Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2023 | Nov. 01, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2023 | |
Document Transition Report | false | |
Entity File Number | 0-11733 | |
Entity Registrant Name | CITY HOLDING COMPANY | |
Entity Incorporation, State or Country Code | WV | |
Entity Tax Identification Number | 55-0619957 | |
Entity Address, Address Line One | 25 Gatewater Road, | |
Entity Address, City or Town | Charleston, | |
Entity Address, State or Province | WV | |
Entity Address, Postal Zip Code | 25313 | |
City Area Code | 304 | |
Local Phone Number | 769-1100 | |
Title of 12(b) Security | Common Stock, $2.50 par value | |
Trading Symbol | CHCO | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 14,831,817 | |
Entity Central Index Key | 0000726854 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Assets | ||
Cash and due from banks | $ 62,085 | $ 68,333 |
Interest-bearing deposits in depository institutions | 48,631 | 131,667 |
Cash and Cash Equivalents | 110,716 | 200,000 |
Investment securities available for sale, at fair value (amortized cost $1,572,696 and $1,673,864, net of allowance for credit losses of $0 at September 30, 2023 and December 31, 2022, respectively) | 1,358,219 | 1,505,520 |
Other securities | 29,022 | 23,807 |
Total Investment Securities | 1,387,241 | 1,529,327 |
Gross loans | 4,007,482 | 3,646,258 |
Allowance for credit losses | (23,128) | (17,108) |
Net Loans | 3,984,354 | 3,629,150 |
Bank owned life insurance | 117,979 | 120,674 |
Premises and equipment, net | 72,682 | 70,786 |
Accrued interest receivable | 19,223 | 18,287 |
Deferred tax assets, net | 58,811 | 44,884 |
Goodwill and other intangible assets, net | 163,461 | 115,735 |
Other assets | 161,659 | 149,263 |
Total Assets | 6,076,126 | 5,878,106 |
Deposits: | ||
Noninterest-bearing | 1,333,474 | 1,351,415 |
Interest-bearing: | ||
Demand deposits | 1,319,783 | 1,233,482 |
Savings deposits | 1,282,642 | 1,396,869 |
Time deposits | 1,009,235 | 888,100 |
Total Deposits | 4,945,134 | 4,869,866 |
Customer repurchase agreements | 278,671 | 290,964 |
FHLB long-term advances | 100,000 | 0 |
Other liabilities | 142,187 | 139,424 |
Total Liabilities | 5,465,992 | 5,300,254 |
Commitments and contingencies - see Note I | ||
Shareholders’ Equity | ||
Preferred stock, par value $25 per share: 500,000 shares authorized; none issued | 0 | 0 |
Common stock, par value $2.50 per share: 50,000,000 shares authorized; 19,047,548 shares issued at September 30, 2023 and December 31, 2022, less 4,146,125 and 4,259,399 shares in treasury, respectively | 47,619 | 47,619 |
Capital surplus | 177,113 | 170,980 |
Retained earnings | 763,425 | 706,696 |
Cost of common stock in treasury | (211,430) | (215,955) |
Accumulated other comprehensive (loss) income: | ||
Unrealized (loss) on securities available-for-sale | (163,171) | (128,066) |
Underfunded pension liability | (3,422) | (3,422) |
Total Accumulated Other Comprehensive (Loss) | (166,593) | (131,488) |
Total Shareholders’ Equity | 610,134 | 578,027 |
Total Liabilities and Shareholders’ Equity | $ 6,076,126 | $ 5,878,106 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Allowance for credit loss | $ 0 | $ 0 |
Preferred Stock, Number of Shares, Par Value and Other Disclosures [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 25 | $ 25 |
Preferred stock, shares authorized (in shares) | 500,000 | 500,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common Stock, Number of Shares, Par Value and Other Disclosures [Abstract] | ||
Common stock, par value (in dollars per share) | $ 2.50 | $ 2.50 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 19,047,548 | 19,047,548 |
Common stock, treasury shares (in shares) | 4,146,125 | 4,259,399 |
Consolidated Statements Of Inco
Consolidated Statements Of Income (Unaudited) - USD ($) shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Interest Income | ||||
Interest and fees on loans | $ 55,582,000 | $ 38,493,000 | $ 154,939,000 | $ 103,575,000 |
Interest and dividends on investment securities: | ||||
Taxable | 12,432,000 | 9,556,000 | 35,999,000 | 23,327,000 |
Tax-exempt | 910,000 | 1,228,000 | 3,022,000 | 3,650,000 |
Interest on deposits in depository institutions | 1,265,000 | 1,530,000 | 5,440,000 | 2,549,000 |
Total Interest Income | 70,189,000 | 50,807,000 | 199,400,000 | 133,101,000 |
Interest Expense | ||||
Interest on deposits | 10,551,000 | 1,585,000 | 24,808,000 | 4,433,000 |
Interest on customer repurchase agreements | 2,990,000 | 440,000 | 8,334,000 | 677,000 |
Interest on FHLB long-term advances | 1,034,000 | 0 | 1,683,000 | 0 |
Total Interest Expense | 14,575,000 | 2,025,000 | 34,825,000 | 5,110,000 |
Net Interest Income | 55,614,000 | 48,782,000 | 164,575,000 | 127,991,000 |
Provision for (recovery of) credit losses | 200,000 | 730,000 | 3,543,000 | (26,000) |
Net Interest Income After Provision for (Recovery of) Credit Losses | 55,414,000 | 48,052,000 | 161,032,000 | 128,017,000 |
Non-Interest Income | ||||
(Losses) gains on sale of investment securities, net | (730,000) | 0 | 43,000 | 0 |
Unrealized gains (losses) recognized on equity securities still held, net | 0 | 1,000 | 67,000 | (1,322,000) |
Bank owned life insurance | 807,000 | 754,000 | 4,819,000 | 3,746,000 |
Other income | 742,000 | 792,000 | 3,020,000 | 2,825,000 |
Total Non-Interest Income | 17,410,000 | 18,244,000 | 56,393,000 | 53,543,000 |
Non-Interest Expense | ||||
Salaries and employee benefits | 18,289,000 | 17,398,000 | 54,391,000 | 49,386,000 |
Occupancy related expense | 2,950,000 | 2,664,000 | 8,401,000 | 7,993,000 |
Equipment and software related expense | 2,830,000 | 2,949,000 | 8,805,000 | 8,452,000 |
FDIC insurance expense | 919,000 | 416,000 | 2,054,000 | 1,259,000 |
Advertising | 790,000 | 854,000 | 2,524,000 | 2,603,000 |
Bankcard expenses | 2,188,000 | 1,405,000 | 5,433,000 | 4,676,000 |
Postage, delivery, and statement mailings | 668,000 | 578,000 | 1,911,000 | 1,765,000 |
Office supplies | 457,000 | 466,000 | 1,468,000 | 1,303,000 |
Legal and professional fees | 529,000 | 532,000 | 1,557,000 | 1,584,000 |
Telecommunications | 568,000 | 651,000 | 1,797,000 | 1,988,000 |
Repossessed asset losses (gains), net of expenses | 40,000 | (3,000) | 78,000 | 4,000 |
Merger related expenses | 2,000 | 0 | 5,647,000 | 0 |
Other expenses | 4,798,000 | 3,591,000 | 14,346,000 | 10,701,000 |
Total Non-Interest Expense | 35,028,000 | 31,501,000 | 108,412,000 | 91,714,000 |
Income Before Income Taxes | 37,796,000 | 34,795,000 | 109,013,000 | 89,846,000 |
Income tax expense | 7,957,000 | 7,421,000 | 22,100,000 | 18,438,000 |
Net Income Available to Common Shareholders | $ 29,839,000 | $ 27,374,000 | $ 86,913,000 | $ 71,408,000 |
Weighted Average Number of Shares Outstanding Reconciliation [Abstract] | ||||
Average shares outstanding, basic (in shares) | 14,922 | 14,776 | 14,906 | 14,878 |
Effect of dilutive securities (in shares) | 23 | 24 | 22 | 23 |
Average shares outstanding, diluted (in shares) | 14,945 | 14,800 | 14,928 | 14,901 |
Earnings Per Share [Abstract] | ||||
Basic earnings per common share (in dollars per share) | $ 1.98 | $ 1.84 | $ 5.78 | $ 4.75 |
Diluted earnings per common share (in dollars per share) | $ 1.98 | $ 1.83 | $ 5.77 | $ 4.75 |
Service charges | ||||
Non-Interest Income | ||||
Revenue from contract with customer | $ 7,124,000 | $ 7,487,000 | $ 20,593,000 | $ 21,281,000 |
Bankcard revenue | ||||
Non-Interest Income | ||||
Revenue from contract with customer | 7,058,000 | 7,052,000 | 20,851,000 | 20,558,000 |
Trust and investment management fee income | ||||
Non-Interest Income | ||||
Revenue from contract with customer | $ 2,409,000 | $ 2,158,000 | $ 7,000,000 | $ 6,455,000 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income available to common shareholders | $ 29,839 | $ 27,374 | $ 86,913 | $ 71,408 |
Available-for-Sale Securities | ||||
Unrealized (losses) on available-for-sale securities arising during the period | (48,273) | (81,133) | (46,132) | (210,741) |
Reclassification adjustment for losses (gains) | 730 | 0 | (43) | 0 |
Other comprehensive (loss) income before income taxes | (47,543) | (81,133) | (46,175) | (210,741) |
Tax effect | 11,398 | 19,634 | 11,070 | 50,999 |
Other comprehensive (loss) income, net of tax | (36,145) | (61,499) | (35,105) | (159,742) |
Comprehensive Income (Loss), Net of Tax | $ (6,306) | $ (34,125) | $ 51,808 | $ (88,334) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Revision of Prior Period, Accounting Standards Update, Adjustment | Previously Reported | Common Stock | Common Stock Revision of Prior Period, Accounting Standards Update, Adjustment | Common Stock Previously Reported | Capital Surplus | Capital Surplus Revision of Prior Period, Accounting Standards Update, Adjustment | Capital Surplus Previously Reported | Retained Earnings | Retained Earnings Revision of Prior Period, Accounting Standards Update, Adjustment | Retained Earnings Previously Reported | Treasury Stock | Treasury Stock Revision of Prior Period, Accounting Standards Update, Adjustment | Treasury Stock Previously Reported | Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) Revision of Prior Period, Accounting Standards Update, Adjustment | Accumulated Other Comprehensive Income (Loss) Previously Reported |
Beginning Balance at Dec. 31, 2021 | $ 681,105 | $ 47,619 | $ 170,942 | $ 641,826 | $ (193,542) | $ 14,260 | ||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Net income | 71,408 | 0 | 0 | 71,408 | 0 | 0 | ||||||||||||
Other comprehensive income (loss) | (159,742) | 0 | 0 | 0 | 0 | (159,742) | ||||||||||||
Cash dividends declared | (27,577) | 0 | 0 | (27,577) | 0 | 0 | ||||||||||||
Stock-based compensation expense | 2,412 | 0 | 2,412 | 0 | 0 | 0 | ||||||||||||
Restricted awards granted | 0 | 0 | (2,821) | 0 | 2,821 | 0 | ||||||||||||
Exercise of stock options | 697 | 0 | (395) | 0 | 1,092 | 0 | ||||||||||||
Purchase of treasury shares | (20,015) | 0 | 0 | 0 | (20,015) | 0 | ||||||||||||
Ending balance at Sep. 30, 2022 | 548,288 | 47,619 | 170,138 | 685,657 | (209,644) | (145,482) | ||||||||||||
Beginning Balance at Jun. 30, 2022 | 591,993 | 47,619 | 169,557 | 667,933 | (209,133) | (83,983) | ||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Net income | 27,374 | 0 | 0 | 27,374 | 0 | 0 | ||||||||||||
Other comprehensive income (loss) | (61,499) | 0 | 0 | 0 | 0 | (61,499) | ||||||||||||
Cash dividends declared | (9,650) | 0 | 0 | (9,650) | 0 | 0 | ||||||||||||
Stock-based compensation expense | 754 | 0 | 754 | 0 | 0 | 0 | ||||||||||||
Restricted awards granted | 0 | 0 | (163) | 0 | 163 | 0 | ||||||||||||
Exercise of stock options | 36 | 0 | (10) | 0 | 46 | 0 | ||||||||||||
Purchase of treasury shares | (720) | 0 | 0 | 0 | (720) | 0 | ||||||||||||
Ending balance at Sep. 30, 2022 | 548,288 | 47,619 | 170,138 | 685,657 | (209,644) | (145,482) | ||||||||||||
Beginning Balance at Dec. 31, 2022 | 578,027 | $ 175 | $ 577,852 | 47,619 | $ 0 | $ 47,619 | 170,980 | $ 0 | $ 170,980 | 706,871 | $ 175 | $ 706,696 | (215,955) | $ 0 | $ (215,955) | (131,488) | $ 0 | $ (131,488) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Net income | 86,913 | 0 | 0 | 86,913 | 0 | 0 | ||||||||||||
Other comprehensive income (loss) | (35,105) | 0 | 0 | 0 | 0 | (35,105) | ||||||||||||
Cash dividends declared | (30,359) | 0 | 0 | (30,359) | 0 | 0 | ||||||||||||
Stock-based compensation expense | 2,407 | 0 | 2,407 | 0 | 0 | 0 | ||||||||||||
Restricted awards granted | 0 | 0 | (3,848) | 0 | 3,848 | 0 | ||||||||||||
Purchase of treasury shares | (53,827) | 0 | 0 | 0 | (53,827) | 0 | ||||||||||||
Acquisition of Citizens Commerce Bancshares, Inc. | 62,078 | 0 | 7,574 | 0 | 54,504 | 0 | ||||||||||||
Ending balance at Sep. 30, 2023 | 610,134 | 47,619 | 177,113 | 763,425 | (211,430) | (166,593) | ||||||||||||
Beginning Balance at Jun. 30, 2023 | 636,192 | 47,619 | 176,746 | 744,248 | (201,973) | (130,448) | ||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||||||
Net income | 29,839 | 0 | 0 | 29,839 | 0 | 0 | ||||||||||||
Other comprehensive income (loss) | (36,145) | 0 | 0 | 0 | 0 | (36,145) | ||||||||||||
Cash dividends declared | (10,662) | 0 | 0 | (10,662) | 0 | 0 | ||||||||||||
Stock-based compensation expense | 681 | 0 | 681 | 0 | 0 | 0 | ||||||||||||
Restricted awards granted | 0 | 0 | (314) | 0 | 314 | 0 | ||||||||||||
Purchase of treasury shares | (9,771) | 0 | 0 | 0 | (9,771) | 0 | ||||||||||||
Ending balance at Sep. 30, 2023 | $ 610,134 | $ 47,619 | $ 177,113 | $ 763,425 | $ (211,430) | $ (166,593) |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows (Unaudited) - USD ($) | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Operating Activities | ||
Net income | $ 86,913,000 | $ 71,408,000 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Amortization and (accretion), net | 6,496,000 | 8,607,000 |
Provision for (recovery of) credit losses | 3,543,000 | (26,000) |
Depreciation of premises and equipment | 3,452,000 | 4,033,000 |
Deferred income tax (benefit) expense | (1,491,000) | 1,181,000 |
Net periodic employee benefit cost | 39,000 | 192,000 |
(Losses) gains on sale of investment securities, net | 110,000 | (1,322,000) |
Stock-compensation expense | 2,407,000 | 2,412,000 |
Excess tax expense (benefit) from stock-compensation | (203,000) | (189,000) |
Increase in value of bank-owned life insurance | (4,819,000) | (3,746,000) |
Loans originated for sale | (9,591,000) | (29,139,000) |
Proceeds from the sale of loans originated for sale | 9,713,000 | 29,422,000 |
Gain on sale of loans | (122,000) | (283,000) |
Change in accrued interest receivable | (69,000) | (1,629,000) |
Change in other assets | 12,068,000 | (11,312,000) |
Change in other liabilities | (4,588,000) | 9,136,000 |
Net Cash Provided by Operating Activities | 104,044,000 | 81,767,000 |
Investing Activities | ||
Net decrease (increase) in loans | (107,988,000) | (85,289,000) |
Purchases | 56,734,000 | 488,401,000 |
Proceeds from sales of securities available-for-sale | 103,249,000 | 0 |
Proceeds from maturities and calls | 93,927,000 | 177,875,000 |
Purchases | (5,970,000) | (280,000) |
Proceeds from sales | 77,000 | 116,000 |
Proceeds from maturities and calls | 747,000 | 0 |
Purchases of premises and equipment | (2,392,000) | (1,677,000) |
Proceeds from the disposals of premises and equipment | 283,000 | 189,000 |
Proceeds from bank-owned life insurance policies | 207,000 | 3,623,000 |
Payments for low income housing tax credits | (6,577,000) | (2,144,000) |
Acquisition of Citizens Commerce Bancshares, Inc. | 14,013,000 | 0 |
Net Cash Provided by (Used in) Investing Activities | 32,842,000 | (395,988,000) |
Financing Activities | ||
Net (decrease) increase in non-interest-bearing deposits | (78,236,000) | 56,156,000 |
Net (decrease) increase in interest-bearing deposits | (145,344,000) | (23,625,000) |
Net (decrease) increase in short-term borrowings | (18,793,000) | (7,651,000) |
Proceeds from long-term debt | 100,000,000 | 0 |
Purchases of treasury stock | (53,827,000) | (20,015,000) |
Proceeds from exercise of stock options | 0 | 697,000 |
Lease payments | (609,000) | (572,000) |
Dividends paid | (29,361,000) | (27,047,000) |
Net Cash (Used in) Provided by Financing Activities | (226,170,000) | (22,057,000) |
Decrease in Cash and Cash Equivalents | (89,284,000) | (336,278,000) |
Cash and cash equivalents at beginning of period | 200,000,000 | 634,631,000 |
Cash and Cash Equivalents at End of Period | 110,716,000 | 298,353,000 |
Supplemental Cash Flow Information: | ||
Cash paid for interest | 32,525,000 | 5,299,000 |
Cash paid for income taxes | 26,162,000 | 17,834,000 |
Citizens Commerce Bancshares, Inc. | ||
Supplemental Cash Flow Information: | ||
Identifiable assets acquired (net of purchase consideration) | 319,738,000 | 0 |
Liabilities assumed | 307,113,000 | 0 |
Goodwill | 41,175,000 | 0 |
Citizens Commerce Bancshares, Inc. | Core Deposits | ||
Supplemental Cash Flow Information: | ||
Core deposit intangible | $ 8,278,000 | $ 0 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||||
Cash dividends declared (in dollars per share) | $ 0.72 | $ 0.65 | $ 2.02 | $ 1.85 |
Exercise of stock options (in shares) | 556 | 13,634 | ||
Purchase of treasury shares (in shares) | 109,382 | 8,971 | 596,969 | 255,421 |
Background and Basis of Present
Background and Basis of Presentation | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Background and Basis of Presentation | Background and Basis of Presentation City Holding Company ("City Holding"), a West Virginia corporation headquartered in Charleston, West Virginia, is a registered financial holding company under the Bank Holding Company Act and conducts its principal activities through its wholly-owned subsidiary, City National Bank of West Virginia ("City National"). City National is a retail and consumer-oriented community bank with 99 banking offices in West Virginia (58), Kentucky (24), Virginia (13) and southeastern Ohio (4). City National provides credit, deposit, and trust and investment management services to its customers in a broad geographical area that includes many rural and small community markets in addition to larger cities including Charleston (WV), Huntington (WV), Martinsburg (WV), Ashland (KY), Lexington (KY), Winchester (VA) and Staunton (VA). In addition to its branch network, City National's delivery channels include automated-teller-machines ("ATMs"), interactive-teller machines ("ITMs"), mobile banking, debit cards, interactive voice response systems, and Internet technology. The Company’s business activities are currently limited to one reportable business segment, which is community banking. On March 10, 2023, the Company acquired 100% of the outstanding common shares of Citizens Commerce Bancshares, Inc. ("Citizens") and its principal banking subsidiary, Citizens Commerce Bank of Versailles, Kentucky. See Note C for additional information on the acquisition. The accompanying consolidated financial statements, which are unaudited, include all of the accounts of City Holding and its wholly-owned subsidiaries (collectively, the "Company"). All material intercompany transactions have been eliminated. The consolidated financial statements include all adjustments that, in the opinion of management, are necessary for a fair presentation of the results of operations and financial condition for each of the periods presented. Such adjustments are of a normal recurring nature. The results of operations for the nine months ended September 30, 2023 are not necessarily indicative of the results of operations that can be expected for the year ending December 31, 2023. The Company’s accounting and reporting policies conform with generally accepted accounting principles for interim financial information, with the instructions to Form 10-Q and Article 10 of Regulation S-X, and with Industry Guide 3, Statistical Disclosure by Bank Holding Companies . Such policies require management to make estimates and develop assumptions that affect the amounts reported in the consolidated financial statements and related footnotes. Actual results could differ from management’s estimates. The consolidated balance sheet as of December 31, 2022 has been derived from audited financial statements included in the Company’s 2022 Annual Report to Shareholders. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with U.S. generally accepted accounting principles have been omitted. These financial statements should be read in conjunction with the financial statements and notes thereto included in the 2022 Annual Report of the Company. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently Adopted In October 2018, the FASB issued ASU No. 2018-16, "Derivatives and Hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes." This amendment permits the use of the OIS rate based on SOFR as a U.S. benchmark interest rate for hedge accounting purposes under Topic 815 in addition to the UST, the LIBOR swap rate, the OIS rate based on the Federal Funds Effective Rate, and the SIFMA Municipal Swap Rate. This ASU became effective for the Company on January 1, 2019 with anticipation the LIBOR index would be phased out by the end of 2021. In March 2020, the FASB issued ASU No. 2020-04, "Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting." This amendment provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued because of reference rate reform and is effective as of March 12, 2020 through December 31, 2022. In January 2021, the FASB issued ASU No. 2021-01, "Reference Rate Reform (Topic 848): Scope," which clarifies that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. In December 2022, the FASB issued ASU No. 2022-06, "Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848," which defers the sunset date of Topic 848 from December 31, 2022 to December 31, 2024, after which entities will no longer be permitted to apply the relief in Topic 848. The adoption of ASU No. 2020-04 did not have a material impact on the Company's financial statements. In March 2022, the FASB issued ASU No. 2022-01, "Derivatives and Hedging (Topic 815): Fair Value Hedging - Portfolio Layer Method." The amendments in this update allow nonprepayable financial assets to be included in a closed portfolio hedged using the portfolio layer method. This expanded scope permits an entity to apply the same portfolio hedging method to both prepayable and nonprepayable financial assets, thereby allowing consistent accounting for similar hedges. This ASU became effective for the Company on January 1, 2023. The adoption of ASU No. 2022-01 did not have a material impact on the Company's financial statements. In March 2022, the FASB issued ASU No. 2022-02, "Financial Instruments - Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures." The amendments in this update eliminate the accounting guidance for TDRs by creditors in Subtopic 310-40, Receivables—Troubled Debt Restructurings by creditors, while enhancing disclosure requirements for certain loan refinancings and restructurings by creditors when a borrower is experiencing financial difficulty. The amendments in this update also require that an entity disclose current-period gross writeoffs by year of origination for financing receivables and net investments in leases within the scope of Subtopic 326-20, Financial Instruments—Credit Losses—Measured at Amortized Cost. This ASU became effective for the Company on January 1, 2023. The Company adopted ASU No. 2022-02 using the modified retrospective method, which resulted in a $0.2 million adjustment to shareholders' equity and the allowance for credit losses. See Note F for additional information. In July 2023, the FASB issued ASU No. 2023- 03, Presentation of Financial Statements (Topic 205), Income Statement—Reporting Comprehensive Income (Topic 220), Distinguishing Liabilities from Equity (Topic 480), Equity (Topic 505), and Compensation—Stock Compensation (Topic 718): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 120, SEC Staff Announcement at the March 24, 2022 EITF Meeting, and Staff Accounting Bulletin Topic 6.B, Accounting Series Release 280—General Revision of Regulation S-X: Income or Loss Applicable to Common Stock. ASU 2023- 03 amends various SEC paragraphs within the Codification to conform to past SEC staff announcements and guidance issued by the SEC, including Staff Accounting Bulletin No. 120. These updates were immediately effective and did not have a material impact on our financial statements. Pending Adoption In June 2022, the FASB issued ASU 2022-03, Fair Value Measurement Topic 820: Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions . The FASB issued this ASU to (1) clarify the guidance in Topic 820, Fair Value Measurement, when measuring the fair value of an equity security subject to contractual restrictions that prohibit the sale of an equity security, (2) amend a related illustrative example, and (3) introduce new disclosure requirements for equity securities subject to contractual sale restrictions that are measured at fair value in accordance with Topic 820. The amendments in this ASU clarify that a contractual restriction on the sale of an equity security is not considered part of the unit of account of the equity security and, therefore, is not considered in measuring fair value. The amendments also clarify that an entity cannot, as a separate unit of account, recognize and measure a contractual sale restriction. The amendments in this ASU also require the following disclosures for equity securities subject to contractual sale restrictions: (1) the fair value of equity securities subject to contractual sale restrictions reflected in the balance sheet; (2) the nature and remaining duration of the restriction(s); and (3) the circumstances that could cause a lapse in the restriction(s). This ASU will become effective for the Company on January 1, 2024. The adoption of ASU No. 2022-03 is not expected to have a material impact to our consolidated financial statements. In March 2023, the FASB issued ASU No. 2023-02, "Investments - Equity Method and Joint Ventures (Topic 323): Accounting for Investments in Tax Credit Structures using the Proportional Amortization Method." |
Acquisition and Preliminary Pur
Acquisition and Preliminary Purchase Price Allocation | 9 Months Ended |
Sep. 30, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Acquisition and Preliminary Purchase Price Allocation | Acquisition and Preliminary Purchase Price AllocationOn March 10, 2023, the Company acquired 100% of the outstanding common shares of Citizens Commerce Bancshares, Inc. ("Citizens") and its principal banking subsidiary, Citizens Commerce Bank of Versailles, Kentucky, in order to strengthen the Company's market presence in the Lexington, Kentucky area. The acquisition of Citizens was structured as a stock transaction in which the Company issued approximately 0.7 million shares, valued at approximately $62.1 million. The following table summarizes the consideration paid for Citizens and the amounts of the assets acquired and liabilities assumed as of the date of acquisition (in thousands): Consideration: Common stock $ 61,570 Stock option buyout 495 Cash 13 62,078 Identifiable assets: Cash and cash equivalents 14,013 Investment securities 41,008 FHLB stock 620 Loans 251,406 Fixed assets 3,237 Bank owned life insurance 2,966 Deferred tax assets, net 1,481 Other assets 5,007 Total identifiable assets 319,738 Identifiable liabilities: Deposits 299,251 Short-term borrowings 6,500 Other liabilities 1,362 Total identifiable liabilities 307,113 Net identifiable assets (liabilities) 12,625 Goodwill 41,175 Core deposit intangible 8,278 $ 62,078 319,738 Investment Securities The gain on the sale of investment securities recognized in the first nine months of 2023 was primarily due to the sale of Citizens investment portfolio of approximately $41 million shortly after the acquisition date. Acquired Loans The fair value of net assets acquired includes fair value adjustments to certain receivables that were not considered impaired as of the acquisition date. The fair value adjustments were determined using discounted contractual cash flows. However, the Company believes that there was not deterioration of credit at the date of acquisition. As such, these receivables were not considered impaired at the acquisition date and were not subject to the guidance relating to purchased credit deteriorated loans, which have shown evidence of credit deterioration since origination. Receivables acquired that were not subject to these requirements include non-impaired loans with a fair value of $246.4 million on the date of acquisition. In connection with the completion of the acquisition of Citizens during the nine months ended September 30, 2023, the Company recorded $2.0 million of credit loss expense associated with loans acquired from Citizens in its total provision for credit losses. The fair value of purchased financial assets with credit deterioration ("PCD") was $4.9 million on the date of acquisition. The gross contractual amounts receivable relating to the purchased financial asset with credit deterioration was $8.5 million. The Company estimates, on the date of acquisition, that $3.6 million of the contractual cash flows specific to the purchased financial assets with credit deterioration will not be collected. Acquired Deposits The fair values of non-time deposits approximated their carrying value at the acquisition date. For time deposits, the fair values were estimated based on discounted cash flows, using interest rates that were being offered at the time of acquisition compared to the contractual interest rates. Based on this analysis, management recorded a premium on time deposits acquired of $0.6 million which is being amortized over 5 years. Core Deposit Intangible The Company believes that the customer relationships with the deposits acquired have an intangible value. In connection with the acquisition, the Company recorded a core deposit intangible asset of $8.3 million. The core deposit intangible asset represents the value that the acquiree had with their deposit customers. The fair value was estimated based on a discounted cash flow methodology that considered the type of deposit, deposit retention and the cost of the deposit base. The core deposit intangible is being amortized over 10 years. Goodwill Under GAAP, management has up to twelve months following the date of the acquisition to finalize the fair value of acquired assets and liabilities. The measurement period ends as soon as the Company receives information it was seeking about facts and circumstances that existed as of the acquisition date or learns that more information is not obtainable. Any subsequent adjustments to the fair value of the acquired assets and liabilities, intangible assets or other purchase accounting adjustments will result in adjustments to the goodwill recorded. Among the items that are still preliminary at September 30, 2023 is the finalization of the final tax return, which management anticipates completing during 2023. Given the form of the transaction, the $41.2 million goodwill preliminarily recorded in conjunction with the Citizens acquisition is not expected to be deductible for tax purposes. The following table summarizes adjustments to goodwill subsequent to December 31, 2022 (in thousands): Goodwill Balance at December 31, 2022 $ 108,941 Adjustment to goodwill acquired in conjunction with the acquisition of Citizens 41,175 Balance at September 30, 2023 $ 150,116 Merger Related Costs During the nine months ended September 30, 2023, the Company incurred $5.6 million |
Investments
Investments | 9 Months Ended |
Sep. 30, 2023 | |
Investments [Abstract] | |
Investments | Investments The aggregate carrying and approximate fair values of investment securities follow (in thousands). Fair values are based on quoted market prices, where available. If quoted market prices are not available, fair values are based on quoted market prices of comparable financial instruments. September 30, 2023 December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Securities available-for-sale: Obligations of states and political subdivisions $ 230,270 $ 3 $ 29,825 $ 200,448 $ 292,293 $ 346 $ 24,324 $ 268,315 Mortgage-backed securities: U.S. government agencies 1,302,747 3 181,147 1,121,603 1,342,666 299 140,686 1,202,279 Private label 7,035 — 490 6,545 7,695 — 464 7,231 Trust preferred securities 4,597 — 290 4,307 4,590 — 762 3,828 Corporate securities 28,047 — 2,731 25,316 26,620 — 2,753 23,867 Total Securities Available-for-Sale $ 1,572,696 $ 6 $ 214,483 $ 1,358,219 $ 1,673,864 $ 645 $ 168,989 $ 1,505,520 The Company's other investment securities include marketable equity securities and non-marketable equity securities held for investment. At September 30, 2023 and December 31, 2022, the Company held $7.6 million in marketable equity securities. Changes in the fair value of the marketable equity securities are recorded in "unrealized gains (losses) recognized on equity securities still held" in the consolidated statements of income. The Co mpany's non-marketable securities consist of securities with limited marketability, such as stock in the Federal Reserve Bank ("FRB") or the Federal Home Loan Bank ("FHLB"). At September 30, 2023 and December 31, 2022, the Company held $21.4 million and $15.5 million, respectively, in non-marketable equity securities. These securities are carried at cost due to the restrictions placed on their transferability. The Company held no certificates of deposits for investment at September 30, 2023 and $0.7 million at December 31, 2022. The Company's mortgage-backed U.S. government agency securities consist of both residential and commercial securities, all of which are guaranteed by Fannie Mae ("FNMA"), Freddie Mac ("FHLMC"), or Ginnie Mae ("GNMA"). At September 30, 2023 and December 31, 2022 there were no securities of any non-governmental issuer whose aggregate carrying value or estimated fair value exceeded 10% of shareholders' equity. Certain investment securities owned by the Company were in an unrealized loss position (i.e., amortized cost basis exceeded the estimated fair value of the securities) as of September 30, 2023 and December 31, 2022. The following table shows the gross unrealized losses and 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 (in thousands): September 30, 2023 Less Than Twelve Months Twelve Months or Greater Total Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Securities available-for-sale: Obligations of states and political subdivisions $ 25,076 $ 1,132 $ 171,897 $ 28,693 $ 196,973 $ 29,825 Mortgage-backed securities: U.S. Government agencies 46,028 15,895 795,988 165,252 842,016 181,147 Private label — — 6,446 490 6,446 490 Trust preferred securities — — 4,307 290 4,307 290 Corporate securities 1,520 48 23,796 2,683 25,316 2,731 Total available-for-sale $ 72,624 $ 17,075 $ 1,002,434 $ 197,408 $ 1,075,058 $ 214,483 December 31, 2022 Less Than Twelve Months Twelve Months or Greater Total Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Securities available-for-sale: Obligations of states and political subdivisions $ 203,173 $ 21,929 $ 13,359 $ 2,395 $ 216,532 $ 24,324 Mortgage-backed securities: U.S. Government agencies 533,611 50,268 376,778 90,418 910,389 140,686 Private label 7,126 464 — — 7,126 464 Trust preferred securities — — 3,828 762 3,828 762 Corporate securities 22,972 2,648 895 105 23,867 2,753 Total available-for-sale $ 766,882 $ 75,309 $ 394,860 $ 93,680 $ 1,161,742 $ 168,989 As of September 30, 2023, management does not intend to sell any impaired security and it is not more than likely that it will be required to sell any impaired security before the recovery of its amortized cost basis. The unrealized losses on debt securities are primarily the result of interest rate changes, credit spread fluctuations on agency-issued mortgage-related securities, general financial market uncertainty and market volatility. These conditions should not prohibit the Company from receiving its contractual principal and interest payments on its debt securities. The fair value is expected to recover as the securities a pproach their maturity date or repricing date. As of September 30, 2023, management believes the unrealized losses detailed in the table above are temporary and therefore no allowance for credit losses has been recognized on the Company’s securities. Should the impairment of any of these securities become other-than-temporary, the cost basis of the investment will be reduced and the resulting loss will be recognized in net income in the period the other-than-temporary impairment is identified, while any noncredit loss will be recognized in other comprehensive income. During the three months ended September 30, 2023 and 2022, the Company had no credit-related net investment impairment losses. The amortized cost and estimated fair value of debt securities at September 30, 2023, by contractual maturity, is shown in the following table (in thousands). Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. Mortgage-backed securities have been allocated to their respective maturity groupings based on their contractual maturity. Amortized Cost Estimated Fair Value Available-for-Sale Debt Securities Due in one year or less $ 2,783 $ 2,686 Due after one year through five years 71,423 66,477 Due after five years through ten years 480,331 429,944 Due after ten years 1,018,159 859,112 Total $ 1,572,696 $ 1,358,219 Proceeds from sales, gross gains and gross losses recognized by the Company from investment security transactions are summarized in the table below (in thousands): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Proceeds on sales of available for sale securities $ 17,690 $ — $ 103,249 $ — Gross realized gains on securities sold $ — $ — $ 975 $ — Gross realized losses on securities sold (730) — (932) — Net investment security gains $ (730) $ — $ 43 $ — Gross unrealized gains recognized on equity securities still held $ 929 $ 105 $ 679 $ 119 Gross unrealized losses recognized on equity securities still held (929) (104) (612) (1,441) Net unrealized gains recognized on equity securities still held $ — $ 1 $ 67 $ (1,322) |
Loans
Loans | 9 Months Ended |
Sep. 30, 2023 | |
Loans and Leases Receivable, Net Amount [Abstract] | |
Loans | Loans The following table summarizes the Company’s major classifications for loans (in thousands): September 30, 2023 December 31, 2022 Commercial and industrial $ 424,647 $ 373,890 1-4 Family 135,226 116,192 Hotels 321,236 340,404 Multi-family 192,329 174,786 Non Residential Non-Owner Occupied 713,353 585,964 Non Residential Owner Occupied 222,544 174,961 Commercial real estate 1,584,688 1,392,307 Residential real estate 1,768,358 1,693,523 Home equity 159,630 134,317 Consumer 65,586 48,806 Demand deposit account (DDA) overdrafts 4,573 3,415 Gross loans 4,007,482 3,646,258 Allowance for credit losses (23,128) (17,108) Net loans $ 3,984,354 $ 3,629,150 Construction loans included in: Commercial real estate $ 2,533 $ 4,130 Residential real estate 20,056 21,122 The Company’s commercial and residential real estate construction loans are primarily secured by real estate within the Company’s principal markets. These loans were originated under the Company’s loan policies, which are focused on the risk characteristics of the loan portfolio, including construction loans. In the judgment of the Company's management, adequate consideration has been given to these loans in establishing the Company's allowance for credit losses. |
Allowance For Credit Losses
Allowance For Credit Losses | 9 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
Allowance For Credit Losses | Allowance for Credit Losses The following table summarizes the activity in the allowance for credit losses, by portfolio loan classification, for the nine months ended September 30, 2023 and 2022 (in thousands). The allocation of a portion of the allowance in one portfolio segment does not preclude its availability to absorb losses in other portfolio segments. Beginning Balance Impact of Adopting ASU 2022-02 PCD Loan Reserves Charge-offs Recoveries Provision for (recovery of) credit losses Ending Balance Nine months ended September 30, 2023 Commercial and industrial $ 3,568 12 — (69) $ 766 $ 371 $ 4,648 1-4 Family 566 (1) — (335) 42 390 662 Hotels 2,332 — — (40) — (72) 2,220 Multi-family 380 — 500 — — 135 1,015 Non Residential Non-Owner Occupied 2,019 — 1,536 — 162 1,081 4,798 Non Residential Owner Occupied 1,315 — 775 — 56 318 2,464 Commercial real estate 6,612 (1) 2,811 (375) 260 1,852 11,159 Residential real estate 5,427 (138) — (141) 43 200 5,391 Home equity 290 (46) — (379) 34 533 432 Consumer 110 (2) — (181) 78 320 325 DDA overdrafts 1,101 — — (1,229) 1,034 267 1,173 $ 17,108 $ (175) $ 2,811 $ (2,374) $ 2,215 $ 3,543 $ 23,128 Nine months ended September 30, 2022 Commercial and industrial $ 3,480 — — (445) $ 240 $ 137 $ 3,412 1-4 Family 598 — — (24) 40 (66) 548 Hotels 2,426 — — — — 111 2,537 Multi-family 483 — — — — (59) 424 Non Residential Non-Owner Occupied 2,319 — — — 47 (236) 2,130 Non Residential Owner Occupied 1,485 — — — — (113) 1,372 Commercial real estate 7,311 — — (24) 87 (363) 7,011 Residential real estate 5,716 — — (199) 50 (513) 5,054 Home equity 517 — — (90) 22 (101) 348 Consumer 106 — — (48) 76 (37) 97 DDA Overdrafts 1,036 — — (1,951) 1,153 851 1,089 $ 18,166 $ — $ — $ (2,757) $ 1,628 $ (26) $ 17,011 Beginning Balance Impact of Adopting ASU 2022-02 PCD Loan Reserves Charge-offs Recoveries Provision for (recovery of) credit losses Ending Balance Three months ended September 30, 2023 Commercial and industrial $ 4,330 — — — $ 597 $ (279) $ 4,648 1-4 Family 598 — — (255) 12 307 662 Hotels 2,133 — — — — 87 2,220 Multi-family 1,009 — — — — 6 1,015 Non Residential Non-Owner Occupied 4,786 — — — 6 6 4,798 Non Residential Owner Occupied 2,378 — — — 56 30 2,464 Commercial real estate 10,904 — — (255) 74 436 11,159 Residential real estate 5,573 — — (89) 28 (121) 5,391 Home equity 408 — — (112) 18 118 432 Consumer 334 — — (10) 27 (26) 325 DDA overdrafts 1,202 — — (422) 321 72 1,173 $ 22,751 $ — $ — $ (888) $ 1,065 $ 200 $ 23,128 Three months ended September 30, 2022 Commercial and industrial $ 3,519 — — (411) $ 149 $ 155 $ 3,412 1-4 Family 574 — — — 6 (32) 548 Hotels 2,508 — — — — 29 2,537 Multi-family 460 — — — — (36) 424 Non Residential Non-Owner Occupied 2,096 — — — 3 31 2,130 Non Residential Owner Occupied 1,395 — — — — (23) 1,372 Commercial real estate 7,033 — — — 9 (31) 7,011 Residential real estate 4,994 — — (93) 1 152 5,054 Home equity 338 — — (71) 2 79 348 Consumer 78 — — (16) 29 6 97 DDA Overdrafts 1,053 — — (716) 383 369 1,089 $ 17,015 $ — $ — $ (1,307) $ 573 $ 730 $ 17,011 During the nine months ended September 30, 2023, the Company recorded $2.8 million of allowance for credit losses due to acquired Citizens PCD loans. Further, in connection with the completion of the acquisition of Citizens during the nine months ended September 30, 2023, the Company recorded $2.0 million of provision for credit losses associated with loans acquired from Citizens. In addition, the provision for credit losses for the nine months ended September 30, 2023 included $1.3 million that was primarily related to the downgrade of two commercial loans. Management systematically monitors the loan portfolio and the appropriateness of the allowance for credit losses on a quarterly basis to provide for expected losses inherent in the portfolio. Management assesses the risk in each loan type based on historica l trends, the general economic environment of its local markets, individual loan performance and other relevant factors. The Company's estimate of future economic conditions utilized in its provision estimate is primarily dependent on expected unemployment ranges over a two-year period. Beyond two years, a straight line reversion to historical average loss rates is applied over the life of the loan pool in the migration methodology. The vintage methodology applies future average loss rates based on net losses in historical periods where the unemployment rate was within the forecasted range. Individual credits in excess of $1 million are selected at least annually for detailed loan reviews, which are utilized by management to assess the risk in the portfolio and the appropriateness of the allowance. Non-Performing Loans Interest income on loans is accrued and credited to operations based upon the principal amount outstanding, using methods that generally result in level rates of return. Loan origination fees, and certain direct costs, are deferred and amortized as an adjustment to the yield over the term of the loan. The accrual of interest generally is discontinued when a loan becomes 90 days past due as to principal or interest for all loan types. However, any loan may be placed on non-accrual status if the Company receives information that indicates a borrower is unable to meet the contractual terms of its respective loan agreement. Other indicators considered for placing a loan on non-accrual status include the borrower’s involvement in bankruptcies, foreclosures, repossessions, litigation and any other situation resulting in doubt as to whether full collection of contractual principal and interest is attainable. When interest accruals are discontinued, unpaid interest recognized in income in the current year is reversed, and interest accrued in prior years is charged to the allowance for credit losses. Management may elect to continue the accrual of interest when the net realizable value of collateral exceeds the principal balance and related accrued interest, and the loan is in the process of collection. Generally for all loan classes, interest income during the period the loan is non-performing is recorded on a cash basis after recovery of principal is reasonably assured. Cash payments received on nonperforming loans are typically applied directly against the outstanding principal balance until the loan is fully repaid. Generally, loans are restored to accrual status when the obligation is brought current, the borrower has performed in accordance with the contractual terms for a reasonable period of time, and the ultimate collectability of the total contractual principal and interest is no longer in doubt. The following table presents the amortized cost basis of loans on non-accrual status and loans past due over 90 days still accruing as of September 30, 2023 (in thousands): Non-accrual With No Non-accrual With Loans Past Due Allowance for Allowance for Over 90 Days Credit Losses Credit Losses Still Accruing Commercial & Industrial $ — $ 716 $ — 1-4 Family — 521 — Hotels — — — Multi-family — — — Non Residential Non-Owner Occupied — 642 — Non Residential Owner Occupied — 192 — Commercial Real Estate — 1,355 — Residential Real Estate — 2,839 264 Home Equity — 75 — Consumer — 1 5 Total $ — $ 4,986 $ 269 The following table presents the amortized cost basis of loans on non-accrual status and loans past due over 90 days still accruing as of December 31, 2022 (in thousands): Non-accrual With No Non-accrual With Loans Past Due Allowance for Allowance for Over 90 Days Credit Losses Credit Losses Still Accruing Commercial & Industrial $ — $ 1,015 $ — 1-4 Family — 937 — Hotels — 115 — Multi-family — — — Non Residential Non-Owner Occupied — 816 — Non Residential Owner Occupied — 298 — Commercial Real Estate — 2,166 — Residential Real Estate 228 1,741 164 Home Equity — 55 — Consumer — — 23 Total $ 228 $ 4,977 $ 187 The Company recognized no interest income on non-accrual loans during each of the three and nine months ended September 30, 2023 and 2022. There were no individually evaluated impaired collateral-dependent loans as of September 30, 2023 or December 31, 2022. Changes in the fair value of the collateral for collateral-dependent loans are reported as a provision for credit loss or a recovery of credit loss in the period of change. There were no significant commitments to provide additional funds on non-accrual or individually evaluated loans at September 30, 2023. Generally, all loan types are considered past due when the contractual terms of a loan are not met and the borrower is 30 days or more past due on a payment. Furthermore, residential and home equity loans are generally subject to charge-off when the loan becomes 120 days past due, depending on the estimated fair value of the collateral less cost to dispose, versus the outstanding loan balance. Commercial loans are generally charged off when the loan becomes 120 days past due. Open-end consumer loans are generally charged off when the loan becomes 180 days past due. The following tables present the aging of the amortized cost basis in past-due loans as of September 30, 2023 and December 31, 2022 by class of loan (in thousands): September 30, 2023 30-59 60-89 90+ Total Current Non- Total Past Due Past Due Past Due Past Due Loans accrual Loans Commercial and industrial $ 568 $ — $ — $ 568 $ 423,363 $ 716 $ 424,647 1-4 Family 56 — — 56 134,649 521 135,226 Hotels — — — — 321,236 — 321,236 Multi-family — — — — 192,329 — 192,329 Non Residential Non-Owner Occupied 75 — — 75 712,636 642 713,353 Non Residential Owner Occupied 1,347 — — 1,347 221,005 192 222,544 Commercial real estate 1,478 — — 1,478 1,581,855 1,355 1,584,688 Residential real estate 5,189 794 264 6,247 1,759,272 2,839 1,768,358 Home Equity 1,091 187 — 1,278 158,277 75 159,630 Consumer 79 — 5 84 65,501 1 65,586 Overdrafts 394 4 — 398 4,175 — 4,573 Total $ 8,799 $ 985 $ 269 $ 10,053 $ 3,992,443 $ 4,986 $ 4,007,482 December 31, 2022 30-59 60-89 90+ Total Current Non- Total Past Due Past Due Past Due Past Due Loans accrual Loans Commercial and industrial $ 201 $ 33 $ — $ 234 $ 372,641 $ 1,015 $ 373,890 1-4 Family 17 — — 17 115,238 937 116,192 Hotels — — — — 340,289 115 340,404 Multi-family — — — — 174,786 — 174,786 Non Residential Non-Owner Occupied — — — — 585,148 816 585,964 Non Residential Owner Occupied 505 188 — 693 173,970 298 174,961 Commercial real estate 522 188 — 710 1,389,431 2,166 1,392,307 Residential real estate 6,843 84 164 7,091 1,684,463 1,969 1,693,523 Home Equity 622 28 — 650 133,612 55 134,317 Consumer 52 25 23 100 48,706 — 48,806 Overdrafts 386 5 — 391 3,024 — 3,415 Total $ 8,626 $ 363 $ 187 $ 9,176 $ 3,631,877 $ 5,205 $ 3,646,258 Loan Restructurings The Company adopted the accounting guidance in ASU No. 2022-02, effective as of January 1, 2023, which eliminates the recognition and measurement of troubled debt restructurings ("TDRs"). Due to the removal of the TDR designation, the Company evaluates all loan restructurings according to the accounting guidance for loan modifications to determine if the restructuring results in a new loan or a continuation of the existing loan. Loan modifications to borrowers experiencing financial difficulty that result in a direct change in the timing or amount of contractual cash flows include situations where there is principal forgiveness, interest rate reductions, other-than-insignificant payment delays, term extensions, and combinations of the listed modifications. Therefore, the disclosures related to loan restructurings are only for modifications that directly affect cash flows. During the three and nine months ended September 30, 2023, the Company had no loan modifications that were considered restructured loans. A loan that is considered a restructured loan may be subject to the individually evaluated loan analysis, otherwise, the restructured loan will remain in the appropriate segment in the Allowance for Credit Losses model and associated reserves will be adjusted based on changes in the discounted cash flows resulting from the modification of the restructured loan. Credit Quality Indicators All commercial loans within the portfolio are subject to internal risk rating. All non-commercial loans are evaluated based on payment history. The Company’s internal risk ratings for commercial loans are: Exceptional, Good, Acceptable, Pass/Watch, Special Mention, Substandard and Doubtful. Each internal risk rating is defined in the loan policy using the following criteria: balance sheet yields; ratios and leverage; cash flow spread and coverage; prior history; capability of management; market position/industry; potential impact of changing economic, legal, regulatory or environmental conditions; purpose; structure; collateral support; and guarantor support. Risk grades are generally assigned by the primary lending officer and are periodically evaluated by the Company’s internal loan review process. Based on an individual loan’s risk grade, estimated loss percentages are applied to the outstanding balance of the loan to determine the amount of expected loss. The Company categorizes loans into risk categories based on relevant information regarding the customer’s debt service ability, capacity and overall collateral position, along with other economic trends and historical payment performance. The risk rating for each credit is updated when the Company receives current financial information, the loan is reviewed by the Company’s internal loan review and credit administration departments, or the loan becomes delinquent or impaired. The risk grades are updated a minimum of annually for loans rated Exceptional, Good, Acceptable, or Pass/Watch. Loans rated Special Mention, Substandard or Doubtful are reviewed at least quarterly. The Company uses the following definitions for its risk ratings: Risk Rating Description Pass Ratings: (a) Exceptional Loans classified as exceptional are secured with liquid collateral conforming to the internal loan policy. Loans rated within this category pose minimal risk of loss to the bank. (b) Good Loans classified as good have similar characteristics that include a strong balance sheet, satisfactory debt service coverage ratios, strong management and/or guarantors, and little exposure to economic cycles. Loans in this category generally have a low chance of loss to the bank. (c) Acceptable Loans classified as acceptable have acceptable liquidity levels, adequate debt service coverage ratios, experienced management, and have average exposure to economic cycles. Loans within this category generally have a low risk of loss to the bank. (d) Pass/watch Loans classified as pass/watch have erratic levels of leverage and/or liquidity, cash flow is volatile and the borrower is subject to moderate economic risk. A borrower in this category poses a low to moderate risk of loss to the bank. Special mention Loans classified as special mention have a potential weakness(es) that deserves management’s close attention. The potential weakness could result in deterioration of the loan repayment or the bank’s credit position at some future date. A loan rated in this category poses a moderate loss risk to the bank. Substandard Loans classified as substandard reflect a customer with a well-defined weakness that jeopardizes the liquidation of the debt. Loans in this category have the possibility that the bank will sustain some loss if the deficiencies are not corrected and the bank’s collateral value is weakened by the financial deterioration of the borrower. Doubtful Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristics that make collection of the full contract amount highly improbable. Loans rated in this category are most likely to cause the bank to have a loss due to a collateral shortfall or a negative capital position. Based on the most recent analysis performed, the risk category of loans by class of loans at September 30, 2023 and December 31, 2022 is as follows (in thousands), with the loans acquired from Citizens categorized by their origination date: Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial and industrial Pass $ 50,307 $ 52,028 $ 86,967 $ 54,217 $ 23,017 $ 18,712 $ 103,994 $ 389,242 Special mention — 34 — 2,650 — — 25 2,709 Substandard 433 2,859 856 830 954 1,614 25,150 32,696 Total $ 50,740 $ 54,921 $ 87,823 $ 57,697 $ 23,971 $ 20,326 $ 129,169 $ 424,647 YTD Gross Charge-offs $ — $ — $ 33 $ — $ — $ — $ 36 $ 69 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial and industrial Pass $ 51,268 $ 91,097 $ 60,251 $ 26,356 $ 19,497 $ 6,917 $ 109,645 $ 365,031 Special mention — — 392 9 — 19 3,245 3,665 Substandard 955 203 1,025 1,175 224 1,533 79 5,194 Total $ 52,223 $ 91,300 $ 61,668 $ 27,540 $ 19,721 $ 8,469 $ 112,969 $ 373,890 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - 1-4 Family Pass $ 25,435 $ 34,818 $ 18,378 $ 11,638 $ 7,915 $ 23,900 $ 10,432 $ 132,516 Special mention — 220 56 110 — 763 — 1,149 Substandard — 79 — 254 43 1,185 — 1,561 Total $ 25,435 $ 35,117 $ 18,434 $ 12,002 $ 7,958 $ 25,848 $ 10,432 $ 135,226 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ 335 $ — $ 335 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - 1-4 Family Pass $ 31,331 $ 21,640 $ 12,565 $ 8,609 $ 4,826 $ 22,949 $ 11,107 $ 113,027 Special mention 228 — 115 — — 836 — 1,179 Substandard 83 — 264 56 — 1,583 — 1,986 Total $ 31,642 $ 21,640 $ 12,944 $ 8,665 $ 4,826 $ 25,368 $ 11,107 $ 116,192 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Hotels Pass $ 8,475 $ 83,106 $ 34,130 $ 3,447 $ 58,900 $ 102,778 $ 307 $ 291,143 Special mention — — — — — — — — Substandard — — — 4,047 23,764 2,282 — 30,093 Total $ 8,475 $ 83,106 $ 34,130 $ 7,494 $ 82,664 $ 105,060 $ 307 $ 321,236 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ 40 $ — $ 40 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Hotels Pass $ 85,590 $ 35,849 $ 12,275 $ 60,429 $ 14,921 $ 90,686 $ 323 $ 300,073 Special mention — — — — — — — — Substandard — — 3,593 24,229 — 12,509 — 40,331 Total $ 85,590 $ 35,849 $ 15,868 $ 84,658 $ 14,921 $ 103,195 $ 323 $ 340,404 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Multi-family Pass $ 5,475 $ 21,133 $ 28,357 $ 64,657 $ 39,475 $ 32,128 $ 1,104 $ 192,329 Special mention — — — — — — — — Substandard — — — — — — — — Total $ 5,475 $ 21,133 $ 28,357 $ 64,657 $ 39,475 $ 32,128 $ 1,104 $ 192,329 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Multi-family Pass $ 13,761 $ 21,312 $ 65,542 $ 37,698 $ 2,189 $ 33,560 $ 724 $ 174,786 Special mention — — — — — — — — Substandard — — — — — — — — Total $ 13,761 $ 21,312 $ 65,542 $ 37,698 $ 2,189 $ 33,560 $ 724 $ 174,786 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Non Residential Non-Owner Occupied Pass $ 91,355 $ 144,136 $ 115,332 $ 70,346 $ 69,655 $ 180,325 $ 8,308 $ 679,457 Special mention — — 102 1,804 168 24,919 240 27,233 Substandard — — 574 2,423 1,393 2,273 — 6,663 Total $ 91,355 $ 144,136 $ 116,008 $ 74,573 $ 71,216 $ 207,517 $ 8,548 $ 713,353 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Non Residential Non-Owner Occupied Pass $ 110,501 $ 108,290 $ 89,943 $ 68,027 $ 87,413 $ 113,287 $ 2,781 $ 580,242 Special mention — 110 170 176 — — — 456 Substandard — 601 — 1,330 2,089 1,244 2 5,266 Total $ 110,501 $ 109,001 $ 90,113 $ 69,533 $ 89,502 $ 114,531 $ 2,783 $ 585,964 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Non Residential Owner Occupied Pass $ 24,711 $ 31,142 $ 43,634 $ 17,109 $ 23,094 $ 56,245 $ 3,568 $ 199,503 Special mention — — — — 2,056 446 — 2,502 Substandard 4,053 917 3,067 1,222 129 10,787 364 20,539 Total $ 28,764 $ 32,059 $ 46,701 $ 18,331 $ 25,279 $ 67,478 $ 3,932 $ 222,544 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Non Residential Owner Occupied Pass $ 21,782 $ 36,186 $ 17,216 $ 22,274 $ 17,622 $ 39,861 $ 3,238 $ 158,179 Special mention — — — 329 — 493 113 935 Substandard 943 193 110 2,479 772 10,350 1,000 15,847 Total $ 22,725 $ 36,379 $ 17,326 $ 25,082 $ 18,394 $ 50,704 $ 4,351 $ 174,961 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Total Pass $ 155,451 $ 314,335 $ 239,831 $ 167,197 $ 199,039 $ 395,376 $ 23,719 $ 1,494,948 Special mention — 220 158 1,914 2,224 26,128 240 30,884 Substandard 4,053 996 3,641 7,946 25,329 16,527 364 58,856 Total $ 159,504 $ 315,551 $ 243,630 $ 177,057 $ 226,592 $ 438,031 $ 24,323 $ 1,584,688 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ 375 $ — $ 375 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Total Pass $ 262,965 $ 223,277 $ 197,541 $ 197,037 $ 126,971 $ 300,343 $ 18,173 $ 1,326,307 Special mention 228 110 285 505 — 1,329 113 2,570 Substandard 1,026 794 3,967 28,094 2,861 25,686 1,002 63,430 Total $ 264,219 $ 224,181 $ 201,793 $ 225,636 $ 129,832 $ 327,358 $ 19,288 $ 1,392,307 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Residential real estate Performing $ 178,449 $ 401,566 $ 319,469 $ 255,721 $ 112,880 $ 422,554 $ 74,977 $ 1,765,616 Non-performing — 68 476 92 617 1,000 489 2,742 Total $ 178,449 $ 401,634 $ 319,945 $ 255,813 $ 113,497 $ 423,554 $ 75,466 $ 1,768,358 YTD Gross Charge-offs $ — $ — $ — $ — $ 31 $ 104 $ 6 $ 141 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Residential real estate Performing $ 405,059 $ 336,462 $ 270,197 $ 122,559 $ 86,317 $ 382,652 $ 88,308 $ 1,691,554 Non-performing — 207 — 755 79 738 190 1,969 Total $ 405,059 $ 336,669 $ 270,197 $ 123,314 $ 86,396 $ 383,390 $ 88,498 $ 1,693,523 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Home equity Performing $ 21,183 $ 14,687 $ 6,397 $ 4,074 $ 2,592 $ 4,900 $ 105,624 $ 159,457 Non-performing — — — — — — 173 173 Total $ 21,183 $ 14,687 $ 6,397 $ 4,074 $ 2,592 $ 4,900 $ 105,797 $ 159,630 YTD Gross Charge-offs $ — $ 95 $ — $ — $ — $ 122 $ 162 $ 379 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Home equity Performing $ 16,670 $ 7,394 $ 5,000 $ 3,035 $ 1,823 $ 5,116 $ 95,224 $ 134,262 Non-performing — — — — — — 55 55 Total $ 16,670 $ 7,394 $ 5,000 $ 3,035 $ 1,823 $ 5,116 $ 95,279 $ 134,317 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Consumer Performing $ 29,234 $ 20,593 $ 5,287 $ 3,666 $ 2,711 $ 2,035 $ 2,060 $ 65,586 Non-performing — — — — — — — — Total $ 29,234 $ 20,593 $ 5,287 $ 3,666 $ 2,711 $ 2,035 $ 2,060 $ 65,586 YTD Gross Charge-offs $ — $ — $ 73 $ — $ 6 $ 96 $ 6 $ 181 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Consumer Performing $ 25,296 $ 7,954 $ 5,482 $ 4,299 $ 2,246 $ 2,064 $ 1,465 $ 48,806 Non-performing — — — — — — — — Total $ 25,296 $ 7,954 $ 5,482 $ 4,299 $ 2,246 $ 2,064 $ 1,465 $ 48,806 |
Derivative Instruments
Derivative Instruments | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | Derivative Instruments As of September 30, 2023 and December 31, 2022, the Company primarily utilizes non-hedging derivative financial instruments with commercial banking customers to facilitate their interest rate management strategies. For these instruments, the Company acts as an intermediary for its customers and has offsetting contracts with financial institution counterparties. Changes in the fair value of these underlying derivative contracts generally offset each other and do not significantly impact the Company's results of operations. The following table summarizes the notional and fair value of these derivative instruments (in thousands): September 30, 2023 December 31, 2022 Notional Amount Fair Value Notional Amount Fair Value Non-hedging interest rate derivatives: Customer counterparties: Loan interest rate swap - assets $ 18,200 $ 1,703 $ 28,238 $ 1,298 Loan interest rate swap - liabilities 589,542 69,975 619,150 63,758 Non-hedging interest rate derivatives: Financial institution counterparties: Loan interest rate swap - assets 607,542 71,499 637,150 65,217 Loan interest rate swap - liabilities 18,200 1,703 28,238 1,298 The following table summarizes the change in fair value of these derivative instruments (in thousands): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Change in Fair Value Non-Hedging Interest Rate Derivatives: Other income (expense) - derivative assets $ 13,565 $ 26,296 $ 8,088 $ 44,821 Other (expense) income - derivative liabilities (13,565) (26,296) (8,088) (44,821) Other income (expense) - derivative liabilities 132 422 65 1,310 Certain financial instruments, including derivatives, may be eligible for offset in the consolidated balance sheet and/or subject to master netting arrangements. The Company's derivative transactions with financial institution counterparties are generally executed under International Swaps and Derivative Association ("ISDA") master agreements which include "right of setoff" provisions. In such cases there is generally a legally enforceable right to offset recognized amounts and there may be an intention to settle such amounts on a net basis. Nonetheless, the Company does not generally offset financial instruments for financial reporting purposes. Pursuant to the Company's agreements with certain of its derivative financial institution counterparties, the Company may receive collateral or post collateral, which may be in the form of cash or securities, based upon mark-to-mark positions. The Company has received collateral with a value of $92.5 million and $83.0 million as of September 30, 2023 and December 31, 2022, respectively. Loans associated with a customer counterparty loan interest rate swap agreement may be subject to a make whole penalty upon termination of the agreement. The dollar amount of the make whole penalty varies based on the remaining term of the agreement and market rates at that time. The make whole penalty is secured by equity in the specific collateral securing the loan. The Company estimates the make whole penalty when determining if there is sufficient collateral to pay off both the potential make whole penalty and the outstanding loan balance at the origination of the loan. In the event of a customer default, the make whole penalty is capitalized into the existing loan balance; however, no guarantees can be made that the collateral will be sufficient to cover both the make whole provision and the outstanding loan balance at the time of foreclosure. Fair Value Hedges During the year ended December 31, 2020, the Company entered into a series of fair value hedge agreements to reduce the interest rate risk associated with the change in fair value of certain securities. The total notional amount of these agreements was $150 million and the amortized cost of the hedged assets was $308.5 million and $330.0 million as of September 30, 2023 and December 31, 2022, respectively. During the nine months ended September 30, 2023 and 2022, the fair value hedge agreements were effective. The gains or losses on these hedges are recognized in current earnings as fair value changes. The following table summarizes the financial statement impact of these derivative instruments (in thousands): September 30, 2023 December 31, 2022 Investment securities available for sale, at fair value $ (13,681) $ (15,394) Other assets 13,683 15,262 Cumulative adjustment to Interest and dividends on investment securities (2) 132 During the nine months ended September 30, 2023, the Company entered into a fair value hedge agreement to reduce the interest rate risk associated with the change in fair value of certain loans. The tot al notional amount of these agreements was $100 million. During the nine months ended September 30, 2023, the fair value hedge agreements were effective. The gains or losses on these hedges are recognized in current earnings as fair value changes. The following table summarizes the financial statement impact of these derivative instruments (in thousands): September 30, 2023 Gross loans $ (2,593) Other assets 2,573 Cumulative adjustment to Interest and fees on loans 20 |
Employee Benefit Plans
Employee Benefit Plans | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Employee Benefit Plans | Employee Benefit Plans Restricted Shares, Restricted Stock Units, Performance Share Units The Company records compensation expense with respect to restricted shares, restricted stock units and performance share units in an amount equal to the fair value of the common stock covered by each award on the date of grant. These awards become fully vested after various periods of continued employment from the respective dates of grant. The Company is entitled to an income tax deduction in an amount equal to the taxable income reported by the holders of the restricted shares when the restrictions are released and the shares are issued. Compensation is being charged to expense over the respective vesting periods. Restricted shares are forfeited if the awarded officer or employee terminates his employment with the Company prior to the lapsing of restrictions. The Company records forfeitures of restricted stock as treasury share repurchases and any compensation cost previously recognized is reversed in the period of forfeiture. Recipients of restricted shares do not pay any cash consideration to the Company for the shares, and, except for restricted stock units and performance share units, have the right to vote all shares subject to such grant and receive all dividends with respect to such shares, whether or not the shares have vested. For restricted shares and performance share units that have performance-based criteria, management has evaluated those criteria and has determined that, as of September 30, 2023, the criteria were probable of being met. A summary of the Company’s restricted shares activity and related information is presented below: Nine months ended September 30, 2023 2022 Restricted Awards Average Market Price at Grant Restricted Awards Average Market Price at Grant Outstanding at January 1 140,606 $ 73.87 146,755 $ 72.16 Granted 43,819 90.56 38,512 77.21 Vested (44,317) 72.84 (43,135) 71.89 Outstanding at September 30 140,108 $ 78.62 142,132 $ 73.86 Information regarding stock-based compensation associated with restricted shares is provided in the following table (in thousands): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Stock-based compensation expense associated with restricted shares $ 681 $ 738 $ 2,022 $ 2,083 At period-end: September 30, 2023 Unrecognized stock-based compensation expense associated with restricted shares $ 5,679 Weighted average period (in years) in which the above amount is expected to be recognized 3.04 Shares issued in conjunction with restricted stock awards are issued from available treasury shares. If no treasury shares are available, new shares would be issued from available authorized shares. During the nine months ended September 30, 2023 and 2022, all shares issued in connection with restricted stock awards were issued from available treasury stock. Benefit Plans The Company provides retirement benefits to its employees through the City Holding Company 401(k) Plan and Trust (the “401(k) Plan”), which is intended to be compliant with Employee Retirement Income Security Act (ERISA) section 404(c). The Company also maintains a frozen defined benefit pension plan (the “Defined Benefit Plan”), which was inherited from the Company's acquisition of the plan sponsor (Horizon Bancorp, Inc.). The following table presents the components of the Company's net periodic benefit cost, which is included in the line item "other expenses" in the consolidated statements of income (in thousands): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Components of net periodic cost: Interest cost $ 137 $ 90 $ 412 $ 271 Expected return on plan assets (210) (221) (630) (664) Net amortization and deferral 86 195 257 585 Net Periodic Pension Cost $ 13 $ 64 $ 39 $ 192 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Credit-Related Financial Instruments The Company is a party to certain financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. The Company has entered into agreements with certain customers to extend credit or provide a conditional commitment to provide payment on drafts presented in accordance with the terms of the underlying credit documents. The Company also provides overdraft protection to certain demand deposit customers that represent an unfunded commitment. Overdraft protection commitments, which are included with other commitments below, are uncollateralized and are paid at the Company’s discretion. Conditional commitments generally include standby and commercial letters of credit. Standby letters of credit represent an obligation of the Company to a designated third party contingent upon the failure of a customer of the Company to perform under the terms of the underlying contract between the customer and the third party. Commercial letters of credit are issued specifically to facilitate trade or commerce. Under the terms of a commercial letter of credit, drafts will be drawn when the underlying transaction is consummated, as intended, between the customer and a third party. The majority of the Company's commitments have variable interest rates. The funded portion of these financial instruments is reflected in the Company’s balance sheet, while the unfunded portion of these commitments is not reflected in the balance sheet. The table below presents a summary of the contractual obligations of the Company resulting from significant commitments (in thousands): September 30, 2023 December 31, 2022 Commitments to extend credit: Home equity lines $ 243,385 $ 232,295 Commercial real estate 62,961 53,226 Other commitments 315,440 257,222 Standby letters of credit 5,301 5,205 Commercial letters of credit 2,526 2,006 Loan commitments and standby and commercial letters of credit have credit risks essentially the same as those involved in extending loans to customers and are subject to the Company’s standard credit policies. Collateral is obtained based on management’s credit assessment of the customer. Management does not anticipate any material losses as a result of these commitments. Litigation In addition, the Company is engaged in various legal actions that it deems to be in the ordinary course of business. As these legal actions are resolved, the Company could realize positive and/or negative impact to its financial performance in the period in which these legal actions are ultimately resolved. There can be no assurance that current legal actions will have an immaterial impact on financial results, either positive or negative, or that no material legal actions may be presented in the future. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive (Loss) Income | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive (Loss) Income | Accumulated Other Comprehensive Income (Loss) The activity in accumulated other comprehensive (loss) income is presented in the tables below (in thousands). All amounts are shown net of tax, which is calculated using a combined federal and state income tax rate approximating 24%. Three months ended September 30, Nine months ended September 30, Defined Defined Benefit Securities Benefit Securities Pension Available- Pension Available- Plan -for-Sale Total Plan -for-Sale Total 2023 Beginning Balance $ (3,422) $ (127,026) $ (130,448) $ (3,422) $ (128,066) $ (131,488) Other comprehensive (loss) before reclassifications — (36,700) (36,700) — (35,072) (35,072) Amounts reclassified from other comprehensive income — 555 555 — (33) (33) — (36,145) (36,145) — (35,105) (35,105) Ending Balance $ (3,422) $ (163,171) $ (166,593) $ (3,422) $ (163,171) $ (166,593) 2022 Beginning Balance $ (3,485) $ (80,498) $ (83,983) $ (3,485) $ 17,745 $ 14,260 Other comprehensive loss — (61,499) (61,499) — (159,742) (159,742) — (61,499) (61,499) — (159,742) (159,742) Ending Balance $ (3,485) $ (141,997) $ (145,482) $ (3,485) $ (141,997) $ (145,482) Amounts reclassified from Other Comprehensive (Loss) Income Three months ended Nine months ended Affected line item September 30, September 30, in the Consolidated Statements 2023 2022 2023 2022 of Income Securities available-for-sale: Net securities gains (losses) reclassified into earnings $ (730) $ — $ 43 $ — (Losses) gains on sale of investment securities, net Related income tax expense 175 — (10) — Income tax expense (benefit) Net effect on accumulated other comprehensive (loss) income $ (555) $ — $ 33 $ — |
Earnings per Share
Earnings per Share | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Earnings per Share The following table sets forth the computation of basic and diluted earnings per share using the two class method (in thousands, except per share data): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Net income available to common shareholders $ 29,839 $ 27,374 $ 86,913 $ 71,408 Less: earnings allocated to participating securities (281) (255) (813) (679) Net earnings allocated to common shareholders $ 29,558 $ 27,119 $ 86,100 $ 70,729 Distributed earnings allocated to common stock $ 10,554 $ 9,564 $ 29,744 $ 27,220 Undistributed earnings allocated to common stock 19,004 17,555 56,356 43,509 Net earnings allocated to common shareholders $ 29,558 $ 27,119 $ 86,100 $ 70,729 Average shares outstanding 14,922 14,776 14,906 14,878 Effect of dilutive securities: Employee stock awards 23 24 22 23 Shares for diluted earnings per share 14,945 14,800 14,928 14,901 Basic earnings per share $ 1.98 $ 1.84 $ 5.78 $ 4.75 Diluted earnings per share $ 1.98 $ 1.83 $ 5.77 $ 4.75 |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair value of an asset or liability is the price that would be received to sell that asset or paid to transfer that liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. ASC Topic 820 establishes a fair value hierarchy for valuation inputs that gives the highest priority to quoted prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. The fair value hierarchy is as follows: Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the Company has the ability to access as of the measurement date. Level 2: Significant other observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, and other inputs that are observable or can be corroborated by observable market data. Level 3: Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. The Company bases fair value of assets and liabilities on quoted market prices, prices for similar assets or liabilities, quoted prices in markets that are not active, and other inputs that are observable or can be corroborated by observable market data. If such information is not available, fair value is based upon internally developed models that primarily use, as inputs, observable market-based parameters. Valuation adjustments may be made to ensure that financial instruments are recorded at fair value. These adjustments may include amounts to reflect counterparty creditworthiness, as well as unobservable parameters. Any such valuation adjustments are applied consistently over time. The Company’s valuation methodologies may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. While management believes the Company’s valuation methodologies are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine fair value of certain financial instruments could result in a different estimate of fair value at the reporting date. Furthermore, the reported fair value amounts have not been comprehensively revalued since the presentation dates, and therefore, estimates of fair value after the balance sheet date may differ significantly from the amounts presented herein. A more detailed description of the valuation methodologies used for assets and liabilities measured at fair value, as well as the general classification of such instruments pursuant to the valuation hierarchy, is set forth below. Financial Assets and Liabilities The Company used the following methods and significant assumptions to estimate fair value for financial assets and liabilities measured on a recurring basis. Securities Available for Sale . Securities available for sale are reported at fair value utilizing Level 1, Level 2, and Level 3 inputs. The fair value of securities available for sale is determined by utilizing a market approach by obtaining quoted prices on nationally recognized securities exchanges (other than forced or distressed transactions) that occur in sufficient volume or matrix pricing, which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted prices for the specific securities, but rather by relying on the securities’ relationship to other benchmark quoted securities. If such measurements are unavailable, the security is classified as Level 3. Significant judgment is required to make this determination. The Company utilizes a third party pricing service provider to value its Level 1 and Level 2 investment securities. Annually, the Company obtains an independent auditor’s report from its third party pricing service provider regarding its controls over investment securities. On a quarterly basis, the Company reprices its debt securities with a third party that is independent of the primary pricing service provider to verify the reasonableness of the fair values. Derivatives . Derivatives are reported at fair value utilizing Level 2 inputs. The Company utilizes a market approach by obtaining dealer quotations to value its customer interest rate swaps. The Company’s derivatives are included within "other assets" and "other liabilities" in the accompanying consolidated balance sheets. Derivative assets are typically secured through securities with financial counterparties or cross collateralization with a borrowing customer. Derivative liabilities are typically secured by the Company pledging securities to financial counterparties or, in the case of a borrowing customer, by the right of setoff. The Company considers factors such as the likelihood of default by itself and its counterparties, right of setoff, and remaining maturities in determining the appropriate fair value adjustments. All derivative counterparties approved by the Company's Asset and Liability Committee ("ALCO") are regularly reviewed, and appropriate business action is taken to adjust the exposure to certain counterparties, if necessary. Counterparty exposure is evaluated by netting positions that are subject to master netting agreements, as well as considering the amount of marketable collateral securing the position. This approach used to estimate impacted exposures to counterparties is also used by the Company to estimate its own credit risk in derivative liability positions. To date, no material losses have been incurred due to a counterparty's inability to pay any undercollateralized position. There was no significant change in the value of derivative assets and liabilities attributed to credit risk that would have resulted in a derivative credit risk valuation adjustment at September 30, 2023. The Company may be required, from time to time, to measure certain financial assets and financial liabilities at fair value on a nonrecurring basis. Financial assets measured at fair value on a nonrecurring basis include individually evaluated loans reported at the fair value of the underlying collateral if repayment is expected solely from the collateral. Collateral values are estimated using Level 3 inputs based on observable market data for both real estate collateral and non-real estate collateral. The following table presents assets and liabilities measured at fair value (in thousands): Total Level 1 Level 2 Level 3 Total Gains (Losses) September 30, 2023 Recurring fair value measurements Financial Assets Obligations of states and political subdivisions $ 200,448 $ — $ 200,448 $ — Mortgage-backed securities: U.S. Government agencies 1,121,603 — 1,121,603 — Private label 6,545 — 4,667 1,878 Trust preferred securities 4,307 — 4,307 — Corporate securities 25,316 — 25,316 — Marketable equity securities 7,638 3,554 4,084 — Derivative assets 89,503 — 89,503 — Financial Liabilities Derivative liabilities 71,678 — 71,678 — Nonrecurring fair value measurements Non-Financial Assets Other real estate owned 720 — — 720 90 December 31, 2022 Recurring fair value measurements Financial Assets Obligations of states and political subdivisions $ 268,315 $ — $ 268,315 $ — Mortgage-backed securities: U.S. Government agencies 1,202,279 — 1,202,279 — Private label 7,231 — 4,772 2,459 Trust preferred securities 3,828 — 3,828 — Corporate securities 23,867 — 23,867 — Marketable equity securities 7,569 3,851 3,718 — Certificates of deposit held for investment 747 — 747 — Derivative assets 81,838 — 81,838 — Financial Liabilities Derivative liabilities 65,056 — 65,056 — Nonrecurring fair value measurements Non-Financial Assets Other real estate owned 909 — — 909 (90) The Company's financial assets and liabilities measured at fair value on a nonrecurring basis using significant unobservable inputs (Level 3) include individually evaluated loans that were remeasured and reported at fair value through a specific valuation allowance allocation of the allowance for credit losses based upon the fair value of the underlying collateral (in thousands). The fair value of individually evaluated loans is estimated using one of several methods, including collateral value, liquidation value and discounted cash flows. The significant unobservable inputs used in the fair value measurement of collateral for collateral-dependent individually evaluated loans primarily relate to discounts applied to the customers’ reported amount of collateral. The amount of collateral discount depends upon the marketability of the underlying collateral. During the nine months ended September 30, 2023 and 2022, collateral discounts ranged from 10% to 30%. During the nine months ended September 30, 2023 and 2022, the Company had no Level 2 financial assets and liabilities that were measured on a nonrecurring basis. Non-Financial Assets and Liabilities The Company has no non-financial assets or liabilities measured at fair value on a recurring basis. Certain non-financial assets measured at fair value on a non-recurring basis include other real estate owned (“OREO”), which is measured at the lower of cost or fair value. Fair Value of Financial Instruments ASC Topic 825 “Financial Instruments,” as amended, requires disclosure of fair value information about financial instruments, whether or not recognized in the balance sheet, for which it is practicable to estimate that value. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques. Those techniques are significantly affected by the assumptions used, including discount rates and estimate of future cash flows. In that regard, the derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in immediate settlement of the instrument. ASC Topic 825 excludes certain financial instruments and all nonfinancial instruments from its disclosure requirements. Accordingly, the aggregate fair value amounts presented do not represent the underlying value of the Company. The following table represents the estimates of fair value of financial instruments (in thousands). For short-term financial assets such as cash and cash equivalents, the carrying amount is a reasonable estimate of fair value due to the relatively short time between the origination of the instrument and its expected realization. For financial liabilities such as noninterest-bearing demand, interest-bearing demand and savings deposits, the carrying amount is a reasonable estimate of fair value due to these products having no stated maturity. Carrying Amount Fair Value Level 1 Level 2 Level 3 September 30, 2023 Assets: Cash and cash equivalents $ 110,716 $ 110,716 $ 110,716 $ — $ — Securities available-for-sale 1,358,219 1,358,219 — 1,356,341 1,878 Marketable equity securities 7,638 7,638 3,554 4,084 — Net loans 3,984,354 3,805,058 — — 3,805,058 Accrued interest receivable 19,223 19,223 19,223 — — Derivative assets 89,503 89,503 — 89,503 — Liabilities: Deposits 4,945,134 4,597,310 3,611,660 985,650 — Customer repurchase agreements 278,671 278,671 — 278,671 — Long-term debt 100,000 96,888 — 96,888 — Accrued interest payable 3,581 3,581 3,581 — — Derivative liabilities 71,678 71,678 — 71,678 — December 31, 2022 Assets: Cash and cash equivalents $ 200,000 $ 200,000 $ 200,000 $ — $ — Securities available-for-sale 1,505,520 1,505,520 — 1,503,061 2,459 Marketable equity securities 7,569 7,569 3,851 3,718 — Net loans 3,629,150 3,491,318 — — 3,491,318 Accrued interest receivable 18,287 18,287 18,287 — — Derivative assets 81,838 81,838 — 81,838 — Liabilities: Deposits 4,869,866 4,867,883 3,981,766 886,117 — Customer repurchase agreements 290,964 290,964 — 290,964 — Accrued interest payable 953 953 953 — — Derivative liabilities 65,057 65,057 — 65,057 — |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Pay vs Performance Disclosure | ||||
Net income available to common shareholders | $ 29,839 | $ 27,374 | $ 86,913 | $ 71,408 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Acquisition and Preliminary P_2
Acquisition and Preliminary Purchase Price Allocation (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Asset Acquisition | The following table summarizes the consideration paid for Citizens and the amounts of the assets acquired and liabilities assumed as of the date of acquisition (in thousands): Consideration: Common stock $ 61,570 Stock option buyout 495 Cash 13 62,078 Identifiable assets: Cash and cash equivalents 14,013 Investment securities 41,008 FHLB stock 620 Loans 251,406 Fixed assets 3,237 Bank owned life insurance 2,966 Deferred tax assets, net 1,481 Other assets 5,007 Total identifiable assets 319,738 Identifiable liabilities: Deposits 299,251 Short-term borrowings 6,500 Other liabilities 1,362 Total identifiable liabilities 307,113 Net identifiable assets (liabilities) 12,625 Goodwill 41,175 Core deposit intangible 8,278 $ 62,078 319,738 |
Schedule of Goodwill | The following table summarizes adjustments to goodwill subsequent to December 31, 2022 (in thousands): Goodwill Balance at December 31, 2022 $ 108,941 Adjustment to goodwill acquired in conjunction with the acquisition of Citizens 41,175 Balance at September 30, 2023 $ 150,116 |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Investments [Abstract] | |
Debt Securities, Available-for-sale | The aggregate carrying and approximate fair values of investment securities follow (in thousands). Fair values are based on quoted market prices, where available. If quoted market prices are not available, fair values are based on quoted market prices of comparable financial instruments. September 30, 2023 December 31, 2022 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value Securities available-for-sale: Obligations of states and political subdivisions $ 230,270 $ 3 $ 29,825 $ 200,448 $ 292,293 $ 346 $ 24,324 $ 268,315 Mortgage-backed securities: U.S. government agencies 1,302,747 3 181,147 1,121,603 1,342,666 299 140,686 1,202,279 Private label 7,035 — 490 6,545 7,695 — 464 7,231 Trust preferred securities 4,597 — 290 4,307 4,590 — 762 3,828 Corporate securities 28,047 — 2,731 25,316 26,620 — 2,753 23,867 Total Securities Available-for-Sale $ 1,572,696 $ 6 $ 214,483 $ 1,358,219 $ 1,673,864 $ 645 $ 168,989 $ 1,505,520 |
Gross Unrealized Losses And Fair Value Of Investments | The following table shows the gross unrealized losses and 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 (in thousands): September 30, 2023 Less Than Twelve Months Twelve Months or Greater Total Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Securities available-for-sale: Obligations of states and political subdivisions $ 25,076 $ 1,132 $ 171,897 $ 28,693 $ 196,973 $ 29,825 Mortgage-backed securities: U.S. Government agencies 46,028 15,895 795,988 165,252 842,016 181,147 Private label — — 6,446 490 6,446 490 Trust preferred securities — — 4,307 290 4,307 290 Corporate securities 1,520 48 23,796 2,683 25,316 2,731 Total available-for-sale $ 72,624 $ 17,075 $ 1,002,434 $ 197,408 $ 1,075,058 $ 214,483 December 31, 2022 Less Than Twelve Months Twelve Months or Greater Total Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Estimated Fair Value Unrealized Loss Securities available-for-sale: Obligations of states and political subdivisions $ 203,173 $ 21,929 $ 13,359 $ 2,395 $ 216,532 $ 24,324 Mortgage-backed securities: U.S. Government agencies 533,611 50,268 376,778 90,418 910,389 140,686 Private label 7,126 464 — — 7,126 464 Trust preferred securities — — 3,828 762 3,828 762 Corporate securities 22,972 2,648 895 105 23,867 2,753 Total available-for-sale $ 766,882 $ 75,309 $ 394,860 $ 93,680 $ 1,161,742 $ 168,989 |
Amortized Cost And Estimated Fair Value Of Debt Securities By Contractual Maturity | The amortized cost and estimated fair value of debt securities at September 30, 2023, by contractual maturity, is shown in the following table (in thousands). Expected maturities will differ from contractual maturities because the issuers of the securities may have the right to prepay obligations without prepayment penalties. Mortgage-backed securities have been allocated to their respective maturity groupings based on their contractual maturity. Amortized Cost Estimated Fair Value Available-for-Sale Debt Securities Due in one year or less $ 2,783 $ 2,686 Due after one year through five years 71,423 66,477 Due after five years through ten years 480,331 429,944 Due after ten years 1,018,159 859,112 Total $ 1,572,696 $ 1,358,219 |
Gross Gains And Losses Realized | Proceeds from sales, gross gains and gross losses recognized by the Company from investment security transactions are summarized in the table below (in thousands): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Proceeds on sales of available for sale securities $ 17,690 $ — $ 103,249 $ — Gross realized gains on securities sold $ — $ — $ 975 $ — Gross realized losses on securities sold (730) — (932) — Net investment security gains $ (730) $ — $ 43 $ — Gross unrealized gains recognized on equity securities still held $ 929 $ 105 $ 679 $ 119 Gross unrealized losses recognized on equity securities still held (929) (104) (612) (1,441) Net unrealized gains recognized on equity securities still held $ — $ 1 $ 67 $ (1,322) |
Loans (Tables)
Loans (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Loans and Leases Receivable, Net Amount [Abstract] | |
Summary of Major Classifications for Loans | The following table summarizes the Company’s major classifications for loans (in thousands): September 30, 2023 December 31, 2022 Commercial and industrial $ 424,647 $ 373,890 1-4 Family 135,226 116,192 Hotels 321,236 340,404 Multi-family 192,329 174,786 Non Residential Non-Owner Occupied 713,353 585,964 Non Residential Owner Occupied 222,544 174,961 Commercial real estate 1,584,688 1,392,307 Residential real estate 1,768,358 1,693,523 Home equity 159,630 134,317 Consumer 65,586 48,806 Demand deposit account (DDA) overdrafts 4,573 3,415 Gross loans 4,007,482 3,646,258 Allowance for credit losses (23,128) (17,108) Net loans $ 3,984,354 $ 3,629,150 Construction loans included in: Commercial real estate $ 2,533 $ 4,130 Residential real estate 20,056 21,122 |
Allowance For Credit Losses (Ta
Allowance For Credit Losses (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Receivables [Abstract] | |
Financing Receivable, Allowance for Credit Loss | The following table summarizes the activity in the allowance for credit losses, by portfolio loan classification, for the nine months ended September 30, 2023 and 2022 (in thousands). The allocation of a portion of the allowance in one portfolio segment does not preclude its availability to absorb losses in other portfolio segments. Beginning Balance Impact of Adopting ASU 2022-02 PCD Loan Reserves Charge-offs Recoveries Provision for (recovery of) credit losses Ending Balance Nine months ended September 30, 2023 Commercial and industrial $ 3,568 12 — (69) $ 766 $ 371 $ 4,648 1-4 Family 566 (1) — (335) 42 390 662 Hotels 2,332 — — (40) — (72) 2,220 Multi-family 380 — 500 — — 135 1,015 Non Residential Non-Owner Occupied 2,019 — 1,536 — 162 1,081 4,798 Non Residential Owner Occupied 1,315 — 775 — 56 318 2,464 Commercial real estate 6,612 (1) 2,811 (375) 260 1,852 11,159 Residential real estate 5,427 (138) — (141) 43 200 5,391 Home equity 290 (46) — (379) 34 533 432 Consumer 110 (2) — (181) 78 320 325 DDA overdrafts 1,101 — — (1,229) 1,034 267 1,173 $ 17,108 $ (175) $ 2,811 $ (2,374) $ 2,215 $ 3,543 $ 23,128 Nine months ended September 30, 2022 Commercial and industrial $ 3,480 — — (445) $ 240 $ 137 $ 3,412 1-4 Family 598 — — (24) 40 (66) 548 Hotels 2,426 — — — — 111 2,537 Multi-family 483 — — — — (59) 424 Non Residential Non-Owner Occupied 2,319 — — — 47 (236) 2,130 Non Residential Owner Occupied 1,485 — — — — (113) 1,372 Commercial real estate 7,311 — — (24) 87 (363) 7,011 Residential real estate 5,716 — — (199) 50 (513) 5,054 Home equity 517 — — (90) 22 (101) 348 Consumer 106 — — (48) 76 (37) 97 DDA Overdrafts 1,036 — — (1,951) 1,153 851 1,089 $ 18,166 $ — $ — $ (2,757) $ 1,628 $ (26) $ 17,011 Beginning Balance Impact of Adopting ASU 2022-02 PCD Loan Reserves Charge-offs Recoveries Provision for (recovery of) credit losses Ending Balance Three months ended September 30, 2023 Commercial and industrial $ 4,330 — — — $ 597 $ (279) $ 4,648 1-4 Family 598 — — (255) 12 307 662 Hotels 2,133 — — — — 87 2,220 Multi-family 1,009 — — — — 6 1,015 Non Residential Non-Owner Occupied 4,786 — — — 6 6 4,798 Non Residential Owner Occupied 2,378 — — — 56 30 2,464 Commercial real estate 10,904 — — (255) 74 436 11,159 Residential real estate 5,573 — — (89) 28 (121) 5,391 Home equity 408 — — (112) 18 118 432 Consumer 334 — — (10) 27 (26) 325 DDA overdrafts 1,202 — — (422) 321 72 1,173 $ 22,751 $ — $ — $ (888) $ 1,065 $ 200 $ 23,128 Three months ended September 30, 2022 Commercial and industrial $ 3,519 — — (411) $ 149 $ 155 $ 3,412 1-4 Family 574 — — — 6 (32) 548 Hotels 2,508 — — — — 29 2,537 Multi-family 460 — — — — (36) 424 Non Residential Non-Owner Occupied 2,096 — — — 3 31 2,130 Non Residential Owner Occupied 1,395 — — — — (23) 1,372 Commercial real estate 7,033 — — — 9 (31) 7,011 Residential real estate 4,994 — — (93) 1 152 5,054 Home equity 338 — — (71) 2 79 348 Consumer 78 — — (16) 29 6 97 DDA Overdrafts 1,053 — — (716) 383 369 1,089 $ 17,015 $ — $ — $ (1,307) $ 573 $ 730 $ 17,011 |
Financing Receivable, Nonaccrual | The following table presents the amortized cost basis of loans on non-accrual status and loans past due over 90 days still accruing as of September 30, 2023 (in thousands): Non-accrual With No Non-accrual With Loans Past Due Allowance for Allowance for Over 90 Days Credit Losses Credit Losses Still Accruing Commercial & Industrial $ — $ 716 $ — 1-4 Family — 521 — Hotels — — — Multi-family — — — Non Residential Non-Owner Occupied — 642 — Non Residential Owner Occupied — 192 — Commercial Real Estate — 1,355 — Residential Real Estate — 2,839 264 Home Equity — 75 — Consumer — 1 5 Total $ — $ 4,986 $ 269 The following table presents the amortized cost basis of loans on non-accrual status and loans past due over 90 days still accruing as of December 31, 2022 (in thousands): Non-accrual With No Non-accrual With Loans Past Due Allowance for Allowance for Over 90 Days Credit Losses Credit Losses Still Accruing Commercial & Industrial $ — $ 1,015 $ — 1-4 Family — 937 — Hotels — 115 — Multi-family — — — Non Residential Non-Owner Occupied — 816 — Non Residential Owner Occupied — 298 — Commercial Real Estate — 2,166 — Residential Real Estate 228 1,741 164 Home Equity — 55 — Consumer — — 23 Total $ 228 $ 4,977 $ 187 |
Financing Receivable, Past Due | The following tables present the aging of the amortized cost basis in past-due loans as of September 30, 2023 and December 31, 2022 by class of loan (in thousands): September 30, 2023 30-59 60-89 90+ Total Current Non- Total Past Due Past Due Past Due Past Due Loans accrual Loans Commercial and industrial $ 568 $ — $ — $ 568 $ 423,363 $ 716 $ 424,647 1-4 Family 56 — — 56 134,649 521 135,226 Hotels — — — — 321,236 — 321,236 Multi-family — — — — 192,329 — 192,329 Non Residential Non-Owner Occupied 75 — — 75 712,636 642 713,353 Non Residential Owner Occupied 1,347 — — 1,347 221,005 192 222,544 Commercial real estate 1,478 — — 1,478 1,581,855 1,355 1,584,688 Residential real estate 5,189 794 264 6,247 1,759,272 2,839 1,768,358 Home Equity 1,091 187 — 1,278 158,277 75 159,630 Consumer 79 — 5 84 65,501 1 65,586 Overdrafts 394 4 — 398 4,175 — 4,573 Total $ 8,799 $ 985 $ 269 $ 10,053 $ 3,992,443 $ 4,986 $ 4,007,482 December 31, 2022 30-59 60-89 90+ Total Current Non- Total Past Due Past Due Past Due Past Due Loans accrual Loans Commercial and industrial $ 201 $ 33 $ — $ 234 $ 372,641 $ 1,015 $ 373,890 1-4 Family 17 — — 17 115,238 937 116,192 Hotels — — — — 340,289 115 340,404 Multi-family — — — — 174,786 — 174,786 Non Residential Non-Owner Occupied — — — — 585,148 816 585,964 Non Residential Owner Occupied 505 188 — 693 173,970 298 174,961 Commercial real estate 522 188 — 710 1,389,431 2,166 1,392,307 Residential real estate 6,843 84 164 7,091 1,684,463 1,969 1,693,523 Home Equity 622 28 — 650 133,612 55 134,317 Consumer 52 25 23 100 48,706 — 48,806 Overdrafts 386 5 — 391 3,024 — 3,415 Total $ 8,626 $ 363 $ 187 $ 9,176 $ 3,631,877 $ 5,205 $ 3,646,258 |
Financing Receivable, Credit Quality Indicators | Based on the most recent analysis performed, the risk category of loans by class of loans at September 30, 2023 and December 31, 2022 is as follows (in thousands), with the loans acquired from Citizens categorized by their origination date: Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial and industrial Pass $ 50,307 $ 52,028 $ 86,967 $ 54,217 $ 23,017 $ 18,712 $ 103,994 $ 389,242 Special mention — 34 — 2,650 — — 25 2,709 Substandard 433 2,859 856 830 954 1,614 25,150 32,696 Total $ 50,740 $ 54,921 $ 87,823 $ 57,697 $ 23,971 $ 20,326 $ 129,169 $ 424,647 YTD Gross Charge-offs $ — $ — $ 33 $ — $ — $ — $ 36 $ 69 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial and industrial Pass $ 51,268 $ 91,097 $ 60,251 $ 26,356 $ 19,497 $ 6,917 $ 109,645 $ 365,031 Special mention — — 392 9 — 19 3,245 3,665 Substandard 955 203 1,025 1,175 224 1,533 79 5,194 Total $ 52,223 $ 91,300 $ 61,668 $ 27,540 $ 19,721 $ 8,469 $ 112,969 $ 373,890 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - 1-4 Family Pass $ 25,435 $ 34,818 $ 18,378 $ 11,638 $ 7,915 $ 23,900 $ 10,432 $ 132,516 Special mention — 220 56 110 — 763 — 1,149 Substandard — 79 — 254 43 1,185 — 1,561 Total $ 25,435 $ 35,117 $ 18,434 $ 12,002 $ 7,958 $ 25,848 $ 10,432 $ 135,226 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ 335 $ — $ 335 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - 1-4 Family Pass $ 31,331 $ 21,640 $ 12,565 $ 8,609 $ 4,826 $ 22,949 $ 11,107 $ 113,027 Special mention 228 — 115 — — 836 — 1,179 Substandard 83 — 264 56 — 1,583 — 1,986 Total $ 31,642 $ 21,640 $ 12,944 $ 8,665 $ 4,826 $ 25,368 $ 11,107 $ 116,192 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Hotels Pass $ 8,475 $ 83,106 $ 34,130 $ 3,447 $ 58,900 $ 102,778 $ 307 $ 291,143 Special mention — — — — — — — — Substandard — — — 4,047 23,764 2,282 — 30,093 Total $ 8,475 $ 83,106 $ 34,130 $ 7,494 $ 82,664 $ 105,060 $ 307 $ 321,236 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ 40 $ — $ 40 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Hotels Pass $ 85,590 $ 35,849 $ 12,275 $ 60,429 $ 14,921 $ 90,686 $ 323 $ 300,073 Special mention — — — — — — — — Substandard — — 3,593 24,229 — 12,509 — 40,331 Total $ 85,590 $ 35,849 $ 15,868 $ 84,658 $ 14,921 $ 103,195 $ 323 $ 340,404 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Multi-family Pass $ 5,475 $ 21,133 $ 28,357 $ 64,657 $ 39,475 $ 32,128 $ 1,104 $ 192,329 Special mention — — — — — — — — Substandard — — — — — — — — Total $ 5,475 $ 21,133 $ 28,357 $ 64,657 $ 39,475 $ 32,128 $ 1,104 $ 192,329 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Multi-family Pass $ 13,761 $ 21,312 $ 65,542 $ 37,698 $ 2,189 $ 33,560 $ 724 $ 174,786 Special mention — — — — — — — — Substandard — — — — — — — — Total $ 13,761 $ 21,312 $ 65,542 $ 37,698 $ 2,189 $ 33,560 $ 724 $ 174,786 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Non Residential Non-Owner Occupied Pass $ 91,355 $ 144,136 $ 115,332 $ 70,346 $ 69,655 $ 180,325 $ 8,308 $ 679,457 Special mention — — 102 1,804 168 24,919 240 27,233 Substandard — — 574 2,423 1,393 2,273 — 6,663 Total $ 91,355 $ 144,136 $ 116,008 $ 74,573 $ 71,216 $ 207,517 $ 8,548 $ 713,353 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Non Residential Non-Owner Occupied Pass $ 110,501 $ 108,290 $ 89,943 $ 68,027 $ 87,413 $ 113,287 $ 2,781 $ 580,242 Special mention — 110 170 176 — — — 456 Substandard — 601 — 1,330 2,089 1,244 2 5,266 Total $ 110,501 $ 109,001 $ 90,113 $ 69,533 $ 89,502 $ 114,531 $ 2,783 $ 585,964 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Non Residential Owner Occupied Pass $ 24,711 $ 31,142 $ 43,634 $ 17,109 $ 23,094 $ 56,245 $ 3,568 $ 199,503 Special mention — — — — 2,056 446 — 2,502 Substandard 4,053 917 3,067 1,222 129 10,787 364 20,539 Total $ 28,764 $ 32,059 $ 46,701 $ 18,331 $ 25,279 $ 67,478 $ 3,932 $ 222,544 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ — $ — $ — Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Non Residential Owner Occupied Pass $ 21,782 $ 36,186 $ 17,216 $ 22,274 $ 17,622 $ 39,861 $ 3,238 $ 158,179 Special mention — — — 329 — 493 113 935 Substandard 943 193 110 2,479 772 10,350 1,000 15,847 Total $ 22,725 $ 36,379 $ 17,326 $ 25,082 $ 18,394 $ 50,704 $ 4,351 $ 174,961 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Commercial real estate - Total Pass $ 155,451 $ 314,335 $ 239,831 $ 167,197 $ 199,039 $ 395,376 $ 23,719 $ 1,494,948 Special mention — 220 158 1,914 2,224 26,128 240 30,884 Substandard 4,053 996 3,641 7,946 25,329 16,527 364 58,856 Total $ 159,504 $ 315,551 $ 243,630 $ 177,057 $ 226,592 $ 438,031 $ 24,323 $ 1,584,688 YTD Gross Charge-offs $ — $ — $ — $ — $ — $ 375 $ — $ 375 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Commercial real estate - Total Pass $ 262,965 $ 223,277 $ 197,541 $ 197,037 $ 126,971 $ 300,343 $ 18,173 $ 1,326,307 Special mention 228 110 285 505 — 1,329 113 2,570 Substandard 1,026 794 3,967 28,094 2,861 25,686 1,002 63,430 Total $ 264,219 $ 224,181 $ 201,793 $ 225,636 $ 129,832 $ 327,358 $ 19,288 $ 1,392,307 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Residential real estate Performing $ 178,449 $ 401,566 $ 319,469 $ 255,721 $ 112,880 $ 422,554 $ 74,977 $ 1,765,616 Non-performing — 68 476 92 617 1,000 489 2,742 Total $ 178,449 $ 401,634 $ 319,945 $ 255,813 $ 113,497 $ 423,554 $ 75,466 $ 1,768,358 YTD Gross Charge-offs $ — $ — $ — $ — $ 31 $ 104 $ 6 $ 141 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Residential real estate Performing $ 405,059 $ 336,462 $ 270,197 $ 122,559 $ 86,317 $ 382,652 $ 88,308 $ 1,691,554 Non-performing — 207 — 755 79 738 190 1,969 Total $ 405,059 $ 336,669 $ 270,197 $ 123,314 $ 86,396 $ 383,390 $ 88,498 $ 1,693,523 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Home equity Performing $ 21,183 $ 14,687 $ 6,397 $ 4,074 $ 2,592 $ 4,900 $ 105,624 $ 159,457 Non-performing — — — — — — 173 173 Total $ 21,183 $ 14,687 $ 6,397 $ 4,074 $ 2,592 $ 4,900 $ 105,797 $ 159,630 YTD Gross Charge-offs $ — $ 95 $ — $ — $ — $ 122 $ 162 $ 379 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Home equity Performing $ 16,670 $ 7,394 $ 5,000 $ 3,035 $ 1,823 $ 5,116 $ 95,224 $ 134,262 Non-performing — — — — — — 55 55 Total $ 16,670 $ 7,394 $ 5,000 $ 3,035 $ 1,823 $ 5,116 $ 95,279 $ 134,317 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized September 30, 2023 2023 2022 2021 2020 2019 Prior Cost Basis Total Consumer Performing $ 29,234 $ 20,593 $ 5,287 $ 3,666 $ 2,711 $ 2,035 $ 2,060 $ 65,586 Non-performing — — — — — — — — Total $ 29,234 $ 20,593 $ 5,287 $ 3,666 $ 2,711 $ 2,035 $ 2,060 $ 65,586 YTD Gross Charge-offs $ — $ — $ 73 $ — $ 6 $ 96 $ 6 $ 181 Revolving Term Loans Loans Amortized Cost Basis by Origination Year and Risk Level Amortized December 31, 2022 2022 2021 2020 2019 2018 Prior Cost Basis Total Consumer Performing $ 25,296 $ 7,954 $ 5,482 $ 4,299 $ 2,246 $ 2,064 $ 1,465 $ 48,806 Non-performing — — — — — — — — Total $ 25,296 $ 7,954 $ 5,482 $ 4,299 $ 2,246 $ 2,064 $ 1,465 $ 48,806 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Value Of Derivative Instruments | The following table summarizes the notional and fair value of these derivative instruments (in thousands): September 30, 2023 December 31, 2022 Notional Amount Fair Value Notional Amount Fair Value Non-hedging interest rate derivatives: Customer counterparties: Loan interest rate swap - assets $ 18,200 $ 1,703 $ 28,238 $ 1,298 Loan interest rate swap - liabilities 589,542 69,975 619,150 63,758 Non-hedging interest rate derivatives: Financial institution counterparties: Loan interest rate swap - assets 607,542 71,499 637,150 65,217 Loan interest rate swap - liabilities 18,200 1,703 28,238 1,298 |
Change In Fair Value Of Derivative Instruments | The following table summarizes the change in fair value of these derivative instruments (in thousands): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Change in Fair Value Non-Hedging Interest Rate Derivatives: Other income (expense) - derivative assets $ 13,565 $ 26,296 $ 8,088 $ 44,821 Other (expense) income - derivative liabilities (13,565) (26,296) (8,088) (44,821) Other income (expense) - derivative liabilities 132 422 65 1,310 |
Schedule of Fair Value Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The following table summarizes the financial statement impact of these derivative instruments (in thousands): September 30, 2023 December 31, 2022 Investment securities available for sale, at fair value $ (13,681) $ (15,394) Other assets 13,683 15,262 Cumulative adjustment to Interest and dividends on investment securities (2) 132 |
Schedule of Derivative Assets at Fair Value | The following table summarizes the financial statement impact of these derivative instruments (in thousands): September 30, 2023 Gross loans $ (2,593) Other assets 2,573 Cumulative adjustment to Interest and fees on loans 20 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement, Noncash Expense [Abstract] | |
Restricted Shares Activity And Related Information | A summary of the Company’s restricted shares activity and related information is presented below: Nine months ended September 30, 2023 2022 Restricted Awards Average Market Price at Grant Restricted Awards Average Market Price at Grant Outstanding at January 1 140,606 $ 73.87 146,755 $ 72.16 Granted 43,819 90.56 38,512 77.21 Vested (44,317) 72.84 (43,135) 71.89 Outstanding at September 30 140,108 $ 78.62 142,132 $ 73.86 Information regarding stock-based compensation associated with restricted shares is provided in the following table (in thousands): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Stock-based compensation expense associated with restricted shares $ 681 $ 738 $ 2,022 $ 2,083 At period-end: September 30, 2023 Unrecognized stock-based compensation expense associated with restricted shares $ 5,679 Weighted average period (in years) in which the above amount is expected to be recognized 3.04 |
Schedule of Net Benefit Costs | The following table presents the components of the Company's net periodic benefit cost, which is included in the line item "other expenses" in the consolidated statements of income (in thousands): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Components of net periodic cost: Interest cost $ 137 $ 90 $ 412 $ 271 Expected return on plan assets (210) (221) (630) (664) Net amortization and deferral 86 195 257 585 Net Periodic Pension Cost $ 13 $ 64 $ 39 $ 192 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule Of Contractual Obligations From Significant Commitments | The table below presents a summary of the contractual obligations of the Company resulting from significant commitments (in thousands): September 30, 2023 December 31, 2022 Commitments to extend credit: Home equity lines $ 243,385 $ 232,295 Commercial real estate 62,961 53,226 Other commitments 315,440 257,222 Standby letters of credit 5,301 5,205 Commercial letters of credit 2,526 2,006 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive (Loss) Income (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Schedule of Changes In Each Component of Accumulated Other Comprehensive Income | The activity in accumulated other comprehensive (loss) income is presented in the tables below (in thousands). All amounts are shown net of tax, which is calculated using a combined federal and state income tax rate approximating 24%. Three months ended September 30, Nine months ended September 30, Defined Defined Benefit Securities Benefit Securities Pension Available- Pension Available- Plan -for-Sale Total Plan -for-Sale Total 2023 Beginning Balance $ (3,422) $ (127,026) $ (130,448) $ (3,422) $ (128,066) $ (131,488) Other comprehensive (loss) before reclassifications — (36,700) (36,700) — (35,072) (35,072) Amounts reclassified from other comprehensive income — 555 555 — (33) (33) — (36,145) (36,145) — (35,105) (35,105) Ending Balance $ (3,422) $ (163,171) $ (166,593) $ (3,422) $ (163,171) $ (166,593) 2022 Beginning Balance $ (3,485) $ (80,498) $ (83,983) $ (3,485) $ 17,745 $ 14,260 Other comprehensive loss — (61,499) (61,499) — (159,742) (159,742) — (61,499) (61,499) — (159,742) (159,742) Ending Balance $ (3,485) $ (141,997) $ (145,482) $ (3,485) $ (141,997) $ (145,482) |
Schedule of Amounts Reclassified Out Of Accumulated Other Comprehensive Income | Amounts reclassified from Other Comprehensive (Loss) Income Three months ended Nine months ended Affected line item September 30, September 30, in the Consolidated Statements 2023 2022 2023 2022 of Income Securities available-for-sale: Net securities gains (losses) reclassified into earnings $ (730) $ — $ 43 $ — (Losses) gains on sale of investment securities, net Related income tax expense 175 — (10) — Income tax expense (benefit) Net effect on accumulated other comprehensive (loss) income $ (555) $ — $ 33 $ — |
Earnings per Share (Tables)
Earnings per Share (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule Of Computation Of Basic And Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings per share using the two class method (in thousands, except per share data): Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Net income available to common shareholders $ 29,839 $ 27,374 $ 86,913 $ 71,408 Less: earnings allocated to participating securities (281) (255) (813) (679) Net earnings allocated to common shareholders $ 29,558 $ 27,119 $ 86,100 $ 70,729 Distributed earnings allocated to common stock $ 10,554 $ 9,564 $ 29,744 $ 27,220 Undistributed earnings allocated to common stock 19,004 17,555 56,356 43,509 Net earnings allocated to common shareholders $ 29,558 $ 27,119 $ 86,100 $ 70,729 Average shares outstanding 14,922 14,776 14,906 14,878 Effect of dilutive securities: Employee stock awards 23 24 22 23 Shares for diluted earnings per share 14,945 14,800 14,928 14,901 Basic earnings per share $ 1.98 $ 1.84 $ 5.78 $ 4.75 Diluted earnings per share $ 1.98 $ 1.83 $ 5.77 $ 4.75 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule Of Assets And Liabilities Measured At Fair Value On A Recurring And Nonrecurring Basis | The following table presents assets and liabilities measured at fair value (in thousands): Total Level 1 Level 2 Level 3 Total Gains (Losses) September 30, 2023 Recurring fair value measurements Financial Assets Obligations of states and political subdivisions $ 200,448 $ — $ 200,448 $ — Mortgage-backed securities: U.S. Government agencies 1,121,603 — 1,121,603 — Private label 6,545 — 4,667 1,878 Trust preferred securities 4,307 — 4,307 — Corporate securities 25,316 — 25,316 — Marketable equity securities 7,638 3,554 4,084 — Derivative assets 89,503 — 89,503 — Financial Liabilities Derivative liabilities 71,678 — 71,678 — Nonrecurring fair value measurements Non-Financial Assets Other real estate owned 720 — — 720 90 December 31, 2022 Recurring fair value measurements Financial Assets Obligations of states and political subdivisions $ 268,315 $ — $ 268,315 $ — Mortgage-backed securities: U.S. Government agencies 1,202,279 — 1,202,279 — Private label 7,231 — 4,772 2,459 Trust preferred securities 3,828 — 3,828 — Corporate securities 23,867 — 23,867 — Marketable equity securities 7,569 3,851 3,718 — Certificates of deposit held for investment 747 — 747 — Derivative assets 81,838 — 81,838 — Financial Liabilities Derivative liabilities 65,056 — 65,056 — Nonrecurring fair value measurements Non-Financial Assets Other real estate owned 909 — — 909 (90) |
Schedule Of Estimates Of Fair Value Of Financial Instruments | The following table represents the estimates of fair value of financial instruments (in thousands). For short-term financial assets such as cash and cash equivalents, the carrying amount is a reasonable estimate of fair value due to the relatively short time between the origination of the instrument and its expected realization. For financial liabilities such as noninterest-bearing demand, interest-bearing demand and savings deposits, the carrying amount is a reasonable estimate of fair value due to these products having no stated maturity. Carrying Amount Fair Value Level 1 Level 2 Level 3 September 30, 2023 Assets: Cash and cash equivalents $ 110,716 $ 110,716 $ 110,716 $ — $ — Securities available-for-sale 1,358,219 1,358,219 — 1,356,341 1,878 Marketable equity securities 7,638 7,638 3,554 4,084 — Net loans 3,984,354 3,805,058 — — 3,805,058 Accrued interest receivable 19,223 19,223 19,223 — — Derivative assets 89,503 89,503 — 89,503 — Liabilities: Deposits 4,945,134 4,597,310 3,611,660 985,650 — Customer repurchase agreements 278,671 278,671 — 278,671 — Long-term debt 100,000 96,888 — 96,888 — Accrued interest payable 3,581 3,581 3,581 — — Derivative liabilities 71,678 71,678 — 71,678 — December 31, 2022 Assets: Cash and cash equivalents $ 200,000 $ 200,000 $ 200,000 $ — $ — Securities available-for-sale 1,505,520 1,505,520 — 1,503,061 2,459 Marketable equity securities 7,569 7,569 3,851 3,718 — Net loans 3,629,150 3,491,318 — — 3,491,318 Accrued interest receivable 18,287 18,287 18,287 — — Derivative assets 81,838 81,838 — 81,838 — Liabilities: Deposits 4,869,866 4,867,883 3,981,766 886,117 — Customer repurchase agreements 290,964 290,964 — 290,964 — Accrued interest payable 953 953 953 — — Derivative liabilities 65,057 65,057 — 65,057 — |
Background and Basis of Prese_2
Background and Basis of Presentation (Details) | 9 Months Ended | |
Sep. 30, 2023 store segment | Mar. 10, 2023 | |
Entity Location [Line Items] | ||
Number of reportable segments (in segments) | segment | 1 | |
Citizens Commerce Bancshares, Inc. | ||
Entity Location [Line Items] | ||
Percentage of voting interests acquired | 100% | |
City National | ||
Entity Location [Line Items] | ||
Number of stores (in stores) | 99 | |
WEST VIRGINIA | City National | ||
Entity Location [Line Items] | ||
Number of stores (in stores) | 58 | |
KENTUCKY | City National | ||
Entity Location [Line Items] | ||
Number of stores (in stores) | 24 | |
VIRGINIA | City National | ||
Entity Location [Line Items] | ||
Number of stores (in stores) | 13 | |
OHIO | City National | ||
Entity Location [Line Items] | ||
Number of stores (in stores) | 4 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Accounting Changes and Error Corrections [Abstract] | ||||||
Adjustment to shareholders' equity | $ 610,134 | $ 636,192 | $ 578,027 | $ 548,288 | $ 591,993 | $ 681,105 |
Acquisition and Preliminary P_3
Acquisition and Preliminary Purchase Price Allocation - Additional Information (Details) - USD ($) $ in Thousands, shares in Millions | 3 Months Ended | 9 Months Ended | |||
Mar. 10, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Asset Acquisition [Line Items] | |||||
Acquisition of Citizens Commerce Bancshares, Inc. | $ 62,078 | ||||
Non-impaired loans | $ 246,400 | ||||
Merger related expenses | $ 2 | $ 0 | 5,647 | $ 0 | |
Citizens Commerce Bancshares, Inc. | |||||
Asset Acquisition [Line Items] | |||||
Stock issued in connection with acquisition (in shares) | 0.7 | ||||
Acquisition of Citizens Commerce Bancshares, Inc. | $ 62,100 | ||||
Fair value of purchased financial assets with credit deterioration | 4,900 | ||||
Contractual amounts receivable | 8,500 | ||||
Allowance for credit loss | 3,600 | ||||
Premium on time deposits | $ 600 | ||||
Time deposits amortization period | 5 years | ||||
Allowance for credit losses acquired | $ 2,000 | ||||
Merger related expenses | 5,600 | ||||
Professional fees | 1,600 | ||||
Severance costs | 1,400 | ||||
Data processing costs | 1,300 | ||||
Citizens Commerce Bancshares, Inc. | Core Deposits | |||||
Asset Acquisition [Line Items] | |||||
Core deposit intangible | $ 8,278 | 8,278 | $ 0 | $ 8,278 | $ 0 |
Intangible assets amortization period | 10 years | ||||
(Losses) gains on sale of investment securities, net | $ 41,000 | ||||
Citizens Commerce Bancshares, Inc. | Citizens Commerce Bancshares, Inc. | |||||
Asset Acquisition [Line Items] | |||||
Equity ownership positions in the community bank holding companies (percent) | 100% |
Acquisition and Preliminary P_4
Acquisition and Preliminary Purchase Price Allocation - Acquisition And Preliminary Purchase Price Allocation (Details) - USD ($) $ in Thousands | Mar. 10, 2023 | Sep. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 |
Asset Acquisition [Line Items] | ||||
Cash and cash equivalents | $ 110,716 | $ 200,000 | ||
Bank owned life insurance | 117,979 | 120,674 | ||
Other assets | 161,659 | 149,263 | ||
Deposits | 4,945,134 | 4,869,866 | ||
Other liabilities | 142,187 | $ 139,424 | ||
Citizens Commerce Bancshares, Inc. | ||||
Asset Acquisition [Line Items] | ||||
Common stock | $ 61,570 | |||
Stock option buyout | 495 | |||
Cash | 13 | |||
Consideration | 62,078 | |||
Cash and cash equivalents | 14,013 | |||
Investment securities | 41,008 | |||
FHLB stock | 620 | |||
Loans | 251,406 | |||
Fixed assets | 3,237 | |||
Bank owned life insurance | 2,966 | |||
Deferred tax assets, net | 1,481 | |||
Other assets | 5,007 | |||
Total identifiable assets | 319,738 | 319,738 | $ 0 | |
Deposits | 299,251 | |||
Short-term borrowings | 6,500 | |||
Other liabilities | 1,362 | |||
Total identifiable liabilities | 307,113 | 307,113 | 0 | |
Net identifiable assets (liabilities) | 12,625 | |||
Goodwill | 41,175 | 0 | ||
Total | 62,078 | |||
Citizens Commerce Bancshares, Inc. | Core Deposits | ||||
Asset Acquisition [Line Items] | ||||
Core deposit intangible | $ 8,278 | $ 8,278 | $ 0 |
Acquisition and Preliminary P_5
Acquisition and Preliminary Purchase Price Allocation - Goodwill (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Goodwill [Roll Forward] | |
Balance at December 31, 2022 | $ 108,941 |
Adjustment to goodwill acquired in conjunction with the acquisition of Citizens | 41,175 |
Balance at September 30, 2023 | $ 150,116 |
Investments (Narrative) (Detail
Investments (Narrative) (Details) - USD ($) | 3 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Schedule of Investments [Line Items] | |||
Federal Home Loan Bank Stock and Federal Reserve Bank Stock | $ 15,500,000 | $ 21,400,000 | |
Certificates of deposit, at carrying value | 0 | 700,000 | |
Non-governmental issues exceeding 10% shareholders equity threshold | 0 | 0 | |
Allowance for credit loss | 0 | 0 | |
Credit-related investment impairment losses | 0 | $ 0 | |
Asset Pledged as Collateral | |||
Schedule of Investments [Line Items] | |||
Carrying value of securities pledged | 717,000,000 | $ 886,000,000 | |
Marketable equity securities | |||
Schedule of Investments [Line Items] | |||
Investment securities | $ 7,600,000 |
Investments (Aggregate Carrying
Investments (Aggregate Carrying And Approximate Market Values Of Available-For-Sale Securities) (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Securities, Available-for-sale [Line Items] | ||
Total | $ 1,572,696 | $ 1,673,864 |
Gross Unrealized Gains | 6 | 645 |
Gross Unrealized Losses | 214,483 | 168,989 |
Estimated Fair Value | 1,358,219 | 1,505,520 |
Obligations of states and political subdivisions | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 230,270 | 292,293 |
Gross Unrealized Gains | 3 | 346 |
Gross Unrealized Losses | 29,825 | 24,324 |
Estimated Fair Value | 200,448 | 268,315 |
U.S. government agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 1,302,747 | 1,342,666 |
Gross Unrealized Gains | 3 | 299 |
Gross Unrealized Losses | 181,147 | 140,686 |
Estimated Fair Value | 1,121,603 | 1,202,279 |
Private label | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 7,035 | 7,695 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 490 | 464 |
Estimated Fair Value | 6,545 | 7,231 |
Trust preferred securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 4,597 | 4,590 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 290 | 762 |
Estimated Fair Value | 4,307 | 3,828 |
Corporate securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Total | 28,047 | 26,620 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 2,731 | 2,753 |
Estimated Fair Value | $ 25,316 | $ 23,867 |
Investments (Gross Unrealized L
Investments (Gross Unrealized Losses And Fair Value Of Investments) (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Less Than Twelve Months | ||
Estimated Fair Value | $ 72,624 | $ 766,882 |
Unrealized Loss | 17,075 | 75,309 |
Estimated Fair Value | 1,002,434 | 394,860 |
Twelve Months or Greater | ||
Unrealized Loss | 197,408 | 93,680 |
Estimated Fair Value | 1,075,058 | 1,161,742 |
Unrealized Loss | 214,483 | 168,989 |
Obligations of states and political subdivisions | ||
Less Than Twelve Months | ||
Estimated Fair Value | 25,076 | 203,173 |
Unrealized Loss | 1,132 | 21,929 |
Estimated Fair Value | 171,897 | 13,359 |
Twelve Months or Greater | ||
Unrealized Loss | 28,693 | 2,395 |
Estimated Fair Value | 196,973 | 216,532 |
Unrealized Loss | 29,825 | 24,324 |
U.S. Government agencies | ||
Less Than Twelve Months | ||
Estimated Fair Value | 46,028 | 533,611 |
Unrealized Loss | 15,895 | 50,268 |
Estimated Fair Value | 795,988 | 376,778 |
Twelve Months or Greater | ||
Unrealized Loss | 165,252 | 90,418 |
Estimated Fair Value | 842,016 | 910,389 |
Unrealized Loss | 181,147 | 140,686 |
Private label | ||
Less Than Twelve Months | ||
Estimated Fair Value | 0 | 7,126 |
Unrealized Loss | 0 | 464 |
Estimated Fair Value | 6,446 | 0 |
Twelve Months or Greater | ||
Unrealized Loss | 490 | 0 |
Estimated Fair Value | 6,446 | 7,126 |
Unrealized Loss | 490 | 464 |
Trust preferred securities | ||
Less Than Twelve Months | ||
Estimated Fair Value | 0 | 0 |
Unrealized Loss | 0 | 0 |
Estimated Fair Value | 4,307 | 3,828 |
Twelve Months or Greater | ||
Unrealized Loss | 290 | 762 |
Estimated Fair Value | 4,307 | 3,828 |
Unrealized Loss | 290 | 762 |
Corporate securities | ||
Less Than Twelve Months | ||
Estimated Fair Value | 1,520 | 22,972 |
Unrealized Loss | 48 | 2,648 |
Estimated Fair Value | 23,796 | 895 |
Twelve Months or Greater | ||
Unrealized Loss | 2,683 | 105 |
Estimated Fair Value | 25,316 | 23,867 |
Unrealized Loss | $ 2,731 | $ 2,753 |
Investments (Amortized Cost And
Investments (Amortized Cost And Estimated Fair Value Of Debt Securities By Contractual Maturity) (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Amortized Cost | ||
Due in one year or less | $ 2,783 | |
Due after one year through five years | 71,423 | |
Due after five years through ten years | 480,331 | |
Due after ten years | 1,018,159 | |
Total | 1,572,696 | $ 1,673,864 |
Estimated Fair Value | ||
Due in one year or less | 2,686 | |
Due after one year through five years | 66,477 | |
Due after five years through ten years | 429,944 | |
Due after ten years | 859,112 | |
Total | $ 1,358,219 | $ 1,505,520 |
Investments (Gross Gains And Lo
Investments (Gross Gains And Losses Realized) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Investments [Abstract] | ||||
Gross realized gains on securities sold | $ 0 | $ 0 | $ 975,000 | $ 0 |
Gross realized losses on securities sold | (730,000) | 0 | (932,000) | 0 |
Net investment security gains | (730,000) | 0 | 43,000 | 0 |
Gross unrealized gains recognized on equity securities still held | 929,000 | 105,000 | 679,000 | 119,000 |
Gross unrealized losses recognized on equity securities still held | (929,000) | (104,000) | (612,000) | (1,441,000) |
Net unrealized gains recognized on equity securities still held | 0 | 1,000 | 67,000 | (1,322,000) |
Proceeds from sales of securities available-for-sale | $ 17,690,000 | $ 0 | $ 103,249,000 | $ 0 |
Loans (Summary Of Major Classif
Loans (Summary Of Major Classifications For Loans) (Details) - USD ($) | Sep. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | $ 4,007,482,000 | $ 3,646,258,000 | ||||
Allowance for credit losses | (23,128,000) | $ (22,751,000) | (17,108,000) | $ (17,011,000) | $ (17,015,000) | $ (18,166,000) |
Net loans | 3,984,354,000 | 3,629,150,000 | ||||
Commercial and industrial | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 424,647,000 | 373,890,000 | ||||
Allowance for credit losses | (4,648,000) | (4,330,000) | (3,568,000) | (3,412,000) | (3,519,000) | (3,480,000) |
Commercial real estate | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 1,584,688,000 | 1,392,307,000 | ||||
Allowance for credit losses | (11,159,000) | (10,904,000) | (6,612,000) | (7,011,000) | (7,033,000) | (7,311,000) |
Construction loan | 2,533,000 | 4,130,000 | ||||
1-4 Family | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 135,226,000 | 116,192,000 | ||||
Allowance for credit losses | (662,000) | (598,000) | (566,000) | (548,000) | (574,000) | (598,000) |
Hotels | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 321,236,000 | 340,404,000 | ||||
Allowance for credit losses | (2,220,000) | (2,133,000) | (2,332,000) | (2,537,000) | (2,508,000) | (2,426,000) |
Multi-family | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 192,329,000 | 174,786,000 | ||||
Allowance for credit losses | (1,015,000) | (1,009,000) | (380,000) | (424,000) | (460,000) | (483,000) |
Non Residential Non-Owner Occupied | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 713,353,000 | 585,964,000 | ||||
Allowance for credit losses | (4,798,000) | (4,786,000) | (2,019,000) | (2,130,000) | (2,096,000) | (2,319,000) |
Non Residential Owner Occupied | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 222,544,000 | 174,961,000 | ||||
Allowance for credit losses | (2,464,000) | (2,378,000) | (1,315,000) | (1,372,000) | (1,395,000) | (1,485,000) |
Residential real estate | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 1,768,358,000 | 1,693,523,000 | ||||
Allowance for credit losses | (5,391,000) | (5,573,000) | (5,427,000) | (5,054,000) | (4,994,000) | (5,716,000) |
Construction loan | 20,056,000 | 21,122,000 | ||||
Home equity | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 159,630,000 | 134,317,000 | ||||
Allowance for credit losses | (432,000) | (408,000) | (290,000) | (348,000) | (338,000) | (517,000) |
Consumer | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 65,586,000 | 48,806,000 | ||||
Allowance for credit losses | (325,000) | (334,000) | (110,000) | (97,000) | (78,000) | (106,000) |
Demand deposit account (DDA) overdrafts | ||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||
Gross loans | 4,573,000 | 3,415,000 | ||||
Allowance for credit losses | $ (1,173,000) | $ (1,202,000) | $ (1,101,000) | $ (1,089,000) | $ (1,053,000) | $ (1,036,000) |
Allowance For Credit Losses (Na
Allowance For Credit Losses (Narrative) (Details) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2023 USD ($) contract | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Mar. 10, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Financing Receivable, Impaired [Line Items] | ||||||
Threshold period for discontinuance of interest accrual | 90 days | |||||
Financing receivable, nonaccrual, interest income | $ 0 | $ 0 | ||||
Collateral dependent loans | $ 0 | $ 0 | $ 0 | |||
Financing receivable, threshold period past due | 30 days | 30 days | ||||
Loans, Evaluated for impairment, Individually | $ 1,000,000 | $ 1,000,000 | ||||
Provision for (recovery of) credit losses | $ 200,000 | $ 730,000 | 3,543,000 | (26,000) | ||
Citizens Commerce Bancshares, Inc. | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Allowance for credit losses acquired | $ 2,000,000 | |||||
Allowance for credit losses | $ 2,800,000 | |||||
Commercial Borrower | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Provision for (recovery of) credit losses | $ 1,300,000 | |||||
Number of loans downgraded | contract | 2 | |||||
Residential real estate | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Threshold period past due for write-off of financing receivable | 120 days | 120 days | ||||
Provision for (recovery of) credit losses | $ (121,000) | 152,000 | $ 200,000 | (513,000) | ||
Commercial Industrial Loans And Commercial Real Estate | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Threshold period past due for write-off of financing receivable | 120 days | 120 days | ||||
Consumer | ||||||
Financing Receivable, Impaired [Line Items] | ||||||
Threshold period past due for write-off of financing receivable | 180 days | 180 days | ||||
Provision for (recovery of) credit losses | $ (26,000) | $ 6,000 | $ 320,000 | $ (37,000) |
Allowance For Credit Losses (Fi
Allowance For Credit Losses (Financing Receivable, Allowance for Credit Loss) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | $ 22,751,000 | $ 17,015,000 | $ 17,108,000 | $ 18,166,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | (175,000) | 0 |
PCD Loan Reserves | 0 | 0 | 2,811,000 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | (888,000) | (1,307,000) | (2,374,000) | (2,757,000) |
Financing Receivable, Allowance for Credit Loss, Recovery | 1,065,000 | 573,000 | 2,215,000 | 1,628,000 |
Provision for (recovery of) credit losses | 200,000 | 730,000 | 3,543,000 | (26,000) |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 23,128,000 | 17,011,000 | 23,128,000 | 17,011,000 |
Commercial and industrial | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 4,330,000 | 3,519,000 | 3,568,000 | 3,480,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | 12,000 | 0 |
PCD Loan Reserves | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | 0 | (411,000) | (69,000) | (445,000) |
Financing Receivable, Allowance for Credit Loss, Recovery | 597,000 | 149,000 | 766,000 | 240,000 |
Provision for (recovery of) credit losses | (279,000) | 155,000 | 371,000 | 137,000 |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 4,648,000 | 3,412,000 | 4,648,000 | 3,412,000 |
Commercial real estate | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 10,904,000 | 7,033,000 | 6,612,000 | 7,311,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | (1,000) | 0 |
PCD Loan Reserves | 0 | 0 | 2,811,000 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | (255,000) | 0 | (375,000) | (24,000) |
Provision for Loan, Lease, and Other Losses | 74,000 | 9,000 | 260,000 | 87,000 |
Provision for (recovery of) credit losses | 436,000 | (31,000) | 1,852,000 | (363,000) |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 11,159,000 | 7,011,000 | 11,159,000 | 7,011,000 |
Residential real estate | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 5,573,000 | 4,994,000 | 5,427,000 | 5,716,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | (138,000) | 0 |
PCD Loan Reserves | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | (89,000) | (93,000) | (141,000) | (199,000) |
Financing Receivable, Allowance for Credit Loss, Recovery | 28,000 | 1,000 | 43,000 | 50,000 |
Provision for (recovery of) credit losses | (121,000) | 152,000 | 200,000 | (513,000) |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 5,391,000 | 5,054,000 | 5,391,000 | 5,054,000 |
Home equity | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 408,000 | 338,000 | 290,000 | 517,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | (46,000) | 0 |
PCD Loan Reserves | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | (112,000) | (71,000) | (379,000) | (90,000) |
Financing Receivable, Allowance for Credit Loss, Recovery | 18,000 | 2,000 | 34,000 | 22,000 |
Provision for (recovery of) credit losses | 118,000 | 79,000 | 533,000 | (101,000) |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 432,000 | 348,000 | 432,000 | 348,000 |
Consumer | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 334,000 | 78,000 | 110,000 | 106,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | (2,000) | 0 |
PCD Loan Reserves | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | (10,000) | (16,000) | (181,000) | (48,000) |
Financing Receivable, Allowance for Credit Loss, Recovery | 27,000 | 29,000 | 78,000 | 76,000 |
Provision for (recovery of) credit losses | (26,000) | 6,000 | 320,000 | (37,000) |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 325,000 | 97,000 | 325,000 | 97,000 |
Demand deposit account (DDA) overdrafts | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 1,202,000 | 1,053,000 | 1,101,000 | 1,036,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | 0 | 0 |
PCD Loan Reserves | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | (422,000) | (716,000) | (1,229,000) | (1,951,000) |
Financing Receivable, Allowance for Credit Loss, Recovery | 321,000 | 383,000 | 1,034,000 | 1,153,000 |
Provision for (recovery of) credit losses | 72,000 | 369,000 | 267,000 | 851,000 |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 1,173,000 | 1,089,000 | 1,173,000 | 1,089,000 |
1-4 Family | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 598,000 | 574,000 | 566,000 | 598,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | (1,000) | 0 |
PCD Loan Reserves | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | (255,000) | 0 | (335,000) | (24,000) |
Financing Receivable, Allowance for Credit Loss, Recovery | 12,000 | 6,000 | 42,000 | 40,000 |
Provision for (recovery of) credit losses | 307,000 | (32,000) | 390,000 | (66,000) |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 662,000 | 548,000 | 662,000 | 548,000 |
Hotels | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 2,133,000 | 2,508,000 | 2,332,000 | 2,426,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | 0 | 0 |
PCD Loan Reserves | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | 0 | 0 | (40,000) | 0 |
Financing Receivable, Allowance for Credit Loss, Recovery | 0 | 0 | 0 | 0 |
Provision for (recovery of) credit losses | 87,000 | 29,000 | (72,000) | 111,000 |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 2,220,000 | 2,537,000 | 2,220,000 | 2,537,000 |
Multi-family | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 1,009,000 | 460,000 | 380,000 | 483,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | 0 | 0 |
PCD Loan Reserves | 0 | 0 | 500,000 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Recovery | 0 | 0 | 0 | 0 |
Provision for (recovery of) credit losses | 6,000 | (36,000) | 135,000 | (59,000) |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 1,015,000 | 424,000 | 1,015,000 | 424,000 |
Non Residential Non-Owner Occupied | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 4,786,000 | 2,096,000 | 2,019,000 | 2,319,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | 0 | 0 |
PCD Loan Reserves | 0 | 0 | 1,536,000 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Recovery | 6,000 | 3,000 | 162,000 | 47,000 |
Provision for (recovery of) credit losses | 6,000 | 31,000 | 1,081,000 | (236,000) |
Financing Receivable, Allowance for Credit Loss, Ending Balance | 4,798,000 | 2,130,000 | 4,798,000 | 2,130,000 |
Non Residential Owner Occupied | ||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||
Financing Receivable, Allowance for Credit Loss, Beginning Balance | 2,378,000 | 1,395,000 | 1,315,000 | 1,485,000 |
Impact of Adopting ASU 2022-02 | 0 | 0 | 0 | 0 |
PCD Loan Reserves | 0 | 0 | 775,000 | 0 |
Financing Receivable, Allowance for Credit Loss, Writeoff | 0 | 0 | 0 | 0 |
Financing Receivable, Allowance for Credit Loss, Recovery | 56,000 | 0 | 56,000 | 0 |
Provision for (recovery of) credit losses | 30,000 | (23,000) | 318,000 | (113,000) |
Financing Receivable, Allowance for Credit Loss, Ending Balance | $ 2,464,000 | $ 1,372,000 | $ 2,464,000 | $ 1,372,000 |
Allowance for Credit Losses (_2
Allowance for Credit Losses (Financing Receivable, Nonaccrual) (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | $ 0 | $ 228 |
Non-accrual with allowance for credit losses | 4,986 | 4,977 |
Loans past due over 90 days, still accruing | 269 | 187 |
Commercial and industrial | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 0 |
Non-accrual with allowance for credit losses | 716 | 1,015 |
Loans past due over 90 days, still accruing | 0 | 0 |
Commercial real estate | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 0 |
Non-accrual with allowance for credit losses | 1,355 | 2,166 |
Loans past due over 90 days, still accruing | 0 | 0 |
1-4 Family | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 0 |
Non-accrual with allowance for credit losses | 521 | 937 |
Loans past due over 90 days, still accruing | 0 | 0 |
Hotels | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 0 |
Non-accrual with allowance for credit losses | 0 | 115 |
Loans past due over 90 days, still accruing | 0 | 0 |
Multi-family | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 0 |
Non-accrual with allowance for credit losses | 0 | 0 |
Loans past due over 90 days, still accruing | 0 | 0 |
Non Residential Non-Owner Occupied | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 0 |
Non-accrual with allowance for credit losses | 642 | 816 |
Loans past due over 90 days, still accruing | 0 | 0 |
Non Residential Owner Occupied | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 0 |
Non-accrual with allowance for credit losses | 192 | 298 |
Loans past due over 90 days, still accruing | 0 | 0 |
Residential real estate | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 228 |
Non-accrual with allowance for credit losses | 2,839 | 1,741 |
Loans past due over 90 days, still accruing | 264 | 164 |
Home equity | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 0 |
Non-accrual with allowance for credit losses | 75 | 55 |
Loans past due over 90 days, still accruing | 0 | 0 |
Consumer | ||
Financing Receivable, Impaired [Line Items] | ||
Non-accrual with no allowance for credit losses | 0 | 0 |
Non-accrual with allowance for credit losses | 1 | 0 |
Loans past due over 90 days, still accruing | $ 5 | $ 23 |
Allowance For Credit Losses (_3
Allowance For Credit Losses (Financing Receivable, Past Due) (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | $ 4,986 | $ 5,205 |
Gross loans | 4,007,482 | 3,646,258 |
Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 716 | 1,015 |
Gross loans | 424,647 | 373,890 |
Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 1,355 | 2,166 |
Gross loans | 1,584,688 | 1,392,307 |
1-4 Family | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 521 | 937 |
Gross loans | 135,226 | 116,192 |
Hotels | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 0 | 115 |
Gross loans | 321,236 | 340,404 |
Multi-family | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 0 | 0 |
Gross loans | 192,329 | 174,786 |
Non Residential Non-Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 642 | 816 |
Gross loans | 713,353 | 585,964 |
Non Residential Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 192 | 298 |
Gross loans | 222,544 | 174,961 |
Residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 2,839 | 1,969 |
Gross loans | 1,768,358 | 1,693,523 |
Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 75 | 55 |
Gross loans | 159,630 | 134,317 |
Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 1 | 0 |
Gross loans | 65,586 | 48,806 |
Demand deposit account (DDA) overdrafts | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual | 0 | 0 |
Gross loans | 4,573 | 3,415 |
30-59 Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 8,799 | 8,626 |
30-59 Past Due | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 568 | 201 |
30-59 Past Due | Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 1,478 | 522 |
30-59 Past Due | 1-4 Family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 56 | 17 |
30-59 Past Due | Hotels | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
30-59 Past Due | Multi-family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
30-59 Past Due | Non Residential Non-Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 75 | 0 |
30-59 Past Due | Non Residential Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 1,347 | 505 |
30-59 Past Due | Residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 5,189 | 6,843 |
30-59 Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 1,091 | 622 |
30-59 Past Due | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 79 | 52 |
30-59 Past Due | Demand deposit account (DDA) overdrafts | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 394 | 386 |
60-89 Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 985 | 363 |
60-89 Past Due | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 33 |
60-89 Past Due | Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 188 |
60-89 Past Due | 1-4 Family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
60-89 Past Due | Hotels | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
60-89 Past Due | Multi-family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
60-89 Past Due | Non Residential Non-Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
60-89 Past Due | Non Residential Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 188 |
60-89 Past Due | Residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 794 | 84 |
60-89 Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 187 | 28 |
60-89 Past Due | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 25 |
60-89 Past Due | Demand deposit account (DDA) overdrafts | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 4 | 5 |
90+ Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 269 | 187 |
90+ Past Due | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
90+ Past Due | Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
90+ Past Due | 1-4 Family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
90+ Past Due | Hotels | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
90+ Past Due | Multi-family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
90+ Past Due | Non Residential Non-Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
90+ Past Due | Non Residential Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
90+ Past Due | Residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 264 | 164 |
90+ Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
90+ Past Due | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 5 | 23 |
90+ Past Due | Demand deposit account (DDA) overdrafts | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 10,053 | 9,176 |
Total Past Due | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 568 | 234 |
Total Past Due | Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 1,478 | 710 |
Total Past Due | 1-4 Family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 56 | 17 |
Total Past Due | Hotels | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
Total Past Due | Multi-family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 0 | 0 |
Total Past Due | Non Residential Non-Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 75 | 0 |
Total Past Due | Non Residential Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 1,347 | 693 |
Total Past Due | Residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 6,247 | 7,091 |
Total Past Due | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 1,278 | 650 |
Total Past Due | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 84 | 100 |
Total Past Due | Demand deposit account (DDA) overdrafts | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 398 | 391 |
Current Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 3,992,443 | 3,631,877 |
Current Loans | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 423,363 | 372,641 |
Current Loans | Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 1,581,855 | 1,389,431 |
Current Loans | 1-4 Family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 134,649 | 115,238 |
Current Loans | Hotels | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 321,236 | 340,289 |
Current Loans | Multi-family | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 192,329 | 174,786 |
Current Loans | Non Residential Non-Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 712,636 | 585,148 |
Current Loans | Non Residential Owner Occupied | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 221,005 | 173,970 |
Current Loans | Residential real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 1,759,272 | 1,684,463 |
Current Loans | Home equity | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 158,277 | 133,612 |
Current Loans | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | 65,501 | 48,706 |
Current Loans | Demand deposit account (DDA) overdrafts | ||
Financing Receivable, Past Due [Line Items] | ||
Gross loans | $ 4,175 | $ 3,024 |
Allowance For Credit Losses (_4
Allowance For Credit Losses (Financing Receivable, Credit Quality Indicators) (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Gross loans | $ 4,007,482 | $ 3,646,258 |
Commercial and industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 50,740 | 52,223 |
2021 | 54,921 | 91,300 |
2020 | 87,823 | 61,668 |
2019 | 57,697 | 27,540 |
2018 | 23,971 | 19,721 |
Prior | 20,326 | 8,469 |
Revolving Loans, Amortized Cost Basis | 129,169 | 112,969 |
Gross loans | 424,647 | 373,890 |
Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 159,504 | 264,219 |
2021 | 315,551 | 224,181 |
2020 | 243,630 | 201,793 |
2019 | 177,057 | 225,636 |
2018 | 226,592 | 129,832 |
Prior | 438,031 | 327,358 |
Revolving Loans, Amortized Cost Basis | 24,323 | 19,288 |
Gross loans | 1,584,688 | 1,392,307 |
1-4 Family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 25,435 | 31,642 |
2021 | 35,117 | 21,640 |
2020 | 18,434 | 12,944 |
2019 | 12,002 | 8,665 |
2018 | 7,958 | 4,826 |
Prior | 25,848 | 25,368 |
Revolving Loans, Amortized Cost Basis | 10,432 | 11,107 |
Gross loans | 135,226 | 116,192 |
Hotels | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 8,475 | 85,590 |
2021 | 83,106 | 35,849 |
2020 | 34,130 | 15,868 |
2019 | 7,494 | 84,658 |
2018 | 82,664 | 14,921 |
Prior | 105,060 | 103,195 |
Revolving Loans, Amortized Cost Basis | 307 | 323 |
Gross loans | 321,236 | 340,404 |
Multi-family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 5,475 | 13,761 |
2021 | 21,133 | 21,312 |
2020 | 28,357 | 65,542 |
2019 | 64,657 | 37,698 |
2018 | 39,475 | 2,189 |
Prior | 32,128 | 33,560 |
Revolving Loans, Amortized Cost Basis | 1,104 | 724 |
Gross loans | 192,329 | 174,786 |
Non Residential Non-Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 91,355 | 110,501 |
2021 | 144,136 | 109,001 |
2020 | 116,008 | 90,113 |
2019 | 74,573 | 69,533 |
2018 | 71,216 | 89,502 |
Prior | 207,517 | 114,531 |
Revolving Loans, Amortized Cost Basis | 8,548 | 2,783 |
Gross loans | 713,353 | 585,964 |
Non Residential Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 28,764 | 22,725 |
2021 | 32,059 | 36,379 |
2020 | 46,701 | 17,326 |
2019 | 18,331 | 25,082 |
2018 | 25,279 | 18,394 |
Prior | 67,478 | 50,704 |
Revolving Loans, Amortized Cost Basis | 3,932 | 4,351 |
Gross loans | 222,544 | 174,961 |
Residential real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 178,449 | 405,059 |
2021 | 401,634 | 336,669 |
2020 | 319,945 | 270,197 |
2019 | 255,813 | 123,314 |
2018 | 113,497 | 86,396 |
Prior | 423,554 | 383,390 |
Revolving Loans, Amortized Cost Basis | 75,466 | 88,498 |
Gross loans | 1,768,358 | 1,693,523 |
Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 21,183 | 16,670 |
2021 | 14,687 | 7,394 |
2020 | 6,397 | 5,000 |
2019 | 4,074 | 3,035 |
2018 | 2,592 | 1,823 |
Prior | 4,900 | 5,116 |
Revolving Loans, Amortized Cost Basis | 105,797 | 95,279 |
Gross loans | 159,630 | 134,317 |
Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 29,234 | 25,296 |
2021 | 20,593 | 7,954 |
2020 | 5,287 | 5,482 |
2019 | 3,666 | 4,299 |
2018 | 2,711 | 2,246 |
Prior | 2,035 | 2,064 |
Revolving Loans, Amortized Cost Basis | 2,060 | 1,465 |
Gross loans | 65,586 | 48,806 |
Performing | Residential real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 178,449 | 405,059 |
2021 | 401,566 | 336,462 |
2020 | 319,469 | 270,197 |
2019 | 255,721 | 122,559 |
2018 | 112,880 | 86,317 |
Prior | 422,554 | 382,652 |
Revolving Loans, Amortized Cost Basis | 74,977 | 88,308 |
Gross loans | 1,765,616 | 1,691,554 |
Performing | Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 21,183 | 16,670 |
2021 | 14,687 | 7,394 |
2020 | 6,397 | 5,000 |
2019 | 4,074 | 3,035 |
2018 | 2,592 | 1,823 |
Prior | 4,900 | 5,116 |
Revolving Loans, Amortized Cost Basis | 105,624 | 95,224 |
Gross loans | 159,457 | 134,262 |
Performing | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 29,234 | 25,296 |
2021 | 20,593 | 7,954 |
2020 | 5,287 | 5,482 |
2019 | 3,666 | 4,299 |
2018 | 2,711 | 2,246 |
Prior | 2,035 | 2,064 |
Revolving Loans, Amortized Cost Basis | 2,060 | 1,465 |
Gross loans | 65,586 | 48,806 |
Non-performing | Residential real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 68 | 207 |
2020 | 476 | 0 |
2019 | 92 | 755 |
2018 | 617 | 79 |
Prior | 1,000 | 738 |
Revolving Loans, Amortized Cost Basis | 489 | 190 |
Gross loans | 2,742 | 1,969 |
Non-performing | Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans, Amortized Cost Basis | 173 | 55 |
Gross loans | 173 | 55 |
Non-performing | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans, Amortized Cost Basis | 0 | 0 |
Gross loans | 0 | 0 |
Pass | Commercial and industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 50,307 | 51,268 |
2021 | 52,028 | 91,097 |
2020 | 86,967 | 60,251 |
2019 | 54,217 | 26,356 |
2018 | 23,017 | 19,497 |
Prior | 18,712 | 6,917 |
Revolving Loans, Amortized Cost Basis | 103,994 | 109,645 |
Gross loans | 389,242 | 365,031 |
Pass | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 155,451 | 262,965 |
2021 | 314,335 | 223,277 |
2020 | 239,831 | 197,541 |
2019 | 167,197 | 197,037 |
2018 | 199,039 | 126,971 |
Prior | 395,376 | 300,343 |
Revolving Loans, Amortized Cost Basis | 23,719 | 18,173 |
Gross loans | 1,494,948 | 1,326,307 |
Pass | 1-4 Family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 25,435 | 31,331 |
2021 | 34,818 | 21,640 |
2020 | 18,378 | 12,565 |
2019 | 11,638 | 8,609 |
2018 | 7,915 | 4,826 |
Prior | 23,900 | 22,949 |
Revolving Loans, Amortized Cost Basis | 10,432 | 11,107 |
Gross loans | 132,516 | 113,027 |
Pass | Hotels | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 8,475 | 85,590 |
2021 | 83,106 | 35,849 |
2020 | 34,130 | 12,275 |
2019 | 3,447 | 60,429 |
2018 | 58,900 | 14,921 |
Prior | 102,778 | 90,686 |
Revolving Loans, Amortized Cost Basis | 307 | 323 |
Gross loans | 291,143 | 300,073 |
Pass | Multi-family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 5,475 | 13,761 |
2021 | 21,133 | 21,312 |
2020 | 28,357 | 65,542 |
2019 | 64,657 | 37,698 |
2018 | 39,475 | 2,189 |
Prior | 32,128 | 33,560 |
Revolving Loans, Amortized Cost Basis | 1,104 | 724 |
Gross loans | 192,329 | 174,786 |
Pass | Non Residential Non-Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 91,355 | 110,501 |
2021 | 144,136 | 108,290 |
2020 | 115,332 | 89,943 |
2019 | 70,346 | 68,027 |
2018 | 69,655 | 87,413 |
Prior | 180,325 | 113,287 |
Revolving Loans, Amortized Cost Basis | 8,308 | 2,781 |
Gross loans | 679,457 | 580,242 |
Pass | Non Residential Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 24,711 | 21,782 |
2021 | 31,142 | 36,186 |
2020 | 43,634 | 17,216 |
2019 | 17,109 | 22,274 |
2018 | 23,094 | 17,622 |
Prior | 56,245 | 39,861 |
Revolving Loans, Amortized Cost Basis | 3,568 | 3,238 |
Gross loans | 199,503 | 158,179 |
Special mention | Commercial and industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 34 | 0 |
2020 | 0 | 392 |
2019 | 2,650 | 9 |
2018 | 0 | 0 |
Prior | 0 | 19 |
Revolving Loans, Amortized Cost Basis | 25 | 3,245 |
Gross loans | 2,709 | 3,665 |
Special mention | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 228 |
2021 | 220 | 110 |
2020 | 158 | 285 |
2019 | 1,914 | 505 |
2018 | 2,224 | 0 |
Prior | 26,128 | 1,329 |
Revolving Loans, Amortized Cost Basis | 240 | 113 |
Gross loans | 30,884 | 2,570 |
Special mention | 1-4 Family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 228 |
2021 | 220 | 0 |
2020 | 56 | 115 |
2019 | 110 | 0 |
2018 | 0 | 0 |
Prior | 763 | 836 |
Revolving Loans, Amortized Cost Basis | 0 | 0 |
Gross loans | 1,149 | 1,179 |
Special mention | Hotels | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans, Amortized Cost Basis | 0 | 0 |
Gross loans | 0 | 0 |
Special mention | Multi-family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans, Amortized Cost Basis | 0 | 0 |
Gross loans | 0 | 0 |
Special mention | Non Residential Non-Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 110 |
2020 | 102 | 170 |
2019 | 1,804 | 176 |
2018 | 168 | 0 |
Prior | 24,919 | 0 |
Revolving Loans, Amortized Cost Basis | 240 | 0 |
Gross loans | 27,233 | 456 |
Special mention | Non Residential Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 0 |
2019 | 0 | 329 |
2018 | 2,056 | 0 |
Prior | 446 | 493 |
Revolving Loans, Amortized Cost Basis | 0 | 113 |
Gross loans | 2,502 | 935 |
Substandard | Commercial and industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 433 | 955 |
2021 | 2,859 | 203 |
2020 | 856 | 1,025 |
2019 | 830 | 1,175 |
2018 | 954 | 224 |
Prior | 1,614 | 1,533 |
Revolving Loans, Amortized Cost Basis | 25,150 | 79 |
Gross loans | 32,696 | 5,194 |
Substandard | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 4,053 | 1,026 |
2021 | 996 | 794 |
2020 | 3,641 | 3,967 |
2019 | 7,946 | 28,094 |
2018 | 25,329 | 2,861 |
Prior | 16,527 | 25,686 |
Revolving Loans, Amortized Cost Basis | 364 | 1,002 |
Gross loans | 58,856 | 63,430 |
Substandard | 1-4 Family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 83 |
2021 | 79 | 0 |
2020 | 0 | 264 |
2019 | 254 | 56 |
2018 | 43 | 0 |
Prior | 1,185 | 1,583 |
Revolving Loans, Amortized Cost Basis | 0 | 0 |
Gross loans | 1,561 | 1,986 |
Substandard | Hotels | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 3,593 |
2019 | 4,047 | 24,229 |
2018 | 23,764 | 0 |
Prior | 2,282 | 12,509 |
Revolving Loans, Amortized Cost Basis | 0 | 0 |
Gross loans | 30,093 | 40,331 |
Substandard | Multi-family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 0 |
2020 | 0 | 0 |
2019 | 0 | 0 |
2018 | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans, Amortized Cost Basis | 0 | 0 |
Gross loans | 0 | 0 |
Substandard | Non Residential Non-Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | 0 |
2021 | 0 | 601 |
2020 | 574 | 0 |
2019 | 2,423 | 1,330 |
2018 | 1,393 | 2,089 |
Prior | 2,273 | 1,244 |
Revolving Loans, Amortized Cost Basis | 0 | 2 |
Gross loans | 6,663 | 5,266 |
Substandard | Non Residential Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 4,053 | 943 |
2021 | 917 | 193 |
2020 | 3,067 | 110 |
2019 | 1,222 | 2,479 |
2018 | 129 | 772 |
Prior | 10,787 | 10,350 |
Revolving Loans, Amortized Cost Basis | 364 | 1,000 |
Gross loans | 20,539 | $ 15,847 |
Gross Charge-Offs | Commercial and industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 0 | |
2020 | 33 | |
2019 | 0 | |
2018 | 0 | |
Prior | 0 | |
Revolving Loans, Amortized Cost Basis | 36 | |
Gross loans | 69 | |
Gross Charge-Offs | Commercial real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
2018 | 0 | |
Prior | 375 | |
Revolving Loans, Amortized Cost Basis | 0 | |
Gross loans | 375 | |
Gross Charge-Offs | 1-4 Family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
2018 | 0 | |
Prior | 335 | |
Revolving Loans, Amortized Cost Basis | 0 | |
Gross loans | 335 | |
Gross Charge-Offs | Hotels | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
2018 | 0 | |
Prior | 40 | |
Revolving Loans, Amortized Cost Basis | 0 | |
Gross loans | 40 | |
Gross Charge-Offs | Multi-family | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
2018 | 0 | |
Prior | 0 | |
Revolving Loans, Amortized Cost Basis | 0 | |
Gross loans | 0 | |
Gross Charge-Offs | Non Residential Non-Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
2018 | 0 | |
Prior | 0 | |
Revolving Loans, Amortized Cost Basis | 0 | |
Gross loans | 0 | |
Gross Charge-Offs | Non Residential Owner Occupied | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
2018 | 0 | |
Prior | 0 | |
Revolving Loans, Amortized Cost Basis | 0 | |
Gross loans | 0 | |
Gross Charge-Offs | Residential real estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 0 | |
2020 | 0 | |
2019 | 0 | |
2018 | 31 | |
Prior | 104 | |
Revolving Loans, Amortized Cost Basis | 6 | |
Gross loans | 141 | |
Gross Charge-Offs | Home equity | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 95 | |
2020 | 0 | |
2019 | 0 | |
2018 | 0 | |
Prior | 122 | |
Revolving Loans, Amortized Cost Basis | 162 | |
Gross loans | 379 | |
Gross Charge-Offs | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2022 | 0 | |
2021 | 0 | |
2020 | 73 | |
2019 | 0 | |
2018 | 6 | |
Prior | 96 | |
Revolving Loans, Amortized Cost Basis | 6 | |
Gross loans | $ 181 |
Derivative Instruments (Narrati
Derivative Instruments (Narrative) (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2023 | Dec. 31, 2022 | |
Derivatives, Fair Value [Line Items] | ||
Collateral already posted, aggregate fair value | $ 92.5 | $ 83 |
Amortized cost of hedged assets | 308.5 | 330 |
Fair value hedge agreement, notional amount | 100 | |
Interest Rate Swap | Non-hedging interest rate derivatives: | ||
Derivatives, Fair Value [Line Items] | ||
Derivative, notional amount | $ 150 | $ 150 |
Derivative Instruments (Fair Va
Derivative Instruments (Fair Value Of Derivative Instruments) (Details) - Non-hedging interest rate derivatives: - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Loan interest rate swap - assets | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | $ 18,200 | $ 28,238 |
Fair Value | 1,703 | 1,298 |
Loan interest rate swap - liabilities | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 589,542 | 619,150 |
Fair Value | 69,975 | 63,758 |
Loan interest rate swap - assets | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 607,542 | 637,150 |
Fair Value | 71,499 | 65,217 |
Loan interest rate swap - liabilities | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 18,200 | 28,238 |
Fair Value | $ 1,703 | $ 1,298 |
Derivative Instruments (Change
Derivative Instruments (Change In Fair Value Of Derivative Instruments) (Details) - Non-hedging interest rate derivatives: - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Other Assets | Other Income | Customer Back-to-Back Swap Program | ||||
Derivatives, Fair Value [Line Items] | ||||
Change in Fair Value Non-Hedging Interest Rate Derivatives: | $ 13,565 | $ 26,296 | $ 8,088 | $ 44,821 |
Other Liabilities | Other Income | Customer Back-to-Back Swap Program | ||||
Derivatives, Fair Value [Line Items] | ||||
Change in Fair Value Non-Hedging Interest Rate Derivatives: | (13,565) | (26,296) | (8,088) | (44,821) |
Other Liabilities | Other Expense | ||||
Derivatives, Fair Value [Line Items] | ||||
Change in Fair Value Non-Hedging Interest Rate Derivatives: | $ 132 | $ 422 | $ 65 | $ 1,310 |
Derivative Instruments (Fair _2
Derivative Instruments (Fair Value of Fair Value Hedges) (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Derivatives, Fair Value [Line Items] | ||
Cumulative adjustment to Interest and dividends on investment securities | $ (2) | $ 132 |
Available-for-sale Securities | ||
Derivatives, Fair Value [Line Items] | ||
Fair value hedges, net | (13,681) | (15,394) |
Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Fair value hedges, net | $ 13,683 | $ 15,262 |
Derivative Instruments - Deriva
Derivative Instruments - Derivative Instruments (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Gross loans | $ (2,593) |
Other assets | 2,573 |
Cumulative adjustment to Interest and fees on loans | $ (20) |
Employee Benefit Plans (Restric
Employee Benefit Plans (Restricted Shares Activity And Related Information) (Details) - Restricted Stock - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Restricted Awards Activity | ||||
Beginning Balance (in shares) | 140,606 | 146,755 | ||
Granted (in shares) | 43,819 | 38,512 | ||
Vested (in shares) | (44,317) | (43,135) | ||
Ending Balance (in shares) | 140,108 | 142,132 | 140,108 | 142,132 |
Average Market Price at Grant | ||||
Outstanding at period start (in dollars per share) | $ 73.87 | $ 72.16 | ||
Granted (in dollars per share) | 90.56 | 77.21 | ||
Vested (in dollars per share) | 72.84 | 71.89 | ||
Outstanding at period end (in dollars per share) | $ 78.62 | $ 73.86 | $ 78.62 | $ 73.86 |
Stock-based compensation expense associated with restricted shares | $ 681 | $ 738 | $ 2,022 | $ 2,083 |
Unrecognized stock-based compensation expense associated with restricted shares | $ 5,679 | $ 5,679 | ||
Weighted average period (in years) in which the above amount is expected to be recognized | 3 years 14 days |
Employee Benefit Plans (Pension
Employee Benefit Plans (Pension and Other Postretirement Benefits) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Components of net periodic cost: | ||||
Interest cost | $ 137 | $ 90 | $ 412 | $ 271 |
Expected return on plan assets | (210) | (221) | (630) | (664) |
Net amortization and deferral | 86 | 195 | 257 | 585 |
Net Periodic Pension Cost | $ 13 | $ 64 | $ 39 | $ 192 |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Other Commitments [Line Items] | ||
Commitments and contingencies | ||
Commitments to extend credit: | Home equity | ||
Other Commitments [Line Items] | ||
Commitments and contingencies | 243,385 | 232,295 |
Commitments to extend credit: | Commercial real estate | ||
Other Commitments [Line Items] | ||
Commitments and contingencies | 62,961 | 53,226 |
Commitments to extend credit: | Other commitments | ||
Other Commitments [Line Items] | ||
Commitments and contingencies | 315,440 | 257,222 |
Standby letters of credit | ||
Other Commitments [Line Items] | ||
Commitments and contingencies | 5,301 | 5,205 |
Commercial letters of credit | ||
Other Commitments [Line Items] | ||
Commitments and contingencies | $ 2,526 | $ 2,006 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive (Loss) Income (Narrative) (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Equity [Abstract] | ||||
Combined Federal and State income tax rate (percent) | 24% | 24% | 24% | 24% |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive (Loss) Income (Schedule of Changes In Each Component of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | $ 636,192 | $ 591,993 | $ 578,027 | $ 681,105 |
Other comprehensive loss | (36,700) | (61,499) | ||
Amounts reclassified from other comprehensive income | 555 | (33) | ||
Other comprehensive (loss) income, net of tax | (36,145) | (61,499) | (35,105) | (159,742) |
Ending balance | 610,134 | 548,288 | 610,134 | 548,288 |
Defined Benefit Pension Plans | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (3,422) | (3,485) | (3,422) | (3,485) |
Other comprehensive loss | 0 | 0 | 0 | 0 |
Amounts reclassified from other comprehensive income | 0 | 0 | ||
Other comprehensive (loss) income, net of tax | 0 | 0 | 0 | 0 |
Ending balance | (3,422) | (3,485) | (3,422) | (3,485) |
Securities available-for-sale: | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (127,026) | (80,498) | (128,066) | 17,745 |
Other comprehensive loss | (36,700) | (61,499) | (35,072) | (159,742) |
Amounts reclassified from other comprehensive income | 555 | (33) | ||
Other comprehensive (loss) income, net of tax | (36,145) | (61,499) | (35,105) | (159,742) |
Ending balance | (163,171) | (141,997) | (163,171) | (141,997) |
Total | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning Balance | (130,448) | (83,983) | (131,488) | 14,260 |
Other comprehensive loss | (35,072) | (159,742) | ||
Other comprehensive (loss) income, net of tax | (36,145) | (61,499) | (35,105) | (159,742) |
Ending balance | $ (166,593) | $ (145,482) | $ (166,593) | $ (145,482) |
Accumulated Other Comprehensi_5
Accumulated Other Comprehensive (Loss) Income (Schedule Of Amounts Reclassified Out of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net securities gains (losses) reclassified into earnings | $ (730) | $ 0 | $ 43 | $ 0 |
Related income tax expense | (7,957) | (7,421) | (22,100) | (18,438) |
Net income available to common shareholders | 29,839 | 27,374 | 86,913 | 71,408 |
Securities available-for-sale: | Amounts reclassified from Other Comprehensive (Loss) Income | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Net securities gains (losses) reclassified into earnings | (730) | 0 | 43 | 0 |
Related income tax expense | 175 | 0 | (10) | 0 |
Net income available to common shareholders | $ (555) | $ 0 | $ 33 | $ 0 |
Earnings per Share (Details)
Earnings per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Earnings Per Share [Abstract] | ||||
Net income available to common shareholders | $ 29,839 | $ 27,374 | $ 86,913 | $ 71,408 |
Less: earnings allocated to participating securities | (281) | (255) | (813) | (679) |
Net earnings allocated to common shareholders | 29,558 | 27,119 | 86,100 | 70,729 |
Distributed earnings allocated to common stock | 10,554 | 9,564 | 29,744 | 27,220 |
Undistributed earnings allocated to common stock | $ 19,004 | $ 17,555 | $ 56,356 | $ 43,509 |
Average shares outstanding (in shares) | 14,922 | 14,776 | 14,906 | 14,878 |
Effect of dilutive securities: | ||||
Employee stock awards (in shares) | 23 | 24 | 22 | 23 |
Average shares outstanding, diluted (in shares) | 14,945 | 14,800 | 14,928 | 14,901 |
Basic earnings per common share (in dollars per share) | $ 1.98 | $ 1.84 | $ 5.78 | $ 4.75 |
Diluted earnings per share (in dollars per share) | $ 1.98 | $ 1.83 | $ 5.77 | $ 4.75 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Material losses related to counterparty's inability to pay undercollateralized position | $ 0 | |
Significant change in the value of derivative assets and liabilities attributed to credit risk | $ 0 | |
Minimum | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Collateral discount | 10% | 10% |
Maximum | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Collateral discount | 30% | 30% |
Fair Value Measurements (Schedu
Fair Value Measurements (Schedule Of Assets And Liabilities Measured At Fair Value On A Recurring And Nonrecurring Basis) (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Dec. 31, 2022 | |
Other real estate owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Write-downs included in other non-interest expense | $ 90 | $ (90) |
Recurring fair value measurements | Obligations of states and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 200,448 | 268,315 |
Recurring fair value measurements | Obligations of states and political subdivisions | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Obligations of states and political subdivisions | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 200,448 | 268,315 |
Recurring fair value measurements | Obligations of states and political subdivisions | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | U.S. Government agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 1,121,603 | 1,202,279 |
Recurring fair value measurements | U.S. Government agencies | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | U.S. Government agencies | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 1,121,603 | 1,202,279 |
Recurring fair value measurements | U.S. Government agencies | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Private label | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 6,545 | 7,231 |
Recurring fair value measurements | Private label | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Private label | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 4,667 | 4,772 |
Recurring fair value measurements | Private label | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 1,878 | 2,459 |
Recurring fair value measurements | Trust preferred securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 4,307 | 3,828 |
Recurring fair value measurements | Trust preferred securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Trust preferred securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 4,307 | 3,828 |
Recurring fair value measurements | Trust preferred securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Corporate securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 25,316 | 23,867 |
Recurring fair value measurements | Corporate securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Corporate securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 25,316 | 23,867 |
Recurring fair value measurements | Corporate securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Marketable equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 7,638 | 7,569 |
Recurring fair value measurements | Marketable equity securities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 3,554 | 3,851 |
Recurring fair value measurements | Marketable equity securities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 4,084 | 3,718 |
Recurring fair value measurements | Marketable equity securities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Certificates of Deposit [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 747 | |
Recurring fair value measurements | Certificates of Deposit [Member] | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | |
Recurring fair value measurements | Certificates of Deposit [Member] | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 747 | |
Recurring fair value measurements | Certificates of Deposit [Member] | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | |
Recurring fair value measurements | Derivative assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 89,503 | 81,838 |
Recurring fair value measurements | Derivative assets | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Derivative assets | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 89,503 | 81,838 |
Recurring fair value measurements | Derivative assets | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Recurring fair value measurements | Derivative liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | 71,678 | 65,056 |
Recurring fair value measurements | Derivative liabilities | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | 0 | 0 |
Recurring fair value measurements | Derivative liabilities | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | 71,678 | 65,056 |
Recurring fair value measurements | Derivative liabilities | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | 0 | 0 |
Nonrecurring fair value measurements | Other real estate owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 720 | 909 |
Nonrecurring fair value measurements | Other real estate owned | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Nonrecurring fair value measurements | Other real estate owned | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | 0 | 0 |
Nonrecurring fair value measurements | Other real estate owned | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Assets, fair value | $ 720 | $ 909 |
Fair Value Measurements (Sche_2
Fair Value Measurements (Schedule Of Estimates Of Fair Value Of Financial Instruments) (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Assets: | ||
Estimated Fair Value | $ 1,358,219 | $ 1,505,520 |
Marketable equity securities | 29,022 | 23,807 |
Net loans | 3,984,354 | 3,629,150 |
Accrued interest receivable | 19,223 | 18,287 |
Derivative assets | 2,573 | |
Liabilities: | ||
Deposits | 4,945,134 | 4,869,866 |
Carrying Amount | ||
Assets: | ||
Cash and cash equivalents | 110,716 | 200,000 |
Estimated Fair Value | 1,358,219 | 1,505,520 |
Marketable equity securities | 7,638 | 7,569 |
Net loans | 3,984,354 | 3,629,150 |
Accrued interest receivable | 19,223 | 18,287 |
Derivative assets | 89,503 | 81,838 |
Liabilities: | ||
Deposits | 4,945,134 | 4,869,866 |
Customer repurchase agreements | 278,671 | 290,964 |
Long-Term Debt, Fair Value | 100,000 | |
Accrued interest payable | 3,581 | 953 |
Derivative liabilities | 71,678 | 65,057 |
Fair Value | ||
Assets: | ||
Cash and cash equivalents | 110,716 | 200,000 |
Estimated Fair Value | 1,358,219 | 1,505,520 |
Marketable equity securities | 7,638 | 7,569 |
Net loans | 3,805,058 | 3,491,318 |
Accrued interest receivable | 19,223 | 18,287 |
Derivative assets | 89,503 | 81,838 |
Liabilities: | ||
Deposits | 4,597,310 | 4,867,883 |
Customer repurchase agreements | 278,671 | 290,964 |
Long-Term Debt, Fair Value | 96,888 | |
Accrued interest payable | 3,581 | 953 |
Derivative liabilities | 71,678 | 65,057 |
Level 1 | ||
Assets: | ||
Cash and cash equivalents | 110,716 | 200,000 |
Estimated Fair Value | 0 | 0 |
Marketable equity securities | 3,554 | 3,851 |
Net loans | 0 | 0 |
Accrued interest receivable | 19,223 | 18,287 |
Derivative assets | 0 | 0 |
Liabilities: | ||
Deposits | 3,611,660 | 3,981,766 |
Customer repurchase agreements | 0 | 0 |
Long-Term Debt, Fair Value | 0 | |
Accrued interest payable | 3,581 | 953 |
Derivative liabilities | 0 | 0 |
Level 2 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Estimated Fair Value | 1,356,341 | 1,503,061 |
Marketable equity securities | 4,084 | 3,718 |
Net loans | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 89,503 | 81,838 |
Liabilities: | ||
Deposits | 985,650 | 886,117 |
Customer repurchase agreements | 278,671 | 290,964 |
Long-Term Debt, Fair Value | 96,888 | |
Accrued interest payable | 0 | 0 |
Derivative liabilities | 71,678 | 65,057 |
Level 3 | ||
Assets: | ||
Cash and cash equivalents | 0 | 0 |
Estimated Fair Value | 1,878 | 2,459 |
Marketable equity securities | 0 | 0 |
Net loans | 3,805,058 | 3,491,318 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 0 | 0 |
Liabilities: | ||
Deposits | 0 | 0 |
Customer repurchase agreements | 0 | 0 |
Long-Term Debt, Fair Value | 0 | |
Accrued interest payable | 0 | 0 |
Derivative liabilities | $ 0 | $ 0 |