) Additions — — — — Reductions — 1,608 2,594 1,843 Balance, end of period — (3,329) — (3,329) Mortgage servicing rights, net $ 18,761 $ 14,462 $ 18,761 $ 14,462 |
Repurchase Agreements (Tables)
Repurchase Agreements (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Disclosure of Repurchase Agreements [Abstract] | |
Summary of Repurchase Agreements Accounted as Secured Borrowings | The following table shows repurchase agreements accounted for as secured borrowings and the related securities, at fair value, pledged for repurchase agreements: June 30, 2022 Remaining Contractual Maturity of the Agreements Overnight Up to one One to three Three to five Five to ten Beyond ten Total Repurchase Agreements and repurchase-to-maturity transactions Repurchase Agreements $ 143,694 $ — $ — $ — $ — $ — $ 143,694 Securities pledged for Repurchase Agreements Federal agency collateralized mortgage obligations $ 18,526 $ — $ — $ — $ — $ — $ 18,526 Federal agency mortgage–backed pools 125,688 — — — — — 125,688 Private labeled mortgage–backed pools 10,817 — — — — — 10,817 Total $ 155,031 $ — $ — $ — $ — $ — $ 155,031 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Fair Value of Derivative Financial Instruments | The following tables summarize the fair value of derivative financial instruments utilized by Horizon: Asset Derivatives Liability Derivatives June 30, 2022 June 30, 2022 Notional Fair Notional Fair Derivatives designated as hedging instruments Interest rate contracts – cash flow hedges $ 50,000 $ 116 $ — $ — Total derivatives designated as hedging instruments 50,000 116 — — Derivatives not designated as hedging instruments Interest rate contracts – fair value hedges 496,820 24,281 496,820 24,281 Mortgage loan contracts — — 24,273 151 Commitments to originate mortgage loans 12,172 281 — — Total derivatives not designated as hedging instruments 508,992 24,562 521,093 24,432 Total derivatives $ 508,992 $ 24,678 $ 521,093 $ 24,432 Asset Derivatives Liability Derivatives December 31, 2021 December 31, 2021 Notional Amount Fair Notional Amount Fair Derivatives designated as hedging instruments Interest rate contracts – cash flow hedges $ — $ — $ 50,000 $ 3,673 Total derivatives designated as hedging instruments — — 50,000 3,673 Derivatives not designated as hedging instruments Interest rate contracts – fair value hedges 488,967 14,419 488,967 14,419 Mortgage loan contracts — — 43,630 238 Commitments to originate mortgage loans 32,584 1,037 — — Total derivatives not designated as hedging instruments 521,551 15,456 532,597 14,657 Total derivatives $ 521,551 $ 15,456 $ 532,597 $ 18,330 |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) | The effect of the derivative instruments on the condensed consolidated statements of comprehensive income for the six–month periods ending June 30 is as follows: Amount of Gain Recognized in Other Comprehensive Income on Derivative Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Derivatives in cash flow hedging relationship Interest rate contracts $ 824 $ (14) $ 2,993 $ 2,398 |
Schedule of Effect of Derivative Instruments on Consolidated Statement of Income Derivative in Fair Value Hedging Relationship | The effect of the derivative instruments on the condensed consolidated statements of income for the six–month periods ending June 30 is as follows: Location of gain Amount of Gain (Loss) Recognized on Derivative Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Derivative designated as hedging instruments Interest rate contracts – cash flow hedges Interest expense – Borrowings $ 275 $ 475 $ 615 $ 984 Total $ 275 $ 475 $ 615 $ 984 Location of loss Amount of Gain (Loss) Recognized on Derivative Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Derivative not designated as hedging instruments Mortgage loan contracts Non–interest income – Gain on sale of loans $ 434 $ (5) $ 87 $ (545) Commitments to originate mortgage loans Non–interest income – Gain on sale of loans (81) 701 (756) — Total $ 353 $ 696 $ (669) $ (545) |
Disclosures about Fair Value _2
Disclosures about Fair Value of Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Measurements of Assets and Liabilities Recognized on a Recurring Basis | The following table presents the fair value measurements of assets and liabilities recognized in the accompanying condensed consolidated financial statements measured at fair value on a recurring basis and the level within the FASB ASC fair value hierarchy in which the fair value measurements fall at the following: June 30, 2022 Fair Value Quoted Prices in Active Markets Significant Significant Available for sale securities U.S. Treasury and federal agencies $ 275,176 $ — $ 275,176 $ — State and municipal 438,167 — 438,167 — Federal agency collateralized mortgage obligations 40,286 — 40,286 — Federal agency mortgage–backed pools 210,485 — 210,485 — Corporate notes 76,906 — 76,906 — Total available for sale securities 1,041,020 — 1,041,020 — Interest rate swap agreements asset 24,281 — 24,281 — Commitments to originate mortgage loans 281 — 281 — Interest rate swap agreements liability (24,281) — (24,281) — Mortgage loan contracts (151) — (151) — December 31, 2021 Fair Value Quoted Prices in Active Markets Significant Significant Available for sale securities U.S. Treasury and federal agencies $ 116,979 $ — $ 116,979 $ — State and municipal 639,746 — 519,282 120,464 Federal agency collateralized mortgage obligations 61,577 — 61,577 — Federal agency mortgage–backed pools 257,691 — 257,691 — Corporate notes 84,819 — 79,787 5,032 Total available for sale securities 1,160,812 — 1,035,316 125,496 Interest rate swap agreements asset 14,419 — 14,419 — Commitments to originate mortgage loans 1,037 — 1,037 — Interest rate swap agreements liability (18,092) — (18,092) — Mortgage loan contracts (238) — (238) — |
Schedule of Other Assets Measured at Fair Value on Nonrecurring Basis | Certain other assets are measured at fair value on a non-recurring basis in the ordinary course of business and are subject to fair value adjustments in certain circumstances (for example, when there is evidence of impairment): Fair Value Quoted Prices in Active Markets Significant Significant June 30, 2022 Collateral dependent loans $ 9,445 $ — $ — $ 9,445 Mortgage servicing rights 18,761 — — 18,761 December 31, 2021 Collateral dependent loans $ 15,176 $ — $ — $ 15,176 Mortgage servicing rights 15,186 — — 15,186 |
Schedule of Qualitative Information About Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements, Other than Goodwill | The following table presents qualitative information about unobservable inputs used in recurring and non–recurring Level 3 fair value measurements, other than goodwill. June 30, 2022 Fair Valuation Unobservable Range Collateral dependent loans $ 9,445 Collateral based measurement Discount to reflect current market conditions and ultimate collectibility 0.0%-100.0% (10.1%) Mortgage servicing rights 18,761 Discounted cash flows Discount rate, Constant prepayment rate, Probability of default 9.3%-9.3% (9.3%), 7.3%-16.0% (7.4%), 0.0%-0.6%(0.5%) December 31, 2021 Fair Valuation Unobservable Range Collateral dependent loans $ 15,176 Collateral based measurement Discount to reflect current market conditions and ultimate collectibility 0.0%-54.0%(4.8%) Mortgage servicing rights 15,186 Discounted cash flows Discount rate, 8.0%-8.0% (8.0%), 8.4%-14.6%(11.6%), 0.0%-2.0%(0.4%) |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Fair Value Disclosures [Abstract] | |
Summary of Estimated Fair Values of Financial Instruments | The following table presents estimated fair values of the Company’s financial instruments and the level within the fair value hierarchy in which the fair value measurements fall. June 30, 2022 Carrying Quoted Prices in Active Markets Significant Significant Assets Cash and due from banks $ 108,848 $ 108,848 $ — $ — Interest–earning time deposits 3,799 — 3,788 — Investment securities, held to maturity 2,052,722 — 1,754,214 — Loans held for sale 2,943 — — 2,943 Loans (excluding loan level hedges), net 3,885,460 — — 3,686,899 Stock in FHLB 26,677 — 26,677 — Interest receivable 28,996 — 28,996 — Mortgage servicing rights 18,761 — — 18,761 Liabilities Non–interest bearing deposits $ 1,328,213 $ 1,328,213 $ — $ — Interest bearing deposits 4,517,372 — 4,144,515 — Borrowings 959,222 — 936,205 — Subordinated notes 58,823 — 53,386 — Junior subordinated debentures issued to capital trusts 56,907 — 51,448 — Interest payable 2,402 — 2,402 — December 31, 2021 Carrying Quoted Prices in Active Markets Significant Significant Assets Cash and due from banks $ 593,508 $ 593,508 $ — $ — Interest–earning time deposits 4,782 — 4,861 — Investment securities, held to maturity 1,552,443 — 1,513,520 46,471 Loans held for sale 12,579 — — 12,579 Loans (excluding loan level hedges), net 3,590,331 — — 3,479,958 Stock in FHLB 24,440 — 24,440 — Interest receivable 26,137 — 26,137 — Mortgage servicing rights 15,186 — — 15,186 Liabilities Non–interest bearing deposits $ 1,360,338 $ 1,360,338 $ — $ — Interest bearing deposits 4,442,653 — 4,369,011 — Borrowings 712,739 — 708,275 — Subordinated notes 58,750 — 57,906 — Junior subordinated debentures issued to capital trusts 56,785 — 53,420 — Interest payable 2,235 — 2,235 — |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Equity [Abstract] | |
Schedule of Components of Accumulated Other Comprehensive Income | June 30, December 31, Unrealized gain (loss) on securities available for sale $ (121,956) $ 7,201 Unamortized loss on securities held to maturity, previously transferred from AFS 4,038 5,770 Unrealized loss on derivative instruments 116 (3,673) Tax effect 24,738 (1,953) Total accumulated other comprehensive income (loss) $ (93,064) $ 7,345 |
Regulatory Capital (Tables)
Regulatory Capital (Tables) | 6 Months Ended |
Jun. 30, 2022 | |
Banking and Thrift, Interest [Abstract] | |
Summary of Regulatory Capital Requirement | Horizon and the Bank’s actual and required capital ratios as of June 30, 2022 and December 31, 2021 were as follows: Actual Required for Capital Adequacy Purposes (1) Required For Capital Adequacy Purposes with Capital Buffer (1) Well Capitalized Under Prompt Corrective Action Provisions (1) Amount Ratio Amount Ratio Amount Ratio Amount Ratio June 30, 2022 Total capital (to risk–weighted assets) (1) Consolidated $ 748,079 14.82 % $ 403,785 8.00 % $ 529,967 10.50 % N/A N/A Bank 698,970 13.83 % 404,265 8.00 % 530,598 10.50 % $ 505,331 10.00 % Tier 1 capital (to risk–weighted assets) (1) Consolidated 699,753 13.86 % 302,838 6.00 % 429,021 8.50 % N/A N/A Bank 650,529 12.87 % 303,199 6.00 % 429,532 8.50 % 404,265 8.00 % Common equity tier 1 capital (to risk–weighted assets) (1) Consolidated 576,271 11.42 % 227,129 4.50 % 353,311 7.00 % N/A N/A Bank 650,529 12.87 % 227,399 4.50 % 353,732 7.00 % 328,465 6.50 % Tier 1 capital (to average assets) (1) Consolidated 699,753 9.54 % 293,288 4.00 % 293,288 4.00 % N/A N/A Bank 650,529 8.85 % 293,881 4.00 % 293,881 4.00 % 367,351 5.00 % December 31, 2021 Total capital (to risk–weighted assets) (1) Consolidated $ 708,198 15.71 % $ 360,737 8.00 % $ 473,468 10.50 % N/A N/A Bank 664,061 14.72 % 361,015 8.00 % 473,832 10.50 % $ 451,269 10.00 % Tier 1 capital (to risk–weighted assets) (1) Consolidated 661,729 14.68 % 270,553 6.00 % 383,284 8.50 % N/A N/A Bank 617,592 13.69 % 270,761 6.00 % 383,578 8.50 % 361,015 8.00 % Common equity tier 1 capital (to risk–weighted assets) (1) Consolidated 541,920 12.02 % 202,915 4.50 % 315,645 7.00 % N/A N/A Bank 617,592 13.69 % 203,071 4.50 % 315,888 7.00 % 293,325 6.50 % Tier 1 capital (to average assets) (1) Consolidated 661,729 9.05 % 292,335 4.00 % 292,335 4.00 % N/A N/A Bank 617,592 8.50 % 290,646 4.00 % 290,646 4.00 % 363,307 5.00 % (1) As defined by regulatory agencies |
Accounting Policies - Additiona
Accounting Policies - Additional Information (Details) - $ / shares | 3 Months Ended | 6 Months Ended | ||||
May 06, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Jul. 16, 2019 | |
Accounting Policies [Abstract] | ||||||
Number of shares authorized to be repurchased (in shares) | 2,250,000 | |||||
Number of shares repurchased (in shares) | 803,349 | |||||
Average price per share repurchased (in USD per share) | $ 16.89 | |||||
Shares, non-dilutive (in shares) | 319,692 | 137,705 | 206,421 | 137,705 | ||
Additional shares authorized (in shares) | 1,400,000 |
Accounting Policies - Summary o
Accounting Policies - Summary of Computation of Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Basic earnings per share | ||||
Net income | $ 24,859 | $ 22,173 | $ 48,422 | $ 42,595 |
Weighted average common shares outstanding (in shares) | 43,572,796 | 43,950,501 | 43,563,804 | 43,935,111 |
Basic earnings per share (in USD per share) | $ 0.57 | $ 0.50 | $ 1.11 | $ 0.97 |
Diluted earnings per share | ||||
Net income | $ 24,859 | $ 22,173 | $ 48,422 | $ 42,595 |
Effect of dilutive securities: | ||||
Weighted average common shares outstanding (in shares) | 43,684,691 | 44,111,103 | 43,711,822 | 44,092,577 |
Diluted earnings per share (in USD per share) | $ 0.57 | $ 0.50 | $ 1.11 | $ 0.97 |
Restricted stock | ||||
Effect of dilutive securities: | ||||
Effect of dilutive securities (in shares) | 77,296 | 106,175 | 107,122 | 104,421 |
Stock options | ||||
Effect of dilutive securities: | ||||
Effect of dilutive securities (in shares) | 34,599 | 54,427 | 40,896 | 53,045 |
Accounting Policies - Error Cor
Accounting Policies - Error Correction (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Loans, net of allowance for credit losses | $ 3,885,460 | $ 3,590,331 | |
Total assets | 7,640,936 | 7,411,889 | |
Borrowings | 959,222 | 712,739 | |
Total liabilities | 6,983,071 | 6,688,680 | |
Total liabilities and stockholders' equity | 7,640,936 | 7,411,889 | |
Net change in loans | (294,325) | $ 343,698 | |
Net cash provided by investing activities | (809,869) | (212,321) | |
Proceeds from borrowings | 533,587 | 3,395 | |
Net cash provided by financing activities | 273,828 | 206,003 | |
Net Change in Cash and Cash Equivalents | (484,660) | 54,460 | |
Available for sale | |||
Amortized Cost | 1,162,976 | 1,153,611 | |
Gross Unrealized Gains | 462 | 16,800 | |
Gross Unrealized Losses | (122,418) | (9,599) | |
Fair Value | 1,041,020 | 1,160,812 | |
Held to maturity | |||
Investment securities, held to maturity | 2,052,772 | 1,552,443 | |
Gross Unrealized Gains | 456 | 20,954 | |
Gross Unrealized Losses | (299,014) | (13,406) | |
Fair Value | 1,754,214 | 1,559,991 | |
Mortgage–backed pools | |||
Available for sale | |||
Amortized Cost | 257,185 | ||
Gross Unrealized Gains | 1,914 | ||
Gross Unrealized Losses | (1,408) | ||
Fair Value | 257,691 | ||
Held to maturity | |||
Investment securities, held to maturity | 288,384 | ||
Gross Unrealized Gains | 209 | ||
Gross Unrealized Losses | (4,452) | ||
Fair Value | 284,141 | ||
Federal agency mortgage-backed pools | |||
Available for sale | |||
Amortized Cost | 235,337 | 257,185 | |
Gross Unrealized Gains | 8 | 1,914 | |
Gross Unrealized Losses | (24,860) | (1,408) | |
Fair Value | 210,485 | 257,691 | |
Held to maturity | |||
Investment securities, held to maturity | 360,446 | 247,937 | |
Gross Unrealized Gains | 0 | 209 | |
Gross Unrealized Losses | (46,620) | (4,010) | |
Fair Value | 313,826 | 244,136 | |
Private labeled mortgage-backed pools | |||
Available for sale | |||
Amortized Cost | 0 | ||
Gross Unrealized Gains | 0 | ||
Gross Unrealized Losses | 0 | ||
Fair Value | 0 | ||
Held to maturity | |||
Investment securities, held to maturity | 37,101 | 40,447 | |
Gross Unrealized Gains | 0 | 0 | |
Gross Unrealized Losses | (4,346) | (442) | |
Fair Value | $ 32,755 | 40,005 | |
As Reported | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Loans, net of allowance for credit losses | 3,553,345 | ||
Total assets | 7,374,903 | ||
Borrowings | 675,753 | ||
Total liabilities | 6,651,694 | ||
Total liabilities and stockholders' equity | 7,374,903 | ||
Net change in loans | 347,010 | ||
Net cash provided by investing activities | (209,009) | ||
Proceeds from borrowings | 83 | ||
Net cash provided by financing activities | 202,691 | ||
Net Change in Cash and Cash Equivalents | 54,460 | ||
As Reported | Mortgage–backed pools | |||
Available for sale | |||
Amortized Cost | 257,185 | ||
Gross Unrealized Gains | 1,914 | ||
Gross Unrealized Losses | (1,408) | ||
Fair Value | 257,691 | ||
Held to maturity | |||
Investment securities, held to maturity | 288,384 | ||
Gross Unrealized Gains | 209 | ||
Gross Unrealized Losses | (4,452) | ||
Fair Value | 284,141 | ||
As Reported | Federal agency mortgage-backed pools | |||
Available for sale | |||
Amortized Cost | 225,329 | ||
Gross Unrealized Gains | 1,777 | ||
Gross Unrealized Losses | (1,032) | ||
Fair Value | 226,074 | ||
Held to maturity | |||
Investment securities, held to maturity | 188,426 | ||
Gross Unrealized Gains | 151 | ||
Gross Unrealized Losses | (2,612) | ||
Fair Value | 185,965 | ||
As Reported | Private labeled mortgage-backed pools | |||
Available for sale | |||
Amortized Cost | 31,856 | ||
Gross Unrealized Gains | 137 | ||
Gross Unrealized Losses | (376) | ||
Fair Value | 31,617 | ||
Held to maturity | |||
Investment securities, held to maturity | 99,958 | ||
Gross Unrealized Gains | 58 | ||
Gross Unrealized Losses | (1,840) | ||
Fair Value | 98,176 | ||
Adjustment | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Loans, net of allowance for credit losses | 36,986 | ||
Total assets | 36,986 | ||
Borrowings | 36,986 | ||
Total liabilities | 36,986 | ||
Total liabilities and stockholders' equity | 36,986 | ||
Net change in loans | (3,312) | ||
Net cash provided by investing activities | (3,312) | ||
Proceeds from borrowings | 3,312 | ||
Net cash provided by financing activities | $ 3,312 | ||
Adjustment | Federal agency mortgage-backed pools | |||
Available for sale | |||
Amortized Cost | 31,856 | ||
Gross Unrealized Gains | 137 | ||
Gross Unrealized Losses | (376) | ||
Fair Value | 31,617 | ||
Held to maturity | |||
Investment securities, held to maturity | 59,511 | ||
Gross Unrealized Gains | 58 | ||
Gross Unrealized Losses | (1,398) | ||
Fair Value | 58,171 | ||
Adjustment | Private labeled mortgage-backed pools | |||
Available for sale | |||
Amortized Cost | (31,856) | ||
Gross Unrealized Gains | (137) | ||
Gross Unrealized Losses | 376 | ||
Fair Value | (31,617) | ||
Held to maturity | |||
Investment securities, held to maturity | (59,511) | ||
Gross Unrealized Gains | (58) | ||
Gross Unrealized Losses | 1,398 | ||
Fair Value | $ (58,171) |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Details) $ in Thousands | Sep. 17, 2021 USD ($) business county | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Asset Acquisition [Line Items] | |||
Acquisition of goodwill | $ 154,572 | $ 154,572 | |
TCF National Bank | |||
Asset Acquisition [Line Items] | |||
Number of businesses acquired | business | 14 | ||
Number of businesses acquired in country | county | 11 | ||
Cash acquired | $ 618,167 | ||
Loans | 212,000 | ||
Fixed assets | 6,901 | ||
Cash and due from banks | $ 4,012 | ||
Premium percentage on deposits | 1.75% | ||
Customer deposits | $ 846,400 | ||
Acquisition of goodwill | 3,334 | ||
TCF National Bank | Core Deposit Intangible | |||
Asset Acquisition [Line Items] | |||
Core deposit intangible | $ 1,600 | ||
Core deposit intangible amortization period | 10 years |
Acquisitions - Schedule of Purc
Acquisitions - Schedule of Purchase Price of Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands | Sep. 17, 2021 | Jun. 30, 2022 | Dec. 31, 2021 |
Assets | |||
Goodwill | $ 154,572 | $ 154,572 | |
TCF National Bank | |||
Assets | |||
Cash and due from banks | $ 4,012 | ||
Commercial | 101,327 | ||
Residential mortgage | 56,499 | ||
Consumer | 54,212 | ||
Total loans | 212,038 | ||
Premises and equipment, net | 6,901 | ||
Goodwill | 3,334 | ||
Core deposit intangible | 1,630 | ||
Interest receivable | 519 | ||
Other assets | 1,102 | ||
Total assets purchased | 229,536 | ||
Liabilities | |||
Non-interest bearing | 181,403 | ||
NOW accounts | 303,050 | ||
Savings and money market | 262,488 | ||
Certificates of deposit | 99,468 | ||
Total deposits | 846,409 | ||
Interest payable | 16 | ||
Other liabilities | 1,278 | ||
Total liabilities assumed | 847,703 | ||
Net cash received | $ (618,167) |
Securities - Fair Value of Secu
Securities - Fair Value of Securities (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Available for sale | ||
Amortized Cost | $ 1,162,976 | $ 1,153,611 |
Gross Unrealized Gains | 462 | 16,800 |
Gross Unrealized Losses | (122,418) | (9,599) |
Fair Value | 1,041,020 | 1,160,812 |
Held to maturity | ||
Amortized Cost | 2,052,772 | 1,552,443 |
Gross Unrealized Gains | 456 | 20,954 |
Gross Unrealized Losses | (299,014) | (13,406) |
Fair Value | 1,754,214 | 1,559,991 |
U.S. Treasury and federal agencies | ||
Available for sale | ||
Amortized Cost | 294,793 | 118,595 |
Gross Unrealized Gains | 0 | 82 |
Gross Unrealized Losses | (19,617) | (1,698) |
Fair Value | 275,176 | 116,979 |
Held to maturity | ||
Amortized Cost | 295,386 | 195,429 |
Gross Unrealized Gains | 0 | 12 |
Gross Unrealized Losses | (34,138) | (1,215) |
Fair Value | 261,248 | 194,226 |
State and municipal | ||
Available for sale | ||
Amortized Cost | 507,128 | 632,652 |
Gross Unrealized Gains | 256 | 12,802 |
Gross Unrealized Losses | (69,217) | (5,708) |
Fair Value | 438,167 | 639,746 |
Held to maturity | ||
Amortized Cost | 1,135,751 | 862,461 |
Gross Unrealized Gains | 456 | 20,719 |
Gross Unrealized Losses | (184,215) | (4,263) |
Fair Value | 951,992 | 878,917 |
Federal agency collateralized mortgage obligations | ||
Available for sale | ||
Amortized Cost | 41,329 | 60,600 |
Gross Unrealized Gains | 0 | 989 |
Gross Unrealized Losses | (1,043) | (12) |
Fair Value | 40,286 | 61,577 |
Held to maturity | ||
Amortized Cost | 59,694 | 48,482 |
Gross Unrealized Gains | 0 | 3 |
Gross Unrealized Losses | (6,160) | (1,020) |
Fair Value | 53,534 | 47,465 |
Federal agency mortgage-backed pools | ||
Available for sale | ||
Amortized Cost | 235,337 | 257,185 |
Gross Unrealized Gains | 8 | 1,914 |
Gross Unrealized Losses | (24,860) | (1,408) |
Fair Value | 210,485 | 257,691 |
Held to maturity | ||
Amortized Cost | 360,446 | 247,937 |
Gross Unrealized Gains | 0 | 209 |
Gross Unrealized Losses | (46,620) | (4,010) |
Fair Value | 313,826 | 244,136 |
Private labeled mortgage-backed pools | ||
Available for sale | ||
Amortized Cost | 0 | |
Gross Unrealized Gains | 0 | |
Gross Unrealized Losses | 0 | |
Fair Value | 0 | |
Held to maturity | ||
Amortized Cost | 37,101 | 40,447 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (4,346) | (442) |
Fair Value | 32,755 | 40,005 |
Corporate notes | ||
Available for sale | ||
Amortized Cost | 84,389 | 84,579 |
Gross Unrealized Gains | 198 | 1,013 |
Gross Unrealized Losses | (7,681) | (773) |
Fair Value | 76,906 | 84,819 |
Held to maturity | ||
Amortized Cost | 164,394 | 157,687 |
Gross Unrealized Gains | 0 | 11 |
Gross Unrealized Losses | (23,535) | (2,456) |
Fair Value | $ 140,859 | $ 155,242 |
Securities - Amortized Cost and
Securities - Amortized Cost and Fair Value of Securities Available for Sale and Held to Maturity (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost within one year | $ 1,228 | $ 22,980 |
Amortized cost one to five years | 293,825 | 156,677 |
Amortized cost for five to ten years | 281,389 | 315,630 |
Amortized cost for after ten years | 309,868 | 340,539 |
Available for sale | 886,310 | 835,826 |
Amortized Cost | 1,162,976 | 1,153,611 |
Within one year, amortized cost | 36,037 | 5,222 |
One to five years, amortized cost | 202,480 | 65,739 |
Five to ten years, amortized cost | 349,467 | 273,720 |
After ten years, amortized cost | 1,007,547 | 870,896 |
Total amortized cost | 1,595,531 | 1,215,577 |
Investment securities, held to maturity | 2,052,772 | 1,552,443 |
Fair value within one year | 1,225 | 22,984 |
Fair value for one to five years | 276,489 | 156,397 |
Fair value for five to ten years | 251,923 | 316,125 |
Fair value for after ten years | 260,612 | 346,038 |
Total fair value | 790,249 | 841,544 |
Investment securities, available for sale | 1,041,020 | 1,160,812 |
Within one year, fair value | 35,818 | 5,265 |
One to five years, fair value | 195,376 | 66,982 |
Five to ten years, fair value | 313,467 | 275,308 |
After ten years, fair value | 809,438 | 880,830 |
Total fair value | 1,354,099 | 1,228,385 |
Fair Value | 1,754,214 | 1,559,991 |
Federal agency collateralized mortgage obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available for sale | 41,329 | 60,600 |
Amortized Cost | 41,329 | 60,600 |
Investment securities, held to maturity | 59,694 | 48,482 |
Investment securities, available for sale | 40,286 | 61,577 |
Fair Value | 53,534 | 47,465 |
Federal agency mortgage-backed pools | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available for sale | 235,337 | 257,185 |
Amortized Cost | 235,337 | 257,185 |
Investment securities, held to maturity | 360,446 | 247,937 |
Investment securities, available for sale | 210,485 | 257,691 |
Fair Value | 313,826 | 244,136 |
Private labeled mortgage-backed pools | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 0 | |
Investment securities, held to maturity | 37,101 | 40,447 |
Investment securities, available for sale | 0 | |
Fair Value | $ 32,755 | $ 40,005 |
Securities - Gross Unrealized L
Securities - Gross Unrealized Losses and Fair Value of Company's Investments (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value less than 12 months | $ 2,410,434 | $ 1,500,686 |
Unrealized losses less than 12 months | (363,840) | (21,993) |
Fair value more than 12 months | 268,035 | 35,281 |
Unrealized losses more than 12 months | (57,592) | (1,012) |
Total fair value | 2,678,469 | 1,535,967 |
Total unrealized losses | (421,432) | (23,005) |
U.S. Treasury and federal agencies | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value less than 12 months | 478,535 | 268,732 |
Unrealized losses less than 12 months | (45,494) | (2,483) |
Fair value more than 12 months | 57,639 | 15,820 |
Unrealized losses more than 12 months | (8,261) | (430) |
Total fair value | 536,174 | 284,552 |
Total unrealized losses | (53,755) | (2,913) |
State and municipal | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value less than 12 months | 1,122,880 | 539,882 |
Unrealized losses less than 12 months | (212,110) | (9,389) |
Fair value more than 12 months | 153,945 | 19,461 |
Unrealized losses more than 12 months | (41,323) | (582) |
Total fair value | 1,276,825 | 559,343 |
Total unrealized losses | (253,433) | (9,971) |
Federal agency collateralized mortgage obligations | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value less than 12 months | 93,150 | 56,027 |
Unrealized losses less than 12 months | (7,203) | (1,032) |
Fair value more than 12 months | 0 | 0 |
Unrealized losses more than 12 months | 0 | 0 |
Total fair value | 93,150 | 56,027 |
Total unrealized losses | (7,203) | (1,032) |
Federal agency mortgage-backed pools | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value less than 12 months | 483,127 | 406,540 |
Unrealized losses less than 12 months | (66,195) | (5,418) |
Fair value more than 12 months | 39,318 | 0 |
Unrealized losses more than 12 months | (5,284) | 0 |
Total fair value | 522,445 | 406,540 |
Total unrealized losses | (71,479) | (5,418) |
Private labeled mortgage-backed pools | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value less than 12 months | 32,755 | 40,005 |
Unrealized losses less than 12 months | (4,346) | (442) |
Fair value more than 12 months | 0 | 0 |
Unrealized losses more than 12 months | 0 | 0 |
Total fair value | 32,755 | 40,005 |
Total unrealized losses | (4,346) | (442) |
Corporate notes | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Fair value less than 12 months | 199,987 | 189,500 |
Unrealized losses less than 12 months | (28,492) | (3,229) |
Fair value more than 12 months | 17,133 | 0 |
Unrealized losses more than 12 months | (2,724) | 0 |
Total fair value | 217,120 | 189,500 |
Total unrealized losses | $ (31,216) | $ (3,229) |
Securities - Additional Informa
Securities - Additional Information (Details) - USD ($) | Jun. 30, 2022 | Dec. 31, 2021 |
Investments, Debt and Equity Securities [Abstract] | ||
Allowance for credit losses for available for sale debt securities | $ 0 | $ 0 |
Accrued interest receivable on available for sale debt securities | $ 17,300,000 | $ 14,600,000 |
Securities - Sales of Securitie
Securities - Sales of Securities Available for Sale (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Proceeds | $ 0 | $ 0 | $ 0 | $ 27,514 |
Gross gains | 0 | 0 | 0 | 914 |
Gross losses | $ 0 | $ 0 | $ 0 | $ 0 |
Loans - Loans Outstanding by Po
Loans - Loans Outstanding by Portfolio Class (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | $ 3,937,810 | $ 3,644,617 | ||||
Allowance for credit losses | (52,350) | $ (52,508) | (54,286) | $ (55,655) | $ (57,186) | $ (57,027) |
Net loans | 3,885,460 | 3,590,331 | ||||
Commercial | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 2,363,991 | 2,213,945 | ||||
Allowance for credit losses | (34,802) | (37,789) | (40,775) | (41,772) | (42,980) | (42,210) |
Commercial | Owner occupied real estate | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 585,648 | 560,887 | ||||
Commercial | Non–owner occupied real estate | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 1,159,808 | 1,088,470 | ||||
Commercial | Residential spec homes | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 11,320 | 9,907 | ||||
Commercial | Development & spec land | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 24,913 | 24,473 | ||||
Commercial | Commercial and industrial | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 582,302 | 530,208 | ||||
Real estate | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 725,070 | 703,413 | ||||
Allowance for credit losses | (4,422) | (4,351) | (3,856) | (4,108) | (4,229) | (4,620) |
Real estate | Residential mortgage | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 576,353 | 563,811 | ||||
Real estate | Residential construction | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 32,229 | 30,571 | ||||
Real estate | Mortgage warehouse | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 116,488 | 109,031 | ||||
Consumer | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 848,749 | 727,259 | ||||
Allowance for credit losses | (12,059) | $ (9,313) | (8,596) | $ (8,620) | $ (8,814) | $ (8,930) |
Consumer | Direct installment | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 59,833 | 63,714 | ||||
Consumer | Indirect installment | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | 466,267 | 372,575 | ||||
Consumer | Home equity | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Total loans | $ 322,649 | $ 290,970 |
Loans - Additional Information
Loans - Additional Information (Details) | 6 Months Ended | ||
Jun. 30, 2022 USD ($) payment | Jun. 30, 2021 USD ($) | Dec. 31, 2021 USD ($) | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Paycheck protection program | $ 2,300,000 | $ 25,800,000 | |
Deferred loan costs | $ 2,600,000 | 1,900,000 | |
Period of loan sold by mortgage company | 30 days | ||
Minimum period seldom held | 90 days | ||
Mortgage warehousing maximum pay off period | 30 days | ||
Nonaccrual interest income | $ 0 | $ 0 | |
Non–accrual | 16,116,000 | 14,962,000 | |
Non-performing TDRs | $ 1,300,000 | 1,500,000 | |
Restructured loan returned to accruing status number of consecutive payments of loan | payment | 6 | ||
Restructured loan reported in TDRs | $ 3,880,000 | 3,912,000 | |
Specific reserves allocated to troubled debt restructuring | 0 | ||
Minimum | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Loans with an aggregate credit exposure | $ 3,000,000 | ||
Loans classified as TDR after a period (in days) | 90 days | ||
Minimum | Good Pass | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of consecutive years of profit for good pass rating (in years) | 3 years | ||
Number of consecutive years of profit unaudited financial information for good pass rating (in years) | 5 years | ||
Number of years of satisfactory relationship with bank for good pass rating (in years) | 5 years | ||
Maximum | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Loans with an aggregate credit exposure | $ 6,000,000 | ||
Loans classified as TDR after a period (in days) | 120 days | ||
Maximum | Satisfactory Pass | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Minimum number of years of satisfactory repayment required for satisfactory pass rating (in years) | 2 years | ||
CARES Act | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Restructured loan reported in TDRs | $ 771,000 | $ 10,900,000 | |
Performing | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Restructured loan reported in TDRs | 2,500,000 | ||
Number TDRs returned to accrual status | 2 | ||
Loans Purchased With Evidence of Credit Deterioration | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Non–accrual | 2,000,000 | ||
Non-performing TDRs | $ 261,000 |
Loans - Non-accrual, Loans Past
Loans - Non-accrual, Loans Past Due Over 90 Days Still on Accrual, and Troubled Debt Restructured ("TDRs") by Class of Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | $ 16,116 | $ 14,962 |
Loans Past Due Over 90 Days Still Accruing | 210 | 145 |
Non–performing TDRs | 1,345 | 1,521 |
Performing TDRs | 2,535 | 2,391 |
Total Non–performing Loans | 20,206 | 19,019 |
Non–performing with no Allowance for Credit Losses | 16,676 | 16,727 |
Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 7,163 | 6,621 |
Loans Past Due Over 90 Days Still Accruing | 0 | 0 |
Non–performing TDRs | 0 | 285 |
Performing TDRs | 845 | 603 |
Total Non–performing Loans | 8,008 | 7,509 |
Non–performing with no Allowance for Credit Losses | 4,478 | 5,217 |
Commercial | Owner occupied real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 4,229 | 4,247 |
Loans Past Due Over 90 Days Still Accruing | 0 | 0 |
Non–performing TDRs | 0 | 0 |
Performing TDRs | 568 | 603 |
Total Non–performing Loans | 4,797 | 4,850 |
Non–performing with no Allowance for Credit Losses | 2,557 | 2,796 |
Commercial | Non–owner occupied real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 619 | 761 |
Loans Past Due Over 90 Days Still Accruing | 0 | 0 |
Non–performing TDRs | 0 | 285 |
Performing TDRs | 277 | 0 |
Total Non–performing Loans | 896 | 1,046 |
Non–performing with no Allowance for Credit Losses | 896 | 1,046 |
Commercial | Residential spec homes | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 101 | 0 |
Loans Past Due Over 90 Days Still Accruing | 0 | 0 |
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total Non–performing Loans | 101 | 0 |
Non–performing with no Allowance for Credit Losses | 101 | 0 |
Commercial | Development & spec land | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 815 | 919 |
Loans Past Due Over 90 Days Still Accruing | 0 | 0 |
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total Non–performing Loans | 815 | 919 |
Non–performing with no Allowance for Credit Losses | 65 | 919 |
Commercial | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 1,399 | 694 |
Loans Past Due Over 90 Days Still Accruing | 0 | 0 |
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total Non–performing Loans | 1,399 | 694 |
Non–performing with no Allowance for Credit Losses | 859 | 456 |
Real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 6,113 | 5,626 |
Loans Past Due Over 90 Days Still Accruing | 0 | 66 |
Non–performing TDRs | 998 | 892 |
Performing TDRs | 1,358 | 1,421 |
Total Non–performing Loans | 8,469 | 8,005 |
Non–performing with no Allowance for Credit Losses | 8,469 | 8,005 |
Real estate | Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 6,113 | 5,626 |
Loans Past Due Over 90 Days Still Accruing | 0 | 66 |
Non–performing TDRs | 998 | 892 |
Performing TDRs | 1,358 | 1,421 |
Total Non–performing Loans | 8,469 | 8,005 |
Non–performing with no Allowance for Credit Losses | 8,469 | 8,005 |
Real estate | Residential construction | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 0 | 0 |
Loans Past Due Over 90 Days Still Accruing | 0 | 0 |
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total Non–performing Loans | 0 | 0 |
Non–performing with no Allowance for Credit Losses | 0 | 0 |
Real estate | Mortgage warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 0 | 0 |
Loans Past Due Over 90 Days Still Accruing | 0 | 0 |
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total Non–performing Loans | 0 | 0 |
Non–performing with no Allowance for Credit Losses | 0 | 0 |
Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 2,840 | 2,715 |
Loans Past Due Over 90 Days Still Accruing | 210 | 79 |
Non–performing TDRs | 347 | 344 |
Performing TDRs | 332 | 367 |
Total Non–performing Loans | 3,729 | 3,505 |
Non–performing with no Allowance for Credit Losses | 3,729 | 3,505 |
Consumer | Direct installment | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 132 | 7 |
Loans Past Due Over 90 Days Still Accruing | 0 | 0 |
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total Non–performing Loans | 132 | 7 |
Non–performing with no Allowance for Credit Losses | 132 | 7 |
Consumer | Indirect installment | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 479 | 538 |
Loans Past Due Over 90 Days Still Accruing | 210 | 15 |
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total Non–performing Loans | 689 | 553 |
Non–performing with no Allowance for Credit Losses | 689 | 553 |
Consumer | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Non–accrual | 2,229 | 2,170 |
Loans Past Due Over 90 Days Still Accruing | 0 | 64 |
Non–performing TDRs | 347 | 344 |
Performing TDRs | 332 | 367 |
Total Non–performing Loans | 2,908 | 2,945 |
Non–performing with no Allowance for Credit Losses | $ 2,908 | $ 2,945 |
Loans - Payment Status by Class
Loans - Payment Status by Class of Loan (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Past Due [Line Items] | ||
Current | $ 3,913,400 | $ 3,619,453 |
Total past due | 3,937,810 | 3,644,617 |
Total Past Due Loans | 6,949 | 8,681 |
Total Loans | 3,920,349 | 3,628,134 |
30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 5,196 | 7,892 |
60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 1,543 | 644 |
90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 210 | 145 |
Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 2,355,758 | 2,203,431 |
Total past due | 2,363,991 | 2,213,945 |
Total Past Due Loans | 1,070 | 3,608 |
Total Loans | 2,356,828 | 2,207,039 |
Commercial | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 870 | 3,529 |
Commercial | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 200 | 79 |
Commercial | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Commercial | Owner occupied real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 580,910 | 555,851 |
Total past due | 585,648 | 560,887 |
Total Past Due Loans | 509 | 789 |
Total Loans | 581,419 | 556,640 |
Commercial | Owner occupied real estate | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 480 | 789 |
Commercial | Owner occupied real estate | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 29 | 0 |
Commercial | Owner occupied real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Commercial | Non–owner occupied real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 1,159,079 | 1,085,716 |
Total past due | 1,159,808 | 1,088,470 |
Total Past Due Loans | 110 | 1,708 |
Total Loans | 1,159,189 | 1,087,424 |
Commercial | Non–owner occupied real estate | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 110 | 1,708 |
Commercial | Non–owner occupied real estate | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Commercial | Non–owner occupied real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Commercial | Residential spec homes | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 11,219 | 9,907 |
Total past due | 11,320 | 9,907 |
Total Past Due Loans | 0 | 0 |
Total Loans | 11,219 | 9,907 |
Commercial | Residential spec homes | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Commercial | Residential spec homes | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Commercial | Residential spec homes | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Commercial | Development & spec land | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 24,085 | 23,496 |
Total past due | 24,913 | 24,473 |
Total Past Due Loans | 13 | 58 |
Total Loans | 24,098 | 23,554 |
Commercial | Development & spec land | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 58 |
Commercial | Development & spec land | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 13 | 0 |
Commercial | Development & spec land | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Commercial | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 580,465 | 528,461 |
Total past due | 582,302 | 530,208 |
Total Past Due Loans | 438 | 1,053 |
Total Loans | 580,903 | 529,514 |
Commercial | Commercial and industrial | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 280 | 974 |
Commercial | Commercial and industrial | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 158 | 79 |
Commercial | Commercial and industrial | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 715,775 | 695,730 |
Total past due | 725,070 | 703,413 |
Total Past Due Loans | 2,184 | 1,165 |
Total Loans | 717,959 | 696,895 |
Real estate | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 1,866 | 834 |
Real estate | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 318 | 265 |
Real estate | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 66 |
Real estate | Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 567,058 | 556,128 |
Total past due | 576,353 | 563,811 |
Total Past Due Loans | 2,184 | 1,165 |
Total Loans | 569,242 | 557,293 |
Real estate | Residential mortgage | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 1,866 | 834 |
Real estate | Residential mortgage | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 318 | 265 |
Real estate | Residential mortgage | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 66 |
Real estate | Residential construction | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 32,229 | 30,571 |
Total past due | 32,229 | 30,571 |
Total Past Due Loans | 0 | 0 |
Total Loans | 32,229 | 30,571 |
Real estate | Residential construction | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Real estate | Residential construction | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Real estate | Residential construction | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Real estate | Mortgage warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 116,488 | 109,031 |
Total past due | 116,488 | 109,031 |
Total Past Due Loans | 0 | 0 |
Total Loans | 116,488 | 109,031 |
Real estate | Mortgage warehouse | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Real estate | Mortgage warehouse | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Real estate | Mortgage warehouse | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 841,867 | 720,292 |
Total past due | 848,749 | 727,259 |
Total Past Due Loans | 3,695 | 3,908 |
Total Loans | 845,562 | 724,200 |
Consumer | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 2,460 | 3,529 |
Consumer | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 1,025 | 300 |
Consumer | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 210 | 79 |
Consumer | Direct installment | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 59,585 | 63,295 |
Total past due | 59,833 | 63,714 |
Total Past Due Loans | 116 | 412 |
Total Loans | 59,701 | 63,707 |
Consumer | Direct installment | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 113 | 409 |
Consumer | Direct installment | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 3 | 3 |
Consumer | Direct installment | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 0 | 0 |
Consumer | Indirect installment | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 463,474 | 369,615 |
Total past due | 466,267 | 372,575 |
Total Past Due Loans | 2,314 | 2,422 |
Total Loans | 465,788 | 372,037 |
Consumer | Indirect installment | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 1,586 | 2,271 |
Consumer | Indirect installment | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 518 | 136 |
Consumer | Indirect installment | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 210 | 15 |
Consumer | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Current | 318,808 | 287,382 |
Total past due | 322,649 | 290,970 |
Total Past Due Loans | 1,265 | 1,074 |
Total Loans | 320,073 | 288,456 |
Consumer | Home equity | 30–59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 761 | 849 |
Consumer | Home equity | 60–89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | 504 | 161 |
Consumer | Home equity | 90 Days or Greater Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total past due | $ 0 | $ 64 |
Loans - Schedule of TDRs by Loa
Loans - Schedule of TDRs by Loan Portfolio (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | $ 1,345 | $ 1,521 |
Performing TDRs | 2,535 | 2,391 |
Total | 3,880 | 3,912 |
Commercial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 285 |
Performing TDRs | 845 | 603 |
Total | 845 | 888 |
Commercial | Owner occupied real estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 0 |
Performing TDRs | 568 | 603 |
Total | 568 | 603 |
Commercial | Non–owner occupied real estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 285 |
Performing TDRs | 277 | 0 |
Total | 277 | 285 |
Commercial | Residential spec homes | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total | 0 | 0 |
Commercial | Development & spec land | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total | 0 | 0 |
Commercial | Commercial and industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total | 0 | 0 |
Real estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 998 | 892 |
Performing TDRs | 1,358 | 1,421 |
Total | 2,356 | 2,313 |
Real estate | Residential mortgage | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 998 | 892 |
Performing TDRs | 1,358 | 1,421 |
Total | 2,356 | 2,313 |
Real estate | Residential construction | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total | 0 | 0 |
Real estate | Mortgage warehouse | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total | 0 | 0 |
Consumer | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 347 | 344 |
Performing TDRs | 332 | 367 |
Total | 679 | 711 |
Consumer | Direct installment | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total | 0 | 0 |
Consumer | Indirect installment | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 0 | 0 |
Performing TDRs | 0 | 0 |
Total | 0 | 0 |
Consumer | Home equity | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Non–performing TDRs | 347 | 344 |
Performing TDRs | 332 | 367 |
Total | $ 679 | $ 711 |
Loans - Collateral Pledged Loan
Loans - Collateral Pledged Loans (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | $ 3,937,810 | $ 3,644,617 |
Collateral Pledged | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 10,510 | 15,936 |
ACL Allocation | 1,065 | 760 |
Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 8,945 | 14,615 |
Accounts Receivable/Equipment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 1,555 | 1,321 |
Other | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 10 | 0 |
Commercial | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 2,363,991 | 2,213,945 |
Commercial | Collateral Pledged | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 10,510 | 15,936 |
ACL Allocation | 1,065 | 760 |
Commercial | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 8,945 | 14,615 |
Commercial | Accounts Receivable/Equipment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 1,555 | 1,321 |
Commercial | Other | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 10 | 0 |
Commercial | Owner occupied real estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 585,648 | 560,887 |
Commercial | Owner occupied real estate | Collateral Pledged | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 5,373 | 11,304 |
ACL Allocation | 751 | 632 |
Commercial | Owner occupied real estate | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 4,863 | 11,201 |
Commercial | Owner occupied real estate | Accounts Receivable/Equipment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 510 | 103 |
Commercial | Owner occupied real estate | Other | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 0 | 0 |
Commercial | Non–owner occupied real estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 1,159,808 | 1,088,470 |
Commercial | Non–owner occupied real estate | Collateral Pledged | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 2,630 | 2,068 |
ACL Allocation | 0 | 0 |
Commercial | Non–owner occupied real estate | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 2,630 | 2,068 |
Commercial | Non–owner occupied real estate | Accounts Receivable/Equipment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 0 | 0 |
Commercial | Non–owner occupied real estate | Other | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 0 | 0 |
Commercial | Residential spec homes | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 11,320 | 9,907 |
Commercial | Residential spec homes | Collateral Pledged | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 101 | 0 |
ACL Allocation | 0 | 0 |
Commercial | Residential spec homes | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 101 | 0 |
Commercial | Residential spec homes | Accounts Receivable/Equipment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 0 | 0 |
Commercial | Residential spec homes | Other | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 0 | 0 |
Commercial | Development & spec land | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 24,913 | 24,473 |
Commercial | Development & spec land | Collateral Pledged | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 815 | 919 |
ACL Allocation | 72 | 0 |
Commercial | Development & spec land | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 815 | 919 |
Commercial | Development & spec land | Accounts Receivable/Equipment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 0 | 0 |
Commercial | Development & spec land | Other | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 0 | 0 |
Commercial | Commercial and industrial | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 582,302 | 530,208 |
Commercial | Commercial and industrial | Collateral Pledged | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 1,591 | 1,645 |
ACL Allocation | 242 | 128 |
Commercial | Commercial and industrial | Real Estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 536 | 427 |
Commercial | Commercial and industrial | Accounts Receivable/Equipment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | 1,045 | 1,218 |
Commercial | Commercial and industrial | Other | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans | $ 10 | $ 0 |
Loans - Loans by Credit Grades
Loans - Loans by Credit Grades (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total | $ 3,937,810 | $ 3,644,617 |
Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 283,321 | 465,638 |
Fiscal year before current fiscal year | 431,722 | 221,624 |
Two year before current fiscal year | 224,841 | 239,891 |
Three year before current fiscal year | 216,459 | 201,914 |
Four year before current fiscal year | 201,683 | 256,504 |
Prior | 700,117 | 541,557 |
Revolving Loans | 305,848 | 286,817 |
Total | 2,363,991 | 2,213,945 |
Commercial | Owner occupied real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 59,536 | 86,798 |
Fiscal year before current fiscal year | 91,027 | 59,864 |
Two year before current fiscal year | 54,330 | 65,131 |
Three year before current fiscal year | 54,778 | 50,289 |
Four year before current fiscal year | 46,102 | 55,766 |
Prior | 215,013 | 180,381 |
Revolving Loans | 64,862 | 62,658 |
Total | 585,648 | 560,887 |
Commercial | Owner occupied real estate | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 59,036 | 86,798 |
Fiscal year before current fiscal year | 83,995 | 58,789 |
Two year before current fiscal year | 53,337 | 61,134 |
Three year before current fiscal year | 51,638 | 43,903 |
Four year before current fiscal year | 42,377 | 46,530 |
Prior | 196,669 | 159,351 |
Revolving Loans | 58,971 | 60,539 |
Total | 546,023 | 517,044 |
Commercial | Owner occupied real estate | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 6,775 | 72 |
Two year before current fiscal year | 0 | 2,685 |
Three year before current fiscal year | 2,130 | 3,194 |
Four year before current fiscal year | 599 | 7,279 |
Prior | 6,908 | 11,451 |
Revolving Loans | 0 | 1,345 |
Total | 16,412 | 26,026 |
Commercial | Owner occupied real estate | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 500 | 0 |
Fiscal year before current fiscal year | 257 | 1,003 |
Two year before current fiscal year | 993 | 1,312 |
Three year before current fiscal year | 1,010 | 3,192 |
Four year before current fiscal year | 3,126 | 1,957 |
Prior | 11,436 | 9,579 |
Revolving Loans | 5,891 | 774 |
Total | 23,213 | 17,817 |
Commercial | Owner occupied real estate | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 0 |
Total | 0 | 0 |
Commercial | Non–owner occupied real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 119,235 | 176,258 |
Fiscal year before current fiscal year | 179,592 | 109,304 |
Two year before current fiscal year | 128,270 | 127,798 |
Three year before current fiscal year | 121,746 | 95,104 |
Four year before current fiscal year | 98,084 | 127,758 |
Prior | 340,234 | 272,005 |
Revolving Loans | 172,647 | 180,243 |
Total | 1,159,808 | 1,088,470 |
Commercial | Non–owner occupied real estate | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 119,235 | 175,538 |
Fiscal year before current fiscal year | 178,883 | 108,465 |
Two year before current fiscal year | 127,999 | 120,561 |
Three year before current fiscal year | 114,899 | 59,596 |
Four year before current fiscal year | 54,785 | 126,334 |
Prior | 328,530 | 260,362 |
Revolving Loans | 168,576 | 178,928 |
Total | 1,092,907 | 1,029,784 |
Commercial | Non–owner occupied real estate | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 839 |
Two year before current fiscal year | 271 | 1,192 |
Three year before current fiscal year | 6,847 | 34,412 |
Four year before current fiscal year | 39,724 | 999 |
Prior | 9,206 | 3,850 |
Revolving Loans | 4,071 | 515 |
Total | 60,119 | 41,807 |
Commercial | Non–owner occupied real estate | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 720 |
Fiscal year before current fiscal year | 709 | 0 |
Two year before current fiscal year | 0 | 6,045 |
Three year before current fiscal year | 0 | 1,096 |
Four year before current fiscal year | 3,575 | 425 |
Prior | 2,498 | 7,793 |
Revolving Loans | 0 | 800 |
Total | 6,782 | 16,879 |
Commercial | Non–owner occupied real estate | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 0 |
Total | 0 | 0 |
Commercial | Residential spec homes | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 305 | 1,115 |
Fiscal year before current fiscal year | 3,519 | 254 |
Two year before current fiscal year | 66 | 155 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 2,087 | 1,346 |
Revolving Loans | 5,343 | 7,037 |
Total | 11,320 | 9,907 |
Commercial | Residential spec homes | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 305 | 1,115 |
Fiscal year before current fiscal year | 3,519 | 254 |
Two year before current fiscal year | 66 | 155 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 2,087 | 1,346 |
Revolving Loans | 5,242 | 7,037 |
Total | 11,219 | 9,907 |
Commercial | Residential spec homes | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 0 |
Total | 0 | 0 |
Commercial | Residential spec homes | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 101 | 0 |
Total | 101 | 0 |
Commercial | Residential spec homes | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 0 |
Total | 0 | 0 |
Commercial | Development & spec land | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 369 | 2,282 |
Fiscal year before current fiscal year | 1,459 | 536 |
Two year before current fiscal year | 477 | 503 |
Three year before current fiscal year | 408 | 11 |
Four year before current fiscal year | 8 | 3,594 |
Prior | 12,208 | 8,962 |
Revolving Loans | 9,984 | 8,585 |
Total | 24,913 | 24,473 |
Commercial | Development & spec land | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 369 | 2,282 |
Fiscal year before current fiscal year | 1,459 | 536 |
Two year before current fiscal year | 477 | 503 |
Three year before current fiscal year | 408 | 11 |
Four year before current fiscal year | 8 | 3,583 |
Prior | 11,852 | 8,496 |
Revolving Loans | 9,236 | 7,837 |
Total | 23,809 | 23,248 |
Commercial | Development & spec land | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 161 | 177 |
Revolving Loans | 0 | 0 |
Total | 161 | 177 |
Commercial | Development & spec land | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 11 |
Prior | 195 | 289 |
Revolving Loans | 748 | 748 |
Total | 943 | 1,048 |
Commercial | Development & spec land | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 0 |
Total | 0 | 0 |
Commercial | Commercial and industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 103,876 | 199,185 |
Fiscal year before current fiscal year | 156,125 | 51,666 |
Two year before current fiscal year | 41,698 | 46,304 |
Three year before current fiscal year | 39,527 | 56,510 |
Four year before current fiscal year | 57,489 | 69,386 |
Prior | 130,575 | 78,863 |
Revolving Loans | 53,012 | 28,294 |
Total | 582,302 | 530,208 |
Commercial | Commercial and industrial | Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 103,523 | 198,482 |
Fiscal year before current fiscal year | 153,070 | 48,245 |
Two year before current fiscal year | 38,644 | 43,003 |
Three year before current fiscal year | 36,734 | 47,986 |
Four year before current fiscal year | 43,168 | 64,292 |
Prior | 119,929 | 69,589 |
Revolving Loans | 48,587 | 23,647 |
Total | 543,655 | 495,244 |
Commercial | Commercial and industrial | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 263 | 592 |
Fiscal year before current fiscal year | 2,526 | 3,278 |
Two year before current fiscal year | 30 | 2,090 |
Three year before current fiscal year | 1,321 | 4,588 |
Four year before current fiscal year | 10,558 | 3,781 |
Prior | 6,009 | 7,427 |
Revolving Loans | 1,800 | 3,295 |
Total | 22,507 | 25,051 |
Commercial | Commercial and industrial | Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 90 | 111 |
Fiscal year before current fiscal year | 529 | 143 |
Two year before current fiscal year | 3,024 | 1,211 |
Three year before current fiscal year | 1,472 | 3,936 |
Four year before current fiscal year | 3,763 | 1,313 |
Prior | 4,637 | 1,847 |
Revolving Loans | 2,625 | 1,352 |
Total | 16,140 | 9,913 |
Commercial | Commercial and industrial | Doubtful | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 0 |
Total | 0 | 0 |
Real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 53,523 | 116,118 |
Fiscal year before current fiscal year | 140,135 | 105,129 |
Two year before current fiscal year | 99,119 | 45,139 |
Three year before current fiscal year | 36,318 | 51,632 |
Four year before current fiscal year | 40,640 | 56,396 |
Prior | 206,405 | 189,397 |
Revolving Loans | 148,930 | 139,602 |
Total | 725,070 | 703,413 |
Real estate | Residential mortgage | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 53,519 | 116,118 |
Fiscal year before current fiscal year | 140,135 | 105,129 |
Two year before current fiscal year | 99,119 | 45,139 |
Three year before current fiscal year | 36,318 | 51,632 |
Four year before current fiscal year | 40,640 | 56,396 |
Prior | 206,405 | 189,397 |
Revolving Loans | 217 | 0 |
Total | 576,353 | 563,811 |
Real estate | Residential mortgage | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 53,519 | 116,118 |
Fiscal year before current fiscal year | 140,003 | 105,051 |
Two year before current fiscal year | 98,753 | 44,691 |
Three year before current fiscal year | 35,766 | 50,778 |
Four year before current fiscal year | 39,693 | 56,330 |
Prior | 199,933 | 182,838 |
Revolving Loans | 217 | 0 |
Total | 567,884 | 555,806 |
Real estate | Residential mortgage | Non–performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 132 | 78 |
Two year before current fiscal year | 366 | 448 |
Three year before current fiscal year | 552 | 854 |
Four year before current fiscal year | 947 | 66 |
Prior | 6,472 | 6,559 |
Revolving Loans | 0 | 0 |
Total | 8,469 | 8,005 |
Real estate | Residential construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 4 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 32,225 | 30,571 |
Total | 32,229 | 30,571 |
Real estate | Residential construction | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 4 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 32,225 | 30,571 |
Total | 32,229 | 30,571 |
Real estate | Residential construction | Non–performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 0 |
Total | 0 | 0 |
Real estate | Mortgage warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 116,488 | 109,031 |
Total | 116,488 | 109,031 |
Real estate | Mortgage warehouse | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 116,488 | 109,031 |
Total | 116,488 | 109,031 |
Real estate | Mortgage warehouse | Non–performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 0 | 0 |
Four year before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans | 0 | 0 |
Total | 0 | 0 |
Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 242,298 | 259,464 |
Fiscal year before current fiscal year | 234,525 | 156,235 |
Two year before current fiscal year | 128,313 | 107,099 |
Three year before current fiscal year | 85,523 | 74,089 |
Four year before current fiscal year | 56,443 | 45,800 |
Prior | 93,755 | 76,570 |
Revolving Loans | 7,892 | 8,002 |
Total | 848,749 | 727,259 |
Consumer | Direct installment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 13,448 | 18,826 |
Fiscal year before current fiscal year | 15,162 | 12,756 |
Two year before current fiscal year | 9,099 | 13,390 |
Three year before current fiscal year | 9,962 | 7,027 |
Four year before current fiscal year | 5,117 | 6,037 |
Prior | 7,037 | 5,583 |
Revolving Loans | 8 | 95 |
Total | 59,833 | 63,714 |
Consumer | Direct installment | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 13,448 | 18,826 |
Fiscal year before current fiscal year | 15,123 | 12,756 |
Two year before current fiscal year | 9,099 | 13,390 |
Three year before current fiscal year | 9,923 | 7,027 |
Four year before current fiscal year | 5,117 | 6,036 |
Prior | 6,983 | 5,577 |
Revolving Loans | 8 | 95 |
Total | 59,701 | 63,707 |
Consumer | Direct installment | Non–performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 39 | 0 |
Two year before current fiscal year | 0 | 0 |
Three year before current fiscal year | 39 | 0 |
Four year before current fiscal year | 0 | 1 |
Prior | 54 | 6 |
Revolving Loans | 0 | 0 |
Total | 132 | 7 |
Consumer | Indirect installment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 171,661 | 160,240 |
Fiscal year before current fiscal year | 136,657 | 91,509 |
Two year before current fiscal year | 72,471 | 59,069 |
Three year before current fiscal year | 44,705 | 40,048 |
Four year before current fiscal year | 27,700 | 17,102 |
Prior | 13,073 | 4,607 |
Revolving Loans | 0 | 0 |
Total | 466,267 | 372,575 |
Consumer | Indirect installment | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 171,661 | 160,194 |
Fiscal year before current fiscal year | 136,528 | 91,416 |
Two year before current fiscal year | 72,333 | 58,907 |
Three year before current fiscal year | 44,473 | 39,956 |
Four year before current fiscal year | 27,624 | 17,014 |
Prior | 12,959 | 4,535 |
Revolving Loans | 0 | 0 |
Total | 465,578 | 372,022 |
Consumer | Indirect installment | Non–performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 0 | 46 |
Fiscal year before current fiscal year | 129 | 93 |
Two year before current fiscal year | 138 | 162 |
Three year before current fiscal year | 232 | 92 |
Four year before current fiscal year | 76 | 88 |
Prior | 114 | 72 |
Revolving Loans | 0 | 0 |
Total | 689 | 553 |
Consumer | Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 57,189 | 80,398 |
Fiscal year before current fiscal year | 82,706 | 51,970 |
Two year before current fiscal year | 46,743 | 34,640 |
Three year before current fiscal year | 30,856 | 27,014 |
Four year before current fiscal year | 23,626 | 22,661 |
Prior | 73,645 | 66,380 |
Revolving Loans | 7,884 | 7,907 |
Total | 322,649 | 290,970 |
Consumer | Home equity | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 57,170 | 80,389 |
Fiscal year before current fiscal year | 82,698 | 51,856 |
Two year before current fiscal year | 46,638 | 34,603 |
Three year before current fiscal year | 30,724 | 26,924 |
Four year before current fiscal year | 23,593 | 22,495 |
Prior | 72,350 | 65,059 |
Revolving Loans | 6,568 | 6,699 |
Total | 319,741 | 288,025 |
Consumer | Home equity | Non–performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Current fiscal year | 19 | 9 |
Fiscal year before current fiscal year | 8 | 114 |
Two year before current fiscal year | 105 | 37 |
Three year before current fiscal year | 132 | 90 |
Four year before current fiscal year | 33 | 166 |
Prior | 1,295 | 1,321 |
Revolving Loans | 1,316 | 1,208 |
Total | $ 2,908 | $ 2,945 |
Allowance for Credit and Loan_3
Allowance for Credit and Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Financing Receivable, Allowance for Credit Loss | ||||
Balance, beginning of period | $ 52,508 | $ 57,186 | $ 54,286 | $ 57,027 |
Provision for credit losses on loans | 240 | (1,492) | (1,146) | (1,125) |
PCD loan charge–offs | (114) | (370) | ||
Charge–offs | (841) | (304) | (1,208) | (735) |
Recoveries | 557 | 265 | 788 | 488 |
Balance, end of period | 52,350 | 55,655 | 52,350 | 55,655 |
Mortgage warehouse | ||||
Financing Receivable, Allowance for Credit Loss | ||||
Balance, beginning of period | 1,055 | 1,163 | 1,059 | 1,267 |
Provision for credit losses on loans | 12 | (8) | 8 | (112) |
PCD loan charge–offs | 0 | 0 | ||
Charge–offs | 0 | 0 | 0 | 0 |
Recoveries | 0 | 0 | 0 | 0 |
Balance, end of period | 1,067 | 1,155 | 1,067 | 1,155 |
Commercial | ||||
Financing Receivable, Allowance for Credit Loss | ||||
Balance, beginning of period | 37,789 | 42,980 | 40,775 | 42,210 |
Provision for credit losses on loans | (2,948) | (1,168) | (5,640) | (240) |
PCD loan charge–offs | (114) | (370) | ||
Charge–offs | (57) | (67) | (137) | (263) |
Recoveries | 132 | 27 | 174 | 65 |
Balance, end of period | 34,802 | 41,772 | 34,802 | 41,772 |
Real estate | ||||
Financing Receivable, Allowance for Credit Loss | ||||
Balance, beginning of period | 4,351 | 4,229 | 3,856 | 4,620 |
Provision for credit losses on loans | 111 | (144) | 596 | (600) |
PCD loan charge–offs | 0 | 0 | ||
Charge–offs | (58) | 0 | (58) | 0 |
Recoveries | 18 | 23 | 28 | 88 |
Balance, end of period | 4,422 | 4,108 | 4,422 | 4,108 |
Consumer | ||||
Financing Receivable, Allowance for Credit Loss | ||||
Balance, beginning of period | 9,313 | 8,814 | 8,596 | 8,930 |
Provision for credit losses on loans | 3,065 | (172) | 3,890 | (173) |
PCD loan charge–offs | 0 | 0 | ||
Charge–offs | (726) | (237) | (1,013) | (472) |
Recoveries | 407 | 215 | 586 | 335 |
Balance, end of period | $ 12,059 | $ 8,620 | $ 12,059 | $ 8,620 |
Loan Servicing - Additional Inf
Loan Servicing - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Payments for (Proceeds from) Mortgage Servicing Rights [Abstract] | |||||
Unpaid principal balances of loans serviced for others totaled | $ 1,600,000 | $ 1,600,000 | $ 1,500,000 | ||
Aggregate fair value of capitalized mortgage servicing rights | 18,800 | 18,800 | 15,200 | ||
Mortgage servicing rights, net | 18,761 | $ 14,462 | 18,761 | $ 14,462 | $ 15,200 |
Reductions | $ 0 | $ 1,608 | $ 2,594 | $ 1,843 |
Loan Servicing - Originated Mor
Loan Servicing - Originated Mortgage Servicing Rights (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | Dec. 31, 2021 | |
Servicing Asset at Fair Value, Amount [Roll Forward] | |||||
Balance, beginning of period | $ 18,592 | $ 17,812 | $ 17,780 | $ 17,644 | |
Servicing rights capitalized | 813 | 1,031 | 2,375 | 2,161 | |
Amortization of servicing rights | (644) | (1,052) | (1,394) | (2,014) | |
Balance, end of period | 18,761 | 17,791 | 18,761 | 17,791 | |
Balance, beginning of period | 0 | (4,937) | (2,594) | (5,172) | |
Additions | 0 | 0 | 0 | 0 | |
Reductions | 0 | 1,608 | 2,594 | 1,843 | |
Balance, end of period | 0 | (3,329) | 0 | (3,329) | |
Mortgage servicing rights, net | $ 18,761 | $ 14,462 | $ 18,761 | $ 14,462 | $ 15,200 |
Goodwill (Details)
Goodwill (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Acquisition of goodwill | $ 154,572,000 | $ 154,572,000 |
Goodwill impairment loss | $ 0 |
Repurchase Agreements - Summary
Repurchase Agreements - Summary of Repurchase Agreements Accounted as Secured Borrowings the Related Securities, at Fair Value, Pledged (Details) $ in Thousands | Jun. 30, 2022 USD ($) |
Assets Sold under Agreements to Repurchase [Line Items] | |
Repurchase Agreements | $ 143,694 |
Securities pledged for Repurchase Agreements | 155,031 |
Overnight and Continuous | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Repurchase Agreements | 143,694 |
Securities pledged for Repurchase Agreements | 155,031 |
Up to one year | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Repurchase Agreements | 0 |
Securities pledged for Repurchase Agreements | 0 |
One to three years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Repurchase Agreements | 0 |
Securities pledged for Repurchase Agreements | 0 |
Three to five years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Repurchase Agreements | 0 |
Securities pledged for Repurchase Agreements | 0 |
Five to ten years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Repurchase Agreements | 0 |
Securities pledged for Repurchase Agreements | 0 |
Beyond ten years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Repurchase Agreements | 0 |
Securities pledged for Repurchase Agreements | 0 |
Federal agency collateralized mortgage obligations | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 18,526 |
Federal agency collateralized mortgage obligations | Overnight and Continuous | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 18,526 |
Federal agency collateralized mortgage obligations | Up to one year | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Federal agency collateralized mortgage obligations | One to three years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Federal agency collateralized mortgage obligations | Three to five years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Federal agency collateralized mortgage obligations | Five to ten years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Federal agency collateralized mortgage obligations | Beyond ten years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Federal agency mortgage-backed pools | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 125,688 |
Federal agency mortgage-backed pools | Overnight and Continuous | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 125,688 |
Federal agency mortgage-backed pools | Up to one year | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Federal agency mortgage-backed pools | One to three years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Federal agency mortgage-backed pools | Three to five years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Federal agency mortgage-backed pools | Five to ten years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Federal agency mortgage-backed pools | Beyond ten years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Private labeled mortgage-backed pools | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 10,817 |
Private labeled mortgage-backed pools | Overnight and Continuous | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 10,817 |
Private labeled mortgage-backed pools | Up to one year | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Private labeled mortgage-backed pools | One to three years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Private labeled mortgage-backed pools | Three to five years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Private labeled mortgage-backed pools | Five to ten years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | 0 |
Private labeled mortgage-backed pools | Beyond ten years | |
Assets Sold under Agreements to Repurchase [Line Items] | |
Securities pledged for Repurchase Agreements | $ 0 |
Subordinated Notes (Details)
Subordinated Notes (Details) - USD ($) | 6 Months Ended | |
Jun. 30, 2022 | Jun. 24, 2020 | |
Debt Disclosure [Abstract] | ||
Aggregate principal amount | $ 60,000,000 | |
Interest rate | 5.625% | |
Basis spread on variable rate | 5.49% | |
Redemption price, percentage | 100% |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Dec. 31, 2021 | |
Derivative [Line Items] | ||
LIBOR period | 3 months | |
Weighted average fixed rate | 4.20% | |
Notional Amount | $ 508,992 | $ 521,551 |
Recorded period of effectiveness of cash flow hedges on net income | 12 months | |
Recorded period of effectiveness of fair value hedges on net income | 12 months | |
Recorded period of effectiveness of fair value of derivatives on net income | 12 months | |
Interest rate swap agreement | ||
Derivative [Line Items] | ||
LIBOR period | 1 month | |
Weighted average fixed rate | 2.81% | 2.81% |
LaPorte | ||
Derivative [Line Items] | ||
LIBOR period | 1 month | |
Weighted average fixed rate | 2.62% | |
Cash Flow Hedging | ||
Derivative [Line Items] | ||
Notional Amount | $ 12,000 | |
Cash Flow Hedging | Interest rate swap agreement | ||
Derivative [Line Items] | ||
Notional Amount | 50,000 | $ 50,000 |
Cash Flow Hedging | LaPorte | ||
Derivative [Line Items] | ||
Notional Amount | 10,000 | |
Fair Value Hedging | ||
Derivative [Line Items] | ||
Notional Amount | $ 496,800 | $ 489,000 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Fair Value of Derivative Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Derivatives, Fair Value [Line Items] | ||
Notional Amount | $ 508,992 | $ 521,551 |
Total asset derivatives | 24,678 | 15,456 |
Notional Amount | 521,093 | 532,597 |
Total liability derivatives | 24,432 | 18,330 |
Derivative designated as hedging instruments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 50,000 | 0 |
Total asset derivatives | 116 | 0 |
Notional Amount | 0 | 50,000 |
Total liability derivatives | 0 | 3,673 |
Derivative designated as hedging instruments | Interest rate contracts | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 50,000 | 0 |
Total asset derivatives | 116 | 0 |
Derivative designated as hedging instruments | Interest rate contracts | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 0 | 50,000 |
Total liability derivatives | 0 | 3,673 |
Not Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 508,992 | 521,551 |
Total asset derivatives | 24,562 | 15,456 |
Notional Amount | 521,093 | 532,597 |
Total liability derivatives | 24,432 | 14,657 |
Not Designated as Hedging Instrument | Interest rate contracts | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 496,820 | 488,967 |
Total asset derivatives | 24,281 | 14,419 |
Not Designated as Hedging Instrument | Interest rate contracts | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 496,820 | 488,967 |
Total liability derivatives | 24,281 | 14,419 |
Not Designated as Hedging Instrument | Mortgage loan contracts | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 0 | 0 |
Total asset derivatives | 0 | 0 |
Not Designated as Hedging Instrument | Mortgage loan contracts | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 24,273 | 43,630 |
Total liability derivatives | 151 | 238 |
Not Designated as Hedging Instrument | Commitments to originate mortgage loans | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 12,172 | 32,584 |
Total asset derivatives | 281 | 1,037 |
Not Designated as Hedging Instrument | Commitments to originate mortgage loans | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 0 | 0 |
Total liability derivatives | $ 0 | $ 0 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Effect of Derivative Instruments on Condensed Consolidated Statements of Income Derivative in Cash Flow Hedging Relationship (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Cash Flow Hedging | Interest rate contracts | ||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||
Other comprehensive income on derivative | $ 824 | $ (14) | $ 2,993 | $ 2,398 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Effect of Derivative Instruments on Consolidated Statements of Income Derivative in Fair Value Hedging Relationship (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2022 | Jun. 30, 2021 | Jun. 30, 2022 | Jun. 30, 2021 | |
Derivative designated as hedging instruments | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivative | $ 275 | $ 475 | $ 615 | $ 984 |
Derivative designated as hedging instruments | Interest expense – Borrowings | Interest rate contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivative | 275 | 475 | 615 | 984 |
Not Designated as Hedging Instrument | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivative | 353 | 696 | (669) | (545) |
Not Designated as Hedging Instrument | Non–interest income – Gain on sale of loans | Mortgage loan contracts | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivative | 434 | (5) | 87 | (545) |
Not Designated as Hedging Instrument | Non–interest income – Gain on sale of loans | Commitments to originate mortgage loans | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of gain (loss) recognized on derivative | $ (81) | $ 701 | $ (756) | $ 0 |
Disclosures about Fair Value _3
Disclosures about Fair Value of Assets and Liabilities - Fair Value Measurements of Assets and Liabilities Recognized on a Recurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 1,041,020 | $ 1,160,812 |
U.S. Treasury and federal agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 275,176 | 116,979 |
State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 438,167 | 639,746 |
Federal agency collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 40,286 | 61,577 |
Federal agency mortgage-backed pools | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 210,485 | 257,691 |
Corporate notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 76,906 | 84,819 |
Recurring Basis | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 1,041,020 | 1,160,812 |
Recurring Basis | U.S. Treasury and federal agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 275,176 | 116,979 |
Recurring Basis | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 438,167 | 639,746 |
Recurring Basis | Federal agency collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 40,286 | 61,577 |
Recurring Basis | Federal agency mortgage-backed pools | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 210,485 | 257,691 |
Recurring Basis | Corporate notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 76,906 | 84,819 |
Recurring Basis | Interest rate swap agreement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 24,281 | 14,419 |
Derivative liability | (24,281) | (18,092) |
Recurring Basis | Commitments to originate mortgage loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 281 | 1,037 |
Recurring Basis | Mortgage loan contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | (151) | (238) |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Treasury and federal agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Federal agency collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Federal agency mortgage-backed pools | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate swap agreement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commitments to originate mortgage loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage loan contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | 0 | 0 |
Recurring Basis | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 1,041,020 | 1,035,316 |
Recurring Basis | Significant Other Observable Inputs (Level 2) | U.S. Treasury and federal agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 275,176 | 116,979 |
Recurring Basis | Significant Other Observable Inputs (Level 2) | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 438,167 | 519,282 |
Recurring Basis | Significant Other Observable Inputs (Level 2) | Federal agency collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 40,286 | 61,577 |
Recurring Basis | Significant Other Observable Inputs (Level 2) | Federal agency mortgage-backed pools | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 210,485 | 257,691 |
Recurring Basis | Significant Other Observable Inputs (Level 2) | Corporate notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 76,906 | 79,787 |
Recurring Basis | Significant Other Observable Inputs (Level 2) | Interest rate swap agreement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 24,281 | 14,419 |
Derivative liability | (24,281) | (18,092) |
Recurring Basis | Significant Other Observable Inputs (Level 2) | Commitments to originate mortgage loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 281 | 1,037 |
Recurring Basis | Significant Other Observable Inputs (Level 2) | Mortgage loan contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | (151) | (238) |
Recurring Basis | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 125,496 |
Recurring Basis | Significant Unobservable Inputs (Level 3) | U.S. Treasury and federal agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs (Level 3) | State and municipal | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 120,464 |
Recurring Basis | Significant Unobservable Inputs (Level 3) | Federal agency collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs (Level 3) | Federal agency mortgage-backed pools | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs (Level 3) | Corporate notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 5,032 |
Recurring Basis | Significant Unobservable Inputs (Level 3) | Interest rate swap agreement | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Derivative liability | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs (Level 3) | Commitments to originate mortgage loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative asset | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs (Level 3) | Mortgage loan contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liability | $ 0 | $ 0 |
Disclosures about Fair Value _4
Disclosures about Fair Value of Assets and Liabilities - Other Assets Measured at Fair Value on Nonrecurring Basis (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Significant Unobservable Inputs (Level 3) | Collateral dependent loans | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | $ 9,445 | $ 15,176 |
Significant Unobservable Inputs (Level 3) | Mortgage servicing rights | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | 18,761 | 15,186 |
Fair Value, Nonrecurring | Collateral dependent loans | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | 9,445 | 15,176 |
Fair Value, Nonrecurring | Mortgage servicing rights | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | 18,761 | 15,186 |
Fair Value, Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateral dependent loans | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Fair Value, Nonrecurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage servicing rights | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Fair Value, Nonrecurring | Significant Other Observable Inputs (Level 2) | Collateral dependent loans | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Fair Value, Nonrecurring | Significant Other Observable Inputs (Level 2) | Mortgage servicing rights | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Fair Value, Nonrecurring | Significant Unobservable Inputs (Level 3) | Collateral dependent loans | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | 9,445 | 15,176 |
Fair Value, Nonrecurring | Significant Unobservable Inputs (Level 3) | Mortgage servicing rights | ||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||
Impaired loans | $ 18,761 | $ 15,186 |
Disclosures about Fair Value _5
Disclosures about Fair Value of Assets and Liabilities - Additional Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2022 | Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | ||
Increase (decrease) in carrying amount of mortgage servicing rights | $ 2,600 | $ 1,800 |
Disclosures about Fair Value _6
Disclosures about Fair Value of Assets and Liabilities - Qualitative Information about Unobservable Inputs Used in Recurring and Nonrecurring Level 3 Fair Value Measurements, Other than Goodwill (Details) - Significant Unobservable Inputs (Level 3) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Collateral dependent loans | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value | $ 9,445 | $ 15,176 |
Valuation Technique | Collateral based measurement | Collateral based measurement |
Unobservable Inputs | Discount to reflect current market conditions and ultimate collectibility | Discount to reflect current market conditions and ultimate collectibility |
Mortgage servicing rights | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Fair Value | $ 18,761 | $ 15,186 |
Valuation Technique | Discounted cash flows | Discounted cash flows |
Unobservable Inputs | Discount rate,Constant prepayment rate,Probability of default | Discount rate,Constant prepayment rate,Probability of default |
Minimum | Collateral dependent loans | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Discount to reflect current market conditions and ultimate collectability | 0% | 0% |
Minimum | Mortgage servicing rights | Measurement Input, Discount Rate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Unobservable Inputs | 0.093 | 0.080 |
Minimum | Mortgage servicing rights | Measurement Input, Constant Prepayment Rate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Unobservable Inputs | 0.073 | 0.084 |
Minimum | Mortgage servicing rights | Measurement Input, Default Rate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Unobservable Inputs | 0 | 0 |
Maximum | Collateral dependent loans | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Discount to reflect current market conditions and ultimate collectability | 100% | 54% |
Maximum | Mortgage servicing rights | Measurement Input, Discount Rate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Unobservable Inputs | 0.093 | 0.080 |
Maximum | Mortgage servicing rights | Measurement Input, Constant Prepayment Rate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Unobservable Inputs | 0.160 | 0.146 |
Maximum | Mortgage servicing rights | Measurement Input, Default Rate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Unobservable Inputs | 0.006 | 0.020 |
Weighted Average | Collateral dependent loans | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Discount to reflect current market conditions and ultimate collectability | 10.10% | 4.80% |
Weighted Average | Mortgage servicing rights | Measurement Input, Discount Rate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Unobservable Inputs | 0.093 | 0.080 |
Weighted Average | Mortgage servicing rights | Measurement Input, Constant Prepayment Rate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Unobservable Inputs | 0.074 | 0.116 |
Weighted Average | Mortgage servicing rights | Measurement Input, Default Rate | ||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||
Unobservable Inputs | 0.005 | 0.004 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Summary of Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Assets | ||
Cash and due from banks | $ 108,848 | $ 593,508 |
Interest–earning time deposits | 3,799 | 4,782 |
Investment securities, held to maturity | 2,052,772 | 1,552,443 |
Loans held for sale | 2,943 | 12,579 |
Loans (excluding loan level hedges), net | 3,885,460 | 3,590,331 |
Stock in FHLB | 26,677 | 24,440 |
Interest receivable | 28,996 | 26,137 |
Liabilities | ||
Non–interest bearing deposits | 1,328,213 | 1,360,338 |
Interest bearing deposits | 4,517,372 | 4,442,653 |
Subordinated notes | 58,823 | 58,750 |
Interest payable | 2,402 | 2,235 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets | ||
Cash and due from banks | 108,848 | 593,508 |
Interest–earning time deposits | 0 | 0 |
Investment securities, held to maturity | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans (excluding loan level hedges), net | 0 | 0 |
Stock in FHLB | 0 | 0 |
Interest receivable | 0 | 0 |
Mortgage servicing rights | 0 | 0 |
Liabilities | ||
Non–interest bearing deposits | 1,328,213 | 1,360,338 |
Interest bearing deposits | 0 | 0 |
Borrowings | 0 | 0 |
Subordinated notes | 0 | 0 |
Junior subordinated debentures issued to capital trusts | 0 | 0 |
Interest payable | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Assets | ||
Cash and due from banks | 0 | 0 |
Interest–earning time deposits | 3,788 | 4,861 |
Investment securities, held to maturity | 1,754,214 | 1,513,520 |
Loans held for sale | 0 | 0 |
Loans (excluding loan level hedges), net | 0 | 0 |
Stock in FHLB | 26,677 | 24,440 |
Interest receivable | 28,996 | 26,137 |
Mortgage servicing rights | 0 | 0 |
Liabilities | ||
Non–interest bearing deposits | 0 | 0 |
Interest bearing deposits | 4,144,515 | 4,369,011 |
Borrowings | 936,205 | 708,275 |
Subordinated notes | 53,386 | 57,906 |
Junior subordinated debentures issued to capital trusts | 51,448 | 53,420 |
Interest payable | 2,402 | 2,235 |
Significant Unobservable Inputs (Level 3) | ||
Assets | ||
Cash and due from banks | 0 | 0 |
Interest–earning time deposits | 0 | 0 |
Investment securities, held to maturity | 0 | 46,471 |
Loans held for sale | 2,943 | 12,579 |
Loans (excluding loan level hedges), net | 3,686,899 | 3,479,958 |
Stock in FHLB | 0 | 0 |
Interest receivable | 0 | 0 |
Mortgage servicing rights | 18,761 | 15,186 |
Liabilities | ||
Non–interest bearing deposits | 0 | 0 |
Interest bearing deposits | 0 | 0 |
Borrowings | 0 | 0 |
Subordinated notes | 0 | 0 |
Junior subordinated debentures issued to capital trusts | 0 | 0 |
Interest payable | 0 | 0 |
Carrying Amount | ||
Assets | ||
Cash and due from banks | 108,848 | 593,508 |
Interest–earning time deposits | 3,799 | 4,782 |
Investment securities, held to maturity | 2,052,722 | 1,552,443 |
Loans held for sale | 2,943 | 12,579 |
Loans (excluding loan level hedges), net | 3,885,460 | 3,590,331 |
Stock in FHLB | 26,677 | 24,440 |
Interest receivable | 28,996 | 26,137 |
Mortgage servicing rights | 18,761 | 15,186 |
Liabilities | ||
Non–interest bearing deposits | 1,328,213 | 1,360,338 |
Interest bearing deposits | 4,517,372 | 4,442,653 |
Borrowings | 959,222 | 712,739 |
Subordinated notes | 58,823 | 58,750 |
Junior subordinated debentures issued to capital trusts | 56,907 | 56,785 |
Interest payable | $ 2,402 | $ 2,235 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | Jun. 30, 2022 | Dec. 31, 2021 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Tax effect | $ 24,738 | $ (1,953) |
Total accumulated other comprehensive income (loss) | (93,064) | 7,345 |
Unrealized gain (loss) on securities available for sale | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated other comprehensive income (loss), before tax | (121,956) | 7,201 |
Unamortized loss on securities held to maturity, previously transferred from AFS | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated other comprehensive income (loss), before tax | 4,038 | 5,770 |
Unrealized loss on derivative instruments | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Accumulated other comprehensive income (loss), before tax | $ 116 | $ (3,673) |
Regulatory Capital - Summary of
Regulatory Capital - Summary of Regulatory Capital Requirement (Details) $ in Thousands | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total capital (to risk-weighted assets), actual, amount | $ 748,079 | $ 708,198 |
Total capital (to risk-weighted assets), actual, ratio | 0.1482 | 0.1571 |
Total capital (to risk-weighted assets), for capital adequacy purposes, amount | $ 403,785 | $ 360,737 |
Total capital (to risk-weighted assets), For capital adequacy purposes, ratio | 0.0800 | 0.0800 |
Total capital (to risk-weighted assets), required for capital1 adequacy purposes with capital buffer, amount | $ 529,967 | $ 473,468 |
Total capital (to risk-weighted assets), required for capital1 adequacy purposes with capital buffer, ratio | 10.50% | 10.50% |
Tier 1 capital (to average assets), actual, amount | $ 699,753 | $ 661,729 |
Tier 1 capital (to average assets), actual, ratio | 0.1386 | 0.1468 |
Tier 1 capital (to average assets), for capital adequacy purposes, amount | $ 302,838 | $ 270,553 |
Tier 1 capital (to average assets), for capital adequacy purpose, ratio | 0.0600 | 0.0600 |
Tier 1 capital (to average assets), required for capital1 adequacy purposes with capital buffer, amount | $ 429,021 | $ 383,284 |
Tier 1 capital (to average assets), required for capital1 adequacy purposes with capital buffer, ratio | 8.50% | 8.50% |
Common equity tier 1 capital, actual amount | $ 576,271 | $ 541,920 |
Common equity tier 1 capital, actual ratio | 0.1142 | 0.1202 |
Common equity tier 1 capital, for capital adequacy purposes, amount | $ 227,129 | $ 202,915 |
Common equity tier 1 capital, for capital adequacy purpose, ratio | 4.50% | 4.50% |
Common equity tier 1 capital (to risk-weighted assets), required for capital adequacy purposes with capital buffer, amount | $ 353,311 | $ 315,645 |
Common equity tier 1 capital (to risk-weighted assets), required for capital adequacy purposes with capital buffer, ratio | 7% | 7% |
Tier 1 capital (to average assets), actual, amount | $ 699,753 | $ 661,729 |
Tier 1 capital (to average assets), actual, ratio | 0.0954 | 0.0905 |
Tier 1 capital (to average assets), for capital adequacy purposes, amount | $ 293,288 | $ 292,335 |
Tier 1 capital (to average assets), for capital adequacy purpose, ratio | 0.0400 | 0.0400 |
Tier 1 capital (to average assets), required for capital1 adequacy purposes with capital buffer, amount | $ 293,288 | $ 292,335 |
Tier 1 capital (to average assets), required for capital1 adequacy purposes with capital buffer, ratio | 4% | 4% |
Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total capital (to risk-weighted assets), actual, amount | $ 698,970 | $ 664,061 |
Total capital (to risk-weighted assets), actual, ratio | 0.1383 | 0.1472 |
Total capital (to risk-weighted assets), for capital adequacy purposes, amount | $ 404,265 | $ 361,015 |
Total capital (to risk-weighted assets), For capital adequacy purposes, ratio | 0.0800 | 0.0800 |
Total capital (to risk-weighted assets), required for capital1 adequacy purposes with capital buffer, amount | $ 530,598 | $ 473,832 |
Total capital (to risk-weighted assets), required for capital1 adequacy purposes with capital buffer, ratio | 10.50% | 10.50% |
Total capital (to risk-weighted assets), for well capitalized purpose, amount | $ 505,331 | $ 451,269 |
Total capital (to risk-weighted assets), for well capitalized purpose, ratio | 0.1000 | 0.1000 |
Tier 1 capital (to average assets), actual, amount | $ 650,529 | $ 617,592 |
Tier 1 capital (to average assets), actual, ratio | 0.1287 | 0.1369 |
Tier 1 capital (to average assets), for capital adequacy purposes, amount | $ 303,199 | $ 270,761 |
Tier 1 capital (to average assets), for capital adequacy purpose, ratio | 0.0600 | 0.0600 |
Tier 1 capital (to average assets), required for capital1 adequacy purposes with capital buffer, amount | $ 429,532 | $ 383,578 |
Tier 1 capital (to average assets), required for capital1 adequacy purposes with capital buffer, ratio | 8.50% | 8.50% |
Tier 1 capital (to average assets), for well capitalized purpose, amount | $ 404,265 | $ 361,015 |
Tier 1 capital (to average assets), for well capitalized purposes, ratio | 0.0800 | 0.0800 |
Common equity tier 1 capital, actual amount | $ 650,529 | $ 617,592 |
Common equity tier 1 capital, actual ratio | 0.1287 | 0.1369 |
Common equity tier 1 capital, for capital adequacy purposes, amount | $ 227,399 | $ 203,071 |
Common equity tier 1 capital, for capital adequacy purpose, ratio | 4.50% | 4.50% |
Common equity tier 1 capital (to risk-weighted assets), required for capital adequacy purposes with capital buffer, amount | $ 353,732 | $ 315,888 |
Common equity tier 1 capital (to risk-weighted assets), required for capital adequacy purposes with capital buffer, ratio | 7% | 7% |
Common equity tier 1 capital, for well capitalized purpose, amount | $ 328,465 | $ 293,325 |
Common equity tier 1 capital, for well capitalized purposes, ratio | 6.50% | 6.50% |
Tier 1 capital (to average assets), actual, amount | $ 650,529 | $ 617,592 |
Tier 1 capital (to average assets), actual, ratio | 0.0885 | 0.0850 |
Tier 1 capital (to average assets), for capital adequacy purposes, amount | $ 293,881 | $ 290,646 |
Tier 1 capital (to average assets), for capital adequacy purpose, ratio | 0.0400 | 0.0400 |
Tier 1 capital (to average assets), required for capital1 adequacy purposes with capital buffer, amount | $ 293,881 | $ 290,646 |
Tier 1 capital (to average assets), required for capital1 adequacy purposes with capital buffer, ratio | 4% | 4% |
Tier 1 capital (to average assets), for well capitalized purpose, amount | $ 367,351 | $ 363,307 |
Tier 1 capital (to average assets), for well capitalized purposes, ratio | 0.0500 | 0.0500 |